General Dynamics Private Information An iCare Services Program No Fault Service Program

2 General Dynamics Private Information Focus on the Customer First! The No Fault Program - Description The No Fault Program includes… Coverage for all unit repairs beyond warranty −Incidental/accidental damage −Damage from wear and tear −Misuse and abuse (up to 1% per year) Coverage for No Trouble Found (NTF) or Field Preventable Return (FPR) incidents Overnight shipping costs 48 hour in-shop turnaround time Client Service Account Management Program Administrator’s Challenge You want all repair costs covered under one service program…even if you damage the unit You don’t want any additional bills for repairs You want fast turnaround times You want shipping costs covered You want a single point-of-contact to deal with any issues

3 General Dynamics Private Information Focus on the Customer First! Average Annual Return Rates PercentagePer 100 Units Total Returns Expected in one (1) year *19.2%19 Average Defects (covered by warranty in yrs. 1-3)2.8%3 Typical Damage (covered by No Fault uplift)11.2%11 Typical NTF/FPR’s (covered by No Fault uplift)4.3%4 Average Misuse and Abuse (Covered by No Fault uplift)1.3%1 * All rates vary depending on usage patterns and the environment The No Fault Program - Costs

4 General Dynamics Private Information Focus on the Customer First! 3 year Total Cost of Ownership per 100 units Damage Repair Costs Avg. Annual Returns11.2% Expected Returns per 100 units deployed over 3 years34 Average Repair Bill$950 Total repair costs over 3 years$32,300 NTF/FPR Costs Average Annual NTF/FPR rate4.3% NTF/FPR returns over 3 years13 Diagnostics fee for NTF/FPR returns$100 Total NTF/FPR costs over 3 years$1,300 Misuse & Abuse Repair Costs Average Annual Returns1.3% Anticipated failures per 100 units deployed over 3 years4 Average Cost per Repair$950 Total repair costs over 3 years$3,800 Shipping Costs Cost per overnight shipment (one way)$25 Shipments over three (3) years (one way)106 Total shipping costs over 3 years$2,650 Total Repair Costs$40,050 No Fault - per 100 units (3 years)$29,500 Savings – per 100 units (3 years)$10,550 The No Fault Program – TCO

5 General Dynamics Private Information Focus on the Customer First!  Fixed maintenance costs over 3 years  Eliminates additional bills  48 hour turnaround on repairs  Overnight shipping paid both ways  Single point of contact to handle any issues ä Client Services Account Manager (CSAM) ä tracks returns, resolves issues, deals with problems  Significant cost savings! The No Fault Program - Benefits