BMS/BES Project Update IOC and ITSC Meetings May, 2005

IT Vision - We Deliver Quality Solutions For Our Customers 2 BMS/BES Project Update l Recap progress since February Board Meeting l Key Next Steps

IT Vision - We Deliver Quality Solutions For Our Customers 3 Progress to Date Major BMS Project Highlights Strategic Architecture Solution - Siebel: - - This solution is highly scalable, they have a large customer base using the software today - have demonstrated the ability to support multi-tier environments - is extensible for our current/future needs - - Out of the box functionality to support integration is well thought out (supports interface to Oracle Financials, etc.) - documentation/training is excellent- toolkit is quite efficient in handling configuration - is meta data driven to assist our design for the 360 degree view of our customer - - Analytics engine will assist us with information access/ad hoc querying etc. - - Can support our BES needs – Cost savings to be realized

IT Vision - We Deliver Quality Solutions For Our Customers 4 Key Next Steps Current Plan Project Implementation : - Initiate 1 st phase of the implementation - Discovery Phase. Tier 1 Innovation engaged in fixed price Discovery Phase - $97k plus expenses. Start Monday 09-May-2005 – Complete Friday 10-Jun Discovery Phase will enable us to confirm requirements scope, project plans and implementation costs ~ After completion of the Discovery Phase – we will be able to confirm the budget. Initiate Implementation Phase mid/late Jun Involvement with the Users will be very concentrated within short intervals - Plan will outline when resources are needed (strict rules for adhering to agreed-upon schedules) - Scope of the Discovery phase will be closely monitored according to the contract and reviews/presentations to IEEE

IT Vision - We Deliver Quality Solutions For Our Customers 5 Key Next Steps Current Plan IT Work Plan Management - Baseline IT Work Plan against IEEE LOO Goals/OU Projects. During/After the Discovery Phase, an Impact Analysis on existing IT Work Plan will be performed based on BMS resources requirements from both IT and Business Owner viewpoints: ~ System modifications may be suspended until the new system is operational where systems are being replaced ~ Resource planning and execution will be closely monitored - Define process to manage introduction of new projects/changes to projects during the BMS/BES implementation - Align resource availability with consulting vendors options to augment IT team

IT Vision - We Deliver Quality Solutions For Our Customers 6 Key Next Steps Current Plan - Discovery Phase deliverables:. Project Charter Document. Project Plan, Costs, and Timelines for Implementation. System Architecture Report for Development Environment. Business Requirements Document – Capability Analysis (OOTB, etc.). High level Design Document. Data Architecture Report. Installation of Development Environment - After the Discovery Phase – we will confirm Scope, Project Plan and implementation costs

IT Vision - We Deliver Quality Solutions For Our Customers 7 Key Next Steps BMS Capital/Expense DRAFT View Total CAPITAL Budget November m1.120m m Siebel (Estimates) (May 2005) 3.223m1.227m.115m-4.565m Total EXPENSE Budget November m.863m1.074m 3.666m Siebel (Estimates) (May 2005).666m1.172m1.207m 4.253

IT Vision - We Deliver Quality Solutions For Our Customers 8 Key Next Steps BES Capital/Expense DRAFT View Total CAPITAL Budget November m--- Siebel (Estimates) (May 2005).305m.105m--.410m Total EXPENSE Budget November m.644m Siebel (Estimates) (May 2005).084m.115m.429m