Digital IP A Growing Concern Chris Gardner Vice President AASA AASA Brand Protection Council Meeting November 14, 2006 Dearborn, MI

Digital IP Current Environment Technology Internet/Web Database export formats Wireless Market Research Aftermarket Data Vision CIO Focus Group Member Input

Digital IP IP Areas Outsourced ASPs SaaS IT services Network Employee data Corporate data Databases Supply Chain Electronic catalog data Product attributes Pricing Images Line drawings Web Logos Tag lines Product descriptions Images

Digital IP Member Input “We recently had a customer request that we remove our copyright statements on our catalog data. It’s not hard to guess what’s behind that request.” VP International Business Development for AASA member company

Digital IP Issues Reverse Engineering “Cherry picking” Off-shoring Product Management Low-cost sourcing De-valuing full-line suppliers Contract mfg. Counterfeiting Brand copying Part copying Data Security Employee theft Cyberterrorism

Digital IP Member Input “The only way we’ll have successful seamless data flow in the future is if there are security controls on who is accessing the content.” Director of Information Technology of an AASA member company

Digital IP Solutions Education Seminars Webinars Articles White papers BPC Activity Monitor Continuously updated Traditional and digital Member access Monitoring Web sites Auction sites Search engines Security audits Supply Chain Verbiage in TP agreements Image watermarks Secure access to online applications

Digital IP Member Input “Even with protective language in our customer agreements, we have to be willing to walk away from business if a customer uses our data IP to source with an off-shore supplier…so far sales hasn’t been willing to do that.” manager of catalog applications of an AASA member company

Digital IP Member Input “We must protect our intellectual property rights that we deliver through our value-add.” Michael Cardone Jr., Cardone Industries

Digital IP Contact Information Chris Gardner