1. © 2006 Cisco Systems, Inc. All rights reserved.Cisco ConfidentialPresentation_ID 1 VAR BID - For Partners Focusing on Enterprise Business February 26, 2007

2. © 2006 Cisco Systems, Inc. All rights reserved.Cisco ConfidentialPresentation_ID 2 VAR BID - What are the benefits? Allows VAR to use CSC’s net-30 line with Cisco Inc. – Does not impact Credit Line. No cash outlay, improves Cash Flow. CSC pays VAR their margin. Partner credit lines are expanded. Faster funding common. Enterprise Deals ONLY

3. © 2006 Cisco Systems, Inc. All rights reserved.Cisco ConfidentialPresentation_ID 3 VAR BID - Qualification To Qualify for a VAR BID, a VAR MUST:  have a pre-existing, active, Net 30 account with Cisco Inc. (they must be clean and current on their A/R)  be a Gold or Silver partner, certified with Cisco Inc.  be VALIDATED Validation means that Cisco qualifies the Partner, then sets them up in Market Place. To begin validation, send the full VAR name and address to Leslie Filiault.

4. © 2006 Cisco Systems, Inc. All rights reserved.Cisco ConfidentialPresentation_ID 4 VAR BID - Set Up  A VAR Bill-to ID is created by Cisco Capital and attached to an existing VAR customer ID.  The Cisco Commerce Online Ordering Tool (a.k.a. Market Place) is the application partners use to enter their Cisco orders on-line. Partner employees who are designated to place the orders in Market Place are given user ID’s. Any newly created VAR Bill-to ID is attached to a user ID.

5. © 2006 Cisco Systems, Inc. All rights reserved.Cisco ConfidentialPresentation_ID 5 VAR BID - Ordering  When placing an order, the Partner-user enters the Partner “net-30” ID to pay Cisco in cash for their order.  The Cisco Capital PO number is placed in the PO field in Market Place.  Once placed, the order is put on Credit hold until released by Cisco Capital.  Shipment will take place as usual.  The VAR directs Cisco Capital to pay specific invoices by completing a Pay Proceeds letter.

6. © 2006 Cisco Systems, Inc. All rights reserved.Cisco ConfidentialPresentation_ID 6 VAR BID - FAQ Q: May I use progress payments with VAR BID? A: No. The Progress Payment Program may not be used with VAR BID because VAR BID deals with entire invoices, not individual line items. Q: My partner purchases from a distributor. May I use VAR BID for their deals? A: No. VAR BID is for VARs that buy direct from Cisco only. CSC has a separate process for these partners called Assignment of Proceeds.

7. © 2006 Cisco Systems, Inc. All rights reserved.Cisco ConfidentialPresentation_ID 7