1. Surviving eDiscovery: Technology Firm Perspective  Robert A. Cruz Sr. Director, eDiscovery Solutions, Proofpoint, Inc.

2. Proofpoint: Enterprise-Class, Cloud-Enabled Solutions Data Loss Prevention Ensure external requirements and internal policies are met Secure Communication Encrypt emails and send large attachments securely Archiving and eDiscovery Enable search, eDiscovery, storage management and compliance Cloud-Enabled Deployments SaaS, on premises, virtual appliances, hybrid Email Threat Protection Protect the infrastructure from outside threats

3. eDiscovery  53% of companies spent more than $1M in 2009 on litigation  Email typically represents between 60-85% of all data per legal matter  Move toward in-house eDiscovery shifts problem –New obligations placed on internal IT and legal teams  IT and legal departments often disconnected in identifying solutions for cost and risk management Litigation is a growing concern Email is the largest target for eDiscovery Email archiving impacts discovery cost and risk

4. eDiscovery Is a Matter of Perspective “They want everything yesterday” “I’m expected to drop everything to serve legal but I have a real job” “I get vague instructions then complaints about the results “Simple requests take forever” “I don’t know if I can trust what I get back…is it everything? Was anything changed?” “I have to go back several times to get the right results”

5. Typical IT and Legal Disconnects Legal Dept  Problem: Litigation growing, budgets shrinking  Solution: Gain better control of process, bring more in-house  Goals: Manage risk and control cost  Concerns: How can we build a defensible process? IT Dept  Problem: Litigation disrupts normal ops  Solution: Find tools to address problem  Goals: Fulfill legal requests more efficiently  Concerns: How can I manage tools within IT fabric with low TCO, scalability, security? Disconnects  Who sets data retention policy?  What processes should be brought in house?  Invest in tools, services, or build processes?  Criteria for selection?  Tools: ease of use vs. IT leverage?

6. The Consequences: Lack of Automation Significantly Impact eDiscovery Expense Planning: $25K Collections: $50K Processing: $100K Legal Review: $900K (40GB @ $250/hr & 60 docs reviewed per attorney hour) Hosting: $40K Project Management: $50K Planning: $25K Collections: $50K Processing: $100K Legal Review: $900K (40GB @ $250/hr & 60 docs reviewed per attorney hour) Hosting: $40K Project Management: $50K ‘Typical’ Legal Matter “Typical” = 100GB of collected ESI, 20 custodians, case duration of 1 year, Avg. Cost per Fulbright & Jaworski Average Cost: $1.5M Back-up tape restoration expense per typical legal matter: $230K PST and imaged hard drive expense per typical legal matter : $50K

7. Best Practices: eDiscovery PROBLEMBEST PRACTICE Lack of agreed upon retention policy Policy automation: start simple and iterate Retention policies complicated by regulatory and multi-national needs Emphasize flexibility to quickly adapt to new retention/disclosure rules Searching email requires processing of PST files or recovery of back-up tapes Explore tools that offer earlier insight into trusted data repositories Preservation process is manual and inefficient Research legal hold tools to automate and actively manage hold process Legal teams dependent on IT to process discovery search requests Enable legal self-service to match legal resources, avg. litigation size and frequency

8.  Litigation is increasing and expensive – with potentially severe consequences for doing it wrong  Managing email is critical to eDiscovery  Establishing and enforcing email retention policy remains challenging by conflicting stakeholder interests –But provides significant opportunity for payback  Proactive management of eDiscovery includes processes, tools, and training Key Takeaways