TOP SECRET Tips and Tools for Selling a Compliant Government Office Product Solution

1. TOP SECRET Tips and Tools for Selling a Compliant Government Office Product Solution

2. Breach of Confidential Information Office Environment Problem

3. Information at Risk Over 27 million people have had their identity stolen in the last five years. Sophisticated identity thieves are pursuing even bigger payoffs 49% of companies affected by a data breach state one or more of the breaches involved the loss or theft of paper Department of Defense directive specifically identifies crosscut shredders as the minimum level of security for shredding Identity Theft costs businesses an estimated $50 billion annually.

4. Shred the Risk!

5. LC Industries and AbilityOne • LCI Founded in 1936 and engaged w/Fellowes in 2000 • AbilityOne (formerly JWOD): products made by blind & disabled workers are mandatory for federal purchasers • Provides employment for 40,000+ • Allows workers to become self-sufficient taxpayers • All AbilityOne products must contain 75% direct blind labor • Almost 3,000 blind-made products

6. Co–Branded Shredders: Fellowes by LCI under AbilityOne Shredder kits from China - Assembled by the blind in America for federal government market AbilityOne is exempt from Trade Agreements Act (TAA) Six Fellowes by LCI shredders are mandatory for federal procurement (A-list) Essentially The Same (ETS) Products that are determined the same form, fit & function Example: GBC RSX127 is “ETS” as the Fellowes Ability One 970CC AbilityOne Shredder Facts

7. Fellowes by LCI Shredders Current Assortment Commercial Professional 970CC A List 1-3 users 17 Sheet 2200SC A List 3 – 5 users 20 Sheet 2200CC A List 3 – 5 users 20 Sheet 3200SC A List 6 – 10 users 24 Sheet 3200CC A List 6 – 10 users 22 Sheet 4000SC B List 10+ users 36 – 38 Sheet 4000CC A List 10+ users 24 – 26 Sheet

8. AbilityOne is mandated by the government Fellowes by LCI shredders allow resellers & government purchasers to be compliant with federal procurement regulations Fellowes has dominant market share and the government wants quality/innovative shredders New administration expected to enforce laws more aggressively Replacement buyers are on the rise as is the average sale price of shredders Fellowes will continue to innovate/support AbilityOne program Why Sell AbilityOne Shredders?

9. 2010 - 2011 Government Shredders ABILITY ONE PROGRAM 700HS 1000HS 2011 4600MSi 2011 990CCi Aug. ‘10 2200SC 3200CC 3200SC 2250CCi Aug. ‘10 4000SC 4000CC 300HS 2011 TAA COMPLIANT HS-660 Aug. ‘10 C-525C C-525 Aug. ‘10 HS-440 Aug. ‘10 400 HS Disc. ‘11 800 HS Disc ‘11 HS-880 Nov. ‘10 HS-1010 Aug. ‘10

10. Unhealthy Work Environments Office Environment Problem

11. Unhealthy Work Environments • Minor aches and • pains cost US businesses over • $61 Billion in lost • productivity each year! • (Source: American Medical Association) • Lifetime costs of injuries occurring in a single year in the US totals an estimated $406 Billion,with $80.2 Billion of that in medical expenses (Source: Center for Disease Control and Prevention) • 90% of all US office workers use a computer • 40% work on computers at least 4 hours a day • Ergonomic disorders are the fastest growing category of work-related illnesses • 85% of office workers said they have gone to work when they should have stayed home • The average workspace is 400x dirtier than a toilet seat

12. Create a Healthy Office Environment Under Desk Keyboard Drawers With Microban® Without Microban® Microbes on an UntreatedSurface can Double Every 20 Minutes!

13. Mobile Workers Office Environment Problem

14. Threats for Mobile Employees • 2.4 Million laptop users are at risk from prying eyes. • By 2012, more than 80% of mobile workers will create and review information on notebook PCs and mobile devices (Reed Business Information Limited 2007). • Up to 25% of employer-related identity theft is done by stealing data from laptop computers • Every year, US company secrets worth an estimated $250 Billion are stolen because of indiscreet business practices (American Society for Industrial Security).

15. Stop Prying Eyes

16. Tools & Marketing

17. Fellowes Website - Fellowes.com Fellowes.com/government Sell Sheets for all products Customizable Flyers Jpeg for HTML Eblast available upon request Fellowes Government Brochure Tools & Marketing

18. Customizable Flyer

19. Current TAA Shredders

20. 2010 Fellowes Government Brochure/Tools • AbilityOne Shredders • High Security Shredders • Bankers Box – Made in USA • Earth Series Desk Accessories • Ergonomic Products • TAA compliant • Green • Fellowes.com/government

21. Contacts Fellowes Tech Data Account ManagerSharon Millassmillas@fellowes.com630.671.8462Fellowes Government Channel ManagerShane Powellspowell@fellowes.com630.671.8534