ShoreTel Quarterly Promotions

1. ShoreTelQuarterly Promotions October 5 – December 30, 2010 Starting at 8:02am PST (Sunnyvale, CA) Bernard Gutnick Senior Director – Product Marketing bgutnick@shoretel.com +1 (408) 331-3514 October 4, 2010

2. ShoreTelQuarterly Promotions October 5 – December 30, 2010 Bernard Gutnick Senior Director – Product Marketing bgutnick@shoretel.com +1 (408) 331-3514 October 5, 2010 Restricted and Confidential Information - For the Exclusive Viewing by ShoreTel Channel Partners

3. Promotions Overview : October – December 2010 • New Customer • ShoreTel 50 Suite Deal – 55% savings • SBE Suite Deal – Up to 50% savings • ShoreTel Financial Solutions • Regional • SBE Kick Start Program (EMEA/APAC) • Avaya BCM / INDeX Competitive Displacement (EMEA) • Installed Base • Workgroup and Contact Centerto Enterprise Contact Center Upgrades • Concession Requests - Impact on Promotions and Orders

4. Simple, Effective Philosophy for Promotions Easy for resellers to implement Raving resellers give highest satisfaction ratings Easy for customers to buy Simple to calculate upfront costs A straightforward approach to promotions Committed to lowest total cost of ownership

5. ShoreTel 50 Suite Deal for New Customers (Global) • Complete UC solution for businesses with 50 lines or greater: • ShoreTel 11 Extension plus Mailbox License • 15% discount off list • FREE Professional Access License • Promotes our new UC desktop application • FREE Mobile Access License • Promotes our new UC mobile client, including support for iPhone • One SKU: 50051 Example - List: US$375 Promo US$170 And all other currencies at same 55% off List • Support is calculated on list price. • Cannot be on orders with concessions

6. ShoreTel SBE Suite Deal for New Customers– (Global)Free Professional and Mobile Access Licenses • Complete UC solution for SBE customers • Available with All SBE configurations • Includes FREE Professional Access Licenses = Number of SBE user licenses • Promotes our new UC desktop application • Includes FREE Mobile Access Licenses = Number of SBE user licenses • Promotes our new UC mobile application, including iPhone • Treated as Discount off List % Varies by Suite Deal: 43-50% • SBE Bundles availability varies by region

7. ShoreTel SBE Promotion SKUs and DiscountsReceive Percentage Discount Off List Price

8. Helping You Crush the Competition! • Helps drive larger opportunities • ShoreTel’s average deal size continues to increase • Extends IPT sales to UC sales • Increases competitor’s costs & complexity • Difficult to match our Communicator applications • Competitors require costly licenses and complex servers for both • Drives future software license sales • Once employees use Communicator with Professional Access and Mobile Access license, they become must-have applications for the entire company

9. ShoreTel Financial Solutions (Vary by Region) • Leverage ShoreTel Financial Solutions FlexGuard Program • US and Canada • 3 Months Free Rebate - Extended • EMEA • 0% Financing • Will appear on www.shoretel.com in financing section

10. SBE Kick Start for New Customers (EMEA/APAC)Extended – 20 & 30 Users • Two List Price promotional bundles extended to December 30: • SKU 50048 Kick Start 20 User Bundle • 30 BRI SBE Bundle (60096) • 10 ADDITIONAL Extension + Mailbox - 100% off • SKU 50049 Kick Start 30 User Bundle • 90 BRI SBE Bundle (60092) • 20 ADDITIONAL Extension + Mailbox - 100% off • Increased Discount Points for 30 User Kick Start Bundle • Take 15 Additional Discount Points off List for this Special 30 User Bundle • Restrictions: • Intended for new customers in EMEA and APAC only • SBE Bundles cannot upgrade to Enterprise Edition within 120 days • SBE Bundles are not eligible for concession requests

11. Avaya BCM and INDeX Competitive Displacement Program (EMEA) • Distributors and Resellers get 10 additional points for regular priced products • Orders must contain sufficient information to verify displacement • Resellers submit concession request with Avaya BCM or INDeX serial number and software release number in the QMS notes field for initial and add-on orders in the quarter • The name of the ShoreTel employee that verified the competitive system must be in the QMS notes page. • Resellers must pass half of the additional savings to customers • Discount applies to all orders placed in theOct – Dec period by the new customer • Discount does not apply to SBE Bundles or other promotional Items

12. Installed Base Upgrade Programs to Enterprise Contact Center (Global) • Targeted at customers that: • Are hitting the limits of the workgroup and CC system and need more routing flexibility as call center grows. • Need more real time and historical reports to measure customer satisfaction or call center performance. • Need more functionality such as callbacks, multimedia or outbound to increase your revenue stream • Customer benefits: • Increase service level and Increase customer satisfaction • Generate meaningful business reports

13. CC to ECC Installed Base Upgrade – 6 Month Promotion (Global) • Drive upgrades to our most powerful contact center solution • 40% Discount off List! • Support costs calculated on list price • Reseller must have completed the contact center sales and demo certification. In addition they have also completed the support certification courses (3400, 3410 and 3420).

14. Workgroups to ECC Installed Base Upgrade – 6 Month Promotion (Extended - Global) • Partner must be a CC Practice partner to install and support. • Support will be based on standard list price • A pro-rated credit for Workgroup support (traded in licenses) will be credited back to the customer within 45 days of order fulfillment

15. Communicator Professional Access Demonstration Licenses (Global) • Available at 75% discount • Intended for reseller internal use • No expiration date

16. Inventory Close-Out Promotion (Global) IP Telephone Model IP110 Silver • ShoreTel IP Telephone Model IP 110 Silver SKU 10176 • List price reduced by 25% • Available while supplies last • This is different from a promotion: Regular list price reduction • This can be put in any order • It is eligible for discretionary discounts and other promotions.

17. Promotions on Channel Partner Site by October 6

18. Includes One Page Summaries Available

19. Promotions on ShoreTel.com on October 6 • http://www.shoretel.com/resource_center/programs/ • Sent to customers in newsletters and lead generation programs Promotions

20. Are Promotions Eligible for Concession Requests? • What is a concession request? • This is a request made by a reseller to obtain additional discount points onorders • Concession requests apply to regularShoreTel products (not services) with some exceptions • SBE Bundles are not eligible for concession requests • Concession requests remove any promotional discounts off of listprice, reverting those promotional discounts back to list price

21. Are Promotions Eligible for Concession Requests? • ShoreTel 50 Suite Deal – 55% savings • No, because this is a discount off list • A Concession request brings it back tofull list • SBE Suite Deal – Up to 50% savings • No, because this is a discount off list • A Concession request brings it back tofull list • SBE Kick Start Program (EMEA/APAC) • The 30 line bundle is eligible (special case)

22. Are Promotions Eligible for Concession Requests? • Avaya BCM / INDeX Competitive Displacement (EMEA) • This is a 10% concession request • Installed Base - Workgroup and Contact Centerto Enterprise Contact Center Upgrades • No – this is a promotional discount • IP 110 Silver Phone Inventory Close-Out • Yes, this is a regular list price item • Communicator Professional Access Demonstration Licenses • No, this is a discounted item

23. ShoreTelQuarterly Promotions October 5 – December 30, 2010 Bernard Gutnick Senior Director – Product Marketing bgutnick@shoretel.com +1 (408) 331-3514 October 4, 2010