IBM Corporate Citizenship & Corporate Affairs. IBM 2012 Corporate Responsibility Financial Analysts Webcast. September 6, ibm.

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1 IBM Corporate Citizenship & Corporate Affairs IBM 2012 Corporate Responsibility Financial Analysts Webcast ibm.com/responsibility

2 Certain comments made in this presentation may be characterized as forward looking under the Private Securities Litigation Reform Act of Those statements involve a number of factors that could cause actual results to differ materially. Additional information concerning these factors is contained in the company s filings with the SEC. Copies are available from the SEC, from the IBM web site or from IBM Investor Relations. IBM has the right to record this conference call, including questions and comments by telephone participants, and to make an archive of this available, in whole or in part, by webcast at a later time without any further notification to participants. If you choose to participate in this conference call, you are consenting to any such recording and release. 2 ibm.com/responsibility

3 Agenda Introduction of Panelists Overview by Stanley Litow Question & Answer Session 3 ibm.com/responsibility

4 Panelists Stanley S. Litow, Vice President, Corporate Citizenship & Corporate Affairs and President, IBM Foundation Wayne Balta, Vice President, Environmental Affairs and Product Safety Michelle Browdy, Vice President, Assistant General Counsel & Secretary Alan Wild, Vice-President, HR Global Technology Services and Labor Relations Ed Perry, Director, Governmental Programs John Paterson, Vice President, Supply Chain 4 ibm.com/responsibility

5 IBM is a values-based enterprise Over 430,000 IBMers around the world invent and integrate hardware, software and services solutions that enable forward-thinking enterprises, institutions and people everywhere to succeed on a smarter planet IBM operates in nearly 170 countries $106.9 billion in revenue in ibm.com/responsibility

6 IBM 2011 Corporate Responsibility Report Highlights Communities The IBMer Environment Supply Chain Responsibility Governance and Public Policy 6 ibm.com/responsibility

7 Communities IBM s approach to problem solving: matching technology and talent against societal needs Education P-TECH Reading Companion Teachers Try Science KidSmart Technology World Community Grid Sahana Service CSC / ESC Celebration of Service Economic Development Smarter Cities Challenge SME Toolkit Supplier Connection 7 ibm.com/responsibility

8 Employees IBM continues to invest in our workforce Supporting IBMers Employee Well-Being Employee Inclusion Leadership Development Opportunities to gain global experience; Corporate Service Corp Supporting employee volunteerism 250 of IBM s promising leaders participated in the THINK: Forum on the Future of Leadership event in New York in ibm.com/responsibility

9 Environment Innovating to avoid or reduce environmental impacts Energy conservation Climate protection Environmental requirements in the supply chain Environmentally preferable materials Management of end-of-life electronic equipment Global EMS Energy Conservation 3.5% Goal Achieve annual energy conservation savings equal to 3.5 percent of IBM s total energy use. 7.4% Result In 2011, IBM s energy conservation projects across the company delivered savings equal to 7.4 percent of its total energy use. For more about IBM and the Environment go to ibm.com/ibm/environment/annual/ 9 ibm.com/responsibility

10 Supply Chain Responsibility Commitment to collaboration in the global IT supply chain Supply chain standards deployed Ethical Social Environmental Commitment to continuous improvement Industry collaboration Supply chain diversity Conflict Minerals Amount of IBM business conducted with first-tier diverse suppliers 2009 $2.1 billion 2010 $2.3 billion 2011 $2.5 billion 10 ibm.com/responsibility

11 Governance and Public Policy IBM works closely with governments, regulators and standard setters priorities were: Workforce flexibility Finance, taxation, and corporate governance Technology policy Trade facilitation Market support 15% of GDP growth in the United States alone has come from goods, services and content flowing through the Internet over the past five years. Ensuring compliance 11 ibm.com/responsibility

12 Q&A Session Panelists Stanley S. Litow, Vice President, Corporate Citizenship & Corporate Affairs and President, IBM Foundation Wayne Balta, Vice President, Environmental Affairs and Product Safety Michelle Browdy, Vice President, Assistant General Counsel & Secretary Alan Wild, Vice-President, HR Global Technology Services and Labor Relations Ed Perry, Director, Governmental Programs John Paterson, Vice President, Supply Chain 12 ibm.com/responsibility

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