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IBM Offers 'No Charge for Freight' on Asset Recovery Solutions for Rest of 2006

New Program Would Make It Easier for Companies to Off-Load Obsolete PCs

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LAKE BUENA VISTA, FL - 18 Sep 2006: GARTNER IT & Software Asset Management Summit -- IBM (NYSE: IBM) today announced details of its latest promotion to make it easier for companies to safely dispose of their unused IT assets. Available immediately through December 15, 2006, IBM will eliminate transportation costs on IBM and non-IBM PC notebooks, desktops and Intel based servers for clients who enter into selected new IBM asset recovery services contracts. Assets must be returned to IBM by December 31, 2006.

With almost 85 million PCs becoming obsolete yearly, one analyst study suggests that less than 37% of commercial entities of all sizes have a formal PC recycling and end-of-life policy (IDC "Trash to Treasure: Old PC Equipment Poses Risks, Opportunities," Oct. 2005). IBM Global Asset Recovery Services receives upwards of 20,000 old computers every week. The company resells, refurbishes, dismantles, or recycles the components, returning less than 2% into landfills. In 2005, IBM sold nearly $1.6 billion in pre-owned equipment.

"This program is targeted to companies still hesitant to embrace the benefits of asset recovery solutions because of costs," said Af Assur, Vice President, IBM Global Asset Recovery Services, Americas. "IBM's Asset Recovery Solutions provide a definitive solution to customers seeking to minimize their disposal costs and environmental and data security risks, while at the same time, maximizing their asset value."

For over 20 years, IBM has been a proven leader in providing asset management solutions for its customers worldwide. IBM has built up proven processes that comply with local, state, regional and country-specific environmental laws and regulations. In addition, IBM's buyback services provide customers with the ability to maximize the value of their marketable assets while minimizing overall disposal costs. A large network of retail and wholesale sales channels allows IBM to offer optimal buyback rates for these assets. IBM also provides disk overwrite services and offers a single web interface for customers to get immediate prices for their assets. Worldwide, in 2005, IBM's Global Asset Recovery Services (GARS) program recycled and refurbished nearly 60 metric tons of IT gear, sending less than 1.5% to landfills.

The IBM no charge for freight offer is available directly to clients in the United States (including Puerto Rico) and Canada contracting for our revenue share or fixed priced take out offerings and shipping a minimum of 10 assets from one location per shipment. Other restrictions apply. For more information, please visit the IBM Global Asset Recovery Solutions website: http://www-03.ibm.com/financing/us/recovery/nocharge_tran.html.

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