Credit and Collection Policies

In an effort to enhance credit processes, protect against fraud and ensure compliance with cash transaction reporting and monitoring requirements under U.S. law, Tech Data Corporation ("Tech Data") is changing its credit and collection policies. These changes benefit the customers, as well as Tech Data, by reducing costs associated with compliance efforts and combating fraud.

Tech Data files IRS Form 8300 for all individual cash transactions over US$10,000 and all related cash transactions resulting from one order equaling or exceeding US$10,000 pursuant to Title 26 of the U.S. Internal Revenue Service Code.

The following is a summary of Tech Data's policy on payments from resellers/customers:

1. The preferred method of customer payment to Tech Data is through the customer's own bank account via check or wire transfer.

2. Tech Data does not accept third party payments, i.e., checks or wire transfers issued from a third party (not the customer's own) account.

3. Because of the administrative burden associated with monitoring and reporting, Tech Data discourages payment by the following methods: Casa de Cambio/money remitter, money order, traveler's check, bank draft, cashier's check and/or any type of "cash equivalent" method.

4. If it is necessary for you as a Tech Data customer to utilize any of the payment methods listed in item 3 above, the following information is required to be provided by you to Tech Data prior to payment:
   
   
   • Customer Name, Address and Tech Data Customer Number;
   • Money Remitter's name and address that is being utilized;
   • Tech Data invoice number for which the funds are to be credited; and
   • Copy of the legally recognized identification card or passport of the individual delivering the funds to the money intermediary (remitter).

   The above requested information is to be provided to your credit representative; please note that Tech Data will not accept third party acquired money orders, traveler's checks, bank drafts, cashier's checks and other equivalent types of monetary instruments

   You can easily submit this information on the Payment Notification form. Please fill out the form and fax it to the Credit Department, (305) 718-3116, PRIOR to making the payment.

5. Payments made to Tech Data but which may subsequently be credited, whether due to returns, errors in posting, or for other valid reasons, will only be returned to and made payable to the customer account name.