Reduce TCO with asset rotation leasingBianca Dafel Business ManagerDell Financial Services

Presentationagenda

Why finance?

Lease vs. buy analysis

Benefits of financing

Because financing offers both operational and financial benefits

Why finance?

Source: IDC white paper, “IT Buyer Perceptions, Strategies and Requirements,” June 2012.

1 - Do not agree Strongly agree - 5

Operational flexibility

Protect against tech. obsolescence

Upgrade flexibility

Reduce equipment value risk

Budget, payment flexibility

Conserve capital

Average annual support costs—notebooks

Average annual support costs—x86 servers

Lease vs. buy analysis

As assets age, support costs increase proportionally: By years six/seven, they are more than three to five times the costs in years one/two

Source: IDC white paper, commissioned by Dell, “IT Leasing and Financing: Strategic, Operational and Financial Factors to Consider,” September 2010. IDC white paper, commissioned by Dell, “Managing IT Infrastructure Renewal: A Business Framework to Reduce Server and Storage Costs,” September

2010.

Source: IDC white paper, commissioned by Dell, “IT Leasing and Financing: Strategic, Operational and Financial Factors to Consider,” September 2010.

One 6-year deployment Two 3-year deployments

Financing lowers TCO — Notebooks

A notebook managed on a 3-year replacement cycle costs 21% less than notebooks on a ‘buy once, fix forever’ operating model

Buy once, fix forever Acquire, run, renew

Two 3-year deploymentsOne 6-year deployment

An x86 server managed on a 3-year replacement cycle costs 25% less than servers on a ‘buy once, fix forever’ operating model

Financing lowers TCO — Servers

Source: IDC white paper, commissioned by Dell, “Managing IT Infrastructure Renewal: A Business Framework to Reduce Server and Storage Costs,” September 2010.

Buy once, fix forever Acquire, run, renew

Regular technology refresh with a Fair Market Value lease

Fund IT solutions over several budget cycles

Payments over time can match benefit realization

Reduce TCO Increase ROIBeat budget constraints

Finance the entire solution with one monthly payment

Pay for your IT only as you use it

DFS can remove and recycle equipment

Simplify budgeting Preserve cash Avoid disposal worry

Benefits of financing

DFS Flex Point

11END OF YEAR 1 Exchange 30% of equipment 44

and extend lease by 12 months

22END OF YEAR 2 Exchange 30% of equipment 55

and extend lease by 12 months

33

END OF YEAR 3 Exchange remainder of equipment

66and extend lease by 12 months

Payments remain the same throughout the term. This example is based on a three year term.

Term Term YYeaearrss

Term Term YYeaearrss

Dell Financial Services offers total solution financing with flexible terms, dedicated account teams, and fully-

integrated order processing

For more information, please contact Bianca Dafel

bianca.dafel@dellfs.co.za 082 449 5282

021 680 5145