2020 Terms & Conditions

IBM PartnerWorld Know Your IBM (KYI) Supplement

As a new or current participant of the Know Your IBM (KYI) Offering, it is a requirement that you
review and accept the offering terms and conditions.

This IBM PartnerWorld – Know Your IBM Supplement (“KYI Supplement”) as described in the IBM
PartnerWorld – Know Your IBM Attachment (“KYI Attachment”) conveys the details of an eligible KYI
offering. The terms of this Supplement prevail over the terms of the KYI Attachment and the terms of the
IBM PartnerWorld Agreement – International Basic General Terms (“PWA”)

Announcement Date of Offering: January 1st, 2020

End Date of Offering: No end date
2019 Points Redemption Deadline: 31st May 2020
2020 Points Redemption Deadline: 31st May 2021
KYI Points earned between Jan 1st 2020 and Dec 31st 2020

KYI website: www.ibm.com/partnerworld/knowyouribm

Countries Available: See Addendum 1
KYI Reward Point Value: $0.25 USD per point

Table of Contents
1. 2020 Sales Incentives.............................................................................................................................. 3
1.1 IBM Storage Solutions for Hybrid Multicloud ............................................................................................................... 3
1.2 IBM Storage Solutions for Smarter Business (Big Data & AI) ............................................................................ 4
1.3 IBM Storage Solutions For Modern Data Protection & Cyber Resiliency ..................................................... 4
1.4 IBM Storage New Customer Incentive ............................................................................................................................ 5
1.5 Watson Machine Learning Accelerator and Power Artificial Intelligence Vision and Spectrum
Computing Software .......................................................................................................................................................................... 6
1.6 Power Systems Linux Server Sales Incentive ............................................................................................................. 6
1.7 IBM LinuxONE First in Enterprise Sales Incentive.................................................................................................... 7
2. Global KYI Offering Terms and Conditions ..................................................................................... 9
3. Participant Eligibility .............................................................................................................................. 9
4. Integrity Training .................................................................................................................................. 10
5. Participant limit per Business Partner.......................................................................................... 10
6. Merchandise limits ............................................................................................................................... 10
7. Eligible Sales............................................................................................................................................ 10
8. Government Entities ............................................................................................................................ 10
9. Sales claims .............................................................................................................................................. 11
10. Termination ........................................................................................................................................ 12
11. Privacy .................................................................................................................................................. 13

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 12. Tax responsibility ............................................................................................................................ 13
13. Sales Incentives.................................................................................................................................. 13
14. Awarding at the Firm Level: .......................................................................................................... 14
Note this option may not be available for all Sales Incentives. ................................................................................14
15. Learn and Earn ................................................................................................................................... 16
15.1 Certifications .............................................................................................................................................................................16
15.2 KYI Status Tiers .....................................................................................................................................................................17

Tax Liability ........................................................................................................................................... 20

Germany, Italy & Korea: ..................................................................................................................... 20

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 1. 2020 KYI Sales Incentives

1.1. IBM Storage Solutions for Hybrid Multicloud

1.2. IBM Storage Solutions for Smarter Business (Big Data & AI)
1.3. IBM Storage Solutions for Modern Data Protection & Cyber Resiliency
1.4. Storage New Customer Incentive
1.5. IBM Power AI Sales Incentive/IBM Watson MLA and IBM Power AI Vision Incentive and
Spectrum Computing Software
1.6. IBM Power Systems Linux Server Incentive
1.7. IBM LinuxONE First in Enterprise Sales Incentive

Eligible Product Table for all Systems Sales Incentives can be viewed here
https://www.ibm.com/partnerworld/page/pw_ast_iitwi-eligible-product-list

For those participating in the KYI Sales Incentives, qualifying participants are encouraged to accurately
claim qualifying sales and, as appropriate, share a claim 50/50 with another confirmed qualifying sales or
technical participant from their firm who assisted with the closure of the sales transaction. Sales and
Technical representatives who worked on the transaction together will each be able to claim their half of
the transaction. NOTE: a quarterly breakdown of transaction splits will be available for the Primary
Relationship Contact (PRC) to review for accuracy.

1.1 IBM Storage Solutions for Hybrid Multicloud Sales Incentive

The Offer

IBM client facing Business Partner sellers who acquire eligible Storage Solutions for Hybrid Multicloud
from an IBM Authorized Distributor may be eligible to earn Know Your IBM (KYI) points that can be
redeemed for a reloadable reward card equal to the value of 1% of the eligible Storage revenue to IBM
(Performance Rewards revenue, Partner Growth revenue) on a qualifying transactions, up to a maximum
of USD $20,000 per transaction ($5,000 for Hong Kong and Taiwan). Aggregate value of all qualifying
products on transaction counts towards minimum deal size of $10,000 to initiate the reward benefit.

New FlashSystems products announced on February 11th, 2020 are eligible to receive an additional 2%
of revenue between announcement date and June 30th, 2020. See eligible product table under Hybrid
Multicloud incentive for details on machine type models that qualify for this bonus.

To participate in this incentive, IBM client facing Business Partner - Resellers must acquire (within the
valid dates of this offering) the eligible IBM Storage Hardware (HW) and associated systems software
(SW) and software maintenance. Eligible software must be accompanied in the order with its associated
HW to be eligible for this incentive. Stand-alone SW is not eligible. See eligible products list.

A qualifying transaction is a sale within the same enterprise, to a single end user customer. Multiple
orders may be placed for a single transaction resulting in multiple invoices. These are all viewed as a
single transaction provided all transactions are invoiced to the same end user and there is no more than
10 business days between the first and last invoice.

For the purposes of this incentive, the full-time sales or technical representative of the IBM Business
Partner claiming a reward under this incentive represents and acts on behalf of the IBM Business Partner
(Reseller) company. KYI points earned under this incentive will count towards the annual maximum of
points KYI participants are eligible to earn under the incentive cap as shown on the table under Section
14.

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1.2 IBM Storage Solutions for Smarter Business (Big Data and AI)
Sales Incentive
The Offer

IBM client facing Business Partner sellers who acquire eligible IBM Storage Solutions for Smarter
Business (Big Data & AI) from an IBM Authorized Distributor may be eligible to earn Know Your IBM (KYI)
points that can be redeemed for a reloadable reward card equal to the value of 1% of the eligible product
revenue to IBM (Performance Rewards revenue, Partner Growth revenue) on all qualifying transactions,
up to a maximum of USD $20,000 per transaction ($5,000 for Hong Kong and Taiwan). Aggregate value
of all qualifying products on transaction counts towards minimum deal size of $10,000 to initiate the
reward benefit.

To participate in this incentive, IBM client facing Business Partner - Resellers must acquire (within the
valid dates of this offering) the eligible IBM Storage Hardware and associated systems software and
software maintenance. See eligible products list.

A qualifying transaction is a sale within the same enterprise, to a single end user customer. Multiple
orders may be placed for a single transaction resulting in multiple invoices. These are all viewed as a
single transaction provided all transactions are invoiced to the same end user and there is no more than
10 business days between the first and last invoice.

For the purposes of this incentive, the full-time sales or technical representative of the IBM Business
Partner claiming a reward under this incentive represents and acts on behalf of the IBM Business Partner
(Reseller) company. KYI points earned under this incentive will count towards the annual maximum of
points KYI participants are eligible to earn under the incentive cap as shown on the table under Section
14.

1.3 IBM Storage Solutions for Modern Data Protection & Cyber
Resiliency Sales Incentive
The Offer

IBM client facing Business Partner sellers who acquire eligible IBM Storage Solutions for Modern Data
Protection & Cyber Resiliency from an IBM Authorized Distributor may be eligible to earn Know Your IBM
(KYI) points that can be redeemed for a reloadable reward card equal to the value of 1% of the eligible
Storage revenue to IBM (Performance Rewards revenue, Partner Growth revenue) on a qualifying
transactions, up to a maximum of USD $20,000 per transaction ($5,000 for Hong Kong and Taiwan).
Aggregate value of all qualifying products on transaction counts towards minimum deal size of $10,000 to
initiate the reward benefit.

To participate in this incentive, IBM client facing Business Partner - Resellers must acquire (within the
valid dates of this offering) the eligible IBM Storage Hardware and associated systems software and
software maintenance. See eligible products list.

A qualifying transaction is a sale within the same enterprise, to a single end user customer. Multiple
orders may be placed for a single transaction resulting in multiple invoices. These are all viewed as a
single transaction provided all transactions are invoiced to the same end user and there is no more than
10 business days between the first and last invoice.

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For the purposes of this incentive, the full-time sales or technical representative of the IBM Business
Partner claiming a reward under this incentive represents and acts on behalf of the IBM Business Partner
(Reseller) company. KYI points earned under this incentive will count towards the annual maximum of
points KYI participants are eligible to earn under the incentive cap as shown on the table under Section
14.

1.4 IBM Storage New Customer Sales Incentive

The Offer

IBM client facing Business Partner sellers whose Business Partner firms acquire eligible IBM Products
and Services from an IBM Authorized Distributor may be eligible to earn PartnerWorld Know Your IBM
(KYI) points redeemable for a reloadable reward card of up to the equivalent of 1% of eligible IBM
hardware and IBM software eligible revenue to IBM (defined as resell revenue as used by the
PartnerWorld console for Competency attainment) when their customer meets the criteria of a New Client
or Customer (as defined under the Pay for Value and Value Seller Program New Client determination
below) and acquires eligible Storage products, up to a maximum of $20,000 per transaction ($5,000 for
Hong Kong and Taiwan). Aggregate value of all qualifying products on transaction counts towards
minimum deal size of $10,000 to initiate the reward benefit.

The incentive may only be claimed on the first sale made to an eligible New Customer.

New FlashSystems products announced on February 11th, 2020 are eligible to receive an additional 2%
of revenue between announcement date and March 31st, 2020. See eligible product table under New
Customer Incentive tab for details on machine type models that qualify for this bonus.

To participate in this incentive, IBM client facing Business Partner - Resellers must acquire (within the
valid dates of this offering) the eligible IBM Storage Hardware and associated systems software and
software maintenance.

A qualifying transaction is a sale within the same enterprise, to a single end user customer. Multiple
orders may be placed for a single transaction resulting in multiple invoices. These are all viewed as a
single transaction provided all transactions are invoiced to the same end user and there is no more than
10 business days between the first and last invoice.

For the purposes of this incentive, the full-time sales or technical representative of the IBM Business
Partner claiming a reward under this incentive represents and acts on behalf of the IBM Business Partner
(Reseller) company. KYI points earned under this incentive will count towards the annual maximum of
points KYI participants are eligible to earn under the incentive cap as shown on the table under Section
14.

Pay for Value and Value Seller Program New Client determination
New Client end user customer eligibility and process

To qualify for the Power or Storage New Client adder, the IBM install and shipped order records for an
end-user enterprise must show that no IBM hardware product from the relevant brand (server, model
conversion or hardware MES) was installed at / sold to the enterprise for a 36 months (24 months for
North America) period prior to the date (inclusive) the New Client validation was performed by IBM

Channel Value Rewards Software New Client (CVR –New Client) An account is considered New or
Reactivated if the end user customer has not purchased any new license(s), software service(s), software
subscription and support, software bundled with hardware and/or software appliance(s) from IBM in the
last 36 months (24 months for North America) in-country as a parent company, franchisee or subsidiary.

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NOTE: Business Partner companies that opt to receive the KYI benefit at the company level are not
eligible to participate in the New Customer Incentive. Partners located in North America can reference
the local announcement letter # ZWAM6174.

This offer is valid for all Storage Hardware and Software products listed under the eligible product table.

1.5 Watson Machine Learning Accelerator and Power Artificial

Intelligence Vision and Spectrum Computing Software Sales Incentive
The Offer

IBM Business Partner sellers who acquire IBM Watson Machine Learning Accelerator (formerly Power AI
Enterprise) or Power AI Vision Software or IBM Spectrum Computing software products may be eligible to
earn Know Your IBM (KYI) points that can be redeemed for a reloadable reward card equal to 5% of the
eligible Power revenue to IBM on a qualifying transaction, up to a maximum of USD $30,000 ($5,000 for
Hong and Taiwan). Aggregate value of all qualifying products on transaction counts towards minimum
deal size of $10,000 to initiate reward benefit.

To participate in this incentive, IBM client facing Business Partner - Resellers must acquire for the
purpose of resale (within the valid dates of this offering) the eligible IBM Watson Machine Learning
Accelerator (formerly PowerAI Enterprise) or Power AI Vision Software or Spectrum Computing Software.

A qualifying transaction is a sale within the same enterprise and to a single end user customer. Multiple
orders may be placed for a single transaction resulting in multiple invoices. These are all viewed as a
single transaction provided all transactions are invoiced to the same end user and there is no more than
10 business days between the first and last invoice.

For the purposes of this incentive, the full-time sales or technical representative of the IBM Business
Partner claiming a reward under this incentive represents and acts on behalf of the IBM Business Partner
(Reseller) company. KYI points earned under this incentive will count towards the annual maximum of
points KYI participants are eligible to earn under the incentive cap as shown on the table under Section
14.

1.6 Power Systems Linux Server Sales Incentive

The Offer

IBM Business Partner sellers who acquire IBM Power Systems Linux Servers may be eligible to earn
Know Your IBM (KYI) points that can be redeemed for a reloadable reward card equal to 2% of the
eligible Power revenue to IBM on a qualifying transaction, up to a maximum of USD $10,000 ($5,000 for
Hong Kong and Taiwan). Aggregate value of all qualifying products on transaction counts towards
minimum deal size of $10,000 to initiate reward benefit.

To participate in this incentive, IBM client facing Business Partner - Resellers must acquire, for the
purpose of resale, (within the valid dates of this offering) the eligible IBM Power Systems Linux Servers.

A qualifying transaction is a sale within the same enterprise, to a single end user customer. Multiple
orders may be placed for a single transaction resulting in multiple invoices. These are all viewed as a
single transaction provided all transactions are invoiced to the same end user and there is no more than
10 business days between the first and last invoice.

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For the purposes of this incentive, the full-time sales or technical representative of the IBM Business
Partner claiming a reward under this incentive represents and acts on behalf of the IBM Business Partner
(Reseller) company. KYI points earned under this incentive will count towards the annual maximum of
points KYI participants are eligible to earn under the incentive cap as shown on the table under Section
14.

1.7 IBM LinuxONE First in Enterprise Sales Incentive

(Europe, Middle East & Africa, Latin America, Hong Kong & Taiwan)

The offer

IBM client facing Business Partner sellers who acquire eligible LinuxONE Systems for resale to an end
user client may be eligible to earn Know Your IBM (KYI) points that will be awarded to your IBM
reloadable rewards card.

The incentive value on a qualifying transaction is equivalent to USD $4,500.

To participate in this incentive, IBM client facing Business Partner -Resellers must acquire (within the
valid dates of this offering) the eligible IBM LinuxONE System (see eligible products list) for resale to a
First in Enterprise (FIE) end user. An FIE is an account where the end user has no historical IBM Z
hardware or software stack revenue within the enterprise worldwide. Accounts qualifying as Re-
Activation (R-A) End Users may also be eligible. A Re-Activation (R-A) is an account where the End User
had historical IBM Z hardware or software stack revenue in the country, moved off the platform and has
not had IBM Z hardware or software stack revenue in the country for the previous 3 years. End User
eligibility must be confirmed by IBM before discussing this offering with the potential End User.

Multiple orders may be placed for a single transaction resulting in multiple invoices, however, only one
KYI payment will apply. These are all viewed as a single transaction provided all transactions are invoiced
to the same end user and there is no more than 10 business days between the first and last invoice.

For the purposes of this incentive, the full-time sales or technical representative of the IBM Business
Partner claiming a reward under this incentive represents and acts on behalf of the IBM Business Partner
(Reseller) company. KYI points earned under this incentive will count towards the annual maximum of
points KYI participants are eligible to earn under the incentive cap as shown on the table under Section
14.

IBM LinuxONE First in Enterprise Sales Incentive (North American)

The offer

IBM client facing Business Partner sellers who acquire eligible LinuxONE Systems for sale to an end user
client may be eligible to earn Know Your IBM (KYI) points that will be awarded to your IBM reloadable
rewards card.

The incentive value on a qualifying transaction is equivalent to USD $20,000. This KYI Sales Incentive
can be claimed by the Tier 1 Reseller or the Tier 1 can split the Sales Incentive benefits equally between
the Tier 1 Reseller and the Value Net Solution Provider (VNSP) if a VNSP engaged in the transaction and
the VNSP meets all requirements of being a PartnerWorld KYI participant.

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To participate in this incentive, IBM client facing Business Partner - Resellers must acquire (within the
valid dates of this offering) the eligible IBM LinuxONE System (see eligible products list) for resale to a
First in Enterprise (FIE) End User. An FIE is an account where the end user has no historical IBM Z
hardware or software stack revenue within the enterprise worldwide. Accounts qualifying as Re-
Activation (R-A) End Users may also be eligible. A Re-Activation (R-A) is an account where the End User
had historical IBM Z hardware or software stack revenue in the country, moved off the platform and has
not had IBM Z hardware or software stack revenue in the country for the previous 3 years. End User
eligibility must be confirmed by IBM before discussing this offering with the potential End User.

Multiple orders may be placed for a single transaction resulting in multiple invoices, however, one KYI
payment will apply. These are all viewed as a single transaction provided all transactions are invoiced to
the same end user and there is no more than 10 business days between the first and last invoice.

For the purposes of this incentive, the full-time sales or technical representative of the IBM Business
Partner claiming a reward under this incentive represents and acts on behalf of the IBM Business Partner
(Reseller) company. KYI points earned under this incentive will count towards the annual maximum of
points KYI participants are eligible to earn under the incentive cap as shown on the table under Section
14.

1.8 Power Forward Incentive (Available in North America only)

The Offer

Start Date: March 1st, 2020

End Date: December 31st, 2020

IBM Business Partner sellers who sell a new P9 IBM Power Systems Server, as part of an old iron power
modernization box replacement (P5/6/7/7+/8), may be eligible to earn up to 1% of the eligible Power
revenue to IBM on a qualifying transaction, up to a maximum of USD $2500. System(s) being replaced
must be on maintenance. Aggregate value of all qualifying Power products on the transaction counts
towards the minimum deal size of $50,000 to initiate reward benefit.

To participate in this incentive, IBM client facing business partner resellers must acquire, for the purpose
of resale, (within the valid dates of this offering) the eligible IBM Power Systems Servers (see Eligible
Product list under North American Power Forward tab).

Individuals participating will need to fill in the form located on the North American Power Forward
incentive tab on the KYI portal. Individuals will be asked to submit the following information,
• End User Company Name
• End User Address
• Machine Type, Model and Serial Number of POWER9 system(s) sold
• Machine Type, Model and Serial Number of P5/6/7/7+/8 system(s) replaced

A qualifying transaction is a sale within the same enterprise, to a single end user customer. Multiple
orders may be placed for a single transaction resulting in multiple invoices. These are all viewed as a
single transaction provided all transactions are invoiced to the same end user and there is no more than
10 business days between the first and last invoice.

For the purposes of this incentive, the full-time sales or technical representative of the IBM Business
Partner claiming a reward under this incentive represents and acts on behalf of the IBM Business Partner
(Reseller) company. This incentive is eligible to individuals only. Firms who elect to receive the benefit at
the company level are not eligible for this incentive.

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 2. Global KYI Offering Terms and Conditions

The Offering consists of two components:

(i) “Learn and Earn” Rewards

(ii) “Sales Incentive” Rewards

2.1. Offering applicants agree to be bound by the KYI Offering Supplement (including the terms
contained in this document) and may be changed or modified at any time without notice by IBM
at its absolute discretion
2.2. IBM may at its absolute discretion, suspend or terminate the KYI Offering, in whole or in part at
any time without prior notice and without liability
2.3. IBM takes all reasonable care to ensure that any information contained in the KYI Offering
Supplement (including the terms contained in this document) and in any publication in
association with the offering is accurate, but does not accept liability with respect to any errors or
omissions in any information, whether written or verbal
2.4. IBM's decision on all matters pertaining to the offering is final and binding and no
correspondence will be entered into
2.5. IBM reserves the right to substitute a prize of equivalent function or value
2.6. This promotion is void where prohibited or restricted by law
2.7. IBM will report, to local tax authorities on behalf of the participating individual, all redeemed
earnings within the calendar year (where required)
2.8. IBM retains the right to audit any or all submissions under the offering
2.9. IBM may request copies of invoices, delivery orders or other documentation as evidence that the
participant has complied with the KYI Offering Supplement (including the terms contained in this
document). IBM may retain a copy of this documentation
2.10. Each participant must comply with the highest ethical principles in performing under the KYI
Offering. A participant must not offer or make payments or gifts (monetary or otherwise) to
anyone for the purpose of wrongfully influencing decisions in favour of IBM, directly or indirectly.
IBM may terminate a participant’s participation under the KYI Offering immediately in case of 1)
a breach of this clause or 2) when IBM reasonably believes such a breach has occurred or is
likely to occur
2.11. If a KYI participant is found at any time not in full compliance with KYI Terms and Conditions,
IBM has the right to recover any issued rewards and unspent funds from the participating
Business Partner representative(s). Additionally, IBM reserves the right to terminate the
Business Partner representative from the KYI offering immediately and may deny participation in
the KYI offering in the future.
2.12. You must be registered in KYI having accepted the terms and conditions prior to receiving a KYI
benefit.

3. Participant Eligibility

3.1. Your company must accept the KYI Attachment which grants IBM permission to reward you
directly.
3.2. You must belong to a firm that holds an active IBM Business Partner Agreement.
3.3. Only full-time Business Partner employees who qualify as eligible sales or technical personnel
may participate in KYI. No other Business Partner employees may participate, including
contractors, administrative, management, and part-time sales or technical personnel.
3.4. All firms participating must be certified as completing the IBM Code of Conduct.
3.5. Firms defined as Distributors or Alliance Partners are eligible for participation in Know Your IBM
‘Learn and Earn’ offering component only.
3.6. You must have an IBM ID associated with your company.

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3.7. Participants must use their company email address for their id’s.
3.8. It is the participant’s responsibility to ensure they secure approval from the principal officer,
senior manager, or executive of your Business Partner Company (Business) with the authority to
make personnel decisions on behalf of your company.
3.9. KYI contract documents must be electronically accepted, or for certain countries designated by
IBM, a hard copy signature may be required by the APA (Authorised Profile Administrator) or
PRC (Primary Relationship Contact) within the PartnerWorld program, to grant permission for
the qualifying employees of your company to earn and redeem points through the KYI offering

4. Integrity Training

4.1. To earn a benefit through this offering participants must have completed IBM Integrity Training
within the last two years.
4.2. Integrity Training is free of charge and approximately 30 minutes in length.
4.3. A user cannot redeem any earned KYI points until this training is fulfilled/validated
4.4. To request access to the IBM Integrity Training participants can email service@kyirewards.com.

NOTE: Integrity training is mandatory for ALL users at individual level and for either
PRC/nominated claimant at firm level

5. Participant limit per Business Partner

5.1. Each Business Partner country enterprise ID (CEID) has a limit of 100 sales and technical staff
that may earn a benefit through the Know Your IBM offering. User participation is at the
discretion of the Authorized Profile Administrator (APA) or Primary Relationship Contact (PRC)
within the BP firm, subject to these terms and conditions

6. Merchandise limits

6.1. Participants are limited to redeeming a quantity of three (3) of a specific product type. (Example:
you can claim 3 x iPads, but you can’t claim 3 x iPad 16GB and 3 x iPad 32GB and 3 x iPad
64GB). Note that merchandise redemption is only available for Learn and Earn reward points
earned.

7. Eligible Sales

7.1. Only sales of new products are eligible to receive a reward benefit. IBM defines eligible new
products as those resulting in the placement of a new machine or licensed program serial
number. Conversions, upgrades, and MES's (Miscellaneous Equipment Specification) to
existing serial numbers do not qualify as new products. Products acquired for Business Partner
internal use or for demonstration or development use do not qualify for points under the terms of
this offering

8. Government Entities

8.1. Government Entities and Entities governed by Anti-Bribery and Graft Act (Kim Young-ran
Act):
All Business Partners who are Government Entities (GE), a part of a GE, or controlled by a GE, as
defined in the KYI Attachment, and entities governed by Kim Young-ran Act* are prohibited from
participating in the KYI offering. IBM reserves the right to reverse points awarded to Business
Partners who are Government Entities. For a definition of what IBM includes as a GE please click
here

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8.2. Sales to Government Entities and Entities governed by Anti-Bribery and Graft Act (Kim
Young-ran Act):

Sales to Government Entities, a part of a GE, or controlled by a GE, as defined in the KYI
Attachment, and entities governed by Kim Young-ran Act* do not accrue KYI points. IBM will not
import these invoices onto the offering website. It is the responsibility of the participant to not claim
any such invoices that were imported to the offering website in error. IBM reserves the right to
reverse points awarded for any such invoice. For a definition of what IBM includes as a GE please
click here

IBM will make the Business Partner GE determination at its sole discretion.
*Entities governed by Anti-Bribery and Graft Act (Kim Young-ran Act) are not qualifying customers.
Consequently, sales to entities governed by Anti-Bribery and Graft Act (Kim Young-ran Act) do not
qualify for KYI points.
The list of entities subject to the Kim Young-ran Act can be found here:
http://www.acrc.go.kr/acrc/board.do?command=searchDetail&menuId=0502070104

9. Sales claims

9.1. Participants can earn Know Your IBM (KYI) points on sales of qualifying IBM products when their
respective invoices have been claimed on the Know Your IBM website. The list of qualifying
products will be published on the KYI website, along with sales out eligibility dates.
9.2. Not all products on an invoice are eligible to receive KYI points.
9.3. IBM reserves the right to change or remove qualifying products and designated KYI points, as
well as the rewards offered at any time by updating the KYI website
9.4. All changes made to this list will be communicated via the KYI website
9.5. It is the sole responsibility of the participant to ensure the claims made are accurate and
complete.
9.6. Any disputes with claimed invoices must be handled within the Business Partner’s company
without involvement from IBM, or any agency managing the offering on behalf of IBM.
9.7. All invoices of qualifying products will be imported from IBM data sources and participants will be
able to see their company's qualifying invoices approximately 30 business days following the end
of each month. New sales invoices will be uploaded on a regular basis, and all invoices for the
quarter will remain on the KYI website for three (3) months after the quarter closes. Once the
invoices for a quarter have been removed from the KYI website, they will no longer be claimable.
9.8. Sales claiming is not in real time and there is a 10-calendar-day pending period where
participants can review claimed invoices. After the 10-calendar-day pending period, a claimed
invoice and its associated points will be processed. Invoices cannot be un-claimed after this
period
9.9. By having claimed sales, a participant may qualify for the following rewards:
KYI points earned from Learn and promotion activities will be credited to a designated KYI points
account and can be redeemed for merchandise (goods and services) via the KYI rewards
catalogue. All Account Statement conditions must be met to earn a benefit.

KYI points earned via the Sales Incentives will be loaded to an IBM rewards card. All account
statement conditions must be met. Note there is a 21-day redemption processing time.

How to Claim
• Login to Know Your IBM
• Navigate to Incentive tab on the homepage

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 • Identify which invoices are yours and click the “View Details” button to see the sales information.
Only products that are eligible to receive KYI Points will be displayed
• Carefully review the details and if everything looks accurate, click the “Claim now” button
• Alternatively, you can check the box next to the invoice number that is yours and click the “Claim
an invoice” button. To claim multiple invoices that are yours check all applicable boxes
• Your claimed invoice is now viewable under the “Previously Claimed Invoices” page with your
name(s) attached to the invoice. All KYI members from your company will be able to see this
status. Any disputes with claimed invoices must be handled within the Business Partner’s
company
• If you claimed an invoice in error and within the 10-calendar day pending period, you can un-
claim it by visiting the “Previously Claimed Invoices” page. Only the user that originally claimed
the invoice can un-claim

Reward value calculation is based on revenue coming into IBM. Note that actual revenue used to
calculate incentive payout may vary due to currency fluctuations, pricing, and local accounting practices.

The deadline for claiming 2020 sales transactions is April 30th, 2021

Dates can change without notice.

Sales transaction included in KYI will be based on the products IBM has invoiced to the Distributor(s) and
which the Distributor(s) report to IBM as resold to you.

Only those transactions reported by Distributors as sold out to your firm (using your unique Country
Enterprise ID (CEID) number as identification) will be included in your attainment. If eligible transactions
are missing, in the first instance consult with your Distributor to ensure correct reporting of the sale to
IBM.

If you have any questions about this process, please review the FAQ Sell Questions found on the Know
Your IBM site or contact us anytime at salesclaims@KYIrewards.com

Claimed Invoices Audit

9.10. IBM reserves the right to conduct an audit of all sales invoices claimed in KYI. If selected for
audit, a confirmation email will be sent from auditnotice@kyirewards.com to the email address in
the participant's profile. The participant will have up to 10 business days to provide the required
sales validation, per the email instructions, or the invoice(s) shall be deemed invalid and no
points will be awarded. There will be no extensions or exceptions granted. IBM reserves the right
to reverse points awarded for any such invoices
9.11. Participation in Sales Incentives shall demonstrate the participating BP’s consent to submit to
this audit procedure at reasonable times during regular business hours. This consent does not
constitute authorization to disclose any end-user pricing information
9.12. Non-Compliant participants will forfeit any existing point balances, will be removed from
participation in the KYI offering, and will be ineligible to participate in KYI in the future. In
addition, non-compliance by the Business Partner company may result in the termination of their
IBM PartnerWorld Agreement and the Business Partner Agreement

10. Termination

10.1. IBM may terminate the involvement of any registered participant in the KYI Offering without
notice
10.2. Failure of a registered participant to comply with the KYI Offering Supplement (including the
terms contained in this document) may result in:

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 10.2.1. The termination of a registered participant’s involvement in the KYI Offering and/or;
10.2.2. The cancellation of all or part of any accrued points earned by the registered participant
10.3. Participation in the offering is automatically terminated upon:
10.3.1. The death of the registered participant;
10.3.2. Termination of the registered participant’s employment with an IBM Business Partner
10.3.3. Termination of the Business Partner Agreement or PartnerWorld Agreement with IBM
10.4. Each participant must comply with the highest ethical principles in performing under the KYI
Offering. A participant must not offer or make payments or gifts (monetary or otherwise) to
anyone for the purpose of wrongfully influencing decisions in favour of IBM, directly or indirectly.
IBM may terminate a participant’s participation under the offering immediately in case of 1) a
breach of this clause or 2) when IBM reasonably believes such a breach has occurred or is likely
to occur
10.5. A registered participant may terminate their participation in the KYI Offering by providing notice
in writing to KYI by email to service@KYIrewards.com

11. Privacy

11.1. IBM will provide to its contractors and agents for the purpose of administering the offering,
certain personal information about participants and their entries appropriate for the calculation of
awards and prizes. Any information relating to the KYI Offering subsequently disclosed by a
participant to IBM or its contractors and agents may be sought, collected, used or disclosed in
accordance with IBM’s Privacy Policy available at https://www.ibm.com/privacy, for one or more
of the following purposes:

11.2. Administering the KYI Offering and the provision or performance of services relating to the
offering; and Planning, research and the promotion of goods or services of IBM associated with
the offering.
11.3. The agency managing the offering and handling personal information on behalf of IBM is
MotivForce Marketing & Incentives (MMI)

11.4. All data is retained for a period of three years

11.5. Each participant authorizes IBM and any of its contractors or agents to seek access to, collect
and use that information or disclose that information between themselves for the above
purposes

12. Tax responsibility

12.1. Participants are solely responsible for their own social security contributions and taxes. IBM
accepts no liability for any consequential tax or social security resulting from the receipt of
compensation under this program

For individual country tax requirements see Addendum 2

13. Sales Incentives Eligibility

Qualifying employees of the following IBM Business Partner types are eligible for Sales Incentives:

13.1. IBM Business Partner Resellers who acquire products directly from IBM
13.2. IBM Business Partner Resellers who acquire IBM products from IBM Business Partner
Distributors
13.3. IBM Business Partner Systems Integrators

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Eligible sales are based on:

• New License orders, Express New License orders

• Products purchased under Value Seller terms
• Products purchased under special bid terms
• Products purchased through Passport Advantage (see list of eligible part numbers)
• Products purchased through the Advanced Administration System (see list of eligible type/model)

The following sales activity is NOT eligible and will be excluded from Sales Incentives:
• Renewals
• Reinstatements
• Products purchased under demonstration, development terms and evaluation terms
• Products purchased for Business Partners internal use.
• Products purchased by a Managed Service Provider (MSP)
• Products sold under ESA terms

There is one overall earnings cap limit for all Sales Incentives offerings.

NOTE: There may be Sales Incentives where an annual maximum per qualifying Business Partner also
applies

Market Individual Earnings Limit

(USD)

NA, Europe (exc. CEE) $100,000

Australia, New Zealand, Singapore $100,000

UAE, Qatar, Kuwait, Saudi Arabia $60,000

Korea, India, Sri Lanka, Thailand, Indonesia, Vietnam, Malaysia $50,000

Latin America: $50,000

CEE (excl RCI) $50,000

Morocco, South Africa $45,000

Turkey, Tunisia $20,000

Hong Hong, Taiwan $10,000

:

14. Awarding at the Firm Level:

Note this option may not be available for all Sales Incentives.
New users will automatically be awarded at an individual level for the Sales Incentives (i.e. via the
reloadable IBM Rewards cards). However, upon a PRC (Primary Relationship Contact) joining the KYI
Offering, selected KYI Offerings may allow the PRC to be presented with the option for Direct KYI
payments to the firm. If the firm level is chosen, all users will be amended to be rewarded at firm level

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and all points balance and/or pending incentive points will be transferred to the company account. This
does not affect any points earned through Learn & Earn.

IBM Business Partner firms may elect to receive the value of the KYI points as a payment to the firm in
lieu of IBM providing the KYI points directly to the Business Partner’s client facing seller(s) through the
use of the reloadable reward cards.

Partners located in the Philippines only have the option to receive the benefit at the Firm Level, not at the
Individual Level. Reward payout will be based on % revenue on qualifying products made by the
Business Partner Company.

Although the Business Partner firm is the ultimate decision maker as to how it compensates its
employees, in order to receive KYI payments paid directly to the firm for this incentive, the Business
Partner represents that they will use value of the KYI points paid to provide incentive compensation to the
responsible Business Partner client facing seller(s) responsible for the sale. Under this option, the
Business Partner shall determine the Business Partner client facing seller(s) who receive the incentive
compensation and the amount of the incentive payment. Business Partner, and not IBM, shall be
responsible for any income tax withholding. Business Partner shall be solely responsible for any claims or
disputes associated with incentive distribution under this option. Should the Business Partner not agree
with the use of the KYI payments in this manner, the funding will not be provided.

In order to apply for this firm payment option, the BP firm must do the following:

a) Assign an individual from the firm as focal point.

b) The Primary Relationship Contact (PRC) for the firm can log on to KYI where they will be presented
with the option to designate a company coordinator to perform the claims on behalf of the company.
(i) If the direct pay option is chosen, the focal point must confirm the firm will use the direct payment to
provide incentive compensation to the responsible Business Partner client facing seller(s) responsible for
the sale.
(ii) If the firm selects the direct option, the focal point must access the KYI portal at
www.ibm.com/partnerworld/knowyouribm and create a profile for the firm.
c) IBM will record the eligible transactions for the Incentive in the profile set up for the firm.
d) The focal point will access the profile monthly and validate the transactions for their firm.
e) Once validated, IBM will make a payment to the firm in a single lump sum for all the validated
transactions in a calendar quarter. Payments are made once a quarter the month following the end of the
quarter.
f) For Hong Kong and Taiwan only the Reward/Benefit will be paid as a Credit note from IBM to
Distributor, and it is intended that Distributor will pay an amount equivalent to the value of such credit note
to Business Partner. IBM shall, however, not bear any liability for any non-payment by Distributor.
g) If requested by IBM, the Business Partner will provide documentation demonstrating how the direct pay
option was used to provide incentive payments to the responsible Business Partner’s client facing
seller(s).

Firm level benefit option is not available in countries that fall under the Middle East and Africa, or Latin
American countries.

Notification of Company Level changes in 2020: (1) Business Partner companies who elect to receive
the incentive benefit at the company level will have a transaction earning limit of $20,000. (2) Business
Partner Companies who elect to receive the firm level benefit will no longer be able to receive a benefit
for the Storage New Customer Incentive.

The chosen reward option will remain valid for the entire calendar year and cannot be reverted
once company points have been awarded

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 15. Learn and Earn

Qualifying employees of the following IBM Business Partner types are eligible for Learn and Earn:

• IBM Authorized Business Partner Distributor

• IBM Business Partner Resellers who acquire products directly from IBM
• IBM Business Partner Resellers who acquire IBM products from IBM Business Partner Distributors
• IBM Business Partner Systems Integrators
• Distributors and Alliance Partners

Note: In Europe if you are a member of TSS Academy you are also eligible to receive KYI points for
completion of TSS Academy activities. To be rewarded KYI points you must be registered into TSS
Academy with your IBM ID

There is an individual earning cap for Learn and Earn

Market Individual Earnings Limit (KYI points)

NA, Europe (exc. CEE) 40,000

CEE 20,000

Latin America 20,000

AP, MEA, Hong Kong and Taiwan n/a

• Learning Activities (LA’s) to be completed online will be made available via the KYI website ‘Learn’
page
• Details of new LA’s will be announced on the offering website and IBM will endeavor to notify all
registered participants of the new LA via the KYI communication channels
• At the end of each LA, knowledge will be tested by a quiz
• Participants will earn points for each question they answer correctly
• The amount of points earned per question will depend on the tier level of the participant
• Points are only awarded for your first attempt of the test questions
• Points are awarded for each question as follows:

Tier status Points per question

Blue 3

Silver 6

Gold 8

15.1 Certifications

All eligible certifications are listed on the KYI website and KYI points and tier credits will be
credited to the member’s reward account upon completion and validation based on IBM
PartnerWorld Partner Profiling System (PPS) records. Business Partners must achieve a passing
score or greater on the test to be awarded

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 Region Points Tier credits

EP 250 25

LA, NA 800 25

AP, MEA, Hong Kong n/a n/a

and Taiwan

How to Report and Record Certifications

● All BP employees must report their achieved certification to the Authorised Profile Administrator
(APA) at each Business Partner firm
● The APA then reports certification achievement on behalf of employees into the IBM
PartnerWorld Profiling System (PPS) by midnight EST on January 4th, 2021. The reporting
process requires 2 key steps:
○ Reporting of an employee-supplied candidate ID
○ Assigning the employee to the firm agreement
● Certifications or mastery tests must be reported against the IBM ID the employee uses in the
Know Your IBM offering

For more information see http://www.ibm.com/certify

15.2 KYI Status Tiers

There are 3 tier status’ - Blue, Silver and Gold. You can earn unlimited tier credits when you undertake
the activities shown below between 1st Jan and 31st Dec 2020

Credit Earning Activities Tier Credits earned

Any new or re-certification 25

Any KYI eligible Systems education roadmap 5

Blue status- All new users are Blue status and earn 3 points for each correct question answered on a
point earning KYI online module. Once you earn 70 tier credits you will move to ….

Silver Status and automatically receive 500 KYI bonus points. You will earn 6 points for each correct
question answered on a point earning KYI online module. If you manage to accrue sufficient tax credits
during the 2020 KYI Offering to maintain your Silver status you will be awarded a further 500 points on 1st
Jan 2021. Once you earn 110 tier credits you will move to ....

Gold Status and automatically receive 1000 KYI bonus points. You will earn 8 points for each correct
question answered on a point earning KYI online module. If you manage to accrue sufficient tax credits
during the 2020 KYI Offering to maintain your Gold status you will be awarded a further 1000 points on
1st Jan 2021.

Your tier status will be formally reviewed on the 1st Jan each year. You must achieve the number of tier
credits listed below between 1st Jan and 31st Dec 2020 to retain your tier status in the following KYI
Offering year 2021. Your tier credits will be reset to zero on the 1st Jan 2021 if you do not earn sufficient
tier credits

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 Tier Tier credits required

Blue 0

Silver 70

Gold 110

Addendum 1
Countries Covered by this Supplement

LA (Sales Incentives & Learn): Argentina, Brazil, Chile, Colombia, Ecuador, Mexico, Paraguay, Peru,
Uruguay and Venezuela.

LA (No Sales Incentives/Learn available): Belize, Bolivia, Costa Rica, El Salvador, Guatemala, Haiti,
Honduras, Nicaragua, Panama, Dominican Republic
AP (Sales Incentives/No Learn): Australia, New Zealand, Indonesia, Malaysia, Singapore, Thailand,
India, Sri Lanka, Korea, Vietnam
AP (Sales Incentives Firm Level Only): Philippines
EP (Sales Incentives & Learn): Aland Islands, Albania, Andorra, Austria, Belgium, Bosnia &
Herzegovina, British Indian Ocean Territory, Bulgaria, Comoros, Croatia, Cyprus, Czech Republic,
Denmark, Estonia, Faeroe Islands, Falkland Islands, Finland, France, French Guyana, French Polynesia,
French Southern Territories, Germany, Gibraltar, Greece, Greenland, Guadeloupe, Guernsey, Hungary,
Iceland, Ireland, Isle of Man, Israel, Italy, Jersey, Latvia, Liechtenstein, Lithuania, Luxembourg,

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Macedonia, Malta, Martinique, Mayotte, Moldova, Monaco, Montenegro, the Netherlands, New
Caledonia, Norway, Pitcairn Island, Poland, Portugal, Reunion, Romania, Saint Helena, San Marino,
Serbia, Slovakia, Slovenia, South Georgia & South Sandwich Island, Spain, St. Pierre and Miquelon,
Sweden, Switzerland, the United Kingdom, Vanuatu, Vatican City, Wallis & Futuna.
RCI (No Sales Incentives/Learn available): Armenia, Azerbaijan, Belarus, Georgia, Kazakhstan,
Kosovo, Kyrgyzstan, Moldova, Russia, Tajikistan, Turkmenistan, Ukraine, Uzbekistan
MEA (Sales Incentives/No Learn): Qatar, Saudi Arabia, United Arab Emirates, Kuwait, Morocco,
Tunisia, South Africa, Turkey
NA (Sales Incentives & Learn): American Samoa, Guam, Puerto Rico, United States, U.S. Virgin
Islands, Canada
Not available in the Caribbean North District
GCG (Sales Incentives/No Learn): Hong Kong, Taiwan

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 Addendum 2
Tax Liability
Germany, Italy & Korea:
IBM will pay the Income tax resulting from rewards issued to participants. Reward amounts at the KYI
programme web-site for these countries will show the amount payable to the individual after tax has been
deducted. All tax payments will be held on IBM’s behalf by the agency managing the KYI offering. You will
be required to share your personal tax information for filing purposes on the KYI website.

Canada
The KYI Coordinator will provide each sales rep who has redeemed more than CDN $500 in KYI points
within the 2019 calendar year with a T4A form for tax purposes. You will be required to share your Social
Insurance Number for filing purposes on the KYI website.
USA
The KYI Coordinator will provide each sales rep who has redeemed more than USD $600 in KYI points
within the 2019 calendar year with a 1099-Misc form for tax purposes. You will be required to share your
Social Security Number for filing purposes on the KYI website.

AP (Malaysia, Indonesia, Thailand, Singapore, India, Sri Lanka)

The KYI coordinator will collect participants tax file number and report earnings through this offering to the
local tax authorities annually. You will be required to share your personal tax information for filing
purposes on the KYI website.

EP (Belgium, Finland, France, Luxembourg, Netherlands, Poland, Portugal, Spain, Sweden,

Switzerland
The KYI coordinator will collect participants tax file number and report earnings through this offering to the
local tax authorities annually. You will be required to share your personal tax information for filing
purposes on the KYI website.

GCG (Taiwan)
The KYI coordinator will collect participants tax file number and report earnings through this offering to the
local tax authorities annually. You will be required to share your personal tax information for filing
purposes on the KYI website.

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