Election ‘08: Rearden brings change to industry!

1. Election ‘08: Rearden brings change to industry! Mike Daly Vice President, Travel Services November 2008

2. Agenda • State of the Industry: Travel’s Budget Crisis • The Harsh Reality of Today’s Transaction Model • Travelers’ Challenges • The Opportunity: Solving the Complex Problems • Monetizing Your Investment • Strengthen You Business • Alternative & Incremental Revenue Opportunities

3. Your customer’s travel spend is out of control…

4. “Occupancy will drop in ’09, but rates won’t.” “Smith Travel Research projects that hotel occupancy will drop in 2009, but that rates will actually rise. They forecast that occupancy will fall 3.5 points, to 59.2%, the lowest level since 2003. Unlike in 2003, however, rates will actually go up 1% in Average Daily Rate to $108.53, an all time high.” Continental's Hilfman On Capacity Cuts: 'Wait 'til you see what's coming in Q109’ Dave Hilfman cited that 4th quarter cuts had exceeded 8 percent, but in Q109 we should see "12, 13 and 14 percent cuts." He also mentioned that every $1 increase in a barrel of oil costs Continental an additional $45 million in fuel per year. Travel Weekly, Nov 1, 2008 Bank on this: bank failures will rise next year Financial crisis likely to yield biggest banking shakeout since savings-and-loan meltdown “AIG, party on!” AIG hits the spa just days after the it grabbed an $85 billion bailout package from US taxpayers Associated Press, October 5, 2008 Chicago Tribune, October 9, 2008 Beat Sept 25, 2008 “The Golden State recently scrambled to fill a $15 billion budget gap, still may not be able to meet its payroll without help.” BusinessWeek, Oct 8, 2008 Annoying airline charges. “Some American carriers now charge for seat preferences in the coach section. JetBlue charges $10-$20, Northwest $5-$35, and AirTran $6 for advance seat selection on discounted tickets.” Forbes Traveler May 29, 2008

5. Rising Cost = Rising Budget

6. Rising Cost = Rising Budget

7. … and this budget crisis has impacted your transactional revenue model.

8. The Facts

9. Travel Management Focus: Current State Transaction Fees Air, Hotel, Car Cost of Travel

10. Unmanaged Air HotelCar Other (Airport Parking, Limo, Dining, Expense Reporting, etc.) Actively Managed BTN CORPORATE TRAVEL 100 RANK AIR TOTAL T&E#11 J&J $202M $723M#13 PWC $179M $569M#47 Deutsche Bank $80M $214.4M Traditional Travel Management Addresses Only Half of T&E Spend Source: American Express Corporate Card - 2007

11. Strengthen Your Business: Broaden the Focus of Travel Management From: Travel Services To: Employee Business Services Airport Parking Dining Air HotelCar Rental Entertainment Other (Airport Parking, Limo, Dining, Event Tickets, etc.) Air HotelCar Rental Car Service Expense Reporting Actively Managed Conferencing Unmanaged

12. Another challenge facing our model: Traveler Experience.

13. Traveler Challenges

14. The ideal system Policies Negotiated Rates Supplier Management Trip Coordination

15. For Companies:A New Savings Opportunity Extensible platform for managing services spend Communicate, enforce policies at point of purchase Maximize use of preferred providers and discounts For Employees: The Personal Assistant Knows their preferences, company policies Helps them find, book, manage services they use every day Constantly works on their behalf, wherever they may be Enter Rearden Commerce

16. CBTG Meeting in New Orleans – May 2007 $100M in Funding - Foundation Capital, Oak Investment Partners F50 and SMB Customers A World Class Partner Ecosystem Rearden Commerce

17. 2500+ Customers – Fortune 100 to SMB

18. TMC Alliance Partners – May 2007

19. Distribution Partners

20. Comprehensive Spend Management for $1M ARC Customer International Mobile $28,000 Car Service $48,000 Other (Airport Parking, Limo, Dining, Event Tickets, etc.) Web & Audio Conferencing $65,000 Event Tickets $80,000 Airport Parking $54,000 Expense $125,000 This Customer Can Manage an Additional $580K in Spend from a Single Platform Dining$180,000

21. What about my travelers? Will they use it?

22. End Users Are Getting Smarter

23. End Users Expect Self Service

24. Consumer Experience has shaped their view of what's possible

25. Desktop RSS (Real Simple Syndication) Mobile App Employees Demand a New Approach“Businesses are struggling to keep pace with a new generation of young peopleentering the workforce, who have starkly different attitudes and desires.” Email SMS (Text Messaging)

26. IdentityWho you are • You’re a sales VP • You like aisle seats, Hyatt and Hertz • You carry a BlackBerry 8700 • You prefer seafood restaurants with high Zagat ratings. • When traveling on business, you always use your Amex corporate card SOA Identity XML XML Context Presence • PresenceKnows where and how to reach you • It’s 5PM on Tuesday, you’re in Manhattan and can be reached via your BlackBerry. • ContextKnows what you are doing right now • You’re flying home to Chicago. It’s 5 degrees there and snowing. Would you like to order car service? SOA

27. Challenges Simplified Identity Context Presence

28. How do you monetize your investment?

29. 3 Simple Steps • Convert your customers. • Turn on the productivity tools. • Help us, help you.

30. Step1: Migrate Customers and Evolve Your Business

31. “With the introduction of the non-travel services that Rearden brings to the table, we will certainly evolve from being a travel management company to a business services consultant.  Customers will rely on us to assist in the control of new expense categories, and to the extent that we embrace this new role, our value to our customers will be enhanced.” Mike Cain, President Start Expanding Your Business Airport Parking Air HotelCar Rental Dining Entertainment Other (Airport Parking, Limo, Dining, Event Tickets, etc.) Air HotelCar Rental Car Service Evolve from being a TMCto aBSC Shipping Actively Managed Unmanaged Conferencing

32. Step 2: Give Them What They WantOnline & Offline – Every Transaction, Every Time

33. Car Service Conference Call Parking Air Hotel Dinner Event Tickets Automated Calendaring

34. Travel Notifications & Alerts • Notification is integrated in the Personal Assistant • Ability to send notifications to others • Automatic alerts go straight to your email

35. Last updated 11/20 @ 7:45 Depart SFO Mon 11/20 @ 9:30am Term 3, Gate 10, Seat 33A Arrive JFK Mon 11/20 @ 2:30pm Term 3, Bag Carousel 3B Mon 11/20 Mon 11/21 Mon 11/22 Always Available Mon 11/20

36. Full Integration with the Personal Assistant • Single Sign On – no need for multiple passwords or logins • Reports are pre-populated with expense details from the Personal Assistant,corporate cards and personal credit/debit cards Automatically Populated Expense Reports

37. Step 3: Help Us, Help You

38. ExpenseWire, Inside Sales & Up-Sell SupportThe up-sell process has been designed to drive an effective and collaborative sales effort with our Channel Partners

39. Access qualified leads & search engine marketing Quickly find and leverage resources Co-brand our marketing materials… and more! Rearden Commerce Partner Marketplace The Partner Marketplace is a secure online environment whereby Rearden Commerce will distribute leads, post resources, track deals and process requests.

40. Adoption • We execute ongoing, targeted adoption campaigns to help our customers attain their business goals.

41. Earn revenue and add value before the first transaction is ever processed

42. What Our Partners Say “We find that these days, people are choosing Rearden, no question about it. It does so much more than most online booking tools.” Tom Walker Vice President Sales - Peak Travel “My sales guys will now focus on selling Rearden Commerce and ExpenseWire, and sometimes say, by the way, we have airline tickets too.” Jeff Smith Owner and President - Travizon (Top 10 TMC) “Since we have deployed Rearden Commerce, we have more than doubled our adoption from our previous online travel tool.  Not only are our customers seeing dramatic savings, but also with Rearden's Personal Assistant, there is a substantial increase in traveler productivity from the calendar synchronization and notification features." Hilary Roberts Executive Vice President - Campbell Resources “In 7 weeks I sold $9M of net/new business leading with the Rearden platform from a total of 19 accounts ranging in size from $500K-$1.2M in air.  I have never had that success rate before. Cindy Sauter Vice President Sales - Atlas Travel “I should change my company name from Vanguard Travel to Vanguard and just sell the Personal Assistant.” Lori Raduenz President - Vanguard Travel “If TMCs just handle business the traditional way and don’t look at other avenues to provide more value to clients, our industry is in danger of becoming obsolete. For instance, we can now offer dining services to our clients that help them save money. And before now, who ever would have thought their TMC could help a customer secure an outstanding rate for their audio and Web conferencing? This is where the industry is headed and having these capabilities puts Morris Murdock head and shoulders above our competition.” Becky Potts President - Morris Murdock Travel. “If you feel you can go into the marketplace with ResX, Cliqbook, or any other tool and get a license fee from a client and earn revenue before processing a single transaction, no need to do a deal with us.” Mike Daly Vice President, Travel Services – Rearden Commerce

43. Q&A

44. GlaxoSmithKline Results • Challenge • Inability to manage services spend beyond A/C/H • Low employee satisfaction, adoption of existing tools • Employees not leveraging negotiated discounts • Costly, manual processes • Solution • Deployed to 49,000 users in the US and UK • HR feed, activation emails automatically sent to new users • Use of SSO reduces login errors, improves adoption • Groupware integration via iCal • Launched: Travel, Packship, Dining, Parking, Car Service • Results • Increased online adoption by 54% in first month • Achieved 99.6% “submit-for-purchase” rate • 90% online adoption for primary domestic routes • 1600 Rewards Network transactions in first 2 months

45. ConAgra Foods • Challenge • Low 11% adoption of existing booking tool • Poor user experience, low employee satisfaction • Inability to guide users to preferred providers • Low visibility to spending across multiple services • Solution • Deployed to 11,765 users in the US • HR feed updated every week • Use of SSO reduces login errors, improves adoption • Groupware integration via iCal • Launched: Travel, Packship, Dining, Parking, Car Service & Event Tickets • Results • Achieved 81% adoption in first month • 11% reduction in average airline ticket prices • 30% increase in use of preferred hotels • 4% increase in use of non-refundable tickets • 3% increase in use of preferred air carriers

46. Motorola • Challenge • Hundreds of thousands of shipments • Employees had no visibility to best negotiated rates • No central policy & compliance management • Shipping process was manual and costly • Lost employee productivity & low satisfaction “ The ability for employees to view real-time price comparisons amongst the supply base allows Motorola the opportunity to take a more strategic approach towards our non-production shipping needs • Solution • ~12,000 users in North America • Package Shipping Today & Expanding • Easily compare shipping rates and delivery options • Results • Reduced desktop shipping costs by 19% • Save average of $2 per package • 94% of users rated our technology as easy to use • 91% would recommend it to a colleague ” Terry J. Rieth, PhD,Motorola Indirect Procurement Leader

47. What Our Customers Say “Rearden Commerce takes this idea of 'visual guilt' and puts all that pricing transparency in front of the user. If the user has all the information, they'll make the right decision for the company."Greg Brandyberry VP of Procurement, GlaxoSmithKline “Our employees love how the Rearden Personal Assistant automatically inserts reservation details into their Outlook calendars, even while they’re on the road.” Steven Mandelbaum Senior Director – IT, Advisory Board “In my last company, it took more than a year to get to the adoption rate we’ve achieved after just one month of using Rearden Commerce. It’s really a testament to the ease of use of the Rearden Personal Assistant and how much our employees enjoy using it. It just makes our work life easier.” Stacey Taylor VP of Indirect & Capital Enterprise Procurement ConAgra Foods “Rearden's technology enhances my visibility and control over travel and services spending, and gives our employees a single source for services purchasing to aid in both productivity and policy compliance.” Terry Wood, JDS Uniphase “The ability for employees to view real-time price comparisons among the supply base allows Motorola the opportunity to take a more strategic approach toward managing our non-production shipping needs.” Terry Rieth, Ph.d Indirect Procurement Leader, Motorola

48. Value Assessment Adoption Spend Current Future Air Travel Adoption Rate Hotel Current Future Travel Entertainment Car Rental Other Services Parking ExpenseReports Limo/Sedan Company Stats Total Dining Event Tickets Explanation: Spend is derived from air travel based on historical spend average of Rearden-conducted value assessments Packship Web/Audio Other Expense Reports