Cisco 2-Tier Distributor Returns Policy & Process

1. Cisco 2-Tier Distributor Returns Policy & Process APAC Distribution Operations Gabriel Goh

2. Return type • Stock Rotation • Stock Obsolescence • Hardware Failure under Warranty • Hardware Failure under Service Contract • Wrong Shipment • Short Shipment • Visual Defect • Shipment Damage • Non Cisco Error Returns

3. Return Type : Stock Rotation Policy: • Limited to percentage of the dollar value of Products from the Wholesale Price List (or, if no Wholesale Price Lists exists for the Distributor’s Territory, then the applicable Price List) shipped to such entity, net of credits, less returns to Cisco, in the preceding ninety (90) day period. • The Stock Rotation percentage allowable is stipulated in the Disti Agreement with Cisco . • Credit is based on the original Wholesale Unit Price sale, less off price protection paid. • e-Delivery item is not intended to be stocked (not included WPL) and shall not be included in Stock Rotation Returns. • Distributors are encouraged to claim stock rotation once per quarter. Criteria of stock rotation product: • Product must be in original packaging with Cisco factory-seal intact. • Product must be a recognized Cisco part, not a third-party or OEM part.

4. Return Type : Stock Rotation Process Details: • Distributor to submit Stock Rotation Claim Form to Country DCAM. • Cisco DCAM informs Distribution Purchasing Manager the approved value. • Country DCAM will organize approvals from Finance. • Finance approves the request and informs CS. • CS will inform RMA# to Distributors. • Please refer “Stock Rotation Process Details.ppt” for full process details Acceptances criteria: • Product returned must be unused and unopened box. • Product returned must new in the box with a factory seal intact. • Physical product serial number must be tie in as the serial number reflect on the carton box. • All approved products must be returned by 30 days from the start date of RMA book date (refer appendix A) in Cisco system. An aging RMA report will be sent to distributors upon 60 days and Cisco reserves the rights to cancel any aging RMA once RMA# is over 90 days. • Products returned that are not within the Stock Rotation approval list will be rejected. Distributors are required to pick up the rejected products within 21 days upon Cisco’s notice from Teleplan Hong Kong facility. Freight charges are borne by distributors.

5. Return Type: Stock Obsolescence Policy: • Inventory holding protection to Distributors on Stock Obsolescence. • Distributors can refer to the pricing notification for announcement. • Products needs to be on Wholesale Price List. Criteria of Stock Obsolescence : • Claim submitted within 30 days of end-of-sales date of product. • Products must appear in Distributors’ Inventory report. • Product must be in original packaging with Cisco factory-seal intact. • Product must be a recognized Cisco part, not a third-party or OEM part.

6. Return Type: Stock Obsolescence Process Details: • Distributors to fill up a Stock Obsolescence Claim Form. • Email form to DCAM & Cisco APAC Finance. • Stock Obsolescence Claim form is to be submitted within 30 days upon receipt of notification. • Distributors are allowed to return Stock Obsolescence products under Stock Rotation policy after 30 days of notification. • Distributors must indicate the Notification # on the claim form. • Approved claims will be communicated via email to DCAMs and Distributors by 5 working days provided claim is clean & accurate. Acceptances criteria: • Product returned must be unused and unopened box. • Product returned must new in the box with a factory seal intact. • Physical product serial number must be tie in as the serial number reflect on the carton box. • All approved products must be returned by 30 days from the start date of RMA book date (refer appendix A) in Cisco system. An aging RMA report will be sent to distributors upon 60 days and Cisco reserves the rights to cancel any aging RMA once RMA# is over 90 days. • Products returned that are not within the approval list will be rejected. Distributors are required to pick up the rejected products within 21 days upon Cisco’s notice from Teleplan Hong Kong facility. Freight charges are borne by distributors.

7. Return Type : Hardware Failure under Warranty Policy: • Distributors are eligible for HWW returns on products that are technically defective. • If parts are originally purchased from a Cisco Distribution Partner, then the faulty part must be reported to the original purchasing Distributor for an in-warranty replacement. • Credit is based on the original Wholesale Unit Price sale. Criteria of HWW product under Warranty: • Product must be a recognized Cisco part, not a third-party or OEM part. • Returned product must still be on WHOLESALE PRICE LIST otherwise. • Product must be under warranty. Please check at http://www.cisco.com/public/scc/ via SN# or contract#. • If the product is not listed in SCC while you’re sure it’s still under warranty, contact cs-support@cisco.com.

8. Return Type : Hardware Failure under Warranty Process Details: • Distributor is responsible to troubleshoot hardware request from reseller/end-user. • All return requests for HWW have to be submitted via online Returns tool, select HWW(2-Tier Only) Or write to ap-returns@cisco.com and state “HW-2 (tier 2 only) return for credit. • Distributor will receive AA# (awaiting approval). AA# is not an approval for your return. It is only a reference # upon submission. Credit note will not be issued for RMA return based on AA#. • RMA# will be generated if the parts listed are under warranty. • Distributor will get an email notification about the RMA#. Upon receipt of RMA#, distributor is to arrange return of products to Cisco Return Centre (Teleplan Hong Kong ) as per Cisco return instructions. Distributor must have all necessary documentation ready and send the pro-forma invoice for import license verification and secure the green signal before ship. • All approved products must be returned by 30 days from the start date of RMA book date (refer appendix A) in Cisco system. An aging RMA report will be sent to distributors upon 60 days and Cisco reserves the rights to cancel any aging RMA once RMA# is over 90 days. • Upon receipt of returned physical products, Cisco will process the return with 4 business day to close RMA order and credit memo will be automatically generated within 48 - 72hrs upon receipt processed in Cisco’s system. • CREDIT NOTE ONLY WILL BE GENERATED UPON RECEIPT OF FAULTY EQPT.

9. Return Type: Hardware Failure under Service contract (Smartnet / Smart Foundation) Policy : • This applies to Distributors/End users having purchased the SmartNet and SMART Foundation agreement via SMS3. • RMA authorized and processed by the TAC. Criteria of HWW product under service contract: • Product must be under service contract (SNT or SMB). Please check at http://tools.cisco.com/scc/ via SN# or contract#. • If your product is not listed having SmartNet /SMB while you’re sure it’s covered under SmartNet, please contact ops-support@cisco.com.

10. Return Type: Hardware Failure under Service contract (Smartnet / Smart Foundation) Process Details: • Contact Cisco TAC (Technical Assistance Center) using SmartNet Contract#. • TAC will assist and initiate replacement when necessary. • Cisco will inform the RMA# to return the faulty equipment. • Non returned defect product will result invoice. REPLACEMENT SHIPS FROM LOCAL DEPOT. Email Alias for Service Return

11. Return Type : Wrong Shipment Policy: • This refers to discrepancy in product received versus product ordered, and invoiced as per ordered. Criteria of wrong shipment: • Product must be unused and newly shipped from Cisco. • Carton Box must not be damaged cosmetically. • Distributors are required to include information about the wrong item received when submitting a claim to CS. E.g. serial number of the wrong item or photo of the actual wrong item to help CS investigation. • Cisco must be notified of wrong-shipment request as soon as possible from distributor. • If request is not made within 90 days Cisco shipment to distributor, it should be within 30 days distributor shipped to reseller. In this case, Proof of Delivery must be provided for evidence of hand over. Late request may be subjected to rejection. • Replacement under this category will be subjected to Cisco approval & availability of products.

12. Return Type : Wrong Shipment Process Details: • Distributor is to submit claim template cs-support@cisco.com. • RMA# will be informed to distributor. • Upon receipt of RMA#, distributor is to arrange return of products to Cisco Return Centre (Teleplan Hong Kong ) as per Cisco return instructions. • All approved products must be returned by 30 days from the start date of RMA book date (refer appendix A) in Cisco system. An aging RMA report will be sent to distributors upon 60 days and Cisco reserves the rights to cancel any aging RMA once RMA# is over 90 days. • Upon receipt of returned physical products, Cisco will process the return with 4 business day to close RMA order and credit memo will be automatically generated within 48 - 72hrs upon receipt processed in Cisco’s system. • Credit memo received by distributor. • Replacement item in different SO# received by distributor. • CREDIT NOTE ONCE EQPT RETURNED & REPLACEMENT SHIPS FROM MFG

13. Return Type : Short Shipment Policy: • This refers to discrepancy in product received versus product ordered, and invoiced as per ordered. Criteria of short shipment: • Request should be made within 90 days Cisco shipment to distributor, or within 30 days distributor shipped to reseller, with Proof of Delivery to be provided as evidence of hand over. Late request may be subjected to rejection.

14. Return Type : Short Shipment Process Details: • Distributor is to submit claim template cs-support@cisco.com. • CS will run test script and weight test. • When confirmed to be Cisco Error, CS will issue $0 replacement to the Distributor for the short items.

15. Return Type : Visual Defect Criteria of Visual Defect: • Equipment damage but carton’s in tact. • Cisco must be notified of visual defect request as soon as possible from distributor. • Request should be made within 90 days Cisco shipment to distributor or within 30 days distributor shipped to reseller with POD as evidence of hand over. Process Details: • Distributor is to submit claim template and photos to cs-support@cisco.com • Upon receipt of RMA#, distributor is to arrange return of products to Cisco Return Centre (Teleplan Hong Kong ) as per Cisco return instructions. All approved products must be returned by 30 days from the start date of RMA book date (refer appendix A) in Cisco system. An aging RMA report will be sent to distributors upon 60 days and Cisco reserves the rights to cancel any aging RMA once RMA# is over 90 days. • Upon receipt of returned physical products, Cisco will process the return with 4 business day to close RMA order and credit memo will be automatically generated within 48 - 72hrs upon receipt processed in Cisco’s system.

16. Return Type : ShipmentDamage • This applies to distributors who are on Cisco Opted- out services. • Carton’s damaged, equipment damaged. • Distys must claim to freight forwarder as this is considered as mis-handling by freight forwarder.

17. Return Type : Non Cisco Error Policy: • Return of product for credit (replacement not allowed) due to non-Cisco’s error will be subjected to Cisco’s approval and will be charged a re-stocking fee of 15% or more as agreed by partners of the net returned price. • Cisco reserved all rights to approve or deny a return under this category. Criteria of Non Cisco Error: • Disti must clearly state the reason of the return eg. customer last minute cancellation. • Product must be unused and newly shipped from Cisco. • Carton box must be unopened and not be damaged cosmetically. • Original S/O# & S/O line# (serial numbers if applicable) must be provided when requesting RMA. • Return request must be within 90 days from Cisco shipment to Distys. Process Details: • Distys contact DCAM to seek advise whether returns can be requested or not. • The following procedures are the same with ‘HWW under Warranty’ except the return reason. HW-2 (2-Tier Only) is not applied to Non Cisco Error return. • Once non Cisco error RMA approved, distributor are required to submit a new purchase order to receive the goods.

18. Distributor Warranty Return Policy

19. Summary

20. RETURNING PRODUCTS TO CISCO

21. Return Requirements • For non-service returns, distributors must deliver shipment under DDU Inco term to Cisco’s assigned vendor, Teleplan Hong Kong. • Before arranging any return shipment to Teleplan Hong Kong, sending a pre-alert (proforma invoice copy) to WWRL_APAC_IOR@teleplan.com for import license verification is essential. This process is to avoid the controlled items which import Hong Kong without a valid import license.  • Any controlled items arriving Hong Kong without shipment pre-alert will be rejected.  Shipments contain controlled items shall remain in the airport or dock until the Retrospective Import License is issued. All additional charges during this application period will be subjected to shipper’s account. • For domestic delivery (within Hong Kong), pre-alert (proforma invoice copy) is also required. As per the regulation of Trade and Industry Department of Hong Kong, the controlled items must apply a certificate of “Approval on Resale” before they can transfer locally. • For any inquiry concerning the return instructions, please contact the Cisco team at email address: wwrl-apac-returns@cisco.com.

22. Return Step 1

23. Return Step 2

24. Packing requirement

25. Return Step 4

26. Return Process Flow

27. APAC contacts • Cisco/teleplan contact for pre-alert shipment approval request, advanced shipment notice & import license issue: • WWRL_APAC_IOR@teleplan.com • For usal delivery arrangement of regular return shipments • Teleplan Traffic Team Tel. No. : (852) 3904 3850 • For usual inquiry and dispute, please contact Cisco CS operations at cs-support@cisco.com

28. Appendix

29. RMA Service Order Tool http://tools.cisco.com/serviceordertools/svostatus/query.do • The RMA Service Order Tools are used to request and manage Service Replacements for units covered under a Service Contract or Warranty. • If the line status shows “closed”, the credit memo shall be generated within 48 hours after the line is closed. • Received Serial Id: This column records serial numbers of received products. For cable, power supply, memory and software, serial number is not available and SVO does not display serial number for any of those received products • Qty Rcvd: If the product is physically received, the received qty will be shown in this column. If the product is closed based on pod, the qty received shows “0”, but the line status shows “closed”. • Date Received: This column records the date when the product is received into system. • Awaiting Return: Line status of “Awaiting Return” indicates the product has not been received into system. The product is not yet received at SCA Ohio warehouse.

30. Invoice Tool http://tools.cisco.com/qtc/invoice/HomePage Track based on RMA number Track based on credit memo number

31. Useful URLs • SVO Tool • http://tools.cisco.com/serviceordertools/svostatus/query.do • Track RMA receiving status and view detailed receiving information. • Status Tool • http://www.cisco.com/cgi-bin/front.x/status/tool/action/LoadReturnQueryScreen • Track RMA receiving status and view credit memo numbers. • Invoice Tool • http://www.cisco.com/cgi-bin/front.x/iadispatch/HomePage • View details of the credit memo. • Service Contract Center • http://www.cisco.com/public/scc/ • Validate serial number and track part number based on the serial number • Check Warranties / Service Coverages • Trade Tool • http://tools.cisco.com/FinAdm/GCTA/servlet/ControllerServlet?action=QueryForm • Locate Country of Origin (COO) for serialized product.

32. Appendix A :Header of a sample RMA# using Status Tool  Cisco Return Centre (Teleplan Hong Kong) will based on the “Created Time” in status Tool. It’s the booked date and time for the RMA#

33. Q and A