For those who participate in the voting at the stockholders meeting, it is very important that you give great consideration to the number 5 proposal by Mr D Parry.

Over the last 18 months much has been written on the message board on many subjects, and as a result many people feel very frustrated that the trust neither listen nor have the courtesy to respond to the members of retirement plans.

With this proposal, which seeks to pay executives, on the actual performance of the company, and not an inflated performance due to the reserves that are held in pension funds around the world, we have a chance to signal our grievance and disapproval of the way the company uses the reserves of pension funds world wide, as if it is theirs by right to use for their own advantage.

The last paragraph in the company response which seeks to support the companies action in supplying a catch-up package in the US, omits that it is the WW pension funds and the reduction of benefits that are used to enhance an otherwise questionable company performance.

In the UK, IBM's practice has been starkly different from that of other UK companies. The MEMBERS have seen NOTHING from the economically favourable Nineties while the vast majority of members of other schemes saw the value of their pension maintained. IBM's practice seems to be that, whatever IBM told us earlier, members should get the worst deal when economic times are good and will get a worse one than that if the economy does not repeat the Nineties.

We have no hesitation in endorsing the Parry proposal, and encourage all members, who have the opportunity to vote, to do likewise.

Commentary provided by John Howell