Slide 1: Quantum - Prudential Securities Annual Data Storage Conference
Quantum a a) Prudential Securities Annual Data Storage Cm) Conference | Michael A. Brown Chairman: o September 11", 2002 7» Cra
Slide 2: Forward-looking statements
This presentation contains certain “forward-looking” statements within the meaning of the Private Securities Litigation Reform Act of 1995, including staternents regarding a contemplated acquisition, the outsourcing of our manufacturing operations, our restructuring efforts, ee These statements are
Slide 3: Quantum's Businesses: 1980-2002
Quantum’s Businesses: 1980-2002 NAS (Meridian, Connex acquisitions) Data Largest Installed Base Protection Tape Automation (ATL, M4 acquisitions) Broadest Product Range fIGES: Hard Disk Drives ‘Maxtor (2001) Di o Sold bu
Slide 4: Quantum: Leadership in Data Protection
Quantum Leadership in Data Protection DLTtape Group : eee ECON HO * #1 intape drive revenues, installed base in NAS market ~ Completely refreshed product line across all business segments ~ Recurring revenue + Over 45% of revenue from media and services
Slide 5: What's New at Quantum?
What's New at Quantum? Restructuring Actions ¢ New CEO - Richard Belluzzo 7 Continued actions to grow revenue and reduce costs: ¥ Acquisition of Benchmark Storage Innovations < Outsourced manufacturing of tape drives ¢/ Restructuring actions 5 {@ 2002 Quantum Corporation Quantum.
Slide 6: New CEO: Richard Belluzzo
What's New at Quantum? New CEO: Richard Belluzzo Over 25 years of experience in technology |; President and COO of Microsoft Corp. z Se aia cere a + Built series of new consumer businesses ___ a8 VP of MSFT’s Consumer Group 6 (@.2002 Quantum Corporation Quantum.
Slide 7: Benchmark: Acquired September 5th
What's New at Quantum? Benchmark: Acquired September 5th Beene Quantum * Focus on value= -~ Focus on high: oriented, mid-range tape performance high- drives capacity tape drives *Significantsuccessin + World's largest only 4 years of business supplier of tape drives + Strong customer + Defacto stand
Slide 8: Outsourced Manufacturing of Tape Drives
What's New at Quantum? | Outsourced Manufacturing of Tape Drives Jabill Pe Quantum| « Signed definitive agreement with Jabil Circuit + Leader in electronic manufacturing services + Currently Quantum's largest and highest rated supplier of tape drive components = Improves efficiency of manufacturing
Slide 9: Restructuring Actions
What's New at Quantum? eee Actions ‘3 main) Categories) = Outsourced manufacturing = Consolidation of development teams and sites ® Right-sizing infrastructure for lower revenue level YY Expected iianciall benent = ~20% reduction in OPEX by FQ4 * Breakeven point reduced to $230M level from $300M - B
Slide 10: Quantum: Leadership in Data Protection - Storage Solutions Group
Quantum Leadership in Data Protection Storage Solutions Group Quantum.
Slide 11: DLTtape: Extending the Standard
DLTtape: Extending the Standard = Leader in DLTtape for 5 years = Long product cycles sustain demand and drive media sales » Continue to be leader in new tape technology = Installed base of approximately 2 million drives and over 80 million media cartridges sold = Media business — source of predicta
Slide 12: Tape Drives: SDLT Industry's Highest Performing Tape Drive
Tape Drives: SDLT 320 Industry’s Highest Performing Tape Drive of 60% stealer capacity and transfer geo nearest competitive / Backward compatible fo industry’s largest installed base / Based on industry standard used by all systems OEMs and library partners ‘/ Roadmap for 1.2 TB on single media cart
Slide 13: Continued Leadership in DLTtape Drives
[Continued Leadership in DLTtape Drives +40 GE, 3MBIS, Note: All capacities are native 18 © 2000 Quantum Corporation —>
Slide 14: Continued Leadership in Tape
Continued| Leadership in Tape 2001 Market Share* - Mid-range Tape * IDC 3/02 14 © 2002 Quantum Corporation Quantum.
Slide 15: Quantum: Leadership in Data Protection
Quantum — Leadership in Data Protection DLTtape Group Storage Solutions Group
Slide 16: Quantum Tape Automation
Quantum Tape Automation Broadest Product Range Available
Slide 17: Disk Based Backup: Quantum DX30
Disk Based Backup: Quantum DX30 Unique New Approach « Disk-based system optimized to meet key backup challenges = Confidence in complete backup increased to 99+% » Files restored in seconds rather than minutes/hours « Easy to implement and manage = Fully compatible with standard backup software = No
Slide 18: Snap Servers
Poe et ie Renee + Over 100,000 Snap Servers installed worldwide * 70% market share in combined workgroup desktop and
Slide 19: Quantum in January 2001: Leading Products but Limited Range
Quantum in January 2001: | Leading Products but Limited Range Tape Automation Tape ed Drives Drives & Media . —y Desktop/ Department Data Center: Data Center: Workgroup Small-Medium Enterprise 49 ©2002 Quantum Corporation Quantum.
Slide 20: Quantum Today: Network Storage
Quantum Today: Network Storage | Desktop to Data Center All under $20/GB ——s Disk — Backup en SRE era == —— Tape ED a Se! i Automation Modular Tape ‘§ jodular Prism Series: Libraries Libraries Tape Libraries AutoLoaders: Tape Drives = — ValuSmart, DLTtape & Super DLTtape Drives & Media Desktop/ Data
Slide 21: Financial Information
see aoae sieieg ee & Services: A
Slide 22: Financial Information
Financial Information in revenue in FY’02 ion revenue in FQ1°03 Over 45% of June quarter revenue was from recurring sources + DLTtape media + StorageCare Services Strong balance sheet + Exited June quarter with $305 million in cash Year-end Outlook * Return to breakeven EPS by end of calendar year b
Slide 23: Recent Improvements in Cost Structure
Recent Improvements in Cost Structure PRIOR: CURRENT Tape drive redesign Outsourcing manufacturing model Reduced vendor base & materials costs Consolidation of development teams and sites DLT process redesign * 3x the programs on fiat spending Right-sizing infrastructure + Gontinued to invest in new
Slide 24: Balance Sheet Components
Balance Sheet Components | ASSETS Gach - Restructuring } Charges $40-45M — Today August 2004 24 (@ 2002 Quantum Corporation Quantum.
Slide 25: Quantum: Leadership in Data Protection
Quantum — Leadership in Data Protection Market leadership: Momentum leading to revenue growth Cost improvements to structure Quantum.
Slide 26: Additional Information
Additional Information Security holders of Benchmark are urged to read documents relevant to the acquisition described in this announcement that are to be filed with the Department of Corporations of the State of California or the SEC when they become available because they will contain important in
Slide 27: Filing notice under Rule 14a-12
This document is being filed pursuant to Rule 425 under the Securities Act of 1933 and is deemed filed pursuant to Rule 14a-12 under the Securities Exchange Act of 1934.