As Diebold extends geographic reach, a customer-focused approach is leading to opportunities in emerging markets.

THE CUSTOMER-FOCUSED, solutions and services approach that has shaped Diebold's growth in traditional markets now drives the strategy for expanded penetration of all geographic regions. The Company recognizes that the ongoing services that precede and follow the sale of systems are the key to building lasting relationships with customers. So, services are essential to maximizing the long-term returns from markets.

By building our own international distribution channels based on this total solutions business model, Diebold has gained:

> Greater and more direct access to customers, which helps the Company better understand their needs and develop tailored solutions;

> Opportunity to provide a full range of services in support of solutions;

> Sales at "retail" margins, rather than wholesale;

> Occasions to build brand awareness internationally.

Diebold's market approach is already producing results. For example, China Construction Bank, one of the five largest banks in China, signed a contract for more than 350 full-function Diebold ATMs and cash dispensers, as well as a service contract. Also, Industrial and Commercial Bank of China (ICBC) agreed to purchase nearly 450 Diebold ATMs for its network spanning more than 16 provinces in China. ICBC is the largest retail commercial bank in China and one of the top 10 banks in the world.

Diebold is establishing local capability to solve emerging customer challenges in markets with huge potential.

Diebold is now well positioned to capitalize on opportunities in countries experiencing rapid economic development. Validating the Company's approach, the increase in service revenue in all international markets signals the early success of the strategy to market total solutions - including value-added services - worldwide.

PARTNERING FOR THE LONG TERM

In China, India and other areas with tremendous market potential, Diebold is strategically building local organizations that develop relationships with customers in order to provide long-term value.

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