Transcript Slide 1

Avnet Technology Solutions
About the Global Organization
Q4 FY08
Avnet Technology Solutions
About the Global Organization
2
TS Global: Mission
To lead our industry
in growth, innovation, value and effectiveness
in such a way that it ensures
we are an
indispensable element
of our suppliers’, customers’ and employees’
success and future dreams.
TS Global: Mission
G
GROWTH
I
V
INNOVATION
VALUE
E
EFFECTIVENESS
TS Global: What We Do



Avnet Technology Solutions markets and sells enterprise and embedded technology
products from the world’s premier computer manufacturers and software suppliers, as well
as the services and solutions required to implement them efficiently and effectively.
Our relationships with diverse technology suppliers, including well-established leaders and
emerging market innovators, coupled with our rich services portfolio, help our partners
reach new markets and new customers.
With the support of more than 2,700 TS professionals around the globe, our partners
become part of a worldwide network that enables them to profit from high-growth
opportunities faster and with less investment, wherever they choose to do business.
TS Global: Locations
AMERICAS
Canada
Mexico
United States
EMEA
Austria
Belgium
Czech Republic
Denmark
France
Germany
Hungary
Ireland
Italy
Netherlands
Poland
Portugal
Romania
Slovakia
Spain
Sweden
Switzerland
United Arab Emirates
United Kingdom
ASIA PACIFIC
Australia
China
Hong Kong
India
Indonesia
Malaysia
Nepal
Singapore
Sri Lanka
Taiwan
Thailand
Vietnam
TS Global: World-Class Suppliers
TS Global Commodity Mix (Q408)
Software
17%
TS Global Supplier Revenue Mix (Q408)
Industry Standard
Servers
6%
Other
29%
IBM
31%
Midrange Servers
22%
Services
13%
NetApp
6%
AMD
4%
Storage Systems
19%
Other
23%
HP
12%
Sun
18%
Top 5
Suppliers =
71% of
Revenue
TS Global Snapshot
 > 2,700 employees around the world (not including support and logistics functions)
 #1 or #2 market share with the majority of our top suppliers
 Largest global value-added technology solutions distributor

Locations in more than 30 countries in the Americas, EMEA and Asia Pacific
TS Global Revenue
TS Global Revenue by Region (Q408)
$8
$7.63
Asia
7%
$7
$6
$4.81
$5
$4
EMEA
30%
$6.00
$4.06
FY03
Amer
63%
$4.99
$4.35
FY04
FY05
FY06
FY07
FY08
TS Global: The Opportunity
Avnet Technology Solutions Global
$7.63 billion revenue
(FY08)
TS
5%
Technology Solutions Distribution
DTAM = $145 billion worldwide
(Distribution Total Available Market)
TAM = $855 billion worldwide
(Total Available Market)
An expected 6.5% increase over 2007
TS
DTAM
95%
TS Global: Strategic Imperatives
 Go where the money is while making a difference in the lives
of those we serve
Enable customers to specialize and differentiate within key vertical markets
 Focus resources and investments on high growth / high spend technology solutions and
emerging markets
 Enable customers to increase their influence and customer base (thus market share)
through the addition of technology solution practices


Grow profit faster than revenue, grow both faster than the market
HARDWARE
SOFTWARE
SOLUTIONS
SERVICES
FINANCING
TS Global: Solutions Practices & Vertical Markets
High Growth ► Solutions Practices
Document &
Content Mgmt.
FINANCING
OEM Solutions
Sun
High Growth ►Vertical Markets
Build Avnet and trading partner
industry expertise
Link channel trading partners (ISVs,
SIs, OEMs, VARs) to provide
solutions for vertical market
customers
Education
Mobility
IBM
SOLUTIONS
SERVICES
Storage
SOFTWARE
Storage + Software
HARDWARE
Government
Virtualization /
Consolidation
Healthcare
Unified
Communications
New supplier acquisition
Assemble / integrate and wrap
services around best-of-breed
solutions
Accelerate time to market; minimize
expense and risk
HP
Security /
Networking
Gain Share ► Existing Customers
Strategic Imperative: Global Profitable Growth
 Leverage scale/scope to expand product and service line card across geographies
 Expand global footprint by creating global supplier relationships/contracts
 Acquisitions (Jan. 2007 – Present)
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Geographic expansion
Industry consolidation
New capabilities
Magirus
$500M VAD of IBM, HP enterprise
computing products
Horizon
7 European countries, Dubai
$450M enterprise server, storage,
networking and security VAD
Acal IT Solutions
$200M SAN, networking,
electronic document mgt
products and services
UK, Netherlands, Belgium, Germany,
France, Sweden
UK & Ireland
Azure
Access
$90M IBM
systems/solutions disti
$2B Sun VAD
90% Americas, 10% Europe
Ontrack
$13M professional services company
India
Singapore, Malaysia
ChannelWorx
$30M networking,
security
Australia
TS Global: Priorities by Region
 Americas
Cross-sell existing products and services to existing market segments
 Sell new solutions to existing markets
 Sell existing and new products and services to vertical segment customers
(healthcare, government, education)
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 EMEA
Aggressively leverage supplier relationships into new countries
 Add critical mass and new solutions capabilities through acquisition
 Leverage new organizational structure and business model
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 Asia Pacific
Expand current linecard for existing customers
 Grow share through strategic acquisitions
 Capitalize on global opportunities for integration capabilities in Tianjin
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TS Global: Leadership Team
Our Partners
The TS Global Team
The TS Global Leadership Team
Darren Adams
Business
Transformation
Jeff Bawol
Dick Borsboom
KP Tang
Americas
EMEA
Asia Pacific
Linda Biddle
Kristi Bonfiglio
Ger Purcell
Talent Development
Legal
IT
Rusty Murdaugh
Cheryl Naumann
Usha Shah
Finance
Human Resources
OPX
Patricia Harper
John Paget
Executive Assistant
TS Global
Harry Edwards
Vendor
Integrated Solutions
Michelle Taylor
Communications
Marketing
Updated 01-04-08
AVNET
Avnet, Inc.
15
Avnet, Inc.: Vision
Avnet will deliver the highest value
to our customers, suppliers, employees and shareholders
as the premier technology marketing,
distribution and services company, globally.
Avnet, Inc.: Vital Link in Global Technology Supply Chain
 Avnet effectively manages the complexity of the technology supply chain in a
cost-efficient manner, delivering value to suppliers and customers
Semiconductors
Interconnect
Passive &
Electromechanical
Devices
Subsystems
EMS / ODM
EM
IT Original
Equipment
Manufacturers
Non-IT Original
Equipment
Manufacturers
Software &
Services
Vendors
Resellers and
System
Builders
TS
End Users
Avnet, Inc.: Snapshot
 Established 1921 in New York City
 Incorporated 1955
 NYSE: AVT 1960
 June 30 fiscal year end
 FY08 revenue $17.95B
 Fortune 500 rank: #163
 Forbes Global 2000 rank #949
 ~ $4.3B market cap
 ~ 12,300 employees
 ~ 300 locations in > 70 countries
 2 operating groups
 Electronic components
TS
42%
EM
58%
Q4 FY08
Asia
19%
Amer
47%
• Avnet Electronics Marketing (EM)

Computer products
• Avnet Technology Solutions (TS)
EMEA
34%
Avnet, Inc.: Revenue History
BILLIONS
$20
$17.95
$18
$15.68
$16
$14.25
$14
$12
$11.10
$10.20
$10
$9.05
$8
FY03
FY04
FY05
FY06
FY07
FY08
Avnet, Inc.: Earnings Per Share
FY07 = $2.76
Excluding restructuring
and other charges
FY08 = $3.18
$1.00
$0.89
$0.90
$0.85
$0.81
$0.80
$0.76
$0.73
$0.70
$0.60
$0.69
$0.67
$0.59
$0.55
$0.50
Q406
Q107
Q207
Q307
Q407
Q108
Q208
Q308
Q408
Avnet, Inc.: Leadership Team
Avnet, Inc. Board of Directors
Roy Vallee
Chairman & Chief Executive Officer
Executive Board
Rick Hamada
Chief Operating Officer
Harley Feldberg
Electronics Marketing
Ray Sadowski
Finance
John Paget
Technology Solutions
Steve Church
Human Resources Devt
Steve Phillips
Information Services
Global Executive Council
Ed Kamins
Operational Excellence
David Birk
Legal
Jim Smith
Logistics
Avnet, Inc.: Strategic Framework
Premier Technology, Marketing,
Distribution and Services Company, Globally
Deliver Industry-Leading Economic Profit
Deliver industryleading value to
our customers
and suppliers
Deliver enhanced value
through process
excellence
Profitable Growth
Operational Excellence
Attract, develop
and engage the
best employees
while building a
performance and
values based culture
People Development
Performance and Values Based Culture of Excellence
1. Integrity
2. Customer Service
3. Accountability
4. Teamwork
5. Innovation