Call to Order Mark

Members Present: Greg Osler, Sean Campbell, Maureen Gaynor, Ed Mikesell, Gary Laxdal, Ron Brennan, Mark Lynn, Gordon Maccani; Charlie Eazor

Members Absent: Charlie Eicher

Adoption of Minutes from April 25, 2001 Charlie E./ Gordon Passed

Adoption of Financial Report Ron/ Ed Passed

Budget – Finance issues

Charlie moved to revise the NECSI Business Partner program with the following levels of participation.

I - Web Access to NECSI site (dealer List)

- Business partner list in Xtalk

$6000 annual

II - Level I +

- NECSI page link to their respective web site

$7200 annual

III - Level I & II +

- Right to advertise in Xtalk

- Right to run ad on web site

$9000 annual

IV - Level I, II & III Plus

- Cover letter to members from NECSI introducing the business partner.

$12000 annual

V - Level I, II, III & IV Plus

- Offer a promotional program exclusive to NECSI members

$12000 annual + override on promo

1. Level I & II can upgrade to exclusive rights by doubling the annual fee.
2. Rates are in effect starting October 1, 2001. Business partners will be billing annually in January.
3. NECSI will actively solicit business partners from the NEC fusion program and externally.

1. Review Lead generation program
2. We asked NEC to define/re-assess The Role of Account Managers
3. NEC Vertical Market message creation
4. Alternate Channels Issues - We asked NEC to define Markets and operating parameters
1. Nitsuko Distributors/Dealers
2. Wholesale Distributors
3. VAR Dealers
4. Associate Dealers
5. We asked NEC to publish a contract enforcement policy?

Contract Regulations

• NECSI will request NEC disallow the publishing of new equipment prices (i.e. 'Call for Price'). Alternately create anon harmful manufacturers list price for publishing.

• NEC will establish regulations and remedies for resolving issues with resellers who violate the regulations.

1. NECSI enforcement policy - membership termination procedure, the membership at large requested the board create and incorporate in the by-laws.

• NECSI will also establish a Code of ethics and an enforcement policy consistent with the NEC policy.

• Items 1 thru 5 will by addressed by NEC during the afternoon meeting.
• The NECSI board will determine item 6 once NEC policies are known to maintain a level of consistency between to the two entities.

NEW Business introduced at or since the the Annual Meeting – to be presented to NEC

• Discuss creation of an Associate Roundtable program as a NECSI membership benefit.
• GSA Dealer participation? Key Only? Key & PBX? This is a question asked at the Annual meeting.
• Also GSA schedules are incomplete -do not include labor component. Investigate the possibility of establishing GSA labor schedule, which can be used by all NECSI members.
• Elitemail ongoing warranty issues (As well as other 3^rd party product i.e. Cordless Sets)
• VMS replacement hard drives?
• Cordless phones - removed from In-protect, dealers will foot the whole bill. What about NEC extending the warranty on these problem products.
• PRO II CPU battery package?
• DID trunk board problems?
• ACD Plus release problems?
• Tech Support token, how about reciprocal support on extended warranty service issues
• NEC - provide status of new product release or engineering hold's (still no update on the Elite ACD Plus – we learned in April it was engineering hold)

NEW Business introduced since Annual Meeting

• 6/18/01 VAR Subcommittee - NEC WEB Site - Dealer Locators page problems (Nitsuko)
• July 30, 2001 the site was again checked and found to STILL contain Nitsuko dealers listed as NEAX 1000, NEAX 2000 – NOT correct by NEC
• 6/21/01 Product subcommittee - Add cordless phones to the 3rd party mfg warranty issues

Moved the following committee groups be disbanded and focus placed on the current issues on the table. Sean / Mark Passed

Marketing Ed Mikesell

Training – (Sales) Greg Osler

Training – (Tech) Greg Osler

Recruitment Gary Laxdal

NEAX 2000/2400 Gary Laxdal

Key System Ron Brennan

IP Charlie Eazor

Wireless Gordon Maconi