RichardatDELL

Michael Dell: Do As I Say, Not As I Do

Hi David

I think you missed several items in your article, so I would like to provide you and your readers with some clarification and corrections.

First, lets correct your interpretation of the reduction in the number of people reporting to the CEO. This has nothing to do with reducing costs. It has everything to do with unifying our leadership structure and reducing bureaucracy. Michael is empowering teams with responsibility and accountability and ensuring that Dell Inc. makes decisions faster and closer to the customer.

Second, to your questions about compensation and asking whether the halting of staff bonuses applied to other types of compensation. There will be changes to compensation such as above market raises, shortening the vesting time for stock awards and a move to restricted stock units.

As for the company-paid expenses relating to personal and residential security, we believe that Michael Dell’s personal safety and security as Founder and leader are of vital importance to the company. We make no apologies for the Board’s determination that Mr. Dell is protected at home and abroad.