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(ii) Additional Products. For Products which have been previously ordered, Enrolled Affiliate must determine the Additional Products used and order the License difference(if any). (iii) Online Services. For Online Services identified as eligible for true-up orders in the Product List, Enrolled Affiliate must first reserve the additional Licenses prior to use. Microsoft will provide a report of Reserved Licenses in excess of existing orders to Enrolled Affiliate and its Reseller. Reserved Licenses will be invoiced retroactively for the prior year based upon the month in which they were reserved. (iv) Late true-up order. If the true-up order is not received when due: 1) Microsoft will invoice Reseller for all Reserved Licenses not previously ordered. 2) Transitions and Subscription License reductions cannot be reported until the following Enrollment anniversary date (or at Enrollment renewal, as applicable). (v) Transitions. Enrolled Affiliate must report all Transitions. Transitions may result in an increase in Licenses to be included on the true-up order and a reduction of Licenses for prior orders. Reductions in Licenses will be effective at end of the Transition Period. Associated invoices will also reflect this change. (vi)Subscription License Reductions. Enrolled Affiliate may reduce the quantity of Subscription Licenses on a prospective basis if permitted, in the Product List as follows: 1) For Subscription Licenses part of anEnterprise'-wide commitment Licenses may be reduced if the total quantity of Licenses and Software Assurance for;an applicable group meets or exceeds the quantity of_ Qualified Devices identifiedon,;the Product Selection Form Step-up Licenses,do:not count towards this total count 2) For Enferpr'ise Online Services not ,a part .of an _Enterprise wide commitment, Licenses can be retluced as long as the initial ortler minimum requirements''are maintained. 3) For Additional Products available as Subscription Licenses, 'Enrolled Affiliate may reduce the Licenses.. If the License count is�reduced to;zero,then Enrolled Affiliate's use of the applicable Subscnption License will tie cancelled. Invoices will be adjusted to.reflect any reductions'in Subscription Licenses at the true-up order Enrollment anniversary date and effective as of such date. (vii)Update statement. An update statement must be submitted insfead of a true-up order if, as of the initial order or last true-,up order, Enrolled Affiliate's `Enterp.rise has not:.(1) changed the number of Qualified Devices and Qualified Users licensed with Enterprise Products or Enterprise Online Services; and (2) increasedits usage of Additional Products. This update statement must be signed by Enrolled Affiliate's authorized representative. The update statement must be received by Microsoft between 60 and 30 days prior to the Enrollment anniversary date. The last update statement is due at least 30 days prior to the Expiration Date. d. Step-up Licenses. For Licenses eligible for a step-up under this Enrollment, Enrolled Affiliate may step-up to a higher edition or suite as follows: (i) For step-up Licenses included on an initial order, Enrolled Affiliate may order according to the true-up process. (ii) If step-up Licenses are not included on an initial order, Enrolled Affiliate may step-up initially by following the process described in the Section titled "Adding new Products not previously ordered," then for additional step-up Licenses, by following the true-up order process. EA201 1 EnrGov(US)SLG(ENG)(Ju1201 1) Page 5 of 14 Document X20-02113 25