IBM Board Approves Regular Quarterly Cash Dividend

Annual Shareholder Meeting Announced

ARMONK, N.Y. (January 25, 2011) – The IBM (NYSE: IBM) board of directors today declared a regular quarterly cash dividend of $0.65 per common share, payable March 10, 2011 to stockholders of record February 10, 2011. With the payment of the March 10 dividend, IBM will have paid consecutive quarterly dividends every year since 1916.

IBM also announced that its next annual meeting of stockholders will be held April 26, 2011 at the Renaissance St. Louis Grand Hotel, St. Louis, Missouri.

Douglas Shelton, 914/499-6533

Source: IBM