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S-1, EX-10.11, 2000-05-31
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<PAGE>   1

                                                                   EXHIBIT 10.11
                               MCDATA CORPORATION

                                RESALE AGREEMENT
                           AGREEMENT NO. 90-00-0109-07

"MCDATA"
     McDATA Corporation
     310 Interlocken Parkway
     Broomfield, CO  80021-3464

"RESELLER"
     International Business Machines Corporation
     Poughkeepsie, NY  12601


This Master Resale Agreement ("Agreement") is entered into by and between McDATA
and Reseller, and commences on the date accepted and executed by McDATA
("Effective Date").

Each of the identified documents is incorporated by reference.

    X       Resale Agreement
----------
    X       Exhibit A    Products and Pricing
----------

    X       Exhibit B    Warranty and Post Warranty Services and Pricing
----------                    Figure B-1  Prices for Warranty, Enhanced
                                          Warranty, Post Warranty Services
                              Figure B-2  McDATA Maintenance Agreement
                              Figure B-3  McDATA Product Exhibit

    X       Exhibit C    Click-through Software License Agreement
----------

    X       Exhibit D    Shrinkwrap Software License Agreement
----------

    X       Exhibit E    McDATA Warranty and Disclaimer Statement
----------


This Agreement and the applicable Exhibits identified above, are the complete
agreement between McDATA and Reseller with respect to the Products on Exhibit A
of this Agreement, and replace all prior oral or written representations or
agreements between the parties on the subject matter of this Agreement.

Executed and agreed to:                     Accepted and agreed to:

MCDATA CORPORATION (MCDATA)                 INTERNATIONAL BUSINESS MACHINES
                                              CORPORATION (RESELLER)

By:                                         By:
     ------------------------------              ----------------------------

Name:  Donald Beauchesne                    Name:  John F. McDonnell

Title: Group Manager of Procurement         Title: President and CEO

Date Signed:    February 22, 2000           Date Signed: February 22, 2000

Effective Date: February 22, 2000


Resale Agreement No. 90-00-0109-07-02/22/00   IBM Corporation/McDATA Corporation

<PAGE>   2


                               MCDATA CORPORATION

                                RESALE AGREEMENT

                                TABLE OF CONTENTS
--------------------------------------------------------------------------------

<TABLE>
<CAPTION>
Section  Title                                                                                                 Page

<S>                                                                                                            <C>
1        DEFINITIONS.............................................................................................1

2        SCOPE...................................................................................................1

3        APPOINTMENT.............................................................................................1
         3.1      Products.......................................................................................1
         3.2      End User Services..............................................................................2
         3.3      Reseller Services..............................................................................2

4        RELATIONSHIP OF PARTIES.................................................................................3
         4.1      Independent Contractor.........................................................................3

5        TERM....................................................................................................3

6        RESALE AUTHORIZATION....................................................................................3

7        FORECASTS...............................................................................................3

8        SOLICITATION OF ORDERS..................................................................................3

9        PRODUCT PRICING.........................................................................................4
         9.1      Prices.........................................................................................4
         9.2      Review and Price Changes.......................................................................4
         9.3      Most Favored Nations Benefits..................................................................4

10       RESELLER'S PURCHASE ORDER...............................................................................4
         10.1     Issuance of Purchase Order.....................................................................4
         10.2     Acceptance of Reseller's Purchase Order........................................................4
         10.3     Shipment Date..................................................................................5
         10.4     Order Rescheduling.............................................................................5
         10.5     Order Cancellation.............................................................................5
         10.6     Ship and Uninstall Procedure...................................................................5
         10.7     Payment Terms..................................................................................5
         10.8     Payment Terms for Beta Products................................................................5
         10.9     Taxes..........................................................................................5
         10.10    Shipment/Delivery..............................................................................6
         10.11    Title and Risk of Loss.........................................................................6
         10.12    Acceptance of Products.........................................................................6

11       PRODUCTS................................................................................................6
         11.1     Identification of Products, Trade Name and Trademark Rights....................................6
         11.2     Product Configuration Validation...............................................................7
         11.3     Product Warranty, Enhanced Warranty, and Post Warranty Services................................7
</TABLE>


Resale Agreement No. 90-00-0109-07-02/22/00   IBM Corporation/McDATA Corporation
<PAGE>   3


<TABLE>
<CAPTION>
<S>                                                                                                             <C>
         11.4     Engineering Changes............................................................................7
         11.5     Field Modifications............................................................................8
         11.6     Improvements...................................................................................8
         11.7     Reseller Modifications.........................................................................8
         11.8     Product Discontinuance.........................................................................8

12       SOFTWARE LICENSE AND RESTRICTIONS.......................................................................8

13       INDEMNIFICATION.........................................................................................9
         13.1     McDATA Indemnification.........................................................................9
         13.2     Reseller Indemnification.......................................................................9

14       CONFIDENTIALITY OF INFORMATION..........................................................................9

15       LIMITATION OF LIABILITY................................................................................10

16       TERMINATION............................................................................................10

17       GENERAL PROVISIONS.....................................................................................10
         17.1     Entire Agreement..............................................................................10
         17.2     Waiver........................................................................................10
         17.3     Contract Changes..............................................................................10
         17.4     Governing Law.................................................................................11
         17.5     Severability..................................................................................11
         17.6     Compliance with Laws..........................................................................11
         17.7     Notices.......................................................................................11
         17.8     Assignment....................................................................................11
         17.9     Headings......................................................................................12
         17.10    Force Majeure.................................................................................12
         17.11    Records.......................................................................................12
         17.12    Gifts.........................................................................................12
         17.13    Press Release.................................................................................12
         17.14    Publications and Marketing Materials..........................................................12
</TABLE>

EXHIBIT A   PRODUCTS AND PRICING

EXHIBIT B   WARRANTY AND POST WARRANTY/SERVICES AND PRICES
         Figure B-1   Prices for Warranty, Enhanced Warranty and Post Warranty
                        Services
         Figure B-2   McDATA Maintenance Agreement
         Figure B-3   McDATA Product Exhibit

EXHIBIT C   McDATA Click-through Software License

EXHIBIT D   McDATA Shrinkwrap Software License

EXHIBIT E   McDATA WARRANTY AND DISCLAIMER STATEMENT


Resale Agreement No. 90-00-0109-07-02/22/00   IBM Corporation/McDATA Corporation
<PAGE>   4


                             MASTER RESALE AGREEMENT

McDATA and Reseller agree as follows:

1    DEFINITIONS

     1.1  "RESELLER" means the buying entity executing this Agreement, and all
          subsidiaries or affiliates thereof, which order Products for resale to
          Channel Partners or End User Customers pursuant to the provisions of
          this Agreement.

     1.2  "CHANNEL PARTNER" means any business entity used by Reseller to market
          and resell Products to End User Customers in accordance with the terms
          of this Agreement.

     1.3  "MCDATA AUTHORIZED RESELLING AGENT" means any business entity
          authorized by McDATA to resell Products to End User Customers.

     1.3  "END USER CUSTOMER" means any entity which (i) purchases
          McDATA-manufactured Products from Reseller or Reseller's Channel
          Partner; and/or (ii) licenses Software associated therewith from
          McDATA; and/or (iii) receives End User Services from McDATA.

     1.4  "SOFTWARE" means the computer software, in machine executable object
          code format only, which is delivered by McDATA with the Product and
          licensed to the End User Customer.

     1.6  "PRODUCTS" means certain McDATA hardware, Software, related features,
          conversions, and options, as further described in Exhibit A of this
          Agreement (attached hereto and incorporated herein by reference as may
          be amended from time to time) which Reseller is authorized to resell
          and distribute.

     1.7  "END USER SERVICES" means the collective reference to warranty and
          post warranty (maintenance) services as set forth in Section 3.2
          below, and as more fully described in Exhibit B (attached hereto and
          incorporated herein by reference as may be amended from time to time).

     1.8  "RESELLER SERVICES" means the collective reference to (i) educational
          services and professional services as set forth in Section 3.3 below,
          which services may be provided by McDATA to Reseller and Channel
          Partners.

     1.9  "TERRITORY" means all countries on a worldwide basis.

2    SCOPE. This Agreement establishes the terms and conditions under which
     Reseller will market and resell McDATA Products, End User Services and
     Reseller Services.

3    APPOINTMENT. Subject to the terms and conditions of this Agreement, McDATA
     hereby authorizes and appoints Reseller as a non-exclusive McDATA
     Authorized Reselling Agent to resell the McDATA Products and End User
     Services in the Territory.

     3.1  PRODUCTS.
          3.1.1 Reseller is authorized to use the Products internally and to
                resell and sublicense the Products to End User Customers in
                accordance with the terms and conditions of this Agreement.

          3.1.2 Reseller is authorized to resell and sublicense the Products to
                Channel Partners in accordance with the terms and conditions of
                this Agreement, provided Reseller and


Resale Agreement No. 90-00-0109-07
Exhibit A-02/22/00                            IBM Corporation/McDATA Corporation
<PAGE>   5


                such Channel Partner have entered into written agreements with
                terms and conditions that substantially conform to those
                contained in this Agreement. Reseller will ensure that Channel
                Partner is contractually obligated to perform in accordance with
                the appropriate terms and conditions as set forth in this
                Agreement.

          3.1.3 Reseller is authorized to accept purchase orders from End User
                Customers and Channel Partners for Products, and to issue
                purchase orders to McDATA for such Products. Such purchase
                orders shall specify the information required in Section 10.1.

          3.1.4 McDATA will ship Product, together with all appropriate manuals
                and/or documentation, to the End User Customer, to the address
                provided by Reseller on its purchase order.

          3.1.5 At the time of shipment, McDATA will issue an invoice to
                Reseller for such Products, and Reseller agrees to pay such
                invoice in accordance with the terms and conditions herein.

          3.1.6 Reseller will issue an invoice to its Channel Partner or End
                User Customer, as applicable, for such Products. Reseller is
                responsible for the collection of funds against such invoice.
                McDATA bears no responsibility for such collection.

     3.2  END USER SERVICES. McDATA will provide End User Services directly to
          End User Customers.
          3.2.1 Standard Warranty Services. McDATA will provide standard
                warranty services to End User Customers in accordance with the
                warranty provisions of Section 11.3 and Exhibit B herein.

          3.2.2 Enhanced Warranty and Post Warranty Services. McDATA will
                provide for fee enhanced warranty services and post warranty
                maintenance services directly to End User Customer. Reseller or
                Channel Partner will present End User Customer with a
                description and price quote for such services. A description of
                such services is provided in the appropriate Product Exhibit (a
                sample of which is attached hereto as Figure B-3 of Exhibit B,
                which product exhibit may be modified by McDATA from time to
                time). At the same time, Reseller or Channel Partner will
                present McDATA's Maintenance Agreement (a sample of which is
                attached hereto as Figure B-2 of Exhibit B, which agreement may
                be modified by McDATA from time to time) for enhanced warranty
                and/or post warranty maintenance services to End User Customer
                for execution by End User Customer. In the event End User
                Customer wishes to avail itself of such services, Reseller
                and/or its Channel Partner will direct that End User Customer
                issues a purchase order for such enhanced warranty or post
                warranty services directly to McDATA. Such purchase order and an
                executed Maintenance Agreement must be returned to McDATA before
                such services are performed by McDATA. Reseller is not
                authorized to change or modify any of the terms of such
                agreement. The Maintenance Agreement, once signed by McDATA and
                the End User Customer, will be solely between McDATA and the
                applicable End User Customer.

     3.3  RESELLER SERVICES
          3.3.1 Educational Services. McDATA will make certain educational
                services ("McDATA Fibre Channel Educational Services") available
                to Reseller and its Channel Partners. Reseller and its Channel
                Partners may purchase or license such educational services from
                McDATA as mutually agreed to under a separate agreement.


Resale Agreement No. 90-00-0109-07            IBM Corporation/McDATA Corporation
Figure B-3
-02/22/00                              1


<PAGE>   6


          3.3.2 Professional Services. McDATA will make certain professional
                services methodology and packaged educational courseware
                ("McDATA Fibre Channel Professional Services Products")
                available to Reseller and its Channel Partners. Reseller and its
                Channel Partners may license such professional services and
                courseware from McDATA as mutually agreed to in a separate
                agreement.

          3.3.3 Marketing Services. McDATA will provide Reseller with all
                reasonable assistance and technical sales support as may be
                necessary to consummate the sale of Product in such situations
                where Reseller presents McDATA with an End User Customer
                opportunity,

4    RELATIONSHIP OF PARTIES.
     4.1  INDEPENDENT CONTRACTOR. In all matters relating to this Agreement,
          Reseller shall act as an independent contractor, and neither Reseller
          nor its employees, agents or others associated with Reseller in the
          performance of this Agreement are employees, agents or representatives
          of McDATA, nor do they have authority to represent themselves as such
          or in any capacity except as set forth in this Agreement. Reseller
          will assume all liabilities and obligations imposed by any law with
          respect to all persons employed by or associated with the Reseller in
          performance of this Agreement. Reseller assumes full responsibility
          for the actions of such personnel while Reseller is performing
          services pursuant to this Agreement. Nothing contained in this
          Agreement shall be construed as granting to Reseller, or any employee,
          agent or associate of Reseller, rights under any McDATA employee
          benefit plan. This Agreement is non-exclusive. Neither of us is a
          legal representative or legal agent of the other. Neither of us is
          legally a partner of the other (for example, neither of us is
          responsible for the debts incurred by the other).

5    TERM. The initial term of this Agreement commences on the Effective Date
     and continues in effect for a period of five (5) years, unless sooner
     terminated pursuant to the termination provisions in this Agreement.
     Thereafter, this Agreement shall be automatically renewed for successive
     one (1) year terms, unless the Agreement is cancelled by either Reseller or
     McDATA by notifying the other party in writing of its intent to do so at
     least sixty (60) days prior to the end of the initial term or any renewal
     term.

6    RESALE AUTHORIZATION. Reseller is authorized to resell the Products both
     directly and through Channel Partners in the Territory in accordance with
     the terms of this Agreement.

7    FORECASTS. Within [*] after the Effective Date, Reseller will give McDATA a
     non-binding forecast in writing of its projected purchases for resale of
     Products to Channel Partners and End User Customers for the following [*];
     quantities are to be identified by model and by month. On or before the [*]
     of each [*] thereafter, Reseller will provide McDATA with an updated
     forecast covering the projected purchases for the subsequent rolling [*]
     period. Forecasts are Reseller's best effort projections of intended total
     purchases and are not commitments to buy. Reseller has no expressed or
     implied liability with regard to its forecasts.

8    SOLICITATION OF ORDERS. Reseller shall solicit orders from End User
     Customers by lawful and proper means. In connection with performing these
     duties, Reseller shall:

     8.1  Establish and maintain a business relationship with End User
          Customers, becoming knowledgeable of their requirements and proposing
          to satisfy those requirements with Products, and, at McDATA's
          reasonable and infrequent request, assist McDATA with problem
          determination and resolution associated solely with Reseller's End
          User Customers.


Resale Agreement No. 90-00-0109-07            IBM Corporation/McDATA Corporation
Figure B-3
-02/22/00                              1
<PAGE>   7


     8.2  Be responsible for establishing and maintaining End User Customer
          satisfaction with respect to all Reseller's activities under this
          Agreement and to participate in customer satisfaction programs as
          McDATA and IBM may mutually agree upon.
     8.3  Implement this Agreement effectively by using catalogs, samples,
          advertising literature, and sales aids which McDATA provides to carry
          out this Agreement. Such catalogs, samples, advertising literature,
          and sales aids shall be provided by McDATA at McDATA expense and
          remain the property of McDATA and, upon termination or expiration of
          this Agreement, any remaining such items shall be returned to McDATA
          or disposed of;
     8.4  Become and remain informed concerning all information, bulletins, and
          price changes in connection with Products which may be issued by
          McDATA to Reseller;
     8.5  Participate in any sales training provided by McDATA for Reseller's
          sales personnel at such locations, times and for such periods as are
          mutually agreed; and
     8.6  Reseller will not offer or make payments or gifts (monetary or
          otherwise) to anyone for the purpose of illegally influencing
          decisions in favor of McDATA, directly or indirectly.

9    PRODUCT PRICING

     9.1  PRICES. Reseller shall purchase Products from McDATA at the prices
          listed on the attached Exhibit A.

     9.2  REVIEW AND PRICE CHANGES. Either party hereto [*] in market
          conditions, product cost, special bid pricing, or volume
          consideration, and the other [*] with the requesting party to
          negotiate in good faith [*].

     9.3  [*]


10   RESELLER'S PURCHASE ORDER.

     10.1 ISSUANCE OF PURCHASE ORDER. Reseller shall, from time to time, release
          purchase orders to McDATA for Products for End User Customers. Such
          purchase orders shall be in writing and identify model, features,
          quantities, prices; End User Customer name; End User Customer's
          address to which McDATA will ship the Products; End User Customer
          installation address if different from ship-to address; End User
          Customer technical contact name, phone number; and the level of
          warranty or post warranty service requested by End User Customer. Such
          purchase orders are Reseller's commitments to buy the Products
          specified on such purchase orders.

          Reseller may transmit purchase orders by facsimile or other electronic
          means. Orders are considered binding upon receipt by McDATA of such
          facsimile or other electronic means, subject to acceptance as set
          forth below.

     10.2 ACCEPTANCE OF RESELLER'S PURCHASE ORDER. Purchase orders shall be
          considered as accepted by McDATA unless McDATA provides Reseller with
          written or verbal notice of any discrepancy or the reason for
          rejection within [*] after receipt of such purchase order. Unless
          Reseller is in material breach of this Agreement, McDATA shall be
          obligated to accept Reseller's purchase orders if such purchase orders
          materially conform to the terms of this Agreement. All such purchase
          orders shall be governed by the terms and conditions of this
          Agreement, and none of the terms or conditions of Reseller's purchase
          order shall be applicable if they are in conflict with the terms or
          conditions of this Agreement.

     10.3 SHIPMENT DATE. Upon acceptance of a purchase order, McDATA will
          provide Reseller with an estimated delivery date. McDATA will upon
          Reseller's request ship/deliver Products within [*] after receipt of
          Reseller's purchase order (ARO) for forecasted quantities of


Resale Agreement No. 90-00-0109-07            IBM Corporation/McDATA Corporation
Figure B-3
-02/22/00                              1
<PAGE>   8


          Products. If Reseller requires quantities in excess of the forecast or
          shipment lead times less than [*], McDATA will use its reasonable
          commercial efforts to comply with such request.

     10.4 ORDER RESCHEDULING. McDATA agrees to receive Reseller's purchase
          change orders specifying changes in the configuration of any Product
          at any time prior to [*] from the scheduled date of shipment, and
          McDATA agrees to use its commercially reasonable efforts to accept
          such change order. McDATA agrees to accept Reseller's purchase change
          orders specifying changes in the ship to address for any Product at
          any time prior to [*] from the scheduled date of shipment, and
          provided all export documentation is available on a timely basis,
          McDATA agrees to accommodate such change order. In the event McDATA
          cannot satisfy any such change order without impacting scheduled
          delivery, it will apprise Reseller of the possibility of a delay and
          of the revised ship date within [*] of its receipt of such Purchase
          Change Order such that Reseller can manage the situation with its End
          User Customer.

     10.5 ORDER CANCELLATION. Reseller may cancel purchase orders [*] prior to
          shipment.

     10.6 SHIP AND UNINSTALL PROCEDURE. Ship and Uninstall ("S&U") is hereby
          defined as Product, features or options which have been shipped to
          Reseller or Reseller's End User Customer which have not been removed
          from its original shipping boxes nor installed at an End User
          Customer's site, and which Reseller wishes to return to McDATA for
          credit.

          McDATA agrees to accept the return of any S&U units, features or
          options which have been returned to Reseller as cancellations from
          Reseller's End User Customers; provided, such S&U returns are
          initiated within [*] of the original shipment date from McDATA for
          domestic orders or within [*] of the original shipment date from
          McDATA for international orders. For such S&U units, features or
          options, McDATA will charge a base handling fee of [*] of the original
          hardware purchase price, with a minimum fee of [*] and a maximum of
          [*]. Any costs associated with damages to or reconfiguration of the
          unit will be additive to this [*] fee.

     10.7 PAYMENT TERMS. Payment is [*] from the date of a conforming invoice
          for invoices generated by Electronic Data Interchange ("EDI") or [*]
          from the date of conforming invoice for invoices submitted by means
          other than EDI. All transactions shall be in U.S. dollars or as may be
          required by governmental requirements.

     10.8 PAYMENT TERMS FOR BETA PRODUCTS. "Beta Program Products" means
          Products provided to Reseller for early testing and evaluation by a
          mutually agreed upon set of End User Customers. For those Beta Program
          Products [*], at the end of the Beta Program [*] for such Beta Program
          Products. Reseller will pay McDATA in accordance with the provisions
          of Section 10.6.

     10.9 TAXES. All prices for Products and Services provided under this
          Agreement are exclusive of any taxes, duties or government levies
          (including, but not limited to, value added, property, sales, use,
          privilege, excise, or similar taxes) imposed by the United States, and
          State, territory, or any other governmental entity. Reseller is
          purchasing Product for resale. Reseller shall provide McDATA with a
          resale or other appropriate exemption certificate in conjunction with
          this Agreement. Reseller shall be liable for sales and use taxes on
          purchases that are not subject to such exemption. In the event that
          Reseller does not provide to McDATA a resale or other appropriate
          exemption certificate, any such taxes or amounts in lieu thereof that
          are charged to or payable by McDATA (exclusive of taxes based on
          McDATA's net income) will be invoiced to and paid by Reseller in the
          manner set forth in Section 10.6 of this Agreement. Reseller is
          responsible for all taxes resulting from this


Resale Agreement No. 90-00-0109-07            IBM Corporation/McDATA Corporation
Figure B-3
-02/22/00                              1
<PAGE>   9


           Agreement or any activities hereunder, excluding taxes based on
           McDATA's net income. Further, Reseller is responsible for collecting
           from End User Customers all applicable taxes, and remitting same to
           the appropriate taxing authorities.

     10.10 SHIPMENT. All shipments will be EXW McDATA's factory, and Reseller is
           responsible for all shipping charges. Reseller will specify in
           writing on its purchase order the location to which the Products are
           to be shipped. As used in this Agreement, shipment and delivery are
           synonymous. For purposes of this Agreement, shipment and delivery
           occur upon delivery of Products by McDATA at McDATA's factory to the
           common carrier specified by Reseller.

     10.11 TITLE AND RISK OF LOSS. Title and risk of loss will pass to Reseller
           upon shipment, except that title to the Software shall at all times
           remain with McDATA.

     10.12 ACCEPTANCE OF PRODUCTS. Reseller's acceptance of each Product shall
           occur upon delivery unless McDATA is otherwise notified in writing,
           by facsimile or other means of electronic transfer, by Reseller [*]
           from delivery that such Product does not conform to specifications.
           Payment for any Product by Reseller shall not constitute acceptance
           nor reduce the [*] available for inspection and reporting of any
           nonconformance. Such defective Product shall be repaired or replaced
           (at McDATA's option and expense) pursuant to the terms of Exhibit E
           attached hereto (as may be amended from time to time).


11   PRODUCTS. McDATA agrees to sell to Reseller the Products listed on Exhibit
     A of this Agreement, at the prices specified on such Exhibit, and under the
     terms specified in this Agreement. Subject to Section 11.8 below, McDATA
     reserves the right to revise the list of Products in said Exhibit A at any
     time during the term of this Agreement upon ninety (90) days notice to
     Reseller. Additionally, McDATA reserves the right at any time to make
     changes to any Products, including changes which are required to facilitate
     performance in accordance with Product Specifications.

     11.1 IDENTIFICATION OF PRODUCTS, TRADE NAME AND TRADEMARK RIGHTS
          11.1.1 Identification of Products. Reseller acknowledges that the
                 Products to be sold by Reseller shall always be sold under
                 trademarks and trade names owned by or licensed to McDATA.
                 Reseller agrees that it will not remove, alter or obscure in
                 any way any proprietary markings on any Product at any time.

          11.1.2 Trademark and Trade Name Rights. During the term of this
                 Agreement, McDATA grants permission to Reseller to use McDATA's
                 trade name and trademarks only as follows: (i) in connection
                 with the sale, lease, licensing, distribution, advertisement or
                 promotion of the Products in the Territory; and (ii) to
                 identify Reseller as a "McDATA Authorized Selling Agent".
                 Reseller shall use McDATA's trademarks in sales literature and
                 all other promotional materials, and in all media
                 advertisement, shall use McDATA's trade name solely to reflect
                 the source of such Products, and shall identify trademarks and
                 trade names as being the property of McDATA.

                 Prior to publication or commercial use, samples of Reseller's
                 use of McDATA's trademark and/or trade name in all printed
                 material shall be delivered to McDATA for review and approval.
                 McDATA reserves the right to discontinue use or to substitute
                 any McDATA trademark or trade name at any time. Immediately
                 upon written notice from McDATA of discontinued use, Reseller
                 shall immediately (or upon prompt liquidation of inventory)
                 stop using the trademark and/or trade name, and if so
                 instructed by McDATA, destroy or return to McDATA , at McDATA's
                 expense, any remaining goods, advertising and packaging
                 materials bearing such trademark and/or trade name. In the
                 event of substitution, Reseller shall


Resale Agreement No. 90-00-0109-07            IBM Corporation/McDATA Corporation
Figure B-3
-02/22/00                              1
<PAGE>   10


               immediately use such new trademark and/or trade name, and stop
               using the previous trademark and/or trade name, and if so
               instructed by McDATA, destroy or return to McDATA, at McDATA's
               expense, any remaining goods, advertising and packaging materials
               bearing such previous trademark and/or trade name.

               McDATA will, in its sole discretion, in its name and at its
               expense, apply for certificates of use or registration of its
               trademark(s), as applicable. Reseller acknowledges that all
               right, title and interest in said trademarks and trade names
               shall at all times vest in McDATA or McDATA's licensors, and
               Reseller will not apply for or register trademarks and/or trade
               names which are the same as or confusingly similar thereto,
               except with McDATA's prior written consent.

               No right is granted hereunder for either party to use the
               trademarks of the other party, except as provided herein or as
               specifically permitted in writing by such other party.

               Reseller may allow its Channel Partners to use McDATA's trade
               name and/or trademarks provided such Channel Partner has agreed
               in writing to comply with the provisions of this Section.

     11.2 PRODUCT CONFIGURATION VALIDATION. The parties agree that McDATA will
          test and measure systems level interoperability of Reseller's
          product(s) with the Products in a Fibre Channel Storage Area Network
          ("SAN") environment. The parties agree to define a Fibre Channel SAN
          system configuration ("SAN Configuration") and test plan, and execute
          such test plan to validate the interoperability of such products and
          Products within the defined SAN Configuration.

     11.3 PRODUCT WARRANTY, ENHANCED WARRANTY, AND POST WARRANTY SERVICES.
          McDATA will provide warranty, enhanced warranty, and post warranty
          services for the Products directly to the End User Customer in
          accordance with the terms set forth in Sections 3.2.1 and 3.2.2
          herein, and in accordance with the processes, policies, procedures,
          and prices outlined on Exhibit B. For warranty services, McDATA shall
          ensure that End User Customer is provided a copy of the McDATA
          Warranty and Disclaimer Statement (a sample of which is attached
          hereto as Exhibit E and which may be modified by McDATA from time to
          time), together with an appropriate McDATA Product Exhibit (a sample
          of which is attached hereto as Figure B-3 and which may be modified by
          McDATA from time to time.) For enhanced warranty and post warranty
          services, Reseller shall present McDATA documents to End User Customer
          in accordance with the terms set forth in Section 3.2.2 herein.

     11.4 ENGINEERING CHANGES. McDATA reserves the right to make a change to any
          Products at any time prior to shipment if (a) the change is necessary
          to make the Products function in accordance with the specifications
          current at the time of shipment of such Products and/or meet the
          then-current requirements for operation as published by any of the
          regulatory agencies listed in the specifications, or (b) subject to
          Section 11.2, McDATA in good faith determines that such change does
          not adversely affect End User Customer's use of the Products. McDATA
          will communicate as expeditiously as possible any changes that
          adversely affect End User Customer's use. All rights in and to any
          Product design changes will be the exclusive property of McDATA.

     11.5 FIELD MODIFICATIONS. To the extent that McDATA determines that any
          Product in the field requires modification as the result of an
          engineering change, McDATA shall be responsible for such field
          modification, whether such change is retrofitable in the field or
          requires returning such Product to McDATA.


Resale Agreement No. 90-00-0109-07            IBM Corporation/McDATA Corporation
Figure B-3
-02/22/00                              1
<PAGE>   11


     11.6 IMPROVEMENTS. If McDATA makes generally available to its resellers and
          end user customers any new or improved Product which may include new
          models of or options or features ("Improved Products"), McDATA agrees
          to give Reseller the right to purchase and resell such Improved
          Products pursuant to this Agreement and to have access to such
          Improved Products including volumes, samples, timing and technical
          support services at least equal to that provided to any other party.

     11.7 RESELLER MODIFICATION. Reseller represents that in no event shall
          Reseller alter any Product in any way to modify the performance
          characteristics of that Product without the prior written permission
          of McDATA. The appropriate identification labels, regulatory agency
          marks and verification of FCC Class A Compliance or the licensed
          agency number are indicated on the Products at the time of shipment.
          Reseller shall not modify any marks or labels affixed to the Products
          by McDATA with those showing Reseller's name, or otherwise modify or
          replace such marks or labels. McDATA hereby disclaims any liability
          for the possession, use, resale, or operation of any Products which,
          as a result of an alteration by Reseller or any third party, affects
          its compliance with the applicable regulations and/or requirements.

     11.8 PRODUCT DISCONTINUANCE. McDATA reserves the right to discontinue
          Products by notifying Reseller in writing at least ninety (90) days
          prior to the discontinuance date. McDATA agrees to honor all purchases
          orders received and accepted by McDATA prior to the date specified on
          the discontinuance notice.

12   SOFTWARE LICENSE AND RESTRICTIONS.

     12.1 Reseller understands that the Software is proprietary to and
          copyrighted by McDATA or its suppliers. Reseller further understands
          that Reseller and its Channel Partners and End User Customers are
          acquiring only the right to use the Software, and that all ownership,
          copyright, and other intellectual property rights vested in this
          Software shall remain with McDATA or its suppliers.

     12.2 McDATA grants to Reseller the non-exclusive, non-transferable
          worldwide right and license to use the Software, in Object Code form
          only, for support, marketing, sales and demonstration purposes and for
          the training of its Channel Partners and End User Customers and to use
          the Software with Product purchased by Reseller for internal use.

     12.3 Reseller agrees that it shall not attempt to modify, reverse engineer,
          decompile, disassemble, decode or translate the Software. Reseller
          further agrees that it shall not copy the Software except for archival
          or back-up purposes, as may be necessary for use on or with the
          Products.

     12.4 McDATA shall ensure that each End User Customer is provided a copy of
          the Software license that is between such End User Customer and McDATA
          or its suppliers. Such Software license may be in the form of a
          click-through and/or shrinkwrap license. A sample of McDATA's
          click-through software license language is attached hereto as Exhibit
          C and incorporated herein by reference. A sample of McDATA's
          shrinkwrap software license is attached hereto as Exhibit D and
          incorporated herein by reference.

     12.5 Reseller may sublicense the foregoing right and license to its Channel
          Partners, provided such Channel Partners are subject to the foregoing
          restrictions and have executed a written agreement with Reseller
          regarding same.


Resale Agreement No. 90-00-0109-07            IBM Corporation/McDATA Corporation
Figure B-3
-02/22/00                              1
<PAGE>   12


13   INDEMNIFICATION

     13.1 MCDATA INDEMNIFICATION. McDATA agrees to indemnify, defend and hold
          Reseller harmless from any and all damages, liabilities, costs and
          expenses finally awarded against Reseller as a result of any third
          party claim, judgment or adjudication against Reseller (a) which
          claims that Products or Software infringe any patent, copyright,
          trademark, trade secret, or other intellectual property right of any
          third party in the United States, Canada, Mexico, Japan, Australia,
          New Zealand, Singapore, Brazil, United Kingdom, Germany, France, and
          other European Union member countries, or (b) for damage to property
          and tangible personal property or bodily injury (including death)
          caused by the Products or Software or McDATA's negligence or willful
          misconduct. As a condition of McDATA's obligation described in this
          Section 13.1, Reseller must promptly notify McDATA in writing of the
          claim, and cooperate with and grant to McDATA the sole control of the
          defense of any action and all negotiations for settlement and
          compromise. McDATA shall not be obligated to indemnify Reseller for
          any claim based upon (x) any alteration or modification made to the
          Product or Software unless made pursuant to McDATA's instructions,
          where such infringement, damage or injury would not have occurred but
          for such modification or alteration, and (y) any improper
          installation, storage, handling or use of the Products or Software not
          conforming to McDATA's published specifications by Reseller or its
          Channel Partners or End User Customers.

          In order to realize the worldwide intent of this Agreement as
          referenced in Section 6 above, and subject to Reseller's prior written
          notification of no less than thirty (30) days of its intent to sell
          Products or Software into additional countries not listed in
          subsection (a) above, the parties shall mutually agree to extend the
          above indemnification to such additional countries within thirty (30)
          days of such request. McDATA's agreement to extend the above
          indemnification of Reseller to such additional countries shall not be
          unreasonably withheld.

          In the event the Products or Software become, or in McDATA's opinion
          are likely to become, the subject of an infringement, McDATA shall
          have the right, at its option and expense, to (i) obtain the rights to
          continued use of such Product or Software, (ii) modify the Product or
          Software so that it is no longer infringing, or (iii) replace the
          Product or Software with a solution that is functionally equivalent,
          or (iv) refund to Reseller at the End User Customer's net book value
          for the Product.

          The foregoing remedies are the sole remedies for infringement of any
          intellectual property rights.

     13.2 RESELLER INDEMNIFICATION. Reseller agrees to indemnify, defend and
          hold McDATA harmless for claims (a) made against McDATA by third
          parties for damage to real property and tangible personal property or
          bodily injury (including death) arising out of Reseller's misuse of
          the Products and/or Reseller's negligence or willful misconduct and
          for which Reseller is legally liable, and (b) based upon
          misrepresentation by Reseller in conducting its activities under this
          Agreement.

14   CONFIDENTIALITY OF INFORMATION. McDATA and Reseller acknowledge that in the
     course of purchasing Products and meeting their respective obligations
     under this Agreement, each may be obliged to obtain information relating to
     the Products and to each other which is of a confidential or proprietary
     nature and which is marked as such ("McDATA Proprietary Information" or
     "Reseller Proprietary Information" or equivalent). Such Proprietary
     Information may include, but is not limited to, trade secrets, know-how,
     inventions, techniques, processes, programs, schematics, data, customer
     lists, financial information, and sales and marketing plans. McDATA and
     Reseller agree that to the extent that exchanges of Proprietary Information
     are necessary, any such exchange will be disclosed pursuant to


Resale Agreement No. 90-00-0109-07            IBM Corporation/McDATA Corporation
Figure B-3
-02/22/00                              1
<PAGE>   13


     the terms and conditions of that certain Confidential Disclosure Agreement
     No. 011898MCD dated March 31, 1998. Except as otherwise set forth herein,
     all information exchanged under this Agreement will be deemed to be
     non-confidential.

          Either party may publicly disclose the existence of this Agreement
          subject to prior review and approval by the other party; however,
          neither party shall disclose the specific terms and conditions to any
          third parties except by written agreement between McDATA and Reseller
          dated subsequent to the Effective Date, or as required by law or the
          order of a court of competent jurisdiction. This restriction in no way
          limits McDATA's ability to use the general form of this Agreement with
          other Resellers.

15   LIMITATION OF LIABILITY. EXCEPT FOR McDATA'S LIABILITY FOR INFRINGEMENT
     UNDER SECTION 13.1 AND EXCEPT FOR BREACH BY EITHER PARTY OF SECTION 14, IN
     NO EVENT WILL EITHER PARTY BE LIABLE TO THE OTHER FOR ANY INDIRECT,
     SPECIAL, INCIDENTAL OR CONSEQUENTIAL DAMAGES (INCLUDING LOSS OF ANTICIPATED
     REVENUE OR LOSS RESULTING FROM BUSINESS DISRUPTION) ARISING IN CONNECTION
     WITH THIS AGREEMENT, WHETHER IN AN ACTION FOR CONTRACT OR TORT AND WHETHER
     OR NOT SUCH PARTY HAS BEEN ADVISED OF THE POSSIBILITY OF SUCH DAMAGE AND
     FOR ACTUAL DIRECT DAMAGES IN EXCESS OF [*].

          Neither party will bring any legal action against the other more than
          one (1) year after the cause of action arose.

16   TERMINATION.
     16.1 In addition to any other rights or remedies which may be available at
          law or in equity, either party may terminate this Agreement upon the
          occurrence of any one of the following:

          (i)  If either party is in default of any material provision of this
               Agreement and such default is not corrected within thirty (30)
               days of receipt of written notice specifying the nature and
               extent of the breach of the other party, this Agreement may be
               terminated by the party not in default. If the default is such
               that it cannot be reasonably cured within thirty (30) days, then
               the defaulting party must commence cure within thirty (30) days
               and proceed to cure with due diligence. The written notice shall
               state the defaults and the effective date of termination if the
               defaults are not cured.

          (ii) In the event of proceedings in bankruptcy or insolvency invoked
               by or against either party, or in the event of the appointment of
               an assignee for the benefit of creditors or a receiver, the other
               party may elect to immediately terminate the Agreement by
               providing written notice of its election to terminate.

     16.2 Termination of this Agreement shall not relieve either party of the
          obligations incurred under this Agreement pursuant to Sections 3.2.1,
          10.7, 10.8, 11.1, 11.3, 12.3, 12.5, 13, 14, 17.4, 17.6, 17.8 and
          Exhibit B, which Sections shall survive such termination. In addition,
          any other obligations under this Agreement which by their nature
          extend beyond the expiration date or other termination of this
          Agreement shall survive and remain in effect until all such
          obligations are satisfied.

     16.3 Upon termination of this Agreement by McDATA or by Reseller, each
          party shall return all of the other's tangible confidential
          information, prototypes and loaned equipment provided in connection
          with this Agreement, except as set forth in Section 14, within sixty
          (60) calendar days. The provisions of the confidentiality agreement
          shall survive termination of


Resale Agreement No. 90-00-0109-07            IBM Corporation/McDATA Corporation
Figure B-3
-02/22/00                              1
<PAGE>   14


          this Agreement.

17 GENERAL PROVISIONS
     17.1 ENTIRE AGREEMENT. This Agreement, together with the documents and
          other agreements referenced herein are the final, complete, and
          exclusive agreement between Reseller and McDATA with respect to the
          subject matter herein. This Agreement takes precedence over any
          additional or different terms from whatever source, including those of
          Reseller, to which objection is hereby made by McDATA.

     17.2 WAIVER. No waiver of any right or remedy on one occasion by either
          party shall be deemed a waiver of such right or remedy on any other
          occasion.

     17.3 CONTRACT CHANGES. Except as provided herein, this Agreement may not be
          modified or amended except by an instrument in writing signed by duly
          authorized representatives of both parties. The parties acknowledge
          that from time to time McDATA and Reseller may wish to implement
          changes to this Agreement.

     17.4 GOVERNING LAW. This Agreement shall be governed by the substantive
          laws of the State of New York. Any proceeding to enforce, or to
          resolve disputes relating to, this Agreement shall be brought before a
          court of competent jurisdiction in the State of New York, including a
          federal District Court sitting within such State. In such proceedings.
          neither party shall assert that a court lacks jurisdiction over such
          party or the subject matter hereof. The parties hereto expressly waive
          any right they might have to a jury trial and agree that any
          proceeding under this Agreement shall be tried by a judge without a
          jury. The United Nations Convention on the International Sale of Goods
          (CISG), as provided for in Article 6 thereof, is specially excluded
          and shall not be applicable to any transaction contemplated herein.

     17.5 SEVERABILITY. If any part of this Agreement is found to be invalid by
          any court, the remainder will remain in full force and effect.

     17.6 COMPLIANCE WITH LAWS. The parties as well as Channel Partners shall
          comply with all applicable laws, including, without limitation, the
          import and export control laws of the United States of America, any
          import and export control regulations of the United States, and any
          applicable laws or regulations of those countries involved in
          transactions concerning the exporting, importing and re-exporting of
          Products purchased under application of these terms and conditions.
          The parties as well as Channel Partners shall also comply with the
          United States Foreign Corrupt Practices Act and shall indemnify McDATA
          from and against any liabilities, damage, costs and expenses,
          including reasonable attorneys' fees with respect to claims resulting
          from violations of such act by a party and/or a Channel Partner.

          Reseller covenants to McDATA that it shall not export from the United
          States or reexport from the country to which McDATA initially exports
          any of the Software in any form, without the prior written consent of
          McDATA and any agency of the United States government where such
          consent is necessary.

     17.7 NOTICES. Notices required hereunder shall be in writing, and shall be
          deemed given when transmitted by facsimile (provided such facsimile is
          subsequently confirmed in writing within five (5) days of the
          facsimile date) or deposited with an express delivery service with
          guaranteed third day delivery, prepaid, addressed as follows:


Resale Agreement No. 90-00-0109-07            IBM Corporation/McDATA Corporation
Figure B-3
-02/22/00                              1
<PAGE>   15


               To McDATA:
               McDATA Corporation
               310 Interlocken Parkway
               Broomfield, Colorado  80021-3464
               Attn.:  Vice President of Sales

                    Facsimile # (303) 460-3235

               To Reseller:
               International Business Machines Corporation
               2455 South Road
               Poughkeepsie, NY  12601-5400
               Attn:    Manager OEM Products
                    Facsimile # (914) 433-9617

     17.8 ASSIGNMENT. Neither Reseller nor McDATA shall assign this Agreement or
          any rights hereunder without the prior written consent of the other
          party, which consent shall not be unreasonably withheld.

     17.9 HEADINGS. The headings provided in this Agreement are for convenience
          only and shall not be used in interpreting or construing this
          Agreement.

     17.10 FORCE MAJEURE. Neither party shall be responsible for any failure to
          perform or delay in performing any of its obligations due to causes
          beyond the reasonable control of the party, including but not limited
          to acts of God, war, riot, embargoes, acts of civil or military
          authorities, fire, floods, accidents, strikes, or shortages of
          transportation, facilities, fuel, energy, labor, or materials. In the
          event of such delay, either party may defer the performance for a
          period equal to the time of such delay, provided however if such
          period to time exceeds one (1) month Reseller may without penalty
          cancel or reschedule any or all unfilled purchase orders and if such
          period exceeds three (3) months either party may terminate this
          Agreement.

     17.11 RECORDS.

          17.11.1 During the term of this Agreement and for a period of two (2)
                  years after termination or expiration of this Agreement,
                  Reseller shall maintain a full and complete record of all
                  Reseller's shipments of Software to Channel Partners and End
                  User Customers. During such time, but no more often than once
                  per year, McDATA retains limited rights to audit such records.
                  Such audit shall be conducted by an independent third party at
                  McDATA's expense and is subject to reasonable notice by McDATA
                  and shall take place during Reseller's normal business hours.

          17.11.2 During the term of this Agreement and for a period of two (2)
                  years after termination or expiration of this Agreement,
                  Reseller retains limited rights to audit McDATA's relevant
                  business records for McDATA's compliance with Section 9.3 and
                  Section 2.5 of Exhibit B of this Agreement. Such audit shall
                  be conducted by an independent third party at Reseller's
                  expense and is subject to reasonable notice by Reseller and
                  shall take place during McDATA's normal business hours.

     17.12 GIFTS. Neither party shall knowingly offer or give employees or
           members of their families of the other party gifts or gratuities of
           any type.

Resale Agreement No. 90-00-0109-07            IBM Corporation/McDATA Corporation
Figure B-3
-02/22/00                              1
<PAGE>   16


     17.13 PRESS RELEASE. Following execution of this Agreement, each party may
           issue a press release announcing that Reseller is a reseller of the
           Products. The parties shall to agree upon the text of said press
           releases prior to such announcement, and such agreement shall not be
           unreasonably withheld. Failure to reach such agreement shall not be
           grounds for termination of this Agreement.

     17.14 PUBLICATIONS AND MARKETING MATERIALS.

          17.14.1 Publications. English language soft copies of each applicable
                  technical End User Customer manual will be available to
                  Reseller at no charge.

          17.14.2 Marketing Materials. McDATA will make available to Reseller
                  soft copies of marketing literature for the Products, subject
                  to retention of all copyright notices and/or confidentiality
                  legends.


Resale Agreement No. 90-00-0109-07            IBM Corporation/McDATA Corporation
Figure B-3
-02/22/00                              1
<PAGE>   17


                                    EXHIBIT A
                              PRODUCTS AND PRICING


<TABLE>
<CAPTION>
FEATURE     DESCRIPTION                      REFERENCE    RESELLER    DISCOUNT FROM
                                                         NET PRICING    REFERENCE
                                                         REFLECTING
                                                        APPROPRIATE
                                                          DISCOUNT

<S>                                          <C>        <C>           <C>
ED-5000     Base Assembly                       [*]          [*]           [*]

5010        G_Port Short-Wave (1 x 9 )*         [*]          [*]           [*]
5011        G_Port Long-Wave (1 x 9 )*          [*]          [*]           [*]
5012        Combo Port Board                    [*]          [*]           [*]
5020        High-Availability Hardware Pkg      [*]          [*]           [*]
5021        High-Availability Power Supply      [*]          [*]           [*]
3755        EFC Server PC (Console)             [*]          [*]           [*]
5030        Ethernet Hub                        [*]          [*]           [*]

3750        EFC Manager (Software)**            [*]          [*]           [*]
3775        ED-5000 Product Manager**           [*]          [*]           [*]
</TABLE>


** Release 2.0 Pricing
** ED-5000 Product Manager required for each ED-5000 installed
** ED-5000 Manager required for initial ED-5000 installed in a fabric and can
   manage up to (32) ED-5000's directly connected via E port


Sample Configurations

NON-HA      1 Power Supply, 2 Fans, 1 CTP, 1 MPC, 1 CMM, EFC S/W, EFC Server PC,
------         PM,Hub
8 Ports                                         [*]          [*]           [*]
16 Ports                                        [*]          [*]           [*]
32 Ports                                        [*]          [*]           [*]

HA with EFC Manager and Console
            2 Power Supplies, 2 Fans, 2 CTP, 2 MPC, 2 CMM, EFC S/W, EFC Server
               PC, PM,Hub
8 Ports                                         [*]          [*]           [*]
16 Ports                                        [*]          [*]           [*]
32 Ports                                        [*]          [*]           [*]

HA without EFC Manager and Console
            2 Power Supplies, 2 Fans, 2 CTP, 2 MPC, 2 CMM, EFC S/W, EFC Server
               PC, PM,Hub
8 Ports                                         [*]          [*]           [*]


Resale Agreement No. 90-00-0109-07            IBM Corporation/McDATA Corporation
Figure B-3
-02/22/00                              1
<PAGE>   18


16 Ports                                        [*]          [*]           [*]
32 Ports                                        [*]          [*]           [*]


Resale Agreement No. 90-00-0109-07            IBM Corporation/McDATA Corporation
Figure B-3
-02/22/00                              1
<PAGE>   19


                                    EXHIBIT B

                           WARRANTY AND POST WARRANTY
                               SERVICES AND PRICES


NOTE: McDATA reserves the right to modify this Exhibit from time to time, to
delete Services, or to include additional Services which it will make available
to End User Customers.


1    WARRANTY
McDATA warrants the Products to the End User Customer in accordance with the
McDATA Warranty and Disclaimer Statement (Exhibit E, attached hereto and
incorporated herein by reference, as may be modified by McDATA from time to
time).

The warranty period for each Product is stated on a McDATA Product Exhibit for
such Product (see copy attached to this Exhibit as Figure B-3 as may be modified
by McDATA from time to time).

2    SERVICES
     2.1  WARRANTY SERVICES
          The warranty services available to the End User Customer for each
          Product are outlined on a McDATA Product Exhibit for such Product (see
          sample attached to this Exhibit as Figure B-3). Warranty services
          include standard services for which there is no charge to the End User
          Customer.

     2.2  ENHANCED WARRANTY SERVICES
          The enhanced warranty services available to the End User Customer for
          each Product are outlined on a McDATA Product Exhibit for such Product
          (see sample attached to this Exhibit as Figure B-3) at the prices
          stated on Figure B-1 of this Exhibit. An End User Customer must
          execute a McDATA Maintenance Agreement (Figure B-2, attached hereto
          and incorporated herein by reference, as may be amended from time to
          time) to receive such enhanced warranty services.

     2.3  POST WARRANTY SERVICES
          The post warranty services available to the End User Customer for each
          Product are outlined on a McDATA Product Exhibit for such Product (see
          sample attached to this Exhibit as Figure B-3) at prices stated on
          Figure B-1 of this Exhibit. An End User Customer must execute a McDATA
          Maintenance Agreement (Figure B-2, attached hereto and incorporated
          herein by reference, as may be amended from time to time) to receive
          such post warranty services.

     2.4  INSTALLATION
          Reseller will install Products at its expense.

     2.5  INCENTIVE
          If at the time the End User Customer purchases Products from Reseller
          it purchases a three year, 24x7 upgrade contract from McDATA, and
          McDATA invoices such End User Customer for the three year, 24x7
          upgrade contract, McDATA will pay Reseller an [*] on commission on the
          value of such invoice. Such commission will be paid to Reseller
          biannually for the periods ending June 30th and December 31st. On or
          before the 15th day of each month, McDATA will issue a report to
          Reseller stating the value of the total of such three year contracts
          invoiced by McDATA in the previous month. On or before the 15th day of
          July and January, McDATA will issue a check to Reseller in the amount
          of the earned commission for


Resale Agreement No. 90-00-0109-07
Figure B-1-02/22/00                           IBM Corporation/McDATA Corporation
<PAGE>   20


          the previous period.


Resale Agreement No. 90-00-0109-07            IBM Corporation/McDATA Corporation
Figure B-3
-02/22/00                              1
<PAGE>   21


                                   FIGURE B-1

        PRICES FOR WARRANTY, ENHANCED WARRANTY AND POST WARRANTY SERVICES

<TABLE>
<CAPTION>
-------------------------------------------------------------------------------------------------------------------------
 FEATURE    DESCRIPTION OF SERVICE                      SERVICE FEE FOR     SERVICE FEE FOR EMEA   SERVICE FEE FOR ASIA
                                                         NORTH AMERICA                                   PACIFIC
-------------------------------------------------------------------------------------------------------------------------
   CODE                                                 TOTAL     MONTHLY     TOTAL      MONTHLY     TOTAL      MONTHLY
-------------------------------------------------------------------------------------------------------------------------
<S>                                                     <C>       <C>         <C>        <C>         <C>        <C>

-------------------------------------------------------------------------------------------------------------------------
N/A        8x5 Next Business Day Warranty
-------------------------------------------------------------------------------------------------------------------------
                        Unit 13                          [*]                   [*]                    [*]
                        months
-------------------------------------------------------------------------------------------------------------------------
                        EFC Manager, 3 months            [*]                   [*]                    [*]
-------------------------------------------------------------------------------------------------------------------------
                        Product Manager, 3 Months        [*]                   [*]                    [*]
-------------------------------------------------------------------------------------------------------------------------

-------------------------------------------------------------------------------------------------------------------------
FC-5310    8x5 Next Business Day 2nd Year
-------------------------------------------------------------------------------------------------------------------------
                        Unit                             [*]                   [*]                    [*]
-------------------------------------------------------------------------------------------------------------------------
                        EFC Manager                      [*]                   [*]                    [*]
-------------------------------------------------------------------------------------------------------------------------
                        Product Manager                  [*]                   [*]                    [*]
-------------------------------------------------------------------------------------------------------------------------
                                                         [*]        [*]        [*]         [*]        [*]        [*]
-------------------------------------------------------------------------------------------------------------------------

-------------------------------------------------------------------------------------------------------------------------
FC-5311    24x7 Enhanced Warranty Upgrade 1st Year
-------------------------------------------------------------------------------------------------------------------------
                        Unit                             [*]                   [*]                    [*]
-------------------------------------------------------------------------------------------------------------------------
                        EFC Manager                      [*]                   [*]                    [*]
-------------------------------------------------------------------------------------------------------------------------
                        Product Manager                  [*]                   [*]                    [*]
-------------------------------------------------------------------------------------------------------------------------
                                                         [*]        [*]        [*]         [*]        [*]        [*]
-------------------------------------------------------------------------------------------------------------------------

-------------------------------------------------------------------------------------------------------------------------
FC-5312    24x7 2nd year
-------------------------------------------------------------------------------------------------------------------------
                        Unit                             [*]                   [*]                    [*]
-------------------------------------------------------------------------------------------------------------------------
                        EFC Manager                      [*]                   [*]                    [*]
-------------------------------------------------------------------------------------------------------------------------
                        Product Manager                  [*]                   [*]                    [*]
-------------------------------------------------------------------------------------------------------------------------
                                                         [*]        [*]        [*]         [*]        [*]        [*]
-------------------------------------------------------------------------------------------------------------------------

-------------------------------------------------------------------------------------------------------------------------
FC-5313     24x7 Upgrade, 3 year contract (1 year enhanced warranty upgrade, 2 years post warranty) *
-------------------------------------------------------------------------------------------------------------------------
                        Unit                             [*]                        [*]                    [*]
-------------------------------------------------------------------------------------------------------------------------
                        EFC Manager                      [*]                        [*]                    [*]
-------------------------------------------------------------------------------------------------------------------------
                        Product Manager                  [*]                        [*]                    [*]
-------------------------------------------------------------------------------------------------------------------------
                                                         [*]                        [*]                    [*]
-------------------------------------------------------------------------------------------------------------------------
                        Discount          [*]%           [*]                        [*]                    [*]
-------------------------------------------------------------------------------------------------------------------------
                        Install                          [*]                   [*]                    [*]
-------------------------------------------------------------------------------------------------------------------------
                        Total                            [*]        [*]             [*]    [*]             [*]    [*]
-------------------------------------------------------------------------------------------------------------------------

-------------------------------------------------------------------------------------------------------------------------
           * NOTE: End User Customer receives [*] discount for prepaying a three year contract.
-------------------------------------------------------------------------------------------------------------------------
</TABLE>


Resale Agreement No. 90-00-0109-07            IBM Corporation/McDATA Corporation
Figure B-3
-02/22/00                              1
<PAGE>   22


                                   FIGURE B-2

                          MCDATA MAINTENANCE AGREEMENT

Resale Agreement No. 90-00-0109-07            IBM Corporation/McDATA Corporation
Figure B-3
-02/22/00                              1
<PAGE>   23


                                   MCDATA(R)

                          MAINTENANCE AGREEMENT FC-5313

Thank you for doing business with McDATA Corporation. We strive to provide you
with services of the highest quality. If, at any time, you have any questions or
problems, or are not completely satisfied, please let us know. Our goal is to do
our best for you.

This McDATA Maintenance Agreement (called the "Maintenance Agreement") covers
all business transactions you may do with us to acquire Services. This
Maintenance Agreement is the complete agreement regarding these transactions,
and replaces any oral or written communications between us. By signing below for
our respective companies, both of us agree to the terms of this Maintenance
Agreement.

<TABLE>
<CAPTION>
BILL-TO LOCATION                                              INSTALLATION LOCATION
<S>                                                           <C>
Customer Name:_______________________________________         Customer Name:___________________________________
Address:_____________________________________________         Address:_________________________________________
Address:_____________________________________________         Address:_________________________________________
Attention:___________________________________________         Technical Contact:_______________________________
Phone:  _____________________________  FAX:__________         Phone: ___________________  FAX:_________________
                                                              Cell # ___________________  Pager________________
</TABLE>

                          PRODUCT SCHEDULE FOR SERVICES
<TABLE>
<CAPTION>
FEATURE CODE               PRODUCT                            SERVICE LEVEL                      ANNUAL SERVICE
FEE
-------------------------------------------------------------------------------------------------------------------
<S>                        <C>                                <C>                                         <C>
FC-5313                    ED-5000 Director                   3 year 24x7 Upgrade *                       $ [*]
                           EFC Manager                        3 year 24x7 Upgrade *                       $ [*]
                           Product Manager                    3 year 24x7 Upgrade *                       $ [*]
                                                                                                          -----
                                    Total - 3 year 24x7 contract (before [*])                             $ [*]
                                    [*]                                                                 - $ [*]
                                                                                                          -----
                                    TOTAL - 3 YEAR 24X7 CONTRACT                                          $ [*]
</TABLE>

* Includes 1 year enhanced warranty upgrade and 2 years post warranty 24x7
service. You receive a [*] for prepaying three years.

DESCRIPTION OF SERVICES:
24X7: 24x7 on-site service is available within Principal Area of Maintenance
(PAM). If on-site service is required, the response time is 4 hours.

TELEPHONE SUPPORT AND UNIT MONITORING: 24x7 telephone support is available for
all levels of warranty/post warranty service. Call the McDATA Call Center at
1-800-752-4572. If you purchase the optional EFC Manager Server/Software and
Product Manager Software, and provide a dial-up phone line, McDATA will provide
24x7 unit monitoring (Call Home Monitoring).

HARDWARE UPGRADES: Upgrades to the Product hardware will be provided to the you
as required.

SOFTWARE UPGRADES: Mandatory Maintenance Release upgrades to the Software will
be distributed to you. Non-mandatory Maintenance Release upgrades to the
Software will be provided as required. Functional Release upgrades to the
Software will be made available for fee to you.

--------------------------------------------------------------------------------
Out of scope on-site technical support maintenance service is available at an
hourly Time and Materials rate of [*], with a required 2-hour minimum.
--------------------------------------------------------------------------------
DEFINITIONS:
PRINCIPAL AREA OF MAINTENANCE (PAM): An area situated within a specified radius
of the business center of a city in which a McDATA authorized service center is
located. The radius is approximately 50 miles.

NEXT BUSINESS DAY: Next Business Day service is available within the Principal
Area of Maintenance (PAM). If on-site service is required, McDATA will dispatch
a representative within 24 hours of your request, unless such dispatch would
fall on a weekend or McDATA holiday, in which case the representative will be
dispatched on the next McDATA business day. In response to a call placed during
normal business hours (8-5 your local time) a Customer Engineer (CE) will arrive
at your site before 5:00pm the next business day. Any call received after 5:00pm
local time will be handled as if received the next day.

MAIL-IN REPAIR: The Product must be returned to McDATA under the Return Material
Authorization (RMA) repair process. Contact the McDATA Call Center at
800-752-4572 for RMA instructions. The unit will be repaired or replaced within
10 days of receipt and returned to you.

MAINTENANCE RELEASE: Software "fixes" for known problems. Maintenance Releases
are available to you under warranty, extended warranty, or post warranty at no
additional charge.

FUNCTIONAL RELEASE: New releases to Software providing new features or
significantly enhanced operability. McDATA reserves the right to charge
additional fee(s) for such Functional Releases.

The parties hereby acknowledge that they have read and understand this
Maintenance Agreement, and agree to all

Resale Agreement No. 90-00-0109-07            IBM Corporation/McDATA Corporation
Figure B-3
-02/22/00                              1
<PAGE>   24


terms and conditions stated herein.

MCDATA CORPORATION                              CUSTOMER:_______________________

Signed: ______________________________          Signed: ________________________

Name:   ______________________________          Name:   ________________________

Title:  ______________________________          Title:  ________________________

Date:   ______________________________          Date:   ________________________

  AFTER SIGNING, PLEASE RETURN A COPY OF THIS AGREEMENT ALONG WITH YOUR PO FOR
                           THE AMOUNT STATED ABOVE TO:
     MCDATA CORPORATION, 310 INTERLOCKEN PARKWAY, BROOMFIELD, CO 80021-3464


Resale Agreement No. 90-00-0109-07            IBM Corporation/McDATA Corporation
Figure B-3
-02/22/00                              1
<PAGE>   25


                                   MCDATA(R)

                        MAINTENANCE TERMS AND CONDITIONS

1    DEFINITIONS:
     1.1  SERVICES are either Enhanced Warranty Services or Post Warranty
          Services that we provide to you for a fee. The descriptions of these
          Services and the fees we charge for them are described on the first
          page of this Agreement
     1.2  ENHANCED WARRANTY SERVICES are services in addition to standard
          warranty services, which we will provide to you for a fee during the
          warranty period for the McDATA product(s) you have purchased.
     1.3  POST WARRANTY SERVICES are services we will provide to you for a fee
          after the expiration of the warranty period for the McDATA product(s)
          you have purchased.
     1.4  PRODUCT refers to hardware, software, and/or related features which
          were manufactured or developed by McDATA (or its suppliers) and which
          are subject to the Services described on the first page of this
          Agreement.
     1.5  TIME AND MATERIALS charges are fees charged by McDATA for non-standard
          out of scope Services.

2    PAYMENT TERMS AND TAXES. Payment terms are net thirty (30) days after date
     of invoice. You are responsible for paying any applicable sales taxes for
     the Services.

3    SERVICES AND LIMITATIONS.
     3.1  McDATA may repair the failed Product or component or replace it at our
          discretion. Replacement parts may be new or refurbished. When the type
          of Service requires that you deliver the failing Product to McDATA,
          you agree to ship the Product suitably packaged (prepaid unless we
          specify otherwise) to a location we designate. After we have repaired
          or exchanged the Product, we will return it to you at our expense
          unless we specify otherwise. We are responsible for loss of, or damage
          to, your Product while it is in our possession or in transit in those
          cases where we are responsible to the transportation charges.

          McDATA will install engineering changes which improve the performance,
          reliability or safety of a Product ("Field Change Orders" or "FCOs").

     3.2  Services will not include repair or replacement of any Product
          (a)  which has been damaged by misuse, accident, modification,
               unsuitable physical or operating environment, or improper
               maintenance by you;
          (b)  which has been used in combination with other equipment or
               software which are not recommended for use with such Product in
               McDATA's written specifications;
          (c)  which has been moved, installed, deinstalled, altered or repaired
               by anyone other than McDATA or McDATA's authorized
               representative;
          (d)  on which the original identification marks have been removed; or
          (e)  fails because of a product for which we are not responsible.

          If McDATA provides services which are covered by any of the
          limitations described above, you agree to pay McDATA for such services
          at our then-current Time and Materials rates.

4    YOUR OTHER RESPONSIBILITIES. You agree to:
     (a)  promptly notify McDATA of any material failure, malfunction or error
          in the Products which you detect, and provide McDATA with a
          description of the problem and the conditions under which it occurred;

     (b)  allow McDATA support personnel access to your premises, resources,
          equipment and personnel as we reasonably require to perform the
          Services;


Resale Agreement No. 90-00-0109-07            IBM Corporation/McDATA Corporation
Figure B-3
-02/22/00                              1
<PAGE>   26


     (c)  provide a dedicated analog modem phone line for remote diagnostics;

     (d)  properly care for the Products, as specified in the documentation for
          the Products, including maintaining a proper site environment
          (temperature, humidity, power, etc.);

     (e)  ensure that all of your Product software and data files used in
          connection with the Products are routinely archived and documented;

     (f)  if, during the contract term(s), you wish to relocate Product(s) from
          the initial installation site to a new location, you agree to notify
          McDATA in writing ninety (90) days prior to the relocation date. Upon
          receipt of such notification, McDATA may, at its option, prepare the
          Products for such relocation, and reinstall the Products at McDATA's
          then-current rates.

5    WARRANTY FOR SERVICES. McDATA warrants that we will perform the Services
     using reasonable care and skill. THIS WARRANTY AND THE APPLICABLE WARRANTY
     ACCOMPANYING THE PRODUCT ARE YOUR EXCLUSIVE WARRANTIES AND REPLACE ALL
     OTHER WARRANTIES OR CONDITIONS, EXPRESS OR IMPLIED, INCLUDING WITHOUT
     LIMITATION THE IMPLIED WARRANTIES OR CONDITIONS OF MERCHANTABILITY AND
     FITNESS FOR A PARTICULAR PURPOSE.

6    LIMITATION OF LIABILITY
     6.1  Circumstances may arise where, because of a default on our part or
          other liability, you are entitled to recover damages from us. In each
          instance, regardless of the basis on which you are entitled to claim
          damages from us (including fundamental breach, negligence,
          misrepresentation, or other contract or tort claim), we are liable for
          no more than:
          (a)  damages for bodily injury (including death) and damage to real
               property and tangible personal property; and
          (b)  the amount of any other actual direct damages up to the greater
               of [*] or the annual fees paid by you for Services.

          This limit also applies to any of our subcontractors. It is the
          maximum for which we and our subcontractors are collectively
          responsible.

     6.2  ITEMS FOR WHICH WE ARE NOT LIABLE
     Under no circumstances are we or our subcontractors liable for any of the
     following:
          (a)  third party claims against you for damages (other than those
               under Section 6.1 (a) above);
          (b)  loss of, or damage to, your records or data; or
          (c)  special, incidental, or indirect damages or for any economic
               consequential damages (including lost profits or savings), even
               if we are informed of their possibility.


Resale Agreement No. 90-00-0109-07            IBM Corporation/McDATA Corporation
Figure B-3
-02/22/00                              1
<PAGE>   27


                                   FIGURE B-3

                             MCDATA PRODUCT EXHIBIT
                         ED-5000 FIBRE CHANNEL DIRECTOR

This MCDATA PRODUCT EXHIBIT provides specific information regarding the
warranty, enhanced warranty and post warranty maintenance services available for
the ED-5000 Fibre Channel Director ordered by End User Customer and/or to be
maintained by McDATA.

WARRANTY
The warranty period for evaluations and purchases is thirteen (13) months from
the date of shipment from McDATA.

WARRANTY SERVICES:
     NEXT BUSINESS DAY**: The standard warranty services available within the
     Principal Area of Maintenance (PAM) * are on a Next Business Day** basis
     for the ED-5000. If on-site service is required, the response time is 8:00
     am to 5:00 pm Next Business Day**.

     TELEPHONE SUPPORT AND UNIT MONITORING: 24x7 telephone support is available
     for all levels of warranty service. Call the McDATA Call Center at
     1-800-752-4572. If End User Customer purchases the optional EFC Manager
     Server/Software and Product Manager Software, and provides a dial-up phone
     line, McDATA will provide 24/7 unit monitoring (Call Home Monitoring)

     HARDWARE UPGRADES: Upgrades to the Product hardware will be provided to the
     End User Customer as required.

     SOFTWARE UPGRADES: Mandatory Maintenance Release**** upgrades to the
     Software will be distributed to End User Customer. Non-mandatory
     Maintenance Release**** upgrades to the Software will be provided as
     required. Functional Release***** upgrades to the Software will be made
     available for fee to End User Customer.

ENHANCED WARRANTY SERVICES:
     24X7: If on-site service is required, the response time is 4 hours. 24x7
     warranty services are available in most major cities, within Principal Area
     of Maintenance (PAM)*. Contact your McDATA Account Manager for warranty
     upgrade charges. Mail-in Repair*** service is available for Product located
     outside the PAM*.

     TELEPHONE SUPPORT AND UNIT MONITORING: Services are the same as described
     above for Warranty Services.

     HARDWARE UPGRADES: Services are the same as described above for Warranty
     Services.

     SOFTWARE UPGRADES: Services are the same as described above for Warranty
     Services.

POST WARRANTY SERVICES:
     NEXT BUSINESS DAY**: Services are the same as described above for Warranty
     Services.

     24X7: Services are the same as described above for Enhanced Warranty
     Services.

     TELEPHONE SUPPORT AND UNIT MONITORING: Services are the same as described
     above for Warranty Services.

     HARDWARE UPGRADES: Services are the same as described above for Warranty
     Services.

     SOFTWARE UPGRADES: Services are the same as described above for Warranty
     Services.

INSTALLATION:
     Installation of the Products will be provided by IBM personnel.
     Installation will consist of attaching End User Customer-supplied cabling
     to the Products, configuring Product, attaching and testing the Call Home
     Monitoring feature, and ensuring the Products are operating properly.

DEFINITIONS:
PRINCIPAL AREA OF MAINTENANCE (PAM): An area situated within a specified radius
of the business center of a city in which a McDATA-authorized service center is
located. The radius is approximately 50 miles.

NEXT BUSINESS DAY: If on-site support is deemed necessary by McDATA, McDATA
shall dispatch a representative within 24 hours of the Customer's request,
unless such dispatch would fall on a weekend or McDATA holiday, in which case
the representative will be dispatched on the next McDATA business day. In
response to a call placed during normal business hours (8-5 Customer local time)
a Customer Engineer (CE) will arrive at Customer site before 5:00pm the next
business day. Any call received after 5:00pm local time will be handled as if it
was received the next day.

MAIL-IN REPAIR: The Product must be returned to McDATA under the Return Material
Authorization (RMA) repair process. Contact the McDATA Call Center at
800-752-4572 for RMA instructions. The unit will be repaired or replaced within
10 days of receipt and returned to End User Customer.


Resale Agreement No. 90-00-0109-07            IBM Corporation/McDATA Corporation
Figure B-3
-02/22/00                              1
<PAGE>   28


MAINTENANCE RELEASE: Software "fixes" for known problems. Maintenance Releases
are available to End User Customer under warranty, eenhanced warranty, or post
warranty at no additional charge.

FUNCTIONAL RELEASE: New releases to Software providing new features or
significantly enhanced operability. McDATA reserves the right to charge
additional fee(s) for such Functional Releases.


Resale Agreement No. 90-00-0109-07            IBM Corporation/McDATA Corporation
Figure B-3
-02/22/00                              1
<PAGE>   29


                                    EXHIBIT C
                      MCDATA CLICK-THROUGH SOFTWARE LICENSE


                                LICENSE AGREEMENT
        CUSTOMER LICENSE AGREEMENT AND CONDITIONS OF SOFTWARE ACCEPTANCE
IMPORTANT: This Agreement contains important information about this software and
its use. Read this Agreement before installing this software.

THIS IS A LEGAL AGREEMENT AND THE EXCLUSIVE AGREEMENT BETWEEN THE USER ("YOU")
AND McDATA CORPORATION ("McDATA"). IF YOU AGREE WITH THE TERMS OF THIS LICENSE,
CLICK THE "YES" BUTTON BELOW TO INSTALL THE SOFTWARE. IF YOU DO NOT AGREE WITH
THE TERMS OF THIS LICENSE, CLICK THE "NO" BUTTON BELOW TO QUIT THE INSTALLATION
OF THIS SOFTWARE, AND PROMPTLY RETURN THE CD-ROM AND ACCOMPANYING ITEMS
(INCLUDING WRITTEN MATERIALS AND CONTAINERS) TO McDATA. INSTALLATION OR USE OF
THIS SOFTWARE INDICATES YOUR ACCEPTANCE OF THE TERMS OF THIS LICENSE.


LICENSE. This Software, including any corrections, modifications or
enhancements, is proprietary to, trade secret of, and copyrighted by McDATA or
its suppliers. You have the non-exclusive right to use the Software subject to
the terms and conditions set forth in the License Agreement.
You may:
     -    install and use the Software on a single computer,
     -    make one (1) copy of the Software into any machine-readable format
          solely for backup and archival purposes, provided that You include all
          copyright notices and any proprietary legends on such copy, and
     -    physically transfer the Software from one computer to another,
          provided that the Software is removed from the computer on which it
          was installed and is used only on one (1) computer at a time, subject
          to the restrictions set forth herein.
     -    transfer this License, together with the original and all back-up
          copies of the Software and related documentation, only if: (a) you
          give McDATA written notice of the transfer; and (b) the transferee
          agrees to comply with the provisions of this License; and (c) you
          destroy all copies of the Software and related documentation not
          transferred by you to the transferee.

RESTRICTIONS ON USE AND TRANSFER. You agree that you will not copy, modify,
decompile, disassemble, or export the Software from the country where such
Software is furnished to you, or transfer the Software, or any copy,
modification, or merged portion of such program in whole or in part, except as
expressly provided for in this license.

TITLE. The original and any copies of the Software or accompanying
documentation, in whole or in part, including translations, compilations,
partial copies, modifications, and updates are the property of McDATA. You have
only the limited rights granted by this license, and shall not use the Software
except as expressly authorized herein. You are not an owner of any copy of the
Software, and therefore 17 U.S.C. section 117 does not apply. You must reproduce
and include the proprietary rights notices on any copy of the Software and
accompanying documentation.

TERMINATION. You may terminate Your license to the Software at any time by
destroying the Software and accompanying documentation together with all copies,
modifications and merged portions in any form. The license will also terminate
if You fail to comply with any term or condition of this Agreement. You agree
upon such termination to destroy the Software and accompanying documentation,
together with all copies, modifications and merged portions in any form.

LIMITED WARRANTY. McDATA warrants that this electronic media will perform
substantially in accordance with published specifications, under normal use, for
a period of 90 days after the date of delivery. If, during this 90-day period,
you discover a defect in the electronic media, you may return the defective
electronic media to McDATA and the electronic media will be replaced without
charge. Your sole remedy in the event of a defect in the electronic media is
limited to, at McDATA's option, the replacement, of the defective media as
provided above, or refund of the cost of the electronic media.

WARRANTY DISCLAIMER. THE SOFTWARE IS PROVIDED "AS IS" WITHOUT WARRANTY OR
CONDITION OF ANY KIND, EITHER EXPRESS OR IMPLIED, AND THE IMPLIED WARRANTIES AND
CONDITIONS OF MERCHANTABILITY AND FITNESS FOR A PARTICULAR PURPOSE AND
NONINFRINGEMENT ARE SPECIFICALLY DISCLAIMED WITH RESPECT TO THE SOFTWARE. THE
ENTIRE RISK AS TO THE QUALITY AND PERFORMANCE OF THE PRODUCT IS WITH YOU AND
SHOULD THE SOFTWARE PROVE DEFECTIVE, YOU (AND NOT McDATA, RESELLER OR DEALER)
ASSUME THE ENTIRE COST OF ALL NECESSARY SERVICING, REPAIR OR CORRECTION. McDATA
MAKES NO WARRANTIES AS TO THE ACCURACY OR


                                       1
<PAGE>   30


COMPLETENESS OF USER DOCUMENTATION, OR THAT THE SOFTWARE IS ERROR FREE.

LIMITATION OF LIABILITY. EXCEPT FOR THE TERMS OF THE LIMITED WARRANTY PARAGRAPH
OF THIS LICENSE, McDATA MAKES NO ADDITIONAL WARRANTIES, EITHER EXPRESSED OR
IMPLIED. NEITHER McDATA NOR ANY THIRD PARTY ASSOCIATED WITH THE CREATION,
PRODUCTION, OR DELIVERY OF THIS SOFTWARE OR RELATED DOCUMENTATION SHALL BE
LIABLE FOR ANY INDIRECT, INCIDENTAL, LOST PROFITS, SPECIFIC, OR CONSEQUENTIAL
DAMAGES IN CONNECTION WITH OR ARISING FROM THE FURNISHING, PERFORMANCE, OR USE
OF THE LICENSED SOFTWARE OR RELATED DOCUMENTATION, EVEN IS ADVISED OF THE
POSSIBILITY OF SUCH DAMAGES, OR ANY CLAIM BY ANY OTHER PARTY. IN NO EVENT SHALL
McDATA'S LIABILITY EXCEED THE RELEVANT PURCHASE PRICE PAID BY LICENSEE FOR THE
PRODUCT TO WHICH THIS LICENSE RELATES. SOME STATES DO NOT ALLOW THE LIMITATION
OR EXCLUSION OF LIABILITY FOR INCIDENTAL OR CONSEQUENTIAL DAMAGES, SO THE ABOVE
LIMITATION OR EXCLUSION MAY NOT APPLY TO YOU. McDATA HAS NO LIABILITY TO YOU
UNDER THIS SECTION FOR ANY CLAIM BASED UPON YOUR USE, COMBINATION OR OPERATION
OF THE PRODUCT WITH ANY EQUIPMENT OR SOFTWARE NOT SUPPLIED BY McDATA, OR BASED
UPON ALTERATION OF EQUIPMENT OR MODIFICATION OF SOFTWARE BY YOU OR ANYONE OTHER
THAN A McDATA-AUTHORIZED SERVICE REPRESENTATIVE.

ACKNOWLEDGMENT. Your acceptance of this Software License Agreement acknowledges
that you have read this License Agreement and agree to its terms. Furthermore,
you agree this License Agreement is the complete and exclusive statement of the
agreement between us respecting the Software and related documentation, and it
supersedes any proposal or prior agreement - oral or written - and any other
communication between us relating to the subject matter of this License
Agreement. This License Agreement cannot be modified by any purchase order or
other document submitted by you.

YEAR 2000 COMPLIANCE. McDATA represents and warrants that the Software is Year
2000 ready. "Year 2000 ready" means that the Software when used in accordance
with its associated documentation, is capable of correctly processing,
providing, and/or receiving date data within and between the 20th and 21st
centuries, provided all other products (for example, software, hardware, and
firmware) used with the Software properly exchange accurate date data with it.

GENERAL. If any provision of this Agreement is held unenforceable, that
provision shall be enforced to the maximum extent permissible so as to give the
intent of the parties, and the remainder of this Agreement shall continue in
full force and effect. This Agreement is governed by the laws of the State of
Colorado, without reference to its conflict of law principles. You agree to
comply with all U.S. and foreign export control laws and regulations.

THE FOLLOWING TEXT IS APPLICABLE TO GOVERNMENT AGENCIES:

     "RESTRICTED RIGHTS NOTICE. The Software or documentation on which this
     notice is affixed or embedded was developed entirely at private expense by
     the Contractors named below, and is deemed to be "commercial software" and
     "commercial computer software documentation," respectively, pursuant to
     DFAR Section 227.7202 and FAR 12.212(b) as applicable. Any use,
     modification, reproduction, release, display or disclosure of the Software
     and/or documentation by the U. S. Government or any of its agencies shall
     be governed by the terms of this Agreement. It may not be used, duplicated,
     or disclosed by the Government except as expressly permitted by this
     Agreement and is subject to the restrictions set forth in FAR Section
     52.227-19 or 52.227-14 (ALT III) as applicable. Any technical data provided
     that is not covered by the above provisions is deemed to be "technical
     data-commercial items" pursuant to DFAR Sections 227-7015(a). Any use,
     modification, reproduction, release, display or disclosure of such
     technical data shall be governed by the terms of DFAR Section 227.7015(b)
     or as otherwise expressly provided by the Contractors. The Contractors are
     McDATA Corporation, 310 Interlocken Parkway, Broomfield, Colorado
     80021-3464, and McDATA's suppliers."


                                       1
<PAGE>   31


                                    EXHIBIT D
                       MCDATA SHRINKWRAP SOFTWARE LICENSE


                               MCDATA CORPORATION
        CUSTOMER LICENSE AGREEMENT AND CONDITIONS OF SOFTWARE ACCEPTANCE
IMPORTANT: This Agreement contains important information about this software and
its use. Read this Agreement before installing this software.

                           PLEASE READ BEFORE OPENING

IMPORTANT: THE PRODUCTS YOU HAVE PURCHASED CONTAIN SOFTWARE THAT IS PROPRIETARY
TO, TRADE SECRET OF, AND COPYRIGHTED BY MCDATA AND/OR ITS SUPPLIERS. MCDATA
CORPORATION ("MCDATA") LICENSES THE ENCLOSED SOFTWARE TO CUSTOMERS ONLY FOR
THEIR USE ON THE TERMS SET FORTH BELOW. OPENING AND KEEPING THIS PACKAGE
INDICATES YOUR ACCEPTANCE OF THESE TERMS. IF YOU DO NOT AGREE WITH THESE TERMS
AND CONDITIONS, PARTICULARLY THE LIMITATIONS OF LIABILITY AND WARRANTY, DO NOT
USE THIS SOFTWARE AND IMMEDIATELY CONTACT YOUR SALES REPRESENTATIVE TO RETURN
THIS SOFTWARE AND ALL ACCOMPANYING DOCUMENTATION AND CONTAINERS.

1. LICENSE. You have a single-user, non-exclusive right to use the enclosed
Software resident in CD, diskette, tape, ROM, EPROM, or any other electronic
media format, on a single computer and subject to the terms and conditions set
forth in the License Agreement. You may install and use the Software on a single
computer, and make one (1) copy of the Software into any machine-readable format
solely for backup and archival purposes, provided that you include all copyright
notices and any proprietary legends on such copy. You may physically transfer
the Software from one computer to another, provided that the Software is removed
from the computer on which it was installed and is used only on one (1) computer
at a time, subject to the restrictions set forth herein. You may transfer this
License, together with the original and all back-up copies of the Software and
related documentation, only if: (a) you give McDATA written notice of the
transfer; and (b) the transferee agrees to comply with the provisions of this
License; and (c) you destroy all copies of the Software and related
documentation not transferred by you to the transferee.
2. RESTRICTIONS ON USE AND TRANSFER. You agree that you will not sell, copy,
modify, decompile, disassemble, or export the Software from the country where
such Software is furnished to you, or transfer or sublicense the Software, or
any copy, modification, or merged portion of such program in whole or in part,
except as expressly provided for in this License.

3. TITLE. The original and any copies of the Software or accompanying
documentation, in whole or in part, including translations, compilations,
partial copies, modifications, and updates are the sole and exclusive property
of McDATA and/or its suppliers. You have only the limited rights granted by this
License, and you shall not use the Software except as expressly authorized
herein. You are not an owner of any copy of the Software, and therefore 17
U.S.C. section 117 does not apply. You must reproduce and include the
proprietary rights notices on any copy of the Software and accompanying
documentation.

4. TERMINATION. You may terminate your license to the Software at any time by
destroying the Software and accompanying documentation together with all copies,
modifications and merged portions in any form. This LIcense will automatically
terminate if you fail to comply with any term or condition of this Agreement.
You agree upon such termination to destroy the Software and accompanying
documentation, together with all copies, modifications and merged portions in
any form.
5. LIMITED WARRANTY. McDATA warrants that this electronic media will perform
substantially in accordance with published specifications, under normal use, for
a period of 90 days after the date of delivery. If, during this 90-day period,
you discover a defect in the electronic media, you may return the defective
electronic media to McDATA and the electronic media will be replaced without
charge. Your sole remedy in the event of a defect in the electronic media is
limited to, at McDATA's option, the replacement of the defective media as
provided above, or refund of the cost of the electronic media. THIS LIMITED
WARRANTY IS VOID IF FAILURE OF THIS SOFTWARE HAS RESULTED FROM ACCIDENT, ABUSE
OR MISAPPLICATION.
6. WARRANTY DISCLAIMER. EXCEPT AS TO THE MEDIA ON WHICH THE SOFTWARE IS
FURNISHED AS EXPRESSLY PROVIDED ABOVE, THIS SOFTWARE IS PROVIDED "AS IS" WITHOUT
WARRANTY OR CONDITION OF ANY KIND, EITHER EXPRESS OR IMPLIED, AND THE IMPLIED
WARRANTIES AND CONDITIONS OF MERCHANTABILITY AND FITNESS FOR A PARTICULAR
PURPOSE AND NONINFRINGEMENT ARE SPECIFICALLY DISCLAIMED WITH RESPECT TO THE
SOFTWARE.. McDATA DOES NOT WARRANT THAT THE FUNCTIONS CONTAINED IN THE SOFTWARE
WILL MEET YOUR REQUIREMENTS. THE ENTIRE RISK AS TO THE QUALITY AND PERFORMANCE
OF THIS SOFTWARE IS WITH YOU AND SHOULD THE SOFTWARE PROVE DEFECTIVE, YOU (AND
NOT McDATA, RESELLER OR DEALER) ASSUME THE ENTIRE COST OF ALL NECESSARY
SERVICING, REPAIR OR CORRECTION. McDATA MAKES NO WARRANTIES AS TO THE ACCURACY
OR COMPLETENESS OF USER DOCUMENTATION, OR THAT THE SOFTWARE IS ERROR FREE.
7. LIMITATION OF LIABILITY. EXCEPT FOR THE EXPRESS TERMS OF THE LIMITED WARRANTY
PARAGRAPH OF THIS LICENSE, McDATA MAKES NO ADDITIONAL WARRANTIES, EITHER EXPRESS
OR IMPLIED. NEITHER McDATA NOR ANY THIRD PARTY ASSOCIATED WITH THE CREATION,
PRODUCTION, OR DELIVERY OF THIS SOFTWARE OR RELATED DOCUMENTATION SHALL BE
LIABLE FOR ANY INDIRECT, INCIDENTAL, LOST PROFITS, SPECIFIC, OR CONSEQUENTIAL
DAMAGES IN CONNECTION WITH OR ARISING FROM THE FURNISHING, PERFORMANCE, OR USE
OF THE LICENSED SOFTWARE OR RELATED DOCUMENTATION, EVEN IF ADVISED OF THE
POSSIBILITY OF SUCH DAMAGES, OR ANY CLAIM BY ANY OTHER PARTY. IN NO EVENT SHALL
McDATA'S LIABILITY EXCEED THE RELEVANT PURCHASE PRICE PAID BY LICENSEE FOR THE
PRODUCT TO WHICH THIS LICENSE RELATES. THE LIMITED WARRANTY, LIMITED REMEDIES
AND LIMITED LIABILITY ARE FUNDAMENTAL ELEMENTS OF THE BASIS OF THE BARGAIN
BETWEEN McDATA AND YOU. McDATA WOULD NOT BE ABLE TO PROVIDE THE SOFTWARE WITHOUT
SUCH LIMITATIONS. SOME STATES DO NOT ALLOW THE LIMITATION OR EXCLUSION OF
LIABILITY FOR INCIDENTAL OR CONSEQUENTIAL DAMAGES, SO


                                       1
<PAGE>   32


THE ABOVE LIMITATION OR EXCLUSION MAY NOT APPLY TO YOU. McDATA HAS NO LIABILITY
TO YOU UNDER THIS SECTION FOR ANY CLAIM BASED UPON YOUR USE, COMBINATION OR
OPERATION OF THE PRODUCT WITH ANY EQUIPMENT OR SOFTWARE NOT SUPPLIED BY McDATA,
OR BASED UPON ALTERATION OF EQUIPMENT OR MODIFICATION OF SOFTWARE BY YOU OR
ANYONE OTHER THAN A McDATA-AUTHORIZED SERVICE REPRESENTATIVE.

8. ACKNOWLEDGMENT. Your acceptance of this Software License Agreement
acknowledges that you have read this License Agreement and agree to its terms.
Furthermore, you agree this License Agreement is the complete and exclusive
statement of the agreement between us respecting the Software and related
documentation, and it supersedes any proposal or prior agreement - oral or
written - and any other communication between us relating to the subject matter
of this License Agreement. This License Agreement cannot be modified by any
purchase order or other document submitted by you.

9. YEAR 2000 COMPLIANCE. McDATA represents and warrants that the Software is
Year 2000 ready. "Year 2000 ready" means that the Software when used in
accordance with its associated documentation, is capable of correctly
processing, providing, and/or receiving date data within and between the 20th
and 21st centuries, provided all other products (for example, software,
hardware, and firmware) used with the Software properly exchange accurate date
data with it.
10. GENERAL. If any provision of this Agreement is held unenforceable, that
provision shall be enforced to the maximum extent permissible so as to give the
intent of the parties, and the remainder of this Agreement shall continue in
full force and effect. This Agreement is governed by the laws of the State of
Colorado, without reference to its conflict of law principles. You agree to
comply with all U.S. and foreign export control laws and regulations.
11. RESTRICTED RIGHTS NOTICE. The following text is applicable to government
agencies: The Software or documentation on which this notice is affixed or
embedded was developed entirely at private expense by the Contractors named
below, and is deemed to be "commercial software" and "commercial computer
software documentation," respectively, pursuant to DFAR Section 227.7202 and FAR
12.212(b) as applicable. Any use, modification, reproduction, release, display
or disclosure of the Software and/or documentation by the U. S. Government or
any of its agencies shall be governed by the terms of this Agreement. It may not
be used, duplicated, or disclosed by the Government except as expressly
permitted by this Agreement and is subject to the restrictions set forth in FAR
Section 52.227-19 or 52.227-14 (ALT III) as applicable. Any technical data
provided that is not covered by the above provisions is deemed to be "technical
data-commercial items" pursuant to DFAR Sections 227-7015(a). Any use,
modification, reproduction, release, display or disclosure of such technical
data shall be governed by the terms of DFAR Section 227.7015(b) or as otherwise
expressly provided by the Contractors. The Contractors are McDATA Corporation,
310 Interlocken Parkway, Broomfield, Colorado 80021-3464, and McDATA's
suppliers.


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<PAGE>   33


                                    EXHIBIT E

                    MCDATA WARRANTY AND DISCLAIMER STATEMENT

The following statement will be included by McDATA with each Product shipped to
End User Customer:


WARRANTY:

PRODUCT WARRANTY. McDATA warrants that, throughout the specific warranty period
identified in the McDATA Product Exhibit for the Product(s) ordered hereunder,
such Product(s) and Software will, as delivered and under normal use, be in good
working order and will conform to McDATA's published specifications in effect at
the time of shipment. If, during the warranty period, the Product(s) fails to
conform to McDATA's published specifications, McDATA shall, at its sole option
and expense, either repair or replace such non-conforming item in order to
satisfy this warranty.

WARRANTY SERVICES. McDATA offers standard warranty services and enhanced
warranty services as specified in the attached McDATA Product Exhibit(s).

LIMITATIONS. This warranty shall not apply if repair or parts replacement is
required because of accident, neglect, abuse or misuse, failure of electrical
power, air conditioning or humidity control, theft, fire or water damage, or
causes other than ordinary use, or maintenance performed by End User Customer or
persons other than a McDATA-authorized service representative in a manner which
McDATA reasonably determines to have adversely affected performance or
reliability.

McDATA does not warrant that the Products will meet End User Customer's
requirements; that it will operate in the combinations which End User Customer
may select for use; that the operation of the Product(s) will be uninterrupted
or error free; or that all Software programming errors will be corrected.

McDATA shall not be required to adjust or repair any Product if it would be
impractical or hazardous to do so because of unauthorized alterations in the
Product or its connection by mechanical or electrical means to equipment or
devices not identified as compatible in McDATA product specifications.


DISCLAIMER:

THE FOREGOING WARRANTIES ARE EXCLUSIVE AND ARE IN LIEU OF ALL OTHER WARRANTIES,
EXPRESS OR IMPLIED, INCLUDING BUT NOT LIMITED TO THE IMPLIED WARRANTY OF
MERCHANTABILITY OR FITNESS FOR A PARTICULAR PURPOSE. MCDATA'S LIABILITY FOR
BREACH OF ANY WARRANTY SET FORTH HEREIN SHALL IN NO EVENT EXCEED THE PURCHASE
PRICE OF THE AFFECTED ITEM.


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