Document:

AMENDMENT NO. 1 TO CREDIT AGREEMENT

 Exhibit 10.1 
 AMENDMENT NO. 1 TO CREDIT AGREEMENT AND WAIVER 
 This Amendment and Waiver (this “Amendment”) is entered into as of October 30, 2009 by and among ScanSource, Inc., a South Carolina corporation (the “Borrower”), the Subsidiary
Borrowers party hereto (together with the Borrower, the “Borrowers”), JPMorgan Chase Bank, N.A., individually and as administrative agent (the “Administrative Agent”), and the other financial institutions signatory hereto.

 RECITALS 
 A.        The Borrower, the Administrative Agent and the Lenders are party to that certain credit agreement dated as of September 28, 2007 (the “Credit
Agreement”). Unless otherwise specified herein, capitalized terms used in this Amendment shall have the meanings ascribed to them by the Credit Agreement. 
 B.        The Borrower, the Administrative Agent and the undersigned Lenders wish to amend the Credit Agreement and waive certain provisions
thereof on the terms and conditions set forth below. 
 Now, therefore, in consideration of the mutual execution
hereof and other good and valuable consideration, the parties hereto agree as follows: 
 1.        Amendment to Credit Agreement.   Upon the “Effective Date” (as defined below), the Credit Agreement shall be amended as follows: 
 (a)        Section 1.01 is amended by inserting (or, as
applicable, amending and restating) the following definitions in appropriate alphabetical order to read as follows: 
 “Dutch Pledge Agreement” means the Pledge Agreement dated as of the First Amendment Effective Date made by certain of the Credit Parties with respect to Equity Interests of ScanSource Europe CV, as the same may be amended,
restated, modified or supplemented from time to time. 
 “European Restructuring” means the
series of transactions pursuant to which certain Foreign Subsidiaries of the Borrower will be recapitalized and reorganized under the ownership of ScanSource Europe CV, a limited partnership organized under the laws of the Netherlands, all as more
fully described in the first through sixth paragraphs of the Borrower’s letter to the Administrative Agent dated October 22, 2009. 
 “First Amendment Effective Date” shall mean October 30, 2009. 

 “Pledge Agreements” means, collectively, the Pledge
Agreement dated as of September 28, 2007 made by certain Credit Parties in favor of the Collateral Agent for the benefit of the Secured Creditors, the Dutch Pledge Agreement and each other document or instrument pursuant to which Equity
Interests are pledged to the Collateral Agent for the benefit of the Secured Creditors pursuant hereto, in each case as the same may be amended, restated, modified or supplemented from time to time. 
 “SPRL Receivable” has the meaning set forth in Section 6.01(c). 
 “SPRL Receivable Amount” has the meaning set forth in Section 6.01(c). 
 (b)        Section 6.01 is amended by amending and restating
clause (c) thereof to read as follows: 
 (c)        Indebtedness (i) of any Full Credit Party owing to any other Full Credit Party, (ii) of any Full Credit Party owing to any Subsidiary which is not a Full Credit Party, which
Indebtedness is subordinated to the Obligations on terms reasonably satisfactory to the Administrative Agent, (iii) of a Subsidiary which is not a Credit Party to another Subsidiary which is not a Credit Party, (iv) of a foreign Subsidiary
Borrower owing to any Subsidiary which is not a Credit Party, which Indebtedness is subordinated to the Obligations on terms reasonably satisfactory to the Administrative Agent, (v) of ScanSource Europe SPRL and ScanSource Europe Limited owed
to the Borrower contributed by the Borrower to the capital of ScanSource Europe CV as a part of the European Restructuring in an aggregate principal amount of up to $45,000,000 (such actual amount being the “SPRL Receivable Amount” and
such Indebtedness being the “SPRL Receivable”), (vi) of ScanSource Europe BV to ScanSource Europe CV in an aggregate principal amount of up to the SPRL Receivable Amount (such Indebtedness representing consideration for the transfer
to ScanSource Europe CV of the SPRL Receivable) plus $5,000,000 (or such lesser cash amount as is contributed by the Borrower to ScanSource Europe CV after the First Amendment Effective Date), (vii) Indebtedness of any Subsidiary which is not a
Full Credit Party owing to a Credit Party in an aggregate principal amount at any time outstanding not to exceed $35,000,000; and (viii) Indebtedness of Subsidiaries which are not Credit Parties owed to a Subsidiary Borrower which is not a Full
Credit Party in an aggregate principal amount which at no time is in excess of the aggregate principal amount of Indebtedness of such Subsidiary Borrower which is then owing to Full Credit Parties and which is permitted by (and included in the
computation of the amount permitted by) Section 6.01(c)(vii). 
 (c)        Section 6.04 is amended by adding a new clause (j) as follows and renumbering clause 6.04(k) as clause 6.04 (l): 
 (j)        the contribution of the SPRL Receivable and the Equity
Interests of ScanSource Europe Limited by the Borrower to the capital of ScanSource Europe CV, the contribution of the Equity Interests of ScanSource Europe Limited by ScanSource Europe CV to ScanSource Europe BV and an additional

  

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debt or equity investment by the Borrower in ScanSource Europe CV not exceeding $5,000,000 in the aggregate; and 
 (d)        Section VIII is amended by adding the following sentence
to the penultimate paragraph thereof: 
 Without limiting the foregoing, the Collateral Agent is authorized to
enter into the Dutch Pledge Agreement and exercise its rights thereunder. 
 (e)        A new Section 9.18 is added reading as follows: 
 SECTION 9.18        Parallel Debt Provisions 
 (a)        For the purpose of ensuring and preserving the validity and enforceability of any of the security rights created under the Dutch Pledge Agreement, each
of the Full Credit Parties hereby irrevocably and unconditionally undertakes to pay to the Collateral Agent an amount equal to the aggregate amount payable by such Credit Party in respect of its Secured Obligations as they may exist from time to
time (each undertaking, a “Parallel Debt”). Each Parallel Debt will be payable in the currency of the relevant Secured Obligation. Each Parallel Debt of a Credit Party will become due and payable as and when one or more of the Secured
Obligations of such Credit Party become due and payable. 
 (b)        Each of the parties hereto hereby acknowledges that: (i) each Parallel Debt constitutes an undertaking, obligation and liability of the applicable Credit Party to the Collateral Agent
which is separate and independent from, and without prejudice to, the Secured Obligations; and (ii) each Parallel Debt represents the Collateral Agent’s own separate and independent claim to receive payment of that Parallel Debt from the
relevant Credit Party, it being understood, in each case, that the amount which may become payable by a Credit Party as its Parallel Debt shall never exceed the total of the amounts which are payable under the Secured Obligations of such Credit
Party. 
 (c)        For the avoidance of doubt, the
Parties confirm that the claim of the Collateral Agent against a Credit Party in respect of a Parallel Debt and the claims of any one or more of the Secured Creditors against such Credit Party in respect of the Secured Obligations payable by such
Credit Party to such Secured Creditors do not constitute common property (gemeenschap) within the meaning of article 3:166 of the Dutch Civil Code and that the provisions relating to common property shall not apply. If, however, it shall be held
that the claim of the Collateral Agent and the claims of any one or more of the Secured Creditors do constitute common property and the provisions of common property do apply, the Lenders, the Administrative Agent and the Collateral Agent agree that
this Agreement shall constitute the administration agreement (beheersregeling) within the meaning of article 3:168 of the Dutch Civil Code. 
 (d)        To the extent the Collateral Agent irrevocably receives any amount in payment of the Parallel Debt of a Credit Party, the
Collateral Agent

  

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shall distribute that amount among the Secured Creditors that are creditors in respect of the corresponding Secured Obligations of such Credit Party (subject, if applicable, to
Section 9.17). Upon irrevocable receipt by a Secured Creditor of any amount so distributed to it (a “Received Amount”), the Secured Obligations of the applicable Credit Party to such Secured Creditor shall be reduced by an amount
(a “Deductible Amount”) equal to the Received Amount in the manner as if the Deductible Amount were received as a payment of the Secured Obligations on the date of receipt by such Secured Creditor of the Received Amount. 

2.        Consent.   The Administrative Agent, the Collateral
Agent and the Lenders hereby consent to the European Restructuring, including but not limited to (a) the transfer of the Equity Interests of ScanSource Europe Limited to ScanSource Europe CV as a part of the European Restructuring, (b) the
investment by the Borrower of up to $50,000,000 in ScanSource Europe CV and the subsequent investment by ScanSource Europe CV of up to $5,000,000 in ScanSource Europe BV; provided that a portion of the investment by ScanSource in ScanSource Europe
CV will consist of a contribution of the SPRL Receivable to the capital of ScanSource Europe CV; and (c) following the transfer of the Equity Interests of ScanSource Europe Limited to ScanSource Europe CV, the termination of the existence of
ScanSource Europe Limited, whether by dissolution, liquidation, merger, amalgamation or other equivalent transaction. The Administrative Agent, the Collateral Agent and the Lenders hereby further agree that, concurrently with the transfer of the
Equity Interests of ScanSource Europe Limited to ScanSource Europe CV, all Liens of the Collateral Agent upon the Equity Interests of ScanSource Europe Limited shall be automatically released. 
 3.        Waiver.   The Lenders hereby (a) waive any breach
of Section 6.01 (Indebtedness), 6.03 (Asset Dispositions), 6.04 (Investments) or 6.07 (Transactions with Affiliates) of the Credit Agreement arising solely out of the European Restructuring and (b) waive any breach of Section 6.01 or
6.04 of the Credit Agreement arising out of the making of intercompany loans by the Borrower to ScanSource Europe Limited and ScanSource Europe, SPRL prior to the Effective Date at no time exceeding $60,000,000 in outstanding aggregate principal
amount, of which $30,000,000 was outstanding as of September 30, 2009 and intercompany loans by ScanSource Europe, Limited to ScanSource Communications, Limited and ScanSource Europe SPRL prior to the date hereof at no time exceeding
$25,000,000 in outstanding aggregate principal amount and (c) waive any Default or Event of Default which would not have arisen had such intercompany loans been permitted by the terms of the Credit Agreement as it originally came into effect on
September 28, 2007. For the avoidance of doubt, Indebtedness and investments which are consented to or waived in this or the preceding Section which are incurred or made on or after the Effective Date must be permitted by Sections 6.01 and 6.04
of the Credit Agreement as amended hereby and are not to be deemed allowed in addition to the Indebtedness and investments permitted thereby. 
 4.        Joinder.   On the Effective Date the Collateral Agent shall be joined as a party to the Credit Agreement and shall have the rights and
obligations of the Collateral Agent specified therein. 
 5.        Amendment to Security Agreement.   The Collateral Agent and the Credit Parties which are “Grantors” under the Security Agreement hereby agree that all references
in

  

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Section 5.7 of the Security Agreement to “Pledged Collateral” shall hereafter be deemed references to all collateral which is pledged pursuant to the Pledge Agreement. The Lenders
consent to such amendment. 
 6.        Amendment to Pledge
Agreement.   The Collateral Agent and Credit Parties which are “Pledgors” under the Pledge Agreement dated as of September 28, 2007 agree that on the Effective Date the Pledge Agreement is amended as follows: 

(a)        The following sentence is added at the conclusion of Section 26:

 Notwithstanding the foregoing, on the First Amendment Effective Date certain of the Credit Parties and the
Collateral Agent are entering into the Dutch Pledge Agreement to assure perfection of the Lien of such agreement. In the event of any conflict between the provisions of this Agreement and the provisions of the Dutch Pledge Agreement with respect the
subject matter thereof, the terms of the Dutch Pledge Agreement shall govern. 
 7.        Notice.   Pursuant to Section 5.11(b) of the Credit Agreement the Borrower hereby gives notice that upon consummation of the European Restructuring ScanSource Europe CV
will become a Material Foreign Subsidiary. 
 8.        Representations and Warranties of the Borrowers.   Each of the Borrowers represents and warrants that: 
 (a)        The execution, delivery and performance by each Borrower
of this Amendment have been duly authorized by all necessary corporate action and that this Amendment is a legal, valid and binding obligation of each Borrower enforceable against such Borrower in accordance with its terms, except as the enforcement
thereof may be subject to the effect of any applicable bankruptcy, insolvency, reorganization, moratorium or similar law affecting creditors’ rights generally; 
 (b)        Each of the representations and warranties contained in
the Credit Agreement (treating this Amendment and the Dutch Pledge Agreement as Credit Documents for purposes thereof) is true and correct in all material respects on and as of the date hereof as if made on the date hereof except to the extent such
representations and warranties specifically relate to an earlier date, in which case such representations and warranties shall have been true on and as of such earlier date; and 
 (c)        After giving effect to this Amendment, no Default or
Event of Default has occurred and is continuing. 
  

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 9.        Effective Date.
  This Amendment shall become effective upon the execution and delivery hereof by the Borrowers, the Administrative Agent and the Required Lenders (without respect to whether it has been executed and delivered by all the Lenders); provided
that Sections 1, 2, 3, 4, 5 and 6 hereof shall not become effective until the time (the “Effective Date”) when the following additional conditions have also been satisfied: 
 (a)        Each of the Credit Parties has executed and delivered a
reaffirmation of Guaranty and Security Documents in the form of Exhibit A hereto. 
 (b)        The Borrower shall have delivered to the Administrative Agent an executed Termination Letter in the form of Exhibit C to the Credit Agreement with respect to ScanSource Europe Limited.

 (c)        ScanSource Europe Limited shall have
repaid all Loans made to it and any other of its Obligations outstanding under the Credit Documents. 
 (d)        The Borrower shall have delivered to the Administrative Agent (i) a fully executed and effective pledge agreement under Dutch law (the “Dutch Pledge”) in form and substance
satisfactory to the Administrative Agent providing for the pledge of 65% of the Equity Interests of ScanSource Europe, CV and (ii) such related opinions of US and Dutch counsel, certificates and documents as the Administrative Agent may
reasonably request, all (with respect to both (i) and (ii)) in form and substance reasonably satisfactory to the Administrative Agent. 
 (e)        The Borrower shall have delivered to the Administrative Agent an addendum in the form of Exhibit B to the Pledge Agreement
reflecting the pledge by the Borrower of 65% of the Equity Interests of ScanSource Europe CV. 
 (f)        The Borrower shall have paid any and all fees and expenses due and payable by it under the Credit Documents. 
 In the event the Effective Date has not occurred on or before November 30, 2009, Sections 1 and 2 hereof shall not become operative and shall be of no force or effect. 
 10.        Reference to and Effect Upon the Credit Agreement. 
 (a)        Except as specifically amended or waived above, the
Credit Agreement and the other Credit Documents shall remain in full force and effect and are hereby ratified and confirmed. 
 (b)        The execution, delivery and effectiveness of this Amendment shall not operate as a waiver of any right, power or remedy of the Administrative Agent or
any Lender under the Credit Agreement or any Credit Document, nor constitute a waiver of any provision of the Credit Agreement or any Credit Document, except as specifically set forth herein. Upon the effectiveness of this Amendment, each reference
in the Credit Agreement to “this Agreement”, “hereunder”, “hereof”, “herein” or words of similar import shall mean and be a reference to the Credit Agreement as amended hereby. 
  

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 11.        Costs and
Expenses.   The Borrowers hereby affirm their obligation under Section 9.03 of the Credit Agreement to reimburse the Administrative Agent for all reasonable out-of-pocket expenses incurred by the Administrative Agent in connection
with the preparation, negotiation, execution and delivery of this Amendment, including but not limited to the reasonable fees, charges and disbursements of attorneys for the Administrative Agent with respect thereto. 
 12.        Governing Law.   This Agreement shall be construed in
accordance with and governed by the law of the State of New York. 
 13.        Headings.   Section headings in this Amendment are included herein for convenience of reference only and shall not constitute a part of this Amendment for any other
purposes. 
 14.        Counterparts.   This Amendment
may be executed in any number of counterparts, each of which when so executed shall be deemed an original but all such counterparts shall constitute one and the same instrument. 
 [Signature pages follow] 
  

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 IN WITNESS WHEREOF, the parties have executed this Amendment as of the date
and year first above written. 
  

			
	 SCANSOURCE, INC.

		
	 By:
	 	 /s/ Richard P. Cleys

	 Its:
	 	 V.P. & Chief Financial Officer

  

			
	 NETPOINT INTERNATIONAL, INC.

		
	 By:
	 	 /s/ Richard P. Cleys

	 Its:
	 	 Director

  

			
	 SCANSOURCE EUROPE, SPRL

		
	 By:
	 	 /s/ Richard P. Cleys

	 Its:
	 	 Director

			
	 JPMORGAN CHASE BANK, N.A.,
individually and as Administrative Agent,
Swingline Lender and Issuing Bank

		
	 By:
	 	 /s/ Patrick S. Thornton

	 Its:
	 	 Senior Vice President

			
	 HSBC BANK USA, NATIONAL ASSOCIATION

		
	 By:
	 	 /s/ Jaron R. Campbell

	 Name: Jaron R. Campbell

	 Title: Vice President

			
	 REGIONS BANK

		
	 By:
	 	 /s/ Kenneth M. Zeimetz

	 Name: Kenneth M. Zeimetz

	 Title: Senior Vice President

			
	 ROYAL BANK OF CANADA

		
	 By:
	 	 /s/ Dustin Craven

	 Name: Dustin Craven

	 Title: Attorney-in-Fact

			
	 WACHOVIA BANK, NATIONAL ASSOCIATION

		
	 By:
	 	 /s/ Lee R. Gray

	 Name: Lee R. Gray

	 Title: Senior Vice President

			
	 WELLS FARGO BANK, NATIONAL
ASSOCIATION

		
	 By:
	 	 /s/ Kathleen R. Reedy

	 Name: Kathleen R. Reedy

	 Title: Managing Director

 EXHIBIT A 
 REAFFIRMATION OF GUARANTY AND SECURITY DOCUMENTS 
 Each of the undersigned acknowledges receipt of a copy of Amendment No. 1 (the “Amendment”) dated as of October 30, 2009 between ScanSource, Inc., a Delaware corporation (the
“Borrower”) the Subsidiary Borrowers party thereto (together with the Borrower, the “Borrowers”), JPMorgan Chase Bank, N. A., individually and as administrative agent (the “Administrative Agent”), and the other
financial institutions signatory thereto, of the Credit Agreement dated as of September 28, 2007 (the “Credit Agreement”) between the Borrowers, the Administrative Agent and the financial institutions party thereto, consents to such
Amendment and each of the transactions referenced therein, and hereby reaffirms its obligations under each of the Parent Guaranty, the Subsidiary Guaranty, and each of the applicable Security Documents (each as defined in the Credit Agreement). Each
of the undersigned which is a party to the Security Agreement agrees to be bound by Section 5 of the Amendment. Each of the undersigned which is a party to the Pledge Agreement dated as of September 22, 2007 agrees to be bound by
Section 6 of the Amendment. 
 Dated as of October 30, 2009 
  

			
	 SCANSOURCE, INC.

		
	 By:
	 	 /s/ Richard P. Cleys

		 	 Richard P. Cleys
 Chief Financial Officer

	
	 PARTNER SERVICES, INC.
 SCANSOURCE SECURITY DISTRIBUTION, INC.
 NETPOINT INTERNATIONAL, INC.

 OUTSOURCING UNLIMITED, INC.
 SCANSOURCE COMMUNICATIONS, INC.

		
	 By:
	 	 /s/ Linda B. Davis

		 	 Linda B. Davis
 Treasurer

			
	 8650 COMMERCE DRIVE, LLC
 SCANSOURCE PROPERTIES, LLC
 LOGUE COURT PROPERTIES, LLC

		
	 By:
	 	 ScanSource, Inc.

		 	 its sole member

		
	 By:
	 	 /s/ Richard P. Cleys

		 	 Richard P. Cleys
 Chief Financial Officer

	
	 4100 QUEST, LLC

		
	 By:
	 	 Partner Services, Inc.

		 	 its sole member

		
	 By:
	 	 /s/ Linda B. Davis

		 	 Linda B. Davis
 Treasurer

	
	 SCANSOURCE EUROPE LIMITED

		
	 By:
	 	 /s/ Richard P. Cleys

	 Its: Director

 ____________________ 
 Reaffirmation to GuarantyNONQUALIFED DEFERRED COMPENSATION PLAN

 Exhibit 10.2 
 SCANSOURCE, INC. 
 NONQUALIFIED DEFERRED COMPENSATION
PLAN 
 As Amended and Restated Effective January 1, 2005 

 SECTION 1 
 Purpose and Administration 
 1.1. Name of Plan.
ScanSource, Inc. (the “Company”) hereby adopts the ScanSource, Inc. Deferred Compensation Plan (the “Plan”), as set forth herein. 
 1.2. Effective Date of Amended and Restated Plan. The Plan was originally established effective July 1, 2004. This document sets forth the terms of the Plan as amended and restated effective January 1, 2005, to
comply with the requirements of Code Section 409A. 
 1.3. Purpose. The Company has established the Plan primarily for the
purpose of providing deferred compensation to a select group of management or highly compensated employees of the Participating Employers. The Plan is intended to be a top-hat plan as described in Sections 201(2), 301(a)(3) and 401(a)(1) of ERISA
and is intended to comply with Code Section 409A. The Company intends that the Plan (and each Trust under the Plan as described in Section 13.2) shall be treated as unfunded for tax purposes and for purposes of Title I of ERISA and the
Code. The Plan is not intended to qualify under Code Section 401(a). 
 A Participating Employer’s obligations hereunder, if any, to a
Participant (or to a Participant’s beneficiary) shall be unsecured and shall be a mere promise by the Participating Employer to make payments hereunder in the future. A Participant (and, if applicable, the Participant’s beneficiary) shall
be treated as a general unsecured creditor of any Participating Employer. 
 1.4. Administration. The Plan shall be administered
by the committee appointed by the Company’s Board of Directors. 
  

	(a)	Authority. The Plan Administrative Committee shall have full authority and power to administer and construe the Plan, subject to applicable requirements
of law. Without limiting the generality of the foregoing, the Plan Administrative Committee shall have the following powers and duties: 

  

	 	(i)	To make and enforce such rules and regulations as it deems necessary or proper for the administration of the Plan; 

  

	 	(ii)	To interpret the Plan and to decide all questions concerning the Plan; 

  

	 	(iii)	To designate persons eligible to participate in the Plan, subject to the approval of the Board; 

  

	 	(iv)	To determine the amount and the recipient of any payments to be made under the Plan; 

  

	 	(v)	To designate and value any investments deemed held in the Accounts; 

  

 1 
 ScanSource, Inc. 
 Deferred Compensation Plan 
 Amended and Restated effective 1/1/2005 

	 	(vi)	To appoint such agents, counsel, accountants, consultants and other persons as may be required to assist in administering the Plan; and 

  

	 	(vii)	To make all other determinations and to take all other steps necessary or advisable for the administration of the Plan. 

 Subject to paragraph (b) below, all decisions made by the Plan Administrative Committee pursuant to the provisions of the Plan shall be
made in its sole discretion and shall be final, conclusive, and binding upon all parties. 
  

	(b)	Authority of Board of Directors. Notwithstanding anything in this Plan to the contrary, the Board shall have the power 

  

	 	(i)	to review and approve the persons who will be eligible to participate in the Plan; and 

  

	 	(ii)	to make determinations with respect to the participation and benefits of to any member of the Plan Administrative Committee who is a participant in the Plan.

  

	(c)	Delegation of Duties. The Plan Administrative Committee may delegate such of its duties and may engage such experts and other persons as it deems
appropriate in connection with administering the Plan. The Plan Administrative Committee shall be entitled to rely conclusively upon, and shall be fully protected in any action taken by the Plan Administrative Committee, in good faith in reliance
upon any opinions or reports furnished to it by any such experts or other persons. 

  

	(d)	Expenses. All expenses incurred prior to the termination of the Plan that shall arise in connection with the administration of the Plan, including,
without limitation, administrative expenses and compensation and other expenses and charges of any actuary, counsel, accountant, specialist, or other person who shall be employed by the Plan Administrative Committee in connection with the
administration of the Plan shall be paid by the Participating Employers. 

  

	(e)	Indemnification of Plan Administrative Committee. The Participating Employers agree to indemnify and to defend to the fullest extent permitted by law any
person serving as a member of the Plan Administrative Committee, and each employee of a Participating Employer or any of their affiliated companies appointed by the Plan Administrative Committee to carry out duties under this Plan, against all
liabilities, damages, costs and expenses (including attorneys’ fees and amounts paid in settlement of any claims approved by the Company) occasioned by any act or omission to act in connection with the Plan, if such act or omission is in good
faith. 

  

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 ScanSource, Inc. 
 Deferred Compensation Plan 
 Amended and Restated effective 1/1/2005 

	(f)	Liability. To the extent permitted by law, neither the Plan Administrative Committee nor any other person shall incur any liability for any acts or for
any failure to act except for liability arising out of such person’s own willful misconduct or willful breach of the Plan. 

  

 3 
 ScanSource, Inc. 
 Deferred Compensation Plan 
 Amended and Restated effective 1/1/2005 

 SECTION 2 
 Definitions 
 For purposes of the Plan, the following words and
phrases shall have the meanings set forth below, unless their context clearly requires a different meaning: 
 2.1. Account.
“Deferred Compensation Account” means the bookkeeping account maintained for the Participant in accordance with Section 7.1 and which includes the following subaccounts: 
  

	(a)	“In-Service Distribution Sub-Account(s)” means the Account(s) established under a Participant’s Account in connection with the Participant’s
election of one or more scheduled In-Service Distribution Dates pursuant to Section 6.1. 

  

	(b)	“Separation from Service Distribution Sub-Account” means the Account established under a Participant’s Account in connection with the
Participant’s Separation from Service distribution pursuant to Section 6.2. 

 2.2. Affiliate.
“Affiliate” means any corporation which is a member of a controlled group of corporations (as defined in Code Section 414(b)) which includes the Company and any trade or business (whether or not incorporated) which is under common
control (as defined in Code Section 414(c)) with the Company. 
 2.3. Board. “Board” means the Board of Directors
of ScanSource, Inc. 
 2.4. Change in Control. “Change in Control” means (a) a change in the ownership of the
Company as determined in accordance with Treasury Regulation section 1.409A-3(i)(5)(v), (b) a change in effective control of the Company as determined in accordance with Treasury Regulation section 1.409A-3(i)(5)(vi), or (c) a change in
the ownership of a substantial portion of the assets of the Company as determined in accordance with Treasury Regulation section 1.409A-3(i)(5)(vii). 
 2.5. Code. “Code” means the Internal Revenue Code of 1986, as amended from time to time. Any reference to a section of the Code includes any comparable section or sections of any future legislation that amends,
supplements or supersedes that section. 
 2.6. Company. “Company” means ScanSource, Inc. or any successor company that
adopts this Plan. 
 2.7. Compensation. “Compensation” means such forms of compensation payable in cash as may be
designated by the Plan Administrative Committee, from time to time, in its sole discretion, as eligible for deferral under this Plan. Compensation may include, but shall be not limited to, base salary, and any bonus compensation, payable to the
Participant. 
  

 4 
 ScanSource, Inc. 
 Deferred Compensation Plan 
 Amended and Restated effective 1/1/2005 

 2.8. Compensation Deferrals. “Compensation Deferrals” means the amount of
Compensation that a Participant elects to defer pursuant to Section 4. 
 2.9. Deferral Election. “Deferral
Election” means an election made by a Participant pursuant to Section 4 to defer Compensation. 
 2.10. Discretionary Matching
Contribution. “Discretionary Matching Contribution” means the contribution deemed credited to a Participant’s Account pursuant to Section 5. 
 2.11. Eligible Employee. “Eligible Employee” means an employee of a Participating Employer who has been designated pursuant to Section 3 as eligible to make contributions to
the Plan. 
 2.12. ERISA. “ERISA” means the Employee Retirement Income Security Act of 1974, as amended from time to
time. Any reference to a section of ERISA includes any comparable section or sections of any future legislation that amends, supplements or supersedes that section. 
 2.13. In-Service Distribution Date. “In-Service Distribution Date” means the date selected by the Participant for commencement of a scheduled in-service distribution pursuant to
Section 6.1. 
 2.14. Participant. “Participant” means an Employee who meets the eligibility criteria set forth in
Section 3 and who has made a Deferral Election in accordance with the terms of the Plan. 
 2.15. Participating Employer.
“Participating Employer” means ScanSource, Inc., and any of its participating Affiliates, or any successor companies. 
 2.16.
Plan Administrative Committee. “Plan Administrative Committee” means the committee appointed by the Company’s Board of Directors to administer the Plan. 
 2.17. Plan Year. “Plan Year” means (a) with respect to the year in which the Plan first became effective, July 1, 2004 through December 31, 2004 and
(b) beginning January 1, 2005, the calendar year. 
 2.18. Retirement Date. “Retirement Date” means

  

	(a)	Prior to January 1, 2009, the date on which a Participant separates from service after reaching age 65; and 

  

	(b)	On and after January 1, 2009, the date on which a Participant separates from service after reaching 55 and completing at least 10 years of service as an
employee of a Participating Employer. 

 2.19. ScanSource Controlled Group. “ScanSource Controlled Group”
means the Company and its Affiliates. 
  

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 ScanSource, Inc. 
 Deferred Compensation Plan 
 Amended and Restated effective 1/1/2005 

 2.20. Separation from Service or Separate from Service. A Participant will be considered to
Separate from Service if he or she dies, retires, or otherwise has a termination of employment with the ScanSource Controlled Group, subject to the following: 
  

	(a)	For this purpose, the employment relationship is treated as continuing intact while the individual is on military leave, sick leave, or other bona fide leave of
absence (such as temporary employment by the government) if the period of such leave does not exceed six (6) months, or if longer, so long as the individual’s right to reemployment with the ScanSource Controlled Group is provided either by
statute or by contract. If the period of leave exceeds six (6) months and the individual’s right to reemployment is not provided either by statute or by contract, the employment relationship is deemed to terminate on the first date
immediately following such six-month period. 

  

	(b)	The determination of whether a Participant has separated from service shall be determined based on the facts and circumstances in accordance with the rules set
forth in Code Section 409A and the regulations thereunder. 

 2.21. Totally Disabled or Total Disability.

  

	(a)	Prior to January 1, 2005, a Participant shall be considered to be “Totally Disabled” or to have a “Total Disability” if he or she
becomes entitled to receive disability benefits under a Participating Employer’s long-term disability insurance plan. 

  

	(b)	On and after January 1, 2005, a Participant shall be considered to be “Total Disabled” if he or she meets one of the following requirements:

  

	 	(i)	The Participant is unable to engage in any substantial gainful activity by reason of any medically determinable physical or mental impairment that can be expected to
result in death or can be expected to last for a continuous period of not less than twelve (12) months. 

  

	 	(ii)	The Participant is, by reason of any medically determinable physical or mental impairment that can be expected to result in death or can be expected to last for a
continuous period of not less than twelve (12) months, receiving income replacement benefits for a period of not less than three (3) months under an accident and health plan covering employees of a Participating Employer.

  

	 	(iii)	The Participant is determined to be totally disabled by the Social Security Administration. 

 2.22. Valuation Date. “Valuation Date” means each business day the financial markets and Wachovia are open, unless the underlying investment requires a less frequent valuation.

  

 6 
 ScanSource, Inc. 
 Deferred Compensation Plan 
 Amended and Restated effective 1/1/2005 

 2.23. Other Definitions. In addition to the terms defined in this Section 2, other terms
are defined when first used in Sections of this Plan. 
  

 7 
 ScanSource, Inc. 
 Deferred Compensation Plan 
 Amended and Restated effective 1/1/2005 

 SECTION 3 
 Eligibility and Participation 
 3.1. Eligible
Employees. Only employees who are designated by the Plan Administrative Committee and approved by the Board shall be eligible to participate in the Plan. See Appendix B. 
 3.2. Participation. 
  

	(a)	An Eligible Employee shall become a Participant in the Plan by (i) completing and submitting to the Company a Deferral Election in accordance with
Section 4 below, and (ii) complying with such terms and conditions as the Board and/or the Plan Administrative Committee may from time to time establish for the implementation of the Plan, including, but not limited to, any condition the
Board and/or the Plan Administrative Committee may deem necessary or appropriate for the Participating Employers to meet their obligations under the Plan. 

  

	(b)	An employee shall only be a Participant eligible to have compensation deferred under this Plan only while he or she is employed by a Participating Employer and
is designated as an Eligible Employee. If an employee subsequently ceases to be a designated Eligible Employee after becoming a Participant, he or she shall remain a Participant for the other purposes of the Plan to the extent of any existing
Account balance subject to Section 14.1. 

  

 8 
 ScanSource, Inc. 
 Deferred Compensation Plan 
 Amended and Restated effective 1/1/2005 

 SECTION 4 
 Compensation Deferrals 
 4.1. Election to Defer
Compensation. An Eligible Employee may elect to defer receipt of Compensation as follows: 
  

	(a)	General Rule. Except as otherwise provided in this Section, an election to defer receipt of Compensation for services to be performed during a calendar
year must be made no later than the December 31 preceding the calendar year during which the Participant will perform services. 

  

	(b)	Performance-Based Compensation. In the case of Compensation that qualifies as “performance-based compensation” for purposes of Code
Section 409A, an election to defer receipt of such compensation must be made no later than the date that is six (6) months before the end of the performance period for such performance-based compensation. 

  

	(c)	First Year of Eligibility. In the case of the first year in which an employee becomes eligible to participate in the Plan, an initial deferral election
must be made not later than thirty (30) days after the date the employee becomes eligible to participate in the Plan. Such election shall apply only with respect to compensation paid for services to be performed subsequent to the election.

 This paragraph will not apply to an Eligible Employee who is a participant in any other account balance
deferred compensation plans maintained by any member of the ScanSource Controlled Group which is required to be aggregated with this Plan under Code Section 409A. 
 4.2. Amount of Compensation Deferral. A Participant may elect to defer receipt of a percentage of his or her Compensation payable for a Plan Year subject to the following rules: 

 

	(a)	The maximum percentage Compensation that can be deferred for a Plan Year will be determined by the Plan Administrative Committee at least thirty (30) days
prior to the beginning of the Plan Year. 

  

	(b)	The amount of the deferral elected for the Plan Year cannot reduce the Participant’s cash compensation below the amount the Participating Employer
determines necessary to satisfy applicable federal, state and local income and employment withholding taxes and any obligations to make benefit plan contributions. 

  

 9 
 ScanSource, Inc. 
 Deferred Compensation Plan 
 Amended and Restated effective 1/1/2005 

 4.3. Election of In-Service Distribution Date. A Participant may elect to have the total
amount of Compensation Deferrals and Discretionary Matching Contributions credited to his or her Account for a particular Plan Year, and any earnings thereon, distributed at a designated date prior to his or her Separation from Service in accordance
with Section 6. 
 4.4. Election of Form of Payment of Retirement Distribution. A Participant may elect whether payment of
his or her Account will be made in a lump sum or installments following his or her Retirement Date in accordance with Section 6. Such election shall be made at the time the Participant first elects to participate in this Plan. 
 4.5. Election of Distribution Upon Change In Control. A Participant may elect to have his or her Account distributed immediately following a
Change in Control. Such election shall be made at the time the Participant first elects to participate in this Plan. Any such election shall be irrevocable. 
 4.6. General Rules Applicable to Elections. Elections under this Article 4 shall be made in the form, manner, and in accordance with the notice requirements, prescribed by the Plan
Administrative Committee. Except as otherwise provided in this Plan, the elections made by a Participant with respect to Compensation Deferrals for a calendar year shall become irrevocable as of the last date on which such election can be made for
the calendar year pursuant to this Article 4. 
 4.7. Cancellation of Deferral Election. 
  

	(a)	The Plan Administrative Committee may permit a Participant to cancel a Deferral Election during a calendar year if it determines either of the following
circumstances has occurred: 

  

	 	(i)	The Participant has an “unforeseeable emergency” as defined in Section 7.03 below or a hardship distribution (pursuant to Treasury Regulation
§1.401(k)-1(d)(3)) from a 401(k) plan sponsored by a Participating Employer. If approved by the Plan Administrative Committee, such cancellation shall take effect as of the first payroll period next following approval by the Plan Administrative
Committee. 

  

	 	(ii)	The Participant incurs a disability. If approved by the Plan Administrative Committee, such cancellation such cancellation shall take effect no later than the end of
the calendar year or the 15th day of the third month following the date Participant incurs a disability. Solely for purposes of this clause (ii), a disability refers to any medically determinable physical or mental impairment resulting in the
Participant’s inability to perform the duties of his or her position or any substantially similar position, where such impairment can be expected to result in death or can be expected to last for a continuous period of not less than six months.

  

 10 
 ScanSource, Inc. 
 Deferred Compensation Plan 
 Amended and Restated effective 1/1/2005 

	(b)	If a Participant cancels a Deferral Election during a calendar year, he or she will not be permitted to make a new deferral election with respect to Compensation
relating to services performed during the same calendar year. 

 4.8. Crediting of Compensation Deferrals.

  

	(a)	The amount of Compensation deferred by a Participant shall be credited to the Participant’s Account as of the Valuation Date coincident with or immediately
following the date such Compensation would, but for the Participant’s Deferral Election, be payable to the Participant. 

  

	(b)	The Compensation Deferrals, and the earnings thereon, credited to the Participant’s Compensation Deferral Account shall be immediately 100% vested and
nonforfeitable at all times. 

  

 11 
 ScanSource, Inc. 
 Deferred Compensation Plan 
 Amended and Restated effective 1/1/2005 

 SECTION 5 
 Discretionary Matching Contributions 
 5.1. Discretionary
Matching Contribution. 
  

	(a)	For any Plan Year, a Participating Employer may credit to the Deferred Compensation Account of any Participant employed by that Participating Employer with a
Discretionary Matching Contribution in such amount as may be determined by the Participating Employer in its sole discretion at least thirty (30) days prior to the beginning of the Plan Year. 

  

	(b)	The amount of the Discretionary Matching Contribution to be credited to a Participant’s Account for a Plan Year shall be equal to such dollar amount, such
percentage of a Participant’s Compensation Deferrals, or any combination thereof, as may be determined by the Participating Employer in its sole discretion. 

  

	(c)	Any Discretionary Matching Contribution will be credited to a Participant’s Account as of the Valuation Date specified by the Participating Employer.

 5.2. Vesting of Discretionary Matching Contribution. 
  

	(a)	Except as otherwise provide in paragraph (b) below and subject to Section 10, the Discretionary Matching Contribution credited to a Participant’s
Account with respect to a particular Plan Year shall become vested in accordance with the following schedule: 

  

				
	 Years of Service Completed Following Plan
 Year for which Contribution is Credited
	  	Vested Percentage	 
	 Less than 3 Years of Service
	  	0	% 
	 3 Years of Service
	  	50	% 
	 4 Years of Service
	  	75	% 
	 5 or more Years of Service
	  	100	% 

 A Participant will be credited with a Year of Service if 
  

	 	(i)	he or she is actively employed by a Participating Employer for a continuous period of at least 6 full months during a Plan Year, or 

  

	 	(ii)	he or she fails to meet the active employment requirement in clause (i) above solely as a result of an approved leave of absence. 

  

	(b)	Notwithstanding the foregoing vesting schedule – 

  

 12 
 ScanSource, Inc. 
 Deferred Compensation Plan 
 Amended and Restated effective 1/1/2005 

	 	(i)	Solely for purposes of determining the vesting of Discretionary Matching Contributions credited to a Participant’s Account with respect to the Plan Year ended
December 31, 2005, the number of Years of Service completed by such Participant will be determined during the period beginning as of July 1, 2005. 

  

	 	(ii)	The balance credited to a Participant’s Participating Employer Contribution Account shall be become fully vested if the Participant remains continuously employed
by a Participating Employer or an Affiliate until his or her death, Total Disability, Retirement Date or the occurrence of a Change in Control. 

  

 13 
 ScanSource, Inc. 
 Deferred Compensation Plan 
 Amended and Restated effective 1/1/2005 

 SECTION 6 
 Distribution Elections 
 Subject to the other terms contained
in this Plan, a Participant may make the following distribution elections: 
 6.1. Election of Designated In-Service Distribution
Date(s). The Participant may elect to have the total amount of Compensation Deferrals and vested Discretionary Matching Contributions credited to his or her Account for a particular Plan Year, and any earnings thereon, distributed in a lump
sum at a specified date prior to his or her Separation from Service subject to the following rules: 
  

	(a)	The specified in-service distribution date cannot be earlier than the end of the five (5) Plan Year period following the Plan Year for which such
Compensation Deferrals and Discretionary Matching Contributions are credited to his or her Account. 

  

	(b)	If a Participant fails to make an in-service distribution election with respect to Compensation Deferrals and Discretionary Matching Contributions for a calendar
year, then such Compensation Deferrals or Discretionary Matching Contributions will be allocated to the Participant’s Separation from Service Distribution Sub-Account. 

  

	(c)	Such election shall be made at the same time the Participant makes the Deferral Election in accordance with Section 4 for that Plan Year. Any such election
shall be irrevocable. 

  

	(d)	A separate In-Service Distribution Sub-Account will be established and maintained as part of the Participant’s Account for each In-Service Distribution Date
elected by the Participant. Such Account shall be credited or charged with (i) the amounts of Compensation Deferrals and Discretionary Matching Contributions designated by the Participant to be distributed as of the In-Service Distribution
Date, (ii) a portion of the income, gains, losses, and expenses of investments deemed held in the Participant’s Account as allocated based on the Compensation Deferrals and Discretionary Matching Contributions credited to such Sub-Account
and (iii) distributions from such Sub-Account. 

 6.2. Election of Form of Payment Upon Separation from
Service. 
  

	(a)	Unless a Participant elects otherwise, the vested balance credited to his or her Separation from Service Distribution Sub-Account will be distributed in a single
lump sum payment. 

  

	(b)	A Participant may elect to have the vested balance credited to his or her Separation from Service Distribution Sub-Account distributed in substantially equal
monthly installment payments for a period of 36, 48 or 60 months. Notwithstanding the foregoing, the installment payment option will become effective only if the Participant Separates from Service after his or her Retirement Date.

  

 14 
 ScanSource, Inc. 
 Deferred Compensation Plan 
 Amended and Restated effective 1/1/2005 

	(c)	Except as otherwise provided in Appendix A to this Plan, a Participant may change his or her retirement distribution election only in accordance with the
following rules: 

  

	 	(i)	Such election may not take effect until at least twelve (12) months after the date on which the election is made. 

  

	 	(ii)	The new distribution date cannot be less than five (5) years from the date such payment otherwise would have been paid but for the new election.

  

	 	(iii)	Such election must be at least twelve (12) months prior to the date the first payment is scheduled to be paid. 

  

	(d)	A separate Separation from Service Distribution Sub-Account will be established and maintained as part of the Participant’s Account. Such Account shall be
credited or charged with (i) the amount of Compensation Deferrals and Discretionary Matching Contributions to be distributed following the Participant’s Separation from Service, (ii) a portion of the income, gains, losses, and
expenses of investments deemed held in the Participant’s Account as allocated based on the Compensation Deferrals and Discretionary Matching Contributions credited to such Sub-Account and (iii) distributions from such Sub-Account.

 6.3. Election of Distribution Upon Change in Control. A Participant may elect to have his or her Account
distributed immediately following a Change in Control. Such election shall be made at the time the Participant first elects to participate in this Plan. Any such election shall be irrevocable. 
 6.4. General Rules. Elections under this Section 6 shall be made in the form, manner, and in accordance with the notice requirements
prescribed by the Plan Administrative Committee. Except as otherwise provided in this Plan, if a Participant fails to make a distribution election under this Section 6, the balance credited to his or her Account will be distributed in a single
lump sum payment following his or her Separation from Service date. 
  

 15 
 ScanSource, Inc. 
 Deferred Compensation Plan 
 Amended and Restated effective 1/1/2005 

 SECTION 7 
 Deferred Compensation Accounts 
 7.1. Participant’s
Accounts. The Company shall establish and maintain a separate memorandum account in the name of each Participant. Such account shall be credited or charged with (a) the Participant’s Compensation Deferrals, if any;
(b) Discretionary Matching Contributions, if any; (c) income, gains, losses, and expenses of investments deemed held in such account; and (d) distributions from such account. 
 7.2. Investment of Accounts. 
  

	(a)	The amount credited to a Participant’s Account shall be deemed to be invested and reinvested in mutual funds, stocks, bonds, securities, and any other
assets or investment vehicles, as may be selected by the Plan Administrative Committee in its sole discretion; provided that in no event shall such Accounts be deemed to be invested in securities issued by the Company. 

  

	(b)	A Participant may elect the manner in which his or her Account is deemed to be invested and reinvested among the deemed investment options selected by the Plan
Administrative Committee. A Participant’s investment election shall remain in effect until the Participant properly files a change of election with the Plan Administrative Committee. In the event that any Participant fails to make an election
with respect to the investment of all or a portion of the balance in his or her account at any time, the Participant shall be deemed to have elected that such balance be deemed to be invested in a money market (or equivalent) fund and such assets
shall remain in such investment fund until such time as the Participant directs otherwise. 

  

	(c)	A Participant’s investment direction (or any change in his or her investment direction) shall be made in the form, manner, and in accordance with the notice
requirements, prescribed by the Plan Administrative Committee. 

  

	(d)	A Participant, by electing to participate in this Plan, agrees on behalf of himself or herself and his or her designated beneficiaries, to assume all risk in
connection with any increase or decrease in value of the investments which are deemed to be held in his or her account. Each Participant further agrees that the Plan Administrative Committee and the Participating Employer shall not in any way be
held liable for any investment decisions or for the failure to make any investments by the Plan Administrative Committee. 

  

 16 
 ScanSource, Inc. 
 Deferred Compensation Plan 
 Amended and Restated effective 1/1/2005 

 SECTION 8 
 Distribution Prior to Separation from Service 
 8.1.
Distribution of In-Service Distribution Sub-Account(s). 
  

	(a)	Commencement of Payment. Subject to paragraph (c), payment of a Participant’s In-Service Distribution Sub-Account will be paid in a lump sum
distribution within the calendar month following the calendar month of the In-Service Distribution Date applicable to such Sub-Account. 

  

	(b)	Amount of Payment. The amount of the lump sum payment will be equal to the value of the In-Service Distribution Account as of the last valuation date
preceding the date of payment. 

  

	(c)	Separation from Service Prior to In-Service Distribution Date. If the Participant Separates from Service prior to the commencement of distribution of an
In-Service Distribution Sub-Account, then such In-Service Distribution Sub-Account shall be distributed at the same time and in the same manner as the Participant’s Separation from Service Distribution Sub-Account. 

 8.2. Financial Hardship. The Plan Administrative Committee, in its sole discretion, may permit a hardship payment to be made to a Participant
at any time prior to Separation from Service in the event of an “unforeseeable emergency”. Withdrawals of amounts because of an unforeseeable emergency will be permitted to the extent reasonably needed to satisfy the emergency need.

  

	(a)	For purposes of this Section, an “unforeseeable emergency” is a severe financial hardship to the Participant resulting from a sudden and unexpected
illness or accident of the Participant or of a dependent (as defined in Section 152(a) of the Code) of the Participant, loss of the Participant’s property due to casualty, or other similar extraordinary and unforeseeable circumstances
arising as a result of events beyond the control of the Participant. 

  

	(b)	The circumstances that will constitute an unforeseeable emergency will depend upon the facts of each case, but, in any case, payment may not be made to the
extent that such hardship is or may be relieved: 

  

	 	(i)	Through reimbursement or compensation by insurance or otherwise; 

  

	 	(ii)	By liquidation of the Participant’s assets, to the extent the liquidation of such assets would not itself cause severe financial hardship; or

  

	 	(iii)	By cessation of Compensation Deferrals under the Plan. 

  

 17 
 ScanSource, Inc. 
 Deferred Compensation Plan 
 Amended and Restated effective 1/1/2005 

 8.3. Distribution Upon Change in Control. If a Participant has elected to receive distribution
of his or her Account upon the occurrence of a Change in Control, the balance credited to the Participant’s Account, shall be distributed to the Participant in a single lump sum payment within 30 days after the Change in Control. 
  

 18 
 ScanSource, Inc. 
 Deferred Compensation Plan 
 Amended and Restated effective 1/1/2005 

 SECTION 9 
 Distribution Following Separation from Service 
 9.1.
Distribution from Separation from Service Distribution Sub-Account. 
  

	(a)	Commencement of Payment. Payment of a Participant’s Separation from Service Distribution Sub-Account will commence as of the first calendar month
following the calendar month of the Participant’s Separation from Service date. 

 Notwithstanding the
foregoing, in no event shall payment to a Participant who is a “specified employee” within the meaning of Code Section 409A on his or her Separation from Service date, commence earlier than the first day following the end of the six
(6) month period following such date. 
  

	(b)	Form of Payment. 

  

	 	(i)	Separation from Service Prior to Retirement Date. In the event that a Participant Separates from Service for any reason other than death or Total Disability prior to
reaching his or her Retirement Date, then notwithstanding any election made under Section 7.02 above, the amount credited to the Participant’s Separation from Service Distribution Sub-Account will be distributed to the Participant in a
single lump sum payment. 

  

	 	(ii)	Separation from Service at or after Retirement Date. If a Participant Separates from Service at or after reaching his or her Retirement Date, his or her Separation from
Service Distribution Sub-Account will be distributed to the Participant in accordance with his or her election of a lump sum payment or installment payments under Section 7.02 above. 

  

	(c)	Amount of Payment. 

  

	 	(i)	Lump Sum Amount. The amount of the lump sum payment will be equal to the value of the Separation from Service Distribution Account as of the last valuation date
preceding the date of payment. 

  

	 	(ii)	Installment Payments. Each annual installment payment shall be in the amount equal to (A) the value of the Separation from Service Distribution Sub-Account,
as of the last valuation date preceding the date of payment, divided by (B) the number of installment payments not yet distributed. 

 Notwithstanding the foregoing, if the balance credited to the Participant’s Account as of his or her Separation from Service date does not exceed the applicable dollar limit on elective 401(k) plan
deferrals then in effect under Code Section 402(g)(1)(B), then distribution will be made in a single lump sum payment within the calendar month following the calendar month of the Participant’s Separation from Service date. 
  

 19 
 ScanSource, Inc. 
 Deferred Compensation Plan 
 Amended and Restated effective 1/1/2005 

 9.2. Separation from Service Due to Total Disability. In the event that a Participant
separates from service at any time by reason of becoming Totally Disabled, the balance credited to his or her Account will be distributed to the Participant in a single lump payment within the calendar month following the calendar month of the
Participant’s Separation from Service date. 
 9.3. Death. 
  

	(a)	In the event that a Participant’s employment is terminated by reason of his or her death, the balance credited to his or her Account will be distributed to
the Participant’s designated beneficiary in a single lump payment within the calendar month following the calendar month of the Participant’s death. 

  

	(b)	In the event a Participant dies after the commencement of installment payments, but prior to the completion of all such payments due and owing hereunder, the
remaining balance credited to his or her Account will be distributed to the Participant’s designated beneficiary in a single lump payment within the calendar month following the calendar month in which the Plan Administrative Committee receives
satisfactory proof of the Participant’s death. 

 9.4. Designated Beneficiary. 
  

	(a)	The Participant may name a beneficiary or beneficiaries to receive the balance of the Participant’s Deferred Compensation Account in the event of the
Participant’s death prior to the payment of the Participant’s entire Deferred Compensation Account. To be effective, any beneficiary designation must be filed in writing with the Plan Administrative Committee in accordance with rules and
procedures adopted by the Plan Administrative Committee for that purpose. 

  

	(b)	A Participant may revoke an existing beneficiary designation by filing another written beneficiary designation with the Plan Administrative Committee. The latest
beneficiary designation received by the Plan Administrative Committee shall be controlling; provided, however, that no designation, or change or revocation thereof, shall be effective unless received by the Plan Administrative Committee prior to the
Participant’s death. 

  

	(c)	If no beneficiary is named by a Participant, or if the Participant survives all of the Participant’s named beneficiaries and does not designate another
beneficiary, the Participant’s Deferred Compensation Account shall be paid in the following order of precedence: 

  

	 	(i)	The Participant’s spouse; 

  

 20 
 ScanSource, Inc. 
 Deferred Compensation Plan 
 Amended and Restated effective 1/1/2005 

	 	(ii)	The Participant’s children (including adopted children) per stirpes; or 

  

	 	(iii)	The Participant’s estate. 

  

 21 
 ScanSource, Inc. 
 Deferred Compensation Plan 
 Amended and Restated effective 1/1/2005 

 SECTION 10 
 Forfeiture of Benefits 
 10.1. Notwithstanding anything
in this Plan to the contrary, if the Plan Administrative Committee, in its sole discretion, determines that 
  

	(a)	the Participant’s employment with the Participating Employer has been terminated for Good Cause or, 

  

	(b)	if at any time during which a Participant is entitled to receive payments under the Plan, the Participant has breached any of his or her post-employment
obligations, including, but not limited to, any restrictive covenants or obligations under any agreement and general release, 

 then the Plan Administrative Committee may cause the Participant’s entire interest in benefits attributable to his or her Employer Contribution Account to be forfeited and discontinued, or may cause the Participant’s payments of
benefits under the Plan to be limited or suspended for such other period the Plan Administrative Committee finds advisable under the circumstances, and may take any other action and seek any other relief the Plan Administrative Committee, in its
sole discretion, deems appropriate. 
 10.2. “Good Cause” means the Participant’s fraud, dishonesty, or willful violation
of any law or significant policy of the Participating Employer that is committed in connection with the Participant’s employment by or association with the Company or Affiliate. Whether a Participant has been terminated for Good Cause shall be
determined by the Plan Administrative Committee. 
 Regardless of whether a Participant’s employment initially was considered to be
terminated for any reason other than Good Cause, the Participant’s employment will be considered to have been terminated for Good Cause for purposes of this Plan if the Plan Administrative Committee subsequently determines that the Participant
engaged in an act constituting Good Cause. 
 10.3. The decision of the Plan Administrative Committee shall be final. The omission or
failure of the Plan Administrative Committee to exercise this right at any time shall not be deemed a waiver of its right to exercise such right in the future. The exercise of discretion will not create a precedent in any future cases. 

 

 22 
 ScanSource, Inc. 
 Deferred Compensation Plan 
 Amended and Restated effective 1/1/2005 

 SECTION 11 
 Appeals Procedure 
 11.1. The Plan Administrative
Committee shall approve or wholly or partially deny all claims for benefits under the Plan within a reasonable period of time after all required documentation has been furnished to the Plan Administrative Committee. 
 11.2. If a claim is wholly or partially denied, the Plan Administrative Committee shall provide the claimant with written notice setting forth the
specific reasons for the denial, making reference to the pertinent provisions of the Plan or the Plan documents on which the denial is based; describe any additional material or information that should be received before the claim may be acted upon
favorably, and explain why such material or information, if any, is needed; and inform the person making the claim of his or her right pursuant to this Section to request review of the decision by the Plan Administrative Committee. 
 11.3. A claimant shall have the right to request a review of the decision denying the claim. Such request must be made by filing a written
application for review with the Plan Administrative Committee no later than sixty (60) days after receipt by the claimant of written notice of the denial of his or her claim. The claimant may review pertinent Plan documents and shall submit
such written comments and other information which he or she wishes the Plan Administrative Committee to consider in connection with his or her claim. 
 11.4. The Plan Administrative Committee may hold any hearing or conduct any independent investigation which it deems necessary to render its decision on review. Such decision shall be made as soon as practicable after the Plan
Administrative Committee receives the request for review. Written notice of the decision on review shall be promptly furnished to the claimant and shall include specific reasons for the decision. 
 11.5. For all purposes under the Plan, decisions on claims (where no review is requested) and decisions on review (where review is requested) shall
be final, binding and conclusive on all interested persons. 
  

 23 
 ScanSource, Inc. 
 Deferred Compensation Plan 
 Amended and Restated effective 1/1/2005 

 SECTION 12 
 Amendment or Termination of the Plan 
 12.1. The Plan
Administrative Committee may, in its sole discretion, terminate, suspend or amend this Plan at any time or from time to time, in whole or in part, with respect to any Participants or beneficiaries whether or not payments have commenced to such
Participants or beneficiaries. Notwithstanding the foregoing, no amendment, termination, or suspension of the Plan will affect a Participant’s right to receive amounts previously deferred under the Plan. 
 12.2. In the event the Plan is terminated and liquidated in accordance with the requirements described in Treasury Regulation section
1.409A-3(j)(4)(ix), the Plan Administrative Committee shall distribute the remaining amounts in Participants’ Accounts at such times and in such ways as the Plan Administrative Committee, in its sole discretion, may deem appropriate.

  

 24 
 ScanSource, Inc. 
 Deferred Compensation Plan 
 Amended and Restated effective 1/1/2005 

 SECTION 13 
 Unfunded Plan; Change in Control 
 13.1. Unfunded
Plan. Nothing in this Plan shall be construed as giving any Participant, or his or her legal representative or designated beneficiary, any claim against any specific assets of the Company or any of its affiliated companies or as imposing any
trustee relationship upon the Company or any of its affiliated companies in respect of the Participant. The Participating Employers shall not be required to segregate any assets in order to provide for the satisfaction of the obligations hereunder.
Investments deemed held in the Accounts shall continue to be a part of the general funds of the applicable Participating Employers, and no individual or entity other than the Participating Employer shall have any interest whatsoever in such funds.
If and to the extent that the Participant or his or her legal representative or designated beneficiary acquires a right to receive any payment pursuant to this Plan, such right shall be no greater than the right of an unsecured general creditor of
the applicable Participating Employer. 
 13.2. Rabbi Trust. The Participating Employers shall establish a trust (or trusts) for
the purpose of providing funds for the payment of the amounts credited to Participants under the Plan subject to the following rules: 
  

	(a)	Such trust(s) shall be an irrevocable grantor trust containing provisions which are the same as, or are similar to, the provisions contained in the model
“rabbi trust” set forth in Internal Revenue Service Revenue Procedure 92-64 (or any successor guidance issued by the IRS). 

  

	(b)	The Participating Employers shall make contributions to the trust(s) equal to the amount of the Compensation Deferrals and Discretionary Matching Contributions
as soon as practicable, but in no event later five (5) business days, following the date on which such contributions are credited to Participants’ Accounts. 

  

	(c)	The Participating Employers shall pay all costs relating to the establishment and maintenance of the trust(s) and the investment of funds held in such trust(s).

 13.3. Change in Control. In the event of a Change in Control, the Participating Employers shall, as soon as
possible, but in no event later than five (5) business days following a Change in Control, make an irrevocable contribution to the trust(s) established pursuant to Section 13.2 in an amount that is sufficient to pay the total amount
credited to all Accounts under the Plan as of the date of the Change in Control. 
  

 25 
 ScanSource, Inc. 
 Deferred Compensation Plan 
 Amended and Restated effective 1/1/2005 

 SECTION 14 
 Miscellaneous Provisions 
 14.1. Acceleration or Delay of
Payments Permitted Under Code Section 409a. 
  

	(a)	Acceleration of Payments. The Plan Administrative Committee may, its discretion, accelerate the payment of all or a portion of a Participant’s vested
Account prior to the time specified in this Plan to the extent such acceleration is permitted by Treasury Regulation Section 1.409A-3(j)(4). Such permitted accelerations shall include payments to comply with domestic relations orders, payments
to comply with conflicts of interest laws, payment of employment taxes, payment upon income inclusion under Code Section 409A, and/or such other circumstances as are permitted by the regulations. 

  

	(b)	Delay of Payments. The Plan Administrative Committee may, in its discretion, delay the payment of all or a portion of a Participant’s Account in such
circumstances as may be permitted under Code Section 409A. 

 14.2. Benefits Non-Assignable. Benefits under the Plan
may not be anticipated, assigned or alienated, and will not be subject to claims of a Participant’s creditors by any process whatsoever, except as specifically provided in this Plan or by the Plan Administrative Committee in its sole
discretion. 
 14.3. Right to Withhold Taxes. The Participating Employers shall have the right to withhold such amounts from any
payment under this Plan as it determines necessary to fulfill any federal, state, or local wage or compensation withholding requirements. 
 14.4. No Right to Continued Employment. Neither the Plan, nor any action taken under the Plan, shall confer upon any Participant any right to continuance of employment by the Company or any of its affiliated companies nor
shall it interfere in any way with the right of the Company or any of its affiliated companies to terminate any Participant’s employment at any time. 
 14.5. Mental or Physical Incompetency. If the Plan Administrative Committee determines that any person entitled to payments under the Plan is incompetent by reason of physical or mental
disability, as established by a court of competent jurisdiction, the Plan Administrative Committee may cause all payments thereafter becoming due to such person to be made to any other person for his or her benefit, without responsibility to follow
the application of amounts so paid. Payments made pursuant to this Section shall completely discharge the Plan Administrative Committee and the Participating Employer. 
 14.6. Unclaimed Benefit. Each Participant shall keep the Plan Administrative Committee informed in writing of his or her current address and the current address of his or her beneficiary.
The Plan Administrative Committee shall not be obligated to search for the whereabouts of any person. If the location of a Participant is not made known to the Plan Administrative Committee within three (3) years after the date on which payment
of the Participant’s Account may first be

  

 26 
 ScanSource, Inc. 
 Deferred Compensation Plan 
 Amended and Restated effective 1/1/2005 

 
made, payment may be made as though the Participant had died at the end of the three (3) year period. If, within one additional year after such three (3) year period has elapsed, or,
within three years after the actual death of a Participant, the Plan Administrative Committee is unable to locate any designated beneficiary of the Participant, then the Participating Employer shall have no further obligation to pay any benefit
hereunder to such Participant or beneficiary or any other person and such benefit shall be irrevocably forfeited. 
 14.7. Suspension of
Payments. If any controversy, doubt or disagreement should arise as to the person to whom any distribution or payment should be made, the Plan Administrative Committee, in its discretion, may, without any liability whatsoever, retain the
funds involved or the sum in question pending settlement or resolution to the Plan Administrative Committee’s satisfaction of the matter, or pending a final adjudication by a court of competent jurisdiction. 
 14.8. Governing Laws. The provisions of the Plan shall be construed, administered and enforced according to applicable Federal law and the
laws of State of South Carolina. 
 14.9. Severability. The provisions of the Plan are severable. If any provision of the Plan is
deemed legally or factually invalid or unenforceable to any extent or in any application, then the remainder of the provision and the Plan, except to such extent or in such application, shall not be affected, and each and every provision of the Plan
shall be valid and enforceable to the fullest extent and in the broadest application permitted by law. 
 14.10. No Other Agreements or
Understandings. This Plan represents the sole agreement between the Participating Employers and Participants concerning its subject matter, and it supersedes all prior agreements, arrangements, understandings, warranties, representations,
and statements between or among the parties concerning its subject matter. 
  

 27 
 ScanSource, Inc. 
 Deferred Compensation Plan 
 Amended and Restated effective 1/1/2005 

 IN WITNESS WHEREOF, the Company has caused this Plan to be executed by it’s duly authorized officer on
this 15th day of December, 2008. 
  

			
	SCANSOURCE, INC.
	(the “Company”)
		
	By:	 	Richard P. Cleys
	Title:	 	V.P. & Chief Financial Officer

  

			
	ATTEST:
		
	By:	 	/s/ Amy Pharr
	Title:	 	Sr. Manager, HR

  

 28 
 ScanSource, Inc. 
 Deferred Compensation Plan 
 Amended and Restated effective 1/1/2005 

 APPENDIX A 
 Code Section 409A Transition Rules 
  

	1.	Notwithstanding anything in the Plan to the contrary, a Participant who has made a deferral election with respect to Compensation earned or payable on or after
January 1, 2005, may reduce or revoke any current deferral election prior to December 31, 2005 or such earlier date as may be specified by the Plan Administrative Committee. 

  

	2.	Notwithstanding anything in the Plan to the contrary, a Participant may choose a new distribution date for the payment of his or her In-Service Distribution
Sub-Account(s) and/or may make a new election with respect to the form of payment of the Account portion of his or her Separation from Service Sub-Account in accordance with the following rules: 

  

	 	(a)	An election to change a time and form of payment of payment made on or after January 1, 2005 and on or before December 31, 2005 may apply only to
amounts that would not otherwise be payable in 2005 and may not cause an amount to be paid in 2005 that would not otherwise be payable in 2005; 

  

	 	(b)	An election to change a time and form of payment of payment made on or after January 1, 2006 and on or before December 31, 2006 may apply only to
amounts that would not otherwise be payable in 2006 and may not cause an amount to be paid in 2006 that would not otherwise be payable in 2006; 

  

	 	(c)	An election to change a time and form of payment of payment made on or after January 1, 2007 and on or before December 31, 2007 may apply only to
amounts that would not otherwise be payable in 2007 and may not cause an amount to be paid in 2007 that would not otherwise be payable in 2007; and 

  

	 	(d)	An election to change a time and form of payment of payment made on or after January 1, 2008 and on or before December 31, 2008 may apply only to
amounts that would not otherwise be payable in 2008 and may not cause an amount to be paid in 2008 that would not otherwise be payable in 2008. 

  

	3.	Any election pursuant to this Appendix shall be made in such form and manner as may be required by the Plan Administrative Committee. 

  

 29 
 ScanSource, Inc. 
 Deferred Compensation Plan 
 Amended and Restated effective 1/1/2005

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