oe, con Date: May 16, 2017 "assy, Andrew" "Boll (AWS), Charlie" ollow-up on our talk In reflecting on our conversation yesterday, | think it would be helpful for me to provide more context around the reasons from my decision that may make it easier to understand. As we discussed yesterday there are four factors that drove my decision. oO 4, The opportunity to be @ CEO - this is a long-time career aspiration and something that | believe | would be good at, | also believe there is a difference between being a CEO of @ company anc leading a large business team within a company, This is something thal is important to me and opportunities do not come along often 2. Taking a company public — this is another experience that | would like to have before my career is over and one that for me has not come along in the first 29 years of my career. Maybe that will be different in the next 10 years, but there is no way to know if that will be the case, 3.__Arole where | can have a meaningful impact on the business and the company — | believe | can and do make a difference at AWS, but the role at the start-up can have a bigger impact overall. You are right in your assessment that AWS Apps has the potential to be a bigger business than the start-up. The flipside is that as member of a 5 person executive team in a sfnaller company I'can have a much bigger influence on the overall company and culture. | have ‘worked at big companies my entire career and the challenge of proving to myself that | can be successful in a smaller company with fewer support systems in intriguing 4, ROI Retum on my investment of time. Yesterday we talked about this in the context of compensation, but I don't really look at it that way. For me when | take a job I'm all in and the most finite resource | have is my time. | think that how you invest your time and the return on that investment is an important factor in any life or career decision. In assessing this decision, | looked at my current trajectory at Amazon, which included my latest grant, against a range O hips sina. gooole-comimaivu0 2s 28lksa6O0H427baBview=pt.qrfabelS3Asmarshoo!:20nay%201S8qtrveseac sryamagetSe086s00071.. 1/2Co WY O sen017 Focal PLLC Mal - Fw: Folowspon our tak of Amazon stock prige growth assumptions vs. the range of likely outcomes if | Join the start up. Without getting into all the details the expected ROI over the next 4 years from joining the start-up is 3x to Gx the total comp | expect at Amazon. There is always some risk that they won't go public but based on the current trajectory oftheir business and my discussions with their board | believe there isa better than 75% chance that itwill happen. | share this only for context and | do not want Amazon to make a dive and save offer. My take is that we just went through the annual review/comp cycle and in that process you, Charlie, the Steam, and maybe even Jeff looked at my compensation relative to the value | am creating for Amazon, the importance of the business | lead, and my long term potential in the context of Amazon's compensation model. From that assessment a decision was made on my total comp over the next several years and | don’t believe how you value my contributions should change materially just because another company velues my skill set differently ‘The final thing | considered is something Jeff talks about, which is the regret minimization framework. | applied this framework when | decided to leave Coke for ‘Amazon and | have no regrets. As | considered this decision, | weighed the probability that an opportunity like this would come along again and thought about how | would feel at the end of my career if| did not take this chance and another ‘opportunity like it never materialized. Hope this helps and look forward to finishing ‘our discussion. Gene Gene Farrell VP, Amazon Enterprise Applications