Global Technology| July 22, 2015 UUSS SSooffttwwaarree Industry View: In-Line Citrix (CTXS.O, EW): Citrix's primary exposure to cloud service providers comes via its Netscaler business which we estimate was 18-20% of total revenue in 2014. Approximately one-third of Netscaler sales is to a handful of large cloud providers who have infrequent but large order patterns. The lack of large orders in recent quarters has negatively impacted Netscaler performance in recent quarters and, given the expectation for lower cloud capex growth, the benefit Citrix realizes when these orders return may be less than expected. Therefore, we see some risk to our NetScaler estimates, but minimal risk to our EPS estimates as the company is in cost- cutting mode as it implements the restructuring plan announced in December 2014. Furthermore, the potential for value creation from activist shareholder involvement, which involves further actions to reduce costs, may be more likely to determine Citrix's share price performance in the near term. 17