THE CORPORATE LIBRARY

Related Party Transactions and Outside Related Director Information

Bell Microproducts, Inc. (BELM)

4/21/2006 Proxy Information

During the most recent fiscal year, Bell Microproducts has had no transactions in which any director or executive officer, or any other member of their immediate family of any director or executive officer, had a material direct or indirect interest reportable under applicable Securities and Exchange commission rules, and there are no such transactions proposed.

4/18/2005 Proxy Information

Mark L. Sanders, a director of the Company, is the former Chairman of the Board of Pinnacle Systems, Inc. ("Pinnacle"), a customer of Bell Microproducts. Sales to Pinnacle for the year ended December 31, 2004 were $175,518, with an accounts receivable balance at December 31, 2004 of $12,000. We believe that the terms of the transactions with Pinnacle were no more favorable than sales to unaffiliated parties.

4/29/2004 Proxy Information

Mark L. Sanders, a director of the Company, is Chairman of the Board of Pinnacle Systems, Inc. ("Pinnacle"), a customer of Bell Microproducts. Sales to Pinnacle for the year ended December 31, 2003 were $647,000, with an accounts receivable balance at December 31, 2003 of $11,000. We believe that the terms of the transactions with Pinnacle were no more favorable than sales to unaffiliated parties.

David M. Ernsberger, a director of the Company, provided consulting services to the Company through Ernsberger Partnerships, Inc. during 2003, for which he was paid approximately $55,000 in consulting fees. The Company has entered into an agreement with Ernsberger Partnerships, Inc. for consulting services to be provided in 2004 for an annual fee of $55,000.

4/23/2003 Proxy Information

Gordon A. Campbell, a director of the Company, was a director of Pinnacle Systems, Inc. ("Pinnacle") until his resignation in September 2002. Sales to Pinnacle for the year ended December 31, 2002 were $1,049,000, with an accounts receivable balance at December 31, 2002 of $32,000. The Company believes that the terms of the transactions with Pinnacle were no more favorable than sales to unaffiliated parties.

David M. Ernsberger, a director of the Company, provided consulting services to the Company through Ernsberger Partnerships, Inc. during 2002, for which he was paid approximately $60,000 in consulting fees. The Company has entered into an agreement with Ernsberger Partnerships, Inc. for consulting services to be provided in 2003 for an annual fee of $55,000.