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No doubt a 1.2GB pst can be excellent, but at least my users have 20GB of email x year. The best option is to use email archive with EAS or similar archive application, but most companies do not have budget for that so the best practice here is to have small mailbox in exchange (exchange has been designed for mail flow not for mail archive) and have emails split by years in pst files. I have users with 2GB exchange mailboxes and SEVERAL 10GB pst files. Works like a charm, pretty fast and great performance and Index never fail.