NEW HIREBENEFITS SUMMARY 2018

1 GATES CORPORATION | 2018 NEW HIRE BENEFITS SUMMARY

Welcome to Gates Corporation! At Gates, we are committed to the good health and well-being of our employees. “We Take Care” to encourage and enable our people, who are our most important assets, to achieve all of our short- and long-term goals for growth, both individually and as an organization. We believe the most effective way we can take care is through individual empowerment – the power for each of us to live our healthiest lives. This guide is provided as a broad overview of your benefit options. Important information and plan guides can be accessed at http://www.gateshealth.com from a work or home computer.

Gates provides several benefits to you automatically at no cost. Other optional benefits can be elected by you and purchased through regular payroll deductions. As a newly-hired employee, if you wish to enroll in the optional benefits you must do so within 30 days of your hire date.

1Proof of dependent eligibility may be requested and/or required.2If you experience a qualifying life event, you will need to supply a completed Benefit Status Change Application (located on www.gateshealth.com/documents) and proof of the life event (i.e. – birth certificate, marriage license, etc.) to benefitssupport@gates.com.

The following individuals are eligible to participate in the Gates Benefit program:

> Any employee of Gates on U.S. payroll regularly scheduled to work at least 30 hours per week

> An eligible dependent1 of a Gates employee on U.S. payroll, defined as:

• A legal spouse, who does not have, or who is not eligible to elect coverage for himself or herself in a medical plan, of his or her employer, at a cost equal to or less than $160 per month for employee-only coverage (includes your common-law spouse if common-law marriage is recognized in your state of legal residency)

• A dependent child up to his or her 26th birthday

• A dependent child after his or her 26th birthday if they have a qualifying disability

Benefit elections can only be changed during your initial enrollment period, during annual open enrollment, or in the event of a qualifying life event2, such as:

> Marriage, divorce, or legal separation

> Birth or adoption of a child

> Death of a spouse or child

> Change in residence or work location that affects benefits eligibility for you or your covered dependent(s)

> Your child(ren) meets (or fails to meet) the plan’s eligibility rules (for example, student status changes)

> You or one of your covered dependents gain or lose other benefits coverage due to a change in employment status (for example, beginning or ending a job)

If you have any questions about the Gates Benefits Program, please contact your local Human Resources representative or the Global Benefits Department by email at benefitssupport@gates.com.

We’re glad you’ve joined Gates, and hope this is the start of a long and rewarding career experience for you!

Sincerely, Your Global Benefits Team

2018 NEW HIRE BENEFITS

2018 NEW HIRE BENEFITS SUMMARY 2

INITIAL BENEFITS ELIGIBILITYGates Benefit options and applicable effective dates are as follows:

BENEFIT INITIAL ELIGIBILITY REQUIREMENT

ENROLLMENT REQUIRED WITHIN 30 DAYS OF START DATE

Medical: 2 plans offered – CDHP 1 and CDHP 2

1st day of the month immediately following date of hire

Dental: 2 plans offered – Dental Plan 1 and Dental Plan 2

Vision

HSA (with CDHP)

FSA (General and Limited Purpose)

Supplemental Life Insurance (Employee and Spouse)

Supplemental AD&D Insurance (Employee and Spouse)

Dependent Life Insurance

Dependent AD&D Insurance

Long-Term Disability Buy-Up

Hyatt Legal Plan

Wellness Program

Denver Gym Access Immediately upon hire after all required documentation is completed and returned to HRDenver Pre-Tax Parking FSA

GATES PROVIDED, NO ENROLLMENT REQUIRED

Basic Life Insurance

1st day of the month immediately following date of hire

Basic AD&D Insurance

Short-Term Disability

Basic Long-Term Disability

Personal Resilience

Vacation Salary allotment and hourly accrual begins on employee’s 1st day of service and may be taken as it is earned

ADDITIONAL BENEFITS

401(k) Retirement

1st day of service401(k) 3% Auto-Enrollment

Gates Matchmaker Plan

Gates SERPEqual to 6% of your eligible compensation in excess of the current year’s excess contribution limit. Ability to defer additional tax-deferred compensation beyond the qualified Gates Matchmaker 401(k) Plan

For highly compensated employees

Tuition ReimbursementEducational benefit aid of $5,250 can be applied annually for qualified expenses

After 6 months of continuous service

Student Loan Refinancing 1st day of service

Perks@Work Various eligibility requirements

3 GATES CORPORATION | 2018 NEW HIRE BENEFITS SUMMARY

OTHER LEAVES OF ABSENCESOur company also emphasizes the importance that employees need support in balancing work and family life. Various leave of absence policies are offered to support these needs, including; FMLA, Military Leave, Educational Leave, Personal Leave and Jury Duty.

LEAVES OF ABSENCETIME OFF

For detailed Holiday policy, please visit the gateway.

HOLIDAYS 11 paid holidays per year (9 scheduled and 2 floating)

NAME OF HOLIDAY DATE OF HOLIDAY DATE OBSERVED

New Year’s Day 1/1/2018 1/1/2018

Memorial Day 5/28/2018 5/28/2018

Independence Day 7/4/2018 7/4/2018Labor Day 9/3/2018 9/3/2018Thanksgiving Day 11/22/2018 11/22/2018Day After Thanksgiving 11/23/2018 11/23/2018

Christmas Eve 12/24/2018 12/24/2018Christmas Day 12/25/2018 12/25/2018New Year’s Eve 12/31/2018 12/31/2018

HOURLY VACATION

CONTINUOUS SERVICE PERIOD (IN WEEKS) MONTHLY ACCRUAL

1 – 4 years 2 6.67

5 – 14 years 3 10

15 + 4 13.33

SALARY VACATION

CONTINUOUS SERVICE PERIOD (IN WEEKS) ALLOTTED DAYS

‹ 10 years 3 1510 – 15 years 4 20› 15 years 5 25

SICK PAY

8 days per year 5.33 accrued monthly

64 hours maximum

SHORT-TERM DISABILITY

Company paid benefit beginning on the 8th day of an absence and provides 66 2/ % base salary for non-occupational illness or injury for a maximum of 25 weeks, with a maximum benefit of $2,600 per week.

LONG-TERM DISABILITY

BASIC COVERAGE

Company paid benefit beginning on day 181 of a disability absence and provides the following monthly pre-disability earnings and maximum benefits per month up to normal retirement age.

3

BEREAVEMENT

FOR IMMEDIATE FAMILY MEMBERS, DEFINED AS THE EMPLOYEE’S

Spouse

Domestic/civil-union/same-sex committed partner

Children (step)

Parents (step/in-law)

Brother/Sister (step)

5 consecutive workdays, over a 7 day period

FOR EXTENDED FAMILY MEMBERS, DEFINED AS THE EMPLOYEE’S

Daughter/Son (in-law)

Brother/Sister (in-law)

Grandparent/Great-Grandparent (in-law)

Grandchild/Great-Grandchild (in-law)

Dependent who lives in the household of the employee including step-relatives and half-relatives

3 consecutive workdays, over a 7 day period

2018 NEW HIRE BENEFITS SUMMARY 4

DENTAL PLANSDental health is an important part of your overall health. Gates offers a base dental plan administered by MetLife and a second Buy-Up plan with a higher annual maximum, so you can get the dental care you and your family need.

With the Dental 1 and Dental 2 Plans, you have the flexibility to choose any dentist for your care. However, if you go to a dentist who is part of the Preferred Dentist Provider (PDP) network, you’ll pay less because PDP dentists have agreed to charge lower, negotiated rates.

DENTAL PLAN (METLIFE) BI-WEEKLY PREMIUMS

DENTAL PLAN 1

Employee Only $ 7.16Employee + Spouse $13.80Employee + Child(ren) $15.80Family $22.46

DENTAL PLAN 2

Employee Only $ 8.47Employee + Spouse $16.43

Employee + Child(ren) $18.81

Family $26.78

VISION PLANRegular eye exams are an important part of your overall health. Gates provides optional comprehensive vision coverage through Vision Service Plan (VSP).

The Vision plan provides a benefit for exams and materials on a yearly basis. You have the freedom to see any vision provider you choose, but the plan generally pays better benefits when you receive care from VSP network providers. If you decide to go to an out-of-network provider, you’ll be reimbursed for exams and eyewear according to the out-of-network schedule of benefits below.

VISION PLAN (VSP) BI-WEEKLY PREMIUMS

Employee Only $ 3.87Employee + Spouse $ 5.81Employee + Child(ren) $ 6.12Family $ 9.68

Benefit Maximum $250,000Deductible $0Benefit Period 26 weeksMaximum Trip Length 180 daysToll-Free/Free Phone (within the U.S.)

877-244-6871

Email travelassist@aigbenefits.com

SUPPLEMENTAL OUT-OF-COUNTRY ACCIDENT AND SICKNESS MEDICAL COVERAGEAs part of your company’s business travel accident program, you also have supplemental out-of-country accident and sickness medical coverage. If you suffer a covered injury or contract an emergency sickness that requires you to be treated by a physician while traveling outside of your country of permanent residence during any trip as defined by the policy, the company will pay the usual and customary charges incurred for covered medical services received due to that injury or emergency sickness up to the covered amount. This supplemental benefit is payable for such charges after the deductible has been met.

MEDICAL/PRESCRIPTION DRUG BENEFITSGates offers two CDHP, or Consumer-Drive Health Plan, options: CDHP 1 and CDHP 2 administered by UnitedHealthcare. If you enroll in a Gates medical plan, you will automatically receive your prescription drug benefits through CVS/caremark. You will receive a CVS/caremark ID card in the mail. Following are the 2018 Premium rates for coverage:

MEDICAL PLAN BI-WEEKLY PREMIUMS

CDHP 1

ANNUAL BASE SALARYUnder 50K

50- 100K

100-150K

150K+

Employee Only $ 47.21 $ 49.52 $ 56.50 $ 65.94Employee + Spouse $ 110.27 $115.68 $132.00 $154.05Employee + Child(ren) $ 99.51 $104.39 $119.12 $139.02

Family $158.14 $165.89 $189.30 $220.92

CDHP 2

ANNUAL BASE SALARYUnder 50K

50- 100K

100-150K

150K+

Employee Only $ 28.95 $ 30.37 $ 34.66 $ 40.45Employee + Spouse $ 72.86 $ 76.43 $ 87.21 $101.78Employee + Child(ren) $ 65.75 $ 68.97 $ 78.70 $ 91.85Family $104.48 $109.61 $125.08 $145.97

5 GATES CORPORATION | 2018 NEW HIRE BENEFITS SUMMARY

HEALTH SAVINGS ACCOUNT (HSA)A Health Savings Account – known as an HSA – works in conjunction with the CDHP. It’s a tax-advantaged savings account you can use to help cover the costs of your healthcare. Contributions you make to the HSA up to the IRS approved annual limit, are tax-free – contributions are made on a pre-tax basis, and the money is not taxed when used for eligible expenses. The HSA is administered by Optum Health/UHC.

All the money in your account (plus interest or earnings, if any) is yours to spend on qualified healthcare expenses. The IRS issues annual contribution limits on how much you can put into your HSA.

HSA LIMIT CHANGEThe IRS has increased the HSA contribution limits in 2018. Starting in January 2018, contribution limits are as follows:

> Up to $3,450 for individual coverage

> Up to $6,850 for family coverage

FLEXIBLE SPENDING ACCOUNTS (FSAs)A Flexible Spending Account (FSA) helps you save money by offering a way to set aside tax-free dollars to pay for eligible healthcare and dependent day care expenses. When you participate in an FSA, you decide how much you want to contribute each plan year. The FSA plan year is January 1 through December 31. The money you contribute is taken from your pay before taxes are deducted – this lowers your taxable income, which means you pay less taxes and keep more money in your paycheck.

Gates offers the following FSA options through Optum Health/UHC:

> Limited Purpose FSA – Those who enroll in a Gates CDHPmedical plan option, and contribute to the Health SavingsAccount (HSA), can open a Limited Purpose FSA to pay foreligible dental care and vision expenses only (cannot be usedto pay for medical and/or prescription drug expenses).

> Healthcare FSA – If you do not elect medical plancoverage through Gates, or you enroll in a Gates CDHPmedical plan option, but do not open an HSA, you canopen a Healthcare FSA to pay for eligible medical and/orprescription drug expenses.

> Dependent (Day) Care FSA – If you do not elect medical plancoverage through Gates, or you enroll in a Gates CDHP medicalplan option, you can open a Dependent (Day) Care FSA to payfor eligible dependent care expenses.

As a highly compensated employee, under IRS rules, you may be required to reduce your annual election. You will be notified if this applies to you.

WELLNESS PROGRAMGym Reimbursement up to $300/year for employee enrolled in medical plan and $300 for spouse on medical plan; telephonic wellness coaching; Healthy Pregnancy Program with $450 cash incentive for completion; annual biometric screenings; flu shots; and quarterly wellness challenges.

For additional information on Gates’ wellness program, visit www.gateshealth.com/wellness.

LIFE INSURANCE AND ACCIDENTAL DEATH & DISMEMBERMENT (AD&D)

2018 IRS ANNUAL LIMITS

1. Limited Purpose FSASingle and Family – $2,600

2. Health Care FSASingle and Family – $2,600

3. Dependent Care FSAMarried filing single – $2,500Married filing joint – $5,000

BASIC COVERAGE

Company paid benefit providing coverage at 1 times the annual employee salary. Additional coverage can be purchased for the employee, spouse and child(ren).

BUY-UP COVERAGE

Employee coverage is available equal up to 1 to 4 times your annual base salary, rounded to the next higher $1,000.

Spouse coverage is available in $10,000 increments, up to $100,000 or 100% of your Supplemental Life Insurance coverage, whichever is lower.

Child coverage is available in $10,000 increments, up to $30,000.

2018 NEW HIRE BENEFITS SUMMARY 6

SUPPLEMENTAL LIFE AND SUPPLEMENTAL AD&D INSURANCEYou can purchase Supplemental Life and Supplemental AD&D Insurance – rates are based on age ranges and tobacco use. Rates and additional details can be found on www.gateshealth.com.

PERSONAL RESILIENCEYou are automatically covered by our Personal Resilience program – a confidential resource provided by Magellan Behavioral Health, Inc. to help you with everyday issues. The program covers up to five in-person or phone-based counseling sessions for each personal issue each calendar year. When you contact the Personal Resilience program, you can speak confidentially to a counselor or other professional who can help with issues, such as:

> Parenting issues

> Loss or grieving issues

> Relationship problems

> Substance abuse issues

Now providing better support for a multi-generational workforce, Personal Resilience gives you access to:

> Child care options, such as emergency and backup care

> Pregnancy and adoption resources, such as labor and delivery or domestic and international adoption

> Adult care support, such as senior services, meals, grocery delivery and in-home care

> Education options such as scholarship research and financial aid

> Daily living resources such as home improvement contractors and cleaning services

> Relocation services such as researching neighborhoods and schools

Take the worry out of your situation – let Personal Resilience do the research and connect you with community resources and options.

> Self-improvement

> Mental health issues

> Financial concerns

> Legal-referral assistance

LEGAL PLANYou may choose to purchase legal advice and services through Hyatt Legal Plans, a MetLife company, which offers access to a national network of more than 10,000 professional attorneys. The plan provides coverage for attorney fees for a wide variety of legal services.

If you enroll, this plan covers you and your family members for the following types of personal legal services:

> Personal, confidential legal consultation from an attorney, by office visit or telephone

> Family matters, estate planning, debt matters, juvenile matters, traffic matters, consumer protection and real estate matters

> Wills, codicils, living trusts, deeds, affidavits, notes, powers of attorney and other personal legal document review

You pay the full cost of coverage through Hyatt Legal Plans on a post-tax basis.

Exclusions apply for Galesburg and Elizabethtown Union employees

PRE-TAX PARKING FSAThis program, administered by Optum Health/UHC, allows you to use pre-tax money for work-related parking expenses. You can use it to park at work or a location from which you commute to work via mass transit. The 2018 IRS limit is $260 per month.

The Personal Resilience program is 100% paid for by Gates. And best of all, it’s available to you and your household members 24-hours a day, 7-days a week. You can reach the EAP at 800-424-4268 or www.magellanhealth.com/member.

For more information about the Legal Plan, visit www.legalplans.com (passcode: 4360010) or call 800-821-6400.

GATES CORPORATION 1551 Wewatta Street | Denver, CO 80202 | 303-744-1911

GATES MATCHMAKER 401(K) PLANThe Gates Matchmaker 401(k) Plan was established to provide you with a convenient, tax-deferred, and profitable way to save for retirement and other financial needs. Gates generously contributes 3% of your pay beginning on your first day of employment as a full time employee. Once you start contributing your own money to the plan, the company will also match 100% of your pre-tax and Roth contributions up to 3% of your pay. Check out the many investment options and other features of the plan at www.gatesretirement.com. The Gates Matchmaker 401(k) Plan is record-kept by Charles Schwab.

MATCHING GIFTS PROGRAMThe Tomkins Gates Foundation Matching Gift Program (the “Foundation”) is an ideal way to support your favorite not-for-profit organizations or educational institutions that qualify.

The Foundation will match your donations to qualifying 501(c)(3) not-for-profit organizations on a dollar-for-dollar basis up to $100,000 per calendar year in total matching donations. All U.S. full-time employees of Gates Corporation are welcome to participate in the Matching Gift Program.

PERKS@WORKGates has partnered with several manufacturers and retailers to provide employee discounts on a variety of products. Go to gateshealth.com under discounts to learn more about how you can stretch your purchase dollar by taking advantage of these discounts.

SCHOLARSHIP PROGRAMTomkins Gates Foundation offers college scholarship funds to eligible and qualifying dependent children of Gates Corporation employees, who are currently juniors in high school.

Interested students need to submit an application for these competitive awards, which are managed by the National Merit Scholarship Corporation. Successful applicants will be awarded an annual scholarship of $2,000 to $4,000 to the college of the student’s choice for four years.

TUITION REIMBURSEMENTAt Gates, we consider our people one of our greatest assets. U.S. non-union full-time employees and part-time with benefits employees, working 30 or more hours per week, with six months continuous service are eligible to receive financial assistance for continued learning and development.

The annual amount maximum is $5,250 per calendar year based on the reimbursement date. Gates will reimburse if the courses are completed with a grade of “C” or better.

For a detailed overview of the Educational Aid Policy, go to the Gates Portal under Human Resources, then Benefits.

STUDENT LOAN REFINANCINGGates has partnered with national loan servicer, SoFi, to assist employees with paying down student debt faster with a reduced interest rate.

The main benefits of this program include:

> Bonus: $300 welcome bonus for employees and family members who refinance through www.sofi.com/gates

> Savings: SoFi borrowers save $288 a month on average over the life of their loans when they refinance

> Rates: Variable rates as low as 2.355% APR and fixed rates as low as 3.375% APR (with Autopay)

> Simplicity: Consolidate all student loans into a single loan with one monthly payment

> Perks: SoFi offers career counseling, member events, a referral program and more

> No fees: No application fees, no origination fees, no prepayment penalties

Go to Gateshealth.com/education for more information on education programs and offerings.

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