Molnlycke Georgia_2018 New Hire Guide_v3.3_1-26-2018

2018 Benefits Guide Georgia

Dear Mölnlycke Health Care Employee,

Mölnlycke Health Care strives to effectively manage costs and offer competitive and comprehensive benefits to its employees. We are serious about our commitment to supporting our employees, so we spend a great deal of time each year reviewing our benefit offerings to see how we can improve our programs for you and your family. We are pleased to present our 2018 benefits package.

Be sure to review all of the plans to find the best fit for you and your family.

Below are the benefits for 2018: • Mölnlycke will offer three plans: a PPO Plan, a Premium HSA Plan and a Basic HSA Plan. • Mölnlycke will contribute money to both the Basic and Premium HSA plans. By combining your pre-tax contributions with Mölnlycke’s, it will help offset your deductible and medical, pharmacy, dental and vision costs. • For 2018, we are also adding coverage for the following additional services: – 3D Mammograms – Wigs when needed as a result of hair loss from chemotherapy – Massage therapy when prescribed by a physician • We also offer a variety of voluntary benefits.

You will have the opportunity to earn additional money just by taking a few simple steps to better health, so stay tuned.

Thank you for your support as we continue to grow and add people to our organization.

Best Regards, The Executive Team

If you (and/or your dependents) have Medicare or will become eligible for Medicare in the next 12 months, a Federal law gives you more choices about your prescription drug coverage. See page 20 for more details.

About This Guide Enrollment Instructions........................................................................................................1 Medical Plans.......................................................................................................................2 Reimbursement Accounts. ...................................................................................................3 Dental and Vision Plans........................................................................................................6 Non-Tobacco User Discount..................................................................................................7 Insurance Premiums............................................................................................................8 Wellness Program................................................................................................................9 Additional Benefits.............................................................................................................10 Accident Insurance.............................................................................................................12 Critical Illness Insurance....................................................................................................13 My Work/Life Balance.........................................................................................................14 Voluntary Benefits..............................................................................................................16 Legal Notices......................................................................................................................19 Important Contacts.............................................................................................................24

Make Great Choices About Your Benefits Read . Carefully read this guide to review your coverage options. Enrollment Instructions

Plan. Think about your needs. Consider all the possibilities, both planned and unplanned. Talk with your family members to determine the coverage combination to fit your lifestyle and budget. Review other information to help you make an informed decision, such as your spouse’s benefits or other insurance you carry.

Choose. Choose the benefits that best meet your needs.

You must take action and enroll in all your benefits! You must enroll in benefits for 2018 within 31 days or you will not have the opportunity to enroll again until the next open enrollment or if you have a life status change. Make sure you enter the correct Social Security Number for you and your dependents when enrolling. Also be sure to elect whether or not you are a tobacco user.

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Medical Plans

Eligibility: First of the month following date of hire.

ANTHEM BCBSGA MEDICAL PLANS PPO Plan Premium HSA Plan

Basic HSA Plan

Out-of- Network

Out-of- Network

Out-of- Network

Benefit

In-Network

In-Network

In-Network

Employee Only: $750 Employee + One: $1,700 Employee + Family: $2,250

Employee Only: $200 Employee + One: $450 Employee + Family: $600

Company Contributions to HSA*

N/A

Deductible • Individual • Family

$1,000 $3,000

$2,000 $6,000

$2,000 $4,000

$3,000 $6,000

Annual Out-of-Pocket (OOP) Max • Individual • Family Coinsurance (Mölnlycke pays/you pay) Office Visits – Preventive Care (Well child exams, immunizations, annual gynecology exam, routine mammogram, prostate screening) Office Visits – Illness or Injury (All office visits, in- office surgery, allergy care)

$2,500 $7,500

$4,000 $12,000

$4,000 $8,000

$8,000 $16,000

$5,000 $10,000

$10,000 $20,000

90% / 10% 60% / 40% 80% / 20% 60% / 40% 80% / 20% 60% / 40%

Covered at 100%

Covered at 70%

Covered at 100%

After deductible, covered at 70%

Covered at 100%

After deductible, covered at 70%

$25 Primary Care / $50 Specialist $25 Primary Care/ $50 Specialist

After deductible, covered at 60%

After deductible, covered at 80%

After deductible, covered at 60%

After deductible, covered at 80%

After deductible, covered at 60%

After deductible, covered at 60%

After deductible, covered at 80%

After deductible, covered at 60%

After deductible, covered at 80%

After deductible, covered at 60%

Telehealth Services

Outpatient Services (X-ray and lab tests, MRI/ CT/PET/MRA, outpatient surgery)

After deductible, covered at 90%

After deductible, covered at 60%

After deductible, covered at 80%

After deductible, covered at 60%

After deductible, covered at 80%

After deductible, covered at 60%

Emergency Room

After deductible, covered at 90% After deductible, covered at 80% After deductible, covered at 80% After deductible, covered at 90% After deductible, covered at 80% After deductible, covered at 80%

Ambulance

After deductible, covered at 90%

After deductible, covered at 60% After deductible, covered at 60%

After deductible, covered at 80% After deductible, covered at 80%

After deductible, covered at 60% After deductible, covered at 60%

After deductible, covered at 80% After deductible, covered at 80%

After deductible, covered at 60% After deductible, covered at 60%

Inpatient Services

Acute Chiropractic Services (40 visits per calendar year) Therapy Visits - Physical, Occupational & Speech (60 combined visits/ calendar year) Prescription Drugs — RETAIL

$50 copay, no deductible

After deductible, covered at 90%

After deductible, covered at 60%

After deductible, covered at 80%

After deductible, covered at 60%

After deductible, covered at 80%

After deductible, covered at 60%

$15 generic, $30 preferred brand, $60 non-preferred brand

After deductible, covered at 80% After deductible, covered at 80%

$30 generic, $60 preferred brand, non- preferred brand not covered

Prescription Drugs — MAIL ORDER, 90-day supply

After deductible, covered at 80%

After deductible, covered at 80%

N/A

N/A

N/A

* Employer contributions to the HSA will be prorated.

2

Reimbursement Accounts

Mölnlycke offers access to several reimbursement accounts as a way to help you set aside tax-free funds for your eligible expenses. The amount you choose to contribute to your account will be deducted from your paycheck throughout the year in 2018. For a list of eligible expenses, please refer to www.irs.gov. WHAT’S THE DIFFERENCE IN REIMBURSEMENT ACCOUNTS? HSA Health Care FSA Limited Health Care FSA Dependent Care FSA

Only available to employees in the Premium or Basic HSA Plans

Only available to employees in the Premium or Basic HSA Plans

Available to employees not enrolled in an HSA plan.

All employees, regardless of medical plan enrollment

Who is eligible?

Tax-advantaged?

Yes

Yes

Yes

Yes

No – balance rolls over each year and accrues interest forever Medical, dental, vision, copays, deductible, coinsurance $3,450 for Employee Only; $6,900 for all other tiers; All maximums include Mölnlycke contributions

Use it or lose it?

Yes – use it or lose it

Yes – use it or lose it

Yes – use it or lose it

Qualified day care expenses while you (and your spouse) are at work $5,000 for single/ married employee filing a combined Federal tax return OR $2,500 for a married employee filing a separate Federal tax return

Medical, dental, vision, copays, deductible, coinsurance

Eligible expenses?

Dental and vision

Annual contribution limit?

$2,650

Who can contribute?

You and Mölnlycke

You only

Once the balance reaches a certain level, based on your specific bank

Investment options?

No

3

Reimbursement Accounts

Health Savings Account If you enroll in the Premium or Basic HSA Plan, you’ll have access to an HSA. The HSA helps you save pre-tax dollars for use on health expenses now or in the future. The account is yours, even if you change plans in the future, and the balance rolls over each year, accruing interest tax-free. Here’s how the plans work: 1. When you go to the doctor or pharmacy, you pay the full (discounted) cost of care until you reach the deductible. Preventive care is covered at 100 percent. 2. Once you reach the deductible, the plan shares the cost of care through coinsurance. 3. For both HSA Plans, Mölnlycke contributes monthly into your account as an annual contribution. For both HSA plans, you can also contribute pre-tax dollars through payroll deductions up to 2018 IRS limits. You are eligible for the company contributions as soon as the plan year begins and you have your account set up. If you do not currently have an HSA already set up, you will receive information from HealthEquity on how to set up your HSA. If you currently have an account set up, there are no changes necessary.

MÖLNLYCKE ANNUAL CONTRIBUTIONS * : THE PREMIUM HSA PLAN Mölnlycke Annual Contribution

Employee Annual Contribution Limit **

Employee Only

$750

$2,700

Employee + One

$1,700

$5,200

Employee + Family

$2,250

$4,650

* Employer contributions to the HSA will be prorated. ** Contribution limits: The IRS has set limits on the total amount you can contribute to a health savings account each calendar year, and contributions made by your employer count. In 2018, the maximums are $3,450 for an individual and $6,900 for a family. If you're over 55, the IRS allows you to contribute an additional $1,000-this is called a "catch up contribution."

MÖLNLYCKE ANNUAL CONTRIBUTIONS * : THE BASIC HSA PLAN Mölnlycke Annual Contribution

Employee Annual Contribution Limit **

Employee Only

$200

$3,250

Employee + One

$450

$6,450

Employee + Family

$600

$6,300

* Employer contributions to the HSA will be prorated. ** Contribution limits: The IRS has set limits on the total amount you can contribute to a health savings account each calendar year, and contributions made by your employer count. In 2018, the maximums are $3,450 for an individual and $6,900 for a family. If you’re over 55, the IRS allows you to contribute an additional $1,000-this is called a “catch up contribution.”

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Reimbursement Accounts Flores is our flexible spending account (FSA) vendor. FSAs can be a great way to save money on health care and child care obligations. You contribute to the FSAs through pretax payroll deductions, which reduces your tax liability and saves you money each pay period. Use the funds you set aside to reimburse yourself for eligible expenses throughout the year. When you enroll in an FSA this year, you will receive a Flores Debit Card to use for eligible expenses incurred during the plan year.

Mölnlycke offers three types of FSAs: • Health care FSA: for those enrolled in the PPO plan or covered elsewhere. • Limited-purpose FSA: for those enrolled in an HSA plan. • Dependent care FSA (DCFSA): for those with daycare, after school or elder care expenses.

Health Care FSA If you choose the PPO Plan, this account lets you use tax-free dollars to pay eligible medical, dental and vision care expenses, such as deductibles, copays, coinsurance, glasses, orthodontia, Lasik eye surgery and prescriptions. For 2018, you can contribute up to $2,650. Limited Purpose Health Care FSA If you enroll in the Basic or Premium HSA Medical Plan, in addition to contributing to the HSA, you may also contribute up to $2,650 to this account to cover eligible dental and vision expenses. Dependent Care FSA Use the dependent care FSA to reimburse yourself for any eligible dependent care expense that make it possible for you (and your spouse, if applicable) to work. This includes summer day camp, in-home housekeepers who provide child or elder care, and sitters while you’re at work.

For 2018, you and your spouse can contribute up to $5,000 to a DCFSA. If you are married and file taxes separately, you may contribute up to $2,500 each.

For questions or assistance, contact customer service at 1-800-532-3327. To see a complete list of qualified health care and limited purpose health care expenses, see IRS publication 502 at www.irs.gov/publications/p502/. For eligible dependent care expenses, see IRS publication 503, at www.irs.gov/publications/p503.

Ways to Submit Claims 1. Online: Visit www.flores247.com and click Upload Data to upload documents securely. 2. Mobile: Take a picture of your documentation and upload it through the Flores e-Receipt smartphone app. 3. Mail: Mail claims to Flores & Associates, LLC, PO Box 31397, Charlotte, NC, 28231 4. Fax: Fax claims to 704-335-0818 or 1-800-726-9982

5

Dental Plan

Eligibility: First of the month following date of hire.

DENTAL – LINCOLN FINANCIAL In-Network

Out-of-Network

Annual Deductible

$50 / $150 family

Annual Maximum Benefit

$1,500/person

Diagnostic and Preventive Expenses • 2 routine exams per year • 2 cleanings per year • 1 bitewing x-rays per year • 1 fluoride per year (under age 19) • Sealants (through age 15) – 1 per 36 months Basic Services (fillings, extractions, endodontics (root canal), periodontics, oral surgery) Major Services (including crowns, bridgework, and full/ partial dentures)

Covered at 100%, to Reasonable and Customary (R&C) limits

Covered at 100%

After deductible, covered at 80%, up to R&C limits

After deductible, covered at 80%

After deductible, covered at 50%, up to R&C limits

After deductible, covered at 50%

Orthodontic Services (children only)

50% up to a lifetime max of $1,500 per person (combined in-network and out-of-network)

Notes: Reasonable and Customary (R&C) expenses are the usual charges for specific procedures by providers with similar credentials in the same geographic area. If you choose to receive care from a non-network provider, your benefits will be paid up to 90% of R&C limits. Coinsurance amount shown is amount covered by the plan unless otherwise noted.

Vision Plan

Eligibility: First of the month following date of hire.

ANTHEM BCBS GA BLUE VIEW VISION In-Network

Out-of-Network

Eye Exam (covered once every calendar year) Eyeglass Frames (covered once every calendar year) Eyeglass Lenses (covered once every calendar year) • Standard plastic single vision lenses • Standard plastic bifocal lenses • Standard plastic trifocal lenses Contact Lenses (covered every calendar year instead of eyeglass lenses)

$10 copay

$30 reimbursement

$130 allowance, then 20% off any remaining balance

$45 reimbursement

$10 copay $10 copay $10 copay

$25 allowance $40 allowance $55 allowance

• Elective conventional lenses • Elective disposable lenses • Non-elective contact lenses

$130 allowance, 15% off any remaining balance $130 allowance, no additional discount Covered in full

$105 allowance $105 allowance $210 allowance

6

Non-Tobacco User Discount

We are rewarding our employees who are non-tobacco users. Mölnlycke realizes that all of our employees are impacted by the use of tobacco products — directly or indirectly. Therefore, Mölnlycke offers a non-tobacco user discounted employee rate for your medical premium. As you enroll in your benefits in UltiPro, you will be required to answer whether you are a tobacco user or non- tobacco user. Based on your response, your medical premium will be adjusted accordingly. To qualify for the non- tobacco-user premium discount under the group health plan, you must not have used tobacco for 90 days prior to the date you complete your enrollment. Tobacco products include, but are not limited to cigarettes, cigars, pipes, chewing tobacco, snuff, dip, and loose tobacco smoked by pipe. Any dishonest or false representation of your tobacco user status will result in discipline which includes paying the full premium from the time in which Mölnlycke Health Care becomes aware of your tobacco use through the end of the year. This falsification will exempt you from the opportunity to complete an approved tobacco cessation program until 2019, when you have the opportunity to re-certify your tobacco status. We want our employees to be healthy and tobacco free. This year, we are introducing a new tobacco cessation program, LivingFree from SelfHelpWorks, to help our employees get on the right track. This program includes 12 online interactive courses, with access to additional online resources and support to help you quit! If you are unable to meet the non-tobacco user standard, you can still qualify for the premium discount rate by completing the LivingFree Program from SelfHelpWorks. Completion of the program requires six months of enrollment. Those who enroll and complete the program will receive the non-tobacco discounted rate back to the first month of enrollment. Mölnlycke will receive confirmation of your tobacco cessation program completion from SelfHelpWorks for validation, but upon completion of the program, please also notify Human Resources. The adjustment in premium will occur as soon as administratively possible. To enroll in the program, contact Eleatha Spencer in Human Resources at 470-330-8196. If you think you might be unable to meet the standard under this alternate option, you might qualify for an opportunity to earn the same reward by different means. For questions, please contact Eleatha Spencer in Human Resources at 470-330-8196 and she will work with you (and, if you wish, your health care provider) to find a tobacco cessation option with the same reward that is right for you in light of your health status.

7

Insurance Premiums

PPO PLAN – SEMI MONTHLY RATE Non-Tobacco User

Tobacco User

Employee Only Employee + One Employee + Family

$76.33

$88.83

$139.40 $202.49

$151.90 $214.99

PREMIUM HSA PLAN – SEMI MONTHLY RATE Non-Tobacco User

Tobacco User

Employee Only Employee + One Employee + Family

$39.70 $66.51 $93.42

$52.20 $79.01 $105.92

BASIC HSA PLAN – SEMI MONTHLY RATE Non-Tobacco User

Tobacco User

Employee Only Employee + One Employee + Family

$25.72 $49.48 $68.00

$38.22 $61.98 $80.50

DENTAL PLAN

Employee Semi-Monthly Deduction

Employee Only

$3.68 $8.73 $9.73

Employee + Spouse Employee + Child(ren) Employee + Family

$14.78

VISION PLAN

Employee Semi-Monthly Deduction

Employee Only Employee + One Employee + Family

$3.79 $6.63

$10.60

8

Wellness Program

2018 AND BEYOND PROGRAM (2018 Action Steps for 2019 Incentive) 1. COMPLETE HEALTH ASSESSMENT 2. COMPLETE A BIOMETRIC SCREENING • There are three ways to complete a biometric screening: with your physician, at a LabCorp testing center or at an onsite event • The screening options will open in the fall of 2018, more details to come. 3. HAVE A HEALTHY METRIC • Have a Body Mass Index (BMI) of less than 30 or a waist circumference of less than or equal to 35 inches for females and less than or equal to 40 inches for males. • Don’t meet those metrics? You can: – Show improvement from your 2018 results in 2019 of at least a five percent weight reduction – Complete an alternative activity. The Mölnlycke wellness incentives reward you for completing a Personal Health Assessment (PHA) through Anthem’s Mobile Health and a biometric screening. Both of these actions help you identify health risks-like unhealthy weight, blood pressure, cholesterol and blood sugar levels ― which help catch potential health conditions early. Complete a screening and assessment and be rewarded for having healthy metrics or if you’ve shown improvement from the previous year, to earn your $300 premium contribution incentive paid in equal amounts each pay check. And don’t worry if you don’t quite meet the healthy metric ranges, there will be alternative options available to earn your incentive. See below for additional details. To take advantage of the $300 wellness incentive provided by Mölnlycke, you must be enrolled in a Mölnlycke medical plan. Spouses and dependents are not eligible for this incentive. Please note that taking the PHA and completing a biometric screening is 100 percent voluntary. Mobile Health The Anthem Mobile Health app is your hub for wellness information. This app allows you to track your wellness progress throughout the year and view available wellness incentives.

You can earn a $100 quarterly payroll contribution if you earn at least 1,000 points on the Mobile Health app by completing activities such as physical activity tracking, sleep tracking, community activities and more.

The Mobile Health app also allows you to work with a digital health coach, view your medical ID cards, navigate your health resources, understand potential health risks and set personal health reminders. Download the app from the App Store, Google Play or access it on your desktop at www.mobilehealthconsumer.com/web/pages/login.html.

Your health plan is committed to helping you achieve your best health. Rewards for participating in a wellness program are available to all employees enrolled in a Mölnlycke medical plan. If you think you might be unable to meet a standard for a reward under this wellness program, you might qualify for an opportunity to earn the same reward by different means. Contact Human Resources at 470-330-8196 and we will work with you (and, if you wish, with your doctor) to find a wellness program with the same reward that is right for you in light of your health status.

9

Additional Benefits

Eligibility for these benefits varies. Please refer to the company policies for details.

Basic Life/AD&D Insurance Employees receive basic life insurance equal to two times annual salary, up to $300,000 maximum. Employer paid.

Short Term Disability (STD) • You are eligible for STD after six months of employment. Benefits begin following five consecutive business days. Salary continuation is based on years of service, but starts at 100 percent. • Employer paid.

BENEFIT ACCRUAL

Length of Employment

You receive 100% of base pay for up to

You receive 65% of base pay for up to

6 months – 3 years 3 years – 4 years 4 years – 5 years

90 days

90 days 60 days 30 days

120 days 150 days 180 days

Over 5 years

N/A

Long Term Disability (LTD) • You are eligible for LTD after six months of employment. Benefits begin after a 180-day elimination period as determined by Lincoln Financial, the plan pays 60 percent of salary up to a $15,000 monthly maximum. • Benefits are payable until the later of your normal Social Security retirement age or a period (e.g. 12 months or 60 months) that is based on your age on the date of disability. Also note that the maximum benefit duration period is 24 months for disabilities related to certain conditions. • Employer paid.

LONG TERM DISABILITY

Age of Disability Less Than Age 60

Maximum Benefit Period

To age 65 60 months 48 months 42 months 36 months 30 months 24 months 21 months 18 months 15 months 12 months

60 61 62 63 64 65 66 67 68

69 and over

10

Additional Benefits

Employee Life/AD&D Guaranteed coverage up to $200,000; additional coverage may require an EOI form. Coverage is issued in $10,000 increments up to four times annual salary to $600,000 maximum issue amount. To elect AD&D coverage, you must have the life coverage. Also, your election amount for AD&D must equal the amount you elect for voluntary life. Employee Paid.

Please note, if you decline coverage, never return a completed EOI form or your request is withdrawn by Lincoln, you may not be eligible for the guaranteed coverage amount in future years.

Spousal Life/AD&D Guaranteed coverage up to $30,000; maximum issue amount of $300,000; amount cannot exceed 50 percent of employee amount. Employee paid. Your election amount for AD&D must equal the amount you elect for spousal voluntary life. To elect spouse life, you must have employee life. Also, to elect AD&D you must have employee life and spouse life. Child Life Age 14 days to six months: $250; Age six months to 19 years, up to 25 years if unmarried and a full-time student: $20,000. Employee paid.

SUPPLEMENTAL LIFE RATES

Age Band Up to 25

Rate per $1,000 Coverage (Employee & Spouse)

$0.06 $0.06 $0.06 $0.09 $0.15 $0.23 $0.44 $0.69 $0.75 $1.38 $2.83 $8.12

25 – 29 30 - 34 35 - 39 40 – 44 45 – 49 50 – 54 55 – 59 60 – 64 65 – 69 70 – 74 75 - 79 80 - 99

$17.92

Accidental Death & Disability

Rate per $1,000 Coverage

Employee & Spouse Dependent Child Life Dependent Children

$0.03

Rate per $1,000 Coverage

$0.20

11

Accident Insurance

Mölnlycke provides you, your spouse and children accident insurance through Lincoln Financial, which pays for covered accidents that occur off the job. You are eligible for accident insurance on the first of the month following your date of hire. Accident insurance pays you directly and quickly on top of your medical plan coverage. The benefit can help offset out-of-pocket expenses that medical insurance does not pay, including deductibles and copays. This coverage is great for employees enrolled in one of our HSA Plans who want more protection in case of an emergency or accident. Benefits are based on injury received and treatment needed, including X-rays, emergency room care, and related surgery. Here are a few examples of the type of benefit you’ll receive if you’re in an accident. For a complete list, call Lincoln Financial at 877-815-9256.

SAMPLE ACCIDENT INSURANCE BENEFITS

Emergency Care Ambulance or emergency room

$150

Hospital admission

$1,000

Hospital confinement daily benefit Intensive care unit daily benefit

$200 $400 $100

Alternate care and rehabilitative facility daily benefit

Fractures (per fracture)

No Surgery/Surgery Required

Ankle, arm, collarbone, elbow, foot, hand, jaw, kneecap, shoulder blade, sternum, wrist

$600/$1,200 $1,500/$3,000

Leg, pelvis, skull non-depressed, vertebral column

Finger, toe

$100/$200

Specific injuries or treatments Transfusions

$300

Burns

$100-$12,800

Skin grafts

25% of burn benefit

Joint replacement

$1,500-$2,000

Coma

$7,500

SEMI-MONTHLY RATE

Employee

$6.82 $9.93

Employee + Spouse Employee + Child(ren)

$11.72 $15.87

Family

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Critical Illness Insurance

Critical illness insurance through Lincoln Financial provides a lump-sum benefit for you and your family at the first diagnosis of a covered illness/condition plus a benefit paid if you or your family members complete a critical illness assessment screening. The benefit paid varies based on the critical illness/condition diagnosis and varies from 25 percent to 100 percent of the coverage election. You are eligible the first of the month following your date of hire. Purchase coverage in increments of $5,000 to $20,000 for yourself. You can elect spouse coverage of either $5,000 or $10,000, and child coverage is up to 25 percent of the employee coverage amount with no additional charge. Evidence of insurability will be required when:

1. The amount of Critical Illness Insurance increases after the initial enrollment; or 2. Initial coverage is elected more than 31 days after first becoming eligible.

Rates are based on coverage selected. Cancer coverage (which is optional) is available for an additional cost. In order to enroll in the cancer coverage, you must also elect the base plan. Both plans must have equal coverage amounts. For your spouse to be covered, you must be enrolled in the Base Plan. Spouse coverage cannot exceed the employee coverage.

SEMI-MONTHLY RATES

Base Coverage — Employee and Spouse

Optional Coverage (Cancer) — Employee & Spouse

Non-Tobacco Users

Age

$5,000

$10,000

$15,000*

$20,000*

$5,000

$10,000

$15,000*

$20,000*

Up to 25 26 - 30 31 - 35 36 - 40 41 - 45 46 - 50 51 - 55 56 - 60 61 - 65 66 - 70 26 - 30 31 - 35 36 - 40 41 - 45 46 - 50 51 - 55 56 - 60 61 - 65 66 - 70 Up to 25

$0.81 $0.98 $1.20 $1.55 $2.19 $2.86 $3.82 $5.05 $6.78 $9.06 $1.10 $1.58 $2.11 $2.92 $3.98 $5.29 $6.91 $8.95

$1.59 $1.96 $2.39 $3.09 $4.36 $5.70 $7.63

$2.40 $2.94 $3.59 $4.64 $6.55 $8.56

$3.18 $3.92 $4.78 $6.18 $8.72

$0.38 $0.48 $0.72 $1.12 $1.69 $2.35 $3.24 $4.73 $6.23 $7.96 $0.54 $0.99 $1.50 $2.27 $3.45 $5.19 $7.64

$0.75 $0.96 $1.44 $2.24 $3.37 $4.70 $6.47 $9.46

$1.13 $1.44 $2.16 $3.36 $5.06 $7.05 $9.71

$1.50 $1.92 $2.88 $4.48 $6.74 $9.40

$11.40 $15.26 $20.18 $27.10 $36.20

$11.45 $15.14 $20.33 $27.16

$12.94 $18.92 $24.90 $31.84

$10.09 $13.55 $18.10

$14.19 $18.68 $23.88

$12.45 $15.92

Tobacco Users

$2.17 $3.14 $4.21 $5.82 $7.95

$3.27 $4.72 $6.32 $8.74

$4.34 $6.28 $8.42

$1.07 $1.98 $2.99 $4.54 $6.89

$1.61 $2.97 $4.49 $6.81

$2.14 $3.96 $5.98 $9.08

$11.64 $15.90 $21.12 $27.64 $35.78 $46.24 $62.40

$11.93 $15.85 $20.73 $26.84 $34.68 $46.81

$10.34 $15.56 $22.92 $32.63 $45.14 $56.60

$13.78 $20.74 $30.56 $43.50 $60.18 $75.46

$10.56 $13.82 $17.89 $23.12 $31.20

$10.37 $15.28 $21.75 $30.09 $37.73

$10.88 $15.05 $18.87

$11.56 $15.61

*Not available for spouses

13

My Work/Life Balance

Paid Time Off (PTO) PTO provides paid time away from work that can be used for vacation, personal time, personal illness or time off to care for dependents. PTO must be scheduled in advance and have supervisory approval, except in the case of illness or emergency. The PTO policy takes the place of sick leave, personal time and vacation. PTO eligibility is based on the length of your continuous employment and scheduled work hours. PTO is computed for the calendar year from January 1 – December 31. The following schedule shows how you earn PTO for years of completed service. See full policy for further details. Initial Year of Hire In the year you’re hired, the amount of PTO you earn depends on the month in which you’re hired and is prorated accordingly. All new hires starting in the month of January are eligible for four weeks of PTO and it will be prorated from here to the pay period of the month in which the hire starts. Standard Schedule As an active employee, your PTO allotment is granted at the beginning of the year. Employees are not allowed to request or take more than their annual PTO allotment. PTO ACCRUAL SCHEDULE Years of Service PTO Benefit 1 through 5 years 4 weeks 6 through 11 years 5 weeks 12 through 16 years 6 weeks Over 17 years 7 weeks Note: Employees in roles graded Hay 18 and above are eligible for one additional week of PTO applied to the aforementioned schedule. Employee Assistance Program Mölnlycke Health Care provides access to an Employee Assistance Program (EAP), ComPsych, through Lincoln Financial EmployeeConnect Plus/ComPsych for active employees. Your EAP benefits include: • In-person help with short-term issues; up to six sessions per person, per issue, per year. • Toll-free phone and web access 24/7. • Unlimited phone access to legal, financial and work-life services. • A 25 percent discount on in-person consultations with network lawyers. • Financial consultants and referrals. • Work/life services for assistance with child care, finding movers, kennels and pet care, vacation planning and more.

To learn more about the EAP, visit www.guidanceresources.com (user name: LFGsupport; password: LFGsupport1) or call 1-888-324-2631 to talk with a specialist.

14

My Work/Life Balance

Floating Holidays Four floater days may be taken at your discretion, as long as you receive approval from your immediate supervisor. However, if you are hired on or after July and before November 1, you will only receive one floater day for the year. If you are hired on or after November 1, you will not receive a floater day. Wellness Day An additional floating day which can be used at any point during the year to complete your annual exams and/or screenings (medical, dental or vision). Jury Duty Mölnlycke will pay the difference, if any, between regular salary and compensation paid for jury duty (excluding mileage). Bereavement Reasonable absence (up to three days) for the death of an immediate family member. Employees receive one day for extended family.

2018 Holiday Schedule January 1, New Year’s Day (Monday) May 28, Memorial Day (Monday) July 4, Independence Day (Wednesday) September 3, Labor Day (Monday) November 22, Thanksgiving Day (Thursday) November 23, Day after Thanksgiving (Friday) December 24, Christmas Eve (Monday) December 25, Christmas Day (Tuesday) Please refer to the Mölnlycke employee handbook for detailed information on the Company’s holiday policy. Please note: employees are eligible upon hire for holiday pay.

Parental Leave Mölnlycke Health Care will provide up to four weeks of paid parental leave to employees following the birth of an employee’s child or the placement of a child with an employee in connection with adoption or foster care. The purpose of paid parental leave is to enable the employee to care for and bond with a newborn or a newly adopted or newly placed child. This policy will run concurrently with Family and Medical Leave Act (FMLA) leave, as applicable. See full policy for details.

Eligibility Eligible employees must meet the following criteria:

• Have been employed with the company for at least 12 months (the 12 months do not need to be consecutive). • Have worked at least 1,250 hours during the 12 consecutive months immediately preceding the date the leave would begin. • Be a full- or part-time, regular employee (temporary employees and interns are not eligible for this benefit). In addition, employees must meet one of the following criteria: • Have given birth to a child. • Be a spouse or partner of a woman who has given birth to a child. • Have adopted a child or been placed with a foster child (in either case, the child must be age 17 or younger). The adoption of a child by a new spouse is excluded from this policy.

15

Voluntary Benefits

Identity Theft InfoArmor provides industry leading protection to fight identity, financial and privacy fraud, and includes: •  Peace of Mind. Proactive identity and credit monitoring help protect identity and financial information, detecting misuse and quickly minimizing damage and stress. •  Embracing the entire family. No age limits with a generous Under Roof/Under Wallet participant definition provide protection for the whole family and acceptance of all pre-existing conditions •  Leverage time saving expert assistance. A dedicated Privacy Advocate reduces stress, handles alert escalations, contacts merchants and more to re-mediate on behalf of the participant. InfoArmor’s offers multilingual Customer Care available for employees 24/7. •  Reinforce financial security. InfoArmor provides a $1,000,000 Identity Theft Insurance Policy that reimburses out of pocket costs associated with identity theft including lost wages, legal fees, medical records request fees, CPA fees, child care, and more Auto/Home Liberty Mutual’s Auto & Home program will help you save on the coverage you need! Employees save an average of $507 on auto insurance when they switch to Liberty Mutual Auto & Home. Allowing for a simple and seamless experience, you can submit and check claims by phone, online or moble app, and have flexible payment options. You can get a quote from a local sales representative, online at www.libertymutual.com or through the call centers. More information to come! Tuition Assistance Mölnlycke provides assistance for tuition, registration and laboratory costs of college level courses — up to $5,250 per year. The course of study must be directly related to your present job duties or work you might reasonably be expected to aspire to within the Company at some point in the future. Approval is required. You are eligible to receive tuition reimbursement after one year of employment. See company policy for more information. For more information, go to www.infoarmor.com/molnlycke or call 1-800-789-2720.

16

Voluntary Benefits

SoFi Student Loan Refinancing SoFi, the largest provider of student loan refinancing, may be able to reduce the cost of student loan debt. SoFi refinances student loan debt at lower rates than federal and/or private options, saving members around $19,000 on average. The main benefits include: •  Rate discount: SoFi will offer Mölnlycke Health Care employees a .125% rate discount off SoFi ‘s low rates for coming to SoFi and refinancing their student and Parent PLUS loans through www.sofi.com/molnlycke. •  Serious Savings on Interest Rates: Variable rates start at 2.815% APR and fixed rates start as low as 3.350% APR (with AutoPay). • Flexibility: SoFi can consolidate and refinance both federal student loans and Parent PLUS loans and private loans. • No Extra Fees: No application or origination fees. No prepayment penalties. •  Best-In-Class Customer Support: Customer service is open 7 days a week by phone, email, and online chat. Hours are 7am-midnight Monday-Thursday EST and 7am to 8pm Friday -Sunday EST. Verizon Employee Discount Mölnlycke provides you with a savings of up to eight percent on your Verizon bill! To register for the employee discount or to validate your employment if you are already enrolled in the program, please follow these instructions: • By email address: 1. Visit www.verizonwireless.com/discounts. 2. Enter your mobile phone number or “My Verizon” User ID in the “Existing Verizon Customer” field. 3. Click “Login” and “Validate by Email” with your work email. • By paystub: 1. Visit www.verizonwireless.com/discounts. 2. Enter your mobile phone number or “My Verizon” User ID in the “Existing Verizon Customer” field. 3. Click “Login” and “Validate by Paystub” and follow the instructions to upload your paystub. TicketsatWork Through TicketsatWork, you will receive discounts and special access to theme parks and attractions including the Walt Disney World ® Resort, Universal Studios ® , Las Vegas and New York City shows and performances, Disneyland ® , SeaWorld ® , Six Flags, and Cirque du Soleil! Also check with www.ticketsatwork.com for savings on car rental, hotels, tours and attractions across the US. If you’re staying local, save on movie tickets, sporting events, and other special events. You can even share the code with friends and family! Go to www.ticketsatwork.com. Click on the “Become a Member” Box at the top of the homepage. You will then be prompted to create a username and password, and enter our company code “MOLNLYCKE.” Once enrolled you will have access to discounts on theme parks and attractions nationwide! For more information on SoFi, please visit www.sofi.com/molnlycke or call 1-855-456-7634. Check the status of your validation at www.verizonwireless-employmentvalidation.com. Have questions? Contact your Verizon Wireless Business Specialist or visit nz.to/1iTjU.

17

Voluntary Benefits

Health Advocate We have partnered with Health Advocate to help you navigate the complex healthcare system. As the nation’s leading healthcare advocacy and assistance company, Health Advocate leverages its staff of registered nurses, supported by medical directors and benefits and claims specialists, to answer all of your questions about your health and welfare benefit options. Answering your questions more quickly, Health Advocate can: • Provide education and explanation of your benefit plans and options. • Help you find the right doctors and schedule appointments. • Help resolve insurance claims and help you negotiate billing and payments. • Assist in the transfer of medical records to include, but not limited to, X-rays and lab results. • Help you locate adult day care, home health care and other support services. 401(k) or Roth 401(k)* You are eligible to establish a 401(k) or Roth 401(k) on the first of the month following 30 days of employment. You may contribute pre-tax and/or after-tax deferrals of eligible income up to the IRS maximum of $18,000 (combined limit) for 401(k) contributions. If you are 50 years of age or older, you can make an annual catch-up contribution. Profit Sharing You are eligible for profit sharing on the first of the month following 30 days of employment. Profit sharing allows for an additional discretionary contribution amount up to four percent of eligible earnings to be deposited into your retirement account. Your account is 100 percent vested from date of eligibility. Health Advocate can be accessed 24/7 by calling 1-866-695-8622 or visiting www.healthadvocate.com/members.

* Total match on 401(k) or Roth 401(k) is a combined maximum of 4% of salary you contribute.

18

Legal Notices

PREMIUM ASSISTANCE UNDER MEDICAID AND THE CHILDREN’S HEALTH INSURANCE PROGRAM (CHIP) If you or your children are eligible for Medicaid or CHIP and you’re eligible for health coverage from your employer, your state may have a premium assistance program that can help pay for coverage, using funds from their Medicaid or CHIP programs. If you or your children aren’t eligible for Medicaid or CHIP, you won’t be eligible for these premium assistance programs but you may be able to buy individual insurance coverage through the Health Insurance Marketplace. For more information, visit www.healthcare.gov. If you or your dependents are already enrolled in Medicaid or CHIP and you live in a State listed below, contact your State Medicaid or CHIP office to find out if premium assistance is available. If you or your dependents are NOT currently enrolled in Medicaid or CHIP, and you think you or any of your dependents might be eligible for either of these programs, contact your State Medicaid or CHIP office or dial 1-877-KIDS NOW or www.insurekidsnow.gov to find out how to apply. If you qualify, ask your state if it has a program that might help you pay the premiums for an employer-sponsored plan. If you or your dependents are eligible for premium assistance under Medicaid or CHIP, as well as eligible under your employer plan, your employer must allow you to enroll in your employer plan if you aren’t already enrolled. This is called a “special enrollment” opportunity, and you must request coverage within 60 days of being determined eligible for premium assistance. If you have questions about enrolling in your employer plan, contact the Department of Labor at www.askebsa.dol.gov or call 1-866-444-EBSA (3272). If you live in one of the following states, you may be eligible for assistance paying your employer health plan premiums. The following list of states is current as of August 10, 2017. Contact your State for more information on eligibility. GEORGIA – Medicaid Website: http://dch.georgia.gov/medicaid - Click on Health Insurance Premium Payment (HIPP) Phone: 404-656-4507 To see if any other states have added a premium assistance program since January 31, 2017, or for more information on special enrollment rights, contact either: U.S. Department of Labor Employee Benefits Security Administration www.dol.gov/agencies/ebsa 1-866-444-EBSA (3272) U.S. Department of Health and Human Services Centers for Medicare & Medicaid Services www.cms.hhs.gov 1-877-267-2323, Menu Option 4, Ext. 61565 OMB Control Number 1210-0137 (expires 12/31/2019)

WOMEN’S HEALTH AND CANCER RIGHTS ACT The Women’s Health and Cancer Rights Act (“WHCRA”) requires us to notify participants and beneficiaries of our Group Health Plan (the “Plan”), of their rights to mastectomy benefits under the Plan. Participants and beneficiaries have rights to coverage to be provided in a manner determined in consultation with the attending Physician for: • All stages of reconstruction of the breast on which the mastectomy was performed; • Surgery and reconstruction of the other breast to produce a symmetrical appearance; • Prostheses; and treatment of physical complications of the mastectomy, including lymphedema. These benefits are subject to the same deductible and co-payments applicable to other medical and surgical benefits provided under this Plan. For further details, please refer to the Plan’s Summary Plan Description. STATEMENT OF RIGHTS UNDER THE NEWBORNS’ AND MOTHERS’ HEALTH PROTECTION ACT Group health plans and health insurance issuers generally may not, under federal law, restrict benefits for any hospital length of stay in connection with childbirth for the mother or newborn child to less than 48 hours following a vaginal delivery, or less than 96 hours following a cesarean section. However, federal law generally does not prohibit the mother’s or newborn’s attending provider, after consulting with the mother, from discharging the mother or her newborn earlier than 48 hours (or 96 hours as applicable). In any case, plans and issuers may not, under federal law, require that a provider obtain authorization from the plan or the issuer for prescribing a length of stay not in excess of 48 hours (or 96 hours). NOTICE OF SPECIAL ENROLLMENT RIGHTS FOR MEDICAL/ HEALTH PLAN COVERAGE If you decline enrollment in our health plan for you or your dependents (including your spouse) because of other health insurance or group health plan coverage, you or your dependents may be able to enroll in our health plan without waiting for the next open enrollment period if you: • Lose other health insurance or group health plan coverage. You must request enrollment within 31 days after the loss of other coverage. • Gain a new dependent as a result of marriage, birth, adoption, or placement for adoption. You must request health plan enrollment within 31 days after the marriage, birth, adoption, or placement for adoption. • Lose Medicaid or Children’s Health Insurance Program (CHIP) coverage because you are no longer eligible. You must request medical plan enrollment within 60 days after the loss of such coverage. If you request a change due to a special enrollment event within the 31 day timeframe, coverage will be effective the date of birth, adoption or placement for adoption. For all other events, coverage will be effective the first of the month following your request for enrollment. In addition, you may enroll in our health plan if you become eligible for a state premium assistance program under Medicaid or CHIP. You must request enrollment within 60 days after you gain eligibility for medical plan coverage. If you request this change, coverage will be effective the first of the month following your request for enrollment. Specific restrictions may apply, depending on federal and state law. Note: If your dependent becomes eligible for a special enrollment rights, you may add the dependent to your current coverage or change to another health plan.

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Legal Notices Eligibility for Medicaid or a State Children’s Health Insurance Program. If you or your dependents (including your spouse) become eligible for a state premium assistance subsidy from Medicaid or through a state children’s health insurance program with respect to coverage under this Plan, you may be able to enroll yourself and your dependents in this Plan. However, you must request enrollment within 60 days after your or your dependents’ determination of eligibility for such assistance. IMPORTANT NOTICE FROMMÖLNLYCKE ABOUT YOUR PRESCRIPTION DRUG COVERAGE ANDMEDICARE This notice applies to Medicare-eligible Mölnlycke employees and/or their Medicare-eligible dependents that are eligible for prescription drug coverage under one of the medical plans offered by Mölnlycke. If you are eligible for Medicare, if you have a dependent (e.g., spouse or child) that is eligible for Medicare, and/or if you or your dependent will become Medicare eligible in the next 12 months, please read this notice carefully and keep it where you can find it. This notice has information about your current prescription drug coverage with Mölnlycke and the new prescription drug coverage that became available for people with Medicare. It also tells you where to find more information to help you make decisions about your prescription drug coverage. • Effective January 1, 2006, the new Medicare prescription drug coverage became available to everyone with Medicare. This includes Medicare-eligible Mölnlycke employees and their dependents that are eligible for prescription drug coverage through one of Mölnlycke’s medical plans. • Mölnlycke has determined that the prescription drug coverage offered by its medical plan options (excluding Basic HSA Plan) is, on average for all plan participants, expected to pay out as much as the standard Medicare prescription drug coverage will pay. • Read this notice carefully — it explains the options you have under Medicare prescription drug coverage and can help you decide whether or not you want to enroll. You may have heard about Medicare’s new prescription drug coverage, and wondered how it would affect you. Mölnlycke has determined that your prescription drug coverage offered by the Mölnlycke medical plan options (excluding the Basic HSA Plan) is, on average for all plan participants, expected to pay out as much as the standard Medicare prescription drug coverage will pay. Effective January 1, 2006, prescription drug coverage became available to everyone with Medicare through Medicare prescription drug plans, which are generally offered by private insurance companies. These plans provide at least a standard level of coverage set by Medicare. Some plans might also offer more coverage for a higher monthly premium. Your existing Mölnlycke prescription drug coverage is, on average, at least as good as standard Medicare prescription drug coverage, so you can keep your Mölnlycke coverage and later decide to enroll in Medicare coverage without paying a penalty. People with Medicare can enroll in a Medicare prescription drug plan when they are first eligible. Each year after this initial enrollment period, you will have the opportunity to enroll in a Medicare prescription drug plan from November 15 through December 31. The medical plan election you make during the year will generally stay in effect from January 1, 2018 through December 31, 2018. If you elected to not participate in any Mölnlycke medical plan, you would need to demonstrate a qualifying life status event to regain the drug coverage provided under these medical plans. You should compare your current coverage, including which drugs are covered, with the coverage and cost of the plans offering Medicare prescription drug coverage in your area. In addition to prescription drugs, your current Mölnlycke medical plan coverage pays for other health expenses. You may enroll in a Medicare prescription drug plan and continue to participate in a Mölnlycke medical plan to cover your other health expenses. However, the Mölnlycke medical plan will continue to include prescription drug coverage so that your Mölnlycke premium will not be reduced because you also have enrolled in the Medicare prescription drug plan. You should also know that if you drop or lose your prescription drug coverage with the Mölnlycke medical plan and don’t enroll in Medicare prescription drug coverage after your Mölnlycke coverage ends, you may pay more to enroll in Medicare prescription drug coverage later. If you go 63 days or longer without prescription drug coverage that’s at least as good as Medicare’s prescription drug coverage, your monthly premium will go up at least 1% per month for every month that you did not have that coverage. For example, if you go nineteen months without coverage, your premium will always be at least 19% higher than what most other people pay. You’ll have to pay this higher premium as long as you have Medicare coverage. Please Note: You may receive this notice at other times in the future, such as before the next period you can enroll in Medicare prescription drug coverage, and if your Mölnlycke coverage changes. More detailed information about Medicare plans that offer prescription drug coverage will be available in materials that you will receive in the mail from Medicare. You may also be contacted directly by Medicare prescription drug plans. You can also get more information about Medicare prescription drug plans by: • Visiting www.medicare.gov for personalized help, • Calling your State Health Insurance Assistance Program, • Calling 800-MEDICARE (800-633-4227). TTY users should call 877-486-2048.

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