PROFIT SHARING PLAN

Since 1984, Network Services Company has maintained a qualified retirement plan for its employees called the "Network Services Company Retirement Profit Sharing Plan" (the Plan). Under the terms of the Plan, employees are eligible to participate in the Plan January 1 or July 1 following the date of hire. Network's Plan is a separately funded trust account. The trust is a separate legal entity and assets are held for safekeeping and never revert to the company. Contributions to the Plan are voluntary and discretionary and are determined by the Network Associates, Inc., Board of Directors. The Plan provides for a seven year "graded" vesting with 20% vesting after three years of service and 20% for each additional year thereafter through the seventh year. You are 100% vested at the end of your seventh year or upon the attainment of age 55, while in service at Network.

401(k) PLAN

Network Services Company has a Profit Sharing 401(k) Plan) in which employees can opt to defer a portion of their wages on a pre-tax basis by electing to make voluntary 401(k) contributions to the Plan. Under the terms of the Plan, employees are eligible to participate in the Plan January 1 or July 1 following the date of hire.

Presently the company will match 50% of an employee's before-tax contribution up to and including the first 6% of wages with an annual per employee contribution maximum of $3,000. Employees are always 100% vested in his/her own contributions.

The Company matching amount is subject to a six year graded vesting.

MONEY PURCHASE PENSION PLAN

Network Services Company has a Money Purchase Pension Plan. Currently the company contributes 3% of the employee's qualified gross annual wages to this plan.
The Company contribution is subject to a six year graded vesting.

LIFE INSURANCE PLAN

The life insurance benefit for employees is one and one half times annual salary rounded up to the nearest $1,000. Eligibility begins the first of the month after date of hire. This benefit is offered through Guarantee Life.

OPTIONAL LIFE INSURANCE PLAN

Network offers the benefit to purchase optional life insurance for employee, spouse and dependents. Optional insurance can be purchased in increments of $10,000 up to a maximum of $500,000. The premium is paid by the employee through a payroll deduction. This benefit is offered through Guarantee Life.

SHORT TERM DISABILITY PLAN

Network offers employees who become disabled a percentage of weekly basic earnings for the period of disability. For answers to specific questions concerning the Short Term Disability Plan, you should contact the Human Resource Department.

LONG TERM DISABILITY PLAN

A long term disability benefit is offered after six months of total disability. For answers to specific questions concerning the Long Term Disability Plan, you should contact the Human Resource Department.

MEDICAL COVERAGE

All full-time employees are eligible to enroll in Network Services Company's Medical Insurance Plan, which offers an HMO plan and a PPO plan. A summary of medical benefits is attached. The effective date of health coverage for an enrolled employee is the first of the month following the date of hire. For answers to specific questions concerning the Medical Insurance Program, you should contact the Human Resource Department. Medical coverage options are: single, employee + spouse, employee + children, and family coverage.

DENTAL COVERAGE

In addition, all full-time employees are eligible to enroll in Network Services Company's Dental Insurance Plan, which offers a DMO plan and a traditional dental plan. A summary of the dental benefits is attached. The effective date of dental coverage for an enrolled employee is the first of the month following the date of hire. For answers to specific questions concerning the Dental Insurance Program, you should contact the Human Resource Department.

COST OF MEDICAL AND DENTAL COVERAGE

Network presently pays a substantial portion of the health insurance premium for its employees and helps to cover a portion of cost with an employee co-pay. Network offers a three-tier rate - employee, employee + 1 and family. A schedule of the employee cost is attached.

MEDICAL PRE-TAX BENEFIT

To help further defer the cost of the medical cost for the employee, Network Services Company also offers employees the benefit to elect to have their insurance co-pay deducted from their payroll check on a pre-tax basis.

FLEXIBLE SPENDING 125 PLAN

A Flexible Spending 125 Plan is a plan that enables you to establish accounts to pay for un-reimbursed medical and dependent care coverage. You may redirect part of your salary into your Flexible Spending Account (FSA) to pay for these expenses. The advantage is that your taxable income will be calculated after your elected amounts for expenses. Eligibility for this plan coincides with the medical/dental enrollment and is effective the first of the month following date of hire. This benefit is offered through American Family Life Assurance Company of Columbus (AFLAC).

SUPPLEMENTAL INSURANCE

Network Services Company offers employees the benefit to purchase supplemental medical coverage for the following: Cancer Protection, Hospital Intensive Care and Hospital Confinement & Rehabilitation. The premium is paid by the employee through a payroll deduction. This benefit is offered through AFLAC.

Network Services Company offers employees 9 paid holidays each year. The holidays are: Memorial Day, Independence Day, Labor Day, Thanksgiving Day, Day after Thanksgiving Day, Christmas Eve, Christmas Day, New Year's Eve, New Year's Day.

Network's basic policy is to provide two weeks of vacation (10 days) for all full-time employees. An employee who has reached his/her seven-year anniversary with the company will be entitled to three weeks of vacation. An employee who has reached his/her seventeenth year anniversary with the company will be entitled to four weeks of vacation. A new employee is eligible for one week of vacation after 6 months of service.

PAID SICK/PERSONAL DAYS

The company understands that employees may need time off for sickness and family emergencies, and therefore offers a liberal benefit of 8 paid sick and personal days.

ATTENDANCE AWARD PROGRAM

The company provides education assistance for courses that are job related, are taken at an accredited educational institution and are approved by the department manager. The following reimbursement schedule will apply - 100% upon evidence of a grade of an "A" and 80% upon evidence of a grade of a "B". The annual maximum amount of tuition reimbursement will not exceed $5,250. For details, please see the Human Resource Department.

INTERNAL JOB POSTING

The policy is to evaluate internal candidates and promote from within whenever possible. Open positions will be posted on the bulletin boards. Any employee interested should notify the Human Resource Department.

EMPLOYEE REFERRAL POLICY

Employees are paid bi-weekly on Fridays.

DIRECT DEPOSIT

HOURS OF WORK

Network Services Company operates on a national level. In order to cover both West Coast and East Coast, it is necessary for Network Services Company to have operating hours from 7:30 am until 5:00 pm. The workweek shall be scheduled in accordance with the department manager and the needs of the department.

SMOKE FREE WORKPLACE

Network Services supports a smoke free environment and smoking of any nature is not permitted in our building.

DRESS CODE

Employees are expected to be dressed and groomed in a manner that promotes safety and reflects the image appropriate to their position. Unless otherwise announced, the dress attire Monday through Friday is "business casual". A copy of the appropriate "business casual" dress can be obtained in the Human Resource Department.