Master handbook

WELCOME TO ATD-AMERICAN CO. A Winning Team!

PARTNERS FOR A “COMMON PURPOSE”

ASSOCIATE HANDBOOK BENEFITS AND POLICIES ATD-AMERICAN CO. Wyncote, Pennsylvania

Four Generations of Superior Service . . . Since 1931 Revision date: November 2016

ATD-AMERICAN CO. JEROME M. ZASLOW Chairman of the Board and Chief Strategist

To our associates: Welcome to ATD-AMERICAN CO! You are now part of a team that has serving institutions, government and business worldwide since 1931. business dedicated to delivering high quality products, outstanding competitive prices.

We are a source of experience for

been successfully We are a family service and low our customers.

Our greatest strength is our people. For over 75 years, our associates have taken pride in developing strong relationships with over one million customers and thousands of suppliers.

We set the highest standards for ourselves in order to delight our customers and to meet or exceed their expectations.

Attached is our Associate Handbook, which describes our benefits and policies. We offer a comprehensive benefits package to reward you for the outstanding contributions you make.

At ATD-AMERICAN CO. we expect all employees to respect each other and have a willingness to help wherever and whenever we are needed.

We appreciate your hard work and loyalty. We look forward to working with you for many years to come.

Sincerely, ATD-AMERICAN CO.

Jerome M. Zaslow Chairman of the Board and Chief Strategist Email: jeromemzaslow@atd.com

135 GREENW OOD AVENUE WYNCOTE, PA 19095-1396 (215) 576-1000 FAX (215) 576-1827 E-MAIL american@atd.com SUPPLYING INSTITUTIONS, GOVERNMENTS AND INDUSTRY . . . WORLDWIDE

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How to Get Ahead at ATD-AMERICAN CO.

Several years ago, I had an interesting experience with a young man whom I had hired only several weeks earlier. His supervisor had brought to my attention that after having been with our company for only a few weeks, he announced to her his intention to leave. His supervisor asked him why he wished to leave. He responded, “I have been told there is no chance for advancement, no opportunity to get ahead.”

Somewhat surprised and puzzled, his supervisor then inquired where he got that idea. He replied that he had “asked around.” Prodding still further, his supervisor elicited the name of the individual who had informed him that little or no opportunity for advancement existed at ATD-AMERICAN CO. His supervisor then responded with a sentence which I have since then used many, many, times. She said: “If you want to know how you can get ahead here, ask someone who is ahead.” Her point was well taken for I think any of us who would like to find out how to be more successful in life should direct our inquiries to the successful person -not to the failure.

I relate this story because, with increasing frequency I am asked: “What are the opportunities for advancement here?” “When will I get a raise . . . how frequently and how much?”

These are all legitimate questions, but I have always found it difficult to answer them because to me, there are no definitive answers to these questions, but rather a conceptual understanding.

Let me; however, cite some illustrations, which might shed light on the formula for success at ATDAMERICAN CO. The following is a list of examples that you might want to follow: 1. Become an expert at your job. Learn as much as you can from everyone you can, and make suggestions to help improve processes and procedures.

2. Identify ways we waste material, time and money and suggest ways we can correct these problems.

3. Try picking up that trash you passed.

4. See yourself as an owner, concerned with more than your own job.

5. Try, not doing what is expected of you, but just a little bit more.

6. Try thinking that every job at ATD-AMERICAN CO. is yours.

7. Try thinking how you can help ATD-AMERICAN CO. prosper, thereby helping everyone connected with ATD-AMERICAN CO. to prosper.

8. Try your level best, and then double it.

So . . . that’s the secret!

I invite comments, so please feel free to talk to me about this issue.

ARNOLD ZASLOW

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USING THIS HANDBOOK This Associate Handbook describes some of the expectations for ATD-AMERICAN CO. (hereinafter “ATD-AMERICAN” or “the Company”) associates and outlines some of the policies, programs and benefits available to eligible associates. This handbook and any applicable supplement shall supersede all previous associate handbooks or employment policies.

We believe that this handbook will provide you with a tool for understanding your job and for developing a productive relationship with ATD-AMERICAN. Please take the time to read this information carefully.

This handbook is not intended to be all-inclusive but is only a guide to our working relationship. Associates are responsible for consulting their supervisors or the HR Department regarding any questions about the policies in this handbook or issues it does not address.

As ATD-AMERICAN continues to grow and our industry experiences change, modifications to the handbook may be necessary.

ATD-AMERICAN reserves the right to make such changes as it deems necessary in its sole discretion, with or without notice. Such revisions may supersede, modify or eliminate existing policies.

Executive Management also reserves the right to deviate from existing policies when it deems necessary due to unique or special circumstances.

The last page of this Handbook is an acknowledgment that you have received, read and will comply with the policies that are outlined in the Handbook. It must be signed, dated and it will be kept in your personnel folder.

If you have any questions about any of the information included in this handbook, please contact Human Resources.

Noncompliance of any policies implied or otherwise may result in termination.

ATD-AMERICAN CO. reserves the right to make changes including but not limited to cancellation of company policies at anytime without prior notice.

“OPEN-DOOR” POLICY The focus of our efforts at ATD-AMERICAN is providing our customers with the highest quality most cost effective products. We believe we can count on our associates to help us accomplish our goal by providing a professional work environment that fosters positive associate relations, as well as productivity, with an eye on profit. Associates will not be subject to reprisals, retaliation or punishment of any sort for reporting concerns in good faith to their supervisor or our HR Department. Associates should feel free to use the following procedures to resolve a problem.

If an associate has a problem he/she should first attempt to resolve it by bringing it to the attention of his/her supervisor or the HR Department. If the supervisor or HR Department cannot resolve the problem, or if the associate feels the problem absolutely cannot be discussed with the supervisor or HR Department, the associates should: · First go to the General Manager · If the General Manager can not help, then see the Executive Vice President for further discussion · Finally, if the Executive Vice President cannot help, the President is available and the decision of the President is final.

While associates are encouraged to begin efforts to resolve problems through their supervisors, associates may bring serious problems directly to the President if the associate feels the problem cannot be resolved within his/her department or by the HR Department. These cases should be rare, however, since the supervisors and HR Department are usually well positioned to deal with problems. In many cases, problems arise because of lack of communication or misunderstanding between the parties. The President is available to enhance communication and mediate those circumstances. These procedures should also be used for complaints of sexual harassment or violations of the Company’s Equal Employment Opportunity policy.

EQUAL EMPLOYMENT OPPORTUNITY ATD-AMERICAN is an affirmative action and equal opportunity company committed to dealing with associates in a nondiscriminatory manner based on job-related qualifications and abilities. We conform to all the laws, statutes, and regulations concerning equal employment opportunities and affirmative action. We strongly encourage women, minorities, individuals with disabilities and veterans to apply to all of our job openings. We are an equal opportunity employer and all qualified applicants will receive consideration for employment without regard to race, color, religion, gender, national origin, disability status, Genetic Information & Testing, Family & Medical Leave, Sexual Orientation and Gender Identity or Expression, protected veteran status, or any other characteristic protected by law.

We prohibit Retaliation against individuals who bring forth any complaint, orally or in writing, to the employer or the government, or against any individuals who assist or participate in the investigation of any complaint or otherwise oppose discrimination.

AMERICANS WITH DISABILITIES ACT It is the policy of ATD-AMERICAN to abide by all provisions of the Americans with Disabilities Act. We will not discriminate against any individual who demonstrates the qualifications necessary to perform the essential duties of a particular position in the

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organization. No medical or physical disabilities will be considered as a factor in satisfactorily performing a job/task except for those which are critical to the performance of such task and a reasonable accommodation is unavailable.

A reasonable accommodation is any modification or adjustment to a job or the work environment that will enable a qualified applicant or employee with a disability to participate in the application process or to perform essential job functions without creating a hardship for the company.

DISCRIMINATION/HARASSMENT ATD-AMERICAN will not tolerate discrimination or harassment of any kind against an applicant, associate, customer, vendor, or ANYONE involved in any way in the ATD-AMERICAN process. Harassment may include verbal or physical conduct and/or the display of written or graphic materials that denigrates an individual because of their race, color, sex, religion, national origin, veteran status, age, disability, sexual orientation or any other protected status and creates an intimidating, hostile or offensive environment.

Sexual harassment is defined as unwelcome sexual advances, requests for sexual favors or other verbal or physical conduct of a sexual nature. Sexual harassment may include a range of subtle and not so subtle behaviors between individuals of different sexes or individuals of the same sex, including, but not limited to, the following examples: · · · · · · · · · ·

Unwanted sexual advances; Subtle or overt pressure for sexual favors; Sexual jokes, flirtations, innuendoes, advances or propositions; Verbal abuse of a sexual nature; Graphic commentary about an individual’s body; Comments on sexual prowess or deficiencies, sexual preferences or sexual habits; Leering, whistling, touching, pinching, assault or coerced sexual acts; Suggestive, insulting or obscene comments or gestures; Display in the workplace of sexually suggestive objects or pictures; or Intimidation, ridicule and insults based on gender.

Any type of unlawful harassment, whether in the workplace or during outside work-sponsored activities, is unacceptable and will not be tolerated. ATD-AMERICAN encourages individuals who believe they are being harassed to promptly advise the offender that his or her behavior is inappropriate and/or unwelcome. The offensive conduct may have been thoughtless or based on a mistaken belief that it is welcome. In any event, respond immediately; do not ignore the problem. We recognize, however, that if it is uncomfortable for an individual, it is not necessary for the individual to confront an offender. ATD-AMERICAN requires associates who believe they have been the victim of or have witnessed discrimination or harassment, regardless of who the offender may be, to contact the HR Director. Associates who report such behavior in good faith or who participate in an investigation of harassment allegations will not be subject to retaliation.

ATD-AMERICAN will attempt to resolve allegations of illegal harassment or discrimination by a prompt and thorough investigation, discussions with persons involved and/or appropriate disciplinary action against persons found to have engaged in illegal harassment or discrimination. All associates are expected to cooperate fully in the investigation process. Any associate who knowingly conceals information or provides false information will be disciplined accordingly and may be terminated.

To the extent possible, all complaints will be kept confidential. Confidentiality, to the extent possible, will extend to both the charging party and to the person accused of sexual harassment or discrimination, as well as to all documentation resulting from the investigation.

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Benefits Package ·

Health Insurance Program

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401(k)

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Paid Time Off (PTO)

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Job Posting System

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Career Pathing

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Direct Deposit

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Profit Sharing (when applicable)

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Holidays

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Lunchroom Facilities

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Media Center

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Flex Time (when applicable)

Benefit Eligibility Medical and Dental Benefit eligible associates may sign up for benefits after the required waiting periods are met. Medical and Dental Benefits are available the first of the month following 60 days of employment. A Medical and Dental Benefit eligible associate is defined as any associate who consistently works 30 hours or more per week.

Any Paid Time Off Benefits including PTO, Holidays, Bereavement and Jury Duty are available exclusively to Full Time Associates defined as Associates consistently working 40 hours per week. Paid Time Off Benefits are available after 90 days of employment.

Part-time associates are ineligible for company benefits, including but not limited to PTO time, optional holiday, holiday and health insurance. A part-time associate is defined as any associate who consistently works less than 40 hours per week. However, if the part-time associate has been with the company in a full-time capacity, previously, for 15 years or more, they may be eligible for some, prorated, company benefits.

INSURANCE PROGRAMS Eligible associates are provided the opportunity for health and dental coverage. Information regarding health insurance will be provided to eligible associates, upon request. ATD-AMERICAN reserves the right to terminate or make changes to associate benefit programs, including but not limited to insurance carriers, terms or levels of coverage, or associate contribution requirements.

Following a successful introductory period, ATD-AMERICAN will pay half the cost of the base plan single subscriber rate for health th and dental insurance. Upon the beginning of the associate’s 5 year, ATD-AMERICAN will pay the full single subscriber rate of the base plan.

The Company sponsors a group healthcare plan that is subject to the Health Insurance Portability and Accountability Act (HIPAA).

On the basis of that law, privacy regulations now apply to certain protected health information. The Company as plan sponsor has adopted the following policy to comply with these regulations. The Company’s medical privacy policy will continue to apply to medical information, and the Company will comply with all other federal and state laws concerning medical privacy.

The Company generally only performs enrollment, changes in enrollment and payroll deductions, and to the extent that it obtains HIPAA-Protected Health Information (PHI), it will maintain that information in confidence. Specifically, the Company will not use or disclose such information for employment-related actions and decisions or in connection with other benefit plans.

PHI refers to individually identifiable health information received by the Company’s group health plan and created or received by a healthcare provider, health plan, or healthcare clearinghouse that relates to the past, present or future health of an individual; the provision of health care to an individual; or the past, present, or future payments for the provisions of health care. Such health information includes health status, medical conditions, claims experience, receipt of health care, medical history, genetic information, and evidence of insurability and disability.

The plan and its insurers will only disclose summary health information to the plan sponsor for the purpose of obtaining premium bids or for the purposes of modifying, amending or terminating the Employment Retirement Income Security Act (ERISA) healthcare plan. The plan and its insurers will not disclose PHI to the plan sponsor. As a plan sponsor, the Company will request summary health information only for the purpose of obtaining premium bids or for the purpose of modifying, amending, or terminating the ERISA healthcare plan. Summary health information means claims history, claims expenses, or type of claims experienced from which the following information has been deleted:

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Names Street address, city, county, ZIP code (except that geographic information may be aggregated by a five-digit ZIP code All elements of dates (except year) Telephone numbers Fax Numbers Electronic mail addresses Social Security numbers Medical records numbers Health plan beneficiary numbers Account numbers Certificate/license numbers Vehicle identifiers and serial numbers, including license plate numbers Device identifiers and serial numbers Web Universal Resource Locators (URL) Internet Protocol (IP) address numbers Biometric identifiers, including fingerprints and voiceprints Full-face photographic images and any comparable images Any other unique identifying number, characteristic, or code Before assisting associates with understanding the group health plan, filing claims, or disputing claims, the Company will obtain an individual’s authorization to access that person’s protected health information.

The Company, as plan administrator and plan sponsor, will provide plan participants with a summary plan description. A notice of the privacy practices will be provided by the health insurer.

Any protected health information will be secured against unauthorized access.

The Company will discipline (up to and including discharge) associates for improper access, use or disclosure of protected health information or other confidential medical information.

The Company will not take any retaliatory action against any person for filing a complaint, assisting in an investigation, or otherwise opposing any act under the HIPAA privacy regulations.

When protected health information is used for payment of benefits and plan operations, only the minimum necessary information will be released.

PROFIT SHARING PLAN ATD-AMERICAN values its employees and strives to provide all associates with a sense of ownership. To facilitate this, ATD offers non-commissioned employees a discretionary profit sharing plan. Because this plan is based on the Company’s ability to earn a profit, there is no guarantee that a pay out will occur. Eligible employees include all employees who do not receive a commission, who have been employed during the year in which the profits were earned and are employed at the time of distribution. Prorating will occur for partial years of service.

Please see the Human Resources Department for more information and eligibility specifics.

401(k) RETIREMENT SAVINGS PLAN The ATD-AMERICAN 401(k) retirement Savings Plan allows eligible associates to defer a portion of their earnings on a pre-tax basis. Details regarding the 401(k) plan are available from the Human Resources office.

TUITION REIMBURSEMENT ATD-American Co. strives to allow associates opportunities to advance themselves. This is accomplished through internal promotion, in house training and allowing employees to take courses that will enhance their job knowledge. Tuition Reimbursement is available under the following conditions: 1.

2.

3.

4.

The associate is a full time associate in good standing.

The associate has been employed for at least one year.

The associate obtained management approval for tuition reimbursement.

The course work is directly related to the associate's position.

The company will reimburse for tuition costs based on the following schedule: · One hundred percent (100%) for a grade of A. · Eighty percent (80%) for a grade of B. · Fifty percent (50%) for a grade of C. · No reimbursement will be given for classes taken in which less than a grade of C was earned.

Reimbursement of tuition costs for approved courses will be made up to $2,000.00 per calendar year. If the associate terminates employment with ATD within six (6) months of receiving tuition reimbursement, the associate will be responsible for

repaying the company.

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HOLIDAYS ATD-AMERICAN observes several holidays throughout the year, including but not limited to the following: o o o o o o o o

New Year’s Day Memorial Day th Independence Day (July 4 ) Labor Day Thanksgiving Day Thanksgiving Friday Christmas Day Plus one additional holiday assigned by management based on the recommendation of the local chamber of commerce.

All full time associates, who have been employed by ATD-AMERICAN for 90 days or more, are eligible for holiday pay. Any associate, normally eligible for holiday pay, who is absent from work on a work-day preceding or following an indicated holiday, may be ineligible to receive pay for that holiday.

Supplements to this handbook will be posted on the ATD Intranet and may be distributed annually to reflect the dates of holidays.

These annual supplements supersedes the indicated holidays listed above.

OPTIONAL HOLIDAY ATD-AMERICAN offers one (1) optional holiday to all eligible associates. In order to take an optional holiday, an associate must be with ATD-AMERICAN for one year or more.

Eligible associates will be paid for their choice of religious holiday, social holiday or may choose one working day off as an optional holiday. The associate’s manager must approve this day in writing in advance.

PAID TIME OFF (PTO) LEAVE Full Time Hourly Associates: Hourly associates accrue PTO during the year and may use their time as accrued. Time is accrued on a weekly basis.

Full Time Salaried Associates: Salaried associates are granted their PTO to use at any time during the year.

Part Time Associates: Part time associates are not eligible for PTO benefits.

Outside Sales Associates: PTO is computed as a part of the overall base salary and is not considered a bank or subject to a granting schedule. It is expected that Outside Sales Associates will work as necessary to meet and exceed sales goals. In the event that an Outside Sales Associate is unable to work during normal business hours due to personal reasons the associate should notify their manager giving as much advanced notice as possible.

All Associates (except Outside Sales Associates): All full-time associates will receive PTO after they have successfully completed the ninety (90) day introductory period.

The maximum hours based on years of employment are indicated on the chart below.

Within the first three years of employment, a full-time associate is eligible for a maximum of eighty (80) hours per calendar year of PTO. In each consecutive year after the associate has completed three (3) years, the associate will earn additional hours of PTO per the below schedule up to a total of 160 hours.

Years of Completed Employment 0 1 2 3 4

Maximum Paid Time Off (PTO) Eligible Hours Up to 80 80 80 120 128

5 6 7 8

136 144 152 160

PTO usage during busy season is strongly discouraged in affected departments between July 15th and October 10th of each year.

Due to the nature of our business, this is considered “crunch time” and associates in affected departments who are needed in their positions should see their managers for personal day approvals.

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PTO must be applied as incurred. Associates eligible for PTO may not go unpaid if PTO is available.

All PTO remaining unused at the end of the payroll year may be forfeited. All PTO remaining unused in the event of termination may be forfeited.

JURY DUTY ATD-AMERICAN compensates associates subpoenaed to testify or called to serve as jurors in the amount of $40.00 per day.

Associates may use PTO for the balance of a normal paycheck or if appropriate work is available, make up time lost.

BEREAVEMENT LEAVE To assist employees in coping with the loss of a loved one, ATD American Co. will allow three (3) days paid bereavement leave to assist with the funeral arrangements of a close family member including: a. Mother or Father b. Grand mother or Grandfather c. Great Grandmother or Great Grandfather d. Spouse e. Child f.

Sibling An additional two (2) days of unpaid bereavement leave may be taken if Sick / Personal leave and Vacation days have been exhausted.

MILITARY LEAVE A military leave of absence will be granted to associates who are absent from work because of service in the uniformed services in accordance with the Uniformed Services Employment and Re-employment Rights Act. Advance notice of military service is required, unless military necessity prevents such notice or it is otherwise impossible or unreasonable.

FAMILY AND MEDICAL LEAVE POLICY ATD-AMERICAN CO has adopted this policy to implement the terms of the Family and Medical Leave Act of 1993 (FMLA). Eligible associates are entitled to family and medical leave based on the terms and conditions stated in this policy, the regulations issued by the Department of Labor under the FMLA and on the company’s other applicable policies.

A. Definitions: For purposes of this policy, the following definitions apply: 1. “Eligible Associate” means an individual who has been employed by ATD-AMERICAN CO for at least 12 months, has worked at least 1,250 hours during a 12-month period preceding the commencement of the requested leave, and is employed at a worksite with at least 50 associates within 75 miles of that worksite.

2. “FMLA Leave” means leave that qualifies under the Family and Medical Leave Act of 1993, as amended by the National Defense Authorization Act of 2008, Pub. L. 110-181, and the Department of Labor’s regulations and is designated by ATD-AMERICAN CO as so qualifying.

3. “Leave Year” means the 12-month period measured backward from the date each associate’s leave commenced.

4. “Serious Health Condition” means an illness, injury, impairment or physical or mental condition that involves either inpatient care or continuing treatment by a health care provider.

5. “Inpatient Care” means an overnight stay in a hospital, hospice or residential medical care facility, including a period of incapacity or any subsequent treatment in connection with the inpatient care.

6. “Continuing Treatment” includes any one or more of the following: · A period of incapacity of more than three (3) consecutive, full calendar days, and any subsequent treatment or period of incapacity relating to the same condition, that also involves: o Treatment by a health care provider two (2) or more times within 30 days of the first day of incapacity; or o Treatment by a health care provider on at least one occasion, which results in a regimen of continuing treatment under the supervision of a health care provider; · A period of incapacity due to pregnancy or prenatal care; · A period of incapacity or treatment for such incapacity due to a chronic serious health condition; · A period of incapacity which is permanent or long-term due to a condition for which treatment may not be effective; or · Any period of absence to receive multiple treatments by a health care provider.

7. “Covered Servicemember” means a member of the Armed Forces, including a member of the National Guard or Reserves, who is undergoing medical treatment, recuperation, or therapy, is otherwise in outpatient status, or is otherwise on the temporary disability retired list, for a serious injury or illness.

8. “Covered Military Member” means the associate’s spouse, son, daughter or parent on active duty or call to active duty status.

9. “Active duty or call to active duty” means duty under a call or order to active duty (or notification of an impending call or order to active duty) in support of a contingency operation as either a member of the reserve components, or a retired member of the Armed Forces or Reserve.

10. “Serious Injury or Illness,” in the case of a member of the Armed Forces, including a member of the National Guard or Reserves, means an injury or illness incurred by the member in line of duty on active duty in the Armed Forces that may render the member medically unfit to perform the duties of the member’s office, grade, rank, or rating.

11. “Qualifying Exigency” means one or more of the following circumstances:

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· · · · · · · ·

Short-notice deployment – to address any issues that may arise due to the fact that Covered Military Member received notice of the deployment seven (7) or less calendar days prior to the date of deployment; Military events and related activities – to attend any official ceremony, program, or event sponsored by the military that is related to the Covered Military Member’s active duty; or to attend family support or assistance programs and informational briefings sponsored by the military; Child care and school activities – to arrange for alternative childcare; to provide childcare on an urgent or immediate basis; to enroll or transfer a child to a new school; and to attend meetings with school staff that are made necessary by the Covered Military Member’s active duty or call to active duty; Financial and legal arrangements – to make or update financial or legal arrangements related the Covered Military Member’s absence while on active duty; and to act as the Covered Military Member’s representative with regard to obtaining, arranging or appealing military benefits; Counseling – to attend counseling sessions related to the Covered Military Member’s deployment or active duty status; Rest and recuperation – to spend up to five (5) days with a Covered Military Member who is on short-term, temporary rest and recuperation leave; Post-deployment activities – to attend ceremonies and reintegration briefings for a period of 90 days following the termination of the Covered Military Member’s active duty status; and to address issues arising from the death of a Covered Military Member ; and/or Other activities that the ATD-AMERICAN CO and associate agree qualify as an exigency.

B. Reasons for FMLA Leave: An Eligible Associate is entitled to a total of 12-weeks of unpaid leave during each Leave Year in the event of one or more of the following: 1. The birth, adoption or placement for foster care of a son or daughter of the associate and to care for such child.

(Leave must be taken during the 12-month period following the birth or placement.)

2. A serious health condition of a qualifying family member, i.e. spouse, son, daughter or parent of the associate, if the associate is needed to care for such family member.

3. A serious health condition of the associate that makes the associate unable to perform any one or more of the essential functions of his or her job.

4. Any “qualifying exigency” arising out of the fact that an associate’s spouse, parent, son or daughter is on active duty or has been called to active duty in the Armed Forces in support of a contingency operation.

5. An Eligible Associate is entitled to a total of 26-weeks of unpaid leave during a single 12-month period to care for a parent, son, daughter, spouse or next of kin who is a Covered Servicemember, regardless of whether the associate has taken leave for another FMLA qualifying reason in the past 12-months.

Any leave taken under one or more of these circumstances will be counted against the associate’s total entitlement to FMLA leave for that Leave Year.

C. Paid Leave Benefit Coordination with FMLA Leave: FMLA leave under this policy is generally unpaid leave. If, however, the associate is eligible for any paid time off as defined under company policy, the associate may use the paid time off upon the commencement of, and concurrently with, FMLA leave (unless the associate’s own serious health condition has caused the leave and the associate is receiving workers’ compensation benefits). Paid leave will run concurrently with and will be counted toward the associate’s total 12-week or 26-week period of FMLA leave.

Associates on leave that qualifies both as workers’ compensation and FMLA leave who are offered a light duty position will have the option of remaining on FMLA leave without pay (and foregoing the light duty position and additional workers’ compensation benefits) or accepting the light duty position. If the associate accepts the light duty position, then the associate’s right to job restoration (as described below) runs through the end of the applicable Leave Year. If the associate accepts light duty, then s/he retains the right to be restored to the same position the associate held at the time his or her FMLA leave commenced or to an equivalent position.

D. Intermittent or Reduced Scheduled Leave: FMLA leave may be taken intermittently or on a reduced work schedule basis. If FMLA leave is taken intermittently or on a reduced schedule basis, then ATD-AMERICAN CO may require the associate to transfer temporarily to an available alternative position with an equivalent pay rate and benefits, including a part-time position, to better accommodate recurring periods of leave due to foreseeable medical treatment.

Every associate is obligated to make a reasonable effort to schedule medical treatment so as not to unduly interrupt ATDAMERICAN CO operations. Any associate who needs an intermittent or reduced schedule leave shall submit an application for such leave on a form supplied by ATD-AMERICAN CO at the time described above. The associate shall also, within the time limits set forth, furnish ATD-AMERICAN CO with the proper medical certification on Form WH-380-E, which will be supplied by ATDAMERICAN CO, regarding the need for such intermittent or reduced schedule leave. As in the case for other FMLA leaves, ATDAMERICAN CO may require a second or third medical certification. Prior to the commencement of any intermittent or reduced schedule leave, the associate requesting intermittent or reduced scheduled leave must advise the ATD-AMERICAN CO of the reasons why the intermittent/reduced scheduled leave is necessary and of the schedule for treatment, if applicable. The associate and ATD-AMERICAN CO shall attempt to work out a schedule for such leave that meets the associate’s needs without disrupting ATD-AMERICAN CO operations.

E. Associate Notice Requirement: Associates are required to provide ATD-AMERICAN CO with sufficient information to make it aware that the associate needs FMLAqualifying leave, and the anticipated timing and duration of the leave. Sufficient information may include the following: that the

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associate is unable to perform his or her job functions; that the associate’s family member is unable to perform his or her daily activities; that the associate or his or her family member must be hospitalized or undergo continuing treatment; or the circumstances supporting the need for military family leave. When an associate seeks leave due to a FMLA-qualifying reason for which ATDAMERICAN CO has previously provided FMLA-protected leave, the associate must specifically reference the qualifying reason for the leave and the need for “FMLA” leave.

If the need for leave is foreseeable, the associate is required to provide such notice to the Human Resources Director at least 30 days before the commencement of the leave, unless impracticable to do so under the circumstances, in which case notice must be given as soon as possible, generally the same or the next business day. The associate also must follow any ATD-AMERICAN CO policy requiring advance notice, reasons for leave and anticipated start and duration of the leave. Failure to provide advance notice or follow ATD-AMERICAN CO policy when the need for leave is foreseeable may result in delay or denial of FMLA leave. If the leave is not foreseeable, the associate must provide notice to the ATD-AMERICAN CO of need for leave as soon as practicable, and must follow ATD-AMERICAN CO’S normal call-in procedures, as set forth in the TIME AND ATTENDANCE Section of this Handbook. Failure to follow ATD-AMERICAN CO’S call-in procedures, absent unusual circumstances, will result in delay or denial of the leave.

In case of planned medical treatment for a serious health condition, the associate is required to make a reasonable effort to schedule the treatment so as not to disrupt the operations of ATD-AMERICAN CO. Associates are required to give additional notice as soon as practicable whenever there is a change in the dates of scheduled leave. ATD-AMERICAN CO requires that the associate’s health care provider complete a fitness-for-duty certification that specifically addresses whether the associate is able to perform the essential functions of his or her job before the associate can return to work. If the ATD-AMERICAN CO has a “reasonable safety concern,” it may also require periodic fitness-for-duty certifications prior to the associate’s return from intermittent FMLA leave, up to once every 30 days. A “reasonable safety concern” means a reasonable belief of significant risk of harm to the individual associate or others.

Upon receiving sufficient notice of an associate’s need for FMLA-qualifying leave, ATD-AMERICAN CO will notify the associate of his or her eligibility to take FMLA leave within five (5) business days of the request, absent extenuating circumstances. At this time, the ATD-AMERICAN CO will also provide the associate written notice of the associate’s rights and obligations with respect to the leave (as well as providing copies of the required certification form).

F. Application and Medical Certification: A leave to care for the associate’s own serious health condition, or the serious health condition of a covered family member, must be supported by a medical certification completed by the health care provider for the associate or the covered family member. A qualifying exigency leave or a leave to care for a Covered Servicemember with a serious injury or illness must also be supported by a certification.

ATD-AMERICAN CO will provide the proper certification to the associate for his or her respective leave within five (5) business days of the associate’s request for leave. The associate must return a complete and sufficient copy of the appropriate certification to ATD-AMERICAN CO within 15 calendar days of receiving the certification, unless it is not practicable. If the associate returns an incomplete or insufficient certification, then ATD-AMERICAN CO shall advise the associate in writing what additional information is necessary to make the certification complete and sufficient. In order to cure the deficiency, the associate must then return a complete and sufficient certification to ATD-AMERICAN CO within seven (7) calendar days. If the associate fails to cure a deficiency in a certification, or fails to return a certification, within the prescribed time period, ATD-AMERICAN CO may deny the taking of leave.

An ATD-AMERICAN CO representative (other than the associate’s direct supervisor) may contact the associate’s health care provider to clarify or authenticate the medical certification submitted for leave for the associate’s own serious health condition or the serious health condition of a family member. If ATD-AMERICAN CO has reason to doubt the validity of a medical certification, the associate will be required to obtain a second or third opinion at ATD-AMERICAN CO’S expense. Failure to comply with these certification requirements will result in the delay, denial or termination of leave.

An associate who will be on a FMLA leave for more than one (1) week is required to call Human Resources Director weekly to report when and if the associate expects to return to work. ATD-AMERICAN CO may request recertification at any time during the course of the leave for the associate’s own serious health condition, if: (1) the associate requests an extension of leave; (2) the circumstances of the associate’s condition as described in the previous certification have changed significantly, or (3) if ATDAMERICAN CO has reason to suspect that an associate on FMLA leave has fraudulently obtained the FMLA leave. If desired by ATD-AMERICAN CO, a second or third certification in the manner provided above may be required. If the associate’s leave to care for his or her own serious health condition or that of a family member is expected to last more than 30 days, ATD-AMERICAN CO will require a new certification from the associate’s health care provider when leave is scheduled to expire, or every 6 months, whichever occurs earlier.

When ATD-AMERICAN CO learns of an FMLA reason for leave after a leave has commenced under another of ATD-AMERICAN CO policies, ATD-AMERICAN CO will designate the leave as FMLA-qualifying from the commencement of the leave. Associates are required to cooperate in providing ATD-AMERICAN CO with information needed to make this determination.

G. Continuation of Group Health Benefits: ATD-AMERICAN CO will maintain the associate’s coverage (if eligible or applicable) under a group health plan during the period of FMLA leave under the same terms and conditions as though the associate were actively working. During the leave, the associate will be required to make all premium payments that he/she otherwise would have had to make if actively employed. Where feasible,

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ATD-AMERICAN CO will advise the associate concerning the necessary arrangements for such payments prior to the commencement of the leave.

If the associate fails to return to work following the expiration of FMLA leave for a reason other than a serious health condition or circumstances beyond the associate’s control, ATD-AMERICAN CO will be entitled to the repayment by the associate of any premiums paid by ATD-AMERICAN CO during the leave. Failure to make timely premium payments may result in the termination of coverage.

An associate on FMLA leave should deliver payment of the associate’s portion of such premium to Human Resources Director prior to the first work day of each month. Failure to make prompt payment of the associate’s portion of such premium may result in the loss of medical insurance coverage for the duration of the FMLA leave, but upon the associate’s return to work, the medical insurance will be restored as of the date that the associate returns. If the associate does not return from FMLA leave or returns to work, but does not remain an active associate for at least 30 days, ATD-AMERICAN CO may seek to recover the amount paid for such insurance premiums from the associate.

An associate on FMLA leave shall be responsible for the payment of the full premium for all other insurance, pensions and other benefits. Failure of the associate to pay the entire premium for such items shall result in their lapse for the duration of the FMLA leave. If the associate returns from FMLA leave, all such insurance, pension and other benefits shall be restored without any break in service.

An associate shall not accrue any credit toward vacation or other benefits based upon time worked for the time that he or she is on FMLA leave.

H. Return to Work / Fitness-for-Duty Certification: Consistent with ATD-AMERICAN CO practice, before returning to work following a medical leave due to the associate’s serious health condition, the associate will be required to present a fitness-for-duty certification from his/her health care provider that the associate is medically able to resume work and to perform the essential functions of his or her job. If the date on which an associate is scheduled to return to work from an FMLA leave changes, the associate is required to give notice of the change, if foreseeable, to ATD-AMERICAN CO within two (2) business days of the change.

Subject to the limitations below, an associate returning from FMLA leave will be restored to the position of employment held when the leave commenced or to an equivalent position. Job restoration may be denied if conditions unrelated to the FMLA leave have resulted in the elimination of the associate’s position, or if the associate qualifies as a “key associate” (generally the highest paid 10% of the workforce). Key associates may be denied job restoration if it would cause substantial and grievous economic injury to ATD-AMERICAN CO, in which case the key associate will be notified of this decision.

In summary, upon expiration of a FMLA leave, an associate who returns to work shall be restored to the same or an equivalent job, if the associate shall have: 1. Called Human Resources Director in accordance with terms above; 1. Furnished Human Resources Director with proper certifications and recertifications in accordance with terms above; 2. Submitted to any second or third examination by a health care provider upon request of ATD-AMERICAN CO; 3. Furnished Human Resources Director with a medical certification of the associate’s ability to return to work and to perform the essential functions of the job; and returned to work immediately upon expiration of the FMLA leave.

4. Failure to call Human Resources Director weekly, to provide the required medical recertification or to return to work immediately upon expiration of a FMLA leave may result in termination of the associate. Failure to furnish a fitness-forduty certification of the associate’s ability to return to work and to perform the essential functions of the job may result in the delay of job restoration or the termination of the associate.

I. Questions: Questions about this policy or eligibility for FMLA should be directed to the Human Resources Director.

PAYCHECKS AND PAYDAY ATD-AMERICAN pays on a bi-weekly basis and the typical workweek is Sunday through Saturday. If a normal payday should occur on a holiday, the payday will typically be the day preceding the holiday. If the associate is absent on the regular payday, they may pick up their check from the payroll manager when they return to work. No one else may pick up another associate’s check without written authorization from the associate. ATD-AMERICAN will not cash payroll checks.

ATD-AMERICAN strives for 100% accuracy in making wage payments. Mistakes can happen on occasion, so every associate should examine their direct deposit receipt or paycheck stub carefully to be sure that they have been paid the appropriate amount.

Mistakes favoring either the associate or ATD-AMERICAN should be reported immediately so that corrections can be made promptly.

DIRECT DEPOSIT OF PAYROLL CHECKS Direct deposit is the preferred method of payment of wages to associates because it eliminates the chance for paycheck theft and related problems. However, associates may elect to receive wage payments by paycheck instead of direct deposit.

DEDUCTIONS In compliance with federal and state laws, paychecks are subject to deductions for income tax withholdings, Pennsylvania Unemployment Tax and Social Security (FICA/Medicare) contributions and other deductions required under the state and Federal

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laws. The amount of these deductions is computed based upon the earned wages, including any overtime pay, marital status declared and the number of withholding allowances claimed.

In addition, authorized deductions will also be taken for insurance premiums, 401(k) plan contributions or any other voluntary benefit. ATD-AMERICAN may also be required to make associate payroll deductions under a garnishment or attachment of wages.

ATD-AMERICAN strives to follow both the letter of the law and spirit of the law. If an improper deduction is made due to: ü Sickness ü Attendance ü Personal time ü Quantity or quality of work Or any other improper deduction related to hours of work or any additional deduction, please notify your supervisor/manager or Human Resources for an investigation.

EMPLOYEE PURCHASES Employees are able to make personal purchases through ATD-AMERICAN at a discounted rate. This rate is 10% over the price that the company pays for products. This 10% is used to off set administrative costs associated with the purchase.

EMPLOYMENT OF RELATIVES ATD-AMERICAN encourages the employment of relatives insofar as no conflicts of interest exist; or if it is not in the best business interest of the company to accommodate the employment relationship.

EMPLOYMENT OF MINORS Minors may not be employed at ATD-AMERICAN without the advance approval of the HR Department. Minors may never operate motor vehicles in the performance of job duties (must be at least 25 years old to operate an ATD-AMERICAN vehicle). Minors may never be engaged in any job duty prohibited by law. Proper paperwork must be on file in the HR Department for minors approved to work at ATD-AMERICAN. ATD-AMERICAN will comply with all conditions of the law when hiring minors.

FEDERAL IMMIGRATION REQUIREMENTS Each new associate, as a condition of employment with ATD-AMERICAN, must complete the Employment Eligibility Verification Form I-9 and present documentation establishing identity and employment eligibility. If the associate has not produced the proper documentation within three days of their hire date, the associate will not be scheduled to work until the documentation is properly completed. If documentation is not provided within 21 days of their date of hire, employment may be terminated. In addition, ATD complies with the federal E-VERIFY program. If clearance is not obtained for hire through E-VERIFY, employment may be terminated.

BACKGROUND CHECKS All offers of employment and continued employment are conditioned on ATD-AMERICAN’s determination that the results of a background check are satisfactory. A criminal conviction (to include a guilty plea or plea of no contest) will not necessarily disqualify the associate from employment, but all criminal convictions must be disclosed prior to employment on the application form and after employment to their supervisor or the HR Department. The associate is obligated to notify ATD-AMERICAN within five days of any conviction occurring during their employment with ATD-AMERICAN.

ORIENTATION New associates are required to complete a general orientation program to acquaint them with the organization and their responsibilities.

INTRODUCTORY PERIOD Newly hired or rehired associates and associates who transfer or are promoted, serve a 90 day introductory period during which the associate is provided general and job specific orientation. During the introductory period, the associate’s performance is closely monitored. At the end of the introductory period the supervisor may identify the strengths, weaknesses and areas for improvement in the associate’s performance and may conduct a performance evaluation. If the associate’s performance is evaluated as unsatisfactory, the associate may be discharged from employment or the introductory period will be extended for up to an additional 90 calendar days. Successful completion of the introductory period does not alter the at-will employment relationship.

ATTENDANCE Your attendance is extremely important to the success of the Company. We expect employees to strive for perfect attendance and to arrive for work on time. We recognize that, on occasion, you may not be able to come to work or need additional time before you arrive. Sickness and other emergencies cannot always be anticipated and may require you to miss all or part of your work- day.

Excessive absences, or lateness and excessive patterns of absences or lateness may lead to disciplinary action, up to and including termination. If you are absent from work for three (3) consecutive days without notice, the company will consider that you have voluntarily resigned your position.

All associates are expected to be at their desks, after having clocked in, at their regularly scheduled start time ready to begin work.

Associates are provided with a mandatory lunch break, with an adequate amount of time to eliminate lateness in returning.

Lateness and absenteeism are discouraged.

Please see the Discipline section of the handbook for more information.

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HOURS OF OPERATION ATD’s official hours of business are from 8:00 A.M. through 5:00 P.M.

EMPLOYMENT CLASSIFICATIONS All employees fall within one of the following classifications: Full Time – Full time employees are employees who regularly work 40 hours per week.

Part Time – Part time employees are employees who regularly work less than 40 hours per weeks.

In addition to the above classifications, employees are categorized as either “Exempt” (Salaried) or “Non-Exempt” (Hourly) based on federal and state wage and hour laws.

HOURS OF WORK Hourly Associates (Non-Exempt): Hourly associates are paid by the hour and are eligible for overtime for any hours worked over forty (40) hours in a week. Any variations to an associate’s schedule, including overtime hours, must be pre-approved by the supervisor/manager and the General Manager. Hourly associates may be asked to leave early or arrive late in order to remain within a forty (40) hour work week. In addition, management reserves the right to discipline associates who do not get pre-approval for overtime from the supervisor/manager and General Manager. All hourly associates who are out of the office for business reasons are required to complete an Hours Worked Offsite Form. This completed form must be submitted to the supervisor/manager upon returning to the corporate office. Any “non-business” activities conducted during regular business hours, while on business trips, must be preapproved by the supervisor/manager (ex. golf outings, baseball games, etc.). Paid time off will be applied as available to reach a forty (40) hour work week. Associates will go unpaid for time missed in excess of available paid time off.

Salaried Associates (Exempt): Salaried associates are paid a salary for their job, not the quantity or quality of production or time spent working. In addition, salaried associates are not eligible for overtime payments should tasks exceed a normal salaried schedule. Salaried schedules are based on an 8 hour workday; Monday through Friday. Salaried associates who work off site during their normally scheduled work hours due to business or personal needs are required to complete an Hours Worked Offsite Form. This completed form must be submitted to the supervisor/manager upon returning to the corporate office. Prior approval from an executive team member is required to work off site during regular business hours and this information should be reported weekly to their manager. If a salaried associate calls in sick and would like to work from home, preapproval from an executive team member is required and an e-mail must be sent or a phone call made to the supervisor/ manager and the ATD-AMERICAN HR Department noting the hours worked for that day. This information must be communicated no later than 7 PM on the day the associate worked from home and an Hours Worked Offsite Form must be completed. Paid time off will be applied as available to reach a forty (40) hour work week. Unpaid time off is available after all paid time off has been exhausted.

All Associates: All departments must have either a manager or supervisor in attendance by 8 AM. All full time associates, supervisors and managers must be clocked in and at their desk by 9 AM. The only exception to this policy is for the individual who is covering the late night in a sales department. The schedules assigned to each associate, supervisor and manager should be followed. All fulltime associates are expected to work a standard 40 hours a week, commencing Monday through Friday, in accordance with the associate’s scheduled working hours. All associates are expected to commence their work day at the time that was agreed upon, as some job descriptions at ATD-AMERICAN may require an associate to work at an alternate schedule. The majority of work schedules are set with an 8:00 A.M. start time, a one hour lunch, and a 5:00 P.M. dismissal. All associates are encouraged to take a one hour lunch, however if a late arrival or early dismissal is required, associates may take a minimum half hour lunch break with management permission. All associates must take a minimum half hour lunch break to take care of personal business; lunch and any other personal needs that may become a distraction during work hours. Executive Management continues the right to consistently amend or discontinue any job description requiring an alternate schedule.

RESPONSIBILITIES Responsibilities of the Associate If you cannot report to work as scheduled, you must notify your manager or the human resources department who will let your manager know your situation. If your need for time off is foreseeable, you must provide as much notice as possible. If your need for time off is not foreseeable, you must provide as much notice as practicable, but in no event less than one (1) hour prior to your normally scheduled starting time. Of course, if you cannot contact your supervisor yourself, you must have someone do it for you.

When you contact your immediate supervisor you must let them know for how long you will be out and when you expect to return or, as the case may be, arrive for work.

You must submit documentation for absences due to illness of three (3) days or more. Generally, you must provide a document from your doctor or other recognized health care provider that would justify your absence. Likewise, you will need to provide documentation justifying your return to work.

Responsibilities of the Supervisor In addition to ensuring that work is appropriately covered during the employee’s absence, there are a number of other critical actions that supervisors need to take to manage absenteeism. They should: · Ensure that all employees are fully aware of the organization’s policies and procedures for dealing with absence. · Act as the first point of contact when an employee phones in sick.

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· · · · ·

Maintain appropriately detailed, accurate, and up-to-date absence records for their staff and forms, (e.g. date, nature of illness/reason for absence, expected return to work date, doctor’s certification if necessary), in conjunction with Human Resources.

Identify any patterns or trends of absence, which cause concern.

Implement disciplinary procedures where necessary, in conjunction with Human Resources.

Ensure proper supervisory and work coverage on a daily basis.

Set an example for the department by abiding by all ATD attendance rules.

TIME CLOCK RULES Hourly Associates (Non-Exempt): An hourly associate may not clock in more than five (5) minutes before their regularly scheduled start time, nor can they clock out more than five (5) minutes after their regularly scheduled end time, without the written approval of the supervisor/manager.

All hourly associates must clock in at the start of the workday, clock out at lunch, clock in at the end of the lunch hour, and clock out at the end of the workday.

Any lateness or absence will be counted as time eligible for deduction from wages. Makeup time, however, may be permitted by the associate’s supervisor (except in the case of a full day's absence). Time is to be made up in the same week as the lateness or partial absence occurred.

Salaried Associates (Exempt): All salaried associates are to clock in at the start of the day and clock out at the end of the workday.

All Associates: If for any reason the time registers incorrectly on the clock, or if the associate has been prevented from properly entering their code, the associate is to report immediately to their supervisor. The necessary adjustments will be made.

If an associate clocks in up to five (5) minutes before their scheduled start time or up to five (5) minutes past their scheduled end time, the extra time will not count towards overtime.

NEVER, under any circumstances, enter in anyone else’s code or swipe anyone else's card. Violators of this rule may be subject to immediate dismissal.

All associates are required to clock in and out. Any associate who fails to clock in or out, will be subject to disciplinary action. (This policy does not apply to those associates who fail to punch due to traveling.)

OVERTIME Hourly Associates (Non-Exempt): Any hourly associates may receive overtime pay. Overtime pay rate will be one and one-half times the associate’s regular hourly rate.

Example: An associate’s rate is $8/hr; the overtime rate will be $12/hr Before working any overtime hours an associate must have the Overtime Approval Form signed and dated by the supervisor/manager and the General Manager. Failure to obtain pre-approval is grounds for disciplinary action up to and including termination for the supervisor/manager and the associate.

If an associate clocks in up to five (5) minutes before their scheduled start time or up to five (5) minutes past their scheduled end time, the extra time will not be considered as overtime.

Under Federal Wage and Hour Requirements, only the time actually worked in excess of forty (40) hours per workweek is subject to overtime compensation.

Before qualifying for overtime, all makeup time must first be applied. Makeup time is not considered overtime. Sick/personal, vacation and holiday time (hours) will not count towards hours worked for the calculation of overtime.

Salaried Associates (Exempt): Do not receive overtime pay.

WORKING FROM HOME ATD is requiring that all associates report, in person, to the Company’s Wyncote location for business purposes. In addition, all associates must provide advance notice of business travel needs for time and attendance purposes. An approved out of office form must be completed for all business travel.

If an associate is not traveling for business and is unable to physically report to the Wyncote office, the associate may use PTO to supplement any time not worked. Working from home must be pre-approved, in writing by a member of the executive committee. All levels of associates are subject to this policy.

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This policy does not apply to specific, pre-set work at home arrangements preapproved by the executive committee.

MAKE UP TIME All associates may make up lost time. The make up time must be approved by the supervisor/manager in conjunction with Human Resources and an applicable executive team member. All make up time must be worked within the same week it was lost. Make up time is not considered as overtime.

Before working any hours at home an associate must have the Hours Worked Offsite Form signed and dated by the supervisor/manager and an applicable executive team member. Failure to obtain pre-approval is grounds for disciplinary action up to and including termination for the supervisor/manager and the associate.

PERFORMANCE AND COMPENSATION REVIEWS At the conclusion of the introductory period the associate may receive an introductory period performance evaluation from their manager/supervisor to discuss the strengths, weaknesses and areas for improvement in job performance. There after, all Performance reviews will be on the employee’s anniversary date within the position. Wage and salary increases are typically not part of the performance evaluation, whether a 90-day or annual. Performance evaluations are strictly for communication of performance only.

TRANSFERS AND PROMOTIONS In order to meet the staffing needs of ATD-AMERICAN it may become necessary to transfer or promote an associate. The Company will make every effort to satisfy the needs of associates, as it is the Company’s goal to find the perfect ATD job for all associates.

To be eligible for an associate requested transfer, the associates must be in good standing with the Company, have completed one year with the company and/or six months in the associate’s current position. The transfer may be subject to availability of positions and the approval of the ATD supervisor/manager, and senior management.

When promotional or transfer opportunities occur, the Company will always attempt to promote or transfer an associate from within insofar as it is in the best interest of the company. Company initiated promotions and transfers are not subject to specific eligibility requirements and are made based on merit and/or company needs.

ASSOCIATE SUGGESTIONS/IDEAS ATD-AMERICAN welcomes any ideas on products or services or ways in which any part of ATD-AMERICAN’s business or operations may be improved.

Feel free to submit suggestions by forwarding them directly to management.

All product ideas or any other ideas an associate may have while in the employ of ATD-AMERICAN Co., or its subsidiaries becomes and remains the property of ATD-AMERICAN Co.

EMPLOYMENT RECORDS ATD-AMERICAN maintains individual personnel records for each associate. All associate information is confidential and solely the property of ATD-AMERICAN. Copies of any personnel records will not be provided to current or former associates or third parties unless required by law. All information regarding the medical conditions of associates shall be treated as strictly confidential.

Medical information shall be disclosed only on a demonstrated need to know basis and in accordance with the law. Each associate is responsible for promptly notifying ATD-AMERICAN of any changes in name, address, telephone number, dependent information, payroll deductions and emergency contacts.

EMPLOYMENT APPLICATION ATD-AMERICAN relies upon the accuracy of the information the associate provides in their employment application, resume and during the hiring process. Any misrepresentations, falsifications or omissions in any of this information, regardless of when discovered, may result in discharge from employment.

EMPLOYMENT AT-WILL ATD-AMERICAN’s policy is that all associates are employed at-will, meaning that either the associate or ATD-AMERICAN is free to terminate the employment relationship at any time, with or without cause or notice. No member of ATD-AMERICAN’s management staff has the authority to make oral or written promises of employment, which may be inconsistent with the policy of at-will employment. Nothing in this Handbook is intended to, nor does it, create an express or implied contract of employment, guarantee employment for any specific period of time, or guarantee any specific terms or benefits of employment.

MONITORING POLICY In the interest of improving telephone performance and to assure keen quality service, calls may be randomly monitored and taped.

Also, faxing, email and Internet, etc may be randomly monitored. Abuse of any ATD-AMERICAN owned or leased technology may result in termination.

STANDARDS OF CONDUCT AND CORPORATE ETHICS ATD-AMERICAN’s mission is to lead the industry in providing the highest quality, most cost-effective products. Accomplishing this goal depends upon maintaining the highest reputation for integrity. It is the policy of ATD-AMERICAN that its managers, associates,

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representatives, contractors and agents comply with all relevant laws, rules and regulations and adhere to the highest ethical standards in the conduct of our business. ATD-AMERICAN expects loyalty, cooperation and a productive work environment at all times. To accomplish this, associates are expected to: 1. Act in such a manner as to uphold and enhance personal and professional honor, integrity and dignity.

2. Demonstrate the highest standards of personal integrity, truthfulness, honesty, and fortitude in all activities in order to inspire confidence and trust.

3. Treat with respect and consideration all persons, regardless of race, color, sex, religion, national origin, citizenship status, sexual orientation, maternity, marital or family status, veteran status, age, disability or any other reason prohibited by law.

4. Strive for personal and professional excellence and encourage the professional developments of others.

5. Engage in carrying out ATD-AMERICAN CO’s mission in a professional manner as well as collaborating with and supporting others in carrying out the company’s mission. This includes creating an atmosphere consisting of respect, concern, courtesy, and responsiveness.

6. It is each associate’s duty to serve the best interests of customers, both internal and external.

7. Build professional reputations on the merit of services and refrain from competing unfairly with others.

8. Personally keep up to date on emerging issues and display professional competence, fairness, impartiality, efficiency, and effectiveness.

9. Uphold and implement company policies.

10. Conduct organizational and operational duties with positive leadership exemplified by open communication, creativity, dedication, and compassion.

11. Provide management with information and recommendations to improve the company.

12. Conduct business in a way that creates good will with the surrounding community.

13. Avoid any interest or activity that is in conflict with the conduct of their official duties.

14. All associates are expected to respect and protect privileged information to which they have access in the course of their duties.

CONFLICTS OF INTEREST Associates must ensure that none of their outside personal, business or investment interests conflict with the interests of ATDAMERICAN. Conflicts of interest may exist where an associate’s conduct results in improper personal gain or advantage or in any other way creates an adverse impact to ATD-AMERICAN’s interests. Associates should also not accept any gift or benefit that could be viewed as creating a conflict of interest by resulting in improper personal gain. When gifts are received, whenever possible, these gifts should be shared with co-workers. The associate must promptly advise their manager of any situations that may be considered a conflict of interest.

ANTI-BRIBERY POLICY The following practices are prohibited and will lead to disciplinary action which may include termination: · The direct or indirect providing of cash, goods, services, or anything of significant value to a purchasing agent, or to any governmental employee. · The acceptance of cash, goods, services, or anything of significant value from a supplier.

Any questions regarding this policy should be directed to Human Resources immediately.

ANTITRUST COMPLIANCE POLICY All employees of ATD-American Co. must comply with all federal, state, and local laws that regulate their conduct, including among other laws, the federal, state and foreign antitrust laws. The objective of the antitrust laws is to allow consumers to receive the benefits of competition by prohibiting price fixing, bid-rigging, and market allocation.

Price fixing is an understanding among competitors that increases, decreases, or stabilizes the price at which competitors sell their products or services. Examples include agreements among competitors: establishing minimum prices, establishing maximum prices, not to grant discounts or give coupons, setting credit terms, establishing pricing formulae or methodologies, establishing profit margins, setting the price at which bargaining will begin, to limit available surplus products, not to advertise prices, not to submit competitive bids on price, to constrict supply or boycott purchasers, to increase rivals’ costs, to charge a fixed amount above cost, to pool profits, establishing suggested retail prices, and to negotiate prices jointly.

Bid rigging is an agreement among competing (or potentially competing) bidders as to which firm will win a particular contract subject to bids. Examples include agreements between competitors: that a particular bidder will not submit bids, that the bids will be purposefully high, that the bids will be purposefully complementary, comparing bids prior to submission, submitting rotating bids, and/or causing related parties to submit purposefully high bids. It is no defense that some participants lacked capacity to perform the contract.

Market allocation is an agreement among actual or potential competitors establishing: geographic areas that each will serve, geographic areas each will not serve, types of products to be offered (or not offered), and/or types of customers to serve (or not serve).

Under the antitrust laws there is absolutely no defense for any of the conduct described above. For example, your belief that the conduct is lawful would not be a defense. In addition, whether or not the arrangement is successful, arguably reasonable or procompetitive and whether or not the parties involved have large market shares, the law strictly forbids agreements among firms to rig bids, fix prices, limit capacity or allocate markets.

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In sum, no one should enter into an agreement or “understanding” with a competitor establishing: prices, territories, market share, division of markets, production, and/or level of competition. Nor should anyone exchange confidential information, such as profit margins or costs, or enter into agreements or understanding on bids.

BUSINESS TRAVEL AND EXPENSES Some employment positions may require that an associate travel on Company business. When traveling on Company business, associates are representatives of ATD-AMERICAN and should always conduct themselves in a professional manner. Commuting to and from work is not considered as business travel. The associate will not be compensated for and will not otherwise be considered to be working during commuting hours.

All associates that travel are expected to adhere to the following: Associates traveling overnight are required to complete a Travel and Accommodations Request Form.

If an associate is planning on exhibiting or attending any trade show, the Travel and Accommodations Request Form should be completed and sent to the travel coordinator 6 months prior to show date when possible.

If an associate is flying, the airline tickets must be requested a minimum of 25 days in advance of departure date.

Any expenses (excluding car rentals) incurred during travel must be charged to the corporate credit card, unless otherwise stated.

Each traveler is responsible for obtaining itemized receipts for all expenses for the trip. If the associate does not have an itemized receipt, they will be held responsible for that amount.

The following are the recommended daily expenses Breakfast $ 10 Lunch $ 15 Snack $ 5 Dinner $ 25 -------Total $ 55* *Does not include 15% tip The maximum amount to tip to be added to a check is 15%. If the associate chooses to tip more than 15% on any bill, the overage will be the associate’s responsibility and will be deducted from any monies owed to them.

All associates must fill out an expense report with all receipts attached. This expense report must be handed in upon return from the trip.

It is understood that in certain areas of the country (New York, Chicago, California) the cost of food is elevated. This is taken in consideration when analyzing the expense report but the traveling associate should act prudently.

At no time should an associate spend ATD-AMERICAN money on alcoholic beverages for individual meals. customer to dinner, please use good judgment.

When taking a

Activities unrelated to the purpose of the travel such as movies, shows, bar fees, sightseeing, fuel for sightseeing purposes, in room mini bar etc., are the associate’s responsibility.

All calls to ATD-AMERICAN must be made using 800-523-2300 All personal calls must be made using phone cards. The associate will be held responsible for any personal calls charged to the hotel room.

Car rental prices are negotiated for rental only. All insurance excluding “Loss of Deductible Waiver” will be covered by ATDAMERICAN’s insurance. If the associate is paying for the rental with either an American Express or “Gold” card, the “Loss of Deductible Waiver” insurance will be covered by the credit card. If the associate is not using an American Express or “Gold” card, the “Loss of Deductible Waiver” insurance should be purchased from the rental agency. If the associate purchases any other insurance from the rental agency, the associate will be held responsible for those charges.

COMPANY PROPERTY ATD-AMERICAN reserves the right to search or inspect any Company property and anything on Company premises at any time, whether or not such property is locked, with or without prior notice. Offices, desks, computers, files and other storage spaces may be provided for the convenience of associates, but they remain the sole property of ATD-AMERICAN. These areas and any articles found in or around them are subject to inspection. Company or personal vehicles located on Company property are also subject to inspection. ATD-AMERICAN also reserves the right to inspect persons entering and/or leaving the premises and any packages or other belongings brought onto Company premises. Articles that are inappropriate for the workplace, including but not limited to, alcohol, illegal or unauthorized drugs, weapons or pornography may be confiscated by ATD-AMERICAN or law enforcement

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agencies. Any violation of this policy, as with all policies stated in this handbook, can subject the associate to disciplinary action, up to and including discharge.

All furniture, equipment, refrigerators, ovens and rugs should be treated with care. Be sure to place your name and date on any items in the refrigerator.

RETURNING COMPANY PROPERTY Associates must return all Company property in their possession upon request. Where permitted by applicable law, ATDAMERICAN may withhold from the associate’s paycheck or expense check the cost of any items that are returned damaged or are not returned at all.

DISCIPLINARY PROCEDURES ATD-AMERICAN management sincerely hopes that disciplinary action never becomes necessary during employment at ATDAMERICAN. In general, associates are expected to conduct themselves in a safe, courteous and professional manner that fully complies with all company standards, policies and procedures. When an associate fails to meet these expectations, ATDAMERICAN reserves the right to implement progressive discipline including a verbal warning, written warning, final warning which may include suspension and finally termination. The use of progressive discipline does not in any way alter the at-will nature of employment with ATD-AMERICAN. In addition, the following offenses may result in immediate discharge. This list is NOT all-inclusive and ATD-AMERICAN reserves the right to discharge associates for other conduct that it deems to be serious in nature.

Types of Infractions Sexual or other harassment of any person on company property.

Theft, attempted theft or the unauthorized possession of property.

Intentional or negligent conduct which results in the damage, destruction or loss of property.

Insubordination or refusal to perform a job assignment.

Unauthorized disclosure of confidential information.

Failure to cooperate in an investigation.

Retaliation against an associate for reporting inappropriate conduct.

Failing to report for work without calling in accordance with policy.

Refusing to permit inspection of desk area, computer, voice phone services, etc

Fighting or any other similar conduct.

Possession of weapons or other dangerous devices or substances.

Violation of company policies or ATD-AMERICAN standards of conduct of any kind.

Falsification of company records.

Violation of safety, health or security rules.

Smoking in prohibited areas.

Sexual conduct on company property.

Leaving work without permission.

Performance deficiencies that jeopardize the operation of the facility, office or operation, and risk or cost ATD-AMERICAN profit dollars.

Violation of the Drug-Free Workplace Policy.

Sleeping on company premises.

In addition: Attendance: If any associate has a history of unreasonable/unexcused lateness and absenteeism, it may affect their career growth with this company and the possibility of a favorable review, negatively impacting personal financial goals as well.

Excessive lateness and absenteeism could result in one of the following corrective disciplinary actions: 1.

2.

3.

Removal of full-time status The associate will then be considered part-time, which includes loss of vacation, sick and holiday pay, along with other related full-time benefits.

Suspension from work without pay.

Termination

If any associate has a history of unreasonable/unexcused lateness and absenteeism, it may affect their career growth with this company and the possibility of a favorable review, negatively impacting personal financial goals as well.

DRUG FREE WORKPLACE All associates are subject to the provisions of ATD-AMERICAN’s Drug-Free Workplace Program, which was adopted to ensure that, to the greatest extent possible, we have a work environment free of the negative effects of drug and alcohol abuse. The Drug-Free Workplace Program is designed to balance ATD-AMERICAN’s goal of a drug-free workplace with the individual applicant’s or the associate’s right to dignity and privacy. The following bullets summarize our Drug Free Workplace Policy: · · ·

Being under the influence of a controlled substance, illegally used drug or alcohol during work hours or while engaged in company business-related activities or on company property; Illegal use, possession, distribution, dispensation, sale or storage of a controlled substance, illegally used drug or drug paraphernalia while engaged in company business-related activities or on company property; Unauthorized consumption of alcohol on the job or while engaged in company business-related activities or on company property;

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· · ·

Refusing to submit to an inspection when required under the Drug-Free Workplace Policy; Conviction of crime that may adversely affect ATD-AMERICAN, the associate’s work performance or safety or the safety of another or others; Refusal to sign the documentation required under the Drug-Free Workplace Policy.

Associates with drug or alcohol problems are encouraged to participate in a counseling or treatment program. However, seeking counseling or treatment will not insulate the associate from disciplinary action for violation of the Drug-Free Workplace Policy or for other performance or workplace violations. ATD-AMERICAN reserves its right to terminate for any violation of the Drug-Free Workplace Policy, subject to any other applicable law.

APPEARANCE Associates are expected to report to work well groomed and appropriately dressed in clean, neat, well-fitted, modest clothing. If an associate reports to work inappropriately dressed, they may be required to return home to change and will not be paid for their time to do so. Monday through and including Thursday is “business casual”. Fridays are “dress down” days.

The following is our Dress Code Policy in full and is subject to change at any time without notice.

ATD-AMERICAN CO. is a business casual company. However, avoid looking unprofessional when dressing “business casual”, INCLUDING dress down Fridays. Simply put, use good judgment when getting dressed for work.

Management reserves the right to amend or remove the business casual/dress down privilege at any time.

When visiting with a vendor or interviewing a perspective associate, dress in a professional, business manner: MEN: Shirt with necktie, slacks and/or suit.

WOMEN: Dress, skirt and blouse, pants and blouse or suit.

Regular business days: (Monday through Thursday) MEN: Shirt with necktie or collar shirt, sweater, dress slacks or casual slacks.

WOMEN: Dress, skirt and blouse, pants and blouse or suit. Sweaters are also allowed.

Dress down Fridays: MEN: Collar shirts, casual slacks, clean jeans without rips, tears or writing. Shirts should be tucked in. Clean sneakers or casual shoes.

T-Shirts are allowed however they must not be offensive or inappropriate for the work atmosphere.

WOMEN: Dress, skirt and blouse, pants and blouse, suit or clean jeans without rips, tears or graffiti. Clean sneakers or casual shoes.

T-Shirts are allowed however they must not be offensive or inappropriate for the work atmosphere.

Note: Jeans and T-Shirts are only permitted on Fridays.

The following apparel is not permitted on any day: Tops controversial branded t-shirts jerseys tube halter midriff tank sun dresses

Bottoms sweat suits running/jogging suits tight fitting leggings

Shoes beach type sandals flip-flops

Nothing too short, too tight, too plunging or too revealing is permitted.

The Executive Committee will expect each and every manager/supervisor to comply with and enforce all company policies, including the Dress Code Policy. The Executive Committee and the Human Resources Director will have the final say of what is compliant and what is non-compliant.

SMOKE FREE WORKPLACE Due to the health concerns arising from exposure to environmental tobacco smoke, ATD-AMERICAN CO has instituted this policy to provide a smoke-free environment for all employees and visitors. This policy covers the smoking of any tobacco product.

Employees will be informed of this policy at initial orientation with Human Resources, through the Employee Handbook, and will receive orientation and enforcement by their supervisors.

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Smoking will not be allowed within the building or on the premises including parking lots, sidewalks etc…at any time as the company offers a smoke free workplace.

Associates who smoke will be allowed one (1) five-minute smoke break during morning hours and one (1) five-minute smoke break during afternoon hours. An Associate must clock out if they leave the premises for a smoking break and clock back in when they return after the 5 minute break. Associates may also smoke before clocking in to begin work, during lunch, and after clocking out in the evening.

There will be no smoking in company vehicles at any time.

The company will assist employees who wish to quit smoking by reimbursing expenses associated with smoking cessation products as long as they are approved in advance.

Any violations of this policy will be handled through standard disciplinary procedures.

SOLICITATION AND DISTRIBUTION Associates may not solicit other associates, vendors or clients without permission from the Human Resources Director. Associates may not distribute literature for any cause or purpose during working time without permission from the Human Resources Director.

TELEPHONE USE Personal telephone calls while on work premises are discouraged. When absolutely necessary, an exception will be made but such calls should be brief and seldom. Family and friends should be discouraged from calling associates at work, except in an emergency situation. Under no circumstances should an associate make a long distance call on a company phone, unless the call is business related.

E-MAIL AND TECHNOLOGY E-mail (electronic mail), voice mail, access to the Internet and ATD-AMERICAN’S computer software is technology that has been provided by ATD-AMERICAN at its own expense and is ATD-AMERICAN’s private property. It is another tool for use in business transactions or business communication. This includes: ·

· · ·

Associates are not to use this technology for personal, private or non-business matters or to communicate personal, private or non-business matters. This includes sending or forwarding emails regarding sales, solicitations, requests for donations or other personal communications that are of a non-business nature. Emails of this nature will be viewed as a policy violation and will be disciplined accordingly.

Associates may not use the technology to solicit business for a non-work-related venture or for any personal cause, including political or religious issues.

Associates are strictly forbidden from communicating anything that might be construed as harassment or offensive to others based on race, sex, gender, sexual preference, disability, age, religion, national origin or physical appearance.

Associates are strictly forbidden from printing, downloading or sending any sexually explicit images, messages, cartoons, or jokes. If an associate receives these from another person, he or she must immediately advise the sender that they are not permitted to receive such information and not to send it again. If an associate needs assistance in responding to situations such as that described above, the associate should contact the HR Department.

E-mail and voice mail messages can be traced to the sender even after they have been “deleted”. ATD-AMERICAN reserves the right to regularly review, audit and download e-mail messages that associates send or receive and may monitor Internet access. By using these media, associates agree to waive any privacy they may have in these communications. If associates are found to have created or sent abusive or inappropriate e-mail or voice mail or participated in non-work-related activities with the Internet, such as chat rooms, or downloaded abusive or inappropriate matters from the Internet, they will be subject to discipline, up to and including termination.

Associates have no right of privacy with respect to ATD-AMERICAN’s software (including information on a hard drive), e-mail, voice mail or Internet access. Simply because an associate may have a password does not mean that any right of privacy exists.

Associate cannot use unauthorized or secret passwords and all passwords must be shared with management. Violation of this provision will subject an associate to discipline.

CELLULAR PHONE USE Personal cellular phones may be used, upon occasion for necessary and appropriate circumstances. The usage of cellular phones cannot interfere with work productivity. All cellular phone ringers should be turned off and placed on vibrate only.

All associates are prohibited from using cellular telephones while driving personal vehicles on company business and prohibited from using cell phones while using company vehicles. Although ATD-AMERICAN recognizes the benefits and wide use of cell phone usage, the first responsibility of driving is to operate your vehicle responsibly, safely and without undue distractions.

Associates having accidents or injuries due to cellular phone use will not be covered by ATD-AMERICAN’s liability policy.

SOFTWARE LICENSES ATD-AMERICAN licenses and uses software from a variety of outside companies. ATD-AMERICAN does not own this software or its related documentation and unless authorized by the software developer, does not have the right to reproduce it except for backup purposes.

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With regard to server and network applications, ATD-AMERICAN associates shall use the software only in accordance with the license agreements. ATD-AMERICAN associates shall not download or upload unauthorized software over the Internet. ATDAMERICAN associates learning of any misuse of software or related documentation shall notify their Supervisor or the HR Department.

According to applicable copyright law, persons involved in the illegal reproduction of software can be subject to civil damages and criminal penalties including fines and imprisonment. ATD-AMERICAN does not condone the illegal duplication of software. ATDAMERICAN associates that make, or use unauthorized copies of computer software shall be disciplined as appropriate under the circumstances. This discipline may include termination.

Any doubts concerning whether an associate is making a copy or using unauthorized software should be raised with the IT Department and Human Resources.

BULLETIN BOARDS Bulletin boards are maintained for the purpose of communicating matters related to ATD-AMERICAN business, as well as legal notices required by law. All notices must be approved by the HR Director prior to display on the bulletin boards.

GUESTS Any and all guests, that would include vendors, customers and former associates, must register and sign in at the front desk. The Receptionist will then call the associate being visited. At that point, the associate should go to the front desk and escort the guest into and through the ATD buildings.

CHILDREN ON THE ATD PREMISES Children 14 years of age, or younger, are disallowed on all ATD premises, both inside the buildings and outside.

A quick visit of 15 minutes, or less, is permitted but not encouraged. Children are to be closely monitored if there is a 15 minute visit. Visits longer than 15 minutes are disallowed.

The management of ATD understands the potential for injury when children play in a building that is intended for working adults. A place where scissors, sharp pencils, pens, staplers, etc., are commonplace. Also, when things are missing or broken, the children may be blamed.

This policy is applicable at all times unless suspended for specific children’s programs promoted by the Employee Recreation Department.

SAFETY ATD-AMERICAN endeavors to provide a safe work environment for its associates through compliance with safety laws. Associates are expected to comply with all safety requirements whether established by management or by federal, state or local law, and to use good judgment in performing their job duties. If an accident occurs on the job, the injured associate is responsible for reporting the accident to their supervisor immediately or as soon as possible if medical circumstances delay such reporting. When using equipment, follow all operating instructions, perform required maintenance and exercise caution and good judgment. Associates should always notify their manager of equipment that appears to be damaged, defective or in need of repair. Likewise, if an associate observes a potential health or safety hazard, promptly report it to their manager for investigation and correction.

WORKERS’ COMPENSATION Accidental injuries, which occur during working hours or conditions caused by work activities are covered under our Workers’ Compensation policy. This insurance provides for payment of medical expenses and weekly compensation payments during the period of an employee’s work-related injury or illness.

All injuries, no matter how minor, should be reported to management as soon as possible. You must complete your claim forms promptly in order for your claim to be processed and Company records to be prepared properly. Failure to follow these procedures may affect your ability to receive Workers’ Compensation Benefits.

Policy specific information and documents are posted and available through Human Resources.

COMPANY VEHICLES AND DRIVER SAFETY Associates who are required to drive a company vehicle or personal automobile for Company business are expected to adhere to the Driver Safety Standards of Practice. · Associates should always wear their seat belt and observe all other traffic laws. · Associates should never drive when they are not fully alert and capable of driving safely. · If an associate is involved in an auto accident, they should immediately notify the police and their manager/supervisor. · Associates who are required to drive while performing their duties are responsible for maintaining an acceptable motor vehicle driving record, as well as valid insurance coverage for any personal vehicles used for Company business. · ATD-AMERICAN does not provide insurance for personal vehicles used for Company business and is not responsible for damage to or theft of personal vehicles. · Associates who use their own vehicles for Company business should so notify their insurance carriers. · Associates must be at least 25 years of age to be authorized to drive a company vehicle. · Unauthorized use of a Company vehicle is strictly prohibited.

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WORKPLACE VIOLENCE ATD-AMERICAN has a zero tolerance policy with respect to acts or threats of violence that relate to the workplace. Physical or verbal conduct that harms, threatens, intimidates or coerces anyone at any time is strictly forbidden. This includes, but is not limited to, conduct involving an associate that occurs while off duty and off Company premises, if it negatively impacts ATD-AMERICAN’s interests. Weapons and other dangerous or hazardous devices or substances are prohibited on Company premises. Engaging in conduct in violation of this policy will result in discipline up to and including discharge from employment and may result in criminal prosecution. All such conduct must be reported to Human Resources, or a manager, as soon as possible.

EMERGENCY CLOSE Hourly Associates: If work is unavailable, due to circumstances beyond our control, ATD-AMERICAN reserves the right to limit work hours for hourly associates without compensation.

Any associate who wishes to make-up lost time might do so provided the make-up time is approved by the supervisor/manager AND that it is worked within the same week it was lost. There is a choice of any combination of the following: Be docked for the day Come in on a Saturday and make up the time Use sick/personal time, if it is available Work at home with supervisor/manager approval and must submit the completed Hours Worked Off-Site form At no time, will the associate be “paid in advance” for hours that might be worked to compensate for lost wages/hours.

Salaried Associates: If work is unavailable, due to circumstances beyond our control, standard payroll policies apply.

PARKING As ATD-American has grown over the years and our lots are not large enough to accommodate all of our staff, thus we have only limited spaces available. Once those are full, alternative means for parking must be found, i.e. side streets and so on. Parking will be on a first come basis. If an associate chooses to leave for lunch or any other reason their space cannot be held. Parking policy is subject to but not limited to the contents of this policy. Parking policy can change at any time.

To accommodate everyone at ATD needing parking, those who arrive earliest, utilize the unrestricted street parking before using the lot.

Please report any unauthorized vehicles illegally parked in our lot or garage.

When parking please make sure to respect other associate’s vehicles in the lots. It is asked that everyone leave enough time to park their vehicle properly and park in designated spaces which will make it better for all of us.

Graphic depictions of ATD’s lots and the surrounding neighborhood are available through Human Resources.

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INDEX Page Letter from Chairman of the Board How to Get Ahead at ATD-AMERICAN CO. Using this Handbook “Open-Door� Policy Equal Employment Opportunity ADA Policy Discrimination/Harassment Benefits Package Benefits Eligibility Insurance Programs Profit Sharing Plan 401(k) Retirement Savings Plan Tuition Reimbursement Holidays Optional Holiday PTO (Paid Time Off) Vacations Jury Duty Bereavement Leave Military Leave FMLA Leave Paychecks and Payday Direct Deposit of Payroll Checks Deductions Employee Purchases Employment of Relatives Employment of Minors Federal Immigration Requirements Background Checks Orientation Introductory Period Attendance Hours of Work Employment Classifications Hours of Work Responsibilities Time Clock Rules Overtime Makeup Time Performance and Compensation Reviews Transfers and Promotions Associate Suggestions/Ideas Employment Records Employment Application Employment At-Will Monitoring Policy Standards of Conduct and Corporate Ethics Anti-Bribery Policy Conflicts of Interest Business Travel and Expenses Company Property Returning Company Property Disciplinary Procedures

2 3 4 4 4 4 5 6 6 6 7 7 7 7 8 8 8 9 9 9 9 12 12 12 13 13 13 13 13 13 13 13 13 13 14 14 15 15 15 16 16 16 16 16 16 16 16 17 17 17 18 18 19

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INDEX Page Drug Free Workplace Appearance Smoke Free Workplace Solicitation and Distribution Telephone Use E-Mail and Technology Cellular Phone Use Software Licenses Bulletin Boards Guests Children in the Workplace Safety Workers’ Compensation Company Vehicles and Driver Safety Workplace Violence Emergency Close Parking

19 20 20 21 21 21 21 21 22 22 22 22 22 22 22 22 23

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