This information is intended only as an overview of the major features of the Valkyrie employee benefits program. 
Valkyrie reserves the right to amend or discontinue any plan at any time at its sole discretion.

At Valkyrie, we understand that a well designed benefits program is essential to attract and retain the best and brightest employees.  We’re committed to offering employees a choice of plans that best fits their needs, keeping costs low and satisfaction high.  With family friendly policies and programs that promote healthy lifestyles, Valkyrie endeavors to be the employer of choice for employees.

Here’s a brief look at our company-provided benefits, voluntary benefits, including our 401(k) retirement plan, compensation and paid time off policies. 

BENEFITS

MEDICAL INSURANCE
All eligible employees may select from two health coverage options available through UnitedHealthcare (UHC).  The UnitedHealthcare Choice Plus plans give employees the flexibility and freedom to receive care from any doctor or hospital without a referral. When in-network providers are used, these coverage options pay a higher benefit.  For in-network providers, go to www.myuhc.com.

Employees also may select from two UHC High Deductible Health Plans (HDHP) designed to meet IRS requirements for participants to establish a personal Health Savings Account (HSA) to pay for qualified medical expenses. 

The company contributes 75% of the selected UHC medical plan premium for the employee and his or her eligible dependents.  Employees may elect coverage for employee only, employee and spouse or domestic partner, employee and children, and employee and family.

PRESCRIPTION DRUG BENEFITS
Participants may have prescriptions filled at any participating pharmacy in the U.S. without having to file a claim by simply showing their ID card and paying the appropriate co-payment.  A mail-order prescription option also is available to provide up to a 3-month supply of prescription maintenance medications. 

TRICARE SUPPLEMENT
Full time employees who are retired members of the armed forces and who elect to retain their TRICARE medical coverage may elect ASI TRICARE Supplemental coverage.  Eligible employees who wish to elect the ASI TRICARE Supplemental coverage are required to pay 100% of their TRICARE supplement, in accordance with the John Warner National Defense Authorization Act for Fiscal Year 2007.  Payroll deductions will be made on a post-tax basis.

DENTAL INSURANCE
UnitedHealthcare dental insurance is offered to all eligible employees. The benefits cover a wide range of dental procedures, including preventive and diagnostic services, basic (restorative) services, major (prosthodontic) services and orthodontia services. For a list of in-network dental providers, go to www.myuhcdental.com.  The company contributes 75% of the UHC dental plan premium for eligible employees and their eligible dependents. Employees do not have to elect medical coverage to participate in the dental plan.  Employees may choose coverage for employee only, employee and children, employee and spouse or domestic partner and employee and family. 

VISION INSURANCE
Eligible employees and their covered dependents can receive eye care benefits from an extensive nationwide network of providers.  Coverage includes routine eye exams (once every 12 months) and benefits toward eyeglasses and contact lenses.  The company contributes 75% of the vision premium. The vision plan may be elected only if the dental plan is elected.  

DISABILITY INSURANCE
Valkyrie provides all full-time employees with short-term disability (STD) coverage at no cost to the employee.  Coverage replaces up to 60% of an employee’s base weekly earnings (up to a maximum of $2,308 per week), beginning on the 15th day of disability.  STD benefits continue for up to 24 continuous weeks or until the disability ends, whichever comes first.  STD benefits are reduced by other sources of income that may be payable to the employee because of the disability. 

Long-term disability (LTD) coverage is also provided at no cost to the employee.  Coverage replaces up to 60% of an employee’s base monthly earnings (up to a maximum of $10,000 per month).  Benefits begin after an employee has been disabled for 180 days.  During the first 24 months, an employee is considered disabled if he or she is unable to perform his or her own occupation.  After 24 months, an employee is considered disabled if he or she is unable to perform any reasonable occupation or if the employee’s loss of earning is at least 20%.  LTD benefits continue until the employee reaches age 65 or the disability ends, whichever comes first.  LTD benefits are reduced by other sources of income that may be payable to the employee because of the disability. 

HEALTH CARE FLEXIBLE SPENDING ACCOUNT PLAN
Valkyrie offers a Health Care Flexible Spending Plan that allows eligible (full-time active) employees who enroll in the program to set aside a certain amount of pre-tax wages to cover out-of-pocket medical expenses, according to specific U.S. Internal Revenue Code-governed rules and requirements.  Monthly elections may range from $20 to $250 per month, in $10 increments.  

RETIREMENT PLAN
Valkyrie provides eligible employees with a 401(k) retirement plan.  All employees are eligible to defer up to 80% of their income (subject to IRS limitations) to their 401(k) plan upon hire.  Immediately upon hire, Valkyrie contributes three percent (3%) of salary, regardless of employee deferral.  In addition, based on the company’s overall profitability at fiscal year end, Valkyrie may make a discretionary profit sharing contribution up to an additional two percent (2%) of salary. There is no vesting requirement at Valkyrie.  Every dollar is retained by the employee immediately upon contribution. 

EDUCATIONAL ASSISTANCE
Valkyrie offers tuition assistance up to $1,500 each calendar year for approved graduate and/or undergraduate college courses, or a maximum of $500 per calendar year for qualifying continuing education expenses.  The maximum per employee per calendar year for all educational assistance is $1,500.  

EMPLOYEE ASSISTANCE PROGRAM (EAP)
Valkyrie provides employees with an employee assistance program that can help improve the quality of an employee’s life both on and off the job.  Through a convenient toll-free number, personalized web site and an audio library, employees can receive help from professionals for any questions or concerns, around the clock.  All members of the employee’s household are eligible to receive prepaid, professional counseling within the program’s parameters.  All services are completely confidential.

ADOPTION ASSISTANCE
Valkyrie provides reimbursement for qualifying expenses incurred through a private adoption or through licensed adoption agencies, up to $1,500 for each adoption, after the employee meets six months of service.

COMMUTER BENEFITS PROGRAM
Full-time Valkyrie employees are eligible to participate in the Commuter Benefits Program (administered by WageWorks, a national provider of pre-tax commuter benefits plans) that allows them to pay for mass transit and parking expenses with pre-tax dollars through convenient payroll deduction.  WagesWorks also may offer discounted passes to help further reduce an employee’s commuting cost.

CREDIT UNION
Comprehensive credit union services available via payroll deduction from People’s Trust Federal Credit Union include:
Savings, checking, money market accounts, CDs, IRAs, VISA, MasterCard, ATM card, auto, consumer, mortgage and home improvement loans.

529 COLLEGE SAVINGS PLAN INFORMATION
529 College Savings plans can help employees meet the significant financial challenge of saving for a child’s higher education.  529 plans are state-sponsored college savings programs that are available to any U.S. resident, regardless of state residency.  These plans offer a variety of important tax and investment benefits, including federal tax exemption on earnings, few if any income restrictions, generous funding limits and estate planning features.  Valkyrie provides employees convenient online links to information on seven representative state-sponsored 529 plans. 

BASIC LIFE AND PERSONAL ACCIDENT INSURANCE
Valkyrie provides full-time employees with basic life insurance and personal accident coverage equal to one times base annual earnings, with a minimum of $15,000 to a maximum of $50,000 at no cost to the employee. Employees are covered anywhere-whether at work, at home or away on vacation.

VOLUNTARY BENEFITS

GROUP UNIVERSAL LIFE INSURANCE
Full-time active employees may select Voluntary Group Universal Life Insurance to supplement their basic coverage and provide an added layer of financial protection for themselves and their families.  Employees pay the full cost of Voluntary Life coverage through after-tax payroll deductions. 

Employee Coverage
There are six employee coverage levels to choose from, up to a maximum benefit of $2,500,000. 

1 x base annual earnings              3 x base annual earnings              5 x base annual earnings
2 x base annual earnings              4 x base annual earnings              6 x base annual earnings

Evidence of insurability over 3 x salary or $500,000 whichever is less, is required.

Dependent Coverage
A spouse may select from the coverage levels shown below, regardless of whether the employee has elected voluntary life insurance coverage.  Two coverage levels are provided for any dependent children.  

Evidence of insurability is required for spouse coverage of more than $20,000.

VOLUNTARY PERSONAL ACCIDENT INSURANCE
Full-time active employees may purchase Voluntary Personal Accident Insurance coverage for themselves and their dependents.  Evidence of insurability is not required.  Employees pay the full cost through after-tax payroll deductions.  Voluntary Personal Accident Insurance benefits are reduced beginning at age 70.

Employee Coverage
Employees may select from five coverage levels, with a maximum benefit of $2,000,000:

1 x base annual earnings              3 x base annual earnings              5 x base annual earnings
2 x base annual earnings              4 x base annual earnings             

Dependent Coverage
An employee may elect family coverage. Coverage levels depend on the makeup of the family.

Spouse only:	60% of the employee coverage amount.
Spouse and child:	50% of the employee coverage for the spouse; 10% for each dependent child.
Child(ren) only:	15% of the employee’s coverage amount for each dependent child.

OTHER VOLUNTARY INSURANCE PRODUCTS
Employees may elect Aflac personal insurance products effective January 1, 2008.  Aflac offers the following plans:

- Personal Accident Indemnity Plan
- Personal Cancer Indemnity Plan
- Personal Long-Term Care Plan

Employees who choose to purchase any of these products from Aflac will have the option to pay for their Aflac coverage through payroll deduction on a post-tax basis. 

PAID TIME OFF

FLEXIBLE SCHEDULE
Valkyrie permits employees to set their working hours within certain business constraints. Employees are required to submit a schedule that satisfies customer and Valkyrie management requirements.

PERSONAL DAYS
Four personal days are selected by the employee and may be taken at employee discretion with supervisor approval.  Unused personal days may not be carried over to the next calendar year.  (New hires are granted a pro-rated number of personal days based on the calendar quarter in which their full-time hire date occurs.)

HOLIDAYS
Full-time employees are eligible for certain holidays immediately upon hire.  Valkyrie observes the following holidays:

New Year’s Day                                                Labor Day
Memorial Day                                                   Thanksgiving
Fourth of July                                                    Christmas

ANNUAL LEAVE
Full time employees earn paid time off based on years of service and level as follows:

Employees may carry over a maximum of 80 hours of accumulated leave to the next calendar year. Accumulated leave in excess of 80 hours on December 31 of each year will be paid out to the employee. 

COMPENSATION

SALARY OR HOURLY WAGES
Exempt employees are compensated on a weekly salaried basis, regardless of the number of hours worked.  Non-exempt employees are compensated at an hourly rate for all hours worked.  All employees are paid bi-weekly.

COMPENSATED OVERTIME
Exempt employees may earn straight pay equal to their hourly rate for direct hours worked over 40 in a work week.  Non-exempt employees receive an additional premium portion equal to half their hourly rate, in addition to their straight pay, for all hours worked over 40 in a work week.  Non-exempt employees in certain states such as California receive the premium portion of pay, in addition to their straight pay, for hours worked over 8 in a work day. 

BONUS PLAN
Employees may receive bonuses periodically, including personal end-of-the-year bonuses.  These discretionary bonuses may be based on individual merit, professional achievements, and customer satisfaction.  Other factors include business development initiatives and direct and indirect labor hours performed.

COMPENSATION REVIEWS
Valkyrie conducts annual employee compensation reviews on a company-wide basis following the close of its fiscal year end.   The company’s overall performance, profitability, market rates and the employee’s individual performance are determining factors for any change in compensation.  Changes to hourly wages for employees assigned to certain contracts may occur when a new prevailing wage register is invoked on the contract.