ORGANIZATIONAL MEMO

To recognize Healthcare Company’s many accomplishments last year, we are pleased to share good news on behalf of Healthcare Co.’s Board of Directors and Executive Team and announce a discretionary payment to 2021 employees.

Last year brought many challenges; the ongoing pandemic and its patient surges, nationwide staffing shortages, and the California Fire’s gut-wrenching burn through our county. And while 2021 was one of the few years our organization experienced a financial loss due to these challenges, it also highlighted our exceptional team’s ability to persevere.

In spite of the circumstances, and with smaller teams and traveling staff, we were able to stand up mass vaccination clinics, safely evacuate our patients and health system, and provide medical care for hundreds of firefighters, first responders, and fire support teams. We lived our purpose and provided care to our community and visitors when needed most.

Due to the organization not meeting its 2021 financial goals, no distribution will be made under the Employee Performance Incentive Plan. However, the Board of Directors felt it was of utmost importance to recognize your dedication, loyalty, and steadfastness during this exceptional year. A discretionary payment will be paid to all employees who were hired prior to December 31, 2021; additional details will follow. We are deeply grateful for your professionalism, capability, and collaboration. We are proud of this organization, our Healthcare Co. family, and the excellent care we provide for our community. Thank you for all you did in 2021 and continue to do every day at Healthcare Co.

* Names changed.