Benefits Summary (2007) HOLIDAYS • 11 paid holidays per year • New Year’s Day • Memorial Day • Independence Day • Labor Day • Thanksgiving Day and the day after • Christmas Holiday (2 days) • Three Floating Holidays accrued annually PAID TIME OFF 16 days per year; 21 days after 5 years; 26 days after 10 (PTO) years of service. Employees may take PTO for vacation, personal needs, and/or illness.  PTO accruals are capped at two times the annual accrual rate. HEALTH  Company pays 100% of employee only coverage.  Employee plus dependents, the employee pays 25% of coverage cost.  (See Benefit Cost Summary) Medical   Aetna POS II Plan - See summary sheet   United Health Care EPO Plan - See summary sheet   Kaiser Permanente (Southern California Only) - See summary sheet Dental MetLife Insurance - See summary sheet Vision Care   Vision Service Plan (VSP) - See summary sheet 401(K) Eligible the first of the month following commencement of employment.  Maximum employee contribution is the IRS limit (for 2006, $15,000) or 25% of salary, the lesser of the two amounts.  Company matches 50% of employee’s contribution up to 6% of salary.  For maximum company match, employee must contribute 12% of salary.  Rollover’s can be deposited any time. ESPP Eligible employees are allowed to purchase shares of L-3 Communications common stock at a discount of at least 15%. LIFE INSURANCE  Employee Coverage is two times annual salary to a maximum of $700,000 paid for by the company. Employees may elect to purchase dependent coverage for their spouse and children and supplemental coverage for themselves.  Premiums for company sponsored life insurance over $50,000 are taxable as ordinary income under IRS Regulations.  You will be taxed for any additional premium for coverage above $50,000 on your W-2 each year. This is a minimal tax. LONG-TERM DISABILITY Coverage 60% of base salary, to a maximum of $25,000/month with a ninety-day elimination period. EDUCATIONAL REIMBURSEMENT Full-time employees are eligible after 3 months of service.  Dynamic Positioning and Control Systems encourages employees to pursue college, trade or adult courses of study which will enhance the employee’s value to the company.  Maximum benefit amount is $2,000 per year for tuition only, and must be approved in advance. SAN DIEGO CREDIT UNION The credit union offers many services to it’s members: checking, home banking, investment accounts, credit cards, loans & leasing and real estate loans.  OTHER  Dependent Care and Medical Flexible Spending Accounts.  Auto and home insurance programs. Mortgage assistance plan. Optional Employee and Dependent Life Insurance.  Long Term Care Insurance. Discounts on gym memberships.