Company Business Practice

International Commuter Assignment

Date Approved: September 16, 2010 PURPOSE This business practice establishes the provisions and objectives of the International Commuter Assignment Program and specifies the terms and conditions applicable to such Assignments. The objectives of the International Commuter Assignment Program are to provide a globally consistent approach to the assignment of technically experienced employees to Host Countries where shortages of skilled local workers exist; maintain flexibility in the assignment of employees to meet the business needs of the Company and its clients; accurately track the location of all Company employees, wherever they are working; promote effective and accurate expense reporting; establish provisions to address mobility issues, geographic hardships, and scheduling changes; and comply with all applicable statutory and tax regulations related to Commuter Assignments. The Company reserves the right to change, amend, modify, or terminate the terms of this business practice at any time. SCOPE This business practice applies to all Employees who are assigned outside their Country of Origin to a single specified Host Country under the terms of an International Commuter Agreement where all the assignment costs are allocated to the Host Country. This business practice does not apply to: Employees who are not classified as international assignees in the Companys HR system of record (SAP) Employees on Long-Term Expatriate Assignments, International Short Term or Developmental Assignments Employees who are classified as Regional Assignees Although this business practice is global in scope, certain provisions may have limited applicability, depending on prevailing market and commercial conditions as determined by the Company. APPLICABILITY TO JOINT VENTURE For a Consolidated/Equity Joint Venture or Consolidated/Equity Nonwholly Owned Subsidiary (NWOS), no business practice is required. Reference No.: 4-16559

BUSINESS PRACTICE 1.0 Terminology 2.0 Assignment Planning and Administration 2.1 Assignment Agreement and Summary of Pay Details 2.2 Temporary Intercountry Deployments 2.3 Product Service Line (PSL) Management Requirements 2.4 Human Resources (HR) Requirements 2.5 Host Country Finance Requirement 2.6 Preassignment Preparation 2.6.1 Visas and Work Permits 2.6.2 Medical Examinations 3.0 Commuter Time Reporting 3.1 Commuter Assignment Day Types 3.1.1 Work Hitch 3.1.2 Field Break 3.1.3 Changeover Day 3.1.4 Stayover Day 3.1.5 Field Break Buyout Day 3.1.6 Remote Location Field Break Travel Day 3.1.7 Travel Delay Day 3.1.8 Statutory Work Authorization Delay Day 3.1.9 Equal Time Off Day 4.0 Compensation 4.1 Base Salary 4.2 Assignment Premiums and Allowances 4.2.1 Daily Commuter Work Site Allowance (DCWA) 4.2.2 Stayover Premium 4.2.3 Field Break Buyout Premium 4.2.4 Geographic Area Premiums 4.2.5 Operating Day Rate (ODR) Premium 4.2.6 Job Ticket Premium 4.2.7 Remote Location Travel Premium 4.2.8 Statutory Work Authorization Delay Allowance 4.2.9 Country of Origin Allowances and Premiums 5.0 Host Country Housing and Expenses 5.1 Cash Advances 6.0 Travel 7.0 Taxes 8.0 Training 8.1 DCWA for Training Days 8.2 Stayover Premiums for Training Days 8.3 Field Break Buyout Premiums for Training Days 8.4 Geographic Area Premium Ineligibility for Training Days 9.0 Assignment Leave and Periods of Absence 9.1 Credited Vacation upon Transition from Commuter Status 9.2 Treatment of Field Break upon Transfer 9.2.1 Transfer to Sequential International Assignment 9.2.2 Transfer from Commuter to Regular Employment Status 9.3 Sick Leave

9.4 Compassionate Leave 9.5 Company Recognized National Holidays 9.6 Leave of Absence (LOA) and Absence Reporting Requirements 9.6.1 Unpaid LOA 9.6.2 Paid LOA 9.6.3 Absence Reporting Requirements 10.0 Health and Group Benefits 11.0 Evacuations 11.1 Medical Evacuation 11.2 Safety/Security Evacuation 12.0 Change of Country of Origin or Point of Origin 13.0 Termination of Employment 13.1 Notice Period 13.1.1 Voluntary Termination 13.1.2 Involuntary Termination 13.2 Severance 14.0 Exceptions _______________________________________________________________________________ 1.0 Terminology Specialized terms and words are found throughout the text of this business practice. If a term or word begins with a capital letter, such as Work Rotation, its meaning can be found under Definitions. Additionally, some terms are defined or detailed within specific provisions of the business practice. 2.0 Assignment Planning and Administration 2.1 Assignment Agreement and Summary of Pay Details An executed Assignment Agreement is required for all Commuter Assignments. The Agreement describes specific terms and conditions of the Assignment. The Agreement is kept on file by the applicable Home Country [or Professional Resources Ltd. (PRL)] HR department. A copy of the executed Agreement is made available to the Commuter. The Assignment Agreement contains details about the Commuters Assignment, including but not limited to: Work Rotation Schedule, Job Code, Title, Pay Grade, Assignment Start Date, Commencing Base Salary, Host Country Assignment Location, Pay Center, Product Service Line (PSL)/Sub-PSL, and eligibility information for various premiums and allowances. Changes to the Assignment details that occur subsequent to the start of the Assignment do not necessitate the generation of an amended Agreement. However, any such changes must be reflected in the electronic personnel record of the Commuter. 2.2 Temporary Intercountry Deployments Commuters are assigned to a single Host Country that is specified in the Agreement, as well as being identified in the Commuters Primary SAP record. The temporary deployment of a Commuter to work outside his or her specified Host Country is an employment practice commonly referred to as loaning. In the event Management loans a Commuter to perform work in another country (the recipient country), the Commuter is eligible for the Area Premium rates applicable to the recipient country. If the Area Premium rates of the recipient country are lower than those of the Commuters Host Country, eligibility for continuation of the higher Host Country Area Premiums can be granted with documented approval by the Commuters PSL Manager and the Host Country Manager. See section 4.2.4 for more details on Geographic Area Premiums. If a Commuter is loaned to his or her

Country of Origin or Home Country, the Commuter will not be eligible to receive that countrys Area Premium rate. Loaning Commuters between countries can incur unintended additional costs for the loaning PSL and expose the Company and the Commuter to additional tax liabilities. Loaning Commuters also presents other potential issues related to export compliance, immigration, and compliance with worker benefit statutes. Host Country PSL managers of Commuters have a fiduciary responsibility to seek the advice and consent of the HR, Law, Tax, and Finance & Accounting departments in the Host Country, as well as those of the recipient country, prior to loaning any Commuter. In all cases, PSL Management in the recipient country must make the HR Department aware of the presence of the loaned Commuter, so that a record of the Commuters presence can be maintained during the applicable time period. 2.3 Product Service Line (PSL) Management Requirements PSL managers whose direct or indirect reports include Commuters are required to comply with the terms and provisions of this business practice. PSL managers must promptly communicate any changes to a Commuters specific assignment conditions to the Host Country HR department, including but not limited to Work Rotation schedule changes, Leave of Absence requests, and Job Abandonment. For example, if a Commuters Work Rotation schedule is changed, the change must be communicated to the Host Country HR department so the Commuters personnel record can be updated. The Host Country Finance department and the relevant Payroll Center use the most current rotation information in the personnel record as a basis for validating and approving payment for various allowances and premiums to the Commuter, so timely communication of such changes is important. Host Country PSL Management is also accountable for the collection and reporting of accurate Commuter assignment time, bonuses, allowances, and premiums to the Host Country Finance function. Claims for PSL-specific pay elements must be itemized separately from standard Commuter Assignment pay elements that are described in section 4.0 (Compensation) of this business practice. Any PSL-specific pay elements claimed by Commuters must be in full compliance with current, approved PSL pay plans. PSL Management is not permitted to implement pay plan changes that affect international Commuters without prior consultation and approval of the Companys Director of Global Compensation and the applicable division or PSL HR lead. The aim of this restriction is to maintain alignment and consistency to a reasonable degree among all the various pay plans for which international Commuters are potentially eligible. 2.4 Human Resources (HR) Requirements The Host Country HR function is tasked with providing guidance and support to the PSL Management team concerning Commuters. It is essential for the Host Country HR department to communicate with PSL Management on an ongoing basis, addressing issues and questions related to compliance with this business practice. HR is also responsible for the maintenance of current and correct information in Commuters personnel records, adhering to the Companys HR processes and procedures. 2.5 Host Country Finance Requirements The Host Country Finance function is responsible for reviewing Commuter timekeeping data submitted at the Host Country PSL level, generating summary reports, and transmitting those reports to the appropriate Home Country (or PRL) Payroll Transaction Centers for payment. The data on the summary reports must be categorized into two groups: (1) pay elements described in section 4.0 (Compensation) of this business practice; and (2) all other pay elements, including certain PSL-specific pay elements that are not described in this business practice.

2.6 Preassignment Preparation 2.6.1 Visas and Work Permits The Commuter must have a passport that is valid for at least one year beyond the entry date into the Host Country. Depending on the Host Country, one or more of the following documents may also be required: work permits, travel visas, residency permits, and special passes. The Commuter is responsible for coordinating with HR to secure these documents. Commuters are not permitted to enter the Host Country or begin an assignment until the necessary visas, permits, and passes have been obtained. The Company covers normal and reasonable fees associated with obtaining these documents. 2.6.2 Medical Examinations Commuters are required to meet all Host Country immunization requirements. The immunization procedures and protocols for each Host Country are requested by submitting a Medical Notification and Protocol Form. Assignees are responsible for keeping a record of immunization and inoculations and required to produce a copy of those records upon request. All Commuters are required to undergo a predeparture physical examination and receive a medical clearance from the Company's Medical Director (or designee) prior to departure. The Medical & Disability department makes the final determination for cases in which deployment has been denied for medical reasons. The Commuters Assignment Start Date will be delayed until all requirements are fulfilled. Commuters are required to undergo follow-up medical examinations every 24 months from the beginning of the first assignment, or prior to starting a new Assignment if more than 24 months has elapsed since the previous examination. If at any time a medical condition is detected that the Company considers a potential hazard to the Commuters own well -being or to other personnel at the work location, the Company reserves the right to terminate the Assignment and repatriate the Commuter to the Country of Origin. If a Commuter is transitioning to a Sequential Assignment, the Commuter is required to obtain a medical clearance from the Companys M&D Department. The M&D Department may, at its discretion, require the Commuter to undergo medical exams and to obtain immunizations/inoculations prior to the start of the assignment. Any out-of-pocket expenses for medical examinations approved in advance by Management are fully reimbursable in accordance with Company Business Practice 4-11059, Travel and Entertainment Expense Reporting. Treatment costs of medical conditions discovered during medical exams are the responsibility of the Commuter. 3.0 Commuter Time Reporting Commuter time is tracked and reported in whole day increments. Each day is considered as either a Work Day or a Nonwork Day and can be described using one of the descriptions found in Table 3.0 below. Premiums and allowances that a Commuter may be eligible to receive while on assignment are described in section 4.2 (Assignment Premiums and Allowances).

Abbr. H ST FBB HC STC FBBC WD EQ

TABLE 3.0 Work Days (Eligible for Allowances and Premiums) Description Work Hitch Stayover Field Break Buyout Hitch Changeover Stayover Changeover Field Break Buyout Changeover Statutory Work Authorization Delay Equal Time Off

Section(s) 3.1.1 3.1.4/4.2.2 3.1.5/4.2.3 3.1.3 3.1.3/4.2.2 3.1.3/4.2.3 3.1.8 3.9

FB TD SK CL LOA UA

Nonwork Days (Ineligible for Allowances and Premiums) Field Break 3.1.2 Travel Delay 3.17 Sick Days Medical Leave 9.3 Compassionate Leave 9.4 Leave of Absence 9.6.1/9.6.2 Unexcused Absence 9.7 Nonwork Days (Eligible for Allowances and Premiums) Remote Location Field Break Travel

RT

3.1.6

3.1 Commuter Assignment Day Types 3.1.1 Work Hitch A Work Hitch Day (also known as a hitch day) is a day that occurs within a Commuters normal Work Rotation, where the Commuter works in a scheduled capacity in the Host Country Assignment Location. If the day occurs outside the Commuters normal Work Rotation, it is not considered as a Work Hitch Day. An extended Work Hitch occurs when a Commuter is required by Management to work in the Host Country Assignment Location past the day on which the scheduled Work Hitch would normally end (based on the Commuters specified Work Rotation). When a Commuters Work Hitch is extended, additional compensation or other considerations may be provided. In such cases, the day(s) comprising the extended work hitch are classified by other valid Day Types defined within section 3.1 (i.e. Stayover Day and Field Break Buyout Day). 3.1.2 Field Break The term Field Break describes the time period that occurs between the conclusion of a Commuters Work Hitch and the start of a subsequent Work Hitch or Field Break Buyout Period. All Field Break time is considered as nonworking time and is ineligible for the premiums and allowances described in section 4.2 (Assignment Premiums and Allowances). An interrupted Field Break can be resumed if the end of a Field Break Buyout Period occurs before the start date of the Commuters next Work Hitch. Field Break time is earned and accumulated during a Work Hitch. Stayover, Field Break Buyout, Equal Time Off, and Remote Location Travel Days do not earn a Commuter a Field Break Day off. The first Field Break of a Commuters Assignment always occurs after the first Work Hitch of the Assignment.

Field Break length is limited to the number of days in the Commuters specified Work Rotation. For example, if the Work Rotation is specified as 28/28 (28 days worked fo llowed by 28 days Field Break), the maximum Field Break period the Commuter can expect to receive in any Work Rotation is a period of 28 days. Stayover Days worked do not increase the duration of a Commuters Field Break. Scheduled periods of Field Break are determined by the Commuters PSL. The actual duration of a Commuters Field Break may vary from one Work Rotation to the next due to operational requirements. 3.1.3 Changeover Day A Changeover Day is any day in which a Commuter works (or trains) in the Assignment Location and begins or ends Field Break travel. The Changeover Day designation can apply to a Work Hitch, Stayover, or Field Break Buyout days. 3.1.4 Stayover Day A Stayover Day is a full or partial day spent working an extended Work Hitch in the Host Country Assignment Location, where the eligible Commuter is engaged in a Managementauthorized, nondiscretionary, operationally utilized capacity beyond the number of days in the Commuters specified Work Rotation. Discretionary activities such as checking/responding to email, expense reporting, or visiting a work site, unless they occur during a scheduled work shift, are not eligible for Stayover pay. 3.1.5 Field Break Buyout (FBB) Day A Field Break Buyout Day can occur when an eligible Commuters Field Break is interrupted and the Commuter works in the Host Country Assignment Location or attends required, Management-authorized training. One or more Field Break Buyout Days comprise a Field Break Buyout Period. Eligibility to claim Field Break Buyout Days is determined at the PSL level. 3.1.6 Remote Location Travel Day Commuters assigned to Host Country Personnel Areas identified as requiring significant travel time are eligible to claim a Remote Location Travel Premium for Field Break days that are spent in the Host Country due to travel delays. The premium can be approved by the PSL manager if the Commuter actually experiences a significant delay while getting to or from the Host Country Work Location. The premium is described in section 4.2.7. 3.1.7 Travel Delay Day Travel Delay Days occur when the Commuter is prevented from returning to the Host Country Assignment Location due to travel delays usually related to weather, flight cancellations, or reservation-booking/ticketing errors. A Travel Delay Day is applicable in circumstances recognized by PSL Management as beyond the Commuters reasonable control. Travel Delay Days are ineligible for any assignment premiums or allowances. However, the Commuter continues to receive Base Salary during the delay period and the missed Work Hitch time is treated as an excused absence. 3.1.8 Statutory Work Authorization Delay Day Statutory Work Authorization Delay Days occur when a Commuter is prevented from working at the Host Country Assignment Location due to delays in obtaining or renewing Host Country work authorization documents. A Statutory Work Authorization Delay Day is applicable in circumstances recognized by PSL and HR Management as beyond the Commuters reasonable control. Such situations typically occur when a Commuter is in transit or still in his or her Home Country or Country of Origin and is required to await issuance of visas, work permits, or

other required documentation that permits employment-authorized activity in the Host Country. Other applications of this day classification require prior consultation with and approval from the Host Country HR department. Statutory Work Authorization Delay Days are Work Hitch days. As such, the Commuter can claim some of the premiums and allowances described in section 4.2, with the exception of Stayover, Field Break Buyout, Job Ticket Bonus, and Remote Location Travel Premiums. A Geographic Area Premium can be claimed using the rate applicable to the country in which the Commuter is located during the delay period. If the Commuter is delayed in his or her Country of Origin or Home Country, then no Geographic Area Premium can be claimed. The Commuter continues to receive Base Salary for the duration of the Statutory delay period. Delay days do not extend the Commuters Work Hitch. The delay period begins the day after the Commuters arrival in the location where the delay occurs. The period concludes on the day prior to the Commuter commencing or resuming work in the Host Country Work Location with the necessary Host Country work authorization. 3.1.9 Equal Time Off Day Equal Time Off is the term used to designate a day where, by agreement between the Commuter and the Commuters manager (or designee), the Commuter works during a time period that would otherwise be considered eligible for Stayover, Field Break Buyout, or other extended duty-related bonuses, but instead receives up to the maximum amount of his or her specified Field Break Days earned. Equal Time Off Days worked do not increase the duration of the Commuters specified Field Break. The Commuter will receive his or her regular Work Hitch allowances and premiums for the Equal Time Off Days worked past his or her Work Hitch. When Equal Time Off is granted to a Commuter, the manager is ultimately accountable for tracking and reporting to the Host Country which day(s) the time off is being granted. In no instance is a Commuter allowed to receive Equal Time Off in addition to bonuses for the same calendar day. Example: A Commuters Work Rotation is 30/30. The Commuter works for 30 days and 5 additional days, days 31-35. Days 31-35 are (EQ) Equal Time Off. The Equal Time Off work days 31-35 are paid as regular Work Hitch days. (No Stayover or Field Break Buyout bonus are paid.) These days would typically be Field Break days, but the Commuter will be granted these 5 days as Equal Time Offset (ETO) in addition to a shortened Field Break of 25 days. The Commuter returns after 30 days off (25 FB days + 5 ETO days). Full Work Rotation: Days 1 30: Work Hitch Days 31 35: (EQ) Equal Time Off work days Days 36 - 60: Field Break Days 61 65: (ETO) Equal Time Off Field Break days Day 66 (Day 1): Beginning of new Work Hitch Total 35 days worked / Total 30 days off 4.0 Compensation 4.1 Base Salary Commuters receive a Base Salary aligned with Country of Origin salary structures, exclusive of any of the premiums or allowances described in section 4.2 (Assignment Premiums and Allowances). Base Salary is paid on a monthly basis in the currency of the Commuters Home Country (or PRL if applicable). The Commuter becomes eligible for Base Salary at the beginning of the Assignment. The beginning date of the Assignment is determined as the Assignment Start Date listed in the Assignment

Details section of the Agreement, or the actual first day of the initial Work Hitch, whichever occurs later. Commuters are eligible to earn Base Salary throughout the Assignment, including Field Break days. If a Commuter voluntarily fails to report to the Assignment Location at the conclusion of a Field Break, the payment of Base Salary by the Company to that Commuter must be suspended. In such situations, the final date of the Field Break becomes the last date on which the Commuter is eligible for Base Salary. Base Salary will also be suspended during periods of unpaid Leave of Absence and unexcused absence. PSL Management is not permitted to authorize payment of Base Salary to Commuters who voluntarily fail to report to work as scheduled, with the exception of absences that meet the criteria for Sick Leave (section 9.3) or Compassionate Leave (section 9.4). 4.2 Assignment Premiums and Allowances A Commuter may be eligible for various assignment allowances and premiums described in this section of the business practice. Eligibility, as well as the methods used to calculate specific pay elements, is dependent on factors such as the Commuters Home Country, Host Country, or Division, PSL, or Sub PSL of Assignment. All pay elements for which a Commuter is eligible are specified in the Summary of Pay Details. The Commuter is ineligible for any pay elements not specified in the Summary of Pay Details. Divisional or PSL-level managers cannot establish, maintain, or authorize payment of nonstandard premiums, allowances, or bonuses outside of documented and approved pay plans. Prior consent of the International HR Manager and the appropriate Divisional HR Lead (as well as additional approvals at the PSL VP level) will be required before obtaining the required approvals from the Corporate Controller, Executive Vice President of Administration and Chief Human Resources Officer (CHRO), and Global Compensation Manager as established in Company Business Practice 4-44092, Nonstandard Employee Compensation. All of the premiums and allowances described in the following subsections are calculated in daily increments unless otherwise specified. 4.2.1 Daily Commuter Work Site Allowance (DCWA) A Daily Commuter Work Site Allowance (DCWA) can be claimed and paid for Work Days (see Table 3.0). A Commuters DCWA eligibility status and the exact amount of the allowance are specified in the Summary of Pay Details, where it is referred to as the International Commuter Premium. The actual amount of the DCWA is dependent on the Commuters Home Country (or PRL) and is paid in the same currency as the Base Salary. The DCWA is not calculated as a percentage of Base Salary or any other pay element. No more than one DCWA can be claimed per calendar day. Other assignment allowances and premiums described in this business practice that make reference to the DCWA (such as the DCWA-equivalent method for calculating Stayover Premiums in section 4.2.2 are not intended to be claimed or paid as a DCWA. The DCWA is primarily intended to recognize and compensate for the days that a Commuter is utilized in a working capacity in the Host Country Assignment Location. It is not intended to compensate solely for physical presence in the Host Country. For example, if a Commuter returns to the Host Country from Field Break but does not begin a Work Hitch until a subsequent day, no DCWA can be claimed for the day(s) preceding the first day of the Work Hitch. Commuters designated as Variable Pay Employees (VPE) are ineligible to claim or receive the DCWA, unless the applicable pay plan of the PSL to which they are assigned specifies DCWA eligibility. A PSL pay plan may include the provision for payment of a Commuter Bonus paid

as a flat monthly amount. In such cases, this bonus is a substitute for a DCWA. PSL-specific pay plans allowing for the payment of a daily allowance to Commuters for days spent outside the Host Country fall outside the scope of the DCWA and cannot be claimed, characterized, or paid as a DCWA or International Commuter Premium. The DCWA is not considered eligible pay for retirement plan purposes. 4.2.2 Stayover Premium A Stayover Premium can be claimed and paid for days designated and approved by the Commuters manager as Stayover Days. Days that fall within a Commuters specified Work Rotation are ineligible for the Stayover Premium. Changeover Days (see section 3.1.3) are eligible for Stayover Premiums if they extend the Work Hitch. The following types of day are ineligible for the Stayover Premium: Work Rotation Days Field Break Buyout Days Equal Time Off Days Stayover Premiums are paid for days directly subsequent to Work Hitch days, and are intended to replace Field Break days. They decrease the Field Break period. The Stayover Premium compensates the Commuter for the Field Break days missed. They decrease the Field Break days by the number of Stayover Days claimed. Example: A Commuters Work Rotation is 35/35. The Commuter works for 35 days and an additional day, day 36. Day 36 is a Stayover Changeover Day. The Commuters Field Break period is 34 days before returning to work for the regular Work Hitch. The Stayover Premium is paid for 1 day, day 36, as a Stayover Changeover Day. This day would typically be a Field Break day, but the Commuter is being paid to stay over which cuts into the Field Break by 1 day. When the Commuter returns after 34 days of Field Break, he is not eligible for Field Break Buyout for day 1 of the Work Hitch as he received a Stayover Premium for one day prior to his Field Break period. Full Work Rotation: Days 1 35: Work Hitch Day 36: (STC) Stayover Changeover Day Days 37 - 70: Field Break Day 71 (Day 1): Beginning of new Work Hitch Total 36 days worked / Total 34 days off Once a Commuters Field Break begins, the previous Work Hitch is considered completed. Any interruption of a Field Break that is in progress is treated as a Field Break Buyout Period and is, therefore, ineligible for Stayover Premiums. The number of approved Stayover Days cannot exceed the number of Work Hitch Days in the Commuters Work Rotation. Extended Work Hitches exceeding the maximum Stayover limit must be approved by exception (see section 14.0 Exceptions). In situations where a Commuter is not required to extend a Work Hitch, but is nonetheless unable to depart the Host Country due to circumstances beyond his or her reasonable control, Host Country PSL Management has the discretion to approve payment of a Stayover Premium. In such circumstances, Management can require the Commuter to report for work or to be on call during the applicable time period.

Managers are discouraged from prescheduling Stayover Days when developing workforce schedules. If operational considerations require a change to a Commuters specified Work Rotation (for example from a 28/28 to a 35/35 rotation), PSL Management is responsible for communicating the Work Rotation schedule change to the Commuter, as well as to the Host Country HR department. The Commuters SAP record must reflect the change. Stayover Premiums are calculated in one of two ways. The applicable method depends on the Division, PSL, and Sub-PSL to which a Commuter is assigned and is specified in the Summary of Pay Details. Executive Management reserves the right to modify, delimit, or otherwise change the Stayover Premium calculation methods at its discretion; however, such changes require consultation with International HR, the Companys Director of Global Compensation, and VP approval at the division level. Commuters who are eligible to receive an Operating Day Rate (ODR) and who are assigned to a PSL whose approved pay plan features a provision for the payment of an Extended Utilization Bonus or Extended Duty Bonus are ineligible to claim or receive a Stayover Premium. Such bonuses are paid as a substitute for the Stayover Premium. See section 4.2.5 for more information about Operating Day Rates. Descriptions of the two Stayover Premium calculation methods, as well as example scenarios, are provided in Table 4.2.2. TABLE 4.2.2 (STAYOVER CALCULATION EXAMPLES) CALCULATION METHOD 1: (THE 1/365TH METHOD) Scenario 1: A Commuter on a 28/28 Work Rotation works 28 days as well as a portion of a 29th day before leaving the Assignment Location on Field Break. The partially worked 29 th day is considered as a Changeover Day and is therefore eligible for a Stayover Premium. Equation: (Commuters Annual Base Salary)/365 the number of Stayover Days = Stayover Premium Calculation Steps: (Annual Base/365) = Daily Base Pay Number of Stayover Days = 1 Daily Base Pay 1 = Stayover Premium Stayover Premium = One [1] Days Base Pay Scenario 2: A Commuter on a 35/35 Work Rotation completes the 36th day of a Work Hitch and then begins a Field Break on the following day. Because the Commuters Work Rotation (specified in the Assignment Agreement) is 35/35, a Stayover Premium can be claimed for the 36th day of the Work Hitch. Equation: (Commuters Annual Base Salary)/365 = Stayover Premium Calculation Steps: (Annual Base/365) = Daily Base Pay Number of Stayover Days = 1 Daily Base Pay 1 = Stayover Premium Stayover Premium = One [1] Days Base Pay CALCULATION METHOD 2: (THE DCWA-EQUIVALENT METHOD) Scenario: A Commuter on a 28/28 Work Rotation extends his or her Work Hitch by one full or partial calendar day. The 29th day is considered a Stayover Day. The Commuters DCWA is $40. Equation: (DCWA) (Stayover Days) = Stayover Premium Calculation Steps:

DCWA = $40 Number of Stayover Days = 1 $40 1 = Stayover Premium Stayover Premium = $40 Scenario 2: A Commuter on a 35/35 Work Rotation completes a Work Hitch of 36 days, departing the Assignment Location on the 36th calendar day after working a partial shift. The Commuters DCWA is $40. Because the Commuters specified Work Rotation was extended into a 36th calendar day, Stayover Premium can be claimed for the 36th day of the Work Hitch. Equation: (DCWA) (Stayover Days) = Stayover Premium Calculation Steps: DCWA = $40 Number of Stayover Days = 1 $40 1 = Stayover Premium Stayover Premium = $40 4.2.3 Field Break Buyout (FBB) Premium The Field Break Buyout (FBB) Premium is the equivalent of the Commuters Daily Base Salary. The premium is intended to compensate for occasional interruptions to a Commuters Field Break. The premium can be claimed in three situations: 1) The Commuter, at the request of Management, returns to work or training in the Host Country prior to the beginning of the next scheduled Work Hitch. 2) The Commuter interrupts a Field Break to attend required training outside the Host Country. Refer to section 8.3 (Field Break Buyout Premiums for Training Days). 3) The Commuters employment is terminated. Commuters are entitled to compensation for unused Field Break time upon termination. If the effective date of the Commuters termination is on or prior to the scheduled end of the last Work Hitch, the maximum number of Field Break Buyout days that can be claimed is equal to the number of days in the final Work Hitch, or the number of Hitch Days specified in the Commuters Work Rotation, whichever is less. If the Commuters effective termination date occurs during an in-progress Field Break, the premium can be used to pay out the remaining days in the Commuters previously scheduled Field Break period. However, if Management sets the effective termination date to match the scheduled end of the Commuters Field Break period, no premium can be claimed. Commuters who are eligible to receive an Operating Day Rate (ODR) and who are assigned to a PSL whose approved pay plan features a provision for the payment of an Extended Utilization Bonus or Extended Duty Bonus are ineligible to clai m or receive a Field Break Buyout Premium. Such bonuses are paid as a substitute for the Field Break Buyout Premium. See section 4.2.5 for more information about Operating Day Rates. The following types of days are ineligible for the FBB Premium: Work Hitch Days Stayover Days Equal Time Off days A Field Break Buyout Day that also meets the definition of Changeover Day (see section 3.1.3) is eligible for the FBB Premium. No FBB Premium can be claimed in advance of future Field Break Buyout Periods. The number of FBB Premium Days claimed in any Work Rotation period

cannot exceed the number of Field Break Days in the Commuters specified Work Rotation. Table 4.2.3 describes typical applications of the Field Break Buyout Premium. TABLE 4.2.3 (APPLICATION OF THE FIELD BREAK BUYOUT PREMIUM) Scenario: A Commuter on a 28/28 Work Rotation is asked to return to work before completing 28 days of Field Break. The Commuter arrives in the Host Country on what would have been the 25th Field Break day with instructions to report for work the following morning. Application: The Commuters Work Rotation schedule specified a 28-day Field Break. The Commuter completed 25 days of the Field Break. Therefore, the Commuter can claim three days of the FBB Premium. Had the Commuters manager required the Commuter to begin working on the same day he or she arrived in the Host Country (day 25 of the Field Break), day 25 would be considered a Changeover Day (see section 3.1 above) and could also be claimed for the FBB Premium. Full Work Rotation: Days 1 28: Work Hitch Days 29 53: Field Break Days 54 - 56: Field Break Buyout Day 57 (Day 1): Beginning of new Work Hitch Total 31 days worked / Total 25 days off Managers should plan or adjust Commuter Work Rotations to minimize Field Break Buyout Periods. The FBB Premium is not to be used as a regularly expected pay element. It is intended only for use when operational circumstances require a Commuter to interrupt or return early from a Field Break. 4.2.4 Geographic Area Premium A Geographic Area Premium, also known as an Area Premium, is paid to Commuters assigned to specific Host Countries where living and working conditions are considered to be relatively challenging or difficult. Area Premium rates are based on data gathered both internally and externally by the Company. Standard rates are applied globally by the Company, without consideration to the relative conditions that might apply in the Commuters Country of Origin. Area Premium rates vary between Host Countries and can even vary between Assignment Locations within a given Host Country. The applicable Area Premium rate is based on the Host Country Personnel Area designation of the Assignee. All Area Premium rates are approved at the Companys executive level and are subject to periodic modification and revision. The Area Premium rate specified in the Commuters Agreement should not be assumed to be applicable for the entire duration of the Assignment. The Company reserves the right to increase, decrease, or eliminate the Area Premium rate for any Assignment Location at its discretion. Area Premiums cannot be claimed or approved for any of the nonwork days listed in Table 3.0. Days spent in attendance at training that occurs outside the Host Country cannot be claimed or approved for Area Premiums even if the country and location where the training occurs has a designated Area Premium rate. However, a Commuter who is sent to provide training in another country can claim Area Premiums applicable to the country where the training is provided. Area Premium rates are comprised of three separate components: Hardship, Risk, and

Location. The three components are collectively referred to as the Total Area Premium, but must be reported by Host Country Finance as separate elements for payroll purposes. The Hardship component is intended to acknowledge Host Country conditions such as: limited medical facilities, climatic extremes, significant cultural or sociological differences, crime levels, potential for abductions for financial gain, pollution, lack of basic amenities, infrastructure problems, and political instability. The Risk component is intended to acknowledge the presence of potential risks in the Assignment Location, such as proximity to military operations, regional or sectarian violence, known incidents of terrorism, and other similar situations. The Location component is utilized in locations where the Company determines that, based on internally gathered data, it is appropriate and necessary to provide additional compensation. The Total Area Premium, expressed as a percentage, is multiplied by the Commuters Daily Base Salary to arrive at a Daily Area Premium. Area Premiums are not subject to hypotax and are not considered eligible pay for retirement plan purposes. 4.2.5 Operating Day Rate (ODR) Premium Operating Day Rate (ODR) Premiums can be claimed by eligible Commuters who perform direct revenue-generating services for the Company at a Host Country job site. ODR Premiums and eligibility requirements are established at the PSL level and eligibility for these premiums is dependent on the PSL and job classification of the Commuter, in accordance with the approved Pay Plan Document of the applicable PSL. Eligibility for the ODR Premium rate is indicated in the Summary of Pay Details. If a specific ODR amount is not listed in the Summary of Pay Details, the Commuter should contact an HR representative for further information. ODR Premiums cannot be claimed or approved for the same Work Hitch day that a Job Ticket Premium is being applied. The premium cannot be claimed for days spent traveling to or from a Host Country with the exception of Changeover Days on which the Commuter performs direct revenue-generating services for the Company. PSL-specific pay plans that include provisions for ODR-equivalent or ODR-derived pay elements while the Commuter is not in the Host Country fall outside the scope of this business practice and cannot be paid under payroll wage types designated for the payment of ODR Premiums. Operating Day Rate Premiums are considered eligible pay for retirement plan purposes. The premium may be modified or discontinued at the discretion of the Company. 4.2.6 Job Ticket Premium Job Ticket Premiums are paid for days spent in the performance of direct, revenue-generating services for the Company at a Host Country job site. When applicable, the Job Ticket premium is specified in the Summary of Pay Details. Premiums may be modified or discontinued at the discretion of the Company. Job Ticket Premiums and eligibility requirements are established at the PSL level and are paid as a percentage of net job revenue. In addition to PSL-specific requirements, the following eligibility criteria apply: Commuters are limited to claiming one Job Ticket Premium per calendar day. The job being claimed for the premium must be completed to the satisfaction of the

client and all aspects of the job must meet or exceed the minimum standards set by the Company. The Commuters individual performance on the related job must be satisfactory or better, as determined by the Commuters manager or designee. If the client is dissatisfied with the job, resulting in the related job invoice not being paid, no premium will be paid to the Commuter. The Job Ticket Premium cannot be claimed or approved for any calendar day that an Operating Day Rate (ODR) Premium is claimed. With the exception of Changeover Days, premiums cannot be claimed or approved for travel days. The Company reserves the right to withhold the premium if any HSE (Health, Safety and Environment) incident occurs on a job that is otherwise eligible for the premium. Job Ticket Premiums are considered eligible pay for retirement plan purposes. 4.2.7 Remote Location Travel Premium Certain Host Country Personnel Areas are designated as Remote Locations by International HR. Commuters assigned to those Personnel Areas are eligible for a Remote Location Travel Premium, when warranted. The premium is intended to compensate Commuters who experience significant in-country or in-region transit time when traveling to or from the worksite at the beginning or end of a Work Hitch. Typically, such delays involve Commuters having to spend one or more nights of their Field Break time in transit within a Host Country. To be eligible for consideration as a designated Remote Location, a Personnel Area must be recognized as having significant Hardship or Risk conditions (see section 4.2.4 Geographic Area Premiums). When designated as a Remote Location, a Personnel Area is assigned a Remote Travel Premium Factor of one to four (1-4). International HR maintains a listing of designated Remote Locations and their factors. Personnel Areas are nominated for Remote Location designation by Host Country HR. Remote Location designation requires the approval of the applicable HR Regional lead, Regional VP, and the Senior Manager of International HR. Commuters assigned to a designated Remote Locations claim the premium by reporting one or more of their Field Break Days as RT (Remote Travel) days (see section 3.0 Commuter Time Reporting), up to but not exceeding the Remote Travel Premium Factor for that location. The number of claimed days must accurately represent the actual number of Field Break Days comprising the Commuters delay period. PSL managers and time approvers are responsible for reviewing claims for accuracy before submitting them for payment. Each day claimed and approved for the premium will result in the Commuter receiving an amount equivalent to the premiums and allowances described in section 4 (Compensation) that he or she would earn on a normal Work Hitch Day, excluding any Stayover, Field Break Buyout, or Job Ticket Premiums. 4.2.8 Statutory Work Authorization Delay Allowance Statutory Work Authorization Delay Days are described in section 3.1.8. When applicable, such days are considered part of the Commuters Work Hitch and all normally eligible allowances and premiums can be claimed and approved. The payable Area Premium rate (see section 4.2.4) is calculated using the total rate applicable to the country in which the Commuter is located during the delay period.

4.2.9 Country of Origin Allowances and Premiums Upon transition to Commuter status, all standard Country of Origin allowances, such as car or housing allowance, are suspended for the duration of the Assignment. 5.0 Host Country Housing and Expenses All Commuters are provided with lodging and meals while in the Host Country or with reimbursements for all actual, approved, and reasonable living expenses in the Host Country incurred while on Commuter Assignment, utilizing one of the three options described below. 1) Staff or Camp Housing: In certain Host Country locations, the Company may provide Commuters with staff or camp housing. Staff or camp housing is usually characterized by common living areas and shared amenities. Some Host Country locations may provide meals or food preparation facilities that are stocked with provisions. Other approved miscellaneous living expenses incurred by Commuters are claimed in accordance with Company Business Practice 4-11059, Travel and Entertainment Expense Reporting. 2) Actual Expense Reimbursement: Commuters working in locations where staff or camp housing is either unavailable or not provided are eligible for reimbursement of actual and reasonable expenses incurred while traveling to and from or working in the Host Country. Reimbursements are claimed in accordance with Company Business Practice 4-11059, Travel and Entertainment Expense Reporting. 3) Meal Per Diems: As an alternative to actual expense reimbursement for meals, the Company may offer Commuters a Meal Per Diem to cover breakfast, lunch, and dinner expenses for each day the Commuter is away from the Country of Origin. Meal Per Diems are not intended to augment the Commuters salary. Commuters who receive a Meal Per Diem are not eligible to claim actual expenses for meals. Rates are established based on validated third-party data or information and are reviewed and updated periodically. Current Meal Per Diem rates for each Host Country location are outlined in Company Business Practice 411302, Per Diems. 5.1 Cash Advances The Company, at its discretion, may advance funds deemed necessary and adequate to cover a Commuters reasonable, approved "out-of-pocket" expenses related to travel to and from the Host Country. Travel advances are not provided to Commuters in every location. Travel advances are requested using the Companys standard expense reimbursement procedures. The amount of any of the Commuters approved expenses will be subsequently credited against the travel advance. Any portion of the advance not used, and/or any expenses claimed but not approved, must be reconciled in a travel expense report, or such amounts will be deducted from the Commuters salary. Additional details are outlined in Company Business Practice 4-11057, Employee Travel Advances. 6.0 Travel Travel between the Commuters Point of Origin and the Assignment Location must be arranged through a Company-designated travel agent and adhere to the provisions of Company Business Practice 4-44194, Halliburton Travel Services. If the Commuter elects to travel to a destination other than the Point of Origin, the Company will pay for the actual cost of travel to that destination subject to Management approval, up to the equivalent cost of airfare to the Point of Origin. The Commuter will not be paid the difference if the cost of a ticket to an alternate location is less than the cost of a ticket to the Point of Origin. Cash-in-lieu of airfare is not allowed under any circumstances. Reimbursement of mileage or transportation expenses incurred between the Commuters place of residence and the Point of Origin is subject to Company Business Practice 4-44194, Halliburton Travel Services.

7.0 Taxes While on Assignment, the Company is responsible for the Commuters income and social security taxes on Company-sourced income in the Host Country. Commuters from the United States who are paid from the US Payroll are taxed according to the regulations of the US Internal Revenue Service. All other Commuters are subject to the terms and conditions of Company Business Practice 4-16506, Tax Treatment for International Commuters. All Commuters are responsible for the payment and filing of Country of Origin taxes. 8.0 Training Training is a key element in the personal growth and career development of any Commuter. Therefore, every Commuter should expect to be required to attend training courses as a condition of employment. Days spent in attendance at Management-required, Company-sponsored training are eligible for premiums and allowances as follows: 8.1 DCWA for Training Days Commuters who are eligible to claim the DCWA (section 4.2.1) while on assignment can claim the DCWA for any days spent in attendance at Management-required, Company-sponsored training. This provision applies regardless of where the training is located. However, under no circumstances can a Commuter claim more than one DCWA for any single calendar day. 8.2 Stayover Premiums for Training Days Stayover Premiums (see section 4.2.2) can be claimed for eligible days spent in attendance at Management-required, Company-sponsored training occurring inside the Host Country. To be eligible for the premium, a training day must meet certain criteria: The training day occurs beyond the end of the Commuters specified Work Rotation. The training occurs inside the Host Country. The training day occurs prior to the start of a Commuters Field Break. The following training days are ineligible for the Stayover Premium: Work Rotation Days Field Break Buyout Days Equal Time Off Days ODR-eligible Days Attendance at training that occurs outside the Host Country is not eligible for Stayover Premiums. 8.3 Field Break Buyout (FBB) Premiums for Training Days Field Break Buyout (FBB) Premiums (see section 4.2.3) may be claimed for eligible days spent attending Management-required, Company-sponsored training. The training can occur inside or outside of the Host Country. To be eligible for the FBB Premium, a training day must occur during an interruption to the Commuters Field Break. The Commuter must also be eligible to receive Field Break Buyout Premiums. The following training days are ineligible for the FBB Premium: Work Hitch Days Stayover Days Equal Time Off Days ODR-eligible Days

If a training event spans a weekend or other days when training is not conducted, those days are still considered to be part of the training period. The last full or partial day spent in training is considered as the final premium-eligible day. Travel time that occurs prior to or after the conclusion of a training event is not eligible for the FBB Premium, unless the Commuter travels immediately and directly to or from the Host Country Work Location in conjunction with the training event. Any indirect travel conducted at the discretion of the Commuter, such as an intermediate stop in the Commuters Point of Origin or alternate location, cannot be considered part of the Field Break Buyout Period and is, therefore, ineligible for the premium. 8.4 Geographic Area Premium Ineligibility for Training Days Commuters and their managers should be aware that while attending training outside the Host Country, Commuters are ineligible to receive Area Premiums (see section 4.2.4). This exclusion applies even in cases when the country location of the training event is designated with an Area Premium rate. 8.5 Cancelled Training Provision In the event a Management-required, Company-sponsored training event is suspended or cancelled after a Commuter has arrived in the training location, the Commuter remains eligible for premiums and allowances described in sections 8.1, 8.2, or 8.3. Eligibility ends when the Commuter departs from the training location. During the time period when the Commuter is in the training location, either awaiting resumption of the training or awaiting departure from the training location, the Commuters manager has the discretionary authority to require the Commuter to engage in alternative, workrelated activities. 8.6 Training Premium Eligibility Exclusions Training Premiums described in sections 8.1 through 8.5 do not apply to employees hired into Company-sponsored training programs that run in conjunction with a Commuter Assignment; or commuters who are on variable pay plans, unless premium eligibility is specified in the relevant PSLs approved pay plan. 9.0 Assignment Leave and Periods of Absence Commuters do not accrue paid vacation time while on Assignment. Paid leave available to Commuters includes: Field Breaks, Sick Leave, and Compassionate Leave. While on paid leave, Commuters continue to receive a Base Salary, but are not eligible for any assignment-related premiums, allowances, or incentives. Prior to beginning an International Commuter Assignment, all accrued vacation time due to the Employee from a previous work engagement with the Company must be paid out to the Employee. No accrued vacation time carries forward to the International Commuter Assignment. If Home Country or Host Country laws require the provision of vacation, the Commuters Field Break time will be deemed as vacation time, up to the amount of vacation required by such laws. 9.1 Credited Vacation upon Transition from Commuter Status Upon completion of a Commuter Assignment and transfer to Regular Employee status, the former Commuter is credited with vacation time (and personal days, if applicable) in accordance with the policies of the country where the regular employment occurs. If vacation time is awarded as a particular number of days per year, the former Commuter is credited with a pro rata share of the remaining days in that calendar year. The pro rata calculation is:

(Annual days of vacation/12 months) number of remaining full months in the current calendar year = credited vacation time Upon transition from International Commuter status to Long-Term Expatriate status, vacation time is credited to the Employee in accordance with the terms of Company Business Practice 4-16489, LongTerm Expatriate Assignments. 9.2 Treatments of Field Break upon Transfer 9.2.1 Transfer to Sequential International Assignment A Field Break from a Commuters previous assignment does not transfer or carry forward to sequential international assignments. The Commuter and the manager of the sequential assignment are jointly responsible for communicating and reaching agreement on an effective transfer date. The agreed upon date should allow the Employee maximum utilization of remaining Field Break time from the previous assignment. Unused Field Break time can be considered as a Field Break Buyout Period, eligible for the Field Break Buyout Premium (section 4.2.3). The cost of the premium is charged against the cost center of the Commuters concluded assignment. 9.2.2 Transfer from Commuter to Regular Employment Status Field Break Days do not transfer or carry forward when a Commuter transitions to local employment terms and conditions. The Employee, the Employees new manager, and the manager of the concluding assignment are jointly responsible for reaching agreement on an effective transition date, one that allows the Employee maximum utilization of the remaining Field Break time. Unused Field Break time can be considered as a Field Break Buyout Period, eligible for the Field Break Buyout Premium (section 4.2.3). The cost of the premium is charged against the cost center of the Commuters concluded assignment. Field Break Days from a Commuters concluded assignment are not reduced or otherwise impacted by vacation days that may be awarded as a result of transitioning to local employment terms and conditions. 9.3 Sick Leave Commuters are eligible to receive paid time off when they are unable to perform normal duties due to illness or injury. The actual paid time off benefits and payment calculations vary depending on the guidelines of a Commuters particular Home Country (or PRL). Commuters who suffer illness or injury during a Field Break are ineligible for Sick Leave benefits until the day following the scheduled end of the Field Break. When illness or injury during a Work Hitch results in a Commuter being absent from a scheduled work shift, the Commuters manager is required to report the absence to the Host Country HR department within three days of the occurrence. Unless the illness or injury is documented and classified as a jobrelated work site incident, each resulting day of absence should be considered as a Nonwork Day (see section 3.0), ineligible for any of the allowances or premiums described in section 4.2. If the duration of the Commuters absence extends beyond the length of a Host Country work week, the Host Country HR department is required to coordinate with the applicable Home Country (or PRL) HR to maintain adherence to sick leave processes, business practices, or policies. Days of absence that occur during a Work Hitch do not automatically extend or otherwise add to the duration of a Commuters Work Hitch. For example, if a Commuter is absent for three days of a Work Hitch, the start date of the Commuters next Field Break is not delayed three days. However, if the Commuter and the PSL manager mutually agree to make up one or more of the missed days, it is permitted as long as the make-up days are worked prior to the Commuters departure on Field Break. Under no circumstances are make-up days eligible for Stayover or Field Break Buyout Premiums.

9.4 Compassionate Leave In the event of a life threatening illness or death of an Immediate Family member, the Commuter is eligible for a maximum of seven days of paid time off, plus reimbursement for round-trip airfare from the Assignment Location to the point of the family emergency at the most practical and economical air fare available. Any time off in excess of seven days, inclusive of travel, is treated as an unscheduled Field Break or Leave of Absence without pay. Compassionate Leave time is ineligible for assignmentrelated allowances or premiums. If the life-threatening illness or death of an Immediate Family member occurs during a Commuters Field Break and results in the Commuter needing to delay the start of his or her next Work Hitch, the Commuter is eligible for an extended Field Break, up to a maximum of seven days, inclusive of travel. However, any travel expenses incurred by the Commuter to the point of the family emergency are not eligible for reimbursement. 9.5 Company-Recognized National Holidays Commuters are ineligible for time off, days off in lieu of, or extra compensation in recognition of any Host Country or Country of Origin work holidays. To the extent possible, provisions for legal and religious holidays observed in the Commuters Country of Origin, Home Country, and Host Country may be taken into consideration when establishing Field Break schedules. 9.6 Leave of Absence (LOA) and Absence Reporting Requirements All requests for Leave of Absence (LOA) are approved or denied according to applicable HR business practices. Eligibility and conditions for LOA vary depending on the Commuters Home Country (or PRL). Therefore, no Commuters manager has the discretionary authority to grant LOA to a Commuter. Benefit programs may be continued during an approved LOA in accordance with the Home Country or PRL benefit program policy or rules. Further information can be found in the applicable LOA business practice for each Home Country or PRL. 9.6.1 Unpaid LOA A Commuter may request unpaid Leave of Absence (LOA) for any of the following reasons: Military service Educational purposes Management request Illness or injury Personal reasons Seasonal reductions in work A Commuter may not be employed by any other company, entity, or organization while on unpaid LOA, except in cases of military service or seasonal reductions in work. Commuters are required to seek and receive Management approval in advance of taking LOA. A Commuter who does not obtain approval for LOA and fails to report for a scheduled work assignment can be considered by Management as having voluntarily terminated from the Company (see section 13.1 below). The manager is required to notify the Host Country HR department when a Commuter has requested LOA, and to furnish HR with details about the request. HR is responsible for verifying that the LOA request is granted or denied in compliance with the LOA provisions of this business practice. If an unpaid LOA request is granted, HR is responsible for the timely updating of the Commuters SAP record with information about the LOA.

9.6.2 Paid LOA A Commuter may request paid LOA for the following reasons: Management request Illness or injury All requests for paid LOA must be submitted in writing by a Commuters manager to the Host Country HR manager. If a paid LOA request is granted, HR is responsible for the timely updating of the Commuters SAP record with information about the LOA. 9.7 Absence Reporting Requirements All Commuter absences must be reported by the applicable PSL manager (or designee) to the Host Country HR department within three days of the start of the absence. When Commuter time is reported for payroll purposes, any day on which a Commuter was absent from scheduled work must be reported using one of the time reporting classifications described in section 3.0 (Commuter Time Reporting). Absence for any reason other than approved Sick Leave, Compassionate Leave, authorized Leave of Absence or an approved Travel Delay, where a Commuter fails to report to work according to his or her scheduled Work Rotation, must be recorded and reported as an Unexcused Absence. Days recorded as such are ineligible for any assignment-related allowances or premiums. 10.0 Health and Group Benefits Commuters are offered the opportunity to participate in a health and group insurance program. Health and group insurance plans are established by the Company for each approved Home Country or by PRL. Plans vary and are subject to modification. Details about each plan, including premium costs, eligibility criteria, and dependent coverage are available through the Commuters Home Country HR department. 11.0 Evacuations Commuters are expected to familiarize themselves with instructions and information regarding the Companys emergency medical and safety/security evacuation programs in the Host Country. Where required, Commuters are responsible for attending any safety and security briefings that are mandated by the Company. Briefings that occur on days outside the time frame of the Commuters Work Hitch are ineligible for assignment premiums and allowances described in section 4.2 (Assignment Premiums and Allowances). 11.1 Medical Evacuation If a Commuter needs emergency medical treatment while outside the Country of Origin, the Company may authorize emergency medical evacuation to a location with suitable medical facilities. Medical evacuation decisions are made at the discretion of the Company medical director (or designee). During a medical evacuation, the Commuter is responsible for providing insurance details to the hospital or clinic. If the hospital or clinic does not recognize or accept the Commuters insurance policy, the Commuter should pay for the associated expenses and then file a reimbursement claim with the insurance company. Expenses not covered by the insurance offered by the Company must be submitted in accordance with Company Business Practice 4-11059, Travel and Entertainment Expense Reporting. If a Commuter is not able to present proof of insurance or cover the hospital or clinic expenses, the Company or a thirdparty provider may initially guarantee these expenses. If the Company pays for any expenses the Commuter is normally responsible for under the Home Country or PRL insurance plan offered to the Commuter, the Commuter will be required to reimburse the Company. Occupational accidents resulting in expenses related to personal injury will be paid for by the Company according to the relevant worker's compensation insurance policy, laws, and/or procedures, if applicable.

11.2 Safety/Security Evacuation If the Company determines that the safety or security of its employees is at risk due to civil and/or political unrest, insurrection, revolution, natural disaster, or similar situations in the Host Country, the Company may evacuate personnel according to the Host Country emergency response plan. The Company, at its discretion, may provide emergency evacuation assistance to Commuters in the event of the activation of a Host Country evacuation plan. 12.0 Change of Country of Origin or Point of Origin A Commuter may request a change in the Country of Origin or Point of Origin. A new Country of Origin or Point of Origin must have acceptable air transport and telephone communications, and the travel cost to and from the assignment must be equal to or less than the travel cost to and from the Point of Origin designated at the beginning of the Assignment. All changes in Country of Origin or Point of Origin must be approved by the Host Country Vice President and be communicated to the Commuters Home Country (or PRL) HR department so that a modified Assignment Agreement and Summary of Pay Details can be generated. 13.0 Termination Terminations, both voluntary and involuntary, are handled in accordance with the provisions of this business practice or Home Country statutory requirements, as applicable. The Company reserves the right to terminate a Commuters assignment or employment at any time, for any reason. Commuters are entitled to compensation for unused Field Break time upon termination. Refer to section 4.2.3 (Field Break Buyout Premiums). If a Commuters employment is terminated due to a Reduction in Force (RIF), including Retirement -in-lieu of RIF, or when the Commuters assignment has been satisfactorily completed and no other position is available, the Commuter receives notice and severance payments in accordance with the statutory requirements of the Home Country. If the Home Country has no statutory requirements, notice and severance payments are handled in accordance with this business practice. Costs associated with termination of employment are the responsibility of the Host Country. The Company reserves the right to withhold any outstanding balances owed to the Company from the Commuters final paycheck. 13.1 Notice Period 13.1.1 Voluntary Termination A Commuter may terminate an International Commuter Assignment at any time by giving 15 days written notice, or the notice period required by the approved Home Country guidelines, whichever is greater. Notice must be given to the Commuters primary manager (or approved designee) and the Host Country HR department. When such notice is given, the Commuters effective termination date becomes the fifteenth day following the date of the written notice, or a later date if required by Home Country guidelines, as applicable. If a Commuter submits written notice during a Field Break period, the effective date of termination of employment becomes the last day of the Commuters scheduled Field Break, or the fifteenth day following the Commuters notice date, whichever is earliest. If a Commuter fails to return to work at the end of a Field Break, and either fails to notify or subsequently notifies the Company that he or she is has made a decision to terminate employment, the last scheduled day of the Field Break becomes the effective date of termination. If a Commuter voluntarily terminates rather than returning to work at the end of a Leave of Absence (LOA), the termination date is determined according to the applicable Leave of

Absence (LOA) business practice. 13.1.2 Involuntary Termination The Company may terminate an International Commuter Agreement at any time and for any reason by giving 15 days of notice or pay in lieu of notice. If the termination of the Agreement results in termination of employment, the Commuter will receive notice in accordance with this business practice or the Company-approved Home Country guidelines, whichever is greater. The Host Country HR department is responsible for notifying the Commuter in the event of involuntary termination. If the Company provides notice of termination while the Commuter is on Field Break, the Commuter will receive 15 days of notice or the remainder of unused Field Break, whichever is greater. If notice is given while the Commuter is in the Assignment Location and Management elects to use the pay in lieu of notice period option, the Commuter will receive 15 days of pay in lieu of notice, even if there are fewer than 15 days remaining until the beginning of the Commuters next scheduled Field Break. If a Commuters employment is terminated due to a Reduction in Force (RIF), including Retirement-in-lieu of RIF, or when the Commuters Assignment has been satisfactorily completed and no other position is available, the Commuter receives notice and severance payments in accordance with the statutory requirements of the Home Country. If the Home Country has no statutory requirements, notice is handled in accordance with this business practice. In the case of Termination for Cause, the Company is not obligated to provide notice unless required by Home Country statutes. 13.1.3 Severance Terminated Commuters receive severance benefits according to Home Country (or PRL) guidelines. Severance payments are subject to Hypothetical Tax Withholding, unless Home Country statutes dictate otherwise. Unless required by Home Country statute, the Company will not pay or provide severance benefits to a Commuter who voluntarily resigns. Severance benefits apply to Commuters separated for the following involuntary reasons: Satisfactory completion of assignment and no other position is available Elimination of the Commuters job or position Reduction in Force (RIF) Retirement-in-lieu of RIF Severance is calculated based on the Commuters full years of service based on the Commuters most recent hire date and paid in addition to the notice period (or pay in lieu of notice). YEARS OF SERVICE Less than 1 year More than 1 year SEVERANCE BENEFIT The equivalent of 1 week of Base Pay The equivalent of 1 week of Base Pay for each full year of service up to a maximum equivalent of 13 weeks of Base Pay.

The following voluntary or cause-related termination events, among others, are not eligible for severance benefits: Voluntary resignation under conditions not involving the elimination of an Employees job

Termination of employment as a result of the sale of the stock of a Company subsidiary, or the sale of Company assets where the Employee is offered continued comparable employment by the purchaser of the stock or assets Termination of employment in connection with elimination of services due to outsourcing, where the Employee is offered continued comparable employment by the firm to which services have been outsourced Termination of employment as a result of the loss of a contract where the Employee is offered continued comparable employment by the contract successor Termination for Cause For Commuters who were hired, rehired, or reinstated on or before June 1, 1999, the Commuters Adjusted Service Date shall be used to calculate years of service for severance benefits. For Commuters who were hired, rehired, or reinstated after June 1, 1999, the Commuters last hire date shall be used to calculate years of service for severance benefits. If the Commuter has received severance pay for any prior employment period, the Commuters severance will be calculated from the original/Adjusted Service Date. If termination is due to a Reduction in Force, the amount of severance pay pursuant to current approved Home Country (or PRL) policy shall, to the extent lawful, be reduced by the total of the following: Payments of any kind (whether designated severance pay or not) required to be made to the terminated Commuter by the Company pursuant to the laws of any country other than the United States as a result of the termination of employment, if such an offset is allowed by the applicable local laws Payments of any kind (whether designated severance pay or not) made to the terminated Commuter by the Company pursuant to any other severance plan, employment contract, or change of control provisions as a result of the termination of employment of the Commuter Any amounts owed to the Company by the terminated Commuter for any reason Upon termination of employment for any reason, the Company will provide the terminated Commuter transportation to the Point of Origin. Terminated Commuters are not eligible to receive cash-in-lieu of airfare upon termination of an International Commuter Assignment. 14.0 Exceptions This business practice outlines approved terms and conditions related to International Commuter Assignments. Requests for exceptions to this business practice are processed using the guidelines described below. Exception requests are submitted to International Human Resources (IHR) by the Host Country HR department using the Exception Request Form. All requests require the approval of the PSL or Function Vice President and Country Vice President unless otherwise noted in this business practice. In situations where a Function Vice President and/or Country Vice President are not in position, i.e. a Host Country having a Country Manager but not a Country Vice President, approval must be given by the Vice President who is at the next highest level in the organizational structure. The Host Country HR department is responsible for submitting the completed request with appropriate approvals and thorough documentation, including the cost impact of the exception to the Company. The IHR Manager (or designee) will review all submitted exceptions and take one or more of the following actions: (1) grant final approval, (2) return the request to the submitter for more information or clarification, (3) recommend denial of the request and return it to the submitter with comments, or (4) seek approval or denial for the request from the Executive Vice President of Administration and Chief Human Resources Officer

(CHRO), as applicable. DEFINITIONS Adjusted Service Date is intended to be a date that reflects an employees total cumulative period of service with the Company as a Regular Employee. An employees Adjusted Service Date will also take into consideration any period of industry service credited to such employee solely for purposes of determining eligibility for vacation and Medical Leave of Absence benefits. An individuals period of service with the Company in a position other than one as a regular employee (e.g., independent contractor, agency employee) will not be taken into consideration for purposes of calculating the Adjusted Service Date. Area Premium is an abbreviated term for Geographic Area Premium, which is defined in section 4.2.4. Assignment Agreement, Commuter Assignment Agreement, and Agreement are equivalent terms that refer to various documents, appendixes, exhibits, business practices, policies, codes of conduct, handbooks, and other instruments that comprise the entire Agreement between the Company and the Commuter. Assignment Location means the city or area in the Host Country, as stipulated in the Assignment Agreement, where the Assignees services are required. Assignment Start Date means the date the Assignee is transferred to the Host Country and the Assignment begins, as stipulated in the Assignment Agreement. For International Commuters, the Assignment Start Date is the actual first day of the Work Hitch. Base Salary (Base Pay) means an Employees standard salary (excluding bonuses, deferred compensation, allowances, reimbursement, etc.) as determined by established salary administration policies and business practices. Changeover Day is a designation given to any calendar day when a Commuter both works or trains in the Assignment Location and begins or ends Field Break travel. The Changeover designation can be applied to a Work Hitch Day (HC), a Stayover Day (STC), or a Field Break Buyout Day (FBBC), as applicable. Changeover Days are eligible for the allowances and premiums that can be claimed and approved for the type of day to which the designation is being applied. Commuter means any Company Employee working outside his or her Country of Origin under the terms of an International Commuter Assignment Agreement. Company means Halliburton Company, a Delaware corporation, its successors, subsidiaries and their divisions. Country of Origin means the country of citizenship and/or residence that is considered to be the Assignees principal country of residence. The Country of Origin may or may not be the Assignees country of birth. The Country of Origin is determined based on the following factors: a. b. c. d. e. Residency record of the Assignee and Dependents in each country Country to which the Assignee owes or has fulfilled a military obligation Country in which the Assignee is employed under local terms and conditions Citizenship of the Assignees Dependents In certain cases, the location of hire

Daily Base Salary is defined as 1/365th of the annual Base Salary. Annual Base Salary is stored as a value in the Commuters SAP record. Employee means all prospective, present, and former employees of the Company worldwide.

Equal Time Off is defined in section 3.1.9. Extended Duty Bonus and Extended Utilization Bonus are terms used by certain PSLs to describe bonus payments that are made available to commuters who work beyond the length of a normal Work Hitch. These bonuses are made available as an alternative to Stayover Bonuses or Field Break Buyout Premiums, which are described in section 4.2.2 and 4.2.3 of this business practice, respectively. Field Break is defined in section 3.1.2. A Field Break Buyout Period may occur in three situations: 1) A period of one or more days immediately preceding the start of a new Work Rotation, spent by a Commuter in the Host Country Assignment Location while engaged in a Management-authorized, scheduled, nondiscretionary, operationally utilized, or training capacity, during time that would otherwise comprise part of the Commuters Field Break 2) A period of one or more days spent by a Commuter in attendance at, or in transit to, required, Company-sponsored training outside the Host Country, during time that would otherwise be considered as a Field Break for the Commuter 3) A period of one or more days occurring after the start of a Commuters Field Break, when the Commuter spends time in the Host Country Assignment Location in a Management-authorized, scheduled, nondiscretionary, operationally utilized, or training capacity; and concluding on the day prior to the resumption of the Commuters previously suspended Field Break, or on the day prior to the beginning of the Commuters next Work Hitch, whichever comes first Eligibility for applicable premiums related to Field Break Buyout Periods is discussed in section 4.2.3 (Field Break Buyout Premium). Work Hitch time is never considered to be a part of a Field Break Buyout Period. Geographic Area Premiums are defined in section 4.2.4 (Geographic Area Premiums) and are also known as Area Premiums. Home Country means a Company-designated country where statutory, tax, and pension rules permit Assignees to continue participation in their Country of Origin health, retirement, and severance programs while they are on an assignment. The Vice President of Human Resources has the final signoff after periodic reviews of the list of Home Countries. The Company reserves the right to add or remove countries at its sole discretion. If the Assignee is not from one of the approved Home Countries applicable to his or her assignment type, he or she will be employed by a Global Employment Company (GEC). As of the publication date of the business practice, the Company approved Home Countries are: LONG TERM EXPATRIATE ASSIGNMENTS Australia Malaysia New Zealand Norway Singapore U.K. U.S. INTERNATIONAL COMMUTER AND PROJECT ASSIGNMENTS Australia Brunei Canada Malaysia New Zealand Norway Singapore U.K. U.S. Home Country Salary Structure refers to salary structures or salary bands established for each job classification in each Company-approved Home Country, using a market-based job evaluation method, so that

to the extent possible employees base salaries are aligned to Home Country norms. Host Country means the country where the Assignees services are required as provided in the International Assignment Agreement. Host Country Personnel Area is a term used by HR to designate the location or area within a country where Commuters (and other Employees) are assigned. Every Commuters SAP record contains one curr ent Host Country Personnel Area. Certain premiums and allowances for which Commuters may be eligible depend on the Host Country Personnel Area indicated in the SAP record. Immediate Family includes the parents, stepparents, grandparents, siblings, stepsiblings, children, stepchildren, and grandchildren of the Assignee or the Assignees spouse (if applicable). International Commuter Assignment (Assignment) means a job or employment assignment in a Host Country pursuant to Commuter Assignment Agreement. International Developmental Assignment refers to a type of international assignment described in Company Business Practice 4-44168, International Development Assignments. International Short Term Assignment refers to a type of international assignment described in Company Business Practice 4-11303, International Short Term Assignments. Long-Term Expatriate Assignments are a type of international assignment described in Company Business Practice 4-16489, Long-Term Expatriate Assignments. Management refers to Halliburton employees who are responsible for controlling resources and expenditures associated with the Commuters cost or revenue center. To have approval authority, a member of Management must be at least one level higher than the Commuter who is seeking approval. For example, Management may include a Commuters supervisor, manager, operations manager, PSL VP, Country VP , etc. Point of Origin means the city nearest the Assignees Country of Origin home address where a major international commercial airport exists. This is the location from and to which the Assignees travel and other employment related expenses are considered reimbursable. PRL (Professional Resources Ltd) is a Global Employment Company for Halliburton (Company code 6130). PRL offers International Assignment management, payroll services, health and welfare plans, and retirement and savings plans to any Assignee whose Country of Origin is not classified as a Home Country. The Assignee is considered an employee of PRL for the duration of the Assignment. PSL means Product Service Line. Regional Assignee refers to an employee assigned to any of the following four Employee Groups in SAP: Inpat Regional (Employee Group E) Expat Regional (Employee Group J) CommuterIn Regional (Employee Group N) CommuterOut Regional (Employee Group R) Regular Employee means an employee hired for an indefinite period who regularly works the equivalent of 40 or more hours per week. Remote Location refers to a Host Country Work Location Personnel Area that is potentially eligible for the Remote Location Travel Premium described in section 4.2.7 because it is recognized as having significant Hardship or Risk conditions (see section 4.2.4 Geographic Area Premiums). SAP means the business software applications system that is used as the primary tool of the Company for recording and maintaining employee data and transactions.

Sequential Assignment means an assignment to a Host Country that immediately follows an Assignment to a different Host Country. For instance, if an Assignee was previously on Assignment in Angola and was then subsequently assigned to Algeria, the Assignment to Algeria would be considered as the Sequential Assignment. Stayover may occur in two situations: 1) A period of one or more days immediately following the end of a Work Hitch, spent by a Commuter in the Host Country Assignment Location while engaged in a Management-authorized, scheduled, nondiscretionary, operationally utilized, or training capacity, during time that would otherwise comprise part of the Commuters Field Break 2) A period of one or more days spent by a Commuter in attendance at a required, Company-sponsored training inside the Host Country, during time that would otherwise be considered as a Field Break for the Commuter Eligibility for applicable premiums related to Stayover Periods is discussed in section 4.2.2 (Stayover Premium). Work Hitch time is never considered to be a part of a Stayover Period. Summary of Pay Details is a section of the Agreement that specifies the various premiums and allowances that a Commuter is eligible for during the Assignment. This section is sometimes entitled Assignment Details, Appendix A, and/or Provision Details. Termination for Cause is the termination of an Employees employment for cause. For the purpose of determining Termination for Cause the meaning of the word cause shall include, but is not limited to, any of the following, except where prohibited by applicable local law: Employees gross negligence or willful misconduct in the performance of the duties and services required of the Employee Employees conviction on a felony offense A violation of the Halliburton Code of Business Conduct Determination as to whether or not cause exists for termination of an Employees employment will be made by the appropriate Host Country HR manager. Transfer, for the purposes of this business practice, means a change in the conditions of employment that results in an employee being assigned to a different Host Country, Assignment Location, or Employee Group than the one to which he or she was previously assigned. Travel Days are days during which a Commuter travels to or from the Assignment Location. Travel Days are classified as nonwork days and are ineligible for claims for Assignment premiums and allowances. Travel that can be characterized as a Changeover Day is considered as a work day. See Changeover Day. Unaccompanied Status means an Assignment status whereby only the Assignee is authorized to travel to and reside in the Host Country. Under Unaccompanied Status the Assignees Dependents are not approved for travel and will not be eligible for any compensation, benefits, housing, meals, or expense reimbursement. International Commuter Assignments, International Short-Term Assignments, and International Developmental Assignments are under Unaccompanied Status. Variable Pay Employee is a term used by certain PSLs to describe field employees who are eligible for varying levels of daily compensation, depending on PSL-specific factors. More information about PSL-specific Variable Pay Employee plans can be obtained from the Companys Global Compensation Department. Work Hitch is defined in section 3.1.1. Work Rotation (Commuter Rotation or Work Rotation Schedule) consists of two parts: a Work Hitch and a Field Break. A Commuters Work Rotation is specified in the Summary of Pay Details, indicating the normal Work Hitch and Field Break periods the Commuter can expect during the Assignment.

For example, the Work Rotation may be stated as 28 days worked, followed by 28 days Field Break. This is commonly referred to as a 28/28 rotation, where the first number defines the normal length of the Work Hitch and the second number defines the normal length of a Field Break. Work Rotations are referred to using this format throughout this business practice. Typical Work Rotations are 28/28, 30/30, and 35/35, sometimes called equal time or even rotations. However, it is entirely permissible to place Commuters on uneven rotations, such as 28/14, 21/7, 30/14, 90/30, or other variations. During the Assignment, the actual lengths of a Commuters Work Hitches and Field Breaks may vary due to operational considerations. The Commuter may be required to work extended Work Hitches or to have shortened Field Breaks. In both instances, additional compensation is made available. Management reserves the right to revise a Commuters Work Rotation during the Assignment, in effect changing the scheduled length of Work Hitches and Field Breaks for an ongoing period. Such changes are documented with an updated Summary of Pay Details, a c hange to the Commuters SAP record, or both. Eligibility for certain assignment pay elements is dependent on the Commuters specified Work Rotation. At the beginning of the Assignment, the first Work Rotation begins on the first calendar day that the Commuter works an operational shift in the Host Country Work Location. Subsequent Work Rotations begin on the first calendar day after the end of a Commuters Field Break or Field Break Buyout Period, if applicable. Work Rotation periods end at the conclusion of a Field Break (or Field Break Buyout period). REFERENCE Company Business Practice 4-11057, Employee Travel Advances Company Business Practice 4-11059, Travel and Entertainment Expense Reporting Company Business Practice 4-11302, Per Diems Company Business Practice 4-16489, Long-Term Expatriate Assignments Company Business Practice 4-16506, Tax Treatment for International Commuters Company Business Practice 4-44194, Halliburton Travel Services
APPROVED BY: CHRO DATE LAST REVIEWED: November 22, 2011

Supersedes POLICY STATEMENT OF: July 8, 2010; July 1, 2009; Administrative changes only September 11, 2012; August 31, 2012; November 22, 2011; July 14, 2011; April 12 and 27, 2011; November 16, 2010; February 8, 10 and 11, 2010; January 4, 2010; October 21, 2009; and July 27, 2009; April 1, 2003; 5-16559; 16.6.03 dated 6/1/98 For further assistance: Halliburton Policies