Frequently Asked Questions & Empower: About

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1 Frequently Asked Questions & Empower: About 1. Q. Who is Empower Retirement? A. Empower Retirement was established in 2014 through the merger of three financial industry leaders JPMorgan Retirement Plan Services, Putnam Investments and Great-West Financial. Their sole focus is on helping people be successful along the journey to and through retirement. Empower Retirement is the new recordkeeper for Lockheed Martin retirement plans. 2. Q. Why did Lockheed Martin switch to Empower Retirement? A: Empower Retirement has a vision and mission of empowering participants to take control of their retirement future through financial education and financial tools. There was a lot to consider when we selected our new savings plan recordkeeper and choosing a partner that provides you with outstanding tools and resources to help you achieve your financial goals was a key factor while still helping the company achieve business and financial goals. Facts to know about Empower Retirement include: Second-largest retirement services company in the country million participants in our retirement plans 2 38,000+ retirement plans under administration 2 $534 billion assets under administration 3 61 best-in-class trophies 4 Features: 24/7 access to your account online A state-of-the-art retirement planning website Monthly retirement income estimates Financial wellness program Additional trading transactions (transfers and reallocations) Budgeting tools & more Get a real-time view of your estimated retirement income Easily model different savings scenarios Learn your estimated healthcare expenses in retirement See if you are a top saver compared to your peers 3. Q. When is the transition to Empower Retirement happening? A: Empower Retirement will be Lockheed Martin s new record keeper effective Jan. 1, Q. Where can I get more information about the transition to Empower Retirement? A: There will be communications as well as information sessions offered in the fall, in conjunction with Annual Enrollment sessions to provide additional details. Active employees can find more information by visiting LMPeople > Pay and Benefits > Benefits > Destination Wellbeing. Terminated or Retired participants can find more information by visiting the Empower Retirement site: 5. Q. How do I contact Empower Retirement? A: Call Empower Retirement at 833-LMC-401K ( ) or for non-us employees For TDD communication services for the hearing impaired, call toll-free

2 6. Q. What are Empower Retirement s hours of operation? A: Representatives are available weekdays, except on New York Stock Exchange holidays, between 8 a.m. and 10 p.m. Eastern Time and Saturdays between 9:00 a.m. and 5:30 p.m. Eastern Time. 7. Q. What other communications will be coming out about the transition? A: Transition communications will include: Week of Oct. 29, 2018: You will be sent a regulatory notice that explains the blackout period, during which you will be unable to make changes to your account. Week of Dec. 10, 2018: You will be sent a welcome kit in the mail with details related to your plan s new features, including how to use your website tools and resources to create a strategy with your specific retirement income goals in mind. Jan. 8, 2019: You will be sent a postcard reminder that the blackout period is ending. 8. Q. What are the important dates to know? A: Important dates to know include the following: Sep.-Nov. 2018: In conjunction with Annual Enrollment, education information sessions will be offered to provide additional details on the transition and your plan s enhanced features. Week of Oct. 29, 2018: You will be sent a regulatory communication that explains the blackout period, during which you will be unable to make changes to your account. Nov. 30, 2018: Last date to enroll in a managed account at Voya. Week of Dec. 10, 2018: You will be sent an Empower Retirement welcome kit in the mail with details related to your plan s new features, including how to use the website tools and resources to create a strategy with your specific retirement income goals in mind. Dec. 20, 2018: Last date managed account transactions will be processed at Voya. Dec. 20, 2018: Last date to open a self-directed brokerage account at Voya Trading at TD Ameritrade. Dec. 26, 2018: The blackout period begins. During this period, you will still be able to view your account at Voya, but you will be unable to make any account transactions. Dec. 28, 2018: Contributions and match for pay period ending Dec. 23, 2018, which is generally paid on Dec. 28, 2018, will post to your account at Voya. These will be invested immediately based on investment elections made prior to blackout. Jan. 1, 2019: Empower Retirement officially becomes your new plan administrator. All questions regarding your account should be directed to Empower. Jan. 8, 2019: Contributions and/or loan payments from pay period ending Dec. 30, 2018, which are generally paid on Jan. 4, 2019, will be posted to your account at Empower. These amounts will be transferred to the trust on Jan. 4, 2019, but they cannot be invested pursuant to your elections until Jan. 8, 2019 at the end of the blackout period after your account transfers to Empower. Jan. 9, 2019: The blackout period ends. You will now have full access to your account at Empower Retirement and to their flexible and personalized tools and resources. Jan. 11, 2019: Contributions and/or loan payments from pay period ending Jan. 6, 2019, which are generally paid on Jan. 11, 2019, will be posted to your account at Empower.

3 9. Q: How does Empower ensure that our data is secure? A: Data security is always a top priority. Empower layers its internal controls with a rigorous information security program based on industry standards and best practices. In addition, all vendor partners, including Voya and Empower, are subject to significant IT Security reviews and requirements. For internal guidance on identity protection and protecting personal information, you can visit the Corporate Privacy Office intranet site. Your retirement accounts are entrusted to a company that wants to help you keep them safe and secure. Empower stands behind its online security with the Empower Retirement Security Guarantee. The guarantee states Empower Retirement will restore losses from your account that occur as a result of unauthorized transactions through no fault of your own. It is important to follow current and prudent online security practices, review your accounts regularly for any unusual activity, maintain strong passwords and more. To learn about other security practices, review Empower s guarantee by going to > About Empower. Empower Tools and Resources 1. Q. Does Empower Retirement offer a phone app for my mobile device? A: Yes, you may download the Empower App at the IOS App Store. The Empower App is now available for ipad devices as well! Android devices can access the mobile friendly website with mobile internet access. On the mobile website after the blackout period ends, you will be able to view and change account information including deferral amounts and investment allocations, view investment options, access education and planning features, plan information, and forms. 2. Q. What is the difference between Empower s retirement planning service and financial planning service? A: The new financial planning service is a complement to the retirement program. It will help address your broader financial needs and situation. You will have access to helpful checklists, online seminars, easy-to-use tools and individuals that address every day financial questions and those that might be a little more complex. You can get help with - creating a budget, planning for college expenses, making sure you re adequately insured, creating an income plan and much more. 3. Q. Will I be able to receive investment advice once my account is transferred to Empower Retirement? A: Yes, you will have access to Online Advice and the Professional Management Program, part of the Empower Retirement Advisory Services suite of services offered by Advised Assets Group, LLC, a registered investment adviser. Representatives are also available to help you with saving, investing, account consolidation, and distribution options. 4. Q. What is Online Advice? Will it be similar to what I receive through Voya? A: Online Advice is a non-discretionary advice service for participants to get objective forecast, saving and investment recommendations. This service is similar to the online advice service that was previously provided. Participants who choose to use this service are responsible for implementing personalized recommendations within their retirement plan accounts and checking back regularly to get updated personalized recommendations. Participants may use Online Advice as frequently as they choose to monitor progress toward their retirement goals; receive forecasts and investment recommendations; and access educational content.

4 5. Q. Will my managed account enrollment at Voya carry over to Empower Retirement, or will I need to re-enroll? A: Yes, your managed account enrollment will carry over. If you are currently enrolled in a managed account at Voya, you will be enrolled in the Professional Management Program after the transition to Empower. No action is required on your part if you wish to remain enrolled in a managed account. If you wish to cancel participation in the Voya managed account, you must do so by Dec. 20, Please note, any account personalization you may have made in the program at Voya will be transitioned to AAG with your enrollment. 6. Q. Will the Professional Management Program fee be different from the fee for the managed account service offered at Voya? A: No, the fees will not be different for the Professional Management Program. The annual fee for the program is 0.40% for assets up to $50,000, 0.30% for the next $50,000, 0.20% for the next $50,000 and 0.10% for assets over $150,000. There is no guarantee provided by any party that participation in any of the Advisory Services will result in a profit or that the related account will outperform a self-managed portfolio invested without assistance. Transition 1. Q. If I leave the company or retire before the blackout on Dec. 26, 2018, will my account still transition to Empower? A: Yes. All participants in the Lockheed Martin plans (active, terminated, or retired) will have their accounts automatically transferred to Empower Retirement. If you don t want to have your account moved to Empower Retirement you will to request a rollover or distribution of your account prior to the blackout period on Dec. 26, Q. Will all of my account details automatically transfer to Empower Retirement? A: Yes, all accounts will transfer to Empower Retirement as well as all account details. Participants do not need to take any action in order for their accounts and account details to transfer to Empower Retirement. 3. Q: Where can I access my historical information after the transition from Voya Financial to Empower Retirement? A: You will have access to historical information on the Voya website until Apr. 30, Q: What is the blackout period? A: The blackout period is the duration of time required for your account to transfer from Voya Financial to Empower Retirement. During this time, your funds will remain invested and will continue to gain and/or lose value depending on market conditions. You will not be able to take any action or transact during this time, including, but not limited to, changing contributions made or investments elected, requesting a new loan or paying-off an existing loan, requesting a withdrawal, etcetera. Contributions and loan repayments will continue to be deducted from your paycheck, but they will not appear in your account until the blackout period ends. The blackout period is from Dec. 26, 2018 at 4 p.m. ET through Jan. 9, :00 a.m. ET. You will receive a detailed blackout notice during the week of Oct. 29, Q: When is the blackout period? A: The blackout period begins Dec. 26, 2018 at 4:00 p.m. Eastern Time. The blackout period will end Jan. 9, 2019 at 8:00 a.m. Eastern Time.

5 6. Q: Will my account be accessible during the blackout period? A: You will be able to view your account at Voya but will be unable to make account changes or transactions. You will have access to historical information (including the ability to print statements, tax forms, and any correspondence for 2018 and prior years) on the Voya website until Apr. 30, When the blackout period ends on Jan. 9, :00 a.m. Eastern Time, you will be able to process all transactions at Empower Retirement. 7. Q: What is the last day I can make account changes before the transition or blackout period? A: Account changes or transactions must be completed prior to the blackout period on Dec. 26, 2018 at 4:00 p.m. Eastern Time at Voya. 8. Q: When will I be able to log onto my account at Empower Retirement? A: You will be able to log onto your account at Empower Retirement on Jan. 9, 2019 at 8:00 a.m. Eastern Time. This is when the blackout period will end, and your account will be available at Empower Retirement. 9. Q: How will I log onto the new Empower Retirement website? Do I have to register as a new user or use my existing login information? A: If you are logging into your account using single-sign-on through LMPeople you won t need to establish a username and password. If you access the website externally, you will need to register as a new user on the Empower Retirement website. Empower Retirement has a user-friendly registration process that will walk you through setting up your account. After Jan. 9, 2019, you can register by going to and clicking Register 10. Q: How do I get a password if I forget mine? A: If you call Empower Retirement, a representative can assist you with resetting your password after going through some additional verification. You can also reset your password online by clicking Login Help? The website will request some information in order to verify your identity before providing you a new temporary password. 11. Q: Will my beneficiary information be mapped over to Empower Retirement? A: Yes, beneficiary information currently on-line at Voya will transfer to Empower Retirement. When the blackout ends, you should verify your beneficiary information is correct and does not require any updates. 12. Q: When will I receive more information about the transition to Empower Retirement? A: There will be transition communications in the near future as well as information sessions offered in the fall, in conjunction with Annual Enrollment to provide additional details on the transition and enhanced features. Active employees can find more information by visiting LMPeople > Pay and Benefits > Benefits > Destination Wellbeing. Terminated or Retired participants can find more information by visiting the Empower Retirement site, Transition communications will include: Week of Oct. 29, 2018: You will be sent a regulatory notice that explains the blackout period, during which you will be unable to make changes to your account. Week of Dec. 10, 2018: You will be sent an Empower welcome kit in the mail with details related to your plan s new features, including how to use your website tools and resources to create a strategy with your specific retirement income goals in mind. Jan. 8, 2019: You will be sent a postcard reminder that the blackout period is ending.

6 13. Q: What will happen with my Savings contributions, employer match and company contributions during the blackout? A: Contributions, Employer Match and Company Contributions will be posted to your account as follows: Dec. 28, 2018: Contributions and match for pay period ending Dec. 23, 2018, which is generally paid on Dec. 28, 2018, will post to your account at Voya. These will be invested immediately based on investment elections made prior to blackout. Jan. 8, 2019: Contributions and match for the pay period ending Dec. 30, 2018, which is generally paid on Jan. 4, 2018, will post to your account at Empower. These amounts will be transferred to the trust on Jan. 4, 2019, but they cannot be invested pursuant to your elections until Jan. 8, 2019 at the end of the blackout period after your account transfers to Empower. Jan. 11, 2019: Contributions and match for the pay period ending Jan. 6, 2019, which is generally paid on Jan. 11, 2018, will post to your account at Empower. 14. Q: Will there be any changes to Lockheed Martin s contributions to my retirement account? A: In advance of the transition to Empower, for most active employees who participate in the Capital Accumulation Plan (CAP), Lockheed Martin will transfer your CAP account into the Salaried Savings Plan (SSP) effective Oct. 5, Your balance in each CAP investment option will be transferred to the identical investment option in the SSP. Once your account is transferred, your future company contributions will be invested according to your SSP elections. The current 4% company contribution to the CAP will be made into your SSP. The last weekly 4% CAP contribution will be made on Oct 5, Future company contributions will be made to your SSP. Your balance in each CAP investment option will be transferred to identical investment option in the SSP. Once the transfer is complete your savings plan beneficiary designation will apply to your savings plan account. The CAP beneficiary designation will no longer apply. 15. Q: Where can I learn more about the CAP to SSP consolidation? A: To learn more about the CAP to SSP consolidation please contact Voya Financial at More information will be sent to eligible employees in September. 16. Q: How long will it take for my contribution election changes with Empower Retirement to be reflected in my paycheck? A: If you make a contribution change online or over the phone, it will take up to two pay periods to be effective. 17. Q: I am planning to request a loan prior to the transition or I am in the process of repaying my loan against my savings plan. How will this be impacted by the transition? Will loan deductions continue? A: Loan deductions will continue during the blackout period. You will be able to request new loans or payoff your existing loan once the blackout period ends on Jan. 9, If you wish to pay off your loan prior to the transition to Empower Retirement you will need to ensure payment is received by Voya no later than Dec. 26, 2018 at 4:00 p.m. Eastern Time. 18. Q: Will I be able to take a loan or a hardship during the blackout period? A: No transactions will be allowed during the blackout period. 19. Q: How do I payoff my loan at Voya? A: Loans are typically paid through payroll deduction and those will continue through the transition. However, if you decide that you want to pay off your loan at Voya prior to the transition, the payment must be received before 4:00 p.m. Eastern Time on Wednesday, Dec. 26, If you are paying off your loan using the Direct Debit feature online, it will need to be processed no later than 4:00 p.m. Eastern Time on Dec. 26, 2018.

7 20. Q: What is a required minimum distribution? A: You cannot keep retirement funds in your account indefinitely according to IRS guidelines. You generally have to start taking withdrawals from your IRA, SIMPLE IRA, SEP IRA, or retirement plan account when you reach age 70 ½. Roth IRAs do not require withdrawals until after the death of the owner. 21. Q: Will my automated required minimum distribution transfer over to Empower Retirement? A: Yes, your automated required minimum distribution will transfer over to Empower Retirement. 22. Q: Will Empower Retirement pay out my required minimum distribution at the end of the year? A: Yes, normally Empower Retirement will pay out your required minimum distribution at the end of the year if you have not yet taken it. If you want to take your required minimum distribution prior to the end of the year, you can call Empower Retirement after Jan 9, 2019 and request your required minimum distribution. 23. Q: Will my retirement funds still be invested in the market during the blackout period? A Yes, you will still be invested. During the blackout period the recordkeeper of your investments elections will transition to Empower. Your investments will remain invested in the market and will transfer to Empower Retirement. However, no investment changes can be made during the blackout period. 24. Q: How will my investments transfer to Empower Retirement? A: Your investments are not changing, but the recordkeeper who keeps track of your investments will become Empower Retirement. 25. Q: What will happen to my non-transferrable securities? A: As your self-directed brokerage provider is not changing, all securities that you hold at the time of the transition will remain in your TD Ameritrade account. 26. Q: Will I be able to use the same login information on the TD Ameritrade website as I do today? A: Your account numbers and login will remain the same. You will not need to establish a new account or login, however the first time you attempt to use single sign-on (SSO) to the TD Ameritrade website from the Empower website you will need to authenticate using your TD Ameritrade login and password. If you are unsure of your TD Ameritrade login credentials, contact TD Ameritrade for additional details at (8 a.m. to 7 p.m. Eastern Time, Mon. through Fri. excluding market holidays). 27. Q: Are the fees associated with my investment options changing? A: The fees within your TD Ameritrade self-directed brokerage account will remain the same as they are today. 28. Q: How are recordkeeper fees impacted (e.g. loan fees, overnight processing, transaction fees, etc.)? A: With the move to Empower, participants will have a slight reduction in the per account participant fees. Other transactional fees (e.g., loan fees, overnight processing, transaction fees, etc.) are specific to that action and may vary. More information about fees will be posted to the Destination Wellbeing portal as soon as it s available. Fee information will also be in the Welcome Kit that you will receive at home in early December. With this change, we intend to enhance the employee experience by providing new tools and resources. 29. Q: How are investment fees impacted? A: Your investments options are not changing, but the recordkeeper who tracks your investments will become Empower Retirement on January 1st, The individual companies managing the investment options are not changing. Therefore, fees associated with these options will not change as result of the transition. 30. Q: Will the blackout period affect disbursement of dividend payments? A: The blackout period will not affect the dividend payments they will occur on time.

8 31. Q: Does the blackout period impact trades and other transactions in my Self-Directed Brokerage Account through TD Ameritrade? A: Participants who have a Self-Directed Brokerage Account (SDBA) will be able to trade only within the SDBA account at TD Ameritrade through the blackout period. The last day to open an SDBA account before the blackout period will be December 20, 4pm EST. If participants have not opened an SDBA account by this deadline, they will need to wait until January 9th to open an SDBA account. General 1. Q: What is a self-directed brokerage account (SDBA) A: An SDBA account, offered through TD Ameritrade, allows you flexibility to invest in: Individual stocks Bonds Wide range of mutual funds The SDBA is intended for knowledgeable investors who acknowledge and understand the risks associated with the investments contained in the SDBA. If you are interested in more information, you may contact Empower after Jan. 9, Q: What is a professionally managed account? A: This is a service designed for the participant who would rather have an investment professional pro-actively manage their retirement savings plan for a fee. Ongoing assessment of your progress Automatic updates to keep you on target Personalize your profile Periodic account optimization Review Progress Reports The annual fee for the program remains the same as the service provided through Voya: 0.40% for assets up to $50,000, 0.30% for the next $50,000, 0.20% for the next $50,000 and 0.10% for assets over $150, Q: What if I forgot my Voya PIN? A: If you have forgotten your PIN, you may request to have a PIN mailed to you by calling Voya at After verifying your identity, they will mail the new PIN to your address of record. If you need to update your address, active employees should make the change in LMPeople under Personal Information. 4. Q: What if I forgot my Empower PIN? A: After you register for your new account in January, you will be able to create a PIN. If you later forget your PIN, you may contact the call center to request assistance establishing a new PIN or have a new PIN to be mailed to your address of record.

9 5. Q: What s the difference between pre-tax contributions, Roth 401(k) contributions, and after-tax contributions? A: Pre-tax contributions come directly out of your check but are taken before-taxes are calculated, thus lowering your taxable income. As you invest your contributions, the potential growth is tax-deferred. However, when it comes time to take the money out, taxes will be paid on your contributions and any earnings. Roth 401(k) contributions will be taken from your check after taxes have been calculated, therefore they will not reduce your taxable income. The biggest difference is, qualified distributions are tax free! For a distribution to be qualified it must occur after you reach the age of 59½ or in the event of the participant s death or disability and after you have held the account for at least five years. After-tax contributions are made after-tax and will not reduce taxable income. You can withdraw the contribution portion tax free at any time. Any investment earnings portion of withdrawals are subject to income taxes. 6. Q: What is the catch-up contribution? A: If you ll be 50 or older by the end of the calendar year, the IRS will allow you to make additional or catchup contributions on top of your Pre-tax and/or Roth 401(k) contributions, up to the IRS limit. In 2018 the limit is $6, Q: How much may I contribute to my savings plan each year? A: The 2018 Annual IRS limit for Pre-tax and/or Roth 401(k) contributions is $18,500. Your contributions and eligible deferral limits vary by plan, please refer to your Summary Plan Description (SPD). This material has been prepared for informational and educational purposes only and is not intended to provide investment, legal or tax advice. 8. Q: It was previously announced that Pension would freeze, and CAP would transition to the Retirement Savings program in 2020, how is this impacted? A: This change does not impact the previously announced pension freeze timeline. Final years of service is still scheduled to freeze as of December 31, 2019 for pension eligible employees. Beginning January 2020, an additional 4% automatic company contribution will be added to their Salaried Savings Plan (SSP). The timeline for most non-pension eligible employees with a Capital Accumulation Plan (CAP) account has been accelerated. They will see their account move to the SSP on October 5, 2018 to put the retirement benefits all in one place, making them easier to manage and understand. 9. Q: Will the transition impact any additional company contribution I receive? A: The transition to Empower and CAP to SSP consolidation will not impact any other contributions you may be receiving (e.g., the 2% automatic company contribution). 10. Q: I am having trouble viewing some of the videos on the Destination Wellbeing Portal. A: Google Chrome is the recommended browser and may provide a better viewing experience. 11. Q: Can I keep my account with Voya? A: There is no option to opt-out from the transition to Empower.

10 12. Q: Why did Lockheed Martin change recordkeepers and how did they go about choosing Empower? A: The Benefits team worked closely with the Global Supply Chain Organization (GSCO) to outline the requirements criteria and scope of work needed for our vendor selection. Participant experience, IT security, technology capability, references from a variety of sources, and much more were taken into careful consideration. Following a Request for Information (RFI), a formal competition was held between qualified and capable suppliers. After a diligent selection process, we believe Empower Retirement has the tools and resources to provide a positive experience for our employees. We look forward to working with Empower and our workforce to ensure a smooth transition to this new recordkeeper in the new year. Both the Lockheed Martin Benefits team and Empower Retirement will be available during and after the transition to help answer any questions and address any concerns you may have. 1 Information refers to all retirement business of Great-West Life & Annuity Insurance Company and its subsidiaries and affiliates, including Great-West Life & Annuity Insurance Company of New York, marketed under the Empower Retirement brand. Ranking based on total defined contribution plan participant accounts as of December 31, Source: PLANSPONSOR magazine, 2017 Recordkeeping Survey, June As of March 31, Information refers to all retirement businesses of Great-West Life & Annuity Insurance Company and its subsidiaries and affiliates, including Great- West Life & Annuity Insurance Company of New York, marketed under the Empower Retirement brand. 3 As of March 31, Information refers to the entire retirement business of Great-West Life & Annuity Insurance Company and its subsidiaries, including Great-West Life & Annuity Insurance Company of New York, marketed under the Empower Retirement brand. Of the total $534B assets under administration, $13.4B represents the AUA of GWL&A of NY. AUA does not reflect the financial stability or strength of a company. GWL&A assets total $61.6B and liabilities total $59.4B. GW&A of NY assets total $2.3B and liabilities total $2.1B. 4 Based on best-in-class awards from PLANSPONSOR 2017 DC Survey, February 2018 Securities offered or distributed through GWFS Equities, Inc., Member FINRA/SIPC and a subsidiary of Great-West Life & Annuity Insurance Company. Brokerage services provided by TD Ameritrade, Inc., Member FINRA/SIPC/NFA. TD Ameritrade is a trademark jointly owned by TD Ameritrade IP Company, Inc. and The Toronto-Dominion Bank. All rights reserved. Used with permission. Additional information can be obtained by calling TD Ameritrade at TD Ameritrade and GWFS are separate and unaffiliated. Great-West Financial, Empower Retirement and Great-West Investments TM are the marketing names of Great-West Life & Annuity Insurance Company, Corporate Headquarters: Greenwood Village, CO; Great-West Life & Annuity Insurance Company of New York, Home Office: New York, NY, and their subsidiaries and affiliates, including registered investment advisers Advised Assets Group, LLC and Great-West Capital Management, LLC. IMPORTANT: The projections, or other information generated on the website by the investment analysis tool regarding the likelihood of various investment outcomes, are hypothetical in nature, do not reflect actual investment results and are not guarantees of future results. The results may vary with each use and over time. Healthcare costs and projections, if applicable, are provided by HealthView Services. HealthView Services is not affiliated with GWFS. Empower Retirement does not provide healthcare advice. A top peer is defined as an individual who is at the 90th percentile of the selected age band, salary range and gender. Voya is not affiliated with GWFS Equities, Inc. or its parent company, Great-West Life & Annuity Insurance Company Great-West Life & Annuity Insurance Company. All rights reserved. AM