Hospira Fleet Driver:

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1 Hospira Fleet Driver: After reading this policy, please print it and store it in the glove compartment of your assigned Hospira Fleet vehicle for future reference.

2 HOSPIRA WORLDWIDE INC. Fleet Reference Manual Updated: 10/15/2012

3 Hospira Telephone Number Reference Guide Fleet Leasing Company Hospira Sales Operations Hospira Global Fleet Services Hospira Fleet Safety Hospira Risk Management Hospira Global Security Hospira Expense Reporting Hospira Domestic Commercial Human Resources Global Employee Health Services Medical/Family Leave & Work Related Injuries Auto Liability Third Party Fleet Administrator (TPA) (Gallagher Bassett Services) ( HOSP) or With CC to: 1

4 No sale is so important, or appointment so urgent, that you cannot take your time and arrive safely... Developed and Published by Hospira 2

5 TABLE OF CONTENTS I Policy Overview A. Purpose B. Eligible Drivers C. Termination of Employment D. Vehicles Covered by this Policy E. Responsibilities Fleet Services & Sales Operations F. Responsibilities Fleet Leasing Company II Authorized Fleet Driver Procedures and Information A. Accident Reporting B. Mileage and Expense Reporting C. Insurance Coverage D. Rental Vehicles E. Vehicle Title / Registration F. Vehicle Maintenance Assistance G. Fuel Purchases H. Restrictions I. Traffic Violations and Parking Tickets J. New Vehicle Ordering III Fleet Safety A. Management Expectations B. High-Risk Drivers C. Critical Incident Protocol Serious Injury/Fatality D. Workers Compensation (WC) Claim Process E. Vehicle Safety F. Personal Security G. Transporting Items in Your Vehicle H. Commentary Drives PAGE IV Fleet Safety and Environmental Health and Safety Programs A. Driver Training Requirements 37 B. Safe Lifting Techniques 37 C. Material Storage Areas 38 D. Carrying Sample Bags and Sample Cases 38 E. Long Distance Driving 38 F. Blood Borne Pathogen Training 39 G. Fleet Safety Mailings/Publications 39 H. Fleet Safety Committee 39 Exhibit A Incident Investigation Report 41 Exhibit B Hospira Driver Commentary 45 3

6 I. POLICY OVERVIEW A. Purpose This reference manual states the standard policies and practices for the business and personal use of Hospira company-provided vehicles. This reference manual replaces previous fleet policies and reference manuals/handbooks. B. Eligible Drivers This policy covers all United States and Puerto Rico based Hospira field sales/service employees authorized to drive a company-provided vehicle, as well as individuals eligible to use the company vehicle as a secondary car for personal use as described below. The Hospira employee, his/her legally licensed (i.e. must possess a state-issued, unrestricted, current, valid drivers license.) spouse or domestic partner (as qualified by a completed Affidavit of Domestic Partnership for health care coverage on file in Hospira s Employee Benefits office), and the employee s legally licensed unmarried children, age 18 or older, living in the employee s home are the only individuals eligible to use the company vehicle as a secondary vehicle for personal use. No other family members or friends, even if living in your home, are eligible to drive the company, rental, nor leased vehicle, and may not be covered by Hospira insurance. If the assigned driver gives consent to a Hospira employee with a valid driver s license, the Hospira employee may drive the company-provided vehicle while on Hospira business. NOTE: Improper use of the company vehicle by non-eligible drivers, or eligible individuals whose driving privileges have been suspended, may result in disciplinary action to the authorized fleet driver, up to and including suspension of the company vehicle and termination of employment. C. Termination of Employment If you resign or are terminated by the company, you are no longer eligible to operate or retain a company vehicle. The vehicle, fuel and maintenance card, registration card, insurance card, keys, reference manual, and all Hospira property must be surrendered to your Manager immediately upon termination or resignation. You should consult with Sales Operations to make arrangements to return the company vehicle. 4

7 D. Vehicles Covered by this Policy This policy applies to all company-provided vehicles to authorized fleet drivers including: 1. Leased vehicles. 2. Rental vehicles (Hospira policy applies unless amended by terms and conditions of rental contract). 3. Personal vehicles used during company business with prior Sales Operation s approval. E. Responsibilities Fleet Services & Sales Operations 1. Develop fleet and driver policy working with Hospira senior management and others, as needed, to secure major policy agreement. 2. Provide guidance to fleet leasing company on major initiatives and matters that are outside policy. 3. Assess fleet policy and practices to ensure that strict principles of safety are followed to ensure that the financial interests of Hospira are protected. 4. Each model year, Fleet Services works with Sales Operations to decide which vehicles and equipment, as well as company paid vs. driver paid options, will be available to drivers whose vehicles are due to be replaced. These decisions can change during the model year as conditions change. Any vehicle options you choose to pay for will remain with the vehicle at the time of disposition, as you are purchasing the USE of these options only. Vehicle selections and options are determined based primarily on business need, cost, safety, availability and resale. There are no variations, upgrades or substitutions to the model selector list unless approved by Sales Operations. 5

8 F. Responsibilities Fleet Leasing Company 1. Administration of Hospira policies and procedures with referral of exception requests to Hospira. 2. Provide call coverage and support for routine inquiries, status and problem resolution. 3. Manage vehicle ordering and replacement process. 4. Provide value added service support for vehicle maintenance, accident management, title and re-registration according to Hospira policy. 5. Issue service cards and insurance cards. 6. Maintain fleet information, reporting and inventory management system. 7. Consult and make recommendations for improving cost effectiveness and efficiency of fleet. 8. Provide timely and accurate billing of all fleet expenses. 9. Coordinate with Fleet Services and all other suppliers necessary to give Hospira a seamless and effective fleet program. 10. Take the accident report, determine the physical damage and try to subrogate the claim. 11. Provide guidance and interpretation to Hospira personnel on information contained in state Motor Vehicle reports. 12. Review Motor Vehicle reports for identification of obvious errors (e.g., duplicate entries). 6

9 II. AUTHORIZED FLEET DRIVER PROCEDURES AND INFORMATION A. Accident Reporting (Accident Management Program) Vehicle Accidents/Glass Damage from an Accident All vehicle accidents and glass damage must be reported to the fleet leasing company IMMEDIATELY after occurrence. The fleet leasing company offers 24-hour assistance. The fleet leasing company will take a detailed report, arrange for towing, repairs and a rental vehicle, if necessary. If you are involved in an accident, whether your vehicle sustains damage or not, contact the fleet leasing company and be prepared to provide them with the following information: * Your Name and Address * Territory Number * Vehicle Number * Manager Name * Mileage on Vehicle * Detailed Description of Accident IMPORTANT: In addition to calling the fleet leasing company, contact the police while at the scene (if at all possible) and file a formal report. NEVER express opinion as to fault or liability, agree to any settlement on behalf of Hospira or the fleet leasing company, or sign any statements other than documents required by police authorities. DO NOT discuss the limits of your insurance coverage. DO NOT hand out your business card, or mention our company name. If asked about your vehicle, indicate it is a leased vehicle, rather than stating it is a company vehicle. Provide the police report and/or police report number to the fleet leasing company as requested. In the event you do NOT promptly report an accident to the fleet leasing company, you may be held financially responsible for any damage. 7

10 If you have third-party liability questions or concerns, contact: Risk Management the Auto Liability TPA Company If vehicle glass is damaged in an accident or by vandalism, please call the fleet leasing company. If vehicle glass is damaged by any other means, refer to page 19 (Vehicle Maintenance). NOTE: If you, your passenger(s) or other party are injured in a vehicle accident, refer to page 31 (Critical Incident Protocol). Hit and Run/Vandalism You MUST file a police report at the location of the damage and you may also file a claim with the owner of the property where the incident has occurred. The property owner's insurance should cover the damages. Contact the fleet leasing company as noted above. For documentation purposes, you are encouraged to carry a disposable camera within your vehicle in the event you incur vandalism and/or are involved in an accident. Photographic evidence taken from the scene may prove to be valuable if/when future review of the incident takes place. Stolen Vehicle The following procedures should be followed if your company vehicle is stolen: 1. Report the theft immediately to local police, fleet leasing company and your Manager. 2. Notify your respective Department of Motor Vehicles (DMV) of the date and time the vehicle was stolen. 3. The fleet leasing company will arrange for a rental vehicle until you are assigned another vehicle. 4. Follow up with the Police Department on a weekly basis to see if your company vehicle has been recovered. If recovered, contact the fleet leasing company immediately. 5. If your vehicle is not recovered within 30 days, the fleet leasing company will obtain a vehicle replacement. 8

11 6. If Hospira property (samples, equipment, etc.) is stolen, follow this theft reporting policy: Loss or theft of company property from the vehicle (e.g. samples, equipment, etc.) should be reported immediately to your Manager and Hospira Global Security. When left unattended, your company vehicle should be locked at all times and valuables kept out of sight. 7. Stolen Personal Property Hospira is not responsible for loss or damage of personal items left in your vehicle. Personal property loss may be covered by your homeowner s or renter s insurance. B. Mileage and Expense Reporting The fleet car section on your expense report for company vehicles provides a means for recording mileage and expenses associated with company vehicles from the time the vehicle is placed in service until it is replaced or sold. It is important to report accurate ending odometer readings at the end of each week. Be sure to use the correct vehicle number. Maintenance and vehicle damage expenses WILL NOT be approved on expense reports. The fuel and maintenance card must be used to pay for these charges. In the event non-routine maintenance or damage repairs are required on your company vehicle, contact the fleet leasing company to apprise them of the situation and obtain approval. The fleet leasing company offers 24-hour assistance. If you have any questions regarding acceptance of the fuel and maintenance card or if you are denied use of the fuel and maintenance card, you must contact the fleet leasing company immediately. Personal Use Tax The IRS requires that you pay for any personal use of the company vehicle that is assigned to you. Hospira is required to track this personal use per IRS regulations. The amount that you are required to pay is twofold a weekly personal use charge and a personal use mileage fuel cost charge. The weekly personal use charge is the portion of the lease payment that is attributable to the personal use of the vehicle assigned to you. This personal use charge is automatically deducted from your payroll check. This payroll deduction is identified as Auto Chg on your payroll check stub. The personal mileage fuel cost charge is the cost of fuel attributable to the personal miles that the vehicle is driven each week. You must record your personal mileage fuel cost charge on your weekly expense report. 9

12 If you are on a leave of absence, you may or may not have access to a company car. Access to a company car during a leave of absence is at the sole discretion of Hospira Worldwide, Inc. The personal use tax and personal mileage shall apply if you are allowed to use a company vehicle during a leave of absence. Surplus Vehicle Expenses and mileage should be entered on your expense report showing the Hospira surplus vehicle number, not your assigned vehicle number. Rental Vehicle Do not report rental vehicle mileage or expenses in the "Company Vehicle" section. Be sure to note personal miles on the rental or other expenses in the explanation section at the bottom of your expense report. Memberships in Rental Car Clubs are not reimbursable. In the event your fuel card cannot be used to purchase fuel, contact the fleet leasing company immediately, and submit the fuel charges on your expense report under "rental car." Be sure to note personal miles on the rental or other expenses in the explanation section at the bottom of your expense report. Rental vehicles must be returned as soon as your assigned vehicle is available. Do not use your fuel and maintenance card to obtain rental vehicles for business travel. Old and New Vehicles The expense report for the old vehicle should be closed at the time of turn-in (or purchase) and the notation "Vehicle Replaced (Date)" should be entered. A new expense report should be started for the new vehicle showing the mileage and new vehicle number at the time of delivery. Parking, Tolls, Taxi/Limo and Similar Business Travel Costs These business-related costs are reimbursable. Traffic citations and parking tickets are not reimbursable. Transportation to and from work, except in connection with a business trip, is a personal expense even if the employee works overtime, weekends, holidays, etc. Parking tolls and other expenses are not reimbursable when the car is used for personal use. NOTE: All expenses for your company vehicle will be charged against your district budget even if it is paid by the fleet leasing company or charged on your expense report. 10

13 C. Insurance Coverage (Insurance Coverage & Eligible Drivers) Collision/Comprehensive Coverage Hospira "self insures" for collision and comprehensive losses (e.g., fire, theft, vandalism, glass, etc.) and pays actual expenses and recovery credits, which are charged back to the district, as they are incurred. All vehicle damage should be immediately reported to the fleet leasing company. Loss or theft of Hospira property from the vehicle (e.g., samples, equipment, etc.) should be reported immediately to your Manager and Hospira Global Security. When left unattended, your company vehicle should be locked at all times and valuables kept out of sight. Hospira is not responsible for loss or damage of personal items left in your vehicle. Personal property loss may be covered by your homeowner s or renter s insurance. Driving out of the Country If you must drive your company vehicle on business or personal use into Mexico, you must purchase border insurance and obtain a Mexican Border Pass from the fleet leasing company. You must call the fleet leasing company at least 10 business days in advance to obtain a pass. For entry into Canada, you need only a valid insurance card for the state in which the vehicle is licensed and titled. Canadian insurance cards are no longer issued. Vehicle Insurance Cards All states require drivers to carry insurance identification as proof of auto liability insurance. The fleet leasing company will send existing authorized fleet drivers proof of insurance on an annual basis. New hires will be sent proof of insurance upon receiving their new or reassigned vehicle. Employees who transfer from state-to-state will also receive a new insurance card from the fleet leasing company. Keep your insurance card, as well as vehicle registration, in your company vehicle at all times. You are responsible for maintaining proper insurance and registration documentation in your vehicle at all times. Failure to present a current identification card at the request of a police officer could expose you to fines, penalties or vehicle impoundment. 11

14 You are responsible for any fines or penalties incurred. Contact the fleet leasing company in the event your insurance card or registration is lost or expired, or if you receive your vehicle prior to receiving proof of insurance. Liability Coverage Claims for damage and/or injury to third parties should be reported to the fleet leasing company. The fleet leasing company will notify the Hospira Claims Adjuster, if necessary. The Hospira automobile liability policy provides protection against third-party liability for bodily injury and property damage. You will be contacted directly from Hospira s Third-Party Administrator for a statement. You will be expected to cooperate completely with the Claims Adjuster. Driving any company vehicle (specifically, a four-wheel drive vehicle) off paved streets is prohibited, and NOT covered by Hospira insurance. The warranty agreement with the manufacturer may also be void, should damage occur. All damage and related expenses resulting from driving off paved streets will be the driver's responsibility. Personal Insurance/Insurance Verification If you obtain auto insurance for a personal vehicle, you may need to contact the fleet leasing company for an insurance verification letter. Leave your full name, address, hire date and termination date (if applicable). An insurance verification letter will be mailed to you. The letter only verifies that you have been insured. It does not include your driving history. Your insurance carrier will run a Motor Vehicle Registration (MVR) check to obtain your driving history. If you have been involved in an accident or received a moving violation, your state may require our insurance company to complete a form. If so, contact Sales Operations for assistance. Personal Vehicles Used for Business NOTE: You must receive approval from Sales Operations before using your personal vehicle for business purposes. Additionally, any personal vehicle used for business purposes must be insured in accordance with state laws. While using your personal vehicle for company business, the employee s personal auto liability insurance will be the primary coverage if an employee damages a third party's property and/or injures a third party. All accidents should be reported to the Auto Liability TPA, Gallagher Bassett, and employee s personal insurance carrier. Hospira s auto liability insurance will provide excess coverage over the employee s personal auto liability insurance. 12

15 D. Rental Vehicles Hospira has made provisions with Avis for insuring cars rented throughout the United States and employees should decline rental car insurance when the car has been rented under the Hospira Corporate Program. NOTE: Some AVIS locations do not participate or participate on a limited basis with the Hospira Corporate Program. If you make car rental reservations through one of these locations, you may be required to pay additional surcharges or additional insurance, or they may not honor Hospira's corporate rate (which includes insurance coverage). Please refer to the Hospira Intranet Travel Website for a list of locations that do not participate in the Hospira Corporate Program. Full coverage insurance should be accepted when non-preferred car rental companies are utilized. NOTE: This provision does not apply to cars rented outside of the United States. You should accept the appropriate insurance when renting outside of the United States. IMPORTANT: If you are involved in a vehicle accident in a rental vehicle (during either business or personal use), contact EACH of the following personnel within 24 hours of the accident occurrence. 1. Rental agency (if you made the reservation) or the Fleet Leasing Company (if they made the reservation for you) and either will file a claim on the accident. 2. Your Manager (specifically note that you were utilizing a rental vehicle.). 3. Sales Operations 4. Auto Liability TPA Should you need a rental vehicle while your vehicle is being repaired, the fleet leasing company will work with you to coordinate the rental. The supplemental insurance is included in the Hospira corporate rate program (unless a non-participating location as noted above). Return the rental vehicle as soon as repairs are complete on your company vehicle. NOTE: Rental vehicles must be comparable to your company vehicle. You may purchase fuel for a rental vehicle using the fuel card; however, it is imperative that you use for the odometer when prompted at the pump. The odometer reading should ONLY be used for RENTAL vehicles and NEVER used for your assigned company vehicle as it will delay the vehicle replacement process. 13

16 If a car rented in the United States is to be taken into Mexico or Canada, the renter must notify the rental agency so they can arrange for proper insurance on the car. Insurance coverage offered by rental agencies in foreign countries should always be purchased. NOTE: Vehicle and driver eligibility requirements also apply to rental vehicles that are being used temporarily for business purposes in place of the company vehicle. Use of rental vehicles by non-eligible drivers or eligible individuals whose driving privileges have been suspended or revoked, may result in disciplinary action up to, and including, termination. You must follow all policies of the rental agency. E. Vehicle Title/Registration Initial License, Registration and Title The delivering dealer or the fleet leasing company will obtain the registration, title and license plates if allowed by state and jurisdiction. If the delivering dealer or the fleet leasing company cannot obtain the registration, title and license plates, you will be provided with the appropriate documents so you can secure the registration, title and license plates. If the new vehicle is replacing an old unit, the plates from the old unit must be transferred to the new unit, if permitted by your state law. License plates may not be transferred to a different legal owner. Vanity Plates Vanity and/or specialty plates, tinted plate covers and neon frames are prohibited on all company vehicles. Vehicle Transfer to Another State When a company vehicle is moved to another state, the title, license and insurance card must be transferred to the new state where the vehicle will reside. Follow the fleet policy for address changes. Also, call the fleet leasing company with your new address and territory number as soon as possible. The vehicle transfer process can take several weeks, as paperwork must be submitted and returned first by the current licensing state, and then by the state where the vehicle will be moved. It is best to begin this process as soon as you have an address in your new state of residence. If time becomes a factor, call the fleet leasing company and ask for a power of attorney and the title. You can take this packet to your local DMV, process it and include the fees on your expense report. 14

17 License Plate Renewal All leased vehicles are on a re-registration program. The leasing company will notify you via mail approximately 90 days before your license expires. The notice will indicate if you will require a safety inspection, emissions test, tax receipt, or tax waiver. You must comply and promptly mail the test results to the appropriate leasing company. If you do not receive any such notification, contact the fleet leasing company. If your registration will be expiring in less than 30 days, you may be required to go to the local Department of Motor Vehicles (DMV) to renew your license and pay all necessary renewal fees. These fees should be added to your expense report. It is your responsibility to be sure your vehicle has valid license plates and a current registration, as well as all city, county, state inspections and/or parking stickers required in your area. Failure to do so may result in a personal fine and/or your vehicle being impounded. All fines, towing fees, impound fees, losses, rental expenses and court costs will be your responsibility and may not be added to your expense report. Lost or Stolen License Plates Lost or stolen license plates must be reported to the police and the local DMV immediately. The Police Department will provide you with a lost/stolen plate receipt and you will be required to show the receipt to the DMV. The DMV will issue you a temporary license and replacement plate(s) will be ordered. Any costs incurred should be expensed. Call the fleet leasing company with your new license plate number. Disposition of License Plates If the Company vehicle license plates are not transferred to another Company vehicle, when permitted by state law, the employee is required to return the plates to the Department of Motor Vehicles of the state which issued them. F. Vehicle Maintenance Assistance (VMA) NOTE: Drivers are expected to properly maintain the companyprovided vehicle at all times. A preventive maintenance schedule accompanies this handbook and should be followed carefully. Scheduled Vehicle Maintenance All employees will receive a fuel and MAP Driver s Passport along with vehicle maintenance information upon assignment of a company vehicle. This maintenance information will outline the type of vehicle maintenance that is required throughout the life of the vehicle (maintenance based on vehicle mileage). Use your MAP Driver s Passport for routine maintenance without approval. Simply take your 15

18 vehicle to one of the approved shops listed and present your MAP Driver s Passport. The shop will perform the required services and bill the fleet leasing company directly. If you have questions or issues regarding acceptance of the MAP Driver s Passport, contact the fleet leasing company immediately. For non-routine maintenance not included within the VMA brochure, you MUST get prior approval from the fleet leasing company. Maintenance and vehicle damage expenses WILL NOT be approved on expense reports. Strict adherence to the maintenance schedule is critical in order to comply with and preserve the vehicle s respective manufacturer's warranty. Failure to comply with the vehicle maintenance schedule outlined within the MAP Driver s Passport may result in costly repairs that may be your financial responsibility. Keep the maintenance information in your vehicle s glove box for the most efficient access. If you need maintenance information, call the fleet leasing company. Have your vehicle number and mileage ready when you call. Non-Scheduled Vehicle Maintenance For maintenance needs not included within the VMA brochure, call the fleet leasing company for authorization BEFORE going to a vehicle maintenance shop. Factory Recalls In the event of a factory recall, the vehicle manufacturer will notify you by mail, but you may call the fleet leasing company if you have any questions. Notify the fleet leasing company of all warranty work done to the vehicle. Unauthorized Repairs The expense for unauthorized repairs may result in a salary deduction and/or non-payment of invoice. Maintenance and vehicle damage expenses WILL NOT be approved on expense reports. Under no circumstances is an authorized fleet driver to recondition or alter a company vehicle. Use of Rental During Vehicle Repair Should you need a rental vehicle while your vehicle is being repaired, the fleet leasing company will work with you to coordinate the rental. The supplemental insurance is included in the Hospira corporate rate program. Return the rental vehicle as soon as repairs are complete on your company vehicle. ALSO NOTE: Rental vehicles must be comparable to your company vehicle. You may purchase fuel for a rental vehicle using your fuel and maintenance card; however, it is 16

19 imperative that you use for the odometer when prompted by the pump. The odometer reading should ONLY be used for RENTAL vehicles and NEVER used for your assigned company vehicle, as it will delay the vehicle replacement process. Air Conditioner Call the fleet leasing company prior to any repairs being done. Anti-Freeze Cold weather protection for the Company vehicle's cooling system should be completed well before freezing weather sets in; a cracked engine can mean costly repairs. Do not attempt to open the radiator cap. Check the coolant level using the marks visible on the coolant overflow reservoir. Coolant should only be added or changed by an approved service vendor. Coolant service schedule is indicated on your MAP Driver s Passport. While new vehicles come equipped with antifreeze designed to last for multiple years, be sure to have the coolant concentration checked each spring and fall for protection. Automatic Transmission The transmission fluid should be checked by an approved service provider for proper color, smell and level every oil change interval, regardless of what the Owner's Manual states. Your MAP Driver s Passport will indicate if/when the transmission fluid should be changed. Battery Refer to Owner's Manual for maintenance and service instructions. If a battery can't take a full charge, call the fleet leasing company for assistance. CAUTION: If your company car will not start, do not attempt to jump start it yourself. If done incorrectly, the vehicle can be damaged and you may be injured. If your company car will not start or needs other emergency roadside assistance, you should contact the leasing company to arrange for any emergency roadside assistance including, towing, jump start, flat tire change, out of fuel or off-road retrieval. Never allow anyone to attach a charger to your vehicle in an attempt to start the motor. Brakes Your MAP Driver s Passport has a scheduled brake inspection interval established to provide for scheduled brake inspections. Any change in brake performance (poor braking, long stopping distances, pedal drop, pulling, squealing or grinding) indicates the need for a brake inspection. Call the fleet leasing company for assistance. 17

20 Engine Tune-Up Refer to the Owner's Manual for recommendations. Most vehicles come with long-life spark plugs and generally, if the vehicle starts properly and gives good gasoline mileage, a tune-up is not needed. Since the term "tune-up" means something different at every garage, a tune-up can lead to unnecessary expense. If the engine is not starting or running properly, or if your check-engine warning light is on, call the fleet leasing company for assistance before going to a repair shop. Floods Driving Through Standing Water Do not drive through water even if it appears to be only a few inches deep. It can be dangerous to the vehicle occupants, as well as the cause of extensive vehicle damage. Water that may be drawn up into the engine, transmission, and electrical system may result in permanent damage to the vehicle. Depending on the circumstances, you may be held financially responsible for damage that results from driving through an area that is known to be flooded. Front Wheel Balance/Wheel Alignment The need for these services may be indicated by a vehicle's tendency to pull to one side at highway speed, tires showing unusual or uneven wear, or front wheel shimmy. However, these conditions can also be the result of uneven or improper tire inflation or other causes, so call the fleet leasing company for assistance. Glass Damage Window glass that has been seriously damaged should be replaced. However, if damage is minor (a chip or a scratch), it may be repairable. Contact the fleet leasing company for assistance. Inspection and Testing Laws Many states have stringent motor vehicle inspection and testing laws. Be sure to comply with these requirements. Contact the fleet leasing company if you have any questions regarding state requirements. Lost Keys/Keys Locked in Vehicle If you lose your keys, or lock them in your vehicle, contact the fleet leasing company. Pushing, Towing or Jump-Starting Pushing, towing or jump-starting your vehicle should only be done by a licensed tow service. If your company vehicle needs a tow or jump-start, 18

21 contact the leasing company for assistance. Pushing, towing or jumpstarting another vehicle with your company vehicle is prohibited. Shock Absorbers Prior approval from the fleet leasing company is required for replacement and special shocks. All shocks must be obtained through the fleet leasing program. Only store brand, heavy-duty front and/or rear shocks, or rear cargo coils (if available) will be authorized. Snow Chains Snow chains are only authorized in areas where snow conditions warrant their frequent use or when required by law. Contact the fleet leasing company for guidance and authorization. Snow Tires Snow tires are authorized for use on your company vehicle in heavy snow-belt areas. If you are considering snow tires, contact the fleet leasing company for approval. All tires (snow and radials) must remain with the vehicle unless the shop has determined they are worn beyond legal tread requirements. Snow tires with metal studs are strictly prohibited. Speedometer/Odometer The odometer reading has a direct bearing on warranty provisions. It also indicates when to obtain certain maintenance services. Check its accuracy against measured mile markers as soon as you can. If the odometer is seriously inaccurate, or ceases operation altogether, call the fleet leasing company for assistance. Estimate miles driven until repaired. NOTE: If it is necessary to repair or replace the odometer, under Federal law the mileage recorded should be the same before the repair or replacement. If the new/repaired odometer does not register the same mileage as before the service, the odometer is to be adjusted to "0" and a written notice placed on the left door frame of the vehicle by the owner stating the mileage prior to repair. Tire Care Tire pressures should be maintained at the tire pressure recommendations posted on the tire decal on the driver s door or door post. Check tire pressures frequently when they are cold. Also, check tire wear at the same time. When you notice an uneven wear pattern, call the fleet leasing company. This will extend tire life, minimize problems and tire expense. 19

22 Tire Pressure Due to the number of miles the company vehicle is driven every month, you should check the tire pressure a minimum of every two weeks. Under-inflated tires can reduce traction, cause premature tire wear and decrease gas mileage. Call the fleet leasing company or refer to the vehicle owner's manual for guidance. Tire Replacement You are not expected to drive on tires that are unsafe. As your old tires wear out, call the fleet leasing company for guidance and authorization. Tire upgrading is prohibited. Tire Warranties All new passenger vehicle tires are guaranteed by the tire manufacturers to be free from defects in workmanship and material during their normal tread life. Familiarize yourself with the Tire Booklet that was supplied with your vehicle and follow any applicable instructions such as tire registration. If you are in need of tires for your company vehicle or need assistance in locating a vendor for replacement tires, call the fleet leasing company. Window Tinting Call the fleet leasing company for approval BEFORE taking your vehicle to a shop. Window tint can be installed as long as certain mileage and cost criteria are met. The fleet leasing company will approve and set-up the installation with an approved facility. Winterizing Winterizing package deals offered by service stations, tire service centers, etc., should generally be avoided. Nevertheless, as cold weather approaches, you should ensure that the condition of the vehicle is satisfactory. Call the fleet leasing company for assistance. Vehicle Overheating If your vehicle begins to overheat, move the vehicle to a safe location out of traffic, shut it off and call the fleet leasing company for assistance. Vehicle Washing, Waxing and Cleaning It is your responsibility to keep the company vehicle clean at all times (inside and out). You are to pay for washing, waxing and cleaning and put the cost on your expense report for reimbursement. Receipts must be attached to your expense report. If detailing is necessary, 20

23 approval must be received from your Manager and the fleet leasing company. Vehicle Warranties All new passenger vehicles come with a manufacturer s warranty for at least 36 months or 36,000 miles, whichever comes first. Most have a longer warranty on the engines and transmissions - the warranties cover defects in materials and workmanship with certain exceptions, provided the vehicle is maintained properly. Familiarize yourself with the vehicle's warranty statements for specific coverage, for some vehicle models have extended coverage warranties. Emission control systems and computer items carry a longer warranty. If you have any questions regarding a vehicle's warranty, contact the fleet leasing company. G. Fuel Purchases The fuel card is accepted at over 160,000 fuel stations countrywide and should be used for all business-related fuel purchases. If you do not have a fuel card, contact the fleet leasing company immediately. Consult the brochure that accompanies this reference manual for a list of fuel suppliers who accept the fuel card. Acceptable Fuel Grades The use of regular unleaded fuel is required in a majority of situations. However, some gas stations, primarily in the Midwest, offer ethanol blended fuels that provide higher-octane fuel for a price comparable or, in some cases less, than regular gasoline. Because these blended fuels can be less expensive, their use is encouraged when the price is comparable to regular unleaded. There are other states where ethanol blends are marketed but may not always be priced as competitively as regular. Pure ethanol, sometimes sold as E85, is not appropriate for most Hospira vehicles (unless flex fuel vehicles). Use of pure ethanol in a vehicle not equipped to handle this type of fuel will void manufacturers warranties. High altitude areas may require the use of mid-grade fuel to get the necessary octane rating and certain imported vehicles require higheroctane levels. Please check your owner s manual to ensure that you are using the correct octane rating in your geographic area, make and model. 21

24 Using the Fuel Card As prompted at the pump, enter your Driver ID (PIN #). Your PIN # was mailed to you under separate cover for security reasons. This is a secure number and should not be given to anyone. If you do not know your PIN #, contact the fleet leasing company. You must also enter your current mileage when prompted. The current odometer reading should be entered. Otherwise, it will delay the vehicle replacement process. You may purchase fuel for a rental vehicle using the fuel card; however, it is imperative that you use for rental car odometer readings when prompted at the pump. The odometer reading should ONLY be used for RENTAL vehicles and NEVER used for your assigned company vehicle. In the event you cannot use your fuel card to purchase fuel, contact the fleet leasing company immediately. If fuel charges must be expensed on a personal or corporate credit card because the fuel card could not be used, you must explain the reason for not doing so (fuel card not accepted, lost my card, waiting for a fuel card, etc.) in the Comments section of your expense report for manager review. If you have further questions, contact Expense Reporting. NOTE: The fuel card is not to be used for non-vehicle related items (i.e., soda, snacks, etc., are not allowed). All charges against the fuel card will be billed directly to Hospira; therefore, you must not include these charges on your expense report. Failure to abide by this policy is grounds for discipline, up to and including termination of employment. Card Imprint The fuel card is imprinted with the last 6 digits of the VIN number, as well as the assigned vehicle number. The fuel card is assigned to the vehicle, not the driver. The card should remain with the vehicle if it is transferred to another driver. Lost, Stolen or Damaged Cards If your fuel card is lost, stolen or damaged, please contact the fleet leasing company immediately to report the incident and arrange for a replacement card. H. Restrictions Operation of Company Vehicle It is against company policy to operate a company-provided vehicle while under the influence of alcohol or drugs. 22

25 Smoking Smoking is prohibited inside the company vehicle and rental vehicles at all times. Any vehicle detailing costs required as a result of smoking in the company vehicle will be charged to your district. Passengers Authorized fleet drivers may have occasion to carry business associates, relatives or friends in the company vehicle from time to time. However, authorized fleet drivers are positively prohibited from picking up hitchhikers or giving rides to strangers. Do not accept compensation from any individual for carrying passengers or materials. To do so may invalidate the insurance on the company vehicle. Trailer Towing/Bike Racks Towing a personal trailer with your company vehicle is not permitted under any circumstances. Bike racks, ski racks, trailer hitches, etc., of any type are also prohibited. Under no circumstances is an authorized fleet driver to recondition or alter a company vehicle. Firearms Transport and/or storage of firearms on company property, which includes the company vehicle, is strictly prohibited, regardless of their intended use (e.g., hunting, personal security, etc.), unless state law provides otherwise. Additional questions regarding the transport or storage of firearms, or weapons of any type, should be directed to your respective Human Resources department. Bumper Stickers Use of bumper stickers, of any type, is prohibited on the company vehicle. I. Traffic Violations and Parking Tickets Any fines resulting from traffic violations are your responsibility. This includes parking and moving violations. In most states, neglect in settling traffic violations can result in the prevention of registration renewal and/or the impounding of your vehicle. All towing, impound fees, court costs and other related expenses will be your responsibility. These fees may not be expensed. All unpaid violations and associated notices will be forwarded to your manager. If the fleet leasing company is made aware of any parking violations, they will automatically pay the fine and bill Hospira for the amount of the fine plus a processing fee. Drivers must, in turn, reimburse Hospira for only the fine. 23

26 J. New Vehicle Ordering Vehicle Replacement Schedule (re-order cycle) Company vehicles (sedans, minivans) will generally be replaced on a months or 80, ,000 replacement schedule. Four-wheel drive vehicles are replaced after 48 months in service or 80,000 miles. Mileage is based on vehicle maintenance records. A vehicle reorder package will be sent automatically to you during the next ordering cycle. Vehicles are typically ordered in the fall. This season coincides with the vehicle manufacturer s schedule. You will receive a vehicle order form during the first order cycle in which you qualify, not when your vehicle reaches a specific mileage. Ordering a New Vehicle Existing Employees When your vehicle is up for replacement you will receive an from the Fleet Leasing company notifying you. You will be instructed to go on their website and place your order through a secure login. You will also need to confirm your driver information, complete a vehicle condition survey on your existing vehicle, and provide the mileage of your existing vehicle. New vehicle factory orders can take weeks to fill, so please be patient. Changes CANNOT be made once the order is placed. You will receive an order confirmation from the fleet leasing company. You may check the status of your new vehicle order at any time by contacting the fleet leasing company online or via telephone. The dealership will contact you by phone, when your new vehicle arrives. NOTE: If you order a new vehicle and will relocate before the new vehicle is delivered, contact the fleet leasing company. Failure to do so may result in unnecessary vehicle transfer expenses charged against your district s budget. Also, your vehicle may not meet the proper emissions standards required by your new state of residence, which may prohibit you from taking possession of the vehicle. Special Vehicle Requests In the event that an alternative vehicle may become necessary in order to accommodate a medical condition or physical disability, contact Sales Operations or Hospira Human Resources Solution Management. Surplus Vehicles If you are a Manager, and have a vehicle within your district that will not be reassigned within 30 days, call the fleet leasing company immediately, so it may be returned or reassigned to another territory. Your surplus vehicle is charged to your district until it is reassigned or 24

27 sold. When a surplus vehicle is available, it will be reassigned before a new vehicle can be ordered. NOTE: If the vehicle needs to be picked up by a vendor such as a drive away company or auction facility, you should expect to complete a vehicle condition report and obtain a copy of the pick up notice or receipt from the vendor. If you do not receive this, contact the fleet leasing company immediately. 25

28 III. FLEET SAFETY A. Management Expectations Field Sales & Field Service Representatives 1. Drive the company assigned vehicle in a safe and responsible manner in accordance with all state and local traffic safety laws and in accordance with the rules in this manual. 2. Maintain a valid vehicle operating license (as designated by local regulations). 3. Inform ones immediate manager of any vehicular accident or traffic violation (other than parking) within 24-hours of occurrence. Vehicle incidents, which result in vehicle damage, should also be reported to the fleet leasing company. 4. Follow the procedure noted in section II-A of this manual in the event a serious driving infraction occurs. 5. Ensure seatbelts are worn within the company vehicle at all times (this includes front and back seats and while operating the vehicle on both company and personal time). 6. Report all accidents in which you are involved and have had any type of medical treatment, no matter how minor, to your Manager and to the Hospira Medical and Family Leave Center, required state agencies and Fleet Safety, as detailed in III-D of this manual, within 24 hours of incident occurrence. The Leave Center will initiate the Worker s Compensation process. 7. Follow proper safety rules and procedures including: lifting techniques, safe use of tools, etc. 8. Limit the use of the company vehicle to eligible drivers as outlined within section I-B of this manual. 9. Activities that may distract the driver s attention while the vehicle is in motion is prohibited (e.g., eating, reading, cell phone use, etc.). 10. Understand and comply with all applicable Corporate requirements regarding the transportation of hazardous materials. (Transport of chemicals or biological materials within Hospira leased vehicles is strictly prohibited unless specifically trained and authorized by Fleet Safety.) 26

29 11. Do not transport and/or store firearms within the company vehicle regardless of their intended use (e.g., hunting, personal security, etc.) unless state law allows otherwise. 12. Provide authorization for Motor Vehicle Record (MVR) reviews. 13. Participate in periodic training as scheduled. 14. Never operate a vehicle while under the influence of alcohol or drugs. 16. Operate the vehicle in accordance with the requirements presented in this manual. Regional / District Managers 1. Monitor and enforce employee compliance with the requirements and responsibilities as required by the Fleet Safety Program. 2. Personally comply with all expectations required by field sales and/or field service representatives under their responsibility. 3. Attend fleet safety orientation training and/or advanced training as scheduled by Fleet Safety, Sales Training, Sales Operations, etc. 4. Ensure all new field sales and/or field service representatives participate in a web-based fleet safety training as scheduled by Fleet Safety, Sales Training, Sales Operations, etc. 5. Follow the procedure noted in section III-C of this manual in the event a serious driving infraction were to occur within your area of responsibility. 6. Incorporate driving performance and fleet program compliance into existing employee feedback systems such as field/trip reports and annual employee performance reviews. Example issues to be incorporated into these reviews include: a. Vehicle accidents noted to be primarily the fault of the sales employee (as determined by the fleet leasing company). b. Serious fleet vehicle violations (e.g., license suspension, DWI, non-eligible vehicle operation, etc.). c. Results of Motor Vehicle Record reports with regard to safe vehicle operation. 27

30 B. High-Risk Drivers An effective and proactive Fleet Safety Program begins with the screening, selection and hire of safe and responsible drivers. To ensure that Hospira hires and maintains safe drivers, the following procedures have been implemented that will permit the hiring of only those individuals who have demonstrated their ability to operate a vehicle in a safe and responsible manner. High-risk drivers are employees who, by virtue of their poor driving performance, may be more likely than others to be involved in vehicle accidents and/or incur personal injuries to themselves or others. Hospira has a responsibility to address the high-risk driver s negative potential by evaluating an individual s driving history before hire, as well as periodically throughout an employee s working career within the organization. Motor Vehicle Record Checks (MVR) New Hires During the hiring process, each prospective Hospira employee will be asked to submit to a Motor Vehicle Record (MVR) check of his or her driving history. Review of the individual s driving history will be performed prior to hire using the point structure noted on the following page in the Driver Performance Guidelines section. Both moving violations AND chargeable accidents will be evaluated as part of the MVR. Typically, candidates who have accumulated an excessive amount of points within the previous 36 months will be disqualified from hire consideration. NOTE: A chargeable accident is an accident that is determined by the respective State to be primarily the fault of the driver. Motor Vehicle Record (MVR) Annual Checks At minimum, an annual MVR check will be performed on the employee s driving history. MVR results will be reviewed by the Fleet Safety Committee comprised of Sales and Fleet Service Management, Global EHS, Risk Management and Human Resources. In addition, the Fleet Safety Committee shall review accidents at least semi-annually. Depending on the nature of the driving violation(s), and the accident review noted on the MVR check, if any, the employee may be subject to disciplinary action, required to attend additional driver safety training, face suspension, or be terminated. 28

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