Benefits

Depomed employees enjoy a variety of company-provided benefits. The following is a summary intended to assist you in better understanding programs provided by Depomed.

Time Away From Work

Holidays
Depomed observes 10 paid holidays per year for regular, full-time employees (and those part-time employees who work 30 or more hours per week). A schedule is posted in November for the following year. The scheduled holidays include New Years' Day, Martin Luther King's Birthday, Presidents' Day, Memorial Day, Independence Day, Labor Day, Thanksgiving Day and the day after, Christmas Eve and Christmas Day.

Vacation
Depomed offers its employees paid vacation for time away from their jobs. During the first year of employment, regular, full-time employees will begin to accrue 14 days per year, starting at the date of hire. In years 2-5, the accrual is increased to 18 days per year, and in the 6th year and beyond, the accrual rate is 22 days per year. Accumulation of vacation leave is prorated for qualifying part-time employees.

Sick Leave
12 days of sick pay per year are made available for use by regular, full-time employees. Accumulation of sick leave will be prorated for new hires and eligible part-time employees.

Employee Health

Depomed provides comprehensive insurance coverage for qualifying employees and those part-time employees who work 30 or more hours per week. All insurance coverage becomes effective on the first day of employment. Employees contribute only 10% of the total premium for medical and dental coverage, on a pre-tax basis.

Medical Insurance
Depomed offers its employees and their eligible dependents a number of options related to group medical insurance, including Blue Shield PPO (Preferred Provider Organization), Blue Shield HMO (Health Maintenance Organization) and Kaiser.

Dental Insurance
Qualified employees and their eligible dependents enjoy dental coverage through Aetna’s PPO plan.

Gym Membership
Depomed recognizes the importance of employee health and fitness and is please to provide qualified employees with a fully paid corporate membership to a local health club.

Financial Planning

401(k) Plan - Tax Deferred Retirement Savings
A 401(k) Plan is offered to all regular employees of Depomed and provides a tax-deferred retirement savings program. A variety of investment options are available and saving is convenient through payroll deductions. There is also a loan provision in the savings plan. New employees are eligible to participate in the plan with no waiting period.

Flexible Spending Plan
Regular full time employees may elect to participate in the Flexible Spending Plan. Part time employees are eligible to elect to participate if their regularly scheduled hours are 30 or more hours per week. The Plan can be used to pay for deductible health care and dependent care expenses with pre-tax dollars. The Flexible Spending Plan is funded by participating employees’ payroll deductions; reimbursements are made through the Company’s payroll processing.

Employee Stock Purchase Plan
Employees who work more than 20 hours per week and five months per year, and are employed on an Offering Date, are eligible to participate in the stock purchase plan. Contributions to the plan are made through payroll deductions; up to 15% of an employees’ pay can be contributed to the ESPP, subject to certain limitations. Shares are sold under the Plan at 85% of the lower of the fair market value on the Offering Date or the Purchase Date.

Financial Security

Through its partnership with UNUM Provident, Depomed provides an array of insurance plans to assist our employees maintain financial stability. These plans are provided at no cost to our eligible employees:

Basic Life and Accidental Death and Dismemberment (AD&D) Insurance
This program includes an employee assistance component.

Short and Long Term Disability

Basic Long Term Care
Those employees wanting to further secure their financial future have the ability of utilizing this plan’s “buy-up” provision for themselves and certain family members.