EMPLOYEE SHARE PURCHASE PROGRAM

The Fortis Inc. Employee Share Purchase Plan (ESPP) provides eligible employees the opportunity to purchase Fortis, Inc. common shares on a completely voluntary basis.

If an employee chooses to participate in the plan, your employer will add a 10% “top up” (company match), which will go toward the purchase of Fortis, Inc. common shares on the investment date. In addition, employees will receive a 10% “top up” (company match) on earned dividends, which will be reinvested into additional common shares.

As with any investment, employees are encouraged to thoroughly review and assess this plan with a tax and financial advisor. For details on the plan, please refer to the Fortis ESPP Prospectus.

Enrollment Details

The current year investment schedule is listed below:

How to Participate

1. Start by reviewing and completing the ESPP Enrollment Form.
2. Next, navigate to Workday and in the search bar, type “Request Flexible Payment and Deduction Options.” Click on the hyperlink task named “Request Flexible Payment and Deduction Options.”
3. The “Request Flexible Payment and Deduction Options” pop-up window displays. The only option that should be reflected in the dropdown box will indicate the quarter in which you are enrolling. Select that option.
4. When the option is selected, input the target amount you wish to purchase for common shares of Fortis Inc. The amount cannot be less than 1% or more than 10% of your annual salary. 
5. If you are taking a loan for the purchase, enter the number of installments (paychecks) you agree to repay the loan without interest through payroll deductions. This amount cannot exceed 26.
   • If you are purchasing by check, enter “1” installment, and in the comment section, note that you are paying by check. The request will not be approved in Workday until the Compensation Team receives the physical check.
6. Click to acknowledge your purchase request and click “Submit.”
7. You will receive a task in Workday to download the ESPP enrollment form. Complete the form and upload it to the request. You no longer need to submit the form by email. 
8. Then click “Submit.”

Payment Options

Employees have two options to pay for share purchases. Owned shares from “top up” (company match) are not eligible to be sold until after being held for one year.

1. Lump-Sum Check

Attach a check made payable to your company of employment along with your enrollment document.

• Tucson Electric Power Company
• UNS Electric, Inc.
• UNS Gas, Inc.

2. Interest-Free Loan

Payments over no longer than a 12-month period via payroll deduction will begin as soon as administratively feasible following the quarterly purchase date. For more details on the loan option, please refer to the Prospectus.

Loans must be paid back before outstanding shares may be sold.

Any outstanding ESPP loan amount at the time of termination of employment will be recouped via a Sell to Cover order with Computershare unless optionally paid back in full via personal check or deduction from final pay.  

Contact Information

Computershare is the administrative agent and can be contacted by calling a customer service representative.

Computershare Canada Customer Service
(866) 586-7638
Press option ‘2’ for Fortis ESPP

If you enrolled in a previous quarter, you may check your account status and balance online at EquatePlus. You will then be prompted for your ID, which was mailed to you in a statement and begins with ‘C000’ and PIN. If you need help with your login credentials, use the Forgot PIN link on the login screen or call the Computershare number above.

UNS Comp Team
520-918-8383
totalrewards@tep.com

Alternative Fortis Investment Option

Investing in Fortis Stock gives you the opportunity to participate in our company’s success, which is driven in large part by your contributions made every day. See how Fortis Stock works in the 401(k) by reviewing Fortis Stock in Your 401(k).