1. Sport Chalet SmartCard Reward and Recognition Program

2. The Sport Chalet Safety Program rewards you for working safely. How? You’ll earn award points you can redeem for gifts and prizes! You’ll earn award points you can redeem for gifts and prizes! You’ll receive chances at winning Dream Vacations! You’ll receive chances at winning Dream Vacations!

3. SmartCards Every month, attend the Safety Meeting with your fellow employees. Every month, attend the Safety Meeting with your fellow employees. Review the safety lesson with them and answer the two T/F questions. Review the safety lesson with them and answer the two T/F questions. Call the Hotline number at 866-838-8651 to record your answers. Call the Hotline number at 866-838-8651 to record your answers.

4. When you call the hotline… You’ll be prompted to key in your Employee ID and the Quiz # printed on the SmartCard. You’ll be prompted to key in your Employee ID and the Quiz # printed on the SmartCard. Just by calling, you will automatically be entered into a drawing for a Dream Vacation. Just by calling, you will automatically be entered into a drawing for a Dream Vacation. One of these vacations will be awarded monthly. One of these vacations will be awarded monthly. You also may record your answers at www.incentivesonline.com/smartcard. You also may record your answers at www.incentivesonline.com/smartcard. www.incentivesonline.com/smartcard

5. You could be an instant winner! A random number of Hotline callers will be instant winners of award points. A random number of Hotline callers will be instant winners of award points. You can redeem these points immediately for a gift or save them up for a higher-level prize. You can redeem these points immediately for a gift or save them up for a higher-level prize. All gifts ship directly to your home. All gifts ship directly to your home. Available gifts are shown in the Award of Excellence catalog in the break room. Available gifts are shown in the Award of Excellence catalog in the break room.

6. Available gifts… All available gifts are shown in the Award of Excellence catalog in the break room. Gifts ship directly to your home.

7. How can you earn Scorecards? Every month that your location has not had a recordable injury, every employee at that location will receive one Scorecard at the Safety Meeting the following month. Every month that your location has not had a recordable injury, every employee at that location will receive one Scorecard at the Safety Meeting the following month. Management also may award Scorecards to employees who make a safety suggestion, point out an unsafe condition, or perform their jobs in a safe manner. Management also may award Scorecards to employees who make a safety suggestion, point out an unsafe condition, or perform their jobs in a safe manner.

8. Scorecards When you receive a Scorecard, call the Hotline number on the card. When you receive a Scorecard, call the Hotline number on the card. Follow the prompts to enter the PIN number and learn what you have won. Follow the prompts to enter the PIN number and learn what you have won. You will either receive more award points or another chance at a Dream Vacation. You will either receive more award points or another chance at a Dream Vacation. Every quarter, a separate vacation will be awarded from Scorecard entries Every quarter, a separate vacation will be awarded from Scorecard entries

9. Award Points A record of all SmartCard and Scorecard award points will be kept in an account for you, based on your employee number. A record of all SmartCard and Scorecard award points will be kept in an account for you, based on your employee number. If you are transferred to another location, your points automatically transfer with you. If you are transferred to another location, your points automatically transfer with you. Any time you order a gift from the Award of Excellence catalog, the award points will automatically be deducted from your account. Any time you order a gift from the Award of Excellence catalog, the award points will automatically be deducted from your account. Your can learn your point balance anytime by calling the Hotline and choosing the point query option. Your can learn your point balance anytime by calling the Hotline and choosing the point query option.

10. You can still use unredeemed Scratchoff cards to order a gift. You can still use unredeemed Scratchoff cards to order a gift. You can even combine them with award points from your account. You can even combine them with award points from your account. Simply enclose the card when mailing your order form to the Award of Excellence catalog. Simply enclose the card when mailing your order form to the Award of Excellence catalog. What about unredeemed Scratchoff cards?

11. Participation Awards You could win a Dream Vacation!  Every quarter, two trips will be awarded to the location with the highest percentage of calls to the SmartCard hotline.  One trip will be awarded to a member of management from that location by a random drawing conducted at the Corporate office.  Another trip will be awarded to an employee at the same location, chosen from a drawing of all employees who have called the SmartCard hotline during the previous quarter.

12. All Dream Vacation winners  If you are selected as a Dream Vacation winner, choose one of the destinations listed at www.incentivesonline.com (Click on Grand Prize Winners). www.incentivesonline.com  Travel destinations include a 3 night cruise for two adults (Sport Chalet will pay your Port Fees) or 5 nights in a resort vacation home.  You will also receive $500 toward travel expenses.

13. Trade in your Trip! You also may trade a Dream Vacation award for an 1100 point shopping spree in the Award of Excellence Catalog.

14. Gift and trip restrictions…  Trips must be taken within 6 months of the award date  You must be a current employee of Sport Chalet to redeem award points and trips.  If your employment ends with Sport Chalet, you lose all unredeemed award points and gifts.

15.  Please report all injuries immediately! Failure to report may result in disciplinary action.  Please review pages 40 & 41 of the Award of Excellence Catalog for important details. To learn more about this program, visit www.incentivesonline.com/sportchalet. To learn more about this program, visit www.incentivesonline.com/sportchalet. www.incentivesonline.com/sportchalet