[an error occurred while processing this directive]		Flex 2002 News: Changes for Flex 2002 Merck’s employee health care guiding principles offer a strategic starting point for benefit evaluation and change. During the past year, the Company put these principles into action by conducting a comprehensive line-by-line benefits audit. As a result of that evaluation, a number of health care changes—highlighted in this newsletter—will take effect January 1, 2002. As you review these changes, recognize that certain modifications will affect almost all employees while others are more limited in scope. Also keep in mind that many of these changes are designed to reallocate benefit resources to where they are of most value by: Aligning with clinical protocols and industry standards; Addressing inconsistencies or gaps in coverage or choice; Adjusting employee cost-sharing levels; and Improving employee understanding and decision-making. Coverage Added for Certain Preventive Services As a health care company, Merck believes that preventive services can help identify and manage certain health care issues, and help reduce future treatment needs. Currently, many preventive services are excluded from coverage under the 90/10 and 80/20 medical options. However, certain preventive services are covered on an in-network basis under the Managed Choice® POS and Open Choice® PPO options. To encourage employees to proactively manage their health and well-being, starting in 2002 all non-HMO medical options will cover the same core set of preventive services—as recommended by the U.S. Preventive Services Task Force.* This means coverage for certain preventive services will be added to the 90/10 and 80/20 options. And, the same preventive services will be covered (on an in-network basis only) under the POS and PPO options. _____ * The USPSTF is an independent panel of private-sector experts in primary care and prevention, under the auspices of the Agency for Healthcare Research and Quality. Summary of 2002 Coverage for Preventive Services Under the 90/10, 80/20, PPO* and POS* Medical Options Well Child Care (0-6 Years) Annual Routine Physical (After Age 6) Immunizations Eye Exam (Every 24 Months) Hearing Exam (Every 24 Months) Annual Routine Ob/Gyn Visit Annual PAP Test Mammography Bone Mass Density Cholesterol Lab Tests Fecal Occult Blood Tests Sigmoidoscopy/Colonoscopy * For the PPO and POS options, many of these services are covered on an in - network basis only. What This Change Means To You If you are covered or are planning to elect coverage under the 90/10, 80/20, POS or PPO option, contact Aetna U.S. Healthcare at 800-541-6711 or go online to http://www.aetnaushc.com to access the Aetna Navigator™ an interactive tool that offers age- and gender-specific preventive service guidelines. If you are covered or are planning to elect coverage through an HMO option, you may find that many of these same preventive services are covered; contact your HMO for specific details. Fast Fact Merck’s employee health care guiding principles—and the resulting 2002 benefit changes—were developed with direct input from Merck’s senior management. They are designed to be consistent with our position as a leader in the health care, managed care and pharmaceutical industries. Health care benefits are just one part of Merck’s total compensation program. According to the 2001 Hewitt* Benefits Index, a tool for measuring the value and competitiveness of employee benefits, Merck’s total health care offerings rank first when compared with benefits provided by 15 of our competitors in the pharmaceutical industry. * Hewitt Associates is a leading human resources and management consulting firm.

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