Audit Results Indicate Improved Employee Trust (Excerpt from October 1999 Circuit)

Results from the recent audit of ES³'s Ethics program are in, and the data indicates a marked improvement in employee trust.

Employees surveyed responded much more favorably than in previous years to questions involving reports of suspected violations and feeling free of reprisal. Other findings from the audit were also positive.

Employees are encouraged to ask questions and report ethics concerns early on, so situations with the potential to negatively impact our business are corrected quickly. To facilitate this action, employees have been provided a lot of latitude for making reports. They can talk directly with their management, contact the Ethics OpenLine (410) 765-1919, mail in a report (hard copy or e-mail), or schedule a time to meet directly with the Business Conduct Officer at their facility.

Reports to the OpenLine may be anonymous. Wen an anonymous call is received, the caller is given a case reference number to enable them to follow-up on the results from their call. OpenLine phone numbers are not traceable, and employees are assured of no reprisal from making ethics reports. According to this year's audit responses, the vast majority of ES³ employees feel free of reprisal when making a report. Sector responses were well above industry averages at every location surveyed.

The audit process also revealed an opportunity for enhancement in processes involving new employees. On the first day of their employment, all new hires receive a short briefing introducing the Ethics program. They also receive briefings from employment, medical, benefits, and security, as well as other essential information. That day- one Ethics briefing was noted as providing a good foundation for employment success. However, it was noted that day-one information is very concentrated and extensive, making retention difficult. As a result, a process to follow up with new employees approximately 60 days into their employment will be implemented by year's end.

Finally, the audit reinforced the suitability and accomplishment of existing Ethics processes, including: the Business Activity Tracking Systems (BATS) that monitors and reports compliance training; the OpenLine case summary system; Command Media and the Intranet Web site providing employees ready access to policy and procedure, Q&A, and contact information; and the secure Internet Web site which enables database access by Ethics officers and HR representatives from any sector location.

To all the employees that directly or indirectly contributed to this year's audit and the Ethics program, thank you for contributing to this success!