ALC COMMUNICATIONS LLC DBA COMTUITY

count balance under the Plan has been distributed or forfeited. Participant Accounts Each participant account is credited with the participant’s contributions, rollovers, employer-matching contributions, profit sharing contributions, and allocations of Plan income. Allocations of Plan income are based on participant account balances. The benefit to which a participant is entitled is the benefit that can be provided from the participant’s vested account. Vesting Participants are always vested in the value of their contributions and earnings thereon. A participant shall be fully vested in the employer-matching and profit sharing contributions allocated to his or her account or Employee Stock Ownership Plan (“ESOP”) account and any income thereon upon completing three years of vesting service

that can be provided from the participant’s vested account. Vesting Participants are always vested in the value of their contributions and earnings thereon. A participant shall be fully vested in the employer-matching and profit sharing contributions allocated to his or her account or Employee Stock Ownership Plan (“ESOP”) account and any income thereon upon completing three years of vesting service or upon death, disability, retirement from Verizon or its Participating Affiliates, attainment of normal retirement age, or involuntary termination (other than for cause or in connection with a business transaction). - 4 - Forfeitures Forfeited balances of terminated participants' non-vested accounts are used to reduce future employer-matching contributions and profit sharing contributions. For

0 or older can elect to make additional catch-up contributions to the Plan. Contributions are subject to certain Internal Revenue Service (“IRS”) limitations. The Plan includes an auto-enrollment provision whereby certain newly eligible employees are automatically enrolled in the Plan at a contribution rate of 6 % of eligible compensation unless they affirmatively elect not to participate in the Plan or elect to contribute at a different rate. Contributions for an automatically enrolled participant are invested in the Target Date Fund that corresponds most closely with the year the participant will turn age 65 , the qualified default investment alternative designated by the Plan administrator, until changed by the participant. Automatic enrollment applies to eligible employees who are cove

ivable from participants 293 Contributions: Participant contributions 5,266 Employer contributions 1,759 Total contributions 7,025 Deductions: Benefits paid to participants 33,126 Administrative expenses 491 Total deductions 33,617 Net increase 9,799 Net assets available for benefits Beginning of year 317,538 End of year $ 327,337 The accompanying notes are an integral part of these financial statements. - 3 - VERIZON SAVINGS AND SECURITY PLAN FOR WEST REGION HOURLY EMPLOYEES Notes to Financial Statements 1. Plan Description The following description of the Verizon Savings and Security Plan for West Region Hourly Employees (the “Plan”) provides only general information. Participants should refer to the Summary Plan Description and Plan Document for a complete description of the Plan’s prov