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GERDAU–COMMERCIAL METALS

Transition FAQs

These FAQs are for employees from former Gerdau Eastern/Central locations. FAQs for former

Gerdau Western locations can be found here here, and FAQs for Napa Shopmen’s Local

Union No. 790 employees can be found here.

BenefitsGENERAL

1. What benefits will I have when I become a CMC employee?

If you are a full-time Gerdau employee who joined CMC as part of the acquisition, you will be eligible for

CMC’s health and welfare benefits on your date of hire. As long as you enroll for 2018 benefits within 31

days of your date of hire, your benefits will be effective on your date of hire.

For information about CMC’s 2018 employee benefits, see your 2018 Benefits Guide.

2. Will I need to enroll for benefits?

Yes, eligible employees who join CMC as part of the Gerdau acquisition and want benefits coverage need to

enroll within 31 days of hire for 2018 and 2019 benefits.

3. How do I enroll for benefits?

Enroll online within 31 days of becoming a CMC employee. You’ll need your CMC employee ID number to

enroll. There are three ways to access the enrollment system:

• Click the Enroll in Benefits button in the top-right corner of myCMCBenefits.com.

• Go to the CMC GlobalNet homepage. Click Benefits on the right to get started.

• Log in to cmcbenefits.bswift.com.

The enrollment site will lead you through the steps to enroll. You’ll be asked to make elections for 2018

first, then 2019. If you want the same benefits for 2019, you can just confirm that you want to keep your

2018 elections. There’s one exception: Flexible spending accounts must be elected each year if you want

to participate. Be sure to review your selections and save them. You can get enrollment help from CMC

Employee Services at employeeservices@cmc.com or 1-877-262-8050.

4. What are the premiums for medical, dental and vision?

CMC’s rates for medical coverage depend on your salary. Those with an annual base pay of $100,000 or

more pay a higher rate. You will receive benefits rates with your printed benefits guide. That information will

also be available in our online enrollment system when you enroll.

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5. When will deductions for 2018 health insurance start coming out of my paycheck?

Paycheck deductions for 2018 health insurance benefits (medical, dental, vision, etc.) and income

protection benefits (life insurance, AD&D, disability) will not be effective until Nov. 11.

You will see the health insurance and income protection benefit deductions in your paycheck beginning

Nov. 22. Even though deductions begin later, your coverage is still effective on your first day of CMC

employment, and you won’t have to make up the missed deductions on future paychecks.

Your 401(k) deductions will begin within one to two pay periods after you enroll (or after you are

automatically enrolled).

6. What happens if I don’t enroll for benefits within 31 days of hire?

If you do not enroll, you will be enrolled automatically ONLY in benefits paid 100% by CMC (basic life, basic

accidental death and dismemberment, short term disability, long term disability, business travel accident

and the employee assistance program). You will have to wait until the next Open Enrollment (Fall 2019 for

the 2020 plan year) to elect optional coverage (medical, dental, vision, optional life and optional accidental

death and dismemberment), unless you experience a qualified life event. Qualified life events include things

like marriage, divorce, birth or adoption, etc. See your Benefits Guide for more details.

7. I’m a new hire who joined after CMC acquired my location. When and how can I enroll?

All full-time employees of CMC working 30 hours or more per week are eligible for CMC group benefits. If

you wish to elect benefits you must enroll within 31 days of your date of hire. Benefits begin the first of the

month following 30 days of employment.

There are three ways to access the enrollment system:

• Click the Enroll in Benefits button in the top-right corner of myCMCBenefits.com.

• Go to the CMC GlobalNet homepage. Click Benefits on the right to get started.

• Log in to cmcbenefits.bswift.com.

The enrollment site will lead you through the steps to enroll. Note: It may take up to 7 days to access the

enrollment tool, however, your enrollment period begins on your date of hire.

8. What happens if I have a qualified life event?

You can only make changes to your benefits during the year if you have a qualified life event (e.g., marriage,

divorce, birth, adoption, death). If you have a qualified life event and wish to make a change to your benefits,

visit the Benefits Service Center.

There are three ways to access it:

• Click the Enroll in Benefits button in the top-right corner of myCMCBenefits.com.

• Go to the CMC GlobalNet homepage. Click Benefits on the right to get started.

• Log in to cmcbenefits.bswift.com.

After you log in, click on Life Event to make changes and provide the required documentation.

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9. Will I need to provide documents to show that my dependents are eligible for benefits?

Yes, you will need to provide documents to cover any dependents under CMC benefits plans.

10. What documentation do I need to provide to cover dependents?

When you enroll dependents in CMC benefits for the first time (or re-enroll them), you must provide

documentation.

Click here for information about who you may cover and what documentation is required.

11. Will I get benefits ID cards?

You will get a medical ID card or cards. When you enroll, verify your address in the online enrollment system.

That’s the address your ID card(s) will be mailed to. CMC’s 2019 dental and vision plans don’t require an ID

card. You just give your group number or Social Security number to your provider.

12. Will my years of Gerdau service count toward my CMC service?

Yes. Your years of Gerdau service will carry over to CMC for benefits eligibility and 401(k) vesting.

13. Where can I find out more about CMC’s benefits?

Visit the full CMC benefits site to learn more. The 2018 Benefits Guide and the main site’s FAQs offer

detailed information.

MEDICAL

1. Who is our medical carrier for 2018?

Blue Cross Blue Shield of Texas

2. Will we be able to enroll spouses who have coverage with their employer? Will they be allowed to drop their current medical plan?

Yes. Your new coverage is considered a qualifying life event for your spouse, so he/she will be able to drop

current coverage and you will be able to enroll him/her.

3. Do my spouse and I need to get a physical to avoid paying a surcharge in 2018 or 2019?

You and your covered spouse won’t be required to get a physical to avoid a surcharge in 2018 for 2019

rates. You will need to get an annual physical in 2019 to avoid a surcharge on your 2020 premiums.

4. What if I need to go to the doctor before I receive an insurance card?

Your coverage will be effective on the day you become a CMC employee. However, your information may not

be in your insurance carrier’s systems for approximately 10-14 days. If you want to use your benefits before

that time, you may need to pay for services out of pocket, and then submit paperwork to get reimbursed. If

you or your covered dependents need emergency medical care before you receive your new ID card, contact

CMC Employee Services at employeeservices@cmc.com or 1-877-262-8050.

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5. Will what I’ve paid this year toward my medical deductible and out-of-pocket maximum apply when I become a CMC employee?

CMC will honor what you have already paid toward your 2018 medical and dental deductibles and your

medical out-of-pocket maximum. However, it may take time to get your totals updated due to the provider

claim submission process. The first file transfer will occur 30 days after the acquisition closes and

periodically after that.

PRESCRIPTION DRUGS

1. I use mail order to get my prescriptions filled. How can I transition to the new mail order program?

You will need to get new prescriptions from your doctor and place an order with Prime Mail® (for regular mail

order) or Prime Specialty Pharmacy (for specialty drugs). Contact Blue Cross Blue Shield at 1-877-262-7977

for more information.

SAVINGS AND SPENDING ACCOUNTS

1. Does CMC offer a Health Savings Account (HSA)?

No. If you had an HSA with Gerdau, you can keep your balance and use it toward ongoing medical expenses

by staying with WageWorks or transferring your assets to another HSA provider. You will be responsible for

paying any account fees that may apply. WageWorks will send you a communication with your options and

more details after your termination from Gerdau is processed.

2. What will happen to my flexible spending accounts (FSAs)?

If you have a Health Care and/or Dependent Care FSA with Gerdau, you have until March 31, 2019, to file

claims for expenses incurred through your Gerdau termination date. You will lose any money remaining in

your account after the claim-filing deadline.

3. Can I enroll for Flexible Spending Account(s) in 2018?

Yes. We offer Health Care and Dependent Day Care FSAs, and you can enroll in them for 2018. If you are

enrolling in a CMC FSA, consider your contributions to date before deciding what to contribute with CMC. It’s

your responsibility to ensure you don’t go over the IRS limit (see p. 13 of the Benefits Guide).

VOLUNTARY BENEFITS

1. Can I keep my Gerdau voluntary benefits?

Your group coverage with Gerdau will end when you become a CMC employee. If you prefer to keep your

voluntary benefits, speak to your carrier(s) about converting to individual policies.

2. Can we enroll for CMC’s voluntary benefits?

If you are a full-time employee, you will be eligible to enroll in CMC’s voluntary benefits (hospital indemnity,

critical illness and accident).

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RETIREMENT – 401(K)

1. Will I keep the same retirement plan(s)?

No, but you are immediately eligible to participate in CMC’s 401(k) plan through Milliman if you became

a CMC employee through the acquisition, and you are a full- or part-time employee. You can learn about

CMC’s 401(k) plan on the Retirement page.

2. How do I enroll in CMC’s 401(k) plan?

Automatic Enrollment

• Eligible employees will be automatically enrolled in the 401(k) with a 6% pre-tax contribution, unless

they elect differently – or elect not to contribute at all – before automatic enrollment occurs. Automatic

enrollment happens 31 days after the acquisition closes.

• Your contribution will be automatically deducted from your paycheck, beginning one or two pay periods

after automatic enrollment. You may elect to increase, decrease or stop your contributions at any time.

• Unless you choose differently, your money will be invested in a Vanguard Target Date Fund that most

closely matches your normal retirement date (the year you turn 65).

• You can change your contribution rate or investments at any time at MillimanBenefits.com.

Self Enrollment

• All employees may self-enroll as soon as they are eligible to participate. Choose your own contribution

rate, investments, etc.

• Enrolling is easy! Visit MillimanBenefits.com and click NEW USER. Follow the prompts to begin the

registration process.

• After you enroll, your contributions will begin coming out of your paycheck within one or two pay periods.

3. What if I don’t want to enroll, or I want to enroll at a different percentage?

If you don’t want to enroll, visit MillimanBenefits.com and make your own election – for a different

contribution rate or choose not to contribute. You can change your contribution at any time. If you want to

avoid getting automatically enrolled at 6%, be sure to make your own election before your 31st day as a

CMC employee.

4. How does the automatic increase work?

While you participate in the 401(k) plan, your contribution will automatically increase by 1% each year

on September 1, until your contribution reaches 8% of your eligible pay. Remember that you can change

your contribution rate at any time. If you don’t want your deferral rate to increase, change your deferral

percentage by lowering it 1% right before September 1. Then, the automatic increase will take you back to

your former percentage. If your deferral rate is set at 0%, the automatic increase won’t apply to you.

5. What’s the company match?

CMC matches your contributions dollar for dollar up to 3% of your eligible pay. At a 4% contribution, CMC

matches 3.5%, at 5% CMC matches 4%, and at 6% or more, CMC matches 4.5%. So, if you contribute

at least 6% of your pay, you get the full company match. In addition, CMC makes annual discretionary

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supplemental contributions of up to 2% of your pay if we meet our financial goals. You don’t have to

contribute any of your own money to get the supplemental contribution.

6. What funds does the 401(k) plan offer?

Milliman offers a wide variety of funds in several asset classes. You can view your options at

MillimanBenefits.com or in the welcome kit that will be mailed to your home shortly after you become a

CMC employee.

7. Can I roll over my Gerdau 401(k) account to CMC’s plan?

Yes. Request a rollover distribution from Gerdau’s 401(k) plan administrator, Fidelity Investments. Then,

contact Milliman, request and complete a rollover form, and mail as instructed.

Please note: Any outstanding 401(k) loan you have with a previous employer should be paid off before

initiating a rollover request to avoid a penalty and taxable distribution of the outstanding loan balance.

8. What fees does the 401(k) plan charge?

Overall, you’ll pay less with the CMC 401(k) plan than you did with the Gerdau plan, but it will look different

than what you’re used to. All plans have administrative expenses. However, plans differ in how they charge

participant fees.

The CMC Plan charges a monthly account fee of $5.25, but it also offers a wider variety of investments with

lower expense ratios. So, overall, you’ll pay less that you did in the Gerdau plan. You can find expense ratios

and full fee disclosures at MillimanBenefits.com.