SETTLEMENT UPDATE

Settlement payments to approved claimants were mailed on December 30, 2010.

The Ninth Circuit Court of Appeals has dismissed all appeals to the settlement.

Two settlements have been proposed in a consolidated class action lawsuit pending in the United States District Court for the District of Nevada. One group of lawsuits alleges that Wal-Mart did not provide the Class Members with full, uninterrupted rest breaks and meal periods and did not pay the Class Members for all the time they worked (the “State Lawsuit”). The other lawsuit alleges claims under ERISA (“King Lawsuit”) on behalf of 401(k) retirement plans and their participants. Although Wal-Mart denies the allegations in all of the lawsuits, the parties to all of the cases have agreed to a settlement.

The Court has preliminarily approved the settlement and has conditionally certified a Settlement Classes in accordance with the proposed Settlement Agreements.

With respect to the State Lawsuits, if you are a member of the Settlement Class you may be eligible to receive a payment under the settlement if you are a current or former hourly associate who works or worked at a Wal-Mart store, Supercenter, Distribution Center, Neighborhood Market or Sam’s Club in one of thirty states and territories during the relevant time period. In connection with the State Lawsuits, Wal-Mart has agreed to pay up to $85 million into a settlement fund. Payments of Class Members’ claims, attorney fees and expenses, and costs of administering the Settlement will be paid from the settlement fund.

With respect to the King Lawsuit, Wal-Mart has agreed to pay up to $5 million into a settlement fund. Payments to eligible class members, for attorneys’ fees and expenses and for certain costs will be paid from the settlement fund.

Class Members in the State Lawsuits generally have the following four options, but be sure to review the State Lawsuits Notice to see if you may be a Class Member and for more information about your options: