North Carolina Advanced Energy Corporation

“Members of North Carolina Advanced Energy are the Commissioners of the North Carolina Utilities Commission.”

“Members have certain approval rights, such as charter changes, which are listed in the articles of incorporation.”

“A copy of the 990 is provided to the executive committee for review.”

“Advanced Energy strives to pay competitive wages in order attract and maintain motivated, qualified individuals. In order to ensure fair and competitive base wages, Advanced Energy follows the compensation review process outlined below. Advanced Energy has an independent organization research market rate salaries and set salary ranges. These market rate salary ranges and individual performance assist in setting individual salaries. Bi-annually: Advanced Energy hires an outside consultant, Capital Associated Industries (CAI), to perform a market-based salary survey. Using industry publications and their own data, CAI sets salary ranges against job descriptions provided by Advanced Energy. Annually: 1.) Spring: -- Human resources review job descriptions with staff members and team leaders to ensure that individual job descriptions are current. -- The management team, consisting of the president, vice presidents, and team leaders, holds three meetings to review performance, review positions, and determine salary. In the performance review, individuals are looked at for their individual contribution to the organization. In the position review, succession planning is performed and individuals are reviewed for their importance to the organization and potential growth. After these reviews are performed, the management team reviews and sets the salaries of all individuals within their market based salary range. -- After the management team has performed its review and setting process, the proposed salary changes are presented to the Executive Committee of the Board of Directors for approval. 2.) Summer: -- Once approved by the Executive Committee, changes are given to human resources to put into effect. -- Each employee receives an employment letter which includes position and salary information upon hiring. During this salary review and setting process, an additional letter is produced and provided to each individual reporting any changes in position titles and salary changes. -- Payroll is reviewed by the Vice President of Administration to ensure that changes were recorded accurately. 3.) Fall: The Board of Directors approves the annual budget including staffing and salaries in December for the next calendar year. The budget sets the dollar level of increases available during the following calendar year.”

“Audited financials, articles of incorporation, bylaws and subsequent changes are posted on the North Carolina Utilities commission (NCUC) website under docket E-100, Sub 37 and 37-a, which are the dockets covering the organization. The NCUC also holds an annual public hearing to receive the annual report of activities and solicit public comment.”