Sharesave 2018Join online, by phone or text by 5pm on Tuesday 8th May.

Save

Plan

Enjoy

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• Save a fixed amount from as little as £5 to as much as £350 each month for three years from your net pay

• Any other amount you may be saving in other Sharesave Schemes count towards your £350 total, whether you are still saving in them, or if you have closed them and they have yet to reach the end of their term

• Get up to a 20% discount on the current Morrisons share price, which is fixed for three years. This is the Option Price

• Share prices can fall as well as rise. Past share price performance is not necessarily an indication of future performance

• To find out the current Morrisons share price visit morrisons-corporate.com

• Your savings are held in a personal Sharesave account with Yorkshire Building Society

• After three years your Sharesave account will mature

• If the share price has risen, you can use your savings to buy shares at the discounted rate; a simple and straightforward process is provided for colleagues to buy and sell their shares at maturity

• If the share price has dropped, you can withdraw the money you’ve saved, the choice is yours!

A quick guide to Sharesave

You can stop saving at anytime and receive a refund of your savings.

A quick guide to Sharesave

£25 x 36 = £900a month months Total Amount saved Saved

£1.64 =Option Pricedivided by

548 x £2.38559 = £1,307.30 - £900 = £407.30*Shares Share Price Sale proceeds Total Amount Total Profit Saved

Those colleagues who sold on 1 July 2017 achieved a share price of £2.38559. Here is the profit a colleague would have made if they sold their shares in that first sale:

548The number of shares that could be bought at maturity

*This was subject to a £15 flat fee for the sale of the shares through the Stockbroker.

The share price used in the example above is based on the 2014 invitation, which matured on 1 July 2017. The 2018 Option Price can be found on the invitation letter issued to your home address, and email issued to your work email address. Share prices can fall as well as rise therefore, you should check the price of the Wm Morrison Supermarket shares just before deciding whether or not to buy the shares. Past share price performance is not necessarily an indication of future performance.

A quick example based on the scheme that matured after 3 years on 1 July 2017

‘Great scheme for saving. I bought solar panels for my home with my last

savings and paid for a five day trip to Lapland for my

granddaughter and me with the one before.’

Julia, Llanelli

What colleagues told us...

Please note that the views expressed above are those of Wm Morrison Supermarkets plc employees and not of Wm Morrison Supermarkets plc or Yorkshire Building Society. If you decide not to buy the shares, the return from your Sharesave contributions will be less than the return from an ordinary interest bearing savings account over the same period as there is currently no interest being paid on Sharesave accounts. Past performance is not necessarily an indication of future performance. Share prices can fall as well as rise. Like any investment there are risks associated with holding shares, and you may not get back the full amount you invest.

‘Sharesave helped me save for a trip to New York.

I wouldn’t have been able to manage otherwise.

We’re planning Las Vegas with my next maturity!’

Julie, Gainsborough

‘This year’s are going in the savings, next year’s will be for my

daughters driving lessons and the ones

the year after that will be for my wedding.’

Keely, Stavely

‘You can’t lose: I saved £250 a month which

helped me with a deposit to buy my

first house.’ Laura, Aberystwyth

‘I bought my first house last summer and plan to use my savings for a new

bathroom.’ Tom, Support Centre

Share/shareholderA company is divided up into equal parts and these parts are known as shares.

A share is therefore a unit of ownership in a company and every share in a particular company has the same monetary value. Shares change ownership when they are traded (bought and sold) on stock markets. Anyone who owns shares in a company is a shareholder and as a result will be able to vote at General Meetings of the company and will be entitled to receive dividends (a share of the company’s profits) if and when they are paid.

Fixed Option PriceThe price that you pay for the shares at the end of the Sharesave Scheme (or earlier if you leave and are able to buy shares). The Fixed Option Price is the share price at the

Who can join Sharesave 2018?To be eligible to join you need to have been an employee of an eligible Morrisons business (part of the Morrisons group) on or before Sunday 4th February 2018.

date of invitation discounted by 20%, however if after applying the 20% discount the price is less than £1.84 the price will be set at £1.84.

LapseThe date from which you can no longer buy your Morrisons shares at the Fixed Option Price.

This usually happens six months after the maturity date. It can be earlier if you leave the company in certain circumstances, close your account early or miss more than six payments during the life of the savings contract. If your option lapses at any point you are still entitled to a full refund of your savings.

MaturityThe end of the Sharesave Scheme, when you can either buy your Morrisons shares at the Fixed Option Price set at the start of the Scheme within the six months following the maturity date, or take back your savings from YBS Share Plans.

Net PayYour take home pay after the deductions such as taxes, national insurance contributions and pension contributions.

Sharesave jargon buster

Stay in control• You can choose to save a fixed amount

from as little as £5 to £350 each month for three years from your net pay. Any other amount you may be saving in other Sharesave Schemes count towards your £350 total, whether you are still saving in them, or if you closed them and they have yet to reach the end of their term

• Once you have decided how much to save and have applied to join the Scheme you don’t need to do anything else. Your payroll team will arrange to make payments direct from your four weekly net pay to YBS Share Plans, starting in June 2018. Please note the amount you’ve chosen to save is fixed and cannot be changed during the contract, so it’s important to choose an amount you can comfortably afford

• Because you are paid every four weeks (13 times a year) no deduction will be taken from one date in the year, which is usually around Christmas

If your circumstances change

The only time you can make payments to YBS Share Plans direct is if you are away from work on maternity leave or sabbatical leave. In these cases please contact YBS Share Plans to arrange this.

If your circumstances change

Save Save from £5 to £350 a month for three years

† Important note: Share prices can fall as well as rise. Please check the price of a Wm Morrison Supermarkets Plc share before deciding whether or not to buy the shares at the Fixed Option Price at maturity. Past share price performance is not necessarily an indication of future performance. The example quoted is subject to any dealing costs that may be associated with selling your shares.

As the HMRC Sharesave bonus rate is currently set at zero, you will not receive any interest on your savings. Therefore, should you decide not to buy the shares at maturity due to the share price performance, the return from your Sharesave account will be less than that of an ordinary interest bearing savings account over the same period.

• If you save £50 a month you’ll get back £1,800 after three years (i.e. £50 x 36 monthly payments = £1,800)

• If the Fixed Option Price is £1.90, you will be able to buy 947 shares at the end of the three years: £1,800 / £1.90 = 947 shares

• If in three years the share price has risen to £2.60 (fictional share price used), your shares would be worth £2,462.20 (947 shares x £2.60 = £2,462.20)

• If you were to sell your shares this would mean a potential profit of £662.90 on top of your savings†

• If in three years’ time the share price is lower than the Fixed Option Price of £1.90 you can simply choose to get all of your savings back and not buy shares

You can apply24 hours a dayuntil 5pm on Tuesday 8th May using the information provided in your invitation letter.

Monthly savings Your savings in 3 years

E.g. the number of shares you couldbuy if the Option

Price was £1.90

£5 £180 94

£10 £360 189

£20 £720 378

£30 £1,080 568

£50 £1,800 947

£80 £2,880 1,515

£100 £3,600 1,894

£150 £5,400 2,842

£200 £7,200 3,789

£250 £9,000 4,736

£300 £10,800 5,684

£350 £12,600 6,631

How much could you save?

Need to take a payment holiday?You can defer up to six payments during the Scheme, and for every payment that you defer, your saving term and maturity date will be extended by one month. For example, if you miss two payments, instead of the maturity date being 1st July 2021 you will mature on 1st September 2021.

If you defer more than six payments however your contract will end and you will have to close your account. You will also lose the right to buy Morrisons shares.

Need your money before the end of the three year savings contract?You can close your account at any time and you’ll be paid back everything you have paid in, but without interest. To close your account you just need to call the YBS Share Plans helpline on 0345 1 200 300. Please also notify your Store or Site People Manager so they can ask the payroll team to stop taking deductions from your salary/pay, otherwise your payments will continue. If you are based at Hilmore, please contact the payroll team directly. Please note any account closed early will continue to count towards the £350 maximum monthly savings until the time that the account would have ended. For example if you joined the 2018 Scheme saving £350 a month and then closed it in January 2019, you would not be able to join another Sharesave Scheme until 2021.

Plan for any unforeseen circumstances during the 3 year savings contractPlan

What happens if you leave Morrisons?If you leave before the end of the three year savings contract due to injury, disability, redundancy, retirement, transfer of employment to which the Transfer of Undertakings (Protection of Employment) Regulations 2006 apply, or there is a change or other circumstances ending the Associated Company status of my employing Company; you’ll be able to continue saving privately if you wish and buy a reduced number of shares within six months of leaving using your savings to date. Alternatively, you can receive back what you’ve saved so far; you’ve always the option to take back your savings and spend the money as you wish.

If your account has reached maturity and you leave before exercising your share option they may lapse depending on the reason for leaving.

Plan for any unforeseen circumstances - continued...Plan

• If you leave the company for any other reason you will not be able to buy the shares but you will receive back everything you’ve paid in. If you leave the company YBS Share Plans will write to you to explain the choices in detail. If you haven’t heard anything within a month of leaving please contact YBS Share Plans.

• If in the unfortunate circumstance you die, your personal representative(s) will be able to buy a reduced number of shares within 12 months of your death (they will not be able to continue saving). If you die within six months following your contract maturity and have not yet bought the shares, then your personal representative(s) will be able to buy shares within 12 months of the maturity date. They can also simply withdraw the savings from the account.

Plan for any unforeseen circumstances - continued...Plan

At the end of the three year savings contract (‘the maturity’) and once you have made all of the 36 payments into your Sharesave account, there are a couple of choices available to you that you need to plan for.

• If the Wm Morrison Supermarkets Plc share price is higher than the Fixed Option Price, being the price you pay for each share, you may choose to buy the shares you are entitled to

• If the share price is lower than the Fixed Option Price, you may choose not to buy the shares and take back your savings in full

You will be sent a full maturity pack explaining your choices in early June 2021. If you haven’t received a maturity pack by mid June 2021 and have a maturing Sharesave account please contact the YBS Share Plans helpline on 0345 1 200 300.

Frequently Asked Questions

What happens if more shares are applied for than are available? If this happens, a process called scaling down will be used. If this takes place your new allocation will be advised when you receive your option certificate.

What about tax? If you buy the shares and then sell them, you may have to pay Capital Gains Tax on any profit you make if this exceeds the annual allowance (currently £11,700 for 2018/2019).

You can find out further information about this on the HM Revenue & Customs website www.hmrc.gov.uk.

Only in exceptional circumstances will income tax be payable when you choose to buy the shares. This may occur if your employing company leaves the group or is taken over and you buy shares within three years of the Date of Grant of options. Tax laws do change though, so don’t forget that the rules may be different when you decide to sell your shares.

Is there any interest payable?

The bonus and early closure interest rate for the Sharesave Scheme are set by HM Revenue & Customs. The bonus rate for the three year Scheme is currently set at zero and the early closure interest rate is also set at zero.

Enjoy - At the end of the three years you can either buy shares at the Fixed Option Price, or take back the savings - the choice is yoursEnjoy

Wednesday 18th April 2018 Fixed Option Price set and invitation packs posted to your home address

Tuesday 8th May 2018

Invitation closure (online, phone and text, lines close at 5pm)

Tuesday 15th May 2018

Morrisons grant your Sharesave options

Friday 8th June 2018

First deductions from net pay

Sunday 1st July 2018

Sharesave contract start date

Thursday 1st July 2021Sharesave maturity date (providing you do not defer any payments)

Countdown to Sharesave 2018

You can apply24 hours a dayuntil 5pm on Tuesday 8th May using the information provided in your invitation letter and email.

Any further questions?Call the YBS Share Plans helpline on: 0345 1 200 300The helpline is open from 8.30am to 5.30pm Monday to Friday and 9am to 1pm on Saturday (excluding public holidays in England and Wales)

Full details are contained in the rules of the Wm Morrison Supermarkets PLC Sharesave Scheme 2010, which can be inspected on application to Wm Morrison Supermarkets PLC. If there should be any difference between the Rules and this brochure, the Rules take precedence.

Important information about compensation arrangements

Your eligible deposits with Yorkshire Building Society are protected up to a total of £85,000 by the Financial Services Compensation Scheme, the UK’s deposit guarantee scheme.

This limit is applied to the total of any deposits you have with the following: Yorkshire Building Society, Chelsea Building Society, Norwich & Peterborough Building Society and Egg. Offset deposits through our subsidiary Accord Mortgages Limited are held by Yorkshire Building Society on behalf of Accord. Any total deposits you hold above the £85,000 limit between these brands are unlikely to be covered. For further information please see section VI of the enclosed Sharesave Terms and Conditions.

Yorkshire Building Society is a member of the Financial Ombudsman Service. Further details are available on request from the Society.

YBS Share Plans is part of Yorkshire Building Society.

YBS Share Plans, Yorkshire House, Yorkshire Drive, Bradford, BD5 8LJ Tel: 0345 1 200 300 • Fax: 01274 357 950 • ybsshareplans.co.uk

Yorkshire Building Society provides Share plan trustee and administration services, including deposit taking, in the UK and subject to English law and regulation. We are not responsible for Share plan deposits held by local savings carriers outside the UK.

Yorkshire Building Society is a member of the Building Societies Association and is authorised by the Prudential Regulation Authority and regulated by the Financial Conduct Authority and the Prudential Regulation Authority.

Yorkshire Building Society is entered in the Financial Services Register and its registration number is 106085. Head Office: Yorkshire House, Yorkshire Drive, Bradford, BD5 8LJ.

All communications with Yorkshire Building Society may be monitored/ recorded to improve the quality of their service and for your protection and security. Calls to 03 numbers are charged at the same standard network rate as 01 or 02 landline numbers, even when calling from a mobile.

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