Summary Plan Description RETIREE MEDICAL PLAN

1 01/01/2011 S u m m a r y P l a n D e s c r i p t i o n RETIREE MEDICAL plan FOR RETIREES AND THEIR DEPENDENTS OCCIDENTAL PETROLEUM CORPORATION 01/01/2011 Table of Contents Highlights .. 1 For Help and Information .. 6 Eligibility and Enrollment .. 8 Eligibility .. 8 Enrollment .. 9 Contributions .. 11 Using the plan .. 13 Annual Deductible .. 13 Out-of-Pocket Maximums .. 14 Cost Sharing .. 14 Network Provisions for Non-Medicare-Eligible Participants .. 15 Out-of-Area Benefits .. 16 Precertification for Non-Medicare-Eligible Participants .. 18 Understanding Precertification .. 18 The Precertification Process .. 18 Services and Supplies Which Require Precertification .. 19 Medicare .. 22 General Information .. 22 Integration with Medicare .. 23 What the plan Covers .. 25 Hospital Services .. 25 Emergency and Urgent Care .. 26 Physician Services .. 27 Preventive Care .. 27 Spinal Manipulation Benefit .. 29 Family Planning .. 30 Dental Care.

2 30 Obesity Treatment .. 31 Short-Term Rehabilitation Therapy Services .. 32 01/01/2011 Reconstructive or Cosmetic Surgery and Supplies .. 34 Skilled Nursing Facility Care .. 34 Home Health Care .. 35 Hospice Care .. 37 Ambulance Services .. 38 Durable MEDICAL Equipment .. 38 Diagnostic and Preoperative Testing .. 38 Prosthetic Devices .. 39 Treatment of Mental Disorders and Substance Abuse .. 40 Prescription Drug Benefits .. 43 What the Prescription Drug Benefit Covers .. 47 What the Prescription Drug Benefit Does Not Cover .. 48 Special Programs .. 49 National MEDICAL Excellence Program .. 49 Other Special Programs .. 52 Women s Health Provisions .. 55 What the plan Does Not Cover .. 56 Coordination With Other Plans .. 64 When Coordination of Benefits Applies .. 64 Getting Started - Important Terms .. 64 Which plan Pays First .. 66 How Coordination of Benefits Works .. 68 Claims and Benefit Payment .. 71 Medicare Direct Program .. 72 MEDICAL Claim Processing.

3 73 Complaints .. 75 Subrogation and Right of Recovery Provision .. 75 When You Disagree With a Claim Decision .. 77 When Coverage Ends .. 83 When Your Coverage Ends .. 83 01/01/2011 When Dependent Coverage Ends .. 83 Death .. 83 Certificate of Group Health Coverage .. 84 Continuation of Coverage .. 85 Under COBRA .. 85 General Information .. 87 Other plan Provisions .. 87 Privacy Notice for Health Plans .. 88 Your Rights as a plan Participant .. 88 plan Documents .. 90 Discretionary Authority of plan Administrator and Claims Administrator .. 91 No Guarantee of Employment .. 91 Future of the plan and plan Amendment .. 91 plan Administration .. 92 Glossary .. 94 Effective Date of this SPD is January 1, 2011. Refer to subsequent issues of RETIREE News for any material changes to the plan made after the date of this document. 01/01/2011 1 HIGHLIGHTS The plan provides benefits when you or a covered family member needs MEDICAL care, and if you are Medicare-eligible, the plan s benefits are integrated with Medicare.

4 You share the cost of providing MEDICAL plan coverage through plan contributions, deductibles and coinsurance. This booklet describes benefits for retirees and their dependents who are eligible for coverage under the MEDICAL plan as defined in the Eligibility and Enrollment section. Capitalized words or phrases are defined in the Glossary at the end of this booklet. This information serves as your Summary plan Description . This plan is administered by Aetna Life Insurance Company (referred to as Aetna ) and Medco Health Solutions ( Medco ). The MEDICAL and pharmacy benefits described in this booklet are not insured with Aetna or Medco or any of their affiliates and are paid from Occidental Petroleum Corporation s general assets. For Medicare-Eligible Participants Once you are eligible for Medicare, benefits under the MEDICAL plan are integrated with Medicare, whether or not you are enrolled. The MEDICAL plan is designed to ensure that Medicare-eligible Participants receive the same overall level of benefits as Participants who are not Medicare-eligible.

5 Because Medicare is primary, the lower Out-of-Network coinsurance levels will not apply if you use a provider that does not participate in Aetna s network and you are not subject to Precertification requirements. Allowed charges are limited to the Medicare-approved amount; refer to the section entitled Medicare for further details. For Participants Not Eligible for Medicare If you are not yet eligible for Medicare, when you need care, you have a choice. You can select a doctor or facility who belongs to Aetna s Open Access Choice POS II network (a Network Provider) or one that does not belong (an Out-of-Network Provider). If you use a Network Provider, you may pay less out of your own pocket for your care. You will not have to fill out claim forms because your Network Provider will file claims for you. In addition, your provider will make the necessary telephone call to start the Precertification process when necessary. If you use an Out-of-Network Provider, you may pay more out of your own pocket for your care.

6 It is your responsibility to make sure your claims are filed and any required Precertification is obtained. Negotiated Fees vs. Recognized Charges - When you receive care from a Network Provider, your benefits are based on Aetna s Negotiated Fees. These are the fees that Network Providers agree to charge Aetna members for their services. In this case, the Recognized Charge rule does not apply. 01/01/2011 2 When you receive care from an Out-of-Network Provider, your benefits are based on the Recognized Charge for a service or supply (as determined by Aetna). The Recognized Charge is the usual and recognized charge for health care services in a given geographic area. If an Out-of-Network Provider charges you more than the Recognized Charge, you must pay the difference. This excess amount will not apply toward your deductible or out-of-pocket maximum. Summary of Benefits The charts in this section show the coinsurance for major types of covered expenses under the plan .

7 Sections later in this booklet include more detail about coverage for specific services and supplies. All coverage levels apply to covered expenses after the applicable deductible is met unless otherwise noted. Note Certain plan provisions will vary depending on your retirement date and the date you become eligible for Medicare. Annual deductibles, out-of-pocket maximums and lifetime maximums under the plan are detailed in the section entitled Using the plan . 01/01/2011 3 HOSPITAL AND EMERGENCY ROOM MEDICAL plan Pays Covered Services Coinsurance level for: Non-Medicare-Eligible Participants (Network) All Medicare-Eligible Participants* Coinsurance level for: Non-Medicare Eligible Participants (Out-of-Network) Hospital Services 90% 70% Inpatient Coverage Outpatient Coverage 90% 70% Ancillary Charges (other than room, board, nursing services) 90% 70% Mental Health, Alcohol & Drug Abuse Care Covered same as Hospital Services 90% 70% Emergency Care (non-emergency care not covered) 90% 90% Urgent Care 80% 70% Ambulance 80% 80% Non-Emergency Ambulance 80% 70% Skilled Nursing Facility (up to 120 days per calendar year) 90% 70% * As secondary coverage up to plan limits see Integration with Medicare.

8 01/01/2011 4 OTHER MEDICAL BENEFITS MEDICAL plan Pays Covered Services Coinsurance level for: Non-Medicare-Eligible Participants (Network) All Medicare-Eligible Participants* Coinsurance level for: Non-Medicare Eligible Participants (Out-of-Network) Preventive Care (Age and frequency limits apply.) 100% 70% Routine Physicals/Well Child Exams Routine Mammograms Routine Gynecological Exams Prostate Specific Antigen (PSA) Test and Digital Rectal Exam (DRE) Colorectal Cancer Screening Physician Services 80% 70% Office Visits; Surgeon Charges Diagnostic Lab & X-Ray 80% 70% Spinal Manipulation ( , chiropractic care; up to 25 visits per calendar year) 80% 70% Mental Health, Alcohol & Drug Abuse Care Office Visits 80% 70% Short-Term Rehabilitation (physical, occupational and speech therapy) 80% 70% Home Health Care (up to 120 visits per calendar year) 80% 70% Hospice Care 80% 70% Durable MEDICAL Equipment 80% 70% Prosthetic Devices 80% 70% * As secondary coverage up to plan limits see Integration with Medicare.

9 01/01/2011 5 PRESCRIPTION DRUG BENEFITS (ADMINISTERED BY MEDCO) Annual Deductible None Retail Pharmacy, up to a 30-day supply (for initial prescription and 2 refills Your Coinsurance Generic $10 Preferred Brand 25% ($10 min/$50 max) Non-Preferred Brand 25% ($25 min/$100 max) Mail Order Pharmacy, up to a 90-day supply Your Coinsurance Generic $20 Preferred Brand 25% ($20 min/$100 max) Non-Preferred Brand 25% ($50 min/$200 max) If a generic drug is available, you will pay the generic coinsurance plus the difference in price between the brand name and the generic drug. Note Deductibles and benefit maximums above are combined maximums between Network and Out-of-Network Care, unless stated otherwise. 01/01/2011 6 FOR HELP AND INFORMATION Contact Information Provider: Address: Phone: Aetna Box 14586 Lexington, KY 40512-4586 Website: 800-334-0299 Medco (Prescription Drugs) Box 14711 Lexington, KY 40512 Website: 800-551-7680 OxyLink Employee Service Center 4500 South 129th East Avenue Tulsa, OK 74134-5870 Email: Website: 800-699-6903 918-610-1990 (International) Visit Aetna Navigator at Aetna Navigator is a web-based portal designed to provide access to a wide range of tools and information 24 hours a day, 7 days a week.)

10 The website is secure, private, and accessible anywhere an internet connection is available. From Aetna Navigator you can obtain health and benefits information using self-service features and interactive tools. After a simple registration process, a personal home page is created where you can: Access your claim Explanations of Benefits (EOBs), Check remaining deductible balances, Request an ID card or print a temporary card, Download a list of claims for each covered family member, and Contact Member Services. You can also take advantage of many other features, including: DocFind , Aetna s online provider directory, Intelihealth , Aetna s health website, Healthwise Knowledgebase, an innovative decision-support tool, and Estimate the Cost of Care, for many diseases and conditions. 01/01/2011 7 Your Aetna ID Card When you enroll in the plan , you will receive an Aetna ID card. The ID card shows: Your name and Aetna identification number, Whether you have Dependent coverage, and The telephone numbers and addresses for Aetna Member Services.