EST.

2008

TIERRA MIA COFFEE COMPANY

EMPLOYEE HANDBOOK
California

EMPLOYEE NAME: _______________________________

CONTENT PAGE #

INTRODUCTION:
Welcome 4
Purpose of Handbook 5
At-Will Employment 5

I. NEW EMPLOYEE INFORMATION

Equal Employment Opportunity 6
Disability Accommodation 6
Sexual & Other Unlawful Harassment 6
Other Types of Harassment 7
Worker’s Compensation Insurance 8
Employee Relations 8
Employment Classifications 8
Introductory Period 9
Working Hours 9
Rest and Meal Periods 9
Paydays 11
Time keeping System 11
Personnel Data Changes 11
Employee Files & Disclosure of Information 11

II. WORKPLACE CONDUCT

Attendance and Punctuality 12
Business Ethics and Conduct 12
Cash Handling Policy 13
Personal Relationships in the Workplace 13
Confidential Information/Non-disclosure 14
Conflicts of Interest 15
Customer Service 15
Dress Code/Personal Appearance 16
Computer, Email and Internet Usage 16
Use of Personal Communication Devices and Cell Phones 17
Use of Company Phone and Company Mail Systems 17
Use of Cell Phone While Driving 17
Use of Equipment and Vehicles 17
Employment of Relatives 18
Outside Employment 18
Smoke Free Workplace 18
Business Travel Expenses 18
Cars/Fuel 19
Tierra Mia Coffee Company’s Standards of Conduct 19
Disciplinary Procedures 19
Disciplinary Guidelines 19

III. INTERNAL COMMUNICATIONS

Problem Solving Process 20
Suggestion Program 20

IV. EXCUSED ABSENCE POLICY

In Order to Obtain an Excused Absence 21
Covering of Shifts at Tierra Mia Coffee 21
Emergency Excused Absences 22

V. COMPENSATION
Pay Corrections 22
Direct Deposit 22
Salary Basis Pay For an Employee 22
Overtime 23
Vacation & Paid Time Off for Salaried Employees 23
2
 Additional Time Off for Salaried Employees 23

VI. CAREER DEVELOPMENT

Job and Performance Evaluation 24
Job Posting and Employee Referrals 24

VII. HEALTH AND SAFETY

Drug Free Workplace 24
Alcohol 25
Illegal Drugs 25
Disciplinary Action 25
Searches 25
Drug and Alcohol Testing 25
Volunteer Drug/Alcohol Rehabilitation Leave 25
Safety 25
Guns and Weapons in the Workplace 26
Workplace Violence Prevention 26
Visitors in the Workplace 27

VIII. EMPLOYEE BENEFITS & LEAVES

Employee Benefits 27
Religious Holidays 27
Family Medical Leave Act (FMLA) 27
Eligibility 28
Intermittent or Reduced Schedule Leave 28
Reinstatement 28
Benefits During Leave 28
Procedure For Requesting FMLA Leave 28
Medical and Other Certification Requirements 28
Fitness for Duty Certification 29
Company Notification of Eligibility and Designation of Leave 29
Other Employment and Activities Prohibited During Leave 29
Pregnancy Disability Leave 29
Lactation Accommodation 29
School Activity Leave 29
Parental Leave 30
Military Spouse Leave 30
Domestic Violence/Sexual Assault Victims Leave 30
Crime Victims Leave 30
Volunteer Civil Service Leave 30
Volunteer Firefighter Leave 30

IX. CIVIC RESPONSIBILITY

Jury Duty 31
Witness Duty 31
Voting 31

X. ADDITIONAL INFORMATION
Workplace Monitoring 31
Bulletin Boards 31
Solicitation and Distribution of Literature 31
Additional Regulations Pursuant to Local Ordinances 31

XI. END OF EMPLOYMENT

Employment Termination 32

LETTER OF RESIGNATION 33

EMPLOYEE ACKNOWLEDGMENT FORM 34

3
Dear Tierra Mia Coffee Employee:

Welcome to Tierra Mia Coffee Company!

On behalf of everyone at TMC, I welcome you and wish you the best for a successful and fun experience
with us. We are happy with your decision to join our team. We believe that each employee contributes
directly to Tierra Mia Coffee’s growth and success, and we hope you will take pride in being a member of
our company. The work that TMC does every day makes the lives of our customers more positive,
provides income and benefits the lives of our employees and their families, and makes a positive
contribution to our local community. Within the specialty coffee industry, we offer the best quality coffee
and are helping to advance and set the bar higher for what is possible in coffee. The coffee that we are
buying is often 2-4 times above fair trade prices, is providing the farmers we purchase from higher wages,
and is contributing to their sustainability as coffee farms.

This employee handbook contains general information on our policies and practices as they relate to your
employment with Tierra Mia Coffee Company, and several state and federal laws. Please read this
employee handbook carefully. If you have questions regarding the handbook, please discuss them with
your store manager or district manager.

We hope that your experience with TMC will be enjoyable, memorable, and personally rewarding.
Welcome aboard. We look forward to working with you!

Sincerely,

Ulysses Romero
Founder & President
Tierra Mia Coffee Company

4
Purpose of the Handbook
This handbook is designed to acquaint you with Tierra Mia Coffee Company (TMC) and provide you
with information about working conditions, and the policies affecting your employment. You are
expected to read, understand, and comply with all provisions of the handbook. It describes many of your
responsibilities as an employee and outlines the programs developed by TMC to benefit employees. One
of our primary objectives is to provide a work environment that is conducive to both personal and
professional growth.

No employee handbook can anticipate every circumstance or question regarding policies. As TMC
continues to develop as a company, we reserve the right to revise, supplement, or rescind any policies or
sections of the handbook, in our sole and absolute discretion. Employees will be notified of such changes
to the handbook as they occur. The only policy that will never change is our employment-at-will policy
permitting you or Tierra Mia Coffee Company to end our relationship for any reason at any time.

Employment At-Will
Employment at Tierra Mia Coffee Company (TMC) may be terminated for any reason, with or
without cause or notice, at any time by you, the Employee, or by TMC. Nothing in this Employee
Handbook or in any oral or written statement shall limit the right to terminate employment at will. No
Manager or Employee of TMC shall have any authority to enter into an employment agreement--express
or implied--with any Employee providing for employment other than at-will.

This at-will employment policy is the sole and entire agreement between you and TMC as to the duration
of employment and the circumstances under which employment may be terminated.

With the exception of employment at-will, terms and conditions of employment with TMC may be
modified at the sole discretion of TMC with or without cause or notice at any time. No implied contract
concerning any employment-related decision or term or condition of employment can be established by
any other statement, conduct, policy, or practice. Examples of the types of terms and conditions of
employment that are within the sole discretion of TMC include, but are not limited to, the following:
promotion; demotion; transfers; hiring decisions; compensation; benefits; qualifications; discipline; layoff
or recall; rules; hours and schedules; work assignments; job duties and responsibilities; production
standards; subcontracting; reduction, cessation, or expansion of operations; sale, relocation, merger, or
consolidation of operations; determinations concerning the use of equipment, methods, or facilities; or
any other terms and conditions that TMC may determine to be necessary for the safe, efficient, and
economic operation of its business. TMC may also increase or decrease store hours and/or employee
hours as needed to accommodate business needs.

5
 I.

NEW EMPLOYEE INFORMATION

Equal Employment Opportunity

Tierra Mia Coffee Company (TMC) maintains a continuing policy of nondiscrimination in all
employment practices and decisions, ensuring equal employment opportunities for all qualified
individuals without regard to race, color, religion, national origin, gender, age, sexual orientation,
physical or mental disability, veteran status, or any other protected status. It is the intent of TMC to
conform to the content and spirit of applicable equal employment opportunity and affirmative action laws.
This policy applies to both TMC employees and applicants for employment with TMC.

In keeping with this policy, TMC will adhere to the following Human Resources practices: recruitment,
hiring, and promotion of individuals in all job classifications will be carried out without regard to race,
color, religion, national origin, gender, age, sexual orientation, physical or mental disability that can be
reasonably accommodated, veteran status, or any protected status, except where a bona fide occupational
qualification exists. A bona fide occupational qualification exists when an occupational qualification that
may be discriminatory is reasonably necessary to the normal operation of TMC’s business.

Employment and promotional decisions will be made so as to further the principle of equal employment
opportunity, based upon selection criteria that are strictly job-related. All other Human Resources actions
such as compensation, employee benefits, transfers, workforce adjustments, training, educational
programs, and social and recreational programs will be administered without regard to race, color,
religion, national origin, gender, age, sexual orientation, physical or mental disability that can be
reasonably accommodated, veteran status, or any other protected status, except where a bona fide
occupational qualification exists.

Disability Accommodation
The Americans with Disabilities Act (ADA) requires employers to reasonably accommodate qualified
individuals with disabilities. It is the policy of TMC to comply with all federal and state laws concerning
employment of persons with disabilities.

It is the policy of TMC not to discriminate against qualified individuals with disabilities in regard to
application procedures, hiring, advancement, discharge, compensation, training and other terms and
conditions of employment.

TMC is committed to complying with the Americans with Disabilities Act. TMC recognizes that some
individuals with disabilities may require accommodations at work. TMC will attempt to reasonably
accommodate qualified individuals with a temporary or long-term disability so that they can perform the
essential functions of the job, unless doing so would create an undue hardship on TMC.

If you are currently disabled or become disabled during your employment and are in need of a reasonable
accommodation, you should contact your manager, district manager, or the Chief Operating Officer to
discuss reasonable accommodations that may enable you to perform the essential functions of your job.

Sexual and Other Unlawful Harassment

Sexual harassment is against company policy. TMC is committed to providing a work environment free
of inappropriate and disrespectful behavior, communications and other conduct directed at an individual
because of his or her sex, including any conduct that may be construed as sexual harassment.

6
Applicable federal and state law defines sexual harassment as unwanted sexual advances, requests for
sexual favors, or visual, verbal, or physical conduct of a sexual nature when: (1) submission of the
conduct is made a term or condition of employment; or (2) submission to or rejection of the conduct is
used as basis for employment decisions affecting the individual; or (3) the conduct has the purpose or
effect of unreasonably interfering with the employees work performance or creating an intimidating,
hostile, or offensive working environment. The following are examples of prohibited conduct; they
include but are not limited to:

- Unwanted sexual advances;

- Offering employment benefits in exchange for sexual favors;
- Making or threatening reprisals after a negative response to sexual advances;
- Visual conduct such as leering, making sexual gestures, or displaying sexually suggestive objects,
pictures, cartoons, or posters;
- Verbal conduct such as making or using derogatory comments, epithets, slurs, sexually explicit jokes,
or comments about any employee’s body or dress;
- Verbal sexual advances or propositions;
- Verbal abuse of a sexual nature, graphic verbal commentary about an individual’s body, sexually
degrading words to describe an individual, or suggestive or obscene letters, notes, or invitations;
- Physical conduct such as touching, brushing, rubbing against, assault, or impeding or blocking
movements; and
- Retaliation for reporting harassment or threatening to report harassment.

Sexual harassment on the job is unlawful whether it involves coworker harassment, harassment by any
member of management, or harassment by persons doing business with or for TMC.

Other Types of Harassment

Prohibited harassment on the basis of race, color, religion, national origin, ancestry, sexual orientation,
physical or mental disability, veteran status, age, or any other protected basis, includes behavior similar to
sexual harassment, such as:

- Verbal conduct such as threats, epithets, derogatory comments, or slurs;

- Visual conduct such as derogatory posters, photographs, cartoons, drawings, or gestures;
- Physical conduct such as assault, unwanted touching, or blocking normal movement; and
- Retaliation for reporting harassment or threatening to report harassment.

It is against company policy and unlawful to retaliate in any way against anyone who has lodged a
harassment complaint, has expressed a concern about harassment, including sexual harassment, or has
cooperated in a harassment investigation. Therefore, the initiation of a complaint, in good faith, shall not
under any circumstances be grounds for discipline. A claim of harassment may exist even if the
employee has not lost a job or some economic benefit. However, individuals who make complaints that
are demonstrated to be intentionally false may be subject to disciplinary action, up to and including
termination.

Anyone who has been subjected to the conduct prohibited under this Policy, or who has knowledge of
such conduct, should report this information to his or her manager or any other manager with Tierra Mia
Coffee Company or the Chief Operating Officer as soon as possible. However, employees are not
required to report any prohibited conduct to a superior who may be hostile, who has engaged in such
conduct, who is a close associate of the person who has engaged in the conduct in question, or with whom
the associate is uncomfortable discussing such matters. Complaints regarding harassment or retaliation
may be oral or in writing.

7
All incidents of prohibited harassment that are reported will be investigated promptly. The investigation
will be completed and a determination regarding the reported harassment will be made and communicated
to the employee who complained and to the accused harasser. During the investigation, confidentiality
will be preserved to the fullest extent possible without compromising the company’s ability to conduct a
good faith and thorough investigation. If TMC determines that prohibited harassment has occurred, TMC
will take effective remedial action, up to and including discharge, to deter any future harassment.

TMC recognizes that actions that were not intended to be offensive may be taken as such. An employee
who believes that he or she has been subjected to sexual harassment by anyone is encouraged, but not
required to promptly tell the person that the conduct is unwelcome and ask the person to stop the conduct.
A person who receives such a request must immediately comply with it and must not retaliate against the
employee for rejecting the conduct.

Workers' Compensation Insurance

TMC provides a comprehensive workers' compensation insurance program at no cost to employees. This
program covers any injury or illness sustained in the course of employment that requires medical,
surgical, or hospital treatment. Subject to applicable legal requirements, workers' compensation insurance
provides benefits after a short waiting period or, if the employee is hospitalized, immediately.

Employees who sustain work-related injuries or illnesses should inform their manager immediately. No
matter how minor an on-the-job injury may appear, it is important that it be reported immediately.

Neither TMC nor the insurance carrier will be liable for the payment of workers' compensation benefits
for injuries that occur during an employee's voluntary participation in any off-duty recreational, social, or
athletic activity sponsored by TMC.

Employee Relations
TMC believes that the work conditions, wages, and benefits it offers to its employees are competitive
with those offered by other employers in this area and in this industry. If employees have concerns about
work conditions or compensation, they are strongly encouraged to voice these concerns openly and
directly to their managers and district manager.

Employment Classifications
In order to determine eligibility for employment benefits, various employee classifications have been
established. Every employee is designated as either exempt or non-exempt, based on their job duties and
other factors established by State and Federal law:

- Exempt employees are paid a fixed salary, and are not paid overtime.
- Non-exempt employees are paid by the hour. They may be paid a salary; however they still are
required to track their hours and they are entitled to overtime pay in accordance with applicable
federal and state overtime provisions.

In addition, every employee will be further classified as either regular full-time, regular part-time or
temporary:

- Regular full-time employees are regularly scheduled to work 40 hours per week.
- Regular part-time employees are regularly scheduled to work less than 35 hours per week.
- Temporary employees are hired for a limited time to supplement the work force or to assist in the
completion of a specific project. Employment beyond any initially stated period does not in any way
constitute or imply a change in employment classification.

8
Introductory Period
There is a one hundred and twenty (120) day introductory period for all new and rehired full-time and
part-time employees during which each employee’s performance is evaluated to determine whether
further employment with TMC or in a specific position is appropriate. Successful completion of the
introductory period does not guarantee employment for any specified period of time or in any way
abrogate TMC’s employment at-will policy.

Working Hours
The regular working hours are four (4) to eight (8) hours a day, three (3) to six (6) days a week. Non-
salaried employees will generally be regular part-time employees and will generally work 15-30 hours per
week. Your Manager will notify you of your assigned work schedule on a weekly basis. In order to
accommodate the needs of our company, it may be necessary to change individual work schedules on
either a short-term or long-term basis and/or to reduce hours below 15 hours per week or above 30 hours
per week.

Rest and Meal Periods

TMC complies with federal and state legal requirements concerning meal periods and rest breaks. TMC
recognizes that employees perform at their best when they have the rest and nourishment they need. This
policy explains when TMC expects employees to take meal periods and rest breaks.
a. Meal Periods:
TMC provides at least a 30-minute meal period to employees who work more than five hours, unless they
work six or fewer hours total and elect in writing to waive the first meal period. TMC will provide a
second 30-minute meal period to employees who work more than 10 hours in a workday, unless they
work twelve or fewer hours total, did not waive the first meal period, and elect in writing to waive the
second meal period. Employees should take their first meal period before the end of the fifth hour of
work. Employees should take their second meal period before the tenth hour of work. Meal periods
cannot be taken at the beginning or end of shifts. Employees will be relieved of all of their duties during
meal periods and are allowed to leave the store/location.

TMC provides meal periods according the following schedule:

Duration of Shift in Hours # Meal Periods Comments

0 to < 5.0 0 An employee who does not work more than five hours
in a workday is not provided with a meal period.

≤ 5.0 to ≤ 10.0 1 An employee who works more than five hours in a

workday, but who does not work more than ten hours
in a workday, is provided with a 30-minute meal
period available before the end of the 5th hour of work,
unless the employee is working six or fewer hours and
elects in writing to waive the first meal period.

> 10.0 2 An employee who works more than ten hours in a

workday is provided with a second 30-minute meal
period available before the end of the 10th hour of
work, unless the employee is working twelve or fewer
hours, did not waive the first meal period, and elects
in writing to waive the second meal period.

9
TMC does not pay non-exempt employees for meal periods, and consequently, non-exempt employees
must record the start and stop times of their meal periods. Any non-exempt employee who is required to
work through some or all of a 30-minute meal period, or who is required to take a late meal period (i.e., is
required to begin the first meal period after the end of the fifth hour of work or is required to begin a
second meal period after the end of the tenth hour of work), should complete a California Meal Period
and Rest Break Premium Request Form and submit it to his/her manager by no later than the end of the
pay period. Otherwise, TMC will assume that any non-exempt employee who fails to record a meal
period, records a less-than-30-minute meal period, or takes and records a late period, did so voluntarily.

b. Rest Breaks:
Non-exempt employees are authorized and permitted to take a 10-minute paid rest break for every four
hours worked, or major fraction thereof. TMC authorizes and permits rest breaks according to the following
schedule:
Duration of Shift in Hours # of 10 Minute Rest Breaks Comments

0 to ˂ 3.5 0 A non-exempt employee who does not

work more than 3.5 hours in a workday
is not authorized and permitted to take a
rest break.

≥ 3.5 to > 6 1 A non-exempt employee who works

more than 3.5 hours in a workday but
who does not work more than 6 hours in
a workday is authorized or permitted to
take one 10-minute rest break.

>6.0 to ≤ 10.0 2 A non-exempt employee who works

more than 6 hours in a workday but who
does not work more than 10 hours in a
workday is authorized and permitted to
take two 10-minute rest breaks.

>10.0 to ≤ 14.0 3 A non-exempt employee who works

more than 10 hours in a workday but
who does not work more than 14 hours
in a workday is authorized and permitted
to take three 10-minute rest breaks.

Whenever practicable, non-exempt employees should take their rest breaks near the middle of each four-
hour work period. Non-exempt employees may not accumulate rest breaks or use rest breaks as a basis
for starting work late, leaving work early, or extending a meal period. Non-exempt employees also may
not leave work premises during a rest break. Because rest breaks are paid, non-exempt employees should
not clock out for them.

Any non-exempt employee who is not authorized and permitted to take a rest break pursuant to the terms
of this Policy should complete a California Meal Period and Rest Break Premium Request Form and
submit it to his/her manager by the end of the pay period. Otherwise, TMC will assume the employees
either took his/her rest break or voluntarily decided to waive it.

10
 c. Responsibilities:
Non-exempt employees are expected to take their meal periods and rest breaks in accordance with the
applicable guidelines set forth in this Policy. Managers are expected to make meal periods and rest
breaks available to their employees in accordance with this Policy. Supervisors can schedule meal
periods and rest breaks for employees, taking into account their store’s operational requirements and
employee needs. Supervisors may stagger employees' meal periods so ongoing operational
responsibilities are not compromised, so long as the applicable guidelines in this Policy are met.
Supervisors are responsible for administering their store’s meal and rest breaks in a fair and uniform
manner. Supervisors may not pressure or coerce employees to skip their meal periods or rest breaks.

d. Discipline:
Any employee, supervisor, or manager who fails to observe meal period and rest break policies will be
subject to discipline, up to and including termination of employment. Violations of this policy should be
reported to your Manager or District Manager. Every report will be fully investigated and corrective
action will be taken where appropriate.

In addition, TMC will not allow any form of retaliation against individuals who report alleged violations
of this policy or who cooperate in TMC’s investigation of such reports. Any form of retaliation in
violation of this Policy will result in disciplinary action, up to and including termination.

Paydays
All employees are paid bi-weekly on every other Friday. Each paycheck will include earnings for all
work performed through the end of the previous payroll period.

Time-keeping system
Accurately recording time worked is the responsibility of every nonexempt employee. Time worked is all
the time actually spent on the job performing assigned duties. Nonexempt employees should utilize the
time clock function on our register system to accurately record the time they begin and end their work, as
well as the beginning and ending time of each meal period. They should also record the beginning and
ending time of any split shift or departure from work for personal reasons. Overtime work must always
be approved by a Manager before it is performed.

Nonexempt employees should report to work no more than 5 minutes prior to their scheduled starting
time nor stay more than 5 minutes after their scheduled stop time without expressed, prior authorization
from their supervisor or manager.

Personnel Data Changes

It is the responsibility of each employee to promptly notify their Manager or District Manager of any
changes in their personal data including mailing addresses, telephone numbers, number and names of
dependents, individuals to be contacted in the event of an emergency, educational accomplishments, and
other information should be accurate and current at all times.

Employee Files and Disclosure of Information

TMC will respond to inquiries about current or former employees from any outside agency, organization,
institution, or person only to the extent necessary to verify dates of employment and last position held.
All requests for information concerning current or former employees made by any outside agency,
organization, institution, or person must be referred to the District Manager or Chief Operating Officer.
Requests for information other than dates of employment and last position held will be responded to only
when a legal or regulatory review of TMC records requires it.

11
Employee files are the property of TMC. Employees shall not provide any information about current or
former employees to any outside agency, organization, institution, or person. Internal requests for
employee information must be job-related. Supervisors and managers who wish to review Human
Resources files maintained on their employees or prospective employees, such as performance appraisals,
must first contact the District Manager or Chief Operating Officer. Employees who wish to view their
files may do so by appointment only and in the presence of their Manager, District Manager, or the Chief
Operating Officer.
Requests by current and former employees for references that include information other than dates of
employment and last position held will be considered on a case-by-case basis by the District Manager or
Chief Operating Officer.

II.

WORK PLACE CONDUCT

Attendance and Punctuality

Employees are expected to be at work when scheduled and to arrive on time. Unexcused absenteeism
and/or lateness may result in disciplinary action, up to and including termination. An absence occurs any
time an employee is not present at work as scheduled. Excused and/or Approved time off is not
considered an absence. Tierra Mia Coffee Company (TMC) will determine that unexcused absenteeism is
excessive if, based on all the facts and circumstances; it is found to be disruptive to TMC, co-workers, or
customers.

Given that our retail coffee stores depend on specific numbers of employees to function and perform basic
level of customer service, it is important that employees notify their Manager immediately when they
know they will not be able to come into work. If you become sick during the work day, you must notify
your supervisor or Manager before leaving the work site. Failure to notify your Manager may result in
disciplinary action, up to and including termination.

TMC reserves the right to require a statement by a licensed physician when an employee misses work due
to illness or injury. Such verification may be a condition of returning to work.

Failure to show up for work along with failure to notify one’s supervisor or Manager will result in an
absence being classified as a “No Call/No Show.” Any “No Call/No Show” is a serious violation of
company attendance guidelines and will result in disciplinary action, up to and including termination.

Employees are required to be prepared to start their assigned tasks in full dress code at the beginning of
their scheduled work shifts. Employees are also required to return on time from their scheduled meal
periods and breaks, and be in full dress code when doing so. Employees should never be at a TMC retail
location after the location has closed or after daily business operations are completed.

Business Ethics and Conduct

The successful business operation and reputation of TMC is built upon the principles of fair dealing and
ethical conduct of our employees. Our reputation for integrity and excellence requires careful observance
of the spirit and letter of all applicable laws and regulations, as well as an unparalleled regard for the
highest standards of conduct and personal integrity.

The continued success of TMC is dependent upon our customers' trust and we are dedicated to preserving
that trust. Employees owe a duty to TMC, its customers, and shareholders to act in a way that will merit
the continued trust and confidence of the public.

12
In general, the use of good judgment, based on high ethical principles, will guide you with respect to lines
of acceptable conduct. If a situation arises where it is difficult to determine the proper course of action,
the matter should be discussed with your Manager, District Manager or the Chief Operating Officer.

Compliance with this policy of business ethics and conduct is the responsibility of every TMC employee.
Disregarding or failing to comply with this standard of business ethics and conduct could lead to
disciplinary action, up to and including possible termination of employment.

Cash Handling Policy

Employees should take the utmost care and diligence in handling cash at TMC. Only Managers,
Supervisors, and in some cases Certified Baristas are responsible for cash handling.

Employees that are responsible for handling cash are responsible for ensuring that his/her till has $200 in
the cash drawer prior to inserting it into the cash register for transactions. If the same employee has
counted the till at the beginning and end of his/her shift, that employee is responsible for ensuring that
his/her till has $200 at the end of the shift.

After counting the till at the conclusion of his/her shift, the employee responsible for handling cash
should withdraw all cash in excess of $200 from the cash drawer, for deposit, leaving $200 in the cash
drawer. The employee will then fill out a till-drop slip that includes the following information:

- The amount of cash being deposited;

- The total amount of credit card sales during the shift;
- The sum of both the cash and credit card sales; and
- Any tips that were earned during the shift.

The employee is also responsible for reconciling the total cash amount recorded on the till-drop slip with
the cash amount identified on the shift report. If there is a discrepancy, the employee should indicate (on
the till-drop slip) the amount that the till is over or under the amount indicated on the shift report. The
employee should also calculate the percentage that the cash amount is over or under, and write that
percentage on the till-drop slip.

If at the end of his/her shift an employee determines that the till is off (over or under) by $5 dollars or
more in comparison to the shift report, the employee should notify their manager. If the till amount is off
(over or under) by 0-$5, the employee should indicate that amount on the till-drop slip. If an employee
determines at the beginning of his/her shift that the till is off (over or under) by $5 or more, they should
notify their Manager. If at the beginning of his/he shift the employee determines that the till is off (over
or under) by 0-$5, they should indicate it on the till-drop slip.

At the conclusion of their shift, an employee responsible for handling cash is responsible for placing the
till-drop slip and shift report into a drop bag and placing the drop bag in the safe.

Whenever an employee recognizes that another employee has made a cash handling or calculation error at
the cash register, they should notify their supervisor who should then inform their Manager.

Personal Relationships in the Workplace

The employment of relatives or individuals involved in a dating relationship in the same area of an
organization may cause serious conflicts and problems with favoritism and employee morale. In addition
to claims of partiality in treatment at work, personal conflicts from outside the work environment can be
carried over into day-to-day working relationships.

13
For purposes of this policy, a relative is any person who is related by blood or marriage, or whose
relationship with the employee is similar to that of persons who are related by blood or marriage. A
dating relationship is defined as a relationship that may be reasonably expected to lead to the formation of
a consensual “romantic” or sexual relationship or instances where a consensual romantic or sexual
relationship already exists. This policy applies to all employees without regard to the gender or sexual
orientation of the individuals involved.

Relatives of current employees may not occupy a position that will be working directly for or supervising
their relative. Individuals involved in a dating relationship with a current employee may also not occupy
a position that will be working directly for or supervising the employee with whom they are involved in a
dating relationship. Employees at any level that are in a dating relationship, even if there is no line of
authority or reporting involved, should not be scheduled to work at the same time. TMC reserves the
right to take prompt action if an actual or potential conflict of interest arises involving relatives or
individuals involved in a dating relationship who occupy positions at any level that may affect the
workplace.

If a relative relationship or dating relationship is established after employment between employees who
are working directly for or supervising each other, it is the responsibility and obligation of the supervisor
or Manager involved in the relationship to disclose the existence of the relationship to management.
TMC management will decide who is to be transferred to another available position. Failure to notify
management may also be grounds for termination of employment.

In other cases where a conflict or the potential for conflict arises because of the relationship between
employees, even if there is no line of authority or reporting involved, the employees may be separated by
reassignment or terminated from employment.

Confidential Information/Non-Disclosure
All TMC records and information about TMC, its employees, customers, suppliers and vendors are to be
kept confidential and divulged only to individuals within the company with both a need to receive and
authorization to receive the information.

All records and files maintained by the company are confidential and remain the property of the company.
No TMC records, files or TMC-related information may be removed from TMC’s premises or disclosed
to any outside party without the express permission from TMC. Confidential information regarding TMC
includes, but is not limited to, financial records, business, marketing, and strategic plans, Human
Resources and payroll records regarding current and former employees, the identity of, contact
information for, and any other account information on customers, vendors and suppliers, inventions,
programs, trade secrets, formulas, techniques and processes, and any other documents or information
regarding the company’s operations, procedures or practices.

Employees who are unsure about the confidential nature of specific information must ask their Manager
or District Manager for clarification. The company reserves the right to avail itself of all legal or
equitable remedies to prevent impermissible use of confidential information or to recover damages
incurred as a result of the impermissible use of confidential information. In addition, employees will be
subject to appropriate disciplinary action, up to and including termination of employment for revealing
information of a confidential nature. Employees may be required to enter into written confidentiality
agreements confirming their understanding of the company’s confidentiality policies.

The protection of confidential business information and trade secrets is vital to the interests and the
success of TMC. Such confidential information includes, but is not limited to, the following:

14
 - Beverage and product recipes - Marketing strategies
- Computer processes - New materials research
- Computer programs and codes - Pending projects and proposals
- Customer lists - Product preparation and techniques
- Customer preferences - Proprietary production processes
- Financial information - Research and development strategies
- Labor relations strategies - Technological data

Employees who improperly use or disclose trade secrets or confidential business information will be
subject to disciplinary action, up to and including termination of employment and legal action.

Conflict of Interest
TMC’s continued success depends upon the undivided loyalty of its employees throughout their
employment. To maintain its reputation and the relationships it has developed with outside companies
and individuals, TMC requires the following commitments from all of its employees:

Every TMC employee has a responsibility to promote TMC’s best interests. No employee may
engage in any conduct or activity that is inconsistent with TMC’s interests or that in any fashion
disrupts, undermines, or impairs TMC’s relationships with any customer or prospective customer
or any outside organization, person or entity with which TMC has or proposes to enter into an
arrangement, agreement, or contractual relationship of any kind.

By accepting and continuing employment with TMC, all employees agree that both during and
subsequent to their employment with TMC, they will not interfere with, disrupt or impair any relationship
between TMC and any employee, consultant, representative, or any outside organization with which TMC
has or proposes to enter into an arrangement, agreement, or contractual relationship of any kind.

TMC requires the complete commitment of all full-time employees. Such employees may not engage in
any outside activity or accept work in any outside position that either interferes with their ability to devote
their full and best efforts to TMC or raises an actual or potential conflict of interest or the possible
appearance of a conflict of interest. Employees who have any questions regarding this policy or the
potential impact of outside activities on their position with TMC should contact the Chief Operating
Officer before accepting any outside position or engaging in such activity.

TMC reserves the right to determine whether other relationships that are not specifically covered by this
policy present an actual or potential conflict of interest or the appearance of a conflict of interest. In any
case where TMC determines, in its sole discretion, that an employee’s activities, or a relationship between
an employee and a non-employee or an employee and an outside organization or individual presents an
actual or potential conflict of interest or the appearance of a conflict of interest, TMC may take whatever
action it determines to be appropriate to avoid or prevent it. Such action may include, but is not limited to
transfers, reassignments, changing shifts or responsibilities or, where it deems such action appropriate,
disciplinary action, up to and including termination.

Customer Service
Customers are among TMC’s most valuable assets. The way each employee does his/her job presents an
image of our entire organization to our customers and the public. Customers judge all of us by how they
are treated with each employee contact. Therefore, our first business priority is to assist any customer or
potential customer. Nothing is more important than being courteous, friendly, helpful, and prompt in the
attention you give to customers.

15
TMC will provide customer relations and services training to all employees with extensive customer
contact. Our personal contact with the public, manners, and the way we communicate to customers are a
reflection not only of ourselves, but also reflect the professionalism of TMC. Positive customer relations
not only enhance the public’s perception and image of TMC, but also pay off in greater customer loyalty
and increased sales, company growth and opportunities for all employees.

Dress Code/Personal Appearance

TMC strives to maintain a professional atmosphere that welcomes our customers, vendors and other
visitors into our business. For this reason, we have adopted a specific dress code. This dress code is
delineated in a separate handout provided to you at the time of your hiring and will require your signature
and consent of receipt as a condition of employment with TMC.

If your supervisor or Manager determines that your attire is inappropriate, you may be asked to leave your
workplace until you are properly attired. You will not be paid for the time you are off the job for this
purpose.

Computer, Email and Internet Usage

TMC recognizes that the Internet and e-mail are valuable tools for TMC and its employees, which make
research and communication more efficient and effective. Therefore, employees are encouraged to use
the Internet appropriately when assigned the use of a computer or company email account.

The following policies have been established for using the Internet and e-mail in an appropriate, ethical
and professional manner:

- Only employees at the Assistant Manager level and above are permitted to use TMC computers and
e-mail accounts. Supervisors are permitted to use in-store computers solely for the purpose of
adjusting the in-store music offerings. All other use of the computer by an employee below the level
of Assistant Manager must be approved by the Manager or District Manager.
- TMC Internet and e-mail access may not be used for transmitting, retrieving or storing of any
communications of a defamatory, discriminatory or harassing nature or materials that are obscene or
X-rated. No messages with derogatory or inflammatory remarks about an individual's race, age,
disability, religion, national origin, physical attributes or sexual preference shall be transmitted.
Harassment of any kind is prohibited.
- Disparaging, abusive, profane, or offensive language; materials that would adversely or negatively
reflect upon TMC or be contrary to TMC’s best interests; and any illegal activities -- including piracy,
cracking, extortion, blackmail, copyright infringement, and unauthorized access to any computers on
the Internet or e-mail -- are forbidden.
- Downloading of programs that may contain viruses is prohibited as it can cause extensive damage to
our computers.
- All electronic communications are TMC property. Therefore, TMC reserves the right to examine,
monitor and regulate e-mail messages, directories and files, as well as Internet usage. E-mail is not
intended or guaranteed to be private or confidential with regard to employee's personal
communication, and should not be used for this purpose.
- Employees should not expect that any communications of theirs that appear on TMC computers or
servers is subject to a privacy right. Accordingly, do not send or store any personal information on
TMC computers.
- Each employee is responsible for the content of all text, audio or images that he/she sends over the
company's Internet and e-mail system. No e-mail or other electronic communications may be sent
which hides the identity of the sender or represents the sender as someone else. TMC’s name is
attached to all messages so use discretion in formulating messages.
- Internal and external e-mail messages are also considered business records and may be subject to
discovery in the event of litigation. Be aware of this possibility when sending e-mail within and
outside the Company.

16
- All company-supplied technology, including computer systems and company-related work records,
belong to Tierra Mia Coffee Company and not the employee.
- Since all the computer systems and software, as well as the e-mail and Internet connection, are TMC-
owned, all company policies are in effect at all times. Any employee who abuses the privilege of
TMC facilitated access to e-mail or the Internet, may be denied access to the Internet and, if
appropriate, be subject to disciplinary action up to and including termination.

Use of Personal Communication Devices and Cell Phones

The use of personal communication devices shall be limited in the workplace to alleviate distractions and
the disruption of regular work routines. Personal communication devices are defined as, but not limited
to, cellular or two-way phones, and audible pagers. Any employee carrying a non-company issued
personal communication device with an audible alarm or ring must ensure the sound is turned off during
work hours and in work areas.

Personal use of cell phones during work hours is prohibited, except in case of emergency, as defined
below. Employees must not take, return, or receive personal calls or texts on personally owned
communication devices during work hours or in work areas. Exceptions to this policy are for supervisors
and managers that are responding to work-related requests from Executive Officers. Limited and
temporary exceptions to this policy permitting the use of personally owned communications devices for
ongoing serious personal emergency situations (such as the imminent birth of a child) are subject to the
approval of your Manager. Violation(s) of this policy may be grounds for discipline up to and including
termination.

Use of Company Phone and Company Mail Systems

Personal use of the Company telephone for long-distance and toll calls is not permitted.

The mail system is reserved for business purposes only. Employees should refrain from sending or
receiving personal mail at the workplace. All mail delivered to TMC is presumed to be related to
company business.

Use of Cell Phone While Driving

In the interest of the safety of our employees and other drivers, employees are prohibited from using cell
phones while driving on Company business and/or company time.

If your job requires that you keep your cell phone turned on while you are driving, you are required to use
a hands-free device. Under no circumstances should employees place phone calls, or send or read text-
based, e-mail, or instant message communication, while operating a motor vehicle while on Company
business and/or Company time. Violating this policy is a violation of state law and a violation of
Company rules, and will subject an employee to disciplinary action up to and including immediate
termination.

Use of Equipment and Vehicles

Equipment and vehicles essential in accomplishing job duties are expensive and may be difficult to
replace. When using property, employees are expected to exercise care, perform required maintenance,
and follow all operating instructions, safety standards, and guidelines.

Please notify your Manager if any equipment, machines, tools, or vehicles appear to be damaged,
defective, or in need of repair. Prompt reporting of damages, defects, and the need for repairs could
prevent deterioration of equipment and possible injury to employees or others. Your Manager can answer
any questions about an employee's responsibility for maintenance and care of equipment or vehicles used
on the job.

17
The improper, careless, negligent, destructive, or unsafe use or operation of equipment or vehicles, as
well as excessive or avoidable traffic and parking violations, can result in disciplinary action, up to and
including termination of employment.

Employment of Relatives
TMC will consider employment of employees’ relatives, provided that such employment does not
interfere with Company operation or business.

We may restrict the employment of relatives in order to:

- Provide equal opportunities for all employees;

- Prevent conflicts of interest; and
- Preserve confidentiality.

An individual shall not be placed in a situation where he or she has input into the hiring, terminating,
disciplining, evaluating, promoting, salary, or bonuses of a relative. All applicants and employees must
inform their manager if any of their relatives are or become employed by TMC.

When a marriage or job promotion may result in a relative directing, supervising or being supervised by a
relative, the Chief Operating Officer and TMC management will evaluate the situation to determine what
action is to be taken.

Outside Employment
If a regular employee obtains outside employment and it is determined that the outside employment
conflicts with the employee’s responsibilities to TMC or with TMC’s scheduling requirements, or impairs
or interferes in any way with the employee’s ability to perform all of his or her duties for TMC, the
employee may be required to cease the outside employment as a condition of continued employment with
TMC.

Smoke Free Workplace

In keeping with TMC’s intent to provide a safe and healthy work environment, smoking is prohibited
throughout the workplace. Employees should ensure that there is no smoke residue or smell on their
person or clothing when they enter the workplace.

Business Travel Expenses

TMC will reimburse employees for reasonable business travel expenses incurred while on assignments
away from their normal work location. All business travel must be approved in advance by the Chief
Operating Officer or President.

When approved, the actual costs of travel, meals, lodging, and other expenses directly related to
accomplishing business travel objectives will be reimbursed by TMC.

Expenses that will generally be reimbursed include the following:

- Airfare or train fare for travel in coach or economy class or the lowest available fare;
- Car rental fees, only for compact or mid-sized cars;
- Fares for shuttle or airport bus service, where available; costs of public transportation for other
ground travel;
- Taxi fares, only when there is no less expensive alternative;
- Cost of standard accommodations in moderately priced hotels or lodgings;
- Cost of meals up to $15 for breakfast, $20 for lunch, and $30 for dinner;
- Tips not exceeding 15% of the total cost of a meal or 10% of a taxi fare;
- Charges for telephone calls, fax, and similar services required for business purposes.

18
Cars/ Fuel
Employees who are involved in an accident while traveling on business must promptly report the incident
to his/her Manager. Vehicles owned, leased, or rented by TMC may not be used for personal use without
prior approval. When travel is completed, employees should submit completed travel expense reports
within 14 days. Reports should be accompanied by receipts for all individual expenses. Employees
should contact their Manager for guidance and assistance on procedures related to travel arrangements,
expense reports, reimbursement for specific expenses, or any other business travel issues. Abuse of this
business travel expenses policy, including falsifying expense reports to reflect costs not incurred by the
employee, can be grounds for disciplinary action, up to and including termination of employment.

Tierra Mia Coffee Company’s Standards of Conduct

Standards of conduct exist to ensure orderly operation and provide the best possible work environment.
Failure to abide by these rules may result in disciplinary action, up to and including termination. The
following are TMC’s standards of conduct:

- Treat all individuals with fairness, dignity and respect;

- Provide superior service to all customers;
- Understand and support TMC’s mission and overall direction;
- Always strive for professional excellence;
- Be flexible, innovative, and responsive to change;
- Manage human and financial resources wisely;
- Be a team player and help others succeed;
- Encourage open communication throughout the workplace and company;
- Take pride in TMC and your role in our collective success.

Disciplinary Procedures
TMC is committed to fair treatment of all employees and to make certain that disciplinary actions are
prompt, uniform, and impartial. The primary purpose of any disciplinary action is to correct the problem,
prevent recurrence, and prepare the employee for satisfactory service in the future. Tierra Mia reserves
the right to discharge an employee for violating any TMC policy at any time.

TMC may impose discipline of any kind at any time, but in some cases, and at the discretion of TMC
management and based on the severity of the incident, progressive discipline may be implemented to
include a verbal warning, written warning in the form of a “Notice of Corrective Action”, probation,
suspension or termination of employment.

Disciplinary Guidelines
Some examples of infractions that may result in disciplinary action, up to and including termination are
listed below (this list is not all-inclusive and other conduct may result in disciplinary action):

- Dishonesty, theft, or embezzlement;

- Falsification of documents (e.g., employment applications, time sheets);
- Referring business or disclosing confidential information to a competitor;
- Holding a second job which is in conflict with your position at TMC;
- Unauthorized possession of TMC records;
- Refusal to perform work as required, or any other act perceived of insubordination;
- Profanity;
- Non-compliance with dress code;
- Not following provided instructions and methods on how to prepare beverages or
products, or taking shortcuts in preparing beverages or products;
- Use or distribution of illegal substances;
- Consumption of alcohol on TMC premises or during working hours;
- Conduct that may cause injury to persons or damage to property;

19
 - Sleeping on the job, or sleeping at a store premises or any company facility;
- Harassment and/or sexual harassment;
- Discrimination;
- Smoking in any TMC facility;
- Unauthorized presence on TMC premises while off duty including being behind the coffee bar;
- Misuse of Company facilities, equipment, or other property;
- Fighting, yelling or threats;
- Undercharging or giving free drinks, pastries, or gift cards;
- Being tardy or failing to show up for work; and
- Falsifying a time record, whether it is you or another employee's time record.

III.

INTERNAL COMMUNICATIONS

Problem Solving Process

Tierra Mia Coffee Company (TMC) strives to be attentive and responsive to its employees’ concerns.
Management’s goal is to maintain a harmonious, productive work relationship with each employee. The
problem-solving process set forth below will provide employees with a systematic way to resolve work-
related problems and/or complaints, such as:

- Disagreement with the interpretation or application of TMC policies;

- Disagreement with an employment decision regarding the administration of employee benefits or
conditions of employment (e.g., scheduling, promotions, training, or vacations);
- Treatment considered unfair by an employee (e.g., coercion, reprisal, or intimidation); and
- Alleged discrimination in any form (e.g., race, religion, sex, age, national origin, or disability).

If an employee has a work-related problem or complaint, he or she should promptly discuss it with his or
her Manager. If the employee is not comfortable discussing the problem or complaint with their Manager
because it involves their Manager, the employee may discuss it with another Manager or the District
Manager. If the employee is not comfortable discussing the problem with their Managers or District
Manager because it involves all of them, he or she may speak with the Chief Operating Officer.

Employees will not be penalized or retaliated against for bringing work-related problems or complaints to
management’s attention. Employees must not abuse the problem-solving process by raising issues in bad
faith or for the sole purpose of delay or harassment, or repeatedly raise issues that a reasonable person
would judge to have no merit.

Implementation of the problem-solving process by an employee does not limit the right of TMC to
impose disciplinary action that is not in retaliation for using the problem-solving process.

Suggestion Program
As an employee of TMC, you have the opportunity to contribute to our future success and growth by
submitting suggestions for practical work-improvement or cost-savings ideas.

A suggestion is an idea that may benefit TMC by solving a problem, reducing costs, improving operations
or procedures, enhancing customer service, eliminating waste or spoilage, or making TMC a better or
safer place to work. All suggestions should be submitted in writing and should contain a description of
the problem or condition to be improved, a detailed explanation of the solution or improvement, and the
reasons why it should be implemented.

20
 IV.

EXCUSED ABSENCE POLICY

In general, given the part-time nature of most roles at Tierra Mia Coffee (TMC), employees are expected
to work within their availability provided to their manager for scheduling. The Excused Absence Policy
exists in order to ensure that the staffing needs of our stores are met, while allowing TMC employees the
ability to balance important events they may have in their own lives. The rules and number of excused
absences allowed will be based on the position, and by the amount of time that has passed from when the
employee began work at TMC. The following rules exist for staff wishing to request days off:

New Hires (less than 3 months from date of hire);

- New Hires are considered to be in training during the first three months, and as such are expected to
not request days off outside of their availability given at the time of hiring.

Barista, Bakery, and Roastery Apprentices (3-6 months after date of hire);
- Apprentices working in month 3 to month 6 from their date of hire may request up to 3 days off from
work; these days off can be taken consecutively (ie. Fri-Sun) or separately.

Barista, Bakery, and Roastery Apprentices (6 months after date of hire);

- Apprentices 6 months after hire may request 3 days off from work every 2 months; these days off can
be taken consecutively (ie. Fri-Sun) or separately.

Certified Baristas, Supervisors, Lead Bakers, Lead Roasters, and part-time/hourly Assistant Managers;
- Certified Baristas, Supervisors and part-time Assistant Managers may request 4 days off from work
every 2 months; these days off can be taken consecutively (ie. Thurs-Sun) or separately.
- Certified Baristas, Supervisors and part-time Assistant Managers can also request a full 7-day week
off from work one time every 12 months, instead of 4 days during a 2 month period.
- After 3 years, any employee can request 14 consecutive days off from work.

In Order to Obtain an Excused Absence:

Excused absences will be granted only if possible given the needs of the work location. If the work
location is short-staffed then requests may not be granted. Requests for days off in the same time period
(i.e., the same weekend) from multiple employees at the same position level will be granted on a first
come, first-served basis.

An official TMC request form must be submitted to the employee’s Manager ten (10) calendar days prior
to the day/s being requested; requests submitted 7-10 days prior will be considered but are less likely to
be granted, particularly if the following week’s schedule has already been published. Requests for day(s)
off, less than 7 days from the date(s) requested will generally not be granted.

Covering of Shifts at Tierra Mia Coffee

In general, staff are expected to work shifts as scheduled, however, they may have a shift covered or trade
shifts with another TMC employee of similar skill level, subject to the following:

- All staff must receive approval by an Assistant Manager or Manager in order to have a shift covered.
- Employees are expected not to trade shifts more than 1 time every 2 months.
- In order to have a shift covered, you must find someone to cover your shift and verbally notify the
Assistant Manager or Manager to verify it is approved.
- Supervisor shifts must be covered by other Supervisors, Assistant Managers, or Managers; Certified
Barista shifts must be covered by other Certified Baristas or Supervisors; Barista Apprentice shifts
must be covered by other Barista Apprentices or Certified Baristas (but not Supervisors).

21
Emergency Excused Absences
Absence from work is allowed in the event of an unforeseen emergency such as injury requiring medical
treatment or hospitalization, a severe family crisis, or death. In the event of an emergency, if physically
able, the employee is expected to take responsibility for any scheduled shift by notifying a TMC
Supervisor, Manager, or District Manager that they will not be able to arrive to work on time or to
complete their shift. Notification must be through a live, verbal conversation; voicemails and text
messages will not suffice. TMC will accommodate unforeseen emergencies as best as possible, however
an absence for a purported emergency that is demonstrated to be false or fabricated may be subject to
discipline, up to and including termination.

V.

COMPENSATION

Pay Corrections
Tierra Mia Coffee Company (TMC) takes all reasonable steps to ensure that employees receive the
correct amount of pay in each paycheck and that employees are paid promptly on the scheduled payday.
In the unlikely event that there is an error in the amount of pay, the employee should promptly bring the
discrepancy to the attention of their manager so that corrections can be made as quickly as possible.

Direct Deposit
Employees are encouraged to have pay directly deposited into their bank accounts by providing advance
written authorization to TMC. Employees will receive an itemized statement of wages when TMC makes
direct deposits.

Salary Basis Pay For an Employee

Being paid on a "salary basis" refers to an employee who regularly receives a predetermined amount of
compensation each pay period on a weekly or less frequent basis, which cannot be reduced because of
variations in the quality or quantity of work. Subject to the exceptions listed below, an exempt employee
must receive his or her full salary for any workweek in which the employee performs any work,
regardless of the number of days or hours worked. Exempt employees do not need to be paid for any
workweek in which they perform no work and will not be, unless appropriate accrued paid leave is
utilized. If the employee is ready, willing and able to work, deductions may not be made for time when
work is not available.

Deductions from the salary of an exempt employee are permissible when that employee is:

- Absent from work for one or more full days for personal reasons, other than sickness or disability;
- Absent from work for one or more full days due to sickness or disability, if the deduction is made in
accordance with a bona fide plan, policy or practice of providing compensation for salary lost due to
illness;
- In receipt of amounts as jury or witness fees; or
- On an unpaid disciplinary suspension for one or more full days, imposed in good faith for workplace
conduct rule infractions.

Also, TMC is not required to pay an exempt employee’s full salary in the initial or final week of
employment; for penalties imposed in good faith for infractions of safety rules of major significance; or
for weeks in which an exempt employee takes unpaid leave under the Family and Medical Leave Act.

It is the policy of TMC to comply with the "salary basis" requirements of the Fair Labor Standards Act.
Therefore, those preparing paychecks are prohibited from making any improper deductions from the
salaries of exempt employees. If you believe that an improper deduction has been made to your salary or
that overtime was worked and not paid, you should immediately report this information to your Manager
or District Manager.

22
Reports of an improper deduction from wages or an overtime denial will be promptly investigated. If it is
determined that an improper deduction or denial has occurred, you will be promptly reimbursed.

Overtime
When operating requirements or other needs cannot be met during regular working hours, non-exempt
employees may be scheduled to work overtime hours. When possible, advance notification of these
mandatory assignments will be provided. All overtime work must receive the Manager’s prior
authorization. Overtime compensation is paid to all nonexempt employees in accordance with federal and
state wage and hour regulations. Overtime pay is based on actual hours worked.

All non-exempt employees are entitled to be paid time and one half for all time worked in excess of 8
hours per day and 40 hours during a scheduled workweek; and the first 8 hours on the seventh
consecutive day of a workweek. Overtime compensation at two times an employee’s regular rate of pay
is paid for any work in excess of 12 hours in one day and for any work in excess of 8 hours on the seventh
consecutive day of a workweek. Failure to work scheduled overtime or overtime worked without prior
authorization from the Manager may result in disciplinary action, up to and including termination of
employment.

Vacation & Paid Time Off for Salaried Employees

All full-time and salaried employees (non-hourly) receive paid vacation time. Such time away from work
is considered important for rest and relaxation and all eligible employees are expected to use their
vacation time. During the vacation time, employees will be paid as if they were in attendance at work.
Employees become eligible for vacation upon becoming a full-time, salaried employee. This includes but
is not limited to assistant managers, managers, district managers and chief executives. Vacation time may
be taken once a year, 3 months after the first day of full-time salaried employment. The amount of paid
vacation will scale at the anniversary date of when the individual became a full-time salaried employee:
Vacation accrues monthly.

Salaried Retail, Roastery, and Bakery Assistant Managers & Managers:

Years 1-3 7 days paid time off per year
Years 4-8 10 days paid time off per year
Years 9 and after 15 days paid time off per year

Additional Time Off for Salaried Employees

After 2 years of full-time salaried employment, upon approval by the District Manager, Chief Operating
Officer or President of TMC, a salaried employee may also take an additional 7 days of non-paid time off.
Approval will be granted if it is determined that TMC will not be adversely affected by the employee’s
absence. If the additional time off is taken by the employee, pay for these 7 days will be deducted from
the full-time salaried employee’s bi-weekly paycheck.

The salary administration program at TMC was created to achieve consistent pay practices, mirror our
commitment to Equal Employment Opportunity, and offer competitive salaries within our labor market.
Because recruiting and retaining talented employees is critical to our success, TMC is committed to
paying its employees equitable wages that reflect the requirements and responsibilities of their positions.

Compensation for every position is determined by several factors, including job analysis and evaluation,
the essential duties and responsibilities of the position, and salary survey data of other employers in the
area. TMC periodically reviews its salary administration program and restructures it as necessary. Merit-
based pay adjustments may be awarded in conjunction with superior employee performance documented
by the annual performance evaluation process. Incentive bonuses may be awarded depending on the
overall profitability of TMC and based on each employee’s individual contributions to the organization.

23
Employees should bring their pay-related questions or concerns to the attention of their Manager or
District Manager. Salaried employees should bring their pay-related questions or concerns to the Chief
Operating Officer.

VI.

CAREER DEVELOPMENT

Job and Performance Evaluation

All employees are strongly encouraged to discuss job performance and goals on an informal, day-to-day
basis. A formal written performance evaluation will be conducted annually for certified baristas,
supervisors, Assistant Managers and Managers. Formal performance evaluations are conducted to
provide employees the opportunity to discuss job tasks, identify and correct weaknesses, encourage and
recognize strengths, and discuss positive, purposeful approaches for meeting goals.

Merit based pay adjustments and/or bonuses may be awarded, but are not guaranteed, in conjunction with
superior employee performance documented by the performance evaluation process.

Job Posting and Employee Referrals

Tierra Mia Coffee Company (TMC) provides employees an opportunity to indicate their interest in open
positions and advance within the organization according to their skills and experience. Notices of job
openings may be posted, although TMC reserves its right to not post openings.

While it is TMC’s philosophy to promote from within whenever possible, there are business conditions
that may require a decision to seek outside candidates, or to post the position while simultaneously
recruiting from outside the company, those business conditions include, but are not limited to:

- Organizational restructuring;
- Position requirements that include skills, education, and/or experience that are not known to match
any existing employee;
- Critical operational needs.

In addition to the conditions above, Managers may request an exception to posting for a job when they
have a candidate within the same department or division who is qualified and is already trained for the
position. The decision to fill the position without posting requires the approval of the Chief Operating
Officer or President.

TMC recognizes the benefit of developmental experiences and encourages employees to talk with their
Manager and District Manager about their career plans. Managers are encouraged to support employees'
efforts to gain experience and advance within the organization.

VII.

HEALTH AND SAFETY

Drug Free Workplace

Tierra Mia Coffee Company (TMC) has a zero tolerance policy for drugs or alcohol in the workplace and
discourages drug and alcohol abuse by its employees. Misuse of alcohol or drugs by employees can
impair the ability of employees to perform their duties and operate equipment, as well as adversely affect
our customers and customers' confidence in our company.

24
Alcohol
Employees are prohibited from using or being under the influence of alcohol while performing company
business for TMC, while operating equipment or a motor vehicle in the course of business or for any job-
related purpose, or while on company premises or a worksite.

Illegal Drugs
TMC employees are prohibited from using or being under the influence of illegal drugs while performing
company business or while on a company facility or worksite. You may not use, manufacture, distribute,
purchase, transfer or possess an illegal drug while in TMC facilities, while operating a motor vehicle for
any job-related purpose or while on the job, or while performing company business. This policy does not
prohibit the proper use of medication under the direction of a physician.

Disciplinary Action
Employees who violate this health and safety policy will be disciplined or terminated, even for a first
offense. Violations include refusal to consent to and comply with testing and search procedures as
described below.

Searches
If reasonable suspicion of a violation of the drug and alcohol policy arises, TMC may conduct searches
for illegal drugs or alcohol on company facilities or worksites without prior notice to employees. Such
searches may be conducted at any time. Employees are expected to cooperate fully.

Searches of employees and their personal property may be conducted when there is reasonable suspicion
to believe that the employee has violated this policy or when circumstances or workplace conditions
justify such a search. Personal property may include, but is not limited to, purses, boxes, briefcases, as
well as any TMC property that is provided for employees' personal use, such as desks, lockers, and files.

An employee's consent to a search is required as a condition of employment and the employee's refusal to
consent will result in disciplinary action, including termination.

Drug and Alcohol Testing

TMC may require a blood test, urinalysis, hair test or other drug or alcohol screening of employees
suspected of using or being under the influence of drugs or alcohol or where other circumstances or
workplace conditions justify such testing. The refusal to consent to testing will result in disciplinary
action, including termination.

TMC will require drug testing and/or alcohol testing:

- When a reasonable suspicion exists that any employee has alcohol, illegal drug, or intoxicant within
his or her system (“reasonable suspicion” means suspicion based on appearance, speech, breath odor,
or actions of the employee);
- When an accident occurs;
- When an employee has participated in a rehabilitation program;
- When required by state or federal law.

Voluntary Drug/Alcohol Rehabilitation Leave

TMC will make reasonable accommodations by providing unpaid time off for any employee who
voluntarily enters and participates in a drug or alcohol rehabilitation program, as long as it does not
impose an undue hardship on TMC. This time off may be covered by FMLA/CFRA if the employee is
eligible.

Safety
To assist in providing a safe and healthful work environment for employees, customers, and visitors,
TMC has established an Illness and Injury Prevention Program.

25
TMC may provide information to employees about workplace safety and health issues, and employees
may receive periodic workplace safety training. Employees who have ideas, concerns, or suggestions for
improved safety in the workplace are encouraged to discuss them with their manager. The employee
must notify TMC of health initiatives that may exist and they are aware of.

Employees are required to immediately report any unsafe condition to the appropriate manager.
In the case of accidents that result in injury, regardless of how insignificant the injury may appear,
employees should immediately notify their manager. Such reports are necessary to comply with laws and
initiate insurance and workers’ compensation benefits procedures.

Any employee that sustains an injury or ailment necessitating medical treatment must submit a fitness for
duty note from their health care provider detailing the limitation in activities or duties. These notices
must be provided at least once every 2 months until the employee is cleared for full responsibilities and
duties. Employees agree to notify TMC managers immediately if their condition changes or worsens.
Employees who sustain an injury or illness outside of TMC are expected to notify their manager as soon
as they are able. If the employee is not able to physically perform their duties at TMC as a result of their
injury or illness, a doctor’s clearance will be required before they return to work.

Each employee is expected to obey safety rules and to exercise caution in all work activities. Employees
who violate safety standards, or cause hazardous or dangerous situations, may be subject to disciplinary
action, up to and including termination of employment.

Guns and Weapons in the Workplace

TMC strictly prohibits the use, sale, purchase, transfer, or possession by its employees of any gun or other
weapon on any TMC premises, facility, or company vehicle.

In order to promote a safe, productive, and efficient workplace, TMC reserves the right to inspect
employees, as well as any articles and property in their possession, to detect guns or other weapons.
TMC also reserves the right to inspect lockers, desks, company vehicles, personal vehicles on company
property, packages, lunch boxes, containers, articles of clothing, and other objects brought onto company
property that might conceal guns or other weapons. Violation of this policy will result in disciplinary
action, up to and including termination.

Workplace Violence Prevention Policy

TMC has a zero tolerance policy for any type of workplace violence committed by or against employees.
Any threats or acts of violence by an employee against a vendor, customer, visitor or property will not be
tolerated. Any employee determined to have committed such acts will be subject to disciplinary action,
up to and including termination from TMC. Where appropriate, TMC will report violent incidents to
local law enforcement authorities.

A violent act/threat of violence is defined as any direct or indirect action or behavior that could be
interpreted, in light of known facts, circumstances and information, by a reasonable person, as indicating
the potential to harm, endanger or inflict pain or injury on any person or property.

This list of behaviors, while not inclusive, provides examples of prohibited conduct:
- Physical assault, threat to assault or stalking an employee or customer;
- Possessing or threatening with a weapon;
- Intentionally damaging property of TMC or personal property of another;
- Aggressive or hostile behavior that creates a reasonable fear of injury to another person;
- Harassing or intimidating statements, phone calls, voice mails, or email messages, or those which are
unwanted or deemed offensive by the receiver;
- Racial or cultural epithets or other derogatory remarks associated with hate crime threats.

26
Any questions about what constitutes violent behavior should be directed to your Manager and/or District
Manager.

Visitors in the Workplace

To provide for the safety and security of employees and the facilities at TMC, only authorized visitors are
allowed in the workplace. Authorized visitors will be escorted to their destination. Employees are
responsible for the conduct and safety of their visitors. No visitors should be behind the bar area, inside
the coffee roastery area, inside the bakery area or inside any storage or warehouse facilities without the
express approval of the District Manager, Chief Operating Officer, or President.

If an unauthorized individual is observed on TMC premises, employees should immediately notify their
Manager or District Manager, and if necessary, report it to the Chief Operating Officer.

VIII.

EMPLOYEE BENEFITS & LEAVES

Employee Benefits
Eligible employees are provided a wide range of benefits. A number of the programs (such as Social
Security, workers' compensation, state disability insurance, paid family leave and unemployment
insurance) cover all employees in the manner prescribed by law. Benefits eligibility is dependent upon a
variety of factors, including employee classification.

Religious Holidays
An employee who requires time off from work for the observance of a religious holiday must make
arrangements with and get authorization from his or her manager at least fourteen (14) days in advance of
the required time off.

Family and Medical Leave Policy

Tierra Mia Coffee Company (TMC) provides family and medical leaves of absence to eligible employees
in accordance with the federal Family and Medical Leave Act (FMLA) and applicable state or local laws.
TMC will not interfere with, restrain or deny the exercise of any right provided under FMLA. Nor will
TMC discharge or discriminate against any person for opposing any practice made unlawful by FMLA or
for involvement in any proceeding under or relating to FMLA. An eligible employee may be entitled to a
total of 12 weeks of unpaid FMLA leave during a 12-month period for the following reasons:

 The birth and care of a newborn child;

 The placement with the employee of a child for adoption or foster care;
 To care for the employee’s spouse, child or parent with a serious health condition;
 Because of an employee’s own serious health condition that makes the employee unable to
perform the functions of the employee’s job; and
 Because of any qualifying exigency arising out of the employee’s spouse, child or parent being a
covered military member on active duty or having been notified of an impending call or order to
active duty in support of a contingency operation.

A “serious health condition” is an illness, injury, impairment or physical or mental condition that involves
(a) an overnight stay in a hospital, hospice or medical care facility or (b) continuing treatment by a health
care provider, as defined under the FMLA. Subject to certain conditions, the continuing treatment
requirement may be met by a period of incapacity of more than 3 consecutive calendar days combined
with at least two visits to a health care provider or one visit and a regimen of continuing treatment, or
incapacity due to pregnancy, or incapacity due to a chronic condition.

27
A “qualifying exigency” that may qualify for FMLA leave generally includes the need to address issues
arising from a short-notice deployment, to attend an official military ceremony, program or event, to
arrange for alternative childcare due to active duty or call to active duty status, to make or update
financial or legal arrangements, to attend counseling, to spend time with a covered military member on
short-term rest and recuperation, to attend post-deployment activities and to address other events which
arise out of the covered military member’s active duty or call to active duty status.

An eligible employee will be entitled to a total of 26 weeks of unpaid FMLA leave during a single 12-
month period for the following reason: To care for a spouse, child, parent or next of kin who is a covered
servicemember with a serious injury or illness.

Eligibility
An employee is eligible for FMLA leave after being employed by TMC for 12 months and having worked
for at least 1,250 hours within the 12-month period immediately preceding the beginning of the leave.

Intermittent or Reduced Schedule Leave

An employee may take FMLA leave intermittently or on a reduced leave schedule when medically
necessary or due to qualifying exigencies. TMC may temporarily transfer an employee requiring
intermittent leave or leave on a reduced work schedule to an available alternative position for which the
employee is qualified and which better accommodates recurring periods of leave.

Reinstatement
An employee returning to work following FMLA leave will be able to return to the substantially same
position the employee held prior to taking leave or to an equivalent position with equivalent benefits, rate
of pay and other terms and conditions of employment, unless the employee would have been terminated
due to a layoff, downsizing, restructuring, etc., if the employee had not taken leave. An employee who
fails to return to work following FMLA leave will be considered to have voluntarily resigned his or her
employment. TMC may require an employee on FMLA leave to report periodically on the employee’s
status and intent to return to work.

Benefits During Leave

TMC will offer an employee on FMLA leave the same benefits, if any, as TMC provides to employees on
other, non-FMLA leaves of absence.

Procedure for Requesting FMLA Leave

If the need for leave is foreseeable, an employee must provide TMC with at least 30 days advance notice
before the FMLA leave is to begin. If 30 days advance notice is not practicable due to a medical
emergency or the date for leave is not known, the employee must provide notice to TMC as soon as
practicable based on the facts and circumstances of the individual case.

When planning medical treatment, an employee must consult with TMC and make a reasonable effort to
schedule the treatment so as not to unduly disrupt TMC’s operations, subject to the approval of the
employee’s health care provider.

An employee has an obligation to respond to the Company’s questions designed to determine whether an
absence or request for leave is potentially an FMLA-qualifying leave. Failure to respond to TMC’s
reasonable inquiries regarding the leave request may result in denial of FMLA protection if the Company
is unable to determine whether the leave is FMLA-qualifying.

Medical and Other Certification Requirements

TMC requires that an employee requesting FMLA leave provide medical certification from a health care
provider regarding the employee’s own serious health condition or that of the employee’s covered family
member. Failure to provide any required certification in a timely manner may result in the denial of
FMLA coverage if TMC is unable to determine whether the leave is FMLA-qualifying.

28
Fitness for Duty Certification
TMC requires that an employee seeking to return to work following FMLA leave due to the employee’s
own serious health condition provide a fitness for duty certification from the employee’s health care
provider, stating that the employee is able to come back to work and is able to perform the essential
functions of the employee’s job.

Company Notification of Eligibility and Designation of Leave

TMC will inform employees requesting leave whether they are eligible under FMLA and if not eligible,
will provide a reason for the ineligibility. TMC will also inform employees if leave will be designated as
FMLA-protected leave and the amount of leave counted against the employee’s FMLA leave entitlement.

Other Employment and Activities Prohibited During Leave

An employee on FMLA leave from TMC may not work for another employer or engage in activities that
violate specific health care provider restrictions, unless granted permission by TMC.

Pregnancy Disability Leave

Pregnancy, childbirth, or related medical conditions will be treated like any other disability, and an
employee on leave will be eligible for temporary disability benefits in the same amount and degree as any
other FMLA leave.

If the need for a leave or transfer is foreseeable, employees must provide notification at least 30 days in
advance. If 30 days advance notice is not possible, notice must be given as soon as practical. Upon the
request of an employee and recommendation of the employee’s physician, the employee’s work
assignment may be changed. Temporary transfers due to health considerations may also be granted when
possible. However, the transferred employee will receive the pay that accompanies the job.

Pregnancy leave begins when ordered by the employee’s physician. The employee must provide TMC
with a certification from a health care provider that contains:

- The date on which the employee became disabled due to pregnancy;

- The probable duration of the period or periods of disability; and
- A statement that, due to the disability, the employee is unable to perform one or more of the essential
functions of her position without undue risk to herself, her pregnancy, or to other persons.

The duration of the leave will be determined by the employee’s physician, up to a maximum of four
months. Part-time employees are entitled to leave on a pro rata basis. The four months of leave includes
any period of time for actual disability caused by the employee’s pregnancy, childbirth, or related medical
condition. Leave does not need to be taken in one continuous period of time and may be taken
intermittently, as needed.

Upon submission of medical certification that an employee is able to return to work from a pregnancy
disability leave, an employee will be reinstated to the same position held at the time the leave began or to
an equivalent position, if available.

Lactation Accommodation
Employees who wish to express breast milk at work will be reasonably accommodated. Employees may
be required to use paid rest breaks, and if the employee needs additional time beyond normal rest breaks,
that time will be provided but may be unpaid. The employee will be provided the use of a private place in
close proximity to their work area.

School Activity Leave

Employees who are parents or guardians of a child who has been suspended from school will be granted
time off from work to appear at the school in connection with that suspension. The employee must

29
provide reasonable notice to their manager. TMC reserves the right to request documentation from the
school regarding the suspension.

Parental Leave
Parents, guardians and custodial grandparents are entitled to up to 40 hours of unpaid leave per school year
(8 hours per month) to participate in the school activities of a child in grades K through 12. The employee
is required to provide their manager with a 7 day advanced notice of the need for the leave.

Military Spouse Leave

All employees who work at least 20 hours per week are eligible for a military spouse leave of absence.
Employees will be granted a leave when their spouse is on leave from a period of military conflict.
Employees will be eligible for up to 10 unpaid days off.

The employee must provide TMC with notice within at least two business days of receiving official notice
that their spouse will be on leave from deployment, that s/he wishes to take leave. All requests for
military spouse leaves of absence must include written documentation certifying that the spouse will be
on leave from deployment.

Domestic Violence/Sexual Assault Victims Leave

An employee who is a victim of domestic violence or sexual assault will be granted unpaid time off to
appear in court to obtain a temporary restraining order; obtain other court assistance to help ensure their
health, safety or welfare, or that of their child; to go to a crisis center; to obtain psychological counseling;
or participate in safety planning, including temporary or permanent relocation. Employees should notify
their manager in advance of the need for time off, and may be required to provide documentation for the
absence.

Crime Victims Leave

An employee may take unpaid time off from work to attend judicial proceedings related to a crime as
follows:
- The crime must be a violent or serious felony, as defined by law; and
- The employee must be the victim of a crime, or an immediate family member of a victim, a registered
domestic partner of a victim, or the child of a registered domestic partner of a victim. (An immediate
family member is defined as: a spouse, child, stepchild, brother, stepbrother, sister, stepsister, mother,
stepmother, father or stepfather. A registered domestic partner means a domestic partner who is
registered in accordance with California state law.)

An employee is required to provide documentation in advance of the scheduled proceeding to their

manager. If advance notice is not possible, the employee should provide appropriate documentation to
their manager within a reasonable time after the absence.

Volunteer Civil Service Leave

Employees who are required to perform emergency rescue duties as volunteer firefighters, reserve peace
officers or emergency rescue Human Resources will be granted unpaid time off. “Emergency rescue
Human Resources” means any officer, employee, or member of a fire department or fire protection or
firefighting agency, or of a sheriff's department, police department, or a private fire department, whether a
volunteer or paid worker.

Volunteer Firefighter Training Leave

Employees who are volunteer firefighters will be granted an unpaid leave of absence of up to 14 days per
calendar year for required fire or law enforcement training.

NOTE: If you or a member of your immediate family are a member of the military you may be subject
to additional leaves of absence. Please notify your manager and additional information will be provided.

30
 IX.

CIVIC RESPONSIBILITY

Jury Duty
All regular full-time and regular part-time employees will be allowed to attend jury duty service in
accordance with their legal obligations to do so. An employee who receives a jury duty summons should
promptly present the summons to his or her manager. Tierra Mia Coffee Company (TMC) will reimburse
wages if required in accordance with state law. Employees on jury duty must report to work on days or
parts of days when they are not required to serve.

Witness Duty
Any employee subpoenaed to appear in court as a witness will be allowed to take time off from work
without pay. An employee who is required to appear in court should present the subpoena to his or her
Manager as soon as possible.

Voting
TMC encourages employees to fulfill their civic responsibility by participating in elections. If necessary,
employees should request time off to vote from his/her Manager at least two working days prior to the
Election Day, so that the necessary time off can be scheduled at the beginning or end of the work shift.

X.

ADDITIONAL INFORMATION

Workplace Monitoring
Workplace monitoring may be conducted by TMC to ensure quality control, employee safety, security,
and customer satisfaction. TMC may conduct video monitoring of non-private workplace areas to
identify safety concerns, maintain quality control, detect theft and misconduct, and discourage or prevent
acts of harassment and workplace violence.

Because TMC is sensitive to the legitimate privacy rights of employees, every effort will be made to
guarantee that workplace monitoring is done in an ethical and respectful manner.

Bulletin Boards
Bulletin boards may contain important company information and policies such as employment law
posters. Management must approve all postings on the bulletin boards.

Solicitation and Distribution of Literature

To avoid disruption to and interference with TMC’s operations, the following rules regarding solicitation
and distribution of literature have been established and will be strictly enforced:
- Both non-employees and employees are prohibited from soliciting or distributing literature during
working time or in working areas for any purpose;
- Employees may not distribute literature at any time in working areas.
- Employees may not use TMC equipment or systems, including but not limited to computers, e-mail,
telephones, voice-mail, and fax machines to send or receive solicitation or literature.

Violation of this policy may result in disciplinary action, up to and including termination.

Additional Regulations Pursuant to Local Ordinances

Certain cities, such as the City of San Francisco, or certain states may have additional employee
regulations pursuant to local ordinances. TMC will comply with local ordinances as required by law. A
separate handout describing those benefits will be distributed to any affected employees.

31
 XI.

END OF EMPLOYMENT

Employment Termination
Termination of employment is an inevitable part of human resources activity within any organization, and
many of the reasons for termination are routine. Below are examples of some of the most common
circumstances under which employment is terminated:

- Resignation – voluntary employment termination initiated by an employee.

- Discharge – involuntary employment termination initiated by the organization.
- Layoff – involuntary employment termination initiated by the organization for non-disciplinary
reasons.
- Retirement – voluntary employment termination initiated by the employee meeting age, length of
service, and any other criteria for retirement from the organization.

In the event of a voluntary resignation by the employee, TMC requires that employees provide a two
week written notice of intent to resign. This two week notice will allow the TMC Manager time to hire,
train and/or fill the role being vacated by the employee. A letter of resignation form is enclosed in this
handbook and must be signed by employees resigning from TMC.

32
 LETTER OF RESIGNATION TO TIERRA MIA COFFEE COMPANY

Employee Name _______________________________________________

Address _______________________________________________

City, State, Zip Code _______________________________________________

Phone Number _______________________________________________

Email _______________________________________________

Today’s Date _______________________________________________

Store Address _______________________________________________

City, State, Zip Code _______________________________________________

Dear Tierra Mia Coffee Company:

I would like to inform you that I am resigning from my position with the company, effective on the date

of ___________________________.

Signed,

______________________________
Signature

______________________________
Printed Name

33
 EMPLOYEE ACKNOWLEDGEMENT FORM

The employee handbook describes important information about Tierra Mia Coffee Company (TMC), and
I understand that I should consult the Store Manager or District Manager regarding any questions not
answered in the handbook. I have entered into my employment relationship with TMC voluntarily and
acknowledge that there is no specified length of employment. Accordingly, either TMC or I can
terminate the relationship at will, with or without cause, at any time, so long as there is no violation of
applicable federal or state law.

Since the information, policies, and benefits described here are necessarily subject to change, I
acknowledge that revisions to the handbook may occur, except to the Tierra Mia Coffee Company policy
of employment-at-will. All such changes will be communicated through official notices, and I understand
that revised information may supersede, modify, or eliminate existing policies. Only the President or
Chief Operating Officer of Tierra Mia Coffee Company has the ability to adopt any revisions to the
policies in this handbook.

Furthermore, I acknowledge that this handbook is neither a contract of employment nor a legal document.
I have received the handbook, and I understand that it is my responsibility to read and comply with the
policies contained in this handbook and any revisions made to it.

EMPLOYEE'S NAME (printed):

_______________________________________________

EMPLOYEE'S SIGNATURE:

______________________________________________

DATE: ________________________________________

34