U.S. Benefits

1. U.S. Benefits New Hire Overview January 2012

2. Total Compensation and Benefits • Compensation • Base Salary • Variable Cash Incentive Program (VCIP) • Long-term Incentive (LTI) • Special Recognition Award (SRA) • Benefits • Health & Welfare • Phillips 66 Savings Plan • Phillips 66 Retirement Plan • Time-off & others

3. Health – Medical & Dental Plans • Medical Plan • Coverage options assist with health care needs from prevention to catastrophic events • Options include: • Consumer Plan with or without a Health Savings Account (HSA) • PPO Plan • HMO – in certain locations • If enrolled in the Consumer Plan with HSA, Phillips 66 will contribute $500 (you only) or $750 (all other coverage levels) to your Chase HSA • Prescription drug coverage through Express Scripts (Medco) includes retail and home delivery options (for Consumer and PPO plans) • Estimated 80 / 20 premiumcost sharing between Phillips 66 & employees (Phillips 66 contribution to HMOs capped at PPO contribution)

4. Health – Medical & Dental Plans • Medical Plan • Coordinated health improvement programs (Health Coaching, 24 hour Nurseline) to enhance medical outcomes • Modeling tools available to help employees decide which options are right for their personal situation • Dental Plan • Comprehensive Dental –through MetLife with projected 80 / 20 cost sharing between Phillips 66 & employees • Preventive Dental – through MetLife at a zero ($0) monthly cost to employees

5. Medical Option Highlights (Network)

6. Medical Option Highlights (Network)

7. Prescription Drug Benefits

8. Welfare – Life Insurance • Life Insurance • Basic - One times annual pay; Company paid • Supplemental - Up to eight times annual pay; employee paid • Dependent – Spouse: $40,000 / $75,000; Child: $15,000 / $25,000; employee paid • Occupational Accidental Death (OAD) • Benefit of $500,000 – company paid • Accidental Death and Dismemberment (AD&D) • Coverage of $20,000 to $1 million; employee paid • Family coverage available; employee paid

9. Welfare – Disability • Short-Term Disability (STD) • 52 weeks; Maximum benefit available with 10 years of service: • First 26 weeks at 100 percent pay • Next 26 weeks at 60 percent pay • Company paid • Long-Term Disability (LTD) • Basic benefit – 50 percent of pay; nontaxable • Enhanced benefit –60 percent of pay; nontaxable • Employee paid

10. Wealth Accumulation: Phillips 66 Savings Plan (P66SP) • The P66SP is one of the best and most convenient resources you have for accumulating wealth and securing a comfortable retirement • The P66SP consists of two parts: • Thrift Feature • Success Share • Generally, you are immediately eligible if you are an employee on the direct U.S. dollar payroll of a Phillips 66 company that has adopted the plan • Eligible to participate immediately upon employment • 100% vested immediately, including Company contributions • Loans and withdrawals available • Vanguard is the record keeper • You are immediately vested in all amounts contributed to your account.

11. Wealth Accumulation: Phillips 66 Savings Plan (P66SP) Thrift Feature • Employee may contribute up to 75% of eligible pay • Eligible pay includes base salary and overtime • Before-tax, after-tax, Roth 401(k) or a combination • “Catch-Up” before-tax contributions allowed if age 50 or older • Withdrawals, exchanges and loans allowed • Company matches $1 for $1 up to 5.0% of eligible pay • You have a choice of funds to choose from for investing your contributions • Company matching contributions follow the employee’s contribution investment election • New hires are automatically enrolled with a 3% before-tax contribution • Annual increase in your election of 1% until your contribution reaches 5% • You can increase, decrease or stop your deferral, annual increase election or investments at any time

12. Wealth Accumulation: Phillips 66 Savings Plan (P66SP) Success Share • As the name implies, it reflects your potential to share in the Company’s success • Discretionary profit sharing contribution of 0% to 6% of eligible pay with a target pay out of 2% • Semi-annual cast contributions invested according to your Thrift contribution investment elections • You must have participated in the Thrift Feature for all or part of the measurement period in order to receive a Success Share contribution • The contribution will be based only on your eligible pay for the time period in which you actually made contributions to Thrift

13. Wealth Accumulation: Phillips 66 Savings Plan (P66SP) • Contact Vanguard to enroll or make changes • www.vanguard.com (Plan # 099066) • Call Vanguard at 800-523-1188 • Access Vanguard through HR Express

14. Wealth Accumulation: Phillips 66 Retirement Plan (P66RP) • Phillips 66 Cash Balance Account • Access Vanguard through HR Express • Pay credits recognize both age and service (one “point” per year of service plus age equals total points) • Under 44 points: 6% • 44 through 65 points: 7% • 66 or more points: 9% • Bonus (VCIP) is part of eligible compensation used to calculate cash balance pay credit • Interest credits based on 30 year Treasury rate • Cash Balance Account vests in 3 years • Company paid • Eligible month following hire date

15. Time Off Policies – Vacation

16. Additional Time Off Policies • Holidays • Serious Illness in Family • Death in Family • Personal Leave/Sabbaticals • Flexible core working hours • 19/30 work schedule • Part-time regular work schedules • Family and Medical Leave (FMLA) • Disability Leave • Military Leave • Community Service Leave • Excused Leave with Pay and Hardship Assistance • NOTE: Some policies may not be applicable to sites under a collective bargaining unit Agreement (CBA). Such sites should consult their HRBP or CBA.

17. Other Benefits and Programs • Flexible Spending Accounts (FSA) • Health Care Account (maximum of $2,500) • Dependent Care Account (maximum of $5,000) • Employee Assistance Plan (EAP) – ValueOptions • 5 face-to-face visits per family member / problem / year • Company paid • Matching Gift Program for contributions to charitable organizations or schools • Employees are matched $1 for $1 up to $15,000 annually • Eligible recipients include 501(c)(3) charitable organizations • Educational Assistance / Tuition Refund • Assists in furthering higher education in fields of mutual interest to the employee and Company • Pays 90% of tuition and mandatory enrollment fees up to annual maximums of $8,500 for advanced degrees and $4,000 for all other formal education (subject to applicable approvals) • Phillips 66 Severance Pay Plan • Up to 60 weeks of pay based on years of service, if eligible • Education reimbursement up to $2,000

18. Additional Support • For questions about plans, policies and programs: • Call Phillips 66 Benefits Center • 800-965-4421 or 646-254-3467 (international callers) • 8 a.m. - 6 p.m. Central time • Monday through Friday • Visit Your Benefits Resources (YBR) website through HR Express or at: http://resources.hewitt.com/phillips66 • Call Vanguard at 800-523-1188 or access through HR Express • Visit Phillips 66 public HR website athttp://hr.phillips66.com