The Walmart 401(k) Plan

2018 Associate Benefits Book | Questions? Log on to WalmartOne.com or the WIRE, or call People Services at 800 -421-1362

Walmar 401(k) Plan eligibility 3

Enrolling in the Plan 4

Your Walmar 401(k) Plan accounts 4

Making a rollover from a previous employer’s plan or IRA 4

Making contributions to your 401(k)Account 5

Walmar’s contributions to your Company Match Account 7

Investing your account 8

More about owning Walmar stock 9

Account balances and statements 10

Receiving a payout while working forWalmar 10

If you die: your designated beneficiary 11

If you get divorced 12

If you leave Walmar 13

If you leave and are rehired by Walmar 14

The income tax consequences of apayout 14

Filing a Walmar 401(k) Plan claim 16

Administrative information 16

Special tax notice addendum 19

The legal name of the Plan is the Walmar 401(k) Plan. This document is being provided solely by your employer.

No affiliate of Bank of America Corporation has reviewed or paricipated in the creation of the information

contained herein.

WHERE CAN I FIND?

The Walmart 401(k)

Plan

SUMMARY OF MATERIAL MODIFICATIONS

TO THE WALMART 401(K) PLAN

(and an important notice about summary heath information under the Associates’ Health and Welfare Plan)

This Summary notifies you of some recent changes to the Walmart 401(k) Plan (Plan) and how those changes may affect your Plan participation. These

changes are discussed in more detail below. You should keep this Summary with the 401(k) Plan section of the 2018 Associate Benefits Book

and read the documents together.

Update of Company N

ame

Effective February 1, 2018, Wal-Mart Stores, Inc. changed its legal name to Walmart Inc. Thus, the correct name of the sponsor of the Plan is Walmart

Inc. All references to Wal-Mart Stores, Inc. in the 401(k) Plan section of the Book are changed to Walmart Inc.

Extended Excess Deferral Correction Deadline

The total amount you can contribute to this Plan and to any other employer plan (including any other 401(k) plans, 403(b) annuity plans or simplified

employee pension plans) is $18,500 for the 2018 calendar year. (Your catch-up contributions do not count toward this limit.) This amount may be

increased from time to time by the IRS. If you contribute to more than one plan during the year, it is your responsibility to determine if you have

exceeded the legal limit.

If your total contributions go over the legal limit for a calendar year, the excess must be included in your income for that year and will be taxed. In

addition, you may be taxed a second time when the excess amount is later paid to you upon one of the Plan’s normal payout events. For this reason,

you may wish to request that the excess amount be returned to you. If you wish to request that the excess be returned to you from this Plan, you must

contact Benefits Customer Service at 800-421-1362.

Prior to February 1, 2019, you were required to contact Benefits Customer Service by March 1 of the year following the year in which the excess

contributions were made. On and after February 1, 2019, you will have until April 1 to notify Benefits Customer Service that you would like to have the

excess returned to you.

Hurricane Loan Relief

Note that if you were affected by Hurricane Harvey, Irma or Maria, or by the California wildfires, and you had a loan outstanding, you may be entitled to

extend your loan repayment.

Generally, you are eligible for this relief if your principal place of abode on August 23, 2017 for Hurricane Harvey, September 4, 2017 for Hurricane Irma,

or September 16, 2017 for Hurricane Maria, or between October 8, 2017 and December 31, 2017 for the California Wildfires, was located in the

designated disaster area and you sustained an economic loss as a result of such event. If you are eligible for this relief and you failed to pay any loan

repayments due between the applicable date above and December 31, 2018, you will have an additional year to repay the unpaid amounts plus interest.

If you do not repay these amounts by the end of the one-year extension, your loan will default and the outstanding balance will be taxable to you.

Hardship Withdrawal Changes

In the event you have a “financial hardship,” you may be permitted to withdraw a portion of your Plan accounts to help with your needs. Currently, if you

take a withdrawal for financial hardship, you may not contribute to this Plan or certain other retirement or stock purchase plans (including the Associate

Stock Purchase Plan) for six months after the date of your payout. Effective for financial hardship withdrawals processed on or after February 1, 2019,

however, you may continue to contribute to this Plan and other plans after you receive the withdrawal.

Plan Mergers

The following plans were merged into the Plan on the dates specified below.

x October 1, 2018 - Hayneedle, Inc. 401(k) Plan

x November 1, 2018 - ModCloth, Inc. 401(k) Profit Sharing Plan

x November 2, 2018 - Bonobos Retirement Plan

If you previously participated in one of these plans, you may have one or more of the following accounts, which will track the different types of

contributions merged into this Plan from your prior plan: Prior Plan Deferral Account, Prior Plan Associate Deferral Account, Prior Plan Roth 401(k)

Contribution Account, Prior Plan Match Account, Prior Plan QNEC Account, Prior Plan Rollover Account, and After-Tax Rollover Account. You are

always 100% vested in these accounts. These accounts are generally eligible for withdrawal at the same time as under your prior plan.

In the event of your death, note that these accounts will be paid according to your beneficiary designation on file in this Plan or, if you have not made a

beneficiary designation in this Plan, according to the Plan’s default provisions. If you have not made a beneficiary designation under this Plan, you

should make a designation now. If you previously made a designation with this Plan, you should review that designation to make sure it is still consistent

with your intent.

For More Information On These Changes

For more information regarding the changes to the Plan summarized above, please contact Benefits Customer Service at (800) 421-1362, or the Merrill

Lynch Customer Service Center at (888) 968-4015.

This notice serves as a "summary of material modifications" to the summary plan description for the 401(k) Plan. You should keep this with your

summary plan description. Complete details of the Plan are included in the official plan document. If there is a difference between this notice and the

legal document, the Plan document will govern in every instance. In addition, Walmart reserves the right to change or terminate the 401(k) Plan at any

time.

Availability of Summary of Health Information

As an associate, the health benefits available to you represent a significant component of your compensation package. They also provide important

protection for you and your family in the case of illness or injury. Your plan offers a series of health coverage options. Choosing a health coverage

option is an important decision. To help you make an informed choice, your plan makes available a Summary of Benefits and Coverage (SBC), which

summarizes important information about any health coverage option in a standard format, to help you compare options. The SBC is available on the

WIRE and WalmartOne.com/Benefits. A paper copy is also available, free of charge, by calling (800) 421-1362.

The Walmar 401(k) Plan

THE WALMART 401k PLAN RESOURCES

Find What You Need Online Other Resources

Enroll in or change your 401(k) contribution

and your catch-up contribution

Go to the WIRE, WalmarOne.com,

Workday or the Plan’s website at

benefits.ml.com

Call the Customer Service Center at

888-968-4015

• Request a rollover packet to make a

rollover contribution

• Get a fee disclosure sheet

• Get information about your Plan accounts

• Get a copy of your quarerly statement

• Request a hardship withdrawal or a

withdrawal after you reach age 59½

• Change your investment fund choices

• Request a payout when you leave Walmar

• Get information about your Plan

investment options

• Request a withdrawal of your rollover

contributions

• Request a loan from your Plan account

Go to benefits.ml.com Call the Customer Service Center at

888-968-4015

• Designate a beneficiary Go to the WIRE, or WalmarOne.com

or Workday

What you need to know about the Walmar 401(k) Plan

• You are eligible to make your own contributions to the Plan as soon as administratively feasible after your date of hire

is entered into the payroll system. You can contribute from 1% to 50% of your eligible pay each pay period.

• You will begin receiving matching contributions on the first day of the calendar month following your first anniversary

of employment with Walmart if you are credited with at least 1,000 hours of service during your first year and you are

contributing to your 401(k) Account. (Matching contributions will not be made with respect to contributions you make

before you become eligible for matching contributions.)

• The matching contribution will be a dollar-for-dollar match on each dollar you contribute to the Plan after you become

eligible for matching contributions, up to 6% of your eligible annual pay.

• You will always be 100% vested in the money you contribute to your 401(k) Account and the money Walmart

contributes to your Company Match Account.

• You choose how to invest all contributions to your Plan account.

• If you do not choose how your current contributions to the Plan will be invested, they will be automatically invested in

the Plan’s default investment option, currently the myRetirement Funds.

• You pay no federal income tax on contributions or any investment earnings until you receive a payout from the Plan.

• You can access and monitor your account any time at benefits.ml.com.

• You can withdraw your rollover contributions at any time.

• You may also request a loan from your Plan account. Loans are subject to certain requirements outlined later

in this summary.

This is a summary of benefits offered under the Plan as of October 1, 2017. Should any questions ever arise about the

nature and extent of your benefits, the formal language of the Plan document, not the informal wording of this summary,

will govern.

The Walmar 401(k) Plan

2018 Associate Benefits Book | Questions? Log on to WalmartOne.com or the WIRE, or call People Services at 800 -421-1362

Walmar 401(k) Plan eligibility

ASSOCIATES WHO ARE ELIGIBLE TO PARTICIPATE IN

THE PLAN

All associates of Wal-Mart Stores, Inc. or a participating

subsidiary are eligible to participate in the Plan, except:

• Leased employees; nonresident aliens with no income from

U.S. sources; independent contractors or consultants

• Anyone not treated as an employee of Walmart or its

participating subsidiaries

• Associates covered by a collective bargaining agreement,

to the extent that the agreement does not provide for

participation in this Plan

• Associates represented by a collective bargaining

representative after Walmart has negotiated in good

faith to impasse with the representative on the question

of benefits, and

• Certain other associates who may be jointly employed

by Walmart and a subsidiary that is not a participating

subsidiary in the Plan.

For purposes of this Summary Plan Description, all

participating subsidiaries are referred to as “Walmart.”

WHEN PARTICIPATION FOR PURPOSES OF YOUR

CONTRIBUTIONS BEGINS

Eligible associates may begin making their own

contributions to the Plan as soon as administratively feasible

after their date of hire is entered into the payroll system.

To begin making contributions to the Plan, you can

enroll on WalmartOne.com, the WIRE, Workday, or

through benefits.ml.com (see Enrolling in the Plan later

in this summary).

WHEN PARTICIPATION FOR PURPOSES OF MATCHING

CONTRIBUTION BEGINS

If you are an eligible associate, you will begin receiving

matching contributions on the first day of the calendar

month following your first anniversary of employment

with Walmart if you are credited with at least 1,000 hours

of service during the first year and are contributing to

your 401(k) Account. (Matching contributions will not be

made with respect to contributions you make before you

become eligible for matching contributions.) For example,

if your date of hire was December 15, 2017, and you are

credited with 1,095 hours by December 15, 2018 (your

first anniversary), then you will begin receiving matching

contributions on January 1, 2019, with respect to any

contributions you make to the Plan on or after that date.

As an additional example, if your date of hire was

December 1, 2017, and you are credited with 1,095 hours

by December 1, 2018 (your first anniversary), then you will

begin receiving matching contributions on January 1, 2019

with respect to any contributions you make to the Plan on

or after that date.

If you are not credited with 1,000 hours of service during

that first year, your eligibility for the matching contributions

will be determined on hours worked during the Plan year,

which runs from February 1 to January 31. You will be eligible

to receive matching contributions on any contributions

you make to the Plan on or after the February 1 that

follows the Plan year in which you are credited with at least

1,000 hours of service. For example, if your date of hire

is December15, 2017, and you are credited with only 595

hours by December15, 2018 (your first anniversary), but

you work 1,095 hours during the February 1, 2018–January

31, 2019 Plan year, you will begin receiving matching

contributions on February 1, 2019 with respect to any

contributions you make to the Plan on or after that date.

HOW HOURS OF SERVICE ARE CREDITED UNDER

THEPLAN

For hourly associates, the hours counted toward the

1,000-hour requirement are credited as follows:

• Hours, including overtime hours, worked by hourly

associates for Walmart or any subsidiary are counted.

• Hours for which an associate receives paid leave or

personal time off are also counted.

• When a payroll period overlaps two Plan years, hours are

credited toward the Plan year in which they are actually

worked. However, before February 1, 2015, hours for a

payroll period that overlapped Plan years were prorated

between the two years.

For salaried associates and truck drivers, the hours counted

toward the 1,000-hour requirement are credited as follows:

• Salaried associates and truck drivers are credited with 190

hours per month for each month in which they work at

least one hour for Walmart or a subsidiary.

• In general, you must work at least six months of the Plan

year to have 1,000 hours credited for the year. (Vacation

pay after you leave Walmart will not give you an additional

190 hours of credit.)

If you become an associate of Walmart or any subsidiary as

the result of the acquisition of your prior employer, special

service crediting rules may apply to you.

Under the Uniformed Services Employment and

Reemployment Rights Act of 1994 (USERRA), veterans

who return to Walmart or a subsidiary after a qualifying

deployment may be eligible to have their qualified military

service considered toward their hours of service under

the Plan. If you think you may be affected by this rule, call

People Services at 800‑421‑1362 for more details.

The Walmar 401(k) Plan

Enrolling in the Plan

Shortly after you become eligible to contribute to the Plan,

(i.e., shortly after your date of hire), you will receive an

enrollment packet at your home address on file. This packet

tells you how you can make contributions from your pay on

a pretax basis into your 401(k) Account and explains how you

can direct the investment of your Plan funds by choosing

from among a menu of investment options with varying

investment objectives and associated risks. Because the

Plan is intended to be an important source for your financial

security at retirement, you should read all information

pertaining to the Plan carefully, and consult with your family,

tax and financial advisors before making any decisions.

Once you satisfy the matching contribution eligibility

requirements, Walmart will match all of your subsequent

contributions dollar-for-dollar up to 6% of eligible annual

pay, as explained in the Walmart’s contributions to your

Company Match Account section.

To begin making contributions to the Plan, you can

enroll online at WalmartOne.com, the WIRE, Workday, or

benefts.ml.com. You can also call the Customer Service

Center at 888‑968‑4015. You can enroll at any time after

you become eligible.

When you enroll, you can choose:

• The percentage of your pay that you want to contribute on

a per-pay-period basis (see Making contributions to your

401(k) Account later in this summary), and

• How to invest your accounts among the Plan’s investment

options. The Plan’s investment options and procedures are

described in the enrollment packet.

After you enroll, a confirmation notice will be mailed to your

home address, or, if you have chosen electronic delivery of

Plan materials, you will receive an email notification when

the confirmation is available. The confirmation will show the

percentage of your pay that you have chosen to contribute

from each check and the investment option(s) you have

elected. You should review the confirmation to make sure

your enrollment information is correct.

Your contributions to the Plan will be effective as soon as

administratively feasible, normally within two pay periods.

No contributions will be taken from your pay before you

become an eligible participant in the Plan. Only participants

who elect to contribute their own funds to the Plan will

have those contributions matched by the Company (after

they meet the eligibility requirements for matching

contributions, as explained in the Walmart’s contributions

to your Company Match Account section).

It is your responsibility to review your paychecks to confirm

that your election was implemented. If you believe your

election was not implemented, you must promptly notify

the Customer Service Center at 888‑968‑4015, but in

no event later than six months after your election, for

corrective steps to be taken.

Your Walmar 401(k) Plan accounts

The Walmart 401(k) Plan consists of several accounts. You

will have some or all of the following accounts:

• 401(k) Account: This account holds your contributions to

the Plan (including your catch-up contributions, if any), as

adjusted for earnings or losses on those contributions.

• Company Match Account: This account holds Walmart’s

matching contributions, as adjusted for earnings or losses

on those contributions.

• 401(k) Rollover Account: This account holds any

contributions that you rolled over to this Plan from

another eligible retirement plan, as adjusted for earnings

or losses on those contributions.

• Company Funded 401(k) Account: This account holds

the discretionary Company contributions to the 401(k)

portion of the Plan made for Plan years ended on or

before January 31, 2011, as adjusted for earnings or losses

on those contributions.

• Company Funded Profit Sharing Account: This account

holds the discretionary Company contributions to the

profit-sharing portion of the Plan made for Plan years

ended on or before January 31, 2011, as adjusted for

earnings or losses on those contributions.

The chart on the following page provides a summary of some

of the differences between these accounts. These differences

are discussed in more detail throughout this summary.

Making a rollover from a previous

employer’s plan or IRA

When you come to work for Walmart, you may have pretax

funds owed to you from a previous employer’s retirement

plan (including a 401(k) plan, a profit-sharing plan, a

403(b) plan of a tax-exempt employer or a 457(b) plan of a

governmental employer). If so, you may be able to roll over

that money to this Plan. You may also roll over pretax funds

you have in an Individual Retirement Account (IRA). If you roll

over funds to this Plan, you should keep these points in mind:

• Once you roll funds into the Walmart 401(k) Plan, those

funds will be subject to the rules of this Plan, including

payout rules, and not the rules of your former employer’s

plan or your IRA

• Your rollover contribution will be placed in your 401(k)

Rollover Account and will be 100% vested, and

• You may withdraw all or any portion of your rollover

contributions at any time.

If you’re interested in making a rollover contribution to the

Plan, you should contact the Customer Service Center at

888‑968‑4015 or go online to benefits.ml.com to obtain a

rollover packet.

The Walmar 401(k) Plan

2018 Associate Benefits Book | Questions? Log on to WalmartOne.com or the WIRE, or call People Services at 800 -421-1362

Making contributions to your

401(k)Account

After you become a participant in the Plan, you may

generally choose to contribute from 1% up to 50% of each

paycheck to your 401(k) Account. Your contributions in

any calendar year, however, may not exceed a limit set by

the IRS. For 2017, the limit is $18,000. This amount will be

increased from time to time by the IRS. You are always 100%

vested in all amounts contributed into your 401(k) Account.

The IRS limits the amount of annual compensation that can

be taken into account under the Plan for any participant.

For 2017, this limit is $270,000.

Contributions to your 401(k) Account are deducted from

your pay before federal income taxes are withheld. This

means that you don’t pay federal income taxes on amounts

you contribute to the Plan. Earnings on these contributions

continue to accumulate tax-free and are not taxed until your

401(k) Account is actually distributed to you from the Plan.

You may also save on state and local taxes as well, depending

on your location. Please note that your contributions are

subject to Social Security taxes in the year the amount

is deducted from your pay. Distributions from the Plan,

however, are not subject to Social Security taxes.

In addition, if you contribute your own pay to your 401(k)

Account, you may be eligible for a “Saver’s Credit.” If you

are a married taxpayer who files a joint tax return with a

modified adjusted gross income (MAGI) of $62,000 or less

(for 2017) or a single taxpayer with $31,000 or less (for 2017)

in MAGI on your tax return, you are eligible for this tax

credit, which can reduce your taxes. For more details, your

tax preparer may refer to IRS Announcement 2001-106.

PROFIT SHARING AND 401k ACCOUNT DIFFERENCES

Source of

contributions

May paricipants

choose

investments?

Vesting

percentage

Are hardship

withdrawals

available?

Are in-service

withdrawals

available after

age 59⁄?

401(k) Account You Yes 100% Yes Yes

Company Match

Account

Walmar Yes 100% No Yes

All Rollover Accounts You Yes 100% Yes Yes

Company Funded

401(k) Account

Walmar Yes 100% No Yes

Company Funded Profit

Sharing Account

Walmar (except

for rollovers you

made to the Profit

Sharing Plan)

Yes 2 years — 20%

3 years — 40%

4 years — 60%

5 years — 80%

6 years — 100%

(Rollovers are

immediately

100% vested)

No Yes

(to the extent

vested)

The Walmar 401(k) Plan

HOW YOUR 401k CONTRIBUTION IS DETERMINED

The percentage of pay you elect to contribute to the Plan

will be applied to the following types of pay:

• Regular salary or wages, including bonuses and any pretax

dollars you use for your 401(k) contributions or to purchase

benefits available under Wal-Mart Stores, Inc. Associates’

Health and Welfare Plan

• Overtime, paid time off (used and paid out), bereavement,

jury duty and premium pay

• Most incentive plan payments

• Holiday bonuses

• Special recognition awards, such as the Outstanding

Performance Award

• Differential wage payments you receive from Walmart

while you are on a qualified military leave. This means that

the contribution you have in effect when you go on the

leave will continue to be applied to your differential wage

payments while you are on the leave unless you change

your election, and

• Effective February 1, 2018, transition pay designated as

relating to a WARN Act event.

The percentage of pay you elect to contribute to the

Plan will not be applied to the following types of pay:

• The 15% Walmart match on the Associate Stock

Purchase Plan

• Reimbursement for expenses like relocation

• Approved disability pay

• Equity income, including income from stock options or

restricted stock rights, or A final paycheck upon your

termination of employment that is paid prior to the end of

a normal pay cycle (unless it is administratively practicable

to withhold your contribution from that paycheck).

CHANGING YOUR 401k CONTRIBUTION AMOUNT

You can increase, decrease, stop, or begin your contributions

at any time by logging on to WalmartOne.com, the WIRE,

Workday or benefits.ml.com. You may also call the

Customer Service Center at 888-968-4015. Your change

will be effective as soon as administratively feasible,

normally within two pay periods. If you change your

contribution amount, a confirmation notice will be sent

to your home address or, if you have chosen electronic

delivery of Plan documents, you will receive an email

notification when the confirmation is available. It is your

responsibility to review your paychecks to confirm that

your election was implemented. If you believe your election

was not implemented, you must notify the Customer

Service Center at 888-968-4015 in a timely manner, so

that corrective steps can be taken. Your notification will

not be considered timely if it is more than six months after

the date your election is made. If you do not notify the

Customer Service Center in a timely manner, the amount

that is being withheld from your paycheck will be treated as

your deferral election.

IF YOU ARE AGE 50 OR OLDER

CATCHUP CONTRIBUTIONS

If you are age 50 or older (or will be age 50 by the end of

the applicable calendar year) and you are contributing up to

the Plan or legal limits, you are allowed to make additional

contributions. These are called catch-up contributions

and are made by payroll deduction just like your normal

contributions. For 2017, your catch-up contributions may

be any amount up to the lesser of $6,000 or 75% of your

eligible annual pay. This amount may be adjusted from time

to time by the IRS. Your catch-up contributions will be

credited to your 401(k) Account.

For example, if you elect to contribute the maximum

amount of $18,000 in the 2017 calendar year, or if you

elect to contribute the maximum percentage of your

eligible annual pay allowed under the Plan, you could elect

to contribute up to an additional $6,000 during the 2017

calendar year. If you are interested in making catch-up

contributions, you can enroll online at WalmartOne.com,

the WIRE, Workday or benefits.ml.com, or by calling the

Customer Service Center at 888-968-4015.

CONTRIBUTING TO MORE THAN ONE PLAN

DURING THE YEAR

The total amount you can contribute to this Plan and to

any other employer plan (including 403(b) annuity plans,

simplified employee pensions or other 401(k) plans) is $18,000

for the 2017 calendar year, or $24,000 if you are eligible for

catch-up contributions. This amount may be increased from

time to time by the IRS. If you contribute to more than one

plan during the year, it is your responsibility to determine if

you have exceeded the legal limit.

If your total contributions go over the legal limit for a

calendar year, you should request that the excess amount

be refunded to you. The excess amount must be included

in your income for that year and will be taxed. In addition,

if the excess amount is not refunded to you by April 15

following the year the amount was deferred, you will be

taxed a second time when the excess amount is distributed

to you. If you wish to request that the excess be returned

to you from this Plan, you must contact People Services at

800-421-1362 no later than March 1 following the calendar

year in which the excess contributions were made. Any

matching contributions related to refunded contributions

will be forfeited.

The Walmar 401(k) Plan

2018 Associate Benefits Book | Questions? Log on to WalmartOne.com or the WIRE, or call People Services at 800 -421-1362

IF YOU HAVE QUALIFIED MILITARY SERVICE

If you missed work because of qualified military service, you

may be entitled under the Uniformed Services Employment

and Reemployment Rights Act of 1994 (USERRA) to make up

contributions you missed during your military service (that is,

to make contributions equal to the amount you would have

been eligible to make if you were working for Walmart).

Because you will only have a certain period of time after you

return to work to make these contributions (generally three

times the period of military service, up to five years), you

should contact People Services at 800-421-1362 if you think

you may be affected by these rules.

Walmar’s contributions to your

Company Match Account

As explained above, you are eligible to receive matching

contributions on the first day of the calendar month

following your first anniversary of employment with

Walmart if you are credited with at least 1,000 hours of

service during the that year. Once you have satisfied these

requirements, Walmart will make matching contributions

to your Company Match Account equal to 100% of your

subsequent contributions to your 401(k) Account, including

catch-up contributions, up to 6% of your eligible annual

pay. Matching contributions will not be made with respect

to contributions you make before you become eligible

for matching contributions. After you become eligible

for matching contributions, the company matching

contribution will be made into your Company Match

Account each pay period until you reach the full amount

of the company matching contribution for which you are

eligible for that Plan year. Your eligible annual pay for this

purpose is the same as outlined above for determining

your 401(k) contributions to the Plan, but does not include

amounts paid to you before you become eligible to receive

matching contributions.

As previously noted, if you miss work because of qualified

military service, you may be entitled under USERRA to

make up 401(k) contributions that you missed during your

military service. If you do make up any 401(k) contributions,

Walmart is required to make up matching contributions you

would have received with respect to those contributions.

If you think this rule may apply to you, you should contact

People Services at 800-421-1362.

VESTING IN YOUR COMPANY MATCH ACCOUNT

You are always 100% vested in Walmart’s matching

contributions to your Company Match Account.

VESTING IN YOUR COMPANY FUNDED PROFIT

SHARING ACCOUNT

If you have a Company Funded Profit Sharing Account (see

Your Walmart 401(k) Plan accounts earlier in this summary),

the vested percentage of your Company Funded Profit

Sharing Account is the portion that you are entitled to

receive if you leave Walmart. Your account statements show

your vested percentage.

You become vested in your Company Funded Profit Sharing

Account (other than rollovers in that account, which are

always 100% vested) depending on your years of service

with Walmart as follows:

PROFIT SHARING VESTING SCHEDULE*

Years of Service Vested percentage

Less than two 0%

Two 20%

Three 40%

Four 60%

Five 80%

Six or more 100%

* Applies to paricipants actively employed on or after

January31, 2008.

NOTE: If you terminated employment before February 1, 2007,

your payout was based on the prior vesting schedule and not

the vesting schedule shown above.

A year of service for this purpose is a Plan year (February1–

January 31) in which you are credited with at least 1,000

hours of service under the hours of service rules (see How

hours of service are credited under the Plan earlier in this

summary). If you are credited with less than 1,000 hours in a

Plan year, your vesting does not increase. (Please note that

years of service for this purpose are not determined by your

anniversary date.)

If you leave Walmart because of retirement (at age 65

or older) or death, your Company Funded Profit Sharing

Account will be 100% vested, regardless of your years of

service. Your Company Funded Profit Sharing Account will

also be 100% vested if the Plan is ever terminated.

VESTING IN YOUR COMPANY FUNDED 401kACCOUNT

You are always 100% vested in Walmart’s contributions to

your Company Funded 401(k) Account.

The Walmar 401(k) Plan

Investing your account

YOUR INVESTMENT OPTIONS

You decide how your accounts will be invested. You

can choose:

• The myRetirement Funds. The myRetirement Funds are a

series of customized investment options created solely for

Plan participants by the Benefits Investment Committee,

and are commonly known as “target retirement date”

funds. The myRetirement Funds are diversified investment

options that automatically change their asset allocation

over time to become more conservative as a participant

gets closer to retirement. This is done by shifting the

amount of money that is invested in more aggressive

investments, such as stocks, and allocating those amounts

to more conservative investments, such as bonds, as a

participant gets closer to retirement. “myRetirement

Funds” is a term developed by Walmart for describing

these specific Plan investment options.

• From among a menu of investment options made available

under the Plan. Note that Walmart stock is an investment

option only for your Company Funded Profit Sharing

Account. Walmart stock is not available for investment

through any of your other Plan accounts (although to the

extent these other accounts hold Walmart stock, you may

always sell such shares, but no future purchases of Walmart

stock are allowed).

You may choose one of the investment options or you may

spread your money among the various investment options.

The investment gains or losses on your accounts will depend

upon the performance of the investments you choose.

If you do not make an investment choice for current

contributions to your account, they will be invested in one

of the myRetirement Funds based on your age. For more

information, refer to the Qualified Default Investment

Alternative (QDIA) notice and your enrollment packet. These

documents can both be obtained by going to benefits.ml.com

or by calling the Customer Service Center at 888‑968‑4015.

Because the Company Funded Profit Sharing Account is an

Employee Stock Ownership Plan, for Plan years ending prior

to January 31, 2006, all or a significant portion of Walmart’s

profit-sharing contribution was invested in Walmart stock.

If you were a participant in the Plan prior to that date, you

may have Walmart stock in your Company Funded Profit

Sharing Account. For Plan years ending January 31, 2007 or

later, Walmart’s profit-sharing contribution was not invested

in Walmart stock.

A description of all investment options, including the

myRetirement Funds, is included in the enrollment packet

you receive when you are eligible to enroll. You also may

obtain additional information for each investment option

by reviewing the Annual Participant Fee Disclosure

Notice. You may obtain a copy free of charge by accessing

your account online at benefits.ml.com or by calling the

Customer Service Center at 888‑968‑4015.

Please note that this Plan is intended to be an “ERISA

Section 404(c) plan.” This means that you assume all

investment risks connected with the investment options

you choose in the Plan, or in which your funds are invested

if you fail to make investment selections, including the

increase or decrease in market value. Walmart Stores, Inc.,

the Benefits Investment Committee and the trustee are not

responsible for losses to your accounts which are the direct

and necessary result of investment decisions you make or,

if you fail to make an affirmative investment decision, as a

result of your accounts being invested in a default fund.

If you have a Company Funded Profit Sharing Account (see

Your Walmart 401(k) Plan accounts earlier in this summary)

and you choose to invest some or all of your Company

Funded Profit Sharing Account in Walmart stock or retain

Walmart stock in your other accounts, be aware that since

this option is a single stock investment, it generally carries

more risk than the options offered through the Plan.

HOW TO OBTAIN MORE INVESTMENT INFORMATION

It is also important to periodically review your investment

portfolio, your investment objectives and the investment

options under the Plan to help ensure that your investments

are in line with your objectives and your risk tolerance. If

you would like more sources of information on individual

investing and diversification, you may go to the website of the

Department of Labor, http://www.dol.gov/ebsa/investing.html.

You may obtain more specific information regarding your

investment rights and investment options under the Plan at

benefits.ml.com or by calling the Customer Service Center

at 888‑968‑4015.

CHANGING YOUR INVESTMENT CHOICES

You can change your investment choices at any time online

at benefits.ml.com or by calling the Customer Service

Center at 888‑968‑4015. If you make an investment change,

a confirmation notice will be sent to your home address or

you will receive an email notification when the confirmation

is available if you have chosen electronic delivery of your

Plan materials. It is your responsibility to make sure your

change is made. If you do not receive a confirmation notice

or you do not see that your change has been applied, contact

the Customer Service Center at 888‑968‑4015.

If you call the Customer Service Center at 888‑968‑4015

prior to 3:00 p.m. Eastern time, your investment change

generally will be processed on the day you call. Depending

on the investment change, there may be up to a three-day

settlement period before your funds are invested in your

new election.

The Walmar 401(k) Plan

2018 Associate Benefits Book | Questions? Log on to WalmartOne.com or the WIRE, or call People Services at 800 -421-1362

DIVERSIFICATION

To help you diversify your retirement savings, the Plan

offers a variety of investment options with different levels

of risk and potential for increase in value. To “diversify”

means that you “put your eggs in more than one basket.”

To help achieve long-term retirement security, you should

give careful consideration to the benefits of a well-balanced

and diversified investment portfolio. This strategy can help

reduce risk and may provide consistent returns because a

decline in the value of one investment may potentially be

offset by an increase in the value of another. If you invest

more than 20% of your retirement savings in any one stock,

such as Walmart stock, or any one industry, your savings

may not be properly diversified. Although diversification

cannot ensure a profit or protect against loss, it can be an

effective strategy to help you manage investment risk.

When deciding how to invest your retirement savings, you

should take into account all of your assets, including any

retirement savings outside of the Plan. For example, you

may own Walmart stock through other means. No single

approach is right for everyone because, among other

factors, individuals have different financial goals, different

time horizons for meeting their goals, and different

tolerances for risk. Therefore, you should keep in mind your

rights to diversify your Plan account and carefully consider

how you choose to invest your Plan account. You can obtain

information about your right to diversify your account and

all of the investment options available under the Plan by

accessing your account online at benefits.ml.com or by

calling the Customer Service Center at 888‑968‑4015. It

is also important to periodically review your investment

portfolio, your investment objectives and the investment

options under the Plan to help ensure that your investments

remain appropriate for your retirement goals and your

tolerance for investment risk. If you would like more

sources on individual investing and diversification, you

may go to the website of the Department of Labor,

http://www.dol.gov/ebsa/investing.html.

More about owning Walmar stock

VOTING

If any of your account is invested in Walmart stock through

the Plan, each year you will receive all of the materials

generally distributed to the shareholders of Walmart,

including an instruction card telling the trustee how you

would like the shares in your Plan account to be voted.

The materials will be mailed to your home address or sent

electronically, based on your online elections.

You can instruct the trustee, through the company’s

transfer agent, to vote Walmart stock held in your Plan

accounts. This usually occurs in May of each year. Your

instructions to the transfer agent and the trustee are

kept confidential at all times. You will send your voting

instructions directly to the transfer agent, who will compile

the votes and notify the Benefits Investment Committee

of the total votes cast. The Benefits Investment Committee

will then notify the Plan trustee of the total votes that are

to be cast.

If you do not provide instruction to the trustee on how

you would like your shares voted, the Benefits Investment

Committee will vote those shares at its discretion. If neither

you nor the Benefits Investment Committee exercise voting

rights, the trustee or an independent fiduciary appointed by

the trustee may vote the unvoted shares.

CONFIDENTIALITY

Procedures have been designed to protect the

confidentiality of your rights with respect to shares of

Walmart stock held under the Plan, including the right to

purchase, sell, hold or vote on proxy matters. For example,

procedures with the Company’s transfer agent for Walmart

stock have been implemented that prevent Wal-Mart

Stores, Inc. and the Benefits Investment Committee from

finding out how any individual participant or beneficiary

voted (except as necessary to comply with securities laws)

and from having access to your individual proxy cards or

proxy card shareholder comments.

In addition, access to information about your decisions to

buy, sell or hold Walmart stock generally is limited to those

assisting in the administration of the Plan. The Benefits

Investment Committee is responsible for ensuring that these

procedures are sufficient to protect the confidentiality of

this information and that the procedures are being followed.

If the Benefits Investment Committee determines that a

situation has potential for undue influence by the Walmart

with respect to your rights as shareholder (through your

Plan Account), the Benefits Investment Committee will

appoint an independent party to perform activities that are

necessary to prevent undue influence.

DIVIDENDS ON YOUR WALMART STOCK

If you have Walmart stock in your accounts, your accounts

will be credited with any dividends paid by Wal-Mart Stores,

Inc. with respect to its stock. Dividends allocated to your

401(k) Account, your Company Funded 401(k) Account

or your 401(k) Rollover Account will be automatically

reinvested in Walmart stock. Dividends allocated to your

Company Funded Profit Sharing Account (and Profit

Sharing Rollover Account) will also be reinvested in Walmart

stock, except as noted below.

If you are an active participant (excludes beneficiaries

and alternate payees, as defined in the If you get divorced

section) with six or more years of service, you have an option

to take a cash payout of any dividends paid on Walmart stock

held in your Company Funded Profit Sharing Account or

The Walmar 401(k) Plan

Profit Sharing Rollover Account. Also, if you are a terminated

participant who had more than six years of service when you

terminated and you continue to maintain your accounts in

the Plan after you leave, you will have the option to elect a

cash payout of dividends paid on Walmart stock held in your

Company Funded Profit Sharing Account or Profit Sharing

Rollover Account. If you do not opt for the cash payout, your

dividends will be reinvested in Walmart stock.

You may make an election any time by calling the Customer

Service Center at 888‑968‑4015. Your most recently filed

election will apply to all subsequent dividends until you

change your election. (You may change your election only

once each business day.) Keep in mind that your election

must be made no later than the close of business on the

day prior to the record date for the dividend in order to be

effective for that dividend. You will not be able to make any

elections or election changes during the period from the

record date of the dividend through the dividend pay date

(which is usually three to four weeks after the record date).

Each year, Wal-Mart Stores, Inc. releases the quarterly

record dates for dividend payouts. You can find this

information on walmart.com. You may also contact the

Customer Service Center at 888‑968‑4015 if you need

information about upcoming record dates for dividends.

You should keep in mind that a dividend payout will be

taxable to you.

Please note that if you request a hardship payout from

your 401(k) Account within five business days of the record

date for a dividend and you have the right to elect a cash

distribution of the dividend, tax laws require that the

dividend be automatically paid to you in cash.

Account balances and statements

At least once a year, you’ll receive a statement on your

accounts showing contributions made by you and by

Walmart, if any, the performance of your investment

options, the values of your accounts and fees assessed

to your account during the quarter. You can easily get

information about your accounts, including a quarterly

statement, at any time online at benefits.ml.com or by

calling the Customer Service Center at 888‑968‑4015. You

can also request a paper copy of any quarterly statement

at any time free of charge by calling the Customer Service

Center at 888‑968‑4015.

FEES CHARGED TO YOUR ACCOUNT

Administrative and investment fees may be assessed

to your accounts. You can find information on fees in the

Annual Participant Fee Disclosure Notice and online at

benefts.ml.com.

Receiving a payout while working

forWalmar

Generally, you are not entitled to a payout from the

Walmart 401(k) Plan until you stop working for Walmart.

However, in the following limited situations you may be

entitled to receive a payout or loan of some or all of your

accounts while you’re still working:

• You may request a loan from your Plan account.

• Rollovers can be withdrawn at any time.

• In the case of a financial hardship or after you attain

age59½.

It’s important to understand how any type of payout or loan

from the Walmart 401(k) Plan affects your tax situation. For

more information, see The income tax consequences of a

payout later in this summary.

FINANCIAL HARDSHIP WITHDRAWALS

You may withdraw some or all of your 401(k) Account (other

than earnings on those contributions) and your 401(k)

Rollover Account as necessary to meet a “financial hardship.”

Under IRS guidelines, a financial hardship may exist if the

request is for:

• Payment of medical care expenses not covered by

insurance for you, your spouse, your dependents or your

affirmatively-designated primary beneficiary

• Costs directly related to the purchase of your primary

residence (home)

• Payment of tuition, fees, and room and board expenses for

up to the next 12 months of post-high school education for

you, your spouse, your dependents or your affirmatively-

designated primary beneficiary

• Payments necessary to prevent eviction from, or

foreclosure on, your primary residence

• Payment for burial or funeral expenses for your deceased

parent, spouse, children, dependent or your affirmatively-

designated primary beneficiary, or

• Expenses for the repair of damage to your principal

residence that would qualify for a casualty deduction

under federal income tax rules.

Federal tax law requires that you must have already

obtained all in-service payouts available (including in-service

withdrawals of rollover contributions or at age 59½ and any

nontaxable participant loans available to you under this Plan)

before you can request a financial hardship payout.

Also, federal tax laws will not allow you to contribute to this

Plan and certain other retirement or stock purchase plans

(including the Associate Stock Purchase Plan) for six months

after the date of your financial hardship payout. If you are

a management associate with stock options, you may not

The Walmar 401(k) Plan

2018 Associate Benefits Book | Questions? Log on to WalmartOne.com or the WIRE, or call People Services at 800 -421-1362

exercise options during this six-month period. Also, please

note that if you request a financial hardship payout within

five business days of the record date of a dividend and you

are entitled to elect a cash payout of that dividend, the

dividend will automatically be distributed to you in cash.

A financial hardship payout is immediately taxable to you,

including a 10% penalty tax if you are under age 59½ or if

the payout is not for certain medical purposes. For more

information, see The income tax consequences of a payout

later in this chapter.

You can make a request for a financial hardship payout

online at benefits.ml.com or by calling the Customer

Service Center at 888‑968‑4015.

WITHDRAWALS AFTER YOU REACH AGE 59½

Any time after you reach age 59½, you may elect to

withdraw all or any portion of your Plan accounts, to

the extent vested, even though you are still working for

Walmart. You can make a request for a withdrawal online at

benefits.ml.com or by calling the Customer Service Center

at 888‑968‑4015.

WITHDRAWALS OF ROLLOVER CONTRIBUTIONS

You may withdraw all or any portion of your 401(k)

Rollover Account and your Profit Sharing Rollover

Account at any time even if you are still working for

Walmart or its subsidiaries.

PLAN LOANS

You may apply for a loan from the vested portion of your

Plan account while you are still working for Walmart. The

Administrator has established a written loan program

which explains these requirements in more detail. You can

request a copy of the loan program or make a request for a

loan online at benefits.ml.com or by calling the Customer

Service Center at 888‑968‑4015.

Generally, the rules for loans include the following:

• The maximum loan amount is limited by IRS rules, which

generally limit your total loan balances to the lesser of

(1) 50% of the total of your vested Plan account or (2)

$50,000 (reduced by the excess, if any, of your highest

outstanding loan balance during the one-year period prior

to the date of the loan over your current outstanding

balance of loans). The minimum loan amount is $1,000.

• All loans must be secured by a pledge of up to one-half of

your vested Plan account.

• A fee will be charged to process your loan application.

Additional fees may be accessed for residential loans. (This

amount may change from time to time.)

• All loans will bear a commercially reasonable rate of

interest set by the Administrator from time to time.

• Loans must be repaid in regular installments over a one- to

five-year period, unless you are using the loan proceeds

to buy a house for yourself, in which case the repayment

period may be longer as set forth in the written loan

program from time to time.

• You may have only one general purpose loan and one

residential loan outstanding at any time.

• All loans will be considered a directed investment from

your account under the Plan. Your payments of principal

and interest on the loan will be credited to your Plan

accounts.

• If you fail to make payments when due under the loan,

you will be considered to be in default. Under certain

circumstances, a loan that is in default may be considered

a distribution from the Plan. The significance of the loan

balance being treated as a distribution is that the amount

of this distribution will be taxable to you as ordinary

income and could be subject to excise taxes. A Form

1099-R will be issued to you and the total amount of the

distribution will be reported to the IRS.

When you are on an authorized unpaid leave of absence,

you may be excused from making scheduled loan

repayments for a period up to one year. If you have an

outstanding loan when you are called to qualified military

service, special rules under USERRA may apply. If you think

you may be affected by these rules, call the Customer

Service Center at 888‑968‑4015 for more details.

If you die: your designated beneficiary

In the event of your death, your entire Plan balance will be

paid out to your beneficiary. It is very important for you to

keep your beneficiary information up to date. Beneficiary

choices should be made at WalmartOne.com, the WIRE

or Workday. Since your spouse or partner has certain

rights in the death benefit, you should immediately update

your beneficiary election if there is a change in your

relationship status.

If you have a spouse and wish to name someone other than

your spouse as your designated beneficiary, your spouse

must consent to that designation. You must complete the

Alternate Beneficiary Form for Married Participants Form

B and your spouse must complete the Spousal Consent

portion of that form. The Spousal Consent form must

be notarized and must accompany the Form B in order

to be valid. Form B and the Spousal Consent form can

be found on the WIRE, or you may talk to the personnel

representative at your facility. Any beneficiary designation

you make will be effective for all of your Plan accounts.

The Walmar 401(k) Plan

If you do not designate a beneficiary, your death benefit

will be distributed in accordance with the Plan’s default

provisions in the following order, as stated below:

• Spouse or partner (as defined below); if none, then

• Living children (stepchildren are not included);

if none, then

• Living parents; if none, then

• Living siblings; if none, then

• The estate.

Please note that if you designate your spouse as your

beneficiary and you later divorce, your designation will not

be effective after the divorce unless you complete a new

designation form. Similarly, if you do not have a spouse and

you later marry, your prior beneficiary designation will not

be effective after the marriage unless you complete a new

designation form with your spouse’s consent.

Also, note that if you designate a beneficiary and your

beneficiary dies before the benefit check is issued, the

benefit will be paid to your contingent beneficiary or, if

none, under the default rules above. If your beneficiary dies

after the benefit check has been issued, the benefit will

be paid to your beneficiary’s estate. Note, however, that

if your spouse or partner is your beneficiary, the benefit

will always be paid to the spouse’s or partner’s estate if

he or she dies after you but before the benefit is paid.

Again, it is very important for you to keep your beneficiary

information up to date. Beneficiary choices should be made

at WalmartOne.com, the WIRE or Workday.

NOTE: Effective June 26, 2013, your same-sex spouse will

be treated in the same manner as an opposite-sex spouse

for Plan purposes. Keep in mind that if you had a same-sex

spouse on that date, any beneficiary designation you had in

effect which designated someone other than your spouse

as your beneficiary immediately became invalid on that

date. Your spouse will automatically be your beneficiary

unless you make a new beneficiary designation with your

spouse’s consent.

Effective January 1, 2014, if you have a “partner” and you

have not made an affirmative beneficiary designation, your

partner will be your beneficiary unless you affirmatively

designate a different beneficiary (regardless of whether

the designation occurred before or after your partnership

began). Your “partner” for Plan purposes means:

• Your domestic partner, as long as you and your domestic

partner:

– Are in an ongoing, exclusive and committed relationship

similar to marriage and have been for at least 12 months

and intend to continue indefinitely;

– Are not married to each other or to anyone else;

– Meet the age for marriage in your home state and are

mentally competent to consent to contract in that state;

– Are not related in a manner that would bar a legal

marriage in the state in which you live, and

– Are not in the relationship solely for the purpose of

obtaining benefits coverage, or

• Any other person to whom you are joined in a legal

relationship recognized as creating some or all of the

rights of marriage in the state or country in which the

relationship was created.

You should take action to ensure that your beneficiary under

the Plan reflects your current intent. Beneficiary choices

should be made at WalmartOne.com, the WIRE or Workday.

BENEFICIARY DESIGNATIONS MADE BEFORE

OCTOBER 31, 2003

If you made a beneficiary designation under the 401(k) Plan

on or before October 31, 2003, that designation will continue

to apply to your 401(k) Account, your Company Funded

401(k) Account, your Company Match Account, and your

401(k) Rollover Account. Similarly, if you made a beneficiary

designation under the Profit Sharing Plan on or before

October 31, 2003, that designation will continue to apply to

your Company Funded Profit Sharing Account and Profit

Sharing Rollover Account. If you change your beneficiary

designation after October 31, 2003, it will apply to all Plan

accounts and any prior designations will be ineffective.

Note that changes in your relationship status may affect

your beneficiary designation, as explained above.

Again, it is very important for you to keep your beneficiary

information up to date. Beneficiary designations should be

made at WalmartOne.com, the WIRE or Workday.

If you get divorced

If you go through a divorce, all or part of your Plan balance

may be awarded to an “alternate payee” in the court order,

called a “Qualified Domestic Relations Order” (QDRO).

An alternate payee may be your spouse or former spouse,

child or other dependent. (Federal law at this time does

not permit the recognition of a QDRO for a partner

unless the partner is also a dependent of the participant.)

Because there are very strict requirements for these

cases, you should contact the QDRO Administrator at

877-MER-QDRO (877‑637‑7376) for a free copy of the

procedures your attorney should use in drafting the court

order. After the court order is received by the QDRO

Administrator, it must be reviewed to determine if it meets

legal requirements for this type of order and will take a

period of time to be processed. The administrative fee for

processing your QDRO will be charged to your account or

as directed in the Order.

The Walmar 401(k) Plan

2018 Associate Benefits Book | Questions? Log on to WalmartOne.com or the WIRE, or call People Services at 800 -421-1362

If you leave Walmar

When you stop working for Walmart, you are entitled to

receive a payout of all of your vested accounts in the Plan.

It is important to understand how any type of payout from

the Walmart 401(k) Plan affects your tax situation. For more

information, see The income tax consequences of a payout

later in this summary.

You may elect to receive your payout 30 calendar days after

your termination is entered into the payroll system. For

example, if your termination is entered into and processed

by the payroll system on July 19, 2017, you may elect your

payout on or after August 18, 2017.

A notice will normally be mailed to your home address or

sent electronically, based on your delivery elections, after

you leave Walmart and its subsidiaries to inform you that

you are entitled to payment. Please make sure that your

address is correct on your payroll check when you leave

Walmart and its subsidiaries or that you give a forwarding

address during your exit interview. If you have not received

any information regarding your payout within 60 days of

your termination date, you should contact the Customer

Service Center at 888‑968‑4015. To request your payout,

you will need to access your account on benefits.ml.com or

by calling the Customer Service Center at 888‑968‑4015.

Your consent to the payout is not required and your payout

will automatically be made to you:

• If your total vested Plan balance (excluding your 401(k)

Rollover Account) is $1,000 or less at any time. This

automatic payout will be made as soon as possible

after the last business day of the third calendar month

following the calendar month in which your termination

date is entered into the payroll system, unless you

consent to an earlier payout. as described above. In the

example above, if your account is eligible for automatic

payout and you do not consent to payout on or after

August 19, 2017, your payout will automatically be made

to you as soon as possible after October 31, 2017, or

• If you are over age 70, regardless of the amount of your

total vested Plan balance. This automatic payout will

be made as soon as possible after the last business day

of the second calendar month following the calendar

month in which you turn age 70, unless you consent to

an earlier payout. as described above. For instance, if

you turn age 70 in July 2017 and your account is eligible

for automatic payout, and you do not consent to payout,

your payout would automatically be made on the first

scheduled date after September 30, 2017, according to

Plan provisions.

If your total vested Plan balance is more than $1,000

and you are under age 70, you must consent to your

payout. Payout will be made as soon as possible after your

consent is received by the Customer Service Center at

888‑968‑4015, but no earlier than 30 calendar days after

your termination is entered into the payroll system.

If your total vested Plan balance is more than $1,000,

you can choose to delay your payout until any date up to

age 70, but your Plan balance will be subject to an annual

maintenance fee and possibly other expenses. For more

information regarding these charges, refer to the Annual

Participant Fee Disclosure Notice. If you choose to delay

your payout, you will be able to continue to make changes

in your investment choices just as you did while you were an

active participant in the Plan.

If you return to work with Walmart before your payout is

completed, the payout will be canceled and no payout will

be made from your account.

THE AMOUNT OF YOUR PAYOUT

The entire value of your 401(k) Account, your Company

Funded 401(k) Account, your 401(k) Rollover Account

and the Company Match Account will be paid out to you.

In addition, if you have a Company Funded Profit Sharing

Account (see Your Walmart 401(k) Plan accounts earlier in

this summary), you will also be paid the value of the vested

portion of your Company Funded Profit Sharing Account.

You will forfeit (give up) the nonvested portion of your

Company Funded Profit Sharing Account, as explained

in the Vesting in your Company Funded Profit Sharing

Account earlier in this summary.

The amount you will receive will be based on the value of

your accounts as of the date the payout is processed. If a

cash payout is made directly to you rather than rolled over

to an IRA or other employer plan, applicable taxes will be

withheld from your check.

A check processing fee will be applied to your Plan balance

when it is paid out to you.

HOW YOU RECEIVE YOUR PAYOUT

You have several options for receiving your payout.

Your accounts will be distributed in a single lump-sum

payment directly to you, unless you elect to roll them over

to an IRA or to another employer’s retirement plan.

Your accounts will normally be paid to you in cash.

However, you may elect to have your Company Funded

Profit Sharing Account (and Profit Sharing Rollover

Account) distributed to you in the form of Walmart stock

(even if it is not invested in Walmart stock at the time

your payout is processed) or partly in cash and partly in

Walmart stock. You may also elect to have your 401(k)

Account, your Company Funded 401(k) Account and your

401(k) Rollover Account paid to you in Walmart stock to

the extent those accounts are invested in Walmart stock

The Walmar 401(k) Plan

at the time your payout is processed. Any part of those

accounts that is not invested in Walmart stock at the time

of your payout will be distributed in cash.

If the total of your vested accounts is $1,000 or less, or

if you are over age 70 (regardless of the amount of your

vested accounts), your payout will be made directly to you in

a single cash payout. If you wish to take any of your payout

in the form of Walmart stock or if you wish to roll over your

payout to an IRA or other employer plan, you must contact

the Customer Service Center at 888‑968‑4015 with your

payout instructions within the time period shown in your

payout notice. If you fail to contact the Customer Service

Center at 888‑968‑4015 in a timely manner, your payout

will be made in a single cash payment to you.

If the total of your vested accounts in the Plan is more

than $1,000, your payout will not be made until you make

an election regarding the form of payout and consent to

the distribution, or until you reach age 70. To obtain your

payout, you should contact the Customer Service Center at

888‑968‑4015.

If you leave and are rehired by Walmar

If you leave Walmart and its subsidiaries and are later

rehired as an eligible associate, you will be immediately

eligible to make your own contributions to the Plan on your

date of rehire.

If you leave Walmart and its subsidiaries after you became

eligible to receive matching contributions and are later

rehired by Walmart, you will automatically be eligible to

receive matching contributions on your rehire date. Similarly,

if you leave Walmart and its subsidiaries after you met the

1,000-hour requirement for matching contribution eligibility

but before your actual participation date, you will be eligible

to receive matching contributions beginning on the later

of the date you would have initially become a participant or

your rehire date (with respect to contributions you make

after that date). If you were not a participant when you left,

or had not satisfied the 1,000-hour requirement, you will be

treated as a new associate when you are rehired and will be

required to complete the eligibility requirements (see When

participation begins earlier in this summary) in order to be

eligible to receive matching contributions under the Plan.

THE NONVESTED PORTION OF YOUR COMPANY

FUNDED PROFIT SHARING ACCOUNT

When you terminate employment, the portion of your

Company Funded Profit Sharing Account that is not vested

(if any) will not be paid to you. This nonvested amount is

called a “forfeiture.”

• If you receive a total payout of your vested Plan balance

after your termination of employment and while your

Company Funded Profit Sharing Account is partially

vested, the nonvested portion of your Company Funded

Profit Sharing Account will be forfeited on the date of

your payout.

• If you do not receive a total payout of your vested Plan

balance after your termination of employment, the

nonvested portion of your Company Funded Profit

Sharing Account will not be forfeited until you have five

consecutive “breaks in service.” A break in service is a Plan

year (February 1–January 31) in which you are credited with

500 hours of service or less. If you are absent from work

due to an FMLA leave and have worked 500 hours or less

in the Plan year, you will be credited with enough hours to

bring you up to 500.01 hours so that you will not incur a

break in service.

The nonvested portion of your Company Funded Profit

Sharing Account that was forfeited will be reinstated (at its

former value) if you are rehired by Walmart or subsidiary

before you have five consecutive breaks in service and you

pay back to the Plan the total amount of your payout within

five years after you are rehired. If you return to work with

Walmart or a subsidiary after five or more consecutive

breaks in service, or if you chose not to repay your payout

as discussed above, the nonvested portion of your Company

Funded Profit Sharing Account that was forfeited will not

be reinstated.

If you were zero percent vested in your Company Funded

Profit Sharing Account when you terminated employment,

your nonvested Company Funded Profit Sharing Account

will automatically be reinstated if you are rehired prior to

five consecutive breaks in service.

Forfeitures of nonvested Company Funded Profit Sharing

Accounts of terminated participants generally are used to

pay Plan expenses and for certain other purposes, such as to

restore account balances as discussed above.

When you are rehired, your years of service with Walmart

before you left will be counted for purposes of determining

your vesting in Walmart’s contributions to your Company

Funded Profit Sharing Account.

The income tax consequences of

apayout

The tax consequences of your participation in the Plan

are your responsibility. This explanation is only a brief

description of the U.S. federal tax consequences related

to your participation in the Plan. This description is based

on current law and current interpretations of the law by

the Internal Revenue Service. Because the law is subject

to change and because the application of the law may

vary depending on your particular circumstances, this

description is general in nature and you should not rely on

it in determining your tax consequences. You are strongly

urged to consult a tax advisor.

The Walmar 401(k) Plan

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Walmart is entitled to a deduction on the amount of its

contributions, as well as your contributions, to the Plan.

Your contributions and Walmart’s contributions to the Plan,

as well as earnings on those contributions, generally are not

subject to federal income taxes until they are paid to you.

Special taxation rules apply to Roth contributions

transferred from another Plan as part of a Plan merger.

Contact the Plan Administrator or your tax advisor for more

information.

POSTPONE PAYING TAXES ON PAYOUTS THROUGH

AROLLOVER

Although payouts from the Plan are subject to federal

income taxes, the Internal Revenue Code provides favorable

tax treatment to payouts in certain circumstances. For

example, you can postpone paying taxes on your payout

if you direct the Plan to issue your payout directly to an

IRA or to another employer’s qualified retirement plan,

a 403(b) plan or a governmental 457 plan. This is called a

direct rollover. (The check will be made payable to the IRA

or other plan trustee and will be delivered to you or your

IRA or rollover institution. If the check is mailed to you, you

will be responsible for delivering it to the IRA or other plan

trustee within 60 days.)

If you elect this method for your payout, no taxes will be

withheld from the amount you are rolling over. It will not

be taxed until you later receive a payout from the IRA or

other plan.

If you do not elect to have your payout directly rolled over,

federal law requires that Walmart withhold 20% of the

payout for federal taxes, in addition to any required state

withholding. In some cases, 20% withholding may not be

enough, which could mean that you will owe additional taxes

when you file your income tax return.

If you do not elect a direct rollover (and instead receive an

actual payout from the Plan), you may still roll over those

funds to an IRA or an employer’s qualified retirement plan,

403(b) plan or governmental 457 plan, as long as you do so

within 60 calendar days after you received the distribution.

The amount rolled over will not be subject to federal income

tax until you take it out of the IRA or other plan. If you want

to roll over 100% of your payout to an IRA or other plan,

however, you will have to use other money to replace the

20% that was withheld from your payout. If you roll over

only the 80% that you received, you will be taxed on the

20% that was withheld.

NOTE: You may roll over all or any portion of your account

that is eligible for rollover to a Roth IRA. Any amount rolled

over that would have been taxable if not rolled over will be

taxable at the time of the rollover to the Roth IRA. (Note

that you may voluntarily choose to have taxes withheld from

amounts at the time you roll over to a Roth IRA.)

For more information regarding these rollover rules, you

should review the Special tax notice addendum that follows.

You should retain this addendum for review when you are

eligible to take a distribution.

EARLY WITHDRAWAL PENALTY

In addition to the income tax withholding, if you take a

payout prior to age 59½ rather than rolling it over, in most

cases you will be subject to a 10% early withdrawal penalty

by the IRS. There are some exceptions to the penalty, such

as death, disability, retirement after age 55 and payouts

for certain medical expenses. Special rules also apply to

distributions made to reservists who are called to active

military duty.

TAXATION OF PAYOUTS OF WALMART STOCK

There are also special rules for distributions of Walmart

common stock. If you receive cash (in excess of $200) in

addition to Walmart stock and the cash is not directly rolled

over, some withholding may apply, but the withheld amount

will not greater than the amount of cash you receive.

Generally, if you receive Walmart common stock as part of

your payout that is not rolled over, you are taxed only on the

value of the stock at the time it was purchased by the Plan.

You should also keep in mind that if you elect cash payouts

of dividends paid on Walmart stock held in your Company

Funded Profit Sharing Account, the dividend is taxable

to you and is not eligible for rollover. The dividend is also

taxable if you request a financial hardship payout from your

401(k) Account within five business days of the record date

for a dividend and the dividend is automatically paid out to

you in cash. The dividend payout is not subject to the 10%

early withdrawal penalty discussed above. In some cases,

Wal-Mart Stores, Inc. will be entitled to deduct dividends

paid on shares subject to this election.

TAXATION OF PAYOUTS TO BENEFICIARIES AND

ALTERNATE PAYEES

The tax treatment discussed above applies only to payouts

to participants. Different rules may apply to payouts to

beneficiaries of deceased participants. In general, if your

spouse is your beneficiary, he or she will have the same

federal income tax treatment and rollover options that you

would have had. Other beneficiaries, including partners, will

only be entitled to a direct rollover to an inherited IRA or

Roth IRA. The 10% early withdrawal penalty does not apply

to payouts to your beneficiary.

The spouses or former spouse of a participant who receives

a payout from the Plan under a qualified domestic relations

order (QDRO) generally have the same federal income tax

treatment and options as the participant would have had. In

some cases, however, a payout on behalf of a non-spouse

The Walmar 401(k) Plan

dependent, including a partner, pursuant to a QDRO (e.g.,

state-ordered child support) may result in federal income

taxation to the participant even though the payout is made

to or on behalf of the dependent alternate payee.

TAXATION OF LOANS

Under current tax law, loans made from the Plan,

regardless of their purpose, are not considered taxable

income to the participant unless a default occurs. If you

default on a loan from the Plan (as discussed above), your

tax statement will show the amount of income to report

for the year of the default. You may also be subject to 10%

early withdrawal penalty.

Filing a Walmar 401(k) Plan claim

If you think you are entitled to a benefit beyond that

processed by the Plan’s recordkeeper (Merrill Lynch), you

may file a claim with the Administrator or its delegate at:

Wal‑Mart Stores, Inc.

Attn: Financial Benefits

508 SW 8th Street

Bentonville, Arkansas 72716‑0295

For questions about filing a claim, contact People Services

at 800‑421‑1362.

If your claim is partially or fully denied, you will receive

written notice of the decision within a reasonable time,

but no later than 90 days after the Administrator receives

your claim. The Administrator or its delegate can extend

this period for up to an additional 90 days if it determines

that special circumstances require an extension. You will

receive notice of any extension before the expiration of

the original 90-day period. The written notice you receive

will state the specific reasons for the denial of your

claim, a specific reference to the provisions of the Plan

upon which the denial is based, and a description of the

review procedures and the time limits applicable to such

procedures, including your right to bring a court action

following a denial on appeal.

If you do not agree with the decision of the Administrator

or its delegate, you can request a review of the decision

by the Administrator. The Administrator has discretionary

authority to resolve all questions concerning administration,

interpretation or application of the Plan. Your request must

be made in writing and sent to the Administrator at:

Wal‑Mart Stores, Inc.

Attn: Financial Benefits

508 SW 8th Street

Bentonville, Arkansas 72716‑0295

Your request must be made within 60 calendar days of the

denial. Your written request must contain all additional

information that you wish the Administrator to consider. If

you do not request a review within this time period, you will

be deemed to have waived your right to a review.

The Administrator will promptly conduct the review.

Written notice of the Administrator’s decision on review

will be provided to you within 60 calendar days after the

receipt of your request, unless special circumstances

require an extension of up to 60 additional days. In those

circumstances where the review is delayed to allow you

to provide additional information necessary for a proper

review, the length of the delay will not be included in the

calculation of the 60-day deadline and extension periods

set forth above. The written notice of the Administrator’s

decision will include specific reasons for the decision and

will refer to the specific provisions of the Plan on which the

decision is based.

You must exhaust these procedures before you can file

a lawsuit with respect to your Plan benefits. If you file

a lawsuit, it must be filed within one year from the date

of your payout or, if no payout is made, the date your

request for benefits is denied, in whole or in part, by

the Administrator on appeal (or, if earlier, the date the

Administrator fails to respond to your claim or appeal within

the time periods provided above).

Administrative information

PLAN NAME

The legal name of the Plan is the Walmart 401(k) Plan.

PLAN SPONSOR AND ERISA PLAN ADMINISTRATOR

Wal-Mart Stores, Inc. is the Plan Sponsor. Its contact

information for matters pertaining to the Plan is:

Wal‑Mart Stores, Inc.

Attn: Financial Benefits

508 SW 8th Street

Bentonville, Arkansas 72716‑0295 800‑421‑1362

As the ERISA Plan Administrator, Wal-Mart Stores, Inc. is

responsible for reporting and disclosure obligations under

the Employee Retirement Income Security Act of 1974

(ERISA) and all other obligations required to be performed

by plan administrators under the Internal Revenue Code

and ERISA, except for those obligations delegated to the

Administrator, the Benefits Investment Committee or the

trustee of the Trust. ERISA is the federal law that imposes

certain responsibilities on Wal-Mart Stores, Inc., the

Administrator, the Benefits Investment Committee and the

trustee with respect to your retirement benefits.

The Walmar 401(k) Plan

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Subsidiaries of Wal-Mart Stores, Inc. are permitted

to participate in the Plan. You may obtain a list of

subsidiaries currently participating in the Plan by

contacting People Services.

PLAN SPONSOR’S EMPLOYER IDENTIFICATION NUMBER

71-0415188

NAMED ADMINISTRATIVE FIDUCIARY

The individual from time to time holding the position

of Senior Vice President, Global Benefits Division, of

Walmart is the Administrator. The Administrator is the

named administrative fiduciary of the Plan. As the named

administrative fiduciary of the Plan, the Administrator is

generally responsible for the management, interpretation

and administration of the Plan, including but not limited

to eligibility determinations, benefit payments and other

functions required, necessary or advisable to carry out the

purpose of the Plan.

You may contact the Administrator at the following address:

Senior Vice President, Global Benefits Division/Administrator

c/o Wal‑Mart Stores, Inc.

508 SW 8th Street

Bentonville, Arkansas 72716‑0295

NAMED INVESTMENT FIDUCIARY

The Benefits Investment Committee is the named

investment fiduciary of the Plan. As the named investment

fiduciary, the Committee is responsible for the Plan’s

investment policies, including selection of investment

options to be made available under the Plan and the

selection of the default investment option.

You may contact the Benefits Investment Committee at the

following address:

Benefits Investment Committee

c/o Wal‑Mart Stores, Inc.

508 SW 8th Street

Bentonville, Arkansas 72716‑0295

PLAN TRUSTEE

Northern Trust Company

50 S. LaSalle Street

Chicago, Illinois 60603

One or more trusts hold all Plan assets, such as

contributions by participants and Walmart’s contributions.

As trustee of the Trust, Northern Trust Company receives

and holds contributions made to the Plan in trust and invests

those contributions according to the policies established

under the Plan.

AGENT FOR SERVICE OF LEGAL PROCESS

Corporation Trust Company

1209 Orange Street

Corporation Trust Center

Wilmington, Delaware 19801

Service of legal process may also be made on the ERISA

Plan Administrator or the trustee.

PLAN NUMBER

003

PLAN YEAR

February 1 through January 31

TYPE OF PLAN

The Walmart 401(k) Plan is a defined contribution plan

(401(k), profit sharing and employee stock ownership plan).

ASSIGNMENT

Because this is a retirement plan governed by ERISA and

other federal laws, your accounts cannot be assigned or

used as collateral for a loan, nor can your accounts be

garnished or be subject to bankruptcy proceedings. They

can, however, be part of a divorce settlement, as explained

in the If you get divorced section earlier in this summary.

NO PBGC COVERAGE

ERISA created a governmental agency called the Pension

Benefit Guaranty Corporation (PBGC). One of the purposes

of the PBGC is to provide plan benefit insurance. However,

this insurance is available only to defined benefit pension

plans, and our Plan is a defined contribution plan. Therefore,

benefits under the Plan are not insured by the PBGC.

PLAN AMENDMENT OR TERMINATION

Walmart reserves the right to amend or terminate the Plan

at any time. Amendments are made by Walmart’s Board of

Directors or by its Executive Vice President, Global People

Division. Neither the Plan nor the benefits described in

The Walmar 401(k) Plan

this summary may be orally amended. All oral statements

and representations have no force or effect, even if the

statements and representations are made by a management

associate of Walmart or a participating subsidiary, by the

Administrator, by any member of the Benefits Investment

Committee or by Merrill Lynch.

You may obtain a copy of the formal Plan document by

writing to:

Wal‑Mart Stores, Inc.

Attn: People Services

508 SW 8th Street

Bentonville, Arkansas 72716‑0295

You can also contact the Customer Service Center at

888‑968‑4015.

MISTAKEN PAYOUTS

If any payout is made under the Plan to the wrong party,

or if a payout is made to the right party but in the wrong

amount, the Administrator can recover the mistaken

payout from the recipient by either reducing his or her

Plan account or future payouts due to the recipient, or may

demand that the recipient promptly repay the Plan.

STATEMENT OF ERISA RIGHTS

As a participant in this Plan, you are entitled to certain

rights and protections under ERISA. ERISA provides that all

Plan participants shall be entitled to:

• Examine, without charge, at the ERISA Plan Administrator’s

office and at other specified facilities, all documents

governing the Plan, including insurance contracts and

collective bargaining agreements, and a copy of the latest

annual report (Form 5500 series) filed by the Plan with

the U.S. Department of Labor and available at the Public

Disclosure Room of the Employee Benefits Security

Administration.

• Obtain, upon written request to the ERISA Plan

Administrator, copies of documents governing the

operation of the Plan, including insurance contracts and

collective bargaining agreements, and copies of the latest

annual report (Form 5500 series) and updated Summary

Plan Description. The ERISA Plan Administrator may make

a reasonable charge for the copies. Your request must be

mailed to:

Wal‑Mart Stores, Inc. — ERISA Section 104(b) Request

Attn: People Services

508 SW 8th Street

Bentonville, Arkansas 72716‑0295

• Receive a summary of the Plan’s annual financial report. The

ERISA Plan Administrator is required by law to furnish each

participant with a copy of the summary financial report.

• Obtain a statement telling you the current balance of

your account and the portion of your account that is

nonforfeitable (vested). This statement must be requested

in writing and is not required to be given more than once

every 12 months. The Plan must provide the statement free

of charge.

In addition to creating rights for Plan participants, ERISA

imposes duties upon the people who are responsible for the

operation of the Plan. The people who operate the Plan,

called “fiduciaries” of the Plan, have a duty to do so prudently

and in your interest and in that of other Plan participants and

beneficiaries. No one, including your employer or any other

person, may fire or otherwise discriminate against you in

any way to prevent you from obtaining a pension benefit or

exercising your rights under ERISA.

If your claim for a benefit is denied or ignored in whole or in

part, you have a right to know why this was done, to obtain

copies of documents relating to the decision without charge,

and to appeal any denial, all within certain time schedules.

Under ERISA, there are steps you can take to enforce the

above rights. For instance, if you request materials from

the Plan and do not receive them within 30 days, you may

file suit in a federal court. In such a case, the court may

require the ERISA Plan Administrator or the Administrator

to provide the materials and pay you up to $110 a day until

you receive the materials, unless the materials were not

sent because of reasons beyond the control of the ERISA

Plan Administrator or the Administrator. If you have a claim

for benefits that is denied or ignored, in whole or in part,

you may file suit in a state or federal court. In addition,

if you disagree with the Plan’s decision or lack thereof

concerning the qualified status of a domestic relations

order, you may file suit in a federal court.

If it should happen that Plan ﬁduciaries misuse the Plan’s

money, or if you are discriminated against for asserting your

rights, you may seek assistance from the U.S. Department

of Labor, or you may ﬁle suit in a federal court. The court

will decide who should pay court costs and legal fees. If you

are successful, the court may order the person you have

sued to pay these costs and fees. If you lose, the court may

order you to pay these costs and fees, for example, if it ﬁnds

your claim is frivolous.

If you have any questions about the Plan, you should contact

the ERISA Plan Administrator or the Administrator. If you

have any questions about this statement or about your rights

under ERISA, you should contact the nearest regional office

of the Employee Benefits Security Administration, U.S.

The Walmar 401(k) Plan

2018 Associate Benefits Book | Questions? Log on to WalmartOne.com or the WIRE, or call People Services at 800 -421-1362

Department of Labor, listed in your telephone directory, or

the Division of Technical Assistance and Inquiries, Employee

Benefits Security Administration, U.S. Department of Labor,

200 Constitution Avenue NW, Washington, DC 20210. You

may also obtain certain publications about your rights and

responsibilities under ERISA by calling the publications

hotline of the Employee Benefits Security Administration.

Special tax notice addendum

YOUR ROLLOVER OPTIONS

The law requires that participants receive this notice before

receiving a distribution from the Plan that is eligible to

be rolled over to an IRA or an employer plan. You may or

may not currently be eligible to receive a distribution from

the Plan. If you are eligible for a distribution, however,

you should review this notice carefully before you elect

a distribution from the Plan. This notice is intended to

help you decide whether to elect a rollover. If you are not

currently eligible for a distribution, you should retain this

notice and review it when you are eligible for a distribution.

Rules that apply to most payments from the Plan are

described in the General information about rollovers section.

Special rules that only apply in certain circumstances are

described in the Special rules and options section.

GENERAL INFORMATION ABOUT ROLLOVERS

How can a rollover affect my taxes? You will be taxed on a

payment from the Plan if you do not roll it over. If you are

under age 59½ and do not do a rollover, you will also have

to pay a 10% additional income tax on early distributions

(unless an exception applies, as explained below). If you do

a rollover, however, you will not have to pay tax until you

receive payment later and the 10% additional income tax will

not apply if the payment is made after you are age 59½ (or if

an exception applies).

Where may I roll over the payment? You may roll over the

payment to either an IRA (an individual retirement account

or individual retirement annuity, including a Roth IRA) or

an employer plan (a tax-qualified plan, section 403(b) plan

or governmental section 457(b) plan) that will accept the

rollover. The rules of the IRA or employer plan that holds

the rollover will determine your investment options, fees

and rights to payment from the IRA or employer plan (for

example, no spousal consent rules apply to IRAs and IRAs

may not provide loans). Further, the amount rolled over will

become subject to the tax rules that apply to the IRA or

employer plan.

How do I do a rollover? There are two ways to do a rollover.

You can do either a “direct rollover” or a “60-day rollover.”

If you do a “direct rollover,” the Plan will make the payment

directly to your IRA or an employer plan. You should contact

the IRA sponsor or the administrator of the employer plan

for information on how to do a direct rollover.

If you do not do a direct rollover, you may still do a “60-

day rollover” by making a deposit into an IRA or eligible

employer plan that will accept it. You will have 60 days

after you receive the payment to make the deposit. If you

do not do a direct rollover, the Plan is required to withhold

20% of the payment for federal income taxes (up to the

amount of cash received). This means that, in order to roll

over the entire payment in a 60-day rollover, you must use

other funds to make up for the 20% withheld. If you do not

roll over the entire amount of the payment, the portion

not rolled over will be taxed and will be subject to the 10%

additional income tax on early distributions if you are under

age 59½ (unless an exception applies).

How much may I roll over? If you wish to do a rollover, you

may roll over all or part of the amount eligible for rollover.

Generally, any payment from the Plan is eligible for

rollover, except:

• Required minimum distributions after age 70½

(or after death)

• Hardship distributions

• ESOP dividends

• Corrective distributions of contributions that exceed tax

law limitations

• Loans treated as deemed distributions (for example,

loans in default due to missed payments before your

employment ends)

The Plan Administrator or the payer can tell you what

portion of a payment is eligible for rollover.

If I don’t do a rollover, will I have to pay the 10% additional

income tax on early distributions? If you are under age

59½, you will have to pay the 10% additional income tax on

early distributions for any payment from the Plan (including

amounts withheld for income tax) that you do not roll over,

unless one of the exceptions listed below applies. This tax

is in addition to the regular income tax on the payment not

rolled over.

The Walmar 401(k) Plan

The 10% additional income tax does not apply to the

following payments from the Plan:

• Payments made after you separate from service if you will

be at least age 55 in the year of the separation

• Payments made due to disability

• Payments after your death

• Payments of ESOP dividends

• Corrective distributions of contributions that exceed tax

law limitations

• Payments made directly to the government to satisfy a

federal tax levy

• Payments made under a qualified domestic relations order

(QDRO)

• Certain payments made while you are on active duty if

you were a member of a reserve component called to duty

after September 11, 2001 for more than 179 days

If I do a rollover to an IRA, will the 10% additional income

tax apply to early distributions from the IRA? If you receive

a payment from an IRA when you are under age 59½, you

will have to pay the 10% additional income tax on early

distributions from the IRA, unless an exception applies.

In general, the exceptions to the 10% additional income

tax for early distributions from an IRA are the same as the

exceptions listed above for early distributions from a plan.

However, there are a few differences for payments from an

IRA, including:

• There is no exception for payments after separation from

service that are made after age 55.

• The exception for qualified domestic relations orders

(QDROs) does not apply (although a special rule applies

under which, as part of a divorce or separation agreement,

a tax-free transfer may be made directly to an IRA of a

spouse or former spouse).

• An exception for payments made at least annually in equal

or close to equal amounts over a specified period applies

(without regard to whether you have had a separation from

service).

• There are additional exceptions for (1) payments for

qualified higher education expenses, (2) payments up

to $10,000 used in a qualified first-time home purchase,

and (3) payments after you have received unemployment

compensation for 12 consecutive weeks (or would have

been eligible to receive unemployment compensation but

for self-employed status).

Will I owe state income taxes? This notice does not

describe any state or local income tax rules (including

withholding rules).

SPECIAL RULES AND OPTIONS

If you miss the 60‑day rollover deadline: Generally, the

60-day rollover deadline cannot be extended. However, the

IRS has the limited authority to waive the deadline under

certain extraordinary circumstances, such as when external

events prevented you from completing the rollover by the

60-day rollover deadline. To apply for a waiver, you must file

a private letter ruling request with the IRS. Private letter

ruling requests require the payment of a nonrefundable

user fee. For more information, see IRS Publication 590,

Individual Retirement Arrangements (IRAs).

If your payment includes employer stock that you do

not roll over: If you do not do a rollover, you can apply a

special rule to payments of employer stock that are paid

in a lump sum after separation from service (or after

age 59½, disability, or the participant’s death). Under the

special rule, the net unrealized appreciation on the stock

will not be taxed when distributed from the Plan and will

be taxed at capital gain rates when you sell the stock. Net

unrealized appreciation is generally the increase in the

value of employer stock after it was acquired by the Plan.

If you do a rollover for a payment that includes employer

stock (for example, by selling the stock and rolling over the

proceeds within 60 days of the payment), the special rule

relating to the distributed employer stock will not apply to

any subsequent payments from the IRA or employer plan.

The Plan Administrator can tell you the amount of any net

unrealized appreciation.

If you have an outstanding loan that is being offset: If you

have an outstanding loan from the Plan, your Plan benefit

may be offset by the amount of the loan, typically when

your employment ends. The loan offset amount is treated

as a distribution to you at the time of the offset and will

be taxed (including the 10% additional income tax on early

distributions, unless an exception applies) unless you do a

60-day rollover in the amount of the loan offset to an IRA

or employer plan.

If you were born on or before January 1, 1936: If you were

born on or before January 1, 1936 and receive a lump sum

distribution that you do not roll over, special rules for

calculating the amount of the tax on the payment might

apply to you. For more information, see IRS Publication 575,

Pension and Annuity Income.

If you roll over your payment to a Roth IRA: If you roll

over a payment to a Roth IRA, a special rule applies under

which the amount of the payment rolled over will be

taxed. However, the 10% additional income tax on early

distributions will not apply (unless you take the amount

rolled over out of the Roth IRA within five years, counting

from January 1 of the year of the rollover). For payments

The Walmar 401(k) Plan

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from the Plan during 2010 that are rolled over to a Roth

IRA, the taxable amount can be spread over a two-year

period starting in 2011. If you roll over the payment to

a Roth IRA, later payments from the Roth IRA that are

qualified distributions will not be taxed (including earnings

after the rollover). A qualified distribution from a Roth IRA

is a payment made after you are age 59½ (or after your

death or disability, or as a qualified first-time homebuyer

distribution of up to $10,000) and after you have had a Roth

IRA for at least five years. In applying this five-year rule,

you count from January 1 of the year for which your first

contribution was made to a Roth IRA. Payments from the

Roth IRA that are not qualified distributions will be taxed

to the extent of earnings after the rollover, including the

10% additional income tax on early distributions (unless

an exception applies). You do not have to take required

minimum distributions from a Roth IRA during your lifetime.

For more information, see IRS Publication 590, Individual

Retirement Arrangements (IRAs).

You cannot roll over a payment from the Plan to a

designated Roth account in an employer plan.

If you are not a plan paricipant

Payments after death of the participant. If you receive a

distribution after the participant’s death that you do not

roll over, the distribution will generally be taxed in the same

manner described elsewhere in this notice. However, the

10% additional income tax on early distributions does not

apply, and the special rule described under the section If

you were born on or before January 1, 1936 applies only if

the participant was born on or before January 1, 1936.

If you are a surviving spouse: If you receive a payment from

the Plan as the surviving spouse of a deceased participant,

you have the same rollover options that the participant

would have had, as described elsewhere in this notice. In

addition, if you choose to do a rollover to an IRA, you may

treat the IRA as your own or as an inherited IRA.

An IRA you treat as your own is treated like any other IRA

of yours, so that payments made to you before you are age

59½ will be subject to the 10% additional income tax on early

distributions (unless an exception applies) and required

minimum distributions from your IRA do not have to start

until after you are age 70½.

If you treat the IRA as an inherited IRA, payments from

the IRA will not be subject to the 10% additional income

tax on early distributions. However, if the participant had

started taking required minimum distributions, you will

have to receive required minimum distributions from the

inherited IRA. If the participant had not started taking

required minimum distributions from the Plan, you will not

have to start receiving required minimum distributions

from the inherited IRA until the year the participant would

have been age 70½.

If you are a surviving beneficiary other than a spouse:

If you receive a payment from the Plan because of the

participant’s death and you are a designated beneficiary

other than a surviving spouse, the only rollover option you

have is to do a direct rollover to an inherited IRA or Roth

IRA. Payments from the inherited IRA or Roth IRA will

not be subject to the 10% additional income tax on early

distributions. You will have to receive required minimum

distributions from the inherited IRA or Roth IRA.

Payments under a qualified domestic relations order. If

you are the spouse or former spouse of the participant

who receives a payment from the Plan under a qualified

domestic relations order (QDRO), you generally have the

same options the participant would have (for example, you

may roll over the payment to your own IRA or an eligible

employer plan that will accept it). Payments under the

QDRO will not be subject to the 10% additional income tax

on early distributions.

If you are a nonresident alien: If you are a nonresident

alien and you do not do a direct rollover to a U.S. IRA or

U.S. employer plan, instead of withholding 20%, the Plan

is generally required to withhold 30% of the payment for

federal income taxes. If the amount withheld exceeds the

amount of tax you owe (as may happen if you do a 60-day

rollover), you may request an income tax refund by filing

Form 1040NR and attaching your Form 1042-S. See Form

W-8BEN for claiming that you are entitled to a reduced

rate of withholding under an income tax treaty. For more

information, see also IRS Publication 519, U.S. Tax Guide

for Aliens, and IRS Publication 515, Withholding of Tax on

Nonresident Aliens and Foreign Entities.

If you have Roth contributions that were merged into the

Walmart 401(k) Plan, those contributions are subject to

special tax rules when they are distributed from the Walmart

401(k) Plan. In general, your Roth contributions are not taxed

upon distribution, even if you do not elect a rollover.

Earnings on those contributions are also not taxed if

the distribution is a “qualified distribution.” A “qualified

distribution” is a payment made after age 59½ (or after your

death or disability) and after you have had a Roth account for

at least five years (counting from January 1 of the year you

made your first Roth contribution). If the distribution is not

a qualified distribution, the earnings will be taxed and, if you

are under 59½ (and no other exception applies), the additional

10% income tax would also apply, unless you elect a rollover.

You may roll over your Roth contributions only to a Roth

IRA or to a designated Roth account in another employer

plan that will accept the rollover. The rules of the Roth IRA

or employer plan that holds the rollover will determine your

investment options, fees, and rights to payment from the

Roth IRA or employer plan (for example, no spousal consent

The Walmar 401(k) Plan

rules apply to Roth IRAs and Roth IRAs may not provide

loans). Further, the amount rolled over will become subject

to the tax rules that apply to the Roth IRA or the designated

account in the employer plan. In general, these tax rules are

similar to those described above, but differences include:

• If you do a rollover to a Roth IRA, all of your Roth IRAs will

be considered for purposes of determining whether you

have satisfied the 5-year rule (counting from January 1 of

the year for which your first contribution was made to any

of your Roth IRAs).

• If you do a rollover to a Roth IRA, you will not be required

to take a distribution from the Roth IRA during your

lifetime and you must keep track of the aggregate amount

of the after-tax contributions in all your Roth IRAs (in

order to determine your taxable income for later Roth IRA

payments that are not qualified distributions).

• Eligible rollover distributions from a Roth IRA can only be

rolled over to another Roth IRA.

The tax rules governing Roth contributions are complex.

You should consult with your tax advisor before electing

distribution.

OTHER SPECIAL RULES

If your payments for the year are less than $200, the Plan is

not required to allow you to do a direct rollover and is not

required to withhold for federal income taxes. However, you

may do a 60-day rollover.

FOR MORE INFORMATION

You may wish to consult with the Plan Administrator or

payer, or a professional tax advisor, before taking a payment

from the Plan. Also, you can find more detailed information

on the federal tax treatment of payments from employer

plans in: IRS Publication 575, Pension and Annuity Income;

IRS Publication 590, Individual Retirement Arrangements

(IRAs); and IRS Publication 571, Tax-Sheltered Annuity

Plans (403(b) Plans. These publications are available from

a local IRS office, on the web at www.irs.gov, or by calling

800‑TAX‑FORM.