AUXILIUM, INC. IS A SUPPORTING ORGANIZATION OF PREPASS SAFETY ALLIANCE UNDER 509(A)(3) OF THE INTERNAL REVENUE CODE AND, AS SUCH, MUST AT ALL TIMES BE OPERATED EXCLUSIVELY FOR THE BENEFIT OF, TO PERFORM THE FUNCTIONS OF AND TO CARRY OUT THE PURPOSES OF PREPASS SAFETY ALLIANCE. AUXILIUM, INC. WAS ESTABLISHED BY PREPASS SAFETY ALLIANCE TO DEPLOY THE 360SMARTVIEW SERVICE AND OTHER NEW SERVICE OFFERINGS THAT REQUIRE COMPENSATION FROM THE STATES TO MITIGATE THE POTENTIAL CONFLICT OF INTEREST CONCERNS INVOLVING PREPASS SAFETY ALLIANCE'S BOARD MEMBERS. AS A TYPE I SUPPORTING ORGANIZATION, AUXILIUM, INC. MUST AT ALL TIMES BE OPERATED, SUPERVISED OR CONTROLLED BY PREPASS SAFETY ALLIANCE, WHICH IS THE SOLE MEMBER OF AUXILIUM, INC. AND RETAINS THE RIGHT TO ELECT THE BOARD OF DIRECTORS OF AUXILIUM, INC. THROUGH THIS STRUCTURE, AUXILIUM, INC. WORKS CLOSELY WITH PREPASS SAFETY ALLIANCE AND BENEFITS FROM ACCESS TO PREPASS SAFETY'S FACILITIES MANAGEMENT AND PROPRIETARY DATABASES AND OTHER INFORMATION.
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