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Rule#1 "However, withdrawing from a tournament while you have games in progress will automatically cause you to forfeit all of the tournament games on time which will negatively affect your timeout % ratio and your rating, even if no moves have been made."
Rule#2 "As soon as the tournament starts and the pairings are generated all players clocks start immediately. If no move is made before the time control is up then the game will be auto-resigned as a "timeout" or loss on time. This affects both players tournament and Online Chess records but does NOT affect ratings"
I have noticed that players timed out with no reduction in rating (conforms to Rule#2), but indeed they stayed in the tournament. This is strange, as you can avoid the rating reduction by NOT WITHDRAWING but just let yourself timed out !????
Anyone care to explain how this actually work?