Common use of ACTUARIAL AND ACCOUNTING METHODOLOGIES AND ASSUMPTIONS Clause in Contracts

ACTUARIAL AND ACCOUNTING METHODOLOGIES AND ASSUMPTIONS. For purposes of this Agreement, unless specifically indicated otherwise: (i) all actuarial methodologies and assumptions used for a particular Plan shall (except to the extent otherwise determined by Lucent and Agere to be reasonable or necessary) be substantially the same as those used in the actuarial valuation of that Plan used to determine minimum funding requirements under ERISA Section 302 and Code Section 412 for 2000, or, if such Plan is not subject to such minimum funding requirements, used to determine Lucent's deductible Contributions under Code Section 419A or, if such Plan is not subject to Code Section 419A, the assumptions used to prepare Lucent's audited financial statements for fiscal 2000, as the case may be; and (ii) the value of plan assets shall be the value established for purposes of audited financial statements of the relevant plan or trust for the period ending on the date as of which the valuation is to be made. Agere Liabilities relating to, arising out of or resulting from the status of Agere and the Agere Entities as Participating Companies in Lucent Health and Welfare Plans, as provided for in Section 2.2 and all accruals relating thereto shall be determined by Lucent using actuarial assumptions and methodologies (including with respect to demographics, medical trends and other relevant factors) determined by Lucent in a manner consistent with Lucent's practice as in effect on the Distribution Date and in conformance with the generally accepted actuarial principles promulgated by the American Academy of Actuaries, the Code, ERISA, and/or generally accepted accounting principles, as applicable, in each case as interpreted by Lucent consistent with its past practice. Except as otherwise contemplated by this Agreement or as required by law, all determinations as to the amount or valuation of any assets of or relating to any Lucent Plan (whether or not such assets are being transferred to an Agere Plan) shall be made pursuant to procedures to be established by the parties before the Distribution Date.

ACTUARIAL AND ACCOUNTING METHODOLOGIES AND ASSUMPTIONS. For purposes of this Agreement, unless specifically indicated otherwise: (i) all actuarial methodologies and assumptions used for a particular Plan shall (except to the extent otherwise determined by AT&T and Lucent and Agere to be reasonable or necessary) be substantially the same as those used in the actuarial valuation of that Plan used to determine minimum funding requirements under ERISA Section 302 and Code Section 412 for 20001996, or, if such Plan is not subject to such minimum funding requirements, used to determine LucentAT&T's deductible Contributions contributions under Code Section 419A or, if such Plan is not subject to Code Section 419A, the assumptions used to prepare LucentAT&T's audited financial statements for fiscal 20001996, as the case may be; and (ii) the value of plan assets shall be the value established for purposes of audited financial statements of the relevant plan or trust for the period ending on the date as of which the valuation is to be made. Agere Lucent Liabilities relating to, arising out of or resulting from the status of Agere Lucent and the Agere Lucent Entities as Participating Companies in Lucent Health and Welfare AT&T Plans, as provided for in Section 2.2 and all accruals relating thereto shall be determined by Lucent AT&T using actuarial assumptions and methodologies (including with respect to demographics, medical trends and other relevant factors) determined by Lucent AT&T in a manner consistent with LucentAT&T's practice as in effect on the Distribution Participation Commencement Date and in conformance with the generally accepted actuarial principles promulgated by the American Academy of Actuaries, the Code, ERISA, and/or generally accepted accounting principles, as applicable, in each case as interpreted by Lucent AT&T consistent with its past practice. Except as otherwise contemplated by this Agreement or as required by law, all determinations as to the amount or valuation of any assets of or relating to any Lucent AT&T Plan (whether or not such assets are being transferred to an Agere a Lucent Plan) shall be made pursuant to procedures to be established by the parties before the Distribution Closing Date.

ACTUARIAL AND ACCOUNTING METHODOLOGIES AND ASSUMPTIONS. For purposes of this Agreement, unless specifically indicated otherwise: (i) all actuarial methodologies and assumptions used for a particular Plan shall (except to the extent otherwise determined by Lucent Parent and Agere Technologies to be reasonable or necessary) be substantially the same as those used in the actuarial valuation of that Plan used to determine minimum funding requirements under ERISA Section (S) 302 and Code Section (S) 412 for 20002001, or, if such Plan is not subject to such minimum funding requirements, used to determine LucentParent's deductible Contributions contributions under Code Section (S) 419A or, if such Plan is not subject to Code Section (S) 419A, the assumptions used to prepare LucentParent's audited financial statements for fiscal 2000, as the case may be; and (ii) the value of plan assets shall be the value established for purposes of audited financial statements of the relevant plan or trust for the period ending on the date as of which the valuation is to be made. Agere Technologies Liabilities relating to, arising out of or resulting from the status of Agere Technologies and the Agere Technologies Entities as Participating Companies in Lucent Health and Welfare Parent Plans, as provided for in Section 2.2 and all accruals relating thereto shall be ----------- determined by Lucent Technologies using actuarial assumptions and methodologies (including methodologies, including, without limitation, assumptions with respect to demographics, medical trends and other relevant factors) , determined by Lucent Technologies in a manner consistent with LucentParent's practice as in effect on the Distribution IPO Date and in conformance with the generally accepted actuarial principles promulgated by the American Academy of Actuaries, the Code, ERISA, and/or generally accepted accounting principles, as applicable, in each case as interpreted by Lucent Technologies consistent with its Parent's past practice. Except as otherwise contemplated by this Agreement or as required by law, all determinations as to the amount or valuation of any assets of or relating to any Lucent Plan (Parent Plan, whether or not such assets are being transferred to an Agere a Technologies Plan) , shall be made pursuant to procedures to be established by the parties before the Distribution IPO Date.

ACTUARIAL AND ACCOUNTING METHODOLOGIES AND ASSUMPTIONS. For purposes of this Agreement, unless specifically indicated otherwise: (i) all actuarial methodologies and assumptions used for a particular Plan shall (except to the extent otherwise determined by Lucent Parent and Agere Technologies to be reasonable or necessary) be substantially the same as those used in the actuarial valuation of that Plan used to determine minimum funding requirements under ERISA Section (S) 302 and Code Section (S) 412 for 20002001, or, if such Plan is not subject to such minimum funding requirements, used to determine LucentParent's deductible Contributions contributions under Code Section (S) 419A or, if such Plan is not subject to Code Section (S) 419A, the assumptions used to prepare LucentParent's audited financial statements for fiscal 2000, as the case may be; and (ii) the value of plan assets shall be the value established for purposes of audited financial statements of the relevant plan or trust for the period ending on the date as of which the valuation is to be made. Agere Technologies Liabilities relating to, arising out of or resulting from the status of Agere Technologies and the Agere Technologies Entities as Participating Companies in Lucent Health and Welfare Parent Plans, as provided for in Section 2.2 and all accruals relating thereto shall be ----------- determined by Lucent Technologies using actuarial assumptions and methodologies (including methodologies, including, without limitation, assumptions with respect to demographics, medical trends and other relevant factors) , determined by Lucent Technologies in a manner consistent with LucentParent's practice as in effect on the Distribution Date Assumption Time and in conformance with the generally accepted actuarial principles promulgated by the American Academy of Actuaries, the Code, ERISA, and/or generally accepted accounting principles, as applicable, in each case as interpreted by Lucent Technologies consistent with its Parent's past practice. Except as otherwise contemplated by this Agreement or as required by law, all determinations as to the amount or valuation of any assets of or relating to any Lucent Plan (Parent Plan, whether or not such assets are being transferred to an Agere a Technologies Plan) , shall be made pursuant to procedures to be established by the parties before the Distribution DateAssumption Time.