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: (a) all actuarial methodologies and assumptions used for a particular Employee Benefit Plan shall (except to the extent otherwise determined by Xxxx-XxXxx and Tronox to be reasonable or necessary) be substantially the same as those used in the actuarial valuation of that Employee Benefit Plan used to determine minimum funding requirements under ERISA section 302 and Code section 412 for 2004, or, if such Employee Benefit Plan is not subject to such minimum funding requirements, used to determine Xxxx-XxXxx’x deductible contributions under Code section 419A or, if such Plan is not subject to Code section 419A, the assumptions used to prepare Xxxx-XxXxx’x audited financial statements for fiscal 2004, as the case may be; and (b) 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. Tronox liabilities relating to, arising out of or resulting from the status of Tronox and the Tronox Entities as Participating Companies in Xxxx-XxXxx Health and Welfare Plans, as provided for in Section 2.02 and all accruals relating thereto shall be determined by Xxxx-XxXxx using actuarial assumptions and methodologies (including with respect to demographics, medical trends, and other relevant factors) determined by Xxxx-XxXxx in a manner consistent with Xxxx-XxXxx’x 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 Xxxx-XxXxx 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 Xxxx-XxXxx Employee Benefit Plan (whether or not such assets are being transferred to a Tronox Employee Benefit 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: (a) all actuarial methodologies and assumptions used for a particular Employee Benefit Plan shall (except to the extent otherwise determined by Xxxx-XxXxx and Tronox to be reasonable or necessary) be substantially the same as those used in the actuarial valuation of that Employee Benefit Plan used to determine minimum funding requirements under ERISA section 302 and Code section 412 for 2004, or, if such Employee Benefit Plan is not subject to such minimum funding requirements, used to determine Xxxx-XxXxx’x XxXxx'x deductible contributions under Code section 419A or, if such Plan is not subject to Code section 419A, the assumptions used to prepare Xxxx-XxXxx’x XxXxx'x audited financial statements for fiscal 2004, as the case may be; and (b) 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. Tronox liabilities relating to, arising out of or resulting from the status of Tronox and the Tronox Entities as Participating Companies in Xxxx-XxXxx Health and Welfare Plans, as provided for in Section 2.02 and all accruals relating thereto shall be determined by Xxxx-XxXxx using actuarial assumptions and methodologies (including with respect to demographics, medical trends, and other relevant factors) determined by Xxxx-XxXxx in a manner consistent with Xxxx-XxXxx’x XxXxx'x 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 Xxxx-XxXxx 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 Xxxx-XxXxx Employee Benefit Plan (whether or not such assets are being transferred to a Tronox Employee Benefit Plan) shall be made pursuant to procedures to be established by the parties before the Distribution Date.