Common use of ESTABLISHMENT OF WATER Clause in Contracts

ESTABLISHMENT OF WATER. PIK PLANS. Effective prior to or within a reasonable time after the Distribution Date, Water Pik shall adopt, or cause to be adopted, the amended Teledyne 401(k) Plan for the period between the Distribution Date and April 1, 2000, the Water Pik Stock Purchase Plan, the Water Pik Health and Welfare Plans, and the Water Pik Executive Benefit Plans for the benefit of the Water Pik Individuals and other current and future employees of Water Pik and the Water Pik Entities; provided, however, that Water Pik may, in its sole discretion, elect not to adopt or establish the Plan or Plans listed in Schedule 2.2(a). Subject to the provisions of Section 4.1 regarding the Water Pik 401(k) Plan, or as otherwise may be set forth in Schedule 2.2(b), the foregoing Water Pik Plans shall be substantially identical in all Material Features to the corresponding ATI Plans as in effect as of the Close of the Distribution Date. Effective prior to or within a reasonable time after the Distribution Date, Water Pik shall adopt, or cause to be adopted, the Water Pik Non-Employee Director Plans, for the benefit of Water Pik Non-Employee Directors. The Water Pik Non-Employee Director Plans shall be substantially similar in all Material Features to the corresponding ATI Non-Employee Director Plans as in effect on the Distribution Date. No later than April 1, 2000, Water Pik shall adopt the Water Pik 401(k) Plan and its related trust, which Water Pik 401(k) Plan shall provide for employer contributions, independent of employee contributions and expressed as a rate of participant compensation, determined appropriate by Water Pik in its sole discretion in light of Water Pik's choice not to sponsor a defined benefit plan.