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Exhibit 4-e-1
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NEW YORK LIFE INSURANCE COMPANY
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----------- A Mutual Company Founded in 1845 -----------
00 XXXXXXX XXXXXX, XXX XXXX, X. Y. 10010
Contractholder: TRUSTEES OF THE XXXXX-XXXXXXX EMPLOYEES
SAVINGS PLAN & TRUST
Effective Date: November 30, 1990
Date of Issue: Jan. 17, 1991
Contract Number: GA-06021
NEW YORK LIFE WILL PAY the benefits provided by this
Contract, subject to its terms and conditions.
This Contract is made in consideration of the payment of
Contributions in accordance with its terms and conditions.
Contract Years will be determined from the Effective Date,
which is the first day of the first Contract Year. Each such
Contract Year is a period of 12 months.
Plan means the Xxxxx-Xxxxxxx Employees Savings Plan & Trust
as amended to the Effective Date hereof. New York Life is
not a party to the Plan and its obligations are limited to
those set forth in this Contract.
The benefits, terms and conditions set forth on the
following pages are a part of this Contract.
IN WITNESS WHEREOF, New York Life has caused this Contract to
be executed as of its Date of Issue.
PARTICIPATING GROUP ANNUITY CONTRACT
FIXED DOLLAR ACCOUNT
ANNUITY BENEFITS PAYABLE IN
FIXED DOLLAR AMOUNTS
PRESIDENT
SECRETARY
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COUNTERSIGNATURE
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SECTION 1. CONTRACTUAL ACCOUNT
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1.1 CONTRIBUTIONS. Contributions are amounts received by New
York Life at its Home Office in New York City, in immediately available
funds, over a period beginning on November 30, 1990 and ending on
November 30, 1991. No contributions will be accepted under this Contract
after November 30, 1991 except that the November, 1991 contributions may
be remitted until December 31, 1991.
Contributions under this Contract will consist of: (i) a lump
sum contribution of approximately $11,879,230.00 to be received on or
about November 30, 1990, which represents maturing GIC proceeds, (ii)
gross employee and employer contributions made under the provisions of
the Plan of approximately $346,154.00 per week, beginning in November,
1990 for a total of approximately $18,000,000.00 and (iii)
rollovers from other qualified plans.
1.2 FIXED DOLLAR ACCOUNT. Contributions when received will be
credited to the Fixed Dollar Account maintained under this
Contract. The amount in the Fixed Dollar Account at any time will be
equal to the sum of all amounts credited to that account, less the sum
of all amounts withdrawn from that account.
Amounts credited to the Fixed Dollar Account will be:
(i) contributions made pursuant to Section 1.1;
(ii) interest credited pursuant to Section 1.3; and
(iii) dividends, if any, credited pursuant to Section 4.4.
Amounts withdrawn from the Fixed Dollar Account will be:
(i) amounts withdrawn as expense charges pursuant to
Section 1.4;
(ii) amounts withdrawn pursuant to the provisions of
Sections 1.7, 1.8 or 2.1; and
(iii) amounts withdrawn in order to provide pension
benefits pursuant to Section 3.
1.3 INTEREST. As of the last day of each calendar month New York
Life will credit as interest to the Fixed Dollar Account an
amount determined by applying to the average balance in the Fixed
Dollar Account for such calendar month, interest at an effective annual
rate of 9.07%.
1.4 EXPENSE CHARGE. As of the last day of each calendar month,
New York Life will withdraw from the Fixed Dollar Account as an
administrative expense charge an amount determined by
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applying to the average balance in the Fixed Dollar Account for
such calendar month expenses at an effective annual rate of 0.25%.
1.5 EFFECTIVE NET ANNUAL YIELD. The effective net annual yield
under this Contract will be 8.82% after recognition of the
expense charge pursuant to Section 1.4.
1.6 ACCUMULATION PERIOD. The Accumulation Period will begin on
the Effective Date and end on November 29, 1996.
1.7 ACCUMULATION AMOUNT. At the end of the Accumulation Period
New York Life will pay as the Accumulation Amount the then
balance in the Fixed Dollar Account, after interest has been credited
pursuant to Section 1.3 and amounts have been withdrawn pursuant to the
provisions of Sections 1.4, 1.8 or Section 3. Payment will be made in a
single sum in immediately available funds to the Contractholder or to
such other entity as the Contractholder may designate in writing.
1.8 PAYMENTS TO THE CONTRACTHOLDER. Provided that the Contract
has not yet been terminated the Contractholder, acting in
accordance with the provisions of the Plan, may direct New York Life by
written notice at any time prior to the end of the Accumulation Period
to pay an amount to the Contractholder, or to any other entity as
directed by the Contractholder in writing, from the Fixed Dollar
Account. Any such amount will be for the purpose of providing benefits
for Plan participants upon death, retirement, disability or termination
of employment occurring in the normal course of business. Active
participants may elect hardship withdrawals in accordance with the
provisions of the Plan. Terminations due to occurrences such as total
or partial plan termination, mergers, spin-offs, sales or closings of
all or part of the Plan Sponsor's operations, bankruptcy or
receivership will not be considered to be occurring in the normal
course of business. New York Life will withdraw from the Fixed Dollar
Account the amount to be paid to the Contractholder on the later of (a)
the date of receipt of written notice or (b) the date specified in such
notice, provided that
(i) the following order of withdrawals from the total
assets of the Plan held in Guaranteed Investment
Contracts has been adhered to by the Contractholder:
(a) first, from the Guaranteed Investment Contract
receiving current cash flow to the extent sufficient;
(b) second, from all other Guaranteed Investment
Contracts on a last-in, first-out basis.
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(ii) the amount withdrawn from the Fixed Dollar Account on
account of such payment pursuant to this Section 1.8
will not exceed the balance in the Fixed Dollar Account
as of the date of withdrawal, reduced by any amount
necessary to recover charges applicable pursuant to
Section 1.4.
The Contractholder will furnish New York Life with such
information as New York Life may reasonably require in connection with
requests for withdrawals under this Section 1.8.
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SECTION 2. CONTRACT TERMINATION PRIOR TO EXPIRATION OF
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ACCUMULATION PERIOD
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2.1 TERMINATION. The Contractholder may terminate this Contract
as of any business day prior to the end of the Accumulation
Period which day will be the Termination Date, provided written notice
of termination is received by New York Life at its Home Office in New
York City at least 10 business days prior to the intended Termination
Date. In no event may the Termination Date be later than the end of the
Accumulation Period as specified in Section 1.6.
New York Life will credit interest to the Fixed Dollar Account
for the period from the first day of the calendar month in which
termination occurs to the Termination Date at the rate specified in
Section 1.3, and will withdraw an administrative expense charge as
specified in Section 1.4, proportionately for the same period. New York
Life will then withdraw the balance in the Fixed Dollar Account as of
the Termination Date after these adjustments have been made and any
other withdrawals made pursuant to the provisions of Section 1.8 or
Section 3 have been accounted for and will pay, in a single sum, and in
full discharge of its obligations under this Contract, to the
Contractholder or to such other entity as the Contractholder may
designate in writing, the sum of:
(i) the amount of interest credited to the Fixed Dollar
Account from the first day of the calendar month in which
termination occurs to the Termination Date reduced by the amount
withdrawn as the administrative expense charge from the Fixed
Dollar Account as of the Termination Date, plus
(ii) the transfer amount described below.
The transfer amount will be equal to the balance in the Fixed
Dollar Account as of the Termination Date before the adjustments for
interest and administrative expense charges described above,
accumulated from the Termination Date to the end of the Accumulation
Period at the rate of interest specified in Section 1.3, less the rate
of expense charges specified in Section 1.4, and discounted from the
end of the Accumulation Period to the Termination Date at a rate equal
to the greater of (a) and (b), where
(a) is the rate of interest specified in Section 1.3, and
(b) is the yield quoted or estimated by Salomon Brothers BOND
MARKET ROUNDUP for New Issues - Industrials (long term) rated
BBB as of the Friday preceding the Termination Date, or if such
yield is not quoted by Salomon Brothers, such other recognized
independent public source of interest rates as New York Life may
reasonably select.
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2.2 PAYMENT UPON TERMINATION. After application of the terms and
provisions of Section 2.1, all funds will be transferred to the
Contractholder or to such other entity as the Contractholder may
designate in writing in a single sum. Payment will be made in
immediately available funds on the Termination Date. However, New York
Life reserves the right to defer payment for up to 60 days in which
event the single sum amount will be credited with interest at the rate
specified in Section 1.3 less the expense charges specified in Section
1.4 from the Termination Date to the date of actual payment.
2.3 BUSINESS DAY. Business Day means a day on which New York
Life is open for business.
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SECTION 3. PENSION BENEFITS
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3.1 GENERAL. Payments to the Contractholder pursuant to Sections
1.7, 1.8 and 2.2 may, at the election of the Contractholder be
applied to provide guaranteed pension benefits pursuant to the Plan by
directing New York Life, in writing, to withdraw from the Fixed Dollar
Account the amounts necessary to provide such pension benefits through
the purchase of immediate annuities, subject to the provisions of this
Section. The rates for the purchase of annuities will be the rates then
in effect, as determined by New York Life from time to time, for
contracts in the class of contracts to which this Contract belongs. In
no event, however, will any annuity purchase rate be greater than the
appropriate rate in the attached Table of Annuity Purchase Rates. No
annuity, however, will be provided if the total amount required to
purchase such annuity would be less than any minimum amount determined
by any applicable law or regulation, in which event the total amount
otherwise required for purchase will be paid in cash to the individual.
3.2 REQUIRED INFORMATION. For each person for whom an immediate
annuity is to be purchased, the Contractholder will specify in
writing to New York Life at its Home Office in New York City the amount
and form of pension benefit, the date payment is to begin, proof of age
and such other information as New York Life may require.
3.3 FORM AND AMOUNT OF BENEFIT PAYMENT. New York Life will
provide a pension benefit in the form of a life annuity that
provides monthly payments ending with the last payment due on or before
the person's death or in any other form of benefit as specified
pursuant to Section 3.2 and which is agreeable to New York Life. The
amount of any annuity benefit may not be less than $25.00 per month.
3.4 CERTIFICATES. New York Life will issue to the Contractholder
for delivery to each person for whom an annuity has been
purchased an individual retirement certificate setting forth
the amount and terms of payment of such benefit.
3.5 MISSTATEMENTS. If any facts on which the purchase of an
annuity was based have been misstated, the amount withdrawn
from the Fixed Dollar Account pursuant to Section 3.1, or the amount of
such benefit payments, or both, will be adjusted. Overpayments by New
York Life will be charged against and underpayments will be added to
any such benefit payments payable thereafter.
3.6 LIABILITY OF NEW YORK LIFE. New York Life makes no
representation and assumes no liability as to the sufficiency
of Contributions or of the Fixed Dollar Account for the benefits to be
provided under the Plan. The liability of New York Life is for the
payment of benefits as directed by the Contractholder and on the basis
of the correct withdrawal from the Fixed Dollar Account in accordance
with the terms of this Contract.
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SECTION 4. GENERAL PROVISIONS
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4.1 CONTRACT. This Contract and the application for it, a copy
of which is attached, constitute the entire Contract. No
modification of this Contract, other than one resulting from the
exercise of a right expressly reserved to New York Life will be valid
unless evidenced by an amendment to the Contract signed by the
Contractholder and by an Executive Officer of New York Life.
4.2 GRACE PERIOD. All Contributions due under the terms and
conditions of this Contract are payable to New York Life at its
Home Office in New York City in immediately available funds on or
before the dates when they are due. If any Contribution is not paid
when due, New York Life will grant a qrace period of 31 days.
4.3 ASSIGNABILITY. The Contractholder may assign this Contract,
in whole or in part, provided the assignee holds the Contract
or any interest therein as an asset of a pension, profit-sharing or
other retirement plan maintained by a corporate employer which meets
the qualification requirements of Section 401(a) of the Internal
Revenue Code, as amended, or to any other assigns provided that, in the
opinion of New York Life's legal advisor, this Contract retains its
exempt status under the Securities Act of 1933, or any other federal or
state securities laws. Any other attempted assignment of this Contract
or any interest therein will be null and void, and will not be binding
on New York Life.
A copy of any assignment of this Contract, or of any interest
therein, must be filed with New York Life. Any such assignment will be
subject to any payment made or other action taken by New York Life
before the assignment is received and acknowledged as accepted by New
York Life. New York Life assumes no responsibility for the validity of
an assignment.
No other person entitled to a benefit under this Contract will
have the right to assign, transfer, hypothecate, encumber, commute or
anticipate his interest in such benefit and, to the extent permitted by
law, no benefit will be liable to seizure or application by operation
of law to pay any debt or liability incurred by him.
4.4 DIVIDENDS. As of the last day of each contract Year, the
divisible surplus, if any, ascertained and apportioned to this
Contract as a dividend will be paid to the Contractholder or to such
other entity as the Contractholder may designate in writing.
4.5 CONSTRUCTION. In the event of any inconsistency between the
provisions of this Contract and the provisions of the Plan,
the provisions of this Contract will control.
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4.6 PLAN QUALIFICATION. This Contract is issued to the
Contractholder with the understanding that the Plan is
qualified under Section 401(a) of the Internal Revenue Code, as
amended. Any written direction by the Contractholder to New York Life
to make payment to another entity will also specify that such payment
will not impair the Plan's status as a Qualified Plan under Section
401(a) of the Internal Revenue Code, as amended.
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TABLE OF LIFE ANNUITY PURCHASE RATES
THE FOLLOWING PURCHASE RATES REPRESENT THE AMOUNT REQUIRED ON A
NON-PARTICIPATING BASIS TO PURCHASE AN IMMEDIATE LIFE ANNUITY OF $1.00 A MONTH
BEGINNING ON THE DATE OF PURCHASE.
PURCHASES MADE
PRIOR TO THE FIFTH
AGE CONTRACT ANNIVERSARY
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50 $ 222.50
51 219.02
52 215.46
53 211.81
54 208.08
55 204.26
56 200.34
57 196.33
58 192.22
59 188.00
60 183.67
61 179.23
62 174.69
63 170.05
64 165.32
65 160.51
66 155.65
67 150.75
68 145.83
69 140.92
70 136.03
NEW YORK LIFE MAY CHANGE THE PURCHASE RATES IN THIS TABLE FOR PURCHASES MADE ON
OR AFTER THE FIFTH CONTRACT ANNIVERSARY, BUT NOT MORE OFTEN THAN ONCE EVERY
FIVE YEARS
AGE FOR THE PURPOSE OF THIS TABLE IS AGE NEAREST BIRTHDAY AT ANNUITY PURCHASE
DATE.
NEW YORK LIFE WILL CALCULATE ANNUITY PURCHASE RATES FOR OTHER AGES AND ANNUITY
FORMS ON THE SAME ACTUARIAL BASIS, AND WILL FURNISH SUCH RATES ON REQUEST.
THE RATES IN THIS TABLE ARE EXCLUSIVE OF ANY STATE OR LOCAL PREMIUM TAX AND
WILL BE INCREASED TO RECOGNIZE APPROPRIATELY ANY SUCH TAX PAID OR PAYABLE BY
NEW YORK LIFE WITH RESPECT TO ANNUITY BENEFITS PURCHASED HEREUNDER.
RATE TABLE CODE: 139100
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APPLICATION
TRUSTEES OF THE XXXXX-XXXXXXX EMPLOYEES SAVINGS PLAN & TRUST as
Contractholder
whose Main Office Address is 0000 Xxxxx Xxxxxx Xxxxxx
Xxxxxxxxx, XX 00000
hereby makes application to New York Life Insurance Company, 00
Xxxxxxx Xxxxxx, Xxx Xxxx, XX 00000, for Group Annuity Xxxxxxxx Xx.
XX-00000, the terms of which are hereby approved and accepted by
the Contractholder to take effect on the Effective Date specified
in the Contract.
It is agreed that this application supersedes any Statement of
Understanding or application for this Contract previously signed by
the Contractholder.
Executed at Milwaukee, Wisconsin Contractholder
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on February 11, 1991 By /s/ XXXX X. XXXXXXX, Trustee
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(Signature and Title)
Agent:
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Countersignature:
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(Resident Licensed Agent where required)
This copy is part of the entire contract and a duplicate original of this
Application is to be returned to New York Life.
GP-App(Rev.) 11/86
