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EXHIBIT 4.7
NONSTANDARDIZED
ADOPTION AGREEMENT
REGIONAL
PROTOTYPE MONEY PURCHASE PLAN AND TRUST
Sponsored by
MANCHESTER BENEFITS GROUP, LTD
The Employer named below hereby establishes a Money Purchase Pension Plan for
eligible Employees as provided in this Adoption Agreement and the accompanying
Regional Prototype Plan and Trust Basic Plan Document #R1.
1. EMPLOYER INFORMATION
NOTE: If multiple Employers are adopting the Plan, complete this
section based on the lead Employer. Additional Employers may
adopt this Plan by attaching executed signature pages to the
back of the Employer's Adoption Agreement.
(a) NAME AND ADDRESS:
Safeguard Scientifics, Inc.
800 The Safeguard Building
000 Xxxxx Xxxx Xxxxx
Xxxxx, XX 00000-0000
(b) TELEPHONE NUMBER: 000-000-0000
(c) TAX ID NUMBER: 00-0000000
(d) FORM OF BUSINESS:
[ ] (i) Sole Proprietor
[ ] (ii) Partnership
[x] (iii) Corporation
[ ] (iv) "S" Corporation (formerly
known as Subchapter S)
[ ] (v) Other:
(e) NAME(S) OF INDIVIDUAL(S) AUTHORIZED TO ISSUE
INSTRUCTIONS TO THE TRUSTEE/CUSTODIAN:
Xxxxxx X. Xxxxxxx and/or Xxxxxxx X. Xxxx and/or Xxxxx X. Xxxxxxx
(f) NAME OF PLAN: Safeguard Scientifics
Money Purchase Pension Plan
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(g) THREE DIGIT PLAN NUMBER
FOR ANNUAL RETURN/REPORT: 150
2. EFFECTIVE DATE
(a) This is a new Plan having an effective date of ________.
(b) This is an amended Plan.
The effective date of the original Plan was January 1,
1986.
The effective date of the amended Plan is January 1,
2000.
3. DEFINITIONS
(a) "Collective or Commingled Funds"
[x] (i) Not Applicable -
Non-Institutional Trustee.
[ ] (ii) Investment in collective or
commingled funds as permitted at paragraph 13.3(b)
of the Basic Plan Document #R1 shall only be made
to the following specifically named fund(s):
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Funds made available after the execution of this
Adoption Agreement will be listed on schedules attached to the
end of this Adoption Agreement.
(b) "Compensation" [paragraph 1.12]
(i) Compensation Measurement Period -
Compensation shall be determined on the basis of the:
[x] (1) Plan Year.
[ ] (2) Employer's Taxable Year.
[ ] (3) Calendar Year.
Compensation shall be determined on the
basis of the following safe-harbor definition of
Compensation in IRS Regulation Section 1.414(s)-1(c):
[ ] (4) Code Section 6041
and 6051 Compensation,
[ ] (5) Code Section
3401(a) Compensation, or
[x] (6) Code Section 415
Compensation.
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(ii) Application of Salary Savings Agreements:
Compensation shall exclude Employer
contributions made pursuant to a Salary Savings
Agreement under:
[ ] (1) Not applicable,
no such agreement exists.
[ ] (2) Not applicable,
no Employer contributions made pursuant to a
Salary Savings Agreement shall be excluded.
[x] (3) A Cash or
Deferred Profit-Sharing Plan under Code
Section 401(k) or Simplified Employee
Pension under Code Section 402(h)(1)(B).
[x] (4) A flexible
benefit plan under Code Section 125.
[ ] (5) A tax deferred
annuity under Code Section 403(b).
(iii) Exclusions From Compensation:
If the Employer chooses a non-integrated
allocation formula, Compensation will exclude:
[x] (1) overtime.
[x] (2) bonuses.
[x] (3) commissions.
[x] (4) Foreign service
premiums, differentials or allowances (other
than shift differentials), relocation
payments, tuition payments, patent awards,
or any other non-basic form of current
compensation.
NOTE: Any exclusion of Compensation must satisfy the requirements of
Section 1.401(a)(4) of the Income Tax Regulations and Code
Section 414(s) and the regulations thereunder.
(iv) Maximum Compensation
For purposes of the Plan, Compensation shall
be limited to $ N/A, the maximum amount which will be
considered for Plan purposes. [If an amount is
specified, it will limit the amount of contributions
allowed on behalf of higher compensated Employees.
Completion of this section is not intended to coordinate
with the $200,000 limit of Code Section 415(d), thus the
amount should be less than the $200,000 limit as
adjusted for cost-of-living increases.]
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(c) "Entry Date" [paragraph 1.30]
[ ] (i) The first day of the Plan Year
during which an Employee meets the eligibility
requirements.
[ ] (ii) The first day of the Plan Year
nearest the date on which an Employee meets the
eligibility requirements.
[x] (iii) The first day of the month
coinciding with or following the date on which an
Employee meets the eligibility
[ ] (iv) The earlier of the first day
of the Plan Year or the first day of the seventh
month of the Plan Year coinciding with or following
the date on which an Employee meets the eligibility
requirements.
[ ] (v) The first day of the Plan Year
following the date on which the Employee meets the
eligibility requirements. If this election is made,
the Service requirement at 4(a)(ii) may not exceed
1/2 year and the age requirement at 4(b)(ii) herein
may not exceed 20 1/2.
[ ] (vi) The first day of the Plan
Year, or the first day of the fourth month, the
seventh month or the tenth month of the Plan Year
coinciding with or following the date on which an
Employee meets the eligibility requirements.
(d) "Hour of Service" [paragraph 1.41]
Shall be determined on the basis of the method selected
below. Only one method may be selected. The method selected
shall be applied to all Employees covered under the Plan as
follows:
[x] (i) On the basis of actual hours
for which an Employee is paid or entitled to
payment.
[ ] (ii) On the basis of days worked.
An Employee shall be credited
with ten (10) Hours of Service if under paragraph
1.41 of the Basic Plan Document #R1 such Employee
would be credited with at least one (1) Hour of
Service during the day.
[ ] (iii) On the basis of weeks worked.
An Employee shall be credited
with forty-five (45) Hours of Service if under
paragraph 1.41 of the Basic Plan Document #R1 such
Employee would be credited with at least one (1)
Hour of Service during the week.
[ ] (iv) On the basis of semi-monthly
payroll periods.
An Employee shall be credited
with ninety-five (95) Hours of Service if under
paragraph 1.41 of the Basic Plan Document #R1 such
Employee would be credited with at least one (1)
Hour of Service during the semi-monthly payroll
period.
[ ] (v) On the basis of months worked.
An Employee shall be credited
with one-hundred-ninety (190) Hours of Service if
under paragraph 1.41 of the Basic Plan Document
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#R1 such Employee would be credited with at least
one (1) Hour of Service during the month.
(e) "Limitation Year" [paragraph 1.44]
The 12-consecutive month period commencing on January 1
and ending on December 31.
If applicable, the Limitation Year will be a short
Limitation Year commencing on ______ and ending on ______.
Thereafter, the Limitation Year shall end on the date last
specified above.
(f) "Plan Year" [paragraph 1.57]
The 12-consecutive month period commencing on January 1
and ending on December 31.
If applicable, the Plan Year will be a short Plan Year
commencing on ______ and ending on ______. Thereafter, the Plan
Year shall end on the date last specified above.
(g) "Qualified Early Retirement Age"
For purposes of making distributions under the
provisions of a Qualified Domestic Relations Order, the Plan's
Qualified Early Retirement Age with regard to the Participant
against whom the order is entered [x] shall [ ] shall not be the
date the order is determined to be qualified. If "shall" is
elected, this will only allow payout to the alternate payee(s).
(h) "Qualified Joint and Survivor Annuity"
The survivor annuity shall be 50 % (50%, 66-2/3%, 75% or
100%) of the annuity payable during the lives of the Participant
and Spouse. If no answer is specified, 50% will be used.
(i) "Taxable Wage Base" [paragraph 1.63]
[x] (i) Not Applicable - Plan is not
integrated with Social Security.
[ ] (ii) The maximum earnings
considered wages for such Plan Year under Code
Section 3121(a).
[ ] (iii) _____% (not more than 100%) of
the amount considered wages for such Plan Year
under Code Section 3121(a).
[ ] (iv) $______, provided that such
amount is not in excess of the amount determined
under paragraph 3(i)(ii) above.
[ ] (v) For the 1989 Plan Year
$10,000. For all subsequent Plan Years, 20% of the
maximum earnings considered wages for such Plan
Year under Code Section 3121(a).
NOTE: Using less than the maximum may result in a change in the
allocation formula in Section 6 hereof.
(j) "Valuation Date(s)" Allocations to Participant Accounts
will be done in accordance with Article V of the Basic Plan
Document #R1:
[x] (i) Daily (Effective 12/1/2000) [ ] (v) Quarterly
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[ ] (ii) Weekly [ ] (vi) Semi-Annually
[ ] (iii) Monthly [ ] (vii) Annually
[ ] (iv) Bi-Monthly
(k) "Year of Service"
(i) For Eligibility Purposes: The 12-consecutive
month period during which an Employee is credited with 1
(not more than 1,000) Hours of Service.
(ii) For Allocation Accrual Purposes: The
12-consecutive month period during which an Employee is
credited with 1000 (not more than 1,000) Hours of Service.
(iii) For Vesting Purposes: The 12-consecutive
month period during which an Employee is credited with
1000 (not more than 1,000) Hours of Service.
4. ELIGIBILITY REQUIREMENTS [Article II]
(a) Service:
[x] (i) The Plan shall have no service
requirement.
[ ] (ii) The Plan shall cover only
Employees having completed at least [not more than
three (3)] Years of Service. If three is specified,
it will automatically be deemed to be two (2) for
all Plan Years beginning in 1989 and later.
NOTE: If the eligibility period exceeds one (1) Year of
Service, the vesting provisions at Section 11 herein
must be completed to provide a 100% vested and
nonforfeitable benefit upon participation. If the
Year(s) of Service selected is or includes a fractional
year, an Employee will not be required to complete any
specified number of Hours of Service to receive credit
for such fractional year.
(b) Age:
[x] (i) The Plan shall have no minimum
age requirement.
[ ] (ii) The Plan shall cover only
Employees having attained age ______ (not more than
age 21).
(c) Classification:
The Plan shall cover all Employees who have met the age
and service requirements with the following exceptions:
[ ] (i) No exceptions.
[x] (ii) The Plan shall exclude
Employees included in a unit of Employees covered
by a collective bargaining agreement between the
Employer and Employee Representatives, if
retirement benefits were the subject of good faith
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bargaining. For this purpose, the term "Employee
Representative" does not include any organization
more than half of whose members are Employees who
are owners, officers, or executives of the
Employer.
[x] (iii) The Plan shall exclude
Employees who are nonresident aliens and who
receive no earned income from the Employer which
constitutes income from sources within the United
States.
[x] (iv) The Plan shall exclude from
participation any classification of Employees
determined as follows:
leased employees, employees of
other members of the controlled group of employers
(as defined under Code Sections 414(b), (c), (m)
and (0)).
(d) Employees on Effective Date:
[x] (i) Not Applicable. All Employees
will be required to satisfy both the age and
Service requirements specified above.
[ ] (ii) Employees employed on the
Plan's Effective Date do not have to satisfy the
Service requirements specified above.
[ ] (iii) Employees employed on the
Plan's Effective Date do not have to satisfy the
Age requirements specified above.
5. RETIREMENT AGES
(a) Normal Retirement Age:
If the Employer imposes a requirement that Employees
retire upon reaching a specified age, the Normal Retirement Age
selected below may not exceed the Employer imposed mandatory
retirement age.
[x] (i) Normal Retirement Age shall be
65 (not to exceed age 65).
[ ] (ii) Normal Retirement Age shall be
the later of attaining age (not to exceed age 65)
or the (not to exceed the 5th) anniversary of the
first day of the first Plan Year in which the
Participant commenced participation in the Plan.
(b) Early Retirement Age:
[x] (i) Not Applicable.
[ ] (ii) The Plan shall have an Early
Retirement Age of ______ (not less than 55) and
completion of ______ Years of Service.
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6. EMPLOYER CONTRIBUTION AND ALLOCATION FORMULA
NOTE: The integrated allocation formulas below are for Plan Years beginning
in 1989 and later. The Employer's allocation for earlier years shall be
as specified in its Plan prior to Amendment for the Tax Reform Act of
1986.
Employer Contributions will be allocated in accordance with the method
selected below. If in Section 9 herein, the Employer elects to allocate
forfeitures, they will be treated as additional Employer Contributions
and allocated accordingly.
[x] (a) Non-Integrated Contribution and Allocation
Formula [See Minimum Contributions under Top-Heavy Plans
at Section 7].
The Employer shall contribute and allocate
to the account of each eligible Participant, 4.5 % (not
more than 25%) of such Participant's Compensation, plus
any forfeitures (only if they are reallocated to
Participants under Section 9), in such Plan Year.
[ ] (b) Integrated Contribution and Allocation
Formula [See Minimum Contributions under Top-Heavy Plans
at Section 7].
The Employer shall contribute ____% of each
Participant's Compensation for the Plan Year.
Contributions plus any forfeitures (only if they are
reallocated to Participants under Section 9), will be
allocated to each Participant's account as follows:
(i) First, to the extent
contributions and forfeitures are sufficient, all
Participants will receive an allocation equal to 3%
of their Compensation.
(ii) Next, any remaining Employer
Contributions and forfeitures will be allocated to
Participants who have Compensation in excess of the
Taxable Wage Base (excess Compensation). Each such
Participant will receive an allocation in the ratio
that his or her excess Compensation bears to the
excess Compensation of all Participants.
Participants may only receive an allocation of 3%
of excess Compensation.
(iii) Next, any remaining Employer
contributions and forfeitures will be allocated to
all Participants in the ratio that their
Compensation plus excess Compensation bears to the
total Compensation plus excess Compensation of all
Participants. Participants may only receive an
allocation of up to 2.7% of their Compensation plus
excess Compensation, under this allocation method.
If the Taxable Wage Base as defined at Section 3(i)
above is less than the maximum, but more than the
greater of $10,000 or 20% of the maximum, then the
2.7% must be reduced. If the amount specified is
greater than 80% but less than 100% of the maximum
Taxable Wage Base, the 2.7% must be reduced to
2.4%. If the amount specified is greater than the
greater of $10,000 or 20% of the maximum Taxable
Wage Base, but not more than 80%, 2.7% must be
reduced to 1.3%.
NOTE: If the Plan is not Top-Heavy, sub-paragraphs (i)
and (ii) above may be disregarded and 5.7%, 5.4%
or 4.3% may be substituted for 2.7%, 2.4% or 1.3%
where it appears in (iii) above.
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(iv) Next, any remaining Employer
contributions or forfeitures will be allocated to
all Participants (whether or not they received an
allocation under the preceding paragraphs) in the
ratio that each Participant's Compensation bears to
all Participants' Compensation.
[ ] (c) Alternative Integrated Allocation Formula
[See Minimum Contributions Under Top-Heavy Plans at
Section 7].
The Employer shall contribute and allocate
to the account of each eligible Participant ____% of each
eligible Participant's Compensation plus ____% of
Compensation in excess of the Taxable Wage Base defined at
Section 3(i) hereof. The percentage on excess compensation
may not exceed the lesser of (i) the amount first
specified in this paragraph or (ii) the greater of 5.7% or
the percentage rate of tax under Code Section 3111(a) as
in effect on the first day of the Plan Year attributable
to the Old Age (OA) portion of the OASDI provisions of the
Social Security Act. If this allocation formula is used
for Top-Heavy Plans, the first blank may not be less than
3%. If the Employer specifies a Taxable Wage Base in
Section 3(i) which is lower than the Taxable Wage Base for
Social Security purposes (SSTWB) in effect as of the first
day of the Plan Year, the percentage contributed with
respect to excess Compensation must be adjusted. If the
Plan's Taxable Wage Base is greater than the larger of
$10,000 or 20% of the SSTWB but not more than 80% of the
SSTWB, the excess percentage is 4.3%. If the Plan's
Taxable Wage Base is greater than 80% of the SSTWB but
less than 100% of the SSTWB, the excess percentage is
5.4%.
If forfeitures are reallocated pursuant to
Section 9, they will be allocated pro-rata based on the
Participant's Compensation as a percentage of the
Compensation of all Participants.
NOTE: Only one plan maintained by the Employer may be
integrated with Social Security.
(d) Allocation of Excess Amounts (Annual
Additions)
In the event that the allocation formula
above results in an Excess Amount, such excess shall be:
[ ] (i) placed in a
suspense account accruing no gains or losses
for the benefit of the Participant.
[x] (ii) reallocated as
additional Employer contributions to all
other Participants to the extent that they
do not have an Excess Amount. .
If no answer is specified, the suspense account method
will be used.
7. MINIMUM CONTRIBUTIONS UNDER TOP-HEAVY PLANS
Notwithstanding any other provision herein, the Employer shall make a
minimum contribution for each eligible Participant with respect to any
Plan Year for which the Plan is Top-Heavy. The minimum contribution
shall be determined in accordance with paragraph 14.2 of Basic Plan
Document #R1 for:
[ ] (a) all eligible Participants.
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[x] (b) only eligible non-Key Employees who are
Participants.
8. ALLOCATIONS TO TERMINATED EMPLOYEES [paragraph 5.3]
[ ] (a) The Employer will not allocate Employer
related contributions to Employees who terminate during a
Plan Year, unless required to satisfy the requirements of
Code Sections 401(a)(26) and 410(b). (The requirements are
effective for 1989 and subsequent Plan Years).
[x] (b) The Employer will allocate Employer related
contributions to Employees who terminate during the Plan
Year as a result of:
[x] (i) Retirement.
[x] (ii) Disability.
[x] (iii) Death.
[ ] (iv) Other termination
of employment provided that the Participant
has completed a Year of Service as defined
for Allocation Accrual purposes.
[ ] (v) Other termination
of employment even though the Participant
has not completed a Year of service.
[ ] (vi) Termination of
employment (for any reason) provided that
the Participant had completed a Year of
Service for Allocation Accrual.
9. ALLOCATION OF FORFEITURES
(a) Allocation Alternatives:
[ ] (i) Not Applicable. All
contributions are always fully vested.
[ ] (ii) Forfeitures shall be allocated
to Participants in the same manner as the
Employer's contribution.
[x] (iii) Forfeitures shall be applied
to reduce the Employer's contribution for such Plan
Year.
[ ] (iv) Forfeitures shall be applied
to offset administrative expenses of the Plan. If
forfeitures exceed these expenses (iii) above will
apply.
(b) Date for Reallocation:
NOTE: If no distribution has been made to a former Participant
sub-section (i) will apply to such Participant even if the
Employer elects (ii), (iii) or (iv) below as its normal
administrative policy.
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[ ] (i) Forfeitures shall be
reallocated at the end of the Plan Year during
which the former Participant incurs his or her
fifth consecutive one year Break In Service.
[ ] (ii) Forfeitures will be
reallocated immediately (as of the next Valuation
Date).
[ ] (iii) Forfeitures shall be
reallocated at the end of the Plan Year during
which the former Participant incurs his or her
______ (1st, 2nd, 3rd, or 4th) consecutive one year
Break In Service.
[x] (iv) Forfeitures will be
reallocated immediately (as of the Plan Year end).
(c) Restoration of Forfeitures:
If amounts are forfeited prior to five consecutive
1-year Breaks in Service, the Funds for restoration of account
balances will be obtained from the following resources in the
order indicated (fill in the appropriate number):
[1] (i) Current year's forfeitures.
[2] (ii) Additional Employer contribution.
[ ] (iii) Income or gain to the Plan.
10. LIMITATIONS ON ALLOCATIONS [Article X]
[ ] This is the only Plan the Employer maintains or ever
maintained; therefore, this Section is not applicable.
[x] The Employer does maintain or has maintained another
Plan (including a Welfare Benefit Fund or an individual medical
account [as defined in Code Section 415(l)(2)], under which
amounts are treated as Annual Additions) and has completed the
proper sections below.
Complete (a), (b) and (c) only if you maintain or ever maintained
another qualified plan, including a Welfare Benefit Fund or an
individual medical account [as defined in Code Section 415(l)(2)], in
which any Participant in this Plan is (or was) a participant or could
possibly become a participant.
(a) If the Participant is covered under another qualified
Defined Contribution Plan maintained by the Employer, other than
a Regional Prototype Plan:
[x] (i) The provisions of Article X of
the Basic Plan Document #R1 will apply, as if the
other plan were a Regional Prototype Plan.
[ ] (ii) Attach provisions stating the
method under which the plans will limit total
Annual Additions to the Maximum Permissible Amount,
and will properly reduce any Excess Amounts, in a
manner that precludes Employer discretion.
(b) If a Participant is or ever has been a participant in a
Defined Benefit Plan maintained by the Employer:
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Attach provisions which will satisfy the 1.0 limitation
of Code Section 415(e). Such language must preclude Employer
discretion. The Employer must also specify the interest and
mortality assumptions used in determining Present Value in the
Defined Benefit Plan.
(c) The minimum contribution or benefit required under Code
Section 416 relating to Top-Heavy Plans shall be satisfied by:
[x] (i) This Plan.
[ ] (ii) _________________
(Name of other qualified plan
of the Employer).
[ ] (iii) Attach provisions stating the
method under which the minimum contribution and
benefit provisions of Code Section 416 will be
satisfied. If a Defined Benefit Plan is or was
maintained, an attachment must be provided showing
interest and mortality assumptions used in
determining the Top-Heavy Ratio.
11. VESTING [Article IX] (Effective 12/1/2000)
Each Participant shall acquire a vested and nonforfeitable percentage in
his or her account balance attributable to Employer contributions and
the earnings thereon under the procedures selected below except with
respect to any Plan Year during which the Plan is Top-Heavy, in which
case the Two-twenty vesting schedule [option (b)(iv)] shall
automatically apply unless the Employer has already elected a faster
vesting schedule. If the Plan is switched to option (b)(iv), because of
its Top-Heavy status, that vesting schedule will remain in effect even
if the Plan later becomes non-Top-Heavy until the Employer executes an
amendment of this Adoption Agreement indicating otherwise.
(a) Computation Period:
The computation period for purposes of determining Years
of Service and Breaks in Service for purposes of computing a
Participant's nonforfeitable right to his or her account balance
derived from Employer contributions:
[ ] (i) shall not be applicable since
Participants are always fully vested,
[ ] (ii) shall commence on the date on
which an Employee first performs an Hour of Service
for the Employer and each subsequent 12-consecutive
month period shall commence on the anniversary
thereof, or
[x] (iii) shall commence on the first
day of the Plan Year during which an Employee first
performs an Hour of Service for the Employer and
each subsequent 12-consecutive month period shall
commence on the anniversary thereof.
A Participant shall receive credit for a Year of Service if he or she
completes at least 1,000 Hours of Service [or if lesser, the number of
hours specified at 3(k)(iii) of this Adoption Agreement] at any time
during the 12-consecutive month computation period. Consequently, a Year
of Service may be earned prior to the end of the
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12-consecutive month computation period and the Participant need not be
employed at the end of the 12-consecutive month computation period to
receive credit for a Year of Service.
(b) Vesting Schedules:
NOTE: The vesting schedules below only apply to a Participant who has
at least one Hour of Service during or after the 1989 Plan
Year. If applicable, Participants who separated from Service
prior to the 1989 Plan Year will remain under the vesting
schedule as in effect in the Plan prior to amendment for the
Tax Reform Act of 1986.
[ ] (i) Full and immediate vesting.
Years of Service
1 2 3 4 5 6 7
--- --- --- --- --- --- ---
[ ] (ii) % 100%
[ ] (iii) % % 100%
[ ] (iv) % 20% 40% 60% 80% 100%
[ ] (v) % % 20% 40% 60% 80% 100%
[ ] (vi) 10% 20% 30% 40% 60% 80% 100%
[x] (vii) 20% 40% 60% 80% 100%
-- -- -- --
[ ] (viii) % % % % % % 100%
NOTE: The percentages selected for schedule (viii) may not be less
for any year than the percentages shown at schedule (v).
(c) Service disregarded for Vesting:
[x] (i) Not Applicable. All Service
shall be considered.
[ ] (ii) Service prior to the Effective
Date of this Plan or a predecessor plan shall be
disregarded when computing a Participant's vested
and nonforfeitable interest.
[ ] (iii) Service prior to a Participant
having attained age 18 shall be disregarded when
computing a Participant's vested and nonforfeitable
interest.
12. SERVICE WITH PREDECESSOR ORGANIZATION
For purposes of satisfying the Service requirements for eligibility,
Hours of Service shall include Service with the following predecessor
organization(s): (These hours will also be used for vesting purposes.)
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13. ROLLOVER/TRANSFER CONTRIBUTIONS
(a) Rollover Contributions, as described at paragraph 4.3 of
the Basic Plan Document #R1, [x] shall [ ] shall not be
permitted. If permitted, Employees [x] may [ ] may not make
Rollover Contributions prior to meeting the eligibility
requirements for participation in the Plan.
(b) Transfer Contributions, as described at paragraph 4.4 of
the Basic Plan Document #R1, [x] shall [ ] shall not be
permitted. If permitted, Employees [x] may [ ] may not make
Transfer Contributions prior to meeting the eligibility
requirements for participation in the Plan.
14. HARDSHIP WITHDRAWALS
Hardship withdrawals, as provided for in paragraph 6.9 of the Basic Plan
Document #R1 are not permitted.
15. PARTICIPANT LOANS
Participant loans, as provided for in paragraph 13.4 of the Basic Plan
Document #R1, [ ] are [x] are not permitted. If permitted, repayments of
principal and interest shall be repaid to [ ] the Participant's
segregated account or [ ] the general Fund.
16. INSURANCE POLICIES
The insurance provisions of paragraph 13.5 of the Basic Plan Document
#R1, [ ] shall [x] shall not be applicable.
17. EMPLOYER INVESTMENT DIRECTION
The Employer investment direction provisions, as set forth in paragraph
13.6 of the Basic Plan Document #R1, [x] shall [ ] shall not be
applicable.
18. EMPLOYEE INVESTMENT DIRECTION
The Employee investment direction provisions, as set forth in paragraph
13.7 of the Basic Plan Document #R1, [x] shall [ ] shall not be
applicable.
If applicable, Participants may direct their investments:
[ ] (i) among funds offered by the Trustee.
[x] (ii) among any allowable investments.
Participants may direct the following kinds of contributions and the
earnings thereon (check all applicable):
[x] (i) All contributions.
[ ] (ii) Employer Contributions.
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[ ] (iii) Voluntary Contributions.
[ ] (iv) Mandatory Contributions.
[ ] (v) Rollover Contributions.
[ ] (vi) Transfer Contributions.
[ ] (vii) All above which are checked, but only to the
extent that Participant is vested in those contributions.
19. EARLY PAYMENT OPTION
(a) A Participant who separates from Service prior to
retirement, death or Disability [x] may [ ] may not make
application to the Employer requesting an early payment of his
or her vested account balance.
(b) A Participant who has attained the Plan's Normal
Retirement Age and who has not separated from Service [x] may [
] may not receive a distribution of his or her vested account
balance.
NOTE: If the Participant has had the right to withdraw his or her
account balance above in the past, this right may not be taken
away. Notwithstanding the above, to the contrary, required
minimum distributions will be paid. For timing of distribution
see item 20(a) below.
20. DISTRIBUTION OPTIONS
(a) Timing of Distributions:
In cases of termination for other than death, Disability or
retirement, benefits shall be paid:
[x] (i) As soon as administratively
feasible, following the close of the valuation
period during which a distribution is requested or
is otherwise payable.
[ ] (ii) As soon as administratively
feasible following the close of the Plan Year
during which a distribution is requested or is
otherwise payable.
[ ] (iii) As soon as administratively
feasible, following the date on which a
distribution is requested or is otherwise payable.
[ ] (iv) As soon as administratively
feasible, after the close of the Plan Year during
which the Participant incurs ______ consecutive
one-year Breaks in Service.
[ ] (v) Only after the Participant has
achieved the Plan's Normal Retirement Age, or Early
Retirement Age, if applicable.
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In cases of death, Disability or retirement, benefits shall be
paid:
[x] (vi) As soon as administratively
feasible, following the close of the valuation
period during which a distribution is requested or
is otherwise payable.
[ ] (vii) As soon as administratively
feasible following the close of the Plan Year
during which a distribution is requested or is
otherwise payable.
[ ] (viii) As soon as administratively
feasible, following the date on which a
distribution is requested or is otherwise payable.
(b) Optional Forms of Payment:
[x] (i) Lump Sum.
[x] (ii) Installment Payments.
[x] (iii) Life Annuity.
[x] (iv) Life Annuity Term Certain.
Life Annuity with payments
guaranteed for 10 years (not to exceed 20 years,
specify all applicable).
[x] (v) Joint and [x] 50%, [x]
66-2/3%, [x] 75% or [x] 100%) survivor annuity
(specify all applicable).
[ ] (vi) Other form(s) specified:______
(c) Recalculation of Life Expectancy:
In determining required distributions under the Plan,
Participants and/or their Spouse (Surviving Spouse) [x] shall
[ ] shall not have the right to have their life expectancy
recalculated annually.
If "shall",
[ ] only the Participant shall be recalculated.
[x] both the Participant and Spouse shall be
recalculated.
[ ] who is recalculated shall be determined by
the Participant.
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21. SIGNATURES
(a) EMPLOYER:
Name and address of Employer if different than specified in item
1 above.
This agreement and the corresponding provisions of the
Plan and Trust Basic Plan Document #R1 were adopted by the
Employer the _____ day of _______, 20 ____.
Signed for the Employer by:
Title:
Signature:
-------------------------------------
The Employer understands that its failure to properly
complete the Adoption Agreement may result in disqualification
of its Plan.
Employer's Reliance: The adopting Employer may not rely
on a notification letter issued by the National Office of the
Internal Revenue Service as evidence that the Plan is qualified
under Code Section 401. In order to obtain reliance with respect
to Plan qualification, the Employer must apply to the
appropriate Key District Office for a determination letter.
This Adoption Agreement may only be used in conjunction
with Basic Plan Document #R1.
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(b) TRUSTEE:
Name of Trustee:
Xxxxxx X. Xxxxxxx, Xxxxxxx X. Xxxx and Xxxxx X. Xxxxxxx
The Employer's Plan as contained herein was accepted by
the Trustee(s) the _____ day of _______, 20 ____.
Signed for the Trustee by: Xxxxxx X. Xxxxxxx, Xxxxxxx X. Xxxx and
Xxxxx X. Xxxxxxx
Title:
Signature:
--------------------------------------------
(c) SPONSOR:
The Employer's Agreement and the corresponding
provisions of the Plan and Trust/Custodial Account Basic Plan
Document #R1 were accepted by the Sponsor the ____ day of
_______, 20 ____.
Signed for the Sponsor by: Xxxx X. Xxx Xxxxx
Title: President
Signature:
--------------------------------------------
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