Applicable PBGC Rate definition

Applicable PBGC Rate shall have the meaning set forth in the Employment Agreement.
View Source
Applicable PBGC Rate means the applicable rate or rates for the immediate or deferred annuity benefit in question as adopted by the Pension Benefit Guaranty Corporation to determine the sufficiency of plans terminating on the first day of the Plan Year in which the lump sum is paid; provided, however, that if the present value of a lump sum benefit using such rate or rates exceeds $25,000, the "applicable PBGC rate" shall instead mean 120 percent of such rate or rates, but only to the extent that the lump sum value is not thereby reduced below $25,000.
View Source

Examples of Applicable PBGC Rate in a sentence

  • The benefit under this Section 2.5 shall equal the lump sum present value as of the date of payment, determined based on the Applicable PBGC Rate for the month of payment, of a hypothetical annual benefit of seventy percent (70%) of the Final Total Cash Compensation that would be payable in twelve (12) equal monthly installments commencing on the first day of the month following the Change in Control, and continuing on the first of each month thereafter for a total period of twenty (20) years.

  • The benefit under this Section 2.5 shall equal the lump sum present value as of the date of payment, determined based on the Applicable PBGC Rate for the month of payment, of a hypothetical annual benefit of seventy percent (70%) of the Executive’s Final Base Salary that would be payable in twelve (12) equal monthly installments commencing on the first day of the month following the Change in Control, and continuing on the first of each month thereafter for a total period of twenty (20) years.