Article 6 – Retirement Income

6.1 Normal Retirement Income

An Employee retiring on or after his Normal Retirement Date will be entitled to receive a monthly amount of Normal Retirement Income equal to the sum of his Past Service Benefit and his Future Service Benefit, determined in the following manner:

6.1.1 Past Service Benefit.
An Employee’s Past Service Benefit will be equal to $4.00 for each year of Credited Past Service.

6.1.2 Future Service Benefit.
Subject to the provisions of subparagraphs (f), (g) and (h) below, the Future Service Benefit shall be as follows:

1. Effective June 1, 2000, a Rule of 80 surcharge as adopted by the Board and recommended by the Plan Actuary, will be imposed to fund the Rule of 80 cost to the Plan. This amount, expressed in cents per hour, or a percentage of contributions, will reduce the Employer Contribution used to determine Future Service Benefits
   
   
2. Subject to paragraph (a) above, for years beginning January 1, 2004 and thereafter, the future Service Benefit shall be accrued at 1.5 percent of Employer Contributions, unless other action is taken by the Board of Trustees.
   
   
3. For years beginning January 1, 1996 through December 31, 2003, the Future Service Benefit shall accrue at 4.0 percent of Employer Contributions.
   
   
4. For years beginning January 1, 1988 though January 1, 1995, the Future Service Benefit shall be accrued at 5.0 percent of Employer Contributions.
   
   
5. The Future Service Benefit for years of service from January 1, 1960 through December 31, 1987, shall be accrued at 4.0 percent of Employer Contributions made or required to be made for all Employees who have earned 750 or more Hours of Service in the three (3) consecutive year period commencing after December 31, 1985. For all other Employees, the Future Service Benefit for years of service from January 1, 1960 through December 31, 1987, shall be as follows:
    
   

   Future Service
   Years	Benefit Factor
   1960-1983	3.308% of contributions
   1984	3.722% of contributions
   1985	3.544% of contributions
   1986-1987	3.375% of contributions

6. Commencing January 1, 1984, persons who retired prior to January 1, 1984, received a 7.5 percent increase in their monthly pension. Commencing January 1, 1985, for all accrued benefits under the Plan, retired Employees received a 5.0 percent increase in their monthly pension. Commencing January 1, 1986, for all accrued benefits under the Plan, retired Employees received a 5.0 percent increase in their monthly pension. Commencing January 1, 1987, for all accrued benefits under the Plan, retired Employees received a 12.0 percent increase in their monthly pension, but with a maximum increase of $18.00 per month for retired Employees receiving $150.00 or more per month. Commencing December 1, 1990, for all accrued benefits under the Plan, retired Employees received a 20.0 percent increase in their monthly pension, but with a maximum increase of $28.00 per month for retired Employees receiving $140.00 or more per month.
   
   
7. Notwithstanding subparagraphs (a) through (f) above:
   
   
   1. No benefit shall be credited to any Employee with respect to any Plan Year in which the Employee has less than 500 Hours of Service; provided, however, effective with retirements commencing on or after January 1, 1988, an Employee who retires shall be credited with all Hours of Service accrued under this Plan and not lost because of a Break in Service, notwithstanding the Employee failed to earn 500 Hours of Service in a particular year; and
      
      
   2. Retirement benefits will be in the following amounts for contributions from January 1, 1960 through December 31, 1985, if greater:
      
      
      1. From January 1, 1960 through December 31, 1964, an amount equal to $3.00 for each whole year of Credited Future Service and $1.50 for each one-half year of Credited Future Service.
         
         
      2. From January 1, 1965 to December 31, 1965, an amount equal to $4.50 per month for the Employee who is credited with 1,000 or more Hours of Service. The Employee who is credited with 750 or more Hours of Service and less than 1,000 hours will earn a Retirement Benefit of $3.38 per month, and the Employee who is credited with 500 or more Hours of Service and less than 750 hours will earn a Retirement Benefit of $2.25 per month.
8. Notwithstanding any provision to the contrary, and to the extent required by applicable law, an Employee shall be entitled to Future Service Benefit accrual for periods of service with the Armed Forces of the United States.

6.1.3 Late Retirement Benefit.
If an Employee continues working beyond the date on which he would be eligible for normal retirement, the Employee shall be eligible for a late retirement benefit, which is the Employee’s normal retirement benefit, increased by the Credited Future Service earned after his normal retirement date. Upon late retirement, the Employee’s monthly benefit (and if applicable, the Employee’s spouse’s monthly benefit), shall be actuarially increased by 1/2 of 1% (6% per year) for each full month the Employee’s retirement is postponed after the Employee’s normal retirement date.

6.2 Early Retirement Income

6.2.1 Regular Early Retirement.
The monthly amount of Early Retirement Income payable to an Employee retiring under the Regular Early Retirement of Article 4.2.1 shall be equal to his Normal Retirement Income, based upon his years of Credited Service at the date of his Early Retirement, reduced to reflect the fact that payments will commence earlier, and might be paid for a longer period than they would if he had retired on his Normal Retirement Date. The percentage reduction for each month prior to Normal Retirement shall be one-fourth (1/4) of one (1) percent (.25%) per month from ages 60 to 65, and one-half (1/2) of one (1) percent (.50%) per month from ages 55 to 60.

6.2.2 Special Early Retirement.
The monthly amount of Early Retirement Income payable to an Employee retiring under Special Early Retirement of Article 4.2.2 shall be equal to his Normal Retirement Income, based upon his years of Credited Service at the date of his Early Retirement, and reduced if he has not attained age 62 as of the Special Early Retirement Date. The percentage reduction for each month prior to age 62 shall be one-fourth (1/4) of one (1) percent (.25%) per month from ages 59 to 62, and one-half (1/2) of one (1) percent (.50%) per month from ages 55 to 59.

6.2.3 Rule of 80 Early Retirement

1. General. The monthly amount of Early Retirement Income payable to an Employee retiring under Rule of 80 Early Retirement of Article 4.2.3 shall be equal to the Employee’s Normal Retirement Income, based upon his years of Credited Service at the date of his Rule of 80 Early Retirement.
   
   
2. Return to Work. The pension of any Employee who takes the Rule of 80 Early Retirement under this Plan and who subsequently becomes employed in post-retirement service as described in Article 6.4.1(a), will be suspended pursuant to Article 6.4. When retirement income payments resume, the Employee’s benefit level will be calculated using the reduction factors of a Regular Early Retirement as set forth in Article 6.2.1, calculated from the date of the Employee’s Rule of 80 Early Retirement.

6.3 Disability Retirement Income

The monthly amount of Disability Retirement Income payable to an Employee who has retired or hereafter retires in accordance with the provisions of Article 4.3 and Article 7 shall be the amount determined as in the case of a Normal Retirement, and will be based upon the total Credited Service of such Employee under this Plan. The monthly Disability Retirement Income of an Employee who becomes totally and permanently disabled on and after June 1, 1978 shall be reduced from disability age to age 65 by a factor of one-fourth (1/4) of one (1) percent (.25%) for each month of disability age prior to age 65; except that the Disability Retirement Income for an Employee who becomes disabled after June 1, 1978, shall not be reduced more than thirty (30) percent over the Disability Retirement Income benefit in effect prior to June 1, 1978.

6.4 Suspension of Pension Payments

6.4.1
The pension of an Employee who takes Early or Normal Retirement under this Plan and who subsequently becomes employed in post-retirement service of the type described below shall be suspended for any calendar month of such employment as follows:

1. Before Age 65. To be deemed retired prior to attainment of age 65, an Employee must not work anywhere for wages or profit in the building and construction industry, for 40 hours or more during any calendar month, or during each four- or five-week payroll period ending in a calendar month, provided however, for the period beginning January 1, 2001 through December 31, 2004, an Employee may choose instead to work 480 hours during that calendar year, subject to the restriction that for this period if an Employee who chooses this option works more than 480 hours in any of the 2001-2004  calendar years, the Employee shall not be eligible for monthly retirement income payments until the fourth month after the month the Employee’s post-retirement service exceeds 480 hours in any such calendar year (2001-2004) or for any subsequent month in which the retiree works one (1) or more hours after exceeding 480 hours in any such calendar year (2001-2004).
   
   

   480-Hour Rule The Board of Trustees adopted the 480 Hour Rule several years ago and extended it on a year-by-year basis. Beginning January 1, 2006, the 480 Hour Rule will be permanent. The rule applies to retirees under age 65 as well as retirees age 65 and older. See June 2006 Carpenters Care Newsletter.

   
   
2. After Age 65. To be deemed retired on and after attainment of age 65, an Employee must not work in the building and construction industry 40 hours or more during any calendar month, or during each four- or five-week payroll period ending in a calendar month in the geographic area covered by the Plan.
   
   

   480-Hour Rule The Board of Trustees adopted the 480 Hour Rule several years ago and extended it on a year-by-year basis. Beginning January 1, 2006, the 480 Hour Rule will be permanent. The rule applies to retirees under age 65 as well as retirees age 65 and older. See June 2006 Carpenters Care Newsletter.

   
   
3. For purposes of Article 6.4.1(a) and (b), the terms “building and construction industry,” and “work in the building and construction industry” are defined as follows:
   
   
   1. Building and construction industry means business activities of the types engaged in by any employers maintaining the Plan.
      
      
   2. Work means work of the type performed by employees or associate employees covered by the Plan or work which requires directly or indirectly the use of the same skills employed by an employee at any time under the Plan.

Notwithstanding the foregoing, no benefits shall be suspended during any period for which they are required to be paid pursuant to the provisions of Article 6.12.4.

6.4.2
An hour of post-retirement service shall be determined in accordance with Department of Labor Regulation 2530.203-3.

6.4.3
The Administrator shall notify each affected Employee of the reasons for the suspension of retirement income payments during the first calendar month that such payments are suspended.

6.4.4
An Employee who engages in any post-retirement service shall notify the Administrator during the first calendar month that such service commences. If an Employee fails to notify the Administrator of post-retirement service and the Administrator is made aware of such service, retirement income payments shall be suspended on the basis of a presumption that any service by the Employee during each month prior to notification of post-retirement service constitutes 40 or more hours of post-retirement service. In addition, the Administrator shall suspend retirement income payments on the basis of a presumption that any Employee engaged in non-reported post-retirement service shall have performed such service for as long as his Employer has performed work at that construction site or employment location. Both of the above presumptions shall be subject to change, if the Employee can show factual information to the contrary.

6.4.5
In the event retirement income payments are suspended because an Employee performs post-retirement service in a calendar month, or in a four- or five-week pay period ending in a calendar month, suspended retirement income payments shall resume no later than the first day of the third calendar month immediately following the calendar month in which the Employee ceases post-retirement service. The first payment shall include retirement income payments for those months in which the Employee completed less than 40 hours of post-retirement service. Provided, however, that payments may be reduced or forfeited as described in the next paragraph.

6.4.6
An Employee who engages in post-retirement service shall notify the Administrator upon return to retirement within the first calendar month following the cessation of post-retirement service. In the event it is determined that an Employee received retirement income payments during any month in which such Employee performed post-retirement service described in 6.4.1 above, the Employee shall forfeit all payments otherwise due during the first three (3) months following his cessation of post-retirement service, until the full amount of such retirement income payments have been recovered. If the full amount has not been recovered from the first three (3) payments otherwise due, subsequent retirement income payments shall be reduced by an amount not to exceed twenty-five percent (25%) of the amount otherwise payable until the earliest of the following:

1. The Employee’s death (or the Employee’s surviving spouse’s death, or the Employee’s designated beneficiary’s death);
   
   
2. The Employee’s retirement income payments are again suspended for performance of post-retirement service in a calendar month; or
   
   
3. The Trust recovers one hundred percent (100%) of the total of all retirement income paid in all months in which the Employee completed the amount of post-retirement service described in 6.4.1 above.

6.4.7
In no event shall the provisions of this Plan allow an Employee to revoke or change any election of benefits made under this Plan, with regard to such Employee’s original Retirement Date. No Employee shall again have the right to elect a form of payment of retirement income, upon subsequent retirement, following re-employment after retirement income payments commence.

6.4.8
When retirement income payments resume, the amount of the payment shall be the same as was payable prior to the suspension except that if a retired Employee returns to employment in the industry and earns 500 or more Hours of Service in a Plan Year, he will be entitled to additional Future Service Benefits for such employment in accordance with Article 6.1 or 6.2. Such additional Future Service Benefits shall be credited effective at the commencement of the Plan Year following the year in which the additional credit was earned. Additional benefits shall be calculated using the current Early Retirement reduction factor based upon the age of the Employee when payments resume. Such additional benefits shall be in the same form of payment as the Employee elected when the Employee’s retirement income payments originally began, unless the Employee originally elected a Spouse Option and the Employee’s spouse is no longer living as of the date the additional benefit is payable.

6.4.9
Re-employment after retirement for retired Employees receiving Disability Retirement Income shall be governed by the provisions of Article 7.

6.5 Standard Form of Early or Normal Retirement Income For Married Retirees: Joint and Survivor Benefit

1. Effective January 1, 1976, the standard form of retirement income for an eligible Employee who is legally married on his Normal or Early Retirement Date shall be a Joint and Survivor Benefit commencing on the Employee’s Normal or Early Retirement Date. The Employee’s retirement income as computed under Articles 6.1 and 6.2 is reduced to provide the actuarial equivalent in the form of a monthly income for the life of the Employee, commencing on his Retirement Date, with fifty percent (50%) of the monthly amount the Employee receives during the Employee’s lifetime continued for the life of the Employee’s surviving spouse after the Employee’s death. Monthly benefits will be paid to the surviving spouse for the remainder of the surviving spouse’s lifetime regardless of whether she remarries, but payments will cease upon the spouse’s death. For purposes of this Article 6.5, “spouse” or “surviving spouse” shall mean the Employee’s spouse at the time of the Employee’s retirement.
   
   
2. Effective January 1, 1988, if the spouse of an Employee dies while the Employee is on retirement pay status, and if the Employee notifies the Plan of the spouse’s death, the benefit paid to the retired Employee shall be increased, effective the month following the spouse’s death, to a single life benefit, in the amount that would have been payable to the Employee had the Employee been single on his Retirement Date. This single life benefit shall not be guaranteed for five years (sixty months), i.e., no payment shall continue to any beneficiary after the Employee’s death.
   
   
3. If the spouse of an Employee relinquishes all interest in benefits from the Retirement Plan while the Employee is on retirement pay status, pursuant to a Qualified Domestic Relations Order dated on or after January 1, 1995, the benefit paid to the retired Employee shall be increased to a single life benefit in the amount that would have been payable to the Employee had the Employee been single on his Retirement Date. This increase shall be effective the month following the effective date of the applicable provision in the Qualified Domestic Relations Order. This single life benefit shall not be guaranteed for five years (sixty months), i.e., no payment shall continue to any beneficiary after the Employee’s death.

6.6 Standard Form of Retirement For Disability Retirees and Unmarried Retirees: Single Life Benefit Guaranteed For Five (5) Years

Effective on or after January 1, 1976, the standard form of retirement income for an eligible Employee who takes Disability Retirement or who is not legally married and takes Normal or Early Retirement, shall be a Single Life Benefit guaranteed for five years (60 months), commencing on the Employee’s Normal, Early or Disability Retirement Date, with total benefits as provided under Articles 6.1, 6.2 and 6.3. Monthly benefits will commence on the Employee’s Retirement Date and cease the month of the Employee’s death unless the Employee’s death occurs less than sixty (60) months after the Employee begins receiving retirement benefits, in which event such payments shall continue, to the Employee’s beneficiary(ies) or personal representative until the balance of the sixty (60) payments have been made.

6.7 Optional Forms of Retirement Benefit

In lieu of the standard form of retirement income, an Employee may select one of the following options, provided the Employee rejects the standard form in the manner provided by Article 6.8:

6.7.1 Contingent Benefit Option,
which provides for actuarially reduced, level benefit payments during the life of the Employee and the further continuance of such level payments to a contingent beneficiary, if living, after the Employee’s death.

6.7.2 Modified Contingent Benefit Option,
which provides for actuarially reduced benefit payments to the Employee during his lifetime and the further continuance of such benefit payments in either two-thirds or one-half of such reduced amount to a contingent beneficiary, if living, after the Employee’s death.

6.8 Rejection of Joint and Survivor Benefit

6.8.1 Rejection of Joint and Survivor Benefit.
If a married Employee does not want a Joint and Survivor Benefit, the Employee and his spouse must both reject this form of payment in writing by clearly indicating that they are electing to receive all or part of the Employee’s benefits in a form other than a Joint and Survivor Benefit in the manner provided in Article 6.8.2. If the spouse fails to consent in writing, the benefit will be paid in the form of a Joint and Survivor Benefit unless the spouse cannot be located or unless the spouse has legally abandoned the Employee.

6.8.2 Election Procedures For Joint and Survivor Benefit.
The Plan Administrator will provide to each married Employee and spouse at least nine (9) months prior to the Employee’s Early Retirement Date a written explanation of the Employee’s retirement benefit and the spouse’s benefit under a Joint and Survivor Benefit. The explanation given the Employee shall discuss the financial effect (expressed in dollars) of the Joint and Survivor Benefit, and the financial effect (expressed in dollars) as well as the terms and conditions of options or forms of payment other than the Joint and Survivor Benefit. The Employee shall also be informed of the Employee’s right to request additional information regarding the terms and conditions of the Joint and Survivor Benefit and the availability of other options.

For the purpose of electing a form of benefits, each Employee will have an election period of ninety (90) days commencing with the date all the information described above has been provided to the Employee, provided that if the written explanation is provided more than ninety (90) days prior to the date benefit payments commence, the Employee will have an election period of ninety (90) days immediately preceding the annuity starting date. If a participating Employee makes a request for additional information on or before the last day of the election period, the election period shall be extended by ninety (90) days or to the date benefit payments commence, if earlier.

6.8.3 Revocation of Election of Joint and Survivor Benefit.
Any election previously made may be revoked or changed if written notice thereof is given the Plan Administrator by the Employee and the Employee’s spouse before the election period expires, or as otherwise provided in Section 6.5 for an Employee whose spouse dies while the Employee is on retirement pay status, or an Employee whose spouse relinquishes all rights pursuant to a Qualified Domestic Relations Order while the Employee is on retirement plan status.

6.8.4 Change of Election For Other Than Joint and Survivor Benefit.
Subject to Article 6.10, the standard form for Disability retirees and unmarried Employees may be rejected and one of the Optional Forms of Retirement Benefits elected, or once elected, may be revoked or changed by an Employee and his spouse, if any, by written notice to the Trustees before the expiration date of the election period. The consent of a designated contingent beneficiary other than a surviving spouse shall not be required as a condition to the revocation or change of any option previously elected.

6.9 Death of, or Divorce From Contingent Beneficiary Under Optional Form of Benefit

1. Effective January 1, 1988, if the contingent beneficiary of an Employee dies while the Employee is on retirement pay status, and if the Employee notifies the Plan of the contingent beneficiary’s death, the benefit paid to the retired Employee shall be increased, effective the month following the contingent beneficiary’s death, to a single annuity and all benefit payments with respect to such Employee will cease upon his death. No retirement income will be payable to a contingent beneficiary if the Employee dies before his first retirement income payment becomes due, but Death Benefits shall be payable as provided in Article 8.
   
   
2. If the contingent beneficiary spouse of an Employee relinquishes all interest in benefits from the Retirement Plan while the Employee is on retirement pay status, pursuant to a Qualified Domestic Relations Order dated on or after January 1, 1995, the benefit paid to the retired Employee shall be increased to a single life benefit as described in subsection 6.5(c). The increase shall be effective the month following the effective date of the applicable provision in the Qualified Domestic Relations Order. All benefit payments with respect to such Employee will cease upon his death. No retirement income will be payable to a contingent beneficiary if the Employee dies before his first retirement income payment becomes due, but Death Benefits shall be payable as provided in Article 8.

6.10 Employee On Disability Income

An Employee retired on a Disability Retirement Income may not elect a Joint and Survivor Benefit or an Optional Form of Retirement Benefit to apply prior to his 65th birthday. Upon attaining Normal Retirement age 65, the standard form of retirement income for the Employee who is legally married shall be a Joint and Survivor Benefit to become effective the first of the month following the Employee’s 65th birthday. In lieu of the standard form of retirement income, and provided the Employee rejects the standard form in the manner provided by Article 6.8, a married Employee may elect in writing not to take the standard form of retirement income and select one of the Optional Forms of Retirement Benefits provided by Article 6.7. An Employee who is not legally married on his 65th birthday may elect one of the Optional Forms of Retirement Benefit available under Article 6.7 to become effective the first of the month following his 65th birthday.

6.11 Lump Sum Payment

In any case whereon an Employee’s Normal, Early or Disability Retirement Date, the standard form of his retirement or vested benefit has a Lump Sum Present Value of $5,000.00 or less, the Trustees, in their sole discretion, may elect to pay the benefit out in a lump sum cash payment to the Employee and his spouse, and written rejection of the Joint and Survivor Benefit shall not be required; provided that no lump sum cash payment may be made after the Annuity Starting Date unless the Employee and spouse consent in writing in the manner provided by law.

6.12 Application and Payment of Retirement Benefits

6.12.1
No Employee shall be deemed to have elected to receive any retirement benefits under this Plan unless the Employee has submitted a written application to the Trustees indicating the benefit applied for and providing any necessary proof of eligibility in accordance with this Plan. The Trustees shall review and either approve or cause to be approved or disallowed all applications for benefits.

6.12.2
No retirement benefits shall be payable until the election period or extensions thereof have expired. Normal Retirement Benefits shall be paid retroactive to an Employee’s Normal Retirement Date unless the Employee elects to defer Normal Retirement or continues to work in Covered Service and does not retire.

6.12.3
Unless an Employee directs otherwise, or continues to work in Covered Service or the Employee’s election period has not expired, distribution of an Employee’s Normal Retirement Benefits for which an Employee has made timely application and to which an Employee is eligible under Article 4 shall commence no later than the earlier of the 60th day after the close of the Plan Year in which the Employee:

1. Becomes eligible for Normal, Early or Disability Retirement; or
   
   
2. Attains age 65.

6.12.4(a) General Rules

1. Effective Date. These provisions will apply for purposes of determining required minimum distributions for calendar years beginning with the 2003 calendar year.
   
   
2. Precedence. The requirements of this Article will take precedence over any inconsistent provisions of the plan.
   
   
3. Requirements of Treasury Regulations Incorporated. All distributions required under this Article will be determined and made in accordance with the Treasury Regulations under section 401(a)(9) of the Internal Revenue Code.
   
   
4. TEFRA Section 242(b)(2) Elections. Notwithstanding the other provisions of this Article, distributions may be made under a designation made before January 1, 1984, in accordance with section 242(b)(2) of the Tax Equity and Fiscal Responsibility Act (TEFRA) and the provisions of the plan that relate to section 242(b)(2) of TEFRA.

6.12.4(b) Time and Manner of Distribution

1. Required Beginning Date. The participant’s entire interest will be distributed, or begin to be distributed, to the participant no later than the participant’s required beginning date. For purposes of this Article, the “required beginning date” shall mean:
   
   For an Employee other than a “5% owner” or a “terminated vested” participant who attains age 70-1/2 after December 31, 1998, the “required beginning date” is April 1 following the later of:
   
   
   1. The calendar year in which the Employee attains age 70-1/2; or
      
      
   2. The calendar year in which the Employee retires.
      
      Attainment of age 70-1/2 shall have the meaning set forth in Treasury Regulation 1.401(a)(9)-2 (Q&A-3). Minimum distributions shall be made in accordance with Article 6.5 of the Plan and Treasury Regulations under Section 401(a)(9) of the Internal Revenue Code.
      
      An Employee who is a “5% owner,” as determined under Section 416 of the Internal Revenue Code, or “terminated vested” participant under Article 1.24 of the Plan, may not postpone his required beginning date beyond April 1 of the calendar year following which he attains age 70-1/2, even if the Employee continues employment. An Employee who attains age 70-1/2 before January 1, 1999, may not be compelled to commence pension distributions.
      
      
2. Death of Participant Before Distributions Begin. If the participant dies before distributions begin, the participant’s entire interest will be distributed, or begin to be distributed, no later than as follows:
   
   
   1. Distributions to the surviving spouse will begin by December 31 of the calendar year immediately following the calendar year in which the participant died, or by December 31 of the calendar year in which the participant would have attained age 70-1/2, if later. (No distribution may be made other than to the surviving spouse under Article 8.1 of the Plan, if the participant has a surviving spouse.)
      
      
   2. If there is no surviving spouse but the participant has designated an eligible beneficiary under Article 8.1 of the Plan, distributions to the designated beneficiary will begin by December 31 of the calendar year immediately following the calendar year in which the participant died.
      
      
   3. If there is no surviving spouse and there is no designated beneficiary, distributions shall be made to the person entitled to the death benefit provided for in Article 8 of the Plan, as of September 30 of the year following the year of the participant’s death. The participant’s entire interest will be distributed by December 31 of the calendar year of the fifth anniversary of the participant’s death.
      
      
   4. If the participant’s surviving spouse is the participant’s sole designated beneficiary and the surviving spouse dies after the participant but before distributions to the surviving spouse begin, this section 6.12.4(b)(2), other than section 6.12.4(b)(2), will apply as if the surviving spouse were the participant.
      
      For purposes of this section 6.12.4(b)(2) and 6.12.4(e), distributions are considered to begin on the participant’s required beginning date (or, if section 6.12.4(b)(2)(d) applies, the date distributions are required to begin to the surviving spouse under section 6.12.4(b)(2)(a)). If annuity payments irrevocably commence to the participant before the participant’s required beginning date (or to the participant’s surviving spouse before the date distributions are required to begin to the surviving spouse under section 6.12.4(b)(2)(a)), the date distributions are considered to begin is the date distributions actually commence.
      
      
3. Form of Distribution. Distributions will be made in accordance with 6.12.4(c)-(e) of this Article.

6.12.4(c) Determination of Amount to be Distributed Each Year

1. General Annuity Requirements. If the participant’s interest is paid in the form of annuity distributions under the plan, payments under the annuity will satisfy the following requirements:
   
   
   1. The annuity distributions will be paid in periodic payments made at intervals not longer than one year;
      
      
   2. The distribution period will be over a life (or lives) described in section 6.12.4(d) or (e);
      
      
   3. Once payments have begun, the period will not be changed even if the period certain is shorter than the maximum permitted;
      
      
   4. Payments will either be non-increasing or increase only as follows:
      
      
      1. By an annual percentage increase that does not exceed the annual increase in a cost-of-living index that is based on prices of all items and issued by the Bureau of Labor Statistics;
         
         
      2. To the extent of the reduction in the amount of the participant’s payments to provide for a survivor benefit upon death, but only if the beneficiary whose life was being used to determine the distribution period dies or is no longer the participant’s beneficiary pursuant to a Qualified Domestic Relations Order within the meaning of section 414(p);
         
         
      3. To provide cash refunds of employee contributions upon the participant’s death; or
         
         
      4. To pay increased benefits that result from a plan amendment.
2. Amount Required to be Distributed by Required Beginning Date. The amount that must be distributed on or before the participant’s required beginning date (or if the participant dies before distribution begins), the date distributions are required to begin under section 6.12.4(b)(2) (a) or (b) is the payment that is required for one payment interval. The second payment need not be made until the end of the next payment interval even if that payment interval ends in the next calendar year. Payment intervals are the periods for which payments are received, e.g., bi-monthly, monthly, semi-annually, or annually. All of the participant’s benefit accruals of the last day of the first distribution calendar year will be included in the calculation of the amount of the annuity payments for payment intervals ending on or after the participant’s required beginning date.
   
   
3. Additional Accruals After First Distribution Calendar Year. Any additional benefits accruing to the participant in a calendar year after the first distribution calendar year will be distributed beginning with the first payment interval ending in the calendar year immediately following the calendar year in which such amount accrues.

6.12.4(d) Requirements For Annuity Distributions That Commence During Participant’s Lifetime

Joint Life Annuities Where the Beneficiary Is Not the Participant’s Spouse. If the participant’s interest is being distributed in the form of a joint and survivor annuity for the joint lives of the participant and a non-spouse beneficiary, annuity payments to be made on or after the participant’s required beginning date to the designated beneficiary after the participant’s death must not at any time exceed the applicable percentage of the annuity payment for such period that would have been payable to the participant using the table set forth in Q&A-2 of section 1.401(a)(9)-6T of the Treasury Regulations. If the form of distribution combines a joint and survivor annuity for the joint lives of the participant and a non-spouse beneficiary and a period certain annuity, the requirement in the preceding sentence will apply to annuity payments to be made to the designated beneficiary after the expiration of the period certain.

6.12.4(e) Requirements For Minimum Distributions Where Participant Dies Before Date Distributions Begin

1. Participant Survived by Designated Beneficiary. If the participant dies before the date distribution of his interest begins and there is a designated beneficiary, the participant’s entire interest will be distributed, beginning not later than the time described in Regulation Sections 606(B)(2.2)(f) or (B)(2.2)(g), over the life of the designated beneficiary or over a period certain not exceeding:
   
   
   1. Unless the annuity starting date is before the first distribution calendar year, the life expectancy of the designated beneficiary determined, using the beneficiary’s age as of the beneficiary’s birthday in the calendar year immediately following the calendar year of the participant’s death; or
      
      
   2. If the annuity starting date is before the first distribution calendar year, the life expectancy of the designated beneficiary determined, using the beneficiary’s age as of the beneficiary’s birthday in the calendar year that contains the annuity starting date.
      
      
2. No Designated Beneficiary. If the participant dies before the date distributions begin, and there is no surviving designated beneficiary as of September 30 of the year following the year of the partici-pant’s death, distribution of the participant’s entire interest will be completed by December 31 of the calendar year containing the fifth anniversary of the participant’s death.
   
   
3. Death of Surviving Spouse Before Distributions to Surviving Spouse Are Required to Begin. If the participant dies before the date distribution begins, the participant’s surviving spouse is the participant’s sole designated beneficiary, and then the surviving spouse dies before distributions to the surviving spouse begin, this section 6.12.4(e) will apply as if the surviving spouse were the participant, except that the time by which distributions must be made will be determined without regard to section 6.12.4(b) herein.

6.12.4(f) Definitions

1. Designated Beneficiary. The individual who is designated as the beneficiary under Article 6.13 of the Plan and is the designated beneficiary under section 401(a)(9) of the Internal Revenue Code and section 1.401(a)(9)-1, (Q&A 4), of the Treasury Regulations.
   
   
2. Distribution Calendar Year. A calendar year for which a minimum distribution is required. For distributions beginning before the participant’s death, the first distribution calendar year is the calendar year immediately preceding the calendar year which contains the participant’s required beginning date. For distributions beginning after the participant’s death, the first distribution calendar year is the calendar year in which distributions are required to begin pursuant to section 6.12.4(b)(2).
   
   
3. Life Expectancy. Life expectancy as computed by use of the Single Life Table in section 1.401(a)(9)-9 of the Treasury Regulations.
   
   
4. Required Beginning Date. The date specified in section 6.12.4(b)(1) of the Plan.

6.13 Beneficiary Designations

6.13.1 Beneficiary Designations.
Employees who are not married who take the standard form of retirement or an Optional Form of Retirement Benefit which provides for payment of benefits after the Employee’s death, or married Employees who, with their spouses, reject the Joint and Survivor Benefit in writing and elect an Optional Form of Retirement Benefit which provides for benefits after the Employee’s death, are entitled, prior to retirement, to designate a beneficiary for benefits to which they are entitled or may become entitled under this Plan. In the case of a married Employee, no beneficiary designation other than the surviving spouse will be permitted unless:

1. The spouse consents in writing to the designation, and such consent either expressly designates the beneficiary which may not be changed without spousal consent, or expressly permits designations by the Employee without any requirement of further spousal consent; or
   
   
2. The spouse cannot be located, with such proof of attempt to locate that is consistent with the rules of the Trust or federal regulations; or
   
   
3. The spouse has legally abandoned the Employee.

6.13.2 Marriage Dissolution.
If an Employee designates a person who is or subsequently becomes the Employee’s spouse, in determining the eligible beneficiary for preretirement death benefits, a beneficiary designation shall be automatically revoked if the marriage is subsequently dissolved or invalidated unless the Employee re-designates the former spouse following the dissolution or invalidation of the marriage, or except as otherwise provided in a Qualified Domestic Relations Order.

6.13.3 Where No Beneficiary Designated.
If no beneficiary has been designated by the Employee, and the Employee has selected a Single Life Benefit guaranteed for five years (60 months), any benefit which survives the Employee will be paid to the surviving person or persons in the first of the following classes of successive preference beneficiaries in which a member survives the Employee: the Employee’s

1. Spouse;
   
   
2. Children, including natural, legally adopted and stepchildren;
   
   
3. Parents;
   
   
4. Brothers and sisters.

6.13.4 Payment.
In determining such person or persons, the Trustees may rely upon affidavit by a member of any classes of preference beneficiaries. Payment based upon such affidavit shall be full acquittance of any benefit payable under the Plan unless, before the payment is made, the Trustees have received written notice of valid claim by some other person. If two or more persons become entitled to benefits as preference beneficiaries, they shall share equally.

6.13.5 If No Beneficiary Survives Employee.
If no beneficiary survives the Employee, then no Death Benefit shall be payable, except that the Trustees may in their sole discretion pay or reimburse the payment of necessary funeral and burial expenses, but in an amount not to exceed the benefit of $5,000.00, whichever is less.

6.14 Legal Disabilities – Facility of Payment

If, in the opinion of the Trustees, any person who is eligible to receive payments under this Retirement Plan is legally, physically, or mentally incapable of personally receiving or negotiating receipt for any such payment, the Trustees may direct payments to such other person, persons or institutions, who, in the opinion of the Trustees, are then maintaining or have custody of such payee, until claim is made by a duly appointed guardian or other legal representative of such payee. Such payments, to the extent thereof, will constitute a full discharge of the liability of the Fund and of the Trustees under the Retirement Plan.

6.15 Maximum Retirement Benefit

6.15.1 Effective Date.
This section shall be effective for limitation years ending after December 31, 2001.

6.15.2 Effect on Participants.
Benefit increases resulting from the increase in the limitations of section 415(b) of the Code will be provided to all current and former participants (with benefits limited by Code section 415(b)) who have an accrued benefit under the plan immediately prior to the effective date (other than an accrued benefit resulting from a benefit increase solely as a result of the increases in limitations under Code section 415(b)).

6.15.3 Definitions
Defined Benefit Dollar Limitation. The “defined benefit dollar limitation” is $160,000, as adjusted, effective January 1 of each year, under section 415(d) of the Code in such manner as the Secretary shall prescribe, and payable in the form of a single life benefit. A limitation as adjusted under section 415(d) will apply to limitation years ending with or within the calendar year for which the adjustment applies.

Maximum Permissible Benefit. The “maximum permissible benefit” is the defined benefit dollar limitation (adjusted where required, as provided in (a) and, if applicable, in (b) or (c) below, and limited, if applicable, as provided in (d) below).

1. If the participant has fewer than ten (10) years of participation in the plan, the defined benefit dollar limitation shall be multiplied by a fraction, (i) the numerator of which is the number of years (or part thereof) of participation in the plan and (ii) the denominator of which is ten (10).
   
   
2. If the benefit of a participant begins prior to age 62, the defined benefit dollar limitation applicable to the participant at such earlier age is an annual benefit payable in the form of a single life benefit beginning at the earlier age that is the actuarial equivalent of the defined benefit dollar limitation applicable to the participant at age 62 (adjusted under (a) above, if required). The defined benefit dollar limitation applicable at an age prior to age 62 is determined as the lesser of (i) the actuarial equivalent (at such age) of the defined benefit dollar limitation computed using the interest rate and mortality table (or other tabular factor) specified in section 1.19 of the plan and (ii) the actuarial equivalent (at such age) of the defined benefit dollar limitation computed using a five percent (5%) interest rate and the applicable mortality table as defined in Article 1.19 of the plan. Any decrease in the defined benefit dollar limitation determined in accordance with this paragraph (b) shall not reflect a mortality decrement if benefits are not forfeited upon the death of the participant. If any benefits are forfeited upon death, the full mortality decrement is taken into account.
   
   
3. If the benefit of a participant begins after the participant attains age 65, the defined benefit dollar limitation applicable to the participant at the later age is the annual benefit payable in the form of a single life benefit beginning at the later age that is actuarially equivalent to the defined benefit dollar limitation applicable to the participant at age 65 (adjusted under (a) above, if required). The actuarial equivalent of the defined benefit dollar limitation applicable at an age after age 65 is determined as (i) the lesser of the actuarial equivalent (at such age) of the defined benefit dollar limitation computed using the interest rate and mortality table (or other tabular factor) specified in section 1.19 of the plan and (ii) the actuarial equivalent (at such age) of the defined benefit dollar limitation computed using a five percent (5%) interest rate assumption and the applicable mortality table as defined in section 1.19 of the plan. For these purposes, mortality between age 65 and the age at which benefits commence shall be ignored.

6.15.4
The limitations in this Article 6.15 shall be applied on an Employer by Employer basis by determining the source of an Employee’s benefits, contributions, earnings or service for each Employer of such Employee, and not by treating all Employers as a single Employer.

6.15.5
Notwithstanding the foregoing provisions of this Article 6, an Annual Retirement Income payable with respect to an Employee under the Plan shall not be deemed to exceed the limitation of this Article if the Annual Retirement Income payable with respect to such Employee under the Plan does not exceed $10,000 for the limitation year under consideration, or for any prior limitation year, and the Employee has never participated in a defined contribution plan (as defined in Internal Revenue Code § 415(k)) of his Employer.

6.16 Supplemental Benefits

1. An Employee whose Annuity Starting Date is no later than December 1, 1994 shall receive, on or about December 20, 1994, a one-time payment equal to a certain multiple, depending on the Employee’s Annuity Starting Date, of his monthly benefit payment, as follows:



Multiple Annuity	Starting Date
0.50 1.00 1.10 1.20 1.30 1.40 1.50 1.60 1.70 1.80 1.90 2.00	1/1/1994 or later In 1993 In 1992 In 1991 In 1990 In 1989 In 1988 In 1987 In 1986 In 1985 In 1984 Prior to 1/1/1984

2. An Employee whose Annuity Starting Date is no later than December 1, 1996, shall receive a one-time payment equal to the Employee’s monthly benefit payment, to be issued no later than the February 1997 payment cycle.