GENERAL DYNAMICS CORPORATION
SUPPLEMENTAL RETIREMENT PLAN

Effective January 1 1983
and restated effective January 1, 2002

 

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TABLE OF CONTENTS

                      Page               SECTION 1   INTRODUCTION AND PLAN
HISTORY     2                 SECTION 2   DEFINITIONS     3                
SECTION 3   SUPPLEMENTAL BENEFITS DUE TO
LIMITATIONS UNDER DEFINED BENEFIT
PLANS     5                 SECTION 4   SPECIAL SUPPLEMENTAL BENEFITS     7    
            SECTION 5   MISCELLANEOUS PROVISIONS     8                 SECTION 6
  AMENDMENT AND TERMINATION
OF PLAN     11  

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SECTION 1
INTRODUCTION AND PLAN HISTORY

1.01      Introduction. This Plan is maintained so as to strengthen the ability
of the Corporation to attract and retain persons of outstanding competence upon
which, in large measure, continued growth and profitability depend.

The Plan is intended to supplement any benefits that may be provided under any
plans of the Corporation and its Subsidiaries, as they may be in effect from
time to time, that are qualified under Section 401 of the Internal Revenue Code
of 1986. The Corporation shall not be required to fund, in any way, any of the
benefits provided under this Plan prior to the time payments become due to
persons hereunder.

The Plan is intended to be an excess benefit plan within the meanings of
Sections 3(36) and 201(7) of ERISA and an unfunded deferred compensation plan
for a select group of management or highly compensated employees within the
meanings of Sections 201(2), 301(a)(3) and 401(a)(4) of ERISA and shall be
construed and interpreted accordingly.

1.02      Effective Date. The Plan was established January 1, 1983, and
previously amended and restated as of January 1, 1989. The effective date of the
amendment and restatement of the Plan as set forth herein is January 1, 2002,
except as otherwise provided in the Plan or an Appendix attached to this
document.

1.03      Plan Appendices and Exhibits. From time to time, the Corporation may
adopt Exhibits to the Plan for the purpose of setting forth specific provisions
of this Plan. In addition, the Corporation may from time to time adopt
Appendices to this Plan for the purpose of providing documentation necessary to
determine benefits under the Plan for certain employee groups. Each such Exhibit
or Appendix shall be attached to and form a part of the Plan. Each such Exhibit
or Appendix shall specify the Employing Unit to which it applies and shall
supersede the provisions of the Plan document to the extent necessary to
eliminate any inconsistencies between the Plan document and such Exhibit or
Appendix.

1.04      Prior Provisions. The provisions of this Plan shall apply only to
Employees who shall terminate active employment on or after the effective date
of this Plan. Employees prior to January 1, 2002, who continue in active
employment after January 1, 2002, shall continue to maintain their rights and
benefits hereunder. The rights and benefits, if any, of an Employee who
terminates active employment prior to January 1, 2002 (including Employees who
were on layoff or were otherwise absent from service as of January 1, 2002 and
who do not return to active employment prior to their respective severance from
service dates), shall be determined in accordance with the provisions of the
plans as they were in effect on the date of such termination from active
employment except as specifically indicated herein.

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SECTION 2
DEFINITIONS

Where the following words and phrases appear in the Plan, they shall have the
respective meanings set forth below, unless the context clearly indicates to the
contrary. Some of the words and phrases used in the Plan are not defined in this
Section 2, but, for convenience, are defined as provided in an Appendix or
Exhibit or as they are introduced into the text.

2.01      Actuarial Equivalent Value. “Actuarial Equivalent Value” shall mean an
amount determined by an Actuary that is of the equivalent value to the aggregate
amounts expected to be received under different forms of payment under the Plan
and based on actuarial assumptions adopted under the Defined Benefit Plan in
which the Plan Participant benefits; provided however, for purposes of
determining a lump sum value where no lump sum payment option, other than the
small benefit cashouts described in Section S5.5 of the Master Supplement
Retirement Plan, is available under the Defined Benefit Plan, the lump sum value
shall be actuarially determined based on the 1984 Unisex Pension mortality table
(UP-84 Table) with 7% per annum compound interest.

2.02      Actuary. “Actuary” shall mean one or more actuaries chosen by the
Corporation, who shall be independent of the Corporation, and qualified through
Fellowship in the Society of Actuaries or a firm with such actuaries on its
staff.

2.03      Code. “Code” shall mean the Internal Revenue Code of 1986, as amended
from time to time.

2.04      Corporation. “Corporation” shall mean General Dynamics Corporation, a
Delaware corporation, and any successor thereof.

2.05      Defined Benefit Plan. “Defined Benefit Plan” shall mean any Retirement
Plan maintained by the Corporation or its Subsidiaries other than a Defined
Contribution Plan as its specific benefit structure is defined with respect to a
group of covered employees. Defined Benefit Plans covered by this Plan are
listed in Appendix A.

2.06      Defined Contribution Plan. “Defined Contribution Plan” shall mean a
Retirement Plan which provides for an individual account for each covered
Employee and for benefits based solely upon the amount contributed to the
Employee’s account, and any income, expenses, gains and losses, and any other
amounts which may be allocated to such account. This definition includes, but is
not limited to, the General Dynamics Savings and Stock Investment Plan and
Hourly Employee Savings and Stock Investment Plan and such other plans as may be
established from time to time.

2.07      Employee. “Employee” shall mean any person regularly employed as a
full-time salaried or hourly employee by the Corporation or its Subsidiaries in
any capacity including officers (and also including directors who regularly
render services to the Corporation or its Subsidiaries as

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regular full-time employees), and who is not covered by a collective bargaining
agreement unless coverage under this Plan has been extended by negotiated
agreement to Employees covered by the terms of such agreements. Individuals not
initially treated and classified by the Corporation as common-law employees,
including, but not limited to, leased employees, independent contractors or any
other contract employees, shall be excluded from participation irrespective of
whether a court, administrative agency or other entity determines that such
individuals are common-law employees.

2.08      Employing Unit. “Employing Unit” shall mean any Subsidiary or
affiliate of the Corporation or any economic or organizational or locational
division or unit thereof which is set forth in the Appendices to the Plan.

2.09      ERISA. “ERISA” shall mean the Employee Retirement Income Security Act
of 1974, as amended.

2.10      Participant. “Participant” shall mean an Employee who satisfied the
eligibility criteria described in Section 3.01, 4.01 or an Appendix.

2.11      Plan. “Plan” shall mean the Supplemental Retirement Plan effective
January 1, 1983, and restated as set forth herein effective January 1, 2002, as
it shall be amended from time to time and its Appendices and Exhibits.

2.12      Prior Plan. “Prior Plan” shall mean the General Dynamics Corporation
Supplemental Retirement Plan effective January 1, 1983, and restated January 1,
1989.

2.13      Retirement Plan. “Retirement Plan” shall mean any plan, fund, or
program which was heretofore or is hereafter established or maintained by the
Corporation and/or its Subsidiaries and which is qualified under Code Section
401 to the extent that by its express terms or as a result of surrounding
circumstances such plan, fund or program:

  (a)   provides retirement income to Employees; or     (b)   results in a
deferral of income by Employees for periods extending to the termination of
covered employment or beyond,

regardless of the method of calculating the contributions made to the plan, the
method of calculating the benefits under the plan or the method of distributing
benefits from the plan.

2.14      Subsidiary. “Subsidiary” shall mean any subsidiary of the Corporation
authorized by the Corporation to participate in this Plan with respect to their
Employees and of which the Corporation owns, directly or indirectly eighty
percent (50%) or more of the outstanding voting stock.

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SECTION 3
SUPPLEMENTAL BENEFITS DUE TO LIMITATIONS
UNDER DEFINED BENEFIT PLANS

3.01      Participation. Eligibility for participation for any benefits provided
under this Section 3 shall be extended to Employees covered under a benefit
structure identified in Appendix A either who are members of a select group of
management or highly compensated employees with benefits payable under such
benefit structure restricted due to the limitations of Code Section 401(a)(17)
or whose benefits payable thereunder are restricted due to Code Section 415
limitations.

Notwithstanding the preceding paragraph, an Employee shall not be eligible for a
benefit under Section 3 if such Employee is eligible for benefits under an
Appendix (other than Appendix A) or an agreement with the Corporation or its
Subsidiaries where such Appendix or agreement provides benefits in lieu of
benefits described in this Section 3 unless such Appendix or agreement provides
otherwise.

3.02      Benefit. The benefit payable to or on behalf of a Participant eligible
under Section 3.01 shall be an amount equal to the excess, if any, of (a) over
(b) as follows:

  (a)   The total that would have been provided to the Participant under the
various Defined Benefit Plans of which he is a member without regard to the
limitations of Code Sections 415 or 401(a)(17) and payable in the form of
benefit elected by the Participant under the Defined Benefit Plans in which he
is a member.     (b)   The maximum benefit as determined under Code Sections 415
or 401(a)(17) actually payable in the form elected by the Participant under the
various Defined Benefit Plans of which he is a member.

However, calculation of this benefit shall reflect any restrictions and/or
modifications described in Appendix A that may be applicable to the Participant.

3.03      Payment of Benefits. Except as otherwise described in the Appendix A,
any benefits payable pursuant to this Section 3 shall be paid under the same
conditions, restrictions and options as would apply to the benefits if they were
provided by the Defined Benefit Plans of which the Participant was a member, at
the time of his retirement, pursuant to the optional forms of payment actually
selected by the Participant under those Defined Benefit Plans. Notwithstanding
the preceding sentence and subject to Section 5.05, except as otherwise provided
in Appendix D, if the Defined Benefit Plan(s) of which the Participant was a
member permits a lump sum distribution option, a lump sum shall be available to
such Participant under this Plan only if the Participant elects the lump sum
distribution option prior to such Participant’s termination of employment.

3.04      Modification. If, after commencement of monthly benefit payments under
the Plan, the amount of monthly payments to which the Participant is entitled
under the Defined Benefit Plan

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is increased by reason of an increase in the limitations under Code Section 415
or 401(a)(17), the amount of the monthly payments to which he is entitled under
the Plan will be decreased by the amount of monthly payment increase under the
Defined Benefit Plan.

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SECTION 4
SPECIAL SUPPLEMENTAL BENEFITS

4.01      Participation. Recognizing the need to make special retirement and
other compensation or employee benefit provisions for certain Employees of
Employing Units, the Corporation may, from time to time and in its best
judgment, designate groups of select management or highly compensated employees
as being eligible to receive additional benefits, substitute benefits, or more
restrictive benefits than are found in Section 3 of the Plan. Any such Employees
or groups of Employees shall be described in Appendices attached to this Plan or
in other agreements with the Corporation or its Subsidiaries.

Such Employees shall not be eligible for a benefit under Section 3.02 to the
extent such appendices or agreements provide for benefits in lieu of benefits
described in Section 3 unless such Appendix or agreement provides otherwise. For
those Employees with individual agreements, unless expressly provided in the
agreement, the provisions of this Plan shall not apply to the benefit
attributable to such agreement.

4.02      Benefits. Such benefits may be provided only to select management or
highly compensated employees in such amounts as the Corporation determines are
appropriate.

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SECTION 5
MISCELLANEOUS PROVISIONS

5.01      Construction. In the construction of the Plan the masculine shall
include the feminine and the singular shall include the plural in all cases
where such meanings would be appropriate. This Plan shall be construed,
governed, regulated, and administered according to the laws of the State of
Virginia.

5.02      Employment. The Plan is not an employment contract. Participation in
the Plan shall not give any Employee the right to be retained in the employ of
the Corporation or its Subsidiaries, or upon dismissal or upon his voluntary
termination of employment, to have any right, legal or equitable, under the Plan
or any portion thereof, except as expressly granted by the Plan.

5.03      Non-alienability of Benefits. No benefit under the Plan shall be
subject in any manner to anticipation, alienation, sale, transfer, assignment,
pledge, encumbrance, or charge; and any attempt to anticipate, alienate, sell,
transfer, assign, pledge, encumber, or charge the same shall be void; and no
such benefit shall in any manner be liable for or subject to the debts,
liabilities, engagements, or torts of the person entitled to such benefit,
except as specifically provided in the Plan or pursuant to a Qualified Domestic
Relations Order as described in Code Section 414(p).

5.04      Facility of Payment. If any recipient of benefits is, in the judgment
of the Corporation, legally incapable of personally receiving and giving a valid
receipt for any payment due him under the Plan, the Corporation may, unless and
until claims shall have been made by a duly appointed guardian or committee of
such person, make such payment or any part thereof to such person’s spouse,
children, or other legal entity deemed by the Corporation to have incurred
expenses or assumed responsibility for the expenses of such person. Any payment
so made shall be a complete discharge of any liability under the Plan for such
payment.

5.05      Discretionary Payment of Benefits. In any instance in which the
Corporation in its sole and uncontrolled discretion believes such action to be
in the best interest of the party entitled to receive any payment provided by
this Plan, or to be in the best interests of the Corporation, amounts payable in
installments pursuant to the provisions of this Plan may be paid in a single
lump sum, the amount of which shall be of Actuarial Equivalent Value to the
benefits for which the lump sum is to be substituted. It is intended by this
Section 5.05 to vest the Corporation with full discretion to administer this
Plan and to determine when and under what circumstances deviations which
accelerate payments are necessary, desirable, or appropriate; and the
Corporation shall have full power to authorize such deviations as regards each
payee separately.

5.06      Obligation to Pay Amounts Hereunder.

  (a)   No trust fund, escrow account, or other segregation of assets need be
established or made by the Corporation to guarantee, secure, or assure the
payment of any amount payable hereunder. The Corporation’s obligation to make
payments pursuant to this Plan shall constitute only a general contractual
liability of the

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      Corporation to individuals entitled to benefits hereunder and other actual
or possible payees hereunder in accordance with the terms hereof. Payments
hereunder shall be made only from such funds of the Corporation as it shall
determine, and no individual entitled to benefits hereunder shall have any
interest in any particular asset of the Corporation by reason of the existence
of this Plan. It is expressly understood as a condition for receipt of any
benefits under this Plan that the Corporation is not obligated to create a trust
fund or escrow account, or to segregate any asset of the Corporation in any
fashion.     (b)   The Corporation may, in its sole discretion, establish
segregated funds, escrow accounts, or trust funds whose primary purpose would be
for the provision of benefits under this Plan. If such funds or accounts are
established, however, individuals entitled to benefits hereunder shall not have
any identifiable interest in any such funds or accounts nor shall such
individuals be entitled to any preference or priority with respect to the assets
of such funds or accounts. These funds and accounts would still be available to
judgment creditors of the Corporation and to all creditors in the event of the
Corporation’s insolvency or bankruptcy.     (c)   A former Employee is not
entitled to a benefit under this Plan to the extent that the liability for such
benefit has been transferred to or assumed by a successor to all or any portion
of the business of General Dynamics Corporation.     (d)   Except as otherwise
provided by Section 4, if an Employee who is receiving or entitled to receive a
benefit pursuant to the Plan is reemployed with General Dynamics Corporation or
an affiliate of General Dynamics Corporation and, in connection with such
reemployment, his Defined Benefit Plan benefit payment is suspended, his benefit
under the Plan will be suspended for the same period. The Employee’s benefit
under the Plan will recommence at the same time as his or her benefit under the
Defined Benefit Plan and the amount of the benefit at recommencement will be
adjusted in accordance with the provisions of the Plan to reflect any additional
benefits earned and benefits previously paid.

5.07      Administration. To the extent consistent with the purposes and
provisions of this Plan and as may be deemed necessary or advisable in the best
judgment of the Corporation, the Plan shall be operated under the Administrative
and General Provisions of the Defined Benefit Plans.

The Corporation shall make all determinations as to the right of any person to a
benefit. Any denial by the Corporation of a claim for benefits under the Plan by
a Participant shall be stated in writing by the Corporation and delivered or
mailed to such individual. Such notice shall set forth the specific reasons for
the denial, the specific reference to the provisions of the Plan on which the
denial is based, a description of any additional material or information
necessary to perfect the claim, an explanation of why such material or
information is necessary, and the right to appeal a denial of the claim, for a
full and fair review provided that a written request is made therefore within
seventy-five (75) days after receipt of written notice of the denial of the
claim, all in readily understandable language. Pertinent documents may be
reviewed and issues and

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comments submitted in writing to the Corporation. If an appeal shall be made,
the final decision shall be made within a period of sixty (60) days following
receipt of the appeal, unless special circumstances require an extension of time
for processing, in which case the decision shall be rendered as soon as
possible, but not later than one hundred twenty (120) days after receipt of such
appeal.

Unless otherwise provided by the Corporation, the Corporation’s Employee Benefit
Appeals Committee shall rule in place of the Corporation and the Committee’s
ruling shall be the final decision of the Corporation. Benefits shall be paid
under the Plan only if the Corporation or Corporation’s Employee Benefit Appeals
Committee in its sole discretion, determines that a Participant is entitled to
them. There shall be no duplication of benefits between this Plan and its
Appendices and any other plan or agreement with the Corporation or its
Subsidiaries for the same period of service unless otherwise specifically stated
in the Plan, Appendices or such other plan or agreement.

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SECTION 6
AMENDMENT AND TERMINATION OF PLAN

6.01      Amendment. The Chairman of the Board of Directors of the Corporation
reserves the right to modify or amend this Plan in whole or in part, effective
as of any specified date; provided, however, that the Chairman shall have no
authority to modify or amend the Plan with respect to the benefit provided by
Section 3 to:

  (a)   reduce any benefit accrued hereunder based on service and compensation
to the date of amendment unless such action is necessary to prevent this Plan
from being subject to any provision of Title I, Subtitle B, Parts 2, 3 or 4 of
ERISA;     (b)   permit the accrual, holding or payment of actual shares of
General Dynamics Corporation common stock under the Plan.

6.02      Termination.

  (a)   The Chairman of the Board of Directors of the Corporation reserves the
right to terminate this Plan, in whole or in part. This Plan shall be
automatically terminated upon a dissolution of the Corporation (but not upon a
merger, consolidation, reorganization, recapitalization, or acquisition of a
controlling interest in the voting stock of the Corporation by another); upon
the Corporation being legally adjudicated as bankrupt; upon the appointment of a
receiver or trustee in bankruptcy with respect to the Corporation’s assets and
business if such appointment is not set aside within ninety (90) days
thereafter; or upon the making by the Corporation of an assignment for the
benefit of creditors.     (b)   Upon termination of this Plan, no additional
Employees shall become entitled to receive all benefits hereunder; all benefits
accrued through the date of termination (calculated as if the date of such
termination were the date on which the Employee’s employment ceased) will become
non-forfeitable; no additional benefits shall be accrued hereunder for
subsequent payment; and all benefits accrued to date shall be distributed to the
Participants at the time and in the manner provided by this Plan.

6.03      Delegation. The Chairman of the Board of Directors of the Corporation
may delegate his powers under this Section 6 by written delegation.

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General Dynamics Corporation Supplemental Retirement Plan

Appendix A
(Defined Benefit Plans subject to the provisions of Section 3)

The following Defined Benefit Plans are subject to the provisions of Section 3.
Where noted, the benefits related to the inclusion of these Defined Benefit
Plans under this Plan provide supplemental benefits related to corporate
acquisitions or, as applicable, supercede the applicability of the provisions of
the indicated prior plan providing similar coverage and as such represent an
amendment and restatement of such plan. Likewise, where noted, the provisions of
Section 3 are modified to the extent specified in this Appendix.

     

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Defined Benefit Plan   Modifications and Effective Date

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Retirement Plan for Salaried Employees   Effective Date: January 1, 1983.

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Retirement Plan of the Resources Group Salaried Employees   Effective Date:
January 1, 1983.

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Retirement Plan for Management/Technical Employees of General Dynamics Advanced
Technology Systems, Inc. (the Plan hereby supercedes the Lucent Technologies
Inc. Non-Qualified Pension Plan)   Effective Date: October 1, 1997.

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Retirement Plan for Non-Represented Employees of General Dynamics
Armament/Defense Systems (the Plan hereby supercedes the Martin Marietta
Corporation Supplemental Excess Retirement Plan)   The benefit under
Section 3.02 is determined taking into account post December 31, 1996 benefit
service only. Effective Date: January 1, 1997.

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Bath Iron Works Corporation Pension Plan for Salaried Employees   The benefit
under Section 3.02 is determined taking into account post December 31, 1996
benefit service only. Effective Date: January 1, 1997.

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Retirement Plan for General Dynamics Decision Systems, Inc. (the Plan hereby
supercedes the Motorola Supplemental Pension Plan)   For Employees that
participated and were vested in a benefit under the Motorola Elected Officers
Supplementary Retirement Plan as of September 28, 2001 the benefit under
Section 3.02 is determined taking into account post September 28, 2001 benefit
service only. Effective Date: September 29, 2001.

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Defined Benefit Plan   Modifications

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Retirement Plan for General Dynamics Information Systems, Inc. (the Plan hereby
supercedes the Ceridian Corporation Benefit Equalization Plan)   The benefit
under Section 3.02 is determined taking into account compensation described in
Section 3.02 and, in addition, any amount that would have otherwise been paid as
base salary or bonus but for the Participant’s election pursuant to the Ceridian
Corporation Deferred Compensation Plan. Effective Date: January 1, 1998.

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Retirement Plan for General Dynamics
Government Systems Corporation (the
Plan hereby supercedes the GTE Excess
Pension Plan)   The benefit under Section 3.02 is determined based on the normal
form of payment. The benefit under Section 3.02 is determined taking into
account compensation described in Section 3.02 and, in addition, certain forms
of compensation not covered under the Defined Benefit Plan prior to 1995.
Optional forms of payment are calculated independently of the Defined Benefit
Plan but using the same adjustments as provided under that plan. Section 3.03 is
modified to allow Participants to elect a different form of benefit under this
Plan than under the Defined Benefit Plan. Effective Date: September 1, 1999.

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Retirement Plan for Salaried Employees of GDLS Muskegon Operations   The benefit
under Section 3.02 is determined taking into account post March 31, 1996 benefit
service only. Effective Date: April 1, 1996.

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NASSCO Retirement Plan (the Plan hereby
supercedes the NASSCO Supplemental
Retirement Plan)   Only Employees designated by National Steel and Shipbuilding
Corporation shall be eligible for the benefit under Section 3.02. Effective
Date: November 11, 1998.

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Retirement Plan for Salaried Employees of General Dynamics Armament Systems—Saco
Operations   The benefit under Section 3.02 is determined taking into account
post December 31, 2000 benefit service only. Effective Date: January 1, 2001.

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General Dynamics Corporation Supplemental Retirement Plan

Appendix B
(Bath Iron Works Corporation)

B-1.      Purpose, Superseding Provision. Effective January 1, 1997, the purpose
of this Appendix B is to provide for certain benefit provisions for those
Employees of Bath Iron Works Corporation (“Bath”) described below (the
“Appendix B Employees”). This Appendix forms a part of the Plan to which it is
attached and its terms shall supersede other provisions of the Plan to the
extent such other provisions are inconsistent with this Appendix.

B-2.      Covered Employees. An Appendix B Employee is an Employee who is a
member of a select group of management or highly compensated employees of Bath
and who is designated by the Corporation or Bath as an Appendix B Employee.

B-3.      Amount, Form and Timing of Benefit. An Appendix B Employee shall be
entitled to supplemental benefits in accordance with the provisions of this
Appendix.

  (1)   The amount of benefits payable to an Appendix B Employee who is a
participant in the Bath Iron Works Corporation Supplemental Executive Retirement
Program (Principal Officers, Tier I, and Tier II Employees) (the “Bath SERP”) as
of December 31, 1996, shall be the greater of (a) the benefit payable to the
Appendix B Employee under the provisions of the Bath SERP that such Appendix B
Employee participates in (not taking account any reduction for amounts
calculated under B-3(1)(b))or (b) the benefit determined in accordance with the
provisions of Section 3 and Appendix A; provided that there shall be no
duplication of benefits between this Plan and the Bath SERP for the same period
of service. The benefit determined above shall be paid first from amounts
established to pay for benefits under the Plan (up to the maximum amount
determined under (b) above) with the remainder (if any) paid under the
provisions of the Bath SERP.         The form and timing of benefits payable to
an Appendix B Employee described in this B-3 (1) shall be determined under the
provisions of the Bath SERP that the Appendix B Employee participates in.    
(2)   The amount, form and timing of benefits payable to an Appendix B Employee
who is not described in B-3 (1) shall be determined in accordance with the
provisions of Section 3 and Appendix A.     (3)   Notwithstanding anything
contained in this Appendix to the contrary, if an Appendix B Employee described
in B-3 (1) commences his supplemental benefit prior to the commencement of
benefits under the Defined Benefit Plan he

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      participates in, he may elect to receive such benefit in the forms
described under the Bath SERP provided that a lump sum form shall be available
only if the Appendix B Employee elects the lump sum form option prior to such
Appendix B Employee’s termination of employment. Any such benefit election made
prior to the commencement of benefits under the Appendix B Employee Defined
Benefit Plan shall not be changed based on any future election by an Appendix B
Employee under the Defined Benefit Plan of which such Appendix B Employee is a
member.

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General Dynamics Corporation Supplemental Retirement Plan

Appendix D
(General Dynamics Government Systems Corporation)

D-1.      Purpose, Superseding Provision. Effective September 1, 1999, the
purpose of this Appendix D is to provide for certain provisions for those
Employees of General Dynamics Government Systems Corporation (“GSC”) described
below (the “Appendix D Employees”). This Appendix forms a part of the Plan to
which it is attached and its terms shall supersede other provisions of the Plan
to the extent such other provisions are inconsistent with this Appendix. This
Appendix consists of two parts: (i) an ISEP Executive Minimum and (ii) an
Executive Retired Life Insurance Plan (each a “Part” and collectively “Parts”).
Both such Parts provide benefits for Employees covered by these provisions,
benefits that are in addition to any benefits that may be provided under
Section 3 of the Plan. An Appendix D Employee will participate under a Part or
Parts based on the eligibility provisions of that Part.

D-2.      Definitions. Capitalized terms in this Appendix not defined elsewhere
in the Plan shall have the meaning assigned to them below.

  (1)   “Administrator” shall mean the Corporation, or the person (including but
not limited to GSC) to whom administrative duties are delegated to by the
Corporation.     (2)   “Base Salary” shall mean the Appendix D Employee’s annual
basic remuneration (exclusive of overtime, differentials, premiums and other
similar types of payment, but inclusive of commissions and bonuses on account of
sales when received by an Appendix D Employee pursuant to a written commitment
of his or her employer).     (3)   “GSC Qualified Plan” means the Retirement
Plan for General Dynamics Government Systems Corporation effective September 1,
1999.     (4)   “GTE Executive Life Insurance Plan” means the GTE Executive Life
Insurance Plan effective January 1, 1979.     (5)   “Predecessor Company” shall
mean, for periods prior to September 1, 1999, the GTE Government Systems
Corporation and any Affiliate as defined by the GTE Government Systems
Corporation Pension Plan for Salaried Employees at August 31, 1999.

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ISEP Executive Minimum

D-3.      Covered Employees. For purposes of this part, an Appendix D Employee
is an Employee who is a member of a select group of management or highly
compensated employees of GSC and who Separates as a Special Separatee under
Section 9 of the GSC Qualified Plan prior to December 31, 2002, regardless of
whether he is eligible to receive a Retirement Benefit under the GSC Qualified
Plan.

D-4.      Benefit. The benefit payable to an eligible Appendix D Employee under
this Part shall be a single life annuity equal to the Actuarial Equivalent Value
(as described in (3)(a) below) of the excess, if any, of (1) over (2) as
follows:

  (1)   The product of (a) times (b) as follows:

  (a)   The Appendix D Employee’s annual rate of compensation as of the day
immediately preceding the Appendix D Employee’s Separation Date, as defined in
the GSC Qualified Plan, whereby the annual rate of compensation shall be
determined by including only the types of remuneration included in determining
Modified Average Annual Compensation under the GSC Qualified Plan, but for
periods prior to September 1, 1999, without regard to awards from the
Predecessor Company under the Management Incentive Plan, the International Team
Incentive Program, and the GTE Investment Management Corporation Incentive Plan,
times     (b)   The Payment Ratio (as described in (3)(b) below) for the
Appendix D Employee; over

  (2)   The ISEP Lump Sum as defined by Section 9 of the GSC Qualified Plan
(plus the portion of such ISEP Lump Sum attributable to Appendix A), determined
without regard to any reduction in the ISEP Lump Sum attributable to a failure
to execute a Separation Agreement and General Release there under.     (3)   For
purposes of this D-4, the following shall apply:

  (a)   The Actuarial Equivalent Value shall be determined in the same manner as
it is determined for purposes of calculating the ISEP Annuity under Section 9 of
the GSC Qualified Plan.     (b)   The Payment Ratio shall be determined as
follows based on the Appendix D Employee’s career band and Base Salary at
termination:

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              Career Band   Base Salary Breakpoints   Payment Ratio

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Tan   $80,000 or higher     50 %               Orange   Less than $100,000    
50 %               Orange   $100,000 or higher     75 %               Yellow  
Less than $155,000     75 %               Yellow   $155,000 or higher     100 %

  (4)   The amounts determined under D-4 shall be reduced to 50% of the amounts
determined unless the Appendix D Employee (or, if applicable, the Appendix D
Employee’s personal representative) executes a Separation Agreement and General
Release pursuant to the requirements of Section 9 of the GSC Qualified Plan.

D-5.      Timing of Benefit. An Appendix D Employee, surviving spouse or
designated beneficiary who is entitled to an ISEP Executive Minimum benefit
under this Part shall be paid such ISEP Executive Minimum benefit under this
Part when benefits become due and payable to such person under the GSC Qualified
Plan.

D-6.      Form of Benefit. Any benefits payable pursuant to this Part shall be
paid under the same conditions and restrictions as would apply to the benefits
if they were provided by the GSC Qualified Plan at the time of retirement,
subject to the following:

  (1)   An Appendix D Employee shall have the right to elect to receive benefits
under this Part in any one of the forms provided under the GSC Qualified Plan
provided that an annuity option shall be available under this Part only if the
Appendix D Employee elects the annuity payment option prior to such Appendix D
Employee’s termination of employment.     (2)   Notwithstanding D-6 (1), if the
Appendix D Employee is also entitled to a benefit pursuant to the provisions of
Appendix A, then both the benefit attributable to Appendix A and the benefit
attributable to this Part of Appendix D must be paid at the same time and under
the same optional form.     (3)   If an Appendix D Employee elects to receive
benefits under this Part in a form other than a single life annuity, the
benefits shall be computed so as to be the Actuarial Equivalent of such benefits
in the form of a single life annuity using the actuarial tables and interest
rates then in effect under the GSC Qualified Plan.

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Executive Retired Life Insurance Plan

D-7.      Covered Employees. For purposes of this Part, an Appendix D Employee
is an Employee of GSC who as of June 21, 1999, participated in the GTE Executive
Retired Life Insurance Plan (the “ERLIP”) and whose combined age and years of
service as of June 21, 1999, was at least 66 or who was otherwise within five
years of eligibility for the ERLIP as of that date.

In order to be eligible to obtain benefits under this Part, an Appendix D
Employee must retire pursuant to the terms of the GSC Qualified Plan, provided
however that retirement with a deferred vested benefit shall not be deemed to
satisfy this provision except in the case of a participant who terminates
employment with GSC having attained age 60 with at least 10 years of service.

D-8.      Benefit. A participant eligible to receive benefits under this Part
shall receive non-contributory life insurance benefits under the following
schedule:

      Grandfathered     Salary Grade     at Termination   Insurance

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15   1.0 x base salary 16   1.5 x base salary 17   2.0 x base salary 18   2.5 x
base salary 19 and above   3.0 x base salary

The Administrator, in its sole discretion, may amend the above schedule.

Any Appendix D Employee who is demoted, downgraded, transferred or assigned to a
position, whether or not such position is eligible to participate in this Part,
may under extraordinary circumstances as determined by the Administrator, remain
eligible to receive benefits based upon his highest salary grade and Base Salary
while participating in this Part.

D-9.      Timing of Benefit. An Appendix D Employee who satisfies the criteria
in D-7 of this Part shall receive benefits only upon retirement pursuant to the
terms of the GSC Qualified Plan. The benefits under this Part shall be in lieu
of any other life insurance coverage provided for retired employees by GSC.

D-10.      Form of Benefit. The benefit provided by this Part is in the form of
non-contributory life insurance. However, an Appendix D Employee eligible to
receive benefits under this Part may elect to convert all or part of this life
insurance benefit to a supplementary retirement benefit as follows:

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  (1)   An Appendix D Employee may elect to receive a supplementary retirement
benefit in any form then provided under the GSC Qualified Plan, or in two to
thirty annual installments, or as otherwise may be approved by the
Administrator. The supplementary retirement benefit shall be based upon the
present value of the life insurance benefit defined in this Part, using the
actuarial tables and interest rates then in effect for the GSC Qualified Plan  
  (2)   In the event that an Appendix D Employee elects to receive a
supplementary retirement benefit other than in the single life annuity form
and/or other than at age 65, the amount of such benefits shall be actuarially
adjusted using the actuarial table and interest rates then in effect for the GSC
Qualified Plan.     (3)   If an Appendix D Employee elects to receive a
supplementary retirement benefit in an installment form and dies prior to the
payment of all installments, any unpaid installments shall be paid to the
Appendix D Employee’s beneficiary or, in the absence of a designated
beneficiary, to the Appendix D Employee’s estate. The designated beneficiary
shall have the option to continue to receive annual payments for the period
elected by the Appendix D Employee or to receive the unpaid installments in a
lump sum. In the event that a lump sum is elected, the lump sum will be adjusted
using the actuarial tables and interest rates then in effect for the GSC
Qualified Plan.

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