Exhibit 10.oo


 


CINERGY CORP. NON-UNION

EMPLOYEES’ PENSION PLAN


 


(As Amended and Restated


Effective January 1, 2003)


 

















 


NOTE:  THIS TABLE OF CONTENTS IS
NOT PART OF THE

CINERGY CORP. NON-UNION EMPLOYEES’ PENSION

PLAN; INSTEAD, THIS TABLE OF CONTENTS IS MERELY

FOR CONVENIENCE OF REFERENCE


 


TABLE OF CONTENTS


 


	
  ARTICLE
  1  DEFINITIONS

  
	
   

  
	
  ARTICLE
  2  EFFECTIVE DATE OF PLAN

  
	
   

  
	
  ARTICLE
  3  ELIGIBILITY AND PARTICIPATION

  
	
  3.1

  	
  Date of
  Participation

  
	
  3.2

  	
  Cash
  Balance Participation

  
	
  3.3

  	
  Intermittent Employees and Temporary
  Employees

  
	
  3.4

  	
  Leased
  Employees

  
	
  3.5

  	
  Transfers of Employment

  
	
  3.6

  	
  Transfers of Participants and Plan Assets
  To and From the Cinergy Corp. Union Employees’ Retirement Income Plan and
  Cinergy Corp. Union Employees’ Pension Plan.

  
	
  3.7

  	
  Reclassification

  
	
   

  	
   

  
	
  ARTICLE
  4  AMOUNT OF LIFE-ONLY PENSION

  
	
  4.1

  	
  Normal
  Retirement Pension Formula

  
	
  4.2

  	
  Normal Retirement Benefits for Participants in the PSI Plan

  
	
  4.3

  	
  Normal Retirement Benefits for Participants
  in the MRP or RIP

  
	
  4.4

  	
  General Method of Computing Annual Pension
  for Retirement at Early Retirement Date

  
	
  4.5

  	
  General Method of Computing Annual Pension for a Terminated Vested
  Participant

  
	
  4.6

  	
  Maximum
  Pension

  
	
  4.7

  	
  Benefits
  if Plan Becomes a Top-Heavy Plan

  
	
  4.8

  	
  2000
  Limited Early Retirement Program

  
	
  4.9

  	
  2002 Voluntary Early Retirement Program

  
	
  4.10

  	
  Nonapplicability
  of Article

  
	
   

  	
   

  
	
  ARTICLE
  4A  CASH BALANCE ACCOUNTS

  
	
  4.1A

  	
  Opening
  Account

  
	
  4.2A

  	
  Pay
  Credits

  
	
  4.3A

  	
  Interest
  Credits

  
	
  4.4A

  	
  Cash Balance Annual Pension

  
	
   

  	
   

  
	
  ARTICLE
  5  SEVERANCE FROM SERVICE-VESTING

  
	
  5.1

  	
  Vesting Requirement

  



 


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  5.2

  	
  Severance from Service Before Vesting

  
	
  5.3

  	
  Severance from Service After Vesting

  
	
   

  	
   

  
	
  ARTICLE
  6  DEATH BENEFIT

  
	
  6.1

  	
  Determination of Spouse’s Benefit for
  Participant Who Had Not Become a Cash Balance Participant

  
	
  6.2

  	
  Method of Payment of Spouse’s Benefit for Participant Who Had Not
  Become a Cash Balance Participant

  
	
  6.3

  	
  Preretirement Death Benefit for Cash Balance Participant

  
	
   

  	
   

  
	
  ARTICLE
  7  FORMS OF PENSION

  
	
  7.1

  	
  Normal Forms of Pension

  
	
  7.2

  	
  Optional Forms of Retirement Income

  
	
   

  	
   

  
	
  ARTICLE
  8  PAYMENT OF PENSION

  
	
  8.1

  	
  Timing
  of Payment

  
	
  8.2

  	
  Method
  of Payment

  
	
  8.3

  	
  Small
  Benefits

  
	
  8.4

  	
  Facility of Payment

  
	
  8.5

  	
  Benefits for Late Retirees, Reemployed Retirees and Reemployed
  Terminated Vested Participants

  
	
  8.6

  	
  Required
  Payment of Benefits

  
	
  8.7

  	
  Direct
  Rollovers of Eligible Distributions

  
	
   

  	
   

  
	
  ARTICLE
  9  RETIREE MEDICAL/DENTAL BENEFITS

  
	
  9.1

  	
  Purpose

  
	
  9.2

  	
  Eligibility

  
	
  9.3

  	
  Separate
  Account

  
	
  9.4

  	
  Impossibility of Diversion Prior To Satisfaction of All Liabilities

  
	
  9.5

  	
  Reversion Upon Satisfaction of All Liabilities

  
	
  9.6

  	
  Forfeitures

  
	
  9.7

  	
  Employer Contributions To The Medical/Dental Benefits Account

  
	
  9.8

  	
  Medical/Dental Benefits

  
	
   

  	
   

  
	
  ARTICLE
  10  NONALIENATION OF BENEFITS

  
	
   

  
	
  ARTICLE
  11  ADMINISTRATION

  
	
  11.1

  	
  Administrator

  
	
  11.2

  	
  Removal and Replacement of Committee
  Members

  
	
  11.3

  	
  Disqualification and Resignation

  
	
  11.4

  	
  Chairperson,
  Services, and Counsel

  
	
  11.5

  	
  Meetings

  
	
  11.6

  	
  Quorum

  
	
  11.7

  	
  Action Without Meeting

  
	
  11.8

  	
  Notice to Trustee of Changes in Membership

  
	
  11.9

  	
  Correction of Defects

  
	
  11.10

  	
  Reliance Upon Legal Counsel

  



 


ii

















 


	
  11.11

  	
  Expenses

  
	
  11.12

  	
  Indemnification

  
	
  11.13

  	
  Powers
  and Duties of Committee

  
	
  11.14

  	
  Matters Specifically Excluded from
  Jurisdiction

  
	
   

  	
   

  
	
  ARTICLE
  12  BENEFIT CLAIMS PROCEDURES

  
	
   

  
	
  ARTICLE
  13  FUNDING POLICY AND METHOD

  
	
   

  
	
  ARTICLE
  14  MISCELLANEOUS

  
	
  14.1

  	
  No
  Enlargement of Employee Benefits

  
	
  14.2

  	
  Reemployment

  
	
  14.3

  	
  Qualified Military Service

  
	
  14.4

  	
  Notice
  of Address

  
	
  14.5

  	
  Data

  
	
  14.6

  	
  No
  Individual Liability

  
	
  14.7

  	
  Participant’s Statement of Agreement

  
	
  14.8

  	
  No Diversion of Assets

  
	
  14.9

  	
  Governing
  Laws

  
	
  14.10

  	
  Severability

  
	
  14.11

  	
  Interpretation and Regulation of Plan

  
	
  14.12

  	
  Communications
  by Participants

  
	
  14.13

  	
  Headings

  
	
  14.14

  	
  Accrued Benefit Not to be Decreased by
  Amendment

  
	
   

  	
   

  
	
  ARTICLE
  15  TRUSTS AND INSURANCE CONTRACTS

  
	
  15.1

  	
  Trusts and Insurance Contracts

  
	
  15.2

  	
  Irrevocability

  
	
  15.3

  	
  Sufficiency
  of Pension Fund

  
	
   

  	
   

  
	
  ARTICLE
  16  CONTRIBUTIONS

  
	
   

  
	
  ARTICLE
  17  APPROVAL UNDER INTERNAL REVENUE CODE

  
	
   

  
	
  ARTICLE
  18  TEMPORARY RESTRICTIONS ON BENEFITS

  
	
  18.1

  	
  Temporary Restrictions

  
	
   

  	
   

  
	
  ARTICLE
  19  AMENDMENT AND TERMINATION

  
	
  19.1

  	
  Right
  to Amend or Terminate

  
	
  19.2

  	
  Effect of Termination

  
	
  19.3

  	
  Merger and Consolidation of Plan

  
	
  19.4

  	
  Post-Change in Control Merger,
  Consolidation, or Transfer of Pension Plan Assets or Liabilities

  
	
  19.5

  	
  General Protection of Benefits in the Event
  of a Change in Control

  
	
  19.6

  	
  Post-Change
  in Control Surplus Reversion

  



 


iii

















 


	
  ARTICLE
  20  AUTHORIZED TRANSACTION

  
	
   

  
	
  ARTICLE
  21  PARTICIPATION BY OTHER EMPLOYERS

  
	
  21.1

  	
  Adoption
  of Plan

  
	
  21.2

  	
  Withdrawal
  from Participation

  
	
  21.3

  	
  Cinergy
  as Agent for Employers

  
	
   

  	
   

  
	
  ARTICLE
  22  CONTINUANCE BY A SUCCESSOR

  
	
   

  
	
  ARTICLE
  23  PROVISIONS RELATING TO TOP-HEAVY PLAN

  
	
  23.1

  	
  Construction of this Section

  
	
  23.2

  	
  Top-Heavy Determination

  
	
  23.3

  	
  Effects of a Top-Heavy Determinations

  
	
   

  	
   

  
	
  ARTICLE
  24  MERGER WITH THE MRP

  
	
  24.1

  	
  Acceptance of Assets and Liabilities of MRP
  Trust

  
	
  24.2

  	
  Participation of MRP Participants

  
	
   

  	
   

  
	
  ARTICLE
  25  SPIN OFF OF PSI PLAN

  
	
  25.1

  	
  Acceptance
  of Assets and Liabilities of PSI Plan Trust

  
	
  25.2

  	
  Participation of PSI Plan Participants

  
	
   

  	
   

  
	
  ARTICLE
  26  MRP, RIP, PSI PLAN RETIREE INCREASE

  
	
  26.1

  	
  Eligible Recipient: Benefit Increase

  
	
  26.2

  	
  Applicable Percentage

  
	
  26.3

  	
  Definitions

  
	
  26.4

  	
  Code
  Section 415 Limits

  
	
  26.5

  	
  Miscellaneous

  



 


ADDENDUM – EGTRRA and 401(a)(9)
Model Provisions


 


ADDENDUM A – (PSI Plan –
Minimum Formulas)


 


ADDENDUM B – (MRP/RIP – Minimum
Formulas)


 


ADDENDUM C – MRP/RIP 100%
Spousal and Contingent Annuitant Benefit


 


ADDENDUM D – MRP/RIP 50%
Contingent Annuitant Factors


 


ADDENDUM E – Level Income
Option – Factors Using UP84 Mortality and 7.5% Interest


 


ADDENDUM F – MRP/RIP Level
Income Option Factors


 


iv

















 


Adopted pursuant to resolutions of the
Cinergy

Corp. Benefits Committee dated December 18, 2002


 


CINERGY CORP. NON-UNION


 


EMPLOYEES’ PENSION PLAN


 


(As Amended and Restated Effective January 1, 2003)


 


INTRODUCTION


 


Effective
January 1, 1990, the Cincinnati Gas & Electric Company adopted The
Cincinnati Gas & Electric Company Management Retirement Plan
(“MRP”).  Effective January 1,
1998, the MRP was renamed the Cinergy Corp. Non-Union Employees’ Pension Plan.  Also, effective as of December 31,
1997, the assets and liabilities of the PSI Plan attributable to Eligible
Employees were merged into this Plan. 
The Plan was amended and restated as of January 1, 1999.  The provisions of this amendment and
restatement of the Plan are effective as of January 1, 2003 except where
an interim effective date is otherwise provided.


 


This Plan is
maintained for the exclusive benefit of Eligible Employees.  The purpose of the Plan is to provide
retirement income for Eligible Employees. 
The Plan is designed to satisfy the requirements of Code
subsection 401(a) and the applicable requirements of ERISA.


 


ARTICLE 1


 


DEFINITIONS


 


As used in this document, the
following words and phrases, when capitalized, will have the meanings set forth
below, unless a different meaning is plainly required by the context.


 


1.1                                 “Absence
from Service” means, with respect to each Employee, his absence from service
(with or without pay) with his Employer for any reason other than a quit,
resignation, discharge, retirement, or death, including, but without limitation
because of enumeration, vacation, holiday, sickness, disability, leave of
absence (unless otherwise required by applicable law), or other layoff.  The expiration of an Employee’s Absence from
Service shall be the earliest of his Actual Separation Date, the date the
Employee returns to employment with his Employer or the expiration of
12 months from the first date of Absence from Service, except that for an
Employee who had not become a Cash Balance Participant and who is totally
disabled and qualifies for benefits under Cinergy’s Long-Term Disability Plan,
the expiration of his Absence from Service will not occur until the earlier of
(i) the date the Employee becomes a Cash Balance Participant (if
applicable) or


 


1

















 


(ii) the later of (a) the date he
no longer qualifies for benefits under Cinergy’s Long-Term Disability Plan, or
(b) his Normal Retirement Date, Early Retirement Date, or Actual
Separation Date, whichever is applicable.


 


1.2                                 “Accrued
Vacation Pay” means, with respect to an Exempt Employee or a Non-Exempt
Employee, the compensation received at his Severance from Service for unused
accrued vacation pursuant to the Employer’s applicable policy.


 


1.3                                 “Active
Participant” means a Participant for whom benefits are being accrued under the
Plan on the applicable date.


 


1.4                                 “Actual
Separation Date” means:


 


(a)                                  with
respect to a Participant who either (1) retires on or after his Normal
Retirement Date, or (2) who retires on an Early Retirement Date, the first
day of the calendar month coincident with or following the date of the
Participant’s Severance from Service; or


 


(b)                                 with
respect to a Participant who incurs a Severance from Service before he reaches
age 50 and who is entitled to benefits determined under the provisions of
Section 5.3 (Severance from Service After Vesting), the date of the
Participant’s Severance from Service.


 


1.5                                 “Actuarial
Equivalent” means a benefit having the same actuarially determined value as the
benefit that the Actuarial Equivalent replaces.  The determination of an Actuarial Equivalent will be based on the
actuarial assumptions in Subsections (a) and (b) below, except as provided in
Subsection (c), (d), (e) or (f) below:


 


(a)                                  Mortality:


 


Participants
in accordance with the UP–1984 Table, with no rating of ages; Spouses and
Contingent Annuitants in accordance with the UP-1984 Table, with ages rated
down three years;


 


(b)                                 Interest:


 


7-1/2% per
annum, compounded annually.


 


(c)                                  Lump
Sums:


 


With respect
to any lump sum payment under Subsection 7.2(f) (Cash Balance Account
Single Sum) or Section 8.3 (Small Benefits) that may be payable under the Plan
during a Plan Year, the Actuarial Equivalent will be calculated using the
applicable mortality table as prescribed from time to time by the Secretary of the
Treasury (for distributions with Annuity Starting Dates after December 30,
2002, the mortality table prescribed in Revenue Ruling 2001–62) and
an interest rate equal to the “applicable interest rate” under Code
subsection 417(e) as specified by the


 


2

















 


Commissioner
of Internal Revenue in revenue rulings, notices or other guidance published in
the Internal Revenue Bulletin (currently based on the annual rate of interest
on 30-year Treasury securities) for the fifth full calendar month preceding the
first day of the Plan Year in which the Annuity Starting Date occurs.


 


(d)           Small Lump Sums in 2003:


 


Notwithstanding
Subsection (c), with respect to any determination of a lump sum amount
pursuant to Section 8.3 (Small Benefits) for the Plan Year ending
December 31, 2003 for a Participant, Spouse or Beneficiary who would have
had a lump sum amount pursuant to Section 8.3 (Small Benefits) with an
Annuity Starting Date after December 31, 2002 and before January 1, 2004 in an
amount not in excess of $5,000 using the “applicable interest rate” as
specified by the Commissioner of Internal Revenue in revenue rulings, notices
or other guidance published in the Internal Revenue Bulletin (currently based
on the annual rate of interest on 30-year Treasury securities) for the second
full calendar month preceding the first day of the Plan Year, the amount of the
lump sum for determining whether a lump sum is payable under Section 8.3
(Small Benefits) and if applicable the amount of the lump sum payment shall be
determined, and shall not be less than the amount determined, using the
“applicable interest rate” as specified by the Commissioner of Internal Revenue
in revenue rulings, notices or other guidance published in the Internal Revenue
Bulletin (currently based on the annual rate of interest on 30-year Treasury
securities) for the second full calendar month preceding the first day of the
Plan Year in which the Annuity Starting Date occurs or the fifth full calendar
month preceding the first day of the Plan Year in which the Annuity Starting
Date occurs, whichever produces a larger lump sum payment.


 


(e)                                  Conversion
of Cash Balance Account to Annuity and Related Calculations


 


With respect
to any conversion of a Cash Balance Account (or “Projected Cash Balance
Account” as defined in Subsection 4.4A(a) (General Rule)) to an Annual Pension
under Subsection 4.4A(a) (General Rule), the calculations under Section 6.3
(Preretirement Death Benefit for Cash Balance Participant), the calculations
under Paragraph 7.1(a)(2) (Cash Balance Participant Without Prior Conversion
Pension) and the calculations under Paragraph 7.1(a)(3) (Cash Balance
Participant With Prior Conversion Pension), except as otherwise provided
therein, the Actuarial Equivalent will be calculated using the applicable
mortality table under Code subsection 417(e) as prescribed from time to time by
the Secretary of the Treasury (currently the mortality table prescribed in
Revenue Ruling 2001-62) and an interest rate equal to the “applicable interest
rate” under Code subsection 417(e) as specified by the Commissioner of
Internal Revenue in revenue rulings, notices or other


 


3

















 


guidance
published in the Internal Revenue Bulletin (currently based on the annual rate
of interest on 30-year Treasury securities) for the fifth full calendar month
preceding the first day of the Plan Year in which the Annuity Starting Date
occurs.


 


(f)                                    MRP/RIP/PSI
Minimum.


 


In the case of
a Participant who had an accrued benefit under the MRP, RIP, or the PSI Plan as
of December 31, 1997, and who has a Severance from Service Date after
December 31, 1997, no benefit determination other than lump sum payments
under Subsections (c) and (d) (which shall be determined under
Subsections (c) and (d), if and as applicable) will produce an amount that
is less than that which would have been produced utilizing both the actuarial
assumptions specified in the MRP, RIP, or the PSI Plan, whichever is
applicable, as in effect on December 31, 1997, and the annual pension
accrued as of December 31, 1997, determined under the provisions of the
MRP, the RIP, or the PSI Plan, whichever is applicable, as then in effect.


 


1.6                                 “Additional
Separation Date” means, with respect to a Participant who has an Initial
Separation Date and who is later reemployed by an Employer, the first day of
the calendar month coincident with or following the Participant’s next
Severance from Service Date.  However,
if the Participant has multiple Severance from Service Dates after his Initial
Separation Date, then he will have an Additional Separation Date for each
Severance from Service, which will be the first day of the calendar month
coincident with or following the Participant’s applicable Severance from
Service Date.


 


1.7                                 “Affiliate”
means any employer that together with the Employer is under common control or a
member of an affiliated service group as determined under Code
subsections 414(b), (c), (m), and (o). 
In determining whether an employer is a member of a controlled group for
purposes of Section 4.6 (Maximum Pension), the rules osf Code
subsections 414(b) and (c) will be applied as modified by Code
subsection 415(h).


 


1.8                                 “Aggregate
Account” means, with respect to a Participant who is also participating in a
Qualified Defined Contribution Plan that is included in an Aggregation Group,
the sum of:  (a) the Participant’s
account balance under the plan as of the Valuation Date; (b) an adjustment
for any contributions due under the plan as of the Determination Date (the
adjustment will be the amount of any contributions actually made after the
Valuation Date but before the Determination Date, except for the first Plan
Year when the adjustment will also reflect the amount of any contributions made
after the Determination Date that are allocated as of a date in the first Plan
Year); and (c) any Plan distributions made within the Plan Year that
includes the Determination Date or within the four preceding Plan Years.  However, in the case of distributions made
after the Valuation Date and prior to the Determination Date, distributions are
not included as distributions for


 


4

















 


Top-Heavy purposes to the extent that the
distributions are already included in the Participant’s Aggregate Account
balance as of the Valuation Date.


 


1.9                                 “Aggregation
Group” means either a Required Aggregation Group or a Permissive Aggregation
Group.


 


1.10                           “Annual
Addition” means, with respect to a Participant for a Plan Year, the following
amounts credited to a Participant’s account in any Qualified Defined
Contribution Plan maintained by the Employer or an Affiliate for the Plan
Year:  employer contributions, employee
contributions (other than rollover contributions); forfeitures; amounts
allocated, after March 31, 1984, to an individual medical account, as
defined in Code paragraph 415(l)(2), that is part of a pension or annuity
plan maintained by the Employer or an Affiliate; and amounts derived from
contributions paid or accrued after March 31, 1984, that are attributable
to post-retirement medical benefits, allocated to the separate account of a Key
Employee, under a welfare benefit fund, as defined in Code
subsection 419(e), maintained by the Employer or an Affiliate.


 


1.11                           (a)           “Annual Pension” for a Participant
who has not become a Cash Balance Participant means, with respect to the
Participant, the amount of the Participant’s pension, expressed as an annual
benefit for the Participant’s lifetime commencing on his Normal Retirement Date
(or, if the Participant has attained his Normal Retirement Date, the Annuity
Starting Date as of which the Annual Pension is being determined) determined in
accordance with Article 4 (Amount of Life-Only Pension).


 


(b)                                   “Annual
Pension” for a Participant who has become a Cash Balance Participant means,
with respect to the Participant, the amount of the Participant’s pension,
expressed as an annual benefit for the Participant’s lifetime commencing on his
Normal Retirement Date (or, if the Participant has attained his Normal
Retirement Date, the Annuity Starting Date as of which the Annual Pension is
being determined) determined in accordance with Article 4A (Cash Balance
Accounts).


 


(c)                                    “Prior
Conversion Pension” for (and only for) a Participant who has become a Cash
Balance Participant and has had an amount credited to his Cash Balance Account
in accordance with Section 4.1A (Opening Account) means the Participant’s
accrued benefit amount used to determine the opening balance credited to his
Cash Balance Account under Section 4.1A (Opening Account) expressed as an
annual benefit for the Participant’s lifetime commencing on his Normal
Retirement Date (or, if the Participant had attained his Normal Retirement Date
as of the date the amount is credited to his Cash Balance Account, the date the
amount is credited to his Cash Balance Account).  The Prior Conversion Pension for a Participant who has become a
Cash Balance Participant and has had an amount credited to his Cash Balance
Account in accordance with Section 4.1A (Opening Account) shall be determined
as if the Employee had


 


5

















 


terminated employment with the Employer and
all Affiliates as of the date immediately prior to the date the amount is
credited to his Cash Balance Account or, if earlier, for an Employee who
becomes a Cash Balance Participant upon reemployment the date of the Employee’s
prior termination of employment.


 


1.12                           “Annual
Performance Cash Award” means, with respect to an Employee, the cash award
received by the Employee under the provisions of an Employer’s annual bonus or
incentive pay plan or program, including, but without limitation because of
enumeration, the Cinergy Annual Incentive Plan, the Cinergy Non-Union
Employees’ Incentive Plan, or any successor Plan.


 


1.13                           “Annuity
Starting Date” means, with respect to a Participant, the first day of the first
period for which a Plan benefit is paid as an annuity or, in the case of a
benefit not payable in the form of an annuity, the first day on which all
events have occurred that entitle the Participant to the benefit.


 


1.14                           “Base
Salary” means, with respect to an Exempt Employee, the monthly base salary
received as remuneration for services performed for the relevant period,
exclusive of any allowances, premiums, bonuses, overtime, or other forms or
types of compensation.


 


1.15                           “Base
Wage” means, with respect to a Non-Exempt Employee, the hourly base rate of pay
received as remuneration for services performed for the relevant period,
exclusive of any allowances, premiums, bonuses, overtime, or other forms or
types of compensation, multiplied by his hours worked during the applicable
period.


 


1.16                           “Beneficiary”
means, with respect to each Participant, the person or persons who are to
receive benefits under the Plan after the Participant’s death.


 


1.17                           “Board
of Directors” means the duly constituted board of directors of Cinergy on the
applicable date.


 


1.18                           “Break
in Service” means, with respect to each Regular Employee, a Period of Severance
of at least 12 consecutive months.  With
respect to an Intermittent Employee or a Temporary Employee, a “Break in
Service” means a Plan Year during which he completes 500 or fewer Hours of
Service.


 


1.19                           “Cash
Balance Account” means the notional account established and maintained for a
Participant under the Plan pursuant to Article 4A (Cash Balance
Accounts).  A Participant shall cease to
have a Cash Balance Account upon commencement of distribution (subject to
reinstatement as provided in the Plan).


 


1.20                           “Cash
Balance Participant” means any Eligible Employee so designated in accordance
with Section 3.2 (Cash Balance Participation).


 


6

















 


1.21                           “CG&E”
means The Cincinnati Gas & Electric Company, and any related company
that adopted the MRP or the RIP.


 


1.22                           “Change
in Control” means any of the following events in (a), (b), (c), or (d) below
has occurred:


 


(a)                                  Any
Person is or becomes the beneficial owner (as defined in Rule 13d-3 under
the Securities Exchange Act), directly or indirectly, of securities of Cinergy
(not including in the securities beneficially owned by such Person any
securities acquired directly from Cinergy or its affiliates) representing more
than twenty percent (20%) of the combined voting power of Cinergy’s then
outstanding securities, excluding any Person who becomes such a beneficial
owner in connection with a transaction described in paragraph (1) of
Subsection (b) below; or


 


(b)                                 There
is consummated a merger or consolidation of Cinergy or any direct or indirect
subsidiary of Cinergy with any other corporation, partnership or other entity,
other than (1) a merger or consolidation that would result in the voting
securities of Cinergy outstanding immediately prior to that merger or
consolidation continuing to represent (either by remaining outstanding or by
being converted into voting securities of the surviving entity or its parent)
at least sixty percent (60%) of the combined voting power of the
securities of Cinergy or the surviving entity or its parent outstanding
immediately after the merger or consolidation, or (2) a merger or
consolidation effected to implement a recapitalization of Cinergy (or similar
transaction) in which no Person is or becomes the beneficial owner, directly or
indirectly, of securities of Cinergy (not including in the securities
beneficially owned by such a Person any securities acquired directly from
Cinergy or its affiliates other than in connection with the acquisition by
Cinergy or its affiliates of a business) representing twenty percent (20%)
or more of the combined voting power of Cinergy’s then outstanding securities;
or


 


(c)                                  During
any period of two (2) consecutive years, individuals who at the beginning
of that period constitute the Board of Directors and any new director (other
than a director whose initial assumption of office is in connection with an
actual or threatened election contest, including but not limited to a consent
solicitation, relating to the election of directors of Cinergy) whose
appointment or election by Cinergy’s stockholders was approved or recommended
by a vote of at least two-thirds (2/3) of the directors then still in
office who either were directors at the beginning of that period or whose
appointment, election, or nomination for election was previously so approved or
recommended cease for any reason to constitute a majority of the Board of
Directors; or


 


(d)                                 The
stockholders of Cinergy approve a plan of complete liquidation or dissolution
of Cinergy or there is consummated a sale or disposition by


 


7

















 


Cinergy of all
or substantially all of Cinergy’s assets, other than a sale or disposition by
Cinergy of all or substantially all of Cinergy’s assets to an entity, at least
sixty percent (60%) of the combined voting power of the voting securities
of which are owned by stockholders of Cinergy in substantially the same
proportions as their ownership of Cinergy immediately prior to the sale.


 


(e)                                  For
purposes of this Section, “Person” has the meaning set forth in
paragraph 3(a)(9) of the Securities Exchange Act, as modified and used in
subsections 13(d) and 14(d) of the Securities Exchange Act; however, a
Person will not include the following: (1) Cinergy or any of its
subsidiaries or affiliates; (2) a trustee or other fiduciary holding
securities under an employee benefit plan of Cinergy or any of its subsidiaries
or affiliates; (3) an underwriter temporarily holding securities pursuant
to an offering of those securities; or (4) a corporation owned, directly
or indirectly, by the stockholders of Cinergy in substantially the same
proportions as their ownership of stock of Cinergy.


 


1.23                           “Cinergy”
means Cinergy Corp., a Delaware corporation, and any corporation that succeeds
to its business and adopts the Plan.


 


1.24                           “Claimant”
means a person submitting a claim for benefits under the Plan.


 


1.25                           “Code”
means the Internal Revenue Code of 1986, as amended from time to time, and
interpretive rulings and regulations.


 


1.26                           “Committee”
means the benefits committee established pursuant to Article 11
(Administration) to serve as Plan administrator.


 


1.27                           “Contingent
Annuitant” means, with respect to any Participant electing a contingent pension
option under Section 7.2 (Optional Forms of Retirement Income), the person
designated by the Participant to receive a contingent pension after the
Participant’s death.


 


1.28                           “Covered
Compensation” means, with respect to a Participant, the average (without
indexing) of the annual Social Security taxable wage bases under the Social
Security Act for each year during the 35 calendar years ending with the
last day of the calendar year in which the Participant reaches his Social
Security Retirement Age.  In determining a Participant’s Covered
Compensation, the Social Security taxable wage base for all calendar years
beginning after the year of the Participant’s Severance from Service Date is
assumed to be the same as the taxable wage base in effect as of the beginning
of the year in which the Participant’s Severance from Service Date occurs.  The determination of a Participant’s Covered
Compensation shall be made in accordance with Code subsection 401(l).


 


8

















 


1.29                           “Defined
Benefit Plan Fraction” means, with respect to an individual participating in
one or more Qualified Defined Benefit Plans for any calendar year, the
fraction, the numerator of which is the individual’s Projected Annual Benefit
under the Qualified Defined Benefit Plans (determined as of the end of the
calendar year), and the denominator of which is the lesser of:  (a) the product of 1.25 (1.0 if the
Plan is a Top-Heavy Plan for the particular calendar year) multiplied by the
dollar limitation in effect under Code subparagraph 415(b)(1)(A) for that
calendar year, or (b) the product of 1.4 multiplied by the amount that may
be taken into account under Code subparagraph 415(b)(1)(B) with respect to
the individual under the Qualified Defined Benefit Plans for the calendar year.


 


1.30                           “Defined
Contribution Plan Fraction” means, with respect to an individual participating
in one or more Qualified Defined Contribution Plans for any calendar year, the
fraction, the numerator of which is the sum of the Annual Additions with
respect to the Participant (determined as of the close of the calendar year),
and the denominator of which is the lesser of the following amounts (determined
for that calendar year and for each prior calendar year of service with the
Employer):  (a) the product of 1.25
(1.0 if the Plan is a Top-Heavy Plan for the particular calendar year)
multiplied by the dollar limitation in effect under Code
subparagraph 415(c)(1)(A) for the calendar year (determined without regard
to Code paragraph 415(c)(6)), or (b) the product of 1.4 multiplied by
the amount that may be taken into account under Code
subparagraph 415(c)(1)(B) with respect to that individual under all
Qualified Defined Contribution Plans for the calendar year.


 


1.31                           “Dependent”
means any individual who is eligible for coverage under the Medical/Dental Plan
as the “spouse” or “dependent” of an Eligible Retiree.


 


1.32                           “Determination
Date” means, for purposes of determining whether the Plan is a Top-Heavy Plan
for any Plan Year, the last day of the preceding Plan Year, or, for the first
Plan Year, the last day of the Plan Year.


 


1.33                           “Direct
Rollover” means a payment by the Plan to the Eligible Retirement Plan specified
by the Distributee.


 


1.34                           “Disability
Date” means, with respect to a Participant, the date the Participant is first
determined to be totally disabled under Cinergy’s Long Term Disability Plan, as
amended from time to time.


 


1.35                           “Distributee”
means an Employee or former Employee. 
In addition, the Employee’s or former Employee’s surviving Spouse, and
the Employee’s or former Employee’s Spouse who is the alternate payee under a
Qualified Domestic Relations Order are Distributees with regard to the interest
of the Spouse or former Spouse.


 


1.36                           “Early
Retirement Date” means, with respect to each Participant who has satisfied the
Vesting Requirement, and whose Severance from Service occurs on or after


 


9

















 


his 50th birthday but prior to his
Normal Retirement Date, the first day of the calendar month coincident with or
following his Severance from Service.  The Early Retirement Date definition,
however, shall not apply to a Participant for periods on and after the
Participant becomes a Cash Balance Participant except as otherwise provided in
Article 4A (Cash Balance Accounts).


 


1.37                           “Earnings”
means, with respect to any Employee for any period of reference, the sum of the
Employee’s:  (a) Base Salary or
Base Wage, (b) Overtime Pay, (c) Shift Premiums, (d) Work
Schedule Recognition Pay, (e) Holiday Premiums, (f) Accrued Vacation
Pay, (g) Performance Lump Sum Pay, and (h) Annual Performance Cash
Awards.  “Earnings” does not include
(a) reimbursements or other expense allowances, (b) fringe benefits
(cash and noncash) other than those named in the preceding sentence,
(c) moving and relocation expenses, (d) deferred compensation,
(e) welfare benefits, (f) Long-Term Performance Awards,
(g) Executive Individual Incentive Awards, (h) other forms of
compensation or remuneration that are not specifically named in the preceding
sentence, or (i) any payments received by an Employee from any Affiliate
that is not an Employer.


 


Notwithstanding
the foregoing provisions of this Section, an Employee’s Earnings taken into
account for any Plan Year will not exceed $150,000, as adjusted pursuant to
Code paragraph 401(a)(17).


 


1.38                           “Eligible
Employee” means an Employee other than a Leased Employee or an Employee whose
terms and conditions of employment are governed by a collective bargaining
agreement that does not provide for participation in this Plan.  Notwithstanding the foregoing provisions of
this Section 1.38, Eligible Employee shall not include any Employee of Vestar,
Inc. whose Employment Commencement Date is after December 31, 2002.


 


1.39                           “Eligible
Individual” means an Eligible Retiree or a Dependent.


 


1.40                           “Eligible
Retiree” means an individual who:


 


(a)                                  is
a Retired Participant who is also eligible to participate in the Medical/Dental
Plan, and


 


(b)                                 is
not a Key Employee at any time during the current Plan Year and has not been a
Key Employee at any time during any previous Plan Year for which contributions
were made for that individual’s benefit to the Medical/Dental Benefits Account.


 


1.41                           “Eligible
Retirement Plan” means an individual retirement account described in Code
subsection 408(a), an individual retirement annuity described in Code
subsection 408(b), an annuity plan described in Code
subsection 403(a), or a qualified trust described in Code
subsection 401(a), that accepts the Distributee’s Eligible Rollover
Distribution.  However, in the case of
an Eligible Rollover


 


10

















 


Distribution to a surviving Spouse, an
Eligible Retirement Plan is an individual retirement account or individual
retirement annuity.


 


1.42                           “Eligible
Rollover Distribution” means any distribution of all or a portion of the
balance to the credit of the Distributee, except that an Eligible Rollover
Distribution does not include:  any
distribution that is one of a series of substantially equal periodic payments
(not less frequently than annually) made for the life (or life expectancy) of
the Distributee or the joint lives (or joint life expectancies) of the
Distributee and the Distributee’s Beneficiary, or for a specified period of ten
years or more; any distribution to the extent that the distribution is required
under Code paragraph 401(a)(9); and the portion of any distribution that
is not includable in gross income (determined without regard to the exclusion
for net unrealized appreciation with respect to employer securities).


 


1.43                           “Employee”
means any person who is employed by an Employer, other than as an employee
classified by his Employer as a summer laborer or summer employee, and who
receives compensation that the Employer initially reports on a federal wage and
tax statement (Form W–2). 
For purposes of crediting Service or Years of Eligibility Service for
purposes of eligibility to participate and vesting and, except as otherwise
provided, for purposes of the rules set out in Section 4.6 (Maximum
Pension) and Article 23 (Provisions Relating to Top-Heavy Plan), the term
“Employee” includes a Leased Employee.


 


1.44                           “Employer”
means Cinergy and any Affiliate that, with the consent of the Board of
Directors, elects to participate in the Plan pursuant to Section 21.1
(Adoption of Plan) and any successor corporation or other organization or
entity that adopts the Plan pursuant to Article 22 (Continuance by a
Successor).  If any Affiliate withdraws
from participation in the Plan pursuant to Section 21.2 (Withdrawal from
Participation), that Affiliate will cease to be an Employer.


 


1.45                           “Employment
Commencement Date” means, with respect to each Employee, the date as of which
the Employee is first entitled to be credited with an Hour of Service.


 


1.46                           “ERISA”
means the Employee Retirement Income Security Act of 1974, as amended from time
to time, and interpretive rulings and regulations.


 


1.47                           “Executive
Individual Incentive Awards” means, with respect to an Employee, any cash or
stock-based award (other than Annual Performance Cash Awards) received by a
Highly Compensated Participant pursuant to the terms of any individualized
bonus or incentive pay plan or program, including, but without any limitation
because of enumeration, any retention or signing bonus.


 


1.48                           “Exempt
Employee” means an Eligible Employee whose pay is customarily computed on a
salaried basis, and whose employment is not subject to FLSA overtime and record
keeping provisions.


 


11

















 


1.49                           “Final
Average Earnings” means the average of the Participant’s Section 415
Compensation over the five consecutive years of employment with his Employer
that provide the highest average, excluding compensation in years before
January 1, 1984, and compensation in years after the close of the last
Plan Year in which the Plan is determined to be a Top-Heavy Plan.


 


1.50                           “FLSA”
means the Fair Labor Standards Act of 1938, as amended from time to time, and
interpretive rulings and regulations.


 


1.51                           “Group
Annuity Contract” means Group Annuity Contract No. 9599GAC issued by John
Hancock Mutual Life Insurance Company, as amended or replaced from time to
time.


 


1.52                           “Highest
Average Earnings” means a Participant’s highest average annual Earnings for any
three consecutive calendar years out of his last ten years of Participation.  However, if the Participant completes fewer
than three years of Participation, his Highest Average Earnings will mean his
average annual Earnings for his total years of Participation.  If a Participant is totally disabled and
qualifies for benefits under Cinergy’s Long-Term Disability Plan until his
Normal Retirement Date, Early Retirement Date, or Actual Separation Date,
whichever is applicable, his Severance from Service Date will be deemed for
purposes of this section to be his Disability Date.  For purposes of this Section, if a Participant’s Severance from
Service Date is other than December 31, the following periods will be
treated as a period of three consecutive calendar years:


 


(a)                                  His
months of Participation in the calendar year that includes his Severance from
Service Date; plus


 


(b)                                 The
two (or fewer) full calendar years of Participation prior to his Severance from
Service Date; plus


 


(c)                                  From
the calendar year immediately preceding the period described in
Subsection (b), the lesser of (1) the Participant’s months of
Participation in that year, or (2) the number of months equal to 12 minus
the number of months included pursuant to Subsection (a).  A Participant’s Earnings will be deemed to
have been earned ratably throughout the period described in this
Subsection (c).


 


1.53                           “Highly
Compensated Participant” means a highly compensated active Employee and a
highly compensated former Employee.  A
highly compensated active Employee includes any Employee who performs service
for the Employer during the Plan Year and who (a) is a 5% owner for that
Plan Year or was a 5% owner for the prior Plan Year; or (b) for the
preceding Plan Year received compensation from the Employer in excess of
$80,000 (as adjusted pursuant to Code subsection 415(d)).  The Employer does not elect to require that
a highly compensated active Employee must be a member of the Employer’s
top-paid group for the preceding Plan Year.


 


12

















 


A highly
compensated former Employee includes any Employee who terminated employment (or
was deemed to have terminated employment) prior to the Plan Year, performs no
service for the Employer during the Plan Year, and was a highly compensated
active Employee for either the Plan Year during which he terminated employment
or any Plan Year ending on or after the Employee’s 55th birthday.


 


The
determination of who is a Highly Compensated Participant, including the
determination of the compensation that is considered, will be made in
accordance with Code subsection 414(q).


 


1.54                           “Holiday
Premiums” means, with respect to a Non-Exempt Employee, the compensation
received as a premium for services performed for the relevant period for
working on a holiday recognized by the Employer pursuant to its applicable
policy.


 


1.55                           “Hour
of Service” means, with respect to any Employee, any of the following:


 


(a)                                  each
hour for which he is paid, or entitled to payment, by an Employer for the
performance of duties for that Employer;


 


(b)                                 each
other hour for which back pay, irrespective of mitigation of damages, has been
either awarded to him or agreed to be paid to him by an Employer;


 


(c)                                  each
other hour for which he is absent from his normal period of employment with his
Employer due to an approved military leave, maternity leave, paternity leave,
adoption leave, worker’s compensation leave, personal leave of six consecutive
months or less, sick leave of six consecutive months or less, or total
disability qualifying him for benefits under Cinergy’s Long-Term Disability
Plan for a period of no more than twelve months for all purposes except that a
Participant can receive more than twelve months for purposes of determining his
Participation under Section 1.73; and


 


(d)                                 each
other hour for which he is paid, or entitled to payment, by an Employer for a
period of time during which he does not perform any duties for that Employer
(irrespective of whether or not his employment relationship with that Employer
has terminated) due to vacation, holiday, illness, incapacity (including
disability), layoff, jury duty, witness duty, military duty, or leave of
absence.


 


In computing
an Hour of Service, the Plan may use the equivalencies set forth in
paragraph (e) of 29 C.F.R. §2530.200b–3.  However, if different equivalencies are used
for different classifications of Employees, then those classifications must be
reasonable and consistently applied. 
Each Hour of Service will be credited to the Employee for the
appropriate computation period in accordance with the


 


13

















 


provisions of
paragraphs (b) and (c) of 29 C.F.R. §2530.200b–2, and each Hour
of Service, when aggregated for a particular computation period, will
constitute the Hours of Service credited to the Employee for that computation
period.  However, no Employee will be
credited under Subsection (d) either with more than 501 Hours of
Service on account of any single continuous period during which the Employee
performs no duties for an Employer irrespective of whether or not that period occurs
in a single computation period, or with an hour for which the Employee is paid,
or entitled to payment, by an Employer if that payment is made solely for the
purposes of either reimbursing the Employee for medical or medically related
expenses incurred by the Employee or complying with applicable worker’s
compensation, unemployment compensation, or disability insurance laws.  However, the crediting of Hours of Service
for back pay awarded or agreed to with respect to periods described in
Subsection (d) of this Section will be subject to the same limitations set
forth in the immediately preceding sentence with respect to
Subsection (d).


 


1.56                           “Initial
Separation Date” means, with respect to a Participant who is entitled to
benefits under the provisions of Section 5.1 (Vesting Requirement),
Section 5.2 (Severance from Service Before Vesting), or Section 5.3
(Severance from Service After Vesting), the first day of the calendar month
coincident with or following the Participant’s initial Severance from Service
Date.


 


1.57                           “Insurance
Company” means any insurance company holding any part of the Pension Fund.


 


1.58                           “Interest
Credits” means the credits to the Cash Balance Account described in
Section 4.3A (Interest Credits).


 


1.59                           “Intermittent
Employee” means an Eligible Employee who performs services intermittently from
time to time as needed by the Employer and as mutually agreed by the Employer
and the Employee.  An Employee who is an Intermittent Employee
and becomes a Cash Balance Participant shall be deemed to have become and to be
a Regular Employee (and not an Intermittent Employee) for periods on and after
the first day on which he becomes a Cash Balance Participant.


 


1.60                           “Key
Employee” means an Employee or former Employee of an Employer who, at any time
during the determination period, is:


 


(a)                                  an
officer of an Employer having annual Section 415 Compensation from his
Employer greater than 50 percent of the amount in effect under Code
subparagraph 415(b)(1)(A) for any Plan Year;


 


(b)                                 one
of the ten Employees having annual Section 415 Compensation from his
Employer of more than the limitation in effect under Code
subparagraph 415(c)(1)(A) and owning (or considered as owning within the
meaning of Code section 318) the largest interests in the Employer.


 


14

















 


(c)                                  the
owner (or considered as the owner within the meaning of Code section 318)
either of more than five percent of the outstanding stock of Cinergy, or stock
possessing more than five percent of the total combined voting power of all
stock of Cinergy; or


 


(d)                                 the
recipient of at least $150,000 in annual Section 415 Compensation from the
Employer and who owns (or is considered as owning within the meaning of Code
section 318) either more than one percent of the outstanding stock of
Cinergy or stock possessing more than one percent of the total combined voting
power of all stock of Cinergy.


 


However, no
more than 50 Employees of an Employer will be deemed to be officers for
any particular Plan Year.  Also, the
term Key Employee includes the beneficiaries of a Key Employee.  For purposes of Subsection (b) above,
if two Employees have the same interest in the Employer, the Employee having
greater annual Earnings from his Employer will be treated as having a larger
interest.  The determination of who is a
Key Employee will be made in accordance with Code paragraph 416(i)(1).


 


1.61                           “Leased
Employee” means any person who performs services for another person, the
“recipient,” but who is not an employee of the recipient, if (a) the
services are provided pursuant to an agreement between the recipient and any
other person, (b) the person has performed the services for the recipient
(or for the recipient and related persons) on a substantially full-time basis
for a period of at least one year, and (c) the services are performed
under the primary direction and control of the recipient.  A Leased Employee will not be considered an
employee of the recipient if:


 


(a)                                  that
employee is covered by a money purchase pension plan providing:


 


(1)                                  a
non-integrated employer contribution rate of at least 10 percent of
compensation, as defined in Code paragraph 415(c)(3), but including
amounts contributed pursuant to a salary reduction agreement that are
excludable from the Employee’s gross income under Code section 125, Code
paragraph 402(a)(8), or Code subsections 402(h) or 403(b);


 


(2)                                  immediate
participation;


 


(3)                                  full
and immediate vesting; and


 


(b)                                 leased
employees do not constitute more than 20 percent of the recipient’s
non-highly compensated work force.


 


1.62                           “Long-Term
Performance Awards” means, with respect to an Employee, the cash or stock-based
award received by the Employee pursuant to the provisions of an Employer’s
long-term bonus or incentive pay plan or program, including, but


 


15

















 


without limitation because of enumeration,
the Cinergy Performance Shares Plan or the Cinergy 1996 Long-Term Incentive
Compensation Plan.


 


1.63                           “Medical/Dental
Benefits” means the benefits specified and payable under Section 9.8
(Medical/Dental Benefits) from the Medical/Dental Benefits Account.


 


1.64                           “Medical/Dental
Benefits Account” means the separate account established pursuant to
Article 9 (Retiree Medical/Dental Benefits) for contributions to fund
benefits payable under Article 9 (Retiree Medical/Dental Benefits).


 


1.65                           “Medical/Dental
Plan” means any plan or program that is established by the Employer to provide
medical or dental insurance coverage or medical or dental expense
reimbursements to Eligible Individuals.


 


1.66                           “MRP”
means The Cincinnati Gas & Electric Company Management Retirement
Plan, as in effect immediately prior to January 1, 1998.


 


1.67                           “Non-Exempt
Employee” means an Eligible Employee whose pay is customarily computed on an
hourly, weekly, or bi-weekly basis, and whose employment is subject to FLSA
overtime and record keeping provisions.


 


1.68                           “Nonforfeitable”
means, with respect to a Participant’s claim for benefits under the Plan, that
the claim is unconditional, legally enforceable, and not subject to divestment
except in accordance with the Plan’s specific provisions, including, but
without limitation because of enumeration, the provisions of Section 15.3
(Sufficiency of Pension Fund).


 


1.69                           “Normal
Retirement Date” means, with respect to each Participant, the first day of the
calendar month coincident with or following his 65th birthday.


 


1.70                           “Option
Effective Date” means a Participant’s Actual Separation Date, unless further
extended with respect to a Participant making a timely election during the
applicable election period, in which case the Option Effective Date will be the
first day of the calendar month coincident with or following the last day of
the applicable election period, provided he has timely elected the option on or
before that date.


 


1.71                           “Overtime
Pay” means, with respect to an Employee, the compensation received as
remuneration consistent with the requirements of the FLSA, or for services
performed for the relevant period for hours worked beyond the Employee’s
regularly scheduled work hours pursuant to the Employer’s applicable policy.


 


1.72                           “Participant”
means any Eligible Employee who has met the eligibility requirements set forth
in Article 3 (Eligibility and Participation) and for whom benefits are to
be provided under the Plan.


 


16

















 


1.73                           “Participation”
means, with respect to an Eligible Employee, the period of time during which he
is treated as a Participant in the Plan, the length of which will be determined
as follows:


 


(a)                                  A
Regular Employee will be credited with Participation for the period of time
beginning with the later of (1) January 1, 1998, or (2) his
Employment Commencement Date and ending on his Severance from Service Date.


 


(b)                                 A
Regular Employee will be credited with Participation for any Period of Credited
Severance during which he is a Participant or former Participant.


 


(c)                                  An
Intermittent Employee or Temporary Employee who has become a Participant
pursuant to Section 3.2 (Intermittent Employees and Temporary Employees)
will be credited, retroactively if necessary, with Participation beginning on
the later of (1) January 1, 1998, or (2) his Employment
Commencement Date.  An Intermittent
Employee or Temporary Employee will be credited with one year of Participation
for each Plan Year in which he completes at least 1,000 Hours of
Service.  An Intermittent Employee or
Temporary Employee will not be credited with any Participation for any Plan
Year in which he completes less than 1,000 Hours of Service.


 


(d)                                 If
an Intermittent or Temporary Employee becomes a Regular Employee on a date
other than the first day of a Plan Year, all of his Hours of Service completed
during the Plan Year in which the change in employment status occurred will be
counted.  If the Employee completes at
least 1,000 Hours of Service during that Plan Year, he will be credited
with one year of Participation for the Plan Year in which the change
occurred.  If the Employee does not
complete at least 1,000 Hours of Service during the Plan Year in which the
change occurred, he will be credited with one month of Participation for each
calendar month during that Plan Year in which he is credited with at least one
Hour of Service as a Regular Employee.


 


(e)                                  Notwithstanding
any other provision of this Plan to the contrary, an Eligible Employee who
accrued “years of accredited service” (as defined in the MRP and the RIP) under
the MRP or the RIP or “years of participation” (as defined in the PSI Plan)
under the PSI Plan will be credited with years of Participation under this Plan
for the years of accredited service credited to him under the MRP or the RIP
and the years of participation credited to him under the PSI Plan before
January 1, 1998.


 


(f)                                    In
determining an Eligible Employee’s total Participation for purposes of the
Plan, all periods of service that are credited to the Employee under
Subsections (a) through (e) above will be aggregated.  In no event will an Employee be credited
more than once for the same period of Participation.


 


17

















 


(g)                                 Notwithstanding
Subsection (f), if an Eligible Employee is a Reemployed Retiree or a
Reemployed Terminated Vested Participant, and his “years of participation” (as
defined in the PSI Plan) under the PSI Plan or his “years of accredited
service” (as defined in the MRP or RIP) under the MRP or RIP were subject to a
maximum under the pension formula applicable to the Eligible Employee at the
time he incurred a Severance from Service, that Eligible Employee’s total
Participation when he again incurs a Severance from Service under the Plan will
not exceed the sum of his maximum pre-1998 years and the Eligible Employee’s
years of Participation during his period of reemployment.


 


1.74                           “Pay
Credits” means the credits to the Cash Balance Account described in
Section 4.2A (Pay Credits).


 


1.75                           “Pension
Fund” or “Fund” means the fund established in consequence of and for the
purposes of the Plan to provide the benefits under the Plan, including all
funds held in all trusts and group annuity contracts that are being used as
funding media for the Plan.


 


1.76                           “Performance
Lump Sum Pay” means, with respect to an Exempt Employee or a Non-Exempt
Employee, the compensation received as remuneration based upon the Employee’s
performance when the Employer’s applicable merit pay policy would otherwise
preclude a performance based increase.


 


1.77                           “Period
of Credited Severance” means, with respect to each Regular Employee who has
incurred a Severance from Service, and who, within 12 Months of his
Severance from Service Date, performs an Hour of Service, the Period of
Severance commencing on the Regular Employee’s Severance from Service Date and
ending on the date thereafter upon which he first performs an Hour of Service.  In the case of a Regular Employee who has
incurred a Severance from Service that occurs during an Absence from Service by
reason of a maternity or paternity absence as defined in
Subsection 1.99(b), the period between the first and second anniversaries
of the first day of absence will not be a Period of Credited Severance.


 


1.78                           “Period
of Severance” means, with respect to each Regular Employee, the period of time
commencing on his Severance from Service Date and ending on the date thereafter
upon which he first performs an Hour of Service.


 


1.79                           “Permissive
Aggregation Group” means an Aggregation Group that may include any other plan
not required to be included in the Required Aggregation Group, provided the
resulting group, taken as a whole, would continue to satisfy the provisions of
Code paragraph 401(a)(4) and Code section 410.


 


1.80                           “Plan”
means the pension plan known as the “Cinergy Corp. Non-Union Employees’ Pension
Plan,” as amended, from time to time. 
As effective January 1, 2003, this document sets forth the Plan.


 


18

















 


1.81                           “Plan
Year” means the calendar year.


 


1.82                           “Present
Value of Accrued Benefits” means, with respect to Top-Heavy Plan status, the
sum of:


 


(a)                                  the
present value of the Plan’s accrued benefits using the 1994 Group Annuity
Reserving Table with a 50/50 mix of males and females and 7–1/2%
interest, and


 


(b)                                 any
Plan distributions made within the Plan Year that includes the Determination
Date or within the four preceding Plan Years. 
However, in the case of distributions made after the Valuation Date and
prior to the Determination Date, the distributions are not included as
distributions for Top-Heavy Plan purposes to the extent that the distributions
are already included in the Participant’s present value of accrued benefits as
of the Valuation Date.


 


1.83                           “Projected
Annual Benefit” means, with respect to any Participant participating in a
Qualified Defined Benefit Plan maintained by an Employer or an Affiliate, the
annual straight life annuity benefit to which the Participant would be entitled
under that Qualified Defined Benefit Plan based upon the following assumptions:


 


(a)                                  the
Participant will continue as an employee of an Employer until reaching the
Participant’s normal retirement age under the plan (or the Participant’s
current age if that is later);


 


(b)                                 the
Participant’s compensation used to determine benefits under the plan for the
calendar year under consideration will remain the same until the date the
Participant attains the age described in Paragraph (a); and


 


(c)                                  all
other relevant factors used to determine benefits under the plan for the
calendar year under consideration will remain constant for all future calendar
years.


 


1.84                           “PSI
Plan” means the PSI Energy, Inc. Pension Plan, as in effect immediately prior
to January 1, 1998.


 


1.85                           “Qualified
Defined Benefit Plan” means any qualified defined benefit plan as defined in
Code subsections 414(j) and 415(k).


 


1.86                           “Qualified
Defined Contribution Plan” means any qualified defined contribution plan as
defined in Code subsections 414(i) and 415(k).


 


1.87                           “Qualified
Domestic Relations Order” means a qualified domestic relations order as defined
in Code subsection 414(p).


 


1.88                           “Reduced
Primary Social Security Benefit” means the reduced amount of primary federal
old age insurance benefit estimated by the Committee that is, or would be,


 


19

















 


payable or estimated to become payable to a
Participant at his earliest eligibility date. 
The estimate is based on the Social Security Act as in effect at the
Participant’s Option Effective Date.  If
a Participant supplies documentation from the Social Security Administration of
his or her actual Reduced Primary Social Security Benefit at least 60 days
before his or her Option Effective Date, that amount will be used in lieu of
the estimate referred to above.  A
Reduced Primary Social Security Benefit calculated using actual documentation
will not be recalculated.


 


1.89                           “Reemployed
Retiree” means a Participant, other than a Terminated Vested Participant, who
is reemployed by an Employer after his Initial Separation Date or an Additional
Separation Date.


 


1.90                           “Reemployed
Terminated Vested Participant” means a Terminated Vested Participant who is
reemployed by an Employer after his Initial Separation Date or an Additional
Separation Date.


 


1.91                           “Reemployment
Commencement Date” means, with respect to an Eligible Employee who incurs a
Severance from Service and is later reemployed by an Employer, the date upon
which the Eligible Employee first performs an Hour of Service after his
reemployment.


 


1.92                           “Regular
Employee” means an Eligible Employee who is not an Intermittent Employee or a
Temporary Employee.  An Employee who is an Intermittent or
Temporary Employee and becomes a Cash Balance Participant shall be deemed to
have become and to be a Regular Employee (and not an Intermittent Employee or
Temporary Employee) for periods on and after the first day on which he becomes
a Cash Balance Participant.


 


1.93                           “Required
Aggregation Group” means an Aggregation Group consisting of each plan of an
Employer, including any terminated plan, in which a Key Employee has been a
Participant in the Plan Year containing the Determination Date or any of the
four preceding Plan Years, and each other plan of the Employer that enables any
plan in which a Key Employee participates to meet the requirements of Code
subsection 401(a) or Code section 410.


 


1.94                           “Retired
Participant” means a former Participant, other than a Terminated Vested
Participant, while alive on and after his Actual Separation Date.


 


1.95                           “RIP”
means The Cincinnati Gas & Electric Company Retirement Income Plan, as
in effect immediately prior to January 1, 1998.


 


1.96                           “Section 415
Compensation” means an Eligible Employee’s earned income, wages, salaries, and
fees for professional services, and other amounts received for personal
services actually rendered in the course of employment with the Employer
(including, but not limited to, commissions paid salesmen, compensation for
services on the basis of a percentage of profits, commissions on


 


20

















 


insurance premiums, tips and bonuses) and,
except as provided in the following sentence, excluding the following:  (a) Employer contributions to a plan of
deferred compensation that are not included in the Employee’s gross income for
the taxable year in which contributed or any distributions from a plan of
deferred compensation; (b) amounts realized from the exercise of a
nonqualified stock option, or when restricted stock (or property) held by the
Employee either becomes freely transferable or is no longer subject to a
substantial risk of forfeiture; and (c) amounts realized from the sale,
exchange, or other disposition of stock acquired under a qualified stock
option.  Notwithstanding the foregoing,
Section 415 Compensation will include any elective deferral as defined in
Code paragraph 402(g)(3) and amounts contributed by an Employer pursuant
to a salary reduction agreement that are excludable from the Employee’s gross
income under Code section 125 or 457.  For limitation years beginning on and after
January 1, 2001, for purposes of applying the limitations described in
Section 4.6 (Maximum Pension) of the Plan, Section 415 Compensation
paid or made available during such limitation year shall include elective
amounts that are not includable in the gross income of the Employee by reason
of Code paragraph 132(f)(4).


 


1.97                           “Securities
Exchange Act” means the Securities Exchange Act of 1934, as amended from time
to time, and interpretive rulings and regulations.


 


1.98                           “Service”
means, with respect to an Eligible Employee, the period of time during which
the employment relationship exists between the Eligible Employee and the
Employer, the length of which is determined as follows:


 


(a)                                  A
Regular Employee will be credited with Service for the period of time beginning
with his Employment Commencement Date and ending on his Severance from Service
Date.


 


(b)                                 A
Regular Employee will be credited with Service for each Period of Credited
Severance.


 


(c)                                  An
Intermittent Employee or Temporary Employee who has completed one Year of
Eligibility Service will be credited, retroactively if necessary, with Service
beginning on his Employment Commencement Date. 
An Intermittent Employee or Temporary Employee will be credited with one
year of Service for each Plan Year in which he completes at least
1,000 Hours of Service.  An
Intermittent Employee or Temporary Employee will not be credited with any
Service for any Plan Year in which he completes less than 1,000 Hours of
Service.


 


(d)                                 If
an Intermittent or Temporary Employee becomes a Regular Employee on a date
other than the first day of a Plan Year, all of his Hours of Service completed
during the Plan Year in which the change in employment status occurred will be
counted.  If the Employee completes at
least 1,000 Hours of Service during that Plan Year, he will be credited
with one year of Service for the Plan Year in which the change occurred.  If the Employee


 


21

















 


does not
complete at least 1,000 Hours of Service during the Plan Year in which the
change occurred, he will be credited with one month of Service for each
calendar month during that Plan Year in which he is credited with at least one
Hour of Service as a Regular Employee.


 


(e)                                  An
Eligible Employee will be credited with Service for any period of Service with
an Affiliate (including an Employer) after he has reached age 18, which
for an Affiliate will be determined as if he had been employed by the Employer
during that period.


 


(f)                                    Notwithstanding
any other provision of the Plan to the contrary, any Eligible Employee who
accrued “years of service” (as defined in the PSI Plan) under the PSI Plan or
“years of vesting service” (as defined in the MRP or RIP) under the MRP or the
RIP will be credited with Service for the years of service credited to him
under the PSI Plan and the years of vesting service credited to him under the
MRP or RIP before January 1, 1998.


 


(g)                                 In
determining an Eligible Employee’s total Service for purposes of the Plan, all
periods of Service that are credited to the Employee under Subsections (a)
through (f) above will be aggregated, subject to the provisions in Section 14.2
(Reemployment).  In no event will an
Employee receive credit more than once for the same period of Service.


 


1.99         “Severance from Service” means, with
respect to an Employee:


 


(a)                                  the
date of termination of his employment relationship with his Employer by reason
of a quit, resignation, discharge, retirement, death, or layoff of the Employee
for an indefinite period of time made without any expectation on the part of
the Employer at the time of layoff to recall the Employee, for employment with
the Employer as an Employee within 12 months from the date of the
commencement of the layoff; or


 


(b)                                 the
first anniversary of the first date of the Employee’s Absence from Service or,
if later, and solely for purposes of determining a Participant’s Participation
under Section 1.73 (Participation), the expiration of an Absence from
Service.  Notwithstanding the preceding
sentence, if an Employee has an Absence from Service of more than one year by
reason of a maternity or paternity absence, the Employee’s Severance from
Service occurs on the second anniversary of that absence; provided that the
period between the first and second anniversaries of the first day of such
Absence from Service is neither a period of service nor a period of
severance.  For purposes of this
Subsection, an Absence from Service for maternity or paternity reasons means an
absence (1) by reason of the pregnancy of the individual, (2) by
reason of the birth of a child of that individual, (3) by reason of the
placement of a child with the individual in connection with the adoption of the
child by that individual, or (4) for


 


22

















 


purposes of
caring for the child for a period beginning immediately following its birth or
placement.


 


For purposes
of this Subsection, the term “Employer” includes all Affiliates, and an
Employee or former Employee will not be treated as having incurred a Severance
from Service until the employment relationship between the Employee and all
Employers and Affiliates is terminated.


 


1.100       “Severance from Service Date” means, with
respect to each Employee, the date of his Severance from Service.


 


1.101                     “Shift
Premiums” means, with respect to a Non-Exempt Employee, the compensation
received as a premium for services performed for the relevant period for working
a shift other than the Employer’s regular day shift pursuant to the Employer’s
applicable policy.


 


1.102                     “Social
Security Act” means the federal Social Security Act, 42 U.S.C. §301, et seq.,
as amended from time to time, and interpretive rulings and regulations.


 


1.103                     “Social
Security Retirement Age” means respectively (a) age 65 for a
Participant born before January 1, 1938; (b) age 66 for a
Participant born after December 31, 1937, but before January 1, 1955;
and (c) age 67 for a Participant born after December 31, 1954.


 


1.104                     “Spouse”
means, with respect to any Participant, the Participant’s lawfully married
spouse, if any, on the applicable date. 
The Plan will not recognize common law marriages or similar arrangements
unless required to do so by federal law. 
A former Spouse will also be considered a Spouse to the extent provided
under a Qualified Domestic Relations Order.


 


1.105                     “Super
Top-Heavy Plan” means a Qualified Defined Benefit Plan or a Qualified Defined
Contribution Plan described in Section 23.2 (Top-Heavy Determination).


 


1.106                     “Temporary
Employee” means an Eligible Employee who is regularly scheduled to work less
than 20 hours per week or to work on a non-fixed schedule.  An Employee who is a Temporary Employee and
becomes a Cash Balance Participant shall be deemed to have become and to be a
Regular Employee (and not a Temporary Employee) for periods on and after the
first day on which he becomes a Cash Balance Participant.


 


1.107                     “Terminated
Vested Participant” means a Participant who is entitled to benefits under the
provisions of Section 5.3 (Severance from Service After Vesting).


 


1.108                     “Top-Heavy
Group” means an Aggregation Group described in Section 23.2 (Top-Heavy
Determination).


 


1.109                     “Top-Heavy
Plan” means a Qualified Defined Benefit Plan or a Qualified Defined
Contribution Plan described in Section 23.2 (Top-Heavy Determination).


 


23

















 


1.110                     “Top-Heavy
Plan Year” means a particular Plan Year for which the Plan is a Top-Heavy Plan.


 


1.111                     “Trust
Fund” means the trust established by the Employer to fund the Plan.


 


1.112                     “Trustee”
means the person or entity designated by Cinergy to act as trustee of any trust
forming a part of the Pension Fund.


 


1.113                     “Valuation
Date” means, in connection with Article 23 (Provisions Relating to
Top-Heavy Plans), the most recent valuation date for minimum funding purposes
under the Plan that falls within or ends with the 12 month period ending
on the Determination Date.


 


1.114                     “Vesting
Requirement” means, with respect to each Participant, the requirements for the
vesting of his accrued benefits under the Plan.


 


1.115                     “Work
Schedule Recognition Pay” means, with respect to an Exempt Employee, the
compensation received as remuneration for services performed for the relevant
period for working a shift other than the Employer’s regular day shift pursuant
to the Employer’s applicable policy.


 


1.116                     “Year
of Eligibility Service” means, with respect to an Intermittent Employee or a
Temporary Employee, a measuring year during which he completes at least
1,000 Hours of Service.  The first
measuring year begins on the Employee’s Employment Commencement Date (or, with
respect to any periods after a Severance from Service, his Reemployment
Commencement Date) and subsequent measuring years will be the Plan Year,
beginning with the first Plan Year that begins after the Employee’s Employment
Commencement date (or, if applicable, Reemployment Commencement Date).  If an Intermittent Employee or a Temporary
Employee has a Severance from Service during a measuring year and has a
subsequent Reemployment Commencement Date during that measuring year,
then:  (a) for purposes of
determining whether the Employee accumulated a Year of Eligibility Service
during the measuring year, the total Hours of Service accumulated by the
Employee during that measuring year both before and after the Severance from
Service will be aggregated, and (b) for purposes of determining whether
the Employee accumulated a Year of Eligibility Service during the measuring
year commencing on his Reemployment Commencement Date, the total Hours of
Service accumulated by the Employee during that subsequent measuring year will
be aggregated.


 


The uses of
singular and masculine words are for practical purposes only and will be deemed
to include the plural and feminine, respectively, unless the context plainly
indicates a distinction.  Certain other
definitions, as required, appear in the following Articles of the Plan.


 


24

















 


ARTICLE 2


 


EFFECTIVE DATE
OF PLAN


 


The original
effective date of the MRP was January 1, 1990.  The effective date of this Plan restatement is January 1,
2003 (except where an interim effective date is otherwise provided), as to
Cinergy, and will be effective with respect to any other Employer as of the
date that Employer elects to participate in the Plan pursuant to
Section 21.1 (Adoption of Plan).


 


This Plan
restatement applies only to Eligible Employees who are credited with at least
one Hour of Service on or after January 1, 2003.  This Plan restatement will not affect the rights of former
Eligible Employees (and their Beneficiaries) who retired, died, or otherwise
terminated their employment with an Employer prior to January 1, 2003,
except that such persons shall be subject to (i) the general administrative
provisions of the Plan, (ii) any provisions of the Plan required by the Code,
ERISA or other legislative or regulatory pronouncements to be effective prior
to the effective date of this January 1, 2003 restatement (and only to the
extent so required) and (iii) any provisions of the Plan as otherwise provided
herein.  The rights, if any, of those
former Eligible Employees (and their Beneficiaries), and the amounts of their
benefits, if any, will be governed by the provisions of the PSI Plan, the RIP
or the MRP, or the provisions of the Plan as in effect prior to January 1,
2003, whichever is applicable, except that such persons shall be subject to (i)
the general administrative provisions of the Plan, (ii) any provisions of the
Plan required by the Code, ERISA or other legislative or regulatory
pronouncements to be effective prior to the effective date of this January 1,
2003 restatement (and only to the extent so required) and (iii) any provisions
of the Plan as otherwise provided herein.


 


ARTICLE 3


 


ELIGIBILITY
AND PARTICIPATION


 


3.1           Date of Participation


 


Each Employee
who is an Eligible Employee on January 1, 2003, and who was participating
in the Plan as of December 31, 2002, will become a Participant as of
January 1, 2003.  Except as
provided in Section 3.3 (Intermittent Employees and Temporary Employees),
each other Eligible Employee will automatically become a Participant on the
latest of January 1, 2003, his Employment Commencement Date, or the date
he reaches age 18.  An Eligible Employee
who becomes a Participant, subsequently incurs a Severance from Service, and is
later reemployed by an Employer will again become a Participant on his
Reemployment Commencement Date.


 


3.2           Cash
Balance Participation


 


Each Employee who becomes a Cash Balance
Participant in accordance with this Section 3.2 (Cash Balance Participation)
shall accrue a benefit while a Cash


 


25

















 


Balance Participant only under the terms of
the Plan that are applicable to Cash Balance Participants.  The accrued benefit under the Plan (if any)
of the Employee prior to becoming a Cash Balance Participant shall be
determined as if the Employee had terminated employment with the Employer and
all Affiliates as of the date immediately prior to becoming a Cash Balance
Participant or, if earlier, for an Employee who becomes a Cash Balance
Participant upon reemployment the date of the Employee’s prior termination of
employment.


 


(a)                                  Participants
Who Choose in 2002 to Become a Cash Balance Participant.  Each Employee who attains age 18 on or
before December 31, 2002 and who is an Eligible Employee on December 31,
2002 may elect in the form and manner and during an election period prior to
December 31, 2002 as prescribed by the Committee to become a Cash Balance
Participant, and if he has so elected and is an Eligible Employee on December
31, 2002, he shall become a Cash Balance Participant effective as of
January 1, 2003.  An election to
become a Cash Balance Participant shall designate whether the formula described
in Subsection 4.2A(a) (Balanced Formula) or Subsection 4.2A(b)
(Investor Formula) shall cover the Cash Balance Participant.  An Eligible Employee who elects to become a
Cash Balance Participant during the applicable election period, dies after the
applicable election period and prior to December 31, 2002, shall be deemed to
be a Cash Balance Participant effective immediately prior to the Eligible
Employee’s death.


 


(b)                                 New
Employees Who First Become Eligible to Participate in the Plan After 2002.  Each Eligible Employee who is not a
participant in another defined benefit plan maintained by the Employer and
first becomes a Participant on or after January 1, 2003 shall become a
Cash Balance Participant as of the date he becomes a Participant, but shall
accrue no benefit under the Plan until the Participant makes or is deemed to
have made an election as provided in the immediately following sentence.  An Eligible Employee who becomes a Cash
Balance Participant in accordance with this Subsection (b) shall be
covered as of the date he becomes a Cash Balance Participant by the formula
described in Subsection 4.2A(a) (Balanced Formula) or Subsection 4.2A(b)
(Investor Formula) as elected by the Eligible Employee in the form and manner
and during the election period prescribed by the Committee and shall be covered
by the formula described in Subsection 4.2(a) (Balanced Formula) if no
effective election is made.


 


(c)                                  Transfer
Employees


 


(1)                                  New
Participant who Transfers from Choice Plan.  Each Eligible Employee who first becomes a Participant on or
after January 1, 2003 and who immediately prior to becoming an Eligible
Employee is a participant in one or more defined benefit plans maintained by
the Employer that covered the participant (pursuant


 


26

















 


to the participant’s election) under a cash
balance formula shall become a Cash Balance Participant as of the date he
becomes a Participant.  An Eligible
Employee who becomes a Cash Balance Participant in accordance with this
Paragraph (1) shall be covered as of the date he becomes a Cash Balance
Participant by the formula described in Subsection 4.2A(a) (Balanced
Formula) or Subsection 4.2A(b) (Investor Formula) that corresponds to his
election (of the balanced formula or investor formula) under the other defined
benefit plan(s) maintained by the Employer.


 


(2)                                  New
Participant who Transfers from Non-Choice Plan.  Each Eligible Employee who first becomes a Participant on or
after January 1, 2003 and who immediately prior to becoming an Eligible
Employee is a participant in one or more other defined benefit plans maintained
by the Employer but was never in a class of employees who were given a choice
to participate in a cash balance formula may elect in the form and manner and
during the election period prescribed by the Committee to become a Cash Balance
Participant, and if he has so elected shall become a Cash Balance Participant
as of the date he becomes a Participant. 
Notwithstanding anything to the contrary in the Plan, an Eligible
Employee described in the immediately preceding sentence shall accrue no
benefit under the Plan until the earlier of when the Participant makes an
election or the election period has expired. 
An Eligible Employee who becomes a Cash Balance Participant in
accordance with this Paragraph (2) shall be covered as of the date he
becomes a Cash Balance Participant by the formula described in Subsection 4.2A(a)
(Balanced Formula) or Subsection 4.2A(b) (Investor Formula) as elected by
the Eligible Employee in the form and manner and during the election period
prescribed by the Committee (and shall not be a Cash Balance Participant if no
effective election is made).


 


(3)                                  Transferred
Cash Balance Participants.  Each
Eligible Employee who becomes a Cash Balance Participant, subsequently
transfers to employment in which he is not an Eligible Employee, and is later
transferred to employment as an Eligible Employee, will again become a Cash
Balance Participant effective as of the first day of the month during which his
change in Employee status becomes effective and will be covered by the formula
described in Subsection 4.2A(a) (Balanced Formula) or
Subsection 4.2A(b) (Investor Formula) under which the Eligible Employee
was previously covered.


 


(d)                                 Reemployed
Cash Balance Participant.  Each
Eligible Employee who becomes a Cash Balance Participant, subsequently incurs a
Severance


 


27

















 


from Service, and is later reemployed by an
Employer (as an Eligible Employee) will again become a Cash Balance Participant
effective on his Reemployment Commencement Date.  An Eligible Employee who again becomes a Cash Balance Participant
in accordance with this Subsection (d) shall be covered by the formula
described in Subsection 4.2A(a) (Balanced Formula) or
Subsection 4.2A(b) (Investor Formula) under which the Eligible Employee
was previously covered.


 


(e)                                  Reemployed
Employees Who Never Had Retirement Choice. 
Each Eligible Employee who was a Participant, but was never given the
opportunity to elect to become a Cash Balance Participant, and is later
reemployed by an Employer (as an Eligible Employee) will become a Cash Balance
Participant effective on his Reemployment Commencement Date, but shall accrue
no benefit under the Plan based on his becoming a Cash Balance Participant
until the Participant makes or is deemed to have made an election as provided
in the immediately following sentence. 
An Eligible Employee who first becomes a Cash Balance Participant in
accordance with this Subsection (e) shall be covered as of the date he
becomes a Cash Balance Participant by the formula described in
Subsection 4.2A(a) (Balanced Formula) or Subsection 4.2A(b) (Investor
Formula) as elected by the Eligible Employee in the form and manner and during
the election period prescribed by the Committee and shall be covered by the
formula described in Subsection 4.2A(a) (Balanced Formula) if no effective
election is made.


 


(f)                                    Employees
Who Are Not Cash Balance Participants. 
An Eligible Employee who is not described in one or more of the
foregoing Subsections 3.2(a)-(e), including but not limited to an Eligible
Employee who immediately prior to becoming an Eligible Employee is a
participant under one or more defined benefit plans maintained by an Employer
that covered the participant (pursuant to the participant’s election) under a
traditional formula, shall not become a Cash Balance Participant.  Notwithstanding the foregoing, no Eligible
Employee who is entitled to benefits under Section 4.9 shall become a Cash
Balance Participant.


 


3.3           Intermittent Employees
and Temporary Employees


 


Notwithstanding
the provisions in Section 3.1 (Date of Participation) and
Subsection 3.2(b), an Intermittent Employee or a Temporary Employee who
was not participating in the Plan as of December 31, 2002, who was
eligible to make the election described in Subsection 3.2(a), and who did
not elect to become a Cash Balance Participant in accordance with Subsection 3.2(a),
will not become a Participant until he has completed one Year of Eligibility
Service and reached age 18.  Upon
completion of one Year of Eligibility Service and reaching age 18, an
Intermittent or Temporary Employee described in this Section will become a Participant,
but not a Cash Balance Participant, retroactive to the later of


 


28

















 


January 1,
2003, his Employment Commencement Date, or the date he reached age 18.


 


3.4           Leased
Employees


 


A Leased
Employee will be excluded from participation in the Plan.  However, if a Leased Employee is
subsequently employed by an Employer as an Eligible Employee, his time as a
Leased Employee of an Employer and any period described in Code
subparagraph 414(n)(4)(B) will be considered for purposes of determining
eligibility under this Article and vesting under Article 5 (Severance from
Service -- Vesting).


 


3.5           Transfers
of Employment


 


If a
Participant is transferred from one Employer to another or from an Employer to
an Affiliate, he will continue to participate in the Plan until an event occurs
that would have terminated his participation had he continued in the service of
an Employer, except that payments received by a Participant from any Affiliate
that is not an Employer will not be treated as Earnings for purposes of
determining the amount of retirement benefits to which the Participant will be
entitled.  Any period of employment with
an Affiliate that is not an Employer will be taken into account for purposes of
determining when an Employee is eligible to participate in the Plan pursuant to
Section 3.3 (Intermittent Employees and Temporary Employees) and for
purposes of determining when a Participant has satisfied the Vesting
Requirement.


 


If a
Participant is transferred from an Employer to an Affiliate that has not
elected to participate in the Plan pursuant to Section 21.1 (Adoption of
Plan), the Participant’s accrued benefit under the Plan as of the date of the
transfer will be preserved.  The
Participant’s service after the transfer will not be considered in determining
the Participant’s years of Participation, but will be considered in determining
the Participant’s years of Service.  For
a Participant who has a Cash Balance Account, the Participant’s Cash Balance
Account will be credited with Pay Credits in accordance with Section 4.2A
(Pay Credits) only with respect to the Participant’s Earnings (with an
Employer) for a respective Plan Year and shall be credited with Interest
Credits in accordance with Section 4.3A (Interest Credits).


 


3.6                                 Transfers of Participants and Plan
Assets To and From the Cinergy Corp. Union Employees’ Retirement Income Plan
and Cinergy Corp. Union Employees’ Pension Plan.


 


(a)                                  If
a Participant in the Plan remains an Employee but becomes ineligible to
participate in the Plan, he will become a participant in the Cinergy Corp.
Union Employees’ Retirement Income Plan or the Cinergy Corp. Union Employees’
Pension Plan, if he is an “eligible employee” as defined in either of those
plans, as of the first day of the month during which his change in Employee
status becomes effective.


 


29

















 


(b)                                 If
a participant in the Cinergy Corp. Union Employees’ Retirement Income Plan or
the Cinergy Corp. Union Employees’ Pension Plan remains an Employee but becomes
ineligible to participate in his current plan, he will become a Participant in
the Plan, if he is an Eligible Employee, as of the first day of the month
during which his change in Employee status becomes effective.  The Participant will become a Cash Balance
Participant if provided by (and in accordance with) Section 3.2 (Cash
Balance Participation).


 


(c)                                  A
transfer of assets between the Plan and the Cinergy Corp. Union Employees’
Retirement Income Plan or the Cinergy Corp. Union Employees’ Pension Plan will
follow the requirements of Code subsection 414(1).  The actual transfer of assets will occur as
soon as administratively practicable after the change in the Participant’s
Employee status.  Notwithstanding the foregoing
provisions of this Subsection (c), a transfer of assets (and liabilities) from
this Plan to another plan shall not occur if the Participant has a Cash Balance
Account and transfers to a plan under which the Participant is not eligible to
earn benefits under a cash balance formula.


 


(d)                                 A
Participant who has years and/or partial years of “participation” under the
Cinergy Corp. Union Employees’ Retirement Income Plan or the Cinergy Corp.
Union Employees’ Pension Plan, and who then becomes a Participant, but not a
Cash Balance Participant (at the time of transfer), in this Plan, will be
credited under this Plan with his total years of “participation” under the
Cinergy Corp. Union Employees’ Retirement Income Plan or the Cinergy Corp.
Union Employees’ Pension Plan as if the years were under this Plan.  A Participant will not be credited with more
years of Participation than he would have had if the total of all his years of
Participation under the Plan and all his years of “participation” under the
Cinergy Corp. Union Employees’ Retirement Income Plan and the Cinergy Corp.
Union Employees’ Pension Plan had been solely as a Participant of this
Plan.  The benefit paid to a Participant
under this Plan (with respect to whom assets and liabilities are transferred to
this Plan from the Cinergy Corp. Union Employees’ Retirement Income Plan and/or
Cinergy Corp. Union Employees’ Pension Plan) will never be less than the
benefit the Participant accrued in the Cinergy Corp. Union Employees’
Retirement Income Plan and/or the Cinergy Corp. Union Employees’ Pension Plan
prior to his change in Employee status.


 


3.7           Reclassification


 


In the event
that any governmental agency or court requires the Employer or an Affiliate to
reclassify the common law employee or employment status of any independent
contractor or otherwise excluded employee under the Plan, the reclassified
individual nevertheless shall not be considered an Eligible Employee following
such reclassification and, therefore, shall not be entitled to participate in


 


30

















 


the Plan as a
result of the reclassification. 
Similarly, in the event that any governmental agency or court otherwise
requires the Employer or an Affiliate to reclassify the employment status of
any individual eligible for participation under the Plan (such as a summer
laborer or a summer employee), the reclassified individual nevertheless shall
retain his original status for purposes of the Plan following such
reclassification and, therefore, shall not be entitled to participate in the
Plan in a different manner as a result of the reclassification.


 


ARTICLE 4


 


AMOUNT OF
LIFE-ONLY PENSION


 


4.1           Normal
Retirement Pension Formula


 


Except as
otherwise expressly provided in this Article, a Participant who retires on or
after his Normal Retirement Date will be entitled to a Nonforfeitable Annual
Pension under this Plan equal to the sum of (a) plus (b), where (a) is equal
to:


 


(1)           1.1 percent of the Participant’s
Highest Average Earnings plus


 


(2)                                  0.5 percent
of the amount by which his Highest Average Earnings exceed his applicable
Covered Compensation, multiplied by the number of his years of Participation
not in excess of 35;


 


and (b) is
equal to 1.4 percent of the Participant’s Highest Average Earnings, multiplied
by the number of his years of Participation in excess of 35.


 


4.2           Normal
Retirement Benefits for Participants in the PSI Plan


 


The normal
retirement Nonforfeitable Annual Pension of a Participant who was a participant
in the PSI Plan as of December 31, 1997, will be the greater of (a) or
(b), where (a) is the Participant’s Annual Pension calculated under
Section 4.1 (Normal Retirement Pension Formula) and (b) is the
Participant’s annual accrued benefit calculated under the PSI Plan as of December 31,
1997.  The formulas used to calculate a
Participant’s annual accrued benefit under the PSI Plan as in effect on
December 31, 1997, are set forth in Addendum A to this Plan.


 


4.3           Normal
Retirement Benefits for Participants in the MRP or RIP


 


The normal retirement
Nonforfeitable Annual Pension of a Participant who was a participant in the MRP
or RIP as of December 31, 1997, will be the greater of (a) or (b), where
(a) is the Participant’s Annual Pension calculated under Section 4.1
(Normal Retirement Pension Formula) and (b) is the Participant’s annual accrued
benefit calculated under the MRP or RIP as of December 31, 1997.  The formulas used to calculate a
Participant’s annual accrued benefit under the MRP or RIP as in effect on
December 31, 1997, are set forth in Addendum B to this Plan.


 


31

















 


4.4           General
Method of Computing Annual Pension for Retirement at Early
Retirement Date


 


(a)                                  Subject
to the following provisions of this Section, a Participant who retires on an
Early Retirement Date will be entitled to a Nonforfeitable Annual Pension
computed under Section 4.1 (Normal Retirement Pension Formula).  The benefits will begin on the Employee’s
Normal Retirement Date, or, if the Employee so elects, at an earlier date on or
after his Early Retirement Date.  If the
Employee elects to have the benefit begin before his 62nd birthday, the
amount of the Employee’s Nonforfeitable Annual Pension will be multiplied by
the appropriate early payment factor as obtained from the following table:


 


	
  EARLY

  PAYMENT

  PERIOD

  	
   

  	
  EARLY

  PAYMENT

  FACTOR

  	
   

  	
  EARLY

  PAYMENT

  PERIOD

  	
   

  	
  EARLY

  PAYMENT

  FACTOR

  	
   

  	
  EARLY

  PAYMENT

  PERIOD

  	
   

  	
  EARLY

  PAYMENT

  FACTOR

  	
   

  
	
  YR.

  	
   

  	
  MO.

  	
   

  	
   

  	
   

  	
  YR.

  	
   

  	
  MO.

  	
   

  	
   

  	
   

  	
  YR.

  	
   

  	
  MO.

  	
   

  	
   

  	
   

  
	
  0

  	
   

  	
  0

  	
   

  	
  1.0000

  	
   

  	
  4

  	
   

  	
  0

  	
   

  	
  0.7333

  	
   

  	
  8

  	
   

  	
  0

  	
   

  	
  0.5667

  	
   

  
	
  0

  	
   

  	
  1

  	
   

  	
  0.9944

  	
   

  	
  4

  	
   

  	
  1

  	
   

  	
  0.7278

  	
   

  	
  8

  	
   

  	
  1

  	
   

  	
  0.5639

  	
   

  
	
  0

  	
   

  	
  2

  	
   

  	
  0.9889

  	
   

  	
  4

  	
   

  	
  2

  	
   

  	
  0.7222

  	
   

  	
  8

  	
   

  	
  2

  	
   

  	
  0.5611

  	
   

  
	
  0

  	
   

  	
  3

  	
   

  	
  0.9833

  	
   

  	
  4

  	
   

  	
  3

  	
   

  	
  0.7167

  	
   

  	
  8

  	
   

  	
  3

  	
   

  	
  0.5584

  	
   

  
	
  0

  	
   

  	
  4

  	
   

  	
  0.9778

  	
   

  	
  4

  	
   

  	
  4

  	
   

  	
  0.7111

  	
   

  	
  8

  	
   

  	
  4

  	
   

  	
  0.5556

  	
   

  
	
  0

  	
   

  	
  5

  	
   

  	
  0.9722

  	
   

  	
  4

  	
   

  	
  5

  	
   

  	
  0.7056

  	
   

  	
  8

  	
   

  	
  5

  	
   

  	
  0.5528

  	
   

  
	
  0

  	
   

  	
  6

  	
   

  	
  0.9667

  	
   

  	
  4

  	
   

  	
  6

  	
   

  	
  0.7000

  	
   

  	
  8

  	
   

  	
  6

  	
   

  	
  0.5500

  	
   

  
	
  0

  	
   

  	
  7

  	
   

  	
  0.9611

  	
   

  	
  4

  	
   

  	
  7

  	
   

  	
  0.6944

  	
   

  	
  8

  	
   

  	
  7

  	
   

  	
  0.5473

  	
   

  
	
  0

  	
   

  	
  8

  	
   

  	
  0.9556

  	
   

  	
  4

  	
   

  	
  8

  	
   

  	
  0.6889

  	
   

  	
  8

  	
   

  	
  8

  	
   

  	
  0.5445

  	
   

  
	
  0

  	
   

  	
  9

  	
   

  	
  0.9500

  	
   

  	
  4

  	
   

  	
  9

  	
   

  	
  0.6833

  	
   

  	
  8

  	
   

  	
  9

  	
   

  	
  0.5417

  	
   

  
	
  0

  	
   

  	
  10

  	
   

  	
  0.9444

  	
   

  	
  4

  	
   

  	
  10

  	
   

  	
  0.6778

  	
   

  	
  8

  	
   

  	
  10

  	
   

  	
  0.5389

  	
   

  
	
  0

  	
   

  	
  11

  	
   

  	
  0.9389

  	
   

  	
  4

  	
   

  	
  11

  	
   

  	
  0.6722

  	
   

  	
  8

  	
   

  	
  11

  	
   

  	
  0.5361

  	
   

  
	
  1

  	
   

  	
  0

  	
   

  	
  0.9333

  	
   

  	
  5

  	
   

  	
  0

  	
   

  	
  0.6667

  	
   

  	
  9

  	
   

  	
  0

  	
   

  	
  0.5334

  	
   

  
	
  1

  	
   

  	
  1

  	
   

  	
  0.9278

  	
   

  	
  5

  	
   

  	
  1

  	
   

  	
  0.6639

  	
   

  	
  9

  	
   

  	
  1

  	
   

  	
  0.5300

  	
   

  
	
  1

  	
   

  	
  2

  	
   

  	
  0.9222

  	
   

  	
  5

  	
   

  	
  2

  	
   

  	
  0.6611

  	
   

  	
  9

  	
   

  	
  2

  	
   

  	
  0.5265

  	
   

  
	
  1

  	
   

  	
  3

  	
   

  	
  0.9167

  	
   

  	
  5

  	
   

  	
  3

  	
   

  	
  0.6584

  	
   

  	
  9

  	
   

  	
  3

  	
   

  	
  0.5231

  	
   

  
	
  1

  	
   

  	
  4

  	
   

  	
  0.9111

  	
   

  	
  5

  	
   

  	
  4

  	
   

  	
  0.6556

  	
   

  	
  9

  	
   

  	
  4

  	
   

  	
  0.5196

  	
   

  
	
  1

  	
   

  	
  5

  	
   

  	
  0.9056

  	
   

  	
  5

  	
   

  	
  5

  	
   

  	
  0.6528

  	
   

  	
  9

  	
   

  	
  5

  	
   

  	
  0.5162

  	
   

  
	
  1

  	
   

  	
  6

  	
   

  	
  0.9000

  	
   

  	
  5

  	
   

  	
  6

  	
   

  	
  0.6500

  	
   

  	
  9

  	
   

  	
  6

  	
   

  	
  0.5127

  	
   

  
	
  1

  	
   

  	
  7

  	
   

  	
  0.8944

  	
   

  	
  5

  	
   

  	
  7

  	
   

  	
  0.6473

  	
   

  	
  9

  	
   

  	
  7

  	
   

  	
  0.5093

  	
   

  
	
  1

  	
   

  	
  8

  	
   

  	
  0.8889

  	
   

  	
  5

  	
   

  	
  8

  	
   

  	
  0.6445

  	
   

  	
  9

  	
   

  	
  8

  	
   

  	
  0.5059

  	
   

  
	
  1

  	
   

  	
  9

  	
   

  	
  0.8833

  	
   

  	
  5

  	
   

  	
  9

  	
   

  	
  0.6417

  	
   

  	
  9

  	
   

  	
  9

  	
   

  	
  0.5024

  	
   

  
	
  1

  	
   

  	
  10

  	
   

  	
  0.8778

  	
   

  	
  5

  	
   

  	
  10

  	
   

  	
  0.6389

  	
   

  	
  9

  	
   

  	
  10

  	
   

  	
  0.4990

  	
   

  
	
  1

  	
   

  	
  11

  	
   

  	
  0.8722

  	
   

  	
  5

  	
   

  	
  11

  	
   

  	
  0.6361

  	
   

  	
  9

  	
   

  	
  11

  	
   

  	
  0.4955

  	
   

  
	
  2

  	
   

  	
  0

  	
   

  	
  0.8667

  	
   

  	
  6

  	
   

  	
  0

  	
   

  	
  0.6334

  	
   

  	
  10

  	
   

  	
  0

  	
   

  	
  0.4921

  	
   

  
	
  2

  	
   

  	
  1

  	
   

  	
  0.8611

  	
   

  	
  6

  	
   

  	
  1

  	
   

  	
  0.6306

  	
   

  	
  10

  	
   

  	
  1

  	
   

  	
  0.4889

  	
   

  
	
  2

  	
   

  	
  2

  	
   

  	
  0.8556

  	
   

  	
  6

  	
   

  	
  2

  	
   

  	
  0.6278

  	
   

  	
  10

  	
   

  	
  2

  	
   

  	
  0.4858

  	
   

  
	
  2

  	
   

  	
  3

  	
   

  	
  0.8500

  	
   

  	
  6

  	
   

  	
  3

  	
   

  	
  0.6250

  	
   

  	
  10

  	
   

  	
  3

  	
   

  	
  0.4826

  	
   

  
	
  2

  	
   

  	
  4

  	
   

  	
  0.8444

  	
   

  	
  6

  	
   

  	
  4

  	
   

  	
  0.6223

  	
   

  	
  10

  	
   

  	
  4

  	
   

  	
  0.4795

  	
   

  
	
  2

  	
   

  	
  5

  	
   

  	
  0.8389

  	
   

  	
  6

  	
   

  	
  5

  	
   

  	
  0.6195

  	
   

  	
  10

  	
   

  	
  5

  	
   

  	
  0.4763

  	
   

  
	
  2

  	
   

  	
  6

  	
   

  	
  0.8333

  	
   

  	
  6

  	
   

  	
  6

  	
   

  	
  0.6167

  	
   

  	
  10

  	
   

  	
  6

  	
   

  	
  0.4732

  	
   

  
	
  2

  	
   

  	
  7

  	
   

  	
  0.8278

  	
   

  	
  6

  	
   

  	
  7

  	
   

  	
  0.6139

  	
   

  	
  10

  	
   

  	
  7

  	
   

  	
  0.4700

  	
   

  
	
  2

  	
   

  	
  8

  	
   

  	
  0.8222

  	
   

  	
  6

  	
   

  	
  8

  	
   

  	
  0.6111

  	
   

  	
  10

  	
   

  	
  8

  	
   

  	
  0.4668

  	
   

  
	
  2

  	
   

  	
  9

  	
   

  	
  0.8167

  	
   

  	
  6

  	
   

  	
  9

  	
   

  	
  0.6084

  	
   

  	
  10

  	
   

  	
  9

  	
   

  	
  0.4637

  	
   

  
	
  2

  	
   

  	
  10

  	
   

  	
  0.8111

  	
   

  	
  6

  	
   

  	
  10

  	
   

  	
  0.6056

  	
   

  	
  10

  	
   

  	
  10

  	
   

  	
  0.4605

  	
   

  
	
  2

  	
   

  	
  11

  	
   

  	
  0.8056

  	
   

  	
  6

  	
   

  	
  11

  	
   

  	
  0.6028

  	
   

  	
  10

  	
   

  	
  11

  	
   

  	
  0.4574

  	
   

  
	
  3

  	
   

  	
  0

  	
   

  	
  0.8000

  	
   

  	
  7

  	
   

  	
  0

  	
   

  	
  0.6000

  	
   

  	
  11

  	
   

  	
  0

  	
   

  	
  0.4542

  	
   

  
	
  3

  	
   

  	
  1

  	
   

  	
  0.7944

  	
   

  	
  7

  	
   

  	
  1

  	
   

  	
  0.5973

  	
   

  	
  11

  	
   

  	
  1

  	
   

  	
  0.4513

  	
   

  
	
  3

  	
   

  	
  2

  	
   

  	
  0.7889

  	
   

  	
  7

  	
   

  	
  2

  	
   

  	
  0.5945

  	
   

  	
  11

  	
   

  	
  2

  	
   

  	
  0.4485

  	
   

  
	
  3

  	
   

  	
  3

  	
   

  	
  0.7833

  	
   

  	
  7

  	
   

  	
  3

  	
   

  	
  0.5917

  	
   

  	
  11

  	
   

  	
  3

  	
   

  	
  0.4456

  	
   

  
	
  3

  	
   

  	
  4

  	
   

  	
  0.7778

  	
   

  	
  7

  	
   

  	
  4

  	
   

  	
  0.5889

  	
   

  	
  11

  	
   

  	
  4

  	
   

  	
  0.4427

  	
   

  
	
  3

  	
   

  	
  5

  	
   

  	
  0.7722

  	
   

  	
  7

  	
   

  	
  5

  	
   

  	
  0.5861

  	
   

  	
  11

  	
   

  	
  5

  	
   

  	
  0.4398

  	
   

  
	
  3

  	
   

  	
  6

  	
   

  	
  0.7667

  	
   

  	
  7

  	
   

  	
  6

  	
   

  	
  0.5834

  	
   

  	
  11

  	
   

  	
  6

  	
   

  	
  0.4370

  	
   

  
	
  3

  	
   

  	
  7

  	
   

  	
  0.7611

  	
   

  	
  7

  	
   

  	
  7

  	
   

  	
  0.5806

  	
   

  	
  11

  	
   

  	
  7

  	
   

  	
  0.4341

  	
   

  
	
  3

  	
   

  	
  8

  	
   

  	
  0.7556

  	
   

  	
  7

  	
   

  	
  8

  	
   

  	
  0.5778

  	
   

  	
  11

  	
   

  	
  8

  	
   

  	
  0.4312

  	
   

  
	
  3

  	
   

  	
  9

  	
   

  	
  0.7500

  	
   

  	
  7

  	
   

  	
  9

  	
   

  	
  0.5750

  	
   

  	
  11

  	
   

  	
  9

  	
   

  	
  0.4283

  	
   

  
	
  3

  	
   

  	
  10

  	
   

  	
  0.7444

  	
   

  	
  7

  	
   

  	
  10

  	
   

  	
  0.5723

  	
   

  	
  11

  	
   

  	
  10

  	
   

  	
  0.4255

  	
   

  
	
  3

  	
   

  	
  11

  	
   

  	
  0.7389

  	
   

  	
  7

  	
   

  	
  11

  	
   

  	
  0.5695

  	
   

  	
  11

  	
   

  	
  11

  	
   

  	
  0.4226

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
  12

  	
   

  	
  0

  	
   

  	
  0.4197

  	
   

  



 


32

















 


In using the
above table, the order of required steps is as follows:


 


(1)                                  determine
the Participant’s “early payment period,” which is the number of whole calendar
months by which the actual commencement of his pension payments precedes the
first day of the calendar month coincident with or following his
62nd birthday;


 


(2)                                  use
the early payment period as determined in Step (1) to identify the
applicable early payment factor; and


 


(3)                                  multiply
the applicable early payment factor times the amount of the Participant’s
Annual Pension determined under Section 4.1 (Normal Retirement Pension
Formula).


 


(b)                                 Notwithstanding
any other provision of this Section except Subsection (e) or (f), the
early retirement Nonforfeitable Annual Pension payable to a Participant who
(1) was a participant in the PSI Plan as of December 31, 1997, and
(2) became a participant in the PSI Plan prior to May 1, 1970, will
be computed under Section 4.2 (Normal Retirement Benefits for Participants
in the PSI Plan) and will be reduced by multiplying the amount of the
Participant’s Nonforfeitable Annual Pension by the early payment factor
described in Subsection (a); provided, however, that his early retirement
Nonforfeitable Annual Pension will not be less than the product of:


 


(A)                              the
amount computed under PSI Pension Formula 3 (as described in
Addendum A) as of the following date:


 


(i)                                     December 31,
1989, with respect to an Employee who is not a Highly Compensated Participant;
or


 


33

















 


(ii)                                  December 31,
1988, with respect to a Highly Compensated Participant; and


 


(B)                                the
early payment factor determined as described in Subsection (a), except
that the early payment period will be the number of whole calendar months by
which the commencement of the Participant’s pension payments precedes the first
day of the calendar month coincident with or following his 60th birthday.


 


(c)                                  Notwithstanding
any other provision of this Section except Subsection (e) or (f), the
early retirement Nonforfeitable Annual Pension payable to a Participant who
(1) was a participant in the PSI Plan as of December 31, 1997, and
(2) became a participant in the PSI Plan on or after May 1, 1970,
will be computed under Section 4.2 (Normal Retirement Benefits for
Participants in the PSI Plan) and will be reduced by multiplying the amount of
the Participant’s Nonforfeitable Annual Pension by the early payment factor
described in Subsection (a); provided, however, that his early retirement
Nonforfeitable Annual Pension will not be less than the product of:


 


(A)                              the
amount computed under PSI Pension Formula 2 (as described in
Addendum A) as of the following date:


 


(i)                                     December 31,
1989, with respect to an Employee who is not a Highly Compensated Participant;
or


 


(ii)                                  December 31,
1988, with respect to a Highly Compensated Participant; and


 


(B)                                the
early payment factor determined as described in Subsection (a).


 


(d)                                 Notwithstanding
any other provision of this Section except Subsection (e) or (f), the
early retirement Nonforfeitable Annual Pension payable to a Participant who was
a participant in the MRP or the RIP as of December 31, 1997, will be the
greater of the amounts calculated under (a) and (b) of Section 4.3 (Normal
Retirement Benefits for Participants in the MRP or RIP), after those amounts
are reduced as follows:


 


(1)                                  The
Participant’s Nonforfeitable Annual Pension calculated under
Section 4.1(Normal Retirement Pension Formula) will be reduced by
multiplying the amount of the Participant’s Annual Pension by the early payment
factor described in Subsection (a).


 


(2)                                  The
Participant’s annual accrued benefit calculated under the MRP or the RIP as of
December 31, 1997, will be reduced by multiplying the Participant’s annual
accrued benefit as of December 31, 1997, by the product of (A) 5/12
of one percent and


 


34

















 


(B) the
number of whole calendar months by which the actual commencement of the
Participant’s pension payments precedes the first day of the calendar month
coincident with or following the Participant’s 60th birthday.


 


(e)                                  If,
as of his applicable Severance from Service Date, a Participant has reached
age 55, and the sum of his age (in whole years) attained as of that date
and the number of his years of Service (in whole years) accumulated as of that
date equals or exceeds 85, he will receive a Nonforfeitable Annual Pension
computed under the appropriate early retirement Annual Pension formula
described in this Section, but the amount of the Participant’s pension will not
be multiplied by the early payment factor that otherwise would be applicable.


 


(f)                                    A
Participant who is eligible to terminate employment voluntarily under the
Redeployment Status Opportunity provisions of the Severance Opportunity Plan
for Non-Union Employees of Cinergy Corp., as amended from time to time, is
eligible to receive a Nonforfeitable Annual Pension computed under the
appropriate early retirement Annual Pension formula described in this Section,
but the amount of the Participant’s pension will not be multiplied by the early
payment factor that otherwise would be applicable, provided that:  (1) as of his applicable Severance from
Service Date, the Participant has reached age 50, (2) he elects under
Article 8 (Payment of Pension) to defer receipt of his pension to at least
age 55, and (3) the sum of his age (in whole years) attained as of
the date that the receipt of the pension under the Plan begins pursuant to
Paragraph (2) and his years of Service (in whole years) accumulated as of
his Severance from Service Date equals or exceeds 85.


 


4.5           General
Method of Computing Annual Pension for a Terminated Vested
Participant


 


(a)                                  Subject
to the following provisions of this Section, the amount of Nonforfeitable
Annual Pension payable to a former Participant who is described in
Section 5.3 (Severance from Service After Vesting), and whose Actual
Separation Date occurred on or before his Normal Retirement Date, will be
computed under Section 4.1 (Normal Retirement Pension Formula).  The benefits will begin on the Employee’s
Normal Retirement Date or, if the Employee so elects, at an earlier date on or
after his Early Retirement Date.  If the
Employee elects to have the benefits begin before his Normal Retirement Date,
the amount of the Employee’s Nonforfeitable Annual Pension will be reduced by
five percent for each calendar year (or .4166 percent for each calendar
month) by which the commencement of his pension payments precedes his Normal
Retirement Date.


 


35

















 


(b)                                 Notwithstanding
any other provision of this Section, the terminated vested Nonforfeitable
Annual Pension payable to a Participant who was a participant in the PSI Plan
as of December 31, 1997, will be the greater of the amounts calculated
under (a) and (b) of Section 4.2 (Normal Retirement Benefits for
Participants in the PSI Plan), after those amounts are reduced for early
payment as follows:


 


(1)                                  The
Participant’s Annual Pension calculated under Section 4.1 (Normal
Retirement Pension Formula) is reduced as described in Subsection (a).


 


(2)                                  If  the Participant elects to have his benefit
begin before his Normal Retirement Date, the Participant’s annual accrued
benefit under the PSI Plan as of December 31, 1997, is reduced by
multiplying that annual accrued benefit by the appropriate early payment factor
as obtained from the table in Subsection 4.4(a) (General Method of
Computing Annual Pension for Retirement at Early Retirement Date).


 


(c)                                  Notwithstanding
any other provisions of this Section, the terminated vested Nonforfeitable
Annual Pension payable to a Participant who (1) was a participant in the
PSI Plan as of December 31, 1997, and (2) became a participant in the
PSI Plan prior to May 1, 1970, will not be less than the product of:


 


(A)                              The
amount computed under PSI Pension Formula 5 (as set forth in Addendum A)
as of the following date:


 


(i)                                     December 31,
1989, with respect to an Employee who is not a Highly Compensated Participant;
or


 


(ii)                                  December 31,
1988, with respect to a Highly Compensated Participant; and


 


(B)                                If
the Participant elects to have his benefit begin before his Normal Retirement
Date, the early payment factor as obtained from the table in
Subsection 4.4(a) (General Method of Computing Annual Pension for
Retirement at Early Retirement Date), except that the early payment period will
be the number of whole calendar months by which the commencement of the
Participant’s pension payments precedes the first day of the calendar month
coincident or following his 60th birthday.


 


(d)                                 Notwithstanding
any other provisions of this Section, the terminated vested Nonforfeitable
Annual Pension payable to a Participant who (1) was a participant in the
PSI Plan as of December 31, 1997, and


 


36

















 


(2) became
a participant in the PSI Plan on or after May 1, 1970, will not be less
than the product of:


 


(A)                              The
amount computed under PSI Pension Formula 6 (as set forth in
Addendum A) as of the following date:


 


(i)                                     December 31,
1989, with respect to an Employee who is not a Highly Compensated Participant;
or


 


(ii)                                  December 31,
1988, with respect to a Highly Compensated Participant; and


 


(B)                                If
the Participant elects to have his benefit begin before his Normal Retirement
Date, the early payment factor determined as obtained from the table in
Subsection 4.4(a) (General Method of Computing Annual Pension for
Retirement at Early Retirement Date).


 


(e)                                  Notwithstanding
any other provision of this Section, the terminated vested Nonforfeitable
Annual Pension payable to a Participant who was a participant in the MRP or the
RIP as of December 31, 1997, will be the greater of the amounts calculated
under (a) or (b) of Section 4.3 (Normal Retirement Benefits for
Participants in the MRP or RIP), after each of those amounts is reduced by five
percent for each calendar year (or .4166 percent for each calendar month)
by which the commencement of the Participant’s pension payments precedes his
Normal Retirement Date.


 


4.6           Maximum
Pension


 


(a)                                  Each
Participant whose Annual Pension as otherwise determined pursuant to the
provisions of this Article and as modified by the applicable provisions of
Section 7.1 (Normal Forms of Pension) exceeds $1,000 multiplied by the
Employee’s years of Service with the Employer (not exceeding ten), or who has
ever participated in a Qualified Defined Contribution Plan, will in no event be
entitled to an Annual Pension that exceeds the lesser of:


 


(1)                                  $90,000
(as adjusted for increases in the limitation pursuant to Code
subsection 415(d)); or


 


(2)                                  100 percent
of his highest average annual Section 415 Compensation from his Employer
for any three consecutive years of Service; provided, that if he has fewer than
three years of Service, then 100 percent of his highest average annual
Section 415 Compensation from his Employer for his total years of Service
will be construed as the limiting amount.


 


37

















 


 


However, if a Participant has fewer than ten
years of Participation at his Normal Retirement Date or Early Retirement Date,
whichever is applicable, then the dollar limitation of Paragraph (1) will
be multiplied by a fraction, the numerator of which is the number of the
Participant’s years of Participation (including fractional years of
Participation) and the denominator of which is ten.  However, the maximum benefit will never be reduced to less than
1/10th of the applicable limitation.


 


(b)                                 If
any benefit under the Plan begins before the Participant’s Social Security
Retirement Age, but on or after the Participant reaches age 62, the
determination as to whether the $90,000 limit set forth in Subsection (a)
has been satisfied will be made, in accordance with regulations prescribed by
the Secretary, by reducing the limitation of Subsection (a).  The reduction under the preceding sentence
will be made in the manner as the Secretary may prescribe that is consistent
with the reduction for old-age insurance benefits commencing before the Social
Security Retirement Age under the Social Security Act.  If any benefit under the Plan begins before
the Participant reaches age 62, the determination as to whether the
$90,000 limit set forth in Subsection (a) has been satisfied will be made,
in accordance with regulations prescribed by the Secretary, by reducing the
limitation of Subsection (a) so that the limitation (as reduced) equals an
Annual Pension (beginning when the retirement income benefit begins) that is
actuarially equivalent to the reduced $90,000 Annual Pension beginning at
age 62 as determined under this Subsection.  If a Participant’s benefit commences prior to his Social Security
Retirement Age, but on or after age 62, the dollar limitation in Paragraph
4.6(a)(1) shall be reduced to the date of commencement in accordance with Code
subparagraph 415(b)(2)(C) as follows:


 


(1)                                  If
the Participant’s Social Security Retirement Age is age 65, the dollar
limitation in Paragraph 4.6(a)(1) shall be reduced by 5/9 of one percent for
each month by which the Participant’s benefit commences before the month in
which the Participant attains age 65; or


 


(2)                                  If
the Participant’s Social Security Retirement Age is greater than age 65, the
dollar limitation in Paragraph 4.6(a)(1) shall be reduced by 5/9 of one percent
for each of the first 36 months and 5/12 of one percent for each of the
additional months (up to 24 months) by which the Participant’s benefit
commences before the month of the Participant’s Social Security Retirement Age.


 


(c)                                  If
any benefit under the Plan begins after the Participant’s Social Security
Retirement Age, the determination as to whether the $90,000 limitation set
forth in Subsection (a) has been satisfied will be made, in accordance
with regulations prescribed by the Secretary, by increasing, if necessary, the
limitation of Subsection (a) so that the limitation (as increased) equals
an 


 


38

















 


Annual Pension (beginning when the retirement
income benefit begins) that is actuarially equivalent to a $90,000 Annual
Pension beginning at the Social Security Retirement Age.


 


(d)                                 In
general, the maximum annual benefit means a benefit payable annually in the
form of a single life annuity (without ancillary benefits).  If a Participant’s pension under the Plan is
payable in any form other than a single life annuity, the determination as to whether
the limitations of this Section have been satisfied will be made by adjusting
the benefit so that it is the actuarial equivalent of a single life
annuity.  For purposes of this Section,
any ancillary benefit not directly related to retirement income benefits, and
that portion of any joint and survivor annuity that constitutes a Qualified
Joint and Survivor Annuity under Subsection 7.1(b) (Normal Forms of
Pension), will not be taken into account.


 


(e)                                  For
benefits commencing in Plan Years beginning on or after January 1, 1995,
and except as provided in this Plan, the adjustments to the limitations under
Subsections (b), (c), and (d) will be calculated as described in this
Subsection.  For purposes of adjusting
the limit for an Annual Pension commencing prior to age 62 under
Subsection (b), the $90,000 limitation will be equal to the lesser of the
equivalent $90,000 limitation that is computed using the interest rate and
mortality table (or other tabular factor) specified in the Plan for equivalence
for early retirement benefits, and the equivalent $90,000 limitation that is
computed using a 5 percent interest rate assumption and the mortality
table prescribed from time to time by the Secretary for this purpose.  For purposes of adjusting any form of
optional benefit to a straight life annuity under Subsection (d), the
actuarially equivalent life annuity will be equal to the greater of the annuity
benefit that is computed using the interest rate and mortality table (or other
tabular factor) specified in the Plan for adjusting benefits in the same form,
and the annuity benefit that is computed using a 5 percent interest rate
assumption and the mortality table prescribed from time to time by the
Secretary for this purpose.  For
purposes of adjusting for any form of benefit subject to Code paragraph 417(e)(3),
an interest rate assumption equal to the applicable interest rate as defined in
Section 1.5 (Actuarial Equivalent) will be substituted for the
5 percent interest rate assumption set forth in the preceding sentences.  For purposes of adjusting the limit under
Subsection (c), the $90,000 limitation for an Annual Pension beginning
after Social Security Retirement Age will be the lesser of the equivalent
$90,000 limitation that is computed using the interest rate and mortality table
(or other tabular factor) specified in the Plan for equivalence of delayed
retirement benefits, and the equivalent $90,000 limitation that is computed
using a 5 percent interest rate assumption and the mortality table
prescribed from time to time by the Secretary for this purpose.  Notwithstanding the preceding provisions of
this Subsection, this 


 


39

















 


Subsection will not apply to the accrued
benefit of any Participant under the Plan as of December 31, 1997, after
applying Code section 415 as in effect on December 7, 1994, for each
possible Annuity Starting Date and each optional form of benefit under the
Plan.


 


(f)                                    Notwithstanding
the foregoing, the maximum annual benefit payable under this Section will not
be less than the actuarial equivalent of the Participant’s single life annuity,
accrued under the Plan, as of December 31, 1997, determined by using the
Plan’s actuarial assumptions as in effect on December 31, 1997.


 


(g)                                 If
for any particular Plan Year, a Participant is also participating in one or
more Qualified Defined Contribution Plans maintained by his Employer, then the
sum of the Participant’s aggregate Defined Benefit Plan Fraction and the
Participant’s aggregate Defined Contribution Plan Fraction will not exceed 1.0.  If the sum exceeds 1.0, then the Employer
will reduce the Participant’s benefits in this Plan so that the sum equals
1.0.  The Participant’s maximum Annual
Pension will be determined under the provisions of this Article without regard
to the $10,000 minimum amount referred to in the first paragraph of this
Section.  This Subsection will be
repealed, effective January 1, 2000, for any Participant who is credited
with at least one Hour of Service on or after January 1, 2000.


 


4.7                                 Benefits if Plan Becomes a Top-Heavy Plan


 


If the Plan becomes a Top-Heavy Plan, the
minimum accrued benefit of any Participant who was at no time a Key Employee
will be equal to two percent of the Participant’s Final Average Earnings
multiplied by the number of Top-Heavy Plan Years in which he completed at least
1,000 Hours of Service, but not more than ten years.


 


If a non-Key Employee participates in the
Plan and a Qualified Defined Contribution Plan included in a Required
Aggregation Group that is Top-Heavy, the minimum benefits will be provided
under this Plan.


 


No increase in addition to the minimum
accrued benefit described above will be made in the event the Plan becomes a
Super Top-Heavy Plan.


 


4.8                                 2000
Limited Early Retirement Program


 


(a)                                  Eligibility


 


The provisions of this Section, which govern
Cinergy’s 2000 Limited Early Retirement Program (“2000 LERP”), apply to a
Participant who:


 


(1)                                  is
an Exempt Employee or a Non-Exempt Employee;


 


(2)                                  attains
age 54 on or before May 31, 2000;


 


40

















 


(3)                                  attains
at least five years of Service with an Employer on or before May 31, 2000;


 


(4)                                  elects
between March 31, 2000, and May 15, 2000, to incur a Severance from
Service on June 1, 2000, and agrees that his Employer may select the
Severance from Service Date;


 


(5)                                  is
employed in one of the following departments or locations as of  January 1, 2000:


 


(i)                                     Any
corporate center area, including:


 


	
  Cinergy Executive

  	
   

  	
  Human Resources

  
	
  Cinergy Foundation

  	
   

  	
  Information Technology

  
	
  Corporate Communications

  	
   

  	
  Legal

  
	
  Corporate Services

  	
   

  	
  PSI Energy, Inc. and CG&E Executive

  
	
  Finance

  	
   

  	
  Site Services;

  



 


(ii)                                  Business
Units Finance (Accounting and Capital Projects) 

Business Units Information Technology, including the 

Customer Management Solutions (CMS) Project Team;


 


(iii)                               Energy
Delivery Business Unit (EDBU) Retail Sales 

EDBU Community Affairs/Community Development 

EDBU Economic Development 

EDBU District and Area Managers in Field Customer Services; or


 


(iv)                              EDBU
Labor Relations and Safety; and


 


(6)                                  signs
a waiver of claims in the form specified by his Employer.


 


The following Exempt Employees and Non-Exempt
Employees are not eligible to participate in the 2000 LERP:


 


(1)                                  Officers
of Cinergy;


 


(2)                                  Co-op
employees, retirees working part-time (rehired retirees), and intermittent
employees;


 


(3)                                  Employees
who are disabled from any occupation and who are receiving long-term disability
benefits under Cinergy’s Long Term Disability Plan, as of March 31, 2000;
or


 


41

















 


(4)                                  Except
as provided in Subsection 4.8 (d), any Employee who has received
retirement benefits or severance pay under any plan previously or currently
offered by an Employer or an Affiliate.


 


(b)                                 2000
LERP Benefits


 


(1)                                  Waiver
of Early Payment Factor


 


For each Participant who elects to incur a
Severance from Service under the provisions of this Section and whose
Nonforfeitable Annual Pension is otherwise computed pursuant to the terms of
Section 4.4 (General Method of Computing Annual Pension for Retirement at
Early Retirement Date) the Nonforfeitable Annual Pension will be calculated by
waiving the application of the Early Payment Factor.


 


(2)                                  Special
Supplemental Benefit


 


Each eligible Participant who elects to incur
a Severance from Service under the provisions of this Section will receive a
special supplemental benefit the form of which will be elected by the
Participant from the following options:


 


(A)                              An
amount equal to the product of two times his weekly Base Salary or weekly Base
Wage as of his Severance from Service Date multiplied by his whole years of
Service with his Employer, payable as a life annuity; or


 


(B)                                An
amount equal to the product of one times his weekly Base Salary or weekly Base
Wage as of his Severance from Service Date multiplied by his whole years of
Service payable as a life annuity, plus $600.00 per month as a Social Security
Act bridge payment until the Participant attains age 62.


 


(3)                                  Lump
Sum Payment Available in Lieu of Annuity


 


(A)                              In
lieu of the normal form of payment that would otherwise apply to the special
supplemental benefit payable to the Participant under Article 7 (Forms of
Pension), his Spouse or any other Beneficiary or Contingent Annuitant under the
Plan, a lump sum distribution of the special supplemental benefit is available
at the eligible Participant’s election with spousal consent in accordance with
Section 7.2 (Optional Forms of Retirement Income).  However, the Social Security Act bridge
payments described in 


 


42

















 


Subparagraph 4.8 (b)(2)(B) will be paid
to the Participant or his Beneficiary or Contingent Annuitant monthly.


 


(B)                                The
lump sum distribution of the special supplemental benefit described in
Subparagraph 4.8 (b)(2)(A) will be equal to the product of 52 times the
Participant’s weekly Base Salary or weekly Base Wage as of his Severance from
Service Date multiplied by 3.85% multiplied by his whole years of Service.


 


The lump sum distribution of the special
supplemental benefit described in Subparagraph 4.8 (b)(2)(B) will be equal
to the product of 52 times the Participant’s weekly Base Salary or weekly Base
Wage as of his Severance from Service Date multiplied by 1.925% multiplied by
his whole years of Service.


 


(C)                                Time
of Payment


 


The lump sum form of the special supplemental
benefit will be payable as of the Participant’s Annuity Starting Date or as
soon as administratively feasible thereafter.


 


(D)                               Election
Period


 


A lump sum distribution of the special
supplemental benefit must  be elected
within the 90 day period ending on the Participant’s Annuity Starting
Date.  If the Participant chooses an
annuity option and selects a Beneficiary other than a Spouse for the special
supplemental benefit, the Participant must do so in writing and confirm or
withdraw that election within 90 days preceding the Annuity Starting Date.


 


(E)                                 Beneficiary


 


A Participant’s Beneficiary of the lump sum
distribution of the special supplemental benefit will be his Spouse unless the
Participant’s Spouse has consented to another Beneficiary pursuant to
Section 7.2 (Optional Forms of Retirement Income).


 


A Beneficiary who elects a lump sum
distribution of the special supplemental benefit may designate one Beneficiary
for the special supplemental benefit in the event the Participant dies before
the lump sum is distributed.  A married
Participant’s designation of a Beneficiary other than 


 


43

















 


the Participant’s Spouse will not be
effective unless the Participant’s Spouse consents to the election and
designation in accordance with Section 7.2 (Optional Forms of Retirement
Income).


 


(F)                                 Death
of a Participant


 


In the event of the death of a Participant
who elected a lump sum distribution of the special supplemental benefit prior
to the distribution date, the lump sum will be distributed as soon as
administratively feasible following the Participant’s death.  If the Participant’s Spouse is his
Beneficiary, the Spouse may elect payment in the form of a lump sum or in the
form that applies to other benefits payable to the Spouse under the Plan after
the Participant’s death.


 


(c)                                  Construction
of the 2000 LERP Provisions


 


The benefits provided under the 2000 LERP
will be paid in accordance with and consistent with Plan provisions that apply
to the payment of normal or early retirement benefits, except where specific
exceptions or provisions are included in this Section.


 


(d)                                 Special
Eligibility Rule


 


Any Retired Participant who incurred a
Severance from Service between January 1, 2000 and May 1, 2000, is
eligible to receive the 2000 LERP benefits described in Subsection 4.8 (b)
if he meets all of the eligibility and participation requirements described in
Subsection 4.8 (a) and he returns to his Employer any termination related
benefits, if any, previously received.


 


(e)                                  Election
Information


 


Prior to electing to participate in the 2000
LERP, an eligible Participant will be provided with a written explanation of
the terms and conditions of the survivor annuity which will be paid to the
Participant’s Spouse if the Participant dies without electing a lump sum
distribution of the special supplemental benefit, the Participant’s right to
elect a lump sum distribution in lieu of a survivor annuity of this benefit and
the effect of such an election, the rights of the Participant’s Spouse
described in Section 7.2 (Optional Forms of Retirement Income), and the
right of a Participant to revoke and the effect of revoking such an election.


 


44

















 


4.9                                 2002
Voluntary Early Retirement Program


 


(a)                                  Eligibility


 


The provisions of this Section, which govern
the 2002 Voluntary Early Retirement Program (“2002 VERP”), apply to an
individual who:


 


(1)                                  is
a Participant in the Plan who is classified by the Employer as a “full-time”
employee and who is not an officer of an Employer;


 


(2)                                  attains
age 54 on or before June 1, 2002;


 


(3)                                  attains
at least five years of Service with an Employer on or before June 1, 2002 (or
would have attained at least five years of Service with an Employer on or
before June 1, 2002 if he had remained employed with an Employer until such
date);


 


(4)                                  on
a form provided by Cinergy, elects between March 15, 2002 and April 30, 2002 to
incur a Severance from Service on May 31, 2002 (or such other date selected by
his Employer), agrees that his Employer may select the Severance from Service
Date and remains employed until such date;


 


(5)                                  is
employed in one or more of the following departments or locations as of March
15, 2002:


 


(i)                                     The
Corporate Center;


 


(ii)                                  The
Energy Merchant Business Unit; or


 


(iii)                               The
Regulated Business Unit, but only if the Participant has been selected by his
Employer for participation in the 2002 VERP based upon such Participant’s job
classification; and


 


(6)                                  signs
and does not revoke a waiver of claims in the form specified by his Employer.


 


(b)                                 2002
VERP Benefits


 


(1)                                  Waiver
of Early Payment Factor


 


For each Participant who elects to incur a
Severance from Service under the provisions of this Section and whose
Nonforfeitable Annual Pension is otherwise computed pursuant to the terms of
Section 4.4 (General Method of Computing Annual Pension for Retirement at Early
Retirement Date), the Nonforfeitable Annual Pension will be calculated without
applying an early payment factor.


 


45

















 


(2)                                  Special
Supplemental Benefit


 


Each Participant who elects to incur a
Severance from Service under the provisions of this Section will receive a
special supplemental benefit equal to the Actuarial Equivalent of the product
of two times his weekly Base Salary or weekly Base Wage as of his Severance
from Service Date multiplied by his whole years of Service as of his Severance
from Service Date, payable in accordance with Section 7.1 (Normal Forms of
Pension). The Participant may elect to receive his special supplemental benefit
in any optional form of payment provided in Section 7.2 (Optional Forms of
Retirement Income) other than those described in Subsections 7.2(d) and (e).


 


(3)                                  Lump
Sum Payment Available in Lieu of Annuity


 


(A)                              In
lieu of the normal form of payment that would otherwise apply to the special
supplemental benefit payable to the Participant under Article 7 (Forms of
Pension), his Spouse or any other Beneficiary or Contingent Annuitant under the
Plan, a lump sum distribution of the special supplemental benefit is available
at the eligible Participant’s election with spousal consent in accordance with
Section 7.2 (Optional Forms of Retirement Income).


 


(B)                                The
lump sum distribution of the special supplemental benefit will be in an amount
equal to the Actuarial Equivalent of the special supplemental benefit.


 


(C)                                Time
of Payment


 


The lump sum distribution of the special
supplemental benefit will be payable as of the Participant’s Annuity Starting
Date or as soon as administratively feasible thereafter.


 


(D)                               Election
Period


 


A lump sum distribution of the special
supplemental benefit must be elected within the 90 day period ending on the
Participant’s Annuity Starting Date.  If
the Participant chooses an annuity option and selects a Beneficiary other than
a Spouse for the special supplemental benefit, the Participant must do so in
writing and confirm or withdraw that election within 90 days preceding the
Annuity Starting Date.


 


46

















 


(E)                                 Beneficiary


 


A Participant’s Beneficiary of the lump sum
distribution of the special supplemental benefit will be his Spouse unless the
Participant’s Spouse has consented to another Beneficiary pursuant to Section
7.2 (Optional Forms of Retirement Income). 
A Beneficiary who elects a lump sum distribution of the special
supplemental benefit may designate one Beneficiary for the special supplemental
benefit in the event the Participant dies before the lump sum is
distributed.  A married Participant’s
designation of a Beneficiary other than the Participant’s Spouse will not be
effective unless the Participant’s Spouse consents to the election and
designation in accordance with Section 7.2 (Optional Forms of Retirement
Income).


 


(F)                                 Death
of a Participant


 


In the event of the death of a Participant
who elected a lump sum distribution of the special supplemental benefit prior
to the distribution date, the lump sum will be distributed as soon as
administratively feasible following the Participant’s death.  If the Participant’s Spouse is his
Beneficiary, the Spouse may elect payment in the form of a lump sum or in the
form that applies to other benefits payable to the Spouse under the Plan after
the Participant’s death.


 


(4)                                  Actuarial
Equivalent.  For purposes of
calculating the Actuarial Equivalent amount of the benefit described in
Sections 4.9(b)(2) and (3), “Actuarial Equivalent” means a benefit having the
same actuarially determined value as the benefit that the Actuarial Equivalent
replaces, calculated using the “applicable mortality table” described in
Section 417(e)(3)(A)(ii)(I) of the Code and the “applicable interest rate”
described in Section 417(e)(3)(A)(ii)(II) of the Code for the calendar month
specified by the Plan for purposes of calculating the Actuarial Equivalent
amount of any lump sum payment.


 


(c)                                  Construction
of the 2002 VERP Provisions


 


The benefits provided under the 2002 VERP
will be paid in accordance with and consistent with Plan provisions that apply
to the payment of normal or early retirement benefits, except where specific
exceptions or provisions are included in this Section.


 


47

















 


(d)                                 Special
Eligibility Rule


 


Any Retired Participant who incurred a
Severance from Service between January 1, 2002 and March 1, 2002, is eligible
to receive the 2002 VERP benefits described in Subsection 4.9(b) if he meets
the applicable eligibility and participation requirements described in
Subsection 4.9(a) and he returns to his Employer any termination related
benefits previously received.


 


(e)                                  Election
Information


 


Prior to electing to participate in the 2002
VERP, an eligible Participant will be provided with a written explanation of
the terms and conditions of the survivor annuity which will be paid to the
Participant’s Spouse if the Participant dies without electing a lump sum
distribution of the special supplemental benefit, the Participant’s right to
elect a lump sum distribution in lieu of a survivor annuity of this benefit and
the effect of such an election, the rights of the Participant’s Spouse
described in Section 7.2 (Optional Forms of Retirement Income), and the right
of a Participant to revoke and the effect of revoking such an election.”


 


4.10                           Nonapplicability of Article


 


This Article shall not apply to a Participant
for periods on and after the Participant becomes a Cash Balance Participant
except as otherwise provided in Article 4A (Cash Balance Accounts).


 


ARTICLE 4A


 


CASH BALANCE ACCOUNTS


 


4.1A                       Opening Account


 


Each Participant who becomes a Cash Balance
Participant shall have a notional account (the “Cash Balance Account”)
established for him on the date he becomes a Cash Balance Participant.  Each Cash Balance Participant shall have an
opening balance in his Cash Balance Account of zero, except as provided in (a),
(b) or (c) of this Section.


 


(a)                                  Participants
Who Choose in 2002 to Become a Cash Balance Participant.  A Participant who becomes a Cash Balance
Participant in accordance with Subsection 3.2(a) shall have an opening
balance in his Cash Balance Account (as of the date he becomes a Cash Balance
Participant) equal to the “Conversion Present Value” (as defined below in this
Subsection (a)) of the Participant’s Annual Pension under Subsection
1.11(a) payable beginning at the Participant’s Normal Retirement Date (or, if
later, December 31, 2002) determined as if the Participant had terminated
employment with the Employer and all Affiliates as of December 31,
2002.  “Conversion Present Value” for
purposes of this Subsection (a) 


 


48

















 


shall be the actuarial present value
determined as of December 31, 2002 using the 1994 Group Annuity Reserving
Table with a 50/50 mix of males and females (i.e., the table prescribed in Rev.
Rul. 2001-62) and an interest rate equal to 5.08% (i.e., the “applicable
interest rate” under Code subsection 417(e) for August 2002).


 


(b)                                 Transfer
Employees.  A Participant who
(i) first becomes a Cash Balance Participant in accordance with
Subsection 3.2(c) and (ii) with respect to whom assets and
liabilities are transferred to the Plan from the Cinergy Corp. Union Employees’
Retirement Income Plan or the Cinergy Corp. Union Employees’ Pension Plan in
accordance with Section 3.6 (Transfers of Participants and Plan Assets To
and From the Cinergy Corp. Union Employees’ Retirement Income Plan and Cinergy
Corp. Union Employees’ Pension Plan) shall have an opening balance or an
addition to his opening balance in his Cash Balance Account (as of the date he
becomes or again becomes a Cash Balance Participant, as applicable) equal to
the “Conversion Present Value” (as defined below in this Subsection (b))
of the accrued benefit (payable in the form of an annuity for the life of the
Participant beginning at the later of the Participant’s normal retirement date
under the transferor plan or the first day immediately prior to the date the
Participant becomes or again becomes a Cash Balance Participant) with respect
to which assets (and liabilities) were transferred from the Cinergy Corp. Union
Employees’ Retirement Income Plan or Cinergy Corp. Union Employees’ Pension
Plan).  “Conversion Present Value” for
purposes of this Subsection (b) shall be the actuarial present value
determined as of the first day immediately prior to the date the Participant
becomes or again becomes a Cash Balance Participant, as applicable, using the
1994 Group Annuity Reserving Table with a 50/50 mix of males and females and an
interest rate equal to the “applicable interest rate” under Code subsection 417(e)
as specified by the Commissioner of Internal Revenue in revenue rulings,
notices or other guidance published in the Internal Revenue Bulletin (currently
based on the annual rate of interest on 30–year Treasury securities) for
the fifth full calendar month preceding the first day of the Plan Year in which
the determination occurs.


 


(c)                                  Reemployed
Employees Who Never Had Retirement Choice. 
A Participant who first becomes a Cash Balance Participant in accordance
with Subsection 3.2(e) shall have an opening balance in his Cash Balance
Account (as of the date he becomes a Cash Balance Participant) equal to the
“Conversion Present Value” (as defined below in this Subsection (c)) of
the Participant’s Annual Pension payable beginning at the Participant’s Normal
Retirement Date (or, if later, the first day immediately prior to the date the
Participant becomes a Cash Balance Participant) and based on the benefit
accrued through the Participant’s most recent Severance from Service (prior to
reemployment as described in Section 3.2(e)).  “Conversion Present Value” for purposes of this
Subsection (c) shall be 


 


49

















 


the actuarial present value determined as of
the first day immediately prior to the date the Participant becomes a Cash
Balance Participant using the 1994 Group Annuity Reserving Table with a 50/50
mix of males and females and an interest rate equal to the “applicable interest
rate” under Code subsection 417(e) as specified by the Commissioner of Internal
Revenue in revenue rulings, notices or other guidance published in the Internal
Revenue Bulletin (currently based on the annual rate of interest on 30–year
Treasury securities) for the fifth full calendar month preceding the first day
of the Plan Year in which the determination occurs.


 


4.2A                       Pay Credits


 


(a)                                  Balanced
Formula


 


As of the last day of each Plan Year, the
Cash Balance Account of each Participant who was a Cash Balance Participant
during the Plan Year and was covered by the formula in this Subsection (a)
shall be credited with a Pay Credit equal to the applicable percentage
specified in the table below (based on the Participant’s years of Service as of
December 31 of such Plan Year) of the Participant’s Earnings for such Plan
Year.  Notwithstanding the foregoing
provisions of this Subsection (a), if a Participant who was a Cash Balance
Participant during the Plan Year and was covered by the formula in this
Subsection (a) has an Annuity Starting Date during the Plan Year, the Cash
Balance Account of such Participant shall be credited with a Pay Credit as of
the day before the Participant’s Annuity Starting Date equal to the applicable
percentage specified below (based on the Participant’s years of Service as of
his Severance from Service Date) of the Participant’s Earnings for such Plan
Year through his Severance from Service Date (and if such Participant is
reemployed during such Plan Year after his Severance from Service Date, the
Cash Balance Account of such Participant shall be credited with a Pay Credit
for the Participant’s Earnings for such Plan Year after his Reemployment
Commencement Date in accordance with the immediately preceding sentence).


 


	
  Years of
  Service

  	
   

  	
  Percentage

  	
   

  
	
  Less than 6
  years

  	
   

  	
  3

  	
  %

  
	
   

  	
   

  	
   

  	
   

  
	
  6 or more
  years, but less than 11 years

  	
   

  	
  4

  	
  %

  
	
   

  	
   

  	
   

  	
   

  
	
  11 years or
  more

  	
   

  	
  5

  	
  %

  



 


50

















 


(b)                                 Investor
Formula


 


As of the last day of each Plan Year, the
Cash Balance Account of each Participant who was a Cash Balance Participant
during the Plan Year and was covered by the formula in this Subsection (b)
shall be credited with a Pay Credit equal to 2% of the Participant’s Earnings
for such Plan Year.  Notwithstanding the
foregoing provisions of this Subsection (b), if a Participant who was a
Cash Balance Participant during the Plan Year and was covered by the formula in
this Subsection (b) has an Annuity Starting Date during the Plan Year, the
Cash Balance Account of such Participant shall be credited with a Pay Credit as
of the day before the Participant’s Annuity Starting Date equal to 2% of the
Participant’s Earnings for such Plan Year through his Severance from Service
Date (and if such Participant is reemployed during such Plan Year after his
Severance from Service Date, the Cash Balance Account of such Participant shall
be credited with a Pay Credit for the Participant’s Earnings for such Plan Year
after his Reemployment Commencement Date in accordance with the immediately
preceding sentence).


 


4.3A                       Interest Credits


 


As of the last day of each Plan Year, each
Cash Balance Account shall be credited with an Interest Credit in an amount
equal to the Cash Balance Account as of the first day of the Plan Year
multiplied by the “interest credit percentage” (as defined below) for the Plan
Year.  The “interest credit percentage”
for a Plan Year shall be equal to the “applicable interest rate” under Code
subsection 417(e) as specified by the Commissioner of Internal Revenue in
revenue rulings, notices or other guidance published in the Internal Revenue
bulletin (currently based on the annual rate of interest on 30–year
Treasury securities) for the fifth full calendar month preceding the first day
of the Plan Year for which the credit occurs. 
Notwithstanding the foregoing provisions of this Section, if a Participant
with a Cash Balance Account has an Annuity Starting Date during the Plan Year,
the Cash Balance Account of such Participant shall be credited with an Interest
Credit on the last day of the month immediately preceding the month during
which the Participant’s Annuity Starting Date occurs in an amount equal to the
Cash Balance Account as of the first day of the Plan Year multiplied by the
“applicable fraction” (as defined below) of the “interest credit percentage”
(as defined in the immediately preceding sentence) for the Plan Year.  The “applicable fraction” is a fraction, the
numerator of which is the number of months during the Plan Year in which the
Participant’s Annuity Starting Date occurs that precede the month during which
the Participant’s Annuity Starting Date occurs and the denominator of which is
12.  The foregoing provisions of this
Section do not and shall not be construed to credit a Participant (or the
Participant’s Cash Balance Account) with Interest Credits for the period
commencing on the Participant’s (or Beneficiary’s) Annuity Starting Date.


 


51

















 


4.4A                       Cash Balance Annual Pension


 


(a)                                  General
Rule


 


As of his Annuity Starting Date, the Annual
Pension of a Participant with a Cash Balance Account (other than a Participant
described in Subsection 4.4A(b) (Special Rule for Certain Participants)) shall
be equal to the Actuarial Equivalent of either (i) the Participant’s Cash
Balance Account if the Participant has attained his Normal Retirement Date or
(ii) the Participant’s “Projected Cash Balance Account” (as defined in
this Section) if the Participant has not attained his Normal Retirement
Date.  As of his Annuity Starting Date,
the Participant’s “Projected Cash Balance Account” shall be equal to the
Participant’s Cash Balance Account projected to his Normal Retirement Date with
Interest Credits based on the interest credit percentage as defined in
Section 4.3A (Interests Credits) in effect for the Plan Year which
includes the Annuity Starting Date and with Interest Credits being credited at
the intervals and in the manner provided in Section 4.3A (Interest Credits).


 


(b)                                 Special
Rule for Certain Participants


 


If a Participant with a Cash Balance Account
has had an amount credited to his Cash Balance Account in accordance with
Section 4.1A (Opening Account), the Annual Pension of the Participant
shall be the greater of the Annual Pension determined under Subsection
4.4(A)(a) (General Rule) or the sum of the Participant’s Prior Conversion Pension
and the Annual Pension that the Participant would have had under Subsection
4.4A(a)(General Rule) if the Participant had no accrued benefit other than his
Cash Balance Account and had no amount credited to his Cash Balance Account in
accordance with Section 4.1A (Opening Account).


 


(c)                                  Overriding
Provision


 


Notwithstanding the foregoing provisions of
this Section 4.4A (Cash Balance Annual Pension), the Annual Pension shall be
subject to and determined in accordance with Section 4.6 (Maximum
Pension), Section 4.7 (Benefits if Plan Becomes a Top-Heavy Plan) and
Section 8.5 (Benefits for Late Retirees, Reemployed Retirees and Reemployed
Terminated Vested Participants).


 


52

















 


ARTICLE 5


 


SEVERANCE FROM
SERVICE-VESTING


 


5.1                                 Vesting Requirement


 


(a)                                  A
Participant will satisfy the Vesting Requirement under the Plan upon his
completion of five years of Service and then will have a Nonforfeitable right
to his accrued benefit under the Plan. 
A Participant who is an Employee on his Normal Retirement Date will be
deemed to satisfy the Vesting Requirement as of that date if he has not already
satisfied the Vesting Requirement under the Plan.  Notwithstanding the preceding provisions of this Subsection, the
Nonforfeitable percentage of each Participant’s right to his accrued benefit
derived from Employer contributions, because of a change to the vesting
schedule, will be not less than the Participant’s vested percentage, computed
under the Plan as of the date immediately prior to the change, without regard
to the change.  Moreover, each
Participant whose Nonforfeitable percentage of his accrued benefit derived from
Employer contributions is determined under an amended vesting schedule, and who
has completed at least three years of Service as of the date of the amendment
may elect, within a reasonable period after the adoption of the amended vesting
schedule, to have the Nonforfeitable percentage of his accrued benefit derived
from Employer contributions determined without regard to the amendment if his
Nonforfeitable percentage under the Plan as amended is, at any time, less than
the percentage determined without regard to the amendment.


 


(b)                                 If
the Plan becomes a Top-Heavy Plan, the above Vesting Requirement will not
apply.  Instead, each Participant’s
Accrued Benefit under the Plan will be partially or fully vested in accordance
with the following schedule:


 


	
  Years of Service

  	
   

  	
  Percent
  Vested

  	
   

  
	
  2

  	
   

  	
  20

  	
  %

  
	
  3

  	
   

  	
  40

  	
  %

  
	
  4

  	
   

  	
  60

  	
  %

  
	
  5 or more

  	
   

  	
  100

  	
  %

  



 


In any Plan Year (other than a Top-Heavy Plan
Year) that succeeds one or more Top-Heavy Plan Years the following will apply:


 


(1)                                  a
Participant with five or more years of Service as of the beginning of the Plan
Year will become 100 percent vested in all his accrued benefits;


 


(2)                                  a
Participant with at least two but less than five years of Service as of the
beginning of the Plan Year will remain vested in his accrued 


 


53

















 


benefit as of that date in accordance with
the Top-Heavy Vesting schedule, but will vest in any forfeitable portion and in
any further accruals in accordance with Subsection (a); and


 


(3)                                  any
other Participant will, as of that date, again be subject to the provisions of
Subsection (a) with respect to all of his accrued benefit.


 


5.2                                 Severance from Service Before Vesting


 


If a Participant incurs a Severance from
Service before he has satisfied the Vesting Requirement and is not reemployed
by an Employer, he will have no further interest in, or right to, any benefits
under the Plan, except as otherwise provided in Section 14.2
(Reemployment).  If upon a Severance
from Service, a Participant is zero percent vested in his benefits under the
Plan, the vested portion of his Plan benefits will be deemed distributed to him
as of his Severance from Service Date.


 


5.3                                 Severance from Service After
Vesting


 


If a Participant who had not become a Cash
Balance Participant incurs a Severance from Service before his 50th birthday,
but after satisfying the Vesting Requirement, he will be entitled to receive a
pension commencing on his 50th birthday, if he is then living,
or the Participant may elect to begin receiving his benefit at any time on or
after his Early Retirement Date (subject to the provisions of Article 8
(Payment of Pension)).  If a Participant
who had become a Cash Balance Participant incurs a Severance from Service after
satisfying the Vesting Requirement, he will be entitled to receive a pension
commencing after his Severance from Service (subject to the provisions of
Article 8 (Payment of Pension)). 
Subject to the provisions of Section 4.6 (Maximum Pension) and
Article 7 (Forms of Pension), the amount of Nonforfeitable Annual Pension
payable will be determined pursuant to the provisions of Section 4.5
(General Method of Computing Annual Pension for a Terminated Vested
Participant) or Section 4.4A (Cash Balance Annual Pension), as applicable.


 


ARTICLE 6


 


DEATH BENEFIT


 


6.1                                 Determination of Spouse’s Benefit
for Participant Who Had Not Become a Cash Balance Participant


 


Notwithstanding anything to the contrary,
this Section 6.1 (Determination of Spouse’s Benefit for Participant Who
Had Not Become a Cash Balance Participant) shall not apply to a Participant for
periods on and after the Participant becomes a Cash Balance Participant.  Upon the death of either (a) an Active 


 


54

















 


Participant who has satisfied the Vesting
Requirement (an “Eligible Active Participant”), or (b) a former
Participant who has satisfied the Vesting Requirement, whose employment with
his Employer terminated before the Participant reached age 50, and whose
pension under the Plan had not yet begun on the date of his death (an “Eligible
Former Participant”), the Participant’s Spouse on the date of his death, if
living on the date of the first installment payable, as set forth below, will
be entitled to receive a pension under the Plan as a Spouse’s Benefit.  The annual amount of the Spouse’s Benefit
will be determined as follows:


 


(a)                                  If,
at the date of his death, the Participant was either an Eligible Active
Participant or an Eligible Former Participant who had reached age 50, the
Spouse’s benefit will equal 100 percent of the Annual Pension that the
Participant would have received, commencing on the first day of the calendar month
coincident with or following the date of his death, if (1) he had retired
as of the first day of the calendar month coincident with or following his
death, thus establishing an Early Retirement Date, (2) the amount of
Annual Pension commencing on the Early Retirement Date had been determined
pursuant to the applicable provisions of Section 4.4 (General Method of
Computing Annual Pension for Retirement at Early Retirement Date), and
(3) his pension had been payable under the single-life option applicable
to him pursuant to Subsection 7.1(a) (Normal Forms of Pension).  However, subject to Subsection (b), if
the Participant’s Spouse is more than eight years younger than the Participant,
the Spouse will receive the greater of (i) the benefit that would have been
payable to the Spouse if the Participant had elected to begin receiving pension
payments immediately prior to his death under the 100 percent option applicable
to him pursuant to Subsection 7.1(b) (Normal Forms of Pension) or (ii) the
actuarial equivalent of the benefit payable to a Spouse exactly eight years
younger than the Participant, calculated by multiplying the Annual Pension that
the Participant would have received times the appropriate early payment factor
under Subsection 4.4(a) (General Method of Computing Annual Pension for
Retirement at Early Retirement Date) and then multiplying the resulting product
by the appropriate Spouse’s benefit factor as obtained from the following
table:


 


55

















 


	
  Participant’s Age 

  Less Spouse’s Age (in years)

  	
   

  	
  Participant’s
  Age at Death

  	
   

  
	
   

  	
  50-59

  	
   

  	
  60 or
  older

  	
   

  
	
  8

  	
   or
  less

  	
   

  	
  1.00

  	
   

  	
  1.00

  	
   

  
	
  9

  	
   

  	
   

  	
  .91

  	
   

  	
  .90

  	
   

  
	
  10

  	
   

  	
   

  	
  .82

  	
   

  	
  .81

  	
   

  
	
  11

  	
   

  	
   

  	
  .75

  	
   

  	
  .72

  	
   

  
	
  12

  	
   

  	
   

  	
  .68

  	
   

  	
  .65

  	
   

  
	
  13

  	
   

  	
   

  	
  .62

  	
   

  	
  .59

  	
   

  
	
  14

  	
   

  	
   

  	
  .56

  	
   

  	
  .54

  	
   

  
	
  15

  	
   

  	
   

  	
  .51

  	
   

  	
  .49

  	
   

  
	
  16

  	
   

  	
   

  	
  .47

  	
   

  	
  .44

  	
   

  
	
  17

  	
   

  	
   

  	
  .43

  	
   

  	
  .40

  	
   

  
	
  18

  	
   

  	
   

  	
  .39

  	
   

  	
  .36

  	
   

  
	
  19

  	
   

  	
   

  	
  .36

  	
   

  	
  .33

  	
   

  
	
  20

  	
   

  	
   

  	
  .33

  	
   

  	
  .30

  	
   

  
	
  21

  	
   

  	
   

  	
  .30

  	
   

  	
  .28

  	
   

  
	
  22

  	
   

  	
   

  	
  .28

  	
   

  	
  .26

  	
   

  
	
  23

  	
   

  	
   

  	
  .26

  	
   

  	
  .24

  	
   

  
	
  24

  	
   

  	
   

  	
  .24

  	
   

  	
  .22

  	
   

  
	
  25

  	
   

  	
   

  	
  .22

  	
   

  	
  .20

  	
   

  



 


(b)                                 Notwithstanding
Subsection (a), if a Participant who had reached age 50 at the date
of his death was a participant in the MRP or the RIP as of December 31,
1997, the Spouse’s benefit attributable to the Participant’s accrued benefit
under the MRP or the RIP as of December 31, 1997, will be calculated by
multiplying the Participant’s annual accrued benefit under the MRP or the RIP
as of December 31, 1997, by the early payment factor described under
Paragraph 4.4(d)(2) (General Method of Computing Annual Pension for
Retirement at Early Retirement Date), and then multiplying the resulting
product by the MRP/RIP Spousal and Contingent Annuitant benefit factor as
obtained from the table in Addendum C of the Plan.


 


(c)                                  If,
at the date of his death, the Participant was either an Eligible Active
Participant or an Eligible Former Participant who, in either case, had not
reached age 50, the Spouse’s benefit will equal 100 percent of the
Annual Pension that the Participant would have received commencing on the first
day of the calendar month coincident with or following his 50th birthday,
if (1) his Severance from Service Date, in the case of an Eligible Active
Participant, had been the date of his death, (2) the amount of Annual
Pension (including the appropriate early payment reduction factor) had been
determined pursuant to the applicable provisions of Section 4.5 (General
Method of Computing Annual Pension for Terminated Vested Participant),
(3) he had survived and elected to begin receiving pension payments on the
first day of the calendar month coincident with or following his
50th birthday, and (4) his pension had been payable under 


 


56

















 


the 100 percent option applicable to him
pursuant to Subsection 7.1(b) (Normal Forms of Pension).


 


(d)                                 Notwithstanding
Subsection (c), if a Participant who had not attained age 50 at the
date of his death was a participant in the MRP or the RIP as of
December 31, 1997, the Spouse’s benefit attributable to the Participant’s
accrued benefit under the MRP or the RIP as of December 31, 1997, will be
calculated by multiplying the Participant’s annual accrued benefit under the
MRP or the RIP as of December 31, 1997, by the early payment factor
described under Subsection 4.5(e) (General Method of Computing Annual
Pension for Terminated Vested Participant) and then multiplying the resulting
product by the MRP/RIP Spousal and Contingent Annuitant benefit factor as
obtained from the table in Addendum C of the Plan.


 


6.2                                 Method of Payment of Spouse’s
Benefit for Participant Who Had Not Become a Cash Balance Participant


 


Notwithstanding anything to the contrary,
this Section 6.2 (Method of Payment of Spouse’s Benefit for Participant
Who Had Not Become a Cash Balance Participant) shall not apply to a Participant
for periods on and after the Participant becomes a Cash Balance Participant.  A Spouse’s benefit will be payable in equal
monthly installments, each equal to 1/12th of the Annual Pension as
determined pursuant to this Article.  If
at the date of his death the Eligible Active Participant or Eligible Former
Participant had reached age 50, the first monthly installment of the
Spouse’s benefit will be payable to the Participant’s Spouse on the first day
of the calendar month coincident with or following the date of the
Participant’s death, if his Spouse is then living, unless the Spouse elects to
defer payment until the date the Participant would have reached
age 62.  If at the date of his
death the Participant had not reached age 50, the first monthly
installment will be payable to the Participant’s Spouse on the first day of the
calendar month coincident with or following the date the Participant would have
reached age 50, had he survived until that date, if his Spouse is then
living, unless the Spouse elects to defer payment until the date the
Participant would have reached age 65. 
In either event, subsequent monthly installments will be payable on the
first day of each month and will cease upon the payment of the installment due
on the first day of the calendar month in which the Spouse dies.


 


6.3                                 Preretirement Death Benefit for
Cash Balance Participant


 


Upon the death of a Participant with a Cash
Balance Account who is either an Employee or has satisfied the Vesting
Requirement, and whose pension under the Plan had not yet begun on the date of
his death, a death benefit shall be payable as follows:


 


(a)                                  If
the Participant’s Beneficiary at the date of death is his Spouse, such Spouse
shall be entitled to receive a single life annuity payable during the Spouse’s
life commencing on the date the Participant under this Plan 


 


57

















 


would have attained his Normal Retirement
Date or if elected (in the form and manner prescribed by the Committee) by the
Spouse, on the first day of any month on or after the date the Participant died
and before the date the Participant would have attained his Normal Retirement
Date.  The Spouse’s single life annuity
shall be the greater of the Actuarial Equivalent of the Participant’s Cash
Balance Account as of the last day of the month prior to the month of
distribution or the pension payable to the Spouse if the Participant had
terminated employment on the last day of the month prior to the month of
distribution, commenced payment in the form of a Qualified Joint and Survivor
Annuity as provided in Section 7.1 (Normal Forms of Pension) and died on
the next day.  The Spouse may elect (in
the form and manner prescribed by the Committee), in lieu of the foregoing
single life annuity, to receive a lump sum payment equal to the greater of the
Actuarial Equivalent of such single life annuity or 100% of the balance of the
Participant’s Cash Balance Account as of the last day of the month prior to the
month of distribution (which distribution shall be as of or before the first
day of the month coincident with or immediately following the later of the Participant’s
death or the Participant’s Normal Retirement Date).


 


(b)                                 If
the Participant’s Beneficiary at the date of his death is any person other than
his Spouse, there shall be paid to the Participant’s Beneficiary as soon as
practicable after the Participant’s death occurs a lump sum payment equal to
100% of the balance of Participant’s Cash Balance Account as of the last day of
the month prior to the month of distribution.


 


(c)                                  A
Participant’s Beneficiary shall be his Spouse unless (i) the Participant elects
to waive the death benefit payable to his Spouse in accordance with Subsection
(a) and to designate a Beneficiary to receive the death benefit payable in
accordance with Subsection (b), (ii) his Spouse consents to the election
and such consent is in writing, acknowledges the effect of such election, and
is witnessed by a Plan representative or notary public, and (iii) the election
and consent are made in the form and manner prescribed by the Committee.  A Spouse’s consent shall not be required
(for a Participant’s election of a Beneficiary death benefit) if it is
established to the satisfaction of the Committee that the Participant is not
married or that the consent cannot be obtained because the Spouse cannot be
located or because of such other circumstances as may be prescribed in
regulations issued by the Internal Revenue Service.  Any election made pursuant to this Subsection (c) may be revoked
prior to the Participant’s Annuity Starting Date (and a new election made as
described above in this Subsection (c)) in the form and manner prescribed by
the Committee.  A Spouse’s consent shall
not be effective with respect to any other subsequent spouse.  A Participant’s election prior to the first
day of the Plan Year in which the Participant attains age 35 shall be
invalid upon the first day of the Plan Year in which the Participant attains
age 35 (a 


 


58

















 


Participant who again desires to elect a
Beneficiary death benefit must make a new election as described above in this
Subsection (c)); provided, however, that an election by a Participant after the
Participant has terminated employment shall not become invalid under the
foregoing provisions of this sentence.


 


(d)                                 Within
a reasonable period after an Employee becomes a Cash Balance Participant and
either prior to the first day of the Plan Year in which such Participant
attains age 35, or if earlier, within a reasonable period after a
Separation from Service (prior to age 35) by such Participant, the Committee
shall provide the Participant with a written explanation of (1) the terms
and conditions of the death benefit payable to his Spouse under
Subsection (a), (2) the Participant’s right to waive the death
benefit payable to his Spouse under Subsection (a) (and to designate a
Beneficiary for the death benefit payable under Subsection (b)) and the effect
of such waiver, (3) the rights of his Spouse and (4) his right to
revoke any prior waiver and designation and the effect of such revocation.


 


ARTICLE 7


 


FORMS OF
PENSION


 


7.1                                 Normal Forms of Pension


 


(a)                                  Unmarried
Participants


 


The normal form of pension payable under the
Plan to a Participant who is not married on his Annuity Starting Date and who
does not otherwise elect an optional form of pension under Section 7.2
(Optional Forms of Retirement Income), will be a single-life income payable in
equal monthly installments throughout the Participant’s lifetime, ceasing with
the installment due on the first day of the calendar month in which his death
occurs.


 


(1)                                  Non-Cash
Balance Participant.  For a
Participant who had not become a Cash Balance Participant, each monthly
installment will equal 1/12th of the Annual Pension (payable as of his Annuity
Starting Date) as determined pursuant to Article 4 (Amount of Life-Only
Pension) (including application of any early payment factors).


 


(2)                                  Cash
Balance Participant Without Prior Conversion Pension.  For a Participant who had become a Cash
Balance Participant and is not described in Subsection 4.4A(b) (Special Rule
for Certain Participants)), each monthly installment will equal 1/12th of the
annual life annuity payable as of his Annuity Starting Date that is 


 


59

















 


the greater of (i) the Participant’s Annual
Pension as determined pursuant to Subsection 4.4A(a) (General Rule), reduced
for an Annuity Starting Date before his Normal Retirement Date to an Actuarial
Equivalent annual annuity payable for the Participant’s life commencing as of
his Annuity Starting Date or (ii) the Participant’s Cash Balance Account
converted into an Actuarial Equivalent annual annuity payable for the
Participant’s life commencing as of his Annuity Starting Date.


 


(3)                                  Cash
Balance Participant With Prior Conversion Pension.  For a Participant who had become a Cash
Balance Participant and is described in Subsection 4.4A(b) (Special Rule for
Certain Participants)), each monthly installment will equal 1/12th of the
annual life annuity payable as of his Annuity Starting Date that is the
greatest of (i), (ii) or (iii):


 


(i)                                     Annual
Pension Equivalent


 


The Participant’s Annual Pension as
determined pursuant to Subsection 4.4A(b) (Special Rule for Certain
Participants), reduced for an Annuity Starting Date before his Normal
Retirement Date to an Actuarial Equivalent annual annuity payable for the
Participant’s life commencing as of his Annuity Starting Date.


 


(ii)                                  Cash
Balance Account Equivalent


 


The Participant’s Cash Balance Account
converted into an Actuarial Equivalent annual annuity payable for the
Participant’s life commencing as of his Annuity Starting Date.


 


(iii)                               Special
Rule


 


The sum of (A) the Prior Conversion Pension,
reduced for an Annuity Starting Date before his Normal Retirement Date to an
annual annuity payable for the Participant’s life commencing as of his Annuity
Starting Date using the applicable early payment factors that would otherwise
have been applicable to the Prior Conversion Pension (for any reduction down to
the Participant’s age 50) and if the Participant has not attained age 50 as of
his Annuity Starting Date, reduced for payment prior to Participant’s age 50
using the Actuarial Equivalent factors (of Subsection 1.5(a) and (b)) and (B)
the greater of (x) the Annual Pension that the Participant would have had under
Section 4.4A(a)(General Rule) if the Participant had no accrued benefit other
than his Cash Balance Account and had no amount credited to his Cash Balance
Account in accordance with Section 4.1A (Opening Account), reduced for an
Annuity Starting Date before his Normal Retirement Date to an Actuarial
Equivalent annual annuity payable for the Participant’s life commencing as of
his Annuity Starting Date or (y) the Cash Balance Account that the Participant
would have had under Section 4.4A(a)(General Rule) if the Participant had no
accrued 


 


60

















 


benefit other than his Cash Balance Account
and had no amount credited to his Cash Balance Account in accordance with
Section 4.1A (Opening Account), converted into an Actuarial Equivalent annual
annuity payable for the Participant’s life commencing as of his Annuity
Starting Date.


 


(b)                                 Married
Participants


 


The normal form of pension payable under the
Plan to a Participant who is married on his Annuity Starting Date and who does
not otherwise elect an optional form of pension under Section 7.2
(Optional Forms of Retirement Income) is a “Qualified Joint and Survivor
Annuity,” which will be paid as follows:


 


(1)                                  To
the Participant:


 


A reduced pension based on the
100 percent option in equal monthly installments payable on his Annuity
Starting Date and on the first day of each calendar month thereafter.  Payments will cease with the installment due
on the first day of the calendar month in which the Participant dies.  The reduced amount payable to the
Participant will be the Actuarial Equivalent of the amount that would otherwise
be paid to the Participant if he were unmarried.


 


If a Participant has an annual accrued
benefit under the MRP or the RIP as of December 31, 1997, the reduced
pension payable to him will not be less than the Participant’s annual accrued
benefit under the MRP or the RIP as of December 31, 1997, multiplied by
the applicable MRP/RIP Spousal and Contingent Annuitant benefit factor from the
table in Addendum C to the Plan.


 


(2)                                  To
his Spouse:


 


A pension payable in equal monthly
installments, each monthly installment being equal to 100 percent of the
monthly installment paid to the Participant. 
The first installment will be payable on the first day of the calendar
month following the Participant’s death, if 


 


61

















 


the Spouse is then living; subsequent
installments are payable on the first day of each calendar month, ceasing with
the installment due on the first day of the calendar month in which the Spouse
dies.  If the Participant’s Annuity
Starting Date is on or after the date of the Participant’s 50th
birthday and the Participant’s Spouse predeceases the Participant after reduced
pension payments under this Subsection have begun, payments will be made to the
Participant after the Spouse’s death in the form of an unreduced single life
annuity pursuant to Subsection (a) as of the first day of the month after
the Participant notifies the Committee of the Spouse’s death.


 


If a Participant who has not become a Cash
Balance Participant and who is entitled to benefits under the provisions of
Section 4.4 (General Method of Computing Annual Pension for Retirement at
Early Retirement Date) dies after his Actual Separation Date, but prior to the
commencement of pension payments, and if the Participant’s Actual Separation
Date is on or after his 50th birthday, under the normal form of pension
applicable to him, his Spouse will be entitled to receive, commencing on the
first day of the calendar month following the Participant’s death, if the
Spouse is then living, a monthly pension, with each monthly installment equal
to the amount that would have been payable to the Spouse following the
Participant’s death pursuant to his election, or if no election is made, then
pursuant to the provisions of this Paragraph (b)(2), if the Participant
had begun receiving pension benefits on the first day of the calendar month in
which the Participant died.


 


7.2                                 Optional Forms of Retirement
Income


 


Subject to the following conditions, a
Participant, by making a request to the Committee or its designee within the
election period specified in this Section, may elect to receive, in lieu of the
normal form of pension applicable to him under Section 7.1 (Normal Forms
of Pension), one of the optional forms of pension specified under this Section
(the “Contingent Pension Option”).  Each
election must be made by the Participant in a manner prescribed by the
Committee or its designee.  The election
of the Contingent Pension Option will take effect at a specified date, referred
to as the “Option Effective Date.”  The
amount of pension payable under any optional form will be the Actuarial
Equivalent of the pension that would have been payable to the Participant under
Subsection 7.1(a) (Unmarried Participants).


 


At least 30 days but no more than
90 days before a Participant’s Annuity Starting Date, the Committee or its
designee will provide the Participant whose normal form of pension applicable
to him is described in Subsection 7.1(a) (Normal Forms of Pension) with a
written explanation of (a) the terms and conditions of 


 


62

















 


the normal form of pension benefits
applicable to him under Subsection 7.1(a) (Normal Forms of Pension);
(b) the Participant’s ability to elect to receive, in lieu of the normal
form of pension applicable to him under Subsection 7.1(a) (Normal Forms of
Pension), an optional form of pension under this Section; (c) the relative
financial effect of the election on his pension benefits; (d) the
availability of additional information describing the particular financial
effect of the election upon his pension benefit; and (e) the procedures
the Participants must follow to obtain the additional information.


 


The Committee or its designee will provide
each Participant whose normal form of pension is a Qualified Joint and Survivor
Annuity, at least 30 days but no more than 90 days before the
Participant’s Annuity Starting Date, a written explanation of (a) the
terms and conditions of the Qualified Joint and Survivor Annuity, (b) the
Participant’s right to make and the effect of an election to waive a Qualified
Joint and Survivor Annuity, (c) the rights of a Participant’s Spouse with
respect to the selection of benefit forms, and (d) the right to make and
the effect of a revocation of a previous election to waive the Qualified Joint
and Survivor Annuity.  A Participant may
elect to waive any requirement that the Applicable Election Period extend at
least 30 days after the Committee provides the Participant with the
written explanations described in this Section, if the distribution begins more
than seven days after the applicable written explanation is provided.  If the Participant is married, the
Participant’s Spouse must consent to the waiver in writing before a notary
public or a Plan representative.


 


To be effective, an election to waive the
Qualified Joint and Survivor Annuity must be made in writing during the
90 day period ending on the Annuity Starting Date and, if the Participant
is married, it must be consented to by the Participant’s Spouse.  The election must designate a Beneficiary
(or a form of benefits) that may not be changed (except back to a Qualified
Joint and Survivor Annuity) without the Spouse’s consent, unless the Spouse’s
original consent expressly permits designations by the Participant without any
requirements of further consent by the Spouse. 
The Spouse’s consent must be given in writing during the 90 day period
ending on the Annuity Starting Date, must acknowledge the effect of the
election and the consent, and must be witnessed by a Plan representative or
notary public.  If the Participant
establishes to the satisfaction of a Plan representative that the Spouse’s
written consent cannot be obtained because there is no Spouse or the Spouse
cannot be located, the Spouse’s consent will be deemed to have been given.  If a Participant is legally separated from
his Spouse or has been abandoned by his Spouse (within the meaning of local
law) and the Participant has a court order to such effect, the Spouse’s consent
will not be required unless a Qualified Domestic Relations Order provides
otherwise.  Any Spousal consent will be
valid only with respect to the Spouse who signs the consent, or in the event of
a deemed consent, the designated Spouse. 
If a Participant’s Spouse is legally incompetent to give consent, the
Spouse’s legal guardian (even if the guardian is the Participant) may give
consent.  A Participant may revoke a
prior effective election at any time prior to the receipt of benefits.


 


63

















 


(a)                                  Single-Life
Option


 


A married Participant whose normal form of
pension is a Qualified Joint and Survivor Annuity may elect, in lieu of all
payments otherwise payable, a single-life pension that provides payments to the
Participant in equal monthly installments throughout his lifetime, ceasing with
the installment due on the first day of the calendar month in which the
Participant dies.  Each monthly
installment will equal the monthly installment that would have been payable to
the Participant under Subsection 7.1(a) (Unmarried Participants).


 


(b)                                 Contingent
Pension Option


 


A Participant may elect, in lieu of all
payments otherwise payable on and after the Option Effective Date, the
Contingent Pension Option providing payments as follows:


 


(1)                                  To
the Participant:


 


A reduced pension beginning on the Option
Effective Date, with subsequent monthly payments payable on the first day of
each subsequent calendar month throughout his remaining lifetime, terminating
with the payment due on the first day of the calendar month in which he
dies.  The reduced amount payable to the
Participant will be determined in accordance with the Participant’s choice of
the 100 percent, 662/3 percent, or 50 percent
option and will be the Actuarial Equivalent of the amount that would otherwise
be paid to the Participant under the single-life annuity option applicable to
him pursuant to Subsection 7.2(a) (Optional Forms of Retirement Income).  An option cannot be elected, modified, or
rescinded after the Option Effective Date.


 


If a Participant has an annual accrued
benefit under the MRP or the RIP as of December 31, 1997, the reduced
pension payable to him will not be less than the Participant’s annual accrued
benefit under the MRP or the RIP as of December 31, 1997, multiplied by
(A) for the 100 percent option, the applicable MRP/RIP Spousal and
Contingent Annuitant Benefit factor from the table in Addendum C to the
Plan, or (B) for the 50 percent option, the applicable
50 percent Contingent Annuitant Benefit factor from the table in
Addendum D to the Plan.


 


(2)                                  To
the Contingent Annuitant designated by the Participant at the time he elects
this option:


 


A contingent pension beginning on the first
day of the calendar month following the calendar month in which the
Participant’s 


 


64

















 


death occurs if the Participant dies on or
after the Option Effective Date, and if the Contingent Annuitant is then
living, with subsequent monthly payments payable on the first day of each
subsequent calendar month throughout the Contingent Annuitant’s remaining
lifetime, terminating with the monthly payment due on the first day of the
calendar month in which the Contingent Annuitant dies.  However, if the Participant had elected to
defer his pension payments, the Contingent Annuitant may elect, at any time
prior to the date contingent pension payments actually begin, to have the
payments begin after the Participant’s death on the first day of any calendar
month coincident with or prior to the date the Participant had elected to start
receiving his pension payments.


 


The monthly amount payable to the Contingent
Annuitant will be a specified percentage of the reduced pension payable under
this option to the Participant, as specified by the Participant.  This percentage will be either
100 percent, 662/3 percent, or
50 percent.  Notwithstanding the
foregoing, if the Contingent Annuitant is other than the Participant’s Spouse,
the Contingent Pension Option may be elected only if the requirements of
26 C.F.R. §1.401(a)(9)-2 are satisfied.


 


An option will not become effective, and
payments will be made as otherwise provided in the Plan as if this option had
never been elected, if:  (a) the
Participant is not living on the Option Effective Date, (b) the
Participant does not, within 90 days after his election, and not later
than the Option Effective Date, furnish evidence, satisfactory to the
Committee, of the age of his Contingent Annuitant, or (c) the Participant
elects, prior to the Option Effective Date, to cancel the option.  If the Participant’s Annuity Starting Date
is on or after the date of the Participant’s 50th birthday and the
Participant’s Contingent Annuitant predeceases the Participant after the
contingent pension payments have begun, the option will be canceled and no
longer effective, and payments will be made to the Participant in the form of
an unreduced single-life annuity applicable to him pursuant to Subsection 7.2(a)
(Optional Forms of Retirement Income) as of the first day of the month after
the Participant notifies the Committee of the Contingent Annuitant’s death.


 


Notwithstanding anything to the contrary in
this Subsection (b), the Contingent Pension Option in the form of a 66-2/3
percent or 50 percent option shall only be available if the Participant
has or will have attained age 50 by his Annuity Starting Date.


 


65

















 


(c)                                  Life
with Ten Year Certain Option


 


A Participant who has or will have attained
age 50 by the Annuity Starting Date may, in lieu of all payments otherwise
payable on and after the Option Effective Date, elect the Life with Ten Year
Certain Option providing payments as follows:


 


(1)                                  To
the Participant:


 


A reduced pension beginning on the Option
Effective Date with subsequent monthly payments payable on the first day of
each calendar month thereafter for ten years or throughout his remaining
lifetime, whichever is longer, terminating with the payment due on the first
day of the calendar month after the end of ten years or in which the
Participant dies, whichever is applicable.


 


If the Participant elects the Life with Ten
Year Certain Option, the amount of the Participant’s Nonforfeitable annual
pension will be determined by multiplying his Annual Pension by the appropriate
Life with Ten Year Certain Factor as obtained from the following table:


 


	
  LIFE WITH
  TEN YEAR CERTAIN FACTORS

  	
   

  
	
  Age

  	
   

  	
  Factor

  	
   

  	
  Age

  	
   

  	
  Factor

  	
   

  
	
  50

  	
   

  	
  .9869

  	
   

  	
  70

  	
   

  	
  .9065

  	
   

  
	
  51

  	
   

  	
  .9855

  	
   

  	
  71

  	
   

  	
  .8977

  	
   

  
	
  52

  	
   

  	
  .9839

  	
   

  	
  72

  	
   

  	
  .8883

  	
   

  
	
  53

  	
   

  	
  .9823

  	
   

  	
  73

  	
   

  	
  .8780

  	
   

  
	
  54

  	
   

  	
  .9803

  	
   

  	
  74

  	
   

  	
  .8670

  	
   

  
	
  55

  	
   

  	
  .9783

  	
   

  	
  75

  	
   

  	
  .8553

  	
   

  
	
  56

  	
   

  	
  .9760

  	
   

  	
  76

  	
   

  	
  .8429

  	
   

  
	
  57

  	
   

  	
  .9734

  	
   

  	
  77

  	
   

  	
  .8299

  	
   

  
	
  58

  	
   

  	
  .9706

  	
   

  	
  78

  	
   

  	
  .8163

  	
   

  
	
  59

  	
   

  	
  .9674

  	
   

  	
  79

  	
   

  	
  .8021

  	
   

  
	
  60

  	
   

  	
  .9639

  	
   

  	
  80

  	
   

  	
  .7875

  	
   

  
	
  61

  	
   

  	
  .9601

  	
   

  	
  81

  	
   

  	
  .7723

  	
   

  
	
  62

  	
   

  	
  .9558

  	
   

  	
  82

  	
   

  	
  .7569

  	
   

  
	
  63

  	
   

  	
  .9511

  	
   

  	
  83

  	
   

  	
  .7413

  	
   

  
	
  64

  	
   

  	
  .9461

  	
   

  	
  84

  	
   

  	
  .7253

  	
   

  
	
  65

  	
   

  	
  .9407

  	
   

  	
  85

  	
   

  	
  .7090

  	
   

  
	
  66

  	
   

  	
  .9347

  	
   

  	
  86

  	
   

  	
  .6925

  	
   

  
	
  67

  	
   

  	
  .9285

  	
   

  	
  87

  	
   

  	
  .6758

  	
   

  
	
  68

  	
   

  	
  .9217

  	
   

  	
  88

  	
   

  	
  .6591

  	
   

  
	
  69

  	
   

  	
  .9145

  	
   

  	
  89

  	
   

  	
  .6424

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
  90

  	
   

  	
  .6259

  	
   

  



 


66

















 


(2)                                  To
the Beneficiary designated by the Participant at the time he elects this
option:


 


If the Participant dies prior to the end of
ten years from the date of his initial pension payment, a contingent pension
payable on the first day of the calendar month following the calendar month in
which the Participant dies if the Participant’s death is on or after the Option
Effective Date and if the Beneficiary is then living, with subsequent monthly
payments being payable on the first day of each calendar month for the balance
of ten years from the date of the Participant’s Option Effective Date; provided
that if the Beneficiary is not then living, or if the Beneficiary dies before
the first day of the last calendar month of such ten year period from the date
of the Participant’s Option Effective Date, any remaining monthly payments for
such ten year period shall be paid to the Beneficiary’s estate.


 


(d)                                 Life
Annuity Level Income Option


 


A Participant who has or will have attained
age 50 by the Annuity Starting Date and who retires prior to reaching
age 62 may elect, in lieu of all payments otherwise payable on and after
the Option Effective Date, the Life Annuity Level Income Option, which provides
payments to the Participant that are adjusted for the months before and after
the Participant is eligible to receive benefits under the Social Security Act
at age 62.


 


The Participant will receive a reduced
pension on the Option Effective Date, with subsequent monthly payments payable
on the first day of each calendar month thereafter for his remaining lifetime,
terminating with the payment due on the first day of the calendar month in
which his death occurs.  The reduced
pension the Participant receives will be calculated as follows:


 


(1)                                  Subject
to Paragraph (5), Participant’s Annual Pension will be determined pursuant
to Article 4 (Amount of Life-Only Pension) or Article 4A (Cash
Balance Accounts), whichever is applicable.


 


(2)                                  Subject
to Paragraph (5), the Participant’s Reduced Primary Social Security
Benefit will be multiplied by the appropriate Level Income Option factor from
the table in Addendum E to the Plan.


 


(3)                                  The
sum of the amounts determined under Paragraphs (1) and (2) will equal the
Level Income Option benefit payable to the Participant prior to age 62,
which is the first date he is eligible to begin receiving Social Security Act
benefits.


 


67

















 


(4)                                  The
Level Income Option benefit payable to the Participant after he reaches
age 62 will equal the amount determined in Paragraph (3), minus the
Participant’s Reduced Primary Social Security Benefit.


 


(5)                                  If
a Participant has an annual accrued benefit under the MRP or the RIP as of
December 31, 1997, the Level Income Option benefit payable to that
Participant will not be less than the sum of (A) and (B), where (A) equals the
Participant’s annual accrued benefit under the MRP or the RIP as of
December 31, 1997, and (B) equals the Participant’s Reduced Primary Social
Security Benefit multiplied by the appropriate MRP/RIP Level Income Option
factor from the table in Addendum F to the Plan.


 


(e)                                  100 Percent
Contingent Annuitant Level Income Option


 


A Participant who has or will have attained
age 50 by the Annuity Starting Date and who retires prior to reaching
age 62 may, in lieu of all payments otherwise payable on or after the
Option Effective Date, elect the 100 Percent Contingent Annuitant Level
Income Option, which provides payments as follows:


 


(1)                                  To
the Participant:


 


A reduced pension that is adjusted for the
months before and after the Participant is eligible to receive benefits under
the Social Security Act at age 62. 
The Participant will receive a reduced pension on the Option Effective
Date, with subsequent monthly payments payable on the first day of the calendar
month thereafter for his remaining lifetime, terminating with the payment due
on the first day of the calendar month in which the Participant dies.


 


The reduced pension the Participant receives
under this option will be calculated as follows:


 


(A)                              The
amount that would otherwise be payable with respect to the Participant under
the 100 percent Contingent Pension Option under Subsection 7.2(b)
(Optional Forms of Retirement Income) is determined.


 


(B)                                Subject
to Subparagraph (E), the Participant’s Reduced Primary Social Security
Benefit will be multiplied by the appropriate Level Income Option factor from
the table in Addendum E to the Plan.


 


(C)                                The
sum of the amounts determined under Subparagraphs (A) and (B) will equal
the Level Income Option benefit payable to the Participant prior to age 62,



 


68

















 


which is the first date he is eligible to
begin receiving Social Security Act benefits.


 


(D)                               The
Level Income Option benefit payable to the Participant after he attains
age 62 will equal the amount determined in Subparagraph (C), minus
the Participant’s Reduced Primary Social Security Benefit.


 


(E)                                 If
a Participant has an annual accrued benefit under the MRP or the RIP as of
December 31, 1997, the Level Income Option benefit payable to that Participant
will not be less than the sum of (i) and (ii), where (i) equals the
Participant’s annual accrued benefit under the MRP or RIP as of
December 31, 1997, converted to a reduced pension based on the
100 percent Contingent Annuitant Pension Option under Subsection 7.2(b)
(Optional Forms of Retirement Income), and (ii) equals the Participant’s
Reduced Primary Social Security Benefit multiplied by the appropriate MRP/RIP
Level Income Option factor from the table in Addendum F to the Plan.


 


(2)                                  To
the Contingent Annuitant:


 


A contingent pension beginning on the first
day of the calendar month following the calendar month in which the Participant
dies if the Participant dies on or after the Option Effective Date, and if the
Contingent Annuitant is then living; with subsequent monthly payments payable
on the first day of each subsequent calendar month throughout the Contingent
Annuitant’s remaining lifetime, terminating with the monthly payment due on the
first day of the calendar month in which the Contingent Annuitant dies.  However, if the Participant had elected to
defer his pension payments, the Contingent Annuitant may elect at any time
prior to the date contingent pension payments actually begin, to have the
payments begin after the Participant’s death on the first day of any calendar
month coincident with or prior to the date the Participant had elected to start
receiving payments.


 


The monthly amount payable to the Contingent
Annuitant will equal 100 percent of the reduced pension that would have
been payable under this option to the Participant.


 


An option will not become effective, and
payments will be made as otherwise provided in the Plan as if this option had
never been elected, if:  (a) the
Participant is not living on the Option Effective Date, (b) the
Participant does not, within 90 days after his election, but not later
than the Option Effective Date, furnish evidence, 


 


69

















 


satisfactory to the Committee, of the age of
his Contingent Annuitant, or (c) the Participant elects, prior to the
Option Effective Date, to cancel the option. 
If the Participant’s Annuity Starting Date is on or after the date of
the Participant’s 50th birthday and the Participant’s Contingent
Annuitant predeceases the Participant after the contingent pension payments
have begun, the option will be canceled and no longer effective, and payments
will be made to the Participant in the form of a reduced single-life annuity
level income option applicable to him pursuant to Subsection 7.2(d)
(Optional Forms of Retirement Income) as of the first day of the month after
the Participant notifies the Committee of the Contingent Annuitant’s
death.  An option cannot be elected,
modified, or rescinded after the Option Effective Date.


 


(f)                                    Cash
Balance Account Single Sum


 


A Participant with a Cash Balance Account may
elect, in lieu of all payments otherwise payable on and after the Option
Effective Date, the Cash Balance Account single sum which shall be a lump sum
payment equal to the greatest of (i) the balance of the Participant’s Cash
Balance Account as of the day prior to his Annuity Starting Date, (ii) the
Actuarial Equivalent lump sum amount of the Participant’s Annual Pension, or
(iii) the sum of the Cash Balance Account that the Participant would have had
under Article 4A(Cash Balance Accounts) if the Participant had no accrued
benefit other than his Cash Balance Account and had no amount credited to his
Cash Balance Account in accordance with Section 4.1A (Opening Account) and
the Actuarial Equivalent lump sum amount of his Prior Conversion Pension.


 


ARTICLE 8


 


PAYMENT OF
PENSION


 


8.1                                 Timing of Payment


 


This Section is subject to the provisions of
Section 8.3 (Small Benefits) and Section 8.6 (Required Payment of
Benefits).


 


A Participant who ceases to be an Employee as
of his Normal Retirement Date will begin receiving any pension payable to him
under the Plan as of his Normal Retirement Date.  A Participant who continues as an Employee after his Normal
Retirement Date will begin receiving the pension payable to him under the Plan
as of the first day of the calendar month coincident with or following his
Severance from Service.


 


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A Participant who had not become a Cash
Balance Participant and who ceases to be an Employee as of an Early Retirement
Date will begin receiving his pension at his Normal Retirement Date unless he
elects to begin receiving his pension on either his Early Retirement Date or
the first day of a calendar month between his Early Retirement Date and his
Normal Retirement Date (the “Deferred Pension Payment Date”); provided he has
made the required election, in a manner prescribed by the Committee, prior to
the date he wants his pension to begin. 
A Participant who had become a Cash Balance Participant will begin
receiving his pension at his Normal Retirement Date unless he elects to begin
receiving his pension on the first day of a calendar month following his
Severance from Service.


 


8.2                                 Method of Payment


 


Unless specified elsewhere in the Plan, all
pension payments under the Plan will normally be payable in equal monthly
installments, with each monthly installment equal to 1/12th of the annual
amount payable.  Pension payments will
be (a) made by check to the order of the Participant, his Spouse, his
Beneficiary or his Contingent Annuitant, as applicable, and mailed to that
person’s address as it appears on the Employer’s records, or (b) deposited
directly into an account of the Participant, his Spouse, his Beneficiary or his
Contingent Annuitant, as applicable, maintained by the recipient at a bank,
savings and loan, or other financial institution, as directed by the recipient.


 


8.3                                 Small Benefits


 


Notwithstanding the provisions of
Sections 6.2 (Method of Payment of Spouse’s Benefit for Participant Who
Had Not Become a Cash Balance Participant) and 7.2 (Optional Forms of
Retirement Income), for a Participant who had not become a Cash Balance
Participant or for a Spouse with a benefit under Section 6.1 (Determination of
Spouse’s Benefit for Participant Who Had Not Become a Cash Balance
Participant), where the Actuarial Equivalent present value of the
Nonforfeitable Annual Pension of the Participant or the Spouse’s benefit under
Section 6.1 (Determination of Spouse’s Benefit for Participant Who Had Not
Become a Cash Balance Participant) does not exceed $5,000 as of his Severance
from Service Date (and as of the date as of which payment is made), the
Committee or its designee will pay the Nonforfeitable Annual Pension or
Spouse’s benefit (if applicable) in a single-sum cash payment equal to the
Actuarial Equivalent of the pension or Spouse’s benefit otherwise payable in
lieu of all other benefits under the Plan. 
Notwithstanding the provisions of Sections 6.3 (Preretirement Death
Benefit for Cash Balance Participant), 7.1 (Normal Forms of Pension) and 7.2
(Optional Forms of Retirement Income), for a Participant who had become a Cash
Balance Participant or for a Spouse or Beneficiary (if applicable) with respect
to a Participant who had become a Cash Balance Participant, where the single
sum value of Participant’s accrued benefit as determined under Subsection
7.2(f) (Cash Balance Account Single Sum) or Spouse’s or Beneficiary’s death
benefit (if applicable) does not exceed $5,000 as 


 


71

















 


of the Participant’s Severance from Service
Date (and as of the date as of which payment is made), the Committee or its
designee will pay such single sum value or Spouse’s or Beneficiary’s death
benefit (if applicable) in a single-sum cash payment to the Participant, Spouse
or Beneficiary (as applicable) in lieu of all other benefits under the Plan.


 


8.4                                 Facility of Payment


 


If any benefit under the Plan is payable to a
person whom the Committee knows is a minor or otherwise under legal incapacity,
the Committee or its designee may have the payment made to the legal guardian
of that person or to the person or organization as a court of competent
jurisdiction may direct.  To the extent
permitted by law, any payment under this Section will be a complete discharge
of any liability under the Plan to that person.


 


8.5                                 Benefits for Late Retirees,
Reemployed Retirees and Reemployed Terminated Vested Participants


 


(a)                                  Late
Retirees


 


A Participant may postpone his retirement and
continue his employment with an Employer after his Normal Retirement Date.  If a Participant who had not become a Cash
Balance Participant continues employment after his Normal Retirement Date, he
will continue to accrue years of Service and years of Participation during this
time period up to the date of his actual retirement.  If a Participant who had become a Cash Balance Participant
continues employment after his Normal Retirement Date, he will continue to
accrue Pay Credits during this time period up to the date of his actual
retirement and Interest Credits up to the Participant’s Annuity Starting
Date.  The Participant’s benefit will be
calculated under Article 4 (Amount of Life-Only Pension) or Article 4A
(Cash Balance Annual Pension), or Article 6 (Spouse’s Benefit), whichever
is applicable, as of his Severance from Service Date.


 


(b)                                 Suspension
of Retirement Benefit Notice for Participant Who Continues Employment After His
Normal Retirement Date


 


When a Participant continues in employment
with an Employer beyond his Normal Retirement Date, benefits will not begin
during that continued period of employment unless required under
Section 8.6 (Required Payment of Benefits).  The Participant will be sent a notification described in
§ 2530.203-3(b)(4) of the Department of Labor regulations, provided that
the suspension of benefits notice is limited to periods of service within the
context of § 2530.203-3(c) of the Department of Labor regulations.


 


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(c)                                  Reemployed
Retirees and Reemployed Terminated Vested Participants


 


(1)                                  Reemployed
Retiree or Reemployed Terminated Vested Participant Who Had Not Become a Cash
Balance Participant.


 


A Reemployed Retiree or Reemployed Terminated
Vested Participant who had not become a Cash Balance Participant and who
resumes employment will continue to receive any pension benefit payments under
the Plan to which he is entitled, and will begin to receive any pension benefit
payments under the Plan, as if he were not reemployed.  When such Reemployed Retiree or Reemployed
Terminated Vested Participant again incurs a Severance from Service, his Annual
Pension will, subject to all of the provisions of the Plan, be recalculated by
aggregating his years of Participation and by considering his Earnings during
his period of reemployment; provided, however, that the Participant’s benefits
as recalculated will not be less than the Actuarial Equivalent of his Annual
Pension prior to his reemployment.  The
Participant’s recalculated Annual Pension will be reduced by the Actuarial
Equivalent of the pension benefits already paid to the Participant.  Any pension benefit payable to a Spouse or
Contingent Annuitant will also be based on the Participant’s pension benefit,
as so recalculated and reduced.


 


(2)                                  Reemployed
Retiree or Reemployed Terminated Vested Participant Who Had Become a Cash
Balance Participant.


 


(I)                                    A
Reemployed Retiree or Reemployed Terminated Vested Participant who had become a
Cash Balance Participant and who does not have his years of Service prior to
his Severance from Service reinstated will have his Cash Balance Account
reinstated with a zero balance.


 


(II)                                A
Reemployed Retiree or Reemployed Terminated Vested Participant who had become a
Cash Balance Participant, who has his years of Service prior to his Severance
from Service reinstated, and who has had a distribution of his entire benefit
under the Plan will have his Cash Balance Account reinstated with a zero
balance.


 


(III)                            A
Reemployed Retiree or Reemployed Terminated Vested Participant who had become a
Cash Balance Participant, who has his years of Service prior to his Severance
from Service reinstated, and who has not had a distribution of his entire
benefit under the Plan will continue to receive any pension benefit payments
under the Plan to which he is 


 


73

















 


entitled as if he were not reemployed and
will have his Cash Balance Account reinstated with a zero balance.


 


(d)                                 Questions
Concerning Effect on Reemployment


 


The Plan’s benefit claims procedures may be
used by an individual who has questions concerning the effect of reemployment
by his Employer upon his pension benefit payments.


 


(e)                                  Additional
Rules and Procedures


 


The Committee is authorized to develop more
fully the provisions of this Section by establishing, from time to time,
various rules and procedures consistent with ERISA, the Code, and the Plan.


 


8.6                                 Required Payment of Benefits


 


This Section has been included in the Plan to
comply with the limitations imposed by Code paragraphs 401(a)(9) and
401(a)(14), and it will not be construed as providing for a form of benefit not
otherwise provided under the Plan. 
Notwithstanding any provision of this Plan to the contrary, any
distribution under the Plan will be made in accordance with regulations under
Code paragraph 401(a)(9), including proposed federal income tax
regulation 1.401(a)(9)–2, and will comply with the following rules:


 


(a)                                  Unless
a Participant elects otherwise, the payment of his benefits under the Plan must
begin not later than the 60th day after the end of the Plan Year in which
occurs the latest of:  (1) the
Participant’s 65th birthday; (2) the 10th anniversary of the
Plan Year in which the Participant began participation in the Plan; or
(3) termination of the Participant’s employment with the Employer.


 


(b)                                 For
purposes of this Article, “required beginning date” means (1) with respect
to a Participant who is not a 5 percent owner as described in Code
section 416 and who did not reach age 701⁄2 before January 1, 1997,
April 1 of the calendar year following the later of (A) the calendar
year in which the Participant reaches age 701⁄2, or (B) the calendar year in
which the Participant retires; or (2) with respect to a Participant who is
a 5 percent owner as described in Code section 416, or any
Participant who reached age 701⁄2 before January 1, 1997, April 1 of
the calendar year following the calendar year in which the Participant reaches
age 701⁄2.  The Plan will provide an
actuarial increase in accordance with the actuarial assumptions specified in
Section 1.5 to a Participant’s interest in the Plan for the period
beginning on the April 1 of the calendar year following the calendar year
in which the Participant reaches age 701⁄2 and ending on the date on which
benefits begin after the Participant’s retirement in an amount sufficient to
satisfy Code paragraph 401(a)(9). 
The benefits payable to the 


 


74

















 


Participant at the end of the period
described in the preceding sentence will be no less than the Actuarial
Equivalent of the benefit that would have been payable to the Participant as of
the April 1 of the calendar year following the calendar year in which the
Participant reached 701⁄2.


 


(c)                                  Notwithstanding
any other provision of this Plan, the entire interest of each Participant will
be distributed either:  (1) in a
lump sum payment not later than the required beginning date, or (2) in a
series of payments beginning not later than the required beginning date over
the life of the Participant or over the lives of the Participant and the
designated Beneficiary (or over a period not extending beyond the life
expectancy of the Participant or the life expectancy of the Participant and a
designated Beneficiary).  If the
Participant’s interest is to be paid in the form of annuity distributions under
the Plan, payments under the annuity will satisfy the following requirements:


 


(1)                                  The
annuity distributions must be paid in periodic payments made at intervals not
longer than one year.


 


(2)                                  For
purposes of computing the distribution period, life expectancies or joint and
last survivor expectancies will not be recalculated.


 


(3)                                  Once
payments have begun, the distribution period may not be lengthened even if that
period would be shorter than the permitted maximum period.


 


(4)                                  Payments
must either be non-increasing or increase only as follows:


 


(A)                              with
any percentage increase in a specified and generally recognized cost-of-living
index;


 


(B)                                to
the extent of the reduction to the amount of the Participant’s payments to
provide for a survivor benefit upon death, but only if the Beneficiary or
Contingent Annuitant whose life was being used to determine the distribution
period dies and the payments continue otherwise over the life of the
Participant;


 


(C)                                to
provide cash refunds of employee contributions upon the Participant’s death; or


 


(D)                               because
of an increase in benefits under the Plan.


 


(5)                                  If
the annuity is a life annuity (or a life annuity with a period certain not
exceeding 20 years), the amount that must be 


 


75

















 


distributed on or before the Participant’s
required beginning date (or, in the case of distributions after the death of
the Participant, the date distributions are required to begin after the
Participant’s death) will be 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.  If the annuity is a period certain annuity without a life
contingency (or is a life annuity with a period exceeding 20 years), periodic
payments for each distribution calendar year will be combined and treated as an
annual amount.  The amount that must be
distributed by the Participant’s required beginning date (or, in the case of
distributions after the death of the Participant, the date distributions are
required to begin after the Participant’s death) is the annual amount for the
first distribution calendar year.  The
annual amount for other distribution calendar years, including the annual amount
for the calendar year in which the Participant’s required beginning date (or
the date distributions are required to begin after the Participant’s death)
occurs, must be distributed on or before December 31 of the calendar year
for which the distribution is required.


 


(d)                                 If
(1) the distribution of a Participant’s interest has begun in accordance
with Subsection (c), and (2) the Participant dies before his entire
interest has been distributed to him, the remaining portion of his interest
will be distributed at least as rapidly as under the method of distribution
being used under Subsection (c) as of the date of his death.


 


(e)                                  Except
as provided in Subsection (f), if a Participant dies before the
distribution of his interest has begun in accordance with Subsection (c),
the Participant’s entire interest will be distributed within five years after
his death.


 


(f)                                    For
purposes of Subsection (c), any portion of a distribution that is payable
to (or for the benefit of) a designated Beneficiary will be treated as
completely distributed on the date on which distribution began if:


 


(1)                                  that
portion is to be distributed (in accordance with regulations prescribed by the
Secretary) over the life of the designated Beneficiary (or over a period not
extending beyond the life expectancy of the Beneficiary), and


 


(2)                                  distributions
begin by the latest of (A) one year after the date of the Participant’s
death, (B) any later date that the Secretary may establish by regulations,
or (C) if the Beneficiary is the 


 


76

















 


Participant’s
surviving Spouse, the date on which the Participant would have attained
age 70–1/2.


 


(g)                                 If
the designated Beneficiary is the Participant’s surviving Spouse, and if the
surviving Spouse dies before the distributions to the Spouse begin, Subsections (c),
(e), and (f) will be applied as if the surviving Spouse were the Participant.


 


(h)                                 For
purposes of Subsection (f), payment will be calculated by use of the
expected return multiples specified in Tables V and VI of 26 C.F.R.
§1.72-9.  The life expectancy of a
designated Beneficiary will be calculated at the time payment first commences
without further recalculation.


 


(i)                                     For
purposes of Subsections (c), (d), (e), and (f), if any amounts payable to
a child of the Participant becomes payable to the Participant’s surviving
Spouse and the child reaches the age of majority, that amount will be treated
as if it had been paid to the surviving Spouse.


 


(j)                                     If
a Participant reaches age 701⁄2 on or after January 1, 1997, but before
January 1, 1999, the Plan will deem the Participant’s “required beginning
date” to be April 1 of the calendar year following the calendar year in
which the Participant reaches age 701⁄2 unless the Participant elects, with
his Spouse’s consent, to defer commencement of his Plan benefits until a date
no later than April 1 of the calendar year following the calendar year in
which the Participant retires.


 


8.7                                 Direct Rollovers of Eligible Distributions


 


Notwithstanding any provision of the Plan to
the contrary that would otherwise limit a Distributee’s election under this
Section, a Distributee may elect, at the time and in the manner prescribed by
the Committee, to have any portion of an Eligible Rollover Distribution paid
directly to an Eligible Retirement Plan specified by the Distributee in a
Direct Rollover.


 


ARTICLE 9


 


RETIREE
MEDICAL/DENTAL BENEFITS


 


9.1                                 Purpose


 


This Article provides for the payment of
certain Medical/Dental Benefits to Eligible Retirees and to their Dependents
under the Plan.  The Medical/Dental
Benefits described in this Article are intended to meet the requirements of
Code subsection 401(h) and its interpretive regulations.


 


77

















 


9.2           Eligibility


 


Only Eligible
Individuals will be eligible to receive Medical/Dental Benefits (or to have
Medical/Dental Benefits paid on their behalf) under this Article.


 


9.3           Separate
Account


 


A
Medical/Dental Benefits Account will be established and maintained with respect
to contributions made to fund the benefits payable under this Article, which
will be kept separate (for recordkeeping purposes only) from the amounts
contributed to the Plan to fund all other benefits.  The funds in the Medical/Dental Benefits Account may be invested
with funds contributed to the Plan to fund other benefits without
identification of which assets of the Plan are allocable to the Medical/Dental
Benefits Account and which are allocable to fund other benefits.  Where the assets are not so allocated,
however, the earnings on the assets will be allocated in a reasonable manner
between the Medical/Dental Benefits Account and the amounts funding other
benefits under the Plan.


 


9.4           Impossibility
of Diversion Prior To Satisfaction of All Liabilities


 


Prior to the
satisfaction of all liabilities under this Article to provide for the payment
of Medical/Dental Benefits, no part of the corpus or income of the
Medical/Dental Benefits Account may be (within the taxable year or thereafter)
used for, or diverted to, any purpose other than providing Medical/Dental
Benefits or paying any reasonable expenses attributable to the administration
of the Medical/Dental Benefits Account.


 


9.5           Reversion
Upon Satisfaction of All Liabilities


 


Notwithstanding
the provisions of Section 14.8 (No Diversion of Assets), any amounts that
are contributed to fund Medical/Dental Benefits and that remain in the
Medical/Dental Benefits Account upon the satisfaction of all liabilities
arising out of the operation of this Article are to be returned to Eligible
Retirees, in proportion to their respective total contributions to the
Medical/Dental Benefits Account.


 


9.6           Forfeitures


 


In the event
an Eligible Individual’s interest in the Medical/Dental Benefits Account is
forfeited prior to termination of the Plan, an amount equal to the amount of
the forfeiture will be applied as soon as possible to reduce Employer
contributions to the Plan to fund the Medical/Dental Benefits under this
Article.


 


9.7           Employer
Contributions To The Medical/Dental Benefits Account


 


For each Plan
Year, the Employer will contribute to the Medical/Dental Benefits Account the
amount necessary to fund Medical/Dental Benefits, as determined by the Plan’s
actuaries, provided that the contributions mandated by this sentence will


 


78

















 


be reasonable,
and will be reduced (but not below zero) as required so that the aggregate
actual contributions made to the Medical/Dental Benefits Account will not
exceed 25% of the total aggregate actual contributions (other than any
contributions to fund past service credits) made to the Plan.  All contributions to the Medical/Dental
Benefits Account will be paid to the Trustee, who will hold them in Trust for
the payment of Medical/Dental Benefits under this Article.  At the time an Employer makes a contribution
to the Plan, it will designate the portion allocable to the Medical/Dental
Benefits Account.


 


9.8           Medical/Dental
Benefits


 


The
Medical/Dental Benefits under the Plan will be those benefits payable to or on
behalf of Eligible Individuals in accordance with the terms of a Medical/Dental
Plan.


 


ARTICLE 10


 


NONALIENATION
OF BENEFITS


 


The Pension
Fund will not in any manner be liable for, or subject to, the debts or
liabilities of any Participant, Beneficiary, Contingent Annuitant, or Spouse,
or any other person entitled to any benefit. 
No payee may assign any payment due him under the Plan.  No pension or other benefits at any time
payable from the Pension Fund will be subject in any manner to anticipation,
alienation, sale, transfer, assignment, pledge, attachment, garnishment, levy,
execution, or other legal or equitable process or encumbrance of any kind.  Any attempt to alienate, sell, transfer,
assign, or otherwise encumber any such benefit, whether presently or thereafter
payable, will be void.  However, the
payment of benefits under the Plan will be made in accordance with the
applicable requirements of any Qualified Domestic Relations Order entered by a
court of competent jurisdiction or a state administrative agency.  The Committee will establish procedures to
determine whether the domestic relations orders are Qualified Domestic
Relations Orders and to administer distributions under Qualified Domestic
Relations Orders.  Effective as of
August 5, 1997, notwithstanding any provision of the Plan to the contrary,
the Plan shall honor a judgment, order, decree or settlement providing for the
offset of all or a part of a Participant’s benefit under the Plan, to the
extent permitted under Code subparagraph 401(a)(13)(C); provided that the
requirements of Code subparagraph 401(a)(13)(C)(iii) relating to the protection
of the Participant’s Spouse (if any) are satisfied.


 


ARTICLE 11


 


ADMINISTRATION


 


11.1         Administrator


 


The Committee
will be the administrator of the Plan. 
The Committee will consist of the number of members, not fewer than
three, that is specified from time to


 


79

















 


time by the
Board of Directors.  All members of the
Committee will be Employees or officers of an Employer.  All members of the Committee will serve
without compensation.


 


11.2         Removal
and Replacement of Committee Members


 


The members of
the Committee will serve at the pleasure of the Board of Directors and may be
removed by the Board of Directors with or without cause.  Any vacancy among the members will be filled
by the Board of Directors.


 


11.3         Disqualification
and Resignation


 


On the date
when a Committee member is neither an Employee nor an officer of an Employer,
he will be disqualified from membership on the Committee.  A member of the Committee may resign by
delivering his written resignation to any other member of the Committee.  A resignation will become effective on the
date specified in the instrument of resignation.


 


11.4         Chairperson, Services, and Counsel


 


The members of
the Committee will elect one of their members as Chairperson and will elect a
Secretary, who may be, but need not be, one of the members of the
Committee.  Cinergy will provide the
Committee, at Cinergy’s expense, with such clerical, accounting, actuarial, and
other services as may be reasonably required by the Committee in carrying out
its responsibilities.  The Committee may
employ counsel, who may be, but need not be, counsel to Cinergy.


 


11.5         Meetings


 


The Committee
will hold meetings upon such notice, at the places, and at the times as the
Committee may from time to time determine, but no less often than quarterly.


 


11.6                           Quorum


 


A majority of
the members of the Committee at the time holding office will constitute a
quorum for the transaction of business. 
All resolutions and other action taken by the Committee at any meeting
will be by the vote of the majority of the members of the Committee present at
the meeting.


 


11.7         Action
Without Meeting


 


Any decision,
order, direction, or other action, including orders and directions to the
Trustee or Insurance Company, made in writing signed by a majority of the
members of the Committee at the time holding office will constitute valid and
effective action of the Committee, whether or not the matter to which that decision,
order, direction, or other action pertains had already been acted upon at a
duly called and held meeting of the Committee.


 


80

















 


11.8         Notice
to Trustee of Changes in Membership


 


The Trustee
will not be charged with notice of any change in the membership of the
Committee unless and until it has received a certified copy of the resolution
or vote of the Board of Directors effecting the change.


 


11.9         Correction
of Defects


 


The Committee
may correct any defect or supply any omission or reconcile any error or
inconsistency in its previous proceedings, decisions, orders, directions, or
other actions in a manner and to such extent as it will deem advisable to carry
out the purposes of the Plan.


 


11.10       Reliance
Upon Legal Counsel


 


The members of
the Committee, and Cinergy, and Cinergy’s officers and directors, will be
entitled to rely upon all opinions given by legal counsel selected by the
Committee.


 


11.11       Expenses


 


In the
performance of its duties, the Committee is authorized to incur reasonable
expenses, including counsel fees.  All
operating expenses of the Plan, including insurance premiums payable to the
Pension Benefit Guaranty Corporation, fees for professional services, and
technical or clerical assistance, will be paid from the Pension Fund, to the
extent not paid by the Employer. 
Investment expenses and any federal, state, or local taxes that may be
levied against the Pension Fund will also be paid from the Pension Fund.


 


11.12       Indemnification


 


Cinergy agrees
to indemnify and hold harmless each member of the Committee against any cost,
expense, or liability (including any sum paid in settlement of any claim with
the approval of the Board of Directors) arising out of any act or omission to
act as a member of the Committee, except only acts and omissions representing
willful misconduct, fraud, or lack of good faith.


 


11.13       Powers and Duties of Committee


 


Subject to the
specific limitations stated in this document, the Committee will have the
following powers, duties, and responsibilities:


 


(a)           to carry out the Plan’s general
administration;


 


(b)           to cause to be prepared all forms
necessary or appropriate for the Plan’s administration;


 


81

















 


(c)           to keep appropriate books and
records, including minutes of the Committee’s meetings;


 


(d)                                 to
determine, consistent with the provisions of this document, the manner in which
the Pension Fund will be allocated and disbursed;


 


(e)                                  to
give directions to the Trustee or Insurance Company as to the amounts to be
disbursed to Participants and others under the Plan’s provisions;


 


(f)                                    to
determine, with discretionary authority and consistent with the provisions of
this document, all questions of the eligibility, rights, and status of
Participants and others under the Plan;


 


(g)                                 to
exercise all other powers and duties specifically conferred upon the Committee
elsewhere in this document and the Trust Agreement or Group Annuity Contract;


 


(h)                                 to
exercise all duties and responsibilities imposed by ERISA upon the Committee as
the Plan’s administrator;


 


(i)                                     to
interpret, with discretionary authority, the provisions of the Plan and to
resolve, with discretionary authority, all disputed questions of Plan
interpretation and benefit eligibility;


 


(j)                                     to
employ agents to assist it in performing its administrative duties; and


 


(k)                                  to
allocate and delegate its fiduciary responsibilities in accordance with ERISA
section 405.


 


The Committee
will at all times make similar decisions on similar questions involving similar
circumstances.  Subject to the
provisions of ERISA and to the provisions of Article 12 (Benefit Claims
Procedures) relating to claims, all decisions of the Committee made in good
faith on all matters within the scope of its authority under the provisions of
this document will be final and binding upon all persons.


 


11.14       Matters
Specifically Excluded from Jurisdiction


 


Notwithstanding
any other provision of this document, the Committee will have no power, duty,
or authority with respect to determination of the amounts to be contributed by
the Employer to the Pension Fund or Trust Fund.


 


82

















 


ARTICLE 12


 


BENEFIT CLAIMS
PROCEDURES


 


Claims for
benefits under the Plan will be made in writing to the Committee or its
designee.  If a claim for benefits is
wholly or partially denied, the Committee or its designee will notify the
Claimant of the claim’s denial within a reasonable period of time not to exceed
90 days after the claim’s receipt, unless special circumstances require an
extension of time for processing, in which case notification will be rendered
as soon as possible, but not later than 180 days after the claim’s
receipt.  If an extension of time for
processing is required, written notice of the extension will be furnished to
the Claimant prior to the termination of the initial 90 day period.  The extension notice will indicate the
special circumstances requiring an extension of time and the date by which the
Plan expects to render final notification. 
The notice of denial will be written in a manner calculated to be
understood by the Claimant and will set forth (a) the specific reason or
reasons for the denial, (b) a specific reference to the pertinent Plan
provisions on which the denial is based, (c) a description of any
additional material or information necessary for the Claimant to perfect the
claim and an explanation of why that material or information is necessary, and
(d) appropriate information as to the steps to be taken if the Claimant
wishes to submit the claim for review. 
The Committee or its designee is authorized to develop more fully the
Plan’s benefit claims procedures by establishing from time to time, various
rules and procedures consistent with ERISA.


 


Within
60 days after the Claimant’s receipt of written notice of the claim’s
denial, the Claimant, or his duly authorized representative, may file a written
request with the Committee requesting a full and fair review of the denial of
the Claimant’s claim for benefits.  In
connection with the Claimant’s appeal of the denial of his claim for benefits,
the Claimant may review pertinent documents in the Committee’s possession and
may submit issues and comments in writing. 
The Committee will make a decision on review promptly, but not later
than the date of the Committee meeting that immediately follows the receipt of
the Claimant’s request for review, unless the request for review is filed
within 30 days before the date of that meeting.  In that case, a decision will be made as soon as possible, but
not later than the date of the second Committee meeting following receipt of
the request for review.  If special
circumstances require a further extension of time for processing, a decision
will be rendered not later than the third Committee meeting following receipt
of the Claimant’s request for review. 
If an extension of time for review is required because of special
circumstances, written notice of the extension will be sent to the Claimant before
the extension begins.  The extension notice
will indicate the special circumstances requiring an extension of time and the
date by which the Committee expects to render the final decision.  The decision on review will be in writing
and written in a manner calculated to be understood by the Claimant, will set
forth the specific reason or reasons for the decision, and will contain a
specific reference to the pertinent Plan provisions on which the decision is
based.  If the decision on review is not
furnished to the Claimant within 60 days of receipt of the request for
review, or within 120 days after its receipt if special circumstances
required an extension of time, the claim will be deemed denied on review.


 


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ARTICLE 13


 


FUNDING POLICY
AND METHOD


 


Cinergy will
establish and carry out a funding policy and method for the Plan consistent
with (a) the Plan’s past experience, (b) the Plan’s anticipated
experience, (c) the Plan’s objectives, (d) the requirements of ERISA,
and (e) the requirements of the Code. 
Cinergy will (a) communicate the funding policy and method to the
Committee, (b) periodically review the funding policy and method, and
(c) document all action taken with respect to the funding policy and
method.


 


ARTICLE 14


 


MISCELLANEOUS


 


14.1         No
Enlargement of Employee Benefits


 


This Plan is
strictly a voluntary undertaking on the part of each Employer and will not be
deemed to constitute a contract between an Employer and any Employee or to be
consideration for, or an inducement to, or a condition of, the employment of
any Employee.  Nothing contained in the
Plan will be deemed to give any Employee the right to be retained in the
service of an Employer or to interfere with the right of the Employer to discharge
any Employee at any time.  No Employee,
prior to his retirement under conditions of eligibility for pension benefits or
prior to his satisfying the Vesting Requirement will have any right to, or
interest in, any portion of any fund arising from his Employer’s contributions
under this Plan or, in any event, other than as specifically provided in the
Plan.  No person will have any right to
pension benefits except to the extent provided in the Plan.


 


14.2         Reemployment


 


If an Eligible
Employee who first became an Employee prior to January 1, 2003 incurs a
Severance from Service and is later reemployed by an Employer, his two (or
more) periods of employment will, subject to all of the provisions of the Plan,
be aggregated for the purpose of determining his Year of Eligibility Service,
his years of Participation, and his years of Service.


 


If an Eligible
Employee who first became an Employee after December 31, 2002 incurs a
Severance from Service and is later reemployed by an Employer (or Affiliate),
his period of employment prior to his Severance from Service will, subject to
all of the provisions of the Plan, be aggregated for the purpose of determining
his years of Service, his Years of Eligibility Service and his years of
Participation only if the Employee either had satisfied the Vesting Requirement
at his Severance from Service or if his Period of Severance is less than 60


 


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consecutive
months.  If an Employee’s period of
employment prior to his Severance from Service is not aggregated pursuant to
the immediately preceding sentence, the Service, Years of Eligibility Service
and Participation shall be disregarded.


 


14.3         Qualified
Military Service


 


Notwithstanding
any provision of this Plan to the contrary, effective December 12, 1994,
contributions, benefits, and service credits with respect to qualified military
service will be provided in accordance with Code subsection 414(u).  For a Participant who had become a Cash
Balance Participant, to comply with (and not in addition to the benefits under)
Code subsection 414(u), Pay Credits will be credited during the
Participant’s military leave that would qualify as qualified military service
if the Participant would return to employment as provided in Chapter 43 of
Title 38, United States Code.


 


14.4         Notice
of Address


 


Each
Participant, Retired Participant, Terminated Vested Participant, Beneficiary,
Contingent Annuitant, and Spouse entitled to benefits under the Plan must
submit to the Committee or its designee his post office address and each change
of post office address.  Any
communication, statement, or notice addressed to a person at his latest post
office address filed with the Committee or its designee will, upon deposit in
the United States mail with postage prepaid, be binding upon that person for
all purposes of the Plan, and neither the Insurance Company, the Committee, nor
the Trustee will be obliged to search for, or to ascertain the whereabouts of,
any person.


 


14.5         Data


 


Participants,
Retired Participants, Terminated Vested Participants, Beneficiaries, Contingent
Annuitants, and Spouses must furnish to the Committee, the Insurance Company,
and the Trustee any documents, evidence, or information that the Committee, the
Insurance Company, or the Trustee considers necessary or desirable for the
purpose of administering the Plan, or to protect the Committee, the Insurance
Company, or Trustee; and it will be a condition of the Plan that each person
must furnish this information promptly and sign required documents before any
benefits become payable under the Plan.


 


14.6         No
Individual Liability


 


It is the
express purpose and intention of the Plan that, except as otherwise required by
law, no individual liability whatever will attach to, or be incurred by, the
shareholders, officers, or members of the board of directors of any Employer,
or the Committee, or its members, or any fiduciary designated pursuant to
Section 11.13 (Powers and Duties of Committee), or any representatives


 


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appointed by
Cinergy under the Plan, under or by reason of any of the terms or conditions of
the Plan.


 


14.7         Participant’s
Statement of Agreement


 


Cinergy will
have the right, at any time, to require any Participant to agree in writing to
be bound by the Plan’s provisions. 
However, the absence of an agreement will not relieve any Participant
from being legally bound by the provisions of the Plan.


 


14.8         No
Diversion of Assets


 


None of the
assets of the Pension Fund may be used for, or diverted to, purposes other than
the exclusive benefit of the Participants and their Beneficiaries.  However, nothing in this Section will
prohibit the return to the Employers, in accordance with the provisions of
ERISA subsection 403(c), of a contribution (or a portion of a
contribution) by the Employers to the Pension Fund if the contribution is
(a) made by reason of mistake of fact, (b) conditioned on the initial
qualification of the Plan under Code subsection 401(a), or
(c) conditioned upon its deductibility under Code section 404 and the
deduction is not fully allowed.


 


14.9         Governing
Laws


 


The Plan will
be construed and administered according to the internal laws of the State of
Ohio to the extent that those laws are not preempted by federal law.


 


14.10       Severability


 


If any part of
the Plan is adjudged by a court of competent jurisdiction to be contrary to the
laws governing the Plan, then the Plan will, in all other respects, be and
remain legally effective and binding to the full extent permissible under the
law.


 


14.11       Interpretation
and Regulation of Plan


 


Cinergy, by
action of the Committee, reserves the right to interpret and regulate the Plan,
by exercise of discretionary authority, and its interpretation and regulation
will be legally effective and binding on all parties concerned.


 


14.12       Communications
by Participants


 


All
communications by Participants and other concerned parties concerning the Plan
will be in writing and directed to the Committee or its designee.


 


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14.13       Headings


 


The headings
of Articles, Sections, Subsections, Paragraphs or other parts of the Plan are
for convenience of reference only and do not define, limit, construe, or
otherwise affect the contents of this document.


 


14.14       Accrued
Benefit Not to be Decreased by Amendment


 


Notwithstanding
any other provisions of the Plan to the contrary, no accrued benefit of a
Participant under the Plan will be decreased by an amendment to the Plan, other
than an amendment described in Code paragraph 412(c)(8) or ERISA section 4281.  For purposes of this Subsection, an
amendment to the Plan that has the effect of:


 


(a)                                  eliminating
or reducing an early retirement benefit or a retirement-type subsidy (as
defined in the regulations under Code paragraph 411(d)(6)), or


 


(b)                                 eliminating
an optional form of benefit, with respect to benefits attributable to service
before the amendment, will be treated as reducing the accrued benefit of a
Participant.  In the case of any
retirement-type subsidy, the preceding sentence will apply only with respect to
a Participant who satisfies (either before or after the amendment) the
preamendment conditions for the subsidy.


 


ARTICLE 15


 


TRUSTS AND
INSURANCE CONTRACTS


 


15.1         Trusts
and Insurance Contracts


 


As part of the
Plan, the Employers have established a Pension Fund.  The Pension Fund may consist of a trust, or a fund under a group
annuity contract issued by an Insurance Company, or a combination of each.  Benefits may, however, be provided through
other trusts or insurance contracts as Cinergy, in its sole discretion, may
establish or cause to be established or entered into for the purposes of
carrying out the Plan.  Cinergy will
determine the form and terms of any trust and will also determine the terms and
provisions of any group annuity contract. 
Cinergy may also, in its sole discretion, cause any funds held by any
Insurance Company, or any Trust Fund held by any Trustee, for the purpose of
providing benefits under the Plan, to be transferred to any other Insurance
Company, or qualified Trustee, to be held for the same purpose.


 


15.2         Irrevocability


 


The Employers
will have no right, title, or interest in the Pension Fund or to the
contributions made under the Plan, and no part of the Pension Fund will revert
to


 


87

















 


the Employers,
except that upon termination of the Plan and after satisfaction or provision
for the satisfaction of all fixed and contingent liabilities or obligations to
persons entitled to benefits upon the termination, any balance remaining in the
Pension Fund will be distributed to the Employers.  However, nothing in this Section will prohibit the return, in
accordance with the provisions of ERISA subsection 403(c), to the
Employers of a contribution (or a portion of a contribution) by the Employers
to the Pension Fund if the contribution is (a) made by reason of mistake
of fact, (b) conditioned on the initial qualification of the Plan under
Code subsection 401(a), or (c) conditioned upon its deductibility
under Code section 404 and the deduction is not fully allowed.


 


15.3         Sufficiency of Pension Fund


 


The Employer
intends the Plan to be a permanent, as distinguished from a temporary,
program.  Except as otherwise provided
by the Code or ERISA, however, the Employer will not be under any liability to
make contributions to the Pension Fund. 
Benefits under the Plan are to be paid only from the Pension Fund and
only to the extent that the Pension Fund is sufficient for that purpose.  Neither Cinergy, nor any of the officers,
employees, members of the Board of Directors, the Committee, or representatives
of Cinergy guarantees in any manner nor, unless otherwise required by law, will
be liable for the payment of benefits under the Plan.  Except as otherwise provided by ERISA, any person having any
claim under, or in connection with, the Plan must look solely to the Pension
Fund for satisfaction.


 


ARTICLE 16


 


CONTRIBUTIONS


 


No
contributions to the Plan by Participants will be required or permitted under
the Plan.


 


During the
continuance of the Plan and for the purpose of providing the benefits
contemplated under the Plan, the Employer intends to deposit, from time to
time, with the Trustee or with the Insurance Company, sums of money, to be held
in the Pension Fund, which, together with the earnings of the Pension Fund,
will be deemed sufficient to provide the benefits of the Plan and to satisfy
the minimum funding standards set forth in ERISA.  All contributions by the Employer to the Pension Fund are expressly
conditioned upon deductibility under Code section 404.


 


ARTICLE 17


 


APPROVAL UNDER
INTERNAL REVENUE CODE


 


The Plan as
set forth in this document is intended to comply with the requirements of Code
subsection 401(a), so that the income of the Pension Fund may be exempt
from federal


 


88

















 


income taxes and so that
contributions of the Employers under the Plan may be deductible for federal
income tax purposes under Code section 404.  Any modification or amendment of the Plan may be made, retroactive
or otherwise, as necessary or appropriate to establish and maintain its
qualified status under the Code, or to otherwise comply with ERISA.


 


ARTICLE 18


 


TEMPORARY
RESTRICTIONS ON BENEFITS


 


18.1         Temporary
Restrictions


 


(a)                                  Notwithstanding
any other provisions of the Plan, the benefit of any Highly Compensated
Participant upon the Plan’s termination will be limited to a benefit that is
nondiscriminatory under Code paragraph 401(a)(4).


 


(b)                                 Upon
the Plan’s termination, annual payments of Plan benefits made on behalf of any
of the 25 highest paid Employees or former Employees of the Employer and
the Affiliates in a particular Plan Year will be restricted to an amount equal
in each Plan Year to:


 


(1)                                  the
payments that would be made on behalf of the Employee under a single life
annuity that is the Actuarial Equivalent of the accrued benefit and other
benefits to which the Employee is entitled under the Plan (other than a social
security supplement), plus


 


(2)                                  the
amount of the payments that the Employee is entitled to receive under a social
security supplement.


 


(c)                                  The
restrictions of Subsection (b) will not apply to payments made to an
Employee who is one of the 25 highest paid Employees or former Employees
if any one of the following requirements is satisfied:


 


(1)                                  After
payment to the Employee of all benefits payable to the Employee under the Plan,
the value of the Plan’s assets equals or exceeds 110 percent of the value
of the Plan’s current liabilities as defined under Code
paragraph 412(l)(7).  The value of
Plan assets and the value of current liabilities for this purpose must be
determined as of the same date;


 


(2)                                  The
value of the benefits payable to the Employee under the Plan is less than one
percent of the value of the Plan’s current liabilities before distribution, or


 


(3)                                  The
value of the benefits payable to the Employee does not exceed $5,000.


 


89

















 


ARTICLE 19


 


AMENDMENT AND
TERMINATION


 


19.1         Right
to Amend or Terminate


 


Cinergy
reserves the right to modify, alter, amend, revoke or terminate the Plan and/or
any Trust Fund or group annuity contract that may be established or entered
into to effectuate and implement the Plan at any time.  The Board of Directors will generally have
the authority to adopt amendments; provided, however, that such authority may
be delegated from time to time to the Cinergy Corp. Benefits Committee or
otherwise; provided further, however, that the Committee or the compensation
committee of the Board of Directors may adopt any amendment to ensure the
continued qualification of the Plan and Pension Fund under Code
subsections 401(a) and 501(a), to comply with the provisions of any
federal statute or regulation impacting pension plans, to enhance the delivery
of benefits to Participants and Beneficiaries, to ease Plan administration, or
to respond to the withdrawal of any Employer from the Plan.


 


The Board of
Directors, or any person or persons duly authorized by the Board of Directors,
will also have the right, authority, and power to terminate the Plan and to
discontinue or suspend the payment of contributions to provide benefits under
the Plan (except for the provision of any agreement which has been entered into
between an Employer and a labor union representing Eligible Employees).  However, no action taken pursuant to this
Section will operate to enlarge the right of Cinergy under Section 15.2
(Irrevocability).


 


19.2         Effect
of Termination


 


If a partial
or complete termination of the Plan occurs, all Participants with respect to whom
the Plan is being so terminated will have a Nonforfeitable right to their
benefits accrued under the Plan up to the date of termination of the Plan to
the extent then funded.


 


Except as
otherwise required by ERISA section 4044, Cinergy will direct the Trustee
and/or Insurance Company to segregate the Pension Fund, as determined by
Cinergy to be attributable to the group that is terminating its participation
in the Plan, and to make separate allocations of the segregated assets among
the respective persons having interests in them.  The separate allocations will be made as follows:


 


(a)           First, either:


 


(1)                                  in
the case of the pension of a Retired Participant, a Terminated Vested
Participant, a Spouse, or a Contingent Annuitant that began at least three years
prior to the termination date of the Plan, that


 


90

















 


portion of the
pension that is based on the provisions of the Plan as in effect at any time
during the five-year period ending on the termination date, which would result
in the least amount, or


 


(2)                                  in
the case of the pension of an Active Participant, a Participant who has
incurred a Severance from Service, or either a Retired Participant or a
Terminated Vested Participant not included in Paragraph (1) of this
Subsection (a) that three years prior to the termination date of the Plan
would have began had the Participant then become a Retired Participant, a
Terminated Vested Participant, or the Participant’s Spouse or Contingent
Annuitant, that portion of the pension that is based on the provisions of the
Plan that were in effect at any time during the five-year period ending on the
termination date, which would result in the least amount;


 


(b)                                 Second,
all other pensions under the Plan that are guaranteed by the Pension Benefit
Guaranty Corporation;


 


(c)                                  Third,
all other pensions with respect to both (1) Retired Participants,
Terminated Vested Participants, Spouses, and Contingent Annuitants and
(2) Active Participants and Participants who have incurred a Severance
from Service who, as of the date of termination of the Plan, have completed the
Vesting Requirement of the Plan; and


 


(d)                                 All
other pensions under the Plan.


 


If the balance
of the Pension Fund allocable to the terminating group that is remaining after
allocations have been made with respect to all pensions in a preceding class or
group is insufficient to allocate the full Actuarial Equivalent of pensions to
all persons in the class or group for which it is then being applied, the
balance will be allocated to each person in the class or group in the
proportion to which the Actuarial Equivalent of the pension allocable to him
pursuant to the class or group bears to the total Actuarial Equivalent of the
pensions so allocable to all persons in the class or group.  However, if the balance is sufficient to
allocate a portion only of the full Actuarial Equivalent of the pensions set
forth in Subsection (c), then the amounts of pension otherwise provided
will be redetermined based on the provisions of the Plan as in effect five
years prior to the termination date, or, if applicable, as of the later date as
will provide for the allocation of the full Actuarial Equivalent thereof.


 


The amounts so
allocated will, subject to the rights of the Insurance Company under the Group
Annuity Contract governing allocations of small annuities, be purchased under
the Group Annuity Contract or other group annuity contract.


 


91

















 


Any balance
remaining in the Pension Fund that is allocable to the terminating group, and
after all allocations have been made pursuant to the foregoing provisions of
this Subsection, will be allocated to the Employers.


 


19.3         Merger
and Consolidation of Plan


 


In the case of
any merger or consolidation with, or transfer of assets and liabilities to, any
other plan, provisions will be made so that each Participant in the Plan on the
date thereof (if the Plan had then terminated) would receive a benefit
immediately after the merger, consolidation or transfer that is equal to, or
greater than, the benefit he would have been entitled to receive immediately
prior to the merger, consolidation, or transfer if the Plan had then
terminated.


 


19.4         Post-Change
in Control Merger, Consolidation, or Transfer of
Pension Plan Assets or Liabilities


 


Notwithstanding
the preceding provisions of this Article or any other provision of this Plan,
in the event of any merger or consolidation of this Plan with another employee
benefit plan or any transfer of assets or liabilities of this Plan to another
plan that is effected within three years following a Change in Control,
(a) the accrued benefit of each Participant who is actively employed by an
Employer as of the effective date of the merger, consolidation, or transfer of
assets or liabilities and with respect to whom liability for the payment of
benefits under the Plan is being merged or consolidated with or transferred to
another plan will become fully vested; (b) the vested accrued benefit of
each Participant, former Participant, and Beneficiary with respect to whom any
liability for the payment of benefits under the Plan is being merged or
consolidated with or transferred to another plan will be increased in
accordance with Section 19.6 (Post-Change in Control Surplus Reversion) as
if the Plan had terminated immediately prior to any merger, consolidation, or
transfer (and for purposes of calculating the increase, the accrued benefits of
all other Participants, former Participants and their Beneficiaries will be
deemed to have increased in accordance with Section 19.6 (Post-Change in
Control Surplus Reversion)); and (c) prior to consummation of any merger,
consolidation, or transfer, the accrued benefit (as increased, if applicable)
of each Participant, former Participant, and Beneficiary with respect to whom
liability for the payment of benefits under the Plan is being merged or
consolidated with or transferred to another plan will be satisfied by the
purchase of a guaranteed annuity contract from a financially sound insurance
company that represents an irrevocable commitment to satisfy the accrued
benefit (as increased, if applicable) of the person.  Notwithstanding the provisions of Section 19.1 (Right to
Amend or Terminate), the provisions of this Section may not be amended by an amendment
to the Plan effective within three years following a Change in Control.


 


19.5         General
Protection of Benefits in the Event of a Change in
Control


 


Notwithstanding
any other provisions of this Plan, for a period of three years following a
Change in Control, the provisions of this Plan may not be amended in


 


92

















 


any manner
that would adversely affect in any way the computation or amount of or the
entitlement to retirement benefits under the Plan, including, but not limited
to, any adverse change in or to (a) the rate at which benefits accrue or
vest, (b) the compensation recognized under the Plan, or (c) the
optional forms of payment available to a Participant or Beneficiary under the
Plan, including the time of commencement of benefits and any actuarial factors
utilized.  Notwithstanding the
provisions of Section 19.1 (Right to Amend or Terminate), the provisions
of this Section may not be amended by an amendment effective within three years
following a Change in Control.


 


19.6         Post-Change
in Control Surplus Reversion


 


Notwithstanding
the preceding provisions of this Article or any other provision of the Plan, in
the event this Plan is terminated within three years following a Change in
Control, the assets of the Plan will be applied in accordance with the
preceding provisions of this Article to satisfy all liabilities to
Participants, former Participants, and their Beneficiaries.  If, after satisfaction of the liabilities,
there are assets remaining in the Plan, the balance will be applied on a pro
rata basis based upon final vested benefit to increase the benefits of the
Participants, former Participants, and their Beneficiaries, subject however, to
the applicable legal limitations on benefits payable from tax qualified
plans.  Notwithstanding the provisions
of Section 19.1 (Right to Amend or Terminate), the provisions of this
Section may not be amended by an amendment to the Plan effected within three
years following a Change in Control.


 


ARTICLE 20


 


AUTHORIZED
TRANSACTION


 


                Cinergy
will have the right, authority, and power to transfer some or all of the assets
of the Plan, including contributions and earnings, to a pooled investment fund
of an insurance company qualified to do business in one or more states of the
United States, even though that insurance company might otherwise be a “party
in interest,” as that term is defined in ERISA; provided, the insurance company
receives not more than reasonable compensation with respect to the transaction


 


ARTICLE 21


 


PARTICIPATION
BY OTHER EMPLOYERS


 


 


21.1         Adoption of Plan


 


With Cinergy’s
consent, any Affiliate may become a participating Employer under the Plan by
(a) taking appropriate action to adopt the Plan, (b) filing with
Cinergy a duly certified copy of the Plan as adopted by the Affiliate,
(c) becoming a party


 


93

















 


to the trust
agreement establishing the Trust Fund, and (d) executing and delivering
documents and taking any other action as may be necessary or desirable to put
the Plan into effect with respect to it.


 


21.2         Withdrawal
from Participation


 


Any Employer
may, with Cinergy’s consent, withdraw from participation in the Plan at any
time by filing with Cinergy a duly certified copy of a resolution of its board
of directors to that effect and giving notice of its intended withdrawal to
Cinergy, the Trustee, and Insurance Company prior to the effective date of
withdrawal.  If an Employer withdraws
from the Plan, Cinergy will determine the portion of the Pension Fund held by
the Trustee or Insurance Company that is applicable to the Participants and
former Participants of the withdrawing Employer and direct the Trustee and
Insurance Company to segregate its portion in a separate trust.  The separate trust will be held and
administered as a part of the separate plan of the withdrawn Employer.  The portion of the Pension Fund applicable
to the Participants and former Participants of a particular Employer will be
the sum of:


 


(a)                                  the
total amount of the accrued benefits applicable to the Participants and former
Participants of the withdrawing Employer, and


 


(b)                                 an
amount that bears the same ratio to the excess, if any, of:


 


(1)                                  the
total of the Pension Fund over


 


(2)                                  the
total amount of the accrued benefits applicable to the Participants and former
Participants of the withdrawing Employer bears to the total amount of the
accrued benefits applicable to all Participants and former Participants.


 


Notwithstanding
the preceding sentence, if the total amount of the present value of the accrued
benefits applicable to the Participants and former Participants of the
withdrawing Employer (when combined with the value of any other assets
segregated during that Plan Year) is less than three percent of the total of
the Pension Fund as of at least one day in the Plan Year during which the
withdrawal occurs, the portion of the Pension Fund applicable to the
Participants and former Participants of the withdrawing Employer will be equal
to the present value of those Participants’ accrued benefits.


 


21.3         Cinergy
as Agent for Employers


 


Each Affiliate
that becomes a participating Employer pursuant to Section 21.1 (Adoption
of Plan) or Article 22 (Continuance by a Successor) by so doing will be
deemed to have appointed Cinergy its agent to exercise on its behalf all of the
powers and authorities conferred upon Cinergy by the terms of the Plan,


 


94

















 


including, but
not limited to the power to amend and terminate the Plan.  Cinergy’s authority to act as agent will
continue unless and until the portion of the Pension Fund held for the benefit
of Employees of the particular Employer and their Beneficiaries is set aside in
a separate trust as provided in Section 21.2 (Withdrawal from Participation).  Each Employer will, from time to time, upon
Cinergy’s request, furnish to Cinergy any data and information as Cinergy
requires in the performance of its duties.


 


ARTICLE 22


 


CONTINUANCE BY
A SUCCESSOR


 


If Cinergy or
any other Employer is reorganized by way of merger, consolidation, transfer of
assets, or otherwise, so that a corporation, partnership, or person other than
an Employer succeeds to all or substantially all of the Employer’s business,
the successor may be substituted for the Employer under the Plan by adopting
the Plan and becoming a party to the trust agreement.  Contributions by the Employer will be automatically suspended
from the effective date of any reorganization until the date upon which the
substitution of the successor corporation for the Employer under the Plan
becomes effective.  If, within
90 days following the effective date of any reorganization, the successor
does not elect to become a party to the Plan, or if the Employer adopts a plan
of complete liquidation other than in connection with a reorganization, the
Plan will be automatically terminated with respect to employees of the Employer
as of the close of business on the 90th day following the effective date of
reorganization or as of the close of business on the date of adoption of a plan
of complete liquidation, as the case may be, and Cinergy will direct the
Trustee to distribute the portion of the Trust Fund applicable to that Employer
in the manner provided in Section 21.2 (Withdrawal from Participation).


 


ARTICLE 23


 


PROVISIONS
RELATING TO TOP-HEAVY PLAN


 


23.1         Construction
of this Section


 


This Article
will be construed in accordance with Code section 416.


 


23.2         Top-Heavy
Determination


 


For each Plan
Year, the Committee will determine whether the Plan is a Top-Heavy Plan or a
Super Top-Heavy Plan.


 


(a)                                  The
Plan constitutes a “Top-Heavy Plan” for any Plan Year in which, as of the
Determination Date, (1) the Present Value of Accrued Benefits of Key
Employees or (2) the sum of the Present Value of Accrued Benefits of Key
Employees under the Plan and the Aggregate Accounts of Key Employees under any
Qualified Defined Contribution Plan of an Aggregation Group, exceeds
60 percent of the Present Value of Accrued Benefits or the Present


 


95

















 


Value of
Accrued Benefits under the Plan and the Aggregate Accounts of all Participants
under any Qualified Defined Contribution Plan of an Aggregation Group.


 


If any
Participant is a non-Key Employee for any Plan Year, but the Participant was a
Key Employee for any prior Plan Year, the Participant’s Present Value of
Accrued Benefits and/or Aggregate Account Balance will not be taken into
account for purposes of determining whether this Plan is a Top-Heavy Plan (or
whether any Aggregation Group that includes this Plan is a Top-Heavy Group)


 


(b)                                 The
Plan constitutes a “Super Top-Heavy Plan” for any Plan Year in which, as of the
Determination Date, (1) the Present Value of Accrued Benefits of Key
Employees or (2) the sum of the Present Value of Accrued Benefits of Key
Employees under the Plan and the Aggregate Accounts of Key Employees under any
Qualified Defined Contribution Plan of an Aggregation Group, exceeds
90 percent of the Present Value of Accrued Benefits or the Present Value
of Accrued Benefits under the Plan and the Aggregate Accounts of all
Participants under any Qualified Defined Contribution Plan of an Aggregation
Group.


 


(c)                                  Top-Heavy
Group means an Aggregation Group in which, as of the Determination Date, the
sum of:


 


(1)                                  the
Present Value of Accrued Benefits of Key Employees under all Qualified Defined
Benefit Plans included in the group, and


 


(2)                                  the
Aggregate Accounts of Key Employees under Qualified Defined Contribution Plans
included in the group,


 


exceeds 60 percent of a similar sum determined for all
Participants.


 


(d)                                 In
the case of a Permissive Aggregation Group, only a plan that is part of the
Required Aggregation Group will be considered a Top-Heavy Plan if the
Permissive Aggregation Group is a Top-Heavy Group.  No plan in the Permissive Aggregation Group will be considered a
Top-Heavy Plan if the Permissive Aggregation Group is not a Top-Heavy Group.


 


(e)                                  In
the case of a Required Aggregation Group, each plan in the group will be
considered a Top-Heavy Plan if the Required Aggregation Group is a Top-Heavy
Group.


 


23.3         Effects
of a Top-Heavy Determinations


 


If, for any
Plan Year, the Committee determines that the Plan is a Top-Heavy Plan or a
Super Top-Heavy Plan, the effect of that determination on the Vesting
Requirement and on the benefits payable under the Plan are described in


 


96

















 


Section 5.1(b)
(Vesting Requirement) and Section 4.7 (Benefits if Plan Becomes a
Top-Heavy Plan), respectively.


 


Terms that
relate to this Article are defined in the Plan in the following sections:


 


	
  Defined Term
  Section

  	
   

  	
  Section

  
	
   

  	
   

  	
   

  
	
  Aggregate
  Account

  	
   

  	
  1.8

  
	
  Defined
  Benefit Plan Fraction

  	
   

  	
  1.29

  
	
  Defined
  Contribution Plan Fraction

  	
   

  	
  1.30

  
	
  Determination
  Date

  	
   

  	
  1.32

  
	
  Final
  Average Earnings

  	
   

  	
  1.49

  
	
  Present
  Value of Accrued Benefits

  	
   

  	
  1.82

  
	
  Super
  Top-Heavy Plan

  	
   

  	
  1.105

  
	
  Top-Heavy
  Group

  	
   

  	
  1.108

  
	
  Top-Heavy
  Plan

  	
   

  	
  1.109

  
	
  Top-Heavy
  Plan Year

  	
   

  	
  1.110

  
	
  Valuation
  Date

  	
   

  	
  1.113

  



 


ARTICLE 24


 


MERGER WITH
THE MRP


 


24.1         Acceptance
of Assets and Liabilities of MRP Trust


 


As soon as practicable
after January 1, 1998 (but not before 30 days after the required
notification has been filed with the Internal Revenue Service), the Trustee
will accept a transfer from the trustee or funding agent of the MRP of all of
the assets and liabilities of the trust or insurance or annuity contracts
through which the MRP is funded.


 


24.2         Participation
of MRP Participants


 


Each
individual who was a participant in the MRP as of December 31, 1997, will
remain a Participant in the Plan on January 1, 1998.  Each participant or former participant in
the MRP who as of the date of the transfer referred to in Section 24.1
(the “Transfer Date”) is receiving benefits under the MRP or has retired or
incurred a severance from service with CG&E and has a right to receive
future benefits under the MRP will be entitled to receive benefits under the
Plan as of the Transfer Date.  A
beneficiary entitled to benefits under the MRP as of the Transfer Date will
become entitled to benefits under the restated Plan as of that date.  The Annual Pension of a Participant
described in this Section will at no time be less than the Participant’s
accrued benefit under the MRP as of the Transfer Date.


 


97

















 


ARTICLE 25


 


SPIN OFF OF
PSI PLAN


 


25.1         Acceptance
of Assets and Liabilities of PSI Plan Trust


 


On
December 31, 1997, the assets and liabilities attributable to Exempt
Employees and Non-Exempt Employees who were participants in the PSI Plan as of
that date were spun off from the PSI Plan. 
As soon as practicable after January 1, 1998 (but not before
30 days after the required notification has been filed with the Internal
Revenue Service), the Trustee will accept a transfer from the trustee or
funding agent of that spun-off portion of the PSI Plan of all of the assets and
liabilities of the trust or insurance or annuity contracts through which the
spun-off portion of the PSI Plan is funded.


 


25.2         Participation
of PSI Plan Participants


 


Each Exempt
Employee or Non-Exempt Employee who was a participant in the PSI Plan as of
December 31, 1997 became a participant in this Plan on January 1,
1998.  Each participant or former
participant in the PSI Plan who as of the date of the transfer referred to in
Section 25.1 (the “PSI Transfer Date”) is receiving benefits under the PSI
Plan or has retired or incurred a severance from service with PSI and has a
right to receive future benefits under the PSI Plan will become a Participant
as of the PSI Transfer Date.  A beneficiary
entitled to benefits under the PSI Plan as of the PSI Transfer Date will
instead become entitled to benefits under this Plan as of that date.  The Annual Pension of a Participant
described in this Section will at no time be less than the Participant’s
accrued benefit under the PSI Plan as of the PSI Transfer Date.


 


ARTICLE 26


 


MRP, RIP, PSI PLAN RETIREE INCREASE


 


26.1         Eligible Recipient:
Benefit Increase


 


(a)                                  Notwithstanding
Article 2 of the Plan, effective January 1, 2002, the Benefit Amount
of each Eligible Recipient that is otherwise payable from the Plan on or after
January 1, 2002 shall be increased by an amount equal to the product of
the Eligible Recipient’s Applicable Percentage, as determined under
Section 26.2, multiplied by his Benefit Amount.


 


(b)                                 Notwithstanding
Section 26.1(a), the increase for each Eligible Recipient shall be
at least $50 per month.


 


98

















 


26.2         Applicable Percentage


 


(a)                                  Pre-1981
Eligible Recipients:


 


	
  Eligible Recipient

  	
   

  	
  Applicable

  Percentage

  	
   

  
	
  A Retiree whose Actual Separation Date
  occurred before January 1, 1981.

  	
   

  	
  20

  	
  %

  
	
  A Contingent Annuitant or Spouse (if any)
  of the foregoing Retiree (if deceased).

  	
   

  	
  20

  	
  %

  
	
  A Preretirement Spouse of any Retiree who
  died on or before December 1, 1980.

  	
   

  	
  20

  	
  %

  
	
  A Disabled Participant whose Actual
  Separation Date occurred before January 1, 1981.

  	
   

  	
  20

  	
  %

  



 


(b)                                 1981-1988
Eligible Recipients:


 


	
  Eligible Recipient

  	
   

  	
  Applicable

  Percentage

  	
   

  
	
  A Retiree whose Actual Separation Date
  occurred on or after January 1, 1981 and before January 1, 1989.

  	
   

  	
  10

  	
  %

  
	
  A Contingent Annuitant or Spouse (if any)
  of the foregoing Retiree (if deceased).

  	
   

  	
  10

  	
  %

  
	
  A Preretirement Spouse of any Retiree who
  died after December 1, 1980 and on or before December 1, 1988.

  	
   

  	
  10

  	
  %

  
	
  A Disabled Participant whose Actual
  Separation Date occurred on or after January 1, 1981 and before
  January 1, 1989.

  	
   

  	
  10

  	
  %

  



 


(c)                                  1989-1993
Eligible Recipients:


 


	
  Eligible Recipient

  	
   

  	
  Applicable

  Percentage

  	
   

  
	
  A Retiree whose Actual Separation Date
  occurred on or after January 1, 1989 and before January 1, 1994.

  	
   

  	
  5

  	
  %

  
	
  A Contingent Annuitant or Spouse (if any)
  of the foregoing Retiree (if deceased).

  	
   

  	
  5

  	
  %

  
	
  A Preretirement Spouse of any Retiree who
  died after December 1, 1988 and before December 1, 1993.

  	
   

  	
  5

  	
  %

  
	
  A Disabled Participant whose Actual
  Separation Date occurred on or after January 1, 1989 and before
  January 1, 1994.

  	
   

  	
  5

  	
  %

  



 


26.3         Definitions


 


Terms used in
this Article 26 with initial capital letters shall have the meanings
indicated in the Plan or below, whichever is applicable:


 


99

















 


(a)                                  “Benefit
Amount” means, subject to paragraph (3) below, the applicable amount in
paragraph (1) or (2) below:


 


(1)                                  The
amount of the monthly benefit actually being paid to the Eligible Recipient
from the Plan as of January 1, 2002, in whatever annuity or other ongoing
payment form, as the same may have been increased by any amendment to the MRP,
RIP or PSI Plan.


 


(2)                                  In
all other cases, the amount of the monthly benefit that is first payable to the
Eligible Recipient after January 1, 2002, as the same may have been
increased by any amendment to the MRP, RIP or PSI Plan.


 


(3)                                  The
Benefit Amount of an Eligible Recipient shall in no event include any temporary
supplemental benefit, including but not limited to any supplemental benefit
payable pursuant to (i) Article 15 of the MRP (as amended and
restated effective as of January 1, 1990) or (ii) Article 15 of
the RIP (as amended and restated effective as of January 1, 1987).


 


(b)                                 “Disabled
Participant” means a Retiree whose separation date occurred while he was
receiving disability benefits under an LTD Plan.


 


(c)                                  “Eligible
Recipient” means each individual listed in Section 26.2.


 


(d)                                 “LTD
Plan” means a long-term disability benefits plan maintained by an Employer or
its Affiliates.


 


(e)                                  “Preretirement
Spouse” means a Spouse (1) of a Retiree who died prior to the commencement
of his retirement benefit and (2) who qualified for the spousal
preretirement death benefit under the MRP, RIP or PSI Plan, as applicable.


 


(f)                                    “Retiree”
means a participant of the MRP, RIP or PSI Plan, as applicable, whose Actual
Separation Date occurred on or after his Early Retirement Date (as such term is
defined in the MRP, RIP or PSI Plan), provided, however, that the term
“Retiree” shall not include any participant who received benefits under a
special early retirement window program (including but not limited to the
Special Retirement Option under the PSI Plan, the 1989 Voluntary Work Force
Reduction Plan, the 1992 Voluntary Early Retirement Program or the 1992
Involuntary Reduction in Force).  In the
event that a participant of the MRP, RIP or PSI Plan, as applicable, had more
than one Actual Separation Date, for purposes of this Article 26 the
participant’s first Actual Separation Date that occurs on or after his Early
Retirement Date (as such term is defined in the MRP, RIP or PSI Plan) shall be
the relevant Actual Separation Date.


 


100

















 


26.4         Code Section
415 Limits


 


Notwithstanding
Section 26.1, the amount thereunder shall be subject to the limitations of
Section 4.6 (Maximum Pension).


 


26.5         Miscellaneous


 


(a)                                  No
benefit amount shall be increased more than one time pursuant to the provisions
of this Article 26.


 


(b)                                 The
increase in Section 26.1 shall not be guaranteed by the Group Annuity
Contract.


 


(c)                                  No
alternate payee under a Qualified Domestic Relations Order shall be entitled to
an increase pursuant to the provisions of this Article 26 unless such
Qualified Domestic Relations Order specifically requires such increase, in
which case the alternate payee’s Applicable Percentage, if any, shall be the
same as his or her former spouse’s Applicable Percentage, which shall be
determined under Section 26.2 of the Plan.


 


Cinergy Corp.
has caused this document to be executed by its duly authorized officer.


 


	
   

  	
  By:

  	
   

  	
   

  
	
   

  	
   

  	
  Timothy J.
  Verhagen

  
	
   

  	
   

  	
  Vice
  President

  
	
   

  	
   

  	
  Human
  Resources

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  Date:12/20/02

  



 


101

















 


CINERGY CORP. NON-UNION EMPLOYEES’ PENSION
PLAN


(As Amended And Restated Effective January 1,
2003)


 


ADDENDUM


EGTRRA and 401(a)(9) MODEL PROVISIONS


 


PREAMBLE


 


1.             Adoption and effective date of Addendum.  This Addendum of the Plan is adopted to
reflect certain provisions of the Economic Growth and Tax Relief Reconciliation
Act of 2001 (“EGTRRA”).  This Addendum
is intended as good faith compliance with the requirements of EGTRRA and is to
be construed in accordance with EGTRRA and guidance issued thereunder.  Except as otherwise provided, this Addendum
shall be effective as of the first day of the first Plan Year beginning after
December 31, 2001.


 


2.             Supersession of inconsistent provisions.  This Addendum shall supersede the provisions
of the Plan to the extent those provisions are inconsistent with the provisions
of this Addendum.


 


SECTION 1.  LIMITATIONS ON BENEFITS.


 


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


 


2.             Effect on participants.  Benefit increases resulting from the increase in the limitations
of Code subsection 415(b) will be provided to all employees participating
in the Plan who have one hour of service on or after the first day of the first
limitation year ending after December 31, 2001.


 


3.             Definitions.


 


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


 


3.2           Maximum permissible benefit:  The “maximum permissible benefit” is the
lesser of the defined benefit dollar limitation or the defined benefit
compensation limitation (both adjusted where required in (a) and, if
applicable, in (b) or (c) below).


 


(a)           If the participant has fewer than
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 10. 
In the case of a participant who has fewer than 10 years of service
with the employer, the defined benefit compensation limitation shall be
multiplied by a fraction, (i) the numerator of which is the number of
years (or part thereof) of service with the employer and (ii) the
denominator of which is 10.


 


1

















 


(b)           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 straight life annuity 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 the Plan for equivalence of early retirement benefits and
(ii) the actuarial equivalent (at such age) of the defined benefit dollar
limitation computed using a 5 percent interest rate and the applicable
mortality table under Code subsection 417(e) as prescribed from time to time by
the Secretary of the Treasury (for distributions with Annuity Starting Dates
after December 30, 2002 the mortality table prescribed in Revenue
Ruling 2001–62).  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.


 


(c)           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 straight life annuity 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 the Plan for equivalence of delayed
retirement benefits and (ii) the actuarial equivalent (at such age) of the
defined benefit dollar limitation computed using a 5 percent interest rate
assumption and the applicable mortality table under Code subsection 417(e) as
prescribed from time to time by the Secretary of the Treasury (for
distributions with Annuity Starting Dates after December 30, 2002 the mortality
table prescribed in Revenue Ruling 2001–62).  For these purposes, mortality between
age 65 and the age at which benefits commence shall be ignored.


 


SECTION 2.  INCREASE IN COMPENSATION LIMIT


 


1.             Increase in limit.  The annual compensation of each participant taken into account in
determining benefit accruals in any Plan Year beginning after December 31,
2001, shall not exceed $200,000.  Annual
compensation means compensation during the Plan Year or such other consecutive
12-month period over which compensation is otherwise determined under the Plan
(the determination period).  For
purposes of determining benefit accruals in a Plan Year beginning after
December 31, 2001, the annual compensation limit for determination periods
beginning before January 1, 2002, shall be $200,000.


 


2.             Cost-of-living adjustment.  The $200,000 limit on annual compensation in
paragraph 1 shall be adjusted for cost-of-living increases in accordance
with Code subparagraph 401(a)(17)(B). 
The cost-of-living adjustment in effect for a calendar year applies to
annual compensation for the determination period that begins with or within
such calendar year.


 


2

















 


SECTION 3.  MODIFICATION OF TOP-HEAVY RULES


 


1.             Effective date. 
This section shall apply for purposes of determining whether the Plan is
a top-heavy plan under Code subsection 416(g) for Plan Years beginning
after December 31, 2001, and whether the Plan satisfies the minimum
benefits requirements of Code subsection 416(c) for such years.  This section amends Article 23 of the
Plan.


 


2.             Determination of top-heavy status.


 


2.1           Key employee. 
Key employee means any employee or former employee (including any
deceased employee) who at any time during the Plan Year that includes the determination
date was an officer of the employer having annual compensation greater than
$130,000 (as adjusted under Code paragraph 416(i)(1) for Plan Years
beginning after December 31, 2002), a 5–percent owner of the
employer, or a 1–percent owner of the employer having annual compensation
of more than $150,000.  For this
purpose, annual compensation means compensation within the meaning of Code
paragraph 415(c)(3).  The determination
of who is a key employee will be made in accordance with Code paragraph 416(i)(1)
and the applicable regulations and other guidance of general applicability
issued thereunder.


 


2.2           Determination of present values and amounts.  This Section 2.2 shall apply for
purposes of determining the present values of accrued benefits and the amounts
of account balances of employees as of the determination date.


 


2.2.1        Distributions during year ending on the determination date.  The present values of accrued benefits and
the amounts of account balances of an employee as of the determination date
shall be increased by the distributions made with respect to the employee under
the Plan and any plan aggregated with the Plan under Code
paragraph 416(g)(2) during the 1–year period ending on the
determination date.  The preceding
sentence shall also apply to distributions under a terminated plan which, had
it not been terminated, would have been aggregated with the Plan under Code
clause 416(g)(2)(A)(i).  In the
case of a distribution made for a reason other than separation from service,
death, or disability, this provision shall be applied by substituting “5–year
period” for “1–year period.”


 


2.2.2        Employees not performing services during year ending on
the determination date.  The accrued
benefits and accounts of any individual who has not performed services for the
employer during the 1–year period ending on the determination date shall
not be taken into account.


 


3.             Minimum benefits.  For purposes of satisfying the minimum benefit requirements of
Code paragraph 416(c)(1) and the Plan, in determining years of service
with the employer, any service with the employer shall be disregarded to the
extent that such service occurs during a Plan Year when the Plan benefits
(within the meaning of Code subsection 410(b)) no key employee or former
key employee.


 


SECTION 4.  DIRECT ROLLOVERS OF PLAN DISTRIBUTIONS


 


1.             Effective date. 
This section shall apply to distributions made after December 31,
2001.


 


3

















 


2.             Modification of definition of eligible retirement
plan.  For purposes of the direct
rollover provisions in Section 8.7 of the Plan, an eligible retirement
plan shall also mean an annuity contract described in Code
subsection 403(b) and an eligible plan under Code subsection 457(b)
which is maintained by a state, political subdivision of a state, or any agency
or instrumentality of a state or political subdivision of a state and which
agrees to separately account for amounts transferred into such plan from this
Plan.  The definition of eligible
retirement plan shall also apply in the case of a distribution to a surviving
spouse, or to a spouse or former spouse who is the alternate payee under a
qualified domestic relation order, as defined in Code subsection 414(p).


 


3.             Modification of definition of eligible rollover
distribution to include after-tax employee contributions.  For purposes of the direct rollover
provisions in Section 8.7 of the Plan, a portion of a distribution shall
not fail to be an eligible rollover distribution merely because the portion
consists of after-tax employee contributions which are not includible in gross
income.  However, such portion may be
paid only to an individual retirement account or annuity described in Code
subsections 408(a) or (b), or to a qualified defined contribution plan
described in Code subsections 401(a) or 403(a) that agrees to separately
account for amounts so transferred, including separately accounting for the
portion of such distribution which is includible in gross income and the
portion of such distribution which is not so includible.


 


SECTION 5.           MINIMUM DISTRIBUTION REQUIREMENTS


 


1.             General Rules.


 


1.1           Effective Date. 
The provisions of this Section will apply for purposes of determining
required minimum distributions for calendar years beginning with the 2003 calendar
year.


 


1.2           Precedence. 
The requirements of this Section will take precedence over any
inconsistent provisions of the plan.


 


1.3           Requirements of Treasury Regulations Incorporated.  All distributions required under this
Section will be determined and made in accordance with the Treasury regulations
under Code paragraph 401(a)(9).


 


1.4           TEFRA Section 242(b)(2) Elections.  Notwithstanding the other provisions of this
article, other than Subsection 1.3, 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.


 


2.             Time and Manner of Distribution.


 


2.1           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.


 


2.2           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:


 


4

















 


(a)           If the participant’s surviving spouse
is the participant’s sole designated beneficiary, then 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.


 


(b)           If the participant’s surviving spouse
is not the participant’s sole designated beneficiary, then distributions to the
designated beneficiary will begin by December 31 of the calendar year
immediately following the calendar year in which the participant died.


 


(c)           If there is no designated beneficiary
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 containing the fifth anniversary of the
participant’s death.


 


(d)           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 Subsection 2.2, other than Subsection 2.2(a), will apply as if
the surviving spouse were the participant.


 


For purposes of this
Subsection 2.2 and Subsection 5, distributions are considered to
begin on the participant’s required beginning date (or, if Subsection 2.2(d)
applies, the date distributions are required to begin to the surviving spouse
under Subsection 2.2(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 Subsection 2.2(a)), the date distributions are considered to begin
is the date distributions actually commence.


 


2.3           Form of Distribution.  Unless the participant’s interest is distributed in the form of
an annuity purchased from an insurance company or in a single sum on or before
the required beginning date, as of the first distribution calendar year
distributions will be made in accordance with Subsections 3, 4 and 5.  If the participant’s interest is distributed
in the form of an annuity purchased from an insurance company, distributions
thereunder will be made in accordance with the requirements of Code
paragraph 401(a)(9) and the Treasury regulations.  Any part of the participant’s interest which
is in the form of an individual account described in Code
subsection 414(k) will be distributed in a manner satisfying the
requirements of Code paragraph 401(a)(9) of the Code and the Treasury
regulations that apply to individual accounts.


 


3.             Determination of Amount to be Distributed Each Year.


 


3.1           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:


 


(a)           the annuity distributions will be
paid in periodic payments made at intervals not longer than one year;


 


(b)           the distribution period will be over
a life (or lives) or over a period certain not longer than the period described
in Subsection 4 or 5;


 


5

















 


(c)           once payments have begun over a
period certain, the period certain will not be changed even if the period
certain is shorter than the maximum permitted;


 


(d)           payments will either be nonincreasing
or increase only as follows:


 


(1)           by an annual
percentage increase that does not exceed the annual percentage 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 described in Subsection 4 dies or is no
longer the participant’s beneficiary pursuant to a qualified domestic relations
order within the meaning of Code subsection 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.


 


3.2           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 distributions begin, the date distributions are required
to begin under Subsection 2.2(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 as
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.


 


3.3           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.


 


4.             Requirements For Annuity Distributions That Commence
During Participant’s Lifetime.


 


4.1           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 nonspouse 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 nonspouse
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

















 


4.2           Period Certain Annuities.  Unless the participant’s spouse is the sole designated
beneficiary and the form of distribution is a period certain and no life
annuity, the period certain for an annuity distribution commencing during the
participant’s lifetime may not exceed the applicable distribution period for
the participant under the Uniform Lifetime Table set forth in
section 1.401(a)(9)–9 of the Treasury regulations for the calendar
year that contains the annuity starting date. 
If the annuity starting date precedes the year in which the participant
reaches age 70, the applicable distribution period for the participant is
the distribution period for age 70 under the Uniform Lifetime Table set
forth in section 1.401(a)(9)–9 of the Treasury regulations plus the
excess of 70 over the age of the participant as of the participant’s birthday
in the year that contains the annuity starting date.  If the participant’s spouse is the participant’s sole designated
beneficiary and the form of distribution is a period certain and no life
annuity, the period certain may not exceed the longer of the participant’s
applicable distribution period, as determined under this section 4.2, or
the joint life and last survivor expectancy of the participant and the participant’s
spouse as determined under the Joint and Last Survivor Table set forth in
section 1.401(a)(9)–9 of the Treasury regulations, using the
participant’s and spouse’s attained ages as of the participant’s and spouse’s
birthdays in the calendar year that contains the annuity starting date.


 


5.             Requirements For Minimum Distributions Where
Participant Dies Before Date Distributions Begin.


 


5.1           Participant Survived by Designated Beneficiary.  If the participant dies before the date
distribution of his or her interest begins and there is a designated
beneficiary, the participant’s entire interest will be distributed, beginning
no later than the time described in Subsection 2.2(a) or (b), over the
life of the designated beneficiary or over a period certain not exceeding:


 


 


(a)           unless the annuity starting date is
before the first distribution calendar year, the life expectancy of the
designated beneficiary 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


 


(b)           if the annuity starting date is
before the first distribution calendar year, the life expectancy of the
designated beneficiary using the beneficiary’s age as of the beneficiary’s
birthday in the calendar year that contains the annuity starting date.


 


5.2           No Designated Beneficiary.  If the participant dies before the date
distributions begin and there is no designated beneficiary as of
September 30 of the year following the year of the participant’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.


 


5.3           Death of Surviving Spouse Before Distributions to
Surviving Spouse Begin.  If the
participant dies before the date distribution of his or her interest begins,
the participant’s surviving spouse is the participant’s sole designated
beneficiary, and the surviving spouse dies before distributions to the
surviving spouse begin, this section 5 will apply as if the surviving
spouse were the participant, except that the time by which distributions must
begin will be determined without regard to Subsection 2.2(a).


 


7

















 


6.             Definitions.


 


6.1           Designated beneficiary.  The individual who is designated as the beneficiary under Section
1.16 of the Plan and is the designated beneficiary under Code
paragraph 401(a)(9) and section 1.401(a)(9)–1, Q&A–4,
of the Treasury regulations.


 


6.2           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 Subsection 2.2.


 


6.3           Life expectancy. 
Life expectancy as computed by use of the Single Life Table in
section 1.401(a)(9)–9 of the Treasury regulations.


6.4           Required beginning date.  The date specified in Section 8.6 (Required Payment of
Benefits) of the Plan.


 


8

















 


ADDENDUM A


 


Cinergy Corp. Non-Union Employees’


Pension Plan


 


I.              PSI PENSION FORMULAS


 


The five
remaining basic pension formulas used to determine benefits under the PSI Plan
are as follows:


 


A.            PSI Normal Retirement Pension
Formula 1


 


The Annual
Pension computed under PSI Pension Formula 1 equals
(1) 1.1 percent of the Participant’s PSI Highest Average Earnings,
plus (2) 0.5 percent of the amount by which his PSI Highest Average
Earnings exceed his applicable PSI Covered Compensation, multiplied by the
number of his Years of Participation accrued as of December 31, 1997, up
to a maximum of 35.


 


B.            PSI Normal Retirement Pension
Formula 2


 


The Annual
Pension computed under PSI Pension Formula 2 equals the excess of:


 


(1)                                  1-2/3 percent
of the Participant’s PSI Highest Average Earnings, multiplied by the number of
his Years of Participation not in excess of 30; over


 


(2)                                  1-2/3 percent
of the Participant’s Annual Primary Social Security Amount that he is expected
to be entitled to receive either at his Normal Retirement Date or at his
Disability Date if his disability continues to his Normal Retirement Date, in
any event multiplied by the number of his Years of Participation not in excess
of 30.


 


C.            PSI Normal Retirement Pension
Formula 3


 


The Annual
Pension computed under PSI Pension Formula 3 equals the excess of:


 


(1)                                  2 percent
of the Participant’s PSI Highest Average Earnings, multiplied by the number of
his Years of Participation not in excess of 25, over


 


1

















 


(2)                                  2 percent
of the Participant’s Annual Primary Social Security Amount that he is expected
to be entitled to receive either upon the attainment of age 62 on the
assumption that he receives no “wages” or “remuneration,” as defined in the
Social Security Act, between December 31, 1989 (December 31, 1988,
for a Highly Compensated Participant), and his attainment of age 62, or if
he is still employed by his Employer on or after his attainment of age 62,
as of the earlier of December 31, 1989 (December 31, 1988, for a
Highly Compensated Participant), or his Normal Retirement Date, or at his
Disability Date if his disability continues up until the date otherwise
determined under this Paragraph (2), in any event multiplied by the number
of his Years of Participation not in excess of 25.


 


D.            PSI Terminated Vested Pension
Formula 5


 


The Annual
Pension computed under PSI Pension Formula 5 equals the excess of:


 


(1)                                  2 percent
of the Participant’s PSI Highest Average Earnings, multiplied by the number of
his Years of Participation not in excess of 25, over


 


(2)                                  a
fraction, the numerator of which is his actual Years of Participation and the
denominator of which is the Years of Participation he would have accumulated at
his Normal Retirement Date if during each year after December 31, 1989
(December 31, 1988, for a Highly Compensated Participant), he had
completed at least 2,000 Hours of Service, of 50 percent of the
Participant’s Annual Primary Social Security Amount that he is entitled to
receive upon the attainment of age 60 on the assumption that his rate of
Earnings as of December 31, 1989 (December 31, 1988, for a Highly
Compensated Participant), had continued unchanged until age 60.


 


2

















 


E.             PSI Terminated Vested Pension
Formula 6


 


The Annual
Pension computed under PSI Pension Formula 6 equals the excess of:


 


(1)                                  1-2/3 percent
of the Participant’s PSI Highest Average Earnings, multiplied by the number of
his Years of Participation not in excess of 30; over


 


(2)                                  a
fraction, the numerator of which is his actual Years of Participation and the
denominator of which is the Years of Participation he would have accumulated at
his Normal Retirement Date if during each year after December 31, 1989
(December 31, 1988, for a Highly Compensated Participant), he had
completed at least 2,000 Hours of Service, of 50 percent of the
Participant’s Annual Primary Social Security Amount that he is entitled to
receive upon the attainment of age 60 on the assumption that his rate of Earnings
as of December 31, 1989 (December 31, 1988, for a Highly Compensated
Participant), had continued unchanged until age 60.


 


II.            General Method of Computing Accrued Benefit Under the
PSI Plan for Normal Retirement


 


(a)                                  Subject
to the following provisions of this Section, the amount of the accrued benefit
under the PSI Plan as of December 31, 1997, of a Participant who was a
participant in the PSI Plan as of December 31, 1997, will be computed
under PSI Pension Formula 1.


 


(b)                                 Notwithstanding
any other provisions of this Section, the accrued benefit under the PSI Plan as
of December 31, 1997, of a Participant who became a participant in the PSI
Plan prior to May 1, 1970, will not be less than the amount computed under
PSI Pension Formula 3 as of the following date:


 


(1)                                  December 31,
1989, with respect to an Employee who is not a Highly Compensated Participant;
or


 


(2)                                  December 31,
1988, with respect to a Highly Compensated Participant.


 


3

















 


(c)                                  Notwithstanding
any other provisions of this Section, the accrued benefit under the PSI Plan as
of December 31, 1997, of a Participant who became a participant in the PSI
Plan on or after May 1, 1970, will not be less than the amount computed
under PSI Pension Formula 2 as of the following date:


 


(1)                                  December 31,
1989, with respect to an Employee who is not a Highly Compensated Participant;
or


 


(2)                                  December 31,
1988, with respect to a Highly Compensated Participant.


 


III.           PSI Definitions


 


The
capitalized terms will have the meanings set forth in the Plan.  In addition, the following words and phrases
have the meanings set forth in this Addendum:


 


(a)                                  “Annual
Primary Social Security Amount” means, with respect to a Participant, the
annual amount available under the provisions of Title II of the Social
Security Act as in effect on December 31, 1989 (December 31, 1988,
for a Highly Compensated Participant), determined without regard to any
increases in benefit levels, wage base increases, or changes in the types of
benefits that take effect after that date, but including any recomputation in
benefits due solely to the Participant’s “wages” and “remuneration,” as defined
in the Social Security Act, in calendar year 1989 or 1988, whichever is
applicable.


 


(b)                                 “Disability
Date” means, with respect to a Participant who participated in the PSI Plan,
the date the Participant is determined to be totally disabled by reason of a
particular disability under PSI’s Long Term Disability Plan, as amended from
time to time.


 


(c)                                  “Nine
Months of Elapsed Time Service” means, with respect to a Participant who
participated in the PSI Plan, the nine consecutive month period commencing on
his Employment Commencement Date, provided that the Employee does not in that
period incur


 


4

















 


a Severance
from Service that is part of a Break in Service; or, the nine consecutive month
period commencing on the Employee’s Reemployment Commencement Date (or
successive Reemployment Commencement Dates), provided that the Employee does
not in that period incur a Severance from Service that is part of a Break in
Service.  If the Employee does not incur
a Severance from Service during the applicable nine consecutive month period,
then the Employee shall be deemed to have completed Nine Months of Elapsed Time
Service as of the last day of the nine consecutive month period.


 


(d)                                 “Normal
Retirement Date” means, with respect to each Participant who participated in
the PSI Plan, the first day of the calendar month coincident with or following
(a) his 65th birthday, or (b) the fifth anniversary date of his
employment, whichever is later.


 


(e)                                  “Participation
Commencement Date” means, with respect to an Employee who was a participant in
the PSI Plan prior to January 1, 1989, the date the Employee became a
participant under the PSI Plan’s terms as they existed prior to January 1,
1990, and with respect to an Employee who was not a participant in the PSI Plan
prior to January 1, 1989, the later of (a) January 1, 1989, or
(b) the first day of the calendar month coincident with or following the
date the Employee first completes Nine Months of Elapsed Time Service and has
attained his 21st birthday; provided that on the later date he is
classified by his Employer as an Employee. 
If an Employee has completed Nine Months of Elapsed Time Service and has
attained his 21st birthday, but is not classified by his Employer as an
Employee on the later date, his “Participation Commencement Date” shall be the
first day of the calendar month coincident with or following the first day
after the later date on which he is classified by his Employer as an Employee.


 


(f)                                    “PSI
Covered Compensation” means, with respect to a Participant who participated in
the PSI Plan as of December 31, 1997, the average (without indexing) of
the annual Social Security taxable wage bases under the Social Security Act for
each year during the 35 calendar years ending with the last day of the calendar
year in which the Participant attains his Social Security Retirement Age, but
no later than December 31, 1997.


 


(g)                                 “PSI
Highest Average Earnings” means, with respect to a Participant who participated
in the PSI Plan as of December 31, 1997, the Participant’s highest average
annual Earnings for any three consecutive calendar years out of the Participant’s
10 or fewer years of participation under the PSI Plan ending on


 


5

















 


December 31,
1997.  If Earnings for any Plan Year
beginning before January 1, 1994 are taken into account in determining a
Participant’s PSI Highest Average Earnings, the Earnings for that Plan Year
will be subject to the limitation of Code paragraph 401(a)(17) that was in
effect for that Plan Year and the Participant’s Nonforfeitable Annual Pension
will not be less than the Participant’s accrued benefit under the PSI Plan as
of December 31, 1993.


 


(h)                                 “Years
of Participation” means, with respect to each Participant who participated in
the PSI Plan as of December 31, 1997, the sum of the following whole and
fractional years:


 


(1)                                  with
respect to the period prior to January 1, 1976, the number of years (to
the last completed 1/12th year) of his “participating service” (as defined
in the PSI Plan as in effect on December 31, 1975, except that the last
sentence of Section 1.6 of the PSI Plan will not apply) as of
January 1, 1976; plus


 


(2)                                  with
respect to each Plan Year of his participation in the PSI Plan on or after
January 1, 1976, and before January 1, 1998 (excluding the Plan Years
in which his Participation Commencement Date and his Reemployment Commencement
Date, if applicable, occur, to the extent one or both of those dates are on or
after January 1, 1976), one Year of Participation if he completes at least
2,000 Hours of Service during that Plan Year; otherwise, a fraction of a
Year of Participation, the numerator of which is the number of Hours of Service
which he completes during a Plan Year and the denominator of which is 2,000;
provided, however, that if he completes less than 1,000 Hours of Service
during a Plan Year, no portion of a Year of Participation will be granted; plus


 


(3)                                  with
respect to the Plan Years during which his Participation Commencement Date
and/or his Reemployment Commencement Date, if applicable, occur, to the extent
one or both of the dates occur on or after January 1, 1976, and before
January 1, 1998, either one Year of Participation, or, if the month and
day of his


 


6

















 


Participation
Commencement Date or Reemployment Commencement Date within the Plan Year is after
January 1, a fraction thereof, the numerator of which is the number of
complete calendar months in that Plan Year during which he is a participant in
the PSI Plan and the denominator of which is 12.  However, if the number of Hours of Service that he completes as a
participant in the PSI Plan during the respective Plan Year is less than the
product of 166-2/3 multiplied by the number of complete calendar months during
which he is a participant in the PSI Plan in the Plan Year, then the Year of
Participation, or fraction thereof, as otherwise determined pursuant to this
Paragraph (c), will be multiplied by the ratio of the number of Hours of
Service that he completes as a participant in the PSI Plan during the Plan Year
to 166-2/3 multiplied by the number of complete calendar months during which he
is a participant in the PSI Plan in the Plan Year.  If the number of Hours of Service that he completes as a PSI Plan
participant during the Plan Year is less than the product of 83-1/3 multiplied
by the number of complete calendar months during which he is a PSI Plan
participant in the Plan Year, no portion of a Year of Participation shall be
granted.


 


With respect
to any Plan Year wholly or partially included in a calendar year used to
calculate the Participant’s PSI Plan Highest Average Earnings, if the PSI Plan
participant fails to complete at least 2,000 Hours of Service during that
Plan Year, then, in lieu of any fraction of a Year of Participation as
otherwise determined under either Paragraph (b) or Paragraph (c), the
PSI Plan participant will be granted a fraction of a Year of
Participation:  the numerator of which
is equal to the sum of the number of Hours of Service which the PSI Plan
participant completes as a PSI Plan participant during those calendar months of
the Plan Year that are not included in that calendar year, and the greater of
(A) the number of Hours of Service that the PSI Plan participant completes
during those calendar months of the Plan Year that are included in such
calendar year or (B) the product of 166-2/3 multiplied by the number of
calendar months of the Plan Year that are included in the calendar year; and
the denominator of which is 2,000.  A
PSI Plan participant’s Years of Participation will be adjusted, if necessary,
pursuant to Section 4.5


 


7

















 


(Special
Adjustments) or Section 4.8 (Benefits Adjustment for Participants Covered
by Certain Programs) of the PSI Plan.


 


8

















 


ADDENDUM B


 


Cinergy Corp. Non-Union Employees’ Pension Plan


 


I.              MRP Normal Retirement Formula


 


A
Participant’s annual accrued benefit computed under the MRP Normal Retirement
Formula as of December 31, 1997, equals 1.3 percent of the
Participant’s MRP Final Average Compensation, plus .35 percent of MRP
Final Average Compensation in excess of MRP Covered Compensation multiplied
times the Participant’s Years of Accredited Service to and including
30 years; plus .1 percent of the Participant’s MRP Final Average
Compensation times the Participant’s Years of Accredited Service in excess of
30 years.


 


II.            RIP Normal Retirement Formula


 


A
Participant’s annual accrued benefit computed under the RIP Normal Retirement
Formula as of December 31, 1997, equals 57 percent of the Participant’s
RIP Final Average Compensation reduced by one-half of his or her Primary Social
Security Benefit.  If the Participant
has less than 30 Years of Accredited Service as of December 31, 1997, the
amount will be further reduced by 1/30 for each full year less than 30
years.  If the Participant has more than
30 Years of Accredited Service as of December 31, 1997, the amount
will be increased by $6.00 for each Year of Accredited Service over
30 years.


 


III.           MRP and RIP Definitions


 


For purposes
of the MRP and RIP formulas, the capitalized terms will have the meanings set
forth in the Plan.  In addition, the
following words and phrases will have the meanings set forth in this Addendum:


 


(a)                                  “CG&E
Service” means, with respect to an Employee, the period of time during which
the employment relationship exists between the Employee and CG&E on or
before December 31, 1997, the length of which is determined as follows:


 


(1)                                  An
Employee will be credited with CG&E Service for the period of time
beginning with his Employment Commencement Date and ending on December 31,
1997.


 


1

















 


(2)                                  An
Employee will be credited with CG&E Service for each Period of Credited
Severance occurring on or before December 31, 1997.


 


(3)                                  An
Employee will be credited with CG&E Service for any period of service with
a related company (as determined under Code subsections 414(b), (c), and
(m)), which will be determined as if he had been employed by CG&E during
that period.


 


(4)                                  In
determining an Employee’s total CG&E Service for purposes of the MRP or
RIP, all periods of CG&E Service that are credited to the Employee under
Paragraphs (1) through (3) above will be aggregated.  In no event will an Employee receive credit
more than once for the same period of CG&E Service.  For purposes of determining an Employee’s
total CG&E Service, the Employee will be credited with one month of
CG&E Service for each month during which he is credited with at least one
Hour of Service.  Those total months of
CG&E Service will then be rounded up to the next highest number of whole
calendar years.


 


(b)                                 “DCIP”
means The Cincinnati Gas & Electric Company Deferred Compensation and
Investment Plan.


 


(c)                                  “MRP
Covered Compensation” means, with respect to a Participant who was a participant
in the MRP as of December 31, 1997, the average (without indexing) of the
annual Social Security taxable wage bases under the Social Security Act for
each year during the 35 calendar years ending with the last day of the calendar
year in which the Participant attains his Social Security Retirement Age, but
no later than December 31, 1997.


 


(d)                                 “MRP
Final Average Compensation” means, with respect to a Participant who was a
participant in the MRP as of December 31, 1997, the average of the five consecutive
calendar years of compensation as defined in (1) below, that produce the
highest average within the 10 calendar years ending on December 31,
1997.


 


(1)                                  For
purposes of this definition, “compensation” means the annual rate of base pay
determined on July 1 of each year prior to 1998.  For these purposes, base pay is the wage or salary assigned to
each specific job title


 


2

















 


or
position.  Base pay does not include
overtime, bonuses, severance, or any other special pay.  Base pay, however, shall include deferred
compensation contributions (as that term is defined under the DCIP and SIP) and
will also include any other elective contribution made by CG&E to a plan
covered by Code section 125, which contribution is not included in the
gross income of the MRP participant.  If
compensation for any Plan Year beginning before January 1, 1994, is taken into
account in determining an MRP participant’s MRP Final Average Compensation, the
compensation for that Plan Year will be subject to the limitation of Code
paragraph 401(a)(17) that was in effect for that year and the
Participant’s Nonforfeitable Annual Pension will not be less than the
Participant’s accrued benefit under the MRP as of December 31, 1993.


 


(2)                                  For
purposes of this definition, an MRP participant’s base pay will be converted to
an annual rate of compensation using the formula appropriate to the MRP
participant’s base pay, as follows:


 


(A)                              Semi-monthly
rate.  The annual compensation for
an MRP participant paid on a semi-monthly basis is 24 times the participant’s
July 1 semi-monthly base pay.


 


(B)                                Monthly
rate.  The annual compensation for
an MRP participant paid on a monthly basis is 12 times the participant’s
July 1 monthly base pay.


 


(C)                                Hourly
rate.  The annual compensation for
an MRP participant paid on an hourly basis is 2,080 times the participant’s
July 1 hourly base pay.


 


(D)                               Weekly
rate.  The annual compensation for
an MRP participant paid on a weekly basis is 52 times the participant’s weekly
base pay.


 


(3)                                  The
compensation of an MRP participant who has no salary or wage rate on
July 1 of a calendar year because he is on an unpaid leave of absence or
temporary suspension will be calculated using his latest rate of pay prior to


 


3

















 


July 1 of
that year, if the MRP participant returns to active employment before his
Severance from Service Date.  If the MRP
participant is on unpaid leave or suspension on July 1 of a year, and the
participant does not return to active employment before his Severance from
Service Date, his compensation for that calendar year will be zero.


 


(e)                                  “Primary
Social Security Benefit” means the primary federal old age insurance benefit
estimated by the Committee that is, or would be, payable to an RIP participant
at age 65 based on the federal Social Security Act in effect on
December 31, 1997.


 


The Primary
Social Security Benefit of an RIP participant who had not attained age 65 by
December 31, 1997, will be determined by assuming that he continued to
receive compensation after December 31, 1997, at the rate of compensation
in effect immediately prior to that, to age 55, and zero compensation from age
55 thereafter until age 65.


 


If an RIP
participant was hired after 1950, he will be provided with written notice of
his right to supply actual pre-employment earnings history, or the financial
consequences of failing to supply such history, and that the RIP participant
can obtain his actual earnings history on a year-by-year basis from the Social
Security administration.


 


If an RIP
participant whose pre-CG&E employment earnings history was estimated
supplies documentation from the Social Security administration of his actual
year-by-year earnings history, the RIP participant’s Primary Social Security
Benefit that previously was estimated will be recalculated using actual
pre-CG&E employment earnings.  Such
documentation must be supplied no later than 6 months following the later of:


 


(1)                                  the
date of the RIP participant’s termination of employment (by retirement or
otherwise), or


 


(2)                                  the
date that the RIP participant is notified of the benefit to which he is
entitled.


 


4

















 


(f)                                    “RIP
Final Average Compensation” means, with respect to a Participant who was a
participant in the RIP as of December 31, 1997, the average of the four
consecutive calendar years of compensation, as defined in (1) below, that
produce the highest average within the 10 calendar years ending on
December 31, 1997.


 


(1)                                  For
purposes of this definition, “compensation” means the annual rate of base pay
determined on July 1 of each year prior to 1998.  For these purposes, base pay is the wage or salary assigned to
each specific job title or position. 
Base pay does not include overtime, bonuses, severance, or any other
special pay.  Base pay, however, will
include deferred compensation contributions (as that term is defined under the
DCIP and SIP) and will also include any other elective contribution made by
CG&E to a plan covered by Code section 125, which contribution is not
included in the gross income of the RIP participant.  If compensation for any Plan Year beginning before January 1,
1994, is taken into account in determining an RIP Participant’s RIP Final
Average Compensation, the compensation for that Plan Year will be subject to
the limitation of Code paragraph 401(a)(17) that was in effect for that year
and the Participant’s Nonforfeitable Annual Pension will not be less than the
Participant’s accrued benefit under the RIP as of December 31, 1993.


 


(2)                                  For
purposes of this definition, an RIP participant’s base pay will be converted to
an annual rate of compensation using the formula appropriate to the
participant’s base pay, as follows:


 


(A)                              Semi-monthly
rate.  The annual compensation for
an RIP participant paid on a semi-monthly basis is 24 times the participant’s
July 1 semi-monthly base pay.


 


(B)                                Monthly
rate.  The annual compensation for
an RIP participant paid on a monthly basis is 12 times the participant’s
July 1 monthly base pay.


 


5

















 


(C)                                Hourly
rate.  The annual compensation for
an RIP participant paid on an hourly basis is 2,080 times the participant’s
July 1 hourly base pay.


 


(D)                               Weekly
rate.  The annual compensation for
an RIP participant paid on a weekly basis is 52 times the participant’s weekly
base pay.


 


(3)                                  The
compensation of an RIP participant who has no salary or wage rate on
July 1 of a calendar year because he is on an unpaid leave of absence or
temporary suspension will be calculated using his latest rate of pay prior to
July 1 of that year, if the RIP participant returns to active employment
before his Severance from Service Date. 
If the RIP participant is on unpaid leave or suspension on July 1
of a year, and the participant does not return to active employment before his
Severance from Service Date, his compensation for that calendar year will be
zero.


 


(g)                                 “SIP”
means The Cincinnati Gas & Electric Company Savings Incentive Plan.


 


(h)                                 “Years
of Accredited Service” means the number of years equal to the length of the
Employee’s CG&E Service on or before December 31, 1997, during which
the Employee is treated as a participant in the MRP or RIP.  The calculation of an Employee’s Years of
Accredited Service will begin on the first day of the month during which the
Employee became eligible to participate in the MRP or the RIP.


 


6

















 


ADDENDUM C


 


MRP/RIP 100% Spousal and Contingent Annuitant Benefit


 


	
  Number Of
  Full Years

  The Spouse Or

  Contingent Annuitant

  as Born

  After The Participant

  	
   

  	
  Factor

  	
   

  	
  Number Of Full Years

  The Spouse Or

  Contingent Annuitant

  Was Born

  After The Participant

  	
   

  	
  Factor

  	
   

  
	
  0

  	
   

  	
  .911

  	
   

  	
  20

  	
   

  	
  .861

  	
   

  
	
  1

  	
   

  	
  .908

  	
   

  	
  21

  	
   

  	
  .859

  	
   

  
	
  2

  	
   

  	
  .905

  	
   

  	
  22

  	
   

  	
  .858

  	
   

  
	
  3

  	
   

  	
  .902

  	
   

  	
  23

  	
   

  	
  .856

  	
   

  
	
  4

  	
   

  	
  .899

  	
   

  	
  24

  	
   

  	
  .855

  	
   

  
	
  5

  	
   

  	
  .896

  	
   

  	
  25

  	
   

  	
  .853

  	
   

  
	
  6

  	
   

  	
  .893

  	
   

  	
  26

  	
   

  	
  .852

  	
   

  
	
  7

  	
   

  	
  .890

  	
   

  	
  27

  	
   

  	
  .851

  	
   

  
	
  8

  	
   

  	
  .887

  	
   

  	
  28

  	
   

  	
  .850

  	
   

  
	
  9

  	
   

  	
  .885

  	
   

  	
  29

  	
   

  	
  .849

  	
   

  
	
  10

  	
   

  	
  .882

  	
   

  	
  30

  	
   

  	
  .848

  	
   

  
	
  11

  	
   

  	
  .880

  	
   

  	
  31

  	
   

  	
  .847

  	
   

  
	
  12

  	
   

  	
  .877

  	
   

  	
  32

  	
   

  	
  .846

  	
   

  
	
  13

  	
   

  	
  .875

  	
   

  	
  33

  	
   

  	
  .845

  	
   

  
	
  14

  	
   

  	
  .872

  	
   

  	
  34

  	
   

  	
  .844

  	
   

  
	
  15

  	
   

  	
  .870

  	
   

  	
  35

  	
   

  	
  .844

  	
   

  
	
  16

  	
   

  	
  .868

  	
   

  	
  36

  	
   

  	
  .843

  	
   

  
	
  17

  	
   

  	
  .866

  	
   

  	
  37

  	
   

  	
  .842

  	
   

  
	
  18

  	
   

  	
  .864

  	
   

  	
  28

  	
   

  	
  .842

  	
   

  
	
  19

  	
   

  	
  863

  	
   

  	
  39

  	
   

  	
  .841

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
  40

  	
   

  	
  .841

  	
   

  



 


1

















 


	
  Number Of
  Full Years

  The Spouse Or

  Contingent Annuitant

  Was Born Before

  The Primary Annuitant

  	
   

  	
  Factor

  	
   

  	
  Number Of Full Years

  The Spouse Or

  Contingent Annuitant

  Was Born Before

  The Primary Annuitant

  	
   

  	
  Factor

  	
   

  
	
  0

  	
   

  	
  .911

  	
   

  	
  20

  	
   

  	
  .973

  	
   

  
	
  1

  	
   

  	
  .915

  	
   

  	
  21

  	
   

  	
  .975

  	
   

  
	
  2

  	
   

  	
  .918

  	
   

  	
  22

  	
   

  	
  .977

  	
   

  
	
  3

  	
   

  	
  .922

  	
   

  	
  23

  	
   

  	
  .979

  	
   

  
	
  4

  	
   

  	
  .925

  	
   

  	
  24

  	
   

  	
  .981

  	
   

  
	
  5

  	
   

  	
  .928

  	
   

  	
  25

  	
   

  	
  .982

  	
   

  
	
  6

  	
   

  	
  .932

  	
   

  	
  26

  	
   

  	
  .984

  	
   

  
	
  7

  	
   

  	
  .935

  	
   

  	
  27

  	
   

  	
  .985

  	
   

  
	
  8

  	
   

  	
  .939

  	
   

  	
  28

  	
   

  	
  .986

  	
   

  
	
  9

  	
   

  	
  .942

  	
   

  	
  29

  	
   

  	
  .987

  	
   

  
	
  10

  	
   

  	
  .945

  	
   

  	
  30

  	
   

  	
  .988

  	
   

  
	
  11

  	
   

  	
  .949

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  12

  	
   

  	
  .952

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  13

  	
   

  	
  .955

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  14

  	
   

  	
  .958

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  15

  	
   

  	
  .961

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  16

  	
   

  	
  .963

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  17

  	
   

  	
  .966

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  18

  	
   

  	
  .968

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  19

  	
   

  	
  .971

  	
   

  	
   

  	
   

  	
   

  	
   

  



 


	
  Morality:

  	
   

  	
  1971
  TPF&C Forecast Mortality Table (Employee rate based on 85% male;
  Contingent Annuitant rate based on 85% female)

  
	
  Interest:

  	
   

  	
  7.5%

  
	
  Subsidy:

  	
   

  	
  Factors
  include a 50% subsidy provided by the Company

  
	
  Effective:

  	
   

  	
  January 1,
  1984

  



 


2

















 


Addendum D


MRP/RIP 50% Contingent Annuitant Factors


 


PENSIONER WHOSE RETIREMENT AGE IS:


 


	
  BENEFICIARY'S

  AGE AT

  PENSIONER'S

  RETIREMENT

  	
   

  	
  25

  	
   

  	
  26

  	
   

  	
  27

  	
   

  	
  28

  	
   

  	
  29

  	
   

  	
  30

  	
   

  	
  31

  	
   

  	
  32

  	
   

  	
  33

  	
   

  	
  34

  	
   

  	
  35

  	
   

  	
  36

  	
   

  	
  37

  	
   

  	
  38

  	
   

  	
  39

  	
   

  	
  40

  	
   

  	
  BENEFICIARY'S

  AGE AT 

  PENSIONER'S

  RETIREMENT

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  20

  	
   

  	
  .985

  	
   

  	
  .984

  	
   

  	
  .982

  	
   

  	
  .981

  	
   

  	
  .979

  	
   

  	
  .978

  	
   

  	
  .976

  	
   

  	
  .974

  	
   

  	
  .972

  	
   

  	
  .970

  	
   

  	
  .967

  	
   

  	
  .965

  	
   

  	
  .962

  	
   

  	
  .959

  	
   

  	
  .956

  	
   

  	
  .952

  	
   

  	
  20

  	
   

  
	
  21

  	
   

  	
  .985

  	
   

  	
  .984

  	
   

  	
  .983

  	
   

  	
  .981

  	
   

  	
  .980

  	
   

  	
  .978

  	
   

  	
  .976

  	
   

  	
  .974

  	
   

  	
  .972

  	
   

  	
  .970

  	
   

  	
  .968

  	
   

  	
  .965

  	
   

  	
  .962

  	
   

  	
  .959

  	
   

  	
  .956

  	
   

  	
  .952

  	
   

  	
  21

  	
   

  
	
  22

  	
   

  	
  .985

  	
   

  	
  .984

  	
   

  	
  .983

  	
   

  	
  .982

  	
   

  	
  .980

  	
   

  	
  .979

  	
   

  	
  .977

  	
   

  	
  .975

  	
   

  	
  .973

  	
   

  	
  .971

  	
   

  	
  .968

  	
   

  	
  .966

  	
   

  	
  .963

  	
   

  	
  .960

  	
   

  	
  .957

  	
   

  	
  .953

  	
   

  	
  22

  	
   

  
	
  23

  	
   

  	
  .986

  	
   

  	
  .985

  	
   

  	
  .983

  	
   

  	
  .982

  	
   

  	
  .981

  	
   

  	
  .979

  	
   

  	
  .977

  	
   

  	
  .975

  	
   

  	
  .973

  	
   

  	
  .971

  	
   

  	
  .969

  	
   

  	
  .966

  	
   

  	
  .964

  	
   

  	
  .961

  	
   

  	
  .958

  	
   

  	
  .954

  	
   

  	
  23

  	
   

  
	
  24

  	
   

  	
  .986

  	
   

  	
  .985

  	
   

  	
  .984

  	
   

  	
  .982

  	
   

  	
  .981

  	
   

  	
  .979

  	
   

  	
  .978

  	
   

  	
  .976

  	
   

  	
  .974

  	
   

  	
  .972

  	
   

  	
  .969

  	
   

  	
  .967

  	
   

  	
  .964

  	
   

  	
  .961

  	
   

  	
  .958

  	
   

  	
  .954

  	
   

  	
  24

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  25

  	
   

  	
  .987

  	
   

  	
  .985

  	
   

  	
  .984

  	
   

  	
  .983

  	
   

  	
  .981

  	
   

  	
  .980

  	
   

  	
  .978

  	
   

  	
  .976

  	
   

  	
  .974

  	
   

  	
  .972

  	
   

  	
  .970

  	
   

  	
  .968

  	
   

  	
  .965

  	
   

  	
  .962

  	
   

  	
  .959

  	
   

  	
  .955

  	
   

  	
  25

  	
   

  
	
  26

  	
   

  	
  .987

  	
   

  	
  .986

  	
   

  	
  .985

  	
   

  	
  .983

  	
   

  	
  .982

  	
   

  	
  .980

  	
   

  	
  .979

  	
   

  	
  .977

  	
   

  	
  .975

  	
   

  	
  .973

  	
   

  	
  .971

  	
   

  	
  .968

  	
   

  	
  .966

  	
   

  	
  .963

  	
   

  	
  .960

  	
   

  	
  .955

  	
   

  	
  26

  	
   

  
	
  27

  	
   

  	
  .987

  	
   

  	
  .986

  	
   

  	
  .985

  	
   

  	
  .984

  	
   

  	
  .982

  	
   

  	
  .981

  	
   

  	
  .979

  	
   

  	
  .977

  	
   

  	
  .976

  	
   

  	
  .974

  	
   

  	
  .971

  	
   

  	
  .969

  	
   

  	
  .966

  	
   

  	
  .963

  	
   

  	
  .960

  	
   

  	
  .956

  	
   

  	
  27

  	
   

  
	
  28

  	
   

  	
  .988

  	
   

  	
  .987

  	
   

  	
  .985

  	
   

  	
  .984

  	
   

  	
  .983

  	
   

  	
  .981

  	
   

  	
  .980

  	
   

  	
  .978

  	
   

  	
  .976

  	
   

  	
  .974

  	
   

  	
  .972

  	
   

  	
  .970

  	
   

  	
  .967

  	
   

  	
  .964

  	
   

  	
  .961

  	
   

  	
  .957

  	
   

  	
  28

  	
   

  
	
  29

  	
   

  	
  .988

  	
   

  	
  .987

  	
   

  	
  .986

  	
   

  	
  .985

  	
   

  	
  .983

  	
   

  	
  .982

  	
   

  	
  .980

  	
   

  	
  .979

  	
   

  	
  .977

  	
   

  	
  .975

  	
   

  	
  .973

  	
   

  	
  .970

  	
   

  	
  .968

  	
   

  	
  .965

  	
   

  	
  .962

  	
   

  	
  .957

  	
   

  	
  29

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  30

  	
   

  	
  .988

  	
   

  	
  .987

  	
   

  	
  .986

  	
   

  	
  .985

  	
   

  	
  .984

  	
   

  	
  .982

  	
   

  	
  .981

  	
   

  	
  .979

  	
   

  	
  .977

  	
   

  	
  .975

  	
   

  	
  .973

  	
   

  	
  .971

  	
   

  	
  .968

  	
   

  	
  .966

  	
   

  	
  .963

  	
   

  	
  .958

  	
   

  	
  30

  	
   

  
	
  31

  	
   

  	
  .989

  	
   

  	
  .988

  	
   

  	
  .987

  	
   

  	
  .986

  	
   

  	
  .984

  	
   

  	
  .983

  	
   

  	
  .981

  	
   

  	
  .980

  	
   

  	
  .978

  	
   

  	
  .976

  	
   

  	
  .974

  	
   

  	
  .972

  	
   

  	
  .969

  	
   

  	
  .967

  	
   

  	
  .964

  	
   

  	
  .959

  	
   

  	
  31

  	
   

  
	
  32

  	
   

  	
  .989

  	
   

  	
  .988

  	
   

  	
  .987

  	
   

  	
  .986

  	
   

  	
  .985

  	
   

  	
  .983

  	
   

  	
  .982

  	
   

  	
  .980

  	
   

  	
  .979

  	
   

  	
  .977

  	
   

  	
  .975

  	
   

  	
  .972

  	
   

  	
  .970

  	
   

  	
  .967

  	
   

  	
  .965

  	
   

  	
  .960

  	
   

  	
  32

  	
   

  
	
  33

  	
   

  	
  .989

  	
   

  	
  .989

  	
   

  	
  .988

  	
   

  	
  .986

  	
   

  	
  .985

  	
   

  	
  .984

  	
   

  	
  .983

  	
   

  	
  .981

  	
   

  	
  .979

  	
   

  	
  .977

  	
   

  	
  .975

  	
   

  	
  .973

  	
   

  	
  .971

  	
   

  	
  .968

  	
   

  	
  .965

  	
   

  	
  .960

  	
   

  	
  33

  	
   

  
	
  34

  	
   

  	
  .990

  	
   

  	
  .989

  	
   

  	
  .988

  	
   

  	
  .987

  	
   

  	
  .986

  	
   

  	
  .984

  	
   

  	
  .983

  	
   

  	
  .982

  	
   

  	
  .980

  	
   

  	
  .978

  	
   

  	
  .976

  	
   

  	
  .974

  	
   

  	
  .972

  	
   

  	
  .969

  	
   

  	
  .966

  	
   

  	
  .961

  	
   

  	
  34

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  35

  	
   

  	
  .990

  	
   

  	
  .989

  	
   

  	
  .988

  	
   

  	
  .987

  	
   

  	
  .986

  	
   

  	
  .985

  	
   

  	
  .984

  	
   

  	
  .982

  	
   

  	
  .981

  	
   

  	
  .979

  	
   

  	
  .977

  	
   

  	
  .975

  	
   

  	
  .972

  	
   

  	
  .970

  	
   

  	
  .967

  	
   

  	
  .962

  	
   

  	
  35

  	
   

  
	
  36

  	
   

  	
  .991

  	
   

  	
  .990

  	
   

  	
  .989

  	
   

  	
  .988

  	
   

  	
  .987

  	
   

  	
  .985

  	
   

  	
  .984

  	
   

  	
  .983

  	
   

  	
  .981

  	
   

  	
  .979

  	
   

  	
  .978

  	
   

  	
  .976

  	
   

  	
  .973

  	
   

  	
  .971

  	
   

  	
  .968

  	
   

  	
  .963

  	
   

  	
  36

  	
   

  
	
  37

  	
   

  	
  .991

  	
   

  	
  .990

  	
   

  	
  .989

  	
   

  	
  .988

  	
   

  	
  .987

  	
   

  	
  .986

  	
   

  	
  .985

  	
   

  	
  .983

  	
   

  	
  .982

  	
   

  	
  .980

  	
   

  	
  .978

  	
   

  	
  .976

  	
   

  	
  .974

  	
   

  	
  .972

  	
   

  	
  .969

  	
   

  	
  .964

  	
   

  	
  37

  	
   

  
	
  38

  	
   

  	
  .991

  	
   

  	
  .990

  	
   

  	
  .990

  	
   

  	
  .989

  	
   

  	
  .988

  	
   

  	
  .987

  	
   

  	
  .985

  	
   

  	
  .984

  	
   

  	
  .982

  	
   

  	
  .981

  	
   

  	
  .979

  	
   

  	
  .977

  	
   

  	
  .975

  	
   

  	
  .973

  	
   

  	
  .970

  	
   

  	
  .965

  	
   

  	
  38

  	
   

  
	
  39

  	
   

  	
  .992

  	
   

  	
  .991

  	
   

  	
  .990

  	
   

  	
  .989

  	
   

  	
  .988

  	
   

  	
  .987

  	
   

  	
  .986

  	
   

  	
  .985

  	
   

  	
  .983

  	
   

  	
  .982

  	
   

  	
  .980

  	
   

  	
  .978

  	
   

  	
  .976

  	
   

  	
  .974

  	
   

  	
  .971

  	
   

  	
  .966

  	
   

  	
  39

  	
   

  



 


1

















 


Addendum D


MRP/RIP 50% Contingent Annuitant Factors


 


PENSIONER WHOSE RETIREMENT AGE IS:


 


	
  BENEFICIARY'S

  AGE AT

  PENSIONER'S

  RETIREMENT

  	
   

  	
  25

  	
   

  	
  26

  	
   

  	
  27

  	
   

  	
  28

  	
   

  	
  29

  	
   

  	
  30

  	
   

  	
  31

  	
   

  	
  32

  	
   

  	
  33

  	
   

  	
  34

  	
   

  	
  35

  	
   

  	
  36

  	
   

  	
  37

  	
   

  	
  38

  	
   

  	
  39

  	
   

  	
  40

  	
   

  	
  BENEFICIARY'S

  AGE AT 

  PENSIONER'S

  RETIREMENT

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  40

  	
   

  	
  .992

  	
   

  	
  .991

  	
   

  	
  .990

  	
   

  	
  .990

  	
   

  	
  .989

  	
   

  	
  .988

  	
   

  	
  .986

  	
   

  	
  .985

  	
   

  	
  .984

  	
   

  	
  .982

  	
   

  	
  .981

  	
   

  	
  .979

  	
   

  	
  .977

  	
   

  	
  .974

  	
   

  	
  .972

  	
   

  	
  .967

  	
   

  	
  40

  	
   

  
	
  41

  	
   

  	
  .992

  	
   

  	
  .992

  	
   

  	
  .991

  	
   

  	
  .990

  	
   

  	
  .989

  	
   

  	
  .988

  	
   

  	
  .987

  	
   

  	
  .986

  	
   

  	
  .984

  	
   

  	
  .983

  	
   

  	
  .981

  	
   

  	
  .979

  	
   

  	
  .978

  	
   

  	
  .975

  	
   

  	
  .973

  	
   

  	
  .968

  	
   

  	
  41

  	
   

  
	
  42

  	
   

  	
  .993

  	
   

  	
  .992

  	
   

  	
  .991

  	
   

  	
  .990

  	
   

  	
  .990

  	
   

  	
  .989

  	
   

  	
  .987

  	
   

  	
  .986

  	
   

  	
  .985

  	
   

  	
  .984

  	
   

  	
  .982

  	
   

  	
  .980

  	
   

  	
  .978

  	
   

  	
  .976

  	
   

  	
  .974

  	
   

  	
  .968

  	
   

  	
  42

  	
   

  
	
  43

  	
   

  	
  .993

  	
   

  	
  .992

  	
   

  	
  .992

  	
   

  	
  .991

  	
   

  	
  .990

  	
   

  	
  .989

  	
   

  	
  .988

  	
   

  	
  .987

  	
   

  	
  .986

  	
   

  	
  .984

  	
   

  	
  .983

  	
   

  	
  .981

  	
   

  	
  .979

  	
   

  	
  .977

  	
   

  	
  .975

  	
   

  	
  .969

  	
   

  	
  43

  	
   

  
	
  44

  	
   

  	
  .993

  	
   

  	
  .993

  	
   

  	
  .992

  	
   

  	
  .991

  	
   

  	
  .990

  	
   

  	
  .990

  	
   

  	
  .989

  	
   

  	
  .987

  	
   

  	
  .986

  	
   

  	
  .985

  	
   

  	
  .983

  	
   

  	
  .982

  	
   

  	
  .980

  	
   

  	
  .978

  	
   

  	
  .976

  	
   

  	
  .970

  	
   

  	
  44

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  45

  	
   

  	
  .994

  	
   

  	
  .993

  	
   

  	
  .992

  	
   

  	
  .992

  	
   

  	
  .991

  	
   

  	
  .990

  	
   

  	
  .989

  	
   

  	
  .988

  	
   

  	
  .987

  	
   

  	
  .986

  	
   

  	
  .984

  	
   

  	
  .983

  	
   

  	
  .981

  	
   

  	
  .979

  	
   

  	
  .977

  	
   

  	
  .971

  	
   

  	
  45

  	
   

  
	
  46

  	
   

  	
  .994

  	
   

  	
  .993

  	
   

  	
  .993

  	
   

  	
  .992

  	
   

  	
  .991

  	
   

  	
  .990

  	
   

  	
  .990

  	
   

  	
  .989

  	
   

  	
  .987

  	
   

  	
  .986

  	
   

  	
  .985

  	
   

  	
  .983

  	
   

  	
  .982

  	
   

  	
  .980

  	
   

  	
  .978

  	
   

  	
  .972

  	
   

  	
  46

  	
   

  
	
  47

  	
   

  	
  .994

  	
   

  	
  .994

  	
   

  	
  .993

  	
   

  	
  .992

  	
   

  	
  .992

  	
   

  	
  .991

  	
   

  	
  .990

  	
   

  	
  .989

  	
   

  	
  .988

  	
   

  	
  .987

  	
   

  	
  .986

  	
   

  	
  .984

  	
   

  	
  .983

  	
   

  	
  .981

  	
   

  	
  .979

  	
   

  	
  .973

  	
   

  	
  47

  	
   

  
	
  48

  	
   

  	
  .994

  	
   

  	
  .994

  	
   

  	
  .993

  	
   

  	
  .993

  	
   

  	
  .992

  	
   

  	
  .991

  	
   

  	
  .991

  	
   

  	
  .990

  	
   

  	
  .989

  	
   

  	
  .987

  	
   

  	
  .986

  	
   

  	
  .985

  	
   

  	
  .983

  	
   

  	
  .982

  	
   

  	
  .980

  	
   

  	
  .974

  	
   

  	
  48

  	
   

  
	
  49

  	
   

  	
  .995

  	
   

  	
  .994

  	
   

  	
  .994

  	
   

  	
  .993

  	
   

  	
  .992

  	
   

  	
  .992

  	
   

  	
  .991

  	
   

  	
  .990

  	
   

  	
  .989

  	
   

  	
  .988

  	
   

  	
  .987

  	
   

  	
  .986

  	
   

  	
  .984

  	
   

  	
  .983

  	
   

  	
  .981

  	
   

  	
  .975

  	
   

  	
  49

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  50

  	
   

  	
  .995

  	
   

  	
  .994

  	
   

  	
  .994

  	
   

  	
  .993

  	
   

  	
  .993
  

  	
   

  	
  .992

  	
   

  	
  .991

  	
   

  	
  .991
  

  	
   

  	
  .990

  	
   

  	
  .989

  	
   

  	
  .988

  	
   

  	
  .986

  	
   

  	
  .985

  	
   

  	
  .983

  	
   

  	
  .982

  	
   

  	
  .976

  	
   

  	
  50

  	
   

  
	
  51

  	
   

  	
  .995

  	
   

  	
  .995

  	
   

  	
  .994

  	
   

  	
  .994

  	
   

  	
  .993

  	
   

  	
  .993

  	
   

  	
  .992

  	
   

  	
  .991

  	
   

  	
  .990

  	
   

  	
  .989

  	
   

  	
  .988

  	
   

  	
  .987

  	
   

  	
  .986

  	
   

  	
  .984

  	
   

  	
  .983

  	
   

  	
  .977

  	
   

  	
  51

  	
   

  
	
  52

  	
   

  	
  .995

  	
   

  	
  .995

  	
   

  	
  .995

  	
   

  	
  .994

  	
   

  	
  .994

  	
   

  	
  .993

  	
   

  	
  .992

  	
   

  	
  .992

  	
   

  	
  .991

  	
   

  	
  .990

  	
   

  	
  .989

  	
   

  	
  .988

  	
   

  	
  .986

  	
   

  	
  .985

  	
   

  	
  .983

  	
   

  	
  .978

  	
   

  	
  52

  	
   

  
	
  53

  	
   

  	
  .996

  	
   

  	
  .995

  	
   

  	
  .995

  	
   

  	
  .994

  	
   

  	
  .994

  	
   

  	
  .993
  

  	
   

  	
  .993

  	
   

  	
  .992

  	
   

  	
  .991

  	
   

  	
  .990

  	
   

  	
  .989

  	
   

  	
  .988

  	
   

  	
  .987

  	
   

  	
  .986

  	
   

  	
  .984

  	
   

  	
  .979

  	
   

  	
  53

  	
   

  
	
  54

  	
   

  	
  .996

  	
   

  	
  .996

  	
   

  	
  .995

  	
   

  	
  .995

  	
   

  	
  .994

  	
   

  	
  .994

  	
   

  	
  .993

  	
   

  	
  .992

  	
   

  	
  .992

  	
   

  	
  .991

  	
   

  	
  .990

  	
   

  	
  .989

  	
   

  	
  .988

  	
   

  	
  .986

  	
   

  	
  .985

  	
   

  	
  .980

  	
   

  	
  54

  	
   

  
	
   

  	
   

  	
  25

  	
   

  	
  26

  	
   

  	
  27

  	
   

  	
  28

  	
   

  	
  29

  	
   

  	
  30

  	
   

  	
  31

  	
   

  	
  32

  	
   

  	
  33

  	
   

  	
  34

  	
   

  	
  35

  	
   

  	
  36

  	
   

  	
  37

  	
   

  	
  38

  	
   

  	
  39

  	
   

  	
  40

  	
   

  	
   

  	
   

  



 


PENSIONER WHOSE RETIREMENT AGE IS:


 


	
  Mortality:

  	
   

  	
  1971 TPF&C
  Forecast Mortality Table (Pensioner rate based on 85% male; Beneficiary rate
  based on 85% female)

  
	
  Interest
  Rate:

  	
   

  	
  7.5%

  
	
  Effective:

  	
   

  	
  January 1,
  1984

  
	
  Prepared by:

  	
   

  	
  Towers
  Perrin

  



 


2

















 


Addendum D


MRP/RIP 50% Contingent Annuitant Factors


 


PENSIONER WHOSE RETIREMENT AGE IS:


 


	
  BENEFICIARY'S

  AGE AT

  PENSIONER'S

  RETIREMENT

  	
   

  	
  25

  	
   

  	
  26

  	
   

  	
  27

  	
   

  	
  28

  	
   

  	
  29

  	
   

  	
  30

  	
   

  	
  31

  	
   

  	
  32

  	
   

  	
  33

  	
   

  	
  34

  	
   

  	
  35

  	
   

  	
  36

  	
   

  	
  37

  	
   

  	
  38

  	
   

  	
  39

  	
   

  	
  40

  	
   

  	
  BENEFICIARY'S

  AGE AT

  PENSIONER'S

  RETIREMENT

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  55

  	
   

  	
  .996

  	
   

  	
  .996

  	
   

  	
  .995

  	
   

  	
  .995

  	
   

  	
  .995

  	
   

  	
  .994

  	
   

  	
  .994

  	
   

  	
  .993

  	
   

  	
  .992

  	
   

  	
  .991

  	
   

  	
  .991

  	
   

  	
  .990

  	
   

  	
  .988

  	
   

  	
  .987

  	
   

  	
  .986

  	
   

  	
  .981

  	
   

  	
  55

  
	
  56

  	
   

  	
  .996

  	
   

  	
  .996

  	
   

  	
  .996

  	
   

  	
  .995

  	
   

  	
  .995

  	
   

  	
  .994

  	
   

  	
  .994

  	
   

  	
  .993

  	
   

  	
  .993

  	
   

  	
  .992

  	
   

  	
  .991

  	
   

  	
  .990

  	
   

  	
  .989

  	
   

  	
  .988

  	
   

  	
  .987

  	
   

  	
  .982

  	
   

  	
  56

  
	
  57

  	
   

  	
  .997

  	
   

  	
  .996

  	
   

  	
  .996

  	
   

  	
  .996

  	
   

  	
  .995

  	
   

  	
  .995

  	
   

  	
  .994

  	
   

  	
  .994

  	
   

  	
  .993

  	
   

  	
  .992

  	
   

  	
  .992

  	
   

  	
  .991

  	
   

  	
  .990

  	
   

  	
  .989

  	
   

  	
  .987

  	
   

  	
  .983

  	
   

  	
  57

  
	
  58

  	
   

  	
  .997

  	
   

  	
  .996

  	
   

  	
  .996

  	
   

  	
  .996

  	
   

  	
  .995

  	
   

  	
  .995

  	
   

  	
  .995

  	
   

  	
  .994

  	
   

  	
  .994

  	
   

  	
  .993

  	
   

  	
  .992

  	
   

  	
  .991

  	
   

  	
  .990

  	
   

  	
  .989

  	
   

  	
  .988

  	
   

  	
  .984

  	
   

  	
  58

  
	
  59

  	
   

  	
  .997

  	
   

  	
  .997

  	
   

  	
  .996

  	
   

  	
  .996

  	
   

  	
  .996

  	
   

  	
  .995

  	
   

  	
  .995

  	
   

  	
  .994

  	
   

  	
  .994

  	
   

  	
  .993

  	
   

  	
  .993

  	
   

  	
  .992

  	
   

  	
  .991

  	
   

  	
  .990

  	
   

  	
  .989

  	
   

  	
  .985

  	
   

  	
  59

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  60

  	
   

  	
  .997

  	
   

  	
  .997

  	
   

  	
  .997

  	
   

  	
  .996

  	
   

  	
  .996

  	
   

  	
  .996

  	
   

  	
  .995

  	
   

  	
  .995

  	
   

  	
  .994

  	
   

  	
  .994

  	
   

  	
  .993

  	
   

  	
  .992

  	
   

  	
  .992

  	
   

  	
  .991

  	
   

  	
  .990

  	
   

  	
  .985

  	
   

  	
  60

  
	
  61

  	
   

  	
  .997

  	
   

  	
  .997

  	
   

  	
  .997

  	
   

  	
  .997

  	
   

  	
  .996

  	
   

  	
  .996

  	
   

  	
  .996

  	
   

  	
  .995

  	
   

  	
  .995

  	
   

  	
  .994

  	
   

  	
  .994

  	
   

  	
  .993

  	
   

  	
  .992

  	
   

  	
  .991

  	
   

  	
  .990

  	
   

  	
  .986

  	
   

  	
  61

  
	
  62

  	
   

  	
  .997

  	
   

  	
  .997

  	
   

  	
  .997

  	
   

  	
  .997

  	
   

  	
  .997

  	
   

  	
  .996

  	
   

  	
  .996

  	
   

  	
  .995

  	
   

  	
  .995

  	
   

  	
  .995

  	
   

  	
  .994

  	
   

  	
  .993

  	
   

  	
  .993

  	
   

  	
  .992

  	
   

  	
  .991

  	
   

  	
  .987

  	
   

  	
  62

  
	
  63

  	
   

  	
  .998

  	
   

  	
  .997

  	
   

  	
  .997

  	
   

  	
  .997

  	
   

  	
  .997

  	
   

  	
  .997

  	
   

  	
  .996

  	
   

  	
  .996

  	
   

  	
  .995

  	
   

  	
  .995

  	
   

  	
  .994

  	
   

  	
  .994

  	
   

  	
  .993

  	
   

  	
  .992

  	
   

  	
  .992

  	
   

  	
  .988

  	
   

  	
  63

  
	
  64

  	
   

  	
  .998

  	
   

  	
  .998

  	
   

  	
  .997

  	
   

  	
  .997

  	
   

  	
  .997

  	
   

  	
  .997

  	
   

  	
  .996

  	
   

  	
  .996

  	
   

  	
  .996

  	
   

  	
  .995

  	
   

  	
  .995

  	
   

  	
  .994

  	
   

  	
  .994

  	
   

  	
  .993

  	
   

  	
  .992

  	
   

  	
  989

  	
   

  	
  64

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  65

  	
   

  	
  .998

  	
   

  	
  .998

  	
   

  	
  .998

  	
   

  	
  .997

  	
   

  	
  .997

  	
   

  	
  .997

  	
   

  	
  .997

  	
   

  	
  .996

  	
   

  	
  .996

  	
   

  	
  .996

  	
   

  	
  .995

  	
   

  	
  .995

  	
   

  	
  .994

  	
   

  	
  .993

  	
   

  	
  .993

  	
   

  	
  .989

  	
   

  	
  65

  
	
  66

  	
   

  	
  .998

  	
   

  	
  .998

  	
   

  	
  .998

  	
   

  	
  .998

  	
   

  	
  .997

  	
   

  	
  .997

  	
   

  	
  .997

  	
   

  	
  .997

  	
   

  	
  .996

  	
   

  	
  .996

  	
   

  	
  .996

  	
   

  	
  .995

  	
   

  	
  .995

  	
   

  	
  .994

  	
   

  	
  .993

  	
   

  	
  .990

  	
   

  	
  66

  
	
  67

  	
   

  	
  .998

  	
   

  	
  .998

  	
   

  	
  .998

  	
   

  	
  .998

  	
   

  	
  .998

  	
   

  	
  .997

  	
   

  	
  .997

  	
   

  	
  .997

  	
   

  	
  .997

  	
   

  	
  .996

  	
   

  	
  .996

  	
   

  	
  .995

  	
   

  	
  .995

  	
   

  	
  .994

  	
   

  	
  .994

  	
   

  	
  .991

  	
   

  	
  67

  
	
  68

  	
   

  	
  .998

  	
   

  	
  .998

  	
   

  	
  .998

  	
   

  	
  .998

  	
   

  	
  .998

  	
   

  	
  .998

  	
   

  	
  .997

  	
   

  	
  .997

  	
   

  	
  .997

  	
   

  	
  .997

  	
   

  	
  .996

  	
   

  	
  .996

  	
   

  	
  .995

  	
   

  	
  .995

  	
   

  	
  .994

  	
   

  	
  .991

  	
   

  	
  68

  
	
  69

  	
   

  	
  .998

  	
   

  	
  .998

  	
   

  	
  .998

  	
   

  	
  .998

  	
   

  	
  .998

  	
   

  	
  .998

  	
   

  	
  .998

  	
   

  	
  .997

  	
   

  	
  .997

  	
   

  	
  .997

  	
   

  	
  .997

  	
   

  	
  .996

  	
   

  	
  .996

  	
   

  	
  .995

  	
   

  	
  .995

  	
   

  	
  .992

  	
   

  	
  69

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  70

  	
   

  	
  .999

  	
   

  	
  .998

  	
   

  	
  .998

  	
   

  	
  .998

  	
   

  	
  .998

  	
   

  	
  .998

  	
   

  	
  .998

  	
   

  	
  .998

  	
   

  	
  .997

  	
   

  	
  .997

  	
   

  	
  .997

  	
   

  	
  .996

  	
   

  	
  .996

  	
   

  	
  .996

  	
   

  	
  .995

  	
   

  	
  .992

  	
   

  	
  70

  
	
  71

  	
   

  	
  .999

  	
   

  	
  .999

  	
   

  	
  .999

  	
   

  	
  .998

  	
   

  	
  .998

  	
   

  	
  .998

  	
   

  	
  .998

  	
   

  	
  .998

  	
   

  	
  .998

  	
   

  	
  .997

  	
   

  	
  .997

  	
   

  	
  .997

  	
   

  	
  .996

  	
   

  	
  .996

  	
   

  	
  .996

  	
   

  	
  .993

  	
   

  	
  71

  
	
  72

  	
   

  	
  .999

  	
   

  	
  .999

  	
   

  	
  .999

  	
   

  	
  .999

  	
   

  	
  .998

  	
   

  	
  .998

  	
   

  	
  .998

  	
   

  	
  .998

  	
   

  	
  .998

  	
   

  	
  .998

  	
   

  	
  .997

  	
   

  	
  .997

  	
   

  	
  .997

  	
   

  	
  .996

  	
   

  	
  .996

  	
   

  	
  .994

  	
   

  	
  72

  
	
  73

  	
   

  	
  .999

  	
   

  	
  .999

  	
   

  	
  .999

  	
   

  	
  .999

  	
   

  	
  .999

  	
   

  	
  .998

  	
   

  	
  .998

  	
   

  	
  .998

  	
   

  	
  .998

  	
   

  	
  .998

  	
   

  	
  .998

  	
   

  	
  .997

  	
   

  	
  .997

  	
   

  	
  .997

  	
   

  	
  .996

  	
   

  	
  .994

  	
   

  	
  73

  
	
  74

  	
   

  	
  .999

  	
   

  	
  .999

  	
   

  	
  .999

  	
   

  	
  .999

  	
   

  	
  .999

  	
   

  	
  .999

  	
   

  	
  .998

  	
   

  	
  .998

  	
   

  	
  .998

  	
   

  	
  .998

  	
   

  	
  .998

  	
   

  	
  .997

  	
   

  	
  .997

  	
   

  	
  .997

  	
   

  	
  .997

  	
   

  	
  .995

  	
   

  	
  74

  



 


3

















 


Addendum D


MRP/RIP 50% Contingent Annuitant Factors


 


PENSIONER WHOSE RETIREMENT AGE IS:


 


	
  BENEFICIARY'S

  AGE AT

  PENSIONER'S

  RETIREMENT

  	
   

  	
  25

  	
   

  	
  26

  	
   

  	
  27

  	
   

  	
  28

  	
   

  	
  29

  	
   

  	
  30

  	
   

  	
  31

  	
   

  	
  32

  	
   

  	
  33

  	
   

  	
  34

  	
   

  	
  35

  	
   

  	
  36

  	
   

  	
  37

  	
   

  	
  38

  	
   

  	
  39

  	
   

  	
  40

  	
   

  	
  BENEFICIARY'S

  AGE AT

  PENSIONER'S

  RETIREMENT

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  75

  	
   

  	
  .999

  	
   

  	
  .999

  	
   

  	
  .999

  	
   

  	
  .999

  	
   

  	
  .999

  	
   

  	
  .999

  	
   

  	
  .999

  	
   

  	
  .998

  	
   

  	
  .998

  	
   

  	
  .998

  	
   

  	
  .998

  	
   

  	
  .998

  	
   

  	
  .997

  	
   

  	
  .997

  	
   

  	
  .997

  	
   

  	
  .995

  	
   

  	
  75

  
	
  76

  	
   

  	
  .999

  	
   

  	
  .999

  	
   

  	
  .999

  	
   

  	
  .999

  	
   

  	
  .999

  	
   

  	
  .999

  	
   

  	
  .999

  	
   

  	
  .999

  	
   

  	
  .998

  	
   

  	
  .998

  	
   

  	
  .998

  	
   

  	
  .998

  	
   

  	
  .998

  	
   

  	
  .997

  	
   

  	
  .997

  	
   

  	
  .995

  	
   

  	
  76

  
	
  77

  	
   

  	
  .999

  	
   

  	
  .999

  	
   

  	
  .999

  	
   

  	
  .999

  	
   

  	
  .999

  	
   

  	
  .999

  	
   

  	
  .999

  	
   

  	
  .999

  	
   

  	
  .999

  	
   

  	
  .998

  	
   

  	
  .998

  	
   

  	
  .998

  	
   

  	
  .998

  	
   

  	
  .998

  	
   

  	
  .997

  	
   

  	
  .996

  	
   

  	
  77

  
	
  78

  	
   

  	
  .999

  	
   

  	
  .999

  	
   

  	
  .999

  	
   

  	
  .999

  	
   

  	
  .999

  	
   

  	
  .999

  	
   

  	
  .999

  	
   

  	
  .999

  	
   

  	
  .999

  	
   

  	
  .999

  	
   

  	
  .998

  	
   

  	
  .998

  	
   

  	
  .998

  	
   

  	
  .998

  	
   

  	
  .998

  	
   

  	
  .996

  	
   

  	
  78

  
	
  79

  	
   

  	
  .999

  	
   

  	
  .999

  	
   

  	
  .999

  	
   

  	
  .999

  	
   

  	
  .999

  	
   

  	
  .999

  	
   

  	
  .999

  	
   

  	
  .999

  	
   

  	
  .999

  	
   

  	
  .999

  	
   

  	
  .999

  	
   

  	
  .998

  	
   

  	
  .998

  	
   

  	
  .998

  	
   

  	
  .998

  	
   

  	
  .996

  	
   

  	
  79

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  80

  	
   

  	
  .999

  	
   

  	
  .999

  	
   

  	
  .999

  	
   

  	
  .999

  	
   

  	
  .999

  	
   

  	
  .999

  	
   

  	
  .999

  	
   

  	
  .999

  	
   

  	
  .999

  	
   

  	
  .999

  	
   

  	
  .999

  	
   

  	
  .999

  	
   

  	
  .998

  	
   

  	
  .998

  	
   

  	
  .998

  	
   

  	
  .997

  	
   

  	
  80

  
	
  81

  	
   

  	
  .999

  	
   

  	
  .999

  	
   

  	
  .999

  	
   

  	
  .999

  	
   

  	
  .999

  	
   

  	
  .999

  	
   

  	
  .999

  	
   

  	
  .999

  	
   

  	
  .999

  	
   

  	
  .999

  	
   

  	
  .999

  	
   

  	
  .999

  	
   

  	
  .999

  	
   

  	
  .998

  	
   

  	
  .998

  	
   

  	
  .997

  	
   

  	
  81

  
	
  82

  	
   

  	
  .999

  	
   

  	
  .999

  	
   

  	
  .999

  	
   

  	
  .999

  	
   

  	
  .999

  	
   

  	
  .999

  	
   

  	
  .999

  	
   

  	
  .999

  	
   

  	
  .999

  	
   

  	
  .999

  	
   

  	
  .999

  	
   

  	
  .999

  	
   

  	
  .999

  	
   

  	
  .999

  	
   

  	
  .998

  	
   

  	
  .997

  	
   

  	
  82

  
	
  83

  	
   

  	
  .999

  	
   

  	
  .999

  	
   

  	
  .999

  	
   

  	
  .999

  	
   

  	
  .999

  	
   

  	
  .999

  	
   

  	
  .999

  	
   

  	
  .999

  	
   

  	
  .999

  	
   

  	
  .999

  	
   

  	
  .999

  	
   

  	
  .999

  	
   

  	
  .999

  	
   

  	
  .999

  	
   

  	
  .999

  	
   

  	
  .998

  	
   

  	
  83

  
	
  84

  	
   

  	
  .999

  	
   

  	
  .999

  	
   

  	
  .999

  	
   

  	
  .999

  	
   

  	
  .999

  	
   

  	
  .999

  	
   

  	
  .999

  	
   

  	
  .999

  	
   

  	
  .999

  	
   

  	
  .999

  	
   

  	
  .999

  	
   

  	
  .999

  	
   

  	
  .999

  	
   

  	
  .999

  	
   

  	
  .999

  	
   

  	
  .998

  	
   

  	
  84

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  85

  	
   

  	
  .999

  	
   

  	
  .999

  	
   

  	
  .999

  	
   

  	
  .999

  	
   

  	
  .999

  	
   

  	
  .999

  	
   

  	
  .999

  	
   

  	
  .999

  	
   

  	
  .999

  	
   

  	
  .999

  	
   

  	
  .999

  	
   

  	
  .999

  	
   

  	
  .999

  	
   

  	
  .999

  	
   

  	
  .999

  	
   

  	
  .998

  	
   

  	
  85

  
	
  86

  	
   

  	
  .999

  	
   

  	
  .999

  	
   

  	
  .999

  	
   

  	
  .999

  	
   

  	
  .999

  	
   

  	
  .999

  	
   

  	
  .999

  	
   

  	
  .999

  	
   

  	
  .999

  	
   

  	
  .999

  	
   

  	
  .999

  	
   

  	
  .999

  	
   

  	
  .999

  	
   

  	
  .999

  	
   

  	
  .999

  	
   

  	
  .998

  	
   

  	
  86

  
	
  87

  	
   

  	
  1.000

  	
   

  	
  .999

  	
   

  	
  .999

  	
   

  	
  .999

  	
   

  	
  .999

  	
   

  	
  .999

  	
   

  	
  .999

  	
   

  	
  .999

  	
   

  	
  .999

  	
   

  	
  .999

  	
   

  	
  .999

  	
   

  	
  .999

  	
   

  	
  .999

  	
   

  	
  .999

  	
   

  	
  .999

  	
   

  	
  .998

  	
   

  	
  87

  
	
  88

  	
   

  	
  1.000

  	
   

  	
  1.000

  	
   

  	
  .999

  	
   

  	
  .999

  	
   

  	
  .999

  	
   

  	
  .999

  	
   

  	
  .999

  	
   

  	
  .999

  	
   

  	
  .999

  	
   

  	
  .999

  	
   

  	
  .999

  	
   

  	
  .999

  	
   

  	
  .999

  	
   

  	
  .999

  	
   

  	
  .999

  	
   

  	
  .998

  	
   

  	
  88

  
	
  89

  	
   

  	
  1.000

  	
   

  	
  1.000

  	
   

  	
  1.000

  	
   

  	
  1.000
  

  	
   

  	
  .999

  	
   

  	
  .999

  	
   

  	
  .999

  	
   

  	
  .999

  	
   

  	
  .999

  	
   

  	
  .999

  	
   

  	
  .999

  	
   

  	
  .999

  	
   

  	
  .999

  	
   

  	
  .999

  	
   

  	
  .999

  	
   

  	
  .999

  	
   

  	
  89

  
	
   

  	
   

  	
  25

  	
   

  	
  26

  	
   

  	
  27

  	
   

  	
  28

  	
   

  	
  29

  	
   

  	
  30

  	
   

  	
  31

  	
   

  	
  32

  	
   

  	
  33

  	
   

  	
  34

  	
   

  	
  35

  	
   

  	
  36

  	
   

  	
  37

  	
   

  	
  38

  	
   

  	
  39

  	
   

  	
  40

  	
   

  	
   

  



 


PENSIONER WHOSE RETIREMENT AGE IS:


 


	
  Mortality:

  	
   

  	
  1971
  TPF&C Forecast Mortality Table (Pensioner rate based on 85% male; Beneficiary
  rate based on 85% female)

  
	
  Interest
  Rate:

  	
   

  	
  7.5%

  
	
  Effective:

  	
   

  	
  January 1,
  1984

  
	
  Prepared by:

  	
   

  	
  Towers
  Perrin

  



 


4

















 


Addendum D


MRP/RIP 50% Contingent Annuitant Factors


 


PENSIONER WHOSE RETIREMENT AGE IS:


 


	
  BENEFICIARY'S

  AGE AT

  PENSIONER'S

  RETIREMENT

  	
   

  	
  40

  	
   

  	
  41

  	
   

  	
  42

  	
   

  	
  43

  	
   

  	
  44

  	
   

  	
  45

  	
   

  	
  46

  	
   

  	
  47

  	
   

  	
  48

  	
   

  	
  49

  	
   

  	
  50

  	
   

  	
  51

  	
   

  	
  52

  	
   

  	
  53

  	
   

  	
  54

  	
   

  	
  55

  	
   

  	
  BENEFICIARY'S

  AGE AT 

  PENSIONER'S

  RETIREMENT

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  20

  	
   

  	
  .952

  	
   

  	
  .948

  	
   

  	
  .945

  	
   

  	
  .941

  	
   

  	
  .936

  	
   

  	
  .932

  	
   

  	
  .927

  	
   

  	
  .922

  	
   

  	
  .917

  	
   

  	
  .911

  	
   

  	
  .905

  	
   

  	
  .899

  	
   

  	
  .893

  	
   

  	
  .886

  	
   

  	
  .879

  	
   

  	
  .872

  	
   

  	
  20

  
	
  21

  	
   

  	
  .952

  	
   

  	
  .949

  	
   

  	
  .945

  	
   

  	
  .941

  	
   

  	
  .937

  	
   

  	
  .932

  	
   

  	
  .928

  	
   

  	
  .923

  	
   

  	
  .917

  	
   

  	
  .912

  	
   

  	
  .906

  	
   

  	
  .900

  	
   

  	
  .894

  	
   

  	
  .887

  	
   

  	
  .880

  	
   

  	
  .873

  	
   

  	
  21

  
	
  22

  	
   

  	
  .953

  	
   

  	
  .949

  	
   

  	
  .946

  	
   

  	
  .942

  	
   

  	
  .937

  	
   

  	
  .933

  	
   

  	
  .928

  	
   

  	
  .923

  	
   

  	
  .918

  	
   

  	
  .912

  	
   

  	
  .907

  	
   

  	
  .901

  	
   

  	
  .894

  	
   

  	
  .888

  	
   

  	
  .881

  	
   

  	
  .873

  	
   

  	
  22

  
	
  23

  	
   

  	
  .954

  	
   

  	
  .950

  	
   

  	
  .946

  	
   

  	
  .942

  	
   

  	
  .938

  	
   

  	
  .933

  	
   

  	
  .929

  	
   

  	
  .924

  	
   

  	
  .919

  	
   

  	
  .913

  	
   

  	
  .907

  	
   

  	
  .901

  	
   

  	
  .895

  	
   

  	
  .888

  	
   

  	
  .881

  	
   

  	
  .874

  	
   

  	
  23

  
	
  24

  	
   

  	
  .954

  	
   

  	
  .951

  	
   

  	
  .947

  	
   

  	
  .943

  	
   

  	
  .939

  	
   

  	
  .934

  	
   

  	
  .929

  	
   

  	
  .924

  	
   

  	
  .919

  	
   

  	
  .914

  	
   

  	
  .908

  	
   

  	
  .902

  	
   

  	
  .896

  	
   

  	
  .889

  	
   

  	
  .882

  	
   

  	
  .875

  	
   

  	
  24

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  25

  	
   

  	
  .955

  	
   

  	
  .951

  	
   

  	
  .947

  	
   

  	
  .943

  	
   

  	
  .939

  	
   

  	
  .935

  	
   

  	
  .930

  	
   

  	
  .925

  	
   

  	
  .920

  	
   

  	
  .914

  	
   

  	
  .909

  	
   

  	
  .903

  	
   

  	
  .896

  	
   

  	
  .890

  	
   

  	
  .883

  	
   

  	
  .876

  	
   

  	
  25

  
	
  26

  	
   

  	
  .955

  	
   

  	
  .952

  	
   

  	
  .948

  	
   

  	
  .944

  	
   

  	
  .940

  	
   

  	
  .936

  	
   

  	
  .931

  	
   

  	
  .926

  	
   

  	
  .921

  	
   

  	
  .915

  	
   

  	
  .910

  	
   

  	
  .904

  	
   

  	
  .897

  	
   

  	
  .891

  	
   

  	
  .884

  	
   

  	
  .877

  	
   

  	
  26

  
	
  27

  	
   

  	
  .956

  	
   

  	
  .953

  	
   

  	
  .949

  	
   

  	
  .945

  	
   

  	
  .941

  	
   

  	
  .936

  	
   

  	
  .932

  	
   

  	
  .927

  	
   

  	
  .922

  	
   

  	
  .916

  	
   

  	
  .910

  	
   

  	
  .904

  	
   

  	
  .898

  	
   

  	
  .892

  	
   

  	
  .885

  	
   

  	
  .878

  	
   

  	
  27

  
	
  28

  	
   

  	
  .957

  	
   

  	
  .953

  	
   

  	
  .950

  	
   

  	
  .946

  	
   

  	
  .941

  	
   

  	
  .937

  	
   

  	
  .932

  	
   

  	
  .928

  	
   

  	
  .922

  	
   

  	
  .917

  	
   

  	
  .911

  	
   

  	
  .905

  	
   

  	
  .899

  	
   

  	
  .893

  	
   

  	
  .886

  	
   

  	
  .878

  	
   

  	
  28

  
	
  29

  	
   

  	
  .957

  	
   

  	
  .954

  	
   

  	
  .950

  	
   

  	
  .946

  	
   

  	
  .942

  	
   

  	
  .938

  	
   

  	
  .933

  	
   

  	
  .928

  	
   

  	
  .923

  	
   

  	
  .918

  	
   

  	
  .912

  	
   

  	
  .906

  	
   

  	
  .900

  	
   

  	
  .894

  	
   

  	
  .887

  	
   

  	
  .879

  	
   

  	
  29

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  30

  	
   

  	
  .958

  	
   

  	
  .955

  	
   

  	
  .951

  	
   

  	
  .947

  	
   

  	
  .943

  	
   

  	
  .939

  	
   

  	
  .934

  	
   

  	
  .929

  	
   

  	
  .924

  	
   

  	
  .919

  	
   

  	
  .913

  	
   

  	
  .907

  	
   

  	
  .901

  	
   

  	
  .895

  	
   

  	
  .888

  	
   

  	
  .881

  	
   

  	
  30

  
	
  31

  	
   

  	
  .959

  	
   

  	
  .955

  	
   

  	
  .952

  	
   

  	
  .948

  	
   

  	
  .944

  	
   

  	
  .940

  	
   

  	
  .935

  	
   

  	
  .930

  	
   

  	
  .925

  	
   

  	
  .920

  	
   

  	
  .914

  	
   

  	
  .908

  	
   

  	
  .902

  	
   

  	
  .896

  	
   

  	
  .889

  	
   

  	
  .882

  	
   

  	
  31

  
	
  32

  	
   

  	
  .960

  	
   

  	
  .956

  	
   

  	
  .953

  	
   

  	
  .949

  	
   

  	
  .945

  	
   

  	
  .941

  	
   

  	
  .936

  	
   

  	
  .931

  	
   

  	
  .926

  	
   

  	
  .921

  	
   

  	
  .915

  	
   

  	
  .909

  	
   

  	
  .903

  	
   

  	
  .897

  	
   

  	
  .890

  	
   

  	
  .883

  	
   

  	
  32

  
	
  33

  	
   

  	
  .960

  	
   

  	
  .957

  	
   

  	
  .954

  	
   

  	
  .950

  	
   

  	
  .946

  	
   

  	
  .942

  	
   

  	
  .937

  	
   

  	
  .932

  	
   

  	
  .927

  	
   

  	
  .922

  	
   

  	
  .916

  	
   

  	
  .911

  	
   

  	
  .904

  	
   

  	
  .898

  	
   

  	
  .891

  	
   

  	
  .884

  	
   

  	
  33

  
	
  34

  	
   

  	
  .961

  	
   

  	
  .958

  	
   

  	
  .954

  	
   

  	
  .951

  	
   

  	
  .947

  	
   

  	
  .943

  	
   

  	
  .938

  	
   

  	
  .933

  	
   

  	
  .928

  	
   

  	
  .923

  	
   

  	
  .918

  	
   

  	
  .912

  	
   

  	
  .906

  	
   

  	
  .899

  	
   

  	
  .893

  	
   

  	
  .885

  	
   

  	
  34

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  35

  	
   

  	
  .962

  	
   

  	
  .959

  	
   

  	
  .955

  	
   

  	
  .952

  	
   

  	
  .948

  	
   

  	
  .944

  	
   

  	
  .939

  	
   

  	
  .934

  	
   

  	
  .929

  	
   

  	
  .924

  	
   

  	
  .919

  	
   

  	
  .913

  	
   

  	
  .907

  	
   

  	
  .901

  	
   

  	
  .894

  	
   

  	
  .887

  	
   

  	
  35

  
	
  36

  	
   

  	
  .963

  	
   

  	
  .960

  	
   

  	
  .956

  	
   

  	
  .953

  	
   

  	
  .949

  	
   

  	
  .945

  	
   

  	
  .940

  	
   

  	
  .936

  	
   

  	
  .931

  	
   

  	
  .926

  	
   

  	
  .920

  	
   

  	
  .914

  	
   

  	
  .908

  	
   

  	
  .902

  	
   

  	
  .895

  	
   

  	
  .888

  	
   

  	
  36

  
	
  37

  	
   

  	
  .964

  	
   

  	
  .961

  	
   

  	
  .957

  	
   

  	
  .954

  	
   

  	
  .950

  	
   

  	
  .946

  	
   

  	
  .941

  	
   

  	
  .937

  	
   

  	
  .932

  	
   

  	
  .927

  	
   

  	
  .921

  	
   

  	
  .916

  	
   

  	
  .910

  	
   

  	
  .903

  	
   

  	
  .897

  	
   

  	
  .890

  	
   

  	
  37

  
	
  38

  	
   

  	
  .965

  	
   

  	
  .962

  	
   

  	
  .958

  	
   

  	
  .955

  	
   

  	
  .951

  	
   

  	
  .947

  	
   

  	
  .943

  	
   

  	
  .938

  	
   

  	
  .933

  	
   

  	
  .928

  	
   

  	
  .923

  	
   

  	
  .917

  	
   

  	
  .911

  	
   

  	
  .905

  	
   

  	
  .898

  	
   

  	
  .891

  	
   

  	
  38

  
	
  39

  	
   

  	
  .966

  	
   

  	
  .963

  	
   

  	
  .959

  	
   

  	
  .956

  	
   

  	
  .952

  	
   

  	
  .948

  	
   

  	
  .944

  	
   

  	
  .939

  	
   

  	
  .935

  	
   

  	
  .929

  	
   

  	
  .924

  	
   

  	
  .919

  	
   

  	
  .913

  	
   

  	
  .906

  	
   

  	
  .900

  	
   

  	
  .893

  	
   

  	
  39

  



 


5

















 


Addendum D


MRP/RIP 50% Contingent Annuitant Factors


 


PENSIONER WHOSE RETIREMENT AGE IS:


 


	
  BENEFICIARY'S

  AGE AT

  PENSIONER'S

  RETIREMENT

  	
   

  	
  25

  	
   

  	
  26

  	
   

  	
  27

  	
   

  	
  28

  	
   

  	
  29

  	
   

  	
  30

  	
   

  	
  31

  	
   

  	
  32

  	
   

  	
  33

  	
   

  	
  34

  	
   

  	
  35

  	
   

  	
  36

  	
   

  	
  37

  	
   

  	
  38

  	
   

  	
  39

  	
   

  	
  40

  	
   

  	
  BENEFICIARY'S

  AGE AT 

  PENSIONER'S

  RETIREMENT

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  40

  	
   

  	
  .967

  	
   

  	
  .964

  	
   

  	
  .960

  	
   

  	
  .957

  	
   

  	
  .953

  	
   

  	
  .949

  	
   

  	
  .945

  	
   

  	
  .941

  	
   

  	
  .936

  	
   

  	
  .931

  	
   

  	
  .926

  	
   

  	
  .920

  	
   

  	
  .914

  	
   

  	
  .908

  	
   

  	
  .902

  	
   

  	
  .895

  	
   

  	
  40

  
	
  41

  	
   

  	
  .968

  	
   

  	
  .965

  	
   

  	
  .961

  	
   

  	
  .958

  	
   

  	
  .954

  	
   

  	
  .950

  	
   

  	
  .946

  	
   

  	
  .942

  	
   

  	
  .937

  	
   

  	
  .932

  	
   

  	
  .927

  	
   

  	
  .922

  	
   

  	
  .916

  	
   

  	
  .910

  	
   

  	
  .903

  	
   

  	
  .897

  	
   

  	
  41

  
	
  42

  	
   

  	
  .968

  	
   

  	
  .966

  	
   

  	
  .963

  	
   

  	
  .959

  	
   

  	
  .956

  	
   

  	
  .952

  	
   

  	
  .948

  	
   

  	
  .943

  	
   

  	
  .939

  	
   

  	
  .934

  	
   

  	
  .929

  	
   

  	
  .923

  	
   

  	
  .918

  	
   

  	
  .912

  	
   

  	
  .905

  	
   

  	
  .898

  	
   

  	
  42

  
	
  43

  	
   

  	
  .969

  	
   

  	
  .967

  	
   

  	
  .964

  	
   

  	
  .960

  	
   

  	
  .957

  	
   

  	
  .953

  	
   

  	
  .949

  	
   

  	
  .945

  	
   

  	
  .940

  	
   

  	
  .935

  	
   

  	
  .930

  	
   

  	
  .925

  	
   

  	
  .919

  	
   

  	
  .913

  	
   

  	
  .907

  	
   

  	
  .900

  	
   

  	
  43

  
	
  44

  	
   

  	
  .970

  	
   

  	
  .968

  	
   

  	
  .965

  	
   

  	
  .961

  	
   

  	
  .958

  	
   

  	
  .954

  	
   

  	
  .950

  	
   

  	
  .946

  	
   

  	
  .942

  	
   

  	
  .937

  	
   

  	
  .932

  	
   

  	
  .927

  	
   

  	
  .921

  	
   

  	
  .915

  	
   

  	
  .909

  	
   

  	
  .902

  	
   

  	
  44

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  45

  	
   

  	
  .971

  	
   

  	
  .969

  	
   

  	
  .966

  	
   

  	
  .963

  	
   

  	
  .959

  	
   

  	
  .956

  	
   

  	
  .952

  	
   

  	
  .948

  	
   

  	
  .943

  	
   

  	
  .939

  	
   

  	
  .934

  	
   

  	
  .929

  	
   

  	
  .923

  	
   

  	
  .917

  	
   

  	
  .911

  	
   

  	
  .904

  	
   

  	
  45

  
	
  46

  	
   

  	
  .972

  	
   

  	
  .970

  	
   

  	
  .967

  	
   

  	
  .964

  	
   

  	
  .961

  	
   

  	
  .957

  	
   

  	
  .953

  	
   

  	
  .949

  	
   

  	
  .945

  	
   

  	
  .940

  	
   

  	
  .935

  	
   

  	
  .930

  	
   

  	
  .925

  	
   

  	
  .919

  	
   

  	
  .913

  	
   

  	
  .907

  	
   

  	
  46

  
	
  47

  	
   

  	
  .973

  	
   

  	
  .971

  	
   

  	
  .968

  	
   

  	
  .965

  	
   

  	
  .962

  	
   

  	
  .958

  	
   

  	
  .955

  	
   

  	
  .951

  	
   

  	
  .946

  	
   

  	
  .942

  	
   

  	
  .937

  	
   

  	
  .932

  	
   

  	
  .927

  	
   

  	
  .921

  	
   

  	
  .915

  	
   

  	
  .909

  	
   

  	
  47

  
	
  48

  	
   

  	
  .974

  	
   

  	
  .972

  	
   

  	
  .969

  	
   

  	
  .966

  	
   

  	
  .963

  	
   

  	
  .960

  	
   

  	
  .956

  	
   

  	
  .952

  	
   

  	
  .948

  	
   

  	
  .944

  	
   

  	
  .939

  	
   

  	
  .934

  	
   

  	
  .929

  	
   

  	
  .923

  	
   

  	
  .917

  	
   

  	
  .911

  	
   

  	
  48

  
	
  49

  	
   

  	
  .975

  	
   

  	
  .973

  	
   

  	
  .970

  	
   

  	
  .968

  	
   

  	
  .964

  	
   

  	
  .961

  	
   

  	
  .958

  	
   

  	
  .954

  	
   

  	
  .950

  	
   

  	
  .945

  	
   

  	
  .941

  	
   

  	
  .936

  	
   

  	
  .931

  	
   

  	
  .925

  	
   

  	
  .920

  	
   

  	
  .913

  	
   

  	
  49

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  50

  	
   

  	
  .976

  	
   

  	
  .974

  	
   

  	
  .972

  	
   

  	
  .969

  	
   

  	
  .966

  	
   

  	
  .963

  	
   

  	
  .959

  	
   

  	
  .955

  	
   

  	
  .951

  	
   

  	
  .947

  	
   

  	
  .943

  	
   

  	
  .938

  	
   

  	
  .933

  	
   

  	
  .928

  	
   

  	
  .922

  	
   

  	
  .916

  	
   

  	
  50

  
	
  51

  	
   

  	
  .977

  	
   

  	
  .975

  	
   

  	
  .973

  	
   

  	
  .970

  	
   

  	
  .967

  	
   

  	
  .964

  	
   

  	
  .961

  	
   

  	
  .957

  	
   

  	
  .953

  	
   

  	
  .949

  	
   

  	
  .945

  	
   

  	
  .940

  	
   

  	
  .935

  	
   

  	
  .930

  	
   

  	
  .924

  	
   

  	
  .918

  	
   

  	
  51

  
	
  52

  	
   

  	
  .978

  	
   

  	
  .976

  	
   

  	
  .974

  	
   

  	
  .971

  	
   

  	
  .968

  	
   

  	
  .965

  	
   

  	
  .962

  	
   

  	
  .959

  	
   

  	
  .955

  	
   

  	
  .951

  	
   

  	
  .947

  	
   

  	
  .942

  	
   

  	
  .937

  	
   

  	
  .932

  	
   

  	
  .926

  	
   

  	
  .921

  	
   

  	
  52

  
	
  53

  	
   

  	
  .979

  	
   

  	
  .977

  	
   

  	
  .975

  	
   

  	
  .972

  	
   

  	
  .970

  	
   

  	
  .967

  	
   

  	
  .964

  	
   

  	
  .960

  	
   

  	
  .957

  	
   

  	
  .953

  	
   

  	
  .948

  	
   

  	
  .944

  	
   

  	
  .939

  	
   

  	
  .934

  	
   

  	
  .929

  	
   

  	
  .923

  	
   

  	
  53

  
	
  54

  	
   

  	
  .980

  	
   

  	
  .978

  	
   

  	
  .976

  	
   

  	
  .974

  	
   

  	
  .971

  	
   

  	
  .968

  	
   

  	
  .965

  	
   

  	
  .962

  	
   

  	
  .958

  	
   

  	
  .954

  	
   

  	
  .950

  	
   

  	
  .946

  	
   

  	
  .941

  	
   

  	
  .937

  	
   

  	
  .931

  	
   

  	
  .926

  	
   

  	
  54

  
	
   

  	
   

  	
  40

  	
   

  	
  41

  	
   

  	
  42

  	
   

  	
  43

  	
   

  	
  44

  	
   

  	
  45

  	
   

  	
  46

  	
   

  	
  47

  	
   

  	
  48

  	
   

  	
  49

  	
   

  	
  50

  	
   

  	
  51

  	
   

  	
  52

  	
   

  	
  53

  	
   

  	
  54

  	
   

  	
  55

  	
   

  	
   

  



 


PENSIONER WHOSE RETIREMENT AGE IS:


 


	
  Mortality:

  	
   

  	
  1971 TPF&C Forecast Mortality Table (Pensioner rate based on 85%
  male; Beneficiary rate based on 85% female)

  
	
  Interest
  Rate:

  	
   

  	
  7.5%

  
	
  Effective:

  	
   

  	
  January 1,
  1984

  
	
  Prepared by:

  	
   

  	
  Towers
  Perrin

  



 


6

















 


Addendum D


MRP/RIP 50% Contingent Annuitant Factors


 


PENSIONER WHOSE RETIREMENT AGE IS:


 


	
  BENEFICIARY'S

  AGE AT

  PENSIONER'S

  RETIREMENT

  	
   

  	
  40

  	
   

  	
  41

  	
   

  	
  42

  	
   

  	
  43

  	
   

  	
  44

  	
   

  	
  45

  	
   

  	
  46

  	
   

  	
  47

  	
   

  	
  48

  	
   

  	
  49

  	
   

  	
  50

  	
   

  	
  51

  	
   

  	
  52

  	
   

  	
  53

  	
   

  	
  54

  	
   

  	
  55

  	
   

  	
  BENEFICIARY'S

  AGE AT 

  PENSIONER'S

  RETIREMENT

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  55

  	
   

  	
  .981

  	
   

  	
  .979

  	
   

  	
  .977

  	
   

  	
  .975

  	
   

  	
  .972

  	
   

  	
  .969

  	
   

  	
  .966

  	
   

  	
  .963

  	
   

  	
  .960

  	
   

  	
  .956

  	
   

  	
  .952

  	
   

  	
  .948

  	
   

  	
  .944

  	
   

  	
  .939

  	
   

  	
  .934

  	
   

  	
  .928

  	
   

  	
  55

  
	
  56

  	
   

  	
  .982

  	
   

  	
  .980

  	
   

  	
  .978

  	
   

  	
  .976

  	
   

  	
  .973

  	
   

  	
  .971

  	
   

  	
  .968

  	
   

  	
  .965

  	
   

  	
  .962

  	
   

  	
  .958

  	
   

  	
  .954

  	
   

  	
  .950

  	
   

  	
  .946

  	
   

  	
  .941

  	
   

  	
  .936

  	
   

  	
  .931

  	
   

  	
  56

  
	
  57

  	
   

  	
  .983

  	
   

  	
  .981

  	
   

  	
  .979

  	
   

  	
  .977

  	
   

  	
  .975

  	
   

  	
  .972

  	
   

  	
  .969

  	
   

  	
  .966

  	
   

  	
  .963

  	
   

  	
  .960

  	
   

  	
  .956

  	
   

  	
  .952

  	
   

  	
  .948

  	
   

  	
  .943

  	
   

  	
  .939

  	
   

  	
  .933

  	
   

  	
  57

  
	
  58

  	
   

  	
  .984

  	
   

  	
  .982

  	
   

  	
  .980

  	
   

  	
  .978

  	
   

  	
  .976

  	
   

  	
  .973

  	
   

  	
  .971

  	
   

  	
  .968

  	
   

  	
  .965

  	
   

  	
  .962

  	
   

  	
  .958

  	
   

  	
  .954

  	
   

  	
  .950

  	
   

  	
  .946

  	
   

  	
  .941

  	
   

  	
  .936

  	
   

  	
  58

  
	
  59

  	
   

  	
  .985

  	
   

  	
  .983

  	
   

  	
  .981

  	
   

  	
  .979

  	
   

  	
  .977

  	
   

  	
  .975

  	
   

  	
  .972

  	
   

  	
  .969

  	
   

  	
  .966

  	
   

  	
  .963

  	
   

  	
  .960

  	
   

  	
  .956

  	
   

  	
  .952

  	
   

  	
  .948

  	
   

  	
  .943

  	
   

  	
  .939

  	
   

  	
  59

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  60

  	
   

  	
  .985

  	
   

  	
  .984

  	
   

  	
  .982

  	
   

  	
  .980

  	
   

  	
  .978

  	
   

  	
  .976

  	
   

  	
  .974

  	
   

  	
  .971

  	
   

  	
  .968

  	
   

  	
  .965

  	
   

  	
  .962

  	
   

  	
  .958

  	
   

  	
  .954

  	
   

  	
  .950

  	
   

  	
  .946

  	
   

  	
  .941

  	
   

  	
  60

  
	
  61

  	
   

  	
  .986

  	
   

  	
  .985

  	
   

  	
  .983

  	
   

  	
  .981

  	
   

  	
  .979

  	
   

  	
  .977

  	
   

  	
  .975

  	
   

  	
  .972

  	
   

  	
  .970

  	
   

  	
  .967

  	
   

  	
  .964

  	
   

  	
  .960

  	
   

  	
  .957

  	
   

  	
  .953

  	
   

  	
  .948

  	
   

  	
  .944

  	
   

  	
  61

  
	
  62

  	
   

  	
  .987

  	
   

  	
  .986

  	
   

  	
  .984

  	
   

  	
  .982

  	
   

  	
  .981

  	
   

  	
  .978

  	
   

  	
  .976

  	
   

  	
  .974

  	
   

  	
  .971

  	
   

  	
  .968

  	
   

  	
  .965

  	
   

  	
  .962

  	
   

  	
  .959

  	
   

  	
  .955

  	
   

  	
  .951

  	
   

  	
  .946

  	
   

  	
  62

  
	
  63

  	
   

  	
  .988

  	
   

  	
  .987

  	
   

  	
  .985

  	
   

  	
  .983

  	
   

  	
  .982

  	
   

  	
  .980

  	
   

  	
  .978

  	
   

  	
  .975

  	
   

  	
  .973

  	
   

  	
  .970

  	
   

  	
  .967

  	
   

  	
  .964

  	
   

  	
  .961

  	
   

  	
  .957

  	
   

  	
  .953
  

  	
   

  	
  .949

  	
   

  	
  63

  
	
  64

  	
   

  	
  .989

  	
   

  	
  .987

  	
   

  	
  .986

  	
   

  	
  .984

  	
   

  	
  .983

  	
   

  	
  .981

  	
   

  	
  .979

  	
   

  	
  .977

  	
   

  	
  .974

  	
   

  	
  .972

  	
   

  	
  .969

  	
   

  	
  .966

  	
   

  	
  .963

  	
   

  	
  .959

  	
   

  	
  .956

  	
   

  	
  .952

  	
   

  	
  64

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  65

  	
   

  	
  .989

  	
   

  	
  .988

  	
   

  	
  .987

  	
   

  	
  .985

  	
   

  	
  .984

  	
   

  	
  .982

  	
   

  	
  .980

  	
   

  	
  .978

  	
   

  	
  .976

  	
   

  	
  .973

  	
   

  	
  .971

  	
   

  	
  .968

  	
   

  	
  .965

  	
   

  	
  .961

  	
   

  	
  .958

  	
   

  	
  .954

  	
   

  	
  65

  
	
  66

  	
   

  	
  .990

  	
   

  	
  .989

  	
   

  	
  .988

  	
   

  	
  .986

  	
   

  	
  .985

  	
   

  	
  .983

  	
   

  	
  .981

  	
   

  	
  .979

  	
   

  	
  .977

  	
   

  	
  .975

  	
   

  	
  .972

  	
   

  	
  .970

  	
   

  	
  .967

  	
   

  	
  .964

  	
   

  	
  .960

  	
   

  	
  .957

  	
   

  	
  66

  
	
  67

  	
   

  	
  .991

  	
   

  	
  .990

  	
   

  	
  .988

  	
   

  	
  .987

  	
   

  	
  .986

  	
   

  	
  .984

  	
   

  	
  .982

  	
   

  	
  .981

  	
   

  	
  .979

  	
   

  	
  .976

  	
   

  	
  .974

  	
   

  	
  .971

  	
   

  	
  .969

  	
   

  	
  .966

  	
   

  	
  .962

  	
   

  	
  .959

  	
   

  	
  67

  
	
  68

  	
   

  	
  .991

  	
   

  	
  .990

  	
   

  	
  .989

  	
   

  	
  .988

  	
   

  	
  .987

  	
   

  	
  .985

  	
   

  	
  .984

  	
   

  	
  .982

  	
   

  	
  .980

  	
   

  	
  .978

  	
   

  	
  .976

  	
   

  	
  .973

  	
   

  	
  .971

  	
   

  	
  .968

  	
   

  	
  .965

  	
   

  	
  .961

  	
   

  	
  68

  
	
  69

  	
   

  	
  .992

  	
   

  	
  .991

  	
   

  	
  .990

  	
   

  	
  .989

  	
   

  	
  .988

  	
   

  	
  .986

  	
   

  	
  .985

  	
   

  	
  .983

  	
   

  	
  .981

  	
   

  	
  .979

  	
   

  	
  .977

  	
   

  	
  .975

  	
   

  	
  .972

  	
   

  	
  .970

  	
   

  	
  .967

  	
   

  	
  .964

  	
   

  	
  69

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  70

  	
   

  	
  .992

  	
   

  	
  .992

  	
   

  	
  .991

  	
   

  	
  .990

  	
   

  	
  .988

  	
   

  	
  .987

  	
   

  	
  .986

  	
   

  	
  .984

  	
   

  	
  .982

  	
   

  	
  .981

  	
   

  	
  .979

  	
   

  	
  .976

  	
   

  	
  .974

  	
   

  	
  .972

  	
   

  	
  .969

  	
   

  	
  .966

  	
   

  	
  70

  
	
  71

  	
   

  	
  .993

  	
   

  	
  .992

  	
   

  	
  .991

  	
   

  	
  .990

  	
   

  	
  .989

  	
   

  	
  .988

  	
   

  	
  .987

  	
   

  	
  .985

  	
   

  	
  .984

  	
   

  	
  .982

  	
   

  	
  .980

  	
   

  	
  .978

  	
   

  	
  .976

  	
   

  	
  .974

  	
   

  	
  .971

  	
   

  	
  .968

  	
   

  	
  71

  
	
  72

  	
   

  	
  .994

  	
   

  	
  .993

  	
   

  	
  .992

  	
   

  	
  .991

  	
   

  	
  .990

  	
   

  	
  .989

  	
   

  	
  .988

  	
   

  	
  .986

  	
   

  	
  .985

  	
   

  	
  .983

  	
   

  	
  .981

  	
   

  	
  .980

  	
   

  	
  .978

  	
   

  	
  .975

  	
   

  	
  .973

  	
   

  	
  .970

  	
   

  	
  72

  
	
  73

  	
   

  	
  .994

  	
   

  	
  .993

  	
   

  	
  .993

  	
   

  	
  .992

  	
   

  	
  .991

  	
   

  	
  .990

  	
   

  	
  .988

  	
   

  	
  .987

  	
   

  	
  .986

  	
   

  	
  .984

  	
   

  	
  .983

  	
   

  	
  .981

  	
   

  	
  .979

  	
   

  	
  .977

  	
   

  	
  .975

  	
   

  	
  .972

  	
   

  	
  73

  
	
  74

  	
   

  	
  .995

  	
   

  	
  .994

  	
   

  	
  .993

  	
   

  	
  .992

  	
   

  	
  .991

  	
   

  	
  .990

  	
   

  	
  .989

  	
   

  	
  .988

  	
   

  	
  .987

  	
   

  	
  .985

  	
   

  	
  .984

  	
   

  	
  .982

  	
   

  	
  .981

  	
   

  	
  .979

  	
   

  	
  .977

  	
   

  	
  .974

  	
   

  	
  74

  



 


7

















 


Addendum D


MRP/RIP 50% Contingent Annuitant Factors


 


PENSIONER WHOSE RETIREMENT AGE IS:


 


	
  BENEFICIARY'S

  AGE AT

  PENSIONER'S

  RETIREMENT

  	
   

  	
  40

  	
   

  	
  41

  	
   

  	
  42

  	
   

  	
  43

  	
   

  	
  44

  	
   

  	
  45

  	
   

  	
  46

  	
   

  	
  47

  	
   

  	
  48

  	
   

  	
  49

  	
   

  	
  50

  	
   

  	
  51

  	
   

  	
  52

  	
   

  	
  53

  	
   

  	
  54

  	
   

  	
  55

  	
   

  	
  BENEFICIARY'S

  AGE AT 

  PENSIONER'S

  RETIREMENT

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  75

  	
   

  	
  .995

  	
   

  	
  .994

  	
   

  	
  .994

  	
   

  	
  .993

  	
   

  	
  .992

  	
   

  	
  .991

  	
   

  	
  .990

  	
   

  	
  .989

  	
   

  	
  .988

  	
   

  	
  .987

  	
   

  	
  .985

  	
   

  	
  .984

  	
   

  	
  .982

  	
   

  	
  .980

  	
   

  	
  .978

  	
   

  	
  .976

  	
   

  	
  75

  
	
  76

  	
   

  	
  .995

  	
   

  	
  .995

  	
   

  	
  .994

  	
   

  	
  .993

  	
   

  	
  .993

  	
   

  	
  .992

  	
   

  	
  .991

  	
   

  	
  .990

  	
   

  	
  .989

  	
   

  	
  .988

  	
   

  	
  .986

  	
   

  	
  .985

  	
   

  	
  .983

  	
   

  	
  .982

  	
   

  	
  .980

  	
   

  	
  .978

  	
   

  	
  76

  
	
  77

  	
   

  	
  .996

  	
   

  	
  .995

  	
   

  	
  .995

  	
   

  	
  .994

  	
   

  	
  .993

  	
   

  	
  .992

  	
   

  	
  .992

  	
   

  	
  .991

  	
   

  	
  .990

  	
   

  	
  .988

  	
   

  	
  .987

  	
   

  	
  .986

  	
   

  	
  .985

  	
   

  	
  .983

  	
   

  	
  .981

  	
   

  	
  .979

  	
   

  	
  77

  
	
  78

  	
   

  	
  .996

  	
   

  	
  .996

  	
   

  	
  .995

  	
   

  	
  .994

  	
   

  	
  .994

  	
   

  	
  .993

  	
   

  	
  .992

  	
   

  	
  .991

  	
   

  	
  .990

  	
   

  	
  .989

  	
   

  	
  .988

  	
   

  	
  .987

  	
   

  	
  .986

  	
   

  	
  .984

  	
   

  	
  .983

  	
   

  	
  .981

  	
   

  	
  78

  
	
  79

  	
   

  	
  .996

  	
   

  	
  .996

  	
   

  	
  .995

  	
   

  	
  .995

  	
   

  	
  .994

  	
   

  	
  .994

  	
   

  	
  .993

  	
   

  	
  .992

  	
   

  	
  .991

  	
   

  	
  .990

  	
   

  	
  .989

  	
   

  	
  .988

  	
   

  	
  .987

  	
   

  	
  .985

  	
   

  	
  .984

  	
   

  	
  .982

  	
   

  	
  79

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  80

  	
   

  	
  .997

  	
   

  	
  .996

  	
   

  	
  .996

  	
   

  	
  .995

  	
   

  	
  .995

  	
   

  	
  .994

  	
   

  	
  .993

  	
   

  	
  .993

  	
   

  	
  .992

  	
   

  	
  .991

  	
   

  	
  .990

  	
   

  	
  .989

  	
   

  	
  .988

  	
   

  	
  .987

  	
   

  	
  .985

  	
   

  	
  .984

  	
   

  	
  80

  
	
  81

  	
   

  	
  .997

  	
   

  	
  .997

  	
   

  	
  .996

  	
   

  	
  .996

  	
   

  	
  .995

  	
   

  	
  .995

  	
   

  	
  .994

  	
   

  	
  .993

  	
   

  	
  .993

  	
   

  	
  .992

  	
   

  	
  .991

  	
   

  	
  .990

  	
   

  	
  .989

  	
   

  	
  .988

  	
   

  	
  .986

  	
   

  	
  .985

  	
   

  	
  81

  
	
  82

  	
   

  	
  .997

  	
   

  	
  .997

  	
   

  	
  .997

  	
   

  	
  .996

  	
   

  	
  .996

  	
   

  	
  .995

  	
   

  	
  .995

  	
   

  	
  .994

  	
   

  	
  .993

  	
   

  	
  .992

  	
   

  	
  .992

  	
   

  	
  .991

  	
   

  	
  .990

  	
   

  	
  .989

  	
   

  	
  .988

  	
   

  	
  .986

  	
   

  	
  82

  
	
  83

  	
   

  	
  .998

  	
   

  	
  .997

  	
   

  	
  .997

  	
   

  	
  .996

  	
   

  	
  .996

  	
   

  	
  .996

  	
   

  	
  .995

  	
   

  	
  .994

  	
   

  	
  .994

  	
   

  	
  .993

  	
   

  	
  .992

  	
   

  	
  .992

  	
   

  	
  .991

  	
   

  	
  .990

  	
   

  	
  .989

  	
   

  	
  .987

  	
   

  	
  83

  
	
  84

  	
   

  	
  .998

  	
   

  	
  .997

  	
   

  	
  .997

  	
   

  	
  .997

  	
   

  	
  .996

  	
   

  	
  .996

  	
   

  	
  .995

  	
   

  	
  .995

  	
   

  	
  .994

  	
   

  	
  .994

  	
   

  	
  .993

  	
   

  	
  .992

  	
   

  	
  .991

  	
   

  	
  .991

  	
   

  	
  .990

  	
   

  	
  .989

  	
   

  	
  84

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  85

  	
   

  	
  .998

  	
   

  	
  .998

  	
   

  	
  .997

  	
   

  	
  .997

  	
   

  	
  .997

  	
   

  	
  .996

  	
   

  	
  .996

  	
   

  	
  .995

  	
   

  	
  .995

  	
   

  	
  .994

  	
   

  	
  .994

  	
   

  	
  .993

  	
   

  	
  .992

  	
   

  	
  .991

  	
   

  	
  .990

  	
   

  	
  .990

  	
   

  	
  85

  
	
  86

  	
   

  	
  .998

  	
   

  	
  .998

  	
   

  	
  .998

  	
   

  	
  .997

  	
   

  	
  .997

  	
   

  	
  .997

  	
   

  	
  .996

  	
   

  	
  .996

  	
   

  	
  .995

  	
   

  	
  .995

  	
   

  	
  .994

  	
   

  	
  .994

  	
   

  	
  .993

  	
   

  	
  .992

  	
   

  	
  .991

  	
   

  	
  .990

  	
   

  	
  86

  
	
  87

  	
   

  	
  .998

  	
   

  	
  .998

  	
   

  	
  .998

  	
   

  	
  .998

  	
   

  	
  .997

  	
   

  	
  .997

  	
   

  	
  .997

  	
   

  	
  .996

  	
   

  	
  .996

  	
   

  	
  .995

  	
   

  	
  .995

  	
   

  	
  .994

  	
   

  	
  .993

  	
   

  	
  .993

  	
   

  	
  .992

  	
   

  	
  .991

  	
   

  	
  87

  
	
  88

  	
   

  	
  .998

  	
   

  	
  .998

  	
   

  	
  .998

  	
   

  	
  .998

  	
   

  	
  .998

  	
   

  	
  .997

  	
   

  	
  .997

  	
   

  	
  .997

  	
   

  	
  .996

  	
   

  	
  .996

  	
   

  	
  .995

  	
   

  	
  .995

  	
   

  	
  .994

  	
   

  	
  .993

  	
   

  	
  .993

  	
   

  	
  .992

  	
   

  	
  88

  
	
  89

  	
   

  	
  .999

  	
   

  	
  .998

  	
   

  	
  .998

  	
   

  	
  .998

  	
   

  	
  .998

  	
   

  	
  .997

  	
   

  	
  .997

  	
   

  	
  .997

  	
   

  	
  .996

  	
   

  	
  .996

  	
   

  	
  .996

  	
   

  	
  .995

  	
   

  	
  .995

  	
   

  	
  .994

  	
   

  	
  .993

  	
   

  	
  .993

  	
   

  	
  89

  
	
   

  	
   

  	
  40

  	
   

  	
  41

  	
   

  	
  42

  	
   

  	
  43

  	
   

  	
  44

  	
   

  	
  45

  	
   

  	
  46

  	
   

  	
  47

  	
   

  	
  48

  	
   

  	
  49

  	
   

  	
  50

  	
   

  	
  51

  	
   

  	
  52

  	
   

  	
  53

  	
   

  	
  54

  	
   

  	
  55

  	
   

  	
   

  



 


PENSIONER WHOSE RETIREMENT AGE IS:


 


	
  Mortality:

  	
   

  	
  1971
  TPF&C Forecast Mortality Table (Pensioner rate based on 85% male;
  Beneficiary rate based on 85% female)

  
	
  Interest
  Rate:

  	
   

  	
  7.5%

  
	
  Effective:

  	
   

  	
  January 1,
  1984

  
	
  Prepared by:

  	
   

  	
  Towers
  Perrin

  



 


8

















 


Addendum D


MRP/RIP 50% Contingent Annuitant Factors


 


PENSIONER WHOSE RETIREMENT AGE IS:


 


	
  BENEFICIARY'S

  AGE AT

  PENSIONER'S

  RETIREMENT

  	
   

  	
  55

  	
   

  	
  56

  	
   

  	
  57

  	
   

  	
  58

  	
   

  	
  59

  	
   

  	
  60

  	
   

  	
  61

  	
   

  	
  52

  	
   

  	
  63

  	
   

  	
  64

  	
   

  	
  65

  	
   

  	
  66

  	
   

  	
  67

  	
   

  	
  68

  	
   

  	
  69

  	
   

  	
  70

  	
   

  	
  BENEFICIARY'S

  AGE AT 

  PENSIONER'S

  RETIREMENT

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  20

  	
   

  	
  .872

  	
   

  	
  .864

  	
   

  	
  .856

  	
   

  	
  .848

  	
   

  	
  .839

  	
   

  	
  .829

  	
   

  	
  .819

  	
   

  	
  .809

  	
   

  	
  .798

  	
   

  	
  .786

  	
   

  	
  .774

  	
   

  	
  .762

  	
   

  	
  .749

  	
   

  	
  .735

  	
   

  	
  .722

  	
   

  	
  .708

  	
   

  	
  20

  
	
  21

  	
   

  	
  .873

  	
   

  	
  .865

  	
   

  	
  .857

  	
   

  	
  .849

  	
   

  	
  .839

  	
   

  	
  .830

  	
   

  	
  .820

  	
   

  	
  .810

  	
   

  	
  .799

  	
   

  	
  .787

  	
   

  	
  .775

  	
   

  	
  .762

  	
   

  	
  .749

  	
   

  	
  .736

  	
   

  	
  .722

  	
   

  	
  .708

  	
   

  	
  21

  
	
  22

  	
   

  	
  .873

  	
   

  	
  .866

  	
   

  	
  .858

  	
   

  	
  .849

  	
   

  	
  .840

  	
   

  	
  .831

  	
   

  	
  .821

  	
   

  	
  .810

  	
   

  	
  .799

  	
   

  	
  .788

  	
   

  	
  .776

  	
   

  	
  .763

  	
   

  	
  .750

  	
   

  	
  .737

  	
   

  	
  .723

  	
   

  	
  .709

  	
   

  	
  22

  
	
  23

  	
   

  	
  .874

  	
   

  	
  .867

  	
   

  	
  .858

  	
   

  	
  .850

  	
   

  	
  .841

  	
   

  	
  .831

  	
   

  	
  .821

  	
   

  	
  .811

  	
   

  	
  .800

  	
   

  	
  .788

  	
   

  	
  .776

  	
   

  	
  .764

  	
   

  	
  .751

  	
   

  	
  .737

  	
   

  	
  .724

  	
   

  	
  .710

  	
   

  	
  23

  
	
  24

  	
   

  	
  .875

  	
   

  	
  .867

  	
   

  	
  .859

  	
   

  	
  .851

  	
   

  	
  .842

  	
   

  	
  .832

  	
   

  	
  .822

  	
   

  	
  .812

  	
   

  	
  .801

  	
   

  	
  .789

  	
   

  	
  .777

  	
   

  	
  .765

  	
   

  	
  .752

  	
   

  	
  .738

  	
   

  	
  .725

  	
   

  	
  .711

  	
   

  	
  24

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  25

  	
   

  	
  .876

  	
   

  	
  .868

  	
   

  	
  .860

  	
   

  	
  .852

  	
   

  	
  .843

  	
   

  	
  .833

  	
   

  	
  .823

  	
   

  	
  .813

  	
   

  	
  .802

  	
   

  	
  .790

  	
   

  	
  .778

  	
   

  	
  .765

  	
   

  	
  .752

  	
   

  	
  .739

  	
   

  	
  .725

  	
   

  	
  .712

  	
   

  	
  25

  
	
  26

  	
   

  	
  .877

  	
   

  	
  .869

  	
   

  	
  .861

  	
   

  	
  .852

  	
   

  	
  .843

  	
   

  	
  .834

  	
   

  	
  .824

  	
   

  	
  .814

  	
   

  	
  .803

  	
   

  	
  .791

  	
   

  	
  .779

  	
   

  	
  .766

  	
   

  	
  .753

  	
   

  	
  .740

  	
   

  	
  .726

  	
   

  	
  .712

  	
   

  	
  26

  
	
  27

  	
   

  	
  .878

  	
   

  	
  .870

  	
   

  	
  .862

  	
   

  	
  .853

  	
   

  	
  .844

  	
   

  	
  .835

  	
   

  	
  .825

  	
   

  	
  .815

  	
   

  	
  .804

  	
   

  	
  .792

  	
   

  	
  .780

  	
   

  	
  .767

  	
   

  	
  .754

  	
   

  	
  .741

  	
   

  	
  .727

  	
   

  	
  .713

  	
   

  	
  27

  
	
  28

  	
   

  	
  .878

  	
   

  	
  .871

  	
   

  	
  .863

  	
   

  	
  .854

  	
   

  	
  .845

  	
   

  	
  .836

  	
   

  	
  .826

  	
   

  	
  .816

  	
   

  	
  .805

  	
   

  	
  .793

  	
   

  	
  .781

  	
   

  	
  .768

  	
   

  	
  .755
  

  	
   

  	
  .742

  	
   

  	
  .728

  	
   

  	
  .715

  	
   

  	
  28

  
	
  29

  	
   

  	
  .879

  	
   

  	
  .872

  	
   

  	
  .864
  

  	
   

  	
  .855

  	
   

  	
  .847

  	
   

  	
  .837

  	
   

  	
  .827

  	
   

  	
  .817

  	
   

  	
  .806

  	
   

  	
  .794

  	
   

  	
  .782

  	
   

  	
  .770

  	
   

  	
  .757

  	
   

  	
  .743

  	
   

  	
  .730

  	
   

  	
  .716

  	
   

  	
  29

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  30

  	
   

  	
  .881

  	
   

  	
  .873

  	
   

  	
  .865

  	
   

  	
  .857

  	
   

  	
  .848

  	
   

  	
  .838

  	
   

  	
  .828

  	
   

  	
  .818

  	
   

  	
  .807

  	
   

  	
  .795

  	
   

  	
  .783

  	
   

  	
  .771

  	
   

  	
  .758

  	
   

  	
  .744

  	
   

  	
  .731

  	
   

  	
  .717

  	
   

  	
  30

  
	
  31

  	
   

  	
  .882

  	
   

  	
  .874

  	
   

  	
  .866

  	
   

  	
  .858

  	
   

  	
  .849

  	
   

  	
  .839

  	
   

  	
  .830

  	
   

  	
  .819

  	
   

  	
  .808

  	
   

  	
  .797

  	
   

  	
  .785

  	
   

  	
  .772

  	
   

  	
  .759

  	
   

  	
  .746

  	
   

  	
  .732

  	
   

  	
  .718

  	
   

  	
  31

  
	
  32

  	
   

  	
  .883

  	
   

  	
  .875

  	
   

  	
  .867

  	
   

  	
  .859

  	
   

  	
  .850

  	
   

  	
  .841

  	
   

  	
  .831

  	
   

  	
  .820

  	
   

  	
  .810

  	
   

  	
  .798

  	
   

  	
  .786

  	
   

  	
  .773

  	
   

  	
  .760

  	
   

  	
  .747

  	
   

  	
  .733

  	
   

  	
  .719

  	
   

  	
  32

  
	
  33

  	
   

  	
  .884

  	
   

  	
  .877

  	
   

  	
  .869

  	
   

  	
  .860

  	
   

  	
  .851

  	
   

  	
  .842

  	
   

  	
  .832

  	
   

  	
  .822

  	
   

  	
  .811

  	
   

  	
  .799

  	
   

  	
  .787

  	
   

  	
  .775

  	
   

  	
  .762

  	
   

  	
  .748

  	
   

  	
  .735

  	
   

  	
  .721

  	
   

  	
  33

  
	
  34

  	
   

  	
  .885

  	
   

  	
  .878

  	
   

  	
  .870

  	
   

  	
  .862

  	
   

  	
  .853

  	
   

  	
  .844

  	
   

  	
  .834

  	
   

  	
  .823

  	
   

  	
  .812

  	
   

  	
  .801

  	
   

  	
  .789

  	
   

  	
  .776

  	
   

  	
  .763

  	
   

  	
  .750

  	
   

  	
  .736

  	
   

  	
  .722

  	
   

  	
  34

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  35

  	
   

  	
  .887

  	
   

  	
  .879

  	
   

  	
  .872

  	
   

  	
  .863

  	
   

  	
  .854

  	
   

  	
  .845

  	
   

  	
  .835

  	
   

  	
  .825

  	
   

  	
  .814

  	
   

  	
  .802

  	
   

  	
  .790

  	
   

  	
  .778

  	
   

  	
  .765

  	
   

  	
  .752

  	
   

  	
  .738

  	
   

  	
  .724

  	
   

  	
  35

  
	
  36

  	
   

  	
  .888

  	
   

  	
  .881

  	
   

  	
  .873

  	
   

  	
  .865

  	
   

  	
  .856

  	
   

  	
  .847

  	
   

  	
  .837

  	
   

  	
  .826

  	
   

  	
  .816

  	
   

  	
  .804

  	
   

  	
  .792

  	
   

  	
  .780

  	
   

  	
  .767

  	
   

  	
  .753

  	
   

  	
  .740

  	
   

  	
  .726

  	
   

  	
  36

  
	
  37

  	
   

  	
  .890

  	
   

  	
  .882

  	
   

  	
  .875

  	
   

  	
  .866

  	
   

  	
  .858

  	
   

  	
  .848

  	
   

  	
  .839

  	
   

  	
  .828

  	
   

  	
  .817

  	
   

  	
  .806

  	
   

  	
  .794

  	
   

  	
  .781

  	
   

  	
  .768

  	
   

  	
  .755

  	
   

  	
  .742

  	
   

  	
  .728

  	
   

  	
  37

  
	
  38

  	
   

  	
  .891

  	
   

  	
  .884

  	
   

  	
  .876

  	
   

  	
  .868

  	
   

  	
  .859

  	
   

  	
  .850
  

  	
   

  	
  .840

  	
   

  	
  .830

  	
   

  	
  .819

  	
   

  	
  .808

  	
   

  	
  .796

  	
   

  	
  .783

  	
   

  	
  .770

  	
   

  	
  .757

  	
   

  	
  .743

  	
   

  	
  .730

  	
   

  	
  38

  
	
  39

  	
   

  	
  .893

  	
   

  	
  .886

  	
   

  	
  .878

  	
   

  	
  .870

  	
   

  	
  .861

  	
   

  	
  .852

  	
   

  	
  .842

  	
   

  	
  .832

  	
   

  	
  .821

  	
   

  	
  .810
  

  	
   

  	
  .798

  	
   

  	
  .785

  	
   

  	
  .772

  	
   

  	
  .759

  	
   

  	
  .746

  	
   

  	
  .732

  	
   

  	
  39

  



 


9

















 


Addendum D


MRP/RIP 50% Contingent Annuitant Factors


 


PENSIONER WHOSE RETIREMENT AGE IS:


 


	
  BENEFICIARY'S

  AGE AT

  PENSIONER'S

  RETIREMENT

  	
   

  	
  55

  	
   

  	
  56

  	
   

  	
  57

  	
   

  	
  58

  	
   

  	
  59

  	
   

  	
  60

  	
   

  	
  61

  	
   

  	
  52

  	
   

  	
  63

  	
   

  	
  64

  	
   

  	
  65

  	
   

  	
  66

  	
   

  	
  67

  	
   

  	
  68

  	
   

  	
  69

  	
   

  	
  70

  	
   

  	
  BENEFICIARY'S

  AGE AT 

  PENSIONER'S

  RETIREMENT

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  40

  	
   

  	
  .895

  	
   

  	
  .888

  	
   

  	
  .880

  	
   

  	
  .872

  	
   

  	
  .863

  	
   

  	
  .854

  	
   

  	
  .844

  	
   

  	
  .834

  	
   

  	
  .823

  	
   

  	
  .812

  	
   

  	
  .800

  	
   

  	
  .787

  	
   

  	
  .775

  	
   

  	
  .761

  	
   

  	
  .748

  	
   

  	
  .734

  	
   

  	
  40

  
	
  41

  	
   

  	
  .897

  	
   

  	
  .889

  	
   

  	
  .882

  	
   

  	
  .874

  	
   

  	
  .865

  	
   

  	
  .856

  	
   

  	
  .846

  	
   

  	
  .836

  	
   

  	
  .825

  	
   

  	
  .814

  	
   

  	
  .802

  	
   

  	
  .790

  	
   

  	
  .777

  	
   

  	
  .764

  	
   

  	
  .750

  	
   

  	
  .736

  	
   

  	
  41

  
	
  42

  	
   

  	
  .898

  	
   

  	
  .891

  	
   

  	
  .884

  	
   

  	
  .876

  	
   

  	
  .867

  	
   

  	
  .858

  	
   

  	
  .848

  	
   

  	
  .838

  	
   

  	
  .828

  	
   

  	
  .816

  	
   

  	
  .804

  	
   

  	
  .792

  	
   

  	
  .779

  	
   

  	
  .766

  	
   

  	
  .752

  	
   

  	
  .739

  	
   

  	
  42

  
	
  43

  	
   

  	
  .900

  	
   

  	
  .893

  	
   

  	
  .886

  	
   

  	
  .878

  	
   

  	
  .869

  	
   

  	
  .860

  	
   

  	
  .851

  	
   

  	
  .841

  	
   

  	
  .830

  	
   

  	
  .819

  	
   

  	
  .807

  	
   

  	
  .794

  	
   

  	
  .782

  	
   

  	
  .769

  	
   

  	
  .755

  	
   

  	
  .741

  	
   

  	
  43

  
	
  44

  	
   

  	
  .902

  	
   

  	
  .895

  	
   

  	
  .888

  	
   

  	
  .880

  	
   

  	
  .872

  	
   

  	
  .863

  	
   

  	
  .853

  	
   

  	
  .843

  	
   

  	
  .832

  	
   

  	
  .821

  	
   

  	
  .809

  	
   

  	
  .797

  	
   

  	
  .784

  	
   

  	
  .771

  	
   

  	
  .758

  	
   

  	
  .744

  	
   

  	
  44

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  45

  	
   

  	
  .904

  	
   

  	
  .897

  	
   

  	
  .890

  	
   

  	
  .882

  	
   

  	
  .874

  	
   

  	
  .865

  	
   

  	
  .856

  	
   

  	
  .846

  	
   

  	
  .835

  	
   

  	
  .824

  	
   

  	
  .812

  	
   

  	
  .800

  	
   

  	
  .787

  	
   

  	
  .774

  	
   

  	
  .761

  	
   

  	
  .747

  	
   

  	
  45

  
	
  46

  	
   

  	
  .907

  	
   

  	
  .900

  	
   

  	
  .892

  	
   

  	
  .885

  	
   

  	
  .876

  	
   

  	
  .867

  	
   

  	
  .858

  	
   

  	
  .848

  	
   

  	
  .838

  	
   

  	
  .827

  	
   

  	
  .815

  	
   

  	
  .803

  	
   

  	
  .790

  	
   

  	
  .777

  	
   

  	
  .763

  	
   

  	
  .750

  	
   

  	
  46

  
	
  47

  	
   

  	
  .909

  	
   

  	
  .902

  	
   

  	
  .895

  	
   

  	
  .887

  	
   

  	
  .879

  	
   

  	
  .870

  	
   

  	
  .861

  	
   

  	
  .851

  	
   

  	
  .841

  	
   

  	
  .829

  	
   

  	
  .818

  	
   

  	
  .806

  	
   

  	
  .793

  	
   

  	
  .780

  	
   

  	
  .767

  	
   

  	
  .753

  	
   

  	
  47

  
	
  48

  	
   

  	
  .911

  	
   

  	
  .904

  	
   

  	
  .897

  	
   

  	
  .890

  	
   

  	
  .881

  	
   

  	
  .873

  	
   

  	
  .864
  

  	
   

  	
  .854

  	
   

  	
  .843

  	
   

  	
  .832

  	
   

  	
  .821

  	
   

  	
  .809

  	
   

  	
  .796

  	
   

  	
  .783

  	
   

  	
  .770

  	
   

  	
  .756

  	
   

  	
  48

  
	
  49

  	
   

  	
  .913

  	
   

  	
  .907

  	
   

  	
  .900

  	
   

  	
  .892

  	
   

  	
  .884

  	
   

  	
  .876

  	
   

  	
  .866

  	
   

  	
  .857

  	
   

  	
  .847

  	
   

  	
  .836

  	
   

  	
  .824

  	
   

  	
  .812

  	
   

  	
  .800

  	
   

  	
  .787

  	
   

  	
  .773

  	
   

  	
  .760

  	
   

  	
  49

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  50

  	
   

  	
  .916

  	
   

  	
  .909

  	
   

  	
  .902

  	
   

  	
  .895

  	
   

  	
  .887

  	
   

  	
  .878

  	
   

  	
  .869

  	
   

  	
  .860

  	
   

  	
  .850

  	
   

  	
  .839

  	
   

  	
  .827

  	
   

  	
  .815

  	
   

  	
  .803

  	
   

  	
  .790

  	
   

  	
  .777

  	
   

  	
  .763

  	
   

  	
  50

  
	
  51

  	
   

  	
  .918

  	
   

  	
  .912

  	
   

  	
  .905

  	
   

  	
  .898

  	
   

  	
  .890

  	
   

  	
  .881

  	
   

  	
  .872

  	
   

  	
  .863

  	
   

  	
  .853

  	
   

  	
  .842

  	
   

  	
  .831

  	
   

  	
  .819

  	
   

  	
  .807

  	
   

  	
  .794

  	
   

  	
  .781

  	
   

  	
  .767

  	
   

  	
  51

  
	
  52

  	
   

  	
  .921

  	
   

  	
  .914

  	
   

  	
  .908

  	
   

  	
  .900

  	
   

  	
  .893

  	
   

  	
  .884

  	
   

  	
  .876

  	
   

  	
  .866

  	
   

  	
  .856

  	
   

  	
  .846

  	
   

  	
  .834

  	
   

  	
  .823

  	
   

  	
  .810

  	
   

  	
  .798

  	
   

  	
  .784

  	
   

  	
  .771

  	
   

  	
  52

  
	
  53

  	
   

  	
  .923

  	
   

  	
  .917

  	
   

  	
  .910

  	
   

  	
  .903

  	
   

  	
  .896

  	
   

  	
  .888

  	
   

  	
  .879

  	
   

  	
  .870

  	
   

  	
  .860

  	
   

  	
  .849

  	
   

  	
  .838

  	
   

  	
  .826

  	
   

  	
  .814

  	
   

  	
  .801

  	
   

  	
  .788

  	
   

  	
  .775

  	
   

  	
  53

  
	
  54

  	
   

  	
  .926

  	
   

  	
  .920

  	
   

  	
  .913

  	
   

  	
  .906

  	
   

  	
  .899

  	
   

  	
  .891

  	
   

  	
  .882

  	
   

  	
  .873

  	
   

  	
  .863

  	
   

  	
  .853

  	
   

  	
  .842

  	
   

  	
  .830

  	
   

  	
  .818

  	
   

  	
  .806

  	
   

  	
  .793

  	
   

  	
  .779

  	
   

  	
  54

  
	
   

  	
   

  	
  55

  	
   

  	
  56

  	
   

  	
  57

  	
   

  	
  58

  	
   

  	
  59

  	
   

  	
  60

  	
   

  	
  61

  	
   

  	
  52

  	
   

  	
  63

  	
   

  	
  64

  	
   

  	
  65

  	
   

  	
  66

  	
   

  	
  67

  	
   

  	
  68

  	
   

  	
  69

  	
   

  	
  70

  	
   

  	
   

  



 


PENSIONER WHOSE RETIREMENT AGE IS:


 


	
  Mortality:

  	
   

  	
  1971
  TPF&C Forecast Mortality Table (Pensioner rate based on 85% male;
  Beneficiary rate based on 85% female)

  
	
  Interest
  Rate:

  	
   

  	
  7.5%

  
	
  Effective:

  	
   

  	
  January 1,
  1984

  
	
  Prepared by:

  	
   

  	
  Towers
  Perrin

  



 


10

















 


Addendum D


MRP/RIP 50% Contingent Annuitant Factors


 


PENSIONER WHOSE RETIREMENT AGE IS:


 


	
  BENEFICIARY'S

  AGE AT

  PENSIONER'S

  RETIREMENT

  	
   

  	
  55

  	
   

  	
  56

  	
   

  	
  57

  	
   

  	
  58

  	
   

  	
  59

  	
   

  	
  60

  	
   

  	
  61

  	
   

  	
  52

  	
   

  	
  63

  	
   

  	
  64

  	
   

  	
  65

  	
   

  	
  66

  	
   

  	
  67

  	
   

  	
  68

  	
   

  	
  69

  	
   

  	
  70

  	
   

  	
  BENEFICIARY'S

  AGE AT 

  PENSIONER'S

  RETIREMENT

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  55

  	
   

  	
  .928

  	
   

  	
  .922

  	
   

  	
  .916

  	
   

  	
  .909

  	
   

  	
  .902

  	
   

  	
  .894

  	
   

  	
  .885

  	
   

  	
  .876

  	
   

  	
  .867

  	
   

  	
  .857

  	
   

  	
  .846

  	
   

  	
  .834

  	
   

  	
  .822

  	
   

  	
  .810

  	
   

  	
  .797

  	
   

  	
  .784

  	
   

  	
  55

  
	
  56

  	
   

  	
  .931

  	
   

  	
  .925

  	
   

  	
  .919

  	
   

  	
  .912

  	
   

  	
  .905

  	
   

  	
  .897

  	
   

  	
  .889

  	
   

  	
  .880

  	
   

  	
  .871

  	
   

  	
  .860

  	
   

  	
  .850

  	
   

  	
  .838

  	
   

  	
  .826

  	
   

  	
  .814

  	
   

  	
  .801

  	
   

  	
  .788

  	
   

  	
  56

  
	
  57

  	
   

  	
  .933

  	
   

  	
  .928

  	
   

  	
  .922

  	
   

  	
  .915

  	
   

  	
  .908

  	
   

  	
  .901

  	
   

  	
  .892

  	
   

  	
  .884

  	
   

  	
  .874

  	
   

  	
  .864

  	
   

  	
  .854

  	
   

  	
  .842

  	
   

  	
  .831

  	
   

  	
  .819

  	
   

  	
  .806

  	
   

  	
  .793

  	
   

  	
  57

  
	
  58

  	
   

  	
  .936

  	
   

  	
  .931

  	
   

  	
  .925

  	
   

  	
  .918

  	
   

  	
  .911

  	
   

  	
  .904

  	
   

  	
  .896

  	
   

  	
  .887

  	
   

  	
  .878

  	
   

  	
  .868

  	
   

  	
  .858

  	
   

  	
  .847

  	
   

  	
  .835

  	
   

  	
  .823

  	
   

  	
  .811

  	
   

  	
  .798

  	
   

  	
  58

  
	
  59

  	
   

  	
  .939

  	
   

  	
  .933

  	
   

  	
  .928

  	
   

  	
  .921

  	
   

  	
  .915

  	
   

  	
  .907

  	
   

  	
  .900

  	
   

  	
  .891

  	
   

  	
  .882
  

  	
   

  	
  .873

  	
   

  	
  .862

  	
   

  	
  .851

  	
   

  	
  .840

  	
   

  	
  .828

  	
   

  	
  .816

  	
   

  	
  .803

  	
   

  	
  59

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  60

  	
   

  	
  .941

  	
   

  	
  .936

  	
   

  	
  .931

  	
   

  	
  .924

  	
   

  	
  .918

  	
   

  	
  .911

  	
   

  	
  .903

  	
   

  	
  .895

  	
   

  	
  .886

  	
   

  	
  .877

  	
   

  	
  .867

  	
   

  	
  .856

  	
   

  	
  .845

  	
   

  	
  .833

  	
   

  	
  .821

  	
   

  	
  .808

  	
   

  	
  60

  
	
  61

  	
   

  	
  .944

  	
   

  	
  .939

  	
   

  	
  .933
  

  	
   

  	
  .928

  	
   

  	
  .921

  	
   

  	
  .914

  	
   

  	
  .907

  	
   

  	
  .899

  	
   

  	
  .890

  	
   

  	
  .881

  	
   

  	
  .871

  	
   

  	
  .860

  	
   

  	
  .849

  	
   

  	
  .838

  	
   

  	
  .826

  	
   

  	
  .813

  	
   

  	
  61

  
	
  62

  	
   

  	
  .946

  	
   

  	
  .942

  	
   

  	
  .936

  	
   

  	
  .931

  	
   

  	
  .925
  

  	
   

  	
  .918

  	
   

  	
  .911

  	
   

  	
  .903

  	
   

  	
  .894

  	
   

  	
  .885

  	
   

  	
  .876

  	
   

  	
  .865

  	
   

  	
  .854

  	
   

  	
  .843

  	
   

  	
  .831

  	
   

  	
  .819

  	
   

  	
  62

  
	
  63

  	
   

  	
  .949

  	
   

  	
  .944

  	
   

  	
  .939

  	
   

  	
  .934

  	
   

  	
  .928

  	
   

  	
  .921

  	
   

  	
  .914

  	
   

  	
  .907

  	
   

  	
  .899

  	
   

  	
  .890

  	
   

  	
  .880

  	
   

  	
  .870

  	
   

  	
  .859

  	
   

  	
  .848

  	
   

  	
  .836

  	
   

  	
  .824

  	
   

  	
  63

  
	
  64

  	
   

  	
  .952

  	
   

  	
  .947

  	
   

  	
  .942

  	
   

  	
  .937

  	
   

  	
  .931

  	
   

  	
  .925

  	
   

  	
  .918

  	
   

  	
  .911

  	
   

  	
  .903

  	
   

  	
  .894

  	
   

  	
  .885

  	
   

  	
  .875

  	
   

  	
  .864

  	
   

  	
  .854

  	
   

  	
  .842

  	
   

  	
  .830

  	
   

  	
  64

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  65

  	
   

  	
  .954

  	
   

  	
  .950

  	
   

  	
  .945

  	
   

  	
  .940

  	
   

  	
  .935

  	
   

  	
  .929

  	
   

  	
  .922

  	
   

  	
  .915

  	
   

  	
  .907

  	
   

  	
  .899

  	
   

  	
  .890

  	
   

  	
  .880

  	
   

  	
  .870

  	
   

  	
  .859

  	
   

  	
  .848

  	
   

  	
  .836

  	
   

  	
  65

  
	
  66

  	
   

  	
  .957

  	
   

  	
  .953

  	
   

  	
  .948

  	
   

  	
  .943

  	
   

  	
  .938

  	
   

  	
  .932

  	
   

  	
  .926

  	
   

  	
  .919

  	
   

  	
  .911

  	
   

  	
  .903

  	
   

  	
  .894

  	
   

  	
  .885

  	
   

  	
  .875

  	
   

  	
  .865

  	
   

  	
  .854

  	
   

  	
  .842

  	
   

  	
  66

  
	
  67

  	
   

  	
  .959

  	
   

  	
  .955

  	
   

  	
  .951

  	
   

  	
  .946

  	
   

  	
  .941

  	
   

  	
  .936

  	
   

  	
  .930

  	
   

  	
  .923

  	
   

  	
  .916

  	
   

  	
  .908

  	
   

  	
  .899

  	
   

  	
  .890

  	
   

  	
  .880

  	
   

  	
  .870

  	
   

  	
  .859

  	
   

  	
  .848

  	
   

  	
  67

  
	
  68

  	
   

  	
  .961

  	
   

  	
  .958

  	
   

  	
  .954

  	
   

  	
  .949

  	
   

  	
  .944

  	
   

  	
  .939

  	
   

  	
  .933

  	
   

  	
  .927

  	
   

  	
  .920

  	
   

  	
  .912

  	
   

  	
  .904

  	
   

  	
  .895

  	
   

  	
  .886

  	
   

  	
  .876

  	
   

  	
  .865

  	
   

  	
  .854

  	
   

  	
  68

  
	
  69

  	
   

  	
  .964

  	
   

  	
  .960

  	
   

  	
  .956

  	
   

  	
  .952

  	
   

  	
  .948

  	
   

  	
  .943

  	
   

  	
  .937

  	
   

  	
  .931

  	
   

  	
  .924

  	
   

  	
  .917

  	
   

  	
  .909

  	
   

  	
  .900

  	
   

  	
  .891

  	
   

  	
  .881

  	
   

  	
  .871

  	
   

  	
  .861

  	
   

  	
  69

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  70

  	
   

  	
  .966

  	
   

  	
  .963

  	
   

  	
  .959

  	
   

  	
  .955

  	
   

  	
  .951

  	
   

  	
  .946

  	
   

  	
  .941

  	
   

  	
  .935

  	
   

  	
  .928

  	
   

  	
  .921

  	
   

  	
  .914

  	
   

  	
  .905

  	
   

  	
  .896

  	
   

  	
  .887

  	
   

  	
  .877

  	
   

  	
  .867

  	
   

  	
  70

  
	
  71

  	
   

  	
  .968

  	
   

  	
  .965

  	
   

  	
  .962

  	
   

  	
  .958

  	
   

  	
  .954

  	
   

  	
  .949

  	
   

  	
  .944

  	
   

  	
  .939

  	
   

  	
  .932

  	
   

  	
  .926

  	
   

  	
  .918

  	
   

  	
  .910

  	
   

  	
  .902

  	
   

  	
  .893

  	
   

  	
  .883

  	
   

  	
  .873

  	
   

  	
  71

  
	
  72

  	
   

  	
  .970

  	
   

  	
  .967

  	
   

  	
  .964

  	
   

  	
  .961

  	
   

  	
  .957

  	
   

  	
  .952

  	
   

  	
  .948

  	
   

  	
  .942

  	
   

  	
  .936

  	
   

  	
  .930

  	
   

  	
  .923

  	
   

  	
  .915

  	
   

  	
  .907

  	
   

  	
  .898

  	
   

  	
  .889

  	
   

  	
  .879

  	
   

  	
  72

  
	
  73

  	
   

  	
  .972

  	
   

  	
  .970

  	
   

  	
  .967

  	
   

  	
  .963

  	
   

  	
  .959

  	
   

  	
  .955

  	
   

  	
  .951

  	
   

  	
  .946

  	
   

  	
  .940

  	
   

  	
  .934

  	
   

  	
  .927

  	
   

  	
  .920

  	
   

  	
  .912

  	
   

  	
  .904

  	
   

  	
  .895

  	
   

  	
  .886

  	
   

  	
  73

  
	
  74

  	
   

  	
  .974

  	
   

  	
  .972

  	
   

  	
  .969

  	
   

  	
  .966

  	
   

  	
  .962

  	
   

  	
  .958

  	
   

  	
  .954

  	
   

  	
  .949

  	
   

  	
  .944

  	
   

  	
  .938

  	
   

  	
  .932

  	
   

  	
  .925

  	
   

  	
  .917

  	
   

  	
  .909

  	
   

  	
  .901

  	
   

  	
  .892

  	
   

  	
  74

  



 


11

















 


Addendum D


MRP/RIP 50% Contingent Annuitant Factors


 


PENSIONER WHOSE RETIREMENT AGE IS:


 


	
  BENEFICIARY'S

  AGE AT

  PENSIONER'S

  RETIREMENT

  	
   

  	
  55

  	
   

  	
  56

  	
   

  	
  57

  	
   

  	
  58

  	
   

  	
  59

  	
   

  	
  60

  	
   

  	
  61

  	
   

  	
  52

  	
   

  	
  63

  	
   

  	
  64

  	
   

  	
  65

  	
   

  	
  66

  	
   

  	
  67

  	
   

  	
  68

  	
   

  	
  69

  	
   

  	
  70

  	
   

  	
  BENEFICIARY'S

  AGE AT 

  PENSIONER'S

  RETIREMENT

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  75

  	
   

  	
  .976

  	
   

  	
  .974

  	
   

  	
  .971

  	
   

  	
  .968

  	
   

  	
  .965

  	
   

  	
  .961

  	
   

  	
  .957
  

  	
   

  	
  .953

  	
   

  	
  .948

  	
   

  	
  .942

  	
   

  	
  .936

  	
   

  	
  .929

  	
   

  	
  .922

  	
   

  	
  .915

  	
   

  	
  .906

  	
   

  	
  .898

  	
   

  	
  75

  
	
  76

  	
   

  	
  .978

  	
   

  	
  .976

  	
   

  	
  .973

  	
   

  	
  .970

  	
   

  	
  .967

  	
   

  	
  .964

  	
   

  	
  .960

  	
   

  	
  .956

  	
   

  	
  .951

  	
   

  	
  .946

  	
   

  	
  .940

  	
   

  	
  .934

  	
   

  	
  .927

  	
   

  	
  .920

  	
   

  	
  .912

  	
   

  	
  .904

  	
   

  	
  76

  
	
  77

  	
   

  	
  .979

  	
   

  	
  .977

  	
   

  	
  .975

  	
   

  	
  .973

  	
   

  	
  .970

  	
   

  	
  .966

  	
   

  	
  .963

  	
   

  	
  .959

  	
   

  	
  .954

  	
   

  	
  .950

  	
   

  	
  .944

  	
   

  	
  .938

  	
   

  	
  .932

  	
   

  	
  .925

  	
   

  	
  .917

  	
   

  	
  .909

  	
   

  	
  77

  
	
  78

  	
   

  	
  .981

  	
   

  	
  .979

  	
   

  	
  .977

  	
   

  	
  .975

  	
   

  	
  .972

  	
   

  	
  .969

  	
   

  	
  .966

  	
   

  	
  .962

  	
   

  	
  .958

  	
   

  	
  .953

  	
   

  	
  .948

  	
   

  	
  .942

  	
   

  	
  .936

  	
   

  	
  .929

  	
   

  	
  .922

  	
   

  	
  .915

  	
   

  	
  78

  
	
  79

  	
   

  	
  .982

  	
   

  	
  .981

  	
   

  	
  .979

  	
   

  	
  .976

  	
   

  	
  .974

  	
   

  	
  .971

  	
   

  	
  .968

  	
   

  	
  .965

  	
   

  	
  .961

  	
   

  	
  .956

  	
   

  	
  .951

  	
   

  	
  .946

  	
   

  	
  .940

  	
   

  	
  .934

  	
   

  	
  .927

  	
   

  	
  .920

  	
   

  	
  79

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  80

  	
   

  	
  .984

  	
   

  	
  .982

  	
   

  	
  .980

  	
   

  	
  .978

  	
   

  	
  .976

  	
   

  	
  .973

  	
   

  	
  .971

  	
   

  	
  .967

  	
   

  	
  .964

  	
   

  	
  .960

  	
   

  	
  .955

  	
   

  	
  .950

  	
   

  	
  .944

  	
   

  	
  .938

  	
   

  	
  .932

  	
   

  	
  .925

  	
   

  	
  80

  
	
  81

  	
   

  	
  .985

  	
   

  	
  .984

  	
   

  	
  .982

  	
   

  	
  .980

  	
   

  	
  .978

  	
   

  	
  .975

  	
   

  	
  .973

  	
   

  	
  .970

  	
   

  	
  .966

  	
   

  	
  .963

  	
   

  	
  .958

  	
   

  	
  .954

  	
   

  	
  .948

  	
   

  	
  .943

  	
   

  	
  .937

  	
   

  	
  .930

  	
   

  	
  81

  
	
  82

  	
   

  	
  .986

  	
   

  	
  .985

  	
   

  	
  .983

  	
   

  	
  .982

  	
   

  	
  .980

  	
   

  	
  .977

  	
   

  	
  .975

  	
   

  	
  .972

  	
   

  	
  .969

  	
   

  	
  .965

  	
   

  	
  .961

  	
   

  	
  .957

  	
   

  	
  .952

  	
   

  	
  .947

  	
   

  	
  .941

  	
   

  	
  .935

  	
   

  	
  82

  
	
  83

  	
   

  	
  .987

  	
   

  	
  .986

  	
   

  	
  .985

  	
   

  	
  .983

  	
   

  	
  .981

  	
   

  	
  .979

  	
   

  	
  .977

  	
   

  	
  .974

  	
   

  	
  .972

  	
   

  	
  .968
  

  	
   

  	
  .965

  	
   

  	
  .960

  	
   

  	
  .956

  	
   

  	
  .951

  	
   

  	
  .946

  	
   

  	
  .940

  	
   

  	
  83

  
	
  84

  	
   

  	
  .989

  	
   

  	
  .987

  	
   

  	
  .986

  	
   

  	
  .985

  	
   

  	
  .983

  	
   

  	
  .981

  	
   

  	
  .979

  	
   

  	
  .977

  	
   

  	
  .974

  	
   

  	
  .971

  	
   

  	
  .967

  	
   

  	
  .963

  	
   

  	
  .959

  	
   

  	
  .955

  	
   

  	
  .950

  	
   

  	
  .944

  	
   

  	
  84

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  85

  	
   

  	
  .990

  	
   

  	
  .988

  	
   

  	
  .987

  	
   

  	
  .986

  	
   

  	
  .984

  	
   

  	
  .983

  	
   

  	
  .981

  	
   

  	
  .979

  	
   

  	
  .976

  	
   

  	
  .973

  	
   

  	
  .970

  	
   

  	
  .966

  	
   

  	
  .962

  	
   

  	
  .958

  	
   

  	
  .954

  	
   

  	
  .949

  	
   

  	
  85

  
	
  86

  	
   

  	
  .990

  	
   

  	
  .989

  	
   

  	
  .988

  	
   

  	
  .987

  	
   

  	
  .986

  	
   

  	
  .984

  	
   

  	
  .982

  	
   

  	
  .980

  	
   

  	
  .978

  	
   

  	
  .975

  	
   

  	
  .972

  	
   

  	
  .969

  	
   

  	
  .965

  	
   

  	
  .961

  	
   

  	
  .957

  	
   

  	
  .952

  	
   

  	
  86

  
	
  87

  	
   

  	
  .991

  	
   

  	
  .990

  	
   

  	
  .989

  	
   

  	
  .988

  	
   

  	
  .987

  	
   

  	
  .986

  	
   

  	
  .984

  	
   

  	
  .982

  	
   

  	
  .980

  	
   

  	
  .977

  	
   

  	
  .975

  	
   

  	
  .972

  	
   

  	
  .968

  	
   

  	
  .965

  	
   

  	
  .960

  	
   

  	
  .956

  	
   

  	
  87

  
	
  88

  	
   

  	
  .992

  	
   

  	
  .991

  	
   

  	
  .990

  	
   

  	
  .989

  	
   

  	
  .988

  	
   

  	
  .987

  	
   

  	
  .985

  	
   

  	
  .984

  	
   

  	
  .982

  	
   

  	
  .979

  	
   

  	
  .977

  	
   

  	
  .974

  	
   

  	
  .971

  	
   

  	
  .967

  	
   

  	
  .964

  	
   

  	
  .960

  	
   

  	
  88

  
	
  89

  	
   

  	
  .993

  	
   

  	
  .992

  	
   

  	
  .991

  	
   

  	
  .990

  	
   

  	
  .989

  	
   

  	
  .988

  	
   

  	
  .987

  	
   

  	
  .985

  	
   

  	
  .983

  	
   

  	
  .981

  	
   

  	
  .979

  	
   

  	
  .976

  	
   

  	
  .973

  	
   

  	
  .970

  	
   

  	
  .967

  	
   

  	
  .963

  	
   

  	
  89

  
	
   

  	
   

  	
  55

  	
   

  	
  56

  	
   

  	
  57

  	
   

  	
  58

  	
   

  	
  59

  	
   

  	
  60

  	
   

  	
  61

  	
   

  	
  62

  	
   

  	
  63

  	
   

  	
  64

  	
   

  	
  65

  	
   

  	
  66

  	
   

  	
  67

  	
   

  	
  68
  

  	
   

  	
  69

  	
   

  	
  70

  	
   

  	
   

  



 


PENSION WHOSE RETIREMENT AGE IS:


 


	
  Mortality:

  	
   

  	
  1971
  TPF&C Forecast Mortality Table (Pensioner rate based on 85% male;
  Beneficiary rate based on 85% female)

  
	
  Interest
  Rate:

  	
   

  	
  7.5%

  
	
  Effective:

  	
   

  	
  January 1,
  1984

  
	
  Prepared by:

  	
   

  	
  Towers
  Perrin

  



 


12

















 


Addendum D


MRP/RIP 50% Contingent Annuitant Factors


 


PENSIONER WHOSE RETIREMENT AGE IS:


 


	
  BENEFICIARY'S

  AGE AT

  PENSIONER'S

  RETIREMENT

  	
   

  	
  70

  	
   

  	
  71

  	
   

  	
  72

  	
   

  	
  73

  	
   

  	
  74

  	
   

  	
  75

  	
   

  	
  76

  	
   

  	
  77

  	
   

  	
  78

  	
   

  	
  79

  	
   

  	
  80

  	
   

  	
  81

  	
   

  	
  82

  	
   

  	
  83

  	
   

  	
  84

  	
   

  	
  85

  	
   

  	
  BENEFICIARY'S

  AGE AT 

  PENSIONER'S

  RETIREMENT

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  20

  	
   

  	
  .708

  	
   

  	
  .694

  	
   

  	
  .679

  	
   

  	
  .665

  	
   

  	
  .650

  	
   

  	
  .634

  	
   

  	
  .619

  	
   

  	
  .602

  	
   

  	
  .586

  	
   

  	
  .569

  	
   

  	
  .553

  	
   

  	
  .537

  	
   

  	
  .521

  	
   

  	
  .505

  	
   

  	
  .490

  	
   

  	
  .475

  	
   

  	
  20

  
	
  21

  	
   

  	
  .708

  	
   

  	
  .694

  	
   

  	
  .680

  	
   

  	
  .666

  	
   

  	
  .651

  	
   

  	
  .635

  	
   

  	
  .619

  	
   

  	
  .603

  	
   

  	
  .586

  	
   

  	
  .570

  	
   

  	
  .554

  	
   

  	
  .537

  	
   

  	
  .522

  	
   

  	
  .506

  	
   

  	
  .490

  	
   

  	
  .475

  	
   

  	
  21

  
	
  22

  	
   

  	
  .709

  	
   

  	
  .695
  

  	
   

  	
  .681

  	
   

  	
  .666

  	
   

  	
  .651

  	
   

  	
  .636

  	
   

  	
  .620

  	
   

  	
  .603

  	
   

  	
  .587

  	
   

  	
  .571

  	
   

  	
  .554

  	
   

  	
  .538

  	
   

  	
  .522

  	
   

  	
  .506

  	
   

  	
  .491

  	
   

  	
  .476

  	
   

  	
  22

  
	
  23

  	
   

  	
  .710

  	
   

  	
  .696

  	
   

  	
  .681

  	
   

  	
  .667

  	
   

  	
  .652

  	
   

  	
  .637

  	
   

  	
  .621

  	
   

  	
  .604

  	
   

  	
  .588

  	
   

  	
  .571

  	
   

  	
  .555

  	
   

  	
  .539
  

  	
   

  	
  .523

  	
   

  	
  .507

  	
   

  	
  .492

  	
   

  	
  .477

  	
   

  	
  23

  
	
  24

  	
   

  	
  .711

  	
   

  	
  .697

  	
   

  	
  .682

  	
   

  	
  .668

  	
   

  	
  .653

  	
   

  	
  .637

  	
   

  	
  .621

  	
   

  	
  .605

  	
   

  	
  .588

  	
   

  	
  .572

  	
   

  	
  .556

  	
   

  	
  .540

  	
   

  	
  .524

  	
   

  	
  .508

  	
   

  	
  .492

  	
   

  	
  .477

  	
   

  	
  24

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  25

  	
   

  	
  .712

  	
   

  	
  .697

  	
   

  	
  .683

  	
   

  	
  .669

  	
   

  	
  .654

  	
   

  	
  .638

  	
   

  	
  .622

  	
   

  	
  .606

  	
   

  	
  .589

  	
   

  	
  .573

  	
   

  	
  .556

  	
   

  	
  .540

  	
   

  	
  .524

  	
   

  	
  .509

  	
   

  	
  .493

  	
   

  	
  .478

  	
   

  	
  25

  
	
  26

  	
   

  	
  .712

  	
   

  	
  .698

  	
   

  	
  .684

  	
   

  	
  .670

  	
   

  	
  .655

  	
   

  	
  .639

  	
   

  	
  .623

  	
   

  	
  .607

  	
   

  	
  .590

  	
   

  	
  .574

  	
   

  	
  .557

  	
   

  	
  .541

  	
   

  	
  .525

  	
   

  	
  .509

  	
   

  	
  .494

  	
   

  	
  .479

  	
   

  	
  26

  
	
  27

  	
   

  	
  .713

  	
   

  	
  .699

  	
   

  	
  .685

  	
   

  	
  .671

  	
   

  	
  .656

  	
   

  	
  .640

  	
   

  	
  .624

  	
   

  	
  .608

  	
   

  	
  .591

  	
   

  	
  .575

  	
   

  	
  .558

  	
   

  	
  .542

  	
   

  	
  .526

  	
   

  	
  .510

  	
   

  	
  .495

  	
   

  	
  .480

  	
   

  	
  27

  
	
  28

  	
   

  	
  .715

  	
   

  	
  .700

  	
   

  	
  .686

  	
   

  	
  .672

  	
   

  	
  .657

  	
   

  	
  .641

  	
   

  	
  .625

  	
   

  	
  .609

  	
   

  	
  .592

  	
   

  	
  .576

  	
   

  	
  .559

  	
   

  	
  .543

  	
   

  	
  .527

  	
   

  	
  .511

  	
   

  	
  .496

  	
   

  	
  .480

  	
   

  	
  28

  
	
  29

  	
   

  	
  .716

  	
   

  	
  .702

  	
   

  	
  .687

  	
   

  	
  .673

  	
   

  	
  .658

  	
   

  	
  .642

  	
   

  	
  .626

  	
   

  	
  .610

  	
   

  	
  .593

  	
   

  	
  .577

  	
   

  	
  .560

  	
   

  	
  .544

  	
   

  	
  .528

  	
   

  	
  .512

  	
   

  	
  .497

  	
   

  	
  .481

  	
   

  	
  29

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  30

  	
   

  	
  .717

  	
   

  	
  .703

  	
   

  	
  .688

  	
   

  	
  .674

  	
   

  	
  .659

  	
   

  	
  .643

  	
   

  	
  .627

  	
   

  	
  .611

  	
   

  	
  .594

  	
   

  	
  .578

  	
   

  	
  .561

  	
   

  	
  .545

  	
   

  	
  .529

  	
   

  	
  .513

  	
   

  	
  .498

  	
   

  	
  .482

  	
   

  	
  30

  
	
  31

  	
   

  	
  .718

  	
   

  	
  .704

  	
   

  	
  .690

  	
   

  	
  .675

  	
   

  	
  .660

  	
   

  	
  .645

  	
   

  	
  .628

  	
   

  	
  .612

  	
   

  	
  .595

  	
   

  	
  .579

  	
   

  	
  .562

  	
   

  	
  .546

  	
   

  	
  .530

  	
   

  	
  .514

  	
   

  	
  .499

  	
   

  	
  .483

  	
   

  	
  31

  
	
  32

  	
   

  	
  .719

  	
   

  	
  .705

  	
   

  	
  .691

  	
   

  	
  .676

  	
   

  	
  .661

  	
   

  	
  .646
  

  	
   

  	
  .630

  	
   

  	
  .613

  	
   

  	
  .597

  	
   

  	
  .580

  	
   

  	
  .564

  	
   

  	
  .547

  	
   

  	
  .531

  	
   

  	
  .515

  	
   

  	
  .500

  	
   

  	
  .485

  	
   

  	
  32

  
	
  33

  	
   

  	
  .721

  	
   

  	
  .707

  	
   

  	
  .692

  	
   

  	
  .678

  	
   

  	
  .663

  	
   

  	
  .647

  	
   

  	
  .631

  	
   

  	
  .615

  	
   

  	
  .598

  	
   

  	
  .582

  	
   

  	
  .565

  	
   

  	
  .549

  	
   

  	
  .533

  	
   

  	
  .517

  	
   

  	
  .501

  	
   

  	
  .486

  	
   

  	
  33

  
	
  34

  	
   

  	
  .722

  	
   

  	
  .708

  	
   

  	
  .694

  	
   

  	
  .679

  	
   

  	
  .664

  	
   

  	
  .649

  	
   

  	
  .633

  	
   

  	
  .616

  	
   

  	
  .600

  	
   

  	
  .583

  	
   

  	
  .566

  	
   

  	
  .550

  	
   

  	
  .534

  	
   

  	
  .518

  	
   

  	
  .502

  	
   

  	
  .487

  	
   

  	
  34

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  35

  	
   

  	
  .724

  	
   

  	
  .710
  

  	
   

  	
  .696

  	
   

  	
  .681

  	
   

  	
  .666

  	
   

  	
  .650

  	
   

  	
  .634

  	
   

  	
  .618

  	
   

  	
  .601

  	
   

  	
  .585

  	
   

  	
  .568

  	
   

  	
  .552

  	
   

  	
  .535

  	
   

  	
  .520

  	
   

  	
  .504

  	
   

  	
  .488

  	
   

  	
  35
  

  
	
  36

  	
   

  	
  .726

  	
   

  	
  .712

  	
   

  	
  .697

  	
   

  	
  .683

  	
   

  	
  .668

  	
   

  	
  .652

  	
   

  	
  .636

  	
   

  	
  .619

  	
   

  	
  .603

  	
   

  	
  .586

  	
   

  	
  .570

  	
   

  	
  .553

  	
   

  	
  .537

  	
   

  	
  .521

  	
   

  	
  .505

  	
   

  	
  .490

  	
   

  	
  36

  
	
  37

  	
   

  	
  .728

  	
   

  	
  .713

  	
   

  	
  .699

  	
   

  	
  .685

  	
   

  	
  .669

  	
   

  	
  .654

  	
   

  	
  .638

  	
   

  	
  .621

  	
   

  	
  .605
  

  	
   

  	
  .588

  	
   

  	
  .571

  	
   

  	
  .555

  	
   

  	
  .539

  	
   

  	
  .523

  	
   

  	
  .507

  	
   

  	
  .492

  	
   

  	
  37

  
	
  38

  	
   

  	
  .730

  	
   

  	
  .715

  	
   

  	
  .701

  	
   

  	
  .686

  	
   

  	
  .671

  	
   

  	
  .656

  	
   

  	
  .640

  	
   

  	
  .623

  	
   

  	
  .606

  	
   

  	
  .590

  	
   

  	
  .573

  	
   

  	
  .557

  	
   

  	
  .541

  	
   

  	
  .525

  	
   

  	
  .509
  

  	
   

  	
  .493

  	
   

  	
  38

  
	
  39

  	
   

  	
  .732

  	
   

  	
  .717

  	
   

  	
  .703

  	
   

  	
  .689

  	
   

  	
  .673

  	
   

  	
  .658

  	
   

  	
  .642

  	
   

  	
  .625

  	
   

  	
  .608

  	
   

  	
  .592

  	
   

  	
  .575

  	
   

  	
  .559

  	
   

  	
  .542

  	
   

  	
  .526

  	
   

  	
  .511

  	
   

  	
  .495

  	
   

  	
  39

  



 


13

















 


Addendum D


MRP/RIP 50% Contingent Annuitant Factors


 


PENSIONER WHOSE RETIREMENT AGE IS:


 


	
  BENEFICIARY'S

  AGE AT

  PENSIONER'S

  RETIREMENT

  	
   

  	
  70

  	
   

  	
  71

  	
   

  	
  72

  	
   

  	
  73

  	
   

  	
  74

  	
   

  	
  75

  	
   

  	
  76

  	
   

  	
  77

  	
   

  	
  78

  	
   

  	
  79

  	
   

  	
  80

  	
   

  	
  81

  	
   

  	
  82

  	
   

  	
  83

  	
   

  	
  84

  	
   

  	
  85

  	
   

  	
  BENEFICIARY'S

  AGE AT 

  PENSIONER'S

  RETIREMENT

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  40

  	
   

  	
  .734

  	
   

  	
  .720

  	
   

  	
  .705

  	
   

  	
  .691  

  	
   

  	
  .676

  	
   

  	
  .660

  	
   

  	
  .644

  	
   

  	
  .627

  	
   

  	
  .611

  	
   

  	
  .594

  	
   

  	
  .577

  	
   

  	
  .561

  	
   

  	
  .544

  	
   

  	
  .528

  	
   

  	
  .513

  	
   

  	
  .497

  	
   

  	
  40

  
	
  41

  	
   

  	
  .736

  	
   

  	
  .722

  	
   

  	
  .708

  	
   

  	
  .693

  	
   

  	
  .678

  	
   

  	
  .662

  	
   

  	
  .646

  	
   

  	
  .630

  	
   

  	
  .613

  	
   

  	
  .596

  	
   

  	
  .579

  	
   

  	
  .563

  	
   

  	
  .547

  	
   

  	
  .531

  	
   

  	
  .515

  	
   

  	
  .499

  	
   

  	
  41

  
	
  42

  	
   

  	
  .739

  	
   

  	
  .724

  	
   

  	
  .710

  	
   

  	
  .696

  	
   

  	
  .680

  	
   

  	
  .665

  	
   

  	
  .649

  	
   

  	
  .632

  	
   

  	
  .615

  	
   

  	
  .599

  	
   

  	
  .582

  	
   

  	
  .565

  	
   

  	
  .549

  	
   

  	
  .533

  	
   

  	
  .517

  	
   

  	
  .501

  	
   

  	
  42

  
	
  43

  	
   

  	
  .741

  	
   

  	
  .727

  	
   

  	
  .713

  	
   

  	
  .698

  	
   

  	
  .683

  	
   

  	
  .667

  	
   

  	
  .651

  	
   

  	
  .635

  	
   

  	
  .618

  	
   

  	
  .601

  	
   

  	
  .584

  	
   

  	
  .568

  	
   

  	
  .551

  	
   

  	
  .535

  	
   

  	
  .519

  	
   

  	
  .504

  	
   

  	
  43

  
	
  44

  	
   

  	
  .744

  	
   

  	
  .730

  	
   

  	
  .715

  	
   

  	
  .701

  	
   

  	
  .686

  	
   

  	
  .670

  	
   

  	
  .654

  	
   

  	
  .637

  	
   

  	
  .621

  	
   

  	
  .604

  	
   

  	
  .587

  	
   

  	
  .570

  	
   

  	
  .554

  	
   

  	
  .538

  	
   

  	
  .522

  	
   

  	
  .506

  	
   

  	
  44

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  45

  	
   

  	
  .747

  	
   

  	
  .733

  	
   

  	
  .718

  	
   

  	
  .704

  	
   

  	
  .689

  	
   

  	
  .673

  	
   

  	
  .657

  	
   

  	
  .640

  	
   

  	
  .623

  	
   

  	
  .607

  	
   

  	
  .590

  	
   

  	
  .573

  	
   

  	
  .557

  	
   

  	
  .541

  	
   

  	
  .525
  

  	
   

  	
  .509

  	
   

  	
  45

  
	
  46

  	
   

  	
  .750

  	
   

  	
  .736

  	
   

  	
  .721

  	
   

  	
  .707

  	
   

  	
  .692

  	
   

  	
  .676

  	
   

  	
  .660

  	
   

  	
  .643

  	
   

  	
  .626
  

  	
   

  	
  .610

  	
   

  	
  .593

  	
   

  	
  .576

  	
   

  	
  .560

  	
   

  	
  .543

  	
   

  	
  .527

  	
   

  	
  .512

  	
   

  	
  46

  
	
  47

  	
   

  	
  .753

  	
   

  	
  .739

  	
   

  	
  .725

  	
   

  	
  .710

  	
   

  	
  .695

  	
   

  	
  .679

  	
   

  	
  .663

  	
   

  	
  .647

  	
   

  	
  .630

  	
   

  	
  .613

  	
   

  	
  .596

  	
   

  	
  .579

  	
   

  	
  .563

  	
   

  	
  .547

  	
   

  	
  .530

  	
   

  	
  .515

  	
   

  	
  47

  
	
  48

  	
   

  	
  .756

  	
   

  	
  .742

  	
   

  	
  .728

  	
   

  	
  .713

  	
   

  	
  .698

  	
   

  	
  .683

  	
   

  	
  .667

  	
   

  	
  .650

  	
   

  	
  .633

  	
   

  	
  .616

  	
   

  	
  .599

  	
   

  	
  .583

  	
   

  	
  .566

  	
   

  	
  .550

  	
   

  	
  .534

  	
   

  	
  .518

  	
   

  	
  48

  
	
  49

  	
   

  	
  .760

  	
   

  	
  .746
  

  	
   

  	
  .732

  	
   

  	
  .717

  	
   

  	
  .702

  	
   

  	
  .686

  	
   

  	
  .670

  	
   

  	
  .654

  	
   

  	
  .637

  	
   

  	
  .620

  	
   

  	
  .603

  	
   

  	
  .586

  	
   

  	
  .570

  	
   

  	
  .553

  	
   

  	
  .537

  	
   

  	
  .521

  	
   

  	
  49

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  50

  	
   

  	
  .763

  	
   

  	
  .749

  	
   

  	
  .735

  	
   

  	
  .721

  	
   

  	
  .706

  	
   

  	
  .690

  	
   

  	
  .674

  	
   

  	
  .657

  	
   

  	
  .640

  	
   

  	
  .624

  	
   

  	
  .607

  	
   

  	
  .590

  	
   

  	
  .573

  	
   

  	
  .557

  	
   

  	
  .541

  	
   

  	
  .525

  	
   

  	
  50

  
	
  51

  	
   

  	
  .767

  	
   

  	
  .753

  	
   

  	
  .739

  	
   

  	
  .725

  	
   

  	
  .710

  	
   

  	
  .694

  	
   

  	
  .678

  	
   

  	
  .661

  	
   

  	
  .644

  	
   

  	
  .628

  	
   

  	
  .611

  	
   

  	
  .594

  	
   

  	
  .577

  	
   

  	
  .561
  

  	
   

  	
  .544

  	
   

  	
  .528

  	
   

  	
  51

  
	
  52

  	
   

  	
  .771

  	
   

  	
  .757

  	
   

  	
  .743

  	
   

  	
  .729

  	
   

  	
  .714

  	
   

  	
  .698

  	
   

  	
  .682

  	
   

  	
  .665

  	
   

  	
  .649

  	
   

  	
  .632

  	
   

  	
  .615

  	
   

  	
  .598

  	
   

  	
  .581

  	
   

  	
  .565

  	
   

  	
  .548

  	
   

  	
  .532

  	
   

  	
  52

  
	
  53

  	
   

  	
  .775

  	
   

  	
  .761

  	
   

  	
  .747

  	
   

  	
  .733

  	
   

  	
  .718

  	
   

  	
  .703

  	
   

  	
  .686

  	
   

  	
  .670

  	
   

  	
  .653

  	
   

  	
  .636

  	
   

  	
  .619

  	
   

  	
  .602

  	
   

  	
  .585

  	
   

  	
  .569

  	
   

  	
  .553

  	
   

  	
  .537

  	
   

  	
  53

  
	
  54

  	
   

  	
  .779

  	
   

  	
  .766

  	
   

  	
  .752

  	
   

  	
  .737

  	
   

  	
  .722

  	
   

  	
  .707

  	
   

  	
  .691

  	
   

  	
  .674

  	
   

  	
  .657

  	
   

  	
  .640

  	
   

  	
  .623

  	
   

  	
  .607

  	
   

  	
  .590

  	
   

  	
  .573

  	
   

  	
  .557

  	
   

  	
  .541

  	
   

  	
  54

  
	
   

  	
   

  	
  70

  	
   

  	
  71

  	
   

  	
  72

  	
   

  	
  73

  	
   

  	
  74

  	
   

  	
  75

  	
   

  	
  76

  	
   

  	
  77

  	
   

  	
  78

  	
   

  	
  79

  	
   

  	
  80

  	
   

  	
  81

  	
   

  	
  82

  	
   

  	
  83

  	
   

  	
  84

  	
   

  	
  85

  	
   

  	
   

  



 


PENSIONER WHOSE RETIREMENT AGE IS:


 


	
  Mortality:

  	
   

  	
  1971
  TPF&C Forecast Mortality Table (Pensioner rate based on 85% male;
  Beneficiary rate based on 85% female)

  
	
  Interest
  Rate:

  	
   

  	
  7.5%

  
	
  Effective:

  	
   

  	
  January 1,
  1984

  
	
  Prepared by:

  	
   

  	
  Towers
  Perrin

  



 


14

















 


Addendum D


MRP/RIP 50% Contingent Annuitant Factors


 


PENSIONER WHOSE RETIREMENT AGE IS:


 


	
  BENEFICIARY'S

  AGE AT

  PENSIONER'S

  RETIREMENT

  	
   

  	
  70

  	
   

  	
  71

  	
   

  	
  72

  	
   

  	
  73

  	
   

  	
  74

  	
   

  	
  75

  	
   

  	
  76

  	
   

  	
  77

  	
   

  	
  78

  	
   

  	
  79

  	
   

  	
  80

  	
   

  	
  81

  	
   

  	
  82

  	
   

  	
  83

  	
   

  	
  84

  	
   

  	
  85

  	
   

  	
  BENEFICIARY'S

  AGE AT 

  PENSIONER'S

  RETIREMENT

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  55

  	
   

  	
  .784

  	
   

  	
  .770

  	
   

  	
  .756

  	
   

  	
  .742

  	
   

  	
  .727

  	
   

  	
  .712

  	
   

  	
  .696

  	
   

  	
  .679

  	
   

  	
  .662

  	
   

  	
  .645

  	
   

  	
  .628

  	
   

  	
  .611

  	
   

  	
  .595

  	
   

  	
  .578

  	
   

  	
  .562

  	
   

  	
  .545

  	
   

  	
  55

  
	
  56

  	
   

  	
  .788

  	
   

  	
  .775

  	
   

  	
  .761

  	
   

  	
  .747

  	
   

  	
  .732

  	
   

  	
  .717

  	
   

  	
  .700

  	
   

  	
  .684

  	
   

  	
  .667

  	
   

  	
  .650

  	
   

  	
  .633

  	
   

  	
  .616

  	
   

  	
  .599

  	
   

  	
  .583

  	
   

  	
  .566

  	
   

  	
  .550

  	
   

  	
  56

  
	
  57

  	
   

  	
  .793

  	
   

  	
  .779

  	
   

  	
  .766

  	
   

  	
  .752

  	
   

  	
  .737

  	
   

  	
  .722

  	
   

  	
  .706

  	
   

  	
  .689

  	
   

  	
  .672

  	
   

  	
  .655

  	
   

  	
  .638

  	
   

  	
  .621

  	
   

  	
  .605

  	
   

  	
  .588

  	
   

  	
  .571

  	
   

  	
  .555

  	
   

  	
  57

  
	
  58

  	
   

  	
  .798

  	
   

  	
  .784

  	
   

  	
  .771

  	
   

  	
  .757

  	
   

  	
  .742

  	
   

  	
  .727

  	
   

  	
  .711

  	
   

  	
  .694

  	
   

  	
  .678

  	
   

  	
  .661

  	
   

  	
  .644

  	
   

  	
  .627

  	
   

  	
  .610

  	
   

  	
  .593

  	
   

  	
  .577

  	
   

  	
  .560

  	
   

  	
  58

  
	
  59

  	
   

  	
  .803

  	
   

  	
  .789

  	
   

  	
  .776

  	
   

  	
  .762

  	
   

  	
  .748

  	
   

  	
  .732

  	
   

  	
  .716

  	
   

  	
  .700

  	
   

  	
  .683

  	
   

  	
  .666

  	
   

  	
  .649

  	
   

  	
  .632

  	
   

  	
  .616

  	
   

  	
  .599

  	
   

  	
  .582

  	
   

  	
  .566

  	
   

  	
  59

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  60

  	
   

  	
  .808

  	
   

  	
  .795

  	
   

  	
  .781

  	
   

  	
  .768

  	
   

  	
  .753

  	
   

  	
  .738

  	
   

  	
  .722

  	
   

  	
  .706

  	
   

  	
  .689

  	
   

  	
  .672

  	
   

  	
  .655

  	
   

  	
  .638

  	
   

  	
  .621

  	
   

  	
  .605

  	
   

  	
  .588

  	
   

  	
  .572

  	
   

  	
  60

  
	
  61

  	
   

  	
  .813

  	
   

  	
  .800

  	
   

  	
  .787

  	
   

  	
  .773

  	
   

  	
  .759

  	
   

  	
  .744

  	
   

  	
  .728

  	
   

  	
  .712

  	
   

  	
  .695

  	
   

  	
  .678

  	
   

  	
  .661

  	
   

  	
  .644

  	
   

  	
  .628

  	
   

  	
  .611

  	
   

  	
  .594

  	
   

  	
  .578

  	
   

  	
  61

  
	
  62

  	
   

  	
  .819

  	
   

  	
  .806

  	
   

  	
  .793

  	
   

  	
  .779

  	
   

  	
  .765

  	
   

  	
  .750

  	
   

  	
  .734

  	
   

  	
  .718

  	
   

  	
  .702

  	
   

  	
  .685

  	
   

  	
  .668

  	
   

  	
  .651

  	
   

  	
  .634

  	
   

  	
  .617

  	
   

  	
  .601

  	
   

  	
  .584

  	
   

  	
  62

  
	
  63

  	
   

  	
  .824

  	
   

  	
  .812

  	
   

  	
  .799

  	
   

  	
  .785

  	
   

  	
  .771

  	
   

  	
  .756

  	
   

  	
  .741

  	
   

  	
  .725

  	
   

  	
  .708

  	
   

  	
  .691

  	
   

  	
  .675

  	
   

  	
  .658

  	
   

  	
  .641

  	
   

  	
  .624

  	
   

  	
  .607

  	
   

  	
  .591

  	
   

  	
  63

  
	
  64

  	
   

  	
  .830

  	
   

  	
  .818

  	
   

  	
  .805

  	
   

  	
  .792

  	
   

  	
  .778

  	
   

  	
  .763

  	
   

  	
  .748

  	
   

  	
  .732

  	
   

  	
  .715

  	
   

  	
  .699

  	
   

  	
  .682

  	
   

  	
  .665

  	
   

  	
  .648

  	
   

  	
  .631

  	
   

  	
  .615

  	
   

  	
  .598

  	
   

  	
  64

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  65

  	
   

  	
  .836

  	
   

  	
  .824

  	
   

  	
  .811

  	
   

  	
  .798

  	
   

  	
  .784

  	
   

  	
  .770

  	
   

  	
  .755

  	
   

  	
  .739

  	
   

  	
  .722

  	
   

  	
  .706

  	
   

  	
  .689

  	
   

  	
  .672

  	
   

  	
  .656

  	
   

  	
  .639

  	
   

  	
  .622

  	
   

  	
  .606

  	
   

  	
  65

  
	
  66

  	
   

  	
  .842

  	
   

  	
  .830

  	
   

  	
  .818

  	
   

  	
  .805

  	
   

  	
  .791

  	
   

  	
  .777

  	
   

  	
  .762

  	
   

  	
  .746

  	
   

  	
  .730

  	
   

  	
  .713

  	
   

  	
  .697

  	
   

  	
  .680

  	
   

  	
  .663

  	
   

  	
  .647

  	
   

  	
  .630

  	
   

  	
  .614

  	
   

  	
  66

  
	
  67

  	
   

  	
  .848

  	
   

  	
  .836

  	
   

  	
  .824

  	
   

  	
  .812

  	
   

  	
  .798

  	
   

  	
  .784

  	
   

  	
  .769

  	
   

  	
  .754

  	
   

  	
  .738

  	
   

  	
  .721

  	
   

  	
  .705

  	
   

  	
  .688

  	
   

  	
  .672

  	
   

  	
  .655

  	
   

  	
  .638

  	
   

  	
  .622

  	
   

  	
  67

  
	
  68

  	
   

  	
  .854

  	
   

  	
  .843

  	
   

  	
  .831

  	
   

  	
  .819

  	
   

  	
  .806

  	
   

  	
  .792

  	
   

  	
  .777

  	
   

  	
  .762

  	
   

  	
  .746

  	
   

  	
  .730

  	
   

  	
  .713

  	
   

  	
  .697

  	
   

  	
  .680

  	
   

  	
  .663

  	
   

  	
  .647

  	
   

  	
  .630

  	
   

  	
  68

  
	
  69

  	
   

  	
  .861

  	
   

  	
  .849

  	
   

  	
  .838

  	
   

  	
  .826

  	
   

  	
  .813

  	
   

  	
  .799

  	
   

  	
  .785

  	
   

  	
  .770

  	
   

  	
  .754

  	
   

  	
  .738

  	
   

  	
  .722

  	
   

  	
  .705

  	
   

  	
  .689

  	
   

  	
  .672

  	
   

  	
  .656

  	
   

  	
  .639

  	
   

  	
  69

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  70

  	
   

  	
  .867

  	
   

  	
  .856

  	
   

  	
  .845

  	
   

  	
  .833

  	
   

  	
  .820

  	
   

  	
  .807

  	
   

  	
  .793

  	
   

  	
  .778

  	
   

  	
  .762

  	
   

  	
  .747

  	
   

  	
  .730

  	
   

  	
  .714

  	
   

  	
  .698

  	
   

  	
  .682

  	
   

  	
  .665

  	
   

  	
  .649

  	
   

  	
  70

  
	
  71

  	
   

  	
  .873

  	
   

  	
  .863

  	
   

  	
  .852

  	
   

  	
  .840

  	
   

  	
  .828

  	
   

  	
  .815

  	
   

  	
  .801

  	
   

  	
  .786

  	
   

  	
  .771

  	
   

  	
  .755

  	
   

  	
  .739

  	
   

  	
  .723

  	
   

  	
  .707

  	
   

  	
  .691

  	
   

  	
  .675

  	
   

  	
  .658

  	
   

  	
  71

  
	
  72

  	
   

  	
  .879

  	
   

  	
  .869

  	
   

  	
  .859

  	
   

  	
  .847

  	
   

  	
  .835

  	
   

  	
  .823

  	
   

  	
  .809

  	
   

  	
  .795

  	
   

  	
  .780

  	
   

  	
  .764

  	
   

  	
  .749

  	
   

  	
  .733

  	
   

  	
  .717

  	
   

  	
  .701

  	
   

  	
  .684

  	
   

  	
  .668

  	
   

  	
  72

  
	
  73

  	
   

  	
  .886

  	
   

  	
  .876

  	
   

  	
  .865

  	
   

  	
  .855

  	
   

  	
  .843

  	
   

  	
  .831

  	
   

  	
  .817

  	
   

  	
  .803

  	
   

  	
  .788

  	
   

  	
  .773

  	
   

  	
  .758

  	
   

  	
  .742

  	
   

  	
  .727

  	
   

  	
  .711

  	
   

  	
  .694
  

  	
   

  	
  .678

  	
   

  	
  73

  
	
  74

  	
   

  	
  .892

  	
   

  	
  .882

  	
   

  	
  .872

  	
   

  	
  .862

  	
   

  	
  .850

  	
   

  	
  .838

  	
   

  	
  .825

  	
   

  	
  .812

  	
   

  	
  .797

  	
   

  	
  .782

  	
   

  	
  .767

  	
   

  	
  .752

  	
   

  	
  .736

  	
   

  	
  .721

  	
   

  	
  .705

  	
   

  	
  .689

  	
   

  	
  74

  



 


15

















 


Addendum D


MRP/RIP 50% Contingent Annuitant Factors


 


PENSIONER WHOSE RETIREMENT AGE IS:


 


	
  BENEFICIARY'S

  AGE AT

  PENSIONER'S

  RETIREMENT

  	
   

  	
  70

  	
   

  	
  71

  	
   

  	
  72

  	
   

  	
  73

  	
   

  	
  74

  	
   

  	
  75

  	
   

  	
  76

  	
   

  	
  77

  	
   

  	
  78

  	
   

  	
  79

  	
   

  	
  80

  	
   

  	
  81

  	
   

  	
  82

  	
   

  	
  83

  	
   

  	
  84

  	
   

  	
  85

  	
   

  	
  BENEFICIARY'S

  AGE AT 

  PENSIONER'S

  RETIREMENT

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  75

  	
   

  	
  .898

  	
   

  	
  .889

  	
   

  	
  .879

  	
   

  	
  .869

  	
   

  	
  .858

  	
   

  	
  .846

  	
   

  	
  .834

  	
   

  	
  .820

  	
   

  	
  .806

  	
   

  	
  .792

  	
   

  	
  .777

  	
   

  	
  .762

  	
   

  	
  .746
  

  	
   

  	
  .731

  	
   

  	
  .715

  	
   

  	
  .699

  	
   

  	
  75

  
	
  76

  	
   

  	
  .904

  	
   

  	
  .895

  	
   

  	
  .886

  	
   

  	
  .876

  	
   

  	
  .865

  	
   

  	
  .854

  	
   

  	
  .842

  	
   

  	
  .829

  	
   

  	
  .815

  	
   

  	
  .801

  	
   

  	
  .786

  	
   

  	
  .771

  	
   

  	
  .756

  	
   

  	
  .741

  	
   

  	
  .725

  	
   

  	
  .710

  	
   

  	
  76

  
	
  77

  	
   

  	
  .909

  	
   

  	
  .901

  	
   

  	
  .892

  	
   

  	
  .883

  	
   

  	
  .872

  	
   

  	
  .862

  	
   

  	
  .850

  	
   

  	
  .837

  	
   

  	
  .824

  	
   

  	
  .810

  	
   

  	
  .796

  	
   

  	
  .781

  	
   

  	
  .766

  	
   

  	
  .751

  	
   

  	
  .736

  	
   

  	
  .721

  	
   

  	
  77

  
	
  78

  	
   

  	
  .915
  

  	
   

  	
  .907

  	
   

  	
  .898

  	
   

  	
  .889

  	
   

  	
  .880

  	
   

  	
  .869

  	
   

  	
  .858

  	
   

  	
  .845

  	
   

  	
  .832

  	
   

  	
  .819

  	
   

  	
  .805

  	
   

  	
  .791

  	
   

  	
  .776

  	
   

  	
  .762

  	
   

  	
  .747

  	
   

  	
  .731

  	
   

  	
  78

  
	
  79

  	
   

  	
  .920

  	
   

  	
  .912

  	
   

  	
  .904

  	
   

  	
  .896

  	
   

  	
  .886

  	
   

  	
  .876

  	
   

  	
  .865

  	
   

  	
  .853

  	
   

  	
  .841

  	
   

  	
  .828

  	
   

  	
  .814

  	
   

  	
  .801

  	
   

  	
  .786

  	
   

  	
  .772

  	
   

  	
  .757

  	
   

  	
  .742

  	
   

  	
  79

  
	
    

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  80

  	
   

  	
  .925

  	
   

  	
  .918

  	
   

  	
  .910

  	
   

  	
  .902

  	
   

  	
  .893

  	
   

  	
  .884

  	
   

  	
  .873

  	
   

  	
  .861

  	
   

  	
  .849

  	
   

  	
  .837

  	
   

  	
  .824

  	
   

  	
  .810

  	
   

  	
  .796

  	
   

  	
  .782

  	
   

  	
  .768

  	
   

  	
  .753

  	
   

  	
  80

  
	
  81

  	
   

  	
  .930

  	
   

  	
  .923

  	
   

  	
  .916

  	
   

  	
  .908

  	
   

  	
  .900

  	
   

  	
  .891

  	
   

  	
  .880

  	
   

  	
  .869

  	
   

  	
  .858

  	
   

  	
  .846

  	
   

  	
  .833

  	
   

  	
  .820

  	
   

  	
  .807

  	
   

  	
  .793

  	
   

  	
  .779

  	
   

  	
  .764

  	
   

  	
  81

  
	
  82

  	
   

  	
  .935

  	
   

  	
  .929

  	
   

  	
  .922

  	
   

  	
  .914

  	
   

  	
  .906

  	
   

  	
  .898

  	
   

  	
  .888

  	
   

  	
  .877

  	
   

  	
  .866

  	
   

  	
  .854

  	
   

  	
  .842

  	
   

  	
  .830

  	
   

  	
  .817

  	
   

  	
  .803

  	
   

  	
  .790

  	
   

  	
  .776

  	
   

  	
  82

  
	
  83

  	
   

  	
  .940

  	
   

  	
  .934

  	
   

  	
  .927

  	
   

  	
  .920

  	
   

  	
  .913

  	
   

  	
  .904

  	
   

  	
  .895

  	
   

  	
  .885

  	
   

  	
  .874

  	
   

  	
  .863

  	
   

  	
  .851

  	
   

  	
  .839

  	
   

  	
  .827

  	
   

  	
  .814

  	
   

  	
  .800

  	
   

  	
  .787

  	
   

  	
  83

  
	
  84

  	
   

  	
  .944

  	
   

  	
  .939

  	
   

  	
  .932

  	
   

  	
  .926

  	
   

  	
  .919

  	
   

  	
  .911

  	
   

  	
  .902

  	
   

  	
  .892

  	
   

  	
  .882

  	
   

  	
  .871

  	
   

  	
  .860

  	
   

  	
  .849

  	
   

  	
  .836

  	
   

  	
  .824

  	
   

  	
  .811

  	
   

  	
  .798

  	
   

  	
  84

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  85

  	
   

  	
  .949

  	
   

  	
  .943

  	
   

  	
  .937

  	
   

  	
  .931

  	
   

  	
  .924

  	
   

  	
  .917

  	
   

  	
  .909

  	
   

  	
  .900

  	
   

  	
  .890

  	
   

  	
  .880

  	
   

  	
  .869

  	
   

  	
  .858

  	
   

  	
  .846

  	
   

  	
  .834

  	
   

  	
  .821

  	
   

  	
  .809

  	
   

  	
  85

  
	
  86

  	
   

  	
  .952

  	
   

  	
  .947

  	
   

  	
  .942

  	
   

  	
  .936

  	
   

  	
  .930

  	
   

  	
  .923

  	
   

  	
  .915

  	
   

  	
  .906

  	
   

  	
  .897

  	
   

  	
  .887

  	
   

  	
  .877

  	
   

  	
  .866

  	
   

  	
  .855

  	
   

  	
  .843

  	
   

  	
  .831

  	
   

  	
  .819

  	
   

  	
  86

  
	
  87

  	
   

  	
  .956

  	
   

  	
  .951

  	
   

  	
  .946

  	
   

  	
  .941

  	
   

  	
  .935

  	
   

  	
  .928

  	
   

  	
  .921

  	
   

  	
  .913

  	
   

  	
  .904

  	
   

  	
  .895

  	
   

  	
  .885

  	
   

  	
  .875

  	
   

  	
  .864

  	
   

  	
  .853

  	
   

  	
  .841

  	
   

  	
  .829

  	
   

  	
  87

  
	
  88

  	
   

  	
  .960

  	
   

  	
  .955

  	
   

  	
  .950

  	
   

  	
  .945

  	
   

  	
  .940

  	
   

  	
  .934

  	
   

  	
  .927

  	
   

  	
  .919

  	
   

  	
  .910

  	
   

  	
  .902

  	
   

  	
  .892

  	
   

  	
  .882

  	
   

  	
  .872

  	
   

  	
  .862

  	
   

  	
  .850
  

  	
   

  	
  .839

  	
   

  	
  88

  
	
  89

  	
   

  	
  .963

  	
   

  	
  .959

  	
   

  	
  .954

  	
   

  	
  .949

  	
   

  	
  .944

  	
   

  	
  .938

  	
   

  	
  .932

  	
   

  	
  .925

  	
   

  	
  .917

  	
   

  	
  .908

  	
   

  	
  .899

  	
   

  	
  .890

  	
   

  	
  .880

  	
   

  	
  .870

  	
   

  	
  .859

  	
   

  	
  .848

  	
   

  	
  89

  
	
   

  	
   

  	
  70

  	
   

  	
  71

  	
   

  	
  72

  	
   

  	
  73
  

  	
   

  	
  74

  	
   

  	
  75

  	
   

  	
  76

  	
   

  	
  77

  	
   

  	
  78

  	
   

  	
  79

  	
   

  	
  80

  	
   

  	
  81

  	
   

  	
  82

  	
   

  	
  83

  	
   

  	
  84

  	
   

  	
  85

  	
   

  	
   

  



 


PENSIONER WHOSE RETIREMENT AGE IS:


 


	
  Mortality:

  	
   

  	
  1971
  TPF&C Forecast Mortality Table (Pensioner rate based on 85% male;
  Beneficiary rate based on 85% female)

  
	
  Interest
  Rate:

  	
   

  	
  7.5%

  
	
  Effective:

  	
   

  	
  January 1,
  1984

  
	
  Prepared by:

  	
   

  	
  Towers
  Perrin

  



 


16

















 


ADDENDUM E


 


Level Income Option — Factors Using UP84
Mortality and 7.5% Interest


 


	
  Age

  	
   

  	
  0/12

  	
   

  	
  1/12

  	
   

  	
  2/12

  	
   

  	
  3/12

  	
   

  	
  4/12

  	
   

  	
  5/12

  	
   

  	
  6/12

  	
   

  	
  7/12

  	
   

  	
  8/12

  	
   

  	
  9/12

  	
   

  	
  10/12

  	
   

  	
  11/12

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  50

  	
   

  	
  0.30410

  	
   

  	
  0.30651

  	
   

  	
  0.30892

  	
   

  	
  0.31133

  	
   

  	
  0.31374

  	
   

  	
  0.31615

  	
   

  	
  0.31856

  	
   

  	
  0.32097

  	
   

  	
  0.32338

  	
   

  	
  0.32579

  	
   

  	
  0.32820

  	
   

  	
  0.33061

  	
   

  
	
  51

  	
   

  	
  0.33302

  	
   

  	
  0.33570

  	
   

  	
  0.33837

  	
   

  	
  0.34105

  	
   

  	
  0.34373

  	
   

  	
  0.34641

  	
   

  	
  0.34908

  	
   

  	
  0.35176

  	
   

  	
  0.35444

  	
   

  	
  0.35712

  	
   

  	
  0.35979

  	
   

  	
  0.36247

  	
   

  
	
  52

  	
   

  	
  0.36515

  	
   

  	
  0.36813

  	
   

  	
  0.37111

  	
   

  	
  0.37408

  	
   

  	
  0.37706

  	
   

  	
  0.38004

  	
   

  	
  0.38302

  	
   

  	
  0.38600

  	
   

  	
  0.38898

  	
   

  	
  0.39195

  	
   

  	
  0.39493

  	
   

  	
  0.39791

  	
   

  
	
  53

  	
   

  	
  0.40089

  	
   

  	
  0.40421

  	
   

  	
  0.40753

  	
   

  	
  0.41085

  	
   

  	
  0.41417

  	
   

  	
  0.41749

  	
   

  	
  0.42080

  	
   

  	
  0.42412

  	
   

  	
  0.42744

  	
   

  	
  0.43076

  	
   

  	
  0.43408

  	
   

  	
  0.43740

  	
   

  
	
  54

  	
   

  	
  0.44072

  	
   

  	
  0.44443

  	
   

  	
  0.44814

  	
   

  	
  0.45185

  	
   

  	
  0.45556

  	
   

  	
  0.45927

  	
   

  	
  0.46297

  	
   

  	
  0.46668

  	
   

  	
  0.47039

  	
   

  	
  0.47410

  	
   

  	
  0.47781

  	
   

  	
  0.48152

  	
   

  
	
  55

  	
   

  	
  0.48523

  	
   

  	
  0.48938

  	
   

  	
  0.49353

  	
   

  	
  0.49768

  	
   

  	
  0.50184

  	
   

  	
  0.50599

  	
   

  	
  0.51014

  	
   

  	
  0.51429

  	
   

  	
  0.51844

  	
   

  	
  0.52259

  	
   

  	
  0.52675

  	
   

  	
  0.53090

  	
   

  
	
  56

  	
   

  	
  0.53505

  	
   

  	
  0.53971

  	
   

  	
  0.54437

  	
   

  	
  0.54903

  	
   

  	
  0.55369

  	
   

  	
  0.55835

  	
   

  	
  0.56301

  	
   

  	
  0.56767

  	
   

  	
  0.57233

  	
   

  	
  0.57699

  	
   

  	
  0.58165

  	
   

  	
  0.58631

  	
   

  
	
  57

  	
   

  	
  0.59097

  	
   

  	
  0.59621

  	
   

  	
  0.60146

  	
   

  	
  0.60670

  	
   

  	
  0.61194

  	
   

  	
  0.61719

  	
   

  	
  0.62243

  	
   

  	
  0.62767

  	
   

  	
  0.63292

  	
   

  	
  0.63816

  	
   

  	
  0.64340

  	
   

  	
  0.64865

  	
   

  
	
  58

  	
   

  	
  0.65389

  	
   

  	
  0.65980

  	
   

  	
  0.66572

  	
   

  	
  0.67163

  	
   

  	
  0.67755

  	
   

  	
  0.68346

  	
   

  	
  0.68938

  	
   

  	
  0.69529

  	
   

  	
  0.70121

  	
   

  	
  0.70712

  	
   

  	
  0.71304

  	
   

  	
  0.71895

  	
   

  
	
  59

  	
   

  	
  0.72487

  	
   

  	
  0.73156

  	
   

  	
  0.73825

  	
   

  	
  0.74494

  	
   

  	
  0.75164

  	
   

  	
  0.75833

  	
   

  	
  0.76502

  	
   

  	
  0.77171

  	
   

  	
  0.77840

  	
   

  	
  0.78509

  	
   

  	
  0.79179

  	
   

  	
  0.79848

  	
   

  
	
  60

  	
   

  	
  0.80517

  	
   

  	
  0.81276

  	
   

  	
  0.82035

  	
   

  	
  0.82795

  	
   

  	
  0.83554

  	
   

  	
  0.84313

  	
   

  	
  0.85072

  	
   

  	
  0.85832

  	
   

  	
  0.86591

  	
   

  	
  0.87350

  	
   

  	
  0.88109

  	
   

  	
  0.88869

  	
   

  
	
  61

  	
   

  	
  0.89628

  	
   

  	
  0.90492

  	
   

  	
  0.91357

  	
   

  	
  0.92221

  	
   

  	
  0.93085

  	
   

  	
  0.93950

  	
   

  	
  0.94814

  	
   

  	
  0.95678

  	
   

  	
  0.96543

  	
   

  	
  0.97407

  	
   

  	
  0.98271

  	
   

  	
  0.99136

  	
   

  
	
  62

  	
   

  	
  1.00000

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  



 


	
  Mortality:

  	
   

  	
  1971
  TPF&C Forecast Mortality Table (85% male rate, 15% female rate)

  
	
  Interest:

  	
   

  	
  7.5%

  



 


1

















 


ADDENDUM F


 


MRP/RIP Level Income Option Factors


 


	
  Age

  	
   

  	
  0/12

  	
   

  	
  1/12

  	
   

  	
  2/12

  	
   

  	
  3/12

  	
   

  	
  4/12

  	
   

  	
  5/12

  	
   

  	
  6/12

  	
   

  	
  7/12

  	
   

  	
  8/12

  	
   

  	
  9/12

  	
   

  	
  10/12

  	
   

  	
  11/12

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  50

  	
   

  	
  0.30906

  	
   

  	
  0.31148

  	
   

  	
  0.31390

  	
   

  	
  0.31632

  	
   

  	
  0.31875

  	
   

  	
  0.32117

  	
   

  	
  0.32359

  	
   

  	
  0.32601

  	
   

  	
  0.32843

  	
   

  	
  0.33085

  	
   

  	
  0.33328

  	
   

  	
  0.33570

  	
   

  
	
  51

  	
   

  	
  0.33812

  	
   

  	
  0.34080

  	
   

  	
  0.34349

  	
   

  	
  0.34617

  	
   

  	
  0.34886

  	
   

  	
  0.35154

  	
   

  	
  0.35423

  	
   

  	
  0.35691

  	
   

  	
  0.35960

  	
   

  	
  0.36228

  	
   

  	
  0.36497

  	
   

  	
  0.36765

  	
   

  
	
  52

  	
   

  	
  0.37034

  	
   

  	
  0.37332

  	
   

  	
  0.37630

  	
   

  	
  0.37929

  	
   

  	
  0.38227

  	
   

  	
  0.38525

  	
   

  	
  0.38823

  	
   

  	
  0.39122

  	
   

  	
  0.39420

  	
   

  	
  0.39718

  	
   

  	
  0.40016

  	
   

  	
  0.40315

  	
   

  
	
  53

  	
   

  	
  0.40613

  	
   

  	
  0.40945

  	
   

  	
  0.41277

  	
   

  	
  0.41608

  	
   

  	
  0.41940

  	
   

  	
  0.42272

  	
   

  	
  0.42604

  	
   

  	
  0.42936

  	
   

  	
  0.43268

  	
   

  	
  0.43599

  	
   

  	
  0.43931

  	
   

  	
  0.44263

  	
   

  
	
  54

  	
   

  	
  0.44595

  	
   

  	
  0.44965

  	
   

  	
  0.45335

  	
   

  	
  0.45705

  	
   

  	
  0.46075

  	
   

  	
  0.46445

  	
   

  	
  0.46815

  	
   

  	
  0.47186

  	
   

  	
  0.47556

  	
   

  	
  0.47926

  	
   

  	
  0.48296

  	
   

  	
  0.48666

  	
   

  
	
  55

  	
   

  	
  0.49036

  	
   

  	
  0.49450

  	
   

  	
  0.49863

  	
   

  	
  0.50277

  	
   

  	
  0.50690

  	
   

  	
  0.51104

  	
   

  	
  0.51517

  	
   

  	
  0.51931

  	
   

  	
  0.52345

  	
   

  	
  0.52758

  	
   

  	
  0.53172

  	
   

  	
  0.53585

  	
   

  
	
  56

  	
   

  	
  0.53999

  	
   

  	
  0.54462

  	
   

  	
  0.54926

  	
   

  	
  0.55389

  	
   

  	
  0.55852

  	
   

  	
  0.56316

  	
   

  	
  0.56779

  	
   

  	
  0.57242

  	
   

  	
  0.57706

  	
   

  	
  0.58169

  	
   

  	
  0.58632

  	
   

  	
  0.59096

  	
   

  
	
  57

  	
   

  	
  0.59559

  	
   

  	
  0.60079

  	
   

  	
  0.60599

  	
   

  	
  0.61120

  	
   

  	
  0.61640

  	
   

  	
  0.62160

  	
   

  	
  0.62680

  	
   

  	
  0.63201

  	
   

  	
  0.63721

  	
   

  	
  0.64241

  	
   

  	
  0.64761

  	
   

  	
  0.65282

  	
   

  
	
  58

  	
   

  	
  0.65802

  	
   

  	
  0.66388

  	
   

  	
  0.66974

  	
   

  	
  0.67560

  	
   

  	
  0.68146

  	
   

  	
  0.68732

  	
   

  	
  0.69317

  	
   

  	
  0.69903

  	
   

  	
  0.70489

  	
   

  	
  0.71075

  	
   

  	
  0.71661

  	
   

  	
  0.72247

  	
   

  
	
  59

  	
   

  	
  0.72833

  	
   

  	
  0.73495

  	
   

  	
  0.74157

  	
   

  	
  0.74818

  	
   

  	
  0.75480

  	
   

  	
  0.76142

  	
   

  	
  0.76804

  	
   

  	
  0.77466

  	
   

  	
  0.78128

  	
   

  	
  0.78789

  	
   

  	
  0.79451

  	
   

  	
  0.80113

  	
   

  
	
  60

  	
   

  	
  0.80775

  	
   

  	
  0.81525

  	
   

  	
  0.82274

  	
   

  	
  0.83024

  	
   

  	
  0.83774

  	
   

  	
  0.84524

  	
   

  	
  0.85273

  	
   

  	
  0.86023

  	
   

  	
  0.86773

  	
   

  	
  0.87523

  	
   

  	
  0.88272

  	
   

  	
  0.89022

  	
   

  
	
  61

  	
   

  	
  0.89772

  	
   

  	
  0.90624

  	
   

  	
  0.91477

  	
   

  	
  0.92329

  	
   

  	
  0.93181

  	
   

  	
  0.94034

  	
   

  	
  0.94886

  	
   

  	
  0.95738

  	
   

  	
  0.96591

  	
   

  	
  0.97443

  	
   

  	
  0.98295

  	
   

  	
  0.99148

  	
   

  
	
  62

  	
   

  	
  1.00000

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  



 


	
  Mortality:

  	
   

  	
  1971
  TPF&C Forecast Mortality Table (85% male rate, 15% female rate)

  
	
  Interest:

  	
   

  	
  7.5%

  



 


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