A DEFINED BENEFIT PLAN IN BOTH THE NUMERATOR AND DENOMINATOR OF
THE TOP-HEAVY RATIO ARE INCREASED FOR ANY DISTRIBUTION OF AN ACCRUED BENEFIT
MADE IN THE FIVE-YEAR PERIOD ENDING ON THE DETERMINATION DATE.
(III)
FOR PURPOSES OF PARAGRAPHS (I) AND (II) ABOVE THE VALUE OF
ACCOUNT BALANCES AND THE PRESENT VALUE OF ACCRUED BENEFITS WILL BE DETERMINED AS
FOLLOWS.
THE PRESENT VALUE OF ACCRUED BENEFITS AND THE AMOUNTS OF ACCOUNT
BALANCES OF AN EMPLOYEE AS OF THE DETERMINATION DATE SHALL BE INCREASED BY THE
DISTRIBUTION MADE WITH RESPECT TO THE EMPLOYEE UNDER THE PLAN AND ANY PLAN
AGGREGATED WITH THE PLAN UNDER SECTION 416(G)(2) OF THE CODE DURING THE ONE-YEAR
PERIOD ENDING ON THE DETERMINATION DATE.
THE PRECEDING SENTENCE WILL APPLY TO
DISTRIBUTIONS UNDER A TERMINATED PLAN, WHICH, HAD NOT BEEN TERMINATED, WOULD
HAVE BEEN AGGREGATED WITH THE PLAN UNDER SECTION 416(G)(2)(A) OF THE
54
CODE.
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 FIVE-YEAR PERIOD FOR ONE-YEAR PERIOD.
THE ACCRUED BENEFITS AND
ACCOUNTS OF ANY INDIVIDUAL WHO HAS NOT PERFORMED SERVICES FOR THE EMPLOYER
DURING THE ONE-YEAR PERIOD ENDING ON THE DETERMINATION DATE SHALL NOT BE TAKEN
INTO ACCOUNT.
The accrued benefit of a Participant other than a key employee shall be
determined under (a) the method, if any, that uniformly applies for accrual
purposes under all defined benefit plans maintained by the Employer, or (b) if
there is no such method, as if such benefit accrued not more rapidly than the
slowest accrual rate permitted under the fractional rule of IRC section
411(b)(1)(C).
(D)
"PERMISSIVE AGGREGATION GROUP." THE REQUIRED AGGREGATION GROUP OF
PLANS PLUS ANY OTHER PLAN OR PLANS OF THE EMPLOYER WHICH, WHEN CONSIDERED AS A
GROUP WITH THE REQUIRED AGGREGATION GROUP, WOULD CONTINUE TO SATISFY THE
REQUIREMENTS OF IRC SECTIONS 401(A)(4) AND 410.
(E)
"REQUIRED AGGREGATION GROUP." A GROUP CONSISTING OF (I) EACH
QUALIFIED PLAN OF THE EMPLOYER IN WHICH AT LEAST ONE KEY EMPLOYEE PARTICIPATED
AT ANY TIME DURING THE DETERMINATION PERIOD (REGARDLESS OF WHETHER THE PLAN HAS
TERMINATED), AND (II) ANY OTHER QUALIFIED PLAN OF THE EMPLOYER WHICH ENABLES A
PLAN DESCRIBED IN (I) TO MEET THE REQUIREMENTS OF IRC SECTIONS 401(A)(4) OR 410.
(F)
"DETERMINATION DATE." THE DATE, FOR ANY PLAN YEAR SUBSEQUENT TO
THE FIRST PLAN YEAR, WHICH IS THE LAST DAY OF THE PRECEDING PLAN YEAR; AND IN
THE CASE OF THE FIRST YEAR OF THE PLAN, THE LAST DAY OF THAT YEAR.
FOR PURPOSES
OF THIS ARTICLE IX, ACCRUED BENEFITS UNDER THIS PLAN OR ANY OTHER QUALIFIED PLAN
SHALL BE VALUED EITHER AS OF THE DETERMINATION DATE OR, IF ANY SUCH PLAN DOES
NOT VALUE ITS ASSETS AND LIABILITIES AS OF THAT DATE, AS OF SUCH PLAN'S MOST
RECENT VALUATION DATE (THE ANNUAL VALUATION DATE IN THE CASE OF A DEFINED
BENEFIT PLAN) WITHIN THE 12-MONTH PERIOD ENDING ON THE DETERMINATION DATE.
(G)
"NON-KEY EMPLOYEE." ANY EMPLOYEE WHO IS NOT A KEY