Document:

Addendum incorporating EGTRRA Compliance Admendment

 Exhibit 10.1.3.4 
  
 GA#: 0038183 Plan ID#: 66221 
  
 ADDENDUM INCORPORATING 
  
 EGTRRA COMPLIANCE AMENDMENT 
 TO 
  
 Name of Plan: PACIFIC CAPITAL BANCORP 
  
 INCENTIVE & INVESTMENT AND SALARY SAVINGS PLAN 

  

			
	____________________________________________________________________________________	 	 (the Plan’)

  
 This Amendment to the Plan is adopted
to reflect certain provisions of the Economic Growth and Tax Relief Reconciliation Act of 2001 (“EGTRRA”). This Amendment 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 Amendment shall be effective as of the first day of the first Plan Year beginning after December 31, 2001. 
  
 This Amendment shall supersede the provisions of the Plan to the extent those provisions are inconsistent with the provisions of this
Amendment. 
  
 References to provisions by Plan Section or Article numbers in this
Amendment are to the provisions associated with these Section or Article numbers in the approved volume submitter specimen plan from which the Plan is generated. If the Section or Article numbers have been changed in generating the Plan, references
are to the provisions in the Plan that are associated with the Section or Article numbers in the approved volume submitter specimen plan. 
  
 AMENDMENT SECTION 1: PLAN LOANS FOR OWNER-EMPLOYEES AND SHAREHOLDER EMPLOYEES 
  

	x	Select this Amendment Section 1 if the Plan provides for loans. (Do not select if the Plan does not provide for loans.)

  
 Effective for plan loans made after December
31, 2001, the provisions of Section 12.1 prohibiting loans to any owner-employee or shareholder-employee shall cease to apply. 
  
 AMENDMENT SECTION 2: LIMITATIONS ON CONTRIBUTIONS 
  

	x	All Plans must select this Amendment Section 2. 

 Effective for “limitation years” beginning after December 31. 2001, the first sentence of the
Section in Article VII entitled “Code Section 415 Limitations on Crediting of Contributions and Forfeitures” is amended to provide as follows: 
  
 Except to the extent permitted under Amendment Section 11 and Code Section 414(v), if applicable, the “annual addition” that may be contributed
or allocated to a Participant’s Account under the Plan for any “limitation year” shall not exceed the lesser of: 
  

	 	(a)	$40,000, as adjusted for increases in the cost-of-living under Code Section 415(d), or 

  

	 	(b)	100 percent of the Participant’s compensation, within the meaning of Code Section 415(c)(3), for the “limitation year”. The compensation limit referred to in this
paragraph (b) shall not apply to any contribution for medical benefits after separation from service (within the meaning of Code Section 401(h) or 419A(f)(2)) which is otherwise treated as an “annual addition”. 

  
 AMENDMENT SECTION 3: INCREASE IN COMPENSATION LIMIT 
  

	x	Select this Amendment Section 3 to increase the Compensation limit applicable under Code Section 401(a)(17) to the new $200,000 limit. (If you do not wish to increase
to the new Compensation limit, do not select this Amendment Section 3.) 

  
 The annual Compensation of each Participant taken into account in determining allocations for any Plan Year beginning after December 31, 2001, shall not
exceed $200,000, as adjusted for cost-of-living increases in accordance with Code Section 401(a)(17)(B). 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). 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. 
  
 AMENDMENT SECTION 4. MODIFICATION OF TOP-HEAVY RULES 
  

	x	Select this Amendment Section 4 ifthe Plan covers non-collectively bargained employees. (If the Plan covers collectively bargained employees only, do not select this Amendment
Section 4.) 

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

	A.	The definition of “key employee” in Section 22.1 is amended to provide as follows: 

  
 A “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 an Employer or a Related Company having annual compensation greater than $130,000 (as adjusted under Code Section 416(i)(l) for Plan Years beginning after
December 31, 2002), a 5-percent owner of an Employer or a Related Company, or a 1-percent owner of an Employer or a Related Company having annual compensation of more than $150,000. For this purpose, annual compensation means compensation within the
meaning of Code Section 415(c)(3). The determination of who is a “key employee” will be made in accordance with Code Section 416(i)(1) and the applicable regulations and other guidance of general applicability issued thereunder.

  

	B.	The definition of “top heavy plan” in Section 22.1 is modified for purposes of determining the present values of accrued benefits and the amounts of account balances of
employees as of a “determination date” as follows: 

  
 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 Section 41 6(g)(2) during the one-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 Section 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
“five-year period” for “one-year period”. The accrued benefits and accounts of any individual who has not performed services for an Employer or any Related Company during the one-year period ending on the “determination
date” shall not be taken into account. 
  

	C.	The Section in Article XXII entitled “Minimum Employer Contributions” is modified in the following respect: 

  
 Employer matching contributions shall he taken into account for purposes of
satisfying the minimum contribution requirements of Code Section 416(c)(2) of the Plan. The preceding sentence shall apply with respect to Matching Contributions under the Plan or, if the Plan provides that the minimum contribution requirement shall
be met in another plan, such other plan. Employer matching contributions that are used to satisfy the minimum contribution requirements shall be treated as matching contributions for purposes of the actual contribution percentage test and other
requirements of Code Section 401(m). 

 AMENDMENT SECTION 5: VESTING OF EMPLOYER MATCHING CONTRIBUTIONS 
  

	x	Select this Amendment Section5 and complete the selections below if the Plan provides for Matching Contributions that do not vest at least as rapidly as under the 3-year clj(f
or 2-6 year graded vesting schedules as required by EGTRRA Section 633. 

  
 Effective for Plan Years beginning after December 31.2001, the Section in Article VI entitled “Vesting of Employer Contributions” is amended to provide as follows: 
  

	 	A.	A Participant’s Matching Contributions Sub-Account shall vest in accordance with the following schedule: 

  

	 	x	A Participant’s vested interest in his Matching Contributions Sub-Account shall be 100 percent (full and immediate vesting). 

  
 or 
  

	 	 ̈	A Participant’s vested interest in his Matching Contributions Sub-Account shall be zero percent until he has completed three years of Vesting Service and shall then be 100
percent (3-year cliff vesting), 

  
 or 
  

	 	 ̈	A Participant’s vested interest in his Matching Contributions Sub-Account shall be determined in accordance with the 2-6 year graded schedule as follows:

  

				
	 Years of Vesting
 Service

	  	Vested Interest

	 
	 	  	 	 
	 Less than 2
	  	0	%
	 2, but less than 3
	  	20	%
	 3, but less than 4
	  	40	%
	 4, but less than 5
	  	60	%
	 5, but less than 6
	  	80	%
	 6 or more
	  	100	%

  
       or 

	 	 ̈	A Participant’s vested interest in his Matching Contributions Sub-Account shall be determined in accordance with the alternative vesting schedule below (must be at least
as favorable at every level as the 2-6 year graded schedule): 

  

				
	 Years of Vesting
 Service

	  	Vested Interest

	 
	 Less than     
	  	    	%
	     , but less than     
	  	    	%
	     , but less than     
	  	    	%
	     , but less than     
	  	    	%
	     , but less than     
	  	    	%
	      or more
	  	100	%

  

	B.	The vesting schedule selected in Section 5A above, applies: 

  

	 	x	to all Matching Contributions under the Plan, including contributions for Plan Years beginning before January 1, 2002 

  
 or 
  

	 	 ̈	only to Matching Contributions for Plan Years beginning after December 31, 2001. 

  

	C.	The vesting schedule selected in Section 5A above applies: 

  

	 	x	to all Participants with Matching Contributions Sub-Accounts under the Plan that have not been forfeited prior to the first day of the Plan Year beginning on or after January 1,
2002 

  
 or 
  

	 	 ̈	only to Participants who have an Hour of Service on or after the first day of the Plan Year beginning on or after January 1, 2002. 

  
 AMENDMENT SECTION 6: DIRECT ROLLOVERS OF PLAN DISTRIBUTIONS 
  

	x	All Plans must select this Amendment Section 6. 

  
 Effective with respect to distribution made after December 31, 2001, the Section in Article XVI entitled “Direct Rollovers” is amended in the
following respects: 
  

	 	A.	The definition of “eligible retirement plan” in paragraph (a) is modified by the addition of a new sentence at the end thereof to provide as follows:

  
 An “eligible retirement plan” shall
also mean an annuity contract described in Code Section 403(b) and an eligible plan under Code Section 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 Section 4l4(p). 

	 	B.	If the Plan provides for hardship withdrawals, the definition of “eligible rollover distribution” in paragraph (b) is modified to exclude ALL hardship distributions. Any
amount that is distributed on account of hardship shall not be an “eligible rollover distribution” and the distributee may not elect to have any portion of such a distribution paid directly to an “eligible retirement plan”.

  

	 	C.	If the Plan includes assets attributable to After-Tax Contributions, the definition of “eligible rollover distribution” in paragraph (b) is modified to eliminate the
exclusion of After-Tax Contributions. A portion of a distribution shall not fail to be an “eligible rollover distribution” merely because the portion consists of After-Tax Contributions that are not includible in gross income. However,
such portion may be transferred only to an individual retirement account or annuity described in Code Section 408(a) or (b), or to a qualified defined contribution plan described in Code Section 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. 

 AMENDMENT SECTION 7: ROLLOVERS FROM OTHER PLANS 
  

	 ̈	Select this Amendment Section 7 and complete the selections below only if the Plan accepts Rollover Contributions. 

  
 Effective with respect to distributions made after December 31, 2001, the
Section of Article V entitled “Rollover Contributions” is amended to provide the following: 
  

	 	A.	The Plan will accept as a Rollover Contribution a direct rollover (the rollover is made directly from the other qualified plan or annuity
contract) of an “eligible rollover distribution” from (select all that apply): 

  

	 	x	a qualified plan described in Code Section 401(a) or 403(a), excluding after-tax employee contributions. 

  

	 	 ̈	a qualified plan described in Code Section 401(a) or 403(a), including after-tax employee contributions. (do not select if the preceding selection is
marked.) 

  
 Effective date:
                                        
                             
 (cannot be earlier than January 1, 2002) 
  

	 	x	an annuity contract described in Code Section 403(b), excluding after-tax employee contributions. 

  
 Effective date: January 1, 2002 
 (cannot be earlier than January 1, 2002) 
  

	 	x	an eligible-plan under Code Section 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. 

  
 Effective date: January 1, 2002

 (cannot be earlier than January 1, 2002) 
  

	 	 ̈	none of the above. 

	 	B.	The Plan will accept as a Rollover Contribution a participant rollover (the rollover amount is first distributed to the participant who then rolls it over into the
Plan) of an “eligible rollover distribution” from (select all that apply): 

  

	 	x	a qualified plan described in Code Section 401(a) or 403(a). 

  

	 	x	an annuity contract described in Code Section 403(b). 

  
 Effective date: January 1, 2002 
 (cannot be earlier than January 1, 2002) 
  

	 	x	an eligible plan under Code Section 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. 

  
 Effective date: January 1, 2002

 (cannot be earlier than January 1, 2002) 
  
 none of the above. 
  

	 	C.	Select one of the following: 

  

	 	 ̈	The Plan will accept as a Rollover Contribution a direct or participant rollover of the portion of a distribution from an individual retirement account or annuity described
in Code Section 408(a) or 408(b) that is eligible to be rolled over and would otherwise be includible in gross income. 

  
 or 
  

	 	x	The Plan will not accept as a Rollover Contribution a direct or participant rollover of the portion of a distribution from an individual retirement account or annuity
described in Code Section 408(a) or 408(b) that is eligible to be rolled over and would otherwise be includible in gross income. 

  
 AMENDMENT SECTION 8: ROLLOVERS DISREGARDED IN INVOLUNTARY CASH-OUTS 
  

	x	This Amendment Section 8 may be selected if the Plan provides for involuntary cash-outs, unless the Plan is subject to the Qualified Joint and Survivor Annuity requirements of
Code Section 401(a)(11) and 417(i.e., the normal form of payment is an annuity). If this Amendment Section 8 is selected 

 complete the fill-ins below. Note that this Amendment will result in the involuntary distribution
of a separated Participant’s Account over $5,000 if the portion of the Account that is not attributable to Rollover Contributions is $5,000 or less. 
  
 For purposes of the Section in Article XV entitled “Cash Outs and Participant Consent”, the value of a
Participants vested interest in his Account shall be determined without regard to that portion of the account balance that is attributable to Rollover Contributions (and earnings allocable thereto) within the meaning of Code Sections 402(c),
403(a)(4), 403(b)(8), 408(d)(3)(A)(ii), and 457(e)(16). If the value of the Participant’s vested interest in his Account as so determined is $5,000 or less, the Plan shall immediately distribute the Participant’s entire vested interest in
his Account. 
  
 Rollover Contributions shall be excluded in
determining the value of a Participant’s vested interest in his Account: 
  
 with respect to distributions made after December 31, 2001. (enter a date that may not be earlier than December 31, 2001) 
  
 with respect to Participants who separate from service after December 31, 2000. (enter a date that may be earlier or
later than December 31, 2001) 
  
 AMENDMENT SECTION 9: REPEAL OF MULTIPLE
USE TEST 
  
 If applicable, the Section of Article VII entitled “Multiple
Use Limitation” shall not apply for Plan Years beginning after December 31, 2001. 
  
 AMENDMENT SECTION 10. MODIFICATION OF TOP-HEAVY RULES FOR SAFE HARBOR PLANS 
  

	x	Select this Amendment Section 10 if the Plan consists solely of a cash or deferred arrangement which is intended to meet the saft harbor requirements of Code Section
401(k)(12) and Matching Contributions with respect to which the safe harbor requirements of Code Section 401(m)(11) are intended to be met. 

  
 The top-heavy requirements of Code Section 416 and Article XXII of the Plan shall not apply in any year beginning after
December 31, 2001, in which the Plan consists solely of a cash or deferred arrangement which meets the requirements of Code Section 401(k)(12) and Matching Contributions with respect to which the requirements of Code Section 401(m)(11) are met.

 AMENDMENT SECTION 11: CATCH-UP CONTRIBUTIONS 
  

	x	Select this Amendment Section II and complete the fill-in below only if the Plan provides for Tax-Deferred Contributions. 

  
 All Eligible Employees who have attained age 50 before the close of the Plan
Year shall be eligible to make “catch-up contributions” in accordance with, and subject to the limitations of Code Section 414(v). Such “catch-up contributions” shall not be taken into account for purposes of the provisions of
the Plan implementing the required limitations of Code Sections 402(g) and 415. The Plan shall not be treated as failing to satisfy the provisions of the Plan implementing the requirements of Code Section 401(k)(3), 401(k)(11), 401(k)(12), 410(b),
or 416, as applicable, by reason of the making of such “catch-up contributions”. 
  
 Effective date: January 1, 2002. (not earlier than January 1, 2002) 
  
 AMENDMENT SECTION 12: SUSPENSION PERIOD FOLLOWING HARDSHIP DISTRIBUTION 
  

	x	Selection of this Amendment Section 12 is optional for 401(k) plans, other than plans described in Code Section 401(k (12) or 401(m (11) (i.e., plans that provide for safe
harbor contributions to satisfy the discrimination testing rules), that use the safe harbor (deemed) standards for hardship withdrawals of Tax-Deferred Contributions set forth in Treas. Reg. Section 1.401(k)-1 (d) (2) (iv). This Amendment Section 12
is required for a plan described in Code Section 401 (k) (12) or 401 (m) (11) (i.e., plans that provide for safe harbor contributions to satisfy the discrimination testing rules) and that provide for hardship withdrawals. Also see Notice 2001-56 for
guidance regarding the effective date of the change made by EGTRRA Section 636(a). 

  
 If you select this Amendment Section 12, the automatic suspension of elective deferrals following a hardship withdrawal will be reduced from 12
months to 6 months. Complete the selections below. 
  
 A
Participant who makes a hardship withdrawal of Tax-Deferred Contributions after December 31, 2001, shall be prohibited from making “elective deferrals” and “employee contributions”, as defined in Section 7.1, under the Plan and
all other plans maintained by an Employer or a Related Company for six months after receipt of the withdrawal. A Participant who makes a hardship withdrawal of Tax-Deferred Contributions in calendar year 2001 shall be prohibited from making
“elective deferrals” and “employee contributions”, as defined in Section 7.1, under the Plan and all other plans maintained by an Employer or a Related Company for the period specified below. 

 Suspension Period for Hardship Withdrawals Made in Calendar Year 2001: 
  

	 	x	A Participant who receives a hardship withdrawal of Tax-Deferred Contributions in calendar year 200l shall be prohibited from making “elective deferrals” and
“employee contributions” under the Plan and all other plans maintained by an Employer or a Related Company for six months after receipt of the distribution or until January 1,2002, if later. 

  
 or 
  

	 	 ̈	A Participant who receives a hardship withdrawal of Tax-Deferred Contributions in calendar year 2001 shall be prohibited from making “elective deferrals” and
“employee contributions” under the Plan and all other plans maintained by an Employer or a Related Company for the period specified in the provisions of the Plan relating to suspension of Tax-Deferred Contributions upon a hardship
withdrawal that were in effect prior to this amendment. 

  
 AMENDMENT SECTION 13: DISTRIBUTION UPON SEVERANCE FROM EMPLOYMENT 
  

	x	This Amendment Section 13 should be selected and the selections and fill-ins below completed if your Plan provides for tax-deferred contributions and you want deferrals and
related costs to be distributable in the event you sell off assets and want employees who continue employment with the buyer to be paid out of the Plan. 

  
 A Participant’s Tax-Deferred Contributions Sub-Account, Qualified Nonelective Contributions Sub-Account, and Qualified
Matching Contributions Sub-Account shall be distributed on account of the Participant’s severance from employment. However, such a distribution shall be subject to the other provisions of the Plan regarding distributions, other than provisions
that require a separation from service before such amounts may be distributed. 

 The preceding provisions shall apply for distributions made after: 
  
 December 31, 2001 (enter a date no earlier than December 31,
2001) and shall apply (choose one): 
  

	 	 ̈	regardless of when the severance from employment occurred. 

  
 or 
  

	 	x	for severances from employment occurring after December 31, 2001. (enter date) 

  
 *                            
*                             * 
  
 EXECUTED AT Santa Barbara, California, this 3rd day of December, 2001. 
  

			
	 	 	  

	By:	 	Janice Kroekel
	Title:	 	Vice PresidentPacific Capital Bancorp Employee Stock Ownership Plan and Trust

 Exhibit 10.1.4 
  
 PACIFIC CAPITAL BANCORP EMPLOYEE STOCK OWNERSHIP PLAN AND TRUST 
  
 January 1, 2001 Restatement 

 TABLE OF CONTENTS 
  
 PREAMBLE 
  

					
	ARTICLE I
	DEFINITIONS
			
	1.1	  	Plan Definitions	  	2
	1.2	  	Interpretation	  	8
	
	ARTICLE II
	SERVICE
			
	2.1	  	Special Definitions	  	9
	2.2	  	Crediting of Hours of Service	  	10
	2.3	  	Hours of Service Equivalencies	  	11
	2.4	  	Limitations on Crediting of Hours of Service	  	11
	2.5	  	Department of Labor Rules	  	12
	2.6	  	Years of Eligibility Service	  	12
	2.7	  	Years of Vesting Service	  	12
	2.8	  	Exclusion of Vesting Service Completed Following a Break for Determining Vested Interest in Prior Accrued Benefit	  	13
	2.9	  	Crediting of Hours of Service with Respect to Short Computation Periods	  	13
	2.10	  	Crediting of Service on Transfer or Amendment	  	14
	
	ARTICLE III
	ELIGIBILITY
			
	3.1	  	Eligibility	  	15
	3.2	  	Transfers of Employment	  	15
	3.3	  	Reemployment	  	15
	3.4	  	Notification Concerning New Eligible Employees	  	16
	3.5	  	Effect and Duration	  	16
	
	ARTICLE IV
	NO CASH OR DEFERRED ARRANGEMENT
			
	4.1	  	No Cash or Deferred Arrangement	  	17

  

 i 

					
	ARTICLE V
	AFTER-TAX AND ROLLOVER CONTRIBUTIONS
			
	5.1	  	No After-Tax Contributions	  	18
	5.2	  	No Rollover Contributions	  	18
	
	ARTICLE VI
	EMPLOYER CONTRIBUTIONS
			
	6.1	  	Contribution Period	  	19
	6.2	  	Employer Contributions	  	19
	6.3	  	Allocation of Employer Contributions	  	19
	6.4	  	Verification of Amount of Employer Contributions by the Sponsor	  	19
	6.5	  	Payment of Employer Contributions	  	20
	6.6	  	Allocation Requirements for Employer Contributions	  	20
	6.7	  	Exceptions to Allocation Requirements for Employer Contributions	  	20
	6.8	  	Vesting of Employer Contributions	  	20
	6.9	  	Election of Former Vesting Schedule	  	21
	
	ARTICLE VII
	LIMITATIONS ON CONTRIBUTIONS
			
	7.1	  	Definitions	  	23
	7.2	  	Code Section 415 Limitations on Crediting of Contributions and Forfeitures	  	23
	7.3	  	Application of Code Section 415 Limitations Where Participant is Covered Under Other Qualified Defined Contribution Plan	  	25
	7.4	  	Scope of Limitations	  	25
	7.5	  	Code Section 1042 Sale Limitations	  	25
	
	ARTICLE VIII
	TRUST FUNDS AND ACCOUNTS
			
	8.1	  	General Fund	  	27
	8.2	  	Employer Stock Investment Fund	  	27
	8.3	  	Suspense Fund	  	27
	8.4	  	Diversification Investment Funds	  	27
	8.5	  	Income on Trust	  	27
	8.6	  	Participant Accounts	  	28
	8.7	  	Sub-Accounts	  	28

  

 ii 

					
	ARTICLE IX
	LIFE INSURANCE CONTRACTS
			
	9.1	  	Purchase of Contracts	  	29
	9.2	  	Payment of Premiums	  	29
	9.3	  	Overriding Conditions and Limitations	  	29
	9.4	  	Death Benefits	  	30
	
	ARTICLE X
	INVESTMENT OF CONTRIBUTIONS
			
	10.1	  	Investment in Employer Stock	  	31
	10.2	  	Diversification Requirements	  	31
	
	ARTICLE XI
	CREDITING AND VALUING ACCOUNTS
			
	11.1	  	Crediting Accounts	  	32
	11.2	  	Valuing Accounts	  	32
	11.3	  	Plan Valuation Procedures	  	32
	11.4	  	Finality of Determinations	  	33
	11.5	  	Notification	  	33
	11.6	  	Disposition of Dividends on Allocated Shares	  	33
	11.7	  	Disposition of Income Earned on Unallocated Employer Stock	  	34
	
	ARTICLE XII
	EXEMPT LOANS
			
	12.1	  	Purpose of Exempt Loan	  	35
	12.2	  	Restrictions on Exempt Loans	  	35
	12.3	  	Sale or Repurchase of Shares of Employer Stock	  	36
	
	ARTICLE XIII
	WITHDRAWALS WHILE EMPLOYED
			
	13.1	  	No In-Service Withdrawals	  	37
	ARTICLE XIV
	TERMINATION OF EMPLOYMENT AND SETTLEMENT DATE
			
	14.1	  	Termination of Employment and Settlement Date	  	38
	14.2	  	Separate Accounting for Non-Vested Amounts	  	38
	14.3	  	Disposition of Non-Vested Amounts	  	38
	14.4	  	Treatment of Forfeited Amounts	  	39
	14.5	  	Recrediting of Forfeited Amounts	  	39

  

 iii 

					
	ARTICLE XV
	DISTRIBUTIONS
			
	15.1	  	Distributions to Participants	  	41
	15.2	  	Special Commencement and Distribution Rules	  	41
	15.3	  	Special In-Service Distributions	  	41
	15.4	  	Distributions to Beneficiaries	  	41
	15.5	  	Cash Outs and Participant Consent	  	42
	15.6	  	Required Commencement of Distribution	  	42
	15.7	  	Transition Rules for Required Commencement of Distribution	  	43
	15.8	  	Reemployment of a Participant	  	43
	15.9	  	Restrictions on Alienation	  	43
	15.10	  	Facility of Payment	  	43
	15.11	  	Inability to Locate Payee	  	44
	15.12	  	Distribution Pursuant to Qualified Domestic Relations Orders	  	44
	
	ARTICLE XVI
	FORM OF PAYMENT
			
	16.1	  	Normal Form of Payment	  	45
	16.2	  	Optional Form of Payment	  	45
	16.3	  	Change of Election	  	45
	16.4	  	Direct Rollover	  	45
	16.5	  	Notice Regarding Forms of Payment	  	46
	16.6	  	Reemployment	  	47
	16.7	  	Distribution in the Form of Employer Stock	  	47
	16.8	  	Put Option	  	47
	
	ARTICLE XVII
	BENEFICIARIES
			
	17.1	  	Designation of Beneficiary	  	49
	17.2	  	Spousal Consent Requirements	  	49
	
	ARTICLE XVIII
	ADMINISTRATION
			
	18.1	  	Authority of the Sponsor	  	50
	18.2	  	Discretionary Authority	  	50
	18.3	  	Action of the Sponsor	  	50
	18.4	  	Claims Review Procedure	  	51
	18.5	  	Qualified Domestic Relations Orders	  	52

  

 iv 

					
	18.6	  	Indemnification	  	52
	18.7	  	Actions Binding	  	52
	
	ARTICLE XIX
	AMENDMENT AND TERMINATION
			
	19.1	  	Amendment	  	53
	19.2	  	Limitation on Amendment	  	53
	19.3	  	Termination	  	53
	19.4	  	Reorganization	  	54
	19.5	  	Withdrawal of an Employer	  	54
	
	ARTICLE XX
	ADOPTION BY OTHER ENTITIES
			
	20.1	  	Adoption by Related Companies	  	55
	20.2	  	Effective Plan Provisions	  	55
	
	ARTICLE XXI
	MISCELLANEOUS PROVISIONS
			
	21.1	  	No Commitment as to Employment	  	56
	21.2	  	Benefits	  	56
	21.3	  	No Guarantees	  	56
	21.4	  	Expenses	  	56
	21.5	  	Precedent	  	56
	21.6	  	Duty to Furnish Information	  	56
	21.7	  	Merger, Consolidation, or Transfer of Plan Assets	  	57
	21.8	  	Back Pay Awards	  	57
	21.9	  	Condition on Employer Contributions	  	57
	21.10	  	Return of Contributions to an Employer	  	57
	21.11	  	Validity of Plan	  	58
	21.12	  	Trust Agreement	  	58
	21.13	  	Parties Bound	  	58
	21.14	  	Application of Certain Plan Provisions	  	58
	21.15	  	Merged Plans	  	58
	21.16	  	Transferred Funds	  	59
	21.17	  	Veterans Reemployment Rights	  	59
	21.18	  	Delivery of Cash Amounts	  	59
	21.19	  	Written Communications	  	59
	21.20	  	Prohibited Obligations	  	59
	21.21	  	Exercise of Voting Rights with Respect to Employer Stock	  	59

  

 v 

					
	ARTICLE XXII
	TOP-HEAVY PROVISIONS
			
	22.1	  	Definitions	  	61
	22.2	  	Applicability	  	63
	22.3	  	Minimum Employer Contribution	  	63
	22.4	  	Accelerated Vesting	  	64
	
	ARTICLE XXIII
	EFFECTIVE DATE
			
	23.1	  	GUST Effective Dates	  	65

  

 vi 

 PREAMBLE 
  

The Pacific Capital Bancorp Employee Stock Ownership Plan and Trust, originally effective as of January 1, 1985, is hereby amended and restated in its entirety. Except
as otherwise specifically provided in Article XXIII, this amendment and restatement shall be effective as of January 1, 2001. The Plan, as amended and restated hereby, is intended to qualify as a profit-sharing plan under Code Section 401(a) and as
an employee stock ownership plan satisfying the requirements of Code Section 4975(e)(7). The Plan is maintained for the exclusive benefit of eligible employees and their beneficiaries. 
  
 Notwithstanding any other provision of the Plan to the contrary, a Participant’s vested interest in his Account under the Plan on and
after the effective date of this amendment and restatement shall be not less than his vested interest in his account on the day immediately preceding the effective date. 
  

 1 

 ARTICLE I 
 DEFINITIONS 
  
 1.1 Plan Definitions

  
 As used herein, the following words and phrases have the meanings
hereinafter set forth, unless a different meaning is plainly required by the context: 
  
 An “Account” means the account maintained by the Trustee in the name of a Participant that reflects his interest in the Trust and any Sub-Accounts maintained thereunder, as provided in Article VIII. 
  
 The “Administrator” means the Sponsor unless the Sponsor designates another
person or persons to act as such. 
  
 An “After-Tax Contribution”
means any after-tax employee contribution made by a Participant to the Plan as may be permitted under Article V or as may have been permitted under the terms of the Plan prior to this amendment and restatement or any after-tax employee contribution
made by a Participant to another plan that is transferred directly to the Plan. 
  
 The “Beneficiary” of a Participant means the person or persons entitled under the provisions of the Plan to receive distribution hereunder in the event the Participant dies before receiving distribution of his entire
interest under the Plan. 
  
 A Participant’s “Benefit Payment
Date” means the first day on which all events have occurred which entitle the Participant to receive payment of his benefit. 
  
 A “Break in Service” means any “computation period” (as defined in Section 2.1 for purposes of determining years of Vesting Service) during
which a person completes fewer than 501 Hours of Service except that no person shall incur a Break in Service solely by reason of temporary absence from work not exceeding 12 months resulting from illness, layoff, or other cause if authorized in
advance by an Employer or a Related Company pursuant to its uniform leave policy, if his employment shall not otherwise be terminated during the period of such absence. 
  
 A Participant’s “Cash Sub-Account” means the Sub-Account established to reflect the Participant’s interest in the
Plan, if any, that is attributable to contributions, forfeitures, and dividends made in a form other than Employer Stock. 
  
 The “Code” means the Internal Revenue Code of 1986, as amended from time to time. Reference to a Code section includes such section and any comparable
section or sections of any future legislation that amends, supplements, or supersedes such section. 
  

 2 

 The “Compensation” of a Participant for any period means the wages as defined in Code Section 3401(a),
determined without regard to any rules that limit compensation included in wages based on the nature or location of the employment or services performed, and all other payments made to him for such period for services as an Employee for which his
Employer is required to furnish the Participant a written statement under Code Sections 6041(d), 6051(a)(3), and 6052 (commonly referred to as W-2 earnings). 
  
 In addition to the foregoing, Compensation includes any amount that would have been included in the foregoing description, but for the Participant’s election to
defer payment of such amount under Code Section 125, 402(e)(3), 402(h)(1)(B), 403(b), or 457(b) and certain contributions described in Code Section 414(h)(2) that are picked up by the employing unit and treated as employer contributions and
qualified transportation fringes excluded from taxable compensation under Code Section 132(f)(4). 
  
 In no event, however, shall the Compensation of a Participant taken into account under the Plan for any Plan Year exceed $150,000 (subject to adjustment annually as provided in Code Sections 401(a)(17)(B) and 415(d);
provided, however, that the dollar increase in effect on January 1 of any calendar year, if any, is effective for Plan Years beginning in such calendar year). If the Compensation of a Participant is determined over a period of time that contains
fewer than 12 calendar months, then the annual compensation limitation described above shall be adjusted with respect to that Participant by multiplying the annual compensation limitation in effect for the Plan Year by a fraction the numerator of
which is the number of full months in the period and the denominator of which is 12; provided, however, that no proration is required for a Participant who is covered under the Plan for less than one full Plan Year if the formula for allocations is
based on Compensation for a period of at least 12 months. 
  
 For a
Participant’s initial year of participation, Compensation shall be recognized as of the Enrollment Date on which the Participant first becomes an Eligible Employee. 
  
 A “Contribution Period” means the period specified in Article VI for which Employer Contributions shall be made.

  
 “Disabled” means a Participant can no longer continue in the
service of his employer because of a mental or physical condition that is likely to result in death or is expected to continue for a period of at least six months. A Participant shall be considered Disabled only if he is eligible to receive a
disability benefit under the terms of the Social Security Act. 
  
 A
“Disqualified Person” means any person who is a disqualified person under Code Section 4975(e)(2), including: (i) any person who is a fiduciary with respect to the Plan, (ii) any person providing services to the Plan, (iii) any
Employer under the Plan, (iv) any employee organization any of whose members are covered under the Plan, (v) any owner (direct or indirect) of 50 percent or more of the total combined voting power of all classes of voting stock or of the total value
of all classes of stock of an Employer, (vi) any officer, director or ten percent shareholder of an Employer, and (vii) any Highly Compensated Employee earning ten percent or more of an Employer’s yearly wages. 
  

 3 

 The “Early Retirement Date” of an employee means the later of the date he attains age 55 and completes
20 years of Vesting Service. 
  
 An “Eligible Employee” means any
Employee who has met the eligibility requirements of Article III to participate in the Plan; provided, however, that any employee who has made an election not to participate in the Plan for a Plan Year, as provided in Article III, shall not be
considered an Eligible Employee for such Plan Year. 
  
 The “Eligibility
Service” of an employee means the period or periods of service credited to him under the provisions of Article II for purposes of determining his eligibility to participate in the Plan as may be required under Article III. 
  
 An “Employee” means any person who is classified by an Employer, in
accordance with its payroll records, as an employee of the Employer and any “leased employee” (other than an “excludable leased employee) of an Employer, other than any such employee or “leased employee” who is covered by a
collective bargaining agreement that does not specifically provide for coverage under the Plan. Any individual who is not treated by an Employer as a common law employee of the Employer shall be excluded from Plan participation even if a court or
administrative agency determines that such individual is a common law employee and not an independent contractor. 
  
 A “leased employee” means any person who performs services for an Employer or a Related Company (the “recipient”) (other than an employee of the
“recipient”) pursuant to an agreement between the “recipient” and any other person (the “leasing organization”) on a substantially full-time basis for a period of at least one year, provided that such services are
performed under primary direction of or control by the “recipient”. An “excludable leased employee” means any “leased employee” of the “recipient” who is covered by a money purchase pension plan maintained by
the “leasing organization” which provides for (i) a nonintegrated employer contribution on behalf of each participant in the plan equal to at least ten percent of compensation, (ii) full and immediate vesting, and (iii) immediate
participation by employees of the “leasing organization” (other than employees who perform substantially all of their services for the “leasing organization” or whose compensation from the “leasing organization” in each
plan year during the four-year period ending with the plan year is less than $1,000); provided, however, that “leased employees” do not constitute more than 20 percent of the “recipient’s” nonhighly compensated work force.
For purposes of this Section, contributions or benefits provided to a “leased employee” by the “leasing organization” that are attributable to services performed for the “recipient” shall be treated as provided by the
“recipient”. 
  
 An “Employer” means the Sponsor and
any entity which has adopted the Plan as may be provided under Article XX. 
  

 4 

 An “Employer Contribution” means the amount, if any, that an Employer contributes to the Plan as may be
provided under Article VI or Article XXII. 
  
 “Employer Stock”
means common stock issued by an Employer or a Related Company that is readily tradable on an established securities market. If there is no common stock of an Employer or a Related Company that is readily tradable on an established securities market,
then Employer Stock means common stock of an Employer or a Related Company having a combination of voting and dividend rights equal to or in excess of (i) the class of common stock having the greatest voting power and (ii) the class of common stock
having the greatest dividend rights. Noncallable preferred stock is deemed to be Employer Stock if it is convertible at any time to stock that constitutes Employer Stock and such conversion is at a reasonable price, determined as of the date such
preferred stock is acquired by the Trust Fund. For purposes of the foregoing, preferred stock is treated as noncallable if after any call there is a reasonable opportunity for conversion that meets the requirements of the preceding sentence.

  
 An “Enrollment Date” means the first day of each calendar
month. 
  
 “ERISA” means the Employee Retirement Income Security
Act of 1974, as amended from time to time. Reference to a section of ERISA includes such section and any comparable section or sections of any future legislation that amends, supplements, or supersedes such section. 
  
 An “Exempt Loan” means any loan made to the Plan by a Disqualified Person or
guaranteed by a Disqualified Person that satisfies the requirements of IRS Regulations Section 54.4975-7(b), including a direct loan of cash, a purchase-money transaction, or an assumption of an obligation of the Trust. 
  
 The “General Fund” means a Trust Fund maintained by the Trustee as required
to hold and administer any assets of the Trust that are not allocated among any separate Investment Funds as may be provided in the Plan or the Trust Agreement. No General Fund shall be maintained if all assets of the Trust are allocated among
separate Investment Funds. 
  
 A “Highly Compensated Employee”
means any Employee or former Employee who is a “highly compensated active employee” or a “highly compensated former employee” as defined hereunder. 
  
 A “highly compensated active employee” includes any Employee who performs services for an Employer or any Related Company during
the Plan Year and who (i) was a five percent owner at any time during the Plan Year or the “look back year” or (ii) received “compensation” from the Employers and Related Companies during the “look back year” in excess
of $80,000 (subject to adjustment annually at the same time and in the same manner as under Code Section 415(d)) and was in the top paid group of employees for the “look back year”. An Employee is in the top paid group of employees if he
is in the top 20 percent of the employees of his Employer and all Related Companies when ranked on the basis of “compensation” paid during the “look back year”. 
  

 5 

 For Plan Years prior to the effective date of this amendment, an individual was considered a “highly compensated
active employee” under clause (ii) without regard to whether he was in the top paid group of employees for the “look back year”. “Highly compensated active employees” were determined without regard to the top paid group for
the following Plan Year: 1997. 
  
 A “highly compensated former
employee” includes any Employee who (1) separated from service from an Employer and all Related Companies (or is deemed to have separated from service from an Employer and all Related Companies) prior to the Plan Year, (2) performed no services
for an Employer or any Related Company during the Plan Year, and (3) was a “highly compensated active employee” for either the separation year or any Plan Year ending on or after the date the Employee attains age 55, as determined under
the rules in effect under Code Section 414(q) for such year. 
  
 The determination
of who is a Highly Compensated Employee hereunder, including determinations as to the number and identity of employees in the top paid group, shall be made in accordance with the provisions of Code Section 414(q) and regulations issued thereunder.

  
 For purposes of this definition, the following terms have the following
meanings: 
  

	(a)	An employee’s “compensation” means compensation as defined in Code Section 415(c)(3) and regulations issued thereunder. 

  

	(b)	The “look back year” means the 12-month period immediately preceding the Plan Year. 

  
 An “Hour of Service” with respect to a person means each hour, if any, that may be credited to him in accordance with the
provisions of Article II. 
  
 An “Investment Fund” means any
separate investment Trust Fund maintained by the Trustee as may be provided in the Plan or the Trust Agreement or any separate investment fund maintained by the Trustee, to the extent that there are Participant Sub-Accounts under such funds, to
which assets of the Trust may be allocated and separately invested. 
  
 A
Participant’s “Merged ESOP Sub-Account” means the portion of his Account, if any, that is attributable to amounts transferred to the Plan from the prior Pacific Capital Bancorp Employee Stock Ownership Plan in connection with
the merger of that plan into the Plan effective January 1, 1999. 
  
 The
“Normal Retirement Date” of an employee means the date he attains age 65. 
  
 A “Participant” means any person who has an Account in the Trust. 
  
 The “Plan” means the Pacific Capital Bancorp Employee Stock Ownership Plan and Trust (known prior to January 1, 1999, as the Santa Barbara Bank &
Trust Employee Stock Ownership Plan and Trust), as from time to time in effect. 
  

 6 

 A “Plan Year” means the 12-consecutive-month period ending each December 31. 
  
 A “Predecessor Employer” means any company that is a predecessor
organization to an Employer under the Code, provided that the Employer maintains a plan of such predecessor organization. 
  
 A “Related Company” means any corporation or business, other than an Employer, which would be aggregated with an Employer for a relevant purpose under
Code Section 414. 
  
 A Participant’s “Required Beginning
Date” means the following: 
  

	(a)	for a Participant who is not a “five percent owner”, April 1 of the calendar year following the calendar year in which occurs the later of the Participant’s (i)
attainment of age 70 1/2 or (ii) Settlement Date. 

  

	(b)	for a Participant who is a “five percent owner”, April 1 of the calendar year following the calendar year in which the Participant attains age 70 1/2. 

  
 A Participant is a “five percent owner” if he is a five percent owner, as defined in Code Section 416(i) and determined in accordance with Code Section 416, but
without regard to whether the Plan is top-heavy, for the Plan Year ending with or within the calendar year in which the Participants attains age 70 1/2. The Required Beginning Date of a Participant who is a “five percent owner” hereunder shall not be redetermined if the Participant ceases to be a five percent owner as defined in Code
Section 416(i) with respect to any subsequent Plan Year. 
  
 A
“Rollover Contribution” means any rollover contribution to the Plan made by a Participant as may be permitted under Article V. 
  
 The “Settlement Date” of a Participant means the date on which a Participant’s interest under the Plan becomes distributable in accordance with
Article XV. 
  
 The “Sponsor” means Pacific Capital Bancorp, and
any successor thereto. 
  
 A “Sub-Account” means any of the
individual sub-accounts of a Participant’s Account that is maintained as provided in Article VIII. 
  
 A Participant’s “Stock Sub-Account” means the Sub-Account established to reflect the Participant’s interest in the Plan, if any, that is attributable to contributions, forfeitures, and
dividends made in the form of Employer Stock. 
  

 7 

 The “Suspense Fund” means the Trust Fund established to hold Employer Stock acquired with the proceeds
of an Exempt Loan pending the release of such Employer Stock from encumbrance and its allocation among Participants’ Accounts. 
  
 The “Trust” means the trust, custodial accounts, annuity contracts, or insurance contracts maintained by the Trustee under the Trust Agreement.

  
 The “Trust Agreement” means any agreement or agreements
entered into between the Sponsor and the Trustee relating to the holding, investment, and reinvestment of the assets of the Plan, together with all amendments thereto and shall include any agreement establishing a custodial account, an annuity
contract, or an insurance contract (other than a life, health or accident, property, casualty, or liability insurance contract) for the investment of assets if the custodial account or contract would, except for the fact that it is not a trust,
constitute a qualified trust under Code Section 401. 
  
 The
“Trustee” means the trustee or any successor trustee which at the time shall be designated, qualified, and acting under the Trust Agreement and shall include any insurance company that issues an annuity or insurance contract
pursuant to the Trust Agreement or any person holding assets in a custodial account pursuant to the Trust Agreement. The Sponsor may designate a person or persons other than the Trustee to perform any responsibility of the Trustee under the Plan,
other than trustee responsibilities as defined in ERISA Section 405(c)(3), and the Trustee shall not be liable for the performance of such person in carrying out such responsibility except as otherwise provided by ERISA. The term Trustee shall
include any delegate of the Trustee as may be provided in the Trust Agreement. 
  
 A “Trust Fund” means any fund maintained under the Trust by the Trustee. 
  
 A “Valuation Date” means the last day of each Plan Year quarter and any other date or dates designated by the Sponsor and communicated in writing to the Trustee for the purpose of valuing the General
Fund and each Investment Fund and adjusting Accounts and Sub-Accounts hereunder, which other dates need not be uniform with respect to the General Fund, each Investment Fund, Account, or Sub-Account. 
  
 The “Vesting Service” of an employee means the period or periods of service
credited to him under the provisions of Article II for purposes of determining his vested interest in his Employer Contributions Sub-Account, if Employer Contributions are provided for under either Article VI or Article XXII. 
  
 1.2 Interpretation 
  
 Where required by the context, the noun, verb, adjective, and adverb forms of each defined term shall include any of its other forms.
Wherever used herein, the masculine pronoun shall include the feminine, the singular shall include the plural, and the plural shall include the singular. 
  
  

 8 

 ARTICLE II 
 SERVICE 
  
 2.1 Special Definitions

  
 For purposes of this Article, the following terms have the following
meanings. 
  
 A “break in service” means any “computation
period” (for purposes of determining Eligibility Service) during which a person completes fewer than 501 Hours of Service except that no person shall incur a “break in service” solely by reason of temporary absence from work not
exceeding 12 months resulting from illness, layoff, or other cause if authorized in advance by an Employer or a Related Company pursuant to its uniform leave policy, if his employment shall not otherwise be terminated during the period of such
absence. 
  
 A “computation period” for purposes of determining
an employee’s years of Eligibility Service means (i) the 12-consecutive-month period beginning on the first date he completes an Hour of Service, and (ii) each Plan Year beginning after such date; provided, however, that if an employee first
completed an Hour of Service prior to the effective date of the Plan, a Plan Year shall not mean any short Plan Year beginning on the effective date of the Plan, if any, but shall mean any 12-consecutive-month period beginning before the effective
date of the Plan that would have been a Plan Year if the Plan had been in effect. 
  
 A “computation period” for purposes of determining an employee’s years of Vesting Service means each Plan Year; provided, however, that if an employee first completed an Hour of Service prior to the effective date of
the Plan, a Plan Year shall not mean any short Plan Year beginning on the effective date of the Plan, if any, but shall mean any 12-consecutive-month period beginning before the effective date of the Plan that would have been a Plan Year if the Plan
had been in effect. 
  
 A “maternity/paternity absence” means a
person’s absence from employment with an Employer or a Related Company because of the person’s pregnancy, the birth of the person’s child, the placement of a child with the person in connection with the person’s adoption of the
child, or the caring for the person’s child immediately following the child’s birth or adoption. A person’s absence from employment will not be considered a maternity/paternity absence unless the person furnishes the Administrator
such timely information as may reasonably be required to establish that the absence was for one of the purposes enumerated in this paragraph and to establish the number of days of absence attributable to such purpose. 
  

 9 

 2.2 Crediting of Hours of Service 
  
 A person shall be credited with an Hour of Service for: 
  

	(a)	Each hour for which he is paid, or entitled to payment, for the performance of duties for an Employer, a Predecessor Employer, or a Related Company during the applicable period;
provided, however, that hours compensated at a premium rate shall be treated as straight-time hours. 

  

	(b)	Subject to the provisions of Section 2.4, each hour for which he is paid, or entitled to payment, by an Employer, a Predecessor Employer, or a Related Company on account of a period
of time during which no duties are performed (irrespective of whether the employment relationship has terminated) due to vacation, holiday, illness, incapacity (including disability), lay-off, jury duty, military duty, or leave of absence.

  

	(c)	Each hour for which he would have been scheduled to work for an Employer, a Predecessor Employer, or a Related Company during the period that he is absent from work because of
service with the armed forces of the United States provided he is eligible for reemployment rights under the Uniformed Services Employment and Reemployment Rights Act of 1994 and returns to work with an Employer or a Related Company within the
period during which he retains such reemployment rights; provided, however, that the same Hour of Service shall not be credited under paragraph (b) of this Section and under this paragraph (c). 

  

	(d)	Each hour for which back pay, irrespective of mitigation of damages, is either awarded or agreed to by an Employer, a Predecessor Employer, or a Related Company; provided, however,
that the same Hour of Service shall not be credited both under paragraph (a) or (b) or (c) of this Section, as the case may be, and under this paragraph (d); and provided, further, that the crediting of Hours of Service for back pay awarded or
agreed to with respect to periods described in such paragraph (b) shall be subject to the limitations set forth therein and in Section 2.4. 

  

	(e)	Solely for purposes of determining whether a person who is on a “maternity/paternity absence” has incurred a Break in Service or a “break in service”, as
applicable, for a “computation period”, Hours of Service shall include those hours with which such person would otherwise have been credited but for such “maternity/paternity absence”, or shall include eight Hours of Service for
each day of “maternity/paternity absence” if the actual hours to be credited cannot be determined; except that not more than the minimum number of hours required to prevent a Break in Service or a “break in service”, as
applicable, shall be credited by reason of any “maternity/paternity absence”; provided, however, that any hours included as Hours of Service pursuant to this paragraph shall be credited to the “computation period” in which the
absence from employment begins, if such person otherwise would incur a Break in Service or a “break in service”, as applicable, in such “computation period”, or, in any other case, to the immediately following “computation
period”. 

  

 10 

	(f)	Solely for purposes of determining whether he has incurred a Break in Service or a “break in service”, as applicable, each hour for which he would have been scheduled to
work for an Employer, a Predecessor Employer, or a Related Company during the period of time that he is absent from work on an approved leave of absence pursuant to the Family and Medical Leave Act of 1993; provided, however, that Hours of Service
shall not be credited to an employee under this paragraph if the employee fails to return to employment with an Employer or a Related Company following such leave. 

  
 Except as otherwise specifically provided with respect to Predecessor Employers, Hours of Service shall not be credited for employment with
a corporation or business prior to the date such corporation or business becomes a Related Company. 
  
 2.3 Hours of Service Equivalencies 
  
 Notwithstanding any other provision of the Plan to the contrary, if an Employer does not maintain records that accurately reflect actual hours of service creditable to a person hereunder, such person shall be credited with 190 Hours of
Service for each month in which he performs an Hour of Service. 
  
 2.4
Limitations on Crediting of Hours of Service 
  
 In the application of the
provisions of paragraph (b) of Section 2.2, the following shall apply: 
  

	(a)	An hour for which a person is directly or indirectly paid, or entitled to payment, on account of a period during which no duties are performed shall not be credited to him if such
payment is made or due under a plan maintained solely for the purpose of complying with applicable workers’ compensation, unemployment compensation, or disability insurance laws. 

  

	(b)	Hours of Service shall not be credited with respect to a payment which solely reimburses a person for medical or medically-related expenses incurred by him.

  

	(c)	A payment shall be deemed to be made by or due from an Employer, a Predecessor Employer, or a Related Company (i) regardless of whether such payment is made by or due from such
employer directly or indirectly, through (among others) a trust fund or insurer to which any such employer contributes or pays premiums, and (ii) regardless of whether contributions made or due to such trust fund, insurer, or other entity are for
the benefit of particular persons or are on behalf of a group of persons in the aggregate. 

  

	(d)	No more than 501 Hours of Service shall be credited to a person on account of any single continuous period during which he performs no duties (whether or not such period occurs

  

 11 

 in a single “computation period”), unless no duties are performed due to service with the armed
forces of the United States for which the person retains reemployment rights as provided in paragraph (c) of Section 2.2. 
  
 2.5 Department of Labor Rules 
  
 The rules set forth in paragraphs (b) and (c) of Department of Labor Regulations Section 2530.200b-2, which relate to determining Hours of Service attributable to reasons
other than the performance of duties and crediting Hours of Service to particular periods, are hereby incorporated into the Plan by reference. 
  
 2.6 Years of Eligibility Service 
  
 Years of Eligibility Service shall be determined in accordance with the following provisions: 
  

	(a)	An employee shall be credited with a year of Eligibility Service for each “computation period” in which he completes at least 1,000 Hours of Service.

  

	(b)	Notwithstanding the provisions of paragraph (a), service completed by an employee prior to a “break in service” shall not be included in determining the employee’s
years of Eligibility Service unless the employee completes a year of Eligibility Service after his “break in service” and either (i) the employee had a nonforfeitable right to any portion of his Account before his “break in
service” commenced, or (ii) the number of his consecutive “breaks in service” is fewer than the greater of five or the aggregate number of his years of Eligibility Service before his “break in service” commenced.

  
 2.7 Years of Vesting Service 
  
 Years of Vesting Service shall be determined in accordance with the following provisions:

  

	(a)	An employee shall be credited with a year of Vesting Service for each “computation period” during which he completes at least 1,000 Hours of Service.

  

	(b)	Notwithstanding the provisions of paragraph (a), the following service shall not be included in determining an employee’s years of Vesting Service: 

  

	 	(i)	Service completed by the employee prior to his attainment of age 18. 

  

	 	(ii)	Service completed by an employee prior to a Break in Service, unless the employee completes a year of Vesting Service after his Break in Service and either 

 

	 	(A)	the employee had a nonforfeitable right to any portion of his Account before his Break in Service commenced, or 

  

 12 

	 	(B)	the number of his consecutive Breaks in Service is fewer than the greater of five or the aggregate number of his years of Vesting Service before his Break in Service commenced.

  
 2.8 Exclusion of Vesting Service Completed Following a Break
for Determining Vested Interest in Prior Accrued Benefit 
  
 Notwithstanding
any other provision of the Plan to the contrary, Vesting Service completed by an Employee after a Break in Service shall not be included in determining his vested interest in his Account attributable to employment prior to such Break in Service if
the number of his consecutive Breaks in Service is five or more. 
  
 2.9
Crediting of Hours of Service with Respect to Short Computation Periods 
  
 The following provisions shall apply with respect to crediting Hours of Service with respect to any short “computation period”: 
  

	(a)	For purposes of this Article, the following terms have the following meanings: 

  

	 	(i)	An “old computation period” means any “computation period” that ends immediately prior to a change in the “computation period”.

  

	 	(ii)	A “short computation period” means any “computation period” of fewer than 12 consecutive months. 

  

	(b)	Notwithstanding any other provision of the Plan to the contrary, no person shall incur a Break in Service or a “break in service”, as applicable, for a short
“computation period” solely because of such short “computation period”. 

  

	(c)	For purposes of determining the years of Eligibility Service to be credited to an Employee, a “computation period” shall not include the “short computation
period”, but shall include the 12-consecutive-month period ending on the last day of the “short computation period” and the 12-consecutive-month period ending on the first anniversary of the last day of the “old computation
period”; provided, however, that no more than one year of Eligibility Service shall be credited to an Employee with respect to such periods. 

  

	(d)	For purposes of determining the years of Vesting Service to be credited to an Employee, a “computation period” shall not include the “short computation period”,
but if an Employee completes at least 1,000 Hours of Service in the 12-consecutive-month period beginning on the first day of the “short computation period”, such Employee shall be credited with a year of Vesting Service for such
12-consecutive-month period. 

  

 13 

 2.10 Crediting of Service on Transfer or Amendment 
  
 Notwithstanding any other provision of the Plan to the contrary, if an Employee is transferred from employment covered under a qualified
plan maintained by an Employer or a Related Company for which service is credited based on elapsed time in accordance with Treasury Regulations Section 1.410(a)-7 to employment covered under the Plan or, prior to amendment, the Plan provided for
crediting of service on the basis of elapsed time in accordance with Treasury Regulations Section 1.410(a)-7, an affected Employee shall be credited with Eligibility Service and Vesting Service hereunder as provided in Treasury Regulations Section
1.410(a)-7(f)(1). 
  

 14 

 ARTICLE III 
 ELIGIBILITY 
  
 3.1 Eligibility

  
 Each Employee who was an Eligible Employee immediately prior to January
1, 2001 shall continue to be an Eligible Employee on January 1, 2001. Each other Employee shall become an Eligible Employee as of the Enrollment Date coinciding with or next following the date on which he has both attained age 18 and completed one
year of Eligibility Service. 
  
 3.2 Transfers of Employment 
  
 If a person is transferred directly from employment with an Employer or with a Related
Company in a capacity other than as an Employee to employment as an Employee, he shall become an Eligible Employee as of the date he is so transferred if prior to an Enrollment Date coinciding with or preceding such transfer date he has met the
eligibility requirements of Section 3.1. Otherwise, the eligibility of a person who is so transferred to participate in the Plan shall be determined in accordance with Section 3.1. 
  
 3.3 Reemployment 
  
 If a former Employee who was an Eligible Employee hereunder is reemployed as an Employee, he shall become an Eligible Employee hereunder as of his reemployment date if
his Eligibility Service is reinstated in accordance with the provisions of Section 2.6(b). If such former Employee’s Eligibility Service is not reinstated in accordance with the provisions of Section 2.6(b), such former Employee shall be
treated as a new Employee for purposes of participation in the Plan and he shall again become an Eligible Employee in accordance with and subject to the requirements of Section 3.1. 
  
 If a former Employee who was not an Eligible Employee hereunder is reemployed as an Employee, he shall become an Eligible Employee hereunder
as follows: 
  

	(a)	If such former Employee had satisfied the Eligibility Service requirement in Section 3.1 at the time of his prior termination of employment and his Eligibility Service is reinstated
as provided in Section 2.6(b), he shall become an Eligible Employee as of the later of (1) the Entry Date as of which he would have become an Eligible Employee if he had continued employment as an Employee or (2) his reemployment date.

  

	(b)	If such former Employee had not satisfied the Eligibility Service requirement in Section 3.1 at the time of his prior termination of employment, or his Eligibility Service is not
reinstated as provided in Section 2.6(b), he shall become an Eligible Employee in accordance with and subject to the requirements of Section 3.1. 

  

 15 

 3.4 Notification Concerning New Eligible Employees 
  
 Each Employer shall notify the Administrator as soon as practicable of Employees becoming Eligible Employees as of any date. 
  
 3.5 Effect and Duration 
  
 Upon becoming an Eligible Employee, an Employee shall be entitled to receive allocations of Employer Contributions in accordance with the
provisions of Article VI (provided he meets any applicable requirements thereunder) and shall be bound by all the terms and conditions of the Plan and the Trust Agreement. A person shall continue as an Eligible Employee eligible to participate in
allocations of Employer Contributions only so long as he continues employment as an Employee. 
  

 16 

 ARTICLE IV 
 NO CASH OR DEFERRED ARRANGEMENT 
  
 4.1
No Cash or Deferred Arrangement 
  
 The Plan does not include a cash or
deferred arrangement under Code Section 401(k). 
  

 17 

 ARTICLE V 
 AFTER-TAX AND ROLLOVER CONTRIBUTIONS 
  
 5.1 No After-Tax Contributions 
  
 There shall be no After-Tax
Contributions made to the Plan. 
  
 5.2 No Rollover Contributions

  
 There shall be no Rollover Contributions made to the Plan. 
  

 18 

 ARTICLE VI 
 EMPLOYER CONTRIBUTIONS 
  
 6.1
Contribution Period 
  
 The Contribution Period for Employer Contributions
under the Plan is each Plan Year. 
  
 6.2 Employer Contributions

  
 Each Employer may, in its discretion, make an Employer Contribution to
the Plan for the Contribution Period in an amount determined by the Employer. 
  
 6.3 Allocation of Employer Contributions 
  
 Any Employer
Contribution made by an Employer for a Contribution Period shall be allocated among its Eligible Employees during the Contribution Period who have met the allocation requirements for Employer Contributions described in this Article. The allocable
share of each such Eligible Employee shall be in the ratio which his Compensation from the Employer for the Contribution Period bears to the aggregate of such Compensation for all such Eligible Employees. 
  
 Notwithstanding the foregoing, if there is an Exempt Loan in effect for the Contribution
Period, the Employer Contribution shall first be applied to reduce the Plan’s obligations under the terms of the Exempt Loan, reduced by any interest or dividends that the Administrator has previously applied against the Plan’s obligations
for such Contribution Period under the terms of the Plan. Shares of Employer Stock released from the Suspense Fund that are attributable to Employer Contributions shall be allocated among the Accounts of Eligible Employees as provided in the
preceding paragraph. 
  
 In applying the provisions of this Section, Compensation
earned by an Eligible Employee during a Contribution Period, but prior to the date on which the Employee first became an Eligible Employee shall be excluded in determining the Eligible Employee’s allocable share of any Employer Contribution
made for the Contribution Period. 
  
 6.4 Verification of Amount of Employer
Contributions by the Sponsor 
  
 The Sponsor shall verify the amount of
Employer Contributions to be made by each Employer in accordance with the provisions of the Plan. Notwithstanding any other provision of the Plan to the contrary, the Sponsor shall determine the portion of the Employer Contribution to be made by
each Employer with respect to an Employee who transfers from employment with one Employer as an Employee to employment with another Employer as an Employee. 
  

 19 

 6.5 Payment of Employer Contributions 
  
 Employer Contributions made for a Contribution Period shall be paid in cash, Employer Stock, or other property acceptable to the Trustee
within the period of time required under the Code in order for the contribution to be deductible by the Employer in determining its Federal income taxes for the Plan Year. 
  
 6.6 Allocation Requirements for Employer Contributions 
  
 A person who was an Eligible Employee during a Contribution Period shall be eligible to receive an allocation of Employer Contributions for
such Contribution Period only if (i) he is employed as an Employee on the last day of the Contribution Period and (ii) he has completed at least 1,000 Hours of Service during the Contribution Period. The number of Hours of Service required to
receive an allocation of Employer Contributions hereunder shall be pro-rated for any short Contribution Period. 
  
 6.7 Exceptions to Allocation Requirements for Employer Contributions 
  
 Notwithstanding any other provision of the Plan to the contrary, the last day allocation requirement described above shall not apply to a person who terminates employment
during the Contribution Period on or after his Normal or Early Retirement Date or because of death or Disability. 
  
 6.8 Vesting of Employer Contributions 
  
 A Participant’s vested interest in his Employer Contributions Sub-Account, other than his Merged ESOP Sub-Account, shall be determined in accordance with the
following schedule: 
  

				
	 Years of Vesting Service

	  	Vested Interest

	 
	 Less than 2
	  	0	%
	 2, but less than 3
	  	20	%
	 3, but less than 4
	  	30	%
	 4, but less than 5
	  	40	%
	 5, but less than 6
	  	60	%
	 6, but less than 7
	  	80	%
	 7 or more
	  	100	%

  

 20 

 A Participant’s vested interest in his Merged ESOP Sub-Account that is attributable to contributions and forfeitures
allocated to such account prior to January 1, 1991 shall be determined in accordance with the following schedule: 
  

				
	 Years of Vesting Service

	  	Vested Interest

	 
	 Less than 3
	  	0	%
	 3, but less than 4
	  	20	%
	 4, but less than 5
	  	40	%
	 5, but less than 6
	  	60	%
	 6, but less than 7
	  	80	%
	 7 or more
	  	100	%

  
 A Participant’s vested interest
in his Merged ESOP Sub-Account that is attributable to contributions and forfeitures allocated to such account after December 31, 1990, but before January 1, 1999, shall be determined in accordance with the following schedule: 
  

				
	 Years of Vesting Service

	  	Vested Interest

	 
	 Less than 1
	  	0	%
	 1, but less than 2
	  	10	%
	 2, but less than 3
	  	25	%
	 3, but less than 4
	  	50	%
	 4, but less than 5
	  	75	%
	 5 or more
	  	100	%

  
 Notwithstanding the foregoing, if a
Participant is employed by an Employer or a Related Company on his Normal Retirement Date, the date he becomes Disabled, or the date he dies, his vested interest in his Employer Contributions Sub-Account shall be 100 percent. 
  
 6.9 Election of Former Vesting Schedule 
  
 If the Sponsor adopts an amendment to the Plan that directly or indirectly affects the
computation of a Participant’s vested interest in his Employer Contributions Sub-Account, any Participant with three or more years of Vesting Service shall have a right to have his vested interest in his Employer Contributions Sub-Account
continue to be determined under the vesting provisions in 
  

 21 

 effect prior to the amendment rather than under the new vesting provisions, unless the vested interest of the Participant
in his Employer Contributions Sub-Account under the Plan as amended is not at any time less than such vested interest determined without regard to the amendment. A Participant shall exercise his right under this Section by giving written notice of
his exercise thereof to the Administrator within 60 days after the latest of (i) the date he receives notice of the amendment from the Administrator, (ii) the effective date of the amendment, or (iii) the date the amendment is adopted.
Notwithstanding the foregoing, a Participant’s vested interest in his Employer Contributions Sub-Account on the effective date of such an amendment shall not be less than his vested interest in his Employer Contributions Sub-Account immediately
prior to the effective date of the amendment. 
  

 22 

 ARTICLE VII 
 LIMITATIONS ON CONTRIBUTIONS 
  
 7.1
Definitions 
  
 For purposes of this Article, the following terms have the
following meanings: 
  
 The “annual addition” with respect to a
Participant for a “limitation year” means the sum of the Employer Contributions, and forfeitures allocated to his Account for the “limitation year” (including any “excess contributions” that are distributed pursuant to
this Article), the employer contributions, “employee contributions”, and forfeitures allocated to his accounts for the “limitation year” under any other qualified defined contribution plan (whether or not terminated) maintained
by an Employer or a Related Company concurrently with the Plan, and amounts described in Code Sections 415(l)(2) and 419A(d)(2) allocated to his account for the “limitation year”. 
  
 An “elective contribution” means any employer contribution made to a plan
maintained by an Employer or a Related Company on behalf of a Participant in lieu of cash compensation pursuant to his written election to defer under any qualified CODA as described in Code Section 401(k), any simplified employee pension cash or
deferred arrangement as described in Code Section 402(h)(1)(B), any eligible deferred compensation plan under Code Section 457, or any plan as described in Code Section 501(c)(18), and any contribution made on behalf of the Participant by an
Employer or a Related Company for the purchase of an annuity contract under Code Section 403(b) pursuant to a salary reduction agreement. 
  
 An “employee contribution” means any employee after-tax contribution allocated to an Eligible Employee’s account under any qualified plan of an
Employer or a Related Company. 
  
 A “limitation year” means the
Plan Year. 
  
 7.2 Code Section 415 Limitations on Crediting of Contributions
and Forfeitures 
  
 Notwithstanding any other provision of the Plan to the
contrary, the “annual addition” with respect to a Participant for a “limitation year” shall in no event exceed the lesser of (i) $30,000 (adjusted as provided in Code Section 415(d)) or (ii) 25 percent of the Participant’s
compensation, as defined in Code Section 415(c)(3) and regulations issued thereunder, for the “limitation year”; provided, however, that the limit in clause (i) shall be pro-rated for any short “limitation year”. The limitations
contained in this Section 7.2 shall not apply to forfeitures of shares of Employer Stock if such shares were acquired with the proceeds of an Exempt Loan and shall not apply to Employer Contributions that are applied by the Trustee to the repayment
of interest on an Exempt Loan and are charged against the Participant’s Account. The provisions of this preceding sentence shall apply only to a Plan Year in which no more than one-third of Employer Contributions which are deductible under Code
Section 404(a)(9) are allocated to the Accounts of Participants who are Highly Compensated Employees. 
  

 23 

 If for any Plan Year Employer Contributions are used to repay an Exempt Loan and shares of Employer Stock are thereby
released from the Suspense Fund, the annual additions for the Plan Year with respect to such shares shall be determined based upon the amount of the Employer Contributions used to repay the Exempt Loan. 
  
 If the “annual addition” to the Account of a Participant in any “limitation
year” would otherwise exceed the amount that may be applied for his benefit under the limitation contained in this Section, the limitation shall be satisfied by reducing Employer Contributions and forfeitures otherwise allocable to the
Participant’s Account to the extent necessary in the following order: 
  
 Forfeitures otherwise allocable to the Participant’s Account for the “limitation year” that are not invested in Employer Stock acquired with the proceeds of an Exempt Loan, if any, shall be reduced.

  
 Employer Contributions otherwise allocable to the
Participant’s Account for the “limitation year” that are not invested in Employer Stock acquired with the proceeds of an Exempt Loan, if any, shall be reduced. 
  
 Employer Contributions otherwise allocable to the Participant’s Account for the “limitation year” that are
invested in Employer Stock acquired with the proceeds of an Exempt Loan, if any, shall be reduced. 
  
 The amount of any reduction of Employer Contributions shall be deemed a forfeiture for the “limitation year”. 
  
 Amounts deemed to be forfeited under this Section shall be allocated and re-allocated among eligible Participants, unless such allocation or re-allocation would cause all
eligible Participants to exceed the limitations contained in this Section. If any excess remains after allocation and re-allocation has been made as provided in the preceding sentence, then such excess shall be held unallocated in a suspense account
established for the “limitation year” and shall be allocated and re-allocated among eligible Participants for the next succeeding “limitation year”. If a suspense account is in existence at any time during a “limitation
year”, all amounts in the suspense account must be allocated to Participants’ Accounts (subject to the limitations contained herein) before any further contributions that would constitute “annual additions” may be made to the
Plan. No suspense account established hereunder shall share in any increase or decrease in the net worth of the Trust. 
  
 For purposes of this Article, excesses shall result only from the allocation of forfeitures, a reasonable error in estimating a Participant’s annual compensation (as
defined in Code Section 415(c)(3) and regulations issued thereunder), a reasonable error in determining the amount of “elective contributions” that may be made with respect to any Participant under the limits of Code Section 415, or other
limited facts and circumstances that justify the availability of the provisions set forth above. 
  

 24 

 7.3 Application of Code Section 415 Limitations Where Participant is Covered Under Other Qualified Defined
Contribution Plan 
  
 If a Participant is covered by any other qualified
defined contribution plan (whether or not terminated) maintained by an Employer or a Related Company concurrently with the Plan, and if the “annual addition” for the “limitation year” would otherwise exceed the amount that may be
applied for the Participant’s benefit under the limitation contained in the preceding Section, such excess shall be reduced first by reducing “annual additions” under the Plan as provided in the preceding Section. If the limitation
contained in the preceding Section still is not satisfied, such excess shall be reduced as provided in the defined contribution plans other than the Plan. 
  
 7.4 Scope of Limitations 
  
 The Code Section 415 limitations contained in the preceding Sections shall be applicable only with respect to benefits provided pursuant to defined contribution plans and
defined benefit plans described in Code Section 415(k). For purposes of applying the Code Section 415 limitations contained in the preceding Sections, the term “Related Company” shall be adjusted as provided in Code Section 415(h).

  
 7.5 Code Section 1042 Sale Limitations 
  
 No portion of the Trust Fund attributable to (or allocable in lieu of) Employer Stock
acquired by the Plan after October 22, 1986 in a sale to which Code Section 1042 (or for estates of decedents who died prior to December 20, 1989, Code Section 2057) applies may accrue or be allocated directly or indirectly under any plan maintained
by the Employer 
  

	(a)	during the “nonallocation period”, as defined herein, for the benefit of (1) any taxpayer who makes an election under Code Section 1024 with respect to Employer Stock (or
any decedent if the executor of the decedent’s estate makes a qualified sale to which Code Section 2057 applies) or (2) any individual who is related to the taxpayer (or decedent) within the meaning of Code Section 267(b); or

  

	(b)	for the benefit of any other person who owns (after application of Code Section 318(a), without regard to the employee trust exception in Code Section 318(a)(2)(B)(i)) more than 25
percent of (1) any class of outstanding stock of the Employer or a Related Company which issued such Employer Stock or (2) the total value of any class of outstanding stock of the Employer or any Related Company. 

  
 Notwithstanding the foregoing, the provisions of (a)(2) above shall not apply to lineal
descendants of a taxpayer provided that the aggregate amount allocated to the benefit of all such lineal descendants during the “nonallocation period” does not exceed more than five percent of 
  

 25 

 the Employer Stock (or amounts allocated in lieu thereof) held by the Plan which are attributable to a sale to the Plan
by any person related to such descendants (within the meaning of Code Section 267(c)(4)) in a transaction to which Code Section 1042 or 2057 is applied. 
  
 A person shall be treated as not satisfying the stock ownership provisions of paragraph (b) above if such person does not satisfy such provisions (1) at any time during
the one-year period ending on the date of sale of Employer Stock to the Plan or (2) on the date as of which Employer Stock is allocated to Participants in the Plan. 
  
 For purposes of this Section, the “nonallocation period” means the period beginning on the date of sale of the Employer Stock and
ending on the later of (i) the date which is ten years after the date of sale or (ii) the date the final payment of the Exempt Loan incurred in connection with the sale is allocated among Eligible Employees. 
  

 26 

 ARTICLE VIII 
 TRUST FUNDS AND ACCOUNTS 
  
 8.1 General
Fund 
  
 The Trustee shall maintain a General Fund as required to hold and
administer any assets of the Trust that are not allocated to an Investment Fund or the Suspense Fund. The General Fund shall be held and administered as a separate common trust fund. The interest of each Participant or Beneficiary under the Plan in
the General Fund shall be an undivided interest. 
  
 8.2 Employer Stock
Investment Fund 
  
 The Sponsor shall direct the establishment and
maintenance of an Employer Stock Investment Fund to which Employer Contributions, dividends, and Employer Stock released from the Suspense Fund shall be allocated. The Employer Stock Investment Fund shall be held and administered as a separate
common trust fund. The interest of each Participant or Beneficiary under the Plan in the Employer Stock Investment Fund shall be an undivided interest. The Employer Stock Investment Fund is intended to be invested primarily in Employer Stock.

  
 8.3 Suspense Fund 
  
 The Sponsor shall direct the establishment and maintenance of a Suspense Fund to hold all
shares of Employer Stock acquired with the proceeds of an Exempt Loan pending their release from encumbrance and allocation to Participants’ Accounts. The Suspense Fund shall be held and administered as a separate trust fund. 
  
 8.4 Diversification Investment Funds 
  
 If the Sponsor determines to satisfy the diversification requirements of Section 10.2 by
offering alternative investment options under the Plan, the Trustee shall maintain at least three distinct diversification Investment Funds in addition to the Employer Stock Investment Fund. The Sponsor shall determine the number and type of
diversification Investment Funds and shall communicate the same and any changes to the Administrator and the Trustee. Each diversification Investment Fund shall be held and administered as a separate common trust fund. The interest of each
Participant or Beneficiary under the Plan in any diversification Investment Fund shall be an undivided interest. 
  
 8.5 Income on Trust 
  
 Except as otherwise specifically provided in Article XI, any dividends, interest, distributions, or other income received by the Trustee with respect to any Trust Fund maintained hereunder shall be allocated by the
Trustee to the Trust Fund for which the income was received. 
  

 27 

 8.6 Participant Accounts 
  

As of the first date a contribution is made by or on behalf of an Employee there shall be established an Account in his name reflecting his interest in the Trust. Each
Account shall be maintained and administered for each Participant and Beneficiary in accordance with the provisions of the Plan. The balance of each Account shall be the balance of the account after all credits and charges thereto, for and as of
such date, have been made as provided herein. 
  
 8.7 Sub-Accounts

  
 A Participant’s Account shall be divided into such separate,
individual Sub-Accounts as are necessary or appropriate to reflect the Participant’s interest in the Trust. 
  

 28 

 ARTICLE IX 
 LIFE INSURANCE CONTRACTS 
  
 9.1
Purchase of Contracts 
  
 Upon written instructions from the Administrator,
the Trustee shall apply a portion of the interest of a Participant in the Trust toward the purchase, from a legal reserve life insurance company, of a life insurance contract or contracts, including a term life insurance contract or contracts, on
the life of such Participant; provided, however, that if any portion of a Participant’s interest is used during any year to purchase such a contract, each other Participant shall be given the option to have the same proportion of his interest
applied toward the purchase of such a contract for him. All such contracts shall designate the Trustee as the sole owner with exclusive power to exercise all rights, privileges, options and elections granted or permitted thereunder; provided,
however, that the exercise of such power by the Trustee shall be subject to the right of the Administrator to direct the Trustee with respect thereto or to require the Trustee to obtain its approval before exercising any such power. Amounts needed
to purchase a life insurance contract or contracts shall be charged against the Participant’s Account. 
  
 9.2 Payment of Premiums 
  
 The Trustee,
upon written instructions from the Administrator, shall pay each premium on any such contract or contracts held for a Participant and shall charge such premium payment to the Account of such Participant. The Trustee shall be under no obligation to
pay any premium, however, unless there are sufficient funds available from the interest of such Participant in the Trust to make such payment. Each contract shall provide that all dividends and other credits payable thereunder, if any, shall be
applied in reduction of premiums, except that any postmortem or termination dividend shall be added to and become a part of the proceeds payable to the beneficiary under the contract. 
  
 9.3 Overriding Conditions and Limitations 
  

Notwithstanding any other provision of the Plan to the contrary, the provisions of this Section shall govern: 
  

	(a)	In the event of any conflict between the provisions of the Plan and the terms of any insurance contract or contracts purchased pursuant to this Article, the provisions of the Plan
shall control. 

  

	(b)	At no time shall the aggregate of the premiums paid for any ordinary life or term life insurance contract or contracts upon the life of any Participant hereunder equal or exceed

  

 29 

	 	(i)	if only ordinary life insurance contracts upon the life of such Participant are held hereunder, 50 percent of the Employer Contributions allocated to him under the Plan; or

  

	 	(ii)	if only term life insurance contracts upon the life of such Participant are held hereunder, 25 percent of the Employer Contributions allocated to him under the Plan.

  
 If both ordinary life and term life insurance
contracts upon the life of any Participant are held hereunder, at no time shall the aggregate of one-half of the premiums paid for any ordinary life insurance contracts plus the premiums paid for any term life insurance contract equal or exceed 25
percent of the Employer Contributions allocated to him under the Plan. In order to comply with these limitations, the Administrator shall in writing direct the Trustee to take such action with respect to any such contract or contracts held by it as
the Administrator shall deem advisable, including, but not limited to, conversion to paid-up basis or surrender of such contract or contracts or any part or parts thereof. 
  

	(c)	At all times each such contract upon the life of any Participant shall be held by the Trustee separate and apart from the Trust. The value of such contract shall not be taken into
account in valuing the assets of the Trust nor shall such value be considered in determining the amount of a Participant’s interest in the Trust. 

  

	(d)	A Participant, with such advance written notice as may be required by the Administrator, may elect to have the purchase of insurance on his life discontinued. Any such notice shall
specify the date on which such purchase is to be discontinued, but in no event shall any such notice be effective with respect to premiums which have been paid. Upon receipt of such notice, the Administrator shall in writing direct the Trustee to
surrender any contract or contracts held on the Participant’s life on the date specified in the notice. The cash surrender value, if any, of any such contracts shall be added to the Trust when received by the Trustee and shall be credited to
the Participant’s Account. The Participant’s vested interest in the cash surrender value of any such contract shall be determined as provided in paragraph (a) of Section 9.5. 

  
 9.4 Death Benefits 
  
 Upon the death of any Participant on whose life any contract is held hereunder prior to his termination of employment with his Employer and
all Related Companies, the proceeds of such contract shall be paid to the Trustee for deposit in the Participant’s Account, to be paid to the Participant’s Beneficiary in accordance with the distribution provisions of the Plan. 

 

 30 

 ARTICLE X 
 INVESTMENT OF CONTRIBUTIONS 
  
 10.1
Investment in Employer Stock 
  
 The Plan is intended to be invested
primarily in Employer Stock. The Trustee shall invest the assets of the Trust in accordance with the terms of the Plan and the Trust Agreement. 
  
 10.2 Diversification Requirements 
  
 A “qualified Participant”, as defined below, may elect within 90 days of the close of each Plan Year during the Participant’s “qualified election
period”, as defined below, to direct diversification of his shares of Employer Stock as provided hereunder. The maximum number of shares of Employer Stock that a Participant may elect to diversify shall be equal to 25 percent of the total
number of shares ever allocated to the Participant’s Account, reduced by the number of shares the Participant has previously elected to diversify; provided, however, that the 25 percent limit shall be increased to 50 percent for the last Plan
Year in the Participant’s “qualified election period”. 
  
 The
Sponsor may determine to allow “qualified Participants” to diversify their Accounts by offering one or a combination of the following diversification options: 
  

	(a)	Distribution to the Participant of all or a portion of his vested interest in his Account that is subject to diversification. Subject to the provisions of Section 16.7, such
distribution may be made in cash or in Employer Stock, as elected by the Participant. 

  

	(b)	Provision under the Plan of at least three distinct Investment Fund options that meet the requirements of regulations issued under Code Section 401(a)(28) to which the Participant
may direct investment of all or a portion of his vested interest in his Account that is subject to diversification. 

  

	(c)	Transfer of all or a portion of the Participant’s vested interest in his Account that is subject to diversification to another qualified plan that provides at least three
distinct investment options that meet the requirements of regulations issued under Code Section 401(a)(28). 

  
 Action must be taken in accordance with a Participant’s diversification election within 90 days of the close of the period during which the Participant is eligible
to make a diversification election 
  
 For purposes of this Section, the following
terms have the following meaning: 
  

	(d)	A “qualified Participant” means a Participant who has attained age 55 and has completed at least ten years of participation under the Plan. 

  

	(e)	The “qualified election period” means the six-Plan Year period beginning with the Plan Year in which a Participant first becomes a “qualified Participant”.

  

 31 

 ARTICLE XI 
 CREDITING AND VALUING ACCOUNTS 
  
 11.1
Crediting Accounts 
  
 All contributions made under the provisions of the
Plan shall be credited to Accounts in the Trust Funds by the Trustee, in accordance with procedures established in writing by the Administrator, either when received or on the succeeding Valuation Date after valuation of the Trust Fund has been
completed for such Valuation Date as provided in Section 11.2, as shall be determined by the Administrator. 
  
 11.2 Valuing Accounts 
  
 The Trust Funds
and any Accounts in the Trust Funds shall be valued by the Trustee on the Valuation Date, in accordance with procedures established in writing by the Administrator, either in the manner adopted by the Trustee and approved by the Administrator or in
the manner set forth in Section 11.3 as Plan valuation procedures, as determined by the Administrator. 
  
 11.3 Plan Valuation Procedures 
  
 With
respect to the Trust Funds, the Administrator may determine that the following valuation procedures shall be applied. As of each Valuation Date hereunder, the portion of any Accounts in a Trust Fund shall be adjusted to reflect any increase or
decrease in the value of the Trust Fund for the period of time occurring since the immediately preceding Valuation Date for the Trust Fund (the “valuation period”) in the following manner: 
  

	(a)	First, the value of the Trust Fund shall be determined by valuing all of the assets of the Trust Fund at fair market value. 

  

	(b)	Next, the net increase or decrease in the value of the Trust Fund attributable to net income and all profits and losses, realized and unrealized, during the valuation period shall
be determined on the basis of the valuation under paragraph (a) taking into account appropriate adjustments for contributions and transfers to and distributions, withdrawals, and transfers from such Trust Fund during the valuation period. The net
increase or decrease in the value of a Trust Fund shall be determined without regard to the following: 

  

	 	(1)	any interest paid under any installment contract for the purchase of Employer Stock; 

  

	 	(2)	any interest paid on any loan used to purchase Employer Stock; or 

  

	 	(3)	income received with respect to Employer Stock acquired with the proceeds of an Exempt Loan. 

  

 32 

 All income received by a Trust Fund from Employer Stock acquired with the proceeds of an Exempt Loan may,
in the discretion of the Administrator, be used to repay such Exempt Loan. 
  

	(c)	Finally, the net increase or decrease in the value of the Trust Fund shall be allocated among Accounts in the Trust Fund in the ratio of the balance of the portion of such Account
in the Trust Fund as of the preceding Valuation Date less any distributions, withdrawals, and transfers from such Account balance in the Trust Fund since the Valuation Date to the aggregate balances of the portions of all Accounts in the Trust Fund
similarly adjusted, and each Account in the Trust Fund shall be credited or charged with the amount of its allocated share. Notwithstanding the foregoing, the Administrator may adopt such accounting procedures as it considers appropriate and
equitable to establish a proportionate crediting of net increase or decrease in the value of the Trust Fund for contributions and transfers to and distributions, withdrawals, and transfers from such Trust Fund made by or on behalf of a Participant
during the valuation period. 

  
 11.4 Finality of Determinations

  
 The Trustee shall have exclusive responsibility for determining the value
of each Account maintained hereunder. The Trustee’s determinations thereof shall be conclusive upon all interested parties. 
  
 11.5 Notification 
  
 Within a reasonable period of time after the end of each Plan Year, the Administrator shall notify each Participant and Beneficiary of the value of his Account and Sub-Accounts as of a Valuation Date during the Plan
Year. 
  
 11.6 Disposition of Dividends on Allocated Shares 
  
 Stock dividends on shares of Employer Stock held in a Participant’s Employer Stock
Sub-Account shall be credited to the Participant’s Employer Stock Sub-Account. Cash dividends on Employer Stock held in a Participant’s Employer Stock Sub-Account shall, in the discretion of the Administrator, be: 
  

	(a)	credited to the Participant’s Cash Sub-Account; 

  

	(b)	used to repay an Exempt Loan; or 

  

	(c)	paid in cash to the Participant or the Participant’s Beneficiary. If payment is to be made in cash to the Participant or the Participant’s Beneficiary, the Administrator
shall direct the Employer to pay the dividends either: 

  

	 	(1)	in cash directly to Participants, former Participants, and Beneficiaries in proportion to their respective interests in the Employer Stock Investment Fund as of the record date for
such dividends, as described in Code Section 404(k), or 

  

 33 

	 	(2)	in cash to the Trustee for distribution to the Participants, former Participants, and Beneficiaries. 

  
 If cash dividends are paid directly to the Trustee for distribution pursuant to paragraph (c)(2) above, the Trustee shall
distribute such dividends in cash to Participants, former Participants, and Beneficiaries in proportion to their respective interests in the Employer Stock Investment Fund as of the record date for such dividends, which distribution shall be made
based on a schedule determined by the Administrator, but not later than 90 days after the close of the Plan Year in which such dividends are paid. 
  
 If cash dividends are used to repay an Exempt Loan pursuant to paragraph (b) above, Employer Stock shall be released from the Suspense Fund and allocated
to a Participant’s Employer Stock Sub-Account in the ratio that the Participant’s total number of shares of Employer Stock sharing in such cash dividends bears to the aggregate number of shares of such Employer Stock of all Participants.
Employer Stock allocated to a Participant’s Employer Stock Sub-Account hereunder shall have a fair market value not less than the amount of cash dividends that would have been distributable to the Participant pursuant to paragraph (c) above.

  
 11.7 Disposition of Income Earned on Unallocated Employer Stock

  
 Any income earned with respect to Employer Stock held in the Suspense
Account may be used, at the discretion of the Administrator, to repay an Exempt Loan. Employer Stock that is released from encumbrance with respect to such income and any such income that is not used to repay an Exempt Loan shall be allocated as of
the Valuation Date in the ratio that a Participant’s Account balance after the allocation of all other earnings and losses bears to the aggregate Account balances of all Participants after the allocation of all other earnings and losses.

  

 34 

 ARTICLE XII 
 EXEMPT LOANS 
  
 12.1 Purpose of Exempt
Loan 
  
 The proceeds of any Exempt Loan must be used within a reasonable
period of time to (a) acquire Employer Stock, (b) repay the Exempt Loan, or (c) repay a prior Exempt Loan. 
  
 12.2 Restrictions on Exempt Loans 
  
 Any
Exempt Loan must satisfy all of the following requirements: 
  

	(a)	The Exempt Loan is primarily for the benefit of Participants and their Beneficiaries. All facts and circumstances surrounding the Exempt Loan shall be considered in determining
whether this requirement has been satisfied, including: 

  

	 	(1)	Whether at the time the Exempt Loan is made, the interest rate charged under the terms of the Exempt Loan and the price of the Employer Stock to be acquired with the proceeds of the
Exempt Loan is such that Plan assets shall not be drained off. 

  

	 	(2)	Whether the Exempt Loan is at least as favorable to the Plan as the terms of a comparable loan resulting from arms’ length negotiation between independent parties.

  

	(b)	The interest rate charged under the terms of the Exempt Loan is a reasonable rate of interest. 

  

	(c)	The collateral pledged to the creditor by the Plan consists only of Employer Stock purchased with the borrowed funds. 

  

	(d)	Under the terms of the Exempt Loan, the creditor has no recourse against Plan assets except with respect to the collateral described in paragraph (c) above, earnings attributable to
such collateral, and Employer Contributions (other than contributions made in Employer Stock) made to meet current obligations under the Exempt Loan and earnings attributable to such contributions. 

  

	(e)	Under the terms of the Exempt Loan, the shares of Employer Stock held as collateral for the loan that are to be released each Plan Year shall equal the product of (i) the number of
encumbered shares of Employer Stock held before the release of shares for the current Plan Year multiplied by (ii) a fraction, the numerator of which is the amount of principal and interest paid for the current Plan Year and the denominator of which
is the sum of the amount of principal and interest paid for the current Plan Year plus the principal and interest to be paid for all future Plan Years. 

  

 35 

	(f)	The Exempt Loan is for a specified term and is not payable on demand of any person, except in the case of default. 

  

	(g)	In the event of a default on an Exempt Loan, the value of the Trust Fund transferred in satisfaction of the Exempt Loan shall not exceed the amount of the default. If the lender is
a Disqualified Person, the Exempt Loan must provide for the transfer of Trust Funds only upon and to the extent of the failure of the Plan to meet the payment schedule under the Exempt Loan. 

  

	(h)	Payments made on the Exempt Loan during a Plan Year shall not exceed: (1) the sum over all the Plan Years during the term of the Exempt Loan of all Employer Contributions and cash
dividends paid by the Employer to the Plan with respect to such Exempt Loan and earnings on such contributions and dividends, less (2) the sum of all Exempt Loan payments during the preceding Plan Years. A separate accounting shall be maintained for
such Employer Contributions, cash dividends, and earnings until the Exempt Loan is repaid. 

  
 12.3 Sale or Repurchase of Shares of Employer Stock 
  
 Except as otherwise specifically provided in Section 16.8, no share of Employer Stock acquired with the proceeds of an Exempt Loan may be subject to a put, call, or other option, or buy-sell or similar arrangement
while held by or when distributed from the Trust, whether or not the Exempt Loan has been repaid or the Plan ceases to be an employee stock ownership plan. Subject to any right of first refusal provided in accordance with regulations issued under
Code Section 4975(e), no person may be required to sell shares to the Employers, nor may the Trust enter into an agreement that obligates the Trust to purchase Shares upon the death of a shareholder of an Employer. 
  

 36 

 ARTICLE XIII 
 WITHDRAWALS WHILE EMPLOYED 
  
 13.1 No
In-Service Withdrawals 
  
 Except as otherwise specifically provided in
Article XV, no Participant who is employed by an Employer or a Related Company shall be eligible to withdraw any portion of his Participant Account under the Plan. 
  

 37 

 ARTICLE XIV 
 TERMINATION OF EMPLOYMENT AND SETTLEMENT DATE 
  
 14.1 Termination of Employment and Settlement Date 
  
 A
Participant’s Settlement Date shall occur on the date he terminates employment with the Employers and all Related Companies because of death, disability, retirement, or other termination of employment. Written notice of a Participant’s
Settlement Date shall be given by the Administrator to the Trustee. 
  
 14.2
Separate Accounting for Non-Vested Amounts 
  
 If as of a Participant’s
Settlement Date the Participant’s vested interest in his Employer Contributions Sub-Account is less than 100 percent, that portion of his Employer Contributions Sub-Account that is not vested shall be accounted for separately from the vested
portion and shall be disposed of as provided in the following Section. If prior to such Settlement Date the Participant received a distribution under the Plan, his vested interest in his Employer Contributions Sub-Account shall be an amount
(“X”) determined by the following formula: 
  

					
	X = P(AB + D) - D
	
	For purposes of the formula:
			
	P	  	=	  	The Participant’s vested interest in his Employer Contributions Sub-Account on the date distribution is to be made.
			
	AB	  	=	  	The balance of the Participant’s Employer Contributions Sub-Account as of the Valuation Date immediately preceding the date distribution is to be made.
			
	D	  	=	  	The amount of all prior distributions from the Participant’s Employer Contributions Sub-Account.

  
 14.3 Disposition of Non-Vested
Amounts 
  
 That portion of a Participant’s Employer Contributions
Sub-Account that is not vested upon the occurrence of his Settlement Date shall be disposed of as follows: 
  

	(a)	If the Participant has no vested interest in his Account upon the occurrence of his Settlement Date or his vested interest in his Account as of the date of distribution does not
exceed $5,000, resulting in the distribution or deemed distribution to the Participant of his entire vested interest in his Account, the non-vested balance remaining in the Participant’s Employer Contributions Sub-Account shall be forfeited and
his Account closed as of (i) the Participant’s Settlement Date, if the Participant has no vested interest in his Account and is therefore deemed to have received distribution on that date, or (ii) the date actual distribution is made to the
Participant. 

  

 38 

	(b)	If the Participant’s vested interest in his Account exceeds $5,000 and the Participant is eligible for and consents in writing to a single sum payment of his vested interest in
his Account, the non-vested balance remaining in the Participant’s Employer Contributions Sub-Account shall be forfeited and his Account closed as of the date the single sum payment occurs, provided that such distribution is made because of the
Participant’s Settlement Date. A distribution is deemed to be made because of a Participant’s Settlement Date if it occurs prior to the end of the second Plan Year beginning on or after the Participant’s Settlement Date.

  

	(c)	If neither paragraph (a) nor paragraph (b) is applicable, the non-vested balance remaining in the Participant’s Employer Contributions Sub-Account shall continue to be held in
such Sub-Account and shall not be forfeited until the date the Participant incurs five consecutive Breaks in Service. 

  
 14.4 Treatment of Forfeited Amounts 
  
 Whenever the non-vested balance of a Participant’s Employer Contributions Sub-Account is forfeited during a Plan Year in accordance with the provisions of the
preceding Section, such forfeiture shall first be used to restore the forfeited Accounts of reemployed Participants who satisfy the requirements of Section 14.5 during such Plan Year and, if any forfeitures remain, then shall be allocated among the
Accounts of Participants who are Eligible Employees during the Plan Year for which the forfeiture is being allocated, are employed by the Employer for which the Participant whose Account is being forfeited last performed services, and have met the
allocation requirements for Employer Contributions described in Article VI. Any forfeited amounts shall be allocated in the ratio which an eligible Participant’s Compensation for the Plan Year from the Employer for which the Participant whose
Account is being forfeited last performed services bears to the aggregate of such Compensation for all such eligible Participants. Forfeitures credited to a Participant’s Account hereunder shall be credited to his Employer Contributions
Sub-Account. A Participant’s vested interest in amounts attributable to forfeitures allocated to his Employer Contributions Sub-Account shall be determined under the vesting schedule otherwise applicable to such Sub-Account pursuant to Article
VI. 
  
 14.5 Recrediting of Forfeited Amounts 
  
 A former Participant who forfeited the non-vested portion of his Employer Contributions
Sub-Account in accordance with the provisions of paragraph (a) or (b) of Section 14.3 and who is reemployed by an Employer or a Related Company shall have such forfeited amounts recredited to a new Account in his name, without adjustment for interim
gains or losses experienced by the Trust, if: 
  

	(a)	he returns to employment with an Employer or a Related Company before he incurs five consecutive Breaks in Service commencing after the date he received, or is deemed to have
received, distribution of his vested interest in his Account; 

  

 39 

	(b)	he resumes employment covered under the Plan before the earlier of (i) the end of the five-year period beginning on the date he is reemployed or (ii) the date he incurs five
consecutive Breaks in Service commencing after the date he received, or is deemed to have received, distribution of his vested interest in his Account; and 

  

	(c)	if he received actual distribution of his vested interest in his Account, he repays to the Plan the full amount of such distribution that is attributable to Employer Contributions
before the earlier of (i) the end of the five year period beginning on the date he is reemployed or (ii) the date he incurs five consecutive Breaks in Service commencing after the date he received distribution of his vested interest in his Account.

  
 Funds needed in any Plan Year to recredit the Account of a
Participant with the amounts of prior forfeitures in accordance with the preceding sentence shall come first from forfeitures that arise during such Plan Year, and then from Trust income earned in such Plan Year, to the extent that it has not yet
been allocated among Participants’ Accounts as provided in Article XI, with each Trust Fund being charged with the amount of such income proportionately, unless his Employer chooses to make an additional Employer Contribution, and shall finally
be provided by his Employer by way of a separate Employer Contribution. 
  

 40 

 ARTICLE XV 
 DISTRIBUTIONS 
  
 15.1 Distributions to
Participants 
  
 A Participant whose Settlement Date occurs shall receive
distribution of his vested interest in his Account in the form provided under Article XVI beginning as soon as reasonably practicable following his Settlement Date. A Participant may elect instead to postpone distribution to his Early or Normal
Retirement Date. A Participant who retires or terminates employment before his Normal Retirement Date and who does not apply for distribution is deemed to have elected to postpone distribution until his Normal Retirement Date. If a Participant who
has elected to postpone payments becomes Disabled before benefit payments are scheduled to commence, he may elect an earlier distribution. 
  
 15.2 Special Commencement and Distribution Rules 
  
 Notwithstanding the provisions of Section 15.1, if the Participant so elects, distribution shall not commence later than one year after the close of the Plan Year

  

	(a)	in which the Participant’s employment terminates (i) following the Participant’s Normal Retirement Date or (ii) because of death or Disability or 

 

	(b)	which is the fifth Plan Year following the Plan Year in which the Participant’s employment terminates for any other reason; provided, however, that this paragraph shall not
apply if the Participant is reemployed prior to that date. 

  
 The
provisions of this Section shall not apply to Employer Stock acquired with the proceeds of a loan described in Code Section 404(a)(9) until the close of the Plan Year in which such loan is repaid in full. 
  
 15.3 Special In-Service Distributions 
  
 A Participant who continues in employment with an Employer or a Related Company after his
Normal Retirement Date may elect to receive distribution of all or any portion of his Account in the form provided under Article XVI at any time following such date. 
  
 15.4 Distributions to Beneficiaries 
  
 If a Participant dies prior to his Benefit Payment Date, his Beneficiary shall receive distribution of the Participant’s vested interest in his Account in the form
provided under Article XVI beginning as soon as reasonably practicable following the date the Beneficiary’s application for distribution is filed with the Administrator. Unless distribution is to be made over the life or over a period certain
not greater than the life expectancy of the Beneficiary, distribution of the 
  

 41 

 Participant’s entire vested interest shall be made to the Beneficiary no later than the end of the fifth calendar
year beginning after the Participant’s death. If distribution is to be made over the life or over a period certain no greater than the life expectancy of the Beneficiary, distribution shall commence no later than: 
  

	(a)	If the Beneficiary is not the Participant’s spouse, the end of the first calendar year beginning after the Participant’s death; or 

  

	(b)	If the Beneficiary is the Participant’s spouse, the later of (i) the end of the first calendar year beginning after the Participant’s death or (ii) the end of the calendar
year in which the Participant would have attained age 70 1/2. 

  
 If distribution is to be made to a Participant’s spouse, it shall be made available
within a reasonable period of time after the Participant’s death that is no less favorable than the period of time applicable to other distributions. If a Participant dies after the date distribution of his vested interest in his Account begins
under this Article, but before his entire vested interest in his Account is distributed, his Beneficiary shall receive distribution of the remainder of the Participant’s vested interest in his Account beginning as soon as reasonably practicable
following the Participant’s date of death in a form that provides for distribution at least as rapidly as under the form in which the Participant was receiving distribution. 
  
 15.5 Cash Outs and Participant Consent 
  
 Notwithstanding any other provision of the Plan to the contrary, if a Participant’s vested interest in his Account does not exceed $5,000, distribution of such
vested interest shall be made to the Participant in a single sum payment or through a direct rollover, as described in Article XVI, as soon as reasonably practicable following his Settlement Date. If a Participant has no vested interest in his
Account on his Settlement Date, he shall be deemed to have received distribution of such vested interest on his Settlement Date. 
  
 If a Participant’s vested interest in his Account exceeds $5,000, distribution shall not commence to such Participant prior to his Normal Retirement Date without the
Participant’s written consent. 
  
 15.6 Required Commencement of
Distribution 
  
 Notwithstanding any other provision of the Plan to the
contrary, distribution of a Participant’s vested interest in his Account shall commence to the Participant no later than the earlier of: 
  

	(a)	unless the Participant elects a later date, 60 days after the close of the Plan Year in which (i) the Participant’s Normal Retirement Date occurs, (ii) the tenth anniversary of
the year in which he commenced participation in the Plan occurs, or (iii) his Settlement Date occurs, whichever is latest; or 

  

	(b)	his Required Beginning Date. 

  

 42 

 Distributions required to commence under this Section shall be made in the form provided under Article XVI and in
accordance with Code Section 401(a)(9) and regulations issued thereunder, including the minimum distribution incidental benefit requirements. 
  
 15.7 Transition Rules for Required Commencement of Distribution 
  
 A Participant who is receiving required distributions under the Plan pursuant to the provisions of Code Section 401(a)(9) as in effect prior to January 1, 1997, and whose
Settlement Date has not occurred shall continue to receive distributions hereunder in accordance with the provisions of the Plan in effect prior to January 1, 1998. 
  
 15.8 Reemployment of a Participant 
  
 If a Participant whose Settlement Date has occurred is reemployed by an Employer or a Related Company, he shall lose his right to any distribution or further
distributions from the Trust arising from his prior Settlement Date and his interest in the Trust shall thereafter be treated in the same manner as that of any other Participant whose Settlement Date has not occurred. 
  
 15.9 Restrictions on Alienation 
  
 Except as provided in Code Section 401(a)(13) (relating to qualified domestic relations
orders), Code Section 401(a)(13)(C) and (D) (relating to offsets ordered or required under a criminal conviction involving the Plan, a civil judgment in connection with a violation or alleged violation of fiduciary responsibilities under ERISA, or a
settlement agreement between the Participant and the Department of Labor in connection with a violation or alleged violation of fiduciary responsibilities under ERISA), Section 1.401(a)-13(b)(2) of Treasury regulations (relating to Federal tax
levies and judgments), or as otherwise required by law, no benefit under the Plan at any time shall be subject in any manner to anticipation, alienation, assignment (either at law or in equity), encumbrance, garnishment, levy, execution, or other
legal or equitable process; and no person shall have power in any manner to anticipate, transfer, assign (either at law or in equity), alienate or subject to attachment, garnishment, levy, execution, or other legal or equitable process, or in any
way encumber his benefits under the Plan, or any part thereof, and any attempt to do so shall be void. 
  
 15.10 Facility of Payment 
  
 If the
Administrator finds that any individual to whom an amount is payable hereunder is incapable of attending to his financial affairs because of any mental or physical condition, including the infirmities of advanced age, such amount (unless prior claim
therefore shall have been made by a duly qualified guardian or other legal representative) may, in the discretion of the Administrator, be paid to another person for the use or benefit of the individual found incapable of attending to his financial
affairs or in satisfaction of legal obligations incurred by or on behalf of such individual. The Trustee shall make such payment only upon receipt of written 
  

 43 

 instructions to such effect from the Administrator. Any such payment shall be charged to the Account from which any such
payment would otherwise have been paid to the individual found incapable of attending to his financial affairs and shall be a complete discharge of any liability therefore under the Plan. 
  
 15.11 Inability to Locate Payee 
  
 If any benefit becomes payable to any person, or to the executor or administrator of any deceased person, and if that person or his executor or administrator does not
present himself to the Administrator within a reasonable period after the Administrator mails written notice of his eligibility to receive a distribution hereunder to his last known address and makes such other diligent effort to locate the person
as the Administrator determines, that benefit will be forfeited. However, if the payee later files a claim for that benefit, the benefit will be restored. 
  
 15.12 Distribution Pursuant to Qualified Domestic Relations Orders 
  
 Notwithstanding any other provision of the Plan to the contrary, if a qualified domestic relations order so provides, distribution may be made to an alternate payee
pursuant to a qualified domestic relations order, as defined in Code Section 414(p), regardless of whether the Participant’s Settlement Date has occurred or whether the Participant is otherwise entitled to receive a distribution under the Plan.

  

 44 

 ARTICLE XVI 
 FORM OF PAYMENT 
  
 16.1 Normal Form of
Payment 
  
 Unless a Participant, or his Beneficiary, if the Participant has
died, elects the optional form of payment, distribution shall be made to the Participant, or his Beneficiary, as the case may be, in a single sum payment. 
  
 16.2 Optional Form of Payment 
  
 A Participant, or his Beneficiary, as the case may be, may elect to receive distribution of all or a portion of his Account in a series of installments over a period not
exceeding the life expectancy of the Participant, or the Participant’s Beneficiary, if the Participant has died, or a period not exceeding the joint life and last survivor expectancy of the Participant and his Beneficiary. Each installment
shall be equal in amount except as necessary to adjust for any changes in the value of the Participant’s Account. The determination of life expectancies shall be made on the basis of the expected return multiples in Tables V or VI of Section
1.72-9 of the Treasury regulations and shall be calculated once at the time installment payments begin. 
  
 Unless the Participant, or his Beneficiary, as the case may be, elects otherwise, distribution shall be made over a period no longer than (a) five years, with respect to a Participant whose vested interest in his
Account does not exceed $500,000, or (b) five years plus one additional year (to a maximum of five additional years) for each $100,000, or fraction thereof, by which the Participant’s vested interest in his Account exceeds $500,000. 

 
 16.3 Change of Election 
  
 A Participant or Beneficiary who has elected the optional form of payment may revoke or
change his election at any time prior to his Benefit Payment Date by filing his election with the Administrator in the form prescribed by the Administrator. 
  
 16.4 Direct Rollover 
  
 Notwithstanding any other provision of the Plan to the contrary, in lieu of receiving distribution in a form of payment provided under this Article, a “qualified distributee” may elect in writing, in
accordance with rules prescribed by the Administrator, to have a portion or all of any “eligible rollover distribution” paid directly by the Plan to the “eligible retirement plan” designated by the “qualified
distributee”. Any such payment by the Plan to another “eligible retirement plan” shall be a direct rollover. 
  
 Notwithstanding the foregoing, a “qualified distributee” may not elect a direct rollover with respect to an “eligible rollover distribution” if the
total value of such distribution is less than $200 or with respect to a portion of an “eligible rollover distribution” if the value of such portion is less than $500. For purposes of this Section, the following terms have the following
meanings: 
  

	(a)	An “eligible retirement plan” means an individual retirement account described in Code Section 408(a) an individual retirement annuity described in Code Section 408(b) an
annuity plan described in Code Section 403(a), or a qualified trust described in Code Section 401(a) that accepts rollovers; provided, however, that, in the case of a direct rollover by a surviving spouse, an eligible retirement plan does not
include a qualified trust described in Code Section 401(a). 

  

 45 

	(b)	An “eligible rollover distribution” means any distribution of all or any portion of the balance of a Participant’s Account; provided, however, that an eligible
rollover distribution does not include the following: 

  

	 	(i)	any distribution to the extent such distribution is required under Code Section 401(a)(9). 

  

	 	(ii)	any distribution that is one of a series of substantially equal periodic payment made not less frequently than annually for the life or life expectancy of the “qualified
distributee” or the joint lives or life expectancies of the “qualified distributee” and the “qualified distributee’s” designated beneficiary, or for a specified period of ten years or more. 

  

	(c)	A “qualified distributee” means a Participant, his surviving spouse, or his spouse or former spouse who is an alternate payee under a qualified domestic relations order,
as defined in Code Section 414(p). 

  
 16.5 Notice Regarding
Forms of Payment 
  
 Within the 60 day period ending 30 days before a
Participant’s Benefit Payment Date, the Administrator shall provide the Participant with a written explanation of his right to defer distribution until his Normal Retirement Date, or such later date as may be provided in the Plan, his right to
make a direct rollover, and the forms of payment provided under the Plan. Distribution of the Participant’s Account may commence fewer than 30 days after such notice is provided to the Participant if (i) the Administrator clearly informs the
Participant of his right to consider his election of whether or not to make a direct rollover or to receive a distribution prior to his Normal Retirement Date and his form of payment for a period of at least 30 days following his receipt of the
notice and (ii) the Participant, after receiving the notice, affirmatively elects an early distribution. 
  

 46 

 16.6 Reemployment 
  
 If a Participant is reemployed by an Employer or a Related Company prior to receiving distribution of the entire balance of his vested interest in his Account, his prior
election of a form of payment hereunder shall become ineffective. 
  
 16.7
Distribution in the Form of Employer Stock 
  
 Notwithstanding any other
provision of the Plan to the contrary, to the extent that his Account is invested in Employer Stock on the date distribution is to be made to a Participant, the Participant may elect to receive distribution of all or a portion of the fair market
value of such Account in the form of Employer Stock, unless the Employer’s charter or by-laws restrict ownership of Employer Stock to employees and the Trust Fund. Distribution in the form of Employer Stock shall be made in whole shares only.
Partial shares shall be distributed in cash. 
  
 The by-laws or articles of
incorporation of the Employer may restrict the sale or transfer of Employer Stock distributed from the Plan, provided that such restrictions apply to all Employer Stock of the same class. If such Employer Stock is subject to a right of first
refusal, in no event may the Employer pay a price for such Employer Stock that is less than the price offered by any third party making a bona fide offer and in no event shall the Trust pay a price less than the fair market value of the Employer
Stock. 
  
 16.8 Put Option 
  
 If distribution is made to a Participant or his Beneficiary of Employer Stock that is not
readily tradable on an established securities market or of Employer Stock acquired with the proceeds of an Exempt Loan that is subject to a trading limitation, such Employer Stock shall be subject to the put option described in this Section.
Employer Stock is subject to a “trading limitation” if it is subject to a restriction under Federal or State securities law or any regulation thereunder, or under an agreement (not prohibited under Section 12.3 of the Plan) that would make
the Employer Stock less freely tradable than stock not subject to such restriction. 
  
 The put option shall be exercisable during the 60-day period beginning the day following the date the Employer Stock is distributed to the Participant, or his Beneficiary, if applicable. If the put option is not exercised within such
period, the Participant, or his Beneficiary, if applicable, shall have an additional 60-day period beginning the first day of the Plan Year following the date the Employer Stock is distributed (or, if later, the first day following the end of the
initial 60-day period, as provided in regulations issued by the Secretary of the Treasury) in which to exercise the put option. However, in the case of Employer Stock that is publicly traded without restriction when distributed but ceases to be so
traded within either of the 60-day periods described herein after distribution, the Employer must notify each holder of such Employer Stock in writing on or before the tenth day after the date the Employer Stock ceases to be so traded that for the
remainder of the applicable 60-day period the Employer Stock is subject to the put option. The number of days between the tenth day and the date on which notice is actually given, if later than 
  

 47 

 the tenth day, must be added to the duration of the put option. The notice must inform distributees of the term of the
put option that they are to hold. The terms must satisfy the requirements of this Section. 
  
 The put option is exercised by the holder notifying the Employer in writing that the put option is being exercised. The notice shall state the name and address of the holder and the number of shares to be sold. The
period during which a put option is exercisable does not include any time when a distributee is unable to exercise it because the party bound by the put option is prohibited from honoring it because of applicable Federal or State law. The price at
which a put option must be exercisable is the fair market value of the Employer Stock. 
  
 Payment under a put option involving a “total distribution”, as defined herein, shall be paid in substantially equal monthly, quarterly, semiannual, or annual installments over a period certain beginning not later than 30 days
after the exercise of the put option and not extending beyond five years. Payment may be deferred if adequate security and a reasonable rate of interest on the unpaid amounts are provided. For purposes of this Section, a “total
distribution” means a distribution to a Participant or his Beneficiary within one taxable year of the Participant’s entire vested interest in his Account. 
  
 Payment under a put option involving installment distributions must be paid not later than 30 days after the exercise of the put option.

  
 Payment under a put option may not be restricted by the provisions of a loan
or any other arrangement, including the terms of the Employer’s articles of incorporation, unless so required by applicable state law. 
  

 48 

 ARTICLE XVII 
 BENEFICIARIES 
  
 17.1 Designation of
Beneficiary 
  
 An unmarried Participant’s Beneficiary shall be the
person or persons designated by such Participant in accordance with rules prescribed by the Administrator. A married Participant’s Beneficiary shall be his spouse, unless the Participant designates a person or persons other than his spouse as
Beneficiary with his spouse’s written consent. For purposes of this Section, a Participant shall be treated as unmarried and spousal consent shall not be required if the Participant is not married on his Benefit Payment Date. 
  
 If no Beneficiary has been designated pursuant to the provisions of this Section, or if no
Beneficiary survives the Participant and he has no surviving spouse, then the Beneficiary under the Plan shall be the Participant’s estate. If a Beneficiary dies after becoming entitled to receive a distribution under the Plan but before
distribution is made to him in full, and if the Participant has not designated another Beneficiary to receive the balance of the distribution in that event, the estate of the deceased Beneficiary shall be the Beneficiary as to the balance of the
distribution. 
  
 17.2 Spousal Consent Requirements 
  
 Any written spousal consent given pursuant to this Article must acknowledge the effect of
the action taken and must be witnessed by a Plan representative or a notary public. In addition, the spouse’s written consent must either (i) specify any non-spouse Beneficiary designated by the Participant and that such Beneficiary may not be
changed without written spousal consent or (ii) acknowledge that the spouse has the right to limit consent to a specific Beneficiary, but permit the Participant to change the designated Beneficiary without the spouse’s further consent. A
Participant’s spouse will be deemed to have given written consent to the Participant’s designation of Beneficiary if the Participant establishes to the satisfaction of a Plan representative that such consent cannot be obtained because the
spouse cannot be located or because of other circumstances set forth in Section 401(a)(11) of the Code and regulations issued thereunder. Any written consent given or deemed to have been given by a Participant’s spouse hereunder shall be valid
only with respect to the spouse who signs the consent. 
  

 49 

 ARTICLE XVIII 
 ADMINISTRATION 
  
 18.1 Authority of the
Sponsor 
  
 The Sponsor, which shall be the administrator for purposes of
ERISA and the plan administrator for purposes of the Code, shall be responsible for the administration of the Plan and, in addition to the powers and authorities expressly conferred upon it in the Plan, shall have all such powers and authorities as
may be necessary to carry out the provisions of the Plan, including the power and authority to interpret and construe the provisions of the Plan, to make benefit determinations, and to resolve any disputes which arise under the Plan. The Sponsor may
employ such attorneys, agents, and accountants as it may deem necessary or advisable to assist in carrying out its duties hereunder. The Sponsor shall be a “named fiduciary” as that term is defined in ERISA Section 402(a)(2). The Sponsor,
by action of its board of directors, may: 
  

	(a)	allocate any of the powers, authority, or responsibilities for the operation and administration of the Plan (other than trustee responsibilities as defined in Section 405(c)(3) of
ERISA) among named fiduciaries; and 

  

	(b)	designate a person or persons other than a named fiduciary to carry out any of such powers, authority, or responsibilities; 

  
 except that no allocation by the Sponsor of, or designation by the Sponsor with respect to,
any of such powers, authority, or responsibilities to another named fiduciary or a person other than a named fiduciary shall become effective unless such allocation or designation shall first be accepted by such named fiduciary or other person in a
writing signed by it and delivered to the Sponsor. 
  
 18.2 Discretionary
Authority 
  
 In carrying out its duties under the Plan, including making
benefit determinations, interpreting or construing the provisions of the Plan, and resolving disputes, the Sponsor (or any individual to whom authority has been delegated in accordance with Section 18.1) shall have absolute discretionary authority.

  
 18.3 Action of the Sponsor 
  
 Any act authorized, permitted, or required to be taken under the Plan by the Sponsor and
which has not been delegated in accordance with Section 18.1, may be taken by a majority of the members of the board of directors of the Sponsor, either by vote at a meeting, or in writing without a meeting, or by the employee or employees of the
Sponsor designated by the board of directors to carry out such acts on behalf of the Sponsor. All notices, advice, directions, certifications, approvals, and instructions required or authorized to be given by the Sponsor as 
  

 50 

 under the Plan shall be in writing and signed by either (i) a majority of the members of the Sponsor’s board of
directors or by such member or members as may be designated by an instrument in writing, signed by all the members thereof, as having authority to execute such documents on its behalf, or (ii) the employee or employees authorized to act for the
Sponsor in accordance with the provisions of this Section. 
  
 18.4 Claims
Review Procedure 
  
 Whenever a claim for benefits under the Plan filed by
any person (herein referred to as the “Claimant”) is denied, whether in whole or in part, the Sponsor shall transmit a written notice of such decision to the Claimant within 90 days of the date the claim was filed or, if special
circumstances require an extension, within 180 days of such date, which notice shall be written in a manner calculated to be understood by the Claimant and shall contain a statement of (i) the specific reasons for the denial of the claim, (ii)
specific reference to pertinent Plan provisions on which the denial is based, and (iii) a description of any additional material or information necessary for the Claimant to perfect the claim and an explanation of why such information is necessary.
The notice shall also include a statement advising the Claimant that, within 60 days of the date on which he receives such notice, he may obtain review of such decision in accordance with the procedures hereinafter set forth. Within such 60-day
period, the Claimant or his authorized representative may request that the claim denial be reviewed by filing with the Sponsor a written request therefore, which request shall contain the following information: 
  

	(a)	the date on which the Claimant’s request was filed with the Sponsor; provided, however, that the date on which the Claimant’s request for review was in fact filed with the
Sponsor shall control in the event that the date of the actual filing is later than the date stated by the Claimant pursuant to this paragraph; 

  

	(b)	the specific portions of the denial of his claim which the Claimant requests the Sponsor to review; 

  

	(c)	a statement by the Claimant setting forth the basis upon which he believes the Sponsor should reverse the previous denial of his claim for benefits and accept his claim as made; and

  

	(d)	any written material (offered as exhibits) which the Claimant desires the Sponsor to examine in its consideration of his position as stated pursuant to paragraph (c) of this
Section. 

  
 Within 60 days of the date determined pursuant to
paragraph (a) of this Section or, if special circumstances require an extension, within 120 days of such date, the Sponsor shall conduct a full and fair review of the decision denying the Claimant’s claim for benefits and shall render its
written decision on review to the Claimant. The Sponsor’s decision on review shall be written in a manner calculated to be understood by the Claimant and shall specify the reasons and Plan provisions upon which the Sponsor’s decision was
based. 
  

 51 

 18.5 Qualified Domestic Relations Orders 
  
 The Sponsor shall establish reasonable procedures to determine the status of domestic relations orders and to administer distributions under
domestic relations orders which are deemed to be qualified orders. Such procedures shall be in writing and shall comply with the provisions of Section 414(p) of the Code and regulations issued thereunder. 
  
 18.6 Indemnification 
  
 In addition to whatever rights of indemnification the Trustee or the members of the Sponsor’s board of directors or any employee or
employees of the Sponsor to whom any power, authority, or responsibility is delegated pursuant to Section 18.3, may be entitled under the articles of incorporation or regulations of the Sponsor, under any provision of law, or under any other
agreement, the Sponsor shall satisfy any liability actually and reasonably incurred by any such person or persons, including expenses, attorneys’ fees, judgments, fines, and amounts paid in settlement (other than amounts paid in settlement not
approved by the Sponsor), in connection with any threatened, pending or completed action, suit, or proceeding which is related to the exercising or failure to exercise by such person or persons of any of the powers, authority, responsibilities, or
discretion as provided under the Plan, or reasonably believed by such person or persons to be provided hereunder, and any action taken by such person or persons in connection therewith, unless the same is judicially determined to be the result of
such person or persons’ gross negligence or willful misconduct. 
  
 18.7
Actions Binding 
  
 Subject to the provisions of Section 18.4, any action
taken by the Sponsor which is authorized, permitted, or required under the Plan shall be final and binding upon the Employers, the Trustee, all persons who have or who claim an interest under the Plan, and all third parties dealing with the
Employers or the Trustee. 
  

 52 

 ARTICLE XIX 
 AMENDMENT AND TERMINATION 
  
 19.1
Amendment 
  
 Subject to the provisions of Section 19.2, the Sponsor may at
any time and from time to time, by action of its board of directors, or such officers of the Sponsor as are authorized by its board of directors, amend the Plan, either prospectively or retroactively. Any such amendment shall be by written
instrument executed by the Sponsor. 
  
 19.2 Limitation on Amendment

  
 The Sponsor shall make no amendment to the Plan which shall decrease the
accrued benefit of any Participant or Beneficiary, except that nothing contained herein shall restrict the right to amend the provisions of the Plan relating to the administration of the Plan and Trust. Moreover, no such amendment shall be made
hereunder which shall permit any part of the Trust to revert to an Employer or any Related Company or be used or be diverted to purposes other than the exclusive benefit of Participants and Beneficiaries. The Sponsor shall make no retroactive
amendment to the Plan unless such amendment satisfies the requirements of Code Section 401(b) and/or Section 1.401(a)(4)-11(g) of the Treasury regulations, as applicable. 
  
 19.3 Termination 
  
 The Sponsor reserves the right, by action of its board of directors, to terminate the Plan as to all Employers at any time (the effective date of such termination being
hereinafter referred to as the “termination date”). Upon any such termination of the Plan, the following actions shall be taken for the benefit of Participants and Beneficiaries: 
  

	(a)	As of the termination date, each Investment Fund shall be valued and all Accounts and Sub-Accounts shall be adjusted in the manner provided in Article XI, with any unallocated
contributions or forfeitures being allocated as of the termination date in the manner otherwise provided in the Plan. The termination date shall become a Valuation Date for purposes of Article XI. In determining the net worth of the Trust, there
shall be included as a liability such amounts as shall be necessary to pay all expenses in connection with the termination of the Trust and the liquidation and distribution of the property of the Trust, as well as other expenses, whether or not
accrued, and shall include as an asset all accrued income. 

  

	(b)	All Accounts shall then be disposed of to or for the benefit of each Participant or Beneficiary in accordance with the provisions of Article XV as if the termination date were his
Settlement Date; provided, however, that notwithstanding the provisions of Article XV, if the Plan does not offer an annuity option and if neither his Employer nor a Related Company establishes or maintains another defined contribution plan (other
than 

  

 53 

 an employee stock ownership plan as defined in Code Section 4975(e)(7)), the Participant’s written
consent to the commencement of distribution shall not be required regardless of the value of the vested portions of his Account. 
  
 Notwithstanding anything to the contrary contained in the Plan, upon any such Plan termination, the vested interest of each Participant and Beneficiary in his Employer
Contributions Sub-Account shall be 100 percent; and, if there is a partial termination of the Plan, the vested interest of each Participant and Beneficiary who is affected by the partial termination in his Employer Contributions Sub-Account shall be
100 percent. For purposes of the preceding sentence only, the Plan shall be deemed to terminate automatically if there shall be a complete discontinuance of contributions hereunder by all Employers. 
  
 19.4 Reorganization 
  
 The merger, consolidation, or liquidation of any Employer with or into any other Employer or a Related Company shall not constitute a
termination of the Plan as to such Employer. 
  
 19.5 Withdrawal of an Employer

  
 An Employer other than the Sponsor may withdraw from the Plan at any time
upon notice in writing to the Administrator (the effective date of such withdrawal being hereinafter referred to as the “withdrawal date”), and shall thereupon cease to be an Employer for all purposes of the Plan. An Employer shall be
deemed automatically to withdraw from the Plan in the event of its complete discontinuance of contributions, or, subject to Section 19.4 and unless the Sponsor otherwise directs, it ceases to be a Related Company of the Sponsor or any other
Employer. Upon the withdrawal of an Employer, the withdrawing Employer shall determine whether a partial termination has occurred with respect to its Employees. In the event that the withdrawing Employer determines a partial termination has
occurred, the action specified in Section 19.3 shall be taken as of the withdrawal date, as on a termination of the Plan, but with respect only to Participants who are employed solely by the withdrawing Employer, and who, upon such withdrawal, are
neither transferred to nor continued in employment with any other Employer or a Related Company. The interest of any Participant employed by the withdrawing Employer who is transferred to or continues in employment with any other Employer or a
Related Company, and the interest of any Participant employed solely by an Employer or a Related Company other than the withdrawing Employer, shall remain unaffected by such withdrawal; no adjustment to his Accounts shall be made by reason of the
withdrawal; and he shall continue as a Participant hereunder subject to the remaining provisions of the Plan. 
  

 54 

 ARTICLE XX 
 ADOPTION BY OTHER ENTITIES 
  
 20.1
Adoption by Related Companies 
  
 A Related Company that is not an Employer
may, with the consent of the Sponsor, adopt the Plan and become an Employer hereunder by causing an appropriate written instrument evidencing such adoption to be executed in accordance with the requirements of its organizational authority. Any such
instrument shall specify the effective date of the adoption. 
  
 20.2 Effective
Plan Provisions 
  
 An Employer who adopts the Plan shall be bound by the
provisions of the Plan in effect at the time of the adoption and as subsequently in effect because of any amendment to the Plan. 
  

 55 

 ARTICLE XXI 
 MISCELLANEOUS PROVISIONS 
  
 21.1 No
Commitment as to Employment 
  
 Nothing contained herein shall be construed
as a commitment or agreement upon the part of any person to continue his employment with an Employer or Related Company, or as a commitment on the part of any Employer or Related Company to continue the employment, compensation, or benefits of any
person for any period. 
  
 21.2 Benefits 
  
 Nothing in the Plan nor the Trust Agreement shall be construed to confer any right or claim
upon any person, firm, or corporation other than the Employers, the Trustee, Participants, and Beneficiaries. 
  
 21.3 No Guarantees 
  
 The Employers, the
Administrator, and the Trustee do not guarantee the Trust from loss or depreciation, nor do they guarantee the payment of any amount which may become due to any person hereunder. 
  
 21.4 Expenses 
  
 The expenses of administration of the Plan shall be paid from the Trust as a general charge thereon, unless the Sponsor elects to make payment. Notwithstanding the
foregoing, the Sponsor may direct that administrative expenses that are allocable to the Account of a specific Participant shall be paid from that Account. 
  
 21.5 Precedent 
  
 Except as otherwise specifically provided, no action taken in accordance with the Plan shall be construed or relied upon as a precedent for similar action under similar circumstances. 
  
 21.6 Duty to Furnish Information 
  
 The Employers, the Administrator, and the Trustee shall furnish to any of the others any
documents, reports, returns, statements, or other information that the other reasonably deems necessary to perform its duties hereunder or otherwise imposed by law. 
  

 56 

 21.7 Merger, Consolidation, or Transfer of Plan Assets 
  
 The Plan shall not be merged or consolidated with any other plan, nor shall any of its
assets or liabilities be transferred to another plan, unless, immediately after such merger, consolidation, or transfer of assets or liabilities, each Participant in the Plan would receive a benefit under the Plan which is at least equal to the
benefit he would have received immediately prior to such merger, consolidation, or transfer of assets or liabilities (assuming in each instance that the Plan had then terminated). 
  
 21.8 Back Pay Awards 
  
 The provisions of this Section shall apply only to an Employee or former Employee who becomes entitled to back pay by an award or agreement of an Employer without regard
to mitigation of damages. If a person to whom this Section applies was or would have become an Eligible Employee after such back pay award or agreement has been effected, and if any such person would have been eligible to participate in the
allocation of Employer Contributions under the provisions of Article VI or XXII for any prior Plan Year after such back pay award or agreement has been effected, his Employer shall make an Employer Contribution equal to the amount of the Employer
Contribution which would have been allocated to such Participant under the provisions of Article VI or XXII as in effect during each such Plan Year. The amounts of such additional contributions shall be credited to the Account of such Participant.
Any additional contributions made pursuant to this Section shall be made in accordance with, and subject to the limitations of the applicable provisions of the Plan. 
  
 21.9 Condition on Employer Contributions 
  
 Notwithstanding anything to the contrary contained in the Plan or the Trust Agreement, any contribution of an Employer hereunder is conditioned upon the continued
qualification of the Plan under Code Section 401(a), the exempt status of the Trust under Code Section 501(a), and the deductibility of the contribution under Code Section 404. Except as otherwise provided in this Section and Section 21.10, however,
in no event shall any portion of the property of the Trust ever revert to or otherwise inure to the benefit of an Employer or any Related Company. 
  
 21.10 Return of Contributions to an Employer 
  
 Notwithstanding any other provision of the Plan or the Trust Agreement to the contrary, in the event any contribution of an Employer made hereunder: 
  

	(a)	is made under a mistake of fact, or 

  

	(b)	is disallowed as a deduction under Code Section 404, 

  
 such contribution may be returned to the Employer within one year after the payment of the contribution or the disallowance of the deduction to the extent disallowed,
whichever is 
  

 57 

 applicable. In the event the Plan does not initially qualify under Code Section 401(a), any contribution of an Employer
made hereunder may be returned to the Employer within one year of the date of denial of the initial qualification of the Plan, but only if an application for determination was made within the period of time prescribed under ERISA Section
403(c)(2)(B). 
  
 21.11 Validity of Plan 
  
 The validity of the Plan shall be determined and the Plan shall be construed and interpreted
in accordance with the laws of the State of California, except as preempted by applicable Federal law. The invalidity or illegality of any provision of the Plan shall not affect the legality or validity of any other part thereof. 
  
 21.12 Trust Agreement 
  
 The Trust Agreement and the Trust maintained thereunder shall be deemed to be a part of the Plan as if fully set forth herein and the
provisions of the Trust Agreement are hereby incorporated by reference into the Plan. 
  
 21.13 Parties Bound 
  
 The Plan shall be binding upon the
Employers, all Participants and Beneficiaries hereunder, and, as the case may be, the heirs, executors, administrators, successors, and assigns of each of them. 
  

21.14 Application of Certain Plan Provisions 
  
 For purposes of the general administrative provisions and limitations of the Plan, a Participant’s Beneficiary or alternate payee under a qualified domestic
relations order shall be treated as any other person entitled to receive benefits under the Plan. Upon any termination of the Plan, any such Beneficiary or alternate payee under a qualified domestic relations order who has an interest under the Plan
at the time of such termination, which does not cease by reason thereof, shall be deemed to be a Participant for all purposes of the Plan. 
  
 21.15 Merged Plans 
  
 In the event another defined contribution plan (the “merged plan”) is merged into and made a part of the Plan, each Employee who was eligible to participate in the “merged plan” immediately prior
to the merger shall become an Eligible Employee on the date of the merger. In no event shall a Participant’s vested interest in his Sub-Account attributable to amounts transferred to the Plan from the “merged plan” (his
“transferee Sub-Account”) on and after the merger be less than his vested interest in his account under the “merged plan” immediately prior to the merger. Notwithstanding any other provision of the Plan to the contrary, a
Participant’s service credited for eligibility and vesting purposes under the “merged plan” as of the merger, if any, shall be included as Eligibility and Vesting Service under the Plan to the extent Eligibility and Vesting Service
are credited under the Plan. Special provisions applicable to a Participant’s “transferee Sub-Account”, if any, shall be specifically reflected in the Plan or in an Addendum to the Plan. 
  

 58 

 21.16 Transferred Funds 
  

If funds from another qualified plan are transferred or merged into the Plan, such funds shall be held and administered in accordance with any restrictions applicable
to them under such other plan to the extent required by law and shall be accounted for separately to the extent necessary to accomplish the foregoing. 
  
 21.17 Veterans Reemployment Rights 
  
 Notwithstanding any other provision of the Plan to the contrary, contributions, benefits, and service credit with respect to qualified military service shall be provided
in accordance with Code Section 414(u). The Administrator shall notify the Trustee of any Participant with respect to whom additional contributions are made because of qualified military service. 
  
 21.18 Delivery of Cash Amounts 
  
 To the extent that the Plan requires the Employers to deliver cash amounts to the Trustee,
such delivery may be made through any means acceptable to the Trustee, including wire transfer. 
  
 21.19 Written Communications 
  
 Any
communication among the Employers, the Administrator, and the Trustee that is stipulated under the Plan to be made in writing may be made in any medium that is acceptable to the receiving party and permitted under applicable law. In addition, any
communication or disclosure to or from Participants and/or Beneficiaries that is required under the terms of the Plan to be made in writing may be provided in any other medium (electronic, telephonic, or otherwise) that is acceptable to the
Administrator and permitted under applicable law. 
  
 21.20 Prohibited
Obligations 
  
 The Plan cannot obligate itself to acquire Employer Stock
from a particular holder as an indefinite time determined upon the happening of a specified event, such as the death of the holder, or under a put option binding upon the Plan. However, at the time a put option is exercised, the Plan may be given
the opportunity to assume the rights and obligations of the Employer under a put option that is binding on the Employer. The price to the Plan of any Employer Stock acquired under a put option cannot exceed fair market value. 
  
 21.21 Exercise of Voting Rights with Respect to Employer Stock 
  
 If the Employer has a registration-type class of securities or, with respect to Employer
Stock acquired by, or transferred to, the Plan in connection with a securities acquisition loan (as defined 
  

 59 

 in Code Section 133(b)) after July 10, 1989, but before August 20, 1996, each Participant or his Beneficiary, if the
Participant has died, shall be entitled to direct the Trustee as to the manner in which the Employer Stock which is entitled to vote and which is allocated to the Participant’s Employer Stock Sub-Account is to be voted. 
  
 If the Employer does not have a registration-type class of securities, with respect to
Employer Stock other than Employer Stock acquired by, or transferred to, the Plan in connection with a securities acquisition loan (as defined in Code Section 133(b)) after July 10, 1989, but before August 20, 1996, each Participant or Beneficiary
in the Plan shall be entitled to direct the Trustee as to the manner in which voting rights on shares of Employer Stock that are allocated to the Participant’s Employer Stock Sub-Account are to be exercised with respect to any corporate matter
which involves the voting of such shares with respect to the approval or disapproval of any corporate merger or consolidation, recapitalization, reclassification, liquidation, dissolution, sale of substantially all assets of a trade or business, or
such similar transaction as prescribed in Regulations. 
  
 If the Employer does
not have a registration-type class of securities and the by-laws of the Employer require the Plan to vote an issue in a manner that reflects a one-man, one-vote philosophy, each Participant or Beneficiary shall be entitled to cast one vote on an
issue and the Trustee shall vote the shares held by the Plan in proportion to the results of the votes cast on the issue by the Participants and Beneficiaries. 
  

The Trustee shall be entitled to exercise, in such a manner as the Trustee deems appropriate, all voting rights attributable to Employer Stock (a) which is held
unallocated in the Suspense Fund or (b) for which the Trustee proffers pass-through voting rights in accordance with the foregoing provisions of this Section, and for which the Trustee does not receive any written direction from the Participant as
to the manner in which votes shall be cast with respect to shares held in the Participant’s account. 
  
 If any agreement entered into by the Trust provides for voting of any shares of Employer Stock pledged as security for any obligation of the Plan, then such shares of Employer Stock shall be voted in accordance with
such agreement. 
  
 For purposes of this Section the term “registration-type
class of securities” means: 
  

	(a)	a class of securities required to be registered under Section 12 of the Securities Exchange Act of 1934; and 

  

	(b)	a class of securities which would be required to be so registered except for the exemption from registration provided in subsection (g)(2)(H) of such Section 12 of such Act.

  

 60 

 ARTICLE XXII 
 TOP-HEAVY PROVISIONS 
  
 22.1
Definitions 
  
 For purposes of this Article, the following terms shall have
the following meanings: 
  
 The “compensation” of an employee
means compensation as defined in Code Section 415 and regulations issued thereunder. In no event, however, shall the “compensation” of a Participant taken into account under the Plan for any Plan Year exceed $150,000 (subject to adjustment
annually as provided in Code Sections 401(a)(17)(B) and 415(d); provided, however, that the dollar increase in effect on January 1 of any calendar year, if any, is effective for Plan Years beginning in such calendar year). If the
“compensation” of a Participant is determined over a period of time that contains fewer than 12 calendar months, then the annual “compensation” limitation described above shall be adjusted with respect to that Participant by
multiplying the annual “compensation” limitation in effect for the Plan Year by a fraction the numerator of which is the number of full months in the period and the denominator of which is 12; provided, however, that no proration is
“required” for a Participant who is covered under the Plan for less than one full Plan Year if the formula for allocations is based on “compensation” for a period of at least 12 months. 
  
 The “determination date” with respect to any Plan Year means the last day of
the preceding Plan Year, except that the “determination date” with respect to the first Plan Year of the Plan, shall mean the last day of such Plan Year. 
  
 A “key employee” means any Employee or former Employee who is a “key employee” pursuant to the provisions of Code
Section 416(i)(1) and any Beneficiary of such Employee or former Employee. 
  
 A
“non-key employee” means any Employee who is not a “key employee”. 
  
 A “permissive aggregation group” means those plans included in each Employer’s “required aggregation group” together with any other plan or plans of the Employer, so long as the entire
group of plans would continue to meet the requirements of Code Sections 401(a)(4) and 410. 
  
 A “required aggregation group” means the group of tax-qualified plans maintained by an Employer or a Related Company consisting of each plan in which a “key employee” participates and each
other plan that enables a plan in which a “key employee” participates to meet the requirements of Code Section 401(a)(4) or Code Section 410, including any plan that terminated within the five-year period ending on the relevant
“determination date”. 
  
 A “super top-heavy group”
with respect to a particular Plan Year means a “required” or “permissive aggregation group” that, as of the “determination date”, would qualify as a “top-heavy group” under the definition in this Section with
“90 percent” substituted for “60 percent” each place where “60 percent” appears in the definition. 
  

 61 

 A “super top-heavy plan” with respect to a particular Plan Year means a plan that, as of the
“determination date”, would qualify as a “top-heavy plan” under the definition in this Section with “90 percent” substituted for “60 percent” each place where “60 percent” appears in the definition.
A plan is also a “super top-heavy plan” if it is part of a “super top-heavy group”. 
  
 A “top-heavy group” with respect to a particular Plan Year means a “required” or “permissive aggregation group” if the sum, as of the “determination date”, of the present
value of the cumulative accrued benefits for “key employees” under all defined benefit plans included in such group and the aggregate of the account balances of “key employees” under all defined contribution plans included in
such group exceeds 60 percent of a similar sum determined for all employees covered by the plans included in such group. 
  
 A “top-heavy plan” with respect to a particular Plan Year means (i), in the case of a defined contribution plan (including any simplified employee
pension plan), a plan for which, as of the “determination date”, the aggregate of the accounts (within the meaning of Code Section 416(g) and the regulations and rulings thereunder) of “key employees” exceeds 60 percent of the
aggregate of the accounts of all participants under the plan, with the accounts valued as of the relevant valuation date and increased for any distribution of an account balance made in the five-year period ending on the “determination
date”, (ii), in the case of a defined benefit plan, a plan for which, as of the “determination date”, the present value of the cumulative accrued benefits payable under the plan (within the meaning of Code Section 416(g) and the
regulations and rulings thereunder) to “key employees” exceeds 60 percent of the present value of the cumulative accrued benefits under the plan for all employees, with the present value of accrued benefits for employees (other than
“key employees”) to be determined under the accrual method uniformly used under all plans maintained by an Employer or, if no such method exists, under the slowest accrual method permitted under the fractional accrual rate of Code Section
411(b)(1)(C) and including the present value of any part of any accrued benefits distributed in the five-year period ending on the “determination date”, and (iii) any plan (including any simplified employee pension plan) included in a
“required aggregation group” that is a “top-heavy group”. For purposes of this paragraph, the accounts and accrued benefits of any employee who has not performed services for an Employer or a Related Company during the five-year
period ending on the “determination date” shall be disregarded. For purposes of this paragraph, the present value of cumulative accrued benefits under a defined benefit plan for purposes of top-heavy determinations shall be calculated
using the actuarial assumptions otherwise employed under such plan, except that the same actuarial assumptions shall be used for all plans within a “required” or “permissive aggregation group”. Notwithstanding the foregoing, if a
plan is included in a “required” or “permissive aggregation group” that is not a “top-heavy group”, such plan shall not be a “top-heavy plan”. 
  
 The “valuation date” with respect to any “determination date” means the most recent Valuation Date occurring
within the 12-month period ending on the “determination date”. 
  

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 22.2 Applicability 
  
 Notwithstanding any other provision of the Plan to the contrary, the provisions of this Article shall be applicable during any Plan Year in which the Plan is determined
to be a “top-heavy plan” as hereinafter defined. If the Plan is determined to be a “top-heavy plan” and upon a subsequent “determination date” is determined no longer to be a “top-heavy plan”, the vesting
provisions of Article VI shall again become applicable as of such subsequent “determination date”; provided, however, that if the prior vesting provisions do again become applicable, any Employee with three or more years of Vesting Service
may elect in accordance with the provisions of Article VI, to continue to have his vested interest in his Employer Contributions Sub-Account determined in accordance with the vesting schedule specified in Code Section 22.5. 
  
 22.3 Minimum Employer Contribution 
  
 If the Plan is determined to be a “top-heavy plan” for a Plan Year, the Employer
Contributions and forfeitures allocated to the Account of each “non-key employee” who is an Eligible Employee and who is employed by an Employer or a Related Company on the last day of such top-heavy Plan Year shall be no less than the
lesser of (i) three percent of his “compensation” or (ii) the largest percentage of “compensation” that is allocated as an Employer Contribution for such Plan Year to the Account of any “key employee”; except that, in
the event the Plan is part of a “required aggregation group”, and the Plan enables a defined benefit plan included in such group to meet the requirements of Code Section 401(a)(4) or 410, the minimum allocation of Employer Contributions
and forfeitures to each such “non-key employee” shall be three percent of the “compensation” of such “non-key employee”. Any minimum allocation to a “non-key employee” required by this Section shall be made
without regard to any social security contribution made on behalf of the non-key employee, his number of hours of service, his level of “compensation”, or whether he declined to make elective or mandatory contributions. 
  
 Employer Contributions allocated to a Participant’s Account in accordance with this
Section shall be considered “annual additions” under Article VII for the “limitation year” for which they are made and shall be separately accounted for. 
  

 63 

 22.4 Accelerated Vesting 
  

If the Plan is determined to be a top-heavy plan, a Participant’s vested interest in his Employer Contributions Sub-Account shall be determined no less rapidly
than in accordance with the following vesting schedule: 
  

				
	 Years of Vesting Service

	  	Vested Interest

	 
	 Less than 2
	  	0	%
	 2, but less than 3
	  	20	%
	 3, but less than 4
	  	40	%
	 4, but less than 5
	  	60	%
	 5, but less than 6
	  	80	%
	 6 or more
	  	100	%

  

 64 

 ARTICLE XXIII 
 EFFECTIVE DATE 
  
 23.1 GUST Effective
Dates 
  
 Unless otherwise specifically provided by the terms of the Plan,
this amendment and restatement is effective with respect to each change made to satisfy the provisions of (i) the Uniformed Services Employment and Reemployment Rights Act of 1996 (“USERRA”), (ii) Small Business Job Protection Act of 1996
(“SBJPA”), (iii) the Tax Reform Act of 1997 (“TRA ‘97”), (iv) any other change in the Code or ERISA, or (v) regulations, rulings, or other published guidance issued under the Code, ERISA, USERRA, SBJPA, or TRA ‘97
(collectively the “GUST required changes”), the first day of the first period (which may or may not be the first day of a Plan Year) with respect to which such change became required because of such provision (including any day that became
such as a result of an election or waiver by an Employee or a waiver or exemption issued under the Code, ERISA, USERRA, SBJPA, or TRA ‘97), including, but not limited to, the following: 
  

	(a)	The addition of a new Section to Article XXI entitled “Veterans Reemployment Rights” is effective December 12, 1994. 

  

	(b)	The following changes are effective for Plan Years beginning after December 31, 1996: 

  

	 	(i)	elimination of the family aggregation requirements; 

  

	 	(ii)	changes to the definition of “Highly Compensated Employee” in Article I of the Plan; and 

  

	 	(iii)	changes to the definition of “leased employee” in Article I or II, as applicable. 

  

	(c)	Changes in the definition of “Required Beginning Date” in Article I of the Plan are effective January 1, 1998, but with respect only to Employees who attain age 70 1/2 on or after that date. 

  

	(d)	Changes to the anti-alienation provisions of Article XV to include the exceptions in Code Section 401(a)(13)(C) and (D) are effective for judgments, orders, and decrees issued and
settlement agreements entered into on or after August 5, 1997. 

  

	(e)	The increase in the cashout limit from $3,500 to the limit specified in the Plan is effective January 1, 1998. 

  

	(f)	Elimination of the look back rule for determining whether the value of a Participant’s Account exceeds the cashout limit is effective March 22, 1999. 

 

 65 

	(g)	Elimination of the combined limit on defined benefit and defined contribution plans under Code Section 415(e) is effective the first day of the first “limitation year”
beginning on or after January 1, 2000. 

  
 The special effective
dates provided above apply the provisions of the Plan retroactively to any plan that merged into the Plan prior to the end of its remedial amendment period for compliance with the GUST required changes, except to the extent the merged plan was
separately amended to comply with such GUST required changes. 
  
 *    *    * 
  
 EXECUTED AT
                                        
                                        
        ,
                                        ,
this                      day of
                    ,
                    . 
  

			
	 PACIFIC CAPITAL BANCORP

		
	 By:
	 	  

	 Title:
	 	  

  

 66

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