Document:

Exhibit 4.2

 

	

    	
HUDBAY MINERALS   INC. BY-LAW NUMBER 1 BY-LAW NO. 1 A by-law relating generally to the conduct   of the affairs of HUDBAY MINERALS INC. CONTENTS Part One - Interpretation   Part Two - Business of the Corporation Part Three - Directors Part Four - Meetings   of Directors Part Five - Committees Part Six - Officers Part Seven -   Protection of Directors, Officers and Others Part Eight - Shares Part Nine -   Dividends and Rights Part Ten - Meetings of Shareholders Part Eleven -   Notices Part Twelve - Effective Date BE IT ENACTED AND IT IS HEREBY ENACTED   as a by-law of HudBay Minerals Inc. (hereinafter called the “Corporation”) as   follows: PART ONE INTERPRETATION 1.01 Definitions In this by-law and all   other by-laws of the Corporation, unless the context otherwise specifies or   requires:
    

 

	

    	
- 2 - - “Act”   means the Canada Business Corporations Act, R.S.C., 1985, c. C-44, as from   time to time amended, and every statute that may be substituted therefor and,   in the case of such amendment or substitution, any reference in the by-laws   of the Corporation shall be read as referring to the amended or substituted   provisions therefor: - “board” means the board of directors of the   Corporation; - “by-laws” means any by-law of the Corporation from time to   time in force and effect; - “meeting of shareholders” includes an annual   meeting of shareholders and a special meeting of shareholders; -   “non-business day” means Saturday, Sunday and any other day that is a holiday   as defined in the Interpretation Act (Canada); - “recorded address” means in   the case of a shareholder, his address as recorded in the securities   register; and in the case of joint shareholders, the address appearing in the   securities register in respect of such joint holding, or the first address so   appearing if there are more than one; and in the case of a director, officer,   auditor or member of a committee of the board, his latest address as recorded   in the records of the Corporation; - “signing officer” means, in relation to   any instrument, any person authorized to sign the same on behalf of the   Corporation by section 2.04 or by a resolution passed pursuant thereto; -   “special meeting of shareholders” includes a meeting of any class or classes   of shareholders, and means a special meeting of all shareholders entitled to   vote at an annual meeting of shareholders: - all terms contained in the   by-laws which are defined in the Act shall have the meanings given to such   terms in the Act; - words importing the singular number only shall include   the plural and vice-versa; words importing the masculine gender shall include   the feminine and neuter genders; words importing persons shall include bodies   corporate, partnerships, syndicates, trusts and any number or aggregate of   persons; and - the headings used in the by-laws are inserted for reference   purposes only, and are not to be considered or taken into account in   construing the terms or provisions thereof, or to be deemed in any way to   clarify, modify or explain the effect of any such terms or provisions. PART   TWO BUSINESS OF THE CORPORATION 2.01 Registered Office Unless changed in   accordance with the Act, the registered office of the Corporation shall be at   the place within Canada from time to time specified in the articles and at   such address therein as the directors may from time to time determine.
    

 

	

    	
- 3 - 2.02   Corporate Seal The corporate seal of the Corporation shall be in such form as   the directors may by resolution adopt from time to time. 2.03 Financial Year   The first financial period of the Corporation and thereafter the fiscal year   of the Corporation shall terminate on such date as the directors may by   resolution determine. 2.04 Execution of Contracts, Etc. Subject to section   2.06, contracts, documents or instruments in writing requiring the signature   of the Corporation may be signed on behalf of the Corporation, when only one   person is elected or appointed as an officer and as the director of the   Corporation, by that person and, when two or more persons are elected or   appointed as an officer or as a director of the Corporation, by any one   director or any one person holding the office of chairman or co-chairman of   the board, managing director, president, chief executive officer, chief   operating officer, chief financial officer, vice-president, general manager,   secretary, treasurer, controller, assistant secretary, assistant treasurer or   any other office the holder of which has been designated as a signing officer   by the directors. The directors are authorized from time to time by   resolution to appoint any officer or officers or any other person or persons   on behalf of the Corporation, including, without limitation, any director of   the Corporation, either to sign contracts, documents or instruments in   writing generally or to sign specific contracts, documents or instruments in   writing. The signature or signatures of any officer or director of the   Corporation and of any officer or officers, person or persons appointed as   aforesaid by resolution of the directors may, if specifically authorized by   resolution of the directors, be printed, engraved, lithographed or otherwise   mechanically reproduced upon all contracts, documents or instruments in   writing or bonds, debentures or other securities of the Corporation executed   or issued by or on behalf of the Corporation, and all contracts, documents or   instruments in writing or securities of the Corporation on which the   signature or signatures of any of the foregoing officers, directors or   persons shall be so reproduced, as authorized by resolution of the directors,   shall be deemed to have been manually signed by such officers, directors or   persons whose signature or signatures is or are so reproduced, and shall be   as valid to all intents and purposes as if they had been signed manually, and   notwithstanding that the officers, directors or persons whose signature or   signatures is or are so reproduced may have ceased to hold office at the date   of the delivery or issue of such contracts, documents or instruments in   writing or securities of the Corporation. The corporate seal of the Corporation   may, when required, be affixed to contracts, documents or instruments in   writing signed as aforesaid or by an officer or officers, person or persons   appointed as aforesaid by resolution of the board of directors, although a   document is not invalid merely because a corporate seal is not affixed   thereto. The term “contracts, documents or instruments in writing” as used in   this by-law shall include deeds, mortgages, hypothecs, charges, conveyances,   transfers and assignments of property, real or personal, immovable or   movable, agreements, releases, receipts and discharges for the payment of   money or other obligations, conveyances, transfers and assignments of   securities and all paper writings.
    

 

	

    	
- 4 - 2.05   Banking Arrangements The banking business of the Corporation including,   without limitation, the borrowing of money and the giving of security   therefor, shall be transacted with such banks, trust companies or other   bodies corporate or organizations as may from time to time be designated by   or under the authority of the directors. Such banking business or any part   thereof shall be transacted under such agreements, instructions and   delegations of powers as the directors may from time to time prescribe or   authorize. 2.06 Cheques, Drafts, Notes, Etc. All cheques, drafts or orders   for the payment of money, and all notes, acceptances and bills of exchange   shall be signed by such officer or officers or other person or persons,   whether or not an officer or officers of the Corporation, and in such manner   as the directors may from time to time designate by resolution. 2.07 Custody   of Securities All securities (including certificates, warrants or other   evidences of conversion privileges, options or rights to acquire securities)   owned by the Corporation shall be lodged in the name of the Corporation with   a chartered bank or a trust company or in a safety deposit box or, if so   authorized by resolution of the directors, with such other depositaries or in   such other manner as may be determined from time to time by the directors.   All securities (including warrants) belonging to the Corporation may be   issued and held in the name of a nominee or nominees of the Corporation (and   if issued or held in the names of more than one nominee shall be held in the   names of the nominees jointly with right of survivorship), and shall be   endorsed in blank with endorsement guaranteed in order to enable transfer   thereof to be completed and registration thereof to be effected. 2.08 Voting   Securities in Other Bodies Corporate The signing officers of the Corporation   may execute and deliver proxies and arrange for the issuance of voting   certificates or other evidence of the right to exercise the voting rights   attaching to any securities held by the Corporation. Such instruments shall   be in favour of such persons as may be determined by the said signing   officers executing or arranging for the same. In addition, the directors may   from time to time direct the manner in which and the persons by whom any   particular voting rights or class of voting rights may or shall be exercised.   PART THREE DIRECTORS 3.01 Number of Directors Until changed in accordance   with the Act, the board shall consist of not fewer than the minimum number   and not more than the maximum number of directors provided in the articles. 3.02   Qualification Every director shall be an individual eighteen (18) or more   years of age, and no one who is of unsound mind and has been so found by a   court in Canada or elsewhere, or who has the status of a bankrupt shall be a   director. Unless the articles otherwise provide, a director need not be a   shareholder.
    

 

	

    	
- 5 - At least   twenty-five per cent of the directors of the Corporation must be resident   Canadians. If at any time the Corporation has less than four directors, at   least one director must be a resident Canadian. 3.03 Term of Office A   director’s term of office (subject to the provisions, if any, of the   Corporation’s articles, and subject to his election for an expressly stated   term) shall be from the date of the meeting at which he is elected or   appointed until the close of the annual meeting next following, or until his   successor is elected or appointed. 3.04 Election and Removal Directors shall   be elected by the shareholders in a meeting on a show of hands unless a poll   is demanded, and if a poll is demanded, such election shall be by ballot. The   number of directors to be elected at any such meeting shall be the number of   directors then in office unless the directors or the shareholders otherwise   determine. Except for those directors elected for an expressly stated term,   all the directors then in office shall cease to hold office at the close of a   meeting of shareholders at which directors are elected but, if qualified, are   eligible for re-election. If a meeting of the shareholders of the Corporation   fails to elect the number or the minimum number of directors required by the   articles by reason of the disqualification, incapacity or the death of any   candidates, the directors elected at that meeting may exercise all the powers   of the directors if the number of directors so elected constitutes a quorum.   Subject to subsection 2 of section 109 of the Act, the shareholders of the   Corporation may, by ordinary resolution at a special meeting, remove any   director before the expiration of his term of office, in which case the   director so removed shall vacate office forthwith upon the passing of the   resolution for his removal, and may, by a majority of the votes cast at the   meeting, elect any person in his stead for the remainder of his term. 3.05   Vacation of Office The office of a director shall ipso facto be vacated if:   (a) he dies; (b) he is removed from office by the shareholders; (c) he   becomes bankrupt; (d) he is found by a court in Canada or elsewhere to be of   unsound mind; or (e) his written resignation is received by the Corporation,   or if a time is specified in such resignation, at the time so specified,   whichever is later. 3.06 Vacancies Subject to the Act, where a vacancy occurs   in the board, except a vacancy resulting from an increase in the number or   minimum number of directors or from failure to elect the number or minimum   number of directors required by the articles, and a quorum of directors   remains in office, the directors then in office (even though twenty-five per   cent of such directors are not resident Canadians) may appoint a person to   fill the vacancy for the remainder of the term. If there is not then a quorum   of directors or if there has been a failure to elect the number or minimum   number of directors required by the articles, the directors then in office   shall forthwith call a special meeting of shareholders to fill the
    

 

	

    	
- 6 - vacancy   and, if they fail to do so or if there are no directors then in office, the   meeting may be called by any shareholder. 3.07 Action by Directors Subject to   any unanimous shareholder agreement, the directors shall manage the business   and affairs of the Corporation, and may exercise all such powers and do all   such acts and things as may be exercised or done by the Corporation and are   not by the Act, the articles, the by-laws, any special resolution of the   Corporation, a unanimous shareholder agreement or by statute expressly   directed or required to be done in some other manner. 3.08 Canadian Directors   Present at Meetings The directors shall not transact business at a meeting   unless at least twenty-five per cent of the directors present are resident   Canadians or, if the Corporation has less than four directors, at least one   of the directors present is a resident Canadian, except where: (a) a resident   Canadian director who is unable to be present approves in writing or by   telephonic, electronic or other communication facility, the business   transacted at the meeting; and (b) the required number of resident Canadian   directors would have been present had that director been present at the   meeting. 3.09 Duties Every director and officer of the Corporation in   exercising his powers and discharging his duties shall: (a) act honestly and   in good faith with a view to the best interest of the Corporation; and (b)   exercise the care, diligence and skill that a reasonably prudent person would   exercise in comparable circumstances. 3.10 Validity of Acts An act by a   director or officer is valid notwithstanding an irregularity in his election   or appointment or a defect in his qualification. 3.11 Remuneration and   Expenses Subject to any unanimous shareholder agreement, the remuneration to   be paid to the directors shall be such as the directors shall from time to   time determine. The directors may also by resolution award special remuneration   to any director in undertaking any special services on the Corporation’s   behalf other than the routine work ordinarily required of a director of a   Corporation. The confirmation of any such resolution or resolutions by the   shareholders shall not be required. The directors shall also be entitled to   be paid their travelling and other expenses properly incurred by them in   connection with the affairs of the Corporation.
    

 

	

    	
- 7 - PART FOUR   MEETINGS OF DIRECTORS 4.01 Calling of Meetings Meetings of the directors   shall be held from time to time at such place as the chairman of the board   (if any), the president or vice-president who is a director or any two   directors may determine and the secretary shall, upon direction of any of the   foregoing, convene a meeting of directors. 4.02 Place of Meeting Meetings of   directors or of any committee of directors may be held at any place in or   outside Canada. 4.03 Notice Notice of the time and place for the holding of   any such meeting shall be delivered, mailed, or sent by telefacsimile or   electronic mail or other electronic means capable of producing a written copy   to each director not less than two days (exclusive of the day on which the   notice is delivered, mailed, or sent by telefacsimile or electronic mail   other electronic means capable of producing a written copy, but inclusive of   the day for which notice is given) before the date of the meeting; provided   that meetings of the directors or of any committee of directors may be held   at any time without formal notice if all the directors are present (except   where a director attends a meeting for the express purpose of objecting to   the transaction of any business on the grounds that the meeting is not   lawfully called) or if all absent directors have waived notice. Notice of any   meeting of directors or of any committee of directors or any irregularity in   any meeting or the notice thereof may be waived by any director in writing or   by telefacsimile or electronic mail or other electronic means capable of   producing a written copy addressed to the Corporation or in any other manner,   and such waiver may be validly given either before or after the meeting to   which such waiver relates. A notice of meeting of directors or of any   committee of directors need not specify the purpose of or the business to be   transacted at the meeting except where the Act requires such purpose or   business to be specified, including any proposal to: (a) submit to the   shareholders any question or matter requiring approval of the shareholders;   (b) fill a vacancy among the directors or in the office of auditors of the   Corporation; (c) issue securities of the Corporation; (d) declare dividends;   (e) purchase, redeem or otherwise acquire shares of the Corporation; (f) pay   a commission for the sale of shares; (g) approve a management proxy circular;   (h) approve a takeover bid circular or directors’ circular; (i) approve any   annual financial statements; or
    

 

	

    	
- 8 - (j)   adopt, amend or repeal by-laws. 4.04 Quorum Subject to section 3.08, the   quorum for the transaction of business at any meeting of the directors shall   consist of a majority of the directors then in office and, notwithstanding   any vacancy among the directors, a quorum of directors may exercise all the   powers of the directors. 4.05 First Meeting of the New Board For the first   meeting of directors to be held following the election of directors at an   annual or special meeting of the shareholders, or for a meeting of directors   at which a director is appointed to fill a vacancy in the board, no notice of   such meeting need be given to the newly elected or appointed director or   directors in order for the meeting to be duly constituted, provided a quorum   of the directors is present. 4.06 Adjournment Any meeting of directors or of   any committee of directors may be adjourned from time to time by the chairman   of the meeting, with the consent of the meeting, to a fixed time and place,   and no notice of the time and place for the holding of the adjourned meeting   need be given to any director if the time and place of the adjourned meeting   are announced at the original meeting. Any adjourned meeting shall be duly   constituted if held in accordance with the terms of the adjournment and a   quorum is present thereat. The directors who formed a quorum at the original   meeting are not required to form the quorum at the adjourned meeting. If   there is no quorum present at the adjourned meeting, the original meeting   shall be deemed to have terminated forthwith after its adjournment. 4.07   Telephone Participation Where all directors have consented thereto (either   before or after the meeting), a director may participate in a meeting of   directors or of any committee of directors by means of such telephone or   other communications facilities as permit all persons participating in the   meeting to hear each other, and a director participating in a meeting by such   means shall be deemed to be present at that meeting. 4.08 Regular Meetings   The directors may appoint a day or days in any month or months for regular   meetings of the directors at a place and hour to be named. A copy of any   resolution of the board fixing the place and time of such regular meetings   shall be sent to each director forthwith after being passed, but no other   notice shall be required for any such regular meeting except where the Act   requires the purpose thereof or the business to be transacted thereat to be   specified. 4.09 Chairman The chairman of any meeting of the directors shall   be the first mentioned of such of the following officers as have been   appointed and who is a director and is present at the meeting: chairman of   the board, managing director, president, or a vice-president. If no such   officer is present, the directors present shall choose one of their number to   be chairman.
    

 

	

    	
- 9 - 4.10   Votes to Govern All questions arising at any meeting of directors shall be   decided by a majority of votes. In case of an equality of votes, the chairman   of the meeting in addition to his original vote shall not have a second or   casting vote. 4.11 Resolution in Lieu of Meeting A resolution in writing   signed by all the directors entitled to vote on that resolution at a meeting   of directors or committee of directors is as valid as if it had been passed   at a meeting of directors or committee of directors. A copy of every such   resolution shall be kept with the minutes of the proceedings of the directors   or committee of directors. 4.12 One Director Meeting If the Corporation has   only one director, that director may constitute a meeting. PART FIVE   COMMITTEES 5.01 Committees of Directors The directors may appoint one or more   committees of the board, however designated, and delegate to any such   committee any of the powers of the board except those which pertain to items   which, under the Act, a committee of the board has no authority to exercise.   5.02 Transaction of Business Subject to the provisions of section 4.07, the   powers of such committee or committees of directors may be exercised by a   meeting at which a quorum is present or by resolution in writing signed by   all the members of such committee who would have been entitled to vote on   that resolution at a meeting of the committee. Meetings of such committee may   be held at any place in or outside Canada. 5.03 Advisory Bodies The directors   may from time to time appoint advisory bodies as they may deem advisable.   5.04 Procedure Unless otherwise determined by the directors, each committee   shall have the power to fix its quorum at not less than a majority of its   members, to elect its chairman and to regulate its procedure.
    

 

	

    	
- 10 - PART SIX   OFFICERS 6.01 Appointment of Officers The directors shall annually or as   often as may be required appoint a president and a secretary, and if deemed   advisable, may annually or as often as may be required appoint one or more   vice-presidents, (to which title may be words added indicating seniority or   function), a treasurer, and such other officers as the directors may   determine, including one or more assistants to any one of the officers so   appointed. Subject to sections 6.02 and 6.03, an officer may but need not be   a director, and one person may hold more than one office. In case and   whenever the same person holds the offices of secretary and treasurer, he may   but need not be known as the secretary-treasurer. The directors may from time   to time appoint such other officers, employees and agents as they shall deem   necessary who shall have such authority and shall perform such functions and   duties as may from time to time be prescribed by resolution of the directors.   6.02 Chairman of the Board The board may from time to time appoint a chairman   of the board who shall be a director. If appointed, the directors may assign   to him any of the powers and duties that are by any provisions of this by-law   assigned to the managing director or to the president; and he shall, subject   to the provisions of the Act, have such other powers and duties as the   directors may specify. During the absence or disability of the chairman of   the board, his duties shall be performed and his powers exercised by the   managing director, if any, or by the president. 6.03 Managing Director The   directors may from time to time appoint from their number a managing director   who is a resident Canadian, and may delegate to the managing director any of   the powers of the directors subject to the Act. A managing director shall   conform to all lawful orders given to him by the directors of the   Corporation, and shall at all reasonable times give to the directors or any   of them all information they may require regarding the affairs of the   Corporation. 6.04 President The president may be the chief executive officer   of the Corporation, and shall exercise general supervision over the business   and affairs of the Corporation. In the absence of the chairman of the board   and managing director, if any, and if the president is also a director of the   Corporation, the president shall, when present, preside at all meetings of   the directors, any committee of the directors and shareholders; he shall sign   such contracts, documents or instruments in writing as require his signature,   and shall have such other powers and shall perform such other duties as may   from time to time be assigned to him by resolution of the directors or as are   incident to his office. 6.05 Vice-President The vice-president or, if more   than one, the vice-presidents in order of seniority, shall be vested with all   the powers and shall perform all the duties of the president in the absence   or inability or refusal to act of the president, provided, however, that a   vice-president who is not a director shall not preside as chairman at any   meeting of directors or shareholders. The vice-president or, if more than   one, the vice-presidents in order of seniority, shall sign such contracts,   documents or instruments in writing as
    

 

	

    	
- 11 - require   his or their signatures and shall also have such other powers and duties as   may from time to time be assigned to him or them by resolution of the   directors. 6.06 Secretary The secretary shall give or cause to be given   notices for all meetings of the directors and any committee of the directors   and shareholders when directed to do so, and shall have charge of the minute   books of the Corporation and, subject to the provisions of section 8.03   hereof, of the documents and registers required by the Act. He shall sign   such contracts, documents or instruments in writing as require his signature,   and shall have such other powers and duties as may from time to time be   assigned to him by resolution of the directors, or as are incident to his   office. 6.07 Treasurer Subject to the provisions of any resolution of the   directors, the treasurer shall have the care and custody of all the funds and   securities of the Corporation, and shall deposit the same in the name of the   Corporation in such bank or banks or with such other depositary or   depositaries as the directors may by resolution direct. He shall prepare and   maintain proper accounting records in compliance with the Act. He shall   render to the directors whenever required an account of all his transactions   as treasurer and of the financial position of the Corporation. He shall sign   such contracts, documents or instruments in writing as require his signature,   and shall have such other powers and duties as may from time to time be   assigned to him by resolution of the directors or as are incident to his office.   6.08 Powers and Duties of Other Officers The powers and duties of all other   officers shall be such as the terms of their engagement call for or as the   directors or the chief executive officer may specify. Any of the powers and   duties of an officer to whom an assistant has been appointed may be exercised   and performed by such assistant, unless the board or the chief executive   officer otherwise directs. 6.09 Duties of Officers May Be Delegated In case   of the absence or inability or refusal to act of any officer of the   Corporation or for any other reason that the directors may deem sufficient,   the directors may delegate all or any of the powers of such officer to any   other officer or to any director for the time being. 6.10 Term of Office All   officers in the absence of agreement to the contrary, shall be subject to   removal by resolution of the directors at any time, with or without cause.   Otherwise, each officer appointed by the directors shall hold office until   his successor is appointed. 6.11 Variation of Powers and Duties The directors   may from time to time and subject to the provisions of the Act, vary, add to   or limit the powers and duties of any officer. 6.12 Terms of Employment and   Remuneration The terms of employment and remuneration of all officers   appointed by the board, including the chairman of the board, if any, and the   president shall be determined from time to time by
    

 

	

    	
- 12 -   resolution of the board. The fact that any officer or employee is a director   or shareholder shall not disqualify him from receiving such remuneration as   may be determined. 6.13 Conflict of Interest An officer shall disclose his   interest in any material contract or proposed material contract with the   Corporation in accordance with section 7.04. 6.14 Fidelity Bonds The directors   may require such officers, employees and agents of the Corporation as the   directors deem advisable to furnish bonds for the faithful discharge of their   powers and duties, in such form and with such surety as the directors may   from time to time determine, provided that no director shall be liable for   failure to require any such bond or for the insufficiency of any such bond or   for any loss by reason of the failure of the Corporation to receive any   indemnity thereby provided. 6.15 Vacancies If the office of chairman,   managing director, president, vice-president, secretary, treasurer, or any   other office created by the directors pursuant to section 6.08 hereof shall   be or become vacant by reason of death, resignation or in any other manner   whatsoever, the directors shall in the case of the president or the secretary   and may in the case of any other officer appoint an officer to fill such   vacancy. 6.16 Other Officers The duties of all other officers of the   Corporation shall be such as the terms of their engagement call for or the   board requires of them. Any of the powers and duties of an officer to whom an   assistant has been appointed may be exercised and performed by such   assistant, unless the board otherwise directs. PART SEVEN PROTECTION OF   DIRECTORS AND OFFICERS 7.01 Limitation of Liability No director or officer   for the time being of the Corporation shall be liable for the acts, receipts,   neglects or defaults of any other director or officer or employee or for   joining in any receipt or act for conformity, or for any loss, damage or   expense happening to the Corporation through the insufficiency or deficiency   of title to any property acquired by the Corporation or for or on behalf of   the Corporation, or for the insufficiency or deficiency of any security in or   upon which any of the moneys of or belonging to the Corporation shall be   placed out or invested, or for any loss or damage arising from the   bankruptcy, insolvency or tortious act of any person, including any person   with whom or which any moneys, securities or effects shall be lodged or   deposited, or for any loss, conversion, misapplication or misappropriation of   or any damage resulting from any dealings with any moneys, securities or   other assets belonging to the Corporation or for any other loss, damage or   misfortune whatever which may happen in the execution of the duties of his   office or in relation thereto, unless the same shall happen by or through his   failure to exercise his powers and to discharge his duties honestly, in good   faith with a view to the best interests of the Corporation, and in connection   therewith to exercise the care, diligence and skill that a reasonably prudent   person would exercise in comparable circumstances, provided that
    

 

	

    	
- 13 - nothing   herein contained shall relieve a director or officer from the duty to act in   accordance with the Act and regulations made thereunder, or relieve him from   liability for a breach thereof. The directors for the time being of the   Corporation shall not be under any duty or responsibility in respect of any   contract, act or transaction whether or not made, done or entered into in the   name or on behalf of the Corporation, except such as shall have been   submitted to and authorized or approved by the board of directors. 7.02   Indemnity Subject to the Act, the Corporation shall indemnify a director or   officer of the Corporation, a former director or officer of the Corporation   or another individual who acts or acted at the Corporation’s request as a   director or officer, or an individual acting in a similar capacity, of   another entity, against all costs, charges and expenses, including an amount   paid to settle an action or satisfy a judgment, reasonably incurred by the   individual in respect of any civil, criminal, administrative, investigative   or other proceeding to which the individual is involved because of that   association with the Corporation or other entity, if: (a) the individual   acted honestly and in good faith with a view to the best interests of the   Corporation, or, as the case may be, to the best interests of the other   entity for which the individual acted as director or officer or in a similar   capacity at the Corporation’s request; and (b) in the case of a criminal or   administrative action or proceeding that is enforced by a monetary penalty, the   individual had reasonable grounds for believing that the individual’s conduct   was lawful. 7.03 Insurance Subject to the Act, the Corporation may purchase   and maintain insurance for the benefit of any person referred to in section   7.02 against any liability incurred by him in his capacity as a director or   officer of the Corporation or of another body corporate at the Corporation’s   request. 7.04 Conflict of Interest A director or officer who is a party to,   or who is a director or officer of or has a material interest in any material   contract with the Corporation shall disclose the nature and extent of his   interest at the time and in the manner provided by the Act. Any such contract   or proposed contract shall be referred to the directors or shareholders for approval   even if such contract is one that in the ordinary course of the Corporation’s   business would not require approval by the directors or shareholders, and a   director interested in a contract so referred to the board shall not vote on   any resolution to approve the same except as provided by the Act. 7.05   Submission of Contracts or Transactions to Shareholders for Approval The   directors in their discretion may submit any contract, act or transaction for   approval, ratification or confirmation at any annual meeting of the   shareholders or at any special meeting of the shareholders called for the   purpose of considering the same and any contract, act or transaction that   shall be approved, ratified or confirmed by resolution passed by a majority   of the votes cast at any such meeting (unless any different or additional   requirement is imposed by the Act or by the Corporation’s articles or any   other by-law) shall be as valid and as binding upon the Corporation and upon   all the
    

 

	

    	
- 14 -   shareholders as though it had been approved, ratified and/or confirmed by   every shareholder of the Corporation. PART EIGHT SHARES 8.01 Allotment   Subject to the Act, the articles of the Corporation and any unanimous   shareholder agreement, the directors may from time to time allot, or grant   options to purchase, the whole or any part of the authorized and unissued   shares of the Corporation at such times and to such persons and for such   consideration as the directors may determine, provided that no share shall be   issued until it is fully paid as provided by the Act. 8.02 Commissions The   directors may from time to time authorize the Corporation to pay a reasonable   commission to any person in consideration of his purchasing or agreeing to   purchase shares of the Corporation, whether from the Corporation or from any   other person, or procuring or agreeing to procure purchasers for any such   shares. 8.03 Transfer Agents and Registrars The directors may from time to   time appoint a registrar to maintain the securities register and a transfer   agent to maintain the register of transfers and may also appoint one or more   branch registrars to maintain branch securities registers and one or more   branch transfer agents to maintain branch registers of transfers, but one   person may be appointed both registrar and transfer agent. The directors may   at any time terminate any such appointment. 8.04 Share Certificates Every   holder of one or more shares of the Corporation shall be entitled, at his   option, to a share certificate, or to a non-transferrable written acknowledgement   of his right to obtain a share certificate, stating the number and class or   series of shares held by him as shown on the securities register. Share   certificates and acknowledgements of a shareholder’s right to a share   certificate shall be in such form as the directors shall from time to time   approve. Any share certificate shall be signed in accordance with section   2.04; it need not be under the corporate seal. The signature of one of the   signing officers may be printed or mechanically reproduced in facsimile upon   share certificates; the other officer must sign manually. Every such   facsimile signature shall for all purposes be deemed to be a signature   binding upon the Corporation. Unless the directors otherwise determine,   certificates representing shares in respect of which a transfer agent or   registrar, as the case may be, has been appointed shall not be valid unless   countersigned manually by or on behalf of such transfer agent or registrar.   In the case of share certificates which are not valid unless countersigned   manually by or on behalf of a transfer agent or registrar, the signature of   both signing officers may be printed or mechanically reproduced in facsimile   upon share certificates and every such facsimile signature shall for all   purposes be deemed to be a signature binding upon the Corporation.   Notwithstanding any change in the persons holding office between the time of   signing and the issuance of any certificate, and notwithstanding that a   person may not have held office at the date of issuance of such certificate,   any such certificate so signed shall be valid and binding upon the   Corporation.
    

 

	

    	
- 15 - 8.05   Registration of Transfer Subject to the Act, a transfer of shares shall not   be registered in a securities register except upon presentation of the   certificate representing such shares with a transfer endorsed thereon, or   delivered therewith, duly executed by the registered holder or by his   attorney, fiduciary or agent duly appointed, together with such reasonable   assurance that the endorsement is genuine and effective as the directors may   from time to time prescribe, upon payment of all applicable taxes and any   reasonable fees prescribed by the directors, upon compliance with such   restrictions on transfer as are authorized by the articles, and upon   satisfaction of any lien referred to in section 8.10. 8.06 Non-Recognition of   Trusts Subject to the Act, the Corporation may treat the registered holder of   any share as the person exclusively entitled to vote, to receive notices, to   receive any dividend or other payments in respect of the share, and otherwise   to exercise all the rights and powers of an owner of the share. 8.07 Joint   Shareholders If two or more persons are registered as joint holders of any   share, the Corporation shall not be bound to issue more than one certificate   in respect thereof, and delivery of such certificate to one of such persons   shall be sufficient delivery to all of them. Any one of such persons may give   effectual receipts for the certificate issued in respect thereof or for any   dividend, bonus, return of capital or other money payable or warrant issuable   in respect of such share. 8.08 Deceased Shareholders In the event of the   death of a holder, or of one of the joint holders, of any share, the   Corporation shall not be required to make any entry in the securities   register in respect thereof or to make dividends or other payments in respect   thereon except upon production of all such documents as may be required by   law and upon compliance with the reasonable requirements of the Corporation   and its transfer agents. 8.09 Replacement of Share Certificates The directors   or any officer or agent designated by the directors may in their or his   discretion direct the issue of a new share certificate in lieu of and upon   cancellation of a share certificate that has been mutilated or in   substitution for a share certificate claimed to have been lost, destroyed or   wrongfully taken on payment of such reasonable fee, and on such terms as to   indemnity, reimbursement of expenses and evidence of loss and of title as the   directors may from time to time prescribe, whether generally or in any   particular case. 8.10 Lien for Indebtedness If the articles provide that the   Corporation shall have a lien on shares registered in the name of a shareholder   indebted to the Corporation, such lien may be enforced, subject to the   articles and to any unanimous shareholder agreement, by the sale of the   shares thereby affected or by any other action, suit, remedy or proceeding   authorized or permitted by law or by equity and, pending such enforcement,   may refuse to register a transfer of the whole or any part of such shares. 
    

 

	

    	
- 16 - PART   NINE DIVIDENDS AND RIGHTS 9.01 Dividends Subject to the Act, the directors   may from time to time declare dividends payable to the shareholders according   to their respective rights and interests in the Corporation. Dividends may be   paid in money or property or by issuing fully paid shares of the Corporation.   9.02 Dividend Cheques A dividend payable in money shall be paid by cheque   drawn on the Corporation’s bankers or one of them to the order of each   registered holder of shares of the class or series in respect of which it has   been declared and mailed by prepaid ordinary mail to such registered holder   at his recorded address, unless such holder otherwise directs. In the case of   joint holders the cheque shall, unless such joint holders otherwise direct,   be made payable to the order of all of such joint holders and mailed to them   at their recorded address. The mailing of such cheque as aforesaid, unless   the same is not paid on due presentation, shall satisfy and discharge the   liability for the dividend to the extent of the sum represented thereby plus   the amount of any tax which the Corporation is required to and does withhold.   9.03 Non-Receipt of Cheques In the event of non-receipt of any dividend   cheque by the person to whom it is sent as aforesaid, the Corporation shall   issue to such person a replacement cheque for a like amount on such terms as   to indemnity, reimbursement of expenses and evidence of non-receipt and of   title as the directors may from time to time prescribe, whether generally or   in any particular case. 9.04 Record Date for Dividends and Rights The   directors may fix in advance a date, preceding by not more than 50 days the   date for the payment of any dividend or the date for the issue of any warrant   or other evidence of right to subscribe for securities of the Corporation, as   a record date for the determination of the persons entitled to receive   payment for such dividend or to exercise the right to subscribe for such   securities, and notice of any such record date shall be given not less than 7   days before such record date by newspaper advertisement in the manner   provided in the Act unless notice of the record date is waived in writing by   every holder of a share of a class or series affected whose name is set out   in the securities register at the close of business on the day the directors   fix the record date. If no record date is so fixed, the record date for the   determination of the persons entitled to receive payment of any dividend or   to exercise the right to subscribe for securities of the Corporation shall be   at the close of business on the day on which the resolution relating to such   dividend or right to subscribe is passed by the directors. 9.05 Unclaimed   Dividends Any dividend unclaimed after a period of 6 years from the date on   which the same has been declared to be payable shall be forfeited and shall   revert to the Corporation.
    

 

	

    	
- 17 - PART TEN   MEETINGS OF SHAREHOLDERS 10.01 Annual Meetings The annual meeting of   shareholders shall be held at such time in each year and, subject to section   10.03, at such place as the directors, the chairman of the board, the   managing director or the president may from time to time determine, for the   purpose of considering the financial statements and reports required by the   Act to be placed before the annual meeting, electing directors, appointing   auditors and for the transaction of such other business as may properly be   brought before the meeting. 10.02 Special Meetings The directors, the   chairman of the board, the managing director or the president shall have   power to call a special meeting of shareholders at any time. 10.03 Place of   Meetings Meetings of shareholders shall be held at the registered office of   the Corporation or elsewhere in the municipality in which the registered   office is situate or, if the directors shall so determine, at some other   place in Canada or, if all the shareholders entitled to vote at the meeting so   agree, at some place outside Canada. 10.04 Notice of Meetings Notice of the   time and place of each meeting of shareholders shall be given in the manner   provided in Part Eleven not less than 21 nor more than 60 days before the   date of the meeting to each director, to the auditors and to each shareholder   who at the close of business on the record date is entered in the securities   register as the holder of one or more shares carrying the right to vote at   the meeting. Notice of a meeting of shareholders called for any purpose other   than consideration of the financial statements and the auditors’ report,   election of directors and reappointment of incumbent auditors shall state the   nature of such business in sufficient detail to permit the shareholder to   form a reasoned judgment thereon and shall state the text of any special   resolution to be submitted to the meeting. 10.05 List of Shareholders   Entitled to Notice For every meeting of shareholders, the Corporation shall   prepare a list of shareholders entitled to receive notice of the meeting,   arranged in alphabetical order and showing the number of shares held by each   shareholder entitled to vote at the meeting. If a record date for the meeting   is fixed pursuant to section 10.06, the shareholders listed shall be those   registered at the close of business on such record date. If no record date is   fixed, the shareholders listed shall be those registered at the close of   business on the day immediately preceding the day on which notice of the   meeting is given, or where no such notice is given, the day on which the   meeting is held. The list shall be available for examination by any   shareholder during usual business hours at the registered office of the   Corporation or at the place where the central securities register is kept and   at the meeting for which the list was prepared. Where a separate list of   shareholders has not been prepared, the names of persons appearing in the   securities register at the requisite time as the holder of one or more shares   carrying the right to vote at such meeting shall be deemed to be a list of   shareholders.
    

 

	

    	
- 18 - 10.06   Record Date for Notice The directors may fix in advance a record date,   preceding the date of any meeting of shareholders by not more than 60 days   and not less than 21 days, for the determination of the shareholders entitled   to notice of the meeting, provided that notice of any such record date is   given not less than 7 days before such record date, by newspaper   advertisement in the manner provided in the Act unless notice of the record   date is waived in writing by every holder of a share of a class or series   affected whose name is set out in the securities register at the close of   business on the day the directors fix the record date. If no record date is   so fixed, the record date for the determination of the shareholders entitled   to notice of the meeting shall be the close of business on the day   immediately preceding the day on which the notice is given, or, if no notice   is given, the day on which the meeting is held. 10.07 Meetings without Notice   A meeting of shareholders may be held without notice at any time and place   permitted by the Act (a) if all the shareholders entitled to vote thereat are   present in person or represented by proxy or if those not present or   represented by proxy waive notice of or otherwise consent to such meeting   being held, and (b) if the auditors and the directors are present or waive   notice of or otherwise consent to such meeting being held, provided that such   shareholders, auditors or directors present are not attending for the express   purpose of objecting to the transaction of any business on the grounds that   the meeting is not lawfully called. At such a meeting, any business may be   transacted which the Corporation at a meeting of shareholders may transact.   If the meeting is held at a place outside Canada, shareholders not present or   represented by proxy, but who have waived notice of or otherwise consented to   such meeting, shall also be deemed to have consented to the meeting being   held at such place. 10.08 Chairman, Secretary and Scrutineers The chairman of   any meeting of shareholders shall be the first mentioned of such of the   following officers as have been appointed and who is present at the meeting:   president, managing director, chairman of the board, or a vice-president who   is a shareholder. If no such officer is present within 15 minutes from the   time fixed for holding the meeting, the persons present and entitled to vote   shall choose one of their number to be chairman. If the secretary of the Corporation   is absent, the chairman shall appoint some person, who need not be a   shareholder, to act as secretary of the meeting. If desired, one or more   scrutineers, who need not be shareholders, may be appointed by a resolution   or by the chairman with the consent of the meeting. 10.09 Persons Entitled to   be Present The only persons entitled to be present at a meeting of   shareholders shall be those entitled to vote thereat, the directors and   auditors of the Corporation and others who, although not entitled to vote,   are entitled or required under any provision of the Act or the articles or   by-laws to be present at the meeting. Any other person may be admitted only   on the invitation of the chairman of the meeting or with the consent of the   meeting. 10.10 Quorum A quorum for the transaction of business at any meeting   of shareholders shall be 2 persons present in person, each being a   shareholder entitled to vote thereat or a duly appointed proxy or proxyholder   for an absent shareholder so entitled, holding or representing in the   aggregate not less than 10% of the issued shares of the Corporation enjoying   voting rights at such meeting.
    

 

	

    	
- 19 - 10.11   Right to Vote Subject to the provisions of the Act as to representatives of   any other body corporate which is a shareholder of the Corporation and to   section 10.12, every person named in the list referred to in section 10.05   shall be entitled to vote the shares shown thereon opposite his name at the   meeting to which such list relates, except to the extent that (a) where the   Corporation has fixed a record date in respect of such meeting, such person   has transferred any of his shares after such record date, or, where the   Corporation has not fixed a record date in respect of such meeting, such   person has transferred any of his shares after the date on which such list is   prepared, and (b) the transferee, having produced properly endorsed   certificates evidencing such shares or having otherwise established that he   owns such shares, has demanded not later than 10 days before the meeting that   his name be included in such list. In any such excepted case, the transferee   shall be entitled to vote the transferred shares at such meeting. 10.12   Proxyholders and Representatives Every shareholder entitled to vote at a   meeting of shareholders may appoint a proxyholder, or one or more alternate   proxyholders, to attend and act as his representative at the meeting in the   manner and to the extent authorized and with the authority conferred by the   proxy. A proxy shall be in writing executed by the shareholder or his   attorney and shall conform with the requirements of the Act. Alternatively,   every such shareholder which is a body corporate or association may authorize   by resolution of its directors or governing body an individual to represent   it at a meeting of shareholders and such individual may exercise on the   shareholder’s behalf all the powers it could exercise if it were an   individual shareholder. The authority of such an individual shall be   established by depositing with the Corporation a certified copy of such   resolution, or in such other manner as may be satisfactory to the secretary   of the Corporation or the chairman of the meeting. Any such proxyholder or   representative need not be a shareholder. A proxy shall be in written or   printed format or a format generated by telephonic or electronic means and   becomes a proxy when completed and signed in writing or by electronic   signature by the shareholder or his attorney authorized by a document that is   signed in writing or by electronic signature or, if the shareholder is a body   corporate, by an officer or attorney thereof, duly authorized. If a proxy or   document authorizing an attorney is signed by electronic signature, the means   of electronic signature shall permit a reliable determination that the proxy   or document was created or communicated by or on behalf of the shareholder or   attorney, as the case may be. 10.13 Time for Deposit of Proxies The directors   may specify in a notice calling a meeting of shareholders a time, preceding   the time of such meeting by not more than 48 hours exclusive of non-business   days, before which time proxies to be used at such meeting must be deposited.   A proxy shall be acted upon only if, prior to the time so specified, it shall   have been deposited with the Corporation or an agent thereof specified in   such notice or, if no such time is specified in such notice, it has been   received by the secretary of the Corporation or by the chairman of the   meeting or any adjournment thereof prior to the time of voting. 10.14 Joint   Shareholders If two or more persons hold shares jointly, any of them present   in person or represented by proxy at a meeting of shareholders may, in the   absence of the other or others, vote the shares; but if two or more of those   persons are present in person or represented by proxy, they shall vote   together as one on the shares jointly held by them.
    

 

	

    	
- 20 - 10.15   Votes to Govern At any meeting of shareholders every question shall, unless   otherwise required by the articles or by-laws or by law, be determined by the   majority of the votes cast on the question. In case of an equality of votes   either upon a show of hand or upon a poll, the chairman of the meeting shall   not be entitled to a second or casting vote. 10.16 Show of Hands Subject to   the Act, any question at a meeting of shareholders shall be decided by a show   of hands unless a ballot thereon is required or demanded as provided in   section 10.17. Upon a show of hands every person who is present and entitled   to vote shall have one vote. Whenever a vote by show of hands shall have been   taken upon a question, unless a ballot thereon is so required or demanded, a   declaration by the chairman of the meeting that the vote upon the question   has been carried or carried by a particular majority or not carried and an   entry to that effect in the minutes of the meeting shall be prima facie   evidence of the fact without proof of the number or proportion of the votes   recorded in favour of or against any resolution or other proceeding in   respect of the said question, and the result of the vote so taken shall be   the decision of the shareholders upon the said question. For the purpose of   this section, if at any meeting the Corporation has made available to   shareholders the means to vote electronically, any vote made electronically   shall be included in tallying any votes by show of hands. 10.17 Ballots On   any question proposed for consideration at a meeting of shareholders, and   whether or not a show of hands has been taken thereon, the chairman may   require a ballot or any person who is present and entitled to vote at the   meeting may require or demand a ballot. A ballot so required or demanded   shall be taken in such manner as the chairman shall direct. A requirement or   demand for a ballot may be withdrawn at any time prior to the taking of the   ballot. If a ballot is taken each person present shall be entitled, in   respect of the shares which he is entitled to vote at the meeting upon the   question, to that number of votes provided by the Act or the articles, and   the result of the ballot so taken shall be the decision of the shareholders   upon the said question. 10.18 Adjournment The chairman at a meeting of   shareholders may, with the consent of the meeting and subject to such   conditions as the meeting may decide, adjourn the meeting from time to time   and from place to place. If a meeting of shareholders is adjourned for less   than 30 days, it shall not be necessary to give notice of the adjourned   meeting, other than by announcement at the earliest meeting that is   adjourned. Subject to the Act, if a meeting of shareholders is adjourned by   one or more adjournments for an aggregate of 30 days or more, notice of the   adjourned meeting shall be given as for an original meeting. 10.19 Resolution   in Writing A resolution in writing signed by all the shareholders entitled to   vote on that resolution at a meeting of shareholders is as valid as if it had   been passed at a meeting of the shareholders unless a written statement with   respect to the subject matter of the resolution is submitted by a director or   the auditors in accordance with the Act.
    

 

	

    	
- 21 - PART   ELEVEN NOTICES 11.01 Method of Giving Notices Any notice (which term includes   any communication or document) to be given (which term includes sent,   delivered or served) pursuant to the Act, the regulations thereunder, the   articles, the by-laws or otherwise to a shareholder, director, officer,   auditor or member of a committee of the directors shall be sufficiently given   if delivered personally to the person to whom it is to be given or if delivered   to his recorded address or if mailed to him at his recorded address by   prepaid ordinary or air mail or if sent to him at his recorded address by any   means of prepaid transmitted or recorded communication or electronic mail or   other electronic means capable of producing a written copy. A notice so   delivered shall be deemed to have been given when it is delivered personally   or to the recorded address as aforesaid: a notice so mailed shall be deemed   to have been given when deposited in a post office or public letter box: and   a notice so sent by any means of transmitted or recorded communication or   electronic mail or other means of communication shall be deemed to have been   given when dispatched or delivered to the appropriate communication company   or agency or its representative for dispatch. The secretary may change or   cause to be changed the recorded address of any shareholder, director,   officer, auditor or member of a committee of the directors in accordance with   any information believed by him to be reliable. 11.02 Notice to Joint   Shareholders If two or more persons are registered as joint holders of any   share, any notice may be addressed to all of such joint holders but notice to   one of such persons shall be sufficient notice to all of them. 11.03 Computation   of Time In computing the date when notice must be given under any provision   requiring a specified number of days notice of any meeting or other event,   the date of giving the notice shall be excluded and the date of the meeting   or other event shall be included. 11.04 Undelivered Notices If any notice   given to a shareholder pursuant to section 11.01 is returned on three   consecutive occasions because he cannot be found, the Corporation shall not   be required to give any further notices to such shareholder until he informs   the Corporation in writing of his new address. 11.05 Omissions and Errors The   accidental omission to give any notice to any shareholder, director, officer,   auditor or member of a committee of the board or the non-receipt of any notice   by any such person or any error in any notice not affecting the substance   thereof shall not invalidate any action taken at any meeting held pursuant to   such notice or otherwise founded thereon. 11.06 Persons Entitled by Death or   Operation of Law Every person who, by operation of law, transfer, death of   shareholder or any other means whatsoever, shall become entitled to any   share, shall be bound by every notice in respect of such share
    

 

	

    	
- 22 - which   shall have been duly given to the shareholder through whom he derives his   title to such share prior to his name and address being entered on the   securities register (whether such notice was given before or after the   happening of the event upon which he became so entitled) and prior to his   furnishing to the Corporation the proof of authority or evidence of his   entitlement prescribed by the Act. 11.07 Waiver of Notice Any shareholder,   proxyholder, representative, director, officer, auditor, member of a   committee of the board or other person entitled to attend a meeting of   shareholders may at any time waive any notice, or waive or abridge the time   for any notice, required to be given to him or to the shareholder whom the   proxyholder or representative represents under any provision of the Act, the   regulations thereunder, the articles, the by-laws or otherwise and such   waiver or abridgement, whether given before or after the meeting or other   event for which notice is required to be given shall cure any default in the   giving or in the time of such notice, as the case may be. Any such waiver or   abridgement shall be in writing except a waiver of notice of a meeting of   shareholders or of the board which may be given in any manner. PART TWELVE   EFFECTIVE DATE 12.01 Effective Date This by-law shall come into force when   made by the directors in accordance with the Act. [This by-law shall come   into force when approved by the directors and subject to shareholders’ and   regulatory approval for the filing of articles of continuance and issuance of   the Certificate of Continuance.] [Effective as of the 25th day of October,   2005. WITNESS the seal of the Corporation. Peter R. Jones Brian D. Gordon   President & CEO — Peter R. Jones Vice-President & General Counsel —   Brian D. Gordon The foregoing by-law was approved by a written resolution of   the directors dated the 25th day of May, 2005 pursuant to the Business   Corporations Act (Ontario), subject to obtaining shareholder and regulatory   approval for the filing of the articles of continuance under the Canada   Business Corporations Act, with the by-law to be effective upon continuance   of the Corporation pursuant to the federal laws of Canada. ***** The   foregoing by-law was confirmed at an annual and special shareholders’ meeting   held on the 23rd day of June, 2005 at which a quorum of shareholders entitled   to vote was present in person or by proxy pursuant to the Business   Corporations Act (Ontario), subject to regulatory approval for the filing
    

 

	

    	
- 23 - of   articles of continuance, with the by-law to be effective upon the continuance   of the Corporation pursuant to the federal laws of Canada. DATED as of the   25th day of October, 2005. Chairman Secretary
    

 

	

    	
BY-LAW NO. 1A A   By-law amending By-Law No. 1 of HUDBAY MINERALS INC. (the   "Corporation") BE AND IT IS HEREBY ENACTED as an Amendment to Part   8 of By-Law No. 1 of the Corporation that the following be added as Section   8.01A thereto: 8.01A Shareholder Approval. The Corporation shall not, without   the approval of the shareholders of the Corporation by ordinary resolution,   issue its common shares (or any securities that are convertible or   exchangeable into common shares) as full or partial consideration for any   acquisition of property (which may include securities or assets) if the   aggregate number of common shares that would be issued in connection   therewith would exceed 25% of the number of common shares of the Corporation   that are outstanding on the date on which a definitive agreement in respect   of the acquisition is entered into, calculated on a non-diluted basis;   provided that, for greater certainty, this Section 8.01A shall not be   applicable in connection with any issuance of common shares (or securities   that are convertible or exchangeable into common shares) in connection with a   prospectus offering or private placement for cash consideration. This Section   8.01A may not be amended, nor may a new by-law inconsistent with this Section   8.01A become effective, without the approval of such amendment or new by-law   by the shareholders of the Corporation by ordinary resolution. DATED this   19th day of June, 2009. Chief Executive Officer Senior Vice President and   General Counsel The foregoing by-law was approved by the directors of the   Corporation on May 15, 2009, subject to obtaining shareholder approval.   ****** The foregoing by-law amendment was confirmed at an annual and special   shareholders' meeting held on June 19, 2009 at which a quorum of shareholders   entitled to vote was present in person or by proxy pursuant to the Canada   Business Corporations Act.. DATED the 19th day of June, 2009. Chairman SecretaryEX-4.3

 Exhibit 4.3 
  

 
 TIMKENSTEEL CORPORATION SAVINGS PLAN 

FOR CERTAIN BARGAINING EMPLOYEES 

(Effective June 30, 2014) 

 TIMKENSTEEL CORPORATION SAVINGS PLAN 

FOR CERTAIN BARGAINING EMPLOYEES 

PREAMBLE 
 TimkenSteel
Corporation (the “Company”) establishes the TimkenSteel Corporation Savings Plan for Certain Bargaining Employees (the “Plan”) effective as of June 30, 2014. 

Prior to June 30, 2014, the Company was a wholly owned subsidiary of The Timken Company (“Timken”). On June 30, 2014,
Timken distributed to its shareholders all of the outstanding common shares, without par value, of the Company (the “Spinoff”), and as a result the Company ceased to be a subsidiary of Timken. 

Prior to the Spinoff, Timken sponsored The Timken Company Savings Plan for Certain Bargaining Associates (the “Prior Plan”). In
connection with the Spinoff, the assets and liabilities of the Prior Plan attributable to the Transferred Participants, as defined below, are being spun off from the Prior Plan to this Plan, effective as of June 30, 2014, and such Transferred
Participants will cease participation in the Prior Plan and become Participants in this Plan. For the purposes of the Plan, “Transferred Participants” means individuals who are participants in the Prior Plan immediately prior to the
Spinoff and who: (a) are employed by the Company or one of its subsidiaries as of the close of business on June 30, 2014; or (b) terminated employment with Timken and its subsidiaries prior to the Spinoff and have been designated by
Timken prior to the Spinoff as eligible to participate in the Plan. For the purposes of the Plan, “Transferred Employees” means individuals who are Transferred Participants, and individuals who would otherwise be considered Transferred
Participants under (a) or (b) of the previous sentence, except that they were not yet participants in the Prior Plan. 
 This Plan
is generally effective June 30, 2014. The benefits, rights and features of the Plan for any Transferred Employees whose employment with Timken terminated prior to June 30, 2014 shall be governed by the terms and provisions of the Prior
Plan as in effect on the date of such termination. 
 The Plan is a profit-sharing plan intended to meet the requirements of
Section 401(a) of the Internal Revenue Code of 1986 and the Employee Retirement Income Security Act of 1974 and subsequent legislation, and the Plan and contributions are expressly conditioned upon qualification thereunder. 

 TABLE OF CONTENTS 

 

							
	 	 	 	  	Page	 
			
	 SECTION 1
	 	         DEFINITIONS
	  	 	1	  
			
	  1.1
	 	 “Actual Contribution Percentage”
	  	 	1	  
			
	  1.2
	 	 “Affiliated Company”
	  	 	1	  
			
	  1.3
	 	 “Alternate Payee”
	  	 	1	  
			
	  1.4
	 	 “Before-Tax Contribution”
	  	 	2	  
			
	  1.5
	 	 “Beneficiary”
	  	 	2	  
			
	  1.6
	 	 “Benefit Commencement Date”
	  	 	2	  
			
	  1.7
	 	 “Board”
	  	 	2	  
			
	  1.8
	 	 “Code”
	  	 	2	  
			
	  1.9
	 	 “Company”
	  	 	2	  
			
	  1.10
	 	 “Company Matching Contributions”
	  	 	2	  
			
	  1.11
	 	 “Company Stock”
	  	 	2	  
			
	  1.12
	 	 “Compensation”
	  	 	2	  
			
	  1.13
	 	 “Compensation Deferral Limit”
	  	 	3	  
			
	  1.14
	 	 “Deferral Percentage”
	  	 	3	  
			
	  1.15
	 	 “Determination Year”
	  	 	4	  
			
	  1.16
	 	 “Disability”
	  	 	4	  
			
	  1.17
	 	 “Effective Date”
	  	 	4	  
			
	  1.18
	 	 “Eligibility Computation Period”
	  	 	4	  
			
	  1.19
	 	 “Eligible Employee”
	  	 	5	  
			
	  1.20
	 	 “Employee”
	  	 	5	  
			
	  1.21
	 	 “Employment Commencement Date”
	  	 	5	  
			
	  1.22
	 	 “ERISA”
	  	 	5	  
			
	  1.23
	 	 “Forfeiture”
	  	 	5	  
			
	  1.24
	 	 “Highly Compensated Employee”
	  	 	5	  
			
	  1.25
	 	 “Hour of Service”
	  	 	5	  
			
	  1.26
	 	 “Investment Committee”
	  	 	6	  
			
	  1.27
	 	 “Leased Employee”
	  	 	6	  
			
	  1.28
	 	 “Leave of Absence”
	  	 	6	  
			
	  1.29
	 	 “Limitation Year”
	  	 	6	  
			
	  1.30
	 	 “Look-Back Year”
	  	 	6	  
			
	  1.31
	 	 “Nonhighly Compensated Employee”
	  	 	6	  

  
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 TABLE OF CONTENTS 

(continued) 
  

							
	 	 	 	  	Page	 
			
	  1.32
	 	 “Normal Retirement Date”
	  	 	7	  
			
	  1.33
	 	 “Participant”
	  	 	7	  
			
	  1.34
	 	 “Participant Contribution”
	  	 	7	  
			
	  1.35
	 	 “Participating Subsidiary”
	  	 	7	  
			
	  1.36
	 	 “Period of Severance”
	  	 	7	  
			
	  1.37
	 	 “Plan”
	  	 	7	  
			
	  1.38
	 	 “Plan Administrator”
	  	 	7	  
			
	  1.39
	 	 “Plan Year”
	  	 	7	  
			
	  1.40
	 	 “Prior Plan”
	  	 	7	  
			
	  1.41
	 	 “Qualified Domestic Relations Order”
	  	 	7	  
			
	  1.42
	 	 “Retirement Date”
	  	 	7	  
			
	  1.43
	 	 “Rollover Contribution”
	  	 	7	  
			
	  1.44
	 	 “Salary Deferral Agreement”
	  	 	8	  
			
	  1.45
	 	 “Separation Date”
	  	 	8	  
			
	  1.46
	 	 “Service”
	  	 	9	  
			
	  1.47
	 	 “Spinoff”
	  	 	9	  
			
	  1.48
	 	 “Spouse”
	  	 	9	  
			
	  1.49
	 	 “Timken”
	  	 	9	  
			
	  1.50
	 	 “Timken Stock”
	  	 	9	  
			
	  1.51
	 	 “Total Account”
	  	 	10	  
			
	  1.52
	 	 “Transferred Employees”
	  	 	10	  
			
	  1.53
	 	 “Transferred Participants”
	  	 	10	  
			
	  1.54
	 	 “Trustee”
	  	 	10	  
			
	  1.55
	 	 “Trust Fund”
	  	 	10	  
			
	  1.56
	 	 “Valuation Date”
	  	 	10	  
			
	  1.57
	 	 “Vested”
	  	 	10	  
			
	  1.58
	 	 “Year of Service”
	  	 	10	  
			
	 SECTION 2
	 	         PARTICIPATION
	  	 	12	  
			
	  2.1
	 	 PARTICIPATION REQUIREMENTS
	  	 	12	  
			
	  2.2
	 	 APPLICATION TO PARTICIPATE
	  	 	12	  
			
	  2.3
	 	 EFFECTIVE DATE OF ELECTIONS
	  	 	12	  
			
	  2.4
	 	 PARTICIPATION UPON REEMPLOYMENT
	  	 	13	  

  
 -ii- 

 TABLE OF CONTENTS 

(continued) 
  

							
	 	 	 	  	Page	 
			
	  2.5
	 	 TERMINATION OF PARTICIPATION
	  	 	13	  
			
	  2.6
	 	 VETERAN’S RIGHTS
	  	 	13	  
			
	 SECTION 3
	 	         PARTICIPANT CONTRIBUTIONS
	  	 	14	  
			
	  3.1
	 	 PARTICIPANT CONTRIBUTIONS
	  	 	14	  
			
	  3.2
	 	 INCREASE OR DECREASE IN RATE OF CONTRIBUTIONS
	  	 	15	  
			
	  3.3
	 	 SUSPENSION AND RESUMPTION OF CONTRIBUTIONS
	  	 	15	  
			
	  3.4
	 	 EFFECTIVE DATE OF ELECTIONS
	  	 	15	  
			
	  3.5
	 	 ROLLOVER CONTRIBUTIONS
	  	 	15	  
			
	  3.6
	 	 MAXIMUM AMOUNT OF SALARY DEFERRAL
	  	 	16	  
			
	 SECTION 4
	 	         COMPANY MATCHING CONTRIBUTIONS
	  	 	18	  
			
	  4.1
	 	 COMPANY MATCHING CONTRIBUTIONS
	  	 	18	  
			
	  4.2
	 	 FORM OF COMPANY MATCHING CONTRIBUTION
	  	 	18	  
			
	  4.3
	 	 COMPANY MATCHING CONTRIBUTIONS REDUCED BY FORFEITURES
	  	 	18	  
			
	  4.4
	 	 ESTABLISHMENT OF PARTICIPANT ACCOUNTS
	  	 	18	  
			
	  4.5
	 	 FORFEITURES
	  	 	19	  
			
	  4.6
	 	 NONDISCRIMINATION REQUIREMENTS
	  	 	19	  
			
	  4.7
	 	 ADJUSTMENT TO ACTUAL DEFERRAL PERCENTAGE
	  	 	21	  
			
	  4.8
	 	 ADJUSTMENT TO ACTUAL CONTRIBUTION PERCENTAGE
	  	 	23	  
			
	  4.9
	 	 TESTING PROCEDURES
	  	 	24	  
			
	  4.10
	 	 AGGREGATION OF PLANS
	  	 	24	  
			
	  4.11
	 	 DISAGGREGATION OF PLAN
	  	 	24	  
			
	  4.12
	 	 CODE SECTION 415 LIMITS
	  	 	25	  
			
	 SECTION 5
	 	         INVESTMENT PROVISIONS
	  	 	26	  
			
	  5.1
	 	 DESCRIPTION OF FUNDS
	  	 	26	  
			
	  5.2
	 	 INVESTMENT ELECTION
	  	 	27	  
			
	  5.3
	 	 CHANGE IN INVESTMENT ELECTION
	  	 	27	  
			
	  5.4
	 	 RESPONSIBILITY OF PARTICIPANT IN MAKING INVESTMENT ELECTIONS
	  	 	27	  
			
	  5.5
	 	 TRANSFER OF FUNDS
	  	 	28	  
			
	  5.6
	 	 STOCK RIGHTS, STOCK DIVIDENDS AND STOCK SPLITS
	  	 	28	  
			
	  5.7
	 	 TRADING RESTRICTIONS
	  	 	29	  

  
 -iii- 

 TABLE OF CONTENTS 

(continued) 
  

							
	 	 	 	  	Page	 
			
	  5.8
	 	 RECOVERY OF ERRONEOUS PAYMENTS
	  	 	29	  
			
	 SECTION 6
	 	         VESTING
	  	 	30	  
			
	  6.1
	 	 VESTING OF PARTICIPANT CONTRIBUTIONS
	  	 	30	  
			
	  6.2
	 	 VESTING OF COMPANY MATCHING CONTRIBUTIONS
	  	 	30	  
			
	 SECTION 7
	 	         DISTRIBUTIONS
	  	 	31	  
			
	  7.1
	 	 DISTRIBUTION ON RETIREMENT, DISABILITY OR OTHER TERMINATION OF SERVICE
	  	 	31	  
			
	  7.2
	 	 LUMP SUM DISTRIBUTIONS
	  	 	32	  
			
	  7.3
	 	 DISTRIBUTIONS ON DEATH
	  	 	32	  
			
	  7.4
	 	 INVESTMENT OF DEFERRED DISTRIBUTIONS
	  	 	34	  
			
	  7.5
	 	 PROOF OF DEATH
	  	 	34	  
			
	  7.6
	 	 LOAN AS A DISTRIBUTION
	  	 	34	  
			
	  7.7
	 	 DISTRIBUTION TO ALTERNATE PAYEES
	  	 	35	  
			
	  7.8
	 	 NOTICE TO PAYEES
	  	 	35	  
			
	  7.9
	 	 RESTRICTIONS ON DISTRIBUTIONS
	  	 	35	  
			
	  7.10
	 	 ELIGIBLE ROLLOVER DISTRIBUTIONS
	  	 	36	  
			
	  7.11
	 	 REQUIRED MINIMUM DISTRIBUTIONS
	  	 	37	  
			
	 SECTION 8
	 	         WITHDRAWALS AND LOANS DURING EMPLOYMENT
	  	 	42	  
			
	  8.1
	 	 HARDSHIP WITHDRAWALS
	  	 	42	  
			
	  8.2
	 	 RESTORATION OF WITHDRAWALS
	  	 	44	  
			
	  8.3
	 	 TIMING OF WITHDRAWALS
	  	 	44	  
			
	  8.4
	 	 LOANS
	  	 	44	  
			
	  8.5
	 	 TIMING OF LOANS
	  	 	46	  
			
	  8.6
	 	 COMPLIANCE WITH LAW
	  	 	46	  
			
	 SECTION 9
	 	         ADMINISTRATION OF THE PLAN
	  	 	47	  
			
	  9.1
	 	 THE PLAN ADMINISTRATOR
	  	 	47	  
			
	  9.2
	 	 POWERS OF THE PLAN ADMINISTRATOR
	  	 	47	  
			
	  9.3
	 	 PLAN ADMINISTRATION
	  	 	48	  
			
	  9.4
	 	 INDEMNIFICATION
	  	 	50	  
			
	  9.5
	 	 FIDUCIARY INSURANCE
	  	 	50	  
			
	  9.6
	 	 FILINGS WITH THE PLAN ADMINISTRATOR
	  	 	51	  

  
 -iv- 

 TABLE OF CONTENTS 

(continued) 
  

							
	 	 	 	  	Page	 
			
	  9.7
	 	 PAYEE UNKNOWN
	  	 	51	  
			
	  9.8
	 	 RELIANCE ON STATEMENTS OF PARTICIPANTS AND BENEFICIARIES
	  	 	51	  
			
	  9.9
	 	 DISTRIBUTION TO MINORS AND INCAPACITATED PAYEES
	  	 	52	  
			
	  9.10
	 	 CLAIMS FOR DISABILITY BENEFITS
	  	 	52	  
			
	 SECTION 10
	 	         ADMINISTRATION OF THE TRUST
	  	 	56	  
			
	  10.1
	 	 TRUST AGREEMENT
	  	 	56	  
			
	  10.2
	 	 PROVISIONS OF THE TRUST AGREEMENT
	  	 	56	  
			
	  10.3
	 	 EXCLUSIVE BENEFIT OF PARTICIPANTS
	  	 	56	  
			
	  10.4
	 	 DIRECTIONS OF THE PLAN ADMINISTRATOR
	  	 	56	  
			
	  10.5
	 	 COORDINATION OF PLAN AND TRUST AGREEMENT
	  	 	56	  
			
	  10.6
	 	 INVESTMENT COMMITTEE
	  	 	57	  
			
	  10.7
	 	 RETURN OF CONTRIBUTIONS
	  	 	57	  
			
	 SECTION 11
	 	         AMENDMENT, TERMINATION, OR MERGER OF THE PLAN
	  	 	58	  
			
	  11.1
	 	 RIGHT TO AMEND
	  	 	58	  
			
	  11.2
	 	 RIGHT TO TERMINATE
	  	 	58	  
			
	  11.3
	 	 NOTICE OF TERMINATION
	  	 	58	  
			
	  11.4
	 	 TERMINATION OF TRUST
	  	 	58	  
			
	  11.5
	 	 DISCONTINUANCE OF CONTRIBUTIONS
	  	 	59	  
			
	  11.6
	 	 MERGER OF PLANS
	  	 	59	  
			
	 SECTION 12
	 	         TIMKEN STOCK FUND
	  	 	60	  
			
	  12.1
	 	 GENERAL
	  	 	60	  
			
	  12.2
	 	 VOTING AND TENDER OF TIMKEN STOCK
	  	 	61	  
			
	 SECTION 13
	 	         MISCELLANEOUS PROVISIONS
	  	 	62	  
			
	  13.1
	 	 GENDER
	  	 	62	  
			
	  13.2
	 	 INVESTMENTS AND EXPENSES
	  	 	62	  
			
	  13.3
	 	 VOTING AND TENDER OF COMPANY STOCK
	  	 	62	  
			
	  13.4
	 	 STATEMENTS OF ACCOUNTS
	  	 	62	  
			
	  13.5
	 	 NONALIENABILlTY OF BENEFITS
	  	 	62	  
			
	  13.6
	 	 ACQUISITIONS AND DIVESTITURES
	  	 	63	  
			
	  13.7
	 	 CHANGE IN OPERATIONS
	  	 	64	  
			
	  13.8
	 	 LIMITATION ON DISTRIBUTIONS
	  	 	64	  

  
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 TABLE OF CONTENTS 

(continued) 
  

							
	 	 	 	  	Page	 
			
	  13.9
	 	 LIMITATION ON REVERSION OF CONTRIBUTIONS
	  	 	64	  
			
	  13.10
	 	 VOLUNTARY PLAN
	  	 	65	  
			
	  13.11
	 	 LIMITATION OF THIRD PARTY RIGHTS
	  	 	65	  
			
	  13.12
	 	 INVALID PROVISIONS
	  	 	65	  
			
	  13.13
	 	 ONE PLAN
	  	 	65	  
			
	  13.14
	 	 GOVERNING LAW
	  	 	66	  
			
	  13.15
	 	 TRADE CONTROL POLICY
	  	 	66	  

  
 -vi- 

 SECTION 1 

DEFINITIONS 
  

	1.1	 “Actual Contribution Percentage” means, with respect to a specified group of Employees for a Plan Year, the average of the ratios
(calculated separately for each Employee in such group) of: (a) any Company Matching Contributions made on behalf of a Participant for a Plan Year, as well as any Before-Tax Contributions (excluding any Catch-Up Contributions) that are treated
by the Plan Administrator as matching contributions under the Plan, to (b) such Participant’s Compensation (within the meaning of Section 415(c)(3) of the Code) for such Plan Year. 

In calculating the Actual Contribution Percentage, the actual contribution ratio of a Highly Compensated Employee will be
determined by treating all plans subject to Section 401(m) of the Code under which the Highly Compensated Employee is eligible (other than those that may not be permissively aggregated) as a single plan, and in the event that such plans have
different plan years, all Company Matching Contributions made during the Plan Year under all such plans shall be aggregated. 
  

	1.2	 “Affiliated Company” means any of the following: 

 

	 	(a)	 Any corporation which is a member of a controlled group of corporations, which includes the Company, determined under the provisions of
Section 414(b) of the Code; 

  

	 	(b)	 Any trade or business (whether or not incorporated) which is under common control (as defined in Section 414(c) of the Code) with the Company;

  

	 	(c)	 Any organization (whether or not incorporated) which is a member of an affiliated service group (as defined in Section 414(m) of the Code)
which includes the Company; and 

  

	 	(d)	 Any other entity required to be aggregated with the Company pursuant to regulations under Section 414(m) of the Code. 

A corporation, trade, or business, or member of an affiliated service group shall be treated as an Affiliated Company only
while it is a member of the group. 
  

	1.3	 “Alternate Payee” means any spouse, former spouse, child, or other dependent of a Participant recognized by a Qualified Domestic
Relations Order as having a right to receive all, or a portion of, the Participant’s nonforfeitable benefits under the Plan. 

  
 -1- 

	1.4	 “Before-Tax Contribution” means a contribution to the Trust Fund made on the behalf of a Participant pursuant to a Salary Deferral
Agreement and which is not included in the Participant’s gross income for Federal income tax purposes for the year in which such contribution was made. 

  

	1.5	 “Beneficiary” means any person or persons (including a trust established for the benefit of such person or persons) designated by
a Participant or by the terms of the Plan as provided in Section 7.3(a), who is or who may become entitled to receive benefits from the Plan. Any person who is an Alternate Payee shall be considered a Beneficiary for purposes of the Plan.

  

	1.6	 “Benefit Commencement Date” means the first Valuation Date following the date on which all events have occurred which entitle the
Participant or Beneficiary to a distribution from the Plan in accordance with the provisions of Section 7. 

  

	1.7	 “Board” means the Board of Directors of TimkenSteel Corporation except that any action which may be taken by the Board may also be
taken by a duly authorized officer of TimkenSteel Corporation. 

  

	1.8	 “Code” means the Internal Revenue Code of 1986, as amended from time to time. Reference to a specific provision of the Code shall
include such provision, any valid regulation or ruling promulgated thereunder, and any provision of future law that amends, supplements, or supersedes such provision. 

 

	1.9	 “Company” means TimkenSteel Corporation and any Participating Subsidiaries. 

 

	1.10	 “Company Matching Contributions” means the matching contributions made by the Company on behalf of a Participant pursuant to
Section 4.1. 

  

	1.11	 “Company Stock” means a share or shares of the common stock of TimkenSteel Corporation, which is intended to be qualifying
employer securities within the meaning of Section 407(d)(5) of ERISA. 

  

	1.12	 “Compensation” means the total amount of pay, commissions, bonuses (whether paid in cash or stock), and wages, including in each
case all overtime pay, shift differential, vacation pay (but excluding wages paid to an Employee for unused vacation), and holiday pay received by the Employee from the Company during the Plan Year, but excluding in each case all severance pay and
termination pay. 

  

	 	(a)	 Compensation also includes the following: 

  

	 	(i)	 In the event an Employee transfers from the employ of the Company to the employ of an Affiliated Company, commissions and bonuses paid by the
Company to such former Employee during the Plan Year in which such transfer occurs. 

  
 - 2 - 

	 	(ii)	 Contribution made on behalf of an Employee by the Company pursuant to a Salary Deferral Agreement and/or a salary reduction agreement pursuant to a
cafeteria plan established under Section 125 of the Code. 

  

	 	(b)	 Compensation does not include other employee benefits, including but not limited to: 

 

	 	(i)	 profit sharing arrangements; 

  

	 	(ii)	 rights under any stock purchase plans, insurance program, or any benefits to any of the Employees thereunder; 

 

	 	(iii)	 any part of payments which may be made by the Company as a result of its share of employment taxes; 

 

	 	(iv)	 the value or estimated value of any welfare, pension or retirement rights or benefits whatsoever. 

In addition to other applicable limitations set forth in the Plan, and notwithstanding any other provision of the Plan to the
contrary, the annual compensation of each Employee taken into account under the Plan shall not exceed $260,000 or such annual compensation limit specified under Section 401(a)(17) of the Code including adjustments made by the Commissioner of
Internal Revenue for increases in the cost of living in accordance with Section 401(a)(17)(B) of the Code. 
  

	1.13	 “Compensation Deferral Limit” means, for any Plan Year, the maximum percentage (determined in accordance with the provisions of
Section 4.6) of an Employee’s Compensation which may be contributed to the Plan pursuant to a Salary Deferral Agreement. The Plan Administrator shall establish the Compensation Deferral Limit for each Plan Year for the purpose of meeting
the nondiscrimination tests of Section 401(k) of the Code, and shall apply the limit to such Employees as is necessary to ensure compliance with such tests. 

 

	1.14	 “Deferral Percentage” means, for each Participant, the ratio of any Before-Tax
Contributions made on behalf of a Participant for a Plan Year, to such Participant’s Compensation (within the meaning of Section 415(c)(3) of the Code) while an Eligible Employee during such Plan Year. If more than one plan providing a
cash or deferred arrangement (within the meaning of Section 401(k) of the Code) is maintained by the Company or an Affiliated Company, the Deferral Percentage of any Highly Compensated Employee who participates in more than one such plan or

  
 - 3 - 

	 	 
arrangement shall be determined as if all such plans or arrangements were a single plan or arrangement. Notwithstanding the foregoing, plans or arrangements shall be treated as separate if they
are mandatorily disaggregated under Section 401(k) of the Code. 

  

	1.15	 “Determination Year” means the Plan Year that is being tested for purposes of determining if the Plan meets the applicable
nondiscrimination requirements of Code Sections 401(k) and 401(m). 

  

	1.16	 “Disability” as applied to any Employee means any permanent disability as that term is defined in an any permanent disability
benefit plan or plans maintained by the Company or an Affiliated Company and in which the Employee participates, or in the absence of any such plan in which the Employee participates, Disability means that the Employee: 

 

	 	(i)	 Has been totally incapacitated by bodily injury or disease so as to be prevented thereby from engaging in any occupation or employment for
remuneration or profit, 

  

	 	(ii)	 Such total incapacity shall have continued for a period of six (6) consecutive months, and 

 

	 	(iii)	 Such total incapacity will, in the opinion of a qualified physician, be permanent and continue during the remainder of such Employee’s life.

 Disability shall not mean, however, any incapacity which was contracted, suffered or incurred while the
Employee was engaged in, or resulted from his having engaged in, a criminal enterprise, or which resulted from his habitual drunkenness or addiction to narcotics, a self-inflicted injury, or service in the armed forces of any country. 

 

	1.17	 “Effective Date” means June 30, 2014. 

 

	1.18	 “Eligibility Computation Period” means a period of twelve consecutive months which is used for purposes of eligibility to
participate in the Plan. An Employee’s initial Eligibility Computation Period will begin on his or her Employment Commencement Date. The second Eligibility Computation Period will begin on the first day of the Plan which begins prior to the
first anniversary of the Employee’s Employment Commencement Date (regardless of whether the Employee is credited with a specific number of Hours of Service during the initial Eligibility Computation Period) and each subsequent Eligibility
Computation Period will consist of each subsequent Plan Year. 

  
 - 4 - 

	1.19	 “Eligible Employee” means any person who is employed by the Company and is a member of Workers United Local 10. In no event shall
any “Leased Employee” be eligible to participate in the Plan. 

  

	1.20	 “Employee” means any employee currently employed by the Company or an Affiliated Company. The term “Employee” includes
any Leased Employee. 

  

	1.21	 “Employment Commencement Date” means the first day that an Employee is credited with an Hour of Service for the Company.

  

	1.22	 “ERISA” means the Employee Retirement Income Security Act of 1974, as amended from time to time. Reference to a specific provision
of ERISA shall include such provision, any valid regulation or ruling promulgated thereunder, and any provision of future law that amends, supplements, or supersedes such provision. 

 

	1.23	 “Forfeiture” means Company Matching Contributions that are forfeited as provided in this Plan. 

 

	1.24	 “Highly Compensated Employee” means an Employee who performs service for the Company during the Determination Year and who:

  

	 	(i)	 was a five percent (5%) owner as defined in Section 416(i)(1)(B)(i) of the Code, at any time during the Determination Year or the
Look-Back Year. 

  

	 	(ii)	 received compensation from the Company in excess of $90,000 (as adjusted pursuant to Code Section 415(d)) during the Look-back Year.

 For purposes of determining an Employee’s compensation under this Section 1.24, compensation
shall mean the Employee’s total compensation reportable on Form W-2, plus all contributions made on behalf of the Employee by the Company or an Affiliated Company pursuant to a Salary Deferral Agreement under this Plan (or a similar agreement
under any other cash or deferred arrangement described in Section 401(k) of the Code) or any salary reduction agreement pursuant to a cafeteria plan established under Section 125 of the Code or pursuant to Section 132(f)(4) of the
Code. 
  

	1.25	 “Hour of Service” means: 

  

	 	(a)	 each hour for which an Employee is paid or entitled to payment for the performance of duties for the Company or an Affiliated Company during the
Plan Year; 

  

	 	(b)	 each hour for which an Employee is paid or entitled to payment by the Company or an Affiliated Company on account of a period of time during which
no duties were performed (irrespective of whether the employment relationship has terminated) due to 

  
 - 5 - 

	 	 
vacation, holiday, illness, incapacity (including disability), layoff, jury duty, military duty or Leave of Absence, except that no more than 501 Hours of Service will be credited under this
subsection (b) for any single continuous period; and 

  

	 	(c)	 each hour for which back pay, irrespective of mitigation of damages, is either awarded or agreed to by the Company or an Affiliated Company, except
that the same Hours of Service will not be credited both under subsection (a) or (b), as the case may be, and under this subsection (c), and these Hours of Service will be credited to the Employee for the computation period or periods to which
the award or agreement pertains rather than the computation period in which the award, agreement, or payment is made. 

Hours of Service accrued under the Prior Plan shall be included in the computation of any Hours of Service under the Plan for
Transferred Employees. 
 The determination of Hours of Service shall be in accordance with the rules set forth in the United
States Department of Labor’s Rules and Regulations for Minimum Standards for Employee Pension Benefit Plans, Section 2530.200b-2(b) and (c), which are incorporated herein by this reference. Furthermore, Hours of Service will be credited
for any individual who is considered to be an Employee under Code § 414(n) for purposes of the Plan. 
  

	1.26	 “Investment Committee” means the committee described in Section 10.6 

 

	1.27	 “Leased Employee” means any person who renders personal services to the Company and who is described in Section 414(n)(2) of
the Code by reason of providing such services, other than a person described in Section 414(n)(5) of the Code. 

  

	1.28	 “Leave of Absence” means an absence granted in writing by the Company or an Affiliated Company in accordance with the
Company’s personnel policies or as required by law, uniformly applied to all Employees, including but not limited to absences for reasons of health, education, jury duty, or service in the armed forces of the United States.

  

	1.29	 “Limitation Year” means the calendar year. 

 

	1.30	 “Look-Back Year” means the period of twelve consecutive months immediately preceding the Determination Year. For purposes of
determining the Average Deferral Percentage of Nonhighly Compensated Employees, the Plan Administrator may elect, in accordance with applicable regulations, that the Look-Back Year shall be the Determination Year. 

 

	1.31	 “Nonhighly Compensated Employee” means an Employee who is not a Highly Compensated Employee. 

  
 - 6 - 

	1.32	 “Normal Retirement Date” means the date on which the Employee shall have attained the age of 65. 

 

	1.33	 “Participant” means an Eligible Employee who has elected to participate in the Plan in accordance with the provisions of
Section 2. An Eligible Employee shall cease to be a Participant in the Plan in accordance with the provisions of Section 2.5. 

  

	1.34	 “Participant Contribution” means a contribution made by or on behalf of the Participant pursuant to Section 3.

  

	1.35	 “Participating Subsidiary” means any Affiliated Company that has adopted this Plan with the approval of the Board.

  

	1.36	 “Period of Severance” means the period beginning on an Employee’s Separation Date and ending on the date such Employee is
again credited with an Hour of Service. 

 A one-year Period of Severance is any period of twelve
consecutive months beginning on a Separation Date and any anniversary thereof, provided that the former Employee has not performed an Hour of Service for the Company or an Affiliated Company at any time during such twelve-month period. 

 

	1.37	 “Plan” means the TimkenSteel Corporation Savings Plan for Certain Bargaining Employees, as set forth herein, and as may be amended
from time to time. 

  

	1.38	 “Plan Administrator” means TimkenSteel Corporation, unless it appoints a Plan Administrator, as set forth in Section 9.

  

	1.39	 “Plan Year” means the calendar year. The initial Plan Year shall commence on June 30, 2014 and shall terminate on
December 31, 2014. 

  

	1.40	 “Prior Plan” means The Timken Company Savings Plan for Certain Bargaining Associates. 

 

	1.41	 “Qualified Domestic Relations Order” means a domestic relations order which meets the requirements of Section 414(p) of the
Code, as determined by the Plan Administrator. 

  

	1.42	 “Retirement Date” means Normal Retirement Date, any actual date of retirement subsequent to the Normal Retirement Date, or any
early retirement date under the terms of any qualified retirement plan maintained by the Company by which the Participant is covered. 

  

	1.43	 “Rollover Contribution” means a transfer by a Participant to this Plan of all or a portion of a distribution to such Participant
from a qualified plan or individual retirement account, provided the distribution is: 

  

	 	(a)	 an eligible direct rollover distribution within the meaning of the first sentence of Section 7.10(a); 

  
 - 7 - 

	 	(b)	 rolled over to the Plan within 60 days following the date the Eligible Employee receives the distribution from the qualified plan or individual
retirement account; and 

  

	 	(c)	 not from a designated Roth account (as defined in section 402A of the Code) or from a Roth IRA (as defined in section 408A of the Code).

  

	1.44	 “Salary Deferral Agreement” means an agreement in the form provided by the Plan Administrator in which an Eligible Employee agrees
to reduce his Compensation earned after the execution of such agreement and to have the amount of such reduction contributed by the Company to the Trust Fund on his behalf pursuant to Section 401(k) of the Code. An Eligible Employee may execute
a new Salary Deferral Agreement from time to time pursuant to Section 3.2. 

  

	1.45	 “Separation Date” means the last day of the month in which occurs the earliest of: 

 

	 	(a)	 The date on which an Employee resigns, is discharged by his employer, retires at his Retirement Date, retires due to Disability, or dies. For this
purpose an Employee shall be deemed to have resigned if he 

  

	 	(i)	 is absent from work for seven (7) or more successive working days without reasonable cause, or 

 

	 	(ii)	 fails, without reasonable cause, to return to work after a Leave of Absence or temporary layoff within seven (7) days after notice to return
has been sent to his last address, as shown by the employer’s employment records; 

  

	 	(b)	 The first anniversary of the date on which an Employee begins a layoff from the Company or an Affiliated Company (or, in the case of a Transferred
Employee, from the “Company” or “Affiliated Company,” as defined under the Prior Plan as in effect during the applicable period); or 

  

	 	(c)	 The second anniversary of the date on which an Employee remains absent from service (with or without pay) with the Company or an Affiliated Company
(or, in the case of a Transferred Employee, with the “Company” or “Affiliated Company,” as defined under the Prior Plan as in effect during the applicable period) for any reason other than resignation, retirement, discharge, or
death, such as illness, maternity or paternity leave, or Leave of Absence. 

  
 - 8 - 

 Notwithstanding the foregoing, in the event that the Employee fails to return to
active employment upon the expiration of a Leave of Absence (or, in the case of a military leave, during the period in which his reemployment rights are protected by applicable law, or during the period in which his reemployment rights are protected
by the Plan Administrator, whichever is longer), the Employee’s Separation Date shall mean the date on which such absence from service began, unless such failure to return is the result of retirement, Disability, or death. 

 

	1.46	 “Service” means the aggregate of the following: 

 

	 	(a)	 The period commencing with the first day of the month in which an Employee is credited with an Hour of Service, and ending on the Employee’s
Separation Date. 

  

	 	(b)	 If an Employee performs an Hour of Service within twelve months of a Separation Date on account of an event described in Section 1.45(a), the
period from such Separation Date to such Hour of Service. 

  

	 	(c)	 In the case of an Employee who leaves employment with the Company or an Affiliated Company (or, in the case of a Transferred Employee, with the
“Company” or an “Affiliated Company,” as defined under the Prior Plan as in effect during the applicable period) to enter service with the armed forces of the United States, the period of such military service, provided the
individual resumes employment with the Company or an Affiliated Company within the period during which his reemployment rights are protected by Section 414(u) of the Code, or within the period during which his reemployment rights are protected
by the Plan Administrator, whichever is longer. 

  

	1.47	 “Spinoff” means the event described as the “Spinoff” in the Preamble of the Plan. 

 

	1.48	 “Spouse” means the person, if any, to whom the Employee is lawfully married at the time of his death prior to retirement or at the
time his benefits are to commence, as the case may be, provided, however, that a former spouse will be treated as the Spouse to the extent provided under a Qualified Domestic Relations Order. 

 

	1.49	 “Timken” means The Timken Company. 

  

	1.50	 “Timken Stock” means a share or shares of the common stock of The Timken Company, which is not intended to be qualifying employer
securities within the meaning of Section 407(d)(5) of ERISA. 

  
 - 9 - 

	1.51	 “Total Account” means the total amounts held under the Plan for a Participant, consisting of the following subaccounts:

  

	 	(a)	 “Before-Tax Contribution Account” — The portion of the Participant’s Total Account consisting of
Before-Tax Contributions and Catch-Up Contributions made in accordance with Section 3.1 (and, for a Transferred Participant, any “Before-Tax Contributions” or “Catch-Up Contributions,” as such terms are defined under the
Prior Plan, made on behalf of the Participant) plus or minus any investment earnings or losses on such contributions, less any withdrawals or distributions from such Account. 

 

	 	(b)	 “Matching Contribution Account” — The portion of the Participant’s Total Account consisting of
Company Matching Contributions (and, for a Transferred Participant, any “Company Matching Contributions,” as defined under the Prior Plan, made on behalf of the Participant) plus or minus any investment earnings or losses on such
contributions, less any withdrawals or distributions from such Account. 

  

	 	(c)	 “Rollover Contribution Account” — The portion of the Participant’s Total Account consisting of any
Rollover Contribution made on behalf of the Participant in accordance with Section 3.5 (and, for a Transferred Participant, any “Rollover Contribution,” as defined under the Prior Plan, made on behalf of the Participant) plus or minus
any investment earnings or losses on such amounts, less any withdrawals or distributions from such Account. 

  

	1.52	 “Transferred Employees” means the individuals described as “Transferred Employees” in the Preamble of the Plan.

  

	1.53	 “Transferred Participants” means the individuals described as “Transferred Participants” in the Preamble of the Plan.

  

	1.54	 “Trustee” means the Trustee or Trustees appointed by the Company in accordance with Section 10. 

 

	1.55	 “Trust Fund” means the fund established under the terms of the Trust Agreement for the purpose of holding and investing the assets
of the Plan held by the Trustee. 

  

	1.56	 “Valuation Date” means each day on which the New York Stock Exchange is open for trading or such other date or dates as the Plan
Administrator deems appropriate. 

  

	1.57	 “Vested” means a Participant’s non-forfeitable right to his Total Account. 

 

	1.58	 “Year of Service” means an Eligibility Computation Period during which an Employee is credited with at least 1,000 Hours of
Service. If any Eligibility Computation Period is less than 12 consecutive months, the Hours of Service requirement set forth herein will be proportionately reduced (if it is greater than one) in determining whether an Employee is credited with a
Year of Service during such short Eligibility Computation Period. 

  
 - 10 - 

 For the 2013 Plan Year, the computation of a Year of Service for any Participant
in the Plan immediately prior to June 30, 2014 will be made in accordance with Treasury Regulations sections 1.410(a)-7(f) and 1.410(a)-7(g). 

  
 - 11 - 

 SECTION 2 

PARTICIPATION 
  

	2.1	 PARTICIPATION REQUIREMENTS 

  

	 	(a)	 Any Transferred Participant shall immediately participate in the Plan as of the Effective Date. 

 

	 	(b)	 Any Eligible Employee who is an Eligible Employee on or after the Effective Date may participate in the Plan as of the first day of the month after
being employed full-time for at least one full calendar month during which the Eligible Employee shall have worked the available business days. Notwithstanding the foregoing, an Eligible Employee who is not classified as full time shall become
eligible to participate in the Plan on the first day of the month after he completes one Year of Service. Notwithstanding any provision in the Plan to the contrary, service with TSB Metal Recycling LLC or its predecessor prior to January 1,
2014 shall be treated in the same manner as service performed on or after the Effective Date for purposes of the participation requirements described in this subsection (b). Also notwithstanding any provision in the Plan to the contrary, service for
Transferred Employees under the Prior Plan shall be treated as service under the Plan, provided that nothing in this sentence shall result in the double counting of any period of service for an Employee. 

 

	2.2	 APPLICATION TO PARTICIPATE 

An Eligible Employee, or an Employee who will become an Eligible Employee within two months, may enroll to become a Participant
by filing his elections in the form prescribed by the Plan Administrator at least one pay period prior to the date on which he elects to commence participation. All Transferred Participants shall automatically become Participants as of the Effective
Date. 
  

	2.3	 EFFECTIVE DATE OF ELECTIONS 

In order to make contributions or have contributions made on his behalf, an Eligible Employee who becomes a Participant must
make elections as provided under the Plan. The elections shall become effective with respect to the first payroll period commencing on or after the Employee’s date of commencement of participation. For Transferred Participants, all such
elections made under the Prior Plan shall apply to the Plan as of the Effective Date. 

  
 - 12 - 

	2.4	 PARTICIPATION UPON REEMPLOYMENT 

An Eligible Employee who reaches a Separation Date prior to becoming a Participant and who is subsequently reemployed shall
have all periods of Service prior to such Separation Date counted in the determination of eligibility regardless of the period of time that may have elapsed between his Separation Date and his subsequent date of reemployment and may participate in
the Plan on the later of: 
  

	 	(a)	 his completion of, in the aggregate, the period of Service applicable to such Eligible Employee pursuant to Section 2.1; or

  

	 	(b)	 the first available payroll period following his date of reemployment; 

or on any subsequent payroll period determined above, provided he is then an Eligible Employee. 

A Participant who: (i) separates from service from the Company (or, in the case of Transferred Employees who terminated
employment prior to the Spinoff, the “Company,” as defined under the Prior Plan on the applicable date); (ii) incurs a Period of Severance; and (iii) is reemployed by the Company as an Eligible Employee, shall immediately resume
participation in the Plan as of the date of his reemployment. 
  

	2.5	 TERMINATION OF PARTICIPATION 

A Participant’s participation in the Plan shall continue until the later of: 

 

	 	(a)	 the Participant’s Separation Date; or 

  

	 	(b)	 such time as all nonforfeitable amounts credited to the Participant’s Total Account shall have been distributed in full in accordance with the
terms of the Plan. 

  

	2.6	 VETERAN’S RIGHTS 

Notwithstanding any provision of the Plan to the contrary, contributions, benefits and Service credit with respect to qualified
military service shall be provided in accordance with Section 414(u) of the Code. Effective January 1, 2007, notwithstanding any provision of this Plan to the contrary, if a Participant dies during his or her period of service with the
armed forces, the survivors of the Participant will be entitled to any benefits provided under the Plan that such survivors would have been entitled to receive if the Participant had become reemployed by the Company on the day immediately prior to
his or her date of death (entitling such Participant to additional benefit accruals and vesting service relating to periods of qualified military leave under Section 414(u) of the Code) and then terminated employment on his actual date of
death. 

  
 - 13 - 

 SECTION 3 

PARTICIPANT CONTRIBUTIONS 
  

	3.1	 PARTICIPANT CONTRIBUTIONS 

Each Eligible Employee may, upon becoming a Participant, elect to have a Before-Tax Contribution made on his behalf at a rate
of between one percent and seventy-five percent of his Compensation. The rate of contribution will be in increments of 1%. Such election shall be in the form of a Salary Deferral Agreement, and shall be subject to the Compensation Deferral Limit, if
any, applicable to such Participant as established by the Plan Administrator from time to time for purposes of meeting the nondiscrimination tests of Section 401(k) of the Code, and, if applicable, satisfying the maximum limits described in
Section 3.6 and Sections 4.6 through 4.12. As provided in Section 2, any elections made under the Prior Plan shall apply to the Plan as of the Effective Date. 

Notwithstanding the foregoing, any Participant who has elected to have Before-Tax Contributions made on his behalf to this Plan
and who has attained age 50 before the end of a particular calendar year shall be permitted to make catch-up contributions for such calendar year (the “Catch-Up Contributions”) in accordance with, and subject to the limitations of,
Section 414(v) of the Code; provided, however, that a Participant will be permitted to make Catch-Up Contributions for a pay period only to the extent that the Participant’s Catch-Up Contributions for such pay period, when added to the
Participant’s other Before-Tax Contributions for such pay period, are equal to or less than 100% of the Participant’s Compensation for such pay period. Catch-Up Contributions shall not be taken into account for purposes of the provisions
of the Plan implementing the required limitations of Sections 401(a)(30) and 415(c) of the Code (i.e., Sections 3.6 and 4.12, respectively). In addition, notwithstanding any provision of the Plan to the contrary, the Plan shall not be treated as
failing to satisfy the requirements of Sections 401(k)(3), 401(k)(11), 410(b), or 416 of the Code, as applicable, by reason of the making of any such Catch-Up Contributions. In furtherance of, but without limiting the foregoing,
(a) contributions made during a Participant’s taxable year on behalf of the Participant under a Salary Deferral Agreement (including Catch-Up Contributions) that exceed the statutory limit described in Section 3.6(a) or
Section 4.12 shall be treated as Catch-Up Contributions, and (b) Catch-Up Contributions shall be permitted to be made on a payroll-by-payroll basis; provided, however, that a contribution made under a Salary Deferral Agreement may only be
characterized as a Catch-Up Contribution on a Plan Year basis. 

  
 - 14 - 

	3.2	 INCREASE OR DECREASE IN RATE OF CONTRIBUTIONS 

A Participant may elect to change the rate of contributions under his Salary Deferral Agreement as of any payroll period,
provided he files with the Plan Administrator in the form prescribed by the Plan Administrator a new Salary Deferral Agreement within the time frame prescribed by the Plan Administrator. 

 

	3.3	 SUSPENSION AND RESUMPTION OF CONTRIBUTIONS 

 

	 	(a)	 A Participant may elect to suspend contributions, effective the next available payroll period, provided that the Participant files with the Plan
Administrator, in the form prescribed by the Plan Administrator, his election to suspend within the time frame prescribed by the Plan Administrator. In the event of an election to suspend contributions, the Participant may have contributions resumed
effective any subsequent payroll period, provided that he files a new Salary Deferral Agreement with the Plan Administrator within the time frame prescribed by the Plan Administrator. 

 

	 	(b)	 A Participant may not make up suspended contributions. 

  

	 	(c)	 During a period of suspension, gains and losses on the Participant’s Total Account will continue to be credited or debited on the balance of
his Total Account. 

 If a Participant ceases to be an Eligible Employee but continues in the employ of the
Company, Before-Tax Contributions made on his behalf shall be immediately suspended. No contributions shall be made for a Participant with respect to the period of such suspension. If the Participant again becomes an Eligible Employee, he may resume
his Before-Tax Contributions by filing the appropriate form with the Plan Administrator. Resumption of contributions shall commence as of the next available payroll period following the date the appropriate form is properly filed with the Plan
Administrator, or as soon as practical thereafter. 
  

	3.4	 EFFECTIVE DATE OF ELECTIONS 

The elections referred to in this Section 3 shall become effective with respect to the first available payroll period, in
accordance with the administrative procedures established by the Plan Administrator. 
  

	3.5	 ROLLOVER CONTRIBUTIONS 

  

	 	(a)	 The Plan Administrator in accordance with a uniform and nondiscriminatory policy, shall determine whether or not a Rollover Contribution shall be
accepted. Any such request shall state the amount of the Rollover Contribution and include a statement that such 

  
 - 15 - 

	 	 
contribution qualifies as a Rollover Contribution as defined in Section 1.43. The Plan Administrator may require the Employee to submit such other evidence and documentation as the Plan
Administrator determines necessary to ensure that the contribution qualifies as a Rollover Contribution. All Rollover Contributions must be made in cash. 

If a rollover is later deemed to be invalid, such invalid amount plus allowable income shall be distributed to the Participant
within a reasonable time after such determination pursuant to the Code and related regulations. 
  

	 	(b)	 The Employee shall at all times have a nonforfeitable right in 100% of his Rollover Contribution Account. 

 

	 	(c)	 An Employee who makes a Rollover Contribution to the Trust Fund shall be deemed to be a Participant with respect to such amount for all purposes of
the Plan, except for purposes of Sections 2.1 through 2.5, Sections 3.1 through 3.4 and Sections 4.1 through 4.12. 

  

	 	(d)	 At the time the Rollover Contribution is made to the Trust Fund, the Employee must elect to have it invested in accordance with the terms of
Section 5.2. 

  

	 	(e)	 For administration and account purposes, the amounts paid to the Trust Fund in the form of Rollover Contributions and any interest earned on such
amounts shall be credited to the Participant’s Rollover Contribution Account, or to such other account or accounts as may be appropriate under the circumstances. In no event, however, shall any Rollover Contribution be subject to Company
Matching Contributions. 

  

	 	(f)	 Unless specifically indicated to the contrary elsewhere in this Plan, the Plan shall prohibit the transfer of assets to the Plan from any other
plan. 

  

	3.6	 MAXIMUM AMOUNT OF SALARY DEFERRAL 

  

	 	(a)	 Subject to the provisions of paragraph (b) below, contributions made during a Participant’s taxable year (which is presumed to be the
calendar year) on behalf of the Participant under a Salary Deferral Agreement shall be limited to $17,500 (or such other limit as may be in effect at the beginning of such taxable year under Section 402(g)(1) of the Code), reduced by the amount
of “elective deferrals” (as defined in Section 402(g)(3) of the Code) made during the taxable year of the Participant under any plans or agreements maintained by the Company or an Affiliated Company other than this Plan

  
 - 16 - 

	 	 
(and, in the sole discretion of the Plan Administrator, any plans or agreements maintained by any other employer, if reported to the Plan Administrator at such time and in such manner as the Plan
Administrator shall prescribe). 

  

	 	(b)	 If contributions made on a Participant’s behalf for the preceding taxable year of the Participant under a Salary Deferral Agreement, and any
other elective deferrals (within the meaning of Section 402(g)(3) of the Code), made on the Participant’s behalf under any other qualified cash or deferred arrangement of the Company for such taxable year exceed $17,500 (or such other
amount as adjusted in accordance with paragraph (a) above), then the Participant shall notify the Plan Administrator in writing by the first March 1 following the close of such taxable year of the amount of such excess. Such notification
shall include a statement that if such amounts are not distributed, the excess deferral amount, when added to amounts deferred under other plans or arrangements described in Section 401(k), 408(k), or 403(b) of the Code, will exceed the limit
imposed on the Participant by Section 402(g) of the Code for the taxable year of the Participant in which the deferral occurred. 

  

	 	(c)	 If the elective deferral limit is exceeded for a Participant for a taxable year, the excess amount, adjusted for the net earnings or losses thereon
through the last day of the Plan Year in which the excess deferral arose, shall be refunded to the Participant in a single payment no later than April 15 of the taxable year following the taxable year in which such excess deferral arose. If the
Participant’s Before-Tax Contribution Account is invested in more than one investment fund, such refund shall be made pro rata, to the extent practicable, from all such investment funds. The amount refunded shall not exceed the
Participant’s Before-Tax Contributions under the Plan for the taxable year. The payment shall be deemed to have been made before the close of the taxable year in which such excess deferral arose. If the Participant fails to notify the Plan
Administrator by the specified March 1, no refund will be made. 

  

	 	(d)	 Notwithstanding the provisions of paragraph (b) above, a Participant’s excess Before-Tax Contributions shall be reduced, but not below
zero, by any distribution of excess contributions made pursuant to Section 4.6 for a Plan Year, provided such excess contributions are distributed on or before March 15 of the Plan Year following the Plan Year in which such excess
contributions arose. 

  
 - 17 - 

 SECTION 4 

COMPANY MATCHING CONTRIBUTIONS 
  

	4.1	 COMPANY MATCHING CONTRIBUTIONS 

The first three percent of Compensation deferred hereunder shall be eligible for Company Matching Contributions. Subject to
Section 11.5, each pay period the Company shall contribute to the Matching Contribution Account of each Participant who is employed by the Company, an amount equal to such Participant’s Before-Tax Contributions up to the first three
percent of such Participant’s Compensation; provided, however, that the maximum contribution rate shall be subject to the maximum limits described in the Plan. Such contributions shall be known as Company Matching Contributions. No Company
Matching Contributions shall be made with respect to the Before-Tax Contributions in excess of three percent of Compensation made on behalf of any Participant. 

Unless the collective bargaining agreement covering a Participant’s bargaining unit states otherwise, when the term of
such collective bargaining agreement expires, unless it is extended, the Company shall not be required to make any Company Matching Contributions with respect to such Participant after such date, and such Participant shall become an inactive
Participant for purposes of Company Matching Contributions under the Plan as of such date. 
  

	4.2	 FORM OF COMPANY MATCHING CONTRIBUTION 

Company Matching Contributions shall be contributed to the Trust Fund in cash no later than the time prescribed by law
(including extensions thereof) for filing the Company’s Federal income tax return for the taxable year of the Company which includes the last day of the Plan Year for which such contributions are made. 

 

	4.3	 COMPANY MATCHING CONTRIBUTIONS REDUCED BY FORFEITURES 

Company Matching Contributions shall be reduced by Forfeitures in accordance with the provisions of Section 4.5. 

 

	4.4	 ESTABLISHMENT OF PARTICIPANT ACCOUNTS 

  

	 	(a)	 The Company shall establish and maintain for each Participant a Total Account consisting of the following three accounts, as described in
Section 1.51, and any such other accounts as may be deemed necessary by the Plan Administrator: 

  

	 	(i)	 Before-Tax Contribution Account; 

  

	 	(ii)	 Matching Contribution Account; and 

  

	 	(iii)	 Rollover Contribution Account. 

  
 - 18 - 

	 	(b)	 Within each account described in paragraph (a) above, separate records shall be kept of the portion, if any, of each account invested in the
funds listed in Section 5.1. 

  

	4.5	 FORFEITURES 

Forfeitures shall be applied, no later than the end of the Plan Year immediately following the Plan Year in which the
Forfeitures occur, in the following order: 
  

	 	(a)	 to pay Plan fees and expenses; 

  

	 	(b)	 to the extent of any remainder to make restorations pursuant to the last sentence of Section 9.7(b); 

 

	 	(c)	 to the extent of any remainder, to reduce future Company Matching Contributions including any other contributions approved by the Plan
Administrator; and 

  

	 	(d)	 to the extent of any remainder, to provide a Company Matching Contribution to be allocated to Participants no later than the Plan Year immediately
following the Plan Year in which the Forfeitures occurred. 

  

	4.6	 NONDISCRIMINATION REQUIREMENTS 

  

	 	(a)	 Actual Deferral Percentage Tests 

  

	 	(i)	 The average Deferral Percentage for the Highly Compensated Employee group shall not exceed the greater of: 

 

	 	(A)	 125 percent (125%) of such percentage for the Nonhighly Compensated Employee group (for the preceding Plan Year if the prior-year testing
method is used); or 

  

	 	(B)	 The lesser of 200 percent (200%) of such percentage for the Nonhighly Compensated Employee group (for the preceding Plan Year if the
prior-year testing method is used), or such percentage for the Nonhighly Compensated Employee group (for the preceding Plan Year if the prior-year testing method is used) plus two (2) percentage points. 

 

	 	 	The Plan Administrator may exclude Nonhighly Compensated Employees who have not attained age 21 and do not have at least one Year of Service from the calculation of the average Deferral Percentage for Nonhighly
Compensated Employees. This special testing rule may only be used in any Plan Year in which the Plan separately satisfies Section 410(b)(1) of the Code with respect to the group of Participants who have not attained age 21 or do not have at
least one Year of Service. 

  
 - 19 - 

	 	(ii)	 The Deferral Percentage for each Participant and the average Deferral Percentage for each group shall be calculated to the nearest one-hundredth of one percent. 

  

	 	(iii)	 A Highly Compensated Employee and a Nonhighly Compensated Employee shall include any Employee eligible to make a deferral election pursuant to
Section 3.1, whether or not such deferral election was made or suspended pursuant to Section 3.3. 

  

	 	 	Notwithstanding the above, if the prior-year testing method is used to calculate the average Deferral Percentage for the Nonhighly Compensated Employee group for the first Plan Year of this amendment and restatement, a
Nonhighly Compensated Employee shall include any such Employee eligible to make a deferral election, whether or not such deferral election was made or suspended, pursuant to the provisions of the Plan in effect for the preceding Plan Year.

  

	 	 	Notwithstanding the above, if two or more plans which include cash or deferred arrangements are permissively aggregated under Regulation 1.410(b)-7(d), all plans permissively aggregated must use either the current-year
testing method or the prior-year testing method for the testing year. 

  

	 	(iv)	 For the purposes of this Section, if a Highly Compensated Employee is a Participant under two or more cash or deferred arrangements of the Company
or an Affiliated Company, all such cash or deferred arrangements shall be treated as one cash or deferred arrangement for the purposes of determining the actual deferral ratio with respect to such participating Highly Compensated Employee. However,
if the cash or deferred arrangements have different plan years, all Before-Tax Contributions made during the Plan Year under all such arrangements shall be aggregated. Notwithstanding the foregoing, cash or deferred arrangements that are not
permitted to be aggregated under Treasury Regulations issued under Section 401(k) of the Code shall be treated as separate arrangements. 

  

	 	(v)	 For the purpose of this Section, when calculating the average Deferral Percentage for the Nonhighly Compensated Employee group, the current-year
testing method shall be used. Any change in the testing method shall be made pursuant to Internal Revenue Service Notice 98-1 (or superseding guidance). 

  
 - 20 - 

	 	(vi)	 The Plan Administrator may amend or revoke the Before-Tax Contributions election of any Participant at any time, if the Plan Administrator
determines that such revocation or amendment is necessary to ensure that the discrimination test described in this Section 4.6(a) is satisfied. 

  

	 	(b)	 Actual Contribution Percentage Tests 

  

	 	(i)	 The Plan Administrator may amend or revoke the Before-Tax Contributions election of any Participant at any time, if the Plan Administrator
determines that such revocation or amendment is necessary to ensure that the discrimination tests of Section 401(m) of the Code are met for such Plan Year. The discrimination tests shall be that the Actual Contribution Percentage for Highly
Compensated Employees for such Plan Year bears a relationship to the Actual Contribution Percentage for all other Eligible Employees for the preceding Plan Year which meets either of the following tests: 

 

	 	(A)	 the Actual Contribution Percentage for the group of Highly Compensated Employees is not more than the Actual Contribution Percentage of all other
Eligible Employees multiplied by 1.25, or 

  

	 	(B)	 the excess of the Actual Contribution Percentage for the group of Highly Compensated Employees over that of all other Eligible Employees is not
more than two percentage points, and the Actual Contribution Percentage for the group of Highly Compensated Employees is not more than the Actual Contribution Percentage of all other Eligible Employees multiplied by two. 

 

	 	(ii)	 The provisions of this Section 4.6(b) are effective for Plan Years beginning on or after January 1, 2013. 

 

	4.7	 ADJUSTMENT TO ACTUAL DEFERRAL PERCENTAGE 

  

	 	(a)	 In the event that Excess Contributions (as such term is hereinafter defined) are made to the Trust Fund for any Plan Year, then, prior to
March 15 of the following Plan Year, such Excess Contributions (plus any income and minus any loss allocable thereto through the last day of the Plan Year in which such Excess Contributions were made) shall be

  
 - 21 - 

	 	 
distributed to the Highly Compensated Employees on the basis of the respective portions of the Excess Contributions attributable to each such Highly Compensated Employee in order of the dollar
amount of Before-Tax Contributions made by or on behalf of such Highly Compensated Employees beginning with the Highly Compensated Employee with the highest dollar amount of Before-Tax Contributions. For the purposes of this Section, the term
“Excess Contributions” shall mean, for any Plan Year, the excess of (a) the aggregate amount of Before-Tax Contributions actually paid to the Trust on behalf of Highly Compensated Employees for such Plan Year over (b) the maximum
amount of Before-Tax Contributions permitted for such Plan Year under Section 4.6(a), determined by hypothetically reducing Before-Tax Contributions made on behalf of Highly Compensated Employees in order of their actual deferral percentage (as
defined in Section 4.6(a)) beginning with the highest of such percentages. 

  

	 	(i)	 With respect to the distribution of Excess Contributions pursuant to this Section 4.7(a), such distribution: 

 

	 	(A)	 May be postponed but not later than the close of the Plan Year following the Plan Year to which they are allocable; 

 

	 	(B)	 Shall be made first from unmatched Before-Tax Contributions and, thereafter, proportionately from Before-Tax Contributions which are matched and
Company Matching Contributions which relate to such deferred compensation, if used in the average Deferral Percentage tests pursuant to Section 4.6(a); and 

 

	 	(C)	 Shall be designated by the Company as a distribution of Excess Contributions (and income). 

 

	 	(ii)	 Any distribution of less than the entire amount of Excess Contributions shall be treated as a pro rata distribution of Excess Contributions and
income. 

  

	 	(iii)	 Company Matching Contributions that relate to Excess Contributions shall be forfeited. 

 

	 	(b)	 Within twelve (12) months after the end of the Plan Year, the Company may make a special Qualified Nonelective Contribution on behalf of
Nonhighly Compensated Employees provided such contribution satisfies the requirements of Treasury Regulation 1.401(k)-2(a)(6). 

  
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	4.8	 ADJUSTMENT TO ACTUAL CONTRIBUTION PERCENTAGE 

 

	 	(a)	 In the event that the Plan should fail to meet the test set forth in Section 4.6(b)(i), the amount of “excess aggregate
contributions” for a Highly Compensated Employee for a Plan Year is to be determined by the following leveling methods: 

  

	 	(i)	 the total dollar amount of excess aggregate contributions is determined by reducing contributions on behalf of Highly Compensated Employees in the
order of their contribution percentages, beginning with the highest of such percentages and continuing until the actual contribution percentage test is satisfied; 

 

	 	(ii)	 the amount determined in (i) above is reallocated beginning with the Highly Compensated Employee with the highest dollar amount of
contributions taken into account in performing the actual contribution percentage test to equal the dollar amount of the Highly Compensated Employee with the next highest dollar amount of such contributions and continuing in succeeding order of the
Highly Compensated Employees until all excess aggregate contributions are accounted for as determined in (i) above; 

  

	 	(iii)	 each Highly Compensated Employee will receive a distribution of his portion of excess aggregate contributions determined in step (ii) above.

  

	 	(b)	 The amount of excess aggregate contributions with respect to an Employee for a Plan Year shall be determined only after first determining the
excess contributions that are treated as Employee contributions for the Plan Year due to recharacterization. For each Highly Compensated Employee, the amount of excess aggregate contributions is equal to the total Company Matching Contributions,
plus Before-Tax Contributions (excluding any Catch-Up Contributions) treated as matching contributions, on behalf of the Participant. 

  

	 	(c)	 Excess aggregate contributions (and income allocable thereto through the last day of the Plan Year in which such excess contributions were made)
are distributed in accordance with this Section 4.8, only if such excess aggregate contributions (and allocable income) are designated by the Plan Administrator as a distribution of excess aggregate contributions (and income) and are
distributed to appropriate Highly Compensated Employees after the close of the Plan Year in which the excess aggregate contributions occurred and within twelve months after the close of the following Plan Year. 

  
 - 23 - 

	 	(d)	 The provisions of this Section 4.8 are effective for Plan Years beginning on or after January 1, 2013. 

 

	4.9	 TESTING PROCEDURES 

In applying the limitations set forth in Section 4.6, the Company may, at its option, utilize such testing procedures as
may be permitted under Sections 401(a)(4), 401(k), 401(m) or 410(b) of the Code, subject to any applicable limitations contained in the regulations, including, without limitation, (1) aggregation of the Plan with one or more other qualified
plans of the Controlled Group, (2) inclusion of qualified matching contributions, qualified non-elective contributions or elective deferrals described in, and meeting the requirements of, Treasury Regulations under Section 401(k) or 401(m)
of the Code made to any other qualified plan of the Controlled Group, (3) exclusion of all Eligible Employees (other than Highly Compensated Employees) who have not met the minimum age and service requirements of section 410(a)(1)(A) of the
Code, or (4) any permissible combination thereof. 
  

	4.10	 AGGREGATION OF PLANS 

In the event this Plan is aggregated with any other plan maintained by the Company or an Affiliated Company and treated as a
single plan for purposes of Sections 401(a)(4) and 410(b) of the Code, all Before-Tax Contributions, and Company Matching Contributions made under such plans shall be treated as made under a single plan, and if two or more of such plans are
permissively aggregated for purposes of Sections 401(k) and 401(m) of the Code, such plans shall be treated as a single plan for purposes of satisfying Section 401(a)(4) and 410(b) of the Code. 

 

	4.11	 DISAGGREGATION OF PLAN 

Notwithstanding anything contained in the Plan to the contrary, in the event the mandatory disaggregation rules under
applicable Treasury Regulations require that this Plan be treated as two (2) or more separate plans, the provisions of the Plan shall be applied separately with respect to each deemed separate plan, as required by law. 

In the case of a deemed separate plan that covers Eligible Employees employed within a classification with respect to which
retirement benefits have been the subject of collective bargaining, the provisions of Sections 4.6, 4.7, and 4.8 shall apply to such deemed separate plan and the provisions of Sections 4.6, 4.7, and 4.8 shall be deemed satisfied by such
deemed separate plan. 

  
 - 24 - 

	4.12	 CODE SECTION 415 LIMITS 

The annual additions made on behalf of a Participant hereunder shall be limited to the extent required by Section 415 of
the Code and rulings, notices and regulations issued thereunder. To the extent applicable, Section 415 of the Code and rulings, notices and regulations issued thereunder are hereby incorporated by reference into this Plan. 

  
 - 25 - 

 SECTION 5 

INVESTMENT PROVISIONS 
  

	5.1	 DESCRIPTION OF FUNDS 

The assets of the Plan shall be invested by the Trustee in accordance with the instructions of the Participants pursuant to
Section 5.2 of the Plan and in accordance with the further provisions of this Section 5.1, and the Trust Agreement, in one or more of the following investment options: 

 

	 	(a)	 Money Market Fund — A fund consisting of securities and obligations which produce a fixed rate of investment return,
including, but not limited to, United States government securities, corporate bonds, notes, debentures, convertible securities, preferred stocks, or an investment fund or funds maintained by the Trustee or other banks or other financial
institutions, or any contracts issued by insurance companies or other financial institutions. 

  

	 	(b)	 Company Stock Fund — A fund designed solely to invest in Company Stock. 

 

	 	(c)	 Investment Option — Such other investment options as may be selected from time to time by the Investment Committee
described in Section 10.6. 

 Nothing in this Section 5.1 shall prohibit the Trustee from
maintaining from time to time reasonable amounts in cash or cash equivalents. See Section 12 for a description of the Timken Stock Fund. 

All dividends, interest and other income of each fund, as well as stock splits, stock dividends, and the like, shall be
reinvested in that fund. 
 Notwithstanding any provision of the Plan to the contrary, (1) the Plan Administrator may
establish rules and procedures relating to the investments in one or more of the investment options, which rules and procedures may be changed from time to time by the Plan Administrator, and (2) the investment options shall be subject to, and
governed by, all applicable legal rules and restrictions and the rules specified by the investment option providers in the fund prospectus(es) or other governing documents thereof (to the extent such rules and procedures are imposed and enforced by
the investment fund provider against the Plan or a particular Participant). Such rules, procedures and restrictions may limit the ability of a Participant to make transfers into or out of a particular investment option and/or may result in
additional transaction fees or other costs relating to such transfers. 

  
 - 26 - 

	5.2	 INVESTMENT ELECTION 

At the time an Eligible Employee elects to participate in the Plan, he must elect, in a form prescribed by the Plan
Administrator, to have contributions invested in the following manner; 
  

	 	(a)	 0%, or in increments of 1 % up to a total of 100% in the Money Market Fund. 

 

	 	(b)	 0%, or in increments of 1 % up to a total of 100% in any of the Investment Options. 

 

	 	(c)	 0%, or in increments of 1 % up to a total of 100% in the Company Stock Fund 

A Participant’s investment election must total 100% of such contributions. In the absence of a valid election by any
Participant, 100% of such contributions and loan repayments shall be credited to such investment fund determined by the Investment Committee described in Section 10.6. 

The provisions of this Section 5.2 are subject to the rules, procedures and restrictions described in Section 5.1. In
furtherance of, but without limiting the foregoing, the Trustee, the Plan Administrator, or any investment option provider (or their delegate, as applicable) may decline to implement any investment election or instruction where it deems appropriate.

  

	5.3	 CHANGE IN INVESTMENT ELECTION 

Each Participant may elect effective on any business day of the year and upon sufficient notice to the recordkeeper appointed
by the Company to have his current and/or future Participant and Company Matching Contributions invested in a proportion different from that previously selected. Such election shall be made in accordance with the percentage specifications provided
in Section 5.2. For purposes of the Plan, a “business day” shall be any day the New York Stock Exchange is open for trading. 

The provisions of this Section 5.3 are subject to the rules, procedures and restrictions described in Section 5.1. In
furtherance of, but without limiting the foregoing, the Trustee, the Plan Administrator, or any investment option provider (or their delegate, as applicable) may decline to implement any investment election or instruction where it deems appropriate.

  

	5.4	 RESPONSIBILITY OF PARTICIPANT IN MAKING INVESTMENT ELECTIONS 

The selection of an investment option in accordance with Sections 5.2 and 5.3 is the sole responsibility of each Participant.
The Plan Administrator, the Trustee, the Company, or any other fiduciary to the Plan are not authorized or permitted to advise a Participant as to the selection of any option or the manner in which such contributions shall be invested. The fact that
a security is available to Participants for investment under the Plan shall not be construed as a 

  
 - 27 - 

 
recommendation as to the purchase of that security, nor shall the designation of an investment option impose any liability on the Plan Administrator, the Trustee, the Company, or any fiduciary to
the Plan. 
 The Plan is intended to comply with the provisions of Section 404(c) of ERISA and the regulations
thereunder. The Plan Administrator, the Trustee, the Company, and any fiduciary of the Plan shall be relieved of liability for any losses that are the result of investment directions given by a Participant, Beneficiary, or any other person
authorized hereunder to direct the investment of any amount allocated to such Participant’s, Beneficiary’s, or other person’s Total Account. The selection of investment option choices and the administration of Plan investments are
intended to comply with the requirements of Section 404(c)(1) of ERISA and the regulations thereunder. 
  

	5.5	 TRANSFER OF FUNDS 

Each Participant may elect upon sufficient notice (or such other form as the Plan Administrator approves) at any time to have
any portion of his Total Account (in dollar amounts or in increments of 1%) in any fund to be transferred to any other fund. 

The provisions of this Section 5.5 are subject to the rules, procedures and restrictions described in Section 5.1. In
furtherance of, but without limiting the foregoing, the Trustee, the Plan Administrator, or any investment option provider (or their delegate, as applicable) may decline to implement any investment election or instruction where it deems appropriate.

  

	5.6	 STOCK RIGHTS, STOCK DIVIDENDS AND STOCK SPLITS 

The Trustee, unless otherwise directed by the Plan Administrator, shall sell any rights which it receives to purchase shares of
Company Stock. The net proceeds of the sale of such rights, and any cash received by the Trustee in connection with a stock dividend representing fractional interests in shares of Company Stock, shall be applied by the Trustee to purchase shares of
Company Stock. The shares so purchased and any shares received by the Trustee as a result of a stock dividend or stock split shall be allocated by the Plan Administrator to the individual accounts of Participants, in proportion to their respective
interests in Company Stock held by the Trust Fund. 

  
 - 28 - 

	5.7	 TRADING RESTRICTIONS 

Subject to Section 12, and notwithstanding any other provision of the Plan to the contrary: 

 

	 	(a)	 The Plan Administrator, in its sole and absolute discretion, may temporarily suspend, in whole or in part, certain Plan transactions, including,
without limitation, the right to change or suspend contributions, and/or the right to receive a distribution, loan or withdrawal from an account in the event of any conversion, change in recordkeeper and/or Plan merger or spinoff.

  

	 	(b)	 The Plan Administrator, in its sole and absolute discretion, may suspend, in whole or in part, temporarily or permanently, Plan transactions
dealing with investments, including without limitation, the right of a Participant to change investment elections or reallocate account balances in the event of any conversion, change in recordkeeper, change in investment options and/or Plan merger
or spinoff. 

  

	 	(c)	 In the event of a change in investment options and/or a Plan merger or spinoff, the Plan Administrator, in its sole and absolute discretion, may
decide to map investments from a Participant’s prior investment fund elections to the then available investment options under the Plan. In the event that investments are mapped in this manner, the Participant shall be permitted to reallocate
funds among the investment options (in accordance with the terms of the Plan and any relevant rules and procedures adopted for this purpose) after the suspension period described in paragraph (a) of this Section 5.7 (if any) is lifted.

  

	 	(d)	 Notwithstanding any provision of the Plan to the contrary, the investment options shall be subject to, and governed by, all applicable legal rules
and restrictions and the rules specified by the investment option providers in the fund prospectus(es) or other governing documents thereof (to the extent such rules and procedures are imposed and enforced by the investment fund provider against the
Plan or a particular Participant). Such rules, procedures and restrictions may limit the ability of a Participant to make transfers into or out of a particular investment option and/or may result in additional transaction fees or other costs
relating to such transfers. In furtherance of, but without limiting the foregoing, Trustee, recordkeeper, Plan Administrator or investment option provider (or their delegate, as applicable) may decline to implement any investment election or
instruction where it deems appropriate. 

  

	5.8	 RECOVERY OF ERRONEOUS PAYMENTS 

In the event of an erroneous payment or payment amount in excess of the Plan’s obligation, the Plan may reduce future
benefits by the amount of the error or may recover the excess directly from the person to or for whom the payment was made. This right of recovery does not limit the Plan’s right to recover an erroneous payment in any other manner. 

  
 - 29 - 

 SECTION 6 

VESTING 
  

	6.1	 VESTING OF PARTICIPANT CONTRIBUTIONS 

A Participant shall be fully Vested in his Before-Tax and Rollover Contribution Accounts at all times. 

 

	6.2	 VESTING OF COMPANY MATCHING CONTRIBUTIONS 

A Participant shall be fully Vested in his Matching Contribution Account at all times. 

  
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 SECTION 7 

DISTRIBUTIONS 
  

	7.1	 DISTRIBUTION ON RETIREMENT, DISABILITY OR OTHER TERMINATION OF SERVICE 

 

	 	(a)	 After retirement at his Normal Retirement Date, date of Disability, or after his termination of employment with the Company and all Affiliated
Companies, the Participant’s entire undistributed Vested interest in the Trust Fund shall be available to be distributed to him in a single lump-sum payment as described in Section 7.2. 

 

	 	(b)	 A Participant who has terminated employment with the Company and all Affiliated Companies shall receive payment (or, if clause (i) of this
Section 7.1(b) applies and the Participant so elects, commence to receive payments) of the Vested portion of the undistributed balance in his Total Account as of one of the following dates: 

 

	 	(i)	 If the value of the Participant’s Vested interest in the Trust Fund at his Benefit Commencement Date exceeds $5,000, the date selected by the
Participant, which shall not be later than April 1 of the calendar year following the calendar year in which the Participant attains age 70-1/2 or terminates employment, whichever is later.

  

	 	(ii)	 If the value of the Participant’s Vested interest in the Trust Fund at his Benefit Commencement Date does not exceed $5,000, the Valuation
Date following his termination of employment with the Company and all Affiliated Companies. 

 Distributions shall be made
as soon as practicable after the applicable Valuation Date, provided the Participant has filed a proper distribution election form with the Plan Administrator, except as provided in the last paragraph of this Section 7.1. If the Participant
fails to make proper application for benefits, distribution shall be made no later than 60 days after the close of the Plan Year in which occurs the latest of the Participant’s (A) Normal Retirement Date, (B) tenth anniversary of Plan
participation, or (C) separation from Service with the Company and all Affiliated Companies. 
 If the amount of distribution available
under this Section 7.1 cannot be determined by the date distribution is required to begin, payment will begin no later than 60 days after the date the amount of distribution can be determined, and shall include payments retroactive to the
required beginning date. 

  
 - 31 - 

 Notwithstanding the foregoing, benefits from the Plan shall begin no later than April 1 of
the calendar year following the calendar year in which the Participant attains age 70 1⁄2 or terminates employment, whichever is later. 

The Plan will make an immediate lump sum distribution to a Participant if the value of the Participant’s Vested interest in the Trust
Fund is not more than $5,000, excluding any Rollover Contributions and any earnings allocable to Rollover Contributions. If the value of a Participant’s Vested interest exceeds $1,000 but does not exceed $5,000, and if the Participant does not
elect, pursuant to Section 7.10, to have his lump sum distribution paid directly to an eligible retirement plan in a direct rollover or to receive the distribution directly, the Plan Administrator shall cause the distribution to be paid in a
direct rollover to an individual retirement plan designated by the Plan Administrator. 
  

	7.2	 LUMP SUM DISTRIBUTIONS 

Lump sum distributions under Sections 7.1 or 7.3 may, at the election of the Participant (or, in the event of his death at the
election of his designated Beneficiary), be made either in the form of cash equal to the value of the Participant’s interest in his Vested Total Account, or in the form of Company Stock equal to all of the Participant’s whole shares in the
Company Stock Fund combined with a cash lump sum equal to the Participant’s fractional shares in the Company Stock Fund plus the remaining value of the Participant’s interest in the remaining funds. All distributions in Company Stock shall
consist of only full shares with the value of any remaining shares being distributed in cash. The conversion of shares of Company Stock to cash shall be based on the closing price per share on the last day on which the stock was traded coincident
with or next preceding the applicable Valuation Date. 
  

	7.3	 DISTRIBUTIONS ON DEATH 

  

	 	(a)	 Upon the death of any Participant whether serving as an active Employee or having terminated his employment for any reason whatsoever and prior to
commencement of, or complete distribution of, his Total Account, his entire remaining Vested interest in the Trust Fund shall be payable to his surviving Spouse as designated Beneficiary, except as provided below. If the Participant does not have a
Spouse as of his date of death, the Participant’s interest shall be paid to his designated Beneficiary. If a Participant’s designated Beneficiary shall have predeceased him, or if the Participant’s designation shall have lapsed or
failed for any reason, payment will be made to the Participant’s estate. 

  
 - 32 - 

 The Participant’s Vested interest may be paid to a designated Beneficiary other than his
Spouse while the Participant’s Spouse is living only with the written consent of the Spouse. A spousal consent under this Section 7.3 must: 
  

	 	(i)	 be in writing on a form provided by the Plan Administrator; 

 

	 	(ii)	 specify the Beneficiary; 

  

	 	(iii)	 acknowledge the effect of such consent; and 

  

	 	(iv)	 be witnessed by a notary public. 

Any such consent will be valid only with respect to the Spouse who signs the consent. A spousal consent is not required, however, if it is
established to the satisfaction of the Plan Administrator that the consent cannot be obtained because (A) there is no Spouse; (B) the Spouse cannot be located; or (C) such other circumstances as the Secretary of the Treasury may
prescribe by regulations. 
 A Participant’s designation of a Beneficiary or Beneficiaries shall not be effective for any purpose
unless and until it has been filed by the Participant with the Plan Administrator, provided, however, that any designation received by the Plan Administrator after the Participant’s death shall take effect upon such receipt, but prospectively
only and without prejudice to any payor or payee on account of any payments made before receipt of such designation by the Plan Administrator. 
  

	 	(b)	 Distribution of the Participant’s Vested interest in the Trust Fund under this Section 7.3 shall be made in a single lump sum payment as
described in Section 7.2. 

  

	 	(c)	 If distribution to the Participant has begun and the Participant dies before his entire interest has been distributed, the remaining portion of the
Participant’s nonforfeitable interest in the Trust Fund shall be distributed at least as rapidly as under the method of payment in effect at the Participant’s date of death. 

 

	 	(d)	 If the Participant dies before commencement of his nonforfeitable interest in the Trust Fund, such interest (reduced by any security interest held
by the Plan by reason of a loan outstanding to the Participant) shall be distributed to the Participant’s designated Beneficiary in a single lump sum cash payment within 90 days after the date the Participant’s death is reported to the
Plan Administrator, or within a reasonable period of time thereafter, and provided the designated Beneficiary has filed a proper distribution election form with the Plan Administrator. 

  
 - 33 - 

 Except as provided in paragraph (e) below, distribution to a designated
Beneficiary shall begin no later than the earlier of (i) December 31 of the calendar year containing the fifth anniversary of the Participant’s date of death, or (ii) December 31 of the calendar year in which the deceased
Participant would have attained age 70-1/2. 
  

	 	(e)	 If the Participant’s designated Beneficiary is his Spouse, such Spouse may elect to defer distribution until December 31 of the calendar
year in which the deceased Participant would have attained age 70-1/2. Such election must be made no later than the date distribution is required to begin under paragraph (d) above. If the Participant’s Spouse dies before any distribution
is made, the provisions of this Section 7.3 shall be applied as though the Spouse was the Participant. 

  

	 	(f)	 If the amount of distribution available under this Section 7.3 cannot be determined by the date distribution is required to begin, payment
will be made no later than 60 days after the date the amount of distribution can be determined, and shall include payments retroactive to the required beginning date. 

 

	7.4	 INVESTMENT OF DEFERRED DISTRIBUTIONS 

If a Participant defers receipt of a distribution of his Total Account in accordance with this Section, his Total Account shall
continue to be invested in accordance with the provisions of Section 5 until his Total Account is distributed to him. 
  

	7.5	 PROOF OF DEATH 

The Plan Administrator may, as a condition precedent to making payment to any Beneficiary, require that a death certificate,
burial certificate, or other evidence of death acceptable to it be furnished. 
  

	7.6	 LOAN AS A DISTRIBUTION 

In the event a Participant is eligible to receive a distribution in accordance with this Section 7, he shall be given the
opportunity to repay his outstanding loan balance, if any. Repayment must be made prior to the date of distribution. If the Participant fails to fully repay his outstanding loan balance at the time a lump-sum distribution is made to him, the
Participant’s loan shall be deemed canceled and the remaining outstanding loan balance shall be treated as part of the Participant’s lump sum distribution. 

  
 - 34 - 

 If the Participant fails to fully repay his outstanding loan balance at the time
the first payment of an installment is made to him, the Participant’s loan shall be deemed canceled and the remaining loan balance shall be treated as though it had been distributed to the Participant on the Valuation Date as of which his first
installment payment is made. The outstanding loan balance shall not be taken into account in determining the amount of installment payments. 
  

	7.7	 DISTRIBUTION TO ALTERNATE PAYEES 

The Plan Administrator may authorize the Trustee to make a lump sum distribution to an Alternate Payee pursuant to a Qualified
Domestic Relations Order as soon as administratively practicable after the Valuation Date next following the earlier of: 
  

	 	(a)	 The date the Participant terminates employment; 

  

	 	(b)	 The date the Participant is entitled to a distribution under the Plan; or 

 

	 	(c)	 The date the Alternate Payee elects to receive a distribution from the Plan; provided the Alternate Payee has filed a request for distribution with
the Plan Administrator. 

  

	 	(d)	 The date the Plan Administrator determines that the order is a Qualified Domestic Relations Order, subject to any deferred distribution date
specified in the Qualified Domestic Relations Order, provided the Alternate Payee has filed a request for distribution with the Plan Administrator. 

If the Alternate Payee’s nonforfeitable interest in the Plan does not exceed $5,000, distribution to the Alternate Payee
shall be made at the earliest possible date described above. 
  

	7.8	 NOTICE TO PAYEES 

At the time a Participant or Beneficiary makes application for benefits, the Plan Administrator shall furnish the individual
with a written notice of distribution. 
  

	7.9	 RESTRICTIONS ON DISTRIBUTIONS 

  

	 	(a)	 Notwithstanding any other provision of the Plan, a Participant’s Before-Tax Contribution Account shall not be distributable prior to his
termination of employment with the Company and all Affiliated Companies, Disability, or death, except: 

  

	 	(i)	 in cases of hardship, as provided in Section 8.1; or 

 

	 	(ii)	 upon termination of the Plan without establishment or maintenance of another defined contribution plan (other than an employee stock ownership plan
as defined in Section 4975(e)(7) of the Code). 

  
 - 35 - 

 No distribution shall be authorized by paragraph (ii) above, unless the
distribution qualifies as a “lump sum distribution” within the meaning of Section 401(k)(10)(B)(ii) of the Code. 
  

	 	(b)	 All distributions made from this Plan shall comply with the requirements of Section 401(a)(9) of the Code notwithstanding any other provisions
of the Plan to the contrary. 

  

	7.10	 ELIGIBLE ROLLOVER DISTRIBUTIONS 

Notwithstanding any provisions of the Plan to the contrary that would otherwise limit a Distributee’s election under this
Section 7.10, a Distributee may elect, at the time and in the manner prescribed by the Plan Administrator, to have any portion of an Eligible Rollover Distribution equal to at least $500 transferred to an Eligible Retirement Plan specified by
the Distributee in a Direct Rollover. 
 Definitions: 

 

	 	(a)	 Eligible Rollover Distribution: An Eligible Rollover Distribution is any distribution of all or any portion of the balance to the credit of
the Distributee, except that an Eligible Rollover Distribution does not include: any distribution that is one of a series of substantially equal periodic payments (not less frequently than annually) made for the life (or life expectancy) of the
Distributee or the joint lives (or joint life expectancies) of the Distributee and the Distributee’s designated Beneficiary, or for a specified period of ten years or more; any distribution to the extent such distribution is required under
Section 401(a)(9) of the Code; any distribution that is made upon the hardship of the employee; the portion of any distribution that is not includable in gross income (determined without regard to the exclusion for net unrealized appreciation
with respect to employer securities); and any other distribution that is reasonably expected to total less than $200 during a year. Notwithstanding the foregoing, a portion of a distribution shall not fail to be an Eligible Rollover Distribution
merely because the portion consists of after-tax employee contributions which are not includable in gross income. However, such portion may be transferred only to an individual retirement account or annuity described in Section 408(a) or
(b) of the Code, or to a qualified defined contribution plan described in Section 401(a) or 403(a) of the Code that agrees to separately account for amounts so transferred, including separately accounting for the portion of such
distribution which is includable in gross income and the portion of such distribution which is not so includable. 

  
 - 36 - 

	 	(b)	 Eligible Retirement Plan: An Eligible Retirement Plan is an individual retirement account described in Section 408(a) of the Code, an
individual retirement annuity described in Section 408(b) of the Code, an annuity plan described in Section 403(a) of the Code, a qualified trust described in Section 401(a) of the Code, an annuity contract described in
Section 403(b) of the Code, or an eligible plan under Section 457(b) of the Code 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 that accepts
the Distributee’s Eligible Rollover Distribution and agrees to separately account for amounts rolled into such plan from the Plan, and, effective January 1, 2008, a Roth IRA described in Section 408A(b) of the Code.

  

	 	(c)	 Distributee: A Distributee includes an Employee or former Employee. In addition, the Employee’s or former Employee’s surviving
Spouse and the Employee’s or former Employee’s Spouse or former Spouse who is the alternate payee under a qualified domestic relations order, as defined in Section 414(p) of the Code, are Distributees with regard to the interest of
the Spouse or former Spouse. A Distributee also includes an Employee’s designated Beneficiary but only with respect to the following Eligible Retirement Plans: an individual retirement account described in Section 408(a) of the Code and an
individual retirement annuity described in Section 408(b) of the Code. 

  

	 	(d)	 Direct Rollover: A Direct Rollover is the payment by the Plan to the Eligible Retirement Plan specified by the Distributee.

  

	7.11	 REQUIRED MINIMUM DISTRIBUTIONS 

  

	 	(a)	 General Rules. 

  

	 	(i)	 The requirements of this Section 7.11 shall apply to any distribution of a Participant’s Account and shall take precedence over any
inconsistent provisions of this Plan, provided that the requirements of this Section 7.11 shall not enlarge the distribution options currently available to Participants and Beneficiaries under the other provisions of Section 7.11 of the
Plan. 

  

	 	(ii)	 All distributions required under this Section shall be determined and made in accordance with the regulations under Section 401(a)(9) of the
Code. 

  

	 	(iii)	 Except as otherwise provided in Section 7.11(l), the Plan will apply the minimum distribution requirements of Section 401(a)(9) of the
Code in accordance with the regulations under Section 401(a)(9) promulgated on April 17, 2002, notwithstanding any provisions of the Plan to the contrary. 

  
 - 37 - 

	 	(b)	 Distributions Commencing During a Participant’s Lifetime. 

 

	 	(i)	 To the extent required by Section 401(a)(9) of the Code and the regulations promulgated thereunder, the entire interest of a Participant must
be distributed to such Participant no later than the Participant’s Required Beginning Date, or must be distributed, beginning not later than the Required Beginning Date, over the life of the Participant or joint lives of the Participant and
designated Beneficiary or over a period not extending beyond the life expectancy of the Participant or the joint life and last survivor expectancy of the Participant and the designated Beneficiary. 

 

	 	(ii)	 Required Beginning Date means, for a Participant who is a five percent owner (as defined in Section 416 of the Code), April 1 of the
calendar year following the calendar year in which he attains age 70  1⁄2. 

 

	 	(iii)	 Required Beginning Date means, for any Participant who is not a five percent owner (as defined in Section 416 of the Code), April 1 of
the calendar year following the later of the calendar year in which he attains age 70  1⁄2 or the calendar year of his Retirement. 

 

	 	(iv)	 The applicable distribution period for required minimum distributions for distribution calendar years up to and including the distribution calendar
year that includes the Participant’s death is determined using the Internal Revenue Service’s Uniform Lifetime Table for the Participant’s age as of the Participant’s birthday in the relevant distribution calendar year.

  

	 	(c)	 Distributions Before Required Beginning Date. Lifetime distributions made before the Participant’s Required Beginning Date for calendar
years before the Participant’s first distribution calendar year, need not be made in accordance with this Section 7.11. However, if distributions commence before the Participant’s Required Beginning Date under a particular
distribution option, the distribution option fails to satisfy the provisions of Section 401(a)(9) of the Code at the time distributions commence, if under the terms of the particular distribution option, distributions to be made for the
Participant’s first distribution calendar year or any subsequent distribution calendar year fail to satisfy Section 401(a)(9) of the Code. 

  
 - 38 - 

	 	(d)	 Death After Distributions Have Begun. If distribution of the Participant’s interest has begun and the Participant dies before his
entire interest has been distributed to him, the remaining portion of such interest will continue to be distributed at least as rapidly as under the method of distribution being used prior to the Participant’s death. The applicable distribution
period for distribution calendar years after the distribution calendar year containing the Participant’s death is either the longer of the remaining life expectancy of the Participant’s designated Beneficiary or the remaining life
expectancy of the Participant. If the Beneficiary is not an individual or does not otherwise meet the requirements of Section 401(a)(9) of the Code, the remaining life expectancy of the Participant must be utilized. 

 

	 	(e)	 Death Before Required Beginning Date. If the Participant dies before his Required Beginning Date and distribution of his interest,
distribution of the Participant’s entire interest shall be completed by December 31 of the calendar year containing the fifth anniversary of the Participant’s death. 

 

	 	(f)	 Minimum Distribution Amount. 

  

	 	 	 If a Participant’s benefit is to be distributed over: 

 

	 	(i)	 a period not extending beyond the life expectancy of the Participant or the joint life and last survivor expectancy of the Participant and the
Participant’s designated Beneficiary, or 

  

	 	(ii)	 a period not extending beyond the life expectancy of the designated Beneficiary, 

 

	 	 	 the amount required to be distributed for each calendar year beginning with the distributions for the first distribution calendar year, must be at
least equal to the quotient obtained by dividing the Participant’s benefit by the applicable distribution period. For distribution calendar years up to and including the distribution calendar year that includes the Participant’s death, the
required minimum distribution amount is determined under the Uniform Lifetime Tables promulgated by the Internal Revenue Service for the Participant’s age as of his birthday in the relevant distribution calendar year. If a Participant dies on
or after the Required Beginning Date, the distribution period available for calculating the amount that must be distributed during the distribution calendar year that includes the Participant’s death is determined as if the Participant had
lived throughout the year. If the sole designated Beneficiary of a Participant is the Participant’s surviving Spouse, for required minimum distributions during the 

  
 - 39 - 

	 	 
Participant’s lifetime, the applicable distribution period is the longer of the distribution period determined in accordance with the preceding three sentences or the joint life expectancy
of the Participant and Spouse using the Participant’s and Spouse’s attained ages as of the Participant’s and Spouse’s birthdays in the distribution calendar year. The Spouse is the sole designated Beneficiary for purposes of
determining the applicable distribution period only if the Spouse is the sole Beneficiary of the Participant’s entire interest at all times during the distribution calendar year. 

 

	 	(g)	 Life expectancies for purposes of determining required minimum distributions must be computed using the Single Life Table and the Joint and Last
Survivor Table promulgated by the Internal Revenue Service. 

  

	 	(h)	 If distributions are made in accordance with this Section 7.11, the minimum distribution incidental benefit requirement is satisfied.

  

	 	(i)	 Timing of Distributions. The minimum distribution required for the Participant’s first distribution calendar year must be made on or
before the Participant’s Required Beginning Date. The minimum distribution for other calendar years, including the minimum distribution for the distribution calendar year in which the Participant’s Required Beginning Date occurs, must be
made on or before December 31 of that calendar year. 

  

	 	(j)	 Distribution to a Charitable Organization. If a Participant selects as his Beneficiary a tax-exempt organization qualified under
Section 501(c)(3) of the Code, any interest under the Plan payable to said tax-exempt organization must be distributed no later than September 30 of the calendar year following calendar year in which the Participant dies.

  

	 	(k)	 Multiple Plans. If a Participant is a participant in more than one qualified retirement plan, the plans in which the Participant
participates are not permitted to be aggregated for purposes of testing whether the distribution requirements are met. The distribution of the benefit of the Participant under each plan must separately meet the requirements. 

 

	 	(l)	 2009 Required Minimum Distributions. 

  

	 	(i)	 2009 RMDs. Notwithstanding the preceding provisions of this Section 7.11, a Participant or Beneficiary who would have been required to
receive required minimum distributions for 2009 but for the enactment of Section 401(a)(9)(H) of the Code (“2009 RMDs”), and who would have satisfied that requirement by receiving distributions that are equal to the 2009 RMDs, will
not receive those 

  
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distributions for 2009 unless the Participant or Beneficiary chooses to receive such distributions. Participants and Beneficiaries described in the preceding sentence will be given the
opportunity to elect to receive the distributions described in the preceding sentence. In addition, notwithstanding Section 7.10 of the Plan, and solely for purposes of applying the direct rollover provisions of the Plan, 2009 RMDs will be
treated as eligible rollover distributions on or after June 8, 2009. Prior to June 8, 2009, a direct rollover was offered only for distributions that would be eligible rollover distributions without regard to Section 401(a)(9)(H) of
the Code. 

  

	 	(ii)	 Extended 2009 RMDs. Notwithstanding the preceding provisions of this Section 7.11, a Participant or Beneficiary who would have been
required to receive 2009 RMDs but for the enactment of Section 401(a)(9)(H) of the Code, and who would have satisfied that requirement by receiving distributions that are one or more payments in a series of substantially equal distributions
(that include the 2009 RMDs) made at least annually and expected to last for the life (or life expectancy) of the Participant, the joint lives (or joint life expectancy) of the Participant and the Participant’s designated Beneficiary, or for a
period of at least 10 years (“Extended 2009 RMDs”), will receive those distributions for 2009 unless the Participant or Beneficiary chooses not to receive such distributions. For purposes of applying the direct rollover provisions of
Section 7.10 of the Plan, Extended 2009 RMDs are not treated as eligible rollover distributions. 

  

	 	(iii)	 Rollover Contributions. Subject to the timing requirements outlined in applicable rules and regulations, a Participant may contribute to the
Trust as a Rollover Contribution any 2009 RMDs and Extended 2009 RMDs distributed from the Plan to the Participant. 

  
 - 41 - 

 SECTION 8 

WITHDRAWALS AND LOANS DURING EMPLOYMENT 
  

	8.1	 HARDSHIP WITHDRAWALS 

  

	 	(a)	 A Participant may request a hardship withdrawal, subject to the approval of the Plan Administrator, in an amount which does not exceed the amount
required to meet the immediate and heavy financial need created by the hardship and provided the Participant has obtained all distributions (including distributions of ESOP dividends under section 404(k) of the Code but not hardship distributions)
and all nontaxable loans available under all qualified plans maintained by the Company or an Affiliated Company (including, without limitation, any qualified and non-qualified deferred compensation plan and any cash or deferred arrangement that is
part of a cafeteria plan (other than mandatory employee contributions under a welfare plan or pension plan)). 

The Plan Administrator will not approve a hardship withdrawal for less than $200. The Plan Administrator shall promptly review
the hardship withdrawal request and notify the Participant that the request has been approved or disapproved. The Plan Administrator shall approve requests for hardship withdrawals using the objective criteria set forth in paragraph (b) below
as well as documentary evidence submitted by the Participant to substantiate the reason for and the amount of the need. The only discretion to be exercised by the Plan Administrator is that which is reasonably necessary to determine whether the
objective conditions have been met. 
 In the event amounts are withdrawn from the Participant’s Before-Tax
Contributions Account in accordance with this Section 8.1, Participant Contributions made under Section 3.1 (or any comparable contributions to any other plan maintained by the Controlled Group, including, without limitation, any
non-qualified deferred compensation plan, any cash or deferred arrangement that is part of a cafeteria plan (other than mandatory employee contributions under a welfare plan or pension plan) and any stock option, stock purchase or similar plan)
shall be suspended for a period of six consecutive months commencing the next available pay period following the date of withdrawal. 

  
 - 42 - 

	 	(b)	 For purposes of this Section, a withdrawal shall be deemed to be made on account of an immediate and heavy financial need of the Participant if the
withdrawal is on account of: 

  

	 	(i)	 expenses for (or necessary to obtain) medical care that would be deductible under Section 213(d) of the Code (determined without regard to
whether the expenses exceed 7.5% of adjusted gross income); 

  

	 	(ii)	 costs directly related to the purchase (excluding mortgage payments) of a principal residence for the Participant; 

 

	 	(iii)	 payment of tuition, related educational fees, and room and board expenses for up to the next twelve months of post-secondary education for the
Participant, the Participant’s Spouse, children or dependents (as defined in Code Section 152, and, for taxable years beginning on or after January 1, 2005, without regard to Code Section 152(b)(1), (b)(2), or (d)(1)(B));

  

	 	(iv)	 payments necessary to prevent the eviction of the Participant from the Participant’s principal residence or foreclosure on the mortgage of
that principal residence; 

  

	 	(v)	 payment for burial or funeral expenses for the Participant’s deceased parent, Spouse, children or dependents (as defined in Section 152
of the Code, and, for taxable years beginning on or after January 1, 2005, without regard to Section 152(d)(1)(B) of the Code); or 

  

	 	(vi)	 expenses for the repair of damage to the Participant’s principal residence that would qualify for the casualty deduction under
Section 165 of the Code (determined without regard to whether the loss exceeds 10% of adjusted gross income). 

  

	 	(c)	 A hardship withdrawal made by a Participant under this Section 8.1 shall be withdrawn from the Participant’s Total Account:

  

	 	(i)	 First, from the Vested balance in his Matching Contribution Account; 

 

	 	(ii)	 Next, from the balance in his Before-Tax Contribution Account. 

 

	 	(d)	 Amounts withdrawn under paragraph (c) above shall be debited from each Fund (except the Loan Fund) in proportion to the balance of each
account from which the withdrawal to be made is invested in such Fund. 

  

	 	(e)	 Requests for hardship withdrawals may be made at any time, but not more frequently than once a year for reasons other than payment of
post-secondary education expenses. Requests for hardship withdrawals for payment of post-secondary education expenses 

  
 - 43 - 

	 	 
may be made as often as every calendar quarter, and may be made in addition to a withdrawal for a non-tuition payment reason. All withdrawal elections shall be made by a Participant on written
forms supplied by the Trustee for that purpose. 

  

	8.2	 RESTORATION OF WITHDRAWALS 

A Participant shall not be permitted to restore to the Plan any amounts withdrawn under the provisions of Section 8.1.

  

	8.3	 TIMING OF WITHDRAWALS 

All withdrawals shall be made as soon as practicable after the Valuation Date designated by the Participant in his election.
The Plan Administrator in its discretion may authorize an advance payment in an amount equal to all or a portion of the amount of the requested withdrawal, with the balance, if any, to be made as soon as practicable after such Valuation Date. To the
extent that any withdrawals are made from the Company Stock Fund or Timken Stock Fund, such withdrawals shall be made in cash. Withdrawals of shares are not permitted. 
  

	8.4	 LOANS 

A Participant or any beneficiary who is a party in interest (as defined in Section 3(14) of ERISA) may obtain a loan from
the Trust for any reason upon proper application to the Trust pursuant to procedures established by the Company. For purposes of this Section 8.4, the term “Participant” shall include an Alternate Payee described in the preceding
sentence. The nature and amount of the loan must conform to the following rules and limits: 
  

	 	(a)	 The Participant may borrow only from such Participant’s Vested interest in his Total Account. 

 

	 	(b)	 The minimum loan amount is $1,000. 

  

	 	(c)	 The maximum loan amount is the lesser of (i) 50 percent (50%) of the Participant’s Vested interest in his Total Account reduced by
any current outstanding loan balance or (ii) $50,000, reduced by the Participant’s highest outstanding loan balance from the Plan during the one-year period ending on the day before the date on which
such loan is made. The Trustee will accept only the Participant’s accrued benefit as collateral for loans. 

  

	 	(d)	 The term of the loan cannot exceed five (5) years, except that the term of a loan made for the purpose of purchasing a primary residence
cannot exceed thirty (30) years. The term of a loan that is not for the purchase of a primary residence may be extended beyond five (5) years for a Participant on military leave from the Company with the term of the extension not to exceed the
length of such military leave. 

  
 - 44 - 

	 	(e)	 A Participant may have only one loan from this Plan in effect at any one time and may apply for a subsequent loan immediately after his previous
loan is paid in full. 

  

	 	(f)	 The Company will establish the rate of interest to be charged on all loan balances. This rate of interest will be one percent (1%) in excess
of the prime rate as published in the Wall Street Journal on the first business day of the month in which the loan is granted. A Participant on a military leave from the Company may be entitled to the interest rate reduction provided in the
Soldiers’ and Sailors’ Civil Relief Act of 1940. 

  

	 	(g)	 The loan shall be repaid by the Participant, if the Participant is an active Employee, through payroll deduction (at least quarterly) as
established by the loan agreement. If the borrower is not an active Employee, the borrower and the Company shall agree to a repayment schedule which shall be incorporated in the loan agreement. 

 

	 	(h)	 The loan may be repaid in full at a date earlier than provided in the loan agreement with no penalty. 

 

	 	(i)	 Any loan fees will be charged to the Participant’s Account. 

 

	 	(j)	 Interest paid by the Participant in excess of loan fees, if any, will be credited directly to the Participant’s account.

  

	 	(k)	 The loan amount will be taken on a pro-rata basis from the beneficial loan interest in all investment options at the time of the loan and on a
pro-rata basis from Company, Participant and Rollover Contributions at the time of the loan. Repayments will be redeposited into the Participant’s current investment options and contributions using the current ratio. 

 

	 	(l)	 If a Participant or Beneficiary does not repay a loan which he may have from the Plan, the Trustee will declare such loan to be in default when the
loan is in arrears of repayment for more than 90 days. The Trustee may take steps to preserve Plan assets, if necessary, in the event of such default. Once default has been established, the amount of the loan in default (unpaid principal and the
interest accrued thereon) shall be treated as a distribution from the Plan in the Plan Year in which the default occurs. The amount of the default will not constitute part of subsequent distributions from the Trust. 

  
 - 45 - 

	 	(m)	 The Plan Administrator may agree to a suspension of loan payments for up to twelve (12) months for a Participant who is on a Leave of Absence
without pay. During the suspension period, interest shall continue to accrue on the outstanding loan balance. At the expiration of the suspension period, all outstanding loan payments and accrued interest thereon shall be due unless otherwise agreed
upon by the Plan Administrator. 

  

	 	(n)	 The proceeds of the loan cannot be applied toward the purchase of any securities. 

 

	 	(o)	 Loan repayments will be suspended under this Plan as permitted under Section 414(u) of the Code. 

 

	8.5	 TIMING OF LOANS 

Loans may be applied for on any business day. 
  

	8.6	 COMPLIANCE WITH LAW 

The rules and limits for this loan provision may be changed from time to time to comply with the Internal Revenue Code and with
regulations issued thereunder. 

  
 - 46 - 

 SECTION 9 

ADMINISTRATION OF THE PLAN 
  

	9.1	 THE PLAN ADMINISTRATOR 

TimkenSteel Corporation is the named fiduciary of the Plan and the Plan Administrator, unless it appoints a Plan Administrator.

  

	9.2	 POWERS OF THE PLAN ADMINISTRATOR 

The Plan Administrator shall have the sole responsibility for the administration of the Plan with all powers necessary to
enable it properly to carry out its duties in that respect, and its decisions upon all matters within the scope of its authority shall be final. Subject to this Section 9 and ERISA, the Plan Administrator shall have and shall exercise complete
discretionary authority to construe, interpret, and apply all of the terms of the Plan, including all matters relating to eligibility for benefits, amount, time or form of benefits, and any disputed or doubtful terms. In exercising such discretion,
the Plan Administrator shall give controlling weight to the intent of the sponsor of the Plan. Specifically, but not in limitation of the broad power herein conferred, the Plan Administrator shall have the power, pursuant to the Plan, to: 

 

	 	(a)	 Determine the following: 

  

	 	(i)	 Whether a person working for the Company is an Eligible Employee within the definition of that term as used in the Plan; 

 

	 	(ii)	 The Service of any such Employee; 

  

	 	(iii)	 All other questions involving construction of the Plan or any of the terms or provisions thereof. 

 

	 	(b)	 Examine the administration by the Trustee of the Trust Fund, to take action where necessary regarding any acts or omissions of the Trustee in the
administration of the Trust Fund and to make any claim against the Trustee for negligence or otherwise with reference to such acts or omissions. The responsibility of the Plan Administrator in this area is limited to administrative actions and
procedures of the Plan Administrator and does not include investment policies, practices or management. 

  

	 	(c)	 Engage an independent qualified public accountant to conduct an examination of any financial statement of the Plan so as to enable him to conduct
an opinion as to any other financial statements necessary for the operation of the Plan. 

  
 - 47 - 

	 	(d)	 Appoint such agents and subcommittees as it may deem necessary for the effective exercise of its powers and duties and to delegate to such agents
and subcommittees any powers and duties, both ministerial and discretionary, as the said Plan Administrator shall deem expedient and appropriate. 

  

	 	(e)	 Authorize the Trustee to incur expenses not provided for in the Trust Agreement and to reimburse the Trustee for any expenses so incurred.

  

	 	(f)	 Adopt such rules of procedure as it shall deem necessary in the administration of the Plan, including, but not limited to, procedures for
presenting claims for benefits under the Plan and for review of claims which are denied in whole or in part, and procedures for complying with the requirements of Section 414(p) of the Code with respect to Qualified Domestic Relations Orders.

  

	 	(g)	 Establish rules and procedures governing investment elections and directions of Participants under the Plan, as specified in Section 5.1.

 The decision of the Plan Administrator made in good faith upon any matter within the scope of its
authority shall be final, but the Plan Administrator at all times in carrying out its decisions shall act in a uniform and nondiscriminatory manner and may from time to time set down uniform rules of interpretation and administration, which rules
may be modified from time to time. 
  

	9.3	 PLAN ADMINISTRATION 

The Plan Administrator shall have responsibility for the administration of this Plan, including power to construe this Plan, to
determine all questions that shall arise hereunder, including particularly questions on eligibility and participation of Employees and allocations of Company Matching Contributions to Participants’ Accounts and all matters necessary for it
properly to discharge its duties, powers and obligations and to apply its established policies concerning the employment status of Participants. 
  

	 	(a)	 The Plan Administrator will make all determinations as to the right of any person to benefits under the Plan in accordance with the governing Plan
documents and will ensure that Plan provisions are applied consistently with respect to similarly situated claimants. Any denial by the Plan Administrator of a claim for benefits under the Plan (other than a claim subject to Section 9.10) by a
claimant, who may be a Participant or a Beneficiary, will be stated in writing by the Plan Administrator and delivered or mailed to the claimant within a reasonable period of time, but not later than 90 days after receipt of the claim by the Plan,
unless the Plan Administrator determines that special circumstances 

  
 - 48 - 

	 	 
require an extension of time for processing the claim. Written notice of the extension shall be furnished to the claimant prior to the termination of the initial 90-day period. The extension
notice shall indicate the special circumstances requiring an extension of time and the day by which the Plan expects to render the benefit determination, which cannot exceed a period of 90 days from the end of the initial determination period.

  

	 	(b)	 The Plan Administrator shall provide a claimant with written or electronic notification of any adverse benefit determination. The notification
shall set forth in a manner calculated to be understood by the claimant: 

  

	 	(i)	 The specific reason or reasons for the adverse benefit determination; 

 

	 	(ii)	 Reference to the specific plan provisions on which the determination is based; 

 

	 	(iii)	 A description of any additional material or information necessary for the claimant to perfect the claim and an explanation of why such material or
information is necessary; 

  

	 	(iv)	 A description of the Plan’s review procedures and the time limits applicable to such procedures, including a statement of the claimant’s
right to bring a civil action under Section 502(a) of the Act following an adverse benefit determination on review. 

  

	 	(c)	 In addition, the Plan Administrator will provide an opportunity to any claimant whose claim for benefits has been denied an opportunity for a full
and fair review of the denial. As part of the review, the Plan Administrator will: 

  

	 	(i)	 Provide a claimant at least 60 days following receipt of notification of an adverse benefit determination within which to appeal the determination;

  

	 	(ii)	 Provide a claimant the opportunity to submit written comments, documents, records, and other information relating to the claim for benefits;

  

	 	(iii)	 Provide that a claimant shall be provided, upon request and free of charge, reasonable access to, and copies of, all documents, records, and other
information relevant to the claimant’s claim for benefits; 

  

	 	(iv)	 Provide for a review that takes into account all comments, documents, records, and other information submitted by the claimant relating to the
claim, without regard to whether such information was submitted or considered in the initial benefit determination. 

  
 - 49 - 

	 	(d)	 The Plan Administrator shall provide a claimant with written or electronic notification of the Plan’s benefits determination on review within
60 days after the Plan Administrator receives the request for review. In the case of an adverse benefit determination, the notification shall set forth, in a manner calculated to be understood by the claimant: 

 

	 	(i)	 The specific reason or reasons for the adverse benefit determination; 

 

	 	(ii)	 Reference to the specific plan provisions on which the determination is based; 

 

	 	(iii)	 A statement that the claimant is entitled to receive, upon request and free of charge, reasonable access to, and copies of, all documents, records,
and other information relevant to the claimant’s claim for benefits; 

  

	 	(iv)	 A statement describing any voluntary appeal procedures offered by the Plan and the claimant’s right to obtain the information about such
procedures and a statement of the claimant’s right to bring an action under Section 502(a) of ERISA. 

  

	9.4	 INDEMNIFICATION 

The Company may indemnify all persons, including Employees, who are or may be determined to be fiduciaries as that term is
defined in ERISA, including independent professional advisors and service organizations which it is contractually obligated to indemnify to the extent permitted by law against any and all claims, loss, damages, expenses and liability from any action
or failure to act except when such action or failure to act is due to the gross negligence, willful misconduct of willful breach of fiduciary duty of such person. 
  

	9.5	 FIDUCIARY INSURANCE 

The Company may secure to the extent practicable and maintain in full force and effect insurance on behalf of all persons,
including Employees, who are or may be determined to be fiduciaries, as that term is defined in ERISA, including independent professional advisors and service organizations which it is contractually obligated to indemnify, to cover liability or
losses occurring by reason of the act or omission of each such person, unless such act or omission is due to the gross negligence, willful misconduct or willful breach of fiduciary duty of such person, and may secure and maintain in full force and
effect insurance on behalf of other independent professional advisors and service organizations which are or may be determined to be fiduciaries, as that term is defined in ERISA. 

  
 - 50 - 

	9.6	 FILINGS WITH THE PLAN ADMINISTRATOR 

For all purposes of the Plan, any designation or change of Beneficiary, distribution election, or other form or document
required under the Plan shall become effective only upon receipt by the Plan Administrator or its delegate of such written designation, change, or election, or other form or document. 

 

	9.7	 PAYEE UNKNOWN 

  

	 	(a)	 If the Plan Administrator is unable after any benefit becomes due hereunder to authorize payment because the whereabouts of a Participant or
Beneficiary cannot be ascertained, the Plan Administrator shall send written notice of such benefit to the Participant or Beneficiary at his last known mailing address as shown by the records of the Company. The Total Account payable to the
Participant or Beneficiary shall continue to be maintained until the earlier of: 

  

	 	(i)	 the date the Participant or Beneficiary entitled to the benefit makes application therefor, or 

 

	 	(ii)	 the fifth anniversary of the Participant’s or Beneficiary’s Benefit Commencement Date. 

 

	 	(b)	 If the Plan Administrator, after making a reasonably diligent effort, cannot locate the Participant or Beneficiary for a period of five years, the
amount payable to such Participant or Beneficiary shall be forfeited on the Valuation Date next following the fifth anniversary of the Participant’s or Beneficiary’s Benefit Commencement Date. Forfeitures arising under this
Section 9.7 shall be applied as provided in Section 4.5. 

 Should the Participant or
Beneficiary subsequently make application for benefits, the amount so forfeited shall be paid to the Participant or Beneficiary, and the Company shall reimburse the Trust Fund for the payment by making a special contribution for such purpose or by
using Forfeitures. 
  

	9.8	 RELIANCE ON STATEMENTS OF PARTICIPANTS AND BENEFICIARIES 

The Company, any Affiliated Company, the Plan Administrator, and the Trustee may rely upon any certificate, statement, or other
representation made to them by any Employee, Participant, Spouse, or other Beneficiary with respect to age, length of service, Leave of Absence, date of cessation of employment, marital status, or other fact required to be determined under any of
the provisions of this Plan, and shall not be liable on account of any payment or the performance of any act in reliance upon any such certificate, statement, or other representation. 

  
 - 51 - 

 Any such certificate, statement or other representation made by an Employee or
Participant shall be conclusively binding upon such Employee or Participant and his Spouse or other Beneficiary, and such Employee, Participant, Spouse, or Beneficiary shall thereafter and forever be estopped from disputing the truth and correctness
of such certificate, statement, or other representation. 
  

	9.9	 DISTRIBUTION TO MINORS AND INCAPACITATED PAYEES 

In the event a distribution is to be made to a minor or an adult unable to attend to his affairs for any reason (including, but
not limited to, illness, infirmity, or mental incapacity), the Plan Administrator may in its discretion direct that such distribution be made (a) directly to him, or (b) to the parent or other legal guardian, Plan Administrator, or
conservator of such person, or to a custodian for a minor Beneficiary under the Uniform Gifts to Minors Act. Payment to any such person shall fully discharge the Plan Administrator, Trustee, Company, and Plan from further liability on account
thereof. 
  

	9.10	 CLAIMS FOR DISABILITY BENEFITS 

  

	 	(a)	 Notwithstanding the foregoing provisions of this Section 9, any denial by the Plan Administrator of a claim for benefits with respect to a
Participant’s Disability will be stated in writing by the Plan Administrator and delivered or mailed to the claimant within a reasonable period of time, but not later than 45 days after receipt of the claim by the Plan, unless the Plan
Administrator determines that special circumstances require an extension of time for processing the claim, due to matters beyond the control of the Plan Administrator. Written notice of the extension shall be furnished to the claimant prior to the
termination of the initial 45-day period. The extension notice shall indicate the special circumstances requiring an extension of time and the day by which the Plan expects to render the benefit determination, which cannot exceed a period of 30 days
from the end of the initial determination period. Additionally, if, prior to the end of the first 30-day extension period, the Plan Administrator determines that special circumstances require an extension of time for processing the claim, due to
matters beyond the control of the Plan Administrator, the period for making the determination may be extended for up to an additional 30 days. Written notice of the second extension shall be furnished to the claimant prior to the termination of the
first 30-day extension period. The second extension notice shall indicate the special circumstances requiring an 

  
 - 52 - 

	 	 
extension of time and the day by which the Plan Administrator expects to render a decision, which cannot exceed a period of 30 days from the end of the first 30-day extension period. Any notice
of extension under this Section 9.10(a) shall also specifically explain the standards on which entitlement to a benefit is based, the unresolved issues that prevent a decision on the claim, and the additional information needed to resolve the
issues. The claimant shall be afforded at least 45 days within which to provide the specified information. Additionally, in the event that a period of time is extended due to a claimant’s failure to submit information necessary to decide a
claim, the period for making the benefit determination shall be tolled from the date on which the notification of the extension is sent to the claimant until the date on which the claimant responds to the request for additional information.

  

	 	(b)	 The Plan Administrator shall provide a claimant with written or electronic notification of any adverse benefit determination with respect to a
Participant’s Disability. The notification shall set forth in a manner calculated to be understood by the claimant: 

  

	 	(i)	 The specific reason or reasons for the adverse benefit determination; 

 

	 	(ii)	 Reference to the specific plan provisions on which the determination is based; 

 

	 	(iii)	 A description of any additional material or information necessary for the claimant to perfect the claim and an explanation of why such material or
information is necessary; 

  

	 	(iv)	 A description of the Plan’s review procedures and the time limits applicable to such procedures, including a statement of the claimant’s
right to bring a civil action under Section 502(a) of ERISA following an adverse benefit determination on review; 

  

	 	(v)	 A specific reference to the internal rule, guideline, protocol or other similar criterion, if any, that was relied upon in making the adverse
determination or a statement that such rule, guideline, protocol, or other similar criterion, if any, was relied upon in making the adverse determination and that a copy of such rule, guideline, protocol, or other similar criterion will be provided
free of charge to the claimant upon request. 

  

	 	(c)	 In addition, the Plan Administrator will provide an opportunity to any claimant whose claim for benefits has been denied under this
Section 9.10 an opportunity for a full and fair review of the denial by a named fiduciary designated by the Plan Administrator that 

  
 - 53 - 

	 	 
is neither the individual who made the adverse benefit determination that is the subject of the appeal, nor the subordinate of such individual. As part of the review, the named fiduciary will:

  

	 	(i)	 Provide a claimant at least 180 days following receipt of notification of an adverse benefit determination within which to appeal the
determination; 

  

	 	(ii)	 Provide a claimant the opportunity to submit written comments, documents, records, and other information relating to the claim for benefits;

  

	 	(iii)	 Provide that a claimant shall be provided, upon request and free of charge, reasonable access to, and copies of, all documents, records, and other
information relevant to the claimant’s claim for benefits; 

  

	 	(iv)	 Provide for a review that takes into account all comments, documents, records, and other information submitted by the claimant relating to the
claim, without regard to whether such information was submitted or considered in the initial benefit determination; 

  

	 	(v)	 Provide for a review that does not afford deference to the initial adverse benefit determination; 

 

	 	(vi)	 Provide that, in deciding any appeal of any adverse benefit determination that is based in whole or in part on a medical judgment, the named
fiduciary shall consult with a health care professional who has appropriate training and experience in the field of medicine involved in the medical judgment and who is neither the individual who was consulted in connection with the adverse benefit
determination that is the subject of the appeal, nor the subordinate of any such individual; 

  

	 	(vii)	 Provide for the identification of medical or vocational experts whose advice was obtained on behalf of the Plan in connection with the
claimant’s adverse benefit determination, without regard to whether the advice was relied upon in making the initial benefit determination. 

  

	 	(d)	 The named fiduciary shall provide a claimant with written or electronic notification of the Plan’s benefits determination on review within 45
days after the Plan receives the request for review, unless the named fiduciary determines that special circumstances require an extension of time for processing the claim. Written notice of the extension shall be

  
 - 54 - 

	 	 
furnished to the claimant prior to the termination of the initial 45-day period. The extension notice shall indicate the special circumstances requiring an extension of time and the day by which
the named fiduciary expects to render the benefit determination, which cannot exceed a period of 45 days from the end of the initial determination period. In the case of an adverse benefit determination, the notification shall set forth, in a manner
calculated to be understood by the claimant: 

  

	 	(i)	 The specific reason or reasons for the adverse benefit determination; 

 

	 	(ii)	 Reference to the specific plan provisions on which the determination is based; 

 

	 	(iii)	 A statement that the claimant is entitled to receive, upon request and free of charge, reasonable access to, and copies of, all documents, records,
and other information relevant to the claimant’s claim for benefits; 

  

	 	(iv)	 A statement describing any voluntary appeal procedures offered by the Plan and the claimant’s right to obtain the information about such
procedures and a statement of the claimant’s right to bring an action under Section 502(a) of ERISA 

  

	 	(v)	 A specific reference to the internal rule, guideline, protocol or other similar criterion, if any, that was relied upon in making the adverse
determination or a statement that such rule, guideline, protocol, or other similar criterion, if any, was relied upon in making the adverse determination and that a copy of such rule, guideline, protocol, or other similar criterion will be provided
free of charge to the claimant upon request. 

 To the extent permitted by applicable law, the
determination on review shall be final and binding on all interested persons. In performing the duties under this Section 9.10, the named fiduciary shall have the same powers to interpret the Plan and make factual findings with respect thereto
as are granted to the Plan Administrator under Section 9.2. 

  
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 SECTION 10 

ADMINISTRATION OF THE TRUST 
  

	10.1	 TRUST AGREEMENT 

The Company has entered into a Trust Agreement, hereinbefore and hereinafter referred to as “the Trust Agreement”.

  

	10.2	 PROVISIONS OF THE TRUST AGREEMENT 

Pursuant to the terms and provisions of the Trust Agreement, such Trustees as the Company may appoint, will receive and invest
all contributions made under the Plan by the Company and by the Participants to the Trust Fund held by the Trustees and all income derived therefrom. The Company may remove the Trustee and may appoint successor or additional trustees and may divide
their duties and responsibilities as it sees fit. 
  

	10.3	 EXCLUSIVE BENEFIT OF PARTICIPANTS 

All assets of the Trust Fund, whether representing contributions made by the Company or by the Participants, shall be held by
the Trustees as a trust fund for the benefit of Participants and Beneficiaries under the Plan. In no event shall it be possible at any time prior to the satisfaction of all liabilities, fixed or contingent, under the Plan, for any part of the assets
of the Trust Fund whether principal or income, to be used for, or diverted to, purposes other than for the exclusive benefit of such Participants and their Beneficiaries. 
  

	10.4	 DIRECTIONS OF THE PLAN ADMINISTRATOR 

The Trust Agreement also specifically provides, among other things, for the investment or reinvestment of the Trust Fund and
the income derived therefrom, and for the management of such Trust Fund, the responsibilities and immunities of the Trustees, the removal of the Trustees and the appointment of successors, accountings by the Trustees and the disbursement of the
Trust Fund in accordance with the direction of the Plan Administrator. 
  

	10.5	 COORDINATION OF PLAN AND TRUST AGREEMENT 

The rights of all persons under the Plan are subject to all the terms and provisions of said Trust Agreement. 

  
 - 56 - 

	10.6	 INVESTMENT COMMITTEE 

The “Investment Committee” of TimkenSteel Corporation shall exercise all powers under the Plan which relate to the
investment policy, practice and management of the assets of the Plan, including the selection of the investment funds hereunder, subject to the requirements of the Plan. In furtherance of its duties it may engage investment managers, who may be
authorized to direct the Trustee in the making of investments, and may discharge any investment manager so engaged and engage other investment managers at any time in its sole judgment. The Investment Committee is the named fiduciary for investment
policy of the Trust Fund. 
  

	10.7	 RETURN OF CONTRIBUTIONS 

Nothing herein shall prohibit a return to the Company, within one year after payment, of excess sums contributed to the Trust
Fund as a result of a mistake of fact. In the event that the Commissioner of Internal Revenue (or his delegate) determines that the Plan is not initially qualified under the Code, any Company Matching Contributions made to the Plan shall be returned
to the Company within one year after the date the initial qualification is denied, provided application for qualification is made by the time prescribed by law for filing the Company’s return for the taxable year in which the Plan is adopted,
or such later date as the Secretary of the Treasury may prescribe. 
 Each Company Matching Contribution is conditioned on
the deductibility of the contribution under Section 404 of the Code, and to the extent such contribution is disallowed, the contribution shall be returned to the Company within one year after the date of disallowance. 

  
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 SECTION 11 

AMENDMENT, TERMINATION, OR MERGER OF THE PLAN 
  

	11.1	 RIGHT TO AMEND 

The Company expressly reserves the right to amend or discontinue the Plan by action of the Board at any time. 

The Board or the Plan Administrator shall have the authority to waive requirements as to eligibility in the case of those
Participants whose standing has changed so as to otherwise render them ineligible to participate. No amendment may be made which will deprive any Employee of any interest hereunder that has accrued to him. 

 

	11.2	 RIGHT TO TERMINATE 

The Plan may be terminated at any time by resolution of the Board provided that no such action shall permit any part of the
assets of the Trust Fund, whether principal or income, to revert to the Company or to be used for or diverted to purposes other than for the exclusive benefit of Participants and their Beneficiaries until all liabilities, fixed or contingent, under
the Plan with respect to such Participants and Beneficiaries shall have been satisfied in full. 
  

	11.3	 NOTICE OF TERMINATION 

In the event that the Company determines to amend or discontinue the Plan, in whole or in part, the Company will give the Plan
Administrator and the Trustee at least one month’s prior written notice thereof. 
  

	11.4	 TERMINATION OF TRUST 

If the Plan is terminated, all of the Participants’ Total Accounts shall be nonforfeitable. The Trust Fund shall be
revalued as of the date the remaining assets are to be distributed, and the then current value of all Total Accounts shall be distributed in the manner described in Section 7. 

If another defined contribution plan (other than an employee stock ownership plan as defined in Section 4975(e)(7) of the
Code) is established or maintained (within the meaning of Section 401(k)(10)(A)(i) of the Code) distribution shall not be made until a Participant’s actual separation from service (within the meaning of Section 401(k)(2)(B) of the
Code). 
 Until all Total Accounts are fully distributed, any remaining Total Accounts held in the Trust Fund shall continue
to be adjusted in accordance with the provisions of Section 5. 

  
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	11.5	 DISCONTINUANCE OF CONTRIBUTIONS 

The Company may at any time, by written resolution of the Board, completely discontinue its participation in and contributions
under the Plan. If the Company completely discontinues its contributions under the Plan, either by resolution of the Board or for any other reason, and such discontinuance is deemed a partial termination of the Plan within the meaning of
Section 411(d)(3) of the Code, the amounts credited to the Total Accounts of all affected Participants (other than Participants who, in connection with the discontinuance of Company Matching Contributions, transfer employment to a Company which
continues to contribute under the Plan) shall be nonforfeitable. 
  

	11.6	 MERGER OF PLANS 

Subject to the provisions of this Section, the Plan may be amended to provide for the merger of the Plan with, or a transfer of
all or part of its assets to, any other qualified plan within the meaning of Section 401(a) of the Code. In the case of any merger or consolidation with, or transfer of assets or liabilities to, any other plan, each Participant in this Plan
shall be entitled to a benefit immediately after such merger, consolidation, or transfer equal to or greater than the benefit the Participant would have received if the Plan had been terminated immediately prior to the merger, consolidation, or
transfer. 

  
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 SECTION 12 

TIMKEN STOCK FUND 
  

	12.1	 GENERAL 

In addition to the investment options described in Section 5.1, an investment fund consisting primarily of common shares
of Timken (the “Timken Stock Fund”) shall be maintained in the Plan. Except for cash or cash equivalent investments determined by the Investment Committee to be required to facilitate Participant transactions out of the Timken Stock Fund,
the Timken Stock Fund shall be invested exclusively in Timken Stock. Any cash dividends paid with respect to Timken Stock shall be paid to the Plan and reinvested initially in the same investment options the Participant has selected pursuant to
Section 5.2, or, if the Participant has made no such elections, reinvested in any investment option or options, excluding the Timken Stock Fund, selected in a manner determined by the Investment Committee until such time as the Participant
selects investment options. 
 The Timken Stock Fund shall be a “frozen” fund initially holding the shares of
Timken Stock received from the Prior Plan in connection with the Spinoff. No Before-Tax Contributions, Catch-Up Contributions, Company Matching Contributions or Rollover Contributions may be invested in the Timken Stock Fund and a Participant may
not request a fund transfer to the Timken Stock Fund. A Participant may, however, request fund transfers from the Timken Stock Fund to any other investment option pursuant to the rules for fund transfers described in Section 5.5. 

The Timken Stock Fund is maintained in recognition of the fact that Transferred Participants may have a personal and
professional dedication to, and history of investment in, Timken, and that offering the Timken Stock Fund as an investment option provides Transferred Participants with the ability to preserve their personal affiliation with Timken through
investment if they so choose. 
 In light of the historical relationship between the Company and Timken, and the availability
of other investment options under the Plan through which Participants may construct a diversified portfolio of investments consistent with their individual desired level of risk and return, the Company intends that the Timken Stock Fund be
maintained as a design feature of the Plan, without regard to the investment return of the Timken Stock Fund in comparison to any performance measure that might be appropriate for any other investment option. No Plan fiduciary shall have the
authority to direct the sale of Timken Stock or to remove the Timken Stock Fund as an investment option, provided that the Investment Committee may remove the 

  
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Timken Stock Fund as an investment option and sell the remaining Timken Stock if the Investment Committee determines that (i) the level of continued investment by Participants in the Timken
Stock Fund is not sufficient to reasonably justify the administrative and recordkeeping expense of maintaining the fund, or (ii) no prudent investor would choose to invest any assets in Timken Stock, even as part of a diversified portfolio
based on the investor’s individual risk and return preferences and the Plan’s available investment options. 
  

	12.2	 VOTING AND TENDER OF TIMKEN STOCK  

Each Participant, each Beneficiary who has succeeded to the interest of a Participant and each Alternate Payee (“Eligible
Participants and Beneficiaries”) in this Plan shall have the authority to direct the exercise of voting rights as to whole shares of Timken Stock for the benefit of the Eligible Participant or Beneficiary as of the most current Valuation Date
available preceding the record date for the shareholders’ meeting. The Trustee shall furnish Timken’s Annual Report, Notice of Annual Meeting, Proxy Statement, Proxy Card and other shareholder information to each Eligible Participant and
Beneficiary and shall solicit each Eligible Participant’s and Beneficiary’s vote; the Company reserves the option to retain the Trustee to perform these services. All other shares of Timken Stock held in the Trust Fund, including shares
not voted by Eligible Participants or Beneficiaries or not yet allocated to Eligible Participants or Beneficiaries, are to be voted by the Trustee in conformity with applicable law, taking into account votes directed by Eligible Participants and
Beneficiaries. 

  
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 SECTION 13 

MISCELLANEOUS PROVISIONS 
  

	13.1	 GENDER 

Whenever the word “he” or “his” or “him” is used in the Plan, such word is intended to embrace
within its purview the word “she” or “her”, as may be appropriate. 
  

	13.2	 INVESTMENTS AND EXPENSES 

All Trustees’ fees, investment manager’s fees and administrative costs shall be borne by the Company, except for
investment manager fees charged by the Investment Options shall be borne by the Plan. 
  

	13.3	 VOTING AND TENDER OF COMPANY STOCK 

Eligible Participants and Beneficiaries (as defined in Section 12.2) in this Plan shall have the authority to direct the
exercise of voting rights as to whole shares of Company Stock for the benefit of the Eligible Participant or Beneficiary as of the most current Valuation Date available preceding the record date for the shareholders’ meeting. The Trustee shall
furnish the Company’s Annual Report, Notice of Annual Meeting, Proxy Statement, Proxy Card and other shareholder information to each Eligible Participant and Beneficiary and shall solicit each Eligible Participant’s and Beneficiary’s
vote; the Company reserves the option to retain the Trustee to perform these services. All other shares of Company Stock held in the Trust Fund, including shares not voted by Eligible Participants or Beneficiaries or not yet allocated to Eligible
Participants or Beneficiaries, are to be voted by the Trustee in conformity with applicable law, taking into account votes directed by Eligible Participants and Beneficiaries. 
  

	13.4	 STATEMENTS OF ACCOUNTS 

The Plan Administrator shall cause to be furnished to each Participant on a quarterly basis, but no less frequently than once
in each Plan Year, a statement showing the value of his Total Account invested in each investment Fund and the Vested portion of his Total Account. 
  

	13.5	 NONALIENABILlTY OF BENEFITS 

Participants and Beneficiaries are entitled to all the benefits specifically set out under the terms of the Plan, but neither
those benefits nor any of the property rights in the Plan are assignable or distributable to any creditor or other claimant of a Participant or Beneficiary. A Participant will not have the right to anticipate, assign, pledge, accelerate or in any
way dispose of or encumber any of the monies or benefits or other property that may be payable or become payable to such 

  
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Participant or his Beneficiary provided, however, the Plan Administrator shall recognize and comply with a valid Qualified Domestic Relations Order as defined in Section 414(p) of the Code.
The first sentence of this Section 13.5 shall not apply with respect to any offset to a Participant’s benefits expressly provided for in a judgment, order, decree or settlement agreement described in Section 401(a)(13)(C) of the Code.

  

	13.6	 ACQUISITIONS AND DIVESTITURES 

  

	 	(a)	 If the Company or a wholly-owned domestic subsidiary of the Company shall acquire either all or substantially all of the assets or shares of stock
of any other company or business in the United States, and if such other company or business becomes a Participating Subsidiary hereunder, the Company, in the discretion of the Board of Directors, or such Plan Administrator as it may appoint, may
authorize that service with such acquired company or business shall be taken into account for any period prior to the date on which such other company or business was acquired. 

 

	 	(b)	 If the Company shall sell either all or substantially all of the assets or shares of stock of any subsidiary, division or unit of the Company, or
if the Company shall sell either all or substantially all of the shares of stock of any joint venture in which the Company is a partner, the Company, in the discretion of the Board, or such Plan Administrator as it may appoint, may direct any or all
of the following actions be taken with respect to Participants employed on the date of sale by such subsidiary, division, unit or joint venture: 

  

	 	(i)	 The Participants’ entire interest in all Funds shall be transferred to the Money Market Fund pending distribution of all or a portion of such
interest to such Participants or to a successor trustee under another qualified plan and trust to which such Participants shall participate; 

  

	 	(ii)	 Any outstanding loan balance shall be repaid in full or shall be deemed a withdrawal under Section 8.4 of the Plan; 

 

	 	(iii)	 Any such other action which the Board, or such officer as it may appoint, deems necessary or advisable under the circumstances, provided that such
action shall be applied in a uniform and nondiscriminatory manner to all Participants of such Participating Subsidiary. 

  
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	13.7	 CHANGE IN OPERATIONS 

In the event the operations of any subsidiary, division, unit or plant of the Company changes due to the occurrence of any
event which the Board, or such Plan Administrator as it may appoint, deems to result in a layoff or termination of employment of any Participant employed by such subsidiary, division, unit or plant, the Board, or such Plan Administrator as it may
appoint, may direct any action be taken with respect to those Participants who are laid off or whose employment has been terminated as a result of such change in operations, which the Board, or such Plan Administrator as it may appoint, deems
necessary or advisable under the circumstances, provided that such action shall be applied in a uniform and nondiscriminatory manner to all Participants similarly situated. 
  

	13.8	 LIMITATION ON DISTRIBUTIONS 

Notwithstanding any provision of this Plan regarding payment to Participants, Beneficiaries or any other person, the Plan
Administrator may withhold payment to any person if the Plan Administrator determines that such payment may expose the Plan to conflicting claims for payment. As a condition for any payments, the Plan Administrator may require such consent,
representations, releases, waivers or other information, as it deems appropriate. To the extent required by law, the Plan Administrator shall comply with the terms of any judgment or other judicial decree, order, settlement or agreement including,
but not limited to, a Qualified Domestic Relations Order as defined in Section 414(p) of the Code. 
  

	13.9	 LIMITATION ON REVERSION OF CONTRIBUTIONS 

Except as provided in subsections (a) through (c) below, Company Matching Contributions made under the Plan will be
held for the exclusive benefit of Participants or Beneficiaries and may not revert to the Company. 
  

	 	(a)	 A contribution made by the Company under a mistake of fact may be returned to the Company within one (1) year after it is contributed to the
Plan. 

  

	 	(b)	 A contribution may be returned to the Company, if the Plan does not initially qualify under Sections 401(a) and 501(a) of the Code, within one
(1) year after the date the Plan is denied qualification. 

  

	 	(c)	 A contribution that is not deductible under Section 404 of the Code shall be returned, to the extent the deduction is disallowed, to the
Company within one (1) year after the disallowance. 

  
 - 64 - 

 The maximum contribution that may be returned to the Company will not exceed the
amount actually contributed to the Plan, or the value of such contribution on the date it is returned to the Company, if less. 
  

	13.10	 VOLUNTARY PLAN 

The Plan is purely voluntary on the part of the Company and neither the establishment of the Plan nor any Plan amendment nor
the creation of any fund or account, nor the payment of any benefits will be construed as giving any Employee or any other person a legal or equitable right against the Company, any Affiliate, any trustee, any funding agent or the Plan Administrator
unless specifically provided for in this Plan or conferred by affirmative action of the Plan Administrator or the Company according to the terms and provisions of this Plan. Such actions will not be construed as giving any Employee or Participant
the right to be retained in the service of any Company or Affiliated Company. All Employees and Participants will remain subject to discharge to the same extent as though this Plan had not been established. The Trust Fund shall be the sole source of
all distributions or other benefits provided for in the Plan and the Company shall not be liable or responsible therefor. 
  

	13.11	 LIMITATION OF THIRD PARTY RIGHTS 

Nothing expressed or implied in the Plan is intended or will be construed to confer upon or give to any person, firm or
association other than the Company, Participants and Beneficiaries, and their successors in interest, any right, remedy or claim under or by reason of this Plan, except as otherwise provided in Section 13.5. 

 

	13.12	 INVALID PROVISIONS 

In case any provision of this Plan is held illegal or invalid for any reason, the illegality or invalidity will not affect the
remaining parts of the Plan. The Plan will be construed and enforced as if the illegal and invalid provisions had never been included. 
  

	13.13	 ONE PLAN 

This Plan may be executed in any number of counterparts, each of which will be deemed an original and the counterparts will
constitute one and the same instrument and may be sufficiently evidenced by any one counterpart. 

  
 - 65 - 

	13.14	 GOVERNING LAW 

The Plan will be governed by and construed according to the federal laws governing employee benefit plans qualified under the
Code and according to the laws of the state of Ohio where such laws are not in conflict with the federal laws. 
  

	13.15	 TRADE CONTROL POLICY 

Commencing with transactions with an effective date of October 1, 2006, Plan Participants who exchange any amount out of a
mutual fund or a similar type of product or fund under the Plan will be prohibited from purchasing shares of the same mutual fund through an exchange transaction for 30 calendar days (the “Trade Control Policy”). 

The Trade Control Policy will not apply to the following: 

 

	 	(a)	 money-market mutual funds. 

  

	 	(b)	 actively managed separate accounts or lifestyle portfolios – mutual fund companies and other investment managers may impose additional trade
control policies as a requirement for the Plan to include their products in the Plan lineup, or as an underlying security in an actively managed separate account or lifestyle type of portfolio. 

 

	 	(c)	 purchase transactions: 

  

	 	(i)	 contribution processing, including Participant payroll, Company Matching Contributions, loan repayments, and rollovers. 

 

	 	(ii)	 fund dividends or capital gain distributions. 

  

	 	(d)	 redemption transactions: 

  

	 	(i)	 distributions, loans, and in-service withdrawals from the Plan. 

 

	 	(ii)	 Plan termination at the discretion and direction of the Plan sponsor or other fiduciary. 

 

	 	(iii)	 payment of fund or Account fees. 

  

	 	(e)	 conversions of shares from one class to another in the same fund. 

 

	 	(f)	 re-registration of shares. 

The Trade Control Policy will also not apply to Company Stock or Timken Stock because it is not a mutual fund or similar type
of product or fund to which this policy applies. 

  
 - 66 - 

 Transactions initiated by a retirement plan’s service provider or a similar
program will be exempt from the Trade Control Policy. Reallocation and rebalancing transactions initiated by Plan Participants (whether the Participant is acting alone or utilizing an investment advisor, investment advisory service or other Plan
feature) will not be exempt from the Trade Control Policy. 

  
 - 67 - 

 IN WITNESS WHEREOF, the Company has caused this instrument to be executed
by its duly authorized representative effective as of the 30th day of June, 2014. 
  

											
	 Date:
	 	         June 30, 2014
	 		 	 By:
	 	 /s/ Donald L. Walker

		 		 		 		 	 Name:
	 	 Donald L. Walker

		 		 		 		 	 Title:
	 	 Executive Vice President –

		 		 		 		 		 	 Human Resources and

		 		 		 		 		 	 Organizational Advancement

  
 - 68 -

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