Document:

exv10w54

 

Exhibit 10.54

Severance Plan for U.S. Senior Vice Presidents

As a Senior Vice President, you are entitled to severance benefits in the event your employment is
terminated by Biogen Idec other than For Cause or for reason of death or Disability (as these terms
are defined in the Biogen Idec 2005 Omnibus Equity Plan).

Benefits

Your severance benefits are comprised of (i) a lump sum payment (as calculated below), (ii) upon
completion of the appropriate forms, continuation of your participation in Biogen Idec’s group
medical and dental insurance plans, to the same extent permitted by COBRA and to the same extent
such insurance is then provided to regular employees of Biogen Idec, including payment by you of a
portion of the insurance premiums (i.e., the “Insurance Benefit”) and (iii) the reasonable cost of
up to nine months of executive-level outplacement services from a recognized provider of such
services, at the expense of Biogen Idec (upon receipt of appropriate documentation).

The lump sum severance payment is calculated as follows:

[9 + (A x 2)] x B = lump sum payment

	 	 	 
	where:

	 	A is the number of full years of service with Biogen Idec (but A x 2 may not exceed 9),
and B is the monthly equivalent of your target annual cash compensation at the time of your
termination (i.e., one-twelfth of the sum of your then annual base salary plus target annual
bonus).

The following are examples of how the lump sum payment and Insurance Benefit Period are determined:

If your employment with Biogen Idec is terminated after 10 months of employment, you will
receive a lump sum payment equal to nine months of your target annual cash compensation and
continue to participate in Biogen Idec’s group medical and dental plans for nine months, unless
you become eligible to participate in another employer’s medical and dental plans before that
date. COBRA continuation of medical and dental benefits is available, at your own expense, for
an additional nine months after this nine-month Insurance Benefit Period.

If your employment with Biogen Idec is terminated after five years, you will receive a lump sum
payment equal to 18 months [9+9] of your target annual cash compensation and continue to
participate in Biogen Idec’s group medical and dental plans for 18 months, unless you become
eligible to participate in another employer’s medical and dental plans before that date.

If at any time within two years following a Corporate Transaction or Corporate Change in Control
(as these terms are defined in Biogen Idec’s 2005 Omnibus Equity Plan) your employment is
terminated by Biogen Idec or the succeeding corporate entity, other than For Cause or for reason of
death or Disability (as these terms are defined in Biogen Idec’s 2005 Omnibus Equity Plan), or you
experience an Involuntary Employment Action (defined below) and as a result you terminate your
employment with Biogen Idec or the succeeding corporate entity, then, regardless of the length of
your service with Biogen Idec and the succeeding corporate entity, and in lieu of the formula set
forth above, you will receive a lump sum payment equivalent to 18 months of your target annual cash
compensation at the time of your termination or at the time of a Corporate Transaction or Corporate
Change in Control, whichever is higher. In addition, you will be entitled to continue participating
in Biogen Idec’s group medical and dental plans for 18 months, unless you become eligible to
participate in another employer’s medical and dental plans before that date. The term “Involuntary
Employment Action” shall have the definition set forth in Biogen
Idec’s 2005 Omnibus Equity Plan, provided, however, that the term “Corporate Transaction” used in
that definition shall be deemed to mean either a Corporate Transaction or Change in Control, as the
case may be, and provided also that prior to your termination of employment you have notified the
Chief Legal Counsel or the Head of Human Resources of Biogen Idec in writing of the basis for your
Involuntary Employment Action, you have given such notice within one year of the circumstances
giving rise to your Involuntary Employment Action and Biogen Idec does not cure such circumstances
within 30 days after the date of your notice.

			
	 	 	 
	Adopted October 1, 2007
	 	Page 1 of 5

 

 

Severance Plan for U.S. Senior Vice Presidents

Delivery of Benefits

Payment and provision of all the benefits provided under this arrangement are conditioned on your
execution and delivery of all necessary forms and an irrevocable general release in favor of Biogen
Idec, in form and substance reasonably acceptable to Biogen Idec, with respect to any and all
claims relating to your employment and the termination of your employment with Biogen Idec. If you
retire or voluntarily terminate your employment with Biogen Idec, or Biogen Idec terminates your
employment For Cause or for reason of death or Disability (as these terms are defined in Biogen
Idec’s 2005 Omnibus Equity Plan), or you do not provide the requisite general release, you will not
be eligible to receive the severance benefits described above.

If all other conditions of this arrangement are met, a lump sum payment (less applicable taxes and
other mandatory deductions as required by law) will be paid to you following the termination of
your employment, no later than the first to occur of: a) 90 days following your termination of your
employment with Biogen Idec and b) March 15 of the year following the calendar year in which
termination of employment occurs, unless you are a “specified employee” as defined in Section 409A
of the Internal Revenue Code of 1986, as amended (i.e., “Section 409A”). (If all preconditions to
payment, including the delivery of an irrevocable general release, are not satisfied prior to the
earlier of these two dates, payment to you may be delayed and you may incur additional tax
liabilities under Section 409A.) If you are a “specified employee”, to the extent required by
Section 409A, payment will not be made to you before the date which is six months after you
“separate from service” (or, if earlier, your date of death or Disability) unless the payment
qualifies as excepted welfare benefits under Section 409A, does not constitute a “deferral of
compensation” under Section 409A or is otherwise not subject to the requirements of Section 409A.

The Insurance Benefit will continue until the earlier of (i) the date you become eligible to
participate in the medical and dental insurance plan of another employer or (ii) the date that is
[9 + (A x 2)] months, but not more than 18 months (or 18 months in the case of a Corporate
Transaction or Change in Control), following the termination of your employment with Biogen Idec
(the “Insurance Benefit Period”). You will have the right, at your own expense, to continue your
participation in Biogen Idec’s group medical and dental insurance plans at the expiration of the
Insurance Benefit Period, pursuant to the provisions of COBRA, but only for an 18-month period that
will be deemed to have commenced at the start of your severance.

General

Biogen Idec shall administer and shall have the discretionary authority to adopt rules for the
management and operation of this arrangement, to interpret the provisions of the arrangement and to
construe the terms of the severance arrangement in its sole discretion. The decision of Biogen
Idec, or the duly authorized delegate, is final and conclusive for all purposes.

The severance arrangement may be amended, modified, suspended or terminated by Biogen Idec at any
time; provided that the severance arrangement may not be amended or terminated without your written
consent for a period of two years following a Corporate Transaction or a Change in Control.

This arrangement is unfunded. This arrangement will benefit and bind Biogen Idec and its successors
and permitted assigns and you and your heirs, executors and legal representatives. You do not have
any right to transfer or assign your benefits under this arrangement.

This arrangement shall be construed, administered and enforced according to the laws of the State
of Delaware, except to the extent that such laws are preempted by the federal laws of the United
States of America.

			
	 	 	 
	Adopted October 1, 2007
	 	Page 2 of 5

 

 

Severance Plan for U.S. Senior Vice Presidents

 

Additional Summary Plan Description Information

	 	 	 	 	 	 	 	 
	 	 	 	 
	Description	 	 	This document describes a Plan which is subject to the Employee Retirement Income
Security Act of 1974 (ERISA). This document constitutes the Summary Plan Description
(SPD) and Plan Document. Benefit determinations are controlled exclusively by this SPD
and Plan Document.
	 	 	 	 
	Name of Plan	 	 	Severance Plan for U. S. Senior Vice Presidents
	 	 	 	 
	Name and Address of
Employer	 	 	Biogen Idec Inc.

Fourteen Cambridge Center

Cambridge, Massachusetts 02142
	 	 	 	 
	Plan Identification 

Number	 	 	Employer IRS Identification #: 04-3002117

Plan #: 522
	 	 	 	 
	Type of Welfare Plan	 	 	Severance
	 	 	 	 
	ERISA Plan Year Ends	 	 	December 31
	 	 	 	 
	Type of Administration	 	 	The Plan is administered by the Plan Administrator
	 	 	 	 
	Plan Administrator,
Name, Address, and
Telephone Number	 	 	Biogen Idec Inc. is the Plan Administrator and named fiduciary of the Plan, with
authority to delegate its duties.

Biogen Idec Inc.

Fourteen Cambridge Center

Cambridge, Massachusetts 02142

(617) 679-3400
	 	 	 	 
	Agent for Service of
Legal Process on the Plan	 	 	Biogen Idec Inc.

Fourteen Cambridge Center

Cambridge, Massachusetts 02142
	 	 	 	 
	Funding	 	 	This Plan is unfunded
	 	 	 	 
	Appeal Procedures	 	 	You have 180 days from your effective date of termination to file an appeal.
Requests for appeals should be sent to the address specified in the claim denial. A
decision on review will be made not later than 45 days following receipt of the written
request for review. If the Plan Administrator determines that special circumstances
require an extension of time for a decision on review, the review period may be extended
by an additional 45 days (90 days in total). The Plan Administrator will notify you in
writing if an additional 45 day extension is needed.
	 
	 	 	 	 	 	 	 
	 	 	 	If an extension is necessary due to your failure to submit the information necessary to
decide the appeal, the notice of extension will specifically describe the required
information, and you will be afforded at least 45 days to provide the specified
information. If you deliver the requested information within the time specified, the 45
day extension of the appeal period will begin after you have provided that information.
If you fail to deliver the requested information within the time specified, the Plan
Administrator may decide your appeal without that information.
	 
	 	 	 	 	 	 	 
	 	 	 	You will have the opportunity to submit written comments, documents, or other
information in support of your appeal. You will have access to all relevant documents
as defined by applicable U.S. Department of Labor regulations. The review of the
adverse benefit determination will take into account all new
	 	 	 	 

			
	 	 	 
	Adopted October 1, 2007
	 	Page 3 of 5

 

Severance Plan for U.S. Senior Vice Presidents

 

	 	 	 	 	 	 	 	 
	 	 	 	 
	 	 	 	information, whether or not
presented or available at the initial determination. No deference will be afforded to
the initial determination.
	 
	 	 	 	 	 	 	 
	 	 	 	The review will be conducted by the Plan Administrator and will be made by a person
different from the person who made the initial determination and such person will not be
the original decision maker’s subordinate.
	 
	 	 	 	 	 	 	 
	 	 	 	A notice that your request on appeal is denied will contain the following information:
	 
	 	 	 	 	 	 	 
	 	 	 	•	 	The specific reason(s) for the determination;
	 
	 	 	 	 	 	 	 
	 	 	 	•	 	A reference to the specific Plan provision(s) on which the determination is based;
	 
	 	 	 	 	 	 	 
	 	 	 	•	 	A statement disclosing any internal rule, guidelines, protocol or similar
criterion relied on in making the adverse determination (or a statement that such
information will be provided free of charge upon request);
	 
	 	 	 	 	 	 	 
	 	 	 	•	 	A statement describing your right to bring a lawsuit under Section 502(a) of
ERISA if you disagree with the decision;
	 
	 	 	 	 	 	 	 
	 	 	 	•	 	The statement that you are entitled to receive upon request, and without charge,
reasonable access to or copies of all documents, records or other information relevant
to the determination; and
	 
	 	 	 	 	 	 	 
	 	 	 	•	 	The statement that “You or your plan may have other voluntary alternative
dispute resolution options, such as mediation. One way to find out what may be
available is to contact your local U.S. Department of Labor Office and your State
insurance regulatory agency”.
	 
	 	 	 	 	 	 	 
	 	 	 	Notice of the determination may be provided in written or electronic form. Electronic
notices will be provided in a form that complies with any applicable legal requirements.
	 
	 	 	 	 	 	 	 
	 	 	 	Unless there are special circumstances, this administrative appeal process must be
completed before you begin any legal action regarding your claim.
	 	 	 	 
	Your Rights Under 

ERISA	 	 	As a participant in this Plan, you are entitled to certain rights and protections
under the Employee Retirement Income Security Act of 1974 (ERISA). ERISA provides that
all Plan participants shall be entitled to:
	 
	 	 	 	 	 	 	 
	 	 	 	•	 	Receive Information About Your Plan and Benefits
	 
	 	 	 	 	 	 	 
	 

	 	 	 	 	o
	 	Examine, without charge, at the Plan Administrator’s office and at other specified
locations, all documents governing the Plan, including a copy of the latest annual
report (Form 5500 Series), if any, filed by the Plan with the U.S. Department of Labor
and available at the Public Disclosure Room of the Employee Benefits Security
Administration.
	 
	 	 	 	 	 	 	 
	 

	 	 	 	 	o
	 	Obtain, upon written request to the Plan Administrator, copies of documents governing
the operation of the Plan, including copies of the latest annual report (Form 5500
Series), if any, and updated Summary Plan Description.
	 
	 	 	 	 	 	 	 
	 

	 	 	 	 	o
	 	The Plan Administrator may make a reasonable charge for the copies.
	 
	 	 	 	 	 	 	 
	 

	 	 	 	 	o
	 	Receive a summary of the Plan’s annual financial report, if any. The Plan
Administrator is required by law to furnish each participant with a copy of this summary
annual report.
	 
	 	 	 	 	 	 	 
	 	 	 	•	 	Prudent Actions by Plan Fiduciaries
	 
	 	 	 	 	 	 	 
	 

	 	 	 	 	o
	 	In addition to creating rights for Plan participants, ERISA imposes duties upon the
people who are responsible for the operation of the employee benefit plan. The people
who operate your Plan, called “fiduciaries” of the Plan, have a duty to do so prudently
and in the interest of you and other Plan participants and beneficiaries. No one,
including your Employer or any other person, may fire you or otherwise discriminate
against you in any way to prevent you from obtaining a benefit or exercising your rights
under ERISA.
	 	 	 	 

			
	 	 	 
	Adopted October 1, 2007
	 	Page 4 of 5

 

Severance Plan for U.S. Senior Vice Presidents

 

	 	 	 	 	 	 	 	 
	 	 	 	 
	 	 	 	•	 	Enforce Your Rights
	 
	 	 	 	 	 	 	 
	 

	 	 	 	 	o
	 	If your claim for a benefit is denied or ignored, in whole or in part, you have a
right to know why this was done, to obtain copies of documents relating to the decision
without charge, and to appeal any denial, all within certain time schedules.
	 
	 	 	 	 	 	 	 
	 

	 	 	 	 	o
	 	Under ERISA, there are steps you can take to enforce the above rights. For instance,
if you request a copy of Plan documents or the latest annual report from the Plan and do
not receive them within 30 days, you may file suit in a federal court. In such a case,
the court may require the Plan Administrator to provide the materials and pay you up to
$110 a day until you receive the materials, unless the materials were not sent because
of reasons beyond the control of the Plan Administrator.
	 
	 	 	 	 	 	 	 
	 

	 	 	 	 	o
	 	If you have a claim for benefits that is denied or ignored, in whole or in part, you
may file suit in a state or federal court. If it should happen that Plan fiduciaries
misuse the Plan’s money, or if you are discriminated against for asserting your rights,
you may seek assistance from the U.S. Department of Labor, or you may file suit in a
federal court. The court will decide who should pay court costs and legal fees. If you
are successful, the court may order the person you have sued to pay these costs and
fees. If you lose, the court may order you to pay these costs and fees, if, for
example, it finds your claim is frivolous.
	 
	 	 	 	 	 	 	 
	 	 	 	•	 	Assistance with Your Questions
	 
	 	 	 	 	 	 	 
	 

	 	 	 	 	o
	 	If you have any questions about your Plan, you should contact the Plan Administrator.
If you have any questions about this statement or about your rights under ERISA, or if
you need assistance in obtaining documents from the Plan Administrator, you should
contact the nearest office of the Employee Benefits Security Administration, U.S.
Department of Labor, listed in your telephone directory or the Division of Technical
Assistance and Inquiries, Employee Benefits Security Administration, U.S. Department of
Labor, 200 Constitution Avenue N.W., Washington, D.C. 20210. You may also obtain
certain publications about your rights and responsibilities under ERISA by calling the
publications hotline of the Employee Benefits Security Administration.
	 	 	 	 
	Other Rights	 	 	The Plan Administrator, as fiduciary for the Plan, is entitled to legal and
equitable relief to enforce its right to recover any overpayments to you under this
Plan. This right of recovery is enforceable but will not exceed the benefits paid you.
You agree that the Plan Administrator has a lien over such sources of income until any
overpayments have been recovered in full.
	 	 	 	 
	Discretionary Acts	 	 	The Plan Administrator has discretionary authority to interpret the Plan and to make
benefit determinations under the Plan. The Plan Administrator may act directly or
through its employees and agents or further delegate their authority through contracts,
letters or other documentation or procedures to other affiliates, persons or entities.
	 
	 	 	 	 	 	 	 
	Discretionary Acts	 	 	Once you are deemed to have exhausted your appeal rights under the Plan, you have the
right to seek court review under Section 502(a) of ERISA of any benefit determinations
with which you disagree. The court will determine the standard of review it will apply
in evaluating those decisions.
	 	 	 	 

			
	 	 	 
	Adopted October 1, 2007
	 	Page 5 of 5exv10w55

 

Exhibit 10.55

BIOGEN IDEC INC.

SUPPLEMENTAL SAVINGS PLAN

(Plan Provisions as in Effect on January 1, 2008)

 

 

TABLE OF CONTENTS

	 	 	 	 	 	 	 
	 	 	 	 	Page
	 
	 	 	 	 	 	 
	ARTICLE 1

	 	INTRODUCTION
	 	 	1	 
	1.1

	 	Purpose and Effective Date
	 	 	1	 
	 
	 	 	 	 	 	 
	ARTICLE 2

	 	DEFINITIONS
	 	 	1	 
	2.1

	 	401(k) restoration
	 	 	1	 
	2.2

	 	Applicable compensation
	 	 	1	 
	2.3

	 	Base salary
	 	 	1	 
	2.4

	 	Biogen Idec
	 	 	1	 
	2.5

	 	Biogen SERP
	 	 	1	 
	2.6

	 	Board
	 	 	1	 
	2.7

	 	Bonus
	 	 	1	 
	2.8

	 	Change in Control
	 	 	1	 
	2.9

	 	Code
	 	 	2	 
	2.10

	 	Committee
	 	 	2	 
	2.11

	 	Compensation Committee
	 	 	2	 
	2.12

	 	Disability
	 	 	2	 
	2.13

	 	Employee
	 	 	2	 
	2.14

	 	Employer
	 	 	2	 
	2.15

	 	ERISA
	 	 	2	 
	2.16

	 	Excess applicable compensation
	 	 	2	 
	2.17

	 	Participant
	 	 	2	 
	2.18

	 	Plan
	 	 	2	 
	2.19

	 	Plan year
	 	 	2	 
	2.20

	 	Prior plan
	 	 	3	 
	2.21

	 	Savings Plan
	 	 	3	 
	2.22

	 	Service
	 	 	3	 
	2.23

	 	Transition credit
	 	 	3	 
	2.24

	 	Voluntary deferred compensation
	 	 	3	 
	2.25

	 	Years of service
	 	 	3	 
	 
	 	 	 	 	 	 
	ARTICLE 3

	 	PARTICIPATION
	 	 	3	 
	3.1

	 	Eligibility and Participation
	 	 	3	 
	3.2

	 	End of Participation
	 	 	4	 
	 
	 	 	 	 	 	 
	ARTICLE 4

	 	VOLUNTARY DEFERRALS BY PARTICIPANTS; EMPLOYER CREDITS
	 	 	4	 
	4.1

	 	401(k) Restoration
	 	 	4	 
	4.2

	 	Voluntary Deferrals
	 	 	4	 
	4.3

	 	Transition Credit
	 	 	5	 
	4.4

	 	Election Procedures
	 	 	5	 
	 
	 	 	 	 	 	 
	ARTICLE 5

	 	PARTICIPANT ACCOUNTS
	 	 	7	 
	5.1

	 	Participant Accounts
	 	 	7	 
	5.2

	 	Participant’s Account Value
	 	 	7	 
	5.3

	 	Vesting
	 	 	10	 
	 
	 	 	 	 	 	 
	ARTICLE 6

	 	DISTRIBUTIONS TO PARTICIPANT
	 	 	10	 
	6.1

	 	Distributions for Unforeseeable Emergency
	 	 	10	 
	6.2

	 	Distribution Upon Change in Control
	 	 	11	 
	6.3

	 	In-Service Distribution(s) at a Time Specified by Participant
	 	 	11	 
	6.4

	 	Distribution upon Death of a Participant
	 	 	11	 
	6.5

	 	Distribution upon Participant’s Termination of Employment
	 	 	12	 
	6.6

	 	Installment Distributions in Certain Cases
	 	 	12	 
	6.7

	 	Certain Other Distributions
	 	 	13	 

 

 

	 	 	 	 	 	 	 
	 
	 	 	 	Page
	6.8
	 	Delay in Distributions	 	 	13	 
	6.9
	 	Compliance with Code Section 409A	 	 	13	 
	 
	 	 	 	 	 	 
	ARTICLE 7
	 	MISCELLANEOUS	 	 	13	 
	7.1
	 	Amendment or Termination of Plan	 	 	13	 
	7.2
	 	Benefits Not Currently Funded	 	 	14	 
	7.3
	 	No Assignment	 	 	14	 
	7.4
	 	Effect of Change in Control	 	 	15	 
	7.5
	 	Responsibilities and Authority of Committee	 	 	15	 
	7.6
	 	Limitation on Rights Created by Plan	 	 	15	 
	7.7
	 	Tax Withholding	 	 	15	 
	7.8
	 	Text Controls	 	 	16	 
	7.9
	 	Applicable State Law	 	 	16	 
	7.10
	 	Paperless Administration	 	 	16	 
	 
	 	 	 	 	 	 
	 
	 	APPENDIX A      	 	 	A-l	 
	 
	 	APPENDIX B      	 	 	B-l	 

 

 

ARTICLE 1

INTRODUCTION

1.1
Purpose and Effective Date. The purpose of this plan is to provide certain key executives and
managers of Biogen Idec (or its subsidiaries) with additional tax-deferred savings opportunities
supplementing those available under the Savings Plan. This plan allows certain eligible
participants to make voluntary deferrals from base salary or bonus if elected by a participant. In
addition, certain participants whose compensation exceeds the Code Section 401(a)(17) limit
applicable to the Savings Plan will receive an employer 401(k) restoration credit in accordance
with Section 4.1, and certain participants received transition credits in accordance with Section
4.3.

     This plan also contains certain account balances or benefits previously maintained under the
amended and restated IDEC Pharmaceuticals Corporation Deferred Compensation Plan, the Biogen, Inc.
Voluntary Executive Supplemental Savings Plan, and the Biogen, Inc. Supplemental Executive
Retirement Plan.

     This amended and restated plan document is effective as of January 1, 2005, except as
otherwise specified. Certain historical information about the plan and any amendments thereto is
set forth in Appendix A.

ARTICLE 2

DEFINITIONS

     This section contains definitions of certain terms used in the plan. Where the context so
requires, the masculine includes the feminine, the singular includes the plural, and the
plural includes the singular.

2.1 401(k) restoration means that component of the plan under which an eligible participant’s
account will receive an employer 401(k) restoration credit under Section 4.1 with respect to applicable
compensation in excess of the limit imposed by Section 401(a)(17) of the Code.

2.2 Applicable compensation shall have the same meaning as in the Savings Plan except that
applicable compensation under this plan shall also include voluntary deferrals made under Section 4.2 in
addition to other salary reductions included in applicable compensation under the Savings Plan.

2.3 Base salary means the base salary established for any participant by his employer as in effect
from time to time; the entire amount of a participant’s base salary will be taken into account in accordance
with the terms of this plan without regard to any dollar limitation on applicable compensation that may be imposed under
the Savings Plan; base salary includes all components of a participant’s applicable compensation other than
bonus.

2.4 Biogen Idec means Biogen Idec Inc., a Delaware corporation, or any successor to it or to all or
the major portion of its assets or business which assumes the obligations of Biogen Idec Inc. under this
plan.

2.5 Biogen SERP means the Biogen, Inc. Supplemental Executive Retirement Plan, as in effect
immediately prior to January 1, 2004 (or other date of transfer referred to in Section 3.l(c)).

2.6 Board means the Board of Directors of Biogen Idec.

2.7 Bonus means the amount of compensation paid to a participant in addition to his base salary and
designated as such participant’s bonus by his employer; the entire amount of any such bonus will be taken into
account in accordance with the terms of this plan without regard to any dollar limitation on applicable
compensation that may be imposed under the Savings Plan.

2.8 Change in Control

     (a) For purposes of Section 5.3(f) and Section 7.4, a change in control means a
“Corporate Change in Control” or a “Corporate Transaction” as each is defined in the Biogen Idec
2005 Omnibus Equity Plan.

1

 

     (b) For purposes of Section 4.4(b) and Section 6.2, a change in control means (i)
the acquisition by a person or group of stock of Biogen Idec that, together with stock
previously held by such person or group, constitutes more than 50 percent of the total fair
market value or total voting power of the stock of Biogen Idec; (ii) a change in the
effective control of Biogen Idec resulting from either the acquisition by any person or
group during a 12-month period of stock of Biogen Idec possessing 30 percent or more of the
total voting power of Biogen Idec stock; or the replacement of a majority of the members of
the Board during any 12-month period by directors whose appointment or election was not
endorsed by a majority of the members of the Board in office immediately before the start of
such 12-month period; or (iii) the acquisition by any person or group (during any 12-month
period) of assets having a gross fair market value equal to or greater than 40 percent of
the total gross fair market value of all assets of Biogen Idec. This subsection (b) and
terms used herein will be interpreted in accordance with the regulations under Code Section
409A relating to a change in the ownership or effective control of a corporation or a change
in the ownership of a substantial portion of the assets of a corporation.

     This subsection 2.8(b) is effective as of the date of execution of this amended and
restated plan document.

2.9 Code means the Internal Revenue Code of 1986, as amended, or any successor statute enacted in
its place. Reference to any provision of the Code includes reference to any successor provision thereto.

2.10 Committee means the committee designated by the Board to administer this Plan.

2.11 Compensation Committee means the Compensation and Management Development Committee of the
Board (or any successor committee, however named, carrying out its functions).

2.12 Disability means “disability” as defined under the long-term disability program of Biogen Idec
or another employer covering a participant, or, if no such program is in effect with respect to such
participant, then “disability” means “total and permanent disability” as defined in Code Section 22(e)(3).

2.13 Employee means a person who is classified as a regular, common law employee of Biogen Idec (or
other employer) under the regular personnel classifications and practices of his employer. An individual
will not be considered an employee for purposes of this plan if the individual is classified as a consultant or
contractor under Biogen Idec’s (or other employer’s) regular personnel classifications and practices or he is a
party to an agreement to provide services to Biogen Idec (or other employer) without participating in this plan,
notwithstanding that such individual may be treated as a common law employee for payroll tax or other legal purposes.

2.14 Employer means Biogen Idec and each direct or indirect subsidiary or other affiliate of Biogen
Idec that employs persons who are or may be eligible to participate in this plan.

2.15 ERISA means the Employee Retirement Income Security Act of 1974, as amended, or any successor
statute enacted in its place. Reference to any provision of ERISA includes reference to any successor provision
thereto.

2.16 Excess applicable compensation means, for any plan year, the amount of a participant’s applicable
compensation in excess of the limitation under Section 401(a)(17) of the Code applicable to such
year and which therefore could not be considered under the Savings Plan.

2.17 Participant means an employee of Biogen Idec (or other employer) who is eligible to
participate in this plan in accordance with Section 3.1 and who has an account described in Section 5.1 or for whom an
amount has been transferred to this plan from a prior plan or from the Biogen SERP.

2.18 Plan means the Biogen Idec Inc. Supplemental Savings Plan, as set forth in this plan
instrument, and as it may be amended from time to time.

2.19 Plan year means the 12-month periods commencing on January 1, 2005 and on each subsequent
January 1 while the plan remains in effect.

2

 

2.20 Prior plan means the amended and restated IDEC Pharmaceuticals Corporation Deferred
Compensation Plan and the Biogen, Inc. Voluntary Executive Supplemental Savings Plan, each as in effect immediately prior to
January 1, 2004 (or other date of transfer referred to in Section 3.1(c)).

2.21 Savings Plan means the Biogen Idec 401(k) Savings Plan, as amended from time to time. Any term
defined in the Savings Plan will have the same meaning when used in this plan unless otherwise
defined herein.

2.22 Service means the sum of a participant’s employment (a) with Biogen Idec since November 12,
2003 and (b) with either Biogen, Inc. or IDEC Pharmaceuticals Corporation prior to November 12, 2003
(including in each case service with any subsidiary or other affiliate of such entity).

2.23 Transition credit means an amount credited by Biogen Idec to a participant’s account under
this plan that is equal to (a) the additional amount that would be contributed on behalf of the participant under
the Savings Plan, as determined under Appendix C of the Savings Plan but without regard to the nondiscrimination limits
or the Code Section 401(a)(17) or Code Section 415 limits that restrict additions to the participant’s
account(s) under the Savings Plan, reduced by (b) the amount of the actual additional contribution on the participant’s behalf
to the Savings Plan in accordance with Appendix C thereof.

2.24 Voluntary deferred compensation means that component of the plan which permits an eligible
participant to defer from 1% to 80% of his base salary and from 1% to 100% of his bonus in accordance with Section 4.2.

2.25 Years of service means full years of completed continuous service as a regular employee, determined in
accordance with the personnel policies and practices of a participant’s employer.

ARTICLE 3

PARTICIPATION

3.1 Eligibility and Participation.

     (a) Voluntary Deferred Compensation. An employee (i) who has the job title of Senior
Director or Vice President or more senior officer of Biogen Idec (or another employer) or (ii) who is
designated as eligible by the Compensation Committee will be eligible to be a participant in the voluntary deferred
compensation component of the plan. Participation in this component of the plan is voluntary and no eligible employee
will be required to participate.

     (b) Transition Credit. An employee (i) whose “additional employer contribution” as
determined under Appendix C of the Savings Plan was limited because of limits on compensation, limits on annual
additions or nondiscrimination requirements applicable to qualified plans under the Code and (ii) who was
designated by the committee (either individually or by class) is eligible to be a participant in the transition
contribution component of this plan (see Section 4.3).

     (c) Prior Plans and Biogen SERP. Each employee who is not eligible to be a participant
under subsection (a) or (b) above or (d) below, or who is eligible but declines to participate under
subsection (a) above, but who was a prior plan participant and/or Biogen SERP participant and whose prior plan and/or
Biogen SERP account balance (or supplemental pension formula benefit under Section 4.1 of the Biogen SERP, if
applicable) was transferred to this plan effective as of January 1, 2004 (or such later date as the committee
specified) is a participant solely with respect to such transferred prior plan and/or Biogen SERP account balance (or
supplemental pension formula benefit, if applicable). This will not include a person who is a vested participant
under the Biogen SERP but not an employee (i.e., a person who terminated employment from Biogen, Inc. or from Biogen
Idec on or before the date of transfer referred to in the preceding sentence); such a person’s benefits under
the Biogen SERP are governed by the provisions of Section 5.l(f) and Appendix B.

     (d) 401(k) Restoration. An employee who satisfies the requirements of Section 4.1(a)
below will be eligible to be a participant with respect to the employer 401(k) restoration component of the
plan.

3

 

     (e) Time of Eligibility and Participation. An employee who is newly hired or promoted
into a position described in subsection (a)(i) above, or who is newly designated as eligible under
subsection (a)(ii) above, will be deemed to be eligible on the date the committee (or its delegatee) sends him an
enrollment form (see Section 4.4).

     An eligible employee under subsection (a) above will become a participant hereunder when he
makes a voluntary deferral under this plan. An eligible employee under subsection (b), (c) or (d)
above will become a participant hereunder when Biogen Idec (or other employer) credits an amount to
his account(s) hereunder.

     (f) Top Hat Plan. Notwithstanding the preceding subsections (or any other provisions
of the plan), no employee will be eligible to participate in any component of this plan at any time when he or
she is not a member of a select group of management or highly compensated employees (within the meaning of ERISA
Sections 201(2), 301(a)(3) and 401(a)(l)), as determined by the committee.

3.2 End of Participation. A participant’s participation in this plan (or a particular
component of this plan) will end upon the termination of his service as an employee of Biogen Idec
(or other employer) because of death or any other reason, or upon his transfer to or
reclassification as an employee who is not eligible to participate in the plan (or in such
component).

     In addition, in the case of a participant who was designated as eligible for a component of
the plan by the Compensation Committee, his participation in such component will end upon the
Compensation Committee’s specifying that he is no longer eligible to participate. In such event,
his participation will end effective as of the later of the date of the Compensation Committee’s
action or the date specified by the Compensation Committee; provided that no such action will
retroactively deprive a participant of any amount credited to his account or any amount he was
entitled to under this plan determined as of the effective date of his termination of
participation.

     Upon the termination of a participant’s participation in this plan (or in a particular
component of this plan) in accordance with this section, there will be no additional voluntary
deferrals or employer credits to such participant’s account(s) (or the account(s) related to such
component), except to the extent required by Code Section 409A or the regulations or any rulings
thereunder with respect to the balance of the plan year in which such termination of participation
occurred. However, the participant will be entitled to receive any vested amounts in his account(s)
in accordance with this plan.

ARTICLE 4

VOLUNTARY DEFERRALS BY PARTICIPANTS; EMPLOYER CREDITS

4.1 401(k) Restoration.

     (a) Eligibility. Each employee who has excess applicable compensation during a plan
year will receive employer credits under this section, but only if the individual is still an employee
as of the end of the plan year (or other period—for example, quarterly) for which an amount is to be credited under
subsection (c) below.

     (b) Amount
of Employer 401(k) Restoration Credits. For each plan year (or a shorter
period of time specified by the committee), each employer will credit a 401(k) restoration amount to the
account of each eligible participant (under subsection (a) above) employed by such employer who has excess applicable
compensation during such plan year (or such shorter period of time). The employer’s credits on behalf of
such a participant will be equal to six percent of his excess applicable compensation during the plan year (or such
shorter period of time).

     (c) Time for Making Employer 401(k) Restoration Credits. Employer credit amounts under
subsection (b) will be credited to participants’ accounts at such time(s) as the committee
determines after the end of each plan year (or such shorter periods of time—for example, quarterly—specified by the
committee).

4.2 Voluntary Deferrals. Each eligible employee (under Section 3.1(a)) may make voluntary
deferrals under the plan from his base salary in any whole percentage of his base salary from a minimum of 1% to a
maximum of 80% by electing to reduce his base salary by such amount. In addition, each such eligible employee
may make

4

 

voluntary deferrals under the plan from his bonus in any whole percentage of his bonus from a
minimum of 1% to a maximum of 100% by electing to reduce his bonus by such amount. Elections will
be in accordance with the requirements of Section 4.4(a).

     Notwithstanding the first sentence of the preceding paragraph, the committee (or its designee)
may reduce the maximum base salary deferral an eligible employee may elect from 80% to such smaller
percentage as the committee (or its designee) deems advisable, in the case of any participant or
group of participants, so that all employee contributions (by salary reduction or otherwise) for
benefit plan coverages applicable to such participant(s), withholding tax obligations applicable to
such participant(s), and any other elective or non-elective application of the base salary of such
participant(s) (such as, by way of illustration and not by way of limitation, charitable
deductions) will be accommodated. Any such reduction applicable to a participant for a plan year
will be made before the start of such plan year.

4.3 Transition Credit. Each eligible employee (under Section 3.1(b)) will receive a transition
credit hereunder. The amount of such credit will be the amount the participant would have received under
the terms and conditions of Appendix C of the Savings Plan if
Code Section 
401(a) nondiscrimination requirements
and/or Code Section 401(a)(17) or 415 limits did not apply, reduced by any amount actually contributed to the
Savings Plan on his behalf under such Appendix C. Any such transition credit amount hereunder will be credited at a time
determined by the committee.

4.4 Election Procedures.

     (a) Voluntary Deferrals. An eligible employee under Section 3.1(a) who wishes to
reduce his base salary and/or bonus to be earned during a particular plan year in order to make voluntary
deferrals under Section 4.2 must complete an enrollment form specifying the amount of his voluntary deferrals (with
separate percentages for his base salary and bonus if desired), agreeing to reduce his base salary and/or bonus by the
amount(s) he specifies, and providing such other information as the committee may require.

     A participant’s enrollment form electing voluntary deferrals for any plan year must be filed
with the committee by such deadline as the committee specifies, but in any event before the start
of such plan year. A participant may change the amount of his voluntary deferrals with respect to
any subsequent plan year by filing a new enrollment form before the start of such subsequent plan
year, and the change will become effective as of the first day of such subsequent plan year. Once a
participant has elected to defer base salary and/or bonus, his enrollment form will remain in
effect for future plan years unless the participant changes or terminates his prior elections by
filing a new enrollment form in accordance with the preceding sentence.

     An individual who first becomes eligible under Section 3.1(a) during a plan year may make an
initial election by filing an enrollment form with the committee not later than 30 days after the
committee (or its delegatee) sends him an enrollment form. However, such a newly eligible employee
may elect to defer only base salary and/or that portion of bonus to be earned after the date of
filing his completed enrollment form. (An individual is considered first eligible only if either:
(i) he had not during the preceding 24-month period been eligible to make voluntary deferrals under
this plan or under another non-qualified deferred compensation plan maintained by Biogen Idec (or
another employer or other subsidiary or affiliate of Biogen Idec); or (ii) he had received a
complete distribution of his entire interest under the plan and subsequently, through rehire,
promotion, transfer or designation, again becomes eligible to participate in this plan under
Section 3.1.)

     After a plan year has begun, a participant may not change the amount of voluntary deferrals
(if any) he had elected for such plan year. However, if during a plan year a participant either (i)
has an unforeseeable emergency (as defined in Section 6.1) and receives a distribution under

Section 6.1 or (ii) has a financial hardship (as defined in the Savings Plan) and receives a
financial hardship withdrawal from the Savings Plan, the participant’s deferral election for the
balance of that year will automatically be cancelled.

     (b) Form and Time of Payment.

     (i) Initial Election. Each participant must specify the form of payment (lump sum
or installments in accordance with Section 6.4(a), 
6.5(a) and/or Section 6.6(a) below, as
applicable) of his accounts hereunder in the event of the participant’s death or other
termination of employment (including as

5

 

a result of disability). The time and form of payments under the plan are governed by the
provisions of Article 6 and participant elections must conform to the requirements of such
provisions.

     In addition, effective as of the date of execution of this amended and restated plan document,
a participant may elect payment of his accounts under Section 6.2 in the event of a change in
control (as defined in Section 2.8(b)).

     In addition, a participant who is eligible under Section 3.1(a) to elect voluntary deferrals
may (but is not required to) specify one or more in-service distributions to the participant in
accordance with Section 6.3 if desired by the participant. A participant who declines to elect such
an in-service distribution is deemed to have elected payment only after death (Section 6.4) or
termination of employment (Section 6.5) or, if applicable, a change in control (Section 6.2); such
a participant may not thereafter make a change of election under subsection (ii) with respect to an
in-service distribution from the plan.

     A participant’s initial election of a time and form of payment hereunder must be made by
whichever of the following dates applies to the participant (or the earlier of such dates, if both
apply to a particular participant): (A) the deadline for filing the participant’s initial
enrollment form under subsection (a) above; or (B) January 30 of the year following the year for
which an amount is first credited to the participant under Section 3.1(c), Section 4.1 or Section
4.3 (provided that this clause (B) will not apply to a participant if he was previously eligible
for employer credits or contributions (as opposed to voluntary deferrals) under this plan or under
any other account balance non-qualified deferred compensation plan maintained by Biogen Idec (or
another employer or other subsidiary or affiliate of Biogen Idec).

     (ii) Change of Election. Notwithstanding subsection (i) above, the following changes
of election will be permitted. If such a subsequent election becomes effective as provided below,
then the participant’s account(s) will be payable at the time and in the form specified in his
subsequent election.

	 	(A)	 	In-Service Distributions. In the case of an eligible participant who
elected an in-service distribution, at any time that is at least one year prior to the date for payment
originally elected by the participant, if the participant is still an employee of Biogen Idec
(or another employer or other subsidiary or affiliate) at such time, the participant
may make one subsequent election to defer the time when any previously elected in-service
distribution under Section 6.3 from his account(s) would otherwise be payable (or
installment payments would otherwise begin) to a subsequent date specified by him,
and/or may elect another form of payment or a different number of installments with
respect to the in-service distribution of his account(s), subject in all cases to
the requirements of this section and to the requirements of Section 6.3.
	 
	 	(B)	 	Death or Termination of Employment. A participant who is still an
employee of Biogen Idec (or another employer or other subsidiary or affiliate) may make one subsequent
election to change the form of payment hereunder that will be used following his
death or other termination of employment. Such an election must comply with the applicable
requirements of Sections 6.4(a), 6.5(a) and 6.6(a) (as applicable).
	 
	 	(C)	 	Effectiveness of Subsequent Election. A participant’s subsequent
election under this subsection (ii) will become effective only if the following requirements are
satisfied: (1) the subsequent election does not take effect until one year after the date of the
subsequent election and the participant remains an employee of Biogen Idec (or another
employer or other subsidiary or affiliate) during such one year period, (2) the election
extends the date for payment, or the start date for installment payments, by at least five years,
and (3) in the case of a subsequent election to defer a previously elected in-service
distribution (under subsection (A) above), the subsequent election is made at least 12 months
before the date previously elected for such in-service distribution.

     No election under this subsection (ii) may operate to accelerate any payment or
distribution hereunder or violate any requirement of Code Section 409A or the regulations and
rulings thereunder.

6

 

     A participant may make only one subsequent election under subsection (ii) (A) and only
one subsequent election under subsection (ii)(B). Such subsequent election(s) may be made at
the same or at different times. Also, the committee may permit additional election
opportunities (in accordance with the transition or other rules under the regulations or
other Internal Revenue Service guidance under Code Section 409A or in such other
circumstances as the committee deems appropriate). Any such additional subsequent elections
under subsection (ii) must satisfy all the requirements of this section and any other
applicable requirements under the plan or, alternatively, must satisfy such requirements as
the committee may impose in connection with a new election under a Code Section 409A
transition or other rule.

ARTICLE 5

PARTICIPANT ACCOUNTS

5.1 Participant Accounts.

     (a) Employer 401(k) Restoration Accounts. Employer credits on a participant’s behalf
under Section 4.1 will be credited to an account in the name of such participant. Such account will
be called his employer 401(k) restoration account.

     (b) Voluntary Deferred Compensation Accounts. Voluntary deferrals by a participant
under Section 4.2 will be credited to an account in the name of such participant. Such account will be called his
voluntary deferred compensation account.

     (c) Transition Accounts. Transition credits on a participant’s behalf under Section
4.3 will be credited to an account in the name of such participant. Such account will be called his transition
account.

     (d) Prior Plan Account. Account balances as of December 31, 2003 (or such later date
as the committee specified) for a participant in a prior plan were transferred to this plan from such
prior plan and the transferred amount was credited to an account in the name of such participant. Such account is
called his prior plan account.

     (e) Biogen
SERP Account. Amounts transferred to this plan from the Biogen SERP on
behalf of a participant were credited to an account in the name of such participant. Such account is
called his Biogen SERP account. The amount so transferred on behalf of a participant in the excess benefit formulas
in Section 4.2 of the Biogen SERP was the amount credited to such participant’s Biogen SERP cash balance account as
of December 31, 2003 (or such later date of transfer as the committee specified). The amount so transferred on
behalf of a participant in the supplemental pension formula in Section 4.1 of the SERP was the present value as of
December 31, 2003 (or such later date of transfer as the committee specified) of the participant’s SERP accrued
supplemental pension as of such date (calculated in accordance with the terms of the SERP in effect on such date).

     (f) Certain Special Provisions. Participants’ prior plan accounts and Biogen SERP
accounts will be governed by the applicable provisions of this plan as in effect from time to time.

     For persons who were participants in the Biogen SERP before the transfer date referred to in
subsection (e) above and are entitled to a vested SERP benefit thereunder, but who are not active
participants under this plan and therefore do not have an account hereunder, the amount transferred
to this plan in respect of their Biogen SERP benefit will be governed by Appendix B hereto, as in
effect from time to time.

     (g) 409A. For purposes of applying Code Section 409A, as provided in the regulations
thereunder, a participant’s voluntary deferred compensation account is disaggregated from his or her other
accounts hereunder.

5.2 Participant’s Account Value.

     (a) Deemed Investment Results. A participant’s accounts will be credited with
deemed investment results as if the amounts credited to his accounts were invested in one or more
designated investment funds (as described below) and all dividends and distributions on shares or
other interests of a particular investment fund were

7

 

reinvested in such fund. The investment funds available for this purpose will be those from time to
time available as investment options for participants’ accounts under the Savings Plan, plus the
investment funds specified in subsections (b) and (c) below (in the case of eligible participants).
Investment funds hereunder are for the sole purpose of providing the basis for crediting deemed
investment results to participants’ accounts, and do not represent any actual funds or assets held
hereunder for the benefit of participants.

     Each participant will indicate with his initial enrollment form (or another form specified by
the committee) the investment fund or funds (and the proportion in each fund when the participant
designates more than one) he wishes to designate for this purpose. Thereafter, a participant may
change his designation with respect to either the deemed investment of future credits to his
account(s) hereunder or the deemed transfer of amounts from a previously designated investment fund
to another fund. The committee shall establish the frequency with which such a change may be made,
the method of making such a change, and the effective date of such a change, and shall prescribe
such other rules and procedures as it deems appropriate. Such designation will remain in effect
until subsequently changed by the participant in accordance with this paragraph. Following a
participant’s death and before the payment of any amount due to the participant’s beneficiary
hereunder has been completed, the beneficiary will exercise the participant’s designation powers
under this section.

     Notwithstanding the preceding paragraph, the committee may establish one or more default
investment funds that will be used to determine deemed investment results in the case of any
participant or group of participants who have not made a. designation under the preceding
paragraph. Such default investment fund(s) will be used to determine deemed investment results
applicable to the account of such participant or participants until any such participant makes a
designation of investment fund(s) in accordance with the plan.

     Deemed investment results under this subsection will be credited to a participant’s accounts
effective as of the last day of each plan year (and as of such other valuation dates during a plan
year as the committee may establish).

     The value of a participant’s accounts at any point in time will be his voluntary deferrals,
employer 401(k) restoration credits, transition credits on his behalf, and prior plan and/or Biogen
SERP transfer amounts, increased or decreased by deemed investment results as provided in this
section through the most recent valuation date, and reduced by any distributions from the
participant’s accounts.

     (b) Fixed Income Option. In addition to the investment funds offered under the Savings
Plan as described in (a) above, a participant who is eligible to make voluntary deferrals (see Section
3.1(a)) may elect to have his accounts credited with the deemed investment results as if they were invested in a
fixed income option earning a rate of return specified by the committee. The rate of return under the fixed income
option will be 8% for the 2008 plan year. The rate of return of future plan years will be determined each year by
the committee.

     (c) Exception for Certain Prior Plan Accounts. Former participants in the IDEC
Pharmaceuticals Corporation Deferred Compensation Plan whose accounts were credited with interest under the
fixed income option available under that plan immediately prior to the date such account was transferred to this
plan may continue to have such transferred amount credited with deemed investment results equal to the interest
rate under that fixed income option. Any additional contributions made under this plan will be credited with deemed
investment results as described in subsection (a) or (b) above. Amounts being credited with interest under this
subsection (c) may be transferred to an option described in subsection (a) or (b) above, but no amounts credited to
a participant’s accounts may be transferred into the fixed income option under this subsection (c) (even if such
amounts had previously been invested in such investment fund and then transferred to another investment fund).

     (d) Special Rule for Transferred Prior Plan Accounts and Transferred Biogen SERP
Accounts. In connection with the transfer of participants’ prior plan account balances and Biogen SERP
account balances to this plan, transferred account balances were initially credited with deemed investment results as
if the participant had selected the money market fund investment option under the Savings Plan. Deemed investment
results in accordance with the preceding sentence will apply to such transferred account balances until a
participant changes such designation in accordance with subsection (a) above.

8

 

     (e) Bookkeeping Accounts. Participants’ accounts and subaccounts will be maintained
on the books of the participant’s employer for bookkeeping purposes only; such accounts will not
represent any property or any secured or priority interest in any trust or in any segregated
asset.

     In order to facilitate the administration of the plan, the committee may arrange for a
participant’s account to be divided for recordkeeping purposes into two or more subaccounts, in
accordance with procedures established by the committee.

5.3 Vesting.

     (a) Employer 401(k) Restoration Account.

     (i) Before January 1, 2008. This subsection (i) will apply to participants who incur
a termination of employment before January 1, 2008.

     A participant who is an active employee will have a fully vested interest in his
employer 401(k) restoration account at all times on and after his 55th birthday.
Before that date, such a participant will have a vested interest in that percentage of his
employer 401(k) restoration account specified in the following table based upon his number
of years of service under the plan:

	 	 	 	 	 
	Years of Service	 	Vested Percentage
	Less than 1
	 	 	0	%
	1
	 	 	25	%
	2
	 	 	50	%
	3
	 	 	75	%
	4 or more
	 	 	100	%

     (ii) On or After January 1, 2008. This subsection (ii) will apply to
participants who are active employees on or after January 1, 2008 (i.e., have not incurred a termination of
employment with Biogen Idec, or another employer or other subsidiary or affiliate of Biogen
Idec, before January 1, 2008). Each such participant will have a fully vested interest in
his employer 401(k) restoration account at all times.

     (b) Voluntary Deferred Compensation Account. A participant will have a fully vested
interest in his voluntary deferred compensation account at all times.

     (c) Transition Account.

     (i) Before January 1, 2008. This subsection (i) will apply to participants who incur
a termination of employment before January 1, 2008.

     A participant who is an active employee will have a fully vested interest in his
transition account at all times on and after his
65th birthday. Before that date, such a
participant will have a vested interest in that percentage of his transition contribution
account specified in the following table based upon his number of years of service under
the plan:

	 	 	 	 	 
	Years of Service	 	Vested Percentage
	Less than 2
	 	 	0	%
	2
	 	 	20	%
	3
	 	 	50	%
	4
	 	 	60	%
	5
	 	 	70	%
	6
	 	 	80	%
	7 or more
	 	 	100	%

9

 

     (ii) On or After January 1, 2008. This subsection (ii) will apply to participants
who are active employees on or after January 1, 2008 (i.e., have not incurred a termination of
employment with Biogen Idec, or another employer or other subsidiary or affiliate of Biogen
Idec, before January 1, 2008). Each such participant will have a fully vested interest in
his transition account at all times.

     (d) Prior Plan Account. A participant will have a fully vested interest in his prior
plan account at all times.

     (e) Biogen SERP Account. A participant who is an active employee will have a fully
vested interest in his Biogen SERP account at all times effective January 1, 2004.

     (f) Full
Vesting upon Death, Disability or Change in Control. Notwithstanding
subsections (a)(i) and (c)(i) above (for participants to whom such subsections apply):

     (i) If a participant’s employment by his employer (or another Biogen Idec subsidiary
or affiliate) is terminated because of the participant’s death or disability, all his accounts
hereunder will be fully vested regardless of his number of years of service.

     (ii) In the event of a change in control (as defined in Section 2.8(a)),
all accounts of all participants still employed by Biogen Idec at such time will be
fully vested regardless of a participant’s number of years of service.

     (g) Forfeiture of Non-Vested Account Balances. If a participant terminates employment
with his employer (and all other Biogen Idec subsidiaries or affiliates) under circumstances such that
he is not fully vested in one or more accounts in accordance with the preceding subsections, the non-vested balance(s)
as of the date of termination of employment will be forfeited and cancelled.

     (h) Meaning of “Fully Vested.” Reference to any account of a participant as
“fully vested” means that such account is not subject to forfeiture; however, all participant
accounts, including fully vested accounts, are subject to (i) fluctuation as a result of the
crediting of deemed investment results (including losses) to such accounts as provided in the plan
and (ii) the possibility of the insolvency or bankruptcy of Biogen Idec (or other employer) (see
Section 7.2(a)).

ARTICLE 6

DISTRIBUTIONS TO PARTICIPANT

6.1 Distributions for Unforeseeable Emergency. If a participant has an unforeseeable
emergency prior to his termination of employment with his employer, he may apply to the committee
for a distribution from the plan. If such application for an unforeseeable emergency distribution
is approved by the committee, distribution of the approved amount will be made on the date of
approval by the committee. The amount of the distribution will be the amount reasonably needed to
alleviate the participant’s unforeseeable emergency (including the amount necessary to pay any
federal, state or local income taxes and penalties reasonably anticipated to result from the
distribution), as determined by the committee, up to a maximum of the participant’s vested account
balances. Such a distribution will be made from the participant’s accounts in a single lump sum
payment. If such a participant’s account has two or more subaccounts, the committee will determine
which subaccounts will be debited to reflect the unforeseeable emergency distribution.

     An unforeseeable emergency is a severe financial hardship affecting the participant resulting
from illness or accident of the participant or the participant’s spouse, dependent or designated
beneficiary, the need to rebuild the participant’s principal residence following damage not covered
by insurance, or other similar extraordinary and unforeseeable circumstances arising as a result of
events beyond the participant’s control. A circumstance or exigency of the participant does not
constitute an unforeseeable emergency to the extent that the participant’s financial need is or may
be relieved through reimbursement or compensation by insurance or otherwise, or by liquidation of
assets (to the extent that such liquidation would not itself cause severe hardship).

     The committee will determine whether a participant has incurred an unforeseeable emergency and
the amount needed to alleviate the unforeseeable emergency. A participant is not entitled to a
distribution under this

10

 

section regardless of the participant’s circumstances or exigencies, and all such distributions
and the amounts thereof are subject to the determination of the committee.

6.2 Distribution Upon a Change in Control. In the event of a change in control (as defined in
Section 2.8(b)), a participant who elected payment of his accounts under the second paragraph of Section
4.4(b)(i) will receive a lump sum payment equal to the amount credited to his accounts hereunder. Such payment
will be made 30 days after the occurrence of the change in control (but not before January 1, 2008 in the case of a
change in control that occurs during 2007). This Section 6.2 is effective as of the date of execution of this amended
and restated plan document.

6.3 In-Service Distribution(s) at a Time Specified by Participant. A participant who is an eligible
employee under Section 3.1(a) may, in accordance with this section and Section 4.4, elect an
in-service distribution
at a specified future date (but not earlier than five years after the time the participant is
making such election) of the
portion of his vested accounts which is not invested in the fixed income option described in
Section 5.2(b). If, in his
initial enrollment or subsequent change of election form, the participant designated payment of
such portion of his
vested account(s) (or a specified part thereof) at a specified time(s) and he is still an employee
of Biogen Idec (or
another employer or other subsidiary or affiliate) at such time(s), the participant will receive
payment of the amount
elected, payable on the designated date(s). A participant’s election for in-service distributions
under this Section 6.3
may be for a single payment or up to five annual payments (with the first payment on the date
specified by the
participant and subsequent payments on anniversaries of such date), in each case in an amount or
portion specified
by the participant in his initial enrollment or other subsequent change of election form (whichever
applies). Each
payment will be the amount specified (or the entire vested balance remaining in the participant’s
accounts, if less).

     Any amount in a participant’s accounts hereunder not distributed to the participant under this
Section 6.3 will be distributed under Section 6.2 or under Section 6.4 or 6.5, whichever may be
applicable, and Section 6.6, if applicable. If a participant is receiving multiple payments under
this Section 6.3 and dies or otherwise terminates employment, or (if applicable) there is a change
in control, payments under this subsection will cease and subsequent payments will be governed by
Section 6.4 or 6.5, or Section 6.2, as the case may be.

6.4 Distribution upon Death of a Participant.

     (a) In general. If a participant dies while still an employee of Biogen Idec (or
another employer or other subsidiary or affiliate) or after termination of such employment, but before the
complete distribution of his vested accounts hereunder, his beneficiary will receive the total amount remaining in his
vested accounts. Except as otherwise provided in Section 6.6, distribution will be made in a single sum payment on the
first day of the month after the committee receives appropriate evidence of the participant’s death and of the right
of any beneficiary to receive such payment (and in the case of payment to a participant’s estate, the appointment of
a personal representative).

     (b) Beneficiary. Each participant may designate one or more beneficiaries to receive a
distribution payable under subsection (a) above and may revoke or change such a designation at any time. If
the participant names two or more beneficiaries, distribution to them will be in such proportions as the
participant designates or, if the participant does not so designate, in equal shares. Any such designation of beneficiary
will be made in accordance with such procedures or in such form as the committee may prescribe or deem
acceptable.

     Any portion of a distribution payable upon the death of a participant that is not disposed of
by a designation of beneficiary under the preceding paragraph, for any reason whatsoever, will be
paid to the beneficiary determined under the following rules:

     (i) If at the participant’s death the participant has an account under the Savings
Plan and there is a valid designation of beneficiary under the Savings Plan, the
beneficiary(ies) will be the same person(s) who is (are) the Savings Plan
beneficiary(ies) (in the same proportions, if more than one).

     (ii) If subsection (a) does not apply, the participant’s account(s) hereunder will be paid to the
participant’s spouse if living at his death, otherwise equally to the participant’s natural
and adopted children living at his death (and the issue of a deceased child by right of
representation), otherwise to the

11

 

participant’s estate. For purposes of the preceding sentence, a spouse includes a spouse of
the same gender as the participant if the marriage occurred in a jurisdiction that
recognizes as valid marriages between persons of the same gender.

     The committee may direct payment in accordance with a prior designation of beneficiary (and
will be fully protected in so doing) if such direction (i) is given before a later designation is
received, or (ii) is due to the committee’s inability to verify the authenticity of a later
designation. Such a distribution will discharge all liability therefor under the plan.

6.5 Distribution upon Participant’s Termination of Employment.

     (a) Time and Form of Payment. Following a participant’s termination of employment
(including as a result of disability) for any reason other than death, except as otherwise provided in Section
6.6, the participant will receive a single sum payment equal to his vested account balance, payable on the first
business day following the six-month anniversary of the participant’s termination of employment.

     (b) Termination of Employment. For purposes of this plan, a participant will have a
termination of employment only if the provisions of the regulations under Code Section 409A defining
“separation from service” are satisfied.

6.6 Installment Distributions in Certain Cases.

     (a) Participant. Notwithstanding the provisions of Section 6.5, a participant may, at
the time of filing
his initial enrollment form under Section 4.4(b)(i) (or, if applicable, in a subsequent
election under Section
4.4(b)(ii)), designate that the amount payable to him hereunder upon termination of employment
will be paid in a
number (minimum of two and maximum of fifteen) of annual installment payments, as specified by
the participant.
However, in the event the participant’s vested account balance as of the date that installment
distributions would
begin in accordance with Section 6.5 is equal to or less than the limit under Code Section
402(g)(1)(B) and (g)(4) (as
in effect at such time—for example, $15,500 during 2008), such vested account balance will be
automatically paid
in the form of a lump sum payment to the extent not prohibited by the regulations under Code
Section 409A.

     (b) Beneficiary. Notwithstanding Section 6.4, a participant may at the time of filing
his initial
enrollment form under Section 4.4 (or, if applicable, in a subsequent election), designate
that, if the participant dies
before receiving the entire amount payable to him hereunder, the beneficiary will receive
either:

     (i) A number of annual installment payments equal to:

	 	(A)	 	the number the participant elected for himself
under subsection (a) above (if the
participant dies before receiving any installment payments), or
	 
	 	(B)	 	the number of remaining installment
payments due to the participant under
subsection (a) above (if the participant dies after receiving
one or more installment payments); or

     (ii) A single payment.

     Payment to the beneficiary (or the first installment)
will be made at the time provided in Section 6.4(a).

     If the participant fails to designate the form of payment to the beneficiary, the default form
of payment will be a single payment under (ii) above.

     (c) Installment Payments. Where installment payments are due, the first annual
installment payment
will be made on the date specified in Section 6.4 or 6.5 (whichever is applicable) and
subsequent annual installments
will be paid on succeeding anniversaries of the first payment date. The amount of each annual
installment payment
will be determined by multiplying the then amount of the participant’s vested account balances
by a fraction whose
numerator is one and whose denominator is the number of remaining annual installment payments.

12

 

     (d) Death of Beneficiary. If a participant’s designated beneficiary is receiving
installment payments
and dies before receiving payment of all the annual installments, the deceased beneficiary’s
estate will receive a
lump sum payment of the amount remaining to be distributed to such beneficiary. Such payment
will be made on
the first day of the month next following the committee’s receipt of satisfactory evidence of
the death of the
designated beneficiary and the appointment of a personal representative.

     (e) Deemed Single Payment. As provided in the regulations under Code Section 409A,
installment
payments to a participant will be deemed a single payment on the date of the first installment
for purposes of the
anti-acceleration rule (Section 4.4(b) and Section 6.9) and the rules governing the timing of
changes in elections
with respect to time and form of payment hereunder (Section 4.4(b)).

6.7 Certain Other Distributions. In addition to the distributions provided for in the preceding
sections of this
Article 6, the committee may provide for a distribution from a participant’s account(s) under the
following
circumstances:

     (a) Domestic Relations Order. Distribution of the amount necessary to fulfill the
requirements of a
domestic relations order (as defined in Code Section 414(p)) requiring the payment of all or a
portion of the
participant’s vested account(s) to another individual (see Section 7.3(b)).

     (b) Conflicts of Interest. Distribution to the extent reasonably necessary to comply
with a federal
government ethics agreement or a federal, state, local or foreign ethics or conflicts of
interest law (as described in
the regulations under Code Section 409A).

     (c) Violation of Code Section 409A. In the event that, notwithstanding the intent that
this plan satisfy
in form and operation the requirements of Code Section 409A, it is determined that the
requirements of Code
Section 409 A have been violated with respect to one or more accounts of any participant or
group of participants,
distribution of the amount determined to be includable in taxable income of such participant
or participants as a
result of such a violation of Code Section 409A shall be made to such participant(s).

     (d) Other Circumstances. Distribution of any amount specifically permitted by Code
Section 409A
and the regulations thereunder.

6.8 Delay in Distributions. Notwithstanding the provisions of any of the foregoing sections in this
Article 6,
the committee may delay the making of any payment due on a specified date to a subsequent date,
provided that the
delayed payment is made not later than the latest time permitted under Code Section 409A and the
regulations and
rulings thereunder (generally, the later of the end of the calendar year in which the specified
payment date occurs or
the 15th day of the third month after the specified payment date).

6.9 Compliance with Code Section 409A. Notwithstanding any other provision of this plan (including,
without limitation, Section 6.7(c)), distributions and elections respecting distributions are
intended to be and will be
administered in accordance with the provisions of Code Section 409A and the regulations and rulings
thereunder
(including the provisions prohibiting acceleration of payment unless specifically permitted by such
regulations and
rulings).

ARTICLE 7

MISCELLANEOUS

7.1 Amendment or Termination of Plan. Biogen Idec, by action of the Board or of the
Compensation Committee (or such other committee thereof or officer or officers of Biogen Idec to
whom the Board or Compensation Committee has delegated this authority), at any time and from time
to time, may amend or modify any or all of the provisions of this plan or may terminate this plan
without the consent of any participant (or beneficiary or other person claiming through a
participant). In addition, any amendment may be made by the committee, or by the Executive Vice
President — Chief Financial Officer, or the Executive Vice President — Human Resources of Biogen
Idec except for an amendment that would materially increase or reduce the benefits of the plan to
participants or materially increase the cost of maintaining the plan to the employers; such
committee or specified officer(s) may not terminate the plan.

13

 

     Notwithstanding the preceding paragraph, no termination or amendment of the plan may reduce
the amounts credited to the accounts of any participant under the plan (including a participant
whose employment with the employer was terminated before such plan termination or amendment) or the
vested percentages of such accounts. However, Biogen Idec may change the deemed investment options
under Section 5.2, and Biogen Idec may upon termination of this plan pay participants’ account
balances to the participants regardless of the times elected for payment (or the start of
installment payments) elected by the participants and may pay such amounts in single sum payments
regardless of whether installment distributions would otherwise be payable under Section 6.6;
provided that any such distributions upon plan termination must be permitted by Code Section 409A
and the regulations and rulings thereunder. In addition, Biogen Idec may, from time to time, make
any amendment that it deems necessary or desirable to satisfy the applicable requirements of the
tax laws and rulings and regulations thereunder in order to preserve, if possible, the tax deferral
features of this plan for participants. No diminution or restriction on a participant’s opportunity
to make elections or withdrawals, or exercise other privileges or rights hereunder, pursuant to the
preceding sentence will be deemed to violate the rights of any participant or beneficiary hereunder
so long as such change does not effect a forfeiture of any of a participant’s account balances
hereunder or render an account balance (or portion thereof) which previously was nonforfeitable
forfeitable. Any amendment that is required by Code Section 409A and the regulations and rulings
thereunder to have a delayed effective date will be effective no earlier than such required date.

7.2 Benefits Not Currently Funded.

     (a) Nothing in this plan will be construed to create a trust or to obligate Biogen Idec to
segregate a
fund, purchase an insurance contract or other investment, or in any other way currently to
fund the future payment of
any benefits hereunder, nor will anything herein be construed to give any participant or any
other person rights to
any specific assets of Biogen Idec or any other entity. However, in order to make provision
for its obligations
hereunder, Biogen Idec (or other employer) may in its discretion purchase an insurance
contract or other investment;
any such contract or investment will be a general asset belonging to Biogen Idec (or other
employer), and no
participant or beneficiary will have any rights to any such asset. The rights of a participant
or beneficiary hereunder
will be solely those of a general, unsecured creditor of his employer.

     (b) Notwithstanding subsection (a) above, Biogen Idec (or other employer) in its sole
discretion may
establish a grantor trust of which it is treated as the owner under Code Section 671 to
provide for the payment of
benefits hereunder, subject to such terms and conditions as Biogen Idec (or other employer)
may deem necessary or
advisable to ensure that trust assets and benefit payments are not includable, by reason of
the trust, in the taxable
income of trust beneficiaries before actual distribution and that the existence of the trust
does not cause the plan or
any other arrangement to be considered funded for purposes of Title I of ERISA. Biogen Idec
may terminate any
such trust in accordance with its terms.

7.3 No Assignment.

     (a) No participant or beneficiary will have any power or right to transfer, assign, anticipate
or otherwise encumber any benefit or amount payable under this plan, nor shall any such benefit
or amount payable be
subject to seizure or attachment by any creditor of a participant or a beneficiary, or to any
other legal, equitable or
other process, or be liable for, or subject to, the debts, liabilities or other obligations of
a participant or beneficiary except as otherwise required by law.

     (b) Notwithstanding subsection (a) above, all or a portion of a participant’s account balances
may be
assigned to the participant’s spouse, former spouse, or other dependent (for purposes of this
section, an “alternate
recipient”) in connection with a domestic relations order (as defined in Code Section 414(p))
awarding such
portion(s) to the alternate recipient. However, no such order may award to an alternate
recipient greater rights than
the participant has with respect to his account. If any portion of an account so assigned is
not fully vested at such
time, such portion will vest only in accordance with the applicable provisions of this plan
based upon the
participant’s years of service. Upon receipt of a copy of the relevant provisions of any such
order or property
settlement agreement, certified or represented to the committee’s satisfaction to be accurate
and in effect, and an
acknowledgment by the alternate recipient that such alternate recipient will be responsible
for income taxes on such
amounts when distributed or made available to such alternate recipient and that such amounts
are subject to income
tax withholding as provided in this plan, and such other information (including the alternate
recipient’s social

14

 

security number) as the committee may reasonably request, the committee will assign such amount to
a separate account hereunder and will distribute such account to the alternate recipient at the
time specified under the domestic relations order (except for any unvested amounts) as provided in
Section 6.7(a).

7.4 Effect of Change in Control.

     (a) Amendments. Notwithstanding Section 7.1, following the occurrence of a change in
control (as
defined in Section 2.8(a)): no amendment will be made following a change in control without
the consent of the
affected participant (or beneficiary or other person claiming through a participant) that
adversely affects the rights of
a participant (or beneficiary or other person claiming through a participant) under the plan
as in effect immediately
before such change in control, including (i) the right to make elections concerning the form
and time of payment of
distributions in accordance with Section 4.4(b) and the right to receive distributions in the
form elected by the
participant thereunder; and (ii) the right to the investment funds or options specified herein
for the determination of
deemed investment results applicable to participants’ accounts, as in effect immediately
before such change in
control. In particular, for purposes of clause (ii) of the preceding sentence: (i) the
committee may not set the rate of
return under Section 5.2(b) at a rate lower than that available under life insurance or
annuity contracts obtained by a
vendor or service provider (currently, The Todd Organization) for purposes of the plan; and
(ii) the committee will
maintain a menu of investment funds under Section 5.2(a) that is substantially similar (in
terms of investment styles
and ability to position account(s) on a risk/reward spectrum) to the array of funds available
immediately prior to the
change in control.

     (b) Termination. The plan will not be terminated before the payment of all benefits
hereunder in
accordance with the terms of the plan as in effect immediately before such change in control
without the consent of
a majority of the participants (including, in the case of the deceased participant, the
beneficiary or other person
claiming through such deceased participant). This subsection (b) will not preclude the merger
of this plan into a
nonqualified deferred compensation plan maintained by a successor to Biogen Idec provided that
the benefits and
rights of participants hereunder (including this Section 7.4) are preserved in such successor
plan.

     (c) Effective Date. This Section 7.4 is effective as of the date of execution of
this amended and restated plan document.

7.5 Responsibilities and Authority of Committee. The committee will control and manage the
operation and
administration of the plan except to the extent that such responsibilities are specifically
assigned hereunder to
Biogen Idec, the Board or the Compensation Committee, or to a specified officer of Biogen Idec.

     The committee will have all powers and authority necessary or appropriate to carry out its
responsibilities for the operation and administration of the plan. It will have discretionary
authority to interpret and apply all plan provisions and may correct any defect, supply any
omission or reconcile any inconsistency or ambiguity in such manner as it deems advisable. It will
make all final determinations concerning eligibility, benefits and rights hereunder, and all other
matters concerning plan administration and interpretation. All determinations and actions of the
committee will be conclusive and binding upon all persons, except as otherwise provided herein or
by law, and except that the committee may revoke or modify a determination or action previously
made in error. It is intended that any action or inaction by the committee will be given the
maximum possible deference by any reviewing body (whether a court or other reviewing body), and
will be reversed by such reviewing court or other body only if found to be arbitrary and
capricious.

     Biogen Idec will be the “plan administrator” and the “named fiduciary” for purposes of ERISA.

7.6 Limitation on Rights Created by Plan. Nothing appearing in the plan will be construed (a) to give any
person any benefit, right or interest except as expressly provided herein, or (b) to create a
contract of employment or to give any employee the right to continue as an employee or to affect or modify his terms of employment in any
way.

7.7 Tax Withholding. Any payment hereunder to a participant, beneficiary or alternate recipient will be
subject to withholding of income and other taxes to the extent required by law.

15

 

7.8 Text Controls. Headings and titles are for convenience only, and the text will control in all
matters.

7.9 Applicable State Law. To the extent that state law applies, the provisions of the plan will be
construed,
enforced and administered according to the laws of the Commonwealth of Massachusetts.

7.10 Paperless Administration. The committee may establish procedures whereby an electronic,
internet or
voice recognized authorization or election will or may be utilized under the plan in lieu a written
form or document
otherwise required by the terms of the plan. In such event, any reference herein to a written
election, authorization
or other form shall be deemed to include such other authorization or election.

BIOGEN IDEC INC.

	 	 	 	 	 
	By:

	 	/s/ Craig Schneier
 

Craig Schneier
	 	 
	 

	 	EVP, HR, Public Affairs & Communications	 	 
	 
	 	 	 	 
	 

	 	10/25/07	 	 
	 

	 	 	 	 
	 

	 	Dated:	 	 

16

 

APPENDIX A 

Historical Information; Amendments

A.1 Adoption of Plan Document. This plan document, effective as of January 1, 2004, was
approved by the Corporation (Biogen Idec Inc.) under the initial name of “Biogen Idec Inc.
Voluntary Executive Supplemental Savings Plan.” Prior to execution of the plan document, the name
of the plan was changed to “Biogen Idec Inc. Supplemental Savings Plan.”

     By appropriate votes, (i) the IDEC Pharmaceuticals Corporation Deferred Compensation Plan
maintained by IDEC Pharmaceuticals Corporation, (ii) the Biogen, Inc. Voluntary Executive
Supplemental Savings Plan maintained by Biogen, Inc., and (iii) the Biogen, Inc. Supplemental
Executive Retirement Plan maintained by Biogen, Inc. prior to the merger transaction, were merged
into this plan.

A.2 2005 Amendment and Restatement. The plan was amended and restated in its entirety,
effective as of January 1, 2005 (except as otherwise specified), primarily to comply with the
requirements of Code Section 409A and regulations thereunder. During the period from January 1,
2005 until the date of execution of this amended and restated plan document, the plan was
interpreted and administered in accordance with a good faith interpretation of the requirements of
Code Section 409A and applicable guidance of the Internal Revenue Service thereunder.

     The provisions herein relating to distributions and other changes upon the occurrence of a
change in control (primarily Sections 2.8(b), 

4.4(b), 6.2 and 7.4) are effective as of the date of
execution of this amended and restated plan document. The provisions relating to full vesting of
all accounts (subsections 5.3(a) and (c)) and the increase in the threshold for the payment of a
lump sum in place of installments from $10,000 to the Code
Section 402(g)(1)(B) and (g)(4) limit
(the last sentence of subsection 6.6(a)) are effective as of January 1, 2008.

APPENDIX B

Biogen, Inc. Supplemental Executive Retirement Plan

B.1 Applicability.

     (a) The provisions of this Appendix B will govern the treatment of transferred Biogen
SERP account balances (or supplemental pension benefit formula benefit under Section 4.1(a) of
the Biogen SERP, if applicable) of persons who were entitled to a benefit under the Biogen SERP
but who were not active employees of Biogen Idec or any of its subsidiaries or other affiliates as
of the date of transfer. To the extent that the provisions of this Appendix B are applicable, they
will govern over any other provisions of this plan.

          A participant whose Biogen SERP account (or supplemental pension formula benefit, if
applicable) is governed by this Appendix will be referred to as an “Appendix B
participant.”

     (b) This Appendix B will not apply to any transferred Biogen SERP account balances of any
person
who was an active employee of Biogen Idec (or any of its subsidiaries or other affiliates) as
of the date of transfer as
described in Section 3.1(c) and 5.1(e). The other provisions of this plan (including, without
limitation, the crediting
of deemed investment experience and the distribution provisions) will govern such transferred
SERP account
balance.

     (c) For purposes of Code Section 409A, this Appendix B will be treated as a separate
grandfathered
non-qualified deferred compensation plan not subject to the requirements of such section.

B.2 Amount Transferred.

     For an Appendix B participant in the excess benefit formulas in Section 4.2 of the Biogen
SERP, the amount transferred from the Biogen SERP to this plan on behalf of an Appendix B
participant was the vested

A-1 

 

amount in the Appendix B participant’s Biogen SERP account as of his or her date of termination of
employment, with subsequent interest credits on such amounts in accordance with the terms of the
Biogen SERP. The full vesting provisions of Section 5.3(e) of this plan will not apply to an
Appendix B participant.

B.3 Interest Credits.

     For an Appendix B participant described in Section B.2, interest credits shall continue to be
added to each such Appendix B participant’s Biogen SERP account as of the last day of the plan year
based on the amount of the participant’s Biogen SERP account balance as of the first day of the
plan year in the same manner as interest credits were added before such transfer.

     The annual rate of interest used to determine the interest credit shall be the annual average
of the yield on the one-year Treasury Bill constant maturity rate for the preceding plan year plus
100 basis points. However, in no event shall the annual interest rate be less than 5.25% or more
than 10.0%.

     Notwithstanding the foregoing, for any plan year in which a plan benefit commences, an
interest credit shall be added on the amount of the participant’s Biogen SERP account balance as of
the first day of the plan year for the period from the first day of such plan year until the
participant’s expected date of distribution. The interest rate shall be the annual interest rate as
described above multiplied by the number of complete months since the end of the prior plan year
divided by 12. Interest credits shall continue to be made during any period in which payment of an
Appendix B participant’s benefit is being deferred. In no event will interest credits be made after
benefits have commenced.

B.4 Distributions.

     An Appendix B participant’s Biogen SERP account (or supplemental pension formula benefit, if
applicable) will be paid in the same form and beginning at approximately the same time that his
benefit under the Retirement Plan is payable, subject to the following rules. Notwithstanding the
preceding sentence, if a participant elects a lump sum form of payment under the Retirement Plan,
payment in such form under this plan will be subject to the approval of the committee.

     (a) Annuity Options. If an Appendix B participant’s Biogen SERP account balance (or
supplemental
pension formula benefit, if applicable) is payable in any form other than a lump sum, the
actuarial factors used to
convert his Biogen SERP account balance to such other form of payment will be the same as the
factors used for
such purpose in the Retirement Plan.

     (b) Lump Sum. If an Appendix B participant’s Biogen SERP account is payable in a
single sum, the
payment amount is the amount credited to the participant’s account as of the date of payment,
with interest credits
hereunder to such date (or as close thereto as is practicable). For a participant with a
supplemental pension benefit
under Section 4.1(a) of the Biogen SERP, the amount of lump sum payment shall be the
supplemental pension
amount converted to a single lump sum using the assumptions set forth in the Biogen Retirement
Plan for such
purpose.

     (c) Lump Sum Override. Notwithstanding the preceding provisions of this
section, if an Appendix B participant’s Biogen SERF account balance (or lump sum value of his
supplemental pension benefit, if applicable) is $10,000 or less as of the date that distribution
would be made, such amount will be paid in the form of a lump sum payment.

B.5 Death Benefits.

     (a) Applicability of this Section. This section specifies the benefits payable upon
the death of an
Appendix B participant, either before or after the date his benefit payments hereunder begin.
Except as specified in
this section, no benefits are payable upon the death of an Appendix B participant.

     (b) Preretirement Death Benefits. If an Appendix B participant dies before the date
when his Biogen
SERP account balance is converted to an annuity or paid to such participant, his beneficiary
will receive payment of

B-2 

 

the participant’s Biogen SERP account balance (or value of supplemental pension benefit, if
applicable). Such amount will be paid in a single payment to the beneficiary.

     (c) Death After Benefit Payments Begin. If a participant dies while receiving
benefit payments hereunder, his surviving spouse, contingent annuitant or beneficiary will receive
the benefit, if any, payable under the form of payment in effect for such participant.

B-3

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