Document:

NORTHROP GRUMMAN ERISA SUPPLEMENTAL PLAN

 Exhibit 10(l) 
 NORTHROP GRUMMAN 
 ERISA SUPPLEMENTAL PLAN 

(Amended and Restated Effective as of January 1, 2012) 

 TABLE OF CONTENTS 

 

							
	 INTRODUCTION
	  	 	2	  
			
	Article I	 	Definitions	  	 	2	  
	 1.01
	 	Affiliated Companies	  	 	2	  
	 1.02
	 	CIC Plans	  	 	2	  
	 1.03
	 	Code	  	 	2	  
	 1.04
	 	Company	  	 	2	  
	 1.05
	 	Grandfathered Amounts	  	 	2	  
	 1.06
	 	Key Employee	  	 	2	  
	 1.07
	 	Participant	  	 	3	  
	 1.08
	 	Payment Date	  	 	3	  
	 1.09
	 	Plan	  	 	3	  
	 1.10
	 	Pension Plan Benefits	  	 	3	  
	 1.11
	 	Pension Plan	  	 	3	  
	 1.12
	 	Separation from Service	  	 	3	  
	 1.13
	 	Termination of Employment	  	 	3	  
			
	 Article II
	 	Eligibility for and Amount of Benefits	  	 	4	  
	 2.01
	 	Purpose	  	 	4	  
	 2.02
	 	Eligibility	  	 	4	  
	 2.03
	 	Amount of Benefit	  	 	4	  
	 2.04
	 	Preretirement Surviving Spouse Benefit	  	 	5	  
	 2.05
	 	Forms and Times of Benefit Payments	  	 	5	  
	 2.06
	 	Beneficiaries and Spouses	  	 	6	  
	 2.07
	 	Plan Termination	  	 	6	  
	 2.08
	 	Pension Plan Benefits	  	 	6	  
	 2.09
	 	Mandatory Cashout	  	 	7	  
	 2.10
	 	Optional Payment Forms	  	 	7	  
	 2.11
	 	Special Tax Distribution	  	 	7	  
			
	 Article III
	 	Lump Sum Election	  	 	8	  
	 3.01
	 	In General	  	 	8	  
	 3.02
	 	Retirees Election	  	 	8	  
	 3.03
	 	Retirees Lump Sum	  	 	9	  
	 3.04
	 	Actives Election	  	 	10	  
	 3.05
	 	Actives Lump Sum – Retirement Eligible	  	 	10	  
	 3.06
	 	Actives Lump Sum – Not Retirement Eligible	  	 	12	  
	 3.07
	 	Lump Sums with CIC Severance Plan Election	  	 	12	  
	 3.08
	 	Calculation of Lump Sum	  	 	12	  
	 3.09
	 	Spousal Consent	  	 	13	  

  
 i 

							
	 Article IV
	 	Miscellaneous	  	 	13	  
	 4.01
	 	Amendment and Plan Termination	  	 	14	  
	 4.02
	 	Not an Employment Agreement	  	 	14	  
	 4.03
	 	Assignment of Benefits	  	 	14	  
	 4.04
	 	Nonduplication of Benefits	  	 	15	  
	 4.05
	 	Funding	  	 	15	  
	 4.06
	 	Construction	  	 	15	  
	 4.07
	 	Governing Law	  	 	15	  
	 4.08
	 	Actions By Company and Claims Procedures	  	 	15	  
	 4.09
	 	Plan Representatives	  	 	16	  
	 4.10
	 	Number	  	 	16	  
	 4.11
	 	2001 Reorganization	  	 	16	  
	 4.12
	 	Liabilities Transferred to HII	  	 	16	  
		
	 APPENDIX A – 2005-2007 TRANSITION RULES
	  	 	18	  
	 A.01
	 	Election	  	 	18	  
	 A.02
	 	2005 Commencements	  	 	18	  
	 A.03
	 	2006 and 2007 Commencements	  	 	19	  
		
	 APPENDIX B – POST 2007 DISTRIBUTION OF 409A AMOUNTS
	  	 	20	  
	 B.01
	 	Time of Distribution	  	 	20	  
	 B.02
	 	Special Rule for Key Employees	  	 	20	  
	 B.03
	 	Forms of Distribution	  	 	20	  
	 B.04
	 	Death	  	 	20	  
	 B.05
	 	Actuarial Assumptions	  	 	21	  
	 B.06
	 	Accelerated Lump Sum Payouts	  	 	21	  
	 B.07
	 	Effect of Early Taxation	  	 	22	  
	 B.08
	 	Permitted Delays	  	 	22	  
		
	 APPENDIX C – COMMITTEES AND APPOINTMENTS
	  	 	23	  

  
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 INTRODUCTION 
 The Northrop Grumman ERISA Supplemental Plan (the “Plan”), formerly known as the Northrop Corporation ERISA Supplemental Plan 1, is hereby amended and restated effective as of January 1,
2012. This restatement amends the January 1, 2011 restatement of the Plan and includes changes that apply to Grandfathered Amounts. 
 The Plan is intended to comply with Code section 409A and official guidance issued thereunder (except for Grandfathered Amounts). Notwithstanding any other provision of this Plan, this Plan shall be
interpreted, operated and administered in a manner consistent with this intention. 
 ARTICLE I 

Definitions 
 For
purposes of the Plan, the following terms, when capitalized, will have the following meanings: 
  

	1.01	Affiliated Companies. The Company and any other entity related to the Company under the rules of section 414 of the Code. The Affiliated Companies include
Northrop Grumman Corporation and its 80%-owned subsidiaries and may include other entities as well. 

  

	1.02	CIC Plans. Northrop Grumman Corporation Change-In-Control Severance Plan (effective August 1, 1996, as amended) or the Northrop Grumman Corporation March
2000 Change-In-Control Severance Plan. 

  

	1.03	Code. The Internal Revenue Code of 1986, as amended. 

  

	1.04	Company. The Company as designated in the Pension Plans. 

  

	1.05	Grandfathered Amounts. Plan benefits that were earned and vested as of December 31, 2004 within the meaning of Code section 409A and official guidance
thereunder. 

  

	1.06	 Key Employee. An employee treated as a “specified employee” under Code section 409A(a)(2)(B)(i) of the Company or the Affiliated
Companies (i.e., a key employee (as defined in Code section 416(i) without regard to paragraph (5) thereof)) if the Company’s or an Affiliated Company’s stock is publicly traded on an established securities market or otherwise. The
Company shall determine in accordance with a uniform Company policy which Participants are Key Employees as of each December 31 in accordance with IRS regulations or other guidance under Code section 409A, provided that in determining the
compensation of individuals for this purpose, the definition of compensation in Treas. Reg. § 1.415(c)-2(d)(3) shall be 

  
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used. Such determination shall be effective for the twelve (12) month period commencing on April 1 of the following year. 

 

	1.07	Participant. Any employee who (a) is eligible for benefits under one or both Pension Plans, (b) meets the eligibility requirements of Section 2.02
of this Plan and (c) and has not received full payment under the Plan. 

  

	1.08	Payment Date. The 1st of the month coincident with or following the later of (a) the date the Participant attains age 55, or (b) the date the
Participant Separates from Service. 

  

	1.09	Plan. The Northrop Grumman ERISA Supplemental Plan, formerly known as the Northrop Corporation ERISA Supplemental Plan 1. 

 

	1.10	Pension Plan Benefits. This term is defined in Section 2.08 of this Plan. 

 

	1.11	Pension Plan and Pension Plans. Any of the following: 

  

	 	(a)	The Northrop Grumman Retirement Plan 

  

	 	(b)	The Northrop Grumman Retirement Plan—Rolling Meadows Site 

  

	 	(c)	The Northrop Grumman Retirement Value Plan (effective as of January 1, 2000) 

 

	 	(d)	The Northrop Grumman Electronics Systems – Space Division Salaried Employees’ Pension Plan (effective as of the Aerojet Closing Date)

  

	 	(e)	The Northrop Grumman Electronics Systems – Space Division Union Employees’ Pension Plan (effective as of the Aerojet Closing Date) 

“Aerojet Closing Date” means the Closing Date specified in the April 19, 2001 Asset Purchase Agreement by and Between
Aerojet-General Corporation and Northrop Grumman Systems Corporation. 
  

	1.12	Separation from Service or Separates from Service. A “separation from service” within the meaning of Code section 409A.

  

	1.13	Termination of Employment. Complete termination of employment with the Affiliated Companies. 

 

	 	(a)	If a Participant leaves one Affiliated Company to go to work for another, he or she will not have a Termination of Employment. 

 

	 	(b)	A Participant will have a Termination of Employment if he or she leaves the Affiliated Companies because the affiliate he or she works for ceases to be an Affiliated
Company because it is sold or spunoff. 

  
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 ARTICLE II 
 Eligibility for and Amount of Benefits 
  

	2.01	Purpose. The purpose of this Plan is simply to restore to employees of the Company the benefits they lose under the Pension Plans as a result of the benefit
limits in Code section 415, as amended, or any successor section (“section 415”), as the benefit limits are described in the applicable Pension Plan. 

 

	2.02	Eligibility. Each Participant is eligible to receive a benefit under this Plan if: 

 

	 	(a)	he or she has vested in benefits under one or more of the Pension Plans; 

  

	 	(b)	he or she has vested benefits reduced because of the application of section 415; 

 

	 	(c)	he or she is not eligible to receive a benefit under the Northrop Corporation Supplemental Retirement Income Program for Senior Executives or any other plan or program
which bars an employee from participation in this Plan; and 

  

	 	(d)	he or she is not a “Participant” in the Charles H. Noski Executive Retirement Plan as that term is defined under that plan. 

 

	2.03	Amount of Benefit. The benefit payable from the Company under this Plan to a Participant will equal the retirement benefit, if any, which would have been payable
to the Participant under the terms of a Pension Plan but for the restrictions of section 415 (as described in the applicable Pension Plan). 

 The benefit payable under this Plan will be reduced by the amount of Pension Plan Benefits attributable to the applicable Pension Plan. 

Benefits under this Plan will only be paid to supplement benefit payments actually made from a Pension Plan. If benefits are not payable
under a Pension Plan because the Participant has failed to vest or for any other reason, no payments will be made under this Plan with respect to such Pension Plan. 
 In no event, however, (1) will this Plan pay any amount of a Participant’s retirement benefit, if any, attributable to the “2000 Ad Hoc Increase for Retirees” Appendix added to certain
of the Company’s tax-qualified plans pursuant to the Board of Directors resolution adopted May 17, 2000, or (2) will a Participant be entitled to a benefit (or an increased benefit) from or as a result of participation in this Plan
under the Board of Directors resolution adopted May 17, 2000. 
 The following shall not be considered as compensation for
purposes of determining the amount of any benefit under the Plan: 

  
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	 	(1)	any payment authorized by the Compensation Committee that is (a) calculated pursuant to the method for determining a bonus amount under the Annual Incentive Plan
(AIP) for a given year, and (b) paid in lieu of such bonus in the year prior to the year the bonus would otherwise be paid under the AIP, and 

  

	 	(2)	any award payment under the Northrop Grumman Long-Term Incentive Cash Plan. 

 

	2.04	Preretirement Surviving Spouse Benefit. This Section only applies to Grandfathered Amounts. 

Preretirement surviving spouse benefits will be payable under this Plan on behalf of a Participant if such Participant’s surviving
spouse is eligible for preretirement surviving spouse benefits payable from a Pension Plan. The benefit payable will be the amount which would have been payable under the Pension Plan but for the restrictions of section 415 (as described in the
applicable Pension Plan). 
 The benefit payable under this Plan will be reduced by the amount of Pension Plan Benefits
attributable to the applicable Pension Plan. 
 No benefit will be payable under this Plan with respect to a spouse after the
death of that spouse. 
 See Appendix A and Appendix B for the rules that apply to other benefits earned under the Plan.

  

	2.05	Forms and Times of Benefit Payments. This Section only applies to Grandfathered Amounts. 

The Company will determine the form and timing of benefit payments in its sole discretion. However, for payments made to supplement those
of a particular Pension Plan, the Company will only select among the options available under that Pension Plan, and using the same actuarial adjustments used in that Pension Plan except in cases of lump sums. 

Whenever the present value of the amount payable under the Plan does not exceed $10,000, it will be paid in the form of a single lump sum
as of the first of the month following Termination of Employment. The lump sum will be calculated using the factors and methodology described in Section 3.08 below. (See Section 2.09 for the rule that applies as of January 1, 2008).

 No payments will commence under this Plan until a Participant has a Termination of Employment, even in cases where benefits
have commenced under a Pension Plan for Participants over age 70-1/2. 
 See Appendix A and Appendix B for the rules that apply
to other benefits earned under the Plan. 

  
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	2.06	Beneficiaries and Spouses. This Section only applies to Grandfathered Amounts. 

If the Company selects a form of payment which includes a survivor benefit, the Participant may make a beneficiary designation, which may
be changed at any time prior to commencement of benefits. A beneficiary designation must be in writing and will be effective only when received by the Company. 
 If a Participant is married on the date his or her benefits are scheduled to commence, his or her beneficiary will be his or her spouse unless some other beneficiary is named with spousal consent. Spousal
consent, to be effective, must be submitted in writing before benefits commence and must be witnessed by a Plan representative or notary public. No spousal consent is necessary if the Company determines that there is no spouse or that the spouse
cannot be found. 
 The Participant’s spouse will be the spouse as determined under the underlying Pension Plan. 

See Appendix A and Appendix B for the rules that apply to other benefits earned under the Plan. 

 

	2.07	Plan Termination. No further benefits may be earned under this Plan with respect to a particular Pension Plan after the termination of such Pension Plan.

  

	2.08	Pension Plan Benefits. The term “Pension Plan Benefits” generally means the benefits actually payable to a Participant, spouse, beneficiary or
contingent annuitant under a Pension Plan. However, this Plan is only intended to remedy pension reductions caused by the operation of section 415 and not reductions caused for any other reason. In those instances where pension benefits are reduced
for some other reason, the term “Pension Plan Benefits” shall be deemed to mean the benefits that would have been actually payable but for such other reason. 

Examples of such other reasons include, but are not limited to, the following: 

 

	 	(a)	A reduction in pension benefits as a result of a distress termination (as described in ERISA § 4041(c) or any comparable successor provision of law) of a Pension
Plan. In such a case, the Pension Plan Benefits will be deemed to refer to the payments that would have been made from the Pension Plan had it terminated on a fully funded basis as a standard termination (as described in ERISA § 4041(b) or any
comparable successor provision of law). 

  

	 	(b)	A reduction of accrued benefits as permitted under Code section 412(c)(8), as amended, or any comparable successor provision of law. 

 

	 	(c)	A reduction of pension benefits as a result of payment of all or a portion of a Participant’s benefits to a third party on behalf of or with respect to a
Participant. 

  
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	2.09	Mandatory Cashout. Notwithstanding any other provisions in the Plan, Participants with Grandfathered Amounts who have not commenced payment of such benefits
prior to January 1, 2008 will be subject to the following rules: 

  

	 	(a)	Post-2007 Terminations. Participants who have a Termination of Employment after 2007 will receive a lump sum distribution of the present value of their
Grandfathered Amounts within two months of Termination of Employment (without interest), if such present value is below the Code section 402(g) limit in effect at the Termination of Employment. 

 

	 	(b)	Pre-2008 Terminations. Participants who had a Termination of Employment before 2008 will receive a lump sum distribution of the present value of their
Grandfathered Amounts within two months of the time they commence payment of their underlying qualified pension plan benefits (without interest), if such present value is below the Code section 402(g) limit in effect at the time such payments
commence. 

 For purposes of calculating present values under this Section, the actual assumptions and calculation
procedures for lump sum distributions under the Northrop Grumman Pension Plan shall be used. 
  

	2.10	Optional Payment Forms. Participants with Grandfathered Amounts shall be permitted to elect (a) or (b) below: 

 

	 	(a)	To receive their Grandfathered Amounts in any form of distribution available under the Plan at October 3, 2004, provided that form remains available under the
underlying qualified pension plan at the time payment of the Grandfathered Amounts commences. The conversion factors for these distribution forms will be based on the factors or basis in effect under this Plan on October 3, 2004.

  

	 	(b)	To receive their Grandfathered Amounts in any life annuity form not included in (a) above but included in the underlying qualified pension plan distribution
options at the time payment of the Grandfathered Amounts commences. The conversion factors will be based on the following actuarial assumptions: 

  

			
	  Interest Rate:
	  	6%
		
	  Mortality Table:
	  	RP-2000 Mortality Table projected 15 years for future standardized cash balance factors

  

	2.11	Special Tax Distribution. On the date a Participant’s retirement benefit is reasonably ascertainable within the meaning of IRS regulations under Code
section 3121(v)(2), an amount equal to the Participant’s portion of the FICA tax withholding will be distributed in a single lump sum payment. This payment will be based on all benefits under the Plan, including Grandfathered Amounts.

  
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 This payment will reduce the Participant’s future benefit payments under the Plan on an
actuarial basis. 
 ARTICLE III 
 Lump Sum Election 
 This Article only applies with respect to Grandfathered
Amounts. See Appendix A and Appendix B for the distribution rules that apply to other benefits earned under the Plan. 
  

	3.01	In General. This Article sets forth the rules under which Participants may elect to receive their benefits in a lump sum. Except as provided in
Section 3.08, this Article does not apply to active employees (as defined in Section 3.04) in cases where benefits are automatically payable in lump sum form under Article II. 

 

	3.02	Retirees Election. Participants and Participants’ beneficiaries already receiving monthly benefits under the Plan at its inception will be given a one-time
opportunity to elect a lump sum payout of future benefit payments. 

  

	 	(a)	The election must be made within a 60-day period determined by the Company. Within its discretion, the Company may delay the commencement of the 60-day period in
instances where the Company is unable to timely communicate with a particular payee. 

  

	 	(b)	The determination as to whether a payee is already receiving monthly benefits will be made at the beginning of the 60-day period. 

 

	 	(c)	An election to take a lump sum must be accompanied by a waiver of the existing retiree medical benefits by those Participants (and their covered spouses or surviving
spouses) entitled either to have such benefits entirely paid for by the Company or to receive such benefits as a result of their classification as an employee under Executive Class Code II. 

Following the waiver, waiving Participants (and covered spouses or surviving spouses) will be entitled to the coverage offered to
employees who are eligible for Senior Executive Retirement Insurance Benefits in effect as of July 1, 1993. 
  

	 	(d)	If the person receiving payments as of the beginning of the 60-day period dies prior to making a lump sum election, his or her beneficiary, if any, may not make the
lump sum election. 

  

	 	(e)	Elections to receive a lump sum (and waivers under (c)) must be made in writing and must include spousal consent if the payee (whether the Participant or beneficiary)
is married. Elections and spousal consent must be witnessed by a Plan representative or a notary public. 

  
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	 	(f)	An election (with spousal consent, where required) to receive the lump sum made at any time during the 60-day period will be irrevocable. If no proper election has been
made by the end of the 60-day period, payments will continue unchanged in the monthly form that had previously been applicable. 

  

	3.03	Retirees Lump Sum. If a retired Participant or beneficiary makes a valid election under Section 3.02 within the 60-day period, monthly payments will
continue in the previously applicable form for 12 months (assuming the payees live that long). 

  

	 	(a)	 As of the first of the
13th month, the present value of the remaining benefit
payments will be paid in a single lump sum to the Participant, if alive, or, if not, to the beneficiary under the previously applicable form of payment. 

 

	 	(b)	No lump sum payment will be made if: 

  

	 	(1)	The Participant is receiving monthly benefit payments in a form that does not provide for survivor benefits and the Participant dies before the time the lump sum
payment is due. 

  

	 	(2)	The Participant is receiving monthly benefit payments in a form that does provide for survivor benefits but the Participant and the beneficiary die before the time the
lump sum payment is due. 

  

	 	(c)	The following rules apply where payment is being made in the form of a 10-year certain and continuous life annuity option: 

 

	 	(1)	If the Participant is deceased at the commencement of the 60-day election period, the surviving beneficiary may not make the election if there are less than 13 months
left in the 10-year certain period. 

  

	 	(2)	If the Participant elects the lump sum and dies prior to the first of the 13th month: 

 

	 	(A)	if the 10-year certain period has already ended, all monthly payments will cease at the Participant’s death and no lump sum payment will be made;

  

	 	(B)	 if the 10-year certain period ends after the Participant’s death and before the beginning of the 13th month, monthly payments will end at the end of the 10-year certain
period and no lump sum payment will be made; and 

  

	 	(C)	 if the 10-year certain period ends after the beginning of the 13th month, monthly payments will continue through the 12th month, and a lump sum payment will be made as of the first of the 13th month, equal to the present value of the remaining benefit payments.

  
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	3.04	Actives Election. Active Participants may elect to have their benefits paid in the form of a single lump sum under this Section. 

 

	 	(a)	A Participant is considered to be “Active” under this Section if he or she is still employed by the Affiliated Companies on or after the beginning of the
initial 60-day period referred to in Section 3.02. 

  

	 	(b)	An election to take a lump sum may be made at any time during the 60-day period prior to Termination of Employment and covers both – 

 

	 	(1)	Benefits payable to the Participant during his or her lifetime, and 

  

	 	(2)	Survivor benefits (if any) payable to the Participant’s beneficiary, including preretirement death benefits (if any) payable to the Participant’s spouse.

  

	 	(c)	An election does not become effective until the earlier of 

  

	 	(1)	the Participant’s Termination of Employment, or 

  

	 	(2)	the Participant’s death. 

Before the election becomes effective, it may be revoked. 
 If a Participant does not have a Termination of Employment within 60 days after making an election, the election will never take effect. 

 

	 	(d)	An election may only be made once. If it fails to become effective after 60 days or is revoked before becoming effective, it cannot be made again at a later time.

  

	 	(e)	After a Participant has a Termination of Employment, no election can be made. 

 

	 	(f)	If a Participant dies before making a lump sum election, his or her spouse may not make a lump sum election with respect to any benefits which may be due the spouse.

  

	 	(g)	Elections to receive a lump sum must be made in writing and must include spousal consent if the Participant is married. Elections and spousal consent must be witnessed
by a Plan representative or a notary public. 

  

	3.05	Actives Lump Sum – Retirement Eligible. If a Participant with a valid lump sum election in effect under Section 3.04 has a Termination of Employment
after he or she is entitled to commence benefits under the Pension Plans, payments will be made in accordance with this Section. 

  
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	 	(a)	Monthly benefit payments will be made for up to 12 months, commencing the first of the month following Termination of Employment. Payments will be made:

  

	 	(1)	in the case of a Participant who is not married on the date benefits are scheduled to commence, based on a straight life annuity for the Participant’s life and
ceasing upon the Participant’s death should he or she die before the 12 months elapse, or 

  

	 	(2)	in the case of a Participant who is married on the date benefits are scheduled to commence, based on a joint and survivor annuity form –

  

	 	(A)	with the survivor benefit equal to 50% of the Participant’s benefit; 

  

	 	(B)	with the Participant’s spouse as the survivor annuitant; 

  

	 	(C)	determined by using the contingent annuitant option factors used to convert straight life annuities to 50% joint and survivor annuities under the Northrop Retirement
Plan; and 

  

	 	(D)	with all payments ceasing upon the death of both the Participant and his or her spouse should they die before the 12 months elapse. 

 

	 	(b)	 As of the first of the
13th month, the present value of the remaining benefit
payments will be paid in a single lump sum. Payment of the lump sum will be made to the Participant if he or she is still alive, or, if not, to his or her surviving spouse, if any. 

 

	 	(c)	No lump sum payment will be made if: 

  

	 	(1)	The Participant is receiving monthly benefit payments in the form of a straight life annuity and the Participant dies before the time the lump sum payment is due.

  

	 	(2)	The Participant is receiving monthly benefit payments in a joint and survivor annuity form and the Participant and his or her spouse both die before the time the lump
sum payment is due. 

  

	 	(d)	A lump sum will be payable to a Participant’s spouse as of the first of the month following the date of the Participant’s death, if: 

 

	 	(1)	the Participant dies after making a valid lump sum election but prior to commencement of any benefits under this Plan; 

 

	 	(2)	the Participant is survived by a spouse who is entitled to a preretirement surviving spouse benefit under this Plan; and 

  
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	 	(3)	the spouse survives to the first of the month following the date of the Participant’s death. 

 

	3.06	Actives Lump Sum – Not Retirement Eligible. If a Participant with a valid lump sum election in effect under Section 3.04, has a Termination of
Employment before he or she is entitled to commence benefits under the Pension Plans, payments will be made in accordance with this Section. 

  

	 	(a)	No monthly benefit payments will be made. 

  

	 	(b)	Following Termination of Employment, a single lump sum payment of the benefit will be made on the first of the month following 12 months after the date of the
Participant’s Termination of Employment. 

  

	 	(c)	A lump sum will be payable to a Participant’s spouse as of the first of the month following the date of the Participant’s death, if: 

 

	 	(1)	the Participant dies after making a valid lump sum election but prior to commencement of any benefits under this Plan; 

 

	 	(2)	the Participant is survived by a spouse who is entitled to a preretirement surviving spouse benefit under this Plan; and 

 

	 	(3)	the spouse survives to the first of the month following the date of the Participant’s death. 

 

	 	(d)	No lump sum payment will be made if the Participant is unmarried at the time of death and dies before the time the lump sum payment is due. 

 

	3.07	Lump Sums with CIC Severance Plan Election. A Participant who elects lump sum payments of all his or her nonqualified benefits under the CIC Plans is entitled to
have his or her benefits paid as a lump sum calculated under the terms of the applicable CIC Plan. Otherwise, benefit payments are governed by the general provisions of this Article, which provide different rules for calculating the amount of lump
sum payments. 

  

	3.08	Calculation of Lump Sum. The factors to be used in calculating the lump sum are as follows: 

Interest: Whichever of the following two rates that produces the smaller lump sum: 

 

	 	(1)	the discount rate used by the Company for purposes of Statement of Financial Accounting Standards No. 87 of the Financial Accounting Standards Board as disclosed
in the Company’s annual report to shareholders for the year end immediately preceding the date of distribution, or 

  
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	 	(2)	the applicable interest rate that would be used to calculate a lump sum value for the benefit under the Pension Plans. 

Mortality: the applicable mortality table that would be used to calculate a lump sum value for the benefit under the Northrop
Grumman Retirement Plan. 
 Increase in Section 415 Limit: 4% per year. 

Age: Age rounded to the nearest month on the date the lump sum is payable. 

Variable Unit Values: Variable Unit Values are presumed not to increase for future periods after the date the lump sum is payable.

 The annuity to be converted to a lump sum will be the remaining annuity currently payable to the Participant or his or her
beneficiary at the time the lump sum is due. 
 For example, assume a Participant is receiving benefit payments in the form of a
50% joint and survivor annuity. 
 If the Participant and the survivor annuitant are both still alive at the time the lump sum
payment is due, the present value calculation will be based on the remaining benefits that would be paid to both the Participant and the survivor in the annuity form. 
 If only the survivor is alive, the calculation will be based solely on the remaining 50% survivor benefits that would be paid to the survivor. 

If only the Participant is alive, the calculation will be based solely on the remaining benefits that would be paid to the Participant.

 In the case of a Participant who dies prior to commencement of benefits under this Plan so that only a preretirement surviving
spouse benefit (if any) is payable, the lump sum will be based solely on the value of the preretirement surviving spouse benefit. 
 In the case of a lump-sum under Section 3.07 (related to lump sums with a CIC Severance Plan election), the lump-sum amount will be calculated as described in that section and the rules of this
Section 3.08 are not used. 
  

	3.09	Spousal Consent. Spousal consent, as required for elections as described above, need not be obtained if the Company determines that there is no spouse or the
spouse cannot be located. 

 ARTICLE IV 
 Miscellaneous 

  
 - 13 -

	4.01	Amendment and Plan Termination. The Company may, in its sole discretion, terminate, suspend or amend this Plan at any time or from time to time, in whole or in
part for any reason. This includes the right to amend or eliminate any of the provisions of the Plan with respect to lump sum distributions, including any lump sum calculation factors, whether or not a Participant has already made a lump sum
election. Notwithstanding the foregoing, no amendment or termination of the Plan shall reduce the amount of a Participant’s accrued benefit under the Plan as of the date of such amendment or termination. 

No amendment of the Plan shall apply to the Grandfathered Amounts, unless the amendment specifically provides that it applies to such
amounts. The purpose of this restriction is to prevent a Plan amendment from resulting in an inadvertent “material modification” to the Grandfathered Amounts. 
 The Company may, in its sole discretion, seek reimbursement from the Pension Plans to the extent this Plan pays Pension Plan Benefits to which Participants were entitled to or became entitled to under the
Pension Plans. 
  

	4.02	Not an Employment Agreement. Nothing contained in this Plan gives any Participant the right to be retained in the service of the Company, nor does it interfere
with the right of the Company to discharge or otherwise deal with Participants without regard to the existence of this Plan. 

  

	4.03	Assignment of Benefits. A Participant, surviving spouse or beneficiary may not, either voluntarily or involuntarily, assign, anticipate, alienate, commute, sell,
transfer, pledge or encumber any benefits to which he or she is or may become entitled under the Plan, nor may Plan benefits be subject to attachment or garnishment by any of their creditors or to legal process. 

Notwithstanding the foregoing, all or a portion of a Participant’s benefit may be paid to another person as specified in a domestic
relations order that the plan administrator determines is qualified (a “Qualified Domestic Relations Order”). For this purpose, a Qualified Domestic Relations Order means a judgment, decree, or order (including the approval of a settlement
agreement) which is: 
  

	 	(1)	issued pursuant to a State’s domestic relations law; 

  

	 	(2)	relates to the provision of child support, alimony payments or marital property rights to a spouse, former spouse, child or other dependent of the Participant;

  

	 	(3)	creates or recognizes the right of a spouse, former spouse, child or other dependent of the Participant to receive all or a portion of the Participant’s benefits
under the Plan; and 

  

	 	(4)	meets such other requirements established by the plan administrator. 

 The plan administrator shall determine whether any document received by it is a Qualified Domestic Relations Order. In making this determination, the plan

  
 - 14 -

 
administrator may consider the rules applicable to “domestic relations orders” under Code section 414(p) and ERISA section 206(d), and such other rules and procedures as it deems
relevant. 
  

	4.04	Nonduplication of Benefits. This Section applies if, despite Section 4.03, with respect to any Participant (or his or her beneficiaries), the Company is
required to make payments under this Plan to a person or entity other than the payees described in the Plan. In such a case, any amounts due the Participant (or his or her beneficiaries) under this Plan will be reduced by the actuarial value of the
payments required to be made to such other person or entity. 

 Actuarial value will be determined using the
factors and methodology described in Section 3.08 above (in the case of lump sums) and using the actuarial assumptions in the underlying Pension Plan in all other cases. 
 In dividing a Participant’s benefit between the Participant and another person or entity, consistent actuarial assumptions and methodologies will be used so that there is no increased actuarial cost
to the Company. 
  

	4.05	Funding. Participants have the status of general unsecured creditors of the Company and the Plan constitutes a mere promise by the Company to make benefit
payments in the future. The Company may, but need not, fund benefits under the Plan through a trust. If it does so, any trust created by the Company and any assets held by the trust to assist it in meeting its obligations under the Plan will conform
to the terms of the model trust, as described in Internal Revenue Service Revenue Procedure 92-64, but only to the extent required by Internal Revenue Service Revenue Procedure 92-65. It is the intention of the Company and Participants that the Plan
be unfunded for tax purposes and for purposes of Title I of ERISA. 

 Any funding of benefits under this Plan will
be in the Company’s sole discretion. The Company may set and amend the terms under which it will fund and may cease to fund at any time. 
  

	4.06	Construction. The Company shall have full discretionary authority to determine eligibility and to construe and interpret the terms of the Plan, including the
power to remedy possible ambiguities, inconsistencies or omissions. 

  

	4.07	Governing Law. This Plan shall be governed by the law of the State of California, except to the extent superseded by federal law. 

 

	4.08	Actions By Company and Claims Procedures. Any powers exercisable by the Company under the Plan shall be utilized by written resolution adopted by the Board of
Directors or its delegate. The Board may by written resolution delegate any of the Company’s powers under the Plan and any such delegations may provide for subdelegations, also by written resolution. 

  
 - 15 -

 The Company’s standardized “Northrop Grumman Nonqualified Retirement Plans Claims
and Appeals Procedures” shall apply in handling claims and appeals under this Plan. 
  

	4.09	Plan Representatives. Those authorized to act as Plan representatives will be designated in writing by the Board of Directors or its delegate.

  

	4.10	Number. The singular, where appearing in this Plan, will be deemed to include the plural, unless the context clearly indicates the contrary.

  

	4.11	2001 Reorganization. Effective as of the 2001 Reorganization Date in (d), the corporate structure of Northrop Grumman Corporation and its affiliates was
modified. Effective as of the Litton Acquisition Date in (e), Litton Industries, Inc. was acquired and became a subsidiary of the Northrop Grumman Corporation (the “Litton Acquisition”). 

 

	 	(a)	The former Northrop Grumman Corporation was renamed Northrop Grumman Systems Corporation. It became a wholly-owned subsidiary of the new parent of the reorganized
controlled group. 

  

	 	(b)	The new parent corporation resulting from the restructuring is called Northrop Grumman Corporation. All references in this Plan to the former Northrop Grumman
Corporation and its Board of Directors now refer to the new parent corporation bearing the same name and its Board of Directors. 

  

	 	(c)	As of the 2001 Reorganization Date, the new Northrop Grumman Corporation became the sponsor of this Plan, and its Board of Directors assumed authority over this Plan.

  

	 	(d)	2001 Reorganization Date. The date as of which the corporate restructuring described in (a) and (b) occurred. 

 

	 	(e)	Litton Acquisition Date. The date as of which the conditions for the completion of the Litton Acquisition were satisfied in accordance with the “Amended and
Restated Agreement and Plan of Merger Among Northrop Grumman Corporation, Litton Industries, Inc., NNG, Inc., and LII Acquisition Corp. 

  

	4.12	Liabilities Transferred to HII. Northrop Grumman Corporation distributed its interest in Huntington Ingalls Industries, Inc. (“HII) to its shareholders on
March 31, 2011 (the “HII Distribution Date”). Pursuant to an agreement between Northrop Grumman Corporation and HII, on the HII Distribution Date certain employees and former employees of HII ceased to participate in the Plan and the
liabilities for these participants’ benefits under the Plan were transferred to HII. On and after the HII Distribution Date, the Company and the Plan, and any successors thereto, shall have no further obligation or liability to any such
participant with respect to any benefit, amount, or right due under the Plan. 

  
 - 16 -

 *    *     * 

IN WITNESS WHEREOF, this Amendment and Restatement is hereby executed by a duly authorized officer on this 27th day of January, 2012. 

 

	
	NORTHROP GRUMMAN CORPORATION
	
	By: /s/ Denise M. Peppard
	Denise Peppard
	Corporate Vice President and Chief Human Resources Officer

  
 - 17 -

 APPENDIX A – 2005-2007 TRANSITION RULES 

This Appendix A provides the distribution rules that apply to the portion of benefits under the Plan subject to Code section 409A for
Participants with benefit commencement dates after January 1, 2005 and before January 1, 2008. 
  

	A.01	Election. Participants scheduled to commence payments during 2005 may elect to receive both pre-2005 benefit accruals and 2005 benefit accruals in any optional
form of benefit available under the Plan as of December 31, 2004. Participants electing optional forms of benefits under this provision will commence payments on the Participant’s selected benefit commencement date.

  

	A.02	2005 Commencements. Pursuant to IRS Notice 2005-1, Q&A-19 & Q&A-20, Participants commencing payments in 2005 from the Plan may elect a form of
distribution from among those available under the Plan on December 31, 2004, and benefit payments shall begin at the time elected by the Participant. 

  

	 	(a)	Key Employees. A Key Employee Separating from Service on or after July 1, 2005, with Plan distributions subject to Code section 409A scheduled to be paid in
2006 and within six months of his date of Separation from Service, shall have such distributions delayed for six months from the Key Employee’s date of Separation from Service. The delayed distributions shall be paid as a single sum with
interest at the end of the six month period and Plan distributions will resume as scheduled at such time. Interest shall be computed using the retroactive annuity starting date rate in effect under the Northrop Grumman Pension Plan on a
month-by-month basis during such period (i.e., the rate may change in the event the period spans two calendar years). Alternatively, the Key Employee may elect under IRS Notice 2005-1, Q&A-20 to have such distributions accelerated and paid in
2005 without the interest adjustment, provided, such election is made in 2005. 

  

	 	(b)	Lump Sum Option. During 2005, a temporary immediate lump sum feature shall be available as follows: 

 

	 	(i)	In order to elect a lump sum payment pursuant to IRS Notice 2005-1, Q&A-20, a Participant must be an elected or appointed officer of the Company and eligible to
commence payments under the underlying qualified pension plan on or after June 1, 2005 and on or before December 1, 2005; 

  

	 	(ii)	The lump sum payment shall be made in 2005 as soon as feasible after the election; and 

 

	 	(iii)	Interest and mortality assumptions and methodology for calculating lump sum amount shall be based on the Plan’s procedures for calculating lump sums as of
December 31, 2004. 

  
 - 18 -

	A.03	2006 and 2007 Commencements. Pursuant to IRS transition relief, for all benefit commencement dates in 2006 and 2007 (provided election is made in 2006 or 2007),
distribution of Plan benefits subject to Code section 409A shall begin 12 months after the later of: (a) the Participant’s benefit election date, or (b) the underlying qualified pension plan benefit commencement date (as specified in
the Participant’s benefit election form). Payments delayed during this 12-month period will be paid at the end of the period with interest. Interest shall be computed using the retroactive annuity starting date rate in effect under the Northrop
Grumman Pension Plan on a month-by-month basis during such period (i.e., the rate may change in the event the period spans two calendar years). 

  
 - 19 -

 APPENDIX B – POST 2007 

DISTRIBUTION OF 409A AMOUNTS 
 The provisions of this Appendix B shall apply only to the portion of benefits under the Plan that are subject to Code section 409A with benefit commencement dates on or after January 1, 2008.
Distribution rules applicable to the Grandfathered Amounts are set forth in Articles II and III, and Appendix A addresses distributions of amounts subject to Code section 409A with benefit commencement dates after January 1, 2005 and prior to
January 1, 2008. 
  

	B.01	Time of Distribution. Subject to the special rules provided in this Appendix B, distributions to a Participant of his vested retirement benefit shall commence as
of the Payment Date. 

  

	B.02	Special Rule for Key Employees. If a Participant is a Key Employee and age 55 or older at his Separation from Service, distributions to the Participant shall
commence on the first day of the seventh month following the date of his Separation from Service (or, if earlier, the date of the Participant’s death). Amounts otherwise payable to the Participant during such period of delay shall be
accumulated and paid on the first day of the seventh month following the Participant’s Separation from Service, along with interest on the delayed payments. Interest shall be computed using the retroactive annuity starting date rate in effect
under the Northrop Grumman Pension Plan on a month-by-month basis during such delay (i.e., the rate may change in the event the delay spans two calendar years). 

 

	B.03	Forms of Distribution. Subject to the special rules provided in this Appendix B, a Participant’s vested retirement benefit shall be distributed in the form
of a single life annuity. However, a Participant may elect an optional form of benefit up until the Payment Date. The optional forms of payment are: 

  

	 	(a)	50% joint and survivor annuity 

  

	 	(b)	75% joint and survivor annuity 

  

	 	(c)	100% joint and survivor annuity. 

If a Participant is married on his Payment Date and elects a joint and survivor annuity, his survivor annuitant will be his spouse unless
some other survivor annuitant is named with spousal consent. Spousal consent, to be effective, must be submitted in writing before the Payment Date and must be witnessed by a Plan representative or notary public. No spousal consent is necessary if
the Company determines that there is no spouse or that the spouse cannot be found. 
  

	B.04	 Death. If a married Participant dies before the Payment Date, a death benefit will be payable to the Participant’s spouse commencing 90
days after the Participant’s death. The death benefit will be a single life annuity in an amount equal to the survivor portion of a Participant’s vested retirement benefit based on a 100% joint and survivor annuity determined on the
Participant’s date of death. This 

  
 - 20 -

	 	
benefit is also payable to a Participant’s domestic partner who is properly registered with the Company in accordance with procedures established by the Company. 

 

	B.05	Actuarial Assumptions. Except as provided in Section B.06, all forms of payment under this Appendix B shall be actuarially equivalent life annuity forms of
payment, and all conversions from one such form to another shall be based on the following actuarial assumptions: 

  

			
	Interest Rate:	  	6%
		
	Mortality Table:	  	RP-2000 Mortality Table projected 15 years for future standardized cash balance factors

  

	B.06	Accelerated Lump Sum Payouts. 

  

	 	(a)	Post-2007 Separations. Notwithstanding the provisions of this Appendix B, for Participants who Separate from Service on or after January 1, 2008, if the
present value of (a) the vested portion of a Participant’s retirement benefit and (b) other vested amounts under nonaccount balance plans that are aggregated with the retirement benefit under Code section 409A, determined on the first
of the month coincident with or following the date of his Separation from Service, is less than or equal to $25,000, such benefit amount shall be distributed to the Participant (or his spouse or domestic partner, if applicable) in a lump sum
payment. Subject to the special timing rule for Key Employees under Section B.02, the lump sum payment shall be made within 90 days after the first of the month coincident with or following the date of the Participant’s Separation from Service.

  

	 	(b)	Pre-2008 Separations. Notwithstanding the provisions of this Appendix B, for Participants who Separate from Service before January 1, 2008, if the present
value of (a) the vested portion of a Participant’s retirement benefit and (b) other vested amounts under nonaccount balance plans that are aggregated with the retirement benefit under Code section 409A, determined on the first of the
month coincident with or following the date the Participant attains age 55, is less than or equal to $25,000, such benefit amount shall be distributed to the Participant (or his spouse or domestic partner, if applicable) in a lump sum payment within
90 days after the first of the month coincident with or following the date the Participant attains age 55, but no earlier that January 1, 2008. 

  

	 	(c)	Conflicts of Interest. The present value of a Participant’s vested retirement benefit shall also be payable in an immediate lump sum to the extent required
under conflict of interest rules for government service and permissible under Code section 409A. 

  

	 	(d)	 Present Value Calculation. The conversion of a Participant’s retirement benefit into a lump sum payment and the present value calculations
under this Section B.06 shall be based on the actuarial assumptions in effect under the Northrop 

  
 - 21 -

	 	
Grumman Pension Plan for purposes of calculating lump sum amounts, and will be based on the Participant’s immediate benefit if the Participant is 55 or older at Separation from Service.
Otherwise, the calculation will be based on the benefit amount the Participant will be eligible to receive at age 55. 

  

	B.07	Effect of Early Taxation. If the Participant’s benefits under the Plan are includible in income pursuant to Code section 409A, such benefits shall be
distributed immediately to the Participant. 

  

	B.08	Permitted Delays. Notwithstanding the foregoing, any payment to a Participant under the Plan shall be delayed upon the Company’s reasonable anticipation of
one or more of the following events: 

  

	 	(a)	The Company’s deduction with respect to such payment would be eliminated by application of Code section 162(m); or 

 

	 	(b)	The making of the payment would violate Federal securities laws or other applicable law; 

provided, that any payment delayed pursuant to this Section B.08 shall be paid in accordance with Code section 409A. 

  
 - 22 -

 APPENDIX C – COMMITTEES AND APPOINTMENTS 

Notwithstanding anything to the contrary in this Plan, effective October 25, 2011, the Chief Executive Officer of Northrop Grumman
Corporation shall appoint, and shall have the power to remove, the members of (1) an Administrative Committee that shall have responsibility for administering the Plan (including as such responsibilities are described in Article IV of the Plan)
and (2) an Investment Committee that shall have responsibility for overseeing any rabbi trusts or other informal funding for the Plan. 

  
 - 23 -NORTHROP GRUMMAN SUPPLEMENTARY RETIREMENT INCOME PLAN

 Exhibit 10(m) 
 NORTHROP GRUMMAN SUPPLEMENTARY 
 RETIREMENT INCOME PLAN 

Amended and Restated 
 Effective January 1, 2012 
 1. Purpose. The purpose of the Northrop
Grumman Supplementary Retirement Income Plan (SRIP) is to provide supplemental retirement and death benefits to those: 
 (i) employees, including officers, of Northrop Grumman Space & Mission Systems Corp. and its subsidiaries (“NGSMSC”) whose benefits under the Northrop Grumman Space & Mission
Systems Corp. Salaried Pension Plan (“SPP”) have been limited by virtue of §415 of the Internal Revenue Code of 1986 (“Code”); 
 (ii) management and highly-compensated employees of NGSMSC whose benefits under the SPP are limited by Code §401(a)(17); 

(iii) management and highly-compensated employees of NGSMSC whose compensation otherwise included as pensionable earnings
received by such individual within the meaning of the SPP could not be so included because such compensation was deferred in accordance with the provisions of the Northrop Grumman Space & Mission Systems Corp. Deferred Compensation Plan or
the Northrop Grumman Deferred Compensation Plan (“DC Plan” or DC Plans”); and 
 (iv) management
and highly-compensated employees of NGSMSC whose compensation otherwise included as “Earnings” under the SPP and service otherwise included as Benefit Service under the SPP would not be so included because of a determination by NGSMSC that
such inclusion could violate the regulations under Code §401(a)(4). 
 The SRIP is unfunded for tax purposes and for
purposes of Title I of the Employee Retirement Income Security Act (“ERISA”) and is designed to provide benefits which mirror the provisions of the SPP but cannot be paid from the SPP because of certain Code limitations. 

The SRIP is hereby amended and restated effective as of January 1, 2012, except as otherwise provided. This restatement amends the
January 1, 2010 restatement of the SRIP and includes changes that apply to Grandfathered Amounts (as defined below). 

 The SRIP is intended to comply with Code section 409A and official guidance issued
thereunder (except for SRIP benefits that were earned and vested as of December 31, 2004 within the meaning of Code section 409A and official guidance thereunder (“Grandfathered Amounts”)). Notwithstanding any other provision of the
SRIP, the SRIP shall be interpreted, operated and administered in a manner consistent with this intention. 
 2. Eligibility.
Employees of NGSMSC covered by the SPP and not otherwise covered by the BDM International, Inc. Defined Contribution Supplemental Executive Retirement Plan (the “BDM DC SERP”) whose base pay and bonus paid in any year (or deferred
pursuant to the DC Plan) exceed the limitations of Code §401(a)(17) shall automatically be covered under the SRIP. All SPP participants not otherwise covered by the BDM DC SERP who are eligible to receive benefits from the SPP shall
automatically receive a benefit from the SRIP if their benefit cannot be fully provided under the SPP because of the limits under Code §415. In addition, Grandfathered Participants, as defined in Appendix C, shall remain eligible to participate
in the SRIP on and after January 1, 2009 and shall continue to accrue benefits as set forth in Appendix C. 

The foregoing notwithstanding, effective as of February 28, 2003, individuals who qualify as “TRW Automotive
Participants” under the February 28, 2003 Employee Matters Agreement between Northrop Grumman Space & Mission Systems Corp. and TRW Automotive Acquisition Corp. cease to participate in the SRIP, and the SRIP and NGSMSC cease to be
liable for TRW Automotive Participants’ benefits. 
 3. Benefits. 

a. In General. The amount of the benefit payable under the SRIP shall be equal to the amount which would be
payable to or in respect of a participant under the SPP if the limitations identified in §1 above were inapplicable, less the amount of the benefit payable under the SPP, taking into account such limitations. The amount of benefit payable under
the SRIP to a participant shall also be reduced to the extent that any other nonqualified plan established by NGSMSC or any other entity affiliated with NGSMSC under Code §414(b) or (c) (“Affiliate”) pays benefits to the
participant that are attributable to limits imposed upon the SPP other than those identified in §1 above. The benefit payable under the SRIP for those participants who were participants in The BDM Corporation Supplemental Executive Retirement
Plan which was merged into the SRIP (the “BDM SERP”) on the close of business on December 31, 1998 (the “Merger Effective Date”) will not be less than the benefit which had accrued under the BDM SERP as of the Merger
Effective Date for such participants. Schedule A attached hereto sets forth the relevant provisions of the BDM SERP necessary to calculate such accrued benefits. The benefit payable under the SRIP for the sole participant who was a “Covered
Executive” in the Astro 

  
 - 2 -

 
Aerospace Corporation Supplemental Executive Retirement Plan (the “Astro SERP”) on the close of business on November 30, 1999 will not be less than the benefit which had accrued
under the Astro SERP as of November 30, 1999 for such participant, as determined in accordance with the terms of the Astro SERP as in effect on November 30, 1999 (a copy of which is attached hereto as Schedule B) and the benefit payable to
such participant’s spouse under the SRIP shall not be less than the benefit which would have been payable to such spouse under the terms of the Astro SERP had the participant died on November 30, 1999. 

b. Benefit Limit. The amount of the SRIP benefit will be limited as provided below: 

i. A participant’s total accrued benefits under all defined benefit plans, programs, and arrangements maintained by
Northrop Grumman Corporation and its affiliates (as determined under Code section 414) in which he or she participates, including the SRIP, may not exceed 60% of his or her Final Average Salary. If this limit is exceeded, the participant’s
benefit accrued under the SRIP will be reduced to the extent necessary to satisfy the limit. 
 (1) For this
purpose, “Final Average Salary” has the meaning provided under Appendix G to the Northrop Grumman Supplemental Plan 2 (the “OSERP”). 
 (2) The Participant’s Final Average Salary will be reduced for early retirement applying the factors in the OSERP. 

(3) The limit in this subsection may not be exceeded even after the benefits under the SRIP have been enhanced under any
change in control agreements or Northrop Grumman Corporation Special Agreements. 
 c. Compensation. The
following shall not be considered as compensation for purposes of determining the amount of any benefit under the SRIP: 
 i. Any payment authorized by the Compensation Committee of Northrop Grumman Corporation that is (i) calculated pursuant to the method for determining a bonus amount under the Northrop Grumman
Corporation Annual Incentive Plan (AIP) for a given year, and (ii) paid in lieu of such bonus in the year prior to the year the bonus would otherwise be paid under the AIP, and 

ii. Any award payment under the Northrop Grumman Long-Term Incentive Cash Plan. 

  
 - 3 -

 4. Payment of Benefits. The distribution rules of this Section 4 only apply to
Grandfathered Amounts. See Appendix A and Appendix B for the rules that apply to other benefits earned under the SRIP. 
 a. Except as provided below, no benefit is payable from the SRIP, even if the participant has terminated his/her employment, unless a participant has five years of vesting service as defined under the SPP
and has attained age fifty-five, provided, however, a benefit will be payable from the SRIP prior to a participant’s attainment of age fifty-five if the participant terminates his or her employment in connection with (i) a special
voluntary early retirement program offered under the SPP, the terms of which provide for eligibility prior to age fifty-five, or (ii) a special early commencement option under the SPP, the terms of which provide for commencement of the SPP
benefit before age fifty-five. 
 b. If a participant who has five or more years of vesting service dies before
his/her benefit commencement date under the SPP, the SRIP benefit shall be paid in the same form and shall commence at the same time as a pre-retirement survivor benefit under the SPP. 

c. Except as provided in paragraph g., i., j., or as provided below, any participant in the SPP and the SRIP who is
entitled to a vested or deferred vested pension under the SPP shall have his SRIP benefit (i) commence at the same time as his benefit commencement date under the SPP and (ii) paid in the same form and with the same designated joint
annuitant, if any, as his form of payment under the SPP unless otherwise provided under the terms of any Qualified Domestic Relations Order (as defined in Section 5) applicable to said participant or unless otherwise determined by the
Administrative Committee in its sole discretion. Any such participant who is eligible for the special early commencement option under the SPP may petition the Administrative Committee at any time at least two months prior to his severance from
service date under the SPP to change such form of payment into a single sum or annual installments from two to ten years, or any other payment form approved by the Administrative Committee in their or its discretion. If annual installment payments
are elected, interest, if any, on such installments shall be determined by the Actuary, subject to approval by the Administrative Committee. If a participant receiving installment payments dies, his remaining installment payments shall be made as
scheduled to any properly designated beneficiary, or if none exists, in a single lump sum to the participant’s estate. 
 d. Except as provided above or in paragraph g., i., or j., payment of benefits under the SRIP shall be made commencing with the January following the date the participant becomes eligible, having
terminated his employment with NGSMSC and all Affiliates, for benefits under the SPP; provided, however, that if the participant’s termination of employment is the result of a divestiture of the NGSMSC or Affiliate unit or operation where the
participant worked prior to termination of employment and the participant obtains employment with the entity 

  
 - 4 -

 
that acquired such unit or operations, then the SRIP benefit shall not be payable until such participant is eligible for and receives (or commences to receive) his SPP benefit (even if the SRIP
benefit is less than $5,000). 
 e. Except as provided above and in paragraph g., i., or j., the automatic form
of benefit payable under the Plan shall be, for an unmarried participant, a single life annuity, and, for a married participant, a 50% joint and survivor annuity, with the participant’s eligible spouse being the survivor annuitant.
Notwithstanding the above, the participant may elect, by notice to the administrator for the SRIP, at any time at least two months prior to the severance from service date under the SPP (the “Severance from Service Date”) to change such
form of payment into a single sum or annual installments from two to ten years, or any other payment form approved by the Administrative Committee in its discretion. If annual installment payments are elected, interest, if any, on such installments
shall be determined by the Actuary, subject to approval by the Administrative Committee. If a participant receiving installment payments dies, his remaining installment payments shall be made as scheduled to any properly designated beneficiary, or
if none exists, in a single lump sum to the participant’s estate. 
 f. If not rejected by the
Administrative Committee at least 14 days prior to the Severance from Service Date, any election of a form of payment or benefit commencement date other than the automatic form and commencement date shall be irrevocable. 

g. If the present value of a participant’s interest in the SRIP, determined as of the later of the
participant’s age 55 or severance from service date under the SPP, is less than an amount which, if converted to a single sum equals $5,000, the benefit shall be paid out in a single sum, either at the same time as his benefit commencement date
under the SPP or at another date as determined by the Administrative Committee in its sole discretion. (See paragraph i for the rule that applies as of January 1, 2008.) 

h. Payments to be made pursuant to the SRIP shall be made by NGSMSC, with any appropriate reimbursement being made by
subsidiaries of NGSMSC. The SRIP shall be unfunded, and NGSMSC shall not be required to establish any special or separate fund nor to make any other segregation of assets in order to assure the payment of any amounts under the SRIP. Participants of
the SRIP shall have the status of general unsecured creditors of NGSMSC and the SRIP constitutes a mere promise by NGSMSC to make benefit payments in the future. 

i. Mandatory Cashout. Notwithstanding any other provisions in the SRIP, participants with Grandfathered Amounts
who have not commenced payment of such benefits prior to January 1, 2008 will be subject to the following rules: 

  
 - 5 -

 i. Post-2007 Terminations. Participants who have a complete
termination of employment with NGSMSC and the Affiliates after 2007 will receive a lump sum distribution of the present value of their Grandfathered Amounts within two months of such termination (without interest), if such present value is below the
Code section 402(g) limit in effect at the termination. 
 ii. Pre-2008 Terminations. Participants who
had a complete termination of employment with NGSMSC and the Affiliates before 2008 will receive a lump sum distribution of the present value of their Grandfathered Amounts within two months of the time they commence payment of their underlying
qualified pension plan benefits (without interest), if such present value is below the Code section 402(g) limit in effect at the time such payments commence. 
 j. Optional Payment Forms. Participants with Grandfathered Amounts shall be permitted to elect i. or ii. below: 

i. To receive their Grandfathered Amounts in any form of distribution available under the SRIP at October 3, 2004,
provided that form remains available under the underlying qualified pension plan at the time payment of the Grandfathered Amounts commences. The conversion factors for these distribution forms will be based on the factors or basis in effect under
the SRIP on October 3, 2004. 
 ii. To receive their Grandfathered Amounts in any life annuity form not
included in i. above but included in the underlying qualified pension plan distribution options at the time payment of the Grandfathered Amounts commences. The conversion factors will be based on the following actuarial assumptions: 

 

			
	 Interest Rate:
	  	 6%

		
	 Mortality Table:
	  	 RP-2000 Mortality Table projected 15 years for future standardized cash balance factors

 k. Special Tax Distribution. On the date a participant’s retirement benefit
is reasonably ascertainable within the meaning of IRS regulations under Code section 3121(v)(2), an amount equal to the participant’s portion of the FICA tax withholding will be distributed in a single lump sum payment. This payment will be
based on all benefits under the SRIP, including Grandfathered Amounts. This payment will reduce the participant’s future benefit payments under the SRIP on an actuarial basis. 

  
 - 6 -

 5. Non-Alienation of Benefits. Neither a participant nor any other person shall have
any right to sell, assign, transfer, pledge, mortgage or otherwise encumber, in advance of actual receipt, any SRIP benefit. Any such attempted assignment or transfer shall be ineffective; NGSMSC’s sole obligation under the SRIP shall be to pay
benefits to the participant, his beneficiary or his estate, as appropriate. No part of any SRIP benefit shall, prior to actual payment, be subject to the payment of any debts, judgments, alimony or separate maintenance owed by a participant or any
other person; nor shall any SRIP benefit be transferable by operation of law in the event of a participant’s or any other person’s bankruptcy or insolvency, except as required or permitted by law. 

Notwithstanding the foregoing, all or a portion of a participant’s benefit may be paid to another person as
specified in a domestic relations order that the plan administrator determines is qualified (a “Qualified Domestic Relations Order”). For this purpose, a Qualified Domestic Relations Order means a judgment, decree, or order (including the
approval of a settlement agreement) which is: 
 a. Issued pursuant to a State’s domestic relations law;

 b. Relates to the provision of child support, alimony payments or marital property rights to a spouse, former
spouse, child or other dependent of the participant; 
 c. Creates or recognizes the right of a spouse, former
spouse, child or other dependent of the participant to receive all or a portion of the participant’s benefits under the SRIP; and 
 d. Meets such other requirements established by the plan administrator. 
 The plan administrator shall determine whether any document received by it is a Qualified Domestic Relations Order. In making this determination, the plan administrator may consider the rules applicable
to “domestic relations orders” under Code section 414(p) and ERISA section 206(d), and such other rules and procedures as it deems relevant. 
 6. Committees. 
 a. An Administrative Committee and an
Investment Committee (together, the “Committees”), each of one or more persons, shall be appointed by and serve at the pleasure of the board of directors of NGSMSC (the “Board”). The number of members comprising the Committees
shall be determined by the Board, which may from time to time vary the number of members. A member of the Committees may resign by delivering a written notice of resignation to the Board. The Board may remove any member by delivering a certified
copy of its 

  
 - 7 -

 
resolution of removal to such member. Vacancies in the membership of the Committees shall be filled promptly by the Board. 

b. i. Each Committee shall act at meetings by affirmative vote of a majority of the members of that Committee. Any
determination of action of the Committees may be made or taken by a majority of a quorum present at any meeting thereof, or without a meeting, by resolution or written memorandum signed by a majority of the members of the Committees then in office.
A member of the Committees shall not vote or act upon any matter which relates solely to himself or herself as a Participant. The Chairman or any other member or members of each Committee designated by the Chairman may execute any certificate or
other written direction on behalf of the Committee of which he or she is a member. 
 ii. The Board shall
appoint a Chairman from among the members of the Administrative Committee and a Secretary who may or may not be a member of the Administrative Committee. The members of the Investment Committee will elect one of their members as Chairman and will
appoint a Secretary and any other officers as the Investment Committee may deem necessary. The Committees shall conduct their business according to the provisions of this Article and the rules contained in the current edition of Robert’s Rules
of Order or such other rules of order the Committees may deem appropriate. The Committees shall hold meetings from time to time in any convenient location. 
 c. The Administrative Committee shall enforce the SRIP in accordance with its terms, shall be charged with the general administration of the Plan, and shall have all powers necessary to accomplish its
purposes, including, but not by way of limitation, the following: 
 i. To construe and interpret the terms and
provisions of the SRIP and make all factual determinations; 
 ii. To compute and certify to the amount and
kind of benefits payable to participants and their beneficiaries; 
 iii. To maintain all records that may be
necessary for the administration of the SRIP; 
 iv. To provide for the disclosure of all information and the
filing or provision of all reports and statements to participants, beneficiaries or governmental agencies as shall be required by law; 
 v. To make and publish such rules for the regulation of the SRIP and procedures for the administration of the SRIP as are not inconsistent with the terms hereof; 

  
 - 8 -

 vi. To appoint a plan administrator or any other agent, and to delegate to
them such powers and duties in connection with the administration of the SRIP as the Administrative Committee may from time to time prescribe (including the power to subdelegate); 

vii. To exercise powers granted the Administrative Committee under other Sections of the SRIP; and 

viii. To take all actions necessary for the administration of the SRIP, including determining whether to hold or
discontinue insurance policies purchased in connection with the SRIP. 
 d. The Investment Committee shall have
all powers necessary to accomplish its purposes, including, but not by way of limitation, the following: 
 i.
To oversee the rabbi trust, if any; and 
 ii. To appoint agents, and to delegate to them such powers and
duties in connection with its duties as the Investment Committee may from time to time prescribe (including the power to subdelegate). 
 e. The Administrative Committee shall have full discretion to construe and interpret the terms and provisions of the SRIP, to make factual determinations and to remedy possible inconsistencies and
omissions. The Administrative Committee’s interpretations, constructions and remedies shall be final and binding on all parties, including but not limited to the Affiliates and any participant or beneficiary. The Administrative Committee shall
administer such terms and provisions in a uniform and nondiscriminatory manner and in full accordance with any and all laws applicable to the SRIP. 
 f. To enable the Committees to perform their functions, the Affiliates adopting the SRIP shall supply full and timely information to the Committees on all matters relating to the compensation of all
participants, their death or other events that cause termination of their participation in the SRIP, and such other pertinent facts as the Committees may require. 

g. i. The members of the Committees shall serve without compensation for their services hereunder. 

ii. Committees are authorized to employ such accounting, consultants or legal counsel as they may deem advisable to
assist in the performance of their duties hereunder. 
 iii. To the extent permitted by ERISA and applicable
state law, NGSMSC shall indemnify and hold harmless the Committees and each member 

  
 - 9 -

 
thereof, the Board and any delegate of the Committees who is an employee of the Affiliates against any and all expenses, liabilities and claims, including legal fees to defend against such
liabilities and claims arising out of their discharge in good faith of responsibilities under or incident to the SRIP, other than expenses and liabilities arising out of willful misconduct. This indemnity shall not preclude such further indemnities
as may be available under insurance purchased by NGSMSC or provided by NGSMSC under any bylaw, agreement or otherwise, as such indemnities are permitted under ERISA and state law. 

  
 - 10 -

 7. Claims Procedure. 

The standardized “Northrop Grumman Nonqualified Retirement Plans Claims and Appeals Procedures” shall apply in
handling claims and appeals under the SRIP. 
 8. Amendment and Termination. NGSMSC may, in its sole discretion,
terminate, suspend or amend the SRIP at any time or from time to time, in whole or in part for any reason. This includes the right to amend or eliminate any of the provisions of the SRIP with respect to lump sum distributions, including any lump sum
calculation factors, whether or not a participant has already made a lump sum election. Notwithstanding the foregoing, no amendment or termination of the SRIP shall reduce the amount of a participant’s accrued benefit under the SRIP as of the
date of such amendment or termination. 
 No amendment of the SRIP shall apply to the Grandfathered Amounts,
unless the amendment specifically provides that it applies to such amounts. The purpose of this restriction is to prevent a SRIP amendment from resulting in an inadvertent “material modification” to the Grandfathered Amounts. 

9. Miscellaneous. 
 a. As used herein, the masculine gender shall include the feminine gender. To the extent that any term is not defined under the SRIP, it shall have the same meaning as defined in the SPP. 

b. Employment rights with NGSMSC shall not be enlarged or affected by the existence of the SRIP. 

c. In case any provision of the SRIP shall be held illegal or invalid for any reason, said illegality or invalidity shall
not affect the remaining provisions. 
 d. The SRIP shall be governed by the laws of the State of Ohio to the
extent not preempted by ERISA. 

  
 - 11 -

 IN WITNESS WHEREOF, this Amendment and Restatement is hereby executed
by a duly authorized officer on this 27th day of January,
2012. 
  

			
	NORTHROP GRUMMAN CORPORATION
		
	By:	 	/s/ Denise M. Peppard
	Denise Peppard
	Corporate Vice President and Chief Human Resources Officer

  
 - 12 -

 APPENDIX A 
 2005-2007 TRANSITION RULES 
 This Appendix A provides the
distribution rules that apply to the portion of benefits under the SRIP subject to Code section 409A for participants with benefit commencement dates after January 1, 2005 and before January 1, 2008. 

A.1 Election. Participants scheduled to commence payments during 2005 may elect to receive both pre-2005 benefit
accruals and 2005 benefit accruals in any optional form of benefit available under the SRIP as of December 31, 2004. Participants electing optional forms of benefits under this provision will commence payments on the participant’s selected
benefit commencement date. 
 A.2 2005 Commencements. Pursuant to IRS Notice 2005-1,
Q&A-19 & Q&A-20, participants commencing payments in 2005 from the SRIP may elect a form of distribution from among those available under the SRIP on December 31, 2004, and benefit payments shall begin at the time elected by
the participant. 
 a. Key Employees. A Key Employee Separating from Service on or after July 1,
2005, with SRIP distributions subject to Code section 409A scheduled to be paid in 2006 and within six months of his date of Separation from Service, shall have such distributions delayed for six months from the Key Employee’s date of
Separation from Service. The delayed distributions shall be paid as a single sum with interest at the end of the six month period and SRIP distributions will resume as scheduled at such time. Interest shall be computed using the retroactive annuity
starting date rate in effect under the Northrop Grumman Pension Plan on a month-by-month basis during such period (i.e., the rate may change in the event the period spans two calendar years). Alternatively, the Key Employee may elect under IRS
Notice 2005-1, Q&A-20 to have such distributions accelerated and paid in 2005 without the interest adjustment, provided, such election is made in 2005. 
 For purposes of Appendix A and Appendix B, A “Key Employee” is an employee treated as a “specified employee” under Code section 409A(a)(2)(B)(i) of NGSMSC or an Affiliate (i.e., a key
employee (as defined in Code section 416(i) without regard to paragraph (5) thereof)) if NGSMSC’s or an Affiliate’s stock is publicly traded on an established securities market or otherwise. NGSMSC shall determine in accordance with a
uniform NGSMSC policy which participants are Key Employees as of each December 31 in accordance with IRS regulations or other guidance under Code section 409A, provided that in determining the compensation of individuals for this purpose, the
definition of compensation in Treas. Reg. § 1.415(c)-2(d)(3) shall be used. Such 

 
determination shall be effective for the twelve (12) month period commencing on April 1 of the following year. 

For purposes of Appendix A and Appendix B, “Separation from Service” or “Separates from Service”
means a “separation from service” within the meaning of Code section 409A. 
 b. Lump Sum
Option. During 2005, a temporary immediate lump sum feature shall be available as follows: 
 i. In order
to elect a lump sum payment pursuant to IRS Notice 2005-1, Q&A-20, a participant must be an elected or appointed officer of NGSMSC and eligible to commence payments under the underlying qualified pension plan on or after June 1, 2005 and on
or before December 1, 2005; 
 ii. The lump sum payment shall be made in 2005 as soon as feasible after
the election; and 
 iii. Interest and mortality assumptions and methodology for calculating lump sum amount
shall be based on the SRIP’s procedures for calculating lump sums as of December 31, 2004. 
 A.3
2006 and 2007 Commencements. Pursuant to IRS transition relief, for all benefit commencement dates in 2006 and 2007 (provided election is made in 2006 or 2007), distribution of SRIP benefits subject to Code section 409A shall begin 12 months
after the later of: (a) the participant’s benefit election date, or (b) the underlying qualified pension plan benefit commencement date (as specified in the participant’s benefit election form). Payments delayed during this
12-month period will be paid at the end of the period with interest. Interest shall be computed using the retroactive annuity starting date rate in effect under the Northrop Grumman Pension Plan on a month-by-month basis during such period (i.e.,
the rate may change in the event the period spans two calendar years). 

  
 - 2 -

 APPENDIX B 
 POST 2007 DISTRIBUTION OF 409A AMOUNTS 
 The provisions of
this Appendix B shall apply only to the portion of benefits under the SRIP that are subject to Code section 409A with benefit commencement dates on or after January 1, 2008. Distribution rules applicable to the Grandfathered Amounts are set
forth in Section 4, and Appendix A addresses distributions of amounts subject to Code section 409A with benefit commencement dates after January 1, 2005 and prior to January 1, 2008. 

B.1 Time of Distribution. Subject to the special rules provided in this Appendix B, distributions to a participant
of his vested retirement benefit shall commence as of the 1st of the month coincident with or following the later of (a) the date the participant attains age 55, or (b) the date the participant Separates from Service (“Payment
Date”). 
 B.2 Special Rule for Key Employees. If a participant is a Key Employee and age 55 or
older at his Separation from Service, distributions to the participant shall commence on the first day of the seventh month following the date of his Separation from Service (or, if earlier, the date of the participant’s death). Amounts
otherwise payable to the participant during such period of delay shall be accumulated and paid on the first day of the seventh month following the participant’s Separation from Service, along with interest on the delayed payments. Interest
shall be computed using the retroactive annuity starting date rate in effect under the Northrop Grumman Pension Plan on a month-by-month basis during such delay (i.e., the rate may change in the event the delay spans two calendar years). 

B.3 Forms of Distribution. Subject to the special rules provided in this Appendix B, a participant’s vested
retirement benefit shall be distributed in the form of a single life annuity. However, a participant may elect an optional form of benefit up until the Payment Date. The optional forms of payment are: 

 

	 	a.	 50% joint and survivor annuity 

  

	 	b.	 75% joint and survivor annuity 

  

	 	c.	 100% joint and survivor annuity. 

 If a participant is married on his Payment Date and elects a joint and survivor annuity, his survivor annuitant will be his spouse unless some other survivor annuitant is named with spousal consent.
Spousal consent, to be 

 
effective, must be submitted in writing before the Payment Date and must be witnessed by a SRIP representative or notary public. No spousal consent is necessary if NGSMSC determines that there is
no spouse or that the spouse cannot be found. 
 B.4 Death. If a married participant dies before the
Payment Date, a death benefit will be payable to the participant’s spouse commencing 90 days after the participant’s death. The death benefit will be a single life annuity in an amount equal to the survivor portion of a participant’s
vested retirement benefit based on a 100% joint and survivor annuity determined on the participant’s date of death. This benefit is also payable to a participant’s domestic partner who is properly registered with NGSMSC in accordance with
procedures established by NGSMSC. 
 B.5 Actuarial Assumptions. Except as provided in Section B.6, all
forms of payment under this Appendix B shall be actuarially equivalent life annuity forms of payment, and all conversions from one such form to another shall be based on the following actuarial assumptions: 

 

			
		
	Interest Rate:	  	6%
		
	Mortality Table:	  	RP-2000 Mortality Table projected 15 years for future standardized cash balance factors

 B.6 Accelerated Lump Sum Payouts. 

a. Post-2007 Separations. Notwithstanding the provisions of this Appendix B, for participants who Separate from
Service on or after January 1, 2008, if the present value of (a) the vested portion of a participant’s retirement benefit and (b) other vested amounts under nonaccount balance plans that are aggregated with the retirement benefit
under Code section 409A, determined on the first of the month coincident with or following the date of his Separation from Service, is less than or equal to $25,000, such benefit amount shall be distributed to the participant (or his spouse or
domestic partner, if applicable) in a lump sum payment. Subject to the special timing rule for Key Employees under Section B.2, the lump sum payment shall be made within 90 days after the first of the month coincident with or following the date of
the participant’s Separation from Service. 
 b. Pre-2008 Separations. Notwithstanding the
provisions of this Appendix B, for participants who Separate from Service before January 1, 2008, if the present value of (a) the vested portion of a participant’s retirement benefit and (b) other vested amounts under nonaccount
balance plans that are aggregated with the retirement benefit under Code section 409A, determined on 

  
 - 2 -

 
the first of the month coincident with or following the date the participant attains age 55, is less than or equal to $25,000, such benefit amount shall be distributed to the participant (or his
spouse or domestic partner, if applicable) in a lump sum payment within 90 days after the first of the month coincident with or following the date the participant attains age 55, but no earlier that January 1, 2008. 

c. Conflicts of Interest. The present value of a participant’s vested retirement benefit shall also be
payable in an immediate lump sum to the extent required under conflict of interest rules for government service and permissible under Code section 409A. 
 d. Present Value Calculation. The conversion of a participant’s retirement benefit into a lump sum payment and the present value calculations under this Section B.6 shall be based on the
actuarial assumptions in effect under the Northrop Grumman Pension Plan for purposes of calculating lump sum amounts, and will be based on the participant’s immediate benefit if the participant is 55 or older at Separation from Service.
Otherwise, the calculation will be based on the benefit amount the participant will be eligible to receive at age 55. 
 B.7 Effect of Early Taxation. If the participant’s benefits under the SRIP are includible in income pursuant to Code section 409A, such benefits shall be distributed immediately to the
participant. 
 B.8 Permitted Delays. Notwithstanding the foregoing, any payment to a participant under
the SRIP shall be delayed upon NGSMSC’s reasonable anticipation of one or more of the following events: 
  

	 	a.	 NGSMSC’s deduction with respect to such payment would be eliminated by application of Code section 162(m); or 

 

	 	b.	 The making of the payment would violate Federal securities laws or other applicable law; 

provided, that any payment delayed pursuant to this Section B.8 shall be paid in accordance with Code section 409A. 

  
 - 3 -

 APPENDIX C 
 CUTTING EDGE OPTRONICS TRANSFER 
 The provisions of this
Appendix C are intended to comply with Code section 409A, and to maintain the exempt status of the Grandfathered Amounts accrued by any employees of Cutting Edge Optronics. Each such employee with a Grandfathered Amount is referred to below as a
“Grandfathered Participant”. 
 C.1 Transferred Employees. Except for any Grandfathered
Participants, the employees of Cutting Edge Optronics that would otherwise have been eligible to participate and accrue benefits under the SRIP prior to 2009 (the “Transferred Employees”) shall cease to participate in the SRIP as of
January 1, 2009 (the “Transfer Date”). 
 C.2 Transferred Employee Benefits. Any benefits
accrued by the Transferred Employees under the SRIP for services prior to the Transfer Date shall be transferred to and payable under the Litton Industries, Inc. Restoration Plan 2 (“LRP 2”). Such benefits will thus no longer be payable
under the SRIP. 
 C.3 Grandfathered Participant Benefits. Each Grandfathered Participant shall remain
eligible to participate in the SRIP after 2008. Subject to Section 3(b), the accrued benefits of a Grandfathered Participant under the SRIP shall equal the benefits accrued under the SRIP for services performed prior to 2009, plus the benefits
that such Grandfathered Participant would otherwise have accrued and become vested in based on services performed after 2008 had he or she been eligible to participate in the LRP 2. 

 APPENDIX D 
 COMMITTEES AND APPOINTMENTS 
 Notwithstanding anything to
the contrary in this Plan, effective October 25, 2011, the Chief Executive Officer of Northrop Grumman Corporation shall appoint, and shall have the power to remove, the members of (1) an Administrative Committee that shall have
responsibility for administering the Plan (including as such responsibilities are described in Section 6 of the Plan) and (2) an Investment Committee that shall have responsibility for overseeing any rabbi trusts or other informal funding
for the Plan. 

 Schedule A 
 Article 2 
 BENEFITS 

 

	2.1	 Computation of Benefits. 

 a. Total Benefit Objective. Total retirement benefits from the Company, coupled with expected Social Security benefits, are designed to provide a level of income during retirement based on the
Member’s service and income while with the Company. The Benefit Objective (as determined on or prior to Normal Retirement Date) for a Member who retires on or after his/her Normal Retirement Date with 20 or more years of Benefit Service
(Benefit Service accrues to age 65), is 45% of the Member’s Average Annual Compensation for the five highest consecutive plan years of his/her employment with the Company. For Members who retire with less than 20 years of Benefit Service, the
Benefit Objective is the amount calculated above reduced by multiplying that amount by a fraction the numerator of which is the number of years of Benefit Service and the denominator of which is 20. The Benefit Objective, as defined above, is
intended to be met by unreduced retirement income (without any reductions associated with any payment option) from both the Company’s Retirement Plan and Supplemental Executive Retirement Plan plus the unreduced Social Security Benefit
(commencing as late as age 67). 
 b. Calculation of Benefits Under This Plan. The benefit payable under
this Plan shall be equal to the Benefit Objective as stated in paragraph a. above, reduced, as applicable, by the factors and in accordance with the provisions set forth for such purposes in the Retirement Plan, (i) for commencement prior to
Normal Retirement Date, (ii) for election of a form of payment other than life only to the Member, and (iii) upon death, less the Retirement Plan Benefit and the unreduced Social Security Benefit as stated in paragraph a. above. If the
benefit payable under this plan according to the preceding sentence plus the Retirement Plan Benefit is less than the Target Benefit Amount, as hereinafter defined, the benefit payable under this Plan shall be equal to the Target Benefit Amount less
the Retirement Plan Benefit. The Target Benefit Amount shall mean $90,000, reduced, as applicable, by the factors and in accordance with the provisions set forth for such purposes in the Retirement Plan, (i) for commencement prior to Normal
Retirement Date, (ii) for election of a form of payment other than life only to the Member, and (iii) upon death. 
  

	2.2	 Form of Benefit Payments. 

 The benefit payable to or on behalf of a Member as determined under Section 2.1 shall
be paid in the same form, and to the same beneficiary, if any, as the Member’s benefit under the Retirement Plan. 
  

	2.3	 Time of Benefit Payments. 

 Benefits due under this Plan shall be paid coincident with the payment date of benefits under the Retirement Plan. 

  
 - 2 -

 Schedule B 
 APPENDIX A 
 ASTRO AEROSPACE CORPORATION 

SUPPLEMENTAL EXECUTIVE RETIREMENT PLAN 

  
 i 

 ASTRO AEROSPACE CORPORATION 

SUPPLEMENTAL EXECUTIVE RETIREMENT PLAN 
 TABLE OF CONTENTS 
  

					
	 INTRODUCTION
	  	 1

		
	 ARTICLE I    DEFINITIONS
	  	 2

		
	 ARTICLE II    DESIGNATION OF COVERED EXECUTIVES
	  	 4

		
	 ARTICLE III    RETIREMENT BENEFITS
	  	 5

	 3.01
	    	 Retirement Allowance on Normal or Postponed Retirement Date
	  	 5

	 3.02
	    	 Retirement Allowance on Early Retirement Date
	  	 6

	 3.03
	    	 Payment of Retirement Allowance
	  	 6

	 3.04
	    	 Retirement Allowance Payable to Surviving Spouse of a Covered Executive
	  	 6

	 3.05
	    	 Deeming Rule
	  	 6

		
	 ARTICLE IV    TERMINATION OF SERVICE
	  	 8

	 4.01
	    	 Termination Benefits
	  	 8

	 4.02
	    	 Early Commencement of Deferred Retirement Allowance
	  	 8

	 4.03
	    	 Applicable Provisions
	  	 8

		
	 ARTICLE V    DEATH BENEFITS
	  	 9

	 5.01
	    	 Benefits on Covered Executive’s Death Prior to Retirement
	  	 9

	 5.02
	    	 Benefits on a Former Covered Executive’s Death Prior to Retirement
	  	 9

		
	 ARTICLE VI    DISABILITY BENEFITS
	  	 11

	 6.01
	    	 Disabled Covered Executives
	  	 11

	 6.02
	    	 Disability Retirement
	  	 11

	 6.03
	    	 Applicable Provisions
	  	 11

		
	 ARTICLE VII    ADMINISTRATION
	  	 12

		
	 ARTICLE VIII    AMENDMENT OR TERMINATION OF THE PLAN
	  	 13

		
	 ARTICLE IX    CLAIMS REVIEW PROCEDURE
	  	 14

	 9.01
	    	 Denial of Benefits
	  	 14

	 9.02
	    	 Notice
	  	 14

	 9.03
	    	 Appeals Procedure
	  	 14

	 9.04
	    	 Review
	  	 14

  
 ii 

							
	 ARTICLE X GENERAL
	  	 	15	  
	 10.01
	    	 No Employment Rights
	  	 	15	  
	 10.02
	    	 No Claim Against the Company
	  	 	15	  
	 10.03
	    	 Incompetence
	  	 	15	  
	 10.04
	    	 Nonassignability
	  	 	15	  
	 10.05
	    	 Continuance of Payments
	  	 	15	  
	 10.06
	    	 Notice
	  	 	16	  
	 10.07
	    	 Gender and Number
	  	 	16	  
	 10.08
	    	 Corporate Successors
	  	 	16	  
	 10.09
	    	 Unclaimed Benefits
	  	 	16	  
	 10.10
	    	 Withholding; Employment Taxes
	  	 	16	  
	 10.11
	    	 Validity
	  	 	16	  
	 10.12
	    	 Applicable Law
	  	 	17	  

  
 iii

 ASTRO AEROSPACE CORPORATION 

SUPPLEMENTAL EXECUTIVE RETIREMENT PLAN 
 INTRODUCTION 
 The purpose of this Supplemental Executive
Retirement Plan (the “Plan”) is to provide a further means whereby Astro Aerospace Corporation (the “Corporation”) may afford financial security to a select group of Covered Executives of the Corporation, who render valuable
services to the Corporation, constituting an important contribution toward its continued growth and success, by providing for additional future compensation so that such employees may be retained and their productive efforts encouraged, all as
provided herein. Retirement Allowances under this Supplemental Executive Retirement Plan are in addition to benefits payable under the Astro Aerospace Corporation Employees’ Pension Plan and any other qualified retirement plan maintained by the
Corporation. 

 ARTICLE I 
 DEFINITIONS 
 (a) “Administrator” means the Corporation
which shall be responsible for the administration of this Plan. 
 (b) “Astro Pension Plan” means the
Astro Aerospace Corporation Employees’ Pension Plan, as amended from time to time. 
 (c)
“Affiliate” means a member of a controlled group of corporations, within the meaning of section 414(b) of the Internal Revenue Code (“Code”), which includes the Corporation; a trade or business (whether or not incorporated) which
is in common control with the Corporation as determined in accordance with section 414(c) of the Code; or any organization which is a member of an affiliated service group, within the meaning of section 414(m) of the Code, which includes the
Corporation, and any other organization required to be aggregated with the Corporation pursuant to section 414(o) of the Code. 
 (d) “Corporation” means Astro Aerospace Corporation. 

(e) “Covered Executive” means a person who is a member of the Astro Pension Plan and who is designated by the
board of directors of the Corporation as being eligible to receive a Retirement Allowance. 
 (f) “Covered
Service” means, with respect to a Covered Executive, a number of years and completed months equal to his period of “Service” for purposes of the Astro Pension Plan. For purposes of this Plan, “Service”, as defined under the
Astro Pension Plan, shall include Service with the Corporation and its Affiliates. Covered Service shall not exceed 35 years. 
 (g) “Early Retirement Date” means retirement from employment with Corporation and all Affiliates after attaining age 55 with 10 years of Covered Service. 

(h) “Effective Date” means September 1, 1993. 

(i) “Final Average Earnings” shall have the meaning ascribed under the terms of the Spar Pension Plan except
that it will not be subject to the compensation limitation imposed by Internal Revenue Code Section 401(a)(17). 
 (j) “Former Covered Executive” means a Covered Executive who is no longer an active Covered Executive of the Plan but who remains entitled to benefits under the Plan and is not yet receiving a
Retirement Allowance. 

  
 - 2 -

 (k) “Normal Retirement Date” means retirement from employment with
Corporation and all Affiliates after attaining age 65. 
 (l) “Postponed Retirement Date” means the
actual retirement date of a Covered Executive who continues employment with the Corporation or any Affiliate beyond Normal Retirement Date. 
 (m) “Plan” means the plan to provide Retirement Allowances set forth herein and as amended from time to time, which shall be known as the Astro Aerospace Corporation Supplemental Executive
Retirement Plan. 
 (n) “Plan Year” means the period January 1 to December 31. 

(o) “Retired Executive” means a Covered Executive or Former Covered Executive who has retired and is receiving
a Retirement Allowance under the Plan. 
 (p) “Retirement Allowance” means an amount payable to a
Covered Executive, a Former Covered Executive or a Spouse under the terms of the Plan. 
 (q) “Spar Pension
Plan” or “Registered Plan” means the Spar Aerospace Limited Pension Plan for Executive Employees, as amended from time to time. 
 (r) “Spar SERP” means the Spar Aerospace Limited Supplemental Executive Retirement Plan. 
 (s) “Spouse” means, with respect to a (Former) Covered Executive, that person to whom the (Former) Covered Executive is lawfully married at the relevant time. 

(t) “Total and Permanent Disability” means a physical or mental condition which results in a Covered Executive
being eligible to receive disability benefits under the federal Social Security program, or under any formal program of long-term disability insurance provided by the Corporation or its Affiliates. 

  
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 ARTICLE II 
 DESIGNATION OF COVERED EXECUTIVES 
 The Board of Directors of the Corporation
(“Board”) shall, from time to time, in its discretion, designate as Covered Executives, for the purposes of the Plan, individuals who are members of the Astro Pension Plan. Once an individual is designated as a Covered Executive, the Board
shall notify such Covered Executive in writing of his designation and shall provide him with a copy of the Plan. 

  
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 ARTICLE III 
 RETIREMENT BENEFITS 
 3.01 Retirement Allowance on Normal or Postponed
Retirement Date. A Covered Executive retiring on his Normal Retirement Date or on his Postponed Retirement Date shall be entitled to receive a monthly Retirement Allowance equal to the excess of: 

(a) 1/12 x 2% x the Covered Executive’s Final Average Earnings multiplied by his Covered Service; over 

(b) The sum of the monthly benefits payable to the Covered Executive under the Astro Pension Plan and any other qualified
retirement plan to the extent such benefits are attributable to contributions of the Corporation or its Affiliates on the Covered Executive’s behalf, excluding employee deferrals and employer matching contributions under the Astro Aerospace
Corporation 401(k) Savings Plan (“401(k) Plan”). 
 The benefits payable or benefits that would be
payable under (a) and (b) above shall be determined as follows: 
 (i) under the Astro Pension Plan
(or any other defined benefit plan of the Corporation or its Affiliates in which the Covered Executive participates or participated) assuming a straight life annuity form of benefit; and 

(ii) under any defined contribution plan of the Corporation or its Affiliates in which the Covered Executive
participates or participated assuming the Covered Executive’s account balance(s) attributable to contributions by the Corporation or its Affiliates (other than elective salary deferrals, other employee contributions, employer matching
contributions and earnings thereon) is paid in the form of a single life annuity beginning on the date the payment of the Retirement Allowance commences. 
 When determining the amount of the Covered Executive’s benefits in any plan, any such benefits paid out prior to the date on which the Retirement Allowance is determined (e.g., hardship withdrawals,
payments pursuant to a qualified domestic relations order or other in-service withdrawal) shall be treated as if no such payment was made and shall be included in the calculation of (a) and (b) above in accordance with Section 3.05
herein. 

  
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 3.02 Retirement Allowance on Early Retirement Date. A Covered Executive who retires
on an Early Retirement Date shall be entitled to receive a Retirement Allowance commencing on his Early Retirement Date calculated in accordance with Section 3.01 provided that: 

(a) The amounts in Subsection 3.01(a) and 3.01(b) will be reduced to take into account the early receipt of the
Retirement Allowance. The reduction will be calculated consistent with the actuarial reduction applied to the benefit under the Astro Pension Plan; and 
 (b) The benefits under the Astro Pension Plan and any other qualified retirement plan of the Corporation or its Affiliates will be determined according to the applicable terms of such plan(s) at the Early
Retirement Date. 
 3.03 Payment of Retirement Allowance. Retirement Allowances shall be paid on the first day of each
month commencing after the Covered Executive’s Normal Retirement Date, Early Retirement Date or Postponed Retirement Date, as the case may be, and, subject to Section 3.04, ceasing with the 360th monthly payment or, if earlier, the payment
made coincident with or immediately preceding the death of the Covered Executive. 
 3.04 Retirement
Allowance Payable to Surviving Spouse of a Covered Executive. If a Covered Executive who has a Spouse at the date payment of his Retirement Allowance commences, dies after retirement but before receiving 360 monthly payments of his Retirement
Allowance under the Plan, such Spouse is entitled to receive a monthly amount equal to 66 2/3% of the monthly amount paid to the Covered Executive in the month immediately preceding his date of death from the Plan. 

This monthly amount is payable to the Spouse for the balance of the 360 payments or until the death of the Spouse,
whichever occurs first. 
 3.05 Deeming Rule. If the benefits payable to a Covered Executive or his Spouse under the
Astro Pension Plan or any other qualified plan of the Corporation or its Affiliates are (were): 
 (i) commuted
at the election of the Covered Executive or his Spouse, or; 
 (ii) divided pursuant to a decree, order or
judgment of a competent tribunal, or a written separation agreement, relating to a division of property between the Covered Executive and his Spouse or former Spouse in settlement of rights arising out of their marriage or other conjugal
relationship, on or after the breakdown of the marriage or other relationship; for the purposes of calculating the amount of the Covered Executive’s or the surviving Spouse’s Retirement Allowance, the benefits payable under such plans
shall be deemed to be equal to the amount of the benefit that would have been payable if such election to commute or such division of the benefits under the 

  
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plans had not been made and payment of such benefits commenced at the same time as the Retirement Allowance. 

  
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 ARTICLE IV 
 TERMINATION OF SERVICE 
 4.01 Termination Benefits. A Covered Executive,
who has been a member of the Astro Pension Plan for 24 continuous months and whose employment with the Corporation and its Affiliates is terminated for any reason other than retirement or death prior to his Normal Retirement Date, shall be entitled
to a Retirement Allowance commencing, subject to Section 4.02, on his Normal Retirement Date. The Retirement Allowance shall be determined in accordance with section 3.01. 

4.02 Early Commencement of Deferred Retirement Allowance. A Former Covered Executive who is entitled to a Retirement Allowance
payable under the terms of Section 4.01 who has elected to receive Early Retirement benefits under the Astro Pension Plan will commence receipt of his Retirement Allowance prior to his Normal Retirement Date coincident with the commencement of
benefit payments from the Astro Pension Plan provided that he attained the age of 55 and had ten (10) years of Covered Service on his date of termination. The Retirement Allowance payable from such date shall be reduced to take into account the
early receipt of the Retirement Allowance. The reduction will be calculated consistent with the actuarial reduction which would be applied under the Astro Pension Plan for an Early Retirement. 

4.03 Applicable Provisions. The provisions of Section 3.03 and 3.04 apply to Retirement Allowances paid under Article IV,
with such wording changes as may be necessary. However, the provisions of Article V shall apply when a Former Covered Executive dies prior to commencement of his Retirement Allowance. 

  
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 ARTICLE V 
 DEATH BENEFITS 
 5.01 Benefits on Covered Executive’s Death Prior to
Retirement. If a Covered Executive dies prior to commencement of a Retirement Allowance, the person who is his Spouse at the date of his death shall be entitled to a monthly amount equal to the excess of: 

(a) 66 2/3% of the amount in Subsection 3.01(a) of the Plan calculated at the date of the Covered Executive’s death,

 less 
 (b) an amount, if any, equal to the sum of the monthly survivor benefits from the Astro Pension Plan and any other qualified plan of the Corporation or Affiliate payable to the Spouse in the same month.

 The actual benefits under the Astro Pension Plan and any other qualified plan of the Corporation or Affiliate
will be determined according to the applicable terms of such plan(s) at the date of the Covered Executive’s death and shall not include benefits attributable to the Covered Executive’s salary deferrals or matching contributions and
earnings thereon under the 401(k) Plan. 
 Payment of the Spouse’s benefit will commence on the first day
of the month following the Covered Executive’s date of death. 
 This monthly amount is payable to the
Spouse for 360 monthly payments or until the death of the Spouse, whichever occurs first. 
 5.02 Benefits on a Former
Covered Executive’s Death Prior to Retirement. If a Former Covered Executive dies prior to commencement of a Retirement Allowance, his Spouse at the date of death shall be entitled to receive a Retirement Allowance equal to the Retirement
Allowance calculated in accordance with Section 5.01 provided that: 
 (a) The amounts in subsection 3.01
will be reduced to take into account the early receipt of the Retirement Allowance. The reduction will be calculated consistent with the actuarial reduction applied to the benefit under the Astro Pension Plan; and 

(b) The actual benefits under the Astro Pension Plan and any other qualified plan of the Corporation or Affiliate will be
determined according to the applicable terms 

  
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of such plan(s) at the Former Covered Executive’s date of termination of employment with the Corporation and its Affiliates. 

Payment of the Spouse’s benefit will commence on the later of (1) first day of the month following the Former
Covered Executive’s date of death, (2) the Annuity Starting Date (as defined under the Astro Pension) elected by the surviving Spouse, or (3) the first date the surviving Spouse receives payment of the death benefit under the Astro
Pension Plan. 
 This monthly amount is payable to the Spouse for 360 monthly payments or until the death of the
Spouse, whichever occurs first. 

  
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 ARTICLE VI 
 DISABILITY BENEFITS 
 6.01 Disabled Covered Executives. A Covered Executive
who is receiving benefits under a long-term disability benefit plan designated by the Corporation shall continue to be a Covered Executive. Such Covered Executive’s Covered Service shall continue to accrue during the covered disability. The
Covered Executive’s Final Average Earnings while on disability shall be deemed to be equal to the Final Average Earnings in effect immediately preceding the commencement of the disability. 

If the disabled Covered Executive does not return to active employment with the Corporation or any Affiliate, he will be entitled to
receive a Retirement Allowance commencing, subject to Section 6.02, on his Normal Retirement Date calculated in accordance with Section 3.01, based on his Final Average Earnings on his date of disability and his Covered Service at his
Normal Retirement Date. 
 6.02 Disability Retirement. A Covered Executive who, while in the employ of the Corporation or
any Affiliate and, prior to his Normal Retirement Date: 
 (1) incurs a Total and Permanent Disability;

 (2) does not qualify or ceases to qualify for benefits under any salary continuance or long-term disability
benefits plan designated by the Corporation, or any applicable Worker’s Compensation legislation; and 

(3) retires under the Astro Pension Plan; 
 will be entitled to receive a Retirement Allowance coincident with the commencement of the payment of his benefit under the Astro Pension Plan. Such Retirement Allowance shall be equal to the amount
calculated in accordance with Section 3.02 based on his Final Average Earnings on his date of disability and his Covered Service at his date of retirement. 
 6.03 Applicable Provisions. The provisions of Sections 3.03 and 3.04 apply to Retirement Allowances paid under Article VI, with such wording changes as may be necessary. However, the provisions of
Article V shall apply when a disabled Covered Executive dies prior to commencement of his Retirement Allowance. 

  
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 ARTICLE VII 
 ADMINISTRATION 
 The Corporation is the Administrator of the Plan. The
Administrator shall be responsible for the general administration of the Plan and shall perform all administrative functions and shall interpret, construe and apply the Plan provisions in accordance with its terms. The Corporation as Administrator
may establish, adopt or revise rules and regulations as it deems necessary or advisable for the administration of the Plan. The Corporation may consult with and rely upon the advice of such counsel, actuaries and other advisors as it shall see fit.

  
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 ARTICLE VIII 
 AMENDMENT OR TERMINATION OF THE PLAN 
 It is the intention of the Corporation in
establishing the Plan that it should operate to the indefinite future. The Corporation does however, reserve the sole right to terminate the Plan at any time. The Corporation further reserves the right in its sole discretion to amend the Plan in any
respect; provided, however, that no such amendment that reduces the value of the benefits therefore accrued by the Covered Executive shall be effective unless the Covered Executive consents to such amendment in writing. 

In the event of termination of the Plan, the value of the benefits accrued by the Covered Executive at the time of termination will be
determined assuming the Astro Pension Plan and all other qualified retirement plans of the Corporation and it’s Affiliates are terminated at the same time. Any amendment or termination shall be made pursuant to a resolution of the Board of
Directors of the Corporation and shall be effective as of the date specified in such resolution. 

  
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 ARTICLE IX 
 CLAIMS REVIEW PROCEDURE 
 9.01 Denial of Benefits. If a Retirement
Allowance under the Plan is wholly or partially denied, notice of the decision shall be furnished to the Covered or Former Covered Executive or Spouse (claimant) as the case may be by the Administrator within a reasonable period of time after such
decision is reached. 
  

	9.02	 Notice. Any claimant who is denied a claim for Benefits shall be furnished written notice setting forth: 

(a) the specific reason or reasons for the denial; 

(b) specific reference to the pertinent provision of the Plan upon which the denial is based; 

(c) a description of any additional material or information necessary for the claimant to perfect the claim; and

 (d) an explanation of the claim review procedure under the Plan. 

9.03 Appeals Procedure. In order that a claimant may appeal a denial of a claim, the claimant or the claimant’s duly
authorized representative may: 
 (a) request a review by written application to the Administrator, or its
designate, no later than 60 days after receipt by the claimant of written notification of denial of a claim; 

(b) review pertinent documents; and 

(c) submit issues and comments in writing. 
 9.04 Review. A decision on review of a denied claim shall be made not later than 60 days after receipt of a request for review, unless special circumstances require an extension of time for
processing, in which case a decision shall be rendered within a reasonable period of time, but not later than 120 days after receipt of a request for review. The decision on review shall be in writing and shall include the specific reason(s) for the
decision and the specific reference(s) to the pertinent provisions of the Plan on which the decision is based. 

  
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 ARTICLE X 
 GENERAL 
 10.01 No Employment Rights. Nothing herein shall constitute a
contract of continuing employment or in any manner obligate the Corporation to continue the service of a Covered Executive, or obligate a Covered Executive to continue in the service of the Corporation, and nothing herein shall be construed as
fixing or regulating the compensation paid to Covered Executive. 
 10.02 No Claim Against the Company. Neither a Covered
Executive nor any other person shall acquire by reason of the Plan any right in or title to any assets, funds or property of the Corporation whatsoever including, without limiting the generality of the foregoing, any specific funds or assets which
the Corporation, in its sole discretion, may set aside in anticipation of a liability hereunder. Any trust which is created in connection with this Plan or any agreement shall provide that the assets of the trust are subject to the claims of the
Corporation’s general creditors. A Covered Executive shall have only a Contractual right to the amounts, if any, payable hereunder unsecured by any asset of the Corporation. 

10.03 Incompetence. If the Administrator determines that any person entitled to any payment hereunder is incompetent by reason of
any physical or mental disability, and consequently unable to give a valid receipt, the Administrator may cause any payment due to such person to be made to another person for his benefit, without responsibility on the part of the Administrator to
follow the application of such funds. Payment made pursuant to this section 10.03 shall operate as a complete discharge of the responsibility of the Administrator. 
 10.04 Nonassignability. Neither a Covered Executive nor any other person shall have any right to commute, sell, assign, transfer, pledge, anticipate, mortgage or otherwise encumber, transfer,
hypothecate or convey in advance of actual receipt the amounts, if any, payable hereunder, or any part thereof, which are, and all rights to which are, expressly declared to be unassignable and non-transferable. No part of the amounts payable shall,
prior to actual payment, be subject to seizure or sequestration for the payment of any debts, judgments, alimony or separate maintenance owed by a Covered Executive or any other person, nor be transferable by operation of law in the event of a
Covered Executive’s or any other person’s bankruptcy or insolvency. 
 10.05 Continuance of Payments. The
payment of a Retirement Allowance to a Covered Executive or Former Covered Executive, or to his surviving Spouse, is subject to satisfactory proof of the existence of 

  
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a Covered Executive or Former Covered Executive, or his surviving Spouse, as the case may be, as may be required from time to time by the Administrator. 

10.06 Notice. Any notice required or permitted to be given to the Administrator of the Plan shall be sufficient if in writing and
hand delivered, or sent by registered or certified mail, to the principal office of the Corporation, directed to the attention of the Administrator. Such notice shall be deemed given as of the date of delivery or, if delivery is made by mail, as of
the date shown on the postmark or on the receipt for registration or certification. 
 10.07 Gender and Number. Wherever
appropriate herein, the masculine may mean the feminine and the singular may mean the plural or vice versa. 
 10.08
Corporate Successors. The Plan shall not be automatically terminated by a transfer or sale of assets of the Corporation or the merger or consolidation of the Corporation into or with any other corporation or other entity, but the Plan shall be
continued after such sale, merger or consolidation only if and to the extent that the transferee, purchaser or successor entity agrees to continue the Plan. In the event that the Plan is not continued by the transferee, purchaser or successor
entity, then the Plan shall terminate subject to the provisions of Article VIII. 
 10.09 Unclaimed Benefits. Each
Covered Executive shall keep the Corporation informed of his current address and the current address of his Spouse. The Corporation shall not be obligated to search for the whereabouts of any person. If the location of a Covered Executive is not
made known to the Corporation within three (3) years after the date on which payment of the Covered Executive’s Retirement Allowance may first be made, payment may be made as though the Covered Executive had died at the end of the
three-year period. If, within one additional year after such three-year period has elapsed, or, within three years after the actual death of a Covered Executive, the Corporation is able to locate any surviving Spouse of the Covered Executive, then
the Corporation shall have no further obligation to pay any benefit hereunder to such Covered Executive or surviving Spouse or any other person and such benefit shall be irrevocably forfeited. 

10.10 Withholding; Employment Taxes. To the extent required by the law in effect at the time payments are made, the Corporation
shall withhold from payments made hereunder any taxes required to be withheld by the Federal or any state or local government. 

10.11 Validity. In the event any provision of this Plan is held invalid, void or unenforceable, the same shall not affect, in any
respect whatsoever, the validity of any other provision of this Plan. 

  
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 10.12 Applicable Law. This Plan shall be governed and construed in accordance with
the laws of the State of California. 

  
 - 17 -

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