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These excerpts taken from the EMC 10-K filed Mar 2, 2009. Article 6. PAYMENTS 6.1. Payment Upon Separation from Service. Subject to Sections 6.3 and 6.4 (concerning death and Disability), a Participant who has a Separation from Service will receive his or her vested Account balance in the manner described in (a) below unless he or she elects, in accordance with Section 4.1, a distribution method described in (b). A Participant may have different distribution forms for the Elective Deferral Subaccount and the Company Credit Subaccount. Distributions will generally be made in cash, except that Compensation payable in Company Stock may be paid in Company Stock. (a) Default Distribution Method. Except as provided in (b) below, a Participant's vested Account balance will be payable in a single lump sum within ninety (90) days following the Participant's Separation from Service. (b) Distribution Methods Available for Participants' (Other than Directors) on Retirement. Participants, other than a Participant who is a Director, whose Separation from Service results from Retirement may elect to receive their vested Account balances under this subsection (b). (1) Installments. A Participant may elect, in accordance with Section 4.1, to receive the vested balance of his or her Account in five (5), ten (10), or fifteen (15) annual installments, commencing in January of the year elected and continuing in each succeeding January until fully paid. If a Participant fails to elect a commencement date, payments will commence in January of the year following the Participant's Retirement. The amount of each installment payment is determined by dividing the Participant's applicable Account balance (adjusted through the day before the installment is paid) by the number of installments remaining. (2) Other Methods. The Administrator, in its sole discretion, shall have discretion to provide that a Participant may elect under Section 4.1 to receive the balance of his or her Account at times or forms other than those specified in this section 6.1. 6.2. In-Service DistributionPayment on a Fixed Date or Schedule. This Section 6.2 applies only to a Participant's Elective Deferral Subaccount. Company Credit Subaccounts are subject to the other sections of this Article 6. (a) General. A Participant may elect, in accordance with Section 4.1, a year as the fixed distribution date or for the commencement of payment. Amounts subject to this election are payable in a single lump sum in January of the year elected or in five (5), ten (10) or fifteen (15) annual installments commencing in January of the year elected. The fixed distribution date cannot be earlier than the day after the third anniversary of the last day of the Plan Year in which the Compensation was deferred. For distributions payable in annual installments, the first installment will be paid in January of the year elected, and succeeding installments will be paid in January of the years following the year elected. The amount of each installment is determined by dividing the Participant's applicable Account balance (adjusted through the day before the installment is paid) by the number of installments remaining. Any lump sum or installment distributions will generally be paid in cash, except that Compensation payable in Company Stock may be paid in Company Stock. (b) Payment Events Occurring Before Scheduled Commencement Date. If a Participant's Separation from Service or Disability occurs before the fixed distribution date, no payments will be made under this Section 6.2. The balance of the Participant's Elective Deferral Subaccount will be paid in accordance with the other sections of this Article 6. (c) Payment Events Occurring After Installments Commence. (1) If a Participant's Separation from Service occurs by reason of Retirement after the fixed distribution date has occurred and the Participant had elected to receive distributions under this Section 6.2 in installments, then payments will continue be made in accordance with that election. (2) If a Participant's Separation from Service occurs for any reason other than Retirement after the fixed distribution date has occurred, and the Participant had elected to receive distributions under this Section 6.2 in installments, the remaining portion of the distribution will be made in a single lump sum payment to the Participant within ninety (90) days after the Participant's Separation from Service. 6.3. Payment Upon Death. If a Participant's Separation from Service occurs because of his or her death, both the Elective Deferral Subaccount and the Company Credit Subaccount will be paid to the Participant's beneficiary or estate in a single lump sum within ninety (90) days following the Participant's death. Payments will generally be made in cash, except that Compensation payable in Company Stock may be paid in Company Stock. A Participant may designate a beneficiary or beneficiaries who will be entitled to receive the balance of the Participant's Account upon his or her death. This designation must be made on a form (whether written, electronic, or otherwise) prescribed or approved by the Administrator and may be revoked on a form (whether written, electronic, or otherwise) prescribed or approved by the Administrator at any time before the Participant dies. If a Participant fails to designate a beneficiary or no designated beneficiary survives the Participant, then payments under this Section will be made to the Participant's estate. 6.4. Payment Upon Disability. Upon the determination of a Participant's Disability, both the Elective Deferral Subaccount and the Company Credit Subaccount will be paid to the Participant in a single lump sum within ninety (90) days following the Participant's Disability. Payments will generally be made in cash, except that Compensation payable in Company Stock may be paid in Company Stock. 6.5. Payment Upon a Change of Control. A Participant may elect, in accordance with Section 4.1, to receive the balance of his or her Account in a single lump sum thirty (30) days following the Change of Control. Payments will generally be made in cash, except that Compensation payable in Company Stock may be paid in Company Stock. 6.6. Payment or Cessation of Deferrals Upon Unforeseeable Emergency. (a) General. A Participant is not generally entitled to a distribution of any portion of his or her Account before payments are otherwise due in accordance with the Plan and any timely election made under the Plan. However, if a Participant has an unforeseeable emergency that results in a severe financial hardship, the Administrator may authorize, on a nondiscriminatory basis, a cessation of deferrals under this Plan and/or a distribution from the Participant's Elective Deferral Subaccount in the minimum amount required to meet the need created by the unforeseeable emergency (including any taxes or penalties due as a result of the distribution). The distribution will be paid within seven (7) days after the Administrator determines that the unforeseeable emergency exists under (b) below. (b) Unforeseeable Emergency. An "unforeseeable emergency" is a severe financial hardship to the Participant resulting: (1) from an illness or accident of the Participant or of the Participant's spouse, beneficiary, or dependent (as defined in Code section 152, without regard to section 152(b)(1), (b)(2), and (d)(1)(B)); (2) from the loss of the Participant's property due to casualty (including the need to rebuild a home following damage to the home not otherwise covered by insurance); or (3) from other similar extraordinary and unforeseeable circumstances arising as a result of events beyond the Participant's control (e.g., the imminent foreclosure of or eviction from the Participant's primary residence, the need to pay for medical expenses and prescription drugs or funeral expenses of a spouse, beneficiary or dependent). The Participant must supply written evidence of the financial hardship and must declare, under penalties of perjury, that the Participant has no other resources available to meet the emergency. The Participant must also declare that the need cannot be met by any of the following: (1) reimbursement or compensation by insurance or otherwise; (2) reasonable liquidation of the Participant's assets to the extent the liquidation will not itself cause severe financial hardship; or (3) ceasing the Participant's deferrals under this Plan. (c) Hardship Distribution Under 401(k) Plan. In the event a Participant receives a hardship distribution pursuant to the regulations under section 401(k) of the Code, from the Company's 401(k) Plan, deferrals under this Plan shall cease for a period of six months. 6.7. Payments to a Participant Who is or was an Eligible Director and an Eligible Employee. Notwithstanding anything in this Article 6 to the contrary, if payments are to be made from a Participant's Account and the Participant is or was both an Eligible Director and an Eligible Employee, then the payments will be treated separately. Any payments attributable to the portion of the balance of the Participant's Account that is attributable to Compensation earned by the Participant as an employee of the Company or any of its Subsidiaries will be paid in accordance with the provisions of this Article 6 applicable to Participants who are not Eligible Directors. The portion of the balance of the Participant's Account attributable to Compensation earned by the Participant for his or her service as an Eligible Director will be paid in accordance with the provisions of this Article 6 applicable to Participants who are Eligible Directors. 6.8. Payments to Specified Employees. Amounts payable under this Article 6 upon a Specified Employee's Separation from Service, other than death, will be paid six (6) months after Separation from Service. If the Participant elected to receive installments upon Separation from Service, this Section will affect only the first payment if that payment is scheduled to occur earlier than six (6) months after Separation from Service; all other installment payments will be paid as scheduled. Article 6. PAYMENTS SIZE=2>6.1. Payment Upon Separation from SIZE=2>(a) Default Distribution Method. Except as provided in (b) below, a Participant's vested Account balance SIZE=2>(b) Distribution Methods Available for Participants' (Other than Directors) on Retirement. Participants, other than a (1) SIZE=2>Installments. A Participant may elect, in accordance with Section 4.1, to receive the vested balance (2) SIZE=2>Other Methods. The Administrator, in its sole discretion, shall have discretion to provide that a SIZE=2>6.2. In-Service DistributionPayment on a Fixed Date or SIZE=2>(a) General. A Participant may elect, in accordance with Section 4.1, a year as the fixed distribution (15) annual SIZE=2>(b) Payment Events Occurring Before Scheduled Commencement Date. If a Participant's Separation from Service or SIZE=2>(c) Payment Events Occurring After Installments Commence. (1) If (2) If SIZE=2>6.3. Payment Upon Death. If a SIZE=2>6.4. Payment Upon Disability. Upon the SIZE=2>6.5. Payment Upon a Change of Control. A SIZE=2>6.6. Payment or Cessation of Deferrals Upon Unforeseeable SIZE=2>(a) General. A Participant is not generally entitled to a distribution of any portion of his or her Account unforeseeable SIZE=2>(b) Unforeseeable Emergency. An "unforeseeable emergency" is a severe financial hardship to the Participant The SIZE=2>(c) Hardship Distribution Under 401(k) Plan. In the event a Participant receives a hardship distribution SIZE=2>6.7. Payments to a Participant Who is or was an Eligible Director and an Eligible SIZE=2>6.8. Payments to Specified This excerpt taken from the EMC 10-K filed Feb 27, 2007. Article 6.PAYMENTS
6.1. Payment Upon Retirement or Resignation of Service. In the event a Participants employment with the Company or any of its Subsidiaries is terminated due to the Participants Retirement, or in the event that a Participants service as a director of the Company is terminated due to the Participants Resignation of Service, then beginning in the January following such Retirement or Resignation of Service, payments will be made to the Participant as follows:
(a) With respect to the Participants Elective Deferral Subaccount, unless the Participant elects an alternative form of payment as described in Section 6.1(c) either in the initial Elective Deferral election or an effective election to change the time or form of distribution, as described in Section 4.1, payments to be made upon Retirement or Resignation of Service will be made in a single lump sum payment comprised of cash or, in the case of Compensation payable in Company Stock, Company Stock.
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(b) With respect to the vested portion, if any, of the Participants Company Credit Subaccount, unless the Participant makes an effective election to change the time or form of distribution, as described in Section 4.1, payments to be made upon Retirement will be made in a single lump sum in cash or, in the case of Compensation payable in Company Stock, in Company Stock. The unvested portion, if any, of the Participants Company Credit Subaccount shall be forfeited automatically upon Retirement.
(c) A Participant may elect, either in the initial Elective Deferral election or by means of an effective election to change the time or form of distribution, as described in Section 4.1, to receive the balance of the Participants Account in payments of five, ten or fifteen annual installments. A Participant shall elect, either in the initial Elective Deferral election or an effective election to change the time or form of distribution, as described in Section 4.1, the year in which the first installment shall be made following Retirement or Resignation of Service. The first installment shall be made in January of the year elected and succeeding installments shall be made in January of the four, nine, or fourteen years, as applicable, following the year elected. If a Participant shall fail to elect the date upon which the first installment shall be made following Retirement or Resignation of Service, then the first installment shall be made the January following Retirement or Resignation of Service and succeeding installments shall be made in January of the following four, nine, or fourteen years, as applicable. The amount of each installment shall be determined by dividing the Participants applicable Account balance (adjusted through the day before the installment is paid) by the number of installments remaining. Notwithstanding the foregoing, subject to the prior approval of the Administrator in its sole discretion, a Participant may elect, either in the initial Elective Deferral election or an effective election to change the time or form of distribution, as described in Section 4.1, to receive the balance of the Participants Account in such amounts and at such times as the Participant shall describe in such election. Any election made under this Section 6.1(c) shall be made on a form (whether written, electronic, or otherwise) prescribed or approved by the Administrator.
6.2. In-Service Distribution. In connection with his or her election to defer Compensation pursuant to Section 4.1, a Participant may specify a year as the fixed distribution date for the commencement of payment of his or her Elective Deferral Subaccount which may be prior to termination of employment or termination of service as a director of the Company, which shall be payable in a single lump sum distribution in January of the year elected or in five annual installments commencing in January of the year elected; provided, however, that such fixed distribution date shall not be earlier than the third anniversary of the last day of the Plan Year in which such Compensation was deferred. Any lump sum or installment distributions shall be paid in cash or, in the case of Compensation payable in Company stock, in Company Stock. If such
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distribution is to be paid in five annual installments, then the first installment shall be made in January of the year elected and succeeding installments shall be made in January of the four years following the year elected (for a total of five installments). The amount of each installment shall be determined by dividing the Participants applicable Account balance (adjusted through the day before the installment is paid) by the number of installments remaining. Any election made under this Section 6.2 shall be made in on a form (whether written, electronic, or otherwise) prescribed or approved by the Administrator and may be changed on a form (whether written, electronic, or otherwise) prescribed or approved by the Administrator only as provided in Section 4.1(c).
In the event the Participants employment with the Company or any of its Subsidiaries or service as a director of the Company is terminated prior to the fixed distribution date, then no payments shall be made pursuant to this Section 6.2 and, instead, the balance of the Participants Elective Deferral Subaccount shall be paid based on the Participants termination of employment by reason of Retirement, Disability, death or otherwise, or termination of service as a director of the Company by reason of Resignation of Service, Disability, death or otherwise, as the case may be. In the event the Participants employment with the Company or any of its Subsidiaries is terminated by reason of Retirement, Disability or death or the Participants service as a director of the Company is terminated by reason of Resignation of Service, Disability or death, as the case may be, after the fixed distribution date has occurred and the Participant had elected to receive such distribution under this Section 6.2 in five annual installments, then payments shall be made at the same time and in the same manner as elected by the Participant under this Section 6.2. In the event the Participants employment with the Company or any of its Subsidiaries is terminated for any reason other than Retirement, Disability or death or the Participants service as a director of the Company is terminated for any reason other than Resignation of Service, Disability or death after the fixed distribution date has occurred and the Participant had elected to receive such distribution under this Section 6.2 in five annual installments, then notwithstanding such election, the remaining portion of the distribution shall be made in a single lump sum payment to the Participant 30 days after the Participants employment with the Company or any of its Subsidiaries is terminated for any reason other than Retirement, Disability or death or the Participants service as a director of the Company is terminated for any reason other than Resignation of Service, Disability or death. Any lump sum or installment distributions shall be paid in cash or, in the case of Compensation payable in Company Stock, in Company Stock.
6.3. Payment Upon Termination of Employment or Service as a Director Other than by Retirement or Resignation of Service. In the event a Participants employment with the Company or any of its Subsidiaries or service as a director of the Company is terminated other than by Retirement or Resignation of Service (including by death or Disability), then 30 days following the termination (or, in the case of Disability, the determination of a Disability), payments of both the Elective Deferral Subaccount and the Company Credit Subaccount will be
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made to the Participant (or the Participants beneficiary or estate, in the case of the Participants death) in a lump sum. Payments shall be made in cash or, in the case of Compensation payable in Company Stock, in Company Stock. A Participant shall designate his or her beneficiary or beneficiaries who, in the event of the Participants death, shall be entitled to receive the balance of the Participants Account. Such designation shall be made on a form (whether written, electronic, or otherwise) prescribed or approved by the Administrator, and may be revoked on a form (whether written, electronic, or otherwise) prescribed or approved by the Administrator at any time prior to the Participants death. If a Participant fails to designate a beneficiary or no designated beneficiary survives the Participant, then payments hereunder shall be made to the Participants estate.
6.4. Payment Upon a Change of Control. In connection with his or her election to defer Compensation pursuant to Section 4.1, a Participant may elect to receive the balance of the Participants Account in a single lump sum distribution payable in cash or, in the case of Compensation payable in Company Stock, in Company Stock, 30 days following the Administrators determination that there has been a Change of Control. Any election made under this Section 6.4 shall be made on a form (whether written, electronic, or otherwise) prescribed or approved by the Administrator and may be changed on a form (whether written, electronic, or otherwise) prescribed or approved by the Administrator only as provided in Section 4.1(c).
6.5. Severe Financial Hardship Distribution. A Participant shall not be entitled to distribution of any portion of his or her Accounts before payments are otherwise due under the normal terms of the Plan or a timely election made under the terms of the Plan. However, in cases of extreme financial hardship, the Administrator may authorize (on a nondiscriminatory basis and taking into account other resources of the Participant) a hardship distribution to be made 7 days following determination of the hardship, of the portion of a Participants deferral Account in the minimum amount that is required to meet the need created by the extreme financial hardship.
In order to qualify under this section, the hardship must be the result of an unforeseeable emergency. For this purpose, an unforeseeable emergency" is an extraordinary and unanticipated emergency that is caused by an event beyond the control of the Participant (such as an illness, accident or casualty) and that would result in severe financial hardship to the Participant if the early distribution were not permitted. The Participant must supply written evidence of the financial hardship and must declare, under penalty of perjury, that the Participant has no other resources available to meet the emergency, including the resources of the Participants spouse and minor children that are reasonably available to the Participant. The Participant must also declare that the need cannot be met by any of the following:
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6.6. Payments to a Participant Who is an Eligible Director and an Eligible Employee. Notwithstanding anything in this Article 6 to the contrary, in the event that payments are to be made from a Participants Account pursuant to this Article 6 and such Participant is or was both an Eligible Director and an Eligible Employee, then, the payments shall be made such that the portion of the balance of the Participants Account attributable to Compensation earned by the Participant as an employee of the Company or any of its Subsidiaries shall be paid in accordance with the applicable provisions of this Article 6 relating to the termination of such Participants employment by reason of Retirement, Disability, death or otherwise, as the case may be, and the portion of the balance of the Participants Account attributable to Compensation earned by the Participant for his or her service as a director of the Company shall be paid in accordance with the applicable provisions of this Article 6 relating to the termination of such Participants service as a director by reason of Resignation of Service, Disability, death or otherwise, as the case may be.
6.7. Payments to Specified Employees. Notwithstanding any other provision of this Plan, in the case of a Participant who is determined to be a specified employee for purposes of Code section 409A(a)(2)(B), no payment required to be made under this Plan as a result of Retirement, Resignation of Service, or termination of service other than by death or Disability, shall be made earlier than the date that is six months after termination.
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