HBI » Topics » 6.05 Contribution Limitations

This excerpt taken from the HBI 8-K filed Sep 5, 2006.

6.05 Contribution Limitations

For each Limitation Year, the Annual Addition to a Participant’s Accounts under the Plan and under any other defined contribution plan maintained by any Employer shall not exceed the lesser of $44,000 (as adjusted from time to time pursuant to Code Section 415(d)) or one hundred percent (100%) of the Participant’s Compensation (within the meaning of Code Section 415(c)(3)) during that Limitation Year. The compensation limit referred to in the preceding sentence shall not apply to any contribution for medical benefits after separation from service (within the meaning of Code Section 401(h) or Code Section 419A(f)(2)) that is otherwise treated as an Annual Addition. Direct transfers and Rollover Contributions accepted by the Trustee pursuant to Subsection 4.04 shall not be considered as part of any Annual Addition. If, for any Limitation Year, the amount that would otherwise be credited to a Participant’s Account exceeds the foregoing limitations, the Committee may elect that (a) all or a portion of the

 

37


Participant’s Before-Tax Contributions for that Limitation Year, and any earnings attributable to such contributions, may be returned to the Participant; (b) such excess amounts may be held in a suspense account under the Plan and credited to the Participant’s Account in subsequent years; or (c) any other correction method permitted under Treasury Regulation Section 1.415-6(b)(6) may be utilized to eliminate the excess amount; provided that the Committee shall make such election in a consistent and nondiscriminatory manner in any Limitation Year.

 

38


Wikinvest © 2006, 2007, 2008, 2009, 2010, 2011, 2012. Use of this site is subject to express Terms of Service, Privacy Policy, and Disclaimer. By continuing past this page, you agree to abide by these terms. Any information provided by Wikinvest, including but not limited to company data, competitors, business analysis, market share, sales revenues and other operating metrics, earnings call analysis, conference call transcripts, industry information, or price targets should not be construed as research, trading tips or recommendations, or investment advice and is provided with no warrants as to its accuracy. Stock market data, including US and International equity symbols, stock quotes, share prices, earnings ratios, and other fundamental data is provided by data partners. Stock market quotes delayed at least 15 minutes for NASDAQ, 20 mins for NYSE and AMEX. Market data by Xignite. See data providers for more details. Company names, products, services and branding cited herein may be trademarks or registered trademarks of their respective owners. The use of trademarks or service marks of another is not a representation that the other is affiliated with, sponsors, is sponsored by, endorses, or is endorsed by Wikinvest.
Powered by MediaWiki