Send us Feedback

Hanesbrands (HBI)
Analysis
SUMMARY
BULLS
BEARS
TOPICS
Data
DATA CENTRAL
STOCK CHART
Financials
SEC FILINGS
BALANCE
INCOME
CASH FLOW

HBI » Topics » 11.03 Hardship Withdrawals

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

11.03 Hardship Withdrawals

In the event a Participant suffers a serious financial hardship, such Participant may withdraw a portion of the vested balance in his or her Accounts (excluding his or her Annual Company Contribution Account, his or her Transition Contribution Account, any portion of his or her Before-Tax Contribution Account attributable to qualified non-elective contributions (if applicable), and any earnings credited to his or her Before-Tax Contribution Account on or after January 1, 1989) provided that the amount of the withdrawal is at least $250.00 and does not exceed the amount required to meet the immediate financial need created by the serious financial hardship.

 

  (a) Immediate and Heavy Need. A hardship shall be deemed on account of immediate and heavy financial need only if the withdrawal is on account of:

 

  (i) Tuition, related educational fees, and room and board expenses, for up to the next twelve (12) months of post-secondary education for the Participant or his or her spouse, children or dependants (determined under Code Section 152 without regard to Section 152(b)(1), (b)(2) and (d)(1)(B));

 

71

  (ii) A down payment and closing costs for the purchase of a primary residence;

 

  (iii) Medical expenses incurred by the Participant, the Participant’s spouse or any dependents of the Participant;

 

  (iv) The need to prevent eviction of the Participant from his or her primary residence or foreclosure on the mortgage of the Participant’s principal residence;

 

  (v) Payment for burial or funeral expenses for the Participant’s deceased parent, spouse, children or dependants (as defined in Code Section 152 without regard to the change in definition under Section 152(d)(1)(B));

 

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

To establish that the amount to be withdrawn is not reasonably available from other resources, the Participant shall be required to elect to receive a cash distribution of the dividends paid pursuant to Subsection 10.08 of the Plan attributable to his or her proportionate interest in the Sara Lee Corporation Common Stock Fund or Hanesbrands Inc. Common Stock Fund after the Spin-Off Date and to obtain all other in-service withdrawals, distributions and nontaxable loans available under this Plan and any other plan maintained by the Employer.

 

  (b) Necessary amount. A determination of whether the requirement that the withdrawal not exceed the amount required to meet the immediate financial need created by the serious financial hardship is satisfied shall be made on the basis of all relevant facts and circumstances in a consistent and nondiscriminatory manner; provided, however, that the Participant

 

72

must provide the Committee with a statement on which the Committee may reasonably rely, unless it has actual knowledge to the contrary, certifying that the Participant’s financial need cannot be relieved by all of the following means:

 

  (i) Through reimbursement or compensation by insurance or otherwise,

 

  (ii) By reasonable liquidation of the Participant’s assets, to the extent such liquidation would not itself cause an immediate and heavy financial need,

 

  (iii) By cessation of elective contributions under this Plan, or other distributions from this Plan, and

 

  (iv) By other distributions, such as the distribution of dividends which are currently available to the Participant, or nontaxable (at the time of the loan) loans from Plans maintained by the Employer or by any other employer, or by borrowing from commercial sources on reasonable commercial terms.

For purposes of this Subsection, the Participant’s resources shall be deemed to include those assets of his or her spouse and minor children that are reasonably available to the Participant. Property owned by the Participant and the Participant’s spouse, whether as community property, joint tenants, tenants by the entirety, or tenants in common, will be deemed a resource of the Participant. However, property held for the Participant’s child under an irrevocable trust or under the Uniform Gifts to Minors Act will not be treated as a resource of the Participant.

 

  (c) A Participant may not request more than two (2) withdrawals per calendar year under this Subsection.

 

73

  (d) Hardship withdrawals shall be made as soon as administratively feasible after the Committee has received the Participant’s withdrawal election and such information and documents from the Participant as the Committee shall deem necessary.
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