This excerpt taken from the SKYW 8-K filed Sep 13, 2005.
. Employee Benefits. (a) Except to the extent otherwise prohibited by applicable law, during the period commencing on the Closing Date and ending 90 days thereafter, Buyer shall cause the Company to provide to all employees of the Company who continue to be employed by the Company or Buyer on and after the Closing Date rates of compensation (including base wages or salary and bonus opportunity, but excluding equity or long term incentives) no less favorable than the rates of compensation provided by the Company to such employees immediately prior to the Closing Date, and benefits no less favorable, in the aggregate, than the benefits provided by the Company to such continuing employees immediately prior to the Closing Date. Nothing herein shall be construed, however, to require the Company or Buyer to continue after Closing the employment of any Company employee or to otherwise interfere with the Companys right to terminate any such employees at any time after Closing.
(b) Following the Closing Date, except to the extent otherwise prohibited by applicable law, each employee of the Company shall receive service credit for purposes of eligibility to participate and vesting (but not for benefit accrual purposes) for all periods of employment with the Company and its Affiliates and predecessors thereto prior to the Closing Date under any employee benefit plan of Buyer or its Affiliates in which such employee is eligible to participate after the Closing Date, to the extent such credit existed immediately prior to the Closing Date under the corresponding Employee Plan maintained by the Company. Buyer will cause each employee of the Company to receive credit immediately following the Closing Date for such employees accrued and unpaid vacation and/or unpaid leave balance as of the Closing Date.
(c) Except to the extent otherwise prohibited by applicable law, Buyer will cause to be waived all (i) pre-existing conditions and proof of insurability provisions for all conditions that are covered by any employee benefits plan of Buyer or its Affiliates in which any employee of the Company participates and
that such employee or his or her covered dependents have as of the Closing Date, and (ii) waiting periods under each plan that would otherwise be applicable to newly hired employees, in each case with respect to any employee of the Company to the same extent waived or satisfied under the corresponding Employee Plan; provided the employee has no intervening separation of service from the Company or Buyer after Closing of more than 63 days.
(d) Buyer will cause any eligible expenses incurred by an employee of the Company and his or her covered dependents during the portion of the plan year of any Employee Plan ending on the date such employees participation in such Employee Plan ended to be accounted for in the corresponding new or existing employee benefit plan of Buyer or its Affiliates for purposes of satisfying all deductible, coinsurance and maximum out-of-pocket requirements applicable to such employee and/or his or her covered dependents for the applicable plan year as if such amounts had been paid in accordance with such new or existing employee benefit plan.