Annual Installment Method

Annual Installment Method. Means a distribution of a Participant's Account in annual installments over a stated number of years (not to exceed 20), with each installment paid in January as soon as practicable after year-end. The amount of the installment payable following any given year-end shall be determined by valuing the Participant's Account as of the close of business on the last business day of the year and then multiplying that value by a fraction, the numerator of which is one and the denominator of which is the... remaining number of annual payments. (For example, for an Annual Installment Method of 10 years, the first payment will be 1/10 of the Account, the following year, 1/9 of the Account, etc.) View More

Annual Installment Method. Means a series of annual cash installment payments (in the case of a Participant's Cash Subaccount) or annual installment Share distributions (in the case of a Participant's Share Subaccount) over a number of years selected by the Participant in accordance with this Plan, with the amount of each installment payment to be calculated by multiplying the Participant's then current vested Cash Subaccount balance by a fraction, the numerator of which is one and the denominator of which is the... remaining number of annual payments due the Participant, and the number of Shares comprising each installment Share distribution to be calculated by multiplying the Participant's then current vested Share Unit balance in his or her Share Subaccount by the same fraction (and rounding the product to the nearest full Share). For purposes of Section 409A of the Code, the Participant's right to receive installment payments pursuant to the Plan and this Section 14.3 shall be treated as a right to receive a series of separate and distinct payments. For purposes of this definition, a Participant's "then current vested Cash Subaccount balance" or "then current vested Share Unit balance" shall be (a) for the first annual installment, the Participant's vested Cash Subaccount balance or vested Share Unit balance, as the case may be, as of the close of 18 business on the Participant's Benefit Distribution Date, and (b) for each remaining annual installment, the comparable balances on the applicable anniversary of the Participant's Benefit Distribution Date. By way of example, if the Participant elects a ten (10) year Annual Installment Method for the Separation Benefit, the first payment or Share distribution shall be 1/10 of the applicable vested balance, and the following year, the payment or Share distribution shall be 1/9 of the applicable vested balance. View More