EXHIBIT 10-1 |
CARNIVAL CORPORATION NONQUALIFIED RETIREMENT PLAN FOR HIGHLY COMPENSATED EMPLOYEES |
TABLE OF CONTENTS |
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ARTICLE 1. DEFINITIONS | 1 | ||
1.1 | Accrued Benefit - | 1 | |
1.2 | Actuarial Equivalent - | 1 | |
1.3 | Annuity Starting Date - | 2 | |
1.4 | Average Annual Compensation - | 2 | |
1.5 | Beneficiary - | 2 | |
1.6 | Benefit Accrual Year of Service - | 2 | |
1.7 | Board - | 2 | |
1.8 | Company - | 3 | |
1.9 | Compensation - | 3 | |
1.10 | Covered Compensation - | 3 | |
1.11 | Early Retirement Date - | 3 | |
1.12 | Eligible Employee - | 3 | |
1.13 | Employee - | 3 | |
1.14 | Employer - | 3 | |
1.15 | ERISA - | 4 | |
1.16 | Hour of Service - | 4 | |
1.17 | Internal Revenue Code - | 4 | |
1.18 | Late Retirement Date - | 4 | |
1.19 | Limitation Year - | 4 | |
1.20 | Normal Retirement Date - | 4 | |
1.21 | Participant - | 4 | |
1.22 | Permanent Disability - | 4 | |
1.23 | Plan - | 4 | |
1.24 | Plan Administrator - | 4 | |
1.25 | Plan Year - | 5 | |
1.26 | Preretirement Death Benefit - | 5 | |
1.27 | Qualified Joint and Survivor Annuity - | 5 | |
1.28 | Qualified Preretirement Survivor Annuity - | 5 | |
1.29 | Retirement - | 5 | |
1.30 | Retirement Committee - | 5 | |
1.31 | Vested Interest - | 5 | |
1.32 | Vesting Years of Service - | 6 | |
1.33 | Year of Service - | 6 | |
ARTICLE 2. PARTICIPATION | 6 | ||
2.1 | Participation - | 6 |
ARTICLE 11. NON-ALIENATION OF BENEFITS | 16 | ||
11.1 | Non-Alienation | 16 | |
ARTICLE 12. DESIGNATION OF BENEFICIARY | 17 | ||
12.1 | Designation of Beneficiary | 17 | |
12.2 | Effective Date of Designation | 17 | |
ARTICLE 13. AMENDMENT/TERMINATION | 17 | ||
13.1 | Amendment/Termination | 17 | |
ARTICLE 14. MISCELLANEOUS | 17 | ||
14.1 | No Employment Rights | 17 | |
14.2 | Discretion | 17 | |
14.3 | Prior Service | 17 | |
14.4 | Governing Law | 17 | |
14.5 | Participant Information | 17 | |
14.6 | Severability | 18 | |
14.7 | Notices | 18 | |
14.8 | Headings | 18 | |
14.9 | Gender | 18 | |
SCHEDULE A - ACTUARIAL EQUIVALENT DETERMINATIONS | 1 |
CARNIVAL CORPORATION NONQUALIFIED RETIREMENT PLAN Carnival Corporation (the “Company”), a corporation with its principal office in Miami, Florida, established, effective January 1, 1989, an unfunded, nonqualified plan for a select group of management or highly compensated employees. The Plan was amended and restated, effective January 1, 1995, to incorporate certain changes that the Company determined to be necessary. The Plan was amended, effective December 31, 1997, to provide that benefit accruals under the Plan will cease for those Participants who made a one-time irrevocable election to participate in The “Fun ShipSM” Nonqualified Savings Plan. The Plan was amended, effective January 1, 2000, such that a Participant who is rehired after his annuity starting date shall not have his benefit payments suspended. The Plan was amended, effective December 1, 2000 to provide that the beneficiary of an unmarried Participant will receive a death benefit; and to allow the Company to permit participation in the plan by new employees. The Plan, effective January 1, 2002, to clarify the lump sum cashout provisions. The Plan was restated, effective as of January 1, 2002, to incorporate the prior amendments as follows: The following definitions and the definitions contained in Section 4.1 apply for purposes of this Plan: |
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Years of Service before the adoption of this Plan, except that anyone who is an Employee on January 1, 1989, shall be credited with a Benefit Accrual Year of Service for each of his or her consecutive twelve (12) month periods of employment with the Employer (beginning on or after November 14, 1974) ending immediately prior to that date in which the Participant completes a Year of Service. The period of service between the date the consecutive twelve (12) month period ends and December 31, 1988 shall be referred to as the “lag period”; in order to provide a transition for the Plan Year beginning on January 1, 1989, an Employee on January 1, 1989 who fails to complete at least 1,000 Hours of Service during the Plan Year beginning on January 1, 1989, shall nevertheless be credited with one Benefit Accrual Year of Service if he completes 1,000 Hours of Service during the consecutive twelve (12) month period that begins with the first day of the lag period. An Employee will be credited with 90 Hours of Service for each bi-weekly period during the lag period. Notwithstanding the foregoing, after December 31, 1997 no Benefit Accrual Years of Service shall be credited to any Participant under this Plan who made a one-time irrevocable election effective as of January 1, 1998 to participate in The “Fun ShipSM” Nonqualified Savings Plan unless such election was limited to deferral of bonuses only under the “Fun ShipSM” Nonqualified Savings Plan. |
1.7 | Board - the board of directors of the Company. |
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A Participant’s retirement benefit under this Plan shall be reduced by the amount, if any, of the Participant’s retirement benefit under the Carnival Corporation Qualified Retirement Plan or a Participant’s benefit under an Executive Agreement, determined as of the Participant’s Annuity Starting Date. The Board or its delegate reserves the right to limit or change the timing of a distribution or amount of any Participant’s Accrued Benefit under the Plan. |
A Participant’s right to receive his retirement benefit shall become nonforfeitable upon the earlier of (a) the Participant’s being credited with five Vesting Years of Service, or (b) the Participant’s Normal Retirement Date, if the Participant is an Eligible Employee at that time. Notwithstanding the foregoing, any Participant who made a one-time irrevocable election to participate in The “Fun ShipSM” Nonqualified Savings Plan, effective as of January 1, 1998, shall become fully vested in his Retirement Benefit. |
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(a) | Life with 5-Year Certain Benefit -- an annuity for the life of the Participant, but if the Participant dies within 5 years of his Annuity Starting Date, the annuity is payable to the Participant’s Beneficiary for the remainder of that 5-year period; | |
(b) | Life with 10-Year Certain Benefit -- an annuity for the life of the Participant, but if the Participant dies within 10 years of his Annuity Starting Date, the annuity is payable to the Participant’s Beneficiary for the remainder of that 10-year period; | |
(c) | Qualified Joint and Survivor Annuity -- an annuity for the life of the Participant with a survivor annuity for the life of the Participant’s spouse, where the survivor annuity is either 50% or 100% of the amount payable during the joint lives of the Participant and the Participant’s spouse; | |
(d) | Single cash distribution of the full amount payable - the Actuarial Equivalent present value of the Participant’s Vested Interest payable at his Normal Retirement Date. This method will become available only after January 1, 1994 for any Participant or Beneficiary entitled to but not yet receiving monthly payments and only upon the attainment of a Participant’s Early Retirement Age. |
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7.1 | Preretirement Death Benefit. |
7.3 | Timing of Distribution; Annuity Starting Date. Notwithstanding the remainder of this Section 7.3, no distributions shall be made to the Participant’s spouse prior to January 1, 1994. |
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(a) | Distribution of a Participant’s Preretirement Death Benefit under Section 7.1(a) shall commence as of the Annuity Starting Date of the Participant’s spouse. The Annuity Starting Date of the Participant’s spouse shall be the earliest of (a) in the case of a Participant who dies on or after his Early Retirement Date, the first day of the month coincident with or next following the Participant’s death, (b) in the case of a Participant who dies after attaining age 55 with less than 15 Vesting Years of Service and the Actuarial Equivalent present value of the Participant’s Preretirement Death Benefit exceeds the Minimum Amount, the first day of the month coincident with or next following the Participant’s Normal Retirement Date had the Participant lived, (c) in the case of a Participant who dies before attaining age 55 but after earning 15 or more years of Vesting Years of Service and the Actuarial Equivalent present value of the Participant’s Preretirement Death Benefit exceeds the Minimum Amount, the first day of the month coincident with or next following the Participant’s Early Retirement Date had the Participant lived, (d) in the case of a Participant who dies before attaining age 55 with less than 15 years of service and the Actuarial Equivalent present value of the Participant’s Preretirement Death Benefit exceeds the Minimum Amount, the first day of the month coincident with or next following the Participant’s Normal Retirement Date had the Participant lived, or (e) in the case of a Participant who dies before his or her Early Retirement Date and the Actuarial Equivalent present value of his or her Preretirement Death Benefit does not exceed the Minimum Amount, the first day of the month coincident with or next following the Participant’s death. | |
(b) | Distribution of a Participant’s Preretirement Death Benefit under Section 7.1(b) shall be paid to his Beneficiary as soon as administratively practicable following the Participant’s death. |
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(a) | Mortality -1983 Group Annuity Mortality Table, where the Participant’s age shall be set back 2 years and the Beneficiary’s age shall be set back 4 years regardless of the sex of such individuals. |
(b) | Interest -7.0% |
The above mortality and interest factors shall be used when the actuarial equivalent calculation involves a conversion from one form of periodic payment to another form of periodic payment, to the extent that no table of factors has previously been adopted by the Retirement Committee. These actuarial assumptions shall also be those used to develop any such administrative tables. Effective, January 1, 1998, where the actuarial equivalent determination is the calculation of a single cash payment in lieu of periodic payments, actuarial equivalent amounts shall be computed as follows (where “PBGC” refers to the assumptions used prior to the implementation of GATT in effect as of January 1 of the calendar year that includes the effective date of such lump sum benefit determination and “GATT” refers to the assumptions described in Section 417(e)(3) of the Code in effect as of January 1 of the calendar year that includes the effective date of such lump sum benefit determination): |
Prior to 1998, and for distributions to participants who returned election forms prior to the effective date listed above = PBGC | |
1998 = | PBGC - (.33 x (PBGC - GATT)) | |
1999 = | PBGC - (.67 x (PBGC - GATT)) | |
2000 and after = | GATT |
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