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LINCOLN NATIONAL CORPORATION AND SUBSIDIARIES
EXHIBIT 10(r) EXECUTIVES' EXCESS COMPENSATION PENSION BENEFIT PLAN
LINCOLN NATIONAL CORPORATION
EXECUTIVES'
EXCESS COMPENSATION PENSION BENEFIT PLAN
As Adopted Effective as of January 1, 1989
LINCOLN NATIONAL CORPORATION
By:
Ian M. Rolland
Its Chairman and Chief Executive Officer
Section 1
General
1.1 Effective as of January 1, 1989, Lincoln National Corporation, an Indiana
corporation (the "Company") has established the Lincoln National Corporation
Employees' Excess Compensation Benefit Plan (the "Plan").
1.2 This Plan is for a select group of highly compensated and management
personnel who are participants in the Lincoln National Corporation Employees'
Retirement Plan, which plan is maintained for employees of Lincoln National
Corporation and its affiliates who retire, or have retired, under the said
plan and the beneficiaries of such participants.
1.3 The Company and any of its affiliates which with the written consent of
the Chief Executive Officer of the Company adopt the Plan are referred to
below collectively as the "Employers" and individually as an "Employer".
1.4 This Plan is completely separate from the Lincoln National Corporation
Employees' Retirement Plan and is not funded or qualified for special tax
treatment under the Internal Revenue Code.
1.5 The purpose of the Plan is to restore retirement benefit payments to
those participants, and the beneficiaries of such participants, who retire or
have retired under the Lincoln National Corporation Employees' Retirement Plan
and whose retirement benefits are limited by section 401(a)(17) of the
Internal Revenue Code of 1986, as amended.
1.6 Any action required or permitted to be taken by any Employer under the
Plan shall be by resolution of its Board of Directors, or by a person or
persons authorized by resolution of its Board of Directors.
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Section 2
Eligibility
2.1 Any participant in the Lincoln National Corporation Employees' Retirement
Plan who retires or has retired under said plan, or such participant's
beneficiary, shall be entitled to a benefit, payable hereunder in accordance
with section three of this Plan, equal to the excess, if any, of
(A) The amount of such participant's or surviving beneficiary's annual
benefit under the Lincoln National Corporation Employees' Retirement
Plan computed under the provisions of the said plan, without regard to
the above-mentioned limitations of section 401(a)(17) of the Internal
Revenue Code
(B) The sum of (i) the amount of such participant's or surviving
beneficiary's annual benefit actually payable for each year under the
Lincoln National Corporation Employees' Retirement Plan, computed under
the provisions of the said retirement plan and subject to the
above-mentioned limitations of section 401(a)(17) of the Internal
Revenue Code, and (ii) the amount of such particicipant's or surviving
beneficiary's annual benefit actually payable for each year under the
Lincoln National Corporation Employee's Supplemental Pension Benefit
Plan.
In the event of a change of control of Lincoln National Corporation, as
defined for purposes of the Lincoln National Corporation Executives' Severance
Benefit Plan (as in effect immediately prior to such change of control),
hereinafter referred to as "the Severance Benefit Plan," any participant in
the Lincoln National Corporation Employees' Retirement Plan, hereinafter "the
Retirement Plan," who terminates employment with a nonforfeitable right to
benefits under the Retirement Plan within two years after such change of
control shall be deemed to have retired under the Plan.
2.2 The benefits payable under the Plan shall be payable to a participant and
the participant's beneficiary in the same manner and subject to all the same
options, conditions, privileges and restrictions as are applicable to the
benefits payable to a participant or to the beneficiary of a participant under
the Lincoln National Corporation Employees' Retirement Plan.
2.3 The Plan does not constitute a contract of employment, and participation
in the Plan will not give any employee the right to be retained in the employ
of any Employer nor any right to or claim to any benefit under the Plan,
unless such right or claim has specifically accrued under the terms of the
Plan.
Section 3
Benefits
3.1 The benefits under this Plan shall become payable when a participant
retires and begins to receive payments or to a retired participant or
beneficiary receiving payments under the Lincoln National Corporation
Employees' Retirement Plan, and shall be payable in the same manner and at
the same time as the participant's or beneficiary's benefits under the said
retirement plan are paid.
3.2 In the event that a person entitled to benefits under the Plan is
declared incompetent and a conservator or other person legally charged with
the care of this person or of his estate is appointed, any benefits to which
such person is entitled under the Plan shall be paid to such conservator or
other person legally charged with the care of this person or of his estate.
3.3 The benefits payable to any Participant under the Plan may not be
voluntarily or involuntarily assigned or alienated.
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Section 4
Amendment or Termination
4.1 Lincoln National Corporation may amend or terminate this Plan at any
time, but such amendment or termination shall not adversely affect the rights
of any participant or beneficiary then receiving benefits, or the beneficiary
of any participant then receiving benefits under this Plan. In the event of a
change of control of Lincoln National Corporation, as defined in the Severance
Benfit Plan (as in effect immediately prior to such change of control), no
amendment or termination of this Plan shall adversely affect the right of any
participant to the benefits accrued to the participant or to payment of such
benefits under the terms of this Plan as in effect immediately prior to such
change of control.
Section 5
Employee's Rights or Title to Funds
5.1 The Plan is deemed to be an unfunded plan and no Employer has any
obligation to set aside, earmark, or entrust any fund, policy, or money with
which to pay any obligations under the Plan.
5.2 The amount of any benefit payable under the Plan with respect to any
Participant shall be paid from the general revenues of the Employer that last
employed that Participant.
5.3 Any participant or beneficiary shall be and remain a general creditor of
an Employer with respect to any promises to pay under the Plan in the same
manner as any other creditor who has a general claim for an unpaid liability.