EXHIBIT 10.55
SECOND AMENDMENT
LEVI STRAUSS & CO.
COMPREHENSIVE WELFARE PLAN
FOR
HOME OFFICE PAYROLL EMPLOYEES AND RETIREES
WHEREAS, LEVI STRAUSS & CO. ("LS&CO.") maintains the Levi Strauss & Co.
Comprehensive Welfare Plan for Home Office Payroll Employees and Retirees (the
"Plan"); and
WHEREAS, Section 20.1 of the Plan provides that LS&CO. may amend the
Plan at any time; and
WHEREAS, LS&CO. desires to amend the Plan to make certain changes in
coverage for retirees of LS&CO. and their dependents; and
WHEREAS, by resolutions duly adopted on June 22, 2000, the Board of
Directors of LS&CO. authorized Philip A. Marineau, President and Chief Executive
Officer, to adopt certain amendments to the Plan and to delegate to certain
other officers of LS&CO. the authority to adopt certain amendments to the Plan;
and
WHEREAS, on June 22, 2000, Philip A. Marineau delegated to any Senior
Vice President, Human Resources, including Fred D. Paulenich, Senior Vice
President of Worldwide Human Resources, the authority to amend the Plan, subject
to specified limits, and such delegation has not been amended, rescinded or
superseded as of the date hereof; and
WHEREAS, the amendments herein are within such limits to the delegated
authority of Fred D. Paulenich.
NOW, THEREFORE, the Plan is hereby amended as follows, effective
January 1, 2001:
1. Section 11.1(b) of the Plan is hereby amended by adding the following
new sentence at the end thereof:
"Notwithstanding the foregoing to the contrary, effective January 1,
2001, an Eligible Retiree or Eligible Dependent will pay the full cost
of coverage for dental benefits."
2. Section 11.1(d) of the Plan is hereby amended by adding the following
new sentence at the end thereof:
"Notwithstanding the foregoing to the contrary, effective January 1,
2001, the reimbursement of Medicare Part B premiums benefit described
in this subsection
(d) shall cease, except reimbursement of Medicare Part B premiums will
continue for: (i) an Eligible Retiree who attains age sixty-five (65)
and retires before January 1, 2001, and (ii) an Eligible Dependent of
an Eligible Retiree who retires before January 1, 2001 if such Eligible
Dependent attains age sixty-five (65) before January 1, 2001."
3. Section 11.3(b) of the Plan is hereby amended as follows:
(a) Subsection (1) is amended by deleting the word "two" as it appears
in the last line and inserting "three" in lieu thereof.
(b) Subsection (1)(A) is amended by adding the following new sentence
at the end thereof:
"Notwithstanding the foregoing to the contrary, the medical
benefits portion of the Under Age 65 Design for an Eligible
Retiree who retires on or after January 1, 2001 ('Under Age 65
Design 2001') is identical to the medical benefits described in
Section 6 for active Employees, except that an Eligible Retiree
covered under the $1,000-Deductible Plan prior to retirement must
elect to be covered under the provisions of the Managed Choice
Plan or the $500-Deductible Plan upon retirement."
4. Section 11.3(e) of the Plan is hereby amended by adding the following
new subsection (3) at the end thereof:
"(3) Lower Cost Option. An Eligible Retiree who has not attained
age sixty-five (65) may elect a lower cost medical benefits
option than the coverage in which such Eligible Retiree is
enrolled, if such a lower cost option is available. An
Eligible Retiree may make an election under this subsection
(3) only one (1) time during retirement. An Eligible Retiree
may not at any time elect a higher cost medical benefits
option."
5. Section 11.6 of the Plan is hereby amended by adding the following new
subsection (e) at the end thereof:
"(e) The Under Age 65 Design (2001). Notwithstanding the foregoing
provisions of subsections (a) through (d)(5) of this Section
11.6 and Section 11.8 to the contrary, the medical benefits
portion of the Under Age 65 Design for an Eligible Retiree who
retires on or after January 1, 2001 is identical to the
medical benefits described in Section 6 for active Employees,
except that an Eligible Retiree covered under the
$1,000-Deductible Plan prior to retirement must elect to be
covered under the provisions of the Managed Choice Plan or the
$500-Deductible Plan upon retirement."
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6. Section 11.7 of the Plan is hereby amended by adding the following new
subsection (d) at the end thereof:
"(d) The Age 65 and Over Design (2001). Notwithstanding the
foregoing provisions of Section 11.7(a) to the contrary, the
Age 65 and Over Design for (1) an Eligible Retiree who attains
age sixty-five (65) on or after January 1, 2001, and (ii) an
Eligible Dependent of such an Eligible Retiree if such
Eligible Dependent is age sixty-five (65) or older (`Age 65
and Over Design (2001)') shall be as follows:
(1) Medicare Part A Inpatient Hospital Expenses. The Age
65 and Over Design (2001) reimburses 100% of expenses
covered but not reimbursed under Medicare Part A
after a $300 per Participant per Benefit Plan Year
deductible, payable by the Participant.
(2) Medicare Part B Outpatient Physician Expenses. The
Age 65 and Over Design (2001) reimburses 100% of
expenses covered but not reimbursed under Medicare
Part B after a $100 per Participant per Benefit Plan
Year deductible, payable by the Participant.
(3) Preventive Care Allowance. For an Eligible Retiree
who retires on or after January 1, 2001 and an
Eligible Dependent of such an Eligible Retiree only,
the Age 65 and Over Design (2001) reimburses 100% of
preventive care expenses eligible under Section
11.7(a) of the Plan but not covered under Medicare up
to a $200 maximum per Participant per Benefit Plan
Year.
(4) Prescription Drug Benefits. The Age 65 and Over
Design (2001) shall provide the prescription drug
benefit described in Section 6.9(b)(2) and (3) of the
Plan, except with respect to the copayment amounts
and the non-participating pharmacy benefit, which
shall be subject to the following modifications:
(A) Participating Pharmacy and Express Pharmacy
Mail-Order Program - Copayments. For an
Eligible Retiree who retires on or after
January 1, 2001 and an Eligible Dependent of
such an Eligible Retiree only, when a
participating pharmacy or the Express
Pharmacy mail-order program is used to fill
a prescription, the Participant shall pay:
(i) a $10 copayment for each generic
prescription on Aetna's formulary list, (ii)
a $15 copayment for each brand name
prescription on Aetna's formulary list, and
(iii) a $30 copayment for each prescription
that is not on Aetna's formulary list.
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For an Eligible Retiree who retires before
January 1, 2001 and an Eligible Dependent of
such an Eligible Retiree only, when a
participating pharmacy or the Express
Pharmacy mail-order program is used to fill
a prescription, the Participant shall pay:
(i) a $10 copayment for each generic
prescription, (ii) a $15 copayment for each
brand name prescription when no generic is
available, and (iii) a $15 copayment plus
the difference in cost between the generic
and the brand name prescriptions when the
Participant purchases a brand name
prescription and a generic prescription is
available.
(B) Non-Participating Pharmacy. No benefit will
be paid for a prescription purchased at a
non-participating pharmacy.
(5) Annual Out-of-Pocket Limit. An out-of-pocket maximum
limit of $400 per Participant per Benefit Plan Year
applies to eligible Medicare Part A and Part B
expenses. The out-of pocket maximum amount does not
include expenses not covered by Medicare or the Plan
or to prescription drug copayments."
* * *
IN WITNESS WHEREOF, the undersigned has set his hand hereunto,
______________________, 2001.
LEVI STRAUSS & CO.
________________________________
Fred D. Paulenich
Senior Vice President
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