Exhibit 10.43
PENSION PLAN FOR EXECUTIVE EMPLOYEES OF
COMMUNICATION & POWER INDUSTRIES CANADA INC.
(AS APPLICABLE TO JOE CALDARELLI)
EFFECTIVE FROM JANUARY 1, 2002
SIGNED AT Georgetown this 17 DAY OF DECEMBER 2002.
/s/ Illegible
----------------------------------------
SIGNATURE
Director of Finance
----------------------------------------
TITLE
TABLE OF CONTENTS
SECTIONS PAGES
- -------- -----
1. - DEFINITIONS 1-3
2. - ELIGIBILITY AND MEMBERSHIP 4
3. - CONTRIBUTIONS 5
4. - RETIREMENT 6-10
5. - OPTIONAL FORMS OF PENSION 11
6. - BENEFITS ON TERMINATION OF EMPLOYMENT 12
7. - BENEFITS ON DEATH 13-14
8. - PORTABILITY 15
9. - LEAVES OF ABSENCE 16-17
10. - PENSION FUND 18
11. - CHANGE OR TERMINATION OF THE PLAN 19
12. - GENERAL 20-21
SUPPLEMENT A
SECTION 1 - DEFINITIONS
1.01 In this text the following words and phrases shall have the meanings
given unless the context clearly requires a different meaning.
Reference to the male gender includes the female gender. Words
implying the singular may be taken to mean the plural, and the plural
may be taken to mean the singular.
1.02 "ACTUARY" means a person qualified as a Fellow of the Canadian
Institute of Actuaries appointed as Actuary for the Plan by the
Employer.
1.03 "ACTUARIAL EQUIVALENT" means a benefit of equivalent value determined
on the basis of mortality tables, rates of interest and rules adopted
from time to time by the Employer for this purpose on the
recommendation of the Actuary.
1.04 "APPLICABLE LEGISLATION" means the Ontario Pension Benefits Act
(including any regulations thereunder), any Act of a similar nature of
any other Province (including any regulations thereunder) or that Act
which may be applicable if only one of the said Acts be applicable,
and shall include the Income Tax Act of Canada and the regulations
thereunder and any administrative rules pursuant thereto.
1.05 "COMMUTED VALUE" means the value calculated in the manner prescribed
by Applicable Legislation as of a fixed date of a pension, a deferred
pension, a pension benefit or an ancillary benefit, determined in
accordance with the "Recommendations for the Computation of Transfer
Values from Registered Pension Plans" issued by the Canadian Institute
of Actuaries.
1.06 "CONNECTED EMPLOYEE" means an Employee who is a connected person as
defined under Income Tax Regulation 8500(3).
1.07 "CONSUMER PRICE INDEX" means the Canada all-terms Consumer Price
Index as published by Statistics Canada.
1.08 "CONTINUOUS", means, in relation to membership in the Plan or to
employment, without regard to periods of temporary interruption of the
membership or employment.
1.09 "DATE OF CALCULATION" means the earliest of the date of retirement,
date of termination of employment, date of death or date of
termination of the Plan.
2
1.10 "EARNINGS" means the total salary received by the Member from the
Employer during the Plan Year, including any payment for commissions,
bonuses and profit-sharing.
Further, in respect of a Member who is Non-Connected Employee,
Earnings for a Plan Year after 1990 shall include (in addition to the
above) prescribed compensation during any qualifying period in that
year, determined in accordance with Applicable Legislation.
1.11 "EFFECTIVE DATE" has the meaning so described Supplement A.
1.12 "EMPLOYEE" has the meaning so described in Supplement A.
1.13 "EMPLOYER" has the meaning so described in Supplement A.
1.14 "HIGHEST AVERAGE INDEXED EARNINGS" at any date means the average of
the Member's highest three years of Indexed Earnings preceding that
date or, if the Member has less than three years of Indexed Earnings,
the average of such lesser number of years.
1.15 "INDEXED EARNINGS" means, for a given Plan Year, Earnings adjusted to
the Date of Calculation to reflect increases after the year, or after
1986, if later, in the average weekly wages and salaries of the
Industrial Aggregate as published by Statistics Canada.
1.16 "MEMBER" means an Employee who is enrolled as a Member of the Plan in
accordance with Section 2 and includes a Member who has retired or
terminated employment and continues to have rights under the Plan.
1.17 "NON-CONNECTED EMPLOYEE" means an Employee who is not a Connected
Employee.
1.18 "PAST SERVICE PENSION ADJUSTMENT" of a Member for a calendar year
means the accumulated past service pension adjustment of the Member
for the year with respect to the Employer, determined as of the end
of the year in accordance with Applicable Legislation.
1.19 "PENSIONABLE SERVICE" has the meaning so described in Supplement A.
1.20 "PENSION ADJUSTMENT" of a Member for a calendar year means the
aggregate of all amounts each of which is the pension credit for the
year in respect of the Employer under the terms of the Plan,
determined in accordance with Applicable Legislation.
3
1.21 "PENSION FUND" has the meaning so described in this Plan.
1.22 "PLAN" has the meaning so described in Supplement A.
1.23 "PLAN YEAR" means the period from any January 1 to December 31 of the
same calendar year.
1.24 "SAME-SEX PARTNER", in relation to a Member, means a person of the same
sex who is living together in a conjugal relationship with the Member,
(a) continuously for a period of not less than three years, or
(b) in a relationship of some permanence, if they are the natural or
adoptive parents of a child, both as defined in the Family Law Act.
1.25 "SPOUSE", in relation to a Member, means,
(a) if there is no person described in (b) below, a person of the
opposite sex who is married to the Member, or
(b) a person of the opposite sex who is not married to the Member and is
living together in a conjugal relationship with the Member,
(i) continuously for a period of not less than three years, or
(ii) in a relationship on some permanence, if such person and the
Member are the natural or adoptive parents of a child, both
as defined in the Family Law Act
provided that the person so determined as the Member's Spouse under (a)
or (b) above is not living separate or apart from the Member at the
relevant time.
1.26 "TEMPORARY ABSENCE" means a period of absence from work in respect of a
Member who is not a Connected Employee at any time after 1990.
The aggregate of such periods of temporary absence shall not exceed 5
years. Periods of parenting leave up to 12 months each and to an
aggregate of 3 years, may be added to the said 5 year limit. Period of
parenting leave is as defined under Income Tax Regulation 8507(3)(b).
1.27 "YEARLY MAXIMUM PENSIONABLE EARNINGS" means the amount established each
calendar year under the Canada/Quebec Pension Plan.
4
SECTION 2 - ELIGIBILITY AND MEMBERSHIP
2.01 Membership in the Plan is optional.
2.02 An Employee who elects to join the Plan shall become a Member of the
Plan on the date of his commencement of employment with the Employer
or the Effective Date, whichever is later.
2.03 To become a Member of the Plan, an Employee must complete an
application form on which he designates a beneficiary and identifies
his Spouse, if any.
2.04 A Member may not terminate membership in the Plan while employed by
the Employer.
2.05 Every Member shall receive a written explanation of the pertinent
provisions of the Plan and of any amendments to it together with an
explanation of his rights and duties and any other information in
accordance with Applicable Legislation. A copy of the Plan and related
documents shall be available for inspection by any Member.
5
SECTION 3 - CONTRIBUTIONS
3.01 MEMBER CONTRIBUTIONS
A Member is not required nor permitted to contribute to the Plan. All
costs will be borne by the Employer.
3.02 EMPLOYER CONTRIBUTIONS
The Employer shall pay into the Plan in monthly instalments within 30
days after the month for which contributions are payable, such amounts
as are deemed "Employer eligible contributions". An Employer eligible
contribution is a contribution made by the Employer to the Plan that
is a prescribed contribution or complies with prescribed conditions
as per Applicable Legislation and the contribution is made pursuant to
the recommendation of the Actuary.
Subject to any Applicable Legislation, the costs of performing
actuarial and administrative services in relation to the Plan shall be
paid out of the Pension Fund, unless the Employer decides to pay it
directly.
6
SECTION 4 - RETIREMENT
4.01 NORMAL RETIREMENT
A Member's Normal Retirement Date shall be the first of the month
coincident with or next following the Member's 65th birthday.
4.02 The amount of annual pension accrued at any date and payable from
Normal Retirement Date shall be as described in Supplement A.
4.03 EARLY RETIREMENT
A Member may retire early on the first of any month within 10 years
of his Normal Retirement Date.
4.04 The amount of annual pension payable at early retirement will be the
lesser of (a) and (b) below:
(a) the Actuarial Equivalent of the pension accrued to the date of
early retirement and otherwise payable from the Member's Normal
Retirement Date, and
(b) the pension accrued to the date of early retirement and otherwise
payable from the Member's Normal Retirement Date, reduced by the
early retirement reduction factor prescribed by Income Tax
Regulation 8503(3)(c).
4.05 LATE RETIREMENT
A Member, who with the consent of the Employer remains in service
after his Normal Retirement Date, may delay receipt of his pension to
the first day of the month coincident with or following his actual
retirement or the first day of the month prior to the end of the
calendar year of his 69th birthday, whichever first occurs.
4.06 The amount of annual pension payable at late retirement shall be the
sum of (a) and (b) below:
(a) the Actuarial Equivalent of the pension accrued according to
Supplement A to the Member's Normal Retirement Date,
(b) the pension accrued according to Supplement A to the date of late
retirement for each year, or part thereof, of Pensionable Service
after the Member's Normal Retirement Date.
7
4.07 NORMAL FORM OF PENSION
Pension payments will commence on the date that the Member actually
retires and will be paid in equal monthly instalments of one-twelfth
the annual amount.
(a) Subject to the provisions set out in (c) below, if the Member
does not have a Spouse at the time pension commences to be paid,
pension payments shall cease with the last payment due prior to
the Member's death or after 180 monthly payments have been made,
whichever occurs later. If the Member were to die before the said
180 monthly payments had been made, then the Commuted Value of
the remaining payments would be paid to the Member's beneficiary
in a lump sum.
(b) Subject to the provisions set out in (c) below, if the Member
has a Spouse or a Same-Sex Partner at the time pension commences
to be paid, pension payments shall be made throughout the
Member's lifetime for a minimum of 60 monthly payments with the
provision that after the death of the Member or after 60
monthly payments have been made, whichever occurs later, pension
payments will continue to his Spouse or Same-Sex Partner
throughout the lifetime of the Spouse or Same-Sex Partner at the
rate of 66 2/3% of the Member's pension.
If the Member were to die before the said minimum of 60 monthly
payments had been made, then the said payments will continue in
full to the surviving Spouse or Same-Sex Partner until the
balance of the 60 monthly payments has been made and will then
reduce to 66 2/3%. If the Spouse or Same-Sex Partner were also
to die before the said minimum of 60 monthly payments had been
made, then the Commuted Value of the remaining payments would be
paid to the estate of the Member, in a lump sum.
(c) Notwithstanding anything to the contrary, the parties who are
entitled to the joint life and survivor pension under (b) above,
may waive their entitlement to receive payment of such pension
by delivering to the administrator of the Plan a written waiver
in the manner and in the form prescribed by Applicable
Legislation within 12 months prior to the date the pension is to
commence. In that event the Member shall be deemed as not having
a Spouse or Same-Sex Partner at the time pension commences to be
paid and shall be entitled to receive the form of pension
pursuant to (a) above.
8
4.08 INDEXATION
The pension being paid under any provision of the Plan to a Member,
his Spouse or Same-Sex Partner will be increased annually on January
1 each year, commencing from January 1 following the date of
commencement of such pension.
Such increases will be based on the average rate of increase in the
Consumer Price Index during the previous calendar year, or part
thereof, in respect of which pension payments were made, less 1%.
4.09 CASH SETTLEMENT OF SMALL PENSIONS
If the annual pension benefit payable at Normal Retirement Date under
any provision of the Plan is less than 2% of the Yearly Maximum
Pensionable Earnings for the calendar year in which the Member
retires, dies or terminates employment, then a lump sum equal to the
Commuted Value of the pension shall be paid instead.
4.10 MAXIMUM PENSION LIMIT
The maximum pension limit at any given time for lifetime retirement
benefits shall not exceed the limit stipulated under the Income Tax
Act as at that given time. The current limit is specified first for
the year in which the pension commences to be paid and is stated as
follows:
(a) In respect of Pensionable Service prior to January 1, 1990:
The lesser of (i) and (ii) below:
(i) 2% of the Member's Highest Average Indexed Earnings times
the number of years of Pensionable Service prior to 1990,
and
(ii) $1,150 (or any higher limit allowed under Applicable
Legislation) times the number of years of Pensionable
Service prior to 1990.
9
(b) In respect of Pensionable Service in the year 1990:
The lesser of (i) and (ii) below:
(i) 2% of the Member's Highest Average Indexed Earnings for the
year 1990, and
(ii) $1,722.22 (or any higher limit allowed under Applicable
Legislation) times the fraction of the year 1990 that is
Pensionable Service.
(c) In respect of Pensionable Service of a Member, who is a
Non-Connected Employee, on or after January 1, 1991:
The lesser of (i) and (ii) below:
(i) 2% of the Member's Highest Average Indexed Earnings times the
number of years of Pensionable Service after 1990 as a
Non-Connected Employee, and
(ii) $1,722.22 (or any higher limit allowed under Applicable
Legislation) times the number of years of Pensionable Service
after 1990 as a Non-Connected Employee.
(d) In respect of Pensionable Service of a Member, who is a Connected
Employee, on or after January 1, 1991:
The aggregate of the lesser of (i) and (ii) below:
(i) 2% of the Member's Indexed Earnings for each year as a
Connected Employee, and
(ii) $1,722.22 (or any higher limit allowed under Applicable
Legislation) times the fraction of each year that is
Pensionable Service as a Connected Employee.
The number of years of Pensionable Service prior to January 1, 1991 shall
not exceed 35.
10
After a pension commences, the maximum pension limit is the limit for the year
of pension commencement (as described above) adjusted from that time in
accordance with increases in the Consumer Price Index as prescribed by
Applicable Legislation.
The above rule applies to all pension benefits payable under the Plan including
any amount payable to the Member's Spouse or Same-Sex Partner as a result of
breakdown of marriage or conjugal relationship, whether payable upon
retirement, termination of employment or termination of the Plan.
11
SECTION 5 - OPTIONAL FORMS OF PENSION
5.01 A Member who has no Spouse or Same-Sex Partner shall not be permitted
to elect any of the following optional forms of pension.
A Member who has a Spouse or Same-Sex Partner may, by written
designation to the Employer, elect to have his pension paid in one of
the optional forms described in Section 5.02 instead of in the normal
form described in Section 4.07(b).
The election of this optional form of pension may be rescinded at any
time before pension payments commence but may not be rescinded after
the commencement of pension payments.
The amount of this optional form of pension shall be the Actuarial
Equivalent of the pension otherwise payable in the normal form
pursuant to Section 4.07(b).
5.02 A reduced amount of pension would be payable throughout the Member's
lifetime, with the provision that after the death of the Member,
payments shall continue,
(a) in full without a guaranteed period or with a guaranteed period
from the commencement date of the Member's pension of 60, 120 or
180 monthly payments, or
(b) reduced to two-thirds with a guaranteed period from the
commencement date of the Member's pension of 120 or 180 monthly
payments
during the lifetime of the Member's Spouse or Same-Sex Partner if such
Spouse or Same-Sex Partner is then living. The level at which payments
continue shall be in accordance with the Member's election stated at
the time of electing this option.
If the Member, his Spouse or Same-Sex Partner dies before pension
payments commence, the election of this option will be automatically
cancelled.
12
SECTION 6 - BENEFITS ON TERMINATION OF EMPLOYMENT
6.01 A Member who terminates employment prior to Normal Retirement Date shall
receive, in accordance with the Member's election, either (i) a lump sum
return of the Commuted Value of the pension accrued to the date of
termination, or (ii) a deferred pension payable from Normal Retirement
Date in the normal form described in Section 4.07. The amount of the
deferred pension shall be equal to the amount of pension accrued under
the Plan in accordance with Section 4.02 up to the date of termination.
6.02 Notwithstanding anything to the contrary stated in Section 6.01, if a
Member terminates employment prior to Normal Retirement Date and at the
date of termination of employment the Member has been a Member of the
Plan for a Continuous period of at least 2 years, such Member will not be
entitled to a lump sum return but instead shall receive the deferred
pension described in Section 6.01. This deferred pension is not capable
of surrender or commutation during the lifetime of the Member.
6.03 A Member in service who is within 10 years of attaining Normal Retirement
Date and would be entitled to a deferred pension on termination of
employment pursuant to Section 6.02 is entitled upon termination of
employment or on wind-up of the Plan in whole or in part to receive an
early retirement pension in accordance with Section 4.04. Similarly, a
Member who has terminated employment may elect to receive an early
retirement pension in accordance with Section 4.04, if he is entitled to a
deferred pension pursuant to Section 6.02 and is within 10 years of
attaining Normal Retirement Date.
An election under the above provisions shall be made in writing, signed by
the Member and delivered to the administrator of the Plan.
6.04 A member, who terminates employment and is entitled to a lump sum return
described in Section 6.01, may have his lump sum return, in whole or in
part, transferred in accordance with Applicable Legislation, to a
registered retirement savings plan or the registered pension plan of his
new employer where that plan so permits.
13
SECTION 7 - BENEFITS OF DEATH
7.01 BENEFICIARIES
A Member may designate a beneficiary to receive after his death any
benefits due under the Plan which are not payable to the Member's
Spouse or Same-Sex Partner. A Member may alter or revoke such
designation, within the limits set by Applicable Legislation, by
notification in writing to the Employer, or by a will. Any payments
due to the Member's beneficiary under the Plan will be made in a lump
sum. If a beneficiary has not been designated or if the designated
beneficiary predeceases the Member, any payments due under the Plan
will be made to the Member's estate in a lump sum.
7.02 DEATH IN SERVICE PRIOR TO COMMENCEMENT OF PENSION
If a Member dies while in service of the Employer prior to
commencement of the deferred pension to which he would have been
entitled under Section 6, had his employment terminated immediately
before his death, the surviving Spouse or Same-Sex Partner, if any,
may elect to receive:
(a) a lump sum payment equal to the Commuted Value of the said
deferred pension, or
(b) An immediate pension or a deferred pension payable in equal
monthly instalments (the deferred pension to commence prior to
the 69th birthday of the Spouse or Same-Sex Partner, or if later,
within 1 year after the Member's death), the present value of
which does not exceed the present value of the said deferred
pension. Further, the said pension shall be payable throughout
the lifetime of the Spouse or Same-Sex Partner without a
guaranteed period or with a guaranteed period not in excess of
180 monthly payments.
If the Spouse or Same-Sex Partner does not make the said election
within the time prescribed by Applicable Legislation, the Spouse or
Same-Sex Partner shall be deemed to have elected an immediate pension.
Notwithstanding anything to the contrary, the Spouse or Same-Sex
Partner may waive his entitlement of the above benefit in the manner
and form prescribed by Applicable Legislation. In that event the
Member shall be deemed as not having a Spouse or Same-Sex Partner on
the date of his death.
14
If the Member does not have a Spouse or Same-Sex Partner on the date
of his death, or is living separate or apart from his Spouse or
Same-Sex Partner on that date, the Member's beneficiary or his estate,
as the case may be, will receive a lump sum payment equal to the
Commuted Value of the deferred pension mentioned in (a) above.
7.03 DEATH AFTER PENSION PAYMENTS HAVE COMMENCED
If a Member dies after pension payments have commenced, any payments
due according to the normal or optional forms of pension applicable to
the Member will be made as set out in Section 4.07 or Section 5.
7.04 DEATH AFTER TERMINATION OF EMPLOYMENT
If a Member, who is entitled to a deferred pension on termination of
employment in accordance with Section 6, dies before Normal Retirement
Date, his death benefits will be paid in accordance with Section 7.02
as if he died in service prior to commencement of pension.
15
SECTION 8 - PORTABILITY
8.01 (a) Subject to Section 8.02, a Member who terminates employment before
becoming eligible to retire and who is entitled to a deferred pension
in accordance with provisions of Section 6, may require the
administrator of the Plan to pay the Commuted Value of the deferred
pension:
(i) to the pension fund to provide benefits related to another
registered pension plan in respect of the Member, if the
administrator of the other pension plan agrees to accept the
payment; or
(ii) into a prescribed retirement savings arrangement, or
(iii) for the purchase for the Member of a deferred life annuity
which will not commence before the earliest date on which
the Member would have been entitled to receive payment of
pension benefits under the Plan.
(b) The following are prescribed retirement savings arrangements under
Applicable Legislation for the purposes of (ii) above:
(i) a registered retirement savings plan (under the Income Tax
Act) or any locked-in retirement account (under applicable
provincial legislation); as the case may be, or
(ii) a life income fund or locked-in retirement income fund
(under applicable provincial legislation) that meets the
requirements for a registered retirement income fund (under
the Income Tax Act).
(c) Notwithstanding anything to the contrary in (a) above, a life income
fund and a locked-in retirement income fund both referred to in b(ii)
above will only be available to a Member who terminates employment on
or after the attainment of age 54.
8.02 Amounts transferred in accordance with Section 8.01 shall not exceed the
maximum amount prescribed under the Income Tax Act. Any excess of the
Commuted Value over the amount transferred shall be paid to the Member in a
lump sum.
16
SECTION 9 - LEAVES OF ABSENCE
9.01 TEMPORARY ABSENCES
Subject to provisions set out in Section 9.03, if, with the consent
of the Employer, a Member is temporarily absent from active duty and
is receiving Earnings, pension under the Plan will continue to accrue
during such absence.
9.02 If, with the consent of the Employer, a Member is temporarily absent
from active duty and is not receiving Earnings, the previously
credited pension shall not be affected but pension under the Plan
shall not continue to accrue during such absence.
9.03 In respect of a Member who is a Connected Employee anytime after
1990, pension under the Plan shall not continue to accrue during a
period of Temporary Absence.
9.04 PREGNANCY AND PARENTAL LEAVE
In accordance with the provisions of the Ontario Employment Standards
Amendment Act, 1990, when a Member who is a Non-Connected Employee is
granted pregnancy or parental leave, without pay, the Member
continues to participate in the Plan and accrue benefits thereunder
during such leave, unless the Member gives the Employer a written
notice that he elects not to participate in the Plan, in which event,
no benefits shall accrue during such period of leave.
9.05 Unless the Member has given the Employer the written notice referred
to in the foregoing Section 9.04, the Employer shall during such
leave continue to make the Employer Contributions in accordance with
Section 3.02, subject to the condition that the aggregate of such
periods of leave, attributable to a Member's parenting leave, during
which pension accrues, shall not exceed 3 years.
9.06 WORKER'S COMPENSATION
Where a Member who is a Non-Connected Employee is absent from work
due to a work-related injury in accordance with the Workers'
Compensation Amendment Act, 1989, he continues to participate in the
Plan and accrue benefits for one year after the date the injury
occurred. For this purpose, the Member shall be deemed, for one year
after the date the injury occurred, to continue to be employed by the
Employer on the date of the injury.
17
9.07 The Employer shall made Employer Contributions, in accordance with Section
3.02, throughout the first year after the injury to the Member in order to
provide benefits under the Plan in respect of the Member when he is absent
from work because of injury.
18
SECTION 10 - PENSION FUND
10.01 The Employer shall establish a Pension Fund to be held under an
agreement or agreements with a trust company or companies, under a
contract or contracts with an insurance company or companies to be
selected by the Employer, or a combination thereof, into which all
contributions for the purposes of the Plan shall be deposited. The
Pension Fund shall not form any part of the revenue or assets of the
Employer.
10.02 Investments and re-investments of the Pension Fund shall be restricted
to securities and loans of a class permitted by Applicable
Legislation.
10.03 If at any time a surplus arises from the operation of the Plan which
is not required to meet the actuarial liability existing thereunder,
as determined by the Actuary, such surplus, subject to any Applicable
Legislation or any moratorium on surplus withdrawal in effect at the
time, may be returned to the Employer or may be applied against the
Employer's obligations towards the costs of benefits arising under the
Plan in regard to current and subsequent years, or, may be used to
provide additional benefits on behalf of Members of the Plan.
19
SECTION 11 - CHANGE OR TERMINATION OF THE PLAN
11.01 The Employer intends to maintain the Plan in force but reserves the
right to amend or discontinue the Plan.
11.02 If the Plan is amended, the benefits provided in respect of
remuneration and service prior to the date of amendment shall not be
adversely affected. Replacement of the Plan by another shall be
considered as an amendment to the Plan.
11.03 If the Plan is discontinued, the assets of the Plan will be allocated
to Members of the Plan to provide pensions and other benefits
according to their entitlements under the terms of the Plan.
11.04 If there are any assets remaining after the liabilities for all
benefits accrued under the Plan have been met, they shall be returned
to the person or persons described in Supplement A, subject to any
Applicable Legislation or any moratorium on surplus withdrawal in
effect at the time.
11.05 It is specifically provided that, if a surplus arising out of
termination of the Plan is applied to increase benefits to Members of
the Plan the total resulting benefits accruing to a Member shall not
exceed the limits as described in Section 4.10.
11.06 In order to avoid the revocation of the registration of the Plan,
nothing contained herein shall prevent
(a) the Employer from amending the Plan at any time to reduce the
benefits provided for a Member with respect to employment, and
(b) to return to the Employer the contributions made under the Plan
by the Employer on behalf of a Member.
20
SECTION 12 - GENERAL
12.01 The Employer shall be the administrator of the Plan and shall be
responsible for the overall operation and administration of the Plan.
The Employer shall decide all questions relating to Earnings,
Pensionable Service, membership, eligibility, retirement, and the
calculation of benefits under the Plan. The Employer's decision shall
be final and binding upon all persons affected thereby and shall be
made in such a way as not to discriminate against any Employee or
Member.
12.02 Evidence of age must be produced, by a Member, his Spouse or his
Same-Sex Partner who will be entitled to a pension, if requested by
the Employer.
12.03 No benefit provided under the Plan is capable of being assigned,
charged, anticipated, given as security or surrendered.
For the purposes of this Section, an assignment does not include:
(a) an assignment pursuant to a decree, order or judgment of a
competent tribunal or a written agreement in settlement of rights
arising as consequence of a marriage breakdown or other conjugal
relationship between a Member, his Spouse, former Spouse,
Same-Sex Partner or former Same-Sex Partner, or
(b) an assignment by the legal representative of a deceased Member
on the distribution of the Member's estate.
Further, a surrender does not include a reduction in benefits to
avoid the revocation of the registration of the Plan as described in
Section 11.06.
12.04 None of the benefits provided under the terms of the Plan are subject
to the claim of or to execution, attachment, garnishment or other
legal or equitable process by any creditor of a Member or of any
other recipient of benefits except as specifically required or
permitted under Applicable Legislation.
12.05 Where amounts such as Member's Pension Adjustments and/or Past
Service Pension Adjustments are determined under the Income Tax Act
Regulations with respect to the Plan, such amounts shall not be
inappropriate having regard to the said Regulations and for purposes
for which the amounts are determined.
In addition, where a Member's Pension Adjustment exceeds the maximum
limits set out under the Income Tax Act, the Plan shall become
revocable unless the provisions of Section 11.06 are complied with.
21
12.06 Subject to Applicable Legislation, the sex of a Member or other
beneficiary under the Plan shall not be taken into account in,
(a) determining the pension benefits or the Commuted
Value of pension benefits that the Member or other
beneficiary is or may become entitled to,
(b) the provision of eligibility of membership,
(c) the provision of ancillary benefits under the Plan.
12.07 Upon breakdown of marriage or conjugal relationship, the pension
benefits accrued during the course of marriage or conjugal
relationship shall be divided between the parties in accordance with
the Applicable Legislation affecting matrimonial property.
12.08 Each Member shall receive annually a written statement containing
information in respect of the Plan, the Member's pension benefits and
any ancillary benefits, as prescribed by Applicable Legislation.
12.09 On retirement, termination of employment or death of a Member, such
Member, his Spouse, Same-Sex Partner or beneficiary, as the case
may be, shall receive a written statement showing the benefits to
which he is entitled, as prescribed by Applicable Legislation.
SUPPLEMENT A
A1 "EFFECTIVE DATE" means January 1, 2002.
A2 "EMPLOYEE" means an executive employee of the Employer who has been
classified as such by the Employer.
A3 "EMPLOYER" means Communication & Power Industries Canada Inc.
A4 "NORMAL RETIREMENT PENSION": The amount of annual pension accrued at any
date and payable from Normal Retirement Date shall be as follows:
(a) 2% of the Member's Highest Average Indexed Earnings multiplied by the
period of Pensionable Service prior to January 1, 1991;
plus
(b) the aggregate of 2% of the Member's Indexed Earnings for each year,
or part thereof, that is Pensionable Service on or after
January 1, 1991.
A5 "PENSIONABLE SERVICE" means (subject to the provisions of Section 9) the
number of years and completed months (with completed months counted as a
fraction of a year) of Continuous service in Canada with the Employer from
the incorporation date of the company and all pensionable service
recognized under The Retirement Plan of Communications & Power Industries
Canada Inc. (registration number 1020429).
A6 "PLAN" means the Pension Plan for Executive Employees of Communication &
Power Industries Canada Inc. (As Applicable to Joe Caldarelli) as set out
in this document and includes any future amendment, additions thereto or
substitutions therefore.
A7 "SURPLUS WITHDRAWAL": The surplus on termination of the Plan referred to in
Section 11.04 of the Plan shall be returned to the employee.
STANDARD LIFE CLIENT NUMBER RS102249-S0521