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EXHIBIT 10.10
FIRST AMENDMENT TO THE CONNECTICUT WATER COMPANY
SAVINGS PLAN, ADOPTED NOVEMBER 12, 1997
Effective as of January 1, 1998
1. Section 2.27 of the Savings Plan of The Connecticut Water
Company (the "Plan") is hereby amended to read in its entirety as follows:
"2.27 'Entry Date' shall mean the January 1, April 1, July 1
and October 1 of each Plan Year."
2. Section 6.2(a) of the Plan is hereby amended to read in its
entirety as follows:
"(a) The Employer shall contribute to the Trust Fund with respect
to a Plan Year, as an Employer Contribution, an amount equal
to the Applicable Percentage (determined as hereinafter
provided) of each Participant's Employee Salary Deferral
Contribution made pursuant to Section 5.1 hereof not exceeding
three percent (3%) of Compensation. A Participant may elect
that such Employer Contributions shall be paid to the Trustee
in the form of cash or shares of Company Stock and cash in
lieu of fractional shares. Such election shall be made, or may
be changed, at such time, in such manner and in such form as
the Committee may prescribe through uniform and
nondiscriminatory rules. In the absence of such an election,
Employer Contributions shall be paid in the form of shares of
Company Stock and cash in lieu of fractional shares.
Contributions made in the form of Company Stock and cash in
lieu of fractional shares shall be determined as follows: (i)
as of the last business day of each Calendar Quarter, the
amount of the Employer Contribution with respect to Employee
Salary Deferral Contributions made since the last business day
of the preceding Calendar Quarter shall be determined, and
such amount shall be expressed in the form of whole shares of
Company Stock based on the average of bid and asked prices per
share on the last business day of the Calendar Quarter and
cash; (ii) the number of whole shares determined in (i) and
the amount of cash representing any fractional share shall be
contributed to the Company Stock Fund as soon as practicable
following the end of the Calendar Quarter and such
contributions shall be
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allocated to each Participant's Employer Contribution Account.
For purposes of this Section 6.2(a), the Applicable Percentage
for a Plan Year shall be determined as follows: (i) if
"earnings per average common share" with respect to Company
Stock, as reported for the prior Plan Year, exceed one hundred
and ten percent (110%) of "dividends paid per common share"
with respect to Company Stock, as reported for the prior Plan
Year, the Applicable Percentage shall be fifty percent (50%);
and (ii) if "earnings per average common share" with respect
to Company Stock, as reported for the prior Plan Year, do not
exceed one hundred and ten percent (110%) of "dividends paid
per common share" with respect to Company Stock, as reported
for the prior Plan Year, the Applicable Percentage shall be
twenty-five percent (25%)."
3. Section 7.2 of the Plan is hereby amended to read in its
entirety as follows:
"7.2 Allocation of Contributions to Investment Funds. Once
each Calendar Quarter, a Participant may elect how contributions to his
Account, excluding Employer Contributions made in shares of Company
Stock and cash in lieu of fractional shares in accordance with Section
6.2(a) hereof, shall be allocated among the available Investment Funds.
Allocations to Investment Funds shall be in 10% increments. Such
elections shall be made at such time, in such manner and in such form
as the Committee may prescribe through uniform and nondiscriminatory
rules. In the absence of any such investment election by a Participant,
contributions shall be invested in that Investment Fund which invests
in short-term, fixed income investments such as bank certificates of
deposition, commercial paper, and treasury bills."
4. Section 7.4 of the Plan is hereby amended to read in its
entirety as follows:
"7.4 Company Stock Fund. All Employer Contributions made in
shares of Company Stock and cash in lieu of fractional shares in
accordance with Section 6.2(a) hereof, together with earnings thereon,
shall at all times be invested in the Company Stock Fund."
5. Subsections 4(iii) and (iv) of the Participant Loan Program
for the Plan are hereby amended to read in their entirety as follows:
"(iii) A Participant may have no more than one (1) loan
outstanding from the Plan at any time; provided,
however, that a Participant may be granted a second
loan on the condition that the first loan outstanding
will be immediately repaid from the proceeds of the
second loan.
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(iv) Except as described in (iii) above, a Participant
must wait at least one full calendar quarter between
the payoff of one loan and the granting of another
loan."