Form 10-Q
Exhibit 10.7
SALARY DEFERRAL & SAVINGS RESTORATION PLAN
I. PURPOSE
The purpose of this Plan is to provide an eligible employee with
the opportunity to defer, until termination of employment, receipt of
salary that, because of compensation limits imposed by law, is ineligible
to be considered in calculating benefits within the Company's
tax-qualified defined contribution plan(s) and thereby recover benefits
lost because of that restriction.
II. ADMINISTRATION
The administration of this Plan is vested in the Board of Benefits
and Pensions appointed by Company. The Board may adopt such rules as it
may deem necessary for the proper administration of the Plan, and may
appoint such person(s) or group(s) as may be judged necessary to assist in
the administration of the Plan. The Board's decision in all matters
involving the interpretation and application of this Plan shall be final.
The Board shall have the discretionary right to determine eligibility for
benefits hereunder and to construe the terms and conditions of this Plan.
III. ELIGIBILITY
An employee of the Company who is participating in the Company's
tax-qualified defined contribution plan(s) and whose annual base
compensation exceeds the amount prescribed in Internal Revenue Code Section
401(a)(17) shall be eligible to participate in this Plan (hereinafter
"Participant").
For purposes of this Plan, the term "Company" means E. I. du Pont
de Nemours and Company, any wholly owned subsidiary or part thereof and
any joint venture, partnership, or other entity in which E. I. du Pont de
Nemours and Company has an ownership interest, provided that such entity
(1) adopts this Plan with the approval of the E. I. du Pont de Nemours and
Company and (2) agrees to make the necessary financial commitment in
respect of any of its employees who become Participants in this Plan.
Participation in this Plan is entirely voluntary.
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Form 10_Q
IV. PARTICIPANTS' ACCOUNTS
(A) Participant Contributions. A Participant may elect to defer receipt of
a percentage of annual base compensation in excess of the amount
prescribed in Internal Revenue Code Section 401(a)(17), and have the
dollar equivalent of the deferral percentage credited to a Participant
Account under this Plan. The deferral percentage elected under this Plan
shall not exceed that allowed in the Savings & Investment Plan of E. I. du
Pont de Nemours and Company. Except as provided below, such deferral
election will be made prior to the beginning of each calendar year and
will be irrevocable for that calendar year.
For purposes of a Participant's first year of participation in this
Plan, the compensation deferral election must be made no later than 30
days prior to the first day of the month for which compensation is
deferred and will be irrevocable for the remainder of that calendar year.
(B) Company Contributions. To the extent that a Participant makes a
deferral election under the terms of subparagraph (A) above, the Company
will credit to that Participant's Account in this Plan an amount
equivalent to the company matching contribution that would be provided to
that Participant under the terms of the Company's tax-qualified defined
contribution plan(s) in which (s)he is participating.
(C) Earnings Equivalents. Credits for Participant Contributions and
Company Contributions shall be treated as having been invested in one or
more of the investment options available for the ongoing deposit of new
employee contributions in the Savings & investment Plan of E. I. du Pont
de Nemours and Company. Additional credit (or debit) amounts will be
posted to the Participant's Account in this Plan based on the performance
of those investment options.
The Participant shall have the right to:
(1) designate which of the available investment options are to be used
in valuing his/her Account under this Plan, subject to the rules
governing investment direction in the Savings & Investment Plan of
E.I. du Pont de Nemours and Company; and/or
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Form 10-Q
IV. PARTICIPANTS' ACCOUNTS - (Cont'd)
(2) change the designated investment options used in valuing his/her
Account under this Plan, subject to the rules governing
investment direction and/or transfers among funds in the Savings
& Investment Plan of E. I. du Pont de Nemours and Company.
(D) Credits to Accounts. Participant Contributions, Company Contributions
and Earnings Equivalents shall be credited (or debited) to the
Participant's Account under this Plan as unfunded book entries stated as
cash balances, and will not be payable to Participants until such time as
employment with the Company terminates. The cash balances in Participant
Accounts shall be unfunded general obligations of the Company, and no
Participant shall have any claim to or security interest in any asset of
the Company on account thereof.
V. VESTING
Participant Contributions and Company Contributions and Earnings
Equivalents shall be vested at the time such amounts are credited to the
Participant's Account.
VI. PAYMENT OF BENEFITS
Amounts payable under this Plan shall be delivered in a cash lump sum
as soon as practical after termination of employment unless the
Participant irrevocably elects under rules prescribed by the Board of
Benefits and Pensions to receive payments in a series of annual
installments. All payments under this Plan shall be made by, and all
expenses of administering this Plan shall be borne by, the Company.
VII. NON-ASSIGNMENT
No assignment or alienation of the rights and interests of
participants, beneficiaries and survivors under this Plan will be
permitted or recognized under any circumstances. Plan benefits can be paid
only to participants, beneficiaries or survivors.
VIII. RIGHT TO MODIFY
The Company reserves the right to change or discontinue this Plan in
its discretion by action of the Compensation & Benefits Committee.
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