EXHIBIT 10.13
AMENDMENT NO. 4
TO THE
PIONEER NATURAL RESOURCES USA, INC. 401(k) AND MATCHING PLAN
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Pursuant to the provisions of Section 8.1 thereof, the Pioneer Natural
Resources USA, Inc. 401(k) and Matching Plan (the "Plan") is hereby amended in
the following respects only:
FIRST: Effective as of January 1, 2003, Section 6.1(b) of the Plan is
hereby amended by adding the following two sentences to the end thereof:
For a Participant who is a five-percent owner (as defined in Section 416(i)
of the Code), the "required beginning date" is April 1 of the calendar year
following the calendar year such Participant attains age 70 1/2. For a
Participant who is not a five-percent owner (as defined in Section 416(i)
of the Code), the "required beginning date" is April 1 of the calendar year
following the later of the calendar year in which the Participant attains
age 70 1/2 or retires.
SECOND: Effective as of January 1, 2003, the Plan is hereby amended by
adding the following new Article XI to the end thereof:
ARTICLE XI.
MINIMUM DISTRIBUTION REQUIREMENTS
Section 1. General Rules.
1.1. Effective Date. The provisions of this Article will apply for purposes
of determining required minimum distributions for calendar years beginning with
the 2003 calendar year.
1.2. Precedence. The requirements of this Article will take precedence over
any inconsistent provisions of the Plan.
1.3. Requirements of Treasury Regulations Incorporated. All distributions
required under this Article will be determined and made in accordance with the
Treasury regulations under section 401(a)(9) of the Internal Revenue Code.
1.4. TEFRA Section 242(b)(2) Elections. Notwithstanding the other
provisions of this Article, distributions may be made under a designation made
before January 1, 1984, in accordance with section 242(b)(2) of the Tax Equity
and Fiscal Responsibility Act (TEFRA) and the provisions of the Plan that relate
to section 242(b)(2) of TEFRA.
Section 2. Time and Manner of Distribution.
2.1. Required Beginning Date. The Participant's entire interest will be
distributed, or begin to be distributed, to the Participant no later than the
Participant's required beginning date.
2.2. Death of Participant Before Distributions Begin. If the Participant
dies before distributions begin, the Participant's entire interest will be
distributed, or begin to be distributed, no later than as follows:
(a) If the Participant's surviving spouse is the Participant's sole
designated beneficiary, then distributions to the surviving spouse will
begin by December 31 of the calendar year immediately following the
calendar year in which the Participant died, or by December 31 of the
calendar year in which the Participant would have attained age 70 1/2, if
later.
(b) If the Participant's surviving spouse is not the Participant's
sole designated beneficiary, then distributions to the designated
beneficiary will begin by December 31 of the calendar year immediately
following the calendar year in which the Participant died.
(c) If there is no designated beneficiary as of September 30 of the
year following the year of the Participant's death, the Participant's
entire interest will be distributed by December 31 of the calendar year
containing the fifth anniversary of the Participant's death.
(d) If the Participant's surviving spouse is the Participant's sole
designated beneficiary and the surviving spouse dies after the Participant
but before distributions to the surviving spouse begin, this section 2.2,
other than section 2.2(a), will apply as if the surviving spouse were the
Participant.
For purposes of this section 2.2 and section 4, unless section 2.2(d) applies,
distributions are considered to begin on the Participant's required beginning
date. If section 2.2(d) applies, distributions are considered to begin on the
date distributions are required to begin to the surviving spouse under section
2.2(a). If distributions under an annuity purchased from an insurance company
irrevocably commence to the Participant before the Participant's required
beginning date (or to the Participant's surviving spouse before the date
distributions are required to begin to the surviving spouse under section
2.2(a)), the date distributions are considered to begin is the date
distributions actually commence.
2.3. Forms of Distribution. Unless the Participant's interest is
distributed in the form of an annuity purchased from an insurance company or in
a single sum on or before the required beginning date, as of the first
distribution calendar year distributions will be made in accordance with
sections 3 and 4 of this Article. If the Participant's interest is distributed
in the form of an annuity purchased from an insurance company, distributions
thereunder will be made in accordance with the requirements of section 401(a)(9)
of the Code and the Treasury regulations.
Section 3. Required Minimum Distributions During Participant's Lifetime.
3.1. Amount of Required Minimum Distribution For Each Distribution Calendar
Year. During the Participant's lifetime, the minimum amount that will be
distributed for each distribution calendar year is the lesser of:
(a) the quotient obtained by dividing the Participant's account
balance by the distribution period in the Uniform Lifetime Table set forth
in section 1.401(a)(9)-9 of the Treasury regulations, using the
Participant's age as of the Participant's birthday in the distribution
calendar year; or
(b) if the Participant's sole designated beneficiary for the
distribution calendar year is the Participant's spouse, the quotient
obtained by dividing the Participant's account balance by the number in the
Joint and Last Survivor Table set forth in section 1.401(a)(9)-9 of the
Treasury regulations, using the Participant's and spouse's attained ages as
of the Participant's and spouse's birthdays in the distribution calendar
year.
3.2. Lifetime Required Minimum Distributions Continue Through Year of
Participant's Death. Required minimum distributions will be determined under
this section 3 beginning with the first distribution calendar year and up to and
including the distribution calendar year that includes the Participant's date of
death.
Section 4. Required Minimum Distributions After Participant's Death.
4.1. Death On or After Date Distributions Begin.
(a) Participant Survived by Designated Beneficiary. If the
Participant dies on or after the date distributions begin and there is a
designated beneficiary, the minimum amount that will be distributed for
each distribution calendar year after the year of the Participant's death
is the quotient obtained by dividing the Participant's account balance by
the longer of the remaining life expectancy of the Participant or the
remaining life expectancy of the Participant's designated beneficiary,
determined as follows:
(1) The Participant's remaining life expectancy is calculated
using the age of the Participant in the year of death, reduced by one for
each subsequent year.
(2) If the Participant's surviving spouse is the Participant's
sole designated beneficiary, the remaining life expectancy of the surviving
spouse is calculated for each distribution calendar year after the year of
the Participant's death using the surviving spouse's age as of the spouse's
birthday in that year. For distribution calendar years after the year of
the surviving spouse's death, the remaining life expectancy of the
surviving spouse is calculated using the age of the surviving spouse as of
the spouse's birthday in the calendar year of the spouse's death, reduced
by one for each subsequent calendar year.
(3) If the Participant's surviving spouse is not the
Participant's sole designated beneficiary, the designated beneficiary's
remaining life expectancy is calculated using the age of the beneficiary in
the year following the year of the Participant's death, reduced by one for
each subsequent year.
(b) No Designated Beneficiary. If the Participant dies on or after
the date distributions begin and there is no designated beneficiary as of
September 30 of the year after the year of the Participant's death, the
minimum amount that will be distributed for each distribution calendar year
after the year of the Participant's death is the quotient obtained by
dividing the Participant's account balance by the Participant's remaining
life expectancy calculated using the age of the Participant in the year of
death, reduced by one for each subsequent year.
4.2. Death Before Date Distributions Begin.
(a) Participant Survived by Designated Beneficiary. If the
Participant dies before the date distributions begin and there is a
designated beneficiary, the minimum amount that will be distributed for
each distribution calendar year after the year of the Participant's death
is the quotient obtained by dividing the Participant's account balance by
the remaining life expectancy of the Participant's designated beneficiary,
determined as provided in section 4.1.
(b) No Designated Beneficiary. If the Participant dies before the
date distributions begin and there is no designated beneficiary as of
September 30 of the year following the year of the Participant's death,
distribution of the Participant's entire interest will be completed by
December 31 of the calendar year containing the fifth anniversary of the
Participant's death.
(c) Death of Surviving Spouse Before Distributions to Surviving
Spouse Are Required to Begin. If the Participant dies before the date
distributions begin, the Participant's surviving spouse is the
Participant's sole designated beneficiary, and the surviving spouse dies
before distributions are required to begin to the surviving spouse under
section 2.2(a), this section 4.2 will apply as if the surviving spouse were
the Participant.
Section 5. Definitions.
5.1. Designated beneficiary. The individual who is designated as the
beneficiary under Section 6.2 of the Plan and is the designated beneficiary
under section 401(a)(9) of the Internal Revenue Code and section 1.401(a)(9)-1,
Q&A-4, of the Treasury regulations.
5.2. Distribution calendar year. A calendar year for which a minimum
distribution is required. For distributions beginning before the Participant's
death, the first distribution calendar year is the calendar year immediately
preceding the calendar year which contains the Participant's required beginning
date. For distributions beginning after the Participant's death, the first
distribution calendar year is the calendar year in which distributions are
required to begin under section 2.2. The required minimum distribution for the
Participant's first distribution calendar year will be made on or before the
Participant's required beginning date. The required minimum distribution for
other distribution calendar years, including the required minimum distribution
for the distribution calendar year in which the Participant's required beginning
date occurs, will be made on or before December 31 of that distribution calendar
year.
5.3. Life expectancy. Life expectancy as computed by use of the Single Life
Table in section 1.401(a)(9)-9 of the Treasury regulations.
5.4. Participant's account balance. The account balance as of the last
valuation date in the calendar year immediately preceding the distribution
calendar year (valuation calendar year) increased by the amount of any
contributions made and allocated or forfeitures allocated to the account balance
as of dates in the valuation calendar year after the valuation date and
decreased by distributions made in the valuation calendar year after the
valuation date. The account balance for the valuation calendar year includes any
amounts rolled over or transferred to the Plan either in the valuation calendar
year or in the distribution calendar year if distributed or transferred in the
valuation calendar year.
5.5 Required beginning date. The date specified in Section 6.1(b) of the
Plan.
IN WITNESS WHEREOF, this Amendment has been executed on this 24th day of
December, 2003.
PIONEER NATURAL RESOURCES USA, INC.
By /s/ Larry Paulsen
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Larry Paulsen, Vice President