Dell 2007 Annual Report Download - page 137

required to contribute before the due date of the Employer's tax return, as extended, such additional amount as may be necessary to ensure that each
Participant eligible to receive an allocation of the Safe Harbor Matching Contribution for the Plan Year shall receive an amount for such Plan Year equal to
the lesser of 100% of the amount deferred by such Participant for such Plan Year or (i) for Plan Years ending on or before December 31, 2007, four
percent (4%) of such Participant's Annual Compensation for such Plan Year, and (ii) for Plan Years beginning on or after January 1, 2008, five percent
(5%) of such Participant's Annual Compensation for such Plan Year. The Participant shall not be required to complete a specified Period of Service or be
employed on the last day of the Plan Year in order to share in this additional amount.
The Safe Harbor Matching Contribution for any Plan Year shall not exceed the maximum amount allowable as a deduction to the Employer under Code
Section 404. The Safe Harbor Matching Contribution for any Plan Year on behalf of a Participant shall not exceed the Participant's Annual Additions
Limit, even if the contribution formula otherwise would require a larger contribution. The Safe Harbor Matching Contribution on behalf of each Participant
shall be credited to each Participant's Safe Harbor Matching Contribution Account and shall be 100% vested at all times.
The Employer shall provide written notice to each Employee, who is eligible to participate in the Plan under Section 2.1, that this Plan is exempt from the
general nondiscrimination rules of Code Sections 401(k)(3) and 401(m)(2) prior to (i) the Employee's Employment Commencement Date or as soon as
administratively feasible thereafter, and (ii) the beginning of each Plan Year. This notice shall be provided at least 30 days, but not more than 90 days,
before the beginning of each Plan Year, shall provide a comprehensive description of each Employee's rights and obligations under the Plan, and shall be
written in a manner calculated to be understood by the average Employee.
Notwithstanding the foregoing, the Employer may amend the Plan during a Plan Year to reduce or eliminate prospectively, any safe harbor contribution
which is a basic matching or enhanced matching contribution provided: (i) the Administrator provides a notice to the Participants which explains the effect
of the amendment, specifies the amendment's effective date and informs Participants they will have a reasonable opportunity to modify their salary
reduction agreements, and if applicable, Employee contributions; (ii) Participants have a reasonable opportunity and period prior to the effective date of the
amendment to modify their salary reduction agreements, and if applicable, Employee contributions; and (iii) the amendment is not effective earlier than the
later of: (a) 30 days after the Administrator gives notice of the amendment; or (b) the date the Employer adopts the amendment. If the Employer amends
the Plan to eliminate or reduce the Safe Harbor Matching Contribution under this Section, it shall continue to apply all of the safe harbor requirements of
this Section until the amendment or termination becomes effective, and shall also apply for the entire Plan Year, using the current year testing method, the
nondiscrimination tests described in Code Sections 401(k)(3) and 401(m)(2).
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