Honeywell 2002 Annual Report Download - page 40

(b) Change or Resumption of Amount Deferred. A Participant may elect at any
time to modify the amount of Base Annual Salary to be credited to the
Participant's Account under the Plan, which modification shall be effective for
the next available pay period following his or her election. Amounts credited to
the Participant's Account prior to the effective date of such change shall not
be affected by such change and shall be distributed only in accordance with the
terms of the Plan.
4. Contributions to Participants' Accounts
(a) Participant Deferred Contributions. Unless the Plan Administrator shall
have established a lesser amount, a Participant may elect to defer an aggregate
amount equal to the difference between (i) a full percentage of such
Participant's Base Annual Salary from 1% to the maximum percentage permitted
under the Qualified Savings Plans and Code Section 415(c)(1)(B) for Before-Tax
Contributions by an individual who is not an HCE and who is eligible to
participate in the Qualified Savings Plans, without regard to any other
limitations which may apply under the Code and without regard to any After-Tax
Contributions which might be made under the Qualified Savings Plans, and (ii)
the full amount of Before-Tax Contributions made by such Participant under the
Qualified Savings Plans; provided, however, that a Participant who elects to
defer any amount hereunder shall be required to make the maximum Before-Tax
Contributions permissible under the Qualified Savings Plans for the applicable
Plan Year (after giving effect to deferrals under the Plan or otherwise).
(b) Plan Employer Contributions. There shall be credited to the
Participant's Account employer contributions under the Plan ("Plan Employer
Contributions") in an aggregate amount equal to (i) minus (ii), where (i) is 50%
(for participants entitled to a 50% Employer Contribution in the Qualified
Savings Plans) or 100% (for participants entitled to a 100% Employer
Contribution in the Qualified Savings Plans) of the lesser of (x) 8% of the
Participant's Base Annual Salary, or (y) the sum of the Participant's
Participant Contributions under the Qualified Savings Plans and Participant
Deferred Contributions under the Plan, expressed as a percentage of Base Annual
Salary, and (ii) is the total amount of Employer Contributions made with respect
to the Participant under the Qualified Savings Plans; provided, however, that in
no event shall the combined Plan Employer Contributions and Employer
Contributions made with respect to the Participant exceed 8% of the
Participant's Base Annual Salary, and provided, further, that Plan Employer
Contributions shall not be made with respect to a Participant during any period
of suspension of Employer Contributions with respect to such Participant under
the terms of the Qualified Savings Plans, whether or not such Participant
continues to make Participant Contributions under the Qualified Savings Plans
during the period of such suspension. Notwithstanding the preceding sentence,
there shall be credited to the Participant's Account an amount equal to the
product of (i) the number of whole shares of common stock of Honeywell
International Inc. ("Common Stock") credited to such Participant's Account under
Section 5(b) on December 29, 2000, and (ii) $0.08 (such product rounded to the
nearest full dollar). The amount determined under the preceding sentence shall
be credited to the Participant's Account as Plan Employer Contributions in
accordance with Section 5(a) and shall be credited to such Account no later than
December 31, 2000.
(c) Vesting. Participant Deferred Contributions, Plan Employer
Contributions (collectively "Total Contribution Amounts") and all amounts
accrued with respect to Total Contribution Amounts in accordance with Section 5,
shall be vested at the time such amounts are credited to the Participant's
Account.
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