Honeywell 2008 Annual Report Download - page 214

For purposes of this Plan, the term (i) “Years of Service” shall mean each consecutive 12 month period in which the Participant
was employed by the Corporation or an affiliate as measured from the Participant’s commencement of employment with the
Corporation or an affiliate, and (ii) “Specified Employee” shall mean any Participant who, at any time during the 12 month period
ending on the identification date (as determined by the Vice President – Compensation and Benefits (or his delegate)), is a specified
employee under Section 409A of the Code (as determined by the Vice President – Compensation and Benefits (or his delegate), which
determination of “specified employees,” including the number and identity of persons considered “specified employees” and
identification date, shall be made by the Vice President – Compensation and Benefits (or his delegate) in accordance with the
provisions of Sections 416(i) and 409A of the Code and the regulations issued thereunder.
(b) 2005 Plan Year. For the 2005 Plan Year, a Participant’s Deferral Amounts under the Plan for such Plan Year will be paid in one
lump-sum payment to such Participant in the January of the Plan Year that follows the Plan Year in which the Participant has a
Separation from Service with the Corporation and its affiliates, unless the Participant elected on his Election Form during the Open
Enrollment Period that the Deferral Amounts for such Plan Year will instead be paid to such Participant at a Specified Time (as such
term is defined in Section 409A(a)(2)(A)(iv) of the Code and its corresponding regulations), provided that the Specified Time is no
sooner than January of the 2009 Plan Year (unless the Committee approved at the time of such election a shorter period of deferral)
and in up to 15 annual installments. Notwithstanding the foregoing, if at the time of the Participant’s Separation from Service the
Participant is entitled to payment of the amounts deferred for the 2005 Plan Year because of his Separation from Service (and not
because of the Specified Time designated, if any) and the Participant is a Specified Employee, the payments provided in the
immediately preceding sentence on account of Separation from Service shall be paid (or commence payment in the case of
installments) in (i) the January of the Plan Year that follows the Plan Year in which the Participant’s Separation from Service with the
Corporation and its affiliates occurs, if the Participant’s Separation from Service with the Corporation and its affiliates occurs prior to
July 1 of such Plan Year, or (ii) the July of the Plan Year that follows the Plan Year in which the Participant’s Separation from Service
with the Corporation and its affiliates occurs, if the Participant’s Separation from Service with the Corporation and its affiliates occurs
after June 30 of such Plan Year. Payment on account of a Specified Time shall be paid (or commence payment in the case of
installments) to the Participant in January of the Plan Year elected by the Participant. If the Participant elected to receive his
distribution in the form of installment payments, after the first payment is made pursuant to the immediately preceding sentence, each
subsequent installment will be paid to the Participant in the January of each Plan Year that follows until all installments are paid to the
Participant. Notwithstanding anything to the contrary in this Paragraph 5(b), if the Participant dies after the Separation from Service,
but before the end of the Plan Year in which the Separation from Service occurs or if a Specified Employee dies before the payment
date described in the preceding paragraph, the Participant’s beneficiary will receive the payment or payments in a lump sum within 60
days of the date of the Participant’s death.
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