Honeywell 2008 Annual Report Download - page 215

(c) Plan Years Beginning Before January 1, 2005.
(i) Grandfathered Accounts. A Participant’s Deferral Amounts credited to a Participant’s Grandfathered Account under the Plan
for Plan Years beginning before January 1, 2005 shall be paid as soon as practicable during the month of January following the
calendar year in which the Participant terminates employment; provided, however, amounts deferred under the Plan may be paid at
such other date permitted to be designated by the Participant that provides for a minimum period of deferral of at least three years
or such shorter period as may be approved by the Committee, which election was made at the time the Participant made the
deferral election for such Plan Years. The Participant also elected at such time to receive such distribution in one lump-sum
payment or in a number of substantially equal annual installments (provided the payment period may not include more than 30
such installments). The lump-sum or the first installment shall be paid as soon as practicable during the month of January of the
calendar year following termination of employment or such other calendar year validly designated by the Participant. Except as
otherwise provided in Paragraphs 9, 10, and 11, all installment payments following the initial installment payment shall be paid in
cash as soon as practicable during the month of January of each succeeding calendar year until the entire amount in the Account
shall have been paid. Notwithstanding the foregoing, in the event a Participant’s employment with the Corporation is terminated
either voluntarily (other than on account of retirement as defined in the qualified pension plan in which the Participant participates
or for “good reason” under any applicable severance plan of the Corporation) or for “gross cause” (as defined in the AlliedSignal
Inc. Severance Plan for Senior Executives), the Participant’s Deferral Amounts for performance years beginning after 1997 for
amounts deferred under Paragraph 4(a) hereof or after 1998 for amounts deferred under Paragraph 4(b) hereof (including any
notional interest credited thereto) shall be distributed in a lump sum as soon as practicable in January of the calendar year
following such termination of employment. Except as otherwise provided in Paragraph 5(d) or Paragraphs 9 or 10 or as approved
by the Committee, no amount shall be withdrawn from a Participant’s Account prior to the last day of the calendar year in which
the Deferral Amounts were earned; the date the Participant reaches normal retirement age and is eligible to receive a benefit under
a pension plan of the Corporation or one of its affiliates; the date of the Participant’s death; or the date the Participant ceases to be
employed by the Corporation or any of its affiliates.
(ii) Non-Grandfathered Accounts. A Participant’s 2002-2004 Deferrals shall be paid during the month of January following the
calendar year in which the Participant has a Separation from Service; provided, however, a Participant’s 2002-2004 Deferrals may
be paid at a Specified Time designated by the Participant that provides for a minimum period of deferral of at least three years or
such shorter period as may have been approved by the Committee, which election was made prior to January 1 for the applicable
Plan Year. The Participant also elected at such time to receive such distribution in one lump-sum payment or in a number of
substantially equal annual installments (not exceeding 15). Notwithstanding the foregoing, if at the time of the Participant’s
Separation from Service the Participant is entitled to payment of the 2002-2004 Deferrals 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
5