Kraft 2010 Annual Report Download - page 146

SECTION 4. DEFERRALS AND CONTRIBUTIONS
4.1 Compensation Deferrals Other Than Performance-Based Bonus Deferrals
Each Plan Year, an Eligible Individual may elect to defer receipt of no less than the minimum and no greater than the maximum percentage or amount
selected by the Employer in the Adoption Agreement with respect to each type of Compensation (other than Performance-Based Bonuses) earned with respect
to pay periods beginning on and after the effective date of the election; provided, however, that Compensation earned prior to the date the Participant satisfies
the eligibility requirements of Section 3 shall not be eligible for deferral under this Plan. Except as otherwise provided in this subsection, a Participant's
Deferral Election for a Plan Year under this subsection must be made not later than December 31 of the preceding Plan Year (or such earlier date as
determined by the Administrator) with respect to Compensation (other than Performance-Based Bonuses) earned in pay periods beginning on or after the
following January 1 in accordance with rules established by the Administrator.
An Employee or Other Service Provider who first becomes an Eligible Individual with respect to this Plan or any other plan required to be aggregated
with this Plan pursuant to Code Section 409A during a Plan Year (by virtue of a promotion, Compensation increase, commencement of employment with the
Employer, execution of an agreement to provide services to an Employer, or any other reason) shall be provided enrollment documents (including Deferral
Election forms) as soon as administratively feasible following such initial notification of eligibility. Such Eligible Individual must make his Deferral Elections
within 30 days after first becoming an Eligible Individual, with respect to his Compensation earned on or after the effective date of the Deferral Election
(provided, however, that if such Eligible Individual is participating in any other account balance plan maintained by the Employer or any member of the
Employer's "controlled group" (as defined in subsections 414(b) and (c) of the Code), such Eligible Individual must make his Compensation Deferral Election
no later than December 31 of the preceding Plan Year (or such earlier date as determined by the Administrator), or he may not elect to make Compensation
Deferrals for that initial Plan Year). If an Eligible Individual does not elect to make Compensation Deferrals during that initial 30-day period, he may not later
elect to make Compensation Deferrals for that year under this subsection. The Eligible Individual's Deferral Election shall become irrevocable with respect to
the current Plan Year after the 30-day period, except as otherwise provided in the Plan. In the event that an Eligible Individual first becomes eligible during a
Plan Year with respect to which Fiscal Year Compensation is payable, such Eligible Individual must make his Fiscal Year Compensation Deferral Election on
or before the end of the fiscal year of the Employer immediately preceding the first fiscal year in which any services are performed for which the Fiscal Year
Compensation is payable. With regard to elections relating to Non-Performance Based Bonus Deferrals in which the initial deferral election is made in the
first year of eligibility but after the beginning of the performance period, such election will apply only to Compensation paid for services performed after the
election determined on a pro-rata basis in accordance with Treas. Reg. § 1.409A-2(a)(7)(i).
In the case of an Employee or Other Service Provider who is rehired (or who recommences providing services to an Employer as an Other Service
Provider) after having previously been an Eligible Individual, the phrase "first becomes an Eligible Individual" in the first sentence of the preceding paragraph
shall be interpreted to apply only where the Eligible
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