Saks Fifth Avenue 2008 Annual Report Download - page 175

Participants may elect to defer Compensation and/or Stock Grants into the Plan in accordance with the provisions of this
Section.
A Deferral Election with regard to Basic Compensation or Bonus Compensation may be made only during an Initial
Eligibility Period or an Open Enrollment Period, and shall become applicable as described in subsection (b)(1) and (b)(2)
below. Such a Deferral Election made during a given election period may be revoked or modified at any time through and
including the last day of said election period, at which time the Deferral Election becomes irrevocable. The Deferral
Election must then remain in effect through the end of the calendar year to which it first applies. Furthermore such Deferral
Elections shall be “evergreen.” That is, they shall remain in force from calendar year to calendar year until such time as
they are changed or revoked by a subsequent valid Deferred Election applicable to a later calendar year.
A Deferral Election with regard to a Stock Grant may be made at any time, provided such Deferral Election complies with
the applicable election timing requirements described in subsections (b)(3) and (b)(4) below. Deferral Elections with
regard to Stock Grants apply only to the specific Stock Grants referenced in the Deferral Election, and are not “evergreen.”
Deferral Elections shall be made in such manner as is determined by the Committee.
4.02 Deferral Elections by Participants.
(a) General Rules. Participants who wish to defer Compensation and/or Stock Grants into the Plan shall do so by making one
or more valid Deferral Elections as described in this Section.
(b) A
pp
licabilit
y
of Deferral Elections. Deferral Elections shall be applicable as provided in this Section 4.02(b).
(1) Basic Compensation
(i) Deferral Elections made during an Initial Eligibility Period shall apply as soon as administratively feasible to
Basic Compensation earned after the election.
(ii) Deferral Elections made during an Open Enrollment Period shall apply to Basic Compensation on the
January 1 next following the end of the Open Enrollment Period.
(2) Bonus Compensation
(i) Deferral Elections made during the first six (6) months of a calendar year shall apply to the annual fiscal
performance period beginning in that same calendar year, which in turn corresponds to Bonus Compensation to
be paid during the calendar year following the calendar year of the election.
(ii) Deferral Elections made during the last six (6) months of a calendar year shall apply to the annual fiscal
performance period beginning in the next calendar year, which in turn corresponds to Bonus Compensation to
be paid during the second calendar year following the calendar year of the election.
12/14/2008
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