Sallie Mae 2015 Annual Report Download - page 225

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(i) the value of such In-Service Distribution Account as of the Valuation Date
immediately preceding Plan Year divided by (ii) the number of installments
remaining.
(b) A Participant may also elect on the Enrollment Agreement to have his In-
Service Distribution Account paid in the form of a lump sum if he should
Terminate Employment prior to his Retirement. With regard to amounts
deferred into an In-Service Distribution Account constituting Grandfathered
Funds, such lump sum will be distributed in Sallie Mae common stock no
later than 60 days following termination of Service for Participants who are
Executive Officers for purposes of proxy disclosure. For other Participants,
such lump sum will be distributed as soon as administratively feasible
following the date that is 12 months from the End Termination Date and such
an election shall be subject to the provisions of Section 6.3. Notwithstanding
the foregoing, any distribution made to a Specified Employee as a result of
the Specified Employee’s separation from Service may not be made earlier
than the first day of the seventh month following the Specified Employee’s
date of separation from Service.
(c) With respect to Grandfathered Funds, a Participant may accelerate the
distribution of his In-Service Distribution Account balance upon the
occurrence of a Change in Control. With respect to amounts in excess of
Grandfathered Funds, a Participant’s In-Service Distribution Account
balance shall become immediately due and payable upon the occurrence of
a Change in Control only if the Change in Control satisfies the requirements
of Code Section 409A(a)(2)(A)(v) (and the guidance issued thereunder). For
purposes of this Section 7.2(c), a Change in Control means a change in the
ownership or effective control of the Corporation or in the ownership of a
substantial portion of the assets of the Corporation, as determined in
accordance with the requirements of Code Section 409A.
ARTICLE 8. DISABILITY
Section 8.1. In the event a Participant becomes Disabled, the Participant’s right to make
any further deferrals under this Plan shall terminate. The Participant’s Retirement
Distribution Account, if any, shall be distributed to the Participant in accordance with
Section 7.1. The Participant’s In-Service Distribution Accounts, if any, will be distributed
to the Participant in accordance with Section 7.2(a), without regard to the fact that the
Participant became Disabled.
ARTICLE 9. SURVIVOR BENEFITS
Section 9.1. Death of Participant Prior to the Commencement of Benefits. In the event
of a Participant’s death prior to the commencement of benefits in accordance with Section 7,
benefits shall be paid to the Participant’s Beneficiary, as determined under Section 13.3,
pursuant to Section 9.2 or 9.3, whichever is applicable, in lieu of any benefits otherwise