Avis 2008 Annual Report Download - page 226

(3) If there is no designated beneficiary as of September 30 of the year following the year of the Member’s death, the Member’s entire interest
will be distributed by December 31 of the calendar year containing the fifth anniversary of the Member’s death.
(4) If the Member’s surviving spouse is the Member’s sole designated beneficiary and the surviving spouse dies after the Member but before
distributions to the surviving spouse begin, this Section (ii)(b), other than Section (ii)(b)(1), will apply as if the surviving spouse were the
Member.
For purposes of this Sections (ii)(b) and (v), distributions are considered to begin on the Member’s required beginning date (or, if Section (ii)(b)
(4) applies, the date distributions are required to begin to the surviving spouse under Section (ii)(b)(1)). If annuity payments irrevocably
commence to the Member before the Member’s required beginning date (or to the Member’s surviving spouse before the date distributions are
required to begin to the surviving spouse under Section (ii)(b)(1)), the date distributions are considered to begin is the date distributions actually
commence.
(c) Form of Distribution. Unless the Member’
s interest is distributed in the form of an annuity purchased from an insurance company
or in a single sum on or before the required beginning date, as of the first distribution calendar year distributions will be made in accordance with
Sections (iii), (iv) and (v) of this Final Regulations section. If the Member’s interest is distributed in the form of an annuity purchased from an
insurance company, distributions thereunder will be made in accordance with the requirements of section 401(a)(9) of the Code and the Treasury
regulations. Any part of the Member’s interest which is in the form of an individual account described in section 414(k) of the Code will be
distributed in a manner satisfying the requirements of section 401(a)(9) of the Code and the Treasury regulations that apply to individual
accounts.
(iii) Determination of Amount to be Distributed Each Year .
(a) General Annuity Requirements. If the Member’s interest is paid in the form of annuity distributions under the Plan, payments
under the annuity will satisfy the following requirements:
(1) the annuity distributions will be paid in periodic payments made at intervals not longer than one year;
(2) the distribution period will be over a life (or lives) or over a period certain not longer than the period described in Section (iv) or (v);
(3) once payments have begun over a period certain, the period certain will not be changed even if the period certain is shorter than the
maximum permitted;
(4) payments will either be nonincreasing or increase only as follows:
(A) by an annual percentage increase that does not exceed the annual percentage increase in a cost-of-living index that is based on prices of all
items and issued by the Bureau of Labor Statistics;
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