Avnet 2011 Annual Report Download - page 89

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(g) Disability . With respect to Section 409A Covered Benefits, the provisions of Section 6.1(a) that relate to a “long-
term disability” apply only in the event of a Section 409A Disability. The Payment Eligibility Date for a Participant who is
“no longer employed” because he “terminates employment as a result of a long-term disability,” within the meaning of
clause (i) of Section 6.1(a) , is the first anniversary of the Participant’s commencement of short-term disability benefits by
reason of a Section 409A Disability, without regard to whether or when the Participant’s employment with the Company
and Affiliates terminates. In the event of a Section 409A Disability, subject to subsection (d) (Mandatory Lump Sum
Distributions), above, the Participant’s Section 409A Covered Benefit shall be paid in the form elected by the Participant
under Section 6.1(b) (or, if the Participant has not made an election under Section 6.1(b) , in annual installments over
15 years). In accordance with Section 6.1(a) , if a Participant’
s Account is distributed because of a Section 409A Disability,
the Participant is not required to satisfy the five (5) years of service condition to receive his distribution in installments.
-
2
-
c. The phrase “if a Participant terminates employment prior to completing at least five (5) years of service with the Company
or an Affiliate or for reasons other than a long-term disability (which qualifies as a Section 409A Disability with respect to
Section 409A Covered Benefits)” is replaced with “subject to the disability provisions of Section 6.1(a) and (g), if a
Participant terminates employment prior to completing at least five (5) years of service with the Company or an Affiliate
”
.
4.
Section 6.1 of the Plan is clarified by adding a new subsection (g) at the end thereof, to read in its entirety as follows:
5.
Section 6.2(d) of the Plan is clarified by replacing the reference therein to
“
subsection (b)
”
with
“
subsection (c)
”
.
6.
Section 6.4 of the Plan is clarified as follows:
a.
The reference therein to
“
Section 6.1(c)
”
is replaced with
“
Section 6.1(a) and (c)
(as applicable)
”
.
b.
The phrase
“
many only make
”
is replaced with
“
may make only
”
.
c.
Each reference therein to
“
this
Section 6.5
”
is replaced with
“
this
Section 6.4
”
.