McKesson 2005 Annual Report Download - page 181

McKESSON CORPORATION
EXECUTIVE MEDICAL PLAN
(As of January 1, 2004)
A. PURPOSE
This Plan was established to enable the Company to attract and retain key executive personnel by providing medical, prescription drug,
dental and vision benefits to Executives and their eligible Dependents. This Plan has been amended and restated to read as set forth herein
effective January 1, 2004. Claims for benefits under the Plan incurred prior to January 1, 2004 shall be governed by the terms of the Plan as in
effect at the time the claim was incurred.
B. ERISA PLAN
This Plan is a welfare benefit plan intended primarily for a select group of management or highly compensated employees of the Company.
The Plan therefore is covered by Title I of ERISA except that it is exempt from the reporting and disclosure provisions of Part 1 of Title I of
ERISA.
All benefits under the Plan are provided through a group insurance contract or contracts issued by an Insurance Company or Companies.
C. PARTICIPATION OF EXECUTIVES
1. Selection by Compensation Committee. The Compensation Committee may select, at its discretion and from time to time as it decides,
the key Executives who participate in this Plan. Participation in the Plan shall be limited to those Executives of the Company who are selected
by the Compensation Committee. Selection of a key Executive to participate in the Plan may be evidenced by the terms of his contract of
employment with the Company. Prior to January 1, 2004, the Board had reserved to itself the power to select Executives to participate in the
Plan.
2. Each eligible Executive shall commence participation in the Plan on the date specified by the Compensation Committee provided that
such Executive makes an election to participate in accordance with Section E. and has commenced Active Service with the Company.
An Executive who has been selected by the Compensation Committee to participate in the Plan and has enrolled in the Plan may continue to
actively participate in the Plan following the Executive’s Approved Retirement from the Company.
3. Election Not to Participate. Subject to the restrictions on cessation of participation in the McKesson Corporation Cafeteria Arrangement,
an Executive may elect not to participate in this Plan. Such election shall be in writing and shall become effective upon its receipt by the
Administrator. No compensation or benefits in lieu of this Plan shall be paid to an Executive who elects not to participate.
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