Supercuts 2007 Annual Report Download - page 137

are under common control (as defined in Section 414(c)), or such other employer is required to be aggregated with the Employer pursuant to
regulations issued under Section 414(o).
(25) “Self-Employed Individual” means an individual who has Earned Income for the taxable year from the Employer or who would have
had Earned Income but for the fact that the trade or business had no net profits for the taxable year.
(26) “Service Agreement” means the agreement between the Employer and Trustee regarding the arrangement between the parties for
recordkeeping services with respect to the Plan.
(27) “Trust” means the trust created by the Employer.
(28) “Trust Agreement” means the agreement between the Employer and the Trustee, as set forth in a separate agreement, under which assets
are held, administered, and managed subject to the claims of the Employer’s creditors in the event of the Employer’s insolvency, until paid to
Plan Participants and their Beneficiaries as specified in the Plan.
(29) “Trust Fund” means the property held in the Trust by the Trustee.
(30) “Trustee” means the corporation or individual(s) appointed by the Employer to administer the Trust in accordance with the Trust
Agreement.
(31) “Years of Service for Vesting” means, with respect to any Employee, the number of whole years of his periods of service with the
Employer or a Related Employer (the elapsed time method to compute vesting service), subject to any exclusions elected by the Employer in
Section 1.07(c). An Employee will receive credit for the aggregate of all time period(s) commencing with the Employee’s Employment
Commencement Date and ending on the date a break in service begins, unless any such years are excluded by Section 1.07(c). An Employee
will also receive credit for any period of severance of less than 12 consecutive months. Fractional periods of a year will be expressed in terms
of days.
In the case of a Participant who has 5 consecutive 1-year breaks in service, all years of service after such breaks in service will be disregarded
for the purpose of vesting the Employer-derived account balance that accrued before such breaks, but both pre-break and post-break service
will count for the purposes of vesting the Employer-derived account balance that accrues after such breaks. Both accounts will share in the
earnings and losses of the fund.
In the case of a Participant who does not have 5 consecutive 1-year breaks in service, both the pre-break and post-break service will count in
vesting both the pre-break and post-break employer-derived account balance. A break in service is a period of severance of at least 12
consecutive months. Period of severance is a continuous period of time during which the Employee is not employed by the Employer. Such
period begins on the date the Employee retires, quits or is discharged, or if earlier, the 12-
month anniversary of the date on which the Employee
was otherwise first absent from service.
In the case of an individual who is absent from work for maternity or paternity reasons, the 12-consecutive month period beginning on the first
anniversary of the first date of such absence shall not constitute a break in service. For purposes of this paragraph, an absence from work for
maternity or paternity reasons means an absence (1) by reason of the pregnancy of the individual, (2) by reason of the birth of a child of the
individual, (3) by reason of the placement of a child with the individual in connection with the adoption of such child by such individual, or (4)
for purposes of caring for such child for a period beginning immediately following such birth or placement.
If the Plan maintained by the Employer is the plan of a predecessor employer, an Employee’s Years of Service for Vesting shall include years
of service with such predecessor employer. In any case in which the Plan maintained by the Employer is not the plan maintained by a
predecessor employer, service for such predecessor shall be treated as service for the Employer to the extent provided in Section 1.08.
(b) Pronouns used in the Plan are in the masculine gender but include the feminine gender unless the context clearly indicates otherwise.
Article 3. Participation .
3.01. Date of Participation . An eligible Employee (as set forth in Section 1.03(a)) who has filed an election pursuant to Section 4.01 will
become a Participant in the Plan on the first Entry Date coincident with or following the date on which such election would otherwise become
effective, as determined under Section4.01.
3.02. Resumption of Participation Following Reemployment . If a Participant ceases to be an Employee and thereafter returns to the employ
of the Employer he will again become a Participant as of an Entry Date following the date on which he completes an Hour of Service for the
Employer following his re employment, if he is an eligible Employee as defined in Section 1.03(a), and has filed an election pursuant to
Section 4.01.
3.03. Cessation or Resumption of Participation Following a Change in Status . If any Participant continues in the employ of the Employer
or Related Employer but ceases to be an eligible Employee as defined in Section 1.03(a), the individual shall continue to be a Participant until
the entire amount of his benefit is distributed; however, the individual