Annuity Plan

When your participation begins, you need to complete a beneficiary designation form. You may update your beneficiary at any time by completing and submitting a beneficiary designation form. Your beneficiary will receive your Annuity Plan benefit in the event of your death.

You may name anyone you want as your beneficiary, including a trust. However, any trust you designate as a beneficiary must be a valid trust under applicable state law. In addition, if you’re married and wish to designate a person other than your spouse as your beneficiary, your spouse must consent to the designation in writing in the presence of a notary public or designated Annuity Plan representative.

If you do not have a designated beneficiary at the time of your death, the Trustees will designate that benefits be paid to first to survive in the following order, starting with:

• Your spouse, then
• Your children, then
• Your parents, then
• Your siblings, then
• Your nieces and nephews, then
• Your estate.

ACTION STEPS: Name a Beneficiary

Contact the Fund Office to obtain a beneficiary designation form. Complete the form and return it to the Fund Office.

If You Are Married

If you’re married and wish to designate a person other than your spouse as your primary beneficiary, your spouse must consent to the designation in writing before a notary public or designated Annuity Plan representative.

Change in Marital Status

Contact the Fund Office immediately if you marry or divorce at any time before receiving a distribution from your annuity account so that you may update your beneficiary designation form accordingly.

You are always 100% vested in (you own) the money in your individual account. See Payment of Benefits on page 18 for information about when you become eligible to access the money in your account.

You may rollover any tax-deductible voluntary contributions that were distributed from a qualified retirement plan [except for Supplemental Employee Retirement Plan (SERP) contributions]. You may also rollover the full amount of an individual retirement account (IRA) if the IRA represents the entire rollover from a previous qualified retirement plan. If you rollover any amount from another qualified retirement plan, it will be allocated to your Rollover Contribution Account.

The Rollover Contribution Account will be subject to the same rules as the Employer Contributions Account. In addition, if you take a partial distribution of your Rollover Contribution Account, the balance must be at least $100.

You determine the investment mix of your individual account. You may choose to invest the money in your account among several investment funds available to you through the Annuity Plan. If you do not elect how you want your account balance invested, your entire account balance will be invested in the Fidelity Freedom Fund year that ends within five years after you reach age 65.

ACTION STEPS: Choose How to Invest Your Account

To elect or change how your individual account is invested, contact Fidelity Retirement Services Specialists at 1-866-84UNION (1-866-848-6466) or log into your Net Benefits account at www.fidelity.com/atwork.

Personal identification Number

Your enrollment packet will contain instructions for establishing a Personal Identification Number (PIN), which you will need to elect or change your investment options.

For specific information about the investment funds offered by the Annuity Plan, contact the Fund Office or Fidelity Investments. It’s a good idea to study your investment options and consider your personal situation before deciding how to invest the money in your individual Annuity Plan account.

You may change your investments on a daily basis; however, you should be aware that certain funds have a short-term trading fee. Investment option elections become effective as soon as administratively possible. Keep in mind that it’s usually not a good idea to try to time the market. In addition, when making changes to your investment mix, you’ll want to consider your long-term investment strategy. For things to consider when making investment decisions, see page 10.

The Trustees have the right to change the investment funds offered by the Annuity Plan at any time. You will be notified of any investment fund changes.

The value of your account is updated as of the end of each business day and includes:

• Employer contributions made on your behalf,
• Investment earnings and/or losses,
• Any distributions made from your account,
• Rollover contributions (if applicable), and
• Administrative expenses. Administrative expenses are distributed proportionately across all participants’ accounts.

ACTION STEPS: Review Your Quarterly Statements

You will receive a quarterly statement that shows:

• The value of your account,
• Any earnings and/or losses,
• Any distributions made from your account, and
• Administrative expenses.

Please file these statements in a safe place for future reference.

Requesting a Statement

You may order a statement at any time by contacting Fidelity Retirement Services Specialists at 1-866-84UNION (1-866-848-6466) or log into your Net Benefits account at www.fidelity.com/atwork.

Your time horizon is the number of years you have until you plan to retire. It’s important to consider your time horizon when deciding the investment options that are best for you. The appropriateness of an investment depends largely on how long you have until you need to access your money.

Like most things in life, all investments have risk. When you make investment decisions, it’s important to understand the types of risk involved, and their relationship to the amount that you can earn on your investments (known as rate of return). This knowledge can help you create an investment strategy that’s best for your situation.

In general, there are two types of risk involved in investing: investment (short-term) risk and inflation (long-term) risk.

Terms to Know

Diversification ‒ by putting your money in several investment options available through the Annuity Plan you may be able to reduce your exposure to any one type of risk.

Inflation ‒ an increase in the level of consumer prices or a decrease in the purchasing power of money. Inflation can be caused by an increase in available currency and credit above the availability of goods and services.

Inflation risk (long-term risk) ‒ risk that the purchasing power of your money will decrease over time because of inflation.

Investment risk (short-term risk) ‒ risk that your investment may decrease in value in the near future.

Each type of investment has a different investment risk and return potential.

Terms to Know

Bonds ‒ an investment where you’re essentially buying an IOU.

Cash equivalents ‒ investment type that seeks to preserve the money you invest and provide a steady stream of current income through the interest earned on the investment.

Certificates of deposit (CD) ‒ a certificate by a bank or a savings and loan association that a fixed dollar amount has been deposited with it for a fixed period at a predetermined rate of interest.

Mutual fund ‒ investment where money is pooled by investors that is professionally managed, diversified and follows a particular investment objective. A mutual fund can invest in different types of investment vehicles, such as stocks, bonds and/or real estate.

Stocks ‒ investments that rise and fall in value depending upon the performance of the company and the investment market’s reaction to how well the company is performing or other economic or environmental factors.

There are two types of loans: Hardship Loans and General Purpose Loans (loans for any other reason). 

Loan Eligibility

•  Active and retired participants: Only active and retired participants are eligible for loans. Loans are not available to alternate payees or beneficiaries.
• Outstanding loans: You may have more than one loan outstanding, but you cannot receive more loans if you are in default on any loan.

Minimum Amount

• Hardship Loan: $1,000
• General Purpose Loan: $1,000

Maximum Amount 

Hardship Loan:

All hardship loans from the Money Purchase Plan (based on contributions made on your behalf before February 1, 2010) cannot collectively exceed the lessor of:

‒ 50% of the vested balance in your account; or

‒ $50,000.

Each loan is up to the amount you need for an immediate and heavy financial need due to:

‒ Medical care expenses (incurred or necessary in the future) for you or your dependent, including expenses for the diagnosis, cure, mitigation, treatment or prevention of disease, as well as for transportation primarily for and essential to this medical care.

‒ Tuition and related educational fees for the next 12 months of post-secondary education for you or your dependents. Related educational fees include fees, books, equipment required for and courses of instruction, and room and board.

‒ Down payment and other costs directly related to the purchase of your primary residence (excluding mortgage payments).

‒ Payments to prevent your eviction from your principal residence or foreclosure on the mortgage of your principal residence.

General Purpose Loan: 

All general purpose loans from the Profit Sharing Account and Money Purchase Account cannot collectively exceed the lessor of:

‒ 50% of the vested balance in your account; or

‒ $20,000.00

You can request one General Purpose Loan during any 12 consecutive months 

Loan Fees

$35 loan setup fee per loan plus $3.75 quarter administration fee for each loan.

Interest Rate

The interest rate of a loan is determined at the time the loan is issued and will remain fixed throughout the life of the loan. The current interest rate is fixed by the Trustees and will be changed periodically so that it is approximately 1% over the prime interest rate being charged by a local financial institution designated by the Trustees. The Trustees reserve the right, in their discretion, to modify the interest rate at any time.

Repayment Period

The maximum repayment period is five years; however, you may repay the loan faster without any penalty. Your Plan loans are repaid by ACH debits from your bank account. 

Missed Payment

If you fail to make timely payments, and if it remains uncorrected on the last day of the calendar quarter following the calendar quarter in which the failure occurred (cure period), the loan is considered in default. The Loan Administrator will send you a notice to correct the default within the cure period. If you don’t, the Plan will foreclose on your benefits that secures the loan as follows: 

• If, at the end of the cure period, you are entitled to a distribution from the Plan because of termination of employment, the unpaid balance of principal and interest of the delinquent loan will be offset against your benefits and constitute a distribution. 
• If, at the end of the cure period, you have not incurred a distribution event, then the offset procedure set forth above will not be instituted and no further action will be taken until you terminate employment, die or have any other distributable event under the Plan. At that time, your accounts will be offset and foreclosure of the loan deemed completed. 
• If your loan is not repaid in accordance with its terms and it is not possible to foreclose on the security as described above, then your loan will be considered a distribution. Immediately following the end of the cure period, the outstanding balance of the loan will become taxable as if it had been distributed and a Form 1099-R will be issued to you.

Termination of Employment

If you terminate employment, you may continue to repay the loan. However, if you elect to receive a distribution of your account, then the loan will be in default and must be repaid in full before distribution of your account and the loan, including interest, will be offset against the distribution.

 Active and retired participants: Only active and retired participants are eligible for loans. Loans are not available to alternate payees or beneficiaries.  Outstanding loans: You may have more than one loan outstanding, but you cannot receive more loans if you are in default on any loan.

There are two types of withdrawals while you are still active: hardship withdrawals and age 59½ withdrawals.

Withdrawal Eligibility

Hardship Withdrawal

Only active participants are eligible for hardship withdrawals.

You must be a participant in this Plan for at least three years to be eligible to take a hardship withdrawal.

Age 59½ or Older Withdrawal

Only active participants are eligible for age 59½ withdrawals.

You must be at least age 59½ to request this withdrawal.

Accounts Available for Withdrawal and Maximum Amount

Hardship Withdrawal

The gross amount of the withdrawal must be a minimum of $2,000.

The withdrawal cannot exceed 50% of the Profit Sharing Account (contributions made on or after February 1, 2010 with associated gains and losses) after any processing fee, if any, has been deducted.

Hardship withdrawals require that you have an immediate and heavy financial need and the hardship withdrawal is in an amount up to the amount of the need. Specifically, the financial need must be due to any one or more of the following reasons:

‒ Medical care expenses (incurred or necessary in the future) for you or your dependent. Medical Care expenses include expenses for the diagnosis, cure, mitigation, treatment or prevention of disease, as well as for transportation primarily for and essential to this medical care.

‒ Tuition and related educational fees for the next 12 months for post-secondary education for you or your dependent. Related educational fees include fees, books, equipment required for and courses of instruction and room and board.

‒ Down payment and other costs directly related to the purchase of your primary residence (excluding mortgage payments).

‒ Payments to prevent your eviction from your principal residence or foreclosure on the mortgage of your principal residence.

‒ Payments for burial or funeral expenses for the participant’s deceased parent, spouse, children, or dependents.

Age 59½ or Older Withdrawal

Entire Profit Sharing Account; any Money Purchase Account is not available for withdrawal.

One (1) withdrawal every Sizx (6) consecutive months.

Meet Requirements

Hardship Withdrawal

A distribution will be deemed necessary to satisfy your immediate and heavy financial need if the Trustees rely on your written representation that the need cannot be relieved by any of the following:

• Through disbursement or compensation by insurance or otherwise,
• By reasonable liquidation of your assets (or those of your spouse or minor children) to the extent such liquidation does not create a financial hardship,
• By making other withdrawals or nontaxable loans (including Hardship Loans and General Purpose Loans) from all plans in which you participate, or 
• By borrowing from commercial sources on reasonable commercial terms.

Age 59½ or Older Withdrawal

Attained age 59½.

If you are married, your spouse must consent to the loan or withdrawal in writing and must do so in the presence of a notary public or a designated Fund representative. Once your spouse consents, that consent is irrevocable for the life of the loan.

You do not need to get spousal consent if you can establish to the satisfaction of the Plan Administrator or Trustees that you cannot obtain consent because:

• You have no spouse,
• Your spouse cannot be located,
• Your spouse is incompetent and you have the consent of your spouse’s guardian, or
• You have a court order that you are legally separated or have been abandoned by your spouse and there is not a Qualified Domestic Relations Order (QDRO) that requires payment to the spouse.

If you die:

• Before you start payment of your Annuity Plan benefit and the value of your account as of the date of your death is $5,000 or less, your benefit will be paid to your beneficiary as a lump-sum payment.
• Before receiving payment of your Annuity Plan benefit and the value of the benefit as of the date of your death is more than $5,000, the benefit is paid to your beneficiary as described below.
• While performing qualified military service, your beneficiaries will be entitled to benefits as if you had returned to work and then died. No contributions will be credited for the time you were in military service. 

If you die after your Annuity Plan benefit begins, payments, if any, will continue based on the form of payment you elected. If you received your benefit as a lump-sum payment, no further benefits are payable after your death.

Payment of death benefits will begin within a reasonable time after the Fund Office receives your death certificate. If the designated beneficiary is your spouse, your spouse may defer payment until the later of:

• December 31 immediately following the calendar year of your death, or
• December 31 of the calendar year in which you would have reached age 70½.

If you have a designated beneficiary other than your spouse, your beneficiary may begin to receive payments by December 31 immediately following the year of your death, if elected by September 30 of the calendar year of the distribution. Your beneficiary may delay payment until later, but in no event later than the December 31 of the calendar year containing the fifth anniversary of your death. 

You are eligible to receive your Annuity Plan benefit when you:

• Become totally disabled,
• Retire, or
• Have no contributions paid to the Fund on our behalf during a six-consecutive-month period.

When you become eligible for and elect distribution of your Annuity Plan account, the amount of your benefit will be based on the balance of your individual account as of the last valuation date plus any employer contributions (or rollover contributions, if applicable) made to your account since the last valuation date less any distributions or administrative expenses. The value of your account is updated at the end of each business day.

Your required beginning date is the April 1 of the calendar year immediately following the calendar year in which you reach age 70½. Once you reach this date, you must begin receiving at least the required minimum distribution (RMD) each calendar year. The calculation of the RMD divides your account balance by a factor based on life expectancies for you individually or jointly with your spouse. These RMDs will be calculated each calendar year and distributed to you. You or your beneficiary must receive the RMD in the year of your death.

After you die, your beneficiary must continue to receive the RMD annually, which would be recalculated based on your beneficiary’s age. In addition, your beneficiary may elect a complete withdrawal of the annuity account balance in lieu of the RMD.

If you and your spouse divorce, your spouse may receive a benefit pursuant to a Qualified Domestic Relations Order (QDRO). Under the terms of a QDRO, certain payments could be made from your account to pay:

• Alimony,
• Child support, or
• Marital property rights. If the Board of Trustees receives a QDRO, you will be notified. A QDRO may affect the amount of benefits you will receive or are receiving. 

ACTION STEPS: Request QDRO Procedures

If you have questions about QDROs or would like to receive a free copy of the Plan’s QDRO procedures, please send a written request to the Fund Office that includes information related to the alternate payee.

If your Annuity Plan benefit is $1,000 or less, your benefit will automatically be paid to you as a lump-sum payment. The Annuity Plan offers these forms of payment if your benefit is greater than $1,000 and you meet the requirements for the specific form of payment:

• Joint and 50% survivor annuity (if you are married),
• Joint and 75% survivor annuity (if you are married),
• Single sum cash payment or a non-periodic partial cash payment,
• Fixed or variable annuity, and
• Installment payments.

Terms to Know

Joint and 50% survivor annuity ‒ provides a monthly benefit to you for your lifetime. After your death, your surviving spouse will receive a monthly benefit equal to 50% of the amount you were receiving for the remainder of his or her lifetime.

Joint and 75% survivor annuity ‒ provides a monthly benefit to you for your lifetime. After your death, your surviving spouse will receive a monthly benefit equal to 75% of the amount you were receiving for the remainder of his or her lifetime.

Lump sum payment ‒ provides a single or partial payment to you of your Annuity Plan benefit. Also includes direct rollover to another plan (see Rollovers for more information). Fixed or variable annuity ‒ a contract or agreement that provides you (or your beneficiary) with fixed or variable payments on an investment for a lifetime or for a specified number of years.

Installment payments ‒ provides payments for a specified number of months. If you die before all the payments have been made, the balance of your payments will be paid to your beneficiary.

The joint and 50% or 75% survivor annuity and fixed or variable annuities are payable through the purchase of an annuity from an outside company. The outside company assumes responsibility for payment of the benefit and the Plan will have no further liability for payment of benefits.

You (or your spouse for survivor benefits) will need to coordinate with the annuity company on any issues concerning your annuity.

ACTION STEPS: Apply for Benefits

When you retire or leave covered employment, request an application from the Fund Office to claim your benefits. Payment can’t be made until your application is filed at the Fund Office and approved by the Trustees.

Review Payment Option Information

Generally, the Fund Office provides an explanation of the payment forms and amount of those payments available to you within 90 days of your application receipt. Under special circumstances, this 90-day period may be extended up to 180 days. You will be notified of such extension, why it’s necessary, and when you can expect a decision on your application. To protect your rights, contact the Fund Office if you have not received a response within 90 days of filing your application.

If your application is for a distribution due to a disability, you will receive written notice of a decision within 45 days of receipt of your application. If additional time is required to make a determination (for reasons beyond the control of the Plan), you will be notified within this time. The Plan may extend this 45-day period up to an additional 60-day maximum (two periods of 30 days each). You will be notified in writing before the end of the 45-day period if the first extension is used, or within 75 days if the second extension is used.

If You Are Married

You will receive a description of the terms and conditions of the joint and 50% (or 75%) survivor annuity at least 30 days (but no more than 90 days) before your benefits begin. The description includes your and your spouse’s right to waive the joint and 50% (or 75%) survivor annuity form of payment and a description of optional forms of payment. To waive the joint and 50% (or 75%) survivor annuity form of payment, you and your spouse must provide a written waiver within the 90-day period before payment of your Annuity Plan benefit begins. You and your spouse must sign the written statement in the presence of a notary public or a designated Annuity Plan representative. A waiver is only effective if you receive a written explanation of the joint and 50% (or 75%) survivor annuity at least 30 days (but no more than 90 days) before you begin to receive payment of your Annuity Plan benefit.

If Additional Information Is Needed

If additional information is needed to process and make a decision on your application when it is due to a disability, the Plan will notify you within 45 days of receiving your request. You then have up to 45 days to submit the additional information. If you do not provide the information within this time, your application may be denied. 

The Fund Office relies on the information you provide when reviewing your application.

Generally, once your application has been approved, benefits are payable within 45-60 days. If your application is denied, you have the right to request a review.

In the event it is determined that you, your surviving spouse or beneficiary is unable to care for your affairs because of mental or physical incapacity, any payment due may be applied to your maintenance and support or to such person as the Trustees find to be appropriate.

For more information on denied claims, see Appealing Claims on the next page.

If your application for benefits is denied, wholly or in part, the Fund Office will provide you with a written notice that will include:

• The specific reasons for the denial;
• Specific references to the Plan provisions on which the denial is based;
• A description of any additional information necessary as well as an explanation of why such information is necessary;
• A description of the steps you will need to take if you wish to appeal; and
• A statement of your rights, under ERISA, to bring a civil action.

You or your authorized representative may file a written appeal with the Fund Office no later than 90 days (180 days in the case of a disability application) after you receive notice that your application for benefits has been denied. You also have a right to review pertinent documents and to submit comments in writing.

A Participant has 90 days following a claim denial within which to appeal to the Board of Trustees. The appeal must be in writing and shall set forth all facts and include all documents necessary to support the appeal. Failure to file a timely appeal shall be a bar to your ability to appeal or challenge a denial of a benefit under the Plan.

If the Participant or Beneficiary fails to appeal or request such a review to the Plan Administrator in writing within the prescribed period of time, the Plan Administrator’s adverse determination shall be final, binding and conclusive.

Before filing a lawsuit challenging an adverse benefit decision, you must first exhaust your administrative remedies set forth in the Plan, including filing a timely appeal. Suit may be filed in state or federal court and must be filed within one year from the date your appeal was denied. The mailbox rule shall apply in determining the date the appeal was denied. A failure to file suit within one year following the date your appeal was denied shall be a bar to any recovery.

You may:

• Submit additional materials, including comments, statements or documents; and
• Request to review all relevant information (free of charge).

In addition, when filing an appeal for a distribution due to a disability:

• You have the right to be advised of the identity of any medical experts.
• If the determination was based on an internal rule, guideline, protocol or other similar criteria, you have the right to request a free copy of such information.
• If the determination was based on a medical necessity, experimental treatment or similar exclusion or limit, you have the right to request a free copy of an explanation of the scientific or clinical judgment for the determination.  If the determination is based on medical necessity or appropriateness, the Annuity Plan must consult a medical professional who is not the same individual who consulted on the initial review of the application or a subordinate of that individual.

The Board of Trustees will complete a new, full and fair review of your application based on all information available, including any additional information you provide. The Board of Trustees will make a decision regarding the appeal at the next regularly scheduled quarterly meeting. However, if the Fund Office receives your request for review less than 30 days before the meeting, the decision may be made at the second meeting following receipt of your request for review. If special circumstances require an extension, the decision may be made at the third meeting following receipt of your request and you will be given written notice of the extension before the date of the review.

Within five days after the determination on your appeal is made, you will be sent written notice of the decision. The decision will include the specific basis for the decision and specific references to Annuity Plan provisions on which the decision was based.

In addition, you will receive a statement notifying you:

• That you have the right to request a free copy of all documents, records and relevant information,
• That you may bring a civil action suit under ERISA, and
• Of any additional voluntary appeal procedures offered by the Plan.

The decision of the Board of Trustees is final and binding. The Trustees’ decision will be given judicial deference in any later court action. You (or any person acting on your behalf) cannot bring a lawsuit against the Annuity Plan to recover benefits from the Plan if you do not timely appeal a benefit denial in accordance with the Plan’s procedures. In the event your appeal is denied in whole or in part by the Board of Trustees, you have one year after the appeal is denied to file suit to challenge the claim denial. If you do not timely file an appeal with the Plan or file suit within the one-year limitation period, you will be barred from challenging the Board’s decision.

Whenever a taxable distribution is paid directly to you or your beneficiary, 20% of the distribution will automatically be withheld to pay federal income taxes. The entire distribution is considered taxable income in the year it is received.

To defer payment of the 20% federal withholding tax, you may “rollover” your distribution to an eligible retirement plan within 60 days of receipt of your distribution. However, this 60-day period may be extended in cases of casualty, disaster or other events beyond your reasonable control.

In addition to withholding 20% for federal income taxes, you may be responsible for an additional 10% tax penalty if payment is received before age 59½; this is in addition to your regular income taxes (and any applicable state income taxes). Under certain circumstances the additional 10% tax may not apply (including for distributions made to surviving spouses). You will receive more detailed information when you apply for distribution of your account.

If you become eligible for a distribution from the Annuity Plan, you may defer payment of the 20% federal withholding tax (and an additional 10% tax penalty if received before age 59½) by rolling over the taxable portion of your distribution to an eligible retirement plan (if that plan accepts rollovers).

To be considered an eligible retirement plan, a plan must accept eligible rollover distributions and be:

• An individual retirement account under Section 401(a) of the Internal Revenue Code;
• An individual retirement annuity under Section 401(b) of the Internal Revenue Code;
• A Roth individual retirement account under Section 408(A) of the Internal Revenue Code;
• An annuity plan under Section 403(a) of the Internal Revenue Code;
• A qualified trust under Section 401(a) of the Internal Revenue Code;
• An annuity contract under Section 403(b) of the Internal Revenue Code; or
• An eligible plan under Section 457(b) of the Internal Revenue Code that is maintained by a state, political subdivision of a state, or any agency of a state or political subdivision that agrees to separately account for amounts into such a plan.

In addition, a non-spousal beneficiary may elect a direct rollover into an inherited IRA.

It is important to note that some individuals may not be eligible to make a rollover into a Roth IRA. It is your responsibility to determine if you are eligible to make a rollover into a Roth IRA. In addition, even if you are eligible to rollover into a Roth IRA, the rollover will be considered taxable income.

The above also applies to surviving spouses and alternate payees under a Qualified Domestic Relations Order (QDRO).

You cannot rollover a payment if it is part of a series of equal (or almost equal) payments that are made at least once a year and that will last for:

• Your lifetime (or your life expectancy),
• Your lifetime and your beneficiary’s lifetime (or life expectancies), or
• A period of ten or more years.

In addition, you cannot rollover:

• Any distribution that is required under Section 401(a)(9) of the Internal Revenue Code,
• A distribution to more than one retirement plan, or
• Any portion of a distribution that is not included in your gross income.

You may elect to split the distribution between a direct rollover to a qualified plan and lump-sum payment to you. The amount not rolled over will be subject to the 20% federal withholding tax. If you are under age 59½, you may also be subject to an additional 10% tax penalty.

If the amount of your benefit is $5,000 or less, and you do not elect to make a rollover, you will receive a lump-sum payment, subject to the 20% federal withholding tax. If you are under age 59½, you may also be subject to an additional 10% tax penalty.

If your benefit exceeds $5,000, the benefit will remain in the Plan until you make an election. Beginning in the year you reach age 70½, a certain portion of your payment cannot be rolled over because it is a “required minimum payment” that must be paid to you.

Plan Name: Sheet Metal Workers’ International Association Local Union No. 73 Annuity Plan

Employer Identification Number: 20-5002115

Plan Number: 003

Plan Year: June 1 ‒May 31

Plan Sponsor and Plan Administrator: 

Sheet Metal Workers’ International Association Local Union No. 73
Annuity Plan
4530 Roosevelt Road Hillside, IL 60162
(708) 449-7373
Fax: (708) 449-7333
www.sm73funds.org

Plan Type and Administration:

The Sheet Metal Workers’ International Association Local Union No. 73 is a profit sharing plan that provides payments in the form of an annuity. The Board of Trustees and the Plan Administrator administer the Plan. They are assisted by an administrative staff.

Source of Contributions: 

Benefits described in this SPD are provided through employer contributions. The provisions of the collective bargaining agreements determine the amount of employer contributions. All contributions and Annuity Plan assets are held in trust in individual accounts.

Trust Fund Name: 

Sheet Metal Workers’ International Association Local Union No. 73 Annuity Fund

The Fund Administrator is the Plan’s agent for service of legal process. Accordingly, if legal disputes involving the Plan arise, any legal documents should be served on:

Fund Administrator
Sheet Metal Workers’ Local 73 Annuity Fund
4530 Roosevelt Road Hillside, IL 60162, or

This Plan is maintained pursuant to Collective Bargaining Agreements between Sheet Metal Workers’ International Association Local Union No. 73 and Contributing Employers. The Plan Administrator will provide you, upon written request, information as to whether a particular employer is contributing to the Plan on behalf of employees working under the collective bargaining agreements and a copy of the relevant collective bargaining agreement.

Only the Board of Trustees has the discretion and authority to determine eligibility for benefits and the right to participate in the Annuity Plan and to exercise all the other powers specified in the Plan Document. No officer, agent or employee of the Union or employer or any other person, is authorized to speak for, or on behalf of, or to commit the Board of Trustees, on any matter relating to the Annuity Plan.

The Board of Trustees has the right to interpret the Plan and its provisions in its sole discretion. The Board’s interpretation shall be final and binding and may only be disturbed if it is found to be arbitrary, capricious, and an abuse of discretion. The Plan Administrator is responsible for answering all day-to-day questions concerning eligibility, benefits, applications, and appeal procedures. 

Your coverage by this Plan does not constitute a guarantee of your continued employment.

The Board of Trustees has the right to amend or terminate this Plan when required by law or when deemed appropriate. The Plan may be amended at any time if the Trustees agree to do so in writing, as long as the amendment does not affect the ability of the Plan to provide the annuity benefits you have accrued in your account. The Plan will be amended pursuant to the requirements of the Trust Agreement and ERISA. If the Plan is amended or terminated, you will be notified in writing.

In the event of a termination (or partial termination) of the Plan, or in the event contributions are discontinued, you will remain 100% vested in your account balance. Any assets remaining after paying out participants’ vested account balances and expenses of the Plan will be distributed among the participants. Each participant will receive a part of the assets as specified in the Plan Document. No assets will be returned to any employer for the benefit of any employer or the Union.

Once the Plan is terminated and all assets have been distributed, the Board of Trustees will be discharged from all liability under the Plan and participants and beneficiaries will have no further rights or claims.

You cannot assign or transfer benefits under the Sheet Metal Workers’ International Association Local Union No. 73 Annuity Plan to someone else, except as otherwise provided under federal law. Your Plan benefits are exempt from execution, attachment, garnishment, pledge or bankruptcy. However, the Board of Trustees will honor a Qualified Domestic Relations Order (QDRO).

Federal law requires that if the Annuity Plan becomes a “top-heavy” plan as described in the Internal Revenue Code, minimum contributions may apply. In the unlikely event that this Annuity Plan becomes top-heavy, you will be notified accordingly.

The Internal Revenue Code imposes maximum limitations on contributions permitted under all qualified plans. These limits are liberal and would not normally prevent you from receiving full benefits. In the unlikely event that the employer contributions made on your behalf are limited, the Fund Office will contact you with more information.

You have the right to:

• Examine, without charge, at the Plan Administrator’s office and at other specified locations, such as worksites and union halls, all documents governing the Plan, including insurance contracts, collective bargaining agreements and a copy of the latest annual report (Form 5500 Series) filed by the Plan with the U.S. Department of Labor and available at the Public Disclosure Room of the Employee Benefits Security Administration (EBSA);
• Obtain, upon written request to the Plan Administrator, copies of documents governing the operation of the Plan, including insurance contracts, collective bargaining agreements and copies of the latest annual report (Form 5500 Series) and updated Summary Plan Description (the Plan Administrator may make a reasonable charge for the copies);
• Receive a summary of the Plan’s annual financial report, which the Plan Administrator is required by law to furnish each participant with a copy; and
• Obtain a statement telling you whether you have a right to receive an annuity at normal retirement age (age 62), and, if so, what your benefits would be at normal retirement age if you stop working under the Plan now. If you do not have a right to a pension, the statement will tell you how many more years you have to work to get a right to a pension. This statement must be requested in writing and is not required to be given more than once every 12 months. The Plan must provide the statement free of charge.

In addition to creating rights for Plan participants, ERISA imposes duties upon the people who are responsible for the operation of the employee benefit plan. The people who operate your Plan, called “fiduciaries” of the Plan, have a duty to do so prudently and in the interest of you and other Plan participants and beneficiaries. No one, including your employer, your Union or any other person, may fire you or otherwise discriminate against you in any way to prevent you from obtaining a pension benefit or exercising your rights under ERISA.

If your application for an annuity benefit is denied or ignored, in whole or in part, you have a right to know why this was done, to obtain copies of documents relating to the decision without charge and to appeal any denial, all within certain time schedules.

Under ERISA, there are steps you can take to enforce the above rights. For instance, if you request a copy of the Plan Documents or the latest annual report from the Plan and do not receive them within 30 days, you may file suit in a federal court. In such a case, the court may require the Plan Administrator to provide the materials and pay you up to $110 a day until you receive the materials, unless the materials were not sent because of reasons beyond the control of the Plan Administrator.

If you have an application for benefits that is denied or ignored, in whole or in part, you may file suit in a state or federal court. In addition, if you disagree with the Plan’s decision or lack thereof concerning the qualified status of a domestic relations order, you may file suit in federal court. If it should happen that Plan fiduciaries misuse the Plan’s money, or if you are discriminated against for asserting your rights, you may seek assistance from the U.S. Department of Labor or you may file suit in a federal court. The court will decide who should pay court costs and legal fees. If you are successful, the court may order the person you have sued to pay these costs and fees. If you lose, the court may order you to pay these costs and fees, for example, if it finds your claim is frivolous.

If you have any questions about your Plan, you should contact the Plan Administrator. If you have any questions about this statement or about your rights under ERISA, or if you need assistance in obtaining documents from the Plan Administrator, you should contact the nearest office of the Employee Benefits Security Administration (EBSA), U.S. Department of Labor, listed in your telephone directory or:

Division of Technical Assistance and Inquiries
Employee Benefits Security Administration
U.S. Department of Labor
200 Constitution Avenue NW
Washington, D.C. 20210

For more information on your rights and responsibilities under ERISA or for a list of EBSA offices, contact the EBSA by:

• Calling (866) 444-3272 (866-444-EBSA), or
• Visiting the Web site of the EBSA at www.dol.gov/ebsa.

The first day of the first period for which an amount under the Plan is paid as an annuity or another form of payment.

A person designated to receive any amount payable under this Plan because of a participant’s death.

A written agreement entered into between the Union and the association, or any employers, where the employers are required to make contributions to the Trust Fund and which is written in conformance with language acceptable to the Trustees. This term also includes any amendments, supplements or modifications.

A Contributing Employer or employer means any employer who is bound by a collective bargaining agreement with the union and agrees to be bound by the Trust agreement, or any employer who is not party to the collective bargaining agreement, but who satisfies the requirements for participation as established by the Trustees.

The computation period is a Plan Year

Payment made from a Contributing Employer pursuant to this Plan and the Trust agreement, and collective bargaining agreement or other written agreement requiring payments to the Trust Fund. 

Each hour:

• You are paid or entitled to payment by an employer for performance of duties. These hours will be credited to you for the computation periods or periods in which the duties are performed; or
• Back pay, regardless of the reason, is either awarded or agreed to by an employer, to the extent that the award or agreement is intended to compensate you for periods you would have been engaged in the performance of duties for the employer. These hours will be credited for the computation periods in which the award, agreement, or payment is made.

Any legal reserve life insurance company that issues contracts under the Plan.

The date you reach age 62.

A six-consecutive-month period during which no contributions have been paid to the Annuity Fund on your behalf by a Contributing Employer, beginning on the date you terminate employment. Any Family Medical Leave Act (FMLA) leave granted by your employer will not be counted as a break in service.

Special rules apply for military service. If you serve in the military, you should check with the Fund Office to determine how this affects your benefits.

Sheet Metal Workers’ International Association Local Union No. 73 Annuity Plan.

June 1, 1992

Each 12-consecutive-month period beginning June 1 and ending May 31.

The legal entity created by execution of the Plan and the Trust agreement, to which employer contributions are made for the purpose of distributing the capital or principal amount of the Trust and income to participants and beneficiaries in accordance with the Plan.

Sheet Metal Workers’ International Association Local Union No. 73.

The date the investment administrator determines the value of an investment vehicle. Valuation dates will occur on dates determined by the investment administrator, but at least on the last business day of a calendar month. Valuation will occur at the end of each such day, according to the investment administrator’s then current procedures.