ANIXTER INC. EXCESS BENEFIT
PLAN
RESTATED EFFECTIVE JANUARY 1,
2009
1.
History and Purpose : Anixter Inc. (the
“Company”) established the Anixter Bros., Inc. Excess
Benefit Plan effective as of August 1, 1985. The Anixter
Bros., Inc. Excess Benefit Plan has been amended from time to time
to reflect Company directives and to comply with changes in
applicable law, including Section 409A of the Internal Revenue
Code of 1986, as amended (the “Code”). This
restatement, effective January 1, 2009, consolidates all prior
amendments, updates references, makes nonsubstantive changes and
renames the Anixter Bros., Inc. Excess Benefit Plan as the Anixter
Inc. Excess Benefit Plan (the “Excess Plan”). The
purpose of the Excess Plan is to provide the benefits which
designated participants in the Anixter Inc. Pension Plan (the
“Pension Plan”) would have received under the Pension
Plan except for the maximum benefit limitations prescribed by the
Pension Plan and the Code (the “Benefit
Limitations”).
2.
Eligibility and Participation : An employee shall be a
participant in and entitled to benefits under the Excess Plan (a
“Participant”) if:
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(a)
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He
is a participant in the Pension Plan, and
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(b)
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He
is designated as a Participant in this Excess Plan by the Board of
Directors of the Company (the “Board”).
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3. Amount
of Benefit : The amount of the benefit under the Excess Plan
shall be the amount by which (a) below exceeds
(b) below:
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(a)
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The
amount of the benefit which the Participant (or his surviving
spouse or other beneficiary (a “Beneficiary”)) would
have been entitled to receive under the Pension Plan without regard
to the Benefit Limitations set forth in the Pension Plan and
contained herein and without regard to the additional benefit
described in Supplement 3 to the Pension Plan, if any.
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(b)
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The
amount of the benefit which the Participant (or his Beneficiary) is
entitled to receive under the Pension Plan.
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4.
Benefit Payments : Any former Participant who terminated
employment with the Company on or before December 31, 2004,
was fully vested in the Excess Plan and received no further
accruals after that date shall have his benefits payable at the
same time and in the same manner and form as the benefits under the
Anixter Inc. Pension Plan. Benefit payments to all other
Participants shall be made as follows.
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(a)
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Normal Benefit Commencement
Date . Unless
a Participant has made a timely election under subsection
(b) below, the payment of benefits under the Excess Plan will
commence on the first day of the month coincident with or next
following the date when a Participant no longer performs services
for the Company due to: (i) Retirement; (ii) Disability; or
(iii) if the Participant has made an election to receive his
benefits in the form of a 50% Joint and Survivor Annuity under
subsection (c) below, death. Notwithstanding anything herein
to the contrary, in the event that a Participant incurs a
separation from service prior to obtaining age fifty-five (55),
payment of his benefit shall not commence until the later of the
first day of the month coincident with or next following the date
that such Participant attains age sixty-five (65), or such other
later date as provided herein.
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(b)
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Optional Benefit Commencement
Date . A
Participant may elect to delay the normal benefit commencement date
specified in subsection (a) above to commence on the first day
of any month after he no longer performs services for the Company
due to an event described in subsections (a)(i) through (a)(iii)
above in accordance with this subsection (b). If eligible to make
an election under this subsection (b), a Participant may elect to
delay commencement of benefits to any permissible date up to his
Normal Retirement Date, and such Participant’s monthly
benefit amount as of such commencement date shall be adjusted so as
to be Actuarially Equivalent to a Life Annuity (or Joint and
Survivor Annuity, if so
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elected)
commencing on his Normal Retirement Date. To be effective, any such
election of an optional benefit commencement date must meet all of
the following requirements: (i) the election must be made not
less than twelve (12) months prior to the date benefits would
have otherwise commenced; (ii) unless a payment relates to
Disability or death, the election must be made before the
Participant attains age sixty (60), and commencement of benefit
payments must be deferred for a period of no less than five
(5) years from the date the benefit payments would otherwise
have commenced; and (iii) the election shall not take effect
until at least twelve (12) months after the date on which such
election is made.
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(c)
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Form of Payment
. The normal form of
payment of benefits under the Excess Plan will be a Life Annuity.
Notwithstanding the foregoing, a Participant may choose to receive
his benefits under the Excess Plan in the form of a 50% Joint and
Survivor Annuity for the life of the Participant and any
Beneficiary, rather than in the form of a Life Annuity. If the
Participant designates a Beneficiary which is not an individual,
the Beneficiary shall be deemed to have the same life expectancy as
the Participant. In such event, the monthly Joint and Survivor
Annuity benefits shall be adjusted so as to be Actuarially
Equivalent to the Participant’s monthly Life Annuity benefit,
and the amount of the survivor annuity shall be fifty percent (50%)
of the Participant’s monthly Joint and Survivor Annuity
benefit payable to the Participant.
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(d)
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Cash Out of Small Amounts
. Notwithstanding the
request of a Participant or Beneficiary, if the present value of a
Participant’s benefit as of his commencement date is
calculated to be less than the applicable dollar amount for
elective deferrals under Code Section 402(g)(1)(B) then in
effect (as adjusted for cost-of-living increases under Code
Section 402(g)(4)), the Company shall distribute the
Participant’s benefit in a lump sum to the Participant or
Beneficiary as soon as practicable on or after such
Participant’s commencement date.
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(e)
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Delay in Commencement for Specified
Employees. Notwithstanding anything in this
Section 4 to the contrary, if a Participant is a
“specified employee” within the meaning of
Section 409A(a)(2)(B)(i) of the Code as of the date he no
longer performs services for the Company due to an event specified
in subsections (a)(i) through (a)(iii)
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