Back to top

pension benefits

Employee Benefits Plan Agreement

pension benefits | Document Parties: Hexcel Composites Ltd | HEXCEL CORP  | . J.S. Fraser You are currently viewing:
This Employee Benefits Plan Agreement involves

Hexcel Composites Ltd | HEXCEL CORP | . J.S. Fraser

. RealDealDocs™ contains millions of easily searchable legal documents and clauses from top law firms. Search for free - click here.
Title: pension benefits
Date: 5/10/2005
Industry: Electronic Instr. and Controls     Sector: Technology

50 of the Top 250 law firms use our Products every day

Exhibit 10.3

 

January 21, 1999

 

Personal

 

Mr. W. Hunt

Hexcel Composites Ltd

Duxford

Cambridge

CB2  4QD

 

Dear Bill:

 

Your pension benefits

 

The pension provision made for you by Ciba was set out in a letter dated 19 August 1992 from Mr. J.S. Fraser.  The purpose of this letter is to confirm that Hexcel Composites Limited (the “Company”) is pleased to maintain your existing pension promise as set out in Mr. Fraser’s letter.  This letter also clarifies your pension promise and your life assurance and ill-health retirement benefits.

 

Retirement at Normal Retirement Date

 

Your Normal Retirement Date is your 65 th birthday.  On retirement at this date you will receive an annual pension of two-thirds of your Pensionable Salary over the year prior to retirement.  Pensionable Salary is your basic salary plus any further earnings which are pensionable under the terms of the Hexcel Composites Limited Pension Scheme (the “HCL Scheme”).  For the avoidance of doubt your Pensionable Salary will not be restricted by the earnings cap imposed by the Finance Act 1989.

 

Early Retirement from age 60

 

At your option, you may retire from the Company’s service on or after your 60 th birthday.  In such circumstances you will receive an annual pension of two-thirds of your Pensionable Salary over the year prior to retirement.

 

Leaving service benefits

 

On leaving service you will be entitled to an annual pension deferred to your Normal Retirement Date.  The annual deferred pension will be 1/720 th of your Pensionable Salary over the year prior to leaving service multiplied by the number of months from the date

 

1



 

you first joined a Ciba-Geigy pension scheme to the date of leaving service (up to a maximum of 480 months).

 

This deferred pension is to be increased over the period between the date of leaving and your Normal Retirement Date by the lesser of the increase in the Retail Prices Index and 5% per year compound over this period.

 

If you choose to receive your deferred pension before your Normal Retirement Date then a reduction will be applied for early payment on the same basis as applies to deferred pensions in the HCL Scheme at the time of your retirement.

 

Death after retirement (or after leaving service but before Normal Retirement Date)

 

On death after retirement (or after leaving service but before Normal Retirement Date) your widow will receive an annual pension of 60% of your own pension.

 

Death in service

 

A lump sum of three times your Pensionable Salary will be paid.

 

An annual pension will be paid to your widow of 40% of the Pensionable Salary earned over the year prior to your death.

 

Retirement on ill-health grounds

 

If, having obtained medical evidence, the Company decides that you are unable to carry out your normal duties as a result of ill-health or disability then you will be granted an annual pension of two-thirds of your Pensionable Salary earned over the year prior to retirement.  On death after ill-health retirement an annual pension of 60% of your own annual pension will be payable to your widow.

 

Lump sum option

 

On retirement you may take part of your benefits in lump sum form by giving up part of your pension entitlement.  Under current


SITE SEARCH

AGREEMENTS / CONTRACTS

Document Title:

Entire Document: (optional)

Governing Law:(optional)
 

CLAUSES

Search Contract Clauses >>

Browse Contract Clause Library>>

Close this window