NONQUALIFIED DEFERRED COMPENSATION
PLAN
As Amended and Restated Effective
January 1, 2009
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Article I Statement of Purpose
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2
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2
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Article III Participation and
Vesting
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4
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5
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Article V Form and Timing of Benefit
Distribution
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6
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Article VI Funding of Benefits
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6
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Article VII The Committees
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7
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Article VIII Amendment and
Termination
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9
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Article IX Claims Procedures
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9
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Article X Miscellaneous
Provisions
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10
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Sec. 1.01 Purpose . In recognition of the
services provided to AmeriGas Propane, Inc. (“AGP”) by
certain senior management and highly compensated employees, AGP
maintains the AmeriGas Propane, Inc. Non-Qualified Deferred
Compensation Plan (the “Plan”) to provide such
employees with the opportunity to supplement their retirement
benefits through the deferral of additional compensation. The Plan
was originally effective February 1, 2007. The Plan is now
amended and restated effective January 1, 2009, in order to
comply with Section 409A of the Internal Revenue Code of 1986,
as amended, and certain other changes.
Sec. 2.01 “Account” shall mean for
each Participant, the account or accounts maintained on the books
of AGP representing the entire interest of the Participant under
the Plan, consisting of amounts attributable to Compensation
deferred by the Participant pursuant to Section 4.01 and all
earnings and gains attributable thereto and reduced by all losses
attributable thereto, all expenses chargeable thereagainst and all
distributions therefrom.
Sec. 2.02 “Administrative Committee”
shall mean the administrative committee designated pursuant to
Article VII of the Plan to administer the Plan in accordance
with its terms.
Sec. 2.03 “Affiliate” shall have the
meaning ascribed to such term in Rule 12b-2 of the General
Rules and Regulations under the Securities Exchange Act of 1934, as
amended.
Sec. 2.04
“AGP” shall mean AmeriGas Propane, Inc. or any
successor thereto.
Sec. 2.05
“AGP 401(k) Plan” shall mean the AmeriGas Propane, Inc.
401(k) Savings Plan.
Sec. 2.06 “AGP SERP” shall mean the
AmeriGas Propane, Inc. Supplemental Executive Retirement
Plan.
Sec. 2.07 “Beneficiary” shall mean
the person or entity designated by a Participant, in a written
instrument submitted to the Administrative Committee. In the event
the Participant fails to properly designate a Beneficiary or in the
event that the Participant is predeceased by all designated primary
and secondary Beneficiaries, the death benefit shall be payable to
the personal representative of the Participant’s
estate.
Sec. 2.08 “Board” shall mean the
Board of Directors of AGP.
Sec. 2.09 “Code” shall mean the
Internal Revenue Code of 1986, as amended.
2
Sec. 2.10 “Compensation/Pension
Committee” shall mean the Compensation/Pension Committee of
the Board or such other committee designated by the Board to
perform certain functions with respect to the Plan.
Sec. 2.11 “Compensation” shall mean,
for any Plan Year, the total remuneration paid by the Employer to
or on behalf of the Participant during the Plan Year, exclusive of
compensation paid or accrued with respect to service performed
prior to the date on which the Employee became a Participant.
Compensation shall include basic salary or wages, annual incentive
bonuses, commissions and all other direct current money
compensation (other than long-term incentive plan payments and
severance pay), amounts paid in reimbursement of, or in lieu of,
expenses incurred by the Participant in the performance of his
duties, and the value of non-money awards or gifts made by the
Employer; provided, however, that Compensation shall be determined
prior to giving effect to any salary reduction election made
pursuant to the terms of any plan. Notwithstanding the foregoing,
Compensation shall not include amounts credited on a
Participant’s behalf to the AGP SERP or any other
nonqualified deferred compensation plan maintained by AGP or its
affiliates other than this Plan.
Sec. 2.12
“Effective Date” shall mean January 1,
2009.
Sec. 2.13 “Eligible Employee” shall
mean an Employee of AGP or a Subsidiary who is a member of a select
group of management or highly compensated employees and who is
designated by the Administrative Committee as eligible to
participate in the Plan for a Plan Year.
Sec. 2.14 “Employee” shall mean any
person in the employ of AGP or a Subsidiary other than a person
(i) whose terms and conditions of employment are determined
through collective bargaining with a third party or (ii) who
is characterized as an independent contractor by AGP or a
Subsidiary, no matter how characterized by a court or government
agency. No retroactive characterization of an individual’s
status for any other purpose shall make an individual an
“Employee” for purposes hereof unless specifically
determined otherwise by AGP for the purposes of this
Plan.
Sec. 2.15
“ERISA” shall mean the Employee Retirement Income
Security Act of 1974, as amended.
Sec. 2.16 “Key Employee” shall mean
an Employee who, at any time during the 12-month period ending on
the identification date, is a “specified employee”
under section 409A of the Code, as determined by the UGI
Compensation and Management Development Committee or its delegate.
The determination of Key Employees, including the number and
identity of persons considered specified employees and the
identification date, shall be made by the UGI Compensation and
Management Development Committee or its delegate in accordance with
the provisions of sections 416(i) and 409A of the Code and the
regulations issued thereunder.
Sec. 2.17 “Participant” shall mean
each Eligible Employee who meets the requirements of
Section 3.01 hereof.
Sec. 2.18 “Plan Year” shall mean the
calendar year.
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Sec. 2.19 “Plan” shall mean the
AmeriGas Propane, Inc. Non-Qualified Deferred Compensation Plan as
set forth herein, and as the same may hereafter be
amended.
Sec. 2.20 “Postponement Period”
shall mean, for a Key Employee, the period of six months after the
Key Employee’s separation from service (or such other period
as may be required by section 409A of the Code), during which Plan
benefits may not be paid to the Key Employee under section 409A of
the Code.
Sec. 2.21 “Subsidiary” shall mean
any corporation in which AGP, directly or indirectly, owns at least
a fifty percent (50%) interest or an unincorporated entity of which
AGP, directly or indirectly, owns at least fifty percent (50%) of
the profits or capital interests.
Sec. 2.22 “Valuation Date” shall
mean the last day of the Plan Year and each other interim date
during the Plan Year or dates determined by the Administrative
Committee.
PARTICIPATION AND VESTING
Sec. 3.01 Participation . Each Eligible
Employee shall become a Participant in the Plan upon completion of
a deferral election in the time, form and manner determined by the
Administrative Committee; provided that such deferral election must
be made not later than December 31 of the Plan Year preceding the
Plan Year for which the election is to be effective. A Participant
may elect to defer from one percent (1%) to twenty-five percent
(25%), in whole percentages, of his Compensation through payroll
reductions. The maximum annual amount of Compensation that a
Participant may defer under the Plan is $10,000.
Sec. 3.02 Vesting . A Participant, at all
times, shall have a fully (100%) vested and nonforfeitable interest
in his Account under the Plan.
Sec. 3.03 Rehired Employees . An Eligible
Employee who incurs a separation from service (within the meaning
of section 409A of the Code) with AGP and its affiliates and is
rehired and designated as an Eligible Employee in the same Plan
Year may not commence deferrals under the Plan until the next Plan
Year and he must make an election to reduce his Compensation prior
to the start of the Plan Year for which the election is to be
effective, in a manner prescribed by the Administrative
Committee.
Sec. 3.04 Newly Hired Employees . A newly
hired Employee, who has been designated as an Eligible Employee by
the Administrative Committee, may make an election to reduce
Compensation, as soon as practicable, but, in any event, the
election must be made within thirty (30) days of the date he
is designated as eligible to participate in the Plan by the
Administrative Committee. Any election made according to this
Section 3.04 will become effective the first day of the month
following thirty (30) days after the date the Employee is
designated as an Eligible Employee by the Administrative Committee,
with respect to Compensation earned after the effective date of the
newly hired Employee’s deferral election.
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Sec. 4.01 Amount . For each payroll
period during the Plan Year, AGP shall credit to a
Participant’s Account the amount of the Participant’s
Compensation that the Participant has elected to defer pursuant to
Section 3.01.
Sec. 4.02 Hardship Withdrawals .
Notwithstanding the foregoing, a Participant who takes a hardship
withdrawal from the AGP 401(k) Plan shall have his Compensation
reductions and corresponding credit to his Account cancelled for
the Plan Year in which the hardship withdrawal occurs. A
Participant whose Compensation reductions have been cancelled due
to a hardship withdrawal from the AGP 401(k) Plan may recommence
participation in the Plan (assuming such Participant continues to
be eligible to participate) in a subsequent Plan Year by making an
Compensation reduction election, in accordance with
Section 3.01 for which the election is to be effective, prior
to the beginning of the Plan Year, in accordance with
Section 3.01 for which the election is to be
effective.
Sec. 4.03
Investment of Account .
(a) For purposes of measuring the
investment returns of his Account, a Participant may select, from
the investment funds designated by the Administrative Committee,
the investment funds in which all or part of his Account shall be
deemed to be invested.
(b) A Participant shall make an investment
designation by means of Fidelity’s netBenefits WebPage which
shall remain effective until another valid direction has been made
by the Participant. The Participant may amend his investment
designation at such time or times as permitted by the
Administrative Committee in its sole discretion, and in accordance
with such procedures as may be established by the Administrative
Committee.
(c) The investment funds deemed to be made
available to the Participant, and any limitation on the maximum or
minimum percentages of the Participant’s Account that may be
deemed to be invested in any particular fund, shall be the same as
from time-to-time communicated to the Participant by the
Administrative Committee.
(d) In the absence of any Participant
election designating the deemed investment of his Account, a
Participant shall be deemed to have elected that his Account be
invested in the manner selected by the Administrative Committee for
such circumstance.
(e) The Administrative Committee shall
provide a statement at least annually to the Participant showing
such information as is appropriate, including the aggregate amount
in his Account as of a reasonably current date.
Sec. 4.04
Valuation of Account .
(a) AGP shall establish a bookkeeping
Account for each Participant to which will be credited amounts
described in Section 3.01 at such times and in accordance with
such procedures as may be prescribed by the Administrative
Committee. The Account shall be reduced to reflect any
distributions from such Account. Such reductions shall be charged
to the Account as of the date such distributions are
made.
(b) As of each Valuation Date, income, gain
and loss equivalents (determined as if the Account was invested in
the manner set forth under Section 4.03, hereof) attributable
to the peri
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