COLUMBUS MCKINNON CORPORATION THRIFT 401(K) PLAN
AMENDMENT NO. 2 OF THE 1998 PLAN RESTATEMENT
Columbus McKinnon Corporation (the "Corporation") hereby amends the
Columbus McKinnon Corporation Thrift 401(K) Plan (the "Plan"), as amended and
restated in its entirety effective April 1, 1998, and as further amended by
Amendment No. 1, as permitted under Section 14.1 of the Plan, as follows:
1. Section 1.14, entitled "Eligible Employee", is amended effective
January 1, 1999 by changing subsection (a) to read as follows:
" (a) IN GENERAL. "Eligible Employee" means any Employee
who is employed by an Employer and who is regularly employed at a
facility located within the United States of America.
(1) EMPLOYEES TEMPORARILY TRANSFERRED ABROAD. An
Eligible Employee who is transferred to a facility outside the
United States on a temporary basis (for less than five years)
shall continue to be an Eligible Employee during such period,
provided that the Employee remains on the payroll of an
Employer."
2. New Section 1.19A, entitled "Hour of Service", is added to the Plan
effective January 1, 1998 to read as follows:
1.19A "HOUR OF SERVICE" means:
(a) PERIOD WHEN DUTIES ARE PERFORMED. Each hour for which
an Employee is paid, or entitled to payment, for the performance of
duties for the Employer or an Affiliate during the applicable
computation period;
(b) PERIOD WHEN NO DUTIES ARE PERFORMED. Each hour for which
an Employee is paid or entitled to payment, by the Employer or an
Affiliate on account of a period of time during which no duties are
performed (irrespective of whether the employment relationship has
terminated) due to vacation, holiday, illness, incapacity (including
disability) lay-off, jury duty, military duty or leave of absence. For
purposes of this Section 1.19A, a payment shall be deemed made or due
from the Employer or an Affiliate regardless of whether such payment is
made by or due from the Employer or Affiliate directly, or indirectly
through, among others, a trust, fund or insurer, to which the Employer
or Affiliate contributes or pays premiums and regardless of whether
contributions made or due to the trust fund, insurer or other entity
are for the benefit of particular Employees or are on behalf of a group
of Employees in the aggregate. Notwithstanding the foregoing:
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Columbus McKinnon Corporation Thrift 401(k) Plan
Page 2 of Amendment No. 2 of 1998 Plan Restatement
(1) No more than 501 Hours of Service shall be
credited to an Employee on account of any single continuous
period during which the Employee performs no duties (whether
or not such period occurs in a single year);
(2) An hour for which an Employee is directly or
indirectly paid, or entitled to payment, on account of a
period during which no duties are performed shall not be
credited to the Employee if such payment is made or due under
a plan maintained solely for the purpose of complying with
applicable workmen's compensation, or unemployment
compensation or disability insurance laws; and
(3) Hours of Service shall not be credited for a
payment which solely reimburses an Employee for medical or
medically related expenses incurred by the Employee.
(4) No Hours of Service shall be awarded for any
period with respect to which severance benefits are paid.
(c) PERIOD FOR WHICH BACK PAY IS AWARDED. Each hour for which
back pay, irrespective of mitigation of damages, is either awarded or
agreed to by the Employer or an Affiliate. The same Hours of Service
shall not be credited under Section 1.19A(a) or Section 1.19A(b) as the
case may be and this Section 1.19A(c). Crediting of Hours of Service
for back pay awarded or agreed to with respect to periods described in
Section 1.19A(b) shall be subject to the limitations set forth in that
section.
(d) EQUIVALENCY FOR REGULAR FULL-TIME EMPLOYEE. An Employee
who is not a regular full-time Employee as defined in the next sentence
shall be credited with his actual Hours of Service, determined in
accordance with the foregoing subsections of this Section 1.19A.
Notwithstanding his actual Hours of Service, a regular full-time
employee (an employee whose employment is on a permanent rather than
temporary basis and who is expected to work a full regular work week of
40 hours and to have at least 2000 actual Hours of Service in a Plan
Year) shall be credited with 45 Hours of Service for each week in which
he has at least one actual Hour of Service. During the period of an
Authorized Absence for which he is not directly or indirectly paid or
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Columbus McKinnon Corporation Thrift 401(k) Plan
Page 3 of Amendment No. 2 of 1998 Plan Restatement
entitled to payment, a regular full-time employee shall be credited
with eight Hours of Service per day but not more than 40 Hours of
Service per week, for each day that he would have been scheduled to
perform duties had he not been on Authorized Absence, provided that no
Hours of Service will be credited under this sentence for a 12-month
computation period in which the Employee has already been credited with
more than 500 Hours of Service, nor shall more than 501 Hours of
Service be credited under this sentence for any 12-month computation
period.
(e) APPLICATION OF LAW AND REGULATIONS. Hours of Service shall
be credited in accordance with applicable law and regulations,
including Department of Labor Regulations ss.2530.200b-2(b) and
ss.2530.200b-2(c) which are incorporated herein by this reference, and
such law and regulations shall govern over any inconsistent provision
in the Plan.
3. Section 3.2, entitled "Matching Contributions", is amended effective
January 1, 1998 by amending subsection (a) to read as follows:
" (a) CONTRIBUTION REQUIRED. The Employer of each Employee on
whose behalf a Salary Reduction Contribution was made during the Plan
Year shall contribute to the Plan on behalf of such Employee a Matching
Contribution in an amount determined under Section 3.2(b) provided that
such Employee [1] is an Employee on the last day of a Plan Year, or [2]
retired during the Plan Year after having attained age 65, or after
having attained age 55 and having completed 5 Years of Vesting
Service."
4. Schedule A is amended effective September 1, 1999 to read as follows:
"SCHEDULE A
PARTICIPATING EMPLOYERS AND ELIGIBLE EMPLOYEES
Reflecting Amendment of the Plan through June 1, 2000
1. COLUMBUS MCKINNON CORPORATION (APRIL 1, 1987)
Columbus McKinnon Corporation established the Plan as a profit sharing
plan covering certain salaried employees effective April 1, 1987. The
Plan was restated as an ESOP effective November 1, 1988. The Plan was
restated effective April 1, 1989 and at that time covered nonunion
salaried employees, office employees and nonunion factory employees at
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Columbus McKinnon Corporation Thrift 401(k) Plan
Page 4 of Amendment No. 2 of 1998 Plan Restatement
Columbus McKinnon Corporation's Tonawanda facility. The Plan was
amended effective October 1, 1994 to extend coverage to all other
nonunion hourly employees of Columbus McKinnon Corporation. The Plan
was amended effective February 24, 1995 to exclude salaried employees
of the Positech and Durbin Durco Divisions of Columbus McKinnon
Corporation. The Plan was amended effective April 1, 1998 to extend
coverage to all nonunion employees of Columbus McKinnon Corporation who
satisfy the definition of "Eligible Employee".
Employees of Columbus McKinnon Corporation who may be Eligible
Employees include all nonunion Employees.
2. LIFT-TECH INTERNATIONAL, INC. (APRIL 1, 1996)
Columbus McKinnon Corporation acquired Lift-tech International, Inc.
(Lift- Tech) on November 1, 1995 and merged Lift-Tech into Columbus
McKinnon Corporation on March 1, 1997. Nonunion employees of Lift-Tech
who meet the age and service requirements under the Plan and satisfy
the definition of "Eligible Employee" are eligible to enter the Plan on
or after April 1, 1996 in accordance with Section 2.1 of the Plan. Such
Employees are granted Eligibility Service and Vesting Service under the
Plan for service with Lift-Tech International, Inc. and its affiliates
prior to November 1, 1995.
3. YALE INDUSTRIAL PRODUCTS, INC. (APRIL 1, 1998)
Columbus McKinnon Corporation acquired Spreckels Industries, Inc. and
its subsidiaries on January 3, 1997. Effective March 31, 1997,
Spreckels was merged into its subsidiary, Duff-Norton Company, Inc.,
and the subsidiary was renamed "Yale Industrial Products, Inc.".
Nonunion employees of Yale Industrial Products, Inc. who meet the age
and service requirements under the Plan and satisfy the definition of
"Eligible Employee" are eligible to enter the Plan on or after April 1,
1998 in accordance with Section 2.1 of the Plan.
Employees of Yale Industrial Products, Inc. who may be Eligible
Employees include all nonunion Employees. Such Employees are granted
Years of Vesting Service under the Plan for service with Duff-Norton
Company, Inc. and its affiliates prior to January 3, 1997.
4. ABELL-HOWE CRANE, INC. (SEPTEMBER 1, 1998)
Columbus McKinnon Corporation acquired the assets of Abell-Howe Company
on August 21, 1998 by means of a wholly-owned subsidiary subsequently
renamed "Abell-Howe Crane, Inc." Nonunion employees of Abell-Howe
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Columbus McKinnon Corporation Thrift 401(k) Plan
Page 5 of Amendment No. 2 of 1998 Plan Restatement
Crane, Inc. who meet the age and service requirements under the Plan
and satisfy the definition of "Eligible Employee" are eligible to enter
the Plan on or after September 1, 1998 in accordance with Schedule C of
the Plan.
Employees of Abell-Howe Crane, Inc. who may be Eligible Employees
include all nonunion Employees. Such Employees are granted Years of
Vesting Service under the Plan for service with Abell-Howe Company and
its affiliates prior to September 1, 1998.
5. AUTOMATIC SYSTEMS, INC. (JUNE 1, 2000)
Columbus McKinnon Corporation acquired LICO, Inc. and its subsidiaries,
including Automatic Systems, Inc., on March 31, 1998. Persons employed
as nonunion Employees by Automatic Systems, Inc. on December 31, 1998
became eligible to become active participants in the Columbus McKinnon
Corporation Retirement and Savings Plan- Nonunion Portion (the
"Retirement and Savings Plan") on or after January 1, 1999. The
Retirement and Savings Plan will be merged into the Plan effective June
1, 2000. Accordingly, Automatic Systems, Inc. will become an Employer
under the Plan on June 1, 2000.
Employees of Automatic Systems, Inc. who may be Eligible Employees
include all nonunion Employees. Such Employees are granted Years of
Vesting Service under the Plan for service with Automatic Systems, Inc.
and its affiliates prior to March 31, 1998.
6. WASHINGTON EQUIPMENT COMPANY (JANUARY 1, 2000)
Columbus McKinnon Corporation acquired Washington Equipment Company on
April 29, 1999. Persons employed as nonunion Employees by Washington
Equipment Company on October 1, 1999, became eligible to become active
participants in the Columbus McKinnon Corporation Retirement and
Savings Plan- Nonunion Portion (the "Retirement and savings Plan") on
or after October 1, 1999. The Retirement and Savings Plan will be
merged into the Plan effective June 1, 2000. Accordingly, Washington
Equipment Company will become an Employer under the Plan on June 1,
2000.
Employees of Washington Equipment Company who may be Eligible Employees
include nonunion Employees. Such Employees are granted Years of Vesting
Service under the Plan for service with Washington Equipment Company
and its affiliates prior to April 29, 1999.
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Columbus McKinnon Corporation Thrift 401(k) Plan
Page 6 of Amendment No. 2 of 1998 Plan Restatement
7. GAFFEY, INC. (JANUARY 1, 2000)
Gaffey, Inc. was a wholly-owned subsidiary of GL International Inc. GL
International Inc. was merged into Columbus McKinnon Corporation on
March 1, 1999 with the result that Gaffey, Inc. became a subsidiary of
Columbus McKinnon Corporation on that date. Persons employed as
nonunion Employees by Gaffey, Inc. on January 1, 2000 became eligible
to become active participants in the Columbus McKinnon Corporation
Retirement and Savings Plan- Nonunion Portion (the "Retirement and
savings Plan") on or after January 1, 2000. The Retirement and Savings
Plan will be merged into the Plan effective June 1, 2000. Accordingly,
Gaffey, Inc. will become an Employer under the Plan on June 1, 2000.
Employees of Gaffey, Inc. who may be Eligible Employees include all
nonunion Employees. Such Employees are granted Years of Vesting Service
under the Plan for service with Gaffey, Inc. and its affiliates prior
to March 1, 1999.
8. HANDLING SYSTEMS AND CONVEYORS, INC. (JANUARY 1, 2000)
Handling Systems and Conveyors, Inc. (HSC) was a wholly-owned
subsidiary of GL International Inc. GL International Inc. was merged
into Columbus McKinnon Corporation on March 1, 1999 with the result
that HSC became a subsidiary of Columbus McKinnon Corporation on that
date. Persons employed as nonunion Employees by HSC on January 1, 2000
became eligible to become active participants in the Columbus McKinnon
Corporation Retirement and Savings Plan- Nonunion Portion (the
"Retirement and savings Plan") on or after January 1, 2000. The
Retirement and Savings Plan will be merged into the Plan effective June
1, 2000. Accordingly, HSC will become an Employer under the Plan on
June 1, 2000.
Employees of HSC who may be Eligible Employees- All nonunion employees.
Such employees are granted Years of Vesting Service under the Plan for
service with HSC and its affiliates prior to March 1, 1999."
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Columbus McKinnon Corporation Thrift 401(k) Plan
Page 7 of Amendment No. 2 of 1998 Plan Restatement
5. Schedule B added to the Plan by Amendment No. 1 is retitled "Schedule
C", and a new Schedule B, entitled "Annuity Rules", is attached to and
made a part of the Plan effective June 1, 2000, and shall read as
follows:
"SCHEDULE B
ANNUITY RULES
SB.1 DEFINITIONS AND REFERENCES. References to Sections that begin with "SB"
are to Sections of this Schedule B; otherwise references to Sections or Articles
are to the Plan document exclusive of this Schedule. Capitalized terms used in
this Schedule B shall have the meaning provided in the Plan document unless a
different meaning is expressly given in this Schedule B. For purposes of this
Schedule B, the following terms shall have following meanings:
(a) "ANNUITY STARTING DATE" means the first day of the first
period for which an amount is payable as an annuity or, in the case of a an
amount not payable as an annuity, the day on which the amount is paid.
(b) "NUMBERED SCHEDULE" means any one of the numbered Schedules
attached to the Plan and made a part thereof, such as Schedule 1, which concern
the merger of other qualified plans into the Plan.
(c) "QUALIFIED JOINT AND SURVIVOR ANNUITY" means an annuity that
provides equal monthly payments during the life of the Participant and, if the
Participant is survived by his spouse, provides equal monthly payments during
the life of the spouse (after the death of the Participant) which is equal to
50% of the monthly payment provided during the life of the Participant.
(d) "QUALIFIED PRERETIREMENT SURVIVOR ANNUITY" means an annuity
that provides equal monthly payments during the life of the Participant's
surviving spouse and no payment after the death of the spouse.
(e) "STRAIGHT LIFE ANNUITY" means an annuity that provides equal
monthly payments during the life of the Participant and no payment after the
death of the Participant.
(f) "TRANSFERRED PLAN ACCOUNT" means that portion of a
Participant's Account balance, if any, attributable to an amount transferred
into the Plan from another qualified plan on behalf of the Participant in
accordance with the provisions of one of the Numbered Schedules.
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Columbus McKinnon Corporation Thrift 401(k) Plan
Page 8 of Amendment No. 2 of 1998 Plan Restatement
SB.2 APPLICATION OF ANNUITY RULES. This Schedule B may apply to any
Participant who has a Transferred Plan Account that is subject to the annuity
rules of Code Section 401(a)(11) and 417. The actual application of this
Schedule B to a specific distribution to or for a specific Participant shall be
governed by the provisions of the Numbered Schedule that governs the
Participant's Transferred Plan Account.
SB.3 DISTRIBUTIONS FROM TRANSFERRED PLAN ACCOUNTS.
(a) IN GENERAL. Notwithstanding any contrary provision in the
Plan, any distribution from a Participant's Transferred Plan Account that is
subject to this Schedule B shall be paid in the applicable normal form of
distribution described in Section SB.3(b) unless the Participant makes an
election of an optional form of distribution described in the applicable
Numbered Schedule and such election is in effect on the Annuity Starting Date.
An election of an optional form of distribution must comply with the election
procedures set forth in Section SB.3(c) and shall be subject to the spousal
consent requirement set forth in Section SB.3(d).
(b) NORMAL FORM OF DISTRIBUTION. The following are the normal
forms of distribution:
(1) MARRIED PARTICIPANTS. If the Participant is married on the
Annuity Starting Date, his normal form of distribution shall be a
Qualified Joint and Survivor Annuity purchased from an insurance
company licensed to do business in New York for an amount equal to the
portion of the Participant's Transferred Plan Account that is to be
distributed.
(2) UNMARRIED PARTICIPANTS. If the Participant is not married
on the Annuity Starting Date, his normal form of distribution shall be
a Straight Life Annuity purchased from an insurance company licensed to
do business in New York for an amount equal to the portion of the
Participant's Transferred Plan Account that is to be distributed.
(c) ELECTION PROCEDURES. An election of an optional form of
distribution shall comply with the following election procedures:
(1) NOTICE OF RIGHT TO MAKE ELECTION. The Thrift Plan
Committee shall give a Participant notice of his right to waive the
normal form of distribution and elect an optional form of distribution
at least 30 but not more than 90 days before the Annuity Starting Date.
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Columbus McKinnon Corporation Thrift 401(k) Plan
Page 9 of Amendment No. 2 of 1998 Plan Restatement
(2) CONTENTS OF NOTICE. The notice referred to in Section
SB.3(c)(1) shall be in writing and shall:
(A) explain the terms and conditions of the normal
form of distribution and each optional form of distribution;
(B) include an estimate of the relative value of the
normal form and each optional form;
(C) describe the Participant's right to make, and
the effect of, an election under this Section SB.3(c);
(D) describe the requirement that the Participant's
spouse consent to the election in accordance with Section
SB.3(d); and
(E) describe the Participant's right to make, and
the effect of, a revocation of his election.
(3) MANNER OF ELECTION. An election under this Section
SB.3(c) shall be made on a form prescribed for that purpose by the
Thrift Plan Committee, executed by the Participant, and submitted to
the Thrift Plan Committee during the 90 day period ending on the
Annuity Starting Date, but not submitted before the Participant has
been given the notice described in Section SB.3(c)(1). The election
shall specify the optional form of distribution and the Beneficiary, if
any, designated by the Participant and such other information as the
Thrift Plan Committee may require.
(4) REVOCATION OF AN ELECTION. An election may be
revoked in writing, executed by the Participant, and submitted to the
Thrift Plan Committee on or before the Annuity Starting Date. A
revocation shall have the effect of reinstating the normal form of
distribution. However, the Participant may make a new election in
accordance with this Section SB.3(c).
(d) SPOUSAL CONSENT REQUIREMENT. An election of an optional form
of distribution under Section SB.3(c) shall not be valid in the case of a
Participant who is married on his Annuity Starting Date unless his spouse
consents to the election in accordance with the procedures set forth in this
Section SB.3(d).
(1) FORM OF CONSENT. A spouse's consent shall: [1] be
made in writing on a form prescribed by the Thrift Plan Committee, [2]
specify the optional form of distribution, [3] specify the Beneficiary,
if any, designated by the Participant, [4] acknowledge the effect of
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Columbus McKinnon Corporation Thrift 401(k) Plan
Page 10 of Amendment No. 2 of 1998 Plan Restatement
the election, and [5] be witnessed by a Plan representative or notary
public.
(2) EFFECT OF CONSENT. A spouse's consent shall be
irrevocable but shall apply only with respect to the spouse who gave
the consent and shall apply only with respect to the specific optional
form of distribution and the specific Beneficiary described in the
consent.
(3) WHEN SPOUSAL CONSENT IS UNNECESSARY. No consent shall
be required under this Section SB.3(d) if it is established to the
satisfaction of the Thrift Plan Committee that there is no spouse or
that the spouse cannot be located, or because of such other
circumstances as may be prescribed in Treasury Regulations. No consent
shall be required in order for the Participant to revoke an election.
SB.4 QUALIFIED PRERETIREMENT SURVIVOR ANNUITY.
(a) SPOUSE'S RIGHT TO SURVIVOR ANNUITY. Notwithstanding any
contrary provision in the Plan, if a married Participant dies before his Annuity
Starting Date and his Transferred Plan Account is subject to the Qualified
Preretirement Survivor Annuity provisions of this Section SB.4, his spouse shall
receive a Qualified Preretirement Survivor Annuity purchased from an insurance
company licensed to do business in New York for an amount equal to his
Transferred Plan Account balance, and the Participant's Account balance
distributable to other Beneficiaries shall be correspondingly reduced, unless
the Participant has waived such an annuity in accordance with Section SB.4(c)
and his spouse has consented to the waiver in accordance with Section SB.4(d).
(b) MEANING OF "SPOUSE." For purposes of this Section SB.4, an
individual shall not be treated as the Participant's spouse unless such
individual has been married to the Participant for at least one year on the date
of the Participant's death.
(c) WAIVER OF ANNUITY. A Participant may waive payment of his
Transferred Plan Account balance in the form of a Qualified Preretirement
Survivor Annuity. The waiver must comply with the following procedures:
(1) NOTICE OF RIGHT TO WAIVE ANNUITY. The Thrift Plan
Committee shall give a Participant notice within the applicable period
of his right to waive the annuity.
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Columbus McKinnon Corporation Thrift 401(k) Plan
Page 11 of Amendment No. 2 of 1998 Plan Restatement
(A) Except as provided in Section SB.4(c)(1)(B), the
"applicable period" means, with respect to a Participant,
whichever of the following periods ends last:
(i) The period beginning on the first day
of the Plan Year in which the Participant attains age
32 and ending with the close of the Plan Year in
which the Participant attains age 35; or
(ii) The one year period ending on the
first anniversary of the date on which the individual
became a Participant.
(B) In the case of a Participant who separates from
service before attaining age 35, the "applicable period" means
the period beginning one year before the separation from
service and ending one year after the separation from service.
If the Participant returns to service, the Plan must comply
with Section SB.4(c)(1)(A).
(2) CONTENTS OF NOTICE. The notice referred to in Section
SB.4(c)(1) shall be in writing and shall:
(A) include a general description of the
eligibility conditions and other material features of the
Qualified Preretirement Survivor Annuity and the optional
forms of distribution in the event of the Participant's death
before distribution of his Transferred Plan Account;
(B) describe the Participant's right to make,
and the effect of, a waiver under this Section SB.4(c);
(C) describe the requirement that the
Participant's spouse consent to the waiver in accordance with
Section SB.4(d); and
(D) describe the Participant's right to make,
and the effect of, a revocation of his waiver.
(3) MANNER OF WAIVER. A waiver under this Section
SB.4(c) shall be made on a prescribed form filed with the Thrift Plan
Committee at any time beginning on the first day of the Plan year in
which the Participant attains age 35 and ending on the date of his
death. The waiver shall specify the nonspouse Beneficiary (including
any class of Beneficiaries or any contingent Beneficiaries) designated
by the Participant, but need not specify any optional form for of
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Columbus McKinnon Corporation Thrift 401(k) Plan
Page 12 of Amendment No. 2 of 1998 Plan Restatement
benefit, and such other information as the Thrift Plan Committee may
require.
(4) REVOCATION OF A WAIVER. A waiver may be revoked
in writing, executed by the Participant, and submitted to the Thrift
Plan Committee before the Participant's death. A revocation shall have
the effect of reinstating the Qualified Preretirement Survivor Annuity.
However, the Participant may make a new waiver in accordance with this
Section SB.4(c).
(e) SPOUSAL CONSENT REQUIREMENT. The waiver of a Qualified
Preretirement Survivor Annuity shall not be valid as respects the spouse married
to the Participant on the date of the Participant's death unless such spouse has
consented to the waiver in accordance with the procedures set forth in this
Section SB.4(d).
(1) FORM OF CONSENT. A spouse's consent shall: [1] be
made in writing on a form prescribed by the Thrift Plan Committee, [2]
specify the Beneficiary(ies) designated by the Participant, [3]
acknowledge the effect of the election, and [4] be witnessed by a Plan
representative or notary public. Alternatively, a spouse's consent may
be a general consent that permits the Participant to change the
designated Beneficiary without further consent of the spouse. In order
to be valid, a general consent must acknowledge that the spouse has the
right to limit consent to a specific Beneficiary and that the spouse
voluntarily elects to relinquish such right.
(2) EFFECT OF CONSENT. A spouse's consent shall be
irrevocable but shall apply only with respect to the spouse who gave
the consent and shall apply only with respect to the specific
Beneficiary described in the consent (unless the consent is a general
consent as described in Section SB.4(d)(1)).
(3) WHEN SPOUSAL CONSENT IS UNNECESSARY. No consent
shall be required under this Section SB.4(d) if it is established to
the satisfaction of the Thrift Plan Committee that there is no spouse,
that the spouse cannot be located, that the Participant and spouse are
legally separated and the Participant has a court order to such effect
(unless there is a QDRO that provides otherwise), or because of such
other circumstances as may be prescribed in Treasury Regulations. No
consent shall be required in order for the Participant to revoke an
election."
6. Schedule B added to the Plan by Amendment No. 1 is retitled
"Schedule C", and is amended effective September 1, 1998 to read as
follows:
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Columbus McKinnon Corporation Thrift 401(k) Plan
Page 13 of Amendment No. 2 of 1998 Plan Restatement
"SCHEDULE C
SPECIAL RULES FOR ACQUIRED EMPLOYEES
SC.1 EMPLOYEES OF ABELL-HOWE CRANE, INC. Each Employee who is an Employee of
Abell-Howe Crane, Inc. on September 1, 1998 and who was a nonunion employee of
Abell-Howe Company when the assets of that entity were acquired by Abell-Howe
crane, Inc.(a subsidiary of the Corporation) in August 1998--
(a) SPECIAL PARTICIPATION RULE-- shall be eligible to become a
Participant in the Plan on September 1, 1998 or, if later, on the first day of
the month coinciding with or next following the expiration of 90 calendar days
since the first day on which the Employee was entitled to payment for the
performance of duties by Abell-Howe Company, and
(b) SPECIAL VESTING RULE-- shall be credited with Years of Vesting
Service calculated on the assumption that Hours of Service earned as an employee
of Abell- Howe Company before September 1, 1998 were Hours of Service earned as
an Employee of the Corporation."
7. New Schedule 2, entitled Merger into the Plan of the Columbus McKinnon
Corporation Savings and Retirement Plan- Nonunion Portion, is added to
the Plan effective June 1, 2000, to read as follows:
COLUMBUS MCKINNON CORPORATION THRIFT 401(K) PLAN
SCHEDULE 2
MERGER INTO THE PLAN OF THE
COLUMBUS MCKINNON CORPORATION
SAVINGS AND RETIREMENT PLAN- NONUNION PORTION
S2.1 DEFINITIONS AND REFERENCES. References to Sections that begin with "S2"
are to Sections of this Schedule 2; otherwise references to Sections or Articles
are to the Plan document exclusive of this Schedule 2. Capitalized terms used in
this Schedule 2 shall have the meaning provided in the Plan document unless a
different meaning is expressly given in this Schedule 2. The following terms
shall have the following meanings in this Schedule 2:
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Columbus McKinnon Corporation Thrift 401(k) Plan
Page 14 of Amendment No. 2 of 1998 Plan Restatement
(a) "MERGER DATE" means the date on which the Savings and
Retirement Plan is merged into the Plan as determined under this Schedule 2.
(b) "SAVINGS AND RETIREMENT PLAN" means the Columbus McKinnon
Corporation Savings and Retirement Plan-- Nonunion Portion. The Savings and
Retirement Plan was originally adopted effective October 1, 1987 as the
"Lift-Tech International, Inc. Savings and Retirement Plan" by execution of an
individually designed plan. The Savings and Retirement Plan was amended from
time to time thereafter and was most recently amended and restated effective
January 1, 1999 by execution of two individually designed plan documents on that
date-- one document covering collective bargaining employees and referred to as
the "Union Employees Plan Document" and one document covering nonunion employees
and referred to as the "Non-Union Employees Plan Document" which is the document
referred to in this Schedule 2 as the "Savings and Retirement Plan".
Contributions under the Savings and Retirement Plan Plan were discontinued
effective June 1, 2000.
(c) "SAVINGS AND RETIREMENT PLAN ACCOUNT" means a participant's
account balance under the Savings and Retirement Plan which is transferred to
the Plan as a result of the merger of the Savings and Retirement Plan into the
Plan and all income and loss attributable to such account balance after the
merger.
(d) "SAVINGS AND RETIREMENT PLAN PARTICIPANT" means a person who
has a Savings and Retirement Plan Account, regardless of whether such person is
otherwise a participant in a qualified plan maintained by an Employer.
S2.2 PURPOSE AND EFFECT OF THIS SCHEDULE 2.
(a) PURPOSE. The purpose of this Schedule 2 is to provide for the
merger of the Savings and Retirement Plan into the Plan and to provide special
rules governing protected distribution options and other matters relating to
persons who participated in the Savings and Retirement Plan.
(b) EFFECT. The provisions of this Schedule 2 shall govern over
any inconsistent provision of the Plan document exclusive of this Schedule 2.
Except as specifically provided in this Schedule 2, Savings and Retirement Plan
participants shall be subject to all of the provisions of the Plan document with
respect to their Savings and Retirement Plan Accounts (as hereinafter defined).
<PAGE>
Columbus McKinnon Corporation Thrift 401(k) Plan
Page 15 of Amendment No. 2 of 1998 Plan Restatement
S2.3 PARTICIPATION IN PLAN BY SAVINGS AND RETIREMENT PLAN PARTICIPANTS.
Employees who are active participants in the Savings and Retirement Plan on May
31, 2000, and who would be Eligible Employees if the company employing them
became an Employer under the Plan, shall be eligible to participate in the Plan
effective June 1, 2000. Such Employees shall be granted Years of Vesting Service
for service prior to June 1, 2000 to the extent provided in Schedule A or as
otherwise required by Section 414(a) of the Code.
S2.4 MERGER OF THE SAVINGS AND RETIREMENT PLAN INTO THE PLAN. Effective as
of June 1, 2000 (the "Merger Date"), the Savings and Retirement Plan shall be
merged into and become part of the Plan. As of the Merger Date:
(a) the assets of the Savings and Retirement Plan shall be
transferred to and held by the Trustee as assets of the Plan; and
(b) the account balances of participants under the Savings and
Retirement Plan shall be converted to Account balances under the Plan subject to
the special rules of this Schedule 2.
S2.5 SPECIAL RULES APPLICABLE TO SAVINGS AND RETIREMENT PLAN PARTICIPANTS.
(a) ESTABLISHMENT OF SAVINGS AND RETIREMENT PLAN ACCOUNTS.
(1) ESTABLISHMENT OF ACCOUNTS. Effective as of the Merger
Date, the Thrift Plan Committee shall establish and maintain for each
Participant, who had an account balance under the Savings and
Retirement Plan, a separate Account under the Plan designated his
"Savings and Retirement Plan Account", to which shall be credited his
account balance under the Savings and Retirement Plan and all future
the earnings thereon.
(2) SUBACCOUNTS. Each Participant's Savings and
Retirement Plan Account shall be further divided into the following
subaccounts (as applicable):
(A) The portion of the Account attributable to
salary reduction contributions and earnings thereon shall
constitute his "Savings and Retirement Plan Salary Reduction
Subaccount." A Participant's Savings and Retirement Plan
Salary Reduction Subaccount shall be fully vested and shall
available for borrowing by the Participant in the same manner
as his Salary Reduction Contribution Account, as provided
under Section 10.4 of the Plan.
<PAGE>
Columbus McKinnon Corporation Thrift 401(k) Plan
Page 16 of Amendment No. 2 of 1998 Plan Restatement
(B) The portion of the Account attributable to
matching contributions shall constitute his "Savings and
Retirement Plan Matching Contribution Subaccount." A
Participant's Savings and Retirement Plan Matching
Contribution Subaccount shall be subject to the same vesting
and forfeiture rules as apply to his Matching Contribution
Account under Sections 3.2 and 8.5 of the Plan.
(C) The portion of the Account attributable to
rollover contributions shall constitute his "Savings and
Retirement Plan Rollover Subaccount" and shall be fully
vested.
(b) REINVESTMENT OF EXISTING INVESTMENTS.
(1) IN GENERAL. A Participant's investments under the
Savings and Retirement Plan as of the Merger Date shall be liquidated
and the proceeds therefrom reinvested in Investment Funds available
under the Plan as the Participant shall elect in accordance with the
election procedures under the Plan. Each subaccount of a Participant's
Savings and Retirement Plan Account shall be invested in the same
portions in the same Investment Funds. The liquidation and reinvestment
shall be done as soon as practicable as determined the Thrift Plan
Committee giving due regard to the avoidance of unnecessary fees and
expenses.
(2) DEFAULT ELECTION. If a Participant fails to make a
timely investment election under Section S2.5(b)(1), his Savings and
Retirement Plan Account shall be invested as provided under Section 7.4
of the Plan.
(c) PROTECTED DISTRIBUTION OPTIONS
(1) SAVINGS AND RETIREMENT PLAN OPTIONS. A Participant
who is eligible for distribution of his Accounts pursuant to Article
VIII, may elect, in addition to any distribution option available under
Article XI of the Plan, the following Retirement and Savings Plan
distribution options:
(A) Option 1 -- INSTALLMENTS. Distribution of the
Participant's Accounts will be made in approximately equal
monthly or annual installments over a period certain that does
not exceed the life expectancy of the Participant, or the
combined life expectancy of the Participant and his designated
Beneficiary (where the life expectancy is determined at the
commencement of distributions and is not redetermined
thereafter). The Participant must elect whether installments
<PAGE>
Columbus McKinnon Corporation Thrift 401(k) Plan
Page 17 of Amendment No. 2 of 1998 Plan Restatement
will be monthly or annual, and must elect the period certain
over which installments are paid.
(B) Option 2 -- STRAIGHT LIFE ANNUITY. A Straight
Life Annuity
(C) Option 3 -- SINGLE LIFE ANNUITY WITH A
GUARANTEED MINIMUM NUMBER OF PAYMENTS. A modified single life
annuity payable in equal monthly payments during the
Participant's life with the provision that, if the Participant
does not live to receive a guaranteed number of monthly
payments, the balance of such payments shall be made to the
Beneficiary designated by him or, if the Beneficiary
predeceases him, to his estate. The Participant must specify
the guaranteed number of monthly payments and that number may
not exceed the number of months in the Participant's life
expectancy.
(D) Option 4 -- SINGLE LIFE ANNUITY WITH INSTALLMENT
REFUND. A modified single life annuity payable in equal
monthly payments during the Participant's life with the
provision that, if the Participant dies after the Annuity
Starting Date and before monthly payments to him total the
annuity premium, then monthly payments will continue to the
Beneficiary designated by the Participant until the total of
monthly payments made equal the annuity premium.
(E) Option 5 -- JOINT AND SURVIVOR ANNUITY WITH
INSTALLMENT REFUND. A modified joint and survivor annuity
payable in equal monthly payments during the Participant's
life, with a survivor annuity payable in equal monthly
payments after the Participant's death to the contingent
annuitant designated by the Participant during the contingent
annuitant's lifetime, with the provision that, if the
Participant and the contingent annuitant die after the Annuity
Starting Date and before monthly payments to them total the
annuity premium, then monthly payments will continue to a
Beneficiary designated by the Participant until the total of
monthly payments made equal the annuity premium. The monthly
payments to the Beneficiary shall be in the same amount as the
last monthly payment made before payment to the Beneficiary is
due. The Participant may elect to have the payments to the
contingent annuitant equal to 50%, 66-2/3% or 100% of the
monthly payments made to the Participant.
(2) RULES APPLICABLE TO SAVINGS AND RETIREMENT PLAN
OPTIONS. The following rules apply with respect to Savings and
Retirement Plan Options, in addition to all other rules under the Plan
<PAGE>
Columbus McKinnon Corporation Thrift 401(k) Plan
Page 18 of Amendment No. 2 of 1998 Plan Restatement
that are not inconsistent with this Section S2.5(c)(2):
(A) Any Savings and Retirement Plan Option elected
under Section S2.5(c)(1) shall apply with respect to the
Participant's entire Savings and Retirement Plan Account.
(B) If the Participant elects a life annuity form of
Savings and Retirement Plan Option (Options 2, 3, 4 or 5), the
Participant's Savings and Retirement Plan Account shall
thereafter be subject to the annuity rules of Section S2.6.
(C) Any Savings and Retirement Plan life annuity
option shall be provided in the form of a non-transferable
annuity purchased by the Plan from an insurance company
licensed to conduct business in New York, selected by the
Benefits Administrative Board, with the balance of the
Participant's Savings and Retirement Plan Account.
(d) BENEFICIARY DESIGNATIONS. Death beneficiary designations filed
with respect to the Plan shall apply to all of the Participant's Accounts
(including his Savings and Retirement Plan Account) until a new designation is
filed with the Thrift Plan Committee pursuant to Section 8.3, but shall be
subject to the spousal consent requirements of Section 8.3(b).
S2.6 ANNUITY RULES.
(a) PARTICIPANTS SUBJECT TO THE RULES. This Section S2.6 shall be
applicable with respect to any distribution from a Participant's Savings and
Retirement Plan Account if the Participant's entire Account balance (including
all Accounts under the Plan) exceeds $5,000. Notwithstanding the foregoing, this
Section shall be applicable ONLY IF the Participant elects or has previously
elected a life annuity form of distribution from his Savings and Retirement Plan
Account.
(b) APPLICATION OF JOINT AND SURVIVOR ANNUITY RULES. If this
Section S2.6 is applicable, any distribution of a Participant's Savings and
Retirement Plan Account shall be made in the normal form as provided in Section
SB.3 of Schedule B unless the Participant waives the normal form of distribution
and elects and optional form (described in Section S2.5(c)) and the
Participant's spouse (if any) consents to the waiver, as provided in Section
SB.3 of Schedule B.
<PAGE>
Columbus McKinnon Corporation Thrift 401(k) Plan
Page 19 of Amendment No. 2 of 1998 Plan Restatement
(c) APPLICATION OF PRERETIREMENT SURVIVOR ANNUITY RULES.
A Participant's Savings and Retirement Plan Account is not subject to the
Qualified Preretirement Survivor Annuity rules of Section SB.4 of Schedule B
insofar as 100% of the Participant's Account balance is payable to his spouse in
the event the Participant dies before it is distributed."
8. New Schedule 3, entitled Merger into the Plan of the Washington
Equipment Company 401(k) Retirement & Savings Plan, is added to the
Plan effective June 1, 2000, to read as follows:
"COLUMBUS MCKINNON CORPORATION THRIFT 401(K) PLAN
SCHEDULE 3
MERGER INTO THE PLAN OF THE
WASHINGTON EQUIPMENT COMPANY
401(K) RETIREMENT & SAVINGS PLAN
S3.1 DEFINITIONS AND REFERENCES. References to Sections that begin with "S3"
are to Sections of this Schedule 3; otherwise references to Sections or Articles
are to the Plan document exclusive of this Schedule 3. Capitalized terms used in
this Schedule 3 shall have the meaning provided in the Plan document unless a
different meaning is expressly given in this Schedule 3. The following terms
shall have the following meanings in this Schedule 3:
(a) "MERGER DATE" means the date on which the WECO Plan is merged
into the Plan as determined under this Schedule 3.
(b) "WECO PLAN" means the Washington Equipment Company 401(k)
Retirement & Savings Plan. The WECO Plan was adopted effective January 1, 1992
by execution of a Dearborn Life Insurance Company prototype plan. The WECO Plan
was amended from time to time thereafter and was most recently amended and
restated effective January 26, 1995. Contributions under the WECO Plan were
discontinued effective October 1, 1999.
(c) "WECO PLAN ACCOUNT" means a participant's account balance
under the WECO Plan which is transferred to the Plan as a result of the merger
of the WECO Plan into the Plan and all income and loss attributable to such
account balance after the merger.
<PAGE>
Columbus McKinnon Corporation Thrift 401(k) Plan
Page 20 of Amendment No. 2 of 1998 Plan Restatement
(d) "WECO PLAN PARTICIPANT" means a person who has a WECO Plan
Account, regardless of whether such person is otherwise a participant in a
qualified plan maintained by an Employer.
S3.2 PURPOSE AND EFFECT OF THIS SCHEDULE 3.
(a) PURPOSE. The purpose of this Schedule 3 is to provide for
the merger of the WECO Plan into the Plan and to provide special rules governing
protected distribution options and other matters relating to WECO Plan
Participants.
(b) EFFECT. The provisions of this Schedule 3 shall govern over
any inconsistent provision of the Plan document exclusive of this Schedule 3.
Except as specifically provided in this Schedule 3, WECO Plan Participants shall
be subject to all of the provisions of the Plan document with respect to their
WECO Plan Accounts.
S3.3 PARTICIPATION IN PLAN BY WECO PLAN PARTICIPANTS. A WECO Plan
Participant shall be a Participant in the Plan on and after the Merger Date so
long as he continues to have a WECO Plan Account under the Plan. Active
participation in the Plan (eligibility for additional contributions) by a WECO
Plan Participant shall be determined under Schedule A and the other provisions
of the Plan outside this Schedule 3.
S3.4 MERGER OF THE WECO PLAN INTO THE PLAN. Effective as of June 1, 2000
(the "Merger Date"), the WECO Plan shall be merged into and become part of the
Plan. As of the Merger Date:
(a) the assets of the WECO Plan shall be transferred to and held
by the Trustee as assets of the Plan; and
(b) the account balances of participants under the WECO Plan shall
be converted to Account balances under the Plan subject to the special rules of
this Schedule 3.
S3.5 SPECIAL RULES APPLICABLE TO WECO PLAN PARTICIPANTS.
(a) ESTABLISHMENT OF WECO PLAN ACCOUNTS.
(1) ESTABLISHMENT OF ACCOUNTS. Effective as of the
Merger Date, the Thrift Plan Committee shall establish and maintain for
each WECO Plan Participant a separate Account under the Plan,
designated his "WECO Plan Account", to which shall be credited his
account balance transferred from the WECO Plan and all future the
earnings thereon.
<PAGE>
Columbus McKinnon Corporation Thrift 401(k) Plan
Page 21 of Amendment No. 2 of 1998 Plan Restatement
(2) SUBACCOUNTS. Each WECO Plan Participant's WECO Plan
Account shall be further divided into the following subaccounts (as
applicable):
(A) The portion of the Account attributable to salary
reduction contributions and earnings thereon shall constitute
his "WECO Plan Salary Reduction Subaccount." A Participant's
WECO Plan Salary Reduction Subaccount shall be fully vested
and shall available for borrowing by the Participant in the
same manner as his Salary Reduction Contribution Account, as
provided under Section 10.4 of the Plan.
(B) The portion of the Account attributable to
rollover contributions shall constitute his "WECO Plan
Rollover Subaccount" and shall be fully vested.
(b) REINVESTMENT OF EXISTING INVESTMENTS.
(1) IN GENERAL. A Participant's investments under the
WECO Plan as of the Merger Date shall be liquidated and the proceeds
therefrom reinvested in Investment Funds available under the Plan as
the Participant shall elect in accordance with the election procedures
under the Plan. Each subaccount of a Participant's WECO Plan Account
shall be invested in the same portions in the same Investment Funds.
The liquidation and reinvestment shall be done as soon as practicable
as determined the Thrift Plan Committee giving due regard to the
avoidance of unnecessary fees and expenses.
(2) DEFAULT ELECTION. If a Participant fails to make a
timely investment election under Section S3.5(b)(1), his WECO Plan
Account shall be invested as provided under Section 7.4 of the Plan.
(c) PROTECTED DISTRIBUTION OPTIONS
(1) WECO PLAN OPTIONS. A Participant who is eligible
for distribution of his Accounts pursuant to Article VIII, may elect,
in addition to any distribution option available under Article XI of
the Plan, the following WECO Plan distribution options:
(A) Option 1 -- A LIFE ANNUITY. A Straight Life
Annuity
(B) Option 2 -- A LIFE ANNUITY WITH 10 OR 20 YEARS
GUARANTEED. A modified single life annuity payable in equal
monthly payments during the Participant's life with the
provision that, if the Participant does not live to receive
<PAGE>
Columbus McKinnon Corporation Thrift 401(k) Plan
Page 22 of Amendment No. 2 of 1998 Plan Restatement
the guaranteed number of monthly payments (120 or 240, as
elected by the Participant), the balance of such payments
shall be made to the Beneficiary designated by him or, if the
Beneficiary predeceases him, to his estate.
(C) Option 3 -- JOINT AND 100% SURVIVOR ANNUITY. A
joint and survivor annuity payable in equal monthly payments
during the Participant's life, with a survivor annuity payable
in equal monthly payments after the Participant's death to the
contingent annuitant designated by the Participant during the
contingent annuitant's lifetime. The monthly payments to the
contingent annuitant shall equal 100% of the monthly payments
made to the Participant.
(D) Option 4 -- JOINT AND 100% SURVIVOR ANNUITY WITH
10 OR 20 YEARS GUARANTEED. A joint and survivor annuity
similar to Option 3 but with the provision that, if both the
Participant and the contingent annuitant die before a
guaranteed number of monthly payments (120 or 240, as elected
by the Participant) are paid, the balance of such payments
shall be made to the Beneficiary designated by the survivor of
the Participant and contingent annuitant or, if the
Beneficiary predeceases such survivor, to the survivor's
estate.
(2) RULES APPLICABLE TO WECO PLAN OPTIONS. The following
rules apply with respect to WECO Plan Options, in addition to
all other rules under the Plan that are not inconsistent with
this Section S3.5(c)(2):
(A) Any WECO Plan Option elected under Section
S3.5(c)(1) shall apply with respect to the Participant's
entire WECO Plan Account.
(B) If the Participant elects a life annuity form of
WECO Plan Option (Options 1, 2, 3 or 4), the Participant's
WECO Plan Account shall thereafter be subject to the annuity
rules of Section S3.6.
(C) Any WECO Plan life annuity option shall be
provided in the form of a non-transferable annuity purchased
by the Plan from an insurance company licensed to conduct
business in New York, selected by the Benefits Administrative
Board, with the balance of the Participant's WECO Plan
Account.
(d) BENEFICIARY DESIGNATIONS. Death beneficiary designations
filed with respect to the Plan shall apply to all of the
Participant's Accounts (including his WECO Plan Account) until
<PAGE>
Columbus McKinnon Corporation Thrift 401(k) Plan
Page 23 of Amendment No. 2 of 1998 Plan Restatement
a new designation is filed with the Thrift Plan Committee
pursuant to Section 8.3, but shall be subject to the spousal
consent requirements of Section 8.3(b).
S3.6 ANNUITY RULES.
(a) PARTICIPANTS SUBJECT TO THE RULES. This Section S3.6 shall
be applicable with respect to any distribution from a Participant's WECO Plan
Account if the Participant's entire Account balance (including his WECO Plan
Account and any other account under the Plan) exceeds $5,000. Notwithstanding
the foregoing, this Section shall be applicable ONLY IF the Participant elects
or has previously elected a life annuity form of distribution from his WECO Plan
Account.
(b) APPLICATION OF JOINT AND SURVIVOR ANNUITY RULES. If this
Section S3.6 is applicable, any distribution of a Participant's WECO Plan
Account shall be made in the normal form as provided in Section SB.3 of Schedule
B unless the Participant waives the normal form of distribution and elects and
optional form (described in Section S3.5(c)) and the Participant's spouse (if
any) consents to the waiver, as provided in Section SB.3 of Schedule B.
(c) APPLICATION OF PRERETIREMENT SURVIVOR ANNUITY RULES. A
Participant's WECO Plan Account is not subject to the Qualified Preretirement
Survivor Annuity rules of Section SB.4 of Schedule B insofar as 100% of the
Participant's Account balance is payable to his spouse in the event the
Participant dies before it is distributed."
9. New Schedule 4, entitled "Merger into the Plan of the Automatic
Systems, Inc. 401(k) Savings Plan", is added to the Plan effective June
1, 2000, to read as follows:
"COLUMBUS MCKINNON CORPORATION THRIFT 401(K) PLAN
SCHEDULE 4
MERGER INTO THE PLAN OF THE
AUTOMATIC SYSTEMS, INC.
401(K) SAVINGS PLAN
<PAGE>
Columbus McKinnon Corporation Thrift 401(k) Plan
Page 24 of Amendment No. 2 of 1998 Plan Restatement
S4.1 DEFINITIONS AND REFERENCES. References to Sections that begin with "S4"
are to Sections of this Schedule 4; otherwise references to Sections or Articles
are to the Plan document exclusive of this Schedule 4. Capitalized terms used in
this Schedule 4 shall have the meaning provided in the Plan document unless a
different meaning is expressly given in this Schedule 4. The following terms
shall have the following meanings in this Schedule 4:
(a) "MERGER DATE" means the date on which the ASI Plan is merged
into the Plan as determined under this Schedule 4.
(a) "ASI PLAN" means the Automatic Systems, Inc. 401(k) Savings
Plan. The ASI Plan was adopted effective January 1, 1980 by execution of a
Principal Group individually designed plan. The ASI Plan was amended from time
to time thereafter and was most recently amended and restated on April 28, 1995.
Contributions under the ASI Plan were discontinued effective March 31, 1999.
(b) "ASI PLAN ACCOUNT" means a participant's account balance under
the ASI Plan which is transferred to the Plan as a result of the merger of the
ASI Plan into the Plan and all income and loss attributable to such account
balance after the merger.
(c) "ASI PLAN PARTICIPANT" means a person who has a ASI Plan
Account, regardless of whether such person is otherwise a participant in a
qualified plan maintained by an Employer.
S4.2 PURPOSE AND EFFECT OF THIS SCHEDULE 4.
(a) PURPOSE. The purpose of this Schedule 4 is to provide for
the merger of the ASI Plan into the Plan and to provide special rules governing
protected distribution options and other matters relating to ASI Plan
Participants.
(b) EFFECT. The provisions of this Schedule 4 shall govern over
any inconsistent provision of the Plan document exclusive of this Schedule 4.
Except as specifically provided in this Schedule 4, ASI Plan Participants shall
be subject to all of the provisions of the Plan document with respect to their
ASI Plan Accounts.
S4.4 PARTICIPATION IN PLAN BY ASI PLAN PARTICIPANTS. A ASI Plan Participant
shall be a Participant in the Plan on and after the Merger Date so long as he
continues to have a ASI Plan Account under the Plan. Active participation in the
Plan (eligibility for additional contributions) by a ASI Plan Participant shall
be determined under Schedule A and the other provisions of the Plan outside this
Schedule 4.
<PAGE>
Columbus McKinnon Corporation Thrift 401(k) Plan
Page 25 of Amendment No. 2 of 1998 Plan Restatement
S4.4 MERGER OF THE ASI PLAN INTO THE PLAN. Effective on the date determined
in writing by the Thrift Plan Committee which shall be on or after June 1, 2000
(the "Merger Date"), the ASI Plan shall be merged into and become part of the
Plan. As of the Merger Date:
(a) the assets of the ASI Plan shall be transferred to and held by
the Trustee as assets of the Plan; and
(b) the account balances of participants under the ASI Plan shall
be converted to Account balances under the Plan subject to the special rules of
this Schedule 4.
S4.5 SPECIAL RULES APPLICABLE TO ASI PLAN PARTICIPANTS.
(a) ESTABLISHMENT OF ASI PLAN ACCOUNTS.
(1) ESTABLISHMENT OF ACCOUNTS. Effective as of the
Merger Date, the Thrift Plan Committee shall establish and maintain for
each ASI Plan Participant a separate Account under the Plan, designated
his "ASI Plan Account", to which shall be credited his account balance
transferred from the ASI Plan and all future the earnings thereon.
(2) SUBACCOUNTS. Each ASI Plan Participant's ASI Plan
Account shall be further divided into the following subaccounts (as
applicable):
(A) The portion of the Account attributable to
salary reduction contributions and earnings thereon shall
constitute his "ASI Plan Salary Reduction Subaccount." A
Participant's ASI Plan Salary Reduction Subaccount shall be
fully vested and shall available for borrowing by the
Participant in the same manner as his Salary Reduction
Contribution Account, as provided under Section 10.4 of the
Plan.
(B) The portion of the Account attributable to
matching contributions shall constitute his "ASI Plan Matching
Contribution Subaccount" and shall vest in accordance with the
terms of the Plan outside this Schedule 4 but in all events
shall vest as rapidly as under the terms of the ASI Plan on
the Merger Date.
(C) The portion of the Account attributable to
rollover contributions shall constitute his "ASI Plan Rollover
Subaccount" and shall be fully vested.
<PAGE>
Columbus McKinnon Corporation Thrift 401(k) Plan
Page 26 of Amendment No. 2 of 1998 Plan Restatement
(b) REINVESTMENT OF EXISTING INVESTMENTS.
(1) IN GENERAL. A Participant's investments under the ASI
Plan as of the Merger Date shall be liquidated and the proceeds
therefrom reinvested in Investment Funds available under the Plan as
the Participant shall elect in accordance with the election procedures
under the Plan. Each subaccount of a Participant's ASI Plan Account
shall be invested in the same portions in the same Investment Funds.
The liquidation and reinvestment shall be done as soon as practicable
as determined the Thrift Plan Committee giving due regard to the
avoidance of unnecessary fees and expenses.
(2) DEFAULT ELECTION. If a Participant fails to make
a timely investment election under Section S4.5(b)(1), his ASI Plan
Account shall be invested as provided under Section 7.4 of the Plan.
(c) PROTECTED DISTRIBUTION OPTIONS
(1) ASI PLAN OPTIONS. A Participant who is eligible for
distribution of his Accounts pursuant to Article VIII, may elect, in
addition to any distribution option available under Article XI of the
Plan, the following ASI Plan distribution options:
(A) Option 1 -- A LIFE ANNUITY. A Straight Life
Annuity
(B) Option 2 -- A LIFE ANNUITY WITH 5, 10 OR 15
YEARS GUARANTEED. A modified single life annuity payable in
equal monthly payments during the Participant's life with the
provision that, if the Participant does not live to receive
the guaranteed number of monthly payments (60, 120 or 180, as
elected by the Participant), the balance of such payments
shall be made to the Beneficiary designated by him or, if the
Beneficiary predeceases him, to his estate.
(C) Option 3 -- SINGLE LIFE ANNUITY WITH INSTALLMENT
REFUND. A modified single life annuity payable in equal
monthly payments during the Participant's life with the
provision that, if the Participant dies after the Annuity
Starting Date and before monthly payments to him total the
annuity premium, then monthly payments will continue to the
Beneficiary designated by the Participant until the total of
monthly payments made equal the annuity premium.
<PAGE>
Columbus McKinnon Corporation Thrift 401(k) Plan
Page 27 of Amendment No. 2 of 1998 Plan Restatement
(D) Option 4 -- JOINT AND 50%, 66-2/3% OR 100%
SURVIVOR ANNUITY. A joint and survivor annuity payable in
equal monthly payments during the Participant's life, with a
survivor annuity payable in equal monthly payments after the
Participant's death to the contingent annuitant designated by
the Participant during the contingent annuitant's lifetime.
The monthly payments to the contingent annuitant shall equal
50%, 66-2/3% or 100% (as elected by the Participant) of the
monthly payments made to the Participant.
(E) Option 5 -- INSTALLMENTS. Distribution of the
Participant's Accounts will be made in approximately equal
monthly installments over a period certain that is not less
than 60 months nor more than the life expectancy of the
Participant, or the combined life expectancy of the
Participant and his designated Beneficiary (where the life
expectancy is determined at the commencement of distributions
and is not redetermined thereafter). The Participant must
elect the period certain over which installments are paid.
(2) RULES APPLICABLE TO ASI PLAN OPTIONS. The following
rules apply with respect to ASI Plan Options, in addition to
all other rules under the Plan that are not inconsistent with
this Section S4.5(c)(2):
(A) Any ASI Plan Option elected under Section
S4.5(c)(1) shall apply with respect to the Participant's
entire ASI Plan Account.
(B) If the Participant elects a life annuity form of
ASI Plan Option (Options 1, 2, 3 or 4), the Participant's ASI
Plan Account shall thereafter be subject to the annuity rules
of Section S4.6.
(C) Any ASI Plan life annuity option shall be
provided in the form of a non-transferable annuity purchased
by the Plan from an insurance company licensed to conduct
business in New York, selected by the Benefits Administrative
Board, with the balance of the Participant's ASI Plan Account.
(d) BENEFICIARY DESIGNATIONS. Death beneficiary designations filed
with respect to the Plan shall apply to all of the Participant's Accounts
(including his ASI Plan Account) until a new designation is filed with the
Thrift Plan Committee pursuant to Section 8.4, but shall be subject to the
spousal consent requirements of Section 8.4(b).
<PAGE>
Columbus McKinnon Corporation Thrift 401(k) Plan
Page 28 of Amendment No. 2 of 1998 Plan Restatement
S4.6 ANNUITY RULES.
(a) PARTICIPANTS SUBJECT TO THE RULES. This Section S4.6 shall be
applicable with respect to any distribution from a Participant's ASI Plan
Account if the Participant's entire Account balance (including his ASI Plan
Account and any other account under the Plan) exceeds $5,000. Notwithstanding
the foregoing, this Section shall be applicable ONLY IF the Participant elects
or has previously elected a life annuity form of distribution from his ASI Plan
Account.
(b) APPLICATION OF JOINT AND SURVIVOR ANNUITY RULES. If this
Section S4.6 is applicable, any distribution of a Participant's ASI Plan Account
shall be made in the normal form as provided in Section SB.3 of Schedule B
unless the Participant waives the normal form of distribution and elects and
optional form (described in Section S4.5(c)) and the Participant's spouse (if
any) consents to the waiver, as provided in Section SB.3 of Schedule B.
(c) APPLICATION OF PRERETIREMENT SURVIVOR ANNUITY RULES.
A Participant's ASI Plan Account is not subject to the Qualified Preretirement
Survivor Annuity rules of Section SB.4 of Schedule B insofar as 100% of the
Participant's Account balance is payable to his spouse in the event the
Participant dies before it is distributed."
10. New Schedule 5, entitled "Merger into the Plan of the Gaffey, Inc.
401(k) Profit Sharing Plan", is added to the Plan effective June 1,
2000, to read as follows:
"COLUMBUS MCKINNON CORPORATION THRIFT 401(K) PLAN
SCHEDULE 5
MERGER INTO THE PLAN OF THE
GAFFEY, INC. 401(K) PROFIT SHARING PLAN
S5.1 DEFINITIONS AND REFERENCES. References to Sections that begin with "S5"
are to Sections of this Schedule 5; otherwise references to Sections or Articles
are to the Plan document exclusive of this Schedule 5. Capitalized terms used in
this Schedule 5 shall have the meaning provided in the Plan document unless a
different meaning is expressly given in this Schedule 5. The following terms
shall have the following meanings in this Schedule 5:
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Columbus McKinnon Corporation Thrift 401(k) Plan
Page 29 of Amendment No. 2 of 1998 Plan Restatement
(a) "MERGER DATE" means the date on which the Gaffey Plan is
merged into the Plan as determined under this Schedule 5.
(b) "GAFFEY PLAN" means the Gaffey, Inc. 401(k) Profit Sharing
Plan. The Gaffey Plan was adopted effective October 1, 1990 by execution of a
Merrill Lynch prototype plan. The Gaffey Plan was amended from time to time
thereafter and was most recently amended and restated on September 29, 1994.
Contributions under the Gaffey Plan were discontinued effective January 1, 2000.
(c) "GAFFEY PLAN ACCOUNT" means a participant's account balance
under the Gaffey Plan which is transferred to the Plan as a result of the merger
of the Gaffey Plan into the Plan and all income and loss attributable to such
account balance after the merger.
(d) "GAFFEY PLAN PARTICIPANT" means a person who has a Gaffey
Plan Account, regardless of whether such person is otherwise a participant in a
qualified plan maintained by an Employer.
S5.2 PURPOSE AND EFFECT OF THIS SCHEDULE 5.
(a) PURPOSE. The purpose of this Schedule 5 is to provide for the
merger of the Gaffey Plan into the Plan and to provide special rules governing
protected distribution options and other matters relating to Gaffey Plan
Participants.
(b) EFFECT. The provisions of this Schedule 5 shall govern over
any inconsistent provision of the Plan document exclusive of this Schedule 5.
Except as specifically provided in this Schedule 5, Gaffey Plan Participants
shall be subject to all of the provisions of the Plan document with respect to
their Gaffey Plan Accounts.
S5.5 PARTICIPATION IN PLAN BY GAFFEY PLAN PARTICIPANTS. A Gaffey Plan
Participant shall be a Participant in the Plan on and after the Merger Date so
long as he continues to have a Gaffey Plan Account under the Plan. Active
participation in the Plan (eligibility for additional contributions) by a Gaffey
Plan Participant shall be determined under Schedule A and the other provisions
of the Plan outside this Schedule 5.
S5.5 MERGER OF THE GAFFEY PLAN INTO THE PLAN. Effective on the date
determined in writing by the Thrift Plan Committee which shall be on or after
June 1, 2000 (the "Merger Date"), the Gaffey Plan shall be merged into and
become part of the Plan. As of the Merger Date:
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Columbus McKinnon Corporation Thrift 401(k) Plan
Page 30 of Amendment No. 2 of 1998 Plan Restatement
(a) the assets of the Gaffey Plan shall be transferred to and held
by the Trustee as assets of the Plan; and
(b) the account balances of participants under the Gaffey Plan
shall be converted to Account balances under the Plan subject to the special
rules of this Schedule 5.
S5.5 SPECIAL RULES APPLICABLE TO GAFFEY PLAN PARTICIPANTS.
(a) ESTABLISHMENT OF GAFFEY PLAN ACCOUNTS.
(1) ESTABLISHMENT OF ACCOUNTS. Effective as of the Merger
Date, the Thrift Plan Committee shall establish and maintain for each
Gaffey Plan Participant a separate Account under the Plan, designated
his "Gaffey Plan Account", to which shall be credited his account
balance transferred from the Gaffey Plan and all future the earnings
thereon.
(2) SUBACCOUNTS. Each Gaffey Plan Participant's Gaffey
Plan Account shall be further divided into the following subaccounts
(as applicable):
(A) The portion of the Account attributable to
salary reduction contributions and earnings thereon shall
constitute his "Gaffey Plan Salary Reduction Subaccount." A
Participant's Gaffey Plan Salary Reduction Subaccount shall be
fully vested and shall available for borrowing by the
Participant in the same manner as his Salary Reduction
Contribution Account, as provided under Section 10.5 of the
Plan.
(B) The portion of the Account attributable to
profit sharing contributions shall constitute his "Gaffey Plan
Matching Contribution Subaccount" and shall vest in accordance
with the terms of the Plan outside this Schedule 5 but in all
events shall vest as rapidly as under the terms of the Gaffey
Plan on the Merger Date.
(C) The portion of the Account attributable to
rollover contributions shall constitute his "Gaffey Plan
Rollover Subaccount" and shall be fully vested.
(b) REINVESTMENT OF EXISTING INVESTMENTS.
(1) IN GENERAL. A Participant's investments under the
Gaffey Plan as of the Merger Date shall be liquidated and the proceeds
there from reinvested in Investment Funds available under the Plan as
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Columbus McKinnon Corporation Thrift 401(k) Plan
Page 31 of Amendment No. 2 of 1998 Plan Restatement
the Participant shall elect in accordance with the election procedures
under the Plan. Each subaccount of a Participant's Gaffey Plan Account
shall be invested in the same portions in the same Investment Funds.
The liquidation and reinvestment shall be done as soon as practicable
as determined the Thrift Plan Committee giving due regard to the
avoidance of unnecessary fees and expenses.
(2) DEFAULT ELECTION. If a Participant fails to make a
timely investment election under Section S5.5(b)(1), his Gaffey Plan
Account shall be invested as provided under Section 7.5 of the Plan.
(c) BENEFICIARY DESIGNATIONS. Death beneficiary designations filed
with respect to the Plan shall apply to all of the Participant's Accounts
(including his Gaffey Plan Account) until a new designation is filed with the
Thrift Plan Committee pursuant to Section 8.5, but shall be subject to the
spousal consent requirements of Section 8.5(b)."
IN WITNESS WHEREOF, this instrument of amendment has been executed by a
duly authorized officer of the Corporation this 1st day of June, 2000.
COLUMBUS McKINNON CORPORATION
By /s/ R. L. Montgomery
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Title Executive Vice President
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