<PAGE>
Registration No. 2-74667
Registration No.811-3301
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SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, D.C. 20549
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FORM N-4
REGISTRATION STATEMENT UNDER THE SECURITIES ACT OF 1933 [ ]
Pre-Effective Amendment No.
Post-Effective Amendment No. 30 [X]
AND/OR
REGISTRATION STATEMENT UNDER THE INVESTMENT COMPANY ACT OF 1940 [ ]
Amendment No. 32 [X]
(Check appropriate box or boxes)
--------------------------------
SEPARATE ACCOUNT NO. 301
of
THE EQUITABLE LIFE ASSURANCE SOCIETY OF THE UNITED STATES
(Exact Name of Registrant)
--------------------------
THE EQUITABLE LIFE ASSURANCE SOCIETY OF THE UNITED STATES
(Name of Depositor)
1290 Avenue of the Americas, New York, New York 10104
(Address of Depositor's Principal Executive Offices)
Depositor's Telephone Number, including Area Code: 1-(800) 248-2138
--------------------------
MARY P. BREEN
VICE PRESIDENT AND ASSOCIATE GENERAL COUNSEL
The Equitable Life Assurance Society of the United States
1290 Avenue of the Americas, New York, New York 10104
(Names and Addresses of Agents for Service)
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Please send copies of all communications to:
PETER E. PANARITES
Freedman, Levy, Kroll & Simonds
1050 Connecticut Avenue, N.W., Suite 825
Washington, D.C. 20036
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<PAGE>
Approximate Date of Proposed Public Offering: Continuous
It is proposed that this filing will become effective (check
appropriate box):
[X] Immediately upon filing pursuant to paragraph (b) of Rule 485.
[ ] On May 1, 1998 pursuant to paragraph (b) of Rule 485.
[ ] 60 days after filing pursuant to paragraph (a)(1) of Rule 485.
[ ] On (date) pursuant to paragraph (a)(1) of Rule 485.
[ ] 75 days after filing pursuant to paragraph (a)(2) of Rule 485.
[ ] On (date) pursuant to paragraph (a)(3) of Rule 485.
If appropriate, check the following box:
[ ] This post-effective amendment designates a new effective date for
previously filed post-effective amendment.
Title of Securities Being Registered:
Units of interest in separate account under variable annuity contracts.
-----------------------------
<PAGE>
NOTE
This Post Effective Amendment No. 30 ("PEA") to the Form N-4 Registration
Statement No. 2-74667 ("Registration Statement") of The Equitable Life
Assurance Society of the United States and its Separate Account No. 301 is
being filed soley for the purpose of filing electronically in Edgarized form,
the exhibits listed under Part C. All of such exhibits were previously filed
with the Registration Statement in paper format. The PEA does not amend or
delete any other part of the Registration Statement.
<PAGE>
PART C
OTHER INFORMATION
-----------------
Item 24. Financial Statements and Exhibits
(b) Exhibits.
The following exhibits are refiled herewith in EDGAR format:
1. (a) Resolutions of the Board of Directors of The Equitable Life
Assurance Society of the United States ("Equitable")
authorizing the establishment of the Registrant, previously
filed with this Registration Statement No. 2-74667 on
September 19, 1986, refiled electronically herewith.
3. (a) Form of Sales Agreement, previously filed with this
Registration Statement No. 2-74667 on September 19, 1986,
refiled electronically herewith.
(b) Sales Agreement among Equitable, Separate Account No. 301
and Equitable Variable Life Insurance Company, as principal
underwriter for The Hudson River Trust, previously filed
with this Registration Statement No. 2-74667 on April 29,
1993, refiled electronically herewith.
C-1
<PAGE>
(c) Distribution and Servicing Agreement among Equico
Securities, Inc.,(now EQ Financial Consultants, Inc.),
Equitable and Equitable Variable dated as of May 1, 1994,
previously filed with this Registration Statement No.
2-74667 on April 4, 1995, refiled electronically herewith.
(d) Distribution Agreement by and between The Hudson River
Trust and Equico Securities Inc., (now EQ Financial
Consultants, Inc.), dated as of January 1, 1995, previously
filed with this Registration Statement No. 2-74667 on April
4, 1995, refiled electronically herewith.
(e) Sales Agreement among Equico Securities Inc., (now EQ
Financial Consultants, Inc.), Equitable and Equitable's
Separate Account A, Separate Account No. 301 and Separate
Account No. 51 dated as of January 1, 1995, previously
filed with this Registration Statement No. 2-74667 on April
4, 1995, refiled electronically herewith.
4. (a) (1) Form of group variable annuity contract, as amended
(TSA), previously filed with this Registration
Statement No. 2-74667 on April 24, 1987, refiled
electronically herewith.
(2) Rider No. PF 94,177 to group variable annuity contract,
as amended (TSA), previously filed with this
Registration Statement No. 2-74667 on April 15, 1988,
refiled electronically herewith.
(b) (1) Form of group variable annuity certificate, as amended
(TSA), previously filed with this Registration
Statement No. 2-74667 on April 24, 1987, refiled
electronically herewith.
(2) Rider No. PF 94,178 to group variable annuity
certificate, as amended (TSA), previously filed with
this Registration Statement No. 2-74667 on April 15,
1988, refiled electronically herewith.
(c) (1) Rider No. PF 94,189 to group variable annuity contract,
as amended (TSA), previously filed with this
Registration Statement No. 2-74667 on April 17, 1990,
refiled electronically herewith.
(2) Rider No. PF 94,188 to group variable annuity
certificate, as amended (TSA), previously filed with
this Registration Statement. No. 2-74667 on April 17,
1990, refiled electronically herewith.
(d) (1) Form of group variable annuity contract, as amended
(IRA), previously filed with this Registration
Statement No. 2-74667 on April 24, 1987, refiled
electronically herewith.
(2) Rider No. PF 96,000 to group variable annuity contract,
as amended (IRA), previously filed with this
Registration Statement No. 2-74667 on April 15, 1988,
refiled electronically herewith.
(3) Rider No. PF 10,000 to group variable annuity contract,
as amended (IRA), previously filed with this
Registration Statement No. 2-74667 on December 14,
1993, refiled electronically herewith.
(e) (1) Form of group variable annuity contract, as amended
(IRA), previously filed with this Registration
Statement No. 2-74667 on April 24, 1987, refiled
electronically herewith.
(2) Rider No. PF 96,100 to group variable annuity
certificate, as amended (IRA), previously filed with
this Registration Statement No. 2-74667 on April 15,
1988, refiled electronically herewith.
C-2
<PAGE>
(3) Rider No. PF 10,001 to group variable annuity
certificate, as amended (IRA), previously filed with
this Registration Statement No. 2-74667 on December 14,
1993, refiled electronically herewith.
(f) Plan of Operations, as amended, previously filed with this
Registration Statement No. 2-74667 on April 24, 1987,
refiled electronically herewith.
5. (a) Form of application for group variable annuity contract, as
amended (TSA), previously filed with this Registration
Statement No. 2-74667 on April 15, 1988, refiled
electronically herewith.
(b) Form of participant enrollment for group variable annuity
contract, as amended (IRA), previously filed with this
Registration Statement No. 2-74667 on April 15, 1988,
refiled electronically herewith.
C-3
<PAGE>
8. (a) Agreement, dated as of March 15, 1985, between Integrity
Life Insurance Company ("Integrity") and Equitable for
cooperative and joint use of personnel, property and
services, previously filed with this Registration Statement
No. 2-74667 on September 19, 1986, refiled electronically
herewith.
(b) Administration and Servicing Agreement, dated as of May 1,
1987, by and between Equitable and Integrity, previously
filed with this Registration Statement No. 2-74667 on May
4, 1987, refiled electronically herewith.
(c) Amendment, dated September 30, 1988, to Administration and
Servicing Agreement by and between Equitable and Integrity,
previously filed with this Registration Statement No.
2-74667 on April 19, 1989, refiled electronically herewith.
9. (a) Opinion of Hebert P. Shyer, Executive Vice President and
General Counsel of Equitable, previously filed with this
Registration Statement No. 2-74667 on November 6, 1983,
refiled electronically herewith.
(b) Opinion of Hebert P. Shyer, Executive Vice President and
General Counsel of Equitable, as to the legality of the
securities being registered, previously filed with this
Registration Statement No. 2-74667 on April 24, 1987,
refiled electronically herewith.
C-4
<PAGE>
SIGNATURES
As required by the Securities Act of 1933 and the Investment Company
Act of 1940, the Registrant certifies that it meets the requirements of
Securities Act Rule 485(b) for effectiveness of this amended Registration
Statement and has caused this amended Registration Statement to be signed on
its behalf in the City and State of New York, on this 3rd day of August,1998.
SEPARATE ACCOUNT NO. 301 OF
THE EQUITABLE LIFE ASSURANCE
SOCIETY OF THE UNITED STATES
(Registrant)
By: The Equitable Life Assurance
Society of the United States
By: /s/ Maureen K. Wolfson
---------------------------
Maureen K. Wolfson
Vice President
<PAGE>
SIGNATURES
As required by the Securities Act of 1933 and the Investment Company
Act of 1940, the Depositor has duly caused this Registration Statement or
amendment thereto to be signed on its behalf, in the City and State of New York,
on this 3rd day of August, 1998.
THE EQUITABLE LIFE ASSURANCE
SOCIETY OF THE UNITED STATES
(Depositor)
By: /s/ Maureen K. Wolfson
--------------------------
Maureen K. Wolfson
Vice President
The Equitable Life Assurance
Society of The United States
As required by the Securities Act of 1933 and the Investment Company
Act of 1940, this Registration Statement or amendment thereto has been signed
by the following persons in the capacities and on the date indicated:
PRINCIPAL EXECUTIVE OFFICERS:
Edward D. Miller Chairman of the Board, Chief Executive
Officer and Director
Michael Hegarty President, Chief Operating Officer
and Director
PRINCIPAL FINANCIAL OFFICER:
Stanley B. Tulin Vice Chairman of the Board, Chief
Financial Officer and Director
PRINCIPAL ACCOUNTING OFFICER:
/s/ Alvin H. Fenichel
- ---------------------
Alvin H. Fenichel Senior Vice President and
August 3, 1998 Controller
DIRECTORS:
Francoise Colloc'h Donald J. Greene George T. Lowy
Henri de Castries John T. Hartley Edward D. Miller
Joseph L. Dionne John H.F. Haskell, Jr. Didier Pineau-Valencienne
Denis Duverne Michael Hegarty George J. Sella, Jr.
William T. Esrey Mary R. (Nina) Henderson Stanley B. Tulin
Jean-Rene Fourtou W. Edwin Jarmain Dave H. Williams
Norman C. Francis G. Donald Johnston, Jr.
By: /s/ Maureen K. Wolfson
----------------------
Maureen K. Wolfson
Attorney-in-Fact
August 3rd, 1998
<PAGE>
EXHIBIT INDEX
EXHIBIT NO. PAGE NO.
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1.(a) Resolution of the Board of Directors of Equitable
authorizing establishment of the Registrant.
3.(a) Form of Sales Agreement.
3.(b) Sales Agreement among Equitable, Separate Account 301
and Equitable Variable Life Insurance Company.
3.(c) Distribution and Servicing Agreement dated May 1, 1994
among Equico Securities, Inc., (now EQ Financial
Consultants, Inc.), Equitable, and Equitable Variable.
3.(d) Distribution Agreement dated January 1, 1995 among the
Hudson River Trust and Equico Securities (now EQ Financial
Consultants, Inc.).
3.(e) Sales Agreement dated January 1, 1995 among Equitable and
Equitable's Separate Accounts A, No. 301 and No. 51.
4.(a)(1) Form of group variable annuity contract, as amended (TSA).
4.(a)(2) Rider to group variable annuity contract, as amended (TSA).
4.(b)(1) Form of group variable annuity certificate, as amended (TSA).
4.(b)(2) Rider No. PF 94,178 to group variable annuity
certificate, as amended (TSA).
4.(c)(1) Rider No. PF 94,189 to group variable annuity contract,
as amended (TSA).
4.(c)(2) Rider No. PF 94,188 to group variable annuity
certificate, as amended.
4.(d)(1) Form of group variable annuity contract, as amended (IRA).
4.(d)(2) Rider No. PF 96,000 to group variable annuity contract,
as amended (IRA).
4.(d)(3) Rider No. PF 10,000 to group variable annuity contract,
as amended (IRA).
4.(e)(1) Form of group variable annuity certificate (IRA).
4.(e)(2) Rider No. PF 96,100 to group variable annuity
certificate, (IRA).
4.(e)(3) Rider No. PF 10,001 to group variable annuity
certificate, as amended (IRA).
4.(f) Plan of operations, as amended.
5.(a) Form of application for group variable annuity contract,
as amended (IRA).
5.(b) Form of participant enrollment for group variable
annuity contract, as amended (IRA).
8.(a) Agreement dated as of March 15, 1985 between Integrity
Life Insurance Company and Equitable.
8.(b) Administration and Servicing Agreement between Equitable
and Integrity, dated as of May 1, 1987.
8.(c) Amendment to Administration and Servicing Agreement
dated as of September 30, 1988 between Equitable and
Integrity.
9.(a) Opinion of Herbert P. Shyer, Executive Vice President
and General Counsel of Equitable.
9.(b) Opinion of Hebert P. Shyer, Executive Vice President and
General Counsel of Equitable as to the legality of the
securities being registered.
<PAGE>
OFFICIAL NOTICE
Res. No. B111-81 adopted
by
Board of Directors
October 15, 1981
/s/ R. L. Enochs
---------------------
R. L. Enochs
Vice President and
Secretary
RESOLUTION RE GROUP IRA BUSINESS
-----------------
WHEREAS, pursuant to authority granted by Resolution No. 21-69 adopted by
the Board of Directors on April 17, 1969, certain officers of The Equitable,
including the Chief Investment Officer, are authorized to establish any and
all separate accounts deemed by such officers to be necessary or desirable
for The Equitable's authorized annuity business; and
WHEREAS, Senior Executive Vice President Attwood, by his concurrence in a
memorandum to him from Senior Vice President J. Gary Burkhead dated October
7, 1981, a copy of which has been presented to this Board and is filed with
the records of this meeting, has recommended that authority be granted (i) to
create separate accounts referred to in such memorandum, (ii) to establish
Committees for such separate accounts pursuant to Section 227(6) of the
Insurance Law of the State of New York, (iii) to indemnify the members of the
Committees for such separate accounts, and (iv) to take further action with
respect to such separate accounts similar to that taken or authorized by the
Board of Directors with respect to Separate Account A;
NOW, THEREFORE, BE IT
RESOLVED, That, pursuant to Section 227 of the Insurance Law of the State
of New York, authority is hereby given to establish separate accounts for The
Equitable's authorized annuity business as set forth in the memorandum of
Senior Vice President J. Gary Burkhead dated October 7, 1981;
FURTHER RESOLVED, That, pursuant to Section 227(6) of the Insurance Law of
the State of New York, authority is hereby granted to the Chairman of the
Board, the President or Executive Vice President and Chief Investment Officer
to establish Committees for such separate accounts and to designate the
initial members thereof each of whom shall serve until the first meeting of
persons having voting rights in respect of the separate account, as provided
in its rules and regulations, and until his or her successor shall qualify,
and thereafter the members of the Committee shall be elected by such persons;
FURTHER RESOLVED, That, pursuant to Section 5.5 of the By-Laws of The
Equitable, as amended, in consideration of each member's agreement to serve
as a member of the Committees for such separate accounts at The Equitable's
request and because of The Equitable's interest in those separate accounts,
The Equitable shall indemnify, to the extent permitted by the law of the
State of New York and subject to all applicable requirements thereof, any
person made or threatened to be made a party to any action or proceeding
whether civil or criminal by reason of the fact that that person or that
person's testator or intestate is or was a member of said Committee; and
FURTHER RESOLVED, That authority is hereby granted to take all further
necessary or desirable action in connection with the establishment or
operation of those separate accounts or the sale of agreements providing for
allocation of amounts to such separate accounts, including all such action
similar to that taken or authorized pursuant to Resolution No. 35-68 adopted
by the Board of Directors on July 18, 1968, with respect to Separate Account
A.
<PAGE>
OFFICIAL NOTICE
Res. No. B41-82 adopted
by
Board of Directors
April 15, 1982
Vice President and
Secretary
RESOLUTION RE APPROVAL
OF SEPARATE ACCOUNTS
WHEREAS, by Resolution No. 111-81 adopted by the Board of Directors on
October 15, 1981, authority was given to establish a series of separate
accounts pursuant to Section 227 of the Insurance Law of the State of New
York to serve as funding vehicles for a Group Individual Retirement Account
(IRA) product;
WHEREAS, Senior Vice President Attwood, by his concurrence in a memorandum
to him from Executive Vice President J. Gary Burkhead dated April 14, 1982, a
copy of which has been presented to the Board and is filed with the records
of this meeting, has recommended that authority be granted:
(i) to expand the series of separate accounts established pursuant to
Resolution No. 111-81 to serve as funding vehicles for other
tax-favored markets, such as tax sheltered annuities authorized under
Section 403(b) of the Internal Revenue Code, as amended (the "Code");
public employee deferred compensation plans under Section 457 of the
Code; and small HR-10 plans under Section 401 of the Code;
(ii) to create a parallel series of separate accounts to be used as
funding vehicles for non-tax favored deferred variable annuities,
said separate accounts to have similar investment policies to the
accounts for the tax-favored markets;
(iii) to create new separate accounts in each series, and for the
qualified plan market, to invest in a diversified portfolio of debt
securities or other investments selected to accord with the terms of
an Equitable minimum guarantee;
(iv) to establish Committees for separate accounts pursuant to
Section 227(6) of the Insurance Law of the State of New York;
(v) to indemnify the members of the Committees for such separate
accounts;
(vi) to take further action with respect to such separate accounts
similar to that taken or authorized by the Board of Directors with
respect to Separate Account A;
(vii) to extend the present authorization for systems expenditure and
indemnifications authorized in Resolution Nos. 136-81 and 25-82
adopted by the Board on December 17, 1981 and March 18, 1982,
respectively, to cover the new uses for the separate accounts; and
<PAGE>
WHEREAS, Executive Vice President J. Gary Burkhead has recommended in his
memorandum dated April 14, 1982 that the Board approve the use of the
Schedule K82 rates of commissions and service fees for any pension contract
funded by a series of separate accounts referred to in said memorandum;
NOW, THEREFORE, BE IT
RESOLVED, that the series of separate accounts established pursuant to
Resolution No. 111-81 may serve as funding vehicles for additional group
tax-favored markets as set forth in the memorandum of Executive Vice
President J. Gary Burkhead, dated April 14, 1982;
FURTHER RESOLVED, that, pursuant to Section 227 of the Insurance Law of
the State of New York, authority is hereby given to establish a new series of
separate accounts for non-tax favored variable annuities for The Equitable's
authorized annuity business as set forth in the memorandum of Executive Vice
President J. Gary Burkhead, dated April 14, 1982;
FURTHER RESOLVED, that, pursuant to Section 227 of the Insurance Laws of
the State of New York, authority is hereby given to establish new separate
accounts to fund contracts providing for minimum guarantees as set forth in
the memorandum of Executive Vice President J. Gary Burkhead dated April 14,
1982;
FURTHER RESOLVED, that, pursuant to Section 227(6) of the Insurance Law of
the State of New York, authority is hereby granted to the Chairman of the
Board, the President or Senior Executive Vice President and Chief Investment
Officer to establish Committees for the separate accounts, and to designate
the initial members thereof, each of whom shall serve until the first meeting
of persons having voting rights in respect to said separate accounts, as
provided in their respective rules and regulations, and until his or her
successor shall qualify and, thereafter, the members of said Committees shall
be elected by such persons;
FURTHER RESOLVED, that, pursuant to Section 5.5 of the By-Laws of The
Equitable, as amended, in consideration of each member's agreement to serve
as a member of the Committees for such separate accounts at The Equitable's
request and because of The Equitable's interest in those separate accounts,
The Equitable shall indemnify, to the extent permitted by the law of the
State of New York and subject to all applicable requirements thereof, any
person made or threatened to be made a party to any action or proceeding
whether civil or criminal by reason of the fact that that person or that
person's testator or intestate is or was a member of said Committees;
<PAGE>
FURTHER RESOLVED, that authority is hereby granted to take all further
necessary or desirable action in connection with the establishment or
operation of those separate accounts or the sale of agreements providing for
allocation of amounts to such separate accounts, including all such action
similar to that taken or authorized pursuant to Resolution No. 35-68 adopted
by the Board of Directors on July 18, 1968 with respect to Separate Account
A;
FURTHER RESOLVED, that the authority granted by Resolution Nos. 136-81 and
25-82 adopted by the Board on December 17, 1981 and March 18, 1982,
respectively, be expanded as set forth in the memorandum of Executive Vice
President J. Gary Burkhead dated April 15, 1982; and
FURTHER RESOLVED, that, upon the recommendation of Executive Vice
President J. Gary Burkhead as set forth in his memorandum dated April 14,
1982, the Board of Directors hereby approves the use of the Schedule K82
rates of commissions and service fees under pension contracts for individual
tax-deductible contributions by Resolution No. 135-81 adopted by the Board of
Directors on December 17, 1981 for any pension contract funded by a series of
separate accounts for use in connection with the group pension tax-favored,
tax-qualified or non-favored products referred to in the memorandum. The
appropriate officers are hereby authorized to give effect to such commissions
and service fees as soon as practicable subject to obtaining any required
approval of regulatory authorities.
<PAGE>
[EQUITABLE LOGO]
J. GARY BURKHEAD
Senior Vice President
Pension Operations
DATE: October 7, 1981
FOR: James A. Attwood
Executive Vice President and
Chief Investment Officer
SUBJECT: Request for Board Authorization
to Establish New Separate Accounts
- -----------------------------------------------------------------------------
Pension Operations requests authorization from Equitable's
Board of Directors to establish new separate accounts to serve
as funding vehicles for a new Group Individual Retirement
Account (IRA) product. The new Group IRA product is being
designed as a facility for tax deductible contributions made
by employees outside of qualified plans, in accordance with
the Economic Recovery Tax Act of 1981. This product is to be
offered to individuals through employers and associations of
employers.
Because the IRA contributors will not be made under a
qualified plan, each of the separate accounts used as a
funding vehicle fro the Group IRA product must be registered
with the SEC as an investment company. Therefore, I recommend
that we request authorization from the Board of Directors of
Equitable:
1. To create new separate accounts for the Group IRA
product. Initially, we propose establishing four new
separate accounts: a common stock account, a money
market account, a bond account, and a balanced account.
Additional accounts may be created later.
2. To establish Committees for the new separate accounts,
and to indemnify their members.
3. To take further actions in the operation of these
accounts, similar to those previously authorized by the
Board for other registered separate accounts (pursuant
to the resolution authorizing Separate Account A), that
include: the operation of the accounts by the appointed
Committees, filings under Federal and state securities
laws, and any appropriate applications for exemptions
from the Investment Company Act.
The attached Board Resolution provides for the requested
authority.
/s/ J. Gary Burkhead
-----------------------
J. Gary Burkhead
JGB: JR
Enclosure
<PAGE>
[EQUITABLE LOGO]
J. GARY BURKHEAD
Executive Vice President
Pension Operations
DATE: April 14, 1982
FOR: James A. Attwood,
Senior Executive Vice President
& Chief Investment Officer
SUBJECT: Extension of the Participant Package
- -----------------------------------------------------------------------------
The Equitable introduced last January a group pension
package of new separate accounts to serve the newly expanded
IRA market. Employers collect employee contributions through
payroll deductions, and participant-level record-keeping is
provided through computer systems of an outside vendor.
The Internal Revenue Code now provides a number of other
provisions conveying tax benefits for individual savings,
ranging from the long-familiar tax-sheltered annuities and
voluntary employee contributions under qualified plans to such
relatively recent developments as deferred compensation plans
for public employees (Section 457) and Section 401(k) plans
for private employees. The use of such provisions can be
expected to grow rapidly in this decade: there is a growing
national attention to the need for individual retirement
savings, arising from awareness that the population is aging,
that Social Security cannot be expanded further, and that
capital formation must be increased.
The group IRA participant package is a natural concept to
extend to all of these uses wherever the employer will provide
the key administrative link of distributing information and
collecting through payroll deduction.
Accordingly, we wish to extend the group IRA participant
package to other tax-favored markets, including appropriate
qualified plan vehicles, and to a corresponding facility for
deferred variable annuities supplemental to the tax-favored
packages. This requires Board approval to use IRA separate
accounts in other tax-favored markets apart from qualified
plans (for which existing separate accounts can be used) and
to establish a parallel series of separate accounts for
deferred variable annuities.
Further, specific Board approval should be obtained for
creating a new separate account in each series of the
participant package to serve as a vehicle for a new style of
interest guarantee.
<PAGE>
Extension of the Participant Package Page -2-
As with the present group IRA product, the participant package will be
only for what are, in effect, employee contributions, collected by employers
through payroll deductions. Similarly, participant-level record-keeping will
be conducted by one or more outside vendors; amounts presently authorized for
EDP work on the IRA product are expected to cover the costs of adapting
existing systems to these new uses, but Board approval should be obtained for
that new use of those funds. The corporate IRA program commission scale will
be applied to these extensions of the participant package. Implementation of
these extensions is conditioned upon suitable clearances from the New York
Insurance Department, the Securities and Exchange Commission, and the
Internal Revenue Service.
The accompanying resolution sets forth these several approvals. May I have
your approval to submit this to the Board?
/s/ J. Gary Burkhead
------------------------
J. Gary Burkhead
Executive Vice President
<PAGE>
FORM OF SALES AGREEMENT
AGREEMENT, dated as of , 1986 by and among Integrity Life Insurance
Company ("Integrity"), ("Insurer") and Separate Account of
(the "Separate Account").
W I T N E S S E T H:
WHEREAS, Integrity is a principal underwriter of Harmony Investment Trust
(the "Trust"), a series mutual fund whose shareholders are separate accounts
of insurance companies pursuant to a Distribution Agreement dated as of
, 1986 ("Distribution Agreement");
WHEREAS, such insurance companies issue, among other products, variable
life insurance and annuity products ("Variable Products") under which
contributions are allocated to such separate accounts for investment in the
Trust, and shares of the Trust are not sold except in connection with such
Variable Products;
<PAGE>
-2-
WHEREAS, the Trust is registered as an open-end investment company under
the Investment Company Act of 1940 (the "1940 Act");
WHEREAS, the Trust may designate in its sole discretion that certain
portfolios are limited to certain types of Variable Products or to a single
insurer and its affiliates;
WHEREAS, Insurer issues [type of variable products] ("Certificates"),
under which contributions are allocated to the investment divisions of the
Separate Account, which constitute Variable Products as contemplated by this
Agreement, and which are eligible for investment in the Trust's portfolios
("Funds") generally available for [type of variable product] or dedicated to
Insurer and its affiliates;
WHEREAS, Insurer and Integrity are each registered as a broker-dealer
under the Securities Exchange Act of 1934 ("1934 Act") and each is a member
of the National Association of Securities Dealers, Inc. ("NASD");
WHEREAS, Insurer may in the future issue other Variable Products under
which contributions or premiums are allocated to the Separate Account or
other separate accounts;
WHEREAS, Insurer may in the future issue other Variable Products under
which contributions or premiums are allocated to the Separate Account or
other separate accounts;
<PAGE>
-3-
NOW THEREFORE, Integrity, Insurer and the Separate Account hereby agree as
follows:
1. Integrity will make available to the Separate Account shares of all
Funds available for [type of variable product] for investment of
contributions under the Certificates. The Funds currently generally available
for [type of variable products] or dedicated to Insurer and its affiliates
are set forth in Schedule A hereto. Integrity will promptly notify Insurer of
new Funds made generally available into which contributions under the Funds
may be invested.
2. Purchases and redemptions of shares will be at net asset value for the
appropriate Fund, next computed as set forth in the most recent Trust
prospectus and Statement of Additional Information (respectively, "Trust
Prospectus" and "SAI") and any supplements thereto, and shall be submitted to
the Trust's transfer agent pursuant to procedures forwarded from time to time
by Integrity.
3. Orders for shares must be accompanied by payment therefor in
immediately available funds unless other procedures for payment are specified
by Integrity upon 90 days' notice and agreed to by Insurer. Orders for
redemption will be settled by payment in immediately available funds unless
other procedures for payment are specified by Insurer upon 90 days' notice
and agreed to by Integrity.
<PAGE>
-4-
4. (a) In good faith and as soon as practicable, Integrity will provide at
Trust expense camera ready copy of the current Trust Prospectus and SAI and
any supplements thereto for printing and distribution by Insurer with the
prospectus for the Certificates. Integrity will also provide camera ready
copy of Trust proxy materials and semi-annual reports, and any supplements
thereto. Integrity will use its best efforts to coordinate with Insurer and
to provide notice of anticipated filings or supplements. Insurer is not
authorized (i) to give any information or make any representations concerning
the Trust, its shares or operations except those contained in the most recent
Trust Prospectus and SAI and any supplements thereto, or (ii) to use any
sales literature or advertising mentioning the Trust (including brochures,
letters, illustrations and other similar materials, whether transmitted
directly to potential applicants or published in print or audio-visual
media), except in either case as Integrity, on behalf of the Trust, may
authorize in writing in advance, which authorization will not be unreasonably
withheld.
Integrity will furnish Insurer from time to time such information with
respect to the Trust and its shares as Insurer may reasonably request. At
reasonable times and upon reasonable notice to the Trust, the Insurer shall
have the
<PAGE>
-5-
right, except as stated below, to inspect, at its own expense, the trust's
books, records and accounts presented and maintained in accordance with
federal securities laws and such additional information regarding the Trust's
financial condition and operations (including, with the consent of such
auditors, the workpapers of the Trust's independent auditors), as Insurer may
reasonably request. In addition, Integrity shall furnish Insurer upon request
copies of the Trust's registration statement and all amendments and exhibits
thereto and periodic reports filed with the Securities and Exchange
Commission under the 1940 Act. Insurer acknowledges that certain books,
records, accounts and documents which Insurer may otherwise inspect pursuant
to this paragraph may contain confidential information with respect to the
Trust or its advisers, underwriters or shareholders, and Insurer agrees that
the Board of Trustees of the Trust may withhold any book, record, account,
document or other information or part thereof containing information
determined to be confidential in the sole discretion of the Trust's Board of
Trustees.
(b) Integrity will indemnify and hold harmless Insurer and the Separate
Account against any losses, claims, damages or liabilities, to which Insurer
or the Separate Account may become subject, insofar as such losses, claims,
damages or liabilities (or actions in respect thereof) arise out of or are
based upon any untrue statement or alleged untrue statement of any material
fact contained in the Trust
<PAGE>
-6-
Prospectus and/or SAI or any supplements thereto, or arise out of or are
based upon the omission or alleged omission to state therein a material fact
required to be stated therein or necessary to make the statements therein not
misleading; and will reimburse Insurer or the Separate Account for any legal
or other expenses reasonably incurred by it in connection with investigating
or defending against such loss, claim, damage, liability or action; provided,
however, that Integrity shall not be liable in any such case to the extent
that any such loss, claim, damage or liability arises out of or is based upon
an untrue statement or alleged untrue statement or omission or alleged
omission made in the Trust Prospectus and/or SAI or any such supplement in
good faith reliance upon and in conformity with written information furnished
by Insurer specifically for use in the preparation thereof.
Integrity shall not indemnity Insurer or the Separate Account for any
action where an applicant for the Certificates was not furnished or sent or
given, at or prior to written confirmation of the sale of the Certificate, a
copy of the prospectus relating to the Certificates together with the Trust
Prospectus, any supplements to the Trust Prospectus Integrity may furnish to
Insurer and, if requested by the applicant from the Insurer, the Trust SAI
and any supplements thereto.
<PAGE>
-7-
5. (a) Insurer shall report to Integrity for communication to the Board of
the Trust any conflict or potential for conflict known to Insurer or which
reasonably should be known to Insurer between the interests of the
policyowners in the Separate Account and the interests of policyowners in the
separate accounts of other insurance companies investing in the Trust and
shall assist the Board of the Fund in carrying out its responsibilities with
respect to such conflicts.
An irreconcilable material conflict may arise, inter alia, from:
(i) an action by a state insurance regulatory authority;
(ii) a chance in applicable insurance laws or regulations;
(iii) a tax ruling or provision of the Internal Revenue Code or the
regulations thereunder;
(iv) any other development relating to the tax treatment of insurance
companies, certificate or contract owners or beneficiaries of Variable
Products;
<PAGE>
-8-
(v) the manner in which a Fund is being invested;
(vi) differences in voting instructions given by owners of different
types of Variable Products; or
(vii) a decision by an insurance company to override instructions of its
certificate or contract owners with respect to Fund shares.
(b) Insurer shall at its expense take any steps determined to be necessary
by the Board of the Trust to eliminate any material irreconcilable conflict
determined to exist by the Board of the Trust, including, but not limited to,
(i) withdrawing the assets (in cash and/or securities, as determined by the
Trustees) allocable to the Separate Account from the Trust or any of the
Funds and reinvesting such assets in a different medium, including another
Fund of the Trust, or submitting the question whether such segregation should
be implemented to a vote of all affected certificate or contract owners and,
as appropriate, segregating the assets of the certificate or contract owners
of different types of Variable Products or all the certificate or contract
owners of the Separate Account or of the Insurer that vote in favor of such
segregation, or offering to the affected certificate or contract owners the
option of making such a change, and
<PAGE>
-9-
(ii) establishing a new registered management investment company or managed
Separate Account. The determination of the Trust's Board will be conclusive
and in no event will the Trust or Integrity be required to establish a new
funding medium for Variable Products issued by Insurer. Nevertheless, Insurer
shall not be required to establish a new funding medium for Variable Products
in accordance with this section if an offer to do so has been declined by a
majority of the affected certificate or contract owners. Moreover, Insurer
will be assisted by Integrity in taken any actions required pursuant to this
paragraph to minimize disruption of the certificate or contract owners or
depression of the value of the assets of the Variable Products affected. Any
procedures with respect to the resolution of conflicts adopted by the Trust's
Board of Trustees shall be incorporated herein by reference.
(c) Integrity shall promptly inform the Insurer of (i) any determination
by the Trust's Board of the existence of an irreconcilable material conflict
involving any other insurance company and the implications of such conflict
and (ii) any other circumstances which come to its attention which might
result in termination of the offering of shares of the Trust or any of the
Funds to the Separate Account.
(d) Insurer shall, in connection with its obligations and those of the
Separate Account hereunder, comply with applicable law including state
insurance law. Insurer
<PAGE>
-10-
represents that it has taken all actions required to authorize investment by
the Separate Account in the Trust and that no objection raised by the
appropriate state insurance regulatory authorities to the terms of such
investment remains unresolved on the date hereof.
(e) Integrity shall inform Insurer in advance of all regular meetings of
the Trust's Board of Trustees. Insurer may, upon reasonable notice, request
permission to be present at a regular meeting or make a presentation to the
Board of Trustees of the Trust. Permission to so appear shall not be
unreasonably withheld.
6. The Insurer will provide certificate and contractowners with voting
privileges with respect to Trust shares attributable to the Certificate
consistent with all other separate accounts investing in the Trust.
Pass-through voting privileges will be calculated with reference to the number
of shares of the Trust attributable to a particular certificate or contract.
Insurer will vote its own shares of each Fund and shares for which no
instructions have been received in the same proportion as instructions
received for that Fund.
7. This Agreement shall terminate automatically if it shall be assigned.
<PAGE>
-11-
8. This Agreement may be terminated at any time on two years' written
notice to the other party hereto, without the payment of any penalty, by
Insurer or Integrity.
9. This Agreement shall terminate automatically if the Distribution
Agreement shall terminate.
10. This Agreement shall be subject to the provisions of the 1940 Act and
the 1934 Act and the rules, regulations, and rulings thereunder and of the
NASD, from time to time in effect, including such exemptions from the 1940
Act as the Securities and Exchange Commission ("SEC") may grant, and the
terms hereof shall be interpreted and construed in accordance therewith.
Without limiting the generality of the foregoing, the term "assigned" shall
not include any transaction exempt from section 15(b)(2) of the 1940 Act by
order or rule of the SEC or any transactions as to which the staff of the SEC
has taken a no-action position.
Insurer shall, in connection with its obligations hereunder, comply with
all laws and regulations, whether Federal or state, and whether relating to
insurance, securities or other general areas, including but not limited to
the recordkeeping and sales supervision requirements of such laws and
regulations.
<PAGE>
-12-
Integrity shall immediately notify Insurer of the issuance by any
regulatory body of any stop order with respect to the Trust Prospectus or SAI
or the initiation of any proceeding for that purpose or for any other purpose
relating to the registration or an offering of shares of the Trust and of any
other action or circumstances that may prevent the lawful offer or sale of
shares of the Trust in any state or jurisdiction.
11. Insurer shall submit to all regulatory and administrative bodies
having jurisdiction over the operations of Integrity or the Trust, present or
future, any information, reports or other material which any such body by
reason of this Agreement may request or require pursuant to applicable laws
or regulations.
12. Insurer retains the ultimate right of control over, and responsibility
for, marketing the Certificate.
13. Integrity represents that neither Integrity nor any person employed in
any material connection with respect to the services provided pursuant to
this Agreement:
(a) Within the last 10 years has been convicted of any felony or
misdemeanor arising out of conduct involving embezzlement, fraudulent
conversion, or misappropriation of funds or securities, or involving
violations of Section 1341, 1342, or 1343 of Title 18, United States
Code; or
<PAGE>
-13-
(b) Within the last 10 years has been found by any state regulatory
authority to have violated or has acknowledged violation of any provisions of
any state insurance law involving fraud, deceit or knowing misrepresentation;
or
(c) Within the last 10 years has been found by any federal or state
regulatory authorities to have violated or have acknowledged violation of any
provision of federal or state securities laws involving fraud, deceit or
knowing misrepresentation.
14. Integrity and Insurer each represent that no commission or other fee
shall be charged or paid to any person or entity in connection with the sale
or purchase of the Trust's shares to or from the Separate Account, other than
regular salary or wages.
Integrity represents that it has entered into no more favorable agreement
for purchase and sale of Trust shares with any other insurer. In the event
that Integrity enters into any such agreement, Integrity agrees to offer the
same terms to Insurer.
Integrity also agrees that, if Insurer issues Certificate under which
contributions are allocated to separate accounts other than the Separate
Account and which constitute Variable Products as contemplated by this
Agreement,
<PAGE>
-14-
Integrity will at Insurer's request enter into an agreement with Insurer and
the other separate account having terms substantially identical to those of
this Agreement.
IN WITNESS WHEREOF, the parties hereto have caused this Agreement to be
duly executed as of the day and year first above written.
Date: , 1986
--------------
INTEGRITY LIFE INSURANCE
COMPANY
Attest:
By:
- ------------------------------- ------------------------------
Secretary Vice President
[INSURER]
Attest:
By:
- ------------------------------- ------------------------------
Secretary
SEPARATE ACCOUNT OF
--------
[INSURER]
Attest:
By:
- ------------------------------- ------------------------------
Secretary
<PAGE>
SALES AGREEMENT
AGREEMENT, dated as of July 22, 1992, by and among Equitable Variable Life
Insurance Company ("Equitable Variable"), The Equitable Life Assurance
Society of the United States ("Equitable"), and Equitable's Separate Account
No. 301 (the "Separate Account").
W I T N E S S E T H:
WHEREAS, Equitable Variable is a principal underwriter of the The Hudson
River Trust (the "Trust"), a series mutual fund whose shareholders are
separate accounts ("Eligible Separate Accounts") of insurance companies
("Participating Insurance Companies"), pursuant to a Distribution Agreement
dated as of July 22, 1992 ("Distribution Agreement");
WHEREAS, such Participating Insurance Companies issue, among other
products, variable life insurance and annuity products ("Variable Products")
whose net premiums, contributions or other considerations are allocated to
Eligible Separate Accounts for investment in the Trust, and shares of the
Trust are not sold except in connection with such Variable Products;
<PAGE>
- 2 -
WHEREAS, the Trust is registered as an open-end investment company under
the Investment Company Act of 1940 (the "1940 Act");
WHEREAS, the Board of Trustees of the Trust may, in its sole discretion,
determine that certain portfolios shall be available only to certain types of
Variable Products or to a single insurer and its affiliates;
WHEREAS, Equitable issues Variable Products, whose net premiums are
allocated to the Separate Account, and which are eligible for investment in
the Trust's portfolios;
WHEREAS, Equitable will distribute the Variable Products, either directly
or indirectly through one or more affiliated or nonaffiliated broker-dealers
with whom Equitable has selling agreements;
WHEREAS, Equitable and Equitable Variable are each registered as a
broker-dealer under the Securities Exchange Act of 1934 (the "1934 Act") and
each is a member of the National Association of Securities Dealers, Inc. (the
"NASD");
WHEREAS, Equitable Variable and Equitable wish to define and describe the
conditions under which shares of the Trust will be made available for
investment by the Separate Account.
<PAGE>
- 3 -
NOW THEREFORE, Equitable Variable, Equitable and the Separate Account
hereby agree as follows:
1. The Board of Trustees of the Trust has adopted a Policy on Conflicts
(the "Policy"). This Agreement shall be subject to the provisions of the
Policy, the terms of which shall be incorporated herein by reference, made a
part hereof and controlling. The Policy may be amended or superseded, without
prior notice, and this Agreement shall be deemed amended to the extent the
Policy is amended or superseded. Equitable and the Separate Account each
represent and warrant that it will act in a manner consistent with such
Policy as so set forth and as it may be amended or superseded, so long as it
owns any Trust shares. This provision shall survive the termination of this
Agreement.
2. Equitable Variable will make available to the Separate Account shares
of the Trust's portfolios in connection with Variable Products funded by the
Separate Account only as set forth on Schedule A hereto. Schedule A may be
modified from time to time by written agreement of the parties;
3. Purchases and redemptions of shares will be at net asset value for the
appropriate portfolio, computed as set forth in the most recent Trust
prospectus and Statement of Additional Information (respectively, "Trust
Prospectus" and "SAI") and any supplements thereto, and shall be submitted by
Equitable to the
<PAGE>
- 4 -
Trust's transfer agent pursuant to procedures and in accordance with payment
provisions adopted by the parties from time to time.
Trust shares may not be sold or transferred except to an Eligible Separate
Account and only in accordance with Schedule A.
4. (a) In good faith and as soon as practicable, Equitable Variable will
provide at Trust expense camera ready copy of the current Prospectus and SAI
and any supplements thereto for printing and distribution by Equitable with
the prospectus for the Variable Products. Equitable Variable will also provide
camera ready copy of Trust proxy materials and semi-annual reports, and any
supplements thereto. Equitable Variable will use its best efforts to coordinate
with Equitable and to provide notice of anticipated filings or supplements.
Equitable may alter the form of the prospectus, SAI, semi-annual reports, proxy
statements or other Trust documents, with the prior approval of the Trust's
officers. Equitable shall bear all costs associated with such alteration of
form. Equitable is not authorized (i) to give any information or make any
representations concerning the Trust, its shares or operations except those
contained in the most recent Trust Prospectus and SAI and any supplements
thereto, or (ii) to use any description of the Trust in any sales literature or
advertising (including brochures, letters, illustrations and other similar
materials, whether transmitted directly to potential purchasers of Variable
<PAGE>
- 5 -
Products or published in print or audio-visual media), except in either case
as Equitable Variable of officers of the Trust may authorize in advance,
which authorization will not be unreasonably withheld or delayed.
Equitable shall indemnify and hold harmless Equitable Variable from any
and all losses, claims, damages or liabilities (or actions in respect
thereof) to which Equitable Variable may be subject, insofar as such losses,
claims, damages or liabilities (or actions in respect thereof) arise out of
or result from negligent, improper, fraudulent or unauthorized acts or
omissions by Equitable, its employees, agents or representatives, including
but not limited to improper solicitation of applications for Variable
Products.
(b) Equitable Variable will indemnify and hold harmless Equitable and the
Separate Account against any losses, claims, damages or liabilities, to which
Equitable or the Separate Account may become subject, insofar as such losses,
claims, damages or liabilities (or actions in respect thereof) arise out of
or are based upon (i) any untrue statement or alleged untrue statement of any
material fact contained in the Trust Prospectus and/or SAI or any
supplements' thereto, (ii) the omission or alleged omission to state any
material fact required to be stated in the Trust Prospectus and/or SAI or try
supplements thereto or necessary to make the statements therein not
misleading, or (iii) other misconduct or negligence of
<PAGE>
- 6 -
Equitable Variable in its capacity as a distributor of the Trust; and will
reimburse Equitable or the Separate Account for any legal or other expenses
reasonably incurred by it in connection with investigating or defending
against such loss, claim, damage, liability or action; provided, however,
that Equitable Variable shall not be liable in any such case to the extent
that any such loss, claim, damage or liability arises out of or is based upon
an untrue statement or alleged untrue statement or omission or alleged
omission made in the Trust Prospectus and/or SAI or any such supplement in
good faith reliance upon and in conformity with written information furnished
by Equitable specifically for use in the preparation thereof.
Equitable Variable shall not indemnify Equitable or the Separate Account
for any action where an applicant for the Variable Products or a policyholder
was not furnished or sent or given, at or prior to written confirmation of
the sale of the Variable Products and at such later times as required by
state or federal securities laws, a copy of the prospectus relating to the
Variable Products together with the Trust Prospectus, any supplements to the
Trust Prospectus Equitable Variable may furnish to Equitable and, if
requested by the applicant from Equitable or required by applicable law, the
Trust SAI and any supplements thereto and, as required by applicable law, the
Trust's annual and semi-annual reports, other required reports and proxy
statements.
<PAGE>
- 7 -
5. This Agreement shall terminate automatically if it shall be assigned.
The Agreement shall also terminate automatically if the Distribution
Agreement shall terminate.
6. If Equitable Variable is notified that the Distribution Agreement will
be terminated and that it shall cease to be the principal underwriter of the
Trust, Equitable Variable shall immediately notify the other parties in
writing of such termination, and this Agreement shall continue in effect
until the effective date of the termination of the Distribution Agreement.
This Agreement may be terminated by any party at any time on one hundred
eighty days' written notice to the other parties, without the payment of any
penalty.
7. This Agreement shall be subject to the provisions of the 1940 Act, the
1934 Act and the Securities Act of 1933 and the rules, regulations, and
rulings thereunder and of the NASD, from time to time in effect, including
such exemptions from the 1940 Act and no action positions as the Securities
and Exchange Commission or its staff may grant, and the terms hereof shall be
interpreted and construed in accordance therewith. Without limiting the
generality of the foregoing, the term "assigned" shall not include any
transaction exempt from section 15(b)(2) of the Investment Company Act by
order of the Securities and Exchange Commission or any transaction as to
which the staff of the Securities and Exchange Commission has taken a no
action position.
<PAGE>
- 8 -
Equitable shall, in connection with its obligations hereunder, comply with
all laws and regulations applicable thereto, whether Federal or state, and
whether relating to insurance, securities or other general areas, including
but not limited to the record keeping and sales supervision requirements of
such laws and regulations.
Equitable Variable shall immediately notify Equitable of the issuance by
any regulatory body of any stop order with respect to the Trust Prospectus or
SAI or the initiation of any proceeding for that purpose or for any other
purpose relating to the registration or an offering of shares of the Trust
and of any other action or circumstances that may prevent the lawful offer or
sale of shares of the Trust in any state or jurisdiction.
8. Equitable and Equitable Variable shall submit to all regulatory and
administrative bodies having jurisdiction over the operations of Equitable,
Equitable Variable or the Trust, present or future, any information, reports
or other material which any such body by reason of this Agreement may request
or require as authorized by applicable laws or regulations.
Equitable Variable shall keep confidential any information about
Equitable's Variable Products or policyowners obtained pursuant to this
Agreement and shall disclose such information only if Equitable has
authorized such disclosure, or
<PAGE>
- 9 -
if such disclosure is required by state or federal regulatory bodies, as
authorized by applicable law. Equitable Variable will notify Equitable of
disclosures required by regulatory bodies as soon as possible.
Equitable Variable agrees that all records and other data pertaining to
the Variable Products are the exclusive property of Equitable and that any
such records and other data, whether maintained in written or electronic
format, shall be furnished to Equitable by Equitable Variable upon
termination of this Agreement for any reason whatsoever. This shall not
preclude Equitable Variable from keeping copies of such data or records for
its own files subject to the provisions of this paragraph.
9. Equitable retains the ultimate right of control over, and
responsibility for, marketing the Variable Products.
10. Equitable Variable represents that neither Equitable Variable nor any
person employed in any material connection with respect to the services
provided pursuant to this Agreement:
(a) Within the last 10 years has been convicted of any felony or
misdemeanor arising out of conduct involving embezzlement, fraudulent
conversion, or misappropriation of funds or securities, or involving
violations of Sections 1341, 1342, or 1343 of Title 18, United States
Code; or
<PAGE>
- 10 -
(b) Within the last 10 years has been found by any state regulatory
authority to have violated or has acknowledged violation of any provision of
any state insurance law involving fraud, deceit or knowing misrepresentation;
or
(c) Within the last 10 years has been found by any federal or state
regulatory authorities to have violated or have acknowledged violation of any
provision of federal or state securities laws involving fraud, deceit or
knowing misrepresentation.
11. Equitable Variable and Equitable each represent that no commission or
other fee shall be charged or paid to any person or entity in connection with
the sale or purchase of the Trust's shares to or from the Separate Account,
other than regular salary or wages.
12. This Agreement may be executed in multiple counterparts, each of which
shall be deemed an original, but all of which shall constitute one and the
same instrument.
IN WITNESS WHEROF, the parties hereto have caused this Agreement to be duly
executed as of the day and year first above written.
EQUITABLE VARIABLE LIFE
INSURANCE COMPANY
Attest:
By:
- ----------------------------- -------------------------------
<PAGE>
- 11 -
THE EQUITABLE LIFE ASSURANCE
SOCIETY OF THE UNITED STATES
Attest:
By:
- ----------------------------- -------------------------------
SEPARATE ACCOUNT NO. 301
By: THE EQUITABLE LIFE ASSURANCE
SOCIETY OF THE UNITED STATES
as depositor
Attest:
By:
- ----------------------------- ----------------------------------
<PAGE>
- 12 -
SCHEDULE A
All Hudson River Trust Portfolios are available to the Separate Account
for premiums and conributions associated with all variable products funded by
the Separate Account.
0335i
08/24/92
<PAGE>
DISTRIBUTION AND SERVICING AGREEMENT
This DISTRIBUTION AND SERVICING AGREEMENT, dated as of May 1, 1994, is
made by and among Equico Securities, Inc. ("Equico"), The Equitable Life
Assurance Society of the United States ("Equitable") and Equitable Variable
Life Insurance Company ("Equitable Variable"), as follows:
WHEREAS, pursuant to a Distribution Agreement, dated as of May 1,
1994, Equico is the principal underwriter of The Hudson River Trust ("Trust"),
a series mutual fund registered under the Investment Company Act of 1940 ("1940
Act") whose shareholders are separate accounts of Equitable and Equitable
Variable and of other insurance companies;
WHEREAS, both Equitable and Equitable Variable issue variable
insurance contracts ("Variable Contracts") whose net premiums or considerations
are allocated in whole or in part to the respective separate accounts of
Equitable and Equitable Variable for investment in the Trust, for direct
investment or for investment in other funding media ("Separate Accounts");
WHEREAS, units of interest in the Separate Accounts are registered
under the Securities Act of 1933 ("1933 Act") to the extent such registration
is required;
WHEREAS, Equitable and Equitable Variable are each broker-dealers
registered under the Securities Exchange Act of 1934, as amended ("1934 Act"),
and each is a member of the National Association of Securities Dealers, Inc.
("NASD");
<PAGE>
-2-
WHEREAS, the Variable Contracts (including all Variable Contracts
issued by Equitable Variable) are offered and sold by members of Equitable's
agency force, or by insurance brokers under contract with Equitable, who are
also registered representatives of Equico and of Equitable ("Agents");
WHEREAS, Equitable and Equitable Variable each desire to engage
Equico, a wholly-owned subsidiary of Equitable which is a registered
broker-dealer under the 1934 Act and a member of the NASD, to assume the
responsibilities set forth in this Agreement with respect to the distribution
of the Variable Contracts, including in particular the responsibility for
compliance with broker-dealer requirements under federal and any applicable
state or foreign securities laws and the NASD Rules of Fair Practice ("NASD
Rules") with respect to the offering of the Variable Contracts, and Equico
desires to assume such responsibilities;
WHEREAS, Equico desires to utilize Equitable's services and personnel
in carrying out certain of its responsibilities under this Agreement, and
Equitable is willing to furnish the same on the terms and conditions
hereinafter set forth;
NOW, THEREFORE, the parties hereto agree as follows:
ARTICLE I
Distribution Responsibility for the Variable Contracts
Sec. 1.1 Equitable and Equitable Variable authorize Equico to act, and
Equico agrees to serve Equitable, as broker-dealer in connection with the
distribution of their respective Variable Contracts to the extent provided in
this
<PAGE>
-3-
Agreement. Equico shall be fully responsible for carrying out all compliance
and supervisory obligations in connection with the distribution of the Variable
Contracts, as required by the NASD Rules and by federal and any applicable
state or foreign securities laws. Equitable shall be fully responsible for
compensating the Agents for their sales of Variable Contracts, as provided in
Section 1.4.
Sec. 1.2 Without limiting the generality of Section 1.1, Equico agrees
that it shall be fully responsible for:
(A) Requiring that each person who is authorized to offer and
sell the Variable Contracts is duly registered as a representative of Equico
and is appropriately licensed, registered or otherwise qualified to offer and
sell the Variable Contracts under the federal securities laws and any
applicable securities laws of each state or other jurisdiction in which the
Variable Contracts offered by such person may be lawfully sold;
(B) Training, supervising and directing the Agents for
purposes of complying on a continuous basis with the NASD Rules and with
federal and state securities laws applicable in connection with the offer and
sale of the Variable Contracts. In this connection, Equico shall:
(i) Establish and implement reasonable written
procedures which provide for diligent supervision of sales practices of the
Agents;
(ii) Require that Agents shall recommend the
purchase of Variable Contracts only upon reasonable grounds to believe that the
purchase is
<PAGE>
-4-
suitable for each prospective purchaser, and verify their compliance with such
requirement;
(iii) Provide a sufficient number of registered
principals and an adequate compliance staff to carry out the responsibilities
set forth herein; and
(iv) Impose disciplinary measures on the Agents.
(C) Oversight of the securities activities of all persons
engaged directly or indirectly in operations of Equico, Equitable and Equitable
Variable related to the offer or sale of the Variable Products, each of whom
shall be considered a "person associated" with Equico, as defined in Section
3(a)(18) of the 1934 Act. Equico shall have full responsibility for each such
person with regard to his or her training, supervision and control, as
contemplated by Section 15 of the 1934 Act, and, in that connection, shall have
the authority to require that disciplinary action be taken with respect to such
persons.
Sec. 1.3 Equico represents that it is a broker-dealer duly registered
under the 1934 Act and is a member in good standing of the NASD and, to the
extent necessary to perform the activities contemplated hereunder, is duly
registered, or otherwise qualified, under the securities laws of every state or
other jurisdiction in which the Variable Contracts are available for sale, and
Equico agrees to maintain such status. Consistent with its designation as
distributor of the Variable Contracts, as provided in Section 1.1 of this
Agreement, Equico acknowledges that it may be deemed to be an "underwriter" or
a "principal underwriter" of the Separate Accounts under the federal securities
laws.
<PAGE>
-5-
Sec. 1.4 Equitable shall have exclusive responsibility for the payment
of commissions or other fees in accordance with the applicable agreements
between each Agent and Equitable relating to the Variable Contracts. All
compensation paid by Equitable to the Agents with respect to sales of the
Variable Contracts shall be paid by Equitable on its own behalf or on behalf of
Equitable Variable (with respect to sales of Variable Contracts issued by
Equitable Variable), and shall be reflected on the books and records of
Equitable and, to the extent related to Variable Contracts issued by Equitable
Variable, on the books and records of Equitable Variable. The responsibility of
Equitable shall include the performance of all activities necessary in order
that the payment of compensation hereunder complies with all applicable federal
securities laws and state securities and insurance laws. Equitable and
Equitable Variable retain the ultimate right to determine the rates of
commission and other fees to be paid to the Agents in connection with their
respective Variable Contracts. Nothing contained in this Agreement shall
obligate Equico to pay any commissions or other fees to Agents or to reimburse
any Agents for expenses incurred by them, nor shall Equico have any
responsibility for the adequacy or accuracy of any amount paid to an Agent in
connection with the sale of the Variable Contracts. Equico shall have no right
or interest whatsoever in any commissions or other fees payable to Agents by
Equitable or by Equitable Variable.
Sec. 1.5 Equitable represents that it is a broker-dealer duly
registered under the 1934 Act and is a member in good standing of the NASD. If
Equitable shall determine, in sole judgment, that such status is not required
for the purpose of properly discharging its responsibility under Section 1.4 of
this Agreement,
<PAGE>
-6-
Equitable may terminate its status as a registered broker-dealer without notice
to the other parties hereto.
Sec. 1.6 Equitable Variable agrees to cooperate fully with Equico and
with Equitable in the proper discharge of the responsibilities allocated to
them under this Article I. While undertaking to provide such cooperation and to
perform various activities on its own behalf hereunder, Equitable Variable
assumes no duties or responsibilities under this Agreement in its capacity as a
registered broker-dealer and, accordingly, shall be under no obligation to
maintain such status.
Sec. 1.7 Equico, Equitable and Equitable Variable shall each cause to
be maintained and preserved such accounts, books and other documents as are
required by the 1934 Act and 1940 Act and any other applicable laws and
regulations. In particular, without limiting the foregoing, Equico shall cause
all the books and records in connection with the offer and sale of the Variable
Contracts to be maintained and preserved in conformity with the requirements of
Rules 17a-3 and 17a-4 under the 1934 Act, to the extent that such requirements
are applicable to the Variable Contracts. The payment of premiums, purchase
payments, commissions and other fees and payments in connection with the
Variable Contracts shall be reflected on the books and records of Equitable and
of Equitable Variable, as provided in Section 1.4 hereof and as may otherwise
be required under applicable NASD regulations and federal and applicable state
securities laws requirements.
Sec. 1.8 Equico, Equitable and Equitable Variable shall each submit to
all regulators and administrative bodies having jurisdiction over the sales of
the
<PAGE>
-7-
Variable Contracts, present or future, any information, reports, or other
material that any such body by reason of this Agreement may request or require
pursuant to applicable laws or regulations. In particular, without limiting the
foregoing, Equitable and Equitable Variable agree that any books and records
which they maintain pursuant to Section 1.5 of this Agreement which are
required to be maintained under Rule 17a-3 or 17a-4 of the 1934 Act shall be
subject to inspection by the Securities and Exchange commission ("SEC") in
accordance with Section 17(a) of the 1934 Act.
Sec. 1.9 Equico and Equitable each agree and understand that all
documents, reports, records, books, files and other materials required under
applicable NASD regulations and federal and state securities laws relative to
the sales of Variable Contracts shall be the property of Equico, with the
exception of those books and records maintained by Equitable pursuant to
Section 1.4 which relate to sales compensation and shall be the joint property
of Equitable and Equico. If, however, such documents, reports, records, books,
files and other materials which are the property of Equico are required by
applicable regulation or law to be maintained also by Equitable or by Equitable
Variable, such material shall be the joint property of Equico, Equitable or
Equitable Variable. All other documents, reports, records, books, files and
other materials maintained relative to this Agreement shall be the property of
Equitable or of Equitable Variable, depending upon the identity of the issuer
of the Variable Contracts involved. Upon the termination of this Agreement, all
such material shall be returned to the applicable party.
Sec. 1.10 Equico, Equitable and Equitable Variable from time to time
during the term of this Agreement, shall allocate among themselves, subject to
a right of
<PAGE>
-8-
further delegation, the administrative responsibility for maintaining and
preserving the books, records and accounts kept in connection with the Variable
Contracts; provided, however, in the case of books, records and accounts kept
pursuant to a requirement of applicable law or regulation, the ultimate
responsibility for maintaining and preserving such books, records and accounts
shall be that of the party which is required to maintain or preserve such
books, records and accounts under the applicable law or regulation, and such
books, records and accounts shall be maintained and preserved under the
supervision of that party. Equico, Equitable and Equitable Variable shall cause
each other to be furnished with such reports as each may reasonably request for
the purpose of meeting its respective reporting and recordkeeping requirements
under such regulations and laws and under the insurance laws of the State of
New York and any other applicable states or jurisdictions.
ARTICLE II
Procedures for Sale of Variable Contracts
Sec. 2.1 Equitable and Equitable Variable each represent and warrant
that units of interest of their respective Separate Accounts offered under the
Variable Contracts are registered under the 1933 Act to the extent such
registration is required, that the Separate Accounts are registered under the
1940 Act unless exempt from such registration, and that the Variable Contracts
are qualified to be sold under the insurance laws and any applicable securities
laws of all states and other jurisdictions in which the Variable Contracts are
authorized for sale. Equitable and Equitable Variable each further represent
and warrant that each of them is a life insurance company duly organized under
the laws of the State of
<PAGE>
-9-
New York and in good standing and authorized to conduct business under the laws
of each state in which the Variable Contracts are offered and sold.
Sec. 2.2 Equico will require that the Agents use only the effective
prospectuses, statements of additional information ("SAIs") and other
authorized materials in soliciting and selling the Variable Contracts. Equico
is not authorized to give any information or to make any representations
concerning the Variable Contracts other than those contained in the current
prospectus or SAI therefor filed with the SEC or in such materials as may be
authorized by Equitable or by Equitable Variable.
Sec. 2.3 All applications for Variable Contracts shall be made on
application forms supplied by Equitable or by Equitable Variable, as
appropriate, and all payments collected by Equico shall be remitted by Equico
promptly in full, together with such application or enrollment forms and any
other required documentation, directly to Equitable or to Equitable Variable,
as appropriate, at the address indicated on such application or to such other
address as Equitable or Equitable Variable may, from time to time, designate in
writing. Equico shall review all such applications for suitability. Checks or
money orders in payment on any Variable Contract shall be drawn to the order of
"The Equitable Life Assurance Society of the United States" or "Equitable
Variable Life Insurance Company", as appropriate. All applications for Variable
Contracts shall be subject to acceptance or rejection by Equitable or by
Equitable Variable at their respective discretion.
Sec. 2.4 All money payable in connection with any of the Variable
Contracts, whether as premiums, purchase payments or otherwise, and whether paid
by, or on
<PAGE>
-10-
behalf of any applicant or contractowner, is the property of Equitable or of
Equitable Variable and shall be transmitted promptly in accordance with the
administrative procedures of Equitable and Equitable Variable without any
deduction or offset for any reason, including by example but not limitation,
any deduction or offset for compensation claimed by Equico or payable to the
Agents. No cash payments shall be accepted by Equico in connection with the
Variable Contracts.
Sec. 2.5 Equitable and Equitable Variable shall be responsible for
payment of the costs of printing the prospectuses, SAIs and sales material used
in connection with the solicitation of applications for the Variable Contracts
and to allocate such costs between themselves. Equitable and Equitable Variable
shall provide to Equico copies of such prospectuses, SAIs and sales material in
such number as Equico shall reasonably request. Equitable and Equitable
Variable shall make available to Equico copies of all financial statements and
other documents that Equico shall reasonably request for use in connection with
the distribution of the Variable Contracts.
Sec. 2.6 Notwithstanding anything in this Agreement to the contrary,
Equico may enter into sales agreements with independent broker-dealers for the
sale of the Variable Contracts, subject to the prior written approval of
Equitable and of Equitable Variable of each such sales agreement and the terms
thereof. All such sales agreements entered into by Equico shall provide that
each independent broker-dealer will assume full responsibility for continued
compliance by itself and its associated persons with the NASD Rules and
applicable federal and state securities and insurance laws. All associated
persons of such independent broker-dealer soliciting applications for the
Variable Contracts shall be duly and
<PAGE>
-11-
appropriately licensed or appointed for the sale of the Variable Contracts
under the NASD Rules and federal and state securities and insurance laws in
which such person shall offer or sell the Variable Contracts.
Sec. 2.7 Equitable shall apply for and maintain the proper insurance
licenses for each of the Agents selling the Variable Contracts in all states or
jurisdictions in which the Variable Contracts are offered for sale by such
Agent. Equitable and Equitable Variable reserve the right to refuse to appoint
any proposed agent, or independent broker-dealer, and to terminate an Agent or
independent broker-dealer once appointed. Equitable and Equitable Variable
shall promptly notify Equico of each such termination. Equitable agrees to be
responsible for all licensing or other fees required under pertinent state
insurance laws to properly authorize Agents for the sale of the Variable
Contracts; however, the foregoing shall not limit Equitable's right to collect
such amount from any person or entity other than Equico.
Sec. 2.8 The parties hereto recognize that any person selling the
Variable Contracts as contemplated by this Agreement shall be acting as an
insurance agent of Equitable or of Equitable Variable or as an insurance
broker, and that the rights of Equico to supervise such persons shall be
limited to the extent specifically described herein or required under
applicable federal or state securities laws or NASD regulations. Such persons
shall not be considered employees of Equico and shall be considered agents of
Equico only as and to the extent required by such laws and regulations.
Further, it is intended by the parties hereto that such persons are and shall
continue to be considered to have a common law independent contractor
relationship with Equitable and Equitable Variable and not to be common law
employees of Equitable or of Equitable Variable, unless any contract
<PAGE>
-12-
between Equitable and any person selling the Variable Contracts specifically
provides otherwise.
Sec. 2.9 Consistent with the responsibility of Equico to discharge all
compliance and supervisory obligations relating to the distribution of the
Variable Contracts as provided in this Agreement and consistent with the
authority given to Equico hereunder, Equitable and Equitable Variable shall
retain the ultimate right of control over, and responsibility for, the
issuance, servicing and marketing of their respective Variable Contracts. In
that connection, Equitable and Equitable Variable shall review and approve all
advertising concerning the Variable Contracts issued by each of them; however,
Equico shall be responsible for filing such materials, as required, with the
NASD and with state securities regulators and for obtaining such approvals as
may be necessary.
Sec. 2.10 Unless otherwise agreed in writing by Equitable or by
Equitable Variable, neither Equico nor any Agent nor any independent
broker-dealer shall have an interest in any surrender charges, deductions or
other fees payable to Equitable or to Equitable Variable.
ARTICLE III
Services and Personnel Provided by Equitable
Sec. 3.1 Equitable agrees to furnish compliance and related support
services, including personnel, to assist Equico in the performance of the
services which Equico is required to provide hereunder. In furnishing such
services, all personnel of Equitable shall be subject at all times to the
supervision and control of Equico.
<PAGE>
-13-
ARTICLE IV
Compensation and Expenses
Sec. 4.1 Equico shall be compensated, not less frequently than
quarterly, by Equitable and by Equitable Variable for its services under this
Agreement in an aggregate annual amount which shall be equal to the actual
expenses incurred by Equico to provide compliance and related support services,
plus a percentage of such expenses which shall approximate the annual rate of
profit earned by Equico from its performance of comparable services for
unaffiliated clients.
Sec. 4.2 Equico shall pay the costs and expenses, direct and indirect,
incurred by Equitable in furnishing services and personnel, pursuant to Article
III of this Agreement. In determining the basis for the apportionment of
expenses, specific identification or estimates based on time, company assets,
square footage or any other mutually agreeable method providing for a fair and
reasonable allocation of cost may be used, provided such method is in
conformity with the requirements of Section 1712 of the New York Insurance Law
and New York Insurance Department Regulation No. 33. The charge to Equico for
such apportioned expenses shall be at cost as described in this Section 4.2.
Sec. 4.3 Within 45 days after the end of each calendar quarter, and
more often if desired, Equitable shall submit to Equico a statement of
apportioned expenses showing the basis for such apportionment; and settlement
shall be made within 15 days thereafter. The statement of apportioned expenses
shall set forth in reasonable detail the nature of the expenses being
apportioned and other relevant information to support the charge.
<PAGE>
-14-
Sec. 4.4 To enable Equitable to compensate Agents for the sale of
Variable Contracts issued by Equitable Variable, Equitable Variable shall
furnish Equitable with a schedule of the commissions and other fees payable
with respect to each form of Variable Contract issued by it, together with a
list of rules and procedures applicable to the payment of such compensation.
Equitable Variable agrees to reimburse Equitable for commissions and service
fees (not in excess of the amounts specified by Equitable Variable) paid to the
Agents for the sale of its Variable Contracts pursuant to Section 1.4 of this
Agreement.
ARTICLE V
Term of Agreement
Sec. 5.1 Subject to termination as herein provided, this Agreement
shall remain in full force and effect for a two-year period commencing on the
date first above written, and this Agreement shall continue in full force and
effect from year-to-year thereafter, until terminated as herein provided.
Sec. 5.2 This Agreement may be terminated by any party hereto on not
less than 60 days' prior written notice to the other parties or by an agreement
in writing signed by all of the parties hereto, except that data processing
services may not be terminated on less than 180 days' prior written notice, if
requested by Equico in writing promptly following its receipt of written notice
of termination of this Agreement. This Agreement shall automatically be
terminated in the event of its assignment.
Sec. 5.3 Upon termination of this Agreement, all authorizations,
rights, and obligations shall cease except the obligations to settle accounts
hereunder,
<PAGE>
-15-
including the settlement of monies due in connection with Variable Contracts in
effect at the time of termination or issued pursuant to applications received
by Equitable or by Equitable Variable prior to termination.
ARTICLE VI
Miscellaneous
Sec. 6.1 Should an irreconcilable difference of opinion arise between
or among the parties to this Agreement as to the interpretation of any matter
respecting this Agreement, it is hereby mutually agreed that such differences
shall be submitted to arbitration as the sole remedy available to the parties.
Such arbitration shall be in accordance with the rules of the American
Arbitration Association, the arbitrators shall have extensive experience in the
insurance industry, and the arbitration shall take place in New York, New York.
Sec. 6.2 For purposes of this Agreement, the term "Variable Contracts"
shall not include any variable insurance contract issued by Equitable which is
not offered and sold by employees or agents of Equitable.
Sec. 6.3 This Agreement replaces the Sales Agreement, dated December
23, 1985, as amended, between Equitable Variable and Equitable, which shall
terminate on the effective date hereof.
Sec. 6.4 If any provision of this Agreement shall be held or made
invalid by a court decision, statute, rule, or otherwise, the remainder of this
Agreement shall not be affected thereby.
<PAGE>
-16-
Sec. 6.5 This Agreement constitutes the entire agreement between the
parties hereto and may not be modified except in a written instrument executed
by all parties hereto.
Sec. 6.6 This Agreement shall be subject to the provisions of the 1934
Act and, to the extent applicable, the 1940 Act and the rules, regulations and
rulings thereunder and of the NASD, from time-to-time in effect, including such
exemptions from the 1940 Act as the SEC may grant, and the terms hereof shall
be interpreted and construed in accordance therewith.
Sec. 6.7 This Agreement shall be interpreted in accordance with the
laws of the State of New York.
<PAGE>
-17-
IN WITNESS WHEREOF, the parties hereto have caused this Agreement to
be signed by their respective officials thereunto duly authorized, as of the
day and year first above written.
THE EQUITABLE LIFE ASSURANCE
SOCIETY OF THE UNITED STATES
By: /s/Joseph J. Melone
---------------------------------
Joseph J. Melone
Chairman and
Chief Executive Officer
EQUITABLE VARIABLE LIFE
INSURANCE COMPANY
By: /s/Samuel B. Shlesinger
---------------------------------
Samuel B. Shlesinger
Senior Vice President
EQUICO SECURITIES, INC.
By: /s/Richard V. Silver
---------------------------------
Richard V. Silver
President and
Chief Operating Officer
[5292/430_1]
23208/HWO_1
<PAGE>
DISTRIBUTION AGREEMENT
AGREEMENT, dated as of January 1, 1995, by and between The Hudson River
Trust (the "Trust") and Equico Securities, Inc. ("Equico").
W I T N E S S E T H :
WHEREAS, the Trust is a Massachusetts business trust whose
shareholders are and will be separate accounts in unit investment trust form
("Eligible Separate Accounts") of insurance companies;
WHEREAS, variable insurance and annuity product ("Variable Products")
net premiums, contributions and considerations will be allocated to Eligible
Separate Accounts for investment in the Trust;
WHEREAS, the Trust's shares may not be sold separately from the
Variable Products;
WHEREAS, the Trust desires Equico to undertake marketing activities
with respect to Trust shares;
WHEREAS, the Trust is registered as an open end investment company
under the Investment Company Act of 1940 ("Investment Company Act");
<PAGE>
WHEREAS, the Investment Company Act prohibits any principal
underwriter for a registered open end investment company from offering for
sale, selling, or delivering after sale any security of which such company is
the issuer, except pursuant to a written contract with such company, and Equico
will be a principal underwriter for sale of securities issued by the Trust;
WHEREAS, Equico is registered as a broker-dealer under the Securities
Exchange Act of 1934 ("Securities Exchange Act") and is a member of the
National Association of Securities Dealers, Inc. ("NASD");
NOW THEREFORE, the Trust and Equico agree as follows:
Section 1. The Trust has ratified a Policy on Conflicts (the
"Policy"), which was adopted by the Board of Directors of the Hudson River
Fund, Inc., predecessor of the Trust. This Agreement shall be subject to the
provisions of the Policy, the terms of which are incorporated herein by
reference, made a part hereof and controlling. The Policy may be amended or
superseded, without prior notice, and this Agreement shall be deemed amended to
the extent the Policy is amended or superseded. Equico represents and warrants
that it will act in a manner consistent with such Policy as so set forth and as
it may be amended or superseded, so long as it is a principal underwriter of
the Trust. This provision shall survive the termination of this Agreement.
Section 2. Equico is hereby authorized, from time to time, to enter
into separate written agreements ("Sales Agreements" or, individually, a "Sales
Agreement"), on terms and conditions not inconsistent with this Agreement, with
insurance companies which have Eligible Separate Accounts and which agree to
participate in the
2
<PAGE>
distribution of Trust shares, directly or through affiliated broker dealers
(collectively, with the insurance companies the "Participating Insurance
Companies"), by means of distribution of Variable Products and to use their
best efforts to solicit applications for Variable Products. Equico may not
enter into any Sales Agreement with any Participating Insurance Company that is
more favorable than that maintained with any other Participating Insurance
Company and Eligible Separate Account, except that not all portfolios of the
Trust need be made available for investment by all Participating Insurance
Companies, Eligible Separate Accounts or Variable Products. Each Sales
Agreement shall be entered into jointly with the Participating Insurance
Company and the Eligible Separate Account.
Section 3. Such Participating Insurance Companies and their agents or
representatives soliciting applications for Variable Products shall be duly and
appropriately licensed, registered or otherwise qualified for the sale of
Variable Products under any applicable insurance laws and any applicable
securities laws of one or more states or other jurisdictions in which Variable
Products may be lawfully sold. Each such Participating Insurance Company shall,
when required by law, be both registered as a broker dealer under the
Securities Exchange Act and a member of the NASD. Each such Participating
Insurance Company shall agree to comply with all laws and regulations, whether
federal or state, and whether relating to insurance, securities or other
general areas, including but not limited to the record-keeping and sales
supervision requirements of such laws and regulations.
Section 4. The Trust's shares are divided into series, each
representing a different portfolio of investments ("Portfolios"). The Trust
Portfolios and any restrictions on availability relating thereto are set forth
in Schedule A hereto, which may be amended from time to time.
3
<PAGE>
Purchases and redemptions of Trust shares shall be at the net asset
value for the appropriate Portfolio, computed as set forth in the most recent
Prospectus and Statement of Additional Information relating to the Trust
contained in its Registration Statement of Form N-1A, File No. 2-94996, or any
amendments thereto (respectively, "Trust Prospectus" and "SAI"), and any
supplements thereto. Trust shares may not be sold or transferred except to an
Eligible Separate Account with the prior approval of the Trust's Board of
Trustees.
Section 5. The Trust shall not pay any compensation to Equico for
services as principal underwriter herein, nor shall the Trust reimburse Equico
for any expenses related to such services. Equico may, but need not, pay or
charge Participating Insurance Companies pursuant to agreements as described in
Section 2.
Section 6. The Trust represents to Equico that the Trust Prospectus
and SAI, as of their respective effective dates, contain all statements and
information which are required to be stated therein by the Securities Act of
1933 and in all respects conform to the requirements thereof, and neither the
Trust Prospectus nor the SAI include any untrue statement of a material fact or
omit to state any material fact required to be stated therein or necessary to
make the statements therein not misleading; provided, however, that the
foregoing representations shall not apply to information contained in or
omitted from the Trust Prospectus and SAI in reliance upon, and in conformity
with, written information furnished by Equico specifically for use in the
preparation thereof.
In this connection, Equico acknowledges that the day-to-day operations
of the Trust, including without limitation, investment management, securities
brokerage
4
<PAGE>
allocation, cash control, accounting, record keeping and other administrative,
marketing and regulatory compliance functions, are carried on and may in the
future be carried on by The Equitable Life Assurance Society of the United
States ("Equitable"), affiliates of Equitable, and other parties unaffiliated
with Equitable on behalf of the Trust (collectively, the "Preparing Parties"),
under various agreements and arrangements, and that such activities in large
measure provide the basis upon which statements and information are included or
omitted from the Trust Prospectus and SAI. Equico further acknowledges that
because of the foregoing arrangements, the preparation of the Trust Prospectus
and SAI is substantially in the control of the Preparing Parties, subject to
the broad supervisory authority and responsibility of the Trust's Board of
Trustees, and that, essentially, the only Trust Prospectus or SAI information
not independently known to, or prepared by, the Preparing Parties is personal
information as to each Trustee's full name, age, background, business
experience and other personal information that may require disclosures under
securities laws and for which the Preparing Parties necessarily must rely on
each such Trustee to produce.
Section 7. The Trust will periodically prepare Trust Prospectuses
(and, if applicable, SAIs) and any supplements thereto, proxy materials and
annual and semi-annual reports (collectively, the "Documents") and shall make
camera ready copy available to Equico for reproduction by Equico or the
Participating Insurance Companies. Subject to the prior approval of the Trust's
officers, the Trust shall pay the cost of printing and mailing Documents which
are distributed to existing owners of Variable Products, provided that Equico
or the Participating Insurance Companies shall be required to submit
documentation in support of such expenses which is satisfactory to the officers
of the Trust. The Trust shall not pay the cost of printing or mailing Documents
except as specified in this Section 7. The Trust will use its best efforts
5
<PAGE>
to provide notice to Equico of anticipated filings or supplements. Equico or
the Participating Insurance Companies may alter the form of some or all of the
Documents, with the prior approval of the Trust's officers. Any preparation
costs associated with altering the form of the Documents will be borne by
Equico or the Participating Insurance Companies, not the Trust.
Section 8. Equico and officers of the Trust may from time to time
authorize descriptions of the Trust for use in sales literature or advertising
by the Participating Insurance Companies (including brochures, letters,
illustrations and other similar materials, whether transmitted directly to
potential applicants or published in print or audio-visual media), which
authorization will not be unreasonably withheld or delayed.
Section 9. Equico shall furnish to the Trust, at least quarterly,
reports as to the sales of Trust shares made pursuant to this Agreement. These
reports may be combined with any similar report prepared by Equico or any of
the Preparing Parties.
Section 10. Equico shall submit to all regulatory and administrative
bodies having jurisdiction over the operations of Equico, the Trust, or any
Participating Insurance Company, present or future, any information, reports or
other material which any such body by reason of this Agreement may request or
require as authorized by applicable laws or regulations.
Section 11. This Agreement shall be subject to the provisions of the
Investment Company Act, the Securities Exchange Act and the Securities Act of
1933 and the rules, regulations, and rulings thereunder and of the NASD, from
time to time in effect, including such exemptions from the Investment Company
Act and no action
6
<PAGE>
positions as the Securities and Exchange Commission or its staff may grant, and
the terms hereof shall be interpreted and construed in accordance therewith.
Without limiting the generality of the foregoing, (a) the term "assigned" shall
not include any transaction exempted from section 15(b)(2) of the Investment
Company Act and (b) the vote of the persons having voting rights in respect of
the Trust referred to in Section 12 shall be the affirmative votes of the
lesser of (i) the holders of more than 50% of all votes entitled to be cast in
respect of the Trust or (ii) the holders of at least 67% of the votes which are
present at a meeting of such persons if the holders of more than 50% of all
votes entitled to be cast in respect of the Trust are present or represented by
proxy at such meeting, in either case voted in accordance with the provisions
of the Policy.
Section 12. This Agreement shall continue in effect only so long as
such continuance is specifically approved at least annually by a majority of
the Trustees of the Trust who are not interested persons of the Trust or Equico
and by (a) persons having voting rights in respect of the Trust, by the vote
stated in Section 11, voted in accordance with the provisions of the Policy, or
(b) the Board of Trustees of the Trust.
Section 13. This Agreement shall terminate automatically if it shall
be assigned.
7
<PAGE>
IN WITNESS WHEREOF, the parties hereto have caused this Agreement to
be duly executed as of the day and year first above written.
THE HUDSON RIVER TRUST
Attest:
/s/[Illegible] By: /s/ Barbara Krumsiek
- ------------------ ----------------------
EQUICO SECURITIES, INC.
Attest:
/s/ Loraine Herzog By: /s/ Michael F. McNelis
- ------------------ ----------------------
President and Chief Operating Officer
FFR_1.DOC/20007
1/11/95
8
<PAGE>
Schedule A
Portfolios of The Hudson River Trust
------------------------------------
Common Stock
Money Market
Balanced
Aggressive Stock
High Yield
Global
Conservative Investors
Growth Investors
Government Securities
Quality Bond
Growth and Income
Equity Index
International (as of second quarter of 1995)
Restrictions
------------
None
20007
1/11/95
9
<PAGE>
THE HUDSON RIVER TRUST
SALES AGREEMENT
AGREEMENT, dated as of January 1, 1995, by and among Equico
Securities, Inc. ("Equico"), The Equitable Life Assurance Society of the United
States ("Equitable"), and Equitable's Separate Account A, Separate Account No.
301 and Separate Account No. 51 (each, a "Separate Account" and, collectively,
the "Separate Accounts").
W I T N E S S E T H:
WHEREAS, Equico is a principal underwriter of The Hudson River Trust
(the "Trust"), a series mutual fund whose shareholders are separate accounts
("Eligible Separate Accounts") of insurance companies ("Participating Insurance
Companies"), pursuant to a Distribution Agreement ("Distribution Agreement");
WHEREAS, such Participating Insurance Companies issue, among other
products, variable life insurance and annuity products ("Variable Products")
whose net premiums, contributions or other considerations are allocated to
Eligible Separate Accounts for investment in the Trust, and shares of the Trust
are not sold except in connection with such Variable Products;
WHEREAS, the Trust is registered as an open-end investment company
under the Investment Company Act of 1940 (the "1940 Act");
<PAGE>
WHEREAS, the Board of Trustees of the Trust may, in its sole
discretion, determine that certain portfolios shall be available only to
certain types of Variable Products or to a single insurer and its affiliates;
WHEREAS, Insurer issues Variable Products, whose net premiums are
allocated to the Separate Account, and which are eligible for investment in the
Trust's portfolios;
WHEREAS, Broker-Dealer, an affiliate of Insurer, will distribute the
Variable Products, either directly or indirectly under selling agreements with
one or more affiliated or non-affiliated broker-dealers;
WHEREAS, Broker-Dealer and Equico are each registered as a
broker-dealer under the Securities Exchange Act of 1934 (the "1934 Act") and
each is a member of the National Association of Securities Dealers, Inc. (the
"NASD");
WHEREAS, Equico, Insurer and Broker-Dealer wish to define and describe
the conditions under which shares of the Trust will be made available for
investment by the Separate Account.
NOW, THEREFORE, Equico, Insurer, Broker-Dealer and the Separate
Account hereby agree as follows:
1. The Board of Trustees of the Trust has adopted a Policy on
Conflicts (the "Policy"). This Agreement shall be subject to the provisions of
the Policy, the terms of which shall be incorporated herein by reference, made
a part hereof and controlling. The Policy may be amended or superseded, without
prior
-2-
<PAGE>
notice, and this Agreement shall be deemed amended to the extent the Policy is
amended or superseded. Insurer, Broker-Dealer and the Separate Account each
represent and warrant that it will act in a manner consistent with such Policy
as so set forth and as it may be amended or superseded, so long as it owns any
Trust shares. This provision shall survive the termination of this Agreement.
2. Equico will make available to the Separate Account shares of the
Trust's portfolios in connection with Variable Products funded by the Separate
Account only as set forth on Schedule A hereto. Schedule A may be modified from
time to time by written agreement of the parties.
3. Purchases and redemptions of shares will be at net asset value for
the appropriate portfolio, computed as set forth in the most recent Trust
prospectus and Statement of Additional Information (respectively, "Trust
Prospectus" and "SAI") and any supplements thereto, and shall be submitted by
Insurer to the Trust's transfer agent pursuant to procedures and in accordance
with payment provisions adopted by the parties from time to time.
Trust shares may not be sold or transferred except to an Eligible
Separate Account and only in accordance with Schedule A.
4. (a) In good faith and as soon as practicable, Equico will provide,
at Trust expense, camera ready copy of the current Trust Prospectus and SAI and
any supplements thereto for distribution by Insurer with the prospectus for the
Variable Products, and camera ready copy of Trust proxy materials, annual and
semi-annual reports, and any supplements thereto. To the extent that the
foregoing documents are distributed by Insurer to existing owners of Variable
-3-
<PAGE>
Products, Equico will request reimbursement from the Trust for the printing and
mailing costs associated with such distribution, upon receipt from Insurer of
adequate documentation for presentation to the Trust. Equico will use its best
efforts to coordinate with Insurer and to provide notice of anticipated filings
or supplements. Insurer may alter the form of the Trust Prospectus, SAI, annual
and semi-annual reports, proxy statements or other Trust documents, with the
prior approval of the Trust's officers. Insurer shall bear all costs associated
with such alteration of form. Insurer is not authorized (i) to give any
information or make any representations concerning the Trust, its shares or
operations except those contained in the most recent Trust Prospectus and SAI
and any supplements thereto, or (ii) to use any description of the Trust in any
sales literature or advertising (including brochures, letters, illustrations
and other similar materials, whether transmitted directly to potential
purchasers of Variable Products or published in print or audio-visual media),
except in either case as Equico or officers of the Trust may authorize in
advance, which authorization will not be unreasonably withheld or delayed.
Insurer and Broker-Dealer shall indemnify and hold harmless Equico
from any and all losses, claims, damages or liabilities (or actions in respect
thereof) to which Equico may be subject, insofar as such losses, claims,
damages or liabilities (or actions in respect thereof) arise out of or result
from negligent, improper, fraudulent or unauthorized acts or omissions by
Insurer or Broker-Dealer or their respective employees, agents or
representatives, including but not limited to improper solicitation of
applications for Variable Products.
(b) Equico will indemnify and hold harmless Insurer, Broker-Dealer
and the Separate Account against any losses, claims, damages or
-4-
<PAGE>
liabilities, to which Insurer or the Separate Account may become subject,
insofar as such losses, claims, damages or liabilities (or actions in respect
thereof) arise out of or are based upon (i) any untrue statement or alleged
untrue statement of any material fact contained in the Trust Prospectus and/or
SAI or any supplements thereto, (ii) the omission or alleged omission to state
any material fact required to be stated in the Trust Prospectus and/or SAI or
any supplements thereto or necessary to make the statements therein not
misleading, or (iii) other misconduct or negligence of Equico in its capacity
as a distributor of the Trust; and will reimburse Insurer, Broker-Dealer or the
Separate Account for any legal or other expenses reasonably incurred by it in
connection with investigating or defending against such loss, claim, damage,
liability or action; provided, however, that Equico shall not be liable in any
such case to the extent that any such loss, claim, damage or liability arises
out of or is based upon an untrue statement or alleged untrue statement or
omission or alleged omission made in the Trust Prospectus and/or SAI or any
such supplement in good faith reliance upon and in conformity with written
information furnished by Insurer or Broker-Dealer specifically for use in the
preparation thereof.
Equico shall not indemnify Insurer, Broker-Dealer or the Separate
Account for any action where an applicant for the Variable Products or a
policyholder was not furnished or sent or given, at or prior to written
confirmation of the sale of the Variable Products and at such later times as
required by state or federal securities laws, a copy of the prospectus relating
to the Variable Products together with the Trust Prospectus, any supplements to
the Trust Prospectus Equico may furnish to Insurer and, if requested by the
applicant from Insurer or required by applicable law, the Trust SAI and any
supplements
-5-
<PAGE>
thereto and, as required by applicable law, the Trust's annual and semi-annual
reports, other required reports and proxy statements.
5. This Agreement shall terminate automatically if it shall be
assigned. The Agreement shall also terminate automatically if the Distribution
Agreement shall terminate.
6. If Equico is notified that the Distribution Agreement will be
terminated and that it shall cease to be the principal underwriter of the
Trust, Equico shall immediately notify the other parties in writing of such
termination, and this Agreement shall continue in effect until the effective
date of the termination of the Distribution Agreement. This Agreement may be
terminated by any party at any time on one hundred eighty days' written notice
to the other parties, without the payment of any penalty.
7. This Agreement shall be subject to the provisions of the 1940 Act,
the 1934 Act and the Securities Act of 1933 and the rules, regulations, and
rulings thereunder and of the NASD, from time to time in effect, including such
exemptions from the 1940 Act and no-action positions as the Securities and
Exchange Commission or its staff may grant, and the terms hereof shall be
interpreted and construed in accordance therewith. Without limiting the
generality of the foregoing, the term "assigned" shall not include any
transaction exempt from section 15(b)(2) of the Investment Company Act by order
of the Securities and Exchange Commission or any transaction as to which the
staff of the Securities and Exchange Commission has taken a no-action position.
-6-
<PAGE>
Insurer and Broker-Dealer shall each, in connection with its
obligations hereunder, comply with all laws and regulations applicable thereto,
whether federal or state, and whether relating to insurance, securities or
other general areas, including but not limited to the record keeping and sales
supervision requirements of such laws and regulations.
Equico shall immediately notify Insurer and Broker-Dealer of the
issuance by any regulatory body of any stop order with respect to the Trust
Prospectus or SAI or the initiation of any proceeding for that purpose or for
any other purpose relating to the registration or an offering of shares of the
Trust and of any other action or circumstances that may prevent the lawful
offer or sale of shares of the Trust in any state or jurisdiction.
8. Insurer, Broker-Dealer and Equico shall submit to all regulatory
and administrative bodies having jurisdiction over the operations of Insurer,
Broker-Dealer, Equico or the Trust, present or future, any information, reports
or other material which any such body by reason of this Agreement may request
or require as authorized by applicable laws or regulations.
Equico shall keep confidential any information about Insurer's
Variable Products or policy owners obtained pursuant to this Agreement and
shall disclose such information only if Insurer or Broker-Dealer has authorized
such disclosure, or if such disclosure is required by state or federal
regulatory bodies, as authorized by applicable law. Equico will notify Insurer
and Broker-Dealer of disclosures required by regulatory bodies as soon as
possible.
-7-
<PAGE>
Equico agrees that all records and other data pertaining to the
Variable Products are the exclusive property of Insurer and that any such
records and other data, whether maintained in written or electronic format,
shall be furnished to Insurer by Equico upon termination of this Agreement for
any reason whatsoever. This shall not preclude Equico from keeping copies of
such data or records for its own files subject to the provisions of this
paragraph.
9. Insurer retains the ultimate right of control over, and
responsibility for marketing the Variable Products.
10. Equico represents that neither Equico nor any person employed in
any material connection with respect to the services provided pursuant to this
Agreement:
(a) Within the last 10 years has been convicted of any felony
or misdemeanor arising out of conduct involving embezzlement, fraudulent
conversion, or misappropriation of funds or securities, or involving violations
of Sections 1341, 1342, or 1343 of Title 18, United States Code; or
(b) Within the last 10 years has been found by any state
regulatory authority to have violated or has acknowledged violation of any
provision of any state insurance law involving fraud, deceit or knowing
misrepresentation; or
(c) Within the last 10 years has been found by any federal or
state regulatory authorities to have violated or have acknowledged violation of
-8-
<PAGE>
any provision of federal or state securities laws involving fraud, deceit or
knowing misrepresentation.
11. Equico, Broker-Dealer and Insurer each represent that no
commission or other fee shall be charged or paid to any person or entity in
connection with the sale or purchase of the Trust's shares to or from the
Separate Account, other than regular salary or wages.
12. This Agreement may be executed in multiple counterparts, each of
which shall be deemed an original, but all of which shall constitute one and
the same instrument.
-9-
<PAGE>
IN WITNESS WHEREOF, the parties hereto have caused this Agreement to
be duly executed as of the day and year first above written. The effective date
of this Agreement shall be the date first above written.
EQUICO SECURITIES, INC.
Attest:
/s/ Loraine Herzog By: /s/ Michael F. McNelis
- ------------------ ----------------------
THE EQUITABLE LIFE ASSURANCE
SOCIETY OF THE UNITED STATES
Attest:
/s/ Linda Galasso By: /s/ Gordon Dinsmore, Jr.
- ----------------- ------------------------
SEPARATE ACCOUNT A,
SEPARATE ACCOUNT 301 and
SEPARATE ACCOUNT NO. 51
By: THE EQUITABLE LIFE ASSURANCE
SOCIETY OF THE UNITED STATES,
as depositor of each Separate Account
Attest:
/s/ Linda Galasso By: /s/ Gordon Dinsmore, Jr.
- ----------------- ------------------------
FFQ_1DOC/20006
1GG_1.DOC/23920
- ---------------
-10-
<PAGE>
SCHEDULE A
All portfolios of The Hudson River Trust are available to the Separate
Accounts for premiums, contributions and other considerations associated with
all variable products funded by the Separate Accounts.
FFQ_1DOC/20006
1GG_1.DOC/23920
- ---------------
-11-
<PAGE>
[EQUITABLE LOGO]
GROUP TAX SHELTERED ANNUITY CONTRACT
GROUP ANNUITY CONTRACT NO. AC 5904
CONTRACT HOLDER: UNITED STATES TRUST COMPANY OF NEW YORK
REGISTER DATE: December 1, 1983
EFFECTIVE DATE:
This contract ("Contract") is issued in consideration of the payment to
Equitable of the contributions made under this Contract.
Equitable will issue to each Participant an individual certificate setting
forth a statement in substance of the benefits to which such Participant is
entitled under the Contract.
The provisions on the following pages are part of the Contract.
FOR THE CONTRACT HOLDER FOR THE EQUITABLE
By By
--------------------------------- ---------------------------------
President
Title By
------------------------------ ---------------------------------
Vice President & Secretary
Dated By
------------------------------ ---------------------------------
Assistant Register
Date of Issue At New York, New York
---------------------- ----------------------------
At ----------------------------------
(Head Office)
ASSETS HELD IN CONNECTION WITH THE CONTRACT MAY BE HELD IN ONE OR MORE SEPARATE
ACCOUNTS MAINTAINED BY EQUITABLE AND MAY INCREASE OR DECREASE IN VALUE AS
DESCRIBED IN THE CONTRACT.
No. 15,000 AC 5904 Page 1
<PAGE>
This Page (2) is reserved
for information in connection with
the issuance of certificates under
this Contract
No. 15,000 AC 5904 Page 2
<PAGE>
This Page (3) is reserved
for information in connection with
the issuance of certificates under
this Contract
No. 15,000 AC 5904 Page 3
<PAGE>
PART I -- DEFINITIONS
SECTION 1.01 EMPLOYER
The term "Employer" means (i) an educational organization employing a regular
faculty which is a State, a political division of a State, or an agency or
instrumentality of any one or more of the foregoing (within the meaning of
Section 170(b)(1)(A)(ii) of the Internal Revenue Code of 1954, as amended (the
"Code"), and (ii) an organization described in Section 501(c)(3) of the Code
which is exempt from Federal income tax under Section 501(c) of the Code, which
has entered into an Administrative Agreement as described on page 3 of the
certificate issued to Participants pursuant to Section 5.09.
SECTION 1.02 PLAN
The term "Plan" means a defined contribution pension plan established by an
Employer described in clause (ii) of Section 1.01 which has been determined by
the Internal Revenue Service to meet the requirements for qualification under
Section 401(a) of the Code and which permits or requires amounts contributed
thereunder to be applied under the Contract on behalf of the employees covered
under the Plan.
SECTION 1.03 SALARY REDUCTION AGREEMENT
The term "Salary Reduction Agreement" means (i) an agreement between an
Employer and an employee of the Employer with the meaning of Section
1.403(b)-1(b)(3) of the Federal income tax regulations, under which the
employee agrees to accept a reduction in salary or to forego an increase in
salary and to have such amounts applied under the contract for the employee's
behalf and (ii) any program or arrangement (other than by use of agreements
described above) pursuant to which an Employer makes contributions to the
purchase of an annuity meeting the requirements of Section 403(b) of the Code.
SECTION 1.04 ANNUITY
The term "Annuity" means an annuity purchased in accordance with the terms of
the Salary Reduction Agreement or the Plan to the extent the Salary Reduction
Agreement and the annuity purchased pursuant thereto meets the requirements of
Section 403(b) of the Code or the Plan meets the requirements of Section 401(a)
of the Code, whichever is applicable.
SECTION 1.05 PARTICIPANT
The term "Participant" means a person who has been enrolled by Equitable under
the Contract through an Administrative Agreement and for whom the Employer has
purchased an annuity under the Contract. A person shall become enrolled under
the Contract upon receipt by Equitable of an enrollment form made available by
Equitable or the Employer and completed in a manner satisfactory to Equitable.
No. 15,000 AC 5904 Page 4
<PAGE>
SECTION 1.06 ADMINISTRATIVE AGREEMENT
The term "Administrative Agreement" means a written understanding between the
Employer and Equitable which, among other things, may describe,
(i) procedures for facilitating the enrollment of Participants under the
Contract,
(ii) procedures pursuant to which contributions may be made under the
Contract on behalf of Participants,
(iii) procedures for facilitating the communication to Participants of
information prepared by Equitable concerning the Contract and
enrollment and contributions thereunder, and
(iv) the extent to which the Employer will perform any services in
connection with the Contract which would otherwise be performed by
Equitable.
SECTION 1.07 RETIREMENT DATE
The term "Retirement Date" means the date on which the Participant will attain
the retirement age specified in the Participant's enrollment form. Any time
prior to reaching this Retirement Date, the Participant may elect to change the
Retirement Date to another Retirement Date, which may be the first day of any
calendar month after the filing of the election. Any election for such change
must be made in writing by the Participant and shall not take effect until
received by Equitable at: Equitable Retirement Products Center, P.O. Box 1910,
Boston, MA 02115 or any other address that Equitable designates in written
notice to the Participant.
If no age has been specified in the enrollment form, the Retirement Date will
be deemed the first day of the calendar month following the month the
Participant attains age 65, or, if later, the Retirement Date provided under
the Plan. No Retirement Date shall be earlier than the date of attainment of
age 55.
SECTION 1.08 DEFINITIONS RELATING TO THE GUARANTEED RATE ACCOUNT
GUARANTEES: Each contribution allocated to a Participant's Guaranteed Rate
Account will be assigned to one or more of a group of Guarantees, each of which
will be distinguished by,
(i) its Contribution Quarter, as defined below,
(ii) its Duration, as defined below, and
(iii) its Guarantee Rate, as defined below.
No. 15,000 AC 5904 Page 5
<PAGE>
CONTRIBUTION QUARTER: The Contribution Quarter for a particular Guarantee is
that calendar quarter during which Participant contributions may be assigned to
that Guarantee. After the expiration of the Contribution Quarter for a
Guarantee, no further contributions may be assigned to that Guarantee.
DURATION: The Duration for a Guarantee commences on the first day of the
Contribution Quarter for that Guarantee and ends on the last day of a calendar
quarter that is specified at the time the applicable Guarantee Rate (as defined
below) is established, as described below.
GUARANTEE RATE: The Guarantee Rate for a particular Guarantee is the effective
annual rate of interest applicable throughout the Duration of that Guarantee.
Equitable will establish and announce the Guarantee Rate at least 15 days prior
to commencement of the Contribution Quarter. The Guarantee Rate will never be
less than 3% per annum.
GUARANTEE ACCRUED VALUE: A Participant's Accrued Value with respect to a
particular Guarantee will be equal to the sum of that Participant's
contributions assigned to that Guarantee, including transfers, plus the amount
of interest credited with respect to that Guarantee, minus the sum of the
withdrawals made with respect to that Guarantee, including transfers and
Withdrawal Charges, defined below, and any applicable Participant Service
Charges, as set forth in Section 3.08. Such Accrued Value will be credited with
interest daily at an annual effective rate of interest equal to the Guarantee
Rate.
GUARANTEE WITHDRAWAL CHARGE: Any transfers or withdrawals with respect to a
Guarantee prior to the end of the Duration of that Guarantee, except for
withdrawals for Participant Service Charges as set forth in Section 3.08, or
for death or disability benefits as set forth in Section 3.10, or upon the
election of an Annuity Benefit pursuant to Section 4.03 will be subject to a
Withdrawal Charge. The Withdrawal Charge will be equal to the lesser of (i) 7%
of the amount transferred or withdrawn (including the amount of such Withdrawal
Charge), and (ii) the "interest attributable" to the amount transferred or
withdrawn, defined as (a) times the excess of (b) over (c), where
(a) is the amount transferred or withdrawn from a Guarantee divided by the
Participant's Accrued Value with respect to that Guarantee;
(b) is such Accrued Value; and
(c) is the excess to date of (i) the Participant's Contributions, including
transfers, assigned to that Guarantee over (ii) "Net Withdrawals" with
respect to that Guarantee.
The "Net Withdrawals" with respect to a Guarantee are the actual amounts
credited to a Participant through transfers with respect to that Guarantee
pursuant to Section 3.05, and the actual amounts paid to a
No. 15,000 AC 5904 Page 6
<PAGE>
participant through partial withdrawals with respect to that Guarantee pursuant
to Section 3.06, exclusive of any withdrawal charge assessed. Withdrawals of
Participant Service Charges from a Guarantee are not included in Net
Withdrawals.
SECTION 1.09 STATE PREMIUM TAXES
The term "State Premium Taxes" means any premium tax applicable to the purchase
of annuities.
No. 15,000 AC 5904 Page 7
<PAGE>
PART II -- THE SEPARATE ACCOUNTS
SECTION 2.01 SEPARATE ACCOUNTS
The term "Separate Accounts" means the following separate accounts maintained
by Equitable to which portions of its assets have been allocated for the
Contract and certain other contracts:
NAME INVESTMENTS
- ----
Separate Account No. 301: Primarily in short-term money market instruments.
Separate Account No. 302: Primarily in common stocks.
Separate Account No. 303: Primarily in publicly-traded debt securities.
Separate Account No. 304: Primarily in publicly-traded common stocks,
publicly-traded debt securities, and short-term
money market instruments.
It is contemplated that investments in the Separate Accounts will, at most
times, consist of the investments indicated above. Equitable may, however, at
its discretion invest the assets of a Separate Account in any investment
permitted by applicable law. Equitable may rely conclusively on the opinion of
counsel (including attorneys in its employ) as to what investments it is
permitted by law to make. The assets of each Separate Account may be
temporarily held uninvested for such periods as Equitable may determine.
In lieu of making such investments directly, Equitable reserves the right,
subject to applicable law, to operate any Separate Account as a "unit
investment trust" under the Investment Company Act of 1940, or in any other
form permitted by law, which invests all or part of its assets in shares or
units of a fund the investment adviser of which may be Equitable or controlled
by Equitable. The fund assets would be invested as provided above with respect
to the Separate Account.
All income and all gains and losses, whether or not realized, from assets
allocated to a Separate Account will be credited to or charged against that
Separate Account without regard to the other income, gains, or losses of the
Equitable.
Equitable reserves the right, subject to compliance with applicable law
including approval of the Contract Holder or Participants if required, (1) to
create new separate accounts, (2) to combine any two or more Separate Accounts,
(3) to transfer assets determined by Equitable to be attributable to the class
of contracts to which the Contract belongs from any of the Separate Accounts to
another separate account by withdrawing the same percentage of
No. 15,000 AC 5904 Page 8
<PAGE>
each investment in that Account with appropriate adjustments to avoid odd lots
and fractions, (4) to cause the registration or deregistration of a Separate
Account under the Investment Company Act of 1940, (5) to operate a Separate
Account under the direction of a committee, and to discharge such committee at
any time, and (6) to restrict or eliminate any voting right of Participants or
other persons who have voting rights as to a Separate Account.
Assets of the Separate Accounts are subject to charges, to be made as described
in the Net Assets provision of Section 2.02.
The assets of each of the Separate Accounts are the property of Equitable;
however, the portion of the assets of each Separate Account equal to the
reserves and other contract liabilities with respect to such Separate Account
shall not be chargeable with liabilities arising out of any other business
Equitable may conduct. Equitable reserves the right to transfer assets of the
Separate Account in excess of such reserves and contract liabilities to the
general account of Equitable.
SECTION 2.02 DEFINITIONS RELATING TO THE SEPARATE ACCOUNTS
VALUATION PERIOD: The Valuation Period for Separate Account No. 301 starts from
the close of trading on the New York Stock Exchange and ends at the
corresponding time on the next Business Day. A Business Day for Separate
Account No. 301 is any day on which the New York Stock Exchange is open for
trading.
The Valuation Period for each Separate Account except Separate Account No. 301
starts from the close of trading on all the National Securities Exchanges on a
Business Day and ends at the corresponding time on the next Business Day. A
Business Day is any day on which any National Securities Exchange is open for
trading. A National Securities Exchange is one that is registered as such under
the Securities Exchange Act of 1934.
NET ASSETS: For a Separate Account, the Net Assets equal the value of the
assets in the Separate Account at the close of business of a Valuation Period,
minus the sum of (1) Expenses, and (2) any amount charged against the Separate
Account in such Valuation Period for taxes or for amounts set aside by
Equitable as a reserve for taxes attributable to the maintenance or operation
of the Separate Account.
NET INVESTMENT FACTOR: For a Separate Account, the Net Investment Factor for a
Valuation Period is the Net Assets at the close of business of that Valuation
Period (but before giving effect to any amounts allocated or amounts withdrawn
during that Valuation Period), divided by the Separate Account's Net Assets at
the close of business of the preceding Valuation Period.
UNIT: The Unit is a Unit used in determining the value of the interest of a
Participant's Investment Account in a Separate Account while an Account for
such participant is being maintained under the Contract.
No. 15,000 AC 5904 Page 9
<PAGE>
UNIT VALUE: The Unit Value for each Separate Account was initially established
at $10.00 on February 5, 1982. The Unit Value with respect to a Separate
Account for each subsequent Valuation is the Unit Value for the immediately
preceding Valuation Period multiplied by the Net Investment Factor for such
subsequent Valuation Period.
EXPENSES: The Expenses which may be charged to a Separate Account for a
Valuation Period are as follows:
(1) Any amount charged against the Separate Account by Equitable during such
Valuation Period to cover certain expenses incurred in the organization
and operation of the Separate Account, including, but not limited to
taxes, interest, brokerage fees and commissions, if any, fees of the
Separate Account Committee members who are not affiliated with Equitable,
Committee meeting costs, Securities and Exchange Commission fees and
certain related expenses including printing of registration statements
and amendments, charges relating to custody of securities, certain
insurance premiums, outside auditing and legal expenses, and certain of
the costs of maintaining participant services.
(2) The daily charge against the Separate Account for each day in such
Valuation Period for administrative expense charges, calculated on the
basis of an effective annual rate of 0.25% of the value of the assets in
the Separate Account.
(3) The daily charge against the Separate Account for each day in such
Valuation Period for investment management services, calculated on the
basis of an effective annual rate of:
(i) as to Separate Account No. 301 and Separate Account No. 303,
0.35% of the first $250 million, 0.325% of the next $250
million, and 0.30% of any excess over $500 million of the
value of the assets then in the Separate Account, and
(ii) as to Separate Account No. 302 and Separate Account No. 304,
0.50% of the first $250 million, 0.45% of the next $250
million, and 0.40% of any excess over $500 million of the
value of the assets then in the Separate Account.
If the aggregate expenses of the Separate Account for a calendar year
(including the charges described in sub-paragraphs (1), (2), and (3) of this
definition but excluding interest, taxes, brokerage and, with the consent of
appropriate state regulatory authorities, extraordinary expenses) should exceed
a charge determined on the basis of an effective annual rate of (i) 1.0%, as to
Separate Account No. 301, or (ii) 1.5%, as to Separate Account No. 302,
Separate Account No. 303, and Separate Account No. 304, of the assets in such
Separate Account during such calendar year, then Equitable shall reimburse the
Separate Account for the excess.
The value of the assets in the Separate Accounts, shall be taken at their
market value, or where there is no readily available market, their fair value,
as determined in accordance with accepted accounting practices, and applicable
laws and regulations.
No. 15,000 AC 5904 Page 10
<PAGE>
PART III -- PARTICIPANT'S ACCOUNT
SECTION 3.01 ACCOUNTS
Equitable will maintain at least one Account under the Contract for each
Participant. Each such Account will contain one or more sub-accounts,
hereinafter called "Investment Accounts." The Employer will designate in the
Administrative Agreement the investment media to be made available for
Investment Accounts for the Employer's Participants, which must include the
Money Market Investment Account. Such designated Investment Accounts will
appear on page 3 of the certificates to be issued to the Employer's
Participants pursuant to Section 5.09. Any amounts allocated to an Investment
Account will either become part of the general assets of Equitable ("General
Account"), which support the guarantees of the Contract and other contracts, or
part of a Separate Account applicable to that Investment Account, as follows:
<TABLE>
<CAPTION>
Investment Accounts Applicable Investment Medium
- ------------------------------------ -----------------------------
<S> <C>
Money Market Investment Account Separate Account No. 301
Stock Investment Account Separate Account No. 302
Bond Investment Account Separate Account No. 303
Balanced Investment Account Separate Account No. 304
Guaranteed Rate Account General Account
</TABLE>
Any amounts withdrawn from these Investment Accounts will no longer be part of
the General Account or the applicable Separate Accounts.
SECTION 3.02 ACCOUNT BALANCES OF INVESTMENT ACCOUNTS
On any day, the Account Balance of a Participant's Investment Account, other
than the Guaranteed Rate Account, will be equal to the product of the number of
Units in that Investment Account on that date and the Unit Value for the
applicable Separate Account for the Valuation Period which includes that date.
The number of Units in such an Investment Account on any date will be equal to
the sum of any Units credited to that Investment Account minus the sum of any
Units charged against that Investment Account. On any Valuation Date when a
designated amount is allocated to or withdrawn from such an Investment Account,
the Investment Account will be credited or charged, as the case may be, with a
number of Units determined by dividing the designated amount by the applicable
Unit Value for the Valuation Period which includes that date.
On any day, the Account Balance of a Participant's Guaranteed Rate Account will
be equal to the sum of the Accrued Values, on such day, with respect to all the
Guarantees to which contributions of that Participant have been allocated. On
any day, a Participant's Cash Value with respect to a particular Guarantee will
be equal to the Accrued Value with respect to that Guarantee minus any
applicable Guarantee Withdrawal Charge, as set forth in Section 1.08.
No. 15,000 AC 5904 Page 11
<PAGE>
SECTION 3.03 CONTRIBUTIONS
The Employer is to make contributions from time to time on such dates and in
such amounts as determined by the Employer pursuant to the Participant's Salary
Reduction Agreement, or, if applicable, the terms of the Plan. The Employer is
to specify the Participant with respect to whom each contribution is being made
and the amount to be allocated to each Investment Account as designated by the
Participant.
Contributions made under the Contract are subject to the following conditions:
1. Any contribution made for the Participant by any means other than
through payroll deduction may be made only subject to Equitable's rules
then in effect. Each contribution made other than through payroll
deduction must be at least $250 or, if applicable, such greater amount
as may be required by the terms of the Plan. This minimum Contribution
amount will be stated on page 3 of the certificates issued pursuant to
Section 5.09. The $250 minimum Contribution requirement shall not be
applicable if it would prevent the Participant from contributing up to
the maximum deductible contribution allowed the Participant in the
Participant's then current tax year.
2. A contribution may be made under the Contract for a Participant
consisting of amounts derived from a plan or a "Tax Sheltered Annuity"
meeting the requirements of Section 403(b) of the Internal Revenue Code
in which the Participant had an interest.
3. Any contribution allocated to a Participant's Guaranteed Rate Account
which is not made by payroll deduction must be received by Equitable
during the first fifteen calendar days of the Contribution Quarter for
the Guarantee Period to which the allocation is assigned. That portion
of any contribution received after the first such fifteen calendar days
which is allocated to the Guaranteed Rate Account will be deemed a
contribution made without appropriate direction and allocated in
accordance with subsection 3 of Section 3.04.
4. Equitable reserves the right:
(a) to refuse to accept a contribution for a Participant's
taxable year if such contribution would bring the aggregate
amount of contributions for such taxable year to more than
the maximum amount allowed by the applicable Sections of the
Code.
(b) Upon the advance written request of the Participant's
Employer, to establish a minimum contribution requirement
with respect to contributions made by the Participant through
payroll deduction by the Participant's Employer pursuant to
an Administrative Agreement.
(c) to change the $250 minimum contribution requirement in
subsection 1 of this Section, and
(d) to change the contribution timing requirement in subsection 3
of this Section.
No. 15,000 AC 5904 Page 12
<PAGE>
5. Any contribution will be deemed by Equitable to be made for the
Participant's current taxable year unless the Participant specifies in
writing to Equitable, subject to applicable requirements of the Internal
Revenue Code and regulations thereunder, that such contribution is for
the Participant's prior taxable year.
No. 15,000 AC 5904 Page 13
<PAGE>
SECTION 3.04 ALLOCATIONS
Each Contribution made with respect to a Participant pursuant to Section 3.03
will be allocated to the Participant's Investment Accounts, subject to the
following conditions:
1. The direction of the allocation of Contributions to the Participant's
Investment Accounts shall be in terms of whole percentages.
2. Allocations will be made as of the date on which Equitable receives the
contribution as provided in the Administrative Agreement in the case of
payroll deductions or at the address shown on page 3 of the certificate
to be issued to the Participant pursuant to Section 5.09 in the case of
Contributions other than through payroll deductions.
3. Any Contribution made without appropriate direction as to its
allocation will be allocated to the Money Market Investment Account.
4. The Participant may change the allocation of future Contributions upon
written notice to Equitable at the address shown on page 3 of the
Certificate to be issued to the Participant pursuant to Section 5.09.
Except with respect to allocations to the Guaranteed Rate Account which
must be received within the first fifteen calendar days of a
Contribution Quarter, if a Contribution made other than through payroll
deduction accompanies the written notice, the change shall be effective
as of the date of the receipt of the Contribution. Allocation changes
unaccompanied by a check shall be effective as the date of the first
Contribution received after Equitable's receipt of the Participant's
written notice. Equitable reserves the right to limit, upon at least 90
days advance notice to the Participant, the number of such changes
allowed in a calendar year, and with respect to the Guaranteed Rate
account, the timing and effective date of such allocation changes.
5. If Equitable offers more than one Guarantee during a Contribution
Quarter, Contributions allocated to the Participant's Guaranteed Rate
Account during that Contribution Quarter will be allocated among the
Guarantees receiving contributions during such Contribution Quarter in
accordance with the instructions of the Participant. If Contributions
are received with instructions for allocation to Guarantee Period whose
Durations differ from those being offered during that Contribution
Quarter, the part of the Contribution which cannot be allocated in
accordance with those instructions will be assigned to the Guarantee
with the next shorter Duration to which Contributions are being assigned
during that Contribution Quarter, or, if Contributions are not being
assigned to a Guarantee with a shorter Duration than that requested,
then to the Guarantee of the shortest Duration that is being offered.
SECTION 3.05 TRANSFERS
A Participant may transfer amounts among the Investment Accounts maintained for
the Participant under the Contract, subject to the following conditions:
1. The request for the transfer must be made in writing and will be
effective as of the later of the date specified in such request and the
date Equitable receives such request at the address shown on page 3 of
the certificate to be issued to the Participant pursuant to Section
5.09, except as set forth in subsection 4 below. Telephone transfers may
also be permitted if authorized by the Participant in writing.
No. 15,000 AC 5904 Page 14
<PAGE>
2. The amount so transferred will be allocated as of the date of transfer
to the Investment Account, or among the Investment Accounts, selected by
the Participant, except as set forth in subsection 4 below.
3. If only a part of the amount in an Investment Account is to be
transferred, such transfer will be made only if the amount to be
transferred is at least $250. Upon at least 90 days advance notice to
the Participant, Equitable may change the dollar amount appearing in the
immediately preceding sentence.
4. A transfer to the Guaranteed Rate Account from any of the other
Investment Accounts may be made only during the first fifteen calendar
days of a Contribution Quarter. Transfers may not be made from one
Guarantee in the Guaranteed Rate Account to another. Transfers from a
Guarantee in the Guaranteed Rate Account may not be made during the
Contribution Quarter with respect to that Guarantee, except that amounts
assigned to that Guarantee from a Guarantee ending on the last day of
the previous contribution Quarter may be transferred from the new
Guarantee during the first fifteen calendar days of the new Contribution
Quarter. Any other transfer may be made at any time.
5. Upon at least 90 days advance notice to the Participant, Equitable may
limit the number of the transfers that a Participant may make in any
twelve month period.
6. Transfers from the Guaranteed Rate Account are subject to the Guarantee
Withdrawal Charge described in Section 1.09.
SECTION 3.06 PARTIAL WITHDRAWALS
A Participant may elect by written notice to Equitable to make a partial
withdrawal from the Participant's Investment Accounts on or before such
Participant's Retirement Date. Partial withdrawals are subject to any
applicable restrictions under the terms of the Plan and to Equitable's advance
written consent if such withdrawal is for an amount of less than $250. If the
election would result in the sum of the amounts then in the Participant's
Investment Accounts being less than $10, Equitable will deem such election to
be instead an election by the Participant to terminate participation under the
Contract and will make the payment described in Section 3.09 in lieu of any
payment under this Section unless the Participant requests that the certificate
issued pursuant to Section 5.09 be permitted to remain in effect and Equitable
agrees.
Upon partial withdrawal, Equitable will pay to the Participant the lesser of
(i) the sum of the Account Balances of his Investment Accounts other than the
Guaranteed Rate Account, minus a $5 processing charge, and the Cash Value of
the Guaranteed Rate Account, or (ii) the amount of partial withdrawal requested
minus a $5 processing charge.
No. 15,000 AC 5904 Page 15
<PAGE>
Unless Equitable is otherwise directed by the Participant, the amount so paid
will be withdrawn from the Participant's Investment Accounts in proportion to
the amount of the Participant's Account Balance in each such Investment
Account. The $5 processing charge will be withdrawn from the Investment
Accounts other than the Guaranteed Rate Account. Unless otherwise directed by
the Participant, withdrawals from the Guaranteed Rate Account will be made from
the Guarantee with the most recent Contribution Quarter of each Duration (that
is, one year, three year and so forth) represented in the Participant's
Guaranteed Rate Account in the same proportion that the sum of the Accrued
Values of the Participant's Guarantees of each Duration bears to the Account
Balance of the Participant's Guaranteed Rate Account, or, if such Accrued
Values prove insufficient from the Guarantee or Guarantees with the next most
recent Contribution Quarter.
Notwithstanding anything to the contrary in this Section, withdrawals pursuant
to this Section may not be made from a Guarantee in the Guaranteed Rate Account
during its Contribution Quarter.
Upon any payment to a Participant pursuant to this Section, Equitable will be
released from any and all liability for payments with respect to the
contributions from which the amounts so withdrawn arose.
Payments to the Participant pursuant to this Section may be deferred by
Equitable in accordance with the provisions of Section 5.06.
SECTION 3.07 EXPIRATION OF THE GUARANTEE
At the end of the Duration of a Guarantee, Equitable will assign the Accrued
Value with respect to that Guarantee (i) to the Guarantee of similar Duration
to which contributions are being assigned during the Contribution Quarter next
following, (ii) if no Guarantee of similar Duration is being offered, to the
Guarantee with the shortest Duration being offered, or (iii) as elected by the
Participant pursuant to instructions received on or before the end of the
Guarantee.
SECTION 3.08 PARTICIPANT SERVICE CHARGE
Amount:
At least once in each calendar quarter, Equitable will withdraw from each
Participant's Account a Participant Service Charge for administrative expenses.
The amount of such charge shall be determined by Equitable with respect to each
Employer but will not be more than a maximum charge of $7.50 for each
Participant in each calendar quarter. The amount determined by Equitable with
respect to each Employer will be based on such factors as (i) the method by
which contributions are being made under the Contract (payroll deduction,
direct contribution or other), (ii) the number of Participants contributing
through the same payroll deduction facility or Employer, (iii) the total
contributions Equitable estimates will be made pursuant to the Administrative
Agreement, (iv) the nature of the Employer, (v) the extent to which, as
determined by Equitable, the Employer provides services pursuant to the
Administrative Agreement that Equitable would otherwise provide, (vi) any other
circumstances having an impact on Equitable's administrative expenses, and
(vii) whether the Participant is then receiving payments under the periodic
distribution option described in Section 4.04.
No. 15,000 AC 5904 Page 16
<PAGE>
Each such charge will be withdrawn from the Participant's Investment Accounts
in proportion to the amount the Account Balance in each Investment Account
bears to the sum of the Account Balances of the Participant's Investment
Accounts. Such withdrawals will reduce (i) the Participant's Accrued Values
with respect to the Guarantees with the most recent Contribution Quarter of
each Duration (that is, one year, three year and so forth) represented in the
Participant's Guaranteed Rate Account in the same proportion that the sum of
the Participant's Accrued Values with respect to the Guarantees of each
Duration bears to the Account Balance of the Participant's Guaranteed Rate
Account, or, if such Accrued Values prove insufficient, from the Guarantee or
Guarantees with the next most recent Contribution Quarter and so on until
sufficient amounts have been withdrawn, and (ii) the number of Units in the
Participant's other Investment Accounts.
The initial Participant Service Charge for a Participant shall be stated on
page 3 of the certificate issued to the Participant pursuant to Section 5.09.
Equitable reserves the right to withdraw the Participant Service Charge more or
less frequently than once each calendar quarter, but the amount will never
exceed $30 per annum. The Participant Service Charge is deducted first from
Contributions to the Guaranteed Rate Account, including transfers from other
Investment Accounts, and then from accrued interest. If Contributions to the
Guaranteed Rate Account are less than the applicable Participant Service Charge
in any year, the total Participant Service Charge for that year will not exceed
the amount of interest in excess of 3% which is credited to the Guaranteed Rate
Account in the absence of a service charge.
Employer Payment:
Pursuant to the terms of the Administrative Agreement the Employer may make a
contribution of an amount equal to the Participant Service Charge then due for
all the Employer's Participants covered by Equitable's TSA program. If such a
Contribution is made, no withdrawal from the Participant's Account will then be
made pursuant to this Section.
SECTION 3.09 TERMINATION OF PARTICIPATION
Subject to any applicable restrictions under the terms of the Plan, and on or
before a Participant's Retirement Date, the Participant may elect by written
notice to terminate participation under the Contract. Written notification must
be received at the address on page 3 of the certificate to be issued to the
Participant pursuant to Section 5.09. As of the date of receipt of such notice,
Equitable will determine and, subject to Section 5.06, pay the Participant the
Account Balances of the Participant's Investment Accounts other than the
Guaranteed Rate Account, minus a $5 processing charge and the Cash Value of the
Participant's Guaranteed Rate Account, less the then applicable Participant
Service Charge.
Equitable may elect to terminate the Participant's participation under the
Contract if no contribution has been made by or on behalf of the Participant
for at least three years from the date of the last contribution to the
Participant's Account and if the sum of the Account Balances of the
Participant's Investment Accounts does not exceed $2,000 or would, if it were
then the Participant's Retirement Date, provide an Annuity Benefit of less than
$20 per month. Upon so electing, the Equitable will determine and, subject to
Section 5.06, pay to the Participant the sum of the Account
No. 15,000 AC 5904 Page 17
<PAGE>
Balances of the Participant's Investment Account other than the Guaranteed Rate
Account, and the Cash Value of the Participant's Guaranteed Rate Account minus
the then applicable Participant Service Charge.
Upon payment pursuant to this Section, Equitable will be released from any and
all liability for payments with respect to the Contributions from which the sum
of the amounts then in the Participant's Investment Accounts arose.
SECTION 3.10 DEATH OR DISABILITY BENEFIT
If a Participant dies or becomes disabled while an Account for such Participant
is being maintained under the Contract, Equitable, upon receipt of due proof of
such death or disability, will pay, in a single sum to the Participant or the
beneficiary designated by the Participant to receive such payment, the sum of
the Account Balances of the Participant's Investment Accounts as of the date of
such proof is received, minus any Participant Service Charge then applicable.
Due proof of such death or disability must be received by Equitable at:
Equitable Retirement Products Center, P.O. Box 1910, Boston MA 02110.
Payment to the Participant or the beneficiary may be deferred by Equitable in
accordance with the provisions of Section 5.06.
Upon any payment made pursuant to this Section, Equitable will be released from
any and all liability for payment with respect to the contributions made for
the Participant.
SECTION 3.11 OPTIONAL MODES OF SETTLEMENT
Any Participant may elect that all or any part of any amount that would
otherwise be payable to the Participant's beneficiary in a single sum be paid
to such beneficiary under an optional mode of settlement, subject to
Equitable's rules in effect at the time of the election. The beneficiary may
make such an election after the Participant's death if no such election made by
the Participant is then in effect.
Any payee under an optional mode of settlement elected pursuant to this Section
may designate (with the right to revoke or to change such designation) a
beneficiary to receive any amount that, in the absence of such designation,
would be payable to such payee's executors or administrators.
Any election of an optional mode of settlement may be revoked or changed by the
Participant at any time before a payment is made thereunder. Any election,
designation, revocation, or change shall be effective as of the date written
notice thereof is filed with Equitable the address shown on page 3 of the
certificate to be issued to the Participant pursuant to Section 5.09.
No. 15,000 AC 5904 Page 18
<PAGE>
PART IV -- ANNUITY BENEFITS
SECTION 4.01 ANNUITY BENEFIT
The term "Annuity Benefit" means a series of monthly payments with respect to a
specified person or persons payable in a specified dollar amount.
The term "Annuity Value" means the amount, determined on the Participant's
Retirement Date, equal to the sum of the Account Balances of the Participant's
Investment Accounts.
The term "Amount Applied" means the portion of the Annuity Value which the
Participant elects to apply toward an Annuity Benefit pursuant to Section 4.02,
less any applicable State Premium Tax as determined by Equitable, less an
administrative fee of $175.
Each monthly payment under an Annuity Benefit under the Contract will be the
amount provided pursuant to Section 4.03.
The Normal Form of an Annuity Benefit under the Contract is the Full Cash
Refund Annuity form which provides for equal monthly payments to the
Participant beginning on the Participant's Retirement Date and ending with the
last monthly payment due before the Participant's death, and, upon receipt by
Equitable of due proof of the Participant's death, a single sum payment to the
beneficiary designated to receive such payment of an amount equal to the
excess, if any, of the Amount Applied over the sum of all the annuity payments
that have been paid to the Participant under the Contract.
SECTION 4.02 ELECTION AND COMMENCEMENT OF ANNUITY BENEFITS
As of a Participant's Retirement Date, provided such Participant is then
living, the Participant's Annuity Value shall be applied to provide an Annuity
Benefit on the Normal Form, unless such Participant elects as of such
Retirement Date to (i) terminate participation under the Contract and receive
the Cash Values of the Participant's Guaranteed Rate Account and the Account
Balances of the Participant's other Investment Accounts as a single sum, (ii)
have payments made under the periodic distribution option described in Section
4.04, (iii) have an Annuity Benefit provided pursuant to Section 4.03 or any
other annuity form or combination of forms offered by Equitable subject to
Equitable's rules then in effect, or (iv) have any combination of the three
preceding options.
Notwithstanding anything to the contrary in the preceding paragraph, Equitable
reserves the right to pay the Participant's Annuity Value to the Participant in
a single sum if less than $2,000 would be applied to provide an Annuity Benefit
or less than $20 per month would be payable under the Annuity Benefit or
periodic distribution option.
Equitable will provide appropriate notice and election forms to a Participant
[not more than six months or less than three months] before such Participant's
Retirement Date.
Equitable has the right to require the Participant to furnish pertinent facts
and determinations before providing an Annuity Benefit, and will be fully
protected in relying on such information and need not inquire as to the
accuracy or completeness thereof.
No. 15,000 AC 5904 Page 19
<PAGE>
SECTION 4.03 AMOUNT OF ANNUITY BENEFITS
If a Participant elects an Annuity Benefit, the Amount Applied will be applied
as of the Participant's Retirement Date to provide the Annuity Benefit.
[The Amount Applied shall provide the Annuity Benefit on the basis of either
(i) the Table of Guaranteed Annuity Payments shown in Section 4.05, (ii)
Equitable's current group annuity rates for payment of proceeds for the same
class of annuitants, or (iii) Equitable's current group rates for a single
consideration immediate annuity for the same class of annuitants, whichever
rates would provide the largest benefit to the payee.] If current group annuity
rates are used, such Participant's certificate will be replaced by an Equitable
supplemental certificate.
The Table of Guarantee Annuity Payment set forth the minimum amount of monthly
income that $1,000 of Participant's Amount Applied will provide under the
Contract on the Full Cash Refund Annuity Form. The amounts of income provided
under the Annuity Benefit are based on [3% interest and the 1983 Mortality
Table and Projection Scale G.] The amounts of income for ages and annuity forms
not shown in the table will be calculated on the same basis.
Equitable may change, by an amendment to the Contract, the monthly income
amounts contained in the Table of Guaranteed Annuity Payments and the basis for
determining such amounts, for new Participants, upon advance notice to the
Contract Holder.
SECTION 4.04 PERIODIC DISTRIBUTION OPTION
The Participant may elect pursuant to Section 4.02 to receive the Account
Balance of each of the Participant's Investment Accounts, other than the
Guaranteed Rate Account, under the periodic distribution option. Such option,
subject to the conditions set forth in the following paragraphs, provides a
series of monthly installment payments over a number of whole years beginning
as of the Participant's Retirement Date, or as soon thereafter as is
practicable. The number of whole years will be the lesser of (i) the number of
whole years designated by the Participant before the Participant's Retirement
Date and (ii) the number of years equal to the greater of the life expectancy
of the Participant, and the joint and last survivor expectancy of the
Participant and the Participant's spouse as of the Participant's Retirement
Date, rounded to the next lower year.
Conditions:
1. No payments may be made under the periodic distribution option from the
Guaranteed Rate Account, and no amounts may be retained in the Guaranteed
Rate Account while payments are being made under the periodic distribution
option.
2. The monthly amount of installment payments shall be computed by Equitable
monthly, beginning on the date as of which monthly installment payments
commence and, thereafter, as of the first day of each succeeding month.
The amount of each such monthly installment payment shall be determined by
dividing the sum of the Account Balances of the Participant's Investment
Accounts as of the first day of each such month by the number of months
then remaining under the periodic distribution option, less a monthly
transaction charge of $1.50 which will be deducted from the payment.
No. 15,000 AC 5904 Page 20
<PAGE>
3. Each monthly installment payment before deduction of the $1.50 transaction
charge will be withdrawn from the Participant's Investment Accounts in
proportion to the amount of the Participant's interest in each such
Investment Account immediately before such payment is made.
4. The Participant Service Charge will continue to be withdrawn from the
Participant's Account in accordance with Section 3.08; during the last
whole year of installment payments such charge shall be deducted as
necessary from the last monthly installment payments made.
5. While monthly installment payments are being made,
(a) the participant may transfer amounts among the Investment
Accounts other than the Guaranteed Rate Account maintained for
the Participant pursuant to Section 3.01, but
(b) no Contributions may be made for or by the Participant.
6. The Participant may elect by advance written notice to have Equitable cease
making monthly installment payments and instead pay in a single sum to the
participant the sum of the Account Balances of the Participant's
Investment Accounts minus a $5 processing charge. Upon making such payment
Equitable will be released from any and all liability for payments with
respect to the Contributions made for the Participant from which the
payment arose.
7. No monthly installment payment shall be of an amount greater than the sum of
the Account Balances of the Participant's Investment Accounts immediately
before the due date of such payment.
8. If the Participant dies while monthly installment payments are being made, a
single sum death benefit will be paid to the Participant's beneficiary
pursuant to Section 3.10. Upon payment of such death benefit, Equitable
will be released from any and all liability for payments with respect to
the Contributions made for the Participant from which the death benefit
payment arose.
SECTION 4.05 PAYMENT OF BENEFITS
Evidence of each payee's survival must be furnished to Equitable either by
personal endorsement of the check drawn for payment or by other means
satisfactory to Equitable.
If a benefit payable under the Contract was based on information about the
Participant's age or identity that is subsequently found to be incorrect,
such benefit will not be invalidated, but an adjustment on the basis of the
correct information will be made in the amount of the benefit payments, or
any amount used to provide the benefit, or any combination thereof. Such
adjustment, with interest at the rate of 6% per year, will be added to any
payments thereafter falling due under the Contract with respect to the
payee.
The liability of Equitable with respect to a payee is limited to the
correct information and the actual amounts used to provide the benefits
then in force with respect to the payee under the Contract.
No. 15,000 AC 5904 Page 21
<PAGE>
With respect to any other statements required as a condition of issuing a
certificate to a Participant pursuant to Section 5.09, except statements
relating to the disability benefit in Section 3.10, the certificate shall be
incontestable after it has been in force during the lifetime of the participant
for two years.
If Equitable receives evidence satisfactory to it that (i) a payee entitled to
receive any payment under the Contract is physically or mentally incompetent to
receive such payment or is a minor, (ii) another person or an institution is
then maintaining or has custody of such payee, and (iii) no guardian,
committee, or other representative of the estate of such payee has been
appointed, Equitable may make the payments (in the case of a minor, in an
amount not exceeding $50 a month) to such other person or institution, and will
thereupon be fully discharged from all liability with respect thereto.
If an annuity form made available by Equitable provides for payment for a
period certain, such as 120 or 180 months, and thereafter during the remaining
lifetime of one person, or of at least one of two persons, a payee for payments
thereunder may elect, without the concurrence of any other person, to receive
the commuted value of any remaining payments, provided no person upon whose
life the income depends is surviving.
Upon election by a Participant pursuant to Section 4.02 of an annuity form
providing payments for a period certain, such Participant may designate (with
the right to change such designation) a person or persons to receive any
payments that may become due after the death of the person or persons upon
whose life or lives the income may depend.
Payments under annuity forms with life contingencies terminate with the last
payment due before the death of the person or persons upon whose life the
income depends or the end of the certain period, whichever is later.
Equitable will require satisfactory evidence of the age of any person up whose
life an annuity form depends.
No. 15,000 AC 5904 Page 22
<PAGE>
TABLE OF GUARANTEED ANNUITY PAYMENTS
(Based on Age Nearest Birthday on Due Date of First Payment)
Annuity Benefit Payable On The Full Cash Refund Annuity Form
(Minimum Monthly Income Per $1,000 of Amount Applied)
<TABLE>
<CAPTION>
Age Annuity Benefit
- ------ ----------------
<S> <C>
60 4.18
61 4.26
62 4.34
63 4.43
64 4.52
65 4.62
66 4.73
67 4.83
68 4.95
69 5.07
70 5.20
</TABLE>
Amounts applicable for ages or for annuity forms not shown will be calculated
by Equitable on the same actuarial basis.
No. 15,000 AC 5904 Page 23
<PAGE>
PART V -- GENERAL PROVISIONS
SECTION 5.01 CONTRACT
The Contract constitutes the entire contract between the parties and the
provisions of the Contract alone will govern with respect to the rights and
obligations of Equitable. The provisions of the Contract will be applied
separately with respect to each Participant. Nothing in the enrollment form
referred to in Section 1.05, the administrative agreement referred to in
Section 1.06, the trust agreement referred to in Section 5.08 nor any
modification, amendment, or supplement to any such documents will in any way be
construed to enlarge, change, vary or in any other way affect the obligations
of Equitable as expressly provided in the Contract.
The Contract may not be modified as to Equitable, nor may any of Equitable's
rights or requirements be waived, except in writing and by an authorized
officer of Equitable. The Contract may be changed by amendment or replacement
upon agreement between the Contract Holder and Equitable without the consent of
any other person provided that such change does not reduce any Cash Value,
Account Balance, Annuity Value, or Annuity Benefit provided before such change
and provided that no rights, privileges or benefits which have accrued to any
Participant under the Contract may be reduced or forfeited except by the
express consent of such Participant.
SECTION 5.02 STATUTORY COMPLIANCE
Equitable reserves the right to amend the Contract without the consent of any
other person in order to comply with applicable laws and regulations. Such
right shall include, but shall not be limited to, the right to conform the
Contract and any certificate to reflect changes in the Internal Revenue Code,
or in regulations or published rulings of the Internal Revenue Service, so that
each such certificate will continue to be an Annuity covered under Section 72
of the Internal Revenue Code.
Any Annuity Benefit, Accrued Values, Account Balance or death or disability
benefit available under a certificate issued pursuant to the Contract shall not
be less than the minimum benefits required by any statute of the state in which
the certificate is delivered.
SECTION 5.03 ASSIGNMENTS AND NON-TRANSFERABILITY
The entire interest of any Participant under the Contract is nonforfeitable.
No interest of a Participant under the Contract may be sold, assigned,
discounted, or pledged as collateral for a loan or as security for the
performance of an obligation or for any other purpose to any person other than
Equitable.
No amount payable under the Contract may be assigned or encumbered by the payee
and, to the extent permitted by law, no such amount will in any way be subject
to any claim against such payee.
No. 15,000 AC 5904 Page 24
<PAGE>
SECTION 5.04 BENEFICIARY
Each Participant, as of such Participant's Enrollment Date, is to provide
Equitable with an initial designation of a beneficiary or beneficiaries
entitled to receive any payment with respect to such participant becoming due
under the Contract after the death of the Participant. The Participant may
change such designation from time to time. Any such designation or change will
be made by written notice on a form satisfactory to Equitable. A change will,
upon receipt at a designated Equitable Office, take effect as of the time the
written notice was signed, whether or not the Participant is living on the date
of receipt, but without further liability as to any payment or other settlement
made by Equitable before receipt of such change.
Unless otherwise specified in the designation, if a Participant has designated
two or more persons as beneficiary, the beneficiary will be the designated
person or persons who survive the Participant, and if more than one survive
they will share equally.
If upon the death of a person there is no designated beneficiary then living
entitled to receive any single sum payment or any remaining periodic payments
then becoming due to a beneficiary with respect to a Participant, Equitable
shall pay such single sum payment or the commuted values of such periodic
payments to the first surviving class of the following classes of successive
preference beneficiaries: (a) the Participant's surviving spouse, (b) the
Participant's surviving children, (c) the executors or administrators of the
person upon whose death the payment becomes due.
Any commuted value shall be determined on the basis of compound interest at the
rate determined by Equitable as consistent with the actuarial basis used in
providing the annuity benefits.
If the Participant so elects in writing, any amount that would otherwise be
payable to the beneficiary in a single sum may be applied to provide an Annuity
Benefit, on the form of annuity elected by the Participant with respect to the
beneficiary, subject to Equitable's rules then in effect. If at the death of a
Participant there is no election in effect to apply the Death Benefit to
provide an Annuity Benefit, the beneficiary may make such an election.
SECTION 5.05 FUTURE PARTICIPANTS
Equitable reserves the right at its sole discretion to curtail or prohibit
further enrollment as Participants under the Contract of any individuals who
are not currently participating under the Contract as of such date of
curtailment or prohibition.
SECTION 5.06 DEFERMENT
Except as provided in this Section, payments by Equitable from the
Participant's Account pursuant to the provisions of Sections 3.06, 3.09, and
Section 3.10 will be made within seven days after receipt of a written request
for such surrender or withdrawal, or receipt of due proof of death or
disability of the Participant.
No. 15,000 AC 5904 Page 25
<PAGE>
During any period when (i) the sale of securities or the determination of the
Unit Value is not reasonably practicable because an emergency, defined by the
Securities and Exchange Commission, exists, or the New York Stock Exchange is
closed or trading on such Exchange is restricted, or (ii) the Securities and
Exchange Commission may by order permit postponement for the protection of
persons having interests in a Separate Account, Equitable reserves the right:
(a) to defer payment of the Account Balance of a Participant's
Investment Account other than the Guaranteed Rate Account;
(b) to defer payment of any portion of a death or disability benefit
arising from an amount in a Participant's Investment Accounts
other than the Guaranteed Rate Account, or
(c) in the event of (a) above, to defer application of such amounts
to provide any Annuity Benefit permitted under the Contract.
Payments by Equitable from the Guaranteed Rate Account pursuant to Section
3.06, Section 3.09 or Section 3.10 or any commuted payments arising from an
annuity pursuant to Section 4.05 may be deferred for up to six months after
receipt of a written request for such withdrawal or termination, receipt of due
proof of disability or death of the Participant, or receipt of due
documentation for such commutation. Interest at the applicable Guarantee Rate
for the amount withdrawn will be allowed on any payment deferred for 30 days or
more.
SECTION 5.07 ANNUAL NOTICE
As soon as practicable after the end of each calendar year Equitable, provided
an Account is being maintained for the Participant at the end of such calendar
year, will furnish the Participant with a notice showing as of a specified
recent date (1) the total number of Units credited to each Investment Account
other than the Guaranteed Rate Account, (2) the Unit Value of such Investment
Accounts, (3) the Account Balance of each Investment Account, (4) the sum of
the Account Balances of each Investment Account, and (5) the Cash Value of the
Guaranteed Rate Account.
SECTION 5.08 CONTRACT HOLDER RESPONSIBILITY
The sole responsibility of the Contract Holder is to serve as party to the
Contract. The Contract Holder will have no responsibility for the
administration of any plan, for payments to the Accounts, for any payments,
distributions or duties thereunder. Equitable will deal with the Contract
Holder in accordance with the terms and conditions of the trust agreement
pursuant to which the Contract Holder agreed to act as such and with the
Contract and in such manner as the Contract Holder and Equitable may agree,
without the consent of any other person.
No. 15,000 AC 5904 Page 26
<PAGE>
SECTION 5.09 CERTIFICATE
Equitable will issue to each Participant an individual certificate setting
forth a statement in substance of the benefits to which such Participant is
entitled under the Contract. Nothing in the Contract will invalidate or impair
any rights granted to a Participant in such certificates or under the New York
Insurance Law.
SECTION 5.10 DISQUALIFICATION
In the event that an annuity purchased hereunder with respect to a Participant
fails to qualify as an Annuity as described in Section 1.04, Equitable shall
have the right, upon receiving notice of such fact before the Retirement Date,
to terminate participation with respect to such Participant under the Contract
and pay to that Participant the sum of the Cash Values of the Participant's
Guaranteed Rate Account and the Account Balances of the Participant's other
Investment Accounts less a deduction for any applicable Participant Service
Charge and for the appropriate part attributable to such Participant of any
Federal income tax payable by Equitable which would not have been payable if
such Participant had not had any annuity under the Contract.
SECTION 5.11 PARTICIPATION IN SURPLUS
The Contract and all other contracts in the same class of contracts shall be
combined for the purpose of ascertaining the annual surplus of Equitable to be
apportioned among such contracts as a dividend. Equitable shall determine the
portion of such dividend to be allocated to the Contract; however, the amount
thereof is expected to be minimal. Any amount allocated to the Contract shall
be payable as of January 1 of the calendar year in which a dividend is
apportioned. Dividends will be payable to the Participant's Account and
allocated in accordance with the Account Balances in the Guaranteed Rate
Accounts maintained for Participants under this Contract. Dividends will be
assigned to the Guarantee of the shortest Duration to which contributions are
being assigned during the Contribution Quarter when the dividend is paid.
No. 15,000 AC 5904 Page 27
<PAGE>
APPLICATION FOR GROUP ANNUITY CONTRACT
To:
The EQUITABLE Life Assurance Society of the United States
UNITED STATES TRUST COMPANY OF NEW YORK
- --------------------------------------------------------------------------------
(hereinafter called the Applicant)
45 Wall Street, New York, New York 10005
of
------------------------------------------------------------------------------
(Applicant's Head Office Address)
HEREBY APPLIES for a Group Annuity Contract in the form attached, and approves
and accepts the terms of such Group Annuity Contract. This application
supersedes any application for the said contract previously signed by the
Applicant.
This contract will take effect as of --------------------- 1, 1983.
Dated
at
--------------------------------
Signature of
Applicant
------------------------------
---------------------------------------
---------------------------------------
---------------------------------------
Official
Title
----------------------------------
No. 15,000 AC 5904 Page 28
<PAGE>
THE EQUITABLE LIFE ASSURANCE SOCIETY OF THE UNITED STATES
Effective as of the dates specified below, or your Participation Date,
whichever is later, we have amended Group Annuity Contract AC 5904 as follows:
1. The Equitable office address on page 3 is amended as of November 1, 1985 to
read as follows:
"The Equitable Life Assurance Society
P.O. Box 2509
General Post Office
New York, New York 10116."
2. Section 1.02 entitled "Plan" is amended, as of January 1, 1985, to read as
follows:
"The term "Plan" means a program established by an Employer described in
clause (ii) of Section 1.01, for the purchase of Annuities on behalf of
employees under the Contract, which program is not exempt under 29 Code
of Federal Regulations Section 2510.3-2(f) and is therefore an
"employee pension benefit plan" subject to the requirements of Title I
of the Employee Retirement Income Security Act of 1974 ("ERISA") as it
may be amended from time to time."
<PAGE>
3. Section 1.04 entitled "Annuity" is amended, as of January 1, 1985, to read
as follows:
"The term "Annuity" means an annuity purchased in accordance with the
terms of the Salary Reduction Agreement, program or Plan which annuity
meets the requirements of Section 403(b) of the Code."
4. In Section 1.07 entitled "Retirement Date" the following amendments are
made:
A. As of November 1, 1985 the third sentence of the first paragraph is
amended to read as follows:
"Any election for such change must be made in writing by the
Participant and shall not take effect until received by Equitable at:
The Equitable Life Assurance Society, P.O. Box 2509, General Post
Office, New York, New York 10116, or any other address that Equitable
designates in written notice to the Participant."
B. As of January 1, 1985 a new third paragraph is added to read as
follows:
2
<PAGE>
"If participation under the Contract is pursuant to the terms of a
Plan, the designation of, and any election to change the Retirement
Date under this Section 1.07 shall be made by the Participant in
accordance with this Section 1.07 and the terms of the Plan."
5. In Section 1.08 entitled "Definitions Relating to Guaranteed Rate Account"
the following amendments are made:
A. The definition of "Guarantee Rate" in the fourth paragraph thereof is
amended as of February 1, 1986 by deleting the phrase "15 days" and
placing in lieu thereof the phrase "10 days".
B. The following last sentence is added to the definition of "Guarantee
Withdrawal Charge" in the sixth paragraph thereof, as of January 1,
1986, to read as follows:
"The Withdrawal Charge will be deducted from the remaining amounts in
the Participant's Guarantee after the withdrawal payment is
processed; except the Withdrawal Charge may be deducted from the
withdrawal payment if there is an insufficient amount in the
Participant's Guarantee to pay such charge."
3
<PAGE>
6. In Section 3.03 entitled "Contributions" condition number 3 is amended as of
February 1, 1986 by deleting the phrase "fifteen calendar days" both
places it appears and by placing in lieu thereof the phrase "twenty
calendar days."
7. In Section 3.04 entitled "Allocations" condition number 4 is amended as of
February 1, 1986 by deleting the phrase "fifteen calendar days" in the
second sentence thereof and by placing in lieu thereof the phrase "twenty
calendar days."
8. In Section 3.05 entitled "Transfers" condition number 4 is amended as of
February 1, 1986 by deleting the phrase "fifteen calendar days" in both
places it appears and by placing in lieu thereof the phrase "twenty
calendar days."
9. In Section 3.06 entitled "Partial Withdrawals" the third paragraph is
amended as of January 1, 1986 to read as follows:
"Upon partial withdrawal, Equitable will pay the Participant the lesser
of (i) the amount of partial withdrawal requested or (ii) the sum of the
Account Balances of his Investment Accounts other than the Guaranteed
Rate Account. A processing charge of $5 will be deducted from the
remaining Account Balances of the Participant's Investment Accounts
after the partial withdrawal
4
<PAGE>
payment is processed; however, the processing charge may instead be
deducted from the partial payment."
10. In Section 3.09 entitled "Termination of Participation" the first sentence
is amended as of January 1, 1985 to read as follows:
"Subject to any applicable restrictions under the terms of an Employer's
program or Plan, and on or before a Participant's Retirement Date, the
Participant may elect by written notice to terminate participation under
the Contract."
11. In Section 3.10 entitled "Death or Disability Benefit" the last sentence of
the first paragraph is amended as of November 1, 1985 to read as follows:
"Due proof of such death or disability must be received by Equitable at:
The Equitable Life Assurance Society, P.O. Box 2509, General Post
Office, New York, New York 10116, or any other address Equitable
designates in written notice to the Participant."
12. In Section 4.04 entitled "Periodic Distribution Option" the following
amendments are made as of January 1, 1986:
A) The last sentence of Condition number 2 is amended
5
<PAGE>
by deleting it and replacing it with the following two sentences:
"2. The amount of each such monthly installment payment shall be
determined by dividing the sum of the Account Balances of the
Participant's Investment Accounts as of the first day of each
such month by the number of months then remaining under the
periodic distribution option. A monthly transaction charge of
$1.50 will be deducted proportionately from the remaining Account
Balances of the Participant's Investment Accounts after each such
monthly installment payment is determined, provided, however,
that the transaction charge of $1.50 may be deducted from the
last payment made."
B. Condition number 3 is amended to read as follows:
"3. Each monthly installment payment will be withdrawn from the
Participant's Investment Accounts in proportion to the amount of
the Participant's interest in each such Investment Account
immediately before such payment is made."
6
<PAGE>
13. New Section 4.06 is added as of January 1, 1985 to read as follows:
"Section 4.06 SPECIAL ANNUITY AND SPOUSAL
CONSENT PROVISIONS APPLICABLE
TO PLANS
"If participation under the Contract is pursuant to the terms of a Plan, then
the provisions of this Section 4.06 shall supersede any contrary provisions in
the Contract and Certificate.
"Unless a married Participant and his or her spouse elect otherwise in
accordance with the terms of the Plan and as provided in this Section 4.06,
Account Balances payable pursuant to the terms of the Contract shall be paid to
the Participant in the form of a "Qualified Joint and Survivor Annuity." A
"Qualified Joint and Survivor Annuity" is an Annuity Benefit in which the
Amount Applied is applied to provide an annuity for the life of the Participant
with a survivor annuity for the life of the Participant's spouse which is not
less than 50% and not more than 100% of the annuity which is payable during the
joint lives of the Participant and his or her spouse. If the Participant is
unmarried and does not elect otherwise, the Amount Applied shall be applied to
provide an annuity for his or her life.
7
<PAGE>
"In addition, unless a contrary election is made pursuant to the terms of the
Plan and this Section 4.06, if a married Participant dies before payment of his
or her Account Balances have commenced, then the Amount Applied shall be
applied to purchase an annuity for the life of the Participant's spouse.
"The Participant may elect, on a form acceptable to Equitable, within the 90
consecutive day period before the date as of which payment of the value of the
Account Balances is to commence, not to have the Amount Applied applied to
provide a Qualified Joint and Survivor Annuity, or if he or she is not married,
a life annuity, in which case he or she may elect any other form of payment
available under the terms of the Plan and the Contract. The Participant may
also elect, on a form acceptable to Equitable, on the first day of the Plan
year in which he or she turns age 35 (or if he or she ceases to work for the
Employer prior to that Plan year, as of the date he or she ceases to work for
the Employer) for a beneficiary other than the spouse to receive payment of the
value of the Account Balances in the event of his or her death (less any
applicable charges and taxes as determined by Equitable). An election under
either of the two preceding sentences must be consented to by the Participant's
spouse, if applicable, in writing before a notary or a representative of the
Plan and must be limited to a benefit for a specific alternate beneficiary.
However, no spousal consent will be required if the Participant
8
<PAGE>
can prove to the satisfaction of the Employer and Equitable, that he or she has
no spouse or else that he or she cannot locate the spouse. Each election to
designate a beneficiary other than the Participant's spouse must be consented
to by the spouse and any election made under this paragraph to waive the
spouse's benefits may be revoked without the consent of the spouse at any time
prior to the date as of which payments commence. Any consent to waive the
spouse's benefits shall be valid only with regard to the spouse who signs it.
Any new waiver or change of beneficiary shall require new spousal consent.
"The provisions requiring spousal consent in this Section 4.06 shall also apply
with regard to a Participant's election to withdraw his or her Account Balances
pursuant to Sections 3.06 or 3.09. A spouse's written consent, witnessed by a
representative of the Plan or notary, must be given on a form acceptable to
Equitable within the 90 consecutive day period prior to such withdrawal unless
the Participant can show that he or she is not married or his or her spouse
cannot be located.
"The foregoing notwithstanding, if the present value of the Participant's
Account Balances on the date payment is to commence is less than $2,000,
Equitable may choose to make payment in a single sum rather than in the form of
a Qualified
9
<PAGE>
Joint and Survivor Annuity or life annuity as described herein.
"Upon any payment made pursuant to this Section 4.06, Equitable will be
released from any and all liability for payment with respect to the
contributions made for the Participant."
/s/ Rodney L. Enochs /s/ John B. Carter
- ---------------------------- ----------------------------
Vice President and Secretary President
10
<PAGE>
THE EQUITABLE LIFE ASSURANCE SOCIETY OF THE UNITED STATES
Effective as of the dates specified below, or your Participation Date,
whichever is later, we have amended the Certificate issued under Group Annuity
Contract AC 5904 as follows:
1. The Equitable office address on page 3 is amended as of November 1, 1985 to
read as follows:
"The Equitable Life Assurance Society
P.O. Box 2509
General Post Office
New York, New York 10116."
2. Section 1.02 entitled "Plan" is amended, as of January 1, 1985, to read as
follows:
"The term "Plan" means a program established by an Employer described in
clause (ii) of Section 1.01, for the purchase of Annuities on behalf of
employees under the Contract, which program is not exempt under 29 Code
of Federal Regulations Section 2510.3-2(f) and is therefore an
"employee pension benefit plan" subject to the requirements of Title I
of the Employee Retirement Income Security Act of 1974 ("ERISA") as it
may be amended from time to time."
<PAGE>
3. Section 1.04 entitled "Annuity" is amended, as of January 1, 1985, to read
as follows:
"The term "Annuity" means an annuity purchased in accordance with the
terms of the Salary Reduction Agreement, program or Plan which annuity
meets the requirements of Section 403(b) of the Code."
4. In Section 1.07 entitled "Retirement Date" the following amendments are
made:
A. As of November 1, 1985 the third sentence of the first paragraph is
amended to read as follows:
"Any election for such change must be made in writing by the
Participant and shall not take effect until received by Equitable at:
The Equitable Life Assurance Society, P.O. Box 2509, General Post
Office, New York, New York 10116, or any other address that Equitable
designates in written notice to the Participant."
B. As of January 1, 1985 a new third paragraph is added to read as
follows:
2
<PAGE>
"If participation under the Contract is pursuant to the terms of a
Plan, the designation of, and any election to change the Retirement
Date under this Section 1.07 shall be made by the Participant in
accordance with this Section 1.07 and the terms of the Plan."
5. In Section 1.08 entitled "Definitions Relating to Guaranteed Rate Account"
the following amendments are made:
A. The definition of "Guarantee Rate" in the fourth paragraph thereof is
amended as of February 1, 1986 by deleting the phrase "15 days" and
placing in lieu thereof the phrase "10 days".
B. The following last sentence is added to the definition of "Guarantee
Withdrawal Charge" in the sixth paragraph thereof, as of January 1,
1986, to read as follows:
"The Withdrawal Charge will be deducted from the remaining amounts in
the Participant's Guarantee after the withdrawal payment is
processed; except the Withdrawal Charge may be deducted from the
withdrawal payment if there is an insufficient amount in the
Participant's Guarantee to pay such charge."
3
<PAGE>
6. In Section 3.03 entitled "Contributions" condition number 3 is amended as of
February 1, 1986 by deleting the phrase "fifteen calendar days" both places
it appears and by placing in lieu thereof the phrase "twenty calendar days."
7. In Section 3.04 entitled "Allocations" condition number 4 is amended as of
February 1, 1986 by deleting the phrase "fifteen calendar days" in the
second sentence thereof and by placing in lieu thereof the phrase "twenty
calendar days."
8. In Section 3.05 entitled "Transfers" condition number 4 is amended as of
February 1, 1986 by deleting the phrase "fifteen calendar days" in both
places it appears and by placing in lieu thereof the phrase "twenty calendar
days."
9. In Section 3.06 entitled "Partial Withdrawals" the third paragraph is
amended as of January 1, 1986 to read as follows:
"Upon partial withdrawal, Equitable will pay the Participant the lesser
of (i) the amount of partial withdrawal requested or (ii) the sum of the
Account Balances of his Investment Accounts other than the Guaranteed
Rate Account. A processing charge of $5 will be deducted from the
remaining Account Balances of the Participant's Investment Accounts
after the partial withdrawal
4
<PAGE>
payment is processed; however, the processing charge may instead be
deducted from the partial payment."
10. In Section 3.09 entitled "Termination of Participation" the first sentence
is amended as of January 1, 1985 to read as follows:
"Subject to any applicable restrictions under the terms of an Employer's
program or Plan, and on or before a Participant's Retirement Date, the
Participant may elect by written notice to terminate participation under
the Contract."
11. In Section 3.10 entitled "Death or Disability Benefit" the last sentence of
the first paragraph is amended as of November 1, 1985 to read as follows:
"Due proof of such death or disability must be received by Equitable at:
The Equitable Life Assurance Society, P.O. Box 2509, General Post
Office, New York, New York 10116, or any other address Equitable
designates in written notice to the Participant."
12. In Section 4.04 entitled "Periodic Distribution Option" the following
amendments are made as of January 1, 1986:
A) The last sentence of Condition number 2 is amended
5
<PAGE>
by deleting it and replacing it with the following two sentences:
"2. The amount of each such monthly installment payment shall be
determined by dividing the sum of the Account Balances of the
Participant's Investment Accounts as of the first day of each
such month by the number of months then remaining under the
periodic distribution option. A monthly transaction charge of
$1.50 will be deducted proportionately from the remaining Account
Balances of the Participant's Investment Accounts after each such
monthly installment payment is determined, provided, however,
that the transaction charge of $1.50 may be deducted from the
last payment made."
B. Condition number 3 is amended to read as follows:
"3. Each monthly installment payment will be withdrawn from the
Participant's Investment Accounts in proportion to the amount of
the Participant's interest in each such Investment Account
immediately before such payment is made."
6
<PAGE>
13. New Section 4.06 is added as of January 1, 1985 to read as follows:
"Section 4.06 SPECIAL ANNUITY AND SPOUSAL
CONSENT PROVISIONS APPLICABLE
TO PLANS
"If participation under the Contract is pursuant to the terms of a Plan, then
the provisions of this Section 4.06 shall supersede any contrary provisions in
the Contract and Certificate.
"Unless a married Participant and his or her spouse elect otherwise in
accordance with the terms of the Plan and as provided in this Section 4.06,
Account Balances payable pursuant to the terms of the Contract shall be paid to
the Participant in the form of a "Qualified Joint and Survivor Annuity." A
"Qualified Joint and Survivor Annuity" is an Annuity Benefit in which the
Amount Applied is applied to provide an annuity for the life of the Participant
with a survivor annuity for the life of the Participant's spouse which is not
less than 50% and not more than 100% of the annuity which is payable during the
joint lives of the Participant and his or her spouse. If the Participant is
unmarried and does not elect otherwise, the Amount Applied shall be applied to
provide an annuity for his or her life.
7
<PAGE>
"In addition, unless a contrary election is made pursuant to the terms of the
Plan and this Section 4.06, if a married Participant dies before payment of his
or her Account Balances have commenced, then the Amount Applied shall be
applied to purchase an annuity for the life of the Participant's spouse.
"The Participant may elect, on a form acceptable to Equitable, within the 90
consecutive day period before the date as of which payment of the value of the
Account Balances is to commence, not to have the Amount Applied applied to
provide a Qualified Joint and Survivor Annuity, or if he or she is not married,
a life annuity, in which case he or she may elect any other form of payment
available under the terms of the Plan and the Contract. The Participant may
also elect, on a form acceptable to Equitable, on the first day of the Plan
year in which he or she turns age 35 (or if he or she ceases to work for the
Employer prior to that Plan year, as of the date he or she ceases to work for
the Employer) for a beneficiary other than the spouse to receive payment of the
value of the Account Balances in the event of his or her death (less any
applicable charges and taxes as determined by Equitable). An election under
either of the two preceding sentences must be consented to by the Participant's
spouse, if applicable, in writing before a notary or a representative of the
Plan and must be limited to a benefit for a specific alternate beneficiary.
However, no spousal consent will be required if the Participant
8
<PAGE>
can prove to the satisfaction of the Employer and Equitable, that he or she has
no spouse or else that he or she cannot locate the spouse. Each election to
designate a beneficiary other than the Participant's spouse must be consented
to by the spouse and any election made under this paragraph to waive the
spouse's benefits may be revoked without the consent of the spouse at any time
prior to the date as of which payments commence. Any consent to waive the
spouse's benefits shall be valid only with regard to the spouse who signs it.
Any new waiver or change of beneficiary shall require new spousal consent.
"The provisions requiring spousal consent in this Section 4.06 shall also apply
with regard to a Participant's election to withdraw his or her Account Balances
pursuant to Sections 3.06 or 3.09. A spouse's written consent, witnessed by a
representative of the Plan or notary, must be given on a form acceptable to
Equitable within the 90 consecutive day period prior to such withdrawal unless
the Participant can show that he or she is not married or his or her spouse
cannot be located.
"The foregoing notwithstanding, if the present value of the Participant's
Account Balances on the date payment is to commence is less than $2,000,
Equitable may choose to make payment in a single sum rather than in the form of
a Qualified
9
<PAGE>
Joint and Survivor Annuity or life annuity as described herein.
"Upon any payment made pursuant to this Section 4.06, Equitable will be
released from any and all liability for payment with respect to the
contributions made for the Participant."
/s/ Rodney L. Enochs Vice /s/ John B. Carter
- ------------------------- ------------------
President and Secretary President
10
<PAGE>
Exhibit 4(a)(2)
STATE OF NEW YORK
INSURANCE DEPARTMENT
[LETTERHEAD]
AGENCY BUILDING ONE
THE GOVERNOR NELSON A. ROCKEFELLER
EMPIRE STATE PLAZA
ALBANY, NEW YORK 12257
JAMES P. CORCORAN
SUPERINTENDENT OF INSURANCE
CHARLOTTE T. MEINEKE
A.V.P. & ASSISTANT
SEC'Y
INTEGRITY
JUL 15 1987
REF'D
June 30, 1987
Refer to:
John S. Fitzgerald
File No. 87060873-74
Ms. Charlotte T. Meineke
Assistant Vice President
Equitable Life Assurance Society
of the United States
787 Seventh Avenue
New York, NY 10019
RE: PF 94,177 and PF 94,178
Dear Ms. Meineke:
This is in reference to the above captioned group annuity separate account
policy forms submitted with your letter of June 18, 1987, and with further
reference to a telephone conversation on June 24 with Ms. Mindy Leeds and
Mrs. Friedland-Wechsler.
We discussed the changeover of the 300 Series Separate Account and the Single
Separate Account No. 301 which will be organized as a unit investment trust.
We discussed the reasons for the changeover and the advantages that such an
organization of the separate accounts into a unit investment trust would have
for the Equitable. It appears that it will be simpler to add investment
options because it will not involve the establishment of a new separate
account. Each new unit would have to be registered in the usual manner and
would have to have a new class of stock issued for the mutual fund.
Furthermore, it was ascertained that the disclosure would be the same for a
prospectus for either a new separate account or a mutual fund, so that in
that regard there is no change in the amount of disclosure material.
Under the unit investment trust arrangement, there will be a Massachusetts
business trust. This will result in cost savings in that there will be no
need to have annual routine meetings, approval of auditors and reappointment
of the same investment advisors. We appreciated receiving a copy of the N-14
registration statement filed with the Securities and Exchange Commission
which was sent to me by Ms. Leeds with a letter dated June 25, 1987.
We have completed our review of the contract and certificate riders and find
that they appear to meet our requirements for approval. Also, it appears our
Life Insurance and Companies Bureau approved the revised Plan of Operations
by means of Mr. McVity's letter of February 10, 1987.
<PAGE>
The above captioned forms are approved as of this date.
Duplicates, bearing our stamp of approval, are enclosed herewith.
Very truly yours,
/s/ Fredric L. Bodner
- --------------------------------------------
Fredric L. Bodner, JD
Chief -- Health & Life Policy Bureau
JSF/tks
encs.
<PAGE>
THE EQUITABLE LIFE ASSURANCE SOCIETY
OF THE UNITED STATES
Effective as of the later of the date specified below or the Participant's
Participation Date, we have amended Group Annuity Contract AC 5904 as
follows:
1. Effective as of May 1, 1987, the last paragraph on Page 1 is hereby
amended to read as follows:
"ASSETS HELD IN CONNECTION WITH THE CONTRACT MAY BE HELD IN ONE OR
MORE INVESTMENT DIVISIONS OF THE SEPARATE ACCOUNT MAINTAINED BY
EQUITABLE AND MAY INCREASE OR DECREASE IN VALUE AS DESCRIBED IN THE
CONTRACT."
2. Effective as of May 1, 1987, the Equitable office address on page 3 is
hereby amended to read as follows:
"The Equitable Life Assurance Society
P.O. Box 182093
Columbus, Ohio 43218"
APPROVED
STATE OF NEW YORK
JUN 30 1987
/s/
PF 94,177
<PAGE>
3. Effective as of January 1, 1987, Section 1.01 entitled "Employer" is
hereby amended to read as follows:
"The term "Employer" means (i) an educational organization
employing a regular faculty which is a State, a political division
of a State, or an agency or instrumentality of any one or more of
the foregoing (within the meaning of Section 170(b)(1)(A)(ii) of
the Code), and (ii) an organization described in Section 501(c)(3)
of the Code which is exempt from Federal income tax under Section
501(a) of the Code."
4. Effective as of January 1, 1987, Section 1.02 entitled "Plan" is hereby
amended to read as follows:
"The term "Plan" means a program established by an Employer for the
purchase of Annuities on behalf of employees under the Contract,
which program is not exempt under 29 CFR Section 2510.3-2(f) and is
therefore an "employee pension benefit plan" subject to the
requirements of Title I of the Employee
2
<PAGE>
Retirement Income Security Act of 1974, as amended from time to
time."
5. Effective as of January 1, 1987, in Section 1.5 entitled "Participant" the
following sentence is hereby added at the end thereof:
"An Annuity is purchased for a person enrolled under the Contract
when we receive an initial contribution from the Employer."
6. In Section 1.07 entitled "Retirement Date" the following amendments are
made:
A. Effective as of May 1, 1987, the last sentence of the first
paragraph is hereby amended to read as follows:
"Any election for such change must be made in writing by the
Participant and shall not take effect until received by
Equitable at: The Equitable Life Assurance Society, P.O. Box
182093, Columbus, Ohio 43218, or any other address that
Equitable designates by written notice to the Participant."
3
<PAGE>
B. Effective as of January 1, 1986, the second paragraph is hereby
amended to read as follows:
"If no age has been specified in the enrollment form, the
Retirement Date will be deemed to be the first day of the
calendar month following the month the Participant attains age
65. No Retirement Date shall be earlier than (i) for
distributions made on or before December 31, 1988, the date of
the Participant's attainment of age 55 or (ii) for
distributions made on or after January 1, 1989, the date of the
Participant's attainment of age 59 years and 6 months.
No Retirement Date shall be later than (i) for benefits accrued
on or before December 31, 1986, the later of the Participant's
Retirement Date under the terms of the Plan or the
Participant's 75th birthday, and (ii) for benefits accrued on
or after January 1, 1987, the first day of April following the
calendar year in which the Participant attains the age of 70
years and 6 months; provided, however, that if distributions
commence on or after January 1, 1987 and before
4
<PAGE>
January 1, 1989, a Participant's Retirement Date shall be the
later of the Participant's Retirement Date under the terms of
the Plan or the first day of April following the calendar year
in which the Participant attains the age of 70 years and 6
months."
7. Effective as of May 1, 1987, Part I entitled "Definitions" is hereby
amended by adding the following Sections at the end thereof:
"SECTION 1.10 CODE
The term "Code" means the Internal Revenue Code of 1986, as it
may be amended from time to time.
SECTION 1.11 REORGANIZATION DATE
The term "Reorganization Date" means May 1, 1987."
8. Effective as of May 1, 1987, Part II entitled "The Separate Accounts" is
hereby amended to read as follows:
"PART II -- THE SEPARATE ACCOUNT AND ITS INVESTMENT DIVISIONS
SECTION 2.01 THE SEPARATE ACCOUNT AND ITS INVESTMENT DIVISIONS
The term "Separate Account" means the Separate Account
5
<PAGE>
No. 301 established by Equitable and maintained under the laws
of the State of New York. Realized and unrealized gains and
losses from the assets of the Separate Account are credited or
charged against it without regard to other income, gains or
losses of Equitable. Assets are put in the Separate Account to
support the Contract and other variable annuity contracts and
certificates. Assets may be put in the Separate Account for
other purposes, but not to support contracts, policies or other
agreements which are not variable in form.
On the Reorganization Date, Equitable exercised its rights
under the Contract to operate Separate Account Nos. 301, 302,
303 and 304 (collectively, the "Predecessor Separate Accounts")
as a unit investment trust under the Investment Company Act of
1940. As a result, the Predecessor Separate Accounts have been
combined with and into the Separate Account.
The Separate Account now operates in unit investment form and
consists of investment divisions ("Investment Divisions"). Each
of the Investment Divisions may invest its assets in a separate
class of shares of a designated investment company in which
each class
6
<PAGE>
represents a separate portfolio in the investment company. The
Investment Divisions available on the Reorganization Date were
the Money Market Division, the Stock Division, the Bond
Division, the Balanced Division, the Aggressive Stock Division,
the High Yield Division and the Global Division.
On the Reorganization Date, the investment assets and
liabilities of the Predecessor Separate Accounts were
transferred to the Separate Account which transferred its
investment assets and liabilities to the corresponding funds
(the "Funds") of the Harmony Investment Trust (the "Trust").
The transfer to the Funds did not change the Participant's
existing Account Balances on the date of transfer. As of the
Reorganization Date, the Money Market Division holds shares of
the Money Market Fund, the Stock Division holds shares of the
Common Stock Fund, the Bond Division holds shares of the Bond
Fund and the Balanced Division holds shares of the Balanced
Fund. Subsequent to the Reorganization Date, the Aggressive
Division will hold shares of the Aggressive Fund, the High
Yield Division will hold shares of the High Yield Fund and the
Global Division will hold shares of the Global Fund.
7
<PAGE>
The assets of the Separate Account are the property of
Equitable. The portion of assets in the Separate Account equal
to the reserves and other contract liabilities with respect to
the Separate Account will not be chargeable with liabilities
arising out of any other business conducted by Equitable.
Equitable reserves the right to transfer assets of an
Investment Division in excess of the reserves and other
liabilities with respect to that Investment Division to another
Investment Division or to the general assets of Equitable
("General Account"), which supports the guarantees of the
Contract and other contracts.
Equitable may, at its discretion, make other Investment
Divisions available to Participants. Equitable will provide
Participants with written notice of all material details
covering investment objectives and all charges, which may
include expenses and fees, if any, incurred by the investment
company.
Equitable reserves the right, subject to compliance with
applicable law, including approval of the Contract Holder or
Participants, if required, (1) to cause the registration or
deregistration of the Separate Account under the Investment
Company Act of 1940, (2) to operate the Separate Account under
the direction of a
8
<PAGE>
committee and to discharge such committee at any time, (3) to
restrict or eliminate any voting rights of Participants or
other persons who have voting rights as to the Separate
Account, (4) to add, change or remove the designated investment
company, (5) to add, change or remove Investment Divisions, (6)
to combine any two or more Investment Divisions, (7) to
transfer assets from any one of the Investment Divisions to
another Investment Division, and (8) to operate the Separate
Account or one or more of the Investment Divisions by making
direct investments or in any other form Equitable in its sole
discretion determines. The term "Investment Division" refers to
any other Investment Division in which the assets of a class of
certificates to which the Contract belongs are placed.
Equitable may, however, at its discretion, invest the assets of
the Separate Account or one or more of the Investment Divisions
in any investment permitted by applicable law. Equitable may
rely conclusively on the opinion of counsel (including
attorneys in its employ) as to what investments it is permitted
by law to make. In addition, unless otherwise required by law
or regulation, an investment adviser or any investment policy
may not be changed without the consent of Equitable.
9
<PAGE>
If any of the above changes result in a material change in the underlying
investments of an Investment Division of the Separate Account, Equitable will
notify the Participant of such change. If the Participant has value in that
Investment Division, the Participant may request Equitable in writing to
transfer that value from that Investment Division (without charge) to another
Investment Division of the Separate Account, and may additionally change the
allocation percentages applicable to future Contributions made for him or
her.
Equitable will value the assets of each Investment Division on each Business
Day, in accordance with the provisions of Section 2.02.
Assets of the Investment Divisions are subject to charges, to be made as
described in the Net Assets provision of Section 2.02.
SECTION 2.02 DEFINITIONS RELATING TO THE INVESTMENT DIVISIONS
VALUATION PERIOD: For an Investment Division, the "Valuation Period" starts
at the end of each Business Day and ends at the corresponding time on the
next
10
<PAGE>
Business Day, and includes any non-business day or consecutive non-business
days immediately preceeding such Business Day. A "Business Day" is each
weekday, excluding business holidays or other days on which changes in the
value of securities held by the Separate Account (or any Investment Division)
will not materially affect a Participant's value in the Separate Account (or
such Investment Division).
NET ASSETS: For an Investment Division, the "Net Assets" equal the value of
the assets in the Investment Division at the close of business of a Valuation
Period, minus the sum of (1) Expenses, and (2) any amount charged against the
Investment Division in such Valuation Period for taxes or for amounts set
aside by Equitable as a reserve for taxes attributable to the maintenance or
operation of the Investment Division. The net asset value of a designated
investment company's shares held in each Investment Division shall be the
value reported to Equitable by such investment company.
11
<PAGE>
NET INVESTMENT FACTOR: For an Investment Division, the "Net Investment
Factor" for a Valuation Period is (1) the Net Assets at the close of business
of that Valuation Period, prior to giving effect to any amounts allocated to
or withdrawn from the Investment Division during that Valuation Period,
divided by (2) the Investment Division's Net Assets at the close of business
of the preceding Valuation Period.
UNIT: The "Unit" is a unit used in determining the value of a Participant's
interest in an Investment Division for the period during which the
Participant has contributions allocated to such Investment Division.
UNIT VALUE: The "Unit Value" for each Investment Division on the first day
contributions are allocated to the Separate Account will be equal to the Unit
Value of the corresponding Predecessor Separate Account for the preceding
Valuation Period multiplied by the Net Investment Factor applicable to such
Investment Division. The Unit Value for each Investment Division for which
there is no Predecessor Separate Account will be equal to $10.00 on the first
day contributions are allocated to such Investment Division. The Unit Value
for each subsequent Valuation Period with respect to an
12
<PAGE>
Investment Division is the Unit Value for the immediately preceding Valuation
Period multiplied by the Net Investment Factor for such subsequent Valuation
Period.
EXPENSES: For a Valuation Period, the Expenses which may be charged to an
Investment Division are as follows:
(1) Any amount charged against the Investment Division by Equitable
during such Valuation Period to cover certain expenses incurred in
the operation of the Separate Account and the Investment Divisions,
including, but not limited to, taxes, interest, Securities and
Exchange Commission charges and certain related expenses including
printing of registration statements and amendments, outside
auditing and legal expenses and certain costs of maintaining
participant services, including recordkeeping services.
(2) The daily charge against the Investment Division for each day in
such Valuation Period for administrative expense charges,
calculated on the basis of an effective annual rate of 0.25% of the
value of the assets in the Investment Division.
13
<PAGE>
If the aggregate expenses of an Investment Division for a calendar year
(including the charges described in sub-paragraphs (1) and (2) of this
definition and investment advisory fees of the Trust ("Investment Advisory
Fee") and certain other expenses attributable to the assets of the Investment
Division invested in a corresponding Fund of the Trust, but excluding
interest, taxes, brokerage and, with the consent of appropriate State
regulatory authorities, extraordinary expenses) exceed a charge determined on
the basis of an effective annual rate of (i) 1.0% of the value of the Money
Market Division's average daily Net Assets in such Investment Division during
such calendar year, or (ii) 1.5% of the value of the Stock Division, the Bond
Division or the Balanced Division's average daily Net Assets in such
Investment Division during such calendar year, then Equitable shall reimburse
such Investment Division for the excess charged to such Investment Division.
Notwithstanding anything to the contrary, if a Participant's Participation
Date is prior to the Reorganization Date, the Investment Advisory Fee
14
<PAGE>
chargeable to such Participant's proportionate Account Balances invested in
the corresponding Fund on each day in such Valuation Period, shall not exceed
a charge, determined on the basis of an effective annual rate of (i) as to
the Money Market Fund and the Bond Fund, 0.35% of the first $250 million,
0.325% of the next $250 million and 0.30% of the amount in excess of $500
million of the value of the assets of the Separate Account then invested in
such Fund, and (ii) as to the Common Stock Fund and the Balanced Fund, 0.50%
of the first $250 million, 0.45% of the next $250 million and 0.40% of the
amount in excess of $500 million of the value of the assets of the Separate
Account then invested in such Fund."
9. In Section 3.01 entitled "Accounts" the following amendments are made:
A. Effective as of May 1, 1987, the last sentence of the first
paragraph is hereby amended to read as follows:
"Any amounts allocated to an Investment Account will either become
part of the General Account or
15
<PAGE>
part of an Investment Division of the Separate Account applicable
to that Investment Account, as follows:"
B. Effective as of May 1, 1987, the chart is hereby amended to read as
follows:
<TABLE>
<CAPTION>
"INVESTMENT ACCOUNTS APPLICABLE INVESTMENT MEDIUM
- --------------------------------------- --------------------------------
<S> <C>
Guaranteed Rate Account................. General Account
Money Market Investment Account......... Money Market Division
Stock Investment Account................ Stock Division
Bond Investment Account................. Bond Division
Balanced Investment Account............. Balanced Division
Aggressive Stock Investment Account .... Aggressive Division
High Yield Investment Account........... High Yield Division
Global Investment Account............... Global Division"
</TABLE>
C. Effective as of May 1, 1987, the last paragraph is hereby amended
to read as follows:
"Any amounts withdrawn from these Investment Accounts will no longer be part
of the General Account or the applicable Investment Division."
16
<PAGE>
10. Effective as of May 1, 1987, in Section 3.02 entitled "Account Balances
of Investment Accounts" the first sentence is hereby amended by deleting
the term "Separate Account" and by substituting the term "Investment
Division".
11. Effective as of May 1, 1987, Section 3.04 entitled "Allocations" is
hereby amended by adding the following new condition at the end thereof:
"6. For individuals who are Participants on the Reorganization Date,
allocations of contributions made after the Reorganization Date will be on
the basis of the allocation percentages in effect immediately before the
Reorganization Date unless changed by such Participant in accordance with
the foregoing provisions of this Section. Accordingly, contributions which
would otherwise have been allocated to the Predecessor Separate Account
No. 301 will be allocated to the Money Market Division, contributions
which would otherwise have been allocated to the Predecessor Separate
Account No. 302 will be allocated to the Stock Division, contributions
which would otherwise have been allocated to the Predecessor Separate
Account No. 303 will be
17
<PAGE>
allocated to the Bond Division, and contributions which would otherwise
have been allocated to the Predecessor Separate Account No. 304 will be
allocated to the Balanced Division. Contributions which were allocated to
the Participant's Guaranteed Rate Account will continue to be allocated to
the Guaranteed Rate Account."
12. Effective as of May 1, 1987, in Section 3.10 entitled "Death or
Disability Benefit" the last sentence in the first paragraph is hereby
amended to read as follows:
"Due proof of such death or disability must be received by Equitable at:
The Equitable Life Assurance Society, P.O. Box 182093, Columbus, Ohio
43218, or any other address Equitable designates in written notice to the
Participant."
13. Effective as of January 1, 1985, in Section 3.11 entitled "Optional Modes
of Settlement" the first paragraph is hereby amended to read as follows:
"Any Participant may elect that all or any part of any amount that would
otherwise be payable to the Participant's designated beneficiary in a
single sum be
18
<PAGE>
paid to such beneficiary under an optional mode of settlement, subject to
the provisions of Section 4.06 and to Equitable's rules in effect at the
time of election. A beneficiary may make such an election after the
Participant's death if no such election made by the Participant is then in
effect."
14. Effective as of May 1, 1987, in Section 4.01 entitled "Annuity Benefit"
the second paragraph is hereby amended to read as follows:
"The term "Annuity Value" means the amount, determined on the
Participant's Retirement Date, equal to the sum of the Account Balances of
the Participant's Investment Accounts and the Cash Value of the
Participant's Guaranteed Rate Account."
15. Effective as of January 1, 1985, in Section 4.04 entitled "Periodic
Distribution Option" the first paragraph is hereby amended to read as
follows:
"The Participant may elect pursuant to Section 4.02 to receive the Account
Balance of each of the Participant's Investment Accounts other than the
Guaranteed Rate Account under the periodic distribution
19
<PAGE>
option. Such option, subject to the conditions set forth in the following
paragraphs, provides a series of monthly installment payments over a
number of whole years beginning as of the Participant's Retirement Date,
such number of whole years being the lesser of (i) the number of whole
years designated by the Participant before the Participant's Retirement
Date and (ii) the number of years equal to the greater of the life
expectancy of the Participant or the joint and last survivor life
expectancy of the Participant and the Participant's designated beneficiary
as of the Participant's Retirement Date, rounded to the next lower whole
year. If permitted by Equitable pursuant to its rules in effect at the
time, the life expectancy of the Participant or the joint and last
survivor life expectancy of the Participant and his spouse may be
recalculated once each year. The life expectancy of a beneficiary other
than the Participant's spouse may not be recalculated after distribution
has commenced."
16. Effective as of January 1, 1986, Part IV entitled "Annuity Benefits" is
hereby amended by adding the following new Section at the end thereof:
4.07 POST 1985 REQUIRED DISTRIBUTIONS
For benefits which have accrued on or after
20
<PAGE>
January 1, 1986, notwithstanding any other provision in the Contract to the
contrary, with regard to any form of benefit elected in accordance with
Section 4.02, if the Participant dies before the entire interest is
distributed, the following distribution provisions shall apply:
(a) If the Participant dies after distribution of his interest in the
Accounts has commenced, the remaining portion of such interest will
continue to be distributed at least as rapidly as under the method
of distribution being used prior to the Participant's death. If a
distribution for a period certain in accordance with Section 4.04
had commenced prior to the Participant's death, then the
distribution shall be made to the Particpant's beneficiary, limited
in accordance with the option selected.
(b) If the Participant dies before distribution of his interest in the
Accounts commences, the Participant's entire interest will be
21
<PAGE>
distributed in accordance with one of the following three
provisions:
(1) The Participant's entire interest will be paid within 5 years after the
date of the Participant's death.
(2) If the Participant's interest is payable to a beneficiary designated by
the Participant and the Participant has not elected (1) above, then the
entire interest will be distributed in substantially equal installments
over the life or life expectancy of the designated beneficiary commencing
no later than one year after the date of the Participant's death. The
designated beneficiary may elect at any time to receive greater payments.
(3) If the designated beneficiary of the Participant is the Participant's
surviving spouse, the
22
<PAGE>
spouse may elect within the 1 year period commencing with the
Participant's date of death to receive equal or substantially equal
payments over the life or life expectancy of the surviving spouse
commencing on any date prior to the date on which the deceased
Participant would have attained the age of 70 years and 6 months. The
surviving spouse may accelerate these payments at any time, by either
increasing the frequency or amount of such payments.
If permitted by Equitable pursuant to its rules in effect at the time, the
life expectancy of the surviving spouse may be recalculated once each year.
The life expectancy of a beneficiary other than the surviving spouse will be
determined at the time payment first commences and payments for any
12-consecutive month period will be based on such life expectancy minus the
number of whole years passed since
23
<PAGE>
distribution first commenced. The life expectancy of a beneficiary other than
the surviving spouse may not be recalculated after distribution has
commenced.
(c) For purposes of this requirement, any amount paid to a child of the
Participant will be treated as if it had been paid to the
Participant's surviving spouse if the remainder of the interest
becomes payable to the surviving spouse when the child reaches the age
of majority."
17. Effective as of January 1, 1985, in Section 5.04 entitled "Beneficiary"
the fifth paragraph is hereby amended to read as follows:
"If the Participant so elects in writing, any amount that would otherwise
be payable to the beneficiary in a single sum may be applied to provide an
Annuity Benefit, on the form of annuity elected by the Participant with
respect to the beneficiary, subject to the provisions of Section 4.06 and
to Equitable's rules then in effect. If at the death of a Participant
there
24
<PAGE>
is no election in effect to apply the Death Benefit to provide an Annuity
Benefit, the beneficiary may make such an election subject to the
provisions of Section 4.06 and Equitable's rules then in effect."
25
<PAGE>
[EQUITABLE LOGO]
THE EQUITABLE LIFE ASSURANCE SOCIETY OF THE UNITED STATES
A MUTUAL COMPANY ORGANIZED JULY 26, 1859
1285 AVENUE OF THE AMERICAS, NEW YORK, NEW YORK
Effective as of November 10, 1983, or your Participation Date, whichever is
later, we have amended the Certificate issued under Group Annuity Contract AC.
5904 as follows:
Section 1.07 entitled "Retirement Date" is amended as follows:
The last sentence in the second paragraph which reads "No Retirement Date
shall be earlier than the attainment of age 55" is changed to read "No
Retirement Date shall be earlier than the Participant's 55th birthday or
later than the Participant's 75th birthday.
Section 3.01 entitled "Accounts" is amended as follows: The third and fourth
sentences in the first paragraph are replaced with:
"The Employer will designate in the Administrative Agreement the
Investment Media to be made available for Investment Accounts for the
Employer's Participants. Such designated Investment Accounts will appear
on page 3 of the certificates to be issued to the Employer's Participants
pursuant to Section 5.09. In the event the Employer does not designate
the Money Market Investment Account, Equitable will nevertheless use this
Account for the purpose described in Section 3.04.
Section 3.06 entitled "Partial withdrawals" is amended by the addition of the
following paragraph immediately after the end of the first paragraph:
"In the event a Participant makes a partial withdrawal under this
Section 3.06 and is not a participant in a Plan that restricts or
imposes a penalty on such withdrawals, the Participant's Contributions
shall be suspended for a period of 17 consecutive months following the
date of withdrawal. The Participant may resume making Contributions on
the first day of the month coinciding with or next following the end of
the 12 month period provided the Participant made no other withdrawals
subsequent to the withdrawal to which the suspension applies. The
Participant's employer will notify the Participant when Contributions may
be resumed.
<PAGE>
[EQUITABLE LOGO]
THE EQUITABLE LIFE ASSURANCE SOCIETY OF THE UNITED STATES
A MUTUAL COMPANY ORGANIZED JULY 26, 1859
1285 AVENUE OF THE AMERICAS, NEW YORK, NEW YORK
THE EQUITABLE LIFE ASSURANCE SOCIETY OF THE UNITED STATES
Agrees
* To allocate the contributions made on the Participant's behalf under the
Contract to the Account maintained for the Participant.
* To provide an annuity, periodic distribution, or cash value benefit at
the Participant's Retirement Date; and
* To provide the Participant with the other rights and benefits of this
certificate.
These agreements are subject to the provisions of this certificate.
TEN DAYS TO REVIEW -The Participant may end participation under the Contract
and cancel this certificate by mailing it to Equitable (address shown on
page 3) within ten days after receipt. If the Participant does this, Equitable
will refund any contribution made under the Contract on the Participant's
behalf, or, if greater, with respect to contributions to the Separate
Accounts, the Participant's Account Balance in those Separate Accounts on
the date the cancelled certificate is received by Equitable.
ASSETS HELD IN CONNECTION WITH THE CONTRACT MAY BE HELD IN ONE OR MORE SEPARATE
ACCOUNTS MAINTAINED BY EQUITABLE AND MAY INCREASE OR DECREASE IN VALUE AS
DESCRIBED IN THE CONTRACT.
<PAGE>
CONTENTS
PART I -- Definitions Page 4
PART II -- The Separate Accounts Page 7
PART III -- Participant's Account Page 10
PART IV -- Annuity Benefits Page 18
PART V -- General Provisions Page 25
CERTIFICATE AND CONTRACT:
* Equitable certifies that the Participant named on page 3 of this
Certificate is included under the Group Annuity Contract (the "Contract")
designated on page 3, all pertinent provisions of which are set forth
below.
* This certificate is valid only if participation under the Contract has
not been terminated as described in the Contract and is subject to
amendment as may be required pursuant to Section 5.02.
* The Contract is issued in consideration of the payment of Equitable of
the contributions under the Contract.
* The statements on the following pages are part of this certificate.
<PAGE>
<TABLE>
<S> <C>
PARTICIPANT: IRA Q. DOE
CERTIFICATE NUMBER: 000 00 0000
ENROLLMENT DATE: DECEMBER 1, 1983
RETIREMENT DATE: July 1, 2000
CONTRACT HOLDER: UNITED STATE TRUST COMPANY OF NEW YORK
GROUP: XYZ CORPORATION
GROUP NUMBER: 1234567890
GROUP ANNUITY CONTRACT NUMBER: AC 5904
INITIAL PARTICIPANT SERVICE CHARGE: $7.50 per calendar quarter with the right reserved by
Equitable to change such amount in accordance
with Section 3.08.
MINIMUM CONTRIBUTION REQUIREMENT: $250 - for contributions other than through
payroll deductions)
EQUITABLE OFFICE: EQUITABLE RETIREMENT PRODUCTS CENTER
P.O. Box 1910
Boston, Massachusetts 02105
</TABLE>
* * * * * * * * * * * * * * * * * *
AVAILABLE INVESTMENT ACCOUNTS:
<TABLE>
<CAPTION>
APPLICABLE
INVESTMENT INVESTMENT
ACCOUNT MEDIUM INVESTMENT INVESTMENT MANAGEMENT FEE
- ----------- ----------- ---------------------------- ------------------------------------
<S> <C> <C> <C>
Guaranteed General Not Applicable Not Applicable
Rate Account
Account
Money No. 301 Primarily in short-term 0.35% of first $250 million
Market money market instruments 0.325% of next $250 million
Account 0.30% of excess over $500 million
Common No. 302 Primarily in common stocks 0.50% of first $250 million
Stock 0.45% of next $250 million
Account 0.40% of excess over $500 million
Bond No. 303 Primarily in publicly- 0.35% of first $250 million
Account traded debt securities 0.325% of next $250 million
0.30% of excess over $500 million
Balanced No. 304 Primarily in a diversified 0.50% of first $250 million
Account portfolio of publicly-traded 0.45% of next $250 million
common stock and debt 0.40% of excess over $500 million
securities, and short-term
money market instruments
</TABLE>
<PAGE>
TABLE OF GUARANTEED VALUES
ISSUE AGE [35] $1000 ANNUAL CONTRIBUTION
<TABLE>
<CAPTION>
NUMBER OF YEARS GUARANTEED GUARANTEED PAID UP MONTHLY
SINCE FIRST CONTRIBUTION CASH VALUE ANNUITY AT AGE 65*
<S> <C> <C>
1 999.66 10.91
2 2,000.00 21.50
3 3,000.00 31.78
4 4,000.00 41.76
5 5,000.00 51.45
6 6,013.60 60.86
7 7,123.70 69.99
8 8,267.10 78.86
9 9,444.80 87.47
10 10,657.83 95.83
11 11,907.25 103.95
12 13,194.16 111.83
13 14,519.67 119.48
14 15,884.95 126.91
15 17,291.19 134.12
16 18,739.61 141.12
17 20,231.49 147.91
18 21,768.12 154.51
19 23,350.85 160.92
20 24,981.07 167.14
25 33,895.74 195.63
27 (Age 62) 37,847.26 205.89
30 (Age 65) 44,230.30 220.20
</TABLE>
THE TABLES ILLUSTRATE MINIMUM GUARANTEED VALUES AND ASSUME A HYPOTHETICAL $1000
CONTRIBUTION MADE ANNUALLY ON THE ENROLLMENT DATE. THE GUARANTEED CASH VALUE
TABLE REFLECTS A QUARTERLY PARTICIPANT SERVICE CHARGE OF $7.50 (SEE SECTION
3.08) AND A PREMATURE WITHDRAWAL CHARGE OF UP TO 7% OF THE ACCOUNT BALANCE (SEE
SECTION 1.09). THE TABLES ASSUME THAT 100% OF ALL CONTRIBUTIONS ARE ALLOCATED
TO AND REMAIN IN THE GUARANTEED RATE ACCOUNT.
YOUR ACTUAL GUARANTEED VALUES MAY DIFFER FROM THOSE SHOWN ABOVE, DEPENDING ON
THE LEVEL AND FREQUENCY OF YOUR CONTRIBUTIONS AND THE PARTICIPANT SERVICE
CHARGE APPLICABLE.
*ASSUMES FULL CASH REFUND ANNUITY.
<PAGE>
PART I--DEFINITIONS
SECTION 1.01 EMPLOYER
The term "Employer" means (i) an educational organization employing a regular
faculty which is a State, a political division of a State, or an agency or
instrumentality of any one or more of the foregoing (within the meaning of
Section 170(b)(1)(A)(ii) of the Internal Revenue Code of 1954, as amended (the
"Code"), and (ii) an organization described in Section 501(c)(3) of the Code
which is exempt from Federal income tax under Section 501(c) of the Code, which
has entered into an Administrative Agreement as described on page 3 of the
certificate issued to Participants pursuant to Section 5.09.
SECTION 1.02 PLAN
The term "Plan" means a defined contribution pension plan established by an
Employer described in clause (ii) of Section 1.01 which has been determined by
the Internal Revenue Service to meet the requirements for qualification under
Section 401(a) of the Code and which permits or requires amounts contributed
thereunder to be applied under the Contract on behalf of the employees covered
under the Plan.
SECTION 1.03 SALARY REDUCTION AGREEMENT
The term "Salary Reduction Agreement" means (i) an agreement between an
Employer and an employee of the Employer with the meaning of Section
1.403(b)--1(b)(3) of the Federal income tax regulations, under which the
employee agrees to accept a reduction in salary or to forego an increase in
salary and to have such amounts applied under the contract for the employee's
behalf and (ii) any program or arrangement (other than by use of agreements
described above) pursuant to which an Employer makes contributions to the
purchase of an annuity meeting the requirements of Section 403(b) of the Code.
SECTION 1.04 ANNUITY
The term "Annuity" means an annuity purchased in accordance with the terms
of the Salary Reduction Agreement or the Plan to the extent the Salary
Reduction Agreement and the annuity purchased pursuant thereto meets the
requirements of Section 403(b) of the Code or the Plan meets the requirements
of Section 401(a) of the Code, whichever is applicable.
SECTION 1.05 PARTICIPANT
The term "Participant" means a person who has been enrolled by Equitable under
the Contract through an Administrative Agreement and for whom the Employer has
purchased an annuity under the Contract. A person shall become enrolled under
the Contract upon receipt by Equitable of an enrollment form made available by
Equitable or the Employer and completed in a manner satisfactory to Equitable.
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SECTION 1.06 ADMINISTRATIVE AGREEMENT
The term "Administrative Agreement" means a written understanding between the
employer and Equitable which, among other things, may describe,
(i) procedures for facilitating the enrollment of Participants under
the Contract,
(ii) procedures pursuant to which contributions may be made under the
Contract on behalf of Participants,
(iii) procedures for facilitating the communication to Participants of
information prepared by Equitable concerning the Contract and
enrollment and contributions thereunder, and
(iv) the extent to which the Employer will perform any services in
connection with the Contract which would otherwise be performed by
Equitable.
SECTION 1.07 RETIREMENT DATE
The term "Retirement Date" means the date on which the Participant will attain
the retirement age specified in the Participant's enrollment form. Any time
prior to reaching this Retirement Date, the Participant may elect to change the
Retirement Date to another Retirement Date, which may be the first day of any
calendar month after the filing of the election. Any election for such change
must be made in writing by the Participant and shall not take effect until
received by Equitable at: Equitable Retirement Products Center, P.O. Box 1910,
Boston, MA 02115 or any other address that Equitable designates in written
notice to the Participant.
If no age has been specified in the enrollment form, the Retirement Date will
be deemed the first day of the calendar month following the month the
Participant attains age 65, or, if later, the Retirement Date provided under
the Plan. No Retirement Date shall be earlier than the date of attainment of
age 55.
SECTION 1.08 DEFINITIONS RELATING TO THE GUARANTEED RATE ACCOUNT
GUARANTEES: Each contribution allocated to a Participant's Guaranteed Rate
Account will be assigned to one or more of a group of Guarantees, each of which
will be distinguished by,
(i) its Contribution Quarter, as defined below,
(ii) its Duration, as defined below, and
(iii) its Guarantee Rate, as defined below.
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CONTRIBUTION QUARTER: The Contribution Quarter for a particular Guarantee is
that calendar quarter during which Participant contributions may be assigned to
that Guarantee. After the expiration of the Contribution Quarter for a
Guarantee, no further contributions may be assigned to that Guarantee.
DURATION: The Duration for a Guarantee commences on the first day of the
Contribution Quarter for that Guarantee and ends on the last day of a calendar
quarter that is specified at the time the applicable Guarantee Rate (as defined
below) is established, as described below.
GUARANTEE RATE: The Guarantee Rate for a particular Guarantee is the effective
annual rate of interest applicable throughout the Duration of that Guarantee.
Equitable will establish and announce the Guarantee Rate at least 15 days prior
to commencement of the Contribution Quarter. The Guarantee Rate will never
be less than 3% per annum.
GUARANTEE ACCRUED VALUE: A Participant's Accrued Value with respect to a
particular Guarantee will be equal to the sum of that Participant's
contributions assigned to that Guarantee, including transfers, plus the amount
of interest credited with respect to that guarantee, minus the sum of the
withdrawals made with respect to that Guarantee, including transfers and
Withdrawal Charges, defined below, and any applicable Participant Service
Charges, as set forth in Section 3.08. Such Accrued Value will be credited with
interest daily at an annual effective rate of interest equal to the Guarantee
Rate.
GUARANTEE WITHDRAWAL CHARGE: Any transfers or withdrawals with respect to a
Guarantee prior to the end of the Duration of that Guarantee, except for
withdrawals for Participant Service Charges as set forth in Section 3.08, or
for death or disability benefits as set forth in Section 3.10, or upon the
election of an Annuity Benefit pursuant to Section 4.03 will be subject to a
Withdrawal Charge. The Withdrawal Charge will be equal to the lesser of (i) 7%
of the amount transferred or withdrawn (including the amount of such Withdrawal
Charge), and (ii) the "interest attributable" to the amount transferred or
withdrawn, defined as (a) times the excess of (b) over (c), where
(a) is the amount transferred or withdrawn from a Guarantee divided by
the Participant's Accrued Value with respect to that Guarantee;
(b) is such Accrued Value; and
(c) is the excess to date of (i) the Participant's Contributions,
including transfers, assigned to that Guarantee over (ii) "Net
Withdrawals" with respect to that Guarantee.
The "Net Withdrawals" with respect to a Guarantee are the actual amounts
credited to a Participant through transfers with respect to that guarantee
pursuant to Section 3.05, and the actual amounts paid to a
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Participant through partial withdrawals with respect to that Guarantee pursuant
to Section 3.06, exclusive of any withdrawal charge assessed. Withdrawals of
Participant Service Charges from a Guarantee are not included in Net
Withdrawals.
SECTION 1.09 STATE PREMIUM TAXES
The term "State Premium Taxes" means any premium tax applicable to the purchase
of annuities.
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PART II--THE SEPARATE ACCOUNTS
SECTION 2.01 SEPARATE ACCOUNTS
The term "Separate Accounts" means the separate accounts maintained by
Equitable, specified as available investment media on page 3, to which portions
of its assets have been allocated for the Contract and certain other contracts.
It is contemplated that investments in the Separate Account will, at most
times, consist of the investments indicated on page 3. Equitable may, however,
at its discretion invest the assets of a Separate Account in any investment
permitted by applicable law. Equitable may rely conclusively on the opinion of
counsel (including attorneys in its employ) as to the type of investments it is
permitted by law to make. The assets of a Separate Account may be temporarily
held uninvested for such periods as Equitable may determine.
In lieu of making investments directly, Equitable reserves the right, subject
to applicable law, to operate any Separate Account as a "unit investment
trust," as defined under the Investment Company Act of 1940, or in any other
form permitted by law, which invests all or part of its assets in shares or
units of a fund the investment adviser of which may be Equitable or controlled
by Equitable. The fund assets would be invested as provided above with respect
to the Separate Account.
All income and all gains and losses, whether or not realized, from assets
allocated to a Separate Account will be credited to, or charged against, that
Separate Account without regard to the other income, gains, or losses of the
Equitable.
Equitable reserves the right, subject to compliance with applicable law
including approval of the Contract Holder or Participants if required, (1) to
create new separate accounts, (2) to combine any two or more Separate Accounts,
(3) to transfer assets determined by Equitable to be attributable to the class
of contracts to which the Contract belongs from any of the Separate Accounts to
another separate account by withdrawing the same percentage of
<PAGE>
each investment in that Account with appropriate adjustments to avoid odd lots
and fractions, (4) to cause the registration or deregistration of a Separate
Account under the Investment Company Act of 1940, (5) to operate a Separate
Account under the direction of a committee, and to discharge such committee at
any time, and (6) to restrict or eliminate any voting right of Participants or
other persons who have voting rights as to a Separate Account.
Assets of the Separate Accounts are subject to charges, to be made as described
in the Net Assets provision of Section 2.02.
The assets of each of the Separate Accounts are the property of Equitable;
however, the portion of the assets of each Separate Account equal to the
reserves and other contract liabilities with respect to such Separate Account
shall not be chargeable with liabilities arising out of any other business
Equitable may conduct. Equitable reserves the right to transfer assets of the
Separate Account in excess of such reserves and contract liabilities to the
general account of Equitable.
SECTION 2.02 DEFINITIONS RELATING TO THE SEPARATE ACCOUNTS
VALUATION PERIOD: The Valuation Period for Separate Account No. 301 starts from
the close of trading on the New York Stock Exchange and ends at the
corresponding time on the next Business Day. A Business Day for Separate
Account No. 301 is any day on which the New York Stock Exchange is open for
trading.
The Valuation period for each Separate Account except Separate Account No. 301
starts from the close of trading on all the National Securities Exchanges on a
Business Day and ends at the corresponding time on the next Business Day. A
Business Day is any day on which any National Securities Exchange is open for
trading. A National Securities Exchange is one that is registered as such under
the Securities Exchange Act of 1934.
NET ASSETS: For a Separate Account, the Net Assets equal the value of the
assets in the Separate Account at the close of business of a Valuation Period,
minus the sum of (1) Expenses, and (2) any amount charged against the Separate
Account in such Valuation Period for taxes or for amounts set aside by
Equitable as a reserve for taxes attributable to the maintenance or operation
of the Separate Account.
NET INVESTMENT FACTOR: For a Separate Account, the Net Investment Factor for a
Valuation Period is the Net Assets at the close of business of that Valuation
Period (but before giving effect to any amounts allocated or amounts withdrawn
during that Valuation Period), divided by the Separate Account's Net Assets at
the close of business of the preceding Valuation Period.
UNIT: The Unit is a Unit used in determining the value of the interest of a
Participant's Investment Account in a Separate Account while an Account for
such Participant is being maintained under the Contract.
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UNIT VALUE: The Unit Value for each Separate Account was initially established
at $10.00 in February 5, 1982. The Unit Value with respect to a Separate
Account for each subsequent Valuation is the Unit Value for the immediately
preceding Valuation Period multiplied by the Net Investment Factor for such
subsequent Valuation Period.
EXPENSES: The Expenses which may be charged to a Separate Account for a
Valuation period are as follows:
(1) Any amount charged against the Separate Account by Equitable during such
Valuation Period to cover certain expenses incurred in the organization
and operation of the Separate Account, including, but not limited to
taxes, interest, brokerage fees and commissions, if any, fees of the
Separate Account Committee members who are not affiliated with Equitable,
Committee meeting costs, Securities and Exchange Commission fees and
certain related expenses including printing of registration statements
and amendments, charges relating to custody of securities, certain
insurance premiums, outside auditing and legal expenses, and certain of
the costs of maintaining participant services.
(2) The daily charge against the Separate Account for each day in such
Valuation Period for administrative expense charges, calculated on the
basis of an effective annual rate of 0.25% of the value of the assets in
the Separate Account.
(3) The daily charge against the Separate Account for each day in such
Valuation Period for investment management services, calculated on the
basis of an effective annual rate stated on page 3 of the Value of the
Assets then in the Separate Account.
If the aggregate expenses of the Separate Account for a calendar year
(including the charges described in sub-paragraphs (1), (2), and (3) of this
definition but excluding interest, taxes, brokerage and, with the consent of
appropriate state regulatory authorities, extraordinary expenses) should exceed
a charge determined on the basis of an effective annual rate of (i) 1.0%, as to
Separate Account No. 301, or (ii) 1.5%, as to Separate Account No. 302,
Separate Account No. 303, and Separate Account No. 304, of the assets in such
Separate Account during such calendar year, then Equitable shall reimburse the
Separate Account for the excess.
The value of the assets in the Separate Accounts, shall be taken at their
market value, or where there is no readily available market, their fair value,
as determined in accordance with accepted accounting practices, and applicable
laws and regulations.
<PAGE>
PART III--PARTICIPANT'S ACCOUNT
SECTION 3.01 ACCOUNTS
Equitable will maintain at least one Account under the Contract for each
Participant. Each such Account will contain one or more sub-accounts,
hereinafter called "Investment Accounts." The Employer will designate in the
Administrative Agreement the investment media to be made available for
Investment Accounts for the Employer's Participants, which must include the
Money Market Investment Account. Such designated Investment Accounts are as
stated on page 3. Any amounts allocated to an Investment Account will either
become part of the general assets of Equitable ("General Account"), which
support the guarantees of the Contract and other contracts, or part of a
Separate Account applicable to that Investment Account.
Any amounts withdrawn from these Investment Accounts will no longer be part of
the General Account or the applicable Separate Accounts.
SECTION 3.02 ACCOUNT BALANCES OF INVESTMENT ACCOUNTS
On any day, the Account Balance of a Participant's Investment Account, other
than the Guaranteed Rate Account, will be equal to the product of the number of
Units in that Investment Account on that date and the Unit Value for the
applicable Separate Account for the Valuation Period which includes that date.
The number of Units in such an Investment Account on any date will be equal to
the sum of any Units credited to that Investment Account minus the sum of any
Units charged against that Investment Account. On any Valuation Date when a
designated amount is allocated to or withdrawn from such an Investment Account,
the Investment Account will be credited or charged, as the case may be, with a
number of Units determined by dividing the designated amount by the applicable
Unit Value for the Valuation Period which includes that date.
On any day, the Account Balance of a Participant's Guaranteed Rate Account will
be equal to the sum of the Accrued Values, on such day, with respect to all the
Guarantees to which contributions of that Participant have been allocated. On
any day, a Participant's Cash Value with respect to a particular Guarantee will
be equal to the Accrued Value with respect to that Guarantee minus any
applicable Guarantee Withdrawal Charge, as set forth in Section 1.08.
<PAGE>
SECTION 3.03 CONTRIBUTIONS
The Employer is to make contributions form time to time on such dates and in
such amounts as determined by the Employer pursuant to the Participant's Salary
Reduction Agreement, or, if applicable, the terms of the Plan. The Employer is
to specify the Participant with respect to whom each contribution is being made
and the amount to be allocated to each Investment Account as designated by the
Participant.
Contributions made under the Contract are subject to the following conditions:
1. Any contribution made for the Participant by any means other than through
payroll deduction may be made only subject to Equitable's rules then in
effect. Each contribution made other than through payroll deduction must
be at least $250 or, if applicable, such greater amount as may be required
by the terms of the Plan. This minimum Contribution amount will be stated
on page 3. The $250 minimum Contribution requirement shall not be
applicable if it would prevent the Participant from contributing up to the
maximum deductible contribution allowed the Participant in the
Participant's then current tax year.
2. A contribution may be made under the Contract for a Participant consisting
of amounts derived from a plan of a "Tax Sheltered Annuity" meeting the
requirements of Section 403(b) of the Internal Revenue Code in which the
Participant had an interest.
3. Any contribution allocated to a Participant's Guaranteed Rate Account which
is not made by payroll deduction must be received by Equitable during the
first fifteen calendar days of the Contribution Quarter of the guarantee
Period to which the allocation is assigned. That portion of any
contribution received after the first such fifteen calendar days which is
allocated to the Guaranteed Rate Account will be deemed a contribution
made without appropriate direction and allocated in accordance with
subsection 3 of Section 3.04.
4. Equitable reserves the right:
(a) to refuse to accept a contribution for a Participant's taxable
year if such contribution would bring the aggregate amount of
contributions for such taxable year to more than the maximum
amount allowed by the applicable Sections of the Code.
(b) Upon the advance written request of the Participant's Employer, to
establish a minimum contribution requirement with respect to
contributions made by the Participant through payroll deduction by
the Participant's Employer pursuant to an Administrative
Agreement.
(c) to change the minimum contribution requirement referred to in
Subsection 1 of this Section, and
(d) to change the contribution timing requirement in subsection 3 of
this Section.
5. Any contribution will be deemed by Equitable to be made for the
Participant's current taxable year unless the Participant specifies in
writing to Equitable, subject to applicable requirements of the Internal
Revenue Code and regulations thereunder, that such contribution is for the
Participant's prior taxable year.
<PAGE>
SECTION 3.04 ALLOCATIONS
Each Contribution made with respect to a Participant pursuant to Section 3.03
will be allocated to the Participant's Investment Accounts, subject to the
following conditions:
1. The direction of the allocation of Contributions to the Participant's
Investment Accounts shall be in terms of whole percentages.
2. Allocations will be made as of the date on which Equitable receives the
contribution as provided in the Administrative Agreement in the case of
payroll deductions or at the address shown on page 3 of the certificate to
be issued to the Participant pursuant to Section 5.09 in the case of
Contributions other than through payroll deductions.
3. Any Contribution made without appropriate direction as to its allocation
will be allocated to the Money Market Investment Account.
4. The Participant may change the allocation of future contributions upon
written notice to Equitable at the address shown on page 3 of the
Certificate to be issued to the Participant pursuant to Section 5.09.
Except with respect to allocations to the Guaranteed Rate Account which
must be received within the first fifteen calendar days of a Contribution
Quarter, if a Contribution made other than through payroll deduction
accompanies the written notice, the change shall be effective as of the
date of the receipt of the Contribution. Allocation changes unaccompanied
by a check shall be effective as the date of the first Contribution
received after Equitable's receipt of the Participant's written notice.
Equitable reserves the right to limit, upon at least 90 days advance
notice to the Participant, the number of such changes allowed in a
calendar year, and with respect to the Guaranteed Rate Account, the timing
and effective date of such allocation changes.
5. If Equitable offers more than one guarantee during a Contribution Quarter,
Contributions allocated to the Participant's Guaranteed Rate Account
during that Contribution Quarter will be allocated among the Guarantees
receiving contributions during such Contribution Quarter in accordance
with the instructions of the Participant. If contributions are received
with instructions for allocation to Guarantee Period whose Durations
differ from those being offered during that Contribution Quarter, the part
of the Contribution which cannot be allocated in accordance with those
instructions will be assigned to the Guarantee with the next shorter
Duration to which Contributions are being assigned during that
Contribution Quarter, or, if Contributions are not being assigned to a
Guarantee with a shorter Duration than that requested, then to the
Guarantee of the shortest Duration that is being offered.
SECTION 3.05 TRANSFERS
A Participant may transfer amounts among the Investment Accounts maintained for
the Participant under the Contract, subject to the following conditions:
1. The request for the transfer must be made in writing and will be effective
as of the later of the date specified in such request and the date
Equitable receives such request at the address shown on page 3 of the
certificate to be issued to the Participant pursuant to Section 5.09,
except as set forth in subsection 4 below. Telephone transfers may also be
permitted if authorized by the Participant in writing.
<PAGE>
2. The amount so transferred will be allocated as of the date of transfer to
the Investment Account, or among the Investment Accounts, selected by the
Participant, except as set forth in subsection 4 below.
3. If only a part of the amount in an Investment Account is to be transferred,
such transfer will be made only if the amount to be transferred is at least
$250. Upon at least 90 days advance notice to the Participant, Equitable
may change the dollar amount appearing in the immediately preceding
sentence.
4. A transfer to the Guaranteed Rate Account from any of the other Investment
Accounts may be made only during the first fifteen calendar days of a
Contribution Quarter. Transfers may not be made from one Guarantee in the
Guaranteed Rate Account to another. Transfers from a Guarantee in the
Guaranteed Rate Account may not be made during the Contribution Quarter
with respect to that guarantee, except that amounts assigned to that
Guarantee from a Guarantee ending on the last day of the previous
contribution Quarter may be transferred from the new Guarantee during the
first fifteen calendar days of the new Contribution Quarter. Any other
transfer may be made at any time.
5. Upon at least 90 days advance notice to the Participant, Equitable may
limit the number of the transfers that a Participant may make in any twelve
month period.
6. Transfers from the guaranteed Rate Account are subject to the Guarantee
Withdrawal Charge described in Section 1.09.
SECTION 3.06 PARTIAL WITHDRAWALS
A Participant may elect by written notice to Equitable to make a partial
withdrawal from the Participant's Investment Accounts on or before such
Participant's Retirement Date. Partial withdrawals are subject to any
applicable restrictions under the terms of the Plan and to Equitable's advance
written consent if such withdrawal is for an amount of less than $250. If the
election would result in the sum of the amounts then in the Participant's
Investment Accounts being less than $10, Equitable will deem such election to
be instead an election by the Participant to terminate participation under the
Contract and will make the payment described in Section 3.09 in lieu of any
payment under this Section unless the Participant requests that the certificate
issued pursuant to Section 5.09 be permitted to remain in effect and Equitable
agrees.
Upon partial withdrawal, Equitable will pay to the Participant the lesser of
(i) the sum of the Account Balances of his Investment Accounts other than the
Guaranteed Rate Account, minus a $5 processing charge, and the Cash Value of
the Guaranteed Rate Account, or (ii) the amount of partial withdrawal requested
minus a $5 processing charge.
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Unless Equitable is otherwise directed by the Participant, the amount so paid
will be withdrawn from the Participant's Investment Accounts in proportion to
the amount of the Participant's Account Balance in each such Investment
Account. The $5 processing charge will be withdrawn from the investment
Accounts other than the Guaranteed Rate Account. Unless otherwise directed by
the Participant, withdrawals from the Guaranteed Rate Account will be made from
the Guarantee with the most recent Contribution Quarter of each Duration (that
is, one year, three year and so forth) represented in the Participant's
Guaranteed Rate Account in the same proportion that the sum of the Accrued
Values of the Participant's guarantees of each Duration bears to the Account
Balance of the Participant's Guaranteed Rate Account, or, if such Accrued
Values prove insufficient from the Guarantee or Guarantees with the next most
recent Contribution Quarter.
Notwithstanding anything to the contrary in this Section, withdrawals pursuant
to this Section may not be made from a Guarantee in the Guaranteed Rate Account
during its Contribution Quarter.
Upon any payment to a Participant pursuant to this Section, Equitable will be
released from any and all liability for payments with respect to the
contributions from which the amounts so withdrawn arose.
Payments to the Participant pursuant to this Section may be deferred by
Equitable in accordance with the provisions of Section 5.06.
SECTION 3.07 EXPIRATION OF THE GUARANTEE
At the end of the Duration of a Guarantee, Equitable will assign the Accrued
Value with respect to that Guarantee (i) to the guarantee of similar Duration
to which contributions are being assigned during the Contribution Quarter next
following, (ii) if no guarantee of similar duration is being offered, to the
Guarantee with the shortest Duration being offered, or (iii) as elected by the
Participant pursuant to instructions received on or before the end of the
Guarantee.
SECTION 3.08 PARTICIPANT SERVICE CHARGE
Amount:
At least once in each calendar quarter, Equitable will withdraw from each
Participant's Account a Participant Service Charge for administrative expenses.
The amount of such charge shall be determined by Equitable with respect to each
Employer but will not be more than a maximum charge of $7.50 for each
participant in each calendar quarter. The amount determined by Equitable with
respect to each Employer will be based on such factors as (i) the method by
which contributions are being made under the Contract (payroll deduction,
direct contribution or other), (ii) the number of Participants contributing
through the same payroll deduction facility or Employer, (iii) the total
contributions Equitable estimates will be made pursuant to the Administrative
Agreement, (iv) the nature of the Employer, (v) the extent to which, as
determined by Equitable, the Employer provides services pursuant to the
Administrative Agreement that Equitable would otherwise provide, (vi) any other
circumstances having an impact on Equitable's administrative expenses, and
(vii) whether the Participant is then receiving payments under the periodic
distribution option described in Section 4.04.
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Each such charge will be withdrawn from the Participant's Investment Accounts
in proportion to the amount the Account Balance in each Investment Account
bears to the sum of the Account Balances of the Participant's Investment
Accounts. Such withdrawals will reduce (i) the Participant's Accrued Values
with respect to the Guarantees with the most recent Contribution Quarter of
each Duration (that is, one year, three year and so forth) represented in the
Participant's Guaranteed Rate Account in the same proportion that the sum of
the Participant's Accrued Values with respect to the Guarantees of each
Duration bears to the Account Balance of the Participant's Guaranteed Rate
Account, or, if such Accrued Values prove insufficient, from the Guarantee or
Guarantees with the next most recent Contribution Quarter and so on until
sufficient amounts have been withdrawn, and (ii) the number of Units in the
Participant's other Investment Accounts.
The initial Participant Service Charge for a Participant shall be stated on
page 3.
Equitable reserves the right to withdraw the Participant Service Charge more or
less frequently than once each calendar quarter, but the amount will never
exceed $30 per annum. The Participant Service Charge is deducted first from
Contributions to the Guaranteed Rate Account, including transfers from other
Investment Accounts, and then from accrued interest. If contributions to the
Guaranteed Rate Account are less than the applicable Participant Service Charge
in any year, the total Participant Service Charge for that year will not exceed
the amount of interest in excess of 3% which is credited to the Guaranteed Rate
Account in the absence of a service charge.
Employer Payment:
Pursuant to the terms of the Administrative Agreement the employer may make a
contribution of an amount equal to the Participant Service Charge then due for
all the Employer's Participants covered by Equitable's TSA program. If such a
Contribution is made, no withdrawal from the Participant's Account will then be
made pursuant to this Section.
SECTION 3.09 TERMINATION OF PARTICIPATION
Subject to any applicable restrictions under the terms of the Plan, and on or
before a Participant's Retirement Date, the Participant may elect by written
notice to terminate participation under the Contract. Written notification must
be received at the address on page 3 of the certificate to be issued to the
Participant pursuant to Section 5.09. As of the date of receipt of such notice,
Equitable will determine and, subject to Section 5.06, pay the Participant the
Account Balances of the Participant's Investment Accounts other than the
Guaranteed Rate Account, minus a $5 processing charge and the Cash Value of the
Participant's Guaranteed Rate Account, less the then applicable Participant
Service Charge.
Equitable may elect to terminate the Participant's participation under the
Contract if no contribution has been made by or on behalf of the Participant
for at least three years from the date of the last contribution to the
Participant's Account and if the sum of the Account Balances of the
Participant's Investment Accounts does not exceed $2,000 or would, if it were
then the Participant's Retirement Date, provide an Annuity Benefit of less than
$20 per month. Upon so electing, Equitable will determine and, subject to
Section 5.06, pay to the Participant the sum of the Account
<PAGE>
Balances of the Participant's Investment Account other than the Guaranteed Rate
Account, and the Cash Value of the Participant's Guaranteed Rate Account minus
the then applicable Participant Service Charge.
Upon payment pursuant to this Section, Equitable will be released from any and
all liability for payments with respect to the Contributions from which the sum
of the amounts then in the Participant's Investment Accounts arose.
SECTION 3.10 DEATH OR DISABILITY BENEFIT
If a Participant dies or becomes disabled while an Account for such Participant
is being maintained under the Contract, Equitable, upon receipt of due proof of
such death or disability, will pay, in a single sum to the Participant or the
beneficiary designated by the Participant to receive such payment, the sum of
the Account Balances of the Participant's Investment Accounts as of the date of
such proof is received, minus any Participant Service Charge then applicable.
Due proof of such death or disability must be received by Equitable at:
Equitable Retirement Products Center, P.O. Box 1910, Boston MA 02110.
Payment to the Participant or the beneficiary may be deferred by Equitable in
accordance with the provisions of Section 5.06.
Upon any payment made pursuant to this Section, Equitable will be released from
any and all liability for payment with respect to the contributions made for
the Participant.
SECTION 3.11 OPTIONAL MODES OF SETTLEMENT
Any Participant may elect that all or any part of any amount that would
otherwise be payable to the Participant's beneficiary in a single sum be paid
to such beneficiary under an optional mode of settlement, subject to
Equitable's rules in effect at the time of the election. The beneficiary may
make such an election after the Participant's death if no such election made by
the Participant is then in effect.
Any payee under an optional mode of settlement elected pursuant to this Section
may designate (with the right to revoke or to change such designation) a
beneficiary to receive any amount that, in the absence of such designation,
would be payable to such payee's executors or administrators.
Any election of an optional mode of settlement may be revoked or changed by the
Participant at any time before a payment is made thereunder. Any election,
designation, revocation, or change shall be effective as of the date written
notice thereof is filed with Equitable at the address shown on page 3.
<PAGE>
PART IV--ANNUITY BENEFITS
SECTION 4.01 ANNUITY BENEFIT
The term "Annuity Benefit" means a series of monthly payments with respect to a
specified person or persons payable in a specified dollar amount.
The term "Annuity Value" means the amount, determined on the Participant's
Retirement Date, equal to the sum of the Account Balances of the Participant's
Investment Accounts.
The term "Amount Applied" means the portion of the Annuity Value which the
Participant elects to apply toward an Annuity Benefit pursuant to Section 4.02,
less any applicable State Premium Tax as determined by Equitable, less an
administrative fee of $175.
Each monthly payment under an Annuity Benefit under the Contract will be the
amount provided pursuant to Section 4.03.
The Normal Form of an Annuity Benefit under the Contract is the Full Cash
Refund Annuity form which provides for equal monthly payments to the
Participant beginning on the Participant's Retirement Date and ending with the
last monthly payment due before the Participant's death, and, upon receipt by
Equitable of due proof of the Participant's death, a single sum payment to the
beneficiary designated to receive such payment of an amount equal to the
excess, if any, of the Amount applied over the sum of all the annuity payments
that have been paid to the Participant under the Contract.
SECTION 4.02 ELECTION AND COMMENCEMENT OF ANNUITY BENEFITS
As of a Participant's Retirement Date, provided such Participant is then
living, the Participant's Annuity Value shall be applied to provide an Annuity
Benefit on the Normal Form, unless such Participant elects as of such
Retirement Date to (i) terminate participation under the Contract and receive
the Cash Values of the Participant's Guaranteed Rate Account and the Account
Balances of the Participant's other Investment Accounts as a single sum, (ii)
have payments made under the periodic distribution option described in Section
4.40, (iii) have an Annuity Benefit provided pursuant to Section 4.03 or any
other annuity form or combination of forms offered by Equitable subject to
Equitable's rules then in effect, or (iv) have any combination of the three
preceding options.
Notwithstanding anything to the contrary in the preceding paragraph, Equitable
reserves the right to pay the Participant's Annuity Value to the Participant in
a single sum if less than $2,000 would be applied to provide an Annuity Benefit
or less than $20 per month would be payable under the Annuity Benefit or
periodic distribution option.
Equitable will provide appropriate notice and election forms to a Participant
[not more than six months or less than three months] before such Participant's
Retirement Date.
Equitable has the right to require the Participant to furnish pertinent facts
and determinations before providing an Annuity Benefit, and will be fully
protected in relying on such information and need not inquire as to the
accuracy or completeness thereof.
<PAGE>
SECTION 4.03 AMOUNT OF ANNUITY BENEFITS
If a Participant elects an Annuity Benefit, the Amount applied will be applied
as of the Participant's Retirement Date to provide the Annuity Benefit.
The Amount Applied shall provide the Annuity Benefit on the basis of either
(i) the Table of Guaranteed Annuity Payments shown in Section 4.05, (ii)
Equitable's current group annuity rates for payment of proceeds for the same
class of annuitants, or (iii) Equitable's current group rates for a single
consideration immediate annuity for the same class of annuitants, whichever
rates would provide the largest benefit to the payee.] If current group annuity
rates are used, such Participant's certificate will be replaced by an Equitable
supplemental certificate.
The Table of Guarantee Annuity Payment set forth the minimum amount of monthly
income that $1,000 of Participant's Amount Applied will provide under the
Contract on the Full Cash Refund Annuity Form. The amounts of income provided
under the Annuity Benefit are based on [3% interest and the 1983 Mortality
Table a and Projection Scale G] The amounts of income for ages and annuity
forms not shown in the table will be calculated on the same basis.
Equitable may change, by an amendment to the Contract, the monthly income
amounts contained in the Table of Guaranteed Annuity Payments and the basis for
determining such amounts, for new Participants, upon advance notice to the
Contract Holder.
SECTION 4.04 PERIODIC DISTRIBUTION OPTION
The Participant may elect pursuant to Section 4.02 to receive the Account
Balance of each of the Participant's Investment Accounts, other than the
Guaranteed Rate Account, under the periodic distribution option. Such option,
subject to the conditions set forth in the following paragraphs, provides a
series of monthly installment payments over a number of whole years beginning
as of the Participant's Retirement Date, or as soon thereafter as is
practicable. The number of whole years will be the lesser of (i) the number of
whole years designated by the Participant before the Participant's Retirement
Date and (ii) the number of years equal to the greater of the life expectancy
of the Participant, and the joint and last survivor expectancy of the
Participant and the Participant's spouse as of the Participant's Retirement
Date, rounded to the next lower year.
Conditions:
1. No payments may be made under the periodic distribution option from the
Guaranteed Rate Account, and no amounts may be retained in the Guaranteed
Rate Account while payments are being made under the periodic distribution
option.
2. The monthly amount of installment payments shall be computed by Equitable
monthly, beginning on the date as of which monthly installment payments
commence and, thereafter, as of the first day of each succeeding month.
The amount of each such monthly installment payment shall be determined by
dividing the sum of the Account Balances of the Participant's Investment
Accounts as of the first day of each such month by the number of months
then remaining under the periodic distribution option, less a monthly
transaction charge of $1.50 which will be deducted from the payment.
<PAGE>
3. Each monthly installment payment before deduction of the $1.50 transaction
charge will be withdrawn from the Participant's Investment Accounts in
proportion to the amount of the Participant's interest in each such
Investment Account immediately before such payment is made.
4. The Participant Service Charge will continue to be withdrawn from the
Participant's Account in accordance with Section 3.08; during the last
whole year of installment payments such charge shall be deducted as
necessary from the last monthly installment payments made.
5. While monthly installment payments are being made,
(a) the participant may transfer amounts among the Investment Accounts other
than the Guaranteed Rate Account maintained for the Participant pursuant
to Section 3.01, but
(b) no Contributions may be made for or by the Participant.
6. The Participant may elect by advance written notice to have Equitable cease
making monthly installment payments and instead pay in a single sum to the
participant the sum of the Account Balances of the Participant's Investment
Accounts minus a $5 processing charge. Upon making such payment Equitable
will be released from any and all liability for payments with respect to
the Contributions made for the Participant from which the payment arose.
7. No monthly installment payment shall be of an amount greater than the sum
of the Account Balances of the Participant's Investment Accounts
immediately before the due date of such payment.
8. If the Participant dies while monthly installment payments are being made,
a single sum death benefit will be paid to the participant's beneficiary
pursuant to Section 3.10. Upon payment of such death benefit, Equitable
will be released from any and all liability for payments with respect to
the Contributions made for the participant from which the death benefit
payment arose.
SECTION 4.05 PAYMENT OF BENEFITS
Evidence of each payee's survival must be furnished to Equitable either by
personal endorsement of the check drawn for payment or by other means
satisfactory to Equitable.
If a benefit payable under the Contract was based on information about the
Participant's age or identity that is subsequently found to be incorrect, such
benefit will not be invalidated, but an adjustment on the basis of the correct
information will be made in the amount of the benefit payments, or any amount
used to provide the benefit, or any combination thereof. Such adjustment, with
interest at the rate of 6% per year, will be added to any payments thereafter
falling due under the Contract with respect to the payee.
The liability of Equitable with respect to a payee is limited to the correct
information and the actual amounts used to provide the benefits then in force
with respect to the payee under the contract.
<PAGE>
With respect to any other statements required as a condition of issuing a
certificate to a Participant pursuant to Section 5.09, except statements
relating to the disability benefit in Section 3.10, the certificate shall be
incontestable after it has been in force during the lifetime of the participant
for two years.
If Equitable receives evidence satisfactory to it that (i) a payee entitled to
receive any payment under the contract is physically or mentally incompetent to
receive such payment or is a minor, (ii) another person or an institution is
then maintaining or has custody of such payee, and (iii) no guardian,
committee, or other representative of the estate of such payee has been
appointed, Equitable may make the payments (in the case of a minor, in an
amount not exceeding $50 a month) to such other person or institution, and will
thereupon be fully discharged from all liability with respect thereto.
If an annuity form made available by Equitable provides for payment for a
period certain, such as 120 or 180 months, and thereafter during the remaining
lifetime of one person, or of at least one of two persons, a payee for payments
thereunder may elect, without the concurrence of any other person, to receive
the commuted value of any remaining payments, provided no person upon whose
life the income depends is surviving.
Upon election by a Participant pursuant to Section 4.02 of an annuity form
providing payments for a period certain, such Participant may designate (with
the right to change such designation) a person or persons to receive any
payments that may become due after the death of the person or persons upon
whose life or lives the income may depend.
Payments under annuity forms with life contingencies terminate with the last
payment due before the death of the person or persons upon whose life the
income depends or the end of the certain period, whichever is later.
Equitable will require satisfactory evidence of the age of any person up whose
life an annuity form depends.
<PAGE>
TABLE OF GUARANTEED ANNUITY PAYMENTS
(Based on Age Nearest Birthday on Due Date of First Payment)
Annuity Benefit Payable On The Full Cash Refund Annuity Form
(Minimum Monthly Income per $1000 of Amount Applied)
<TABLE>
<CAPTION>
AGE ANNUITY BENEFIT
- ----- ---------------
<S> <C>
60 4.18
61 4.26
62 4.34
63 4.43
64 4.52
65 4.62
66 4.73
67 4.83
68 4.95
69 5.07
70 5.20
</TABLE>
Amounts applicable for ages or for annuity forms not shown will be calculated
by Equitable on the same actuarial basis.
<PAGE>
PART V--GENERAL PROVISIONS
SECTION 5.01 CONTRACT
The Contract constitutes the entire contract between the parties and the
provisions of the Contract alone will govern with respect to the rights and
obligations of Equitable. The provisions of the Contract will be applied
separately with respect to each Participant. Nothing in the enrollment form
referred to in Section 1.05, the administrative agreement referred to Section
1.06, the trust agreement referred to in Section 5.08 nor any modification,
amendment, or supplement to any such documents will in any way be construed to
enlarge, change, vary or in any other way affect the obligations of Equitable
as expressly provided in the Contract.
The Contract may not be modified as to Equitable, nor may any of Equitable's
rights or requirements be waived, except in writing and by an authorized
officer of Equitable. The Contract may be changed by amendment or replacement
upon agreement between the Contract Holder and Equitable without the consent of
any other person provided that such change does not reduce any Cash Value,
Account Balance, Annuity Value, or Annuity Benefit provided before such change
and provided that no rights, privileges or benefits which have accrued to any
Participant under the Contract may be reduced or forfeited except by the
express consent of such Participant.
SECTION 5.02 STATUTORY COMPLIANCE
Equitable reserves the right to amend the Contract without the consent of any
other person in order to comply with applicable laws and regulations. Such
right shall include, but shall not be limited to, the right to conform the
Contract and any certificate to reflect changes in the Internal Revenue Code,
or in regulations or published rulings of the Internal Revenue Service, so that
each such certificate will continue to be an Annuity covered under Section 72
of the Internal Revenue Code.
Any Annuity Benefit, Accrued Values, Account Balance or death or disability
benefit available under a certificate issued pursuant to the Contract shall not
be less than the minimum benefits required by any statute of the state in which
the certificate is delivered.
SECTION 5.03 ASSIGNMENTS AND NON-TRANSFERABILITY
The entire interest of any Participant under the Contract is nonforfeitable.
No interest of a Participant under the Contract may be sold, assigned,
discounted, or pledged as collateral for a loan or as security for the
performance of an obligation or for any other purpose to any person other than
Equitable.
No amount payable under the Contract may be assigned or encumbered by the payee
and, to the extent permitted by law, no such amount will in any way be subject
to any claim against such payee.
<PAGE>
SECTION 5.04 BENEFICIARY
Each Participant, as of such Participant's Enrollment Date, is to provide
Equitable with an initial designation of a beneficiary or beneficiaries
entitled to receive any payment with respect to such participant becoming due
under the Contract after the death of the Participant. The Participant may
change such designation from time to time. Any such designation or change will
be made by written notice on a form satisfactory to Equitable. A change will,
upon receipt at a designated Equitable Office, take effect as of the time the
written notice was signed, whether or not the Participant is living on the date
of receipt, but without further liability as to any payment or other settlement
made by Equitable before receipt of such change.
Unless otherwise specified in the designation, if a Participant has designated
two or more persons as beneficiary, the beneficiary will be the designated
person or persons who survive the Participant, and if more than one survive
they will share equally.
If upon the death of a person there is no designated beneficiary then living
entitled to receive any single sum payment or any remaining periodic payments
then becoming due to a beneficiary with respect to a Participant, Equitable
shall pay such single sum payment or the commuted values of such periodic
payments to the first surviving class of the following classes of successive
preference beneficiaries: (a) the Participant's surviving spouse, (b) the
Participant's surviving children, (c) the executors or administrators of the
person upon whose death the payment becomes due.
Any commuted value shall be determined on the basis of compound interest at the
rate determined by Equitable as consistent with the actuarial basis used in
providing the annuity benefits.
If the Participant so elects in writing, any amount that would otherwise be
payable to the beneficiary in a single sum may be applied to provide an Annuity
Benefit, on the form of annuity elected by the Participant with respect to the
beneficiary, subject to Equitable's rules then in effect. If at the death of a
Participant there is no election in effect to apply the Death Benefit to
provide an Annuity Benefit, the beneficiary may make such an election.
SECTION 5.05 FUTURE PARTICIPANTS
Equitable reserves the right at its sole discretion to curtail or prohibit
further enrollment as Participants under the Contract of any individuals who
are not currently participating under the Contract as of such date of
curtailment or prohibition.
SECTION 5.06 DEFERMENT
Except as provided in this Section, payments by Equitable from the
Participant's Account pursuant to the provisions of Section 3.06, 3.09, and
Section 3.10 will be made within seven days after receipt of a written request
for such surrender or withdrawal, or receipt of due proof of death or
disability of the Participant.
<PAGE>
During any period when (i) the sale of securities or the determination of the
Unit Value is not reasonably practicable because an emergency, defined by the
Securities and Exchange Commission, exists, or the New York Stock Exchange is
closed or trading on such Exchange is restricted, or (ii) the Securities and
Exchange Commission may by order permit postponement for the protection of
persons having interests in a Separate Account, equitable reserves the right:
(a) to defer payment of the Account Balance of a Participant's Investment
Account other than the Guaranteed Rate Account;
(b) to defer payment of any portion of a death or disability benefit arising
from an amount in a Participant's Investment Accounts other than the
Guaranteed Rate Account, or
(c) in the event of (a) above, to defer application of such amounts to
provide any Annuity Benefit permitted under the Contract.
Payments by Equitable from the Guaranteed Rate Account pursuant to Section
3.06, Section 3.09 or Section 3.10 or any commuted payments arising from an
annuity pursuant to Section 4.05 may be deferred for up to six months after
receipt of a written request for such withdrawal or termination, receipt of due
proof of disability or death of the Participant, or receipt of due
documentation for such commutation. Interest at the applicable Guarantee Rate
for the amount withdrawn will be allowed on any payment deferred for 30 days or
more.
SECTION 5.07 ANNUAL NOTICE
As soon as practicable after the end of each calendar year Equitable, provided
an Account is being maintained for the Participant at the end of such calendar
year, will furnish the Participant with a notice showing as of a specified
recent date (1) the total number of Units credited to each Investment Account
other than the Guaranteed Rate Account, (2) the Unit Value of such Investment
Accounts, (3) the Account Balance of each Investment Account, (4) the sum of
the Account Balances of each Investment Account, and (5) the Cash Value of the
Guaranteed Rate Account.
SECTION 5.08 CONTRACT HOLDER RESPONSIBILITY
The sole responsibility of the Contract Holder is to serve as party to the
Contract. The Contract Holder will have no responsibility for the
administration of any plan, for payments to the Accounts, for any payments,
distributions or duties thereunder. Equitable will deal with the Contract
Holder in accordance with the terms and conditions of the trust agreement
pursuant to which the Contract Holder agreed to act as such and with the
Contract and in such manner as the Contract Holder and Equitable may agree
without the consent of any other person.
<PAGE>
SECTION 5.09 CERTIFICATE
Equitable will issue to each Participant an individual certificate setting
forth a statement in substance of the benefits to which such Participant is
entitled under the Contract. Nothing in the Contract will invalidate or impair
any rights granted to a Participant in such certificates or under the New York
Insurance Law.
SECTION 5.10 DISQUALIFICATION
In the event that an annuity purchased hereunder with respect to a Participant
fails to qualify as an Annuity as described in Section 1.04, Equitable shall
have the right, upon receiving notice of such fact before the Retirement Date,
to terminate participation with respect to such Participant under the Contract
and pay to that Participant the sum of the Cash Values of the Participant's
Guaranteed Rate Account and the Account Balances of the Participant's other
Investment Accounts less a deduction for any applicable Participant Service
Charge and for the appropriate part attributable to such Participant of any
Federal income tax payable by Equitable which would not have been payable if
such participant had not had any annuity under the Contract.
SECTION 5.11 PARTICIPATION IN SURPLUS
The Contract and all other contracts in the same class of contracts shall be
combined for the purpose of ascertaining the annual surplus of Equitable to be
apportioned among such contracts as a dividend. Equitable shall determine the
portion of such dividend to be allocated to the Contract; however, the amount
thereof is expected to be minimal. Any amount allocated to the Contract shall
be payable as of January 1 of the calendar year in which a dividend is
apportioned. Dividends will be payable to the Participant's Account and
allocated in accordance with the Account Balances in the Guaranteed Rate
Accounts maintained for Participants under this Contract. Dividends will be
assigned to the Guarantee of the shortest Duration to which contributions are
being assigned during the Contribution Quarter when the dividend is paid.
<PAGE>
Exhibit 4(b)(2)
THE EQUITABLE LIFE ASSURANCE SOCIETY
OF THE UNITED STATES
Effective as of the later of the date specified below or your Enrollment
Date, we have amended the Certificate issued under Group Annuity Contract AC
5904 as follows:
1. The first page is hereby amended as follows:
A. Effective as of May 1, 1987, the first and second agreements are
hereby amended to read as follows:
"To allocate the contributions made on the Participant's behalf
under the Contract to the Account or Accounts maintained for
such Participant;
To apply the amounts the Participant has in his Investment
Accounts to provide an annuity, periodic distribution or cash
value benefit at the Participant's Retirement Date; and"
APPROVED
STATE OF NEW YORK
JUN 30 1987
/s/
---------------------------
SUPERINTENDENT OF INSURANCE
PF 94,178
<PAGE>
-2-
B. Effective as of May 1, 1987, the provision entitled "Ten Days to
Review" is hereby amended to read as follows:
"The Participant may end participation under the Contract and
cancel this certificate by mailing it to Equitable (at the
address shown on page 3) within ten days after receipt. If the
Participant does this, Equitable will refund any contribution
made under the Contract on the Participant's behalf, or, if
greater, with respect to contributions to the Investment
Divisions of the Separate Account, the Participant's Account
Balances in those Investment Divisions on the date the
cancelled certificate is received by Equitable."
C. Effective as of May 1, 1987, the last paragraph is hereby amended
to read as follows:
"ASSETS HELD IN CONNECTION WITH THE CONTRACT MAY BE HELD IN ONE
OR MORE INVESTMENT DIVISIONS OF THE SEPARATE ACCOUNT MAINTAINED
BY EQUITABLE AND MAY INCREASE OR DECREASE IN VALUE AS DESCRIBED
IN THE CONTRACT."
<PAGE>
-3-
2. Effective as of May 1, 1987, the Table of Contents is hereby amended by
deleting the reference to "The Separate Account" and substituting
reference to "The Separate Account and Its Investment Divisions."
3. On page 3, the following amendments are made:
A. Effective as of May 1, 1987, the Equitable office address is
hereby amended to read as follows:
"The Equitable Life Assurance Society
P.O. Box 182093
Columbus, Ohio 43218"
B. Effective as of May 1, 1987, the Section entitled "Available
Investment Accounts" is hereby amended to read as follows:
<TABLE>
<CAPTION>
APPLICABLE INVESTMENT
INVESTMENT ACCOUNTS MEDIUM ("GENERAL ACCOUNT")
- --------------------------- ------------------------------
<S> <C>
Guaranteed Rate Account General Account
</TABLE>
<PAGE>
-4-
<TABLE>
<CAPTION>
APPLICABLE INVESTMENT
MEDIUM ("INVESTMENT
INVESTMENT ACCOUNTS DIVISION")
- --------------------------------------- -------------------------
<S> <C>
Money Market Investment Account Money Market Division
Stock Investment Account Stock Division
Bond Investment Account Bond Division
Balanced Investment Account Balanced Division
Aggressive Stock Investment Account Aggressive Division
High Yield Investment Account High Yield Division
Global Investment Account Global Division
</TABLE>
Assets of the Investment Divisions are subject to charges, to
be made as described in Section 2.02.
The underlying investment policy of the corresponding fund
("Fund") of the Harmony Investment Trust ("Trust") in which the
Investment Division holds shares, is as described in the
prospectus and the statement of additional information for the
Trust, as amended from time to time.
<PAGE>
-5-
4. Effective as of January 1, 1987, Section 1.01 entitled "Employer" is
hereby amended to read as follows:
"The term "Employer" means (i) an educational organization
employing a regular faculty which is a State, a political division
of a State, or an agency or instrumentality of any one or more of
the foregoing (within the meaning of Section 170(b)(1)(A)(ii) of
the Code), and (ii) an organization described in Section 501(c)(3)
of the Code which is exempt from Federal income tax under Section
501(a) of the Code."
5. Effective as of January 1, 1987, Section 1.02 entitled "Plan" is hereby
amended to read as follows:
"The term "Plan" means a program established by an Employer for the
purchase of Annuities on behalf of employees under the Contract,
which program is not exempt under 29 CFR Section 2510.3-2(f) and is
therefore an "employee pension benefit plan" subject to the
<PAGE>
-6-
requirements of Title I of the Employee Retirement Income Security
Act of 1974, as amended from time to time."
6. Effective as of January 1, 1987, in Section 1.05 entitled "Participant"
the following sentence is hereby added at the end thereof:
"An Annuity is purchased for a person enrolled under the Contract
when we receive an initial contribution from the Employer."
7. In Section 1.07 entitled "Retirement Date" the following amendments are
made:
A. Effective as of May 1, 1987, the last sentence of the first
paragraph is hereby amended to read as follows:
"Any election for such change must be made in writing by the
Participant and shall not take effect until received by
Equitable at: The Equitable Life Assurance Society, P.O. Box
182093, Columbus, Ohio 43218, or
<PAGE>
-7-
any other address that Equitable designates in written notice
to the Participant."
B. Effective as of January 1, 1986, the second paragraph is hereby amended to
read as follows:
"If no age has been specified in the enrollment form, the
Retirement Date will be deemed to be the first day of the calendar
month following the month the Participant attains age 65. No
Retirement Date shall be earlier than (i) for distributions made on
or before December 31, 1988, the date of the Participant's
attainment of age 55 or (ii) for distributions made on or after
January 1, 1989, the date of the Participant's attainment of age 59
years and 6 months.
No Retirement Date shall be later than (i) for benefits accrued on
or before December 31, 1986, the later of the Participant's
Retirement Date under the terms of the Plan or the Participant's
75th birthday, and (ii) for benefits accrued on or after January 1,
1987, the first day of April following the calendar year in which
the Participant attains
<PAGE>
-8-
the age of 70 years and 6 months; provided, however, that if
distributions commence on or after January 1, 1987 and before
January 1, 1989, a Participant's Retirement Date shall be the later
of the Participant's Retirement Date under the terms of the Plan or
the first day of April following the calendar year in which the
Participant attains the age of 70 years and 6 months."
8. Effective as of May 1, 1987, Part I entitled "Definitions" is hereby
amended by adding the following Sections at the end thereof:
"SECTION 1.10 CODE
The term "Code" means the Internal Revenue Code of 1986, as it
may be amended from time to time.
SECTION 1.11. REORGANIZATION DATE
The term "Reorganization Date" means May 1, 1987."
<PAGE>
-9-
9. Effective as of May 1, 1987, Part II entitled "The Separate Accounts" as
hereby amended to read as follows:
"PART II -- THE SEPARATE ACCOUNT AND ITS INVESTMENT DIVISIONS
SECTION 2.01 THE SEPARATE ACCOUNT AND ITS INVESTMENT DIVISIONS
The term "Separate Account" means the Separate Account No. 301
established by Equitable and maintained under the laws of the
State of New York. Realized and unrealized gains and losses
from the assets of the Separate Account are credited or charged
against it without regard to other income, gains or losses of
Equitable. Assets are put in the Separate Account to support
the certificates issued under the Contract and other variable
annuity contracts and certificates. Assets may be put in the
Separate Account for other purposes, but not to support
contracts, policies or other agreements which are not variable
in form.
<PAGE>
-10-
On the Reorganization Date, Equitable exercised its rights
under the Contract and the certificates to operate Separate
Account Nos. 301, 302, 303 and 304 (collectively, the
"Predecessor Separate Accounts") as a unit investment trust
under the Investment Company Act of 1940. As a result, the
Predecessor Separate Accounts have been combined with and into
the Separate Account.
The Separate Account now operates in unit investment form and
consists of Investment Divisions, as specified on page 3. Each
of the Investment Divisions may invest its assets in a separate
class of shares of a designated investment company in which
each class represents a separate portfolio in the investment
company. The Investment Divisions available on the
Reorganization Date were the Money Market Division, the Stock
Division, the Bond Division, the Balanced Division, the
Aggressive Stock Division, the High Yield Division and the
Global Division.
<PAGE>
-11-
On the Reorganization Date, the investment assets and
liabilities of the Predecessor Separate Accounts were
transferred to the Separate Account which transferred its
investment assets and liabilities to the corresponding funds of
the Trust. The transfer to the Funds did not change the
Participant's existing Account Balances on the date of
transfer. As of the Reorganization Date, the Money Market
Division holds shares of the Money Market Fund, the Stock
Division holds shares of the Common Stock Fund, the Bond
Division holds shares of the Bond Fund and the Balanced
Division holds shares of the Balanced Fund. Subsequent to the
Reorganization Date, the Aggressive Division will hold shares
of the Aggressive Fund, the High Yield Division will hold
shares of the High Yield Fund and the Global Division will hold
shares of the Global Fund.
The assets of the Separate Account are the property of
Equitable. The portion of assets in the Separate Account equal
to the reserves and other contract liabilities with respect to
<PAGE>
-12-
the Separate Account will not be chargeable with liabilities
arising out of any other business conducted by Equitable.
Equitable reserves the right to transfer assets of an
Investment Division in excess of the reserves and other
liabilities with respect to that Investment Division to another
Investment Division or to the general assets of Equitable
("General Account"), which supports the guarantees of the
Contract and other contracts.
Equitable may, at its discretion, make other Investment
Divisions available to Participants. Equitable will provide
Participants with written notice of all material details
covering investment objectives and all charges, which may
include expenses and fees, if any, incurred by the investment
company.
Equitable reserves the right, subject to compliance with
applicable law, including approval of the Contract Holder or
Participants, if required, (1) to cause the registration or
deregistration of the Separate
<PAGE>
-13-
Account under the Investment Company Act of 1940, (2) to
operate the Separate Account under the direction of a committee
and to discharge such committee at any time, (3) to restrict or
eliminate any voting rights of Participants or other persons
who have voting rights as to the Separate Account, (4) to add,
change or remove the designated investment company, (5) to add,
change or remove Investment Divisions, (6) to combine any two
or more Investment Divisions, (7) to transfer assets from any
one of the Investment Divisions to another Investment Division,
and (8) to operate the Separate Account or one or more of the
Investment Divisions by making direct investments or in any
other form Equitable in its sole discretion determines. The
term "Investment Division" refers to any other Investment
Division in which the assets of a class of certificates to
which the Contract belongs are placed. Equitable may, however,
at its discretion, invest the assets of the Separate Account or
one or more of the Investment Divisions in any investment
permitted by applicable law.
<PAGE>
-14-
Equitable may rely conclusively on the opinion of counsel
(including attorneys in its employ) as to what investments it
is permitted by law to make. In addition, unless otherwise
required by law or regulation, an investment adviser or any
investment policy may not be changed without the consent of
Equitable.
If any of the above changes result in a material change in the
underlying investments of an Investment Division of the
Separate Account, Equitable will notify the Participant of such
change. If the Participant has value in that Investment
Division, the Participant may request Equitable in writing to
transfer that value from that Investment Division (without
charge) to another Investment Division of the Separate Account,
and may additionally change the allocation percentages
applicable to future Contributions made for him or her.
Equitable will value the assets of each Investment Division on
each Business Day, in
<PAGE>
-15-
accordance with the provisions of Section 2.02.
SECTION 2.02 DEFINITIONS RELATING TO THE INVESTMENT DIVISIONS.
VALUATION PERIOD. For an Investment Division, the "Valuation
Period" starts at the end of each Business Day and ends at the
corresponding time on the next Business Day, and includes any
non-business day or consecutive non-business days immediately
preceding such Business Day. A "Business Day" is each weekday,
excluding business holidays or other days on which changes in
the value of securities held by the Separate Account (or any
Investment Division) will not materially affect a Participant's
value in the Separate Account (or such Investment Division).
NET ASSETS: For an Investment Division, the "Net Assets" equal
the value of the assets in the Investment Division at the close
of business of a Valuation Period, minus the sum of (1)
Expenses, and (2) any amount charged against the Investment
Division in such
<PAGE>
-16-
Valuation Period for taxes or for amounts set aside by
Equitable as a reserve for taxes attributable to the
maintenance or operation of the Investment Division. The net
asset value of a designated investment company's shares held in
each Investment Division shall be the value reported to
Equitable by such investment company.
NET INVESTMENT FACTOR. For an Investment Division, the "Net
Investment Factor" for a Valuation Period is (1) the Net Assets
at the close of business of that Valuation Period, prior to
giving effect to any amounts allocated to or withdrawn from the
Investment Division during that Valuation Period, divided by
(2) the Investment Division's Net Assets at the close of
business of the preceding Valuation Period.
UNIT. The "Unit" is a unit used in determining the value of a
Participant's interest in an Investment Division for the
<PAGE>
-17-
period during which the Participant has contributions allocated
to such Investment Division.
UNIT VALUE. The "Unit Value" for each Investment Division on
the first day contributions are allocated to the Separate
Account will be equal to the Unit Value of the corresponding
Predecessor Separate Account for the preceding Valuation Period
multiplied by the Net Investment Factor applicable to such
Investment Division. The Unit Value for each Investment
Division for which there is no Predecessor Separate Account
will be equal to $10.00 on the first day contributions are
allocated to such Investment Division. The Unit Value for each
subsequent Valuation Period with respect to an Investment
Division is the Unit Value for the immediately preceding
Valuation Period multiplied by the Net Investment Factor for
such subsequent Valuation Period.
<PAGE>
-18-
EXPENSES: For a Valuation Period, the Expenses which may be
charged to an Investment Division are as follows:
(1) Any amount charged against the Investment Division by
Equitable during such Valuation Period to cover certain
expenses incurred in the operation of the Separate Account
and the Investment Divisions, including, but not limited
to, taxes, interest, Securities and Exchange Commission
charges and certain related expenses including printing of
registration statements and amendments, outside auditing
and legal expenses and certain costs of maintaining
participant services, including recordkeeping services.
(2) The daily charge against the Investment Division for each
day in such Valuation Period for administrative expense
charges, calculated on the basis of an effective annual
rate of 0.25% of the
<PAGE>
-19-
value of the assets in the Investment Division.
If the aggregate expenses of an Investment Division for a
calendar year (including the charges described in
sub-paragraphs (1) and (2) of this definition and
investment advisory fees of the Trust ("Investment
Advisory Fee") and certain other expenses attributable to
the assets of the Investment Division invested in a
corresponding Fund of the Trust, but excluding interest,
taxes, brokerage and, with the consent of appropriate
state regulatory authorities, extraordinary expenses)
exceed a charge determined on the basis of an effective
annual rate of (i) 1.0% of the value of the Money Market
Division's average daily Net Assets in such Investment
Division during such calendar year, or (ii) 1.5% of the
value of the Stock Division, the Bond Division or the
Balanced Division's average daily Net Assets in such
Investment Division during such calendar
<PAGE>
-20-
year, then Equitable shall reimburse such Investment
Division for the excess charged to such Investment
Division.
Notwithstanding anything to the contrary, if a
Participant's Enrollment Date is prior to the
Reorganization Date, the Investment Advisory Fee
chargeable to such Participant's proportionate Account
Balances invested in the corresponding Fund on each day in
such Valuation Period, shall not exceed a charge,
determined on the basis of an effective annual rate of (i)
as to the Money Market Fund and the Bond Fund, 0.35% of
the first $250 million, 0.325% of the next $250 million
and 0.30% of the amount in excess of $500 million of the
value of the assets of the Separate Account then invested
in such Fund, and (ii) as to the Common Stock Fund and the
Balanced Fund, 0.50% of the first $250 million, 0.45% of
the next $250 million and 0.40% of the amount in excess of
$500 million of the
<PAGE>
-21-
value of the assets of the Separate Account then invested
in such Fund."
10. In Section 3.01 entitled "Accounts" the following amendments are made:
A. Effective as of May 1, 1987, the last sentence of the first
paragraph is hereby amended to read as follows:
"Any amounts allocated to an Investment Account will either
become part of the General Account or part of an Investment
Division of the Separate Account applicable to that Investment
Account, as specified on page 3."l
B. Effective as of May 1, 1987, the last paragraph is hereby amended
to read as follows:
"Any amounts withdrawn from an Investment Account will no
longer be part of the General Account or the applicable
<PAGE>
-22-
Investment Division."
11. Effective as of May 1, 1987, in Section 3.02 entitled "Account Balances
of Investment Accounts" the first sentence is hereby amended by deleting
the term "Separate Account" and by substituting the term "Investment
Division".
12. Effective as of May 1, 1987, Section 3.04 entitled "Allocations" is
hereby amended by adding the following new condition at the end thereof:
"6. For individuals who are Participants on the Reorganization
Date, allocations of contributions made after the
Reorganization Date will be on the basis of the allocation
percentages in effect immediately before the Reorganization
Date unless changed by such Participant in accordance with the
foregoing provisions of this Section. Accordingly,
contributions which would otherwise have been allocated to the
Predecessor Separate Account No. 301 will be allocated to the
Money Market Division, contributions which would otherwise have
been allocated to the Predecessor Separate Account No. 302 will
be allocated to the Stock Division, contributions which would
otherwise have been
<PAGE>
-23-
allocated to the Predecessor Separate Account No. 303 will be
allocated to the Bond Division, and contributions which would
otherwise have been allocated to the Predecessor Separate
Account No. 304 will be allocated to the Balanced Division.
Contributions which were allocated to the Participant's General
Rate Account will continue to be allocated to the General Rate
Account."
13. Effective as of May 1, 1987, Section 3.10 entitled "Death or Disability
Benefit" the last sentence in the first paragraph is amended to read as
follows:
"Due proof of such death or disability must be received by
Equitable at: The Equitable Life Assurance Society, P.O. Box
182093, Columbus, Ohio 43218, or any other address Equitable
designates in written notice to the Participant."
<PAGE>
-24-
14. Effective as of January 1, 1985, in Section 3.11 entitled "Optional Modes
of Settlement" the first paragragh is hereby amended to read as follows:
"Any Participant may elect that all or any part of any amount
that would otherwise be payable to the Participant's designated
beneficiary in a single sum be paid to such beneficiary under an
optional mode of settlement, subject to the provisions of
Section 4.06 and to Equitable's rules in effect at the time of
election. A beneficiary may make such an election after the
Participant's death if no such election made by the Participant
is then in effect."
15. Effective as of May 1, 1987, in Section 4.01 entitled "Annuity Benefit"
the second paragraph is hereby amended to read as follows:
"The term "Annuity Value" means the amount, determined on the
Participant's Retirement Date, equal to the sum of the Account
<PAGE>
-25-
Balances of the Participant's Investment Accounts and the Cash
Value of the Participant's Guaranteed Rate Account."
16. Effective as of January 1, 1985, in Section 4.04 entitled "Periodic
Distribution Option" the first paragraph is hereby amended to read as
follows:
"The Participant may elect pursuant to Section 4.02 to receive
the Account Balance of each of the Participant's Investment
Accounts other than the Guaranteed Rate Account under the
periodic distribution option. Such option, subject to the
conditions set forth in the following paragraph, provides a
series of monthly installment payments over a number of whole
years beginning as of the Participant's Retirement Date, such
number of whole years being the lesser of (i) the number of
whole years designated by the Participant before the
Participant's Retirement Date and (ii) the number of years
equal to the greater of the life expectancy of the Participant
and the
<PAGE>
-26-
joint and last survivor life expectancy of the Participant and
the Participant's designated beneficiary as of the
Participant's Retirement Date, rounded to the next lower whole
year. If permitted by Equitable pursuant to its rules in effect
at the time, the life expectancy of the Participant or the
joint and last survivor life expectancy of the Participant and
his spouse may be recalculated once each year. The life
expectancy of a beneficiary other than the Participant's spouse
may not be recalculated after distribution has commenced."
17. Effective as of January 1, 1986, Part IV entitled "Annuity Benefits" is
hereby amended by adding the following new Section at the end thereof:
"4.07 POST 1985 REQUIRED DISTRIBUTIONS
For benefits which have accrued on or after January 1, 1986,
notwithstanding any other provision in the Contract to the
contrary,
<PAGE>
-27-
with regard to any form of benefit elected in accordance with
Section 4.02, if the Participant dies before the entire
interest is distributed, the following distribution provisions
shall apply:
(a) If the Participant dies after distribution of his
interest in the Accounts has commenced, the remaining
portion of such interest will continue to be distributed
at least as rapidly as under the method of distribution
being used prior to the Participant's death. If a
distribution for a period certain in accordance with
Section 4.04 had commenced prior to the Participant's
death, then the distribution shall be made to the
Participant's beneficiary, limited in accordance with
the option selected.
(b) If the Participant dies before distribution of his
interest in the Accounts commences, the Participant's
entire interest will be
<PAGE>
-28-
distributed in accordance with one of the following
three provisions:
(1) The Participant's entire interest will be paid
within 5 years after the date of the
Participant's death.
(2) If the Participant's interest is payable to a
beneficiary designated by the Participant and the
Participant has not elected (1) above, then the
entire interest will be distributed in
substantially equal installments over the life or
life expectancy of the designated beneficiary
commencing no later than one year after the date
of the Participant's death. The designated
beneficiary may elect at any time to receive
greater payments.
(3) If the designated beneficiary of the Participant
is the Participant's surviving spouse, the
<PAGE>
-29-
spouse may elect within the 1 year period
commencing with the Participant's date of death
to receive equal or substantially equal payments
over the life or life expectancy of the surviving
spouse commencing on any date prior to the date
on which the deceased Participant would have
attained the age of 70 years and 6 months. The
surviving spouse may accelerate these payments at
any time, by either increasing the frequency or
amount of such payments.
If permitted by Equitable pursuant to its rules in
effect at the time, the life expectancy of the surviving
spouse may be recalculated once each year. The life
expectancy of a beneficiary other than the surviving
spouse will be determined at the time payment first
commences and payments for any 12-consecutive month
period will be based on such life expectancy minus the
number of whole years passed since
<PAGE>
-30-
distribution first commenced. The life expectancy of a
beneficiary other than the surviving spouse may not be
recalculated after distribution has commenced.
(c) For purposes of this requirement, any amount paid to a
child of the Participant will be treated as if it had
been paid to the Participant's surviving spouse if the
remainder of the interest becomes payable to the
surviving spouse when the child reaches the age of
majority."
18. Effective as of January 1, 1985, in Section 5.04 entitled "Beneficiary"
the fifth paragraph is hereby amended to read as follows:
"If the Participant so elects in writing, any amount that would
otherwise be payable to the beneficiary in a single sum may be
applied to provide an Annuity Benefit, on the form of annuity
elected by the Participant with respect to the beneficiary,
subject to the provisions of Section 4.06 and to Equitable's
rules then in effect. If at the death of a
<PAGE>
-31-
Participant there is no election in effect to apply the Death
Benefit to provide an Annuity Benefit, the beneficiary may make
such an election subject to the provisions of Section 4.05 and
Equitable's rules then in effect."
<PAGE>
THE EQUITABLE LIFE ASSURANCE SOCIETY OF THE UNITED STATES
Effective as of January 1, 1989, we have amended Group Annuity Contract AC
5904 as follows:
1. SECTION 1.03 SALARY REDUCTION AGREEMENT is replaced by the following:
SECTION 1.03 SALARY REDUCTION AGREEMENT
The term "Salary Reduction Agreement" means (i) an agreement between an
Employer and an employee of the Employer to the meaning of Section
1.403(b)-1(b)(3) of the Federal income tax regulations, under which the
employee agrees to accept a reduction in salary or to forego an increase
in salary and to have such amounts applied under the contract for the
employee's behalf or (ii) any program or arrangement (other than by use of
agreements described above) pursuant to which an Employer makes
contributions to the purchase of annuity meeting the requirements of
Section 403(b) of the Code.
2. SECTION 1.04 ANNUITY is replaced by the following:
SECTION 1.04 ANNUITY
The term "Annuity" means an annuity purchased in accordance with the terms
of a Salary Reduction Agreement, Plan or program, which annuity meets the
requirements of Section 403(b) of the Code.
3. SECTION 1.05 PARTICIPANT is replaced by the following:
SECTION 1.05 PARTICIPANT
The term "Participant" means a person who has been enrolled by the
Equitable under the Contract through an Administrative Agreement and for
whom the Employer has purchased an annuity under the Contract. An Annuity
is purchased for a person earlier under the Contract when we receive an
initial Contribution from the Employer.
4. SECTION 1.06 ADMINISTRATIVE AGREEMENT is replaced by the following:
SECTION 1.06 ADMINISTRATIVE AGREEMENT
The term "Administrative Agreement" means a written understanding between
the Employer and Equitable which, among other things, may describe,
(i) procedures for facilitating the enrollment of Participants under
the Contract.
(ii) procedures pursuant to which Contributions may be made under the
Contract on behalf of Participants.
(iii) procedures for facilitating the communication to Particpiants of
information prepared by Equitable concerning the Contract and
enrollment and contributions thereunder, and
(iv) The extent to which the Employer will perform any services in
connection with the Contract which would otherwise be performed by
Equitable.
5. With respect to SECTION 1.08 DEFINITIONS RELATING TO THE GUARANTEED
RATE ACCOUNT, the terms "contribution" and "contributions" are
replaced by "Contribution" and "Contributions", respectively.
6. With respect to SECTION 1.08 DEFINITIONS RELATING TO THE GUARANTEED
RATE ACCOUNT, the term "Guarantee Accrued Value" is replaced by
"Accrued Value".
7. With respect to SECTION 1.08 DEFINITIONS RELATING TO THE GUARANTEED
RATE ACCOUNT, the paragraph entitled "ACCRUED VALUE" is replaced by
the following:
ACCRUED VALUE: A Participant's Accrued Value with respect to a particular
Guarantee will be equal to the sum of that Participant's Contributions
assigned to that Guarantee, including transfers, plus the amount of
interest credited to that Guarantee, including transfers, plus the amount
of interest credited with respect to that Guarantee, minus the sum of the
withdrawals made with respect to that Guarantee, including transfers and
Withdrawal Charges, defined below, and any applicable Participant Service
Charges, as set forth in Section 3.08. Such Accrued Vlaue will be credited
with interest daily at an annual effective rate of interest equal to the
Guarantee Rate.
<PAGE>
8. The following new sections are added to the Contract:
SECTION 1.12 CONTRIBUTION. The term "Contribution" means a payment made to
Equitable for a Participant with respect to an Annuity purchased for such
Participant under the Contract.
SECTION 1.13 ELECTIVE DEFERRALS. The "Elective Deferrals" means
Contributions made pursuant to a Salary Reduction Agreement. All
references to Contributions in this Contract include Elective Deferrals.
The total amount of Elective Deferrals under the Plan and all other plans,
contracts or arrangements of the Employer for any calendar year may not
exceed the amount of the limitation in effect under Section 402(g)(1) of
the Code. Equitable is not responsible for compliance with Section
402(g)(1) of the Code.
9. With respect to SECTION 3.01 ACCOUNTS, the second paragraph is
replaced by the following:
Any amounts withdrawn from an Investment Account will no longer be part of
the General Account or the applicable Investment Division and upon such
withdrawal, and Equitable will be released from any liability for payments
with respect to the Contributions from which the amounts so withdrawn
arose. Such payments may be deferred by Equitable in accordance with the
provisions of Section 5.06.
10. With respect to SECTION 3.03 CONTRIBUTIONS, the terms "contribution"
and "contributions" are replaced by "Contribution" and
"Contributions", respectively.
11. With respect to SECTION 3.03 CONTRIBUTIONS, the term "Internal Revenue
Code" is replaced by "Code".
12. With respect to SECTION 3.04 ALLOCATIONS, the terms "contribution" and
"contributions" are replaced by "Contribution" and "Contributions",
respectively.
13. With respect to SECTION 3.04 ALLOCATIONS, the term "Money Market
Investment Account" is replaced by "Money Market Investment Division".
14. The following paragraphs are added after the first paragraph of
SECTION 3.06 PARTIAL WITHDRAWALS:
Notwithstanding anything to the contrary in this section, in accordance
with Section 403(b)(11) of the Code, a Participant may not make a
withdrawal of amounts attributable to (1) Elective Deferrals, including
earnings thereon, made on or after January 1, 1989, or (2) earnings
credited on or after January 1, 1989, on Contributions made prior to
January 1, 1989. Distributions of these restricted amounts may be made
only when the Participant attains age 59 1/2, separates from services,
dies, becomes disabled (within the meaning of Section 72(m)(7) of the
Code) or in the case of hardship, as defined by the Plan or Salary
Reduction Agreement. However, in the case of hardship, only amounts
attributable to Elective Deferrals, excluding earnings, may be withdrawn.
For any request for withdrawal which includes amounts attributable to
Elective Deferrals, including earnings thereon, contributed on or after
January 1, 1989, if the Participant does not satisfy any of the conditions
referred to above, the Participant will be given the option of modifying
the withdrawal request to exclude such amounts. If the Participant does
not modify the withdrawal request, Equitable will exercise its right to
terminate participation under the Contract pursuant to Section 5.10.
15. The following sentence is added to SECTION 5.10 DISQUALIFICATION:
In the event that the Participant makes a partial withdrawal from the
Investment Divisions of restricted amounts described in Section 3.06 for
reasons other than those described in Section 3.06, Equitable will
terminate participation with respect to that Participant under the
Contract and pay to such Participant the sum of the Cash Value of the
Participant's Guaranteed Rate Account and the Account Balances of the
Participant's other Investment Accounts, less a deduction for any
applicable Participant Service Charge and for the appropriate part
attributable to such Participant of any Federal income tax payable by
Equitable which would not have been payable if such Participant had an
Annuity under the Contract.
Agreed to by:
UNITED STATES TRUST COMPANY THE EQUITABLE LIFE ASSURANCE
SOCIETY OF THE UNITED STATES
By By /s/
- -------------------------------- -------------------------------
President
Title
By
- -------------------------------- /s/
-------------------------------
Dated Vice President and Secretary
- --------------------------------
Date of Issue
At
-------------------------------
- --------------------------------
<PAGE>
THE EQUITABLE LIFE ASSURANCE SOCIETY OF THE UNITED STATES
Effective as of January 1, 1989, we have amended your certificate issued
under Group Annuity Contract AC 5904 as follows:
1. On the first page, in the section entitled "Available Investment
Accounts", the term "Harmony Investment Trust" is replaced by "Prism
Investment Trust".
2. SECTION 1.03 SALARY REDUCTION AGREEMENT is replaced by the following:
SECTION 1.03 SALARY REDUCTION AGREEMENT
The term "Salary Reduction Agreement" means (i) an agreement between an
Employer and an employee of the Employer with the meaning of Section
1.403(b)-1(b)(3) of the Federal income tax regulations, under which the
employee agrees to accept a reduction in salary or to forego an increase
in salary and to have such amounts applied under the contract for the
employee's behalf or (ii) any program or arrangement (other than by use of
agreements described above) pursuant to which an Employer makes
contributions to the purchase of annuity meeting the requirements of
Section 403(b) of the Code.
3. SECTION 1.04 ANNUITY is replaced by the following:
SECTION 1.04 ANNUITY
The term "Annuity" means an annuity purchased in accordance with the terms
of a Salary Reduction Agreement, Plan or program, which annuity meets the
requirements of Section 403(b) of the Code.
4. SECTION 1.05 PARTICIPANT is replaced by the following:
SECTION 1.05 PARTICIPANT
The term "Participant" means a person who has been enrolled by the
Equitable under the Contract through an Administrative Agreement and for
whom the Employer has purchased an annuity under the Contract. An Annuity
is purchased for a person enrolled under the Contract when we receive an
initial Contribution from the Employer.
5. SECTION 1.06 ADMINISTRATIVE AGREEMENT is replaced by the following:
SECTION 1.06 ADMINISTRATIVE AGREEMENT
The term "Administrative Agreement" means a written understanding between
the Employer and Equitable which, among other things, may describe,
(i) procedures for facilitating the enrollment of Participants under
the Contract.
(ii) procedures pursuant to which Contributions may be made under the
Contract on behalf of Participants.
(iii) procedures for facilitating the communication to Particpiants of
information prepared by Equitable concerning the Contract and
enrollment and Contributions, thereunder, and
(iv) the extent to which the Employer will perform any services in
connection with the Contract which would otherwise be performed by
Equitable.
6. With respect to SECTION 1.08 DEFINITIONS RELATING TO THE GUARANTEED
RATE ACCOUNT, the terms "contribution" and "contributions" are
replaced by "Contribution" and "Contributions", respectively.
7. With respect to SECTION 1.08 DEFINITIONS RELATING TO THE GUARANTEED
RATE ACCOUNT, the term "Guarantee Accrued Value" is replaced by
"Accrued Value".
8. With respect to SECTION 1.08 DEFINITIONS RELATING TO THE GUARANTEED
RATE ACCOUNT, the paragraph entitled "ACCRUED VALUE" is replaced by
the following:
ACCRUED VALUE: A Participant's Accrued Value with respect to a particular
Guarantee will be equal to the sum of that Participant's Contributions
assigned to that Guarantee, including transfers, plus the amount of
interest credited to that Guarantee, including transfers, plus the amount
of interest credited with respect to that Guarantee, minus the sum of the
withdrawals made with respectto that Guarantee, including transfers and
Withdrawal Charges, defined below, and any applicable Participant Service
Charges, as set forth in Section 3.08. Such Accrued Value will be credited
with interest daily at an annual effective rate of interest equal to the
Guarantee Rate.
<PAGE>
9. The following new sections are added to the certificate:
SECTION 1.12 CONTRIBUTION
The term "Contribution" means a payment made to Equitable for a
Participant with respect to an Annuity purchased for such Participant
under the Contract.
SECTION 1.13 ELECTIVE DEFERRALS
The "Elective Deferrals" means Contributions made pursuant to a Salary
Reduction Agreement. All references to Contributions in this certificate
include Elective Deferrals. The total amount of Elective Deferrals under
the Plan and all other plans, contracts or arrangements of the Employer
for any calendar year may not exceed the amount of the limitation in
effect under Section 402(g)(1) of the Code. Equitable is not responsible
for compliance with Section 402(g)(1) of the Code.
10. With respect to SECTION 3.01 ACCOUNTS, the second paragraph is
replaced by the following:
Any amounts withdrawn from an Investment Account will no longer be part of
the General Account or the applicable Investment Division and upon such
withdrawal, and Equitable will be released from any liability for payments
with respect to the Contributions from which the amounts so withdrawn
arose. Such payments may be deferred by Equitable in accordance with the
provisions of Section 5.06.
11. With respect to SECTION 3.03 CONTRIBUTIONS, the terms "contribution"
and "contributions" are replaced by "Contribution" and
"Contributions", respectively.
12. With respect to SECTION 3.03 CONTRIBUTIONS, the term "Internal Revenue
Code" is replaced by "Code".
13. With respect to SECTION 3.04 ALLOCATIONS, the terms "contribution" and
"contributions" are replaced by "Contribution" and "Contributions",
respectively.
14. With respect to SECTION 3.04 ALLOCATIONS, the term "Money Market
Investment Account" is replaced by "Money Market Investment Division".
15. The following paragraphs are added after the first paragraph of
SECTION 3.06 PARTIAL WITHDRAWALS:
Notwithstanding anything to the contrary in this section, in accordance
with Section 403(b)(11) of the Code, a Participant may not make a
withdrawal of amounts attributable to (1) Elective Deferrals, including
earnings thereon, made on or after January 1, 1989, or (2) earnings
credited on or after January 1, 1989, on Contributions made prior to
January 1, 1989. Distributions of these restricted amounts may be made
only when the Participant attains age 59 1/2, separates from service,
dies, becomes disabled (within the meaning of Section 72(m)(7) of the
Code) or in the case of hardship, as defined by the Plan or Salary
Reduction Agreement. However, in the case of hardship, only amounts
attributable to Elective Deferrals, excluding earnings, may be withdrawn.
For any request for withdrawal which includes amounts attributable to
Elective Deferrals, including earnings thereon, contributed on or after
January 1, 1989, if the Participant does not satisfy any of the conditions
referred to above, the Participant will be given the option of modifying
the withdrawal request to exclude such amounts. If the Participant does
not modify the withdrawal request, Equitable will exercise its right to
terminate participation under the Contract pursuant to Section 5.10.
16. The following sentence is added to SECTION 5.10 DISQUALIFICATION:
In the event that the Participant makes a partial withdrawal from the
Investment Divisions of restricted amounts described in Section 3.06 for
reasons other than those described in Section 3.06, Equitable shall
terminate participation with respect to that Participant under the
Contract and pay to such Participant the sum of the Cash Value of the
Participant's Guaranteed Rate Account and the Account Balances of the
Participant's other Investment Accounts, less a deduction for any
applicable Participant Service Charge and for the appropriate part
attributable to such Participant of any Federal income tax payable by
Equitable which would not have been payable if such Participant had an
Annuity under the Contract.
SPECIMEN Vice President SPECIMEN President
and Secretary
<PAGE>
EQUITABLE
LOGO
THE EQUITABLE LIFE ASSURANCE SOCIETY OF THE UNITED STATES
1285 AVENUE OF THE AMERICAS, NEW YORK, N.Y. 10019
Effective as of July 1, 1983, or your Participation Date, whichever is later,
we have amended your Certificate issued under Group Annuity Contract No.
13455 as follows:
The third paragraph of Section 4.01 (Annuity Benefit) has been revised
to read:
The term "Amount Applied" means the portion of the Annuity value which
the Participant elects to apply toward an Annuity Benefit pursuant to
Section 4.02, less any applicable State Premium Tax as determined by
Equitable, less, for new IRA Participants on and after July 1, 1983, a
one time administrative fee of $175.
THE EQUITABLE LIFE ASSURANCE SOCIETY OF THE UNITED STATES
/s/ Rodney L. Enochs
-----------------------------
Vice President and Secretary
/s/ Coy Eklund
-----------------------------
President
<PAGE>
THE EQUITABLE LIFE ASSURANCE SOCIETY OF THE UNITED STATES
Agrees
* To allocate the contributions made on the Participant's behalf under
the Contract to the Account maintained for the Participant,
* To provide an annuity, periodic distribution, or cash value benefit
at the Participant's Retirement Date; and
* To provide the Participant with the other rights and benefits of this
certificate.
These agreements are subject to the provisions of this certificate.
TEN DAYS TO REVIEW -- The Participant may end participation under the
Contract and cancel this certificate by mailing it to Equitable (address
shown on page 3) within ten days after receipt. If the Participant does this,
Equitable will refund any contribution made under the Contract on the
Participant's behalf, or, if greater, with respect to contributions to the
Separate Accounts, the Participant's Account Balance in those Separate
Accounts on the date the cancelled certificate is received by Equitable.
ASSETS HELD IN CONNECTION WITH THE CONTRACT MAY BE HELD IN ONE OR MORE
SEPARATE ACCOUNTS MAINTAINED BY EQUITABLE AND MAY INCREASE OR DECREASE IN
VALUE AS DESCRIBED IN THE CONTRACT.
<PAGE>
CONTENTS
<TABLE>
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PART I -- Definitions Page 4
PART II -- The Separate Accounts Page 7
PART III -- Participant's Account Page 10
PART IV -- Annuity Benefits Page 18
PART V -- General Provisions Page 23
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CERTIFICATE AND CONTRACT:
* Equitable certifies that the Participant named on page 3 is
included under the Group Annuity Contract (the "Contract") designated
on page 3, all pertinent provisions of which are set forth below.
* This certificate is valid only if participation under the Contract
has not been terminated as described in the Contract and is subject
to amendment as may be required pursuant to Section 5.02.
* The Contract is issued in consideration of the payment to Equitable
of the contributions under the Contract.
* The statements on the following pages are part of this certificate.
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PARTICIPANT: IRA Q. DOE
CERTIFICATE NUMBER: 000 00 0000
ENROLLMENT DATE: November 1, 1982
RETIREMENT DATE: July 1, 2000
CONTRACT HOLDER: UNITED STATES TRUST COMPANY OF
NEW YORK
GROUP: Association of XYZ
GROUP NUMBER: 1234567890
GROUP ANNUITY CONTRACT NUMBER: AC 5361
INITIAL PARTICIPANT SERVICE CHARGE: $7.50 per calendar quarter with the right reserved by Equitable
to change such amount in accordance with Section 3.08.
MINIMUM CONTRIBUTION $250--(for contributions other than through payroll
REQUIREMENT: deductions)
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AVAILABLE INVESTMENT ACCOUNTS:
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APPLICABLE
INVESTMENT INVESTMENT
ACCOUNT MEDIUM INVESTMENTS INVESTMENT MANAGEMENT FEE
- -------------- -------------- ---------------------------------------- -------------------------------------
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Guaranteed General Not Applicable Not Applicable
Rate Account Account
Money Market No. 301 Primarily in short-term money market 0.35% of first $250 million
Account instruments 0.325% of next $250 million
0.30% of excess over $500 million
Common Stock No. 302 Primarily in common stocks 0.50% of first $250 million
Account 0.45% of next $250 million
0.40% of excess over $500 million
Bond Account No. 303 Primarily in publicly-traded debt 0.35% of first $250 million
securities 0.325% of next $250 million
0.30% of excess over $500 million
Balanced No. 304 Primarily in a diversified portfolio of 0.50% of first $250 million
Account publicly-traded common stock and debt 0.45% of next $250 million
securities, and short-term money market 0.40% of excess over $500 million
instruments
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EQUITABLE OFFICE: EQUITABLE RETIREMENT PRODUCTS CENTER
P.O. BOX 1910
Boston, Massachusetts 02105
<PAGE>
TABLE OF GUARANTEED VALUES
ISSUE AGE 35 MALE $1000 ANNUAL CONTRIBUTION
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NUMBER OF YEARS GUARANTEED GUARANTEED PAID UP MONTHLY
SINCE FIRST CONTRIBUTION CASH VALUE ANNUITY AT AGE 65*
- ------------------------ ------------ --------------------------
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1 999.66 4.87
2 2,000.00 16.54
3 3,000.00 27.86
4 4,000.00 38.86
5 5,000.00 49.53
6 6,013.60 59.90
7 7,123.70 69.96
8 8,267.10 79.73
9 9,444.80 89.21
10 10,657.83 98.42
11 11,907.25 107.36
12 13,194.16 116.04
13 14,519.67 124.47
14 15,884.95 132.65
15 17,291.19 140.59
16 18,739.61 148.30
17 20,231.49 155.79
18 21,768.12 163.06
19 23,350.85 170.12
20 24,981.07 176.97
25 33,895.74 208.35
27(Age 62) 37,847.26 219.66
30(Age 65) 44,230.30 235.42
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THE TABLES ILLUSTRATE MINIMUM GUARANTEED VALUES AND ASSUME A HYPOTHETICAL
$1000 CONTRIBUTION MADE ANNUALLY ON THE ENROLLMENT DATE. THE GUARANTEED CASH
VALUE TABLE REFLECTS A QUARTERLY PARTICIPANT SERVICE CHARGE OF $7.50 (SEE
SECTION 3.08) AND A PREMATURE WITHDRAWAL CHARGE OF UP TO 7% OF THE ACCOUNT
BALANCE (SEE SECTION 1.06). THE TABLES ASSUME THAT 100% OF ALL CONTRIBUTIONS
ARE ALLOCATED TO AND REMAIN IN THE GUARANTEED RATE ACCOUNT.
YOUR ACTUAL GUARANTEED VALUES MAY DIFFER FROM THOSE SHOWN ABOVE, DEPENDING ON
THE LEVEL AND FREQUENCY OF YOUR CONTRIBUTIONS AND THE PARTICIPANT SERVICE
CHARGE APPLICABLE.
*ASSUMES FULL CASH REFUND ANNUITY.
<PAGE>
PART I -- DEFINITIONS
SECTION 1.01 ANNUITY
The term "Annuity" means an individual retirement annuity meeting the
requirements of Section 408(b) of the Internal Revenue Code.
SECTION 1.02 PARTICIPANT
The term "Participant" means (i) a person who has been enrolled by Equitable
under the Contract through an Administrative Agreement, and (ii) the spouse
of any such person if such spouse has also been enrolled by the Equitable
under the Contract. A person shall become enrolled under the Contract on the
date, hereinafter called the "Enrollment Date", on which Equitable receives
an enrollment form made available by Equitable and completed in a manner
satisfactory to, and accepted by, Equitable. A person who has been enrolled
under the Contract shall be a Participant-owner under the certificate issued
pursuant to Section 5.09 during the person's life time provided a
contribution is made for the Participant within 120 days of the Enrollment
Date.
SECTION 1.03 GROUP
The term "Group" includes, but is not necessarily limited to, a corporation,
labor organization or association thereof, governmental or quasi-governmental
body, partnership, sole proprietorship, trade or professional association, or
any other group or entity entering into an Administrative Agreement, as
specified on page 3.
SECTION 1.04 ADMINISTRATIVE AGREEMENT
The term "Administrative Agreement" means a written understanding between
the Group and Equitable which, among other things, may describe
(i) procedures for facilitating the enrollment of Participants under
the Contract,
(ii) procedures pursuant to which contributions may be made under the
Contract by or on behalf of Participants (including payroll
deduction, direct contributions by the Participants, or a
combination thereof),
(iii) procedures for facilitating the communication to Participants of
information prepared by Equitable concerning the Contract and
enrollment and contributions thereunder, and
(iv) the extent to which the Group will perform any services in
connection with the Contract which would otherwise be performed
by Equitable.
SECTION 1.05 RETIREMENT DATE
The term "Retirement Date" means the date on which the Participant will
attain the retirement age specified by the Participant in the
<PAGE>
DEFINITIONS -- (cont'd)
GUARANTEE ACCRUED VALUE: A Participant's Accrued Value with respect to a
particular Guarantee will be equal to the sum of that Participant's
contributions assigned to that Guarantee, including transfers, plus the
amount of interest credited with respect to that Guarantee, minus the sum of
the withdrawals made with respect to that Guarantee, including transfers and
Withdrawal Charges, defined below, and any applicable Participant Service
Charges, as set forth in Section 3.08. Such Accrued Value will be credited
with interest daily at an annual effective rate of interest equal to the
Guarantee Rate.
GUARANTEE WITHDRAWAL CHARGE: Any transfers or withdrawals with respect to a
Guarantee prior to the end of the Duration of that Guarantee, except for
withdrawals for Participant Service Charges as set forth in Section 3.08, for
death or disability benefits as set forth in Section 3.10, or upon the
election of any Annuity Benefit pursuant to Section 4.03, will be subject to
a Withdrawal Charge. The Withdrawal Charge will be equal to the lesser of (i)
7% of the amount transferred or withdrawn (including the amount of such
Withdrawal Charge), and (ii) the "interest attributable" to the amount
transferred or withdrawn, defined as (a) times the excess of (b) over (c),
where
(a) is the amount transferred or withdrawn from a Guarantee divided by
the Participant's Accrued Value with respect to that Guarantee;
(b) is such Accrued Value; and
(c) is the excess to date of (i) the Participant's Contributions,
including transfers, assigned to that Guarantee over (ii) "Net
Withdrawals" with respect to that Guarantee.
The "Net Withdrawals" with respect to a Guarantee are the actual amounts
credited to a Participant through transfers with respect to that Guarantee
pursuant to Section 3.05, and the actual amounts paid to a Participant
through partial withdrawals with respect to that Guarantee pursuant to
Section 3.06, exclusive of any withdrawal charges assessed. Withdrawals of
Participant Service Charges from a Guarantee are not included in Net
Withdrawals.
SECTION 1.07 STATE PREMIUM TAXES
The term "State Premium Taxes" means any premium tax applicable to individual
retirement annuities.
<PAGE>
PART II -- THE SEPARATE ACCOUNTS
SECTION 2.01 SEPARATE ACCOUNTS
The term "Separate Accounts" means the separate accounts maintained by
Equitable, specified as available investment media on page 3, to which
portions of its assets have been allocated for the Contract and certain other
contracts.
It is contemplated that investments in the Separate Accounts will, at most
times, consist of the investments indicated on page 3. Equitable may,
however, at its discretion invest the assets of a Separate Account in any
investment permitted by applicable law. Equitable may rely conclusively on
the opinion of counsel (including attorneys in its employ) as to what
investments it is permitted by law to make. The assets of each Separate
Account may be temporarily held uninvested for such periods as Equitable may
determine.
In lieu of making such investments directly, Equitable reserves the right,
subject to applicable law, to operate any Separate Account as a "unit
investment trust" under the Investment Company Act of 1940, or in any other
form permitted by law, which invests all or part of its assets in shares or
units of a fund the investment adviser of which may be Equitable or
controlled by Equitable. The fund asses would be invested as provided above
with respect to the Separate Account.
All income and all gains and losses, whether or not realized, from assets
allocated to a Separate Account will be credited to or charged against that
Separate Account without regard to the other income, gains, or losses of the
Equitable.
Equitable reserves the right, subject to compliance with applicable law,
including approval of the Contract Holder or Participants if required, (1) to
create new separate accounts, (2) to combine any two or more Separate
Accounts, (3) to transfer assets determined by Equitable to be attributable
to the class of contracts to which the Contract belongs from any of the
Separate Accounts to another separate account by withdrawing the same
percentage of each investment in that Account with appropriate adjustments to
avoid odd lots and fractions, (4) to cause the registration or deregistration
of a Separate Account under the Investment Company Act of 1940, (5) to
operate a Separate Account under the direction of a committee, and to
discharge such committee at any time, and (6) to restrict or eliminate any
voting rights of Participants or other persons who have voting rights as to a
Separate Account.
Assets of the Separate Accounts are subject to charges, to be made as
described in the Net Assets provision of Section 2.02.
<PAGE>
THE SEPARATE ACCOUNTS -- (cont'd)
The assets of each of the Separate Accounts are the property of Equitable;
however, the portion of the assets of each Separate Account equal to the
reserves and other contract liabilities with respect to such Separate Account
shall not be chargeable with liabilities arising out of any other business
Equitable may conduct. Equitable reserves the right to transfer assets of the
Separate Account in excess of such reserves and contract liabilities to the
general account of Equitable.
SECTION 2.02 DEFINITIONS RELATING TO THE SEPARATE ACCOUNTS
VALUATION PERIOD: The Valuation Period for Separate Account No. 301 starts
from the close of trading on the New York Stock Exchange and ends at the
corresponding time on the next Business Day. A Business Day for Separate
Account No. 301 is any day on which the New York Exchange is open for
trading.
The Valuation Period for each Separate Account except Separate Account No.
301 starts from the close of trading on all the National Securities Exchanges
on a Business Day and ends at the corresponding time on the next Business
Day. A Business Day is any day on which any national Securities Exchange is
open for trading. A National Securities Exchange is one that is registered as
such under the Securities Exchange Act of 1934.
NET ASSETS: For a Separate Account, the Net Assets equal the value of the
assets in the Separate Account at the close of business of a Valuation
Period, minus the sum of (1) Expenses, and (2) any amount charged against the
Separate Account in such Valuation Period for taxes or for amounts set aside
by Equitable as a reserve for taxes attributable to the maintenance or
operation of the Separate Account.
NET INVESTMENT FACTOR: For a Separate Account, the Net Investment Factor for
a Valuation Period is the Net Assets at the close of business of a Valuation
Period (but before giving effect to any amounts allocated or amounts
withdrawn during that Valuation Period), divided by the Net Assets at the
close of business of the preceding Valuation Period.
UNIT: The Unit is a unit used in determining the value of the interest of a
Participant's Investment Account in a Separate Account while an Account for
such Participant is being maintained under the Contract.
UNIT VALUE: The initial Unit Value for each Separate Account has been
established at $10.00. The Unit Value for each subsequent Valuation Period
with respect to that Separate Account is the Unit Value for the immediately
preceding Valuation Period multiplied by the Net Investment Factor for such
subsequent Valuation Period.
<PAGE>
THE SEPARATE ACCOUNTS -- (cont'd)
EXPENSES: For a Valuation Period, the Expenses which may be charged to a
Separate Account are as follows:
(1) Any amount charged against the Separate Account by Equitable during
such Valuation Period to cover certain expenses incurred in the
organization and operation of the Separate Account, including, but
not limited to, taxes, interest, brokerage fees and commissions, if
any, fees of the Separate Account Committee members who are not
affiliated with Equitable, Committee meeting costs, Securities and
Exchange Commission fees and certain related expenses including
printing of registration statements and amendments, charges relating
to custody of securities, certain insurance premiums, outside
auditing and legal expenses, and certain of the costs of maintaining
participant services.
(2) The daily charge against the Separate Account for each day in such
Valuation Period for administrative expense charges is calculated on
the basis of an effective annual rate of 0.25% of the value of the
assets in the Separate Account.
(3) The daily charge against the Separate Account for each day in such
Valuation Period for investment management services is calculated on
the basis of the effective annual rate stated on page 3 of the value
of the assets then in the Separate Account.
If the aggregate expenses of the Separate Account for a calendar year
(including the charges described in sub-paragraphs (1), (2) and (3) of this
definition but excluding interest, taxes, brokerage and, with the consent of
appropriate state regulatory authorities, extraordinary expenses) should
exceed a charge determined on the basis of an effective annual rate of (i)
1.0%, as to Separate Account No. 301, or (ii) 1.5%, as to Separate Account
No. 302, Separate Account No. 303, and Separate Account No. 304, of the
assets in such Separate Account during such calendar year, then Equitable
shall reimburse the Separate Account for the excess.
The value of the assets in the Separate Accounts, shall be taken at their
market value, or where there is no readily available market, their fair
value, as determined in accordance with accepted accounting practices, and
applicable laws and regulations.
<PAGE>
PART III -- PARTICIPANT'S ACCOUNT
SECTION 3.01 ACCOUNTS
Equitable will maintain at least one Account under the Contract for each
Participant; an additional Account will be maintained for the Participant
with respect to each rollover contribution made pursuant to Subsection 2 of
Section 3.04 if such contribution was derived from an employee benefit plan
described in Section 401(a) of the Internal Revenue Code or a tax sheltered
annuity described in Section 403(b) of the Internal Revenue Code. Each such
Account will contain one or more sub-accounts, hereinafter called "Investment
Accounts." The Investment Accounts made available to the Participant are as
stated on page 3. Any amounts allocated to an Investment Account will either
become part of the general assets of Equitable ("General Account") which
support the guarantees of the Contract and other contracts, or part of the
Separate Account applicable to that Investment Account, as stated on page 3.
Any amounts withdrawn from an Investment Account will no longer be part of
the General Account or the applicable Separate Account.
SECTION 3.02 ACCOUNT BALANCES OF INVESTMENT ACCOUNTS
On any day, the Account Balance of a Participant's Investment Account, other
than the Guaranteed Rate Account, will be equal to the product of the number
of Units in that Investment Account on that date and the Unit Value for the
applicable Separate Account for the Valuation Period which includes that
date. The number of Units in such an Investment Account on any date will be
equal to the sum of any Units credited to that Investment Account minus the
sum of any Units charged against that Investment Account. On any Valuation
Date when a designated amount is allocated to or withdrawn from such an
Investment Account, the Investment Account will be credited or charged, as
the case may be, with a number of Units determined by dividing the designated
amount by the applicable Unit Value for the Valuation Period which includes
that date.
On any day, the Account Balance of a Participant's Guaranteed Rate Account
will be equal to the sum of the Accrued Values, on such day, with respect to
all the Guarantees to which contributions of the Participant have been
assigned. On any day, a Participant's Cash Value with respect to a particular
Guarantee will be equal to the Accrued Value with respect to that Guarantee
minus any applicable Withdrawal Charge, as set forth in Section 1.06.
SECTION 3.03 CONTRIBUTIONS
The Participant may have contributions made on such dates and in such amounts
as the Participants may determine, subject to the following conditions:
1. Contributions may be made for the Participant through an
Administrative Agreement. Any contribution made for the Participant
by any means other than through payroll deduction by the
Participant's employer pursuant to an Administrative Agreement may be
made only subject to Equitable's rules then in effect, provided
<PAGE>
PARTICIPANT'S ACCOUNT -- (cont'd)
that each such contribution equals at least the minimum contribution
requirement stated on page 3. Such minimum contribution requirement
shall not be applicable if it would prevent the Participant from
contributing up to the maximum deductible contribution allowed the
Participant in the Participant's then current taxable year.
2. A contribution may be made under the Contract for a Participant
consisting of amounts derived from a rollover contribution from any
of the following in which the Participant had an interest: (i) an
individual retirement account or bond; (ii) an individual retirement
annuity contract other than this Contract; (iii) an employee benefit
plan qualified under Section 401(a) of the Internal Revenue Code; or
(iv) a tax sheltered annuity described in Section 403(b) of the
Internal Revenue Code.
3. Any contribution allocated to a Participant's Guaranteed Rate Account
which is not made by payroll deduction must be received by Equitable
during the [first fifteen calendar days] of the Contribution Quarter
for the Guarantee to which the allocation is assigned. That portion
of any contribution received after the [first such fifteen calendar
days] which is allocated to the Guaranteed Rate Account will be
deemed a contribution made without appropriate direction and
allocated in accordance with subsection 3 of Section 3.04.
4. Equitable reserves the right:
a. to refuse to accept a contribution for Participant's taxable year
if such contribution would bring the aggregate amount of
contributions for such taxable year to more than $2,000,
b. upon the advance written request of the Participant's employer, to
establish a minimum contribution requirement with respect to
contributions made by the Participant through payroll deduction by
the Participant's employer pursuant to an Administrative Agreement,
c. to change the minimum contribution requirement referred to in
subsection 1 of this Section, and
d. to change the contribution timing requirement in subsection 3 of
this Section.
5. Any contribution will be deemed by Equitable to be made for the
Participant's current taxable year unless the Participant specifies
in writing to Equitable, subject to applicable requirements of the
Internal Revenue Code and regulations thereunder, that such
contribution is for the Participant's prior taxable year.
<PAGE>
PARTICIPANT'S ACCOUNT -- (cont'd)
SECTION 3.04 ALLOCATIONS
The Participant will direct the allocation of each contribution made for the
Participation to the Participant's Investment Accounts, subject to the
following conditions:
1. The Participant's direction of the allocation of contributions to the
Participant's Investment Accounts shall be in terms of whole
percentages.
2. Allocations will be made as of the date on which Equitable receives
the contribution (a) as provided in the Administrative Agreement in
the case of payroll deductions or (b) at the address shown on page 3
in the case of contributions other than through payroll deductions.
3. Any contribution made without appropriate direction as to its
allocation will be allocated to the Money Market Account.
4. The Participant may upon written notice to Equitable, change the
allocation of future contributions. Except with respect to
allocations to the Guaranteed Rate Account which must be received
within the first 15 days of a Contribution Quarter, if a contribution
made other than through payroll deduction accompanies the written
notice, the change shall be effective as of the date of receipt of
the contribution. Allocation changes unaccompanied by a check shall
be effective as the date of the first contribution received after
Equitable's receipt of the Participant's written notice, or, in the
case of the Guaranteed Rate Account, at the beginning of the next
Contribution Quarter. Equitable reserves the right to limit, upon at
least 90 days advance notice to the Participant, the number of such
changes allowed in a calendar year, and, with respect to the
Guaranteed Rate Account, the timing and effective date of such
allocation changes.
5. If Equitable offers more than one Guarantee during a Contribution
Quarter, contributions allocated to the Participant's Guaranteed Rate
Account during that Contribution Quarter will be allocated among the
Guarantees receiving contributions during such Contribution Quarter
in accordance with the instructions of the Participant. If
contributions are received with instructions for allocation to
Guarantee Durations which differ from those being offered during that
Contribution Quarter, the part of the contribution which cannot be
allocated in accordance wit those instructions will be assigned to
the Guarantee with the next shorter Duration to which contributions
are being assigned during that Contribution Quarter, or, if
contributions are not being assigned to a Guarantee with a shorter
Duration than that requested, to the Guarantee of the shortest
Duration.
<PAGE>
PARTICIPANT'S ACCOUNT -- (cont'd)
SECTION 3.05 TRANSFERS
A Participant may transfer amounts among the Investment Accounts maintained
for the Participant under the Contract, subject to the following conditions:
1. The request for the transfer must be made in writing and will be
effective as of the later of the date specified in such request and
the date Equitable receives such request, except as set forth in
subsection 4 below. Telephone transfers may also be permitted if
authorized by the Participant in writing.
2. The amount so transferred will be allocated as of the date of
transfer to the Investment Account, or among the Investment Accounts,
selected by the Participant, except as set forth in subsection 4
below.
3. If only a part of the amount in an Investment Account is to be
transferred, such transfer will be made only if the amount to be
transferred is at least $250. Upon at least 90 days advance notice to
the Participant, Equitable may change the dollar amount appearing in
the immediately preceding sentence.
4. A transfer to the Guaranteed Rate Account from any of the other
Investment Accounts may be made only during the first fifteen
calendar days of a Contribution Quarter. Transfers may not be made
from one Guarantee in the Guaranteed Rate Account to another.
Transfers from a Guarantee in the Guaranteed Rate Account may not be
made during the Contribution Quarter with respect to that Guarantee,
except that amounts assigned to that Guarantee from a Guarantee
ending on the last day of the previous calendar quarter may be
transferred from the new Guarantee during the first 15 days of the
Contribution Quarter. Any other transfer may be made at any time.
5. Upon at least 90 days advance notice to the Participant, Equitable
may limit the number of transfers that a Participant may make in any
twelve month period or limit the circumstances under which transfers
may be made to or from the Guaranteed Rate Account.
6. Transfers from the Guaranteed Rate Account are subject to the
Withdrawal Charge described in Section 1.06.
SECTION 3.06 PARTIAL WITHDRAWALS
A Participant may elect by written notice to Equitable to make a partial
withdrawal from the Participant's Account on or before such Participant's
Retirement Date, subject to Equitable's advance written consent if such
withdrawal is for an amount of less than $250. If such election would result
in the sum of the amounts then in the Participant's Investment Accounts being
less than $10, Equitable will deem such election to be instead an election by
the Participant to terminate participation under the Contract and will make
the payment described in Section 3.09 in lieu of any payment under this
Section unless the Participant requests that the Certificate issued pursuant
to Section 5.09 be permitted to remain in effect and Equitable agrees.
<PAGE>
PARTICIPANT'S ACCOUNT -- (cont'd)
Upon partial withdrawal, Equitable will pay to the Participant the lesser of
(i) the sum of the Account Balances of the Participant's Investment Accounts
other than the Guaranteed Rate Account, minus a $5 processing charge, and the
Cash Value of the Guaranteed Rate Account, or (ii) the amount of partial
withdrawal requested minus a $5 processing charge. Unless Equitable is
otherwise directed by the Participant in accordance with Equitable's
requirements, the amount so paid will be withdrawn from the Participant's
Investment Accounts in proportion to the amount of the Participant's Account
Balance in each such Investment Account. The $5 processing charge will be
withdrawn from the Investment Accounts other than the Guaranteed Rate
Account. Unless otherwise directed by the Participant, withdrawals from the
Guaranteed Rate Account will be made from the Guarantee with the most recent
Contribution Quarter of each Duration (that is, one year, three year and so
forth) represented in the Participant's Guaranteed Rate Account in the same
proportion that the sum of the Accrued Values of the Participant's Guarantees
of each Duration bears to the Account Balance of the Participant's Guaranteed
Rate Account, or , if such Accrued Values prove insufficient, from the
Guarantee or Guarantees with the next most recent Contribution Quarter.
Notwithstanding anything to the contrary in this Section, withdrawals
pursuant to this Section may not be made from a Guarantee in the Guaranteed
Rate Account during its Contribution Quarter.
Upon any payment to a Participant pursuant to this Section, Equitable will be
released from any and all liability for payments with respect to the
contributions from which the amounts so widthdrawn arose.
Payments to the Participant pursuant to this Section may be deferred by
Equitable in accordance with the provisions of Section 5.06.
SECTION 3.07 EXPIRATION OF THE GUARANTEE
At the end of the Duration of a Guarantee, Equitable will assign the Accrued
Value with respect to that Guarantee (i) to the Guarantee of similar Duration
to which contributions are being assigned during the Contribution Quarter
next following, (ii) if no Guarantee of similar Duration is being offered, to
the Guarantee with the shortest Duration being offered, or (iii) as elected
by the Participant pursuant to instructions received on or before the end of
the Guarantee.
SECTION 3.08 PARTICIPANT SERVICE CHARGE
AMOUNT:
Once in each calendar quarter, Equitable will withdraw from the Participant's
Accounts a Participant Service Charge for each Participant for administrative
expenses.
The amount of such charge shall be determined by Equitable but will not be
more than a maximum charge of $7.50 for each Participant in each calendar
quarter. The amount determined by Equitable will be based on such factors as
<PAGE>
(i) the method by which contributions are being made under the Contract
(payroll deduction, direct contribution or other), (ii) the number of
Participants contributing through the same payroll deduction facility or
Group, (iii) the total contributions Equitable estimates will be made
pursuant to an Administrative Agreement, (iv) the nature of the Group, (v)
the extent to which, as determined by Equitable, the Group provides services
pursuant to the Administrative Agreement that Equitable would otherwise
provide, (vi) any other circumstances having an impact on Equitable's
administrative expense, and (vii) whether the Participant is then receiving
payments under the periodic distribution option described in Section 4.04.
Each such charge will be withdrawn from the Participant's Investment Accounts
in proportion to the amount the Account Balance in each Investment Account
bears to the sum of the Account Balances of the Participant's Investment
Accounts. Such withdrawals will reduce (i) the Participant's Accrued Values
with respect to the Guarantees with the most recent Contribution Quarter of
each Duration (that is, one year, three year and so forth) represented in the
Participant's Guaranteed Rate Account in the same proportion that the sum of
the Participant's Accrued Values with respect to the Guarantees of each
Duration bears to the Account Balance of the Participant's Guaranteed Rate
Account, or, if such Accrued Values prove insufficient, from the Guarantee or
Guarantees with the next most recent Contribution Quarter and so on until
sufficient amounts have been withdrawn, and (ii) the number of Units in the
Participant's other Investment Accounts.
The initial Participant Service Charge for a Participant shall be stated on
page 3.
Equitable reserves the right to withdraw the Participant Service Charge more
or less frequently than once each calendar quarter but the amount will never
exceed $30 per annum. The Participant Service Charge is deducted first from
contributions to the Guaranteed Rate Account, including transfers from the
other Investment Accounts, and then from interest accrued. If contributions
to the Guaranteed Rate Account are less than $30 in any year, the total
Participant Service Charge for that year not exceed the amount of interest in
excess of 3% which is credited to the Guaranteed Rate Account in the absence
of a service charge.
EMPLOYER PAYMENT:
Pursuant to the terms of the Administrative Agreement the Group may have a
contribution made of an amount equal to the Participant Service Charge then
due for the Participant. If such a contribution is made, no withdrawal from
the Participant's Account will then be made pursuant to this Section.
SECTION 3.09 TERMINATION OF PARTICIPATION
On or before a Participant's Retirement Date, such Participant may elect by
written notice to terminate participation under the Contract. As of the date
of receipt of such notice, Equitable will determine and, subject to Section
5.06, pay to the Participant the Account Balances of the Participant's
Investment Accounts other than the Guaranteed Rate Account minus a $5
processing charge and the Cash Value of the Participant's Guaranteed Rate
Account, less the then applicable Participant Service Charge.
Equitable may elect to terminate a Participant's participation under the
Contract if no contribution has been made by or on behalf of the Participant
for at least three years from the date of the last contribution to the
Participant's Account and if the sum of the Account Balances of the
Participant's Investment Accounts does not exceed $2,000 or would, if it were
then the Participant's Retirement Date, provide an Annuity Benefit of less
<PAGE>
PARTICIPANT'S ACCOUNT -- (cont'd)
than $20 per month. As of such date, Equitable will determine and, subject to
Section 5.06, pay to the Participant the sum of the Account Balances of the
Participant's Investment Accounts minus the then applicable Participant
Service Charge.
Upon payment to a Participant pursuant to this Section, Equitable will be
released from any and all liability for payments with respect to the
contributions from which the sum of the amounts then in the Participant's
Investment Accounts arose.
SECTION 3.10 DEATH OR DISABILITY BENEFIT
If a Participant dies or becomes disabled within the meaning of Section
408(f)(3) of the Internal Revenue Code while an Account for such Participant
is being maintained under the Contract, Equitable, upon receipt of due proof
of such death or disability, will pay the sum of the Account Balances of the
Participant's Investment Accounts as of the date such proof is received,
minus any Participant Service Charge then applicable, in a single sum to the
Participant or the beneficiary designated by the Participant to receive such
payment.
Payment to the beneficiary may be deferred by Equitable in accordance with
the provisions of Section 5.06.
Upon any payment made pursuant to this Section, Equitable will be released
from any and all liability for payment with respect to the contributions made
for the Participant.
SECTION 3.11 OPTIONAL MODES OF SETTLEMENT
Any Participant may elect that the whole or any part of any amount that would
otherwise be payable to the Participant's beneficiary in a single sum be paid
to such beneficiary under an optional mode of settlement, subject to the
Equitable's rules in effect at the time of election. The beneficiary may make
such an election after the Participant's death if no such election made by
the Participant is then in effect.
Any payee under an optional mode of settlement elected pursuant to this
Section may designate (with the right to revoke or to change such
designation) a beneficiary to receive any amount that, in the absence of such
designation, would be payable to such payee's executors or administrators.
Any election of an optional mode of settlement may be revoked or changed by
the Participant at any time before a payment is made thereunder. Any
election, designation, revocation, or change shall be effective as of the
date written notice is filed with the Equitable at its Home Office.
<PAGE>
PART IV -- ANNUITY BENEFITS
SECTION 4.01 ANNUITY BENEFIT
The term "Annuity Benefit" means a series of monthly payments with respect to
a specified person or persons payable in a specified dollar amount.
The term "Annuity Value" means the amount, determined on the Participant's
Retirement Date, equal to the sum of the Account Balances of the
Participant's Investment Accounts.
The term "Amount Applied" means the portion of the Annuity Value which
Participant elects to apply toward an Annuity Benefit pursuant to Section
4.02, less any applicable State Premium Tax as determined by Equitable.
Each monthly payment under any Annuity Benefit under the Contract will be the
amount provided pursuant to Section 4.03.
The Normal Form of Annuity Benefit under the Contract means the Full Cash
Refund Annuity form which provides for equal monthly payments to the
Participant beginning on the Participant's Retirement Date and ending with
the last monthly payment due before the Participant's death, and, upon
receipt by Equitable of due proof of the Participant's death, a single sum
payment to the beneficiary designated to receive such payment of an amount
equal to the excess, if any, of the Amount Applied over the sum of all the
annuity payments that have been paid to the Participant under the Contract.
SECTION 4.02 ELECTION AND COMMENCEMENT OF ANNUITY BENEFITS
As of a Participant's Retirement Date, provided such Participant is then
living, the Participant's Annuity Value shall be applied to provide an
Annuity Benefit on the Normal Form, unless such Participant elects as of such
Retirement Date to (i) terminate participation under the Contract and receive
the Cash Values of the Participant's Guaranteed Rate Account and the Account
Balances of the Participant's other Investment Accounts as a single sum
pursuant to Section 3.09, (ii) have payments made under the periodic
distribution option described in Section 4.04, (iii) have an Annuity Benefit
provided pursuant to Section 4.03 or, subject to Equitable's rules then in
effect, any other annuity form or combination of forms offered by Equitable,
or (iv) have any combination of the three proceeding options.
Notwithstanding anything to the contrary in the preceding paragraph,
Equitable reserves the right to pay the Participant's Annuity Value to the
Participant in a single sum if less than $2000 would be applied to provide an
Annuity Benefit or less than $20 per month would be payable under the Annuity
Benefit or periodic distribution option.
Equitable will provide appropriate notice and election forms to a Participant
not more than six months or less than three months before such Participant's
Retirement Date.
<PAGE>
ANNUITY BENEFITS -- (cont'd)
Equitable has the right to require the Participant to furnish pertinent facts
and determinations before providing an Annuity Benefit, and will be fully
protected in relying on such information and need not inquire as to the
accuracy or completeness thereof.
SECTION 4.03 AMOUNT OF ANNUITY BENEFITS
If a Participant elects an Annuity Benefit, the Amount Applied will be
applied as of the Participant's Retirement Date to provide the Annuity
Benefit.
The Amount Applied shall provide the Annuity Benefit on the basis of either
(i) the Table of Guaranteed Annuity Payments shown in Section 4.05, (ii)
Equitable's current group annuity rates for payment of proceeds for the same
class of annuitants, or (iii) Equitable's current group rates for a single
consideration immediate annuity for the same class of annuitants, whichever
rates would provide a larger benefit to the payee. If such current group
annuity rates are used, such Participant's certificates will be replaced by
an Equitable supplemental certificate.
The Tables of Guaranteed Annuity Payments set forth the minimum amount of
monthly income that $1,000 of Participant's Amount Applied will provide under
the Contract on the Full Cash Refund Annuity Form. The amounts of income
provided under the Annuity Benefit are based on 3% interest and the 1983
Mortality Table a and Projection Scale G. The amounts of income for ages and
annuity forms not shown in the tables will be calculated on the same basis.
Equitable may change, by an amendment to the Contract, the monthly income
amounts contained in the Tables of Guaranteed Annuity Payments and the basis
for determining such amounts, for new Participants, upon advance notice to
the Contract Holder.
SECTION 4.04 PERIODIC DISTRIBUTION OPTION
The Participant may elect pursuant to Section 4.02 to receive the Account
Balance of each of the Participant's Investment Accounts other than the
Guaranteed Rate Account under the periodic distribution option. Such option,
subject to the conditions set forth in the following paragraph, provides a
series of monthly installment payments over a number of whole years beginning
as of the Participant's Retirement Date, or as soon thereafter as is
practicable, such number of whole years being the lesser of (i) the number of
whole years designated by the Participant before the Participant's Retirement
Date and (ii) the number of years equal to the greater of the life expectancy
of the Participant and the joint and last survivor expectancy of the
Participant and the Participant's spouse as of the Participant's Retirement
Date, rounded to the next lower whole year.
CONDITIONS:
1. No payments may be made under the periodic distribution option from
the Guaranteed Rate Account, and no amounts may be retained in the
Guaranteed Rate Account while payments are being made under the
periodic distribution option.
<PAGE>
ANNUITY BENEFITS -- (cont'd)
2. The monthly amount of installment payments shall be computed by
Equitable monthly, beginning on the date as of which monthly
installment payments commence and, thereafter, as of the first day of
each succeeding month. The amount of each such monthly installment
payment shall be determined by dividing the sum of the Account
Balances of the Participant's Investment Accounts as of the first day
of each such month by the number of months then remaining under the
periodic distribution option, less a monthly transaction charge of
$1.50 which will be deducted from the payment.
3. Each monthly installment payment before deduction of the $1.50
transaction charge will be withdrawn from the Participant's
Investment Accounts in proportion to the amount of the Participant's
interest in each such Investment Account immediately before such
payment is made.
4. The Participant Service Charge will continue to be withdrawn from the
Participant's Account in accordance with Section 3.08; during the
last whole year of installment payments such charge shall be deducted
as necessary from the last monthly installment payments made.
5. While monthly installment payments are being made,
(a) the Participant may transfer amounts among the Investment
Accounts other than the Guaranteed Rate Account maintained for
the Participant pursuant to Section 3.01, but
(b) no Contributions may be made for or by the Participant.
6. The Participant may elect by advance written notice to have Equitable
cease making monthly installment payments and instead pay in a single
sum to the Participant the sum of the Account Balances of the
Participant's Investment Accounts minus a $5 processing charge. Upon
making such payment Equitable will be released from any and all
liability for payments with respect to the contributions made for the
Participant from which the payment arose.
7. No monthly installment payment shall be of an amount greater than the
sum of the Account Balances of the Participant's Investment Accounts
immediately before the due date of such payment.
<PAGE>
ANNUITY BENEFITS -- (cont'd)
8. If the Participant dies while monthly installment payments are being
made, a single sum death benefit will be paid to the Participant's
beneficiary pursuant to Section 3.10 unless the Participant had
elected any time prior to the Participant's death that payments under
the periodic payment option are to continue in the event of his or
her death, in which case the Participant's beneficiary shall receive
the remaining periodic payments for the period elected by the
Participant. Upon payment of such death benefit, Equitable will be
released from any and all liability for payments with respect to the
contributions made for the Participant from which the death benefit
payment arose.
SECTION 4.05 PAYMENT OF BENEFITS
Any form of benefit elected by the Participant in accordance with Section
4.02 shall have the effect of providing that if the Participant dies before
such Participant's interest has been distributed to such Participant, or if
distribution has been commenced to such Participant's spouse, and such spouse
dies before the entire interest has been distributed to such spouse, the
entire interest (or the remaining part of such interest if the distribution
thereof has commenced) will, within five years after the death of such
Participant (or the death of such Participant's surviving spouse), be
distributed. The preceding sentence shall not apply if distribution for
period certain limited in accordance with Section 4.04 had commenced prior to
the Participant's death.
If a benefit payable under the Contract was based on information about the
Participant's age, sex or identity that is subsequently found to be
incorrect, such benefit will not be invalidated, but an adjustment on the
basis of the correct information will be made in the amount of the benefit
payments, or any amount used to provide the benefit, or any combination
thereof. Overpayments by Equitable will be charged against and underpayments
will be added to any payments thereafter falling due under the Contract with
respect to the payee, with interest at the rate of 6% per year. The liability
of Equitable with respect to a payee is limited to the correct information
and the actual amounts used to provide the benefits then in force with
respect to the payee under the Contract. With respect to any other statements
required as a condition of issuing a certificate to a Participant pursuant to
Section 5.09, except statements relating to the disability benefit in Section
3.10, the certificate shall be incontestable after it has been in force
during the lifetime of the Participant for two years.
If Equitable receives evidence satisfactory to it that (i) a payee entitled
to receive any payment under the Contract is physically or mentally
incompetent to receive such payment or is a minor, (ii) another person or an
institution is then maintaining or has custody of such payee, and (iii) no
guardian, committee, or other representative of the estate of such payee has
been appointed, Equitable may make the payments (in the case of a minor, at a
rate not exceeding $50 a month) to such other person or institution, and will
thereupon be fully discharged from all liability with respect thereto.
<PAGE>
ANNUITY BENEFITS -- (cont'd)
If an annuity form made available by Equitable provides for payments for a
period certain, such as 120 or 180 months, and thereafter during the
remaining lifetime of one person, or of at least one of two persons, a payee
for payments thereunder may elect, without the concurrence of any other
person, to receive the commuted value of any remaining payments, provided no
person upon whose life the income depends is surviving.
Evidence of each payee's survival must be furnished to Equitable either by
personal endorsement of the check drawn for payment or by other means
satisfactory to Equitable.
Equitable will require satisfactory evidence of the age of any person upon
whose life an annuity form depends.
TABLE OF GUARANTEED ANNUITY PAYMENTS
(Based on Age Nearest Birthday on Due Date of First Payment)
Annuity Benefit Payable On The Full Cash Refund Annuity Form
(Minimum Monthly Income Per $1000 of Account Balance)
ANNUITY BENEFIT
<TABLE>
<CAPTION>
AGE MALES FEMALES
- ----- ------- ---------
<S> <C> <C>
60 $4.47 $4.12
61 4.55 4.19
62 4.65 4.27
63 4.74 4.36
64 4.85 4.45
65 4.95 4.54
66 5.07 4.64
67 5.18 4.74
68 5.31 4.85
69 5.44 4.97
70 5.58 5.09
</TABLE>
Amounts applicable for ages or for annuity forms not shown will be calculated
by Equitable on the same actuarial basis.
<PAGE>
PART V -- GENERAL PROVISIONS
SECTION 5.01 CONTRACT
The Contract constitutes the entire Contract between the parties and the
provisions of the Contract alone will govern with respect to the rights and
obligations of Equitable. The provisions of the Contract will be applied
separately with respect to each Participant. Nothing in the enrollment form
referred to in Section 1.02, the custodial agreement referred to in Section
5.08 nor any modification, amendment, or supplement to any such documents
will in any way be construed to enlarge, change, vary or in any other way
affect the obligations of Equitable as expressly provided in the Contract.
The Contract may not be modified as to Equitable, nor may any of Equitable's
rights or requirements be waived, except in writing and by an authorized
officer of Equitable. The Contract may be changed by amendment or replacement
upon agreement between the Contract Holder and Equitable without the consent
of any other person provided that such change does not reduce any Cash Value,
Account Balance, Annuity Value or Annuity Benefit provided before such change
and provided that no rights, privileges or benefits which have accrued to any
Participant under the Contract may be reduced or forfeited except by the
express consent of such Participant.
SECTION 5.02 STATUTORY COMPLIANCE
Equitable reserves the right to amend the Contract without the consent of any
other person in order to comply with applicable laws and regulations. Such
right shall include, but shall not be limited to, the right to conform the
Contract and any certificate to reflect changes in the Internal Revenue Code,
or in regulations or published rulings of the Internal Revenue Service, so
that each such certificate will continue to be an Annuity covered under
Section 72 of the Internal Revenue Code.
Any Annuity Benefit, Cash Value, Account Balance, or death or disability
benefit available under a certificate issued pursuant to the Contract shall
not be less than the minimum benefits required by any statute of the state in
which the certificate is delivered.
SECTION 5.03 ASSIGNMENTS AND NON-TRANSFERABILITY
The entire interest of any Participant under the Contract is non-forfeitable.
No interest of a Participant under the Contract may be sold, assigned,
discounted, or pledged as collateral for a loan or as security for the
performance of an obligation or for any other purpose to any person other
than Equitable.
No amount payable under the Contract may be assigned or encumbered by the
payee and, to the extent permitted by law, no such amount will in any way be
subject to any claim against such payee.
<PAGE>
GENERAL PROVISIONS -- (cont'd)
SECTION 5.04 BENEFICIARY
Each Participant, as of such Participant's Enrollment Date is to provide
Equitable with an initial designation of a beneficiary or beneficiaries
entitled to receive any payment with respect to such Participant becoming due
to such Participant under the Contract. The Participant may change such
designation from time to time. Any such designation or change will be made by
written notice on a form satisfactory to Equitable. A change will, upon
receipt at a designated Equitable Office, take effect as of the time the
written notice was signed, whether or not the Participant is living on the
date of receipt, but without further liability as to any payment or other
settlement made by Equitable before receipt of such change.
Unless otherwise specified in the designation, if a Participant has
designated two or more persons as beneficiary, the beneficiary will be the
designated person or persons who survive the Participant, and if more than
one survive they will share equally.
If upon the death of a person these is no designated beneficiary then living
entitled to receive any single sum payment or any remaining periodic payments
then becoming due to a beneficiary with respect to a Participant, Equitable
shall pay such single sum payment or the commuted value of such periodic
payments to the first surviving class of the following classes of successive
preference beneficiaries: (a) the Participant's widow or widower, (b) the
Participant's surviving children, (c) the executors or administrators of the
person upon whose death the payment becomes due.
Any commuted value shall be determined on the basis of compound interest at
the rate determined by Equitable as consistent with the actuarial basis used
in providing the annuity benefit.
If the Participant so elects in writing, any amount that would otherwise be
payable to the beneficiary in a single sum may be applied to provide an
Annuity Benefit, on the form of annuity elected by the Participant with
respect to the beneficiary, subject to Equitable's rules then in effect. If
at the death of a Participant there is no election in effect to apply the
Death Benefit to provide an Annuity Benefit, the beneficiary may make such an
election.
SECTION 5.05 FUTURE PARTICIPANTS
Equitable reserves the right at its sole discretion to curtail or prohibit
further enrollment as Participants under the Contract of any individuals who
are not currently participating under the Contract as of such date of
curtailment or prohibition.
<PAGE>
GENERAL PROVISIONS -- (cont'd)
SECTION 5.06 DEFERMENT
Except as provided in this Section, payments by Equitable from the
Participant's Account pursuant to the provisions of Sections 3.06, 3.09, and
Section 3.10 will be made within seven days after receipt of a written
request for such surrender or withdrawal, or receipt of due proof of death or
disability of the Participant.
During any period when (i) the sale of securities or the determination of the
Unit Value is not reasonably practicable because an emergency, defined by the
Securities and Exchange Commission, exists, or the New York Stock Exchange is
closed or trading on such Exchange is restricted, or (ii) the Securities and
Exchange Commission may by order permit postponement for the protection of
persons having interests in the Separate Account, Equitable reserves the
right:
(a) to defer payment of the Account Balance of a Participant's
Investment Account other than the Guaranteed Rate Account;
(b) to defer payment of any portion of a death or disability benefit
arising from an amount in a Participant's Investment Account
other than the Guaranteed Rate Account, or
(c) in the event of (a) above, to defer application of such amounts
to provide any Annuity Benefit permitted under the Contract.
Payments by Equitable from the Guaranteed Rate Account pursuant to Section
3.06, Section 3.09 or Section 3.10 or any commuted payments arising from an
annuity pursuant to Section 4.05 may be deferred for up to six months after
receipt of a written request for such withdrawal or termination, receipt of
due proof of disability or death of the Participant, or receipt of due
documentation for such commutation. Interest at the applicable Guarantee Rate
for the amount withdrawn will be allowed on any payment deferred for 30 days
or more.
SECTION 5.07 ANNUAL NOTICE
As soon as practicable after the end of each calendar year Equitable,
provided an Account is being maintained for the Participant at the end of
such calendar year, will furnish the Participant with a notice showing as of
a specified recent date (1) the total number of Units credited to each
Investment Account other than the Guaranteed Rate Account, (2) the Unit
Valu3e of such Investment Accounts, (3) the Accounts Balance of each
Investment Account, (4) the sum of the Account Balances of each Investment
Account, and (5) the Cash Values of the Guaranteed Rate Account.
<PAGE>
GENERAL PROVISIONS -- (cont'd)
SECTION 5.08 CONTRACT HOLDER RESPONSIBILITY
The sole responsibility of the Contract Holder is to serve as party to the
Contract. The Contract Holder will have no responsibility for the
administration of any plan, for payments to the Accounts, for any payments,
distributions or duties hereunder. Equitable will deal with the Contract
Holder in accordance with the terms and conditions of the custodial agreement
pursuant to which the Contract Holder agreed to act as such and with the
Contract and in such manner as the Contract Holder and Equitable may agree,
without the consent of any other person.
SECTION 5.09 CERTIFICATE
Equitable will issue to each Participant an individual certificate setting
forth a statement in substance of the benefits to which such Participant is
entitled under the Contract. Nothing in the Contract will invalidate or
impair any rights granted to a Participant in such certificates or under the
New York Insurance Law.
SECTION 5.10 DISQUALIFICATION
In the event that an annuity purchased hereunder with respect to a
Participant fails to qualify as an Annuity as described in Section 1.01,
Equitable shall have the right, upon receiving notice of such fact before the
Retirement Date, to terminate participation with respect to such Participant
under the contract and pay to that Participant the sum of the Cash Values of
the Participant's Guaranteed Rate Account and the Account Balances of the
Participant's other Investment Accounts less a deduction for any applicable
Participant Service Charge and for the appropriate part attributable to such
Participant of any Federal income tax payable by Equitable which would not
have been payable if such Participant had any annuity under the Contract.
SECTION 5.11 PARTICIPATION IN SURPLUS
The Contract and all other contracts in the same class of contracts shall be
combined for the purpose of ascertaining the annual surplus of Equitable to
be apportioned among such contracts as a dividend. Equitable shall determine
the portion of such dividend to be allocated to the Contract; however, the
amount thereof is expected to be minimal. Any amount allocated to the
Contract shall be payable as of January 1 of the calendar year in which a
dividend is apportioned. Dividends will be payable to the Participant's
Account and allocated in accordance with the Account Balances in the
Guaranteed Rate Accounts maintained for Participants under this Contract.
Dividends will be assigned to the Guarantee of the shortest Duration to which
contributions are being assigned during the Contribution Quarter when the
dividend is paid.
<PAGE>
RIDER TO 300 SERIES IRA CERTIFICATE
Effective as of the dates specified below, or your Participation Date,
whichever is later, we have amended the Certificate issued under Group
Annuity Contract AC 5361 as follows:
1. The Equitable office address on page 3 is amended as of November 1,
1985 to read as follows:
"The Equitable Life Assurance Society
P.O. Box 2509
General Post Office
New York, New York 10116."
2. In Section 1.05 entitled "Retirement Date" the following amendments
are made:
A. As of November 1, 1985 the last sentence of the first paragraph
is amended to read as follows:
"Any election for such change must be made in writing by the Participant
and shall not take effect until received by
<PAGE>
Equitable at: The Equitable Life Assurance Society, P.O. Box 2509,
General Post Office, New York, New York 10116, or any other address that
Equitable designates in written notice to the Participant."
B. As of January 1, 1985 the second paragraph is amended to read as
follows:
"Any Retirement Date must be on the first day of a calendar month and no
Retirement Date shall be earlier than the date of attainment of age 59
years and six months nor later than the first day of April following
the calendar year in which the Participant attains age 70 years and six
months."
3. In Section 1.06 entitled "Definitions Relating to Guaranteed Rate
Account" the following amendments are made:
A. The definition of "Guarantee Rate" in the fourth paragraph
thereof is amended as of February 1, 1986 by deleting the
<PAGE>
phrase "15 days" and placing in lieu thereof the phrase "10 days".
B. The following last sentence is added to the definition of
"Guarantee Withdrawal Charge" in the sixth paragraph thereof, as
of January 1, 1986, to read as follows:
"The Withdrawal Charge will be deducted from the remaining amounts in
the Participant's Guarantee after the withdrawal payment is processed;
except the Withdrawal Charge may be deducted from the withdrawal
payment if there is an insufficient amount in the Participant's
Guarantee to pay such charge."
4. In Section 3.03 entitled "Contributions" the following amendments are
made:
A. Condition number 3 is amended as of February 1, 1986 by deleting
the phrase "fifteen calendar days" both places it appears and by
placing in lieu thereof the phrase "twenty calendar days."
<PAGE>
B. A new condition number 6 is added as of January 1, 1985 to read
as follows:
"6. No contributions, other than cash contributions, will be accepted."
5. In Section 3.04 entitled "Allocations" condition number 4 is amended
as of February 1, 1986 by deleting the phase "fifteen calendar days"
in the second sentence thereof and by placing in lieu thereof the
phrase "twenty calendar days."
6. In Section 3.05 entitled "Transfers" condition number 4 is amended as
of February 1, 1986 by deleting the phrase "fifteen calendar days" in
both places it appears and by placing in lieu thereof the phrase
"twenty calendar days."
7. In Section 3.06 entitled "Partial Withdrawals" the second paragraph
is amended as of January 1, 1986 by deleting the first sentence
therein and replacing it with the following two sentences:
"Upon partial withdrawal, Equitable will pay the Participant the lesser
of (i) the amount of partial withdrawal requested or (ii) the sum of the
Account
<PAGE>
Balance of his Investment Accounts other than the Guaranteed Rate
Account. A processing charge of $5 will be deducted from the remaining
Account Balances of the Participant's Investment Accounts after the
partial withdrawal payment is processed; however, the processing charge
may instead be deducted from the partial payment."
8. In Section 3.10 entitled "Death or Disability Benefit" the following
amendments are made:
A. As of November 1, 1985 a new last sentence is added to the first
paragraph to read as follows:
"Due proof of such death or disability must be received by Equitable at:
The Equitable Life Assurance Society, P.O. Box 2509, General Post
Office, New York, New York 10116, or any other address Equitable
designates in written notice ot the Participant."
<PAGE>
B. The second paragraph is amended as of January 1, 1986 to read as
follows:
"Payment to the Participant or the beneficiary may be deferred by
Equitable in accordance with the provisions of Section 5.06."
9. In Section 3.11 entitled "Optional Modes of Settlement" the first
paragraph is amended as of January 1, 1985 to read as follows:
"Any Participant may elect that the whole or any part of any amount that
would otherwise be payable to the Participant's designated beneficiary
in a single sum be paid to such beneficiary under an optional mode of
settlement, subject to the provisions of Section 4.05 and to Equitable's
rules in effect at the time of election. A beneficiary may make such an
election after the Participant's death if no such election made by the
Participant is then in effect."
<PAGE>
10. In Section 4.02 entitled "Election and Commencement of Annuity
Benefits" new paragraphs five, six and seven are added as of January
1, 1985 to read as follows:
"Notwithstanding anything in the Certificate and the Contract to the
contrary, the entire value of the Participant's Accounts (less
applicable charges as determined by Equitable pursuant to the terms of
the Contract and the Certificate) will be distributed or commence to be
distributed no later than the Participant's Retirement Date in equal or
substantially equal amounts over (a) the life of such Participant, or
the lives of such Participant and his designated beneficiary, or (b) a
period not extending beyond the life expectancy of such Participant, or
the joint and last survivor expectancy of such Participant and his
designated beneficiary.
"If the Participant's Accounts (less applicable charges as determined by
Equitable pursuant to the terms of the
<PAGE>
Contract and Certificate) are to be distributed in other than a lump
sum, then the amount to be distributed each year (commencing with the
Participant's Retirement Date and each anniversary thereafter) must be
at least an amount equal to the quotient obtained by dividing the Amount
Applied by the life expectancy or joint and last survivor expectancy of
the Participant and his designated beneficiary.
"Life expectancy and joint and last survivor expectancy shall be
computed by use of the return multiples contained in Section 1.72-9 of
the Income Tax Regulations. If permitted by Equitable pursuant to its
rules in effect at the time, the life expectancy of the Participant or
the joint and last survivor expectancy of the Participant and his spouse
may be recalculated once each year. The life expectancy of a beneficiary
other than the Participant's spouse may not be recalculated after
distribution has commenced."
<PAGE>
11. In Section 4.04 entitled "Period Distribution Option" the following
amendments are made:
A. The first paragraph is amended as of January 1, 1985 to read as
follows:
"The Participant may elect pursuant to Section 4.02 to receive the
Account Balance of each of the Participant's Investment Accounts other
than the Guaranteed Rate Account under the periodic distribution option.
Such option, subject to the conditions set forth in the following
paragraph, provides a series of monthly installment payments over a
number of whole years beginning as of the Participant's Retirement Date,
such number of whole years being the lesser of (i) the number of whole
years designated by the Participant before the Participant's Retirement
Date and (ii) the number of years equal to the greater of the life
expectancy of the Participant and the joint and last survivor expectancy
of
<PAGE>
the Participant and the Participant's designated beneficiary as of the
Participant's Retirement Date, rounded to the next lower whole year.
Life expectancy and joint and last survivor expectancy are computed by
use of the return multiples contained in Section 1.72-9 of the Income
Tax Regulations. If permitted by Equitable pursuant to its rules in
effect at the time, the life expectancy of the Participant or the joint
and last survivor expectancy of the Participant and his spouse may be
recalculated once each year. The life expectancy of a beneficiary other
than the Participant's spouse may not be recalculated after distribution
has commenced."
B. The last sentence of Condition number 2 is amended as of January
1, 1986 by deleting it and replacing it with the following two
sentences:
"2. The amount of each such monthly installment payment shall be
<PAGE>
determined by dividing the sum of the Account Balances of the
Participant's Investment Accounts as of the first day of each such month
by the number of months then remaining under the periodic distribution
option. A monthly transaction charge of $1.50 will be deducted
proportionately from the remaining Account Balances of the Participant's
Investment Accounts after each such monthly installment payment is
determined, provided, however, that the transaction charge of $1.50 may
be deducted from the last payment made."
C. Condition number 3 is amended as of January 1, 1986 to read as
follows:
"3. Each monthly installment payment will be withdrawn from the
Participant's Investment Accounts in proportion to the amount of the
Participant's interest in each such
<PAGE>
Investment Account immediately before such payment is made."
12. In Section 4.05 entitled "Payment of Benefits" the first paragraph is
deleted and the following paragraphs are inserted in its place as of
January 1, 1985 to read as follows:
"With regard to any form of benefit elected in accordance with Section
4.02, if the Participant dies before the entire interest is distributed,
the following distribution provisions shall apply:
"(a) if the Participant dies after distribution of his interest in the
Accounts has commenced, the remaining portion of such interest will
continue to be distributed at least as rapidly as under the method
of distribution being used prior to the Participant's death. If a
distribution for a period certain in accordance with Section
<PAGE>
4.04 had commenced prior to the Participant's death, then the
distribution shall be made to the Participant's beneficiary,
limited in accordance with the option selected.
"(b) If the Participant dies before distribution of his interest in the
Accounts commences, the Participant's entire interest will be
distributed in accordance with one of the following four
provisions:
"(1) The Participant's entire interest will be paid within five (5)
years after the date of the Participant's death.
"(2) If the Participant's interest is payable to a beneficiary
designated by the Participant and the Participant has not elected
(1) above, then the
<PAGE>
entire interest will be distributed in substantially equal
installments over the life or life expectancy of the designated
beneficiary commencing no later than one (1) year after the date of
the Participant's death. The designated beneficiary may elect at
any time to receive greater payments.
"(3) If the designated beneficiary of the Participant is the
Participant's surviving spouse, the spouse may elect within the
five year period commencing with the Participant's date of death to
receive equal or substantially equal payments over the life or life
expectancy of the surviving spouse commencing at any date prior to
the date on which the deceased Participant
<PAGE>
would have attained the age of 70 1/2. The surviving spouse may
accelerate these payments at any time, i.e., increase the frequency
or amount of such payments.
"(4) If the designated beneficiary is the Participant's surviving
spouse, the spouse may treat the Participant's Accounts as his or
her own individual retirement arrangement (IRA). This election will
be deemed to have been made if such surviving spouse makes a
regular IRA contribution to the Accounts, makes a rollover to or
from such Accounts, or fails to elect any of the above three
provisions.
"(c) for purposes of the above, payments will be calculated by use of
the return multiples specified in
<PAGE>
Section 1.72-9 of the Income Tax Regulations. Life expectancy of a
surviving spouse may be recalculated annually if Equitable allows
such recalculation pursuant to its rules in effect at the time. In
the case of any other designated beneficiary, life expectancy will
be calculated at the time payment first commences and payments for
any 12-consecutive month period will be based on such life
expectancy minus the number of whole years passed since
distribution first commenced.
"(d) For purposes of this requirement, any amount paid to a child of the
Participant will be treated as if it had been paid to the surviving
spouse if the remainder of the interest becomes payable to the
surviving spouse when the child reaches the age of majority."
<PAGE>
13. In Section 5.04 entitled "Beneficiary" the fifth paragraph is amended
as of January 1, 1985 to read as follows:
"If the Participant so elects in writing, any amount that would
otherwise be payable to the beneficiary in a single sum may be applied
to provide an Annuity Benefit, on the form of annuity elected by the
Participant with respect to the beneficiary subject to the provisions of
Section 4.05 and to Equitable's rules then in effect. If at the death of
a Participant there is no election in effect to apply the Death Benefit
to provide an Annuity Benefit, the beneficiary may make such an election
subject to the provisions of Section 4.05 and Equitable's rules then in
effect."
<PAGE>
[STATE OF NEW YORK INSURANCE DEPARTMENT LETTERHEAD]
June 30, 1987
Refer to:
John S. Fitzgerald
File No. 87061189-90
Ms. Charlotte T. Meineke
Assistant Vice President
Equitable Life Assurance Society
of the United States
787 Seventh Avenue
New York, NY 10019
RE: Group Annuity Contract Rider Form
PF 96,000
Group Annuity Certificate Rider Form
PF 96,100
Dear Ms. Meineke:
Thank you for your letter of June 24, 1987 in response to our letter of May 20,
1987.
Please note that in accordance with the third item of your letter, we have
entered PF 96,000 and PF 96,100 into our records and have assigned them control
no. 87061189-90, and we have closed the file on PF 95,000 and PF 95,100 as
discussed in our letter of May 20, 1987.
We appreciate the explanation regarding the change to the contract and
certificate which makes the participant responsible for maintaining records as
to the amount of contributions which are deductible and non-deductible. We
agree that the determination as to whether a contribution is deductible or
non-deductible can only be made when the participant completes his or her
federal tax return for the year. Consequently, it appears that the procedure
you described in your letter is acceptable regarding the identification of the
contributions as being deductible or non-deductible. Under the sliding scale of
eligibility for IRA contributions under the Tax Reform Act of 1986, it appears
that the eligibility for deductible contributions can be determined only at the
end of the tax year and that prudence requires that the decision regarding
deductibility of contributions be reserved to the participant. It does seem
necessary, however, for the Equitable to notify the participant of his or her
responsibility of maintaining records regarding the deductibility or
non-deductibility of contributions for each tax year, and in this regard we
accept your Company's commitment to this effort.
<PAGE>
We thank you for the copy of the February 10, 1987 letter from Mr. Leonard
McVity to Mr. C. Bowman Strome, Jr. advising that the Plan of Operations was
approved restructuring the 300 Series Separate Accounts into a Single Separate
Account No. 301, which will be organized as a unit investment trust. We are
placing a copy of this letter in our file.
In regard to our comment regarding the incorporation by reference of the
prospectus, we note the deletion of the incorporation by reference language in
the rider to the certificate. Your letter indicated that each participant will
receive a copy of the prospectus of the trust at the time he or she receives
prospectus for the product.
Your letter also advised that a typographical error on page 4 of the rider to
the certificate was corrected.
It appears that all of our questions and comments have been satisfactorily
answered or changes made in the riders as requested, and consequently, we are
now in a position to grant our approval to these contract and certificate
riders.
The above captioned forms are approved as of this date.
Duplicates, bearing our stamp of approval, are enclosed herewith.
Very truly yours,
/s/ Fredric L. Bodner, JD
Fredric L. Bodner, JD
Chief - Health & Life Policy Bureau
JSF/tks
encs.
<PAGE>
RIDER TO 300 SERIES GROUP IRA CONTRACT
Effective as of the later of the date specified below or the Participant's
Enrollment Date, we have amended Group Annuity Contract AC 5361 as follows:
1. Effective as of May 1, 1987, the last paragraph on Page 1 is hereby
amended to read as follows:
"ASSETS HELD IN CONNECTION WITH THE CONTRACT MAY BE HELD IN ONE OR
MORE INVESTMENT DIVISIONS OF THE SEPARATE ACCOUNT MAINTAINED BY
EQUITABLE AND MAY INCREASE OR DECREASE IN VALUE AS DESCRIBED IN THE
CONTRACT."
2. Effective as of May 1, 1987, the Equitable office address on page 3 is
hereby amended to read as follows:
"The Equitable Life Assurance Society
P.O. Box 182093
Columbus, Ohio 43218"
PF 96,000
<PAGE>
-2-
3. In Section 1.05 entitled "Retirement Date" the following amendments are
made:
A. Effective as of May 1, 1987, the last sentence of the first
paragraph is hereby amended to read as follows:
"Any election for such change must be made in writing by the
Participant and shall not take effect until received by
Equitable at: The Equitable Life Assurance Society, P.O. Box
182093, Columbus, Ohio 43218, or any other address that
Equitable designates in written notice to the Participant."
B. Effective as of January 1, 1985, the second paragraph is hereby
amended to read as follows:
"Any Retirement Date must be on the first day of a calendar
month and no Retirement Date shall be earlier than the date of
the Participant's attainment of age 59 years and 6 months and
not later than the first day of April following the calendar
year in which the Participant attains the age of 70 years and 6
months."
<PAGE>
-3-
4. In Section 1.06 entitled "Definitions Relating to the Guaranteed Rate
Account" the following amendments are made:
A. Effective as of February 1, 1986, the definition of "Guarantee
Rate" in the fourth paragraph thereof is hereby amended by
deleting the phrase "15 days" and by substituting the phrase "10
days".
B. Effective as of January 1, 1986, the following last sentence is
added in the second paragraph of the definition of "Guarantee
Withdrawal Charge" as follows:
"The Withdrawal Charge will be deducted from the remaining
amounts in the Participant's Guarantee after the withdrawal
payment is processed, except the Withdrawal Charge may be
deducted from the withdrawal payment if there is an insufficient
amount in the Participant's Guarantee to pay such charge."
5. Effective as of May 1, 1987, Part I entitled "Definitions" is hereby
amended by adding the following Section 1.08 at the end thereof:
"SECTION 1.08. REORGANIZATION DATE
The term "Reorganization Date" means May 1, 1987."
<PAGE>
-4-
6. Effective as of May 1, 1987, Part II entitled "The Separate Accounts" is
hereby amended to read as follows:
"PART II - THE SEPARATE ACCOUNT AND ITS INVESTMENT DIVISIONS
SECTION 2.01 THE SEPARATE ACCOUNT AND ITS INVESTMENT DIVISIONS
The term "Separate Account" means the Separate Account No. 301
established by Equitable and maintained under the laws of the State
of New York. Realized and unrealized gains and losses from the assets
of the Separate Account are credited or charged against it without
regard to other income, gains or losses of Equitable. Assets are put
in the Separate Account to support the Contract and other variable
annuity contracts and certificates. Assets may be put in the
Separate Account for other purposes, but not to support contracts,
policies or other agreements which are not variable in form.
On the Reorganization Date, Equitable exercised its rights under the
Contract to operate Separate Account Nos. 301, 302, 303 and 304
(collectively, the "Predecessor Separate Accounts") as a unit
investment trust under the Investment Company Act of 1940. As a
<PAGE>
-5-
result, the Predecessor Separate Accounts have been combined with and
into the Separate Account.
The Separate Account now operates in unit investment form and
consists of investment divisions ("Investment Divisions"). Each of
the Investment Divisions may invest its assets in a separate class of
shares of a designated investment company in which each class
represents a separate portfolio in the investment company. The
Investment Divisions available on the Reorganization Date were the
Money Market Division, the Stock Division, the Bond Division, the
Balanced Division, the Aggressive Stock Division, the High Yield
Division and the Global Division.
On the Reorganization Date, the investment assets and liabilities of
the Predecessor Separate Accounts were transferred to the Separate
Account which transferred its investment assets and liabilities to
the corresponding funds (the "Funds") of the Harmony Investment Trust
(the "Trust"). The transfer to the Funds did not change the
Participant's existing Account Balances on the date of transfer. As
of the Reorganization Date, the Money Market Division holds shares of
the Money Market Fund, the Stock Division holds shares of the Common
Stock Fund, the Bond Division holds shares of the Bond Fund and the
Balanced
<PAGE>
-6-
Division holds shares of the Balanced Fund. Subsequent
to the Reorganization Date, the Aggressive Division
will hold shares of the Aggressive Fund, the High Yield
Division will hold shares of the High Yield Fund and
the Global Division will hold shares of the Global
Fund. The assets of the Separate Account are the
property of Equitable. The portion of assets in the
Separate Account equal to the reserves and other
contract liabilities with respect to the Separate
Account will not be chargeable with liabilities arising
out of any other business conducted by Equitable.
Equitable reserves the right to transfer assets of an
Investment Division in excess of the reserves and other
liabilities with respect to that Investment Division to
another Investment Division or to the general assets of
Equitable ("General Account"), which supports the
guarantees of the Contract and other contracts.
Equitable may, at its discretion, make other Investment
Divisions available to Participants. Equitable will
provide Participants with written notice of all
material details covering investment objectives and all
charges, which may include expenses and fees, if any,
incurred by the investment company.
Equitable reserves the right, subject to compliance
with applicable law, including approval of the Contract
<PAGE>
-7-
Holder or Participants, if required, (1) to cause the registration or
deregistration of the Separate Account under the Investment Company Act of
1940, (2) to operate the Separate Account under the direction of a committee
and to discharge such committee at any time, (3) to restrict or eliminate any
voting rights of Participants or other persons who have voting rights as to the
Separate Account, (4) to add, change or remove the designated investment
company, (5) to add, change or remove Investment Divisions, (6) to combine any
two or more Investment Divisions, (7) to transfer assets from any one of the
Investment Divisions to another Investment Division, and (8) to operate the
Separate Account or one or more of the Investment Divisions by making direct
investments or in any other form Equitable in its sole discretion determines.
The term "Investment Division" refers to any other Investment Division in which
the assets of a class of certificates to which the Contract belongs are placed.
Equitable may, however, at its discretion, invest the assets of the Separate
Account or one or more of the Investment Divisions in any investment permitted
by applicable law. Equitable may rely conclusively on the opinion of counsel
(including attorneys in its employ) as to what investments it is permitted by
law to make. In addition, unless otherwise required by law or
<PAGE>
-8-
regulation, an investment adviser or any investment policy may not be changed
without the consent of Equitable.
If any of the above changes result in a material change in the underlying
investments of an Investment Division of the Separate Account, Equitable will
notify the Participant of such change. If the Participant has value in that
Investment Division, the Participant may request Equitable in writing to
transfer that value from that Investment Division (without charge) to another
Investment Division of the Separate Account, and may additionally change the
allocation percentages applicable to future Contributions made for him or her.
Equitable will value the assets of each Investment Division on each Business
Day, in accordance with the provisions of Section 2.02.
Assets of the Investment Divisions are subject to charges, to be made as
described in the Net Assets provision of Section 2.02.
SECTION 2.02 DEFINITIONS RELATING TO THE INVESTMENT DIVISIONS.
<PAGE>
-9-
VALUATION PERIOD. For an Investment Division, the "Valuation Period" starts at
the end of each Business Day and ends at the corresponding time on the next
Business Day, and includes any non-business day or consecutive non-business
days immediately preceding such Business Day. A "Business Day" is each weekday,
excluding business holidays or other days on which changes in the value of
securities held by the Separate Account (or any Investment Division) will not
materially affect a Participant's value in the Separate Account (or such
Investment Division).
NET ASSETS: For an Investment Division, the "Net Assets" equal the value of the
assets in the Investment Division at the close of business of a Valuation
Period, minus the sum of (1) Expenses, and (2) any amount charged against the
Investment Division in such Valuation Period for taxes or for amounts set aside
by Equitable as a reserve for taxes attributable to the maintenance or
operation of the Investment Division. The net asset value of a designated
investment company's shares held in each Investment Division shall be the value
reported to Equitable by such investment company.
NET INVESTMENT FACTOR. For an Investment Division, the "Net Investment Factor"
for a Valuation Period is
<PAGE>
- 10 -
(1) The Net Assets at the close of business of that Valuation Period, prior to
giving effect to any amounts allocated to or withdrawn from the Investment
Division during that Valuation Period, divided by (2) the Investment Division's
Net Assets at the close of business of the preceding Valuation Period.
UNIT. The "Unit" is a unit used in determining the value of a Participant's
interest in an Investment Division for the period during which the Participant
has contributions allocated to such Investment Division.
UNIT VALUE. The "Unit Value" for each Investment Division on the first day
contributions are allocated to the Separate Account will be equal to the Unit
Value of the corresponding Predecessor Separate Account for the preceding
Valuation Period multiplied by the Net Investment Factor applicable to such
Investment Division. The Unit Value for each Investment Division for which
there is no Predecessor Separate Account will be equal to $10.00 on the first
day contributions are allocated to such Investment Division. The Unit Value for
each subsequent Valuation Period with respect to an Investment Division is the
Unit Value for the immediately preceding Valuation Period multiplied by the Net
Investment Factor for such subsequent Valuation Period.
<PAGE>
- 11 -
EXPENSES: For a Valuation Period, the Expenses which may be charged to an
Investment Division are as follows:
(1) Any amount charged against the Investment Division by Equitable
during such Valuation Period to cover certain expenses incurred in
the operation of the Separate Account and the Investment Divisions,
including, but not limited to, taxes, interest, Securities and
Exchange Commission charges and certain related expenses including
printing of registration statements and amendments, outside auditing
and legal expenses and certain costs of maintaining participant
services, including recordkeeping services.
(2) The daily charge against the Investment Division for each day in such
Valuation Period for administrative expense charges, calculated on
the basis of an effective annual rate of 0.25% of the value of the
assets in the Investment Division.
If the aggregate expenses of an Investment Division for a calendar year
(including the charges described in sub-paragraphs (1) and (2) of this
definition and investment advisory fees of the Trust ("Investment Advisory
Fee") and certain other expenses attributable to
<PAGE>
- 12 -
the assets of the Investment Division invested in a corresponding Fund of the
Trust, but excluding interest, taxes, brokerage and, with the consent of
appropriate state regulatory authorities, extraordinary expenses) exceed a
charge determined on the basis of an effective annual rate of (i) 1.0% of the
value of the Money Market Division's average daily Net Assets in such
Investment Division during such calendar year, or (ii) 1.5% of the value of the
Stock Division, the Bond Division or the Balanced Division's average daily Net
Assets in such Investment Division during such calendar year, then Equitable
shall reimburse such Investment Division for the excess charged to such
Investment Division.
Notwithstanding anything to the contrary, if a Participant's Enrollment Date is
prior to the Reorganization Date, the Investment Advisory Fee chargeable to
such Participant's proportionate Account Balances invested in the corresponding
Fund on each day in such Valuation Period, shall not exceed a charge,
determined on the basis of an effective annual rate of (i) as to the Money
Market Fund and the Bond Fund, 0.35% of the first $250 million, 0.325% of the
next $250 million and 0.30% of the amount in excess of $500 million of the
value of the assets of the Separate Account then invested in such Fund, and
(ii) as to the Common Stock Fund and the Balanced Fund, 0.50% of the first $250
million, 0.45% of the next $250 million and 0.40% of the amount in excess of
<PAGE>
- 13 -
$500 million of the value of the assets of the Separate Account then invested
in such Fund."
7. In Section 3.01 entitled "Accounts" the following amendments are made:
A. Effective as of May 1, 1987, the last sentence of the first paragraph
is hereby amended to read as follows:
"Any amounts allocated to an Investment Account will either become
part of the General Account or part of an Investment Division of the
Separate Account applicable to that Investment Account, as follows:"
B. Effective as of May 1, 1987, the chart is hereby amended to read as
follows:
"Investment Accounts Applicable Investment Medium
------------------------ ----------------------------
Guaranteed Rate Account General Account
Money Market Investment Money Market
Account Division
Stock Investment Account Stock Division
Bond Investment Account Bond Division
Balanced Investment Account Balanced Division
Aggressive Stock Investment Aggressive
Account Division
High Yield Investment High Yield
Account Division
Global Investment Account Global Division"
<PAGE>
- 14 -
C. Effective as of May 1, 1987, the last paragraph is hereby amended to
read as follows:
"Any amounts withdrawn from these Investment Accounts will no longer
be part of the General Account or the applicable Investment
Division."
8. Effective as of May 1, 1987, in Section 3.02 entitled "Account Balances of
Investment Accounts" the first sentence is hereby amended by deleting the
term "Separate Account" and by substituting the term "Investment
Division".
9. In Section 3.03 entitled "Contributions" the following amendments are
made:
A. Effective as of February 1, 1986, condition number 3 is amended by
deleting the phrase "fifteen calendar days" both places it appears
and by substituting the phrase "twenty calendar days."
B. Effective as of January 1, 1985, a new condition number 6 is added to
read as follows:
"6. No contributions, other than cash contributions, will be
accepted."
<PAGE>
- 15 -
C. Effective as of January 1, 1987, a new condition 7 is added to read
as follows:
"7. The Participant shall be responsible, for tax purposes, for
maintaining records as to the amount of contributions which are
deductible and non-deductible made by or on behalf of such
Participant."
10. In Section 3.04 entitled "Allocations" the following amendments are made:
A. Effective as of May 1, 1987, condition number 3 is hereby amended to
read as follows:
"Any contribution made without appropriate direction
as to its allocation will be allocated to the Participant's Money
Market Investment Account."
B. Effective as of February 1, 1986, condition number 4 is hereby
amended by deleting the phrase "fifteen calendar days" in the second
sentence thereof and by substituting the phrase "twenty calendar
days".
C. Effective as of May 1, 1987, the following new paragraph is hereby
added to the end thereof:
"For individuals who are Participants on the Reorganization Date,
allocations of contributions
<PAGE>
- 16 -
made after the Reorganization Date will be on the basis of the
allocation percentages in effect immediately before the
Reorganization Date unless changed by such Participant in accordance
with the foregoing provisions of this Section. Accordingly,
contributions which would otherwise have been allocated to the
Predecessor Separate Account No. 301 will be allocated to the Money
Market Division, contributions which would otherwise have been
allocated to the Predecessor Separate Account No. 302 will be
allocated to the Stock Division, contributions which would otherwise
have been allocated to the Predecessor Separate Account No. 303 will
be allocated to the Bond Division, and contributions which would
otherwise have been allocated to the Predecessor Separate Account No.
304 will be allocated to the Balanced Division. Contributions which
were allocated to the Participant's General Rate Account will
continue to be allocated to the General Rate Account."
11. Effective as of February 1, 1986, in Section 3.05 entitled "Transfers"
condition number 4 is hereby amended by deleting the phrase "fifteen
calendar days" in both places it appears and by substituting the phrase
"twenty calendar days".
<PAGE>
- 17 -
12. Effective as of January 1, 1986, in Section 3.06 entitled "Partial
Withdrawals" the second paragraph is hereby amended by deleting the first
sentence therein and replacing it with the following two sentences:
"Upon partial withdrawal, Equitable will pay the Participant the lesser of
(i) the amount of partial withdrawal requested or (ii) the sum of the
Account 301 Balances of his Investment Accounts other than the Guaranteed
Rate Account. A process charge of $5 will be deducted from the remaining
Account Balances of the Participant's Investment Accounts after the
partial withdrawal payment is processed; provided, however, the processing
charge may instead be deducted from the partial payment."
13. In Section 3.10 entitled "Death or Disability Benefit" the following
amendments are made:
A. Effective as of January 1, 1987, the first sentence is hereby amended
by deleting the reference to "Section 408(f)(3)" and by substituting
reference to "Section 72(m)(7)".
B. Effective as of May 1, 1987, a new last sentence is added to the
first paragraph to read as follows:
"Due proof of such death or disability must be received by Equitable
at: The Equitable Life
<PAGE>
- 18 -
Assurance Society, P.O. Box 182093, Columbus, Ohio 43218, or any other address
Equitable designates in written notice to the Participant."
C. Effective as of January 1, 1986, the second paragraph is hereby
amended to read as follows:
"Payment to the Participant or the beneficiary may be deferred by
Equitable in accordance with the provisions of Section 5.06."
14. In Section 3.11 entitled "Optional Modes of Settlement" the following
amendments are made:
A. Effective as of January 1, 1985, the first paragraph is hereby
amended to read as follows:
"Any Participant may elect that the whole or any part of any amount
that would otherwise be payable to the Participant's designated
beneficiary in a single sum be paid to such beneficiary under an
optional mode of settlement, subject to the provisions of Section
4.05 and to Equitable's rules in effect at the time of election. A
beneficiary may make such an election after the Participant's death
if no such election made by the Participant is then in effect."
<PAGE>
- 19 -
B. Effective as of May 1, 1987, the last sentence of the third paragraph
is hereby amended to read as follows:
"Any election, designation, revocation or change shall be effective
as of the date written notice thereof is received by Equitable at:
The Equitable Life Assurance Society, P.O. Box 182093, Columbus, Ohio
43218, or any other address that Equitable designates in written
notice to the Participant."
15. Effective as of May 1, 1987, in Section 4.01 entitled "Annuity Benefit"
the second paragraph is hereby amended to read as follows:
"The term "Annuity Value" means the amount, determined on the
Participant's Retirement Date, equal to the sum of the Account
Balances of the Participant's Investment Accounts and the Cash Value
of the Participant's Guaranteed Rate Account."
16. Effective as of January 1, 1985, Section 4.02 entitled "Election and
Commencement of Annuity Benefits" is hereby amended by adding the
following paragraphs at the end thereof:
"Notwithstanding anything in the Contract to the contrary, the entire
value of the Participant's
<PAGE>
- 20 -
Accounts (less applicable charges as determined by Equitable pursuant
to the terms of the Contract) will be distributed or commence to be
distributed no later than the Participant's Retirement Date in equal
or substantially equal amounts over (a) the life of such Participant,
or the lives of such Participant and his designated beneficiary, or
(b) a period not extending beyond the life expectancy of such
Participant, or the joint and last survivor life expectancy of such
Participant and his designated beneficiary.
If the Participant's Accounts (less applicable charges as determined
by Equitable pursuant to the terms of the Contract) are to be
distributed in other than a lump sum, then the amount to be
distributed each year (commencing with the Participant's Retirement
Date and each anniversary thereafter) must be at least an amount
equal to the quotient obtained by dividing the Amount Applied by the
life expectancy or the joint and last survivor life expectancy of the
Participant and his designated beneficiary.
If permitted by Equitable pursuant to its rules in effect at the
time, the life expectancy of the Participant or the joint and last
survivor life expectancy of the Participant and his spouse may be
<PAGE>
- 21 -
recalculated once each year. The life expectancy of a beneficiary
other than the Participant's spouse may not be recalculated after
distribution has commenced."
17. In Section 4.04 entitled "Periodic Distribution Option" the following
amendments are made:
A. Effective as of January 1, 1985, the first paragraph is hereby
amended to read as follows:
"The Participant may elect pursuant to Section 4.02 to receive the
Account Balance of each of the Participant's Investment Accounts
other than the Guaranteed Rate Account under the periodic
distribution option. Such option, subject to the conditions set forth
in the following paragraph, provides a series of monthly installment
payments over a number of whole years beginning as of the
Participant's Retirement Date, such number of whole years being the
lesser of (i) the number of whole years designated by the Participant
before the Participant's Retirement Date and (ii) the number of years
equal to the greater of the life expectancy of the Participant and
the joint and last survivor life expectancy of the Participant and
the Participant's designated beneficiary as of the Participant's
Retirement Date, rounded to the
<PAGE>
- 22 -
next lower whole year. If permitted by Equitable pursuant to its
rules in effect at the time, the life expectancy of the Participant
or the joint and last survivor life expectancy of the Participant and
his spouse may be recalculated once each year. The life expectancy of
a beneficiary other than the Participant's spouse may not be
recalculated after distribution has commenced."
B. Effective as of January 1, 1986, the last sentence of condition number 2
is hereby amended by deleting it and replacing it with the following two
sentences:
"2. The amount of each such monthly installment payment shall be
determined by dividing the sum of the Account Balances of the
Participant's Investment Accounts as of the first day of each
such month by the number of months then remaining under the
periodic distribution option. A monthly transaction charge of
$1.50 will be deducted proportionately from the remaining
Account Balances of the Participant's Investment Accounts after
each such monthly installment payment is determined; provided,
however, that
<PAGE>
- 23 -
the transaction charge of $1.50 may be deducted from the last
payment made."
C. Effective as of January 1, 1986, condition number 3 is hereby amended
to read as follows:
"3. Each monthly installment payment will be withdrawn from the
Participant's Investment Accounts in proportion to the amount of
the Participant's interest in each such Investment Account
immediately before such payment is made."
18. Effective as of January 1, 1985, in Section 4.05 entitled "Payment of
Benefits" the first paragraph is deleted and the following paragraphs are
inserted in its place, to read as follows:
"With regard to any form of benefit elected in accordance with
Section 4.02, if the Participant dies before the entire interest is
distributed, the following distribution provisions shall apply:
(a) If the Participant dies after distribution of his interest
in the Accounts has commenced, the remaining portion of
such interest will
<PAGE>
- 24 -
continue to be distributed at least as rapidly as under the
method of distribution being used prior to the
Participant's death. If a distribution for a period certain
in accordance with Section 4.04 had commenced prior to the
Participant's death, then the distribution shall be made to
the Participant's beneficiary, limited in accordance with
the option selected.
(b) If the Participant dies before distribution of his interest
in the Accounts commences, the Participant's entire
interest will be distributed in accordance with one of the
following four provisions:
(1) The Participant's entire interest will be paid within
5 years after the date of the Participant's death.
(2) If the Participant's interest is payable to a
beneficiary designated by the Participant and the
Participant has not elected (1) above, then the entire
interest will be distributed in substantially equal
installments over
<PAGE>
-25 -
the life or life expectancy of the designated
beneficiary commencing no later than one year after the
date of the Participant's death. The designated
beneficiary may elect at any time to receive greater
payments.
(3) If the designated beneficiary of the Participant is
the Participant's surviving spouse, the spouse may
elect within the 5 year period commencing with the
Participant's date of death to receive equal or
substantially equal payments over the life or life
expectancy of the surviving spouse commencing on any
date prior to the date on which the deceased
Participant would have attained the age of 70 1/2. The
surviving spouse may accelerate these payments at any
time, by either increasing the frequency or amount of
such payments.
(4) If the designated beneficiary is the Participant's
surviving spouse, the surviving spouse may treat the
<PAGE>
- 26 -
Participant's Accounts as his or her own individual
retirement account ("IRA"). This election will be
deemed to have been made if such surviving spouse
makes a regular IRA contribution to the Accounts,
makes a rollover to or from such Accounts, or fails to
elect any of the above three provisions.
If permitted by Equitable pursuant to its rules in effect
at the time, the life expectancy of the surviving spouse
may be recalculated once each year. The life expectancy of
a beneficiary other than the surviving spouse will be
determined at the time payment first commences and payments
for any 12-consecutive month period will be based on such
life expectancy minus the number of whole years passed
since distribution first commenced. The life expectancy of
a beneficiary other than the surviving spouse may not be
recalculated after distribution has commenced.
(d) For purposes of this requirement, any amount paid to a
child of the Participant will be
<PAGE>
- 27 -
treated as if it had been paid to the Participant's
surviving spouse if the remainder of the interest becomes
payable to the surviving spouse when the child reaches the
age of majority."
19. Effective as of January 1, 1985, in Section 5.04 entitled "Beneficiary"
the fifth paragraph is hereby amended to read as follows:
"If the Participant so elects in writing, any amount that would
otherwise be payable to the beneficiary in a single sum may be
applied to provide an Annuity Benefit, on the form of annuity elected
by the Participant with respect to the beneficiary, subject to the
provisions of Section 4.05 and to Equitable's rules then in effect.
If at the death of a Participant there is no election in effect to
apply the Death Benefit to provide an Annuity Benefit, the
beneficiary may make such an election subject to the provisions of
Section 4.05 and Equitable's rules then in effect."
<PAGE>
Consolidated Rider To 300+ Series Group IRA Contract
Effective as of the later of the date specified below or the Participant's
Enrollment Date, we have amended Group Annuity Contract AC 5361 as follows:
1. Effective July 26, 1992, the date on which Equitable converted from a
mutual life insurance company to a stock life insurance company, the phrase
"A Mutual Company Organized July 26, 1859" which appears on the cover page
of the Contract after Equitable's title, is deleted.
2. Effective as of May 1, 1987, the last paragraph on Page 1 is hereby
amended to read as follows:
"ASSETS HELD IN CONNECTION WITH THE CONTRACT MAY BE HELD IN ONE OR
MORE INVESTMENT DIVISIONS OF THE SEPARATE ACCOUNT MAINTAINED BY
EQUITABLE AND MAY INCREASE OR DECREASE IN VALUE AS DESCRIBED IN THE
CONTRACT."
3. Effective as of March 21, 1994, Section 1.02 entitled "Participant" is
amended by replacing (i) with the following:
"(i) a person who has been enrolled by Equitable under the Contract
through a Supplemental Agreement"
4. Effective as of March 21, 1994, Section 1.03 entitled "Group" is amended
by replacing the term "Administrative Agreement" with the term
"Supplemental Agreement."
5. Effective as of March 21, 1994, in Section 1.04 entitled "Administrative
Agreement", the following amendments are made:
A. The title "Administrative Agreement" is changed to read "Supplemental
Agreement."
B. The first sentence is amended to read as follows:
"The term 'Supplemental Agreement' means any written understanding
between the Group and Equitable which, among other things, may
describe..."
6. In Section 1.05 entitled "Retirement Date" the following amendments are made:
A. Effective as of March 21, 1994, the last sentence of the first
paragraph is hereby amended to read as follows:
Page 1
<PAGE>
"Any election for such change must be made in writing by the
Participant and shall not take effect until received by Equitable at
the Equitable office address specified in the certificate issued to
the Participant in accordance with Section 5.09, or any other address
that Equitable designates in written notice to the Participant."
B. Effective as of January 1, 1985, the second paragraph is hereby
amended to read as follows:
"Any Retirement Date must be on the first day of a calendar month and
no Retirement Date shall be earlier than the date of the
Particpant's attainment of age 59 years and 6 months and not later
than the first day of April following the calendar year in which the
Participant attains the age of 70 years and 6 months."
7. In Section 1.06 entitled "Defintions Relating to the Guarantee Rate
Account" the following amendments are made:
A. Effective as of March 21, 1994, the paragraph entitled Guarantee Rate
is amended to read as follows:
"Guarantee Rate: The Guarantee Rate for a particular Guarantee is the
effective annual rate of interest applicable throughout the Duration
of that Guarantee. The open period for such a Guarantee Rate will be
from the date it is declared through the last day of the Contribution
Quarter or until Equitable establishes a new Guarantee Rate during
such Contribution Quarter. Equitable will establish and announce the
first Guarantee Rate of a given Contribution Quarter at least 10 days
prior to the commencement of the Contribution Quarter. Equitable
reserves the right, however, to change the Guarantee Rate during a
Contribution Quarter. Each contribution or transfer shall be credited
with the Guarantee Rate in effect on the date of its receipt and
shall not be affected by any subsequent change in the Guarantee Rate
offered by Equitable. The Guarantee Rate will never be less than 3%
per annum."
B. Effective as of March 21, 1994, the first sentence of the definition
of "Guarantee Withdrawal Charge" is amended to read as follows:
"Any transfers or withdrawals with respect to a Guarantee prior to
the end of the Duration of that Guarantee, except
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<PAGE>
for withdrawals for Participant Service Charges set forth in Section
3.08, for death or disability benifits as set forth in Section 3.10,
or upon the election of an Annuity Benefit pursuant to Section 4.03
or a periodic distribution option in accordance with Section 4.04,
will be subject to a Withdrawal Charge."
C. Effective as of January 1, 1986, the following last sentence is added
in the second paragraph of the definition of "Guarantee Withdrawal
Charge" as follows:
"The Withdrawal Charge will be deducted from the remaining amounts in
the Participant's Guarantee after the withdrawal or transfer payment
is processed; except the Withdrawal Charge may be deducted from the
withdrawal or transfer payment if there is an insufficient amount in
the Participant's Guarantee to pay such a charge."
8. Effective as of May 1, 1987, Part I entitled "Definitions" is hereby
amended by adding the following Section 1.08 at the end thereof:
"SECTION 1.08. REORGANIZATION DATE
The term "Reorganization Date" means May 1, 19987."
9. Effective as of March 21, 1994, in Section 2.02 entitled "Definitions
Relating to the Investment Divisions" the second sentence of the
definition of "Valuation Period" is amended to read as follows:
"A 'Business Day' is any day on which Equitable's home office and the
New York Stock Exchange are both open for business."
10. Part II entitled "The Seperate Accounts" is hereby amended effective as of
May 1, 1987, unless otherwise indicated, to read as follows:
"PART II - THE SEPARATE ACCOUNT AND ITS INVESTMENT DIVISIONS
SECTION 2.01 THE SEPARATE ACCOUNT AND ITS INVESTMENT DIVISIONS
The term "Separate Account" means the Separate Account No. 301
established by Equitable and maintained under the laws of the State
of New York. Realized and
Page 3
<PAGE>
unrealized gains and losses from the assets of the Separate Account
are credited or charged against it without regard to other income,
gains or losses of Equitable. Assets are put in the Separate Account
to support the Contract and other variable annuity contracts and
certificates. Assets may be put in the Separate Account for other
purposes, but not to support contracts, policies or other agreements
which are not variable in form.
On the Reorganization Date, Equitable exercised its rights under the
Contract to operate Separate Account Nos. 301, 302, 303 and 304
(collectively, the "Predecessor Separate Accounts") as a unit
investment trust under the Investment Company Act of 1940. As a
result, the Predecessor Separate Accounts have been combined with and
into the Separate Account.
The Separate Account now operates in unit investment form and
consists of Investment Divisions. Each of the Investment Divisions may
invest its assets in a separate class of shares of a designated
investment company in which each class represents a separate
portfolio in the investment company. The Investment Divisions are:
o the Money Market Division
o the Stock Division
o the Government Securities Division
o the Balanced Division
o the Aggressive Stock Division
o the High Yield Division
o the Global Division.
Beginning May 1, 1994, the following three Investment Divisions will
be available:
o the Growth and Income Division
o the Conservative Investors Division
o the Growth Investors Division.
On the Reorganization Date, the investment assets and liabilities of
the Predecessor Separate Accounts were transferred to the Separate
Account which transferred its investment assets and liabilites to
the corresponding funds of the Harmony Investment Trust. On September
6, 1991, shares of the funds (the "Funds") of the Hudson River Trust
(the "Trust") were substituted for shares of
Page 4
<PAGE>
the corresponding funds of the Prism Trust (formerly the Harmony
Investment Trust). At such time, the Bond Division of the Prism Trust
was merged into and became part of the Government Securities
Division of the Trust. The transfer to the Funds did not change the
Participant's existing Account Balances on the date of transfer.
The assets of the Separate Account are the property of Equitable. The
portion of assets in the Separate Account equal to the reserves and
other contract liabilities with respect to the Separate Account will
not be chargeable with liabilites arising out of any other business
conducted by Equitable. Equitable reserves the right to transfer
assets of any Investment Division in excess of the reserves and other
liabilites with respect to that Investment Division to another
Investment Division or to the general assets of Equitable ("General
Account"), which supports the guarantees of the Contract and other
contracts.
Equitable may, at its discretion, make other Investment Divisions
available to Participants. Equitable will provide Particpants with
written notice of all material details covering investment objectives
and all charges, which may include expenses and fees, if any,
incurred by the investment company.
Equitable reserves the right, subject to compliance with applicable
law, including approval of the Contract Holder or Participants, if
required, (1) to cause the registration or deregistration of the
Separate Account under the Investment Company Act of 1940, (2) to
operate the Seperate Account under the direction of a committee and
to discharge such committee at any time, (3) to restrict or eliminate
any voting rights of Participants or other persons who have voting
rights as to the Separate Account, (4) to add, change or remove the
designated investment company, (5) to add, change or remove Investment
Divisions, (6) to combine any two or more Investment Divisions, (7) to
transfer assets from any one of the Investment Divisions to another
Investment Division, and (8) to operate the Separate Account or one
or more of the Investment Divisions by making direct investments or in
any other form Equitable in its sole discretion determines. The term
"Investment Division" refers to any other Investment Division in
which the assets of a class of certificates to which the Contract
Page 5
<PAGE>
belongs are placed. Equitable may, however, at its discretion, invest
the assets of the Separate Account or one or more of the Investment
Divisions in any investment permitted by applicable law.
Equitable may rely conclusively on the opinion of counsel (including
attorneys in its employ) as to what investments it is permitted by
law to make. In addition, unless otherwise required by law or
regulation, an investment adviser or any investment policy may not be
changed without the consent of Equitable.
If any of the above changes result in a material change in the
underlying investments of an Investment Division of the Separate
Account, Equitable will notify the Participant of such change. If the
Participant has value in that Investment Division, the Participant
may request Equitable in writing to transfer that value from that
Investment Division (without charge) to another Investment Division
of the Separate Account, and may additionally change the allocation
percentages applicable to future contributions made for him or her.
Equitable will value the assets of each Investment Division on each
Business Day, in accordance with the provisions of Section 2.02.
Assets of the Investment Divisions are subject to charges, to be made
as described in the Net Assets provision of Section 2.02.
SECTION 2.02 DEFINITIONS RELATING TO THE INVESTMENT DIVISIONS.
VALUATION PERIOD: For an Investment Division, the "Valuation Period"
starts at the end of each Business Day and ends at the corresponding
time on the next Business Day, and includes any non-business day or
consecutive non-business days immediately preceding such Business
Day. A "Business Day" is each weekday, excluding business holidays
or other days on which changes in the value of securities held by the
Separate Account (or any Investment Division) will not materially
affect a Participant's value in the Separate Account (or such
Investment Division).
Page 6
<PAGE>
NET ASSETS: For an Investment Division, the "Net Assets" equal the
value of the assets in the Investment Division at the close of
business of a Valuation Period, minus the sum of (1) Expenses, and
(2) any amount charged against the Investment Division in such
Valuation Period for taxes or for amounts set aside by Equitable as a
reserve for taxes attributable to the maintenance or operation of the
Investment Division. The net asset value of a designated investment
company's shares held in each Investment Division shall be the value
reported to Equitable by such investment company.
NET INVESTMENT FACTOR: For an Investment Division, the "Net Investment
Factor" for a Valuation Period is (1) the Net Assets at the close of
business of that Valuation Period, prior to giving effect to any
amounts allocated to or withdrawn from the Investment Division during
that Valuation Period, divided by (2) the Investment Division's Net
Assets at the close of business of the preceding Valuation Period.
UNIT: The "Unit" is a unit used in determining the value of a
Participant's interest in an Investment Division for the period during
which the Participant has contributions allocated to such Investment
Division.
UNIT VALUE: The "Unit Value" for each Investment Division on the first
day contributions are allocated to the Separate Account will be equal
to the Unit Value of the corresponding Predecessor Separate Account
for the preceding Valuation Period multiplied by the Net
Investment Factor applicable to such Investment Division. The Unit
Value for each Investment Division for which there is no Predecessor
Separate Account will be equal to $10.00 on the first day
contributions are allocated to such Investment Division. The Unit
Value for each subsequent Valuation Period with respect to an
Investment Division is the Unit Value for the immediately preceding
Valuation Period multiplied by the Net Investment Factor for such
subsequent Valuation Period.
EXPENSES: For a Valuation Period, the Expenses which may be charged
to an Investment Division are as follows:
Page 7
<PAGE>
(1) Any amount charged against the Investment Division by Equitable
during such Valuation Period to cover certain expenses incurred in the
operation of the Separate Account and the Investment Divisions,
including, but not limited to, taxes, interest, Securities and
Exchange Commission charges and certain related expenses including
printing of registration statements and amendments, outside auditing
and legal expenses and certain costs of maintaining participant
services, including recordkeeping services.
(2) The daily charge against the Investment Division for each day in
such Valuation Period for administrative expense charges, calculated
on the basis of an effective annual rate of 0.25% of the value of the
assets in the Investment Division.
If the aggregate expenses of an Investment Division for a calendar
year (including the charges described in sub-paragraphs (1) and (2)
of this definition and investment advisory fees of the Trust
("Investment Advisory Fee") and certain other expenses attributable
to the assets of the Investment Division invested in a corresponding
Fund of the Trust, but excluding interest, taxes, brokerage and, with
the consent of appropriate state regulatory authorities,
extraordinary expenses) exceed a charge determined on the basis of an
effective annual rate of (i) 1.0% of the value of the Money Market
Division's average daily Net Assets in such Investment Division
during such calendar year, or (ii) 1.5% of the value of the Stock
Division, the Government Securities Division or the Balanced
Division's average daily Net Assets in such Investment Division
during such calendar year, then Equitable shall reimburse such
Investment Division for the excess charged to such Investment
Division.
Notwithstanding anything to the contrary, if a Participant's
Enrollment Date is prior to the Reorganization Date, the Investment
Advisory Fee chargeable to such Participant's proportionate Account
Balances invested in the corresponding Fund on each day in such
Valuation Period, shall not exceed a charge, determined on the basis
of an effective annual rate of (i) as to the Money Market Fund and
the Government Securities Fund, 0.35% of the first $250 million,
0.325% of the next $250 million and 0.30% of the amount in excess
Page 8
<PAGE>
of $500 million of the value of the assets of the Separate Account
then invested in such Fund, and (ii) as to the Common Stock Fund and
the Balanced Fund, 0.50% of the first $250 million, 0.45% of the next
$250 million and 0.40% of the amount in excess of $500 million of the
value of the assets of the Separate Account then invested in such
Fund."
11. In Section 3.01 entitled "Accounts" the following amendments are made:
A. Effective immediately, the reference in the first paragraph to
"Subsection 2 of Section 3.03" should be corrected to read
"Subparagraph 2 of Section 3.03."
B. Effective as of May 1, 1994, the third and fourth sentences of the
first paragraph are hereby amended to read as follows:
"Equitable reserves the right to add or remove Investment Accounts.
Any amounts allocated to an Investment Account will either become
part of the General Account or part of an Investment Division of the
Separate Account applicable to that Investment Account, as follows:
"Investment Accounts Applicable Investment Medium
- -------------------- ----------------------------
Guaranteed Rate Account General Account
Money Market Investment Account Money Market Division
Stock Investment Account Stock Division
Government Securities Investment Account Government Securities Division
Balanced Investment Account Balanced Division
Aggressive Stock Investment Account Aggressive Stock Division
High Yield Investment Account High Yield Division
Global Investment Account Global Division
Growth & Income Investment Account Growth & Income Division
Growth Investors Investment Account Growth Investors Division
Conservative Investors Investment Account Conservative Investors Division"
C. Effective as of May 1, 1987, the last paragraph is hereby amended to
read as follows:
"Any amounts withdrawn from these Investment Accounts will no longer
be part of the General Account or the applicable Investment Division."
12. Effective as of May 1, 1987, in Section 3.02 entitled "Account Balances of
Investment Accounts" the first sentence is hereby amended by deleting the
term "Separate Account" and by substituting the term "Investment Division".
Page 9
<PAGE>
13. In Section 3.03 entitled "Contributions" the following amendments are
made:
A. Effective March 21, 1994, subparagraph number 1 is hereby amended to
read as follows:
"1. Contributions may be made for the Participant through a
Supplemental Agreement. Any contribution made for the Participant
by any means other than through payroll deduction by the
Participant's employer pursuant to a Supplemental Agreement may
be made only subject to Equitable's rules then in effect."
B. Effective as of February 26, 1993, subparagraph number 2 is hereby
amended to read as follows:
"2. A contribution may be made under the Contract for a Participant
consisting of amounts derived from a rollover contribution (as
described by one of the following Internal Revenue Code
Sections: 402(c), 403(a)(4), 403(b)(8) or 408(d)(3); or for
contracts issued before the Unemployment Compensation Amendments
of 1992, by Internal Revenue Code Sections 402(a)(5), 402(a)(6),
or, 402(a)(7))."
C. Effective as of March 21, 1994, subparagraph numbers 3 and 4 are
deleted in their entirety.
D. Effective as of March 21, 1994, subparagraph number 6 is added to
read as follows:
"6. No contributions, other than cash contributions, will be
accepted. Except in the case of a rollover contribution (as
permitted by Sections 402(c), 403(a)(4), 403(b)(8), or 408(d)(3)
of the Internal Revenue Code), or a Contribution made under the
terms of a Simplified Employee Pension as defined in Section
408(k) of the Internal Revenue Code, the total of such
Contributions will not exceed $2,000 for any taxable year.
Amounts transferred to the Contract from an individual
retirement account or annuity contract which meets the
requirements of
Page 10
<PAGE>
Section 408 of the Internal Revenue Code are not subject to the
$2,000 limit."
E. Effective as of January 1, 1987, a new subparagraph number 7 is added
to read as follows:
"7. The Participant shall be responsible, for tax purposes, for
maintaining records as to the amount of contributions which are
deductible and non-deductible made by or on behalf of such
Participant."
14. In Section 3.04 entitled "Allocations" the following amendments are made:
A. Effective March 21, 1994, in subparagraph number 2, the reference to
"Administrative Agreement" is amended to read "Supplemental
Agreement."
B. Effective as of May 1, 1987, subparagraph number 3 is hereby amended
to read as follows:
"3. Any contribution made without appropriate direction as to its
allocation will be allocated to the Participant's Money Market
Investment Account."
C. Effective as of March 21, 1994, subparagraph number 4 is hereby
amended by changing the second sentence to read as follows:
"If a contribution made other than through payroll deduction
accompanies the written notice, the change shall be effective as
of the date of receipt of the contribution."
D. Effective as of May 1, 1987, the following new paragraph is hereby
added to the end thereof:
"For individuals who are Participants on the Reorganization
Date, allocations of contributions made after the Reorganization
Date will be on the basis of the allocation percentages in effect
immediately before the Reorganization Date unless changed by
such Participant in accordance with the foregoing provisions of
this Section. Accordingly, contributions which would otherwise
have been allocated to the Predecessor Separate Account
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<PAGE>
No. 301 will be allocated to the Money Market Division,
contributions which would otherwise have been allocated to the
Predecessor Separate Account No. 302 will be allocated to the
Stock Division, contributions which would otherwise have been
allocated to the Predecessor Separate Account No. 303 will be
allocated to the Government Securities Division, and
contributions which would otherwise have been allocated to the
Predecessor Separate Account No. 304 will be allocated to the
Balanced Division. Contributions which were allocated to the
Participant's Guaranteed Rate Account will continue to be
allocated to the Guaranteed Rate Account."
15. Effective as of March 21, 1994, in Section 3.05 entitled "Transfers" the
following amendments are made:
A. Subparagraph number 3 is deleted in its entirety.
B. Subparagraph number 4 is hereby amended to read as follows:
"4. Transfers may not be made from one Guarantee in the
Guaranteed Rate Account to another. Transfers from a Guarantee in
the Guaranteed Rate Account may not be made during the
Contribution Quarter with respect to that Guarantee. Any other
transfer may be made at any time."
16. Effective as of March 21, 1994, Section 3.06 entitled "Partial
Withdrawals" is amended to read as follows:
A. In the first paragraph, the dollar amount of $10 listed in the second
sentence is amended to $100.
B. The second paragraph is hereby amended by deleting all references to
the $5 processing charge in the first sentence.
C. The third sentence of the second paragraph is deleted in its
entirety.
17. Effective March 21, 1994 in Section 3.08 entitled "Participant Service
Charge" the following amendments are made:
A. All references to the "Administrative Agreement" shall be replaced by
"Supplemental Agreement."
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<PAGE>
B. The third and fourth sentences of the second paragraph are replaced
by the following:
"The Participant Service Charge will be deducted from each
Participant's Accounts, and within those Accounts from the
Participant's balance in each Investment Account, in accordance
with the ordering rule established by Equitable from time to
time. The ordering rule in effect from time to time shall be
available to the Participant upon request. Such withdrawals will
reduce the number of Units in the Participant's Investment
Accounts."
C. The second and third sentences of the fourth paragraph will be
deleted in their entirety.
18. Effective beginning March 21, 1994, a new Section 3.08a is added as
follows:
"3.08a ENROLLMENT FEE
An enrollment fee of $25 will be paid to Equitable upon the
enrollment of each new Participant in a Simplified Employee Pension.
Unless the Participant's employer pays the fee, it will be charged
against the first contribution made on behalf of the Participant."
19. Effective March 21, 1994, in Section 3.09 entitled "Termination of
Participation," the following amendments are made:
A. The second sentence of the first paragraph is amended by deleting the
phrase "...minus a $5 processing charge..."
B. in the first sentence of the second paragraph the minimum monthly
payment for an Annuity Benefit is changed from $20 to $50.
20. In Section 3.10 entitled "Death or Disability Benefit" the following
amendments are made:
A. Effective as of January 1, 1987, the first sentence of the first
paragraph is hereby amended by deleting the reference to "Section
408(f)(3)" and by substituting reference to "Section 72(m)(7)."
B. Effective as of March 21, 1994, a new last sentence is added to read
as follows:
"Due proof of such death or disability must be received by
Equitable at the Equitable office address specified in the
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<PAGE>
certificate issued to the Participant in accordance with Section
5.09, or any other address Equitable designates in written notice to
the Participant."
C. Effective as of January 1, 1986, the second paragraph is hereby
amended to read as follows:
"Payment to the Participant or the beneficiary may be deferred by
Equitable in accordance with the provisions of Section 5.06."
21. In Section 3.11 entitled "Optional Modes of Settlement" the following
amendments are made:
A. Effective as of January 1, 1985, the first paragraph is hereby
amended to read as follows:
"Any Participant may elect that the whole or any part of any amount
that would otherwise by payable to the Participant's designated
beneficiary in a single sum be paid to such beneficiary under an
optional mode of settlement, subject to the provisions of Section
4.05 and to Equitable's rules in effect at the time of election. A
beneficiary may make such an election after the Participant's death
if no such election made by the Participant is then in effect."
B. Effective as of March 21, 1994, the last sentence of the third
paragraph is hereby amended to read as follows:
"Any election, designation, revocation or change shall be effective
as of the date written notice thereof is received by Equitable at the
office specified in the certificate issued to the Participant in
accordance with Section 5.09, or any other address Equitable
designates in written notice to the Participant."
22. In Section 4.01 entitled "Annuity Benefit" the following amendments are
made:
A. Effective as of May 2, 1988, the third paragraph is hereby amended to
read as follows:
"The term 'Amount Applied' means the portion of the Annuity Value
which the Participant elects to apply toward an Annuity Benefit
pursuant to Section 4.02, less any applicable State Premium Tax as
determined by
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<PAGE>
Equitable, and a one-time administrative fee in an amount as follows:
Participants who purchased contracts prior to July 1, 1983 have no
charge; Participants who purchased contracts on or after July 1, 1983
and prior to May 2, 1988 are charged $175; and Participants who
purchased contracts on or after May 2, 1988 are charged at the
applicable rate in effect on the date of purchase."
B. Effective as of May 1, 1987, the second paragraph is hereby amended
to read as follows:
"The term "Annuity Value" means the amount, determined on the
Participant's Retirement Date, equal to the sum of the Account
Balances of the Participant's Investment Accounts and the Cash Value
of the Participant's Guaranteed Rate Account."
23. In Section 4.02 entitled "Election and Commencement of Annuity Benefits"
the following amendments are made:
A. Effective as of March 21, 1994, in the second paragraph, the minimum
monthly Annuity Benefit or periodic distribution payment is changed
from $20 to $50.
B. Effective as of February 26, 1993, the following paragraphs are added
at the end thereof:
"Notwithstanding anything in the Contract to the contrary, the entire
value of the Participant's Accounts (less applicable charges as
determined by Equitable pursuant to the terms of the Contract or the
certificate) will be distributed or commence to be distributed no
later than the Participant's Retirement Date in equal or substantially
equal amounts over (a) the life of such Participant, or the lives of
such Participant and his designated beneficiary, or (b) a period not
extending beyond the life expectancy of such Participant, or the
joint and last survivor life expectancy of such Participant and his
designated beneficiary.
Payments must be made in periodic payments at intervals of no longer
than one year. In addition, payments must be either non increasing or
they may increase only as provided in Q&A F-3 of Section
1.401(a)(9)-1 of the Proposed Income Tax Regulations.
Page 15
<PAGE>
All distributions made hereunder shall be made in accordance with the
requirements of Section 401(a)(9) of the Code, including the
incidental death benefit requirements of Section 401(a)(9)(G) of the
Code, and the regulations thereunder, including the minimum
distribution incidental benefit requirement of Section 1.401(a)(9)-2
of the Proposed Income Tax Regulations.
Life expectancy is computed by use of the expected return multiples
in Tables V and VI of Section 1.72-9 of the Income Tax Regulations.
Unless otherwise elected by the Participant by the time distributions
are required to begin, life expectancies shall be recalculated
annually. Such election shall be irrevocable by the Participant and
shall apply to all subsequent years. The life expectancy of a
non-spouse beneficiary may not be recalculated. Instead, life
expectancy will be calculated using the attained age of such
beneficiary during the calendar year in which the Participant attains
age 70 1/2, and payments for subsequent years shall be calculated
based on such life expectancy reduced by one for each calendar year
which has elapsed since the calendar year life expectancy was first
calculated."
24. Effective as of March 21, 1994, in Section 4.04 entitled "Periodic
Distribution Option" the following amendments are made:
A. The first paragraph is hereby amended to read as follows:
"The Participant may elect pursuant to Section 4.02 to receive the
Account Balance of each of the Participant's Investment Accounts
under the periodic distribution option, so long as such payments
extend for a period of three years or longer. Such option, subject to
the conditions set forth in the following subparagraphs, provides
either:
(a) Period Certain: A series of monthly, quarterly, semi-annual or
annual installment payments (as specified by the Participant)
over a number of whole years beginning as of the Participant's
Retirement Date, such number of whole years being the lesser of
(i) the number of whole years designated by the Participant
before the Participant's Retirement Date and (ii) the number of
years equal to the greater of the life
Page 16
<PAGE>
expectancy of the Participant and the joint and last survivor
life expectancy of the Participant and the Participant's
designated beneficiary as of the Participant's Retirement Date,
rounded to the next lower whole year. If permitted by Equitable
pursuant to its rules in effect at the time, the life expectancy
of the Participant and his spouse may be recalculated once each
year. The life expectancy of a beneficiary other than the
Participant's spouse may not be recalculated after distribution
has commenced.
(b) Dollar Certain: A series of level monthly, quarterly,
semi-annual or annual installment payments (as specified by the
Participant) in an amount specified by the Participant such that
the period of payments is projected, as of the date of the first
payment, to be a period of at least three years' duration."
B. Subparagraph number 1 is amended to read as follows:
"1. Payments made under the periodic distribution option will include
interests held by the Participant in the Guaranteed Rate Account.
However, Equitable reserves the right to suspend distribution
from the Guaranteed Rate Accounts for such payments in its sole
discretion."
C. Subparagraph number 2 is hereby amended to read as follows:
"2. The amount of each Period Certain monthly,
quarterly, semi-annual or annual installment
elected in accordance with Section 4.04(a) above
shall be computed by Equitable beginning on the
date as of which such installment payments
commence, and thereafter, as of the first day of
each succeeding month, quarter, semi-annual or
annual period. The amount of each such
periodic distribution payment shall be
determined by dividing the sum of the Account
Balances of the Participant's Investment
Accounts as of the first day of each period by the
number of periods remaining."
Page 17
<PAGE>
D. Subparagraph number 3 is amended to read as follows:
"3. Each periodic distribution payment will be withdrawn from the
Participant's Investment Accounts in proportion to the amount of
the Participant's interest in each such Investment Account
immediately before such payment is made."
E. Subparagraph number 5 is amended to read as follows:
"5. While periodic distributions are being made, the
Participant may transfer amounts among the
Investment Accounts maintained for the
Participant pursuant to Section 3.01, except that
transfers may not be made from one Guaranteed
Rate Account to another. A Withdrawal Charge
pursuant to Section 1.06 will be deducted from
such transfers."
F. Subparagraph number 6 is amended by changing the phrase "monthly
installment" to read "periodic distribution" and by deleting the
phrase"...minus a $5 processing charge."
G. Subparagraph numbers 7 and 8 are amended by changing the phrase
"monthly installment" to read "periodic distribution."
25. Effective as of February 26, 1993, in Section 4.05 entitled "Payment of
Benefits" the first paragraph is deleted and the following paragraphs are
inserted in its place, to read as follows:
"With regard to any form of benefit elected in accordance with Section
4.02, if the Participant dies before the entire interest is
distributed, the following distribution provisions shall apply:
(a) If the Participant dies after distribution of his
interest in the Accounts has commenced, the
remaining portion of such interest will continue
to be distributed at least as rapidly as under the
method of distribution being used prior to the
Participant's death. If a distribution for a Period
Certain in accordance with Section 4.04 had
commenced prior to the Participant's death,
then the distribution shall be made to the
Page 18
<PAGE>
Participant's beneficiary, limited in accordance with the option selected.
(b) If the Participant dies before distribution of his interest in the
Accounts commences, the Participant's entire interest will be distributed
in accordance with one of the following four provisions:
(1) The Participant's entire interest will be paid within 5 years after
the date of the Participant's death.
(2) If the Participant's interest is payable to a beneficiary designated
by the Participant and the Participant has not elected (1) above,
then the entire interest will be distributed in substantially equal
installments over the life or life expectancy of the designated
beneficiary commencing no later than one year after the date of the
Participant's death. The designated beneficiary may elect at any time
to receive greater payments.
(3) If the designated beneficiary of the Participant is the Participant's
surviving spouse, the spouse may elect within the five year period
commencing with the Participant's date of death to receive equal or
substantially equal payments over the life or life expectancy of the
surviving spouse commencing on any date prior to the date on which
the deceased Participant would have attained the age of 70 1/2. The
surviving spouse may accelerate these payments at any time, by either
increasing the frequency or amount of such payments.
(4) If the designated beneficiary is the Participant's surviving spouse,
the surviving spouse may treat the Participant's Accounts as his or
her own individual retirement account ("IRA"). This election will be
deemed to have been made if such surviving spouse makes a regular IRA
contribution to the Accounts, makes a rollover to or from such
Accounts, or fails to elect any of the above three provisions.
Life expectancy is computed by use of the expected return multiples
in Tables V and VI of Section
Page 19
<PAGE>
1.72-9 of the Income Tax Regulations. For purposes of
distributions beginning after the Participant's death, unless
otherwise elected by the surviving spouse by the time
distributions are required to begin, life expectancies shall
be recalculated annually. Such election shall be irrevocable
by the surviving spouse and shall apply to all subsequent
years.
Distributions under this section are considered to have begun
if distributions are made on account of the individual
reaching his or her required beginning date or if prior to the
required beginning date distributions irrevocably commence to
an individual over a period permitted and in an annuity form
acceptable under Section 401(a)(9) of the Regulations.
(c) For purposes of this requirement, any amount paid to a child of
the Participant will be treated as if it had been paid to the
Participant's surviving spouse if the remainder of the interest
becomes payable to the surviving spouse when the child reaches
the age of majority."
26. Effective as of February 23, 1993, Section 5.01 is amended by adding the
following third paragraph:
"The Contract and the certificates issued thereunder are
established for the exclusive benefit of the Participant and
his or her beneficiaries."
27. Effective as of January 1, 1985, in Section 5.04 entitled "Beneficiary" the
first paragraph is hereby amended to read as follows:
"If the Participant so elects in writing, any amount that would
otherwise be payable to the designated beneficiary in a single sum
may be applied to provide an Annuity Benefit, on the form of annuity
elected by the Participant with respect to the designated
beneficiary, subject to the provisions of Section 4.05 and to
Equitable's rules then in effect. If at the death of a Participant
there is no election in effect to apply the Death Benefit to provide
an Annuity Benefit, the designated beneficiary may make such an
Page 20
<PAGE>
election subject to the provisions of Section 4.05 and
Equitable's rules then in effect."
28. Effective July 26, 1992, the date on which Equitable converted from a
mutual life insurance company to a stock life insurance company, with
respect to any certificate issued to a Participant on or after such date,
Section 5.11 entitled "Participation in Surplus" of the Contract will not
apply.
NEW YORK, NEW YORK,
FOR THE CONTRACT HOLDER: FOR THE EQUITABLE:
By By
--------------------------- -----------------------------------
President and Chief Executive Officer
Title By
------------------------ -----------------------------------
Chairman of the Board
Dated By
------------------------- -----------------------------------
Vice President and Secretary
At By
---------------------------- -----------------------------------
Head Office Assistant Registrar
Date of Issue
----------------------
Page 21
<PAGE>
EXHIBIT 4(E)(1)
[LOGO]
THE EQUITABLE LIFE ASSURANCE SOCIETY OF THE UNITED STATES
A MUTUAL COMPANY ORGANIZED JULY 26, 1859
1285 AVENUE OF THE AMERICAS, NEW YORK, NEW YORK
GROUP INDIVIDUAL RETIREMENT ANNUITY
CONTRACT
GROUP ANNUITY CONTRACT NO. AC 5361
CONTRACT HOLDER: UNITED STATES TRUST COMPANY OF
NEW YORK
REGISTER DATE: JANUARY 1, 1982
EFFECTIVE DATE: FEBRUARY 1, 1982
This contract ("Contract") replaces the Group Annuity Contract of the same
number that was issued on January 13, 1982 (herein called the "replaced
contract") and is issued in consideration of the surrender of the replaced
contract as of the Effective Date and the payment to Equitable of the
contributions made under this Contract. This Contract is for the exclusive
benefit of the Participants and their beneficiaries.
Equitable will issue to each Participant an individual certificate setting
forth a statement in substance of the benefits to which such Participant is
entitled under the Contract.
The provisions on the following pages are part of the Contract.
FOR THE CONTRACT HOLDER: FOR THE EQUITABLE
By........................... By ............................
Title ....................... By ............................
Vice President & Secretary
Dated ....................... Date of Issue .................
At..........................
(Head Office)
ASSETS HELD IN CONNECTION WITH THE CONTRACT MAY BE HELD IN ONE OR MORE
SEPARATE ACCOUNTS MAINTAINED BY EQUITABLE AND MAY INCREASE OR DECREASE IN
VALUE AS DESCRIBED IN THE CONTRACT.
Page 1
<PAGE>
This Page (2) is reserved
for information in connection with
the issuance of certificates under
this Contract
Page 2
<PAGE>
This Page (3) is reserved
for information in connection with
the issuance of certificates under
this Contract
Page 3
<PAGE>
PART I--DEFINITIONS
-------------------
SECTION 1.01 ANNUITY
The term "Annuity" means an individual retirement annuity meeting the
requirements of Section 408(b) of the Internal Revenue Code.
SECTION 1.02 PARTICIPANT
The term "Participant" means (i) a person who has been enrolled by Equitable
under the Contract through an Administrative Agreement, and (ii) the spouse
of any such person if such spouse has also been enrolled by the Equitable
under the Contract. A person shall become enrolled under the Contract on the
date, hereinafter called the "Enrollment Date", on which Equitable receives
an enrollment form made available by Equitable and completed in a manner
satisfactory to, and accepted by, Equitable. A person who has been enrolled
under the Contract shall be a Participant-owner under the certificate issued
pursuant to Section 5.10 during the person's lifetime provided a contribution
is made for the Participant within 120 days of the Enrollment Date.
SECTION 1.03 GROUP
The term "Group" includes, but is not necessarily limited to, a corporation,
labor organization or association thereof, governmental or quasi-governmental
body, partnership, sole proprietorship, trade or professional association, or
any other group or entity entering into an Administrative Agreement, as
specified in the certificate issued pursuant to Section 5.10
SECTION 1.04 ADMINISTRATIVE AGREEMENT
The term "Administrative Agreement" means a written understanding between the
Group and Equitable which, among other things, may describe
(i) procedures for facilitating the enrollment of Participants under
the Contract,
(ii) procedures pursuant to which contributions may be made under the
Contract by or on behalf of Participants (including payroll
deduction, direct contributions by the Participants, or a
combination thereof, or in any other form),
(iii) procedures for facilitating the communication to Participants of
information prepared by Equitable concerning the Contract and
enrollment and contributions thereunder, and
(iv) the extent to which the Group will perform any services in
connection with the Contract which would otherwise be performed by
Equitable.
Page 4
<PAGE>
DEFINITIONS--(cont'd)
SECTION 1.05 RETIREMENT DATE
The term "Retirement Date" means the date on which the Participant will
attain the retirement age specified by the Participant in the Participant's
enrollment form. Before the Retirement Date the Participant may elect to
change the Retirement Date to another Retirement Date, which may be the first
day of any calendar month after the filing of the election. Any Retirement
Date must be on the first day of a calendar month and no Retirement Date
shall be earlier than the date of attainment of age 59 years and six months
nor later than the last day of the taxable year in which the Participant
attains age 70 years and six months. Any election for such change must be
made in writing by the Participant and shall not take effect until received
by Equitable at its Home Office.
SECTION 1.06 STATE PREMIUM TAXES
The term "State Premium Taxes" means any premium tax applicable to individual
retirement annuities. As of January 1, 1982 such taxes are applicable only in
Alabama, California, District of Columbia, Georgia, Kentucky, Louisiana,
Mississippi, Puerto Rico, Virgin Islands, and West Virginia.
Page 5
<PAGE>
PART II--THE SEPARATE ACCOUNTS
------------------------------
SECTION 2.01 SEPARATE ACCOUNTS
The term "Separate Accounts" means the following separate accounts maintained
by Equitable to which portions of its assets have been allocated for the
Contract and certain other contracts:
<TABLE>
<CAPTION>
NAME INVESTMENTS
- ---- -----------
<S> <C>
(a) Separate Account No. 301: Primarily in short-term money market instruments.
(b) Separate Account No. 302: Primarily in common stocks.
(c) Separate Account No. 303: Primarily in publicly-traded debt securities.
(d) Separate Account No. 304: Primarily in a diversified portfolio of publicly-traded
common stocks publicly-traded debt securities, and
short-term money market instruments.
</TABLE>
It is contemplated that investments in the Separate Accounts will, at most
times, consist primarily of the investments indicated above. Equitable may,
however, at its discretion invest the assets of a Separate Account in any
investment permitted by applicable law. Equitable may rely conclusively on
the opinion of counsel (including attorneys in its employ) as to what
investments it is permitted by law to make. The assets of each Separate
Account may be temporarily held uninvested for such periods as Equitable may
determine.
In lieu of making such investments directly, equitable reserves the right,
subject to applicable law, to operate any Separate Account as a "unit
investment trust" under the Investment Company Act of 1940, or in any other
form permitted by law, which invests all or part of its assets in shares or
units of a fund the investment adviser of which may be Equitable or
controlled by Equitable. The fund assets would be invested as provided above
with respect to the Separate Account.
All income and all gains and losses, whether or not realized, from assets
allocated to a Separate Account will be credited to or charged against that
Separate Account without regard to the other income, gains, or losses of the
Equitable
Equitable reserves the right, subject to compliance with applicable law,
including approval of contract owners if required, (1) to create new separate
accounts, (2) to combine any two or more Separate Accounts, (3) to transfer
assets determined by Equitable to be assigned to the class of contracts to
which the Contract belongs from any of the Separate Accounts to another
separate account by withdrawing the same percentage of each investment in
that Account with appropriate adjustments to avoid odd lots and fractions,
(4) to cause the registration or deregistration of a Separate Account under
the Investment Company Act of 1940, (5) to
Page 6
<PAGE>
THE SEPARATE ACCOUNTS--(cont'd)
operate a Separate Account under the direction of a committee, and to
discharge such committee at any time, and (6) to restrict or eliminate any
voting rights of Participants or other persons who have voting rights as to a
Separate Account.
Assets of the Separate Accounts are subject to a charge, to be made as
described in the Net Investment Factor provision of Section 2.02.
The assets of each of the Separate Accounts are the property of Equitable;
however, the portion of the assets of each Separate Account equal to the
reserves and other contract liabilities with respect to such Separate Account
shall not be chargeable with liabilities arising out of any other business
Equitable may conduct. Equitable reserves the right to transfer assets of the
Separate Account in excess of such reserves and contract liabilities to the
general account of Equitable.
SECTION 2.02 DEFINITIONS RELATING TO THE SEPARATE ACCOUNT
VALUATION PERIOD: The Valuation Period for each Separate Account except
Separate Account No. 301, starts from the close of trading on all the
National Securities Exchanges on a Business Day and ends at the corresponding
time on the next Business Day. A Business Day in any day on which any
National Securities Exchange is open for trading. A National Securities
Exchange is one that is registered as such under the Securities Exchange Act
of 1934.
The Valuation Period for Separate Account No. 301 starts from the close of
trading on the New York Stock Exchange and ends at the corresponding time on
the next Business Day. A Business Day for Separate Account No. 301 is any day
on which the New York Stock Exchange is open for trading.
NET INVESTMENT FACTOR: For a Separate Account the Net Investment Factor for a
Valuation Period is (a) divided by (b), where
(a) is the value of the assets in the Separate Account at the close of
business of such Valuation Period (before giving effect to any
amounts allocated or amounts withdrawn during that Valuation Period),
minus the sum of (1) the amount defined in the following paragraph
that represents the charges for expenses charged to the Separate
Account during such Valuation Period, and (2) any amount charged
against the Separate Account in such Valuation Period for taxes or
for amounts set aside by Equitable as a reserve for taxes
attributable to the maintenance or operation of the Separate Account;
and
(b) is the value of the assets in the Separate Account at the close of
business of the preceding Valuation Period.
The charges for a Valuation Period for expenses charged to a Separate Account
during such Valuation Period are:
Page 7
<PAGE>
THE SEPARATE ACCOUNTS--(cont'd)
(1) Any amount charged against the Separate Account by Equitable during
such Valuation Period to cover certain expenses incurred in the
organization and operation of the Separate Accounts, including, but
not limited to, taxes, interest, brokerage fees and commissions, if
any, fees of the Separate Account Committee members who are not
affiliated with Equitable, Committee meeting costs, Securities and
Exchange Commission fees and certain related expenses including
printing of registration statements and amendments, charges relating to
custody of securities, certain insurance premiums, outside auditing and
legal expenses, and certain of the costs of maintaining participant
services.
(2) The daily charge against the Separate Account for each day in such
Valuation Period for administrative expense charges is calculated on
the basis of an effective annual rate of 0.25%.
(3) The daily charge against the Separate Account for each day in such
Valuation Period for investment management services is calculated on
the basis of an effective annual rate of
(i) as to Separate Account No. 301 and Separate Account No. 303,
0.35% of the first $250 million, 0.325% of the next $250 million,
and 0.30% of any excess over $500 million of the value of the
assets then in the Separate Account, and
(ii)as to Separate Account No. 302 and Separate Account No. 304,
0.50% of the first $250 million, 0.45% of the next $250 million,
and 0.40% of any excess over $500 million of the value of the
assets then in the Separate Account.
If the aggregate expenses of a Separate Account for a calendar year
(including the charges described in sub-paragraphs (1), (2), and (3) of the
preceding paragraph but excluding interest, taxes, brokerage and, with the
consent of appropriate state regulatory authorities, extraordinary expenses)
should exceed a charge determined on the basis of an effective annual rate of
(i) 1.0%, as to Separate Account No. 301 and (ii) 1.5%, as to each other
Separate Account, of the assets in such Separate Account during such calendar
year, then Equitable shall reimburse the Separate Account for the excess.
The value of the assets in the Separate Accounts, shall be taken at their
market value, or where there is no readily available market, their fair
value, as determined in accordance with accepted accounting practices, and
applicable laws and regulations.
UNIT: The Unit is a unit used in determining the value of the interest of a
Participant's Investment Account in a Separate Account while an Account for
such Participant is being maintained under the Contract.
Page 8
<PAGE>
THE SEPARATE ACCOUNTS--(cont'd)
UNIT VALUE: The initial Unit Value for each Separate Account has been
established at $10.00. The Unit Value for each subsequent Valuation Period
with respect to that Separate Account is the Unit Value for the immediately
preceding Valuation Period multiplied by the Net Investment Factor for such
subsequent Valuation Period.
Page 9
<PAGE>
PART III--PARTICIPANT'S ACCOUNT
-------------------------------
SECTION 3.01 ACCOUNTS
Equitable maintains at least one Account under the Contract for each
Participant; an additional Account shall be maintained for the Participant
with respect to each rollover contribution made pursuant to sub-section 2 of
Section 3.03 if such contribution was derived from an employee benefit plan
described in Section 401(a) of the Internal Revenue Code or a tax sheltered
annuity described in Section 403(b) of the Internal Revenue Code. Each such
Account contains one or more sub-accounts, hereinafter called "Investment
Accounts." The Group will designate the Investment Accounts to be made
available to the Group's Participants and only such Investment Accounts will
appear on page 3 of the certificates to be issued to the Group's Participants
pursuant to Section 5.10. Any amount allocated to an Investment Account
becomes part of the Separate Account applicable to that Investment Account,
as follows:
<TABLE>
<CAPTION>
<S> <C>
Investment Accounts Applicable Separate Account
- ------------------- ---------------------------
Money Market Account Separate Account No. 301
Common Stock Account Separate Account No. 302
Bond Account Separate Account No. 303
Balanced Account Separate Account No. 304
</TABLE>
Any amount withdrawn from an Investment Account will no longer be part of the
applicable Separate Account.
The amount in an Investment Account on any date shall be equal to the product
of (i) the number of Units in that Investment Account on that date and (ii)
the Unit Value for the applicable Separate Account for the Valuation Period
which includes that date. The number of Units in an Investment Account on any
date shall be equal to (a) the sum of any such Units credited to that Account
minus (b) the sum of any such Units charged against that Account. On any
Valuation Date when an amount is allocated to or withdrawn from an Investment
Account, said Account shall be credited or charged, as the case may be, with
a number of Units determined by dividing said amount by the applicable Unit
Value for the Valuation Period which includes that date.
SECTION 3.02 PARTICIPANT'S ACCOUNT BALANCE
The term "Participant's Account Balance" means, at any point in time, the sum
of the amounts then in the Participant's Investment Accounts.
SECTION 3.03 CONTRIBUTIONS
The Participant may have contributions made on such dates and in such amounts
as the Participant may determine, subject to the following conditions:
Page 10
<PAGE>
PARTICIPANT'S ACCOUNT--(cont'd)
1. Contributions may be made for the Participant through an
Administrative Agreement. Any contribution made by the Participant by
any means other than through payroll deduction by the Participant's
employer pursuant to an Administrative Agreement may be made only
subject to Equitable's rules then in effect, provided that each such
contribution equals at least $250 or such greater amount as may be
required by the Group and stated on page 3 of the certificates to be
issued to the Group's Participants pursuant to Section 5.10. Such
minimum contribution requirement shall not be applicable if it would
prevent the Participant from contributing up to the maximum
deductible contribution allowed the Participant in the Participant's
then current taxable year.
2. A contribution may be made under the Contract for a Participant
consisting of amounts derived from a rollover contribution from any of
the following in which the Participant had an interest: (i) an
individual retirement account or bond, (ii) an individual retirement
annuity contract other than the Contract, (iii) an employee benefit
plan qualified under Section 401(a) of the Internal Revenue Code, or
(iv) a tax sheltered annuity described in Section 403(b) of the
Internal Revenue Code.
3. Equitable reserves the right:
a. to refuse to accept a contribution for a Participant's taxable
year if such contribution would bring the aggregate amount of
contributions for such taxable year to more than $2000,
b. upon the advance written request of the Participant's employer,
to establish a minimum contribution requirement with respect to
contributions made by the Participant through payroll deduction
by the Participant's employer pursuant to an Administrative
Agreement, and
c. to change the $250 minimum contribution requirement in subsection
1 of this Section 3.03.
4. Any contribution will be deemed by Equitable to be made for the
Participant's current taxable year unless the Participant irrevocably
specifies in writing to Equitable, subject to applicable requirements
of the Internal Revenue Code and regulations thereunder, that such
contribution is for the Participant's prior taxable year.
SECTION 3.04 ALLOCATIONS
The Participant will direct the allocation of each contribution made for the
Participant to the Participant's Investment Accounts, subject to the
following conditions:
Page 11
<PAGE>
PARTICIPANT'S ACCOUNT--(cont'd)
1. The Participant's direction of the allocation of contributions to the
Participant's Investment Account shall be in terms of whole
percentages.
2. Allocations will be made as of the date on which equitable receives
the contribution.
3. Any contribution made without appropriate direction as to its
allocation will be allocated to the Participant's Money Market
Investment Account, but if the Money Market Investment Account is not
an available Investment Account as shown on page 3 of the certificate
issued to the Participant pursuant to Section 5.10 then such
contribution will instead be allocated to the Participant's
Investment Accounts in proportion to the amount of the Participant's
interest in each Investment Account.
4. The Participant may, upon written notice to Equitable, change the
allocation of future contributions. If a contribution made other than
through payroll deduction accompanies the written notice, the change
shall be effective as of the date of receipt of that contribution; in
any other event, the change shall be effective as of the date of the
first contribution received after Equitable's receipt of the
Participant's written notice. Equitable reserves the right to limit,
upon at least 90 days advance notice to the Participant, the number
of such changes allowed in a calendar year.
SECTION 3.05 TRANSFERS
A Participant may transfer amounts among the Investment Accounts maintained
for the Participant under the Contract, subject to the following conditions:
1. The request for the transfer must be made in accordance with
Equitable's administrative rules then in effect and will be effective
as of the later of the date specified in such request and the date
Equitable receives such request.
2. The amount so transferred will be allocated as of the date of
transfer to the Investment Account, or among the Investment Accounts,
selected by the Participant.
3. A transfer of only a part of the amount in an Investment Account will
be made only if the amount to be transferred is at least $250. Upon
at least 90 days advance notice to the Participant, Equitable may
change the dollar amount appearing in the immediately preceding
sentence.
4. Transfers may be made at any time except that, upon at least 90 days
advance notice to the Participant, Equitable may limit the number of
transfers that a Participant may make in any twelve month period.
Page 12
<PAGE>
PARTICIPANT'S ACCOUNT--(cont'd)
SECTION 3.06 TERMINATION OF PARTICIPATION
On or before a Participant's Retirement Date, such Participant may elect by
written notice to terminate participation under the Contract. As of the date
of receipt of such notice, Equitable will determine and, subject to Section
5.07, pay to the Participant the Participant's Account Balance minus a $5
processing charge and the then applicable Participant Service Charge.
Equitable may elect to terminate the Participant's participation under the
Contract if no contribution has been made for a Participant for at least
three years from the date of the Participant's last contribution and the
Participant's Account Balance does not exceed $2000 or would, if the
Participant had then attained Retirement Date, provide an Annuity Benefit of
less than $20 per month. As of such date, Equitable will determine and,
subject to Section 5.07, pay to the Participant the Participant's Account
Balance minus the then applicable Participant Service Charge.
Upon payment to a Participant pursuant to this Section, Equitable will be
released from any and all liability for payments with respect to the
contributions from which the Participant's Account Balance arose.
SECTION 3.07 PARTIAL WITHDRAWALS
A Participant may elect by written notice to Equitable to make a partial
withdrawal from the Participant's Account before such Participant's
Retirement Date, subject to Equitable's advance written consent if such
withdrawal is for an amount of less than $250. If such election would result
in the Participant's Account Balance being less than $10, Equitable will deem
such election to be instead an election by the Participant to terminate
participation under the Contract and will make the payment described in
Section 3.06 in lieu of any payment under this Section 3.07.
Upon such withdrawal, Equitable will pay to the Participant the lesser of (i)
the Participant's Account Balance minus a $5 processing charge, or (ii) the
amount of partial withdrawal requested minus a $5 processing charge. Unless
Equitable is otherwise directed by the Participant in accordance with
Equitable's requirements, the amount so paid and the processing charge will
be withdrawn from the Participant's Investment Accounts in proportion to the
amount of the Participant's interest in each Investment Account.
Upon any such payment to a Participant, Equitable will be released from any
and all liability for payments with respect to the contributions from which
the amounts so withdrawn arose.
Payments to the Participant pursuant to this Section may be deferred by
Equitable in accordance with the provisions of Section 5.07.
Page 13
<PAGE>
PARTICIPANT'S ACCOUNT--(cont'd)
SECTION 3.08 PARTICIPANT SERVICE CHARGE
Amount:
- ------
At least once in each calendar quarter, Equitable will withdraw a Participant
Service Charge for administrative expenses from the Participant's Account.
The amount of such charge shall be determined by Equitable but will not
aggregate more than a maximum charge of $10 in each calendar quarter. The
amount determined by Equitable will be based on such factors as (i) the
method by which contributions are being made under the Contract (payroll
deduction or direct contribution), (ii) the number of Participants
contributing through the same payroll deduction facility or Group, (iii) the
total contributions Equitable estimates will be made pursuant to an
Administrative Agreement, (iv) the nature of the Group, (v) the extent to
which, as determined by Equitable, a Group provides services pursuant to the
Administrative Agreement that Equitable would otherwise provide, (vi) any
other circumstances having an impact on Equitable's administrative expense,
and (vii) whether the Participant is then receiving payments under the
periodic distribution option described in Section 4.04. Each such charge will
be withdrawn from the Participant's Investment Accounts in proportion to the
amount of the Participant's interest in each Investment Account. Such
withdrawals will have the effect of reducing the number of Units in the
Participant's Investment Accounts.
The initial Participant Service Charge for a Participant shall be stated on
page 3 of the Participant's certificate issued to the Participant pursuant to
Section 5.10.
Employer Payment:
- ----------------
Pursuant to the terms of the Administrative Agreement the Group may elect
that any employer of the Group's Participants may make a contribution of an
amount equal to the Participant Service Charge then due for the Participant.
If the Group makes such an election and the Participant's employer makes such
a contribution, no withdrawal from the Participant's Account will then be
made pursuant to this Section.
SECTION 3.09 DEATH BENEFIT
If a Participant dies while an Account for such Participant is being
maintained under the Contract, Equitable, upon receipt of due proof of such
death, will pay the Participant's Account Balance in a single sum to the
beneficiary designated by such Participant to receive such payment. Upon such
payment, Equitable will be released from any and all liability for payments
with respect to the contributions made for the Participant.
Page 14
<PAGE>
PARTICIPANT'S ACCOUNT--(cont'd)
Payment to the beneficiary pursuant to this Section may be deferred by
Equitable in accordance with the provisions of Section 5.07.
SECTION 3.10 OPTIONAL MODES OF SETTLEMENT
Any Participant may elect that the whole or any part of any amount that would
otherwise be payable to the Participant's beneficiary in a single sum be paid
to such beneficiary under an optional mode of settlement, subject to the
Equitable's rules in effect at the time of election. The beneficiary may make
such an election after the Participant's death if no such election made by
the participant is then in effect.
Any payee under an optional mode of settlement elected pursuant to this
Section may designate (with the right to revoke or to change such
designation) a beneficiary to receive any amount that, in the absence of such
designation, would be payable to such payee's executors or administrators.
Any election of an optional mode of settlement may be revoked or changed by
the Participant at any time before a payment is made thereunder. Any
election, designation, revocation, or change shall be by written notice filed
with the Equitable at its Home Office.
Page 15
<PAGE>
PART IV--ANNUITY BENEFITS
-------------------------
SECTION 4.01 ANNUITY BENEFIT
The term "Annuity Benefit" means an Annuity Benefit under which the monthly
payments with respect to a payee are payable in a specified dollar amount.
The amount of each monthly payment u7nder any Annuity Benefit provided under
the Contract with respect to a payee is the amount provided with respect to
the payee pursuant to Section 4.03.
The Normal Form of Annuity Benefit under the Contract means the Full Cash
Refund Annuity form which provides for equal monthly payments to the
Participant beginning on the Participant's Retirement Date and ending with
the last monthly payment due before the Participant's death, and, upon
receipt by Equitable of due proof of the Participant's death, a single sum
payment to the beneficiary designated to receive such payment of an amount
equal to the excess, if any, of the Participant's Account Balance on the
Participant's Retirement Date minus the sum of all the annuity payments that
have been paid to the Participant under the Contract.
SECTION 4.02 ELECTION AND COMMENCEMENT OF ANNUITY BENEFITS
As of a Participant's Retirement Date, provided such Participant is then
living, the Participant's Account Balance shall be applied to provide an
Annuity Benefit on the Normal Form, unless such Participant elects (i) to
receive the Participant's Account Balance either in a single sum or under the
periodic distribution option described in Section 4.04, or (ii) to apply such
Participant's Account Balance to provide an Annuity Benefit pursuant to
Section 4.03 on any other annuity form offered by Equitable subject to
Equitable's rules then in effect and any applicable requirements under the
Internal Revenue Code, provided that any other annuity form shall provide
that the entire interest of the Participant will be distributed in equal or
substantially equal payments over the life of the Participant and the
Participant's spouse or over a period not extending beyond the life
expectancy of the Participant or the joint and last survivor expectancy of
the Participant and the Participant's spouse, as of the date annuity payments
are to commence.
Notwithstanding anything to the contrary in the preceding paragraph,
Equitable reserves the right to pay the Participant's Account Balance to the
Participant in a single sum in lieu of providing an Annuity Benefit if less
than $2000 would be applied to provide the Annuity Benefit or less than $20
per month would be payable under the Annuity Benefit or periodic distribution
option.
Equitable will provide appropriate notice and election forms to a Participant
not more than six months before such Participant's Retirement Date.
Page 16
<PAGE>
ANNUITY BENEFITS--(cont'd)
Equitable will have the right to require the Participant to furnish pertinent
facts and determinations to provide an Annuity Benefit, and will be fully
protected in relying on such information and need not inquire as to the
accuracy or completeness thereof.
SECTION 4.03 AMOUNT OF ANNUITY BENEFITS
If a Participant elects to receive an Annuity Benefit in lieu of the
Participant's Account Balance, the amount applied to provide the Annuity
Benefit will be the Participant's Account Balance on the date of application.
The date of application of the Participant's Account Balance will be the
Participant's Retirement Date.
The amount applied to provide an Annuity Benefit shall be reduced by any
applicable State Premium Tax as determined by Equitable. The balance shall
purchase the Annuity Benefit on the basis of either (i) the Table of
Guaranteed Annuity Payments shown in Section 4.05, or (ii) Equitable's
current group annuity rates for payment of proceeds, whichever rates would
provide a larger benefit with respect to the payee. If such current group
annuity rates are used, such Participant's certificate will be replaced by an
Equitable supplemental certificate.
After the application of an amount to provide an Annuity Benefit pursuant to
the preceding paragraph, the Account maintained for such Participant shall
terminate.
The Tables of Guaranteed Annuity Payments set forth the minimum amount of
monthly income that $1,000 of Participant's Account Balance will provide
under the Contract on the Full Cash Refund Annuity Form.
Equitable may change, by an amendment to the Contract, the monthly income
amounts contained in the Tables of Guaranteed Annuity Payments and the basis
for determining such amounts, (i) for new Participants, upon advance notice
to the Contract Holder, and (ii) for existing Participants, on the fifth
anniversary of the Enrollment Date and at any time thereafter, provided that
any changes after the first will be made at intervals of not less than five
years.
SECTION 4.04 PERIODIC DISTRIBUTION OPTION
The Participant may elect pursuant to Section 4.02 to receive the
Participant's Account Balance under the periodic distribution option. Such
option, subject to the conditions set forth in the following paragraph,
provides a series of monthly installment payments over a number of whole
years beginning as of the Participant's Retirement Date, or as soon
thereafter as is practicable, such number of whole years being the lesser of
(i) the number of whole years designated by the Participant before the
Participant's Retirement Date and (ii) the number of the years equal to the
greater of the life expectancy of the Participant, and the
Page 17
<PAGE>
ANNUITY BENEFIT--(cont'd)
joint and last survivor expectancy of the Participant and the Participant's
spouse as of the Participant's Retirement Date, rounded to the next lower
whole year.
Conditions:
- -----------
1. The monthly amount of installment payments shall be computed by
Equitable monthly, beginning on the date as of which monthly
installment payments commence and, thereafter, as of the first day of
each succeeding month. The amount of each such monthly installment
payment shall be determined by dividing the Participant's Account
Balance as of the first day of each such month by the number of
months then remaining under the periodic distribution option, less a
monthly transaction charge of $1.50.
2. Each monthly installment payment will be withdrawn from the
Participant's Investment Accounts in proportion to the amount of the
Participant's interest in each Investment Account immediately before
such payment is made.
3. The Participant Service Charge will continue to be withdrawn from the
Participant's Account in accordance with Section 3.08; during the
last whole year of installment payments such charge shall be deducted
as necessary from the last monthly installment payments made.
4. While monthly installment payments are being made.
(a) the Participant may transfer amounts among the Investment
Accounts maintained for the Participant pursuant to Section 3.05,
but
(b) no Contributions may be made for the Participant.
5 The Participant may elect by advance written notice to have Equitable
cease making monthly installment payments and instead pay in a single
sum to the Participant the Participant's Account Balance, minus a $5
processing charge. Upon making such payment Equitable will be
released from any and all liability for payments with respect to the
contributions made for the Participant.
6 No monthly installment payment shall be of an amount greater than the
Participant's Account Balance immediately before the due date of such
payment.
7. If the Participant dies while monthly installment payments are being
made, a single sum death benefit will be paid to the Participant's
beneficiary pursuant to Section 3.09. Upon payment of a death benefit
pursuant to Section 3.09, Equitable will be released from any and all
liability for payments with respect to the contributions made for the
Participant.
Page 18
<PAGE>
ANNUITY BENEFITS--(cont'd)
SECTION 4.05 PAYMENT OF BENEFITS
Any form of benefit elected by the Participant in accordance with Section
4.02 shall have the effect of providing that if the Participant dies before
such Participant's interest has been distributed to such Participant, or if
distribution has been commenced to such Participant's spouse, and such spouse
dies before the entire interest has been distributed to such spouse, the
entire interest (or the remaining part of such interest if the distribution
thereof has commenced) will, within five years after the death of such
Participant (or the death of such Participant's surviving spouse), be
distributed or applied to the purchase of an annuity for the beneficiary or
beneficiaries of such Participant (or such Participant's surviving spouse)
which will be payable for the life of such beneficiary or beneficiaries (or
for a term certain not extending beyond the life expectancy of such
beneficiary or beneficiaries) and which annuity will be immediately
distributed to such beneficiary or beneficiaries.
Evidence of each payee's survival must be furnished to Equitable either by
personal endorsement of the check drawn for payment or by other means
satisfactory to Equitable.
If a benefit payable under the Contract was based on information that is
subsequently found to be incorrect, such benefit will not be invalidated, but
an adjustment on the basis of the correct information will be made in the
amount of the benefit payments, or any mount used to provide the benefit, or
any combination thereof. Overpayments by Equitable will be charged against
and underpayments will be added to any payments thereafter falling due under
the Contract with respect to the payee. The liability of Equitable with
respect to a payee is limited to the correct information and the actual
amounts used to provide the benefits then in force with respect to the payee
under the Contract.
If Equitable receives evidence satisfactory to it that (i) a payee entitled
to receive any payment under the Contract is physically or mentally
incompetent to receive such payment or is a minor, (ii) another person or an
institution is then maintaining or has custody of such payee, and (iii) no
guardian, committee, or other representative of the estate of such payee has
been appointed, Equitable may make the payments (in the case of a minor, at a
rate not exceeding $50 a month) to such other person or institution, and will
thereupon be fully discharged from all liability with respect thereto.
If an form made available by Equitable provides for payment for a period
certain, such as 120 or 180 months, and thereafter during the remaining
lifetime of one person, or of at least one of two persons, a payee for
payments thereunder may elect, without the concurrence of any other person,
to receive the commuted value of any remaining payments, provided no person
upon whose life the income depends is surviving.
Page 19
<PAGE>
ANNUITY BENEFITS--(cont'd)
Equitable will require satisfactory evidence of the age of any person upon
whose life an annuity form depends.
TABLES OF GUARANTEED ANNUITY PAYMENTS
-------------------------------------
(Based on Age Nearest Birthday on Due Date of First Payment)
Annuity Benefit Payable On The Full Cash Refund Annuity Form
(Minimum Monthly Income per $1000 of Cash Value)
ANNUITY BENEFIT
---------------
<TABLE>
<CAPTION>
AGE MALES FEMALES
----- ------- ---------
<S> <C> <C>
60 $7.16 $ 6.68
65 7.79 7.16
70 8.62 7.79
9200 FCR
</TABLE>
Amounts applicable for ages or for annuity forms not shown will be calculated
by Equitable on the same actuarial basis.
Page 20
<PAGE>
PART V--GENERAL PROVISIONS
--------------------------
SECTION 5.01 CONTRACT
The Contract constitutes the entire contract between the parties and the
provisions of the Contract alone will govern with respect to the rights and
obligations of Equitable. The provisions of the Contract will be applied
separately with respect to each Participant. Nothing in the enrollment form
referred to in Section 1.02, the custodial agreement referred to in Section
5.09 nor any modification, amendment, or supplement to any such documents
will in any way be construed to enlarge, change, vary or in any other way
affect the obligations of Equitable as expressly provided in the Contract.
The Contract may not be modified as to Equitable, nor may any of Equitable's
rights or requirements be waived, except in writing and by an authorized
officer of Equitable. The Contract may be changed by amendment or replacement
upon agreement between the Contract Holder and Equitable without the consent
of any other person provided that such change does not reduce any Cash Value
or Annuity Benefit provided before such change and provided that no rights,
provilges or benefits which have accrued to any Participant under the
Contract may be reduced or forfeited except by the express consent of such
Participant.
SECTION 5.02 STATUTORY COMPLIANCE
Equitable reserves the right to amend the Contract without the consent of any
other person in order to comply with applicable laws and regulations. Such
right shall include, but shall not be limited to, the right to conform the
Contract and any certificate to reflect changes in the Internal Revenue Code,
or in regulations or published rulings of the Internal Revenue Service, so
that each such certificate will continue to be an Annuity.
Any Annuity Benefit, Cash Value or death benefit available under a
certificate issued pursuant to the Contract shall not be less than the
minimum benefits required by any statute of the state in which the
certificate is delivered.
SECTION 5.03 ASSIGNMENTS AND NON-TRANSFERABILITY
The entire interest of any Participant under the Contract is non-forfeitable.
No interest of a Participant under the Contract may be sold, assigned,
discounted, or pledged as collateral for a loan or as security for the
performance of an obligation or for any other purpose to any person other
than Equitable.
No amount payable under the Contract may be assigned or encumbered by the
payee and, to the extent permitted by law, no such amount will in any way be
subject to any claim against such payee.
Page 21
<PAGE>
GENERAL PROVISIONS--(cont'd)
SECTION 5.04 BENEFICIARY
Each Participant, as of such Participant's Enrollment Date is to provide
Equitable with an initial designation of a beneficiary or beneficiaries
entitled to receive any payment with respect to such Participant becoming due
to a beneficiary under the Contract. The Participant may change such
designation from time to time. Any such designation or change will be made by
written notice on a form satisfactory to Equitable. A change will, upon
receipt at a designated Equitable Office, take effect as of the time the
written notice was signed, whether or not the Participant is living on the
date of receipt, but without further liability as to any payment or other
settlement made by Equitable before receipt of such change.
Unless otherwise specified in the designation, if a Participant has
designated two or more persons as beneficiary, the beneficiary will be the
designated person or persons who survive the Participant, and if more than
one survive they will share equally.
If upon the death of a person there is no designated beneficiary then living
entitled to receive any single sum payment or any remaining periodic payments
then becoming due to a beneficiary with respect to a Participant, Equitable
shall pay such single sum payment or the commuted value of such periodic
payments to the first surviving class of the following classes of successive
preference beneficiaries: (a) the Participant's widow or widower, (b) the
Participant's surviving children, (c) the executors or administrators of the
person upon whose death the payment becomes due.
Any commuted value shall be determined on the basis of compound interest at
the rate determined by Equitable as consistent with the actuarial basis used
in providing the annuity benefit.
If the beneficiary so elects in writing, any amount that would otherwise be
payable to the beneficiary in a single sum may be applied to provide an
Annuity Benefit, on the form of annuity elected by the beneficiary, subject
to Equitable's rules then in effect.
SECTION 5.05 DISQUALIFICATION
In the event that an annuity purchased hereunder with respect to a
Participant fails to qualify as an Annuity as described in Section 1.01,
Equitable shall have the right, upon receiving notice of such fact before the
Retirement Date, to terminate participation with respect to such Participant
under the Contract and pay to such Participant the Participant's Account
Balance less a deduction for the appropriate part attributable to such
Participant of any Federal income tax payable by Equitable which would not
have been payable if such Participant had an Annuity under the Contract.
Page 22
<PAGE>
GENERAL PROVISIONS--(cont'd)
SECTION 5.06 FUTURE PARTICIPANTS
Equitable reserves the right at its sole discretion to curtail or prohibit
further enrollment as Participants under the Contract of any individuals who
are not currently participating under the Contract as of such date of
curtailment or prohibition.
SECTION 5.07 DEFERMENT
Except as provided in this Section, payments by Equitable from the
Participant's Account pursuant to the provisions of Sections 3.06, 3.07 and
Section 3.09 will be made within seven days after receipt of a written
request for such surrender or withdrawal, or receipt of due proof of death of
the Participant.
During any period when (i) the sale of securities or the determination of the
Unit Value is not reasonably practicable because an emergency, defined by the
Securities and Exchange Commission, exists, or the New York Stock Exchange is
closed or trading on such Exchange is restricted, or (ii) the Securities and
Exchange Commission may by order permit postponement for the protection of
persons having interests in the Separate Account, Equitable reserves the
right:
(a) to defer payment of a Participant's Account Balance:
(b) to defer payment of any portion of the death benefit arising from an
amount in a Participant's Account, or
(c) in the event of (a) above, to defer application of such amounts to
provide any Annuity Benefit permitted under the Contract.
SECTION 5.08 ANNUAL NOTICE
As soon as practicable after the end of each calendar year Equitable,
provided an Account is being maintained for the Participant at the end of
such calender year, will furnish the Participant with a notice showing as of
a specified recent date (1) the Participant's Account Balance, (2) the total
number of Units credited to each Investment Account of the Accounts, and (3)
the Unit Value.
SECTION 5.09 CONTRACT HOLDER RESPONSIBILITY
The sole responsibility of the Contract Holder is to serve as party to the
Contract. The Contract Holder will have no responsibility for the
administration of any plan, for payments to the Accounts, for any payments,
distributions or duties hereunder. Equitable will deal with the Contract
Holder in accordance with the terms and conditions of the custodial agreement
pursuant to which the Contract Holder agreed to act as such and with the
Contract and in such manner as the Contract Holder and Equitable may agree,
without the consent of any other person.
Page 23
<PAGE>
GENERAL PROVISIONS--(cont'd)
SECTION 5.10 CERTIFICATE
Equitable will issue to each Participant an individual certificate setting
forth a statement in substance of the benefits to which such Participant is
entitled under the Contract.
Page 24
<PAGE>
RIDER TO 300 SERIES GROUP IRA CONTRACT
--------------------------------------
Effective as of the dates specified below, or your Participation Date,
whichever is later, we have amended under Group Annuity Contract AC 5361 as
follows:
1. The Equitable office address on page 3 is amended as of November 1, 1985
to read as follows:
"The Equitable Life Assurance Society
P.O. Box 2509
General Post Office
New York, New York 10016."
2. In Section 1.05 entitled "Retirement Date" the following amendments are
made:
A. As of November 1, 1985 the last sentence of the first paragraph is
amended to read as follows:
"Any election for such change must be made in writing by the
Participant and shall not take effect until received by
<PAGE>
- 2 -
Equitable at: The Equitable Life Assurance Society, P.O. Box 2509,
General Post Office, New York, New York 10116, or any other address
that Equitable designates in written notice to the Participant."
B. As of January 1, 1985 the second paragraph is amended to read as
follows:
"Any Retirement Date must be on the first day of a calendar month and
no Retirement Date shall be earlier than the date of attainment of
age 59 years and six months nor later than the first day of April
following the calendar year in which the Participant attains age 70
years and six months."
3. In Section 1.06 entitled "Definitions Relating to Guaranteed Rate Account"
the following amendments are made:
A. The definition of "Guarantee Rate" in the fourth paragraph thereof is
amended as of February 1, 1986 by deleting the
<PAGE>
- 3 -
phrase "15 days" and placing in lieu thereof the phrase "10 days".
B. The following last sentence is added to the definition of "Guarantee
Withdrawal Charge" in the sixth paragraph thereof, as of January 1,
1986, to read as follows:
"The Withdrawal Charge will be deducted from the remaining amounts in
the Participant's Guarantee after the withdrawal payment is
processed; except the Withdrawal Charge may be deducted from the
withdrawal payment if there is an insufficient amount in the
Participant's Guarantee to pay such charge."
4. In Section 3.03 entitled "Contributions" the following amendments are
made:
A. Condition number 3 is amended as of February 1, 1986 by deleting the
phrase "fifteen calendar days" both places it appears and by placing
in lieu thereof the phrase "twenty calendar days."
<PAGE>
- 4 -
B. A new condition number 6 is added as of January 1, 1985 to read as
follows:
"6. No contributions, other than cash contributions, will be
accepted."
5. In Section 3.04 entitled "Allocations" condition number 4 is amended as of
February 1, 1986 by deleting the phrase "fifteen calendar days" in the
second sentence thereof and by placing in lieu thereof the phrase "twenty
calendar days."
6. In Section 3.05 entitled "Transfers" condition number 4 is amended as of
February 1, 1986 by deleting the phrase "fifteen calendar days" in both
places it appears and by placing in lieu thereof the phrase "twenty
calendar days."
7. In Section 3.06 entitled "Partial Withdrawals" the second paragraph is
amended as of January 1, 1986 by deleting the first sentence therein and
replacing it with the following two sentences:
"Upon partial withdrawal, Equitable will pay the Participant the
lesser of (i) the amount of partial withdrawal requested or (ii) the
sum of the Account
<PAGE>
- 5 -
Balances of his Investment Accounts other than the Guaranteed Rate
Account. A processing charge of $5 will be deducted from the
remaining Account Balances of the Participant's Investment Accounts
after the partial withdrawal payment is processed; however, the
processing charge may instead be deducted from the partial payment."
8. In Section 3.10 entitled "Death or Disability Benefit" the following
amendments are made:
A. As of November 1, 1985 a new last sentence is added to the first
paragraph to read as follows:
"Due proof of such death or disability must be received by Equitable
at: The Equitable Life Assurance Society, P.O. Box 2509, General Post
Office, New York, New York 10116, or any other address Equitable
designates in written notice to the Participant."
<PAGE>
- 6 -
B. The second paragraph is amended as of January 1, 1986 to read as
follows:
"Payment to the Participant of the beneficiary may be deferred by
Equitable in accordance with the provisions of Section 5.06."
9. In Section 3.11 entitled "Optional Modes of Settlement" the first
paragraph is amended as of January 1, 1985 to read as follows:
"Any Participant may elect that the whole or any part of any amount
that would otherwise be payable to the Participant's designated
beneficiary in a single sum be paid to such beneficiary under an
optional mode of settlement, subject to the provisions of Section
4.05 and to Equitable's rules in effect at the time of election. A
beneficiary may make such an election after the Participant's death
if no such election made by the Participant is then in effect."
<PAGE>
- 7 -
10. In Section 4.02 entitled "Election and Commencement of Annuity Benefits"
new paragraphs five, six and seven are added as of January 1, 1985 to read
as follows:
"Notwithstanding anything in the Certificate and the Contract to the
contrary, the entire value of the Participant's Accounts (less
applicable charges as determined by Equitable pursuant to the terms
of the Contract and the Certificate) will be distributed or commence
to be distributed no later than the Participant's Retirement Date in
equal or substantially equal amounts over (a) the life of such
Participant, or the lives of such Participant and his designated
beneficiary, or (b) a period not extending beyond the life expectancy
of such Participant, or the joint and last survivor expectancy of
such Participant and his designated beneficiary.
"If the Participant's Accounts (less applicable charges as determined
by Equitable pursuant to the terms of the
<PAGE>
- 8 -
Contract and Certificate) are to be distributed in other than a lump
sum, then the amount to be distributed each year (commencing with the
Participant's Retirement Date and each anniversary thereafter) must
be at least an amount equal to the quotient obtained by diving the
Amount Applied by the life expectancy or joint and last survivor
expectancy of the Participant and his designated beneficiary.
"Life expectancy and joint and last survivor expectancy shall be
computed by use of the return multiples contained in Section 1.72-9
of the Income Tax Regulations. If permitted by Equitable pursuant to
its rules in effect at the time, the life expectancy of the
Participant or the joint and last survivor expectancy of the
Participant and his spouse may be recalculated once each year. The
life expectancy of a beneficiary other than the Participant's spouse
may not be recalculated after distribution has commenced."
<PAGE>
- 9 -
11. In Section 4.04 entitled "Periodic Distribution Option" the following
amendments are made:
A. The first paragraph is amended as of January 1, 1985 to read as
follows:
"The Participant may elect pursuant to Section 4.02 to receive the
Account Balance of each of the Participant's Investment Accounts
other than the Guaranteed Rate Account under the periodic
distribution option. Such option, subject to the conditions set forth
in the following paragraph, provides a series of monthly installment
payments over a number of whole years beginning as of the
Participant's Retirement Date, such number of whole years being the
lesser of (i) the number of whole years designated by the Participant
before the Participant's Retirement Date and (ii) the number of years
equal to the greater of the life expectancy of the Participant and
the joint and last survivor expectancy of
<PAGE>
- 10 -
the Participant and the Participant's designated beneficiary as of
the Participant's Retirement Date, rounded to the next lower whole
year. Life expectancy and joint and last survivor expectancy are
computed by use of the return multiples contained in Section 1.72-9
of the Income Tax Regulations. If permitted by Equitable pursuant to
its rules in effect at the time, the life expectancy of the
Participant or the joint and last survivor expectancy of the
Participant and his spouse may be recalculated once each year. The
life expectancy of a beneficiary other than the Participant's spouse
may not be recalculated after distribution has commenced."
B. The last sentence of Condition number 2 is amended as of January 1,
1986 by deleting it and replacing it with the following two
sentences:
"2. The amount of each such monthly installment payment shall be
<PAGE>
- 11 -
determined by dividing the sum of the Account Balances of the
Participant's Investment Accounts as of the first day of each
such month by the number of months then remaining under the
periodic distribution option. A monthly transaction charge of
$1.50 will be deducted proportionately from the remaining
Account Balances of the Participant's Investment Accounts after
each such monthly installment payment is determined, provided,
however, that the transaction charge of $1.50 may be deducted
from the last payment made."
C. Condition number 3 is amended as of January 1, 1986 to read as
follows:
"3. Each monthly installment payment will be withdrawn from the
Participant's Investment Accounts in proportion to the amount of
the Participant's interest in each such
<PAGE>
- 12 -
Investment Account immediately before such payment is made."
12. In Section 4.05 entitled "Payment of Benefits" the first paragraph is
deleted and the following paragraphs are inserted in its place as of
January 1, 1985 to read as follows:
"With regard to any form of benefit elected in accordance with
Section 4.02, if the Participant dies before the entire interest is
distributed, the following distribution provisions shall apply:
"(a) If the Participant dies after distribution of his interest in
the Accounts has commenced, the remaining portion of such
interest will continue to be distributed at least as rapidly as
under the method of distribution being used prior to the
Participant's death. If a distribution for a period certain in
accordance with Section
<PAGE>
- 13 -
4.04 had commenced prior to the Participant's death, then the
distribution shall be made to the Participant's beneficiary,
limited in accordance with the option selected.
"(b) If the Participant dies before distribution of his interest in
the Accounts commences, the Participant's entire interest will
be distributed in accordance with one of the following four
provisions:
"(1) The Participant's entire interest will be paid within five
(5) years after the date of the Participant's death.
"(2) If the Participant's interest is payable to a beneficiary
designated by the Participant and the Participant has not
elected (1) above, then the
<PAGE>
- 14 -
entire interest will be distributed in substantially equal
installments over the life or life expectancy of the
designated beneficiary commencing no later than one (1)
year after the date of the Participant's death. The
designated beneficiary may elect at any time to receive
greater payments.
"(3) If the designated beneficiary of the Participant is the
Participant's surviving spouse, the spouse may elect within
the five year period commencing with the Participant's date
of death to receive equal or substantially equal payments
over the life or life expectancy of the surviving spouse
commencing at any date prior to the date on which the
deceased Participant
<PAGE>
- 15 -
would have attained the age of 70 1/2. The surviving spouse
may accelerate these payments at any time, i.e., increase
the frequency or amount of such payments.
"(4) If the designated beneficiary is the Participant's
surviving spouse, the spouse may treat the Participant's
Accounts as his or her own individual retirement
arrangement (IRA). This election will be deemed to have
been made if such surviving spouse makes a regular IRA
contribution to the Accounts, makes a rollover to or from
such Accounts, or fails to elect any of the above three
provisions.
"(c) For purposes of the above, payments will be calculated by use of
the return multiples specified in
<PAGE>
- 16 -
Section 1.72-9 of the Income Tax Regulations. Life expectancy of
a surviving spouse may be recalculated annually if Equitable
allows such recalculation pursuant to its rules in effect at the
time. In the case of any other designated beneficiary, life
expectancy will be calculated at the time payment first
commences and payments for any 12-consecutive month period will
be based on such life expectancy minus the number of whole years
passed since distribution first commenced.
"(d) For purposes of this requirement, any amount paid to a child of
the Participant will be treated as if it has been paid to the
surviving spouse if the remainder of the interest becomes
payable to the surviving spouse when the child reaches the age
of majority."
<PAGE>
- 17 -
13. In Section 5.40 entitled "Beneficiary" the fifth paragraph is amended as
of January 1, 1985 to read as follows:
"If the Participant so elects in writing, any amount that would
otherwise be payable to the beneficiary in a single sum may be
applied to provide an Annuity Benefit, on the form of annuity elected
by the Participant with respect to the beneficiary subject to the
provisions of Section 4.05 and to Equitable's rules then in effect.
If at the death of a Participant there is no election in effect to
apply the Death Benefit to provide an Annuity Benefit, the
beneficiary may make such an election subject to the provisions of
Section 4.05 and Equitable's rules then in effect."
<PAGE>
RIDER TO 300 SERIES GROUP IRA CERTIFICATE
Effective as of the later of the date specified below or the Participant's
Enrollment Date, we have amended the Certificate issued under Group Annuity
Contract AC 5361 as follows:
1. The first page is hereby amended as follows:
A. Effective as of May 1, 1987, the first and second agreements are hereby
amended to read as follows:
"To allocate the contributions made on the Participant's behalf under
the Contract to the Account or Accounts maintained for such
Participant;
To apply the amounts the Participant has in his Investment Accounts to
provide an annuity, periodic distribution or cash value benefit at the
Participant's Retirement Date; and"
B. Effective as of May 1, 1987, the provision entitled "Ten Days to
Review" is hereby amended to read as follows:
"The Participant may end participation under the Contract and cancel
this certificate by mailing it
<PAGE>
- 2 -
to Equitable (at the address shown on page 3) within ten days after
receipt. If the Participant does this, Equitable will refund any
contribution made under the Contract on the Participant's behalf, or,
if greater, with respect to contributions to the Investment Divisions
of the Separate Account, the Participant's Account Balances in those
Investment Divisions on the date the cancelled certificate is received
by Equitable."
C. Effective as of May 1, 1987, the last paragraph is hereby amended to
read as follows:
"ASSETS HELD IN CONNECTION WITH THE CONTRACT MAY BE HELD IN ONE OR MORE
INVESTMENT DIVISIONS OF THE SEPARATE ACCOUNT MAINTAINED BY EQUITABLE
AND MAY INCREASE OR DECREASE IN VALUE AS DESCRIBED IN THE CONTRACT."
2. Effective as of May 1, 1987, the Table of Contents is hereby amended by
deleting the reference to "The Separate Account" and substituting reference
to "The Separate Account and Its Investment Divisions."
<PAGE>
- 3 -
3. On page 3, the following amendments are made:
A. Effective as of May 1, 1987, the Equitable office address is hereby
amended to read as follows:
"The Equitable Life Assurance Society
P.O. Box 182093
Columbus, Ohio 43218"
B. Effective as of May 1, 1987, the Section entitled "Available Investment
Accounts" is hereby amended to read as follows:
"Investment Accounts Applicable Investment
------------------- Medium ("General Account")
--------------------------
Guaranteed Rate Account General Account
Investment Account Applicable Investment
------------------ Medium ("Investment Division")
------------------------------
Money Market Investment Money Market
Account Division
Stock Investment Account Stock Division
Bond Investment Account Bond Division
Balanced Investment Account Balanced Division
Aggressive Stock Investment Aggressive
Account Division
High Yield Investment High Yield
Account Division
Global Investment Account Global Division"
<PAGE>
- 4 -
Assets of the Investment Divisions are subject to charges, to be made as
described in Section 2.02.
The underlying investment policy of the corresponding fund ("Fund") of the
Harmony Investment Trust ("Trust") in which the Investment Division holds
shares, is as described in the prospectus and the statement of additional
information for the Trust, as amended from time to time.
4. In Section 1.05 entitled "Retirement Date" the following amendments are
made:
A. Effective as of May 1, 1987, the last sentence of the first paragraph
is hereby amended to read as follows:
"Any election for such change must be made in writing by the
Participant and shall not take effect until received by Equitable at:
The Equitable Life Assurance Society, P.O. Box 182093, Columbus,
Ohio 43218, or any other address that Equitable designates in written
notice to the Participant."
B. Effective as of January 1, 1985, the second paragraph is hereby amended
to read as follows:
"Any Retirement Date must be on the first day of a calendar month and
no Retirement
<PAGE>
- 5 -
Date shall be earlier than the date of the Participant's attainment of
age 59 years and 6 months and not later than the first day of April
following the calendar year in which the Participant attains the age of
70 years and 6 months."
5. In Section 1.06 entitled "Definitions Relating to the Guaranteed Rate
Account" the following amendments are made:
A. Effective as of February 1, 1986, the definition of "Guarantee Rate" in
the fourth paragraph thereof is hereby amended by deleting the phrase
"15 days" and by substituting the phrase "10 days".
B. Effective as of January 1, 1986, the following last sentence is added
in the second paragraph of the definition of "Guarantee withdrawal
Charge" as follows:
"The Withdrawal Charge will be deducted from the remaining amounts in
the Participant's Guarantee after the withdrawal payment is processed,
except the Withdrawal Charge may be deducted from the withdrawal
payment if there is an insufficient amount in the participant's
Guarantee to pay such charge."
<PAGE>
- 6 -
6. Effective as of May 1, 1987, Part I entitled "Definitions" is hereby
amended by adding the following Section 1.08 at the end thereof:
"SECTION 1.08. REORGANIZATION DATE
The term "Reorganization Date" means May 1, 1987."
7. Effective as of May 1, 1987, Part II entitled "The Separate Accounts" is
hereby amended to read as follows:
"PART II - THE SEPARATE ACCOUNT AND ITS INVESTMENT DIVISIONS
------- ------------------------------------------------
SECTION 2.01 THE SEPARATE ACCOUNT AND ITS INVESTMENT DIVISIONS
The term "Separate Account" means the Separate Account No. 301
established by Equitable and maintained under the laws of the State of
New York. Realized and unrealized gains and losses from the assets of
the Separate Account are credited or charged against it without regard
to other income, gains or losses of Equitable. Assets are put in the
Separate Account to support the certificates issued under the Contract
and other variable annuity contracts and certificates. Assets may be
put
<PAGE>
- 7 -
in the Separate Account for other purposes, but not to support
contracts, policies or other agreements which are not variable in form.
On the Reorganization Date, Equitable exercised its rights under the
Contract and the certificates to operate Separate Account Nos. 301,
302, 303 and 304 (collectively, the "Predecessor Separate Accounts") as
a unit investment trust under the Investment Company Act of 1940. As a
result, the Predecessor Separate Accounts have been combined with and
into the Separate Account.
The Separate Account now operates in unit investment form and consists
of Investment Divisions, as specified on page 3. Each of the
Investment Divisions may invest its assets in a separate class of
shares of a designated investment company in which each class
represents a separate portfolio in the investment company. The
Investment Divisions available on the Reorganization Date were the
Money Market Division, the Stock Division, the Bond Division, the
Balanced Division, the Aggressive Stock Division, the High Yield
Division and the Global Division.
<PAGE>
- 8 -
On the Reorganization Date, the investment assets and liabilities of
the Predecessor Separate Accounts were transferred to the Separate
Account which transferred its investment assets and liabilities to the
corresponding funds of the Trust. The transfer to the Funds did not
change the Participant's existing Account Balances on the date of
transfer. As of the Reorganization Date, the Money Market Division
holds shares of the Money Market Fund, the Stock Division holds shares
of the Common Stock Fund, the Bond Division holds shares of the Bond
Fund and the Balanced Division holds shares of the Balanced Fund.
Subsequent to the Reorganization Date, the Aggressive Division will
hold shares of the Aggressive Fund, the High Yield Division will hold
shares of the High Yield Fund and the Global Division will hold shares
of the Global Fund.
The assets of the Separate Account are the property of Equitable. The
portion of assets in the Separate Account equal to the reserves and
other contract liabilities with respect to
<PAGE>
- 9 -
the Separate Account will not be chargeable with liabilities arising
out of any other business conducted by Equitable. Equitable reserves
the right to transfer assets of an Investment Division in excess of the
reserves and other liabilities with respect to that Investment Division
to another Investment Division or to the general assets of Equitable
("General Account"), which supports the guarantees of the Contract and
other contracts.
Equitable may, at its discretion, make other Investment Divisions
available to participants. Equitable will provide Participants with
written notice of all material details covering investment objectives
and all charges, which may include expenses and fees, if any, incurred
by the investment company.
Equitable reserves the right, subject to compliance with applicable
law, including approval of the Contract Holder or Participants, if
required, (1) to cause the registration or deregistration of the
Separate Account under the Investment Company Act of
<PAGE>
- 10 -
1940, (2) to operate the Separate Account under the direction of a
committee and to discharge such committee at any time, (3) to restrict
or eliminate any voting rights of Participants or other persons who
have voting rights as to the Separate Account, (4) to add, change or
remove the designated investment company, (5) to add, change or remove
Investment Divisions, (6) to combine any two or more Investment
Divisions, (7) to transfer assets from any one of the Investment
Divisions to another Investment Division, and (8) to operate the
Separate Account or one or more of the Investment Divisions by making
direct investments or in any other form Equitable in its sole
discretion determines. The term "Investment Division" refers to any
other Investment Division in which the assets of a class of
certificates to which the Contract belongs are placed. Equitable may,
however, at its discretion, invest the assets of the Separate Account
or one or more of the Investment Divisions in any investment permitted
by applicable law.
<PAGE>
- 11 -
Equitable may rely conclusively on the opinion of counsel (including
attorneys in its employ) as to what investments it is permitted by law
to make. In addition, unless otherwise required by law or regulation,
an investment adviser or any investment policy may not be changed
without the consent of Equitable.
If any of the above changes result in a material change in the
underlying investments of an Investment Division of the Separate
Account, Equitable will notify the Participant of such change. If the
Participant has value in that Investment Division, the Participant may
request Equitable in writing to transfer that value from that
Investment Division (without charge) to another Investment Division of
the Separate Account, and may additionally change the allocation
percentages applicable to future Contributions made for him or her.
Equitable will value the assets of each Investment Division on each
Business Day, in accordance with the provisions of Section 2.02.
<PAGE>
- 12 -
SECTION 2.02 DEFINITIONS RELATING TO THE INVESTMENT DIVISIONS.
VALUATION PERIOD. For an Investment Division, the "Valuation Period"
starts at the end of each Business Day and ends at the corresponding
time on the next Business Day, and includes any non-business day or
consecutive non-business days immediately preceeding such Business Day.
A "Business Day" is each weekday, excluding business holidays or other
days on which changes in the value of securities held by the Separate
Account (or any Investment Division) will not materially affect a
Participant's value in the Separate Account (or such Investment
Division).
NET ASSETS: For an Investment Division, the "Net Assets" equal the
value of the assets in the Investment Division at the close of business
of a Valuation Period, minus the sum of (1) Expenses, and (2) any
amount charged against the Investment Division in such Valuation Period
for taxes or for amounts set aside by Equitable as a reserve for taxes
attributable to the maintenance or operation
<PAGE>
- 13 -
of the Investment Division. The net asset value of a designated
investment company's shares held in each Investment Division shall be
the value reported to Equitable by such investment company.
NET INVESTMENT FACTOR. For an Investment Division, the "Net Investment
Factor" for a Valuation Period is (1) the Net Assets at the close of
business of that Valuation Period, prior to giving effect to any
amounts allocated to or withdrawn from the Investment Division during
that Valuation Period divided by (2) the Investment Division's Net
Assets at the close of business of the preceding Valuation Period.
UNIT. The "Unit" is a unit used in determining the value of a
Participant's interest in an Investment Division for the period during
which the Participant has contributions allocated to such Investment
Division.
UNIT VALUE. The "Unit Value" for each Investment Division on the first
day
<PAGE>
- 14 -
contributions are allocated to the Separate Account will be equal to
the Unit Value of the corresponding Predecessor Separate Account for
the preceding Valuation Period multiplied by the Net Investment Factor
applicable to such Investment Division. The Unit Value for each
Investment Division for which there is no Predecessor Separate Account
will be equal to $10.00 on the first day contributions are allocated to
such Investment Division. The Unit Value for each subsequent Valuation
Period with respect to an Investment Division is the Unit Value for the
immediately preceding Valuation Period multiplied by the Net Investment
Factor for such subsequent Valuation Period.
EXPENSES: For a Valuation Period, the Expenses which may be charged to
an Investment Division are as follows:
(1) Any amount charged against the Investment Division by Equitable
during such Valuation Period to cover certain expenses incurred in
the operation of the Separate Account and the Investment
<PAGE>
- 15 -
Divisions, including, but not limited to, taxes, interest,
Securities and Exchange Commission charges and certain related
expenses including printing of registration statements and
amendments, outside auditing and legal expenses and certain costs
of maintaining participant services, including recordkeeping
services.
(2) The daily charge against the Investment Division for each day in
such Valuation Period for administrative expense charges,
calculated on the basis of an effective annual rate of 0.25% of the
value of the assets in the Investment Division.
If the aggregate expenses of an Investment Division for a calendar
year (including the charges described in sub-paragraphs (1) and (2)
of this definition and investment advisory fees of the Trust
("Investment Advisory Fee") and certain other expenses attributable
to the assets of the Investment Division
<PAGE>
- 16 -
invested in a corresponding Fund of the Trust, but excluding
interest, taxes, brokerage and, with the consent of appropriate
state regulatory authorities, extraordinary expenses) exceed a
charge determined on the basis of an effective annual rate of (i)
1.0% of the value of the Money Market Division's average daily Net
Assets in such Investment Division during such calendar year, or
(ii) 1.5% of the value of the Stock Division, the Bond Division or
the Balanced Division's average daily Net Assets in such Investment
Division during such calendar year, then Equitable shall reimburse
such Investment Division for the excess charged to such Investment
Division.
Notwithstanding anything to the contrary, if a Participant's
Enrollment Date is prior to the Reorganization Date, the Investment
Advisory Fee chargeable to such Participant's proportionate Account
Balances invested in the corresponding Fund on each day in such
Valuation Period, shall not exceed a charge,
<PAGE>
- 17 -
determined on the basis of an effective annual rate of (i) as to
the Money Market Fund and the Bond Fund, 0.35% of the first $250
million, 0.325% of the next $250 million and 0.30% of the amount in
excess of $500 million of the value of the assets of the Separate
Account then invested in such Fund, and (ii) as to the Common Stock
Fund and the Balanced Fund, 0.50% of the first $250 million, 0.45%
of the next $250 million and 0.40% of the amount in excess of $500
million of the value of the assets of the Separate Account then
invested in such Fund."
8. In Section 3.01 entitled "Accounts" the following amendments are made:
A. Effective as of May 1, 1987, the last sentence of the first
paragraph is hereby amended to read as follows:
"Any amounts allocated to an Investment become part of the General
Account or part of an Investment Division of the Separate Account
applicable to that Investment Account, as specified on page 3."
<PAGE>
- 18 -
B. Effective as of May 1, 1987, the last paragraph is hereby amended
to read as follows:
"Any amounts withdrawn from an Investment Account will no longer be
part of the General Account or the applicable Investment Division."
9. Effective as of May 1, 1987, in Section 3.02 entitled "Account Balances of
Investment Accounts" the first sentence is hereby amended by deleting the
term "Separate Account" and by substituting the term "Investment Division".
10. In Section 3.03 entitled "Contributions" the following amendments are made:
A. Effective as of February 1, 1986, condition number 3 is amended by
deleting the phrase "fifteen calendar days" both places it appears
and by substituting the phrase "twenty calendar days."
B. Effective as of January 1, 1985, a new condition number 6 is added
to read as follows:
"6. No contributions, other than cash contributions, will be
accepted."
<PAGE>
- 19 -
C. Effective as of January 1, 1987, a new condition 7 is added to read
as follows:
"7. The Participant shall be responsible, for tax purposes, for
maintaining records as to the amount of contributions which are
deductible and non-deductible made by or on behalf of such
Participant."
11. In Section 3.04 entitled "Allocations" the following amendments are made:
A. Effective as of May 1, 1987, condition number 3 is hereby amended
to read as follows:
"Any contribution made without appropriate direction as to its
allocation will be allocated to the Participant's Money Market
Investment Account."
B. Effective as of February 1, 1986, condition number 4 is hereby
amended by deleting the phrase "fifteen calendar days" in the
second sentence thereof and by substituting the phrase "twenty
calendar days".
<PAGE>
- 20 -
C. Effective as of May 1, 1987, the following new paragraph is hereby
added to the end thereof:
"For individuals who are Participants on the Reorganization Date,
allocations of contributions made after the Reorganization Date
will be on the basis of the allocation percentages in effect
immediately before the Reorganization Date unless changed by such
Participant in accordance with the foregoing provisions of this
Section. Accordingly, contributions which would otherwise have been
allocated to the Predecessor Separate Account No. 301 will be
allocated to the Money Market Division, contributions which would
otherwise have been allocated to the Predecessor Separate Account
No. 302 will be allocated to the Stock Division, contributions
which would otherwise have been allocated to the Predecessor
Separate Account No. 303 will be allocated to the Bond Division,
and contributions which would otherwise have been allocated to the
Predecessor Separate Account No. 304 will
<PAGE>
- 21 -
be allocated to the Balanced Division. Contributions which were
allocated to the Participant's General Rate Account will continue
to be allocated to the General Rate Account."
12. Effective as of February 1, 1986, in Section 3.05 entitled "Transfers"
condition number 4 is hereby amended by deleting the phrase "fifteen
calendar days" in both places it appears and by substituting the phrase
"twenty calendar days".
13. Effective as of January 1, 1986, in Section 3.06 entitled "Partial
Withdrawals" the second paragraph is hereby amended by deleting the first
sentence therein and replacing it with the following two sentences:
"Upon partial withdrawal, Equitable will pay the Participant the
lesser of (i) the amount of partial withdrawal requested or (ii)
the sum of the Account Balances of his Investment Accounts other
than the Guaranteed Rate Account. A process charge of $5 will be
deducted from the remaining Account Balances of the Participant's
Investment Accounts after the partial withdrawal payment is
<PAGE>
- 22 -
processed; provided, however, the processing charge may instead be
deducted from the partial payment."
14. In Section 3.10 entitled "Death or Disability Benefit" the following
amendments are made:
A. Effective as of January 1, 1987, the first sentence is hereby
amended by deleting the reference to "Section 408(f)(3)" and by
substituting reference to "Section 72(m)(7)".
B. Effective as of May 1, 1987, a new last sentence is added to the
first paragraph to read as follows:
"Due proof of such death or disability must be received by
Equitable at: The Equitable Life Assurance Society, P.O. Box
182093, Columbus, Ohio 43218, or any other address Equitable
designates in written notice to the Participant."
C. Effective as of January 1, 1986, the second paragraph is hereby
amended to read as follows:
"Payment to the Participant or the beneficiary may be deferred by
Equitable
<PAGE>
- 23 -
in accordance with the provisions of Section 5.06."
15. In Section 3.11 entitled "Optional Modes of Settlement" the following
amendments are made:
A. Effective as of January 1, 1985, the first paragraph is hereby
amended to read as follows:
"Any Participant may elect that the whole or any part of any amount
that would otherwise be payable to the Participant's designate of
beneficiary in a single sum be paid to such beneficiary under an
optional mode of settlement, subject to the provisions of
Section 4.05 and to Equitable's rules in effect at the time of
election. A beneficiary may make such an election after the
Participant's death if no such election made by the Participant
is then in effect."
B. Effective as of May 1, 1987, the last sentence of the third
paragraph is hereby amended to read as follows:
"Any election, designation, revocation or change shall be effective
as of the date
<PAGE>
- 24 -
written notice thereof is received by Equitable at: The Equitable
Life Assurance Society, P.O. Box 182093, Columbus, Ohio 43218, or
any other address that Equitable designates in written notice to
the Participant."
16. Effective as of May 1, 1987, in Section 4.01 entitled "Annuity Benefit" the
second paragraph is hereby amended to read as follows:
"The term "Annuity Value" means the amount, determined on the
participant's Retirement Date, equal to the sum of the Account
Balances of the Participant's Investment Accounts and the Cash
Value of the Participant's Guaranteed Rate Account."
17. Effective as of January 1, 1985, Section 4.02 entitled "Election and
Commencement of Annuity Benefits" is hereby amended by adding the following
paragraphs at the end thereof:
"Notwithstanding anything in the Contract or the certificate to the
contrary, the entire value of the Participant's Accounts (less
<PAGE>
- 25 -
applicable charges as determined by Equitable pursuant to the terms
of the Contract or the certificate) will be distributed or commence
to be distributed no later than the participant's Retirement Date
in equal or substantiallY equal amounts over (a) the life of such
Participant, or the lives of such Participant and his designated
beneficiary, or (b) a period not extending beyond the life
expectancy of such Participant, or the joint and last survivor life
expectancy of such Participant and his designated beneficiary.
If the participant's Accounts (less applicable charges as
determined by Equitable pursuant to the terms of the Contract) are
to be distributed in other than a lump sum, then the amount to be
distributed each year (commencing with the Participant's Retirement
Date and each anniversary thereafter) must be at least an amount
equal to the quotient obtained by dividing the Amount Applied by
the life expectancy or the joint and last survivor life expectancy
of the Participant and his designated beneficiary.
<PAGE>
- 26 -
If permitted by Equitable pursuant to its rules in effect at the
time, the life expectancy of the Participant or the joint and
last survivor life expectancy of the Participant and his spouse
may be recalculated once each year. The life expectancy of a
beneficiary other than the Participant's spouse may not be
recalculated after distribution has commenced."
18. In Section 4.04 entitled "Periodic Distribution Option" the following
amendments are made:
A. Effective as of January 1, 1985, the first paragraph is hereby
amended to read as follows:
"The Participant may elect pursuant to Section 4.02 to receive the
Account Balance of each of the Participant's Investment Accounts
other than the Guaranteed Rate Account under the periodic
distribution option. Such option, subject to the conditions set
forth in the following paragraph, provides a series of monthly
installment payments over a number of whole years beginning as of
the
<PAGE>
- 27 -
Participant's Retirement Date, such number of whole years being the
lesser of (i) the number of whole years designated by the
Participant before the Participant's Retirement Date and (ii) the
number of years equal to the greater of the life expectancy of the
Participant and the joint and last survivor life expectancy of the
Participant and the Participant's designated beneficiary as of the
Participant's Retirement Date, rounded to the next lower whole
year. If permitted by Equitable pursuant to its rules in effect at
the time, the life expectancy of the Participant or the joint and
last survivor life expectancy of the Participant and his spouse may
be recalculated once each year. The life expectancy of a
beneficiary other than the Participant's spouse may not be
recalculated after distribution has commenced."
<PAGE>
- 28 -
B. Effective as of January 1, 1986, the last sentence of condition
number 2 is hereby amended by deleting it and replacing it with the
following two sentences:
"2. The amount of each such monthly installment payment shall be
determined by dividing the sum of the Account Balances of the
Participant's Investment Accounts as of the first day of each
such month by the number of months then remaining under the
periodic distribution option. A monthly transaction charge of
$1.50 will be deducted proportionately from the remaining
Account Balances of the Participant's Investment Accounts
after each such monthly installment payment is determined;
provided, however, that the transaction charge of $1.50 may be
deducted from the last payment made."
C. Effective as of January 1, 1986, condition number 3 is hereby
amended to read as follow:
"3. Each monthly installment payment will be withdrawn from the
Participant's
<PAGE>
- 29 -
Investment Accounts in proportion to the amount of the
Participant's interest in each such Investment Account immediately
before such payment is made."
19. Effective as of January 1, 1985, in Section 4.05 entitled "Payment of
Benefits" the first paragraph is deleted and the following paragraphs are
inserted in its place, to read as follows:
"With regard to any form of benefit elected in accordance with
Section 4.02, if the participant dies before the entire interest is
distributed, the following distribution provisions shall apply:
(a) If the participant dies after distribution of his interest in
the Accounts has commenced, the remaining portion of such
interest will continue to be distributed at least as rapidly
as under the method of distribution being used prior to the
Participant's death. If a distribution for a period certain
in accordance with Section 4.04 had commenced prior to the
<PAGE>
- 30 -
Participant's death, then the distribution shall be made to
the Participant's beneficiary, limited in accordance with the
option selected.
(b) If the Participant dies before distribution of his interest in
the Accounts commences, the Participant's entire interest will
be distributed in accordance with one of the following four
provisions:
(1) The Participant's entire interest will be paid within
5 years after the date of the Participant's death.
(2) If the Participant's interest is payable to a beneficiary
designated by the Participant and the Participant has not
elected (1) above, then the entire interest will be
distributed in substantially equal installments over the
life or life expectancy of the designated beneficiary
<PAGE>
- 31 -
commencing no later than one year after the date of the
Participant's death. The designated beneficiary may elect
at any time to receive greater payments.
(3) If the designated beneficiary of the Participant is the
Participant's surviving spouse, the spouse may elect
within the 5 year period commencing with the Participant's
date of death to receive equal or substantially equal
payments over the life or life expectancy of the surviving
spouse commencing on any date prior to the date on which
the deceased Participant would have attained the age of
70 1/2. The surviving spouse may accelerate these payments
at any time, by either increasing the frequency or amount
of such payments.
(4) If the designated beneficiary is the Participant's
surviving
<PAGE>
- 32 -
spouse, the surviving spouse may treat the Participant's
Accounts as his or her own individual retirement account
("IRA"). This election will be deemed to have been made if
such surviving spouse makes a regular IRA contribution to
the Accounts, makes a rollover to or from such Accounts,
or fails to elect any of the above three provisions.
If permitted by Equitable pursuant to its rules in effect at
the time, the life expectancy of the surviving spouse may be
recalculated once each year. The life expectancy of a
beneficiary other than the surviving spouse will be determined
at the time payment first commences and payments for any
12-consecutive month period will be based on such life
expectancy minus the number of whole years passed since
distribution first commenced. The life expectancy of a
beneficiary other than the surviving spouse may not be
<PAGE>
- 33 -
recalculated after distribution has commenced.
(d) For purposes of this requirement, any amount paid to a child
of the Participant will be treated as if it had been paid to
the Participant's surviving spouse if the remainder of the
interest becomes payable to the surviving spouse when the
child reaches the age of majority."
20. Effective as of January 1, 1985, in Section 5.04 entitled "Beneficiary" the
fifth paragraph is hereby amended to read as follows:
"If the Participant so elects in writing, any amount that would
otherwise be payable to the beneficiary in a single sum may be
applied to provide an Annuity Benefit, on the form of annuity
elected by the Participant with respect to the beneficiary, subject
to the provisions of Section 4.05 and to Equitable's rules then in
effect. If at the death of a Participant there is no election in
effect to
<PAGE>
- 34 -
apply the Death Benefit to provide an Annuity Benefit, the
beneficiary may make such an election subject to the provisions of
Section 4.05 and Equitable's rules then in effect."
<PAGE>
Consolidated Rider To 300+ Series Group IRA Certificate
Effective as of the later of the date specified below or the Participant's
Enrollment Date, we have amended the Certificate issued under Group Annuity
Contract AC 5361 as follows:
1. The first page is hereby amended as follows:
A. Effective as of May 1, 1987, the first and second agreements are
hereby amended to read as follows.
"To allocate the contributions made on the Participant's behalf
under the Contract to the Account or Accounts maintained for such
Participant;
To apply the amounts the Participant has in his or her
Investment Accounts to provide an annuity, periodic distribution
or cash value benefit at the Participant's Retirement Date; and"
B. Effective as of May 1, 1987, the provision entitled "Ten Days to
Review" is hereby amended to read as follows:
"The Participant may end participation under the Contract and
cancel this certificate by mailing it to Equitable (at the
address shown on page 3) within ten days after receipt. If the
Participant does this, Equitable will refund any contribution
made under the Contract on the Participant's behalf, or, if
greater, with respect to contributions to the Investment
Divisions of the Separate Account, the Participant's Account
Balances in those Investment Divisions on the date the canceled
certificate is received by Equitable."
C. Effective as of May 1, 1987, the last paragraph is hereby amended to
read as follows:
"ASSETS HELD IN CONNECTION WITH THE CONTRACT MAY BE HELD IN ONE
OR MORE INVESTMENT DIVISIONS OF THE SEPARATE ACCOUNT MAINTAINED
BY EQUITABLE AND MAY INCREASE OR DECREASE IN VALUE AS DESCRIBED
IN THE CONTRACT."
Page 1
<PAGE>
2. Effective as of May 1, 1987, the Table of Contents is hereby amended by
deleting the reference to "The Separate Accounts" and substituting
reference to "The Separate Account and Its Investment Divisions."
3. Effective as of March 21, 1994, on Page 3, the following amendments are
made:
A. The Participant's address will be added.
B. The Equitable office address is hereby amended to read as follows:
"The Equitable Life Assurance Society
Box 2468, GPO
New York, NY 10116"
C. The reference to "Minimum Contribution Requirement" is deleted.
D. The Section entitled "Available Investment Accounts" is hereby amended
to read as follows:
"Available Investment Accounts:
Guaranteed Rate Accounts High Yield Account
Money Market Account Global Account
Stock Account Growth & Income Account
Government Securities Account Growth Investors Account
Balanced Account Conservative Investors Account
Aggressive Stock Account
Equitable reserves the right to add or remove Investment Accounts in
accordance with Section 3.01."
4. Effective as of March 21, 1994, Section 1.02 entitled "Participant" is
amended by replacing (i) with the following:
(i) "a person who has been by Equitable under the Contract
through a Supplemental Agreement"
5. Effective as of March 21, 1994, Section 1.03 entitled "Group" is amended
by replacing the term "Administrative Agreement" with the term
"Supplemental Agreement."
6. Effective as of March 21, 1994, in Section 1.04 entitled "Administrative
Agreement", the following amendments are made:
A. The title "Administrative Agreement" is changed to read "Supplemental
Agreement."
Page 2
<PAGE>
B. The first sentence is amended to read as follows:
"The term 'Supplemental Agreement' means any written understanding
between the Group and Equitable which, among other things, may
describe..."
7. In Section 1.05 entitled "Retirement Date" the following amendments are
made:
A. Effective as of March 21, 1994, the last sentence of the first
paragraph is hereby amended to read as follows:
"Any election for such change must be made in writing by
Participant and shall not take effect until received by
Equitable at the Equitable office address on page 3, or any
other address that Equitable designates in written notice to the
Participant."
B. Effective as of January 1, 1985, the second paragraph is hereby
amended to read as follows:
"Any Retirement Date must be on the first day of a calendar
month and no Retirement Date shall be earlier than the date of
the Participant's attainment of age 59 years and 6 months and
not later than the first day of April following the calendar
year in which the Participant attains the age of 70 years and 6
months."
8. In Section 1.06 entitled "Definitions Relating to the Guaranteed Rate
Account" the following amendments are made:
A. Effective as of March 21, 1994, the paragraph entitled Guarantee Rate
is amended to read as follows:
"Guarantee Rate: The Guarantee Rate for a particular Guarantee
is the effective annual rate of interest applicable throughout
the Duration of that Guarantee. The open period for such a
Guarantee Rate will be from the date it is declared through the
last day of the Contribution Quarter or until Equitable
establishes a new Guarantee Rate during such Contribution
Quarter. Equitable will establish and announce the first
Guarantee Rate of a given Contribution Quarter at least 10 days
prior to the commencement of the Contribution Quarter. Equitable
reserves the right, however, to change the Guarantee Rate during
a Contribution Quarter. Each
Page 3
<PAGE>
contribution or transfer shall be credited with the Guarantee
Rate in effect on the date of its receipt and shall not be
affected by any subsequent change in the Guarantee Rate offered
by Equitable. The Guarantee Rate will never be less than 3% per
annum."
B. Effective as of March 21, 1994, the first sentence of the definition
of "Guarantee Withdrawal Charge" is amended to read as follows:
"Any transfers or withdrawals with respect to a Guarantee prior
to the end of the Duration of that Guarantee, except for
withdrawals for Participant Service Charges as set forth in
Section 3.08, for death or disability benefits as set forth in
Section 3.10, or upon the election of an Annuity Benefit
pursuant to Section 4.03 or a periodic distribution option in
accordance with Section 4.04, will be subject to a Withdrawal
Charge."
C. Effective as of January 1, 1986, the following last sentence is added
in the second paragraph of the definition of "Guarantee Withdrawal
Charge" as follows:
"The Withdrawal Charge will be deducted from the remaining
amounts in the Participant's Guarantee after the withdrawal or
transfer payment is processed; except the Withdrawal Charge may
be deducted from the withdrawal or transfer payment if there is
an insufficient amount in the Participant's Guarantee to pay
such a charge."
9. Effective as of May 1, 1987, Part I entitled "Definitions" is hereby
amended by adding the following Section 1.08 at the end thereof:
"SECTION 1.08. REORGANIZATION DATE
The term "Reorganization Date" means May 1, 1987."
10. Effective as of March 21, 1994, in Section 2.02 entitled "Definitions
Relating to the Investment Divisions" the second sentence of the
definition of "Valuation Period" is amended to read as follows:
"A 'Business Day' is any day on which Equitable's home office
and the New York Stock Exchange are both open for business."
Page 4
<PAGE>
11. Part II entitled "The Separate Accounts" is hereby amended effective as of
May 1, 1987, unless otherwise indicated, to read as follows:
"PART II - THE SEPARATE ACCOUNT AND ITS INVESTMENT DIVISIONS
SECTION 2.01 THE SEPARATE ACCOUNT AND ITS INVESTMENT DIVISIONS
The term "Separate Account" means the Separate Account No. 301
established by Equitable and maintained under the laws of the
State of New York. Realized and unrealized gains and losses from
the assets of the Separate Account are credited or charged
against it without regard to other income, gains or losses of
Equitable. Assets are put in the Separate Account to support the
certificates issued under the Contract and other variable
annuity contracts and certificates. Assets may be put in the
Separate Account for other purposes, but not to support
contracts, policies or other agreements which are not variable
in form.
On the Reorganization Date, Equitable exercised its rights under
the Contract and the certificates to operate Separate Account
Nos. 301,302,303 and 304 (collectively, the "Predecessor
Separate Accounts") as a unit investment trust under the
Investment Company Act of 1940. As a result, the Predecessor
Separate Accounts have been combined with and into the Separate
Account.
The Separate Account now operates in unit investment form and
consists of Investment Divisions. Each of the Investment
Divisions may invest its assets in a separate class of shares of
a designated investment company in which each class represents
a separate portfolio in the investment company. The Investment
Divisions are:
o the Money Market Division
o the Stock Division
o the Government Securities Division
o the Balanced Division
o the Aggressive Stock Division
o the High Yield Division
o the Global Division.
Page 5
<PAGE>
Beginning May 1, 1994, the following three Investment Divisions
will be available:
o the Growth and Income Division
o the Conservative Investors Division
o the Growth Investors Division.
On the Reorganization Date, the investment assets and
liabilities of the Predecessor Separate Accounts were
transferred to the Separate Account which transferred its
investment assets and liabilities to the corresponding funds of
the Harmony Investment Trust. On September 6, 1991, shares of
the Funds (the "Funds") of the Hudson River Trust (the "Trust")
were substituted for shares of the corresponding funds of the
Prism Trust (formerly the Harmony Investment Trust). At such
time, the Bond Division of the Prism Trust was merged into and
became part of the Government Securities Division of the Trust.
The transfer to the Funds did not change the Participant's
existing Account Balances on the date of transfer.
The assets of the Separate Account are the property of
Equitable. The portion of assets in the Separate Account equal
to the reserves and other contract liabilities with respect to
the Separate Account will not be chargeable with liabilities
arising out of any other business conducted by Equitable.
Equitable reserves the right to transfer assets of any
Investment Division in excess of the reserves and other
liabilities with respect to that Investment Division to another
Investment Division or to the general assets of Equitable
("General Account"), which supports the guarantees of the
Contract and other contracts.
Equitable may, at its discretion, make other Investment
Divisions available to Participants. Equitable will provide
Participants with written notice of all material details
covering investment objectives and all charges, which may
include expenses and fees, if any, incurred by the investment
company.
Equitable reserves the right, subject to compliance with
applicable law, including approval of the Contract Holder or
Participants, if required, (1) to cause the registration or
deregistration of the Separate Account under the investment
Company Act of 1940, (2) to operate the Separate Account under
the direction of a committee and
Page 6
<PAGE>
to discharge such committee at any time, (3) to restrict or
eliminate any voting rights of Participants or other persons who
have voting rights as to the Separate Account, (4) to add,
change or remove the designated investment company, (5) to add,
change or remove Investment Divisions, (6) to combine any two or
more Investment Divisions, (7) to transfer assets from any one
of the Investment Divisions to another Investment Division, and
(8) to operate the Separate Account or one or more of the
Investment Divisions by making direct investments or in any
other form Equitable in its sole discretion determines. The
term "Investment Division" refers to any other Investment
Division in which the assets of a class of certificates to which
the Contract belongs are placed. Equitable may, however, at its
discretion, invest the assets of the Separate Account or one or
more of the Investment Divisions in any investment permitted by
applicable law.
Equitable may rely conclusively on the opinion of counsel
(including attorneys in its employ) as to what investments it is
permitted by law to make. In addition, unless otherwise required
by law or regulation, an investment adviser or any investment
policy may not be changed without the consent of Equitable.
If any of the above changes result in a material change in the
underlying investments of an Investment Division of the Separate
Account, Equitable will notify the Participant of such change.
If the Participant has value in that Investment Division, the
Participant may request Equitable in writing to transfer that
value from that Investment Division (without charge) to another
Investment Division of the Separate Account, and may
additionally change the allocation percentages applicable to
future contributions made for him or her.
Equitable will value the assets of each Investment Division on
each Business Day, in accordance with the provisions of Section
2.02.
Page 7
<PAGE>
SECTION 2.02 DEFINITIONS RELATING TO THE INVESTMENT DIVISIONS.
VALUATION PERIOD: For an Investment Division, the "Valuation
Period" starts at the end of each Business Day and ends at the
corresponding time on the next Business Day, and includes any
non-business day or consecutive non-business days immediately
preceding such Business Day. A "Business Day" is each weekday,
excluding business holidays or other days on which changes in
the value of securities held by the Separate Account (or any
Investment Division) will not materially affect a Participant's
value in the Separate Account (or such Investment Division).
NET ASSETS: For an Investment Division, the "Net Assets" equal
the value of the assets in the Investment Division at the close
of business of a Valuation Period, minus the sum of (1)
Expenses, and (2) any amount charged against the Investment
Division in such Valuation Period for taxes or for amounts set
aside by Equitable as a reserve for taxes attributable to the
maintenance or operation of the Investment Division. The net
asset value of a designated investment company's shares held in
each Investment Division shall be the value reported to
Equitable by such investment company.
NET INVESTMENT FACTOR: For an Investment Division, the "Net
Investment Factor" for a Valuation Period is (1) the Net Assets
at the close of business of that Valuation Period, prior to
giving effect to any amounts allocated to or withdrawn from the
Investment Division during that Valuation Period, divided by (2)
the Investment Division's Net Assets at the close of business of
the preceding Valuation Period.
UNIT: The "Unit" is a unit used in determining the value of a
Participant's interest in an Investment Division for the period
during which the Participant has contributions allocated to such
Investment Division.
UNIT VALUE: The "Unit Value" for each Investment Division on the
first day contributions are allocated to the Separate Account
will be equal to the Unit Value of the corresponding Predecessor
Separate Account for the preceding Valuation Period multiplied
by the Net
Page 8
<PAGE>
Investment Factor applicable to such Investment Division. The
Unit Value for each Investment Division for which there is no
Predecessor Separate Account will be equal to $10.00 on the
first day contributions are allocated to such Investment
Division. The Unit Value for each subsequent Valuation Period
with respect to an Investment Division is the Unit Value for the
immediately preceding Valuation Period multiplied by the Net
Investment Factor for such subsequent Valuation Period.
EXPENSES: For a Valuation Period, the Expenses which may be
charged to an Investment Division are as follows:
(1) Any amount charged against the Investment Division by
Equitable during such Valuation Period to cover certain expenses
incurred in the operation of the Separate Account and the
Investment Divisions, including, but not limited to, taxes,
interest, Securities and Exchange Commission charges and certain
related expenses including printing of registration statements
and amendments, outside auditing and legal expenses and certain
costs of maintaining participant services, including
recordkeeping services.
(2) The daily charge against the Investment Division for each
day in such Valuation Period for administrative expense charges,
calculated on the basis of an effective annual rate of 0.25% of
the value of the assets in the Investment Division.
If the aggregate expenses of an Investment Division for a
calendar year (including the charges described in sub-
paragraphs (1) and (2) of this definition and investment
advisory fees of the Trust ("Investment Advisory Fee") and
certain other expenses attributable to the assets of the
Investment Division invested in a corresponding Fund of the
Trust, but excluding interest, taxes, brokerage and, with the
consent of appropriate state regulatory authorities,
extraordinary expenses) exceed a charge determined on the basis
of an effective annual rate of (i) 1.0% of the value of the
Money Market Division's average daily Net Assets in such
Investment Division during such calendar year, or (ii) 1.5% of
the value of the Stock Division, the Government Securities
Division or Balanced Division's average daily Net Assets in such
Page 9
<PAGE>
Investment Division during such calendar year, then Equitable
shall reimburse such Investment Division for the excess charged
to such Investment Division.
Notwithstanding anything to the contrary, if a Participant's
Enrollment Date is prior to the Reorganization Date, the
Investment Advisory Fee chargeable to such Participant's
proportionate Account Balances invested in the corresponding
Fund on each day in such Valuation Period, shall not exceed a
charge, determined on the basis of an effective annual rate of
(i) as to the Money Market Fund and the Government Securities
Fund, 0.35% of the first $250 million, 0.325% of the next $250
million and 0.30% of the amount in excess of $500 million of the
value of the assets of the Separate Account then invested in such
Fund, and (ii) as to the Common Stock Fund and the Balanced
Fund, 0.50% of the first $250 million, 0.45% of the next $250
million and 0.40% of the amount in excess of $500 million of the
value of the assets of the Separate Account then invested in such
Fund."
12. In Section 3.01 entitled "Accounts" the following amendments are made:
A. Effective immediately, the reference in the first paragraph to
"Subsection 2 of Section 3.04" should be corrected to read
"Subparagraph 2 of Section 3.03."
B. Effective as of May 1, 1994, the third and fourth sentences of the
first paragraph are hereby amended to read as follows:
"The Investment Accounts made available to the Participant are
as specified on Page 3. Equitable reserves the right to add or
remove Investment Accounts. Any amounts allocated to an
Investment Account will either become part of the General
Account or part of an Investment Division of the Separate
Account applicable to that Investment Account."
C. Effective as of May 1, 1987, the last paragraph is hereby amended to
read as follows:
"Any amounts withdrawn from an Investment Account will no longer
be part of the General Account or the applicable Investment
Division."
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<PAGE>
13. Effective as of May 1, 1987, in Section 3.02 entitled "Account Balances of
Investment Accounts" the first sentence is hereby amended by deleting the
term "Separate Account" and by substituting the term "Investment
Division".
14. In Section 3.03 entitled "Contributions" the following amendments are
made:
A. Effective March 21, 1994, subparagraph number 1 is hereby amended to
read as follows:
"1. Contributions may be made for the Participant through a
Supplemental Agreement. Any contribution made for the
Participant by any means other than through payroll deduction by
the Participant's employer pursuant to a Supplemental Agreement
may be made only subject to Equitable's rules then in effect."
B. Effective as of February 26, 1993, subparagraph number 2 is hereby
amended to read as follows:
"2. A contribution may be made under the Contract for a Participant
consisting of amounts derived from a rollover contribution (as
described by one of the following Internal Revenue Code
Sections: 402(c), 403(a)(4), 403(b)(8) or 408(d)(3); or for
contracts issued before the Unemployment Compensation Amendments
of 1992, by Internal Revenue Code Sections 402(a)(5), 402(a)(6),
or, 402(a)(7))."
C. Effective as of March 21, 1994, subparagraph numbers 3 and 4 are
deleted in their entirety.
D. Effective as of March 21, 1994, subparagraph number 6 is added to read
as follows:
"6. No contributions, other than cash contributions, will be
accepted. Except in the case of a rollover contribution (as
permitted by Sections 402(c), 403(a)(4), 403(b)(8), or 408(d)(3)
of the Internal Revenue Code), or a Contribution made under the
terms of a Simplified Employee Pension as defined in Section
408(k) of the Internal Revenue Code, the total of such
Contributions will not exceed $2,000 for any taxable year.
Amounts transferred to the Contract from an
Page 11
<PAGE>
individual retirement account or annuity contract which meets
the requirements of Section 408 of the Internal Revenue Code are
not subject to the $2,000 limit."
E. Effective as of January 1, 1987, a new subparagraph number 7 is added
to read as follows:
"7. The Participant shall be responsible, for tax purposes, for
maintaining records as to the amount of contributions which are
deductible and non-deductible made by or on behalf of such
Participant."
15. In Section 3.04 entitled "Allocations" the following amendments are made:
A. Effective March 21, 1994, in subparagraph number 2, the reference to
"Administrative Agreement" is amended to read "Supplemental
Agreement."
B. Effective as of May 1, 1987, subparagraph number 3 is hereby amended
to read as follows:
"3. Any contribution made without appropriate direction as to its
allocation will be allocated to the Participant's Money Market
Investment Account."
C. Effective as of March 21, 1994, subparagraph number 4 is hereby
amended by changing the second sentence to read as follows:
"If a contribution made other than through payroll deduction
accompanies the written notice, the change shall be effective as
of the date of receipt of the contribution."
D. Effective as of May 1, 1987, the following new paragraph is hereby
added to the end thereof:
"For individuals who are Participants on the Reorganization
Date, allocations of contributions made after the Reorganization
Date will be on the basis of the allocation percentages in
effect immediately before the Reorganization Date unless changed
by such Participant in accordance with the foregoing provisions
of this Section.
Page 12
<PAGE>
Accordingly, contributions which would otherwise have been
allocated to the Predecessor Separate Account No. 301 will be
allocated to the Money Market Division, contributions which
would otherwise have been allocated to the Predecessor Separate
Account No.302 will be allocated to the Stock Division,
contributions which would otherwise have been allocated to the
Predecessor Separate Account No.303 will be allocated to the
Government Securities Division, and contributions which would
otherwise have been allocated to the Predecessor Separate
Account No.304 will be allocated to the Balanced Division.
Contributions which were allocated to the Participant's
Guaranteed Rate Account will continue to be allocated to the
Guaranteed Rate Account."
16. Effective as of March 21, 1994, in Section 3.05 entitled "Transfers" the
following amendments are made:
A. Subparagraph number 3 is deleted in its entirety.
B. Subparagraph number 4 is hereby amended to read as follows:
"4. Transfers may not be made from one Guarantee in the
Guaranteed Rate Account to another. Transfers from a
Guarantee in the Guaranteed Rate Account may not be made
during the Contribution Quarter with respect to that
Guarantee. Any other transfer may be made at any time."
17. Effective as of March 21, 1994, Section 3.06 entitled "Partial
Withdrawals" is amended to read as follows:
A. In the first paragraph, the dollar amount of $10 listed in the second
sentence is amended to $100.
B. The second paragraph is hereby amended by deleting all references to
the $5 processing charge in the first sentence.
C. The third sentence of the second paragraph is deleted in its entirety.
18. Effective March 21, 1994 in Section 3.08 entitled "Participant Service
Charge" the following amendments are made:
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<PAGE>
A. All references to the "Administrative Agreement" shall be replaced by
"Supplemental Agreement."
B. The third and fourth sentences of the second paragraph are replaced
by the following:
"The Participant Service Charge will be deducted from each
Participant's Accounts, and within those Accounts from the
Participant's balance in each Investment Account, in accordance
with the ordering rule established by Equitable from time to
time. The ordering rule in effect from time to time shall be
available to the Participant upon request. Such withdrawals will
reduce the number of Units in the Participant's Investment
Accounts."
C. The second and third sentences of the fourth paragraph will be
deleted in their entirety.
19. Effective beginning March 21, 1994, a new Section 3.08a is added as
follows:
"3.08A ENROLLMENT FEE
An enrollment fee of $25 will be paid to Equitable upon
enrollment of each new Participant in a Simplified Employee
Pension. Unless the Participant's employer pays the fee, it will
be charged against the first contribution made on behalf of the
Participant."
20. Effective March 21, 1994, in Section 3.09 entitled "Termination of
Participation," the following amendments are made:
A. The second sentence of the first paragraph is amended by deleting the
phrase "... minus a $5 processing charge...."
B. In the first sentence of the second paragraph the minimum monthly
payment for an Annuity Benefit is changed from $20 to $50.
21. In Section 3.10 entitled "Death or Disability Benefit" the following
amendments are made:
A. Effective as of January 1, 1987, the first sentence of the first
paragraph is hereby amended by deleting the reference to "Section
408(f)(3)" and by substituting reference to "Section 72(m)(7)."
B. Effective as of March 21, 1994, a new last sentence is added to read
as follows:
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<PAGE>
"Due proof of such death or disability must be received by
Equitable at the Equitable office address on Page 3, or any
other address Equitable designates in written notice to the
Participant."
C. Effective as of January 1, 1986, the second paragraph is hereby
amended to read as follows:
"Payment to the Participant or the beneficiary may be deferred
by Equitable in accordance with the provisions of Section 5.06."
22. In Section 3.11 entitled "Optional Modes of Settlement" the following
amendments are made:
A. Effective as of January 1, 1985, the first paragraph is hereby amended
to read as follows:
"Any Participant may elect that the whole or any part of any
amount that would otherwise be payable to the Participant's
designated beneficiary in a single sum be paid to such
beneficiary under an optional mode of settlement, subject to the
provisions of Section 4.05 and to Equitable's rules in effect at
the time of election. A beneficiary may make such an election
after the Participant's death if no such election made by the
Participant is then in effect."
B. Effective as of March 21, 1994, the last sentence of the third
paragraph is hereby amended to read as follows:
"Any election, designation, revocation or change shall be
effective as of the date written notice thereof is received by
Equitable at the office on Page 3, or any other address Equitable
designates in written notice to the Participant."
23. In Section 4.01 entitled "Annuity Benefit" the following amendments are
made:
A. Effective as of May 2, 1988, the third paragraph is hereby amended to
read as follows:
"The term 'Amount Applied' means the portion of the Annuity
Value which the Participant elects to apply toward an Annuity
Benefit pursuant to Section 4.02, less any state Premium Tax as
determined by
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<PAGE>
Equitable, and a one-time administrative fee in an amount as
follows: Participants who purchased contracts prior to July
1, 1983 have no charge; Participants who purchased contracts on
or after July 1, 1983 and prior to May 2, 1988 are charged $175;
and Participants who purchased contracts on or after May 2, 1988
are charged at the applicable rate in effect on the date of
purchase."
B. Effective as of May 1, 1987, the second paragraph hereby amended to
read as follows:
"The term "Annuity Value" means the amount, determined on the
Participant's Retirement Date, equal to the sum of the Account
Balances of the Participant's Investment Accounts and the Cash
Value of the Participant's Guaranteed Rate Account."
24. In Section 4.02 entitled "Election and Commencement of Annuity Benefits"
the following amendments are made:
A. Effective as of March 21, 1994, in the second paragraph, the minimum
monthly Annuity Benefit or periodic distribution payment is changed
from $20 to $50.
B. Effective as of February 26, 1993, the following paragraphs are added
at the end thereof:
"Notwithstanding anything in the Contract or the certificate to
the contrary, the entire value of the Participant's Accounts
(less applicable charges as determined by Equitable pursuant to
the terms of the Contract or the certificate) will be
distributed or commence to be distributed no later than the
Participant's Retirement Date in equal or substantially equal
amounts over (a) the life of such Participant, or the lives of
such Participant and his designated beneficiary, or (b) a period
not extending beyond the life expectancy of such Participant, or
the joint and last survivor life expectancy of such Participant
and his designated beneficiary.
Payments must be made in periodic payments at intervals of no
longer than one year. In addition, payments must be either non
increasing or they may increase only as provided in Q&A F-3 of
Section 1.401(a)(9)-1 of the Proposed Income Tax Regulations.
Page 16
<PAGE>
All distributions made hereunder shall be made in accordance
with the requirements of Section 401(a)(9) of the Code,
including the incidental death benefit requirements of Section
401(a)(9)(G) of the Code, and the regulations thereunder,
including the minimum distribution incidental benefit
requirement of Section 1.401(a)(9)-2 of the Proposed Income
Tax Regulations.
Life expectancy is computed by use of the expected return
multiples in Tables V and VI of Section 1.72-9 of the Income Tax
Regulations. Unless otherwise elected by the Participant by the
time distributions are required to begin, life expectancies
shall be recalculated annually. Such election shall be
irrevocable by the Participant and shall apply to all subsequent
years. The life expectancy of a non-spouse beneficiary may not
be recalculated. Instead, life expectancy will be calculated
using the attained age of such beneficiary during the calendar
year in which the Participant attains age 70 1/2, and payments
for subsequent years shall be calculated based on such life
expectancy reduced by one for each calendar year which has
elapsed since the calendar year life expectancy was first
calculated."
25. Effective as of March 21, 1994, in Section 4.04 entitled "Periodic
Distribution Option" the following amendments are made:
A. The first paragraph is hereby amended to read as follows:
"The Participant may elect pursuant to Section 4.02 to receive
the Account Balance of each of the Participant's Investment
Accounts under the periodic distribution option, so long as such
payments extend for a period of three years or longer. Such
option, subject to the conditions set forth in the following
subparagraphs, provides either:
(a) Period Certain: A series of monthly, quarterly, semi-annual
or annual installment payments (as specified by the
Participant) over a number of whole years beginning as of
the Participant's Retirement Date, such number of whole
years being the lesser of (i) the number of whole years
designated by the Participant before the Participant's
Retirement Date and (ii) the number of years equal to the
greater of the life
Page 17
<PAGE>
expectancy of the Participant and the joint and last
survivor life expectancy of the Participant and the
Participant's designated beneficiary as of the
Participant's Retirement Date, rounded to the next lower
whole year. If permitted by Equitable pursuant to its rules
in effect at the time, the life expectancy of the
Participant and his spouse may be recalculated once each
year. The life expectancy of a beneficiary other than the
Participant's spouse may not be recalculated after
distribution has commenced.
(b) Dollar Certain: A series of level monthly, quarterly,
semi-annual or annual installment payments (as specified by
the Participant) in an amount specified by the Participant
such that the period of payments is projected, as of the
date of the first payment, to be a period of at least three
years' duration."
B. Subparagraph number 1 is amended to read as follows:
"1. Payments made under the periodic distribution option will include
interests held by the Participant in the Guaranteed Rate
Account. However, Equitable reserves the right to suspend
distribution from the Guaranteed Rate Accounts for such payments
in its sole discretion."
C. Subparagraph number 2 is hereby amended to read as follows:
"2. The amount of each Period Certain monthly, quarterly,
semi-annual or annual installment elected in accordance with
Section 4.04(a) above shall be computed by Equitable beginning
on the date as of which such installment payments commence, and
thereafter, as of the first day of each succeeding month,
quarter, semi-annual or annual period. The amount of each such
periodic distribution payment shall be determined by dividing
the sum of the Account Balances of the Participant's Investment
Accounts as of the first day of each period by the number of
periods remaining."
Page 18
<PAGE>
D. Subparagraph number 3 is amended to read as follows:
"3. Each periodic distribution payment will be withdrawn from the
Participant's Investment Accounts in proportion to the amount of
the Participant's interest in each such Investment Account
immediately before such payment is made."
E. Subparagraph number 5 is amended to read as follows:
"5. While periodic distributions are being made, the Participant may
transfer amounts among the Investment Accounts maintained for
the Participant pursuant to Section 3.01, except that transfers
may not be made from one Guaranteed Rate Account to another.
A Withdrawal Charge pursuant to Section 1.06 will be deducted
from such transfers."
F. Subparagraph number 6 is amended by changing the phrase "monthly
installment" to read "periodic distribution" and by deleting the
phrase "...minus a $5 processing charge."
G. Subparagraph numbers 7 and 8 are amended by changing the phrase
"monthly installment" to read "periodic distribution."
26. Effective as of February 26, 1993, in Section 4.05 entitled "Payment of
Benefits" the first paragraph is deleted and the following paragraphs are
inserted in its place, to read as follows:
"With regard to any form of benefit elected in accordance with
Section 4.02, if the Participant dies before the entire interest
is distributed, the following distribution provisions shall
apply:
(a) If the Participant dies after distribution of his interest
in the Accounts has commenced, the remaining portion of
such interest will continue to be distributed at least as
rapidly as under the method of distribution being used
prior to the Participant's death. If a distribution for a
Period Certain in accordance with Section 4.04 had
commenced prior to the Participant's death, then the
distribution shall be made to the
Page 19
<PAGE>
Participant's beneficiary, limited in accordance with the
option selected.
(b) If the Participant dies before distribution of his interest
in the Accounts commences, the Participant's entire
interest will be distributed in accordance with one of the
following four provisions:
(1) The Participant's entire interest will be paid within
5 years after the date of the Participant's death.
(2) If the Participant's interest is payable to a
beneficiary designated by the Participant and the
Participant has not elected (1) above, then the entire
interest will be distributed in substantially equal
installments over the life or life expectancy of the
designated beneficiary commencing no later than one
year after the date of the Participant's death. The
designated beneficiary may elect at any time to receive
greater payments.
(3) If the designated beneficiary of the Participant is
the Participant's surviving spouse, the spouse may
elect within the five year period commencing with the
Participant's date of death to receive equal or
substantially equal payments over the life or life
expectancy of the surviving spouse commencing on any
date prior to the date on which the deceased
Participant would have attained the age of 70 1/2. The
surviving spouse may accelerate these payments at any
time, by either increasing the frequency or amount of
such payments.
(4) If the designated beneficiary is the Participant's
surviving spouse, the surviving spouse may treat the
Participant's Accounts as his or her own individual
retirement account ("IRA"). This election will be
deemed to have been made if such surviving spouse
makes a regular IRA contribution to the Accounts,
makes a rollover to or from such Accounts, or fails to
elect any of the above three provisions.
Life expectancy is computed by use of the expected
return multiples in Tables V and VI of Section
Page 20
<PAGE>
1.72-9 of the Income Tax Regulations. For purposes of
distributions begining after the Participant's death,
unless otherwise elected by the surviving spouse by
the time distributions are required to begin, life
expectancies shall be recalculated annually. Such
election shall be irrevocable by the surviving spouse
and shall apply to all subsequent years.
Distributions under this section are considered to
have begun if distributions are made on account of the
individual reaching his or her required beginning date
or if prior to the required beginning date
distributions irrevocably commence to an individual
over a period permitted and in an annuity form
acceptable under Section 401(a)(9) of the Regulations.
(c) For purposes of this requirement, any amount paid to a
child of the Participant will be treated as if it had
been paid to the Participant's surviving spouse if the
remainder of the interest becomes payable to the
surviving spouse when the child reaches the age of
majority."
27. Effective as of February 23, 1993, Section 5.01 is amended by adding the
following third paragraph:
"The Contract and the certificates issued thereunder are
established for the exclusive benefit of the Participant and his
or her beneficiaries."
28. Effective as of January 1, 1985, in Section 5.04 entitled "Beneficiary"
the first paragraph is hereby amended to read as follows:
"If the Participant so elects in writing, any amount that would
otherwise be payable to the designated beneficiary in a single
sum may be applied to provide an Annuity Benefit, on the form of
annuity elected by the Participant with respect to the
designated beneficiary, subject to the provisions of
Section 4.05 and to Equitable's rules then in effect. If at the
death of a Participant there is no election in effect to apply
the Death Benefit to provide an Annuity Benefit, the designated
beneficiary may make such an
Page 21
<PAGE>
election subject to the provisions of Section 4.05 and
Equitable's rules then in effect."
29. Effective July 26, 1992, the date on which Equitable converted from a
mutual life insurance company to a stock life insurance company, Section
5.11 entitled "Participation in Surplus" is deleted in its entirety.
- ------------------------------------ --------------------
Joseph J. Melone Richard H. Jenrette
President and Chief Executive Officer Chairman of the Board
--------------------------
Molly K. Heines
Vice President and Secretary
Page 22
<PAGE>
THE EQUITABLE LIFE ASSURANCE
SOCIETY OF THE UNITED STATES
Plan of Operations for Separate Account No. 301
I. Description of Separate Account No. 301
Separate Account Nos. 301 (Money Market Fund), 302 (Stock Fund), 303
(Bond Fund) and 304 (Balanced Fund) (collectively referred to as the 300
Series) were established by the Board of Directors of The Equitable Life
Assurance Society of the United States (Equitable) on October 19, 1981. On
August 27, 1986, the Committees of the 300 Series adopted resolutions
authorizing all actions necessary to restructure and combine the 300 Series into
a single separate account, Separate Account No. 301 (Account), organized as a
unit investment trust with investment divisions (Divisions).
Pursuant to those resolutions and subject to the approval of
participants (Participants) under group annuity contracts funded through the
300 Series (Contracts), an Agreement and Plan of Reorganization has been been
entered into among Equitable, each of the 300 Series separate accounts,
Integrity Life Insurance Company, an Arizona life insurance company which is a
wholly-owned subsidiary of Equitable, and Harmony Investment Trust, a
series-type mutual fund which is
<PAGE>
-2-
organized as a Massachusetts business trust (Trust). The reorganization
authorized by the 300 Series Committees (Reorganization) will result in a
change in the form of a Participant's interest, not in the substance of that
interest. Accordingly, the economic interests of Participants will, in all
material respects, remain the same after the Reorganization.
At the effective time of the Reorganization, each 300 Series separate
account's portfolio assets (consisting of cash securities and other investments
held or in transit, receivables for sold investments, and dividends and interest
receivables) and related liabilities will be transferred to the corresponding
investment portfolio (Fund) of the Trust in exchange for shares in such Fund to
be issued to corresponding Divisions of the Account. Simultaneously, Equitable
will combine all of the 300 Series separate accounts into the Account, which
will thereafter operate as a unit investment trust registered under the
Investment Company Act of 1940 (Investment Company Act).
The Account will have seven Divisions: Money Market, Stock, Bond,
Balanced, Aggressive Stock, High Yield and Global. The first four divisions
correspond to the predecessor separate accounts in the 300 Series. The last
three are new and have no predecessors. Consistent with its current right to
add or to eliminate separate accounts in the 300 Series,
<PAGE>
-3-
Equitable will reserve the right under its Contracts to add or to eliminate
Divisions. The Account will continue to comply with all pertinent provisions of
Section 4240 (Separate Accounts) of the New York Insurance Law.
II. The Underlying Mutual Fund
Contributions allocated by Participants to each Division will be
invested in a corresponding Fund of the Trust. The Trust is registered
under the Investment Company Act as an open-end diversified management
investment company which will invest the assets of separate accounts of
insurance companies.
Each Fund of the Trust is a separate investment portfolio with its own
investment objectives. The objectives described below are fundamental within the
meaning of the Investment Company Act and may not be changed without the
approval of Shareholders of the Trust.
Name of Fund Investment Objectives
------------ ---------------------
Common Stock To achieve long-term growth of its
capital and increasing income by investing
primarily in common stock and other
equity-type securities.
Bond To achieve interest income and appreciation
of capital by investing primarily in
publicly-traded debt securities.
<PAGE>
-4-
Name of Fund Investment Objectives
------------ ---------------------
Balanced To achieve a high return through both
appreciation of capital and current income
by investing in a diversified portfolio of
publicly-traded equity and debt securities
and money market instruments.
Money Market To obtain a high level of current income,
preserve its assets and maintain liquidity
and investment quality by investing in
money market instruments.
Aggressive Stock To achieve long-term growth of capital
(with current income as a secondary
consideration) by investing primarily in
common stocks and other equity-type
securities issued by small and
intermediate-size companies with strong
growth prospects.
High Yield To achieve a high return by maximizing
current income and, to the extent
consistent with that objective, capital
appreciation.
Global To achieve long-term growth of capital and
increasing income by investing in
marketable equity securities of non-United
States as well as United States companies.
III. Voting of Shares of the Trust
The shares of the Trust are divided into seven classes, one for each
Fund. Each share is entitled to one vote, and fractional shares are entitled to
fractional votes. The Trust
<PAGE>
-5-
is not required to hold annual shareholder meetings, but special meetings may
be called for purposes such as electing or removing Trustees, changing
fundamental objectives or approving an investment advisory agreement.
Though Equitable is the legal owner of the shares attributable to
investments made by the Account in the Trust, each Participant, whenever a vote
is required, will be entitled to instruct Equitable how to vote the number of
shares purchased as a result of his or her contributions. Equitable will vote
any shares in a Fund for which no instructions have been received, as well as
any shares attributable to its own accumulations in the Account, in the same
proportion as it votes shares for which it has received instructions.
IV. Markets and Forms of Contracts
The Account will continue to fund the types of tax-favored retirement
programs funded by the 300 Series since its inception -- namely, individual
retirement annuities and tax-sheltered annuity arrangements for employees of
tax-exempt organizations.
Participation in the 300 Series is provided for under Contracts issued
to an employer, trust company or trade
<PAGE>
-6-
association pursuant to Section 4238 of the New York Insurance Law. Group
clients enroll under the Contract those of their employees or members who wish
to contribute and may also offer a payroll deduction facility for contributions
under the Contract. Under certain programs, spouses of employees or members of
group clients, as well as Participants who have terminated employment with
group clients, may also participate on a non-payroll deduction basis.
V. Unit Values
Each Participant's interest in the Divisions of the Account is
expressed in terms of accumulation units. The value of a unit fluctuates with
the investment performance of the corresponding Fund of the Trust, which
reflects the investment income and realized and unrealized capital gains and
losses of the Fund, as well as Trust expenses. The units of each Division of
the Account therefore have different unit values. Unit values also reflect the
following deductions and charges made to the Divisions of the Account:
1. Administration Charge. A charge for each day of a valuation period
is made for administrative expenses at an effective annual rate of 0.25% of the
value of each Division's assets.
<PAGE>
-7-
2. Recordkeeping Charges. The Divisions are charged for computerized
maintenance of and access to records for each Participant. These charges are
made at cost and reflect, among other things, the number of Participants, the
types and volume of transactions and the system time required.
3. Expenses Borne Directly by the Account. Certain costs and expenses
are charged directly to the Divisions. These include, among other things,
certain expenses incurred in the operation of the Account and the Divisions,
and Securities and Exchange Commission charges and related expenses.
If in any calendar year certain aggregate expenses of a Division
(including investment advisory fees and other Trust expenses charged to the
corresponding Fund of the Trust) exceed 1% of the value of the Money Market
Division's average daily net assets, or 1.5% of the value of the Stock, Bond or
Balanced Divisions' average daily net assets, that Division will be reimbursed
for the excess.
Unit values are determined at the end of each business day. The
participant service charge, which varies but cannot exceed $30 per year,
reduces the number of units credited to a Participant but does not affect unit
values.
<PAGE>
-8-
VI. Contract Reserves
Reserves for contracts funded through the Account are calculated using
the Commissioner's Annuity Reserve Method, which produces reserves not less
than those legally required.
VII. Tax Treatment
When Equitable computes unit values for the Divisions of the Account,
no charge for federal income taxes will be imposed on income and gains of the
Divisions. Equitable nonetheless reserves the right to charge the Account for
taxes and to establish reserves for taxes. In addition, the Trust intends to
operate the Funds such that (1) they will have no federal tax liability, and
(2) the insurance company shareholders, in turn, will not be taxed on any
distributions from the Funds.
VIII. Reports and Notices
Reports will be sent at least annually to each Participant showing as
of a specified recent date: (1) the total number of units in each Division
credited to the Participant, and (2) the unit values. Similar information will
be furnished in notices confirming transactions. Participants
<PAGE>
-9-
will also receive semi-annual reports containing financial statements of the
Trust.
0326i
2/10/87
<PAGE>
APPLICATION TO THE EQUITABLE LIFE ASSURANCE SOCIETY OF THE UNITED STATES
Processing Office: Individual Annuity Center, P.O. Box 2996, G.P.O., New York,
New York 10116
FOR A VARIABLE ANNUITY CONTRACT: EQUITABLE'S NON-QUALIFIED EQUI-VEST CONTRACT
- -------------------------------------------------------------------------------
UNIT SECTION (Complete only if Salary Allotment is used)
1. EMPLOYER/UNIT NAME
---------------------------------------------------------
2. [_] EXISTING UNIT NO.____________________ [_] NEW UNIT ________________
Form 983-2357 Required
- -------------------------------------------------------------------------------
PARTICIPANT SECTION
3. PROPOSED PARTICIPANT - Print name to appear on Contract.
-------------------------------------------------------------------
First Middle Initial Last
A. [_] Mr. [_] Mrs. [_] Ms. [_] Other
----------
B. Date of Birth: Year Month Day
----------- ----------- ------------
C. Age at Nearest Birthday: D. State of Residence:
----------- ------
E. Participant's Mailing Address: F. [_] Male [_] Female
No., St.
--------------------------------------------------------
--------------------------------------------------------
City
--------------------------------------------------------
State Zip Code -
------ --------- -------
G. Social Security Number (Required): - -
---------- ------- --------
H. Are you associated with or employed by a member of National
Association of Securities Dealers, Inc. (NASD)? [_] yes [_] No
4. RETIREMENT AGE (maximum: 85)
----------
5. BENEFICIARY - Include FULL NAME and RELATIONSHIP to Participant.
FOR DEATH BENEFIT UPON PARTICIPANT'S DEATH BEFORE RETIREMENT DATE,
AND FOR OWNERSHIP RIGHTS UPON DEATH OF OWNER.
--------------------------------------------------------------------
--------------------------------------------------------------------
--------------------------------------------------------------------
6. OWNER-ONLY IF OTHER THAN PARTICIPANT:[_]Individual [_]Executor [_]Guardian
[_]Custodian (SEE #14) [_]Trustee (For natural person)
The following owner types will incur annual tax liability
[_]Corporation [_] Partnership [_] Deferred Compensation
[_] Trustee (NOT for natural person)
Name
----------------------------------------------------------------
No., St.
----------------------------------------------------------------
City
----------------------------------------------------------------
State Zip Code -
------ -------- -------
Relationship to Participant
---------------------------------------------
Owner SSN # - - (IF CUSTODIAN USE PARTICIPANT'S SSN #)
-------- ---- --------
Are you associated with or employed by a member of National Association of
Securities Dealer, Inc. (NASD)? [_] Yes [_] No
ABOVE NAMED OWNER WILL RECEIVE ALL COMMUNICATIONS.
SPECIFY ANY CO-OWNERS IN SPECIAL INSTRUCTIONS (#13).
7. CONTRIBUTION ALLOCATION
Fixed Income Account %
-----
Stock Account %
-----
Money Market Account %
-----
Balanced Account %
-----
Aggressive Stock Accounts %
-----
--------------------
(PERCENTAGES IN WHOLE NUMBERS) Total 100 %
8. Will any existing insurance or annuity be replaced or
changed (or has it been), assuming the contract
applied for will be issued? [_] Yes [_] No
IF YES, answer the questions below:
A. Year Issued: Plan:
-------------- ---------------
Company:
--------------------------------------
B. Contribution Basis: (CHECK ONE ONLY):
[_] pre-August 14, 1982 [_] post-August 31, 1982
(SEPARATE APPLICATION REQUIRED FOR EACH BASIS.)
C. Net Cost: $
-----------------------------------------
(NET COST ILLUSTRATION MUST BE SUBMITTED).
9. CONTRIBUTIONS (COMPLETE ONLY IF CONTRIBUTION BASIS
POST-AUGUST 13, 1982 AND FURTHER CONTRIBUTIONS
ANTICIPATED)
A. Reminder Notice (Billing) Required [_] yes [_] No
IF YES, complete B-C-D
B. Reminder Frequency:
[_] Annual [_] Semi-Annual [_] Quarterly
For Salary Allotment Only:
[_] Monthly [_] Semi-Monthly [_] Bi-Weekly
C. Reminder Frequency Date (IF SALARY ALLOTMENT, MUST AGREE WITH EXISTING
UNIT OR ATTACHED 983-2357 FORM):
Mo. Day
------------- ---------------
D. REMINDER AMOUNT $
-------------------
(CONTRIBUTIONS MUST BE AT LEAST $50.)
10. EXPECTED FIRST PARTICIPATION YEAR
CONTRIBUTION $
------------------------------------------
(MUST BE AT LEAST $1,000 OR $600 IF SALARY ALLOTMENT)
FOR SALARY ALLOTMENT ONLY: IF AN ADVANCED PARTICIPATION DATE IS REQUESTED,
COMPLETE #9C AND #13.
- -------------------------------------------------------------------------------
(FOR PROCESSING OFFICE USE)
Unit Name Cert. or App. #
---------------------------- --------------------
Frequency Reminder Date
---------------------------- --------------------
Amendment Required Participation Date
------------------- -----------------
Receipt Date Batch # Inquiry # Processor
<PAGE>
11. Did you receive the Separate Accounts Prospectus? [_] Yes [_] No
Date on Prospectus
-------------------------------------------------
Date of any Supplement to Prospectus
--------------------------------
12. ITEMS (A) THROUGH (G) ARE TO BE ANSWERED COMPLETELY OR NOT AT ALL. If
Participant does not wish to provide information requested check here [_].
(Show amounts before this purchase.)
NOTE: In NJ and MD by law item (A) MUST be answered.
(A) Sources of Retirement Income (other than Soc. Security)
-----------------------------------------------------------
-----------------------------------------------------------
(B) Debts: $
---------------------------------------------------
---------------------------------------------------
---------------------------------------------------
(C) (i) Savings (Checking and Savings accounts):
$
---------------------------------------------------
(ii) Securities: $
---------------------------------------
(iii) Value of home, less mortgage: $
---------------------
(iv) Other Assets (specify sources and amounts):
----------------------------------------------------
----------------------------------------------------
(D) Ages of Dependents:
----------------------------------------
(E) Amount of Life Insurance: $
--------------------------------
(F) Cash available for investment or retirement:
(i) $ annually, or (ii) $ single sum
------------- ---------
(G) Annual income including spouse's: $
------------------------
13. SPECIAL INSTRUCTIONS
---------------------------------------------------------------
---------------------------------------------------------------
---------------------------------------------------------------
---------------------------------------------------------------
---------------------------------------------------------------
---------------------------------------------------------------
---------------------------------------------------------------
---------------------------------------------------------------
---------------------------------------------------------------
---------------------------------------------------------------
14. CUSTODIAN DESIGNATION: (Fill in)
THE OWNER is
--------------------------------- ----------------
(name) (Relationship)
as custodian for
-----------------------------------------------
(participant)
under the Uniform Gifts to Minors Act.
----------------
(state)
15. Amount paid with this form: $
----------------------------------
(must be at least $1,000. for other than Salary Allotment)
(If a check is submitted with this request, no advanced participation
date is permitted.) BACKDATING IS NOT PERMITTED.
- -------------------------------------------------------------------------------
NOTE: Amount paid will be credited upon receipt at Equitable Processing Office,
subject to return if the contract is not issued: the Participation Date of the
contract will be the date of receipt by Equitable of all completed requirements
at Equitable's Processing Office. The Normal Form of annuity benefit is a Life
With 10 years Certain Annuity. At retirement, you will be given a choice of
this form or any of several other available forms.
AGREEMENT
All information and statements furnished in this request are true and complete
to the best of my (our) knowledge and belief. I (We) understand and acknowledge
that no Agent has the authority to make or modify any contract on Equitable's
behalf, or to waive or alter any of Equitable's rights and regulations. Under
the penalties of perjury I (we) certify that the Social Security Number(s) or
Tax identification Number(s) provided on this form is (are) true, correct, and
complete.
IT IS UNDERSTOOD THAT THE ACCOUNT VALUES ATTRIBUTABLE TO ALLOCATION TO THE
SEPARATE ACCOUNTS AND VARIABLE ANNUITY BENEFIT PAYMENTS MAY INCREASE OR
DECREASE AND ARE NOT GUARANTEED AS TO DOLLAR AMOUNT.
<TABLE>
<CAPTION>
<S> <C> <C> <C>
Signature of Proposed Participant X Date City State
--------------------------- --------- ----------- ----------
Signature of Owner (if other than the Proposed participant) X
-----------------------------------------------
</TABLE>
- -------------------------------------------------------------------------------
AGENT SECTION
Will any existing insurance or annuity be replaced or changed (or has it been),
assuming the contract applied for will be issued:[_]Yes [_] No
I (we) certify that a prospectus for the contract applied for has been given to
the proposed Participant and that no written sales materials other than those
approved by The Equitable have been used.
Non-Qualified Equi-Vest issued must adequately reflect the commission interest
of all Agents on previous certificates or contracts.
<TABLE>
<CAPTION>
<S> <C> <C> <C> <C> <C> <C>
Agent's Name(s) (Print) Initial of Agent Agent Agency District Agent's
(Service Agent first) Last Name Number % Code Manager Code Signature
- -------------------------------------------------------------------------------------------------------------------------------
- -------------------------------------------------------------------------------------------------------------------------------
- -------------------------------------------------------------------------------------------------------------------------------
- -------------------------------------------------------------------------------------------------------------------------------
- -------------------------------------------------------------------------------------------------------------------------------
- -------------------------------------------------------------------------------------------------------------------------------
- -------------------------------------------------------------------------------------------------------------------------------
</TABLE>
- -------------------------------------------------------------------------------
<TABLE>
<CAPTION>
<S> <C> <C> <C> <C>
FOR AGENCY COMPLIANCE FILE: INITIALS OF AGENCY EQS Date District EQS Date
--------- ------ --------- ---------
</TABLE>
- -------------------------------------------------------------------------------
(FOR ASU USE)
<TABLE>
<CAPTION>
<S> <C> <C> <C>
ASU Code and APP. No. ASU Rec'd. Date to Proc. Off. Campaign[_]
------------ --------- --------------
</TABLE>
Agent(s) shown above is Equity Qualified and is licensed in the state where the
request is signed.
Above Agent information verified by ASM (Registered Rep)
-----------------------
<PAGE>
THE EQUITABLE LIFE ASSURANCE SOCIETY OF THE UNITED STATES
Processing Office: Individual Annuity Center, P.O. Box 2996, G.P.O., New York,
New York 10116
REQUEST FOR ENROLLMENT UNDER EQUITABLE'S NON-QUALIFIED EQUI-VEST CONTRACT
- -------------------------------------------------------------------------------
UNIT SECTION
(Complete only if Salary Allotment is used)
1. EMPLOYER/UNIT NAME
---------------------------------------------------------
2. [_] EXISTING UNIT NO.________________ [_] New Unit ___________________
Form 983-2357 Required
- -------------------------------------------------------------------------------
PARTICIPATION SECTION
3. PROPOSED PARTICIPANT
a. Print name to appear on Certificate.
--------------------------------------------------------------------
First Middle Initial Last
b. [_] Mr. [_] Mrs. [_] Ms. [_] Other
--------------
c. Date of Birth: Year Month Day
------------ -------------- --------------
d. Age at Nearest Birthday
-----------------------------------------------
e. State of Residence
----------------------------------------------------
f. [_] Male [_] Female
g. Social Security Number - -
------ ---- --------
h. Are you associated with or employed by a member of National Association
of Securities Dealers, Inc. (NASD)? [_] Yes [_] No
4. RETIREMENT AGE (maximum: 85)
------------
5. BENEFICIARY - Include FULL NAME and RELATIONSHIP to Participant.
(For Death Benefit upon Participant's death before Retirement Date, and
for Ownership Rights upon death of Owner)
-------------------------------------------------------------------------
-------------------------------------------------------------------------
-------------------------------------------------------------------------
-------------------------------------------------------------------------
6. OWNER - Specify:
Full Name and Address Relationship to Participant
---------------------------------- ---------------------------------
---------------------------------- Social Security or Tax I.D. No.
---------------------------------- ----------------------------------
Above named Owner will receive all communications. Specify any co-owner
or secondary owners in Special Instructions (#12).
7. CONTRIBUTION ALLOCATION
(PERCENTAGES IN WHOLE NUMBERS)
Fixed Income Account %
-------
Stock Account (Sep Acct A) %
-------
Money Market Acct (Sep Acct E) %
-------
Balanced Acct (Sep Acct J) %
-------
Aggressive Stock Acct (Sep Acct K) %
-------
--------------------
Total 100 %
8. Will any existing insurance or annuity be replaced or changed (or has it
been), assuming the certificate applied for will be issued? [_] yes [_] No
If yes, answer the questions below:
Contribution Basis [_] pre-August 14, 1982
(check one) [_] post-August 13, 1982
Note that a separate enrollment form must be submitted for each basis.
---------------------------------------------------------------------------
Year Issued, Company, and Plan
---------------------------------------------------------------------------
Net Cost
(Net Cost Illustration must be submitted.)
9. CONTRIBUTIONS (complete only if the Contribution Basis is post-August 13,
1982 and further contributions are anticipated)
a. Reminder Frequency
If no reminders are desired, check here: [_].
[_] Annual [_] Semi-Annual [_] Quarterly
For salary Allotment Only:
[_] Monthly [_] Semi-Monthly [_] Bi-Weekly
b. First Reminder Date (if Salary Allotment, must agree with existing unit
or attached 983-2357 form):
<PAGE>
Mo. Day
----------- --------------
c. REMINDER AMOUNT $
---------------------------
(contributions must be at least $50.)
- -------------------------------------------------------------------------------
(FOR Unit Name Cert. or App. #
PROCESSING ---------------------- -----------------
OFFICE Frequency Reminder Date
USE) ----------------------- -------------------
Amendment Required Participation Date
------------- --------------
Receipt Date batch # Inquiry # Processor
<PAGE>
d. EXPECTED FIRST PARTICIPATION YEAR CONTRIBUTION $
------------------------
(must be at least $1,000. for Individual billing or $600. for
Salary Allotment)
For Salary Allotment only: If an advanced participation date is
requested, complete #9b and #12.
10. Did you receive the Separate Accounts Prospectus?
[_] Yes [_] no
Date on Prospectus
---------------------------------------------------------
Date of any supplement to Prospectus
---------------------------------------
11. Items (a) through (g) are to be answered completely or not at all. If
Participant does not wish to provide information requested check here [_].
(Show amounts before this purchase.) Note: In NJ and MD by law item
(a) must be answered.
(a) Sources of Retirement Income (other than Soc. Security)
-----------------------------------------------------------------------
-----------------------------------------------------------------------
(b) Debts: $
---------------------------------------------------------------
---------------------------------------------------------------
---------------------------------------------------------------
(c) (i) Savings (Checking and Savings accounts):
$
---------------------------------------------------------------
(ii) Securities: $
---------------------------------------------------
(iii) Value of home, less mortgage: $
---------------------------------
(iv) Other Assets (specify sources and amounts):
----------------------------------------------------------------
----------------------------------------------------------------
(d) Ages of Dependents:
----------------------------------------------------
(e) Amount of Life Insurance: $
--------------------------------------------
(f) Cash available for investment or retirement:
(i) $ annually, or
-----------------------------------------------------------------
(ii) $ single sum
-----------------------------------------------------------------
(g) Annual income including spouse's: $
------------------------------------
12. SPECIAL INSTRUCTIONS
---------------------------------------------------------------------------
---------------------------------------------------------------------------
---------------------------------------------------------------------------
---------------------------------------------------------------------------
13. Amount paid with this form: $
----------------------------------------------
(must be at least $1,000. for other than Salary Allotment)
(If a check is submitted with this request, no advanced participation date
is permitted.)
Backdating is not permitted.
- -------------------------------------------------------------------------------
NOTE: Amount paid will be credited upon receipt at Equitable Processing Office,
subject to return if the certificate is not issued: the Participation Date of
the certificate will be the date of receipt by Equitable of all completed
requirements at Equitable's Processing Office. The Normal Form of annuity
benefit is a Life With 10 years Certain Annuity. At retirement, you will be
given a choice of this form or any of several other available forms.
AGREEMENT
All information and statements furnished in this request are true and complete
to the best of my (our) knowledge and belief. I (We) understand and acknowledge
that no Agent has the authority to make or modify any contract on Equitable's
behalf, or to waive or alter any of Equitable's rights and regulations. Under
the penalties of perjury I (we) certify that the Social Security Number(s) or
Tax identification Number(s) provided on this form is (are) true, correct, and
complete.
IT IS UNDERSTOOD THAT THE ACCOUNT VALUES ATTRIBUTABLE TO ALLOCATION TO THE
SEPARATE ACCOUNTS AND VARIABLE ANNUITY BENEFIT PAYMENTS MAY INCREASE OR
DECREASE AND ARE NOT GUARANTEED AS TO DOLLAR AMOUNT.
<PAGE>
<TABLE>
<CAPTION>
<S> <C> <C> <C>
Signature of Proposed Participant X Date City State
--------------------------- --------- ----------- ----------
Signature of Owner (if other than the Proposed participant) X
-----------------------------------------------
</TABLE>
- -------------------------------------------------------------------------------
AGENT SECTION
Will any existing insurance or annuity be replaced or changed (or has it been),
assuming the certificate applied for will be issued? [_]Yes [_] No
I (we) certify that a prospectus for the certificate applied for has been given
to the proposed Participant and that no written sales materials other than
those approved by The Equitable have been used.
Non-Qualified Equi-Vest issued must adequately reflect the commission interest
of all Agents on previous contracts or certificates.
<TABLE>
<CAPTION>
<S> <C> <C> <C> <C> <C> <C>
Agent's Name(s) (Print) Initial of Agent Agent Agency District Agent's
(Service Agent first) Last Name Number % Code Manager Code Signature
- -------------------------------------------------------------------------------------------------------------------------------
- -------------------------------------------------------------------------------------------------------------------------------
- -------------------------------------------------------------------------------------------------------------------------------
- -------------------------------------------------------------------------------------------------------------------------------
- -------------------------------------------------------------------------------------------------------------------------------
- -------------------------------------------------------------------------------------------------------------------------------
- -------------------------------------------------------------------------------------------------------------------------------
</TABLE>
- -------------------------------------------------------------------------------
<TABLE>
<CAPTION>
<S> <C> <C> <C> <C>
FOR AGENCY COMPLIANCE FILE: INITIALS OF AGENCY EQS Date District EQS Date
--------- ------ --------- ---------
</TABLE>
- -------------------------------------------------------------------------------
(FOR ASU USE)
<TABLE>
<CAPTION>
<S> <C> <C> <C>
ASU Code and APP. No. ASU Rec'd. Date to Proc. Off. Campaign[_]
------------ --------- --------------
</TABLE>
Agent(s) shown above is Equity Qualified and is licensed in the state where the
request is signed.
Above Agent information verified by ASM (Registered Rep)
-----------------------
<PAGE>
THE EQUITABLE LIFE ASSURANCE SOCIETY OF THE UNITED STATES
Processing Office: Individual Annuity Center, P.O. Box 2996, G.P.O., New York,
New York 10116
REQUEST FOR ENROLLMENT UNDER EQUITABLE'S QUALIFIED EQUI-VEST CONTRACT
- -------------------------------------------------------------------------------
PLAN/UNIT SECTION
<TABLE>
<CAPTION>
<S> <C>
1. TYPE OF PURCHASE Complete One plan Only G. [_] PEDC (Public Employee Deferred Compensation) (GV-PEDC 4991)
A. [_] TSA Public School (GV-PS 4931) H. [_] IRC-457 (Tax Exempt Organization) (GV-PEDC 4991-SU-080)
B. [_] TSA 501 (c) (3) Organization (GV-501 4921) I. [_] SEP (Simplified Employee Pension) (GV-SEP 4981)
C. [_] TSA University (GV-PS 4931-31) J. [_] CORPORATE TRUSTEED (GV-Corp 4941-41)
D. [_] IRA Individual (GV-IRA 4971) Type of contributions [_] Required [_] Voluntary (After Tax)
E. [_] IRA Unit Billed (GC-IRA 4971) K. [_] KEOGH/HR-10 TRUSTEE (GV HR-10 4911-11) (trustee owned) (9)
F. [_] IRA QUALIFIED PLAN ROLLOVER - Distribution from Type of contributions [_] Required [_] Voluntary (After Tax)
a Qualified Plan L. [_] KEOGH/HR-10 (GV-HR-10 4911) (not trustee owned) (9)
(GV-IRA 4971-71) Type of contributions [_] Required [_] voluntary (After Tax)
</TABLE>
- -------------------------------------------------------------------------------
DO NOT COMPLETE THIS SECTION IF BOX 1.D or 1.F CHECKED ABOVE
2. EMPLOYER/PLAN NAME
---------------------------------------------------------
3. [_] EXISTING UNIT NO._________________ [_] NEW UNIT________________
(FOR NEW TRUSTEE OWNER PLAN OR TWO
OR MORE LIVES FORM 983-135B REQUIRED)
- -------------------------------------------------------------------------------
PARTICIPANT SECTION
4. PROPOSED PARTICIPANT - Print name to appear on Contract.
-------------------------------------------------------------------
First Middle Initial Last
A. [_] Mr. [_] Mrs. [_] Ms. [_] Other
----------
B. Date of Birth: Year Month Day
----------- ----------- ------------
C. Age at Nearest Birthday: D. [_] Male [_] Female
-----------
E. Participant's Mailing Address: F. State of Residence:
-------
No., St.
--------------------------------------------------------
--------------------------------------------------------
City
--------------------------------------------------------
State Zip Code -
------ --------- -------
G. Social Security Number (Required) - -
---------- ------- --------
H. Are you associated with or employed by a member of National
Association of Securities Dealers, Inc. (NASD)? [_] yes [_] No
5. RETIREMENT AGE ( )
----------
6. BENEFICIARY - Include FULL NAME and RELATIONSHIP to Participant.
(BENEFICIARY MUST BE OWNER FOR PEDC/IRC-457 PURCHASES AND FOR MOST
TRUSTEED PLANS.)
--------------------------------------------------------------------
--------------------------------------------------------------------
--------------------------------------------------------------------
--------------------------------------------------------------------
7. CONTRIBUTION ALLOCATION
(PERCENTAGES IN WHOLE NUMBERS)
Fixed Income Account %
-----
Stock Account %
-----
Money Market Account %
-----
Balanced Account %
-----
Aggressive Stock Account %
-----
--------------------
Total 100 %
8. CONTRIBUTIONS (NOT REQUIRED FOR 1.F)
A. Reminder Notice (Billing) Required [_] yes [_] No
IF YES, complete b-c-d-e
B. REMINDER DATE Required for Individual IRA or otherwise must agree with
existing unit or attached 983-135B
MONTH DAY
------------------- ---------------
C. REMINDER FREQUENCY
[_] Annual [_] Semi-Annual
[_] Quarterly [_] Monthly
Available for TSA, PEDC/IRC-457 AND UNIT BILLED IRA ONLY:
[_] Semi-Monthly [_] Bi-Weekly
D. REMINDER AMOUNT $
-------------------
E. BILLING MONTHS TO BE EXCLUDED - TSA ONLY
9. EXPECTED FIRST PARTICIPATION YEAR
CONTRIBUTION $
------------------------------------------
If an advanced billing and/or participation date are requested, complete
#8b and #13.
- -------------------------------------------------------------------------------
(FOR PROCESSING OFFICE USE)
Unit Name Reminder Date
---------------------------- ------------------------
Cert. or App.# Amendment Required
----------------------- -------------------
PEDC Emp. Add. Emp. Fed. ID #
----------------------- -----------------------
Frequency Participation Date
---------------------------- -------------------
Receipt Date Batch # Inquiry # Processor
<PAGE>
10. Did you receive the Separate Accounts Prospectus? [_] Yes [_] No
Date on Prospectus
---------------------------------------------------------
Date of any Supplement to Prospectus
----------------------------------------
11. ITEMS (A) THROUGH (G) ARE TO BE ANSWERED COMPLETELY OR NOT AT ALL. If
Annuitant does not wish to provide information requested check here [_].
(Show amounts before this purchase.)
NOTE: In NJ and MD by law item (A) MUST be answered.
(A) Sources of Retirement Income (other than Soc. Security)
-----------------------------------------------------------------------
-----------------------------------------------------------------------
(B) Debts: $
---------------------------------------------------------------
---------------------------------------------------------------
---------------------------------------------------------------
(C) (i) Savings (Checking and Savings accounts):
$
---------------------------------------------------------------
(ii) Securities: $
---------------------------------------------------
(iii) Value of home, less mortgage: $
---------------------------------
(iv) Other Assets (specify sources and amounts):
----------------------------------------------------------------
----------------------------------------------------------------
(D) Ages of Dependents:
----------------------------------------------------
(E) Amount of Life Insurance: $
--------------------------------------------
(F) Cash available for investment or retirement:
(i) $ annually, or
-----------------------------------------------------
(ii) $ single sum
-----------------------------------------------------
(G) Annual income including spouse's: $
------------------------------------
12. Will any existing insurance or annuity be replaced or changed (or has it
been), assuming the certificate applied for will be issues? [_] Yes [_] No
13. SPECIAL INSTRUCTIONS
---------------------------------------------------------------------------
---------------------------------------------------------------------------
---------------------------------------------------------------------------
---------------------------------------------------------------------------
---------------------------------------------------------------------------
---------------------------------------------------------------------------
---------------------------------------------------------------------------
---------------------------------------------------------------------------
---------------------------------------------------------------------------
---------------------------------------------------------------------------
14. Amount paid with this form: $
----------------------------------
(If a check is submitted with this request, no advanced participation
date is permitted.) BACKDATING IS NOT PERMITTED:
NOTE: Amount paid will be credited upon receipt at Equitable's Processing
Office, subject to return if the certificate is not issued. The
Participation Date of the certificate will be the date of receipt by
Equitable of all completed requirements at Equitable's Processing
office.
- -------------------------------------------------------------------------------
AGREEMENT
All information and statements furnished in this request are true and complete
to the best of my knowledge and belief. I understand and acknowledge that no
Agent has the authority to make or modify any contract on Equitable's behalf,
or to waive or alter any of Equitable's rights and regulations.
IT IS UNDERSTOOD THAT THE ACCOUNT VALUES ATTRIBUTABLE TO ALLOCATIONS TO THE
SEPARATE ACCOUNTS AND VARIABLE ANNUITY BENEFIT PAYMENTS MAY INCREASE OR
DECREASE AND ARE NOT GUARANTEED AS TO DOLLAR AMOUNT.
<TABLE>
<CAPTION>
<S> <C> <C> <C>
Signature of Proposed Participant X Date City State
--------------------------- --------- ----------- ----------
Signature of Owner (REQUIRED FOR PEDC/IRC 457/HR-10 TRUSTEE/CORP. TRUSTEED) X
-----------------------------------------------
</TABLE>
- -------------------------------------------------------------------------------
AGENT SECTION
Will any existing insurance or annuity be replaced or changed (or has it been),
assuming the certificate applied for will be issued? [_]Yes [_] No
I (we) certify that a prospectus for the certificate applied for has been given
to the proposed Annuitant and that no written sales materials other than those
approved by The Equitable have been used.
Equi-Vest issued must adequately reflect the commission interest of all Agents
on previous contracts or certificates.
<TABLE>
<CAPTION>
<S> <C> <C> <C> <C> <C> <C>
Agent's Name(s) (Print) Initial of Agent Agent Agency District Agent's
(Service Agent first) Last Name Number % Code Manager Code Signature
- -------------------------------------------------------------------------------------------------------------------------------
- -------------------------------------------------------------------------------------------------------------------------------
- -------------------------------------------------------------------------------------------------------------------------------
- -------------------------------------------------------------------------------------------------------------------------------
- -------------------------------------------------------------------------------------------------------------------------------
- -------------------------------------------------------------------------------------------------------------------------------
- -------------------------------------------------------------------------------------------------------------------------------
</TABLE>
- -------------------------------------------------------------------------------
<TABLE>
<CAPTION>
<S> <C> <C> <C> <C>
FOR AGENCY COMPLIANCE FILE: INITIALS OF AGENCY EQS Date District EQS Date
--------- ------ --------- ---------
</TABLE>
- -------------------------------------------------------------------------------
<TABLE>
<CAPTION>
<S> <C>
(FOR ASU USE) AGENT(S) SHOWN ABOVE IS EQUITY AND IS LICENSED IN THE STATE WHERE THE REQUEST
ASU Code and App. No. IS SIGNED
------------------------------
ASU Rec'd Above Agent information verified by ASM
-----------------------------------------
Date to Proc. Off. Campaign [_] ----------------------------------------------------------------------------
--------------------
Application reviewed by
-----------------------------------------------------
</TABLE>
<PAGE>
THE EQUITABLE LIFE ASSURANCE SOCIETY OF THE UNITED STATES
APPLICATION FOR ESTABLISHMENT OF NEW QUALIFIED EQUI-VEST PLAN
- -------------------------------------------------------------------------------
<TABLE>
<CAPTION>
<S> <C>
1. TYPE OF QUALIFIED PLAN ESTABLISHED:
A) [_] TSA 403(b)Public School (3-30) F) [_] PEDC (Public Employee Deferred Compensation) (9-90)
B) [_] TSA 501 (c) (3) Organization (2-20) G) [_] IRC-457 (Tax Exempt Organization) (9-90 SU 080)
C) [_] TSA University (3-31) H) [_] KEOGH/HR-10 TRUSTEE (1-11)
D) [_] IRA Unit Billed (GC-IRA 4971) I) [_] KEOGH/HR-10 (1-10)
E) [_] SEP (Simplified Employee Pension)(8-80) J) [_] CORPORATE TRUSTEED (4-41)
</TABLE>
2. NAME OF PLAN:
---------------------------------------------------------------------------
3. EFFECTIVE DATE OF PLAN:
Year Month Day
------------ -------- ------------
4. FISCAL YEAR END (FOR KEOGH, SEP, PEDC/IRC-457):
Month Day
----------- ------------
5. REMINDER NOTICE REQUIRED: [_] Yes [_] No
6. UNIT REMINDER DUE DATE:
Month Day
----------- ----------
7. REMINDER FREQUENCY:
[_] Annual (1) [_] Semi-Annual (2)
[_] Quarterly (3) [_] Monthly (4)
Available for TSA, PEDC/IRC-457 and unit Billed IRA only:
[_] Semi-Monthly (5) [_] Bi-Weekly (7)
8. ORDER IN WHICH PARTICIPANTS TO APPEAR ON STATEMENT REMINDER:
[_] Alphabetical (3) [_] Certificate Number (2)
9. EMPLOYER FEDERAL IDENTIFICATION NUMBER:
-
----- ----------------
10. BILLING NAME:
---------------------------------------------------------------------------
Plan Mailing and Billing Address:
------------------------------------------
No. & Street:
------------------------------------------
City or Town:
------------------------------------------
State: Zip Code -
---------------- --------- ------
11. TSA UNIVERSITY PLANS ONLY:
(A) Does the University Plan Document AUTHORIZED Participants to make Loans:
[_] Yes [_] No
(B) Maximum % of cash at maturity %
-------
(C) Surrenders, Withdrawals or Loans (if allowed) will be processed only
with employer approval at the time the request is made.
(D) Please describe any other plan restrictions on reverse of this form.
Acceptance of any other plan provisions or restrictions detailed on
back is subject to Equitable approval.
12. PEDC/IRC-457, HR-10 TRUSTEE, AND CORPORATE TRUSTEED PLANS ONLY:
<TABLE>
<CAPTION>
<S> <C> <C>
(A) Should all correspondence (except Billing and Proxies) be sent to participants? [_] Yes [_] No
(B) Does Owner/Employer authorize Participants to make transfers between accounts and
change the allocation percentages for future allocations? [_] Yes [_] No
13. ERISA INFORMATION STATEMENT SUBMITTED (Required if Box 1(C) (D) (E) (G) (H) (I) or (J) checked): [_] Yes [_] No
14. IS EQUITABLE ADOPTION STATEMENT BEING SUBMITTED (Answer Required if Box 1(H) (I) or (j) checked): [_] yes [_] No
</TABLE>
- -------------------------------------------------------------------------------
UPON ESTABLISHMENT OF PLAN, THE EQUITABLE IS AUTHORIZED TO SOLICIT PROSPECTIVE
APPLICANTS FOR THE PLAN.
X Dated at on 19
----------------------------------------- ---------------- ------ --
Signature and Title of Authorized City State
Officer or Purchaser
- -------------------------------------------------------------------------------
Key Agent (Please Print)
ASU (Alpha) (Numeric)
- ----------------------------------------------- ------- -----
(First) (Middle Initial) (Last) (Code)
Agency
-------------------------------------------------------------------------
(Name) (Numeric Code)
Key Agent Signature
------------------------------------------------------------
- -------------------------------------------------------------------------------
(PROC. OFFICE USE ONLY) ANALYST CODE
---------------------- -------
<PAGE>
TSA
<TABLE>
<CAPTION>
<S> <C>
RETURN THIS FORM
TO YOUR COMPANY
EQUITABLE EMPLOYEE EMPLOYEE BENEFITS
SPECIAL RETIREMENT PRODUCTS APPLICATION DEPARTMENT
- --------------------------------------------------------------------------------------------------------------------
1. EMPLOYEE INFORMATION (PLEASE PRINT)
Name Male Female
- ---------------------------------------------------- -------------------------
First MI Last
Home Address Telephone Day ( )
- ---------------------------------------------------- -------------------------
Night ( )
City State Zip State of Residence
- ---------------------------------------------------- -------------------------
Date of Birth: Month Day Year SS # - -
- ---------------------------------------------------- -------------------------
- --------------------------------------------------------------------------------------------------------------------
2. EMPLOYER INFORMATION
Name Location Code
- --------------------------------------------------------------------------------------------------------------------
Address
- --------------------------------------------------------------------------------------------------------------------
City State Zip
- --------------------------------------------------------------------------------------------------------------------
- --------------------------------------------------------------------------------------------------------------------
3. RETIREMENT DATE
Month Year
Specify the month and year in which you plan your retirement -------------------------
benefits to begin.
- --------------------------------------------------------------------------------------------------------------------
4. INVESTMENT ALLOCATION
Indicate how your contributions are to be divided. (Use whole percents to total 100%.) Choose only
among the options which are permitted for investment under your Employer Administrative
Agreement.
Equitable Investment Option Percentage
Money Market Division %
Common Stock Division %
Bond Division %
Balanced Division %
High Yield Division %
Aggressive Stock Division %
Global Division %
Guaranteed Rate Account 1 Year %
Guaranteed Rate Account 3 Years %
Total 100%
- -------------------------------------------------------------------------------------------------------------------
(Over)
</TABLE>
<PAGE>
<TABLE>
<CAPTION>
<S> <C>
RETURN THIS FORM TO
YOUR COMPANY EMPLOYEE
BENEFITS DEPARTMENT
- ---------------------------------------------------------------------------------------------------------------------------
5. SIGNATURE
Please sign your name authorizing Equitable to establish a TSA Certificate for you. I hereby authorize
Equitable to establish a TSA Certificate in accordance with the instructions given above. I have been
furnished a copy of the Prospectus, (and any supplements thereto) and I am familiar with its
provisions. I understand the investment objectives of the Investment Options and have determined
that Equitable's TSA is suitable for my investment needs and financial situation. Further, I understand
that Fund Unit Values may increase or decrease and are not guaranteed as to dollar amount (unlike
the Guaranteed Rate Account). Also, I certify that a copy of a current salary reduction agreement is
on file with my employer and that the above Social Security Number is correct and valid.
NOTICE TO APPLICANT: IF YOU HAVE ANY QUESTIONS, BE SURE THEY ARE
ANSWERED TO YOUR SATISFACTION BEFORE YOU SIGN AND RETURN THIS
APPLICATION.
Employee Signature ______________________________________ Date _____________________
Please complete BENEFICIARY DESIGNATION and TELEPHONE SERVICE
AUTHORIZATION.
- --------------------------------------------------------------------------------------------------------------------------
6. BENEFICIARY DESIGNATION
I hereby designate the following person(s) to receive my TSA assets upon my death:
Beneficiary _______________________________ % _________ Relationship _______________
Address _______________________________________________________________________
Social Security Number _________________________________
Beneficiary _______________________________ % __________ Relationship _______________
Address _______________________________________________________________________
Social Security Number _________________________________
Beneficiary _______________________________ % __________ Relationship _______________
Address _______________________________________________________________________
Social Security Number _________________________________
If your company's TSA plan is not exempt from the requirements of the Retirement Equity Act of
1984 (REA), then a married employee's beneficiary must be his/her spouse unless the spouse consents
in writing to the designation of a different beneficiary.
</TABLE>
(Over)
<PAGE>
CONSENT FORM
- --------------------------------------------------------------------------------
IF YOU ARE MARRIED AND YOUR BENEFICIARY IS NOT YOUR SPOUSE, YOUR SPOUSE MUST
SIGN THE FOLLOWING STATEMENT, WHICH MUST BE WITNESSED BY A NOTARY OR BY AN
AUTHORIZED REPRESENTATIVE OF THE PLAN.
I, _______________________ , am the current spouse of ____________________,
Name Name
the Employee who is completing this form. I hereby consent by my signature
appearing below to such Employee's designation of the above named
beneficiary(ies), who is (are) someone other than myself and who will receive
the Employee's TSA assets, if any, upon his or her death. I further acknowledge
that I understand that I have the right to be named as the Employee's
beneficiary and to receive the death benefit payable under the certificate, and
that I hereby waive such right. I acknowledge that I understand the
consequences of this waiver and consent and that I have the right to approve
any subsequent beneficiary designations.
Signature of spouse _______________________________
Witnessed this __________ day of _____________________ , 19 by
_____________________ .
My commission expires
[ ] I hereby certify that I am the above-named Employee and I am not married.
----------------------------------------------------
Employee's Signature
- --------------------------------------------------------------------------------
Unless a special beneficiary designation is in effect at the time an account
becomes payable, any amount which becomes payable to your beneficiary shall be
payable to the first surviving class of the following: (1) widow or widower;
(2) surviving children: (3) the executors or administrators of the person upon
whose death the payment becomes due.
- --------------------------------------------------------------------------------
(Over)
<PAGE>
RETURN THIS FORM TO
YOUR COMPANY EMPLOYEE
BENEFITS DEPARTMENT
- --------------------------------------------------------------------------------
7. TELEPHONE SERVICE AUTHORIZATION
(Complete only if permitted under your Employer Administrative Agreement)
Complete this section if you would like to (A) obtain information about your
account or (B) transfer money over the telephone.
I would like to make use of Equitable's toll-free telephone number to:
(A) Obtain information about my account.
I authorize the Equitable to provide information about my account, via
telephone, to any person representing himself or herself to be me and
furnishing the required identification information.
Signature _________________________________ Date _____________
(B) Transfer money among the Investment Options.
I authorize the Equitable to act on telephone transfer instructions from
any person representing himself or herself to be me and furnishing the
required identification information. No transfer will be made unless the
correct identification information is provided. The authorization card
identification information will remain in effect until revoked by me in
writing.
I UNDERSTAND THAT NO MONEY CAN BE WITHDRAWN BY TELEPHONE AND THAT THE
EQUITABLE LIFE ASSURANCE SOCIETY OF THE UNITED STATES ("EQUITABLE") WILL
NOT BE LIABLE FOR ANY LOSS, LIABILITY, COSTS OR EXPENSES ARISING OUT OF
TRANSFERS AUTHORIZED BY TELEPHONE AND THAT THE TELEPHONE TRANSFER SERVICE
MAY BE TERMINATED BY EQUITABLE AT ANY TIME.
Signature _________________________________ Date _____________
- --------------------------------------------------------------------------------
FOR EQUITABLE USE ONLY:
Name of Employer/Organization _________________________________________________
Group Account Number _______________________ Payroll Location Code ____________
<PAGE>
I R A PARTICIPANT ENROLLMENT
________________ ASSOCIATION (ASSOCIATION) MEMBERS RETIREMENT PROGRAM
AVAILABLE THROUGH THE EQUITABLE LIFE
ASSURANCE SOCIETY OF THE UNITED STATES
- --------------------------------------------------------------------------------
PARTICIPANT NOTE: A separate application form is needed to establish
INFORMATION a spouse's account.
____________________________________________________ ____ MALE ____ FEMALE
NAME FIRST MI LAST
________________________________________________________________________________
ADDRESS/NUMBER AND STREET APT #
________________________________________________________________________________
CITY STATE ZIP
________________________________________________________________________________
STATE OF RESIDENCE
This is my ______ Home Address ______ Business Address
Home Telephone #: ( ) ________________ Business Telephone #:
( ) ________________
Social Security Number _______-____-_______
Date of Birth: Mo._____________ Day ______ Yr.______
ASSOCIATION Affiliation: ______ ASSOCIATION Member (18)
______ Employee of ASSOCIATION Affiliated Practice (27)
______ Spouse of ASSOCIATION Member or of employee (36)
- --------------------------------------------------------------------------------
RETIREMENT I understand that I may begin receiving benefits from my
DATE IRA as early as age 59 1/2, but not later than the end of
the year I reach age 70 1/2. Presently, I intend for my
IRA benefits to begin: (insert any date between ages
59 1/2 and the end of the year you become 70 1/2 to be
referred to in your IRA as the "Retirement Date")
-------- --------
MONTH YEAR
If you do not specify a Retirement Date, we will assume
retirement to be at age 65. (You can change your expected
retirement date whenever you wish.)
- --------------------------------------------------------------------------------
BENEFICIARY I hereby designate the following person(s) to receive my
DESIGNATION IRA assets upon my death: (A separate statement may be
attached.)
BENEFICIARY(IES) ADDRESS
%
- --------------------------------------------------------------------------------
%
- --------------------------------------------------------------------------------
%
- --------------------------------------------------------------------------------
I agree that if no beneficiary designation is in effect at the time an amount
becomes payable, any amount which becomes payable to my beneficiary shall be
payable to the first surviving class of the following: (1) widow or widower;
(2) surviving children; (3) the executors or administrators of the person upon
whose death the payment becomes due.
- --------------------------------------------------------------------------------
<PAGE>
<TABLE>
<S> <C> <C> <C>
A. ____ I authorize The Equitable Life Assurance Society of the
OPTIONAL ____ United States ("Equitable") to provide information about my
TELEPHONE IRA, via telephone, to any person who represents himself or
AUTHORIZATION herself to be me and who furnishes the required identification
information.
B. ____ I authorize The Equitable Life Assurance Society of the
____ United States ("Equitable") to provide information about my
IRA and to act on telephone instructions to transfer money
among the Investment Options from any person who
represents himself or herself to be me, and who furnishes the
required identification information. No transfer will be made
unless the correct identification information is provided. The
authorization card identification information will remain in
effect until revoked by me in writing.
I UNDERSTAND THAT NO MONEY CAN BE
WITHDRAWN BY TELEPHONE AND THAT THE
EQUITABLE LIFE ASSURANCE SOCIETY OF THE
UNITED STATES ("EQUITABLE") WILL NOT BE
LIABLE FOR ANY LOSS, LIABILITY, COSTS OR
EXPENSES ARISING OUT OF TRANSFERS
AUTHORIZED BY TELEPHONE AND THAT THE
TELEPHONE TRANSFER SERVICE MAY BE
TERMINATED BY EQUITABLE AT ANY TIME.
</TABLE>
- --------------------------------------------------------------------------------
SIGNATURE I hereby authorize The Equitable Life Assurance
AND Society of the United States ("Equitable") to issue an
ACCEPTANCE IRA Certificate in accordance with the instructions
given above. See attached IRA Tax Disclosure Booklet.
I have been furnished with a copy of the IRA
Prospectus (and any supplement to the IRA Prospectus),
and I am familiar with its provisions. I understand
the investment objectives of the Investment Options
that I have chosen, and have determined that the IRA
is a suitable investment based upon my investment
needs and financial situation. Further, I understand
that any Equity Division unit values may increase or
decrease and are not guaranteed as to dollar amount
(unlike the Guaranteed Rate Account).
NOTICE TO APPLICANT: IF YOU HAVE ANY QUESTIONS BE SURE
THAT THEY ARE ANSWERED TO YOUR SATISFACTION BEFORE YOU
SIGN AND RETURN THIS APPLICATION. PLEASE BE SURE TO
COMPLETE A SEPARATE APPLICATION FOR EACH PERSON.
________________________________________________________________________________
SIGNATURE __________________________________________________ DATE ___________
<PAGE>
- --------------------------------------------------------------------------------
CONTRIBUTION INSTRUCTIONS: Complete this information if you are making
FORM a current contribution to your IRA. Please make your check
payable to The Equitable Life Assurance Society
("Equitable") and mail to: The Equitable, Separate Account
No. 301, P.O. Box 182093, Columbus, Ohio 43218.
- --------------------------------------------------------------------------------
- --------------------------------------------------------------------------------
PARTICIPANT'S NAME SOCIAL SECURITY NUMBER
- --------------------------------------------------------------------------------
ADDRESS
- --------------------------------------------------------------------------------
See attached IRA Disclosure Booklet.
$ ____________________________________________________ _____________________
CONTRIBUTION DATE
INVESTMENT OPTION
Your contributions will be invested among the Investment Options in accordance
with the investment allocation instructions you designate below:
<TABLE>
<S> <C> <C>
Money Market Division % __________ or $_____________________
Common Stock Division % __________ or $_____________________
Bond Division % __________ or $_____________________
Balanced Division % __________ or $_____________________
High Yield Division % __________ or $_____________________
Aggressive Stock Division % __________ or $_____________________
Global Division % __________ or $_____________________
Guaranteed Rate Account 1 Year % __________ or $_____________________
Guaranteed Rate Account 3 Years % __________ or $_____________________
Total Contribution 100% or $_____________________
</TABLE>
TAX YEAR CONSIDERATION
Enter tax year for this contribution.
19__.
If you have not yet filed your federal income tax report for last year, and
your total contribution has not yet exceeded your allowable maximum for that
year, you may make a contribution for last year until the tax return due date.
You are responsible for keeping records of the deductible and non-deductible
amounts contributed to your IRA.
- ------------------------------------------ -------------------------------
SIGNATURE DATE
For a rollover from a prior IRA or other qualified plan please request a
special "Rollover Contribution Form." Do not use this form for rollover
contributions.
For more information call toll free 1-800-992-3012 NATIONWIDE
Be sure to complete one application per person.
Return this application form to: The Equitable Life Assurance Society
Separate Account No. 301
P.O. Box 182093
Columbus, Ohio 43218
<PAGE>
AGREEMENT FOR COOPERATIVE AND JOINT USE OF
PERSONNEL, PROPERTY AND SERVICES BETWEEN THE EQUITABLE
LIFE ASSURANCE SOCIETY OF THE UNITED STATES AND
INTEGRITY LIFE INSURANCE COMPANY
Agreement made as of the 15th day of March, 1985 between THE EQUITABLE
LIFE ASSURANCE SOCIETY OF THE UNITED STATES, a New York corporation
(Equitable) and Integrity Life Insurance Company, an Arizona corporation
(Integrity),
Witnesseth:
WHEREAS, Integrity is a wholly owned subsidiary of Equitable and desires
to utilize Equitable's personnel, property and services in carrying out some
of its corporate functions and Equitable is willing to furnish the same on
the terms and conditions hereinafter set forth;
NOW, THEREFORE, the parties do hereby mutually agree as follows:
1. Equitable will furnish, or contract with any of its affiliates or
subsidiaries for the furnishing of, as available, personnel, property and
services, including advice and assistance with respect to investments,
requested from time to time by Integrity to carry out its corporate
functions.
-1-
<PAGE>
2. Integrity agrees to pay to Equitable those costs and expenses incurred
by Equitable or any of its affiliates or subsidiaries which, as reasonably
determined by Equitable and demonstrated to the reasonable satisfaction of
Integrity, reflect the actual cost to Equitable or its affiliates or
subsidiaries of furnishing such personnel, property and services.
3. The books, accounts and records of Equitable and Integrity as to all
transactions hereunder, shall be maintained so as to clearly and accurately
disclose the nature and details of the transactions, including such
accounting information as is necessary to support the reasonableness of the
charges or fees herein.
4. The term of this Agreement shall commence as of the date hereinabove
indicated and continue until December 31, 1985, and thereafter shall be
deemed to be renewed automatically, upon the same terms and conditions, for
successive periods of one year each, until either party, at least 60 days
prior to the expiration of the original term or of any extended term, shall
give written notice to the other party of its intention not to renew the
Agreement.
5. It is understood that (a) Equitable, any of its affiliates or
subsidiaries, will invest for their own account and may act as investment
adviser for others and that Equitable or such others or persons or
organizations affiliated with Equitable could have investment interests
adverse to the interests of Integrity in
-2-
<PAGE>
the same or related investments, (b) Equitable is not obligated to make
available to Integrity any particular investment opportunity which comes to
Equitable or its subsidiaries or affiliates, regardless of whether such
opportunity is consistent with the investment policies of Integrity; and (c)
Integrity shall retain full control over its investment activities, and
Equitable or any of its affiliates or subsidiaries shall have no power or
authority by virtue of this Agreement, whether as agent or otherwise, to
obligate or commit Integrity for the acquisition or disposition of any
investment.
6. No assignment of this Agreement shall be made by Equitable without the
consent of Integrity.
7. Subject to the foregoing Clause 6, this Agreement shall inure to the
benefit of and be binding upon the successors and assigns of the parties
hereto.
Dated: March 15, 1985
THE EQUITABLE LIFE ASSURANCE
SOCIETY OF THE UNITED STATES
By Peter R. Wilde
________________________________
INTEGRITY LIFE INSURANCE COMPANY
By Franklin Maisano
_________________________________
-3-
<PAGE>
ADMINISTRATION AND SERVICING AGREEMENT
AGREEMENT, made as of this 1st day of May, 1987, by and between THE
EQUITABLE LIFE ASSURANCE SOCIETY OF THE UNITED STATES, 787 Seventh Avenue,
New York, New York 10019 ("Equitable"), and INTEGRITY LIFE INSURANCE COMPANY,
1350 Avenue of the Americas, New York, New York 10019 ("Integrity").
W I T N E S S E T H:
WHEREAS, Equitable is the issuer of certain deferred annuity products,
including individual retirement annuity certificates and tax-sheltered
annuity contracts (collectively, the "Contracts") providing for both fixed
accumulations through Equitable's general account and variable accumulations
through Separate Account No. 301 of The Equitable Life Assurance Society of
the United States (the "Separate Account"); and
WHEREAS, the Separate Account (i) is a separate account established under
the Insurance Law of the State of New York, (ii) is registered as an
investment company under the Investment Company Act of 1940 (the "1940 Act")
and (iii) is a unit investment trust with divisions invested solely in shares
of the corresponding portfolios of an underlying mutual fund (the "Fund");
and
WHEREAS, Equitable is the Depositor for the Separate Account under the
1940 Act; and
WHEREAS, Equitable has performed and now desires Integrity to perform
certain administrative and recordkeeping services for the Separate Account
and the Contracts; and
WHEREAS, Integrity is in the business of providing recordkeeping services
and administration to various clients and has the personnel, computer
programs and expertise necessary to provide administration and recordkeeping
services for the Separate Account and the Contracts; and
WHEREAS, the Contracts provide that Equitable may make certain charges to
cover the cost of administration against the assets of the Separate Account
and that the Separate Account may also pay certain expenses directly.
NOW, THEREFORE, Equitable and Integrity agree as follows:
1. Integrity shall provide all administration, recordkeeping, electronic
data processing and contractholder services normally required for the
Contracts and the Separate Account and previously provided by Equitable.
Without limiting the generality of the foregoing, Integrity will provide the
services summarized in Schedule A, attached hereto, and such modified or
additional services as may be agreed upon by the parties from time to time
and set forth in written memoranda attached hereto and incorporated into this
Agreement as if fully set forth herein.
2. Integrity warrants and represents that its services for the Separate
Account shall be equal to or better than those currently provided to other
Integrity clients and that it has the ability to enable compliance by the
Contracts with all Federal, State and local statutes, rules, regulations,
orders and decrees. Integrity further warrants and represents that it is
familiar with the data processing need associated with Internal Revenue
Service and New York Insurance Department requirements and Securities and
Exchange Commission ("SEC") regulated financial transactions and
recordkeeping requirements. Integrity also represents that it is competent in
the recordkeeping industry and in the area of financial transactions.
Integrity agrees to share its knowledge and use its best efforts to enable
the Separate Account to perform legal and business functions.
Integrity, as the administrator and recordkeeper, shall comply with all
applicable requirements of Federal securities laws, the Internal Revenue
Code, the Insurance Law of the State of New York and regulations thereunder
applicable to the Contracts and the Separate Account. Integrity warrants and
represents that it is familiar with relevant legal requirements and shall use
its best efforts to continue to keep abreast of relevant information
regarding applicable legal requirements.
1
<PAGE>
3. Integrity shall meet or exceed such performance standards as shall be
necessary to make it possible for the Separate Account to comply with Federal
securities laws applicable to the Contracts and, in addition, the performance
standards specified in Schedule B attached hereto. The standard of
performance shall be equal to or better than that currently provided by
Integrity for similar types of services.
4. At least once each quarter, Integrity shall furnish to Equitable an
operations report which shall be in a form mutually agreed upon by the
parties and which shall include the number of transactions and correspondence
items processed separated by category, a quantitative measure of response
time and performance, mean time to respond, and any other specific operating
or administrative data and information necessary to evaluate performance.
5. Integrity shall retain, in accessible form, tapes, reports and other
records and documents for such time periods and in such forms specified in
Schedule C attached hereto.
6. Integrity agrees that all records and other data pertaining to the
Contracts, including without limitation, files, input materials, reports and
forms that are received, computed, developed, used, and/or stored pursuant to
this Agreement are the exclusive property of Equitable and that all such
records and other data shall be furnished to Equitable by Integrity upon
termination of this Agreement for any reason whatsoever.
Furthermore, upon Equitable's request at any time or times while this
Agreement is in effect, Integrity shall promptly deliver to Equitable any or
all of the data and records held by Integrity pursuant to this Agreement.
Integrity shall not possess any interest in, title or other right to, or lien
upon any such data or records. This shall not preclude Integrity from keeping
copies of such data or records for its own files.
7. Subject to paragraph 6, individuals, duly authorized in writing, of
each of the parties hereto shall, upon reasonable prior written notice, have
access to the books and records of the other party during normal business
hours and subject to reasonable conditions, insofar as they pertain to the
Contracts and the services provided with respect thereto hereunder.
8. Integrity shall keep in a separate and safe place additional copies of
all records required to be maintained or additional tapes or disks necessary
to produce all such records. Integrity shall use reasonable care to minimize
the likelihood of any damage, loss of data, delays or errors resulting from
an uncontrollable event, and should such damage, loss of data, delay or
errors occur, Integrity shall use its best efforts to mitigate the effects of
such occurrence. Integrity shall follow the security procedures described in
Schedule D hereto with respect to data relating to the Contracts or the
Separate Account.
9. Integrity will use its best efforts to safeguard and protect the
confidentiality of all records and proprietary and other information with
respect to Equitable and Equitable's contractholders and Integrity on behalf
of itself and its employees shall keep confidential any proprietary
information received from Equitable and any personal information respecting
Equitable's Contractholders; provided, however, that if Integrity is required
to produce any such information by a final order of any government agency or
other regulatory body, it may, upon not less than ten (10) days written
notice to Equitable, release the required information unless compelled by
statute, regulatory requirement, or Court order to release the information
sooner, provided, however, that no such release shall be made in the event
that Equitable notifies Integrity that it intends to pursue an appeal of such
final order in the appropriate judicial forum.
10. (a) For the administrative services performed hereunder, Equitable
will pay to Integrity (i) the amounts collected under the charge for
administration at the effective annual rate of 0.25% of the value of the
assets of the Separate Account which is provided for in the Contracts (this
charge shall be reflected, in the manner stated in the Contracts, in the
computation of the unit values thereunder and shall be payable quarterly) and
(ii) an amount at the effective annual rate of .70% of the value of the
assets in the general account under the Contracts (this charge shall be
payable quarterly). In addition, Equitable will pay to Integrity the amounts
collected pursuant to the charge for administration which Equitable may
charge each Contractholder of up to $30 per year (a maximum of $7.50 per
quarter),
2
<PAGE>
which is reflected through a reduction of units credited to the
contractholder under a Contract with respect to amounts in the Separate
Account and through a reduction of dollars with respect to amounts allocated
to Equitable's general account.
(b) For its recordkeeping services for the Separate Account and the
contractholders performed hereunder, the initial charges set forth in
Schedule E hereto. It is the intention of Integrity and Equitable that
recordkeeping services be performed at cost and that the charges made by
Integrity should, subject to paragraph 11, be sufficient to reimburse
Integrity for its costs. Integrity and Equitable agree to review the charges
set forth in Schedule E from time to time and, if necessary, to adjust such
charges to reflect Integrity's costs.
11. If in any fiscal year the aggregate expenses of the Money Market,
Stock, Bond or Balanced Division of the Separate Account (including charges
made pursuant to this Agreement but excluding interest, taxes, brokerage
commissions or fees relating to securities transactions and certain state
approved extraordinary expenses) plus the aggregate expenses of the
corresponding portfolios of the Fund, exceed 1.0% for the Money Market
Division or 1.5% for the Stock, Bond or Balanced Divisions, Integrity will
reimburse the appropriate Division of the Separate Account for the excess.
The obligation to reimburse will be estimated, reconciled and paid on a
quarterly basis.
12. This Agreement will remain in effect until December 31, 1987 and
thereafter will continue in effect for successive annual periods unless
notice of termination is given by either of the parties. This Agreement may
be terminated without penalty at any time by Equitable or as of the end of a
calendar year by Integrity, in each case upon 60 days' written notice to the
other party. In the event this Agreement is terminated for any reason,
Integrity shall cooperate with Equitable to permit an orderly transfer of
recordkeeping and administrative functions and shall provide all necessary
staff, services and assistance required for an orderly transfer.
13. Integrity will indemnify and hold harmless the Trustees of the Fund
against any and all losses, claims, damages or liabilities (or actions in
respect thereof), to which the Trustees may become subject, insofar as such
losses, claims, damages or liabilities (or actions in respect thereof) arise
out of the services provided pursuant to this Agreement and will reimburse
the Trustees for any legal or other expenses reasonably incurred by them in
connection with investigating or defending against such loss, claim, damage,
liability or action in respect thereof.
14. This Agreement may not be assigned by Integrity without the prior
written consent of Equitable.
IN WITNESS WHEREOF, the parties hereto have caused this Agreement to be
executed in their names and on their behalf by and through their duly
authorized officers.
THE EQUITABLE LIFE ASSURANCE
SOCIETY OF THE UNITED STATES
ATTEST /s/ KEVIN KEEFE By /s/ PETER R. WILDE
--------------------- ---------------------------
Date May 1, 1987 Its Executive Vice President
--------------------- ---------------------------
INTEGRITY LIFE INSURANCE COMPANY
ATTEST /s/ KEVIN KEEFE By /s/ SCOTT R. GRODNICK
--------------------- ---------------------------
Date May 1, 1987 Its Vice President and Chief
--------------------- Financial Officer
---------------------------
3
<PAGE>
SCHEDULE A
SERVICES TO BE PROVIDED
ADMINISTRATIVE SERVICES
(a) Allocate amounts received under the Contracts in accordance with the
provisions thereof and make computations thereunder, including computations
of unit values, and make payments, in accordance with the provisions thereof;
(b) Maintain such books of account and other records of all transactions
relating to the Contracts and the Separate Account as may be necessary to
reflect clearly the assets and liabilities in respect of the Separate Account
and the General Account and to identify and distinguish the same at all times
from the assets and liabilities arising out of the other business of
Equitable;
(c) Prepare and submit to the appropriate regulatory authorities all
amendments to the registration statement, notices, proxies, proxy statements
and periodic reports that are required to be, or may be, transmitted to
persons having rights in respect of the Contracts or the Separate Account and
transmit the same to such persons.
Prepare and file all reports required by law to be filed with any State or
Federal regulatory authority;
(e) Except as hereinafter in this subparagraph and in paragraph 11 of this
Agreement provided, pay all costs and other expenses attributable to the
establishment, maintenance and operations of the Separate Account including
all salaries, rent, postage, telephone, travel, legal, actuarial and
accounting costs, office equipment, and stationery; provided that certain
expenses incurred in the establishment, maintenance and operation of the
Separate Account, subject to the limitations set forth in paragraph 11 of
this Agreement, may be charged against the Separate Account, including,
without limitation: SEC fees and State securities laws qualification fees;
insurance premiums; outside audit and legal expenses; costs of shareholder
reports and individual account maintenance; fees or compensation in the
performance of the functions of administration of the Separate Account such
as maintenance of individual participant records, or for maintenance or
operation of the Separate Account such as daily transaction processing; and
contractholder meetings; and provided further that all taxes attributable to
the maintenance or operation of the Separate Account will be charged against
the Separate Account in the manner stated in the Contracts; and
(f) Make the charges, and only the charges, in such amounts and manner and
for such expense or other purposes, as shall be stated in the Contracts or in
the registration statement of the Separate Account under the 1940 Act or the
Securities Act of 1933, in order (i) to provide funds for the purpose of
paying the costs and other expenses of administration in respect of the
Contracts and the Separate Account (including the costs and other expenses
referred to in subparagraph (e) above) and such other costs and expenses as
may be stated in the Contracts or in the registration statement for the
Separate Account, and (ii) to pay applicable premium taxes, if any.
RECORDKEEPING SERVICES
(a) New Accounts
Implement group and participant records via an on-line system based on
enrollment forms or applications received from client or participant.
Enrollments will be edited and screened for completeness. Each
participant's account will reflect the product and the sources of funds to
be maintained. Items not in good order will be pulled from work flow for
correction or return.
(b) Transactions
Receipt, edit, validation and entry of all written requests for
contributions, distributions and transfers between investment options via
an on-line system.
4
<PAGE>
(c) Payroll Deduction Processing
Receipt, editing and updating of single or multiple payroll deduction
contributions. Notification given to client of receipt, edit, and dollar
amount for each tape. Utilization of magnetic tape input is limited to the
physical tape constraints and format, as mutually agreed upon by Integrity
and the client. Supply the client with sufficient information on any
payroll deduction error processing (e.g., no enrollment for a particular
social security number) so that client may resolve any problems.
(d) Update Processing
Nightly updates of all data processed that day, once unit values have
been entered into the system.
(e) Confirmation Notices
Production and distribution of daily confirmation notices for all
financial transactions with respect to variable annuity contracts
(contribution, distribution, transfer) but not for payroll deduction
contributions. Distribution of confirmation notices will be either to the
participant or a group location based upon the group mailing preference.
(f) Periodic Statement
Production and distribution at the close of each quarter or other period
agreed upon between Integrity and the client of a statement of the
period-to-date transactions processed against each participant's account.
The statement will provide the following information by Fund and in total.
All items will be in dollars except the closing balance for each Fund
which will be displayed in dollars and units.
Detail Level Information
Confirmation of all transactions by date within Funds and
General Account options including dollar amount, daily unit
values and corresponding units.
Year-To-Date Information (In Dollars)
Opening Balance
Contributions by Source
Contributions for Prior Year (IRA only)
Rollovers
Withdrawals
Investment Income
Closing Balance
Other Information
Certain Fixed Messages
Certain Variable Messages
Distribution of quarterly statements will be either to the
participant or a group location based upon mailing preference
of client.
(g) Production and Mailing of All Distribution Checks to Participants
Requests for full or partial distributions may have to be cleared by the
group depending on the group's preference as indicated in the Employer's
administrative agreement. Pertinent information on distributions affected
will be reported to Integrity to receive the group's authorization for
distribution.
(h) Balancing of the Previous Day's Cash Receipts, Disbursements and
Transfers
All transactions will be reported on a daily basis to Equitable Capital
Management Corporation. In addition, cash deposits to The Chase Manhattan
Bank, N.A. or such other banks as may be utilized on behalf of the account
will be reported immediately to Equitable's treasury area.
5
<PAGE>
(i) Perform 1099R, 5498 and W2P or Other Required Tax Reporting on a
Timely Basis
This includes the mailing of the tax forms as required to the individual
participants.
(j) Commissions (Incentive Compensation)
Provide data to pay commissions and finders fees.
(k) Premium Taxes
Provide data by state to allow Equitable to account for premium taxes
due.
(l) Production of Company Level Reports
(m) Proxy Statements
Addressing, mailing, receipt of reply and summary of proxy statements.
(n) Perform corrections of transactions for all errors occurring in a
timely manner.
(o) Produce and distribute certificates to participants at time of first
contribution.
Distribution of the certificate will include mutually agreed upon inserts
as required.
(p) Unit values will be entered into the operations system via CRT on a
daily basis. Unit values on the system will be verified the following
morning to insure correctness.
(q) Integrity will move monies in the related checking accounts and will
transfer monies to the underlying funds.
(r) Reconciliation will be performed for the related checking account.
(s) Proving the value of the units in the operations system to the value
of the assets of the Funds.
(t) Necessary regulatory reports and filings, and year-end accountings
and/or filings.
6
<PAGE>
SCHEDULE B
PERFORMANCE STANDARDS
These guidelines are intended to be normal operating performance
standards. Cases involving unusually large volume received in bulk may
require more than one day to process. Other conditions not under Integrity's
control (i.e., power failures, major system crash, other uncontrolled
situations) may not allow for these standards to be met. Integrity will use
its best efforts to keep any delays in processing caused by these situations
to a minimum.
<TABLE>
<CAPTION>
<S> <C>
A. ESTABLISHMENT OF NEW ACCOUNTS
1. Group Account ........................................... 1 business day
2. Participant Account
a.With money attached .................................... 1 business day
b.Without money attached ................................. 1 business day
B. TRANSACTION PROCESSING (excluding Payroll Deduction)
1. Contributions ........................................... 1 business day
2. Transfers ............................................... 1 business day
3. Withdrawals (including check preparation and mailing)
a.premature partial withdrawal ........................... 5 business days
b.liquidation of account ................................. 5 business days
c.periodic payments
i.initial .............................................. 5 business days
ii.subsequent ........................................... 5 business days
4. Maintenance
a.correction of financial errors ......................... 1-2 business days
b.address changes ........................................ 3 business days
c.other participant changes .............................. 3 business days
d.group maintenance transactions ......................... 3 business days
e.termination of employment .............................. 3 business days
C. PAYROLL DEDUCTION PROCESSING
1. Tape edit and proof ..................................... 2 business days
2. Live update upon authorization .......................... 1 business day
D. UPDATE PROCESSING OF FINANCIAL TRANSACTIONS ............... 1 business day
E. CONFIRMATION NOTICE ....................................... 5 business days
F. QUARTERLY STATEMENT ....................................... 5 business days
after close of
quarter
H. BALANCING OF CASH RECEIPTS AND UNIT PURCHASES ............ 1 business day
I. PRODUCTION AND DISTRIBUTION OF 1099, 5898 and W2D ........ as required
by law
J. PREMIUM TAX REPORTING ..................................... as required
by tax accounting
K. CORPORATE REPORTS ......................................... as required
L. PROXY STATEMENTS .......................................... as required
M. ERROR CORRECTIONS
1. Financial transactions .................................. 1-2 business days
2. Non-financial transactions .............................. 2-3 business days
N. CERTIFICATE AND MUTUALLY AGREED UPON INSERTS .............. issued 5 business
days from first
contribution
</TABLE>
7
<PAGE>
SCHEDULE C
RECORDS RETENTION
<TABLE>
<CAPTION>
RETENTION PERIOD
-------------------------
ON SITE ARCHIVES
----------- ------------
<S> <C> <C>
DOCUMENT
Applications ............... 2 Years 5 Years
Purchases .................. 2 Years 5 Years
Correspondence ............. 2 Years 5 Years
Liquidation Requests ....... 2 Years 5 Years
Exchange Requests .......... 2 Years 5 Years
Maintenance Requests ....... 2 Years 5 Years
COMPUTER OUTPUT LISTINGS
Preliminary Cash ........... 1 Year 6 Years
Check Listing .............. 1 Year 6 Years
Purchase ................... 1 Year 6 Years
Redemptions ................ 1 Year 6 Years
TAPE RETENTION
*Daily Back-Up Tapes ....... 14 Days
</TABLE>
- ------------
* Daily back-up tapes contain a history of all the transactions on the system.
8
<PAGE>
SCHEDULE D
SECURITY PROCEDURES
HARDWARE SECURITY
The computer room facility which houses the hardware for the "PAS" system
is kept locked. Each of the two entry doors has a combination lock. The
combinations are known to a limited number of people in the Operating Area
and Pension Systems, are controlled by the Computer Room Manager and are
changed periodically. The combinations are changed immediately if any person
who knows the combinations is transferred out of the area or his or her
employment is terminated. In addition, the computer room is equipped with a
Halon Fire Suppression System.
SOFTWARE SECURITY
Each person has a personal password that enables him or her to log onto
the system. In addition, the system is programmed to recognize which files
this person can access or update. This password is known only to the person
and the System Administrator. Passwords are changed periodically to maintain
the security of the system. Passwords are immediately deleted if a person
transfers out or has his or her employment terminated. In addition, a system
security manual has been developed which outlines authorization levels for
users and audit procedures.
9
<PAGE>
SCHEDULE E
RECORDKEEPING FEE SCHEDULE
1. $1.92 per participant per year.
-- A participant with both an IRA rollover account and an IRA contributory
account will receive one charge.
-- A participant with both a TSA basic account and a TSA supplemental
account will receive one charge.
2. $.08 per automated payroll transaction.
3. $.12 per quarterly statement issued to participants.
4. $.40 per daily confirmation notice issued to participants.
5. $5.00 per client.
-- Fee charged monthly per client to commence upon first enrollment.
6. $5.00 tape mounting fee.
-- Charge for each payroll tape submitted by a client in excess of one per
week. To be charged once 52 tapes per year have been received.
-- Billed amounts to be submitted monthly.
7. $600 per month per variable investment division of the Separate Account
and $200 per month Guaranteed Rate Account.
8. $1.50 per manual transaction.
-- Only transaction input by ELAS.
-- Charges will be listed by the following categories, with backup details
available on request for each client.
*Lump Sum Contribution--one charge per contribution received per
participant account.
*Transfers--one charge per request per participant account.
*Lump Sum Distributions--one charge per request for distribution
from each participant.
*First Periodic Payments--one charge for initial payment.
*Maintenance Transactions (changes to master file for non-monetary
changes)--one charge for each request for a change initiated by
the participant.
9. $.75 per subsequent periodic payment charge per monthly check per
participant.
10. $1.00 per manual payroll deduction contribution.
11. $6.00 per enrollment.
-- Charge for establishment of participant account, including certificate
issuance.
12. Out of pocket expenses.
-- Billed amounts will be itemized by category (forms, stationery, postage,
telephone, etc.). And where possible sub-categorized for charges
relating directly to:
* Postage for confirmation notices
* Postage for quarterly statements
* Travel--administration of installed clients
* Other categories as applicable. $100 or more in order to be itemized.
13. Computer Equipment at $9,000 per month.
10
<PAGE>
EXHIBIT 8(C)
AMENDMENT TO ADMINISTRATION AND SERVICING AGREEMENT
INTEGRITY LIFE INSURANCE COMPANY, an Arizona corporation having its
principal place of business at 1350 Avenue of the Americas New York, NY
10019, ("Integrity") and THE EQUITABLE LIFE ASSURANCE SOCIETY OF THE UNITED
STATES, a New York corporation, having its principal place of business at 787
Seventh Avenue, New York, N.Y. 10019 ("Equitable"), hereby amend the
Administration and Servicing Agreement between them, dated as of May 1, 1987
(the "Agreement"), as follows:
1) Sections 2, 3 and 12 of the Agreement are deleted in their entirety and
replaced with the following:
2. Integrity warrants and represents that its services for the Separate
Account shall be at least equal to those currently provided to other
Integrity clients and that it has the ability to enable compliance by
the Contracts with all Federal, State and local statutes, rules,
regulations, orders and decrees. Integrity further warrants and
represents that it is familiar with the data processing need
associated with Internal Revenue Service and New York Insurance
Department requirements and Securities and Exchange Commissions
("SEC") regulated financial transactions and recordkeeping
requirements. Integrity also represents that it is competent in the
recordkeeping industry and in the area of financial transactions.
Integrity agrees to share its knowledge and use its best efforts to
enable the Separate Account to perform legal and business functions.
Integrity, as administrator and recordkeeper, shall comply with all
applicable requirements of Federal securities laws, the Internal
Revenue Code, the Insurance Law of the State of New York and
regulations thereunder applicable to the Contracts and the Separate
Account. Integrity warrants and represents that it is familiar with
relevant legal requirements and shall use its best efforts to
continue to keep abreast of relevant information regarding applicable
legal requirements.
<PAGE>
3. Integrity shall meet or exceed such performance standards as shall be
necessary to make it possible for the Separate Account to comply with
Federal securities laws applicable to the Contracts and, in addition,
the performance standards specified in Schedule B attached hereto.
The standard of performance shall be at least equal to that currently
provided by Integrity for similar types of services.
12. This Agreement will remain in effect until the close of business on
December 31, 1990. It shall be automatically renewable for successive
one year periods thereafter. This Agreement may be terminated without
penalty at any time thereafter (i) by Equitable upon 180 days written
notice to Integrity or (ii) by Integrity as of the end of 1990 or any
succeeding calendar year upon 180 days written notice to Equitable.
In the event this Agreement is terminated for any reason, Integrity
shall cooperate with Equitable to permit an orderly transfer of
recordkeeping and administrative functions and shall provide all
necessary staff, services, and assistance required for an orderly
transfer; provided, however, that any costs and expenses associated
with the conversion of the Software (as defined below) to permit its
use by any party other than Integrity (including Equitable) shall be
paid by Equitable alone.
2) The following new provision is added as Paragraph 13, and existing
Paragraphs 13 and 14 are renumbered as Paragraphs 14 and 15, respectively:
13. Integrity hereby agrees that it will not use the software, related
documentation and other materials licensed by Equitable from National
FSI, Inc. pursuant to a license agreement dated August 2, 1983, and
currently used by Integrity to perform its duties under this
Agreement (the "Software") for any other purpose whatsoever.
Integrity hereby further agrees that it will not permit any person or
entity under its control (including any employee or consultant
engaged by Integrity) to use the Software for any purpose other than
as contemplated under this Section 13.
<PAGE>
3) Except as amended hereby, the Agreement shall remain in full force and
effect in accordance with its terms.
4) This Amendment shall become effective as of the Closing Date, as such term
is defined in the Stock Purchase Agreement, dated as of June 16, 1988,
between Equitable and N.M. U.S. Limited.
IN WITNESS WHEREOF, the undersigned have executed this Amendment to the
Agreement.
INTEGRITY LIFE ASSURANCE COMPANY
By: /s/ Arthur Goodlich
------------------------------------
Title: Vice President
---------------------------------
Date: 9/30/88
----------------------------------
THE EQUITABLE LIFE ASSURANCE SOCIETY
OF THE UNITED STATES
By: /s/ Edward J. Justague
------------------------------------
Title: Vice President
---------------------------------
Date: 9/29/88
----------------------------------
<PAGE>
THE EQUITABLE LIFE ASSURANCE SOCIETY OF THE UNITED STATES
1285 AVENUE OF THE AMERICAS, NEW YORK, N.Y. 10019
DIRECT DIAL TEL. (212) 554-3971
HERBERT P. SHYER
Executive Vice President and General Counsel
November 14, 1983
The Equitable Life Assurance Society
of the United States
1285 Avenue of the Americas
New York, New York 10019
Dear Sirs:
The Equitable Life Assurance Society of the United States
("Equitable") has registered units of interest ("Units") under group deferred
variable annuity contracts in Separate Account No. 301 of The Equitable Life
Assurance Society of the United States ("Separate Account No. 301") by the
filing under the Securities Act of 1933 (the "Act") of registration statement
No. 2-74667 on Form N-1 (the "Registration Statement") covering an indefinite
amount of contributions to be received under the contracts. The contracts were
designed to provide fixed retirement benefits under tax-qualified individual
retirement annuity certificates described in the prospectus included in the
Registration Statement.
This opinion is furnished in connection with the filing of
Post-Effective Amendment No.6 to the Registration Statement (the
"Post-Effective Amendment") for the purpose of describing additional group
deferred variable annuity contracts (the "Contracts") under which such Units
will be issued. The contracts are designed to provide retirement benefits for
employees who are or may be issued certificates (the "Certificates") under (1)
tax-sheltered annuity arrangements and (2) cash or deferred arrangements of
employers who adopt profit-sharing plans, as described in the prospectus
included in the Post-Effective Amendment (the "Prospectus").
I have examined all such corporate records of Equitable and such
other documents and such laws as I consider appropriate as a a basis for the
opinion hereinafter expressed. On the basis of such examination, it is my
opinion that:
1. Equitable is a corporation duly organized and validly existing under the
laws of the State of New York.
<PAGE>
The Equitable Life Assurance Society
of the United States
November 14, 1983
Page 2
2. Separate Account No. 301 was duly created pursuant to the
provisions of the New York Insurance Law.
3. The assets of Separate Account No. 301 are owned by Equitable;
Equitable is not a trustee with respect thereto. Under New York law, the
income, gains and losses, whether or not realized, from assets allocated to
Separate Account No. 301 must be credited to or charged against such account,
without regard to the other income, gains or losses of Equitable. Although
contractual obligations with respect to funds of Separate Account No. 301
constitute corporate obligations of Equitable, the special accounts payable
from accumulations in Separate Account No. 301 in accordance with the
Contracts will depend upon the investment experience of Separate
Account No. 301.
4. The Contracts will provide that the portion of the assets of
Separate Account No. 301 equal to the reserves and other contract liabilities
with respect to Separate Account No. 301 shall not be chargeable with
liabilities arising out of any other business Equitable may conduct and that
Equitable reserves the right to transfer assets of Separate Account No. 301
in excess of such reserves and contract liabilities to the general account
of Equitable.
5. When executed, the Contracts (including any Units when duly
credited thereunder) will have been duly authorized, and each of the
Contracts (including any such Units) will constitute a validly issued and
binding obligation of Equitable in accordance with its terms. Purchasers
of the Certificates described in the Prospectus will be subject only to the
deductions, charges and fees set forth in such Prospectus.
I hereby consent to the use of this opinion as an exhibit to the
Registration Statement and to the reference to my name under the heading
"Legal Matters" in the Prospectus.
Very Truly yours,
/s/ Herbert P. Shyer
--------------------
Herbert P. Shyer
Executive Vice President and
General Counsel
<PAGE>
THE EQUITABLE
HERBERT P. SHYER
EXECUTIVE VICE PRESIDENT
AND GENERAL COUNSEL
April 13, 1987
The Equitable Life Assurance
Society of the United States
787 Seventh Avenue
New York, New York 10019
Dear Sirs:
The Equitable Life Assurance Society of the United States ("Equitable")
has registered units of interest ("Units") under group annuity contracts
("Contracts") in Separate Account No. 301 of Equitable ("Separate Account No.
301") by the filing under the Securities Act of 1933 and the Investment Company
Act of 1940 of Registration Statement Nos. 2-74667 and 811-3301 on Form N-3, as
subsequently amended on Form N-4 ("Registration Statement"), covering an
indefinite amount of contributions to be received under the Contracts. The
Contracts are designed to provide fixed and variable retirement benefits for
employees who are or may be issued certificates ("Certificates") under
tax-qualified individual retirement annuities and tax-sheltered annuity
arrangements of tax-exempt organizations, as described in the prospectus
included in the Registration Statement ("Prospectus"). The Registration
Statement covers Units which will be issued subsequent to the restructuring of
Separate Account No. 301 and Separate Account Nos. 302, 303 and 304 of
Equitable pursuant to an Agreement and Plan of Reorganization, to be entered
into on or about May 1, 1987 ("Agreement") by and among Equitable, each of the
Separate Accounts, Integrity Life Insurance Company and Harmony Investment
Trust.
I have examined all such corporate records of Equitable and such other
documents and laws as I consider appropriate as a basis for the opinion
hereinafter expressed. On the basis of such examination, it is my opinion that:
1. Equitable is a corporation duly organized and validly existing under
the laws of the State of New York.
2. Separate Account No. 301 was duly created pursuant to the provisions of
the New York Insurance Law.
<PAGE>
- 2 -
3. The assets of Separate Account No. 301 are owned by Equitable;
Equitable is not a trustee with respect thereto. Under New York law, the
income, gains and losses, whether or not realized, from assets allocated to
Separate Account No. 301 must be credited to or charged against such account,
without regard to the other income, gains or losses of Equitable. Although
contractual obligations with respect to funds of Separate Account No. 301
constitute corporate obligations of Equitable, the specific amounts payable
from accumulations in Separate Account No. 301 in accordance with the Contracts
will depend upon the investment experience of Separate Account No. 301.
4. The Contracts provide that the portion of the assets of Separate
Account No. 301 equal to the reserves and other contract liabilities with
respect to Separate Account No. 301 shall not be chargeable with liabilities
arising out of any other business Equitable may conduct and that Equitable
reserves the right to transfer assets of Separate Account No. 301 in excess of
such reserves and contract liabilities to the general account of Equitable.
5. The Contracts, as proposed to be amended to reflect changes
contemplated by the Agreement (including any Units when duly credited under the
Contracts), will have been duly authorized, and each of the Contracts, as thus
amended (including any such Units), will constitute a validly issued and
binding obligation of Equitable in accordance with its terms. Purchasers of the
Certificates described in the Prospectus will be subject only to the
deductions, charges and fees set forth in such Prospectus.
I hereby consent to the use this opinion as an exhibit to the Registration
Statement and to the reference to my name under the heading "Legal Matters" in
the Prospectus.
Very truly yours,
/s/ Herbert P. Shyer
----------------------------------
Herbert P. Shyer
