Optional Forms of Benefits

7.08 - In lieu of the normal form of payment, a Participant may elect an optional form of benefit under (a), (b) or (c) below:

• Life Guaranteed Five (5), (10) or Fifteen (15) Years Options. A Participant may elect a Life Guaranteed Five (5), (10) or Fifteen (15) Years Option so that, should the Participant die before the Participant has received either 60, 120 or 180 monthly payments of pension benefits, the payments shall be continued to the Participant's Beneficiary until a total of either 60, 120 or 180 such payments has been made.
• Joint and Surviving Spouse Option. A Participant may elect a joint and surviving spouse option in respect of Spouse or former Spouse. Benefits payable under this option shall consist of an Actuarially Equivalent amount of pension payable during the lifetime of the Participant and continuing after the Participant's death in an amount equal to 50%, 60%, 66-2/3%, 75% or 100% of such amount during the remaining lifetime of a Surviving Spouse or former Spouse. The percentage to be continued to the Surviving Spouse or former Spouse after the death of the Participant must be designated by the Participant at the time this option is elected.
• Contingent Annuitant Option. A Participant may elect a Contingent Annuitant option. Benefits payable under this option shall consist of an Actuarially Equivalent amount of pension payable during the lifetime of the Participant and continuing after his death in an amount equal to 50%, 60%, 66 2/3%, 75% or 100% of such reduced amount during the lifetime, or eligible survivor period, as applicable, of a surviving contingent annuitant. The contingent annuitant and the percentage to be continued to the contingent annuitant after the death of the Participant must be designated by the Participant at the time this option is selected. A Participant may designate as his contingent annuitant his Spouse or former Spouse in respect of a pension which is in an amount equal to 50%, 60% 66-2/3%, 75% or 100% or a Participant may designate his dependent (as such term is defined in the Income Tax Act) in respect of a pension which is in an amount equal to 66 2/3%, 60% or 50% of the Participant's pension amount.
• Pop-Up feature. A Participant who elects an optional form of benefit under (b) or (c) above may also elect to add a pop-up feature which, in the event that the Spouse (or former Spouse or Contingent Annuitant as the case may be) predeceases the Participant, restores the pension benefit amount to such amount that would be payable under the normal form of payment for the remainder of the Participant’s lifetime.

The pension benefit under any of the above options will be Actuarially Equivalent to the normal form of pension benefit otherwise payable to the Participant pursuant to Section 7.04. For a Participant who has a Spouse, election of an option shall be effective only if the Participant and his Spouse elect not to take the benefit in the form of the Surviving Spouse Annuity in the manner specified in Section 7.07 at the time of election of the option and confirm the waiver of the Surviving Spouse Annuity form in the manner specified in Section 7.07 within the 90-day period described therein.

The optional forms of payment described in the above are not available to the Surviving Spouse or other contingent beneficiary.

No option shall become effective prior to the earlier of the Participant's Normal Retirement Date and the commencement of his pension hereunder.

No optional form of pension shall be allowed which would reduce the Actuarially Equivalent present value of the pension expected to be paid to the Participant below 50% of the Actuarially Equivalent present value of the pension otherwise payable to or with respect to the Participant unless the optional form of benefit payment is the Joint and Surviving Spouse Option.

No election of any optional form of pension shall affect the payment of the supplemental benefit described in Section 6.03.