National Pension Fund

united food & commercial workers international union-industry pension fund future service pension plan

National Pension Fund

Summary plan description july 2013 edition

National Pension Fund

United Food

Summary Plan & Commercial Description July 2013 Workers Edition

International 1

Union-Industry

Pension Fund P.O. Box 6000

Frankfort, Illinois Future Service 60423-6000

312-649-1200 Pension Plan 800-531-2385

www.ufcwnpf.org Este folleto con- tiene un resumen en Ingles de sus derechos del Future Service Plan bajo el Fondo de Pensión Nacional. Si usted tiene dificultad en entender parte de 2 este folleto, llame a la Fund Office, P.O. Box 6000, Frankfort, Illinois 60423-6000. Las horas de oficina son de las 8:30 a.m. a las 4:30 p.m. hora central. Usted puede llamar a la Fund Office al 800-531- 2385 para asistencia. Una versión del este folleto escrito en español esta disponible sobre la petición. National Pension Fund

important

nly the Board of Trustees is authorized to interpret the Future Service ste folleto con- O E Plan described in this Summary Plan Description (SPD or booklet). No tiene un resumen Employer, Union or any representative of such is authorized to interpret this en Ingles de sus Future Service Plan nor can any such person act as an agent of the Trustees. If derechos del Future you would like any information regarding this Plan, it will be communicated Service Plan bajo el in writing, on behalf of the Board of Trustees. Your right to pension benefits Fondo de Pensión from the United Food & Commercial Workers International Union-Industry Nacional. Si usted Pension Fund (National Pension Fund) is governed by the Future Service tiene dificultad en Plan Document adopted by the Trustees in effect at the time that you left entender parte de Covered Employment unless the Plan Document provides otherwise. This este folleto, llame a booklet describes the Future Service Plan in general terms, but does not la Fund Office, P.O. change or interpret the Future Service Plan. In the event of any inconsistency Box 6000, Frankfort, between this summary and the Future Service Plan Document, the Future Illinois 60423-6000. Service Plan Document will control. The Trustees, from time to time, may Las horas de oficina change, amend, or interpret the Future Service Plan Document. If the infor- son de las 8:30 a.m. mation in this booklet changes, the Fund Office will send you a notice of the a las 4:30 p.m. hora change in accordance with the law. central. Usted puede llamar a la Fund This booklet is complete and up to date as of July 1, 2013, and replaces and

Office al 800-531- supersedes any prior SPD. However, since the Trustees change the Future

2385 para asistencia. Service Plan from time to time, you should ask the Fund Office to confirm

Una versión del that you have the full text of the current description. este folleto escrito To ensure that you receive all information concerning your benefits under en español esta the Plan, be sure to notify the Fund Office immediately of any change in disponible sobre la your current mailing address. petición. Board of trustees

Union Trustees Employer Trustees United Food Anthony M. Perrone, Chairman Walter B. Blake, Secretary David S. Blitzstein Stephen T. Brown Kenneth R. Boyd Richard D. Cox & Commercial Richard O. Charette Richard A. Manka William T. McDonough Michele A. Murphy Roger Robinson William M. Vaughn, III Workers Alternate Union Trustees Alternate Employer Trustees David P. Fleming Scott M. Henderson International Robert W. Grauvogl Ward R. Kraemer Ronald M. Petronella Donald G. Schaper 4 Johnny Rodriguez John A. Wagner Union-Industry Marvin D. Russow

Pension Fund

Fund Administrative Manager fund Co-Counsel Zenith American Solutions, Inc. Reinhart Boerner Van Deuren s.c. Future Service Slevin & Hart, P.C.

Fund Co-Consultants and Fund Auditor Pension Plan Co-Actuaries Calibre CPA Group, PLLC The Segal Company Milliman, Inc.

www.ufcwnpf.org Board of trustees National Pension Fund To All Covered Employees, Contributing Employers, Participating Local Unions and

Others Interested in the Future Service Plan:

The Board of Trustees of the National Pension Fund is pleased to present this revised Summary Plan Description, which outlines features of the Future Service Plan as of July 1, 2013. Please keep this booklet in a safe place for future reference.

This Summary Plan Description generally explains the rules that apply if you have worked in Covered Employment on or after July 1, 2013. If you have not worked in Covered Employment on or after July 1, 2013, your right to receive a pension, amounts you may be entitled to receive, and benefit options available to you, will be determined by the provisions of the Plan in effect at the time you left Covered Employment. Contact the Fund Office for information about the Plan and benefits in place before July 1, 2013.

The Trustees recognize the past years of cooperation by covered Employees, contributing Employers, and participating Local Unions who have made it possible to provide the pension benefits described in this booklet. Continued efforts on our part, and yours, will bring additional financial security to more people covered by the Future Service Plan for many years to come.

Sincerely,

Board of Trustees 6 National Pension Fund

Table of Contents

Highlights of the Surviving Spouse Benefits Future Service Plan 1 Before Pension Benefits Begin 39

Words With Special Meanings 3 Applying for a Pension 42

Participation 5 Appeal Procedure 45

Years of Vesting Service 7 Circumstances Causing Loss of Benefits 47 Pension Credit 9 Prohibited Employment Appropriate Unit During Retirement 49 Contribution Rates (AUCRs) 11 Questions and Answers 52 Loss of Credited Service 12 Important Facts About the Reciprocity Agreements 15 Future Service Plan 54

Normal Retirement Pension 16 Statement of ERISA Rights 58

Early Retirement Pension 20 Appendix A — Participating Plans 61 Benefit Commencement 25

Appendix B — Deferred Vested Pension 26 Reciprocity Agreements 62 Disability Pension 28 Appendix C — Forms of Pension Payment 31 Appropriate Unit Contribution Rates (AUCRs) 64 Explanation of Forms of Pension Payment 33 Appendix D — Closed Bargaining Groups 90

Highlights of the Future Service Plan

Future Service Plan History n The Prior Plan provided a pension benefit based The Future Service Plan described in this booklet on all your years of Pension Credit earned generally applies to Employees who have Covered before July 1, 1984, including years before par- Employment under the Future Service Plan, which ticipation in the Prior Plan (Past Service). In became effective July 1, 1984. This booklet describes addition, benefit improvements made under the the Future Service Plan as amended by the Trustees Prior Plan may have applied to all of your Pen- through July 1, 2013. The benefits for service under sion Credit, including years for which no con- the National Pension Fund before July 1, 1984 are tributions were required (Past Service). Future determined under the terms of the Prior Plan. The Service Plan benefits are determined only under Prior Plan is described in other booklets that you the rules of the Future Service Plan. may obtain by contacting the Fund Office. n The Future Service Plan pays benefits only How the Future Service Plan Works for years of service after June 30, 1984, for The Future Service Plan pays benefits only for which contributions are required to be paid to years of service after June 30, 1984, for which the Future Service Plan. Contributions to the Employer contributions are required to be paid to Future Service Plan provide a benefit for the the Future Service Plan. For this reason, generally year the contribution is required to be paid. higher pension benefits are paid for service after Because Future Service Plan contributions gen- June 30, 1984. Unlike the Prior Plan, which consist- erally do not fund benefits earned in prior years, 1 ed of a basic benefit for the basic contribution and, they can be used to provide higher annual ben- for some Local Unions, a supplemental benefit, the efits for Future Service Plan Participants. Future Service Plan pays only one benefit. n The Prior Plan rules are separate from the Future Service Plan rules, and benefits under As of September 1, 2005, the Future Service Plan each plan are determined separately based changed the provisions used to calculate benefits. upon the rules of each Plan and the service Separate provisions apply for Participants in the Plan earned under that Plan. The benefits under prior to September 1, 2005, as well as for those first each Plan are then combined for purposes of eligible to participate on or after September 1, 2005. determining the total pension benefit provided In addition, Participants with a first contribution date by the National Pension Fund. If your Annu- on or after September 1, 2009 are subject to different ity Starting Date is on or after January 1, 2001, benefit accrual rates for their first ten years of partici- there is no maximum limit on combined Future pation. See page 17 for more information. Service or Prior Plan Pension Credit applied to Relationship of the Prior Plan to the calculate a benefit; however, in no event can any Future Service Plan participant receive credit for more than 35 years You should understand the following about the under the Prior Plan. You may accrue any num­ relationship of the benefits under the Prior Plan ber of additional years of Pension Credit under and the Future Service Plan: the Future Service Plan. Distinction Between Participating Plans and employer who participates under a different plan. Relationship of Participating Plans to Future A Reciprocity Agreement allows the National Pen- Service Plan sion Fund to consider your Vesting Service with A Participating Plan is a plan that either merged into other UFCW pension plans in determining your the National Pension Fund or adopted the Future eligibility for a pension. It also allows your Vest- Service Plan. Please see Appendix A (page 61) for ing Service under the National Pension Fund to a list of the Participating Plans as of July 1, 2013. be counted toward eligibility for a benefit under Eligibility for benefits under the Future Service Plan, another UFCW pension plan. In both cases, the with the exception of Disability Pension benefits other plan must have signed a Reciprocity Agree- (see page 28), is determined by combining Vesting ment with the National Pension Fund. Service under both the merged Participating Plan and the Future Service Plan. The National Pension Reciprocity applies only to eligibility to receive Fund may also agree to recognize Vesting Service a benefit (i.e., your Vesting Service, including a under a Participating Plan that has not merged. Preretirement Surviving Spouse Benefit); it does The National Pension­ Fund pays all benefits earned not increase the amount of benefits under the under the Future Service Plan and a merged Par- National Pension Fund or another UFCW pen- ticipating Plan; benefits­ earned before the merger sion plan. Generally, reciprocity will not reinstate are determined under the merged Participating Plan Pension Credit previously cancelled by a Perma- provisions and benefits­ earned after the merger are nent Break in Service. However, for Future Ser- determined under the Future Service Plan provisions. vice Pension Credit earned after June 30, 1984, The National Pension Fund has no obligation to pay the Plan will recognize credit under the terms of 2 benefits earned under a Participating Plan that does a Reciprocity Agreement to help prevent you not merge into the National Pension Fund. from incurring a Perma­nent Break in Service, provided your benefits initially go into pay status Reciprocity Agreements after August 23, 1995 or, if later, the date of the To help you avoid a Permanent Break in Service, Reciprocity Agreement. See Appendix B (page the National Pension Fund enters into Reciproc- 62) for a listing of UFCW pension plans that have ity Agreements with certain other UFCW pension a Reciprocity Agreement with the National Pen- plans to recognize a Participant’s work with an sion Fund as of July 1, 2013. Words With Special Meanings

Throughout this booklet, there are certain words and phrases that are used frequently and that you should know. Several of these words and phrases are defined below.

Annuity Starting Date: The Employee: A person employed tion of Minimum Benefit. first day that an annuity is pay- by an Employer participating Future Service Plan: The able or the first day on which in the Future Service Plan and United Food & Commercial you are entitled to a benefit, if on whose behalf the Employer Workers International Union- other than an annuity. is required to contribute to the Industry Pension Fund Future Appropriate Unit Contribution Future Service Plan. Service Pension Plan (Future Rate (AUCR): This hourly, week- Employer: An Employer Service Plan) described in this ly, or monthly contribution­ rate accepted by the Trustees for booklet for benefits earned on or provides a $1.00 monthly benefit. participation under the Future after July 1, 1984. Appropriate Unit Contribution Service Plan that contributes to Rate is explained on page 11. the Future Service Plan. Hours of Service: Each hour of work for which an Employee is Benefit Group: Each Employer ERISA: The Employee Retirement paid or entitled to payment by an is assigned a Benefit Group that Income Security Act of 1974, as Employer, including certain hours will be used to determine the amended. This is a federal law that of back pay. Hours of work for Appropriate Unit Contribution 3 regulates pension plans such as the an Employer outside of Covered Rate for benefits earned under National Pension Fund. Employment while the Employer the Future Service Plan. is contributing to the Future Ser- Fund Office: The Trustees Contribution Date: The first vice Plan can be counted as Hours employ a firm specializing in the day of the month for which any administration of pension plans, of Service if such Covered and Employer is required to make like the Future Service Plan, to non-Covered Employment is not a Contribution on your behalf maintain necessary records and interrupted by a quit, discharge, under the Future Service Plan. to process benefits. See page 55 or retirement. for more information about the Covered Employment: Local Union: A Local Union Fund Office. The Fund Office is Employment with an Employer affiliated with the United Food also known as the Fund Admin- after June 30, 1984, for which & Commercial Workers Inter- istrative Manager. contributions are required to be national Union that has been paid to the Future Service Plan Future Service Pension Cred- accepted as a participating Local it: The Pension Credit earned on the Employee’s behalf under Union in the Future Service Plan a collective bargaining agree- due to work performed for which ment with a Local Union or a an Employer is required to make Normal Retirement Date: Participation Agreement with contributions to the Future Ser- Normal Retirement Date is the the Trustees. vice Plan. See page 9 for explana- later of: n The date the Participant ticipation in the Future Service tional Union-Industry Pension attains age 65; or Plan. Some Participating Plans Plan in effect on or before June have merged into the Future 30, 1984. n The Participant’s fifth anni- Service Plan; others simply versary as a Participant in adopted the Future Service Plan. Trustees: The Board of Trust- the Plan. Years preceding a Appendix A (page 61) identifies ees of the United Food & Com- Permanent Break in Service these Participating Plans. mercial Workers International are disregarded in determin- Union-Industry Pension Fund. ing when participation com- Pension Credit: Service cred- menced. ited to a Participant under Union: The United Food & the Future Service Plan or the Commercial Workers Interna- One-Year Break in Service: tional Union. A Participant experiences a Prior Plan used to determine the amount of a Participant’s One-Year Break in Service if, Unit Benefit Value: The Unit benefit. before qualifying for a vested Benefit Value is the monthly benefit, he or she does not com- Permanent Break in Service: pension benefit payable as a plete at least 435 Hours of Ser- A Permanent Break in Service Single Life Annuity that the Par- vice in a Plan Year. cancels all prior Pension Credit ticipant earned in a Plan Year. and Vesting Service. The events Participant: An Employee who The Unit Benefit Value is deter- that will cause a Permanent meets the requirements for par- mined by dividing the contribu- Break in Service are described ticipation under the Future Ser- tion rate by the Appropriate­ on page 12. Unit Contribution Rate and then 4 vice Plan as described on page 5. Plan Year: The 12-month peri- rounding to the nearest $0.25. Participating Plan: A quali- od beginning July 1 and ending fied pension plan that adopts the Vesting Service: A Partici- June 30. All Pension Credit and Future Service Plan to provide pant’s service under the Future years of Vesting Service are cal- Future Service benefits and has Service Plan, the Prior Plan, or a culated based on the Plan Year. been accepted and has executed Participating Plan that is used to the documents deemed appro- Prior Plan: The United Food & determine eligibility for a benefit priate by the Trustees for par- Commercial Workers Interna- under the Future Service Plan. Participation

The requirements for participation must be met before you can receive any credit toward a benefit from the Future Service Plan. No Future Service Pension Credit can be earned until you become a Participant.

When Participation Begins n A Plan Year in which you do not complete at On or After July 1, 1984 least 435 Hours of Service before having earned You will become a Participant on the first day of a vested benefit under the Future Service Plan the month following the later of the: (you incur a One-Year Break in Service); or n Date your Employer is required to contribute n The period that you work in a position for an on your behalf to the Future Service Plan; or Employer for which no contributions are required to be paid to the Future Service Plan under the n The first day of the month following your comple- terms of a collective bargaining agreement or a tion of 870 Hours of Service with an Employer participation agreement with the Trustees. in your first 12-consecutive month period of employment or in any Plan Year after the com- Reinstatement of Participation mencement of your Covered Employment. No Break in Service If you resume Covered Employment after your Participants in the Prior Plan or Participating Plan participation under the Future Service Plan has 5 If you are a Participant in the Prior Plan or a Par­ been interrupted, and have not incurred a One- ticipating Plan and have contributions made to the Year Break in Service under the Future Service Future Service Plan without previously experienc­ Plan, you will again become a Participant as of the ing a One-Year Break in Service, you will become first day of the month in which your Employer is a Participant on the date your Employer is required to contribute to the Future Service Plan required to contribute to the Future Service Plan on your behalf. on your behalf. However, if you are a Participant under the Prior Plan or a Participating Plan and One-Year Break in Service had a One-Year Break in Service before having If you resume Covered Employment after incurring a contributions made to the Future Service Plan, you One-Year Break in Service under the Future Service will become a Participant based on the provisions Plan, you will again become a Participant in the Future described in the One-Year Break in Service section Service Plan if the following conditions are met: or Reinstatement of Participation section. n You have not incurred a Permanent Break in Interruption of Participation Service under the Future Service Plan before If you are not vested in a benefit (see page 7), you becoming vested; and are not a Participant during: n Your Employer’s contribution is for service n A period while you are not working for an within a 12-consecutive month period in which Employer; you complete at least 435 Hours of Service. Your participation will be reinstated effective as of Employee, you can earn a minimum benefit for the first day of the 12-month period during which each subsequent Plan Year you accumulate at least you completed 435 hours for which your Employer 870 Hours of Service that is not followed by a Per- was required to contribute to the Future Service manent Break in Service. The benefit will be deter- Plan on your behalf. mined as if either the contribution rate on your behalf was $20 per month or, if lower, the lowest Permanent Break in Service negotiated contribution rate for your geographic If you experience a Permanent Break in Service area as of November 30, 1999. In order to receive a under the Future Service Plan, then you must re- pension, you must meet the Vesting rules described qualify under the rules for initial participation for on page 7. new Employees described in When Participation Begins on page 5. See page 12 for a definition of Permanent Break in Service. example Minimum Participation John begins working with Employer X on Beginning July 1, 1995, the Trustees established a July 1, 2011 and averages 25 Hours of Ser- minimum benefit for any Employee working with vice per week throughout 2011. He is 22 an Employer in a category of employment covered years old. The collective bargaining agree- by the Employer’s collective bargaining agree- ment with Local Union Y covering John ments requiring contributions­ to the National Pen- only requires monthly contributions to the sion Fund, for which the Employee does not earn National Pension Fund for any Employee Pension Credit under the National Pension Fund working at least 30 hours per week in Cov- 6 or another pension plan for the same period, or ered Employment. As a result, no contri- receive an appropriate matching or other employer butions are made for John. John does not contribution to a defined contribution plan. In participate under another pension plan addition, to be eligible for a minimum benefit, the with Employer X. John is eligible to begin Employee must meet the minimum age (age 21) participating in the Future Service Plan and service requirement (i.e., a year of service,­ on July 1, 2012 and will accrue a minimum which is a 12-month period of employment in which benefit for the year beginning July 1, 2012, the Employee earns 870 or more Hours of Service, provided he earns at least 870 Hours of measured by the first 12 months of employment­ Service during that year. or anniversaries thereof) of the National Pension­ Fund. On or after July 1, 1995, if you are such an Years of Vesting Service

Becoming a Vested Participant You will also earn Vesting Service for periods When you are a vested Participant, you have spent in military service to the extent required earned a non-forfeitable right to a pension under by federal law, as described on page 9. the Future Service Plan that cannot be taken away If you are an Employee of an Employer that com- from you. There are two different ways to become mences participation in the Future Service Plan a vested Participant under the Future Service Plan: on and after July 1, 1997 under one of the existing n You must have at least five years of Vesting Appropriate Unit Contribution Rate groups (listed Service; or in Appendix C starting on page 64; see page 11 for an explanation of Appropriate Unit Contribution n You must terminate Covered Employment on Rates) and you are employed in Covered Employ- or after your Normal Retirement Date. ment on the date the Employer commences partici­ pation, you can receive one year of past Vesting Earning Years of Vesting Service Service for periods of service with an Employer You earn a year of Vesting Service during a Plan before the Employer’s participation in the Fund Year if you: for each year of Vesting Service you earn after the n Are at least age 18; and Employer’s participation in the Fund. However, if the Employer withdraws and ceases to contribute n Complete 870 or more Hours of Service during within five years of its initial participation date in 7 a period of employment: the Fund, all Vesting Service before the Employer’s participation date credited under this “one for one” � For an Employer that occurs while the special rule is cancelled, except for: Employer is participating in the Future Ser- vice Plan, the Prior Plan, or a merged Partici- n Pensioners who have already commenced pating Plan; or receiving benefits; or � In non-covered service with the same n The beneficiaries of such pensioners. Employer due to a transfer from Covered Employment where there is no intervening Counting Service Under the Prior Plan quit, discharge, or retirement. or a Participating Plan Years of Vesting Service under the Prior Plan or Your Hours of Service are not counted for vesting a merged Participating Plan will be considered as purposes if those Hours of Service were earned: years of Vesting Service under the Future Service Plan as long as the service was not followed by a n In employment during a period when your Permanent Break in Service. Employer was not participating in the Future Service Plan, the Prior Plan, or a merged Par- Pension Distribution Vesting Requirements ticipating Plan; or Vesting is a right to receive some form of benefit n Before a Permanent Break in Service. when you leave Covered Employment. If you are vested, you cannot lose your right to your accrued Agreement. However, Future Service Pension Credit benefit. earned after June 30, 1984 that would otherwise be lost due to a Permanent Break in Service can be Counting Service under reinstated by credit recognized under the terms of a a Reciprocity Agreement Reciprocity Agreement, provided you initially receive In determining your Vesting Service, the Future payment of your benefit after August 23, 1995 or, if Service Plan will also count contributory service in later, the date of the Reciprocity Agreement. For accordance with the terms of a Reciprocity Agree- more information on Reciprocity Agreements, see ment with another plan, provided that the service page 15. Vesting Service will also be recognized for has not been cancelled by a Permanent Break in periods spent in military service to the extent required Service before the effective date of the Reciprocity by federal law, as described on page 9.

8 Pension Credit

Future Service Pension Credit determines the amount of your pension benefit under the Future Service Plan. Only Pension Credit earned after June 30, 1984 is recognized under the Future Service Plan.

Earning Pension Credit Maximum Pension Credit Future Service Pension Credit can be earned only There is no maximum Pension Credit that can in full month units. No more than 12 months of be used to calculate a benefit under the Future Future Service Pension Credit may be earned in Service Plan and the Prior Plan combined if you any Plan Year. Future Service Pension Credit begin receiving a benefit from the Plan on or after earned in one Plan Year cannot be carried over to January­ 1, 2001. However, a 35-year maximum another Plan Year. Depending on how contribu- applies to Pension Credit earned under the Prior tions are required to be paid on your behalf under Plan (before July 1, 1984). For Annuity Start Dates the collective bargaining agreement covering your before January 1, 2001, a 45-year maximum Pen- Employment, you will earn Future Service Pension sion Credit limit applied. Credit as follows: Earning Vesting Service and Pension Credit n Monthly Contributions: You will receive one During Military Service month of Future Service Pension Credit for If you stop working in Covered Employment to each month an Employer is required to make enter military service, you will receive Vesting Ser- 9 contributions to the Future Service Plan on vice and Future Service Pension Credit during that your behalf. period in accordance with federal law.

n Hourly Contributions: You will receive one Specifically, the Uniformed Services Employ- month of Future Service Pension Credit for ment and Reemployment Rights Act (USERRA) each 170 hours of Covered Employment in a provides reemployment rights and benefits and Plan Year for which an Employer is required to protection from discrimination to individuals who make contributions to the Future Service Plan performed voluntary or involuntary military ser- on your behalf, not to exceed 12 months. All vice in any branch of the uniformed services of hours of Covered Employment during the Plan the United States. If you satisfy the conditions for Year are counted. protection under USERRA, your period of military­ n Weekly Contributions: You will be credited service will be treated as Hours of Service for all with 40 hours for each required weekly contri­ purposes under the Plan, including eligibility, vest- bution made on your behalf. All hours of Cov- ing, and Pension Credit. ered Employment during the Plan Year are Generally, to be entitled to reemployment rights counted. You will receive one month of Future and pension benefits under USERRA, you must: Service Pension Credit for each 170 hours of Covered Employment not to exceed 12 months n Be absent from Covered Employment because during a Plan Year. of your military service; n Give advance notice of your military service to n From 31 days to 180 days, you must reapply for your Employer, unless notice is prevented by employment within 14 days after military ser- military necessity or it is otherwise impossible or vice; or unreasonable­ to give under the circumstances; n Over 180 days, you must reapply within 90 days n Be absent due to military service for five years or after completion of military service. less, unless extended service is required as part of These limits may be extended under the law in your initial period of obligation or your service is particular circumstances. involuntarily extended, such as during a war;

Death or Permanent Disability n Receive an honorable discharge or satisfactorily While in Military Service complete military service; and On or after January 1, 2007, if you are n Re-apply for a job in Covered Employment unavailable for reemployment at the times within the required time period, as explained prescribed by USERRA above due to death below. or Total and Permanent Disability while in military service, the Plan will treat your ser- For periods of military service: vice as if you were reemployed on the day n Of less than 31 days or an absence due to a fit- before your death or disability and then ter- ness exam, you must report back to Covered minated Covered Employment on the date of Employment no later than the first regularly your death or disability. This means that you scheduled work period on the first day, after an may receive Hours of Service and Pension 10 eight-hour break, and after time for travel back Credit for the period of your military service, home; in accordance with law. Appropriate Unit Contribution Rates (AUCRs)

Understanding the concept of the Appropriate Unit Contribution Rates is important in deter- mining your benefit under the Future Service Plan. The Appropriate Unit Contribution Rate is the hourly, weekly, or monthly contribution rate providing each $1.00 in monthly benefits.

Determining the Appropriate Unit Contribution Rate example The Appropriate Unit Contribution Rate is deter- If the monthly contribution paid on your mined separately for each Benefit Group by an behalf is $152.00 and your Benefit Group actuarial calculation based upon the age and ser- has an Appropriate Unit Contribution vice of the Employees in the industry in a specific Rate of $3.39, then the Unit Benefit geographic area. The groups initially participating Value earned for a year of Future Ser- under the Future Service Plan were broken down vice Pension Credit at that rate is $44.75 into 22 geographic areas with a separate Appropri- in monthly benefits ($152.00 ÷ $3.39 = ate Unit Contribution Rate for Participants work- $44.84, rounded to the nearest $0.25). ing in the retail industry, packing industry, and other industries in each geographic area. In 1994, the packing and other industries were combined after September 1, 2005, for Covered Employment into one industry across all geographic areas. The on or after that date. Effective September 1, 2009, 11 classifications covered by the Future Service Plan the Appropriate Unit Contribution Rates were are called Benefit Groups and can be changed by changed to be the same for all Participants within a the Trustees from time to time. Benefit Group regardless of participation date. Based on the criteria established by the Trustees, a Listings of the Local Unions within each of the geo­ group accepted under the Future Service Plan after graphic areas and the Appropriate Unit Contribu­ June 30, 1984 may be included under one of the tion Rates for each Benefit Group before and after existing Benefit Group Appropriate Unit Contribu- September 1, 2005 are shown in Appendix C. If you tion Rates. If it does not fall within one of the exist- ing groups, it may be given a special Appropriate would like the Appropriate Unit Contribution Rate Unit Contribution Rate established for that group for your Benefit Group, you should either review based upon its own characteristics. Appendix C or contact the Fund Office.

For Covered Employment between September 1, The Appropriate Unit Contribution Rates are 2005 and August 31, 2009, the Appropriate Unit reviewed periodically and have been changed over Contribution Rate may be different for Employees the years. Prior benefits to which you may be enti- who were Participants before September 1, 2005 tled are unaffected by future changes to the Appro- versus those who first became Participants on or priate Unit Contribution Rate. Loss of Credited Service

The Future Service Plan is designed to provide Permanent Break in Service retirement benefits to Participants who have many If you are not vested, the definition of a Permanent years of work covered by the Future Service Plan. Break in Service is different depending on when If you are absent from Covered Employment for the Break in Service occurred. an extended period before becoming a vested Par- ticipant, your years of Vesting Service and Pension For years of Vesting Service and Pension Credit Credit may be cancelled for the period before this that were not cancelled before July 1, 1987, you absence. These absences are called Breaks in Ser- have a Permanent Break in Service if the number vice and there are two different types: of your consecutive One-Year Breaks in Service exceeds the greater of five years or the number of n One-Year Break in Service; and your years of Vesting Service.

n Permanent Break in Service. If you incur a Permanent Break in Service, all of your Vesting Service and Pension Credit will be Once you are vested under the Plan, you cannot cancelled. incur a Permanent Break in Service.

One-Year Break in Service A One-Year Break in Service is temporary and can 12 be repaired. A One-Year Break in Service occurs in any Plan Year in which you complete less than 435 Hours of Service. If you have a One-Year Break in Service before becoming vested, you are no longer a Participant under the Future Service Plan and your Pension Credit and years of Vesting Service are temporarily lost.

To repair a One-Year Break in Service and restore your Pension Credit and years of Vesting Service, you must become a Participant again before incur- ring a Permanent Break in Service by completing 435 or more Hours of Service in a 12-consecutive month period. Permanent Break in Service Examples The following examples assume Covered Employment on or after July 1, 1987 and show different scenarios of when a Permanent Break in Service has occurred.

example 1 example 2 Years of Years of Plan Hours Vesting One-Year Plan Hours Vesting One-Year Years of Service Service Break Years of Service Service Break Year 1 1,100 1 0 Year 1 1,100 1 0 Year 2 1,400 1 0 Year 2 1,400 1 0 Year 3 50 0 1 Year 3 50 0 1 Year 4 110 0 1 Year 4 110 0 1 Year 5 90 0 1 Year 5 90 0 1 Year 6 80 0 1 Year 6 80 0 1 Year 7 40 0 1 Year 7 900 1 0 Year 8 260 0 1 Total 2 5 Carla had two years of Vesting Service Total 3 1 and five-consecutive One-Year Breaks in Under this scenario, Carla’s reinstated Service. Carla has a Permanent Break in participation, Pension Credit, and years of Service at the end of Year 7 that cancels Vesting Service were reinstated by return- all Pension Credit and years of Vesting ing to Covered Employment and earning 13 Service. more than 435 hours in Year 7. Because If Carla returned to Covered Employ- the number of consecutive One-Year ment in Year 7, completed at least 435 Breaks in Service as of Year 7 was less than Hours of Service, and then had another five, Carla was able to repair the One-Year One-Year Break in Service in Year 8, her Breaks in Service and restore the Pension work record would look like Example 2. Credit and years of Vesting Service. The total number of One-Year Breaks in Ser- vice is shown as one because the breaks in Years 3, 4, 5, and 6 were repaired by the 900 hours earned in Year 7. Carla will not have a Permanent Break in Service until the end of Year 12, if no additional Hours of Service are earned. This is because the five One-Year Breaks in Service must be consecutive before there can be a Perma- nent Break in Service. Special Rule for Participants in the child, adoption (including placement for adoption) Prior Plan or a Participating Plan of a child, or care of a child after birth, adoption, or If you had at least five years of Vesting Service placement for adoption. This special rule applies to credited under the Prior Plan or a Participating maternity/paternity absences that begin after June Plan, you will not have a Permanent Break in Ser- 30, 1987. vice under the Future Service Plan until you incur a Permanent Break in Service under the rules of the Special Rule for Leave of Absence Prior Plan or Participating Plan or under the rules Under Family and Medical Leave Act of the Future Service Plan, whichever happens Effective August 1, 1993, any leave of absence later. In addition, Vesting Service accumulated granted by your Employer (up to 12 weeks) under under the rules of the Prior Plan or merged Par- the Family and Medical Leave Act will not count ticipating Plan counts as Vesting Service under the toward a Break in Service. Future Service Plan. Special Rule for Participants Special Rule for Maternity/Paternity Absence Covered by Reciprocity Agreement You will not have a One-Year Break in Service if In determining whether you have a Break in you are absent from work because of a maternity or Service, the Future Service Plan will count ser- paternity leave. The Plan will credit hours that you vice under another plan with which the Future would have accrued had you not gone on maternity Service Plan has a Reciprocity Agreement. To or paternity leave, up to a maximum of 435 hours. be counted, the service under the Future Service You may be required to provide documentation Plan must not have been cancelled by a Perma- 14 to confirm the purpose and number of days of nent Break in Service­ before July 1, 1984. This is the absence. A maternity or paternity leave is an discussed further under the section titled Counting absence from work due to pregnancy, birth of a Service Under a Reciprocity Agreement on page 8. Reciprocity Agreements

If, because of job changes or transfers, you have worked for many years under the jurisdiction of different plans, you may not qualify for a pension if you do not have sufficient service under the jurisdiction of any one plan. To remedy this, plans sometimes enter into agreements to recog- nize service with each other for purposes of vesting. These are called Reciprocity Agreements.

The Future Service Plan has entered into Reciproc- Rules Governing Reciprocity Agreements ity Agreements with other UFCW local plans. Each plan signing a Reciprocity Agreement agrees that n Future Service Pension Credit earned after contributory service earned under the rules of the June 30, 1984 that would otherwise be lost due other plan may be counted for purposes of vest- to a Permanent Break in Service can be rein- ing. For a list of these plans as of July 1, 2013, see stated by credit recognized under the terms of Appendix B (page 62). a Reciprocity Agreement, provided your initial Annuity Starting Date is after August 23, 1995 or, if later, the effective date of the Reciprocity Agreement.

Example n Reciprocity only relates to eligibility and does Kyle worked in employment covered by not increase the amount of pension payable by a UFCW local plan and earned two years a plan. For instance, in the previous example, of Vesting Service with that plan. He then 15 Kyle only had three years of Future Service transfers (without experiencing a Permanent Pension Credit; therefore, Kyle would only Break in Service) to a job covered under the receive a pension from the Future Service Plan Future Service Plan and earns three years based upon three years of Future Service Pen- of Vesting Service and Future Service Pen- sion Credit. sion Credit under the Future Service Plan. There is a Reciprocity Agreement between n The reciprocity provision does not amend a the Future Service Plan and the UFCW plan’s eligibility rules. It only expands the ser- local plan that was in effect before the date vice that will be counted under the eligibility Kyle transferred jobs. Assuming Kyle quali- rules. fies under the five-year vesting provision of n Reciprocity Agreements do not apply to employ- the Future Service Plan, Kyle is vested in ees whose employment has been divided between his benefit under the Future Service Plan plans due to the transfer of an employer or bar- because the two earlier years of contributory gaining unit from one plan to another plan. service with the other UFCW local plan will count for purposes of Vesting Service under Because the rules regarding reciprocity are complex, the Future Service Plan. please contact the Fund Office if you would like more detailed information about the Future Service Plan benefits under a Reciprocity Agreement. Normal Retirement Pension

Eligibility

You will be eligible for a Normal Retirement Pen- Example sion payable at your Normal Retirement Date Joe, who was a Plan Participant before (generally­ on or after age 65) if you become a September 1, 2005, belongs to a non-closed vested Participant under either of the provisions Benefit Group that has an AUCR of $1.85 described on page 7. during the period from July 1, 1997 to March 31, 2002, an AUCR of $1.67 for the period Calculation of Benefit April 1, 2002 to August 31, 2005, an AUCR The amount of your Normal Retirement Pension of $1.80 during the period from September 1, under the Future Service Plan is the sum of your Unit 2005 to August 31, 2007, an AUCR of $1.85 Benefit Values earned for each Plan Year of participa- for the period from September 1, 2007 to tion under the Future Service Plan. If you have earned August 31, 2009, and an AUCR of $2.34 for a benefit under the Prior Plan, the benefit under both the period after September 1, 2009. Assum- the Future Service Plan and the Prior Plan will be ing his Employer contributes $150.00 per combined, subject to the maximum Prior Plan Pension month during this entire period, his Unit Credit limitations, described on page 1. Benefit Value for each period would be:

Unit Benefit Value July 1, 1997 to March 31, 2002 16 For each year of Pension Credit earned under the $150.00 ÷ $1.85 = $81.08, rounded to $81.00 Future Service Plan, there will be a Unit Benefit April 1, 2002 to August 31, 2005 Value. The Unit Benefit Value is the monthly $150.00 ÷ $1.67 = $89.82, rounded to $89.75 pension­ benefit earned in a Plan Year, based on the Employer contribution required to be made September 1, 2005 to August 31, 2007 on your behalf and the AUCR for your Benefit $150.00 ÷ $1.80 = $83.33, rounded to $83.25 Group. For some periods, separate AUCRs apply September 1, 2007 to August 31, 2009 for those Participants who began participating in $150.00 ÷ $1.85 = $81.08, rounded to $81.00 the Plan before September 1, 2005 and those first participating on or after September 1, 2005. See On and after September 1, 2009 Appendix C for a listing of AUCRs by time period $150.00 X 10% = $15.00 and group. $150.00 - $15.00 = $135.00 $135.00 ÷ $2.34 = $57.69, rounded to $57.75 A Participant’s Unit Benefit Value earned on or after September 1, 2009 may be impacted by the Supplemental Contributions explained below. In Supplemental Contributions addition, Employees who first become Participants You will have one of two possible Supplemental on or after September 1, 2009 will have reduced Contribution adjustments made to your Unit Bene- Unit Benefit Values during their first 10 years as fit Value for benefit accruals after August 31, 2009, explained on page 17. which are described below. The 10% Supplemental Contribution, which affects est Unit Benefit Value applied to Participants all bargaining groups and is effective the earlier in the same classification (such as full-time or of (1) September 1, 2012 or (2) the first day of part-time) covered under the same CBA with a the month following the first Collective Bargain- participation date before September 1, 2009. ing Agreement (CBA) expiration date on or after August 31, 2009. This 10% Supplemental Contribu- tion is used to improve the funding of the National example for new participants Pension Fund and is not used to determine benefit Initial Participation Date: July 2, 2012 accruals. The 10% Supplemental Contribution is Contribution rate for all employees under deducted from the Employer contribution and the the CBA: $111 remainder is then divided by the AUCR to arrive Contribution rate used in benefit calcula- at the new Unit Benefit Value. tions: $100 ($111 minus 10% Supplemental Contribution) The 30% Supplemental Contribution affects only those participants in closed groups (See Appendix AUCR: $2.50 (Assuming same AUCR all D for a list). The effective date and the process of ten years) determining the Unit Benefit Value is the same as Unit Benefit Value for first five years (from for the 10% Supplemental Contribution. 7/2/2012 to 7/2/2017): $30 (75% of $100 divided by $2.50)

A closed group is a bargaining unit Unit Benefit Value for years 6 - 10 (7/3/2017 that does not provide coverage for new to 7/2/2022): $35 (87.5% of $100 divided by Employees under the National Pension $2.50) 17 Fund after a certain hire date. Unit Benefit Value after 10 years: $40 (100% of $100 divided by $2.50)

Reduced Benefits for New Participants

If your first date of participation in the National Other CBA Exceptions Pension Fund is on or after September 1, 2009, the For contributions required by CBAs negotiated benefit accrual rate will be reduced for your first 10 before July 1, 1984, the maximum Unit Benefit years of participation as follows: Value is $35 per year of Pension Credit. Generally, n For the first five years (until the fifth anniver- for new CBAs negotiated after July 1, 1984, there is sary of your first Contribution Date), your Unit no maximum Unit Benefit Value. However, CBAs Benefit Value will be 75% of the lowest Unit negotiated after June 30, 1984, which are designed Benefit Value applied to Participants in the to match an industry or area-wide provision negoti- same classification (such as full-time or part- ated by other groups before July 1, 1984, are sub- time) covered under the same CBA with a par- ject to the $35 maximum Unit Benefit Value. ticipation date before September 1, 2009. If the actual contributions for a Participant cov- n For the second five years (until the tenth anni- ered by a CBA that is subject to this $35 maxi- versary of your first Contribution Date), your mum exceed the amount necessary to provide Unit Benefit Value will be 87.5% of the low- the maximum $35 Unit Benefit Value, the excess amount will be used to provide an additional pay- ment at retirement, called the “Special Purpose example Benefit”. Many groups are not eligible for this ben- During the first six months of the plan efit, so you should contact the Fund Office if you year, the monthly contribution paid on would like more detailed information regarding Bob’s behalf was $95.50 and increased to whether this benefit is available to you. $105.80 for the second six months. Bob’s If you earn less than a full year of Pension Credit AUCR is $1.85. For the first six months, or have different contribution rates during the Bob will be credited with a monthly ben- Plan Year, adjustments will be made as described efit of $25.75 (one-half of $51.50, which is below. Bob’s annual Unit Benefit Value based on the $95.50 contribution rate). For the Additional Information second six months, Bob will be credited n The Unit Benefit Value for a Plan Year will be with $28.63 (one-half of $57.25, which is rounded up or down to the nearest $0.25. Bob’s annual Unit Benefit Value based n If you earn less than a full year (12 months) on the $105.80 contribution rate). Bob’s of Future Service Pension Credit in one Plan unit benefit value for that Plan Year Year, your Unit Benefit Value for that year would be $54.38 ($25.75 + $28.63). will be reduced proportionately. The partial year of credit will be the fraction represented by the number of months of credit earned n The maximum years of Pension Credit under divided by 12. the Prior Plan is limited to 35 years. If you have 18 accumulated more than the maximum years of Pension Credit based on your retirement date,

example then the 35 years of Pension Credit that pro- Mike’s Unit Benefit Value for a full duces the highest benefit will be used. year of Future Service Pension Credit is n From time to time, the Trustees will evaluate $68.75. If Mike worked and earned only the amount of contributions necessary to sup- five months (5/12 year or 0.417) of Future port the benefit payable to each Benefit Group. Service Pension Credit, his Unit Benefit The Trustees may change a Benefit Group’s Value for that Plan Year would be $28.67 AUCR periodically and recently have changed ($68.75 x 0.417). them every two years. If the Trustees increase the AUCR and your Employer does not pay a revised contribution rate necessary to maintain n If you have more than one contribution rate the same Unit Benefit Value by the effective date paid on your behalf in a Plan Year, the Unit of the increased AUCR, your benefits will be Benefit Value for the Plan Year will be the sum reduced for Future Service Pension Credit earned of those portions of Unit Benefit Values earned in the future under the new AUCR. Conversely, during the year based on the Pension Credit your benefit will increase for contributions earned at the different contribution rates. required to be made after the Trustees reduce the AUCR for your Benefit Group, even if your Employer’s contribution rate remains the same. n If you terminate Covered Employment after in Prohibited Employment. If you continue to June 30, 1999, and were required to have a con- work in Covered Employment without retiring tribution made on your behalf for the month after your Normal Retirement Date, you will not of June 1999, the Unit Benefit Value for each be eligible to receive a benefit until you retire and Future Service Pension Credit earned in Plan are no longer working in Prohibited Employment, Years from July 1, 1984 through June 30, 1992, as described on page 51. is increased by 20%. When you do retire, your benefit will be increased

Commencement of Pension After Normal to reflect the additional Pension Credit that you Retirement Date earned after your Normal Retirement Date, but If you have retired, but choose to delay receiving you will not receive an actuarial adjustment for your benefit until after your Normal Retirement those months in which you worked in Prohibited Date, and you do not work in Prohibited Employ- Employment. ment after your Normal Retirement Date, you are Retroactive Payment eligible to receive an adjusted benefit to take into If your pension begins after your Normal Retire- account the later commencement of your benefit, ment Date and you are not working in Prohibited or you may elect to receive your benefit retroac- Employment, instead of receiving an actuarially tively to your Normal Retirement Date. adjusted benefit for periods you were not work- ing in Prohibited Employment, you may elect to If you retire and then return to Covered Employ- receive your accrued benefit determined as of a ment, you are required to notify the Fund Office. “retroactive annuity starting date.” This means that Please review the section entitled Notifying the Plan for periods you were not working in Prohibited 19 of Work After Retirement on page 50 for important Employment, you will receive a lump sum for the information regarding the consequences of return- pension payments that you would have received ing to Covered Employment after retiring. if you had retired and applied for a pension as of

Actuarial Adjustment the later of your Normal Retirement Date or the end of your Prohibited Employment, plus pay- If your pension begins after your Normal Retire- ment of interest for each complete calendar­ month ment Date, you are eligible to have your benefit your pension payments were delayed. The interest actuarially adjusted for periods prior to the com- will be based on the short-term investment fund mencement of your benefit in which you were (known as the STIF) rate used by the Fund’s custo- not working in Prohibited Employment. Your dial bank, as determined­ on the first day of the Plan monthly benefit will be an amount equal to your Year in which your pension payment is made. accrued benefit at your Normal Retirement Date increased by 1% for each complete calendar To receive your pension based on a retroactive month from age 65 to age 70 and 1.5% for each annuity starting date, your spouse must consent to complete calendar month after age 70 in which this election if you are married when you make the your pension was not suspended due to working election. Early Retirement Pension

Eligibility Benefit Calculation The Future Service Plan has two different eligibility If you are eligible for an Early Retirement Pension, rules for an Early Retirement Pension. you may apply to receive it as of the later of:

n When you reach age 55 (you must also stop Rule 1: You will be eligible for an Early Retire- working in Covered Employment before you ment Pension if you: can receive your pension); or

n Have at least 870 hours of Vesting Service after n When you terminate Prohibited Employment June 30, 1988, and are in Covered Employment (prior to reaching age 65) after June 30, 1989; The amount of the Early Retirement Pension is cal- n Have five or more years of Vesting Service; culated in the same way as the Normal Retirement Pension but it is reduced to take into account that you n Have accumulated at least two years of Future are retiring at a younger age and benefits will be paid Service Pension Credit; and out for a longer period. The amount of the reduction n You retire: depends on when you became a Plan Participant, � On or after age 62; or when you left Covered Employment, if you were age 60 or older on August 31, 2009, and when benefits � On or after age 55 and before age 62 and were earned. The following sections describe how the 20 have at least 435 Hours of Service in the Plan Early Retirement Pension is calculated. You can also Year immediately before your benefit com­ reference the chart(s) that show the Early Retirement mencement date. reduction factors that apply to your benefit. All Early Retirement Pension charts and examples assume pay- Rule 2: You will be eligible for an Early Retire- ment in the Single Life Annuity form (see page 31). ment Pension if you:

Early Retirement Benefit Calculations In Effect On August 31, 2009 n Have 10 or more years of Vesting Service; For Service Before September 1, 2005 n Have earned at least two years of Future Ser- There is no actuarial reduction to your benefit for age vice Pension Credit; and if you meet the eligibility requirements for an Early n Are at least age 55 at the time of your benefit Retirement Pension and begin your Early Retire­ commencement date. ment Pension after you reach age 62. However, if you begin your Early Retirement Pension before age 62, The two years of Future Service Pension Credit the amount of your benefit is reduced for each full requirement referred to above includes Future month you are younger than age 62 when your pen- Service Pension Credit you earned under the sion payments begin. The amount of the reduction Prior Plan or a merged Participating Plan that depends on when the benefits were earned. If you left has not been lost due to a Permanent Break in Covered Employment after September 30, 1999 and Service. had a contribution required to be made on your behalf for June 1998, the amount of the reduction for 2005 and retire with an Early Retirement Benefit benefits earned before September 1, 2005 is: directly from Covered Employment on or after Sep- tember 1, 2005, the benefits you earned between Sep- n 0.35% for each month you are younger than age tember 1, 2005 and August 31, 2009 will be subject to 62 but age 57 or older; and a different early retirement reduction. The following n 0.5% for each month you are younger than age actuarial reduction factors will apply, based on your 57 but age 55 or older. exact age in months and years at retirement:

Table 1 on page 22 shows the factors based on n 0.8% for each month you are younger than age exact age in months and years at retirement. 62 but are age 57 or older; and

However, if you did not have a contribution n 0.55% for each month you are younger than age required to be made on your behalf for June 1998 57 but are age 55 or older. but you earned Future Service Pension Credit Table 2 on page 23 shows the factors based on before June 1998, these reductions will still apply exact age in months and years at retirement. to your pre-June 1998 service if you work at least Deferred Vested Participants Younger than Age 55. 30 consecutive days for an Employer in employ- If you were a Participant in the National Pension ment covered by a Collective Bargaining Agree- Fund prior to September 1, 2005 and you terminate ment after June 1998 before incurring a Permanent Covered Employment after August 31, 2005 and Break in Service and you have a 30-consecutive before attaining age 55, the Early Retirement Pen- day period of separation from employment or self- sion payable will be the greater of: employment in any industry over which the Union has jurisdiction. The 30-day period of separation n the monthly benefit you earned as of August 31, 21 from such Employment is not required if your 2005 using the following actuarial reduction fac- employment is terminated due to an involuntary lay tors: off or closure of the facility in which you worked. � 0.35% for each month you are younger than If the above reduction does not apply, for benefits age 62 but are age 57 or older; earned before September 1, 2005, the amount of a � 0.5% for each month you are younger than benefit payable as a Normal Retirement Pension is age 57 but are age 55 or older. reduced by 0.5% for each month that you are young- -OR- er than age 62 when your pension payments begin. n the monthly benefit you earned at termination For Service Between September 1, 2005 And August 31, 2009 of Covered Employment, actuarially adjusted If you were a Participant in the National Pen- for early retirement using the factors in Table sion Fund prior to September 1, 2005, the follow- 3 on page 25 (“Early Retirement Reduction ing early retirement reductions will apply for the Factors Based on Actuarial Equivalence to period of September 1, 2005 to August 31, 2009 for Age 65.”) That chart shows the amount of the benefits earned between those dates. reduction based on the Participant’s exact age in months and years at retirement. Retirement Directly From Covered Employment After Attaining Age 55. If you were a Participant in For more information, please refer to the section the National Pension Fund prior to September 1, titled Deferred Vested Pension on page 26. Delayed Retirement After Terminating Covered For Retirements On or After September 1, 2009. Employment at Age 55 or Later. If you were a If you retire before age 65, your Early Retirement Participant in the National Pension Fund prior Pension will be calculated in the same way as a to September 1, 2005 and you terminate Covered Normal Retirement Pension and will be reduced, Employment after August 31, 2005 and after attain- based on your age on the date of retirement, using ing age 55, but you choose not to retire until some the factors in Table 3 on page 25. later date, the benefits you earned between Septem- However, if you meet either of the following condi- ber 1, 2005 and August 31, 2009 will be subject to tions, your benefit will be calculated as described the actuarial reduction factor in Table 2, based on below and in the sections that follow: your age in months and years at retirement. n If you were born on or before August 31, 1949, The following charts (Tables 1 and 2) show the fac- your Early Retirement Pension will be calcu- tors used to calculate an Early Retirement Pension lated using the reduction factors in effect on for Participants who were Participants in the Plan August 31, 2009 (Tables 1 & 2). before September 1, 2005 and who retire on an Early Retirement Pension at various years and months of n If you were born on or after September 1, 1949, age; Table 1 is for benefits earned before September your Early Retirement Pension will be calcu- 1, 2005 and Table 2 is for benefits earned between lated as the greater of your total accrued benefit September 1, 2005 and August 31, 2009. as of your date of retirement, as adjusted by the factors in Table 3, or your accrued benefit as of August 31, 2009, as adjusted by the factors in effect on August 31, 2009 (Tables 1 & 2). 22

Table 1: Early Retirement Pension Reduction Factors for Benefits Earned Before September 1, 2005

Years Months 61 60 59 58 57 56 55 0 0.9580 0.9160 0.8740 0.8320 0.7900 0.7300 0.6700 1 0.9615 0.9195 0.8775 0.8355 0.7935 0.7350 0.6750 2 0.9650 0.9230 0.8810 0.8390 0.7970 0.7400 0.6800 3 0.9685 0.9265 0.8845 0.8425 0.8005 0.7450 0.6850 4 0.9720 0.9300 0.8880 0.8460 0.8040 0.7500 0.6900 5 0.9755 0.9335 0.8915 0.8495 0.8075 0.7550 0.6950 6 0.9790 0.9370 0.8950 0.8530 0.8110 0.7600 0.7000 7 0.9825 0.9405 0.8985 0.8565 0.8145 0.7650 0.7050 8 0.9860 0.9440 0.9020 0.8600 0.8180 0.7700 0.7100 9 0.9895 0.9475 0.9055 0.8635 0.8215 0.7750 0.7150 10 0.9930 0.9510 0.9090 0.8670 0.8250 0.7800 0.7200 11 0.9965 0.9545 0.9125 0.8705 0.8285 0.7850 0.7250 Table 2: Early Retirement Pension Reduction Factors for Benefits Earned between September 1, 2005 and September 1, 2009, for Participants who Participated in the Plan Prior to September 1, 2005 and Retire From Covered Employment After Attaining Age 55

Years Months 61 60 59 58 57 56 55 0 0.9040 0.8080 0.7120 0.6160 0.5200 0.4540 0.3880 1 0.9120 0.8160 0.7200 0.6240 0.5280 0.4595 0.3935 2 0.9200 0.8240 0.7280 0.6320 0.5360 0.4650 0.3990 3 0.9280 0.8320 0.7360 0.6400 0.5440 0.4705 0.4045 4 0.9360 0.8400 0.7440 0.6480 0.5520 0.4760 0.4100 5 0.9440 0.8480 0.7520 0.6560 0.5600 0.4815 0.4155 6 0.9520 0.8560 0.7600 0.6640 0.5680 0.4870 0.4210 7 0.9600 0.8640 0.7680 0.6720 0.5760 0.4925 0.4265 8 0.9680 0.8720 0.7760 0.6800 0.5840 0.4980 0.4320 9 0.9760 0.8800 0.7840 0.6880 0.5920 0.5035 0.4375 10 0.9840 0.8880 0.7920 0.6960 0.6000 0.5090 0.4430 11 0.9920 0.8960 0.8000 0.7040 0.6080 0.5145 0.4485

example 1 Harry is 60 years old and is eligible for a Normal Retirement Pension of $1,500.00 per month at age 65: $1,000.00 of which he earned before September 1, 2005, $200.00 of which he earned between September 1, 2005 and August 31, 2009, and $300 of which he earned after August 31, 2009. Harry 23 decides to retire at age 60. Harry’s Early Retirement Pension reduction factor, based on actuarial equivalence to age 65 (Table 3 on page 25) is 0.6110, which provides a monthly benefit of $916.50 (see below). However, since Harry left Covered Employment after age 55, that calculation must be compared to the amount Harry would have received using the rules in effect and Harry’s accrued benefit as of August 31, 2009. Using the tables in this section, Harry’s Early Retirement Pension reduction factor for his benefits earned before September 1, 2005 is 0.9160 and for benefits earned between September 1, 2005 and August 31, 2009 is 0.8080. Because Harry is age 60 when he retires, his monthly pension would be calculated as follows: Benefit based on Actuarial Equivalence to Age 65 factors: $916.50 ($1,500 X 0.611) Benefit based on leaving Covered Employment after age 55 and rules and accrued benefit as of 8/31/2009: Earned Earned Before 9/1/05 9/1/05 - 8/31/09 Normal Retirement Pension: $ 1,000.00 $ 200.00 Early Retirement Pension Factor x .9160 x .8080 Early Retirement Pension: $ 916.00 $ 161.60 Total Early Retirement Pension: $ 1,077.60 Harry would receive the higher monthly benefit of $1,077.60. example 2 Betty is 56 years old and is eligible for a Normal Retirement Pension of $1,250.00 per month at age 65: $600.00 of which was earned before September 1, 2005, $250.00 of which was earned between September 1, 2005 and August 31, 2009, and $400.00 of which was earned on or after September 1, 2009. Betty decides to leave Covered Employment and retire at age 56. Her Early Retirement Pen- sion reduction factor based on actuarial equivalence to age 65 (Table 3 on page 25) is 0.4240, which provides a monthly benefit of $530.00 (see below). If Betty retires at age 56, her Early Retirement Pension reduction factor for benefits earned before September 1, 2005 is 0.7300, for benefits earned between September 1, 2005 and August 31, 2009 is 0.4540. Since Betty left Covered Employment after age 55, her Early Retirement Pension would be calculated as follows:

Benefit based on Actuarial Equivalence to Age 65 factors: $530.00 ($1,250 X 0.4240) Benefits based on rules and accrued benefit as of 8/31/2009: Earned Earned Before 9/1/05 9/1/05 - 8/31/09 Normal Retirement Pension: $ 600.00 $ 250.00 Early Retirement Pension Factor x .7300 x .4540 Early Retirement Pension: $ 438.00 $ 113.50 Total Early Retirement Pension: $ 551.50 24 Betty would receive the higher monthly benefit of $551.50.

New Participants on or after September 1, 2005 pating Plan and you elect to receive your pension Individuals who first become Participants on or before age 65, the pension under the Prior Plan after September 1, 2005, and who satisfy the eligi- or a merged Participating Plan will have the Early bility requirements for an Early Retirement Pen- Retirement Pension reduction provided in that sion, will be eligible to receive an Early Retirement plan. Note that some merged Participating Plans Benefit that is the actuarial equivalent to the ben- may not offer an unreduced benefit at age 62. If efit payable at age 65 based upon the early retire- you participated in a merged Participating Plan, ment reduction factors in Table 3 on page 25. you should refer to that Plan’s booklet or contact the Fund Office for a description of the available If you do not qualify for an unreduced pension at payment options. age 62 under the Prior Plan or a merged Partici- Table 3: Early Retirement Reduction Factors Based on Actuarial Equivalence to Age 65

Years Months 64 63 62 61 60 59 58 57 56 55 0 0.9030 0.8170 0.7410 0.6720 0.6110 0.5570 0.5080 0.4640 0.4240 0.3880 1 0.9110 0.8240 0.7470 0.6780 0.6160 0.5620 0.5120 0.4680 0.4270 0.3910 2 0.9190 0.8310 0.7540 0.6840 0.6210 0.5660 0.5160 0.4710 0.4310 0.3940 3 0.9270 0.8390 0.7600 0.6890 0.6260 0.5710 0.5200 0.4750 0.4340 0.3970 4 0.9350 0.8460 0.7660 0.6950 0.6310 0.5750 0.5240 0.4790 0.4370 0.4000 5 0.9430 0.8530 0.7730 0.7010 0.6360 0.5800 0.5280 0.4820 0.4410 0.4030 6 0.9520 0.8600 0.7790 0.7070 0.6420 0.5840 0.5330 0.4860 0.4440 0.4060 7 0.9600 0.8670 0.7850 0.7120 0.6470 0.5890 0.5370 0.4900 0.4470 0.4090 8 0.9680 0.8740 0.7920 0.7180 0.6520 0.5930 0.5410 0.4930 0.4510 0.4120 9 0.9760 0.8820 0.7980 0.7240 0.6570 0.5980 0.5450 0.4970 0.4540 0.4150 10 0.9840 0.8890 0.8040 0.7300 0.6620 0.6020 0.5490 0.5010 0.4570 0.4180 11 0.9920 0.8960 0.8110 0.7350 0.6670 0.6070 0.5530 0.5040 0.4610 0.4210

Benefit Commencement Generally, your Early Retirement Pension will example begin after your application is filed with the Fund Tim became a Participant after September and after you have met all the conditions for this 1, 2005. At age 65, Tim’s Normal Retire- benefit. If you are not in Prohibited Employment ment Pension would be $800 per month. on or after age 62, you may be eligible to elect to 25 Tim decides to retire at age 62. Tim’s Early receive your benefit retroactively to a date before Retirement Pension reduction factor (from your benefit application was received by the Fund the above table) is 0.7410. Tim’s monthly Office. The Fund Office will provide you with more pension would be calculated as follows: information if this applies to you.

Normal Retirement Pension: $ 800.00 Early Retirement Pension Reduction Factor: x 0.7410 Early Retirement Pension: $ 592.80 deferred Vested Pension

Eligibility of the Plan in effect on the day you left Covered Generally, you will be eligible to receive a Deferred Employment. The amount of this Deferred Vested Vested Pension if you terminate Covered Employ- Pension that is payable at age 65 is equal to the Nor- ment with five or more years of Vesting Service. mal Retirement Pension (see page 16) earned as of the date you left Covered Employment. However, Eligibility for a Deferred Vested Pension will be a Deferred Vested Pension can be paid as early as determined by the provisions of the Plan in effect age 55 if you satisfy the eligibility requirements for at the time you leave Covered Employment. an Early Retirement Pension (see page 20). If you are eligible to receive benefits before age 65, the Calculation of Benefit amount of the pension will be reduced based on the Once you are eligible and apply for a benefit, your Early Retirement reduction provisions of the Plan benefit will be calculated based on the provisions when you left Covered Employment.

example 1 Joan is 52 years old and is eligible for a Normal Retirement Pension of $1,400 per month at age 65: 26 $900.00 of which was earned before September 1, 2005 and $500 of which was earned after Septem- ber 1, 2005. Joan terminates Covered Employment prior to age 55 after satisfying the requirements for a Deferred Vested Pension and an Early Retirement Pension and she elects to commence benefits at age 55. Her Early Retirement Pension benefit amount would be the greater of her total accrued benefit on her retirement date ($1,400.00 per month) adjusted by the actuarial equiva- lence to age 65 factor of 0.3880 (Table 3 on page 25), or her accrued benefit as of August 31, 2005 ($900.00 per month) adjusted by the reduction factor of 0.6700 (Table 1 on page 22). Joan’s Early Retirement Pension would be calculated as follows: Benefit based on Actuarial Equivalence to Age 65 factors: $543.20 ($1,400 X 0.3880) Benefits based on leaving Covered Employment before age 55:

Earned Before 9/1/05 Normal Retirement Pension: $900.00 Early Retirement Pension Factor x 0.6700 Early Retirement Pension: $603.00

Joan would receive the higher monthly benefit of $603.00. example 2 Jake left Covered Employment at age 57, after satisfying the service requirements for a Deferred Vested Pension and the requirements for an Early Retirement Pension (see page 20). His Normal Retirement Pension at age 65 would be $900 per month, of which $500 was earned before Septem- ber 1, 2005, $300 was earned between September 1, 2005 and August 31, 2009, and $100 was earned after September 1, 2009. Jake elects to commence benefits at age 60. His Early Retirement Pen- sion would be the greater of his total accrued benefit at 65 ($900) adjusted by the actuarial equiva- lence to age 65 factor of 0.6110 (Table 3 on page 25) or his accrued benefit as of August 31, 2009 adjusted by the reduction factor for benefits earned before September 1, 2005 of 0.9160 (Table 1 on page 22) and for benefits earned between September 1, 2005 and August 31, 2009, of 0.8080 (Table 2 on page 23). Jake’s benefit will be calculated as follows:

Benefit based on Actuarial Equivalence to Age 65 factors: $549.90 ($900 X 0.6110)

Benefits based on rules and accrued benefit as of 8/31/2009:

Earned Before Earned 9/1/05 9/1/05 - 8/31/09 Normal Retirement Pension: $500.00 $300.00 Early Retirement Pension Factor x 0.9160 x 0.8080 Early Retirement Pension: $458.00 242.40 27 Total Early Retirement Pension $700.40

Jake would receive the higher monthly benefit of $700.40. Disability Pension

Eligibility than 12 months has passed since the change from If your Covered Employment is terminated due to Covered Employment to non-Covered Employ- a Total and Permanent Disability, you may be eligi- ment and employment has been continuous, a ble for a Disability Pension if at that time you have Total and Permanent Disability ending your non- at least 10 years of Future Service Pension Credit. Covered Employment with that Employer will be treated the same as if you terminated Covered You may be required to submit to an examination Employment on account of Total and Permanent by a physician or physicians selected by the Trust- Disability. ees and to submit to reexamination periodically

as the Trustees direct. The Trustees may require Definitions or accept as proof of your Total and Permanent Total and Permanent Disability: You are Disability a determination by the Social Security considered Totally and Permanently Disabled Administration that you are entitled to a Dis- if, on the basis of medical evidence, the Trust- ability Insurance Benefit under the Federal Social ees determine that you are unable to engage in Security Act. any substantial gainful activity due to any medi- cally determinable physical or mental impair- If you terminated Covered Employment before Sep­ ment expected to last for a continuous period of tember 1, 2005, there are different eligibility rules not less than 12 months or expected to result in 28 for a Disability Pension. Contact the Fund Office for information about Disability Pension eligibility death. in place before September 1, 2005. The Future Ser- Substantial Gainful Activity: Substantial gainful vice Pension Credit you earn under the Prior Plan activity involves performance of significant physical or a merged Participating Plan can be used to meet or mental duties, or a combination of both, that is these eligibility requirements provided you have not productive in nature. Gainful work activity is activity: incurred a Permanent Break in Service. n For your remuneration or profit; Covered Employment Must be n For the remuneration or profit of persons, if Terminated by Disability any, for whom you perform work; or Except as noted below, you will only be eligible for a Disability Pension if your Covered Employment n Of a nature generally performed for remunera- ended due to a Total and Permanent Disability. tion or profit. Therefore, if you have other employment after For work activity to be substantial, it is not neces- you leave Covered Employment, you may not be sary that it is performed on a full-time basis; work eligible for a Disability Pension even if you subse- activity performed on a part-time basis may also be quently become unable to work due to a disability. substantial. Work may still be substantial even if One exception to this rule applies if you move the amount of work activity is less or it is of a less directly from Covered Employment to non-Cov- responsible or gainful nature after the onset of your ered Employment with the same Employer. If less impairment than before. You will be determined to be Totally and Perma- and your spouse were married throughout the 12 nently Disabled if the Trustees determine that your months preceding your death (see pages 39-41). physical or mental impairment(s) is of such severity In this case, the Preretirement Surviving Spouse that you are unable to do your previous work and Benefit available to your eligible surviving spouse considering your age, education, and work experi- would be 50% of the Early Retirement Pension ence, you cannot engage in any other kind of sub- benefit that you would have been eligible for at stantial gainful work. age 55, not 50% of the unreduced Disability Pen- sion benefit you received while living. However, Disabilities Not Recognized if you are married, retire on a Disability Pension by the Future Service Plan before age 55, elect a Single Life Annuity and die The Future Service Plan will not recognize disabili- at or after attaining age 55, your spouse will not ties caused by: receive a surviving spouse benefit unless, at age 55, you elected to change the form of your benefit to n An injury suffered while engaged in a felonious an Early Retirement Pension paid in the form of or criminal act or enterprise; or a 50% or 75% Spouse Joint and Survivor Annu- n Service in the Armed Forces of the United ity (see below). In any event, if you are receiving a States that entitles you, within two years of Disability Pension and you die before age 55, your separation from military service, to a Veteran’s spouse’s survivor benefit will not begin until the Disability Pension. month after you would have reached age 55. Additional rules apply if you are divorced after Benefit Calculation your Disability Pension begins and before age 55. 29 The amount of your Disability Pension is the same You should contact the Fund Office for these rules. as your Normal Retirement Pension. Optional Benefit Conversion/Form of Payment Optional Form of Payment Change at Age 55 If you begin to receive a Dis- If you are not married on the date your Disability ability Pension before age 55, you will have the Pension begins, your Disability Pension will be paid one-time option, at age 55, to change your form in the form of a Single Life Annuity (see page 33). of payment if you elect to convert your Disability If you are married on the date your Disability Pen- Pension (not reduced for age) to an age-reduced sion begins, your monthly benefit will be paid as a Early Retirement Pension. Before turning age 55, 50% Spouse Joint and Survivor Annuity (see page the Fund Office will contact you and you will be 33), unless you and your spouse waive that form of offered the opportunity to: benefit under the procedures described on page 33 and you elect a Single Life Annuity. For a complete n Continue your Disability Pension benefit under explanation of the forms of benefit payments avail- the same form of payment you originally elect- able under the Future Service Plan, see pages 33-38. ed (Single Life Annuity or 50% Spouse Joint and Survivor Annuity), or Please note, if you retire on a Disability Pension before age 55, elect a Single Life Annuity, and die n Change your form of payment and convert your before age 55, your spouse will receive a Prere- Disability Pension to an age-reduced Early tirement Surviving Spouse Benefit, provided you Retirement Pension. If you change your benefit form, your spouse, if or mental impairment prevented you from filing an any, must consent in writing as described in the application within the five-year period. Forms of Pension Payment section on pages 31-32. When Payments End

Payment Your Disability Pension will end if you:

Payment of the Disability Pension begins on the n Cease to be Totally and Permanently Disabled; first of the month following the later of: n Do not undergo a medical examination request- n A five-month period of Total and Permanent ed by the Trustees (a medical examination will Disability (six months for benefits earned in the not be required more frequently than twice a Michigan Food Fund Benefit Group and in the year); Michigan Drug Fund Benefit Group); or n Engage in any occupation or employment for n The last payment of weekly accident and sick- remuneration or profit, unless such occupation ness benefits from an Employer-sponsored plan. or employment is found by the Trustees to be for rehabilitation or is not incompatible with the If you first applied for a Disability Pension on or after definition of Total and Permanent Disability; or September 1, 2010, the maximum retroactive effec- tive date of a Disability Pension is three years from n Regain ability to engage in substantial gainful the date of the application for the Disability Pension. activity.

If you terminated Covered Employment due to a If you are no longer eligible for a Disability Pen- 30 Total and Permanent Disability on or after Septem- sion, you may: ber 1, 2009, you must apply for a Disability Pen- n Return to work in Covered Employment and sion within five years of the date of termination of earn additional Pension Credit; or Covered Employment due to your Total and Per- manent Disability. The application deadline may be n Apply for another type of pension if you meet extended if the Trustees determine that a physical all the requirements for such pension. Forms of Pension Payment

There are four forms of pension payments available to receive a lifetime monthly payment from the under the Plan: Future Service Plan if you die first. Your spouse must consent in writing to this election on the n Single Life Annuity; form that the Fund requires and the consent n 50% Spouse Joint and Survivor Annuity; must be witnessed by a notary public. An elec- tion without consent by your spouse waiving his/ n 75% Spouse Joint and Survivor Annuity; or her right to the 50% Spouse Joint and Survivor n Level Income Annuity. Annuity will be disregarded, and the pension will be paid as a 50% Spouse Joint and Survivor General Rules Annuity unless one of the exceptions described on page 35 applies. n If you are not married at the time your pension is to begin, you will receive your pension in the n Alternatively, you can elect with your spouse’s Single Life Annuity form of payment, unless consent (witnessed by a notary public) to receive you are eligible for and elect the Level Income a 75% Spouse Joint and Survivor Annuity. This Annuity (see page 37). A Single Life Annuity is form of payment provides 75% of your reduced a monthly pension payable to you during your benefit to your spouse upon your death. lifetime. Under this form, no benefits are pay- able to anyone after you die. n If you die after electing another form of pay- 31 ment (with your spouse’s consent) but before n If you are married on the date your pension is payment of the benefit has begun, your surviv- to begin, you will receive a pension in the 50% ing spouse may revoke the waiver of the 50% Spouse Joint and Survivor Annuity form of pay- Spouse Joint and Survivor Annuity. ment, unless you and your spouse waive this option under the procedures described on page n If you elect a form of benefit payment under the 33 and elect payment under another option (or Prior Plan or a Participating Plan, it will auto- unless the law provides otherwise). Under the matically be extended to the benefits under the 50% Spouse Joint and Survivor Annuity option, Future Service Plan, if that form of benefit pay- you will receive a smaller monthly pension than ment is allowed under the Future Service Plan. you would receive under the Single Life Annuity n If you were married on the date your pension form during your lifetime and, upon your death, begins and are subsequently divorced after pay- 50% of that monthly pension will be contin- ments begin under a 50% or 75% Spouse Joint ued to your qualified surviving spouse for your and Survivor Annuity, your monthly amount spouse’s lifetime. will not be increased and your form of pay- n If you and your spouse decide to waive the ment will not be changed. Further, your former 50% Spouse Joint and Survivor Annuity and spouse is still entitled to the survivor annuity elect either the Single Life Annuity or Level when you die, unless a Qualified Domestic Rela- Income Annuity, your spouse gives up the right tions Order provides otherwise. n In situations where the combined actuarial benefit will be readjusted as of the first day of present value of your benefit payable under the the month following your spouse’s death to the Future Service Plan, Prior Plan, and merged amount that would have been paid to you as a Participating Plan is $5,000 or less at the time Single Life Annuity (this readjustment became of your Annuity Starting Date, you will receive available to Participants or pensioners who were a lump sum payment instead of payment under former Participants of the Michigan Food Fund any other form. The lump sum payment, which Benefit Group or the Michigan Drug Fund Ben- will be in place of future monthly pension pay- efit Group on July 1, 1998). Satisfactory­ proof of ments, is paid in this case regardless of your your spouse’s death is required before the read- marital status. justed benefit will be paid.

n In determining the actuarial present value of n The Plan will send you information about the forms of payment available to you within 180 your benefit under the Future Service Plan, the days of your Annuity Starting Date, but not amount of any lump sum payment to you, your less than 30 days before. This information will spouse, or your former spouse will be calculated include a description of the Single Life Annuity in accordance with the lump sum conversion fac- and the 50% Spouse Joint and Survivor Annu- tors in the Future Service Plan. ity forms of payment, including the relative n If you are a disability pensioner who is to receive financial values of the two, as well as optional a Disability Pension under a 50% Spouse Joint forms of payment such as the 75% Spouse Joint and Survivor Annuity, there are special actuarial and Survivor Annuity and the Level Income factors, described on page 29, for calculating the Annuity. The optional forms information will 32 amount of your 50% Spouse Joint and Survivor include a description of the forms of payment, Annuity. information about the right to waive the 50% Spouse Joint and Survivor Annuity, the effect of n The form of payment you elect cannot be such a waiver, and your spouse’s right to with- changed once the pension benefit payment is hold consent to the election of a form other than cashed, deposited (including electronic funds the 50% Spouse Joint and Survivor Annuity. transfer), or otherwise negotiated. There is an You and your spouse may waive, in writing, the exception, however, if you are married and 30-day requirement, and the information can begin to receive a Disability Pension before age be provided up to 7 days prior to the Annuity 55 (see page 29). In addition, if you are receiving Starting Date. In addition, you will be notified of a 50% Spouse Joint and Survivor Annuity and your right to defer a distribution and the conse- your spouse dies on or after July 1, 1992, your quences of not deferring a Plan benefit. Explanation of Forms of Pension Payment

You have up to 180 days after receiving an explanation of the benefit options available to you under the Future Service Plan to elect a form of benefit payment.

Single Life Annuity a factor based on your age at retirement and the dif- The Single Life Annuity form of payment provides ference in ages between you and your spouse. a monthly payment to you during your lifetime. No For the 50% Spouse Joint and Survivor Annu- payments are made after your death. ity form of payment to be available, you and your

50% Spouse Joint and Survivor Annuity spouse must be legally married on the date your pension begins. Proof of marriage and proof of your If you are married on the day your pension benefit spouse’s age will be required. The fact that you begins, federal law requires payment in the form of a become divorced while receiving payments under 50% Spouse Joint and Survivor Annuity unless you the 50% Spouse Joint and Survivor Annuity will not and your spouse both agree to waive this form of by itself change the form of benefit payment. benefit. To waive this form of payment, you and your spouse must consent to the waiver in writing and the How the 50% Spouse Joint and Survivor Reduction Works consents must be witnessed by a notary public. For benefits earned after June 30, 1984 (or your

A waiver of the 50% Spouse Joint and Survivor plan’s merger date, if later), the factor is based on two components: Annuity is effective only if signed no more than 180 33 days immediately preceding the Annuity Starting n Your age at retirement; and Date. You may revoke a waiver and execute a new n The difference between your age and your waiver at any time within this 180-day period. Gen- spouse’s age. erally, your distribution cannot begin until 30 days after you have received information from the Plan The formula for the 50% Spouse Joint and Survivor concerning the Spouse Joint and Survivor benefit Annuity factor applied to that benefit is: form and the right to request optional benefit forms n Step 1: 90.2%: from the Plan. You and your spouse may waive in � Plus 0.3% for each year you are younger writing the 30-day distribution waiting period , pro- than age 65 when you retire; or vided that the explanation is given at least (7) days � Minus 0.3% for each year you are older than prior to the date of distribution. After you cash, age 65 when you retire. deposit or otherwise negotiate your benefit pay- ment, you cannot change your election. n Step 2: The percent calculated in Step 1: � Plus 0.4% for each full year your spouse is Because the 50% Spouse Joint and Survivor Annu- older than you are when you retire; or ity form of payment assumes continuation of 50% of the monthly pension benefit to your qualified spouse � Minus 0.4% for each full year your spouse is after your death, the amount paid to you is less than younger than you are when you retire. would be the case if no benefit continued after your To calculate the amount of a 50% Spouse Joint and death. The amount of the pension will be reduced by Survivor Annuity, the factor is multiplied by your Normal or Early Retirement Pension amount. In no event will the factor exceed 99.0% Example 3 The factor for benefits accrued under the National Marie is age 62 and eligible to retire with Pension Fund’s Prior Plan before July 1, 1984 is a monthly pension of $1,200.00. Marie’s 86.2% plus 0.4% for each full year your spouse is husband will be 67 years old on the effec- tive date of her pension. The reduction older than you or minus 0.4% for each full year percentage for an Employee age 62 with a your spouse is younger than you. If you participat- spouse age 67 is 93.1% [90.2% + (0.3% x 3) ed in a merged Participating Plan, you should refer + (0.4% x 5)]. to that Plan to identify the pre-merger factor. Monthly Pension Amount: $1,200.00 Reduction Percentage: x 93.1% Marie’s 50% Spouse Joint example 1 and Survivor Annuity: $1,117.20 n If you and your spouse are both age 65, Spouse’s 50% Reduction: x 50% the factor is 90.2%. Spouse’s 50% Spouse Joint n If you are age 65 and your spouse is and Survivor Annuity: $ 558.60 three years younger than you are, the factor is 89.0% [90.2% - (0.4% x 3)].

n If you are age 62 and your spouse is two Special Rules for the 50% Spouse Joint and Survivor years older than you, the factor is 91.9% Annuity for Disability Pensioners 34 [90.2% + (0.3% x 3) + (0.4% x 2)]. If you are married on the date your Disability Pen- sion begins, you will receive a 50% Spouse Joint and Survivor Annuity, unless you and your spouse The following two examples show how the 50% waive that form of payment and elect a Single Life Spouse Joint and Survivor Annuity is calculated. Annuity. If you are married and your Disability Pension begins before age 55, see page 29 for an explanation of the options available to you. Example 2 Don is eligible to retire with a monthly pen- The amount of the Disability Pension payable as a sion of $1,000.00 per month. Both he and his 50% Spouse Joint and Survivor Annuity is calcu- wife are age 62 when his pension is effective. lated the same as Normal Retirement Pension but The reduction percentage applicable based will be reduced by the appropriate disability 50% on the ages of Don and his wife is 91.1% Spouse Joint and Survivor Annuity reduction factor [90.2% + (0.3% X 3)]. based on the difference in ages between you and Monthly Pension Amount: $1,000.00 your spouse. Reduction Percentage: x 91.1% Don’s 50% Spouse Joint If you are receiving a Disability Pension in the form and Survivor Annuity: $ 911.00 of a 50% Spouse Joint and Survivor Annuity and Spouse’s 50% Reduction: x 50% die before age 55, the survivor’s portion will not Spouse’s 50% Spouse Joint be paid to your qualified surviving spouse until the and Survivor Annuity: $ 455.50 first day of the month following the date you would have reached age 55. n The reduction factor for Disability Pension is 75.2%: Restrictions on Electing the 50% Spouse Joint and Survivor Annuity � Plus 0.6% for each full year your spouse is Your benefit will not be paid in the 50% Spouse older than you; or Joint and Survivor Annuity form if: � Minus 0.5% for each full year your spouse is younger than you. n You are not married on the date your pension The following examples illustrate different scenari- begins, because you were never married or were os of how to calculate a Disability Pension. married and are divorced (unless a Qualified Domestic Relations Order directs otherwise);

example 1 n Your spouse dies before your pension begins; or n If you and your spouse are the same age, the factor is 75.2%. n You are legally married on the date your pen- n If your spouse is three years younger sion begins, but: than you are, the factor is 73.7% [75.2% � Your spouse consents to the waiver of the - (0.5% x 3)]. 50% Spouse Joint and Survivor Annuity and n If your spouse is three years older than the consent is witnessed by a notary public; you are, the factor is 77.0% [75.2% + or (0.6% x 3)]. � You are legally separated or legally aban- doned (within the meaning of local law) by Example 2 shows how the 50% Spouse Joint and your spouse, unless a Qualified Domestic Survivor Annuity is calculated for Disability Pensions. Relations Order directs otherwise; or � You are unable to locate your spouse. 35

Example 2 You should be prepared to provide legal evidence Frank and his spouse are both age 60 when if you are married and any of these situations apply he qualifies for a Disability Pension of to you. $900.00 per month. The reduction percent- age for the Disability Pension based on Generally, once you have started receiving pension the ages of Frank and his wife is 75.2%. checks or electronic payments, you cannot change Therefore, Frank would receive a 50% the form of payment, even if your personal circum- Spouse Joint and Survivor Annuity of $676.80 ($900.00 x 75.2%) per month dur- stances change. However, if you are married and ing his life. Upon Frank’s death, his quali- begin to receive a Disability Pension before age fied surviving spouse will receive 50% of 55, you may change the form of benefit when you Frank’s pension or $338.40 ($676.80 x 50%) become age 55 to an Early Retirement Pension monthly for the remainder of her life. reduced for age (see page 29).

If Frank and his spouse were age 50 when he became disabled instead of age 60 and if 75% Spouse Joint and Survivor Annuity Frank died at age 52, the surviving spouse If you are married on the day your pension ben- benefit of $338.40 would not be paid to his efit begins, you may elect to receive your pension qualified surviving spouse until the first in the form of a 75% Spouse Joint and Survivor of the month after what would have been Annuity. To elect the 75% Spouse Joint and Survi- Frank’s 55th birthday. vor Annuity, you and your spouse must waive the n Your age at retirement; and 50% Spouse Joint and Survivor Annuity. See the n The difference between your age and your section titled The 50% Spouse Joint and Survivor spouse’s age. Annuity on page 33. The 75% Spouse Joint and Survivor Annuity is not available with a Disability The formula for the 75% Spouse Joint and Survivor Pension. Annuity factor applied to that benefit is: If you elect the 75% Spouse Joint and Survivor n Step 1: 86.2%: Annuity and die before your spouse, your spouse � Plus 0.5% for each year you are younger will receive 75% of the benefit you were receiving. than age 65 when you retire; or If your spouse dies before you, your benefit will not be increased and will remain the same for the � Minus 0.5% for each year you are older than rest of your life. age 65 when you retire.

Because the 75% Spouse Joint and Survivor n Step 2: The percent calculated in Step 1: Annuity form of payment assumes that 75% � Plus 0.6% for each full year your spouse is of the monthly pension benefit will continue older than you are when you retire; or to your qualified spouse after your death, the � Minus 0.6% for each full year your spouse is amount paid to you during your lifetime is less younger than you are when you retire. than would be the case if no benefit continued To calculate the amount of a 75% Spouse Joint and after your death. The amount of the pension Survivor Annuity, the factor is multiplied by your will be reduced by a factor based on your age at Normal or Early Retirement Pension amount. In retirement and the difference in ages between no event will the factor exceed 99.0%. 36 you and your spouse.

To be eligible for the 75% Spouse Joint and Survi- vor Annuity, you and your spouse must be legally example 1 married on the date your pension benefit begins. Proof of marriage and proof of your spouse’s age n If you and your spouse are both age 65, will be required. The fact that you become divorced the factor is 86.2%. while receiving payments under the 75% Spouse n If you are age 65 and your spouse is Joint and Survivor Annuity will not by itself change three years younger than you are, the the form of benefit payment. factor is 84.4% [86.2% - (0.6% x 3)]. Once you cash, deposit or otherwise negotiate your n If you are age 62 and your spouse is two pension checks or electronic payments, the form of years older than you, the factor is 88.9% payment cannot be changed even if your personal cir- [86.2% + (0.5% x 3) + (0.6% x 2)]. cumstances change.

How the 75% Spouse Joint and Survivor Reduction Works The following two examples show how the 75% The factor applied in changing from a Single Life Spouse Joint and Survivor Annuity is calculated for Annuity to a 75% Spouse Joint and Survivor Annu- Normal and Early Retirement Pensions. ity is based on two components: Example 2 Example 3 Dan is eligible for a Normal Retirement Selma is age 62 and eligible to retire with a Pension of $1,000.00 per month. Both he monthly pension of $1,200.00. Selma’s hus- and his wife are age 65 when his pension is band will be 67 years old on the effective date effective. The reduction percentage appli- of her pension. The reduction percentage for cable based on the ages of Dan and his wife an Employee age 62 with a spouse age 67 is is 86.2% 90.7% [86.2% + (0.5% x 3) + (0.6% x 5)]. Normal Retirement Pension: $1,000.00 Early Retirement Pension: $1,200.00 Reduction Percentage: x 86.2% Reduction Percentage: x 90.7% Dan’s 75% Spouse Joint Selma’s 75% Spouse Joint and Survivor Reduction: $ 862.00 and Survivor Annuity: $ 1,088.40 Spouse’s 75% Reduction: x 75% Spouse’s 75% Reduction: x 75% Spouse’s 75% Spouse Joint Spouse’s 75% Spouse Joint and Survivor Annuity: $ 646.50 and Survivor Annuity: $ 816.30

Level Income Annuity Annuity. You may elect a Level Income Annuity This form of payment provides a higher monthly only if you retire before age 65. amount of the Single Life Annuity payment to Under a Level Income Annuity, the monthly payment­ you before Social Security benefits begin and a from the Future Service Plan will be reduced as of the lower monthly amount of the Single Life Annuity first day of the month following your 62nd, 63rd, 64th, 37 payment after Social Security benefits begin. This or 65th birthday, depending on the age at which you means that the monthly pension­ from this Plan expect to begin receiving Social Security retirement before Social Security benefits begin would be benefits. The factors used to calculate this benefit may approximately equal to the total income produced change as frequently as once a year, as required by by adding the reduced Plan benefit to the Social federal law. Contact the Fund Office for the most cur- Security monthly payment once it begins. That is rent rates. The rates for retirements effective July 1, why this form of payment is called a Level Income 2013 through June 30, 2014 are as follows:

Sample retirement Age at Which Social Security Payments Start Level age * age 62 age 63 age 64 age 65 Income Annuity 55 0.6141 0.5694 0.5265 0.4855 Factors 56 0.6556 0.6084 0.5631 0.5198 57 0.7000 0.6501 0.6023 0.5565 58 0.7542 0.6950 0.6444 0.5959 59 0.8110 0.7499 0.6896 0.6383 60 0.8707 0.8074 0.7452 0.6840 61 0.9335 0.8681 0.8036 0.7403 62 0.9321 0.8653 0.7996 63 0.9306 0.8623 64 0.9289

* Level Income Annuity factors are based on your retirement age in years and months. The above table reflects whole years only; adjustments will be made for years and months. No benefits are payable under the Level Income Annuity after your death. You may not elect the Level Income Annuity if you are applying for a Disability Pension. The Trustees have set a limitation of $10.00 as the minimum monthly benefit to be paid as a Level Income Annuity from the Future Service Plan. Once payments begin under the Level Income Annuity form of payment, you cannot change either the elec- tion of this form of payment or the amount paid under this form of payment, even if your Social Security benefits are different than you anticipated.

Example 2 Example 1 Fred is age 62 and is eligible for a $1,200.00 per Cindy is age 58 and is eligible for an $800.00 month pension benefit (after early retirement per month pension benefit (after early retire- reduction) paid as a Single Life Annuity. His ment reduction) paid as a Single Life Annu- estimated Social Security retirement benefit ity. Her estimated Social Security retirement at age 65 is $1,500.00 per month. Fred decides benefit at age 62 is $1,200.00. Cindy decides to have his benefits paid as a Level Income to have her benefit paid as a Level Income Annuity with his Social Security benefits Annuity with her Social Security benefit beginning at age 65 on September 1, 2013. beginning at age 62 on November 1, 2013. Because of Fred’s age at retirement and the Because of Cindy’s age at retirement and age at which he plans to begin receiving Social the age at which she plans to begin receiving Security benefits, the applicable Level Income Social Security benefits, the applicable Level Annuity factor is 0.7996. Fred’s Level Income Income factor applicable to Cindy is 0.7542. Annuity would be calculated as follows: Cindy’s Level Income Annuity would be cal- culated as follows: Pension between the Ages of 62 and 65: Pension between the Ages of 58 and 62 a) Level Income Annuity Factor: 0.7996 38 a) Level Income Annuity Factor: 0.7542 b) Fred’s estimated Social Security benefit at age 65: x $ 1,500.00 b) Cindy’s estimated Social Security benefit at age 62: x $ 1,200.00 c) Subtotal $ 1,199.40 c) Subtotal: $ 905.04 d) Fred’s Early Retirement Pension at age 62: + $ 1,200.00 d) Cindy’s Early Retirement Pension at age 58: + $ 800.00 e) Level Income Annuity paid between the ages of 62 and 65: $ 2,399.40 e) Level Income Annuity paid between the ages of 58 and 62: $ 1,705.04 Pension at Age 65: Pension at Age 62 a) Fred’s Level Income Annuity a) Cindy’s Level Income Annuity between ages of 62 and 65 $ 2,399.40 between ages of 58 and 62: $ 1,705.04 b) Fred’s estimated Social b) Cindy’s estimated Social Security benefit at age 65: - $ 1,500.00 Security benefit at age 62: - $ 1,200.00 c) Level Income Annuity c) Level Income Annuity starting at age 65: $ 899.40 starting at age 62: $ 505.04 d) Fred’s total retirement income d) Cindy’s total retirement income at age 65 from the Fund and at age 62 from the Fund and Social Security (b + c): $ 2,399.40 Social Security (b + c): $ 1,705.04

Note: If the benefit actually paid by Social Security differs from the estimate made at retirement, the benefits paid by the Fund do not change. Surviving Spouse Benefits Before Pension Benefits Begin

If you die before your pension benefits begin, the the benefit for your spouse could begin on the first Future Service Plan provides a Preretirement Sur- of the month following the date on which you would viving Spouse Benefit to your qualified surviving have reached age 55 had you lived. spouse if, at the time of your death, you: Your qualified surviving spouse may elect to delay n Were married throughout the one-year period the beginning of the Preretirement Surviving Spouse ending on the date of your death; and Benefit to some later date beyond your benefit date. However, the Preretirement Surviving Spouse Benefit n Had satisfied the service requirements neces­ must begin by the later of December 31st of the cal- sary to be a vested Participant before your endar year immediately following the calendar year death (see page 7). in which you die or December 31st of the calendar year in which you would have turned age 70½. If your The Preretirement Surviving Spouse Benefit is qualified surviving spouse elects to delay the com- available regardless of your age at the time of mencement of the benefit, the amount of the monthly death, but payment of the benefit cannot begin payments is the actuarial equivalent of the benefit before the benefit date described below. amount that would have been payable at the earli-

Benefit Date est commencement date. If your qualified surviving spouse dies before the date he or she elects to begin Your benefit date is your date of death, or if later, receiving the Preretirement Surviving Spouse Benefit, the earliest date on which you could have begun there will be no payments to any other beneficiary. receiving a pension benefit from the Future Service 39 Plan had you terminated Covered Employment on The Future Service Plan may charge for the Pre- the date of your death and survived. retirement Surviving Spouse Benefit protection, but this charge will only apply to periods after you Benefit Calculation receive notice and are given an opportunity to The benefit paid to your qualified surviving spouse waive the benefit. is equal to one-half the monthly pension that you would have received under the 50% Spouse Joint and If you die after you have left Covered Employment Survivor Annuity if you had retired and had begun to with a vested benefit but before your pension begins, receive a benefit the day before your benefit date. the Preretirement Surviving Spouse Benefit paid to your spouse will be based on the benefit you had When Benefits Begin earned and the terms of the Future Service Plan that Payment of the Preretirement Surviving Spouse existed at the time you left Covered Employment. Benefit to your qualified surviving spouse will begin as of the first day of the month immediately follow- General Rules ing your benefit date. Therefore, the benefit will not n No Preretirement Surviving Spouse Benefit will begin until the first of the month following the date be paid if you die before qualifying for a pen- on which you would have reached age 65 had you sion benefit. lived, unless you were eligible for an Early Retire- ment Pension at the time of your death. In that case, n No Preretirement Surviving Spouse Benefit is paid to your surviving spouse if you and your spouse were not married to each other through­ Example 1 out the one-year period immediately before Mary dies at age 62 after meeting all the your death, even if you meet the other require- requirements for an Early Retirement pen- ments described on page 39. sion. Her husband is age 67 at the time of her n If you die before receiving any pension benefits death. Mary had left employment with an under a 50% Spouse Joint and Survivor Annu- Employer but had not applied for a pension. At the time of her death, Mary was entitled ity form of payment and you have not satisfied to retire with an Early Retirement Pension the requirement for your spouse to become of $1,200.00 per month. Her husband could eligible for a Preretirement Surviving Spouse choose to receive his surviving spouse annuity Benefit, there will be no payments made to your beginning the month following Mary’s death. surviving spouse following your death. Early Retirement Pension: $1,200.00 n If a Qualified Domestic Relations Order 50% Spouse Joint and entered by the court before your death provides Survivor Annuity Factor: x 0.931 that your former spouse be treated as your sur- Mary’s 50% Spouse Joint and viving spouse for purposes of the Preretirement Survivor Benefit: $1,117.20 50% Spouse Reduction: x 0.50 Surviving Spouse Benefit, the Future Service Spouse’s 50% Spouse Joint Plan is required by federal law to do so, even and Survivor Benefit: $ 558.60 if you are married to another person at your death. 40

example 2 Jeff has 25 years of Future Service Pension Credit, which would provide him with a benefit of $1,500.00 per month at age 65 ($1,000.00 was earned before September 1, 2005 and $500.00 was earned after Sep- tember 1, 2005). Jeff dies at age 53 while working in Covered Employment. At age 55, Jeff could have retired with an Early Retirement Pension. Jeff’s spouse, who is two years younger than him, is eligible to receive a survivor benefit beginning on the first day of the month following the month in which Jeff would have attained age 55. Since Jeff died at age 53, his qualified surviving spouse would receive the 50% Spouse Joint and Survivor benefit calculated as follows: Greater of (1) or (2): (1)Based on actuarial equivalence to age 65 factors: $582.00 ($1,500.00 x 0.388) (2)Early Retirement Benefit as of 8/31/2005: $670.00 ($1,000.00 x 0.670)

Early Retirement Pension: $ 670.00 Reduction for 50% Spouse Joint and Survivor Annuity x 0.924 Jeff’s 50% Spouse Joint and Survivor Annuity $ 619.08 Spouse’s reduction x 50% Spouse’s 50% Spouse Joint and Survivor Annuity $ 309.54 example 3 Molly has 20 years of Future Service Pension Credit, which would provide her with a benefit of $1,200.00 per month at age 65 ($1,000.00 was earned before September 1, 2005, $150.00 was earned between September 1, 2005 and August 31, 2009, and $50 was earned after August 31, 2009). How- ever, when Molly dies at age 53, she is not working in Covered Employment. At age 55, Molly could have retired with an Early Retirement Pension. Molly’s spouse, who is two years younger than her, is eligible to receive a survivor’s benefit beginning on the first day of the month following the month in which Molly would have attained age 55. Because Molly left Covered Employment before age 55, her monthly pension would be reduced for Early Retirement as outlined below and her qualified surviving spouse would receive the 50% Spouse Joint and Survivor Annuity benefit calculated as follows: Greater of (1) or (2): (1) Based on actuarial equivalence to age 65 factors: $1,200.00 x 0.388 = $465.60, or (2) Early Retirement Pension benefits as of August 31, 2005: ($1,000.00 x 0.670) = $670.00

This amount is then reduced for payment in the 50% Spouse Joint and Survivor Annuity form, as follows: Early Retirement Pension $ 670.00 Reduction for 50% Spouse Joint and Survivor Annuity x 0.924 Molly’s 50% Spouse Joint and Survivor Annuity $ 619.08 Spouse’s reduction x 50% Spouse’s 50% Spouse Joint and Survivor Annuity $ 309.54 41

Special Disability Surviving Spouse Benefit date. No Preretirement Surviving Spouse Benefit If you are a married disability pensioner, die before is paid if you die on or after attaining­ age 55 while age 55, and have waived the 50% Spouse Joint and receiving a Single Life Annuity (see page 29).

Survivor Annuity, your qualified surviving spouse Death During Qualified Military Service will be eligible to receive a Preretirement Surviving­ If you die while performing qualified military ser- Spouse Benefit provided you were married for the vice, the Plan will treat you as if you were working 12 month period preceding your date of death. The in Covered Employment the day before your death benefit amount will equal 50% of the benefit you and terminated employment due to your death. would have received under an Early Retirement This means your Spouse, if eligible otherwise, Pension if you had retired on a 50% Spouse Joint would receive a Preretirement Surviving Spouse and Survivor Annuity on your commencement benefit. Applying for a Pension

When you retire, there are some things you must do to begin receiving your pension and issues that you must consider as part of your retirement.

When Benefits Begin of payments. If payments were made in error Your pension will be effective on the first day of due to the Plan’s reliance on these misrepresen- the month following the date you have met all of tations, the Plan can recover any benefits that the conditions for payment of a pension, includ- you were not entitled to receive. ing the filing of a pension application. If possible, n Union or Employer representatives are not you should submit a completed application and all authorized to tell you the amount of your pen- requested documents three to six months in advance sion benefit or whether you qualify for benefits of the date that you want your pension to start to from the Future Service Plan. Authorized rep- ensure timely processing of your application. resentatives of the Board of Trustees must com- You may also be eligible to receive a retroactive municate this information to you in writing. pension in some circumstances. See page 19 for n You can ask for a benefit estimate from the more detail. Fund Office. However, your final benefit

Completing and Filing a Pension Application amount is always governed by the terms of the Plan Document and will not be calculated until 42 n After you have met the eligibility requirements you formally apply for a pension. for a pension under the Future Service Plan, n When the pension application is completed, you must complete, sign and file a written pen- you should forward the application and all sion application­ with the Fund Office. You can documents­ that the Fund Office requests to the request a pension application and the written Fund Office. The date on which the Fund Office instructions on filing this application from your receives the completed pension application and Local Union office or from the Fund Office at: all documents necessary for the processing of

your application will be considered your appli- United Food & Commercial Workers cation date. International Union-Industry Pension Fund P.O. Box 6000 n When submitting a pension application, all Frankfort, Illinois 60423-6000 information requested by the Trustees must be 800-531-2385 provided. Generally, no pension payments will www.ufcwnpf.org be made for the period before the first day of the month following the date the application is n The Board of Trustees will rely on the infor- received. mation you provide. If you misrepresent any information­ at any time during the pension n You must submit proof of age when applying application process, such misrepresentation may for a pension, such as a copy of a birth certifi­ result in the denial, suspension, or cancellation cate. The Fund Office will provide you with a list of other types of acceptable proof of age if a If additional time is required to make a decision on birth certificate is not available. your application because of special circumstances, you will be notified in writing of the reason for the n If you are married and you want to waive delay and the date that the Fund expects to issue a the 50% Spouse Joint and Survivor Annuity final decision. A decision will be made with respect form of payment, your spouse must consent to your application no more than 180 days from in writing to this waiver, unless a legal excep- the date your application is first filed with the Fund tion applies. The pension application includes Office. a consent form for the waiver of the 50% Spouse Joint and Survivor Annuity, which If your application is for a Disability Pension, you must be signed by your spouse and witnessed will receive written notice of a decision on your by a notary public. initial application within 45 days of receipt of your application, or if additional time is required to NOTE: If you are a pensioner or surviving spouse make a determination on your claim (for reasons receiving benefits from the National Pension Fund, beyond the control of the Fund), you will be noti- you must notify the Board of Trustees of any fied within this time. The Plan may extend this change of address or else payments will be withheld 45-day period up to an additional 60 days maxi- until such notice is given. mum. However, if a determination is not made

Review of Your Pension Application within the first 75 days, you will be notified that an additional 30 days is necessary. n When you file an application for a pension other than a Disability Pension, the applica- In some instances, the Plan may require additional 43 tion will be reviewed by the Select Commit- information to process and make a determination­ tee. Within 90 days after your application on your application for a Disability Pension. If date, you will receive a decision on your such information is required, the Fund will notify application or an explanation as to why a you within 45 days of receiving your application. decision must be delayed because of special You then have up to 45 days in which to submit the circumstances. In the event the preliminary additional information. If you do not provide the decision on your application for a non-Dis- information within this time, then your claim may ability Pension benefit is to deny, wholly or be denied. partially, your application, you will be given n If your application is denied, you will be noti- 30 days to provide additional information fied in writing of the denial and the reason for that you think will support a different conclu- the full or partial denial, as described on page sion. If this information is not received on 45. Decisions made by the Board of Trustees time, the initial decision will become final, will be given judicial deference unless they con- subject to your rights to appeal the decision, stitute an abuse of discretion. as described on page 45. If this information is received on time, the information will be n The Board of Trustees has established an reviewed and a final decision will be made, appeal procedure for applicants who want a subject to your right to appeal the decision, review of the denial (see page 45 for informa- as described on page 45. tion about the appeal procedure). Incompetence or Incapacity If you fail to file an application in a timely manner, If you (or your surviving spouse) become unable to the Fund Office will automatically begin payment care for your affairs because of an illness, accident, of your pension in the form of a 50% Spouse Joint or a medical or physical condition, payments will and Survivor Annuity. If the Fund does not have be made on your account to your legally appointed your Spouse’s date of birth on record, it will be representative, spouse, or other person deemed by assumed that your Spouse is the same age as you. the Board of Trustees to incur expenses on your You may apply for a different form of payment, but behalf. Payment of the distribution in this manner payments already made will be deducted from your will be a complete discharge of the Plan’s liability benefit. of your distribution under the Future Service Plan. Special Rollover and

When BenefitsM ust Begin Mandatory Tax Withholding Federal law requires the Plan to commence pay- If you, your surviving spouse, or your non-spouse ment of pension benefits no later than the April beneficiary receive a lump sum distribution because 1 following the calendar year in which you reach the actuarial present value of your combined ben- age 70½, which is your required distribution date. efit from the Future Service Plan, Prior Plan, and You will be required to pay additional taxes if your merged Participating Plan is less than $5,000, your pension payments do not begin by your required pension distribution can be affected by federal tax distribution date. law. If this law applies to your pension benefit, the Fund must withhold 20% of your pension distri- Because you must apply for a pension before it can bution unless you, your surviving spouse, or your 44 begin, you must apply for your pension in a timely non-spouse beneficiary timely notify the Fund manner. If you are age 70, you should contact to transfer (rollover) the distribution to an IRA the Fund Office for information concerning your (including Roth IRA) or another pension plan that required distribution date. If you continue to work accepts rollover payments. If you are eligible for in Covered Employment after you reach age 70½ a lump-sum form of pension payment, the Fund and accrue benefits, your pension benefits will be Office will provide you with additional information recalculated each year. regarding your rollover options. Appeal Procedure

If Your Pension Application is Denied request for review to the Fund Office within 180 If your application is denied, in whole or in part, days after receiving the notice of the Board of the Trustees will send you a written notice explain- Trustees’ denial. ing their decision. The notice will include: The written request must include: n The specific reason or reasons for the denial; n Your name and address; n Specific references to the Plan provisions on n Your Social Security number; which the denial is based; n Your Local Union; and n A description of any additional material or information you need to submit to perfect your n Your reason for disagreeing with the Trustees’ claim and an explanation of why such material decision and documentation supporting your or information is necessary; reason. n Appropriate information about the steps When requesting a review of a denial, you have the you must take to submit the claim for further right to: review; n Submit any additional information concerning n A statement advising that you must exhaust all your application, including any comments that 45 Plan review procedures before bringing a lawsuit; you want to have considered on appeal; n A statement of your right, under ERISA, to n Examine and copy, upon request and free of bring a lawsuit, following an adverse deci­sion on charge, certain documents or information in the appeal; and Fund Office files that pertain to your appeal; and n In the case of a Disability Pension, the notice will state whether any internal rule, guideline, n Know the identity of any medical experts when or protocol was relied upon and offer a copy, filing an appeal for a Disability Pension. free of charge, upon request. If you do not submit a request for review within 180 Requesting a Review days, the decision on your application will be final The Board of Trustees has established an appeal and binding. procedure that you must follow if you want to have Appeals Committee Review of Denial the Board of Trustees review the initial decision denying your claim. This procedure will be sent to The Board of Trustees has established an you if you receive a denial notice. Appeals Committee to make determinations on appeals. When the Appeals Committee reviews If you want to appeal a decision of the Trustees your application, it will take into account all regarding your pension application, you or your information you submit in making a decision. The authorized representative must send a written Appeals Committee will make its decision at the first quarterly meeting following receipt of your If your appeal on a Disability Pension claim is appeal. However, if you submit an appeal less denied, the notice also will include a statement that than 30 days before the first scheduled Appeals you have the right to: Committee meeting, the appeal will be decided n Receive a copy, free of charge and upon at the second scheduled quarterly Appeals Com- request, of any internal rule, guideline, protocol, mittee meeting. If there are special circumstances or other similar criteria on which the denial was requiring a delay in the decision, the decision may based; and be made at the third meeting after the Appeals Committee receives your appeal. If the Appeals n Know the identity of any medical experts con- Committee requires a postponement of the deci- sulted in making a determination of your appeal sion to the next meeting, you will receive a notice if the claim is denied on the basis of a medical describing the reason for the delay and an expect- judgment. The Plan will consult with a health care ed date of decision. professional who has appropriate training and experience in the field of medicine involved in the The Appeals Committee will notify you in writ- medical judgment and was not consulted (or is ing within five days after the date of the quarterly not subordinate to the person who was consulted) meeting in which the decision was made. The deci- in connection with the denial of your application. sion will include: The Board of Trustees has complete authority n The specific reasons for the decision; and discretion to make all benefit determinations, including the ability to interpret and apply the n Specific reference to Plan provisions on which terms of the Future Service Plan and the terms of 46 the decision is based; and a merged Participating Plan. The decision of the n A statement notifying you: Board of Trustees regarding the appeal is final and � That you have the right to request a free binding. copy of all documents, records, and relevant Duty to Exhaust Appeals information; Procedure Before Filing Suit � That if your appeal is denied you may bring a If your application for benefits under the Plan has lawsuit under ERISA; and been denied, in whole or in part, you must exhaust � That you must exhaust all Plan review proce- the Plan’s appeal procedure as provided in this Sec- dures before bringing a lawsuit. tion prior to bringing any action for benefits in court. Circumstances Causing Loss of Benefits

You should be aware of the following circumstances that could cause you to lose or forfeit your benefits under the Future Service Plan.

n Permanent Break in Service: If, before � You engage in employment that is not con- you become eligible for a pension, you have sidered by the Trustees to be for the pur- a Permanent Break in Service, as described poses of rehabilitation or is incompatible on page 12, you will lose any Vesting Service with the definition of Total and Permanent and Pension Credit you earned before the Disability; or Permanent Break in Service. However, the � The Trustees ask you to be examined by Plan may recognize credit under the terms of a doctor or clinic and you do not have the a Reciprocity Agreement to help prevent you medical examination. from incurring a Permanent Break in Service; � You regain ability to engage in substantial see page 12. gainful activity.

n Death: In the event of your death, no further n Continuance of the Plan: It is intended that benefits will be paid to anyone else if you: the Future Service Plan will continue indefi- � Die while receiving a Single Life Annuity or nitely. However, the Trustees reserve the right Level Income Annuity; to change the Future Service Plan: � Are receiving benefits under a 50% or 75% � If it becomes necessary to discontinue the 47 Spouse Joint and Survivor Annuity and your Future Service Plan, the assets of the Future spouse dies before you; Service Plan must be used to provide benefits � Were not married during the year preceding according to the Future Service Plan docu­ your death and die before benefits begin; or ment, but the amount of benefits may be less than the amount otherwise calculated under � Were married but your death occurs before the terms of the Future Service Plan. meeting the eligibility conditions for the Pre- retirement Surviving Spouse Benefit. � In connection with a Plan termination, you should also review the information on page n Prohibited Employment on or after the 56 concerning the Pension Benefit Guaranty date pension benefits begin: No pension Corporation. In the event that all obligations payments will be made while you work in Pro­ are satisfied at the time the Future Service hibited Employment, see page 49. Plan terminates, the Trustees may transfer any surplus to any other fund, which quali- n Disability: Once a Disability Pension begins, fies for favorable tax treatment under the payments will continue as long as you continue Internal Revenue Code, and that was estab- to be Totally and Permanently Disabled. Dis­ lished to provide benefits for Employees ability Pension payments will stop if: or former Employees for whom Employers � The Trustees determine that you are no lon- were required to contribute to the Future ger Totally and Permanently Disabled; Service Plan. n Transfer of liabilities: Under some situa- n Failure to provide needed information: tions, a successor pension plan may agree to If you are receiving benefits from the Future assume the obligations of the Future Service Service Plan, you must periodically certify Plan with respect to benefits for an affected that you are: group and, in that case, benefits are payable � Living; only from the successor plan. � Receiving your benefits; and

n Internal Revenue Service limitation: The � Not working in Prohibited Employment. Internal Revenue Service requires the Future If this information is not submitted to the Fund Service Plan to place limitations on the maxi- Office, the Trustees will suspend payments until mum benefits you can receive. These limitations such information is submitted. are necessary for the Future Service Plan to qualify for favorable tax treatment. Based on n Cessation of contribution to maintain the present benefit levels of the Future Service benefits: The Future Service Plan has been Plan, it is unlikely that the amount of benefits designed on the assumption that contributions under the Future Service Plan alone would will be made by Employers on an ongoing basis exceed these maximums. However, the combi- at the level necessary to maintain a Unit Benefit nation of pensions under several pension plans Value for each Benefit Group. If contributions may, in some unusual cases, result in the reduc- are not paid at the level necessary to support tion of pension payments. If you think that a benefits, the Trustees reserve the right to adjust combination of pensions from multiple plans Unit Benefit Values that apply to Pension Cred- will exceed the maximum limits, you should it, pursuant to actuarial advice and consistent 48 contact the Fund Office for more information. with applicable law. Prohibited Employment During Retirement

Certain types of employment will result in the with- Prohibited Employment and continue to receive a holding of your pension benefits for the period of monthly pension. If you are receiving benefits from such employment or a delay in the beginning of the Fund, you may periodically be asked to submit your pension. This type of employment is referred a notice that you are receiving your pension benefits to as “Prohibited Employment.” You will not and are not working in Prohibited Employment. If receive a pension payment for any month in which this notice is not submitted to the Fund Office with- you work in Prohibited Employment unless the law in 60 days of the request, your pension benefits will requires. See the Age 70½ Distribution section on be suspended until the notice is submitted. page 50 for more information. Generally, you must experience a termination of Covered Employment Participants Who Continue Working After in order for benefits to commence. Normal Retirement Date or Re-Enter Covered Employment After Retiring A retired Participant (other than Participants If you do not retire, you will engage in Prohibited in the Michigan UFCW Unions and Employers Employment if you continue working with your Retiree Health & Welfare Fund) engages in Pro- Employer after your Normal Retirement Date for hibited Employment if he or she is reemployed each month in which you work at least 40 hours per by the Employer from which he or she retired month (or equivalent for shift work): without experiencing­ at least a 30-consecutive day absence from employment or self-employment n In the same industry in which Participants 49 over which the Union claims jurisdiction and the worked when benefits could have commenced; Participant’s Annuity Starting Date occurred dur- n In the same trade or craft covered by the Plan (or ing this absence. If the Participant has attained supervisory activities relating to that work); and Normal Retirement Date, then the Plan can only suspend benefits if the reemployment­ satisfies n In the geographic area covered by the Plan. Normal Retirement Date criteria­ described below. If you have engaged in Prohibited Employment, More restrictive rules were in place before Decem- your benefits for each month you continue to work ber 1, 1999. Information regarding­ the Prohibited in Prohibited Employment will be permanently Employment rules in effect before December 1, withheld. For purposes of determining whether 1999 can be found in the Summary Plan Descrip- your work is Prohibited Employment, work and tion in effect on that date or you can contact the non-work hours for which you are paid will be Fund Office for more information. Participants in counted. The Plan will notify you when benefits the Michigan UFCW Unions and Employers Retir- will be permanently withheld. The notice will ee Health and Welfare Fund can contact the Plan include a description of the specific reason for the Office for the rules that apply to them. withholding, a description and copy of the relevant If you are retired and are not receiving a Disabil- Plan provisions, reference to the applicable Depart- ity Pension, you may work at any type of job after ment of Labor regulation and a summary of the your pension benefit begins that is not considered Plan’s appeal procedures. Prohibited Employment and Disability Pensions hibited Employment when your pension is scheduled­ Disability pensioners may not perform any work to start, the date your pension begins will be post- for wage or profit, and their Disability Pensions poned until you stop working in Prohibited Employ- will be stopped, unless the Board of Trustees deter- ment or, if earlier, the April 1 of the calendar year mines that such work is primarily for rehabilita- following the calendar year in which you reach age tion purposes or is not inconsistent with Total and 70½. The above rules, describing Prohibited Employ- Permanent Disability. If you are on a Disability ment for a pensioner, also apply to a pension appli- Pension and you perform work, you will not be cant, except that the date on which you would have considered Totally and Permanently Disabled and received a pension if you did not work in Prohibited your Disability Pension will be stopped. Employment is substituted for your retirement date.

Notifying the Plan of Work After Retirement Age 70½ Distribution It is your responsibility to notify the Fund Office, In general, the suspension of benefit rules do not in writing, of any work you do after retirement for apply after the April 1 of the calendar year follow- an Employer participating in the National Pension ing the calendar year in which you reach age 70½. Fund, regardless of the number of hours you work in a month. You should obtain an advance determi­ Reinstatement of Suspended nation from the Fund Office of whether the particu- Pension Payments lar type of employment is Prohibited Employment. If you work in Prohibited Employment and then Based on investigation of the work, the Board of want to re-enter retirement and resume receiving Trustees will determine whether the work is Pro­ pension benefits, you must notify the Fund Office at 50 hibited Employment that will result in a suspension least 30 days before the date you want pension pay- of your benefits. If you disagree with a determination, ments to be reinstated. While you will be entitled to you have the right to request a review. The request receive pension payments beginning the month fol- for review will be processed in the same way as an lowing the last month of Prohibited Employment, the appeal of a pension denial (see page 45). actual payment may not be made until the first day of the fourth month following the month in which Suspension of Benefits During you stopped working in Prohibited Employment or, Prohibited Employment if later, 30 days after the Fund Office receives your If the Board of Trustees becomes aware that you written request to have the pension reinstated. are working and you have not provided sufficient information for a determination of whether pen­sion NOTE: If you are a pensioner or surviving spouse payments should be withheld because of Prohibited­ receiving benefits from the National Pension Fund, Employment, the Board of Trustees will assume you must notify the Board of Trustees of any that you are working in Prohibited Employment­ change of address. Payments may be withheld until and your pension payments will be withheld until such notice is given. such time that you prove that such work was not in Repaying BenefitsP aid During Prohibited Employment. Prohibited Employment

Delay of Pension Payments Due to It is important for you to understand that if you Prohibited Employment work in Prohibited Employment and receive pen­ If you qualify for a pension but are working in Pro­ sion benefits, you are obligated to repay the pen- sion amount received for any month in which you nally retired on an Early Retirement Pension, your worked in Prohibited Employment. The Fund has recalculated pension will be actuarially adjusted to the right to recover pension payments that were take into account the benefit payments received improperly paid during a period of Prohibited before your Prohibited Employment. Additional Employment, including the right to offset against benefit accruals will be offset by the value of pension future benefit payments. This means subsequent payments received if you retire on or after July 1, monthly pension payments will be reduced until the 2007 or your Normal Retirement Date. improper payments are collected by the Fund. In no event will the recalculation of your pension Recalculation of Pension benefit allow you to have more Pension Credit than Benefit After Suspension the maximum years of Pension Credit allowed by If you work in Prohibited Employment, you may the Future Service Plan based upon your original earn additional Pension Credit. Your pension benefit retirement date. Your Pension Credit, up to this will be recalculated when you retire again to include maximum, which produces the highest benefit will any additional Pension Credit you earn. If you origi- be used to recalculate your pension amount.

51 Questions and Answers

How are AUCRs determined? n Federal Law Requirements: Federal law The AUCRs are established based on detailed requirements need to be met only once through actuarial studies that calculated the pension ben- the Future Service Plan rather than many times for efits that could be paid on a sound financial basis. separate plans. The calculations take into account: n Age of Participants in the group; If I leave Covered Employment before becoming vested, will I receive a refund of n Pension Credit of Participants in the group; the money paid to the Future Service Plan n The employment characteristics of the industry; on my behalf by my Employers? n Contribution rates; and No. The Future Service Plan pays benefits only to n Other actuarially significant information. eligible Vested Participants.

What are some of the advantages of the Can I receive pension payments and accident Future Service Plan? and sickness benefits for the same period? There are many advantages to a large pension fund No. You are not entitled to a pension for any covering the entire nation, including: month or any part of a month for which you receive n Portability of Pension Credit: If you work a weekly accident and sickness (loss of time) ben- for an Employer in one part of the country and efit under an employer sick pay or wage continua- you move to another location, you may still be tion benefit plan. 52 covered by the Future Service Plan if employment in the new location is with an Employer. This also If I owe money, can I sign over my retire- ment benefits? means that you may change from one Employer to another and continue to earn Pension Credit as No. With few exceptions, the Plan prohibits you long as contributions are required to be made for from making an assignment, pledge, or in any way your work to the Future Service Plan. disposing of pension payments. This is done for your protection. n Economical Pension Fund Administration: There are savings in cost for administration and Can my pension benefits be attached or gar- professional fees through the use of a single large nished by my creditors? fund instead of a number of smaller separate funds. Generally, pension payments are not subject to gar- These savings help to provide higher benefits to nishment or attachment by creditors. However, there Participants who retire. is an exception to this rule for alimony, child support,

n Uniform Eligibility Rules: There are uniform or other payments to a former spouse, child, or other eligibility rules for pensions regardless of where dependent if required under a Qualified Domestic you work. Relations Order (QDRO) issued by a court in accor- dance with state domestic relations law. n Central Administration: The central admin- istration for the Future Service Plan avoids the A QDRO must meet certain requirements set necessity of setting up many fund offices and forth in the Internal Revenue Code of 1986 and record-keeping systems. the Employee Retirement Income Security Act of 1974. A QDRO may require the Plan to pay a por­ Service Plan can only pay benefits to an alternate tion of your benefits to a former spouse or child payee if the Fund Administrator determines that (known as an alternate payee). Furthermore, a the court order meets all the requirements to be a QDRO may provide that a former spouse be treat- QDRO. Contact the Fund Office if you would like ed as the surviving spouse for purposes of the sur­ additional information about QDROs, including a vivor annuities payable from the Fund. A QDRO copy of the Fund’s QDRO procedures. may not require the Fund to provide any type or Who administers the Future Service Plan? form of benefit or any option not otherwise provid­ ed under the Future Service Plan. The Future Service Plan is administered by the Board of Trustees, appointed by the Union and the When the Fund Office receives a judgment, decree, Employers in accordance with the requirements of or order (including court approval of a property set- federal law. The Board of Trustees manages the tlement agreement) that would require the Future Future Service Plan in accordance with an Agree- Service Plan to pay all or a portion of benefits to an ment and Declaration of Trust, which provides that alternate payee pursuant to state domestic relations the money contributed by the Employers to the Fund law, the Fund Office will notify you and the pro- can be used only to provide benefits for Participants spective alternate payee of the procedures for deter- and their beneficiaries covered by the Future Service mining whether the order is a QDRO. The Future Plan and to pay administrative expenses.

53 Important Facts About the Future Service Plan

Plan Name and Type: This Future Service Plan is Richard O. Charette the United Food & Commercial Workers Interna- President, UFCW Local 1445 30 Stergis Way tional Union-Industry Future Service Pension Plan. Dedham, MA 02026 This Plan is a defined benefit plan. William T. McDonough Board of Trustees: A Board of Trustees is responsi- International Executive Vice President ble for the operation of the Future Service Plan. The Collective Bargaining Department Director United Food and Commercial Workers Board of Trustees consists of Employer and Union International Union representatives selected by the Employers and the 1775 K Street, N.W. Union that have entered into collective bargaining Washington, DC 20006 agreements that relate to this Future Service Plan. If Roger Robinson you wish to contact the Board of Trustees, you may President, UFCW Local 876 use the address and telephone number below: 876 Horace Brown Drive Madison Heights, MI 48071 Board of Trustees United Food & Commercial Workers Employer Trustees International Union-Industry Pension Fund Walter B. Blake, Secretary P.O. Box 6000 4241 S. Meadowbrook Lane Evergreen, CO 80439 Frankfort, Illinois 60423-6000 54 800-531-2385 Stephen T. Brown www.ufcwnpf.org 13 Tomahawk Drive Wayne, NJ 07470 The Trustees of this Plan are: Richard D. Cox Union Trustees Senior Vice President – Labor Relations Safeway Inc. Anthony M. Perrone, Chairman 5918 Stoneridge Mall Road International Secretary/Treasurer Pleasanton, CA 94588-3229 United Food and Commercial Workers International Union Richard A. Manka 1775 K Street, N.W. 11115 Ash Street Washington, DC 20006 Leawood, KS 66211 Michele A. Murphy David S. Blitzstein Executive Vice President Special Assistant for Multiemployer Funds Human Resources & Corporate Communications Collective Bargaining Department SUPERVALU, Inc. UFCW International Union 7075 Flying Cloud Drive 1775 K Street, N.W. Eden Prairie, MN 55344 Washington, DC 20006 William M. Vaughn, III Kenneth R. Boyd P. O. Box 74 International Vice President and Sherborn, MA 01770 President, UFCW Local 1546 1649 West Adams Chicago, IL 60612 Alternate Union Trustees John A. Wagner David P. Fleming Vice President – Labor Relations President, UFCW Local 328 The Kroger Company 278 Silver Spring Street 1014 Vine Street Providence, RI 02904 Cincinnati, Ohio 45202 -1100 Robert W. Grauvogl President, UFCW Local 880 Plan Administrator: The Board of Trustees is 9199 Market Place, Suite 2 the Plan Administrator. This means that the Board Broadview Heights, OH 44147 of Trustees is responsible for seeing that informa- Ronald M. Petronella tion regarding the Future Service Plan is reported Secretary-Treasurer, UFCW Local 371 to government agencies and disclosed to Future 290 Post Road West Service Plan Participants and beneficiaries in accor- Westport, CT 06880 dance with the requirements of ERISA. The Board Johnny Rodriguez of Trustees has broad discretion to determine eligi­ International Vice President bility for benefits and to interpret Plan language. President, UFCW Local 540 The Board of Trustees has engaged the professional 17780 Preston Road administrative firm of Zenith American Solutions, Dallas, TX 75252 Inc. to provide the day-to-day administrative ser- Marvin D. Russow vices necessary for the operation of the Future Ser- President, UFCW Local 227 vice Plan. Zenith American Solutions is referred to 3330 Pinecroft Drive as the Fund Administrative Manager, or the Fund Louisville, KY 40219-3055 Office, and its address and telephone number is the Alternate Employer Trustees same as the Board of Trustees. 55 Scott M. Henderson Plan Sponsor: The Board of Trustees is the Plan Vice President, Treasurer Sponsor. The Kroger Company 1014 Vine Street Participating Employers: A list of Employers par- Cincinnati, OH 45202 ticipating under the Future Service Plan and their addresses is maintained by the Fund Administrative Ward R. Kraemer Manager. You may obtain information as to wheth- Vice President er or not an employer is a participating Employer Retirement Plans and Compensation in the Future Service Plan by contacting the Fund The Stop & Shop Supermarkets Company Administrative Manager. 1385 Hancock Street Identification Numbers: The number assigned to Quincy, MA 02169 the Future Service Plan by the Board of Trustees Donald G. Schaper pursuant­ to instructions of the Internal Revenue Director Labor Relations Service is 001.The number assigned to the Board Schnuck Markets, Inc. of Trustees by the Internal Revenue Service is 11420 Lackland Road 51-6055922. St. Louis, MO 63146 Agent for Service of Legal Process: C.T. Cor- poration is the Future Service Plan’s agent for ser- vice of legal process. Accordingly, if legal disputes Plan document and federal law. If the Trustees take involving the Future Service Plan arise, any legal any action to change or discontinue the Plan, you documents should be served upon C.T. Corpora- will be informed of the changes in writing. tion, 208 South LaSalle Street, Suite 814, Chicago, Pension BenefitG uaranty Corporation: Your Illinois 60604 or upon any individual Trustee. pension benefits under this multiemployer plan are Collective Bargaining Agreement: The Future insured by the Pension Benefit Guaranty Corpora­ Service Plan is maintained pursuant to collective tion (PBGC), a federal insurance agency. A multi- bargaining agreements between the Employers and employer plan is a collectively bargained pension Local Unions. The Fund Administrative Manager arrangement involving two or more unrelated will provide, upon written request, information as to employers, usually in a common industry. whether a particular employer is contributing to the Under the multiemployer plan program, the PBGC Future Service Plan on behalf of Participants work- provides financial assistance through loans to plans ing under the collective bargaining agreements. that are insolvent. A multiemployer plan is consid­ Source of Contributions: The benefits described ered insolvent if the plan is unable to pay benefits in this booklet are provided through Employer con- (at least equal to the PBGC’s guaranteed benefit tributions. The provisions of the collective bargain- limit) when due. ing agreements determine the amount of Employer The maximum benefit that the PBGC guarantees contributions and the Employees on whose behalf is set by law. Under the multiemployer program, contributions are made. Employee contributions the PBGC guarantee equals a Participant’s years of are not allowed. service multiplied by (1) 100% of the first $11 of the 56 Plan Assets and Reserves: The Board of Trust- monthly benefit accrual rate and (2) 75% of the next ees holds all assets of the Future Service Plan in $33.The PBGC’s maximum guarantee limit is $35.75 trust for the purpose of providing benefits to eli- per month times a Participant’s years of service. For gible Participants and defraying reasonable admin- example, the maximum annual guarantee for a retiree istrative expenses. The Future Service Plan assets with 30 years of service would be $12,870. and reserves are invested through professional The PBGC guarantee generally covers: investment managers and insurance companies selected by the Trustees. n Normal and early retirement benefits;

Plan Year: The records of the Future Service Plan n Disability benefits if you become disabled are kept separate for each Plan Year. The Plan before the Plan becomes insolvent; and Year begins July 1 and ends June 30. n Certain benefits for your survivors. Continuation of the Plan: It is intended that the Future Service Plan will continue indefinitely The PBGC guarantee generally does not cover: and meet foreseeable situations that may occur. n Benefits greater than the maximum guaranteed However, the Trustees reserve the right to change amount set by law; the Future Service Plan. If it becomes necessary to discontinue the Future Service Plan, the Trustees n Benefits based on Plan provisions that have will use the assets of the Future Service Plan only been in place for fewer than five years at the to provide benefits according to the Future Service earlier of: � The date the Plan terminates; or You may also call the PBGC at 202-326-4000 (not � The time the Plan becomes insolvent; a toll-free number). TTY/TDD users may call the federal relay service toll-free at 800-877-8339 and n Benefits that are not vested because you have ask to be connected to 202-326-4000. Additional not worked long enough; information about the PBGC’s pension insurance program is available through the PBGC’s web site n Benefits for which you have not met all of the on the Internet at www.pbgc.gov. requirements at the time the Plan becomes insolvent; and Rights and Responsibilities: The benefits are paid in accordance with the Future Service Plan n Non-pension benefits, such as health insurance, provisions from a trust fund that is used solely for life insurance, certain death benefits, vacation that purpose. If you have any questions or prob- pay and severance pay. lems about benefit payments, you have the right to For more information about the PBGC and the get answers from the Trustees who administer the benefits it guarantees, ask your Plan Administrator Future Service Plan. or contact: The same basic rights have been incorporated in PBGC’s Technical Assistance Division the Employee Retirement Income Security Act of 1200 K Street N.W., Suite 930 1974 (ERISA) for application to all benefit plans Washington, D.C. 20005-4026 and are described beginning on page 58.

57 Statement of ERISA Rights

As a Participant in the United Food & Commercial Plan now. If you do not have a right to a pen­ Workers International Union-Industry Pension sion, the statement will tell you how many more Fund Future Service Plan, you are entitled to cer­ years you have to work to get a right to a pen­ tain rights and protections under the Employee sion. This statement must be requested in writ- Retirement Income Security Act of 1974 (ERISA). ing and is not required to be given more than ERISA provides that all Plan Participants be enti- once every 12 months. The Plan must provide tled to the following rights. the statement free of charge.

Receive Information about Prudent Actions by Plan Fiduciaries Your Plan and Benefits In addition to creating rights for Plan Participants, You have the right to: ERISA imposes duties upon the people who are n Examine, without charge, at the Plan Adminis- responsible for the operation of the employee trator’s office and at other specified locations, benefit plan. The people who operate your Plan, such as worksites and Union halls, all docu- called fiduciaries of the Plan, have a duty to do so ments governing the Plan, including insurance prudently and in the interest of you and other Plan contracts, collective bargaining agreements, and Participants and beneficiaries. No one, including a copy of the latest annual report (Form 5500 your Employer, your Union, or any other person, series) filed by the Plan with the U.S. Depart- may fire you or otherwise discriminate against ment of Labor, which is available at the Public you in any way to prevent you from obtaining a 58 Disclosure Room of the Employee Benefits pension benefit or exercising your rights under Security Administration (EBSA). ERISA.

n Obtain, upon written request to the Plan Enforce Your Rights Administrator, copies of documents governing If your claim for a pension benefit is denied or the operation of the Plan, including insurance ignored, in whole or in part, you have a right to know contracts, collective bargaining agreements, and why this was done, to obtain copies of documents copies of the latest annual report (Form 5500 relating to the decision, without charge, and to appeal series) and updated summary plan description. any denial, all within certain time schedules. The Plan Administrator may make a reasonable Under ERISA, there are steps you can take to charge for the copies. enforce the above rights. For instance, if you n Receive a summary of the Plan’s annual funding request a copy of the Plan documents or the lat- status. The law requires the Plan Administrator est annual report from the Plan and do not receive to furnish each Participant with a copy of this them within 30 days, you may file suit in a fed- annual funding notice. eral court. In such a case, the court may require n Obtain a statement telling you whether you the Plan Administrator to provide the materials have a right to receive a pension at your Normal and pay you up to $110 a day until you receive Retirement Date (generally age 65) and if so, the materials, unless the materials were not sent what your benefits would be at your Normal because of reasons beyond the control of the Plan Retirement Date if you stop working under the Administrator. If you have a claim for benefits that is denied or Assistance With Your Questions ignored, in whole or in part, you may file suit in a state If you have any questions about your Plan, you or federal court. In addition, if you disagree with the should contact the Plan Administrator. If you have Plan’s decision or lack thereof concerning the quali- any questions about this statement or about your fied status of a domestic relations order, you may file rights under ERISA, or if you need assistance in suit in federal court. If it should happen that Plan obtaining documents from the Plan Administra- fiduciaries misuse the Plan’s money, or if you are dis- tor, you should contact the nearest office of the criminated against for asserting your rights, you may Employee Benefits Security Administration, U.S. seek assistance from the U.S. Department of Labor, Department of Labor, 200 Constitution Avenue or you may file suit in a federal court. The court will N.W., Washington, DC 20210. decide who should pay court costs and legal fees. If you are successful, the court may order the person You may also obtain certain publications about you have sued to pay these costs and fees. If you lose, your rights and responsibilities under ERISA by the court may order you to pay these costs and fees, calling the publications hotline of the Employee for example, if it finds your claim is frivolous. Benefits Security Administration.

59 National Pension Fund

APPENDIX

60 Appendix A—Participating Plans

As of July 1, 2013, the Participating Plans that merged into the Future Service Plan are:

n United Food and Commercial Workers Local 347 and Employers Pension Fund (participation began on April 1, 1988; merger effective April 30, 1990).

n United Food and Commercial Workers Local 539 Pension Fund (merger effective April 1, 1988).

n Michigan United Food and Commercial Workers Unions and Food Employers Joint Pension Fund (Locals 876 and 951) (participation began on January 1, 1990; merger effective April 3, 1990).

n Michigan United Food and Commercial Workers Unions and Drug Mercantile Employers Joint Pension Fund (Locals 876 and 951) (participation began on January 1, 1990; merger effective April 3, 1990).

APPENDIX n First National Supermarkets, Inc. Part-time Employees’ Pension Plan (Locals 328, 371 and 1445) (merger effective May 1, 1995).

n New England UFCW and Employers Pension Plan (merger effective February 1, 1999).

n Sausage Makers and Packinghouse Workers Pension Plan (participation began on July 1, 1998; merger effective June 1, 2001).

Benefits accrued under a merged Participating Plan are subject to the provisions of that plan immediately 61 before participation in the Future Service Plan.

As of July 1, 2013, the Participating Plans that have adopted the Future Service Plan for Future Service only benefits are:

n United Food and Commercial Workers Local 88 Pension Fund (participation began January 1, 1986).

n Wisconsin Employees Pension Trust (participation began December 1, 1988).

n United Food and Commercial Workers Local 342-50 Pension Fund (participation began January 1, 1996).

n Production Service and Sales District Council Pension Fund (participation began January 1, 2002).

For more information on Participating Plans, please see page 2. Appendix B—Reciprocity Agreements

Reciprocity Agreements Signed as of July 1, 2013:

Fund Name Effective Date Central Ohio UFCW Unions and Retail Employers Pension Fund1 10/25/88 Denver Area Independent Meat Packers and Butcher Workmen’s Pension Fund 01/01/88 Denver Area Meat Cutters and Employers Pension Fund 01/01/89 Desert States Employers & UFCW Unions Pension Fund 01/01/952 Employers and UFCW Local 534 Meat Employees Pension Fund 08/01/97 Food Employers Labor Relations Association (FELRA) & UFCW Pension Fund (Baltimore) 06/29/90 Fulton Fish Market Pension Fund 03/09/05 Indiana Area UFCW Unions and Retail Food Employers Joint Pension Trust Fund1 11/02/88 Intermountain Retail Food Industry Pension Trust Fund 09/28/89 Intermountain Retail Store Employees Pension Fund 01/01/89 Local 50 Trust Fund 08/01/00 Meat Cutters’ Union Local No. 88 and Food Employers’ and Allied Industry Pension Fund 05/24/95 New England UFCW and Employers Pension Fund 01/01/89 Northwest Ohio UFCW Union and Employers Joint Pension Fund1 01/01/97 Ohio Meatpackers, Meat Cutters & Butcher Workmen Pension Fund 11/11/89 62 Oregon Federation of Butchers Pension Trust 02/21/01 Retail Clerks Pension Trust (Washington)3 12/01/89 Retail Clerks Specialty Stores Pension Fund 10/23/02 Retail Drug Employees Pension Trust3 10/01/00 Retail Food Employers and UFCW Local 711 Pension Trust Fund 05/01/93 Rocky Mountain UFCW Unions and Employers Pension Trust Fund 10/20/88 Sausage Makers and Packinghouse Workers Pension Fund (Ohio) 04/01/88 Smoked Fish Workers Local 635 Retirement Fund 08/01/00 UFCW Consolidated Pension Fund1 01/01/12 UFCW District Union Local 2 and Employers Pension Fund 03/01/08 UFCW Local One Pension Fund4 11/01/88 UFCW Local One Western New York Pension Fund 11/01/88 UFCW Local 23 and Employers Pension Fund 09/09/88 UFCW Local 23 and Giant Eagle Pension Fund 12/02/92 UFCW Local 56 Retail Meat Pension Plan 09/28/04 UFCW Local 400 Meat and Poultry Pension Fund 12/11/01 UFCW Local 534 and Employers Grocery Employees Pension Fund 08/01/97 UFCW Local 1245 Labor-Management Pension Fund 07/16/96 UFCW Local 1439 & Food Industry Retirement Savings Fund 08/20/00 UFCW Local 1546 Pension Fund5 09/01/89 UFCW Local Unions and Employers Pension Plan of Southwestern Ohio Area Pension Fund 07/01/89 Appendix B—Reciprocity Agreements

Effective Date UFCW Northern California Employers Joint Pension Plan 01/01/05 UFCW Pension Fund of Northeastern Pennsylvania 05/01/05 UFCW Union Local 227 and Employers Pension Fund 10/20/00 UFCW Union Local 655, AFL-CIO, Food Employers Joint Pension Fund 01/18/89 UFCW Union Local 880 - Mercantile Employers Joint Pension Fund 07/01/88 UFCW Union Local 880 - Retail Food Employers Joint Pension Fund 07/01/88 UFCW Union Local 919 and Contributing Employers Food Pension Fund 02/19/93 UFCW Union-Employer Pension Fund (Akron, OH) 07/01/88 UFCW Union and Wisconsin Meat and Allied Industry Pension Fund 01/01/89 UFCW Unions and Employers Midwest Pension Fund 10/04/89 UFCW Unions and Employers Pension Fund (Atlanta)1 07/01/88 UFCW Unions and Employers Pension Fund (Milwaukee) 01/01/89 UFCW Unions and Food Employers Pension Fund of Central Ohio 10/26/88 UFCW Unions and Participating Employers Pension Fund 09/29/04 Washington Meat Industry Pension Trust 12/01/89

1 Effective December 31, 2011, the following funds merged and became the UFCW Consolidated Pension Fund: - UFCW Unions and Food Employers Pension Fund of Central Ohio - Indiana Area UFCW Unions and Retail Food Employers Joint Pension Trust Fund - Northwest Ohio UFCW Union and Employers Joint Pension Fund 63 - UFCW Unions and Employers Pension Fund (Atlanta) 2 Or the effective date of a Predecessor Agreement (Rocky Mountain UFCW Unions & Employers Pension Plan). 3 Effective October 1, 2008, the Retail Drug Pension Trust merged with the Retail Clerks Pension Trust (Washington). 4 Formerly UFCW District Union Local One Pension Fund. 5 Formerly UFCW Local 100A Pension Fund. Appendix C—Appropriate Unit Contribution Rates (AUCRs)

Appendix C1 United Food & Commercial Workers International Union-Industry Pension Fund AUCRs for the Period 7/1/84 through 6/30/87

Appropriate Unit Contribution Rates for $1.00 Benefit Geographic Area Monthly Hourly

1 New England and New York State [Locals 15, 328, 371, 385, 592, 1445] Retail $3.58 $0.0210 Packing $3.11 $0.0180 Other $3.46 $0.0200

2 New York City and Northern New Jersey [Locals 5, 174, 342, 464A] Retail $4.78 $0.0280 Packing $3.46 $0.0200 Other $4.30 $0.0250

3 Eastern Pennsylvania, Southern New Jersey and Delaware [Locals 56, 72, 295] 64 Packing $2.92 $0.0170 Other $2.92 $0.0170

5 Western Pennsylvania and Eastern Ohio [Locals 17, 23, 880] Retail $3.46 $0.0200 Packing $3.75 $0.0220 Other $3.46 $0.0200

6 Kentucky and West Virginia [Local 227] Retail $3.11 $0.0180 Other $2.54 $0.0150

7 Western Ohio [Locals 7, 346, 610, 626, 1099] Retail $3.11 $0.0180 Packing $3.11 $0.0180 Other $3.11 $0.0180

8 Indiana [Locals 37, 280, 398, 917] Retail $3.46 $0.0200 Packing $3.75 $0.0220 Other $3.75 $0.0220 Appendix C1 United Food & Commercial Workers International Union-Industry Pension Fund AUCRs for the Period 7/1/84 through 6/30/87

Appropriate Unit Contribution Rates for $1.00 Benefit Geographic Area Monthly Hourly

9 Michigan [Locals 26, 539] Retail $4.30 $0.0250 Packing $3.46 $0.0200

10 Illinois, Wisconsin and Eastern Iowa [Locals P40, 73A, 99A, 189, 225, 253, 431, P500, 543, 546, P1218] Retail $3.46 $0.0200 Packing $3.11 $0.0180 Other $3.11 $0.0180

11 Minnesota [Locals P4, P6, 12A, P160, 789] Retail $3.58 $0.0210 Packing $4.30 $0.0250 Other $3.31 $0.0190

12 Western Iowa, Nebraska, North Dakota, and South Dakota [Locals 22, P176, 271, 304, 310, 394, 440] 65 Retail $3.75 $0.0220 Packing $4.09 $0.0240 Other $4.09 $0.0240

13 Eastern Missouri [Local 655] Packing $4.09 $0.0240 Other $4.09 $0.0240

14 Western Missouri and Kansas [Locals P20, P58, 340, 576] Retail $3.58 $0.0210 Packing $4.09 $0.0240 Other $3.31 $0.0190

15 Colorado, Wyoming and Arizona [Local 109] Retail $3.46 $0.0200

16 Nevada and Utah [Local 711] Packing $4.92 $0.0290 Appendix C1 United Food & Commercial Workers International Union-Industry Pension Fund AUCRs for the Period 7/1/84 through 6/30/87

Appropriate Unit Contribution Rates for $1.00 Benefit Geographic Area Monthly Hourly

17 Washington, Oregon, Idaho, Montana, and Alaska [Local 368] Other $1.76 $0.0100

20 New Mexico, Texas, Oklahoma, Arkansas, and Louisiana [Locals 76, 210, 327, 408, 425, 540, 606, 1564] Retail $3.46 $0.0200 Other $2.68 $0.0160

21 Southern Virginia, North Carolina, South Carolina, Tennessee, Georgia, Alabama, Mississippi, and Florida [Locals 157, 278, 405, 442, 525, P1224, 1529, 1625] Retail $3.46 $0.0200 Packing $3.11 $0.0180 Other $2.12 $0.0120

22 Hawaii [Local 594] Retail $3.46 $0.0200 66 Certain Part-Time Groups1 $1.65 $0.0100

Local 88 Pension Fund2 [Monthly] $3.40 ---

Local 88 Pension Fund2 [Hourly] --- $0.0120

1 Certain Part-Time Groups are generally comprised of former Participants of the National Pension Fund Part-Time- Plan as well as certain other grandfathered part-time groups. Other part-time Employers may be covered under the Geographic Area of the Contributing Employer. 2 The Local 88 Pension Fund began participation on January 1, 1986.

Not all employers with which the listed Local Unions bargain are Contributing Employers to the National Pension Fund. Appendix C2 United Food & Commercial Workers International Union-Industry Pension Fund AUCRs for the Period 7/1/87 through 6/30/90

Appropriate Unit Contribution Rates for $1.00 Benefit Geographic Area Monthly Hourly

1 New England and New York State [Locals 15, 328, 371, 592, 1445/385] Retail $3.40 $0.0200 Packing $2.91 $0.0170 Other $3.56 $0.0210

2 New York City and Northern New Jersey [Locals 5, 174, 342, 464A] Retail $4.53 $0.0270 Packing $3.56 $0.0210 Other $3.89 $0.0230

3 Eastern Pennsylvania, Southern New Jersey and Delaware [Locals 56, 72, 1357/295] Packing $2.75 $0.0160 Other $3.08 $0.0180

5 Western Pennsylvania and Eastern Ohio [Locals 17, 23, 880] 67 Retail $3.56 $0.0210 Packing $3.89 $0.0230 Other $3.08 $0.0180

6 Kentucky [Local 227] Retail $2.91 $0.0170 Other $2.75 $0.0160

7 Western Ohio [Locals 7, 626, 1059/346, 1099/610] Retail $2.91 $0.0170 Packing $2.91 $0.0170 Other $2.75 $0.0160

8 Indiana [Locals 37, 280, 550R/398, 917] Retail $3.08 $0.0180 Packing $3.40 $0.0200 Other $3.40 $0.0200

9 Michigan [Locals 26, 539]1 Retail $4.05 $0.0240 Packing $3.24 $0.0190 Appendix C2 United Food & Commercial Workers International Union-Industry Pension Fund AUCRs for the Period 7/1/87 through 6/30/90

Appropriate Unit Contribution Rates for $1.00 Benefit Geographic Area Monthly Hourly

10 Illinois, Wisconsin and Eastern Iowa [Locals P40, 73A, 99A, 100/P500, 189, 225/219, 253, 431, 543, 546, P1218] Retail $3.24 $0.0190 Packing $3.40 $0.0200 Other $3.24 $0.0190

11 Minnesota [Locals P4, P6, 12A, P160, 789] Retail $3.08 $0.0180 Packing $4.37 $0.0260 Other $3.24 $0.0190

12 Western Iowa, Nebraska, North Dakota, and South Dakota [Locals 22, P176, 271, 304, 310, 394, 440] Retail $3.40 $0.0200 Packing $3.72 $0.0220 68 Other $3.56 $0.0210 13 Eastern Missouri [Local 655] Packing $4.86 $0.0290 Other $4.86 $0.0290

14 Western Missouri and Kansas [Locals P58/P20, 340, 576] Retail $3.40 $0.0200 Packing $3.24 $0.0190 Other $3.89 $0.0230

15 Colorado, Wyoming and Arizona [Locals 99R/109] Retail $3.03 $0.0180

17 Washington, Oregon, Idaho, Montana, and Alaska [Local 368] Other $1.62 $0.0095

20 New Mexico, Texas, Oklahoma, Arkansas, and Louisiana [Locals 76, 210/327, 408, 425, 540, 606, 1564] Retail $3.24 $0.0190 Other $2.43 $0.0140 Appendix C2 United Food & Commercial Workers International Union-Industry Pension Fund AUCRs for the Period 7/1/87 through 6/30/90

Appropriate Unit Contribution Rates for $1.00 Benefit Geographic Area Monthly Hourly

21 Southern Virginia, North Carolina, South Carolina, Tennessee, Georgia, Alabama, Mississippi, and Florida [Locals 400/157, 204/525, 278, 405, 442, 1529, 1625] Retail $3.08 $0.0180 Packing $3.24 $0.0190 Other $2.75 $0.0160

22 Hawaii [Local 480/594] Retail $3.40 $0.0200

Special Groups Certain Part-Time Groups2 $1.53 $0.0090 Local 88 Pension Fund [Monthly] $3.40 --- Local 88 Pension Fund [Hourly] --- $0.0120 Local 347 Pension Fund3 $2.38 $0.0140 Michigan Food and Drug Funds4 $2.89 $0.0170 Wisconsin Employers Pension Trust5 $3.58 $0.0210 69

1 The Local 539 Pension Fund began participation on April 1, 1988. 2 Certain Part-Time Groups are generally comprised of former Participants of the National Pension Fund Part-Time Plan as well as certain other grandfathered part-time groups. Other part-time Employers may be covered under the Geographic Area of the Contributing Employer. 3 The Local 347 Pension Fund began participation on April 1, 1988. 4 The Michigan Food and Drug Funds began participation on January 1, 1990. 5 Wisconsin Employers Pension Trust began participation on December 1, 1988.

Not all employers with which the listed Local Unions bargain are Contributing Employers to the National Pension Fund. Appendix C3 United Food & Commercial Workers International Union-Industry Pension Fund AUCRs for the Period 7/1/90 through 6/30/91

Appropriate Unit Contribution Rates for $1.00 Benefit Geographic Area Monthly Hourly

1 New England and New York State [Locals 15, 328, 371, 592, 1445] Retail $2.57 $0.0151 Packing $2.07 $0.0122 Other $2.64 $0.0155

2 New York City and Northern New Jersey [Locals 174, 342-50, 464A] Retail $2.89 $0.0170 Packing $2.67 $0.0157 Other $2.94 $0.0173

3 Eastern Pennsylvania, Southern New Jersey and Delaware [Locals 56, 72, 1776/1357] Packing $1.79 $0.0105 Other $1.86 $0.0109

5 Western Pennsylvania and Eastern Ohio 70 [Locals 17, 23, 880] Retail $2.79 $0.0164 Packing $2.12 $0.0125 Other $1.75 $0.0103

6 Kentucky [Local 227] Retail $2.48 $0.0146 Other $2.18 $0.0128

7 Western Ohio [Locals 7, 626, 1059, 1099] Retail $2.57 $0.0151 Packing $2.19 $0.0129 Other $1.52 $0.0089

8 Indiana [Locals 37, 280, 550R, 917] Retail $2.45 $0.0144 Other $2.77 $0.0163

9 Michigan [Locals 26, 539]1 Retail $3.77 $0.0222 Packing $2.77 $0.0163 Appendix C3 United Food & Commercial Workers International Union-Industry Pension Fund AUCRs for the Period 7/1/90 through 6/30/91

Appropriate Unit Contribution Rates for $1.00 Benefit Geographic Area Monthly Hourly

10 Illinois, Wisconsin and Eastern Iowa [Locals 73A/P40, 99A, 100/P500, 253, 431, 536/543, 546, 881/225, P1218, 1444, 1540/189] Retail $2.90 $0.0171 Packing $2.51 $0.0148 Other $2.31 $0.0136

11 Minnesota [Locals P6, 12A, P160, 789/P4] Retail $2.60 $0.0153 Other $2.53 $0.0149

12 Western Iowa, Nebraska, North Dakota, and South Dakota [Locals 22, P176, 271/440, 304, 310, 394] Retail $2.27 $0.0134 Packing $2.91 $0.0171 Other $2.24 $0.0132

13 Eastern Missouri 71 [Local 655] Packing $3.55 $0.0209

14 Western Missouri and Kansas [Locals P58/P20, 340, 576] Retail $3.02 $0.0178 Packing $2.40 $0.0141 Other $2.73 $0.0161

15 Colorado, Wyoming and Arizona [Local 99R] Retail $2.66 $0.0156

20 New Mexico, Texas, Oklahoma, Arkansas, and Louisiana [Locals 76, 210, 408, 425, 540, 606, 1564] Retail $2.18 $0.0128 Other $0.80 $0.0047

21 Southern Virginia, North Carolina, South Carolina, Tennessee, Georgia, Alabama, Mississippi, and Florida [Locals 204, 278, 400, 405, 442, 1529, 1625] Retail $2.16 $0.0127 Packing $2.51 $0.0148 Other $1.44 $0.0085 Appendix C3 United Food & Commercial Workers International Union-Industry Pension Fund AUCRs for the Period 7/1/90 through 6/30/91

Appropriate Unit Contribution Rates for $1.00 Benefit Geographic Area Monthly Hourly

22 Hawaii [Local 480] Retail $2.70 $0.0159

Special Groups

Certain Part-Time Groups2 $1.39 $0.0082 Local 88 Pension Fund [Monthly] $3.02 --- Local 88 Pension Fund [Hourly] --- $0.0118 Local 347 Pension Fund $2.32 $0.0136 Michigan Food and Drug Funds $2.89 $0.0170 Wisconsin Employers Pension Trust $2.43 $0.0140 Miscellaneous Groups [Chesapeake Enterprises $1.32 $0.0078 (Lee’s Contracting/Delta Food Service), Foodland (Ambridge, Center Township, East Rochester, New Brighton, Tusca Plaza), Heartland-Purity Supreme, Idaho Animal Products, etc.] 72 1 The Local 539 Pension Fund is included in Geographic Area 9. 2 Certain Part-Time Groups are generally comprised of former Participants of the National Pension Fund Part-Time Plan as well as certain other grandfathered part-time groups. Other part-time Employers may be covered under the Geographic Area of the Contributing Employer.

Not all employers with which the listed Local Unions bargain are Contributing Employers to the National Pension Fund. Appendix C4 United Food & Commercial Workers International Union-Industry Pension Fund AUCRs for the Period 7/1/91 through 6/30/94

Appropriate Unit Contribution Rates for $1.00 Benefit Geographic Area Monthly Hourly

1 New England and New York State [Locals 328, 371, 1445/15/592] Retail $2.35 $0.0138 Packing $1.77 $0.0104 Other $2.25 $0.0132

2 New York City and Northern New Jersey [Locals 174, 342-50, 464A] Retail $2.28 $0.0134 Packing $2.52 $0.0148 Other $2.10 $0.0124

3 Eastern Pennsylvania, Southern New Jersey, and Delaware [Locals 56, 72, 1776, 2001] Retail $1.55 $0.0091 Packing $1.68 $0.0099 Other $1.66 $0.0098

5 Western Pennsylvania and Eastern Ohio 73 [Locals 17, 23, 27, 880] Retail $2.69 $0.0158 Packing $1.93 $0.0114 Other $1.39 $0.0082

6 Kentucky [Local 227] Retail $2.38 $0.0140 Other $1.95 $0.0115

7 Western Ohio [Locals 7, 626, 1059, 1099] Retail $2.29 $0.0135 Packing $2.11 $0.0124 Other $1.52 $0.0089

8 Indiana [Locals 280, 700/37/99A/550R/917]1 Retail $2.17 $0.0128 Other $2.74 $0.0161

9 Michigan [Locals 26, 876/539, 951]2 Retail $3.54 $0.0208 Packing $2.17 $0.0128 Appendix C4 United Food & Commercial Workers International Union-Industry Pension Fund AUCRs for the Period 7/1/91 through 6/30/94

Appropriate Unit Contribution Rates for $1.00 Benefit Geographic Area Monthly Hourly

10 Illinois, Wisconsin and Eastern Iowa [Locals 73A, 100A, 431, 536, 546, 881, 1444, 1540] Retail $2.78 $0.0164 Packing $2.15 $0.0126 Other $1.94 $0.0114

11 Minnesota [Locals 6, 12A, P160, 789] Retail $2.39 $0.0141 Other $1.89 $0.0111

12 Western Iowa, Nebraska, North Dakota, and South Dakota [Locals 22, P176, 271, 304, 394, 1116/310] Retail $1.90 $0.0112 Packing $2.71 $0.0159 Other $1.66 $0.0098

13 Eastern Missouri 74 [Local 655] Packing $3.16 $0.0186

14 Western Missouri and Kansas [Locals P58, 340, 576] Retail $2.78 $0.0164 Packing $2.13 $0.0125 Other $2.20 $0.0129

15 Colorado, Wyoming and Arizona [Local 99R] Retail $1.87 $0.0110

20 New Mexico, Texas, Oklahoma, Arkansas, and Louisiana [Locals 76, 210, 408, 540, 606, 1200, 1564, 2008/425] Retail $1.91 $0.0112 Other $0.70 $0.0041

21 Southern Virginia, North Carolina, South Carolina, Tennessee, Georgia, Alabama, Mississippi, and Florida [Locals 204, 400/278, 405, 442, 1529, 1625] Retail $1.87 $0.0110 Packing $1.99 $0.0117 Other $1.26 $0.0074 Appendix C4 United Food & Commercial Workers International Union-Industry Pension Fund AUCRs for the Period 7/1/91 through 6/30/94

Appropriate Unit Contribution Rates for $1.00 Benefit Geographic Area Monthly Hourly

22 Hawaii [Local 480] Retail $2.27 $0.0134

Special Groups

Certain Part-Time Groups3 $1.36 $0.0080 Local 88 Pension Fund [Monthly] $3.02 --- Local 88 Pension Fund [Hourly] --- $0.0118 Local 347 Pension Fund $2.22 $0.0131 Michigan Food and Drug Funds $2.89 $0.0170 Seaboard (Guymon)4 $1.70 $0.0100 Wisconsin Employers Pension Trust $1.87 $0.0110 Miscellaneous Groups [Chesapeake Enterprises $1.32 $0.0078 (Lee’s Contracting/Delta Food Service), Foodland (Ambridge, Center Township, East Rochester, New Brighton, Tusca Plaza), Heartland-Purity Supreme, Idaho Animal Products, etc.] 75

1 Local 99A merged into Local 700 and moved into Geographic Area 8 on July 1, 1992. 2 The Local 539 Pension Fund is included in Geographic Area 9. 3 Certain Part-Time Groups are generally comprised of former Participants of the National Pension Fund Part-Time Plan as well as certain other grandfathered part-time groups. Other part-time Employers may be covered under the Geographic Area of the Contributing Employer. 4 Seaboard (Guymon) began participation on January 1, 1992.

Not all employers with which the listed Local Unions bargain are Contributing Employers to the National Pension Fund. Appendix C5 United Food & Commercial Workers International Union-Industry Pension Fund AUCRs for the Period 7/1/94 through 6/30/97

Beginning July 1, 1994, the Packing and Other Industries were combined into one Appropriate Unit Con- tribution Rate. The Appropriate Unit Contribution Rates for Geographic Areas 1 through 22 are for the Retail Industry only.

Appropriate Unit Contribution Rates for $1.00 Benefit Geographic Area Monthly Hourly

1 New England and New York State [Locals 328, 371, 1445] $2.13 $0.0125

2 New York City and Northern New Jersey [Locals 174, 342-50 (A&P), 464A] $1.94 $0.0114

5 Western Pennsylvania and Eastern Ohio [Locals 17, 23, 27, 880] $2.26 $0.0133

6 Kentucky [Local 227] $2.15 $0.0126

7 Western Ohio [Locals 7A, 626/911, 1059, 1099] $2.27 $0.0134

76 8 Indiana [Locals 280, 700] $1.87 $0.0110

9 Michigan (Effective through September 30, 1997) [Locals 26, 876/539, 951]1 $3.18 $0.0187

10 Illinois, Wisconsin and Eastern Iowa [Locals 73A, 100A, 431, 536, 546, 881, 1444, 1540] $2.25 $0.0132

11 Minnesota [Locals 6, 12A, P160, 789] $1.93 $0.0114

12 Western Iowa, Nebraska, North Dakota, and South Dakota [Locals 22, P176, 271, 304, 394, 1116] $1.68 $0.0099

14 Western Missouri and Kansas [Locals 2/340/576/P58] $2.13 $0.0125

15 Colorado, Wyoming and Arizona [Local 99R] $1.57 $0.0092

20 New Mexico, Texas, Oklahoma, Arkansas, and Louisiana [Locals 210, 408, 540, 606, 1000/76/1200, 1564, 2008] $1.53 $0.0090

21 Southern Virginia, North Carolina, South Carolina, Tennessee, Georgia, Alabama, Mississippi, and Florida [Locals 204, 400, 1529, 1625, 1995/405, 1996/442] $1.85 $0.0109 Appendix C5 United Food & Commercial Workers International Union-Industry Pension Fund AUCRs for the Period 7/1/94 through 6/30/97

Appropriate Unit Contribution Rates for $1.00 Benefit Geographic Area Monthly Hourly

22 Hawaii [Local 480] $1.86 $0.0109

Special Groups

Packing and Other Industries2 $1.65 $0.0097 Certain Part-Time Groups3 $1.36 $0.0080 Local 88 Pension Fund [Monthly] $3.00 --- Local 88 Pension Fund [Hourly] --- $0.0118 Local 347 Pension Fund $2.11 $0.0124 Local 342 Pension Fund Full-Time4 $3.87 $0.0228 Local 342 Pension Fund Part-Time4 $1.51 $0.0089 Michigan Food and Drug Funds $2.89 $0.0170 Westmoreland5 $3.43 $0.0202 Miscellaneous Groups [Chesapeake (Lee’s Contracting/ $1.24 $0.0073 Delta Food Service), Foodland (Ambridge, New Brighton, Tusca Plaza), Heartland-Purity Supreme, Idaho Animal Products, etc.] 77

1 The Local 539 Pension Fund is included in Geographic Area 9. 2 The Wisconsin Employers Pension Trust is included with the Packing and Other Industries. 3 Certain Part-Time Groups are generally comprised of former Participants of the National Pension Fund Part-Time Plan as well as certain other grandfathered part-time groups. Other part-time Employers may be covered under the Geographic Area of the Contributing Employer. The First National Supermarkets Part-time Employees’ Pension Plan began participation on May 1, 1995 and is included in this group. 4 The Local 342 Pension Fund began participation on January 1, 1996. 5 Westmoreland began participation on April 1, 1996.

For Benefit Groups with AUCRs that increase, the AUCRs in effect as of July 1, 1991 for those affected groups will apply until the earlier of (1) the first of the month following the expiration of the last collective bargaining agreement concerning the affected group that is effective before October 1, 1994; or (2) October 1, 1997.

Not all employers with which the listed Local Unions bargain are Contributing Employers to the National Pension Fund. Appendix C6 United Food & Commercial Workers International Union-Industry Pension Fund AUCRs for the Period 7/1/97 through 3/31/02

The Appropriate Unit Contribution Rates for Geographic Areas 1 through 22 are for the Retail Industry only.

Appropriate Unit Contribution Rates for $1.00 Benefit Geographic Area Monthly Hourly

1 New England and New York State [Locals 328, 371, 1445]1 $1.85 $0.0109

2 New York City and Northern New Jersey [Locals 174, 342-50 (A&P), 464A] $1.72 $0.0101

5 Western Pennsylvania and Eastern Ohio [Locals 17, 23, 27, 880] $1.97 $0.0116

6 Kentucky [Local 227] $1.91 $0.0112

7 Western Ohio [Locals 7A, 911, 1059, 1099] $1.97 $0.0116

8 Indiana 78 [Local 700] $1.63 $0.0096

9 Michigan (Effective October 1, 1997) [Locals 26, 876/539, 951]2 $2.891 $0.01701

10 Illinois, Wisconsin and Eastern Iowa [Locals 73A, 100A, 431, 536, 546, 881, 1444, 1540] $1.96 $0.0115

11 Minnesota [Locals 6, 12A, P160, 789] $1.68 $0.0099

12 Western Iowa, Nebraska, North Dakota, and South Dakota [Locals 22, P176, 271, 304A, 1116] $1.85 $0.0109

14 Western Missouri and Kansas [Local 2] $1.96 $0.0115

15 Colorado, Wyoming and Arizona [Local 99R] $1.47 $0.0086

20 New Mexico, Texas, Oklahoma, Arkansas, and Louisiana [Locals 210, 408, 540/606, 1000, 1564, 2008] $1.33 $0.0078

21 Southern Virginia, North Carolina, South Carolina, Tennessee, Georgia, Alabama, Mississippi, and Florida [Locals 204, 400, 1529, 1625, 1995, 1996] $1.74 $0.0102 Appendix C6 United Food & Commercial Workers International Union-Industry Pension Fund AUCRs for the Period 7/1/97 through 3/31/02

Appropriate Unit Contribution Rates for $1.00 Benefit Geographic Area Monthly Hourly

22 Hawaii [Local 480] $1.62 $0.0095

Special Groups

Packing and Other Industries3 $1.50 $0.0088 Certain Part-Time Groups4 $1.51 $0.0089 Local 88 Pension Fund [Monthly] $2.61 --- Local 88 Pension Fund [Hourly] --- $0.0103 Local 88 Part-Time5 $2.33 $0.0131 Local 342 Pension Fund Full-Time $3.87 $0.0228 Local 342 Pension Fund Part-Time $1.51 $0.0089 Local 347 Pension Fund $2.11 $0.0124 Michigan Food and Drug Funds $2.89 $0.0170 National Beef6 $2.74 $0.0161 Production Service & Sales7 $3.81 $0.0224 Westmoreland $3.43 $0.0202 Miscellaneous Groups [Chesapeake (Hilton Environmental), $1.36 $0.0080 79 Foodland (New Brighton and Tusca Plaza), Idaho Animal Products, etc.]

1 The New England Pension Fund began participation on February 1, 1999. The Full-Time Participants of the New England Pension Fund are included in Geographic Area 1. 2 The $2.89/$0.0170 AUCR for Geographic Area 9 is effective from October 1, 1997 through December 31, 2001. Effective January 1, 2002 through March 31, 2002, the AUCR for Geographic Area 9 is $2.67/$0.0157. The Local 539 Pension Fund is included in Geographic Area 9. 3 The Sausage Makers and Packinghouse Workers Pension Fund, which began participation on June 1, 2001, and the Wisconsin Employers Pension Trust are included in the Packing and Other Industries group. 4 Certain Part-Time Groups are generally comprised of former Participants of the National Pension Fund Part-Time Plan as well as certain other grandfathered part-time groups. Other part-time Employers may be covered under the Geographic Area of the Contributing Employer. The part-time Participants of the New England Pension Fund and the First National Supermarkets Part-Time Employees’ Pension Plan are included in this group. 5 The Local 88 Part-Time group began participation on January 1, 2001. 6 National Beef began participation on January 1, 1999. 7 The Production Services & Sales group began participation on January 1, 2002

For Benefit Groups with AUCRs that increase, the AUCRs in effect as of July 1,1994 for those affected groups will apply until the earlier of (1) the first of the month following the expiration of the last collective bargaining agreement concerning the affected group that is effective before October 1, 1997 or (2) July 1, 2002.

Not all employers with which the listed Local Unions bargain are Contributing Employers to the National Pension Fund. Appendix C7 United Food & Commercial Workers International Union-Industry Pension Fund AUCRs for the Period 4/1/02 through 8/31/05

The Appropriate Unit Contribution Rates for Geographic Areas 1 through 22 are for the Retail Industry only.

Appropriate Unit Contribution Rates for $1.00 Benefit Geographic Area Monthly Hourly

1 New England [Locals 328, 371, 1445, 1459]1 $1.67 $0.0098

2 New York and Northern New Jersey [Locals 342 (A&P), 342/174, 464A] $1.91 $0.0112

5 Western Pennsylvania, Western Maryland and Eastern Ohio [Locals 17A, 23, 27, 880] $1.97 $0.0116

6 Kentucky [Local 227] $1.97 $0.0116

7 Western Ohio [Locals 7A, 911, 1059, 1099] $1.80 $0.0106

8 Indiana 80 [Local 700] $1.63 $0.0096 9 Michigan (Effective October 1, 1997) [Locals 876/26/539, 951]2 $2.33 $0.0137

10 Illinois, Wisconsin and Eastern Iowa [Locals 73A, 431, 536, 881, 1444, 1546/1540/546/100A] $1.96 $0.0115

11 Minnesota [Locals 6, 12A, 789] $1.86 $0.0109

12 Western Iowa, Nebraska, North Dakota, and South Dakota [Locals 22, 271, 304A, 440, 1116] $1.85 $0.0109

14 Western Missouri and Kansas [Local 2] $1.96 $0.0115

15 Colorado, Wyoming and Arizona [Local 99] $1.63 $0.0096

20 New Mexico, Texas, Oklahoma, Arkansas, and Louisiana [Locals 408, 455/210, 540, 1000, 1564, 2008] $1.33 $0.0078

21 Southern Virginia, North Carolina, South Carolina, Tennessee, Georgia, Alabama, Mississippi, and Florida [Locals 204, 400, 1529, 1625, 1995, 1996] $1.74 $0.0102 Appendix C7 United Food & Commercial Workers International Union-Industry Pension Fund AUCRs for the Period 4/1/02 through 8/31/05

Appropriate Unit Contribution Rates for $1.00 Benefit Geographic Area Monthly Hourly

22 Hawaii [Local 480] $1.67 $0.0098

Special Groups

Packing and Other Industries3 $1.66 $0.0098 Certain Part-Time Groups4 $1.51 $0.0089 Local 88 Pension Fund [Monthly] $2.27 --- Local 88 Pension Fund [Hourly] --- $0.0103 Local 88 Part-Time $2.03 $0.0119 Local 342 Pension Fund Full-Time $3.37 $0.0198 Local 342 Pension Fund Part-Time $1.67 $0.0098 Local 347 Pension Fund $2.04 $0.0120 National Beef $2.74 $0.0161 Nemecek5 $3.66 $0.0215 Production Service & Sales $3.81 $0.0224 Westmoreland $3.13 $0.0184 Miscellaneous Groups [Chesapeake (Hilton Environmental $1.51 $0.0089 81 Automated Communication), Foodland (New Brighton and Tusca Plaza) and Idaho Animal Products]

1 The full-time Participants of the New England Pension Fund are included in Geographic Area 1. 2 The Local 539 Pension Fund is included in Geographic Area 9. 3 The Sausage Makers Pension Fund and the Wisconsin Employers Pension Trust are included in the Packing and Other Industries group. 4 Certain Part-Time Groups are generally comprised of former Participants of the National Pension Fund Part-Time Plan as well as certain other grandfathered part-time groups. Other part-time Employers may be covered under the Geographic Area of the Contributing Employer. The part-time Participants of the New England Pension Fund and First National Supermarkets Part-time Employees’ Pension Plan are included in this group. 5 Nemecek began participation on July 1, 2002.

For Benefit Groups with AUCRs that increase, the AUCRs in effect as of July 1, 1997 for those affected groups will apply until the earlier of (1) the first of the month following the expiration of the last collective bargaining agreement concerning the affected group that is effective before July 1, 2002 or (2) July 1, 2007.

Not all employers with which the listed Local Unions bargain are Contributing Employers to the National Pension Fund Appendix C8 United Food & Commercial Workers International Union-Industry Pension Fund AUCRs for the Period 9/1/05 through 8/31/07

Beginning September 1, 2005, two AUCRs were established for each Geographic Area and Special Group; one AUCR for Individuals participating before September 1, 2005 and one for Individuals who first become Participants on or after September 1, 2005. The Appropriate Unit Contribution Rates for Geographic Areas 1 through 22 are for the Retail Industry only.

Appropriate Unit Contribution Rates for $1.00 Benefit First Participating first Participating Prior to 9/1/05 on or After 9/1/05 Geographic Area Monthly hourly monthly hourly

1 New England [Locals 328, 371, 1445, 1459]1 $1.80 $0.0106 $2.14 $0.0126

2 New York and New Jersey [Locals 342 (A&P), 342/174, 464A] $2.03 $0.0119 $2.12 $0.0125

5 Western Pennsylvania, Western Maryland and Eastern Ohio [Locals 17A, 23, 27, 880] $2.18 $0.0128 $2.61 $0.0154

6 Kentucky [Local 227] $2.82 $0.0166 $2.82 $0.0166

7 Western Ohio 82 [Locals 7A, 911, 1059, 1099] $1.80 $0.0106 $2.52 $0.0148

8 Indiana [Local 700] $1.63 $0.0096 $2.34 $0.0138

9 Michigan [Locals 876/26/539, 951]2 $2.33 $0.0137 $2.33 $0.0137

10 Illinois, Wisconsin and Eastern Iowa [Locals 431, 536, 881, 1473/73A/1444, 1546/100A/546/1540] $2.14 $0.0126 $2.29 $0.0135

11 Minnesota [Locals 6, 12A, 789] $2.85 $0.0168 $2.85 $0.0168

12 Western Iowa, Nebraska, North Dakota, and South Dakota [Locals 22, 271, 304A, 440] $2.14 $0.0126 $2.29 $0.0135

14 Western Missouri and Kansas [Local 2] $2.14 $0.0126 $2.29 $0.0135

15 Colorado, Wyoming and Arizona [Local 99] $1.67 $0.0098 $2.23 $0.0131

20 New Mexico, Texas, Oklahoma, Arkansas, and Louisiana [Locals 408, 455/210, 540, 1000, 1564, 2008] $1.33 $0.0078 $2.22 $0.0131 Appendix C8 United Food & Commercial Workers International Union-Industry Pension Fund AUCRs for the Period 9/1/05 through 8/31/07

Appropriate Unit Contribution Rates for $1.00 Benefit First Participating first Participating Prior to 9/1/05 on or After 9/1/05 Geographic Area Monthly hourly monthly hourly

21 Southern Virginia, North Carolina, South Carolina, Tennessee, Georgia, Alabama, Mississippi, and Florida [Locals 204, 400, 1529, 1625, 1995, 1996] $2.11 $0.0124 $2.54 $0.0149

22 Hawaii [Local 480] $1.96 $0.0115 $1.96 $0.0115

Special Groups

Packing and Other Industries3 $2.14 $0.0126 $2.14 $0.0126 Certain Part-Time Groups4 $1.77 $0.0104 $1.77 $0.0104 Local 88 Pension Fund [Monthly] $2.37 --- $2.37 --- Local 88 Pension Fund [Hourly] --- $0.0103 --- $0.0103 Local 88 Part-Time $2.07 $0.0122 $2.07 $0.0122 Local 342 Pension Fund Full-Time $5.96 $0.0351 $5.96 $0.0351 Local 342 Pension Fund Part-Time $2.25 $0.0132 $2.25 $0.0132 Local 400/347 Pension Fund $2.24 $0.0132 $2.24 $0.0132 83 National Beef $2.74 $0.0161 $2.74 $0.0161 Production Services & Sales $3.81 $0.0224 $3.81 $0.0224 Westmoreland $3.13 $0.0184 N/A N/A Miscellaneous Groups [Chesapeake (Automated $1.77 $0.0104 $1.77 $0.0104 Communication)], Foodland (New Brighton and Tusca Plaza) and Darling (Idaho Animal Products)

1 The full-time Participants of the New England Pension Fund are included in Geographic Area 1. 2 The Local 539 Pension Fund is included in Geographic Area 9. 3 The Sausage Makers Pension Fund and the Wisconsin Employers Pension Trust are included in the Packing and Other Industries group. 4 Certain Part-Time Groups are generally comprised of former Participants of the National Pension Fund Part-Time Plan as well as certain other grandfathered part-time groups. Other part-time Employers may be covered under the Geographic Area of the Contributing Employer. The part-time Participants of the New England Pension Fund and First National Supermarkets Part-time Employees’ Pension Plan are included in this group.

For Benefit Groups with AUCRs that change, the AUCRs in effect as of July 1,2002 for those affected groups will apply until the earlier of (1) the first of the month following the expiration of the last collective bargaining agreement concerning the affected group that is effective before September 1, 2005 or (2) September 1, 2008.

Not all employers with which the listed Local Unions bargain are Contributing Employers to the National Pension Fund. Appendix C9 United Food & Commercial Workers International Union-Industry Pension Fund AUCRs for the Period 9/1/07 through 8/31/09

The Appropriate Unit Contribution Rates for Geographic Areas 1 through 22 are for the Retail Industry only.

Appropriate Unit Contribution Rates for $1.00 Benefit First Participating first Participating Prior to 9/1/05 on or After 9/1/05 Geographic Area Monthly hourly monthly hourly

1 New England [Locals 328, 371, 1445, 1459]1 $1.85 $0.0109 $2.14 $0.0126

2 New York and New Jersey [Locals 342 (A&P), 342/174, 464A] $2.25 $0.0132 $2.35 $0.0138

5 Western Pennsylvania, Western Maryland and Eastern Ohio [Locals 17A, 23, 27, 880] $2.18 $0.0128 $2.61 $0.0154

6 Kentucky [Local 227] $2.82 $0.0166 $2.82 $0.0166

7 Western Ohio [Locals 7A, 911, 1059, 1099] $1.80 $0.0106 $2.47 $0.0145

84 8 Indiana [Local 700] $1.56 $0.0092 $2.23 $0.0131

9 Michigan [Locals 876/26/539, 951]2 $2.35 $0.0138 $2.35 $0.0138

10 Illinois, Wisconsin and Eastern Iowa [Locals 431, 536, 881, 1473, 1546] $2.14 $0.0126 $2.29 $0.0135

11 Minnesota [Locals 6, 789, 1116/12A] $2.85 $0.0168 $2.85 $0.0168

12 Western Iowa, Nebraska, North Dakota, and South Dakota [Locals 22, 271, 304A, 440] $2.14 $0.0126 $2.29 $0.0135

14 Western Missouri and Kansas [Local 2] $2.14 $0.0126 $2.29 $0.0135

15 Colorado, Wyoming and Arizona [Local 99] $1.71 $0.0101 $2.23 $0.0131

20 New Mexico, Texas, Oklahoma, Arkansas, and Louisiana [Locals 455/408, 540, 1000, 1564, 2008] $1.33 $0.0078 $2.12 $0.0125 Appendix C9 United Food & Commercial Workers International Union-Industry Pension Fund AUCRs for the Period 9/1/07 through 8/31/09

Appropriate Unit Contribution Rates for $1.00 Benefit First Participating first Participating Prior to 9/1/05 on or After 9/1/05 Geographic Area Monthly hourly monthly hourly

21 Southern Virginia, North Carolina, South Carolina, Tennessee, Georgia, Alabama, Mississippi, and Florida [Locals 204, 400, 1048C, 1529, 1625, 1995, 1996] $2.11 $0.0124 $2.54 $0.0149

22 Hawaii [Local 480] $1.96 $0.0115 $1.96 $0.0115

Special Groups

Packing and Other Industries3 $2.14 $0.0126 $2.14 $0.0126 Certain Part-Time Groups4 $1.92 $0.0113 $1.92 $0.0113 Local 88 Pension Fund [Monthly] $2.39 --- $2.39 --- Local 88 Pension Fund [Hourly] --- $0.0098 --- $0.0098 Local 88 Part-Time $2.30 $0.0135 $2.30 $0.0135 Local 342 Pension Fund Full-Time $5.68 $0.0334 $5.68 $0.0334 Local 342 Pension Fund Part-Time $2.50 $0.0147 $2.50 $0.0147 Local 400 Pension Fund $2.39 $0.0141 $2.39 $0.0141 85 National Beef $2.61 $0.0154 $2.61 $0.0154 Pinnacle Foods $2.49 $0.0146 $2.49 $0.0146 Production Services & Sales $3.63 $0.0214 $3.63 $0.0214 Miscellaneous Groups [Chesapeake (Automated $1.92 $0.0113 $1.92 $0.0113 Communication)], Foodland (Tusca Plaza) and Darling-368A (Idaho Animal Products)

1 The full-time Participants of the New England Pension Fund are included in Geographic Area 1. 2 The Local 539 Pension Fund is included in Geographic Area 9. 3 The Sausage Makers Pension Fund and the Wisconsin Employers Pension Trust are included in the Packing and Other Industries group. 4 Certain Part-Time Groups are generally comprised of former Participants of the National Pension Fund Part-Time Plan as well as certain other grandfathered part-time groups. Other part-time Employers may be covered under the Geographic Area of the Contributing Employer. The part-time Participants of the New England Pension Fund and First National Supermarkets Part-time Employees’ Pension Plan are included in this group.

For Benefit Groups with AUCRs that change, the AUCRs in effect as of September 1, 2005 for those affected groups will apply until the earlier of (1) the first of the month following the expiration of the last collective bargaining agreement con- cerning the affected group that is effective before September 1, 2007 or (2) September 1, 2010.

Not all employers with which the listed Local Unions bargain are Contributing Employers to the National Pension Fund. Appendix C10 United Food & Commercial Workers International Union-Industry Pension Fund AUCRs for work performed on or after September 1, 2009 through August 31, 2011, regardless of first participation date.

The Appropriate Unit Contribution Rates for Geographic Areas 1 through 22 are for the Retail Industry only.

Appropriate Unit Contribution Rates for $1.00 Benefit Geographic Area Monthly Hourly

1 New England [Locals 328, 371, 1445, 1459] $2.34 $0.0138

2 New York and Northern New Jersey [Locals 342 (A&P), 464A] $2.58 $0.0152

5 Western Pennsylvania, Western Maryland and Eastern Ohio [Locals 17A, 23, 880] $3.38 $0.0199

6 Kentucky [Local 227] $3.39 $0.0199

7 Western Ohio [Locals 75/7A/911/1099, 1059)1 $3.39 $0.0199

8 Indiana 86 [Local 700] $2.79 $0.0164 9 Michigan [Locals 876, 951] $2.56 $0.0151

10 Illinois, Wisconsin and Eastern Iowa [Locals 431, 536, 881, 1473, 1546] $3.39 $0.0199

11 Minnesota [Locals 6, 1189/789/1116] $3.39 $0.0199

12 Western Iowa, Nebraska, North Dakota, and South Dakota [Locals 22, 271, 304A, 440] $3.39 $0.0199

14 Western Missouri and Kansas [Local 2] $3.39 $0.0199

15 Colorado, Wyoming and Arizona [Local 99] $3.39 $0.0199

20 New Mexico, Texas, Oklahoma, Arkansas, and Louisiana [Locals 455/408, 540, 1000, 1564, 2008] $3.29 $0.0194

21 Southern Virginia, North Carolina, South Carolina, Tennessee, Georgia, Alabama, Mississippi, and Florida [Locals 204, 400, 1529, 1625, 1995, 1996] $3.39 $0.0199 Appendix C10 United Food & Commercial Workers International Union-Industry Pension Fund AUCRs for work performed on or after September 1, 2009 through August 31, 2011, regardless of first participation date.

Appropriate Unit Contribution Rates for $1.00 Benefit Geographic Area Monthly Hourly

22 Hawaii [Local 480] $1.96 $0.0115

Special Groups

Packing and Other Industries $2.14 $0.0126 Certain Part-Time Groups2 $2.01 $0.0118 Local 88 Pension Fund [Monthly] $3.03 --- Local 88 Pension Fund [Hourly]3 --- $0.0135 Local 342 Pension Fund Full-Time $5.68 $0.0334 Local 342 Pension Fund Part-Time $3.39 $0.0199 Local 347 Pension Fund $3.39 $0.0199 National Beef $2.61 $0.0154 Pinnacle Foods $2.49 $0.0146 Production Service & Sales $3.63 $0.0214 Miscellaneous Groups [Chesapeake (Perkins $2.01 $0.0118 Management Services), Idaho Animal Products] 87 1 Certain non-closed Retail Groups under Geographic Area 7 are now covered under the jurisdiction of Geographic Area 6. 2 Certain Part-Time Groups are generally comprised of former Participants of the National Pension Fund Part-Time Plan as well as certain other grandfathered part-time groups. Other part-time Employers may be covered under the Geographic Area of the Contributing Employer. The part-time Participants of the New England Pension Fund and First National Supermarkets Part-Time Employees’ Pension Plan are included in this group. 3 The Local 88 Pension Fund [Hourly] and the Local 88 Part-Time Groups were combined.

For Benefit Groups with AUCRs that change, the AUCRs in effect as of September 1, 2007 for those affected groups will apply until the earlier of (1) the first of the month following the expiration of the last collective bargaining agreement concerning the affected group that is effective before September 1, 2009 or (2) September 1, 2012.

Not all employers with which the listed Local Unions bargain are Contributing Employers to the National Pension Fund. Appendix C11 United Food & Commercial Workers International Union-Industry Pension Fund AUCRs for work performed on or after September 1, 2011, regardless of first participation date.

The Appropriate Unit Contribution Rates for Geographic Areas 1 through 22 are for the Retail Industry only.

Appropriate Unit Contribution Rates for $1.00 Benefit Geographic Area Monthly Hourly

1 New England [Locals 328, 371, 1445, 1459] $2.34 $0.0138

2 New York and Northern New Jersey [Locals 27 (A&P), 342 (A&P),464A] $2.58 $0.0152

5 Western Pennsylvania, Western Maryland and Eastern Ohio [Locals 17A, 23, 880] $3.38 $0.0199

6 Kentucky [Local 227] $3.39 $0.0199

7 Western Ohio [Locals 75/7A/911/1099, 1059)1 $3.39 $0.0199

8 Indiana [Local 700] $2.79 $0.0164

88 9 Michigan [Locals 876, 951] $2.56 $0.0151

10 Illinois, Wisconsin and Eastern Iowa [Locals 431, 536, 881, 1473, 1546] $3.39 $0.0199

11 Minnesota [Locals 6, 1189/789/1116] $3.39 $0.0199

12 Western Iowa, Nebraska, North Dakota, and South Dakota [Locals 293/22/271, 304A, 440] $3.39 $0.0199

14 Western Missouri and Kansas [Local 2] $3.39 $0.0199

15 Colorado, Wyoming and Arizona [Local 99] $3.39 $0.0199

20 New Mexico, Texas, Oklahoma, Arkansas, and Louisiana [Locals 455/408, 540, 1000, 1564, 2008] $3.29 $0.0194

21 Southern Virginia, North Carolina, South Carolina, Tennessee, Georgia, Alabama, Mississippi, and Florida [Locals 204, 400, 1529, 1625, 1995, 1996] $3.39 $0.0199 Appendix C11 United Food & Commercial Workers International Union-Industry Pension Fund AUCRs for work performed on or after September 1, 2011, regardless of first participation date.

Appropriate Unit Contribution Rates for $1.00 Benefit Geographic Area Monthly Hourly

22 Hawaii [Local 480] $1.96 $0.0115

Special Groups

Packing and Other Industries $2.14 $0.0126 Certain Part-Time Groups2 $2.01 $0.0118 Certain Non-Kroger Employers3 $2.50 $0.0147 Local 88 Pension Fund [Monthly] $3.03 --- Local 88 Pension Fund [Hourly] --- $0.0135 Local 342 Pension Fund Full-Time $5.68 $0.0334 Local 342 Pension Fund Part-Time $3.39 $0.0199 Local 400 Pension Fund $3.39 $0.0199 National Beef $2.61 $0.0154 Pinnacle Foods $2.49 $0.0146 Production Service & Sales $3.63 $0.0214 Miscellaneous Groups [Chesapeake (Perkins $2.01 $0.0118 Management Services), Idaho Animal Products] 89

1 Certain non-closed Retail Groups under Geographic Area 7 are now covered under the jurisdiction of Geographic Area 6. 2 Certain Part-Time Groups are generally comprised of former Participants of the National Pension Fund Part-Time Plan as well as certain other grandfathered part-time groups. Other part-time Employers may be covered under the Geographic Area of the Contributing Employer. The part-time Participants of the New England Pension Fund and First National Supermarkets Part-Time Employees’ Pension Plan are included in this group. 3 Certain Non-Kroger Employers that became effective January 1–December 31, 2012 that formerly participated in UFCW pension funds that merged into the UFCW Consolidated Pension Fund.

For Benefit Groups to which the 2007 AUCR is applicable on August 31, 2011, those groups will continue at the 2007 AUCR until the earlier of (1) the expiration date of the first collective bargaining agreement that is effective on or after September 1, 2011 or (2) September 1, 2014.

For Benefit Groups to which the 2009 AUCR is applicable on August 31, 2011, those groups will continue at the 2009 AUCR until the earlier of (1) the expiration date of the first collective bargaining agreement that is effective on or after September 1, 2011 or (2) September 1, 2016.

Not all employers with which the listed Local Unions bargain are Contributing Employers to the National Pension Fund. Appendix D—Closed bargaining groups

Geographic Area Bargaining Unit Comment

7 Kroger (Cincinnati) - Local 75 Closed to employees hired on (formerly Local 1099) or after October 17, 1989

7 Kroger (Dayton) - Local 75 Closed to employees hired on (formerly Local 1099) or after October 12, 1989

7 Kroger - Local 1059 Closed to employees hired on or after September 25, 2000

15 Fry’s - Local 99 Closed to employees hired on or after December 9, 1997

15 Safeway - Local 99 Closed to employees hired on or after December 9, 1997

Special Local 342-50 Pension Fund Closed to employees hired on Group Full-Time Group All Employers not providing contributions for, and participation by, Employees hired or promoted after a certain date as set forth in their Collective Bargaining Agreements 90 Special Local 342-50 Pension Fund All Employers not providing Group Part-Time Group contributions for, and participation by, Employees hired or promoted after a certain date as set forth in their Collective Bargaining Agreements National Pension Fund

The Board of Trustees is pleased to provide this Summary Plan Description for the Future Service Plan. If you or your spouse has any questions concerning your rights under the Future Service Plan or want to contact the Board of Trustees, please contact the United Food & Commercial Workers International Union-Industry Pension Fund Office:

United Food & Commercial Workers International Union-Industry Pension Fund P.O. Box 6000 Frankfort, Illinois 60423-6000 800-531-2385 or 312-649-1200 www.ufcwnpf.org

Nothing in this Summary Plan Description is meant to interpret or change in any way the provisions expressed in the Future Service Plan. In the event of any inconsistency between the explanatory material in this Summary Plan Description and the Plan Document, the Plan Document will control. The Trustees reserve the right to amend, modify, or discontinue all or part of this Plan whenever, in their judgment, conditions so warrant. notes

NATIONAL PENSION FUND United Food & Commercial Workers International Union-Industry Pension Fund P.O. Box 6000 Frankfort, Illinois 60423-6000