§ 4. Termination of adopting employer.

(a)

The Adopting Employer expects the Plan to be continued indefinitely but, of necessity, reserves the right to terminate its Plan and Contributions thereunder at any time by action of the Governing Authority, subject to the Board's approval. Such termination shall be accomplished by the adoption of an ordinance by the Governing Authority terminating the Plan. Such ordinance shall conform to the rules and regulations of the Board governing Plan termination.

(b)

Upon termination, all Eligible Employees shall be deemed to be Participants, and the Accrued Benefits of such Participants shall be Vested. The Pension Committee shall notify Participants, Terminated Participants, Retired Participants, and Beneficiaries of the termination of the Plan, and shall provide a copy of such notice and the names and address of the persons notified to the Board.

(c)

Upon termination, the Adopting Employer shall provide to the Administrator current Participant information necessary to calculate Accrued Benefits. Upon receipt of such information, the Administrator shall prepare a list of all the Adopting Employer's Retired Participants, Terminated Participants, and Beneficiaries, showing for each the present value of his Accrued Benefit, as determined by the GMEBS Actuary as of the date of termination.

(d)

The Board, in accordance with its current rules and regulations, shall cause to be prepared, an audit of the GMEBS Investment Fund in accordance with generally accepted accounting practices to determine the value of the Adopting Employer's Trust Fund as of the termination date. All mandatory Employee Contributions, if any, plus interest, shall be paid from the Trust Fund to the Participants. The Board shall then deduct from the Trust Fund the total expenses incurred or to be incurred by GMEBS in terminating the Plan. The Board, pursuant to its rules and regulations, shall then allocate the remaining assets for distribution of the present value of Accrued Benefits in lump sums to the classes listed below. The benefits of each class shall be satisfied before proceeding to the next class. If at any time the remaining Plan assets would be insufficient to provide the present value of Accrued Benefits for the group in question, the remaining assets shall be applied on a pro rata basis within that group, and all subsequent groups shall receive no benefit.

CLASS A	Retired Participants or Beneficiaries who are receiving payments as of the termination date.
CLASS B	Participants delaying Retirement beyond the Normal Retirement Date.
CLASS C	Participants eligible for Early Retirement.
CLASS D	Other Participants, terminated or active, who have met the requirements for vesting as of the termination date.
CLASS E	All other Participants on a pro rata basis.

 

Payment of benefits to Retired Participants, Beneficiaries, and Participants by the Administrator as a result of a Plan termination shall be limited solely to the assets available in the Trust Fund.

(e)

In its termination ordinance, the Governing Authority shall instruct the Administrator as to the distribution of excess assets, if any, remaining after the satisfaction of Accrued Benefits for the classes enumerated herein. In the absence of such instructions, any excess assets shall be distributed to the Adopting Employer.

(f)

Upon distribution of the assets as specified above, the Adoption Agreement, Master Plan, and Joint Trust Agreement shall be regarded as terminated as to that Adopting Employer and no Participant or Beneficiary shall have any further rights or claim herein.