GROUP ANNUITY CONTRACTS Sample Clauses
The "Group Annuity Contracts" clause defines the terms and conditions under which annuity contracts are issued to a group, typically by an insurance company to an employer or organization for the benefit of its employees or members. This clause outlines eligibility requirements, the process for enrolling participants, and the manner in which benefits are calculated and paid out under the group arrangement. Its core practical function is to establish a standardized framework for providing retirement or other annuity benefits to multiple individuals under a single contract, thereby streamlining administration and ensuring consistent coverage for all eligible participants.
GROUP ANNUITY CONTRACTS. For purposes of this Agreement, a group annuity contract which has not been registered under the 1933 Act and which is to be issued in connection with a stock bonus, pension, or profit-sharing plan which meets the requirements for qualification under section 401 of the Internal Revenue Code (or in connection with another kind of plan specified in Section 3(a)(2) of the 1933 Act) ("Exempt Group Contract") shall be deemed to be an Insurance Contract, but a sale of an Exempt Group Contract by a Securities Agent shall be subject to any applicable NASD rules. Broker-Dealer shall supervise and maintain records with respect to such transactions as may be required by any applicable NASD rules.
GROUP ANNUITY CONTRACTS. The fair value of group annuity contract deposits at December 31, 1997 and 1996 was comprised of the following: DECEMBER 31, ----------------------- 1997 1996 ----------- ----------- ▇▇▇▇ ▇▇▇▇▇▇▇ Mutual Life Insurance Company contract deposit, GAC7892, due 12/1/97 (5.77% in 1996)............................................ -- $ 2,729,307 Hartford contract deposit, GA10156, due 12/21/98 (4.87% in 1997 and 1996)......................... $ 2,563,076 2,493,039 Life of Georgia contract deposit, FR101, due 9/9/99 (5.93% in 1997 and 6.15% in 1996)................ 6,282,171 5,935,391 Pacific contract deposit, G2608401, due 6/1/98 (6.65% in 1997 and 1996)......................... 3,149,032 2,952,635 Provident contract deposit, #627-0569-201A, due 6/1/99 (6.21% in 1997 and 1996)......................... 3,723,764 3,506,039 Sun Life America contract deposit, #4656, due 7/25/98 (6.58% in 1997 and 1996)......................... 2,191,985 2,056,298 Allamerica contract deposit, GA91636A, due 11/30/99 (8.05% in 1997 and 1996)......................... 4,522,389 4,185,459 Ohio National contract deposit, #5708, due 11/30/99 (6.75% in 1997 and 1996)......................... 2,979,775 2,792,475 Protective Life contract deposit, GA1191, due 6/1/98 (5.85% in 1997 and 1996)......................... 2,892,390 2,732,537 ▇.▇. ▇▇▇▇▇▇ contract deposit, NALCO-01, due 6/1/2000 (5.50% in 1997 and 6.08% in 1996)................ 10,000,000 10,000,000 New York Life contract deposit, #30481, due 6/30/99 (6.11% in 1997 and 1996)......................... 5,553,351 5,233,580 New York Life contract deposit, #30481-002, due 7/12/97 (5.90% in 1996).................................. -- 1,538,896 Principal Mutual contract deposit, #4-23183, due 12/31/2000 (6.41% in 1997 and 1996)......................... 5,581,170 5,244,967 Transamerica contract deposit, S1393-00, due 1/30/98 (6.13% in 1997 and 1996)......................... 1,526,821 2,877,264 ----------- ----------- $50,965,924 $54,277,887 =========== =========== Average yields for the above contracts are not calculated as the rates are guaranteed. No valuation reserve was established in 1997 or 1996 as the companies listed all maintain at least an A+ credit rating. NOTE 7--STATEMENTS OF NET ASSETS: The statements of net assets available for plan benefits by fund as of December 31, 1997 and 1996 are as follows: NALCO CHEMICAL COMPANY ---------------- PROFIT SHARING, INVESTMENT AND PAY DEFERRAL PLAN STATEMENT OF NET ASSETS AVAILABLE FOR PLAN BENEFI...