Calculation of Lump Sum. Where an officer has less than 24 years full-time service, the redundancy payment will be calculated on a pro-rata basis for any period where an officer has worked part-time hours during their period of service.
Calculation of Lump Sum. The factors to be used in calculating the lump sum are as follows: Interest: Whichever of the following two rates that produces the smaller lump sum:
Calculation of Lump Sum. The factors to be used in calculating the lump sum are as follows: Interest: Whichever of the following two rates that produces the smaller lump sum: (1) the discount rate used by the Company for purposes of Statement of Financial Accounting Standards No. 87 of the Financial Accounting Standards Board as disclosed in the Company's annual report to shareholders for the year end immediately preceding the date of distribution, or (2) the Pension Benefit Guaranty Corporation (PBGC) interest rate (or rates) that would be used to calculate a lump sum value for the benefit under the Northrop Retirement Plan_ (A) using 120% of the PBGC rate for lump sums over $25,000, and (B) substituting the PBGC rate (or rates) in effect for the time for distribution (even if actual payment is delayed for some reason) instead of the rate for the first day of the calendar year of distribution. Mortality: 1983 Group Annuity Mortality table for males with a 2-year setback. Increase in Section 415 Limit: 4% per year. Age: Age rounded to the nearest month on the date the lump sum is payable. Variable Unit Values: Variable Unit Values are presumed not to increase for future periods after the date the lump sum is payable. The annuity to be converted to a lump sum will be the remaining annuity currently payable to the Participant or his or her beneficiary at the time the lump sum is due. For example, assume a Participant is receiving benefit payments in the form of a 50% joint and survivor annuity. If the Participant and the survivor annuitant are both still alive at the time the lump sum payment is due, the present value calculation will be based on the remaining benefits that would be paid to both the Participant and the survivor in the annuity form. If only the survivor is alive, the calculation will be based solely on the remaining 50% survivor benefits that would be paid to the survivor. If only the Participant is alive, the calculation will be based solely on the remaining benefits that would be paid to the Participant. In the case of a Participant who dies prior to commencement of benefits under this Plan so that only a preretirement surviving spouse benefit (if any) is payable, the lump sum will be based solely on the value of the preretirement surviving spouse benefit. 3.08 Spousal consent. Spousal consent, as required for elections as described above, need not be obtained if the Company determines that there is no spouse or the spouse cannot be located. APPENDIX A Northrop Sup...
