TWIN CITY CARPENTERS PENSION PLAN …twincitycarpentersfringefunds.com/SPDs/pension.pdfTwin City...

TWIN CITY CARPENTERS PENSION PLANSUMMARY PLAN DESCRIPTION

(Amended and Restated Effective September 1, 2005)

TWIN CITY CARPENTERS PENSION PLAN

SUMMARY PLAN DESCRIPTION

(Amended and Restated Effective September 1, 2005)

Twin City Carpenters Pension Plan

TWIN CITY CARPENTERS PENSION PLAN3001 Metro Drive, Suite 500, Bloomington, Minnesota 55425

(952) 854-0795

To All Participants:

As Trustees of the Twin City Carpenters Pension Plan (the "Plan"), we arepleased to provide you with this Summary Plan Description which is effectiveSeptember 2005. It is intended to give you a summary of the important features of thePlan. We encourage you to read this booklet carefully and keep it with your importantpapers for future reference.

A more detailed description of the Plan is provided in the Plan Document. Ifthere is any inconsistency between the contents of this summary and the PlanDocument, your rights will be determined from the Plan Document and not from thissummary.

You, your beneficiaries or legal representatives may examine the Plan Documentand certain other documents during regular business hours or by appointment at theFund Office. Copies of the official Plan documents are available at these locations:

Lakes and Plains Regional Council of Carpenters & Joiners700 Olive Street

St. Paul, MN 55130-9825

Wilson-McShane Corporation3001 Metro Drive, Suite 500Bloomington, MN 55425

The only people authorized to answer questions concerning the Plan are theBoard of Trustees and the staff at the Fund Office. If you have any questions about thePlan, contact the Fund Office at (952) 854-0795 or 1-800-535-6373.

Sincerely yours,

Board of Trustees


THE BOARD OF TRUSTEESof the

TWIN CITY CARPENTERS PENSION PLAN

Union Trustees: Employer Trustees:

Mr. Scott MalcolmLakes and Plains Regional Councilof Carpenters & Joiners700 Olive Street

St. Paul, MN 55130-9825

Mr. Timothy McGoughMcGough Construction2737 Fairview AvenueSt. Paul, MN 55113

Mr. Phil AskvigLakes and Plains Regional Councilof Carpenters & Joiners700 Olive Street

St. Paul, MN 55130-9825

Mr. David HamiltonA.E. Conrad308 West 59_ St.Minneapolis, MN 55419

Mr. Brian BeedleLakes and Plains Regional Councilof Carpenters & Joiners700 Olive Street

St. Paul, MN 55130-9825

Mr. William GrimmCarpentry Contractors Association830 Transfer RoadSuite 1ASt. Paul, MN 55114

Mr. Jerry AripezLakes and Plains Regional Councilof Carpenters & Joiners700 Olive Street

St. Paul, MN 55130-9825

Mr. Peter DonninoFrana and Sons, Inc.633 Second Avenue SouthHopkins, MN 55343-7779

Plan Administrator:

Wilson-McShane Corporation3001 Metro Drive, Suite 500Bloomington, MN 55425Phone (952) 854-0795

Fund Consultant:

Mr. Tom Del FiaccoThe Segal Company3800 American Boulevard WestSuite 780Bloomington, MN 55431Phone (952) 857-2480


Fund Auditor:

Mr. Timothy J. Peterson, CPALarson Allen Weishair & Co.220 South Sixth StreetSuite 300Minneapolis, MN 55402Phone (612) 376-4603

Fund Counsel:

Mr. David S. AndersonMcGrann Shea Anderson Carnival Straughn & Lamb, Chartered800 Nicollet MallSuite 2600Minneapolis, MN 55402Phone (612) 338-2525

IMPORTANT 204(h) NOTICE TO PLAN PARTICIPANTS AND BENEFICIARIES

Summary of Material Modifications to the

TWIN CITY CARPENTERS & JOINERS PENSION PLAN (2002 Restatement)

The Board of Trustees has amended the Plan. Here is a summary of the changes, which are affective April 1, 2007: New Definition of Participant – Returning to Covered Employment after Receiving a Normal Retirement, Early Retirement or Unreduced Early Retirement Benefit. The Plan has amended it’s definition of Participant regarding Employees who return to Covered Employment after having started to receive a Normal Retirement, Early Retirement or Unreduced Early Retirement Benefit. Persons who retire and begin receiving a Normal, Early, or Unreduced Early Retirement Benefit form the Plan are no longer Participants in the Plan. Such persons may, however, return to Employment and become Participants again by accumulating new Hours of Service under the Plan as follows: A Participant who has ceased to be a Participant due to receiving a

retirement benefit from the Plan (a Retiree) and thereafter again becomes an Employee must, in order to again become a Participant, complete one yearly computation period during which he has accumulated at least 1000 Hours of Service. For purposes of this provision, the initial yearly computation period will begin on the date that the former Participant again becomes an Employee and end on the day before the anniversary of that date. Yearly computation periods after the initial yearly computation period will be the Plan Year, commencing with the Plan Year that begins during the initial yearly computation period.

Consequently, if you return to Covered Employment, after having started to receive a Normal, Early or Unreduced Early Retirement Benefit, you will not become a Participant in the Plan again until you earn 1,000 Hours of Service in a single year after your return to Employment. Once you have done so, then you will receive credit for all of your Hours of Service back to the date of your return to Employment. The first year for measuring Hours of Service is the year beginning on the date you return to Employment. If a person does not accumulate the required 1,000 Hours of Service in that year, then the next and later measurement years are the Plan Year (a calendar year) starting with the Plan Year that begins during the first measuring year. Here Is An Example Of The Effect Of This Change – Before the Change – Prior to the change, after returning to Employment you would have received credit for all of your Hours of Service for which contributions were made.

After the Change – After the change, you will again become a Participant in the Plan and receive credit for your Hours of Service if you complete 1,000 Hours of Service in a single one year measurement period beginning on the date you return to Employment or a Plan Year. For example, if you return to Employment on June 1, 2007 and earn 1,000 Hours of Service before May 31, 2008, you are again a Participant on June1, 2008. If you don’t, but then earn 1,000 Hours in 2008, you will be a Participant again on January 1, 2009. If you become a Participant again you will receive credit for all of your Hours of Service, even those you earned before becoming a Participant again. Suspension of Benefits for Normal and Early Retirement Benefits The Board of Trustees has amended the Plan with regard to the Suspension of Benefits rules applicable to both the Normal and Early Retirement and Unreduced Early Retirement Benefits. Normal Retirement Benefits (Benefits Payable After Participant Reaches Normal Retirement Age) A new rule for suspension of benefits has been added to the Plan for Normal Retirement Benefits. These are benefits payable to a Participant after the Participant reaches Normal Retirement Age. Previously, a Normal Retirement Benefit was subject to suspension in any month in which you worked or were paid for 40 or more hours of Disqualifying Employment. Effective April 1, 2007, and exception to this rule was created to allow Normal Retirees to work more hours per month as long as the work is in Covered Employment. The exception provides that if you work more than 40 hours per month in Covered Employment, the Plan will not suspend your benefit unless your work is Covered Employment in that month and the previous eleven months totals more than 480 hours. If you have worked or been paid for 480 or more hours in Covered Employment in the last twelve months, your benefit will be suspended. If you have worked or been paid for any disqualifying Employment that is not covered Employment during the 12 month period, you are not eligible for this exception to the rule and the Plan will suspend your benefit for any month in which you work more than 40 hours in Disqualifying Employment. Covered Employment is employment covered under a collective bargaining agreement for which the Employer is required to contribute to the Plan. Here Is An Example Of The Effect Of This Change – Before the Change – If you worked or were paid for 40 or more hours of Disqualifying Employment in the month of January, your Normal Retirement Benefits would have been suspended.

After the Change – If you worked or were paid for 40 or more hours of Disqualifying Employment that is also Covered Employment in the month of June, the Plan would first determine whether, your hours in June, when added to your hours of Disqualifying Employment in the Covered Employment in the previous

eleven months (back to the previous July) exceed 480 hours. If the answer is “yes”, your benefit will be suspended. If the answer is “no”, then your benefit will not be suspended. However, if you worked any hours in Disqualifying Employment that were not Covered Employment, then you may not take advantage of this rule. The definition of Disqualifying Employment for Normal Retirement Benefits has not been changed. Disqualifying Employment for purposes of Normal Retirement Benefits means employment or self-employment that is (i) in an industry covered by the Plan when the participant’s pension payments began, (ii) in the geographic area covered by the Plan when the participant’s pension payments began, and (iii) in any occupation in which Plan Participants work (including, but not limited to carpentry, millwright and piledriving positions and alumni employee positions). Early Retirement or Unreduced Early Retirement Benefits (Benefits Payable Before Participant Reaches Normal Retirement Age) A new rule for suspension of benefits has been added to the Plan for Early Retirement or Unreduced Early Retirement Benefits (Early retirement Benefits). These are benefits payable to a Participant before the Participant reaches Normal Retirement Age. Early Retirement Benefits are subject to suspension in any month in which you work in or are paid for Disqualifying Employment. The Plan has changed it’s definition of Disqualifying Employment for Early Retirement Benefits. Previously, the definition of Disqualifying Employment for Early Retirement Benefits was the same as for Normal Retirement Benefits means:

• Any employment of at least 40 hours in a month in Covered Employment; or • Any work, other than Covered Employment, for any employer, or on a self-employed

basis, anywhere in the United States, in the industry or industries covered by the United Brotherhood of Carpenters Collective Bargaining Agreements, which work includes, but will not be limited to:

o Work in the occupation for which you were employed while accruing benefits under the

Plan; o Work at any employment where the tools of the carpentry, millwright, or pile driving

trades would be used; o Work as described in any United Brotherhood of Carpenters Collective Bargaining

Agreement; o Work for any construction, millwright, or pile driving company; o Post-secondary teaching or instructing which involves the construction, millwright, or

pile driving industries; o Consulting or managing work on projects in the construction, millwright, or pile driving

industries; o Inspector positions; o Estimator positions; and

o Any other employment that involves either the use of the tools or skills learned while working in the carpentry, millwright, or pile driving trades or the construction, millwright, or pile driving industries.

For Disqualifying Employment that is also Covered Employment, the Plan has adopted the same exception as allowed for Normal Retirement that allows Retirees to work up to 480 hours of employment in any rolling twelve month period before Benefits are suspended. Here Is An Example Of The Effect Of This Change – Before the Change - If, in the month of June, you worked or were paid for 40 or more hours of Disqualifying Employment your benefit would be suspended. After the Change – If the Disqualifying Employment is also Covered Employment, your benefit will be suspended only if you work 40 or more hours per month. Also, you may take advantage of the 480 rule described above if all of your Disqualifying Employment is also Covered Employment. If your Disqualifying Employment is not Covered Employment, then the Plan will suspend your benefit for any month in which you worked or were paid, no matter how much. This Amendment affects Retirees returning to Employment and benefits accrued after the effective date, April 1, 2007. Please call the Plan Administrator at (952) 854-0795 or (800) 535-6373 if you have questions about these changes. You may also write to the Plan Administrator at: Wilson-McShane Corporation 3001 Metro Drive Suite 500 Bloomington, MN 55425-1412

IMPORTANT 204(h) NOTICE TO PLAN PARTICIPANTS AND BENEFICIARIES

Summary of Material Modifications to the

TWIN CITY CARPENTERS & JOINERS PENSION PLAN (2005 Restatement)

The Board of Trustees has amended the Plan. Here is a summary of the changes, which are effective January 1, 2006: In response to continued difficult investment markets, the Trustees have made changes to the Pension Plan. Recent investment results have improved somewhat, but not yet to a level that will correct the effects of the past bear market years. The Plan’s actuary has advised the Trustees that, in order to maintain the Plan’s fiscal integrity, further modifications to the benefit structure are necessary. The Trustees were faced with difficult options, but as fiduciaries they made the choices that will best protect the safety of the Plan now and in the future. 1. Change to the Benefit Formula The Plan’s normal retirement benefit formula will be modified so that an amount equal to sixteen and two-thirds percent (16.67%) of the contribution rate in effect on January 1, 2006, will not be credited to participants or multiplied by the Plan’s 2.0% multiplier in the formula for determining a participant’s benefit. For example, 16.67% of the $4.50 hourly contribution rate contained in the Twin City Metro Area carpenters collective bargaining agreements is 75 cents per hour. Under the new formula, 75 cents of each hourly contribution made under those agreements for work performed in 2006 and later years will not be multiplied and will not count toward participants’ retirement benefits. The amount of contribution that is not multiplied under collective bargaining agreements with a different contribution rate will, of course, be a different amount of cents per hour, but will also be calculated at 16.67% of the contribution rate in effect on January 1, 2006. The amount of cents per hour that is not multiplied or counted will remain the same even if the contribution rate is increased after January 2006. In other words, if the contribution rate is increased, 100% of the increase will be multiplied by the 2.0% factor and will count toward benefits. This amendment applies to contributions received by the Plan for work performed on or after January 1, 2006. Here Is An Example Of The Effect Of This Change – Before the Change – If in 2005, you worked 1500 hours under a collective bargaining agreement with a $4.50 per hour Pension Plan contribution, you would have earned a benefit at normal retirement age of - $4.50 (per hour) x 1500 (hours) = $6,750 $6,750 x 2% (the multiplier) = $135 (monthly pension payout earned in 2005) After the Change – If in 2006, you work 1500 hours under a collective bargaining agreement with a $4.50 per hour Pension Plan contribution, you will earn a benefit at normal retirement age of – $4.50 (per hour) - $0.75 (not credited) = $3.75 ($0.75 = 16.67% of $4.50) $3.75 (credited contribution) x 1500 (hours) = $5,625 $5,625 x 2% (the multiplier) = $112.5 (monthly pension payout earned in 2006)

If an Additional Contribution is Added to the Plan – If the Union allocates an additional 0.75 to your pension contribution (on May 1, 2006 or any time later) the amount paid in would be $5.25 per hour. If, after that happens you work 1500 hours in a year, the formula would look like this: $5.25 (per hour) - $0.75 (not credited) = $4.50 $4.50 (credited contribution x 1500 (hours) = $6,750 $6,750 x 2% (the multiplier) = $135 (monthly pension payout earned for the year) 2. The Rule of 88 The Rule of 88 Benefit will not be available to any individual who first becomes a Participant in the Plan – that is, who first earns a Year of Service under the Plan – on or after January 1, 2006. Participants who are currently Plan participants – that is those who have earned a Year of Service before 2006 – are not affected in any way by this amendment. Forfeited Service under the Plan’s Break in Service rules does not count. This amendment is effective January 1, 2006. 3. Increase in Hours of Service Requirement For Plan Years beginning on January 1, 2006, and after, the number of Hours of Service required to earn a Year of Service under the Plan will be increased form 200 to 500. Please call the Plan Administrator at (952) 854-0795 or (800) 535-6373 if you have questions about these changes. You may also write to the Plan Administrator at: Wilson-McShane Corporation 3001 Metro Drive Suite 500 Bloomington, MN 55425-1412


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TABLE OF CONTENTS

PARTICIPATION ..................................................................................................................1

Employees Eligible to Participate ..........................................................................................1Covered Employers ...........................................................................................................1

ACQUIRING AND MEASURING SERVICE UNDER THE PLAN ......................................................2

Hours and Years of Service .................................................................................................2Contiguous Non-Covered Service .........................................................................................3Military Service .................................................................................................................3Breaks in Service ..............................................................................................................4Forfeited Service...............................................................................................................5

FUNDING BENEFITS ............................................................................................................7

The Sources of Your Retirement Income ................................................................................7

PLAN BENEFITS..................................................................................................................8

Normal Retirement Benefit:..................................................................................................8Unreduced Early Retirement (Rule of 88) Benefit: .....................................................................8Early Retirement Benefit: ....................................................................................................8Joint and 50%, 75%, or 100% Retirement Benefit: ....................................................................8Permanent and Total Disability Benefit: ..................................................................................9Partial Benefit:..................................................................................................................9Death Benefit: ..................................................................................................................9

NORMAL RETIREMENT BENEFIT.........................................................................................10

Eligibility .......................................................................................................................10Normal Retirement Age ....................................................................................................10Amount of Benefit............................................................................................................10

PAST SERVICE BENEFIT ....................................................................................................11

FUTURE SERVICE BENEFIT................................................................................................12

UNREDUCED EARLY RETIREMENT (RULE OF 88) BENEFIT.....................................................15

Eligibility .......................................................................................................................15

EARLY RETIREMENT BENEFIT............................................................................................16

Eligibility .......................................................................................................................16

JOINT AND 50% SURVIVOR OPTION ....................................................................................18

Electing Not To Receive This Benefit ...................................................................................18Other Survivor Benefit Amounts..........................................................................................18

PERMANENT AND TOTAL DISABILITY BENEFIT .....................................................................19

Eligibility .......................................................................................................................19Amount of Benefit............................................................................................................19


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Recovery from Disability ...................................................................................................20Termination of Disability Benefits ........................................................................................20

SUSPENSION OF BENEFITS ...............................................................................................22

When Benefits will be Suspended .......................................................................................22When Benefits will be Resumed .........................................................................................23

PARTIAL BENEFITS ...........................................................................................................24

Eligibility .......................................................................................................................24

DEATH BENEFITS .............................................................................................................26

Pre-Retirement ...............................................................................................................26Early Survivor Pension .....................................................................................................26Lump Sum Return of Contributions......................................................................................27Post-Retirement..............................................................................................................28

PLAN ADMINISTRATION.....................................................................................................29

Pension Benefits and Social Security ...................................................................................29Claims For Benefits .........................................................................................................29Mandatory Distributions upon Attaining Age 70 1/2..................................................................29Distribution of Small Pensions ............................................................................................30Distribution Under a Qualified Domestic Relations Order ..........................................................30Naming a Beneficiary .......................................................................................................31

OTHER PLAN FEATURES ...................................................................................................32

Participant Responsibilities................................................................................................32Assignment of Benefits and Qualified Domestic Relations Orders ...............................................32Applying for Benefits ........................................................................................................32Notification of Benefit Determination ....................................................................................32Filing a Claim Appeal .......................................................................................................33Amendment and Termination .............................................................................................35

PLAN INFORMATION..........................................................................................................36

Plan Name ....................................................................................................................36Plan Number..................................................................................................................36Type of Plan ..................................................................................................................36Type of Administration......................................................................................................36Service of Legal Process ..................................................................................................36Union and Association......................................................................................................36Pension Benefit Guaranty Corporation Insurance....................................................................37Plan Year ......................................................................................................................38Contributing Employers ....................................................................................................38Collective Bargaining Agreement ........................................................................................38Plan Assets and Management............................................................................................38Eligibility and Benefits ......................................................................................................38


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YOUR RIGHTS UNDER ERISA .............................................................................................39

Receive Information About Your Plan and Benefits..................................................................39Prudent Actions by Plan Fiduciaries.....................................................................................39Enforce Your Rights.........................................................................................................40Assistance with Your Questions..........................................................................................40

Twin City Carpenters Pension Plan Participation

1

PARTICIPATION

Employees Eligible to Participate

Employees who work for an Employer that is signatory to a Collective BargainingAgreement with the Lakes and Plains Regional Council of Carpenters & Joiners (the"Union") may become a participant in this Plan, subject to the following restrictions.

1. You will become a Participant upon the first day of the Plan Year followingthe date on which contributions are first made to the Pension Fund onyour behalf.

2. If prior to becoming a Participant, you elect to have contributions made tothis Plan on your behalf transferred to another retirement plan, you will notbe deemed a Participant in this Plan. If that election is made,contributions will be transferred as allowed by this Plan, its writtenreciprocity agreements with the transferee plan, and federal law.

3. Once you become a Participant, you will remain a Participant until theearlier of the following events occurs:

a. You suffer a Permanent Break in Service, and thereby forfeit yourService in the Plan, or;

b. You die.

4. In addition to the above general definition of Employees Eligible toParticipate, the following may also be eligible to Participate:

a. An officer or employee of the Union (including an AlumniEmployee) who has been accepted by the Trustees and for whomthe Union has agreed to contribute to the Plan, will be eligible toparticipate; and

b. Any other employees of an Employer (including Alumni Employees)as the Trustees may agree to include on whose behalf contributionsare made and whose inclusion will not impair the tax-exempt statusof the Plan.

Covered Employers

An employer covered by this Plan is an employer required by the CollectiveBargaining Agreement to contribute to this Plan on the behalf of its CollectivelyBargained Employees. Certain employers may be required by a ParticipationAgreement to contribute to the Plan on behalf of certain Non-Collectively BargainedEmployees. The Union may also be an employer relative to employees employed bythe Union and for whom the Union contributes to the Plan.

Twin City Carpenters Pension Plan Acquiring and Measuring Service

2

ACQUIRING AND MEASURING SERVICE UNDER THE PLAN

Many of your rights under the Plan depend upon you gaining specific amounts ofService from contributing employers. In order to be fully vested in your benefit,employees covered by the collective bargaining agreement need to attain five (5) yearsof non-forfeited Years of Service (prior to 1999 some participants were required toobtain ten years of non-forfeited service). This section of the Summary Plan Descriptiondiscusses how Service is calculated, how it is earned, how it might be lost, and how thiscan impact the benefits you eventually receive from the Plan. The Hours of Servicerequirement establishes the ability for you to vest in benefits under the Plan. However,the Hours of Service rules do not dictate the actual amount of benefit that you willaccrue.

Hours and Years of Service

Hour of Service – An Hour of Service is each hour for which you are paid, orentitled to payment, for the performance of duties for an Employer in CoveredEmployment during the applicable computation period. These hours will becredited you for the computation period in which the duties are performed.These hours include those paid when you are away from work for vacation,holiday, illness, incapacity, layoff, jury duty, military leave or leave of absence.However, these hours will not include payments to you under applicable workers’compensation, unemployment compensation or disability insurance laws.

Year of Service - A “Year of Service” is a Calendar Year in which you earn atleast a specified number of Hours of Service. The Plan’s definition of Year ofService that applies depends on the date for which you earned the Hour ofService as further detailed below:

1. Service Prior to January 1, 1976:

If you were covered under the Plan prior to January 1, 1976, yourlast period of continuous service, as determined under the Planprior to January 1, 1976, will be counted as Years of Service.

2. Service From and After the January 1, 1976 to December 31, 1996:

You will be credited with one Year of Service for each Plan Year,beginning on or after January 1, 1976, during which you earn one(1) or more Hours of Service. Service will not include any years ofForfeited Service.

3. Service From and After January 1, 1997:

You will be credited with one Year of Service for each Plan Yearbeginning on or after January 1, 1997, during which you earn two


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hundred (200) or more Hours of Service. Service will not includeany years of Forfeited Service.

4. Military Service:

You will be credited with Hours of Service for periods during whichyou were engaged in Military Service, subject to the provisionsunder the “Military Service” section below.

Contiguous Non-Covered Service

Generally, you must work in a position for which your Employer is required tocontribute to the Plan (Covered Employment) in order to be credited with Hours ofService.

You will receive credit, though, for working any period in a non-covered job withthe same participating employer as long as the period comes either immediately beforeor immediately after you work in Covered Employment provided that you do not quit, arenot discharged and do not retire between the two jobs. This is known as “ContiguousNon-Covered Employment.” The period of service in a non-covered position must occuron and after January 1, 1976. Contiguous Service is relevant only for purposes ofdetermining eligibility to participate and for vesting of benefits. It is not relevant, forexample, for purposes of determining eligibility for various forms of benefit payments(like the Rule of 88 Benefit), for purposes of determining the applicable Future ServiceBenefit multiplier, or for calculating the applicable early retirement reduction factor.

For example, assume you worked with participating Employer X for 3 years (after1975) in a job for which your Employer was not required to make contributions on yourbehalf. Then you went directly to work with the same employer in a job in CoveredEmployment and worked for 2 years; you would be credited with a total of 5 Years ofService.

Assume instead, after completing 3 years of non-Covered Employment you leaveemployer X and go to work with employer Y and work for 2 years in CoveredEmployment. You will only receive credit for the two Years of Service with employer Y.

Military Service

Under the Uniformed Services Employment and Reemployment Rights Act of1994, you are entitled to accrue plan benefits for periods of military service of less thanfive (5) years if you return to covered employment following your military service. Thismeans that you still participate in the Plan when you are in military service, subject tothe following rules. During the period of service, you earn credit towards vesting andaccrue benefits in the Plan.

If you will be entering the military service, you must notify your employer and thePlan Administrator in writing of that fact.


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Upon your return. When you return from military service and are going to returnto employment, you must notify the Plan. To receive credit for Plan benefits for theperiod you were in the military, you must return to work within certain time limits:

1. If your military duty was 31 days or less, you must return to work by thenext regularly scheduled work day (with an 8 hour rest period);

2. If your military duty was more than 31 days but less than 181 days, youmust return to work within 14 days of discharge; or

3. If your military duty was longer than 180 days, you have 90 days to returnto work following your discharge.

Upon return, you must also furnish the Plan with copies of your discharge papersshowing the date of induction, date of discharge or termination of duty, and whether thedischarge was honorable or not. You must provide those papers within 14 days afterreturning to work. If you did not receive an honorable discharge, you will not be entitledto Plan credit for the period of your military service.

Determining Hours of Service to be Credited. The amount of Hours of Service tobe credited to you upon your return from military duty will be determined by multiplyingthe total period of military duty by the monthly average number of hours worked by youin the twelve (12) consecutive months prior to your entry into military duty, and thenmultiplying those total hours by the applicable contribution rate(s). If you wereemployed by Contributing Employers for less than twelve (12) months prior to your entryinto military duty, the monthly average hours worked shall be calculated over thatshorter period.

Breaks in Service

You will NOT earn a Year of Service for any plan year, between January 1, 1976and December 31, 1996, in which you did not earn at least one (1) Hour of Service.This will be considered a Break In Service and may have an effect on your eligibility forbenefits. It also may effect the amount of monthly benefit you eventually receive.

For Plan Years beginning on or after January 1, 1997, you will NOT earn a Yearof Service in any Plan Year in which you do not earn at least two hundred (200) Hoursof Service.

You will not suffer a Break in Service if it would otherwise occur because of:

1. A Total and Permanent Disability*; or

2. A period not to exceed five (5) years spent in the Armed Forces, thePeace Corps of the United States or any similar organizations approvedby the Trustees.


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3. A period of Contiguous Non-Covered Service (see page 3).

* While the disability will not be considered a “break” in services, you will not becredited with a “year” of service.

For Plan Years beginning on or after January 1, 1987, a Break In Service WILLNOT occur if you do not work because of the following circumstances, as well as thoselisted above:

1. By reason of your pregnancy; or

2. By reason of the birth of a child to you; or

3. By reason of the placement of a child with you in connection with theadoption of such child (including placement for a trial period prior toadoption), or

4. For the purposes of caring for a child for a period beginning immediatelyfollowing the birth or placement.

If your inability to earn a Year of Service is due to any of the above reasons, youwill be credited with a Year of Service provided the Plan Administrator has access tosufficient information in support of your claim. You must furnish the Plan Administratorthe necessary information to establish that your absence was for one of the reasons setforth above and to establish the period during which you were absent. The Year ofService will be credited to the Plan Year in which the period of absence begins if youwould otherwise experience a Break In Service in that Plan Year. Otherwise, it will becredited to the subsequent Plan Year. The Hours of Service to be credited are theHours of Service which otherwise would normally have been credited to you but for yourabsence. In no event, however, shall more than 501 Hours of Service be credited dueto your period of absence.

Forfeited Service

You will NOT receive any Service credit for any period of Forfeited Service.

Between January 1, 1976 and December 31, 1986, when an employee who hasless than five (5) Years of Service suffered consecutive one (1) year Breaks In Serviceequal to or greater than his total Years of Service accumulated to that date, the Serviceis considered Forfeited Service. For example, assume you worked three (3) years,between 1977 and 1979, and therefore, you accumulated three (3) Years of Service.You then suffer a Break In Service which lasts three (3) years or longer. Under thisrule, the three (3) years of Service you had accumulated would become ForfeitedService.


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For Plan Years commencing on and after January 1, 1987, an employee who hasless than five (5) Years of Service and who suffers five (5) consecutive one (1) yearBreaks in Service will suffer Forfeited Service.

Forfeited Service will NOT be considered in determining either your eligibility foror amount of monthly retirement benefits. Once it is forfeited, it cannot be recovered.

Vesting Service

Being "vested" means that you have a right to receive the pension benefits youhave earned in the Plan. If you have not accrued at least one hour of service afterJanuary 1, 1999, you must then have earned ten (10) years of service to be fully vestedin the Plan. In this case, Employees who retire with less than ten (10) years of service,though, may be eligible to receive a partial benefit if they have earned at least five (5)years of service as further explained on page 24.

If you have accrued at least one hour of service on or after January 1, 1999 andhave earned at least five (5) years of service you are 100% vested.

Employees who reach Normal Retirement Age (see Page 10) will be fully vested.

Years of Forfeited Service will not be counted to determine your vested status.

Twin City Carpenters Pension Plan Funding Benefits

7

FUNDING BENEFITS

The Sources of Your Retirement Income

This Plan is a Defined Benefit Plan, which means that under the Plan, if youotherwise meet the necessary eligibility and vesting requirements, you will receive adefined and specific benefit, depending upon the specific retirement benefit you receiveand the formula to compute the amount of the specific benefit.

Once you become a Plan participant, all Employer contributions made on yourbehalf are recorded in the Plan's administrative records. Those contributions are usedas part of the equation to calculate your benefit under the Plan. Unlike many plans, youdon't have a separate account in this Plan. Instead, all plan assets are collectively keptand invested for the benefit of all participants.

Your benefit in this Plan is funded by two sources:

Employer and Reciprocity Contributions; and

Investment earnings on those contributions.

Employer Contributions. Your employer contributes a certain dollar amount foreach hour you work. This hourly contribution rate is specified in your employer'scollective bargaining agreement, participation agreement, or other written agreementwith the Trustees.

Reciprocity Contributions. From time to time, the Trustees may cause the Planto enter into reciprocity agreements with the representatives of other comparable plans.Under those agreements, this Plan may receive from another plan contributions madeon behalf of a participant in this Plan. If you perform work outside the area of thebargaining agreements negotiated by the Union, you should ask the Plan Administratorif a reciprocal agreement exists with the plan covering the area where you will work.

Investment Earnings. The Trustees hire several professional investmentmanagers to invest plan assets. Investment earnings help to pay the benefits earned byvested employees.

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Twin City Carpenters Pension Plan Plan Benefits

8

PLAN BENEFITS

The Plan is designed to pay various optional forms of benefits. Each of thoseforms of benefit, except the death benefit, is calculated by first determining the NormalRetirement Benefit to which you are entitled. Therefore, to determine your accruedbenefit, you should first review the section below that details the Normal RetirementBenefit.

The Plan pays seven types of benefits to Participants and their beneficiaries.They are:

1. Normal Retirement Benefit:

To be eligible for a Normal Retirement Benefit you must have reached NormalRetirement Age and must also meet the other requirements described at page10.

2. Unreduced Early Retirement (Rule of 88) Benefit:

To be eligible for an Unreduced Early Retirement (Rule of 88) Benefit, you mustbe at least 55 years old, must have a combined age and Years of Non-ForfeitedService that total at least eighty-eight (88), and you must meet the otherrequirements described at page 15.

3. Early Retirement Benefit:

To be eligible for an Early Retirement Benefit you must have reached EarlyRetirement Age and have the minimum number of Years of Service and meet theother requirements described at page 16.

4. Joint and 50%, 75%, or 100% Retirement Benefit:

The 50% Joint and Survivor Benefit is the default form in which Normal, Earlyand Unreduced Early Retirement (Rule of 88) Retirement Benefits will be paid toParticipants who have been married for the twelve month period immediatelyprior to retirement. (The default form for single participants is a monthly annuitypayable for the life of that individual). The benefit includes a monthly annuity forthe life of the Participant. When the Participant dies, his or her spouse will thenreceive a monthly benefit for life that is equal to 50% of the Participant's benefit.75% and 100% Joint and Survivor Benefits may also be elected. This benefit isfurther outlined on page 18.

Married Participants who wish to receive their benefits in a form other than the50% Joint and Survivor Benefit must select one of the other options, and, theParticipant's spouse must consent to that election. Forms to make this electionand consent are available from the Plan Administrator.

Twin City Carpenters Pension Plan Plan Benefits

9

5. Permanent and Total Disability Benefit:

To be eligible for a Permanent and Total Disability Benefit you must have at leastten (10) Years of Service during the period immediately before your disability andmust meet the other requirements described at page 19.

6. Partial Benefit:

To be eligible for a Partial Benefit you must have at least five (5) Years of Serviceand meet the other requirements described at page 24.

7. Death Benefit:

To be eligible for a Death Benefit you and your spouse or beneficiary must meetthe requirements described at page 26.

Twin City Carpenters Pension Plan Normal Retirement Benefit

10

NORMAL RETIREMENT BENEFIT

Eligibility

You will be entitled to a monthly Normal Retirement Benefit for the remainder ofyour life once you have completely retired from employment as a carpenter, millwrightor piledriver in the jurisdiction of this Fund, have reached your Normal Retirement Age(as defined below) and the trustees have approved your application for the normalretirement benefit.

Your monthly benefit will generally be payable on the first day of the monthfollowing the date the Board of Trustees approves your application for NormalRetirement Benefits.

Benefit payments continue monthly during your lifetime with the last paymentbeing made on the first day of the month in which you die.

Normal Retirement Age

Normal Retirement Age is the earlier of:

1. the time you reach age 62 or older and have earned ten (10) or moreYears of Service, or

2. the later of

a. the date you reach age 65, or

b. the date you participated in the Plan for five (5) years.

For all participants who accrue at least one Hour of Service on or after January 1,1999, paragraph No. 1 above will be replaced by the following:

1. the time you reach age 62 or older and have earned five (5) or more Yearsof Service, or (than paragraph No. 2 above)

Amount of Benefit

The amount of your monthly Normal Retirement Benefit is the sum of your PastService Benefit, if any, and your Future Service Benefit, as described below. If you aremarried, the benefit will be payable in the form of a Joint and 50% Survivor Benefit(described on page 18) unless you and your spouse elect otherwise. This form ofpayment will reduce the monthly amount of your benefit to account for the fact that moremonthly payments are expected to be made.

Twin City Carpenters Pension Plan Past Service Benefit

11

PAST SERVICE BENEFIT

If you become a Participant in the Plan as an Employee of an Employeroperating in one of the following Union jurisdictions on and after the Applicable Date setforth in the following chart, you will receive a Past Service Benefit to be computed bymultiplying $2.00 by the number of years (to a maximum of 10) of Uninterrupted Serviceearned. Uninterrupted Service is equal to the number of years you were continuouslyemployed by the Employer immediately prior to the Applicable Date, as determined bythe Board of Trustees based upon all Union records available to it.

The Past Service Benefit computed above is reduced by $2.00 for each yearafter the Effective Date (set forth in the following chart) during which the Employee isnot retired and is not receiving benefits from the Plan.

The combination of an Employee's Past and Future Service Benefit shall alwaystotal at least $2.00 for each year of Service.

Past Service Benefit and Uninterrupted Service are concepts that are applicableonly to the calculation of employee benefits payable under the Plan, and do not applytowards the satisfaction of the vesting requirements stated elsewhere in this Plan.

Union Jurisdiction Applicable Date Effective Date

Crookston Local 649 October 1, 1970 October 1, 1971Rochester June 1, 1971 June 1, 1972Faribault Local 1840 September 1, 1974 December 31, 1975Winona Local 307 July 7, 1975 December 31, 1976Fergus Falls Local 2322 November 1, 1975 December 31, 1976Albert Lea Local 766 October 1, 1978 December 31, 1979St. Cloud Local 930 June 1, 1989 December 31, 1990Austin/Red Wing August 1, 1989 December 31, 1990Mankato July 1, 1990 December 31, 1991Lovegreen Industrial March 28, 1991 March 28, 1992Mason City Local 1313 June 1, 1992 December 31, 1993

All other locals May 1, 1964 May 1, 1965

For Example: Assume that you continuously worked for an employer in the FergusFalls area from 1965 to 1986, when you retired. To the extent that information isavailable to the Plan Administrator, you would initially be given ten (10) years of PastService Benefit for your employment between 1965 and 1975. However, for each yearafter 1976 in which you are not retired, you would lose one year of that service. By1986, when you retire, you would have lost all Past Service Benefit, but would havegained Future Service Benefit as described in the next section.

Twin City Carpenters Pension Plan Future Service Benefit

12

FUTURE SERVICE BENEFIT

1. The Future Service Benefit for all Participants retiring on or after January 1,1991, and who have not accrued an hour of Service on or after that date shall beequal to 3.6% of the non-forfeited contributions made on the Participants behalfafter May 1, 1964. Future Service Benefits shall accrue as EmployerContributions are made on behalf of an Employee.

2. Effective January 1, 1992, the Future Service Benefit for the following classes ofParticipants shall be computed by multiplying 4.0% times the non-forfeitedEmployer Contributions made on a Participant's behalf after May 1, 1964:

A. Participants who retire on or after January 1, 1992 who earned at leastone (1) Hour of Service in 1991, or later;

B. Participants who first commence participation in the Plan on or afterJanuary 1, 1992;

C. Participants who retire on or after January 1, 1992 but who did not earn atleast one (1) Hour of Service in 1991 due to a disabling medical condition.A disabling medical condition shall mean a continuing injury or sicknesswhich qualified the Participant to receive short-term disability benefitsunder the terms of the Carpenters and Joiners Welfare Fund for themaximum period of twenty-six (26) weeks, and which can be shown bymedical evidence from licensed physician to have continued until at leastJanuary 1, 1992.

This Subsection (2) shall not apply to any classes of Participants not describedabove.


A. Participants who retire on or after January 1, 1999 who earned at least200 Hours of Service during 1998, provided such Participant qualified forthe rate multiplier set forth in paragraph 2. above;

B. Participants who first commence participation in the Plan on or afterJanuary 1, 1999, or;

C. Participants who retire on or after January 1, 1999 but who did not earn atleast two hundred (200) Hours of Service in 1998 because of a disablingmedical condition. A disabling medical condition shall mean a continuinginjury or sickness which qualified the Participant to receive short-termdisability benefits under the terms of the Carpenters & Joiners Welfare


13

Fund for the maximum period of twenty-six (26) weeks, and which can beshown by medical evidence from a licensed physician to have continueduntil at least January 1, 1999.


A. Participants who retire on or after January 1, 2000 who earned at least200 Hours of Service during 1999, provided such Participant qualified forthe rate multiplier set forth in paragraph 3. above;

B. Participants who first commence participation in the Plan on or afterJanuary 1, 2000, or;

C. Participants who retire on or after January 1, 2000 but who did not earn atleast two hundred (200) Hours of Service in 1999 because of a disablingmedical condition. A disabling medical condition shall mean a continuinginjury or sickness which qualified the Participant to receive short-termdisability benefits under the terms of the Carpenters & Joiners WelfareFund for the maximum period of twenty-six (26) weeks, and which can beshown by medical evidence from a licensed physician to have continueduntil at least January 1, 2000.

5. Effective January 1, 2003, the Future Service Benefit for all Participants shall beequal to the sum of:

A. the Future Service Benefit attributable to work performed prior to January1, 2003, as determined in accordance with paragraphs 1, 2, 3 and 4above, as applicable, plus

B. 3.4% times the non-forfeited Employer Contributions attributable to aParticipant for work performed after December 31, 2002.

6. Effective January 1, 2004, the Future Service Benefit for all Participants will beequal to the sum of:

A. the Future Service Benefit attributable to work performed prior to January1, 2004, as determined according to paragraphs 1, 2, 3, 4 and 5 above, asapplicable, plus



14

7. Effective January 1, 2005, the Future Service Benefit for all Participants will beequal to the sum of:

A. the Future Service Benefit attributable to work performed prior to January1, 2005, as determined according to paragraphs 1, 2, 3, 4, 5 and 6 above,as applicable, plus


If you have a break in service, then all benefits in the period of time prior to thebreak in service will be calculated at the multiplier then in effect.

FUTURE SERVICE BENEFIT EXAMPLE

Assume you retired on March 1, 2005 and worked continuously in coveredemployment since June 1, 1970. The contributions made by your employer are in thecolumn marked Employer Contributions. Your Employer contributions are thenmultiplied by the Future Service Benefit amount on an annual basis to reflect theamount of your monthly Pension Benefit.

Years of ServiceEmployer

ContributionsFuture Service

BenefitBenefitAmount

1970 – 2002 $76,100 x 4.4% 3,348.402003 $4,500 x 3.4% 153.002004 $1,200 x 2.7% 32.402005 $600 x 2.0% 12.00

Total MonthlyBenefit $3,545.80

Twin City Carpenters Pension Plan Unreduced Early Retirement Benefit

15

UNREDUCED EARLY RETIREMENT (RULE OF 88) BENEFIT

Eligibility

If you permanently cease employment as a Carpenter, Millwright, or Piledriver onor after January 1, 2001, you will be eligible for an Unreduced Early Retirement (Rule of88), provided:

1. You have reached at least 55 years of age;

2. Your age (as of your last birthday) and Years of Service at the time ofretirement total at least eighty-eight (88); and

3. You have applied for this benefit on the form provided by the Fund.

The Rule of 88 Benefit will be equal in amount to your Normal RetirementBenefit, as described in the previous section. It is not reduced to account for retirementprior to Normal Retirement Age, but is subject to the same reduction as other benefits iftaken in the form of a Joint and Survivor Benefit as described below.

Twin City Carpenters Pension Plan Early Retirement Benefit

16

EARLY RETIREMENT BENEFIT

Eligibility

You will be entitled to a monthly Early Retirement Benefit for the remainder ofyour life once you have completely retired from employment as a carpenter, millwrightor piledriver in the jurisdiction of this Fund, have reached your Early Retirement Age,have been credited with at least five (5) Years of Service, and your application for anEarly Retirement Benefit has been approved by the Trustees.

Your Early Retirement Benefit is reduced because it is anticipated that you will bereceiving the benefits for a longer period.

A. For those retiring before January 1, 1992:

Your Early Retirement Benefit will be computed in the same manner as theNormal Retirement Benefit but shall be reduced by six percent (6%) for each year orpro-rated year that you are less than sixty-two (62) in accordance with the followingschedule:

Percent of NormalAge at Early Retirement Retirement Benefit

57 70%58 76%59 82%60 88%61 94%

B. For those retiring after December 31, 1991, and before January 1, 1996:

Except as noted after Subsection (C) on the following page, your EarlyRetirement Benefit if you retire on or after January 1, 1992, but before January 1, 1996,shall be computed on the same basis as your Normal Retirement Benefit, but reducedby 4% for each year and partial year that you are less than age 62, in accordance withthe following schedule:

Twin City Carpenters Pension Plan Early Retirement Benefit

17


57 80%58 84%59 88%60 92%61 96%

C. For those retiring on or after January 1, 1996:

If you retire on or after January 1, 1996, your early Retirement Benefit shall becomputed on the same basis as your Normal Retirement Benefit, but reduced by 4% foreach year that you are less than age sixty-two (62) on your retirement date, inaccordance with the following schedule:


55 72%56 76%57 80%58 84%59 88%60 92%61 96%

For those who did not earn one (1) Hour of Service in 1991:

Schedule A above applies to all participants who retire on or after January 1,1992, and who failed to earn one (1) Hour of Service in 1991, unless the Participantearns at least 5,000 Hours of Service after December 31, 1991 and before retirement, inwhich case Schedule B or C shall apply to contributions made for Hours of Serviceearned before 1991. Participants retiring under Schedule A on or after January 1, 1996,may elect a benefit equal to 58% of his Normal Retirement Benefit at age 55, and 64%at age 56.

Your Early Retirement Benefit will be calculated by interpolating the applicablereduction factor to account for years and months of age at retirement. In no event willyour Early Retirement Benefit be less than $20.00 per month.

Your monthly Early Retirement Benefit will be payable on the first day of themonth following the later of the receipt of your application by the Trustees or the date onwhich you reach your Early Retirement Age. Benefit Payments shall continue monthlyduring your lifetime with the last payment being made in the month in which you die.

Twin City Carpenters Pension Plan Joint and 50% Survivor Option

18

JOINT AND 50% SURVIVOR OPTION

The Normal, Early and Unreduced Early Retirement (Rule of 88) Benefit to whichyou are entitled will be paid in the form of a Joint and 50% Survivor Option under thefollowing circumstances.

If at the time you retire and benefit payments are commenced you have a spouseto whom you have been married for at least a year, your retirement benefits will be paidin the Joint and 50% Survivor Option form unless you elect otherwise, and your spouseagrees in writing. Upon your death, a monthly benefit of 50% of the previous benefitamount will be paid to your surviving spouse for life.

The Joint and 50% Survivor Option provides a reduced monthly benefit to you foras long as you live. The amount of your reduced monthly benefit is determined bymultiplying the Normal, Early or Unreduced Early Retirement (Rule of 88) Benefit by afactor based on the ages of both you and your spouse at the time of your retirement.

Electing Not To Receive This Benefit

Usually, Normal, Early or Unreduced Early (Rule of 88) Retirement Benefits willautomatically be paid in the Joint and 50% Survivor form of benefit. You and yourspouse, though, may elect in writing to have those benefits paid in a different manner.At the time you make application for a benefit, the administrator will notify you, inwriting, of the options available. Upon receipt of this notice you will then have theopportunity to make your decision. Once you waive the Joint and 50% Survivor Benefit(and pick a different form of benefit) you may revoke that waiver (and pick yet anotherform of benefit) only if you (1) obtain the appropriate revocation form from the PlanAdministrator and (2) complete, sign, and deliver that form to the Plan Administratorbefore Plan payments begin.

In the event that your spouse dies before you do and after the benefit paymentsunder any of the Joint and Survivor options have begun, you will begin receivingmonthly benefits equal to your full Normal, Early, or Unreduced Early Retirement (Ruleof 88) Benefit. The increased benefit payments will begin the month followingnotification to the Fund of your spouse's death and will continue for the remainder ofyour life.

Other Survivor Benefit Amounts

If you and your spouse elect, this benefit may be calculated and paid to provide asurviving spouse with benefits equal to either 75% or 100% of the benefits payable priorto your death. Your monthly benefit will be reduced to reflect this different paymentoption.

Twin City Carpenters Pension Plan Permanent and Total Disability Benefit

19

PERMANENT AND TOTAL DISABILITY BENEFIT

Eligibility

There are four requirements which must be satisfied in order to be eligible for thisbenefit.

1. You suffer from Permanent and Total Disability as described below;

2. The disability occurred after September 1, 1985;

3. During the period before the onset of your disability and before youexperience a one year Break in Service, you have attained ten (10) yearsof Non-Forfeited Service, and;

4. You are receiving a disability benefit under the Social Security Act at thetime you make your application for a disability benefit under this Plan.

"Permanent and Total Disability" means an illness or injury that (1) makes itimpossible for you to work at any occupation, and (2) is expected to continue for the restof your life. The Trustees may require medical evidence from a licensed physician tosubstantiate a claim of permanent and total disability. The Trustees may also requireevidence each year that you are still disabled and entitled to continue benefits.

In no case will you be deemed to be Permanently and Totally Disabled if yourincapacity is due to chronic alcoholism or addiction to narcotics, or if such incapacitywas contracted, suffered or incurred while you were engaged in a felonious enterpriseor from an intentionally inflicted injury.

If you meet the eligibility requirements for a Permanent and Total DisabilityBenefit your benefits will begin on the first day of the month following approval of yourapplication by the Trustees. Payments will be retroactively made to the earlier of (1) thefirst day of the month following submission of your application to the Trustees, or (2) thefirst day of the month following the effective date of your Social Security DisabilityAward. In no case, however, will retroactive benefit payments be made for a period inexcess of twelve months.

Amount of Benefit

The Permanent and Total Disability benefit is equal to fifty percent (50%) of yourprojected Normal Retirement Benefit, with a minimum of ninety-five dollars ($95.00) permonth. That benefit shall continue only during your continued disability and until youreach age 62.

When you reach age 62, your Permanent and Total Disability Benefit will stopand you will begin receiving a Joint and 50% Survivor Benefit (based upon your Normal


20

Retirement Benefit amount) if you have a spouse and you do not elect otherwise. If youdo not have a spouse or you elect the Normal Retirement Benefit and your spouseagrees in writing, you will begin receiving the monthly Normal Retirement Benefit towhich you are otherwise entitled and your right to receive further disability benefits willcease. Your minimum monthly benefit will be $95.00.

Alternatively, you may elect a Joint and 50% Survivor Option or an EarlyRetirement Benefit upon reaching age 55. Your minimum monthly benefit shall beninety-five dollars ($95.00). Should you elect the Early Retirement Benefit and you aremarried, your spouse must consent to this election. In either case your right to furtherdisability benefits shall cease.

Recovery from Disability

If you recover from the disability and return to work your disability benefits willcease. If you subsequently retire as a result of the disability, your benefits will beginagain on the first day of the month following your retirement.

Termination of Disability Benefits

Should you recover from your disability and choose not to return to work with aparticipating employer, your disability benefits will stop and you may be eligible forbenefits as follows:

Recovery before age 55 - You will become eligible for a benefit when you reachyour Early Retirement Age or Normal Retirement Age provided you meet theeligibility requirements for that benefit.

Recovery after age 55 but before age 62 - You will become eligible for an EarlyRetirement Benefit.

Recovery after age 62 - You will become eligible for your Normal RetirementBenefit.

Your Permanent and Total Disability Benefits will terminate when you die, orearlier when:

1. If you work at any job in which employment would not be consistent with afinding of permanent and total disability; or

2. If the Trustees find, on the basis of medical evidence, that you haverecovered enough to resume your regular job for pay; or

3. If you refuse to undergo a medical examination requested by the Trustees;provided, however, that you cannot be required to take more than two (2)examinations a year; or


21

4. If you fail to supply information requested by the Trustees to verify thatyou remain permanently and totally disabled; or

5. If you reach 55 and elect an Early Retirement Benefit; or

6. When you reach age 62.

Twin City Carpenters Pension Plan Suspension of Benefits

22

SUSPENSION OF BENEFITS

When Benefits will be Suspended

The Plan will suspend payment of your monthly Normal, Rule of 88, or EarlyRetirement benefit (including benefits paid in the Joint and Survivor Form) for anymonth in which you worked or were paid for at least 40 hours in DisqualifyingEmployment (as defined below). Paid non-work time is counted toward the 40 hourslimit if paid for vacation, holiday, illness or other incapacity, layoff, jury duty, or otherleave of absence. However, time compensated under a worker's compensation ortemporary disability benefits law is not so counted.

Disqualifying Employment means employment or self-employment that is:

1. in an industry covered by the Plan when your pension payments began,

2. in the geographic area covered by the Plan when your pension paymentsbegan, and

3. in any occupation in which Plan Participants work including, but not limitedto, carpentry, millwright, and piledriving positions and alumni employeepositions.

Industry covered by the Plan means the construction industry and any otherindustry in which employees covered by the Plan were employed when Pensionbenefits began or would have begun, but for the suspension of benefits rules.

The geographic area covered by the Plan is the States of Minnesota, Wisconsin,Iowa, North Dakota, and South Dakota, as well as the remainder of any StandardMetropolitan Statistical Area which falls partially within any of those states.

If you are receiving monthly benefits, you must notify the Plan Administrator inwriting within 30 days after starting any work of a type that is or may be DisqualifyingEmployment. This notification must be provided even if you do not anticipate working40 or more hours in any month.

If you have failed to give this notice and have worked in DisqualifyingEmployment in any month, the Trustees will presume that you have worked for at least40 hours in that month and any subsequent month before you provide them notice thatyou have ceased Disqualifying Employment. Similarly, the Trustees may presume thatyou have worked on a job for as long as the contractor for whom you are working hasbeen on that job. You may, though, overcome these presumptions by showing that theyare not correct, and that benefits should not actually be suspended under the rules ofthe Plan.

Twin City Carpenters Pension Plan Suspension of Benefits

23

If your benefits have been suspended, you must notify the Plan Administratorwhen Disqualifying Employment has ended. The Plan will not resume your benefitpayments until that notice is received.

You will be advised in writing that your benefits have been suspended. Thatnotice will describe the suspension of benefits rules, the requirements for resumingbenefit payments, and whether any offset will be taken from future benefit payments toaccount for benefits that could have been previously suspended but were not. Thisnotice will also describe your right to have the suspension decision reviewed.

You should contact the Plan Administrator if you have any questions regardingthese rules. The Administrator can even help you determine whether certain types offuture employment will be considered Disqualifying Employment.

When Benefits will be Resumed

After the Plan has received notice from you that you are no longer working inDisqualifying Employment, it will resume benefit payments for the months following suchemployment. Payments will be resumed no later than the first day of the third monthafter the last calendar month for which the benefit was suspended.

Overpayments attributable to payments for any month or months for which youengaged in Disqualifying Employment will be deducted from pension paymentsotherwise paid or payable subsequent to the period of suspension of benefits. Adeduction from a monthly benefit will not exceed twenty-five percent (25%) of thepension amount (before deduction), except that the Plan may withhold up to onehundred percent (100%) of the first pension payment made upon resumption after asuspension of benefits. If you die before recoupment of overpayments has beencompleted, deductions will be made from the benefits payable to your beneficiary orspouse receiving a pension subject to the twenty-five percent (25%) limitation on therate of deduction.

If you return to employment with a contributing employer, upon resumption ofbenefit payments, the Plan will recompute your pension amount. The recomputedpension amount will be equal to the sum of:

1. The monthly pension amount you were previously receiving, plus

2. The monthly pension amount derived from all additional employercontributions paid or payable to the Fund for the period of re-employment,applying the applicable benefit calculation formulas and reduction factorscontained elsewhere in this document.

This recomputed benefit will be paid as of the first month of the following Planyear.

Twin City Carpenters Pension Plan Partial Benefits

24

PARTIAL BENEFITS

Eligibility

If you terminate your employment with all participating employers before you areeligible to receive Normal or Early Retirement Benefits, you may be eligible to receive aPartial Benefit. You will be eligible to receive a Partial Benefit if:

1. You cease to be employed by an Employer within the jurisdiction of theFund, other than by reason of death, or under circumstances where Totaland Permanent Disability Benefits are payable under the Plan;

2. You have had, prior to your application for Partial Benefits, at least five (5)Years of Service and shall not have accrued at least one (1) Hour ofService on or after January 1, 1999; and

3. You have reached age 55.

The Partial Benefit is a percentage of the monthly Normal or Early RetirementBenefit which is earned at the time of your termination in accordance with the followingschedule:

Non-Forfeited Percent of EarnedYears of Service Normal Retirement Benefit

5 but less than 6 50%6 but less than 7 60%7 but less than 8 70%8 but less than 9 80%9 but less than 10 90%

The Partial Benefit is a monthly benefit beginning on the first day of the monthfollowing the month in which you reach age 62 and shall continue for your lifetime withthe last payment being made in the month of your death. If you elect to receive thePartial Benefit earlier than age 62, the monthly Benefit than payable when you do reachage 62 will be actuarially reduced in accordance with the Early Retirement Provisionscovered previously (starting on page 16). Your Partial Benefit will be payable monthlyfor your lifetime with the last payment to be made on the first day of the calendar monthin which you die.

If you return to work with a participating employer after you have applied for andbeen approved for a Partial Benefit but before the actual payments begin your benefitsas previously computed shall be void and you may receive additional Service Creditonce employer contributions are again made to the trust fund on your behalf.

Twin City Carpenters Pension Plan Partial Benefits

25

If you terminate employment with all participating employers in the jurisdiction ofthe Plan before you have at least five (5) years of Service you will NOT be entitled toany benefits under the Partial Benefits provision.

Twin City Carpenters Pension Plan Death Benefits

26

DEATH BENEFITS

Your beneficiary may be entitled to a Death Benefit if you die, even if you dieafter receiving some Normal or Early Retirement Benefits.

Pre-Retirement

If you die before you receive any Normal or Early Retirement Benefits yoursurviving spouse or beneficiary may be entitled to receive a Pre-Retirement DeathBenefit.

If you and your spouse were married for the full twelve (12) month period prior tothe date of your death, your spouse will be considered a qualified surviving spouse. Ifeligible, your qualified surviving spouse will automatically receive the Pre-RetirementDeath Benefit unless you designate an alternate person as beneficiary and your spouseconsents (in writing) to that designation.

If benefits are not payable to your spouse, they will be payable to your eligibledesignated beneficiary. You may choose any one or more persons as yourbeneficiary(ies). The form, amount and commencement date of the benefit paymentsdepend upon various factors, including the date of your death.

Early Survivor Pension

If your death occurs after you become eligible for either the Normal or EarlyRetirement Benefit but before you actually commence receiving benefit payments, yourqualified surviving spouse, if you have one, will be entitled to any Early SurvivorPension. The Early Survivor Pension is a pension under which your surviving spousewill receive payments as if you had retired with an immediate Joint and 100% SurvivorBenefit on the day before your death. (However, if the participants death occurred on orbefore December 31, 1999, the benefit would have been a Joint and 50% SurvivorBenefit).

The benefit payments will begin on the first day of the calendar month followingyour death if a completed application and proper proof of death is timely submitted tothe Administration Office. The benefit payments will continue for the lifetime of yourspouse with the last payment made in the calendar month in which your spouse dies.

Qualified Pre-Retirement Survivor Annuity

If your death occurs after you are vested but before you are eligible for the EarlyRetirement Benefit and provided you earned at least one (1) hour of Service on or after8/23/84, your qualified surviving spouse, if you have one, will be entitled to receive aQualified Pre-Retirement Survivor Annuity in the form of monthly payments equal to theSurvivor Benefit under the Joint and 100% Survivor Option form. The benefit paymentswill begin on the first day of the month during which you would have reached age 55 if


27

you had lived. Alternatively, your spouse may elect to receive her payment earlier.That payment will be actuarially reduced to reflect this early payment. The benefitpayments will continue for the lifetime of your spouse with the last payment made in thecalendar month in which your spouse dies.

In lieu of the monthly payments, your spouse may be eligible to receive a lumpsum payment equal to a percentage of the total non-forfeited Employer Contributionsmade on your behalf (determined by using the schedule below). Your spouse maychoose this benefit if the amount of the lump sum is at least equal to the present valueof the monthly payments computed under the Qualified Pre-Retirement SurvivorAnnuity.

If the participants death occurred on or before December 31, 1999, the benefitwould have been a Joint and 50% Survivor Benefit.

Lump Sum Return of Contributions

If your death occurs after you have earned at least five (5) years of Service butprior to the time you become entitled to the Normal or Early Retirement Benefit, yourbeneficiary will be entitled to receive a Pre-Retirement Death Benefit in the form of alump sum return of a portion of the employer contributions made on your behalf.

Please note, though, that all participants who accrue at least one Hour of Serviceon or after January 1, 1999, and who have earned at least five (5) Years of Service willbe eligible for Early or Normal Retirement Benefits at or after age 55. Thus, in thosecases your beneficiary will be entitled to receive the other form of death benefitsdescribed in this booklet.

The Lump Sum Benefit will be figured in accordance with the following chart:

Percentage of ContributionsYears of Non-Forfeited Service Made During Those Years

less than 5, but with more 50%than $2,000 in contributionson your behalf

5 but less than 6 50%6 but less than 7 60%7 but less than 8 70%8 but less than 9 80%9 but less than 10 90%10 or more 100%

This benefit is not payable if you are survived by a qualified surviving spouse. Inthat case, your spouse will receive the benefits described in the previous sections.


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Post-Retirement

If you die after having received some Normal or Early Retirement Benefits yourbeneficiary may be entitled to a Post-Retirement Death Benefit provided that thebeneficiary presents proper proof of death to the Trustees and that your spouse is noteligible to receive any Joint and 50%, 75% or 100% Survivor Benefits.

The Post-Retirement Death Benefit payable to your eligible beneficiary will be aone-time lump sum payment equal to the difference between the percentage of theemployer contributions made on your behalf in accordance with the previous scheduleunder “Lump Sum Return of Contributions” and the total amount of any monthlyretirement payments you have received before your death.

For example:

Assume you die with 10 years of Service after receiving one monthly retirementpayment of $800.00. $20,000 in employer contributions had been made on yourbehalf. Your beneficiary will be entitled to a Post-Retirement Death Benefit of$19,200 computed as follows:

Employer contributions $20,000Percentage from schedule x 100%

$20,000Less total retirement payments - 800Post-Retirement Death Benefits $19,200

Twin City Carpenters Pension Plan Plan Administration

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PLAN ADMINISTRATION

Pension Benefits and Social Security

Any retirement income benefits you receive under this plan should, undernormal circumstances, have no effect on your rights to Social Security Benefits.

In addition to any retirement income benefits you receive under this plan, youand your spouse, if eligible, may also receive Social Security benefits. Social Securitypayments are an important part of your retirement income. They are provided by equalcontributions made by you and your employer during your working years.

You should contact your local Social Security office to find out more about yourSocial Security benefits.

Claims For Benefits

You must apply for benefits before your payments can begin.

You must apply for benefits payable under this plan before the time you canbecome eligible to receive those benefits. You may inquire about the application foryour benefits (Normal, Early or Unreduced Early (Rule of 88) Retirement) up to 12months in advance of your eligibility for the benefit. However, you may not formallyelect your benefit until 90 days prior to eligibility for the specific benefit. You shouldnotify, in writing, the Trustees or the office of the Administrator of the Plan. This noticewill enable the Trustees to begin to determine your eligibility for and amount of benefit.Within seven (7) days of receipt of your notice of claim, the Administrator will send youall the proper application forms along with all questions relative to your application. TheAdministrator will also send you an explanation of the Joint and Survivor Options andthe effects of the 50% option and failure to waive that option. You should read thismaterial carefully, complete the application forms fully and return them to theAdministrator as soon as possible since no benefits can begin until the Trustees receiveand approve your application.

You or your beneficiary may also be required to supply the Trustees with certaininformation in support of your application. Such information may include proof of yourage, proof of your death, and proof of marriage.

Mandatory Distributions upon Attaining Age 70 1/2

Federal law requires you to begin to receive your pension benefits by April 1 ofthe calendar year following the calendar year in which you reach the age of 70 1/2, or iflater, the year in which you retire (i.e., no longer are working in the trade). Five percentowners of companies (as defined in Internal Revenue Code Section 416) mustcommence the receipt of benefits by April 1 of the calendar year following the calendar


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year in which that individual attains age 70 1/2, regardless of whether or not theindividual has retired.

Except in the case of this mandatory distribution, you must complete theapplication form provided by the Plan Administrator and have it approved by the Boardof Trustees in order to receive benefits from the Plan.

Distribution of Small Pensions

If you are eligible for a retirement benefit under this Plan and it’s present value isless than $5,000, the benefit will be paid to you in a lump sum. You may rollover thislump sum amount into another retirement plan. The Administrator will provide you withrollover information prior to the distribution being made.

Distribution Under a Qualified Domestic Relations Order

Generally, your benefits in the Plan are payable only to you, your spouse, or yourchosen beneficiary. In certain cases, if you divorce, the court may order that a portionor all of your benefits are payable to your ex-spouse or children (referred to as"Alternate Payees" in the court order). If the Plan Administrator determines that theorder is a "qualified domestic relations order" as defined below, payments will be madeto the alternate payee as required by that order.

A qualified domestic relations order, or "QDRO", is a court order granting analternate payee the right to receive some or all of a participant's benefits in a retirementplan such as this one. The order must satisfy each of the following requirements:

1. It must contain the names and last known mailing address for theparticipant and alternate payee(s).

2. It must set forth the amount or percentage of the participant's benefits thatare assigned to the alternate payee(s).

3. It must describe the period to which it applies, e.g., the period of themarriage.

4. It must specify that it applies to this Plan.

A QDRO may not:

1. Require the Plan to provide any type or form of benefits it does nototherwise provide;

2. Require the Plan to pay more benefits than it would if the order did notexist; and

3. Require the Plan to pay the same benefits to an alternate payee whichhave been assigned to another alternate payee by a prior QDRO.


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If the Trustees receive such a court order, the Plan Administrator will promptlynotify you and any alternate payee that the order has been received and will describethe Plan's procedure for determining whether the order is a qualified domestic relationsorder.

Naming a Beneficiary

When you become a participant in the Plan you will be asked to complete abeneficiary form. If you are not married, you can name anyone you wish to receive yourpension benefit in the event of your death, and you may change your beneficiary at anytime by simply filling out a new form and returning it to the Fund Office. If you aremarried, your spouse is automatically your beneficiary, but this designation may bechanged if your spouse consents in writing to that change. You may obtain aBeneficiary Designation Form upon request from the Plan Administrator.

If you do not complete the beneficiary form, or if your designated beneficiarydoes not outlive you, your benefits will be payable to the first class of beneficiaries witha member surviving you:

1. Your spouse;

2. Your surviving children or the surviving children of one of your deceasedchildren; or

3. Your estate

Any designation of a beneficiary will not be effective unless the designationincludes the name, Social Security number, and address of the beneficiary, as well as adescription of the beneficiaries relationship to you. An otherwise effective designationof a beneficiary will become immediately ineffective if the relationship indicated on thedesignation ceases.

Twin City Carpenters Pension Plan Other Plan Features

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OTHER PLAN FEATURES

Participant Responsibilities

Most information about this Plan is sent to you by mail. To ensure you receivethis information, we need your correct address on file at all times. If you move, it is yourresponsibility to notify the Fund Office of your new address. You may request a changeof address card from the Plan Administrator, or you can call (952) 854-0795.

If your marital status changes or there are other changes in your personal lifewhich affect the name of your beneficiary, contact the Fund Office. You may changeyour beneficiary at any time by completing a beneficiary change form available from theFund Office.

Assignment of Benefits and Qualified Domestic Relations Orders

Generally, your benefits may not be assigned or alienated. In other words, yourfunds in the Plan may not be sold, used as a collateral for a loan, given away ortransferred. In addition, your creditors may not attach, garnish or secure funds fromyour account. An exception to this rule exists when a court issues a Qualified DomesticRelations Order, as discussed above in the section titled "Distribution Pursuant to aQualified Domestic Relations Order."

Applying for Benefits

You, or in the event of your death, your spouse or beneficiary must apply forbenefits from the Plan. An application form is available from the Fund Office. Thecompleted application form and all necessary documents must be delivered to the FundOffice before any benefits will be paid.

Notification of Benefit Determination

Within 90 days after receiving a complete application for a benefit other than adisability benefit, the Plan will notify you or your beneficiary of (1) its decision or (2) a90-day extension of the decision required by special circumstances (as well as adescription of the special circumstances requiring the extension and the expecteddecision date). Within any such extension period, the Plan will notify you or yourbeneficiary of its decision.

Within 45 days of receiving a complete application for a disability benefit, thePlan will notify you of (1) its decision or (2) a 30-day extension of the decision requiredby matters beyond the Plan’s control (as well as a description of the circumstancesrequiring the extension and the expected decision date). Within any such extensionperiod, the Plan will notify you of (1) its decision or (2) an additional 30-day extensionrequired because the Plan needs additional information from you (as well as adescription of the circumstances requiring the extension and the expected decision


33

date). Any such extension will specifically explain the standards required for receivingthe benefit, the unresolved issues preventing a decision, the additional informationneeded to resolve those issues, and that you have 45 days to provide any specifiedinformation the Plan needs from you.

If a claim is denied in whole or in part, the notice will be written in a mannercalculated to be understood by you or your beneficiary and will:

1. Provide the specific reasons the claim was denied;

2. Reference the specific Plan provision(s) on which the determination wasbased;

3. Describe any additional material or information needed to perfect the claimand an explanation of why the material or information is necessary;

4. Describe the Plan’s review procedures and the time limits for theseprocedures and indicate that you or your beneficiary has the right to sueunder Section 502(a) of ERISA if the claim is denied on appeal.

5. If an internal rule was relied upon by the Plan in denying a claim for adisability benefit, either provide a copy of the rule or state that you canobtain copy of the rule, upon request and free of charge, from the Plan;and

6. If the denial of claim for disability benefits was based on a medicalnecessity or experimental treatment or similar exclusion or limit, eitherprovide an explanation of the scientific or clinical judgment for thedetermination (applying the terms of the Plan to your medicalcircumstances) or state that you can obtain that explanation, upon requestand free of charge, from the Plan.”

Filing a Claim Appeal

You or your beneficiary will have 60 days (or, in the case of a claim for disabilitybenefits, 180 days) after receiving notice of an adverse benefit determination to submita written appeal of the determination to the Plan Administrator explaining why thedetermination should be reviewed. In support of the appeal, you or your beneficiary (ora duly authorized representative) may submit written comments, documents, records,and other information relating to the claim for benefits which you or your beneficiarybelieves will support the claim but will not have the right to make a personal appearancebefore the Trustees or the Claim Appeals Committee. Upon request and free of charge,you or your beneficiary (or a duly authorized representative) will receive reasonableaccess to and copies of all documents, records, and other information relevant to theclaim. The review will take into account all comments, documents, records, and otherinformation submitted relating to the claim regardless of whether they were submittedbefore the adverse benefit determination.


34

Furthermore, if the appeal relates to a claim for disability benefits, the review willnot be influenced by the fact that the claim was initially denied and will be conducted bya Claim Appeals Committee including no one who made the adverse benefitdetermination or who reports to the individual or committee that made the adversebenefit determination. Furthermore, if the appeal relates to an adverse benefitdetermination that was based at least in part on a medical judgment (including ajudgment about whether a particular treatment, drug, or other item is experimental,investigational, or not medically appropriate or necessary), the Claim AppealsCommittee will consult with a healthcare professional who is trained and experienced inthe field of medicine involved in that medical judgment and who was not consulted inconnection with the adverse benefit determination and who does not report to anyonewho was so consulted. Upon request, the Plan will identify any healthcare professionalthat the Claim Appeals Committee consulted in relation to the claim.

The Claim Appeals Committee will review the appeal at its next regularlyscheduled meeting after the Plan Administrator receives the appeal, unless the PlanAdministrator receives the appeal within 30 days of that meeting. In that case, theClaim Appeals Committee will review the appeal at the second regularly scheduledClaim Appeals Committee meeting after the Plan Administrator receives the appeal. Ifspecial circumstances require a further extension of time for processing, the Plan willnotify you or your beneficiary of the extension in writing (describing the specialcircumstances and the expected decision date) before the extension begins, and theClaim Appeals Committee will review the appeal no later than the third regularlyscheduled Claim Appeals Committee meeting after the Plan Administrator receives theappeal.

Once the Claim Appeals Committee reviews the appeal, the Plan will notify youor your beneficiary (or a duly authorized representative, if any) of the Claim AppealsCommittee’s decision within 5 days. The notification of any denied appeal will bewritten in a manner calculated to be understood by you or your beneficiary and will:

1. Provide the specific reason or reasons for the denial of the appeal;

2. Reference the specific Plan provisions on which the denial isbased;

3. State that you or your beneficiary has the right to receive, uponrequest and free of charge, reasonable access to and copies of alldocuments, records, and other information relevant to the claim;

4. State that you or your beneficiary has the right to bring a civil actionunder Section 502(a) of ERISA;

5. If an internal rule was relied upon by the Plan in denying an appealfor a disability benefit, either provide a copy of the rule or state that


35

you or your beneficiary can obtain a copy of the rule, upon requestand free of charge, from the Plan; and

6. If an appeal for a disability benefit was denied based on a medicalnecessity or experimental treatment or similar exclusion or limit,either provide an explanation of the scientific or clinical judgmentfor the determination (applying the terms of the Plan to you or yourbeneficiary medical circumstances) or state that you or yourbeneficiary can obtain that explanation, upon request and free ofcharge, from the Plan.

The procedures specified in this section will be the sole and exclusiveprocedures available to you or your beneficiary when dissatisfied with an eligibilitydetermination or benefit award or who is otherwise adversely affected by any action ofthe Trustees or the Claim Appeals Committee.

Amendment and Termination

This Plan may be amended at any time by the Trustees. Amendments may bemade for the purpose of improving, reducing, or eliminating benefits; complying withchanges in pension laws; or any other reason the Trustees deem to be prudent.

Generally, though, no amendment may reduce benefits that you have earnedprior to the date of the amendment.

Similarly, the Trustees may terminate this plan, in whole or in part, if the Trusteesbelieve that the Trust Fund is inadequate to serve its intended purpose or pay benefitsunder the Plan; there are no living individuals who can qualify as eligible employees;upon agreement of all the employers and unions who have signed the trust agreement;or as otherwise provided by law. If that occurs, each participant will be fully vested in,and so have non-forfeitable rights to, the benefits earned through termination. Planassets will be used to pay administrative expenses and benefits accrued under the planand will be allocated according to a formula set forth in the Plan document. Generallyspeaking, assets are first allocated to Plan administrative expenses, then to pensionbenefits, then to other Plan benefits guaranteed under Title IV of ERISA, then to othervested benefits under this Plan, then to all other benefits under this Plan.

Twin City Carpenters Pension Plan Plan Information

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PLAN INFORMATION

Plan Name

The name of the Plan is the Twin City Carpenters Pension Plan.

Plan Number

The number assigned to this Plan by the Trustees is 001. The Internal RevenueService and Department of Labor identify this Plan by its name and the number: 41-6043137.

Type of Plan

This Plan is known as a defined benefit pension plan.

Type of Administration

The Plan is administered by a third-party administrator designated by theTrustees:

Wilson-McShane Corporation3001 Metro Drive, Suite 500Bloomington, Minnesota 55425Phone (952) 854-0795

Service of Legal Process

The name and address of the agent who the Trustees have appointed for serviceof legal process is:

Matthew Winkel, AdministratorWilson-McShane Corporation3001 Metro Drive, Suite 500Bloomington, Minnesota 55425Phone (952) 854-0795

Also, service of legal process may be made upon any of the Trustees.

Union and Association

The names and addresses of the Union and the Association are:

Lakes and Plains Regional Council of Carpenters & Joiners700 Olive Street

St. Paul, MN 55130-9825


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Carpentry Contractors’ Association620 Rosedale Towers1700 West Highway 36Roseville, MN 55113

Associated General Contractors of MinnesotaCapital Office Building525 Park Street, Suite 110St. Paul, MN 55103-2186

Pension Benefit Guaranty Corporation Insurance

Your pension benefits under this multiemployer plan are insured by the PensionBenefit Guaranty Corporation (PBGC), a federal insurance agency. A multiemployerplan is a collectively bargained pension arrangement involving two or more unrelatedemployers, usually in a common industry.

Under the multiemployer plan program, the PBGC provides financial assistancethrough loans to plans that are insolvent. A multiemployer plan is considered insolventif the plan is unable to pay benefits (at least equal to the PBGC’s guaranteed benefitlimit) when due.

The maximum benefit that the PBGC guarantees is set by law. Under themultiemployer program, the PBGC guarantee equals a participant’s years of servicemultiplied by (1) 100% of the first $11 of the monthly benefit accrual rate and (2) 75% ofthe next $33. The PBGC’s maximum guarantee limit is $35.75 per month times aparticipant’s years of services. For example, the maximum annual guarantee for aretiree with 30 years of services would be $12,870.

The PBGC guarantee generally covers: (1) Normal and early retirement benefits;(2) disability benefits if you become disabled before the Plan becomes insolvent; and (3)certain benefits for your survivors.

The PBGC guarantee generally does not cover: (1) Benefits greater than themaximum guaranteed amount set by law; (2) benefit increases and new benefits basedon Plan provisions that have been in place for fewer than 5 years at the earlier of: (i)The date the plan terminates or (ii) the time the plan becomes insolvent; (3) benefitsthat are not vested because you have not worked long enough; (4) benefits for whichyou have not met all of the requirements at the time the plan becomes insolvent; and (5)non-pension benefits, such as health insurance, life insurance, certain death benefits,vacation pay, and severance pay.

For more information about the PBGC and the benefits it guarantees, ask yourPlan Administrator or contact the PBGC’s Technical Assistance Division, 1200 K StreetNW, Suite 930, Washington DC 20005-4026 or call 202-326-4000 (not a toll free


38

number). TTY/TTD users may call the federal relay service toll free at 1-800-877-8339and ask to be connected to 202-326-4000. Additional information about the PBGC’spension insurance program is available through the PBGC’s web site on the Internet athttp://www.pbgc.gov.

Plan Year

The plan year is a 12-month period beginning January 1 and ending December31.

Contributing Employers

The names of the Employers contributing to this Plan are available to participantsand their beneficiaries at any time by simply writing to the Trustees or the PlanAdministrator.

If you and your beneficiaries would like to know if an employer or employeeorganization is a contributor to the Plan, you may request that information in writing fromthe Trustees or the Plan Administrator.

Collective Bargaining Agreement

The Plan is maintained pursuant to collective bargaining agreements betweenthe Employers and the Union. All collective bargaining agreements are available fromthe Plan Administrator upon written request and are available for examination byParticipants and beneficiaries. In addition, participants and beneficiaries may receivefrom the Plan Administrator, upon written request, information (including a sponsor’saddress) as to whether a particular employer or employee organization is a sponsor ofthe Plan.

Plan Assets and Management

The Plan assets are held in a trust fund administered by the Board of Trustees.The Trustees are responsible for the investments of the Fund, and selection of aninvestment manager(s) for the trust and payment of Plan benefits.

Eligibility and Benefits

The types of benefits provided and the Plan’s requirements with respect toeligibility as well as circumstances that may result in disqualification, ineligibility, ordenial or loss of benefits as generally described in this booklet are contained in the PlanDocument available at the Plan Administrator’s Office.

Twin City Carpenters Pension Plan Your Rights Under ERISA

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YOUR RIGHTS UNDER ERISA

As a Participant in the Twin City Carpenters & Joiners Pension Fund, you areentitled to certain rights and protections under the Employee Retirement IncomeSecurity Act of 1974 (ERISA). ERISA provides that all plan Participants shall be entitledto:

Receive Information About Your Plan and Benefits

Examine, without charge, at the plan administrator's office and at other specifiedlocations, such as worksites and union halls, all documents governing the plan,including insurance contracts and collective bargaining agreements, and a copy of thelatest annual report (Form 5500 Series) filed by the plan with the U.S. Department ofLabor and available at the Public Disclosure Room of the Employee Benefits SecurityAdministration.

Obtain, upon written request to the plan administrator, copies of documentsgoverning the operation of the plan, including insurance contracts and collectivebargaining agreements, and copies of the latest annual report (Form 5500 Series) andupdated summary plan description. The administrator may make a reasonable chargefor the copies.

Receive a summary of the plan's annual financial report. The plan administratoris required by law to furnish each Participant with a copy of this summary annual report.

Obtain a statement telling you whether you have a right to receive a pension atnormal retirement age (age 65) and if so, what your benefits would be at normalretirement age if you stop working under the plan now. If you do not have a right to apension, the statement will tell you how many more years you have to work to get aright to a pension. This statement must be requested in writing and is not required to begiven more than once every twelve (12) months. The plan must provide the statementfree of charge.

Prudent Actions by Plan Fiduciaries

In addition to creating rights for plan participants, ERISA imposes duties upon thepeople who are responsible for the operation of the employee benefit plan. The peoplewho operate your plan, called "fiduciaries" of the plan, have a duty to do so prudentlyand in the interest of you and other plan participants and beneficiaries. No one,including your employer, your union, or any other person, may fire you or otherwisediscriminate against you in any way to prevent you from obtaining a pension benefit orexercising your rights under ERISA.

Twin City Carpenters Pension Plan Your Rights Under ERISA

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Enforce Your Rights

If your claim for a pension benefit is denied or ignored, in whole or in part, youhave a right to know why this was done, to obtain copies of documents relating to thedecision without charge, and to appeal any denial, all within certain time schedules.

Under ERISA, there are steps you can take to enforce the above rights. Forinstance, if you request a copy of plan documents or the latest annual report from theplan and do not receive them within 30 days, you may file suit in a Federal court. Insuch a case, the court may require the plan administrator to provide the materials andpay you up to $110 a day until you receive the materials, unless the materials were notsent because of reasons beyond the control of the administrator. If you have a claim forbenefits which is denied or ignored, in whole or in part, you may file suit in a state orFederal court. In addition, if you disagree with the plan's decision or lack thereofconcerning the qualified status of a domestic relations order or a medical child supportorder, you may file suit in Federal court. If it should happen that plan fiduciaries misusethe plan's money, or if you are discriminated against for asserting your rights, you mayseek assistance from the U.S. Department of Labor, or you may file suit in a Federalcourt. The court will decide who should pay court costs and legal fees. If you aresuccessful the court may order the person you have sued to pay these costs and fees. Ifyou lose, the court may order you to pay these costs and fees, for example, if it findsyour claim is frivolous.

Assistance with Your Questions

If you have any questions about your plan, you should contact the planadministrator. If you have any questions about this statement or about your rights underERISA, or if you need assistance in obtaining documents from the plan administrator,you should contact the nearest office of the Employee Benefits Security Administration,U.S. Department of Labor, listed in your telephone directory or the Division of TechnicalAssistance and Inquiries, Employee Benefits Security Administration, U.S. Departmentof Labor, 200 Constitution Avenue N.W., Washington, D.C. 20210. You may also obtaincertain publications about your rights and responsibilities under ERISA by calling thepublications hotline of the Employee Benefits Security Administration.

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