Common use of Vesting of a Participant Clause in Contracts

Vesting of a Participant. Except in the case of Plans subject to full and immediate vesting, a Participant's vested amount shall be calculated by multiplying his Regular Account balance, Employer Discretionary Contribution Account balance, and Employer Matching Contribution Account balance, if any, as determined on the Valuation Date following his termination of employment by his vested interest as determined under Section 7. 1. In order to determine the vested interest of a Participant after a Service Break, the following rules shall apply: (a) Subject to (b) below, a former Participant who had a nonforfeitable right to all or a portion of the account balance derived from Employer contributions at the time of the Participant's termination will receive credit for all years of Service prior to a Service Break if the Participant completes a year of Service after returning to the employ of the Employer. (b) In the case of a Participant who have five (5) or more consecutive one (1) year Service Breaks, all Service after such Service Breaks will be disregarded for the purpose of vesting the Employer-derived account balance that accrued before such Service Breaks. Such Participants' pre-Service Break Service will count in vesting the post-Service Break Employer-derived account balance only if (1) such Participant has any nonforfeitable interest in the account balance attributable to Employer contributions at the time of separation from service, or (2) upon returning to service the number of consecutive one (1) year Service Breaks is less than the number of years of Service. Separate accounts will be maintained for the Participant's pre-Service Break and post-Service Break Employer-derived account balance. Both accounts will share in the earnings and losses of the Fund.