Page:United States Statutes at Large Volume 101 Part 2.djvu/1154

 101 STAT. 1330-360

PUBLIC LAW 100-203—DEC. 22, 1987

distribution of plan assets to the employer which are adopted after 1 year after the effective date of such amendments made by paragraph (1). Such amendment shall not apply to any provision of the plan adopted on or before December 17, 1987, which provides for the distribution of plan assets to the employer. (b) DISTRIBUTION OF ASSETS ATTRIBUTABLE TO EMPLOYEE CONTRIBU-

TIONS.—Section 4044(d) of ERISA (29 U.S.C. 1344(d)) is amended— (1) in paragraph (1), by striking "Any" and inserting "Subject to paragraph (3), any"; and (2) by striking paragraph (3) (as redesignated by subsection (c)(1)) and inserting the following new paragraph: "(3)(A) Before any distribution from a plan pursuant to paragraph (1), if any assets of the plan attributable to employee contributions 0;fcii f;i 0'; 5 remain after satisfaction of all liabilities described in subsection (a), such remaining assets shall be equitably distributed to the participants who made such contributions or their beneficiaries (including alternate payees, within the meaning of section 206(d)(3)(K)). "(B) For purposes of subparagraph (A), the portion of the remaining assets which are attributable to employee contributions shall be an amount equal to the product derived by multiplying— "(i) the market value of the total remaining assets, by "(ii) a fraction— «lijV^ "(I) the numerator of which is the present value of all portions of the accrued benefits with respect to participants which are derived from participants' mandatory contribu,^. "j tions (referred to in subsection (a)(2)), and "(II) the denominator of which is the present value of all ^,:; benefits with respect to which assets are allocated under paragraphs (2) through (6) of subsection (a). "(C) For purposes of this paragraph, each person who is, as of the termination date— "(i) a participant under the plan, or "(ii) an individual who has received, during the 3-year period ending with the termination date, a distribution from the plan of such individual's entire nonforfeitable benefit in the form of a single sum distribution in accordance with section 203(e) or in the form of irrevocable commitments purchased by the plan oiJElyati^; from an insurer to provide such nonforfeitable benefit, shall be treated as a participant with respect to the termination, if all or part of the nonforfeitable benefit with respect to such person is or was attributable to participants' mandatory contributions (referred to in subsection (a)(2))." (c) TECHNICAL AMENDMENT.—Section 404405X4) of ERISA (29 U.S.C. 1344(b)(4)) is amended by striking "section 401(a), 403(a), or 405(a)" and inserting "section 401(a) or 403(a)". 29 USC 1344 (d) EFFECTIVE DATE.—The amendments made by this section shall note. apply with respect to— (1) plan terminations under section 4041(c) of ERISA with under section 4041(a)(2) of ERISA after December 17, 1987, and (2) plan terminations with respect to which proceedings are instituted by the Pension Benefit Guaranty Corporation under section 4042 of ERISA after December 17, 1987.
 * 5 g; 7 |>Crespect to which notices of intent to terminate are provided

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