SUMMARY PLAN DESCRIPTION
2002 EDITION

Introduction

The Board of Trustees of the Sheet Metal Workers’ National Pension Fund is pleased to offer you a retirement plan designed to reward your years of service. This Summary Plan Description has been prepared to provide you with information about your Plan.

The primary objective of the Plan is to provide a steady and secure source of retirement income to members of the Sheet Metal Workers' International Association (SMWIA). The Plan is maintained pursuant to collective bargaining agreements between various Local Unions of the SMWIA and employers in the sheet metal industry.

This type of retirement plan is called a defined benefit plan. In a defined benefit plan, the employers’ contributions are combined to fund the benefits described in the Plan’s benefit formula. This differs from a defined contribution plan (like a 401(k) plan), where the employers’ contributions are placed in a separate account for each participant and the participant’s benefit is based on the investment performance of his or her account.

Please note, as you read through this booklet, that the benefits described apply to Participants who are active Plan Participants as of January 1, 2000. Important improvements have been made to the Plan since the last time a Summary Plan Description was published. These include:

·      An improvement in the benefit formula for pension credit beginning on or after January 1, 2000,

·      A pop-up feature for Husband-and-Wife Pensions that provides an increase in your pension to the amount you would have received without the Husband-and-Wife Pension form of payment if your spouse dies before you,

·      A choice of a 100% Husband-and-Wife Pension that provides a reduced pension to you for your life and a pension to your surviving spouse of 100% of the amount you were receiving before your death, and

·      A 55/30 Pension that provides an unreduced pension at age 55 if your Local Union has agreed to adopt the 55/30 Pension, your Employer contributes at the 55/30 Rate and you meet certain other requirements.