Stark Bank Group Enrollment Booklet

Your share of our non-matching discretionary contribution is determined by the following fraction:

Employer's

X

Your Compensation

Discretionary Contribution

Total Compensation of All Participants Eligible to Share

For example: Suppose our non-matching discretionary contribution for the Plan Year is $20,000. Employee A's compensation for the Plan Year is $25,000. The total compensation of all participants eligible to share, including Employee A, is $250,000. Employee A's share will be:

$25,000

$20,000

X

or $2,000

$250,000

These contributions will vest (your ownership rights) in accordance with the vesting schedule. (See the question "What is my vested interest in my account?" found in the Article of this SPD entitled "Retirement Benefits" for an explanation of your ownership rights.)

In addition to our contributions made to your account, your account will be credited annually with a share of the investment earnings or losses of the trust fund.

What compensation is used to determine my Plan benefits?

For the purposes of the Plan, compensation has a special meaning. Compensation is defined as your total compensation paid to you by us during a Plan Year that is subject to income tax, that is, all your compensation reported on your W-2 Form. However, the following adjustments to Compensation will be made by:

 excluding reimbursements or other expense allowances, fringe benefits, moving expenses, deferred compensation, and welfare benefits.

 including your salary reduction contributions to any plan or arrangement maintained by your Employer.

 excluding Compensation paid during the Plan Year while you are not a Participant in the component of the Plan for which Compensation is being used.

 including wage continuation payments (referred to as differential pay) for qualified service in the military

 including the following amounts (to the extent they would otherwise be taken into account under the definition of Compensation above) that are paid after you terminate employment with the Employer, provided the payments are made within the later of 2 1/2 months after you terminate employment or the end of the year that includes the date of your termination of employment. Any other payment that is made after termination of employment is not treated as Compensation.

7