GLOSSARY                                                                                      [ESOP] [ESOP Description] [Contact Information]

CONTRIBUTIONS

Either cash or stock added to the ESOP trust.  Contributions come from the company.  The Company intends to make annual contributions to the plan. 

DIVIDEND

Paid on a per share basis annually at the discretion of the Board of Directors.

ESOP

Employee Stock Ownership Plan is a qualified pension / retirement plan governed by ERISA.

ERISA

Employee Retirement Income Security Act (1974) is a federal law that sets minimum standards for most voluntarily established pension and health plans in private industry and it provides protection for individuals in these plans.

FORFEITURE

Amount of non-vested stock and cash returned to the ESOP trust from employees who have left the company.

NORMAL RETIREMENT AGE

65 years of age and 5 years of service.

OWNER

An owner is an individual or entity holding stock in a company.

PARTICIPANT

A participant is an employee who meets all requirements of the plan to receive allocations from the trust.

PLAN YEAR

January 1 through December 31, same as a calendar year.

SUB S DISTRIBUTIONS

Distributions paid to the ESOP on a per share basis based on the net income of the company.

SUMMARY PLAN DESCRIPTION (SPD)

A document intended to inform participants of important terms and provisions of the plan.  The Summary Plan Description is distributed to all new participants.  Also available from the Human Resource’s Office.

YEAR OF SERVICE

A 12-month period during which an employee works at least 1,000 hours.