NOTE: Flying Solo has editedNotice 97-11 for simplicity and has removed all statutoryreferences. Before taking any steps with regard to dividing anyqualified plan, we recommend that you consult with a qualifiedprofessional and fully read and understand Notice 97-11 and therelevant statutes and cases.

A qualified domestic relationsorder (QDRO) is an order issued in connection with a matrimonialcase that provides for payments of benefits from a qualified planto a spouse, former spouse, child or other dependent of a planparticipant and that meets certain requirements. Because of theconfusion generated by these orders, the Internal Revenue Serviceissued Notice 97-11 which contains information designed to helpmatrimonial lawyers, spouses and former spouses, and planadministrators simplify the drafting and review process ofQDRO’s which relate to plans that are qualified underSection 401(a)(13).

GENERAL BACKGROUND

Generally, benefits under aqualified plan may not be assigned or alienated, but there is anexception to this rule so long as assignments are made inaccordance with domestic relations orders that constitute"QDRO’s" within the meaning of Section 414(p).

"Domestic relationsorder" is defined as any judgment, decree, or order --including the approval of a property settlement agreement -- that(i) relates to providing child support, alimony payments, ormarital property rights to a spouse, former spouse, child, orother dependent of a participant, and (ii) is madepursuant to a State domestic relations or community property law.

The law provides that a domesticrelations order will still be a QDRO if the order requirespayment of benefits to an alternate payee on or after the planparticipant's earliest retirement age, even if the planparticipant has not separated from service at that time."Earliest retirement age" as the earlier of (i) thedate on which the plan participant is entitled to a distributionunder the plan, or (ii) the later of (I) the date the planparticipant attains age 50, or (II) the earliest date on whichthe plan participant could begin receiving benefits under theplan if the plan participant left his or her employment.

The law also permits a QDRO toprovide that the participant's former spouse will betreated as the plan participant's surviving spouse for purposeswhen it comes to the right to receive survivor benefits and therequirements concerning consent to distributions -- and that anyother spouse of the participant shall not be treated as a spouseof the participant for those purposes. "Alternatepayee" is defined as any spouse, former spouse, childor other dependent of a participant who is recognized by adomestic relations order as having a right to receive all, or aportion of, the benefits payable under a plan with respect to aparticipant. The law authorizes a plan to satisfy theserequirements by making payments to an alternate payee pursuant toa QDRO.

The Small Business Job ProtectionAct of 1996 directed the Secretary of the Treasury to develop andpublish sample language for inclusion in a sample form QDRO thatmeets the above requirements. The sample language for use inspousal consent forms is contained in Notice 97-10. Notice 97-11,including its Appendix, is intended to provide examples oflanguage that may be (but are not required to be) used indrafting a QDRO that satisfies these requirements.

APPENDIX

Part I of the Appendix coverscertain issues that are relevant in drafting a qualified domesticrelations order ("QDRO"). Part II contains samplelanguage that can be used in a QDRO. However, the discussion andsample language do not address every issue that may arise indrafting a QDRO. Also, some parts of the discussion are notrelevant to all situations and some parts of the sample languageare not appropriate for all QDROs. In formulating a particularQDRO, it is important that the drafters tailor the QDRO to theneeds of the parties and ensure that the QDRO is consistent withthe terms of the retirement plan to which the QDRO applies.

PART I. DISCUSSIONOF QDRO REQUIREMENTS AND RELATED ISSUES

In order to be recognized as aQDRO, an order must be a "domestic relations order"– that is, any judgment, decree, or other order (includingapproval of a property settlement) which (1) relates to theprovision of child support, alimony payments or marital propertyrights to a spouse, former spouse, child or other dependent ofthe plan participant, and (ii) is made pursuant to a Statedomestic relations or community property law. A State authoritymust actually issue an order or formally approve a proposedproperty settlement before it can be a domestic relations order.A property settlement signed by the participant and theparticipant's former spouse or a draft order to which bothparties consent is not a domestic relations order until the Stateauthority has adopted it as an order or formally approved it andmade it part of the domestic relations proceeding.

The sample language in Part IIassumes that the QDRO applies to one qualified plan and onealternate payee. If a QDRO is intended to cover more than onequalified plan or alternate payee, the QDRO should clearly statewhich qualified plan and which alternate payee each provision isintended to address.

The terms of a qualified plan mustbe set forth in a written document. The plan must also establishwritten procedures to be used by the plan administrator indetermining whether a domestic relations order is a QDRO and inadministering QDROs. The plan administrator maintains copies ofthe plan document and the plans' QDRO procedures. If the plan isrequired under federal law to have a summary plan description, or"S.P.D.," the plan administrator will also have a copyof the S.P.D. The information in these documents is helpful indrafting a QDRO. The drafter of a QDRO may wish to obtain copiesof the S.P.D. before drafting a QDRO.

A. IDENTIFICATION OFPARTICIPANT AND ALTERNATE PAYEE

A QDRO must clearly specify thename and last known mailing address (if any) of the planparticipant and of each alternate payee covered by the QDRO. Inthe event that an alternate payee is a minor or legallyincompetent, the QDRO should also include the name and address ofthe alternate payee's legal representative. A QDRO can have morethan one alternate payee – for example, a former spouse anda child.

The "participant" is theindividual whose benefits under the plan are being divided by theQDRO. The participant's spouse (or former spouse, child, or otherdependent) who receives some or all of the plan's benefits withrespect to the participant under the terms of the QDRO is the"alternate payee."

B. IDENTIFICATION OF RETIREMENTPLAN

A QDRO must clearly identify eachplan to which the QDRO applies. A QDRO can satisfy thisrequirement by stating the full name of the plan as provided inthe plan document.

C. AMOUNT OF BENEFITS TO BEPAID TO ALTERNATE PAYEE

A QDRO must clearly specify theamount or percentage of the participant's benefits in the planthat is assigned to each alternate payee, or the manner in whichthe amount or percentage is to be determined. There are a numberof factors that should be taken into account in determining whichbenefits to assign to an alternate payee and how these benefitsare to be assigned. The following highlights some of thesefactors; however, because of the complexity and variety of thefactors that should be considered, and the need to tailor theassignment of benefits under a QDRO to the individualcircumstances of the parties, specific sample language regardingthe assignment of benefits is not provided in Part II of thisAppendix.

1. Types of Benefits

In order to decide how to dividebenefits under a QDRO, the first order of business is todetermine the types of benefits the plan provides. Most benefitsprovided by qualified plans can be classified as (1) retirementbenefits that are paid during the participant's life and (2)survivor benefits that are paid to beneficiaries after theparticipant's death.

Generally, a QDRO can assign allor a portion of each of these types of benefits to an alternatepayee. The drafters of a QDRO should coordinate the assignment ofthese types of benefits and consider how the benefits dividedunder the QDRO may be affected, under the plan, by the death ofeither the participant or the alternate payee.

2. Types of Qualified Plans

Another important factor toconsider in the drafting of a QDRO is the type of plan to whichthe QDRO will apply. As discussed below, the type of plan mayaffect the types of benefits available for assignment, how theparties choose to assign the benefits, and other matters.

There are two basic types ofqualified plans to which QDROs may apply: defined benefit plansand defined contribution plans.

a. Defined Benefit Plans

A "defined benefit plan"promises to pay each participant a specific benefit atretirement. The basic retirement benefits are usually based on aformula that takes into account factors such as the number ofyears a participant has worked for the employer and theparticipant's salary. The basic retirement benefits are generallyexpressed in the form of periodic payments for the participant'slife beginning at the plan's normal

retirement age. This stream ofperiodic payments is generally known as an "annuity."There are special rules that apply if the participant is married;these rules are discussed in greater detail in section E below. Aplan may also provide that these retirement benefits may be paidin other forms, such as a lump sum payment.

b. Defined Contribution Plans

A "defined contributionplan" is a retirement plan that provides for an individualaccount for each participant. The participant's benefits arebased solely on the amount contributed to the participant'saccount, and any income, expenses, gains and losses, and anyforfeitures of accounts of other participants which may beallocated to such participant's account. Examples of definedcontribution plans include a profit sharing plan (including a"401(k)" plan), an employee stock ownership plan (an"ESOP") and a money purchase pension plan. Definedcontribution plans commonly permit retirement benefits to be paidin the form of a lump sum payment of the participant's entireaccount balance.

3. Approaches to DividingRetirement Benefits

There are two common approaches todividing retirement benefits in a QDRO: one awards a separateinterest in the retirement benefits to the alternate payee whilethe other allows the alternate payee to share in the payment ofthe retirement benefits. In drafting a QDRO that uses either ofthese approaches, consideration should be given to such factorsas whether the plan is a defined benefit plan or definedcontribution plan, and the purpose of the QDRO (i.e., whether theQDRO is meant to provide spousal support or child support, or todivide marital property).

a. Separate Interest Approach

A QDRO that creates a"separate interest" divides the participant's benefitsinto two separate parts: one for the participant and one for thealternate payee. Subject to the terms of the plan, a QDRO mayprovide that the alternate payee can determine the form in whichhis or her benefits are paid and when benefit payments commence.If benefits are allocated under the separate interest approach,the drafters of a QDRO should take into account certain issuesdepending on the type of plan.

(1) Issues Relevant to DefinedBenefit Plans

The treatment of subsidiesprovided by a plan and the treatment of future increases inbenefits due to increases in the participant's compensation,additional years of service, or changes in the plan's provisionsare among the issues that should be considered when drafting aQDRO that uses the separate interest approach to allocatebenefits under a defined benefit plan.

Subsidies: Defined benefitplans may promise to pay benefits at various times and inalternative forms. Benefits paid at certain times or in certainforms may have a greater actuarial value than the basicretirement benefits payable at normal retirement age. When oneform of benefit has a greater actuarial value than another form,the difference in value is often called a subsidy. Plans usuallyprovide that a participant must meet specific eligibilityrequirements, such as working for a minimum number of years forthe employer that maintains the plan, in order to receive thesubsidy.

For example, a defined benefitplan may offer an "early retirement subsidy" toemployees who retire before the plan's normal retirement age butafter having worked for a specific number of years for theemployer maintaining the plan. In some cases, this subsidizedbenefit provides payments in the form of an annuity that pays thesame annual amount as would be paid if the payments commencedinstead at the normal retirement age. Because these benefits arenot reduced for early commencement, they have a greater actuarialvalue than benefits payable at normal retirement age. Thissubsidy may be available only for certain forms of benefit.

A QDRO may award to the alternatepayee all or part of the participant's basic retirement benefits.A QDRO can also address the disposition of any subsidy to whichthe participant may become entitled after the QDRO has beenentered.

Future Increases in theParticipant's Benefits: A participant's basic retirementbenefits may increase due to circumstances that occur after aQDRO has been entered, such as increases in salary, crediting ofadditional years of service, or amendments to the plan'sprovisions, including amendments to provide for cost of livingadjustments. The treatment of such benefit increases should beconsidered when drafting a QDRO using the separate interestapproach.

(2) Issues Relevant to DefinedContribution Plans

Investment of the amount assignedto the alternate payee when the account is invested in more thanone investment vehicle and division of any future allocation ofcontributions or forfeitures to the participant's account areamong the matters that should be considered when drafting a QDROthat allocates the alternate payee a separate interest under adefined contribution plan.

Investment Choices: Theparticipant's account may be invested in more than one investmentfund. If the plan provides for participant-directed investment ofthe participant's account, consideration should be given to howthe alternate payee's interest will be invested.

Future Allocations: Aparticipant's account balance may later increase due to theallocation of contributions or forfeitures after the QDRO hasbeen entered. A QDRO may provide that the amounts assigned to thealternate payee will include a portion of such futureallocations.

b. Shared Payment Approach

A QDRO may use the "sharedpayment" approach, under which benefit payments from theplan are split between the participant and the alternate payee.The alternate payee receives payments under this approach onlywhen the participant receives payments. A QDRO may provide thatthe alternate payee will commence receiving benefit payments whenthe participant begins receiving payments or at a later stateddate, and that the alternate payee will cease to share in thebenefit payments at a stated date (or upon a stated event,provided that adequate notice is given to the plan). In splittingthe benefit payments, the QDRO may award the alternate payeeeither a percentage or a dollar amount of each of theparticipant's benefit payments; in either case, the amountawarded cannot exceed the amount of each payment to which theparticipant is entitled under the plan. If a QDRO awards apercentage of the participant's benefit payments (rather than adollar amount), then, unless the QDRO provides otherwise, thealternate payee generally will automatically receive a share ofany future subsidy or other increase in the participant'sbenefits.

D. FORM AND COMMENCEMENT OFPAYMENT TO ALTERNATE PAYEE

QDRO drafters should take intoaccount certain issues that may arise in connection with thealternate payee's choice of a form of benefit payments and thedate on which payments will commence.

1. Separate Payment Approach

a. Form of Alternate Payee'sBenefit Payments

A QDRO either may specify aparticular form in which payments are to be made to the alternatepayee or may provide that the alternate payee may choose a formof benefit from among the options available to the participant.However, federal law provides that the alternate payee cannotreceive payments in the form of a joint and survivor annuity withrespect to the alternate payee and his or her subsequent spouse.

The choice of the form of benefitsshould take into account the period over which payments will bemade. For example, if the alternate payee elects to receive alump sum payment, no further payments will be made by the planwith respect to the alternate payee's interest.

Any decision concerning the formof benefit should take into account the difference, if any, inthe actuarial value of different benefit forms available underthe plan. For example, as discussed above, a plan might providean early retirement subsidy that is available only for payment incertain forms.

In addition, the forms of benefitavailable to the alternate payee may be limited by the Code whichspecifies the date by which benefit payments from a qualifiedplan must commence and limits the period over which the benefitpayments must be made.

NOTE: Proposed IncomeTax Regulations address the application of the required minimumdistribution rules to payments to an alternate payee. Theproposed regulation limits the period over which benefits may bepaid with respect to the alternate payee's interest. For example,the proposed regulation provides that distribution of thealternate payee's separate interest will not satisfy the Code ifthe separate interest is distributed over the joint lives of thealternate payee and a designated beneficiary (other than theparticipant).

b. Commencement of BenefitPayments to Alternate Payee

Under the separate interestapproach, the alternate payee may begin receiving benefits at adifferent time than the participant. A QDRO either may specify atime at which payments are to commence to the alternate payee ormay provide that the alternate payee can elect a time whenbenefits will commence in accordance with the terms of the plan.In two circumstances, an alternate payee who is given a separateinterest may begin receiving his or her separate benefit beforethe participant is eligible to begin receiving payments. First,federal law provides that benefit payments to the alternate payeemay begin as soon as the participant attains his or her earliestretirement age. Federal law defines "earliest retirementage" as the earlier of (i) the date on which the participantis entitled to a distribution under the plan, or (ii) the laterof (I) the date the participant attains age 50, or (II) theearliest date on which the participant could begin receivingbenefits under the plan if the participant separated fromservice. Second, the retirement plan may (but is not required to)allow payments to begin to an alternate payee at a date beforethe earliest retirement date.

2. Shared Interest Approach

As indicated above, under theshared payment approach, benefit payments are split between theparticipant and the alternate payee. The alternate payee receivespayments in the same form as the participant. Further, paymentsto the alternate payee do not commence before the participant hasbegun to receive benefits. Payments to the alternate payee cancease at any time stated in the QDRO but do not continue afterpayments with respect to the participant cease. As noted above, aQDRO must state the number of payments or the period to which theorder applies.

E. SURVIVOR BENEFITS ANDTREATMENT OF FORMER SPOUSE AS PARTICIPANT'S SPOUSE

Survivor benefits include bothbenefits payable to surviving spouses and other benefits that arepayable after the participant's death. These benefits can beawarded to an alternate payee. In determining the assignment ofsurvivor benefits, QDRO drafters should take into account thatbenefits awarded to the alternate payee under a QDRO will not beavailable to a subsequent spouse of the participant or to anotherbeneficiary. QDRO drafters may consult with the planadministrator for information on the survivor benefits providedunder the plan.

A QDRO may provide for treatmentof a former spouse of a participant as the participant's spousewith respect to all or a portion of the spousal survivor benefitsthat must be provided under federal law. The following discussionexplains the spousal survivor benefits that must be offered undera plan, and identifies issues that should be considered indetermining whether to treat the alternate payee as theparticipant's spouse.

Only a spouse or former spouse ofthe participant can be treated as a spouse under a QDRO. A childor other dependent who is an alternate payee under a QDRO cannotbe treated as a spouse of a participant.

Retirement plans generally neednot provide the special survivor benefits to the participant'ssurviving spouse unless the participant is married for at leastone year. If the retirement plan to which the QDRO relatescontains such a one-year marriage requirement, then the QDROcannot require that the alternate payee be treated as theparticipant's spouse if the marriage lasted less than one year.

1. Qualified Joint and SurvivorAnnuity

Federal law generally requiresthat defined benefit plans and certain defined contribution planspay retirement benefits to participants who were married on theparticipant's annuity starting date (this is the first day of thefirst period for which an amount is payable to the participant)in a special form called a qualified joint and survivor annuity,or QJSA. Under a QJSA, retirement payments are made monthly (orat other regular intervals) to the participant for his or herlifetime; after the participant dies, the plan pays theparticipant's surviving spouse an amount each month (or otherregular interval) that is at least one half of the retirementbenefit that was paid to the participant. At any time thatbenefits are permitted to commence under the plan, a QJSA must beoffered that commences at the same time and that has an actuarialvalue that is at least as great as any other form of benefitpayable under the plan at the same time. A married participantcan choose to receive retirement benefits in a form other than aQJSA if the participant's spouse agrees in writing to thatchoice.

2. Qualified PreretirementSurvivor Annuity

Federal law generally requiresthat defined benefit plans and certain defined contribution planspay a monthly survivor benefit to a surviving spouse for thespouse's life when a married participant dies prior to theparticipant's annuity starting date, to the extent that theparticipant's benefit is non-forfeitable under the terms of theplan at the time of his or her death. This benefit is called aqualified preretirement survivor annuity, or QPSA. As a generalrule, an individual loses the right to the QPSA survivor benefitswhen he or she is divorced from the participant. However, if aformer spouse is treated as the participant's surviving spouseunder a QDRO, the former spouse is eligible to receive the QPSAunless the former spouse consents to the waiver of the QPSA. Ifthe spouse does not waive the QPSA, the plan may allow the spouseto receive the value of the QPSA in a form other than an annuity.

3. Defined Contribution PlansNot Subject to the QJSA or QPSA Requirements

Those defined contribution plansthat are not required to pay benefits to married participants inthe form of a QJSA or a QPSA are required by federal law to paythe balance remaining in the participant's account after theparticipant dies to the participant's surviving spouse. If thespouse gives written consent, the participant can direct thatupon his or her death the account will be paid to a beneficiaryother than the spouse, for example, the couple's children.

4. Alternate Payee Treated asSpouse

A QDRO may provide that analternate payee who is a former spouse of the participant will betreated as the participant's spouse for some of all of thebenefits payable upon the participant's death, so that thealternate payee will receive the benefits provided to a spouseunder the plan. To the extent that a former spouse is to betreated under the plan as the participant's spouse pursuant to aQDRO, any subsequent spouse of the participant cannot be treatedas the participant's surviving spouse. Thus, QDRO drafters shouldconsider the potential impact of designating a former spouse asthe participant's spouse on the disposition of survivor benefitsamong the former spouse and any subsequent spouse of theparticipant, as well as the impact on children or any otherbeneficiaries designated by the participant in accordance withthe terms of the plan.

In determining the portion of theparticipant's benefits for which the alternate payee is treatedas the spouse, the drafters should take into account the mannerin which benefits are otherwise divided under the QDRO. Inparticular, consideration should be given to whether the formulafor dividing the participant's benefits for this purpose shouldbe coordinated with the formula otherwise used for dividing thebenefits.

Under a defined benefit plan, or adefined contribution plan that is subject to the QJSA and QPSArequirements, to the extent the former spouse is treated as thecurrent spouse, the former spouse must consent to payment ofretirement benefits in a form other than a QJSA or to theparticipant's waiver of the QPSA. For example, in a definedbenefit plan, the participant would not be able to elect toreceive a lump sum payment of the retirement benefits for whichthe alternate payee is treated as the participant's spouse unlessthe alternate payee consents. Similarly, the former spouse'sconsent might be required for any loan to the participant fromthe plan that is secured by his or her retirement benefits. In adefined contribution plan that is not subject to the QJSA andQPSA requirements, to the extent the QDRO treats the formerspouse as the participant's spouse under the plan, the survivorbenefits under the plan must be paid to the former spouse unlesshe or she consents to have those benefits paid to someone else.

F. TAX TREATMENT OF BENEFITPAYMENTS MADE PURSUANT TO A QDRO

The federal income tax treatmentof retirement benefits is governed by federal law, and a QDROcannot designate who will be liable for the taxes owed whenretirement benefits are paid. For a description of the taxconsequences of payments to an alternate payee pursuant to aQDRO, see Internal Revenue Service Publication 575, "Pensionand Annuity Income."

PART II. SAMPLELANGUAGE FOR INCLUSION IN QDRO

A. SAMPLE LANGUAGE FORIDENTIFICATION OF PARTICIPANT AND ALTERNATE PAYEE

The "Participant" is[insert name of Participant]. The Participant's address is[insert Participant's address]. The Participant's social securitynumber is [insert Participant's social security number].

The "Alternate Payee" is[insert name of Alternate Payee]. The Alternate Payee's addressis [insert Alternate Payee's address]. The Alternate Payee'ssocial security number is [insert Alternate Payee's socialsecurity number]. The Alternate Payee is the [describe theAlternate Payee's relationship to the Participant] of theParticipant.

B. SAMPLE LANGUAGE FORIDENTIFICATION OF RETIREMENT PLAN

This order applies to benefitsunder the [insert formal name of retirement plan]("Plan").

C. AMOUNT OF BENEFITS TO BEPAID TO ALTERNATE PAYEE

Instruction: The QDRO shouldclearly specify the amount or percentage of benefits assigned tothe Alternate Payee or the manner in which the amount ofpercentage is to be determined, and the number of payments orperiod to which the Order applies. There are many different formsin which benefits may be paid from a qualified plan. Because ofthe diversity of factors that should be considered, and the needto tailor the assignment of benefits under a QDRO to meet theneeds of the parties involved, specific sample language regardingthe assignment of benefits has not been provided.

See the discussion in Part I forfurther information.

D. SAMPLE LANGUAGE FOR FORM ANDCOMMENCEMENT OF PAYMENT TO ALTERNATE PAYEE

Instruction: Drafters using theseparate interest approach may use paragraph 1. Drafters usingthe shared payment approach may use paragraph 2. Drafters usingthe separate interest approach for a portion of the benefitsallocated to the alternate payee and the shared payment approachfor the remainder should modify the sample language to specifythe benefits to which each paragraph provided below applies.

1. Separate Interest Approach

The Alternate Payee may elect toreceive payment from the Plan of the benefits assigned to theAlternate Payee under this order in any form in which suchbenefits may be paid under the Plan to the Participant (otherthan in the form of a joint and survivor annuity with respect tothe Alternate Payee and his or her subsequent spouse), but onlyif the form elected complies with the minimum distributionrequirements of 401(a)(9) of the Internal Revenue Code.Payments to the Alternate Payee pursuant to this Order shallcommence on any date elected by the Alternate Payee (and suchelection shall be made in accordance with the terms of the Plan),but not earlier that the Participant's earliest retirement age(or such earlier date as allowed under the terms of the Plan),and not later than the earlier of (A) the date the Participantwould be required to commence benefits under the terms of thePlan or (B) the latest date permitted by 401(a)(9) of theInternal Revenue Code. For purposes of this Order, theParticipant's earliest retirement age shall be the earliest of(i) the date on which the participant is entitled to adistribution under the Plan, or (ii) the later of (I) the datethe Participant attains age 50, or (II) the earliest date onwhich the Participant could begin receiving benefits under theplan if the Participant separated from service.

2. Shared Payment Approach

The Alternate Payee shall receivepayments from the Plan of the benefits assigned to the AlternatePayee under this Order (including payments attributable to theperiod in which the issue of whether this Order is a qualifieddomestic relations order is being determined) commencing as soonas practicable after this Order has been determined to be aqualified domestic relations order or, if later, on the date theParticipant commences receiving benefit payments from the Plan.Payment to the Alternate Payee shall cease on the earlier of:[insert date or future event, such as the Alternate Payee'sremarriage], or the date that payments from the Plan with respectto the Participant cease.

E. SAMPLE LANGUAGE FORTREATMENT OF FORMER SPOUSE AS PARTICIPANT'S SPOUSE

Instruction: The Alternate Payeemay be treated as the Participant's spouse only if the AlternatePayee is the Participant's spouse or former spouse, and not ifthe Alternate Payee is a child or other dependent of theParticipant. If the Alternate Payee is the Participant's spouseor former spouse, drafters may select sample paragraph 1, sampleparagraph 2, or sample paragraph 3. Sample paragraph 1 applies ifthe Alternate Payee is treated as the Participant's spouse forall of the spousal survivor benefits payable with respect to theParticipant's benefits under the Plan. Sample paragraph 2 appliesif the Alternate Payee is treated as the Participant's spouse fora portion of the spousal survivor benefits payable with respectto the Participant's benefits under the Plan. Sample paragraph 3applies if the Alternate Payee is not treated as theParticipant's spouse for any of the spousal survivor benefitspayable with respect to the Participant's benefits under thePlan.

1. Alternate Payee Treated asSpouse for All Spousal Survivor Benefits

The Alternate Payee shall betreated as the Participant's spouse under the Plan for purposesof Sections 401(a)(11) and 417 of the Code.

2. Alternate Payee Treated asSpouse For a Portion of the Spousal Survivor Benefits

The Alternate Payee shall betreated as the Participant's spouse under the Plan for purposesof Sections 401(a)(11) and 417 of the Code with respect to[insert percentage of benefit or a formula, such as a formuladescribing the benefit earned under the plan during marriage].

3. Alternate Payee not Treatedas Spouse

The Alternate Payee shall not betreated as the Participant's spouse under the Plan.

NOTES