Steps to Take If You Retire

If You Are About to Retire…
Call the Benefit Plans Office to receive retirement counseling and to get an estimate of your pension benefit.  During retirement counseling, you will also receive forms that you must complete to apply for your pension benefit.  You will have the opportunity to decide if you want to continue your medical (including prescription drugs and vision care), dental and life insurance coverage (if you retire before age 65) or enroll in the Major Medical Medicare Supplement plan if you are age 65 or older.  If you decide to do so, you must make this election immediately upon retiring.

Notify your supervisor.

Call the Savings Program information line to get an estimate of your account balance, as well as any outstanding loan balances.

Contact Social Security at 1-800-772-1213 to get an estimate of your benefits and information about Medicare.

What Happens to Your Benefits If You Retire
Here is what happens to your benefits when you retire:

Medical (Including Prescription Drugs and Vision Care) and Dental
At early retirement prior to age 65, you may continue coverage until the end of the month in which you reach age 65.  At age 65, coverage ends and you become eligible for the Major Medical Medicare Supplement plan.  However, you may elect to continue coverage under the plan for an enrolled younger spouse until he or she reaches age 65.  In any case, when your coverage ends, Eligible Dependents may be able to continue coverage for up to 36 months (longer under certain circumstances) under COBRA.

The Company intends to continue the medical plan for employees who retire early.  However, the Company reserves the right to amend or terminate the medical plan and the Medical Medicare Supplement plan, in whole or in part, at any time.  The Company may also increase or decrease participants’ contributions to these plans.  The establishment of the plans does not impose on the Company any contractual obligation to continue them in the future.

Employee Assistance Program
Coverage ends.

Flexible Spending Accounts
You may continue to contribute to the health care spending account on an after-tax basis until the end of the year of the COBRA Qualifying Life Event which is your retirement effective date.  Participation in the dependent care spending account ends.

You may submit claims for eligible health care and dependent care expenses incurred before you retire.  You may submit health care spending account claims for eligible expenses incurred after you retire only if you continue to participate as described above.

Disability

Coverage ends.

Long Term Care
You may continue your coverage by making payments directly to the insurance company.

Basic Life Insurance
At early retirement, full basic life insurance coverage may be continued at the same premium cost as active employees, or you may take a reduced amount of basic life insurance at no cost to you.  At age 65, the reduced amount of basic life insurance coverage will be continued, at no cost to you, for the rest of your life, provided you had basic life insurance coverage for at least one year immediately preceding retirement.  You may convert the discontinued basic life insurance coverage to an individual policy.

Supplemental Life Insurance
Group coverage ends.  However, the plan has a conversion feature that allows you to continue coverage on an individual basis if you apply within 31 days after the group coverage ends.  Group rates and individual rates under that feature will be different.

Spouse and Dependent Life Insurance
Group coverage ends.  However, the plan has a conversion feature that allows you to continue coverage on an individual basis if you apply within 31 days after the group coverage ends.  Group rates and individual rates under that feature will be different.

Business Travel Accident Insurance
Coverage ends.

Special Accident Insurance
You may convert your special accident insurance coverage to an individual policy.

Pension Plan
You will receive monthly pension benefits at the time and according to the payment option you have selected.

Savings Program
Contributions end.  You may choose from a variety of payout methods or you can leave your account balance in the Savings Program until you reach age 70-1/2.  Mandatory minimum distribution rules apply after age 70-1/2 if you have retired from the Company.  Any outstanding loans must be paid within six months of your retirement.  Otherwise, the outstanding loan balance will be treated as a taxable distribution to you.