2014 Benefits. Disclaimer This document is intended to be a high-level overview. The terms and...

2014 Benefits

Disclaimer

• This document is intended to be a high-level overview. The terms and conditions of the benefits described are determined solely by the summary plan descriptions (SPDs) or plan documents and summaries of material modifications of the Dresser-Rand Company Welfare Plan, Pension Plan for Employees of Dresser-Rand Company and the Dresser-Rand Company Retirement Savings Plan. In the event of any inconsistent provisions, the language of the plan documents applies.

• As in the past, the Company reserves to itself, pursuant to its sole and exclusive discretion, the right to change, amend or terminate this Plan according to the terms of the applicable plan documents and subject to any collective bargaining agreements.

• Benefits described herein may not automatically apply to employees at all locations or employees covered under a labor agreement.

• Plan is subject to nondiscrimination rules that may reduce or limit the tax advantages of the plan for certain employees.

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2014 Benefits Enrollment

Dresser-Rand Benefits Enrollment

• Benefits website: www.dresser-rand.com/benefits

• Review benefits information on website• Access online enrollment system by selecting:

• Call BenefitsPlus call center to enroll 866-787-6312

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http://www.dresser-rand.com/benefits

Overview

Dresser-Rand Health & Welfare Benefits

• Health• Medical/Prescription • Wellness• Dental• Vision • Health Savings Account (HSA) • Flexible Spending Accounts (FSAs)• Employee Assistance Program (EAP)

• Income Protection• Basic Life and AD&D• Optional Life • Voluntary AD&D• Business Travel Benefits• Voluntary Group Legal• Disability

• Retirement Savings Plan• Vacation Purchase Plan

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EligibilityHealth & Income Protection

• Full-time employees working over 35 hours per week AND Part-time employees working over 20 hours per week are eligible for all benefits

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Eligible Dependents

Who can you cover?• Your legal spouse (opposite- or same-sex)

• Your dependent children (biological, adopted or step-children) until the end of the month they attain age 26 (marital, student or employment status does not apply)

• Your children age 26 or older who are certified by BlueCross to be disabled due to mental or physical disability and who are dependent on you for financial support (the disability must be certified prior to age 26)

NOTE: If both you and your spouse work for Dresser-Rand, the plan does not allow “double coverage”. Only one of you may choose coverage for your eligible children. And if you choose an enrollment category that covers your spouse, your spouse will not be eligible to also choose duplicate coverage under any Company-sponsored Plan or program.

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Medical Benefit Choices

Medical Options

• MedicalPlus - A Consumer Directed Health Plan with a Preferred Provider network

• PPO – Preferred Provider Option

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MedicalPlus

MedicalPlus utilizes a PPO network of providers • Choice of physicians and hospitals• BlueCross BlueShield offers the largest PPO network

in the United States• Higher level of benefits using BCBS network

providers• No claim forms to file when using network providers• Lower claim costs through negotiated network• Prescription Coverage through Prime

Therapeutics• Health Savings Account contribution

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MedicalPlus

In-Network Benefits• $2,500 Individual or $5,000 Family Deductible

(combined medical and prescription claims)– 10% Coinsurance (Plan pays 90%)– 90-day supply of maintenance medication may be

purchased through Prime Mail OR at a participating local Retail Pharmacy

• Annual Out-of-Pocket Maximum(including deductible)

– $3,000 individual or $6,000 family

• Wellness Benefits and Well Baby Benefits (100% coverage, deductible does not apply, no maximum)

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MedicalPlus

Out-of-Network Benefits

• $3,000 Individual or $6,000 Family Deductible(combined medical and prescription claims)– 30% Coinsurance Medical (Plan pays 70%)– 35% Coinsurance Rx (Plan pays 65%)

• Annual Out-of-Pocket Maximum (including deductible)

– $5,000 individual or $10,000 family

• No Wellness Benefits

• “Reasonable & Customary” applies

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MedicalPlus Health Savings Account

Health Savings Account (HSA)

• Tax-free spending account for qualified medical/ prescription drug, dental, vision, health club membership (with a doctor’s certification), and exercise equipment (with a doctor’s certification)

• Access funds using a debit card or checkbook• Gives you more control of money spent on health care• Dresser-Rand will contribute to every participant’s HSA

(FSA if Medicare eligible)• Employees can make additional tax-advantaged HSA

contributions through payroll deduction (Up to IRS Limits)

• Over-the-counter medication is not reimbursable unless there is a doctor’s prescription for it

• Contributions are not “use-it or lose-it”!

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MedicalPlusHealth Savings Account

2014 Dresser-Rand Annual Contribution*

Employee Only $1,000

Employee + 1 $1,500

Family $2,000

*Company contributions deposited up front; prorated based on portion of calendar year remaining.

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MedicalPlusHealth Savings Account

2014 Optional Employee Contributions

Employee Only Up to an additional $2,300($3,300 if 55 Years Old by 12-31-2014)

Employee + 1 Up to an additional $5,050($6,050 if 55 Years Old by 12-31-2014)

Family Up to an additional $4,550 ($5,550 if 55 Years Old by 12-31-2014)

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MedicalPlus Health Savings Account

Further HSA information:

• Account must be activated – watch your mail for information from ACS/Mellon (aka “BenefitWallet”)

• Monthly fee of $2.25 for accounts with balances under $3,000 (fee taken from account)

• Electronic statements are encouraged - $0.75 monthly fee for paper statements

• Once you have accumulated a balance of $1,500 or more, you can transfer excess balance into one of the Dreyfus mutual fund investment options

• You can visit www.HSAmember.com for more information

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PPOBlueCross BlueShield of Illinois

PPO utilizes same network as MedicalPlus

• Choice of physicians and hospitals• BlueCross BlueShield offers the largest PPO network

in the United States• Higher level of benefits using BCBS network

providers• No claim forms to file when using network providers• Lower claim costs through negotiated network• Prescription Coverage through Prime Therapeutics• No HSA Contribution

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In-Network Benefits

• $300 Individual or $700 Family Deductible• 20% Coinsurance (Plan pays 80%)• Annual Out-of-Pocket Maximum (including

deductible)– $2,000 individual or $4,000 family

• Wellness Benefits and Well Baby Benefits (100% coverage, deductible does not apply, no maximum)

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• $600 Individual or $1,400 Family Deductible• 40% Coinsurance (Plan pays 60%)• Annual Out-of-Pocket Maximum

– $4,000 individual or $8,000 family (excluding out of network drugs)

• No Wellness Benefits• “Reasonable & Customary” applies

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PPO – PrescriptionsPrime Therapeutics

In-Network Benefits

• No Deductible

• Retail Benefit (up to a 30-day supply)– $10 co-payment for Generic Prescriptions– 35% Coinsurance for Brand Prescriptions (Plan pays 65%)– Per prescription maximum cost of $150

• Mail Order Benefit (up to a 90-day supply)– $20 co-payment for Generic Prescriptions– 25% Coinsurance for Brand Prescriptions (Plan pays 75%)– Per prescription maximum cost of $300

• 90-day supply of maintenance medication may also be purchased at a participating local Retail Pharmacy at the same Coinsurance as the Mail Order

• Annual Out-of-Pocket Limit $1,250 individual or $2,500 family

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PPO – PrescriptionsPrime Therapeutics


• You pay the full, undiscounted cost at the pharmacy and must submit a paper claim form

• You are eligible for up to 65% reimbursement

• No prescription drug out-of-pocket maximum

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MedicalEmployee Contributions

2014 Monthly Employee Contributions

MedicalPlus• Employee Only $ 69.35• Employee + 1 $109.20• Family $148.50

PPO• Employee Only $142.10• Employee + 1 $254.20• Family $366.30

PART-TIME EMPLOYEES: If you are a part-time employee scheduled to work at least 20 hours but less than 35 hours per week you are eligible for medical coverage at 150% of the monthly contribution rates stated here for full-time employees.

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• Well onTarget

• 24/7 Nurseline

• Special Beginnings

• Blue Care Advisors

• Case Management

Wellness ProgramBlue Care Connection

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Well onTarget• Liveon Member Wellness Portal

• Onmytime Self-directed Courses• Health and Wellness Library• Tools and Trackers

• Onmyway Health Assessment (HA)– Questions to help you learn more about

you and your health– Life Points Program


Completely voluntary and confidential


• Fitness Program– No long-term contract required– Membership is month to month– Monthly fees are $25 per member per month– More than 8,000 participating gyms– Earn bonus Life Points for joining

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Nurse Line

Provides immediate telephone access to registered nurses for health care information, advice and medical guidance for you and your family.

Available 24/7• Answer your questions about symptoms and health-

related topics• Help you decide how and where to get the care you need• Help you determine what questions to ask your doctor

before an appointment.

Not a substitute for your regular physician, health care specialist or routine preventive exams. In the event of a medical emergency, seek immediate medical attention from the nearest emergency facility or call 911.



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Health Assessment• Online questionnaire that evaluates your health and gives you

a detailed, confidential report with action steps to help you improve your health.

• You will need to enter your personal biometric data– Blood pressure– Cholesterol and blood glucose levels– Body mass index



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Special BeginningsOffers support for expectant mothers

Helps you understand the active role you can take to give your baby the greatest chance of being born strong and healthy by providing:– Support & education– Pregnancy risk factor identification– Personal contact from program staff

The first step is to call Special Beginnings at 888-421-7781


Wellness ProgramBCBS Illinois

DentalBlueCross BlueShield Illinois

Deductible• Preventive Services None• Basic, Major & Orthodontic $25 individual/$75 family

Coinsurance• Preventive Services 100%• Basic Services 80%• Major Services 50%• Orthodontic Services 50%

Maximum Coverage• Dentistry $1,500 per person annual• Orthodontics* $1,500 lifetime maximum

Preventive Services DO NOT count toward annual maximum

* Note: Orthodontic coverage provided for eligible dependent children up to age 19

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DentalBlueCross BlueShield Illinois

Preventive Services• Oral examinations• Routine scaling and polishing• Routine bitewing x-rays• Fluoride treatments (children through age 18)• Sealants (children through age 15)

Basic Services• Fillings and Extractions• Stainless steel crowns• Relining of dentures• Repair of crowns, bridges, and removable dentures

Major and Restorative Services• Inlays, onlays, and crowns (other than temporary crowns or stainless

steel)• Full mouth rehabilitation

Preventive Services DO NOT count toward annual maximum28

DentalEmployee Contributions


• Employee Only $25.30• Employee + 1 $51.65• Family $76.95

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VisionVSP

Voluntary Vision Program• Benefits provided by Vision Service Plan (VSP) –

Largest vision care provider in the US with over 50 years experience

• Premium Plan provides vision benefits each year– 2 pairs of frames and lenses; or– 1 pair of frames and lenses and contacts lenses

• Basic Plan provides vision benefits– 1 pair of lenses OR supply of contact lenses each year– 1 set of frames every 24 months

• Provider network includes Costco and Eye Masters

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VisionVSP

Voluntary Vision Program

In-Network Benefits

• $10 co-payment for vision exams• $150 allowance for eyeglass frames• $10 co-payment for eyeglass lenses• Progressive & photochromic lenses & tints covered in full

(Premium Plan only, not covered in Basic Plan)• $150 allowance for daily wear contact lenses

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VisionVSP

Voluntary Vision Program


• Up to $45 for vision exams• Up to $70 for eyeglass frames• Up to $30 for single vision eyeglass lenses• Up to $50 for lined bifocal eyeglass lenses• Up to $65 for lined trifocal eyeglass lenses• Up to $100 for lenticular eyeglass lenses• Up to $105 for daily wear contact lenses

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VisionEmployee Contributions


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TIER BASIC OPTION PREMIUM OPTION

Employee Only $7.29 $16.80

Employee + 1 $14.57 $33.59

Family $23.47 $54.08

Maintenance of Benefits

• If you or your dependents are covered under more than one medical or dental plan– Plans work together to coordinate benefits

• BCBS will maintain the level of benefit based on the plan you choose– The allowable expense is limited to the amount the

BCBS plan would have paid if there were no other medical or dental benefit coverage in effect

• This is called Maintenance of Benefits

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Flexible Spending Accounts (FSA)

• Full Use Healthcare Flexible Spending Account(for PPO Enrollees)

• Limited Use Healthcare Flexible Spending Account – dental & vision expenses only (for MedicalPlus Enrollees)

• Dependent Care Flexible Spending Account – daycare expenses only

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Important Reminder: These are “USE IT or LOSE IT” plans

Full Use Healthcare FSA(PPO Participants)

• Use tax-free contributions to pay for medically necessary, non-covered medical, prescription drug, dental and vision care expenses:– All healthcare deductibles and coinsurance amounts– Eyeglasses, contact lenses– Health club membership (with a doctor’s note)– Exercise equipment (with a doctor’s note)

• You may contribute from $100 to $2,500 per year • Debit card to access account• Paper claims will be required for claims not submitted

using debit card or the online claims submission process• Cannot be used with an HSA

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Important Reminders: This is a “USE IT or LOSE IT” planOver-the-counter medicine must have a doctor’s prescription in order to qualify for reimbursement.

Limited Use Healthcare FSAFor HSA Participants

• Limited Use FSA coordinated with HSA• Use tax-free contributions to pay for non-

covered health (dental and vision) expenses:– Dental and vision deductibles, coinsurance

amounts and other expenses– NO medical/prescription drug expenses covered

by the Plan are allowed (must use your HSA)• You may contribute from $100 to $2,500 per

year• Debit card to access account• Paper claims will be required for claims not

submitted using debit card or the online claims submission process

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Important Reminder: This is a “USE IT or LOSE IT” plan

Dependent Care FSA

• Use tax-free contributions to pay for day care expenses for:– Children (up to age 13)– Elderly parents

• Not for your dependent’s non-covered healthcare!

• If married, both you and your spouse must work outside the home

• You may contribute from $100 to $5,000 per year*

• You can elect direct deposit for your reimbursements

* Employees classified as Highly Compensated will be limited to $2,000 per year.

38Important Reminder: This is a “USE IT or LOSE IT” plan

Employee Assistance Program

• Company-provided benefit• Free confidential counseling for employees & dependents

Depression and anxiety* Stress* Relationships* Work/life balance*Addictions and abuse* Financial servicesLegal consultation Grief and loss*

* Up to 8 company-paid sessions, per issue, per year, per family member

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Life Benefits

• Dresser-Rand provides employees with:– $50,000 of Basic Life Insurance– $50,000 of Basic AD&D

• Employees can purchase additional:– Optional Life Insurance for self &

dependents– Voluntary AD&D Insurance for self &

dependents

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Optional Life InsuranceEmployee

• Employee Optional Life

– $25,000 increments, up to $500,000– Evidence of Insurability (EOI) required

for amounts elected over $250,000– EOI required for increases after initial

election

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Optional Life InsuranceDependents

• Spouse Life– $25,000 increments, up to $250,000 or 50% of

employee amount, (combined Basic and Optional) whichever is less

– Employee must elect Optional Life in order to elect Spouse Life

– Evidence of Insurability (EOI) required for amounts elected over $25,000

– Spouse coverage ends at age 70• Child(ren) Life

– If elected, each child will have $10,000 of Life Insurance

– Employee must elect Optional Life in order to elect Child Life

– $1.30 per month

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Optional Life InsuranceRates

• Employee and Spouse Rates are Based on– Age– Tobacco or Non-Tobacco use status

• Tobacco products include cigarettes, pipes, cigars, snuff and chewing tobacco

– Rate sheet will be included in enrollment packets and are available on the Dresser-Rand benefits website: (www.dresser-rand.com/benefits)

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Employee & Spouse Optional LifeMonthly rate per $1,000 of coverage

Age Non-Tobacco User Tobacco User

<25 $0.051 $0.087

25-29 $0.068 $0.110

30-34 $0.086 $0.143

35-39 $0.094 $0.154

40-44 $0.111 $0.176

45-49 $0.162 $0.264

50-54 $0.249 $0.408

55-59 $0.471 $0.760

60-64 $0.720 $1.157

65-69 $1.389 $2.226

70-74 $2.255 $3.610

75+ $3.661 $5.87344

Voluntary AD&D InsuranceEmployee or Family

Can elect Employee or Family coverage• Employee

– $25,000 increments, up to $500,000

• Family (Benefit based on Family members)– Spouse only

• 60% of employee coverage

– Child(ren) only• Each child, 15% of employee coverage

– Spouse and Child(ren)• Spouse, 50% of employee coverage• Each child, 10% of employee coverage

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Voluntary AD&D InsuranceEmployee or Family

2014 Monthly Employee Contribution

– Employee only $.025 per $1,000 of coverage

– Family $.040 per $1,000 of coverage

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Legal Benefits

• Voluntary• Access to a network of over 10,000

attorneys• Services include:

– Document Preparation– Family Law– Real Estate Matters– Wills and Estate Planning– Traffic Matters

• Employee cost = $15.75 per month• Access @ www.legalplans.com

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Disability Benefits

• Short-Term Disability (pay continuation)

• Long-Term Disability

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Short-Term Disability(Pay Continuation)

• Dresser-Rand provides you with replacement income if you are determined to be disabled for a non work-related injury or illness.– 12 weeks at 100% of base pay (40 hrs /

wk)– 14 weeks at 60% of base pay (40 hrs /

wk)

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Long-Term Disability

• If you remain totally disabled after the STD period expires (26 weeks), you may be eligible for coverage in the LTD program

• LTD Benefit includes:– A monthly basic benefit equal to 40% of your

Dresser-Rand base earnings– The premium amount Dresser-Rand pays will be

taxed on your pay check

• Employees eligible to continue fringe benefits for 36 months at current active rate

• Employees are administratively terminated upon transition to LTD

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Long-Term DisabilityBuy-up Options

• You can purchase Voluntary LTD coverage for a total monthly benefit of:

– 50% (10% optional buy-up), or– 60% (20% optional buy-up) of your base

earnings

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Long-Term DisabilityBuy-up Options


• 50% (10% Buy-up) option $.125 per $100 of benefit

• 60% (20% Buy-up) option $.303 per $100 of benefit

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Enrollment

• Enroll at www.dresser-rand.com/benefits from any computer with Internet access

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Vacation & Holidays

• Vacation levels are based on years of service with Dresser-Rand

• Vacation is allotted at rate of 1/12 of yearly vacation level per full month beginning on initial date of hire

• Dresser-Rand provides 10 holidays each year

Years of Service Vacation Level

0 – 9 Years 15 Days

10 – 24 Years 20 Days

25 Or More Years 25 Days

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Vacation Purchase Plan

• Purchase an extra 5 days of vacation• Cost is based on your annual base

salary divided by 2080 multiplied by the number of hours requested

• Pre-tax deductions spread over remaining pay periods in year

• Elect 1-5 days in 4 hour (1/2 day) increments

• Enrollment form must be completed and returned within 31 days of hire date

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Retirement Savings Plan

Eligibility • As a non-bargaining unit employee of Dresser-Rand, you are eligible to

participate in the Dresser-Rand Company Retirement Savings Plan, as soon as administratively practicable following your hire or rehire date

Benefits Available Under the Plan• Both Tax Deferred (Pre-Tax) and Roth (After-Tax) contributions to the Plan

are allowed • A Catch-Up feature, for those age 50 or greater by year end, allows you to

save additional amounts• Company Matching Contributions depending on your paycheck deferral• Automatic Company Basic Contributions• Loans and In-Service Withdrawals are available on a limited basis

Plan Recordkeeper - Fidelity • For general assistance or enrollment contact Fidelity Retirement Service

Center (1-800-835-5097) or visit 401k.com

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Company Basic Contributions – No Enrollment needed

• All eligible participants of the Plan, will automatically receive a “Basic” contribution to their account. This contribution is paid by Dresser-Rand and equal to 3% of eligible earnings per pay period.

• Since these contributions are automatic, they will begin with your first eligible pay check – meaning you do not need to enroll in the Plan to receive them.

Vesting Schedule for Company Basic Contributions

Period of Service Percent Vested

Less than 36 months 0%

Minimum of 36 months 100%

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Your Elective Deferral & Company Matching ContributionsElective Deferrals and IRS Annual Limits

You may elect to defer between 1% and 75% of eligible pay into the Plan.

However, you may not exceed the applicable annual IRS limits below:• The 2014 Elective Deferral limit is $17,500• The 2014 Catch-Up Deferral limit is $5,500 (Catch-Up Deferrals are only available to Participants age 50 or older)

These limits apply to the sum of your tax deferred and your after-tax (Roth) deferrals.

The Company Match Based on your elective deferral, a “matching” contributions will be made to your account. This contributions is paid by Dresser-Rand and equal to each dollar you contribute up to 3% of eligible earnings, then $.50 for each dollar you contribute between 3% and 5% of eligible earnings. This makes the maximum Matching contribution possible 4% if you contribute 5%.

Vesting Schedule for Elective Deferrals and Company Match

You are immediately 100% vested in the Company Match contributions made to your account and you are always 100% vested in your contributions and their earnings. 58


Employee Savings

Rate (per pay period)

Company Match

Basic Contribution

s

Total Contributio

n(as a % of pay)

1% 1% 3% 5%

2% 2% 3% 7%

3% 3% 3% 9%

4% 3.5% 3% 10.5%

5% 4% 3% 12%

6% 4% 3% 13%

7% 4% 3% 14%59


Fidelity can assist you if you want to:• Enroll in the Plan• Change Your Investment Election• Change Your Paycheck Deferral Election• Request a Loan• Request an In-Service Withdrawal, and Loan Address

Changes• Roll Over Another Plan’s Balance into this Plan

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Enrollment is easy…• Within 10 days of your hire date with Dresser-

Rand you will receive a packet mailed to your home from Fidelity with instructions to enroll in the Plan.

• After you receive the enrollment packet, you can enroll via the internet or by telephone.

• If you have not received your enrollment packet 10 days after your start date, please contact James Crawford.

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For more information:

Fidelity Retirement Service Center

1-800-835-5097

Fidelity Web Access 401k.com

Retirement Benefits Department

Plan Administrator:E-mail:

James [email protected]

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mailto:[email protected]

mailto:[email protected]

Questions

If you have any questions, contact your local Human Resources Representative.

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2014 Benefits. Disclaimer This document is intended to be a high-level overview. The terms and...

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Transcript of 2014 Benefits. Disclaimer This document is intended to be a high-level overview. The terms and...