Section 2. Definitions

2.1 An “Automatic Contribution Arrangement” is an arrangement under which, in the absence of an affirmative election by an Eligible Employee, a certain percentage of compensation will be withheld from the Eligible Employee’s pay and contributed as a salary reduction contribution to the SIMPLE IRA established under this SIMPLE IRA Plan for the Eligible Employee.

2.2 “Default salary reduction contributions” are the salary reduction contributions made to the SIMPLE IRAs of employees described in Section 1.2 above.

2.3 The “Default Percentage” is the percentage of an employee’s compensation contributed to the plan as default salary reduction contributions for a calendar year. The Default Percentage is specified in Section 1.3 above.