Section 4. The application of the provisions of this article shall not cause the Maximum

Permissible Benefit for any participant to be less than the participant’s accrued benefit under all the defined benefit plans of the employer or a predecessor employer as of the end of the last Limitation Year beginning before July 1, 2007, under provisions of the plans that were both adopted and in effect before April 5, 2007. The preceding sentence applies only if the provisions of such defined benefit plans that were both adopted and in effect before April 5, 2007 satisfied the applicable requirements of statutory provisions, regulations, and other published guidance relating to IRC 415 in effect as of the end of the last Limitation Year beginning before July 1, 2007, as described in Treas. Reg. 1.415(a)1(g)(4).

(Note to reviewer: Treas. Reg. 1.415(c)-2(f) requires that the definition of compensation used in applying the limitations of IRC 415 not reflect compensation for a year that is in excess of the limitation of IRC 401(a)(17) that applies to that year (see section 6.7 of this LRM #40). Plan provisions will not be treated as failing to satisfy this rule merely because the benefit calculated as of the end of the last Limitation Year beginning before July 1, 2007, under provisions of the plan adopted and in effect before April 5, 2007, the plan’s definition of compensation used for purposes of the limitations of IRC 415(b)(1)(B) reflects compensation for a year in excess of the limitation of IRC 401(a)(17) that applies to that year.)