401(k) Plan - My Lowe's Life
401(k) Plan - My Lowe's Life
401(k) Plan - My Lowe's Life
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Hardship Withdrawal request forms are available on theemployee portal at www.myloweslife.com (<strong>My</strong> Home >Lowe’s Forms > Wealth Related) or at the <strong>Plan</strong>’s web site,accessible through the employee portal atwww.myloweslife.com (<strong>My</strong> Wealth > Wealth Related QuickLinks > <strong>401</strong>(k) > <strong>401</strong>(k) at ADP) or directly atwww.mykplan.com, or by calling 1-877-236-5693 andspeaking with a <strong>Plan</strong> representative You will be required tosubmit documentation for your hardship request including anotarized statement. When you call, you’ll need your SocialSecurity Number and PIN.If your request for a hardship withdrawal is granted, yourcontributions will be suspended for the next six (6) months inthe Lowe’s <strong>401</strong>(k) <strong>Plan</strong>, the Employee Stock Purchase <strong>Plan</strong>(ESPP), and any non-qualified deferred compensation plans inwhich you participate (e.g., Benefit Restoration <strong>Plan</strong> (BRP),Cash Deferral <strong>Plan</strong> (CDP)). Additionally, during the sixmonths following your hardship withdrawal, you may notexercise any stock options granted to you. Unless you make achange to your <strong>401</strong>(k), BRP, or CDP deferral elections duringyour suspension period, at the end of your suspension periodyour salary deferral(s) will resume at the percentage(s) in effectwhen you took the hardship. Moreover, depending on the dateof your hardship distribution, by taking a hardship distributionyou may lose the ability to to re-enroll in the BRP or CDP forthe next plan year. If you were a participant in the ESPP, youwill need to enroll during the next ESPP enrollment periodfollowing your six month suspension period – you will not beautomatically enrolled in the ESPP. You may not request ahardship withdrawal after reaching age 59 ½ unless you havepreviously taken the one-time distribution of your entireaccount balance available for active employees age 59 ½ andabove.Other ImportantInformationThe following section describes other important informationyou should know about the <strong>401</strong>(k) <strong>Plan</strong>. Please review itcarefully so that you can make informed decisions.Federal Income TaxConsequences∗Lowe’s has requested a determination letter from the InternalRevenue Service for the <strong>Plan</strong> as amended and restated effectiveFebruary 2, 2007. In this request, Lowe’s seeks approval thatthe <strong>Plan</strong> and related trust agreement satisfy the requirements ofSections <strong>401</strong>(a) and 501(a) of the Internal Revenue Coderelating to qualification of the <strong>Plan</strong> and the tax-exempt status ofthe trust. The following discussion summarizes the federalincome tax consequences of participation in the <strong>Plan</strong>. Thefederal income tax aspects of the <strong>Plan</strong> are complex, and thisexplanation is not intended to be a complete description of thefederal income tax consequences of <strong>Plan</strong> participation. Forthese reasons, you and/or your beneficiary should consult withyour personal tax advisor on any questions you may have.<strong>Plan</strong> Contributions and EarningsSubject to the limitations imposed by the Internal RevenueCode, Lowe’s contributions to the <strong>Plan</strong> are deductible byLowe’s in the year they are made. You are not subject tocurrent federal income taxes on contributions by Lowe’s,including contributions made pursuant to your salary deferralelections. These contributions and the earnings on youraccount balances are not subject to federal income taxes untildistributed or withdrawn.Lump Sum DistributionA lump sum distribution is a distribution of your entire interestin the <strong>Plan</strong> within one taxable year, made as a result of yourdeath, or separation from service or after you reach age 59 1 ⁄ 2.Termination of your employment with a partipating employerin the United States so you can relocate to another country towork for a subsidiary or affiliate of Lowe’s that does notparticipate in the <strong>401</strong>(k) <strong>Plan</strong> does not constitute a “separationof service,” and you will not be entitled to take a distribution ofyour account at that time.A lump sum distribution is subject to tax on the sum of theamount of cash received, and the fair market value of the∗Specific portions of this document, designated with an asterisk (*), constitutepart of a prospectus covering securities that have been registered under theSecurities Act of 193312