transferring non-vested amounts to a new plan

[Guest George Chimento]

Prior to 2005, we adopted a new plan with 409A language. The Plan provides it will hold 2005 deferrals, and allows us to transfer to it the non-vested amounts from "old Plans." That gives us a grandfathered plan under pre-409A rules and a new plan under 409A rules.

I'm pretty comforthable that the transfer of non-vested amounts from the old plan to the new plan are not a material modification which would cause grandfather status to be lost. It seems like the most practical way to comply with this difficult grandfathering provision, which looks to vesting rather than year of deferral.

Any thoughts ?