Eoy Val and quarterly contributions

[abanky]

Yes, we are still doing end of the year valuations for all of our plans under 100...

I have several questions:

Am I correct in the following assumptions?

1) All plans regardless of size are required to have quarterly contributions for the plan year following a plan year with a shortfall.

2) For an end of the year plan with prior year shortfall, even though, the 2008 required contribution has not been calculated until after 12/31/2008, contributions were still needed to be made on 4/15/2008, 7/15/2008, 10/15/2008 and 1/15/2008. These missed payments are then penaltized.

follow up questions.

1) Do pbgc covered plans have to notify the pbgc of missed quarterlies with form 10?

2) Is the 5% penalty applied the same way as for beginning of the year plans?

Thank you,

Andrew

[Effen]

1) Yes

2) Yes

follow-up

1) Yes, but on the COPA board it was speculated that the PBGC might waive the requirement, but nothing yet

2) No one really knows. At this point, just do something reasonable.

[abanky]

follow-up

1) form 10 is due 30 days after the quarterly contribution is required, so if we don't hear anything soon, we should file them soon for 4/15 quarterlies. Correct?

[Effen]

That is the way I read it.

Kind of interesting that if you might need to file a Form 10 before you really know what your required quarterly is for an EOY val. Lets say the market takes off so much that the 2009 required is $0. If that is true, you didn't really have any quarterlies due and therefore the Form 10s you filed weren't necessary.

[abanky]

That's the exact reason I was thinking this whole thing with eoy plans is crazy.

Thank you very much for you help.