Retro Plan Amd for acquired employee eligibility

[Guest A125]

Company A purchased Company B via an asset sale in July 2010. Company B employees became employees of Company A on the acquisition date. Company B did not have a retirement plan. Company A has a 401(k) plan with immediate eligiblity and entry date.

Agreement is for acquired employees to begin participation under Company A's plan 1/1/2011 with vesting service counted from July 2010.

My question is: can we amend the plan now to provide that acquired employees begin participaiton on 1/1/2011 or should it have been done prior to the sale? Is an amendment even necessary if the sale documents provide for participation as of 1/1/2011? (I know an amendment is necessary for vesting service).

Thanks for any input!

[rcline46]

Based on what you posted, CO. B's employees became eligible on the day they began working for Co. A.