pension value plan for ibew, weu and wtpu employees · mail code k15-19, spirit aerosystems...

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Pension Value Plan For IBEW, WEU and WTPU Employees In This Section See Page Plan Highlights ............................................................................................................................ 2 Eligibility and Participation ....................................................................................................... 4

Who May Not Participate ........................................................................................................ 4 Spirit AeroSystems Benefits Center........................................................................................... 4

Your Ongoing Responsibilities................................................................................................ 4 Your Responsibilities When Applying for Plan Benefits ........................................................ 5

Service .......................................................................................................................................... 5 Vesting Service........................................................................................................................ 5 Credited Service....................................................................................................................... 6 Break in Service....................................................................................................................... 6 Uniformed Service................................................................................................................... 7 Reemployment After Retirement............................................................................................. 7

Benefits ......................................................................................................................................... 7 Basic Benefit Formula ............................................................................................................. 7 Alternate Benefit Formula ....................................................................................................... 8

When You May Retire .............................................................................................................. 10 Normal Retirement – Age 65................................................................................................. 10 Early Retirement – Ages 55 to 65.......................................................................................... 10 Retirement from Layoff Status .............................................................................................. 11 Late Retirement After Age 65 ............................................................................................... 12 Disability Retirement............................................................................................................. 13 If You Leave Before Retirement............................................................................................ 13

Benefit Payments ....................................................................................................................... 14 Single Life Annuity ............................................................................................................... 14 50%, 75% or 100% Surviving Spouse Option....................................................................... 15 Life Annuity with a 10-Year Certain Option ......................................................................... 16 Accelerated Income Option ................................................................................................... 17 Deferring Benefit Payments................................................................................................... 17 If You Do Not Choose a Payment Method ............................................................................ 17 Spousal Consent..................................................................................................................... 18 Payment of Small Benefits .................................................................................................... 18 Qualified Domestic Relations Order...................................................................................... 18

Pre-retirement Survivor Benefits............................................................................................. 18 If You Die While an Active Vested Employee...................................................................... 19 If You Die as a Vested Former Employee ............................................................................. 19

Postretirement Death Benefit ................................................................................................... 20 Request for Benefits .................................................................................................................. 20

Conditions That May Affect Your Pension Benefits ............................................................. 20 Review and Appeal Procedures................................................................................................ 21 Plan Amendment or Termination ............................................................................................ 21 Special Disclosure Information ................................................................................................ 22

Plan Name.............................................................................................................................. 22 Plan Sponsor .......................................................................................................................... 23 Operating Company............................................................................................................... 23 Collective Bargaining Representatives .................................................................................. 23 Plan Administrator and Agent for Service of Legal Process; Limitations on Actions........... 23 Type of Administration.......................................................................................................... 23

Pension Value Plan For IBEW, WEU and WTPU Employees

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Type of Plan .......................................................................................................................... 23 Funding and Contributions .................................................................................................... 23 Top-Heavy Plan Provisions ................................................................................................... 24 Plan Records.......................................................................................................................... 24 Plan Number and Employer Identification Number .............................................................. 24 Plan Trustee ........................................................................................................................... 24 Participant Rights and Protections Under ERISA ................................................................. 24

Plan Highlights The Spirit AeroSystems Holdings, Inc. Employee Retirement Plan for IBEW, WEU and WTPU Employees was merged into the Spirit AeroSystems Holdings, Inc. Pension Value Plan effective December 31, 2005.

This is a summary of the Spirit AeroSystems Holdings, Inc. Pension Value Plan – Sub-Plan #2, the Spirit AeroSystems Holdings, Inc. Employee Retirement Plan for IBEW, WEU and WTPU Employees. It describes benefits for IBEW, WEU and WTPU Employees that may be available to you if you are an eligible union-represented employee of Spirit AeroSystems. It describes how the plan works and how benefits are paid to you. Funded entirely by the Company, the plan is intended to help provide a measure of financial security to eligible employees during their retirement years.

Following retirement, many Spirit employees may be eligible to receive benefits from the plan, the federal Social Security program, and other plans, such as savings plans and retirement plans. Full details of these plans (including eligibility requirements) are explained in other plan summaries available to you.

The provisions described in this summary plan description (“SPD”) are effective January 1, 2009. If you were hired by Spirit on June 17, 2005 (or were hired within 30 months of June 17, 2005 if you were on Boeing authorized leave of absence on June 17, 2005) as a IBEW, WEU or WTPU employee and you did not retire from Boeing by August 1, 2005 (or within 30 days of your Boeing authorized leave of absence end date), your Boeing BCERP benefit was transferred to this plan and will be paid through this plan. Otherwise, your benefits will be provided through the Boeing BCERP Plan.


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Key Features of the Retirement Plan The Company makes all contributions to the plan; you are neither required nor permitted to

make contributions. You are eligible to participate in the plan only if you were a participant in the Boeing

BCERP Plan on June 16, 2005, you were hired by Spirit as an employee other than an IAM employee on June 17, 2005 (or were hired within 30 months of June 17, 2005 if you were on Boeing authorized leave of absence) and you did not retire from Boeing by August 1, 2005 (or within 30 days of your Boeing authorized leave of absence end date).

Service is used to determine your eligibility for benefits and your benefit amount. Credited Service is used to determine your benefit amount and Vesting Service is used to determine your eligibility for termination benefits and early retirement benefits.

Credited Service and benefit amounts are frozen as of June 16, 2005. Frozen pension benefits are calculated under two formulas. The basic benefit formula bases your benefit only on your years of Credited Service as of June 16, 2005. The alternate benefit formula bases your benefit on your years of Credited Service, your final average earnings, and Social Security covered compensation, all as of June 16, 2005. The plan pays you whichever benefit is greater.

You continue to earn Vesting Service for Spirit employment after June 16, 2005. You earn a right to your pension benefit after you complete five years of Vesting Service. When your employment with Spirit ends, you may receive your vested plan benefit at

age 65, or you may retire as early as age 55 with 10 years of Vesting Service and receive a reduced benefit.

Several payment options are available. Generally, all options pay benefits monthly for your lifetime.

Your pension benefits are insured, up to certain limits, by the Pension Benefit Guaranty Corporation, a U.S. Government agency.

Currently, the authority to administer the plan has been delegated to the Retirement Committee by the Spirit AeroSystems Holdings, Inc. Board of Directors. As plan administrator, the Committee will apply the terms of the plan and has discretionary authority to interpret the plan when reviewing claims for benefits.

If you have questions about the information in this SPD, please call the Spirit AeroSystems Benefits Center at 1-877-459-3345 or visit the website at www.myspiritbenefits.mercerhrs.com.

“Spirit AeroSystems Holdings, Inc.,” “Spirit AeroSystems,” “Spirit,” and “the Company” as used throughout this SPD, refer to the Spirit AeroSystems Holdings, Inc. and any affiliates or subsidiaries that have adopted the plan. Spirit AeroSystems, Inc. has adopted this plan. Spirit AeroSystems, Inc. is the operating company name (i.e., most employees are employed by Spirit AeroSystems, Inc.). Spirit AeroSystems Holdings, Inc. is the holding company name and Spirit AeroSystems, Inc. is a wholly owned subsidiary of Spirit AeroSystems Holdings, Inc.

This is a summary of the terms of the Spirit AeroSystems Holdings, Inc. Pension Value Plan as it relates to IBEW, WEU and WTPU Employees. Every effort has been made to provide an accurate summary of the plan, but in the event of a conflict between this summary and the official plan document, the terms of the plan will control. A copy of the plan document is available at the cost of reproduction by sending a written request to the Retirement Committee, Mail Code K15-19, Spirit AeroSystems Holdings, Inc., P.O. Box 780008, Wichita KS 67278-0008.


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Eligibility and Participation You are eligible to participate in the Spirit AeroSystems Holdings, Inc. Pension Value Plan as an IBEW, WEU or WTPU Employee if all of the following apply to you:

You were hired by Spirit AeroSystems on June 17, 2005 as other than an IAM-represented employee, or you were on authorized leave of absence from Boeing on June 17, 2005 and were hired by Spirit within 30 months of June 17, 2005 as other than an IAM-represented employee immediately following the end of your authorized leave; and

You had accrued a benefit in the Boeing BCERP Plan as of June 16, 2005 and that benefit was transferred to the Spirit AeroSystems Holdings, Inc. Employee Retirement Plan for IBEW, WEU and WTPU Employees.

Who May Not Participate You are not eligible to participate in the plan if any of the following applies to you:

You were not an IBEW, WEU or WTPU employee on June 17, 2005 (nor hired within 30 months of June 17, 2005 if you were on Boeing authorized leave of absence on June 17, 2005); or

You did not accrue a benefit in the Boeing BCERP Plan as of June 16, 2005; or

You retired from Boeing on or before August 1, 2005 (or within 30 days of your Boeing authorized leave of absence end date).

Spirit AeroSystems Benefits Center You may call the Spirit AeroSystems Benefits Center at 1-877-459-3345 or visit their website at www.myspiritbenefits.mercerhrs.com to:

Ask questions about plan benefits;

Request an estimate of your benefits; and

Request retirement commencement packet, which includes the Pension Options Form you will need to start your benefit payments.

Spirit AeroSystems Benefits Center representatives will provide you with information about your pension benefits. Representatives are available to talk with you Monday through Friday from 8 a.m. to 5 p.m. Central Standard Time.

To access the Spirit AeroSystems Benefits Center, you need your current personal identification number (PIN) and your Social Security number. If you do not currently have a PIN, you may reset your PIN by visiting the Spirit AeroSystems Benefit Center or calling to request that a PIN be mailed to you. The Spirit AeroSystems Benefits Center PIN will be different than the PIN that you needed for Boeing TotalAccess.

Your Ongoing Responsibilities You must keep the Company informed of your latest address at all times. It may be necessary for the Company to contact you from time to time on matters relating to your pension benefit. If you are not an active employee, you should contact the Spirit AeroSystems Benefits Center to report a change in address for pension benefit purposes.

Your PIN is necessary whenever you want to access information about your pension benefit, whether you are an active employee, a retiree, or a terminated employee. If you lose your PIN, call the Spirit AeroSystems Benefits Center or visit their website.


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If you leave the Company and are eligible to receive a pension benefit at a later date, you are responsible for contacting the Spirit AeroSystems Benefits Center to request the forms to start your benefit payments.

Your Responsibilities When Applying for Plan Benefits It is your responsibility to apply for plan benefits. Follow these steps to apply:

1. Request your retirement commencement packet. Call the Spirit AeroSystems Benefits Center or visit the website to request your retirement commencement packet 60 to 90 days before you want your pension benefits to begin. You must request your retirement commencement packet no later than the 20th of the month prior to the month in which you want your pension benefits to begin. When you call, you will need to provide:

Your Social Security number;

Your four-digit PIN; and

If married, your spouse’s name, Social Security number, and date of birth.

2. Review your retirement commencement packet. The Spirit AeroSystems Benefits Center will mail your retirement commencement packet to your home. Carefully read through the materials in the retirement commencement packet as soon as possible. You may need to allow time to gather documentation, such as your marriage certificate and birth certificates for you and your spouse. Depending on the form of payment you choose, you may need your spouse’s consent, which will require your spouse’s signature to be notarized by a notary public. If you have any questions, call the Spirit AeroSystems Benefits Center immediately to avoid processing delays.

3. Return your completed forms and documentation. Complete the required forms and return them, along with any requested documentation, according to the instructions in your retirement commencement packet. The Spirit AeroSystems Benefits Center must receive the completed forms and documentation prior to your benefit commencement date (for example, by June 30 for a July 1 benefit commencement date) or your pension benefit commencement date will be postponed.

If you change your mind after submitting your form and want to delay receiving your pension payments, you must notify the Spirit AeroSystems Benefits Center before your benefit commencement date. When you are ready for payments to begin, you must call the Spirit AeroSystems Benefits Center to begin the process again.

4. Notify the Company when you terminate to prevent your pension payments from being delayed. Employees less than age 701⁄2 cannot start their pension benefits until after their employment with Spirit has ended.

Service How long you work for the Company is important in determining both your eligibility for benefits and the amount of your benefits. This section explains how your service affects your pension benefits and the differences between Vesting Service and Credited Service.

Vesting Service Vesting Service is used to determine whether you are eligible to receive benefits (but not the amount of your pension). When you become vested, you receive the nonforfeitable right to benefits. This means you cannot lose your right to receive benefits, even if you terminate from the Company.


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You started to accumulate Vesting Service when you began your employment with Boeing, and you continue to earn additional Vesting Service during your employment with Spirit. Generally, you earn one year of Vesting Service for each plan year (January 1 through December 31) in which you have at least 1,000 hours of service. If you have fewer than 1,000 hours of service in the plan year, the year will not be counted for vesting.

When You Become Vested You become vested in the plan after you complete five years of Vesting Service. If you leave the Company after becoming vested, at age 65 you will be entitled to 100% of the benefit you earned up to the time you left the Company.

Credited Service Credited Service is part of the benefit formula used to calculate the amount of your pension (but not eligibility to receive your benefit). Credited Service is frozen as of June 16, 2005; you do not earn additional Credited Service during your employment with Spirit.

Prior to June 17, 2005, you earned one year of Credited Service for each plan year (January 1 through December 31) in which you had at least 2,000 hours of service. (You were credited with 45 hours of service for each week for which you are paid.) However, you could not earn more than one year of Credited Service per plan year.

Prior to June 17, 2005, if you had fewer than 2,000 hours of service in a plan year, you received Credited Service for part of the year. The Credited Service you received was determined by dividing your total number of hours of service by 2,000. For example, if you had 1,000 hours of service during a plan year, you earned one-half year of Credited Service for the year.

Break in Service Unless you are on an authorized period of absence, you will incur a break in service if you have fewer than 500 hours of service in a plan year. Authorized period of absence includes:

Layoff not to exceed six years duration;

Approved leave of absence (including a leave of absence due to qualified military service); and

Labor-management dispute.

Once you have a break in service, your plan status will change from an Active Participant to a Terminated Participant. Unless you were eligible to retire prior to your break in service, Terminated Participants are not eligible for Active Participant early retirement benefit provisions.

If you were vested before you incurred a break in service, you will retain your Vesting and Credited Service and be eligible for retirement benefits at your normal retirement age. But if you were not vested before you incurred a break in service and you incur five or more consecutive plan years of breaks in service or you are laid off for more than six years, you will lose all your Vesting Service and Credited Service prior to your break and you will no longer be able to participate in this plan.

If you were vested before you incurred a break in service or if you return to work before you incur five consecutive plan years with breaks in service, you can change from a Terminated Participant back to an Active Participant by returning to work and regain eligibility for Active Participant early retirement benefit provisions. In order to be an Active Participant, you must return to work for a 12 consecutive month period in which you work at least 1,000 hours. If you regain your Active Participant status, you will earn additional Vesting Service from your rehire date.


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Uniformed Service If you take a leave of absence for service in the U.S. uniformed services (including the military, National Guard, and the Commissioned Corps of the Public Health Service) and have reemployment rights under the Uniformed Services Employment and Reemployment Rights Act (USERRA), the time you spend in the U.S. uniformed services will be used to calculate Vesting Service under the plan, according to applicable law. You must meet the requirements of USERRA, including notice to the Company, and return to employment within the prescribed time periods. For more information about how service in the uniformed services affects your plan benefit, call the Spirit AeroSystems Benefits Center at 1-877-459-3345.

Reemployment After Retirement If you return to work for the Company or become employed by an affiliate or subsidiary of the Company after retiring, your monthly pension benefits will be suspended during any month in which you work at least 40 hours.

If you originally elected to retire early from active service with the Company, later become reemployed, and then complete a 12-month eligibility waiting period, the early retirement reduction applied to your benefit payments will be adjusted to account for your new period of employment. This means that the reduction for early retirement will be based on your age at your original retirement date advanced by the period of reemployment. When you retire again, you will begin to receive your previously earned pension benefits, adjusted for reemployment, according to the payment method you chose at the time of your first retirement.

If you die while you are reemployed and you elected a surviving spouse option at the time of your original retirement, payment to the spouse you had when you made the election, if surviving, will begin on the first day of the month following your death. The benefit amount will depend on your payment election.

Benefits The plan uses two formulas to determine your pension benefit:

The basic benefit formula is based on $60 per year of Credited Service (the “basic benefit”) as of June 16, 2005.

The alternate benefit formula is based on your final average earnings, years of Credited Service, and Social Security covered compensation, all as of June 16, 2005. (If you were on the active payroll, layoff, or a leave of absence on January 1, 1993, your pension benefit also will be calculated using a second alternate benefit formula, the “old alternate benefit formula,” as described below.)

Your benefit will be calculated using both the basic and alternate benefit formulas. You will receive benefits under the formula that produces the larger monthly benefit.

Basic Benefit Formula The basic benefit is $60 times your number of years of Credited Service as of June 16, 2005.

Basic Benefit Formula Example Assume you were born on August 1, 1944. You retire at age 65 on August 1, 2009. You had 30 years of Credited Service as of June 16, 2005. You choose a single life annuity as the payment option. Your pension benefit under the basic benefit formula would be calculated as follows: Basic Monthly Benefit $60 Years of Credited Service × 30 Monthly Benefit* $1,800 * This amount will be reduced if you retire early or choose a payment option other than a single life annuity.


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Alternate Benefit Formula The alternate benefit formula consists of the core benefit plus the excess benefit. These benefits are calculated using your

Final average earnings as of June 16, 2005;

Years of Credited Service as of June 16, 2005; and

Social Security covered compensation as of June 16, 2005.

Final average earnings were based on your basic annual compensation, which is your annual rate of pay on the first day of each calendar month that you were on the active payroll. Final average earnings did not include overtime, shift differential, cost of living, or other payments that were in addition to your hourly rate or base salary.

Your final average earnings is the highest average rate over any period of 60 consecutive months during your last 120 months of service prior to June 16, 2005. If you have fewer than 60 months of service prior to June 16, 2005, your final average earnings will be based on your actual months of service prior to June 16, 2005.

Final average earnings also included awards under the Boeing Lump Sum Payment Plan (previously known as the Productivity Payment Plan) during the five years before June 16, 2005. However, other Boeing lump-sum payments such as bonuses, incentive awards, lump-sum merit pay, and other special award payments were not included.

Covered compensation is the average of Social Security wage bases during the 35 years on or before 2005. Covered compensation as of June 16, 2005 is $46,344.

Core Benefit Your core benefit is determined by multiplying the core percentage (1.025%) by your final average earnings as of June 16, 2005. This amount is then multiplied by your years of Credited Service as of June 16, 2005.

Excess Benefit Your excess benefit is determined by subtracting the covered compensation amount ($46,344) from your final average earnings as of June 16, 2005. This amount is then multiplied by the excess percentage (0.450%), and the result is multiplied by your years of Credited Service as of June 16, 2005.

Your core benefit and any excess benefit amount are added together to determine your total annual benefit payable at age 65 under the single life annuity. This amount will be reduced if you retire early or choose a different payment option.

Alternate Benefit Formula Example Assume you were born on August 1, 1944. You retire at age 65 on August 1, 2009. You have 30 years of Credited Service on June 16, 2005 and your final average earnings on June 16, 2005 was $60,000. You choose a single life annuity as the payment option. Your pension benefit under the alternate benefit formula would be calculated as follows: Core Benefit Excess Benefit Final Average Earnings $60,000.00 Final Average Earnings $60,000.00 Core Percentage × 0.01025 Covered Compensation - 46,344.00 Years of Credited Service × 30 Excess pay $13,656.00 Excess Percentage x 0.00450 Years of Credited Service × 30 Core Benefit $18,450.00 Excess Benefit $1,843.56


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Alternate Benefit Formula Example Total Annual Benefit Core Benefit $18,450.00 Excess Benefit + 1,843.56 Annual Benefit $20,293.56 ÷ 12 months Monthly Benefit* $1,691.13**

Old Alternate Benefit Formula for Employees on Active Payroll, Layoff, or Leave of Absence on January 1, 1993 You also may be eligible to have your benefit calculated under the old alternate benefit formula if either of the following applies to you:

You were on the active Boeing payroll as of January 1, 1993, or

You were on Boeing layoff or approved leave of absence as of January 1, 1993, and later returned to the active payroll without a previous disruption of status.

If this applies to you, your pension benefit will be calculated using three formulas; the basic, alternate, and old alternate benefit formulas. You will receive benefits under the formula that produces that largest monthly benefit.

The old alternate benefit formula is based on your:

Final average earnings as of June 16, 2005;

Years of Credited Service as of June 16, 2005; and

Estimated primary Social Security retirement benefit as of June 16, 2005.

The old alternate benefit is your annual benefit based on final average earnings less the amount of your Social Security adjustment.

Your annual benefit is determined by multiplying your final average earnings as of June 16, 2005 by 1.5%. This amount is then multiplied by your years of Credited Service as of June 16, 2005.

Your Social Security adjustment as of June 16, 2005 is determined by multiplying your estimated Social Security retirement benefit as of June 16, 2005 by 1.25%. This amount is then multiplied by your years of Credited Service as of June 16, 2005.

Your Social Security benefit estimate is determined using your basic annual compensation in 2005 along with 2005 Social Security provisions. If you believe that the estimate does not reflect your true earnings history and would like your Social Security adjustment to be recalculated, you must obtain records of your actual earnings from the Social Security Administration and submit them to the Spirit AeroSystems Benefits Center within six months of your retirement.


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Old Alternate Benefit Formula Example Assume you were born on August 1, 1944. You retire at age 65 on August 1, 2009. You have 30 years of Credited Service on June 16, 2005, your final average earnings on June 16, 2005 was $60,000, and your estimated monthly Social Security benefit as of June 16, 2005 was $1,250 ($15,000 annually). You choose a single life annuity as the payment option. Your pension benefit under the old alternate benefit formula would be calculated as follows: Unadjusted Annual Benefit Social Security Adjustment Final Average Earnings $60,000.00 Social Security Benefit $15,000.00 Benefit Percentage × 0.015 Adjustment Percentage × 0.0125 Years of Credited Service × 30 Years of Credited Service × 30 Unadjusted Benefit $27,000.00 Social Security

Adjustment $5,625.00

Total Annual Benefit Unadjusted Benefit $27,000.00 Social Security Adjustment - 5,625.00 Annual Benefit = $21,375.00 ÷ 12 months Monthly Benefit* = $1,781.25**

When You May Retire Normal Retirement – Age 65 Normal retirement age is 65. Your normal retirement date is the first day of the month on or following your 65th birthday.

You may retire before or after your normal retirement date, depending on your age and years of service. These provisions are described in the following sections:

Early Retirement – Ages 55 to 65 —

Retirement from Layoff Status — Page 11

Late Retirement After Age 65 — Page 12

Disability Retirement — Page 13

If You Leave Before Retirement — Page 13

Early Retirement – Ages 55 to 65 You may retire as early as age 55. If you are younger than age 62, you must satisfy at least one of the following conditions:

You have 10 or more years of Vesting Service under the plan;

You have been issued a declaration of permanent and total disability under a Company-sponsored group insurance plan or through a Social Security disability award; or

You are placed on layoff at or after age 55.

The amount of the plan benefit you receive depends on when you retire.


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If you retire on or after your 60th birthday, you will receive your entire plan benefit; or

If you retire between ages 55 and 60, your plan benefit will be reduced. This age-related adjustment is made to your benefit when you retire early because payments are expected to continue over a longer period of time. The early retirement adjustment schedules, shown below, differ depending on the benefit formula used to calculate your benefit amount.

Early Retirement Adjustments Percentage of Earned Benefit Payable Age at Retirement*

Basic and Core Benefits

Excess Benefit Old Alternative Benefit

60 or older 100% 100% 100% 59 98% 95% 97% 58 96% 90% 94% 57 94% 85% 91% 56 92% 80% 88% 55 90% 75% 85% * The percentages shown here are based on whole ages. Your benefit will be based on your age in years and

completed months.

Early Retirement Example Assume you were born on August 1, 1954. You retire at age 55 on August 1, 2009. You have 30 years of Credited Service as of June 16, 2005, your final average earnings as of June 16, 2005 was $60,000, you are eligible for the Old Alternate Benefit Formula, and you choose a single life annuity payment option. Your monthly early retirement benefit would be calculated as follows: Benefit Formula Monthly Benefit

Amount Early Retirement Reduction

Reduced Benefit Amount

Basic Benefit Formula Basic Benefit $1,800.00 0.90 $1,620.00 Alternate Benefit Formula Core Benefit $1,537.50 0.90 $1,383.75 Excess Benefit 153.63 0.75 115.22 Total $1,691.13 $1,498.97 Old Alternate Benefit Formula Unadjusted Benefit $2,250.00 0.85 $1,912.50 Social Security Adjustment - 468.75 0.85 - 398.44 Total $1,781.25 $1,514.06 * The percentages shown here are based on whole ages. Your benefit will be based on your age in years and

completed months.

** This amount will be reduced if you choose a payment option other than a single life annuity.

*** Since the basic benefit ($1,620) is the largest benefit amount, you will be paid $1,620 per month.

Retirement from Layoff Status If you are placed on layoff before reaching age 55, you may be eligible to retire under the plan. To be eligible to retire from layoff status, you must satisfy the following conditions:

You must have 10 or more years of Vesting Service under the plan; and

You must reach age 55 during the layoff period (within six years of the layoff date).


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You are eligible to retire immediately if you are placed on layoff at or after age 55.

Benefit payments may also be deferred until age 65 as described under “Deferring Benefit Payments” on page 17.

Late Retirement After Age 65 The plan provides for a late retirement benefit if you continue to work after age 65.

If You Continue Working After Age 65 Even if you continue working for the Company after age 65, your benefit amount will not change. You will not begin to receive any benefit payments until the earlier of the first day of the month on or after the date you retire from the Company, or your age 701⁄2 distribution date, as described later in this section.

If you work for the company after age 65, you will experience what the U.S. Department of Labor considers a “suspension of benefits.” This means that during the period you work between age 65 and your age 701⁄2 distribution date, you will not receive pension benefits even though you are eligible to retire and could elect to receive your benefits if you did. In general, your benefits will not begin before your age 701⁄2 distribution date unless you retire and work less than 40 hours per month.

Age 701⁄2 Distribution Date Benefits under the plan must begin by April 1 following the calendar year in which you reach age 701⁄2, even if you are still working for the Company. This is known as the age 701⁄2 distribution date. If you are an active employee on your age 701⁄2 distribution date, you will begin to receive a monthly benefit payable in the form of a single life annuity. When you retire, you may elect to receive the remainder of your benefit in another form of payment available under the plan.

If you are married and you die between your age 701⁄2 distribution date and your retirement date, your spouse will automatically will receive a monthly benefit equal to a 100% surviving spouse option. The monthly benefit payable to your spouse will be calculated as if you had terminated employment and commenced benefits on the 100% surviving spouse option as of the first day of the month following the date of your death.

If you are single, you may elect a Life Annuity with a 10-Year Certain Option form of payment to be paid to a beneficiary in the event you die between your age 701⁄2 distribution date and your retirement date. The benefit payable to your beneficiary will be calculated as if you had terminated employment and commenced benefits on the Life Annuity with a 10-Year Certain Option form of payment as of the first day of the month following the date of your death. Married participants are also allowed, with the consent of their spouse, to elect this Life Annuity with a 10-Year Certain Option form of payment instead of the 100% surviving spouse option described in the above paragraph.

The Spirit AeroSystems Benefits Center will notify you of your right to elect this Life Annuity with a 10-Year Certain Option before you become eligible for an age 701⁄2 distribution. You must make the election within the time period specified in the notice.


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Disability Retirement You may qualify for disability retirement benefits if you become permanently and totally disabled while an active employee of the Company or while on an approved leave of absence (including a leave of absence due to qualified military service). The plan will pay disability retirement benefits if you meet all of the following conditions after you are age 50 but before you reach age 65:

You have completed six consecutive months of absence for medical reasons (a return to active employment for fewer than 30 calendar days will not interrupt this period);

You have received a Social Security Award Certificate for a disability benefit under the Social Security Act;

You were at least age 50 when the disability occurred;

You have 10 or more years of Vesting Service in the plan; and

You formally apply for disability retirement by submitting the Pension Options Form to the Spirit AeroSystems Benefits Center.

You should contact the Spirit AeroSystems Benefits Center to ask about disability retirement benefits under the plan at the same time you apply to the Social Security Administration for disability benefits.

If Social Security disability payments are discontinued before your 65th birthday, you are required to notify the Spirit AeroSystems Benefits Center of this development. If you return to work, all benefits must stop. If you do not return to work and you are eligible for early retirement at that time, you will be allowed to start your early retirement benefits. If you do not return to work and you are not eligible for early retirement benefits, your benefits will stop and you will be treated as a vested terminated employee.

Disability retirement payments consist of benefits earned up to the time of disability (but not beyond June 16, 2005). Benefits are not reduced because of your age. Normal reductions will be made, however, for benefits paid under the surviving spouse option.

If you satisfy the requirements for early retirement and have filed for Social Security disability benefits, you may begin receiving early retirement benefits under the plan. If a Social Security disability award subsequently is granted, your early retirement benefits may be converted to disability retirement benefits under the plan. That is, the early retirement age reduction may be removed; retroactive to the date you first met the conditions of entitlement for disability benefits.

If You Leave Before Retirement If you stop working for the Company before you become eligible to retire, but after you become vested, you may claim the vested benefits you have earned once you reach normal retirement age. You may select from the same payment options that would be available to you if you were retiring from active employment. The Spirit AeroSystems Benefits Center must receive your completed Pension Options Form before your intended benefit commencement date.

You may claim vested benefits before normal retirement (age 65), but the benefits will be reduced by 6% for each year before age 65 to account for the longer time over which they may be paid. This reduction for early retirement is substantially greater than the reduction applied to benefits of active employees retiring from the Company. To have vested benefits begin before age 62, you must satisfy at least one of the conditions required for early retirement as described under “Early Retirement – Ages 55 to 65” on page 10. The surviving spouse payment reductions also are greater for a vested former employee. For more information regarding these reductions, contact the Spirit AeroSystems Benefits Center.


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Termination Adjustments Age at Benefit Commencement Reduction for Early Benefit Commencement 65 or older 100% 64 94% 63 88% 62 82% 61 76% 60 70% 59 64% 58 58% 57 52% 56 46% 55 40%

Because important information about the plan and your vested benefits may be mailed to you from time to time, you are encouraged to notify the Company whenever your address changes even though you may not yet be receiving benefits.

Benefit Payments The payment methods available under this plan include:

A single life annuity;

A 50%, 75% or 100% surviving spouse option, if you are married;

Life annuity with a 10-year certain option; and

Accelerated income option.

To begin receiving retirement benefits, you must complete a Pension Options Form and select a form of payment during the 90-day period before your benefit commencement date. In general, your retirement benefit cannot begin any earlier than 30 days after your election forms are provided to you unless you specifically waive the 30-day period.

You may be permitted to select a retroactive benefit commencement date (with the consent of your spouse, if you are married) if you receive your benefit election forms and notification material after your benefit commencement date. Your retroactive benefit commencement date cannot be earlier than the date you terminate employment or the date you notify the Spirit AeroSystems Benefits Center of your intent to commence benefits. If you are no longer employed, you are deemed to have notified the Spirit AeroSystems Benefits Center of your intent to commence benefits upon reaching your normal retirement date.

After your benefit payments have commenced, you may not change the method of payment regardless of changes in your personal circumstances or marital status.

Single Life Annuity Under this payment method, you will receive a monthly benefit payment that will continue for the rest of your lifetime. No benefit payments are made after your death.

If you are married and want to elect this option, you must have your spouse’s written consent. Your spouse must sign the spousal consent section of the Pension Options Form and have it witnessed by a notary public.


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50%, 75% or 100% Surviving Spouse Option You must be married to choose the 50%, 75% or 100% surviving spouse option, which is also known as a joint-and-survivor annuity.

Under this payment method, you receive a monthly benefit payment for the rest of your life. If you die before your spouse does, your surviving spouse will receive a percentage of your monthly benefit for life. (“Spouse” refers to the person to whom you are married when you start receiving payments, regardless of any changes in marital status after retirement.) The percentage will be the amount you specified on the Pension Options Form: 50%, 75% or 100%.

Because the plan is paying a benefit over the lifetimes of two people, the initial monthly benefit amount is smaller than it would be if it were paid as a single life annuity, as shown in the following example.

However, if your spouse dies before you do, the benefit will revert to the higher single life annuity for the rest of your life, beginning on the first day of the month after the death of your spouse.

Benefit Reductions for the Surviving Spouse Options (Active Employees) If your spouse is… And you choose the

50% option, your benefit will be…

And you choose the 75% option, your benefit will be…


Within 10 years of your age

95% of your single life annuity



More than 10 years younger than you

Reduced by an additional 1% for age difference that is above 10



More than 10 years older than you

Increased by 1% for age difference that is above 10 to a maximum of 99%



The following example shows how the reduction factors work, assuming a $1,000 monthly single life annuity. Using this example, if your spouse dies before you, your benefit will revert to the single life annuity (i.e., increase back to $1,000 per month) on the annuity payment date following your spouse’s death.

Example of Benefit Reductions for the Surviving Spouse Options — $1,000 Monthly Benefit If your spouse is… And you choose the

50% option, your/your spouse’s benefit will be…

And you choose the 75% option, your/your spouse’s benefit will be…

And you choose the 100% option, your/your spouse’s benefit will be…


$950/$475 (95% of single life annuity)



15 years younger than you

$900/$450 (additional 5% reduction)

$850/$637.50 (additional 5% reduction)

$800/$800 (additional 5% reduction)

15 years older than you

$990/$495 (increased by 4%)

$950/$712.50 (increased by 5%)

$900/$900 (increased by 5%)


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If your employment terminates before you become eligible for retirement, your benefit reduction will be greater. The reductions are as follows:

Benefit Reductions for the Surviving Spouse Options — for Terminations Before Retirement Eligibility If your spouse is… And you choose the

50% option, your benefit will be…







More than 10 years younger than you

Reduced by an additional 1% for each full year of age



More than 10 years older than you

Increased by 1% for each full year of age to a maximum of 99%



Life Annuity with a 10-Year Certain Option The life annuity with a 10-year certain option guarantees a monthly pension benefit for your entire life. In addition, if you die within 10 years after your benefit payments begin, your beneficiary will receive the same monthly benefit amount for the rest of the 10 years. For example, if you elect this option and die two years after your benefit payments begin, your beneficiary will receive the same monthly benefit amount for the remaining eight years of the guaranteed period and no payments thereafter. Because of this 10-year guarantee, the monthly benefit amount is smaller than it would be if it were paid as a single life annuity.

You may name any beneficiary you choose. If your beneficiary dies during the 10-year guaranteed period, you may name another beneficiary. If you are married and want to elect this option, you must have your spouse’s written consent. Your spouse must sign the appropriate form and have it witnessed by a notary public.

Comparison of Payment Methods Below are sample monthly payments for you and your spouse, assuming you retire when you are age 63 and your spouse is age 61. These amounts are for illustration only and may not reflect your actual payment. Method Monthly Amount to Retiree

for Life Monthly Amount to Spouse After Retiree’s Death

Single Life Annuity $1,000.00 $0 Surviving Spouse Option 50% option $950.00 $475.00 75% option $900.00 $675.00 100% option $850.00 $850.00 Life Annuity With a 10-Year Certain Option

$950.80 $950.80* for the years remaining in the 10-year guaranteed period


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Accelerated Income Option If you decide to retire before age 62 and two months, you may choose the accelerated income option. You may elect this option along with a single life annuity, the surviving spouse option (any percentage) or the life annuity with a 10-year certain option.

The accelerated income option allows you to collect a larger than normal portion of your pension benefit up to age 62 and two months and a smaller benefit afterward. Your monthly annuity is reduced to pay for this option. For most employees who elect this option, the temporary supplement is $700 per month and is offered until age 62 and two months. If your benefit is not large enough to pay for the $700 temporary supplement, you will receive a smaller temporary supplement and your pension benefit will cease after age 62 and two months.

If you are married, elect a surviving spouse option, and die before reaching age 62 and two months, a portion of the temporary supplement will be paid to your surviving spouse until the date you would have reached age 62 and two months. Your spouse will receive the same percentage that applies to the surviving spouse option you elected.

When you reach age 62 and two months (or would have reached age 62 and two months) the temporary supplement ends and your benefit is reduced by $700. This reduced benefit is payable for life. If you are married, elect a survivor option, and die before your spouse, the reduced benefit is further reduced by the spouse option percentage and will continue to your spouse for their lifetime.

If you elect the accelerated income option and the life annuity with a 10-year certain option and you die before age 62 and two months, your beneficiary will continue to receive the temporary supplement until the earlier of when you would have been age 62 and two months or the end of the 10-year period. If the 10-year certain period extends past the date you would have reached age 62 and two months, your beneficiary will receive the reduced amount payable after age 62 and two months for the balance of the 10 years.

This payment option is not available for disability retirements or pending disability retirements.

Deferring Benefit Payments If you leave the Company after you are eligible to retire, you may defer receiving your benefit payments until age 65. If you do this, you will be considered a deferred eligible participant. The longer you wait to begin receiving benefit payments; the larger your monthly payment may be because early commencement reductions are diminished.

If You Do Not Choose a Payment Method If you are no longer working for Spirit and do not specify a payment method on the Pension Options Form before you reach age 65, your benefit payments will begin automatically in the form of a qualified joint and survivor annuity. This payment method will be paid under one of the following forms:

If you are single, you automatically will receive a single life annuity.

If you are married, you automatically will receive benefits according to the 50% surviving spouse option.


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Spousal Consent If you are married and choose to elect any payment option other than the 50%, 75% or 100% surviving spouse option, you must have your spouse’s written, notarized consent. Therefore, you must have spousal consent witnessed by a notary public for the following options:

Single life annuity;

Life annuity with a 10-year certain option; and

Accelerated income option.

Payment of Small Benefits If the total lump-sum present value of your benefit is less than or equal to $5,000 when you are eligible to receive it, you may elect to:

Receive an immediate lump-sum distribution; or

Transfer the lump-sum value of your benefit to an eligible retirement plan. This transfer is called a “direct rollover.”

If you elect to receive a lump-sum distribution, you’ll owe ordinary income taxes on the lump sum and you may be subject to a 10% early withdrawal penalty. However, if you elect to rollover some or all of your lump-sum benefit to another employer’s retirement plan (including a 403(b) annuity plan or a 457(b) plan) or a traditional IRA, you can delay paying ordinary income taxes on that amount until you receive a distribution from the plan or traditional IRA and you may be able to avoid the 10% early withdrawal penalty. You may instead elect to rollover some or all of your lump-sum benefit to a Roth IRA. Any taxable amount you rollover to a Roth IRA will be taxable in the current year; however, if certain conditions are met, withdrawals from a Roth IRA, unlike a traditional IRA, may be tax-free.

If the total lump-sum present value of your benefit is more than $1,000, but less than or equal to $5,000 and you do not make an election to either receive the distribution or directly rollover the distribution to an eligible retirement plan, the lump-sum payment will be paid in a direct rollover to an IRA set up for you by the Spirit AeroSystems Benefits Center.

Before payment is made, the Spirit AeroSystems Benefits Center will provide you with an explanation of your right to payment and your rollover rights.

Qualified Domestic Relations Order Federal law protects your benefits under the plan from assignment and transfer to others. However, the Retirement Equity Act of 1984 specifically provides that this protection does not apply to a qualified domestic relations order (QDRO). A QDRO is a judgment, decree, or order that relates to divorce decrees, property settlements, and child support orders. If a court order of this type is received, you will be advised in writing.

You or your spouse (or former spouse) should contact the Spirit AeroSystems Benefits Center for additional information.

Pre-retirement Survivor Benefits If you are vested and die before your benefit payments begin, your surviving spouse may be eligible for a lifetime benefit under the plan. The amount payable to your spouse is based on a number of elements, including your age when payments begin and whether you are an active employee or a vested former employee when you die. Your spouse may elect to receive pre-retirement survivor benefits immediately or defer payments to a later date (but no later than the date you would have reached age 65). Your spouse must provide copies of birth, marriage, and death certificates.


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If You Die While an Active Vested Employee If you are an active vested employee and die before age 55, your spouse’s benefits will be calculated as if you had terminated your employment and elected to receive a 50% surviving spouse option. This means that your spouse’s benefits will be reduced by early retirement reduction factors and the 50% surviving spouse option that apply to vested terminated employees. Benefits will become payable to your spouse on the first day of the month that coincides with or immediately follows the date you would have reached age 55. Your spouse may elect to begin receiving benefit payments earlier or to defer payments until the date you would have reached age 65. If payments begin before you would have reached age 55, the payment amount will be further reduced to reflect the longer payment period.

If you are an active vested employee and die at or after age 55, your spouse’s benefits will be calculated as if you had retired on the first of the month preceding your death and elected to receive a 100% surviving spouse option. This means your spouse’s benefits will be reduced by the early retirement reduction factors and the 100% surviving spouse option conversion factor that apply to active employees. Payments begin as of the first day of the month following your death, or your spouse may elect to defer payments until the date you would have reached age 65.

If You Die as a Vested Former Employee If your employment with the Company terminates and you die before electing to receive your pension benefits, you are considered a vested former employee and your spouse will be eligible for survivor benefits following your death.

If you die as a vested former employee, your spouse’s benefits will be calculated as if you had elected to begin receiving your vested retirement benefits under the 50% surviving spouse option.

Benefits will be payable to your spouse on the first day of the month that coincides with or immediately follows the date you would have reached age 55. Your spouse may elect to begin receiving benefit payments earlier or defer payments until a later date (but no later than the date you would have reached age 65). If payments to your spouse begin before you would have reached age 55, the payment amount will be reduced to reflect the longer payment period.

Pre-retirement Survivor Benefit Example This example assumes that the employee is vested and dies before age 55. The benefit is determined as payable to the survivor when the employee would have reached age 55. Monthly Accrued Early Retirement Benefit as of Date of Death $200 91% Surviving Spouse Factor (assumes spouse is not more than 10 years younger)

× 0.91 $182

50% Surviving Spouse Annuity × 0.50 Benefit Payable to Survivor (when employee would have reached age 55)

$91

If the present lump-sum value of any pre-retirement survivor benefit is $5,000 or less, your spouse may elect to:

Receive an immediate lump-sum distribution; or

Transfer the lump-sum value of the benefit to a traditional IRA, Roth IRA or another eligible retirement plan as a direct rollover.


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Postretirement Death Benefit If you retire from this plan as an active employee, your beneficiary is eligible to receive a $2,000 death benefit under the plan. The benefit will be paid as a single lump sum following your death to the person you designate as your beneficiary on the Pension Options Form provided by the Spirit AeroSystems Benefits Center. If you do not designate a beneficiary, the benefit will be paid to your spouse, if surviving, or to your estate, in that order.

If your spouse is your beneficiary, he or she may request a direct rollover of this benefit to a traditional IRA, Roth IRA or another eligible retirement plan because of your death.

If you designate a non-spouse beneficiary to receive this benefit, he or she may make a direct rollover to a traditional IRA or a Roth IRA. The IRA accepting the transfer is treated like a non-spouse inherited IRA, under which benefits must be distributed in accordance with the applicable minimum required distribution rules. In general, distributions from the rollover IRA must either be paid to your beneficiary:

In full within 5 years of your death; or

In equal payments over your life expectancy beginning within 12 months of your death.

This postretirement death benefit is in addition to benefits continued under applicable surviving spouse payment methods, if any, as explained above.

Request for Benefits To submit a claim for benefits, contact the Spirit AeroSystems Benefits Center at 1-877-459-3345 and request a retirement commencement packet, which includes the Pension Options Form. A representative will provide you with the forms you must complete, answer your questions, and guide you through the process.

Conditions That May Affect Your Pension Benefits Under certain conditions, you may not receive pension benefits, or you may receive smaller payments than you expected. Here are some examples of such cases:

If you did not earn any benefit under the Boeing BCERP Plan;

If you were not hired as other than an IAM-represented on June 17, 2005;

If you were on an authorized leave of absence from Boeing on June 17, 2005 and either: (1) your leave did not end within 30 months after that date; or (2) your leave ended within 30 months of that date but you were not immediately hired by Spirit when that leave ended;

If you retired from Boeing on or before August 1, 2005 (or within 30 days of your Boeing authorized leave of absence date);

If your employment terminates before you are vested, no benefits will be payable;

If you do not use the designated forms from the Spirit AeroSystems Benefits Center or complete them in a timely manner, benefits could be postponed;

If you do not meet retirement age requirements, no vested benefits will be payable until you do;

If you experience a layoff or your employment terminates, your benefits could be affected.

If you receive a single life annuity, benefits will stop when you die;

If you (or your beneficiary) fail to make a timely appeal of denied benefits, your appeal will be denied;

If you are subject to a qualified domestic relations order, a portion of your benefit could be paid to an alternate payee;


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If you are not eligible for a particular benefit because you are a vested former employee, that benefit will not be payable;

If you experience a break in service and do not return to work, or you are rehired after a break in service but do not meet the necessary requirements for restoration of service, benefits in which you are not vested will not be payable; and

If the plan terminates, your benefits are guaranteed by the Pension Benefit Guaranty Corporation (PBGC) up to certain limits. If your plan benefit exceeds PBGC limits, you may not receive the entire benefit you have earned.

If you have questions concerning your application or would like additional information, call the Spirit AeroSystems Benefits Center.

Review and Appeal Procedures The plan has established the following procedures for review and appeal of denied benefit claims or denial of eligibility to participate under the plan described in this booklet.

When you submit a claim for benefits, the Spirit AeroSystems Benefits Center will respond in writing within 90 days of receiving the claim. If special circumstances require more time, the review period may be extended up to an additional 90 days. You will be notified in writing of this extension. If your claim is denied, you will be notified in writing, given the specific reasons for the denial, and advised of your appeal rights.

Often, you can resolve questions about a denied claim without a formal appeal. If you think a benefit has been denied in error, the issue often can be resolved by calling the Spirit AeroSystems Benefits Center and discussing the situation with a representative. If the claim is not resolved through an informal review process, you may file a formal appeal seeking review of that decision.

You or a person you appoint may appeal a denial of benefits by writing to the Retirement Committee, Mail Code K15-19, Spirit AeroSystems Holdings, Inc., P.O. Box 780008, Wichita KS 67278-0008, within 60 days after receiving notice of the denial or partial denial of plan benefits. You must indicate the reason for your appeal and may include any information or documents that you believe are relevant to the claim.

The Committee will review your appeal, render a decision, and notify you of its decision within 60 days of receipt of your appeal. If special circumstances require more time, the review period may be extended up to an additional 60 days. You will be notified in writing of this extension. It is the Committee’s exclusive right to interpret the terms of the plan, to resolve eligibility for benefits, and, exercising its discretion, to resolve all questions arising under the plan. The decision of the Committee is final and binding.

You must proceed through the full claim and appeal process before pursuing other remedies. If you have not received notification within the time periods described above, you should consider your claim denied and proceed to the next step of the appeal process.

Plan Amendment or Termination The Company fully intends to continue the plan indefinitely. However, the Company may, at its sole discretion, change, modify, amend, or terminate the plan at any time. If the plan is terminated, you will have a vested, nonforfeitable right to benefit you have earned. The amount of your benefit will depend on plan assets, the terms of the plan, and the benefit guarantee of the Pension Benefit Guaranty Corporation (PBGC), a federal insurance agency.


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Plan assets will be shared among the plan participants and beneficiaries according to federal regulations under the Employee Retirement Income Security Act of 1974 (ERISA), as amended, in the following order:

1. Certain annuities (to the extent guaranteed by the PBGC) that participants have been receiving or could have been receiving for at least three years prior to plan termination.

2. Other vested benefits (to the extent guaranteed by the PBGC) for participants and beneficiaries not included above who have benefits guaranteed under the plan by the PBGC.

3. Other vested benefits (to the extent not provided for above) for all participants and beneficiaries who have met the vesting requirements.

4. All other benefits that have not been provided for above.

Your pension benefits under the plan are insured by the PBGC. If the plan terminates without enough money to pay all benefits, the PBGC will step in to pay pension benefits. Most people receive all of the pension benefits they would have received under their plan.

The PBGC guarantee generally covers:

Normal and early retirement benefits;

Disability benefits if you become disabled before the plan terminates; and

Certain benefits for your survivors.

The PBGC guarantee generally does not cover:

Benefits greater than the maximum guaranteed amount set by law for the year in which the plan terminates;

Some or all of benefit increases and new benefits based on plan provisions that have been in place for fewer than five years at the time the plan terminates;

Benefits that are not vested because you have not worked long enough for the Company;

Benefits for which you have not met all of the requirements at the time the plan terminates;

Certain early retirement payments (such as supplemental benefits that stop when you become eligible for Social Security) that result in an early retirement monthly benefit greater than your monthly benefit at the plan’s normal retirement age; and

Non-pension benefits, such as health insurance, life insurance, certain death benefits, vacation pay, and severance pay.

Even if some of your benefits are not guaranteed, the PBGC may still pay a portion of these benefits, depending on how much money the plan has and how much the PBGC collects from employers.

For more information about the PBGC and the benefits it guarantees, ask the plan administrator or contact the PBGC’s Office of Communications, PBGC, 1200 K Street NW, Washington, D.C. 20005-4026 or call 202-326-4000. Additional information about the PBGC’s pension insurance program is available through the PBGC web site (http://www.pbgc.gov/).

Special Disclosure Information Plan Name The official name of the plan is the Spirit AeroSystems Holdings, Inc. Pension Value Plan.


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Plan Sponsor The plan is sponsored by Spirit AeroSystems Holdings, Inc. The mailing address is:

Spirit AeroSystems Holdings, Inc. Mail Code K15-19 P.O. Box 780008 Wichita KS 67278-0008

Operating Company Spirit AeroSystems, Inc. is a wholly owned subsidiary of Spirit AeroSystems Holdings, Inc. and has adopted this plan. The mailing address is:

Spirit AeroSystems, Inc. Mail Code K15-19 P.O. Box 780008 Wichita KS 67278-0008

Collective Bargaining Representatives The plan is provided in accordance with an agreement with the International Brotherhood of Electrical Workers, Local 271 (IBEW), Society of Professional Engineering Employees in Aerospace, Wichita Engineering Unit (WEU) and Society of Professional Engineering Employees in Aerospace, Wichita Technical and Professional Unit (WTPU). A copy of the collective bargaining agreement can be obtained through the union or requesting a copy from the plan administrator.

Plan Administrator and Agent for Service of Legal Process; Limitations on Actions The plan administrator is the Retirement Committee, which may be contacted at the address listed above or by calling 316-523-0937. Legal process may be served upon the Committee at the above address or upon the Plan Trustee at the address listed under “Plan Trustee.” If you would like to commence a lawsuit against the plan with respect to a denied benefit, you must do so within 180 days following the decision on a benefit claim appeal (or 180 days following the expiration of the time to make an appeal if no appeal is made); otherwise, any such lawsuit will be considered untimely.

Type of Administration The plan is administered in accordance with the provisions of the official plan document, collective bargaining agreements, and the trust agreement.

Type of Plan The plan is a defined benefit pension plan.

Funding and Contributions The Plan Sponsor funds the entire cost of the plan by contributing actuarially determined amounts into a trust, from which benefits are paid. No employee contributions are required or permitted.


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Top-Heavy Plan Provisions Federal regulations require that the plan include modified vesting and minimum benefit provisions that would take effect in the event the plan was ever to become top-heavy. The plan will be considered top-heavy if a large percentage of the plan’s benefits have accrued in favor of key employees. Therefore, if the plan is top-heavy, participants become 100% vested after three years of Vesting Service rather than five years of Vesting Service and participants may become eligible for higher benefit amounts. But the Company does not expect this plan to become top-heavy.

Plan Records Plan records are kept on a calendar-year basis (January 1 through December 31).

Plan Number and Employer Identification Number The plan number assigned by the Company, pursuant to instructions by the U.S. Department of Labor, is 002. The Company’s employer identification number of the Plan Sponsor is 20-2436320.

Plan Trustee The Plan Trustee is Bank of New York Mellon. Their phone number is 1-800-634-7936 and their mailing address is:

Benefit Disbursements Bank of New York Mellon 111 Sanders Creek Parkway East Syracuse, NY 13057-1382

Participant Rights and Protections Under ERISA The Employee Retirement Income Security Act of 1974 (ERISA), as amended, guarantees certain rights and protections to participants of pension plans such as the plan described in this booklet. ERISA provides that all plan participants will be entitled to:

Receive Information About Your Plan and Benefits You may examine, without charge, at the plan administrator’s office and at other specified

locations, such as work sites with 50 or more participants and union halls, all documents governing the plan, including insurance contracts and collective bargaining agreements, and a copy of the latest annual report (Form 5500 Series) filed by the plan with the U.S. Department of Labor and available at the Public Disclosure Room of the Employee Benefits Security Administration.

If you want a personal copy of these documents or related material, send a written request to the plan administrator. You can obtain copies of documents governing the operation of the plan, including insurance contracts, collective bargaining agreements, copies of the latest annual report (Form 5500 Series), and updated summary plan descriptions. You will be charged a reasonable cost.

You may receive a summary of the plan’s financial report. The plan administrator is required by law to furnish each participant with an annual funding notice.

You may obtain a statement telling you whether you have a right to receive a pension at normal retirement age (age 65) and if so, what your benefits would be at normal retirement age if you stop working under the plan now. If you do not have a right to a pension, the statement will tell you how many more years you have to work to get a right to a pension. This statement must be requested in writing and is not required to be given more than once every 12 months. The plan must provide this statement free of charge.


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Prudent Actions by Plan Fiduciaries In addition to creating rights for plan participants, ERISA imposed duties on the people responsible for operating the plan. The people responsible for operating the plan are called fiduciaries. These individuals have an obligation to administer the plan prudently and to act in the interest of you and other plan participants and beneficiaries. No one, including your employer, union, or any other person may fire you or otherwise discriminate against you in any way to prevent you from receiving benefits or exercising your rights under ERISA.

Enforce Your Rights If you believe you are eligible for benefits from the plan, you should follow the appropriate steps for filing a claim. If your claims are denied or ignored, in whole or in part, you have a right to know why this was done, to obtain copies of documents relating to the decision without charge, and to appeal any denial all within certain time schedules. If your claim is denied, you will receive a written explanation of the reasons for the denial. You have the right to have the plan review and reconsider your claim. See “Review and Appeal Procedures” on page 21 for a description of review and appeal procedures and time schedules.

Under ERISA, there are steps you can take to enforce the above rights. For instance, if you request materials from the plan and do not receive them within 30 days, you may file suit in federal court. In such a case, the court may require the plan administrator to provide the materials and pay you up to $110 a day until you receive the materials, unless the materials were not sent because of reasons beyond the control of the administrator. If your claim for benefits is denied or ignored, in whole or in part, you may file suit in a state or federal court. In addition, if you disagree with the plan’s decision or lack thereof concerning the qualified status of a domestic relations order, you may file suit in federal court. If it should happen that plan fiduciaries misuse the plan’s money, or if you are discriminated against for asserting your rights, you may seek assistance from the U.S. Department of Labor or you may file suit in federal court. The court will decide who should pay court costs and legal fees. If you are successful the court may order the person you have sued to pay these costs and fees. If you lose, the court may order you to pay these costs and fees, for example, if it finds your claim is frivolous.

Assistance with Your Questions If you have any questions about the plan, contact the plan administrator. If you have any questions about this statement or about your rights under ERISA, or if you need assistance in obtaining documents from the plan administrator, contact the nearest office of the Employee Benefits Security Administration, U.S. Department of Labor, listed in your telephone directory, or the Division of Technical Assistance and Inquiries, Employee Benefits Security Administration, U.S. Department of Labor, 200 Constitution Avenue NW, Washington, DC 20210. You also may obtain certain publications about your rights and responsibilities under ERISA by calling the publications hotline of the Employee Benefits Security Administration.

Where to Get Information Spirit AeroSystems Benefits Center Address: 10900 Corporate Centre Drive, Ste. 200

Houston, TX 77041 Representative available Call 1-877-459-3345

Monday through Friday 8 a.m. – 5 p.m. Central time

Web Site www.myspiritbenefits.mercerhrs.com

pension value plan for ibew, weu and wtpu employees · mail code k15-19, spirit aerosystems...

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