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applicable Employee Group. Neither the employer, Plan
Administrator, Prime, or the trustee was responsible for
contributions that were required for any other participating
employer.
5. Separate Accounting
Prime was required to maintain separate accounts reflecting
the share of each Employee Group and to determine the December 31
value of the insurance contracts and tax-exempt money market bond
fund allocable to each Employee Group. Prime was required to
keep accurate and detailed accounts of all transactions,
investments, receipts, and disbursements. Prime was required to
file a written report of this information with each employer
within 60 days after each December 31st.
At the end of each plan year, the Prime Plan's actuaries
were required to calculate experience gains and losses with
respect to each Employee Group, whether or not any gains or
losses had actually occurred. Experience gains and losses were
measured by comparing each employee's theoretical compensation to
actual compensation and by comparing the expected rate of return
on the assets held in the Employee Group account with the actual
rate of return on these assets. To the extent that the
theoretical compensation exceeded actual compensation, or the
expected rate of return exceeded the actual rate of return, an
experience gain resulted and the amount of the experience gain
had to be forfeited to the Suspense Account.
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