Information for participants who worked for Materia, Inc.

Other sections of this publication describe the plan benefits and features applicable to your entire account balance. However, some features that you had as a participant in the heritage plan will continue to apply, but only to a portion of your Savings Plan Account. These grandfathered features relate specifically to withdrawals and distributions from this portion of the Savings Plan. 

Some of the features you had as a participant in the Materia Plan are grandfathered. For purposes of this publication, the features you had in the heritage plan are all referred to as grandfathered features.

The grandfathered features only apply to any protected balance you have in the Savings Plan, upon completion of the transfer of assets to the Savings Plan. Here is how the protected and non-protected balances are determined:

• "Protected" Balance is the market value of your Materia Plan account balance transferred to the Savings Plan on January 1, 2024. This balance may be reduced by withdrawals or distributions. If the total market value of your Savings Plan Account falls below your protected balance, your protected balance will be limited to the market value. Please note that your protected balance in the Savings Plan may be embedded in the Before-Tax, Roth and/or General Accounts.
• "Non-Protected" Balance is the amount of your Savings Plan Account balance in excess of your protected balance. Generally, it includes the ExxonMobil portion of your Savings Plan Account, if any, plus post-transfer contributions, or any post-transfer earnings across your entire account (including post-transfer earnings on the heritage plan protected balance).

Please remember that all of the Savings Plan provisions discussed in this publication and the grandfathered features described below apply to these protected balances.

Grandfathered features

In Service Withdrawals

Former Materia Plan participants may withdraw their protected rollover balance and, if at least age 59-1/2, before-tax balance.  There is no restriction on the number of withdrawals per year.

Distributions

Upon termination of employment without retiree status, former Materia Plan participants may defer distribution on the protected balances past age 65 until required minimum distributions are required. The law requires that you begin receiving annual minimum distributions no later than April 1 of the year following the year in which you reach the applicable age for minimum distributions. Your non-protected balance, however, will be distributed to you at age 65.

If you receive a post-separation withdrawal or distribution in any year before the year in which you receive your entire Savings Plan balance, this withdrawal or distribution will not be a lump-sum distribution eligible for favorable lump-sum tax treatment. Favorable lump-sum treatment also may not be available to you when you subsequently elect a total distribution in another tax year.

The following chart highlights the grandfathered features of your protected balance in terms of distribution or withdrawal types available. Use of these features generally will reduce your protected balance.

Grandfathered features for former Materia Plan participants:

Withdrawals
In Service Withdrawals
Eligible group:	Active employees.
Funds available:	General account protected balance. The General Account protected balance includes the protected rollover account balance. If the employee is age 59-1/2 or older, the funds available also includes the Before-Tax Account protected balance.
Other:	No limit on number of withdrawals allowed. No minimum amount required.

 

Distributions
Deferral of distribution past age 65 to RMD age
Eligible group:	Terminated employees (non-retirees)* and Retirees.
Funds available:	Up to entire remaining protected balance available.
Other:	Lump-Sum or Required Minimum Distributions.

*Terminated employees can defer distribution past age 65