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March 3, 2009 DC Update

Released on 03/03/2009 at 12:00 AM

  • IMPORTANT UPDATE For Participants in the State of Missouri Deferred Compensation Plan Regarding Changes Coming April 9, 2009.

    NOTICE: Special Opt-Out now available – Simplifying the Process for Those Wishing to Retain Their Existing Mutual Funds.

    For more information on this change of direction, please see Deferred Compensation – An Old Plan Option for the New Plan.

    Please forward this to all staff in your department since we do not have individual email addresses for all employees.

    A Smart, Simple, Savings, Solution in the form of custom well diversified target date funds will still be offered to all participants, as outlined in the brochure that they received in early February.

    However, if a participant wishes to remain hands-on and handle their own investment selection and not be mapped to a custom diversified “cruise control” target date fund option, they can opt to stay in their current plan investment options (below) and continue contributing to those investment options.

    All participants that are invested in any of the current plan investment options below will receive a mailer within the next 10 days offering them the option to opt out of being transferred to the custom diversified Missouri Target Date Funds. If they choose to opt out of having their current dollars transferred (mapped) to a target date fund option, they will need to sign and return the postage paid mailer postmarked no later than March 27, 2009.

    The current Plan investment options will be closed to new employees and existing employees that are new investors after May 1, 2009. If a participant transfers dollars out of the current Plan investment options to a target date fund, the ING Stable Income Fund, the Self Directed Brokerage Account (SDB) or a combination of these options after this date, they will be unable to transfer those dollars back in at a later date. They can, however, continue to direct their future elections (contributions) to those current Plan investment options as long as they maintain a balance in those investments and do not alter their investment elections.

    Smart, Simple, Savings Solution Recap

    By investing in the Missouri Target Date Funds, participants will have access to a professional money manager and a truly diversified portfolio of investments with lower management fees that will automatically shift from an aggressive to a more conservative allocation as an employee approaches retirement and throughout retirement. After 3 p.m. on April 9, 2009, all dollars in the current plan investment options (below) will be transferred (mapped) to the appropriate target date fund based on when a participant attains(ed) the age of 65. Dollars will be mapped based on the following table:

     

     If the year you were born is between...  Your default Target Date Fund is
     1932 or before  Missouri 1995
     1933 - 1937  Missouri 2000
     1938 - 1942  Missouri 2005
     1943 - 1947  Missouri 2010
     1948 - 1952  Missouri 2015
    1953 - 1957 Missouri 2020
    1958 - 1962 Missouri 2025
    1963 - 1967 Missouri 2030
    1968 - 1972 Missouri 2035
    1973 - 1977 Missouri 2040
    1978 - 1982 Missouri 2045
    1983 or after Missouri 2050

     
    List of Current Plan Investment Options excluding ING Stable Income and the Self- Directed Brokerage (SDB):

     

     AIM Dynamics  Jennison Blend
     American Century Equity Income  Putnam Investors
     American Century Growth  T. Rowe Price International Stock
     American Century Ultra  Templeton Developing Markets
     American Funds Bond Fund of America  Vanguard Inflation Protected Securities
     Brown Capital Small Company  Vanguard LifeStrategy: Conservative Growth
    Dreyfus Premier Third Century Vanguard LifeStrategy: Growth
    Dreyfus Small Cap Stock Index Vanguard LifeStrategy: Income
    Federated U.S. Government Securities: 2-5 Years Vanguard LifeStrategy: Moderate Growth
    Fidelity Asset Manager Vanguard Total Stock
    Fidelity Contrafund AIM Small Cap Growth
    Fidelity Equity-Income Gartmore Nationwide
    Goldman Sachs Mid Cap Value Janus Small Cap Value
    Janus Worldwide Neuberger Berman Genesis
    Dryden Total Return Bond SEI Index S&P 500 Index

    Please watch for the “Opt-Out” mailer and visit the plan website or call the State of Missouri Deferred Compensation Plan local ING office at (800)392-0925, Option 2 should you have any questions.