SUMMARY IN ENGLISH
Deferred Profit Sharing Plan, dated September 1, 1998.
PURPOSE OF THE PLAN: To allow EXFO's employees to participate in the
company's profit while deferring income tax on the
contribution and interests and to provide EXFO's
employees with a complementary retirement income to
supplement the government plans.
EFFECTIVE DATE: September 1, 1998.
ELIGIBILITY: Full-time and part-time employees of EXFO who have been
with the company for 6 months except for:
(i) person related to the company;
(ii) any shareholder of the company or of a
corporation associated with the company and any
person related to such shareholder.
CONTRIBUTION BY THE A minimum of 2% of the employee's gross salary to his
PARTICIPANT: or her individual tax-deferred registered retirement
CONTRIBUTION BY EXFO: 1% of each employee gross salary to that employee's
individual deferred profit sharing plan to the extent
that such employee contribute 2% of his or her gross
salary. In addition, EXFO may also make discretionary
contribution of up to 4% of an employee's gross salary
to his or her individual tax deferred registered
retirement savings plan depending on his or her and
LIMIT TO CONTRIBUTION: The lower of:
(i) 18% of the employee's earned income for the
previous year; or
(ii) 50% of the dollar limit set for the year the