Nesco Service Co. 401(k) Savings Plan Annual Statement of Disclosures For Plan Year Ending 2016

Transcription

1 Annual Statement of Disclosures For Plan Year Ending 2016 General Plan Information How to Direct your Investments You may decide how to invest your entire account among the available investment options. You may access your account 24 hours a day, 7 days a week through the Correll Co. website or through the Correll Co. Participant Line via a touch-tone phone ( ). Any changes that you make to your account will be processed as soon as administratively feasible following your submission through the website or phone system. Designated Investment Alternatives List Please see the attached Investment Comparative Chart for a list of the plan's designated investment alternatives. Additional Information If you want additional information about your investment options, including the most recent investment performance information, please visit or call the Correll Co. InfoLine at You may also visit the Participant Account page at for a glossary of investment terms relevant to the investment options under this plan. This glossary is intended to help you better understand these options. Brokerage Account Option To supplement the investment funds offered under this plan, you may choose to open a self-directed brokerage account through Hilltop Securities Inc. This option will allow you to direct the investment of your account in investment selections other than those offered under the plan. By establishing such an account, you assume responsibility for controlling your investments. For more information on such an account, you may contact your Plan Administrator. Administrative Expenses Administrative Fees The Plan incurs fees from outside providers for administrative services, including recordkeeping, legal, and accounting fees. The amount of such fees fluctuates each year based upon a variety of factors. To the extent that the Plan pays these fees, they are deducted from the participant accounts on a pro-rata basis and reported on your quarterly statement. Individual Expenses Brokerage Account Fees Any relevant administrative and investment advisory fees that are assessed against the plan as a whole will be reflected on the quarterly statement prepared by Correll Co. Commissions and transaction fees may apply to fund trades placed within your self-directed brokerage account. Such fees will be reflected as a fixed dollar amount on the ongoing statements prepared by the brokerage firm that holds the assets within your self-directed account. Dormant Account Fee There is a $20 annual fee charged to accounts into which no new participant contributions are made during the calendar year. Hardship Withdrawal Fee A fee of $110 is assessed to process a hardship withdrawal from the Plan. QDRO - Review A charge of $150 per hour (minimum 1 hour) will apply to the review of the domestic relations order to determine if it is qualified. The fee will be assessed against the Alternate Payee's account under the order specifies otherwise. Rollover Distribution Check Fee A $12 check fee will apply to all rollover distributions processed by the plan.

2 This document includes important information to help you compare the investment options under your retirement plan. If you want additional information about your investment options, you can go to the specific Internet Web site address shown below or you can contact the plan administrator. A free paper copy of the information available on the Web site(s) can be obtained by contacting your plan administrator. Performance Information The table below shows how plan investment alternatives have performed over time and allows you to compare them with an appropriate benchmark for the same time periods. Past performance does not guarantee how the investment option will perform in the future. Your investment in these options could lose money. Information about an option's principal risks is available on the Web site(s). Plan Investment Average Annual Total Return as of 12/31/2015 1yr. 5yr. 10yr. Inception 1yr. Benchmark Returns 5yr. 10yr. Inception * American Funds New World Fund A (NEWFX) Diversified Emerging Mkts American Funds EuroPacific Growth A (AEPGX) Foreign Large Blend American Funds US Govt Securities A (AMUSX) Intermediate Government American Funds Fundamental Invs A (ANCFX) Large Blend American Funds Investment Co Amer A (AIVSX) Large Blend American Funds AMCAP Fund A (AMCPX) Large Growth American Funds Growth Fd of Amer A (AGTHX) Large Growth American Funds New Economy Fund A (ANEFX) Large Growth American Funds American Mutual Fund A (AMRMX) Large Value American Funds Wash Mutual Investors A (AWSHX) Large Value American Funds American Balanced Fund A (ABALX) Moderate Allocation American Funds Income Fd of Amer A (AMECX) Moderate Allocation American Funds Intermediate Bd Fd A (AIBAX) Short-Term Bond Barclays US Agg Bond TR USD Morningstar Moderate Target Risk Index Morningstar Moderate Target Risk Index Barclays US Agg Bond TR USD

3 Plan Investment Average Annual Total Return as of 12/31/2015 1yr. 5yr. 10yr. Inception 1yr. Benchmark Returns 5yr. 10yr. Inception * MetLife Stable Value Solutions Fd Cl 40 (CORRELL2) Stable Value American Funds Capital Inc Builder A (CAIBX) World Allocation American Funds Capital Wld Gr&Inc A (CWGIX) World Stock American Funds New Perspective A (ANWPX) World Stock American Funds SMALLCAP World Fund A (SMCWX) World Stock 1.97 N/A N/A (since 03/01/2011) USTREAS T-Bill Auction Ave 3 Mon Morningstar Moderate Target Risk Index * Performance data is since inception date of the fund, if fewer than 10 years of performance is available

4 Fee and Expense Information The table below shows fee and expense information for plan investment alternatives. Fees shown below are in addition to Total Annual Operating Expenses. Plan Investment Total Annual Operating Expenses As a % Per $1000 Shareholder Type Fees American Funds New World Fund A 1.04% $10.40 American Funds EuroPacific Growth A 0.83% $8.30 American Funds US Govt Securities A 0.65% $6.50 American Funds Fundamental Invs A 0.61% $6.10 American Funds Investment Co Amer 0.59% $5.90 American Funds AMCAP Fund A 0.68% $6.80 American Funds Growth Fd of Amer A 0.65% $6.50 American Funds New Economy Fund 0.79% $7.90 American Funds American Mutual Fun 0.58% $5.80 American Funds Wash Mutual Investo 0.58% $5.80 American Funds American Balanced F 0.59% $5.90 American Funds Income Fd of Amer A 0.55% $5.50 American Funds Intermediate Bd Fd A 0.61% $6.10 MetLife Stable Value Solutions Fd Cl 0.77% $7.70 American Funds Capital Inc Builder A 0.59% $5.90 American Funds Capital Wld Gr&Inc 0.77% $7.70 American Funds New Perspective A 0.75% $7.50 American Funds SMALLCAP World F 1.07% $10.70 The cumulative effect of fees and expenses can substantially reduce the growth of your retirement savings. Visit the Department of Labor's Web site for an example showing the long-term effect of fees and expenses at Fees and expenses are only one of many factors to consider when you decide to invest in an option. You may also want to think about whether an investment in a particular option, along with your other investments, will help you achieve your financial goals.

5 Investment Restrictions In addition to any restrictions imposed by the plan, the following restrictions are imposed by the plan investment alternative. American Funds AMCAP Fund A American Funds American Balanced Fund A American Funds American Mutual Fund A American Funds Capital Inc Builder A American Funds Capital Wld Gr&Inc A American Funds EuroPacific Growth A American Funds Fundamental Invs A American Funds Growth Fd of Amer A American Funds Income Fd of Amer A American Funds Intermediate Bd Fd A American Funds Investment Co Amer A American Funds New Economy Fund A American Funds New Perspective A

6 American Funds New World Fund A American Funds SMALLCAP World Fund A American Funds US Govt Securities A American Funds Wash Mutual Investors A