enhancing the urs corporation defined contribution plans

Transcription

1 enhancing the urs corporation defined contribution plans

2 » working together Global Account Management: The Big Picture Your Relationship Manager, Dave Orlando, is your strategic partner who delivers team leadership, insight, and accountability to help ensure your overall satisfaction. Manages all aspects of service delivered by T. Rowe Price Retirement Plan Services Leads T. Rowe Price service team to fulfill jointly determined goals Responsible and fully accountable for your complete satisfaction Regular annual planning meetings: Plan and investment review Plan cost analysis Assists your organization with upholding fiduciary responsibilities Fosters strategic partner relationship through personal service Implementations: Fast and Furious We ve worked side-by-side to convert, merge, and implement a significant number of retirement plans. The results were successful, and the experience has helped to expand and strengthen our relationship. Linda Caton has managed all implementations for the URS Washington Division since 1995 and manages the team that will oversee conversions for URS. Implementations: Implemented Morrison-Knudsen Corporate Savings Plan, 1986 Implemented Morrison-Knudsen Money Purchase Pension Plan, 1991 Implemented Morrison-Knudsen Corporation 401(k) Savings Plan for Craft Employees, 1997 Merged Washington Construction Group, Inc. plans into Morrison- Knudsen plans, 1997 Facilitated Raytheon 401(k) Plan voluntary employee transfers from Fidelity, 2000 Converted Washington Group International, Inc. Retirement Savings Plan for Puerto Rico Based Employees from Fidelity, 2001 Implemented Restoration Plan (nonqualified), 2003 Implemented Voluntary Deferred Compensation Plan (nonqualified), 2003 Facilitated voluntary employee transfers from the Westinghouse Government Services Group Savings Plan into the Washington Group International Inc. 401(k) Retirement Savings Plan, 2005 Termination of the Washington Group International, Inc. Money Purchase Pension Plan, 2006 Converted Washington Government Environmental Services Savings Plan from CitiStreet, 2007

3 Participant Communications: Results by Design We never lose sight of our ultimate goal to help your participants save successfully for retirement. Over the years, we ve supported participants with innovative services, tools, support, and communications. Strategy: Supported the initial savings plan implementation and all subsequent conversions Implemented ongoing communications and education. Some highlights include: Enrollment kits materials to welcome new hires and provide the basics of the Retirement Savings Plan Personalized statements targeted communications to encourage participants to maximize the Retirement Savings Plan s company match and tax advantages, and diversify Participant services to provide education and tools on myretirementplan Web site Onsite and Web-based employee meetings to support enrollment and appropriate investing principles Assisted in communicating plan changes Raytheon acquisition/vet communication support and employee meetings, 2000 Raytheon Common Stock Removal communication support, 2002 Investment changes, 2005 Added 14 funds, removed 12 funds from the Savings and Puerto Rico Plans Added 21 funds, removed 3 funds from Field Operations Plan Web meetings, print, and electronic communications Investment changes, 2007, 2008 Match Change Communication Support, 2006 Termination of the Money Purchase Pension Plan with plan-to-plan transfer, 2006 Summary Statements introduced, 2007 Completed conversion communications for WGES, 2007 Online Beneficiary Rollout, 2008 URS Plan Transfer Communication Support, Meeting Days 593 Attendees New services, including automated features, Morningstar Guidance/Planning Tools, and Personalized Retirement Income Estimates Results: Improved diversification: 25% of new contributions are directed to fully diversified Retirement Funds, up from 13% in % of participants have entire balance in Retirement Funds, up from 8% in 2006 Increased average account balance: Increased by 35% from $37,469 in 2000 to $57,993 in 2009

4 Plan Design & Services URS Washington Division has grown and the retirement plans have evolved. We ve demonstrated our flexibility and expertise in a climate of rapid change Implemented myretirementplan rps.troweprice.com 2002 Implemented age 50+ catch-up Implemented Morningstar Guidance/Planning Tools on myretirementplan 2003 Implemented Auto-Rebalancing Added Personalized Messaging on quarterly participant statements 2004 Implemented Auto-Increase on an opt-in basis to help lift participant deferral rates Implemented online participant statements 2005 Added T. Rowe Price Retirement Funds, which now have over 24% of new contributions and account for more than 13% of Retirement Savings Plan assets Facilitated changes of multiple investment options in the plans Implemented auto-rollover services Facilitated Voluntary Employee Transfers for 200 WSGS employees with $200 million in assets from CitiStreet to T. Rowe Price 2006 Added two new nonproprietary funds to the plan Implemented Personalized Retirement Income Estimates on myretirementplan and participant statements 2007 Outsourced summary participant statements Completed Blyler v. Agee litigation support 2008 Added two new nonproprietary funds to the plan Outsourced beneficiary tracking service (online) Implemented plan-to-plan transfers to/from T. Rowe Price from/to Fidelity Ongoing Participation on the National Plans Council Accommodated unique process for QDROs and beneficiary splits Regularly update all customized Puerto Rico forms Maintain above-average standard audit response times Proactive Fee Oversight & Investment Flexibility T. Rowe Price is committed to investment management excellence and full fee disclosure. We have a 23-year history of reducing plan fees and our open architecture platform provides investment flexibility. Proactive Fee Oversight Eliminated annual recordkeeping and trustee fees of over $115,000 in 2000 Increased the value of the fee arrangement to URS Washington Division by expanding the communications allowance to cover all costs of an annual communications strategy Implemented a communications allowance of $90,000 in 2003 Over

5 Proactive Fee Oversight & Investment Flexibility, continued Proactive Fee Oversight, continued Introduced an Administrative Budget of $150,000 for appropriate plan expenses in 2007 Increased the Administrative Budget to $200,000 in 2008 Committed to ongoing and proactive monitoring to provide the best possible fee arrangements to URS Washington Division Investment Flexibility Enhanced the URS Washington Division investment lineup with nonproprietary funds in 2006 and 2008 The T. Rowe Price mutual funds in the plan have total expenses below their Lipper Peer group averages Results will vary for other periods. Past performance cannot guarantee future results. All funds are subject to market risk, including possible loss of principal. Call or log in to rps.troweprice.com to request a prospectus, which includes investment objectives, risks, fees, expenses, and other information that you should read and consider carefully before investing. 1 Based on cumulative total return 21 of 24 (88%), 19 of 22, 20 of 21, and 10 of 11 funds (including all share classes and excluding funds used in insurance products) outperformed their Lipper average for the 1-, 3-, 5-, and 10-year periods ended 6/30/09, respectively. Not all funds outperformed for all periods. Source for data: Lipper, Inc. The T. Rowe Price mutual funds in the plan today that have the appropriate track records, 88% have outperformed their Lipper peers over one year, 86% have outperformed their Lipper peers over three years, 95% have outperformed their Lipper peers over five years, 91% have outperformed their Lipper peers over 10 years. 1 T. Rowe Price Pioneer in retirement planning and investing Founded in 1937 Offering mutual funds within retirement plans since 1972 Committed to full-service retirement plan service since 1982 Solely focused on investment management and retirement plan services Leader in developing industry innovations such as auto-services $315.6 billion in assets under management (62% of which are retirement related)* Flexible, cost-effective investment options Dedicated service team supported by advanced technology capabilities Comprehensive education and communications resources Service capabilities for defined contribution, defined benefit, and nonqualified plans * As of June 30, 2009

6 Experience you can rely on. People you can trust. Over the past 23 years, we ve helped the URS Washington Division strengthen and grow its defined contribution plans to help its employees reach a better retirement. Accomplishments include: Increasing portfolio diversification; Adding participant services and Web resources; and Introducing one-step Retirement Funds, automatic services, guidance services, and much more all while servicing six retirement plans and supporting numerous plan conversions and mergers. Together we ve achieved a great deal. Our accomplishments reflect how much we value our clients, the quality of service we provide, and the collaborative relationship we offer. There s much more work ahead, and we ask for the opportunity to expand our relationship to serve the entire URS organization as you continue to grow. You ll need people you can trust. And experience you can rely on. Your dedicated service team The team that has been working with you is experienced and dedicated to providing world-class service: Linda Caton, New Business Manager Linda is a vice president of T. Rowe Price Retirement Plan Services, Inc., and T. Rowe Price Trust Company. She is also the team leader for the New Business Group and is responsible for managing your conversions team. Dorothy Ditton, Senior Compliance Analyst Dorothy is a senior compliance analyst with T. Rowe Price Retirement Plan Service, Inc. She is responsible for consulting with you concerning legislative and regulatory plan compliance and analyzing effects of new legislation on your plan design and operation. Greg Howell, Senior Communications Consultant Greg is a manager and senior communications consultant with T. Rowe Price Retirement Plan Services. His primary role is working with you as a strategic partner to develop goals and effective solutions for educating employees about your retirement plans. He is a Series 7, 63, and 66 registered representative. Kim Little, Client Administration Manager Kim is responsible for the team that handles the day-to-day operations of the plans. This includes directing, supporting, and developing the team, and being a resource to the team and URS. Kim was previously the day-to-day contact for the plan. Dave Orlando, Director Relationship Management: Western Region Dave is a vice president and regional relationship manager of T. Rowe Price Retirement Plan Services, Inc. Dave is a Series 7, 24, and 63 registered representative. He is your strategic collaborator and is ultimately responsible for your overall satisfaction. Dave works with you and your team, including outside ERISA attorneys, plan consultants, and investment consultants. Holly Yakel, Retirement Plan Specialist Holly is your primary contact for daily plan-related questions. She s available to assist you with the day-to-day administrative details of the URS plans. T. Rowe Price Investment Services, Inc., distributor, T. Rowe Price mutual funds _bro_prs_0909 9/