An Employee-Owned Company
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Employee Stock Ownership Plan
Areté Associates is an advanced science and engineering company that provides innovative solutions to the most challenging technical problems faced by the United States. Areté’s market is national security, with specific emphasis on advanced technology development and exploitation for the defense and intelligence sectors. We take great pride in providing a creative, dynamic working environment coupled with a comprehensive benefits package.
The employee stock ownership plan (“ESOP”) presents a strong sense of equity ownership. Participants share in the success of the company which their efforts help produce. The ESOP is intended to provide employees with a meaningful stake in the company, future economic security and ultimately, an additional source of retirement income.
Eligibility/Vesting
Employees automatically become a participant in the ESOP on the date he/she is hired or on the date he/she attains age 18 and is hired to work at least 1,000 hours in a Plan year. After 2 full years of service employees become 100% vested.
Participation
Employee participation in the ESOP will continue until retirement, death, disability or other termination of employment. The employee will be eligible for retirement if he/she leaves the company after reaching his/her 65th birthday.
Contributions
The ESOP benefit is provided at no cost to employees. The company will make all contributions to the ESOP and does not require nor permit employees to make contributions. Areté Associates contributes approximately 5% of annual salary toward the ESOP.
Diversification
Once an employee has reached age 55 and has completed 10 years of participation in the Plan, he/she may elect to diversify the ESOP account.
ERISA Explanation
As a participant in the ESOP, employees are entitled to certain rights and protections under the Employee Retirement Income Security Act of 1974 (“ERISA”). ERISA provides that all ESOP participants are entitled to examine documents governing the ESOP, obtain copies of documents governing ESOP operations, and receive a summary of the ESOP’s annual financial report.
Disclaimer: This document is a summary of benefits only. Benefits eligibility is contingent upon employee status. Please refer to the Summary Plan Description (SPD) for full details. Areté Associates reserves the right to amend, modify, suspend, replace or terminate benefit plans, in whole or in part.