8-KMaterial AgreementsExhibits & Filings

FIFTH THIRD BANCORP 8-K Report, Material Agreement (Oct 25, 2005)

Filed October 25, 2005For Securities:FITBFITBOFITBPFITB-PIFITB-PMFITB-PAFITBIFITB-PK

Summary

Fifth Third Bancorp (FITB) filed an 8-K report on October 25, 2005, detailing an amendment to the Old Kent Executive Thrift Plan, effective October 19, 2005. This amendment was primarily implemented to ensure compliance with the newly enacted Internal Revenue Code Section 409A, which governs nonqualified deferred compensation. The changes are significant for plan participants as they introduce a critical one-time decision point. Participants now have the option to receive a full taxable payout of their benefits in the 2005 calendar year. Alternatively, they can elect to defer their benefits, which will then be administered under the amended and restated Fifth Third Bancorp Nonqualified Deferred Compensation Plan. This decision will have immediate tax implications for those choosing the payout and long-term implications for those electing deferral, requiring careful consideration of individual financial and tax circumstances.

Key Highlights

  • 1Fifth Third Bancorp amended the Old Kent Executive Thrift Plan on October 19, 2005.
  • 2The primary reason for the amendment is to comply with new Internal Revenue Code Section 409A.
  • 3Plan participants are offered a one-time election regarding their benefits.
  • 4Participants can choose to receive a complete taxable payout in 2005.
  • 5Alternatively, participants can elect to defer their benefit payments.
  • 6Deferred benefits will be administered under the Fifth Third Bancorp Nonqualified Deferred Compensation Plan.
  • 7The filing includes the amendment document as an exhibit (Exhibit 10.1).

Frequently Asked Questions

The 8-K filing announces a material definitive agreement, specifically the amendment to the Old Kent Executive Thrift Plan by Fifth Third Bancorp. The amendment is necessary to comply with new tax legislation, Internal Revenue Code Section 409A.

Participants must make a one-time election regarding their plan benefits. They can either opt for a full taxable payout in 2005 or choose to defer the payment of their benefits.

Choosing a payout in 2005 means the participant will receive their benefit as taxable income in the current year. Choosing to defer means the benefit will be subject to the rules of the Fifth Third Bancorp Nonqualified Deferred Compensation Plan and will be paid out at a later date, potentially with different tax implications.

The full details of the amendment are available in Exhibit 10.1 of the 8-K filing, which is the '2005-1 Amendment to Old Kent Executive Thrift Plan'. This document is incorporated by reference into the filing.