Vesting
Participants are immediately vested in their own contributions, company match and discretionary contributions.
Effective January 1, 2019, participants in the CRC are 100% vested after three years of service with the Company.
Voting Rights
As a beneficial owner of
ConocoPhillips Stock, Plan participants and beneficiaries are entitled to direct the trustee to vote the ConocoPhillips Stock attributable to their accounts.
Diversification
Generally, participants may make
unlimited exchanges out of any investment fund in any dollar amount, whole percentages, or shares of their account to another investment fund subject to the exchange rules of the Plan. In addition, using selected investment percentages, a
participant may request a reallocation of both the existing account and future contribution allocations or a rebalancing of the participants existing account.
Share Accounting Method for ConocoPhillips Stock
Any shares purchased or sold for the Plan on any business day are valued at the Participant Transaction Price, as defined by the Plan, which is calculated
using a weighted-average price of the ConocoPhillips Stock traded on that business day and any carryover impact as described in the Plan.
Distributions
Total distributions from
participant accounts can be made upon the occurrence of specified events, including the attainment of the age of 59
1
⁄
2
, death, disability, or termination of
employment. Partial distributions are permitted in cases of specified financial hardship.
Installment Payments
A terminated employee or a beneficiary who is the surviving spouse of a participant is eligible to elect a distribution based on a fixed dollar amount or life
expectancy installment payments.
Dividend Pass Through
A participant can make an election to receive cash dividends from the ConocoPhillips Stock Fund and the ConocoPhillips Leveraged Stock Fund on a portion of
that participants account invested in ConocoPhillips Stock. The distribution of these dividends is made on each dividend payment date.
Forms
of Payment
Generally, distributions from participant accounts invested in ConocoPhillips Stock and Phillips 66 Stock can be made in cash, stock,
or a combination of both. Distributions from all other funds in the Plan are made in cash. An election to make an eligible rollover distribution is also available.
Participant Loans
Active employee participants
can request a loan from their account in the Plan. The minimum loan is $1,000. Generally, the maximum loan is the lesser of $50,000 or
one-half
of the vested value of the participants account. For those
eligible for loans, three outstanding loans are available at any one time, one of which can be a home loan. The maximum term of a home loan is 238 months, and the maximum term of a general purpose loan is 58 months.
7