KONE INC. EMPLOYEE SAVINGS PLAN Contribution & Employer Match

KONE INC. EMPLOYEE SAVINGS PLAN Average Participant Retirement Account Value

KONE INC. EMPLOYEE SAVINGS PLAN Estimated Average Employee Contribution Amount

• Participants may contribute between 1 percent and 75 percent of their eligible compensation to the Plan each payroll period as pretax contributions subject to maximum tax-deferred limitations established by the IRC.
• Participants may also contribute up to 50 percent of their eligible compensation to the Plan on an after-tax basis.
• Participants who have attained age 50 before the end of the plan year are eligible to make catch-up contributions.
• Effective January 1, 2023, participants may also elect to make contributions on a Roth 401(k) tax basis.
• If an eligible employee has not already enrolled in the Plan after he or she satisfies such requirements, the eligible employee will be automatically enrolled in the Plan at a pretax contribution rate of 4 percent of his or her eligible compensation, with contributions invested in designated funds until changed by the participant.
• If an eligible employee does not want to be automatically enrolled in the Plan, the eligible employee must make an affirmative election not to contribute to the Plan or to contribute at a different contribution rate.
• If a participant is automatically enrolled in the Plan, his or her pretax contribution rate will automatically increase by 1 percentage point on each April 1, up to a maximum of 15 percent, unless the participant opts out of the Plan or changes his or her contribution rate.

• The Plan provides for employer matching contributions equal to 100 percent of the first 4 percent of the eligible compensation that a participant contributes to the Plan as pretax and catch-up contributions.

• Participants are always 100 percent vested in any contributions they make to the Plan and investment earnings, if any, on those contributions.
• Therefore, pretax, catch-up, after-tax, and rollover contributions credited to participants’ accounts are always 100 percent vested.
• Prior to January 1, 2023, most participants were also 100 percent vested in the employer contributions, including both matching and nonmatching contributions, made to the Plan on their behalf.
• However, matching and nonmatching contributions made to the Plan on behalf of certain participants were subject to a vesting schedule based on years of service.
• For such a participant, vesting occurred at the rate of 20 percent for each year of service beginning after the participant completed his or her second year of service with the Company and its affiliates, until the participant became fully vested after six years of service.
• Effective January 1, 2023, participants hired on or before January 1, 2023 are 100 percent vested in the employer contributions, including both matching and nonmatching contributions, made to the Plan on their behalf.
• However, matching and nonmatching contributions made to the Plan on behalf of participants hired on or after January 1, 2023 are subject to a vesting schedule based on years of service.
• For such a participant, the participant is 0 percent vested for less than two years of service, 50 percent vested for at least two but less than three years of service, and 100 percent vested after three years of service.