Pension De-Risking Hits Nine Year High in 2021

Pension de-risking transfers totaled $34.2 Billion in 2021, the highest since 2012. Two of the largest pension de-risking deals of 2021 involved Athene Holdings. Lockheed Martin transferred  $4.9 Billion in pension liabilities affecting 18,000 employees to Athene Holdings effective January 1, 2022. Athene also took on $2.8 Billion in pension liabilities from JC Penny affecting 30,000 retirees. […]

In Memory of Jack Cohen – Association of BellTel Retirees Board Chairman

Jack Cohen, Board Chairman of the Association of BellTel Retirees passed away suddenly on September 29, 2021. Jack was a tireless advocate for all retirees, as well as a beloved husband and doting grandfather. The world is a lesser place without Jack Cohen, and his sage advice and wisdom on issues facing retirees will be […]

HP Transfers $5.2 Billion in Pension De-Risking Transfer

HP Inc., the Palo Alto, California based technology company will transfer $5.2 Billion in pension liabilities to Prudential Insurance Company of America as of October 31, 2021. HP disclosed this information in its recent 10-Q filing. This represents approximately one-half of HP’s U.S. pension liabilities. The pension de-risking transfer affects some 41,000 retirees and beneficiaries.

Lockheed Martin – More Pension De-Risking

Lockheed Martin transferred $4.9 billion in pension obligations to two of Bermuda based Athene’s subsidiaries, Athene Annuity and Life Company and Athene Annuity & Life Assurance Company of New York. This is Lockheed’s second pension risk transfer transaction with Athene, and s is Lockheed’s fourth pension de-risking transfer in the last two years. In 2019, […]

Recent Pension De-Risking Transactions

February 2020:  Armstrong World Industries transfers $1 Billion for 10,000 retirees to Athene December 2020: Lockheed Martin transfers $1.4 Billion of pension liabilities for 13,500 retirees to MetLife December 2020: Phillips North America transfers $1.2 Billion in pension liabilities for 11,000 retirees to MetLife and Principal December 2020:  GE transfers $1.7 Billion of pension liabilities […]

2020 Pension De-Risking Transfers – No Insurance Co. Disclosed

Not all companies who offload their pension liabilities to insurance companies disclose the name of the company taking on the pension liabilities. Below is a recap of some 2020 transfers where the company did not disclose the insurance company , as reported by S&P Global Market Intelligence. Teradyne Inc. – $24.4 Million Lockheed Martin – […]

Arconic Transfers $1 Billion to MassMutual

Arconic Corporation, the aluminum provider based in Pittsburgh transferred $1 Billion in pension liabilities to Massachusetts Mutual Life Insurance Company. This transaction affected approximately 8,400 Arconic retirees or beneficiaries. Prior to the transfer, Arconic made a $250 million contribution to its US pension funds. MassMutual  assumes responsibility for making payments to the retirees and beneficiaries […]

GE Transfers $1.7 Billion to Athene

GE  transferred $1.7 Billion in pension liabilities to Athene Annuity and Life Company and Athene Annuity & Life Assurance Company of New York in late 2020. This transaction affects approximately 70,000 retirees who have been receiving benefits from GE’s pension plan. Bermuda based Athene Holding has purchased more than $18.5 Billion in pension liabilities affecting […]

Athene Takes over Pension Liabilities from JC Penney

JCPenney, the ailing retailer, declared bankruptcy in May 2020 and sold off its retail operations before emerging from Chapter 11 at the end of 2020.  In early April, Athene Holding took over $2.8 Billion of JC Penney’s pension obligations, completing the termination of JCPenney’s pension plan. Two of Athene’s wholly owned subsidiaries, Athene Annuity and […]

Pension Risk Transfer Facts from 2020

Facts from 2020 First Quarter 2020: “Buy-out” purchases $4.462 Billion Second Quarter 2020: “Buy-out” purchases were $2.270 Billion Third Quarter 2020: “Buy-out” purchases were $4.599 Billion Fourth Quarter 2020: “Buy-out” purchases were $13.680 Billion Total “Buy-out” contracts for 2020: 432 Total of “Buy-out” purchases: $25 Billion Total Number of Retirees Affected: 408,277