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 […]
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 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 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 […]
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 […]
https://edwardstonelaw.com/wp-content/uploads/2019/07/Edward-Stone-Law-Logo-Web-1.jpg00ginnyhttps://edwardstonelaw.com/wp-content/uploads/2019/07/Edward-Stone-Law-Logo-Web-1.jpgginny2021-04-06 21:58:442021-05-12 13:46:39Athene Takes over Pension Liabilities from JC Penney
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
https://edwardstonelaw.com/wp-content/uploads/2019/07/Edward-Stone-Law-Logo-Web-1.jpg00ginnyhttps://edwardstonelaw.com/wp-content/uploads/2019/07/Edward-Stone-Law-Logo-Web-1.jpgginny2021-03-05 21:59:122021-05-12 13:48:08Pension Risk Transfer Facts from 2020
Philips North America has transferred $1.2 Billion of pension liabilities to MetLife and Principal Financial Group. This transaction affects approximately 11,000 retirees and their beneficiaries. MetLife will administer the benefits and will be financially responsible for 75% of the liabilities. Principal has sole responsibility for approximately 2,000 deferred participants.
https://edwardstonelaw.com/wp-content/uploads/2019/07/Edward-Stone-Law-Logo-Web-1.jpg00ginnyhttps://edwardstonelaw.com/wp-content/uploads/2019/07/Edward-Stone-Law-Logo-Web-1.jpgginny2021-03-02 21:57:472021-05-12 13:49:21Philips North America Transfer Pensions to MetLife and Principal
Senior financial reporter for the NBC News Investigative Unit, Gretchen Morgenson delved into the issue of pension de-risking in an exposé published on June 14, 2020. Morgenson interviewed Karen Friedman of the Pension Rights Center, and Thomas Gober, a certified fraud examiner who has worked as a consultant to the U.S. Department of Justice, and […]
On February 1, 2021 American International Group, Inc. agreed to pay a $12 Million fine to the State of New York to settle charges by the New York State Department of Financial Services (NYDFS) that it conducted life insurance business in New York without a license. Between 2014 and 2019, AIG entered into four pension […]
https://edwardstonelaw.com/wp-content/uploads/2019/07/Edward-Stone-Law-Logo-Web-1.jpg00ginnyhttps://edwardstonelaw.com/wp-content/uploads/2019/07/Edward-Stone-Law-Logo-Web-1.jpgginny2021-02-13 17:16:022021-02-18 17:16:51AIG Will Pay $12 Million Fine to New York
Midland, Michigan based Dow Inc. transferred $700 million in pension liabilities to Metropolitan Tower Life Insurance Company, a subsidiary of MetLife Inc. in the 4th quarter of 2020. The transfer affected retirees in the Dow Pension Plan who receive $950 or less in monthly benefits, and retirees in the Union Carbide Pension Plan receiving less […]
https://edwardstonelaw.com/wp-content/uploads/2019/07/Edward-Stone-Law-Logo-Web-1.jpg00ginnyhttps://edwardstonelaw.com/wp-content/uploads/2019/07/Edward-Stone-Law-Logo-Web-1.jpgginny2021-02-12 17:14:532021-02-24 21:49:31Dow Inc. Transfers Pension Liabilities to MetLife Tower
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
Philips North America Transfer Pensions to MetLife and Principal
Philips North America has transferred $1.2 Billion of pension liabilities to MetLife and Principal Financial Group. This transaction affects approximately 11,000 retirees and their beneficiaries. MetLife will administer the benefits and will be financially responsible for 75% of the liabilities. Principal has sole responsibility for approximately 2,000 deferred participants.
Gretchen Morgenson Examines Pension De-Risking
Senior financial reporter for the NBC News Investigative Unit, Gretchen Morgenson delved into the issue of pension de-risking in an exposé published on June 14, 2020. Morgenson interviewed Karen Friedman of the Pension Rights Center, and Thomas Gober, a certified fraud examiner who has worked as a consultant to the U.S. Department of Justice, and […]
AIG Will Pay $12 Million Fine to New York
On February 1, 2021 American International Group, Inc. agreed to pay a $12 Million fine to the State of New York to settle charges by the New York State Department of Financial Services (NYDFS) that it conducted life insurance business in New York without a license. Between 2014 and 2019, AIG entered into four pension […]
Dow Inc. Transfers Pension Liabilities to MetLife Tower
Midland, Michigan based Dow Inc. transferred $700 million in pension liabilities to Metropolitan Tower Life Insurance Company, a subsidiary of MetLife Inc. in the 4th quarter of 2020. The transfer affected retirees in the Dow Pension Plan who receive $950 or less in monthly benefits, and retirees in the Union Carbide Pension Plan receiving less […]