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Member, Beacon International Group, Ltd.
Raytheon Co. expects to contribute a combined $4.2 billion to its pension plans over the next three years, while Lockheed Martin Corp. foresees a $1.1 billion contribution to its pension trust, according to fourth-quarter earnings statements from both firms.
Waltham, Mass.-based Raytheon is projecting contributions of $1.2 billion this year, $1.4 billion in 2013 and $1.6 billion in 2014, according to a presentation accompanying its quarterly earnings call.
Raytheon made $1.8 billion in contributions to its pension plans in 2011.
The company had $13.9 billion of U.S. defined benefit plan assets as of Sept. 30, according to Pensions & Investments data.
Lockheed Martin, Bethesda, Md., made $1.1 billion of accelerated contributions to its pension plans during the fourth quarter, for a total contribution of $2.3 billion for the year. The company's U.S. defined benefit plan assets totaled $26.6 billion as of Sept. 30, according to P&I data.
Lockheed returned 4.9% on plan assets in 2011, below its expected long-term rate of return of 8%.
Also Thursday, AT&T Inc., Dallas, said it made a $1 billion contribution to its pension plan during the fourth quarter, and that no additional funding is required in 2012, according to its fourth-quarter earnings release. According to P&I data, the company had $43.9 billion of U.S. defined benefit plan assets as of Sept. 30.
Timothy Pollard and Rob Kozlowski are reporters for Pensions & Investments, a sister publication of Business Insurance.