Allegheny Technologies to freeze DB plan for certain employees on Dec. 31
Reprints
Allegheny Technologies Inc., Pittsburgh, announced on Friday it will freeze the benefit accruals of certain participants in its U.S. defined benefit plan on Dec. 31, spokesman Dan Greenfield said.
An 8-K filing with the Securities and Exchange Commission notes “a consistent defined contribution plan with a base 6.5% company contribution and up to 3% in company matching contributions” will be offered beginning Jan. 1. Mr. Greenfield said the freeze will affect only certain participants to align them with other employees who are already in the defined contribution plan, which had $989 million as of Sept. 30, 2013, according to Pensions & Investments’ data.
The changes affect employees whose benefits were carried over from the company’s 2011 acquisition of Ladish Inc.
As of Dec. 31, 2013, the defined benefit plans had $2.33 billion in assets, and $2.67 billion in projected benefit obligations, for a funding ratio of 87%.
Mr. Greenfield said the company would not provide further comment.
Rob Kozlowski writes for Pensions & Investments, a sister publication of Business Insurance.
Read Next
-
Washington Post freezes pension plan, switches to cash balance option
The Washington Post's parent company is freezing its defined benefit plan and transferring remaining participants to an existing cash balance plan, effective Jan. 1, 2015. The company is also offering a lump-sum option for all defined benefit participants.
