PBGC takes over Massachusetts hospital's pension plan
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The Pension Benefit Guaranty Corp. is taking over a pension plan sponsored by Noble Health Systems Inc. in Westfield, Mass.
The PBGC said last week it is stepping in because the hospital can't pay its pension obligations and remain in business.
The PBGC estimates that as of April 15, 2011, the plan, which has 830 participants, was 61% funded, with $28 million in assets and $46 million in liabilities. The agency said it expects to cover $17.8 million of the $17.9 million funding shortfall.
The PBGC said it set an April 15, 2011, plan termination date because Noble Health had ended expectations among participants that they would continue to earn benefits at that time.
