Employer settles $58.5 million in pension liabilities on lump-sum offer

Mueller Water Products Inc., Atlanta, settled $58.5 million in U.S. pension plan liabilities as a result of a lump-sum offer to terminated vested participants who have yet to retire, the company announced in an 8-K filing with the U.S. Securities and Exchange Commission on Thursday.

The company announced that an offer was made to all former employees who had vested in the pension plan, but had yet to retire, and about 75% of those participants accepted the offer. The company did not say how many participants were originally given the offer.

As of Sept. 30, 2015, pension plan assets totaled $383.4 million and projected benefit obligations totaled $428.2 million, for a funding ratio of 89.5%, according to the company’s most recent 10-K filing.

John Pensec, company spokesman, could not be immediately reached to provide further information.

Rob Kozlowski writes for Pensions & Investments, a sister publication of Business Insurance.