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distress termination


Guest stanlipton

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Guest stanlipton

If db plan was taken over by pbgc;and it had at the time unfunded Lx of about 1.7 mill.

Company is not in bankrupcy;but is making no money.

Q;

Is it 100% certain that money will be collected from plan sponsor if they dont go bankrupt?

when?

slipton@intpen.com

thanks

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Please re-phrase. What "money"? Collected by whom? etc.

I'm a retirement actuary. Nothing about my comments is intended or should be construed as investment, tax, legal or accounting advice. Occasionally, but not all the time, it might be reasonable to interpret my comments as actuarial or consulting advice.

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Nothing is certain in bankruptcy. In any Distress Termination, the PBGC will go after any (and all) assets it can. Before, during and after the termination.

No doubt about it: the plan sponsor needs legal counsel familiar with PBGC procedures.

I'm a retirement actuary. Nothing about my comments is intended or should be construed as investment, tax, legal or accounting advice. Occasionally, but not all the time, it might be reasonable to interpret my comments as actuarial or consulting advice.

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Guest stanlipton

Thank you.

If the company is not in bankrupcy;but is struggling to stay afloat;is the situation the same?

Meaning;is it a GIVEN that the unfunded liability will one day be gotten in full from the company when/if their

financial situation improves;or is that amount negotiable?

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Nothing is certain in bankruptcy.

I'm a retirement actuary. Nothing about my comments is intended or should be construed as investment, tax, legal or accounting advice. Occasionally, but not all the time, it might be reasonable to interpret my comments as actuarial or consulting advice.

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