| The BenefitsLink Newsletter - Retirement Plans Edition |  |
October 5, 2001 - 12,199 subscribers
Today's sponsor: Glasser LegalWorks
(Click on company name or banner to learn more.)
This timely "how to" program focuses on how to run an effective, efficient employee benefits plan while minimizing litigation exposure. Whether you are an ERISA fiduciary, investment advisor, or the in-house counsel, it is not too late to sign up to learn the latest practices and techniques. Register now!
(Help BenefitsLink to provide this newsletter at no charge to you -- our sponsors pay our way. Remember to visit them periodically; we try to make sure their products and services will be of interest to you. Thanks! --Editor)
Polaroid Pension Plan Funding Questioned
Excerpt: "In a memo sent to employees this week that was obtained by The Boston Globe, the company said the plan had more than $900 million in assets on Oct. 1. But that's approximately only enough to pay 90 percent of all of the benefits accrued by employees under the pension plan. If all beneficiaries suddenly retired and sought pension benefits, there wouldn't be enough money to pay the obligations." (Knight Ridder/Tribune via IFEBP)
FAQs on the Class Action Cash Balance Plan Lawsuit Against IBM
Excerpt: "Following is a set of questions about Cooper v IBM, the lawsuit filed in 1999 in the United States Federal District Court of Southern Illinois. The answers are my strictly opinions, based on reading Judge Murphy's class certification court order ... [N]ote that I am not a lawyer, only an interested member of the newly certified class." (Janet Krueger of the IBM Employees Benefit Action Coalition)
Elder Law of Michigan Receives Second Pension Counseling Grant from U.S. Government
Press release. Excerpt: "The U.S. Department of Health and Human Services selected Elder Law of Michigan, Inc.'s Michigan and Ohio Pension Rights Project as one of two pension counseling projects funded this year.... Retirees in Michigan who need assistance with pension benefits can call 800-347-LAWS for an opportunity to speak with an attorney about their pension questions or problems." (PR Newswire via Yahoo! Finance)
Investment Company Institute Releases Ad Hoc Survey on SIMPLE IRA Plans
Excerpt: "Survey respondents indicate that the number of SIMPLE IRA plans rose 11 percent and the number of participants increased 15 percent between December 31, 2000 and June 30, 2001." (Investment Company Institute)
Another Question is Answered in the Stock Options, Restricted Stock and Other Long-Term Employment Incentives Q&A Column
To pursue a collar strategy, can I write covered calls on restricted stock? (BenefitsLink.com)
Stock Option Strategies and Pitfalls Du Jour
October 2001 issue. Excerpt: "Companies choosing the repricing strategy must act carefully because of FASB Interpretation no. 44, Accounting for Certain Transactions Involving Stock Compensation (interpretation to APB Opinion no. 25, Accounting for Stock Issued to Employees) adopted in July 2000. The new accounting rule discourages companies from making a quick leap to reprice stock options in response to a market downturn. Repricing becomes much more painful." (Journal of Accountancy)
Minimize Parachute Penalties
October 2001 issue. Excerpt: "Companies should not enter into golden parachute plans without careful consideration. CPAs called in to help draft these agreements can, through prudent planning, save their employers and clients significant sums." (Journal of Accountancy)
Any Legal Requirements for Confidentiality of Benefit Payments?
Join this interesting discussion taking place on the BenefitsLink Message Boards. No cost to view or join in the online discussion. Click on the 'Post Reply' button to add your own message. (BenefitsLink Message Boards)
Transamerica Retirement Services Announces Specialized New Product for PEOs
Press release. Excerpt: "Professional Employer Organizations -- which hire a company's workforce and then 'lease it back' to the company, assuming all of the client company's human resources responsibilities and employment risks in the process -- offer many administrative, legal and logistical advantages to smaller businesses. But until now, PEOs have found it difficult to meet the retirement plan benefit needs of their small business clients." (Business Wire via Yahoo! News)
Sunk by Stock Options
October 2001 issue. Excerpt: "Unfortunately, many rank-and-file workers--and more than a few top executives--are blissfully ignorant of the perils of stock option ownership. A study by Oppenheimer Funds of option holders indicated 37% knew very little about the tax implications, investment and market risks." (Journal of Accountancy)
Newly Posted or Renewed Job Openings (Post Yours!)
| Pension Plan Administrator | for Palmer Pension Services, Inc. in GA |
| Reinsurance Manager | for Corporate Benefit Services of America, Inc. in MN |
| Assistant General Counsel | for Xcel Energy in MN |
| Pension Analyst | for Compensation Consultants, Inc. in WA |
| Senior Executive Benefit Regional Manager | for National Executive Benefit and Consulting Firm in TX |
Subscribe to the Welfare Plans Edition, too (click)
Copyright 2001 BenefitsLink.com, Inc., but you may freely distribute this email newsletter in whole. This newsletter is edited by David Rhett Baker, J.D.
- How to Sponsor an Issue: reach 12,199 benefits professionals!
- How to Subscribe
- Privacy Policy
- Archive of Prior Issues