Compliance July 13, 2007

PBGC Steps In to Save Abandoned Plan

July 13, 2007 (PLANSPONSOR.com) - The Pension Benefit Guaranty Corporation (PBGC) announced it has assumed responsibility for the underfunded pension plan covering 464 former employees of now-bankrupt Oklahoma Fixture Co.
Reported by

The PBGC said it stepped in because the pension plan was abandoned following the sale of substantially all of the company’s properties to Tulsa-based Penology LLC. PBGC estimates the Oklahoma Fixture Co. Pension Plan, which terminated August 12, 2003, is about 63% funded, with just over $4 million in assets to cover nearly $7 million in liabilities, the announcement said.

The agency expects to be liable for the entire $2.5 million shortfall, but said assumption of the plan’s unfunded liabilities will have no material effect on its financial statements, according to generally accepted accounting principles.

Never miss a story — sign up for PLANSPONSOR newsletters to keep up on the latest retirement plan benefits news.

Within the next several weeks the PBGC will send notification letters to all plan participants. Under federal pension law, the maximum pension guarantee for workers in plans that end in 2003 is $43,977 a year for persons retiring at age 65.

Workers and retirees with questions may consult www.pbgc.gov or call 800-400-7242. In addition, more information about the federal Health Coverage Tax Credit is at http://www.pbgc.gov/workers-retirees/benefits-information/content/page13692.html .

Benefits July 12, 2007

BISYS Scoops Up Frontier Trust Company

July 12, 2007 (PLANSPONSOR.com) - BISYS Retirement Services has acquired Fargo, North Dakota-based Frontier Trust Company from AXA Financial, Inc.
Reported by

According to a press release, Frontier Trust’s business mainly focuses on trustee and custodial services for qualified retirement plans, and has assets under management of more than $12 billion.

Following the acquisition, existing employees of Frontier Trust along with the current management structure will remain with the business and operate as a separate division in the Retirement Services business.

Get more!  Sign up for PLANSPONSOR newsletters.

“BISYS’ long standing relationship with Frontier Trust over the last 20 years makes this a natural fit,” commented Bob Guillocheau, president of BISYS Retirement Services, in the press release. “In a consolidating industry, this acquisition allows BISYS to further execute our strategic vision of providing robust retirement plan services to our clients.”

For more information visit www.bisys.com .

«