GE Transfers $1.7 Billion in U.S. Pension Plan Obligations to Athene
Posted on 12/16/2020
General Electric (GE) transferred approximately US$ 1.7 billion of its U.S. GE Pension Plan obligations by purchasing group annuity contracts from wholly owned subsidiaries of Athene Holding Ltd. Approximately 70,000 of GE’s retirees and beneficiaries with benefits under US$ 360 per month will receive their monthly pension benefit payments from one of Athene’s wholly owned subsidiaries, either Athene Annuity and Life Company or Athene Annuity & Life Assurance Company of New York as part of this transfer. The purchase of the group annuity contracts will be funded directly by assets of the U.S. GE Pension Plan.
GE believes this transaction does not materially impact the plan’s funded status and follows GE’s recent announcement to voluntarily pre-fund US$ 2.5 billion of estimated minimum ERISA GE Pension Plan funding requirements for 2021, 2022, and into 2023.
Keywords: General Electric Pension Plan.
