What Investors Don’t Understand About Pension Plans

August 11th, 2010 by hackel Leave a reply »

I’ve been writing for a couple of years now about an impending cataclysm about to hit company earnings, cash flows and credit. As we know, many firms were bailed out from having to make stepped-up contributions thanks to the large rally in the financial markets in 2009. 



1 comment

  1. John Kapili says:

    Mr. Hackel,

    After reading your article on “What Investors Don’t Understand About Pension Plans” I would like to point out possibly some other information to look at. These Companies such as Verizon Corp and others that have Frozen or Stopped their Defined Pension Plans have Plan Rules that may also require the Pensions to be fully funded if ever stopped. Alltel Wireless which was bought by Verizon Wireless will completely stop in 2010. The Plan states it must be fully funded if ever stopped. This also may apply to Verizon Corp since they Froze Management Pensions. Just some food for thought.
    John Kapili