Statement OF PBGC Acting Executive Director on U.S. District Court Decision Concerning United Airlines Pilots' Pension Plan
FOR IMMEDIATE RELEASE
June 13, 2006
WASHINGTON-Vince Snowbarger, acting executive director of the Pension Benefit Guaranty Corp., issued the following statement today regarding the decision of Judge Joan Humphrey Lefkow of the U.S. District Court, Northern District of Illinois, in the matter of the United Airlines Pilots' Defined Benefit Pension Plan:
"Judge Lefkow has ruled to uphold the termination of the United Airlines pilots' pension plan as of December 30, 2004. This decision reaffirms the federal insurance program's ability to act on behalf of the 44 million Americans whose benefits it protects. The PBGC will continue to ensure that current and future retired United Airlines pilots receive the maximum benefit allowed by law."
The PBGC is a federal corporation created under the Employee Retirement Income Security Act of 1974 (ERISA). It currently guarantees payment of basic pension benefits earned by 44 million American workers and retirees participating in over 30,000 private-sector defined benefit pension plans. The agency receives no funds from general tax revenues. Operations are financed largely by insurance premiums paid by companies that sponsor pension plans and by investment returns.
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PBGC No. 06-52