PBGC Protects Worker Pensions at Hussey Copper, Ltd.
FOR IMMEDIATE RELEASE
November 15, 2011
WASHINGTON—The Pension Benefit Guaranty Corporation will pay the retirement benefits of more than 380 workers and retirees of Hussey Copper, Ltd., a copper producer based in Leetsdale, Pa.
The PBGC, which safeguards the pensions of 44 million Americans, stepped in because Hussey Copper is in bankruptcy and plans to sell all its assets. The new buyer is not expected to assume the company's two pension plans.
PBGC will pay all pension benefits earned by Hussey Copper retirees up to the legal maximum of $54,000 a year for a 65-year-old.
When PBGC takes responsibility for the pension plans it will send notification letters to their members. Until then, the plans will continue under company sponsorship.
Workers and retirees with questions may consult the PBGC website, www.pbgc.gov or call toll-free at 1-800-400-7242. For TTY/TDD users, call the federal relay service toll-free at 1-800-877-8339 and ask for 800-400-7242.
Hussey Copper retirees who draw a benefit from PBGC may be eligible for the federal Health Coverage Tax Credit. Further information may be found on the PBGC website at http://www.pbgc.gov/wr/benefits/hctc/hctc-faqs.html.
According to PBGC estimates, the Hussey Copper pension plan has $3.2 million in assets to cover $5.7 million in benefits. The agency will be responsible for$1.8 million of the $2.5 million shortfall.
The Ullrich Copper plan has $421,000 in assets to cover $862,000 in benefits. PBGC expects to cover the entire $441,000 shortfall.
The PBGC protects the pension benefits of 44 million Americans in 27,500 private-sector pension plans. The agency is directly responsible for paying the benefits of more than 1.5 million people in failed pension plans. PBGC receives no taxpayer dollars and never has. Its operations are financed by insurance premiums and with assets and recoveries from failed plans. Unless otherwise noted, obligations related to this notice will increase PBGC's previously reported unfunded liabilities.
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PBGC No. 12-05