PENSION BENEFIT GUARANTY CORPORATION
Annual Report to the Congress
Fiscal Year 2003

The Pension Benefit Guaranty Corporation (PBGC) protects the pensions of nearly 44.3 million working men and women in more than 31,000 private defined benefit pension plans, including 34.5 million people covered by 29,500 single-employer plans and more than 9.7 million people covered by over 1,600 multiemployer plans. These pension plans provide a specified monthly benefit at retirement, usually based on salary or a stated dollar amount and years of service. The Employee Retirement Income Security Act of 1974 established PBGC as a federal corporation. PBGC operates under the guidance of its Board of Directors, which consists of the Secretaries of Labor (Chair), Commerce, and the Treasury.

PBGC receives no funds from general tax revenues. Operations are financed by insurance premiums set by Congress and paid by sponsors of defined benefit plans, investment income, assets from pension plans trusteed by PBGC, and recoveries from the companies formerly responsible for the plans.

PBGC’s mission is to operate as a serviceoriented, professionally managed agency that protects participants’ pension benefits and supports a healthy retirement plan system by:

• encouraging the continuation and maintenance of voluntary private pension plans for the benefit of their participants,

• providing timely payments of benefits in the case of terminated pension plans, and

• making the maximum use of resources and maintaining premiums and operating costs at the lowest levels consistent with statutory responsibilities.

Table of Contents

• Chairman's Message
• Highlights
• Perspectives on the Year
• Executive Director's Message
• Single-Employer Program Exposure
• Annual Performance Report
• Financial Statements
• Actuarial Valuation
• Reports of the Inspector General and Independent Accountants
• Organization
• Financial Summary

| PDF version of PBGC's 2003 Annual Report as printed | Back to WWW.PBGC.GOV |