Pension Benefit Guaranty Corporation (PBGC) will take up responsibility for the defined benefit pension plan of former bank holding company, FBOP, which is selling its assets and pension plan, and closing its business. PBGC will cover the retirement benefits of about 2,600 employees and retirees of FBOP.
FBOP’s pension plan has about $55 million assets to cover $111.6 million in benefit liabilities. PBGC expects to cover the entire $56.6 million shortfall. PBGC will take over the pension plan assets and use insurance premiums to pay covered benefits.
Click here for the release from Pension Benefit Guaranty Corporation.
