June 14, 2013
We are pleased to announce that after extensive negotiations with annuity providers, the Company and the Monitor over the last few months, we were able to reach an agreement with one insurance company for an annuity quote that will enable a fully funded wind up of all the HCPH registered pension plans, without a reduction to pension benefits, plus a cash payment on retirees’ OPEB claims.
The annuity prices we negotiated are much more advantageous than the quotes that were obtained in December 2012. The December quotes would have resulted in a reduction to pension benefits and no payment on retirees’ OPEB claims.
Further details with respect to the timing of the HCPH pension plan wind ups and the amount of the distribution on retirees’ OPEB claims will be provided shortly.