The value of company pension plans is likely to have declined by between 15% and 20% over 2008, according to Moody’s. This would reduce the funding for the plans from 108% to 90% – a loss of nearly 40 billion for the 20 companies with the biggest pension assets, The Telegraph reports.
The ratings agency says that pension deficits were important when deciding the credit-worthiness of a company, because they had an effect on the cashflow of the sponsoring employer.
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D.C.
D.C.