Alcoa: to transfer Canadian pension plans
(CercleFinance.com) - Alcoa has signed annuity contracts to transfer approximately 555 million dollars in pension liabilities and benefit plans in Canada.
The US aluminium producer said that the move, which will be complete later this month, is in line with its strategy to strengthen its balance sheet by reducing the volatility from its pension plan obligations.
The group's annuity contracts with three Canadian insurance companies will cover approximately 2,100 retirees or beneficiaries.
Alcoa expects to record a non-cash charge of approximately 175 million dollars in the second quarter due to this transaction.
Copyright (c) 2018 CercleFinance.com. All rights reserved.
The US aluminium producer said that the move, which will be complete later this month, is in line with its strategy to strengthen its balance sheet by reducing the volatility from its pension plan obligations.
The group's annuity contracts with three Canadian insurance companies will cover approximately 2,100 retirees or beneficiaries.
Alcoa expects to record a non-cash charge of approximately 175 million dollars in the second quarter due to this transaction.
Copyright (c) 2018 CercleFinance.com. All rights reserved.