Frontier Communications sets pension contribution total at $30 million
By Rob Kozlowski | September 20, 2012 1:54 pm
Frontier Communications Corp., Stamford, Conn., is contributing $30 million to its pension plan in 2012, according to an 8-K filing with the SEC on Thursday.
The telecommunications company reported a $20 million pension contribution in the third quarter, with another $10 million expected to be contributed in the fourth quarter.
The amount, on the lower end of the Frontier's previous estimate of $30 million to $40 million in 2012 pension contributions, is the result of “guidance from the IRS on Aug. 16 related to valuation rates, and on Sept. 11 related to lump-sum methodologies,” according to the 8-K.
As of Dec. 31, the fair value of pension plan assets totaled $1.258 billion and projected benefit obligations totaled $1.799 billion, for a funding ratio of 69.9% according to the firm's most recent 10-K filing.
Spokeswoman Brigid Smith referred questions to Gregory Lundberg, vice president, investor relations and assistant treasurer, who did not return a phone call by press time.