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DEFINED BENEFIT

Hoover U.K. pension fund granted clearance to enter Pension Protection Fund

The Hoover (1987) Pension Scheme, Bolton, England is expected to enter the Pension Protection Fund within a month, said a spokesman at The Pensions Regulator.

The defined benefit pension fund of the vacuum cleaner company in the U.K. will transfer its liabilities into the £23.4 billion ($30 billion) lifeboat fund within 28 days, according to the TPR spokesman.

“We granted clearance for a Regulated Apportionment Arrangement proposal regarding the Hoover (1987) Pension Scheme in late April. RAAs are rare and we will only grant them if stringent criteria have been met,” he said. “Formal approval of an RAA is only given after the expiry of a 28-day period, in which affected parties can refer the matter to the Upper Tribunal. Provided that no referral is received, it is expected that the scheme will transfer into the PPF.”

A spokesman for The Hoover (1987) Pension Scheme could not be reached and the amount of the plan's assets and liabilities were not immediately available.