American Airlines Inc., Dallas-Fort Worth Airport, hired Bridgewater Associates and BNY Currency Overlay as currency overlay managers for its $5 billion defined benefit plan and its $3 billion defined contribution plan for pilots. Each handles the currency component of $100 million of foreign equities.
Existing currency overlay managers, J.P. Morgan and Goldman Sachs ``will probably'' get an increase in the amount of foreign equities for which they provide currency overlay, said William Quinn, president of AMR Investment Services. The amount has not been decided; each now handles the currency component of about $100 million of foreign equities.
Cincinnati Milacron, Cincinnati, Ohio, hired Putnam as the first international core equity manager for its $420 million defined benefit plan. The $15 million portfolio will come from a reallocation from U.S. equity, said John Francy, director of treasury operatons. Disciplined Investment Services assisted.
TXI Inc., Dallas, recently formed after the merger of Chaparral Steel and Texas Industries, hired Putnam as a bundled provider for its new $75 million 401(k) plan.
The plan has eight options: Pegasus Bond Fund, managed by First Chicago NBD; Janus Overseas Fund; Putnam Stable Value Fund; Putnam Growth & Income Fund; Putnam Voyager Fund; and three Putnam asset allocation funds.
Previously, both plans were unbundled, and Texas Industries' plan was directed by trustees. Chaparral's $30 million plan was administered by Mercer and had three investment choices. Texas Industries' $45 million plan had five managers and used two mutual funds.
Allbright & Hart Financial Advisors assisted.
DePuy Inc., Warsaw, Ind., hired Scudder Defined Contribution Services as bundled provider for its $40 million 401(k) plan. Scudder will provide record keeping and mutual fund investment options. The funds are: Scudder Stable Value Fund; Scudder Income Fund; Scudder Overseas Fund; Scudder Growth & Income Fund; Scudder Stock Index Fund and three Scudder lifecycle funds.
The plan also will offer the Janus Overseas and Janus Managers Special Equity Fund.
Adams County Retirement Plan, Brighton, Colo., hired Denver Investment Advisors as a small-cap value equity manager.
Plan officials will place installments with the manager over time as cash becomes available, said Joann Mendenhall, plan administrator for the $105 million fund. A final amount has not yet been determined. Denver now manages $210,000 in long- and intermediate-term U.S. bonds for the fund.