Steven A. Kandarian, PBGC executive director, submitted his resignation today, effective in mid-February. Mr. Kandarian, who was appointed Dec. 2, 2001, said in a resignation letter to Labor Secretary Elaine L. Chao that he wanted to spend more time with his family in Boston. "PBGC has suffered multibillion-dollar losses, and responsible companies have been placed at risk of making good on the unfunded promises of others," Mr. Kandarian noted in his resignation letter. "If we do not take action soon, these consequences will repeat themselves, or worse, U.S. taxpayers may find themselves called upon to bail out the pension insurance system." Mr. Kandarian wrote he was confident the Bush administration's proposals to revamp funding rules will strengthen the pension system and the PBGC's insurance program.
"He was a prudent manager and an effective champion of this administration's efforts to strengthen the nation's private pension system through responsible reform," said Ms. Chao.