Unisys Corp., Blue Bell, Pa., contributed $15.6 million to its U.S. pension plans during the first quarter, according to the company's quarterly report filed Thursday with the SEC. The company plans to contribute a total of about $70 million to the plans during 2005; it contributed $62.8 million in 2004. The company is not required to make any pension contributions this year, according to the filing.
Unisys' U.S. pension plans had $4.36 billion in total assets as of Dec. 31, according to the company's annual report, and those plans were underfunded by roughly $229 million at the end of 2004.
The quarterly report said "significantly higher pension expense" continues to affect Unisys' financial results. Company officials expect to report about $186 million in pension expense for all of 2005, compared with $93.6 million in 2004 pension expense. Officials cited a drop in the discount rate to 5.88% from 6.25% as a main reason for the higher expense.
Separately, Sprint Corp., Overland Park, Kan., contributed $300 million to its $3.68 billion pension plan during the first quarter, according to a Thursday 8-K filing. The company contributed the same amount in the first quarter of 2004, its only contribution for that year, the filing said. No additional contributions are planned for 2005.
Sprint's pension plan was underfunded by $788 million at the end of 2004.