The merger of Delta Air Lines Inc. and Northwest Airlines Corp. closed Oct. 29 will have an estimated $11.7 billion in defined benefit assets and $8.8 billion in defined contribution assets, according to the most recent 10-K filings. The combined company will keep Deltas name and will be based in Atlanta.
The PBGC received a 20.7% stake in Atlanta-based Delta for taking over the airlines underfunded pilots plan as part of the airlines 2006 reorganization plan. The PBGCs stake had been reduced to 12% of Delta's common stock as of Sept. 30, 2008.
Delta had $4.9 billion in defined benefit assets and $7.3 billion in pension liabilities as of Dec. 31, according to a February SEC filing, the latest data available. Delta terminated its pilots plan in 2006 and froze its non-pilots plan in 2005. Delta has $4.8 billion in 401(k) plan assets.
Northwest, Eagan, Minn., had an estimated $6.8 billion in pension assets and $4 billion in defined contribution assets, also as of Dec. 31. Northwest froze its plans for pilots, other salaried employees and labor union employees between 2005 and 2006.
Betsy Talton, a spokeswoman for Delta, was not available to provide additional information.