Chrysler Group LLC expects to contribute $386 million to its worldwide pension plans in 2010, while Boeing Co. still expects to contribute less than $100 million to it funds this year, according to financial reports released by the two companies Wednesday.
Chrysler’s former parent Daimler AG plans to provide $200 million of the contribution as part of an agreement with the Pension Benefit Guaranty Corp. to contribute a total of $600 million over three years to the pension plans. Daimler made the deal in April 2009, prior to Chrysler filing for Chapter 11 bankruptcy protection, as part of a transaction to relinquish the remaining 19.9% share of Chrysler it owned.
The rest of Auburn Hills, Mich.-based Chrysler’s contribution will come from Chrysler cash.
Chicago-based Boeing didn’t specify an amount in its report, and the company projected the same contribution range in January. Charles Bickers, Boeing spokesman, could not be reached for comment.
In 2009, Boeing contributed almost $1.51 billion to its pension funds, consisting of $82 million in cash and 29,211,295 shares of its stock, valued then at $1.5 billion. That stock was valued at $2.15 billion based on Wednesday’s midday trading price.
Boeing had $45.8 billion in pension assets and $52.1 billion in pension liabilities as of Dec. 31.
Chrysler last year contributed $240 million to its pension plans from June 10, when the company emerged from bankruptcy, through Dec. 31.
As of Dec. 31, Chrysler’s pension assets totaled $24.731 billion and pension liabilities $28.595 billion, the report said.
The allocation of the pension assets as of Dec. 31 was 19.4% corporate bonds, 17.3% government securities, 10.7% U.S. equity, 10.6% hedge funds, 9.5% non-U.S. equity, 9.4% private equity, 6.6% equity in unspecified collective trusts, 5.1% real estate, 3.9% high yield and convertible bonds, 3.9% cash, 1.6% insurance contracts, 1.5% other fixed income and 0.5% other assets, the report said.
The company contributed a total of $2 million to its U.S. and non-U.S. defined contribution plans from June 10 through Dec. 31, the report said. Boeing’s defined contribution assets totaled $27.505 billion as of Sept. 30.
Chrysler is owned 67.69% by the $46.1 billion UAW Retiree Medical Benefits Trust, Ann Arbor, Mich.; 20% by Fiat SpA; 9.85% by the U.S. government; and 2.46% by the Canadian government, according to the report.