Libbey Inc., Toledo, Ohio, will freeze its cash balance pension plan for U.S. salaried employees, effective Jan. 1, as part of a series of benefits changes to address rising pension costs, confirmed Kenneth Boerger, vice president and treasurer.
The company will offer an “improved 401(k) benefit that includes an increased company match” in its existing 401(k) plan, according to a news release. Mr. Boerger said the company is not disclosing information on the match.
The cash balance plan was closed to new hires on Jan. 1, 2006.
As of Dec. 31, the company's U.S. hourly and salaried plans had $221 million in assets and $316 million in projected benefit obligations for a funding ratio of 69.9%, according to its most recent 10-K filing.
The company's 401(k) Retirement Savings Plan had $87 million in assets as of Dec. 31, according to its most recent 11-K filing.