The PBGC will take over the defined benefit fund of Noble Health Systems Inc., Westfield, Mass., the agency announced Thursday.
The PBGC said Noble Health could no longer pay its pension obligations and remain in business, confirmed Marc Hopkins, PBGC spokesman.
The pension plan was 61% funded, with $28 million in assets to pay $46 million in benefits as of April 15, 2011, when Noble Health notified participants that it could not fund the plan anymore. The Pension Benefit Guaranty Corp. expects to cover $17.8 million of the $18 million shortfall.
Officials at Noble Health could not be reached by press time for comment.