Macy's Inc., Cincinnati, announced on Wednesday that it decided to forgo a $150 million contribution to its defined benefit pension plan in the fourth quarter of 2013.
The company decided not to make the contribution “as a result of better-than-expected market returns,” according to a news release. The company had previously announced in its most recent 10-K filing that it would contribute $150 million to the plan in 2013, the same amount it had contributed in 2012.
The plan was frozen on Dec. 31. The company increased its contribution to its existing 401(k) plan on Jan. 1 and also created a new defined contribution plan.
As of Dec. 31, 2012, the pension plan had assets of $3.387 billion and projected benefit obligations of $3.555 billion, for a funding ratio of 95.3%, according to the 10-K filing.
Phone calls to spokesman Jim Sluzewski were not returned by press time.