ITT Inc., White Plains, N.Y., announced in an 8-K filing with the Securities and Exchange Commission on Friday it is offering a lump-sum window to certain participants in its U.S. defined benefit plan.
The offer has been made to former U.S. employees who are vested in the DB plan but who have yet to retire. The company did not reveal to how many former employees it has made the offer, nor when the window to accept the offer closes.
The company says it plans to “recognize a non-cash pretax pension settlement charge of approximately ($18 million to $20 million) in the fourth quarter of 2016.”
As of Dec. 31, U.S. DB plan assets totaled $278.1 million, while projected benefit obligations totaled $339.9 million, for a funding ratio of 81.8%, according to the company’s most recent 10-K filing. Its three U.S. plans have been closed for several years, the 10-K filing said.
Officials at ITT could not be immediately reached to provide further information.