McClatchy Co., Sacramento, Calif., purchased a group annuity contract from American United Life Insurance Co. to transfer $46 million in pension liabilities, said an 8-K filing with the SEC released Tuesday.
The agreement with American United Life was made by the company's retirement committee on Dec. 20 and affects participants in The McClatchy Company Retirement Plan who are currently receiving $180 per month or less from the plan. American United Life will begin making payments in January, said the filing with the Securities and Exchange Commission. Information on the premium paid was not provided.
The pension plan was frozen March 31, 2009. It had $1.349 billion in assets and $1.931 billion in projected benefit obligations as of Dec. 27, 2015, for a funding ratio of 69.9%, according to the company's most recent 10-K filing.
Tina Tedesco, company spokeswoman, could not be immediately reached to provide further information.