SunLink Health Systems Inc., Atlanta, plans to contribute about $140 million to its frozen U.S. defined benefit plan in the fiscal year ending June 30, 2018, the company disclosed in a 10-K filing with the Securities and Exchange Commission on Sept. 29.
The company contributed $140 million to the plan in the fiscal year ended June 30. The plan was closed to new employees and benefits accruals were frozen to current employees on Feb. 28, 1997.
As of June 30, the actual allocation was of the pension plan was 56% cash and short-term investments, 29% equities and 15% fixed income. As of that same date, the plan had $891 million in assets and $1.5 billion in projected benefit obligations, for a funding ratio of 59.4%. The expected return on plan assets is 4% and the discount rate is 3.5%.
