Retailer Walmart Inc. will retain responsibility for the defined benefit fund of Asda Group Ltd., following a proposed sale of its subsidiary.
Supermarket J Sainsbury PLC, London, and Walmart announced Monday they had agreed to terms related to a proposed combination of Sainsbury and Walmart subsidiary Asda, based in Leeds, England.
"Walmart would retain the Asda defined benefit pension scheme as part of the combination, along with any ongoing defined benefit pension related obligations," said a Walmart statement.
Asda's latest annual report, as of Dec. 31, 2016, showed DB assets of £2.5 billion ($3.06 billion) and £2.6 billion of liabilities.
Sainsbury's has group DB assets of £9.9 billion according to its 2017 annual report, and £10.9 billion in liabilities.