Allegheny Technologies Inc., Pittsburgh, purchased a group annuity contract from an insurance company to transfer $97 million in U.S. pension plan liabilities, the specialty metals company disclosed in an 8-K filing with the SEC on Tuesday.
The transaction took place in the fourth quarter, the filing said. It also noted the company plans to contribute $145 million to the U.S. pension plan in 2019. The company did not disclose the name of the insurance company or the number of retirees whose liabilities were transferred.
As of Dec. 31, 2017, total pension plan assets were $2.13 billion, according to the company's most recent 10-K filing, while projected benefit obligations totaled $2.83 billion, for a funding ratio of 75.3%. Allegheny Technologies did not break down assets between its U.S. and U.K. plans.
Company spokeswoman Natalie Gillespie could not be immediately reached to provide further information.