American Electric Power Co. Inc., Columbus, Ohio, expects to contribute a total of $124 million to its pension plans in 2019, the company disclosed in its 10-K filing with the SEC on Thursday.
The utility company itself will contribute $99 million to its main defined benefit plan, while six subsidiaries will contribute a total of $25 million to their plans. The company and subsidiaries contributed a total of $11 million in 2018 and $99 million in 2017.
As of Dec. 31, pension plan assets totaled $4.696 billion, while projected benefit obligations totaled $4.81 billion, for a funding ratio of 97.6%, down from 99.2% a year earlier. The discount rate for 2018 was 4.3%, up from 3.65% the previous year.
As of Dec. 31, the actual allocation of the defined benefit plans was 60.7% fixed income, 22.4% equities, 9.5% alternative investments, 4.7% real estate, 1.5% infrastructure, 1% cash and cash equivalents and 0.2% other.