Bristol-Myers Squibb Co., New York, has purchased its second group annuity contract from Athene Annuity and Life. Co. to transfer the remaining $200 million in liabilities from its U.S. pension plan to complete the largest full termination of such a plan to date.
The pharmaceutical company has already completed the transfer of $2.4 billion in plan liabilities to Athene. The amount was determined following the distribution of $1.3 billion in assets via lump sums to participants who elected that option in the third quarter, confirmed spokeswoman Shelly Mittendorf in an email. Athene has already begun to issue benefit payments for both contracts, she said.
Bristol-Myers Squibb had announced its plans for the full termination in December 2018, as well as the original contract agreement with Athene, the amount of which would be determined following the lump-sum offer window.