Navistar International Corp., Lisle, Ill., plans to make minimum required contributions totaling about $320 million to its pension plans in its fiscal year ending Oct. 31, 2021.
That total includes the $157 million in minimum required contributions for 2020 that were deferred under provisions of the CARES Act, according to the company's 10-K filing Thursday with the SEC. The Coronavirus Aid, Relief and Economic Security Act provides companies the option of a one-year holiday from making 2020 pension contributions.
Navistar also disclosed it expects to be required to make contributions of $170 million and $160 million, respectively, in fiscal years 2022 and 2023.
As of Oct. 31, pension plan assets totaled $1.861 billion, while projected benefit obligations totaled $3.242 billion, for a funding ratio of 57.4%, down from 60.1% a year earlier.
The discount rate as of Oct. 31 fell to 2.6%, from 3.1% the year before.
As of Oct. 31, the plan's actual allocation was 31.3% fixed income, 15.4% domestic equities, 12.9% international equities, 11.3% global equity, 9.7% hedge funds of funds, 9.5% global real estate, 4.8% private credit, 2.9% cash and cash equivalents, 1.3% insurance-linked securities and 0.9% private equity.