Multinational telecommunications corporation AT&T have announced it will contribute a stake in its wireless business worth $9.5bn to the company's pension plan in an effort to secure the fund, according to Reuters.
AT&T filed for approval for the proposal with the U.S. Department of Labor last week, a U.S. Securities and Exchange Commission filing reveals. The firm said the move would not significantly affect company earnings.
The pension scheme, which according to data held by Pension Funds Online has assets under management worth $45bn, was underfunded by about $10.2bn at the end of 2011.
"We're making this contribution, which is many times above our estimated required funding for 2013, at a time when many companies have eliminated their pensions," a spokeswoman for AT&T told Reuters.
First published 22.10.2012
azeevalkink@wilmington.co.uk
