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U.S. agency seeks approval to take over Sears pensions
Source: Reuters
WEALTH FEBRUARY 1, 2019 / 4:42 PM / UPDATED 3 HOURS AGO
U.S. agency seeks approval to take over Sears pensions
Jonathan Stempel
3 MIN READ
NEW YORK (Reuters) - A U.S. agency that insures worker pensions sought permission on Friday to take over two underfunded Sears Holdings Corp pension plans, after objecting to Sears Chairman Eddie Lampert’s proposed $5.2 billion buyout of the bankrupt retailer.
In a complaint filed in Chicago federal court, the Pension Benefit Guaranty Corp asked to be named trustee of the pension plans, which it said are underfunded by $1.4 billion and cover about 90,000 Sears and Kmart employees and retirees.
The PBGC also asked that the plans be terminated as of Jan. 31, 2019.
Friday’s request came six days after the PBGC objected to the takeover of Sears by Lampert’s hedge fund ESL Investments, which had won an auction for the Hoffman Estates, Illinois-based retailer last month.
In a filing with the White Plains, New York court overseeing Sears’ Chapter 11 case, the PBGC said Lampert’s proposal would strip its rights in trademarks and licensing royalties from the DieHard and Kenmore brands.
-snip-
U.S. agency seeks approval to take over Sears pensions
Jonathan Stempel
3 MIN READ
NEW YORK (Reuters) - A U.S. agency that insures worker pensions sought permission on Friday to take over two underfunded Sears Holdings Corp pension plans, after objecting to Sears Chairman Eddie Lampert’s proposed $5.2 billion buyout of the bankrupt retailer.
In a complaint filed in Chicago federal court, the Pension Benefit Guaranty Corp asked to be named trustee of the pension plans, which it said are underfunded by $1.4 billion and cover about 90,000 Sears and Kmart employees and retirees.
The PBGC also asked that the plans be terminated as of Jan. 31, 2019.
Friday’s request came six days after the PBGC objected to the takeover of Sears by Lampert’s hedge fund ESL Investments, which had won an auction for the Hoffman Estates, Illinois-based retailer last month.
In a filing with the White Plains, New York court overseeing Sears’ Chapter 11 case, the PBGC said Lampert’s proposal would strip its rights in trademarks and licensing royalties from the DieHard and Kenmore brands.
-snip-
Read more: https://www.reuters.com/article/us-sears-pensions/u-s-agency-seeks-approval-to-take-over-sears-pensions-idUSKCN1PQ5US
