In 25 years there will be no more private pensions. A government nipple/retirement for all.
KOTV - The News on 6 - Government Takes Over Huffy's Pension Plan
: "WASHINGTON (AP) _ A federal agency announced Wednesday that is has taken responsibility for the pensions of 3,700 workers and retirees of Huffy Corp., a distributor of bicycles and sporting goods.
The Pension Benefit Guaranty Corp. said the company, which filed for Chapter 11 bankruptcy protection in October 2004, met all the criteria under federal law to transfer its pension liabilities to the pension insurance program.
The PBGC estimates that the company's pension plan is 47 percent funded, with $71.7 million in assets to cover $152.4 million in benefit promises. The agency said it will be liable for $80 million of the $80.7 million shortfall.
The agency does not guarantee the same benefit a company promises its workers. The maximum annual benefit for plans taken over in 2005 is $45,614 for workers who wait until 65 to retire. Workers who retire before 65 get smaller benefits.
Huffy is based in Miamisburg, Ohio.
The takeover of Huffy's pension obligations comes against the backdrop of mounting concern on Capitol Hill and elsewhere about the financial health of the PBGC. "