06 June 2008
Delta has sold more than half of its pension liabilities to
Pension Insurance Corp in a move that will require a payment from
the metals group of slightly less than £50m.
Delta said the move "substantially" reduced the size of any
risks associated with its pension fund, which at slightly more than
£600m is three times the company's market capitalisation.
The deal with Pension Insurance Corp is the first to split a
pension scheme by category, with benefits owed to former workers
who are too young to retire to remain with the scheme.
The cost of buying out all the benefits would have been too high
for Delta.
