UK - Legal & General has completed a £12m (US$23.8m) buyout of the Telegraph Media Group (TMG) defined benefit liabilities, with the support of actuarial consultancy Lane Clark and Peacock LLP (LCP).
Jill Bourne, partner at LCP, said: "This is a tremendous result for the trustees and pension scheme members. Members now have their benefits backed by a FSA regulated insurer and the trustees can focus their efforts on the remaining defined contribution scheme without having to spend time on the legacy defined benefits now bought out."
Jim Churcher, secretary to the trustees of the Telegraph Staff Pension Plan, commented: "The trustees and the sponsor are delighted to have concluded the bulk buyout deal. The team at LCP worked hard with us to obtain very competitive terms."
Hugo James, sales development director for Legal & General's bulk purchase annuity business, said: "Legal & General is pleased to be able to secure the members' benefits for this major company. The deal reflects our ability to secure benefits across the full spectrum of the buyout market."
Last year TMG and Express Newspapers had a dispute over the West ferry Printers' Pension Scheme deficits.
TMG planned to move its newspapers from the West Ferry print works where it was 50/50 partners with Express Newspapers. At the time the decision was made, actuaries assessed the pension scheme deficit to be £66m (US130.8m).
This week's edition of Professional Pensions is out now.
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The Pensions Regulator will consider if schemes should be required to have professional trustees and assess the case for greater regulation of administrators and system providers, PP can reveal.