UK - Automotive and aerospace manufacturer GKN has blamed rising pension costs for the 8% fall in pre-tax profits.
The £1.33bn GKN Group Pension Scheme’s FRS17 deficit has risen £17m to £968m.
Chief executive Kevin Smith said the group’s cash performance was and net debt had reduced for the second successive year despite the £44m payment to help reduce its scheme deficit.
In 2002, GKN merged its three UK pension schemes and has increased the total cash contribution to £53m annually, with £40m of this aimed at clearing the scheme’s funding deficit.
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