FRANCE - Alcatel-Lucent reported a pension and other post employment benefit (OPEB) deficit of €1.2bn ($1.7bn) in the third quarter down from an overfunding of €49m at the end of June.
The firm said the deficit was driven by a drop in the discount rate of 70 basis points which led to an increase in obligations of €1.9bn, which was offset in part by an increase in plan assets of €902m, the company said in its third quarter report.
However, the deficit is slightly better than the €1.4bn hole recorded at the end of September 2010.
Total assets are €27.9bn down from €27.4bn last year.
Alcatel-Lucent also said it planned to transfer 10,300 members from its US occupations pension plan to its US management pension plan, which would improve the funded status of the mnagement plan by $340m.
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