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Showing posts from May, 2014

TVA falls through cracks as plan funding deteriorates

By Daniel M. Pitts | May 26, 2014 Source:  Pensions & Investments (Click here ) With widespread improvements in pension plan funded levels reported for U.S. corporations, it was alarming to learn the Tennessee Valley Authority's pension plan was only 63% funded at the end of its fiscal year Sept. 30. This funded level puts TVA's pension plan among the worst funded pension plans of major electric utilities in the U.S. The pension plan's current funded status, TVA's reluctance to properly fund it, and the fact that the pension benefits are not guaranteed raise serious questions about the long-term well-being of the pension promise to participants. Upon realizing the critically deficient standing of TVA's pension plan, I reviewed the 10-K financial statements, filed with the Securities and Exchange Commission, of six utilities that compete with TVA: Exelon Corp., Entergy Corp., Duke Energy Corp., American Electric Power Co., Southern Co. and Dominion Resour...

Precarious Situation

From: Dennis To [mailto:dpto19533@gmail.com] Sent: Thursday, May 08, 2014 12:36 AM To: Dennis To Subject: Special Committee to negotiate for riffed employees on annuity protection If Bill Johnson succeeds in selling TVA, TVARS would mostly likely be transferred to a non-Fed entity.  The rif puts even more burden on the pension system.  The situation is getting quite precarious.  For the new retirees (ie., riffed employees), I think they should form a special committee to negotiate with TVA about how to protect their annuity savings in the event TVA gets sold and the pension system runs out of money.  Such a committee would have a special leverage on their negotiations with TVA.  They know TVA desperately needs the new retirees to leave their annuity savings with TVAR in order to help relieve the cash flow burden in the coming yrs.  If TVA does not cooperate, the committee can threaten to advise the new retirees to transfer their annuity money to...