Companies Facing Pension Deficits and EPS Impact

Just wanted to highlight some great lists via Zero Hedge of companies who are going to be facing some problems when it comes to pension underfunding.

This first list is just a broad overview of who could potentially be the most affected.

Click to enlarge:

And this second list looks at possible EPS impact due to pension expense going forward.

Click to enlarge:

Make sure to head to Zero Hedge for the rest of the commentary.

Comments

[The AntiCramer:]

The 800 pound gorilla in the corner that we're still pretending doesn't exist. A relative who works for a private manufacturing firm almost saw the company go bankrupt last fall for this very reason.

All the government has to do is ease the funding regulations and pretend that everything will be fine. Problem solved.

Mar 13 12:05 AM

[TeresaE:]

NO company, nor government, can remain viable if they pay more people to NOT work, than to work. The only way around that would be to double your profits every 15-20 years (percentage, not dollars).

The largest pension worries we should have in this country are the pension (not social security) liabilities for government (fed, local & state) employees.

Governments are adding record numbers of employees that will be paid for life and with the most expensive benefit package in the country at the EXACT same time that the private industry that funds such a great life is being run into insolvency.

Yet, no one EVER talks about it. Ever.

We are doomed. The only question is when the destruction will become self-evident. Not long I imagine.

Mar 13 01:34 PM

[donzelion:]

The conspiracy of silence regarding pensions is amazing.

Although social security is orders of magnitude more secure than the majority of the pensions or 401k structures out there, legions of Americans have been told that the collapse of social security was imminent (while the public/private pension schemes have actually started to collapse).

I suspect the reasons involve the fact that so many in the financial services industry make so much money managing pensions without adding any real value. Like parasites, they drain the pensions before a pensioner ever receives a dime...then they blame others when the pension falls short, and beg for a bail out.

Mar 13 03:41 PM

[yahoo finicial:]

Maybe if they decreased the funding of the 401k and increased what they decreased in the 401k to the pension fund things would be more balanced. 401k's were never meant to do away with pensions, they were meant for executive levels of pay and will not work for the average person as a complete replacement for a pension ,but as only a supplement to a pension. This information is based on a documentary done by NPR a few years ago and detailed by a accountant with over 50 experience doing actuaries work,

Mar 18 10:18 AM

[nyorker:]

It would be funny if it were not so scary.

The government learned to do with Social Secuirty the same thing many major Corporations did with their pesions......

Corporations need money ?

Take it out (or not pay into) of the pension funds.

Government needs money ?

Take it out of the Social Security fund.

The sorry part is - the next sucker CEO or US President will have to worry about it. This IS going to happen....but it will be WAY, WAY too late for anyone to fix.

And us Boomers are in for some nasty retirement surprises.

Kind of explains WHY we're in the financial mess that we are right now.....and I hear people saying the Government should run the banks ???

Yikes.

Mar 20 07:37 PM