Pension Plans Letter - Pbgc Form (Page 2 of 3) in pdf

Pension Plans Letter - Pbgc Form Page 2

Information on the Event:

[Note: These are sample questions. Not all questions apply to each Event.]

1. Provide a timeline of all steps required to complete the Event.

2. Provide a statement of the “Sources and Uses” of funds for the Event as well as the key terms

and conditions of the acquisition financing. Also provide a fairness opinion, if applicable.

3. Provide copies of all sale memoranda prepared in connection with the Event. To the extent

the following information is not included in these materials, provide the following: pro-forma

financial projections of income statements, balance sheets, and cash flow statements along

with the key assumptions underlying those projections.

4. Will there be a change in the Plan’s controlled group as a result of the Event? If so, please

describe the change(s).

5. Is the pension plan expected to be impacted by the Event? If so, how? E.g. plan benefits

merged, increased, decreased, or frozen.

What is [Company]’s pension funding policy [e.g. a routine proportion of AFTAP or

following the minimum requirement)? Are extra contributions being considered?

6. Provide contact information for a person at [the buyer] who can answer questions related to

the Event.

7. Describe the expected use of cash proceeds from the Event.

8. What factors led to the default?

9. Provide copies of the credit agreements affected by this default.

10. Provide a summary of the actions [Company] is taking to evaluate its strategic alternatives. If

a financial advisor is supporting the consideration of strategic alternatives, provide a point of

contact for this advisor.

Plan Information Requested (provide for each Plan):

1. The most recent market value of Plan assets and any contributions, listed by date, made after

the date of the asset value. Please include a breakdown of Plan assets by equity and fixed

income, including the percentage of Plan assets invested in company stock.

2. Quarterly minimum funding contributions due for the 201X plan year along with status (ex.

paid, not paid, to be paid, etc).

Pension Plans Letter - Pbgc Form Page 2