4imprint Group plc 23 November 2012
Pension Buy-in
4imprint Group plc ("4imprint") announces that the Trustee of the 4imprint Group Pension Scheme (the "Scheme") has entered into a buy-in agreement with Pension Insurance Corporation ("PIC"), a leading provider of pension insurance solutions to defined benefit pension funds.
In return for an insurance premium of £25.2m, the transaction produces an income stream for the Scheme which covers future payments to 481 pensioners, representing approximately 20% of the Scheme's total liabilities.
The insurance premium has been funded by £13.2m of assets from the Scheme, £11.4m already held in escrow (representing part of the cash received by 4imprint following the sale of its Brand Addition business) and £0.6m paid by 4imprint, representing an advance payment of the amount due to be paid into escrow in March 2013.
The buy-in eliminates inflation, interest rate and longevity risks associated with the benefits insured.
John Poulter, Chairman commented:
"This buy-in covers approximately 20% of the Scheme's total liabilities. We will continue to review options for the remaining liabilities of the Group's legacy pension scheme with the aim of reducing risks further. "
For further information please contact:
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4imprint Group plc Tel: + 44 (0) 20 7299 7201 |
MHP Communications |
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John Poulter Chairman Gillian Davies Group Finance Director |
Reg Hoare Tel: + 44 (0) 20 3128 8793 Katie Hunt Tel: + 44 (0) 20 3128 8794 |
This information is provided by RNS