Tuesday, February 22, 2011

Alcoa (AA) Contributes $600 Million to DB Plan

Alcoa Inc (NYSE:AA) said in a filing with the SEC that it contributed $600 million to its U.S. defined benefit plans in January, and should make another cash contribution of $200 million in 2011.

In the 10-K filing Alcoa said the new shares were contributed on January 23.

Alcoa said in the filing assets in the U.S. pension fund of the company dropped to $7.2 billion by the end of 2010, a 10.7 percent decline.

Defined benefit assets outside the U.S. rose to $2.2 billion, or 11.1 percent.

The funded status of the U.S. defined benefit plans was 74% at the end of 2010 against 69.6% a year earlier. The discount rate dropped to 5.75% from 6.15% in the same period. Net funded status of the non-U.S. plans grew to 86.6% from 88.9%.

Asset allocation as of the end of 2010 was 51.8% fixed income, 36.3% equities; and 11.9% other.

Alcoa closed Friday at $17.28, falling $0.24, or 1.37 percent.

No comments: