Early Warning Program Agreements

02/2024

14,325

09/2023

1,212

11/2022

09/2021

07/2021

6,673

N/A

N/A

09/2022

07/2020

26,377

07/2019

4,995

Sears Holdings Corp

Modification: PBGC and Sears Holdings Corporation (Sears) reached a new agreement that provides $32 million in additional funding for Sears’s two pension plans in exchange for the release of certain liens against real property granted in 3/2017.  In 3/2017, PBGC and Sears reached an agreement to accommodate the sale of the Craftsman Brand, which provided, in addition to other consideration, liens through 12/31/2019 on certain real property for the benefit of the plans. We have now monetized this lien position for the benefit of the plans. Upon receipt of payment, PBGC released its liens.  The plan funding provided by this agreement is in addition to earlier pension plan funding obtained from real estate assets announced in 11/2017. The non-real estate and non-Craftsman related pension protections in the original 3/2016 agreement are unaffected by this new agreement.

Sears Holdings Corp

Modification: PBGC and Sears Holdings Corporation (Sears) reached a new agreement that upon closing provides approximately $500 million in funding for Sears’ two pension plans, including contributions already made by Sears since August 2017. Closing should occur in about three months. Earlier this year, PBGC and Sears amended the 03/2016 agreement to accommodate the sale of the Craftsman brand. Now, this new amendment to the 03/2016 agreement allows Sears to monetize the real estate protected in the 03/2016 agreement, with the proceeds used to fund the pension plans. The non-real estate related pension protections in the 03/2016 agreement are unaffected by the new agreement.

Sears Holdings Corp

Modification: PBGC and Sears Holdings Corporation (Sears) reached a new agreement in which Sears agreed to provide additional funding and security for the company's two pension plans. In connection with the sale of Sears' Craftsman brand to Stanley Black & Decker, the Sears pension plans receive rights to a $250 million payment due to Sears three years after closing from Stanley Black & Decker and a 15-year income stream relating to Stanley Black & Decker sales of Craftsman products. In addition, Sears agreed to provide PBGC a lien on $100 million of real estate assets. Sears has the option to use a portion of the additional pension contributions to offset certain amounts of Sears' required minimum pension funding contributions. The non-Craftsman related pension protections in the 03/2016 agreement are unaffected by the new agreement.

SUPERVALU, Inc.

Brief description: PBGC and SUPERVALU Inc. (SVU) reached an agreement in which SVU agreed to additional pension contributions to the company's pension plan, which covers more than 42,000 people.

Alcoa Inc.

Brief description: PBGC and Alcoa, Inc. reached an agreement in which Alcoa, Inc. agreed to provide an additional $150 million contribution to the company's two largest pension plans, which cover more than 83,000 people. The additional contributions are in the form of three payments of $50 million each over a 30-month period and contributed to the Arconic pension plans.

Sears Holdings Corp

Brief description: This agreement between PBGC and Sears Holdings Corporation (Sears) provided substantial protections for the Sears pension plan. According to the agreement, Sears agreed to continue protecting the assets of certain special purpose subsidiaries, which hold real estate and/or intellectual property assets. Additionally, the subsidiaries agreed to grant springing liens on the protected assets in favor of PBGC. The liens could be triggered only by failure to make required contributions to the pension plan, prohibited transfers of ownership interests in the subsidiaries, termination of the plan, or bankruptcy of the company or certain of its subsidiaries.

AB Acquisition LLC and SUPERVALU Inc.

Modification: In 09/2014, PBGC amended their 2013 agreement with AB Acquisition LLC and SUPERVALU Inc. to comply with HAFTA, the new law that reduced the amount of AB Acquisition LLC and SUPERVALU Inc.'s excess contributions.

Samsonite International, SA

Modification: In 05/2011, PBGC amended their 2009 agreement with Samsonite LLC (Samsonite) to issue a replacement lien. Samsonite requested that PBGC modify the agreement to reflect a change in its secured lender, which resulted in PBGC perfecting a new lien against Samsonite in the same monetary value as the original lien.