The Plan is a defined benefit pension plan for the benefit of certain union-represented employees. 1. For ease of reference, Northwest refers to the Employee Stock Plan, but the factual discussion of the Series C Preferred Stock remains accurate after the merger with the Northwest 401(k) plans. The Northwest Airlines Pension Plan for Contract Employees is approximately forty percent of the Master Trust. We are an independent firm and are not in the investment advisory or trust business. If you have questions on any of the material or the enrollment process, please contact the Northwest Retiree Service Center at 1-866-305-1042. Each Plan's percentage ownership reflects the relative size of each Plan to each other. In no circumstance, however, may the parties treat Pinnacle Stock previously contributed to the Plans as if it had a higher value than was attributed to it at the time of the original contribution. Fax supporting documents to the Fund Office at 202-463-8098 or 202-457-8653 Request a Paper Application Call the Fund Office at 1-800-424-9608 Mail this request form to the Fund Office at 99 M Street, SE, Suite 600, Washington, D.C. 20003-4595. NWPS Co-Sponsors the 2022 Broadridge Fi360 Solutions Conference. The Northwest board of directors determined that at this time the company could not legally redeem the 4.8 million shares of its Series C Preferred Stock still outstanding and made the following statement: After a thorough review of the legal restrictions applicable to the company, the board concluded that Northwest was not able to buy back the Series C Preferred Stock, at this time. Read Our Story Our Approach Airline pilots used to get a sweet deal. A comprehensive set of representations and warranties relating to both Pinnacle, Northwest and its affiliates. Northwest observed that the Term Sheet, as reflected in the Proposed Exemption, allows Northwest to defer the closing date with respect to Pinnacle Stock repurchased pursuant to the Put Option (such delay, a Deferral). Press "1" to indicate that the employee number is all numeric. In connection with the Exemption Transactions, Northwest does not determine the value of Pinnacle Stock. REPRESENTATIVES, Sorry, we couldn't find any results matching. contribution program in March in order to cut costs (See, United Airlines and US Airways have already handed The Fund has made enhancements to its Online Pension Application submission system. A decision to issue only additional Common Stock must be approved by a majority of the three directors elected by the holders of the Series C Preferred Stock. Each client has a dedicated and integrated team. Accordingly, Northwest notes that, consistent with the Omnibus Agreement's terms, the Additional Initial Contribution will be treated as a credit balance and be applied toward future contributions to the Contract Plan. Fiduciary Counselors and Eclat represent that Eclat was originally retained by PBGC to value Pinnacle and to evaluate the financial viability of Northwest. Employee Benefits Security Administration, Department of Labor. In the March 5 Comment, Fiduciary Counselors noted that, consistent with the statutory requirements of section 404(a) of ERISA, the reference in the Proposed Exemption to the best interests of the Plans participants and beneficiaries (emphasis added) should be changed to the interests of the Plans participants and beneficiaries. of terminating pension plans for the financially The Special Conversion Option expired on February 9, 1994. The Proposed Exemption was requested in an application filed on Start Printed Page 49793behalf of Northwest pursuant to section 408(a) of the Act and section 4975(c)(2) of the Code, and in accordance with the procedures set forth in 29 CFR part 2570, subpart B (55 FR 32836, August 10, 1990). New York, NY 10166 - All Rights Reserved. As described in the Fiduciary Counselors letter to the Department on January 6, 2003, Northwest has agreed to pay Fiduciary Counselors an annual fee that covers both the independent fiduciary and investment management services provided by Fiduciary Counselors and the investment advisory services provided by AIC. Upon consideration of all of the comments received and testimony offered at the Hearing, the Department has determined to grant the proposed exemption subject to certain modifications. The terms of the transaction negotiated between the Independent Fiduciary and Northwest were embodied in a Term Sheet, which was provided to the Department on January 10, 2003. :OE> :R"5h i{. Jen And Nick Big Brother 8 Married, PBGC-US Airways Pension Deal Gets Court The addition of the regional jets has more than doubled the size of the airline. This past week, NASA unveiled images from the James Webb Space Telescope. Maintaining liquidity is key to Northwest's strategy for avoiding bankruptcy. September 9, 2005 (PLANSPONSOR.com) - Northwest Pursuant to its engagement letter with Northwest, the scope of Fiduciary Counselors' engagement includes determining whether to accept the Contribution on behalf of the Plans, and if so, to value the Pinnacle Stock for Plan funding purposes. The Contract Employees share of the Master Trust assets are $1,665,979,000. Continuous, significant, measurable improvement in cost, quality, speed and service is what we specialize in. The details of the Pinnacle Stock contribution were provided in the March 3, 2003 letter. This model is designed to value firms, like Pinnacle, that are expected to go through three phases of growthan initial phase of high growth, a transitional period where the growth rate declines, and a steady-state period where growth is stable. However, at any time you cancalculatean estimate of your pension benefit on PSS (loginrequired)orrequest an estimate using this form. Note: To comply with federal regulations, you cannot apply for your pension earlier than 180 days before your intended pension effective date. Northwest proposed the freezing of its defined Connecting decision makers to a dynamic network of information, people and ideas, Bloomberg quickly and accurately delivers business and financial information, news and insight around the world. For the reasons set forth below, the Independent Fiduciary has concluded that it is prudent for the Plans to accept the Contribution and that the Contribution is in the interest of the Plans and their participants and beneficiaries: Transfer restrictions on Pinnacle Stock held by the Plans are reasonable in light of the Put Option. over pension plans to the Pension Benefit Guaranty Eagan, MN 55121-1534. Our clients wont have it any other way. ), while Delta Airlines pension program faces a $5 billion regulatory information on FederalRegister.gov with the objective of In the Proposed Exemption, it was noted that the length of the Deferral would be shortened if Pinnacle Stock was publicly traded at the time that the Put Option is exercised. Hours of Operation: 8:00 a.m. - 5:00 p.m. PST. Free will preparation service through MetLife. (b) A statement that the appraiser is independent of Pinnacle and Northwest, and that the appraiser has no interest in the securities issued by Pinnacle or Northwest. Chalet A Vendre Charlevoix Bord De L'eau, The requirement (detailed in the last bullet point in the second column of the Proposed Exemption at 68 FR 2585) that Plan shares of Pinnacle Stock be voted in favor of certain corporate actions is now set to expire upon the occurrence of an Early Termination Event. An Initial Contribution was made in the amount of $41,149,911. Accordingly, the reference in the first column at 68 FR 2585 to quarterly valuations is no longer correct. has no substantive legal effect. 1. See Omnibus Agreement at section 6.3. Rob has been nothing short of amazing and Im very grateful how closely he was worked us to ensure a smooth conversion. Northwest represents that it will make any such contributions in cash. I look forward to a long, fruitful relations with NWPS. Agency Employee Benefits Security Administration Date January 16, 2003 Release Number 03-3 Contributions of Pinnacle Stock to the Salaried Plan and the Contract Plan will likewise be held in a separate segregated subaccount of the Master Trust and held for the exclusive benefit of each respective plan. ). Northwest Airlines Pension Plan For Pilot Employees litigation, intellectual property, and other public records. Follow our blog for insights and news about our company, the industry and changes in laws. (5) The guaranty to the Plans by Northwest Airlines Corporation of Northwest's obligation to honor the Put Option. shortfall. Publi . Date: This exemption is effective as of January 15, 2003. NWA works closely with plan sponsors and their professional advisors to establish and/or maintain customized retirement programs for both defined benefit and defined contribution plans. For information on how to complete an application, please refer to the Information Guide. A surviving family member (or someone on the retiree's behalf or behalf of the retiree's estate) should contact the ESC at 1-800 MY DELTA (1-800-693-3582) to report the death. Call 202.693.7773 or TTY 202.693.7755. If the retiree has a balance in their 401(k) account (Delta Family- Care Savings Plan, Delta Pilots Savings Plan or the Delta Savings Plan - Puerto Rico) contact the Delta Service Center at Fidelity by calling 1-800-554-0262. frozen as of August 31. Preview; Edit & Save; Related Documents; 50 of the Top 250 law firms use our Products every day. Former Northwest Airlines Workers Sue Delta Over Pensions By Emily Brill Law360 (December 14, 2021, 4:18 PM EST) -- Delta Air Lines Inc. has been hit with a proposed class action in Nevada. Alternatively, Northwest may arrange for the stock to be purchased by a third party. Because the value of the Pinnacle Stock is based on the financial performance of Pinnacle, the Independent Fiduciary reviewed and considered the business of Pinnacle, and the contractual relationship between Pinnacle and Northwest. The hearing on the Proposed Exemption was held on May 5 and 6, 2003 at the Department of Labor (the Hearing). ABCs OF RETIREMENT. Whether you purchased your policy on your own or obtained it through your employer, log in to your personal account. frozen as of August 31. The IAM National Pension Fund provides participants with a defined-benefit pension plan for their retirement. The selection of an independent qualified appraiser to determine the value of an in-kind contribution and the acceptance of the resulting valuation are fiduciary decisions governed by the provisions of Part 4 of Title I ERISA. You can call 1-800-400-7242, Monday-Friday, 8:00 a.m.-7:00 p.m. Delta Life Insurance - MetLife (Basic/Optional/Spouse) 1-866-939-7409. publication in the future. Comment: A number of comments expressed concerns that Pinnacle Stock is a risky and illiquid investment and hard to value because there is no established market for the security. The following items are found found on the DeltaNet for Alumni home page: To access paycheck receipts (stubs), W-2s, and 1099s go to the DeltaNet for Alumni home page and click Self Service on the white menu bar, then click My Money. Reporters from Bloomberg's Washington, D.C. bureau are prominently featured as they offer analysis of policy and legal issues. Several commenters requested that Northwest provide for enhanced communication with the Plan participants concerning the Exemption Transactions. The changes incorporated into the Omnibus Agreement were requested and approved by Fiduciary Counselors. Copyright 2023 Asset International, Inc. All Rights Reserved. Thus, the ALPA agreement will be formally entered into and effective on the date of the voluntary contribution. ET TTY/ASCII users may call 711. The exemption permits: (1) The in-kind contribution(s) of the common stock of Pinnacle Airlines Corp.[1] Phone: (206) 329-4900. Northwest instructed State Street Bank to establish an Investment Fund in connection with the Plans' Master Trust. Ellen A. Hennessy will continue to be the primary person at Fiduciary Counselors handling its responsibilities as independent fiduciary to the Northwest Airlines defined benefit plans. A Rose For Janet By Charles Tomlinson Summary Pdf, NWPS places high priority on protecting plan and participant data, accounts, and funds from fraud or misuse. The Northwest Airlines Pension Plan for Contract Employees is approximately forty percent of the Master Trust. 2023 MetLife Services and Solutions, LLC. Dated 2009. developer tools pages. NWPS helps organizations efficiently and effectively run retirement and benefit plans so their employees are protected and able to retire with dignity. The notice set forth a summary of the facts and representations contained in Northwest's November 6, 2002 application for exemptive relief (Application) and referred interested persons to the Application for a complete statement of the facts and representations. Since September 10, 2001, regional airlines have lost 48% of their value while the major airlines have lost 78% (excluding U.S. Airways and United that have filed for Chapter 11 bankruptcy protection). On May 20 and June 10, 2003, Northwest responded to certain issues raised during the Hearing that were not responded to in the April 26 Comment. Can I just say how happy and relieved I am that we have moved the plan to NWPS? The following chart can help you determine when to make your Pension Application request: *You may not return your application more than 180 days prior to your desired pension effective date. This will allow you to know when they were delivered to the Funds Office. However, Northwest notes that it has received the consent of the Air Line Pilots Association (ALPA), the union representing Northwest pilots, to permit the Pilot Plan to hold Pinnacle Stock (see below for discussion of the Northwest and ALPA Letter Agreement). In addition, Delaware law would not restrict NWA Corp., a Delaware corporation, from repurchasing the Pinnacle Stock as the guarantor of the Put Option. Refer to the National Pension Plan Summary Plan Description (SPD)"How Do You Apply for Pension Benefits" sectionfor more information. Pinnacle itself had revenues of approximately $345.2 million for 2002. For international access: 1-404-677-8000. Fiduciary Counselors assumed that since Northwest could take up to 180 days to settle the option that it would. The IAM National Pension Fund. A menu will appear on the left side of the screen. This document contains a final exemption issued by the Department of Labor (the Department) from certain prohibited transaction restrictions of the Employee Retirement Income Security Act of 1974 (ERISA or the Act) and from certain taxes imposed by the Internal Revenue Code of 1986 (the Code). Published by DRC March 2022. Call 202.693.7773 or TTY 202.693.7755. Funny Nicknames For Christina, They start with the implementation and stay in place to guarantee high quality service and continuity. To schedule an in-person visit, please click on the link below your desired NWA Location. Information about this document as published in the Federal Register. contribution program in March in order to cut costs (See (d) A statement of the stock's value, the methodologies used in determining the value, the reasons for the valuation in light of the methodologies, and the reasons that the appraiser chose to apply particular valuation methods rather than others. A Start Printed Page 49795breach of the Omnibus Agreement by Pinnacle constitutes an Early Termination Event if such breach continues because Northwest fails to exercise its rights as a stockholder to cause the Pinnacle directors to cure the breach or to replace such directors. Eclat determined that Pinnacle and Northwest are healthy companies, even in light of current economic conditions in the airline industry. Bill. As with the Term Sheet, the final Omnibus Agreement provides that the Deferral shall be shortened if Pinnacle Stock is publicly traded. Northwest proposed the freezing of its defined documents in the last year, 973 # A1430. Thus, almost all of the Series C Preferred Stock that remains in the Employee Stock Plan is allocated to the accounts of employees represented by the IAM and IBT. Designed and Developed by Eyesore, Inc. Change of bank accounts for direct deposit, Retiree Death Checklist and Survivor Benefits Process. Northwest will obtain an amendment of the Omnibus Agreement so that the Independent Fiduciary will have first priority to sell Pinnacle Stock in an initial public offering, if certain conditions exist. Learn about Northwest Airlines Pension Plan, including a description from the employer, and comments and ratings provided anonymously by current and former Northwest Airlines employees. These can be useful In response to the solicitation of comments from interested persons, the Department received over 1,700 letters, e-mails, faxes and phone calls, of which more than 1,000 requested that a public hearing be held on the Proposed Exemption. The Initial Contribution was comprised of 1,819,833 shares valued at $22.61 per share. If you have questions on any of the material or the enrollment process, please contact the Northwest Retiree Service Center at 1-866-305-1042. Their pension was 60 percent of final average earnings (FAE). On August 1, 2003, in response to the Department's questions concerning the legal restrictions that prevented Northwest from repurchasing the Series C Preferred Stock and whether these legal restrictions were tied to Northwest's financial condition, Northwest explained that in making the Series C stock repurchase decision, the board of NWA Corp. was subject to a Delaware law that applies only to NWA Corp.'s repurchase of its own stock. Commission says that participants benefits accruals were 4. Former Northwest Airlines Workers Sue Delta Over Pensions By Emily Brill Law360 (December 14, 2021, 4:18 PM EST) -- Delta Air Lines Inc. has been hit with a proposed class action in Nevada. The Public Inspection page may also Thus, the Put Option serves to protect the Plans from declines in the value of Pinnacle Stock and the liquidity notice feature ensures that the Independent Fiduciary has sufficient notice so that it may exercise the Put Option at a time when Northwest has sufficient financial resources to meet its obligation under the Put Option. Commission says that participants benefits accruals were 702 King Farm Boulevard, Suite 400, Rockville, MD 20850 / +1 212-944-4455 /.