Kodak Pension Plan Members to receive reduced Benefits
Members of the Kodak Pension Plan (KPP), of which there are thought to be 15,000, will receive reduced pension benefits after Kodak’s parent company, Eastman Kodak, was declared bankrupt.
KPP was forced to pay £419m to buy the business and in doing so save the company from closure.
KPP now owns the companies entire film business, which consists of hundreds of thousands of photo kiosks worldwide, as well as photographic paper and souvenir photos at venues such as amusement parks.
Eastman Kodak filed for bankruptcy in January 2012, 120 years after it was founded in New York City. The deal from KPP is still to be examined in US court, but it is thought that the hearing scheduled for 30 April would see Eastman Kodak exit from Bankruptcy.
A spokesperson for the UK pension fund said: “This is the best possible deal for UK pensioners. Because Eastman Kodak was in chapter 11 (US bankruptcy protection), the previous plan was unsustainable.
If you have been affected by this and would like any related help or advice, please contact one of our advisors.
Share this..
Related stories
Who will save the final salary pension schemes?
As the stock market continues to trawl around the 4,000 level there are growing concerns that the final salary pension scheme sector may never recover from recent falls. These are the scheme where your pension upon retirement is calculated using your final salary and the time you have served with your employer. It has nothing to do with investment returns and there are real concerns that we will...
Read MorePension News
The Government recently entertained the concept of forcing companies to use the Consumer Prices Index (CPI) to up rate pension schemes as opposed to the Retail Price Index (RPI). The Government have, however, moved away from this position. Implementing this move would potentially have slowed growth of pension funds and therefore devalued funds. This did not stop the change being brought about...
Read MoreAverage incomes to drop by more than a third on retirement
The average pensioner in the UK will see their income fall by over a third once they enter retirement and stop working. The UK average however will look appealing to those who live in London, who will on average lose 50pc of their regular income when they choose to retire. The data released from Parntership was researched by HM Revenue and Customs, and further highlights issues raised recently...
Read MorePension Reform is unclear, say MP’s
A group of cross-party MP’s have expressed their concern that the Government has not done enough to explain to the public how the forthcoming revamp of the state pension will affect them. It is thought that around 40 million people will be affected by the changes, and although members of the Work and Pensions Committee say they support the scheme, they have said that the Government must do m...
Read MorePension Annuities Under Investigation By The FSA
The Financial Services Authority (FSA) is currently carrying out a serious investigation into the annuities market with many concerned that those with maturing pension plans are not being given impartial advice. Unknown to many pension fund holders, they are actually allowed to shop around for the best annuities on the market, rather than automatically purchase an annuity from their pension fund...
Read More