Old 02-28-2007, 08:22 AM
  #38  
FDXLAG
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Joined APC: Nov 2006
Position: 767 FO
Posts: 8,047
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Originally Posted by RedeyeAV8r View Post
Freezing of an A plan is a screw job. Name one company that "Froze" an A plan where the employees did not get it up the A$$?
Freezing It doesn't fix the issue anyway. The company could still terminate a "Frozen" A plan.
Re-balancing is a more prudent way to go and I am sure our R & I guys are aware of all this and I expect this is the way we will go in 3 1/2 years.
Also Lump sum distributions are another option.

You freeze an A Plan not because of current obligations, as you say it is fully funded right now. You freeze it because you are worried about funding for the guy you hired yesterday, when he retires 30 years from now. This is the same reason a frozen A Plan is less likely to be terminated. Freezing the A Plan actually secures the current obligations.

Name one company. Ask a guy who retired from NW in 2000 if he got screwed, make sure his buddy from USAIR is in the room. Getting screwed is relative (redneck jokes please).

Last edited by FDXLAG; 02-28-2007 at 08:29 AM.
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