Originally Posted by
iaflyer
I understand why you want your DB. My concern would be the ongoing viability of the DB - yes, we are profitable and have a competent management team right now.
What happens when Norwegian or Emirates starts flying JFK-LAX through some scheme, and we start losing billions? What happens when some corporate raider or unethical management comes in and drains the company, sells assets and underfunds the pension? etc, etc.
Imagine the company comes to us and says, "we can't pay these pay rates and have a pension. 50% pay cuts to save the pension or we terminate it."
I really prefer to have a DC, that is in my name, that can't be screwed with by the company.
I understand your concerns, but if Congress would change the funding rules and require our DB plans to be fully funded prior to any stock buybacks, and untouchable in bankruptcy, then you wouldn't have as much to worry about.
Back in 2008, when the stock market was collapsing and big brokerage houses were going under, do you know why AIG survived?
Because AIG bank insures the retirement plans for....
Congress.
