An agreed settlement of an estimated £184m to fill a deficit in the Lehman Brothers Pension Scheme is a “milestone” in the overall Lehman Brothers International (Europe) administration, Tony Lomas has said.
Speaking about an agreement by Lehman Brothers group companies to buy out the scheme’s member benefits in full, Mr Lomas, a joint adminstrator of LBIE and PricewaterhouseCoopers partner, said: “The conclusion of this significant pension scheme deficit issue is another milestone on the path to resolving the administration of LBIE.
“The agreement benefits LBIE’s creditors by securing significant contributions to the cost of the settlement from other Lehman group companies, and alleviates concerns for pension scheme members about the provision of their pension benefits.”
The settlement agreement should allow the pension scheme to pay full retirement benefits to members and avoid entry into the Pension Protection Fund.
Adviser view
Steven Robinson, managing director of Bristol-based Clarke Robinson and Co, said: “I suppose it’s good news - for once somebody isn’t having to be bailed out. It’s better than going to the PPF.”
