Dallas-based ATI Inc has signed a group annuity deal with pension risk transfer (PRT) specialist Athene which will see 85% of its pension obligations transferred to the insurer.
ATI Inc announced this week that it has signed a deal to purchase group annuity contracts from Athene Annuity and Life Company and Athene Annuity & Life Assurance Company of New York to offload the majority of its pension scheme.
ATI Inc’s defined benefit pension plans had liabilities of $1.77bn at the end of 2022 according to the announcement, which did not specify the value of the annuity contract.
The deals will see the defence and aerospace material manufacturer transfer the pension obligations for 8,200 scheme members to Athene in what the firm said was the latest move in its pension de-risking strategy.
The move by ATI Inc is the latest publicly announced PRT deal since fellow aviation sector firm AAR Corp terminated its pension plan in August, offloaded its retirement liabilities to American National Insurance Company and American National Life Insurance Company of New York.