Company: KRO
Filing Date: 2025-03-25
Form Type: DEF 14A
Source: 0001257640-25-000009
Chunk: 54

Company: KRONOS WORLDWIDE INC
Filing Date: 2025-03-25
Form: DEF 14A
Chunk 54
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 the presentation, including the recommendation of our chief financial officer, and following further discussion and review by the audit committee, our audit committee determined that the terms of the sublease are fair and reasonable to us and on terms no less favorable than we could otherwise obtain from an unaffiliated third party for a comparable class of office space, in each case based on the collective business judgment and experience of members of the committee, and the committee approved, adopted and ratified the terms of the sublease. Merger of Pension Plans .NL maintains the Retirement Programs of NL Industries, Inc. (the “ NL Plan”), a defined benefit pension plan under the Employee Retirement Income Security Act of 1974, as amended (“ ERISA ”). As a result of the 2003 spinoff of Kronos Worldwide from NL, Kronos Worldwide participates in the NL Plan. Effective December 31, 2024, the Retirement Plan of Louisiana Pigment Company, L.P. (the “ LPC Plan”), a defined benefit pension plan under ERISA maintained by a subsidiary of Kronos Worldwide (LPC), was merged with and into the NL Plan, which is the surviving plan. At two meetings in October and November 2024, our management team made presentations to our audit committee proposing the merger of the LPC Plan into the NL Plan, with the NL Plan being the surviving plan (the “ Merged Plan” ). During such presentations, the committee was informed of the following:

| ● | NL makes funding contributions to the NL Plan each year, including average contributions over the past five years of approximately $1,000,000 per year (which is expected to be the approximate annual funding contributions over the next several years); |

| ● | Kronos Worldwide also makes funding contributions to the NL Plan each year, including average contributions over the past five years of approximately $500,000 per year (which is expected to be the approximate annual funding contributions over the next several years); |

| ● | NL and Kronos Worldwide are in the same consolidated group for federal tax purposes and per applicable law are each jointly and severally liable for any funding shortfalls that may arise in the other company’s pension plan; |

| ● | Kronos Worldwide accounts for its participation in the NL Plan as if it were a separate employee benefit plan; |

| ● | the NL Plan has approximately $40 million in assets and is approximately 7% underfunded, and the LPC Plan has approximately $36 million in assets and is approximately 24% overfunded; |

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