PENSION INSURANCE

DATA BOOK 1997

PBGC Single-Employer Program
The Pension Insurance Data Book 1997 was developed by the Corporate Policy and

Research Department under project manager William James, and produced by the

Communications and Public Affairs Department, Pension Benefit Guaranty Corporation

NUMBER 2, SPRING 1998
Table of Contents

INTRODUCTION

Overview ..................................................................................................... 1

Figure 1: PBGC Net Position ....................................................................2 A-1

SECTION 1: BENEFITS AND CLAIMS IN PLANS TERMINATED UNDER

PBGC’S SINGLE-EMPLOYER INSURANCE PROGRAM

Benefits and Claims in Terminated Plans

Figure 2: Participants and Beneficiaries Receiving PBGC Payments ...... 4 A-2

Figure 3: Participants and Beneficiaries Receiving PBGC Payments by

State, 1997 ................................................................................ 5 A-3

Figure 4: Participants and Beneficiaries Receiving PBGC Payments by

Industry of Plan Sponsor ........................................................... 6 A-4

Figure 5: Participants and Beneficiaries Receiving PBGC Payments

by Gender and Age, 1997......................................................... 7 A-5

Figure 6: Monthly Pension Payments by Size of Payment, 1997 .............. 8 A-6

Figure 7: Total PBGC Benefit Payments ................................................... 9 A-7

Figure 8: Underfunded Plans Among Publicly-Traded Bankrupt

Firms, 1980-1995 .................................................................... 10 A-8

Figure 9: Standard Terminations ............................................................. 11 A-9

Figure 10: Claims...................................................................................... 12 A-10

Figure 11: Concentration of Claims .......................................................... 13 A-10

Figure 12: Claims by Funded Ratio at Termination, 1975-1997 ................ 14 A-11

Figure 13: Average Claim per Vested Participant, 1975-1997 .................. 15 A-12

SECTION 2: PENSION PROTECTED BY PBGC’S SINGLE-EMPLOYER

INSURANCE PROGRAM

Pension Protected by PBGC’s Single-Employer Insurance Program

Figure 14: Covered Participants by Plan Size........................................... 18 A-13

Figure 15: PBGC-Insured Plans ............................................................... 19 A-14

Figure 16: PBGC-Insured Plans With 1,000 or More Participants ............ 20 A-14

Figure 17: PBGC-Covered Participants by State, 1997 ............................ 21 A-15

Figure 18: PBGC-Covered Participants by Industry, 1997 ........................ 22 A-16

Figure 19: Coverage by Funding Status, 1996 ......................................... 23 A-17

Figure 20: Distribution of Participants by Premium Paid, 1997 ................. 24 A-18,

................................................................................................ A-19

Figure 21: Premium Revenue ................................................................... 25 A-20

Figure 22: Liabilities of Insured Plans and Interest Rates ........................ 26 A-21

Figure 23: Various Measures of Underfunding ......................................... 27 A-22

Figure 24: Status of Overfunded Plans ..................................................... 28 A-23

REFERENCE

PAGE TABLE
Appendix: A: Reference Tables

Table A-1: Net Financial Position of PBGC’s Single-Employer Program Figure 1

(1980-1997)

Table A-2: PBGC Benefit Payments, Payees, and Deferred Payees Figure 2

(1980-1997)

Table A-3: PBGC Payees Receiving Payments by State (1997) Figure 3

Table A-4: PBGC Payees by Industry (1987 and 1997) Figure 4

Table A-5: PBGC Payees by Gender and Age (1997) Figure 5

Table A-6: PBGC Pensions by Size (1997) Figure 6

Table A-7: Payees and Benefit Payments by Date of Plan Termination Figure 7

(1997)

Table A-8: Bankruptcies and Underfunding Among Publicly-Traded Firms Figure 8

(1980-1995)

Table A-9: PBGC Terminations, Claims, and Underfunding (1975-1997) Figure 9

Table A-10: PBGC Claims (1975-1997) Figure 10,

Figure 11

Table A-11: PBGC Claims by Plan Funding Ratio at Termination Figure 12

(1975-1997)

Table A-12: PBGC Average Claim per Vested Participant by Plan Size Figure 13

(1975-1997)

Table A-13: PBGC-Covered Participants (1980-1997) Figure 14

Table A-14: PBGC-Insured Plans (1980-1997) Figure 15,

Figure 16

Table A-15: Distribution of Covered Participants by State (1997) Figure 17

Table A-16: Distribution of Covered Participants, Premiums, Figure 18

and Plans by Industry (1997)

Table A-17: PBGC Coverage by Funding Status (1996) Figure 19

Table A-18: Distribution of Plans and Participants by Figure 20

Total Premium Paid (1997)

Table A-19: Premium Receipts by Size of Plan and Figure 20

Type of Premium (1997)

Table A-20: PBGC Premium Revenue, Benefit Payments, Figure 21

and Expenses (1980-1997)

Table A-21: Funding of Insured Plans and PBGC Interest Rates Figure 22

(1980-1996)

Table A-22: Financial Status of Underfunded Plans (1980-1996) Figure 23

Table A-23: Financial Status of Overfunded Plans (1980-1996) Figure 24
Appendix: B: Data Tables

Table B-1: Payees, and Benefit Payments by Size of Trusteed Plan (1997)

Table B-2: Top 10 Firms Presenting Claims (1975-1997)

Table B-3: PBGC Claims by Industry (1975-1997)

Table B-4: Distribution of Liabilities, Underfunding,

and Overfunding by Funding Ratio (1996)

Table B-5: Various Measures of Underfunding (1990-1997)

Table B-6: Funded Status of PBGC Insured Plans by Industry (1987 and 1996)

Table B-7: Concentration of Underfunding (1989-1996)

Table B-8: Distribution of Plans and Participants by

Variable Rate Premium Status (1992-1997)

Table B-9: Pension Funding by State and Region (1996)

Table B-10: PBGC Data by State and Region

Table B-11: PBGC Maximum Guaranteed Benefits

Table B-12: PBGC Premium Schedule
PENSION INSURANCE DATA BOOK 1997 Section 1 1

Overview

Pension Benefit Guaranty Corporation (PBGC) was established by the Employee

Retirement Income Security Act of 1974 to ensure that participants in private sector

defined benefit plans receive their pensions even if their plans terminate without sufficient assets to pay promised benefits. Separate insurance programs protect participants in

single-employer and multiemployer pension plans.

The Pension Insurance Data Book 1997 provides detailed statistics on the singleemployer program operations and benefit protection. The Data Book was first published

in 1996 and has been updated for 1997.

In 1997, the single-employer insurance program reported a surplus for the second

year in a row. As in 1996, recent legislative changes, as well as favorable financial experience and low losses from plan terminations, were key contributors to the improved status

of the single-employer insurance program.

The first section on benefits and claims presents information on the number and

value of pensions in underfunded terminated plans for which PBGC has assumed responsibility under the single-employer program. The second section describes ongoing

single-employer plans insured by PBGC against the risk of future termination.

Appendix A contains the reference tables that support the graphical illustrations

presented in sections one and two. Appendix B provides supplemental data tables

relevant to the other aspects of the single-employer program and PBGC operations.

INTRODUCTION
2 SECTION 1 PENSION INSURANCE DATA BOOK 1997

Net Financial Position of PBGC’s

Single-Employer Program 1980-1997

• In 1997, for the second year in a row, PBGC’s single-employer program reported a

surplus after more than two decades of deficits. With net income of $2.6 billion,

largely due to investment earnings, assets exceeded liabilities by nearly $3.5 billion.

• The largest deficit reported by PBGC was $2.9 billion in 1993.

INTRODUCTION

Reference Table A-1 in Appendix A.

PBGC Net Position is the difference (with some adjustments) between the PBGC’s total assets and liabilities.

The originally reported $3.8 billion deficit in 1986 decreased after a Supreme Court ruling restored three pension plans and

returned their pension obligations of $1.8 billion to LTV Corporation.

(Restored LTV Plans)

'80 '81 '82 '83 '84 '85 '86 '87 '88 '89 '90 '91 '92 '93 '94 '95 '96 '97

-$5

-$4

-$3

-$2

-$1

$0

$1

$2

$3

$4

Fiscal Year

Dollars in Billions

Figure 1

PBGC Net Position
SECTION ONE

Benefits and Claims in Terminated Plans
PENSION INSURANCE DATA BOOK 1997 Section 1 3

Section 1: Benefits and Claims in Plans

Terminated Under PBGC’s Single-Employer

Insurance Program

Most pension plans terminate without requiring PBGC’s assistance. These pension

plans have sufficient assets to pay all benefits. PBGC audits a sample of these standard

terminations each year to ensure that benefits are properly paid.

For every 100 standard terminations, there are one or two distress or involuntary

terminations. When this occurs, the sponsoring firms are often in serious financial

trouble and their plans have developed considerable underfunding. In a typical plan

taken over by PBGC, assets are frequently less than 50 percent of liabilities. PBGC

becomes trustee of these plans and participants receive their benefits directly from

PBGC. These benefits are subject to maximum guarantee limits. For plans terminated

in 1998, the monthly guarantee limit is $2,880 for persons retiring at age 65 or later.

PBGC paid benefits to more than 200,000 participants and beneficiaries in 1997.

An additional 260,000 are in deferred pay status, and will be paid benefits when they are

eligible in the future. This represents less than one and one-half percent of all participants covered in ongoing plans.

The first set of graphs in this section describes the characteristics of participants and

beneficiaries to whom PBGC has responsibility for paying benefits. A general upward

trend is evident, reflecting the cumulative effect of terminations over time. Once PBGC

takes over a pension plan, the participants and beneficiaries generally remain PBGC’s

responsibility until they and any surviving spouses die.

The second set of graphs describes PBGC’s claims experience. It reveals the

unpredictability of pension insurance and the need for PBGC to build reserves to handle

infrequent but large claims.

Most claims tend to be small and can be handled without significant financial impact

on PBGC. Over its history, however, the agency has experienced several large claims

resulting from either an individual plan sponsor experiencing financial distress or a group

of employers in an industry encountering difficulties, or both. Overall, ten large claims

account for more than half of the total dollar amount of claims paid since PBGC began

in 1974.
4 SECTION 1 PENSION INSURANCE DATA BOOK 1997

Participants and Beneficiaries Receiving

PBGC Payments

1980-1997

• PBGC’s responsibility for paying pension benefits has increased substantially.

• In 1997, PBGC made periodic payments to 204,000 payees and small lump sum

payments to about 9,000 participants. Another 260,000 individuals are eligible for

future PBGC benefit payments.

Figure 2

Participants and Beneficiaries Receiving PBGC Payments

Reference Table A-2 in Appendix A.

Note: Payees are retired participants or their beneficiaries.

'80 '81 '82 '83 '84 '85 '86 '87 '88 '89 '90 '91 '92 '93 '94 '95 '96 '97

0

50

100

150

200

250

Fiscal Year

In Thousands

Deferred Status Pay Status
PENSION INSURANCE DATA BOOK 1997 Section 1 

Participants and Beneficiaries Receiving

PBGC Payments by State

• Participants and beneficiaries receiving PBGC payments live in every state.

• In 1997, more than half of all PBGC payments were made to individuals in the se

states with the largest populations over age 65.

Figure 3

Participants and Beneficiaries Receiving PBGC Payments

by State, 1997

Reference Table A-3 in Appendix A.

ALASKA

IDAHO

OREGON

WASHINGTON

MONTANA

WYOMING

UTAH

COLORADO

ARIZONA

NEW MEXICO

OKLAHOMA

KANSAS

NEBRASKA

SOUTH DAKOTA

NORTH DAKOTA

KENTUCKY

WV

MS ALABAMA

ARKANSAS

LA

NEVADA

MAINE

TENNESSEE

SO.

CAROLINA

MD

DE

TEXAS

NJ

CT

DC

MISSOURI

MINNESOTA

VIRGINIA

NO. CAROLINA

HI

PR

TEXAS

PR

5,000-9,999

2,500-4,999

Under 2,499

Over 10,000

RI

VT

NH

FL

MICHIGAN

OHIO

PENNSYLVANIA

NEW YORK

CALIFORNIA

GEORGIA

IOWA

WISCONSIN

ILLINOIS IN

MA
6 SECTION 1 PENSION INSURANCE DATA BOOK 1997

Participants and Beneficiaries Receiving

PBGC Payments by Industry of Plan Sponsor

• Over the last ten years, the mix of industries represented by participants and

beneficiaries receiving payments has changed. The largest shifts have been in the air

transportation and primary metal sectors.

• In 1987, the air transportation sector represented 3.3 percent of all participants and

beneficiaries receiving payments; in 1997, it accounted for 18.6 percent.

• The primary metals industry declined from 35.5 percent of total participants and

beneficiaries in 1987 to 20.9 percent in 1997.

Figure 4

Participants and Beneficiaries Receiving PBGC Payments

by Industry of Plan Sponsor

Reference Table A-4 in Appendix A.

1987 1997

Primary Metals

35.5%

Air

Transportation

18.6%

Other Industries

47.9% Other Industries

47.1%

Air

Transportation

3.3%

Machinery and

Computer

Equipment

Machinery and

Computer

Equipment

11.4%

13.3%

Primary Metals

20.9%
PENSION INSURANCE DATA BOOK 1997 Section 1 7

Participants and Beneficiaries Receiving

PBGC Payments by Gender and Age

• Payees receiving PBGC payments are distributed across all retiree age groups.

• Across all groups, male payees outnumber female payees, who are mainly

beneficiaries under survivor provisions.

• The 70-74 age group comprises the largest number of PBGC payees.

Figure 5

Participants and Beneficiaries Receiving PBGC Payments

by Gender and Age, 1997

Reference Table A-5 in Appendix A.

Younger

than 60

60-64 65-69 70-74 75-79 80-84 85 or Older

0

10

20

30

40

50

Payees in Thousands

Male Female

Age
8 SECTION 1 PENSION INSURANCE DATA BOOK 1997

Monthly Benefit Payments

• The amount of monthly benefits paid by PBGC varies widely.

• In 1997, half of PBGC’s payees received between $100 to $499 in monthly benefits.

This represents 39 percent of total PBGC benefits paid.

• In 1997, the median monthly benefit was $217.

Figure 6

Monthly Pension Payments by Size of Payment, 1997

Reference Table A-6 in Appendix A.

Number of

Payees

Less than $100

Less than

$100

$100 - $499

$100 - $499

$500 - $999

$500 - $999

$1,000 or

more

$1,000 or

more

Dollar Volume

of Payments
PENSION INSURANCE DATA BOOK 1997 Section 1 

Total Benefit Payments

1980-1997

• PBGC’s important role in the pension system is illustrated by the continuing incre

in payments over its history.

• In 1997, PBGC disbursed a total of $823 million in monthly pension and lump s

benefit payments to retired plan participants or their beneficiaries.

• Plans terminating since 1990 account for more than half of PBGC benefit paymen

Figure 7

Total PBGC Benefit Payments

Reference Table A-7 in Appendix A.

Payment figures include annual periodic and lump sum payments.

'80 '81 '82 '83 '84 '85 '86 '87 '88 '89 '90 '91 '92 '93 '94 '95 '96 '97

$0

$100

$200

$300

$400

$500

$600

$700

$800

Fiscal Year

Payments in Millions

Current Dollars 1997 Dollars

Payments by Date of Plan

Termination

1980 - 1989

Prior to 1980

2%

37%

1990 to Present

61%
10 SECTION 1 PENSION INSURANCE DATA BOOK 1997

Underfunded Pension Plans of Bankrupt Firms

1980-1995

• Only a small portion of firms declaring bankruptcy have underfunded defined

benefit pension plans.

• Of a sample of 1,738 publicly-traded companies that filed bankruptcies from 1980

to 1995, less than 4 percent sponsored underfunded defined benefit pension plans.

• Ultimately, less than one-third of these underfunded plans presented claims to

PBGC. These firms represent less than 2 percent of all bankrupt firms in the sample.

Yet, almost all PBGC claims result from the bankruptcies of plan sponsors.

Figure 8

Underfunded Plans Among Publicly Traded

Bankrupt Firms, 1980-1995

Reference Table A-8 in Appendix A.

25.0%

Firms with fully

funded plans only

71.3%

Firms with no defined

benefit plans

3.7%

Firms with

underfunded

plans

Total Bankruptcies
PENSION INSURANCE DATA BOOK 1997 Section 1 

PBGC Standard Terminations

1975-1997

• Most plans that terminate under the single-employer insurance program do not

impose claims on PBGC.

• From 1987 to 1990, over 10,000 (mostly small) plans terminated each year witho

any claim on the insurance program.

• The average plan in these standard terminations had about 50 participants.

• The annual number of standard terminations has declined sharply in recent years t

fewer than 4,000 per year.

Figure 9

Standard Terminations

Reference Table A-9 in Appendix A.

'75'76'77'78'79'80'81'82'83'84'85'86'87'88'89'90'91'92'93'94'95'96'97

0

5,000

10,000

15,000

Date of Plan Termination (Fiscal Year)

Terminations
12 SECTION 1 PENSION INSURANCE DATA BOOK 1997

PBGC Claims

1975-1997

• The dollar value of claims on PBGC has fluctuated significantly from year-to-year.

• Total annual claims (termination liabilities minus assets) have varied widely, ranging

from $28 million in 1984 to almost $1.5 billion in 1991. Years with large claims

reflect the occurrence of a few large terminations.

• Since 1975, 2,500 terminations have resulted in total claims of $5.8 billion.

Figure 10

Claims

Reference Table A-10 in Appendix A.

Note: Claims are benefit liabilities minus plan assets. They do not include amounts recovered from plan sponsors.

The 1986 claims do not include that portion of the LTV Corporation claim that was subsequently offset when three plans

were returned to the company following a 1990 Supreme Court decision.

'75 '76 '77 '78 '79 '80 '81 '82 '83 '84 '85 '86 '87 '88 '89 '90 '91 '92 '93 '94 '95 '96 '97

$0

$500

$1,000

$1,500

Date of Plan Termination (Fiscal Year)

Dollars in Millions
PENSION INSURANCE DATA BOOK 1997 Section 1 

Concentration of PBGC Claims

1975-1997

• The volatility in claims is primarily attributable to a few large terminations.

• For most of PBGC’s history, these few terminations have dominated claims.

• The firms with the ten largest claims have accounted for 54 percent of total claims

Figure 11

Concentration of Claims

Reference Table A-10 in Appendix A.

See Table B-2 for a list of the Top 10 firms with the largest value of claims.

'75'76 '77 '78'79 '80 '81'82 '83'84 '85 '86'87 '88'89 '90 '91'92 '93 '94'95 '96 '97

$0

$200

$400

$600

$800

$1,000

$1,200

$1,400

Date of Plan Termination (Fiscal Year)

Dollars in Millions

Top 10 Claims

All Other Claims

Firms with 10 largest claims

All other firms

46%

1975-1997

54%
14 SECTION 1 PENSION INSURANCE DATA BOOK 1997

Claims by Funded Ratio

1975-1997

• Funded ratios are generally very low for plans terminating with claims against PBGC.

• Almost 80 percent of pension claims came from plans that were less than 50 percent

funded at termination (using PBGC assumptions).

• Only $200 million out of $5.8 billion in aggregate claims came from plans

terminating with funded ratios of 75 percent or higher at termination.

Figure 12

Claims by Funded Ratio at Termination, 1975-1997

Reference Table A-11 in Appendix A.

37.7%

25% to 49%

Funded Ratio

20.3%

Funded Ratio

3.4%

75% or Higher

Funded Ratio

38.6%

Less than 25%

Funded Ratio

50% to 74%
PENSION INSURANCE DATA BOOK 1997 Section 1 

Average Claims

1975-1997

• Large claims involve plans that have an above average number of participants, and

relatively high benefit obligations per vested participant.

• The average claim per vested participant for plans with more than 1,000 participa

is greater than that of smaller plans.

Figure 13

Average Claim per Vested Participant, 1975-1997

Reference Table A-12 in Appendix A.

Size of Plan

(by number of participants)

1997 Dollars

1-999 5,000 or More 1,000-4,999 $0

$2,000

$4,000

$6,000

$8,000

$10,000

$12,000

$14,000

$16,000

$18,000

$20,000

$22,000
SECTION TWO

Pensions Protected by PBGC’s

Single-Employer Insurance Program
PENSION INSURANCE DATA BOOK 1997 SECTION 2 17

Section 2: Pensions Protected by PBGC’s

Single-Employer Insurance Program

PBGC protects the pensions of one out of four U.S. workers through its singleemployer insurance program. Currently, this program provides pension insurance to

more than 33 million participants in over 43,000 defined benefit plans.

The first set of graphs in this section describes the characteristics of ongoing pension

plans and participants covered by the single-employer program. The composition of

covered participants indicates that defined benefit plans are concentrated in selected

industries, a pattern that has remained relatively steady over time.

The size distribution of insured plans has changed markedly as the number of smaller

plans — particularly those with fewer than 100 participants — has declined. However,

the level of coverage has increased. In 1980, PBGC insured approximately 27 million

participants and over $200 billion of benefit liabilities in single-employer pension plans.

In 1997, these figures are 33 million and $1 trillion, respectively.

As shown in the second set of graphs, PBGC’s premium structure ties the cost of

insurance to underfunding. Since 1991, the Corporation has collected a variable rate

premium of $9 per $1,000 of underfunding in addition to the fixed premium of $19 per

participant. Prior to 1994, the variable rate premium was capped at $53 per participant

— meaning that some plan sponsors were effectively paying less than $9 per $1,000 of

underfunding.

The Retirement Protection Act of 1994 phased out the cap. For plan years beginning

on or after July 1, 1996, virtually all plan sponsors have been assessed the full variable

rate. (Special rules apply to regulated public utilities until 1998.) Those sponsors that

continue to maintain underfunded plans will pay a premium reflective of the additional

exposure they place on the single-employer pension insurance program.

The third set of graphs describes the funding characteristics of pension plans insured

by PBGC. In 1996, pension plans less than 90 percent funded on a termination basis

represented 20 percent of all liabilities and just over 30 percent of all participants. The

Retirement Protection Act of 1994 targets pension plans that are less than 90 percent

funded for current liability by accelerating their funding requirements and requiring plan

sponsors to notify participants when their pension plans fall below the 90 percent funding threshold.
18 SECTION 2 PENSION INSURANCE DATA BOOK 1997

Covered Participants by Plan Size

1980-1997

• PBGC ensures that millions of American workers receive their pension benefits if

their plans are terminated in the future.

• In 1997, PBGC provided pension insurance protection to over 33 million

participants (workers and retirees) in single-employer plans. This represents a 20

percent increase over the total number of participants covered in 1980.

• Women represent 36 percent of the total, or almost 12 million covered participants

— nearly 9 million active workers and 3 million retirees are women.*

Figure 14

Covered Participants by Plan Size

Reference Table A-13 in Appendix A.

*Source: Employee Benefits Supplement to the April 1993 Current Population Survey.

'80 '81 '82 '83 '84 '85 '86 '87 '88 '89 '90 '91 '92 '93 '94 '95 '96 '97

0

10

20

30

40

Millions

5,000 or more

1,000 - 4,999

100 - 999

Less than 100

Number of Participants in Plan
PENSION INSURANCE DATA BOOK 1997 SECTION 2 

PBGC-Insured Plans

1980-1997

• The total number of plans insured by PBGC has declined substantially in the last

decade.

• In 1997, over 43,000 single-employer defined benefit plans were insured by PBGC

down from an all time high of over 112,000 plans covered in 1985.

• This decline primarily reflects a large number of small plan terminations.

Figure 15

PBGC-Insured Plans

Reference Table A-14 in Appendix A.

'80 '81 '82 '83 '84 '85 '86 '87 '88 '89 '90 '91 '92 '93 '94 '95 '96 '97

20

40

60

80

100

120

Plans in Thousands

Total Plans

Plans With Less Than

100 Participants
20 SECTION 2 PENSION INSURANCE DATA BOOK 1997

PBGC-Insured Plans by Size

1980-1997

• The number of large plans insured by PBGC has steadily increased and reflects a

general upward trend in defined benefit plan size.

• Large plans are responsible for the overall rise in the number of covered participants.

Figure 16

PBGC-Insured Plans With 1,000 or More Participants

Reference Table A-14 in Appendix A.

'80 '81 '82 '83 '84 '85 '86 '87 '88 '89 '90 '91 '92 '93 '94 '95 '96 '97

1,000

2,000

3,000

4,000

5,000

Plans

1,000+ Participants 1,000-4,999 Participants 5,000+ Participants
PENSION INSURANCE DATA BOOK 1997 SECTION 2 

PBGC-Covered Participants by State

• PBGC covers workers in all 50 states, the District of Columbia, and Puerto Rico.

• PBGC-covered participants are concentrated in highly populated states.

• More than half of all PBGC-covered participants are located in eleven states with 

million or more participants.

Figure 17

PBGC-Covered Participants by State, 1997

Reference Table A-15 in Appendix A.

ALASKA

IDAHO

OREGON

WASHINGTON

MONTANA

WYOMING

UTAH

COLORADO

ARIZONA

NEW MEXICO

OKLAHOMA

KANSAS

NEBRASKA

SOUTH DAKOTA

NORTH DAKOTA

IOWA

IN

KENTUCKY

MS ALABAMA

ARKANSAS

LA

NEVADA

VT

NH

MAINE

TENNESSEE

SO.

CAROLINA

MD DE

CALIFORNIA

TEXAS

MICHIGAN

NJ

NEW YORK

ILLINOIS

CT

DC

MISSOURI

MINNESOTA

WISCONSIN

VIRGINIA

NO. CAROLINA

GEORGIA

FL

MA

HI

PR

TEXAS

PR

OHIO

PENNSYLVANIA

RI

WV

1 Million or More

500 - 999 Thousand

Less than 500 Thousand
22 SECTION 2 PENSION INSURANCE DATA BOOK 1997

PBGC-Covered Participants by Industry

• While PBGC covers workers in all major industrial sectors, manufacturing workers

make up the majority of covered participants.

• The distribution of covered participants across industries has remained largely

unchanged over the past decade.

Figure 18

PBGC-Covered Participants by Industry, 1997

Reference Table A-16 in Appendix A.

Other Industries

17.5%

 Manufacturing

50.2%

Services

12.2%

Public

Utilities

7.6% Finance

Insurance

and Real

Estate

12.5%

5.6% Motor Vehicle Equipment

Chemical and Allied

Products

5.4%

MAJOR

MANUFACTURING

GROUPS:

Machinery and Computer

Equipment

4.2%

Food and Tobacco

Products

4.0%
PENSION INSURANCE DATA BOOK 1997 SECTION 2 

Coverage by Funding Status

• 70 percent of covered participants and 80 percent of vested liabilities are in plans t

are at least 90 percent funded on a termination basis.

• Over half of covered participants and liabilities are in plans that are overfunded.

Figure 19

Coverage by Funding Status, 1996

Reference Table A-17 in Appendix A.

Vested liabilities have been adjusted to the interest rate that would have been used to purchase an annuity at the beginning

of the relevant year.

 Liabilities in

PBGC-Covered Plans:

 Participants in

PBGC-Covered Plans:

Overfunded

51%

Overfunded

56%

19%

90-99%

Funded

24%

90-99%

Less than 90% Funded

Funded

30%

20%

Less than 90%

Funded
24 SECTION 2 PENSION INSURANCE DATA BOOK 1997

PBGC Premium Structure

• More than 80 percent of covered participants are in plans that do not pay any

variable rate premium.

• In 1997, fully funded plans covering nearly 27 million participants paid total

premiums of $506 million.

• Underfunded plans covering 6.4 million participants, paid total premiums of $558

million, or an average total premium of $87 per participant.

Figure 20

Distribution of Participants by Premium Paid, 1997

Reference Tables A-18 and A-19 in Appendix A.

$19

Under $39

$39.00-$58.99

$59.00-$78.99

$79.00-$98.99

$99.00-$118.99

$119.00 and Over

0%

10%

20%

30%

40%

50%

60%

70%

80%

90%

Percent of Total Participants

Total Premium per Participant

Flat Rate

Variable Rate

59%

41%

TOTAL PREMIUMS, 1997

$1,064 Million

(No Variable Rate Paid)
PENSION INSURANCE DATA BOOK 1997 SECTION 2 

PBGC Premium Revenues

1980-1997

• Generally higher Variable Rate Premium interest rates and an overall improvemen

plan funding in 1997 resulted in a slight drop in PBGC premium revenues.

• The variable rate premium is $9 per $1,000 in underfunded vested liabilities. Prio

to 1994, the variable rate premium was capped at $53 per participant; this cap wa

phased out for plan years beginning between July 1, 1994 and July 1, 1996.

Figure 21

Premium Revenue

Reference Table A-20 in Appendix A.

'80 '81 '82 '83 '84 '85 '86 '87 '88 '89 '90 '91 '92 '93 '94 '95 '96 '97

$0

$200

$400

$600

$800

$1,000

$1,200

Fiscal Year

Dollars in Millions
26 SECTION 2 PENSION INSURANCE DATA BOOK 1997

Insured Plan Liabilities

1980-1995

• The value of vested benefits in PBGC-insured plans has increased since 1980.

A large part of this increase is attributable to falling interest rates over much of the

period.

• In addition, part of this increase, after 1989, is associated with the shorter vesting

schedule enacted as part of the Tax Reform Act of 1986.

• Other factors include an increase in the number of covered participants, growth in

pension benefit levels, and gradual maturing of the active workforce.

Figure 22

Liabilities of Insured Plans and Interest Rates

Reference Table A-21 in Appendix A.

*Vested liabilities have been adjusted to reflect the cost to purchase an annuity at the beginning of the relevant year.

'80 '81 '82 '83 '84 '85 '86 '87 '88 '89 '90 '91 '92 '93 '94 '95

$0

$100

$200

$300

$400

$500

$600

$700

$800

$900

$1,000

$1,100

$1,200

0%

5%

10%

15%

Beginning of Year

Dollars in Billions PBGC Interest Rate*

Liabilities Interest Rate
PENSION INSURANCE DATA BOOK 1997 SECTION 2 

Insured Plans Underfunding

1990-1997

• Over time, declining interest rates are largely responsible for increases in vested

underfunding.

• In addition to interest rates, underfunding is affected by general economic conditi

and increased plan maturity.

• Using data obtained for the last Top 50 List, PBGC reported overall pension

underfunding of $64 billion at the beginning of 1996.

• Various other indices used by PBGC indicate that a moderate reduction in

underfunding took place in 1996.

Figure 23

Various Measures of Underfunding

Reference Table A-22 in Appendix A.

These and other measures showing trends in underfunding since 1996 are presented in Table B-5.

Calculations for Variable Rate Premium underfunding use vested liabilities reported at the PBGC Variable Rate Premium

interest rate for each plan’s respective premium payment year. Form 5500 and Top 50/Compustat underfunding use vested

liabilities adjusted to the PBGC interest rate (see Table A-21) reflecting the cost of purchasing an annuity at the beginning of

the relevant calendar year.

1990 1991 1992 1993 1994 1995 1996 1997

$0

$20

$40

$60

$80

$100

Beginning of Year

Dollars in Billions

Form 5500 Top 50/

Compustat

Variable Rate

Premium
28 SECTION 2 PENSION INSURANCE DATA BOOK 1997

Insured Plans Overfunding

1980-1995

• The declining funding ratio for overfunded plans is a result, in part, of falling interest

rates and associated increases in plan liabilities.

• Other factors also played a role, including the enactment of more restrictive full

funding limits in 1987.

Reference Table A-23 in Appendix A.

Vested liabilities have been adjusted to reflect the cost to purchase an annuity at the beginning of the relevant year.

Figure 24

Status of Overfunded Plans

'80 '81 '82 '83 '84 '85 '86 '87 '88 '89 '90 '91 '92 '93 '94 '95

$0

$200

$400

$600

$800

0%

50%

100%

150%

200%

Beginning of Year

Dollars in Billions Vested Funding Ratio

Assets in Excess

of Liabilities

Liabilities

Funding Ratio
APPENDIX A

Reference Tables
Table A-1

Net Financial Position of PBGC’s Single-Employer Program (1980-1997)

Fiscal Year Assets

(in millions)

Liabilities

(in millions)

Net Position

(in millions)

Source: PBGC Annual Report (1980-1997).

*1986 values include $1.8 billion in liabilities that were subsequently returned by a Supreme Court ruling to a reorganized LTV Corporation.

Due to rounding of individual items, rows may not add up.

1980 $467 $561 -$95

1981 515 704 -189

1982 835 1,168 -333

1983 1,085 1,608 -523

1984 1,063 1,525 -462

1985 1,155 2,480 -1,325

1986

1987 2,163 3,712 -1,549

1988 2,422 3,965 -1,543

1989 3,059 4,183 -1,124

1990 2,797 4,710 -1,913

1991 5,422 7,925 -2,503

1992 6,381 9,118 -2,737

1993 8,267 11,164 -2,897

1994 8,281 9,521 -1,240

1995 10,371 10,686 -315

1996 12,043 11,174 +869

1997 15,314 11,833 +3,481

1,740* 5,566* -3,826*
Table A-2

Benefit Payments, Payees, and Deferred Payees (1980-1997)

Fiscal

Year

Total

1997

Dollars

(in millions)

Payees

 in Year

(in thousands)

Total

Current

Dollars

(in millions)

Payees

in Year

(in thousands)

Average

Monthly

Payment

Median

Monthly

Payment Total

(in millions)

Average

Payment Total

(in millions)

Payees

in Year

(in thousands))

Deferred

Payees

(in thousands))

PENSION PAYMENTS LUMP SUM PAYMENTS ALL PAYMENTS

1980 $34 $66 28 $124 $91 $3 2 $1,623 $37 30 25

1981 50 88 36 129 87 7 5 1,484 57 41 33

1982 79 131 51 165 79 15 5 2,938 94 56 55

1983 129 207 55 206 96 8 3 2,511 137 58 74

1984 166 255 65 232 112 3 1 1,942 169 66 83

1985 166 246 75 226 128 4 2 1,782 170 77 94

1986 259 377 91 275 141 2 1 2,188 261 92 99

1987 298 419 110 248 174 2 1 1,770 300 111 104

1988 347 468 110 265 178 9 2 3,515 356 112 104

1989 342 440 107 261 180 11 5 3,051 353 112 109

1990 356 435 110 262 184 13 6 2,437 369 116 115

1991 499 585 140 338 189 15 6 2,558 514 146 183

1992 617 702 150 359 232 17 6 3,078 634 156 184

1993 665 734 157 379 234 13 5 2,686 678 162 188

1994 699 753 170 359 238 20 7 2,818 719 176 198

1995 739 774 182 344 232 22 6 3,335 761 187 210

1996 770 783 199 328 241 20 7 2,757 790 206 240

1997 800 800 204 347 217 23 9 2,629 823 213 260

Source: PBGC Participant System (PRISM), fiscal year calculations, PBGC Management Reports, and PBGC Benefit Payment Reports.

Lump sum payments include cash outs of pensions with a present value less than $3,500 and back payments to current pensioners.

Since some payees received both pensions and lump sum payments, total number of payees may be less than the sum of pensioners and lump sum recipients.

Excludes participants in probable termination status as of end of fiscal year.

Annual deferred payee totals have been adjusted to reflect subsequent improvements in data quality.

Pension Payments in 1997 dollars are calculated using Consumer Price Index-Urban Consumers.
Table A-3

PBGC Payees Receiving Payments by State (1997)

State

Total U.S. Population

Payees Over 65 State

Total U.S. Population

Payees Over 65

Alabama 2,602 1.2% 519,860 1.7% Nebraska 290 0.1% 222,677 0.7%

Alaska 31 * 22,095 0.1% Nevada 662 0.3% 126,602 0.4%

Arizona 1,643 0.8% 476,074 1.5% New Hampshire 1,102 0.5% 124,524 0.4%

Arkansas 1,100 0.5% 348,737 1.1% New Jersey 5,474 2.6% 1,025,021 3.3%

California 10,142 4.8% 3,111,802 10.0% New Mexico 584 0.3% 161,900 0.5%

Colorado 2,794 1.3% 328,364 1.1% New York 13,254 6.2% 2,340,181 7.5%

Connecticut 5,052 2.4% 443,631 1.4% North Carolina 4,080 1.9% 800,449 2.6%

District of Columbia 155 0.1% 77,084 0.2% North Dakota 39 * 90,939 0.3%

Delaware 545 0.3% 80,285 0.3% Ohio 22,506 10.6% 1,402,841 4.5%

Florida 20,712 9.7% 2,355,927 7.6% Oklahoma 999 0.5% 422,954 1.4%

Georgia 6,311 3.0% 650,686 2.1% Oregon 757 0.4% 389,768 1.3%

Hawaii 1,081 0.5% 123,727 0.4% Pennsylvania 26,916 12.6% 1,821,473 5.9%

Idaho 673 0.3% 120,901 0.4% Puerto Rico 1,171 0.5% N/A N/A

Illinois 7,499 3.5% 1,429,420 4.6% Rhode Island 1,315 0.6% 149,749 0.5%

Indiana 9,336 4.4% 693,937 2.2% South Carolina 2,812 1.3% 394,046 1.3%

Iowa 6,167 2.9% 425,735 1.4% South Dakota 53 * 102,114 0.3%

Kansas 501 0.2% 341,977 1.1% Tennessee 4,625 2.2% 616,144 2.0%

Kentucky 1,724 0.8% 465,057 1.5% Texas 6,109 2.9% 1,708,425 5.5%

Louisiana 1,503 0.7% 466,631 1.5% Utah 532 0.2% 149,482 0.5%

Maine 1,277 0.6% 162,862 0.5% Vermont 629 0.3% 65,887 0.2%

Maryland 2,049 1.0% 514,344 1.7% Virginia 3,417 1.6% 661,398 2.1%

Massachusetts 5,281 2.5% 815,005 2.6% Washington 1,086 0.5% 572,921 1.8%

Michigan 10,376 4.9% 1,104,103 3.6% West Virginia 3,884 1.8% 267,830 0.9%

Minnesota 3,636 1.7% 545,893 1.8% Wisconsin 5,108 2.4% 650,153 2.1%

Mississippi 794 0.4% 319,400 1.0% Wyoming 76 * 46,966 0.2%

Missouri 1,761 0.8% 715,496 2.3% U.S. Territories 80 * N/A N/A

Montana 92 * 106,197 0.3% Foreign Country Residents 714 0.3% N/A N/A

TOTAL 213,111 100.0% 31,079,674 100.0%

Source: PBGC Participant System (PRISM), fiscal year calculations, and U.S. Census, Resident Population of the U.S., Regions, and States by Selected Age Groups and Sex, April 1, 1990.

Due to aggregation and rounding of individual items, totals may not add up to totals in other tables and percentages may not add up to 100 percent.

State of payee residence.

Resident population of the U.S., regions, and states, by selected age groups and sex: April 1, 1990 Census.

* Less than .05 of one percent.
Table A-4

PBGC Payees by Industry (1987 and 1997)

Industry

Payees

(1997)

Payees

(1987)

Benefit Payments

(1997)

Mean Monthly

Pension

(1997)

Median Monthly

Pension

(1997)

AGRICULTURE, MINING, AND CONSTRUCTION 788 0.7% 5,518 2.6% $23,887,458 2.9% $366 $267

MANUFACTURING 84,836 76.7% 140,318 65.8% 472,237,398 57.4% 291 208

Apparel and Textile Mill Products 4,419 4.0% 22,504 10.6% 27,532,658 3.4% 140 77

Fabricated Metal Products 8,229 7.4% 14,115 6.6% 44,909,253 5.5% 280 215

Food and Tobacco Products 3,457 3.1% 5,140 2.4% 13,571,495 1.7% 213 165

Machinery and Computer Equipment 14,686 13.3% 24,291 11.4% 77,122,721 9.4% 262 230

Motor Vehicle Equipment 3,426 3.1% 4,361 2.1% 12,654,747 1.5% 234 198

Primary Metals 39,264 35.5% 44,489 20.9% 237,279,389 28.8% 448 409

Rubber and Miscellaneous Plastics 2,258 2.0% 6,040 2.8% 20,911,192 2.5% 291 230

Stone, Clay, Glass and Concrete 1,434 1.3% 1,729 0.8% 3,906,126 0.5% 187 129

Other Manufacturing 7,663 6.9% 17,649 8.3% 34,349,819 4.2% 184 129

TRANSPORTATION AND PUBLIC UTILITIES 13,557 12.3% 50,824 23.9% 290,291,179 35.3% 529 364

Air Transportation 3,591 3.3% 39,711 18.6% 261,310,703 31.8% 622 460

Other Transportation 9,915 9.0% 11,063 5.2% 28,906,378 3.5% 214 165

Public Utilities 51 0.1% 50 * 74,098 * 119 123

WHOLESALE TRADE 1,611 1.5% 3,867 1.8% 11,251,825 1.4% 206 157

RETAIL TRADE 6,896 6.2% 6,702 3.1% 9,222,694 1.1% 111 66

FINANCE, INSURANCE, AND REAL ESTATE 650 0.6% 1,039 0.5% 3,361,776 0.4% 270 144

SERVICES 1,970 1.8% 4,633 2.2% 12,337,576 1.5% 219 138

NON-PROFIT ORGANIZATIONS 364 0.3% 210 0.1% 386,859 * 113 61

TOTAL 110,672 100.0% 213,111 100.0% $822,976,766 100.0% $347 $217

Sources: PBGC Participant System (PRISM), fiscal year calculations, and PBGC Management Reports.

Due to aggregation and rounding of individual items, totals may not add up to totals in other tables and percentages may not add up to 100 percent.

*Less than .05 of one percent.
Table A-5

PBGC Payees by Gender and Age (1997)

Age

TOTAL

Average

Monthly

Pension

MALE

Average

Monthly

Pension

FEMALE

Average

Monthly

Pension

Younger than 60 23,239 100.0% $400 16,696 71.8% $451 6,543 28.2% $262

60 - 64 28,077 100.0% 475 21,513 76.6% 525 6,564 23.4% 284

65 - 69 37,284 100.0% 422 26,953 72.3% 486 10,331 27.7% 227

70 - 74 40,354 100.0% 378 26,823 66.5% 452 13,531 33.5% 203

75 - 79 35,489 100.0% 331 20,911 58.9% 423 14,578 41.1% 174

80 - 84 24,290 100.0% 261 12,950 53.3% 350 11,340 46.7% 140

85 and Older 15,523 100.0% 203 7,808 50.3% 273 7,715 49.7% 120

TOTAL 204,256 100.0% $347 133,654 65.4% $446 70,602 34.6% $194

Payees Payees Payees

Source: PBGC Participant System (PRISM), fiscal year calculations, and PBGC Management Reports.

Due to rounding of individual items, totals may not add up exactly to totals in other tables and percentages may not add up to 100 percent.
Table A-6

PBGC Pensions by Size (1997)

Monthly Payment Payees Payments

Less than $50 21,017 10.3% $7,445,967 0.9%

$50 - $99 33,055 16.2% 29,190,100 3.7%

$100 - $149 22,395 11.0% 32,115,518 4.0%

$150 - $199 18,504 9.1% 37,306,372 4.7%

$200 - $249 15,444 7.6% 40,011,495 5.0%

$250 - $299 11,648 5.7% 37,198,450 4.7%

$300 - $349 10,218 5.0% 38,878,470 4.9%

$350 - $399 8,800 4.3% 39,030,702 4.9%

$400 - $449 8,869 4.3% 44,972,756 5.6%

$450 - $499 7,516 3.7% 43,021,372 5.4%

$500 - $549 6,787 3.3% 42,737,466 5.3%

$550 - $599 5,918 2.9% 40,781,431 5.1%

$600 - $749 13,107 6.4% 103,920,159 13.0%

$750 - $999 10,788 5.3% 105,571,258 13.2%

$1,000 - $4,999 10,091 4.9% 153,358,483 19.2%

$5,000 or more 99 * 4,157,347 0.5%

TOTAL 204,256 100.0% $799,697,348 100.0%

Source: PBGC Participant System (PRISM), fiscal year calculations, and PBGC Management Reports.

Due to aggregation and rounding of individual items, totals may not add up exactly to totals in other tables and percentages may not add up to 100 percent.

*Less than .05 of one percent.
Table A-7

Payees and Benefit Payments by Date of Plan Termination (1997)

Fiscal Year

Plan Termination

Payees

Receiving Payment

(1997)

Current Dollars

(in millions)

1997 Dollars

(in millions)

Benefit Payments

(1997) Fiscal Year

Total Annual Pension Payments

Prior to 1980 13,994 6.6% $17,533,472 2.1%

1980 4,667 2.2% 9,353,673 1.1% 1980 $34 $66

1981 7,781 3.7% 11,506,243 1.4% 1981 50 88

1982 15,606 7.3% 40,564,397 4.9% 1982 79 131

1983 10,678 5.0% 34,433,788 4.2% 1983 129 207

1984 2,046 1.0% 4,134,147 0.5% 1984 166 255

1985 8,183 3.8% 21,927,619 2.7% 1985 166 246

1986 22,153 10.4% 104,564,873 12.7% 1986 259 377

1987 8,021 3.8% 27,368,712 3.3% 1987 298 419

1988 10,053 4.7% 32,813,393 4.0% 1988 347 468

1989 7,002 3.3% 16,150,285 2.0% 1989 342 440

1990 5,625 2.6% 16,275,542 2.0% 1990 356 435

1991 41,222 19.3% 235,813,962 28.7% 1991 499 585

1992 16,126 7.6% 63,438,310 7.7% 1992 617 702

1993 5,683 2.7% 17,504,208 2.1% 1993 665 734

1994 13,024 6.1% 58,802,962 7.1% 1994 699 753

1995 6,047 2.8% 31,966,177 3.9% 1995 739 774

1996 11,834 5.5% 49,814,219 6.1% 1996 770 783

1997 3,366 1.6% 29,010,784 3.5% 1997 800 800

TOTAL 213,111 100.0% $822,976,766 100.0%

Source: PBGC Participant System (PRISM), fiscal year calculations, and PBGC Management Reports.

Due to rounding of individual items, totals may not add up exactly to totals in other tables and percentages may not add up to 100 percent.
Table A-8

Bankruptcies and Underfunding Among Publicly Traded Firms (1980-1995)

Year

Total

Bankruptcies

Bankrupt Firms With

Defined Benefit (DB) Plan

Bankrupt Firms With

Underfunded DB Plan

1980 86 25 29.1% 1 1.2%

1981 76 30 39.5% 2 2.6%

1982 93 23 24.7% 3 3.2%

1983 86 22 25.6% 6 7.0%

1984 113 23 20.4% 1 0.9%

1985 128 35 27.3% 1 0.8%

1986 128 30 23.4% 7 5.5%

1987 95 20 21.1% 3 3.2%

1988 122 26 21.3% 5 4.1%

1989 150 29 19.3% 8 5.3%

1990 149 45 30.2% 9 6.0%

1991 145 41 28.3% 5 3.4%

1992 99 24 24.2% 3 3.0%

1993 114 27 23.7% 6 5.3%

1994 60 15 25.0% 0 0.0%

1995 94 20 21.3% 5 5.3%

TOTAL 1,738 435 25.0% 65 3.7%

Source: Standard and Poor’s Compustat Data and New Generations Database and Yearbook, various issues.

Table does not reflect any PBGC claims experience.
Table A-9

PBGC Terminations, Claims, and Underfunding (1975-1997)

Fiscal

Year

Standard

Terminations

Trusteed

Terminations Assets

(in millions)

Liabilities

(in millions)

Gross Claims

(in millions)

Recoveries

(in millions)

Net Claims

(in millions)

Total

Underfunding

(in millions)

Gross Claims

as a Percentage

of Underfunding

1975 2,470 100 $18.9 $56.0 $37.2 $5.1 $32.1 — —

1976 8,932 171 41.6 88.0 46.4 28.5 17.9 — —

1977 7,202 130 17.2 51.7 34.5 9.2 25.3 — —

1978 5,158 103 43.3 124.5 81.2 9.0 72.2 — —

1979 4,810 82 31.3 80.9 49.7 7.2 42.4 $35,910 0.1%

1980 3,933 103 74.2 166.4 92.3 32.3 60.0 20,156 0.5%

1981 4,949 137 67.1 174.3 107.2 39.3 67.9 12,043 0.9%

1982 6,003 131 145.6 456.1 310.5 44.4 266.1 10,263 3.0%

1983 6,730 149 214.5 412.0 197.4 39.6 157.8 11,783 1.7%

1984 7,621 99 19.5 48.0 28.5 3.3 25.2 9,876 0.3%

1985 8,635 114 40.1 261.4 221.3 14.4 206.9 11,182 2.0%

1986 6,829 131 275.1 1,164.9 889.8 60.9 828.9 14,719 6.0%

1987 10,865 103 137.3 348.5 211.2 32.8 178.4 20,692 1.0%

1988 10,790 100 108.9 382.5 273.6 24.4 249.2 22,341 1.2%

1989 11,400 81 79.9 197.1 117.2 21.7 95.5 25,370 0.5%

1990 11,800 94 109.9 221.2 111.3 7.7 103.6 26,781 0.4%

1991 8,600 161 1,496.7 2,948.2 1,451.5 246.3 1,205.3 32,803 4.4%

1992 6,670 144 246.0 856.1 610.1 73.2 536.9 38,191 1.6%

1993 5,320 99 114.9 251.5 136.5 14.2 122.3 53,068 0.3%

1994 3,950 108 287.9 713.0 425.1 27.0 398.1 71,000 0.6%

1995 3,870 83 223.3 351.4 128.1 10.4 117.7 31,385 0.4%

1996 3,809 56 235.9 363.7 127.8 23.3 104.5 63,682 0.2%

1997 3,497 21 378.1 539.7 161.6 2.8 158.7 — —

TOTAL 153,843 2,500 $4,407.2 $10,257.1 $5,849.9 $776.9 $5,073.0 — —

Source: PBGC Fiscal Year Closing File (9/30/97) and PBGC Case Administration System.

Due to rounding of individual items, values may not add up exactly across rows.

Claims figures shown in this table are calculated on a plan basis and identified with fiscal year of plan termination for each plan.

1975 termination and claims values are for 7/1/74 to 6/30/75. 1976 values are for 7/1/75 to 9/30/76. For 1977 on, values are for 10/1 of the prior calendar year to 9/30 of the current calendar year.

The annual numbers of trusteed terminations shown in this table may differ from those reported elsewhere, as they reflect the fiscal year of plan termination,

rather than the fiscal year in which the loss is recorded.

Values are subject to change as PBGC completes reviewing, establishes termination dates, and determines recoveries.
Table A-10

PBGC Claims (1975-1997)

Fiscal

Year Total Claims

Claims of Top 10 Firms and

Percent of Total Annual Claims

All Other Claims and

Percent of Total Annual Claims

1975 $37,180,228 — — $37,180,228 100.0%

1976 46,408,070 — — 46,408,070 100.0%

1977 34,466,743 — — 34,466,743 100.0%

1978 81,201,276 — — 81,201,276 100.0%

1979 49,678,716 — — 49,678,716 100.0%

1980 92,272,160 — — 92,272,160 100.0%

1981 107,165,401 — — 107,165,401 100.0%

1982 310,524,571 — — 310,524,571 100.0%

1983 197,422,885 — — 197,422,885 100.0%

1984 28,510,179 — — 28,510,179 100.0%

1985 221,266,361 $180,568,290 81.6% 40,698,071 18.4%

1986 889,820,183 722,321,848 81.2% 167,498,335 18.8%

1987 211,189,020 35,566,557 16.8% 175,622,463 83.2%

1988 273,614,189 186,046,771 68.0% 87,567,418 32.0%

1989 117,248,483 — — 117,248,483 100.0%

1990 111,327,957 — — 111,327,957 100.0%

1991 1,451,533,959 1,279,743,646 88.2% 171,790,313 11.8%

1992 610,072,884 469,053,611 76.9% 141,019,273 23.1%

1993 136,508,980 — — 136,508,980 100.0%

1994 425,088,947 264,475,154 62.2% 160,613,793 37.8%

1995 128,099,557 — — 128,099,557 100.0%

1996 127,758,159 — — 127,758,159 100.0%

1997 161,550,146 — — 161,550,146 100.0%

TOTAL (1975-1997) $5,849,909,054 $3,137,775,877 53.6% $2,712,133,177 46.4%

Source: PBGC Fiscal Year Closing File (9/30/97) and PBGC Case Administration System.

Due to rounding, percentages may not add up to 100 percent.

Claims figures in this table are calculated on a plan basis.

Annual claims for Top 10 firms are summations of all claims in that fiscal year associated with the Top 10 firms.

Values are subject to change as PBGC completes reviewing, establishes termination dates, and determines recoveries.

See Table B-2 for a list of the Top 10 firms with the largest value of claims.
Table A-11

PBGC Claims by Plan Funded Ratio at Termination (1975-1997)

Funded Ratio Claims

Under 25% $2,255,815,673 38.6%

25% - 49% 2,204,183,355 37.7%

50% - 74% 1,189,158,445 20.3%

75% and Over 200,751,581 3.4%

TOTAL $5,849,909,054 100.0%

Source: PBGC Fiscal Year Closing File (9/30/97) and PBGC Case Administration System.

Calculations represent aggregated claims over the period 1975-1997.

Values and distributions are subject to change as PBGC completes reviewing, establishes termination dates and determines recoveries.

Funding ratios are calculated as the ratio of trust plan assets to plan benefit liabilities before recoveries from employers.

Due to rounding of individual items, percentages may not add up to 100 percent.
Table A-12

PBGC Average Claim per Vested Participant by Plan Size (1975-1997)

Number of Plan

Participants Claims

(Current Dollars)

Vested

Participants Plans

Average Claim

per

Participant

(Current Dollars)

Claims

(1997 Dollars)

Average Claim

Per

Participant

(1997 Dollars)

Under 100 57,152 1,620 $269,139,874 4.6% $4,709 $385,562,972 4.9% $6,746

100-999 226,605 778 1,345,544,851 23.0% 5,938 1,918,311,279 24.3% 8,465

1,000-4,999 184,428 90 1,801,119,000 30.8% 9,766 2,483,107,221 31.5% 13,464

5,000-9,999 61,367 8 1,032,571,773 17.7% 16,826 1,385,549,265 17.6% 22,578

10,000 and Over 83,690 4 1,401,533,556 24.0% 16,747 1,711,493,464 21.7% 20,450

TOTAL 613,242 2,500 $5,849,909,054 100.0% $9,539 $7,884,024,201 100.0% $12,856

Source: PBGC Fiscal Year Closing File (9/30/97), PBGC Case Administration System, and Bureau of Labor Statistics

Claim values and distributions are subject to change as PBGC completes reviewing, establishes termination dates and determines recoveries.

Claims calculations represent aggregated and average counts of plans, claims, and participants over the period 1975-1997.

Due to rounding of individual items, percentages may not add up to 100 percent.

Claims in 1997 dollars are calculated using Consumer Price Index - Urban Consumers.
Table A-13

PBGC-Covered Participants (1980-1997)

Year

Total

Covered

Participants

(in thousands)

In Plans with

10,000+

Participants

(in thousands)

In Plans with

5,000-9,999

Participants

(in thousands)

In Plans with

1,000-4,999

Participants

(in thousands)

In Plans with

250-999

Participants

(in thousands)

In Plans with

100-249

Participants

(in thousands)

In Plans with

25-99

Participants

(in thousands)

In Plans with

<25

Participants

(in thousands)

1980 27,518 12,044 2,833 5,776 3,852 1,436 1,064 513

1981 28,076 12,304 2,894 5,900 3,901 1,455 1,094 528

1982 28,182 12,190 2,867 6,077 3,979 1,484 1,069 516

1983 28,701 12,770 2,908 6,030 3,839 1,536 1,090 528

1984 29,637 12,707 3,010 6,503 4,146 1,588 1,131 552

1985 29,809 12,724 3,164 6,579 4,032 1,585 1,164 561

1986 30,043 12,800 3,236 6,596 4,104 1,593 1,155 559

1987 31,200 13,522 3,168 6,728 4,434 1,644 1,166 538

1988 31,461 13,820 3,141 6,844 4,401 1,581 1,150 524

1989 31,574 14,253 3,356 6,881 3,984 1,492 1,108 500

1990 31,633 14,336 3,351 6,989 4,064 1,429 1,023 441

1991 31,851 14,759 3,433 6,945 3,968 1,415 946 385

1992 32,056 15,416 3,520 6,997 3,694 1,276 825 328

1993 32,271 15,895 3,617 7,000 3,552 1,176 758 273

1994 32,372 16,258 3,814 6,942 3,292 1,120 698 248

1995 32,634 16,934 3,771 6,908 3,136 1,062 625 198

1996 32,724 17,076 3,843 6,896 3,128 1,005 591 185

1997 33,046 17,899 3,880 6,783 2,943 890 499 152

Source: PBGC Premium Filings, various years.

1997 figures are estimates from PBGC internal calculations.

1996 estimates reported last year have been updated to reflect actual premium filings.
Table A-14

PBGC-Insured Plans (1980-1997)

Year

Total

Insured

Plans

Insured Plans

with

10,000+

Participants

Insured Plans

with

5,000-9,999

Participants

Insured Plans

with

1,000-4,999

Participants

Insured Plans

with

250-999

Participants

Insured Plans

with

100-249

Participants

Insured Plans

with

25-99

Participants

Insured Plans

with

<25

Participants

1980 95,439 349 365 2,858 7,439 8,512 19,069 56,847

1981 99,892 344 360 3,010 7,803 8,928 19,956 59,491

1982 103,423 393 411 2,965 8,142 9,316 20,646 61,550

1983 106,668 377 413 2,908 8,006 9,676 21,123 64,165

1984 111,491 386 428 3,178 8,470 10,005 21,891 67,133

1985 112,208 354 435 3,125 8,230 10,003 22,609 67,452

1986 111,944 379 447 3,158 8,186 9,859 22,442 67,473

1987 111,351 411 450 3,276 9,036 10,339 22,373 65,466

1988 108,279 412 446 3,314 8,799 9,965 22,028 63,315

1989 101,724 427 462 3,211 8,057 9,395 21,113 59,059

1990 91,899 458 477 3,400 8,085 8,976 19,464 51,039

1991 82,717 495 493 3,353 7,986 8,867 17,888 43,635

1992 71,589 505 504 3,367 7,402 7,991 15,410 36,410

1993 63,778 504 517 3,336 7,064 7,358 14,392 30,607

1994 57,010 524 553 3,361 6,682 6,941 13,100 25,849

1995 53,589 528 559 3,308 6,743 6,850 11,674 23,927

1996 48,748 531 556 3,280 6,217 6,225 10,931 21,008

1997 43,047 553 571 3,227 5,943 5,629 9,423 17,701

Source: PBGC Premium Filings, various years.

1997 figures are estimates from PBGC internal calculations.

1996 estimates reported last year have been updated to reflect actual premium filings.
Table A-15

Distribution of Covered Participants by State (1997)

State Covered Participants State Covered Participants

Alabama 383,329 1.2% Nebraska 201,579 0.6%

Alaska 52,873 0.2% Nevada 191,665 0.6%

Arizona 456,029 1.4% New Hampshire 142,096 0.4%

Arkansas 214,796 0.7% New Jersey 1,116,941 3.4%

California 3,363,807 10.2% New Mexico 142,096 0.4%

Colorado 370,110 1.1% New York 2,220,663 6.7%

Connecticut 707,175 2.1% North Carolina 902,145 2.7%

Delaware 165,228 0.5% North Dakota 56,177 0.2%

District of Columbia 49,568 0.2% Ohio 1,668,803 5.1%

Florida 1,506,880 4.6% Oklahoma 290,801 0.9%

Georgia 968,236 2.9% Oregon 307,324 0.9%

Hawaii 115,660 0.4% Pennsylvania 1,678,717 5.1%

Idaho 105,746 0.3% Puerto Rico 65,215 0.2%

Illinois 1,701,848 5.2% Rhode Island 109,051 0.3%

Indiana 707,175 2.1% South Carolina 452,724 1.4%

Iowa 373,415 1.1% South Dakota 52,873 0.2%

Kansas 360,197 1.1% Tennessee 518,816 1.6%

Kentucky 528,730 1.6% Texas 2,002,564 6.1%

Louisiana 525,425 1.6% Utah 178,446 0.5%

Maine 145,400 0.4% Vermont 69,396 0.2%

Maryland 710,480 2.2% Virginia 1,153,291 3.5%

Massachusetts 713,785 2.2% Washington 839,358 2.5%

Michigan 1,278,864 3.9% West Virginia 300,715 0.9%

Minnesota 687,349 2.1% Wisconsin 1,044,241 3.2%

Mississippi 178,446 0.5% Wyoming 79,309 0.2%

Missouri 793,094 2.4% U.S. Territories 1,111 0.0%

Montana 95,832 0.3% TOTAL 33,045,597 100.0%

Source: PBGC Premium Filings, Employee Benefits Supplement to the April, 1993 Current Population Survey, and PBGC estimates.

Due to aggregation and rounding of individual items, totals may not add up to totals in other tables and percentages may not add up to 100 percent.
Table A-16

Distribution of Covered Participants, Premiums, and Plans by Industry (1997)

Industry Covered Participants Premiums Covered Plans

AGRICULTURE, MINING, AND CONSTRUCTION 637,465 1.9% $22,521,609 2.1% 2,977 6.9%

MANUFACTURING 16,583,560 50.2% 579,448,981 54.5% 15,040 34.9%

Chemical and Allied Products 1,788,758 5.4% 56,808,864 5.3% 1,178 2.7%

Fabricated Metal Products 1,013,414 3.1% 44,283,910 4.2% 2,800 6.5%

Food and Tobacco Products 1,308,778 4.0% 39,689,402 3.7% 1,235 2.9%

Machinery and Computer Equipment 1,388,221 4.2% 40,241,766 3.8% 1,442 3.3%

Motor Vehicle Equipment 1,863,212 5.6% 57,926,808 5.4% 532 1.2%

Paper and Allied Products 817,731 2.5% 24,220,511 2.3% 786 1.8%

Primary Metals 871,595 2.6% 68,828,606 6.5% 732 1.7%

Rubber and Miscellaneous Plastics 420,734 1.3% 13,238,769 1.2% 664 1.5%

Other Manufacturing 7,111,117 21.5% 234,210,345 22.0% 5,671 13.2%

TRANSPORTATION AND PUBLIC UTILITIES 3,592,826 10.9% 103,207,303 9.7% 1,892 4.4%

Air Transportation 535,921 1.6% 12,537,759 1.2% 112 0.3%

Other Transportation 542,268 1.6% 20,927,341 2.0% 732 1.7%

Public Utilities 2,514,637 7.6% 69,742,204 6.6% 1,048 2.4%

WHOLESALE TRADE 768,387 2.3% 25,187,865 2.4% 3,406 7.9%

RETAIL TRADE 2,304,310 7.0% 69,809,514 6.6% 2,511 5.8%

FINANCE, INSURANCE, AND REAL ESTATE 4,146,702 12.5% 113,766,195 10.7% 4,914 11.4%

SERVICES 4,032,059 12.2% 117,778,076 11.1% 7,842 18.2%

NON-PROFIT ORGANIZATIONS 980,288 3.0% 32,280,456 3.0% 4,465 10.4%

TOTAL 33,045,597 100.0% $1,064,000,000 100.0% 43,047 100.0%

Source: PBGC Premium Filings.

Due to aggregation and rounding of individual items, totals may not add up to totals in other tables and percentages may not add up to 100 percent.
Table A-17

PBGC Coverage by Funding Status (1996)

All Plans

COVERED PARTICIPANTS

Overfunded

Plans

LIABILITIES

90-99.99%

Funded Plans

<90%

Funded Plans All Plans

(in millions)

Overfunded

Plans

(in millions)

90-99.99%

Funded Plans

(in millions)

<90%

Funded Plans

(in millions)

32,724,000 16,739,307 51.2% 6,074,101 18.6% 9,910,592 30.3% $1,093,125 $614,094 56.2% $266,701 24.4% $212,230 19.4%

Source: Participant data from IRS Form 5500.

Vested liabilities data from Standard and Poor’s Compustat Data (12/31/95) with adjustments from the PBGC Top 50 process.

Liabilities are adjusted to the GAM83 mortality table and the interest rate that would have been used to purchase an annuity at the beginning of 1996.

Due to rounding of individual items, percentages may not add up to 100 percent.

In previous years, PBGC estimates of total pension underfunding were based on information received from companies during the process of creating a list of the 50 companies with the largest underfunded pensions.

With the reporting requirements in the Retirement Protection Act of 1994 fully implemented, the agency discontinued the Top 50 process in 1997.

Using data obtained for the last Top 50 list, PBGC reported overall pension underfunding of $64 billion at the end of 1995. While the agency does not have a comparable estimate for aggregate underfunding as of the

end of 1996, various other indices used by PBGC indicate that a moderate reduction in underfunding did take place in 1996.

1996 estimates reported last year have been updated to reflect actual premium filings.
Table A-18

Distribution of Plans and Participants by Total Premium Paid (1997)

Total Premium

Per Participant

Participants % of Participants in

Variable Rate PremiumPaying Plans

% of

All

Participants

$19 (NO VARIABLE RATE PREMIUM PAID) 27,129 — 63.0% 26,637,925 — 80.6%

 $19.01 - $28.99 2,102 13.2% 4.9% 1,267,282 19.8% 3.8%

$29.00 - $38.99 2,031 12.8% 4.7% 918,994 14.3% 2.8%

$39.00 - $48.99 1,720 10.8% 4.0% 706,929 11.0% 2.1%

$49.00 - $58.99 1,484 9.3% 3.4% 513,324 8.0% 1.6%

$59.00 - $68.99 1,250 7.9% 2.9% 693,263 10.8% 2.1%

$69.00 - $78.99 1,093 6.9% 2.5% 520,786 8.1% 1.6%

$79.00 - $88.99 804 5.1% 1.9% 311,307 4.9% 0.9%

$89.00 - $98.99 693 4.4% 1.6% 282,274 4.4% 0.9%

$99.00 - $108.99 530 3.3% 1.2% 180,300 2.8% 0.5%

$109.00 - $118.99 510 3.2% 1.2% 129,447 2.0% 0.4%

$119 or More 3,701 23.2% 8.6% 883,766 13.8% 2.7%

TOTAL VARIABLE RATE PREMIUM PAYERS 15,918 100.0% 37.0% 6,407,672 100.0% 19.4%

TOTAL ALL PLANS 43,047 — 100.0% 33,045,597 — 100.0%

Source: PBGC Premium Filings.

Due to rounding of individual items, percentages may not add up to 100 percent.

Plans % of

Variable Rate

Premium-Paying Plans

% of

All Plans
Table A-19

Premium Receipts by Size of Plan and Type of Premium (1997)

Number of Plan

Participants

Flat

Rate Premium

Variable

Rate Premium Total Premium

Under 100 $11,142,479 1.8% $23,359,196 5.4% $34,501,675 3.2%

100 - 499 35,945,559 5.7% 56,472,603 12.9% 92,418,162 8.7%

500 - 999 33,040,665 5.3% 38,581,200 8.8% 71,621,865 6.7%

1,000 and Over 547,737,640 87.2% 317,720,658 72.8% 865,458,297 81.3%

TOTAL $627,866,343 100.0% $436,133,657 100.0% $1,064,000,000 100.0%

PERCENT OF TOTAL 59% 41% 100%

Source: PBGC Premium Filings.

Due to aggregation and rounding of individual items, premium totals may not equal those in other tables and percentages may not add up to 100 percent.

“Percent of Total” represent proportions of Flat Rate and Variable Rate Premiums, respectively, of Total Premiums.
Table A-20

PBGC Premium Revenue, Benefit Payments, and Expenses (1980-1997)

Fiscal

Year

Total

Premium Revenue

(in millions)

Benefit Payments

(in millions)

Administrative &

Investment

Expenses

(in millions)

Premiums Minus

Benefits Paid

and Expenses

(in millions)

1980 $71 $37 $20 $14

1981 75 57 21 -3

1982 80 94 24 -38

1983 82 137 27 -82

1984 81 169 30 -118

1985 82 170 33 -121

1986 201 261 33 -93

1987 268 300 36 -68

1988 465 356 48 61

1989 603 353 45 205

1990 659 369 63 227

1991 741 514 71 156

1992 875 634 97 144

1993 890 678 107 105

1994 955 719 135 101

1995 838 761 138 -61

1996 1,146 790 150 206

1997 1,064 823 155 86

Source: PBGC Annual Report (1980-1997).

Total premiums consist of two components. The flat rate is a uniform premium charge for each covered participant in a plan. The variable rate is an additional amount charged

per participant that varies with the amount of underfunding. The capped premium is a limit placed on the premium that would be required according to the variable rate.

Prior to the passage of the Retirement Protection Act of 1994, PBGC’s variable rate premium was $9/$1,000 of Unfunded Vested Benefits, up to a cap of $53 per participant.

This legislation provides for the complete phasing out of the $53 cap by 1997.

Due to aggregation and rounding of individual items, figures may not add up to totals in other tables.
Table A-21

Funding of Insured Plans and PBGC Interest Rates (1980-1996)

Beginning

of Year Assets

(in millions)

Liabilities

(in millions)

Funding

Ratio Underfunding

(in millions)

PBGC

Rate* Overfunding

(in millions)

1980 $259,810 $211,817 123% $20,156 $67,894 8.50%

1981 309,969 207,336 150% 12,043 114,676 9.75%

1982 331,540 206,303 161% 10,263 135,500 10.75%

1983 376,732 241,010 156% 11,783 147,505 9.75%

1984 457,644 280,695 163% 9,876 186,825 9.75%

1985 500,673 308,617 162% 11,182 203,238 9.75%

1986 619,490 406,118 153% 14,719 228,091 8.50%

1987 644,239 463,255 139% 20,692 201,676 7.50%

1988 640,741 450,844 142% 22,341 212,238 8.25%

1989 696,146 517,226 135% 26,340 205,260 7.75%

1990 837,131 604,047 139% 35,689 268,773 7.25%

1991 848,251 687,896 123% 34,485 194,840 7.25%

1992 915,722 771,421 119% 47,528 191,829 6.25%

1993 951,972 844,803 113% 59,622 166,791 6.40%

1994 1,009,910 951,187 106% 80,279 139,002 5.65%

1995 916,858 824,101 111% 45,652 138,408 7.15%

1996 1,132,049 1,093,125 104% 63,682 102,606 5.30%

Source: For 1980-1995, data are from Internal Revenue Service Form 5500 Series Filings for single-employer plans with 100 or more participants.

For 1996, Standard & Poor’s Compustat data with adjustments from the PBGC Top 50 process.

* Vested liabilities have been adjusted to reflect the cost to purchase an annuity at the beginning of the relevant year.

In previous years, PBGC estimates of total pension underfunding were based on information received from companies during the process of creating a list of the 50 companies with

the largest underfunded pensions. With the reporting requirements in the Retirement Protection Act of 1994 fully implemented, the agency discontinued the Top 50 process in 1997.

Using data obtained for the last Top 50 list, PBGC reported overall pension underfunding of $64 billion at the end of 1995. While the agency does not have a comparable estimate for

aggregate underfunding as of the end of 1996, various other indices used by PBGC indicate that a moderate reduction in underfunding did take place in 1996.
Table A-22

Financial Status of Underfunded Plans (1980-1996)

Beginning

of Year Assets

(in millions)

Liabilities

(in millions)

Funding

Ratio Underfunding

(in millions)

PBGC

Rate*

1980 $53,840 $73,996 $20,156 73% 8.50%

1981 31,587 43,630 12,043 72% 9.75%

1982 29,967 40,230 10,263 74% 10.75%

1983 37,037 48,820 11,783 76% 9.75%

1984 26,208 36,084 9,876 73% 9.75%

1985 28,722 39,904 11,182 72% 9.75%

1986 41,780 56,499 14,719 74% 8.50%

1987 62,942 83,634 20,692 75% 7.50%

1988 68,920 91,261 22,341 76% 8.25%

1989 99,682 126,022 26,340 79% 7.75%

1990 95,068 130,758 35,689 73% 7.25%

1991 147,301 181,786 34,485 81% 7.25%

1992 172,372 219,900 47,528 78% 6.25%

1993 215,695 275,317 59,622 78% 6.40%

1994 308,237 388,515 80,279 79% 5.65%

1995 285,151 330,803 45,652 86% 7.15%

1996 415,349 479,031 63,682 87% 5.30%

Source: For 1980-1995, data are from Internal Revenue Service Form 5500 Series Filings for single-employer plans with 100 or more participants.

For 1996, Standard & Poors Compustat data with adjustments from the PBGC Top 50 process.

* Vested liabilities have been adjusted to reflect the cost to purchase an annuity at the beginning of the relevant year.

In previous years, PBGC estimates of total pension underfunding were based on information received from companies during the process of creating a list of the 50 companies with

the largest underfunded pensions. With the reporting requirements in the Retirement Protection Act of 1994 fully implemented, the agency discontinued the Top 50 process in 1997.

Using data obtained for the last Top 50 list, PBGC reported overall pension underfunding of $64 billion at the end of 1995. While the agency does not have a comparable estimate for

aggregate underfunding as of the end of 1996, various other indices used by PBGC indicate that a moderate reduction in underfunding did take place in 1996.
Table A-23

Financial Status of Overfunded Plans (1980-1996)

Beginning

of Year Assets

(in millions)

Liabilities

(in millions)

Overfunding

(in millions)

Funding

Ratio PBGC Rate*

1980 $205,970 $138,076 $67,894 149% 8.50%

1981 278,382 163,706 114,676 170% 9.75%

1982 301,573 166,073 135,500 182% 10.75%

1983 339,695 192,190 147,505 177% 9.75%

1984 431,436 244,611 186,825 176% 9.75%

1985 471,951 268,713 203,238 176% 9.75%

1986 577,710 349,619 228,091 165% 8.50%

1987 581,297 379,621 201,676 153% 7.50%

1988 571,821 359,583 212,238 159% 8.25%

1989 596,464 391,204 205,260 152% 7.75%

1990 742,063 473,289 268,773 157% 7.25%

1991 700,950 506,110 194,840 138% 7.25%

1992 743,350 551,520 191,829 135% 6.25%

1993 736,277 569,486 166,791 129% 6.40%

1994 701,673 562,671 139,002 125% 5.65%

1995 631,707 493,299 138,408 128% 7.15%

1996 716,700 614,094 102,606 117% 5.30%

Source: For 1980-1995, data are from Internal Revenue Service Form 5500 Series Filings for single-employer plans with 100 or more participants.

For 1996, Standard & Poors Compustat data with adjustments from the PBGC Top 50 process.

* Vested liabilities have been adjusted to reflect the cost to purchase an annuity at the beginning of the relevant year.

In previous years, PBGC estimates of total pension underfunding were based on information received from companies during the process of creating a list of the 50 companies with

the largest underfunded pensions. With the reporting requirements in the Retirement Protection Act of 1994 fully implemented, the agency discontinued the Top 50 process in 1997.

Using data obtained for the last Top 50 list, PBGC reported overall pension underfunding of $64 billion at the end of 1995. While the agency does not have a comparable estimate for

aggregate underfunding as of the end of 1996, various other indices used by PBGC indicate that a moderate reduction in underfunding did take place in 1996.
APPENDIX B

Data Tables
Table B-1

Payees and Benefit Payments by Size of Trusteed Plan (1997)

Number

of Plan

Participants Payees Payments

(in millions)

Median

Monthly

Payment

Average

Monthly Pension

Payment

Under 100 15,743 7.4% $36.0 4.4% $196 $125

100 - 499 41,404 19.4% 100.2 12.2% 218 143

500 - 999 28,781 13.5% 88.7 10.8% 269 150

1,000 and Over 127,183 59.7% 598.0 72.7% 420 312

TOTAL 213,111 100.0% $823.0 100.0% $347 $217

Source: PBGC Participant System (PRISM), fiscal year calculations, and PBGC Management Reports.

Due to aggregation and rounding of individual items, totals may not equal those in other tables and percentages may not add up to 100 percent.
Table B-2

Top 10 Firms Presenting Claims (1975-1997)

Top 10 Firms

Number of

Plans

Number of

Plans With

10,000 or

More Vested

Participants

Fiscal Year

of Initial

Plan

Termination Claims

(by firm)

Vested

Participants

Average

Claim Per

Vested

Participant

Percent of

Total Claims

(1975-1997)

1. Pan American Air 3 1 1991, 1992 $760,207,666 37,472 $20,287 13.0%

2. Eastern Air Lines 7 2 1991 541,428,605 51,182 10,578 9.3%

3. Wheeling Pitt Steel 7 1 1986 495,235,029 22,144 22,364 8.5%

4. Sharon Steel 5 0 1994 230,408,640 6,886 33,460 3.9%

5. LTV Republic Steel 1 0 1986 221,920,051 8,208 27,037 3.8%

6. Kaiser Steel 4 0 1987, 1988 221,613,328 8,403 26,373 3.8%

7. CF&I Steel 1 0 1992 220,883,318 4,239 52,107 3.8%

8. Allis-Chalmers* 11 0 1985, 1986 185,735,058 9,055 20,512 3.2%

9. Uniroyal Plastics 1 0 1992 142,804,354 5,212 27,399 2.4%

10. Blaw-Knox 6 0 1992, 1994 117,539,828 5,659 20,770 2.0%

Top 10 Total 46 4 3,137,775,877 158,460 19,802 53.6%

All Other Total 2,454 0 2,712,133,177 454,782 5,964 46.4%

TOTAL (1975-1997) 2,500 4 $5,849,909,054 613,242 $9,539 100.0%

Source: PBGC Fiscal Year Closing File (9/30/97), PBGC Case Administration System and PBGC Participant System (PRISM).

Due to rounding, percentages may not add up to 100 percent.

Data in this table has been calculated on a firm basis and includes all plans of each firm.

Year of plan termination is identified with fiscal year date of first plan termination for that firm.

* Does not include 1997 termination of plan sponsored by the reorganized Allis-Chalmers Corporation.
Table B-3

PBGC Claims by Industry (1975-1997)

Industry

Total Claims

(1975-1997)

Claims

(1997)

AGRICULTURE, MINING, AND CONSTRUCTION $111,869,165 1.9% — —

MANUFACTURING 3,844,869,221 65.8% $137,944,842 85.4%

Chemical and Allied Products 67,494,350 1.2% — —

Fabricated Metal Products 496,070,766 8.5% 877,448 0.5%

Food and Tobacco Products 107,975,926 1.8% 168,192 0.1%

Machinery and Computer Equipment 545,217,420 9.3% 16,721,793 10.4%

Motor Vehicle Equipment 219,603,574 3.8% 3,762,182 2.3%

Paper and Allied Products 25,024,170 0.4% — —

Primary Metals 1,765,606,935 30.2% 16,149,508 10.0%

Rubber and Miscellaneous Plastics 210,345,938 3.6% — —

Other Manufacturing 407,530,142 7.0% 100,265,719 62.1%

TRANSPORTATION AND PUBLIC UTILITIES 1,560,209,026 26.6% 381,783 0.2%

Air Transportation 1,376,039,006 23.5% — —

Other Transportation and Utilities 184,170,020 3.1% 381,783 0.2%

WHOLESALE TRADE 63,759,150 1.1% 10,715,146 6.6%

RETAIL TRADE 92,625,204 1.6% 745,161 0.5%

FINANCE, INSURANCE, AND REAL ESTATE 19,391,836 0.3% — —

SERVICES 157,185,452 2.7% 11,763,214 7.3%

TOTAL $5,849,909,054 100.0% $161,550,146 100.0%

Sources: PBGC Fiscal Year Closing File (9/30/97) and PBGC Case Administration System.

Values and distributions are subject to change as PBGC completes reviewing, establishes termination dates and determines recoveries.

Due to rounding of individual items, percentages may not add up to 100 percent.
Table B-4

Distribution of Liabilities, Underfunding, and Overfunding by Funding Ratio (1996)

Funding Ratio Total Vested Liabilities

(in millions)

Vested Underfunding

(in millions)

Vested Overfunding

(in millions)

Under 40% $1,007 0.1% $742 1.2% — —

40% - 49% 1,307 0.1% 692 1.1% — —

50% - 59% 4,453 0.4% 1,899 3.0% — —

60% - 69% 36,790 3.4% 12,836 20.2% — —

70% - 79% 60,443 5.5% 14,560 22.9% — —

80% - 89% 125,467 11.5% 17,999 28.3% — —

90% - 99% 288,227 26.4% 14,954 23.5% — —

100% - 109% 260,634 23.8% — — $14,565 14.2%

110% - 119% 136,769 12.5% — — 20,325 19.8%

120% - 129% 92,770 8.5% — — 22,123 21.6%

130% - 139% 36,022 3.3% — — 13,709 13.4%

140% - 149% 25,929 2.4% — — 12,430 12.1%

150% - 159% 7,045 0.6% — — 4,055 4.0%

160% and Over 16,261 1.5% — — 15,400 15.0%

TOTAL $1,093,125 100.0% $63,682 100.0% $102,606 100.0%

Source: Standard and Poor’s Compustat Data (12/31/95) with adjustments from the PBGC Top 50 process.

Total Liabilities represent total liabilities for all PBGC covered plans — including overfunded plans.

Total Underfunding is total gross underfunding for all PBGC covered plans.

Due to rounding of individual items, dollar totals may not add up to totals in other tables, and percentages may not add up to 100 percent.

Liabilities are adjusted to the GAM83 Mortality table and the interest rate that would have been used to purchase an annuity at the beginning of 1996.

In previous years, PBGC estimates of total pension underfunding were based on information received from companies during the process of creating a list of the 50 companies with

the largest underfunded pensions. With the reporting requirements in the Retirement Protection Act of 1994 fully implemented, the agency discontinued the Top 50 process in 1997.

Using data obtained for the last Top 50 list, PBGC reported overall pension underfunding of $64 billion at the end of 1995. While the agency does not have a comparable estimate for

aggregate underfunding as of the end of 1996, various other indices used by PBGC indicate that a moderate reduction in underfunding did take place in 1996.
Table B-5

Various Measures of Underfunding (1990-1997)

(A) (C) (D)

Form (B) Variable Section (E)

Beginning 5500 Top 50 / Rate 4010 Reasonably

of Filings Compustat Premium Filings Possible

Year

1990 $35.69 $26.78 $41.28 — $8.00

1991 34.48 32.80 43.32 — 13.00

1992 47.53 38.19 53.66 — 12.36

1993 59.62 53.07 43.80 — 13.06

1994 80.28 71.00 65.67 — 18.23

1995 45.65 31.39 33.37 — 14.56

1996 — 63.68 82.23 $38.10 22.47

1997 — — 51.57 28.70 20.73

(in billions) (in billions) (in billions) (in billions) (in billions)

Definitions:

(A) Underfunding calculated from IRS Form 5500 filings.

(B) Data collected from companies in the preparation of the PBGC Top 50 list of largest underfunded plan sponsors.

Data for other firms is obtained from Standard & Poor’s Compustat.

(C) Underfunding data from PBGC premium filings used to calculate the Variable Rate Premium.

(D) Data from filings made under Section 4010 of ERISA, which requires that companies annually provide PBGC with information on their underfunded plans, if the firm’s

aggregate underfunding exceeds $50 million, or there is an outstanding lien for missed contributions exceeding $1 million or an outstanding funding waiver of more

than $1 million.

Firms and plans included in the total may differ from year-to-year.

(E) Underfunding for plan sponsors with less than investment grade bond ratings.

Data calculated using method (B) for 1990-1996, method (C) for 1997.
Table B-6

Funded Status of PBGC Insured Plans by Industry (1987 and 1996)

Industry

Industry Underfunding

(1987)

(in millions)

< 70% 70%-79% 80%-89% 90%

AGRICULTURE, MINING, AND CONSTRUCTION $84 $451 $740 $47 $333 1.6% $1,321 2.1%

MANUFACTURING 13,809 8,888 10,382 12,203 16,026 77.5% 45,282 71.1%

Chemical and Allied Products 287 1,032 1,342 919 461 2.2% 3,580 5.6%

Electronic, Electrical Equipment 440 502 370 168 563 2.7% 1,481 2.3%

Fabricated Metal Products 249 1,477 204 50 1,618 7.8% 1,980 3.1%

Food and Tobacco Products 310 311 1,304 282 1,005 4.9% 2,207 3.5%

Motor Vehicle Equipment 1,614 191 778 5,968 2,874 13.9% 8,552 13.4%

Machinery and Computer Equipment 3,231 939 1,249 2,308 890 4.3% 7,727 12.1%

Paper and Allied Products 213 202 1,037 371 459 2.2% 1,823 2.9%

Petroleum Refining 0 72 938 316 109 0.5% 1,326 2.1%

Primary Metals 5,544 2,411 774 250 5,091 24.6% 8,979 14.1%

Scientific and Medical Instruments 338 429 1,206 411 117 0.6% 2,384 3.7%

Other Manufacturing 1,583 1,321 1,180 1,160 2,840 13.7% 5,243 8.2%

TRANSPORTATION AND PUBLIC UTILITIES 915 2,481 4,255 1,455 1,727 8.4% 9,106 14.3%

Air Transportation 607 1,077 1,832 630 1,138 5.5% 4,146 6.5%

Other Transportation 88 276 1,232 50 320 1.6% 1,645 2.6%

Public Utilities 221 1,128 1,190 776 269 1.3% 3,315 5.2%

WHOLESALE TRADE 97 389 195 107 154 0.7% 788 1.2%

RETAIL TRADE 336 1,140 516 145 783 3.8% 2,136 3.4%

FINANCE, INSURANCE, AND REAL ESTATE 103 623 1,105 909 587 2.8% 2,741 4.3%

SERVICES 677 361 651 88 916 4.4% 1,777 2.8%

NON-PROFIT ORGANIZATIONS 148 207 176 0 166 0.8% 530 0.8%

TOTAL $16,168 $14,540 $18,019 $14,954 $20,692 100.0% $63,682 100.0%

Industry Underfunding

(1996)

(in millions)

Source: Standard and Poor’s Compustat Data (12/31/95) with adjustments from the PBGC Top 50 process.

Due to rounding of individual items, percentages may not add up to 100 percent.

In previous years, PBGC estimates of total pension underfunding were based on information received from companies during the process of creating a list of the 50 companies with

the largest underfunded pensions. With the reporting requirements in the Retirement Protection Act of 1994 fully implemented, the agency discontinued the Top 50 process in 1997.

Using data obtained for the last Top 50 list, PBGC reported overall pension underfunding of $64 billion at the end of 1995. While the agency does not have a comparable estimate for

aggregate underfunding as of the end of 1996, various other indices used by PBGC indicate that a moderate reduction in underfunding did take place in 1996.

Underfunding by Funding Ratio

(1996)

(in millions)
Table B-7

Concentration of Underfunding (1989-1996)

Beginning All Vested Top 10 Firms Vested Rest of Top 50 Firms Rest of Vested

of Year Underfunding Underfunding Vested Underfunding Underfunding

(in millions) (in millions) (in millions) (in millions)

1989 $26,340 $11,800 44.8% $5,452 20.7% $9,087 34.5%

1990 35,689 17,381 48.7% 5,960 16.7% 12,348 34.6%

1991 34,485 22,312 64.7% 5,656 16.4% 6,518 18.9%

1992 47,528 29,705 62.5% 6,892 14.5% 10,931 23.0%

1993 59,622 33,508 56.2% 9,241 15.5% 16,873 28.3%

1994 80,279 33,717 41.9% 11,239 14.0% 35,323 44.0%

1995 45,652 12,006 26.3% 7,670 16.8% 25,976 56.9%

1996 63,682 17,712 27.8% 13,084 20.5% 32,886 51.6%

Source: Standard & Poor’s Compustat data with adjustments from the PBGC Top 50 process.

Due to rounding of individual items, percentages may not add up to 100 percent.

In previous years, PBGC estimates of total pension underfunding were based on information received from companies during the process of creating a list of the 50 companies with

the largest underfunded pensions. With the reporting requirements in the Retirement Protection Act of 1994 fully implemented, the agency discontinued the Top 50 process in 1997.

Using data obtained for the last Top 50 list, PBGC reported overall pension underfunding of $64 billion at the end of 1995. While the agency does not have a comparable estimate for

aggregate underfunding as of the end of 1996, various other indices used by PBGC indicate that a moderate reduction in underfunding did take place in 1996.
Table B-8

Distribution of Plans and Participants by Variable Rate Premium Status (1992-1997)

Participants In Participants In

Plans Paying Plans Paying Plans Paying Plans Paying Variable Rate

Beginning Variable Rate Flat Rate Variable Rate Flat Rate Premium

of Year Premium Premium Only Premium Premium Only Interest Rate*

1992 30.8% 69.2% 27.4% 72.6% 6.16%

1993 36.4% 63.6% 24.9% 75.1% 5.95%

1994 43.1% 56.9% 34.2% 65.8% 5.00%

1995 38.5% 61.5% 23.8% 76.2% 6.30%

1996 46.8% 53.2% 32.1% 67.9% 4.85%

1997 37.0% 63.0% 19.4% 80.6% 5.24%

* Interest rates for valuing vested benefits for PBGC Variable Rate Premium for plans with premium payment years beginning in January of the respective year.
Table B-9

Pension Funding by State and Region (1996)

State/Region Assets

(in millions)

Overfunding

(in millions)

Liabilities

(in millions)

Assets

(in millions)

Liabilities

(in millions)

Assets

(in millions)

Underfunding

(in millions)

Liabilities

(in millions)

OVERFUNDED UNDERFUNDED TOTAL

NEW ENGLAND $102,596 $85,658 $16,938 $16,904 $19,938 $3,035 $119,499 $105,596

Connecticut 78,816 65,090 13,726 11,812 13,483 1,671 90,628 78,573

Maine 127 110 18 617 735 118 744 845

Massachusetts 18,605 16,187 2,418 3,416 4,336 921 22,020 20,523

New Hampshire 450 417 33 531 702 171 981 1,119

Rhode Island 4,534 3,804 730 468 618 151 5,002 4,422

Vermont 63 49 14 60 64 4 124 113

MID-ATLANTIC 248,410 216,316 32,094 146,887 170,322 23,435 395,297 386,639

Delaware 24,578 24,064 513 259 357 98 24,837 24,421

District of Columbia 2,285 1,534 751 2,394 2,810 415 4,679 4,344

Maryland 9,356 8,597 758 10,267 11,160 893 19,622 19,758

New Jersey 13,095 11,705 1,390 22,460 25,980 3,519 35,555 37,685

New York 132,357 113,273 19,085 74,588 82,662 8,074 206,946 195,935

Pennsylvania 50,760 42,556 8,204 28,914 37,517 8,604 79,674 80,074

Virginia 15,295 14,047 1,248 7,176 8,651 1,475 22,471 22,698

West Virginia 685 540 145 828 1,186 357 1,513 1,726

SOUTHEAST 50,861 39,610 11,251 24,149 27,994 3,844 75,011 67,604

Alabama 1,604 1,337 267 570 690 120 2,174 2,027

Arkansas 1,046 914 132 58 76 19 1,104 990

Florida 4,981 3,527 1,454 3,261 3,949 688 8,242 7,476

Georgia 32,523 25,225 7,298 10,093 11,761 1,669 42,615 36,986

Kentucky 434 312 122 933 1,041 108 1,367 1,353

Louisiana 1,788 1,341 447 1,718 1,966 247 3,507 3,306

Mississippi 237 201 36 101 117 16 338 318

North Carolina 3,399 2,779 620 4,580 5,022 442 7,979 7,800

South Carolina 1,673 1,459 214 313 437 125 1,985 1,896

Tennessee 3,177 2,515 662 2,524 2,935 411 5,701 5,450

GREAT LAKES 162,290 140,848 21,442 158,051 180,527 22,476 320,341 321,375

Illinois 37,922 30,168 7,754 37,400 44,700 7,300 75,322 74,869

Indiana 7,326 6,658 668 3,384 4,213 829 10,710 10,871

Michigan 77,880 70,373 7,507 81,186 88,510 7,323 159,066 158,882

Minnesota 8,381 6,723 1,658 13,354 15,611 2,257 21,735 22,333

Ohio 25,929 22,845 3,084 20,012 24,260 4,248 45,941 47,105

Wisconsin 4,853 4,082 771 2,714 3,232 518 7,567 7,314
Table B-9 (continued)

Pension Funding by State and Region (1996)

State/Region Assets

(in millions)

Overfunding

(in millions)

Liabilities

(in millions)

Assets

(in millions)

Liabilities

(in millions)

Assets

(in millions)

Underfunding

(in millions)

Liabilities

(in millions)

OVERFUNDED UNDERFUNDED TOTAL

MIDWEST $21,342 $18,228 $3,114 $10,848 $12,812 $1,964 $32,190 $31,040

Iowa 1,400 1,163 237 860 1,003 142 2,260 2,166

Kansas 556 531 25 288 358 70 843 889

Missouri 18,812 16,045 2,767 8,194 9,746 1,553 27,006 25,792

Nebraska 297 234 63 1,397 1,577 180 1,693 1,811

North Dakota 213 190 22 78 95 16 291 285

South Dakota 66 65 0 31 33 2 97 99

SOUTHWEST 34,831 29,670 5,161 29,569 34,403 4,834 64,400 64,072

Arizona 702 653 49 1,114 1,243 128 1,816 1,896

New Mexico 2,176 1,650 526 287 307 21 2,462 1,957

Oklahoma 1,599 1,312 287 1,656 1,958 302 3,255 3,270

Texas 30,354 26,054 4,299 26,512 30,895 4,383 56,866 56,950

ROCKY MOUNTAIN 15,104 11,474 3,630 4,410 5,061 651 19,515 16,535

Colorado 12,642 9,217 3,425 2,920 3,290 370 15,563 12,508

Idaho 1,425 1,333 91 466 604 138 1,891 1,937

Montana 246 228 17 17 18 1 262 246

Nevada 396 356 40 88 109 21 484 464

Utah 365 312 53 910 1,031 121 1,275 1,343

Wyoming 31 27 4 9 9 0 40 36

PACIFIC 81,235 72,264 8,971 23,985 27,319 3,334 105,220 99,583

Alaska 156 94 62 54 60 6 210 154

California 60,630 53,225 7,406 20,352 22,852 2,501 80,982 76,077

Hawaii 1,185 1,092 93 356 456 99 1,542 1,548

Oregon 1,615 1,350 266 1,735 2,225 490 3,350 3,574

Washington 17,649 16,504 1,145 1,488 1,726 238 19,137 18,230

PUERTO RICO 30 26 4 532 636 104 562 662

U.S. TERRITORIES 0 0 0 13 19 6 13 19

American Samoa 0 0 0 0 0 0 0 0

Guam 0 0 0 3 3 0 3 3

Virgin Islands 0 0 0 10 16 6 10 16

FOREIGN COUNTRIES 0 0 0 0 0 0 0 0

TOTAL $716,700 $614,094 $102,606 $415,349 $479,031 $63,682 $1,132,049 $1,093,125

Source: Standard and Poor’s Compustat Data (12/31/95) with adjustments from the PBGC Top 50 process.

Liabilities are adjusted to the GAM83 Mortality table and the interest rate that would have been used to purchase an annuity at the beginning of 1996.

Due to rounding of individual items, totals may not exactly equal those in other tables or add up exactly across columns.

Funding data is reported by state of plan administration.

In previous years, PBGC estimates of total pension underfunding were based on information received from companies during the process of creating a list of the 50 companies with

the largest underfunded pensions. With the reporting requirements in the Retirement Protection Act of 1994 fully implemented, the agency discontinued the Top 50 process in 1997.

Using data obtained for the last Top 50 list, PBGC reported overall pension underfunding of $64 billion at the end of 1995. While the agency does not have a comparable estimate for

aggregate underfunding as of the end of 1996, various other indices used by PBGC indicate that a moderate reduction in underfunding did take place in 1996.
Table B-10

Pension Data by State* and Region

State/Region Plans Claims Plans Participants Plans Participants Payees Payments

CLAIMS

1975-1997

COVERAGE

1997

BENEFITS PAID

1997 Underfunded Total

NEW ENGLAND 312 $376,629,038 1,885 966,383 3,389 1,886,904 14,656 $38,724,749

Connecticut 82 228,587,457 699 467,600 1,220 707,175 5,052 15,498,401

Maine 7 842,688 82 55,960 178 145,400 1,277 2,195,013

Massachusetts 163 88,815,920 784 312,980 1,402 713,785 5,281 12,864,382

New Hampshire 15 9,151,656 119 69,371 195 142,096 1,102 3,823,082

Rhode Island 38 34,188,034 148 39,309 278 109,051 1,315 2,205,810

Vermont 7 15,043,283 53 21,163 116 69,396 629 2,138,061

MID-ATLANTIC 861 3,047,519,552 8,005 3,686,819 14,425 7,395,604 55,694 217,845,490

Delaware 3 247,439 124 45,543 210 165,228 545 1,966,192

District of Columbia 11 4,243,804 145 19,920 336 49,568 155 535,791

Maryland 55 59,954,491 482 403,412 836 710,480 2,049 9,178,695

New Jersey 132 107,152,119 1,565 495,143 2,685 1,116,941 5,474 18,578,694

New York 349 1,836,763,995 3,347 1,022,571 6,009 2,220,663 13,254 51,734,124

Pennsylvania 242 537,704,632 1,766 959,473 3,202 1,678,717 26,916 107,865,097

Virginia 27 8,805,831 459 557,679 912 1,153,291 3,417 10,634,563

West Virginia 42 492,647,241 117 183,078 235 300,715 3,884 17,352,334

SOUTHEAST 184 150,303,174 2,478 2,649,336 4,802 6,179,527 46,263 201,652,256

Alabama 14 9,053,744 186 134,078 340 383,329 2,602 6,823,181

Arkansas 7 4,845,856 79 32,374 196 214,796 1,100 2,460,749

Florida 42 42,789,077 559 863,069 1,055 1,506,880 20,712 119,991,876

Georgia 24 26,014,277 428 316,947 760 968,236 6,311 31,816,102

Kentucky 12 6,645,862 242 296,881 432 528,730 1,724 3,716,157

Louisiana 20 7,749,056 149 188,582 350 525,425 1,503 4,541,552

Mississippi 4 856,983 39 60,802 160 178,446 794 1,556,358

North Carolina 25 9,963,601 363 345,753 716 902,145 4,080 13,911,000

South Carolina 5 59,414 164 223,187 285 452,724 2,812 6,968,543

Tennessee 31 42,325,304 269 187,663 508 518,816 4,625 9,866,738

GREAT LAKES 733 1,400,559,038 5,873 3,957,335 9,989 7,088,281 58,461 212,949,283

Illinois 156 188,664,114 1,739 911,965 2,881 1,701,848 7,499 21,357,261

Indiana 71 54,868,600 470 412,416 871 707,175 9,336 32,740,621

Michigan 202 228,392,178 1,121 859,147 1,887 1,278,864 10,376 30,181,184

Minnesota 26 115,232,760 424 453,711 716 687,349 3,636 12,969,447

Ohio 219 547,944,192 1,548 785,632 2,630 1,668,803 22,506 99,635,684

Wisconsin 59 265,457,194 571 534,464 1,004 1,044,241 5,108 16,065,086
Table B-10 (continued)

Pension Data by State* and Region

State/Region Plans Claims Plans Participants Plans Participants Payees Payments

CLAIMS

1975-1997

COVERAGE

1997

BENEFITS PAID

1997 Underfunded Total

MIDWEST 83 $144,617,563 853 763,019 1,820 1,837,336 8,811 $26,186,661

Iowa 27 86,227,536 231 217,090 508 373,415 6,167 19,088,752

Kansas 18 30,891,675 147 122,776 272 360,197 501 1,383,854

Missouri 33 20,066,864 316 258,686 694 793,094 1,761 4,459,336

Nebraska 3 7,302,755 102 104,330 232 201,579 290 928,775

North Dakota 2 128,733 28 24,595 63 56,177 39 105,604

South Dakota 0 0 29 35,542 51 52,873 53 220,340

SOUTHWEST 113 169,362,756 1,470 1,673,302 2,508 2,891,491 9,335 33,237,424

Arizona 20 6,601,577 260 235,146 427 456,029 1,643 6,485,184

New Mexico 6 10,376,974 64 39,682 147 142,096 584 2,338,638

Oklahoma 15 44,564,316 184 185,447 303 290,801 999 2,073,230

Texas 72 107,819,889 962 1,213,027 1,631 2,002,564 6,109 22,340,372

ROCKY MOUNTAIN 33 238,827,032 417 369,911 863 1,021,108 4,829 28,730,553

Colorado 11 223,312,424 231 119,065 401 370,110 2,794 21,403,775

Idaho 6 12,412,804 42 51,104 85 105,746 673 1,914,649

Montana 3 252,370 15 12,707 61 95,832 92 378,533

Nevada 6 550,184 44 112,335 79 191,665 662 2,856,224

Utah 6 1,578,349 73 67,240 203 178,446 532 1,912,578

Wyoming 1 720,901 12 7,460 34 79,309 76 264,794

PACIFIC 173 316,644,546 2,761 2,037,084 5,112 4,679,022 13,097 55,530,869

Alaska 4 3,110,048 32 36,879 52 52,873 31 82,619

California 125 258,064,688 2,107 1,503,492 3,842 3,363,807 10,142 43,341,291

Hawaii 15 16,402,128 162 54,114 340 115,660 1,081 5,134,322

Oregon 16 34,918,805 192 146,696 372 307,324 757 2,380,524

Washington 13 4,148,877 268 295,903 506 839,358 1,086 4,592,113

PUERTO RICO 8 5,446,355 73 37,042 126 65,215 1,171 4,726,160

U.S. TERRITORIES 0 0 11 1,111 11 1,111 80 394,349

FOREIGN COUNTRIES — — — — — — 714 2,998,970

TOTAL 2,500 $5,849,909,054 23,826 16,141,343 43,047 33,045,597 213,111 $822,976,766

Sources: PBGC Fiscal Year Closing File (9/30/97), Employee Benefits Supplement to the April, 1993 Current Population Survey, and PBGC Case Administration System,

PBGC Premium Filings, and PBGC Participant System (PRISM), fiscal year calculations.

Due to rounding of individual items, totals may not equal those in other tables.

*Claims data by state of plan administration; benefits and coverage data by state of payee residence.
Table B-11

PBGC Maximum Guaranteed Benefits

Year of Plan

Termination

The Employee Retirement Income Security Act of 1974 (ERISA) mandates that the maximum guaranteed amount be adjusted annually based on changes in the Social Security contribution and benefit base.

The maximum guarantee applies to workers who retire at age 65 or later.

Maximum guarantees are reduced for retirees taking earlier retirement or electing survivor’s benefits.

In some instances, where a pension plan has adequate resources or PBGC recovers sufficient amounts, a participant may receive benefits in excess of the maximum guarantee.

Maximum Monthly

Guarantee

Maximum Annual

Guarantee

1988 $1,909.09 $22,909.08

1989 2,028.41 24,340.92

1990 2,164.77 25,977.24

1991 2,250.00 27,000.00

1992 2,352.27 28,227.24

1993 2,437.50 29,250.00

1994 2,556.82 30,681.84

1995 2,573.86 30,886.32

1996 2,642.05 31,704.60

1997 2,761.36 33,136.32

1998 2,880.68 34,136.32
Table B-12

PBGC Premium Schedule

For Plan Years

Beginning

Flat Rate

Premium

Variable Rate

Premium

September 2, 1974 - December 31, 1977 $1.00 —

January 1, 1978 - December 31, 1985 2.60 —

January 1, 1986 - December 31, 1987 8.50 —

January 1, 1988 - December 31, 1990 16.00 $6 per $1,000 of unfunded vested benefits

(Maximum of $34 per participant)

January 1, 1991 - June 30, 1994 19.00 $9 per $1,000 of unfunded vested benefits

(Maximum of $53 per participant)

July 1, 1994 - June 30, 1995 19.00 $9 per $1,000 of unfunded vested benefits

(Maximum of $53 per participant plus 20% of uncapped

variable premium in excess of $53 per participant)

July 1, 1995 - June 30, 1996 19.00 $9 per $1,000 of unfunded vested benefits

(Maximum of $53 per participant plus 60% of uncapped

variable premium in excess of $53 per participant)

On or After July 1, 1996 19.00 $9 per $1,000 of unfunded vested benefits

(No maximum)
Pension Benefit Guaranty Corporation

1200 K Street, N.W.

Washington, DC 20005

http://www.pbgc.gov