As the transaction does not include the pension plan, PBGC acted to take over the plan effective Jan. 2, 2001. PBGC administers the plan as trustee and took over benefit payments to covered workers on Apr. 1, 2001.
Further information is available for retirees currently receiving payments.
The PBGC wants to assure Grand Union workers and retirees that their pensions are protected to the extent provided by law and that benefit payments to retirees will continue uninterrupted. The majority of participants will receive the benefits they earned under the plans. However, federal pension law limits the type and amount of benefits that PBGC guarantees. These amounts are adjusted for retirees at other ages or those who elect survivor benefits. Also, other legal limits may apply to higher salaried employees and some early retirement benefits.