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Pension corp insures Merchant Retail Group’s scheme

Pension Corporation’s insurance subsidiary Pension Insurance Corporation has agreed to insure the Merchant Retail Group pension scheme.

The news comes a week after the firm announced it had secured a deal to insure Thorn Limited’s pension fund in the largest ever UK pension insurance buyout. The deal involves the settlement of £1.1bn worth of pension liabilities and the securing of benefits for over 15,000 scheme members.

Pension Insurance Corporation says the conservative asset and liability management portfolio it has proposed for the Merchant Retail Group’s scheme will mean members’ benefits are secured for the very long-term.

Scheme trustee chairman David Wadham says: “I believe that Pension Insurance Corporation meets our members’ needs for security for the future, and on that basis I am delighted that we were able to appoint them.”
 
Pension Corporation executive vice chairman John Coomber says: “We are happy that we were able to meet the needs of the trustees and offer the scheme members increased levels of security. This is the second pension scheme PIC has insured in as many weeks, including the largest ever, and we look forward to completing more buy-outs in our full pipeline for 2009.”

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