Plus   Neg

Legal & General Completes £4.4 Bln Buy-in With British Airways Pension Scheme

Legal & General Group Plc (LGEN.L) said that it has completed a 4.4 billion pounds buy-in for British Airways PLC's pension scheme, Airways Pension Scheme or "APS", covering nearly 22,000 pensioners. It is the largest ever bulk annuity policy arranged with a UK pension scheme and also included the conversion of existing longevity insurance into a bulk annuity.

The UK pension risk transfer or "PRT" market continues to demonstrate a high level of activity with Legal & General actively quoting on more than 20 billion pounds, of which more than 7 billion pounds were in exclusive negotiations at the time. Since then, Legal & General has completed 4.8 billion pounds of UK PRT transactions, including the APS buy-in, and is now actively quoting on 27 billion pounds of UK PRT deals.

Additionally Legal & General has continued to show strong momentum in International PRT, completing 191 million pounds of transactions since the end of June.

In aggregate, Legal & General has completed 6.0 billion pounds of global pension de-risking transactions year to date (UK PRT: 5.3 billion pounds, International PRT: 0.4 billion pounds, Longevity Insurance: 0.3 billion pounds). The financial metrics and Solvency II capital strain of these transactions are in line with previous levels reported by Legal & General.

For comments and feedback contact: editorial@rttnews.com

Business News

Quick Facts

Editors Pick
Alcoa Inc. (AA), the largest producer of aluminum in the US, Wednesday reported a third-quarter adjusted profit that trumped Wall Street estimates, driven largely by revenue growth. New York-based Alcoa reported third-quarter loss of $41 million or $0.22 per share, compared with profit of $113 million... Tesla Inc. (TSLA) CEO Elon Musk plans to buy $20 million of the luxury electric car company's stock, according to a filing with the Securities and Exchange Commission. "Separate and apart from the settlement, Elon has notified Tesla that he intends to purchase from Tesla, and Tesla expects that it... Tesla Inc. has acquired an 864,885-square meter plot in Shanghai's Lingang area for its new factory in China, the world's largest market for electric vehicles, according to media reports. The new factory will be the electric car maker's first Gigafactory outside the U.S. In July, Tesla confirmed it has signed a deal with the Shanghai Municipal Government to start building Gigafactory 3.
Follow RTT