Even so, according to a Dow Jones news report, Ford officials say they aren’t touching their assumed return rate on their pension assets – now at an annual 9.5% – until the end of the year. At that point, the company has scenarios calling for a 20% 2003 return, a 9% annual return, and one coming in at 8%.
Over 30 years, the company said it has earned an average of 9.3% on its pension assets, according to the report.
As of September 30, Ford had a $25.7-billion cash balance, which the company said would allow it to meet projected obligations, Dow Jones said.
Ford’s pension covers about 300,000 retired and active workers.
« SURVEY SAYS: Are Canadian Prescriptions an Rx For Drug Costs?