PBGC Takes on Pensions of Chicago Bank

September 30, 2011 (PLANSPONSOR.com) - The Pension Benefit Guaranty Corporation (PBGC) will pay the retirement benefits of more than 580 workers and retirees of Chicago-based Corus Bankshares, Inc., and its subsidiary Corus Bank.

Corus Bank went into FDIC receivership in 2009. The PBGC stepped in because Corus is in bankruptcy and its pensions will not continue under its plan of reorganization.     

The agency estimates the Corus pension plan has $19.7 million in assets to cover $32.3 million in benefits. It expects to cover virtually all of the $12.6 million shortfall.