Principal Acquires ESOP Administrator

December 19, 2002 ( - The Principal Financial Group has agreed to pick up a Wisconsin retirement plan administrator, which specializes in ESOPs.

According to a news media announcement, Principal will acquire Benefit Consultants, Inc. (BCI Group) an Appleton, Wisconsin firm, in a deal expected to close in January. Terms of the deal were not disclosed.

EGTRRA increased incentives for large private companies and public companies to establish ESOPs as the qualified plan holding employer securities to receive a corporate tax deduction on dividends.

BCI Group services more than 40 of the country’s 100 largest majority owned ESOP companies and supports nearly 300,000 ESOP participants, according to the announcement.