Rolls Cautions on Pension Gap

August 22, 2002 (PLANSPONSOR.com) - British aircraft engine-maker Rolls-Royce PLC announced that the unfunded portion of its pension fund may be as large as $1.5 billion due to the slide in the world's equity markets.

Company officials said its 2003 financial results could be significantly impacted by the ailing pension fund, according to a Reuters report.

Also in its public comments about its financial picture, Rolls-Royce said its first half 2002 net profit plummeted 81% to $25 million. First-half revenue was down 4.6% to $4.6 billion but the company ended the six months with firm orders worth $25.6 billion.

Get more!  Sign up for PLANSPONSOR newsletters.

Rolls Royce no longer makes luxury cars. That brand is owned by Volkswagen.

«