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Intact Financial Corporation, RSA UK Pension Trustees and Pension Insurance Corporation plc announce £6.5 billion UK pension buy-in agreement
Intact Financial Corporation, RSA UK Pension Trustees and Pension Insurance Corporation plc annou...
About this update from Intact Financial Corporation
[{"type":"text","content":"\n \n \n \n Intact Financial Corporation, RSA UK Pension Trustees and Pension Insurance Corporation plc announce £6.5 billion UK pension buy-in agreement\n \n \n /* Style Definitions */\nspan.prnews_span\n{\nfont-size:8pt;\nfont-family:\"Arial\";\ncolor:black;\n}\na.prnews_a\n{\ncolor:blue;\n}\nli.prnews_li\n{\nfont-size:8pt;\nfont-family:\"Arial\";\ncolor:black;\n}\np.prnews_p\n{\nfont-size:0.62em;\nfont-family:\"Arial\";\ncolor:black;\nmargin:0in;\n}\n.prngen2{\nPADDING-RIGHT:0.17em; PADDING-LEFT:0.17em; VERTICAL-ALIGN: BOTTOM; BORDER-TOP:black 1pt; BORDER-RIGHT:black 1pt; BORDER-BOTTOM:black 1pt; BORDER-LEFT:black 1pt\n}\n.prnml4{\nMARGIN-TOP:0em; MARGIN-RIGHT:0em; MARGIN-BOTTOM:0em; MARGIN-LEFT:0.33em !IMPORTANT\n}\n.prnbcc{\nBORDER-COLLAPSE: COLLAPSE; BORDER-TOP:1pt black; BORDER-RIGHT:1pt black; BORDER-BOTTOM:1pt black; BORDER-LEFT:1pt black\n}\n \n \n \n \n \n \n Canada NewsWire\n \n \n \n \n \n \n Removes pension exposure on Intact's balance sheet by fully insuring its UK defined benefit pension liabilities with PIC\n \n \n \n \n Maintains the security of benefits to\n \n RSA UK\n \n pension scheme members\n \n \n \n \n Eliminates annual £75 million funding contribution and releases approximately £150 million of capital\n \n \n \n \n Intact to make contribution of approximately £500 million, using excess capital, debt, hybrid capital and/or preferred shares to complete the buy-in\n \n \n \n \n Expected to improve Operating Return on Equity (OROE)\n \n 1\n \n by approximately 100 bps, with single-digit dilution to Book Value Per Share (BVPS)\n \n \n \n \n \n \n TORONTO\n \n \n ,\n \n \n Feb. 27, 2023\n \n \n /CNW/ - Intact Financial Corporation (TSX: IFC) (Intact, IFC or the Company) today announced that the RSA UK Pension Trustees have entered into an agreement with Pension Insurance Corporation plc (PIC) for Bulk Purchase Annuities (or \"buy-ins\") with respect to £6.5 billion of\n \n RSA UK\n \n pension plan liabilities. The buy-ins fully insure the defined benefit liabilities of the Royal Insurance Group Pension Scheme and the Sal Pension Scheme (the \"Pension Schemes\") to PIC, a specialist insurer of defined benefit pension schemes.\n \n \n \"The current market environment provides an excellent opportunity to remove UK pension exposure on IFC's balance sheet,\" said\n \n Louis Marcotte\...