RYANAIR CLOSES DEFINED BENEFIT PENSION SCHEME

RNS Number : 3278X

Ryanair Holdings PLC

09 January 2014

 



RYANAIR CLOSES DEFINED BENEFIT PENSION SCHEME

ON 30^TH DEC 2013

SCHEME FULLY FUNDED & TOP UP AGREED WITH TRUSTEES

FOR ALL 121 MEMBERS

Ryanair, Ireland's favourite airline, today (9 Jan) confirmed that its Irish Defined Benefit Pension Scheme ("DB Scheme") was wound up by agreement with the Trustees on 30^th December 2013.

Following protracted negotiations with the Trustees, Ryanair agreed to fully fund a deficit of €9.7m and to pay an additional top up of €2.8m into the DB Scheme. The DB Scheme which has just 121 active members, currently covers less than 1.5% of Ryanair's over 9,000 strong team as it was closed to new members in January 2000, 14 years ago. All 121 active members of the DB Scheme are now able to join the Ryanair Defined Contribution Scheme ("DC Scheme") with effect from January 2014. 

Ryanair's Deputy CEO & CFO Howard Millar said:

"With only 121 active members and a deficit of just under €10m, the Board of Ryanair believes that it is the appropriate time to wind up the DB Scheme. By fully funding the deficit, and providing an additional top up of €2.8m to enhance transfer values, Ryanair has effectively eliminated pension liabilities from its balance sheet.

This is in marked contrast to many of our competitor airlines, whose pension schemes are running enormous deficits, in excess of hundreds of millions or billions.   

All active members of the Ryanair DB Scheme now have certainty that there is no deficit in the scheme as at 30^th December 2013, and they will enjoy the benefits of the additional top up, which will enhance their transfer values.  Going forward, all of these 121 individuals are free to join the Ryanair DC Scheme."

For further information

please contact:          

Robin Kiely                            Joe Carmody 

                                    Ryanair Ltd                            Edelman Ireland

                                    Tel: [phone]              Tel: [phone]

                                   [e-mail]               [e-mail]                                                                                  

Follow us on Twitter: @Ryanair

Note to Editors

Now that the Ryanair DB Scheme has been fully funded and topped up, Ryanair looks forward to hearing from IALPA, BALPA, and other pilot unions as to what they are doing about the enormous deficits which they continue to preside over in the pension schemes of many of Ryanair's competitor airlines.

 

END

 

 

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