Friday, April 18, 2008

Fairness Hearing ~ VEBA~Goodyear~ USWA

As part of the required legal process to establish a Voluntary Employees’ Beneficiary Association trust (VEBA), a fairness hearing was held April 11 in U.S. District Court in Akron. A judgment was not announced by the court.The settlement agreement, which was filed October 29, 2007 and granted preliminary approval on December 14, reflects the terms of the agreement made between Goodyear and the United Steelworkers Union during 2006 contract negotiations. As required, after a judgment approving of the settlement agreement, the company will contribute $1 billion to the VEBA to provide health care benefits to current and future USW retirees. If the court approves the VEBA settlement, Goodyear’s obligations for retiree health care will be transferred to the trust. Creation of the VEBA will result in cost savings of approximately $110 million a year for the company. Once the required legal process is complete, Goodyear will eliminate approximately $1.2 billion liabilities for current and future post-employment health care benefits from its balance sheet.

Editorial : I feel another Big Bonu$ coming for good ole Bob Keegan CEO-Chairman of the Board and President of Goodyear ! Wow. Who`s gonna stop him... That's why he`s smiling !"roflmaon"...
"Oh The Blimp is flying High"

No comments: