(Reuters) -RTX Corp said on Thursday it will incur non-cash pretax charge of about $300 million in the fourth quarter related to the transfer of $2.5 billion in pension obligations to a Prudential Financial unit through an annuity buyout. The annuity buyout will shift responsibility for payments to about 60,000 retirees and beneficiaries, or about […]
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RTX to take $300 million fourth quarter charge tied to pension buyout
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(Reuters) -RTX Corp said on Thursday it will incur non-cash pretax charge of about $300 million in the fourth quarter related to the transfer of $2.5 billion in pension obligations to a Prudential Financial unit through an annuity buyout.
The annuity buyout will shift responsibility for payments to about 60,000 retirees and beneficiaries, or about one-third of those covered by the defense company’s plan, to the insurer.
The transaction is expected to close by December 30, 2025.
(Reporting by Aishwarya Jain in Bengaluru; Editing by Leroy Leo)