MutualFundWire.com
The insiders' edge for 40 Act industry executives!
an InvestmentWires' Publication
an InvestmentWires' Publication
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MutualFundWire.com
The insiders' edge for 40 Act industry executives!
an InvestmentWires' Publication |
|
Wednesday, February 20, 2002 Changing of the Guard USA Today Publisher Loosens 401k Ties Perhaps it is tougher when you employ the reporters. Gannett Company, the publisher of USA Today and perhaps your local paper as well, loosened the ties holding employees to Gannett stock in its 401(k) plan. Until the Gannett Board took action, employees could not diversify from Gannett stock gained through the employer match until they reached age 55. That option accounts for 13.5 percent of the plan's assets. The plan offers 12 investment choices, including a voluntary Gannett stock fund which holds 10 percent of plan assets. The changes will take effect next month. The recordkeeper for the $850 million plan is Hewitt Associates. "Our Board reviewed the 401(k) Plan restrictions and decided they simply were outmoded," explained Douglas H. McCorkindale, Gannett's chairman, president and chief executive officer. "While the Board considers Gannett stock to be an excellent investment, the directors want to provide our employees with the flexibility to plan their own financial future." * * * PBGC Pushes Tool Maker into Chapter 11 The PBGC has placed liens on two Vermont buildings owned by Boston-based Goldman Industrial Group forcing the machine tool company in chapter 11. The PBGC is seeking nearly $7.9 million the employer owes to its defined benefit plan. The company plans has closed units and has hired an investment banker to sell the Vermont businesses. * * * Changing of the Guard Remember when Japan's Nikkei index was closing in on the key 40,000 barrier and George Bush was a year into his presidency? We do. The date was December 29, 1989 and the Nikkei index topped the venerable Dow Jones Industrial Average by some 36,000 points (38,957 to 2763 for those tracking the score). You may not have noticed, but this month the Dow finally caught the Nikkei. Since 1989 the Nikkei has plunged 75 percent compared to the Dow's 253 percent rise. On February 1 the Dow actually closed higher than the Nikkei for the first time in memory. Since then, the two indices have been trading the lead (the Dow was at 9745 yesterday and the Nikkei at 9847) with the Dow landing on top seven times. Perhaps it is time for a contrarian trade -- buy Japan and sell the US anyone? * * * Financial Execs React to Enron Financial Executives International (FEI) has assembled a task force of financial executives from major multi-national corporations to examine the issues arising from the Enron bankruptcy. The group expects to create recommendations in the next 60 days that it will forward to Congress and the Securities and Exchange Commission. Printed from: MFWire.com/story.asp?s=27342 Copyright 2002, InvestmentWires, Inc. All Rights Reserved |