Bakeries, Not PBGC, Responsible For $60M In Benefits

Law360, New York (December 2, 2009, 2:18 PM EST) -- In a stinging blow to Sara Lee Corp. and other members of the American Bakers Association Retirement Plan, a federal judge has backed the Pension Benefit Guaranty Corp.’s determination that the participating employers are obligated to cover $60 million in deficits left in the plan by formerly bankrupt member Interstate Bakeries Corp.

Judge Henry H. Kennedy Jr. of the U.S. District Court for the District of Columbia granted summary judgment to the PBGC, finding that the agency’s 2006 decision to reclassify the ABA plan as a...
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