Judge Allows Delphi To Freeze Pension Payments

Law360, New York (September 24, 2008, 12:00 AM EDT) -- Delphi Corp. has reportedly been given the go-ahead to stop payment on its pension plans for hourly and salaried workers in an effort to lighten its load and clear the way for an exit from bankruptcy.

On Tuesday, U.S. Bankruptcy Judge Robert Drain granted Delphi's request, endorsing a replacement plan for workers that would be based on defined contributions put forth by the auto parts maker, The Wall Street Journal reported.

Judge Drain batted down an objection from the committee representing unsecured creditors to approve the...
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