PBGC Ends Dispute With Metaldyne, Gets $141M Claim

Law360, New York (February 17, 2010, 5:46 PM EST) -- The Pension Benefit Guaranty Corp., which previously had assumed responsibility for auto parts supplier Metaldyne Corp.'s pension plan, has received a $141.2 million claim as part of a settlement that purportedly will pave the way for the company's emergence from bankruptcy.

Under the settlement, disclosed Tuesday in a filing with the U.S. Bankruptcy Court for the Southern District of New York, the PBGC will be allowed an unsecured nonpriority claim of $141.2 million for unpaid pension plan liabilities.

However, the federal agency's recovery from the debtors'...
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