Pension Insurance Corporation is to insure the Liberty International Group retirement benefit scheme.

In return for fully insuring the liabilities of the scheme, PIC will receive assets amounting to GBP61m, comprising GBP46m in scheme assets and GBP15m additional company contribution.  The scheme has 203 members.
 
Liberty International is one of the UK’s largest listed property companies and a constituent of the FTSE 100 Index.

At 30 June 2009, adjusted, diluted shareholders’ funds amounted to GBP2.6bn and Liberty International owned GBP6.1bn of properties. UK regional shopping centres comprised 73 per cent and retail property in aggregate 86 per cent.

Liberty International converted into a UK real estate investment trust on 1 January 2007.
 
David Bramson, chairman of the scheme trustees, says: “Pension Insurance Corporation offers a strong proposition in securing member benefits for the long term. I am very pleased that we were able to conclude the transaction with PIC. The PIC team was very helpful and constructive in negotiations, helping us to achieve the best overall result for our members.”
 
John Coomber (pictured), chief executive, Pension Insurance Corporation, adds: “We are delighted to have been able to help Liberty International and its pension fund trustees bring security to the benefits of its members. Liberty deserves credit for using corporate resources to help achieve this. This is the second FTSE 100 risk transfer transaction which PIC has completed and I look forward to further transactions during 2010.”