[STRONG][FONT face=Times New Roman][FONT size=4][SPAN class=t]CSFB: 26 Companies May Take Big Pension-Related Hits To Equity[/SPAN] [/FONT][/FONT][/STRONG][BR][BR]
[DIV class=ar][FONT face=Times New Roman size=3]NEW YORK (Dow Jones) - Twenty-six companies in the Standard & Poor's 500-stock index may suffer big reductions in their shareholder equity in the months ahead related to anticipated underfunding in their pension plans, according to a Credit Suisse First Boston report.[/FONT][BR][BR][FONT face=Times New Roman size=3]That requires the company to add a liability on its balance sheet, which has the effect of reducing shareholder equity, which is assets minus liabilities. [/FONT][BR][BR][FONT face=Times New Roman size=3]The matter had started coming to light even before the CSFB report. Delta Air Lines Inc., for instance, one of the companies on the CSFB list, said last month that it would have to take a charge to equity tied to pension underfunding that would be big enough to trip one of its debt covenants.[/FONT][/DIV]
[DIV class=ar][FONT face=Times New Roman size=3]NEW YORK (Dow Jones) - Twenty-six companies in the Standard & Poor's 500-stock index may suffer big reductions in their shareholder equity in the months ahead related to anticipated underfunding in their pension plans, according to a Credit Suisse First Boston report.[/FONT][BR][BR][FONT face=Times New Roman size=3]That requires the company to add a liability on its balance sheet, which has the effect of reducing shareholder equity, which is assets minus liabilities. [/FONT][BR][BR][FONT face=Times New Roman size=3]The matter had started coming to light even before the CSFB report. Delta Air Lines Inc., for instance, one of the companies on the CSFB list, said last month that it would have to take a charge to equity tied to pension underfunding that would be big enough to trip one of its debt covenants.[/FONT][/DIV]
