Posted by Brian Marks on 03 May 2001 at 20:37:13:
In Reply to: Equitable Life's AGM posted by An_equitable_bod on 02 May 2001 at 19:54:37:
There are Equitable investors in my family also, but unlike "equitable
bod", I see the C-plan as the bigger issue.
It is true that "nobody has had a penny less than that which IBM promised on C Plan", but what IBM promised was zero increases. When asked to guarantee more, they said 'No'.
What IBM has promised is a lower bound, different from what has happened in practice and even further from what would have happened if our trustees had behaved like most trustees.
If the active C-planners retire and find their pension losing value on the
basis of "What IBM has promised" it will have a big effect. That is a worst case
scenario but there is a profit incentive for IBM US to make it happen and the
powers of retirees to stop it are not looking very reliable.