BLUE BELL, PA — Unisys Corp. (NYSE: UIS) transferred about $200 million in U.S. pension obligations to New York Life Insurance Co., moving the technology company closer to its goal of shedding $600 million in qualified defined-benefit pension liabilities.
The transaction brings Unisys’ cumulative reduction in U.S. pension liabilities to approximately $520 million since July 2025, when the company outlined its capital structure and pension strategy.
Unisys expects to complete one additional pension settlement by January 2027, which would move the company closer to its $600 million reduction target.
Under the latest agreement, Unisys purchased a roughly $200 million group annuity contract from New York Life using pension plan assets. New York Life will assume responsibility for pension benefits covering approximately 1,700 retirees and beneficiaries whose monthly benefits fall below specified thresholds.
The gross amount, timing and form of monthly pension payments will not change as a result of the transfer.
Unisys expects to record a one-time, non-cash, pre-tax settlement charge of approximately $150 million in the third quarter of 2026.
The annuity purchase will be funded by the pension trust and will not affect the company’s cash position.
The transaction advances a strategy designed to reduce Unisys’ pension liabilities and the future cost of ultimately removing its remaining U.S. pension obligations.
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