SEC : $200 Billion lost in Pension Funds

Bloomberg ^

[BlackJack]

Washington, March 6 (Bloomberg) -- U.S. Securities and Exchange Commission officials say they're concerned that companies are obscuring their pension losses in federal filings and giving investors incomplete information.

Companies in the Standard & Poor's 500 Index lost more than $200 billion in the past two years in pension investments without clearly disclosing those losses in SEC filings, according to studies by investment banks Credit Suisse First Boston and UBS Warburg LLC.

[sourcery]

``We're talking to companies about cutting capital expenditures and hiring in order to have sufficient cash to fund pension deficits,'' Wagner says. ``These cuts will cause a definite ding in the U.S. economy.''

Wake up and smell reality. Denial will hurt far more than rational, constructive response.

[chance33_98]

Interesting, I was just reading a whitehouse press release from 1998 about $200 Billion aid package to Japan....

[ido_now]

Right on, BlackJack. But don't confuse those waiting for a "War Rally" with any facts, it makes them nervious.

Pension funds have lost much more than $200 billion, and most companies are still projecting 8-10% equity gains for future pension results. This will be the fourth year of equity declines. My prediction for what its worth down 30% this year.

It never ceases to amaze me the power of a person's own investments to influence to influence their ability to reason. This is why people can ride a stock down from $200 to 2 cents and expect to get their money back if they hold on for the "Long Haul", ha!