FedEx Corp. is transferring $6 billion in U.S. pension obligations to MetLife Inc.

The deal covers the pension benefits of 41,000 retirees and beneficiaries who currently receive a monthly payout and meet certain conditions, the courier said in a statement Tuesday. Benefits won't change, FedEx said, without disclosing the cost of the transaction.

Employers have been stepping up efforts to shed pension risks as it's become increasingly expensive to offer such retirement plans, given low interest rates and higher fees paid to a government agency that backstops benefits. Prudential Financial Inc. has taken on obligations from companies including General Motors Co. and Verizon Communications Inc.

Complete your profile to continue reading and get FREE access to Treasury & Risk, part of your ALM digital membership.

  • Critical Treasury & Risk information including in-depth analysis of treasury and finance best practices, case studies with corporate innovators, informative newsletters, educational webcasts and videos, and resources from industry leaders.
  • Exclusive discounts on ALM and Treasury & Risk events.
  • Access to other award-winning ALM websites including and

© 2024 ALM Global, LLC, All Rights Reserved. Request academic re-use from All other uses, submit a request to [email protected]. For more information visit Asset & Logo Licensing.