Johnson Matthey announces that it has entered into a minimum 90 day consultation period over the structure of future pension arrangements for its UK employees.

The provisional results of the latest triennial revaluation of the company’s UK final salary pension scheme indicates an actuarial deficit as at 1st April 2009 of £173 million. This compares with a surplus of £26 million as at 1st April 2006. The company has agreed to eliminate this deficit by making additional cash contributions of £23.1 million per annum over the next 10 years from 1st April 2010.

In order to limit the growth of future pension liabilities, the company is proposing that, subject to consultation, with effect from 1st April 2010, its current contributory final salary pension scheme will be replaced by a non-contributory career average salary, defined benefit scheme. This career average salary scheme was introduced for all new employees in the UK from 1st April 2006.

The result of this consultation process will be known in early 2010.

Enquiries:

Johnson Matthey

The HeadLand Consultancy

Howard Lee
020 7367 5225