I sent a E-Mail to my contact at PBGC asking two questions:
1- How many retirees still have not contacted PBGC ?
2- Will we receive two 1099 forms this year, one from PBGC and one from Milacron since part of the year we received retirement pay from each source ?
Her answer below :
Roughly 130 have not sent in their PIF. Yes, you will receive 2 1099 forms- ours will be mailed out by Jan 31st.
INFORMATION CONCERNING BANKRUPTCY LETTERS WE JUST RECEIVED
I sent e-mail to our lawyer (Bob Goering) about the proof of claim forms we are receiving in the mail.
Read from bottom up from my e-mail to his answer, also included his answer to chapter 11 vs chapter 7 bankruptcy.
Bob, all the retirees received another "Proof of Claim" form from bankruptcy court and are sending me E-Mails wanting to know if they should fill them out.
I think we received them because of Milacron changing from chapter 11 to chapter 7.
The only ones I think who might have a chance at some money are those retirees who have lost the bonus money promised by Milacron if they retired early and PBGC will not pay ?
Please advise as to your opinion.
His reply below: Bob Spreen
The filing to convert to a 7 simply means that Milacron never intended to file a plan of reorganization to pay off its creditors.
The chapter 11 was filed simply as means to accomplish the 363B sale.
Now that that has been finalized there is nothing left in the company to reorganize, and no money to pay creditors.
The case will convert and the trustee who is appointed may go after some preferences, but that will about be it.
RECENT DEATH NOTICE
Gerald W. Holl
1936-2010
Gerald W. Holl, 74, of Wilmington, died 6:58 p.m. Friday (Nov. 12, 2010) at Wilmington Nursing and Rehabilitation Residence.
He is survived by his wife, Virginia GinnyValentine Gibson Holl.
They were married March 17, 1990.Mr. Holl was born April 30, 1936, in Sarver, Pa., son of the late Wilbert and Dorothy E. Bachman Holl.
He retired from Cincinnati Milacron.
He was a member of the First Baptist Church of Wilmington, a 39-year member of the Wilmington Lions Club
and a member of the B.P.O. Elks 797.
He was a graduate of Wilmington College and served in the U.S. Army.
In addition to his wife, he is survived by a daughter,
Nicole (William) Hicks of Columbus; three stepchildren,
James Moyer of New Lexington, Lynn Moyer of Columbus and Anthony (Christine) Gibson of Colorado;
a sister, Glenda Rogers of Gulf Port, Miss.; 11 grandchildren; and two great-grandchildren.
Funeral services will be held noon Wednesday at the First Baptist Church, 79 E. Locust St., Wilmington.
Pastor Noah Campbell officiating, with burial in Sugar Grove Cemetery,
where military honors will be accorded by the American Legion Post 49 Memorial Squad.
Visitation will be from 5 to 8 p.m. today at the church.
In lieu of flowers, memorial contributions may be made to the
First Baptist Church of Wilmington, 79 E. Locust St., Wilmington, 45177.
Arrangements are under the direction of REYNOLDS-SMITH FUNERAL HOME, 327 N. South St., Wilmington.
For more information or to sign the funeral home's online registry of condolences, visit www.smithandsonfuneralhomes.com
We have received a letter where Milacron is asking for Chapter 7 Bankruptcy vs the Chapter 11 their case is now under.
Difference between Chapter 7 Bankruptcy and Chapter 11 Bankruptcy
Chapter 7 bankruptcy is sometimes also called liquidation bankruptcy.
Firms experiencing this form of bankruptcy are past the stage of reorganization and must sell off any un-exempt assets to pay creditors.
In chapter 7, the creditors collect their debts according to how they loaned out the money to the firm (also referred to as the "absolute priority").
A trustee is appointed, who ensures that any assets that are secured are sold and that the proceeds are paid to the specific creditors.
For example, secured debt would be loans issued by banks or institutions based upon the value of a specific asset.
Whatever assets and residual cash remain after all secured creditors are paid are pooled together to be paid to any outstanding creditors with unsecured loans: e.g. bondholders and preferred shareholders.
Chapter 11 bankruptcy can also be called rehabilitation bankruptcy.
It's much more involved than chapter 7 as it allows the firm the opportunity to reorganize its debt and to try to re-emerge as a healthy organization.
What this means is that the firm will contact its creditors in an attempt to change the terms on loans such as the interest rate and dollar value of payments.
Like its cousin, chapter 11 requires that a trustee be appointed; however, rather than selling off all assets to pay back creditors, the trustee supervises the assets of the debtor and allows business to continue.
It's important to note that debt is not absolved in chapter 11: the restructuring only changes the terms of the debt, and the firm must continue to pay it back through future earnings.
If a company is successful in chapter 11, it will typically be expected to continue operating in an efficient manner with its newly structured debt.
If it is not successful, then it will file for chapter 7 and liquidate. In both instances, common shareholders will most likely see little (if any) return on their investments.
I received this from my contact at Pension benefit Guaranty Corporation:
I was wondering if you could pass the word on to other retirees- there are roughly 300 retirees who have not responded to the PBGC.
They have not filled out the Payee Information Form.
Their last payment will be on 12/1/2010.
If we do not get the completed form returned to us, we do suspend benefits.
I would appreciate your assistance, knowing that you do speak to multiple people in the plan. Thank you!
I sent this out to everyone because there were so many people asking me how to check and see if they were ok
You should have received a confirmation from PBGC if not there are two ways to confirm: 1- call 1-800-400-7242 or go on line and set up your account with PBGC and then you can view the information plus see each deposit that is made to your account.
Go to: www.PBGC.gov ; then click on "retirees and workers" go to the right hand side of the screen to "set up account.
The plan name is: "Milacron Retirement Account" the case number is : 21391600
I asked if they could send me the list of 300 names so we could help checking, this is her answer:
I wish I could, but I cannot give out any privacy info and that includes names.
They should be able to remember if they filled out the form and sent it in- they would have received an acknowledgment letter.
Also, for those that have not filled it out, I just sent them another letter (a total of 3 have been sent to each participant) telling them that they would be suspended.
Please just have them check their mail from the PBGC- any correspondence they get from us, they should keep in their PBGC folder.
Please check with every retiree you know to make sure their checks do not stop ----- Bob Spreen
FROM BOB SPREEN 01/18/2011
FROM BOB SPREEN
From Bob Spreen
November 8, 2010
ALL RETIREES PLEASE READ THIS!
This site was designed for the valued retired employees and spouses of Milacron so you can keep up on important information that concerns all of us.
In the next weeks and months we will be adding more content that will make this site a place you will want to visit often.