PBGC assumes three First Brands pension plans, keeps full benefits for 1,630 retirees

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PBGC assumes First Brands pensions

Highlights

PBGC assumed trusteeship for three First Brands Group pension plans covering 1,630 retirees, ensuring uninterrupted full benefits for current beneficiaries.
PBGC terminated and took over the plans as of April 30, 2026, citing the sponsor's financial distress and broader restructuring process.
First Brands Group and over 100 affiliates filed for Chapter 11 bankruptcy protection as of September 28, 2025, shifting plan obligations to PBGC and preserving benefit access.

Trusteeship terms and covered plans

As reported by the Pension Benefit Guaranty Corporation, the agency has finalized trusteeship agreements with First Brands Group, LLC and assumed responsibility for three pension plans sponsored by its affiliates. The plans are the Retirement Plan for Bargaining Unit Employees of Fostoria and Greenville, also known as the FRAM Plan, the Cardone Industries, Inc. Union Employees’ Pension Plan, and the Dalton Corporation, Warsaw Manufacturing Facility Pension Plan.

Together, the three plans cover 1,630 current and future retirees. PBGC says retirees continue receiving their full benefits without interruption, while participants who have not yet retired may apply for benefits once they become eligible.

PBGC Director Janet Dhillon says the action assures workers and retirees that the benefits they earned will be there when they need them. She adds that the agency's intervention is meant to keep pension promises intact and preserve confidence that full benefits remain secure.

Bankruptcy context and pension impact

PBGC terminated the plans as of April 30, 2026, placing them under federal trusteeship after the sponsor's financial distress. The move links the pension transition to a broader restructuring process affecting First Brands and affiliated entities.

As of September 28, 2025, First Brands and more than 100 affiliated entities had filed for Chapter 11 protection in the U.S. Bankruptcy Court for the Southern District of Texas. The takeover means the pension obligations for the three plans now shift to PBGC, limiting disruption for retirees and providing continued benefit access for eligible workers.

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