Locklock Martin cuts pension liabilities by $4. 9 B due to actuarial losses

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Aug 3 - Lockheed Martin Corp said on Tuesday that it would reduce its pension liabilities by about $4.9 billion and revised down its forecast for the full year due to actuarial losses it expects to incur.

The U.S. weapons maker has purchased group annuity contracts from Athene Holding Ltd and will transfer pension obligations and related plan assets for about 18,000 U.S. retirees and beneficiaries to the retirement services provider.

Lockheed is taking a non-cash charge related to actuarial losses of about $1.7 billion in the third quarter.

The company now expects full-year profit margin of $21.95 to $22.25 per share, down from its prior forecast of $26.70 to $27.00.

The contracts were purchased using assets from Lockheed's master retirement trust and no additional funding was utilized, said the company.

There will be no change to the retirement benefits received by retirees and beneficiaries, Lockheed said.