German govt pension fund for Telekom and Post workers needs capital
The German government’s pension fund for former Deutsche Post AG and Deutsche Telekom AG employees will run out of money next month, Spiegel magazine reported in an unsourced pre-release from Sunday’s edition.
As a result of the shortfall, Finance Minister Hans Eichel will transfer funds raised through taxes to cover the pension obligations, the magazine wrote.
Originally, Eichel wanted to raise 5.5 bln eur through a sale of pension fund receivables and use these monies in 2005 to pay the former Telekom and Post employees.
However, Spiegel wrote that Morgan Stanley, whom the government contracted to organize the sale, has not yet come up with a plan for it.
The pre-release did not state when the government expects to receive the plan from Morgan Stanley.
