1st Mar 2016 07:47
LONDON (Alliance News) - Engineer Smiths Group PLC on Tuesday said it has reached an agreement on the funding of its pension scheme which will free up cash flow from the 2017 financial year onwards.
Smiths said it has completed the triennial valuation of its pension scheme, and the new valuations will free up around GBP50.0 million in cash flow for Smiths from the financial year starting August 2016 onwards.
"The group's pension liabilities have been de-risked significantly, and we will continue to work with the various Trustees on opportunities to further de-risk our schemes in a cost effective manner. The additional free cash flow will underpin our ability to invest in attractive growth opportunities and to support dividend growth in line with the long-term growth in underlying earnings," said Chief Financial Officer Chris O'Shea.
By Sam Unsted; [email protected]; @SamUAtAlliance
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