The £125m pension deficit of Readers Digest UK, which forced the company into
administration, may have to be paid off by its US parent.
Under UK pension law, the Readers Digest Association could be held liable to
pay some or all of the deficit, reports the
The Pensions Regulator, is currently considering whether to issue a
‘financial support direction’ or a ‘contribution notice’ against RDA, which will
require them to make payments to reduce the deficit.
Readers Digest UK fell under the administration of Philip Sykes from Moore
Stephens when it was unable to meet its pensions obligations and failed to
receive approval for a deal between the RDA and the Pension Protection Fund to
inject £10.9m into the UK company.
Steve Absolom and Will Wright from KPMG Restructuring have been appointed joint administrators to City Motor Holdings and associated companies
Partners from Johnston Carmichael have been appointed as joint administrators to Axon Well Interventions Products UK
Begbies Traynor have been appointed administrators of William Anelay Ltd, York, one of Britain’s longest-established construction and heritage restoration companies
Smith & Williamson has been appointed administrators of charity 4Children