Averages for regular monthly payroll (excluding lump sum settlements): Average service at retirement.. Average monthly payment under GE pension plan... 1956 1955 5,723, 678 2,895, 850 6,853, 286 4,567, 124 2,348, 833 1,355, 970 2, 209, 827 1, 302, 097 1, 325, 661 1,098, 200 210, 603, 339 133, 232, 322 701, 085, 163 627, 874, 301 REPORT OF INDEPENDENT CERTIFIED PUBLIC ACCOUNTANTS PEAT, MARWICK, MITCHELL & Co., The TRUSTEES OF GENERAL ELECTRIC PENSION TRUST, New York, N. Y.: We have examined the balance sheet of General Electric pension trust as of September 30, 1956. Our examination for the year then ended was made in accordance with generally accepted auditing standards, and accordingly included such tests of the accounting records and such other auditing procedures as we considered necessary in the circumstances. In our opinion, the accompanying balance sheet presents fairly the financial position of General Electric pension trust at September 30, 1956, in conformity with generally accepted accounting principles applied for the year then ended on a basis consistent with that of the preceding year. GENERAL ELECTRIC PENSION TRUST Balance sheet, September 30, 1956 ASSETS Investments: U. S. Government obligations, at amortized cost (market $61,813,563). Corporate and other obligations, at amortized cost (market Common stocks, at cost (market $252,034,386) –. Land, buildings, and leaseholds, at amortized cost___ Miscellaneous_ $67,962, 625 391, 108, 727 187, 933, 044 $28,978, 203 4, 988, 568 33, 966, 771 NOTE. The liability for pensions granted is calculated by the use of tables prepared by the trust's actuaries. The unfunded pension liability of the participating companies in the General Electric pension trust, similarly calculated, at Dec. 31, 1955 (date of the latest valuation), was estimated to be $58 million, after deducting payments made in 1956 applicable to 1955. The PENSION BOARD, General Electric Co., TOWERS, PERRIN, FORSTER & CROSBY, INC., 570 Lexington Avenue, New York, N. Y. GENTLEMEN: We have reviewed such calculations of liabilities as of December 31, 1956, for benefits prospectively payable in accordance with the provisions of the General Electric pension plan prepared by the General Electric Co., as have been completed. Calculations of liabilities as of December 31, 1955, similar to the December 31, 1956, calculations which have not yet been completed were also reviewed by us. The calculations were performed in accordance with procedures developed with our assistance and having our approval and it is our opinion that the results, based upon the employee data prepared by the General Electric Co., are substantially correct, both arithmetically and theoretically, and represent reasonable appraisals of the costs of the plan. Very truly yours, KEATH P. GIBSON, Vice President and Associate Actuary. (Whereupon, at 1:40 p. m., the committee adjourned, to reconvene at the call of the Chair.) WELFARE AND PENSION FUND LEGISLATION TUESDAY, JULY 9, 1957 HOUSE OF REPRESENTATIVES, Washington, D. C. The committee met at 9:50 a. m., pursuant to notice, in room 429, Old House Office Building, Hon. Graham A. Barden (chairman), presiding. Present: Representatives Barden, Kelley, Bailey, Perkins, Wier, Elliott, Landrum, Metcalf, Green, Roosevelt, Thompson, Holland, Teller, McGovern, Gwinn, Holt, Rhodes, Wainwright, Frelinghuysen, Nicholson, Ayres, Griffin, and Haskell. Staff members present: Fred G. Hussey, chief clerk; John O. Graham, minority clerk; A. Regis Kelley, clerk; Robert E. McCord, clerk; Martin S. House, special counsel on welfare and pension legislation; Kennedy W. Ward, assistant general counsel, and Russell C. Derrickson, chief investigator. Chairman BARDEN. The committee will come to order. Ladies and gentlemen of the committee, we have with us this morning one of the great American labor leaders, and great in his own name. I am delighted to see him looking so vigorous and healthy. I have known him for I believe about 23 years, is it not, Mr. Lewis? Mr. LEWIS. I think that is right, Congressman. Chairman BARDEN. It is fine to see you looking so well, and we will be glad to hear from you, Mr. Lewis. STATEMENT OF JOHN L. LEWIS, PRESIDENT OF THE UNITED MINE WORKERS OF AMERICA, AND TRUSTEE AND CHIEF EXECUTIVE OFFICER OF THE UMWA WELFARE AND RETIREMENT FUND Mr. LEWIS. Thank you, Chairman Barden. I appreciate your comments and express my equal pleasure at seeing you in such obvious good form today. May your shadow never grow less. I appear this morning on invitation of the committee, which is very much appreciated, as a representative of the trustees of the United Mine Workers of America welfare and retirement fund. I have a fairly brief prepared statement which epitomizes the general position of the fund, and the United Mine Workers of America and its membership, with respect to the legislation now being considered by your honorable committee. With your permission, Mr. Chairman, I will read it and will then yield to any questions that may be addressed to me by the members of the committee or the chairman. |