Doesn’t the ESOP put employee retirement benefits at risk?
This transaction does not put any of your existing retirement benefits at risk. First, any pension benefits you currently have will not be affected by this transaction. The company’s pension plans are currently over-funded. Second, your 401(k) investments (other than in Tribune stock) will also be unaffected by this transaction. You will continue to hold those investments through your 401(k) account. Third, if you hold shares of Tribune stock through an existing retirement account, those shares will be cashed out at $34/share in the transaction. With the cash received for those shares, you will be free to diversify your retirement holdings through the various investments available in our retirement plans. Neither your existing Tribune shares nor the cash you receive for them will go into your new ESOP account. Regarding the new ESOP, it’s important to note that it is only one component of the retirement benefit package being launched in 2008. Eligible employees also will receive a fixe
