Lockheed Martin moves $900 million in pension obligations to insurers, books $480 million charge
On December 16, 2025, Lockheed Martin converted group annuity contracts so that insurance companies took on about $900 million of gross pension obligations for roughly 9,000 U.S. retirees and beneficiaries. The company expects a non-cash, non-operating pretax settlement charge of approximately $480 million in the fourth quarter of 2025, which was not included in its October 21, 2025 outlook, so shareholders may see a large one-time charge against 2025 results.
Key points
- Gross pension obligations of approximately $900 million transferred to insurance companies on December 16, 2025, with no additional costs or funding contributions required by the company
- Expected non-cash, non-operating pretax settlement charge of approximately $480 million in Q4 2025
- Charge was not included in the prior 2025 financial outlook released October 21, 2025
- No change to the nature, amount, or timing of benefit payments for about 9,000 retirees and beneficiaries
The filing
Written by AI on Nov 8, 2026, 2:16 AM ET, from this filing only. Written later: this filing was briefed after the fact, when past filings were added to the site, so the brief may be read with hindsight; the filing itself is the record of what was known on December 18, 2025.
Briefs are written by AI from the filing text and can contain mistakes — open the filing before acting on anything. Impact (1-5) and tone are the AI's reading of the filing for shareholders, not a price forecast. Not investment advice.