The Markets April 2, 2009

Buffalo Manufacturer Suspends 401(k) Match

A Buffalo, New York-area building products and steel processing firm has suspended its 401(k) match because of a slumping business climate driven by slowdowns in the housing and auto sectors.
Reported by

A Buffalo News report said Gibraltar Industries informed employees that it will discontinue the matching contributions indefinitely on April 17.

According to the paper, the company posted the biggest quarterly loss in its 16 years as a public company during the fourth quarter and is facing further losses during the quarter that ended Tuesday. The report said the company has also made significant cuts to its headquarters staff, suspended its $0.20 per share annual dividend to save $6 million, and cut its capital spending plans.

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“While this has not been an easy decision for the company to make, it is a necessary business decision in light of the current economic environment,” the company said in a memo to employees, according to the newspaper.

Products April 2, 2009

Lord Abbett Lowers Expense Ratio of High Yield Offering

Lord Abbett&Co. announced that effective March 1, 2009, the net expense ratio on the Lord Abbett High Yield Fund A (LHYAX) Class A shares was reduced to 0.98%.
Reported by

The company also announced that the fund attained its 10-year performance record, with a top quartile showing as of December 31, 2008.

The High Yield Fund is a core component of Lord Abbett’s suite of high-yield/convertible fixed-income strategies, including high-yield corporate debt, bank loans, and convertible bonds managed for institutions and individual investors, the company said.

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Since the High Yield Fund’s inception in 1998, it has been led by Michael Goldstein, Partner and Portfolio Manager, and Christopher Towle, Partner and Director of High Yield and Convertible Investments, and is supported by a group of 10 credit analysts with an average of 15 years experience, according to the company.

 

 

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