Kellanova Prevails in Pension Exit Bill Spat With Teamsters Fund

Kellanova notched a victory in its $330 million Teamsters pension fund dispute, when a federal judge said the snack food maker’s withdrawal liability couldn’t be increased to account for higher contribution rates in effect after 2014.

The dispute turns on whether the Central States, Southeast & Southwest Areas Pension Fund properly calculated Kellanova’s withdrawal liability at more than $330 million by using the higher weekly rate the company was required to pay into the fund beginning in 2015. Siding with Kellanova, Judge LaShonda A. Hunt on Monday said this higher rate couldn’t be used to inflate the company’s bill, because ...