African Methodist Clergy Get OK for $60 Million in Pension Deals

African Methodist Episcopal Church pastors challenging steep retirement plan losses received initial court approval for a pair of class settlements valued at $60 million.

The two proposed deals require third-party plan administrator Newport Group Inc. to pay $40 million while the church and related entities pay $20 million and agree to transfer certain plan assets to a qualified trust governed by federal pension law. More than 4,400 pastors and church employees are expected to benefit under the agreements, which together represent about 69% of the losses allegedly suffered by the pension plan, according to court filings.

The “incredibly complex” ...