The Markets August 19, 2009

Plane Maker Latest to Suspend 401(k) Match

Wichita aircraft maker Hawker Beechcraft has announced plans to suspend company contributions to its 401(k) plans.

Reported by

The company is also raising employee contributions to health care premiums.

A Wichita Eagle news report said Vice President of Human Resources Rich Jiwanlal revealed the cutback plans in an employee letter. The changes will affect nonunion workers and will take effect October 5.

Jiwanlal said the company will suspend the 401(k) contributions through 2010 and will review the suspension for 2011. Nonunion employees won’t see another increase in health care premiums on January 1, 2010.

Hawker Beechcraft told employees last week that a round of layoffs is coming; CEO Bill Boisture termed the personnel cuts “significant” and said he is taking a 10% pay cut.

“A majority of the August 21 reduction in force will impact non-bargaining unit employees, although some bargaining-unit employees will also be affected,” Jiwanlal said, according to the newspaper. “The reduction will impact all levels of the company, including management. Unfortunately we will continue the difficult task of adjusting our work force, including furloughs, to match our business demands and revenues.”

Deals & People August 19, 2009

WESPAC Expands Southern California Team

WESPAC, provider of retirement plan consulting, wealth management, and health and welfare benefits, added a team of advisers previously of Tower Asset Management.

Reported by

Raymond Baker, Jr., brings to WESPAC nearly 30 years of senior level experience in the areas of equity fixed-income trading, portfolio management, and research. Prior to joining WESPAC, he headed Tower Asset Management, where he served in its Equity Trading and Research Department, according to a news release. Prior to that, he was a managing director of Morgan Capital Management, and Chairman of the Investment Strategy Committee at Bateman Eichler Hill Richards.

Peter P. Chen joined Tower Asset Management in 2000. Prior to that, he was at Van Deventer & Hoch, Washington Mutual, and Charles Schwab & Co.

Morgan T. Gough joined Tower Asset Management in 2000 as director of the Private Client Advisor team, where he worked exclusively with corporate executives and high-net-worth individuals. He began his career in 1991 with Merrill Lynch and also worked at Dean Witter, Home Savings of America, and Charles Schwab & Co.

Wade S. Perry joined Tower Asset Management in 2003, serving high-net-worth individuals as well as corporate retirement plan clients. He began his career with Putnam Investments and later moved on to American Express Financial Advisors.

Coco M. Lorenzo joined Tower Asset Management in 2009 and is responsible for managing the Private Client Service department of the Southern California division of WESPAC.  Prior to that, she served in client service, sales associate, marketing, and operations positions at Tower, Wells Fargo Investments, and Pantheon Private Equity.

“Our clients have been very supportive of our move and many have already begun inquiring about our new resources, like 401(k) reviews,” said Perry, now principal of the WESPAC Southern California Division.



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