WELCOME! Ottawa Chapter Spring Meeting 29 May 2012.

WELCOME!

Ottawa Chapter

Spring Meeting

29 May 2012

AGM Agenda 9:30 Welcome & Review of Agenda

9:35 Introduction of Guest Speaker

10:25 Treasurer’s Report10:45 ~ Break ~

11:05 Pension Update: BPG President’s Report, Q & A

11:55 Ottawa Chapter Update, General Q & A12:30 Meeting Close

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Keynote Speaker

Larry Elliot

Borden, Ladner, Gervais LLP

Insurance Issues for Pensioners

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Ottawa Chapter- Financial ReportMay 29, 2012

Don Dutton

Ottawa Chapter Treasurer

Presented by

Harvey Hillier

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President's Report May 2012

Bob Farmer

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Contents

Plan Performance Lowering Pensioner Risk Federal Budget Pension Information Committee BPG Board Q & A

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Plan Performance

Plan Valuation Report – as of Dec 31, 2010 Solvency shortfall:

$1518M Solvency ratio:

88.5% 11.4% return on

assets

2004-2010 trend

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Plan Performance

Performance for 2011 2011 plan valuation available after June Larger costs in 2011, than in 2010, to provide the same

pension benefit in future years Increases plan liabilities by about $780M

Return on Assets: about 5% (2.8% for Jan-June) Voluntary contributions

Prepayments to help manage funding obligations $750M in 2011 $2B total in last three years

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Voluntary Contributions Reduce Solvency Shortfall ($M)

Voluntary Contributions: 2009: $500M 2010: $750M 2011: $750M

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Lowering Pensioner Risk

The Risk Lower pension payments when sponsor goes out of

business and plan is underfunded Sources of Risk

Poor plan management Poor market performance Weak legislation/regulation

Plan funding Sponsor bankruptcy

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The Legislative/Regulatory Challenge

Plan funding rules Improved, but imperfect

Sponsor Bankruptcy Pensioners have low priority, so little chance to improve

pension funding in bankruptcy proceedings Strong opposition to improving pensioner priority

If pensioner priority improved, others are relatively worse off Including lenders, bondholders

Political Environment generally unwelcoming to change But there are opportunities for improvements

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Current Opportunities

Bill C-331 Private member's bill (NDP) Would put pensioners ahead of all other unsecured

creditors Indalex Case in Supreme Court (June 2012)

Emphasizes fiduciary obligations of plan sponsor/administrator

General application Pensioners ranked ahead of secured creditor

Fact dependent BPG, through CFP, intervening

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Federal Budget

Old Age Security (OAS) Pension payment can be affected, at pensioner

option, due to OAS Change: age of eligibility increased from 65 to 67,

starting in 2023 Implications

None for current pensioners Pension payments modified for those retiring after 2023

opting for “integrated” payments

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Federal Budget

Long Term Disability Currently, LTD payments come from employer

revenues If employer ceases, so do payments

Change: federally-regulated employers (like Bell) will be required to insure LTD payments

LTD payments would not be linked to continued existence of employer

Result: Greater security for those retiring with LTD benefits, after legislation is enacted

Timing to be determined

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Pension Information Committee

June: In Touch will give pensioners chance to nominate PIC reps from July 2 to Aug 3

Aug 13 to Sept 7: voting for nominees October: In Touch provides election results BPG supports election of

Quebec: Michel Doyon and Yvan Dutrisac Ontario: Allison Henriques and Sue Dawes

Be sure to vote!

PIC: committee of employee/pensioner reps to whom Bell provides information regarding the pension plan

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BPG Board

Departures André Bergeron (Communications) George Craig (Treasurer) Yvan Dutrisac (Chair: Montreal Chapter)

Arrivals Penny Gilray (Treasurer) Roberte Cadieux (Communications) Louise Touchette (at large) Charlie Labarge (at large)

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17

BPG Board Bob Farmer (President) Dan McDonald (Vice-President) Penny Gilray (Treasurer) Lancy Hum (Secretary) Sue Dawes (Pension Committee) Roberte Cadieux (Communications) Bob Bartlett (PC, Nominations) Linda Gervais (PC) Ron Hunt (Governance) Jean Luc Geha (Audit) Michel Doyon (Audit) Louise Touchette (Nominations) Charlie Labarge (at large)

PLUS

29 May 2012

BPG Board (cont’d)

PLUS:

Chapter Chairs Marlyn Easterbrook (Ottawa) Titus Ramkhalawansingh (Toronto) Frank Bible (SWO) Robert Guay (Montreal) Yvan Pacaud (Quebec City)

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Questions?

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Ottawa Chapter Update

Presented by Marlyn Easterbrook

Ottawa Chapter Chair

29 May 2012

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Ottawa Chapter Executive

CHAIR Marlyn Easterbrook

Vice Chair Ron Hunt

Past Chair Marc Davidson

Treasurer Don Dutton

Secretary Geraldine Foot

Membership Coordinator Ed Wilton

Webmaster Terry Acker

………..continued

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Ottawa Chapter Executive

Members at Large

John Campbell Lancy Hum

Clair Collis Garry Logue

John Elliot George McDougall

David Fair Brian McClean

Harvey Hillier Keith Thuell

Kingston Committee Tina Phillips, Jackie Machin, Donna Anderson, Margaret Bryant, Betty Gauthier

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BPG Election of Board of Directors

The current Board of Directors approves and recommends the following Directors for the

2012 / 2013 Board………

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BPG Election of Board of Directors

Existing Members

Ontario

Bob Bartlett Linda Gervais

Sue Dawes Lancy Hum

Bob Farmer Ron Hunt

Quebec

Michel Doyon Dan McDonald

Jean-Luc Geha

………….continued

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BPG Election of Board of Directors

Existing Members (continued)

Chapter Chairs

Robert Guay Montreal

Marlyn Easterbrook Ottawa

Yvan Pacaud Quebec City

Frank Bible Southwest Ontario

Titus Ramkhalawansingh Toronto

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BPG Election of Board of Directors

New Members

Ontario

Penny Gilray Charlie Labarge

Quebec

Roberte Cadieux Louise Touchette

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BPG Election of Board of Directors

Motion:

“That the membership of Bell Pensioners’ Group elect the slate of Directors for the 2012/2013 BPG Board as approved and recommended by the current Board of Directors.”

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STAY INFORMED !

Website

www.bellpensionersgroup.ca

New BPG Brochure

See website, under “Membership” tab

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PIC NOMINATION AND VOTING

Nomination: July 2 to Aug 3

Mail in form with pre-addressed envelope included with your In Touch

Voting: Aug 13 to Sept 7

Make sure you read your In Touch for the procedures

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HOMEWORK……

Keep informed !

Visit our website at www.bellpensionersgroup.caget the latest news from BPGaccess the site of your local chaptercheck for meeting datesread reports from your local PIC repsread and share our brochure

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…….HOMEWORK

Keep informed !

Read our newsletters and our emails

(make sure we have your correct email)

Read your In Touch for information on BPG

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QUESTIONS & ANSWERS

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BPG General Meetings Outside of Ottawa

Kingston Wednesday 30 May 2012 Royal Kingston Curling Club

130 Days Road

Sudbury Fall 2012, TBA

North Bay Fall 2012, TBA

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NEXT MEETING

Tuesday, 27 November 2012Nepean Sportsplex Salon B

Tax Retirement Planning for Seniors

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