Slaughter and May advised BBA Aviation plc on the pensions aspects of its disposal of the APPH entities and a "section 75 debt" apportionment arrangement with the trustees of its defined benefit pension scheme, the BBA Income and Protection Plan (the IPP), and thereafter on the structuring and implementation of an asset backed funding arrangement with the trustees of the IPP.

The asset backed funding arrangement replaces a previously agreed schedule of contributions and is designed to generate an annual income stream of approximately £2.7 million for the pension scheme whilst minimising the risk of scheme over-funding in the future.

CONTACTS

Corporate: Paul Dickson (partner), Philip Linnard (associate), Eysha Sethi (associate); Pensions and Employment: Sandeep Maudgil (partner), Eleanor Hart (associate); Financing: Peter Jolliffe (partner), Meherzad Bilimoria (associate); Tax: Mike Lane (partner), Gregory Price (associate)