Page:United States Statutes at Large Volume 101 Part 2.djvu/1159

 PUBLIC LAW 100-203—DEC. 22, 1987

101 STAT. 1330-365

and all that follows and inserting in lieu thereof "so as to pay all benefit liabilities under the plan". (D) Paragraphs (2) and (3) of section 4041(c) of ERISA (29 U.S.C. 1341(c)(2), (3)) are each amended by striking out "benefit commitments" each place it appears (including in any heading) and inserting in lieu thereof "benefit liabilities". (E) Paragraph (1) of section 4041(d) of ERISA (29 U.S.C. 1341(d)) is amended— • (i) by striking out "no amount of unfunded benefit ,; commitments" and inserting in lieu thereof "no amount of unfunded benefit liabilities", and r,

•,

(ii) by striking out "BENEFIT COMMITMENTS" in

paragraph heading and inserting in lieu thereof

the

"BENE-

FIT u ABILITIES".

(F) Paragraph (18) of section 4001(a) of ERISA (29 U.S.C. 1301(a)(18)) is amended to read as follows: "(18) 'amount of unfunded benefit liabilities' means, as of any date, the excess (if any) of^ "(A) the value of the benefit liabilities under the plan (determined as of such date on the basis of assumptions prescribed by the corporation for purposes of section 4044), over "(B) the current value (as of such date) of the assets of the plan;". (b) CRITERIA FOR DISTRESS TERMINATION.— (1) APPLICABILITY TO ALL MEMBERS OF CONTROLLED GROUP.—

Section 4041(c)(2) of ERISA (29 U.S.C. 1341(c)(2)) is amended— (A) in subparagraph (B), by striking "a substantial tJ member" in the matter preceding clause (i) and inserting "a member"; and (B) by striking subparagraph (C) and by redesignating subparagraph (D) as subparagraph (C). (2) REQUIREMENT OF ADDITIONAL FINDINGS TO QUALIFY FOR DISTRESS TERMINATION BASED ON REORGANIZATION I N BANK-

RUPTCY.—Section

4041(c)(2)(B)(iiXIII)

of

ERISA

(29

U.S.C.

1341(c)(2)(B)(iiXIII)) is amended by striking "approves the termination" and inserting "determines that, unless the plan is terminated, such person will be unable to pay all its debts pursuant to a plan of reorganization and will be unable to continue in business outside the chapter 11 reorganization process and approves the termination". (3) CLARIFICATION OF DATE AS OF WHICH EMPLOYER MUST BE IN A BANKRUPTCY PROCEEDING TO QUALIFY FOR DISTRESS TERMI-

NATION.—ClaUSeS (i) and (ii) of section 4041(c)(2)(B) of ERISA (29 U.S.C. 1341(c)(2)(B)(i) and (ii)) are each amended by inserting "proposed" before "termination date". (4) TREATMENT UNDER DISTRESS TESTS OF CASES CONVERTED TO

UQuiDATiON.—Section 4041(c)(2)(B)(i)(I) of ERISA (29 U.S.C. 1341(c)(2)(B)(i)(I)) is amended by inserting before the comma at the end the following: "(or a case described in clause (ii) filed by or against such person has been converted, as of such date, to a case in which liquidation is sought)". (5) NOTICE TO CORPORATION UNDER REORGANIZATION

TEST.—Section 4041(c)(2)(B)(ii) of ERISA (29 1341(c)(2)(B)(ii)) is amended— (A) in subclause (II), by striking "and" at the end;

DISTRESS

U.S.C

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.

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