[Federal Register Volume 70, Number 48 (Monday, March 14, 2005)]
[Proposed Rules]
[Pages 12429-12435]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 05-4950]


=======================================================================
-----------------------------------------------------------------------

PENSION BENEFIT GUARANTY CORPORATION

29 CFR Part 4044

RIN 1212-AA55


Valuation of Benefits; Mortality Assumptions

AGENCY: Pension Benefit Guaranty Corporation.

ACTION: Proposed rule.

-----------------------------------------------------------------------

SUMMARY: The Pension Benefit Guaranty Corporation proposes to amend its 
benefit valuation regulation by adopting more current mortality 
assumptions

[[Page 12430]]

(moving from a version of GAM-83 to a version of GAM-94). The updated 
mortality assumptions will better conform to those used by private-
sector insurers in pricing group annuities.

DATES: Comments must be received on or before May 13, 2005.

ADDRESSES: Comments may be mailed or delivered to the Legislative and 
Regulatory Department, Pension Benefit Guaranty Corporation, 1200 K 
Street, NW., Washington, DC 20005-4026. Comments also may be submitted 
electronically through the PBGC's Web site at http://www.pbgc.gov/regs, 
or by fax to (202) 326-4112. The PBGC will make all comments available 
on its Web site, http://www.pbgc.gov. Copies of the comments may also 
be obtained by writing to the PBGC's Communications and Public Affairs 
Department at Suite 240 at the above address or by visiting that office 
or calling (202) 326-4040 during normal business hours. (TTY and TDD 
users may call the Federal relay service toll-free at 1-800-877-8339 
and ask to be connected to (202) 326-4040.)

FOR FURTHER INFORMATION CONTACT: James J. Armbruster, Acting Director, 
or James L. Beller, Attorney, Legislative and Regulatory Department, 
Pension Benefit Guaranty Corporation, 1200 K Street, NW., Washington, 
DC 20005-4026, (202) 326-4024. (TTY and TTD users may call the Federal 
relay service toll-free at 1-800-877-8339 and ask to be connected to 
(202) 326-4024.)

SUPPLEMENTARY INFORMATION: The PBGC's regulations provide rules for 
valuing benefits in a single-employer plan that terminates in a 
distress or involuntary termination. (The rules are codified at 29 CFR 
part 4044, subpart B.) The PBGC uses these rules to determine: (1) The 
extent to which participants' benefits are funded under the allocation 
rules of ERISA section 4044, (2) whether a plan is sufficient for 
guaranteed benefits, and (3) how much an employer owes the PBGC as a 
result of a plan termination under ERISA section 4062. Employers must 
use these rules to determine the value of plan benefit liabilities in 
annual reports required to be submitted under ERISA section 4010, and 
may use these rules to ensure that plan spinoffs, mergers, and 
transfers comply with Internal Revenue Code section 414(l).

General Valuation Approach

    The valuation rules prescribe a number of assumptions intended to 
produce reasonable valuation results on average for the range of plans 
terminating in distress or involuntary terminations, rather than for 
any particular plan or plan type. Historically, the PBGC has matched, 
to the extent possible, the private-sector annuity market when 
prescribing assumptions for valuing benefits in a terminating plan.
    To determine the market cost of providing annuity benefits, the 
PBGC has relied upon data from periodic surveys conducted for the PBGC 
by the American Council of Life Insurers (the ACLI surveys). These ACLI 
surveys ask insurers for pricing information on group annuities. Each 
respondent to the surveys provides its prices (net of administrative 
expenses) for a range of ages for immediate annuities (annuities where 
payments start immediately) and for deferred annuities (annuities where 
payments are deferred to age 65). Prices of each of the two types of 
annuities are averaged at each age to get an average market price. The 
PBGC then derives an interest factor that, when combined with the 
PBGC's healthy-life mortality assumptions, provides the best fit for 
the average market prices (as obtained from the ACLI surveys) over the 
entire range of ages. The interest factor is recalibrated to the 
annuity survey prices each year. Each month between recalibrations, the 
PBGC adjusts the interest factor based on changes in the yield on long-
term corporate investment-grade bonds. The interest factor is then used 
in conjunction with the PBGC's mortality assumptions (and other PBGC 
assumptions) to value annuity benefits.
    These derived interest factors are not market interest rates. The 
factors stand in for all the many components used in annuity pricing 
that are not reflected in the given mortality table--e.g., assumed 
yield on investment, margins for profit and contingencies, premium and 
income taxes, and marketing and sales expenses. Because of the 
relationship among annuity prices, a mortality table, and the derived 
interest factors, it is never meaningful to compare PBGC's interest 
factors to market interest rates. The PBGC's interest factor is 
meaningful only in combination with the PBGC's mortality assumptions.

Mortality Assumptions

    One set of assumptions prescribed by the valuation regulation 
relates to the probabilities that a participant (or beneficiary) will 
survive to each expected benefit payment date, i.e., mortality 
assumptions. The mortality assumptions now used by the PBGC to value 
benefits for non-disabled (``healthy'') participants are taken from the 
1983 Group Annuity Mortality (GAM-83) Tables. The PBGC shifted to these 
tables in 1993, noting in its preamble to the proposed rule (at 58 FR 
5129) that many private-sector insurers had shifted to the GAM-83 
Tables when setting group annuity prices. The PBGC also said (at 58 FR 
5129) that it intended ``to keep each of its individual valuation 
assumptions in line with those of private-sector insurers, and to 
modify its mortality assumptions whenever it is necessary to do so to 
achieve consistency with the private insurer assumptions.'' The PBGC 
has not updated these mortality assumptions since 1993. (There is no 
reason to expect that the PBGC's mortality tables under this regulation 
will match the tables prescribed for certain funding purposes under 
Treasury Regulations at any point in time. The PBGC's mortality tables 
are based on the mortality experience of group annuitants. In contrast, 
the tables to be used for certain minimum funding purposes are based on 
the mortality experience of individuals covered by pension plans. Group 
annuitants, many of whom have chosen to receive their benefits as 
annuities rather than as lump sums, tend to have longer life 
expectancies than individuals covered by pension plans.)
    As noted, the ACLI periodically conducts surveys, on behalf of the 
PBGC, of insurers who provide group annuity contracts for information 
on how they price group annuities. In addition to other pricing 
questions, the ACLI from time to time has asked for information on 
which mortality tables the insurers use when pricing group annuities in 
pension plans. A majority of respondents indicated that, as of March 
31, 2002, they use a version of the 1994 Group Annuity Mortality Basic 
(GAM-94 Basic) Table and project future improvements in mortality with 
projection scale AA. Similarly, the Society of Actuaries sponsored a 
survey of pricing actuaries for insurers who provide group annuity 
contracts and found that five of the ten respondents used a version of 
the GAM-94 Table. 30-Year Treasury Rates and Defined Benefit Plans, 
August 22, 2001, p. 5. That survey also found that most companies 
projected future improvements and that the most common projection scale 
was AA.
    Based on these surveys, the PBGC proposes to use the GAM-94 Basic 
Table as the basis for the healthy-life mortality assumptions it uses 
for its valuation of plan benefits. Specifically, for a particular 
valuation, the PBGC would use the GAM-94 Basic Table projected to the 
year of that valuation plus 10 years using Scale AA. The updated 
mortality assumptions now being proposed will permit the PBGC to derive 
interest factors that, when combined with those updated mortality

[[Page 12431]]

assumptions, would enable the PBGC to match the ACLI survey prices more 
closely across the entire range of ages than had GAM-83 been used.
    The PBGC is proposing to use a projected mortality table to take 
into account expected improvements in mortality. In order to avoid 
undue complexity, the PBGC proposes to use a projected static table 
rather than a generational table. (A generational table takes into 
account expected mortality improvements but in a far more complex 
manner than does a projected static table.) The projection would be to 
the year of valuation plus 10 years as a rough approximation for the 
duration of liabilities in plans that terminate in distress or 
involuntary terminations. For example, the probability of death for a 
65-year old healthy male to be used in a valuation in 2005 would be 
calculated as follows: .015629 x (1 - .014) 
(2005 -1994 + 10) = .011624. The PBGC would publish the 
projected mortality tables on its Web site (http://www.pbgc.gov).
    Because of the way the PBGC determines its interest factors, the 
choice of mortality assumptions generally would have no significant 
effect on benefit valuations. The effect that a change in mortality 
assumptions would have on valuations is generally offset by the effect 
of the corresponding change in the PBGC's interest factors. For 
example, the proposed use of GAM-94 mortality assumptions would result 
in the PBGC's deriving higher interest factors than would the use of 
GAM-83 mortality assumptions (because GAM-94 has lower mortality rates 
than GAM-83). When those higher interest factors are combined with GAM-
94, the resulting value for a given benefit would generally be about 
the same as it would have been had the PBGC used GAM-83 along with the 
lower interest factors derived from the ACLI surveys using GAM-83. (For 
a more detailed explanation, see the preambles to the PBGC's proposed 
rule published on January 19, 1993, at 58 FR 5128, and final rule 
published on September 28, 1993, at 58 FR 50812.)
    In addition to the mortality assumptions for healthy individuals, 
the current regulation provides two other sets of mortality 
assumptions: (1) Those for participants who are disabled under a plan 
provision requiring eligibility for Social Security disability benefits 
(Social Security disabled participants), and (2) those for participants 
who are disabled under a plan provision that does not require 
eligibility for Social Security disability benefits (non-Social 
Security disabled participants).
    As with the mortality assumptions for healthy individuals, the PBGC 
proposes to update the mortality assumptions used for disabled 
participants. For Social Security disabled participants, the PBGC 
proposes to use the Mortality Tables for Disabilities Occurring in Plan 
Years Beginning After December 31, 1994, from Rev. Rul. 96-7 (1996-1 
C.B. 59). These tables were developed by the Internal Revenue Service 
as required by the Retirement Protection Act of 1994 amendments 
relating to the determination of current liability. For non-Social 
Security disabled participants, the PBGC proposes to use the healthy 
life tables projected from 1994 to the calendar year in which the 
valuation date occurs plus 10 years using Scale AA and setting the 
resulting table forward three years. In addition, in order to prevent 
the rates at the older ages from exceeding the corresponding rates in 
the proposed table for Social Security disabled participants, the PBGC 
proposes to cap the mortality rate for non-Social Security disabled 
participants at the corresponding rate for Social Security disabled 
participants. For convenience, the PBGC would make all of these 
mortality tables (like the healthy-life mortality tables) available on 
its Web site (http://www.pbgc.gov).
    The PBGC is also proposing a clarifying change to this regulation 
to reflect its practice of treating a participant as a disabled 
participant if on the valuation date the participant is under age 65 
and has a benefit that was converted under the plan's terms from a 
disability benefit to an early or normal retirement benefit for any 
reason other than a change in the participant's health status. In 
developing this proposed rule, the PBGC considered the comments 
relating to its mortality assumptions that it received in response to 
its notice of intent to propose rulemaking issued on March 19, 1997 (62 
FR 12982). The PBGC adopted a number of the suggestions made by 
commenters. For instance, one commenter suggested the PBGC should not 
adopt a reserving table (i.e., a table that includes a built-in margin 
to provide a cushion for reserving purposes). Another commenter asked 
the PBGC to adopt a static table rather than a generational table. The 
tables proposed by PBGC are basic (nonreserve) static tables.
    Several commenters asked the PBGC to provide mortality assumptions 
that vary depending on industry or workforce type or that vary on a 
plan-specific basis. The proposal does not adopt either of these 
approaches. As discussed above, the PBGC selects its mortality 
assumptions with the goal of achieving consistency with the mortality 
assumptions used by private-sector insurers for pricing group annuity 
contracts. To this end, ACLI respondents were asked to identify the 
mortality tables they used and any variations to those tables. Neither 
the proposed GAM 94-Basic Table, the most commonly identified table, 
nor any of the other tables identified by the survey respondents 
provided mortality assumptions that vary depending on industry or 
workforce type. Moreover, none of the survey respondents reported that 
they make modifications or adjustments based on industry or workforce 
type. As for the use of plan-specific mortality assumptions, the PBGC's 
general valuation approach is to apply a common set of assumptions 
(e.g., mortality, expected retirement age) to all plans with the goal 
of producing reasonable results on average. Shifting to a plan-specific 
approach for mortality would be a fundamental change that could require 
burdensome verification procedures. Therefore, the PBGC proposes to 
continue to use more general mortality assumptions that, like its other 
assumptions, produce reasonable results on average.

Other Changes to Valuation Regulation

    The PBGC will continue to explore other ways to improve its benefit 
valuation regulations and may make other changes through separate 
rulemaking actions.

Compliance With Rulemaking Guidelines

    The PBGC has determined, in consultation with the Office of 
Management and Budget, that this proposed rule is a ``significant 
regulatory action'' under Executive Order 12866. The Office of 
Management and Budget has therefore reviewed this proposed rule under 
Executive Order 12866. The Office of Management and Budget, therefore, 
has reviewed this proposed rule under Executive Order 12866.
    The PBGC certifies under section 605(b) of the Regulatory 
Flexibility Act that this proposed rule would not have a significant 
economic impact on a substantial number of small entities. As explained 
earlier in this preamble, the effect on a plan valuation of the change 
in the PBGC's mortality assumptions will be offset by the effect on 
that plan's valuation of the PBGC's use of higher interest factors. 
Because of this offsetting effect, the PBGC does not expect this 
proposed rule to have a significant economic impact on a substantial 
number of entities of any size. Accordingly, sections 603 and 604 of 
the Regulatory Flexibility Act do not apply.

[[Page 12432]]

List of Subjects in 29 CFR Part 4044

    Employee benefits plans, Pension insurance, Pensions.

    For the reasons set forth above, the PBGC proposes to amend part 
4044 of 29 CFR chapter XL as follows:

PART 4044--ALLOCATION OF ASSETS IN SINGLE-EMPLOYER PLANS

    1. The authority citation for part 4044 continues to read as 
follows:

    Authority: 29 U.S.C. 1301(a), 1302(b)(3), 1341, 1344, and 1362.


Sec.  4044.52  [Amended]

    2. Amend Sec.  4044.52 by adding the word ``and'' to the end of 
paragraph (c), removing paragraph (d), and redesignating paragraph (e) 
as paragraph (d).
    3. Revise Sec.  4044.53 to read as follows:


Sec.  4044.53  Mortality assumptions.

    (a) General rule. Subject to paragraph (b) of this section 
(regarding certain death benefits), the plan administrator shall use 
the mortality factors prescribed in paragraphs (c), (d), (e), (f), and 
(g) of this section to value benefits under Sec.  4044.52.
    (b) Certain death benefits. If an annuity for one person is in pay 
status on the valuation date, and if the payment of a death benefit 
after the valuation date to another person, who need not be 
identifiable on the valuation date, depends in whole or in part on the 
death of the pay status annuitant, then the plan administrator shall 
value the death benefit using--
    (1) The mortality rates that are applicable to the annuity in pay 
status under this section to represent the mortality of the pay status 
annuitant; and
    (2) The mortality rates under paragraph (c) of this section to 
represent the mortality of the death beneficiary.
    (c) Healthy lives. If the individual is not disabled under 
paragraph (f) of this section, the plan administrator will value the 
benefit using--
    (1) For male participants, the rates in Table 1 of Appendix A to 
this part projected from 1994 to the calendar year in which the 
valuation date occurs plus 10 years using Scale AA from Table 2 of 
Appendix A to this part; and
    (2) For female participants, the rates in Table 3 of Appendix A to 
this part projected from 1994 to the calendar year in which the 
valuation date occurs plus 10 years using Scale AA from Table 4 of 
Appendix A to this part.
    (d) Social Security disabled lives. If the individual is Social 
Security disabled under paragraph (f)(1) of this section, the plan 
administrator will value the benefit using--
    (1) For male participants, the rates in Table 5 of Appendix A to 
this part; and
    (2) For female participants, the rates in Table 6 of Appendix A to 
this part.
    (e) Non-Social Security disabled lives. If the individual is non-
Social Security disabled under paragraph (f)(2) of this section, the 
plan administrator will value the benefit at each age using--
    (1) For male participants, the lesser of--
    (i) The rate determined from Table 1 of Appendix A to this part 
projected from 1994 to the calendar year in which the valuation date 
occurs plus 10 years using Scale AA from Table 2 of Appendix A to this 
part and setting the resulting table forward three years, or
    (ii) The rate in Table 5 of Appendix A to this part.
    (2) For female participants, the lesser of--
    (i) The rate determined from Table 3 of Appendix A to this part 
projected from 1994 to the calendar year in which the valuation date 
occurs plus 10 years using Scale AA from Table 4 of Appendix A to this 
part and setting the resulting table forward three years, or
    (ii) The rate in Table 6 of Appendix A to this part.
    (f) Definitions of disability.
    (1) Social Security disabled. A participant is Social Security 
disabled if, on the valuation date, the participant is less than age 65 
and has a benefit in pay status that--
    (i) Is being received as a disability benefit under a plan 
provision requiring either receipt of or eligibility for Social 
Security disability benefits, or
    (ii) Was converted under the plan's terms from a disability benefit 
under a plan provision requiring either receipt of or eligibility for 
Social Security disability benefits to an early or normal retirement 
benefit for any reason other than a change in the participant's health 
status.
    (2) Non-Social Security disabled. A participant is non-Social 
Security disabled if, on the valuation date, the participant is less 
than age 65, is not Social Security disabled, and has a benefit in pay 
status that--
    (i) Is being received as a disability benefit under the plan, or
    (ii) Was converted under the plan's terms from a disability benefit 
to an early or normal retirement benefit for any reason other than a 
change in the participant's health status.
    (g) Contingent annuitant mortality during deferral period. If a 
participant's joint and survivor benefit is valued as a deferred 
annuity, the mortality of the contingent annuitant during the deferral 
period will be disregarded.
    4. Revise Appendix A to part 4044 to read as follows:

Appendix A To Part 4044--Mortality Rate Tables

    The mortality tables in this appendix set forth for each age x 
the probability qx that an individual aged x (in 1994, 
when using Table 1 or Table 3) will not survive to attain age x + 1. 
The projection scales in this appendix set forth for each age x the 
annual reduction AAx in the mortality rate at age x.

 Table 1.--Mortality Table for Healthy Male Participants (94 GAM Basic)
------------------------------------------------------------------------
                           Age x                                  qx
------------------------------------------------------------------------
15.........................................................     0.000371
16.........................................................     0.000421
17.........................................................     0.000463
18.........................................................     0.000495
19.........................................................     0.000521
20.........................................................     0.000545
21.........................................................     0.000570
22.........................................................     0.000598
23.........................................................     0.000633
24.........................................................     0.000671
25.........................................................     0.000711
26.........................................................     0.000749
27.........................................................     0.000782
28.........................................................     0.000811
29.........................................................     0.000838
30.........................................................     0.000862
31.........................................................     0.000883
32.........................................................     0.000902
33.........................................................     0.000912
34.........................................................     0.000913
35.........................................................     0.000915
36.........................................................     0.000927
37.........................................................     0.000958
38.........................................................     0.001010
39.........................................................     0.001075
40.........................................................     0.001153
41.........................................................     0.001243
42.........................................................     0.001346
43.........................................................     0.001454
44.........................................................     0.001568
45.........................................................     0.001697
46.........................................................     0.001852
47.........................................................     0.002042
48.........................................................     0.002260
49.........................................................     0.002501
50.........................................................     0.002773
51.........................................................     0.003088
52.........................................................     0.003455
53.........................................................     0.003854
54.........................................................     0.004278
55.........................................................     0.004758
56.........................................................     0.005322
57.........................................................     0.006001
58.........................................................     0.006774
59.........................................................     0.007623
60.........................................................     0.008576
61.........................................................     0.009663
62.........................................................     0.010911
63.........................................................     0.012335
64.........................................................     0.013914
65.........................................................     0.015629
66.........................................................     0.017462
67.........................................................     0.019391
68.........................................................     0.021354
69.........................................................     0.023364
70.........................................................     0.025516

[[Page 12433]]

 
71.........................................................     0.027905
72.........................................................     0.030625
73.........................................................     0.033549
74.........................................................     0.036614
75.........................................................     0.040012
76.........................................................     0.043933
77.........................................................     0.048570
78.........................................................     0.053991
79.........................................................     0.060066
80.........................................................     0.066696
81.........................................................     0.073780
82.........................................................     0.081217
83.........................................................     0.088721
84.........................................................     0.096358
85.........................................................     0.104559
86.........................................................     0.113755
87.........................................................     0.124377
88.........................................................     0.136537
89.........................................................     0.149949
90.........................................................     0.164442
91.........................................................     0.179849
92.........................................................     0.196001
93.........................................................     0.213325
94.........................................................     0.231936
95.........................................................     0.251189
96.........................................................     0.270441
97.........................................................     0.289048
98.........................................................     0.306750
99.........................................................     0.323976
100........................................................     0.341116
101........................................................     0.358560
102........................................................     0.376699
103........................................................     0.396884
104........................................................     0.418855
105........................................................     0.440585
106........................................................     0.460043
107........................................................     0.475200
108........................................................     0.485670
109........................................................     0.492807
110........................................................     0.497189
111........................................................     0.499394
112........................................................     0.500000
113........................................................     0.500000
114........................................................     0.500000
115........................................................     0.500000
116........................................................     0.500000
117........................................................     0.500000
118........................................................     0.500000
119........................................................     0.500000
120........................................................     1.000000
------------------------------------------------------------------------


       Table 2.--Projection Scale AA for Healthy Male Participants
------------------------------------------------------------------------
                           Age x                                 AAx
------------------------------------------------------------------------
15.........................................................        0.019
16.........................................................        0.019
17.........................................................        0.019
18.........................................................        0.019
19.........................................................        0.019
20.........................................................        0.019
21.........................................................        0.018
22.........................................................        0.017
23.........................................................        0.015
24.........................................................        0.013
25.........................................................        0.010
26.........................................................        0.006
27.........................................................        0.005
28.........................................................        0.005
29.........................................................        0.005
30.........................................................        0.005
31.........................................................        0.005
32.........................................................        0.005
33.........................................................        0.005
34.........................................................        0.005
35.........................................................        0.005
36.........................................................        0.005
37.........................................................        0.005
38.........................................................        0.006
39.........................................................        0.007
40.........................................................        0.008
41.........................................................        0.009
42.........................................................        0.010
43.........................................................        0.011
44.........................................................        0.012
45.........................................................        0.013
46.........................................................        0.014
47.........................................................        0.015
48.........................................................        0.016
49.........................................................        0.017
50.........................................................        0.018
51.........................................................        0.019
52.........................................................        0.020
53.........................................................        0.020
54.........................................................        0.020
55.........................................................        0.019
56.........................................................        0.018
57.........................................................        0.017
58.........................................................        0.016
59.........................................................        0.016
60.........................................................        0.016
61.........................................................        0.015
62.........................................................        0.015
63.........................................................        0.014
64.........................................................        0.014
65.........................................................        0.014
66.........................................................        0.013
67.........................................................        0.013
68.........................................................        0.014
69.........................................................        0.014
70.........................................................        0.015
71.........................................................        0.015
72.........................................................        0.015
73.........................................................        0.015
74.........................................................        0.015
75.........................................................        0.014
76.........................................................        0.014
77.........................................................        0.013
78.........................................................        0.012
79.........................................................        0.011
80.........................................................        0.010
81.........................................................        0.009
82.........................................................        0.008
83.........................................................        0.008
84.........................................................        0.007
85.........................................................        0.007
86.........................................................        0.007
87.........................................................        0.006
88.........................................................        0.005
89.........................................................        0.005
90.........................................................        0.004
91.........................................................        0.004
92.........................................................        0.003
93.........................................................        0.003
94.........................................................        0.003
95.........................................................        0.002
96.........................................................        0.002
97.........................................................        0.002
98.........................................................        0.001
99.........................................................        0.001
100........................................................        0.001
101........................................................        0.000
102........................................................        0.000
103........................................................        0.000
104........................................................        0.000
105........................................................        0.000
106........................................................        0.000
107........................................................        0.000
108........................................................        0.000
109........................................................        0.000
110........................................................        0.000
111........................................................        0.000
112........................................................        0.000
113........................................................        0.000
114........................................................        0.000
115........................................................        0.000
116........................................................        0.000
117........................................................        0.000
118........................................................        0.000
119........................................................        0.000
120........................................................        0.000
------------------------------------------------------------------------


Table 3.--Mortality Table for Healthy Female Participants (94 GAM Basic)
------------------------------------------------------------------------
                           Age x                                  qx
------------------------------------------------------------------------
15.........................................................     0.000233
16.........................................................     0.000261
17.........................................................     0.000281
18.........................................................     0.000293
19.........................................................     0.000301
20.........................................................     0.000305
21.........................................................     0.000308
22.........................................................     0.000311
23.........................................................     0.000313
24.........................................................     0.000313
25.........................................................     0.000313
26.........................................................     0.000316
27.........................................................     0.000324
28.........................................................     0.000338
29.........................................................     0.000356
30.........................................................     0.000377
31.........................................................     0.000401
32.........................................................     0.000427
33.........................................................     0.000454
34.........................................................     0.000482
35.........................................................     0.000514
36.........................................................     0.000550
37.........................................................     0.000593
38.........................................................     0.000643
39.........................................................     0.000701
40.........................................................     0.000763
41.........................................................     0.000826
42.........................................................     0.000888
43.........................................................     0.000943
44.........................................................     0.000992
45.........................................................     0.001046
46.........................................................     0.001111
47.........................................................     0.001196
48.........................................................     0.001297
49.........................................................     0.001408
50.........................................................     0.001536
51.........................................................     0.001686

[[Page 12434]]

 
52.........................................................     0.001864
53.........................................................     0.002051
54.........................................................     0.002241
55.........................................................     0.002466
56.........................................................     0.002755
57.........................................................     0.003139
58.........................................................     0.003612
59.........................................................     0.004154
60.........................................................     0.004773
61.........................................................     0.005476
62.........................................................     0.006271
63.........................................................     0.007179
64.........................................................     0.008194
65.........................................................     0.009286
66.........................................................     0.010423
67.........................................................     0.011574
68.........................................................     0.012648
69.........................................................     0.013665
70.........................................................     0.014763
71.........................................................     0.016079
72.........................................................     0.017748
73.........................................................     0.019724
74.........................................................     0.021915
75.........................................................     0.024393
76.........................................................     0.027231
77.........................................................     0.030501
78.........................................................     0.034115
79.........................................................     0.038024
80.........................................................     0.042361
81.........................................................     0.047260
82.........................................................     0.052853
83.........................................................     0.058986
84.........................................................     0.065569
85.........................................................     0.072836
86.........................................................     0.081018
87.........................................................     0.090348
88.........................................................     0.100882
89.........................................................     0.112467
90.........................................................     0.125016
91.........................................................     0.138442
92.........................................................     0.152660
93.........................................................     0.167668
94.........................................................     0.183524
95.........................................................     0.200229
96.........................................................     0.217783
97.........................................................     0.236188
98.........................................................     0.255605
99.........................................................     0.276035
100........................................................     0.297233
101........................................................     0.318956
102........................................................     0.340960
103........................................................     0.364586
104........................................................     0.389996
105........................................................     0.415180
106........................................................     0.438126
107........................................................     0.456824
108........................................................     0.471493
109........................................................     0.483473
110........................................................     0.492436
111........................................................     0.498054
112........................................................     0.500000
113........................................................     0.500000
114........................................................     0.500000
115........................................................     0.500000
116........................................................     0.500000
117........................................................     0.500000
118........................................................     0.500000
119........................................................     0.500000
120........................................................     1.000000
------------------------------------------------------------------------


      Table 4.--Projection Scale AA for Healthy Female Participants
------------------------------------------------------------------------
                           Age x                                 AAx
------------------------------------------------------------------------
15.........................................................        0.016
16.........................................................        0.015
17.........................................................        0.014
18.........................................................        0.014
19.........................................................        0.015
20.........................................................        0.016
21.........................................................        0.017
22.........................................................        0.017
23.........................................................        0.016
24.........................................................        0.015
25.........................................................        0.014
26.........................................................        0.012
27.........................................................        0.012
28.........................................................        0.012
29.........................................................        0.012
30.........................................................        0.010
31.........................................................        0.008
32.........................................................        0.008
33.........................................................        0.009
34.........................................................        0.010
35.........................................................        0.011
36.........................................................        0.012
37.........................................................        0.013
38.........................................................        0.014
39.........................................................        0.015
40.........................................................        0.015
41.........................................................        0.015
42.........................................................        0.015
43.........................................................        0.015
44.........................................................        0.015
45.........................................................        0.016
46.........................................................        0.017
47.........................................................        0.018
48.........................................................        0.018
49.........................................................        0.018
50.........................................................        0.017
51.........................................................        0.016
52.........................................................        0.014
53.........................................................        0.012
54.........................................................        0.010
55.........................................................        0.008
56.........................................................        0.006
57.........................................................        0.005
58.........................................................        0.005
59.........................................................        0.005
60.........................................................        0.005
61.........................................................        0.005
62.........................................................        0.005
63.........................................................        0.005
64.........................................................        0.005
65.........................................................        0.005
66.........................................................        0.005
67.........................................................        0.005
68.........................................................        0.005
69.........................................................        0.005
70.........................................................        0.005
71.........................................................        0.006
72.........................................................        0.006
73.........................................................        0.007
74.........................................................        0.007
75.........................................................        0.008
76.........................................................        0.008
77.........................................................        0.007
78.........................................................        0.007
79.........................................................        0.007
80.........................................................        0.007
81.........................................................        0.007
82.........................................................        0.007
83.........................................................        0.007
84.........................................................        0.007
85.........................................................        0.006
86.........................................................        0.005
87.........................................................        0.004
88.........................................................        0.004
89.........................................................        0.003
90.........................................................        0.003
91.........................................................        0.003
92.........................................................        0.003
93.........................................................        0.002
94.........................................................        0.002
95.........................................................        0.002
96.........................................................        0.002
97.........................................................        0.001
98.........................................................        0.001
99.........................................................        0.001
100........................................................        0.001
101........................................................        0.000
102........................................................        0.000
103........................................................        0.000
104........................................................        0.000
105........................................................        0.000
106........................................................        0.000
107........................................................        0.000
108........................................................        0.000
109........................................................        0.000
110........................................................        0.000
111........................................................        0.000
112........................................................        0.000
113........................................................        0.000
114........................................................        0.000
115........................................................        0.000
116........................................................        0.000
117........................................................        0.000
118........................................................        0.000
119........................................................        0.000
120........................................................        0.000
------------------------------------------------------------------------


Table 5.--Mortality Table for Social Security Disabled Male Participants
------------------------------------------------------------------------
                           Age x                                  qx
------------------------------------------------------------------------
15.........................................................     0.022010
16.........................................................     0.022502
17.........................................................     0.023001
18.........................................................     0.023519
19.........................................................     0.024045
20.........................................................     0.024583
21.........................................................     0.025133
22.........................................................     0.025697
23.........................................................     0.026269
24.........................................................     0.026857
25.........................................................     0.027457
26.........................................................     0.028071
27.........................................................     0.028704
28.........................................................     0.029345
29.........................................................     0.029999
30.........................................................     0.030661
31.........................................................     0.031331
32.........................................................     0.032006
33.........................................................     0.032689
34.........................................................     0.033405
35.........................................................     0.034184
36.........................................................     0.034981
37.........................................................     0.035796
38.........................................................     0.036634
39.........................................................     0.037493
40.........................................................     0.038373

[[Page 12435]]

 
41.........................................................     0.039272
42.........................................................     0.040189
43.........................................................     0.041122
44.........................................................     0.042071
45.........................................................     0.043033
46.........................................................     0.044007
47.........................................................     0.044993
48.........................................................     0.045989
49.........................................................     0.046993
50.........................................................     0.048004
51.........................................................     0.049021
52.........................................................     0.050042
53.........................................................     0.051067
54.........................................................     0.052093
55.........................................................     0.053120
56.........................................................     0.054144
57.........................................................     0.055089
58.........................................................     0.056068
59.........................................................     0.057080
60.........................................................     0.058118
61.........................................................     0.059172
62.........................................................     0.060232
63.........................................................     0.061303
64.........................................................     0.062429
65.........................................................     0.063669
66.........................................................     0.065082
67.........................................................     0.066724
68.........................................................     0.068642
69.........................................................     0.070834
70.........................................................     0.073284
71.........................................................     0.075979
72.........................................................     0.078903
73.........................................................     0.082070
74.........................................................     0.085606
75.........................................................     0.088918
76.........................................................     0.092208
77.........................................................     0.095625
78.........................................................     0.099216
79.........................................................     0.103030
80.........................................................     0.107113
81.........................................................     0.111515
82.........................................................     0.116283
83.........................................................     0.121464
84.........................................................     0.127108
85.........................................................     0.133262
86.........................................................     0.139974
87.........................................................     0.147292
88.........................................................     0.155265
89.........................................................     0.163939
90.........................................................     0.173363
91.........................................................     0.183585
92.........................................................     0.194653
93.........................................................     0.206615
94.........................................................     0.219519
95.........................................................     0.234086
96.........................................................     0.248436
97.........................................................     0.263954
98.........................................................     0.280803
99.........................................................     0.299154
100........................................................     0.319185
101........................................................     0.341086
102........................................................     0.365052
103........................................................     0.393102
104........................................................     0.427255
105........................................................     0.469531
106........................................................     0.521945
107........................................................     0.586518
108........................................................     0.665268
109........................................................     0.760215
110........................................................     1.000000
------------------------------------------------------------------------


      Table 6.--Mortality Table for Social Security Disabled Female
                              Participants
------------------------------------------------------------------------
                           Age x                                  qx
------------------------------------------------------------------------
15.........................................................     0.007777
16.........................................................     0.008120
17.........................................................     0.008476
18.........................................................     0.008852
19.........................................................     0.009243
20.........................................................     0.009650
21.........................................................     0.010076
22.........................................................     0.010521
23.........................................................     0.010984
24.........................................................     0.011468
25.........................................................     0.011974
26.........................................................     0.012502
27.........................................................     0.013057
28.........................................................     0.013632
29.........................................................     0.014229
30.........................................................     0.014843
31.........................................................     0.015473
32.........................................................     0.016103
33.........................................................     0.016604
34.........................................................     0.017121
35.........................................................     0.017654
36.........................................................     0.018204
37.........................................................     0.018770
38.........................................................     0.019355
39.........................................................     0.019957
40.........................................................     0.020579
41.........................................................     0.021219
42.........................................................     0.021880
43.........................................................     0.022561
44.........................................................     0.023263
45.........................................................     0.023988
46.........................................................     0.024734
47.........................................................     0.025504
48.........................................................     0.026298
49.........................................................     0.027117
50.........................................................     0.027961
51.........................................................     0.028832
52.........................................................     0.029730
53.........................................................     0.030655
54.........................................................     0.031609
55.........................................................     0.032594
56.........................................................     0.033608
57.........................................................     0.034655
58.........................................................     0.035733
59.........................................................     0.036846
60.........................................................     0.037993
61.........................................................     0.039176
62.........................................................     0.040395
63.........................................................     0.041653
64.........................................................     0.042950
65.........................................................     0.044287
66.........................................................     0.045666
67.........................................................     0.046828
68.........................................................     0.048070
69.........................................................     0.049584
70.........................................................     0.051331
71.........................................................     0.053268
72.........................................................     0.055356
73.........................................................     0.057573
74.........................................................     0.059979
75.........................................................     0.062574
76.........................................................     0.065480
77.........................................................     0.068690
78.........................................................     0.072237
79.........................................................     0.076156
80.........................................................     0.080480
81.........................................................     0.085243
82.........................................................     0.090480
83.........................................................     0.096224
84.........................................................     0.102508
85.........................................................     0.109368
86.........................................................     0.116837
87.........................................................     0.124948
88.........................................................     0.133736
89.........................................................     0.143234
90.........................................................     0.153477
91.........................................................     0.164498
92.........................................................     0.176332
93.........................................................     0.189011
94.........................................................     0.202571
95.........................................................     0.217045
96.........................................................     0.232467
97.........................................................     0.248870
98.........................................................     0.266289
99.........................................................     0.284758
100........................................................     0.303433
101........................................................     0.327385
102........................................................     0.359020
103........................................................     0.395842
104........................................................     0.438360
105........................................................     0.487816
106........................................................     0.545886
107........................................................     0.614309
108........................................................     0.694884
109........................................................     0.789474
110........................................................     1.000000
------------------------------------------------------------------------


    Issued in Washington, DC, this 8th day of March, 2005.
Bradley D. Belt,
Executive Director, Pension Benefit Guaranty Corporation.

[FR Doc. 05-4950 Filed 3-11-05; 8:45 am]
BILLING CODE 7708-01-P