Chemtura Corporation has become the latest company to follow thetrend — transferring its pension liabilities to a thirdparty.

Chemtura reached an agreement with Voya Retirement Insurance andAnnuity Company to provide pension payments to approximately 5,000retirees and beneficiaries currently covered under the ChemturaCorporation Retirement Plan. The transaction, known as a pensionrisk transfer arrangement, will shift the responsibility forChemtura’s pension obligations over to Voya. In exchange for Voyataking on its financial obligation, Chemtura will purchase a groupannuity contract representing approximately $350 million inpremiums to be paid to Voya.

In the wake of the passage of the Pension Protection Act of 2006and the financial crisis of 2008, plan sponsors have increasinglylooked for ways to derisk their pension commitments — andincreasingly have turned to the marketplace to findcompanies willing to assume pension risks. In fact, last Juneconsulting firm Mercer launched the Mercer Pension Risk Exchange, aimed athelping a growing wave of plan sponsors execute group annuitybuyouts more quickly and to comparison shop for price.