US West Proposes Pension Lawsuit Deal

US West Inc. has agreed to settle a class-action lawsuit over pension fund expenses for $8 million as long as the $12-billion fund’s annual administrative expenses are kept secret. The lawsuit alleged that US West charged administrative and operating expenses to the pension plan’s assets between 1984 and 1994 despite a clause that required the company to absorb those costs. Attorney Raymond W. Martin, who represents the telecommunications giant, told U.S. District Judge Walker Miller that expense reports should be protected as corporate trade secrets. Curtis L. Kennedy, who represents the 115,000 pension plan participants, has no objection to the company’s condition. However, about 1,350 pension plan participants say they are hesitant to allow the reports to remain secret. Miller indicated he will deliver an opinion in the next few weeks.