A federal judge in Texas has ruled against a pair of Verizon (NYSE: VZ ) retirees suing to block the company's transfer of pension obligations to Prudential (NYSE: PRU ) , according to a court document. The ruling paves the way for Verizon to complete the transfer.
The company first announced its intention to move $7.5 billion of its $30 billion in pension obligations to Prudential in October to provide a group annuity plan for its ex-employees. Verizon has around 41,000 former workers eligible for benefits.
The following month, two of those retirees filed a lawsuit seeking to block Verizon's move.