Federal Home Loan Bank of Topeka
11/26/2024 | Press release | Distributed by Public on 11/26/2024 15:07
Material Agreement Form 8 K
Item 1.01 Entry into a Material Definitive Agreement
On November 21, 2024, Federal Home Loan Bank of Topeka ("FHLBank") entered into an acceptance agreement (the "Acceptance Agreement") with Midland National Life Insurance Company (the "Insurer"), dated November 20, 2024. Under the Acceptance Agreement, FHLBank purchased a non-participating, single premium, general account group annuity contract (the "Annuity Contract") and transferred to the Insurer the future benefit obligations and annuity administration for approximately 340 participants ("Participants") under the Pentegra Defined Benefit Pension Plan for Financial Institutions (the "Plan").
Upon payment of the single premium to the Insurer (the "Transaction"), FHLBank transferred the benefit payment responsibilities from the Plan to the Insurer, subject to certain conditions set forth in the Acceptance Agreement. Participants will continue to receive benefits from the Plan through January 31, 2025. Beginning February 1, 2025, the Insurer will assume responsibility for payment of benefits to the Participants and for administrative and customer service support regarding such benefits.
The purchase of the Annuity Contract was funded directly by assets of the Plan. FHLBank did not incur any expenses or use any FHLBank assets in connection with the Transaction. Benefits payable to the Participants are not being changed as a result of the Transaction.