Pension deficit: P&O Ferries of Dover, owned by DP World, dismisses media reports
14:15, 10 December 2019
updated: 14:33, 10 December 2019
A ferry company has dismissed media reports that a pension deficit is threatening its future.
Pensions Age said there was an overall loss of £14.7 million partly caused by a £27.9 million contribution change and a rising deficit for P&O Ferries.
The pensions magazine reported online that this could put the company in danger of folding.
The story has also been covered by other media and was first reported by the Mail on Sunday.
But the Dover-based firm says it has the resources to cope.
It says that other media have only been studying figures from the accounts of P&O Ferries Ltd and not the wider statistics for the owners DP World.
A P&O spokesman told Kent Online: "Media reports have focussed on only a small part of the P&O Ferries business.
"In 2018 P&O Ferries had a turnover of £1.1 billion.
"Figures were quoted out of context as DP World acquired all of the P&O Ferries £1.1 billion business for £322 million."
The Dubai port organisation acquired the ferry operator last February, having previously owned it a decade before.
The P&O spokesman added: "P&O Ferries is now an integral part of DP World, which has a portfolio of more than 150 operations in over 50 countries across six continents, giving it a significant presence in both high growth and mature markets.
"By thinking ahead, foreseeing change and innovating, DP World is creating the most productive, efficient and safe trade solutions globally.
"P&O Ferries is a strong recognisable brand and adds a best in class logistics provider to DP World’s global portfolio."
The cross-Channel operator also says that any short term pension deficit variations should be seen in the context of deteriorations in most UK company pensions liabilities.
It says they should also be seen in the light of P&O Ferries’ and DP World’s plans for long-term growth in multiple geographies.
The spokesman added: "Regardless, the size of the P&O Ferries pension deficit is not significant to a company the size of DP World that has revenue totalling £2.3bn annually."
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