UK - Pearson Plc is to make £273.4m (€403.5m) in additional payments into the Pearson Pension Group pension plan over the next eight years to address a shortfall, an official company document reveals.

This shortfall is "expected" to be made up by the end of 2014, the document added.

According to a Summary Funding Statement (2007) published by Pearson Trustees in June, the most recent full valuation undertaken in January 1 2006 revealed assets of £1.415bn, liabilities of £1.658bn - making a £243m deficit and implying a funding level of 85%.

The plan had around 24,829 members in both money purchase and final salary schemes on December 31 2006, the date at which the value of plan assets indicated an improvement to £1.55bn.

To fill the gap, the company has agreed to pay an additional £121m during 2007, £21m in 2008 and £21.9m each year from 2009 to 2014, the statement said.

Including the £21m of extra monies paid into the plan last year, the total additional payment will be £294.4m.

The fund's current asset allocation breaks down as 24.2% in UK equities, 22.5% in overseas equities and 19.1% in fixed-income securities, 13.2% in hedge funds and long/short UK equity positions, 9.6% in property, 5.9% in index-link securities, 2.1% in cash and 3.4% in private equity.

In 2007, the trustees appointed Legal & General as an additional bond manager and selected Rogge to manage a bond mandate.