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New Update: Healthcare Costs Increasing by Over 60% in Some States. Will you be impacted?

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How the Shift to Private Equity Could Reshape Retirement Plans for Coterra Energy Employees

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Healthcare Provider Update: Healthcare Provider for Coterra Energy Coterra Energy employees and retirees utilize the healthcare services offered through a variety of providers, primarily those associated with the Affordable Care Act (ACA) marketplace plans. These can include major insurers like UnitedHealthcare, Anthem (Elevance Health), and others depending on the specific plan selections available to them. It is advisable for employees to review their individual options based on their needs and potential costs. Potential Healthcare Cost Increases in 2026 In 2026, Coterra Energy employees may face substantial increases in healthcare costs, driven by impending changes in the Affordable Care Act (ACA). With state estimates pointing to premium hikes exceeding 60% in some regions, and a potential loss of federal premium subsidies, many employees could experience a drastic rise in out-of-pocket expenses-averaging an alarming 75%. This scenario is compounded by escalating medical costs across the board, placing additional financial strain on Coterra employees and retirees as they navigate their healthcare options. It is critical for individuals to proactively plan for these changes to avoid detrimental impacts on their financial stability. Click here to learn more

Retirees at AT&T and Lockheed Martin are currently involved in legal disputes which has garnered a lot of attention from major companies. The disagreement stems from the choice to assign pension obligations to Apollo's insurance and annuity subsidiary, Athene. The plaintiffs contend that this action has put their retirement plans in jeopardy, underscoring the mounting worries in an ever-changing corporate environment about pension security.


The financial market, meanwhile, paints a contradictory picture. After a difficult year in 2023, the performance of healthcare companies has rebounded and is currently nearly matching that of the larger market. Remarkably, since its low in late October, the S&P 500 has increased by 26%, indicating that investor confidence has returned and is starting to spread to European equities. It is anticipated that this tendency will continue, providing an insight into how volatile the world's financial markets are.

In addition, the Federal Reserve's monetary policy committee decided to keep the present interest rate in place, highlighting a cautious approach to the recovery of the economy. Prior to contemplating a rate cut, Fed Chair Jerome Powell has underlined the need for a more robust decline in inflation. This position suggests that expectations for interest rates and economic growth may need to be adjusted, which could signal tighter monetary policy in the near future.

The stock performance of General Electric is particularly noteworthy, as it has started a winning streak that represents a noteworthy reversal in fortunes. It is expected that this encouraging trend will continue, bringing investors' attention to the business's impending developments.


A SPAC merger will soon provide investors who want to capitalize on former President Donald Trump's brand with a new investment channel. This will be a rare chance for investors to interact with a well-known brand in the financial industry.

After its GTC developer event, Nvidia continues to be a major player in the tech industry. Wall Street praised the company's news despite the stock's erratic performance. The expectation for additional growth—possibly driven by global expansion—highlights how important innovation is to shaping market dynamics.

These developments highlight the complex interactions that shape the environment in which firms operate and investors navigate. These interactions include market trends, company decisions, and regulatory rules.

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One noteworthy trend that has surfaced amid mounting concerns about pension security is the rising involvement of private equity firms in pension plan investments. Private equity's search for reliable, long-term investment prospects is what's causing this change. The effect on retirees from Coterra Energy and companies alike have been the subject of discussion, though, since these companies frequently aim for greater returns, which could raise the risk profile of historically conservative pension plans. Critics contend that pension management may become more complicated as a result of retiree interests aligning with private equity's profit objectives. This changing environment emphasizes how crucial regulatory supervision and due diligence are to shield retirees' interests.

Picture your Coterra Energy pension (if Coterra Energy offers you a pension) as a tranquil garden that has been lovingly and diligently tended to over many years. This garden is your haven, a place of serenity and nourishment for the later years of your life. Abruptly, a new gardener who represents private equity steps in, drawn by the garden's potential to produce profitable, exotic species. Even if these new plants have the potential to thrive and add unparalleled beauty and diversity to the garden, they call for riskier, unproven gardening approaches that could endanger the garden's legacy plants, which are the foundation of your haven. The garden's caretakers are concerned about this shift because they think that their efforts to create an exotic flower garden may be jeopardized if they become distracted by the more traditional blooming. The delicate balance between expansion and preservation is highlighted by this scenario, which reflects retirees facing the uncertainty of their pensions under new administration.

What is the primary purpose of Coterra Energy's 401(k) Savings Plan?

The primary purpose of Coterra Energy's 401(k) Savings Plan is to help employees save for retirement by providing a tax-advantaged way to invest a portion of their salary.

How can employees of Coterra Energy enroll in the 401(k) Savings Plan?

Employees of Coterra Energy can enroll in the 401(k) Savings Plan by completing the online enrollment process through the company’s benefits portal or by contacting the HR department for assistance.

What types of contributions can employees make to Coterra Energy's 401(k) Savings Plan?

Employees can make pre-tax contributions, Roth (after-tax) contributions, and possibly catch-up contributions if they are age 50 or older to Coterra Energy's 401(k) Savings Plan.

Does Coterra Energy offer a company match for 401(k) contributions?

Yes, Coterra Energy offers a company match for employee contributions to the 401(k) Savings Plan, which enhances the overall retirement savings for employees.

What is the vesting schedule for Coterra Energy's company match in the 401(k) Savings Plan?

The vesting schedule for Coterra Energy's company match typically follows a graded vesting schedule, where employees become fully vested after a certain number of years of service.

Can employees of Coterra Energy change their contribution amounts to the 401(k) Savings Plan?

Yes, employees can change their contribution amounts to Coterra Energy's 401(k) Savings Plan at any time, subject to plan rules.

What investment options are available within Coterra Energy's 401(k) Savings Plan?

Coterra Energy's 401(k) Savings Plan offers a variety of investment options, including mutual funds, target-date funds, and other investment vehicles to suit different risk tolerances.

Is there a loan option available through Coterra Energy's 401(k) Savings Plan?

Yes, Coterra Energy allows employees to take loans against their 401(k) Savings Plan balance, subject to specific terms and conditions outlined in the plan.

How can employees access their account information for Coterra Energy's 401(k) Savings Plan?

Employees can access their account information for Coterra Energy's 401(k) Savings Plan through the plan's online portal or by contacting the plan administrator.

What happens to the 401(k) Savings Plan if an employee leaves Coterra Energy?

If an employee leaves Coterra Energy, they have several options regarding their 401(k) Savings Plan balance, including rolling it over to another retirement account, cashing it out, or leaving it in the plan if permitted.

With the current political climate we are in it is important to keep up with current news and remain knowledgeable about your benefits.
Pension Plan: Coterra Energy's pension plan is designed to provide financial security for its employees upon retirement. The specific name of the pension plan is the Coterra Energy Defined Benefit Plan. This plan uses a formula based on years of service and average final pay to determine the pension amount. Employees become eligible for the pension plan after completing five years of service and reaching the age of 55. The pension formula typically considers the highest consecutive three years of earnings within the last ten years of service. This information can be found in the 2023 Annual Report on page 45​ (Coterra Energy)​ (CoTerra Energy). 401(k) Plan: The 401(k) plan at Coterra Energy, referred to as the Coterra Energy 401(k) Savings Plan, includes a company match and an employer retirement contribution. Employees can contribute a portion of their salary on a pre-tax or post-tax (Roth) basis, with the company matching up to 6% of the employee's contributions. All full-time employees are eligible to participate in the 401(k) plan from the first day of employment. Detailed information about the 401(k) plan and its benefits can be found on page 22 of the Coterra Energy Employee Benefits Guide
Restructuring Layoffs: In May 2024, Coterra's subsidiary, GasSearch Drilling Services (GDS), laid off one-third of its workforce in Pennsylvania. This reduction affected 55 employees out of 170, which was part of the company's strategic cost-cutting measures amidst fluctuating market conditions. Benefit Changes: Coterra has maintained a consistent dividend payout, with a slight increase in 2024 to $0.21 per share, reflecting a 5% year-over-year growth. The company's total shareholder returns for 2023 amounted to $1.026 billion, combining dividends and share repurchases. Pension and 401(k) Changes: Coterra's financial reports from 2023 indicate a strong cash flow from operating activities, enabling continued contributions to employee retirement plans without major changes to existing pension or 401(k) structures. The company’s focus remains on sustaining financial health to support employee benefits despite industry challenges.
2022: Coterra Energy offered stock options and Restricted Stock Units (RSUs) to its employees as part of their compensation and retention strategy. The RSUs vested over a period of three to five years and were primarily aimed at senior executives and key personnel. Stock options were granted with a vesting schedule and an exercise price equal to the market value of the stock on the grant date​ (CoTerra Energy). 2023: In 2023, Coterra Energy continued to offer RSUs and stock options, emphasizing long-term performance and shareholder value. The RSUs and stock options remained an integral part of the company’s incentive plans to retain top talent and align their interests with those of shareholders. The vesting schedules and performance criteria were designed to reward sustained performance and commitment​ (CoTerra Energy). 2024: For 2024, Coterra Energy enhanced its equity compensation plans by introducing performance-based RSUs, which vested based on the achievement of specific operational and financial targets. Stock options granted in 2024 included similar vesting schedules and exercise prices set at the market value on the grant date. These plans were available to senior executives and other key employees, aiming to drive long-term growth and sustainability​ (CoTerra Energy).
Health Benefits Information for Coterra Energy (2022-2024) Overview: Coterra Energy offers a comprehensive benefits package designed to support the health and well-being of its employees. The package includes medical, dental, and vision insurance, as well as a range of additional benefits aimed at providing financial security and work-life balance. Health Benefits: Coterra provides a consumer-directed health plan (CDHP) which includes excellent coverage for preventive care, comprehensive medical services, and prescription drugs. The plan is complemented by a Health Savings Account (HSA), to which Coterra makes a generous employer contribution. This account allows employees to save pre-tax dollars for healthcare expenses.
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For more information you can reach the plan administrator for Coterra Energy at 801 Travis St. Houston, TX 77002; or by calling them at 713-651-1144.

https://www.coterra.com/contact-us/ https://investors.coterra.com/Investors/resources/investor-contacts/default.aspx https://investors.coterra.com/Investors/news/news-details/2024/Coterra-Energy-Reports-Fourth-Quarter-and-Full-Year-2023-Results-Provides-2024-Outlook-and-Announces-Dividend-Increase/ https://last10k.com/sec-filings/ctra/0000858470-24-000019.htm https://investors.coterra.com/Investors/news/news-details/2024/Coterra-Energy-Reports-Fourth-Quarter-and-Full-Year-2023-Results-Provides-2024-Outlook-and-Announces-Dividend-Increase/default.aspx https://www.sec.gov/Archives/edgar/data/858470/000130817923000263/lctra2023_def14a.htm https://marcellusdrilling.com/2024/05/coterras-gds-subsidiary-lays-off-one-third-of-pa-workforce/ https://www.marketscreener.com/quote/stock/COTERRA-ENERGY-INC-12146/news/Coterra-Energy-to-close-GDS-facility-in-Marcellus-Business-Unit-46878518/ https://stockanalysis.com/stocks/ctra/employees/ https://investors.coterra.com/Investors/news/news-details/2021/Cabot-Oil--Gas-and-Cimarex-Energy-Complete-Combination-Forming-Coterra-Energy/default.aspx https://investors.coterra.com/Investors/financials/annual-reports/default.aspx https://www.marketscreener.com/quote/stock/COTERRA-ENERGY-INC-12146/news/Coterra-Energy-Reports-Fourth-Quarter-and-Full-Year-2023-Results-Provides-2024-Outlook-and-Announc-46012254/ https://benefits.coterra.com/-/media/Mercer/Coterra/Documents/2023-Coterra_RateSheet_FINAL-092322.pdf?rev=6f3987adafb04ddd834541cb3d06082a&hash=0B612FBDB26822F905B67D67CBC1AA95 https://benefits.coterra.com/-/media/Mercer/Coterra/Documents/2024_Coterra_Benefits_Glance.pdf?rev=ddc423802e254a6295e645ed422580db&hash=49B40EE84B1A3BE513B01F8B8AA83DA9 https://benefits.coterra.com/-/media/Mercer/Coterra/Documents/2024_Coterra_Benefits_Glance.pdf?rev=ddc423802e254a6295e645ed422580db&hash=49B40EE84B1A3BE513B01F8B8AA83DA9 https://www.coterra.com/careers/employee-benefits/ https://investors.coterra.com/Investors/news/news-details/2024/Coterra-Energy-Reports-Fourth-Quarter-and-Full-Year-2023-Results-Provides-2024-Outlook-and-Announces-Dividend-Increase/default.aspx https://investors.coterra.com/ https://investors.coterra.com/Investors/news/news-details/2024/Coterra-Energy-Reports-Fourth-Quarter-and-Full-Year-2023-Results-Provides-2024-Outlook-and-Announces-Dividend-Increase/default.aspx

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