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Lockheed Martin to transition employees to new retirement plan

July 1 (Reuters) - Lockheed Martin Corp, Pentagon's biggest defense supplier, said it would freeze its current pension plan and move employees to a defined contribution retirement plan.

The new pension plan will come into effect from Jan. 1, 2016, the maker of the F-35 fighter jet, satellites and coastal warships said on Tuesday.

The company said it would freeze the current service-based benefits by Jan. 1, 2020.

Under the new plan, employees will be transitioned to a retirement plan that offers up to 10 percent of their salary annually in company contributions, Lockheed said.

(Reporting by Rohit T. K. in Bangalore; Editing by Saumyadeb Chakrabarty)