NEW YORK (Dow Jones/AP) — Wal-Mart Stores Inc., the nation's largest private-sector employer, is eliminating two Putnam funds from its employee 401(k) plan — more unwelcome news for a mutual-fund firm that has been jolted by allegations of improper trading.
The funds affected are the Putnam New Opportunities Fund and the Putnam International Growth Fund.
Sharon Weber, a spokeswoman for Wal-Mart, declined to say why the investment options were being dropped but noted that the company's retirement-plans committee monitors all funds to determine what will be of greatest benefit to employees.
As of Jan. 31, 2002, Wal-Mart's 401(k) plan had $1.56 billion in assets and 532,729 participants with account balances, according to regulatory filings.
The retail giant employs about 1.2 million people worldwide, Weber said.
Wal-Mart employees were notified of the decision earlier this week.
Wal-Mart, based in Bentonville, Ark., joins an expanding list of corporations, including Revlon Inc. and Interpublic Group of Cos., that have severed some ties to Putnam, a unit of Marsh & McLennan Cos.
State pension funds and individual investors have also pulled out money in the past few weeks.
"We're disappointed about (companies') decision and hope that we'll have the opportunity to manage investments for them in the future," said Laura McNamara, a spokeswoman for Putnam Investments.