Q. If a plan is nearly fully funded, does the law allow PBGC to treat the plan differently as to payouts or is the non distressed status irrelevant?
A. The PBGC treats all terminated plans the same, regardless of the level of the funding before termination.
Q. If I am already retired can the bankruptcy effect my current retirement payments?
A. Yes, but only if the pension plan is terminated and the PBGC takes over as the statutory trustee of the plan. If someone is already receiving benefits, the PBGC will review the plan records to determine what benefits that person will receive.
The PBGC will continue paying without interruption during their review, but those payments, an estimate of the benefits that PBGC can pay under the insurance program, may be less than what the person was receiving from his or her plan.
When the PBGC’s calculations are complete, they will send a formal determination of benefits. The PBGC notes that the process may take two to three years from the date the PBGC takes over as trustee of the plan.
See http://www.pbgc.gov/wr/benefits/payments/if-you-are-already-receiving-benefits.html