XML 34 R20.htm IDEA: XBRL DOCUMENT v3.22.2.2
Benefit Plans
 9 Months Ended
Sep. 30, 2022
Retirement Benefits [Abstract]  
BENEFIT PLANS Benefit Plans
Qualified Retirement Benefits. The Company has a qualified retirement plan covering certain U.S. employees that has been closed to new participants since 2003 and frozen since December 2013.

The Company has a number of non-U.S. defined benefit plans covering eligible employees located predominately in Europe, the most significant of which are German plans. Benefits for these plans are based primarily on each employee's final salary, with annual adjustments for inflation. The obligations in Germany consist of employer funded pension plans and deferred compensation plans. The employer funded pension plans are based upon direct performance-related commitments in terms of defined contribution plans. Each beneficiary receives, depending on individual pay-scale grouping, contractual classification, or income level, different yearly contributions. The contribution is multiplied by an age factor appropriate to the respective pension plan and credited to the individual retirement account of the employee. The retirement accounts may be used up at retirement by either a one-time lump-sum payout or payments of up to ten years.

The Company has other defined benefit plans outside the U.S., which have not been mentioned here due to materiality.

Supplemental Executive Retirement Benefits. The Company has non-qualified pension plans in the U.S. to provide supplemental retirement benefits to certain officers, which have also been frozen since December 2013. Benefits are payable at retirement based upon a percentage of the participant’s compensation, as defined.

Other Benefits. In addition to providing retirement benefits, the Company provides post-retirement healthcare and life insurance benefits (referred to as other benefits) for certain retired employees. Retired eligible employees in the U.S. may be entitled to these benefits based upon years of service with the Company, age at retirement and collective bargaining agreements. There are no plan assets and the Company funds the benefits as the claims are paid. The post-retirement benefit obligation was determined by application of the terms of medical and life insurance plans together with relevant actuarial assumptions and healthcare cost trend rates.
The following tables set forth the change in benefit obligation, change in plan assets, funded status, consolidated balance sheet presentation and net periodic benefit cost for the Company’s defined benefit pension plans and other benefits at and for the three and nine months ended September 30, 2022 and September 30, 2021, respectively:
Three months ended
Pension Benefits
U.S. PlansNon-U.S. PlansOther Benefits
202220212022202120222021
Components of net periodic benefit cost
Service cost$— $0.8 $2.4 $2.5 $— $0.1 
Interest cost4.5 4.0 1.1 0.7 0.1 0.1 
Expected return on plan assets(4.3)(6.4)(3.8)(3.8)— — 
Recognized net actuarial loss (gain)0.2 2.2 (0.4)0.8 (0.1)0.1 
Amortization of prior service cost— — (0.1)(0.1)— — 
Settlement (gain) / loss recognized14.3 — — — — — 
Net periodic pension benefit cost$14.7 $0.6 $(0.8)$0.1 $— $0.3 
Nine months ended
Pension Benefits
U.S. PlansNon-U.S. PlansOther Benefits
202220212022202120222021
Components of net periodic benefit cost
Service cost$— $2.4 $7.1 $7.6 $— $0.1 
Interest cost13.0 11.9 3.3 2.2 0.2 0.5 
Expected return on plan assets(15.9)(19.1)(11.6)(11.3)— — 
Recognized net actuarial loss (gain)3.3 6.7 (1.3)0.9 (0.3)0.2 
Amortization of prior service cost— — (0.3)(0.1)— — 
Settlement (gain) / loss recognized14.3 — — — — — 
Net periodic pension benefit cost$14.7 $1.9 $(2.8)$(0.7)$(0.1)$0.8 

Contributions

For the nine months ended September 30, 2022 and September 30, 2021, contributions of $27.6 and $23.6, respectively, were made to the qualified and non-qualified pension plans. The Company received reimbursements of $17.0 and $16.4 for certain benefits paid from its German plan trustee during May 2022 and June 2021, respectively.

Settlements

In the third quarter of 2022, the U.S. Pension Plan executed a settlement agreement, reducing benefit obligations by $82.4. As a result of the settlement, the Company recognized a non-cash expense of $14.3 which is reported in miscellaneous, net on the condensed consolidated statement of operations.