Note G – Retirement Benefit Plans

The Company has non-contributory defined benefit pension plans covering certain U.S. employees. Plan benefits are generally based upon age at retirement, years of service and, for its salaried plan, the level of compensation. The Company also sponsors unfunded nonqualified supplemental retirement plans that provide certain current and

former officers with benefits in excess of limits imposed by federal tax law. In addition, the Company provides health care and life insurance for retired salaried employees in the U.S. who meet specific eligibility requirements.

Significant disclosures relating to these benefit plans for the third quarter and first nine months of fiscal years 2018 and 2017 are as follows:

	Pension Benefits
	Nine Months Ended						Three Months Ended
	September 29, 2018			September 30, 2017			September 29, 2018			September 30, 2017
Service cost	$	989,881		$	952,078		$	329,959		$	317,360
Interest cost		2,330,373			2,373,167			776,790			791,055
Expected return on plan assets		(3,914,637	)		(3,587,682	)		(1,304,879	)		(1,195,895	)
Amortization of prior service cost		98,072			109,312			32,691			36,438
Amortization of the net loss		832,584			923,614			277,528			307,871
Net periodic benefit cost	$	336,273		$	770,489		$	112,089		$	256,829

	Postretirement Benefits
	Nine Months Ended						Three Months Ended
	September 29, 2018			September 30, 2017			September 29, 2018			September 30, 2017
Service cost	$	27,768		$	20,542		$	9,256		$	6,847
Interest cost		57,871			60,620			19,290			20,206
Expected return on plan assets		(41,738	)		(38,621	)		(13,913	)		(12,874	)
Amortization of prior service cost		(3,804	)		(16,083	)		(1,268	)		(5,361	)
Amortization of the net loss		(49,193	)		(58,201	)		(16,397	)		(19,400	)
Net periodic benefit cost	$	(9,096	)	$	(31,743	)	$	(3,032	)	$	(10,582	)

The Company's funding policy with respect to its qualified plans is to contribute at least the minimum amount required by applicable laws and regulations. In fiscal year 2018, the Company has contributed $2,510,000 into its pension plans and $97,000 to its postretirement plan. The Company made additional contributions in excess of the minimum amount required in order to take advantage of the higher tax deduction on its 2017 tax return. The Company intends to make an additional $8,000 of contributions to its postretirement plan during the remainder of the year.

The Company has a contributory savings plan under Section 401(k) of the Internal Revenue Code (the "401(k) Plan") covering substantially all U.S. non-union employees. The 401(k) Plan allows participants to make voluntary contributions from their annual compensation on a pre-tax basis, subject to limitations under the Internal Revenue Code. The 401(k) Plan provides for contributions by the Company at its discretion.

The Company made contributions to the 401(k) Plan as follows:


	Nine Months Ended						Three Months Ended
	September 29, 2018			September 30, 2017			September 29, 2018			September 30, 2017
Regular matching contribution		$	436,088		$	346,713		$	129,968		$	111,291
Transitional credit contribution			273,742			307,597			68,128			76,526
Non-discretionary contribution			558,547			339,220			17,715			15,987
Total contributions for the period		$	1,268,377		$	993,530		$	215,811		$	203,804

The non-discretionary contribution of $502,617 made in the nine months ended September 29, 2018 was expensed in the prior fiscal year.