Pension Plan

9 Months Ended

Nov. 30, 2012

Pension Plan [Abstract]

Pension Plan

12. Pension Plan

The Company and certain subsidiaries have a noncontributory defined benefit retirement plan (the “Pension Plan”), covering approximately 9% of their aggregate employees. Benefits are based on years of service and the employee’s average compensation for the highest five compensation years preceding retirement or termination. The Company’s funding policy is to contribute annually an amount in accordance with the requirements of the Employee Retirement Income Security Act of 1974 (“ERISA”).

Pension expense is composed of the following components included in cost of goods sold and selling, general and administrative expenses in the Company’s consolidated statements of earnings (in thousands):

	Three months ended						Nine months ended
	November 30,						November 30,
	2012			2011			2012			2011
Components of net periodic benefit cost
Service cost	$	322		$	304		$	963		$	911
Interest cost		600			631			1,801			1,892
Expected return on plan assets		(802	)		(804	)		(2,406	)		(2,411	)
Amortization of:
Prior service cost		(37	)		(36	)		(109	)		(108	)
Unrecognized net loss		456			315			1,368			946
Net periodic benefit cost	$	539		$	410		$	1,617		$	1,230

The Company is required to make contributions to the Pension Plan. These contributions are required under the minimum funding requirements of ERISA. Due to the recent enactment of the Moving Ahead for Progress in the 21^st Century (MAP-21) in July 2012, which effectively raises the discount rates mandated for determining the value of a pension plan’s benefit liability and annual cost of accruals, the Company’s minimum required contribution to the Pension Plan is zero for the Pension Plan year ending February 28, 2013. However, the Company expects to make a cash contribution to the Pension Plan of between $2.0 million and $3.0 million during the fourth quarter of fiscal year 2013. The Company contributed $3.0 million to the Pension Plan during fiscal year 2012.