Defined Benefit Plans

9 Months Ended

Jun. 30, 2011

Defined Benefit Plans [Abstract]

DEFINED BENEFIT PLANS

10. DEFINED BENEFIT PLANS

Defined Benefit Plan Descriptions. We maintain three defined benefit pension plans which cover substantially all of our U.S. employees, excluding employees of our Aerospace Equipment segment: the Amended and Restated American Pacific Corporation Defined Benefit Pension Plan, the Ampac Fine Chemicals LLC Pension Plan for Salaried Employees, and the Ampac Fine Chemicals LLC Pension Plan for Bargaining Unit Employees, each as amended to date. Collectively, these three plans are referred to as the “Pension Plans”. Benefits are paid based on an average of earnings, retirement age, and length of service, among other factors. In May 2010, our board of directors approved amendments to our Pension Plans which effectively closed the Pension Plans to participation by any new employees. Retirement benefits for existing U.S. employees and retirees through June 30, 2010 are not affected by this change. Beginning July 1, 2010, new U.S. employees began participating solely in one of the Company’s 401(k) plans. In addition, we maintain the American Pacific Corporation Supplemental Executive Retirement Plan (the “SERP”) that includes three executive officers and two former executive officers. We use a measurement date of September 30 to account for our Pension Plans and SERP.

Net periodic pension cost consists of the following:

	Three Months Ended						Nine Months Ended
	June 30,						June 30,
	2011			2010			2011			2010
Pension Plans:
Service Cost	$	592		$	397		$	1,824		$	1,647
Interest Cost		900			864			2,656			2,460
Expected Return on Plan Assets		(720	)		(600	)		(2,164	)		(1,806	)
Recognized Actuarial Losses		474			357			1,314			883
Amortization of Prior Service Costs		15			13			46			51
Net Periodic Pension Cost	$	1,261		$	1,031		$	3,676		$	3,235
Supplemental Executive Retirement Plan:
Service Cost	$	81		$	109		$	243		$	329
Interest Cost		89			94			267			281
Expected Return on Plan Assets		—			—			—			—
Recognized Actuarial Losses		—			—			—			—
Amortization of Prior Service Costs		105			105			315			315
Net Periodic Pension Cost	$	275		$	308		$	825		$	925

Defined Contribution Plan Descriptions. We maintain two 401(k) plans in which participating employees may make contributions. One covers substantially all U.S. employees except bargaining unit employees of our Fine Chemicals segment and the other covers those bargaining unit employees. We make matching contributions for Fine Chemicals segment employees and U.S. employees of our Aerospace Equipment segment. In addition, we make a profit sharing contribution for U.S. employees of our Aerospace Equipment segment who were employed by us prior to June 30, 2010. Beginning July 1, 2010, for all eligible new U.S. employees we began making matching contributions.

Contributions and Benefit Payments. For the nine months ended June 30, 2011, we contributed $5,052 to the Pension Plans to fund benefit payments and anticipate making approximately $772 in additional contributions through September 30, 2011. For the nine months ended June 30, 2011, we contributed $396 to the SERP to fund benefit payments and anticipate making approximately $131 in additional contributions through September 30, 2011.