EMPLOYEE BENEFIT PLANS

12 Months Ended

Jun. 03, 2016

Compensation and Retirement Disclosure [Abstract]

EMPLOYEE BENFIT PLANS

NOTE 10 – EMPLOYEE BENEFIT PLANS

The Company has a trusteed “Qualified Profit-Sharing Plan” that was amended and restated effective September 1, 2010, known as the Golden Flake Snack Foods, Inc. 401(k) Retirement Savings Plan (the “Plan”). The Plan’s trustee and investment custodian is State Street Bank and Trust Company. Transamerica Retirement Solutions provides recordkeeping and general administrative services for the Plan.

The Company’s contributions to the Plan are reviewed and approved by the Board of Directors. The Company match is 25% of an employee’s eligible contributions up to 4%. Total plan contributions for the years ended June 3, 2016 and May 29, 2015 were $160,046 and $150,586, respectively.

The Company has a non-qualified salary continuation plan with certain of its key officers whereby monthly benefits will be paid for a period of fifteen years following death or retirement at age 65. The Company is accruing the present value of the estimated future retirement payments at a 3.75% discount rate from the date of the agreements to the normal retirement age at which time the principal portion of the retirement benefits paid are applied to the liability previously accrued. The Plan is funded in part with life insurance on the key officers. As of June 3, 2016, the cash surrender value of the life insurance was $438,429 as compared to $630,259 as of May 29, 2015.

The change in the liability for the salary continuation plan is as follows:

	2016		2015
Accrued salary continuation plan - beginning of year	$	1,028,030	$	1,133,154
Benefits accrued		127,368		134,876
Benefits paid		(120,000)		(240,000)
Accrued salary continuation plan - end of year	$	1,035,398	$	1,028,030