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Employee Benefits
 9 Months Ended
Sep. 30, 2018
Retirement Benefits [Abstract]  
Employee Benefits
EMPLOYEE BENEFITS
Pension and other defined contribution retirement plan expenses included the following components:
(DOLLARS IN THOUSANDS)
U.S. Plans
Three Months Ended September 30,
 
Nine Months Ended September 30,
2018
 
2017
 
2018
 
2017
Service cost for benefits earned(1)
$
596

 
$
698

 
$
1,788

 
$
2,094

Interest cost on projected benefit obligation(2)
4,790

 
4,561

 
14,370

 
13,682

Expected return on plan assets(2)
(7,740
)
 
(9,246
)
 
(23,219
)
 
(27,738
)
Net amortization and deferrals(2)
1,549

 
1,793

 
4,647

 
5,379

Net periodic benefit income
(805
)
 
(2,194
)
 
(2,414
)
 
(6,583
)
Defined contribution and other retirement plans(1)
2,396

 
1,939

 
8,167

 
6,718

Total expense
$
1,591

 
$
(255
)
 
$
5,753

 
$
135


(DOLLARS IN THOUSANDS)
Non-U.S. Plans
Three Months Ended September 30,
 
Nine Months Ended September 30,
2018
 
2017
 
2018
 
2017
Service cost for benefits earned(1)
$
4,470

 
$
5,956

 
$
13,410

 
$
17,080

Interest cost on projected benefit obligation(2)
4,338

 
4,066

 
13,014

 
11,825

Expected return on plan assets(2)
(12,032
)
 
(12,873
)
 
(36,096
)
 
(37,340
)
Net amortization and deferrals(2)
2,972

 
4,185

 
8,916

 
12,096

Net periodic benefit (income) cost
(252
)
 
1,334

 
(756
)
 
3,661

Defined contribution and other retirement plans(1)
1,644

 
1,470

 
4,901

 
4,383

Total expense
$
1,392

 
$
2,804

 
$
4,145

 
$
8,044


_______________________ 
(1)
Included as a component of Operating Profit.
(2)
Included as a component of Other Income (Expense), net.
The Company expects to contribute a total of approximately $4.1 million to its U.S. pension plans and a total of $17.1 million to its Non-U.S. Plans during 2018. During the nine months ended September 30, 2018, no contributions were made to the qualified U.S. pension plans, $12.7 million of contributions were made to the non-U.S. pension plans, and $3.3 million of benefit payments were made with respect to the Company's non-qualified U.S. pension plan.
Expense recognized for postretirement benefits other than pensions included the following components: 
 
Three Months Ended September 30,
 
Nine Months Ended September 30,
(DOLLARS IN THOUSANDS)
2018
 
2017
 
2018
 
2017
Service cost for benefits earned
$
196

 
$
221

 
$
587

 
$
663

Interest cost on projected benefit obligation
654

 
588

 
1,962

 
1,764

Net amortization and deferrals
(1,189
)
 
(1,046
)
 
(3,567
)
 
(3,138
)
Total postretirement benefit income
$
(339
)
 
$
(237
)
 
$
(1,018
)
 
$
(711
)

The components of net periodic benefit (income) other than the service cost component are included in Other (income) expense, net in the Consolidated Statement of Income and Comprehensive Income. Beginning in 2018, under the revised FASB guidance adopted in the first quarter of 2018, only the service cost component of net periodic benefit (income) cost is a component of operating profit in the Consolidated Statements of Income and Comprehensive Income and the other components of net periodic benefit cost are now included in Other (income), net. As a result of this change, Other income increased by approximately $6.7 million and $8.7 million in the three months ended September 30, 2018 and 2017, respectively, and by approximately $20.0 million and $23.6 million in the nine months ended September 30, 2018 and 2017, respectively, compared to what the Other (income) expense, net would have been under the previous method. The retroactive $8.7 million reduction in operating profit for the three months ended September 30, 2017 was reflected as a $1.7 million increase in cost of goods sold, a $2.8 million increase in research and development expenses, and a $4.2 million increase in selling and administrative expenses. The retroactive $23.6 million reduction in operating profit for the nine months ended September 30, 2017 was reflected as a $4.8 million increase in cost of goods sold, a $7.7 million increase in research and development expenses, and a $11.0 million increase in selling and administrative expenses.
The Company expects to contribute approximately $5.0 million to its postretirement benefits other than pension plans during 2018. In the nine months ended September 30, 2018 $3.1 million of contributions were made.