Employee Benefits

9 Months Ended

Sep. 30, 2020

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,
	2020		2019		2020		2019
Service cost for benefits earned(1)	$	399	$	474	$	1,199	$	1,422
Interest cost on projected benefit obligation(2)	4,263		5,453		12,789		16,359
Expected return on plan assets(2)	(7,082)		(6,983)		(21,248)		(20,949)
Net amortization and deferrals(2)	1,857		1,276		5,573		3,827
Net periodic benefit (income) cost	$	(563)	$	220	$	(1,687)	$	659


(DOLLARS IN THOUSANDS)	Non-U.S. Plans
	Three Months Ended September 30,				Nine Months Ended September 30,
	2020		2019		2020		2019
Service cost for benefits earned(1)	$	5,940	$	4,873	$	17,820	$	14,619
Interest cost on projected benefit obligation(2)	3,245		4,435		9,736		13,305
Expected return on plan assets(2)	(11,614)		(10,904)		(34,842)		(32,712)
Net amortization and deferrals(2)	3,834		2,922		11,502		8,766

Net periodic benefit (income) cost	$	1,405	$	1,326	$	4,216	$	3,978

_______________________

(1)Included as a component of Operating profit.

(2)Included as a component of Other expense (income), net.

The Company expects to contribute a total of $4.4 million to its U.S. pension plans and a total of $20.9 million to its Non-U.S. Plans during 2020. During the nine months ended September 30, 2020, no contributions were made to the qualified U.S. pension plans, $15.6 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.

Income recognized for postretirement benefits other than pensions included the following components:


	Three Months Ended September 30,				Nine Months Ended September 30,
(DOLLARS IN THOUSANDS)	2020		2019		2020		2019
Service cost for benefits earned	$	142	$	148	$	428	$	444
Interest cost on projected benefit obligation	474		578		1,423		1,734
Net amortization and deferrals	(1,153)		(1,195)		(3,458)		(3,584)
Total postretirement benefit income	$	(537)	$	(469)	$	(1,607)	$	(1,406)

The Company expects to contribute $3.8 million to its postretirement benefits other than pension plans during 2020. In the nine months ended September 30, 2020, $2.0 million of contributions were made.