Employer Sponsored Benefit Plans

3 Months Ended

Mar. 31, 2012

Employer Sponsored Benefit Plans

8. Employer Sponsored Benefit Plans

As of March 31, 2012, the Company maintains a defined benefit pension plan that covers certain domestic Lydall employees (“domestic pension plan”) that is closed to new employees and benefits are no longer accruing. The domestic pension plan is noncontributory and benefits are based on either years of service or eligible compensation paid while a participant is in the plan. The Company’s funding policy is to fund not less than the ERISA minimum funding standard and not more than the maximum amount that can be deducted for federal income tax purposes. The Company expects to contribute approximately $2.7 million in cash to its domestic pension plan in 2012. Contributions of $0.5 million and $0.4 million were made during the first quarters of 2012 and 2011, respectively.

The following is a summary of the components of net periodic benefit cost for the domestic pension plan for the quarters ended March 31, 2012 and 2011:

	Quarter Ended March 31,
In thousands	2012			2011
Components of net periodic benefit cost
Interest cost	$	648		$	646
Expected return on assets		(640	)		(662	)
Amortization of actuarial loss		224			140
Net periodic benefit cost	$	232		$	124