Employee Benefit Plans

401(k) Retirement Plan

The Company sponsors a single 401(k) retirement plan covering substantially all full-time, non-union employees, as well as union employees at two of its manufacturing facilities. Under the plan, employees are allowed to contribute up to 60 percent of eligible earnings to the plan, up to statutory limits. The Company contributes a match of 100 percent of the first one percent contributed and 50 percent of the next five percent contributed on eligible compensation that non-union employees contribute and according to contract terms for union employees. The Company match was $8.0 million in fiscal 2019, $7.5 million in fiscal 2018 and $6.2 million in fiscal 2017.

Deferred Compensation Plan

The Company maintains a plan that allows participants to defer compensation. The deferred compensation liability was $12.1 million and $10.7 million at March 2, 2019 and March 3, 2018, respectively. The Company has investments in corporate-owned life insurance policies (COLI) of $13.2 million and money market funds (classified as cash equivalents) of $0.6 million with the intention of utilizing them as long-term funding sources for this plan. The COLI assets are recorded at their net cash surrender values and are included in other non-current assets in the consolidated balance sheet.

Plans under Collective Bargaining Agreements

We contribute to various multi-employer union retirement plans, which provide retirement benefits to the majority of our union employees; none of the plans are considered significant. The total contribution to these plans in fiscal 2019, 2018 and 2017 was $4.9 million, $2.9 million and $3.9 million, respectively.

Pension Plan

The Company sponsors the Tubelite Inc. Hourly Employees' Pension Plan, a defined-benefit pension plan that was frozen to new entrants in fiscal 2004, with no additional benefits accruing to plan participants after such time.

Officers' Supplemental Executive Retirement Plan (SERP)

The Company sponsors an unfunded SERP, a defined-benefit pension plan that was frozen to new entrants in fiscal 2009, with no additional benefits accruing to plan participants after such time.

Obligations and Funded Status of Defined-Benefit Pension Plans

The following tables present reconciliations of the benefit obligation of the defined-benefit pension plans and the funded status of the defined-benefit pension plans. The Tubelite plan uses a measurement date as of the calendar month-end closest to our fiscal year-end, while the SERP uses a measurement date aligned with our fiscal year-end.



(In thousands)	2019			2018
Change in projected benefit obligation
Benefit obligation beginning of period	$	13,834		$	14,492
Interest cost	506			531
Actuarial (gain)	(19		)	(175		)
Benefits paid	(1,011		)	(1,014		)
Benefit obligation at measurement date	13,310			13,834
Change in plan assets
Fair value of plan assets beginning of period	$	4,169		$	4,185
Actual return on plan assets	97			10
Company contributions	2,075			988
Benefits paid	(1,011		)	(1,014		)
Fair value of plan assets at measurement date	5,330			4,169
Underfunded status	$	(7,980	)	$	(9,665	)

The funded status was recognized in the consolidated balance sheets as follows, as one of our plans was in an overfunded position:



(In thousands)	2019			2018
Other non-current assets	$	337		$	—
Current liabilities	(684		)	(668		)
Other non-current liabilities	(7,633		)	(8,997		)
Total	$	(7,980	)	$	(9,665	)

The following was included in accumulated other comprehensive loss and has not yet been recognized as a component of net periodic benefit cost:



(In thousands)	2019		2018
Net actuarial loss	$	5,025	$	5,325

The amount recognized in comprehensive earnings, net of tax expense, was:



(In thousands)	2019		2018
Net actuarial gain	$	229	$	284

Components of the defined-benefit pension plans' net periodic benefit cost:



(In thousands)	2019			2018			2017
Interest cost	$	506		$	531		$	555
Expected return on assets	(40		)	(41		)	(41		)
Amortization of unrecognized net loss	226			228			225
Net periodic benefit cost	$	692		$	718		$	739

Total net periodic pension benefit cost is expected to be approximately $0.5 million in fiscal 2020. The estimated net actuarial loss for the defined-benefit pension plans that will be amortized from accumulated other comprehensive loss into net periodic benefit cost for fiscal 2020 is $0.1 million, net of tax benefit.

Additional Information

Assumptions



Benefit Obligation Weighted-Average Assumptions	2019		2018		2017
Discount rate	3.80	%	3.80	%	3.80	%



Net Periodic Benefit Expense Weighted-Average Assumptions	2019		2018		2017
Discount rate	3.85	%	3.80	%	3.85	%
Expected long-term rate of return on assets	4.50	%	2.00	%	2.00	%

Discount rate. The discount rate reflects the current rate at which the defined-benefit plans' pension liabilities could be effectively settled at the end of the year based on the measurement date. The discount rate was determined by matching the expected benefit payments to payments from the Principal Discount Yield Curve. There are no known or anticipated changes in the discount rate assumption that will have a significant impact on pension expense in fiscal 2020.

Expected return on assets. To develop the expected long-term rate of return on assets, we considered historical long-term rates of return achieved by the plan investments, the plan's investment strategy, and current and projected market conditions. During fiscal 2019, the assets of the Tubelite plan were moved from investment in a short-term bond fund to various duration fixed income funds. The investments are carried at fair value based on prices from recent trades of similar securities, which would be classified as Level 2 in the valuation hierarchy. We do not maintain assets intended for the future use of the SERP.

Contributions

Company contributions to the plans for fiscal 2019 were $2.1 million and for fiscal 2018 were $1.0 million, which equaled or exceeded the minimum funding requirements.

Estimated Future Benefit Payments

The following benefit payments, which reflect expected future service, are expected to be paid by the plans:



(In thousands)	2020		2021		2022		2023		2024		2025-2029
Estimated future benefit payments	$	1,054	$	1,035	$	1,008	$	977	$	946	$	4,405