Employee Benefit Plans

6 Months Ended

Jun. 27, 2021

Retirement Benefits [Abstract]

Employee Benefit Plans

Employee Benefit Plans

The Company has a qualified pension plan and postretirement healthcare benefit plans. The plans cover certain eligible employees and retirees of the Motorcycles segment. The Company also has unfunded supplemental employee retirement plan agreements (SERPA) with certain employees. Service cost is allocated among Selling, administrative and engineering expense, Motorcycles cost of goods sold and Inventories, net. Amounts capitalized in inventory are not significant. Non-service cost components of net periodic benefit cost are presented in Other income, net. Components of net periodic benefit cost for the Company's defined benefit plans were as follows (in thousands):

	Three months ended				Six months ended
	June 27, 2021		June 28, 2020		June 27, 2021		June 28, 2020
Pension and SERPA Benefits:
Service cost	$	6,348	$	6,806	$	12,696	$	13,612
Interest cost	15,472		19,111		30,942		38,223
Expected return on plan assets	(32,720)		(33,764)		(65,440)		(67,528)
Amortization of unrecognized:
Prior service credit	(312)		(272)		(624)		(544)
Net loss	18,386		16,372		36,772		32,744
Settlement loss	—		—		816		—
Net periodic benefit cost	$	7,174	$	8,253	$	15,162	$	16,507
Postretirement Healthcare Benefits:
Service cost	$	1,288	$	1,202	$	2,576	$	2,403
Interest cost	1,626		2,336		3,252		4,672
Expected return on plan assets	(3,495)		(3,467)		(6,990)		(6,934)
Amortization of unrecognized:
Prior service credit	(581)		(595)		(1,162)		(1,190)
Net loss	264		123		528		246
Net periodic benefit cost	$	(898)	$	(401)	$	(1,796)	$	(803)

There are no required or planned voluntary qualified pension plan contributions for 2021. The Company expects it will continue to make ongoing benefit payments under the SERPA and postretirement healthcare plans.