Retirement Benefits

6 Months Ended

Dec. 31, 2012

Retirement Benefits

Note 16 – Retirement Benefits

Plan Descriptions

Retirement savings plan

We provide a Retirement Savings Plan (the “Savings Plan”) for certain employees in the United States. Under the Savings Plan, and subject to certain limitations: (i) employees may contribute up to 50 percent of their pretax compensation; (ii) each business unit will make a safe harbor non-elective contribution in an amount equal to three percent of a participant’s pre-tax compensation; and (iii) each business unit may also make a matching contribution of 50 percent of an employee’s tax-deferred compensation, up to the first six percent of a participant’s pre-tax compensation. Matching contributions vest at a rate of 25 percent for each year of service with the employer, beginning with the second year of service.

Pension benefits

We provide defined pension benefits to certain eligible employees. The measurement date used for determining pension benefits is the last day of our fiscal year, June 30^th. We have certain business units in Europe and Asia that maintain defined benefit pension plans for many of our current and former employees. The coverage provided and the extent to which the retirees’ share in the cost of the program vary by business unit. Generally, plan benefits are based on age, years of service and average compensation during the final years of service. In the United States, we have a Supplemental Executive Retirement Plan (the “SERP”) that provides retirement, death and termination benefits, as defined in the SERP, to certain key executives designated by our Board of Directors. The majority of our defined benefit plans do not have contractual or statutory provisions which specify minimum funding requirements. We are in compliance with all existing contractual obligations and statutory provisions.

The following table presents the components of net periodic benefit cost for the three and six months ended December 31, 2012 and 2011:

	Three Months Ended December 31,						Six Months Ended December 31,
	2012			2011			2012			2011
Service cost	$	544		$	398		$	1,074		$	813
Interest cost		1,777			1,982			3,526			4,007
Expected return on plan assets		(73	)		(58	)		(145	)		(119	)
Amortization of prior service cost		291			351			584			703
Amortization of net loss		969			449			1,936			897
Net periodic benefit cost	$	3,508		$	3,122		$	6,975		$	6,301

During the three months ended December 31, 2012 and 2011, we made contributions of $1.8 million and $2.2 million, respectively, to the defined benefit pension plans, substantially all of which were paid to participants. During the six months ended December 31, 2012 and 2011, we made contributions of $4.2 million and $4.3 million, respectively, to the defined benefit pension plans which were paid to participants. We expect to make approximately $5.0 million in contributions for the remainder of the fiscal year ending June 30, 2013.