Retirement Plans

9 Months Ended

Jul. 09, 2017

Pension and Other Postretirement Benefit Expense [Abstract]

Retirement Plans

RETIREMENT PLANS

Defined benefit pension plans — We sponsor two defined benefit pension plans, a “Qualified Plan” covering substantially all full-time employees hired prior to January 1, 2011, and an unfunded supplemental executive retirement plan (“SERP”) which provides certain employees additional pension benefits and was closed to new participants effective January 1, 2007. In fiscal 2011, the Board of Directors approved the sunset of our Qualified Plan whereby participants no longer accrue benefits effective December 31, 2015. Benefits under both plans are based on the employee’s years of service and compensation over defined periods of employment.

Postretirement healthcare plans — We also sponsor two healthcare plans, closed to new participants, that provide postretirement medical benefits to certain employees who have met minimum age and service requirements. The plans are contributory; with retiree contributions adjusted annually, and contain other cost-sharing features such as deductibles and coinsurance.

Net periodic benefit cost — The components of net periodic benefit cost in each period were as follows (in thousands):

	Quarter						Year-to-date
	July 9, 2017			July 3, 2016			July 9, 2017			July 3, 2016
Defined benefit pension plans:
Interest cost	$	5,247		$	5,579		$	17,491		$	18,599
Service cost	505			1,212			1,682			4,040
Expected return on plan assets	(6,494		)	(5,020		)	(21,647		)	(16,735		)
Actuarial loss (1)	1,411			943			4,703			3,144
Amortization of unrecognized prior service costs (1)	35			56			117			185
Net periodic benefit cost	$	704		$	2,770		$	2,346		$	9,233
Postretirement healthcare plans:
Interest cost	$	232		$	292		$	772		$	972
Actuarial loss (1)	37			51			124			169
Net periodic benefit cost	$	269		$	343		$	896		$	1,141

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(1) Amounts were reclassified from accumulated OCI into net earnings as a component of selling, general and administrative expenses.

Future cash flows — Our policy is to fund our plans at or above the minimum required by law. As of January 1, 2016, the date of our last actuarial funding valuation, there was no minimum contribution funding requirement. Details regarding 2017 contributions are as follows (in thousands):

	SERP		Postretirement Healthcare Plans
Net year-to-date contributions	$	3,350	$	760
Remaining estimated net contributions during fiscal 2017	$	1,100	$	300

We continue to evaluate contributions to our Qualified Plan based on changes in pension assets as a result of asset performance in the current market and the economic environment. We do not anticipate making any contributions to our Qualified Plan in fiscal 2017.