Employee benefit plans (Tables)

9 Months Ended

Jul. 02, 2016

The Company uses a September 30 measurement date for its defined benefit pension plans.

	(in thousands of dollars)
	Three Months ended						Nine Months ended
	July 2, 2016			July 4, 2015			July 2, 2016			July 4, 2015
Interest cost	$	304		$	308		$	885		$	928
Service cost		49			-			82			-
Expected return on plan assets		(281	)		(311	)		(846	)		(937	)
Amortization of net loss		128			66			278			198
Net periodic benefit cost		200			63			399			189
Net cost of defined contribution plans	$	105		$	87		$	388		$	359
Net cost of all employee benefit plans	$	305		$	150		$	787		$	548

Movement in liability for pension benefits

The following table sets forth the movement in the liability for pension benefits in the nine month periods ended July 2, 2016 and July 4, 2015, respectively:

	(in thousands of dollars)
	Nine Months ended
	July 2, 2016			July 4, 2015
Liability for pension benefits at beginning of period		10,963			9,529
Liability assumed on acquisition of subsidiary		1,167			-
Interest cost		885			928
Service cost		82			-
Expected return on plan assets		(846	)		(937	)
Plan withdrawals		(36	)		-
Plan contributions		(477	)		(497	)
Effect of exchange rate changes		(1,211	)		(349	)
Balance at end of period		10,527			8,674

Amounts recognized in balance sheet

Amounts recognized in the balance sheet consist of:

	(in thousands of dollars)
	July 2, 2016		July 4, 2015
Non-current liabilities	$	10,527	$	8,674

Amounts recognized in accumulated other comprehensive loss

Amounts recognized in accumulated other comprehensive loss consist of:

	(in thousands of dollars)
	Three Months ended				Nine Months ended
	July 2, 2016		July 4, 2015		July 2, 2016		July 4, 2015
Actuarial loss, net of $39 and $74 tax benefit for the three and nine month periods, respectively, (2015: net of $16 and $47 tax benefit for the three and nine month periods, respectively)	$	89	$	50	$	203	$	151

Pension plan assets measured and recorded at fair value

The table below presents information about the Company’s pension plan assets measured and recorded at fair value as of July 2, 2016 and indicates the fair value hierarchy of the inputs utilized by the Company to determine the fair values.

	(in thousands of dollars)

July 2, 2016	Level 1* (Quoted prices in active markets)		Level 2** (Significant observable inputs)		Level 3*** (Unobservable inputs)
Adept Strategy 9 Fund (a sub-fund of Adept Investment Management plc)		-		12,011		-
Schroder Matching Plus Nominal and Index Linked Liability Driven Investment Swap Funds (funds managed by Schroder Investment Management Limited)		-		4,869		-
U.S. Mutual Funds and Fixed Income Funds		1,176		-		-
U.S. Equity Funds		1,970		-		-
Other Types of Investments
Cash		1,159		-		-
Total		4,305		16,880		-

	(in thousands of dollars)
September 30, 2015	Level 1* (Quoted prices in active markets)		Level 2** (Significant observable inputs)		Level 3*** (Unobservable inputs)
Adept Strategy 9 Fund (a sub-fund of Adept Investment Management plc)		-		13,044		-
Schroder Matching Plus Nominal and Index Linked Liability Driven Investment Swap Funds (funds managed by Schroder Investment Management Limited)		-		3,845		-
U.S. Mutual Funds and Fixed Income Funds		2,557		-		-
U.S. Equity Funds		350		-		-
Other Types of Investments
Cash		331		-		-
Total		3,238		16,889		-

*	Level 1 investments represent mutual funds for which a quoted market price is available on an active market. These investments primarily hold stocks or bonds, or a combination of stocks and bonds.

Level 2 inputs are inputs other than quoted prices included within Level 1 that are observable for the asset or liability, either directly or indirectly. The Company’s pension plan financial assets held in the Adept Strategy 9 Fund and the Schroder investments are Level 2 assets. The Company uses the Net Asset Value to determine the fair value of underlying investments which (a) do not have readily determinable fair value; and (b) prepare their financial statements consistent with the measurement principles of an investment company. The Funds are not exchange traded. The Funds are not subject to any redemption notice periods or restrictions and can be redeemed on a daily basis. No gates or holdbacks or dealing suspensions are being applied to the Funds. The Funds are of perpetual duration.

***	The Company currently does not have any Level 3 pension plan financial assets.

Estimated future benefit payments

The following estimated benefit payments have been, or are expected, to be paid:

	(in thousands of dollars)
2016	$	426
2017		514
2018		532
2019		540
2020		550
2021 – 2025	$	2,958