10. EMPLOYEE BENEFIT PLANS

The Company has defined contribution plans for most of its domestic employees. Under these plans, eligible employees may contribute amounts through payroll deductions supplemented by employer contributions for investment in various investments specified in the plans. In the second quarter of 2009, the Company elected to suspend employer contributions into the defined contribution plans. The Company has restored employer matching contributions to the defined contribution plans effective as of January 1, 2013. The Company contribution to these plans was $152 for 2013 and $0 for 2012 and 2011, respectively.

The Company provides post-retirement medical benefits to certain domestic full-time employees who meet minimum age and service requirements. In 1999, a plan amendment was instituted which limits the liability for post-retirement benefits beginning January 1, 2000 for certain employees who retire after that date. This plan amendment resulted in a $1,100 unrecognized prior service cost reduction which will be recognized as employees render the services necessary to earn the post-retirement benefit. The Company’s policy is to pay the cost of these post-retirement benefits when required on a cash basis. The Company also has provided certain foreign employees with retirement related benefits.

The following table presents the amounts recognized in the Company’s consolidated balance sheets at December 31, 2013 and 2012 for post-retirement medical benefits:


		2013		2012
Change in Projected Benefit Obligation
Projected benefit obligation at January 1	$	702	$	850
Interest cost		29		43
Actuarial loss		25		(47)
Participant contributions		32		60
Benefits paid		(155)		(204)
Projected benefit obligation at December 31		633		702
Change in fair value of plan assets
Employer contributions		114		144
Participant contributions		32		60
Benefits paid		(146)		(204)
Funded status		(633)		(702)
Current liabilities		102		112
Noncurrent liabilities		531		590
Net amount recognized	$	633	$	702
Amount recognized in other comprehensive income		-		-
Unrecognized net actuarial gain		-		-
Total	$	-	$	-

Accrued post-retirement medical benefit costs are classified as other post-retirement benefit obligations as of December 31, 2013 and 2012.

Net periodic post-retirement medical benefit costs for 2013, 2012, and 2011 included the following components:


		2013		2012		2011
Service cost	$	-	$	-	$	-
Interest cost		29		43		47
Net periodic post-retirement medical benefit cost	$	29	$	43	$	47

For measurement purposes, a 7.0% annual rate of increase in the per capita cost of covered benefits (i.e., health care cost trend rate) was assumed for 2014; the rate was assumed to decrease gradually to 3.5% by the year 2018 and remain at that level thereafter. The difference in the health care cost trend rate assumption may have a significant effect on the amounts reported. Employer contributions for 2014 are expected to be approximately $103.

The assumptions used for the years ended December 31 were as follows:


	2013		2012		2011
Annual increase in cost of benefits	7.0	%	8.0	%	8.0	%
Discount rate used to determine year-end obligations	4.0	%	4.5	%	5.5	%
Discount rate used to determine year-end expense	4.5	%	5.5	%	6.0	%

The following employer benefit payments (medical and pension), which reflect expected future service, are expected to be paid:


2014	$	229
2015		218
2016		209
2017		201
2018		190
Years 2019-2023		715

In addition to the post-retirement medical benefits the Company provides retirement related benefits to former executive employees and to certain employees of foreign subsidiaries. The liabilities established for these benefits at December 31, 2013 and 2012 are illustrated below.


		2013		2012
Current portion	$	129	$	36
Long-term portion		803		510
Total liability at December 31	$	932	$	546

The Company calculated the fair values of the pension plans above utilizing a discounted cash flow, using standard life expectancy tables, annual pension payments, and a discount rate of 4.5%.