11. 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. The Company contributions to these plans were $341 for 2015, $271 for 2014 and $0 for 2013.

The Company provides post-retirement medical benefits to certain former domestic employees who met 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 is 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. In 2015, the mortality tables were updated causing a $62k change in the estimated post-retirement medical benefit obligation.

The following table presents the amounts recognized in the Company’s consolidated balance sheets at December 31, 2015 and 2014 for post-retirement medical benefits:


		2015		2014
Change in Projected Benefit Obligation
Projected benefit obligation at January 1	$	588	$	633
Interest cost		25		26
Actuarial loss		134		36
Participant contributions		25		27
Benefits paid		(127)		(134)
Projected benefit obligation at December 31		645		588
Change in fair value of plan assets
Employer contributions		102		107
Participant contributions		25		27
Benefits paid		(127)		(134)
Funded status		(645)		(588)
Current liabilities		103		103
Noncurrent liabilities		542		485
Net amount recognized		645		588
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, 2015 and 2014.

Net periodic post-retirement medical benefit costs for 2015, 2014, and 2013 included the following components:

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 2015; the rate was assumed to decrease gradually to 3.5% by the year 2019 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 2015 are expected to be approximately $103.

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


	2015		2014		2013
Annual increase in cost of benefits	7.0	%	7.0	%	7.0	%
Discount rate used to determine year-end obligations	4.5	%	4.5	%	4.0	%
Discount rate used to determine year-end expense	4.5	%	4.5	%	4.5	%

In addition to the post-retirement medical benefits, the Company provides retirement related benefits to certain former executive employees and to certain employees of foreign subsidiaries. The liabilities established for these benefits at December 31, 2015 and 2014 are illustrated below.


		2015		2014
Current portion	$	93	$	93
Long-term portion		805		741
Total liability at December 31	$	898	$	834

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%. In 2015, the mortality tables were updated causing a $133k change in the estimated pension plans benefit obligation.

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


2016	$	196
2017		193
2018		177
2019		164
2020		152
Years 2021-2025		532