XML 49 R17.htm IDEA: XBRL DOCUMENT v3.2.0.727
Employee Benefit Plans
 6 Months Ended
Jun. 28, 2015
Compensation and Retirement Disclosure [Abstract]  
Employee Benefit Plans
Employee Benefit Plans
Retirement Plans and Retiree Health and Life Insurance Plans
The Company provides non-contributory defined benefit pension plans for a majority of its employees in the United States and certain of its employees in Mexico and Belgium. Effective December 31, 2003, the Company froze participation for newly hired salaried and non-union hourly U.S. employees in its qualified defined benefit pension plan. At that time, the Company adopted a defined contribution plan, the Sonoco Investment and Retirement Plan (SIRP), which covers its non-union U.S. employees hired on or after January 1, 2004. The Company also sponsors contributory defined benefit pension plans covering the majority of its employees in the United Kingdom, Canada, and the Netherlands.
On February 4, 2009, the U.S. qualified defined benefit pension plan was amended to freeze plan benefits for all active participants effective December 31, 2018. Remaining active participants in the U.S. qualified plan will become participants of the SIRP effective January 1, 2019.
The Company also provides postretirement healthcare and life insurance benefits to a limited number of its retirees and their dependents in the United States and Canada, based on certain age and/or service eligibility requirements.
The components of net periodic benefit cost include the following: 
 
 
Three Months Ended
 
Six Months Ended
 
 
June 28,
2015
 
June 29,
2014
 
June 28,
2015
 
June 29,
2014
Retirement Plans
 
 
 
 
 
 
Service cost
 
$
6,088

 
$
5,625

 
$
11,341

 
$
10,792

Interest cost
 
17,829

 
18,411

 
34,762

 
36,308

Expected return on plan assets
 
(23,527
)
 
(23,299
)
 
(46,253
)
 
(46,052
)
Amortization of net transition obligation
 
41

 
102

 
81

 
201

Amortization of prior service cost
 
187

 
166

 
367

 
329

Amortization of net actuarial loss
 
11,105

 
6,794

 
20,833

 
13,096

Net periodic benefit cost
 
$
11,723

 
$
7,799

 
$
21,131

 
$
14,674

Retiree Health and Life Insurance Plans
 
 
 
 
 
 
Service cost
 
$
206

 
$
185

 
$
384

 
$
358

Interest cost
 
225

 
253

 
447

 
510

Expected return on plan assets
 
(414
)
 
(402
)
 
(807
)
 
(789
)
Amortization of prior service credit
 
(26
)
 
(344
)
 
(51
)
 
(681
)
Amortization of net actuarial loss
 
(63
)
 
(103
)
 
(68
)
 
(127
)
Net periodic benefit income
 
$
(72
)
 
$
(411
)
 
$
(95
)
 
$
(729
)


The Company made aggregate contributions of $12,253 and $41,543 to its defined benefit retirement and retiree health and life insurance plans during the six months ended June 28, 2015 and June 29, 2014, respectively. The Company anticipates that it will make additional aggregate contributions of approximately $11,000 to its defined benefit retirement and retiree health and life insurance plans over the remainder of 2015.

Sonoco Investment and Retirement Plan (SIRP)
The Company recognized SIRP expense totaling $3,302 and $2,930 for the quarters ended June 28, 2015 and June 29, 2014, respectively, and $6,929 and $5,486 for the six-month periods ended June 28, 2015 and June 29, 2014, respectively. Contributions to the SIRP, funded annually in the first quarter, totaled $12,865 during the six months ended June 28, 2015, and $12,049 during the six months ended June 29, 2014. No additional SIRP contributions are expected during the remainder of 2015.