Pension and Other Postretirement Benefits (Tables)

12 Months Ended

Dec. 31, 2013

Net Benefit Cost of Pension and Postretirement Benefit Plans

The following table provides information for the net benefit cost of pension and postretirement benefit plans for continuing operations:

	Pension									Other Benefits
	2013			2012			2011			2013		2012		2011
	(Dollars in thousands)
Service cost	$	1,819		$	2,331		$	2,297		$	663	$	704	$	479
Interest cost		16,842			16,561			17,284			2,707		2,122		2,054
Expected return on plan assets		(23,122	)		(20,245	)		(19,998	)		—		—		—
Net amortization and deferral		5,847			6,474			4,018			1,348		761		(45	)
Curtailment gain		—			(197	)		(37	)		—		—		—
Settlement loss (gain)		—			106			(5	)		—		—		—
Net benefit cost	$	1,386		$	5,030		$	3,559		$	4,718	$	3,587	$	2,488

Weighted Average Assumptions used in Determining Net Periodic Benefit Cost

The following table provides information for the weighted average assumptions for United States and foreign plans used in determining net benefit cost:

	Pension								Other Benefits
	2013		2012			2011			2013			2012			2011
Discount rate	4.27	%		4.28	%		5.50	%		3.83	%		3.95	%		5.10	%
Rate of return	8.31	%		8.27	%		8.31	%		—			—			—
Initial healthcare trend rate	—			—			—			8.15	%		8.5	%		8.0	%
Ultimate healthcare trend rate	—			—			—			5.0	%		5.0	%		5.0	%

Pension and Postretirement Benefit Plans

The following table provides summarized information on the Company’s pension and postretirement benefit plans, measured as of December 31, 2013 and 2012, and the amounts recognized in the consolidated balance sheet and in accumulated other comprehensive income with respect to the plans:

		Pension					Other Benefits
		2013		2012			2013			2012
		Under Funded					Under Funded
		(Dollars in thousands)
Benefit obligation, beginning of year	$	397,184		$	393,794		$	55,609		$	49,508
Service cost		1,819			2,331			663			704
Interest cost		16,842			16,561			2,707			2,122
Actuarial (gain) loss		(30,755	)		2,345			(3,833	)		6,161
Currency translation		861			678			—			—
Benefits paid		(17,004	)		(16,227	)		(2,860	)		(3,106	)
Medicare Part D reimbursement		—			—			162			220
Settlements		—			(767	)		—			—
Administrative costs		(1,216	)		(1,452	)		—			—
Curtailments		—			(79	)		—			—
Projected benefit obligation, end of year		367,731			397,184			52,448			55,609
Fair value of plan assets, beginning of year		276,863			243,324			—			—
Actual return on plan assets		28,813			33,946			—			—
Contributions		17,724			17,567			—			—
Benefits paid		(17,004	)		(16,227	)		—			—
Settlements paid		—			(767	)		—			—
Administrative costs		(1,216	)		(1,452	)		—			—
Currency translation		301			472			—			—
Fair value of plan assets, end of year		305,481			276,863			—			—
Funded status, end of year	$	(62,250	)	$	(120,321	)	$	(52,448	)	$	(55,609	)

Amounts Recognized in the Consolidated Balance Sheet

The following table sets forth information as to amounts recognized in the consolidated balance sheet with respect to the plans:

	Pension						Other Benefits
	2013			2012			2013			2012

	(Dollars in thousands)
Payroll and benefit-related liabilities	$	(1,819	)	$	(1,784	)	$	(3,381	)	$	(3,200	)
Pension and postretirement benefit liabilities		(60,431	)		(118,537	)		(49,067	)		(52,409	)
Accumulated other comprehensive loss		144,866			186,916			7,073			12,254
	$	82,616		$	66,595		$	(45,375	)	$	(43,355	)

Amounts Recognized in Accumulated Other Comprehensive (Income) Loss

The following tables set forth information as to amounts recognized in accumulated other comprehensive income (loss) with respect to the plans:

	Pension
	Prior Service Cost (Credit)			Net (Gain) or Loss			Deferred Taxes			Accumulated Other Comprehensive (Income) Loss, Net of Tax
	(Dollars in thousands)
Balance at December 31, 2011	$	251		$	204,257		$	(74,488	)	$	130,020
Reclassification adjustments related to components of Net Periodic Benefit Cost recognized during the period:
Net amortization and deferral		(35	)		(6,439	)		2,287			(4,187	)
Curtailment		—			118			(44	)		74
Settlement		—			(106	)		40			(66	)
Amounts arising during the period:
Actuarial changes in benefit obligation		—			(11,356	)		4,696			(6,660	)
Impact of currency translation		—			226			(58	)		168
Balance at December 31, 2012		216			186,700			(67,567	)		119,349
Reclassification adjustments related to components of Net Periodic Benefit Cost recognized during the period:
Net amortization and deferral		(34	)		(5,813	)		1,947			(3,900	)
Amounts arising during the period:
Actuarial changes in benefit obligation		—			(36,446	)		13,206			(23,240	)
Impact of currency translation		—			243			(66	)		177
Balance at December 31, 2013	$	182		$	144,684		$	(52,480	)	$	92,386

	Other Benefits
	Prior Service Cost (Credit)			Initial Obligation			Net (Gain) or Loss			Deferred Taxes			Accumulated Other Comprehensive (Income) Loss, Net of Tax
	(Dollars in thousands)
Balance at December 31, 2011	$	(93	)	$	102		$	6,845		$	(2,326	)	$	4,528
Reclassification adjustments related to components of Net Periodic Benefit Cost recognized during the period:
Net Amortization and deferral		55			(97	)		(719	)		277			(484	)
Amounts Arising During the period:
Actuarial changes in benefit obligation		—			—			6,161			(2,297	)		3,864
Balance at December 31, 2012		(38	)		5			12,287			(4,346	)		7,908
Reclassification adjustments related to components of Net Periodic Benefit Cost recognized during the period:
Net Amortization and deferral		55			(5	)		(1,398	)		492			(856	)
Amounts Arising During the period:
Actuarial changes in benefit obligation		—			—			(3,833	)		1,432			(2,401	)
Balance at December 31, 2013	$	17		$	—		$	7,056		$	(2,422	)	$	4,651

Weighted Average Assumptions used in Determining Benefit Obligations

The following table provides the weighted average assumptions for United States and foreign plans used in determining benefit obligations:

	Pension							Other Benefits
	2013			2012			2013			2012
Discount rate		4.98	%		4.27	%		4.70	%		3.83	%
Rate of compensation increase		3.0	%		3.0	%		—			—
Initial healthcare trend rate		—			—			7.0	%		8.15	%
Ultimate healthcare trend rate		—			—			5.0	%		5.0	%

Fair Values of Pension Plan Assets

The following table provides the fair values of the Company’s pension plan assets at December 31, 2013 by asset category:

	Fair Value Measurements at 12/31/13
Asset Category (a)	Total		Quoted Prices in Active Markets for Identical Assets (Level 1)		Significant Observable Inputs (Level 2)		Significant Unobservable Inputs (Level 3)
	(Dollars in thousands)
Cash	$	472	$	472	$	—	$	—
Money market funds		310		310		—		—
Equity securities:
Managed volatility (b)		77,140		77,140		—		—
United States small/mid-cap equity (c)		19,760		19,760		—		—
World Equity (excluding United States) (d)		30,183		30,183		—		—
Common Equity Securities – Teleflex Incorporated		10,972		10,972		—		—
Diversified United Kingdom Equity		928		928		—		—
Diversified Global		2,319		2,319		—		—
Emerging Markets		1,270		1,270		—		—

Fixed income securities:
Long duration bond fund (e)		76,608		76,608		—		—
UK corporate bond fund		2,569		2,569		—		—
UK Government bond fund		4,455		4,455		—		—
High yield bond fund (f)		12,754		12,754		—		—
Emerging markets debt fund (g)		9,003		—		9,003		—
Corporate, government and foreign bonds		87		—		87		—
Asset backed – home loans		847		—		847		—
Other types of investments:
Structured credit (h)		29,109		—		—		29,109
Hedge fund of funds (i)		22,540		—		—		22,540
UK Property Fund (j)		1,402		—		1,402		—
Multi asset fund (k)		2,748		2,748		—		—
Other		5		—		—		5
Total	$	305,481	$	242,488	$	11,339	$	51,654

The following table provides the fair values of the Company’s pension plan assets at December 31, 2012 by asset category:

	Fair Value Measurements at 12/31/12
Asset Category (a)	Total		Quoted Prices in Active Markets for Identical Assets (Level 1)		Significant Observable Inputs (Level 2)		Significant Unobservable Inputs (Level 3)
	(Dollars in thousands)
Cash	$	408	$	408	$	—	$	—
Money market funds		361		361		—		—
Equity securities:
Managed volatility (b)		66,413		66,413		—		—
United States small/mid-cap equity (c)		16,543		16,543		—		—
World Equity (excluding United States) (d)		27,257		27,257		—		—
Common Equity Securities – Teleflex Incorporated		8,336		8,336		—		—
Diversified United Kingdom Equity		6,681		6,681		—		—
Diversified Global (excluding United Kingdom)		3,267		3,267		—		—
Fixed income securities:
Long duration bond fund (e)		73,370		73,370		—		—
High yield bond fund (f)		10,896		10,896		—		—
Emerging markets debt fund (g)		8,453		8,453		—		—
Corporate, government and foreign bonds		5,675		—		5,675		—
Asset backed – home loans		1,005		—		1,005		—
Other types of investments:
Structured credit (h)		26,828		—		—		26,828
Hedge fund of funds (i)		21,365		—		—		21,365
Other		5		—		—		5
Total	$	276,863	$	221,985	$	6,680	$	48,198

(a)	Information on asset categories described in notes (b)-(k) is derived from prospectuses and other material provided by the respective funds comprising the respective asset categories.

(b)	This category comprises mutual funds that invest in securities of United States and non-United States companies of all capitalization ranges that exhibit relatively low volatility.

(c)

This category comprises a mutual fund that invests at least 80% of its net assets in equity securities of small and mid-sized companies. The fund invests in common stocks or exchange traded funds holding common stock of United States companies with market capitalizations in the range of companies in the Russell 2500 Index.

(d)

This category comprises a mutual fund that invests at least 80% of its net assets in equity securities of foreign companies. These securities may include common stocks, preferred stocks, warrants, exchange traded funds based on an international equity index and derivative instruments whose value is based on an international equity index and derivative instruments whose value is based on an underlying equity security or a basket of equity securities. The fund invests in securities of foreign issuers located in developed and emerging market countries. However, the fund will not invest more than 30% of its assets in the common stocks or other equity securities of issuers located in emerging market countries.

(e)

This category comprises a mutual fund that invests in instruments or derivatives having economic characteristics similar to fixed income securities. The fund invests in investment grade fixed income instruments, including securities issued or guaranteed by the United States Government and its agencies and instrumentalities, corporate bonds, asset-backed securities, exchange traded funds, mortgage-backed securities and collateralized mortgage-backed securities. The fund invests primarily in long duration government and corporate fixed income securities, and uses derivative instruments, including interest rate swap agreements and Treasury futures contracts, for the purpose of managing the overall duration and yield curve exposure of the Fund’s portfolio of fixed income securities.

(f)	This category comprises a mutual fund that invests at least 80% of its net assets in higher-yielding fixed income securities, including corporate bonds and debentures, convertible and preferred securities and zero coupon obligations.

(g)

This category comprises a mutual fund that invests at least 80% of its net assets in fixed income securities of emerging market issuers, primarily in United States dollar-denominated debt of foreign governments, government-related and corporate issuers in emerging market countries and entities organized to restructure the debt of those issuers.

(h)

This category comprises a fund that invests primarily in collateralized debt obligations (“CDOs”) and other structured credit vehicles. The fund investments may include fixed income securities, loan participants, credit-linked notes, medium-term notes, pooled investment vehicles and derivative instruments.

(i)

This category comprises a hedge fund that invests in various other hedge funds. As of December 31, 2013 and 2012:

·	approximately 28% and 22%, respectively, of the assets of the hedge fund were invested in equity hedge based funds, including equity long/short and equity market neutral strategies;

·	approximately 18% and 30%, respectively, of the assets were held in tactical/directional based funds, including global macro, long/short equity, commodity and systematic quantitative strategies;

·	approximately 25% and 25%, respectively, of the assets were held in relative value based funds, including convertible and fixed income arbitrage, credit long/short and volatility arbitrage strategies;

·	approximately 23% and 17%, respectively, of the assets were held in funds with an event driven strategy; and

·	approximately 6% and 6%, respectively, of the assets were held in cash.

(j)	This category comprises a fund that invests primarily in UK freehold and leasehold property. The fund does not invest in higher risk activities such as developments. The fund may invest in indirect vehicles and property derivatives.

(k)	This category comprises a mutual fund that invests primarily in equities, bonds and alternatives.

Reconciliation of Changes in Level 3 Pension Assets Measured at Fair Value on Recurring Basis

The following table provides a reconciliation of changes in Level 3 pension assets measured at fair value on a recurring basis from December 31, 2011 through December 31, 2013:

	Hedge Fund of Funds		Structured Credit		Other Investments
	(Dollars in thousands)
Balance at December 31, 2011	$	20,624	$	—	$	531
Purchases		—		26,000		—
Sales/redemptions		—		—		(509	)
Actual return on assets		741		828		(35	)
Foreign currency adjustment		—		—		18
Balance at December 31, 2012		21,365		26,828		5
Actual return on assets		1,175		2,281		—
Balance at December 31, 2013	$	22,540	$	29,109	$	5

Expected Benefit Payments

The following table provides information about the Company’s expected benefit payments for U.S. and foreign plans for each of the five succeeding years and the aggregate of the five years thereafter, net of the annual average Medicare Part D subsidy of approximately $0.2 million:

	Pension			Other Benefits
	(Dollars in thousands)
2014	$	16,969	$	3,381
2015		17,497		3,459
2016		18,145		3,580
2017		18,653		3,556
2018		19,382		3,859
Years 2019 — 2023		108,118		20,347

- Definition

Tabular disclosure of one or more of the entity's defined benefit pension plans or one or more other defined benefit postretirement plans, separately for pension plans and other postretirement benefit plans including the entity's schedule of fair value of plan assets for defined benefit or other postretirement plans.

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