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Pension and Other Employee Benefits
 12 Months Ended
Sep. 25, 2021
Retirement Benefits [Abstract]  
Pension and Other Employee Benefits Pension and Other Employee Benefits
The Company has certain defined benefit pension plans covering the employees of its Hitec Imaging German subsidiary (the “Pension Benefits”). As of September 25, 2021 and September 26, 2020, the Company’s pension liability was $10.3 million and $10.9 million, respectively, which is primarily recorded as a component of long-term liabilities in the Consolidated Balance Sheets. Under German law, there are no rules governing investment or statutory supervision of the pension plan. As such, there is no minimum funding requirement imposed on employers. Pension benefits are safeguarded by the Pension Guaranty Fund, a form of compulsory reinsurance that guarantees an employee will receive vested pension benefits in the event of insolvency. The pension plans were closed on December 31, 1997 and only eligible employees at that date could participate in the plans prior to closing to new participants.
The tables below provide a reconciliation of benefit obligations, plan assets, funded status, and related actuarial assumptions of the Company’s German Pension Benefits.
Change in Benefit ObligationYears ended
September 25, 2021September 26, 2020September 28, 2019
Benefit obligation at beginning of year$(10.9)$(10.0)$(9.7)
Service cost— — — 
Interest cost(0.1)(0.1)(0.2)
Plan participants’ contributions— — — 
Actuarial gain (loss)0.5 (0.5)(1.0)
Foreign exchange gain(0.1)(0.7)0.6 
Benefits paid0.3 0.4 0.3 
Benefit obligation at end of year(10.3)(10.9)(10.0)
Plan assets— — — 
Benefit obligation at end of year$(10.3)$(10.9)$(10.0)
The tables below outline the components of the net periodic benefit cost and related actuarial assumptions of the Company’s German Pension Benefits.
Components of Net Periodic Benefit CostYears ended
September 25, 2021September 26, 2020September 28, 2019
Service cost$— $— $— 
Interest cost0.1 0.1 0.2 
Expected return on plan assets— — — 
Amortization of prior service cost— — — 
Recognized net actuarial gain0.3 0.2 0.1 
Net periodic benefit cost$0.4 $0.3 $0.3 
 
Weighted-Average Net Periodic Benefit Cost Assumptions202120202019
Discount rate1.00 %0.80 %1.10 %
Expected return on plan assets— %— %— %
Rate of compensation increase— %— %— %
The projected benefit obligation for the German Pension Benefits with projected benefit obligations in excess of plan assets was $10.3 million and $10.9 million at September 25, 2021 and September 26, 2020, respectively, and the accumulated benefit obligation for the German Pension Benefits was $10.3 million and $10.9 million at September 25, 2021 and September 26, 2020, respectively.
The Company is also obligated to pay long-term service award benefits under the German Pension Benefits. The projected benefit obligation for long-term service awards was $0.1 million at both September 25, 2021 and September 26, 2020, respectively.
The table below reflects the total Pension Benefits expected to be paid for the German Pension Benefits each fiscal year as of September 25, 2021:
2022$0.4 
2023$0.4 
2024$0.4 
2025$0.4 
2026$0.4 
2027 to 2031$2.2 
The Company also maintains additional contractual pension benefits for its top German executive officers in the form of a defined contribution plan. These contributions were insignificant in fiscal 2021, 2020 and 2019.