PENSION PLANS AND OTHER POST RETIREMENT BENEFITS

The following table provides details of our defined benefit pension plans and long-term employee benefit obligations for Open Text Document Technologies GmbH (CDT), GXS GmbH (GXS GER) and GXS Philippines, Inc. (GXS PHP) as of September 30, 2016 and June 30, 2016:



	As of September 30, 2016
	Total benefit obligation		Current portion of benefit obligation*		Non-current portion of benefit obligation
CDT defined benefit plan	$	31,336	$	610	$	30,726
GXS Germany defined benefit plan	26,453		811		25,642
GXS Philippines defined benefit plan	4,169		72		4,097
Other plans	3,387		161		3,226
Total	$	65,345	$	1,654	$	63,691



	As of June 30, 2016
	Total benefit obligation		Current portion of benefit obligation*		Non-current portion of benefit obligation
CDT defined benefit plan	$	29,450	$	589	$	28,861
GXS Germany defined benefit plan	24,729		772		23,957
GXS Philippines defined benefit plan	7,341		30		7,311
Other plans	3,330		1,466		1,864
Total	$	64,850	$	2,857	$	61,993

*The current portion of the benefit obligation has been included within "Accrued salaries and commissions", all within "Accounts payable and accrued liabilities" in the Condensed Consolidated Balance Sheets (see Note 9).

Defined Benefit Plans

CDT Plan

CDT sponsors an unfunded defined benefit pension plan covering substantially all CDT employees (CDT pension plan) which provides for old age, disability and survivors’ benefits. Benefits under the CDT pension plan are generally based on age at retirement, years of service and the employee’s annual earnings. The net periodic cost of this pension plan is determined using the projected unit credit method and several actuarial assumptions, the most significant of which are the discount rate and estimated service costs. No contributions have been made since the inception of the plan. Actuarial gains or losses in excess of 10% of the projected benefit obligation are being amortized and recognized as a component of net periodic benefit costs over the average remaining service period of the plan's active employees. As of September 30, 2016, there is approximately $0.5 million in accumulated other comprehensive income related to the CDT pension plan that is expected to be recognized as a component of net periodic benefit costs over the remainder of Fiscal 2017.

GXS Germany Plan

As part of our acquisition of GXS, we acquired an unfunded defined benefit pension plan covering certain German employees which provides for old age, disability and survivors' benefits. The GXS GER plan has been closed to new participants since 2006. Benefits under the GXS GER plan are generally based on a participant’s remuneration, date of hire, years of eligible service and age at retirement. The net periodic cost of this pension plan is determined using the projected unit credit method and several actuarial assumptions, the most significant of which are the discount rate and estimated service costs. No contributions have been made since the inception of the plan. Actuarial gains or losses in excess of 10% of the projected benefit obligation are being amortized and recognized as a component of net periodic benefit costs over the average remaining service period of the plan’s active employees. As of September 30, 2016, there is approximately $129.2 thousand in accumulated other comprehensive income related to the GXS GER plan that is expected to be recognized as a component of net periodic benefit costs over the remainder of Fiscal 2017.

GXS Philippines Plan

As part of our acquisition of GXS, we acquired a primarily unfunded defined benefit pension plan covering substantially all of the GXS Philippines employees which provides for retirement, disability and survivors' benefits. Benefits under the GXS PHP plan are generally based on a participant’s remuneration, years of eligible service and age at retirement. The net periodic cost of this pension plan is determined using the projected unit credit method and several actuarial assumptions, the most significant of which are the discount rate and estimated service costs. Aside from an initial contribution which has a fair value of approximately $34.5 thousand as of September 30, 2016, no additional contributions have been made since the inception of the plan. Actuarial gains or losses in excess of 10% of the projected benefit obligation are being amortized and recognized as a component of net periodic benefit costs over the average remaining service period of the plan’s active employees. As of September 30, 2016, there is approximately $36.4 thousand in accumulated other comprehensive income related to the GXS PHP plan that is expected to be recognized as a component of net periodic benefit costs over the remainder of Fiscal 2017.

The following are the details of the change in the benefit obligation for each of the above mentioned pension plans for the periods indicated:



	As of September 30, 2016												As of June 30, 2016
	CDT			GXS GER			GXS PHP			Total			CDT			GXS GER			GXS PHP			Total
Benefit obligation—beginning of period	$	29,450		$	24,729		$	7,341		$	61,520		$	26,091		$	22,420		$	7,025		$	55,536
Service cost	120			101			439			660			422			359			1,628			2,409
Interest cost	117			96			76			289			610			543			314			1,467
Benefits paid	(118		)	(205		)	(10		)	(333		)	(534		)	(770		)	(190		)	(1,494		)
Actuarial (gain) loss	1,266			1,294			(3,505		)	(945		)	3,299			2,564			(1,145		)	4,718
Foreign exchange (gain) loss	501			438			(172		)	767			(438		)	(387		)	(291		)	(1,116		)
Benefit obligation—end of period	31,336			26,453			4,169			61,958			29,450			24,729			7,341			61,520
Less: Current portion	(610		)	(811		)	(72		)	(1,493		)	(589		)	(772		)	(30		)	(1,391		)
Non-current portion of benefit obligation	$	30,726		$	25,642		$	4,097		$	60,465		$	28,861		$	23,957		$	7,311		$	60,129

The following are details of net pension expense relating to the following pension plans:



	Three Months Ended September 30,
	2016									2015
Pension expense:	CDT		GXS GER		GXS PHP			Total		CDT		GXS GER		GXS PHP		Total
Service cost	$	120	$	101	$	439		$	660	$	107	$	103	$	427	$	637
Interest cost	117		96		76			289		154		128		81		363
Amortization of actuarial (gains) and losses	160		43		(12		)	191		107		—		—		107
Net pension expense	$	397	$	240	$	503		$	1,140	$	368	$	231	$	508	$	1,107

In determining the fair value of the pension plan benefit obligations as of September 30, 2016 and June 30, 2016, respectively, we used the following weighted-average key assumptions:



	As of September 30, 2016			As of June 30, 2016
	CDT	GXS GER	GXS PHP	CDT	GXS GER	GXS PHP
Assumptions:
Salary increases	2.00%	2.00%	6.20%	2.00%	2.00%	6.20%
Pension increases	1.75%	2.00%	4.50%	1.75%	2.00%	4.75%
Discount rate	1.33%	1.33%	4.50%	1.56%	1.56%	4.25%
Normal retirement age	65	65-67	60	65	65-67	60
Employee fluctuation rate:
to age 20	—%	N/A	7.90%	—%	N/A	7.90%
to age 25	—%	N/A	5.70%	—%	N/A	5.70%
to age 30	1.00%	N/A	4.10%	1.00%	N/A	4.10%
to age 35	0.50%	N/A	2.90%	0.50%	N/A	2.90%
to age 40	—%	N/A	1.90%	—%	N/A	1.90%
to age 45	0.50%	N/A	1.40%	0.50%	N/A	1.40%
to age 50	0.50%	N/A	—%	0.50%	N/A	—%
from age 51	1.00%	N/A	—%	1.00%	N/A	—%

Anticipated pension payments under the pension plans for the fiscal years indicated below are as follows:



	Fiscal years ending June 30,
	CDT		GXS GER		GXS PHP
2017 (nine months ended June 30)	$	450	$	592	$	54
2018	641		878		88
2019	717		937		138
2020	784		989		128
2021	868		1,004		159
2022 to 2026	5,127		5,550		1,701
Total	$	8,587	$	9,950	$	2,268

Other Plans

Other plans include defined benefit pension plans that are offered by certain of our foreign subsidiaries. Many of these plans were assumed through our acquisitions or are required by local regulatory requirements. These other plans are primarily unfunded, with the aggregate projected benefit obligation included in our pension liability. The net periodic cost of these plans are determined using the projected unit credit method and several actuarial assumptions, the most significant of which are the discount rate and estimated service costs.