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SUPPLEMENTAL EXECUTIVE RETIREMENT PLAN
 9 Months Ended
Sep. 30, 2020
Compensation And Retirement Disclosure [Abstract]  
SUPPLEMENTAL EXECUTIVE RETIREMENT PLAN

14.

SUPPLEMENTAL EXECUTIVE RETIREMENT PLAN:

On March 18, 2010, the Compensation Committee and the Board of Directors of the Company approved and adopted the Universal Display Corporation Supplemental Executive Retirement Plan (SERP). The SERP is currently unfunded and includes salary and bonus as part of the plan. The purpose of the SERP is to provide certain of the Company’s key employees with supplemental pension benefits following a cessation of their employment and to encourage their continued employment with the Company. As of September 30, 2020, there were seven participants in the SERP.

The Company records amounts relating to the SERP based on calculations that incorporate various actuarial and other assumptions, including discount rates, rate of compensation increases, retirement dates and life expectancies. The net periodic costs are recognized as employees render the services necessary to earn the SERP benefits.

The components of net periodic pension cost were as follows (in thousands):

 

 

 

Three Months Ended September 30,

 

 

Nine Months Ended September 30,

 

 

 

2020

 

 

2019

 

 

2020

 

 

2019

 

Service cost

 

$

273

 

 

$

227

 

 

$

819

 

 

$

742

 

Interest cost

 

 

321

 

 

 

403

 

 

 

963

 

 

 

1,209

 

Amortization of prior service cost

 

 

275

 

 

 

399

 

 

 

824

 

 

 

1,197

 

Amortization of loss

 

 

545

 

 

 

410

 

 

 

1,636

 

 

 

1,231

 

Total net periodic benefit cost

 

$

1,414

 

 

$

1,439

 

 

$

4,242

 

 

$

4,379