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Pension Benefits
 12 Months Ended
Jun. 30, 2024
Defined Benefit Pension Plans [Member]  
Defined Benefit Plan Disclosure [Line Items]  
Pension Benefits Pension Benefits
Defined Benefit Pension Plans
We sponsor multiple defined benefit pension plans that covered certain workers under collective bargaining contracts. However, as a result of prior-years’ restructuring activities, for all periods presented, we no longer have any active employees continuing to accrue service cost or otherwise eligible to receive plan benefits. Benefits being paid under the plans are primarily based on negotiated rates and years of service. We contribute to these plans at least the minimum amount required by regulation.
At the end of the year, we discount our plan liabilities using an assumed discount rate. In estimating this rate, we, along with our third-party actuaries, review the timing of future benefit payments, bond indices, yield curve analysis results and the past history of discount rates.
The actuarial present value of benefit obligations summarized below was based on the following assumption:
20242023
Weighted-average assumption as of June 30
Discount rate5.23 %5.18 %
The net periodic benefit costs were determined utilizing the following beginning-of-the-year assumptions:
202420232022
Discount rate5.18 %4.52 %2.58 %
Expected long-term return on plan assets5.00 %5.00 %5.00 %
In determining the long-term expected return on plan assets, we consider our related investment guidelines, our expectations of long-term rates of return by asset category, our target asset allocation weighting and historical rates of return and volatility for equity and fixed income investments. The investment strategy for plan assets is to control and manage investment risk through diversification among asset classes, investment managers/funds and investment styles. The plans’ investment guidelines have been designed to meet the intended objective that plan assets earn at least nominal returns equal to or more than the plans’ liability growth rate. In consideration of the current average age of the plans’ participants, the investment guidelines are based upon an investment horizon of at least 10 years. In 2021, we completed an evaluation of the plans’ asset allocation and liabilities with assistance from an independent outside consultant. As a result, with the plans well-funded and no active employees continuing to accrue service cost or otherwise eligible to receive plan benefits, we reallocated the plan assets to better match the plan liabilities. Accordingly, we allocated a higher percentage of the plan assets to long-duration fixed income investments, thereby reducing equity exposure risk and mitigating the unfavorable impacts of interest rate volatility. This reallocation resulted in a reduction to the expected long-term return on plan assets.
The target and actual asset allocations for our plans at June 30 by asset category were as follows:
 Target Percentage
of Plan Assets at
June 30		Actual Percentage of Plan Assets
 202420242023
Equity securities
20%-80%
26 27 
Fixed income, including cash
20%-80%
74 73 
Total100 %100 %
Our target asset allocations are maintained through ongoing review and periodic rebalancing of equity and fixed income investments with assistance from an independent outside investment consultant. Also, the plan assets are diversified among asset classes, asset managers or funds and investment styles to avoid concentrations of risk. The higher allocation of plan assets to fixed income investments reflects the decision to better match the invested assets with the plans’ liabilities and the fact that the plans are well-funded with no active employees continuing to accrue service cost or otherwise eligible to receive plan benefits. We continue to allocate a modest amount of plan assets to cash to cover near-term expenses.
We categorize our plan assets within a three-level fair value hierarchy, as previously defined in Note 1. The following table summarizes the fair values and levels, within the fair value hierarchy, for our plan assets at June 30:
 June 30, 2024
Asset CategoryLevel 1Level 2Level 3Total
Cash and equivalents$53 $— $— $53 
Money market funds1,459 — — 1,459 
Mutual funds fixed income19,242 — — 19,242 
Mutual funds equity7,262 — — 7,262 
Total$28,016 $— $— $28,016 
 June 30, 2023
Asset CategoryLevel 1Level 2Level 3Total
Cash and equivalents$997 $— $— $997 
Money market funds702 — — 702 
Mutual funds fixed income19,353 — — 19,353 
Mutual funds equity7,724 — — 7,724 
Total$28,776 $— $— $28,776 
The plan assets classified at Level 1 include money market funds and mutual funds. Quoted market prices in active markets for identical assets are available for investments in this category.
Relevant information with respect to our pension benefits as of June 30 can be summarized as follows:
20242023
Change in benefit obligation
Benefit obligation at beginning of year$27,952 $31,043 
Interest cost1,382 1,344 
Actuarial gain(660)(2,047)
Benefits paid(2,199)(2,388)
Benefit obligation at end of year$26,475 $27,952 
 20242023
Change in plan assets
Fair value of plan assets at beginning of year$28,776 $29,611 
Actual return on plan assets1,215 896 
Employer contributions224 657 
Benefits paid(2,199)(2,388)
Fair value of plan assets at end of year$28,016 $28,776 
 20242023
Funded status - net prepaid benefit cost$1,541 $824 
 20242023
Amounts recognized in the Consolidated Balance Sheets consist of
Prepaid benefit cost (Other Noncurrent Assets)$1,886 $1,286 
Accrued benefit liability (Other Noncurrent Liabilities)(345)(462)
Net amount recognized$1,541 $824 
 20242023
Accumulated benefit obligation$26,475 $27,952 
The following table discloses, in the aggregate, those plans with benefit obligations in excess of the fair value of plan assets at the June 30 measurement date:
20242023
Benefit obligations$4,301 $5,108 
Fair value of plan assets at end of year$3,956 $4,646 
Amounts recognized in accumulated other comprehensive loss at June 30 were as follows:
20242023
Net actuarial loss$12,713 $13,846 
Income taxes(2,971)(3,236)
Total$9,742 $10,610 
The following table summarizes the components of net periodic benefit cost (income) for our pension plans at June 30:
202420232022
Components of net periodic benefit cost (income)
Interest cost$1,382 $1,344 $935 
Expected return on plan assets(1,375)(1,416)(1,911)
Amortization of unrecognized net loss633 725 428 
Net periodic benefit cost (income)$640 $653 $(548)
We have not yet finalized our anticipated funding level for 2025, but based on initial estimates, we do not expect our 2025 contributions to our pension plans to be material.
Benefit payments estimated for future years are as follows:
2025$2,542 
2026$2,461 
2027$2,387 
2028$2,298 
2029$2,225 
2030 - 2034$9,878