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Defined Benefit Plans
 3 Months Ended
Mar. 29, 2013
Defined Benefit Plans [Abstract]  
DEFINED BENEFIT PLANS

7. DEFINED BENEFIT PLANS

 

The Company is required to provide its employees located in Switzerland, Mexico and France certain statutorily mandated defined benefits. Under these plans, benefits accrue to employees based upon years of service, position, age and compensation. The defined benefit plan provided to employees located in Switzerland is a funded contributory plan while the plans that provide benefits to employees located in Mexico and France are unfunded and noncontributory. The liability and corresponding expense related to these benefit plans is based on actuarial computations of current and future benefits for employees.

 

During 2012, the Company transferred most major functions performed at its facilities in Switzerland into other existing facilities. As a result, the Company curtailed its defined benefit plan provided to employees at those Swiss facilities during the third quarter of 2012. In accordance with ASC 715, the gain recognized in connection with this curtailment is realized as the related employees are terminated. As nearly all of the Swiss pension liability is expected to be paid off in 2013, the Company moved all Swiss pension plan assets into cash accounts during 2012. Swiss plan assets are expected to be sufficient to cover plan liabilities.

 The change in projected benefit obligation and fair value of plan assets is as follows (in thousands): 
      
   Three Months Ended 
   March 29, 
   2013 
 Projected benefit obligation at December 28, 2012$16,215 
 Service cost 82 
 Interest cost 63 
 Plan participants' contributions 84 
 Actuarial gain (62) 
 Benefits paid 228 
 Settlements (7,714) 
 Curtailment (1,581) 
 Foreign currency translation (410) 
 Projected benefit obligation at March 29, 2013 6,905 
      
 Fair value of plan assets at December 28, 2012 12,269 
 Employer contributions 89 
 Plan participants' contributions 84 
 Actual gain on plan assets 109 
 Benefits paid 228 
 Settlements (7,714) 
 Foreign currency translation (320) 
 Fair value of plan assets at March 29, 2013 4,745 
 Projected benefit obligation in excess of plan assets $2,160 
 Defined benefit liability classified as current liabilities $23 
 Defined benefit liability classified as long-term liabilities $2,137 
 Accumulated benefit obligation $5,973 

 Amounts recognized in Accumulated Other Comprehensive Income are as follows (in thousands):
     
   Three Months Ended
   March 29,
   2013
 Net gain occurring during the period$(171)
 Amortization of losses (581)
 Prior service cost 155
 Pre-tax adjustment (597)
 Taxes 0
 Net gain $(597)

 Net defined benefit cost is comprised of the following (in thousands):
        
  Three Months Ended 
  March 29, March 30, 
  2013 2012 
 Service cost$ 82 $ 285 
 Interest cost  63   104 
 Curtailment gain (Other Operating Expense, Net)  (1,150)   - 
 Amortization of net loss   -   31 
 Expected return on plan assets  -   (108) 
 Net defined benefit (income) cost$ (1,005) $ 312