XML 30 R17.htm IDEA: XBRL DOCUMENT
v3.22.4

Retirement And Other Benefit Plans | 12 Months Ended
--- | ---
Dec. 31, 2022
Retirement Benefits [Abstract] |
Retirement and Other Benefit Plans | RETIREMENT AND OTHER BENEFIT PLANS Defined Contribution Plan The Company maintains a discretionary defined contribution 401(k) profit sharing plan covering all eligible employees. The Company contributed $12.9 million, $11.6 million, and $9.0 million to this plan during the years ended December 31, 2022, 2021, and 2020, respectively. Deferred Compensation Plan The Company has an Executive Non-Qualified Deferred Compensation Plan (the "Plan"). Pursuant to the Plan, certain management employees are eligible to defer all or a portion of their regular salary and incentive compensation. Participants deferred $5.4 million, $3.1 million, and $2.9 million during the years ended December 31, 2022, 2021, and 2020, respectively. The amounts deferred under this Plan are credited with earnings or losses based upon changes in values of the notional investments elected by the Plan participants. Each Plan participant is fully vested in their deferred compensation and earnings credited to his or her account as all contributions to the Plan are made by the participant. The Company is responsible for certain costs of Plan administration, which are not significant, and will not make any contributions to the Plan. Pursuant to the Plan, payments to the Plan participants are made from the general unrestricted assets of the Company, and the Company's obligations pursuant to the Plan are unfunded and unsecured. Participants withdrew $2.4 million, $2.0 million, and $0.2 million from the Plan during the years ended December 31, 2022, 2021, and 2020, respectively. At December 31, 2022 and 2021, deferred compensation of $34.0 million and $42.6 million, respectively, was recorded in other long-term liabilities, and deferred compensation of $4.6 million and $1.1 million, respectively, was recorded in accrued expenses and other current liabilities. The Company invests approximately 100 percent of the amounts deferred by the Plan participants in life insurance contracts, matching the investments elected by the Plan participants. Deferred compensation assets and liabilities are recorded at contract value. At December 31, 2022 and 2021, life insurance contract assets of $37.6 million and $47.8 million, respectively, were recorded in other assets. Dutch Pension Plans The acquisition of Polyplastic in January 2020 included the assumption of two partially-funded defined benefit pension plans (the "Dutch pension plans") based in the Netherlands. The Dutch pension plans, which are qualified defined benefit pension plans, provided benefits based on years of service and average pay. The benefits earned by the employees were immediately vested. The Company funded the future obligations of the Dutch pension plans by purchasing non-participating annuities from a large multi-national insurance company that cover the vested pension benefit obligation of the participant, but do not cover future indexations or cost of living adjustments that were provided in plan benefits. Each year the Company made premium payments to the insurance company (1) to provide for the benefit obligation of the current year of service based on each employee's age, gender, and current salary, and (2) for indexations for both active and post-active participants. The Company determines the fair value of the plan assets with the assistance of an actuary using unobservable inputs (Level 3), which is determined as the present value of the accrued benefits guaranteed by the insurer. During 2022, there was a curtailment of the Dutch pension plans for the Company's Dutch employees whose pension benefit was based on years of service and average pay. These employees have been moved into defined contribution plans. This event resulted in curtailment gain amortization of 2.0 million for the year ended December 31, 2022. However, the unconditional indexation for all participants remains applicable and the Company remains liable for funding. No further contribution is required to fund the future accrual in the Dutch pension plans after December 31, 2022. The following table summarizes the change in the projected benefit obligation and the fair value of plan assets for the Dutch pension plans for the years ended December 31:
(In thousands) | 2022 |  | 2021 |  |
Projected Benefit Obligation |  |  |  |  |
Projected benefit obligation at beginning of period | $ | 85,593 |  |  | $ | 96,712 |  |  |
Interest cost | 1,403 |  |  | 652 |  |  |
Net service cost | 2,836 |  |  | 4,352 |  |  |
Curtailment | (2,030) |  |  | — |  |  |
Employee contributions | 666 |  |  | 626 |  |  |
Benefits paid | (975) |  |  | (1,097) |  |  |
Actuarial gain, net | (69,445) |  |  | (8,390) |  |  |
Unrealized gain on foreign exchange | (5,862) |  |  | (7,262) |  |  |
Projected benefit obligation at end of period | 12,186 |  |  | 85,593 |  |  |
Fair Value of Plan Assets |  |  |  |  |
Fair value of plan assets at beginning of period | $ | 52,296 |  |  | $ | 61,936 |  |  |
Increase (decrease) in plan asset value | 910 |  |  | (5,768) |  |  |
Employer contributions | 1,626 |  |  | 1,419 |  |  |
Employee contributions | 666 |  |  | 626 |  |  |
Benefits and administrative expenses paid | (1,349) |  |  | (1,377) |  |  |
Actuarial loss, net | (43,180) |  |  | — |  |  |
Unrealized loss on foreign exchange | (3,583) |  |  | (4,540) |  |  |
Fair value of plan assets at end of period | 7,386 |  |  | 52,296 |  |  |
Underfunded status of the plans at end of the period | $ | 4,800 |  |  | $ | 33,297 |  |  |
Accumulated benefit obligation | $ | 12,186 |  |  | $ | 85,593 |  |  |
The following actuarial assumptions were used to determine the actuarial present value of the projected benefit obligation and the net periodic pension costs for the Dutch pension plans at December 31:
| 2022 |  | 2021 |  |
Discount rate | 3.75 | % |  | 1.30 | % |  |
Expected return on plan assets | 3.75 | % |  | 1.30 | % |  |
Wage inflation | 2.00 | % |  | 2.00 | % |  |
The discount rate used to determine the projected benefit obligation at December 31, 2022 was increased from 1.30 percent to 3.75 percent, consistent with a general increase in interest rates in Europe for AA-rated long-term Euro company bonds. Additionally, the Company assumed expected indexation that conforms to the industry-wide pension fund PG, as agreed upon in the Dutch pension plans, which ranged from 0.5 percent in 2022 to 2.0 percent in 2034 and thereafter for the year ended December 31, 2021, and 7.0 percent in 2023 and from 0.45 percent in 2024 to 2.0 percent in 2035 and thereafter for the year ended December 31, 2022. Amounts recognized for the Dutch pension plans in the Consolidated Balance Sheets consisted of the following at December 31:
(In thousands) | 2022 |  | 2021 |  |
Deferred taxes | $ | 1,200 |  |  | $ | 8,594 |  |  |
Other long-term liabilities | 4,800 |  |  | 33,297 |  |  |
Accumulated other comprehensive income | 28,125 |  |  | 2,107 |  |  |
The components of net periodic pension cost for the Dutch pension plans included the following for the years ended December 31:
(In thousands) | 2022 |  | 2021 |  | 2020
Net service cost | $ | 2,836 |  |  | $ | 4,352 |  |  | $ | 3,357 |
Interest cost | 1,403 |  |  | 652 |  |  | 1,007 |
Expected return on plan assets | (910) |  |  | (424) |  |  | (626) |
Amortization of actuarial gain | (262) |  |  | — |  |  | — |
Amortization of curtailment | (2,030) |  |  | — |  |  | — |
Administrative charges | 374 |  |  | 280 |  |  | 276 |
Net periodic pension cost | $ | 1,411 |  |  | $ | 4,860 |  |  | $ | 4,014 |
Plan assets at December 31, 2022 consisted of insurance contracts. Under Dutch pension law, the pension insurer is legally required to pay the funded benefits to the participants. The insurer cannot unilaterally return the obligation to the employer and the employer has no risks related to the assets. As the surrender value of the contract is less than the guarantee value provided by the insurer, the guarantee value is used as the fair value of the plan assets. This value is the net present value of the accrued benefits against the same assumptions as applied in the valuation of the liability. As such, the expected return is equal to the discount rate. The Company's 2023 remaining balance sheet liability for future indexations is expected to be $0.7 million. The estimate of future annual contributions is based on current funding and the unconditional indexation requirements, and the Company believes these contributions will be sufficient to fund the Dutch pension plans. Expected benefit payments to eligible participants under the Dutch pension plans for the next ten years are as follows (in thousands):
2023 | $ | 63 |
2024 | 76 |
2025 | 93 |
2026 | 116 |
2027 | 153 |
2028 - 2032 | 1,148 |

X
- Definition The entire disclosure for an entity's employee compensation and benefit plans, including, but not limited to, postemployment and postretirement benefit plans, defined benefit pension plans, defined contribution plans, non-qualified and supplemental benefit plans, deferred compensation, share-based compensation, life insurance, severance, health care, unemployment and other benefit plans. + References Reference 1: http://fasb.org/us-gaap/role/ref/legacyRef -Publisher FASB -Name Accounting Standards Codification -Topic 718 -URI http://asc.fasb.org/topic&trid=2228938 Reference 2: http://fasb.org/us-gaap/role/ref/legacyRef -Publisher FASB -Name Accounting Standards Codification -Topic 712 -URI http://asc.fasb.org/topic&trid=2197446 Reference 3: http://fasb.org/us-gaap/role/ref/legacyRef -Publisher FASB -Name Accounting Standards Codification -Topic 710 -URI http://asc.fasb.org/topic&trid=2127225 Reference 4: http://fasb.org/us-gaap/role/ref/legacyRef -Publisher FASB -Name Accounting Standards Codification -Topic 715 -URI http://asc.fasb.org/topic&trid=2235017 + Details
Name: | us-gaap_CompensationAndEmployeeBenefitPlansTextBlock
Namespace Prefix: | us-gaap_
Data Type: | dtr-types:textBlockItemType
Balance Type: | na
Period Type: | duration

X
- References No definition available. + Details
Name: | us-gaap_CompensationAndRetirementDisclosureAbstract
Namespace Prefix: | us-gaap_
Data Type: | xbrli:stringItemType
Balance Type: | na
Period Type: | duration