XML 36 R11.htm IDEA: XBRL DOCUMENT v2.4.0.8
EMPLOYEE BENEFIT PLANS
 9 Months Ended
Sep. 27, 2014
EMPLOYEE BENEFIT PLANS [Abstract]  
EMPLOYEE BENEFIT PLANS

NOTE 5 - EMPLOYEE BENEFIT PLANS

 

Defined Benefit Plans

 

In 2007, the Company amended its hourly and salaried defined benefit pension plans to freeze the benefits for current participants and to discontinue the plans for all future employees. All active participants became fully vested in the amount of benefit services accrued through December 31, 2007 and no benefits have accrued since that date. Currently, the Company provides supplemental discretionary contributions to substantially all employees' individual 401(k) accounts.

 

The Company expects to fully fund and terminate the plans in accordance with Internal Revenue Service and Pension Benefit Guaranty Corporation requirements in the fourth quarter of 2014. Plan participants will not be adversely affected by the plan terminations, but rather will have their benefits either converted into a lump sum cash payment or an annuity contract placed with an insurance carrier.

 

The settlement and termination of the frozen pension plans are expected to result in a cash payment of approximately $8 million and an income statement expense of approximately $40 million in the fourth quarter of 2014.

 

Defined Contribution Plan

 

Effective January 1, 2007, the Company modified the terms of its 401(k) plan and now matches a certain portion of employee contributions. Expenses related to these matching contributions totaled $0.6 million and $2.5 million for the three and nine months ended September 27, 2014, respectively, and $0.6 million and $2.3 million for the three and nine months ended September 28, 2013, respectively. The Company plans to contribute approximately $0.7 million to the plan in matching employee contributions during the remainder of 2014.

 

In addition, the Company provided supplemental discretionary contributions to the 401(k) plan totaling $0.9 million and $4.6 million for the three and nine months ended September 27, 2014, respectively, and $1.3 million and $3.8 million for the three and nine months ended September 27, 2013, respectively. The Company plans to contribute approximately $0.9 million in supplemental contributions to the plan during the remainder of 2014.