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Retirement Plans
 9 Months Ended
Oct. 31, 2013
Compensation and Retirement Disclosure [Abstract]  
Retirement Plans
Retirement Plans
The Company and its subsidiaries cover employees under a noncontributory defined benefit retirement plan, entitled the Virco Employees’ Retirement Plan (the “Pension Plan”). Benefits under the Employees Retirement Plan are based on years of service and career average earnings. As more fully described in the Form 10-K, benefit accruals under the Employees Retirement Plan were frozen effective December 31, 2003.

The Company also provides a supplementary retirement plan for certain key employees, the VIP Retirement Plan (the “VIP Plan”). The VIP Plan provides a benefit of up to 50% of average compensation for the last 5 years in the VIP Plan, offset by benefits earned under the Pension Plan. As more fully described in the Form 10-K, benefit accruals under this plan were frozen effective December 31, 2003.
The Company also provides a non-qualified plan for non-employee directors of the Company (the “Non-Employee Directors Retirement Plan”). The Non-Employee Directors Retirement Plan provides a lifetime annual retirement benefit equal to the director’s annual retainer fee for the fiscal year in which the director terminates his or her position with the Board, subject to the director providing 10 years of service to the Company. As more fully described in the Form 10-K, benefit accruals under this plan were frozen effective December 31, 2003.
Due to a pension settlement during the three months ending October 31, 2013, approximately $800,000 of pension expense was reclassified from accumulated other comprehensive income to the statement of income. Such expense was recorded in the restructuring charges line item in the statement of income during the three months or nine months ended October 31, 2013.
The net periodic pension cost (income) for the Pension Plan, the VIP Plan, and the Non-Employee Directors Retirement Plan for the three and nine months ended October 31, 2013 and 2012 were as follows (in thousands):
 
 
Three Months Ended October 31,
 
 
 
 
 
 
 
 
 
Non-Employee Directors
 
Pension Plan
 
VIP Retirement Plan
 
Retirement Plan
 
2013
 
2012
 
2013
 
2012
 
2013
 
2012
Service cost
$
—

 
$
—

 
$
—

 
$
—

 
$
—

 
$
—

Interest cost
322

 
325

 
83

 
88

 
4

 
5

Expected return on plan assets
(276
)
 
(245
)
 
—

 
—

 
—

 
—

Amortization of prior service cost
—

 
—

 
—

 
—

 
—

 
—

Pension settlement
800

 
—

 
—

 
—

 
—

 
—

Recognized net actuarial loss or (gain)
350

 
360

 
55

 
51

 
(3
)
 
—

Net periodic pension cost (income)
$
1,196

 
$
440

 
$
138

 
$
139

 
$
1

 
$
5


 
Nine Months Ended October 31,
 
 
 
 
 
 
 
 
 
Non-Employee Directors
 
Pension Plan
 
VIP Retirement Plan
 
Retirement Plan
 
2013
 
2012
 
2013
 
2012
 
2013
 
2012
Service cost
$
—

 
$
—

 
$
—

 
$
—

 
$
—

 
$
—

Interest cost
966

 
975

 
249

 
264

 
12

 
15

Expected return on plan assets
(828
)
 
(735
)
 
—

 
—

 
—

 
—

Amortization of prior service cost
—

 
—

 
—

 
—

 
—

 
—

Pension settlement
800

 
—

 
—

 
—

 
—

 
—

Recognized net actuarial loss or (gain)
1,050

 
1,080

 
165

 
153

 
(9
)
 
—

Net periodic pension cost (income)
$
1,988

 
$
1,320

 
$
414

 
$
417

 
$
3

 
$
15