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Pensions and Other Post-Employment Liabilities
 6 Months Ended
Jun. 30, 2012
Pensions and Other Post-Employment Liabilities [Abstract]  
Pensions and Other Post-Employment Liabilities
Note 6. Pensions and Other Post-Employment Liabilities

Effective January 20, 2011, the defined benefit pension plan covering the employees at our Eltmann Plant came under the control of the bankruptcy trustee and has been or will be taken over by the German government’s pension security fund. The plan is no longer a responsibility of NN, resulting in a reduction of Accrued pension liabilities of $5,623 on January 20, 2011. We have no remaining pension obligations. (See Note 1 of the Notes to Condensed Consolidated Financial Statements).

 

Severance Indemnity

In accordance with Italian law, we have an unfunded severance plan covering our Pinerolo Plant employees under which all employees at that location are entitled to receive severance indemnities upon termination of their employment. The table below summarizes the changes to the severance indemnity, included in Other non-current liabilities, for the three and six month periods ended June 30, 2012 and 2011:

 

                                 
    Three months ended
June 30,		     Six months ended
June 30,		  

(In Thousands of Dollars)

   2012     2011     2012     2011  

Beginning balance

   $ (7,112 )    $ (7,658 )    $ (6,922 )    $ (7,115 ) 

Amounts accrued

     (315 )      (311 )      (628 )      (651 ) 

Payments to employees

     496       120       661       134  

Payments to government managed plan

     81       168       261       403  

Currency impacts

     400       (133 )      178       (585 ) 
   

 

 

    

 

 

    

 

 

    

 

 

  

Ending balance

   $ (6,450 )    $ (7,814 )    $ (6,450 )    $ (7,814 ) 
   

 

 

    

 

 

    

 

 

    

 

 

  

Service and Early Retirement Provisions

We have certain plans that cover our Veenendaal Plant employees. A plan provides an award for employees who achieve 25 or 40 years of service and another plan is an award for employees upon retirement. These plans are both unfunded and the benefits are based on years of service and rate of compensation at the time the award is paid. The table below summarizes the combined changes in the plans, included in Other non-current liabilities, during the three month and six month periods ended June 30, 2012 and 2011:

 

                                 
    Three months ended
June  30,		     Six months ended
June 30,		  

(In Thousands of Dollars)

   2012     2011     2012     2011  

Beginning balance

   $ (829 )    $ (835 )    $ (783 )    $ (749 ) 

Service cost

     (5 )      (6 )      (30 )      (26 ) 

Interest cost

     (7 )      (17 )      (17 )      (38 ) 

Benefits paid

     39       33       54       36  

Currency impacts

     47       (15 )      21       (63 ) 
   

 

 

    

 

 

    

 

 

    

 

 

  

Ending balance

   $ (755 )    $ (840 )    $ (755 )    $ (840 )