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Employee Benefit Plans | 12 Months Ended
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Jun. 30, 2021
Retirement Benefits [Abstract] |
Employee Benefit Plans | Employee Benefit Plans The Company provides the following benefit plans for full-time employees who work 30 hours or more per week: •401(k); •health and other welfare benefit plans; and •in certain circumstances, pension and postretirement benefits. See below for detail description of each benefit plan. Generally, the plans provide health benefits after 30 days of employment and other retirement benefits based on years of service and/or a combination of years of service and earnings. Single Employer Pension Plans As of June 30, 2021, the Company has two defined benefit pension plans for certain employees (the "Farmer Bros. Plan" and the “Hourly Employees' Plan”). Effective October 1, 2016, the Company froze benefit accruals and participation in the Hourly Employees' Plan. After the plan freeze, participants do not accrue any benefits under the plan, and new hires are not eligible to participate in the plan. After the freeze the participants in the plan are eligible to receive the Company's matching contributions to their 401(k). Effective December 1, 2018 the Company amended and terminated the Farmer Bros. Co. Pension Plan for Salaried Employees (the “Salaried Plan”), a defined benefit pension plan for Company employees hired prior to January 1, 2010 who were not covered under a collective bargaining agreement. The Company previously amended the Salaried Plan, freezing the benefit for all participants effective June 30, 2011. Prior to the termination of the Salaried Plan, the Company spun off the benefit liability and obligations, and all allocable assets for all retirement plan benefits of certain active employees with accrued benefits in excess of $25,000, retirees and beneficiaries currently receiving benefit payments under the Salaried Plan, and former employees who have deferred vested benefits under the Salaried Plan, were transferred to the Farmer Bros. Plan (formerly known as the Brewmatic Plan). Upon termination of the Salaried Plan, all remaining plan participants elected to receive a distribution of his/her entire accrued benefit under the Salaried Plan in a single cash lump sum or an individual insurance company annuity contract, in either case, funded directly by Salaried Plan assets. Termination of the Salaried Plan triggered re-measurement and settlement of the Salaried Plan and re-measurement of the Farmer Bros. Plan. As a result of the distributions to the remaining plan participants of the Salaried Plan, the Company recognized a non-cash pension settlement charge of $10.9 million for the year ended June 30, 2019. Obligations and Funded Status
|  | Farmer Bros. Plan As of June 30, |  | Hourly Employees’ Plan As of June 30, |  | Total
($ in thousands) |  | 2021 |  | 2020 |  | 2021 |  | 2020 |  | 2021 |  | 2020
Change in projected benefit obligation |  |  |  |  |  |  |  |  |  |  |  |
Benefit obligation at the beginning of the year |  | $ | 133,326 |  |  | $ | 121,752 |  |  | $ | 5,086 |  |  | $ | 4,475 |  |  | $ | 138,412 |  |  | $ | 126,227 |
Interest cost |  | 3,309 |  |  | 4,084 |  |  | 128 |  |  | 152 |  |  | 3,437 |  |  | 4,236 |
Actuarial (gain) loss |  | (1,437) |  |  | 13,433 |  |  | (6) |  |  | 561 |  |  | (1,443) |  |  | 13,994 |
Benefits paid |  | (6,107) |  |  | (5,943) |  |  | (138) |  |  | (102) |  |  | (6,245) |  |  | (6,045) |
Pension settlement |  | — |  |  | — |  |  | — |  |  | — |  |  | — |  |  | — |
Projected benefit obligation at the end of the year |  | $ | 129,091 |  |  | $ | 133,326 |  |  | $ | 5,070 |  |  | $ | 5,086 |  |  | $ | 134,161 |  |  | $ | 138,412 |
Change in plan assets |  |  |  |  |  |  |  |  |  |  |  |
Fair value of plan assets at the beginning of the year |  | $ | 75,904 |  |  | $ | 75,411 |  |  | $ | 3,915 |  |  | $ | 3,778 |  |  | $ | 79,819 |  |  | $ | 79,189 |
Actual return on plan assets |  | 17,648 |  |  | 3,382 |  |  | 826 |  |  | 239 |  |  | 18,474 |  |  | 3,621 |
Employer contributions |  | 3,063 |  |  | 3,054 |  |  | — |  |  | — |  |  | 3,063 |  |  | 3,054 |
Benefits paid |  | (6,107) |  |  | (5,943) |  |  | (138) |  |  | (102) |  |  | (6,245) |  |  | (6,045) |
Fair value of plan assets at the end of the year |  | $ | 90,508 |  |  | $ | 75,904 |  |  | $ | 4,603 |  |  | $ | 3,915 |  |  | $ | 95,111 |  |  | $ | 79,819 |
Funded status at end of year (underfunded) |  | $ | (38,583) |  |  | $ | (57,422) |  |  | $ | (467) |  |  | $ | (1,171) |  |  | $ | (39,050) |  |  | $ | (58,593) |
Amounts recognized in consolidated balance sheets |  |  |  |  |  |  |  |  |  |  |  |
Non-current liabilities |  | (38,583) |  |  | (57,422) |  |  | (467) |  |  | (1,171) |  |  | (39,050) |  |  | (58,593) |
Total |  | $ | (38,583) |  |  | $ | (57,422) |  |  | $ | (467) |  |  | $ | (1,171) |  |  | $ | (39,050) |  |  | $ | (58,593) |
Amounts recognized in AOCI |  |  |  |  |  |  |  |  |  |  |  |
Net loss |  | 45,716 |  |  | 62,830 |  |  | 453 |  |  | 1,115 |  |  | 46,169 |  |  | 63,945 |
Total AOCI (not adjusted for applicable tax) |  | $ | 45,716 |  |  | $ | 62,830 |  |  | $ | 453 |  |  | $ | 1,115 |  |  | $ | 46,169 |  |  | $ | 63,945 |
Weighted average assumptions used to determine benefit obligations |  |  |  |  |  |  |  |  |  |  |  |
Discount rate |  | 2.60 | % |  | 2.55 | % |  | 2.60 | % |  | 2.55 | % |  | 2.60 | % |  | 4.05 | %
Rate of compensation increase |  | N/A |  | N/A |  | N/A |  | N/A |  | N/A |  | N/A
Components of Net Periodic Benefit Cost and Other Changes Recognized in Other Comprehensive Income (Loss) (OCI)
|  | Farmer Bros. Plan June 30, |  | Hourly Employees’ Plan June 30, |  | Total
($ in thousands) |  | 2021 |  | 2020 |  | 2021 |  | 2020 |  | 2021 |  | 2020
Components of net periodic benefit cost |  |  |  |  |  |  |  |  |  |  |  |
Interest cost |  | 3,309 |  |  | 4,084 |  |  | 128 |  |  | 152 |  |  | 3,437 |  |  | 4,236 |
Expected return on plan assets |  | (3,959) |  |  | (4,174) |  |  | (192) |  |  | (232) |  |  | (4,151) |  |  | (4,406) |
Amortization of net loss |  | 1,987 |  |  | 1,475 |  |  | 23 |  |  | 4 |  |  | 2,010 |  |  | 1,479 |
Net periodic benefit cost |  | $ | 1,337 |  |  | $ | 1,385 |  |  | $ | (41) |  |  | $ | (76) |  |  | $ | 1,296 |  |  | $ | 1,309 |
Other changes recognized in OCI |  |  |  |  |  |  |  |  |  |  |  |
Net (gain) loss (1) |  | $ | (15,127) |  |  | $ | 14,225 |  |  | $ | (640) |  |  | $ | 554 |  |  | (15,767) |  |  | 14,779 |
Amortization of net loss |  | (1,987) |  |  | (1,475) |  |  | (23) |  |  | (4) |  |  | (2,010) |  |  | (1,479) |
Total recognized in OCI |  | $ | (17,114) |  |  | $ | 12,750 |  |  | $ | (663) |  |  | $ | 550 |  |  | $ | (17,777) |  |  | $ | 13,300 |
Total recognized in net periodic benefit cost and OCI |  | $ | (15,777) |  |  | $ | 14,135 |  |  | $ | (704) |  |  | $ | 474 |  |  | (16,481) |  |  | 14,609 |
Weighted-average assumptions used to determine net periodic benefit cost |  |  |  |  |  |  |  |  |  |  |  |
Discount rate |  | 2.55 | % |  | 3.45 | % |  | 2.55 | % |  | 3.45 | % |  | 2.55 | % |  | 3.45 | %
Expected long-term return on plan assets |  | 6.25 | % |  | 6.75 | % |  | 6.25 | % |  | 6.75 | % |  | 6.25 | % |  | 6.75 | %
Rate of compensation increase |  | N/A |  | N/A |  | N/A |  | N/A |  | N/A |  | N/A
(1) Net gain for fiscal year ended June 30, 2021 was primarily due to plan assets returns, whereas the net loss for fiscal year June 30, 2020 was primarily due to the decline in interest rates. Basis Used to Determine Expected Long-term Return on Plan Assets The expected long-term return on plan assets assumption was developed as a weighted average rate based on the target asset allocation of the plan and the Long-Term Capital Market Assumptions (CMA) 2020. The capital market assumptions were developed with a primary focus on forward-looking valuation models and market indicators. The key fundamental economic inputs for these models are future inflation, economic growth, and interest rate environment. Due to the long-term nature of the pension obligations, the investment horizon for the CMA 2020 is 20 to 30 years. In addition to forward-looking models, historical analysis of market data and trends was reflected, as well as the outlook of recognized economists, organizations and consensus CMA from other credible studies. Description of Investment Policy The Company’s investment strategy is to build an efficient, well-diversified portfolio based on a long-term, strategic outlook of the investment markets. The investment markets outlook utilizes both the historical-based and forward-looking return forecasts to establish future return expectations for various asset classes. These return expectations are used to develop a core asset allocation based on the specific needs of each plan. The core asset allocation utilizes investment portfolios of various asset classes and multiple investment managers in order to maximize the plan’s return while providing multiple layers of diversification to help minimize risk. Additional Disclosures
|  |  |  | Farmer Bros. Plan June 30, |  | Hourly Employees’ Plan June 30, |  | Total
($ in thousands) |  |  |  |  |  | 2021 |  | 2020 |  | 2021 |  | 2020 |  | 2021 |  | 2020
Comparison of obligations to plan assets |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Projected benefit obligation |  |  |  |  |  | $ | 129,091 |  |  | $ | 133,326 |  |  | $ | 5,070 |  |  | $ | 5,086 |  |  | $ | 134,161 |  |  | $ | 138,412 |
Accumulated benefit obligation |  |  |  |  |  | $ | 129,091 |  |  | $ | 133,326 |  |  | $ | 5,070 |  |  | $ | 5,086 |  |  | $ | 134,161 |  |  | $ | 138,412 |
Fair value of plan assets at measurement date |  |  |  |  |  | $ | 90,508 |  |  | $ | 75,904 |  |  | $ | 4,603 |  |  | $ | 3,915 |  |  | $ | 95,111 |  |  | $ | 79,819 |
Plan assets by category |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Equity securities |  |  |  |  |  | $ | 58,089 |  |  | $ | 49,744 |  |  | $ | 2,958 |  |  | $ | 2,572 |  |  | $ | 61,047 |  |  | $ | 52,316 |
Debt securities |  |  |  |  |  | 27,311 |  |  | 21,439 |  |  | 1,394 |  |  | 1,111 |  |  | 28,705 |  |  | 22,550 |
Real estate |  |  |  |  |  | 5,108 |  |  | 4,721 |  |  | 251 |  |  | 232 |  |  | 5,359 |  |  | 4,953 |
Total |  |  |  |  |  | $ | 90,508 |  |  | $ | 75,904 |  |  | $ | 4,603 |  |  | $ | 3,915 |  |  | $ | 95,111 |  |  | $ | 79,819 |
Plan assets by category |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Equity securities |  |  |  |  |  | 64 | % |  | 66 | % |  | 64 | % |  | 66 | % |  | 64 | % |  | 66 | %
Debt securities |  |  |  |  |  | 30 | % |  | 28 | % |  | 30 | % |  | 28 | % |  | 30 | % |  | 28 | %
Real estate |  |  |  |  |  | 6 | % |  | 6 | % |  | 6 | % |  | 6 | % |  | 6 | % |  | 6 | %
Total |  |  |  |  |  | 100 | % |  | 100 | % |  | 100 | % |  | 100 | % |  | 100 | % |  | 100 | %
Fair values of plan assets were as follows:
|  | As of June 30, 2021
(In thousands) |  | Total |  | Level 1 |  | Level 2 |  | Level 3 |  | Investments measured at NAV
Farmer Bros. Plan |  | $ | 90,508 |  |  | $ | — |  |  | $ | — |  |  | $ | — |  |  | $ | 90,508 |
Hourly Employees’ Plan |  | $ | 4,603 |  |  | $ | — |  |  | $ | — |  |  | $ | — |  |  | $ | 4,603 |
|  | As of June 30, 2020
(In thousands) |  | Total |  | Level 1 |  | Level 2 |  | Level 3 |  | Investments measured at NAV
Farmer Bros. Plan |  | $ | 75,904 |  |  | $ | — |  |  | $ | — |  |  | $ | — |  |  | $ | 75,904 |
Hourly Employees’ Plan |  | $ | 3,915 |  |  | $ | — |  |  | $ | — |  |  | $ | — |  |  | $ | 3,915 |
The following is the target asset allocation for the Company's single employer pension plans— Farmer Bros. Plan and Hourly Employees' Plan—for fiscal 2022:
| Fiscal 2022
U.S. large cap equity securities | 38.7 | %
U.S. small cap equity securities | 3.2 | %
International equity securities | 22.3 | %
Debt securities | 30.2 | %
Real estate | 5.6 | %
Total | 100.0 | %
Estimated Amounts in OCI Expected To Be Recognized In fiscal 2022, the Company expects to recognize net periodic benefit credits of $116,000 for the Farmer Bros. Plan and $84,000 for the Hourly Employees’ Plan. Estimated Future Contributions and Refunds In fiscal 2022, the Company expects to contribute $1.2 million to the Farmer Bros. Plan and does not expect to contribute to the Hourly Employees’ Plan. The Company is not aware of any refunds expected from single employer pension plans. Estimated Future Benefit Payments The following benefit payments are expected to be paid over the next 10 fiscal years:
(In thousands) |  |  |  | Farmer Bros. Plan |  | Hourly Employees’ Plan
Year Ending: |  |  |
June 30, 2022 |  |  |  | $ | 7,280 |  |  | $ | 190 |
June 30, 2023 |  |  |  | $ | 6,960 |  |  | $ | 190 |
June 30, 2024 |  |  |  | $ | 7,090 |  |  | $ | 200 |
June 30, 2025 |  |  |  | $ | 7,180 |  |  | $ | 210 |
June 30, 2026 |  |  |  | $ | 7,190 |  |  | $ | 220 |
June 30, 2027 to June 30, 2031 |  |  |  | $ | 35,340 |  |  | $ | 1,200 |
These amounts are based on current data and assumptions and reflect expected future service, as appropriate. Multiemployer Pension Plans The Company participates in two multiemployer defined benefit pension plans that are union sponsored and collectively bargained for the benefit of certain employees subject to collective bargaining agreements, of which the Western Conference of Teamsters Pension Plan ("WCTPP") is individually significant. The Company makes contributions to these plans generally based on the number of hours worked by the participants in accordance with the provisions of negotiated labor contracts. Contributions made by the Company to the multiemployer pension plans are as follows:
(In thousands) |  | WCTPP(1)(2)(3)(5) |  | All Other Plans(4)
Year Ended: |  |  |  |
June 30, 2021 |  | $ | 1,049 |  |  | $ | 33 |
June 30, 2020 |  | $ | 1,685 |  |  | $ | 34 |
June 30, 2019 |  | $ | 3,634 |  |  | $ | 39 |
____________ (1)Individually significant plan. (2)Less than 5% of total contribution to WCTPP based on WCTPP's FASB Disclosure Statement (3)The Company guarantees that one hundred seventy-three (173) hours will be contributed upon for all employees who are compensated for all available straight time hours for each calendar month. An additional 6.5% of the basic contribution must be paid for PEER or the Program for Enhanced Early Retirement. (4)Includes one plan that is not individually significant. (5)June 30, 2019 and 2020 includes WCT monthly settlement obligations of $190,507, see below. The risks of participating in multiemployer pension plans are different from single-employer plans in that: (i) assets contributed to a multiemployer plan by one employer may be used to provide benefits to employees of other participating employers; (ii) if a participating employer stops contributing to the plan, the unfunded obligations of the plan may be borne by the remaining participating employers; and (iii) if the Company stops participating in the multiemployer plan, the Company may be required to pay the plan an amount based on the underfunded status of the plan, referred to as a withdrawal liability. The Company received a letter dated July 10, 2018 from the WCT Pension Trust assessing withdrawal liability against the Company for a share of the WCTPP unfunded vested benefits, on the basis claimed by the WCT Pension Trust that employment actions by the Company in 2016 in connection with the Corporate Relocation Plan constituted a partial withdrawal from the WCTPP. The partial withdrawal liability was $3.4 million, including interest, and payable in 18 monthly installments. The last payment was made in February 2020 and there is no remaining liability for this partial withdrawal. Future collective bargaining negotiations may result in the Company withdrawing from the remaining multiemployer pension plans in which it participates and, if successful, the Company may incur a withdrawal liability, the amount of which could be material to the Company's results of operations and cash flows. Multiemployer Plans Other Than Pension Plans The Company participates in nine multiemployer defined contribution plans other than pension plans that provide medical, vision, dental and disability benefits for active, union-represented employees subject to collective bargaining agreements. The plans are subject to the provisions of the Employee Retirement Income Security Act of 1974, and provide that participating employers make monthly contributions to the plans in an amount as specified in the collective bargaining agreements. Also, the plans provide that participants make self-payments to the plans, the amounts of which are negotiated through the collective bargaining process. The Company's participation in these plans is governed by collective bargaining agreements which expires on or before January 31, 2025. The Company's aggregate contributions to multiemployer plans other than pension plans in the fiscal years ended June 30, 2021, 2020 and 2019 were $2.8 million, $4.2 million and $5.2 million, respectively. The Company expects to contribute an aggregate of approximately $3.0 million towards multiemployer plans other than pension plans in fiscal 2022. 401(k) Plan The Company's 401(k) Plan is available to all eligible employees. The Company's 401(k) match portion is available to all eligible employees who have worked more than 1,000 hours during a calendar year and were employed at the end of the calendar year. Participants in the 401(k) Plan may choose to contribute a percentage of their annual pay subject to the maximum contribution allowed by the Internal Revenue Service. The Company's matching contribution is discretionary, based on approval by the Company's Board of Directors. The Company matching contribution for the calendar years 2019 and 2020 was 50% of an employee's annual contribution to the 401(k) Plan, up to 6% of the employee's eligible income. However, in March 2020, due to the impact the COVID-19 pandemic had on our business and financial results, the Company elected to suspend the 401(k) matching contribution for non-union employees. The Company recorded matching contributions of $0.1 million, $1.8 million and $2.2 million in operating expenses for the fiscal years ended June 30, 2021, 2020 and 2019, respectively. Beginning in July 2021, the Company re-instated the 401(k) matching program for non-union employees, and started matching 50% of an employee's annual contribution to the 401(k) Plan, up to 6% of the employee's eligible income, similar to the program prior to suspension. Effective January 1, 2019, the Company amended and restated the 401(k) Plan to, among other things, provide for: (i) an annual safe harbor non-elective contribution of shares of the Company’s common stock equal to 4% of each eligible participant’s annual plan compensation; (ii) an elective matching contribution for non-collectively bargained employees and certain union-represented employees equal to 100% of the first 3% of such eligible participant’s tax-deferred contributions to the 401(k) Plan; and (iii) profit-sharing contributions at the Company’s discretion. Participants are immediately vested in their contributions, the safe harbor non-elective contributions, the employer’s elective matching contributions, and the employer’s discretionary contributions. For the fiscal years ended June 30, 2021, 2020 and 2019 the Company contributed a total of 373,697, 290,567 and 90,105 shares of the Company’s common stock with a value of $2.4 million, $2.9 million and $1.6 million, respectively, to eligible participants’ annual plan compensation. Postretirement Benefits The Company sponsored a postretirement defined benefit plan that covered qualified non-union retirees and certain qualified union retirees (“Retiree Medical Plan”). On March 23, 2020, the Company announced a plan to amend and terminate the Retiree Medical Plan effective January 1, 2021. The plan provided medical, dental and vision coverage for retirees under age 65 and medical coverage only for retirees age 65 and above. Under this postretirement plan, the Company’s contributions toward premiums for retiree medical, dental and vision coverage for participants and dependents were scaled based on length of service, with greater Company contributions for retirees with greater length of service, subject to a maximum monthly Company contribution. The Company’s communication of its intention to amend and terminate the Retiree Medical Plan triggered re-measurement and curtailment of the plan. As a result, the re-measurement generated a prior service credit of $13.4 million to be amortized over the remaining months of the plan through January 1, 2021, and a revised net periodic postretirement benefit credit recognized in the current fiscal year of $14.6 million. Also, the Company recognized a one-time non-cash curtailment gain of $5.8 million for the year ended June 30, 2020. The Company provides a postretirement death benefit (“Death Benefit”) to certain employees and retirees, subject, in the case of current employees, to continued employment with the Company until retirement and certain other conditions related to the manner of employment termination and manner of death. The Company records the actuarially determined liability for the present value of the postretirement death benefit. The Company purchased life insurance policies to fund the postretirement death benefit wherein the Company owns the policy but the postretirement death benefit is paid to the employee's or retiree's beneficiary. The Company records an asset for the fair value of the life insurance policies which equates to the cash surrender value of the policies. In June 2021, the Company amended the Death Benefit Plan effective immediately, which triggered re-measurement of the plan. The Company surrendered the purchased life insurance policies that funded these death benefits, and received cash proceeds from the insurance carriers. As of June 30, 2021 there is $2.4 million in Accounts Receivable for the remaining balance to be received for the cash surrender value of these policies. In conjunction with the amendment, the Company created a new Executive Death Benefit Plan (the “Executive Death Benefit Plan”) for a small group of participants in the Death Benefit Plan. Under the Executive Death Benefit Plan, the participants receive the same benefits they would have received under the Death Benefit Plan. The Company also retained the life insurance policies to fund the postretirement death benefit of these participants, and have a long-term receivable in Other Assets of $0.5 million as of June 30, 2021 which equates to the cash surrender value of the policies. As a result of the amendment and re-measurement of the Death Benefit Plan, the Company recognized a one-time non-cash net settlement gain of $6.4 million for the year ended June 30, 2021. The following table shows the components of net periodic postretirement benefit cost for the Retiree Medical Plan and Death Benefit Plan for the fiscal years ended June 30, 2021, 2020 and 2019. Net periodic postretirement benefit cost for fiscal 2021 was based on employee census information as of June 30, 2021.
|  | Year Ended June 30,
(In thousands) |  | 2021 |  | 2020 |  | 2019
Components of Net Periodic Postretirement Benefit Cost (Credit): |  |  |  |  |  |
Service cost |  | $ | 19 |  |  | $ | 446 |  |  | $ | 530 |
Interest cost |  | 293 |  |  | 725 |  |  | 887 |
Amortization of net gain |  | (5,296) |  |  | (3,067) |  |  | (834) |
Curtailment credit - Retiree Medical |  | — |  |  | (5,750) |  |  | — |
Amortization of prior service credit |  | (8,961) |  |  | (5,666) |  |  | (1,757) |
Settlement credit - Retiree Medical |  | (6,669) |  |  | — |  |  | — |
Net periodic postretirement benefit (credit) cost |  | $ | (20,614) |  |  | $ | (13,312) |  |  | $ | (1,174) |
The tables below show the remaining bases for the transition (asset) obligation, prior service cost (credit), and the calculation of the amortizable gain or loss for the Death Benefit Plan.
|  |  | Year Ended June 30,
($ in thousands) |  |  | 2021 |  | 2020
Amortization of Net (Gain) Loss: |  |  |  |  |
Net (gain) loss as of July 1 |  |  | $ | 280 |  |  | $ | 2,903 |
Net (gain) loss subject to amortization |  |  | 280 |  |  | 2,903 |
Corridor (10% of greater of APBO or assets) |  |  | 101 |  |  | 1,043 |
Net (gain) loss in excess of corridor |  |  | $ | 179 |  |  | $ | 1,860 |
Amortization years |  |  | 16.6 |  | 5.8
The following tables provide a reconciliation of the benefit obligation and plan assets for the Retiree Medical Plan, Death Benefit Plan and Executive Death Benefit Plan:
|  | As of June 30,
(In thousands) |  | 2021 |  | 2020
Change in Benefit Obligation: |  |  |  |
Projected postretirement benefit obligation at beginning of year |  | $ | 10,739 |  |  | $ | 24,092 |
Service cost |  | 19 |  |  | 446 |
Interest cost |  | 293 |  |  | 725 |
Participant contributions |  | 233 |  |  | 593 |
Amendments |  | — |  |  | (13,441) |
Actuarial gains (losses) |  | 151 |  |  | (621) |
Termination of benefits |  | (9,290) |  |  | — |
Benefits paid |  | (1,133) |  |  | (1,055) |
Projected postretirement benefit obligation at end of year |  | $ | 1,012 |  |  | $ | 10,739 |
|  | Year Ended June 30,
(In thousands) |  | 2021 |  | 2020
Change in Plan Assets: |  |  |  |
Fair value of plan assets at beginning of year |  | $ | — |  |  | $ | — |
Employer contributions |  | 1,068 |  |  | 462 |
Participant contributions |  | 232 |  |  | 593 |
Settlements |  | (167) |  |  | — |
Benefits paid |  | (1,133) |  |  | (1,055) |
Fair value of plan assets at end of year |  | $ | — |  |  | $ | — |
Projected postretirement benefit obligation at end of year |  | 1,012 |  |  | 10,739 |
Funded status of plan |  | $ | (1,012) |  |  | $ | (10,739) |
|  | June 30,
(In thousands) |  | 2021 |  | 2020
Amounts Recognized in the Consolidated Balance Sheets Consist of: |  |  |  |
Current liabilities |  | $ | (52) |  |  | $ | (746) |
Non-current liabilities |  | (960) |  |  | (9,993) |
Total |  | $ | (1,012) |  |  | $ | (10,739) |
(In thousands) |
Estimated Future Benefit Payments: |
Year Ending: |
June 30, 2022 | $ | 51 |
June 30, 2023 | $ | 53 |
June 30, 2024 | $ | 56 |
June 30, 2025 | $ | 58 |
June 30, 2026 | $ | 60 |
June 30, 2027 to June 30, 2031 | $ | 308 |
Expected Contributions: |
June 30, 2021 | $ | 51 |

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- 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
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- References No definition available. + Details
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