Annual report pursuant to Section 13 and 15(d)

Pension and Other Post-retirement Benefit Plans (Tables)

v3.19.1
Pension and Other Post-retirement Benefit Plans (Tables)
12 Months Ended
Mar. 31, 2019
Retirement Benefits [Abstract]  
Summary of the changes in benefit obligations and plan assets
A summary of the changes in benefit obligations and plan assets at March 31, 2019 and 2018 is as follows (amounts in thousands):
 
 
Pension
 
Other Benefits
 
 
2019
 
2018
 
2019
 
2018
Change in Benefit Obligation
 
 
 
 
 
 
 
 
Benefit obligation at beginning of the year
 
$
161,673

 
$
45,171

 
$
367

 
$
386

Service cost
 
4,716

 
4,585

 

 

Interest cost
 
1,815

 
1,750

 
11

 
12

Plan participants’ contributions
 

 

 
641

 
536

Actuarial (gain) loss
 
1,146

 
437

 
(81
)
 
64

Foreign currency exchange rate change
 
(8,402
)
 
9,934

 

 

Gross benefits paid
 
(1,097
)
 
(1,128
)
 
(626
)
 
(631
)
Curtailments and settlements
 
(11,411
)
 
(5,642
)
 

 

Acquisitions
 

 
106,566

 

 

Benefit obligation at end of year
 
$
148,440

 
$
161,673

 
$
312

 
$
367

Change in Plan Assets
 
 
 
 
 
 
 
 
Fair value of plan assets at beginning of year
 
$
71,491

 
$
10,004

 
$

 
$

Actual return on plan assets
 
1,165

 
2,594

 

 

Foreign currency exchange rate changes
 
(3,161
)
 
3,831

 

 

Employer contributions
 
7,882

 
4,766

 
(15
)
 
95

Settlements
 
(12,379
)
 
(5,659
)
 

 

Plan participants’ contributions
 

 

 
641

 
536

Gross benefits paid
 
(1,096
)
 
(1,128
)
 
(626
)
 
(631
)
Acquisitions
 

 
57,083

 

 

Fair value of plan assets at end of year
 
$
63,902

 
$
71,491

 
$

 
$

Funded status at end of year
 
 
 
 
 
 
 
 
Fair value of plan assets
 
$
63,902

 
$
71,491

 
$

 
$

Benefit obligations
 
(148,440
)
 
(161,673
)
 
(312
)
 
(367
)
Amount recognized at end of year
 
$
(84,538
)
 
$
(90,182
)
 
$
(312
)
 
$
(367
)
Schedule of amounts recognized in the Consolidated Balance Sheets
Amounts recognized in the Consolidated Balance Sheets at March 31, 2019 and 2018 consist of the following (amounts in thousands):
 
 
Pension
 
Other Benefits
 
 
2019
 
2018
 
2019
 
2018
Noncurrent asset
 
$
670

 
$

 
$

 
$

Current liability
 
$
(2,753
)
 
$
(7,000
)
 
$
(50
)
 
$
(54
)
Noncurrent liability
 
(82,455
)
 
(83,182
)
 
(262
)
 
(313
)
Net Amount recognized, end of year
 
$
(84,538
)
 
$
(90,182
)
 
$
(312
)
 
$
(367
)
Schedule of amounts recognized in Accumulated other comprehensive income (loss)
Amounts recognized in Accumulated other comprehensive income (loss) at March 31, 2019 and 2018 consist of the following (amounts in thousands):
 
 
Pension
 
Other Benefits
 
 
2019
 
2018
 
2019
 
2018
Net actuarial loss (gain)
 
$
16,864

 
$
15,691

 
$
(793
)
 
$
(879
)
Prior service cost
 
1,325

 
1,413

 

 

Accumulated other comprehensive (income) loss
 
$
18,189

 
$
17,104

 
$
(793
)
 
$
(879
)
Schedule of components of benefit costs (credit)
omponents of net periodic benefit (income) costs for the fiscal years ended March 31, 2019, 2018 and 2017 are as follows (amounts in thousands):
 
 
Pension
 
Other Benefits
 
 
2019
 
2018
 
2017
 
2019
 
2018
 
2017
Net service cost
 
$
4,716

 
$
4,585

 
$
1,298

 
$

 
$

 
$

Interest cost
 
1,815

 
1,750

 
1,297

 
11

 
12

 
11

Expected return on plan assets (1)
 
(2,037
)
 
(1,956
)
 
(346
)
 

 

 

Amortization:
 
 
 
 
 
 
 
 
 
 
 
 
Actuarial (gain) loss (2)
 
396

 
393

 
419

 
(167
)
 
(191
)
 
(207
)
Prior service cost
 
87

 
87

 
82

 

 

 

Recurring activity
 
4,977

 
4,859

 
2,750

 
(156
)
 
(179
)
 
(196
)
One time expense (income)
 
115

 
(71
)
 
(11
)
 

 

 

Net periodic benefit cost (credit)
 
$
5,092

 
$
4,788

 
$
2,739

 
$
(156
)
 
$
(179
)
 
$
(196
)
Schedule of asset allocation for the Company's defined benefit pension plans and the target allocation by asset category
The asset allocation for the Company’s defined benefit pension plans at March 31, 2019 and the target allocation for 2019, by asset category, are as follows:
Asset Category
 
Target
Allocation
(%)
 
Plan Assets at March 31, 2019
(%)
Insurance (1)
 
1
 
1
International equities
 
34
 
31
International bonds
 
61
 
61
Other
 
4
 
7
Total
 
100
 
100
_______________________________________________________________________
(1) Comprised of assets held by the defined benefit pension plan in Germany.
Schedule of other changes in plan assets and benefit obligations recognized in Accumulated other comprehensive income (loss)
Other changes in plan assets and benefit obligations recognized in Accumulated other comprehensive income (loss) are as follows (amounts in thousands):
 
 
Pension
 
Other Benefits
 
 
2019
 
2018
 
2017
 
2019
 
2018
 
2017
Current year actuarial (gain) loss
 
$
1,684

 
$
(184
)
 
$
1,229

 
$
(81
)
 
$
64

 
$
(228
)
Amortization of actuarial gain (loss)
 
(511
)
 
(322
)
 
(619
)
 
167

 
191

 
208

Current year prior service cost
 

 

 

 

 

 

Amortization of prior service cost
 
(87
)
 
(87
)
 
(82
)
 

 

 

Total recognized in other comprehensive income
 
$
1,086

 
$
(593
)
 
$
528

 
$
86

 
$
255

 
$
(20
)
Total recognized in net periodic benefit cost and other comprehensive income (loss)
 
$
6,178

 
$
4,195

 
$
3,267

 
$
(70
)
 
$
76

 
$
(216
)
Schedule of expected future benefit payments
The Company expects to have benefit payments in the future as follows (amounts in thousands):
 
 
Expected benefit payments
 
 
2020
 
2021
 
2022
 
2023
 
2024
 
2025- 2029
Pension benefits
 
$
6,707

 
$
6,679

 
$
8,416

 
$
8,126

 
$
9,828

 
$
54,107

Other benefits
 
51

 
47

 
42

 
37

 
33

 
105

Total
 
$
6,758

 
$
6,726

 
$
8,458

 
$
8,163

 
$
9,861

 
$
54,212

Schedule of weighted-average assumptions used to determine the projected benefit obligation at the measurement date and the net periodic cost for the pension and post-retirement plan
The following weighted-average assumptions were used to determine the projected benefit obligation at the measurement date and the net periodic cost for the pension and post-retirement plan (amounts in thousands except percentages):
 
 
Pension
 
Other Benefits
 
 
2019
 
2018
 
2019
 
2018
Projected benefit obligation:
 
 
 
 
 
 
 
 
Discount rate
 
1.2
%
 
1.2
%
 
3.3
%
 
3.5
%
Rate of compensation increase
 
3.5
%
 
3.5
%
 
%
 
%
Health care cost trend on covered charges
 


 


 
6.5%
decreasing to
ultimate trend
of 5.0% in 2025

 
7.0%
decreasing to
ultimate trend
of 5.0% in 2022

Net periodic benefit cost:
 
 
 
 
 
 
 
 
Discount rate
 
1.3
%
 
1.2
%
 
3.5
%
 
3.2
%
Rate of compensation increase
 
3.5
%
 
3.5
%
 
%
 
%
Expected return on plan assets
 
3.0
%
 
3.0
%
 
%
 
%
Health care cost trend on covered charges
 


 


 
7.0% decreasing to ultimate trend of 5.0% in 2022

 
7.0%
decreasing to
ultimate trend of 5.0% in 2021

Schedule of fair value of pension plan assets measured on recurring basis
The Company evaluated input from its third-party actuary to determine the appropriate discount rate. The determination of the discount rate is based on various factors such as the rate on bonds, term of the expected payou
Summary of changes in the fair value of the defined benefit pension plan's Level 3 assets
The table below sets forth a summary of changes in the fair value of the defined benefit pension plan’s Level 3 assets for the fiscal years ended March 31, 2018 and March 31, 2019 (amounts in thousands):
Balance at March 31, 2017
$
580

Actual return on plan assets
41

Employer contributions
219

Benefits paid
(233
)
Foreign currency exchange rate change
90

Balance at March 31, 2018
$
697

Actual return on plan assets
20

Employer contributions
233

Benefits paid
(247
)
Foreign currency exchange rate change
(61
)
Balance at March 31, 2019
$
642