Note 8 - Post Employment Benefit Obligations

9 Months Ended

Aug. 31, 2024

Notes to Financial Statements

Postemployment Benefits Disclosure [Text Block]

8. Post Employment Benefit Obligations

Defined Benefit Plans

We have an unfunded Supplemental Retirement Income Plan (the “Supplemental Plan”) that covers one current and certain former executives. The liability for the Supplemental Plan was $5,851 and $5,778 as of August 31, 2024 and November 25, 2023, respectively.

We also have the Bassett Furniture Industries, Incorporated Management Savings Plan (the “Management Savings Plan”) which was established in the second quarter of fiscal 2017. The Management Savings Plan is an unfunded, nonqualified deferred compensation plan maintained for the benefit of certain highly compensated or management level employees. As part of the Management Savings Plan, we have made Long Term Cash Awards (“LTC Awards”) totaling $2,000 to five management employees in the amount of $400 each. We are accounting for the LTC Awards as a defined benefit pension plan. Currently, two of those employees have retired and are receiving benefits. The liability for the LTC Awards was $1,221 and $1,234 as of August 31, 2024 and November 25, 2023, respectively.

The combined pension liability for the Supplemental Plan and LTC Awards is recorded as follows in the condensed consolidated balance sheets:

	August 31, 2024		November 25, 2023
Accrued compensation and benefits	$	792	$	792
Post employment benefit obligations		6,280		6,220
Total pension liability	$	7,072	$	7,012

Components of net periodic pension costs for our defined benefit plans for the three and nine months ended August 31, 2024 and August 26, 2023 are as follows:

	Quarter Ended					Nine Months Ended
	August 31, 2024			August 26, 2023		August 31, 2024			August 26, 2023
Service cost	$	3		$	7	$	10		$	20
Interest cost		98			93		293			278
Amortization of prior service costs		26			31		77			94
Amortization of loss		(16	)		-		(48	)		-
Net periodic pension cost	$	111		$	131	$	332		$	392

The components of net periodic pension cost other than the service cost component, which is included in selling, general and administrative expenses, are included in other loss, net in our condensed consolidated statements of operations.

Deferred Compensation Plans

We have an unfunded deferred compensation plan that covers one current executive and certain former executives and provides for voluntary deferral of compensation. This plan has been frozen with no additional participants or deferrals permitted. Our liability under this plan was $1,657 and $1,655 as of August 31, 2024 and November 25, 2023, respectively.

We also have an unfunded, nonqualified deferred compensation plan maintained for the benefit of certain highly compensated or management level employees which was established under the Management Savings Plan. Our liability under this plan, including both accrued Company contributions and participant salary deferrals, was $3,277 and $2661 as of August 31, 2024 and November 25, 2023, respectively.

Our combined liability for all deferred compensation arrangements, including Company contributions and participant deferrals under the Management Savings Plan, is recorded as follows in the condensed consolidated balance sheets:

	August 31, 2024		November 25, 2023
Accrued compensation and benefits	$	329	$	329
Post employment benefit obligations		4,605		3,987
Total deferred compensation liability	$	4,934	$	4,316

We recognized expense under our deferred compensation arrangements during the three and nine months ended August 31, 2024 and August 26, 2023 as follows:

	Quarter Ended				Nine Months Ended
	August 31, 2024		August 26, 2023		August 31, 2024		August 26, 2023
Deferred compensation expense (benefit)	$	255	$	166	$	881	$	363