BENEFIT PLANS

On December 19, 2011, the Executive Organization and Compensation Committee of the Board of Directors froze participant benefits (credited service and final average earnings) and entry into the Supplemental Executive Retirement Benefits Plan (SERP) effective December 31, 2011. This action constitutes a plan curtailment.

The plan liability was remeasured in conjunction with the curtailment using a 3.5% discount rate and participant final average earnings through the curtailment date. The plan was last remeasured at June 30, 2011, using a 4.5% discount rate. This latest remeasurement resulted in an actuarial loss (recorded in other comprehensive income) of $302 ($492 loss, net of income tax of $190).

The curtailment is reflected in the Company's condensed consolidated balance sheets as: 1) a reduction to the overall SERP liability (included in postemployment benefits) of $8,860, 2) a reduction to deferred tax assets of $3,411 and 3) an increase in accumulated other comprehensive income of $5,449. Prior service costs previously recorded through accumulated other comprehensive income were reclassified into the condensed statements of consolidated income ($3,117 gross expense, net of income tax of $1,200). The gross expense is recorded in selling, distribution and administrative expense in the second quarter of fiscal 2012.

The following table provides summary disclosures of the net periodic postemployment costs recognized for the Company’s postemployment benefit plans:



	Pension Benefits						Retiree Health Care Benefits
Three Months Ended March 31, 2012	2012			2011			2012			2011
Components of net periodic cost:
Service cost	$	17		$	115		$	7		$	10
Interest cost	436			565			59			59
Expected return on plan assets	(99		)	(97		)
Recognized net actuarial loss (gain)	57			362			(18		)	(21		)
Amortization of prior service cost	21			178			35			35
Net periodic cost	$	432		$	1,123		$	83		$	83



	Pension Benefits						Retiree Health Care Benefits
Nine Months Ended March 31, 2012	2012			2011			2012			2011
Components of net periodic cost:
Service cost	$	271		$	345		$	22		$	30
Interest cost	1,612			1,694			177			177
Expected return on plan assets	(297		)	(289		)
Recognized net actuarial loss (gain)	586			1,086			(54		)	(63		)
Amortization of prior service cost	391			533			105			104
Recognition of prior service cost upon plan curtailment	3,117
Net periodic cost	$	5,680		$	3,369		$	250		$	248

The Company contributed $570 to its pension benefit plans and $139 to its retiree health care plans in the nine months ended March 31, 2012. Expected contributions for the remainder of fiscal 2012 are $3,650 for the pension benefit plans to fund scheduled retirement payments and $100 for retiree health care plans.