POST-RETIREMENT BENEFITS

We maintain a defined contribution plan and a defined benefit plan that provides retirement benefits to our employees in Japan. We also contribute to a U.K. based defined contribution pension scheme for employees.

Japan Defined Contribution Plan

Under the defined contribution plan in Japan, contributions are provided based on grade level and totaled $0.1 million and $0.4 million for the three and nine months ended March 31, 2018, respectively and $0.1 million and $0.4 million for the three and nine months ended April 1, 2017, respectively. Employees can elect to receive the benefit as additional salary or contribute the benefit to the plan on a tax-deferred basis.

Japan Defined Benefit Plan

Under the defined benefit plan in Japan (the “Japan Plan”), we calculate benefits based on an employee’s individual grade level and years of service. Employees are entitled to a lump sum benefit upon retirement or upon certain instances of termination.

As of March 31, 2018, there were no plan assets associated with the Japan Plan. As of March 31, 2018, there was $0.2 million in accrued expenses and other liabilities and $7.1 million in other non-current liabilities in our condensed consolidated balance sheet to account for the projected benefit obligations under the Japan Plan. Net periodic pension costs for the Japan Plan included the following:



	Three Months Ended				Nine Months Ended
	March 31, 2018		April 1, 2017		March 31, 2018		April 1, 2017
	(Thousands)
Service cost	$	163	$	172	$	477	$	480
Interest cost	5		1		15		3
Net periodic pension costs	$	168	$	173	$	492	$	483

We made $0.1 million in benefit payments under the Japan Plan during the three and nine months ended March 31, 2018. We made minimal benefit payments during the three months ended April 1, 2017 and $0.2 million in benefit payments during the nine months ended April 1, 2017, respectively.

U.K. Defined Contribution Pension Scheme

Under the defined contribution pension scheme, employer contributions totaled $0.3 million and $1.1 million for the three and nine months ended March 31, 2018, respectively, and $0.3 million and $0.8 million for the three and nine months ended April 1, 2017, respectively.