Postretirement Plans (Tables)

12 Months Ended

Dec. 31, 2016

Summary of Company's Balance Sheet Related Pension and Other Postretirement Benefit Plan

The following summarizes the company’s balance sheet related pension and other postretirement benefit plan accounts at December 31, 2016 and January 2, 2016 (amounts in thousands):

	December 31, 2016		January 2, 2016
Current benefit liability	$	979	$	1,118
Noncurrent benefit liability	$	69,601	$	76,541
Accumulated other comprehensive loss, net of tax	$	82,222	$	86,610

Summary of Recognized Settlement Charges by Quarter

With no settlement charge recognized until the second quarter, the table below presents the recognized settlement charges by quarter for fiscal 2016 (amounts in thousands):

Fiscal 2016	Settlement loss
Quarter 2	$	4,641
Quarter 3		1,832
Quarter 4		173
Total fiscal 2016	$	6,646

Fair Value of Plan Assets by Asset Class

The fair values of all of the company pension plan assets at December 31, 2016 and December 31, 2015, by asset class are as follows (amounts in thousands):

	Fair value of Pension Plan Assets as of December 31, 2016
Asset Class	Quotedprices in active markets for identical assets (Level 1)		Significant Observable Inputs (Level 2)		Significant Unobservable Inputs (Level3)		Total
Short term investments and cash	$	—	$	4,712	$	—	$	4,712
Equity securities:
U.S. companies		88,427		—		—		88,427
International companies		1,427		—		—		1,427
Domestic equity funds(a)		47,916		—		—		47,916
International equity funds(b)		—		22,914		—		22,914
Fixed income securities:
U.S. government bonds		—		8,796		—		8,796
U.S. government agency bonds		—		5,909		—		5,909
U.S. mortgage backed securities		—		5,512		—		5,512
U.S. corporate bonds		—		10,539		—		10,539
Absolute return funds(c)		—		—		25,737		25,737
Other types of investments measured at net asset value (*):
Hedged equity funds(d)		—		—		—		32,095
Absolute return funds(c)		—		—		—		24,299
International equity funds(b)		—		—		—		24,987
Real estate funds(e)		—		—		—		17,296
Other types of investments measured at contract value (^):
Guaranteed insurance contracts(f)		—		—		—		10,124
Pending sale orders(g)		—		—		—		5,000
Other assets and (liabilities)(g)		—		—		—		70
Accrued (expenses) income(g)		—		—		—		(97	)
Total	$	137,770	$	58,382	$	25,737	$	335,663

	Fair value of Pension Plan Assets as of December 31, 2015
Asset Class	Quoted prices in active markets for identical assets (Level 1)		Significant Observable Inputs (Level 2)		Significant Unobservable Inputs (Level 3)		Total
Short term investments and cash	$	—	$	5,200	$	—	$	5,200
Equity securities:
U.S. companies		93,600		—		—		93,600
International companies		1,957		—		—		1,957
Domestic equity funds(a)		54,949		—		—		54,949
International equity funds(b)		—		26,565		—		26,565
Fixed income securities:
U.S. government bonds		—		5,257		—		5,257
U.S. government agency bonds		—		3,215		—		3,215
U.S. mortgage backed securities		—		7,201		—		7,201
U.S. corporate bonds		—		21,202		—		21,202
Absolute return funds(c)		—		—		28,964		28,964
Other types of investments measured at net asset value (*):
Hedged equity funds(d)		—		—		—		40,582
Absolute return funds(c)		—		—		—		27,473
International equity funds(b)		—		—		—		27,406
Real estate funds(e)		—		—		—		17,335
Other types of investments measured at contract value (^):
Guaranteed insurance contracts(f)		—		—		—		9,784
Other assets and (liabilities)(g)		—		—		—		(376	)
Accrued (expenses) income(g)		—		—		—		183
Total	$	150,506	$	68,640	$	28,964	$	370,497

(a) This class includes funds with the principal strategy to invest primarily in long positions in domestic equity securities.

(b) This class includes funds with the principal strategy to invest primarily in long positions in international equity securities.

(c) This class invests primarily in absolute return strategy funds.

(d) This class invests primarily in hedged equity funds.

(e) This class includes funds that invest primarily in U.S. commercial real estate.

(f) This class invests primarily guaranteed insurance contracts through various U.S. insurance companies.

(g) This class includes accrued interest, dividends, and amounts receivable from asset sales and amounts payable for asset purchases.  This class also includes pending sale requests.    

(*) Certain investments that are measured at fair value using the net asset value per share (or its equivalent) practical expedient have not been classified in the fair value hierarchy.

(^) Certain investments, which are fully-benefit responsive investment contracts, are measured at contract value and have not been classified in the fair value hierarchy.

Plan Asset and Target Allocation

The plan asset allocation as of the measurement dates December 31, 2016 and December 31, 2015, and target asset allocations for fiscal year 2017 are as follows:

	Target Allocation	Percentage of Plan Assets at the Measurement Date (As percent)
Asset Category	2017	2016		2015
Equity securities	40-60%		51.1		55.6
Fixed income securities	10-40%		9.3		10.0
Real estate	0-25%		5.2		4.7
Other diversifying strategies(1)	0-40%		33.5		28.7
Short term investments and cash	0-25%		0.9		1.0
Total			100.0		100.0

(1) Includes absolute return funds, hedged equity funds, and guaranteed insurance contracts.

Summary of Effect of One Percent Change in Assumed Health Care Cost

A one-percentage-point change in assumed health care cost trend rates would have the following effects for fiscal years 2016, 2015, and 2014 (amounts in thousands):

	One-Percentage-Point  Decrease									One-Percentage-Point  Increase
	For the Year Ended									For the Year Ended
	Fiscal 2016			Fiscal 2015			Fiscal 2014			Fiscal 2016		Fiscal 2015		Fiscal 2014
Effect on total of service and interest cost	$	(58	)	$	(65	)	$	(60	)	$	67	$	76	$	68
Effect on postretirement benefit obligation	$	(427	)	$	(554	)	$	(558	)	$	480	$	626	$	629

Multi Employer Plans

				Pension Protection Act			Contributions (Amounts in
				Zone Status			thousands)							Expiration Date of
		Pension				FIP/RP Status	2016		2015		2014		Surcharge	Collective Bargaining
Pension Fund	EIN	Plan No.		2016	2015	Pending/Implemented	($)		($)		($)		Imposed	Agreement
IAM National Pension Fund	51-6031295		002	Green	Green	No		121		113		99	No	4/30/2021
Retail, Wholesale and Department    Store International Union and    Industry Pension Fund	63-0708442		001	Red	Red	Yes		156		130		132	No	8/12/2017
Western Conference of Teamsters    Pension Trust*	91-6145047		001	Green	Green	No		233		271		260	No	2/4/2017
BC&T International Pension Fund*	52-6118572		001	Red	Red	Yes		1,194		1,121		1,077	Yes	10/31/2015

* The collective bargaining agreement is currently under negotiation.

Summary of Total Cost and Employer Contributions

During fiscal years 2016, 2015, and 2014, the total cost and employer contributions were as follows (amounts in thousands):

Contributions by fiscal year	Defined contribution plans expense
Fiscal 2016	$	27,057
Fiscal 2015	$	25,473
Fiscal 2014	$	24,799

Pension plans

Components of Net Periodic Benefit / (Income) Cost

The net periodic pension cost (income) for the company’s pension plans includes the following components for fiscal years 2016, 2015 and 2014 (amounts in thousands):

	Fiscal 2016			Fiscal 2015			Fiscal 2014
Service cost	$	830		$	873		$	640
Interest cost		13,682			18,003			21,427
Expected return on plan assets		(26,644	)		(29,642	)		(33,817	)
Settlement loss		6,646			—			15,387
Amortization:
Prior service cost		387			—			—
Actuarial loss		7,294			4,978			1,925
Net periodic pension cost (income)		2,195			(5,788	)		5,562
Other changes in plan assets and benefit obligations recognized in other    comprehensive income:
Current year actuarial loss (gain)		8,879			(1,916	)		74,510
Current year prior service cost		—			6,199			—
Settlement loss		(6,646	)		—			(15,387	)
Amortization of prior service cost		(387	)		—			—
Amortization of actuarial (loss)		(7,294	)		(4,978	)		(1,925	)
Total recognized in other comprehensive (loss) income		(5,448	)		(695	)		57,198
Total recognized in net periodic benefit cost and other comprehensive loss	$	(3,253	)	$	(6,483	)	$	62,760

Funded Status and Amounts Recognized in Consolidated Balance Sheets

The funded status and the amounts recognized in the Consolidated Balance Sheets for the company’s pension plans are as follows (amounts in thousands):

	December 31, 2016			January 2, 2016
Change in benefit obligation:
Benefit obligation at beginning of year	$	438,023		$	462,639
Service cost		830			873
Interest cost		13,682			18,003
Actuarial loss (gain)		(13,076	)		(24,677	)
Benefits paid		(25,130	)		(25,014	)
Plan amendments		—			6,199
Settlements		(15,734	)		—
Benefit obligation at end of year	$	398,595		$	438,023
Change in plan assets:
Fair value of plan assets at beginning of year	$	370,497		$	378,194
Actual return on plan assets		4,689			6,881
Employer contribution		1,341			10,436
Benefits paid		(25,130	)		(25,014	)
Settlements		(15,734	)		—
Fair value of plan assets at end of year	$	335,663		$	370,497
Funded status, end of year:
Fair value of plan assets	$	335,663		$	370,497
Benefit obligations		(398,595	)		(438,023	)
Unfunded status and amount recognized at end of year	$	(62,932	)	$	(67,526	)
Amounts recognized in the balance sheet:
Current liability		(291	)		(402	)
Noncurrent liability		(62,641	)		(67,124	)
Amount recognized at end of year	$	(62,932	)	$	(67,526	)
Amounts recognized in accumulated other comprehensive income:
Net actuarial loss before taxes	$	132,886		$	137,948
Prior service cost		5,813			6,199
Amount recognized at end of year	$	138,699		$	144,147
Accumulated benefit obligation at end of year	$	397,224		$	436,455

Weighted Average Assumptions Used

Assumptions used in accounting for the company’s pension plans at each of the respective fiscal years ending are as follows:

	Fiscal 2016			Fiscal 2015			Fiscal 2014
Weighted average assumptions used to determine benefit obligations:
Measurement date	12/31/2016			12/31/2015			12/31/2014
Discount rate		4.00	%		4.25	%		4.00	%
Rate of compensation increase		3.00	%		3.00	%		4.00	%
Weighted average assumptions used to determine net periodic benefit    (income)/cost:
Measurement date	1/1/2016			1/1/2015			1/1/2014
Discount rate		4.25	%		4.00	%		4.75	%
Expected return on plan assets		8.00	%		8.00	%		8.00	%
Rate of compensation increase		3.00	%		4.00	%		4.00	%

Significant Unobservable Inputs in Estimation of Fair Value

The following tables provide information on the pension plan assets that are reported using significant unobservable inputs in the estimation of fair value (amounts in thousands):

	2016 Changes in Fair Value Measurements Using Significant Unobservable Inputs (Level 3)
	Absolute Return Funds
Balance at December 31, 2015	$	28,964
Actual return on plan assets:
Total gains or losses (realized and unrealized)		1,773
Sales		(5,000	)
Balance at December 31, 2016	$	25,737

	2015 Changes in Fair Value Measurements Using Significant Unobservable Inputs (Level 3)
	Absolute Return Funds
Balance at December 31, 2014	$	32,411
Actual return on plan assets:
Total gains or losses (realized and unrealized)		553
Sales		(4,000	)
Balance at December 31, 2015	$	28,964

Company Contributions

Company contributions to qualified and nonqualified plans are as follows (amounts in thousands):

Year	Required		Discretionary		Total
2016	$	341	$	1,000	$	1,341
2015	$	436	$	10,000	$	10,436
2014	$	5,070	$	8,365	$	13,435

Benefits Expected to be Paid from Plans Assets

The following are benefits paid under the plans (including settlements) during fiscal years 2016, 2015 and 2014 and expected to be paid from fiscal 2017 through fiscal 2026. Estimated future payments include qualified pension benefits that will be paid from the plans’ assets (including potential payments for the lump sum option discussed above) and nonqualified pension benefits that will be paid from corporate assets (amounts in thousands):

Year	Pension Benefits
2014	$	75,459	*
2015	$	25,014
2016	$	40,864	^
Estimated Future Payments:
2017	$	33,675
2018	$	32,349
2019	$	31,157
2020	$	29,762
2021	$	28,916
2022 – 2026	$	128,858

* Includes $48.4 million and $2.0 million from Plan No. 1 and Plan No. 2, respectively paid in December 2014, associated with a one-time voluntary lump sum offer.

^ Includes $15.7 million and $1.6 million from Plan No. 1 and Plan No. 2, respectively, paid as lump sums.  The plans were amended effective January 1, 2016 to allow participants not yet receiving benefit payments to elect to receive their benefit as a single lump sum.

Postretirement Benefit Plans

Components of Net Periodic Benefit / (Income) Cost

The net periodic benefit (income) cost for the company’s postretirement benefit plans includes the following components for fiscal years 2016, 2015 and 2014 (amounts in thousands):

	Fiscal 2016			Fiscal 2015			Fiscal 2014
Service cost	$	401		$	398		$	377
Interest cost		309			360			445
Amortization:
Prior service credit		(212	)		(267	)		(469	)
Actuarial gain		(454	)		(583	)		(577	)
Total net periodic benefit income		44			(92	)		(224	)
Other changes in plan assets and benefit obligations recognized in other    comprehensive income:
Current year actuarial (gain) loss*		(2,354	)		(159	)		(497	)
Amortization of actuarial gain		454			583			577
Amortization of prior service credit		212			267			469
Total recognized in other comprehensive loss		(1,688	)		691			549
Total recognized in net periodic benefit cost and other comprehensive    (income) loss	$	(1,644	)	$	599		$	325

* In fiscal 2014 and 2015, includes (gain) loss related to (higher) lower than expected Medicare Part D subsidy receipts.

Weighted Average Assumptions Used

Assumptions used in accounting for the company’s postretirement benefit plans at each of the respective fiscal years ending are as follows:  

	Fiscal 2016			Fiscal 2015			Fiscal 2014
Weighted average assumptions used to determine benefit obligations:
Measurement date	12/31/2016			12/31/2015			12/31/2014
Discount rate		3.66	%		3.83	%		3.50	%
Health care cost trend rate used to determine benefit obligations:
Initial rate		6.50	%		8.00	%		8.00	%
Ultimate rate		5.00	%		5.00	%		5.00	%
Year trend reaches the ultimate rate	2023			2022			2021
Weighted average assumptions used to determine net periodic cost:
Measurement date	1/1/2016			1/1/2015			1/1/2014
Discount rate		3.83	%		3.50	%		4.31	%
Health care cost trend rate used to determine net periodic cost:
Initial rate		8.00	%		8.00	%		8.50	%
Ultimate rate		5.00	%		5.00	%		5.00	%
Year trend reaches the ultimate rate	2022			2021			2021

Company Contributions

Company contributions to postretirement plans are as follows (amounts in thousands):

Year	Employer Net Contribution
2014	$	478
2015	$	674
2016	$	841
2017 (Expected)	$	692

Benefits Expected to be Paid from Plans Assets

The following are benefits paid by the company during fiscal years 2016, 2015 and 2014 and expected to be paid from fiscal 2017 through fiscal 2026. All benefits are expected to be paid from the company’s assets (amounts in thousands):

	Postretirement benefits
Year	Employergross contribution
2014	$	478
2015	$	674
2016	$	841
Estimated Future Payments:
2017	$	692
2018	$	745
2019	$	735
2020	$	677
2021	$	661
2022 – 2026	$	3,291

Changes in Projected Benefit Obligations

The unfunded status and the amounts recognized in the Consolidated Balance Sheets for the company’s postretirement benefit plans are as follows (amounts in thousands):

	December 31, 2016			January 2, 2016
Change in benefit obligation:
Benefit obligation at beginning of year	$	10,133		$	10,229
Service cost		401			398
Interest cost		309			360
Participant contributions		284			224
Actuarial gain		(2,354	)		(180	)
Benefits paid		(1,125	)		(898	)
Benefit obligation at end of year	$	7,648		$	10,133
Change in plan assets:
Fair value of plan assets at beginning of year	$	—		$	—
Employer contributions		841			674
Participant contributions		284			224
Benefits paid		(1,125	)		(898	)
Fair value of plan assets at end of year	$	—		$	—
Funded status, end of year:
Fair value of plan assets	$	—		$	—
Benefit obligations		(7,648	)		(10,133	)
Unfunded status and amount recognized at end of year	$	(7,648	)	$	(10,133	)
Amounts recognized in the balance sheet:
Current liability	$	(688	)	$	(716	)
Noncurrent liability		(6,960	)		(9,417	)
Amount recognized at end of year	$	(7,648	)	$	(10,133	)
Amounts recognized in accumulated other comprehensive loss:
Net actuarial gain before taxes	$	(4,531	)	$	(2,631	)
Prior service credit before taxes		(474	)		(686	)
Amounts recognized in accumulated other comprehensive loss	$	(5,005	)	$	(3,317	)