Retirement Plans

12 Months Ended

Dec. 31, 2021

Compensation And Retirement Disclosure [Abstract]

Retirement Plans

8. RETIREMENT PLANS

Defined Benefit Plan

Cinos Korea has a noncontributory defined benefit pension plan covering substantially all of its employees upon their retirement. Ham-Let has noncontributory defined benefit pension plans covering its employees in Israel and South Korea upon their retirement.   The benefits for these plans are based on expected years of service and average compensation. The net period costs are recognized as employees render the services necessary to earn the postretirement benefits.  The Company records annual amounts relating to the pension plan based on calculations that incorporate various actuarial and other assumptions, including discount rates, mortality, assumed rates of return, compensation increases and turnover rates.  The Company reviews its assumptions on an annual basis and makes modifications to the assumptions based on current and expected rates of return and trends when it is appropriate to do so.  The effect of modifications to those assumptions is recorded in accumulated other comprehensive income and amortized to net periodic cost over future periods using the corridor method.  The Company believes that the assumptions utilized in recording its obligations under the plan are reasonable based on its experience and market conditions.  

As of December 31, 2021, the benefit obligation of the plans is $14.3 million and the fair value of the benefit plan assets, which are invested in several fixed deposit accounts with financial institutions is $10.3 million.  As of December 31, 2021, the unfunded balance of the plans of $4.0 million has been accrued for by the Company and is included in other long-term liabilities. Amounts recognized in the Consolidated Statement of Operations for the years ended December 31, 2021 and December 25, 2020 was $2.5 million and $1.6 million, respectively. Amounts recognized in accumulated other comprehensive income as of December 31, 2021 and December 25, 2020, was $1.2 million and $0.5 million, respectively.  The contributions to the plans by the Company and its subsidiaries during the years ended December 31, 2021 and December 25, 2020, was $3.2 million and $2.8 million, respectively.

As of December 31, 2021, the Company’s future payment obligations for the respective fiscal years are as follows:

(In millions)
2022	$	1.3
2023		1.4
2024		3.1
2025		1.1
2026		1.9
Thereafter		5.9
Total	$	14.7

Employee Savings and Retirement Plan

The Company sponsors a 401(k) savings and retirement plan (the “401(k) Plan”) for all US employees who meet certain eligibility requirements. Participants could elect to contribute to the 401(k) Plan, on a pre-tax basis, up to 25.0% of their salary to a maximum of the IRS limit. The Company matches 50.0% of participant salary up to 6.0% of employee contributions based upon eligibility. The Company made discretionary employer contributions of approximately $2.7 million, $2.3 million and $1.2 million to the 401(k) Plan in 2021, 2020 and 2019, respectively.