Pension and Other Postretirement Benefits (Tables)

12 Months Ended

Dec. 31, 2017

Schedule of information for the multi-employer pension plans in which FiberMark participates



Pension Fund	EIN/Pension Plan Number	Pension Zone Status 2016	FIP/RP Status Pending or Implemented	Contributions 2017	Surcharge Imposed	ExpirationDate of Collective Bargaining Agreement
PACE Industry Union Management Pension Fund	11-6166763	Red	Implemented	$0.1 million	Yes	11/9/2021

Schedule of reconciliation of benefit obligations, plan assets, funded status and net liability information of the Company's pension and other postretirement benefit plans

The following table reconciles the benefit obligations, plan assets, funded status and net liability information of the Company's pension and other postretirement benefit plans.



	Pension Benefits						Postretirement Benefits Other than Pensions
	Year Ended December 31,
	2017			2016			2017			2016
Change in Benefit Obligation:
Benefit obligation at beginning of year	$	370.9		$	360.1		$	40.7		$	40.5
Service cost	5.5			4.9			1.2			1.3
Interest cost	15.0			15.9			1.4			1.6
Currency	6.8			(3.1		)	0.6			0.1
Actuarial (gain) loss	33.3			18.2			3.9			(1.2		)
Benefit payments from plans	(18.1		)	(17.1		)	(3.8		)	(3.8		)
Settlement payments	(1.5		)	(8.1		)	—			—
Net transfer in (1)	51.7			0.1			—			—
Other	0.3			—			—			2.2
Benefit obligation at end of year	$	463.9		$	370.9		$	44.0		$	40.7
Change in Plan Assets:
Fair value of plan assets at beginning of year	$	318.1		$	308.3		$	—		$	—
Actual gain (loss) on plan assets	38.5			17.6			—			—
Employer contributions	14.3			17.8			—			—
Currency	2.2			(1.7		)	—			—
Benefit payments	(18.1		)	(15.8		)	—			—
Settlement payments	(1.5		)	(8.1		)	—			—
Net transfers in (1)	46.8			—			—			—
Other	0.1			—			—			—
Fair value of plan assets at end of year	$	400.4		$	318.1		$	—		$	—
Reconciliation of Funded Status
Fair value of plan assets	$	400.4		$	318.1		$	—		$	—
Projected benefit obligation	463.9			370.9			44.0			40.7
Net liability recognized in statement of financial position	$	(63.5	)	$	(52.8	)	$	(44.0	)	$	(40.7	)
Amounts recognized in statement of financial position consist of:
Current liabilities	$	(3.7	)	$	(3.8	)	$	(5.3	)	$	(4.3	)
Noncurrent liabilities	(59.8		)	(49.0		)	(38.7		)	(36.4		)
Net amount recognized	$	(63.5	)	$	(52.8	)	$	(44.0	)	$	(40.7	)

_______________________


(1)	For the year ended December 31, 2017, the Company acquired $51.7 million of pension liabilities and $46.8 million of pension assets in conjunction with the Coldenhove Acquisition.

Schedule of amounts recognized in accumulated other comprehensive income

Amounts recognized in accumulated other comprehensive income consist of:



	Pension Benefits				Postretirement Benefits Other than Pensions
	December 31,
	2017		2016		2017			2016
Accumulated actuarial loss	$	105.9	$	95.8	$	8.6		$	4.9
Prior service cost	0.8		0.9		(0.2		)	(0.4		)
Total recognized in accumulated other comprehensive income	$	106.7	$	96.7	$	8.4		$	4.5

Summary of disaggregated information about the pension plans

Summary disaggregated information about the pension plans follows:



	December 31,
	Assets Exceed ABO				ABO Exceed Assets				Total
	2017		2016		2017		2016		2017		2016
Projected benefit obligation	$	—	$	291.3	$	463.9	$	79.6	$	463.9	$	370.9
Accumulated benefit obligation	—		281.5		451.4		79.4		451.4		360.9
Fair value of plan assets	—		284.2		400.4		33.9		400.4		318.1

Schedule of components of net periodic benefit cost for Defined Benefit Plans

Components of Net Periodic Benefit Cost



	Pension Benefits									Postretirement Benefits Other than Pensions
	Year Ended December 31,
	2017			2016			2015			2017			2016			2015
Service cost	$	5.5		$	4.9		$	5.5		$	1.2		$	1.3		$	1.7
Interest cost	15.0			15.9			13.8			1.4			1.6			1.6
Expected return on plan assets (a)	(19.9		)	(18.9		)	(19.3		)	—			—			—
Recognized net actuarial loss	5.6			6.6			6.3			0.3			0.6			0.3
Amortization of prior service cost (credit)	0.2			0.2			0.2			(0.2		)	(0.2		)	(0.2		)
Amount of settlement loss recognized	0.6			0.8			—			—			—			—
Net periodic benefit cost (credit)	7.0			9.5			6.5			2.7			3.3			3.4
Amounts related to discontinued operations	—			—			(14.9		)	—			—			—
Net periodic benefit cost	$	7.0		$	9.5		$	(8.4	)	$	2.7		$	3.3		$	3.4

_______________________

(a)

The expected return on plan assets, excluding the Dutch plan assets, is determined by multiplying the fair value of plan assets at the prior year-end (adjusted for estimated current year cash benefit payments and contributions) by the expected long-term rate of return. The Dutch pension plan is funded through an insurance contract, and the expected return on plan assets is calculated based on the discount rate of the insured obligation

Schedule of other changes in plan assets and benefit obligations recognized in other comprehensive income

Other Changes in Plan Assets and Benefit Obligations Recognized in Other Comprehensive Income



	Pension Benefits									Postretirement Benefits Other than Pensions
	Year Ended December 31,
	2017			2016			2015			2017		2016			2015
Net periodic benefit expense	$	7.0		$	9.5		$	(8.4	)	$	2.7	$	3.3		$	3.4
Accumulated actuarial gain (loss)	10.1			11.7			(7.1		)	3.7		(0.9		)	1.1
Prior service cost (credit)	(0.1		)	(0.3		)	(0.3		)	0.2		0.1			0.2
Total recognized in other comprehensive income	10.0			11.4			(7.4		)	3.9		(0.8		)	1.3
Total recognized in net periodic benefit cost and other comprehensive income	$	17.0		$	20.9		$	(15.8	)	$	6.6	$	2.5		$	4.7

Schedule of weighted-average assumptions used to determine benefit obligations

Weighted-Average Assumptions Used to Determine Benefit Obligations at December 31



	Pension Benefits				Postretirement Benefits Other than Pensions
	2017		2016		2017		2016
Discount rate	3.49	%	4.16	%	3.27	%	3.69	%
Rate of compensation increase	2.40	%	2.22	%	—	%	—	%

Schedule of weighted-average assumptions used to determine net periodic benefit cost

Weighted-Average Assumptions Used to Determine Net Periodic Benefit Cost for Years Ended December 31



	Pension Benefits						Postretirement Benefits Other than Pensions
	Year Ended December 31,
	2017		2016		2015		2017		2016		2015
Discount rate	4.18	%	4.54	%	3.91	%	3.89	%	4.07	%	4.05	%
Expected long-term return on plan assets (a)	6.31	%	6.20	%	6.50	%	—	%	—	%	—	%
Rate of compensation increase	2.49	%	2.18	%	2.92	%	—	%	—	%	—	%

Schedule of pension plan asset allocations

Pension plan asset allocations are as follows:



	Percentage of Plan Assets At December 31,
	2017		2016
Asset Category (a)
Equity securities	35	%	36	%
Hedge fund	8	%	7	%
Debt securities	57	%	57	%
Total	100	%	100	%

(a) The asset categories do not include the insurance contract related to the Dutch pension plan.

Schedule of target investment allocation and permissible allocation range for plan assets by category

The weighted average target investment allocation and permissible allocation range for plan assets by category are as follows:



	Strategic Target		Permitted Range
Asset Category
Equity securities	35	%	30-40%
Hedge fund	8	%	3-12%
Debt securities / Fixed Income	57	%	52-62%

Schedule of future benefit payments

The following benefit payments, which reflect expected future service, as appropriate, are expected to be paid:



	Pension Plans		Postretirement Benefits Other than Pensions
2018	$	22.7	$	5.3
2019	24.4		4.3
2020	21.7		4.6
2021	23.4		4.9
2022	23.3		4.8
Years 2023-2027	128.1		18.1

Schedule of effects of one-percentage-point change in assumed health care cost trend rates

Assumed health care cost trend rates affect the amounts reported for postretirement health care benefit plans. A one percentage-point change in assumed health care cost trend rates would have the following effects:



	One Percentage- Point
	Increase		Decrease
Effect on total of service and interest cost components	$	—	$	—
Effect on post-retirement benefit other than pension obligation	0.2		(0.3		)