Certain employees of the Company are covered by a Company-sponsored qualified pension plan and a supplemental non-qualified, unfunded pension plan (collectively, the “Pension Plans”). These Pension Plans are defined benefit, noncontributory plans. Benefits paid to retirees are based upon age at retirement, years of credited service and average earnings. The Company uses a December 31 measurement date for the pension plans.

The Company-sponsored pension plans are frozen for all employees except for employees represented by the United Steelworkers of America. The assets of the Company-sponsored qualified pension plan are maintained in a single trust account.

Effective January 1, 2017, the Company opened a lump-sum payout option to participants and their surviving spouses eligible to receive postretirement defined benefit pension payments under the Company-sponsored qualified pension plan. Eligible pension plan participants were provided the opportunity to elect to receive a one-time lump-sum payment equal to the actuarial equivalent present value of the participant’s accrued benefit payable at the participant’s normal retirement date. Pension benefit payments paid from pension plan assets

under the lump-sum payout options were $2,436 and $3,375 during the years ended December 31, 2020 and December 31, 2019, respectively.

The Company’s funding policy is to satisfy the minimum funding requirements of the Employee Retirement Income Security Act (“ERISA”). Based upon factors known and considered as of December 31, 2020, including the funding requirements under ERISA, the Company does not anticipate making significant cash contributions to the pension plans in 2021.

The Company expects no amortization of pension prior service cost and amortization of actuarial loss of $52 for the next fiscal year.

For the plans with an accumulated benefit obligation in excess of plan assets, the projected benefit obligation, accumulated benefit obligation and fair value of plan assets were $5,762, $5,762 and $0, respectively, at December 31, 2020, and $5,499, $5,499 and $0, respectively, at December 31, 2019.

The assumptions used to measure the projected benefit obligations of the Company’s Pension Plans were as follows:

The assumptions used to determine net periodic pension cost of the Company’s Pension Plans were as follows:

The Company’s expected long-term rate of return on plan assets is derived from reviews of asset allocation strategies and historical and anticipated future long-term performance of individual asset classes. The Company’s analysis gives consideration to historical returns and long-term, prospective rates of return.

For salaried and hourly, non-union participants, the Pension Plans were frozen in July 2008. As a result, the projected benefit obligations or net periodic pension cost are based on the accrued benefit as of that date and the Company has not used a projected annual salary increase assumption. For hourly, union participants, the accrued benefit is based on a multiplier that is pre-defined per the agreement governing the Pension Plans, which includes the accrued benefit for the participant’s vacation pay that is based on the participant’s final hourly rate at retirement. Therefore, the projected benefit obligations or expense for hourly, union participants in the Pension Plans assumes a 3% projected annual salary increase for the year ended December 31, 2020.

The assets of the Company-sponsored qualified pension plan are allocated primarily to fixed income securities at December 31, 2020 and December 31, 2019.

The assets of the Company-sponsored qualified pension plan are managed in accordance with investment policies recommended by its investment advisor and approved by the human resources committee of the board of directors (the “Committee”). The overall target portfolio allocation is 100% fixed income securities. These funds’ conformance with style profiles and performance is monitored regularly by management, with the assistance of the Company’s investment advisor. Adjustments are typically made in the subsequent quarters when investment allocations deviate from the target range. The investment advisor provides quarterly reports to management and the Committee.

In accordance with ASU No. 2015-07, “Fair Value Measurement (Topic 820): Disclosures for Investments in Certain Entities That Calculate Net Asset Value (“NAV”) per Share (or Its Equivalent),” certain of the Company’s investments have been valued using the NAV per share (or its equivalent) practical expedient and are therefore not classified in the fair value hierarchy. The fair value amounts presented in these tables for the Company’s investments are intended to permit reconciliation of the fair value hierarchy to the amounts presented in the reconciliation of changes in the plan’s benefit obligations and fair value of plan assets above.

The fair values of the assets of the Company-sponsored qualified pension plan fall within the following levels of the fair value hierarchy as of December 31, 2020:

(a)	Fixed income securities are comprised of corporate bonds (71%), government bonds (19%), government agency securities (1%) and other fixed income securities (9%).

The fair values of the assets of the Company-sponsored qualified pension plan fall within the following levels of the fair value hierarchy as of December 31, 2019:


	Level 1		Level 2		Level 3		Total
Fixed income securities ^(b)	$	8,925	$	172,293	$	—	$	181,218
Investments measured at net asset value								8,662
Accounts payable – pending trades								(31,878)
Total							$	158,002

(b)	Fixed income securities are comprised of corporate bonds (72%), government bonds, (17%) government agency securities (1%) and other fixed income securities (10%).

The estimated future pension benefit payments are:


2021	$	11,630
2022		10,550
2023		10,180
2024		10,260
2025		10,350
2025 — 2029		47,380

The Company was party to a multi-employer pension plan in Ohio from which it has stated its intention to withdraw. As of December 31, 2020, the total estimated liability to withdraw from the plan is $2,992. The current liability associated with the Company’s withdrawal from the multi-employer pension plan of $240 is included in accrued and other current liabilities in the Consolidated Balance Sheet and the long-term liability of $2,752 is included in other noncurrent liabilities in the Consolidated Balance Sheet.

Postretirement Plan

The Company also provides declining value life insurance to its retirees and a maximum of three years of medical coverage to qualified individuals who retire between the ages of 62 and 65. The Company does not fund these benefits in advance, and uses a December 31 measurement date.

Components of net periodic postretirement plan benefit were as follows:


	Year Ended December 31,
	2020		2019
Service cost	$	52	$	67
Interest cost		40		56
Amortization of prior service credit		(2)		(2)
Amortization of actuarial loss		49		42
Net periodic postretirement plan cost	$	139	$	163

The Company expects amortization of prior service credit of $2 and amortization of actuarial loss of $54 the next fiscal year.

The status of the postretirement plan was as follows:


	Year Ended December 31,
	2020		2019
Change in accumulated postretirement benefit obligations:
Accumulated postretirement benefit obligation at beginning of period	$	1,760	$	1,627
Service cost		52		67
Interest cost		40		56
Benefit payments		(38)		(22)
Actuarial loss		100		32
Accumulated postretirement benefit obligation at end of period	$	1,914	$	1,760
Funded status – net liability	$	(1,914)	$	(1,760)
Amounts recognized in the consolidated balance sheets consist of:
Accrued liabilities	$	(270)	$	(160)
Postretirement benefit obligations		(1,644)		(1,600)
Net amount recognized	$	(1,914)	$	(1,760)
Pre-tax components of accumulated other comprehensive loss:
Unrecognized prior service cost	$	(13)	$	(15)
Unrecognized actuarial loss		599		548
Total	$	586	$	533

The assumed health care cost trend rates for medical plans were as follows:


	Year Ended December 31,
	2020		2019
Medical cost trend rate	7.00	%	6.75	%
Ultimate medical cost trend rate	4.50	%	4.50	%
Year ultimate medical cost trend rate will be reached	2031		2030

A 1% increase in the health care cost trend rate assumptions would have increased the accumulated postretirement benefit obligation as of December 31, 2020 by $55 with no significant impact on the annual periodic postretirement benefit cost. A 1% decrease in the health care cost trend rate assumptions would have decreased the accumulated postretirement benefit obligation as of December 31, 2020 by $51 with no significant impact on the annual periodic postretirement benefit cost.

The weighted average discount rate used to determine the net periodic postretirement benefit costs and the accumulated postretirement benefit obligations were as follows:


	Year Ended December 31,
	2020		2019
Net periodic postretirement benefit costs	2.92	%	3.90	%
Accumulated postretirement benefit obligations	2.11	%	2.92	%

Retirement Savings Plans

The Company’s retirement savings plan for U.S. employees includes features under Section 401(k) of the Internal Revenue Code. The Company provides a 401(k) matching contribution of 100% of each dollar on eligible employee contributions up to the first 3% of the employee’s pre-tax compensation, and an additional 50% of each dollar on eligible employee contributions up to the next 2% of the employee’s pre-tax compensation. Each year, in addition to the employer matching contribution, the Company’s Chief Executive

Officer may approve a discretionary Company contribution up to 4% of eligible employee’s annual pre-tax compensation. The discretionary contribution is provided as an identical percentage of each employee’s annual pre-tax compensation, regardless of their individual contributions to the 401(k) program. Company contributions cliff vest after two years of employment. There was no discretionary contribution made in the years ended December 31, 2020 and 2019.

The amounts expensed by the Company relating to its 401(k) plan and other international retirement plans were $1,468 for the year ended December 31, 2020 and $1,672 for the year ended December 31, 2019.