XML 39 R28.htm IDEA: XBRL DOCUMENT v3.22.2.2
POSTRETIREMENT BENEFIT PLANS
 9 Months Ended
Oct. 01, 2022
Retirement Benefits [Abstract]  
POSTRETIREMENT BENEFIT PLANS
POSTRETIREMENT BENEFIT PLANS
The following tables summarize the components of net periodic benefit cost for pension plans and other employee-related benefit plans.
October 1, 2022October 2, 2021
For the Three Months EndedPensionOther
Benefits		TotalPensionOther
Benefits		Total
Service cost$0.4 $0.1 $0.5 $0.4 $0.2 $0.6 
Interest cost0.3 0.6 0.9 0.3 0.4 0.7 
Amortization of prior service benefit— (1.5)(1.5)— (0.9)(0.9)
Amortization of net actuarial loss0.4 0.4 0.8 0.5 0.5 1.0 
Total net periodic benefit cost (benefit)$1.1 $(0.4)$0.7 $1.2 $0.2 $1.4 
 October 1, 2022October 2, 2021
For the Nine Months Ended
PensionOther
Benefits		TotalPensionOther
Benefits		Total
Service cost$1.0 $0.5 $1.5 $1.1 $0.6 $1.7 
Interest cost1.0 1.6 2.6 0.8 1.3 2.1 
Amortization of prior service benefit— (4.0)(4.0)— (3.4)(3.4)
Amortization of net actuarial loss1.1 1.4 2.5 1.5 1.8 3.3 
Total net periodic benefit cost (benefit)$3.1 $(0.5)$2.6 $3.4 $0.3 $3.7 
We made contributions to our global postretirement plans of $8.7 and $8.1 during the nine months ended October 1, 2022 and October 2, 2021, respectively. We expect to make contributions of approximately $3 to $4 during the remainder of 2022, principally related to our other employee-related benefit plans.
Amortization from accumulated other comprehensive income into earnings related to postretirement benefit plans, net of tax, was a net benefit of $0.4 and $0.9 during the three and nine months ended October 1, 2022, respectively, and a net expense of $0.2 and $0.2 during the three and nine months ended October 2, 2021, respectively. No other reclassifications from accumulated other comprehensive income into earnings were recognized during any of the presented periods.
Other Postretirement Employee Benefit (OPEB) Plan Amendment and Remeasurement
On July 31, 2022, management approved changes to a postretirement medical plan, covering certain unionized employees and retirees within our IP business. These changes closed the plan to new hires and, beginning in 2023, plan participants will receive a fixed contribution into a Health Reimbursement account. In accordance with ASC 715, Compensation - Retirement Benefits, we performed an interim remeasurement of the plan, including remeasuring the projected benefit obligation and the net periodic benefit cost, as of the effective date of the plan amendment. In addition to the impact of the plan changes, as part of the remeasurement, the discount rate assumption was updated from 2.7% to 4.5% to reflect the yield curve at the time of remeasurement. The remeasurement resulted in a decrease of $16.9 in our projected benefit obligation, which was reflected within non-current liabilities in our Consolidated Condensed Balance Sheets. In addition, the remeasurement resulted in a pre-tax prior service credit of $8.1 and an actuarial gain of $8.8, which were reflected in other comprehensive income and will be recognized into net income over approximately 10 years. The current period impact of the remeasurement on our Consolidated Condensed Statements of Operations was not material. Beginning in 2023, we expect annual benefit payments to decrease by approximately $1.