Employee Benefit Plans (Tables)

12 Months Ended

Dec. 31, 2016

Compensation and Retirement Disclosure [Abstract]

The components of net periodic pension cost for both plans are as follows:



	(In thousands) Years Ended December 31,
	2016			2015			2014
Service cost	$	531		$	785		$	693
Interest cost	1,367			1,350			1,278
Expected return on plan assets	(1,482		)	(1,495		)	(1,400		)
Amortization of actuarial losses	762			887			419
Net periodic pension cost	$	1,178		$	1,527		$	990

Reclassification out of Accumulated Other Comprehensive Income

The components of the reclassifications of net actuarial losses from accumulated other comprehensive loss to net income for 2016 were as follows:



	(In thousands) Year Ended December 31,
	2016
Amortization of actuarial loss - total before tax ⁽¹⁾	$	762
Tax benefit	(283		)
Net of tax	$	479


(1)	The amortization expense is included in the computation of periodic pension cost and is a decrease to net income upon reclassification from accumulated other comprehensive loss.

Obligation and Funded Status of Defined Benefit Pension Plan and Retirement Plan

The obligations, fair value of plan assets, and funded status of both plans are as follows:



	(In thousands) December 31,
	2016			2015
Change in benefit obligation⁽¹⁾
Beginning benefit obligation (January 1)	$	31,510		$	33,299
Service cost	531			785
Interest cost	1,367			1,350
Actuarial loss (gain)	1,132			(2,599		)
Benefits paid	(1,386		)	(1,325		)
Ending benefit obligation (December 31)	$	33,154		$	31,510
Change in plan assets
Beginning fair value of plan assets (January 1)	$	19,933		$	19,725
Return on assets	1,551			(296		)
Employer contribution	1,917			1,829
Benefits paid	(1,386		)	(1,325		)
Ending fair value of plan assets (December 31)	$	22,015		$	19,933
Funded status (underfunded)	$	(11,139	)	$	(11,577	)
Amounts recognized in the consolidated balance sheet
Current liabilities	$	545		$	527
Non-current liabilities	$	10,595		$	11,050
Unrecognized loss included in accumulated other comprehensive loss
Beginning unrecognized loss, before tax (January 1)	$	8,919		$	10,614
Amortization	(762		)	(887		)
Liability (gain) loss	1,132			(2,599		)
Asset (loss) gain	(69		)	1,791
Ending unrecognized loss, before tax (December 31)	9,220			8,919
Tax impact	(3,425		)	(3,316		)
Unrecognized loss included in accumulated other comprehensive loss, net of tax	$	5,795		$	5,603


(1)	Projected benefit obligation equals the accumulated benefit obligation for the plans.

Company's Pension Plan Asset Allocation, by Asset Category

Our Pension Plan asset allocations at December 31, 2016 and 2015, by asset category, were as follows:



	December 31,
	2016		2015
Equity securities	65	%	74	%
Cash and equivalents	2	%	6	%
Debt securities	33	%	20	%
Total⁽¹⁾	100	%	100	%


(1)	Our overall investment strategy is to achieve an asset allocation within the following ranges to achieve an appropriate rate of return relative to risk.



Cash	0-5%
Fixed income securities	0-25%
Equities	25-95%

Summary of Return on Plan Asset



	(In thousands) Year Ended December 31, 2016
	Level 1		Level 2		Level 3		Total
Cash and cash equivalents	$	366	$	—	$	—	$	366
Fixed income securities	3,468		—		—		3,468
Equities⁽¹⁾	1,611		—		—		1,611
Other investments	760		—		—		760
Total plan assets at fair value	$	6,205	$	—	$	—	6,205
Pooled funds							15,810
Total fair value of plan assets							$	22,015



	(In thousands) Year Ended December 31, 2015
	Level 1		Level 2		Level 3		Total
Cash and cash equivalents	$	1,149	$	—	$	—	$	1,149
Fixed income securities	3,986		—		—		3,986
Equities⁽¹⁾	9,468		—		—		9,468
Other investments	—		—		—		—
Total plan assets at fair value	$	14,603	$	—	$	—	14,603
Pooled funds							5,330
Total fair value of plan assets							$	19,933


(1)	Represents mutual funds and commingled accounts which invest primarily in equities, but may also hold fixed income securities, cash and other investments. Commingled funds with publicly quoted prices and actively traded are classified as Level 1 investments.

Weighted Average Assumptions Used to Determine Net Periodic Benefit Cost

The assumptions used to compute the fair value of stock option grants under the Stock Incentive Plans for years ended December 31, 2016, 2015, and 2014 were as follows:



	Years Ended December 31,
	2016		2015		2014
Risk-free interest rate	1.20	%	1.13	%	1.67	%
Expected volatility	51.79	%	53.72	%	55.27	%
Expected dividends	—		—		—
Expected term (in months)	48		47		66

The weighted-average assumptions used to determine the net periodic benefit costs under the two plans were as follows:



	Years Ended December 31,
	2016		2015		2014
Discount rate used to determine pension expense
Pension Plan	4.55	%	4.25	%	4.75	%
LaBarge Retirement Plan	4.00	%	3.70	%	4.00	%

The weighted-average assumptions used to determine the benefit obligations under the two plans were as follows:



	December 31,
	2016		2015		2014
Discount rate used to determine value of obligations
Pension Plan	4.18	%	4.55	%	4.25	%
LaBarge Retirement Plan	3.75	%	4.00	%	3.70	%
Long-term rate of return - Pension Plan only	7.00	%	7.50	%	7.50	%

Expected Future Benefit Payments Under Pension Plans

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



	(In thousands)
	Pension Plan		LaBarge Retirement Plan
2017	$	1,063	$	545
2018	1,174		535
2019	1,215		521
2020	1,297		504
2021	1,369		485
2022 - 2026	7,862		2,079