Retirement Benefits (Tables)

11 Months Ended

Oct. 02, 2015

Principal Assumptions of Esterline and CMC Plans

Principal assumptions of the Esterline, CMC and Other Non-U.S. plans are as follows:

	Esterline		CMC		Other Non-U.S.
	Defined Benefit		Defined Benefit		Defined Benefit
	Pension Plans		Pension Plans		Pension Plans
	2015	2014	2015	2014	2015	2014
Principal assumptions as of year end:
Discount rate	4.40%	4.25%	4.00%	4.10%	1.80 - 8.25%	2.00 - 8.75%
Rate of increase in future    compensation levels	4.22%	4.21%	3.00%	3.00%	4.50 - 8.90%	4.50 - 8.83%
Assumed long-term rate of    return on plan assets	7.00%	7.00%	5.70%	6.35%	3.25 - 8.00%	3.25 - 8.00%

	Esterline		CMC
	Post-Retirement		Post-Retirement
	Pension Plans		Pension Plans
	2015	2014	2015	2014
Principal assumptions as of year end:
Discount rate	4.40%	4.25%	4.00%	4.10%
Initial weighted average health care trend rate	6.00%	6.00%	3.70%	6.20%
Ultimate weighted average health care trend rate	6.00%	6.00%	3.10%	4.20%

Allocations By Investment Type

Allocations by investment type are as follows:

		Actual
	Target	2015			2014
Plan assets allocation as of fiscal year end:
Equity securities	55 - 75%		56.8	%		62.2	%
Debt securities	25 - 45%		38.2	%		35.7	%
Cash	0%		5.0	%		2.1	%
Total			100.0	%		100.0	%

Net Periodic Pension Cost for Defined Benefit Plans

Net periodic pension cost for the Company’s defined benefit plans at the end of each fiscal year consisted of the following:

In Thousands	Defined Benefit									Post-Retirement
	Pension Plans									Benefit Plans
	2015			2014			2013			2015			2014			2013
Components of Net Periodic Cost
Service cost	$	11,811		$	11,367		$	11,848		$	359		$	489		$	508
Interest cost		16,159			19,387			17,893			464			685			674
Expected return on plan assets		(23,872	)		(25,999	)		(22,476	)		-			-			-
Contractual termination		-			94			-			-			-			-
Curtailment		-			23			-			-			(1,747	)		-
Settlement		3,522			-			-			-			-			-
Amortization of prior service cost		404			107			384			(63	)		(151	)		(150	)
Amortization of actuarial    (gain) loss		5,165			6,052			14,255			-			38			103
Net periodic cost (benefit)	$	13,189		$	11,031		$	21,904		$	760		$	(686	)	$	1,135

Funded Status of Defined Benefit Pension and Post-Retirement Plans

The funded status of the defined benefit pension and post-retirement plans at the end of fiscal 2015 and 2014 were as follows:

In Thousands	Defined Benefit						Post-Retirement
	Pension Plans						Benefit Plans
	2015			2014			2015			2014
Benefit Obligations
Beginning balance	$	473,348		$	443,133		$	13,797		$	16,713
Currency translation adjustment		(23,642	)		(13,285	)		(1,923	)		(1,230	)
Service cost		11,811			11,367			359			489
Interest cost		16,159			19,387			464			685
Plan participants contributions		256			104			-			-
Amendment		3,407			-			-			-
Acquisitions		13,982			-			-			-
Contractual termination		-			94			-			-
Curtailment		-			(241	)		-			(2,075	)
Actuarial (gain) loss		(2,552	)		37,423			(67	)		(10	)
Other adjustments		(1,096	)		(1,615	)		-			-
Benefits paid		(38,390	)		(23,019	)		(443	)		(775	)
Ending balance	$	453,283		$	473,348		$	12,187		$	13,797
Plan Assets - Fair Value
Beginning balance	$	427,474		$	390,809		$	-		$	-
Currency translation adjustment		(19,977	)		(10,144	)		-			-
Realized and unrealized gain (loss) on plan assets		2,021			48,424			-			-
Plan participants contributions		256			104			-			-
Company contribution		9,185			23,524			443			776
Acquisitions		9,988			-			-			-
Other adjustments		-			(122	)		-			-
Expenses paid		(1,096	)		(2,102	)		-			-
Benefits paid		(38,390	)		(23,019	)		(443	)		(776	)
Ending balance	$	389,461		$	427,474		$	-		$	-
Funded Status
Fair value of plan assets	$	389,461		$	427,474		$	-		$	-
Benefit obligations		(453,283	)		(473,348	)		(12,187	)		(13,797	)
Net amount recognized	$	(63,822	)	$	(45,874	)	$	(12,187	)	$	(13,797	)
Amount Recognized in the Consolidated Balance Sheet
Non-current asset	$	2,172		$	5,940		$	-		$	-
Current liability		(2,463	)		(2,214	)		(699	)		(704	)
Non-current liability		(63,531	)		(49,600	)		(11,488	)		(13,093	)
Net amount recognized	$	(63,822	)	$	(45,874	)	$	(12,187	)	$	(13,797	)
Amounts Recognized in Accumulated Other Comprehensive Income
Net actuarial loss (gain)	$	96,073		$	89,266		$	232		$	339
Prior service cost		3,436			700			(17	)		(80	)
Ending balance	$	99,509		$	89,966		$	215		$	259

Estimated Future Benefit Payments Expected to be Paid from Plan or from Assets

Estimated future benefit payments expected to be paid from the plan or from the Company’s assets are as follows:

In Thousands
Fiscal Year
2016	$	25,801
2017		26,953
2018		28,375
2019		28,725
2020		29,805
2021 - 2025		162,097

Pension Plan

Allocations By Investment Type

The following table presents the fair value of the Company’s Pension Plan assets as of October 2, 2015, by asset category segregated by level within the fair value hierarchy, as described in Note 7.

In Thousands	Fair Value Hierarchy
	Level 1		Level 2		Total
Asset category:
Equity Funds:
Registered Investments Company Funds - U.S. Equity	$	95,481	$	-	$	95,481
Commingled Trust Funds - U.S. Equity		-		25,307		25,307
U.S. Equity Securities		30,868		-		30,868
Non-U.S. Equity Securities		20,898		-		20,898
Commingled Trust Funds - Non-U.S. Securities		-		48,592		48,592
Fixed Income Securities:
Commingled Trust Funds - Fixed Income		-		80,424		80,424
Non-U.S. Foreign Commercial and Government Bonds		68,390		-		68,390
Cash and Cash Equivalents		19,501		-		19,501
Total	$	235,138	$	154,323	$	389,461

The following table presents the fair value of the Company’s Pension Plan assets as of October 31, 2014, by asset category segregated by level within the fair value hierarchy, as described in Note 7.

In Thousands	Fair Value Hierarchy
	Level 1		Level 2		Total
Asset category:
Equity Funds:
Registered Investments Company Funds - U.S. Equity	$	117,014	$	-	$	117,014
Commingled Trust Funds - U.S. Equity		-		28,734		28,734
U.S. Equity Securities		35,276		-		35,276
Non-U.S. Equity Securities		22,457		-		22,457
Commingled Trust Funds - Non-U.S. Securities		-		62,418		62,418
Fixed Income Securities:
Commingled Trust Funds - Fixed Income		-		87,078		87,078
Non-U.S. Foreign Commercial and Government Bonds		65,703		-		65,703
Cash and Cash Equivalents		8,794		-		8,794
Total	$	249,244	$	178,230	$	427,474