Employee Benefits

6 Months Ended

Jun. 30, 2020

EMPLOYEE BENEFITS

Pension and other defined contribution retirement plan expenses included the following components:


(DOLLARS IN THOUSANDS)	U.S. Plans
			Three Months Ended June 30,									Six Months Ended June 30,
			2020			2019			2020			2019
Service cost for benefits earned⁽¹⁾	$	400		$	474		$	800		$	948
Interest cost on projected benefit obligation⁽²⁾	4,263			5,453			8,526			10,906
Expected return on plan assets⁽²⁾	(7,083)			(6,983)			(14,166)			(13,966)
Net amortization and deferrals⁽²⁾	1,858			1,276			3,716			2,551
Net periodic benefit (income) cost	$	(562)		$	220		$	(1,124)		$	439


(DOLLARS IN THOUSANDS)	Non-U.S. Plans
			Three Months Ended June 30,									Six Months Ended June 30,
			2020			2019			2020			2019
Service cost for benefits earned⁽¹⁾	$	5,940		$	4,873		$	11,880		$	9,746
Interest cost on projected benefit obligation⁽²⁾	3,246			4,435			6,491			8,870
Expected return on plan assets⁽²⁾	(11,614)			(10,904)			(23,228)			(21,808)
Net amortization and deferrals⁽²⁾	3,834			2,922			7,668			5,844

Net periodic benefit (income) cost	$	1,406		$	1,326		$	2,811		$	2,652

_______________________

(1)Included as a component of Operating profit.

(2)Included as a component of Other income, net.

The Company expects to contribute a total of $4.4 million to its U.S. pension plans and a total of $20.9 million to its Non-U.S. Plans during 2020. During the six months ended June 30, 2020, no contributions were made to the qualified U.S. pension plans, $11.5 million of contributions were made to the non-U.S. pension plans, and $2.6 million of benefit payments were made with respect to the Company's non-qualified U.S. pension plan.

Income recognized for postretirement benefits other than pensions included the following components:


	Three Months Ended June 30,						Six Months Ended June 30,
(DOLLARS IN THOUSANDS)	2020		2019		2020		2019
Service cost for benefits earned	$	143	$	148	$	286	$	296
Interest cost on projected benefit obligation	475		578		949		1,156
Net amortization and deferrals	(1,152)		(1,195)		(2,305)		(2,389)
Total postretirement benefit income	$	(534)	$	(469)	$	(1,070)	$	(937)

The Company expects to contribute $3.8 million to its postretirement benefits other than pension plans during 2020. In the six months ended June 30, 2020, $1.5 million of contributions were made.