EMPLOYER SPONSORED BENEFIT PLANS

6 Months Ended

Jun. 30, 2021

Retirement Benefits [Abstract]

EMPLOYER SPONSORED BENEFIT PLANS

EMPLOYER SPONSORED BENEFIT PLANS

The Company maintains one domestic pension plan, the Retirement Income Plan for Employees of Interface Performance Materials, Inc. ("IPM Pension Plan"). During the three-month period ended March 31, 2020, the Company settled the pension obligation of the Interface Sealing Solutions, Inc. Pension Plan ("ISS Pension Plan") through lump sum distributions to participants or by irrevocably transferring pension liabilities to an insurance company through the purchase of a group annuity contract. This purchase, funded with pension assets, resulted in a pre-tax settlement loss of $0.4 million in the six-month period ended June 30, 2020, related to the recognition of accumulated deferred actuarial losses. The settlement loss and expenses were included as non-operating expense on the Condensed Consolidated Statements of Operations.

The IPM Pension Plan covers a portion of Interface's union and non-union employees. The plan is closed to new employees and benefits are no longer accruing for the majority of participants. The Company expects to make contributions of approximately $0.7 million to the IPM Pension Plan during 2021. Contributions of $0.2 million and $0.4 million were made during the three and six-month periods ended June 30, 2021. Contributions of $0.4 million were made during the six-month period ended June 30, 2020. There were no contributions made during the three-month period ended June 30, 2020 because the Company took advantage of the deferral in minimum funding contribution due dates as permitted under the Coronavirus Aid, Relief, and Economic Security Act ("CARES Act").

The following is a summary of the components of net periodic benefit cost for the domestic defined benefit pension plans for

the three and six-month periods ended June 30, 2021 and 2020:

	For the Three Months Ended				For the Six Months Ended
In thousands	June 30, 2021		June 30, 2020		June 30, 2021		June 30, 2020
Components of employer benefit cost
Service cost	$	29	$	40	$	58	$	80
Interest cost	304		428		608		857
Expected return on assets	(589)		(532)		(1,178)		(1,065)
Amortization of actuarial loss	4		—		8		2
Net periodic benefit cost (income)	$	(252)	$	(64)	$	(504)	$	(126)
Settlement loss	—		—		—		385
Total employer benefit plan cost	$	(252)	$	(64)	$	(504)	$	259

The Company reports the service cost component of net periodic benefit cost in the same line item as other compensation costs in operating expenses and the non-service cost components of net periodic benefit cost in Other (income) expense, net on the Condensed Consolidated Statements of Operations.