Note H – Employee and Retiree Benefit Plans

The Company has defined benefit pension plans that are principally noncontributory and cover most North American full-time employees. All pension plans are funded except for the U.S. nonqualified supplemental plan. All U.S. tax qualified plans meet the funding requirements of federal laws and regulations. Contributions to foreign plans are based on local laws and tax regulations. The Company also sponsors health care and life insurance benefit plans, which are not funded, that cover most active and retired U.S. employees. The health care benefits are contributory; the life insurance benefits are noncontributory.

The table that follows provides the components of net periodic benefit expense for the three-month periods ended March 31, 2018 and 2017.



	Three Months Ended March 31,
	Pension Benefits			Other Postretirement Benefits
(Thousands of dollars)		2018	2017	2018		2017
Service cost	$	2,255	2,032		494		425
Interest cost		6,737	6,719		874		966
Expected return on plan assets		(7,506)	(7,185)		–		–
Amortization of prior service cost (credit)		257	254		(10)		(18)
Recognized actuarial loss		5,215	3,554		–		–
Net periodic benefit expense	$	6,958	5,374		1,358		1,373

The components of net periodic benefit expense other than the service cost component are included in the line item “Interest and other income (loss)” in Consolidated Statements of Operations.

During the three-month period ended March 31, 2018, the Company made contributions of $6.4 million to its defined benefit pension and postretirement benefit plans. Remaining funding in 2018 for the Company’s defined benefit pension and postretirement plans is anticipated to be $23.3 million.