XML 53 R37.htm IDEA: XBRL DOCUMENT v3.20.2
Employee Benefit Plans (Tables)
 12 Months Ended
Sep. 30, 2020
Defined Benefit Plans And Other Postretirement Benefit Plans Disclosures [Abstract]  
Schedule of changes in the benefit obligations and plan assets, the funded status of the plans and the amounts recognized in the balance sheet

Changes in benefit obligations and plan assets, as well as the funded status of the Company’s defined benefit pension plans and postretirement benefit plans as of and for the fiscal years ended September 30, 2020 and 2019, were as follows (in millions):

 

 

 

 

 

 

 

 

 

 

Postretirement

 

 

 

Pension Benefits

 

 

Health and Other

 

 

 

2020

 

 

2019

 

 

2020

 

 

2019

 

Accumulated benefit obligation at September 30

 

$

601.1

 

 

$

542.8

 

 

$

53.3

 

 

$

51.4

 

Change in projected benefit obligation

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Benefit obligation at October 1

 

$

546.5

 

 

$

455.8

 

 

$

51.4

 

 

$

46.6

 

Service cost

 

 

10.1

 

 

 

9.1

 

 

 

3.5

 

 

 

3.1

 

Interest cost

 

 

17.1

 

 

 

18.7

 

 

 

1.6

 

 

 

1.9

 

Actuarial loss (gain)

 

 

44.0

 

 

 

77.4

 

 

 

5.4

 

 

 

1.4

 

Participant contributions

 

 

—

 

 

 

0.1

 

 

 

—

 

 

 

—

 

Plan amendments

 

 

9.8

 

 

 

0.2

 

 

 

(6.5

)

 

 

—

 

Curtailments

 

 

—

 

 

 

1.2

 

 

 

—

 

 

 

—

 

Benefits paid

 

 

(15.8

)

 

 

(14.1

)

 

 

(2.1

)

 

 

(1.6

)

Currency translation adjustments

 

 

1.9

 

 

 

(1.9

)

 

 

—

 

 

 

—

 

Benefit obligation at September 30

 

$

613.6

 

 

$

546.5

 

 

$

53.3

 

 

$

51.4

 

Change in plan assets

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Fair value of plan assets at October 1

 

$

408.9

 

 

$

384.2

 

 

$

—

 

 

$

—

 

Actual return on plan assets

 

 

35.4

 

 

 

33.9

 

 

 

—

 

 

 

—

 

Company contributions

 

 

11.4

 

 

 

8.8

 

 

 

2.1

 

 

 

1.6

 

Participant contributions

 

 

—

 

 

 

0.1

 

 

 

—

 

 

 

—

 

Expenses paid

 

 

(4.3

)

 

 

(2.2

)

 

 

—

 

 

 

—

 

Benefits paid

 

 

(15.8

)

 

 

(14.1

)

 

 

(2.1

)

 

 

(1.6

)

Currency translation adjustments

 

 

1.7

 

 

 

(1.8

)

 

 

—

 

 

 

—

 

Fair value of plan assets at September 30

 

$

437.3

 

 

$

408.9

 

 

$

—

 

 

$

—

 

Funded status of plan - underfunded at September 30

 

$

(176.3

)

 

$

(137.6

)

 

$

(53.3

)

 

$

(51.4

)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Recognized in consolidated balance sheet at September 30

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Accrued benefit liability (current liability)

 

$

(1.9

)

 

$

(1.8

)

 

$

(2.5

)

 

$

(1.2

)

Accrued benefit liability (long-term liability)

 

 

(174.4

)

 

 

(135.8

)

 

 

(50.8

)

 

 

(50.2

)

 

 

$

(176.3

)

 

$

(137.6

)

 

$

(53.3

)

 

$

(51.4

)

 
Schedule of Amounts Recognized in Other Comprehensive Income (Loss)

Recognized in accumulated other comprehensive income (loss) as of September 30 (net of taxes)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Net actuarial (loss) gain

 

$

(89.0

)

 

$

(68.9

)

 

$

(6.1

)

 

$

(1.9

)

Prior service (cost) benefit

 

 

(13.4

)

 

 

(7.0

)

 

 

12.6

 

 

 

8.4

 

 

 

$

(102.4

)

 

$

(75.9

)

 

$

6.5

 

 

$

6.5

 

 
Schedule of Weighted-average assumptions

Weighted-average assumptions as of September 30

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Discount rate

 

 

2.71

%

 

 

3.17

%

 

 

2.36

%

 

 

3.10

%

Expected return on plan assets

 

 

4.89

%

 

 

5.49

%

 

n/a

 

 

n/a

 

 
Schedule of Benefit Obligations in Excess of Plan Fair Value

Pension benefit plans with accumulated benefit obligations in excess of plan assets consisted of the following (in millions):

 

 

September 30,

 

 

 

2020

 

 

2019

 

Projected benefit obligation

 

$

613.6

 

 

$

546.5

 

Accumulated benefit obligation

 

 

601.1

 

 

 

542.8

 

Fair value of plan assets

 

 

437.3

 

 

 

408.9

 
Schedule of Net Periodic Benefit Cost

The components of net periodic benefit cost for fiscal years ended September 30 were as follows (in millions):

 

 

 

 

 

Postretirement

 

 

 

Pension Benefits

 

 

Health and Other

 

 

 

2020

 

 

2019

 

 

2018

 

 

2020

 

 

2019

 

 

2018

 

Components of net periodic benefit cost

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Service cost

 

$

10.1

 

 

$

9.1

 

 

$

10.5

 

 

$

3.5

 

 

$

3.1

 

 

$

3.7

 

Interest cost

 

 

17.1

 

 

 

18.7

 

 

 

17.9

 

 

 

1.6

 

 

 

1.9

 

 

 

1.8

 

Expected return on plan assets

 

 

(20.6

)

 

 

(19.9

)

 

 

(20.1

)

 

 

—

 

 

 

—

 

 

 

—

 

Amortization of prior service cost (benefit)

 

 

1.6

 

 

 

1.7

 

 

 

1.8

 

 

 

(0.9

)

 

 

(1.5

)

 

 

(0.9

)

Curtailment/settlement

 

 

0.1

 

 

 

1.2

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

Amortization of net actuarial loss (gain)

 

 

3.3

 

 

 

0.2

 

 

 

1.9

 

 

 

(0.2

)

 

 

(0.2

)

 

 

0.1

 

Expenses paid

 

 

4.0

 

 

 

2.5

 

 

 

1.9

 

 

 

—

 

 

 

—

 

 

 

—

 

Net periodic benefit cost

 

$

15.6

 

 

$

13.5

 

 

$

13.9

 

 

$

4.0

 

 

$

3.3

 

 

$

4.7

 

Other changes in plan assets and benefit obligations recognized in other comprehensive income

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Net actuarial loss (gain)

 

$

29.4

 

 

$

63.3

 

 

$

(35.9

)

 

$

5.5

 

 

$

1.4

 

 

$

(6.5

)

Prior service cost (benefit)

 

 

9.8

 

 

 

0.2

 

 

 

—

 

 

 

(6.5

)

 

 

—

 

 

 

(0.6

)

Amortization of prior service benefit (cost)

 

 

(1.6

)

 

 

(1.7

)

 

 

(1.8

)

 

 

0.9

 

 

 

1.5

 

 

 

0.9

 

Amortization of net actuarial (loss) gain

 

 

(3.3

)

 

 

(0.2

)

 

 

(1.9

)

 

 

0.2

 

 

 

0.2

 

 

 

(0.1

)

 

 

$

34.3

 

 

$

61.6

 

 

$

(39.6

)

 

$

0.1

 

 

$

3.1

 

 

$

(6.3

)

Weighted-average assumptions

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Discount rate

 

3.17%

 

 

 

4.18

%

 

 

3.85

%

 

3.10%

 

 

 

4.20

%

 

 

3.71

%

Expected return on plan assets

 

5.49%

 

 

 

5.50

%

 

 

5.93

%

 

n/a

 

 

n/a

 

 

n/a

 

 
Schedule of Pension Plan Asset and Target Allocation

The weighted-average of the Company’s pension plan asset allocations and target allocations at September 30, 2020 by asset category, were as follows:

 

 

Target %

 

Actual

 

Asset Category

 

 

 

 

 

 

Fixed income

 

40% - 50%

 

 

47

%

Large-cap equity

 

20% - 30%

 

 

24

%

Mid-cap equity

 

5% - 15%

 

 

11

%

Small-cap equity

 

5% - 10%

 

 

7

%

Global equity

 

5% - 10%

 

 

7

%

Other

 

0% - 10%

 

 

4

%

 

 

 

 

 

100

%
Schedule of fair value of plan assets by major category and level within fair value hierarchy

The fair value of plan assets by major category and level within the fair value hierarchy was as follows (in millions):

 

 

Quoted Prices for Identical

Assets

(Level 1)

 

 

Significant

Other

Observable

Inputs

(Level 2)

 

 

Significant

Unobservable

Inputs

(Level 3)

 

 

Total

 

September 30, 2020

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Common stocks

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

U.S. companies (a)

 

$

77.4

 

 

$

8.1

 

 

$

—

 

 

$

85.5

 

International companies (b)

 

 

—

 

 

 

13.5

 

 

 

—

 

 

 

13.5

 

Mutual funds (a)

 

 

81.5

 

 

 

—

 

 

 

—

 

 

 

81.5

 

Government and agency bonds (c)

 

 

—

 

 

 

7.7

 

 

 

—

 

 

 

7.7

 

Corporate bonds and notes (d)

 

 

—

 

 

 

8.3

 

 

 

—

 

 

 

8.3

 

Money market funds (e)

 

 

12.5

 

 

 

—

 

 

 

—

 

 

 

12.5

 

Other

 

 

—

 

 

 

—

 

 

 

0.8

 

 

 

0.8

 

 

 

$

171.4

 

 

$

37.6

 

 

$

0.8

 

 

 

209.8

 

Investments measured at net asset value (NAV) (f)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

227.5

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

$

437.3

 

September 30, 2019

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Common stocks

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

U.S. companies (a)

 

$

75.9

 

 

$

6.9

 

 

$

—

 

 

$

82.8

 

International companies (b)

 

 

—

 

 

 

13.3

 

 

 

—

 

 

 

13.3

 

Mutual funds (a)

 

 

72.7

 

 

 

—

 

 

 

—

 

 

 

72.7

 

Government and agency bonds (c)

 

 

—

 

 

 

7.0

 

 

 

—

 

 

 

7.0

 

Corporate bonds and notes (d)

 

 

—

 

 

 

7.5

 

 

 

—

 

 

 

7.5

 

Money market funds (e)

 

 

11.7

 

 

 

—

 

 

 

—

 

 

 

11.7

 

Other

 

 

—

 

 

 

—

 

 

 

0.7

 

 

 

0.7

 

 

 

$

160.3

 

 

$

34.7

 

 

$

0.7

 

 

 

195.7

 

Investments measured at net asset value (NAV) (f)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

213.2

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

$

408.9

 

 

(a)

Primarily valued using a market approach based on the quoted market prices of identical instruments that are actively traded on public exchanges.

(b)

Valuation model looks at underlying security “best” price, exchange rate for underlying security’s currency against the U.S. dollar and ratio of underlying security to American depository receipt.

(c)

These investments consist of debt securities issued by the U.S. Treasury, U.S. government agencies and U.S. government-sponsored enterprises and have a variety of structures, coupon rates and maturities. These investments are considered to have low default risk as they are guaranteed by the U.S. government. Fixed income securities are primarily valued using a market approach with inputs that include broker quotes, benchmark yields, base spreads and reported trades.

(d)

These investments consist of debt obligations issued by a variety of private and public corporations. These are investment grade securities which historically have provided a steady stream of income. Fixed income securities are primarily valued using a market approach with inputs that include broker quotes, benchmark yields, base spreads and reported trades.

(e)

These investments largely consist of short-term investment funds and are valued using a market approach based on the quoted market prices of identical instruments.

(f)

These investments consist of privately placed funds that are valued based on NAV. NAV of the funds is based on the fair value of each funds underlying investments. In accordance with ASC Subtopic 820-10, certain investments that are measured at fair value using the NAV per share (or its equivalent) practical expedient have not been classified in the fair value hierarchy.
Fair Value, Investments, Entities that Calculate Net Asset Value Per Share

The following table sets forth additional disclosures for the fair value measurement of the fair value of pension plans assets that calculate fair value based on NAV per share practical expedient as of September 30, 2020 (in millions):

 

 

Fair Value

 

 

Unfunded

Commitments

 

 

Redemption Frequency

(if Currently Eligible)

 

Redemption Notice

Period (1)

Common collective trust

 

$

227.5

 

 

$

—

 

 

N/A

 

15 days

 

(1)

Represents the maximum redemption period. A portion of the investment does not have any redemption period restrictions.

The following table sets forth additional disclosures for the fair value measurement of the fair value of pension plans assets that calculate fair value based on NAV per share practical expedient as of September 30, 2019 (in millions):

 

 

Fair Value

 

 

Unfunded Commitments

 

 

Redemption Frequency

(if Currently Eligible)

 

Redemption Notice

Period (1)

Common collective trust

 

$

213.2

 

 

$

—

 

 

N/A

 

15 days

 

(1)

Represents the maximum redemption period. A portion of the investment does not have any redemption period restrictions.
Schedule of estimated future benefit payments

The Company’s estimated future benefit payments under Company sponsored plans were as follows (in millions):

Fiscal Year Ending

 

Pension Benefits

 

 

Postretirement Health

 

September 30,

 

Qualified

 

 

Non-Qualified

 

 

and Other

 

2021

 

$

15.7

 

 

$

1.9

 

 

$

2.5

 

2022

 

 

17.2

 

 

 

1.9

 

 

 

3.0

 

2023

 

 

18.9

 

 

 

2.0

 

 

 

3.1

 

2024

 

 

20.4

 

 

 

2.0

 

 

 

3.6

 

2025

 

 

21.9

 

 

 

1.9

 

 

 

3.4

 

2026-2030

 

 

128.4

 

 

 

10.0

 

 

 

20.9