EMPLOYEE BENEFIT PLANS

3 Months Ended

Apr. 02, 2022

Retirement Benefits [Abstract]

EMPLOYEE BENEFIT PLANS

EMPLOYEE BENEFIT PLANS

On February 17, 2022, we transferred our existing liability under the SPX Postretirement Benefit Plans (the “Plans”) for a group of participants with retiree life insurance benefits to an insurance carrier for consideration payable to the insurance carrier of approximately $10.0. Of this consideration, $9.0 was paid during the quarter ended April 2, 2022, with the remainder expected to be paid in the second quarter of 2022. This transaction resulted in a settlement charge of $0.7 recorded in net periodic pension benefit expense during the first quarter of 2022. In addition, and in connection with this transfer, we remeasured the assets and liabilities of the Plans as of the transfer date, which resulted in a benefit of $0.4 recorded in net periodic pension benefit expense for the three months ended April 2, 2022. Lastly, as a result of the transfer, we have eliminated the third-party cost and internal resource requirements associated with administering these benefits.

Net periodic benefit (income) expense for our pension and postretirement plans include the following components:

Domestic Pension Plans

	Three months ended
	April 2, 2022		April 3, 2021
Service cost	$	—	$	—
Interest cost	2.3		2.1
Expected return on plan assets	(2.1)		(2.2)
Net periodic pension benefit (income) expense	$	0.2	$	(0.1)

Foreign Pension Plans

	Three months ended
	April 2, 2022		April 3, 2021
Service cost	$	—	$	—
Interest cost	1.0		0.8
Expected return on plan assets	(1.5)		(1.4)
Net periodic pension benefit income	$	(0.5)	$	(0.6)

Postretirement Plans

	Three months ended
	April 2, 2022		April 3, 2021
Service cost	$	—	$	—
Interest cost	0.3		0.3
Amortization of unrecognized prior service credits	(1.1)		(1.2)
Recognized net actuarial losses (1)	0.3		—
Net periodic postretirement benefit income	$	(0.5)	$	(0.9)

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(1)     The three months ended April 2, 2022 includes the impact of the transfer of the retiree life insurance benefits obligation.