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Pensions and Other Postretirement Benefits
 12 Months Ended
Apr. 30, 2025
Retirement Benefits [Abstract]  
Pensions and Other Postretirement Benefits
Note 9: Pensions and Other Postretirement Benefits

We have defined benefit pension plans covering certain U.S. and Canadian employees. Pension benefits are based on the employee’s years of service and compensation levels. Our plans are funded in conformity with the funding requirements of applicable government regulations.

In addition to providing pension benefits, we sponsor several unfunded postretirement plans that provide health care and life insurance benefits to certain retired U.S. and Canadian employees. These plans are contributory, with retiree contributions adjusted periodically, and contain other cost-sharing features, such as deductibles and coinsurance. Covered employees generally are eligible for these benefits when they reach age 55 and have attained 10 years of credited service.

To determine the ultimate obligation under our defined benefit pension and other postretirement benefit plans, we must estimate the future cost of benefits and attribute that cost to the time period during which each covered employee works. Various actuarial assumptions must be made in order to predict and measure costs and obligations many years prior to the settlement date, the most significant being the interest rates used to discount the obligations of the plans, the long-term rates
of return on the plans’ assets, and mortality assumptions. We, along with third-party actuaries and investment managers, review all of these assumptions on an ongoing basis to ensure that the most reasonable information available is being considered.

The following table summarizes the components of net periodic benefit cost and the change in accumulated other comprehensive income (loss) related to the defined benefit pension and other postretirement plans.
Defined Benefit Pension PlansOther Postretirement Benefits
  Year Ended April 30,Year Ended April 30,
202520242023202520242023
Service cost$0.7 $0.9 $1.2 $0.6 $0.8 $1.0 
Interest cost17.7 18.5 17.8 2.7 2.6 2.3 
Expected return on plan assets(12.3)(16.1)(15.4)— — — 
Amortization of prior service cost (credit)0.1 0.1 0.7 (0.6)(0.6)(0.6)
Amortization of net actuarial loss (gain)4.3 3.5 4.0 (2.0)(1.5)(1.2)
Curtailment loss (gain)— (1.2)— — — — 
Settlement loss (gain) — 3.2 7.4 — — — 
Net periodic benefit cost$10.5 $8.9 $15.7 $0.7 $1.3 $1.5 
Other changes in plan assets and benefit liabilities recognized in
accumulated other comprehensive income (loss) before income taxes:
Prior service credit (cost) arising during the year$(0.3)$— $— $— $— $— 
Net actuarial gain (loss) arising during the year1.3 (6.6)(11.5)(2.3)5.4 3.8 
Amortization of prior service cost (credit)0.1 0.1 0.7 (0.6)(0.6)(0.6)
Amortization of net actuarial loss (gain)4.3 3.5 4.0 (2.0)(1.5)(1.2)
Curtailment loss (gain)— (1.2)— — — — 
Settlement loss (gain)— — 7.4 — — — 
Foreign currency translation— — — — (0.1)(0.2)
Net change for year$5.4 $(4.2)$0.6 $(4.9)$3.2 $1.8 
Weighted-average assumptions used in determining net periodic benefit costs:
U.S. plans:
Discount rate used to determine benefit obligation5.43 %5.19 %4.59 %5.86 %5.15 %4.52 %
Discount rate used to determine service cost6.06 5.38 4.77 5.92 5.23 4.64 
Discount rate used to determine interest cost5.38 5.08 4.26 5.77 5.06 4.11 
Expected return on plan assets4.70 5.35 4.51 — — — 
Rate of compensation increase3.00 3.66 3.55 — — — 
Canadian plans:
Discount rate used to determine benefit obligation5.07 %4.59 %2.41 %5.12 %4.62 %4.50 %
Discount rate used to determine service cost— — — 5.21 4.73 4.69 
Discount rate used to determine interest cost5.04 4.65 2.33 5.07 4.65 4.18 
Expected return on plan assets— 3.30 1.60 — — — 
We amortize gains and losses for our postretirement plans over the average expected future period of vested service. For plans that consist of less than 5 percent of participants that are active, average life expectancy is used instead of the average expected future service period.

We utilize a spot rate methodology for the estimation of service and interest cost for our plans by applying specific spot rates along the yield curve to the relevant projected cash flows to provide a better estimate of service and interest costs. For 2026 expense recognition, we will use weighted-average discount rates for the U.S. defined benefit pension plans of 5.21 percent to determine benefit obligation, 6.07 percent to determine service cost, and 4.91 percent to determine interest cost. As of April 30, 2025, a 50 basis-point decrease in the discount rate assumption would increase the 2026 net periodic benefit cost by approximately $0.2, and the benefit obligation would increase by approximately $13.1. In addition, we anticipate using an expected rate
of return on plan assets of 5.48 percent for the U.S. defined benefit pension plans. A 50 basis-point decrease in the expected rate of return on plan assets assumption would increase the 2026 net periodic benefit cost by approximately $1.2.

We use a measurement date of April 30 to determine defined benefit pension and other postretirement benefit plans’ assets and benefit obligations. The following table sets forth the combined status of the plans as recognized in the Consolidated Balance Sheets.
Defined Benefit Pension PlansOther Postretirement Benefits
  Year Ended April 30,Year Ended April 30,
2025202420252024
Change in benefit obligation:
Benefit obligation at beginning of year$345.9 $379.7 $48.9 $54.7 
Service cost0.7 0.9 0.6 0.8 
Interest cost17.7 18.5 2.7 2.6 
Amendments0.2 — — — 
Actuarial loss (gain) (A)
6.7 (18.4)2.3 (5.4)
Benefits paid(38.6)(34.5)(3.8)(3.8)
Curtailment— (3.4)— — 
Settlement— 3.1 — — 
Foreign currency translation adjustments— — (0.1)— 
Benefit obligation at end of year$332.6 $345.9 $50.6 $48.9 
Change in plan assets:
Fair value of plan assets at beginning of year$283.0 $325.9 $— $— 
Actual return on plan assets20.2 (12.3)— — 
Company contributions5.0 4.1 3.8 3.8 
Benefits paid(38.6)(34.5)(3.8)(3.8)
Settlement— (0.1)— — 
Foreign currency translation adjustments— (0.1)— — 
Fair value of plan assets at end of year$269.6 $283.0 $— $— 
Funded status of the plans$(63.0)$(62.9)$(50.6)$(48.9)
Defined benefit pensions$(53.0)$(54.1)$— $— 
Other noncurrent assets9.1 8.8 — — 
Accrued compensation(19.1)(17.6)(4.8)(4.6)
Other postretirement benefits— — (45.8)(44.3)
Net benefit liability$(63.0)$(62.9)$(50.6)$(48.9)
(A) The actuarial losses and gains for our defined benefit pension plans and other postretirement benefits were primarily due to changes in the discount rates used in determining the plan obligations.
In 2021, we transferred obligations related to our Canadian defined benefit pension plan to an insurance company through the purchase of an irrevocable group annuity contract (the “Canadian Buy-Out Contract”). The group annuity contract was purchased using assets from the pension trust. During 2024, we received corporate approval to proceed with distribution of the surplus that remains within the Canadian defined benefit pension plan. As a result, we recognized a noncash pre-tax settlement charge of $3.2 related to the acceleration of prior service cost for the portion of the plan surplus to be allocated to plan members, which is subject to regulatory approval before a payout can be made. The settlement charge was included within other income (expense) – net in the Statement of Consolidated Income (Loss). We did not recognize any charges related to the Canadian Buy-Out Contract during 2025.
In October 2023, we approved an amendment to terminate one of our U.S. qualified defined benefit plans, effective as of December 31, 2023. We provided notice to participants of the intent to terminate the plan and applied for a determination letter from the IRS. Pension obligations will be distributed through a combination of lump sum payments to eligible plan participants and through the purchase of a group annuity contract. During the plan year ended December 31, 2023, the asset allocation for the plan’s assets was adjusted in anticipation of the plan termination. Upon settlement of the pension
obligations, we will reclassify unrecognized actuarial gains or losses, currently recorded in accumulated other comprehensive income (loss), to the Statement of Consolidated Income (Loss) as a settlement gain or charge. As of April 30, 2025, we had unrecognized losses related to the plan of $43.6. We anticipate the termination process will be substantially complete by the end of 2026.
The following table summarizes amounts recognized in accumulated other comprehensive income (loss) in the Consolidated Balance Sheets, before income taxes.
  Defined Benefit Pension PlansOther Postretirement Benefits
Year Ended April 30,Year Ended April 30,
2025202420252024
Net actuarial gain (loss) $(91.2)$(96.8)$21.2 $25.5 
Prior service credit (cost) (0.6)(0.4)1.3 1.9 
Total recognized in accumulated other comprehensive income (loss)$(91.8)$(97.2)$22.5 $27.4 

The following table sets forth the weighted-average assumptions used in determining the benefit obligations.
  Defined Benefit Pension PlansOther Postretirement Benefits
Year Ended April 30,Year Ended April 30,
2025202420252024
U.S. plans:
Discount rate5.21 %5.43 %5.52 %5.86 %
Rate of compensation increase3.00 3.00 — — 
Interest crediting rate4.51 4.51 — — 
Canadian plans:
Discount rate4.32 %5.07 %4.60 %5.12 %
For 2026, the assumed health care trend rates are 7.00 percent and 4.50 percent for the U.S. and Canadian plans, respectively. The rate for participants under age 65 is assumed to decrease to 5.00 percent in 2034 for the U.S. plan and remain at 4.50 percent for the Canadian plan. The health care cost trend rate assumption impacts the amount of the other postretirement benefits obligation and periodic other postretirement benefits cost reported.
The following table sets forth additional information related to our defined benefit pension plans.
  April 30,
  20252024
Accumulated benefit obligation for all pension plans$331.7 $345.2 
Plans with an accumulated benefit obligation in excess of plan assets:
Accumulated benefit obligation$267.7 $276.7 
Fair value of plan assets195.8 205.3 
Plans with a projected benefit obligation in excess of plan assets:
Projected benefit obligation$267.7 $276.7 
Fair value of plan assets195.8 205.3 
We employ a total return on investment approach for the defined benefit pension plans’ assets. A mix of equity, fixed-income, and alternative investments is used to maximize the long-term rate of return on assets for the level of risk. In determining the expected long-term rate of return on the defined benefit pension plans’ assets, we consider the historical rates of return, the nature of investments, the asset allocation, and expectations of future investment strategies. The actual rate of return was a gain of 8.50 percent and a loss of 2.90 percent for the years ended April 30, 2025 and 2024, respectively, which excludes administrative and investment expenses.
Based on the anticipated termination of one of our U.S. qualified defined benefit pension plans, our current investment policy includes a mix of investments that consist of approximately 75 percent fixed-income securities, 15 percent equity securities, and 10 percent cash and cash equivalents.
The following tables summarize the major asset classes for the U.S. and Canadian defined benefit pension plans and the levels within the fair value hierarchy for those assets measured at fair value.
Quoted Prices in
Active Markets for
Identical Assets
(Level 1)		Significant 
Observable 
Inputs 
(Level 2)		Significant 
Unobservable 
Inputs 
(Level 3)		Plan Assets at April 30, 2025
Cash and cash equivalents (A)
$34.0 $— $— $34.0 
Equity securities:
U.S. (B)
9.7 — — 9.7 
International (C)
18.6 — — 18.6 
Fixed-income securities:
Bonds (D)
200.0 — — 200.0 
Other types of investments (E)
— 7.3 — 7.3 
Total financial assets measured at fair value$262.3 $7.3 $— $269.6 
Total financial assets measured at net asset value (F)
— 
Total plan assets$269.6 
Quoted Prices in 
Active Markets for
Identical Assets 
(Level 1)		Significant 
Observable 
Inputs 
(Level 2)		Significant 
Unobservable 
Inputs 
(Level 3)		Plan Assets at April 30, 2024
Cash and cash equivalents (A)
$28.9 $— $— $28.9 
Equity securities:
U.S. (B)
5.0 — — 5.0 
International (C)
15.7 — — 15.7 
Fixed-income securities:
Bonds (D)
220.1 — — 220.1 
Other types of investments (E)
— 13.3 — 13.3 
Total financial assets measured at fair value$269.7 $13.3 $— $283.0 
Total financial assets measured at net asset value (F)
— 
Total plan assets$283.0 
 
(A)    This category includes money market holdings with maturities of three months or less and are classified as Level 1 assets. Based on the short-term nature of these assets, carrying value approximates fair value.
(B)    This category is invested in a diversified portfolio of common stocks and index funds that primarily invest in U.S. stocks with broad market capitalization ranges similar to those found in the S&P 500 Index and/or the various Russell Indices, and are traded on active exchanges. The Level 1 assets are valued using quoted market prices for identical securities in active markets.
(C)    This category is invested primarily in common stocks and other equity securities traded on active exchanges of foreign issuers located outside the U.S. The fund invests primarily in developed countries, but may also invest in emerging markets. The Level 1 assets are valued using quoted market prices for identical securities in active markets.
(D)    This category is primarily composed of bond funds, which seek to duplicate the return characteristics of high-quality U.S. and foreign corporate bonds with a duration range of 10 to 13 years, as well as various U.S. Treasury Separate Trading of Registered Interest and Principal holdings, with wide-ranging maturity dates. These assets are valued using quoted market prices for identical securities in active markets and are classified as Level 1 assets.
(E)    This category is composed of a real estate fund whereby the underlying investments are contained in the Canadian market and a common collective trust fund investing in direct commercial property funds. The real estate fund and the collective trust fund investing in direct commercial property are classified as Level 2 assets, whereby the underlying securities are valued utilizing quoted market prices for identical securities in active markets and based on the quoted market prices of the underlying investments in the common collective trust, respectively.
(F)    This category was composed of a private equity fund that consisted primarily of limited partnership interests in corporate finance and venture capital funds, as well as a private limited investment partnership. The fair value estimates of the private equity fund and private limited investment partnership were based on the underlying funds’ net asset values. Furthermore, as a practical expedient equivalent to our defined benefit plan’s ownership interest in the partners’ capital, a proportionate share of the net assets was attributed and further corroborated by our review. The private equity fund and private limited investment partnership were non-redeemable, and the return of principal was based on the liquidation of the underlying assets. In accordance with ASU 2015-07, the private equity fund and private limited investment partnership were removed from the total financial assets measured at fair value and disclosed separately.
In 2026, we expect to make contributions of $1.0 to increase funding for our U.S. qualified defined benefit pension plans, along with contributions required to fund the U.S. defined benefit plan we plan to terminate, which will be equal to the shortfall following the payment of lump sums and purchase of a group annuity contract. The amount of the contribution necessary will be dependent on several factors including asset performance, economic environment, lump sum election percentage, and insurance premium pricing, among others. In addition, the timing of the annuity purchase will be dependent on the timing of the regulatory reviews by the IRS, as well as other plan termination activities. During 2026, we also expect to make direct benefit payments of approximately $9.0. Furthermore, we expect the following payments to be made from the defined benefit pension and other postretirement benefit plans: $150.5 in 2026, $22.8 in 2027, $22.6 in 2028, $21.8 in 2029, $21.7 in 2030, and $108.5 in 2031 through 2035.
Multi-Employer Pension Plan: We participate in one multi-employer pension plan, the Bakery and Confectionery Union and Industry International Pension Fund (“Bakery and Confectionery Union Fund”) (52-6118572), which provides defined benefits to certain union employees. During 2025 and 2024, a total of $2.8 and $2.9 was contributed to the plan, respectively, and we anticipate contributions of $2.8 in 2026.
The risks of participating in multi-employer pension plans are different from the risks of participating in single-employer pension plans. For instance, the assets contributed to the multi-employer plan by one employer may be used to provide benefits to employees of other participating employers, and if a participating employer stops contributing to the plan, the unfunded obligations of the plan allocable to the withdrawing employer may be the responsibility of the remaining participating employers. Additionally, if we stop participating in the multi-employer pension plan, we may be required to pay the plan an amount based on our allocable share of the underfunded status of the plan, referred to as a withdrawal liability.
The Pension Protection Act of 2006 ranks the funded status of multi-employer pension plans depending upon a plan’s current and projected funding. A plan is in the Red Zone (Critical) if it has a current funded percentage less than 65 percent. A plan is in the Yellow Zone (Endangered) if it has a current funded percentage of less than 80 percent or projects a credit balance deficit within seven years. A plan is in the Green Zone (Healthy) if it has a current funded percentage greater than 80 percent and does not have a projected credit balance deficit within seven years. The zone status is based on the plan’s year-end, not our fiscal year-end. The zone status is based on information that we received from the plan and is certified by the plan’s actuary. At January 1, 2024, the Bakery and Confectionery Union Fund was in Red Zone status, as the current funding status was 45.2 percent. A funding improvement plan, or rehabilitation plan, has been implemented.

The American Rescue Plan Act (the “ARPA”), signed into law on March 11, 2021, established a special financial assistance program for financially troubled multi-employer pension plans. Under the ARPA, eligible multi-employer plans can apply to receive a cash payment in an amount projected by the Pension Benefit Guaranty Corporation (“PBGC”) to pay pension benefits through the plan year ending 2051. On March 1, 2023, the Bakery and Confectionery Union Fund applied for assistance under the ARPA program. After working directly with the PBGC to review and revise assumptions, the Bakery and Confectionary Union Fund submitted a revised application for assistance on February 21, 2024. The application for relief was approved on June 20, 2024 and on July 22, 2024 the plan received relief funds.