RETIREMENT SAVINGS PLAN AND EXECUTIVE SEVERANCE

12 Months Ended

Dec. 31, 2024

Retirement Benefits [Abstract]

RETIREMENT SAVINGS PLAN AND EXECUTIVE SEVERANCE POLICY

RETIREMENT SAVINGS PLANS AND SEVERANCE

Retirement Savings Plans

Acacia has an employee savings and retirement plan under Section 401(k) of the Internal Revenue Code. The plan is a defined contribution plan in which eligible employees may elect to have a percentage of their compensation contributed to the plan, subject to certain guidelines issued by the Internal Revenue Service. During the years ended December 31, 2024 and 2023, Acacia’s total contribution to the plan was $170,000 and $155,000, respectively.

In the United States of America, Printronix has a 401(k) Savings and Investment Plan, for all eligible U.S. employees, which is designed to be tax deferred in accordance with the provisions of Section 401(k). Printronix matches employee contributions dollar-for-dollar up to the first 1 percent of compensation, and then an additional $0.50 to-the-dollar on the next 1 percent of employee compensation. Printronix’s contributions have graded-vesting annually and become fully vested to the employee after four full years of employment. During the years ended December 31, 2024 and 2023, Printronix’s total contribution to the plan was $51,000 and $61,000, respectively.

Printronix has statutory obligations to contribute to overseas employee retirement funds or the local social security pension funds in China, Malaysia, Singapore, France, Netherlands and the United Kingdom. During the years ended December 31, 2024 and 2023, Printronix’s total contribution overseas was $561,000 and $641,000, respectively.

Deflecto has a defined contribution plan under Section 401(k) for salaried and hourly employees. During the period from October 18, 2024 through December 31, 2024, Deflecto’s total contribution to the plan was $223,000. In addition, Deflecto contributes to a state sponsored retirement plan for its resident employees of China. Contributions are based on approximately 15% of participant base salaries during the period from October 18, 2024 through December 31, 2024.

During the years ended December 31, 2024 and 2023, Acacia entered into separation agreements related to the termination of certain employees. The separation agreements generally provide base salary continuation payments and payments of employee and employer portions of monthly COBRA for a specified period. During the year ended December 31, 2024, Acacia’s total severance expense was $203,000 and during the year ended December 31, 2023, total severance expense was a (credit) of $(580,000) due to a reversal of a prior period accrued expense.