Postretirement Benefit Plans

6 Months Ended

Jun. 30, 2022

Compensation And Retirement Disclosure [Abstract]

Postretirement Benefit Plans

9. POSTRETIREMENT BENEFIT PLANS

Defined Benefit Pension Plans

The Company sponsors various funded qualified and unfunded non-qualified defined benefit pension plans, the most significant of which cover employees in the U.S. and U.K. locations. The U.S. and U.K. defined benefit pension plans are frozen and service benefits are no longer being accrued.

Components of Net Periodic Benefit Cost

	UNITED STATES
(In thousands)	Three Months Ended June 30						Six Months Ended June 30
	2022			2021			2022			2021
Interest cost	$	1,235		$	1,177		$	2,469		$	2,354
Expected return on plan assets		(2,201	)		(2,586	)		(4,401	)		(5,171	)
Amortization of net actuarial loss		577			1,144			1,154			2,288
Net periodic benefit  cost (income)	$	(389	)	$	(265	)	$	(778	)	$	(529	)

	UNITED KINGDOM
(In thousands)	Three Months Ended June 30						Six Months Ended June 30
	2022			2021			2022			2021
Interest cost	$	95		$	91		$	196		$	179
Expected return on plan assets		(100	)		(81	)		(207	)		(162	)
Amortization of net actuarial loss		2			18			5			35
Net periodic benefit cost (income)	$	(3	)	$	28		$	(6	)	$	52

Employer Contributions

U.S. Plans

As a result of pension funding relief provisions included in the Highway and Transportation Funding Act of 2014, the Company is not required to make contributions to its funded U.S. qualified defined benefit plans. Approximately $276,000 is expected to be paid related to the unfunded non-qualified plans in 2022. Of such amount, $171,000 had been paid related to the non-qualified plans as of June 30, 2022.

U.K. Plan

The Company’s U.K. subsidiary expects to contribute approximately $505,000 to its defined benefit pension plan in 2022. Of such amount, $253,000 had been contributed to the plan as of June 30, 2022.

Defined Contribution Plans

The Company sponsors retirement defined contribution plans that cover eligible U.S. and U.K. employees. The Company’s U.S. retirement plans include two qualified plans, one of which is a 401(k) plan and one of which is an employee stock ownership plan (profit sharing plan), and one non-qualified supplemental executive plan. In the six months ended June 30, 2022 and 2021, the Company made contributions into the qualified retirement plans for U.S. employees and for certain non-U.S. employees. Profit sharing contributions were determined using a formula applied to Company earnings. In 2021 and 2022, profit sharing contributions for U.S. employees were made to the employee stock ownership plan. Profit sharing contributions are allocated to participant accounts based on participant base earnings.

Defined contribution plan expenses for the Company’s qualified contribution plans were as follows:

(In thousands)	Three Months Ended June 30				Six Months Ended June 30
	2022		2021		2022		2021
Retirement savings contributions	$	1,947	$	1,978	$	4,145	$	4,017
Profit sharing contributions		1,959		1,865		3,425		3,731
Total defined contribution plan expenses	$	3,906	$	3,843	$	7,570	$	7,748

The Company has a rabbi trust to fund the obligations of its non-qualified supplemental executive defined contribution plans (supplemental plans). The trust is comprised of various mutual fund investments selected by the participants of the supplemental plans. In accordance with the accounting guidance for rabbi trust arrangements, the assets of the trust and the obligations of the supplemental plans are reported on the Company’s condensed consolidated balance sheets. The Company elected the fair value option for the mutual fund investment assets so that offsetting changes in the mutual fund values and defined contribution plan obligations would be recorded in earnings in the same period. Therefore, the mutual funds are reported at fair value with any subsequent changes in fair value recorded in the condensed consolidated statements of income. The liabilities related to the supplemental plans increase (i.e., supplemental plan expense is recognized) when the value of the trust assets appreciate and decrease when the value of the trust assets decline (i.e., supplemental plan income is recognized). At June 30, 2022, the balance of the trust assets was $2,114,000, which equaled the balance of the supplemental plan liabilities. See the long-term investments section in Note 3, Fair Value Measurements, of the notes to the Company’s condensed consolidated financial statements (included in Item 1 of this Form 10-Q) for further information regarding the Company’s mutual fund assets.