($ in thousands)

2012

2011

Change in benefit obligation:

Benefit obligation at beginning of year

$

1,846

$

1,770

Service cost

2

Interest cost

87

91

Actuarial gain (loss)

(7)

(9)

Effect of exchange rate changes

103

(8)

Effect of curtailment

—

Benefits paid

—

Benefit obligation at end of year

2,031

1,846

Change in plan assets:

Fair value of plan assets at beginning of year

1,455

1,369

Actual return of plan assets

36

41

Company contributions

42

45

Benefits paid

—

Effect of exchange rate changes

97

—

Fair value of plan assets at end of year

1,630

1,455

Funded status

(401)

(391)

Unrecognized actuarial loss (gain)

317

334

Unrecognized prior service (benefit) cost

—

Additional minimum liability

(317)

(334)

Unrecognized transition (asset) liability

—

Net amount recognized

$

(401)

$

(391)

Plan Assets

Pension plan assets were comprised of the following asset categories at December 31,

Equity securities

11.5

%

2.2

%

Debt securities

81.0

%

93.9

%

Other

7.5

%

3.9

%

Total

100

%

100

%

Components of net periodic benefit cost are as follows:

Service cost

$

2

$

2

Interest cost on projected benefit obligations

87

91

Expected return on plan assets

—

Amortization of prior service costs

—

Amortization of actuarial loss

—

Net periodic benefit costs

$

89

$

93

The weighted average assumptions used to determine net periodic benefit cost for the years ended December 31, were

Discount rate

4.6

%

4.6

%

Expected return on plan assets

4

%

4

%

Rate of compensation increase

N/A

The following discloses information about the Company’s defined benefit pension plan that had an accumulated benefit obligation in excess of plan assets as of December 31,

Projected benefit obligation

$

2,031

$

1,846

Accumulated benefit obligation

$

2,031

$

1,846

Fair value of plan assets

$

1,630

$

1,455