Defined Benefit Plans —No defined benefit plan is maintained for employees of either the Healthcare Services segment or the Pharmacy segment. Prior to 1997, SunLink maintained a defined benefit retirement plan covering substantially all of its domestic employees. Effective February 28, 1997, SunLink amended its domestic retirement plan to freeze participant benefits and closed the plan to new participants. Benefits under the frozen plan are based on years of service and level of earnings. SunLink funds the frozen plan, which is noncontributory, at a rate that meets or exceeds the minimum amounts required by the Employee Retirement Income Security Act of 1974.

Since the sale of SunLink’s life sciences and engineering segment businesses in the fiscal year ended March 31, 1999, net pension expense has been classified as an expense of discontinued operations.

At June 30, 2019, the plan’s assets were invested 44% in cash and short term investments, 38% in equity investments and 18% in fixed income investments. The plan’s current investment policy of primarily investing in cash and short term investments is based on the possible need for immediate liquidity as participants withdraw from the plan. The expected return on investment of 4% is based upon the plan’s historical return on assets. The plan expects to pay $88, $50, $48, $59, and $57 in pension benefits in the years ending June 30, 2020 through 2024, respectively. The plan expects to pay $430 in pension benefits for the years June 30, 2025 through 2029, in the aggregate. This assumes the plan participants elect to take monthly pension benefits as opposed to a lump sum payout when they reach age 65. The Company made a contributions of $107 and $100 to the plan during the years ended June 30, 2019 and 2018, respectively, and plans to make a contribution of $132 to the plan for the year ended June 30, 2020.

The components of net pension expense for all plans (comprised solely of one domestic plan) were as follows for the fiscal years ended June 30, 2019 and 2018:

	2019			2018
Service cost	$	0		$	0
Interest cost		56			55
Expected return on assets		(36	)		(36	)
Amortization of prior service cost		78			125
Settlement cost		39			15
Net pension expense	$	137		$	159
Weighted-average assumptions:
Discount rate		4.10	%		3.80	%
Expected return on plan assets		4.00	%		4.00	%
Rate of compensation increase		0.00	%		0.00	%

Summary information for the plans (comprised solely of one domestic plan) is as follows for the fiscal years ended June 30, 2019 and 2018:

	2019			2018
Change in Benefit Obligation:
Benefit obligation at beginning of year	$	1,420		$	1,506
Interest cost		56			55
Actuarial (gain)loss		90			(47	)
Benefits paid		(176	)		(94	)
Benefit obligation end of year	$	1,390		$	1,420
Change in Fair Value of Plan Assets:
Beginning fair value	$	895		$	891
Actual return on plan assets		1			(2	)
Employer contribution		107			100
Benefits paid		(176	)		(94	)
Plan assets at end of year	$	827		$	895
Funded status of the plans		(563	)		(525	)
Unrecognized actuarial loss		384			376
Prepaid (accrued) benefit cost	$	(179	)	$	(149	)
Amounts Recognized in Consolidated Balance Sheets
Prepaid (accrued) benefit cost		(179	)		(149	)
Accumulated other comprehensive loss*		384			376
Net amount recognized	$	(563	)	$	(525	)

Defined Contribution Plan —SunLink has a defined contribution plan pursuant to IRS Section 401(k) covering substantially all domestic employees. SunLink matches a specified percentage of the employee’s contribution as determined periodically by its management. A match of $85 was provided for the fiscal year ended June 30, 2019. A match of $157 was provided for the fiscal year ended June 30, 2018. Plan expense for the defined contribution plan was $0 for the years ended June 30, 2019 and 2018.