Retirement Plans

3 Months Ended

Aug. 31, 2013

Retirement Plans

Retirement Plans

Riverside Defined Benefit Plans. Approximately 600 employees and retirees of our subsidiary, Riverside Cement Company, are covered by a defined benefit pension plan and a postretirement health benefit plan. Unrecognized prior service costs and actuarial gains or losses for these plans are recognized in a systematic manner over the remaining service periods of active employees expected to receive benefits under these plans. The amount of the defined benefit pension plan and postretirement health benefit plan expense charged to costs and expenses for the three-month periods ended August 31, 2013 and 2012, was as follows:

	Three months ended
	August 31,			August 31,
In thousands	2013			2012
Defined benefit pension plan
Service cost	$	—		$	155
Interest cost	683			708
Expected return on plan assets	(851		)	(748		)
Amortization of net actuarial loss	154			732
	$	(14	)	$	847
Postretirement health benefit plan
Service cost	$	25		$	27
Interest cost	72			88
Amortization of prior service cost	(194		)	(194		)
Amortization of net actuarial loss	55			129
	$	(42	)	$	50

The Riverside defined benefit pension plan (“Pension Plan”) was amended during the first quarter of fiscal year 2013. This amendment provided for the cessation of all benefit accruals under the Pension Plan effective December 31, 2012 and the Pension Plan will be frozen as of that date. The amendment was designed to reduce future pension costs and provides that, effective December 31, 2012, all future benefit accruals under the Pension Plan will automatically cease for all participants, and the accrued benefits under the Pension Plan will be determined and frozen as of that date.

Financial Security Defined Benefit Plans. Substantially all of our executive and certain managerial employees are covered by a series of financial security plans that are non-qualified defined benefit plans. The financial security plans require deferral of a portion of a participant’s salary and provide retirement, death and disability benefits to participants. The financial security plans are unfunded and benefits are paid as they become due. Actuarial gains or losses are recognized when incurred. The amount of financial security plan benefit expense charged to costs and expenses for the three-month periods ended August 31, 2013 and 2012, was as follows:

	Three months ended
	August 31,		August 31,
In thousands	2013		2012
Service cost	$	536	$	593
Interest cost	609		591
	$	1,145	$	1,184

The financial security defined benefit plans were amended during the second quarter of fiscal year 2013. This amendment provided that effective December 31, 2012 the Plans were frozen.