| EMPLOYEE BENEFIT PLANS |
| NOTE 5: |
EMPLOYEE BENEFIT PLANS |
The following tables summarize the components of net periodic
benefit cost and the changes recognized in “Accumulated other
comprehensive loss” for the Company’s defined benefit
pension plans and postretirement benefit plans:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| |
|
Pension Benefits |
|
|
Postretirement Benefits |
|
| |
|
Three Months Ended |
|
|
Three Months Ended |
|
| |
|
February 26,
2017 |
|
|
February 28,
2016 |
|
|
February 26,
2017 |
|
|
February 28,
2016 |
|
| |
|
(Dollars in
thousands) |
|
|
Net periodic benefit cost:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Service cost
|
|
$ |
2,463 |
|
|
$ |
2,058 |
|
|
$ |
43 |
|
|
$ |
50 |
|
|
Interest cost
|
|
|
9,180 |
|
|
|
9,472 |
|
|
|
787 |
|
|
|
806 |
|
|
Expected return on plan assets
|
|
|
(12,115 |
) |
|
|
(12,134 |
) |
|
|
— |
|
|
|
— |
|
|
Amortization of prior service benefit
|
|
|
(15 |
) |
|
|
(15 |
) |
|
|
— |
|
|
|
— |
|
|
Amortization of actuarial loss
|
|
|
3,379 |
|
|
|
3,007 |
|
|
|
318 |
|
|
|
742 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net periodic benefit cost
|
|
|
2,892 |
|
|
|
2,388 |
|
|
|
1,148 |
|
|
|
1,598 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Changes in accumulated other comprehensive loss:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Actuarial (gain) loss
|
|
|
(9 |
) |
|
|
152 |
|
|
|
— |
|
|
|
— |
|
|
Amortization of prior service benefit
|
|
|
15 |
|
|
|
15 |
|
|
|
— |
|
|
|
— |
|
|
Amortization of actuarial loss
|
|
|
(3,379 |
) |
|
|
(3,007 |
) |
|
|
(318 |
) |
|
|
(742 |
) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Total recognized in accumulated other comprehensive loss
|
|
|
(3,373 |
) |
|
|
(2,840 |
) |
|
|
(318 |
) |
|
|
(742 |
) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Total recognized in net periodic benefit cost and accumulated other
comprehensive loss
|
|
$ |
(481 |
) |
|
$ |
(452 |
) |
|
$ |
830 |
|
|
$ |
856 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| NOTE 8: |
EMPLOYEE BENEFIT PLANS |
Pension plans. The Company has several non-contributory defined benefit
retirement plans covering eligible employees. Plan assets are
invested in a diversified portfolio of securities including stocks,
bonds, cash equivalents and other alternative investments including
real estate investment trust funds. Benefits payable under the
plans are based on years of service, final average compensation, or
both. The Company retains the right to amend, curtail or
discontinue any aspect of the plans, subject to local
regulations.
Postretirement plans. The Company maintains plans that
provide postretirement benefits to eligible employees, principally
health care, to substantially all U.S. retirees and their
qualified dependents. These plans were established with the
intention that they would continue indefinitely. However, the
Company retains the right to amend, curtail or discontinue any
aspect of the plans at any time. The plans are contributory and
contain certain cost-sharing features, such as deductibles and
coinsurance. The Company’s policy is to fund postretirement
benefits as claims and premiums are paid.
The following tables summarize activity of the Company’s
defined benefit pension plans and postretirement benefit plans:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| |
|
Pension Benefits |
|
|
Postretirement Benefits |
|
| |
|
2016 |
|
|
2015 |
|
|
2016 |
|
|
2015 |
|
| |
|
(Dollars in
thousands) |
|
|
Change in benefit obligation:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Benefit obligation at beginning of year
|
|
$ |
1,194,365 |
|
|
$ |
1,289,337 |
|
|
$ |
117,740 |
|
|
$ |
134,084 |
|
|
Service cost
|
|
|
8,234 |
|
|
|
8,352 |
|
|
|
200 |
|
|
|
251 |
|
|
Interest cost(1)
|
|
|
37,819 |
|
|
|
47,179 |
|
|
|
3,223 |
|
|
|
4,588 |
|
|
Plan participants’ contribution
|
|
|
484 |
|
|
|
534 |
|
|
|
4,172 |
|
|
|
4,512 |
|
|
Actuarial loss (gain)(2)
|
|
|
33,948 |
|
|
|
(56,352 |
) |
|
|
5,556 |
|
|
|
(5,918 |
) |
|
Net curtailment loss
|
|
|
119 |
|
|
|
300 |
|
|
|
— |
|
|
|
— |
|
|
Impact of foreign currency changes
|
|
|
(15,435 |
) |
|
|
(21,306 |
) |
|
|
— |
|
|
|
— |
|
|
Plan settlements(3)
|
|
|
(417 |
) |
|
|
(4,145 |
) |
|
|
— |
|
|
|
— |
|
|
Special termination benefits
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
Net benefits paid
|
|
|
(67,183 |
) |
|
|
(69,534 |
) |
|
|
(18,440 |
) |
|
|
(19,777 |
) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Benefit obligation at end of year
|
|
$ |
1,191,934 |
|
|
$ |
1,194,365 |
|
|
$ |
112,451 |
|
|
$ |
117,740 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Change in plan assets:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Fair value of plan assets at beginning of year
|
|
|
838,551 |
|
|
|
878,823 |
|
|
|
— |
|
|
|
— |
|
|
Actual return on plan assets(4)
|
|
|
49,986 |
|
|
|
10,185 |
|
|
|
— |
|
|
|
— |
|
|
Employer contribution
|
|
|
31,147 |
|
|
|
36,151 |
|
|
|
14,268 |
|
|
|
15,265 |
|
|
Plan participants’ contributions
|
|
|
484 |
|
|
|
534 |
|
|
|
4,172 |
|
|
|
4,512 |
|
|
Plan settlements(3)
|
|
|
(417 |
) |
|
|
(4,145 |
) |
|
|
— |
|
|
|
— |
|
|
Impact of foreign currency changes
|
|
|
(15,246 |
) |
|
|
(13,463 |
) |
|
|
— |
|
|
|
— |
|
|
Net benefits paid
|
|
|
(67,183 |
) |
|
|
(69,534 |
) |
|
|
(18,440 |
) |
|
|
(19,777 |
) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Fair value of plan assets at end of year
|
|
|
837,322 |
|
|
|
838,551 |
|
|
|
— |
|
|
|
— |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Unfunded status at end of year
|
|
$ |
(354,612 |
) |
|
$ |
(355,814 |
) |
|
$ |
(112,451 |
) |
|
$ |
(117,740 |
) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| (1) |
The decrease in interest cost is
primarily due to the election made at the end of 2015 to adopt the
spot-rate approach to determine the interest cost component of
pension and postretirement expense. |
| (2) |
Actuarial losses in 2016 in the
Company’s pension benefit plans resulted from changes in
discount rate assumptions. Actuarial gains in 2015 in the
Company’s pension benefit plans resulted from changes in
mortality and discount rate assumptions, primarily for the
Company’s U.S. plans. Changes in financial markets during
2016 and 2015, including a decrease and increase, respectively, in
corporate bond yield indices, resulted in an increase and decrease
in benefit obligations, respectively. |
| (3) |
The decrease in pension plan
settlements in 2016 was primarily due to 2015 settlement activity
that continued to reflect impacts from restructuring. |
| (4) |
The increase in return on plan assets
in 2016 was primarily due to better-than-expected asset
performance, as compared to the poor investment performance in
2015, of U.S. and international equity securities. |
Amounts recognized in the Company’s consolidated balance
sheets as of November 27, 2016, and November 29, 2015,
consist of the following:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| |
|
Pension Benefits |
|
|
Postretirement Benefits |
|
| |
|
2016 |
|
|
2015 |
|
|
2016 |
|
|
2015 |
|
| |
|
(Dollars in
thousands) |
|
|
Unfunded status recognized on the balance sheet:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Prepaid benefit cost
|
|
$ |
5,555 |
|
|
$ |
8,842 |
|
|
$ |
— |
|
|
$ |
— |
|
|
Accrued benefit liability – current portion
|
|
|
(9,142 |
) |
|
|
(9,044 |
) |
|
|
(11,485 |
) |
|
|
(12,500 |
) |
|
Accrued benefit liability – long-term portion
|
|
|
(351,025 |
) |
|
|
(355,612 |
) |
|
|
(100,966 |
) |
|
|
(105,240 |
) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
$ |
(354,612 |
) |
|
$ |
(355,814 |
) |
|
$ |
(112,451 |
) |
|
$ |
(117,740 |
) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Accumulated other comprehensive loss:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net actuarial loss
|
|
$ |
(385,942 |
) |
|
$ |
(365,657 |
) |
|
$ |
(28,665 |
) |
|
$ |
(26,076 |
) |
|
Net prior service benefit
|
|
|
420 |
|
|
|
471 |
|
|
|
— |
|
|
|
— |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
$ |
(385,522 |
) |
|
$ |
(365,186 |
) |
|
$ |
(28,665 |
) |
|
$ |
(26,076 |
) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
The accumulated benefit obligation for all defined benefit plans
was $1.2 billion and $1.2 billion at November 27,
2016, and November 29, 2015, respectively. Information for the
Company’s defined benefit plans with an accumulated or
projected benefit obligation in excess of plan assets is as
follows:
|
|
|
|
|
|
|
|
|
| |
|
Pension Benefits |
|
| |
|
2016 |
|
|
2015 |
|
| |
|
(Dollars in
thousands) |
|
|
Accumulated benefit obligations in excess of plan assets:
|
|
|
|
|
|
|
|
|
|
Aggregate accumulated benefit obligation
|
|
$ |
1,079,316 |
|
|
$ |
1,053,493 |
|
|
Aggregate fair value of plan assets
|
|
|
725,830 |
|
|
|
694,440 |
|
|
|
|
|
Projected benefit obligations in excess of plan assets:
|
|
|
|
|
|
|
|
|
|
Aggregate projected benefit obligation
|
|
$ |
1,086,842 |
|
|
$ |
1,087,588 |
|
|
Aggregate fair value of plan assets
|
|
|
726,675 |
|
|
|
722,931 |
|
The components of the Company’s net periodic benefit cost
were as follows:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| |
|
Pension Benefits |
|
|
Postretirement Benefits |
|
| |
|
2016 |
|
|
2015 |
|
|
2014 |
|
|
2016 |
|
|
2015 |
|
|
2014 |
|
| |
|
(Dollars in
thousands) |
|
|
Net periodic benefit cost:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Service cost
|
|
$ |
8,234 |
|
|
$ |
8,352 |
|
|
$ |
8,397 |
|
|
$ |
200 |
|
|
$ |
251 |
|
|
$ |
255 |
|
|
Interest cost(1)
|
|
|
37,819 |
|
|
|
47,179 |
|
|
|
54,958 |
|
|
|
3,223 |
|
|
|
4,588 |
|
|
|
5,199 |
|
|
Expected return on plan assets
|
|
|
(48,422 |
) |
|
|
(50,825 |
) |
|
|
(55,521 |
) |
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
Amortization of prior service benefit
|
|
|
(61 |
) |
|
|
(61 |
) |
|
|
(53 |
) |
|
|
— |
|
|
|
— |
|
|
|
(5 |
) |
|
Amortization of actuarial loss
|
|
|
12,036 |
|
|
|
12,578 |
|
|
|
10,932 |
|
|
|
2,967 |
|
|
|
4,511 |
|
|
|
4,201 |
|
|
Curtailment (gain) loss
|
|
|
(140 |
) |
|
|
656 |
|
|
|
2,614 |
|
|
|
— |
|
|
|
— |
|
|
|
733 |
|
|
Special termination benefit
|
|
|
— |
|
|
|
— |
|
|
|
35 |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
Net settlement loss (gain)
|
|
|
49 |
|
|
|
(45 |
) |
|
|
30,558 |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net periodic benefit cost
|
|
|
9,515 |
|
|
|
17,834 |
|
|
|
51,920 |
|
|
|
6,390 |
|
|
|
9,350 |
|
|
|
10,383 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Changes in accumulated other comprehensive loss:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Actuarial loss (gain)
|
|
|
32,187 |
|
|
|
(15,228 |
) |
|
|
92,544 |
|
|
|
5,556 |
|
|
|
(5,918 |
) |
|
|
6,453 |
|
|
Amortization of prior service benefit
|
|
|
61 |
|
|
|
61 |
|
|
|
53 |
|
|
|
— |
|
|
|
— |
|
|
|
5 |
|
|
Amortization of actuarial loss
|
|
|
(12,036 |
) |
|
|
(12,578 |
) |
|
|
(10,932 |
) |
|
|
(2,967 |
) |
|
|
(4,511 |
) |
|
|
(4,201 |
) |
|
Curtailment gain (loss)
|
|
|
173 |
|
|
|
(656 |
) |
|
|
113 |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
Net settlement (loss) gain
|
|
|
(49 |
) |
|
|
45 |
|
|
|
(30,712 |
) |
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Total recognized in accumulated other comprehensive loss
|
|
|
20,336 |
|
|
|
(28,356 |
) |
|
|
51,066 |
|
|
|
2,589 |
|
|
|
(10,429 |
) |
|
|
2,257 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Total recognized in net periodic benefit cost and accumulated other
comprehensive loss
|
|
$ |
29,851 |
|
|
$ |
(10,522 |
) |
|
$ |
102,986 |
|
|
$ |
8,979 |
|
|
$ |
(1,079 |
) |
|
$ |
12,640 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| (1) |
The decrease in interest cost is
primarily due to the election made at the end of 2015 to adopt the
spot-rate approach to determine the interest cost component of
pension and postretirement expense. |
The amounts that will be amortized from “Accumulated other
comprehensive loss” into net periodic benefit cost in 2017
for the Company’s defined benefit pension and postretirement
benefit plans are expected to be $13.4 million and
$1.3 million, respectively.
Assumptions used in accounting for the Company’s benefit
plans were as follows:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| |
|
Pension Benefits |
|
|
Postretirement Benefits |
|
| |
|
2016 |
|
|
2015 |
|
|
2014 |
|
|
2016 |
|
|
2015 |
|
|
2014 |
|
|
|
|
|
|
|
|
|
Weighted-average assumptions used to determine net periodic benefit
cost:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Discount rate
|
|
|
4.0 |
% |
|
|
3.8 |
% |
|
|
4.6 |
% |
|
|
3.8 |
% |
|
|
3.6 |
% |
|
|
4.2 |
% |
|
Expected long-term rate of return on plan assets
|
|
|
5.9 |
% |
|
|
5.9 |
% |
|
|
6.3 |
% |
|
|
|
|
|
|
|
|
|
|
|
|
|
Rate of compensation increase
|
|
|
3.4 |
% |
|
|
3.4 |
% |
|
|
3.7 |
% |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Weighted-average assumptions used to determine benefit
obligations:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Discount rate
|
|
|
3.8 |
% |
|
|
4.0 |
% |
|
|
3.8 |
% |
|
|
3.7 |
% |
|
|
3.8 |
% |
|
|
3.6 |
% |
|
Rate of compensation increase
|
|
|
3.4 |
% |
|
|
3.4 |
% |
|
|
3.4 |
% |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Assumed health care cost trend rates were as follows:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Health care trend rate assumed for next year
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
6.4 |
% |
|
|
6.4 |
% |
|
|
7.0 |
% |
|
Rate trend to which the cost trend is assumed to decline
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
4.4 |
% |
|
|
4.4 |
% |
|
|
4.5 |
% |
|
Year that rate reaches the ultimate trend rate
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
2038 |
|
|
|
2038 |
|
|
|
2028 |
|
For the Company’s U.S. benefit plans, the discount rate used
to determine the present value of the future pension and
postretirement plan obligations was based on a yield curve
constructed from a portfolio of high quality corporate bonds with
various maturities. Each year’s expected future benefit
payments are discounted to their present value at the appropriate
yield curve rate, thereby generating the overall discount rate. The
Company utilized a variety of country-specific third-party bond
indices to determine the appropriate discount rates to use for the
benefit plans of its foreign subsidiaries.
The Company bases the overall expected long-term rate of return on
assets on anticipated long-term returns of individual asset classes
and each pension plans’ target asset allocation strategy
based on current economic conditions. For the U.S. pension
plan, the expected long-term returns for each asset class
are determined through a mean-variance model to estimate
20-year returns for the
plan.
Health care cost trend rate assumptions are not a significant input
in the calculation of the amounts reported for the Company’s
postretirement benefits plans. A one percentage-point change in
assumed health care cost trend rates would have no significant
effect on the total service and interest cost components or on the
postretirement benefit obligation.
Consolidated pension plan assets relate primarily to the U.S.
pension plan. The Company utilizes the services of independent
third-party investment managers to oversee the management of U.S.
pension plan assets. The Company’s investment strategy
is to invest plan assets in a diversified portfolio of domestic and
international equity securities, fixed income securities and real
estate and other alternative investments with the objective of
generating long-term growth in plan assets at a reasonable level of
risk. Prohibited investments for the U.S. pension plan include
certain privately placed or other non-marketable debt instruments,
letter stock, commodities or commodity contracts and derivatives of
mortgage-backed securities, such as interest-only, principal-only
or inverse floaters. The current target allocation percentages for
the Company’s U.S. pension plan assets are 40-44% for equity securities,
48-52% for fixed income
securities and 6-10% for
other alternative investments, including real estate.
The fair value of the Company’s pension plan assets by asset
class are as follows:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| |
|
Year Ended November 27,
2016 |
|
|
Asset Class
|
|
Total |
|
|
Quoted Prices in Active
Markets for Identical
Assets (Level 1) |
|
|
Significant
Observable Inputs
(Level 2) |
|
|
Significant
Unobservable Inputs
(Level 3) |
|
| |
|
(Dollars in
thousands) |
|
|
Cash and cash equivalents
|
|
$ |
2,676 |
|
|
$ |
2,676 |
|
|
$ |
— |
|
|
$ |
— |
|
|
Equity securities(1)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
U.S. large cap
|
|
|
190,811 |
|
|
|
— |
|
|
|
190,811 |
|
|
|
— |
|
|
U.S. small cap
|
|
|
37,434 |
|
|
|
— |
|
|
|
37,434 |
|
|
|
— |
|
|
International
|
|
|
144,241 |
|
|
|
— |
|
|
|
144,241 |
|
|
|
— |
|
|
Fixed income securities(2)
|
|
|
395,995 |
|
|
|
— |
|
|
|
395,995 |
|
|
|
— |
|
|
Other alternative investments
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Real estate(3)
|
|
|
53,783 |
|
|
|
— |
|
|
|
53,783 |
|
|
|
— |
|
|
Private equity(4)
|
|
|
1,344 |
|
|
|
— |
|
|
|
— |
|
|
|
1,344 |
|
|
Hedge fund(5)
|
|
|
7,337 |
|
|
|
— |
|
|
|
7,337 |
|
|
|
— |
|
|
Other(6)
|
|
|
3,701 |
|
|
|
— |
|
|
|
3,701 |
|
|
|
— |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Total investments at fair value
|
|
$ |
837,322 |
|
|
$ |
2,676 |
|
|
$ |
833,302 |
|
|
$ |
1,344 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| |
|
Year Ended November 29,
2015 |
|
|
Asset Class
|
|
Total |
|
|
Quoted Prices in Active
Markets for Identical
Assets (Level 1) |
|
|
Significant
Observable Inputs
(Level 2) |
|
|
Significant
Unobservable Inputs
(Level 3) |
|
| |
|
(Dollars in
thousands) |
|
|
Cash and cash equivalents
|
|
$ |
1,706 |
|
|
$ |
1,706 |
|
|
$ |
— |
|
|
$ |
— |
|
|
Equity securities(1)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
U.S. large cap
|
|
|
185,526 |
|
|
|
— |
|
|
|
185,526 |
|
|
|
— |
|
|
U.S. small cap
|
|
|
31,935 |
|
|
|
— |
|
|
|
31,935 |
|
|
|
— |
|
|
International
|
|
|
133,298 |
|
|
|
— |
|
|
|
133,298 |
|
|
|
— |
|
|
Fixed income securities(2)
|
|
|
415,228 |
|
|
|
— |
|
|
|
415,228 |
|
|
|
— |
|
|
Other alternative investments
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Real estate(3)
|
|
|
58,364 |
|
|
|
— |
|
|
|
58,364 |
|
|
|
— |
|
|
Private equity(4)
|
|
|
1,720 |
|
|
|
— |
|
|
|
— |
|
|
|
1,720 |
|
|
Hedge fund(5)
|
|
|
7,488 |
|
|
|
— |
|
|
|
7,488 |
|
|
|
— |
|
|
Other(6)
|
|
|
3,286 |
|
|
|
— |
|
|
|
3,286 |
|
|
|
— |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Total investments at fair value
|
|
$ |
838,551 |
|
|
$ |
1,706 |
|
|
$ |
835,125 |
|
|
$ |
1,720 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| (1) |
Primarily comprised of equity index
funds that track various market indices. |
| (2) |
Predominantly includes bond index
funds that invest in long-term U.S. government and investment grade
corporate bonds. |
| (3) |
Primarily comprised of investments in
U.S. Real Estate Investment Trusts. |
| (4) |
Represents holdings in a diversified
portfolio of private equity funds and direct investments in
companies located primarily in North America. Fair values are
determined by investment fund managers using primarily unobservable
market data. |
| (5) |
Primarily invested in a diversified
portfolio of equities, bonds, alternatives and cash with a low
tolerance for capital loss. |
| (6) |
Primarily relates to accounts held
and managed by a third-party insurance company for
employee-participants in Belgium. Fair values are based on
accumulated plan contributions plus a contractually-guaranteed
return plus a share of any incremental investment fund
profits. |
The fair value of plan assets are composed of U.S. plan assets of
$697.4 million and non-U.S. plan assets of
$139.9 million. The fair values of the substantial majority of
the equity, fixed income and real estate investments are based on
the net asset value of commingled trust funds that passively track
various market indices.
The Company’s estimated future benefit payments to
participants, which reflect expected future service, as appropriate
are anticipated to be paid as follows:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Fiscal year
|
|
Pension
Benefits |
|
|
Postretirement
Benefits |
|
|
Total |
|
| |
|
(Dollars in
thousands) |
|
|
2017
|
|
$ |
65,722 |
|
|
$ |
14,237 |
|
|
$ |
79,959 |
|
|
2018
|
|
|
66,084 |
|
|
|
13,338 |
|
|
|
79,422 |
|
|
2019
|
|
|
65,849 |
|
|
|
12,799 |
|
|
|
78,648 |
|
|
2020
|
|
|
66,539 |
|
|
|
12,282 |
|
|
|
78,821 |
|
|
2021
|
|
|
67,646 |
|
|
|
11,528 |
|
|
|
79,174 |
|
|
2022-2024
|
|
|
350,466 |
|
|
|
46,026 |
|
|
|
396,492 |
|
At November 27, 2016, the Company’s contributions to its
pension plans in 2017 were estimated to be approximately
$53.2 million.
|