Quarterly report pursuant to Section 13 or 15(d)

Pension and Other Postretirement Benefit Plans

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Pension and Other Postretirement Benefit Plans
 9 Months Ended
Jun. 30, 2015
Pension and Other Postretirement Benefit Plans [Abstract]  
Pension and Other Postretirement Benefit Plans
Note 8.   Pension and Other Postretirement Benefit Plans
The Company provides defined benefit pension and other postretirement plans to certain employees. Net periodic pension and other postretirement benefit cost for the plans included the following:

   
Three months ended June 30,
  
   
Pension
    
Other Postretirement
  
   
2015
    
2014
    
2015
    
2014
  
                 
Service cost
  
$
1,655
    
$
1,582
    
$
114
    
$
109
  
Interest cost
    
2,145
      
2,213
      
221
      
230
  
Expected return on plan assets
    
(2,470
)
    
(2,396
)
    
-
      
-
  
Amortization:
                                
   Prior service cost
    
(45
)
    
(52
)
    
(49
)
    
(23
)
   Net actuarial loss (gain)
    
1,564
      
991
      
-
      
(49
)
                                 
Net benefit cost
  
$
2,849
    
$
2,338
    
$
286
    
$
267
  
 
   
Nine months ended June 30,
  
   
Pension
    
Other Postretirement
  
   
2015
    
2014
    
2015
    
2014
  
                 
Service cost
  
$
4,965
    
$
4,746
    
$
342
    
$
327
  
Interest cost
    
6,435
      
6,639
      
663
      
690
  
Expected return on plan assets
    
(7,410
)
    
(7,188
)
    
-
      
-
  
Amortization:
                                
   Prior service cost
    
(135
)
    
(156
)
    
(147
)
    
(66
)
   Net actuarial loss (gain)
    
4,692
      
2,973
      
-
      
(147
)
                                 
 Net benefit cost
  
$
8,547
    
$
7,014
    
$
858
    
$
804
  

Benefit payments under the Company's principal retirement plan are made from plan assets, while benefit payments under the postretirement benefit plan are made from the Company's operating funds.  Under IRS regulations, the Company is not required to make any significant contributions to its principal retirement plan in fiscal year 2015.

Contributions made and anticipated for fiscal year 2015 are as follows:

Contributions
  
Pension
    
Other Postretirement
  
         
Contributions during the nine months ended June 30, 2015:
        
   Supplemental retirement plan
  
$
543
    
$
-
  
   Other postretirement plan
    
-
      
1,019
  
                 
Additional contributions expected in fiscal 2015:
                
   Supplemental retirement plan
    
190
      
-
  
   Other postretirement plan
    
-
      
250
  

Prior to its acquisition by Matthews, Schawk participated in a multi-employer pension fund pursuant to certain collective bargaining agreements.  In 2012, Schawk bargained to withdraw from the fund, and recorded a withdrawal liability at the conclusion of the negotiations, based on the present value of installment payments expected to be paid through 2034.  During the third quarter of fiscal 2015, the Company finalized an agreement to settle this installment payment obligation in exchange for a lump-sum payment of $18,157.  This settlement liability is recorded within other current liabilities on the Condensed Consolidated Balance Sheet at June 30, 2015, since full payment is expected to be made during the fourth quarter of fiscal 2015.  This settlement also resulted in an $11,522 gain recognized in other income (deductions), net during the third quarter of fiscal 2015.