VF Corporation Quarterly report pursuant to Section 13 or 15(d)

Quarterly report pursuant to Section 13 or 15(d)

Pension Plans

Pension Plans

9 Months Ended

Oct. 01, 2016

Note I – Pension Plans

The components of pension cost for VF’s defined benefit plans are as follows:


	Three Months Ended September						Nine Months Ended September
In thousands	2016			2015			2016			2015
Service cost – benefits earned during the period	$	6,478		$	7,305		$	19,434		$	21,984
Interest cost on projected benefit obligations		16,991			19,415			51,066			58,229
Expected return on plan assets		(24,869	)		(27,784	)		(74,714	)		(83,334	)
Amortization of deferred amounts:
Net deferred actuarial losses		16,303			15,493			48,928			46,485
Deferred prior service costs		645			760			1,937			2,281

Net periodic pension cost	$	15,548		$	15,189		$	46,651		$	45,645

VF contributed $12.8 million to its defined benefit plans during the first nine months of 2016, and intends to make approximately $2.4 million of additional contributions during the remainder of 2016.

VF incurred $2.4 million and $4.0 million in settlement charges during the third quarter and first nine months of 2015, respectively, related to the recognition of deferred actuarial losses resulting from lump sum payments of retirement benefits to participants in VF’s supplemental defined benefit pension plan. No settlement charges were incurred during the first nine months of 2016.