Quarterly report pursuant to Section 13 or 15(d)

PENSION PLANS

v3.21.2
PENSION PLANS
 6 Months Ended
Oct. 02, 2021
Retirement Benefits [Abstract]  
PENSION PLANS PENSION PLANS
The components of pension cost (income) for VF’s defined benefit plans were as follows:
  Three Months Ended September Six Months Ended September
(In thousands) 2021 2020 2021 2020
Service cost – benefits earned during the period $ 3,577  $ 3,783  $ 7,190  $ 7,415 
Interest cost on projected benefit obligations 9,367  11,981  18,842  23,929 
Expected return on plan assets (19,368) (20,571) (38,753) (41,110)
Settlement charges 76  572  1,024  572 
Amortization of deferred amounts:
Net deferred actuarial losses 2,871  2,898  5,711  5,761 
Deferred prior service credits (117) (17) (235) (34)
Net periodic pension cost (income) $ (3,594) $ (1,354) $ (6,221) $ (3,467)
The amounts reported in these disclosures have not been segregated between continuing and discontinued operations.
VF has reported the service cost component of net periodic pension cost (income) in operating income and the other components, which include interest cost, expected return on plan assets, settlement charges and amortization of deferred actuarial losses and prior service credits, in the other income (expense), net line item in the Consolidated Statements of Operations.
VF contributed $6.1 million to its defined benefit plans during the six months ended September 2021, and intends to make approximately $26.8 million of contributions during the remainder of Fiscal 2022.
VF recorded $0.1 million and $1.0 million in settlement charges in the other income (expense), net line item in the Consolidated Statements of Operations for the three and six months ended September 2021, respectively, as well as $0.6 million for both the three and six months ended September 2020. The settlement charges related to the recognition of deferred actuarial losses resulting from lump sum payments of retirement benefits in the supplemental defined benefit pension plan. Actuarial assumptions used in the interim valuations were reviewed and revised as appropriate. The discount rate used to determine the supplemental defined benefit pension obligation as of September 2021 and June 2021 was 2.91% and 2.90%, respectively.