| Employee Benefit Plans | Employee Benefit Plans Savings Plan: The Company has a 401(k) Savings Plan for the benefit of all qualified U.S. employees, with such employees receiving matching contributions in the amount equal to 100.0% of the first 5.0% of eligible compensation up to applicable Internal Revenue Service limits. Savings plan expense was $12.8 million in fiscal year 2015 , $12.2 million in fiscal year 2014 and $12.8 million in fiscal year 2013 . Pension Plans: The Company has a defined benefit pension plan covering certain U.S. employees and non-U.S. pension plans for certain non-U.S. employees. The principal U.S. defined benefit pension plan was closed to new hires effective January 31, 2001, and benefits for those employed by the Company’s former Life Sciences businesses were frozen as of that date. Plan benefits were frozen as of March 2003 for those employed by the Company’s former Analytical Instruments business and corporate employees. Plan benefits were frozen as of January 31, 2011 for all remaining employees that were still actively accruing in the plan. The plans provide benefits that are based on an employee’s years of service and compensation near retirement. Net periodic pension cost (credit) for U.S. and non-U.S. plans included the following components for fiscal years ended: January 3, December 28, December 29, (In thousands) Service cost $ 4,332 $ 4,070 $ 3,664 Interest cost 20,696 23,475 21,334 Expected return on plan assets (26,021 ) (25,007 ) (25,106 ) Curtailment gain (907 ) — — Actuarial loss (gain) 12,953 71,700 (16,464 ) Amortization of prior service cost (238 ) (281 ) (267 ) Net periodic pension cost (credit) $ 10,815 $ 73,957 $ (16,839 ) During fiscal year 2014, the Company notified certain employees of its intention to terminate their employment as part of the Q3 2014 restructuring plan. During fiscal year 2015, the termination of these participants decreased the expected future service lives in excess of the curtailment limit for one of the Company's pension plans, which resulted in a curtailment gain. The Company recorded the curtailment gain of $0.8 million during fiscal year 2015. As part of the curtailment, the Company remeasured the assets and liabilities of the plan that had the curtailment based upon current discount rates and the fair value of the pension plan's assets as of the curtailment date, which resulted in an actuarial loss of $0.8 million . The following table sets forth the changes in the funded status of the principal U.S. pension plan and the principal non-U.S. pension plans and the amounts recognized in the Company’s consolidated balance sheets as of January 3, 2016 and December 28, 2014 . January 3, 2016 December 28, 2014 Non-U.S. U.S. Non-U.S. U.S. (In thousands) Actuarial present value of benefit obligations: Accumulated benefit obligations $ 267,862 $ 301,416 $ 291,640 $ 327,632 Change in benefit obligations: Projected benefit obligations at beginning of year $ 303,809 $ 327,632 $ 288,216 $ 279,299 Service cost 2,532 1,800 2,670 1,400 Interest cost 7,695 13,001 10,575 12,900 Benefits paid and plan expenses (11,100 ) (24,127 ) (12,280 ) (19,282 ) Participants’ contributions 343 — 394 — Plan curtailments (759 ) — — — Plan settlements (1,401 ) — — — Actuarial loss (gain) 131 (16,890 ) 42,095 53,315 Effect of exchange rate changes (24,290 ) — (27,861 ) — Projected benefit obligations at end of year $ 276,960 $ 301,416 $ 303,809 $ 327,632 Change in plan assets: Fair value of plan assets at beginning of year $ 156,767 $ 256,254 $ 143,704 $ 249,756 Actual return on plan assets 3,745 (7,434 ) 22,939 25,780 Benefits paid and plan expenses (11,100 ) (24,127 ) (12,280 ) (19,282 ) Employer’s contributions 10,908 20,000 11,195 — Participants’ contributions 343 — 394 — Plan settlements (1,401 ) — — — Effect of exchange rate changes (8,368 ) — (9,185 ) — Fair value of plan assets at end of year 150,894 244,693 156,767 256,254 Net liabilities recognized in the consolidated balance sheets $ (126,066 ) $ (56,723 ) $ (147,042 ) $ (71,378 ) Net amounts recognized in the consolidated balance sheets consist of: Noncurrent assets $ 12,135 $ — $ 9,825 $ — Current liabilities (6,261 ) — (6,786 ) — Noncurrent liabilities (131,940 ) (56,723 ) (150,081 ) (71,378 ) Net liabilities recognized in the consolidated balance sheets $ (126,066 ) $ (56,723 ) $ (147,042 ) $ (71,378 ) Net amounts recognized in accumulated other comprehensive income consist of: Prior service cost $ (932 ) $ — $ (1,371 ) $ — Net amounts recognized in accumulated other comprehensive income $ (932 ) $ — $ (1,371 ) $ — Actuarial assumptions as of the year-end measurement date: Discount rate 2.88 % 4.25 % 2.75 % 4.08 % Rate of compensation increase 3.26 % None 3.07 % None Actuarial assumptions used to determine net periodic pension cost during the year were as follows: January 3, 2016 December 28, 2014 December 29, 2013 Non-U.S. U.S. Non-U.S. U.S. Non-U.S. U.S. Discount rate 2.75 % 4.08 % 3.77 % 4.77 % 3.62 % 3.92 % Rate of compensation increase 3.28 % None 3.23 % None 2.88 % None Expected rate of return on assets 4.60 % 7.25 % 5.30 % 7.25 % 5.50 % 7.50 % The following table provides a breakdown of the non-U.S. benefit obligations and fair value of assets for pension plans that have benefit obligations in excess of plan assets: January 3, December 28, (In thousands) Pension Plans with Projected Benefit Obligations in Excess of Plan Assets Projected benefit obligations $ 138,201 $ 156,867 Fair value of plan assets — — Pension Plans with Accumulated Benefit Obligations in Excess of Plan Assets Accumulated benefit obligations $ 134,858 $ 153,239 Fair value of plan assets — — Assets of the defined benefit pension plans are primarily equity and debt securities. Asset allocations as of January 3, 2016 and December 28, 2014 , and target asset allocations for fiscal year 2016 are as follows: Target Allocation Percentage of Plan Assets at January 1, 2017 January 3, 2016 December 28, 2014 Asset Category Non-U.S. U.S. Non-U.S. U.S. Non-U.S. U.S. Equity securities 45-55% 40-50% 49 % 42 % 49 % 39 % Debt securities 45-55% 50-60% 50 % 58 % 50 % 61 % Other 0-5% 0-5% 1 % — % 1 % — % Total 100 % 100 % 100 % 100 % 100 % 100 % The Company maintains target allocation percentages among various asset classes based on investment policies established for the pension plans which are designed to maximize the total rate of return (income and appreciation) after inflation within the limits of prudent risk taking, while providing for adequate near-term liquidity for benefit payments. The Company’s expected rate of return on assets assumptions are derived from management’s estimates, as well as other information compiled by management, including studies that utilize customary procedures and techniques. The studies include a review of anticipated future long-term performance of individual asset classes and consideration of the appropriate asset allocation strategy given the anticipated requirements of the plans to determine the average rate of earnings expected on the funds invested to provide for the pension plans benefits. While the study gives appropriate consideration to recent fund performance and historical returns, the assumption is primarily a long-term, prospective rate. The Company's discount rate assumptions are derived from a range of factors, including a yield curve for certain plans, composed of the rates of return on high-quality fixed-income corporate bonds available at the measurement date and the related expected duration for the obligations, and a bond matching approach for certain plans. For the plans in the United States, as of December 28, 2014 the Company adopted a new mortality base table, RP-2014, with projection scale, MP-2014, that was published by the Society of Actuaries in 2014. The adoption of the new mortality base table resulted in a $32.1 million increase to the projected benefit obligation as of December 28, 2014. During fiscal year 2015, the Society of Actuaries issued an updated mortality improvement scale that reflects smaller improvements in longevity than predicted by its MP-2014 scale. The Company adopted the updated projection scale, MP-2015, as of January 3, 2016. The adoption of the updated projection scale resulted in a $6.8 million decrease to the projected benefit obligation at January 3, 2016. The changes to the projected benefit obligations due to the adoption of the mortality base table and projection scale are included within "Actuarial loss (gain)" in the Change in Benefit Obligations for fiscal years 2015 and 2014 above . The target allocations for plan assets are listed in the above table. Equity securities primarily include investments in large-cap and mid-cap companies located in the United States and abroad, and equity index funds. Debt securities include corporate bonds of companies from diversified industries, high-yield bonds, and U.S. government securities. Other types of investments include investments in non-U.S. government index linked bonds, multi-strategy hedge funds and venture capital funds that follow several different strategies. The fair values of the Company’s pension plan assets as of January 3, 2016 and December 28, 2014 by asset category, classified in the three levels of inputs described in Note 21 to the consolidated financial statements are as follows: Fair Value Measurements at January 3, 2016 Using: Total Carrying Quoted Prices in Active Markets (Level 1) Significant Other Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) (In thousands) Cash $ 2,890 $ 2,890 $ — $ — Equity Securities: U.S. large-cap 30,357 30,357 — — International large-cap value 26,686 26,686 — — Emerging markets growth 10,600 10,600 — — Equity index funds 74,974 — 74,974 — Domestic real estate funds 2,735 2,735 — — Commodity funds 8,128 8,128 — — Fixed income securities: Non-U.S. Treasury Securities 21,531 — 21,531 — Corporate and U.S. debt instruments 137,117 28,746 108,371 — Corporate bonds 23,871 — 23,871 — High yield bond funds 3,324 3,324 — — Other types of investments: Multi-strategy hedge funds 23,415 — — 23,415 Venture capital funds 1 — — 1 Non-U.S. government index linked bonds 29,958 — 29,958 — Total assets measured at fair value $ 395,587 $ 113,466 $ 258,705 $ 23,416 Fair Value Measurements at December 28, 2014 Using: Total Carrying Quoted Prices in Active Markets (Level 1) Significant Other Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) (In thousands) Cash $ 4,971 $ 4,971 $ — $ — Equity Securities: U.S. large-cap 28,602 28,602 — — International large-cap value 25,202 25,202 — — Emerging markets growth 13,010 13,010 — — Equity index funds 77,432 — 77,432 — Domestic real estate funds 2,860 2,860 — — Commodity funds 7,423 7,423 — — Fixed income securities: Non-U.S. Treasury Securities 22,025 — 22,025 — Corporate and U.S. debt instruments 147,834 53,813 94,021 — Corporate bonds 25,164 — 25,164 — High yield bond funds 3,614 3,614 — — Other types of investments: Multi-strategy hedge funds 23,332 — — 23,332 Venture capital funds 1 — — 1 Non-U.S. government index linked bonds 31,551 — 31,551 — Total assets measured at fair value $ 413,021 $ 139,495 $ 250,193 $ 23,333 Valuation Techniques: Valuation techniques utilized need to maximize the use of observable inputs and minimize the use of unobservable inputs. There have been no changes in the methodologies utilized at January 3, 2016 compared to December 28, 2014 . The following is a description of the valuation techniques utilized to measure the fair value of the assets shown in the table above. Equity Securities: Shares of registered investment companies that are publicly traded are categorized as Level 1 assets; they are valued at quoted market prices that represent the net asset value of the fund. These instruments have active markets. Equity index funds are mutual funds that are not publicly traded and are comprised primarily of underlying equity securities that are publicly traded on exchanges. Price quotes for the assets held by these funds are readily observable and available. Equity index funds are categorized as Level 2 assets. Fixed Income Securities: Fixed income mutual funds that are publicly traded are valued at quoted market prices that represent the net asset value of securities held by the fund and are categorized as Level 1 assets. Fixed income index funds that are not publicly traded are stated at net asset value as determined by the issuer of the fund based on the fair value of the underlying investments and are categorized as Level 2 assets. Individual fixed income bonds are categorized as Level 2 assets except where sufficient quoted prices exist in active markets, in which case such securities are categorized as Level 1 assets. These securities are valued using third-party pricing services. These services may use, for example, model-based pricing methods that utilize observable market data as inputs. Broker dealer bids or quotes of securities with similar characteristics may also be used. Other Types of Investments: Non-U.S. government index link bond funds are not publicly traded and are stated at net asset value as determined by the issuer of the fund based on the fair value of the underlying investments. Underlying investments consist of bonds in which payment of income on the principal is related to a specific price index and are categorized as Level 2 assets. Hedge funds, private equity funds and venture capital funds are valued at fair value by using the net asset values provided by the investment managers and are updated, if necessary, using analytical procedures, appraisals, public market data and/or inquiry of the investment managers. The net asset values are determined based upon the fair values of the underlying investments in the funds. These other investments invest primarily in readily available marketable securities and allocate gains, losses, and expense to the investor based on the ownership percentage as described in the fund agreements. They are categorized as Level 3 assets. The Company's policy is to recognize significant transfers between levels at the actual date of the event. A reconciliation of the beginning and ending Level 3 assets for fiscal years 2015, 2014 and 2013 is as follows: Fair Value Measurements Using Significant Unobservable Inputs (Level 3): Common Collective Trusts/Private Funds Venture Capital Funds Multi-strategy Hedge Funds Total (In thousands) Balance at December 30, 2012 $ 162 $ 7 $ 20,262 $ 20,431 Realized losses 7 — — 7 Unrealized (losses) gains (19 ) 1 2,427 2,409 Issuances, sales and settlements (150 ) — — (150 ) Balance at December 29, 2013 — 8 22,689 22,697 Unrealized (losses) gains — (7 ) 643 636 Balance at December 28, 2014 — 1 23,332 23,333 Unrealized gains — — 83 83 Balance at January 3, 2016 $ — $ 1 $ 23,415 $ 23,416 With respect to plans outside of the United States, the Company expects to contribute $9.3 million in the aggregate during fiscal year 2016. During fiscal year 2015 , the Company contributed $14.9 million , in the aggregate, to pension plans outside of the United States and $20.0 million to its defined benefit pension plan in the United States. During fiscal year 2014, the Company made contributions of $11.2 million , in the aggregate, to plans outside of the United States. During fiscal year 2013, the Company made contributions of $37.0 million for the 2012 plan year to its defined benefit pension plan in the United States. During fiscal year 2013, the Company contributed $20.2 million , in the aggregate, to plans outside of the United States, which includes an additional contribution of $10.0 million to its defined benefit pension plan in the United Kingdom. The following benefit payments, which reflect expected future service, as appropriate, are expected to be paid as follows: Non-U.S. U.S. (In thousands) 2016 $ 10,490 $ 17,950 2017 11,051 18,018 2018 11,466 18,289 2019 11,855 18,469 2020 12,473 18,683 2021-2025 67,253 95,733 The Company also sponsors a supplemental executive retirement plan to provide senior management with benefits in excess of normal pension benefits. Effective July 31, 2000, this plan was closed to new entrants. At January 3, 2016 and December 28, 2014 , the projected benefit obligations were $21.5 million and $24.5 million , respectively. Assets with a fair value of $0.6 million and $0.5 million , segregated in a trust (which is included in marketable securities and investments on the consolidated balance sheets), were available to meet this obligation as of January 3, 2016 and December 28, 2014 , respectively. Pension income and expenses for this plan netted to income of $1.6 million in fiscal year 2015 , expense of $4.8 million in fiscal year 2014 and income of $0.4 million in fiscal year 2013 . Postretirement Medical Plans: The Company provides healthcare benefits for eligible retired U.S. employees under a comprehensive major medical plan or under health maintenance organizations where available. Eligible U.S. employees qualify for retiree health benefits if they retire directly from the Company and have at least ten years of service. Generally, the major medical plan pays stated percentages of covered expenses after a deductible is met and takes into consideration payments by other group coverage and by Medicare. The plan requires retiree contributions under most circumstances and has provisions for cost-sharing charges. Effective January 1, 2000, this plan was closed to new hires. For employees retiring after 1991, the Company has capped its medical premium contribution based on employees’ years of service. The Company funds the amount allowable under a 401(h) provision in the Company’s defined benefit pension plan. Assets of the plan are primarily equity and debt securities and are available only to pay retiree health benefits. Net periodic postretirement medical benefit cost (credit) included the following components for the fiscal years ended: January 3, December 28, December 29, (In thousands) Service cost $ 108 $ 95 $ 106 Interest cost 143 155 135 Expected return on plan assets (1,062 ) (964 ) (965 ) Actuarial loss (gain) 971 (384 ) (182 ) Net periodic postretirement medical benefit cost (credit) $ 160 $ (1,098 ) $ (906 ) The following table sets forth the changes in the postretirement medical plan’s funded status and the amounts recognized in the Company’s consolidated balance sheets as of January 3, 2016 and December 28, 2014 . January 3, December 28, (In thousands) Actuarial present value of benefit obligations: Retirees $ 1,033 $ 1,159 Active employees eligible to retire 424 388 Other active employees 2,119 1,795 Accumulated benefit obligations at beginning of year 3,576 3,342 Service cost 108 95 Interest cost 143 155 Benefits paid (158 ) (157 ) Actuarial (gain) loss (308 ) 141 Change in accumulated benefit obligations during the year (215 ) 234 Retirees 907 1,033 Active employees eligible to retire 423 424 Other active employees 2,031 2,119 Accumulated benefit obligations at end of year 3,361 3,576 Change in plan assets: Fair value of plan assets at beginning of year 14,728 13,396 Actual return on plan assets (375 ) 1,332 Fair value of plan assets at end of year 14,353 14,728 Net assets recognized in the consolidated balance sheets $ 10,992 $ 11,152 Net amounts recognized in the consolidated balance sheets consist of: Noncurrent assets $ 10,992 $ 11,152 Net assets recognized in the consolidated balance sheets $ 10,992 $ 11,152 Net amounts recognized in accumulated other comprehensive income consist of: Prior service cost $ — $ — Net amounts recognized in accumulated other comprehensive income $ — $ — Actuarial assumptions as of the year-end measurement date: Discount rate 4.34 % 4.10 % Actuarial assumptions used to determine net cost during the year are as follows: January 3, December 28, December 29, Discount rate 4.10 % 4.77 % 3.86 % Expected rate of return on assets 7.25 % 7.25 % 7.50 % The Company maintains a master trust for plan assets related to the U.S. defined benefit plans and the U.S. postretirement medical plan. Accordingly, investment policies, target asset allocations and actual asset allocations are the same as those disclosed for the U.S. defined benefit plans. The fair values of the Company’s plan assets at January 3, 2016 and December 28, 2014 by asset category, classified in the three levels of inputs described in Note 21, are as follows: Fair Value Measurements at January 3, 2016 Using: Total Carrying Quoted Prices in Active Markets (Level 1) Significant Other Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) (In thousands) Cash $ 133 $ 133 $ — $ — Equity Securities: U.S. large-cap 1,781 1,781 — — International large-cap value 1,566 1,566 — — Emerging markets growth 622 622 — — Domestic real estate funds 160 160 — — Commodity funds 477 477 — — Fixed income securities: Corporate debt instruments 8,045 1,687 6,358 — High yield bond funds 195 195 — — Other types of investments: Multi-strategy hedge funds 1,374 — — 1,374 Total assets measured at fair value $ 14,353 $ 6,621 $ 6,358 $ 1,374 Fair Value Measurements at December 28, 2014 Using: Total Carrying Quoted Prices in Active Markets (Level 1) Significant Other Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) (In thousands) Cash $ 248 $ 248 $ — $ — Equity Securities: U.S. large-cap 1,644 1,644 — — International large-cap value 1,449 1,449 — — Emerging markets growth 748 748 — — Domestic real estate funds 164 164 — — Commodity funds 427 427 — — Fixed income securities: Corporate debt instruments 8,499 3,094 5,405 — High yield bond funds 208 208 — — Other types of investments: Multi-strategy hedge funds 1,341 — — 1,341 Total assets measured at fair value $ 14,728 $ 7,982 $ 5,405 $ 1,341 Valuation Techniques: Valuation techniques are the same as those disclosed for the U.S. defined benefit plans above. A reconciliation of the beginning and ending Level 3 assets for fiscal years 2015, 2014 and 2013 is as follows: Fair Value Measurements Using Significant Unobservable Inputs (Level 3): Common Collective Trusts/Private Funds Venture Capital Funds Multi-strategy Hedge Funds Total (In thousands) Balance at December 30, 2012 $ 9 $ 1 $ 1,184 $ 1,194 Unrealized (losses) gains (1 ) (1 ) 33 31 Issuances, sales and settlements (8 ) — — (8 ) Balance at December 29, 2013 — — 1,217 1,217 Unrealized gains — — 124 124 Balance at December 28, 2014 — — 1,341 1,341 Unrealized gains — — 33 33 Balance at January 3, 2016 $ — $ — $ 1,374 $ 1,374 The Company does no t expect to make any contributions to the postretirement medical plan during fiscal year 2016 . The following benefit payments, which reflect expected future service, as appropriate, are expected to be paid as follows: Postretirement Medical Plan (In thousands) 2016 $ 162 2017 171 2018 179 2019 189 2020 197 2021-2025 1,154 Deferred Compensation Plans: During fiscal year 1998, the Company implemented a nonqualified deferred compensation plan that provides benefits payable to officers and certain key employees or their designated beneficiaries at specified future dates, or upon retirement or death. The plan was amended to eliminate deferral elections, with the exception of Company 401(k) excess contributions for eligible participants, for plan years beginning January 1, 2011. Benefit payments under the plan are funded by contributions from participants, and for certain participants, contributions by the Company. The obligations related to the deferred compensation plan totaled $1.2 million and $1.0 million at January 3, 2016 and December 28, 2014 , respectively. |
