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134 - Disclosure - Pensions and Retirement Savings Plan (Tables)
(http://www.aepinc.com/taxonomy/role/NotesToFinancialStatementsPensionAndOtherPostretirementBenefitsDisclosureTextBlockTables)
Table(Implied)
Slicers (applies to each fact value in each table cell)
Reporting Entity [Axis]0000785787 (http://www.sec.gov/CIK)
Compensation and Retirement Disclosure [Abstract]Period [Axis]
2015-11-01 - 2016-10-31
Compensation and Retirement Disclosure [Abstract]
 
Components of Net Periodic Pension Costs

The components of the net periodic pension costs for the Canadian defined benefit plan and the Alabama Plan in fiscal 2016, 2015 and 2014, are as follows:

 

     For the Years Ended
October 31,		  
     2016      2015      2014  
     (in thousands)  

Service cost

    $ 162       $ 170       $ 276   

Interest cost

      332         343         388   

Expected return on assets

      (380 )       (430 )       (440 ) 

Curtailment, settlement loss

      —         —         53   

Amortization of net actuarial loss

      38         46         56   

Amortization of prior service cost

      99         106         119   
  

 

 

     

 

 

     

 

 

  

Net periodic pension cost

    $ 251       $ 235       $ 452   
  

 

 

     

 

 

     

 

 

  

  
Estimated Net Actuarial Loss and Prior Service Cost


The estimated net actuarial loss and prior service cost that will be amortized from accumulated other comprehensive loss into net periodic pension cost in fiscal 2017 are:

 

     (in thousands)  

Amortization of prior service cost

    $ 99   

Amortization of net actuarial loss

      85   
  

 

 

  

Total

    $ 184   
  

 

 

  

  
Reconciliation of Change in Benefit Obligation

A reconciliation of the change in benefit obligation, the change in plan assets and the net amount recognized in the consolidated balance sheets for the Canadian defined benefit plan and the Alabama Plan is shown below (based on an October 31 measurement date):

 

     October 31,  
     2016      2015  
     (in thousands)  

Change in benefit obligation:

      

Pension benefit obligation at beginning of year

    $ 7,743       $ 8,708   

Service cost

      162         170   

Interest cost

      332         343   

Benefit and expense payments

      (364 )       (554 ) 

Actuarial losses (gains)

      650         (60 ) 

Foreign currency exchange rate impact

      (142 )       (864 ) 
  

 

 

     

 

 

  

Pension benefit obligation at end of year

      8,381         7,743   

Change in plan assets:

      

Fair value of plan assets at beginning of year

      6,786         7,464   

Company contributions

      374         430   

Benefit and expense payments

      (364 )       (554 ) 

Actual return on plan assets

      382         332   

Foreign currency exchange rate impact

      (145 )       (886 ) 
  

 

 

     

 

 

  

Fair value of plan assets at end of year

      7,033         6,786   
  

 

 

     

 

 

  

Funded status—consolidated

      (1,348 )       (957 ) 
  

 

 

     

 

 

  

Funded status—Canada

      (177 )       352   
  

 

 

     

 

 

  

Funded status—U.S.

      (1,171 )       (1,309 ) 
  

 

 

     

 

 

  

Amounts recognized in the consolidated balance sheets consist of:

      

Other long-term liabilities

      (1,348 )       (1,309 ) 

Other assets

      —         352   

Amounts recognized in accumulated other comprehensive (loss):

      

Prior service cost

      (334 )       (442 ) 

Net actuarial loss

      (1,912 )       (1,328 ) 

Tax effect

      645         520   
  

 

 

     

 

 

  

Net amount recognized, after tax

    $ (1,601 )     $ (1,250 ) 
  

 

 

     

 

 

  

Accumulated benefit obligation

    $ 8,381       $ 7,743   
  

 

 

     

 

 

  

  
Weighted Average Actual Asset Allocations and Target Allocation of Pension Plan Assets

The following table presents the weighted average actual asset allocations as of October 31, 2016 and 2015 and the target allocation of pension plan assets for fiscal 2017:

 

     October 31,     Target
Allocation		  
     2016     2015    

Equity securities

      60 %      61 %      60 % 

Debt securities

      36 %      33 %      37 % 

Cash

      4 %      6 %      3 % 
  

 

 

    

 

 

    

 

 

  

Total

      100 %      100 %      100 % 
  

 

 

    

 

 

    

 

 

  

  
Weighted Average Assumptions Used to Determine Company's Benefit Obligations

The weighted-average assumptions that were used to determine the Company’s benefit obligations as of the measurement date (October 31) were as follows:

 

     October 31,  
     2016     2015     2014  

Discount rate

      4 %      4 %      4 % 

Salary progression rate

      0 %      0 %      0 % 

  
Weighted Average Assumptions Used to Determine Company's Net Periodic Benefit Cost

The weighted-average assumptions that were used to determine the Company’s net periodic benefit cost were as follows:

 

     October 31,  
     2016     2015     2014  

Discount rate

      4 %      4 %      5 % 

Salary progression rate

      0 %      0 %      0 % 

Expected long-term rate of return on plan assets

      6 %      6 %      6 % 

  
Expected Benefit Payments Based on Assumptions Used to Measure Company Benefit Obligation

Payments from the pension plan are made from the plan assets.

 

     (in thousands)  

2017

    $ 212   

2018

      253   

2019

      297   

2020

      344   

2021

      375   

2022-2026, in the aggregate

      2,454   

  
Fair Values by Category of the Plan Assets

The fair values by category of the plan assets as of October 31, 2016 were as follows:

 

     Fair Value
as of
October 31,
2016		      Quoted Prices in
Active Markets
for Identical
Assets
(Level 1)		      Significant
Observable
Inputs
(Level 2)		      Significant
Unobservable
Inputs
(Level 3)		  
     (Amounts in thousands)  

Cash

    $ 330       $ 15       $ 315       $ —   

Equity securities

      4,199         674         3,525         —   

Fixed income/debt securities

      2,471         378         2,093         —   

Other

      33         —         33         —   
  

 

 

     

 

 

     

 

 

     

 

 

  

Total

    $ 7,033       $ 1,067       $ 5,966       $ —   
  

 

 

     

 

 

     

 

 

     

 

 

  

The fair values by category of the plan assets as of October 31, 2015 were as follows:

 

     Fair Value
as of
October 31,
2015		      Quoted Prices in
Active Markets
for Identical
Assets
(Level 1)		      Significant
Observable
Inputs
(Level 2)		      Significant
Unobservable
Inputs
(Level 3)		  
     (Amounts in thousands)  

Cash

    $ 397       $ 26       $ 371       $ —   

Equity securities

      4,154         668         3,486         —   

Fixed income/debt securities

      2,203         382         1,821         —   

Other

      32         —         32         —   
  

 

 

     

 

 

     

 

 

     

 

 

  

Total

    $ 6,786       $ 1,076       $ 5,710       $ —