v3.26.1
Pension and Other Post-Retirement Benefit Obligations
 6 Months Ended
Jun. 30, 2026
Retirement Benefits [Abstract]  
Pension and Other Post-Retirement Benefit Obligations

Note 6. Pension and Other Post-Retirement Benefit Obligations

Defined Benefit Plans

Pension benefits are based on employees’ earnings and years of service. The defined benefit plans are funded by contributions from the Company based on actuarial estimates and statutory requirements. The components of the net benefit costs for the Celgar and Peace River defined benefit plans, in aggregate for the three and six months ended June 30, 2026 and 2025 were as follows:

 

 

Three Months Ended June 30,

 

 

 

2026

 

 

2025

 

 

 

Pension

 

 

Other Post-
Retirement
Benefits

 

 

Pension

 

 

Other Post-
Retirement
Benefits

 

Service cost

 

$

642

 

 

$

21

 

 

$

671

 

 

$

36

 

Interest cost

 

 

1,074

 

 

 

106

 

 

 

1,015

 

 

 

111

 

Expected return on plan assets

 

 

(1,452

)

 

 

—

 

 

 

(1,389

)

 

 

—

 

Amortization of unrecognized items

 

 

(283

)

 

 

(190

)

 

 

(82

)

 

 

(187

)

Net benefit costs (gains)

 

$

(19

)

 

$

(63

)

 

$

215

 

 

$

(40

)

 

 

 

Six Months Ended June 30,

 

 

 

2026

 

 

2025

 

 

 

Pension

 

 

Other Post-
Retirement
Benefits

 

 

Pension

 

 

Other Post-
Retirement
Benefits

 

Service cost

 

$

1,291

 

 

$

43

 

 

$

1,318

 

 

$

70

 

Interest cost

 

 

2,158

 

 

 

213

 

 

 

1,995

 

 

 

219

 

Expected return on plan assets

 

 

(2,916

)

 

 

—

 

 

 

(2,727

)

 

 

—

 

Amortization of unrecognized items

 

 

(569

)

 

 

(381

)

 

 

(163

)

 

 

(368

)

Net benefit costs (gains)

 

$

(36

)

 

$

(125

)

 

$

423

 

 

$

(79

)

The components of the net benefit costs (gains) other than service cost are recorded in “Other income (expenses)” in the Interim Consolidated Statements of Operations. The amortization of unrecognized items relates to actuarial losses (gains) and prior service costs.

Defined Contribution Plan

Effective December 31, 2008, the defined benefit plans at the Celgar mill were closed to new members and the service accrual ceased. Effective January 1, 2009, the members began to receive pension benefits, at a fixed contractual rate, under a defined contribution plan. During the three and six months ended June 30, 2026, the Company made contributions of $335 and $782, respectively, to this plan (2025 – $402 and $613).

Multiemployer Plan

The Company participates in a multiemployer plan for the hourly-paid employees at the Celgar mill. The contributions to the plan are determined based on a percentage of pensionable earnings pursuant to a collective bargaining agreement. The Company has no current or future contribution obligations in excess of the contractual contributions. During the three and six months ended June 30, 2026, the Company made contributions of $628 and $1,178, respectively, to this plan (2025 – $683 and $1,389).