Company: CPS
Filing Date: 2025-02-14
Form Type: 10-K
Source: 0001320461-25-000033
Chunk: 64

Company: Cooper-Standard Holdings Inc.
Filing Date: 2025-02-14
Form: 10-K
Item: Item 7
Chunk 64
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 within AOCI in our consolidated balance sheets. See Note 12. “Pensions” to the consolidated financial statements included in Item 8. “Financial Statements and Supplementary Data” of this Report for additional information.

To develop the discount rate for each pension plan, the expected cash flows underlying the plan’s benefit obligations were discounted using a December 31, 2024 pension index to determine a single equivalent rate. To develop our expected return on plan assets, we considered historical long-term asset return experience, the expected investment portfolio mix of plan assets and an estimate of long-term investment returns.

Weighted average assumptions used to determine pension benefit obligations as of December 31, 2024 were as follows:  U.S. Non-U.S.Discount rate5.50%4.21%Rate of compensation increaseN/A (*)3.14%

*    As the U.S. plans are frozen, the rate of compensation increase is not applicable.

Weighted average assumptions used to determine net periodic benefit costs for the year ended December 31, 2024 were as follows:  U.S. Non-U.S.Discount rate5.10%4.00%Expected return on plan assetsN/A (*)4.07%Rate of compensation increaseN/A (**)3.20%

*    There were no U.S. plan assets as of December 31, 2024, therefore the expected return on plan assets is not applicable.

**    As the U.S. plans are frozen, the rate of compensation increase is not applicable.

The sensitivity of our pension cost and obligations to changes in key assumptions, holding all other assumptions constant, is as follows:Change in assumptionImpact on 2025 net periodic benefit costImpact on PBO as of December 31, 20241% increase in discount rate- $0.4 million- $12.0 million1% decrease in discount rate+ $0.1 million+ $14.5 million1% increase in expected return on plan assets- $0.3 million-1% decrease in expected return on plan assets+ $0.3 million-

Aggregate pension net periodic benefit cost is forecasted to be approximately $6.7 million in 2025.

Health care cost trend rates are assumed to reflect market trend, actual experience and future expectations. Health care cost trend rate assumptions used to determine the postretirement benefit obligations as of December 31, 2024 were as follows: U.S. Non-U.S.Health care cost trend