04-HP-876_newMDA.qxd 12/15/04 3:04 PM Page 73 The Company anticipates that no funding of its Pension Plan will be required in fiscal 2005. 2005 2006 2007 2008 2009 2010-2014 Total (in thousands) $ 3,967 $ 4,112 $ 4,134 4,201 $ 4,278 $23,515 $44,207 Included in the Pension Plan is an unfunded supplemental executive retirement plan. The accumulated benefit obligation for the defined Pension Plan was $75.7 million, $66.1 million and $55.7 million at September 30, 2004, 2003, and 2002, r espectively . The Company evaluates the Pension Plan to determine whether any additional minimum liability is required.  As a result of changes in the interest rates, an adjustment to the minimum pension liability was required. The  adjustment to the liability is recorded as a charge to accumulated other comprehensive loss, net of tax, in shareholders’ equity in the consolidated balance sheets. The Company’s investment policy and strategies ar established with a long-term view in mind. The investment strategy is intended to help pay the cost of the Plan while providing adequate security to meet the benefits promised under the Plan. The Company maintains a diversified asset mix to minimize the risk of a material loss to the portfolio value that might occur from devaluation of any one investment. In determining the appropriate asset mix, the Company’s financial strength and ability to fund potential shortfalls are considered. The expected long-term rate of return on plan assets is based on historical and projected rates of return for current and planned asset classes in the Plans’ investment portfolio after analyzing historical experience and future expectations of the return and volatility of various asset classes. 74 INVESTMENT STRATEGY AND ASSET ALLOCATION The following table reflects the expected benefits to be paid from the Pension Plan in each of the next five fiscal years, and in the aggregate for the five years thereafter. COMPONENTS OF NET PERIODIC PENSION EXPENSE: Years Ended September 30, 2004 2003 2002 (in thousands) Service cost  $ 3,944  $ 5,401  $ 4,769 Interest cost  4,403  4,423 3,835 Expected return on plan assets  (4,232)  ( 3,807) ( 4,804) Amortization of prior service cost  19  180 238 Amortization of transition asset  — — (540) Recognized net actuarial loss 760  1,550 120 Curtailment gain  — 84 — Net pension expense  $ 4,894 $ 7,831 $ 3,618 Years Ended September 30,