Postretirement Health Care and Life Insurance Benefits (Tables) - Postretirement Health Care and Life Insurance Benefits
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12 Months Ended |
Dec. 31, 2019 |
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] |
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Components of net periodic postretirement benefit cost |
Net periodic postretirement benefit cost included the following components: | | | | | | | | | | | | | | | | | Successor | Predecessor | | Year Ended December 31, 2019 | | Year Ended December 31, 2018 | | April 2 through December 31, 2017 | January 1 through April 1, 2017 | | (Dollars in millions) | Service cost for benefits earned | $ | 4.8 |
| | $ | 8.2 |
| | $ | 6.9 |
| $ | 2.3 |
| Interest cost on accumulated postretirement benefit obligation | 25.1 |
| | 28.3 |
| | 24.2 |
| 8.4 |
| Expected return on plan assets | (0.5 | ) | | — |
| | — |
| — |
| Amortization of prior service credit | (8.7 | ) | | — |
| | — |
| (2.3 | ) | Amortization of actuarial loss | — |
| | — |
| | — |
| 5.5 |
| Net actuarial loss (gain) | 78.3 |
| | (128.4 | ) | | (22.0 | ) | — |
| Net periodic postretirement benefit cost | $ | 99.0 |
| | $ | (91.9 | ) | | $ | 9.1 |
| $ | 13.9 |
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Amounts recognized in accumulated other comprehensive loss |
The following includes pre-tax amounts recorded in “Accumulated other comprehensive income”: | | | | | | | | | | | | | Successor | Predecessor | | Year Ended December 31, 2019 | | Year Ended December 31, 2018 | January 1 through April 1, 2017 | | (Dollars in millions) | Prior service credit arising during year | $ | — |
| | $ | (51.7 | ) | $ | — |
| Amortization: | |
| | | |
| Actuarial loss | — |
| | — |
| (5.5 | ) | Prior service credit | 8.7 |
| | — |
| 2.3 |
| Total recorded in “Accumulated other comprehensive income” | $ | 8.7 |
| | $ | (51.7 | ) | $ | (3.2 | ) |
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Reconciled amount of plan's funded status |
The following table sets forth the plans’ funded status reconciled with the amounts shown in the consolidated balance sheets: | | | | | | | | | | December 31, | | 2019 | | 2018 | | (Dollars in millions) | Change in benefit obligation: | | | | Accumulated postretirement benefit obligation at beginning of period | $ | 595.4 |
| | $ | 783.3 |
| Service cost | 4.8 |
| | 8.2 |
| Interest cost | 25.1 |
| | 28.3 |
| Participant contributions | 2.3 |
| | 0.5 |
| Plan amendments | — |
| | (51.7 | ) | Benefits paid | (47.7 | ) | | (44.8 | ) | Actuarial loss (gain) | 80.0 |
| | (128.4 | ) | Accumulated postretirement benefit obligation at end of period | 659.9 |
| | 595.4 |
| Change in plan assets: | | | | Fair value of plan assets at beginning of period | 15.0 |
| | — |
| Actual return on plan assets | 2.2 |
| | — |
| Employer contributions | 62.4 |
| | 59.3 |
| Participant contributions | 2.3 |
| | 0.5 |
| Benefits paid and administrative fees (net of Medicare Part D reimbursements) | (47.7 | ) | | (44.8 | ) | Fair value of plan assets at end of period | 34.2 |
| | 15.0 |
| Funded status at end of period | (625.7 | ) | | (580.4 | ) | Less: Current portion (included in “Accounts payable and accrued expenses”) | 32.3 |
| | 32.7 |
| Noncurrent obligation (included in “Accrued postretirement benefit costs”) | $ | (593.4 | ) | | $ | (547.7 | ) |
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Weighted-average assumptions used to determine the benefit obligations |
The weighted-average assumptions used to determine the benefit obligations as of the end of each year were as follows: | | | | | | | | December 31, | | 2019 | | 2018 | Discount rate | 3.40 | % | | 4.35 | % | Measurement date | December 31, 2019 |
| | December 31, 2018 |
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The weighted-average assumptions used to determine net periodic benefit cost during each period were as follows: | | | | | | | | | | | | | Successor | Predecessor | | Year Ended December 31, 2019 | | Year Ended December 31, 2018 | | April 2 through December 31, 2017 | January 1 through April 1, 2017 | Discount rate | 4.35 | % | | 3.70 | % | | 4.10 | % | 4.15 | % | Expected long-term return on plan assets | 5.00 | % | | — | % | | — | % | — | % | Measurement date | December 31, 2018 |
| | December 31, 2017 |
| | April 1, 2017 |
| December 31, 2016 |
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Assumed health care cost trend rate |
The following presents information about the assumed health care cost trend rate: | | | | | | | | Year Ended December 31, | | 2019 | | 2018 | Pre-Medicare: | | | | Health care cost trend rate assumed for next year | 6.75 | % | | 6.55 | % | Rate to which the cost trend is assumed to decline (the ultimate trend rate) | 4.75 | % | | 4.75 | % | Year that the rate reaches the ultimate trend rate | 2023 |
| | 2023 |
| | | | | Post-Medicare: | | | | Health care cost trend rate assumed for next year | 6.35 | % | | 6.15 | % | Rate to which the cost trend is assumed to decline (the ultimate trend rate) | 4.75 | % | | 4.75 | % | Year that the rate reaches the ultimate trend rate | 2023 |
| | 2023 |
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Assumed health care cost trend rates, one percentage point increase |
A one-percentage-point change in the assumed health care cost trend would have the following effects for the year ended December 31, 2019: | | | | | | | | | | One Percentage- Point Increase | | One Percentage- Point Decrease | | (Dollars in millions) | Effect on total service and interest cost components | $ | 2.5 |
| | $ | (2.3 | ) | Effect on total postretirement benefit obligation | $ | 57.3 |
| | $ | (50.9 | ) |
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Schedule of Changes in Fair Value of Plan Assets |
The following tables present the fair value of assets in the Non-Represented Trust by asset category and by fair value hierarchy: | | | | | | | | | | | | | | | | | | December 31, 2019 | | Level 1 | | Level 2 | | Level 3 | | Total | | (Dollars in millions) | U.S. equity securities | $ | 13.0 |
| | $ | — |
| | $ | — |
| | $ | 13.0 |
| International equity securities | 4.0 |
| | — |
| | — |
| | 4.0 |
| Corporate bonds | — |
| | 9.2 |
| | — |
| | 9.2 |
| U.S. government securities | 2.6 |
| | 4.5 |
| | — |
| | 7.1 |
| Cash funds | 0.9 |
| | — |
| | — |
| | 0.9 |
| Total assets at fair value | $ | 20.5 |
| | $ | 13.7 |
| | $ | — |
| | $ | 34.2 |
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| | | | | | | | | | | | | | | | | | December 31, 2018 | | Level 1 | | Level 2 | | Level 3 | | Total | | (Dollars in millions) | Cash funds | $ | 15.0 |
| | $ | — |
| | $ | — |
| | $ | 15.0 |
| Total assets at fair value | $ | 15.0 |
| | $ | — |
| | $ | — |
| | $ | 15.0 |
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Summary of estimated future benefit payments |
The following benefit payments (net of retiree contributions), which reflect expected future service, as appropriate, are expected to be paid by the Company: | | | | | | Postretirement Benefits | | (Dollars in millions) | 2020 | $ | 46.1 |
| 2021 | 46.0 |
| 2022 | 45.6 |
| 2023 | 44.9 |
| 2024 | 44.1 |
| Years 2025-2029 | 205.8 |
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