Compensation Plans

12 Months Ended

Dec. 31, 2022

The Company and its subsidiaries have profit sharing plans in which substantially all employees participate. The plans provide for minimum annual contributions of 5% of eligible compensation; contributions above the minimum are discretionary and vary with each participating businesses's profitability. Employees become eligible to participate in the plan on the first day of the calendar quarter following the first full calendar quarter after the employee's date of hire provided the employee has completed 250 hours of service during the calendar quarter. The plans provide that 40% of the contributions vest immediately and that the remaining 60% vest at varying percentages based upon years of service. Profit sharing expense was $62 million, $50 million and $48 million in 2022, 2021 and 2020, respectively.

The Company has a long-term incentive compensation plan ("LTIP") that provides for compensation to key executives based on the growth in the Company's book value per share over a five year period.

The following table summarizes the outstanding LTIP awards as of December 31, 2022:


	Units Outstanding	Maximum Value		Inception to date earned through December 31, 2022 on outstanding units
2018 grant	188,500	$	18,850,000	$	18,850,000
2019 grant	205,000	20,500,000		17,164,589
2020 grant	216,000	21,600,000		13,943,707
2021 grant	221,750	22,175,000		11,426,223
2022 grant	241,000	24,100,000		6,232,260

The following table summarizes the LTIP expense for each of the three years ended December 31, 2022:


(In thousands)	2022		2021		2020



2015 grant	$	—	$	—	$	(168)
2016 grant	—		(117)		3,176
2017 grant	—		6,012		2,914
2018 grant	4,299		5,503		2,776
2019 grant	6,904		5,309		2,490
2020 grant	6,653		5,065		2,276
2021 grant	6,574		4,906		—
2022 grant	6,232		—		—
Total	$	30,662	$	26,678	$	13,464