Savings Plans, Pension Plans and Other Postretirement Employee Benefits (Tables)
|
12 Months Ended |
Dec. 31, 2018 |
General Discussion Of Pension And Other Postretirement Benefits [Abstract] |
|
Schedule of Changes in Projected Benefit Obligations |
The change in benefit obligation, change in plan assets and funded status for company-sponsored benefit plans and obligations are as follows:
|
|
Pension Plans |
|
|
OPEB |
|
(Dollars in thousands) |
|
2018 |
|
|
2017 |
|
|
2018 |
|
|
2017 |
|
Benefit obligation at beginning of year |
|
$ |
(392,371 |
) |
|
$ |
(385,461 |
) |
|
$ |
(30,349 |
) |
|
$ |
(33,337 |
) |
Service cost |
|
|
(8,454 |
) |
|
|
(6,753 |
) |
|
|
(341 |
) |
|
|
(14 |
) |
Interest cost |
|
|
(16,992 |
) |
|
|
(16,096 |
) |
|
|
(1,482 |
) |
|
|
(1,262 |
) |
Actuarial gain (loss) |
|
|
20,445 |
|
|
|
(15,876 |
) |
|
|
2,100 |
|
|
|
471 |
|
Benefits paid |
|
|
31,530 |
|
|
|
31,815 |
|
|
|
3,582 |
|
|
|
3,793 |
|
Plan acquisitions |
|
|
(62,067 |
) |
|
|
— |
|
|
|
(13,542 |
) |
|
|
— |
|
Benefit obligation at end of year |
|
$ |
(427,909 |
) |
|
$ |
(392,371 |
) |
|
$ |
(40,032 |
) |
|
$ |
(30,349 |
) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Fair value of plan assets at beginning of year |
|
$ |
313,862 |
|
|
$ |
289,675 |
|
|
$ |
— |
|
|
$ |
— |
|
Actual (loss) return on plan assets |
|
|
(23,745 |
) |
|
|
49,158 |
|
|
|
— |
|
|
|
— |
|
Employer contributions and benefit payments |
|
|
53,998 |
|
|
|
6,844 |
|
|
|
3,582 |
|
|
|
3,794 |
|
Benefits paid |
|
|
(31,530 |
) |
|
|
(31,815 |
) |
|
|
(3,582 |
) |
|
|
(3,794 |
) |
Plan acquisitions |
|
|
38,700 |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
Fair value of plan assets at end of year |
|
$ |
351,285 |
|
|
$ |
313,862 |
|
|
$ |
— |
|
|
$ |
— |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Amounts recognized in the consolidated balance sheets: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Current liabilities |
|
$ |
(2,121 |
) |
|
$ |
(1,629 |
) |
|
$ |
(3,876 |
) |
|
$ |
(3,705 |
) |
Noncurrent liabilities |
|
|
(74,503 |
) |
|
|
(76,880 |
) |
|
|
(36,156 |
) |
|
|
(26,644 |
) |
Funded status |
|
$ |
(76,624 |
) |
|
$ |
(78,509 |
) |
|
$ |
(40,032 |
) |
|
$ |
(30,349 |
) |
|
Schedule of Actual Asset Allocations of the Pension Benefit Plans' Assets |
The asset allocations of the pension benefit plans’ assets at December 31 by asset category are as follows:
|
|
Pension Plans |
|
Asset Category |
|
|
2018 |
|
|
|
2017 |
|
Domestic and international equities |
|
|
30 |
% |
|
|
37 |
% |
Fixed income securities |
|
|
58 |
|
|
|
47 |
|
Other (includes cash and cash equivalents and alternatives) |
|
|
12 |
|
|
|
16 |
|
Total |
|
|
100 |
% |
|
|
100 |
% |
|
Schedule of Allocation of Plan Assets |
Fair value measurements are as follows:
(Dollars in thousands) |
|
December 31, 2018 |
|
Asset Category |
|
Level 1 |
|
|
Level 2 |
|
|
Total |
|
Cash and cash equivalents |
|
$ |
4,120 |
|
|
$ |
— |
|
|
$ |
4,120 |
|
Domestic equity securities1 |
|
|
31,315 |
|
|
|
23,384 |
|
|
|
54,699 |
|
International equity securities2 |
|
|
— |
|
|
|
21,848 |
|
|
|
21,848 |
|
Emerging markets3 |
|
|
6,909 |
|
|
|
21,225 |
|
|
|
28,134 |
|
Fixed income securities4 |
|
|
204,072 |
|
|
|
— |
|
|
|
204,072 |
|
Alternatives5 |
|
|
— |
|
|
|
38,412 |
|
|
|
38,412 |
|
Total |
|
$ |
246,416 |
|
|
$ |
104,869 |
|
|
$ |
351,285 |
|
(Dollars in thousands) |
|
December 31, 2017 |
|
Asset Category |
|
Level 1 |
|
|
Level 2 |
|
|
Total |
|
Cash and cash equivalents |
|
$ |
3,004 |
|
|
$ |
— |
|
|
$ |
3,004 |
|
Domestic equity securities1 |
|
|
29,178 |
|
|
|
28,382 |
|
|
|
57,560 |
|
International equity securities2 |
|
|
— |
|
|
|
28,413 |
|
|
|
28,413 |
|
Emerging markets3 |
|
|
12 |
|
|
|
29,245 |
|
|
|
29,257 |
|
Fixed income securities4 |
|
|
148,833 |
|
|
|
— |
|
|
|
148,833 |
|
Alternatives5 |
|
|
— |
|
|
|
46,795 |
|
|
|
46,795 |
|
Total |
|
$ |
181,027 |
|
|
$ |
132,835 |
|
|
$ |
313,862 |
|
1 |
Level 1 assets are managed investments in U.S. small/mid-cap equities that track the Russell 2500 Growth index or Russell 2500 Value index. Level 2 assets are collective investments, which are invested in U.S. large-cap equities that track the S&P 500. |
2 |
Level 2 assets are collective investments in equity funds of developed markets outside of the United States and Canada that track the MSCI EAFE Value index or MSCI EAFE Growth index. |
3 |
Level 1 assets are mutual funds which are invested in the common stock of companies located (or with primary operations) in emerging markets that track the MSCI Emerging Markets index. Level 2 assets are collective investments in the common stock of companies located (or with primary operations) in emerging markets that track the MSCI Emerging Markets index. |
4 |
Level 1 assets are mutual funds and investments in a diversified portfolio of fixed income instruments of varying maturities representing corporates, sovereign debt, U.S. treasuries and municipals that track the Bloomberg Barclay's Long-term Credit index. |
5 |
Level 2 assets are collective investments in inflation-indexed bonds, securities of real estate companies, commodity index-linked notes, fixed income securities, foreign currencies, securities of natural resource companies, master limited partnerships, publicly listed infrastructure companies, floating-rate debt, securities of global agriculture companies and securities of global timber companies. |
|
Pre-tax Components of Net Periodic Cost (Benefit) |
Pre-tax components of net periodic cost (benefit) recognized in our Consolidated Statements of Income were as follows:
|
|
Pension Plans |
|
|
OPEB |
|
(Dollars in thousands) |
|
|
2018 |
|
|
|
2017 |
|
|
|
2016 |
|
|
|
2018 |
|
|
|
2017 |
|
|
|
2016 |
|
Service cost |
|
$ |
8,454 |
|
|
$ |
6,753 |
|
|
$ |
6,508 |
|
|
$ |
341 |
|
|
$ |
14 |
|
|
$ |
14 |
|
Interest cost |
|
|
16,992 |
|
|
|
16,096 |
|
|
|
17,020 |
|
|
|
1,482 |
|
|
|
1,262 |
|
|
|
1,421 |
|
Expected return on plan assets |
|
|
(20,035 |
) |
|
|
(18,406 |
) |
|
|
(18,999 |
) |
|
|
— |
|
|
|
— |
|
|
|
— |
|
Amortization of prior service cost (credit) |
|
|
186 |
|
|
|
288 |
|
|
|
518 |
|
|
|
(8,877 |
) |
|
|
(8,877 |
) |
|
|
(8,877 |
) |
Amortization of actuarial loss |
|
|
16,589 |
|
|
|
14,484 |
|
|
|
16,339 |
|
|
|
1,311 |
|
|
|
1,537 |
|
|
|
1,717 |
|
Net periodic cost (benefit) |
|
$ |
22,186 |
|
|
$ |
19,215 |
|
|
$ |
21,386 |
|
|
$ |
(5,743 |
) |
|
$ |
(6,064 |
) |
|
$ |
(5,725 |
) |
|
Schedule of Amounts Recognized in Other Comprehensive Income (Loss) |
Other amounts recognized in our Consolidated Statements of Comprehensive Income were as follows:
|
|
Pension Plans |
|
|
OPEB |
|
(Dollars in thousands) |
|
|
2018 |
|
|
|
2017 |
|
|
|
2016 |
|
|
|
2018 |
|
|
|
2017 |
|
|
|
2016 |
|
Net amount at beginning of year |
|
$ |
100,611 |
|
|
$ |
120,627 |
|
|
$ |
128,244 |
|
|
$ |
(5,055 |
) |
|
$ |
(9,182 |
) |
|
$ |
(13,741 |
) |
Amounts arising during the period: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net loss (gain) |
|
|
23,335 |
|
|
|
(14,874 |
) |
|
|
4,370 |
|
|
|
(2,100 |
) |
|
|
(471 |
) |
|
|
313 |
|
Taxes |
|
|
(6,067 |
) |
|
|
3,869 |
|
|
|
(1,704 |
) |
|
|
546 |
|
|
|
121 |
|
|
|
(122 |
) |
Net amount arising during the period |
|
|
17,268 |
|
|
|
(11,005 |
) |
|
|
2,666 |
|
|
|
(1,554 |
) |
|
|
(350 |
) |
|
|
191 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Amounts reclassified during the period: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Amortization of prior service (cost) credit |
|
|
(185 |
) |
|
|
(288 |
) |
|
|
(518 |
) |
|
|
8,877 |
|
|
|
8,877 |
|
|
|
8,877 |
|
Amortization of actuarial loss |
|
|
(16,589 |
) |
|
|
(14,484 |
) |
|
|
(16,339 |
) |
|
|
(1,311 |
) |
|
|
(1,537 |
) |
|
|
(1,717 |
) |
Taxes |
|
|
4,361 |
|
|
|
5,761 |
|
|
|
6,574 |
|
|
|
(1,967 |
) |
|
|
(2,863 |
) |
|
|
(2,792 |
) |
Reclassification of certain tax effects due to tax law changes1 |
|
|
23,787 |
|
|
|
— |
|
|
|
— |
|
|
|
(372 |
) |
|
|
— |
|
|
|
— |
|
Net reclassifications during the period |
|
|
11,374 |
|
|
|
(9,011 |
) |
|
|
(10,283 |
) |
|
|
5,227 |
|
|
|
4,477 |
|
|
|
4,368 |
|
Net amount at end of year |
|
$ |
129,253 |
|
|
$ |
100,611 |
|
|
$ |
120,627 |
|
|
$ |
(1,382 |
) |
|
$ |
(5,055 |
) |
|
$ |
(9,182 |
) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
1 |
During 2018 we reclassified certain tax effects of tax law changes from accumulated other comprehensive loss to accumulated deficit on our Consolidated Balance Sheets in accordance with ASU 2018-02. See Note 1: Summary of Significant Accounting Policies. |
|
Schedule of Accumulated Other Comprehensive Income (Loss) |
Amounts recognized in accumulated other comprehensive loss on our Consolidated Balance Sheets, net of tax, consist of:
|
|
Pension Plans |
|
|
OPEB |
|
(Dollars in thousands) |
|
2018 |
|
|
2017 |
|
|
|
2018 |
|
|
|
2017 |
|
Net loss |
|
$ |
128,849 |
|
|
$ |
100,070 |
|
|
$ |
7,269 |
|
|
$ |
10,165 |
|
Prior service cost (credit) |
|
|
404 |
|
|
|
541 |
|
|
|
(8,651 |
) |
|
|
(15,220 |
) |
Net amount recognized |
|
$ |
129,253 |
|
|
$ |
100,611 |
|
|
$ |
(1,382 |
) |
|
$ |
(5,055 |
) |
|
Schedule of Expected Future Benefit Payments |
Estimated future benefit payments, which reflect expected future service are as follows for the years indicated:
(Dollars in thousands) |
|
Pension Plans |
|
|
OPEB |
|
2019 |
|
$ |
30,496 |
|
|
$ |
3,876 |
|
2020 |
|
$ |
30,464 |
|
|
$ |
3,727 |
|
2021 |
|
$ |
30,548 |
|
|
$ |
3,502 |
|
2022 |
|
$ |
30,451 |
|
|
$ |
3,349 |
|
2023 |
|
$ |
30,346 |
|
|
$ |
3,175 |
|
2024–2028 |
|
$ |
144,685 |
|
|
$ |
12,984 |
|
|
Weighted Average Assumptions Used to Determine the Benefit Obligation for Non-Deltic and Deltic Plans |
The weighted average assumptions used to determine the benefit obligation for non-Deltic plans as of December 31 were:
|
|
Pension Plans |
|
|
OPEB |
|
|
|
|
2018 |
|
|
|
2017 |
|
|
|
2016 |
|
|
|
2018 |
|
|
|
2017 |
|
|
|
2016 |
|
Discount rate |
|
|
4.40 |
% |
|
|
3.85 |
% |
|
|
4.40 |
% |
|
|
4.40 |
% |
|
|
3.65 |
% |
|
|
4.10 |
% |
Rate of salaried compensation increase |
|
|
3.00 |
% |
|
|
3.00 |
% |
|
|
3.00 |
% |
|
|
— |
|
|
|
— |
|
|
|
— |
|
The weighted average assumptions used to determine the benefit obligation for Deltic plans as of December 31, 2018 were:
|
|
Pension Plans |
|
|
OPEB |
|
|
|
|
2018 |
|
|
|
2018 |
|
Discount rate |
|
|
4.40 |
% |
|
|
4.40 |
% |
Rate of salaried compensation increase |
|
|
4.00 |
% |
|
|
— |
|
|
Schedule of Weighted Average Assumptions Used to Determine the Net Periodic Cost (Benefit) for Non-Deltic and Deltic Plans |
The weighted average assumptions used for non-Deltic plans to determine the net periodic cost (benefit) for the years ended December 31 were:
|
|
Pension Plans |
|
|
OPEB |
|
|
|
|
2018 |
|
|
|
2017 |
|
|
|
2016 |
|
|
|
2018 |
|
|
|
2017 |
|
|
|
2016 |
|
Discount rate |
|
|
3.85 |
% |
|
|
4.40 |
% |
|
|
4.65 |
% |
|
|
3.65 |
% |
|
|
4.10 |
% |
|
|
4.25 |
% |
Expected return on plan assets |
|
|
6.25 |
% |
|
|
6.50 |
% |
|
|
6.50 |
% |
|
|
— |
|
|
|
— |
|
|
|
— |
|
Rate of salaried compensation increase |
|
|
3.00 |
% |
|
|
3.00 |
% |
|
|
3.00 |
% |
|
|
— |
|
|
|
— |
|
|
|
— |
|
The weighted average assumptions used for Deltic plans to determine the net periodic cost (benefit) for the years ended December 31 were:
|
|
Pension Plans |
|
|
OPEB |
|
|
|
|
2018 |
|
|
|
2018 |
|
Discount rate |
|
|
4.30 |
% |
|
|
4.30 |
% |
Expected return on plan assets |
|
|
6.25 |
% |
|
|
— |
|
Rate of salaried compensation increase |
|
|
4.00 |
% |
|
|
— |
|
|
Schedule of Effect of One-Percentage-Point Change in Assumed Health Care Cost Trend Rates |
A one percentage point change in the health care cost trend rates would have the following effects on our December 31, 2018 Consolidated Financial Statements:
(Dollars in thousands) |
|
1% Increase |
|
|
1% Decrease |
|
Effect on total service cost plus interest cost |
|
$ |
118 |
|
|
$ |
(119 |
) |
Effect on accumulated postretirement benefit obligation |
|
$ |
2,021 |
|
|
$ |
(1,584 |
) |
|