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Benefit Plans (Tables)
 12 Months Ended
Sep. 28, 2019
Retirement Benefits [Abstract]  
Schedule of Changes in Projected Benefit Obligations
The reconciliation of the beginning and ending balances of the PBO for the Defined Benefit Plan for the fiscal years indicated is presented in the following table:
 
Benefit Obligation
(in thousands)
2019
 
2018
Projected benefit obligation balance, beginning of year
$
144,484

 
$
144,737

Interest cost
6,047

 
5,428

Assumption changes (1)
21,805

 
770

Actuarial (gain) loss
(1,423
)
 
686

Benefits paid
(7,341
)
 
(7,137
)
Projected benefit obligations balance, end of year
$
163,572

 
$
144,484

 
(1) The assumption changes referenced in the table above result from (i) changes in the utilized discount rate to value Blue Bird’s future obligations, and (ii) updates to the mortality table projections used in the calculation of the benefit obligations.
Schedule of Changes in Fair Value of Plan Assets
The summary and reconciliation of the beginning and ending balances of the fair value of the Defined Benefit Plan assets are as follows:
 
Plan Assets
(in thousands)
2019
 
2018
Fair value of plan assets, beginning of year
$
123,471

 
$
112,311

Actual return on plan assets
1,918

 
12,348

Employer contribution
—

 
5,949

Expenses
—

 
—

Benefits paid
(7,341
)
 
(7,137
)
Fair value of plan assets, end of year
$
118,048

 
$
123,471
Schedule of Net Funded Status
The net pension liability is reflected in long-term liabilities on the Consolidated Balance Sheets.
 
 
Funded Status
(in thousands)
 
September 28, 2019
 
September 29, 2018
Benefit obligation
 
$
163,572

 
$
144,484

Fair value of plan assets
 
118,048

 
123,471

Funded status
 
(45,524
)
 
(21,013
)
Net pension liability recognized
 
$
(45,524
)
 
$
(21,013
)
Schedule of Allocation of Plan Assets
The following table sets forth, by level within the fair value hierarchy, a summary of the Defined Benefit Plan’s investments measured at fair value:
(in thousands)
 
Level 1
 
Level 2
 
Level 3
 
Total
September 28, 2019
 
 
 
 
 
 
 
 
Assets:
 
 
 
 
 
 
 
 
Equity securities
 
$
—

 
$
79,627

 
$
—

 
$
79,627

Debt securities
 
—

 
38,421

 
—

 
38,421

Total assets at fair value
 
$
—

 
$
118,048

 
$
—

 
$
118,048

 
 
 
 
 
 
 
 
 
September 29, 2018
 
 
 
 
 
 
 
 
Assets:
 
 
 
 
 
 
 
 
Equity securities
 
$
—

 
$
86,410

 
$
—

 
$
86,410

Debt securities
 
—

 
37,061

 
—

 
37,061

Total assets at fair value
 
$
—

 
$
123,471

 
$
—

 
$
123,471

The Defined Benefit Plan asset allocations at the dates indicated, the measurement date, are as follows: 
 
 
September 28, 2019
 
September 29, 2018
Equity securities
 
67
%
 
70
%
Debt securities
 
33
%
 
30
%
Total securities
 
100
%
 
100
%
Schedule of Defined Benefit Plan Amounts Recognized in Other Comprehensive Income (Loss)
The following table represents net periodic benefit cost and changes in plan assets and benefit obligations recognized in other comprehensive income, before tax effect, for the fiscal years presented:
(in thousands)
2019
 
2018
 
2017
Interest cost
$
6,047

 
$
5,428

 
$
5,063

Expected return on plan assets
(7,619
)
 
(7,105
)
 
(6,359
)
Amortization of net loss
2,758

 
3,521

 
6,291

Net periodic benefit cost (1)
$
1,186

 
$
1,844

 
$
4,995

Net loss (gain)
$
26,083

 
$
(3,787
)
 
$
(17,232
)
Amortization of net loss
(2,758
)
 
(3,521
)
 
(6,291
)
Total loss (gain) recognized in other comprehensive income
$
23,325

 
$
(7,308
)
 
$
(23,523
)
Total loss (gain) recognized in net periodic pension benefit cost and other comprehensive income
$
24,511

 
$
(5,464
)
 
$
(18,528
)
Schedule of Assumptions Used
The following actuarial assumptions were used to determine the benefit obligations at the dates indicated:
Weighted-average assumptions used to determine benefit obligations:
 
September 28, 2019
 
September 29, 2018
Discount rate
 
3.10
%
 
4.30
%
Rate of compensation increase
 
N/A

 
N/A


Weighted-average assumptions used to determine net periodic benefit cost:
 
September 28, 2019
 
September 29, 2018
Discount rate
 
4.30
%
 
3.85
%
Expected long-term return on plan assets
 
6.37
%
 
6.37
%
Rate of compensation increase
 
N/A

 
N/A
Schedule of Expected Benefit Payments
The following benefit payments are expected to be paid out of the Company's pension assets to the plan participants in the fiscal years indicated:
(in thousands)
Expected Payments
2020
$
7,958

2021
8,057

2022
8,251

2023
8,508

2024
8,758

2025 - 2029
45,678

Total expected future benefit payments
$
87,210