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Employee Benefit Plans (Tables)
12 Months Ended
Dec. 31, 2018
Retirement Benefits [Abstract]  
Summary of Plan's Funded Status
The following is a summary of the plan’s funded status as of December 31:
 
(dollars in thousands)
 
2018
 
 
2017
 
Change in benefit obligation
 
 
 
 
 
 
 
 
Benefit obligation at beginning of year
 
$
5,223
 
 
$
4,783
 
Interest cost
 
 
173
 
 
 
191
 
Actuarial (gain) loss
 
 
(824
)
 
 
637
 
Benefits paid
 
 
(79
)
 
 
(380
)
Settlement (gain) loss
 
 
 
 
 
(8
)
Benefit obligation at end of year
 
 
4,493
 
 
 
5,223
 
Change in plan assets
 
 
 
 
 
 
 
 
Fair value of plan assets at beginning of year
 
 
8,513
 
 
 
7,894
 
Actual return on plan assets
 
 
(342
)
 
 
999
 
Benefits paid
 
 
(79
)
 
 
(380
)
Fair value of plan assets at end of year
 
 
8,092
 
 
 
8,513
 
Funded status at the end of the year
 
$
3,599
 
 
$
3,290
 
Amounts Recognized in Balance Sheet
(dollars in thousands)
 
2018
  
2017
 
Amounts recognized in the Balance Sheet
        
Plan benefit cost
 $4,912  $4,539 
Unrecognized net actuarial loss
  (1,313  (1,249
  
 
 
  
 
 
 
Amount recognized in other assets
 $3,599  $3,290 
  
 
 
  
 
 
 
Amounts Recognized in Accumulated Comprehensive Income (Loss)
Amounts recognized in accumulated comprehensive income (loss)
        
Unrecognized net actuarial loss
 $(1,313 $(1,249
Deferred taxes
  275   262 
  
 
 
  
 
 
 
Amount recognized in accumulated comprehensive income (loss), net
 $(1,038 $(987
  
 
 
  
 
 
 
Prepaid Benefit Detail
Prepaid benefit detail
        
Benefit obligation
 $(4,493 $(5,223
Fair value of assets
  8,092   8,513 
Unrecognized net actuarial loss
  1,313   1,249 
  
 
 
  
 
 
 
Prepaid benefit cost
  4,912   4,539 
  
 
 
  
 
 
 
Components of Net Periodic Pension Cost
Components of net periodic pension cost
        
Interest cost
 $173  $191 
Expected return on plan assets
  (576  (552
Recognized net loss due to settlement
  —     86 
Recognized net actuarial loss
  30   28 
  
 
 
  
 
 
 
Net periodic benefit expense
  (373  (247
  
 
 
  
 
 
 
Summary of Plan, Additional Disclosure Information
Additional disclosure information
        
Accumulated benefit obligation
 $4,493  $5,223 
Vested benefit obligation
 $4,493  $5,223 
Discount rate used for net periodic pension cost
  3.50  4.00
Discount rate used for disclosure
  4.25  3.50
Expected return on plan assets
  7.00  7.00
Rate of compensation increase
  N/A   N/A 
Average remaining service (years)
  12   13 
Fair Values of Pension Plan Assets, by Asset Category
Using the same fair value hierarchy described in Note 13, the fair values of the Company’s pension plan assets, by asset category, are as follows:
 
(dollars in thousands)
 
Total
 
 
Level 1
 
 
Level 2
 
 
Level 3
 
December 31, 2018
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Cash equivalents and short term investments
 
$
 
 
$
 
 
$
 
 
$
 
Mutual funds – equities
 
 
3,848
 
 
 
3,848
 
 
 
 
 
 
 
Mutual funds – fixed income
 
 
4,244
 
 
 
4,244
 
 
 
 
 
 
 
Total assets at fair value
 
$
8,092
 
 
$
8,092
 
 
$
 
 
$
 
December 31, 2017
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Cash equivalents and short term investments
 
$
 
 
$
 
 
$
 
 
$
 
Mutual funds – equities
 
 
4,368
 
 
 
4,368
 
 
 
 
 
 
 
Mutual funds – fixed income
 
 
4,145
 
 
 
4,145
 
 
 
 
 
 
 
Total assets at fair value
 
$
8,513
 
 
$
8,513
 
 
$
 
 
$
 
Estimated Future Benefit Payments
Estimated Future Benefit Payments
 
(dollars in thousands)
 
Pension

Benefits
 
2019
 
$
439
 
2020
 
 
15
 
2021
 
 
250
 
2022
 
 
210
 
2023
 
 
1,091
 
      2024 – 2028
 
 
1,407
 
 
 
$
3,412
 
Pension Plan's Weighted-Average Asset Allocations, by Asset Category
The pension plan’s weighted-average asset allocations at December 31, 2018 and 2017, by asset category are as follows:
 
 
 
2018
 
 
2017
 
Mutual funds – fixed income
 
 
52
%
 
 
49
%
Mutual funds – equity
 
 
48
%
 
 
51
%
Cash and equivalents
 
 
0
%
 
 
0
%
Total
 
 
100
%
 
 
100
%
Funded Status (Market Value of Plan Assets Divided by Funding Target) as of July 1
Funded Status (market value of plan assets divided by funding target) as of July 1
,
 
 
 
2018 Valuation
 
 
2017 Valuation
 
Source
 
Report
 
 
Report
 
Bank of Floyd Plan
 
 
106.44
%
 
 
108.63
%