Retirement Plans (Tables)

12 Months Ended

Dec. 31, 2017

Schedule of Accumulated Benefit Obligation, Change in Benefit Obligation, Change in Plan Assets, Plans' Funded Status and Amount Included in Consolidated Balance Sheets

The following tables provide information relating to the accumulated benefit obligation, change in benefit obligation, change in plan assets, the plans’ funded status and the amount included in the consolidated balance sheets for the qualified and non-qualified plans described above (collectively, the Plans):



December 31	2017			2016
(in thousands)
Accumulated benefit obligation	$	181,412		$	152,586
Projected benefit obligation at beginning of year	$	152,916		$	151,015
Acquisition	29,613			—
Service cost	(13		)	(15		)
Interest cost	6,846			6,129
Actuarial loss	9,061			3,723
Benefits paid	(9,728		)	(7,936		)
Settlement	(7,158		)	—
Projected benefit obligation at end of year	$	181,537		$	152,916
Fair value of plan assets at beginning of year	$	136,958		$	132,762
Acquisition	24,961			—
Actual return on plan assets	17,327			10,787
Corporation contribution	1,345			1,345
Benefits paid	(9,728		)	(7,936		)
Settlement	(7,158		)	—
Fair value of plan assets at end of year	$	163,705		$	136,958
Funded status of plans	$	(17,832	)	$	(15,958	)

Schedule of Actuarial Assumptions Used in Determination of Projected Benefit Obligation

Actuarial assumptions used in the determination of the projected benefit obligation in the Plans are as follows:



Assumptions at December 31	2017		2016
Weighted average discount rate	3.53	%	3.96	%
Rates of average increase in compensation levels	3.50		3.50

Schedule of Net Periodic Pension Cost and Other Comprehensive Income

The net periodic pension cost and other comprehensive income for the Plans included the following components:



Year Ended December 31	2017			2016			2015
(in thousands)
Service cost	$	(13	)	$	(15	)	$	(14	)
Interest cost	6,846			6,129			5,897
Expected return on plan assets	(11,121		)	(9,413		)	(9,964		)
Transition amount amortization	—			—			—
Prior service credit amortization	7			7			7
Actuarial loss amortization	2,461			2,383			2,112
Net periodic pension income	(1,820		)	(909		)	(1,962		)
Settlement charge	168			—			—
Total pension income	(1,652		)	(909		)	(1,962		)
Other changes in plan assets and benefit obligations recognized in other comprehensive income:
Current year actuarial loss	2,855			2,349			6,914
Amortization of actuarial loss	(2,461		)	(2,383		)	(2,112		)
Amortization of prior service credit	(7		)	(7		)	(7		)
Amortization of transition asset	—			—			—
Total amount recognized in other comprehensive income	387			(41		)	4,795
Total amount recognized in net periodic benefit cost and other comprehensive income	$	(1,265	)	$	(950	)	$	2,833

Schedule of Actuarial Assumptions Used in Determination of Net Periodic Pension Cost

The plans have an actuarial measurement date of December 31. Actuarial assumptions used in the determination of the net periodic pension cost in the Plans are as follows:



Assumptions for the Year Ended December 31	2017		2016		2015
Weighted average discount rate	3.96	%	4.19	%	3.85	%
Rates of increase in compensation levels	3.50		3.50		3.50
Expected long-term rate of return on assets	7.25		7.25		7.25

Schedule of Projected Benefit Obligation, Accumulated Benefit Obligation and Fair Value of Plan Assets for Qualified and Non-Qualified Pension Plans

As of December 31, 2017 and 2016, the projected benefit obligation, accumulated benefit obligation and fair value of plan assets for the qualified and non-qualified pension plans were as follows:



(in thousands)	Qualified Pension Plans				Non-Qualified Pension Plans
December 31	2017		2016		2017		2016
Projected benefit obligation	$	161,632	$	132,902	$	19,905	$	20,014
Accumulated benefit obligation	161,632		132,902		19,780		19,684
Fair value of plan assets	163,705		136,958		—		—

Schedule of Impact of Changes in Discount Rate, Return on Plan Assets on Pension Expense

The impact of changes in the discount rate and expected long-term rate of return on plan assets would have had the following effects on 2017 pension expense:



(in thousands)	Estimated Effect on Pension Expense
0.5% decrease in the discount rate	$	(97	)
0.5% decrease in the expected long-term rate of return on plan assets	767

Schedule of Estimated Future Cash Flows

The following table provides information regarding estimated future cash flows relating to the Plans at December 31, 2017 (in thousands):



Expected employer contributions:	2018	$	1,424
Expected benefit payments:	2018	9,474
	2019	9,957
	2020	10,227
	2021	10,390
	2022	10,501
	2023 – 2027	53,902

Schedule of Contribution Expense

Our contribution expense is presented in the following table:



Year Ended December 31	2017		2016		2015
(in thousands)
401(k) contribution expense	$	12,286	$	9,069	$	8,055

Schedule of Asset Allocations for Pension Plans

The following table presents asset allocations for our pension plans as of December 31, 2017 and 2016, and the target allocation for 2018, by asset category:



	Target Allocation	Percentage of Plan Assets
December 31	2018	2017		2016
Asset Category
Equity securities	45 - 65	64	%	61	%
Debt securities	30 - 50	33		35
Cash equivalents	0 - 10	3		4

Schedule of Fair Values of Pension Plan Assets by Asset Category

The fair values of our pension plan assets by asset category are as follows:



(in thousands)	Level 1		Level 2		Level 3		Total
December 31, 2017
Asset Class
Cash	$	5,613	$	—	$	—	$	5,613
Equity securities:
F.N.B. Corporation	7,948		—		—		7,948
Other large-cap U.S. financial services companies	4,269		—		—		4,269
Other large-cap U.S. companies	45,583		—		—		45,583
International companies	576		—		—		576
Other equity	726		—		—		726
Mutual fund equity investments:
U.S. equity index funds:
U.S. large-cap equity index funds	3,489		—		—		3,489
U.S. small-cap equity index funds	3,983		—		—		3,983
U.S. mid-cap equity index funds	4,836		—		—		4,836
Non-U.S. equities growth fund	13,965		—		—		13,965
U.S. equity funds:
U.S. mid-cap	9,413		—		—		9,413
U.S. small-cap	3,165		—		—		3,165
Other	5,681		—		—		5,681
Fixed income securities:
U.S. Treasury bonds	—		121		—		121
U.S. government agencies	—		37,671		—		37,671
Corporate bonds	—		5,532		—		5,532
Fixed income mutual funds:
U.S. investment-grade fixed income securities	11,134		—		—		11,134
Non-U.S. fixed income securities	—		—		—		—
Total	$	120,381	$	43,324	$	—	$	163,705



(in thousands)	Level 1		Level 2		Level 3		Total
December 31, 2016
Asset Class
Cash	$	5,125	$	—	$	—	$	5,125
Equity securities:
F.N.B. Corporation	9,219		—		—		9,219
Other large-cap U.S. financial services companies	2,999		—		—		2,999
Other large-cap U.S. companies	36,570		—		—		36,570
International companies	718		—		—		718
Other equity	596		—		—		596
Mutual fund equity investments:
U.S. equity index funds:
U.S. large-cap equity index funds	559		—		—		559
U.S. small-cap equity index funds	3,035		—		—		3,035
U.S. mid-cap equity index funds	3,795		—		—		3,795
Non-U.S. equities growth fund	9,555		—		—		9,555
U.S. equity funds:
U.S. mid-cap	7,615		—		—		7,615
U.S. small-cap	3,173		—		—		3,173
Other	5,928		—		—		5,928
Fixed income securities:
U.S. government agencies	—		36,891		—		36,891
Fixed income mutual funds:
U.S. investment-grade fixed income securities	10,766		—		—		10,766
Non-U.S. fixed income securities	414		—		—		414
Total	$	100,067	$	36,891	$	—	$	136,958