XML 70 R53.htm IDEA: XBRL DOCUMENT v3.8.0.1
Pension and Other Post Retirement Benefit Plans (Tables)
 12 Months Ended
Dec. 31, 2017
Retirement Benefits [Abstract]  
Schedule of Plans' Funded Status and Amounts Recognized in the Balance Sheets
The table below sets forth the plans’ funded status and amounts recognized in the consolidated balance sheets at December 31, using measurement dates of December 31, 2017 and 2016.
 
2017
 
2016
Change in Benefit Obligation:
 
 
 
Benefit obligation at beginning of year
$
84,090

 
$
71,747

Service cost
10

 
9

Interest cost
3,353

 
3,273

Actuarial loss
3,686

 
2,679

Benefits paid
(5,179
)
 
(5,263
)
Plan settlements
(3,803
)
 
 
Net transfers in from Ameriana acquisition


 
11,645

Benefit obligation at end of year
$
82,157

 
$
84,090

 
 
 
 
Change in Plan Assets:
 
 
 
Fair value of plan assets at beginning of year
$
83,557

 
$
71,396

Actual return on plan assets
9,968

 
6,959

Employer contributions
670

 
739

Benefits paid
(5,179
)
 
(5,263
)
Plan settlements
(3,803
)
 
 
Ameriana acquisition


 
9,726

End of year
85,213

 
83,557

Funded status at end of year
$
3,056

 
$
(533
)
 
 
 
 
Assets and Liabilities Recognized in the Balance Sheets:
 
 
 
Deferred tax asset
$
3,474

 
$
7,041

Assets
$
7,660

 
$
5,028

Liabilities
$
4,604

 
$
5,561

 
 
 
 
Amounts Recognized in Accumulated Other Comprehensive Income Not Yet Recognized as Components of Net Periodic Cost, net of tax, consist of:
 
 
 
Accumulated loss
$
(10,360
)
 
$
(12,624
)
Prior service cost
(393
)
 
(451
)
 
$
(10,753
)
 
$
(13,075
)
Schedule of Accumulated Benefit Obligation in Excess of Plan Assets
Information for pension plans with an accumulated benefit obligation in excess of plan assets is included in the table below.
 
December 31, 2017
 
December 31, 2016
Projected benefit obligation
$
4,604

 
$
5,561

Accumulated benefit obligation
$
4,604

 
$
5,561

Fair value of plan assets
$
—

 
$
—
Schedule of Net Periodic Pension Costs
The following table shows the components of net periodic pension costs:
 
December 31, 2017
 
December 31, 2016
 
December 31, 2015
Service cost
$
10

 
$
9

 
$
55

Interest cost
3,353

 
3,273

 
3,087

Expected return on plan assets
(4,778
)
 
(4,508
)
 
(4,471
)
Amortization of prior service costs
90

 
79

 
64

Amortization of net loss
1,218

 
1,656

 
1,722

Settlement loss recognized
761

 
 
 
 
Net periodic pension cost
$
654

 
$
509

 
$
457
Schedule of Plan Assets and Benefit Obligations Recognized in Other Comprehensive Income (Loss)
Other changes in plan assets and benefit obligations recognized in other comprehensive income:
 
December 31, 2017
 
December 31, 2016
 
December 31, 2015
Net periodic pension cost
$
654

 
$
509

 
$
457

Net gain (loss)
1,504

 
(228
)
 
1,299

Amortization of loss
1,979

 
1,656

 
1,722

Amortization of prior service cost
90

 
79

 
64

Total recognized in other comprehensive income
3,573

 
1,507

 
3,085

Total recognized in net periodic pension cost and other comprehensive income
$
2,919

 
$
998

 
$
2,628
Schedule of Amounts in Accumulated Other Comprehensive Income to be Recognized over Next Fiscal Year
The estimated net loss and transition obligation for the defined benefit pension plans that will be amortized from accumulated other comprehensive income into net periodic pension cost over the next fiscal year are:

December 31, 2017

December 31, 2016
 
December 31, 2015
Amortization of net loss
$
(830
)

$
(1,208
)
 
$
(1,505
)
Amortization of prior service cost
(87
)

(90
)
 
(61
)
Total
$
(917
)

$
(1,298
)
 
$
(1,566
)
Schedule of Assumptions Used
Significant assumptions include:
 
December 31, 2017
 
December 31, 2016
 
December 31, 2015
Weighted-average Assumptions Used to Determine Benefit Obligation:
 
 
 
 
 
Discount rate
3.60
%
 
4.20
%
 
4.50
%
Rate of compensation increase for accruing active participants
n/a

 
3.00
%
 
3.00
%
Weighted-average Assumptions Used to Determine Cost:

 
 
 
 
Discount rate
4.20
%
 
4.50
%
 
4.00
%
Expected return on plan assets
6.00
%
 
6.00
%
 
6.00
%
Rate of compensation increase for accruing active participants
n/a

 
3.00
%
 
3.00
%
Schedule of Expected Benefit Payments
The following benefit payments, which reflect expected future service, as appropriate, are expected to be paid as of December 31, 2017. The minimum contribution required in 2018 will likely be zero, but the Corporation may decide to make a discretionary contribution during the year.
2018
$
5,586

2019
5,641

2020
5,609

2021
5,476

2022
5,377

After 2022
25,652

 
$
53,341
Schedule of Allocation of Plan Assets
Plan assets are re-balanced quarterly. At December 31, 2017 and 2016, plan assets by category are as follows:
 
December 31, 2017

December 31, 2016
 
Actual

Target

Actual

Target
Cash and cash equivalents
6.0
%

3.0
%

4.5
%

3.0
%
Equity securities
52.4


55.0


55.8


55.0

Debt securities
39.6


40.0


37.7


40.0

Alternative investments
2.0


2.0


2.0


2.0

 
100.0
%

100.0
%

100.0
%

100.0
%
Following is a description of the valuation methodologies used for pension plan assets measured at fair value on a recurring basis, as well as the general classification of pension plan assets pursuant to the valuation hierarchy.

Where quoted market prices are available in an active market, plan assets are classified within Level 1 of the valuation hierarchy.  Level 1 plan assets total $78,280,000 and $64,064,000 as of December 31, 2017 and 2016, respectively, and include cash and cash equivalents, common stocks, mutual funds and corporate bonds and notes.  If quoted market prices are not available, then fair values are estimated by using pricing models, quoted prices of plan assets with similar characteristics or discounted cash flows.  Level 2 plan assets total $6,933,000 and $19,493,000 as of December 31, 2017 and 2016, respectively, and include governmental agencies, taxable municipal bonds, common collective trust investments (which are classified below as Party-in-Interest Investments - common bond fund and common equity fund) and certificates of deposit.  In certain cases where Level 1 or Level 2 inputs are not available, plan assets are classified within Level 3 of the hierarchy.  There are no assets classified within Level 3 of the hierarchy at December 31, 2017 and 2016.
 
 

Fair Value Measurements Using
 
 
 
Quoted Prices in
Active Markets for
Identical Assets
 
Significant Other Observable Inputs
 
Significant
Unobservable
Inputs
December 31, 2017
Fair Value

(Level 1)

(Level 2)

(Level 3)
Cash & Cash Equivalents
$
5,123


$
5,123





Corporate Bonds and Notes
14,598


14,598





Government Agency and Municipal Bonds and Notes
5,679




$
5,679



Certificates of Deposit
1,254




1,254



Party-in-Interest Investments







Common Stock
2,545


2,545





Mutual Funds







Taxable Bond
12,198


12,198






Large Cap Equity
22,137


22,137





Mid Cap Equity
10,676


10,676





Small Cap Equity
5,264


5,264





International Equity
4,030


4,030





Specialty Alternative Equity
1,709


1,709





 
$
85,213

 
$
78,280

 
$
6,933

 




 
 
 
Fair Value Measurements Using
 
 
 
Quoted Prices in
Active Markets for
Identical Assets
 
Significant Other Observable Inputs
 
Significant
Unobservable
Inputs
December 31, 2016
Fair Value
 
(Level 1)
 
(Level 2)
 
(Level 3)
Cash & Cash Equivalents
$
3,778

 
$
3,778

 
 
 
 
Corporate Bonds and Notes
10,646

 
10,646

 
 
 
 
Government Agency and Municipal Bonds and Notes
6,855

 
 
 
$
6,855

 
 
Certificates of Deposit
1,268

 
 
 
1,268

 
 
Party-in-Interest Investments
 
 
 
 
 
 
 
Common Stock
2,278

 
2,278

 
 
 
 
Common Bond Fund
4,744

 
 
 
4,744

 
 
Common Equity Fund
6,626

 
 
 
6,626

 
 
Mutual Funds
 
 
 
 
 
 
 
Taxable Bond
7,974

 
7,974

 
 
 
 
Large Cap Equity
19,611

 
19,611

 
 
 
 
Mid Cap Equity
10,304

 
10,304

 
 
 
 
Small Cap Equity
4,680

 
4,680

 
 
 
 
International Equity
3,093

 
3,093

 
 
 
 
Specialty Alternative Equity
1,700

 
1,700

 
 
 
 
 
$
83,557

 
$
64,064

 
$
19,493