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Pension Benefits (Tables)

12 Months Ended

Dec. 29, 2019

The asset allocations by asset category as of December 29, 2019, were as follows



Asset Category	Percentage Range			Actual
Hedging Assets	75%	-	90%	79	%
Return-Seeking Assets	10%	-	25%	21	%
Cash and Equivalents	0%	-	5%	0	%

Pension Plan

Pension Benefits

Schedule of Components of Net Periodic Pension Benefit Cost

The components of net periodic pension (income)/cost were as follows:



	December 29, 2019									December 30, 2018								December 31, 2017
(In thousands)	Qualified Plans			Non- Qualified Plans			All Plans			Qualified Plans			Non- Qualified Plans		All Plans			Qualified Plans			Non- Qualified Plans		All Plans
Service cost	$	5,113		$	118		$	5,231		$	9,986		$	79	$	10,065		$	9,720		$	79	$	9,799
Interest cost	58,835			8,420			67,255			52,770			7,383		60,153			60,742			7,840		68,582
Expected return on plan assets	(80,877		)	—			(80,877		)	(82,327		)	—		(82,327		)	(102,900		)	—		(102,900		)
Amortization and other costs	18,639			4,381			23,020			26,802			5,114		31,916			29,051			4,318		33,369
Amortization of prior service (credit)/cost	(1,945		)	13			(1,932		)	(1,945		)	—		(1,945		)	(1,945		)	—		(1,945		)
Effect of settlement/curtailment	—			(373		)	(373		)	—			221		221			102,109			—		102,109
Net periodic pension (income)/cost	$	(235	)	$	12,559		$	12,324		$	5,286		$	12,797	$	18,083		$	96,777		$	12,237	$	109,014

Schedule of Defined Benefit Plan Amounts Recognized in Other Comprehensive Income (Loss)

Other changes in plan assets and benefit obligations recognized in other comprehensive income/loss were as follows:



(In thousands)	December 29, 2019			December 30, 2018			December 31, 2017
Net actuarial (gain)/loss	$	(10,292	)	$	29,965		$	22,600
Prior service cost	706			—			—
Amortization of loss	(23,020		)	(31,916		)	(33,369		)
Amortization of prior service credit	1,932			1,945			1,945
Effect of settlement	—			(421		)	(102,109		)
Total recognized in other comprehensive income	(30,674		)	(427		)	(110,933		)
Net periodic pension cost	12,324			18,083			109,014
Total recognized in net periodic benefit (income)/cost and other comprehensive (income)/loss	$	(18,350	)	$	17,656		$	(1,919	)

Schedule of Changes in Projected Benefit Obligations and Plan Assets

The changes in the benefit obligation and plan assets and other amounts recognized in other comprehensive loss were as follows:



	December 29, 2019									December 30, 2018
(In thousands)	Qualified Plans			Non- Qualified Plans			All Plans			Qualified Plans			Non- Qualified Plans			All Plans
Change in benefit obligation
Benefit obligation at beginning of year	$	1,491,398		$	223,066		$	1,714,464		$	1,636,488		$	245,302		$	1,881,790
Service cost	5,113			118			5,231			9,986			79			10,065
Interest cost	58,835			8,420			67,255			52,770			7,383			60,153
Plan participants’ contributions	—			—			—			3			—			3
Amendments	—			706			706			—			—			—
Actuarial loss/(gain)	191,104			32,874			223,978			(123,670		)	(10,221		)	(133,891		)
Curtailments	—			(373		)	(373		)	—			(200		)	(200		)
Benefits paid	(86,163		)	(17,046		)	(103,209		)	(84,179		)	(19,219		)	(103,398		)
Effects of change in currency conversion	—			(17		)	(17		)	—			(58		)	(58		)
Benefit obligation at end of year	1,660,287			247,748			1,908,035			1,491,398			223,066			1,714,464
Change in plan assets
Fair value of plan assets at beginning of year	1,410,151			—			1,410,151			1,567,411			—			1,567,411
Actual return on plan assets	315,148			—			315,148			(81,529		)	—			(81,529		)
Employer contributions	9,531			17,046			26,577			8,445			19,219			27,664
Plan participants’ contributions	—			—			—			3			—			3
Benefits paid	(86,163		)	(17,046		)	(103,209		)	(84,179		)	(19,219		)	(103,398		)
Fair value of plan assets at end of year	1,648,667			—			1,648,667			1,410,151			—			1,410,151
Net amount recognized	$	(11,620	)	$	(247,748	)	$	(259,368	)	$	(81,247	)	$	(223,066	)	$	(304,313	)
Amount recognized in the Consolidated Balance Sheets
Current liabilities	$	—		$	(17,147	)	$	(17,147	)	$	—		$	(17,034	)	$	(17,034	)
Noncurrent liabilities	(11,620		)	(230,601		)	(242,221		)	(81,247		)	(206,032		)	(287,279		)
Net amount recognized	$	(11,620	)	$	(247,748	)	$	(259,368	)	$	(81,247	)	$	(223,066	)	$	(304,313	)
Amount recognized in accumulated other comprehensive loss
Actuarial loss	$	592,774		$	122,617		$	715,391		$	654,579		$	94,123		$	748,702
Prior service credit	(16,842		)	693			(16,149		)	(18,786		)	—			(18,786		)
Total	$	575,932		$	123,310		$	699,242		$	635,793		$	94,123		$	729,916

Schedule of Accumulated Benefit Obligations in Excess of Fair Value of Plan Assets

Information for pension plans with an accumulated benefit obligation in excess of plan assets was as follows:



(In thousands)	December 29, 2019		December 30, 2018
Projected benefit obligation	$	1,908,035	$	1,714,464
Accumulated benefit obligation	$	1,904,979	$	1,712,619
Fair value of plan assets	$	1,648,667	$	1,410,151

Schedule of Assumptions Used

Weighted-average assumptions used in the actuarial computations to determine benefit obligations for qualified pension plans were as follows:



	December 29, 2019		December 30, 2018
Discount rate	3.30	%	4.43	%
Rate of increase in compensation levels	3.00	%	3.00	%

The rate of increase in compensation levels is applicable only for the APP that has not been frozen.

Weighted-average assumptions used in the actuarial computations to determine net periodic pension cost for qualified plans were as follows:



	December 29, 2019		December 30, 2018		December 31, 2017
Discount rate for determining projected benefit obligation	4.43	%	3.75	%	4.31	%
Discount rate in effect for determining service cost	3.87	%	3.88	%	4.74	%
Discount rate in effect for determining interest cost	4.06	%	3.31	%	3.54	%
Rate of increase in compensation levels	3.00	%	2.95	%	2.95	%
Expected long-term rate of return on assets	5.68	%	5.69	%	6.73	%

Weighted-average assumptions used in the actuarial computations to determine benefit obligations for non-qualified plans were as follows:



	December 29, 2019		December 30, 2018
Discount rate	3.17	%	4.35	%
Rate of increase in compensation levels	2.50	%	2.50	%

The rate of increase in compensation levels is applicable only for the foreign plan that has not been frozen.

Weighted-average assumptions used in the actuarial computations to determine net periodic pension cost for non-qualified plans were as follows:



	December 29, 2019		December 30, 2018		December 31, 2017
Discount rate for determining projected benefit obligation	4.35	%	3.67	%	4.17	%
Discount rate in effect for determining interest cost	3.94	%	3.14	%	3.39	%
Rate of increase in compensation levels	2.50	%	2.50	%	2.50	%

Schedule of Allocation of Plan Assets

The following asset allocation guidelines apply to the Return-Seeking Assets:



Asset Category	Percentage Range			Actual
Public Equity	70%	-	100%	94	%
High-Yield Fixed Income	0%	-	15%	0	%
Alternatives	0%	-	15%	6	%
Cash	0%	-	10%	0	%

The asset allocations by asset category for both Long Duration and Return-Seeking Assets, as of December 29, 2019, were as follows:



Asset Category	Percentage Range			Actual
Long Duration Fixed Income	61.6%	-	71%	63	%
Public Equity	20.3%	-	39%	34	%
High-Yield Fixed Income	0%	-	6%	0	%
Alternatives	0%	-	6%	2	%
Cash	0%	-	4%	1	%

The fair value of the assets underlying the Pension Plan and the joint-sponsored APP by asset category are as follows:



	December 31, 2019
(In thousands)	Quoted Prices Markets for Identical Assets		Significant Observable Inputs		Significant Unobservable Inputs		Investment Measured at Net Asset Value⁽³⁾
Asset Category	(Level 1)		(Level 2)		(Level 3)				Total
Equity Securities:
U.S. Equities	$	55,011	$	—	$	—	$	—	$	55,011
International Equities	38,231		—		—		—		38,231
Mutual Funds	46,276		—		—		—		46,276
Registered Investment Companies	52,582		—		—		—		52,582
Common/Collective Funds⁽¹⁾	—		—		—		575,738		575,738
Fixed Income Securities:
Corporate Bonds	—		574,756		—		—		574,756
U.S. Treasury and Other Government Securities	—		182,878		—		—		182,878
Municipal and Provincial Bonds	—		42,812		—		—		42,812
Government Sponsored Enterprises⁽²⁾	—		13,131		—		—		13,131
Other	—		11,745		—		—		11,745
Cash and Cash Equivalents	—		—		—		19,097		19,097
Private Equity	—		—		—		11,345		11,345
Hedge Fund	—		—		—		25,065		25,065
Assets at Fair Value	$	192,100	$	825,322	$	—	$	631,245	$	1,648,667


⁽¹⁾	The underlying assets of the common/collective funds are primarily comprised of equity and fixed income securities. The fair value in the above table represents our ownership share of the NAV of the underlying funds.


⁽²⁾	Represents investments that are not backed by the full faith and credit of the U.S. government.


⁽³⁾	Certain investments that are measured at fair value using the NAV per share (or its equivalent) have not been classified in the fair value hierarchy.



	Fair Value Measurement at December 31, 2018
(In thousands)	Quoted Prices Markets for Identical Assets		Significant Observable Inputs		Significant Unobservable Inputs		Investment Measured at Net Asset Value⁽³⁾
Asset Category	(Level 1)		(Level 2)		(Level 3)				Total
Equity Securities:
U.S. Equities	$	25,459	$	—	$	—	$	—	$	25,459
International Equities	27,805		—		—		—		27,805
Mutual Funds	18,891		—		—		—		18,891
Registered Investment Companies	36,908		—		—		—		36,908
Common/Collective Funds⁽¹⁾	—		—		—		412,815		412,815
Fixed Income Securities:
Corporate Bonds	—		532,466		—		—		532,466
U.S. Treasury and Other Government Securities	—		155,229		—		—		155,229
Group Annuity Contract	—		—		—		64,559		64,559
Municipal and Provincial Bonds	—		42,170		—		—		42,170
Government Sponsored Enterprises⁽²⁾	—		14,278		—		—		14,278
Other	—		13,754		—		—		13,754
Cash and Cash Equivalents	—		—		—		19,667		19,667
Private Equity	—		—		—		12,752		12,752
Hedge Fund	—		—		—		33,398		33,398
Assets at Fair Value	$	109,063	$	757,897	$	—	$	543,191	$	1,410,151


⁽¹⁾	The underlying assets of the common/collective funds are primarily comprised of equity and fixed income securities. The fair value in the above table represents our ownership share of the NAV of the underlying funds.


⁽²⁾	Represents investments that are not backed by the full faith and credit of the U.S. government.

⁽³⁾

Certain investments that are measured at fair value using the NAV per share (or its equivalent) have not been classified in the fair value hierarchy.

Schedule of Expected Benefit Payments

The following benefit payments, which reflect future service for plans that have not been frozen, are expected to be paid:



	Plans
(In thousands)	Qualified		Non- Qualified		Total
2020	$	88,092	$	17,391	$	105,483
2021	89,431		17,105		106,536
2022	91,324		17,005		108,329
2023	92,832		16,700		109,532
2024	94,098		16,411		110,509
2025-2029⁽¹⁾	482,654		79,054		561,708


⁽¹⁾	While benefit payments under these plans are expected to continue beyond 2029 we have presented in this table only those benefit payments estimated over the next 10 years.

Schedule of Multi Employer Plans

Our participation in significant plans for the fiscal period ended December 29, 2019, is outlined in the table below. The “EIN/Pension Plan Number” column provides the Employer Identification Number (“EIN”) and the three-digit plan number. The zone status is based on the latest information that we received from the plan and is certified by the plan’s actuary. A plan is generally classified in critical status if a funding deficiency is projected within four years or five years, depending on other criteria. A plan in critical status is classified in critical and declining status if it is projected to become insolvent in the next 15 or 20 years, depending on other criteria. A plan is classified

in endangered status if its funded percentage is less than 80% or a funding deficiency is projected within seven years. If the plan satisfies both of these triggers, it is classified in seriously endangered status. A plan not classified in any other status is classified in the green zone. The “FIP/RP Status Pending/Implemented” column indicates plans for which a funding improvement plan (“FIP”) or a rehabilitation plan (“RP”) is either pending or has been implemented. The “Surcharge Imposed” column includes plans in a red zone status that are required to pay a surcharge in excess of regular contributions. The last column lists the expiration date(s) of the collective bargaining agreement(s) to which the plans are subject.



	EIN/Pension Plan Number	Pension Protection Act Zone Status		FIP/RP Status Pending/Implemented	(In thousands) Contributions of the Company						Surcharge Imposed	Collective Bargaining Agreement Expiration Date
Pension Fund	EIN/Pension Plan Number	2019	2018	FIP/RP Status Pending/Implemented	2019		2018		2017		Surcharge Imposed	Collective Bargaining Agreement Expiration Date
CWA/ITU Negotiated Pension Plan	13-6212879-001	Critical and Declining as of 1/01/19	Critical and Declining as of 1/01/18	Implemented	$	415	$	408	$	425	No	⁽¹⁾
Newspaper and Mail Deliverers’-Publishers’ Pension Fund⁽²⁾	13-6122251-001	Green as of 6/01/19	Green as of 6/01/18	N/A	1,014		992		995		No	3/30/2020
GCIU-Employer Retirement Benefit Plan	91-6024903-001	Critical and Declining as of 1/01/19	Critical and Declining as of 1/01/18	Implemented	58		42		39		Yes	3/30/2021⁽³⁾
Pressmen’s Publishers’ Pension Fund⁽⁴⁾	13-6121627-001	Green as of 4/01/19	Green as of 4/01/18	N/A	1,213		1,129		963		No	3/30/2021
Paper Handlers’-Publishers’ Pension Fund⁽⁵⁾	13-6104795-001	Critical and Declining as of 4/01/19	Critical and Declining as of 4/01/18	Implemented	100		99		88		Yes	3/30/2021
Contributions for individually significant plans					$	2,800	$	2,670	$	2,510
Total Contributions					$	2,800	$	2,670	$	2,510


⁽¹⁾	There are two collective bargaining agreements requiring contributions to this plan: Mailers, which expires March 30, 2023, and Typographers, which expires March 30, 2020.


⁽²⁾	Elections under the Preservation of Access to Care for Medicare Beneficiaries and Pension Relief Act of 2010: Extended Amortization of Net Investment Losses (IRS Section 431(b)(8)(A)) and the Expanded Smoothing Period (IRS Section 431(b)(8)(B)).

⁽³⁾

We previously had two collective bargaining agreements requiring contributions to this plan. As of December 30, 2018, only one collective bargaining agreement remained for the Stereotypers. The method for calculating actuarial value of assets was changed retroactive to January 1, 2009, as elected by the Board of Trustees and as permitted by IRS Notice 2010-83. This election includes smoothing 2008 investment losses over ten years.

⁽⁴⁾

The Plan sponsor elected two provisions of funding relief under the Preservation of Access to Care for Medicare Beneficiaries and Pension Relief Act of 2010 (PRA 2010) to more slowly absorb the 2008 plan year investment loss, retroactively effective as of April 1, 2009. These included extended amortization under the prospective method and 10-year smoothing of the asset loss for the plan year beginning April 1, 2008.


⁽⁵⁾	Board of Trustees elected funding relief. This election includes smoothing the March 31, 2009 investment losses over 10 years.

The rehabilitation plan for the GCIU-Employer Retirement Benefit Plan includes minimum annual contributions no less than the total annual contribution made by us from September 1, 2008 through August 31, 2009.

The Company was listed in the plans’ respective Forms 5500 as providing more than 5% of the total contributions for the following plans and plan years:



Pension Fund	Year Contributions to Plan Exceeded More Than 5 Percent of Total Contributions (as of Plan’s Year-End)
CWA/ITU Negotiated Pension Plan	12/31/2017
Newspaper and Mail Deliverers’-Publishers’ Pension Fund	5/31/2018 & 5/31/2017⁽¹⁾
Pressmen’s Publisher’s Pension Fund	3/31/2019 & 3/31/2018
Paper Handlers’-Publishers’ Pension Fund	3/31/2019 & 3/31/2018

⁽¹⁾Form 5500 for the plan year ended 5/31/19 was not available as of the date we filed our financial statements.