Note 9 – Pension Plans and Other Postretirement Benefits

The Company maintains a qualified defined benefit pension plan (the “Pension Plan”), a nonqualified pension plan and other postretirement benefit plans for certain of its employees. The net periodic benefit cost is based on estimated values and an extensive use of assumptions about the discount rate, expected return on plan assets, the rate of future compensation increases received by the Company’s employees, mortality, turnover, and medical costs. The following tables provide the components of net periodic benefit cost:



	Pension Benefits
	Three Months Ended
	March 31,
	2017		2016
Service cost	$	794	$	826
Interest cost		3,108		3,285
Expected return on plan assets		(4,270)		(4,266)
Amortization of prior service cost		145		145
Amortization of actuarial loss		2,001		1,760
Settlement charge		-		3,028
Special termination benefit charge		-		302
Net periodic benefit cost	$	1,778	$	5,080

	Other
	Postretirement Benefits
		Three Months Ended
		March 31,
	2017		2016
Service cost	$	255	$	255
Interest cost		737		750
Expected return on plan assets		(647)		(711)
Amortization of prior service cost		(127)		(137)
Amortization of actuarial loss		291		267
Net periodic benefit cost	$	509	$	424

Effective July 1, 2015, the Company added a permanent lump sum option to the form of benefit payments offered to participants of the qualified defined benefit pension plan and non-qualified retirement plans upon retirement or termination. During the first quarter of 2016, the lump sum payments paid to participants who elected this option for payments from the non-qualified retirement plans resulted in a settlement charge.

The Company made cash contributions of $7,711 to its Pension Plan during the first three months of 2017, and intends to make additional cash contributions of $7,711 to the Pension Plan during the remainder of 2017.