Employee Benefit Plans

9 Months Ended

Sep. 30, 2019

Retirement Benefits, Description [Abstract]

Employee Benefit Plans

EMPLOYEE BENEFIT PLANS

BancShares sponsors noncontributory defined benefit pension plans for its qualifying employees (BancShares Plan) and former First Citizens Bancorporation, Inc. employees (Bancorporation Plan). The service cost component of net periodic benefit cost is included in salaries and wages while all other non-service cost components are included in other noninterest expense.

BancShares Plan

For the three and nine months ended September 30, 2019 and 2018, the components of net periodic benefit cost are as follows:

	Three months ended September 30						Nine months ended September 30
(Dollars in thousands)	2019			2018			2019			2018
Service cost	$	2,628		$	3,396		$	7,886		$	10,187
Interest cost	7,557			7,093			22,669			21,281
Expected return on assets	(12,876		)	(11,966		)	(38,629		)	(35,899		)
Amortization of prior service cost	15			19			43			59
Amortization of net actuarial loss	2,099			3,398			6,297			10,192
Net periodic (benefit) cost	$	(577	)	$	1,940		$	(1,734	)	$	5,820

Bancorporation Plan

For the three and nine months ended September 30, 2019 and 2018, the components of net periodic benefit cost are as follows:

	Three months ended September 30						Nine months ended September 30
(Dollars in thousands)	2019			2018			2019			2018
Service cost	$	563		$	643		$	1,689		$	1,929
Interest cost	1,759			1,588			5,276			4,767
Expected return on assets	(2,771		)	(3,106		)	(8,314		)	(9,322		)
Amortization of net actuarial loss	631			78			1,895			235
Net periodic cost (benefit)	$	182		$	(797	)	$	546		$	(2,391	)

No discretionary contributions were made during the three or nine months ended September 30, 2019 to the BancShares pension plan. Discretionary contributions of $3.5 million were made during the three and nine months ended September 30, 2019 to the Bancorporation pension plan. Management evaluates the need for its pension plan contributions on a periodic basis based upon numerous factors including, but not limited to, the funded status of the plans, returns on plan assets, discount rates and the current economic environment.