Employee Benefits

3 Months Ended

Mar. 31, 2019

Note 8. Employee Benefits

The Company provides pension benefits to its employees under a noncontributory, defined benefit plan which is funded on a current basis in compliance with the requirements of the Employee Retirement Income Security Act of 1974 (“ERISA”) and recognizes costs over the estimated employee service period.

The Company also has a Supplemental Executive Insurance/Retirement Plan (the “Supplemental Plan”) which is limited to certain officers and employees of the Company. The Supplemental Plan is accrued on a current basis and recognizes costs over the estimated employee service period.

Executive officers of the Company and its subsidiaries who have at least one year of service may participate in the Supplemental Plan. The Supplemental Plan is voluntary and participants are required to contribute to its cost. Life insurance policies, which are owned by the Company, are purchased covering the lives of each participant.

Components of Net Periodic Benefit Cost for the Three Months Ended March 31,


	Pension Benefits						Supplemental Insurance/ Retirement Plan
	2019			2018			2019		2018
	(in thousands)
Service cost	$	276		$	353		$	256	$	277
Interest		473			370			482		346
Expected return on plan assets		(819	)		(954	)		—		—
Recognized prior service cost (benefit)		—			(25	)		28		29
Recognized net actuarial losses		229			227			109		176
Net periodic benefit (credit) cost	$	159		$	(29	)	$	875	$	828

Approximately $

502,000

and $

169,000

of costs other than service costs, from the table above, are included in other expenses for the three months ended March 31, 2019 and 2018, respectively.

Contributions

The Company does not intend to contribute to the Defined Benefit Pension Plan in 2019.