XML 53 R39.htm IDEA: XBRL DOCUMENT v3.20.4
RETIREMENT BENEFITS (Tables)
 12 Months Ended
Dec. 31, 2020
Changes in Benefit Obligations and Plan Assets as Well as Funded Status of Retirement Plans
The changes in benefit obligations and plan assets as well as the funded status of our retirement plans at December 31 were as follows:
 Pension BenefitsOther
Postretirement Benefits
 2020201920202019
 (Dollars in thousands)
Change in benefit obligation
Obligation at beginning of year$855,509 $751,625 $21,718 $19,186 
Service cost13,638 12,505 88 80 
Interest cost23,074 28,316 566 759 
Actuarial losses 100,839 103,918 1,440 3,477 
Acquisition 8,930 — — — 
Plan amendments— 528 — — 
Benefits paid(41,332)(39,508)(1,765)(1,888)
Participants’ contributions— — 105 104 
Foreign currency exchange rate changes10,757 (1,875)— — 
Obligation at end of year971,415 855,509 22,152 21,718 
Change in plan assets
Fair value of plan assets at beginning of year869,070 732,502 — — 
Actual return on plan assets126,249 174,014 — — 
Employer contributions2,358 2,062 1,660 1,784 
Participants’ contributions— — 105 104 
Benefits paid(41,332)(39,508)(1,765)(1,888)
Fair value of plan assets at end of year956,345 869,070 — — 
Funded status$(15,070)$13,561 $(22,152)$(21,718)
 Pension BenefitsOther
Postretirement Benefits
 2020201920202019
 (Dollars in thousands)
Amounts recognized in the consolidated
balance sheets
Non-current assets$125,740 $122,552 $— $— 
Current liabilities(2,674)(2,225)(1,665)(1,794)
Non-current liabilities(138,136)(106,766)(20,487)(19,924)
Net amount recognized$(15,070)$13,561 $(22,152)$(21,718)
Amounts recognized in accumulated other
comprehensive loss (income)
Net actuarial loss (gain)$230,058 $193,061 $(1,344)$(3,123)
Prior service cost (credit)974 1,179 (4,467)(6,405)
Net amount recognized$231,032 $194,240 $(5,811)$(9,528)
Benefits Expected to be Paid from Pension and Other Postretirement Benefit Plans, Which Reflect Future Years of Services and Medicare Subsidy Expected to be Received
The benefits expected to be paid from our pension and other postretirement benefit plans, which reflect future years of service, are as follows (dollars in thousands):
Pension
Benefits		Other
Postretirement
Benefits
2021$43,591 $1,665 
202244,786 1,515 
202345,998 1,464 
202446,887 1,422 
202548,032 1,351 
2026-2030247,776 6,284 
$477,070 $13,701 
Components of Net Periodic Benefit Cost
The components of the net periodic benefit credit for each of the years ended December 31 were as follows:
 
 Pension BenefitsOther Postretirement Benefits
 202020192018202020192018
 (Dollars in thousands)
Service cost$13,638 $12,505 $14,238 $88 $80 $99 
Interest cost23,074 28,316 25,316 566 759 640 
Expected return on plan assets(72,122)(60,567)(68,575)— — — 
Amortization of prior service cost
(credit)
205 115 173 (1,937)(2,330)(1,392)
Amortization of actuarial losses
(gains)
11,859 16,399 7,378 (339)(488)(506)
Net periodic benefit credit$(23,346)$(3,232)$(21,470)$(1,622)$(1,979)$(1,159)
Multiemployer Pension Plans Further information on these multiemployer plans for the years ended December 31, 2020, 2019 and 2018 is as follows:
Pension FundEIN/Pension Plan
Number		Pension
Protection
Act Zone
Status		FIP / RP
Status
Pending /
Implemented		ContributionsSurcharge
Imposed
20202019202020192018
     (Dollars in thousands) 
Central States, Southeast & Southwest Areas Pension Fund (1)
36-6044243/001Red
(2)
Red
(2)
Implemented$— $1,166 $1,797 No
United Food & Commercial
Workers — Local 1 Pension Fund (3)
16-6144007/001Red
(2)
Red
(2)
Implemented240 245 237 No
IAM National Pension Fund (4)
51-6031295/002RedRedImplemented2,746 2,667 2,587 No
All Other 775 707 671 
Total Contributions$3,761 $4,785 $5,292 
______________________
(1)    In 2019, we withdrew completely from this pension fund. See Note 4 for further information.
(2)    Under the Multiemployer Pension Reform Act of 2014, the status of this pension fund was critical and declining, as defined under such Act.
(3)    The collective bargaining agreement related to this pension fund expires on January 14, 2024. A single company that was making over 80 percent of the contributions for this pension fund filed for Chapter 11 bankruptcy during 2018 and withdrew from this pension fund without paying its withdrawal liability. For 2019 and 2018, the fund actuary for this pension fund projected insolvency for this pension fund in 2026 and 2025, respectively.
(4)    The applicable collective bargaining agreements related to this pension fund expire at various times through February 28, 2023. Although this pension fund was formally certified in the yellow zone in 2019, the trustees of this pension plan elected voluntarily to place this pension plan in the red zone to take advantage of certain provisions of the Pension Protection Act even though this pension plan had a funded status of 89 percent at the end of 2018 and a funded status of 87 percent at the end of 2019.
Weighted Average Asset Allocation for Pension Plans and Target Allocation
The weighted average asset allocation for our pension plans at December 31, 2020 and 2019 and target allocation for 2020 was as follows:
 Target
Allocation		Actual Allocation
 20202019
Equity securities—U.S.49 %47 %47 %
Equity securities—International9 %10 %10 %
Debt securities42 %42 %42 %
Cash and cash equivalents— 1 %1 %
100 %100 %100 %
Fair Value of Plan Assets by Asset Category
The fair value of our plan assets by asset category consisted of the following at December 31:
20202019
 (Dollars in thousands)
Equity securities—U.S.$453,135 $414,260 
Equity securities—International94,919 86,822 
Debt securities397,529 362,020 
Cash and cash equivalents10,762 5,968 
$956,345 $869,070 
Benefit Obligation  
Weighted Average Actuarial Assumptions
Our principal domestic pension and other postretirement benefit plans used the following weighted average actuarial assumptions to determine the benefit obligations at December 31:
20202019
Discount rate2.5 %3.4 %
Expected return on plan assets8.5 %8.5 %
Rate of compensation increase2.5 %2.5 %
Health care cost trend rate:
Assumed for next year6.2 %6.3 %
Ultimate rate4.2 %4.3 %
Year that the ultimate rate is reached20362035
Benefit Costs  
Weighted Average Actuarial Assumptions
Our principal domestic pension and other postretirement benefit plans used the following weighted average actuarial assumptions to determine net periodic benefit credit for the years ended December 31:
 
202020192018
Discount rate3.4 %4.5 %3.8 %
Expected return on plan assets8.5 %8.5 %8.5 %
Rate of compensation increase2.5 %2.6 %2.6 %
Health care cost trend rate6.3 %6.4 %6.2 %