RETIREMENT PLANS

9 Months Ended

Sep. 30, 2023

RETIREMENT PLANS

RETIREMENT PLANS

10. RETIREMENT PLANS

Multi-employer Defined Benefit Plan

Pension benefits for substantially all of the Company’s Alaska-based employees are provided through the Alaska Electrical Pension Fund (“AEPF”). The Company pays a contractual hourly amount based on employee classification or base compensation to the AEPF. As a multi-employer defined benefit plan, the accumulated benefits and plan assets are not determined for, or allocated separately to, the individual employer. This plan was not in endangered or critical status during the plan year.

Defined Benefit Plan

The Company has noncontributory defined benefit pension and noncontributory defined medical, dental, vision, and life benefit plans for eligible employees who meet certain eligibility criteria. The majority of benefits under the plans are frozen and the plans no longer allow new participants to join.

The Company recorded the net periodic benefit cost identified below (in thousands):

	Three months ended								Nine months ended
	September 30, 2023				September 30, 2022				September 30, 2023				September 30, 2022
	Pension benefits		Postretirement benefits		Pension benefits		Postretirement benefits		Pension benefits		Postretirement benefits		Pension benefits		Postretirement benefits
Operating expense
Service cost	$	38	$	31	$	57	$	36	$	113	$	62	$	171	$	108
Non-operating expense
Interest cost		593		35		565		33		1,780		70		1,695		99
Expected return on plan assets		(953)		—		(925)		—		(2,858)		—		(2,775)		—
Settlements		—		—		—		—		369		—		1,725		—
Net periodic pension expense (benefit)	$	(322)	$	66	$	(303)	$	69	$	(596)	$	132	$	816	$	207

The Company was not required to make contributions to its pension plans during the nine months ended September 30, 2023 and 2022. However, the Company periodically evaluates whether to make discretionary contributions. The Company funds its postretirement benefit plans as claims are made and did not make contributions to its pension plans during the nine months ended September 30, 2023 and 2022.