Pension and Postretirement Benefits

12 Months Ended

Dec. 31, 2020

Compensation And Retirement Disclosure [Abstract]

Pension and Postretirement Benefits

Note 18. Pension and Postretirement Benefits

Domestic Plans

We have frozen defined benefit pension plans held in trust for certain employees which we funded. We also maintain certain unfunded defined benefit pension plans, which provide supplemental benefits to select management employees. These plans use traditional defined benefit formulas based on years of service and final average compensation. Funding policies provide that payments to defined benefit pension trusts shall be at least equal to the minimum funding required by applicable regulations.

We also have certain defined benefit postretirement plans that provide medical and life insurance for certain eligible employees, retirees, and dependents. The related postretirement benefit liabilities are recognized over the period that services are provided by employees. In addition, we retained the obligations for these benefits for retirees of certain sold businesses. While the plans have no funding requirements, we may fund the plans.

The components of net periodic benefit cost and other amounts recognized in other comprehensive income (loss) of our pension plans consist of the following:

	December 31,
(in thousands)	2020			2019			2018
Net periodic benefit cost:
Service cost	$	—		$	61		$	64
Interest cost		653			861			780
Expected return on plan assets		(145	)		(99	)		(193	)
Recognized net actuarial loss		526			403			494
Net periodic benefit cost		1,034			1,226			1,145
Other changes in plan assets and benefit obligations recognized in other    comprehensive income:
Net actuarial (gain) loss		1,587			1,305			(76	)
Reversal of amortization item:
Net actuarial loss		(526	)		(403	)		(494	)
Total recognized in other comprehensive income		1,061			902			(570	)
Total recognized in net periodic benefit cost and other    comprehensive income	$	2,095		$	2,128		$	575

The components of net periodic benefit cost and other amounts recognized in other comprehensive income of our postretirement benefit plans consist of the following:

	December 31,
(in thousands)	2020			2019			2018
Net periodic benefit cost:
Service cost	$	51		$	64		$	80
Interest cost		296			458			449
Amortization of prior service credit		(146	)		(189	)		(205	)
Recognized net actuarial loss		18			112			405
Net periodic benefit cost		219			445			729
Other changes in plan assets and benefit obligations recognized in other    comprehensive income:
Net actuarial (gain) loss		688			(1,117	)		170
Prior service credit		—			—			—
Reversal of amortization item:
Net actuarial loss		(18	)		(112	)		(405	)
Prior service credit		146			189			205
Total recognized in other comprehensive income		816			(1,040	)		(30	)
Total recognized in net periodic benefit cost and other    comprehensive income	$	1,035		$	(595	)	$	699

The following table indicates the funded status of the plans as of December 31:

													Postretirement
	Funded Plans						Unfunded Plans						Benefit Plans
(in thousands)	2020			2019			2020			2019			2020			2019
Change in benefit obligation:
Benefit obligation at beginning of year	$	15,572		$	14,235		$	9,462		$	9,271		$	11,986		$	13,454
Service cost		—			—			—			61			51			64
Interest cost		406			527			247			333			296			458
Actuarial adjustments		1,242			1,611			784			753			688			(1,117	)
Benefits paid		(889	)		(801	)		(717	)		(956	)		(802	)		(873	)
Benefit obligation at end of year		16,331			15,572			9,776			9,462			12,219			11,986
Change in plan assets:
Fair value of plan assets at beginning of year		11,291			10,299			—			—			—			—
Actual return on plan assets		584			1,157			—			—			—			—
Company contributions		892			636			717			956			802			873
Benefits paid		(889	)		(801	)		(717	)		(956	)		(802	)		(873	)
Fair value of plan assets at end of year		11,878			11,291			—			—			—			—
Funded status at end of year	$	(4,453	)	$	(4,281	)	$	(9,776	)	$	(9,462	)	$	(12,219	)	$	(11,986	)

The net amounts recognized in the Consolidated Balance Sheets under the caption “Pension and postretirement benefits” as of December 31 are as follows:

									Postretirement
	Funded Plans				Unfunded Plans				Benefit Plans
(in thousands)	2020		2019		2020		2019		2020		2019
Other current liabilities	$	—	$	—	$	687	$	703	$	931	$	1,019
Non-current liabilities		4,453		4,281		9,089		8,759		11,288		10,967
Net amount recognized	$	4,453	$	4,281	$	9,776	$	9,462	$	12,219	$	11,986

Amounts recognized in AOCI as of December 31 are as follows:

											Postretirement
	Funded Plans					Unfunded Plans					Benefit Plans					Total		Total
(in thousands)	2020		2019			2020		2019			2020		2019			2020		2019
Net actuarial loss	$	9,252	$	8,856		$	3,409	$	2,744		$	1,990	$	1,320		$	14,651	$	12,920
Prior service credit		—		—			—		—			189		43			189		43
Subtotal		9,252		8,856			3,409		2,744			2,179		1,363			14,840		12,963
Less tax effect		—		(2,236	)		—		(693	)		—		(344	)		—		(3,273	)
Total	$	9,252	$	6,620		$	3,409	$	2,051		$	2,179	$	1,019		$	14,840	$	9,690

The fair value of the domestic plans’ assets by asset class are as follows:

			Fair Value Measurements at December 31, 2020
			Quoted Prices in Active Markets		Significant Other Observable Inputs		Significant Unobservable Inputs
(in thousands)	Total		(Level 1)		(Level 2)		(Level 3)
Domestic pension plans:
Fixed income securities	$	6,430	$	6,430	$	—	$	—
Equity securities		4,485		4,485		—		—
Cash		774		774		—		—
Other		189		—		189		—
Total	$	11,878	$	11,689	$	189	$	—

			Fair Value Measurements at December 31, 2019
			Quoted Prices in Active Markets		Significant Other Observable Inputs		Significant Unobservable Inputs
(in thousands)	Total		(Level 1)		(Level 2)		(Level 3)
Domestic pension plans:
Fixed income securities	$	5,267	$	5,267	$	—	$	—
Equity securities		5,518		5,518		—		—
Cash		316		316		—		—
Other		190		—		190		—
Total	$	11,291	$	11,101	$	190	$	—

We employ a total return investment approach whereby a mix of equities and fixed income securities is used to maximize the long-term return of plan assets for a prudent level of risk. Risk tolerance is established through careful consideration of plan liabilities, plan funded status, and corporate financial condition. The investment portfolio contains a diversified blend of equity and fixed income securities. Furthermore, equity securities are diversified across U.S. and non-U.S. stocks, as well as growth and value. Investment risk is measured and monitored on an ongoing basis through quarterly investment portfolio reviews and annual liability measurements.

We utilize a building-block approach in determining the long-term expected rate of return on plan assets. Historical markets are studied and long-term historical relationships between equity securities and fixed income securities are preserved consistent with the widely accepted capital market principle that assets with higher volatility generate a greater return over the long run. Current market factors such as inflation and interest rates are evaluated before long-term capital market assumptions are determined. The long-term portfolio return also considers diversification and rebalancing. Peer data and historical returns are reviewed relative to our assumed rates for reasonableness and appropriateness.

The following pension and postretirement benefit payments, which reflect expected future service, as appropriate, are expected to be paid:

(in thousands)	Funded Plans		Unfunded Plans		Postretirement Benefit Plans
2021	$	1,439	$	695	$	943
2022	$	1,020	$	699	$	925
2023	$	1,012	$	684	$	902
2024	$	975	$	666	$	875
2025	$	1,044	$	648	$	835
2026-2030	$	4,641	$	2,919	$	3,541

Foreign Pension Plans

Certain of our foreign operations also maintain defined benefit pension plans held in trust for certain employees which are funded by the companies, and unfunded defined benefit pension plans providing supplemental benefits to select management employees. These plans use traditional defined benefit formulas based on years of service and final average compensation. Funding policies provide that

payments to defined benefit pension trusts shall be at least equal to the minimum funding required by applicable regulations. The components of net periodic benefit cost and other amounts recognized in other comprehensive income (loss) included the following:

	December 31,
(in thousands)	2020			2019			2018
Net periodic benefit cost:
Service cost	$	444		$	405		$	552
Interest cost		365			397			381
Expected return on plan assets		(530	)		(487	)		(505	)
Recognized net actuarial loss		162			127			139
Settlement		—			—			—
Net periodic benefit cost		441			442			567
Other changes in plan assets and benefit obligations recognized in other    comprehensive income (loss):
Net actuarial loss		368			605			(238	)
Reversal of amortization of net actuarial loss		(162	)		(127	)		(139	)
Total recognized in other comprehensive income (loss)		206			478			(377	)
Total recognized in net periodic benefit cost and other    comprehensive income (loss)	$	647		$	920		$	190

The following table represents the funded status of the plans as of December 31:

	Funded Plans						Unfunded Plans
(in thousands)	2020			2019			2020			2019
Change in benefit obligation:
Benefit obligation at beginning of year	$	9,990		$	8,134		$	2,331		$	2,290
Service cost		444			405			—			—
Interest cost		295			320			70			77
Actuarial adjustments		686			1,037			111			106
Benefits paid		(743	)		(336	)		(180	)		(178	)
Translation adjustment		244			430			117			36
Benefit obligation at end of year		10,916			9,990			2,449			2,331
Change in plan assets:
Fair value of plan assets at beginning of year		10,013			8,243			—			—
Actual return on plan assets		1,044			1,156			—			—
Company contributions		253			515			180			178
Benefits paid		(743	)		(336	)		(180	)		(178	)
Translation adjustment		231			435			—			—
Fair value of plan assets at end of year		10,798			10,013			—			—
Funded status at end of year	$	(118	)	$	23		$	(2,449	)	$	(2,331	)

The net amounts recognized in the Consolidated Balance Sheets under the caption “Pension and postretirement benefits” as of December 31 were as follows:

	Funded Plans						Unfunded Plans
(in thousands)	2020			2019			2020		2019
Non-current assets	$	(31	)	$	(43	)	$	—	$	—
Other current liabilities		—			—			187		177
Non-current liabilities		149			20			2,262		2,154
Net amount recognized	$	118		$	(23	)	$	2,449	$	2,331

Net actuarial losses for the foreign funded plans recognized in AOCI were $2.7 million ($2.0 million after-tax) as of December 31, 2020 and $2.6 million ($1.9 million after-tax) as of December 31, 2019. Net actuarial losses for the foreign unfunded plans recognized in AOCI were $0.8 million ($0.6 million after-tax) as of December 31, 2020 and $0.7 million ($0.5 million after-tax) as of December 31, 2019.

The fair value information related to the foreign pension plans’ assets is summarized in the following tables:

			Fair Value Measurements at Reporting Date Using
(in thousands)	December 31, 2020		Quoted Prices in Active Markets (Level 1)		Significant Other Observable Inputs (Level 2)		Significant Unobserved Inputs (Level 3)
Assets:
Fixed income securities	$	5,450	$	5,450	$	—	$	—
Equity securities		5,153		5,153		—		—
Other		195		195		—		—
Total	$	10,798	$	10,798	$	—	$	—

			Fair Value Measurements at Reporting Date Using
(in thousands)	December 31, 2019		Quoted Prices in Active Markets (Level 1)		Significant Other Observable Inputs (Level 2)		Significant Unobserved Inputs (Level 3)
Assets:
Fixed income securities	$	5,194	$	5,194	$	—	$	—
Equity securities		4,669		4,669		—		—
Other		150		150		—		—
Total	$	10,013	$	10,013	$	—	$	—

The following payments, which reflect expected future service, as appropriate, are expected to be paid:

(in thousands)	Funded Plans		Unfunded Plans
2021	$	444	$	190
2022	$	402	$	189
2023	$	440	$	188
2024	$	442	$	188
2025	$	441	$	187
2026-2030	$	2,359	$	920

Information for Pension Plans with an Accumulated Benefit Obligation in Excess of Plan Assets

The accumulated benefit obligations in excess of plan assets as of December 31 were as follows:

	Domestic Plans
	Funded Plans				Unfunded Plans
(in thousands)	2020		2019		2020		2019
Projected benefit obligation	$	16,331	$	15,572	$	9,776	$	9,462
Accumulated benefit obligation	$	16,331	$	15,572	$	9,776	$	9,454
Fair value of plan assets	$	11,878	$	11,291	$	—	$	—

	Foreign Plans
	Funded Plans				Unfunded Plans
(in thousands)	2020		2019		2020		2019
Projected benefit obligation	$	10,916	$	9,990	$	2,449	$	2,331
Accumulated benefit obligation	$	10,447	$	9,347	$	2,449	$	2,331
Fair value of plan assets	$	10,798	$	10,013	$	—	$	—

Contributions

In aggregate for both the domestic and foreign plans, we anticipate contributing $0.8 million to the funded pension plans, $0.9 million to the unfunded pension plans, and $0.9 million to the postretirement benefit plans in 2021.

Weighted-Average Assumptions

Weighted-average assumptions used to determine benefit obligations as of December 31 were as follows:

	Domestic Plans
	Funded Plans						Unfunded Plans						Postretirement Benefit Plans						Foreign Plans
	2020			2019			2020			2019			2020			2019			2020			2019
Discount rate		2.38	%		3.15	%		2.35	%		3.13	%		2.47	%		3.17	%		2.34	%		2.92	%
Rate of compensation increase	N/A			N/A				3.00	%		3.00	%	N/A			N/A				2.35	%		2.34	%

Weighted-average assumptions used to determine net periodic benefit costs as of December 31 were as follows:

	Domestic Plans
	Funded Plans						Unfunded Plans						Postretirement Benefit Plans						Foreign Plans
	2020			2019			2020			2019			2020			2019			2020			2019
Discount rate		3.12	%		4.28	%		3.13	%		4.22	%		3.19	%		4.29	%		2.93	%		3.68	%
Expected return on plan assets		5.50	%		5.50	%	N/A			N/A				0.00	%		0.00	%		4.39	%		4.55	%
Rate of compensation increase	N/A			N/A				3.00	%		3.00	%	N/A			N/A				2.35	%		2.34	%

Multi-employer Plans

We contribute to various defined benefit pension plans under the terms of collective bargaining agreements that cover our union-represented employees. The financial risks of participating in these multi-employer pension plans generally include the fact that the unfunded obligations of the plan may be borne by solvent participating employers. In addition, if we were to discontinue participating in some of our multi-employer pension plans, we could be required to pay a withdrawal liability amount based on the underfunded status of the plan. During the year ended December 31, 2019, we finalized the terms of the new collective bargaining agreement with the Teamsters 727 union. The terms included a withdrawal from the underfunded Central States pension plan. Accordingly, for the year ended December 31, 2019, we recorded a charge of $15.5 million, which represents the estimated present value of future contributions we will be required to make to the plan as a result of this withdrawal and $0.2 million of other withdrawal costs. Currently, we do not anticipate triggering any withdrawal from any other multi-employer pension plan to which we currently contribute. We also contribute to defined contribution plans pursuant to collective bargaining agreements, which are generally not subject to the funding risks inherent in defined benefit pension plans. The overall level of contributions to our multi-employer plans may significantly vary from year to year based on the demand for union-represented labor to support our operations. We do not have any minimum contribution requirements for future periods pursuant to our collective bargaining agreements for individually significant multi-employer plans.

Our participation in multi-employer pension plans for 2020 is outlined in the following table. Unless otherwise noted, the most recent Pension Protection Act zone status available in 2020 and 2019 relates to the plan’s year end as of December 31, 2019 and 2018, respectively, and is based on information received from the plan. Among other factors, plans in the red zone are generally less than 65% funded, plans in the yellow zone are less than 80% funded, and plans in the green zone are at least 80% funded. The “FIP/RP Status Pending/Implemented” column indicates plans for which a financial improvement plan or a rehabilitation plan is either pending or has been implemented.

		Plan		Pension Protection Act Zone Status		FIP/RP Status Pending/ Implemented	Viad Contributions						Surcharge Paid	Expiration Date of Collective Bargaining Agreement(s)
(in thousands)	EIN	No.		2020	2019		2020		2019		2018
Pension Fund:
Western Conference of  Teamsters Pension Plan	91-6145047		1	Green	Green	No	$	2,898	$	6,754	$	6,471	No	5/31/2021
Southern California Local 831—Employer Pension Fund(1)	95-6376874		1	Green	Green	No		943		3,427		3,087	No	8/31/2021
IBEW Local Union  No 357 Pension Plan A	88-6023284		1	Green	Green	No		843		1,074		1,025	No	6/16/2021
Chicago Regional Council of Carpenters Pension Fund	36-6130207		1	Green	Green	Yes		608		2,877		2,876	No	5/31/2024
Electrical Contractors Assoc. Chicago Local Union 134, IBEW Joint Pension Trust of Chicago Plan #2	51-6030753		2	Green	Green	No		509		1,651		927	No	6/6/2021
Machinery Movers Riggers & Mach Erect Local 136 Supplemental Retirement Plan(1)	36-1416355		11	Yellow	Yellow	Yes		337		797		1,328	Yes	6/30/2024
Southwest Carpenters Pension Trust	95-6042875		1	Green	Green	No		195		717		789	No	7/31/2023
Sign Pictorial & Display Industry Pension Plan(1)	94-6278490		1	Green	Green	No		92		768		778	No	3/31/2021
Southern California IBEW-NECA Pension Fund	95-6392774		1	Yellow	Yellow	Yes		89		799		881	Yes	8/31/2021
New England Teamsters & Trucking Industry Pension	04-6372430		1	Red	Red	Yes		42		506		423	No	3/31/2022
Central States, Southeast and Southwest Areas Pension Plan	36-6044243		1	Red	Red	Yes		7		872		1,177	No	3/31/2023
All other funds(2)								963		3,625		3,734
Total contributions to defined benefit plans								7,526		23,867		23,496
Total contributions to other plans								1,066		3,416		2,900
Total contributions to multi-employer plans							$	8,592	$	27,283	$	26,396

⁽¹⁾ We contributed more than 5% of total plan contributions for the plan year detailed in the plans’ most recent Form 5500s.

⁽²⁾ Represents participation in 31 pension funds during 2020.

Other Employee Benefits

We match U.S. employee contributions to the 401(k) Plan with shares of our common stock held in treasury up to 100% of the first 3% of a participant’s salary plus 50% of the next 2%. The expense associated with our match was $1.7 million for 2020, $5.0 million for 2019, and $4.8 million for 2018. In April 2020, we suspended our 401(k) Plan employer match contributions. The employer match was reinstated in October 2020.