Preneed Activities Level 3 (Tables)

3 Months Ended

9 Months Ended

Sep. 30, 2019

Sep. 30, 2020

Preneed Activities [Abstract]

Investment related activities [Table Text Block]

	Three months ended September 30,				Nine months ended September 30,
	2020		2019		2020		2019
	(In thousands)
Deposits	$	113,444	$	104,964	$	317,338	$	318,321
Withdrawals	$	102,873	$	100,194	$	316,729	$	324,230
Purchases of securities	$	452,009	$	545,926	$	1,358,005	$	1,236,839
Sales of securities	$	423,762	$	546,172	$	1,217,713	$	1,109,589
Realized gains from sales of securities(1)	$	60,772	$	71,531	$	205,364	$	169,812
Realized losses from sales of securities(1)	$	(43,243)	$	(39,176)	$	(190,401)	$	(88,058)

Long-term receivable and investment components [Table Text Block]

	September 30, 2020		December 31, 2019
	(In thousands)
Preneed receivables, net	$	1,019,163	$	947,232
Trust investments, at market	5,238,589		5,258,319
Insurance-backed fixed income securities and other	248,734		265,160
Trust investments	5,487,323		5,523,479
Less: Cemetery perpetual care trust investments	(1,671,052)		(1,681,149)
Preneed trust investments	3,816,271		3,842,330
Preneed receivables, net and trust investments	$	4,835,434	$	4,789,562

Preneed receivables, net comprised the following:

	September 30, 2020
	Funeral		Cemetery		Total
	(In thousands)
Preneed receivables	$	141,267	$	935,191	$	1,076,458
Unearned finance charges	(14,843)		(23,120)		(37,963)
Preneed receivables, at amortized cost	126,424		912,071		1,038,495
Reserve for credit losses	(10,928)		(8,404)		(19,332)
Preneed receivables, net	$	115,496	$	903,667	$	1,019,163
	December 31, 2019
	Funeral		Cemetery		Total
	(In thousands)
Preneed receivables	$	130,971	$	907,973	$	1,038,944
Unearned finance charges	(16,328)		(34,242)		(50,570)
Preneed receivables, at amortized cost	114,643		873,731		988,374
Allowance for cancellation	(1,452)		(39,690)		(41,142)
Preneed receivables, net	$	113,191	$	834,041	$	947,232

Preneed Funeral Receivables, Net and Trust Investments [Table Text Block]

The components of Preneed receivables, net and trust investments in our unaudited Condensed Consolidated Balance Sheet were as follows:

	September 30, 2020		December 31, 2019
	(In thousands)
Preneed receivables, net	$	1,019,163	$	947,232
Trust investments, at market	5,238,589		5,258,319
Insurance-backed fixed income securities and other	248,734		265,160
Trust investments	5,487,323		5,523,479
Less: Cemetery perpetual care trust investments	(1,671,052)		(1,681,149)
Preneed trust investments	3,816,271		3,842,330
Preneed receivables, net and trust investments	$	4,835,434	$	4,789,562

Schedule of Available-for-sale Securities Reconciliation [Table Text Block]

		December 31, 2019
	Fair Value Hierarchy Level	Cost		Unrealized Gains		Unrealized Losses		Value
				(In thousands)
Fixed income securities:
U.S. Treasury	2	$	49,728	$	752	$	(130)	$	50,350
Canadian government	2	41,093		76		(850)		40,319
Corporate	2	9,694		28		(172)		9,550
Residential mortgage-backed	2	3,210		59		(1)		3,268
Asset-backed	2	129		3		(4)		128
Equity securities:
Preferred stock	2	6,338		804		(115)		7,027
Common stock:
United States	1	1,349,828		303,766		(36,507)		1,617,087
Canada	1	43,866		12,369		(2,075)		54,160
Other international	1	95,257		18,227		(522)		112,962
Mutual funds:
Equity	1	746,581		31,511		(54,020)		724,072
Fixed income	1	1,247,930		16,424		(32,587)		1,231,767
Other	3	7,034		1,184		—		8,218
Trust investments, at fair value		3,600,688		385,203		(126,983)		3,858,908
Commingled funds
Fixed income		444,744		5,077		(1,731)		448,090
Equity		249,980		47,631		—		297,611
Money market funds		397,461		—		—		397,461
Private equity		176,388		80,283		(422)		256,249
Trust investments, at net asset value		1,268,573		132,991		(2,153)		1,399,411
Trust investments, at market		$	4,869,261	$	518,194	$	(129,136)	$	5,258,319

		September 30, 2020
	Fair Value Hierarchy Level	Cost		Unrealized Gains		Unrealized Losses		Value
				(In thousands)
Fixed income securities:
U.S. Treasury	2	$	45,115	$	1,724	$	(249)	$	46,590
Canadian government	2	36,603		56		(838)		35,821
Corporate	2	1,505		13		(6)		1,512
Residential mortgage-backed	2	3,240		160		—		3,400
Asset-backed	2	113		3		(5)		111
Equity securities:
Preferred stock	2	370		—		(27)		343
Common stock:
United States	1	1,387,811		359,603		(125,062)		1,622,352
Canada	1	36,415		9,954		(3,290)		43,079
Other international	1	94,253		31,725		(4,683)		121,295
Mutual funds:
Equity	1	814,380		27,013		(101,299)		740,094
Fixed income	1	1,123,379		29,373		(52,897)		1,099,855
Other	3	200		—		(135)		65
Trust investments, at fair value		3,543,384		459,624		(288,491)		3,714,517
Commingled funds
Fixed income		651,554		21,916		(432)		673,038
Equity		260,214		60,893		(20)		321,087
Money market funds		280,325		—		—		280,325
Private equity		205,452		55,077		(10,907)		249,622
Trust investments, at net asset value		1,397,545		137,886		(11,359)		1,524,072
Trust investments, at market		$	4,940,929	$	597,510	$	(299,850)	$	5,238,589

Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Table Text Block]

The change in our market-based trust investments with significant unobservable inputs (Level 3) is as follows:

	Three months ended September 30,				Nine months ended September 30,
	2020		2019		2020		2019
	(in thousands)
Fair value, beginning balance	$	423	$	6,588	$	8,218	$	9,755
Net realized and unrealized gains (losses) included in Other income, net(1)	(355)		(54)		(612)		(1,518)
Purchases	57		850		4,626		855
Sales	(60)		(58)		(5,356)		(1,766)
Transfers	—		—		(6,811)		—
Fair value, ending balance	$	65	$	7,326	$	65	$	7,326

(1)All net realized and unrealized gains (losses) recognized in Other income, net for our trust investments are offset by a corresponding reclassification in Other income, net to Deferred receipts held in trust and Care trusts' corpus.

Fair Value, Net Derivative Asset (Liability) Measured on Recurring Basis, Unobservable Input Reconciliation [Table Text Block]

	Three months ended September 30,				Nine months ended September 30,
	2020		2019		2020		2019
	(in thousands)
Fair value, beginning balance	$	423	$	6,588	$	8,218	$	9,755
Net realized and unrealized gains (losses) included in Other income, net(1)	(355)		(54)		(612)		(1,518)
Purchases	57		850		4,626		855
Sales	(60)		(58)		(5,356)		(1,766)
Transfers	—		—		(6,811)		—
Fair value, ending balance	$	65	$	7,326	$	65	$	7,326

Preneed Activities Text Block

Preneed Activities

Preneed receivables, net and trust investments

The components of Preneed receivables, net and trust investments in our unaudited Condensed Consolidated Balance Sheet were as follows:

	September 30, 2020		December 31, 2019
	(In thousands)
Preneed receivables, net	$	1,019,163	$	947,232
Trust investments, at market	5,238,589		5,258,319
Insurance-backed fixed income securities and other	248,734		265,160
Trust investments	5,487,323		5,523,479
Less: Cemetery perpetual care trust investments	(1,671,052)		(1,681,149)
Preneed trust investments	3,816,271		3,842,330
Preneed receivables, net and trust investments	$	4,835,434	$	4,789,562

Preneed receivables, net comprised the following:

	September 30, 2020
	Funeral		Cemetery		Total
	(In thousands)
Preneed receivables	$	141,267	$	935,191	$	1,076,458
Unearned finance charges	(14,843)		(23,120)		(37,963)
Preneed receivables, at amortized cost	126,424		912,071		1,038,495
Reserve for credit losses	(10,928)		(8,404)		(19,332)
Preneed receivables, net	$	115,496	$	903,667	$	1,019,163
	December 31, 2019
	Funeral		Cemetery		Total
	(In thousands)
Preneed receivables	$	130,971	$	907,973	$	1,038,944
Unearned finance charges	(16,328)		(34,242)		(50,570)
Preneed receivables, at amortized cost	114,643		873,731		988,374
Allowance for cancellation	(1,452)		(39,690)		(41,142)
Preneed receivables, net	$	113,191	$	834,041	$	947,232

At September 30, 2020, the amortized cost basis of our preneed receivables by year of origination was as follows:

	2020		2019		2018		2017		2016		Prior		Total
	(In thousands)
Preneed receivables, at amortized cost:
Funeral	$	47,560	$	42,161	$	15,654	$	7,622	$	3,391	$	10,036	$	126,424
Cemetery	304,218		258,869		167,616		101,848		50,474		29,046		912,071
Total preneed receivables, at amortized cost	$	351,778	$	301,030	$	183,270	$	109,470	$	53,865	$	39,082	$	1,038,495

At September 30, 2020, the payment status of our preneed receivables was as follows:

	Past Due
	<30 Days		30-90 Days		90-180 Days		>180 Days		Total		Current		Total
	(In thousands)
Preneed receivables, at amortized cost:
Funeral	$	2,464	$	1,925	$	1,617	$	16,587	$	22,593	$	103,831	$	126,424
Cemetery	28,534		19,195		5,986		820		54,535		857,536		912,071
Total preneed receivables, at amortized cost	$	30,998	$	21,120	$	7,603	$	17,407	$	77,128	$	961,367	$	1,038,495

The following table summarizes the activity for the reserve for credit losses on preneed receivables for the nine months ended September 30, 2020:

	January 1, 2020		Provision for Expected Credit Losses		Acquisitions (Divestitures), Net		Write Offs		Effect of Foreign Currency		September 30, 2020
	(In thousands)
Funeral	$	(8,057)	$	(4,757)	$	9	$	1,861	$	16	$	(10,928)
Cemetery	(6,700)		(2,129)		—		407		18		(8,404)
Total reserve for credit losses on preneed receivables	$	(14,757)	$	(6,886)	$	9	$	2,268	$	34	$	(19,332)

The table below sets forth certain investment-related activities associated with our trusts:

	Three months ended September 30,				Nine months ended September 30,
	2020		2019		2020		2019
	(In thousands)
Deposits	$	113,444	$	104,964	$	317,338	$	318,321
Withdrawals	$	102,873	$	100,194	$	316,729	$	324,230
Purchases of securities	$	452,009	$	545,926	$	1,358,005	$	1,236,839
Sales of securities	$	423,762	$	546,172	$	1,217,713	$	1,109,589
Realized gains from sales of securities(1)	$	60,772	$	71,531	$	205,364	$	169,812
Realized losses from sales of securities(1)	$	(43,243)	$	(39,176)	$	(190,401)	$	(88,058)

(1)All realized gains and losses are recognized in Other income, net for our trust investments and are offset by a corresponding reclassification in Other income, net to Deferred receipts held in trust and Care trusts’ corpus.

The cost and market values associated with trust investments recorded at market value are detailed below. Cost reflects the investment (net of redemptions) of control holders in the trusts. Fair value represents the value of the underlying securities held by the trusts.

		September 30, 2020
	Fair Value Hierarchy Level	Cost		Unrealized Gains		Unrealized Losses		Value
				(In thousands)
Fixed income securities:
U.S. Treasury	2	$	45,115	$	1,724	$	(249)	$	46,590
Canadian government	2	36,603		56		(838)		35,821
Corporate	2	1,505		13		(6)		1,512
Residential mortgage-backed	2	3,240		160		—		3,400
Asset-backed	2	113		3		(5)		111
Equity securities:
Preferred stock	2	370		—		(27)		343
Common stock:
United States	1	1,387,811		359,603		(125,062)		1,622,352
Canada	1	36,415		9,954		(3,290)		43,079
Other international	1	94,253		31,725		(4,683)		121,295
Mutual funds:
Equity	1	814,380		27,013		(101,299)		740,094
Fixed income	1	1,123,379		29,373		(52,897)		1,099,855
Other	3	200		—		(135)		65
Trust investments, at fair value		3,543,384		459,624		(288,491)		3,714,517
Commingled funds
Fixed income		651,554		21,916		(432)		673,038
Equity		260,214		60,893		(20)		321,087
Money market funds		280,325		—		—		280,325
Private equity		205,452		55,077		(10,907)		249,622
Trust investments, at net asset value		1,397,545		137,886		(11,359)		1,524,072
Trust investments, at market		$	4,940,929	$	597,510	$	(299,850)	$	5,238,589

		December 31, 2019
	Fair Value Hierarchy Level	Cost		Unrealized Gains		Unrealized Losses		Value
				(In thousands)
Fixed income securities:
U.S. Treasury	2	$	49,728	$	752	$	(130)	$	50,350
Canadian government	2	41,093		76		(850)		40,319
Corporate	2	9,694		28		(172)		9,550
Residential mortgage-backed	2	3,210		59		(1)		3,268
Asset-backed	2	129		3		(4)		128
Equity securities:
Preferred stock	2	6,338		804		(115)		7,027
Common stock:
United States	1	1,349,828		303,766		(36,507)		1,617,087
Canada	1	43,866		12,369		(2,075)		54,160
Other international	1	95,257		18,227		(522)		112,962
Mutual funds:
Equity	1	746,581		31,511		(54,020)		724,072
Fixed income	1	1,247,930		16,424		(32,587)		1,231,767
Other	3	7,034		1,184		—		8,218
Trust investments, at fair value		3,600,688		385,203		(126,983)		3,858,908
Commingled funds
Fixed income		444,744		5,077		(1,731)		448,090
Equity		249,980		47,631		—		297,611
Money market funds		397,461		—		—		397,461
Private equity		176,388		80,283		(422)		256,249
Trust investments, at net asset value		1,268,573		132,991		(2,153)		1,399,411
Trust investments, at market		$	4,869,261	$	518,194	$	(129,136)	$	5,258,319

Our private equity investments include several funds that invest in limited partnerships, distressed debt, real estate, and mezzanine financing. These investments can never be redeemed by the funds. Instead, due to the nature of the investments in this category, distributions are received through the liquidation of the underlying assets of the funds. The funds' managers have not communicated the timing of any liquidations.

The change in our market-based trust investments with significant unobservable inputs (Level 3) is as follows:

	Three months ended September 30,				Nine months ended September 30,
	2020		2019		2020		2019
	(in thousands)
Fair value, beginning balance	$	423	$	6,588	$	8,218	$	9,755
Net realized and unrealized gains (losses) included in Other income, net(1)	(355)		(54)		(612)		(1,518)
Purchases	57		850		4,626		855
Sales	(60)		(58)		(5,356)		(1,766)
Transfers	—		—		(6,811)		—
Fair value, ending balance	$	65	$	7,326	$	65	$	7,326

(1)All net realized and unrealized gains (losses) recognized in Other income, net for our trust investments are offset by a corresponding reclassification in Other income, net to Deferred receipts held in trust and Care trusts' corpus.

Maturity dates of our fixed income securities range from 2020 to 2040. Maturities of fixed income securities (excluding mutual funds) at September 30, 2020 are estimated as follows:

	Fair Value
	(In thousands)
Due in one year or less	$	54,490
Due in one to five years	24,892
Due in five to ten years	7,990
Thereafter	62
Total estimated maturities of fixed income securities	$	87,434

Recognized trust fund income (realized and unrealized) related to our preneed trust investments was $33.9 million and $30.2 million, for the three months ended September 30, 2020 and 2019, respectively. Recognized trust fund income (realized and unrealized) related to our cemetery perpetual care trust investments was $15.9 million and $18.8 million for the three months ended September 30, 2020 and 2019, respectively.

Recognized trust fund income (realized and unrealized) related to our preneed trust investments was $93.1 million and $87.4 million, for the nine months ended September 30, 2020 and 2019, respectively. Recognized trust fund income (realized and unrealized) related to our cemetery perpetual care trust investments was $52.7 million and $56.7 million for the nine months ended September 30, 2020 and 2019, respectively.

Our fixed income investment unrealized losses, their associated fair values, and the duration of unrealized losses are shown in the following tables:

	September 30, 2020
	In Loss Position Less Than 12 Months				In Loss Position Greater Than 12 Months				Total
	Fair Market Value		Unrealized Losses		Fair Market Value		Unrealized Losses		Fair Market Value		Unrealized Losses
					(In thousands)
U.S. Treasury	$	2,361	$	(3)	$	749	$	(246)	$	3,110	$	(249)
Canadian government	—		—		11,675		(838)		11,675		(838)
Corporate	45		—		803		(6)		848		(6)
Asset-backed	—		—		36		(5)		36		(5)
Total fixed income securities with an unrealized loss	$	2,406	$	(3)	$	13,263	$	(1,095)	$	15,669	$	(1,098)

	December 31, 2019
	In Loss Position Less Than 12 Months				In Loss Position Greater Than 12 Months				Total
	Fair Market Value		Unrealized Losses		Fair Market Value		Unrealized Losses		Fair Market Value		Unrealized Losses
					(In thousands)
U.S. Treasury	$	3,023	$	(36)	$	1,947	$	(94)	$	4,970	$	(130)
Canadian government	—		—		13,804		(850)		13,804		(850)
Corporate	30		—		4,826		(172)		4,856		(172)
Residential mortgage-backed	—		—		51		(1)		51		(1)
Asset-backed	—		—		28		(4)		28		(4)
Total fixed income securities with an unrealized loss	$	3,053	$	(36)	$	20,656	$	(1,121)	$	23,709	$	(1,157)

Deferred revenue, net

Deferred revenue, net represents future revenue, including distributed trust investment earnings associated with unperformed trust-funded preneed contracts that are not held in trust accounts. Future revenue and net trust investment earnings that are held in trust accounts are included in Deferred receipts held in trust.

The components of Deferred revenue, net in our unaudited Condensed Consolidated Balance Sheet were as follows:

	September 30, 2020		December 31, 2019
	(In thousands)
Deferred revenue	$	2,126,034	$	2,046,000
Amounts due from customers for unfulfilled performance obligations on cancelable preneed contracts	(624,867)		(578,897)
Deferred revenue, net	$	1,501,167	$	1,467,103

The following table summarizes the activity for our contract liabilities, which are reflected in Deferred revenue, net and Deferred receipts held in trust:

	Nine months ended September 30,
	2020		2019
	(In thousands)
Beginning balance — Deferred revenue, net and Deferred receipts held in trust	$	5,306,479	$	4,790,552
Net preneed contract sales	801,064		734,998
Acquisitions (dispositions) of businesses, net	14,201		(27,737)
Net investment (losses) gains(1)	(32,410)		288,703
Recognized revenue from backlog(2)	(324,117)		(292,653)
Recognized revenue from current period sales	(407,666)		(389,463)
Change in amounts due on unfulfilled performance obligations	(42,300)		(3,849)
Change in cancellation reserve	1,070		(842)
Effect of foreign currency and other	(1,510)		6,451
Ending balance — Deferred revenue, net and Deferred receipts held in trust	$	5,314,811	$	5,106,160

(1)Includes both realized and unrealized investment (losses) gains.

(2)Includes current year trust fund income through the date of performance.

Investments Classified by Contractual Maturity Date [Table Text Block]

Maturity dates of our fixed income securities range from 2020 to 2040. Maturities of fixed income securities (excluding mutual funds) at September 30, 2020 are estimated as follows:

	Fair Value
	(In thousands)
Due in one year or less	$	54,490
Due in one to five years	24,892
Due in five to ten years	7,990
Thereafter	62
Total estimated maturities of fixed income securities	$	87,434

Schedule of Unrealized Loss on Investments [Table Text Block]

Our fixed income investment unrealized losses, their associated fair values, and the duration of unrealized losses are shown in the following tables:

	September 30, 2020
	In Loss Position Less Than 12 Months				In Loss Position Greater Than 12 Months				Total
	Fair Market Value		Unrealized Losses		Fair Market Value		Unrealized Losses		Fair Market Value		Unrealized Losses
					(In thousands)
U.S. Treasury	$	2,361	$	(3)	$	749	$	(246)	$	3,110	$	(249)
Canadian government	—		—		11,675		(838)		11,675		(838)
Corporate	45		—		803		(6)		848		(6)
Asset-backed	—		—		36		(5)		36		(5)
Total fixed income securities with an unrealized loss	$	2,406	$	(3)	$	13,263	$	(1,095)	$	15,669	$	(1,098)

	December 31, 2019
	In Loss Position Less Than 12 Months				In Loss Position Greater Than 12 Months				Total
	Fair Market Value		Unrealized Losses		Fair Market Value		Unrealized Losses		Fair Market Value		Unrealized Losses
					(In thousands)
U.S. Treasury	$	3,023	$	(36)	$	1,947	$	(94)	$	4,970	$	(130)
Canadian government	—		—		13,804		(850)		13,804		(850)
Corporate	30		—		4,826		(172)		4,856		(172)
Residential mortgage-backed	—		—		51		(1)		51		(1)
Asset-backed	—		—		28		(4)		28		(4)
Total fixed income securities with an unrealized loss	$	3,053	$	(36)	$	20,656	$	(1,121)	$	23,709	$	(1,157)

	September 30, 2020
	In Loss Position Less Than 12 Months				In Loss Position Greater Than 12 Months				Total
	Fair Market Value		Unrealized Losses		Fair Market Value		Unrealized Losses		Fair Market Value		Unrealized Losses
					(In thousands)
U.S. Treasury	$	2,361	$	(3)	$	749	$	(246)	$	3,110	$	(249)
Canadian government	—		—		11,675		(838)		11,675		(838)
Corporate	45		—		803		(6)		848		(6)
Asset-backed	—		—		36		(5)		36		(5)
Total fixed income securities with an unrealized loss	$	2,406	$	(3)	$	13,263	$	(1,095)	$	15,669	$	(1,098)

Deferred Preneed Funeral Revenues [Table Text Block]

The following table summarizes the activity for our contract liabilities, which are reflected in Deferred revenue, net and Deferred receipts held in trust:

	Nine months ended September 30,
	2020		2019
	(In thousands)
Beginning balance — Deferred revenue, net and Deferred receipts held in trust	$	5,306,479	$	4,790,552
Net preneed contract sales	801,064		734,998
Acquisitions (dispositions) of businesses, net	14,201		(27,737)
Net investment (losses) gains(1)	(32,410)		288,703
Recognized revenue from backlog(2)	(324,117)		(292,653)
Recognized revenue from current period sales	(407,666)		(389,463)
Change in amounts due on unfulfilled performance obligations	(42,300)		(3,849)
Change in cancellation reserve	1,070		(842)
Effect of foreign currency and other	(1,510)		6,451
Ending balance — Deferred revenue, net and Deferred receipts held in trust	$	5,314,811	$	5,106,160

(1)Includes both realized and unrealized investment (losses) gains.