Retirement Plans, Postretirement and Postemployment Benefits (Tables)

12 Months Ended

Dec. 31, 2016

Fair Values of Pension Plan Assets by Asset Class and Fair Value Hierarchy Level

The fair values of pension plan assets by asset class and fair value hierarchy level are as follows:

December 31	Quoted Prices in Active Markets for Identical Assets (Level 1)		Significant Observable Inputs (Level 2)		Significant Unobservable Inputs (Level 3)		Total Fair Value
(add 000)	2016
Equity securities:
Mid-sized to large cap	$	—	$	169,176	$	—	$	169,176
Small cap, international and emerging growth funds		—		169,678		—		169,678
Debt securities:
Core fixed income		—		168,282		—		168,282
Real estate		—		—		44,890		44,890
Hedge funds		—		—		44,036		44,036
Cash		145		—		—		145
Total	$	145	$	507,136	$	88,926	$	596,207
	2015
Equity securities:
Mid-sized to large cap	$	—	$	156,008	$	—	$	156,008
Small cap, international and emerging growth funds		—		144,405		—		144,405
Debt securities:
Core fixed income		—		167,545		—		167,545
Real estate		15,479		—		23,242		38,721
Hedge funds		-		—		39,219		39,219
Cash		614		—		—		614
Total	$	16,093	$	467,958	$	62,461	$	546,512

Schedule of Assumed Health Care Cost Trend Rates

Assumed health care cost trend rates at December 31 are:

	2016		2015
Health care cost trend rate assumed for next year		7.0%		7.0%
Rate to which the cost trend rate gradually declines		5.0%		5.0%
Year the rate reaches the ultimate rate	2021		2020

Schedule of One Percentage-Point Change in Assumed Health Care Cost Trend Rates

A one percentage-point change in assumed health care cost trend rates would have the following effects:

	One Percentage Point
(add 000)	Increase		(Decrease)
Total service and interest cost components	$	49	$	(42	)
Postretirement benefit obligation	$	1,051	$	(911	)

Pension

Schedule of Components of Net Periodic Benefit Credit Cost

The net periodic retirement benefit cost of defined benefit plans includes the following components:

years ended December 31 (add 000)	2016			2015			2014
Components of net periodic benefit cost:
Service cost	$	22,167		$	23,001		$	17,125
Interest cost		35,879			33,151			28,935
Expected return on assets		(37,699	)		(36,385	)		(32,661	)
Amortization of:
Prior service cost		350			422			445
Actuarial loss		12,074			17,159			4,045
Transition asset		(1	)		(1	)		(1	)
Settlement charge		124			—			-
Termination benefit charge		764			2,085			13,652
Net periodic benefit cost	$	33,658		$	39,432		$	31,540

Schedule of Recognized Comprehensive Earnings

The Corporation recognized the following amounts in consolidated comprehensive earnings:

years ended December 31

(add 000)	2016			2015			2014
Actuarial loss	$	52,028		$	9,916		$	105,546
Amortization of:
Prior service cost		(350	)		(422	)		(445	)
Actuarial loss		(12,074	)		(17,159	)		(4,045	)
Transition asset		1			1			1
Special plan termination benefits		(764	)		(2,085	)		—
Settlement charge		(124	)		—			-
Net prior service cost		—			2,338			—
Total	$	38,717		$	(7,411	)	$	101,057

Schedule of Net Periodic Benefit Credit or Cost Not Yet Recognized

Accumulated other comprehensive loss includes the following amounts that have not yet been recognized in net periodic benefit cost:

December 31	2016						2015
(add 000)	Gross			Net of tax			Gross			Net of tax
Prior service cost	$	425		$	261		$	1,028		$	628
Actuarial loss		218,056			133,083			178,770			108,874
Transition asset		(7	)		(4	)		(8	)		(5	)
Total	$	218,474		$	133,340		$	179,790		$	109,497

Schedule of Change in Projected Benefit Obligation

The defined benefit plans’ change in projected benefit obligation is as follows:

years ended December 31

(add 000)	2016			2015
Change in projected benefit obligation:
Net projected benefit obligation at beginning of year	$	754,543		$	753,975
Service cost		22,167			23,001
Interest cost		35,879			33,151
Actuarial loss (gain)		49,760			(27,119	)
Gross benefits paid		(30,500	)		(30,803	)
Nonrecurring termination benefit		-			2,338
Net projected benefit obligation at end of year	$	831,849		$	754,543

Schedule of Change In Plan Assets

The Corporation’s change in plan assets, funded status and amounts recognized on the Corporation’s consolidated balance sheets are as follows:

years ended December 31

(add 000)	2016			2015
Change in plan assets:
Fair value of plan assets at beginning of year	$	546,512		$	524,042
Actual return on plan assets, net		35,432			(651	)
Employer contributions		44,763			53,924
Gross benefits paid		(30,500	)		(30,803	)
Fair value of plan assets at end of year	$	596,207		$	546,512

Schedule of Funded Status

December 31

(add 000)	2016			2015
Funded status of the plan at end of year	$	(235,642	)	$	(208,031	)
Accrued benefit cost	$	(235,642	)	$	(208,031	)

Schedule of Amounts Recognized on Consolidated Balance Sheets

December 31

(add 000)	2016			2015
Amounts recognized on consolidated balance sheets consist of:
Current liability	$	(6,223	)	$	(6,048	)
Noncurrent liability		(229,419	)		(201,983	)
Net amount recognized at end of year	$	(235,642	)	$	(208,031	)

Schedule of Accumulated Benefit Obligations in Excess of Plan Assets

Benefit obligations and fair value of plan assets for pension plans with accumulated benefit obligations in excess of plan assets are as follows:

December 31

(add 000)	2016		2015
Projected benefit obligation	$	831,849	$	754,543
Accumulated benefit obligation	$	752,659	$	688,017
Fair value of plan assets	$	596,207	$	546,512

Schedule of Weighted-Average Assumptions

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

	2016		2015
Discount rate		4.29%		4.67%
Rate of increase in future compensation levels		4.50%		4.50%

Weighted-average assumptions used to determine net periodic benefit cost for years ended December 31 are:

	2016		2015		2014
Discount rate		4.67%		4.25%		5.17%
Rate of increase in future compensation levels		4.50%		4.50%		5.00%
Expected long-term rate of return on assets		7.00%		7.00%		7.00%

Schedule of Target Assets Allocation

The target allocation for 2016 and the actual pension plan asset allocation by asset class are as follows:

	Percentage of Plan Assets
	2016		December 31
Asset Class	Target Allocation		2016		2015
Equity securities		54%		57%		55%
Debt securities		30%		28%		31%
Hedge funds		8%		7%		7%
Real estate		8%		8%		7%
Total		100%		100%		100%

Change in Fair Value of Pension Plan Assets

The change in the fair value of pension plan assets valued using significant unobservable inputs (Level 3) is as follows:

years ended December 31	Real Estate		Hedge Funds
(add 000)	2016
Balance at beginning of year	$	23,242	$	39,219
Purchases, sales, settlements, net		18,579		3,100
Actual return on plan assets held at period end		3,069		1,717
Balance at end of year	$	44,890	$	44,036
	2015
Balance at beginning of year	$	20,363	$	38,264
Actual return on plan assets held at period end		2,879		955
Balance at end of year	$	23,242	$	39,219

Schedule of Expected Benefit Payments

The expected benefit payments to be paid from plan assets for each of the next five years and the five-year period thereafter are as follows:

(add 000)
2017	$	36,563
2018	$	38,452
2019	$	40,792
2020	$	42,981
2021	$	44,403
Years 2022 - 2026	$	250,080

Postretirement Benefits

Schedule of Components of Net Periodic Benefit Credit Cost

The net periodic postretirement benefit credit cost for postretirement plans includes the following components:

years ended December 31

(add 000)	2016			2015			2014
Components of net periodic benefit credit:
Service cost	$	85		$	137		$	206
Interest cost		863			928			1,164
Amortization of:
Prior service credit		(1,959	)		(2,302	)		(3,255	)
Actuarial gain		(499	)		(309	)		(266	)
Settlement credit		(9	)		-			-
Total net periodic benefit credit	$	(1,519	)	$	(1,546	)	$	(2,151	)

Schedule of Recognized Comprehensive Earnings

The Corporation recognized the following amounts in consolidated comprehensive earnings:

years ended December 31

(add 000)	2016			2015			2014
Actuarial loss (gain)	$	686		$	(626	)	$	(3,026	)
Net prior service credit		(1,326	)		-			-
Settlement credit		9			-			-
Amortization of:
Prior service credit		1,959			2,302			3,255
Actuarial gain		499			309			266
Total	$	1,827		$	1,985		$	495

Schedule of Net Periodic Benefit Credit or Cost Not Yet Recognized

Accumulated other comprehensive loss includes the following amounts that have not yet been recognized in net periodic benefit credit or cost:

December 31	2016						2015
(add 000)	Gross			Net of tax			Gross			Net of tax
Prior service credit	$	(4,153	)	$	(2,551	)	$	(4,786	)	$	(2,924	)
Actuarial gain		(3,857	)		(2,369	)		(5,050	)		(3,086	)
Total	$	(8,010	)	$	(4,920	)	$	(9,836	)	$	(6,010	)

Schedule of Change in Projected Benefit Obligation

The postretirement health care plans’ change in benefit obligation is as follows:

years ended December 31

(add 000)	2016			2015
Change in benefit obligation:
Net benefit obligation at beginning of year	$	23,408		$	25,086
Service cost		85			137
Interest cost		863			928
Participants’ contributions		2,616			1,777
Actuarial loss (gain)		688			(627	)
Gross benefits paid		(5,743	)		(3,893	)
Plan amendments		(1,326	)		-
Net benefit obligation at end of year	$	20,591		$	23,408

Schedule of Change In Plan Assets

The Corporation’s change in plan assets, funded status and amounts recognized on the Corporation’s consolidated balance sheets are as follows:

years ended December 31

(add 000)	2016			2015
Change in plan assets:
Fair value of plan assets at beginning of year	$	—		$	—
Employer contributions		3,127			2,116
Participants’ contributions		2,616			1,777
Gross benefits paid		(5,743	)		(3,893	)
Fair value of plan assets at end of year	$	—		$	—

Schedule of Funded Status

December 31

(add 000)	2016			2015
Funded status of the plan at end of year	$	(20,591	)	$	(23,408	)
Accrued benefit cost	$	(20,591	)	$	(23,408	)

Schedule of Amounts Recognized on Consolidated Balance Sheets

December 31

(add 000)	2016			2015
Amounts recognized on consolidated balance sheets consist of:
Current liability	$	(3,070	)	$	(2,120	)
Noncurrent liability		(17,521	)		(21,288	)
Net amount recognized at end of year	$	(20,591	)	$	(23,408	)

Schedule of Weighted-Average Assumptions

Weighted-average assumptions used to determine the postretirement benefit obligations as of December 31 are:

	2016			2015
Discount rate		3.78	%		4.25	%

Weighted-average assumptions used to determine net postretirement benefit cost for the years ended December 31 are:

	2016			2015			2014
Discount rate		4.25	%		3.83	%		4.42	%

Schedule of Expected Benefit Payments

The total expected benefit payments to be paid by the Corporation, net of participant contributions, for each of the next five years and the five-year period thereafter are as follows:

(add 000)
2017	$	3,070
2018	$	2,120
2019	$	2,000
2020	$	1,873
2021	$	1,781
Years 2022 - 2026	$	6,434