Employee Retirement Plans (Tables)

12 Months Ended

Dec. 31, 2018



	Year Ended December 31,
	2018	2017	2016
Assumptions used to determine benefit obligations at the annual measurement date were:
Obligation discount rate	4.45%	3.79%	4.34%
Compensation increase rate⁽¹⁾	n/a	4.00%	4.00%
Assumptions used to determine net periodic benefit costs were:
Obligation discount rate	3.79%	4.34%	4.79%
Long-term rate of return on plan assets	5.65%	6.25%	6.50%
Compensation increase rate⁽¹⁾	n/a	4.00%	4.00%

Components of Net Periodic Benefit Cost and Other Retirement Expenses



	Year Ended December 31,
	2018			2017			2016
	(in millions)
Expense Components
Service cost	$	0.1		$	0.2		$	0.4
Interest	18.3			19.6			20.8
Expected return on plan assets	(27.4		)	(27.2		)	(27.2		)
Amortization of actuarial loss	4.8			4.9			5.1
Other	0.6			—			—
Net periodic benefit cost	(3.6		)	(2.5		)	(0.9		)
Profit sharing	11.1			7.7			7.2
Net expense	$	7.5		$	5.2		$	6.3



	Year Ended December 31,
	2018			2017
	(in millions)
Accumulated Benefit Obligations	$	453.2		$	490.0
Projected Benefit Obligations:
Beginning of year	$	490.0		$	459.6
Service cost	0.1			0.2
Interest	18.3			19.6
Benefits paid	(20.2		)	(19.9		)
Actuarial loss	(35.6		)	30.5
Other	0.6			—
End of year	$	453.2		$	490.0
Plans' Assets:
Beginning of year	$	488.0		$	442.5
Actual return on assets	(20.7		)	62.9
Employer contributions	31.6			2.5
Benefits paid	(20.2		)	(19.9		)
End of year	$	478.7		$	488.0

Consolidated Balance Sheet Components:
Other assets	$	39.4		$	13.1
Accrued liabilities	(13.9		)	(15.1		)
Net funded status	$	25.5		$	(2.0	)
Percent of projected benefit obligations funded	105.6		%	99.6		%



	Year Ended December 31,
	2018			2017		2016
	(in millions)
Actuarial (loss) gain	$	(12.5	)	$	5.2	$	(5.3	)
Amortization of actuarial loss	4.8			4.9		5.1
Total before income taxes	(7.7		)	10.1		(0.2		)
Income tax (benefit) expense	(1.8		)	3.1		(0.1		)
Net amount recognized in other comprehensive (loss) income	$	(5.9	)	$	7.0	$	(0.1	)

The target and actual allocations of the plans' assets at December 31, 2018 are as follows:



	Target Allocation		December 31, 2018
Cash and cash equivalents	—	%	3	%
Liability hedging portfolio	90	%	82	%
Growth portfolio	10	%	15	%
Total	100	%	100	%

The estimated fair value of the plans' assets at December 31, 2018 and 2017, indicating input levels used to determine fair value are as follows:



	Fair Value Measurement as of December 31, 2018
	(in millions)
	Level 1		Level 2		Level 3		Total
Temporary cash investments	$	14.0	$	—	$	—	$	14.0
Fixed Income - Government and agencies	—		77.1		—		77.1
Fixed Income - Corporate	—		309.1		—		309.1
Fixed Income - Collateralized mortgage backed	—		2.1		—		2.1
Equity common trust funds	—		69.7		—		69.7
Debt common trust funds	—		—		6.7		6.7
	$	14.0	$	458.0	$	6.7	$	478.7



	Fair Value Measurement as of December 31, 2017
	(in millions)
	Level 1		Level 2		Level 3		Total
Temporary cash investments	$	7.3	$	—	$	—	$	7.3
Debt common trust funds	—		292.8		—		292.8
Equity common trust funds	—		187.9		—		187.9
	$	7.3	$	480.7	$	—	$	488.0

Benefit payments for our defined benefit plans expected to be paid during the next ten years are as follows: