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Pension and Postretirement Plans
 6 Months Ended
Jun. 30, 2024
Retirement Benefits, Description [Abstract]  
Pension and Postretirement Plans PENSION AND POSTRETIREMENT PLANS
Defined Benefit Plans. The total benefit arising from the Company’s defined benefit pension plans consists of the following components:
  Three Months Ended 
 June 30		Six Months Ended 
 June 30
(in thousands)2024202320242023
Service cost$14,071 $7,573 $28,105 $16,816 
Interest cost11,246 11,559 22,440 23,093 
Expected return on assets(41,239)(38,085)(82,929)(76,423)
Amortization of prior service (credit) cost(482)412 (976)822 
Recognized actuarial gain(11,263)(9,888)(23,781)(20,028)
Net Periodic Benefit(27,667)(28,429)(57,141)(55,720)
Early retirement program and special separation benefit expense
16,410 5,517 16,828 9,646 
Total Benefit$(11,257)$(22,912)$(40,313)$(46,074)
In the second quarter of 2024, the Company recorded $14.8 million in expenses related to a Voluntary Retirement Incentive Program (VRIP) for certain Graham Media Group and Corporate employees, which will be funded from the assets of the Company’s pension plan. Also in the second quarter of 2024, the Company recorded $1.6 million in expenses related to Separation Incentive Programs (SIPs) for certain Framebridge and Code3 employees, which will be funded from the assets of the Company’s pension plan. In the first quarter of 2024, the Company recorded $0.4 million in expenses related to a SIP for certain Framebridge employees, which was funded from the assets of the Company’s pension plans.
In the second quarter of 2023, the Company recorded $5.5 million in expenses related to SIPs for certain Kaplan, Graham Media Group, Leaf Group, Code3 and Pinna employees, which was funded from the assets of the Company’s pension plans. In the first quarter of 2023, the Company recorded $4.1 million in expenses related to SIPs for certain Leaf and Code3 employees, which was funded from the assets of the Company’s pension plans.
The total cost arising from the Company’s Supplemental Executive Retirement Plan (SERP) consists of the following components:
  Three Months Ended 
 June 30		Six Months Ended 
 June 30
(in thousands)2024202320242023
Service cost$288 $148 $575 $296 
Interest cost1,129 1,165 2,257 2,330 
Net Periodic Cost$1,417 $1,313 $2,832 $2,626 
Defined Benefit Plan Assets. The Company’s defined benefit pension obligations are funded by a portfolio made up of private investment funds, a U.S. stock index fund, and a relatively small number of stocks and high-quality fixed-income securities that are held by a third-party trustee. The assets of the Company’s pension plans were allocated as follows:
  As of
  June 30,
2024		December 31,
2023
  
U.S. equities56 %59 %
U.S. fixed income18 %7 %
Private investment funds15 %17 %
International equities11 %14 %
U.S. stock index fund— %3 %
  100 %100 %
The Company manages approximately 48% of the pension assets internally, of which the majority is invested in private investment funds with the remaining investments in Berkshire Hathaway and Markel stock, and short-term fixed-income securities. The remaining 52% of plan assets are managed by two investment companies. The goal of the investment managers is to produce moderate long-term growth in the value of these assets, while protecting them against large decreases in value. Both investment managers may invest in a combination of equity and fixed-income securities and cash. The managers are not permitted to invest in securities of the Company or in alternative investments. One investment manager cannot invest more than 15% of the assets at the time of purchase in the stock of Alphabet and Berkshire Hathaway, and no more than 35% of the assets it manages in specified
international exchanges at the time the investment is made. The other investment manager cannot invest more than 20% of the assets at the time of purchase in the stock of Berkshire Hathaway, and no more than 15% of the assets it manages in specified international exchanges at the time the investment is made, and no less than 5% of the assets could be invested in fixed-income securities. Excluding the exceptions noted above, the investment managers cannot invest more than 10% of the assets in the securities of any other single issuer, except for obligations of the U.S. Government, without receiving prior approval from the Plan administrator.
In determining the expected rate of return on plan assets, the Company considers the relative weighting of plan assets, the historical performance of total plan assets and individual asset classes and economic and other indicators of future performance. In addition, the Company may consult with and consider the input of financial and other professionals in developing appropriate return benchmarks.
The Company evaluated its defined benefit pension plan asset portfolio for the existence of significant concentrations (defined as greater than 10% of plan assets) of credit risk as of June 30, 2024. Types of concentrations that were evaluated include, but are not limited to, investment concentrations in a single entity, type of industry, foreign country and individual fund. At June 30, 2024, the pension plan held investments in one common stock, one private investment fund, and one U.S. Treasury securities fund that exceeded 10% of total plan assets, valued at $1,602.3 million, or approximately 49% of total plan assets. At December 31, 2023, the pension plan held investments in one common stock and one private investment fund that exceeded 10% of total plan assets, valued at $1,011.1 million, or approximately 34% of total plan assets. Assets also included $91.4 million and $82.4 million of Markel shares at June 30, 2024 and December 31, 2023, respectively.
Other Postretirement Plans. The total benefit arising from the Company’s other postretirement plans consists of the following components:
  Three Months Ended 
 June 30		Six Months Ended 
 June 30
(in thousands)2024202320242023
Interest cost$14 $52 $28 $74 
Amortization of prior service credit— (1)— (2)
Recognized actuarial gain(470)(546)(939)(1,172)
Net Periodic Benefit$(456)$(495)$(911)$(1,100)