Compensation Plans

12 Months Ended

Dec. 31, 2019

The Company and its subsidiaries have profit sharing plans in which substantially all employees participate. The plans provide for minimum annual contributions of 5% of eligible compensation; contributions above the minimum are discretionary and vary with each participating operating unit's profitability. Employees become eligible to participate in the plan on the first day of the calendar quarter following the first full calendar quarter after the employee's date of hire provided the employee has completed 250 hours of service during the calendar quarter. The plans provide that 40% of the contributions vest immediately and that the remaining 60% vest at varying percentages based upon years of service. Profit sharing expense was $47 million, $42 million and $42 million in 2019, 2018 and 2017, respectively.

The Company has a long-term incentive compensation plan ("LTIP") that provides for compensation to key executives based on the growth in the Company's book value per share over a five year period.

The following table summarizes the outstanding LTIP awards as of December 31, 2019:



	Units Outstanding	Maximum Value		Inception to date earned through December 31, 2019 on outstanding units
2015 grant	179,250	$	17,925,000	$	17,925,000
2016 grant	199,500	19,950,000		15,243,000
2017 grant	210,000	21,000,000		10,938,900
2018 grant	215,250	21,525,000		7,501,463
2019 grant	228,750	22,875,000		3,068,338

The following table summarizes the LTIP expense for each of the three years ended December 31, 2019:



(In thousands)	2019			2018			2017
2013 grant	$	—		$	(1,124	)	$	7,667
2014 grant	(558		)	3,227			3,167
2015 grant	3,319			5,170			3,667
2016 grant	3,548			5,148			3,601
2017 grant	3,432			4,700			3,162
2018 grant	3,310			4,317			—
2019 grant	3,068			—			—
Total	$	16,119		$	21,438		$	21,264