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Pension and Post-Retirement Benefits (Tables)

12 Months Ended

Dec. 31, 2015

Compensation and Retirement Disclosure [Abstract]

Summarizes Information about Pension and Post-Retirement Benefit Plans

Net pension benefit cost (in thousands) consisted of the following for the years ended December 31, 2015, 2014 and 2013:



	Years Ended December 31,
	2015			2014			2013
Service cost—benefits earned during the period	$	1,295		$	1,080		$	1,280
Interest cost	4,813			4,811			4,198
Expected return on plan assets	(5,498		)	(5,146		)	(5,061		)
Net amortization and deferral	2,665			1,037			1,904
Net pension benefit costs	$	3,275		$	1,782		$	2,321

Net post-retirement cost (in thousands) consisted of the following for the years ended December 31, 2015, 2014 and 2013:



	Years Ended December 31,
	2015			2014			2013
Service cost—benefits earned during the period	$	176		$	151		$	193
Interest cost	1,074			1,030			947
Expected return on plan assets	(1		)	(4		)	(4		)
Net amortization and deferral	281			—			87
Net post-retirement costs	$	1,530		$	1,177		$	1,223

Changes in Benefit Obligations and Plan Assets

The changes in benefit obligations and plan assets (in thousands), as well as the funded status (in thousands) of our pension and post-retirement plans at December 31, 2015 and 2014 are as follows:



	Pension Benefits						Post-retirement Benefits
	2015			2014			2015			2014
Benefit obligation at January 1,	$	122,336		$	99,828		$	28,289		$	22,261
Service cost	1,295			1,080			176			151
Interest cost	4,813			4,811			1,074			1,030
Actuarial (gain) loss	(7,492		)	22,163			(3,631		)	5,340
Benefits paid	(6,106		)	(6,017		)	(1,288		)	(996		)
Amendments	574			471			—			—
Other	—			—			471			503
Benefit obligation at December 31,	$	115,420		$	122,336		$	25,091		$	28,289
Fair value of plan assets at January 1,	$	90,897		$	85,367		$	19		$	51
Actual return on plan assets	(2,100		)	6,937			(2		)	3
Employer contributions	2,025			4,610			864			492
Benefits paid	(6,106		)	(6,017		)	(1,288		)	(996		)
Other	—			—			424			469
Fair value of plan assets at December 31,	$	84,716		$	90,897		$	17		$	19
Plan assets less than benefit obligations at December 31 recognized as liability for pension and other post-retirement benefits	$	(30,704	)	$	(31,439	)	$	(25,074	)	$	(28,270	)

Estimated Future Pension and Post-Retirement Benefit Payments

Future estimated annual benefit payments (in thousands) for pension and post-retirement benefit obligations at December 31, 2015 are as follows:



	Benefits
			Post-retirement
	Pension		Before Medicare Subsidy		After Medicare Subsidy
2016	$	6,580	$	1,505	$	1,382
2017	6,870		1,522		1,397
2018	7,079		1,495		1,369
2019	7,294		1,542		1,412
2020	7,391		1,628		1,495
2021-2025	38,190		8,926		8,226

Amounts in Accumulated Other Comprehensive Income Expected to be Recognized as Components of Net Periodic Benefit Cost

The amounts in accumulated other comprehensive income expected to be recognized as components of net periodic benefit cost (in thousands) during the year ended December 31, 2016 are as follows:



	Benefits
	Pension		Post-retirement		Total
Net actuarial loss	$	1,294	$	—	$	1,294
Prior service cost	333		—		333
	$	1,627	$	—	$	1,627

Company's Obligations Determined under Weighted-Average Assumptions

The following weighted-average assumptions were used to determine our obligations under the plans:



	Pension Benefits				Post-retirement Benefits
	2015		2014		2015		2014
Discount rate	4.5	%	4.1	%	4.5	%	4.1	%
Long-term rate of compensation increase	3.5	%	3.5	%	N/A		N/A
Long-term rate of return on plan assets	7.0	%	7.0	%	7.0	%	7.0	%
Health care cost trend rate:
Pre-65 initial rate/ultimate rate	N/A		N/A		7.8%/5.0%		7.5%/5.0%
Pre-65 ultimate year	N/A		N/A		—		—
Post-65 initial rate/ultimate rate	N/A		N/A		9.0%/5.0%		7.0%/5.0%
Post-65 ultimate year	N/A		N/A		2024/2025		2022

Schedule of Mortality Tables Used

Mortality table used for pension benefits and post-retirement benefits plans are the following:



	Pension Benefits and Post-retirement Benefits
	2015	2014
Healthy lives	RP-2014 mortality table, adjusted back to 2006 base rates, with generational mortality improvements using Scale MP-2015	RP-2014 employee and healthy annuitant mortality table with generational mortality improvements using Scale MP-2014
Disabled lives	RP-2014 disabled retiree mortality table, adjusted back to 2006 base rates, with generational mortality improvements using Scale MP-2015	RP-2014 disabled retiree mortality table with generational mortality improvements using Scale MP-2014

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

Assumed health care cost trend rates have a significant effect on the amounts reported for the health care plans. A one-percentage-point change in assumed health care cost trend rates would have the following effects (in thousands):



	One-Percentage-Point
	Increase		Decrease
Effect on total of service and interest cost	$	173	$	(143	)
Effect on post-retirement benefit obligation	3,186		(2,674		)

Fair Value of Pension Plan Assets

The major investment categories and their relative percentage of the fair value of total plan assets as invested at December 31, 2015, and 2014 are as follows:



	Pension Benefits				Post-retirement Benefits
	2015		2014		2015		2014
Equity securities	58.1	%	57.4	%	52.5	%	45.3	%
Debt securities	40.0	%	40.5	%	35.3	%	30.1	%
Cash	1.9	%	2.1	%	12.2	%	24.6	%

Fair Value of Pension Plan Assets, by Asset Category

The fair values of the pension plan assets (in thousands) at December 31, 2015, by asset category, are as follows:



	Level 1		Level 2		Level 3		Total
Cash and cash equivalents	$	—	$	1,635	$	—	$	1,635
Mutual funds:
Diversified emerging markets	6,890		—		—		6,890
Foreign large blend	13,111		—		—		13,111
Large-cap blend	16,855		—		—		16,855
Mid-cap blend	7,769		—		—		7,769
Real estate	4,369		—		—		4,369
Fixed income securities:
Corporate notes and bonds	22,559		—		—		22,559
Government agencies	607		—		—		607
U.S. Treasuries	5,384		—		—		5,384
Mortgage-backed securities	—		3,111		—		3,111
Asset-backed securities	—		2,375		—		2,375
Insurance policies	—		—		51		51
Net asset	$	77,544	$	7,121	$	51	$	84,716

The fair values of the pension plan assets (in thousands) at December 31, 2014, by asset category, are as follows:



	Level 1		Level 2		Level 3		Total
Cash and cash equivalents	$	1,897	$	—	$	—	$	1,897
Mutual funds:
Diversified emerging markets	8,136		—		—		8,136
Foreign large blend	13,216		—		—		13,216
Large-cap blend	19,662		—		—		19,662
Long-term bonds	36,782		—		—		36,782
Mid-cap blend	6,293		—		—		6,293
Real estate	4,844		—		—		4,844
Insurance policies	—		—		67		67
Net asset	$	90,830	$	—	$	67	$	90,897

Summary of Multiemployer Pension Plan

A summary of each multiemployer pension plan for which we participate is presented below:

Pension

Fund

EIN/ Pension

Plan No.

Pension Protection Act

Zone Status⁽¹⁾

FIP/RP Status

Pending/

Implemented

Company

Contributions

(in thousands)

Surcharge

Imposed

Expiration

Date of

CBA

2015

2014

2015

2014

2013

LIUNA

52-6074345/001

Red

Yes

182

149

124

Yes

5/31/2017

IUOE

36-6052390/001

Green

7/29/2018

CSSS⁽²⁾

36-6044243/001

Red

Yes


(1)	The Pension Protection Act of 2006 defines the zone status as follows: green—healthy, yellow—endangered, orange—seriously endangered and red—critical.


(2)	In 2011, we withdrew from the Central States, Southeast and Southwest Areas Pension Plan. The withdrawal liability of $1.0 million will be paid in monthly installments of $4,000 until 2031.