Benefit Plans (Tables)

12 Months Ended

Dec. 30, 2018

Changes in Projected Benefit Obligation

The following tables set forth pertinent information for the two Company-sponsored pension plans:

Changes in Projected Benefit Obligation

	Fiscal Year
(in thousands)	2018			2017
Projected benefit obligation at beginning of year	$	303,918		$	273,148
Service cost		5,484			2,553
Interest cost		11,350			11,938
Actuarial (gain) / loss		(29,692	)		27,388
Benefits paid		(12,103	)		(11,109	)
Projected benefit obligation at end of year	$	278,957		$	303,918

Change in Plan Assets

Change in Plan Assets

	Fiscal Year
(in thousands)	2018			2017
Fair value of plan assets at beginning of year	$	258,513		$	228,256
Actual return on plan assets		(10,242	)		29,766
Employer contributions		20,000			11,600
Benefits paid		(12,103	)		(11,109	)
Fair value of plan assets at end of year	$	256,168		$	258,513

Funded Status

Funded Status

(in thousands)	December 30, 2018			December 31, 2017
Projected benefit obligation	$	(278,957	)	$	(303,918	)
Plan assets at fair value		256,168			258,513
Net funded status	$	(22,789	)	$	(45,405	)

Amounts Recognized in the Consolidated Balance Sheet

Amounts Recognized in the Consolidated Balance Sheets

(in thousands)	December 30, 2018			December 31, 2017
Current liabilities	$	-		$	-
Noncurrent liabilities		(22,789	)		(45,405	)
Total liability - pension plans	$	(22,789	)	$	(45,405	)

Net Periodic Pension Cost (Benefit)

Net Periodic Pension Cost (Benefit)

	Fiscal Year
(in thousands)	2018			2017			2016
Service cost	$	5,484		$	2,553		$	461
Interest cost		11,350			11,938			12,182
Expected return on plan assets		(15,415	)		(13,597	)		(13,822	)
Recognized net actuarial loss		3,830			3,402			3,031
Amortization of prior service cost		25			28			28
Net periodic pension cost (benefit)	$	5,274		$	4,324		$	1,880

Significant Assumptions

Significant Assumptions

	Fiscal Year
	2018			2017			2016
Projected benefit obligation at the measurement date:
Discount rate - Primary Plan		4.47	%		3.80	%		4.44	%
Discount rate - Bargaining Plan		4.63	%		3.90	%		4.49	%
Weighted average rate of compensation increase	N/A			N/A			N/A
Net periodic pension cost for the fiscal year:
Discount rate - Primary Plan		3.80	%		4.44	%		4.72	%
Discount rate - Bargaining Plan		3.90	%		4.49	%		4.72	%
Weighted average expected long-term rate of return on plan assets(1)		6.00	%		6.00	%		6.50	%
Weighted average rate of compensation increase	N/A			N/A			N/A

⁽¹⁾ The weighted average expected long-term rate of return, which is used in computing net periodic pension cost, reflects an estimate of long-term future returns for the pension plan assets net of expenses. The estimate is primarily a function of the asset classes, equities versus fixed income, in which the pension plan assets are invested and the analysis of past performance of these asset classes over a long period of time. The analysis includes expected long-term inflation and the risk premiums associated with equity investments and fixed income investments.

Expected Weighted Average Long-Term Rate of Return

The Company’s pension plans target asset allocation for 2019, actual asset allocation at December 30, 2018 and December 31, 2017, and the expected weighted average long-term rate of return by asset category were as follows:

	Target			Percentage of Plan						Weighted Average Expected
	Allocation			Assets at Fiscal Year-End						Long-Term Rate of Return
	2019			2018			2017			2018(1)
Debt securities		65	%		64	%		39	%		2.5	%
U.S. equity securities		25	%		25	%		46	%		1.8	%
International equity securities		10	%		9	%		15	%		0.7	%
Cash and cash equivalents		0	%		2	%		0	%		0.0	%
Total		100	%		100	%		100	%		5.0	%

⁽¹⁾ The weighted average expected long-term rate of return of plan assets is 5.0% for the Primary Plan and 5.25% for the Bargaining Plan.

Summary of Common/Collective Trust Fund Pension Plan Assets

The following table summarizes the Company’s common/collective trust fund pension plan assets. The underlying investments held in common/collective trust funds are actively managed equity securities and fixed income investment vehicles that are valued at the net asset value per share multiplied by the number of shares held as of the measurement date.

(in thousands)	December 30, 2018		December 31, 2017
Common/collective trust funds - fixed income	$	164,307	$	100,500
Common/collective trust funds - equity securities		86,107		157,290
Common/collective trust funds - cash equivalents		4,975		-
Total common/collective trust funds	$	255,389	$	257,790

Reconciliation of Activity in Postretirement Benefit Plan

Reconciliation of Activity

	Fiscal Year
(in thousands)	2018			2017
Benefit obligation at beginning of year	$	76,665		$	85,255
Service cost		1,854			2,232
Interest cost		2,694			3,636
Plan participants’ contributions		776			752
Actuarial (gain) / loss		(14,552	)		1,796
Benefits paid		(3,042	)		(2,994	)
Medicare Part D subsidy reimbursement		66			37
Acquisition of benefits		-			3,291
Divestiture of benefits related to the October 2017 Divestitures		-			(17,340	)
Benefit obligation at end of year	$	64,461		$	76,665

Reconciliation of Plan Assets Fair Value in Postretirement Benefit Plan

Reconciliation of Plan Assets Fair Value

	Fiscal Year
(in thousands)	2018			2017
Fair value of plan assets at beginning of year	$	-		$	-
Employer contributions		2,200			2,205
Plan participants’ contributions		776			752
Benefits paid		(3,042	)		(2,994	)
Medicare Part D subsidy reimbursement		66			37
Fair value of plan assets at end of year	$	-		$	-

Funded Status in Postretirement Benefit Plan

Funded Status

(in thousands)	December 30, 2018		December 31, 2017
Current liabilities	$	3,219	$	3,678
Noncurrent liabilities		61,242		72,987
Total liability - postretirement benefits	$	64,461	$	76,665

Components of Net Periodic Postretirement Benefit Cost

Net Periodic Postretirement Benefit Cost

	Fiscal Year
(in thousands)	2018			2017			2016
Service cost	$	1,854		$	2,232		$	1,567
Interest cost		2,694			3,636			3,094
Recognized net actuarial loss		1,889			2,942			2,186
Amortization of prior service cost		(1,847	)		(2,982	)		(3,360	)
Net periodic postretirement benefit cost	$	4,590		$	5,828		$	3,487

Significant Assumptions

Significant Assumptions

	Fiscal Year
	2018			2017			2016
Benefit obligation discount rate at measurement date		4.41	%		3.72	%		4.36	%
Net periodic postretirement benefit cost discount rate for fiscal year		3.72	%		4.36	%		4.53	%
Postretirement benefit expense - Pre-Medicare:
Weighted average healthcare cost trend rate		7.82	%		6.94	%		6.20	%
Trend rate graded down to ultimate rate		4.50	%		4.50	%		4.50	%
Ultimate rate year	2025			2025			2024
Postretirement benefit expense - Post-Medicare:
Weighted average healthcare cost trend rate		7.74	%		8.07	%		7.50	%
Trend rate graded down to ultimate rate		4.50	%		4.50	%		4.50	%
Ultimate rate year	2025			2025			2024

A 1% Increase or Decrease in Annual Healthcare Cost

A 1% increase or decrease in the annual healthcare cost trend would have impacted the postretirement benefit obligation and service cost and interest cost of the Company’s postretirement benefit plan as follows:

(in thousands)	1% Increase		1% Decrease
Postretirement benefit obligation at December 30, 2018	$	7,878	$	(6,993	)
Service cost and interest cost in 2018		590		(525	)

Reconciliation of Amounts in Accumulated Other Comprehensive Loss That Have Not Yet Been Recognized as Components of Net Periodic Benefit Cost

A reconciliation of the amounts in accumulated other comprehensive loss not yet recognized as components of net periodic benefit cost is as follows:

(in thousands)	December 31, 2017			Actuarial Gain (Loss)		Reclassification Adjustments			December 30, 2018
Pension Plans:
Actuarial gain (loss)	$	(127,461	)	$	4,036	$	3,830		$	(119,595	)
Prior service (cost) credit		(73	)		-		25			(48	)
Postretirement Medical:
Actuarial gain (loss)		(39,356	)		14,552		1,889			(22,915	)
Prior service (cost) credit		3,140			-		(1,847	)		1,293
Recognized loss due to the October 2017 Divestitures		8,257			-		-			8,257
Total within accumulated other comprehensive loss	$	(155,493	)	$	18,588	$	3,897		$	(133,008	)

Amounts in Accumulated Other Comprehensive Loss Expected to be Recognized as Components of Net Periodic Pension Costs or Postretirement Benefits Costs in 2019

The amounts in accumulated other comprehensive loss expected to be recognized as components of net periodic cost during 2019 are as follows:

(in thousands)	Pension Plans		Postretirement Medical			Total
Actuarial loss	$	3,603	$	783		$	4,386
Prior service cost (credit)		23		(1,293	)		(1,270	)
Total expected to be recognized during 2019	$	3,626	$	(510	)	$	3,116

Multiemployer Plans

The Company’s participation in the Teamsters Plan is outlined in the table below. A red zone represents less than 80% funding and requires a financial improvement plan (“FIP”) or rehabilitation plan (“RP”).

	Fiscal Year
(in thousands)	2018		2017		2016
Pension Protection Act Zone Status	Red		Red		Red
FIP or RP pending or implemented	Yes		Yes		Yes
Surcharge imposed	Yes		Yes		Yes
Contribution	$	763	$	800	$	728

Supplemental Savings Incentive Plan [Member]

Liability Under Executive Benefit Plans

The liability under this plan was as follows:

(in thousands)	December 30, 2018		December 31, 2017
Current liabilities	$	8,255	$	8,205
Noncurrent liabilities		73,524		74,958
Total liability - Supplemental Savings Incentive Plan	$	81,779	$	83,163

Long-Term Retention Plan [Member]

Liability Under Executive Benefit Plans

The liability under this plan was as follows:

(in thousands)	December 30, 2018		December 31, 2017
Current liabilities	$	42	$	3
Noncurrent liabilities		2,140		2,563
Total liability - Long-Term Retention Plan	$	2,182	$	2,566

Officer Retention Plan [Member]

Liability Under Executive Benefit Plans

The liability under this plan was as follows:

(in thousands)	December 30, 2018		December 31, 2017
Current liabilities	$	3,014	$	2,949
Noncurrent liabilities		42,179		42,694
Total liability - Officer Retention Plan	$	45,193	$	45,643

Long-Term Performance Plan [Member]

Liability Under Executive Benefit Plans

The liability under this plan was as follows:

(in thousands)	December 30, 2018		December 31, 2017
Current liabilities	$	5,234	$	5,561
Noncurrent liabilities		5,244		4,527
Total liability - Long-Term Performance Plan	$	10,478	$	10,088

Pension Plans [Member]

Anticipated Future Pension Benefit Payments

Cash Flows

(in thousands)	Anticipated Future Pension Benefit Payments for the Fiscal Years
2019	$	11,249
2020		11,976
2021		12,737
2022		13,518
2023		14,335
2024 – 2028		81,499

Postretirement Benefits [Member]

Anticipated Future Pension Benefit Payments

Cash Flows

(in thousands)	Anticipated Future Postretirement Benefit Payments Reflecting Expected Future Service
2019	$	3,219
2020		3,334
2021		3,568
2022		3,807
2023		3,849
2024 – 2028		22,222