XML 53 R29.htm IDEA: XBRL DOCUMENT v3.5.0.2
Retirement Plan And Other Post-Retirement Benefits (Tables)
 12 Months Ended
Sep. 30, 2016
Defined Benefit Plan Disclosure [Line Items]  
Schedule Of Benefit Obligations, Plan Assets And Funded Status
Reconciliations of the Benefit Obligations, Plan Assets and Funded Status, as well as the components of Net Periodic Benefit Cost and the Weighted Average Assumptions of the Retirement Plan and other post-retirement benefits are shown in the tables below. The date used to measure the Benefit Obligations, Plan Assets and Funded Status is September 30 for fiscal years 2016, 2015 and 2014.
 
Retirement Plan
 
Other Post-Retirement Benefits
 
Year Ended September 30
 
Year Ended September 30
 
2016
 
2015
 
2014
 
2016
 
2015
 
2014
 
(Thousands)
Change in Benefit Obligation
 
 
 
 
 
 
 
 
 
 
 
Benefit Obligation at Beginning of Period
$
1,026,190

 
$
999,499

 
$
946,305

 
$
464,987

 
$
465,583

 
$
460,634

Service Cost
11,710

 
12,047

 
11,987

 
2,331

 
2,693

 
2,939

Interest Cost
42,315

 
41,217

 
43,574

 
20,386

 
19,285

 
21,308

Plan Participants’ Contributions
—

 
—

 
—

 
2,558

 
2,242

 
2,265

Retiree Drug Subsidy Receipts
—

 
—

 
—

 
1,925

 
1,338

 
1,419

Amendments(1)
—

 
7,752

 
—

 
—

 
—

 
—

Actuarial (Gain) Loss
76,309

 
23,426

 
53,887

 
60,402

 
(1,575
)
 
1,087

Benefits Paid
(59,103
)
 
(57,751
)
 
(56,254
)
 
(26,451
)
 
(24,579
)
 
(24,069
)
Benefit Obligation at End of Period
$
1,097,421

 
$
1,026,190

 
$
999,499

 
$
526,138

 
$
464,987

 
$
465,583

Change in Plan Assets
 
 
 
 
 
 
 
 
 
 
 
Fair Value of Assets at Beginning of Period
$
834,870

 
$
869,791

 
$
799,307

 
$
477,959

 
$
497,601

 
$
472,392

Actual Return on Plan Assets
87,008

 
(13,370
)
 
93,238

 
37,415

 
534

 
44,898

Employer Contributions
7,000

 
36,200

 
33,500

 
2,839

 
2,161

 
2,115

Plan Participants’ Contributions
—

 
—

 
—

 
2,558

 
2,242

 
2,265

Benefits Paid
(59,103
)
 
(57,751
)
 
(56,254
)
 
(26,451
)
 
(24,579
)
 
(24,069
)
Fair Value of Assets at End of Period
$
869,775

 
$
834,870

 
$
869,791

 
$
494,320

 
$
477,959

 
$
497,601

Net Amount Recognized at End of Period (Funded Status)
$
(227,646
)
 
$
(191,320
)
 
$
(129,708
)
 
$
(31,818
)
 
$
12,972

 
$
32,018

Amounts Recognized in the Balance Sheets Consist of:
 
 
 
 
 
 
 
 
 
 
 
Non-Current Liabilities
$
(227,646
)
 
$
(191,320
)
 
$
(129,708
)
 
$
(49,467
)
 
$
(11,487
)
 
$
(4,494
)
Non-Current Assets
—

 
—

 
—

 
17,649

 
24,459

 
36,512

Net Amount Recognized at End of Period
$
(227,646
)
 
$
(191,320
)
 
$
(129,708
)
 
$
(31,818
)
 
$
12,972

 
$
32,018

Accumulated Benefit Obligation
$
1,039,408

 
$
968,984

 
$
940,068

 
N/A

 
N/A

 
N/A

Weighted Average Assumptions Used to Determine Benefit Obligation at September 30
 
 
 
 
 
 
 
 
 
 
 
Discount Rate
3.60
%
 
4.25
%
 
4.25
%
 
3.70
%
 
4.50
%
 
4.25
%
Rate of Compensation Increase
4.70
%
 
4.75
%
 
4.75
%
 
4.70
%
 
4.75
%
 
4.75
%
 
Retirement Plan
 
Other Post-Retirement Benefits
 
Year Ended September 30
 
Year Ended September 30
 
2016
 
2015
 
2014
 
2016
 
2015
 
2014
 
(Thousands)
Components of Net Periodic Benefit Cost
 
 
 
 
 
 
 
 
 
 
 
Service Cost
$
11,710

 
$
12,047

 
$
11,987

 
$
2,331

 
$
2,693

 
$
2,939

Interest Cost
42,315

 
41,217

 
43,574

 
20,386

 
19,285

 
21,308

Expected Return on Plan Assets
(59,369
)
 
(59,615
)
 
(59,974
)
 
(31,535
)
 
(34,089
)
 
(37,424
)
Amortization of Prior Service Cost (Credit)
1,234

 
183

 
210

 
(912
)
 
(1,913
)
 
(2,138
)
Recognition of Actuarial Loss(2)
32,248

 
36,129

 
36,007

 
5,530

 
4,148

 
2,645

Net Amortization and Deferral for Regulatory Purposes
3,957

 
7,739

 
8,151

 
17,123

 
20,322

 
23,263

Net Periodic Benefit Cost
$
32,095

 
$
37,700

 
$
39,955

 
$
12,923

 
$
10,446

 
$
10,593

Weighted Average Assumptions Used to Determine Net Periodic Benefit Cost at September 30
 
 
 
 
 
 
 
 
 
 
 
Discount Rate
4.25
%
 
4.25
%
 
4.75
%
 
4.50
%
 
4.25
%
 
4.75
%
Expected Return on Plan Assets
7.25
%
 
7.50
%
 
8.00
%
 
6.75
%
 
7.00
%
 
8.00
%
Rate of Compensation Increase
4.75
%
 
4.75
%
 
4.75
%
 
4.75
%
 
4.75
%
 
4.75
%
 
(1)
In fiscal 2015, the Company passed an amendment which updated the mortality table used in the Retirement Plan's definition of "actuarially equivalent" effective July 1, 2015. This increased the benefit obligation of the Retirement Plan.
(2)
Distribution Corporation’s New York jurisdiction calculates the amortization of the actuarial loss on a vintage year basis over 10 years, as mandated by the NYPSC. All the other subsidiaries of the Company utilize the corridor approach.
Schedule Of Cumulative Amounts Recognized In AOCI (Loss) And Regulatory Assets And Liabilities
The cumulative amounts recognized in accumulated other comprehensive income (loss), regulatory assets, and regulatory liabilities through fiscal 2016, the changes in such amounts during 2016, as well as the amounts expected to be recognized in net periodic benefit cost in fiscal 2017 are presented in the table below:
 
Retirement
Plan
 
Other
Post-Retirement
Benefits
 
Non-Qualified
Benefit Plans
 
(Thousands)
Amounts Recognized in Accumulated Other Comprehensive Income (Loss), Regulatory Assets and Regulatory Liabilities(1)
 
 
 
 
 
Net Actuarial Loss
$
(303,602
)
 
$
(108,907
)
 
$
(27,041
)
Prior Service (Cost) Credit
(7,191
)
 
4,115

 
—

Net Amount Recognized
$
(310,793
)
 
$
(104,792
)
 
$
(27,041
)
Changes to Accumulated Other Comprehensive Income (Loss), Regulatory Assets and Regulatory Liabilities Recognized During Fiscal 2016(1)
 
 
 
 
 
Increase in Actuarial Loss, excluding amortization(2)
$
(48,670
)
 
$
(54,523
)
 
$
(5,450
)
Change due to Amortization of Actuarial Loss
32,248

 
5,530

 
3,338

Prior Service (Cost) Credit
1,234

 
(912
)
 
—

Net Change
$
(15,188
)
 
$
(49,905
)
 
$
(2,112
)
Amounts Expected to be Recognized in Net Periodic Benefit Cost in the Next Fiscal Year(1)
 
 
 
 
 
Net Actuarial Loss
$
(42,687
)
 
$
(18,415
)
 
$
(4,059
)
Prior Service (Cost) Credit
(1,058
)
 
429

 
—

Net Amount Expected to be Recognized
$
(43,745
)
 
$
(17,986
)
 
$
(4,059
)
 
(1)
Amounts presented are shown before recognizing deferred taxes.
(2)
Amounts presented include the impact of actuarial gains/losses related to return on assets, as well as the Actuarial (Gain) Loss amounts presented in the Change in Benefit Obligation.
Schedule Of Expected Benefit Payments
The estimated gross other post-retirement benefit payments and gross amount of Medicare Part D prescription drug subsidy receipts are as follows (dollars in thousands):

 
Benefit Payments
 
Subsidy Receipts
2017
$
26,511

 
$
(1,662
)
2018
$
27,775

 
$
(1,812
)
2019
$
28,901

 
$
(1,975
)
2020
$
29,996

 
$
(2,125
)
2021
$
31,071

 
$
(2,266
)
2022 through 2026
$
164,611

 
$
(13,295
)
Schedule Of Health Care Cost Trend Rates
Assumed health care cost trend rates as of September 30 were:
 
2016
 
 
2015
 
 
2014
 
Rate of Medical Cost Increase for Pre Age 65 Participants
5.75
%
(1)
 
6.93
%
(2)
 
7.10
%
(2)
Rate of Medical Cost Increase for Post Age 65 Participants
4.75
%
(1)
 
6.68
%
(2)
 
6.73
%
(2)
Annual Rate of Increase in the Per Capita Cost of Covered Prescription Drug Benefits
9.00
%
(1)
 
7.17
%
(2)
 
7.47
%
(2)
Annual Rate of Increase in the Per Capita Medicare Part B Reimbursement
4.75
%
(1)
 
6.68
%
(2)
 
6.73
%
(2)
Annual Rate of Increase in the Per Capita Medicare Part D Subsidy
7.20
%
(1)
 
6.65
%
(2)
 
6.79
%
(2)
 
(1)
It was assumed that this rate would gradually decline to 4.5% by 2039.
(2)
It was assumed that this rate would gradually decline to 4.5% by 2028.
Retirement Plan [Member]  
Defined Benefit Plan Disclosure [Line Items]  
Schedule Of Fair Value Of Plan Assets
 
Total Fair Value
Amounts at
September 30, 2016
 
Level 1
 
Level 2
 
Level 3
Retirement Plan Investments
 
 
 
 
 
 
 
Domestic Equities(1)
$
256,796

 
$
188,253

 
$
68,543

 
$
—

International Equities(2)
104,592

 
—

 
104,592

 
—

Global Equities(3)
120,025

 
—

 
120,025

 
—

Domestic Fixed Income(4)
342,442

 
1,647

 
340,795

 
—

International Fixed Income(5)
744

 
407

 
337

 
—

Global Fixed Income(6)
81,146

 
—

 
81,146

 
—

Real Estate
2,970

 
—

 
—

 
2,970

Cash and Cash Equivalents
24,812

 
—

 
24,812

 
—

Total Retirement Plan Investments
933,527

 
190,307

 
740,250

 
2,970

401(h) Investments
(58,707
)
 
(12,025
)
 
(46,494
)
 
(188
)
Total Retirement Plan Investments (excluding 401(h) Investments)
$
874,820

 
$
178,282

 
$
693,756

 
$
2,782

Miscellaneous Accruals, Interest Receivables, and Non-Interest Cash
(5,045
)
 
 
 
 
 
 
Total Retirement Plan Assets
$
869,775

 
 
 
 
 
 
 
 
Total Fair Value
Amounts at
September 30, 2015
 
Level 1
 
Level 2
 
Level 3
Retirement Plan Investments
 
 
 
 
 
 
 
Domestic Equities(1)
$
229,811

 
$
170,166

 
$
59,645

 
$
—

International Equities(2)
96,478

 
—

 
96,478

 
—

Global Equities(3)
112,802

 
—

 
112,802

 
—

Domestic Fixed Income(4)
303,508

 
1,539

 
301,969

 
—

International Fixed Income(5)
883

 
883

 
—

 
—

Global Fixed Income(6)
86,773

 
—

 
86,773

 
—

Hedge Fund Investments
26,490

 
—

 
—

 
26,490

Real Estate
4,724

 
—

 
—

 
4,724

Cash and Cash Equivalents
27,723

 
—

 
27,723

 
—

Total Retirement Plan Investments
889,192

 
172,588

 
685,390

 
31,214

401(h) Investments
(53,686
)
 
(10,420
)
 
(41,381
)
 
(1,885
)
Total Retirement Plan Investments (excluding 401(h) Investments)
$
835,506

 
$
162,168

 
$
644,009

 
$
29,329

Miscellaneous Accruals, Interest Receivables, and Non-Interest Cash
(636
)
 
 
 
 
 
 
Total Retirement Plan Assets
$
834,870

 
 
 
 
 
 
 
(1)
Domestic Equities include mostly collective trust funds, common stock, and exchange traded funds.
(2)
International Equities include mostly collective trust funds and common stock.
(3)
Global Equities are comprised of collective trust funds.
(4)
Domestic Fixed Income securities include mostly collective trust funds, corporate/government bonds and mortgages, and exchange traded funds.
(5)
International Fixed Income securities are comprised mostly of an exchange traded fund.
(6)
Global Fixed Income securities are comprised of a collective trust fund.
Other Post-Retirement Benefit Plans [Member]  
Defined Benefit Plan Disclosure [Line Items]  
Schedule Of Fair Value Of Plan Assets
 
Total Fair Value
Amounts at
September 30, 2016
 
Level 1
 
Level 2
 
Level 3
Other Post-Retirement Benefit Assets held in VEBA Trusts
 
 
 
 
 
 
 
Collective Trust Funds — Domestic Equities
$
139,617

 
$
139,617

 
$
—

 
$
—

Collective Trust Funds — International Equities
51,488

 
—

 
51,488

 
—

Exchange Traded Funds — Fixed Income
230,761

 
230,761

 
—

 
—

Cash Held in Collective Trust Funds
13,176

 
—

 
13,176

 
—

Total VEBA Trust Investments
435,042

 
370,378

 
64,664

 
—

401(h) Investments
58,707

 
12,025

 
46,494

 
188

Total Investments (including 401(h) Investments)
$
493,749

 
$
382,403

 
$
111,158

 
$
188

Miscellaneous Accruals (Including Current and Deferred Taxes, Claims Incurred But Not Reported, Administrative)
571

 
 
 
 
 
 
Total Other Post-Retirement Benefit Assets
$
494,320

 
 
 
 
 
 
 
 
Total Fair Value
Amounts at
September 30, 2015
 
Level 1
 
Level 2
 
Level 3
Other Post-Retirement Benefit Assets held in VEBA Trusts
 
 
 
 
 
 
 
Collective Trust Funds — Domestic Equities
$
128,336

 
$
—

 
$
128,336

 
$
—

Collective Trust Funds — International Equities
48,857

 
—

 
48,857

 
—

Exchange Traded Funds — Fixed Income
233,471

 
233,471

 
—

 
—

Cash Held in Collective Trust Funds
13,119

 
—

 
13,119

 
—

Total VEBA Trust Investments
423,783

 
233,471

 
190,312

 
—

401(h) Investments
53,686

 
10,420

 
41,381

 
1,885

Total Investments (including 401(h) Investments)
$
477,469

 
$
243,891

 
$
231,693

 
$
1,885

Miscellaneous Accruals (Including Current and Deferred Taxes, Claims Incurred But Not Reported, Administrative)
490

 
 
 
 
 
 
Total Other Post-Retirement Benefit Assets
$
477,959

 
 
 
 
 
 
Schedule Of Significant Unobservable Input Changes In Plan Assets
 
Other Post-Retirement Benefit Level 3 Assets
(Thousands)
 
 
401(h)
Investments
 
 
 
Balance at September 30, 2014
 
$
2,909

 
Realized Gains/(Losses)
 
135

 
Unrealized Gains/(Losses)
 
103

 
Purchases
 
5

 
Sales
 
(1,267
)
 
Balance at September 30, 2015
 
1,885

 
Realized Gains/(Losses)
 
354

 
Unrealized Gains/(Losses)
 
(344
)
 
Sales
 
(1,707
)
 
Balance at September 30, 2016
 
$
188

 
Retirement Plan [Member]  
Defined Benefit Plan Disclosure [Line Items]  
Schedule Of Significant Unobservable Input Changes In Plan Assets
 
 
Retirement Plan Level 3 Assets
(Thousands)
 
 
Hedge
Funds
 
Real
Estate
 
Excluding
401(h)
Investments
 
Total
 
 
 
Balance at September 30, 2014
$
45,213

 
$
3,792

 
$
(2,909
)
 
$
46,096

 
Realized Gains/(Losses)
2,284

 
—

 
(135
)
 
2,149

 
Unrealized Gains/(Losses)
317

 
871

 
(103
)
 
1,085

 
Purchases
—

 
82

 
(5
)
 
77

 
Sales
(21,324
)
 
(21
)
 
1,267

 
(20,078
)
 
Balance at September 30, 2015
26,490

 
4,724


(1,885
)

29,329

 
Realized Gains/(Losses)
5,878

 
—

 
(354
)
 
5,524

 
Unrealized Gains/(Losses)
(5,445
)
 
(404
)
 
344

 
(5,505
)
 
Sales
(26,923
)
 
(1,350
)
 
1,707

 
(26,566
)
 
Balance at September 30, 2016
$
—

 
$
2,970

 
$
(188
)
 
$
2,782