EMPLOYEE BENEFIT PLANS

BancShares sponsors noncontributory defined benefit pension plans for its qualifying employees (BancShares Plan) and former First Citizens Bancorporation, Inc. employees (Bancorporation Plan). The service cost component of net periodic benefit cost is included in salaries and wages while all other non-service cost components are included in other noninterest expense.

BancShares Plan

For the three and nine months ended September 30, 2018 and 2017, the components of net periodic benefit cost are as follows:



	Three months ended September 30						Nine months ended September 30
(Dollars in thousands)	2018			2017			2018			2017
Service cost	$	3,396		$	3,180		$	10,187		$	9,490
Interest cost	7,093			7,283			21,281			21,732
Expected return on assets	(11,966		)	(10,589		)	(35,899		)	(31,594		)
Amortization of prior service cost	19			53			59			158
Amortization of net actuarial loss	3,398			2,214			10,192			6,641
Net periodic benefit cost	$	1,940		$	2,141		$	5,820		$	6,427

Bancorporation Plan

For the three and nine months ended September 30, 2018 and 2017, the components of net periodic benefit cost are as follows:



	Three months ended September 30						Nine months ended September 30
(Dollars in thousands)	2018			2017			2018			2017
Service cost	$	643		$	569		$	1,929		$	1,910
Interest cost	1,588			1,624			4,767			4,989
Expected return on assets	(3,106		)	(2,783		)	(9,322		)	(8,375		)
Amortization of net actuarial loss	78			63			235			491
Net periodic benefit cost	$	(797	)	$	(527	)	$	(2,391	)	$	(985	)

Discretionary contributions of $50.0 million were made to the BancShares pension plan on September 10, 2018 for the 2017 plan year. Management evaluates the need for its pension plan contributions on a periodic basis based upon numerous factors including, but not limited to, the funded status of and returns on the BancShares pension plan, discount rates and the current economic environment. No contribution is expected to be made to either pension plan for the 2018 plan year.