XML 68 R50.htm IDEA: XBRL DOCUMENT v3.20.4
Retirement Benefit Plans (Tables)
 12 Months Ended
Dec. 31, 2020
Retirement Benefits [Abstract]  
Schedule of Defined Benefit Plans Disclosures
The following table sets forth changes in benefit obligation, changes in plan assets, and the funded status of the defined benefit pension and other postretirement benefits at December 31:
  
Pension PlanSERPOther
(In thousands)202020192020201920202019
Change in benefit obligation:
Beginning balance$241,404 $209,513 $1,935 $1,835 $2,399 $2,612 
Interest cost6,511 7,941 46 65 46 85 
Actuarial loss (gain)27,376 33,157 194 163 (307)(103)
Benefits paid and administrative expenses(8,877)(9,207)(129)(128)(140)(195)
Ending balance (1)
266,414 241,404 2,046 1,935 1,998 2,399 
Change in plan assets:
Beginning balance239,621 191,972 — — — — 
Actual return on plan assets35,524 46,856 — — — — 
Employer contributions— 10,000 129 128 140 195 
Benefits paid and administrative expenses(8,877)(9,207)(129)(128)(140)(195)
Ending balance266,268 239,621 — — — — 
Funded status of the plan at year end (2)
$(146)$(1,783)$(2,046)$(1,935)$(1,998)$(2,399)
(1)The total accumulated benefit obligation for the defined benefit pension and other postretirement benefits was $270.5 million and $245.7 million at December 31, 2020 and 2019, respectively.
(2)The underfunded status amounts are included in accrued expense and other liabilities in the accompanying Consolidated Balance Sheets.
Schedule of Net Periodic Benefit Cost Not yet Recognized
The following table summarizes the impact on AOCI related to the defined benefit pension and other postretirement benefits at December 31:
  
Pension PlanSERPOther
(In thousands)202020192020201920202019
Net actuarial loss (gain) included in AOCI$57,902 $56,555 $773 $602 $(690)$(458)
Deferred tax benefit (expense)12,881 12,528 172 133 (153)(101)
Amounts included in accumulated AOCI, net of tax$45,021 $44,027 $601 $469 $(537)$(357)
Schedule of Expected Benefit Payments
Expected future benefit payments for the defined benefit pension and other postretirement benefits are presented below:
(In thousands)Pension PlanSERPOther
2021$9,657 $131 $254 
202210,294 132 237 
202310,465 132 219 
202410,887 138 201 
202511,304 136 182 
2026-203061,336 625 638 
Summary of Net Periodic Benefit Cost
The components of the net periodic benefit cost (benefit) for the defined benefit pension and other postretirement benefits were as follows for the years ended December 31:
Pension PlanSERPOther
(In thousands)202020192018202020192018202020192018
Service cost $— $— $— $— $— $— $— $— $— 
Interest cost on benefit obligations6,511 7,941 7,212 46 65 103 46 85 78 
Expected return on plan assets(13,522)(11,436)(12,716)— — — — — — 
Recognized net loss (gain)4,027 5,705 4,862 23 14 2,846 (74)(13)— 
Net periodic benefit cost (benefit)$(2,984)$2,210 $(642)$69 $79 $2,949 $(28)$72 $78 
Schedule of Defined Benefit Plan Amounts Recognized in Other Comprehensive Income (Loss)
Changes in funded status related to the defined benefit pension and other postretirement benefits and recognized as a component of OCI in the consolidated statement of comprehensive income as follows for the years ended December 31:
Pension PlanSERPOther
(In thousands)202020192018202020192018202020192018
Net (gain) loss$5,375 $(2,263)$9,952 $194 $164 $— $(307)$(103)$(352)
Amounts reclassified from AOCI(4,027)(5,705)(4,862)(23)(14)(2,846)74 13 — 
Total (gain) loss recognized in OCI$1,348 $(7,968)$5,090 $171 $150 $(2,846)$(233)$(90)$(352)
Schedule of Changes in Fair Value of Plan Assets
A summary of the fair value and hierarchy classification of financial assets of the pension plan is as follows:
At December 31,
  
20202019
(In thousands)Level 1Level 2Level 3TotalLevel 1Level 2Level 3Total
Exchange traded fund$39,645 $— $— $39,645 $36,552 $— $— $36,552 
Cash and cash equivalents861 — — 861 1,225 — — 1,225 
Common collective trusts— 225,762 — 225,762 — 201,844 — 201,844 
Total pension plan assets$40,506 $225,762 $— $266,268 $37,777 $201,844 $— $239,621 
Schedule of Assumptions Used
Weighted-average assumptions used to determine benefit obligations at December 31 are as follows:
  
Pension PlanSERPOther
  
202020192020201920202019
Discount rate2.29 %3.07 %1.91 %2.82 %1.40 %2.50 %
Weighted-average assumptions used to determine net periodic benefit cost for the years ended December 31 are as follows:
  
Pension PlanSERPOther
  
202020192018202020192018202020192018
Discount rate3.07 %4.12 %3.50 %2.82 %3.95 %3.30 %2.50 %3.69 %3.00 %
Expected long-term return on assets5.75 %6.00 %6.00 %n/an/an/an/an/an/a
Assumed healthcare cost trendn/an/an/an/an/an/a6.50 %6.50 %7.00 %
Schedule of Multiemployer Plans
The following table sets forth contributions and funding status of Webster Bank's portion of this plan:
(Dollars in thousands)Contributions by Webster Bank for the year ended December 31,Funded Status of the Plan at December 31,
Plan NameEmployer Identification NumberPlan Number20202019201820202019
Pentegra Defined Benefit Plan for Financial Institutions13-5645888333$998$863$679At least 80 percentAt least 80 percent
Schedule of Allocation of Plan Assets
The following table presents the target allocation and the pension plan asset allocation for the periods indicated, by asset category:
  
Target AllocationPercentage of Pension Plan Assets
202120202019
Fixed income investments62 %61 %61 %
Equity investments38 38 38 
Cash and cash equivalents— 1 1 
Total100 %100 %100 %