Pension Plans

9 Months Ended

Sep. 30, 2022

Retirement Benefits [Abstract]

Pension Plans

Pension Plans

The Company sponsored two defined benefit pension plans – a qualified retirement plan (the “Pension Plan”) which was generally available to all employees, and a Supplemental Executive Retirement Plan (the “SERP”) which was for the benefit of certain senior management executives of the Company. Effective December 31, 2012, the Company froze both plans for all participants. Although no previously accrued benefits were lost, employees no longer accrue benefits under these plans for service subsequent to 2012.

The Company recorded periodic pension cost totaling $51,000 and $158,000 for the three months ended September 30, 2022 and 2021, respectively, and $153,000 and $475,000 for the nine months ended September 30, 2022 and 2021, respectively. The following tables contain the components of the pension cost.

	For the Three Months Ended September 30,
($ in thousands)	2022 Pension Plan		2022 SERP	2022 Total Both Plans	2021 Pension Plan	2021 SERP	2021 Total Both Plans
Service cost	$	—	—	—	—	—	—
Interest cost	267		28	295	283	30	313
Expected return on plan assets	(288)		—	(288)	(264)	—	(264)
Amortization of net (gain)/loss	180		(136)	44	106	3	109
Net periodic pension cost	$	159	(108)	51	125	33	158

	For the Nine Months Ended September 30,
($ in thousands)	2022 Pension Plan		2022 SERP	2022 Total Both Plans	2021 Pension Plan	2021 SERP	2021 Total Both Plans
Service cost	$	—	—	—	—	—	—
Interest cost	801		84	885	693	89	782
Expected return on plan assets	(864)		—	(864)	(792)	—	(792)
Amortization of net (gain)/loss	540		(408)	132	474	11	485
Net periodic pension cost	$	477	(324)	153	375	100	475

The service cost component of net periodic pension cost is included in salaries and benefits expense and all other components of net periodic pension cost are included in other noninterest expense.

The Company’s contributions to the Pension Plan are based on computations by independent actuarial consultants and are intended to be deductible for income tax purposes. The Company did not contribute to the Pension Plan in the first nine months of 2022 and does not expect to contribute to the Pension Plan in the remainder of 2022.

The Company’s funding policy with respect to the SERP is to fund the related benefits from the operating cash flow of the Company.