XML 50 R35.htm IDEA: XBRL DOCUMENT v3.10.0.1
Pension (Tables) - Pension Plan
 12 Months Ended
Dec. 31, 2018
Defined Benefit Plan Disclosure [Line Items]  
Components of Net Benefit Costs
The components of our net pension expense, including the SERP, are as follows:
Year ended December 31,
(dollars in thousands)
 
U.S. Plans
 
Non-U.S. Plans
 
Total
 
2018
 
2017
 
2018
 
2017
 
2018
 
2017
Service cost (benefits earned during the period)
 
$
4,009

 
$
3,916

 
$
1,142

 
$
1,085

 
$
5,151

 
$
5,001

Interest cost on projected benefit obligation
 
12,615

 
13,787

 
2,984

 
2,749

 
15,599

 
16,536

Expected return on plan assets
 
(22,658
)
 
(22,479
)
 
—

 
—

 
(22,658
)
 
(22,479
)
Amortization of unrecognized:
 
 
 
 
 
 
 
 
 
 
 
 
Prior service cost (credit)
 
1

 
236

 
(201
)
 
(204
)
 
(200
)
 
32

Actuarial loss
 
6,472

 
5,232

 
622

 
594

 
7,094

 
5,826

Settlement charge
 
—

 
245

 
92

 
—

 
92

 
245

Pension expense
 
$
439

 
$
937

 
$
4,639

 
$
4,224

 
$
5,078

 
$
5,161
Schedule of Assumptions Used
The assumptions used to determine net periodic pension expense for each year and the benefit obligations at December 31st were as follows:
 
 
U.S. Plans
 
Non-U.S. Plans
 
 
2018
 
2017
 
2018
 
2017
Net periodic pension expense:
 
 
 
 
 
 
 
 
 
 
 
 
Discount rate
 
3.64%
to
3.69%
 
4.18%
to
4.23%
 
9.40%
 
9.30%
Expected long-term rate of return on plan assets
 
7.00%
 
7.00%
 
Not applicable
 
Not applicable
Rate of compensation increase
 
Not applicable
 
Not applicable
 
4.30%
 
4.30%
Cash balance interest crediting rate
 
5.50%
 
5.50%
 
Not applicable
 
Not applicable
Benefit obligations:
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Discount rate
 
4.31%
to
4.33%
 
3.64%
to
3.69%
 
10.60%
 
9.40%
Rate of compensation increase
 
Not applicable
 
Not applicable
 
4.30%
 
4.30%
Cash balance interest crediting rate
 
5.50%
 
5.50%
 
Not applicable
 
Not applicable
Schedule of Changes in Projected Benefit Obligation and Fair Value of Plan Assets
The changes in the projected benefit obligations and fair value of plan assets are as follows:
Year ended December 31,
(dollars in thousands)
 
U.S. Plans
 
Non-U.S. Plans
 
Total
 
2018
 
2017
 
2018
 
2017
 
2018
 
2017
Change in projected benefit obligation:
 
 
 
 
 
 
 
 
 
 
 
 
Projected benefit obligation, beginning of year
 
$
354,053

 
$
336,648

 
$
31,967

 
$
28,161

 
$
386,020

 
$
364,809

Service cost
 
4,009

 
3,916

 
1,142

 
1,085

 
5,151

 
5,001

Interest cost
 
12,615

 
13,787

 
2,984

 
2,749

 
15,599

 
16,536

Exchange rate fluctuations
 
—

 
—

 
138

 
1,214

 
138

 
1,214

Actuarial (gain) loss
 
(28,481
)
 
22,991

 
(3,056
)
 
1,409

 
(31,537
)
 
24,400

Settlements paid
 
—

 
(281
)
 
—

 
—

 
—

 
(281
)
Benefits paid
 
(19,602
)
 
(23,008
)
 
(3,197
)
 
(2,651
)
 
(22,799
)
 
(25,659
)
Projected benefit obligation, end of year
 
$
322,594

 
$
354,053

 
$
29,978

 
$
31,967

 
$
352,572

 
$
386,020

 
 
 
 
 
 
 
 
 
 
 
 
 
Change in fair value of plan assets:
 
 
 
 
 
 
 
 
 
 
 
 
Fair value of plan assets, beginning of year
 
$
343,219

 
$
318,414

 
$
—

 
$
—

 
$
343,219

 
$
318,414

Actual return on plan assets
 
(19,533
)
 
47,595

 
—

 
—

 
(19,533
)
 
47,595

Employer contributions
 
—

 
499

 
3,197

 
2,651

 
3,197

 
3,150

Settlements paid
 
—

 
(281
)
 
—

 
—

 
—

 
(281
)
Benefits paid
 
(19,602
)
 
(23,008
)
 
(3,197
)
 
(2,651
)
 
(22,799
)
 
(25,659
)
Fair value of plan assets, end of year
 
$
304,084

 
$
343,219

 
$
—

 
$
—

 
$
304,084

 
$
343,219

 
 
 
 
 
 
 
 
 
 
 
 
 
Funded ratio
 
94.3
%
 
96.9
%
 
—
%
 
—
%
 
86.2
%
 
88.9
%
Funded status and net accrued pension benefit cost
 
$
(18,510
)
 
$
(10,834
)
 
$
(29,978
)
 
$
(31,967
)
 
$
(48,488
)
 
$
(42,801
)
Net Accrued Benefit Liability
The current portion of the pension liability reflects the amount of expected benefit payments that are greater than the plan assets on a plan-by-plan basis. The net accrued pension benefit liability at December 31st represents underfunded (including unfunded) pension benefits, and is included in the Consolidated Balance Sheets as follows:
December 31,
(dollars in thousands)
 
2018
 
2017
Pension asset
 
$
—

 
$
2,939

Pension liability (current portion)
 
(3,282
)
 
(2,185
)
Pension liability
 
(45,206
)
 
(43,555
)
Net accrued pension liability
 
$
(48,488
)
 
$
(42,801
)
Amounts Recognized in Accumulated Other Comprehensive Loss
The cumulative pretax amounts recognized in accumulated other comprehensive loss (AOCI) as of December 31 are as follows:
December 31,
(dollars in thousands)
 
U.S. Plans
 
Non-U.S. Plans
 
Total
 
2018
 
2017
 
2018
 
2017
 
2018
 
2017
Net actuarial loss
 
$
105,468

 
$
98,228

 
$
8,732

 
$
12,378

 
$
114,200

 
$
110,606

Prior service cost (credit)
 
—

 
1

 
(2,447
)
 
(2,636
)
 
(2,447
)
 
(2,635
)
Total cost in AOCI
 
$
105,468

 
$
98,229

 
$
6,285

 
$
9,742

 
$
111,753

 
$
107,971
Estimated Contributions to Defined Benefit Plan
Estimated contributions for 2019, as well as, contributions made in 2018 and 2017 to the pension plans are as follows:
(dollars in thousands)
 
U.S. Plans
 
Non-U.S. Plans
 
Total
Estimated contributions in 2019
 
$
138

 
$
3,310

 
$
3,448

Contributions made in 2018
 
$
—

 
$
3,197

 
$
3,197

Contributions made in 2017
 
$
499

 
$
2,651

 
$
3,150
Anticipated Benefit Payments
Pension benefit payment amounts are anticipated to be paid from the plans (including the SERP) as follows:
Year
(dollars in thousands)
 
U.S. Plans
 
Non-U.S. Plans
 
Total
2019
 
$
19,836

 
$
3,310

 
$
23,146

2020
 
$
20,046

 
$
2,220

 
$
22,266

2021
 
$
20,211

 
$
2,536

 
$
22,747

2022
 
$
20,465

 
$
2,549

 
$
23,014

2023
 
$
20,750

 
$
2,540

 
$
23,290

2024-2028
 
$
103,988

 
$
14,431

 
$
118,419
Projected and Accumulated Benefit Obligations in Excess of Plan Assets
The projected benefit obligation, accumulated benefit obligation and fair value of plan assets for pension plans with a projected and accumulated benefit obligation in excess of plan assets at December 31, 2018 and 2017 were as follows:
December 31,
(dollars in thousands)
 
U.S. Plans
 
Non-U.S. Plans
 
Total
 
2018
 
2017
 
2018
 
2017
 
2018
 
2017
Projected benefit obligation
 
$
322,594

 
$
268,887

 
$
29,978

 
$
31,967

 
$
352,572

 
$
300,854

Accumulated benefit obligation
 
$
322,594

 
$
268,887

 
$
26,717

 
$
27,055

 
$
349,311

 
$
295,942

Fair value of plan assets
 
$
304,084

 
$
255,115

 
$
—

 
$
—

 
$
304,084

 
$
255,115
Plan Asset Fair Value Measurement
Investments measured at NAV as a practical expedient for fair value have been excluded from the fair value hierarchy, in accordance with U.S. GAAP. The table below presents our U.S. pension plan assets at fair value.
December 31,
(dollars in thousands)
 
Measured at NAV as a practical expedient
 
Target Allocation
 
2018
 
2017
 
2019
Short-term investments
 
$
9,796

 
$
8,061

 
3
%
Real estate
 
6,198

 
16,390

 
2
%
Equity securities
 
108,952

 
156,434

 
40
%
Debt securities
 
146,080

 
125,671

 
45
%
Hedge funds
 
33,058

 
36,663

 
10
%
Total
 
$
304,084

 
$
343,219

 
100
%