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Employee Benefits (Tables)
 12 Months Ended
Dec. 31, 2019
Weighted Average Assumptions used in Determining Net Periodic Benefit Cost
The following table indicates the weighted average assumptions used in determining the net periodic benefit cost for the years indicated:
                         
 
Years Ended December 31,
 
 
2019
   
2018
   
2017
 
Discount rate
   
4.1
 %    
3.4
 %    
3.9
 %
Expected rate of return on plan assets
   
6.8
     
7.0
     
7.5
 
 
 
Fair Value Measurements of Investments Held by Retirement Plan
The following table presents information about the fair value measurements of the investments held by the Retirement Plan as of December 31, 2019:
(in thousands)
  
Total
   
Quoted Prices in
Active Markets for
Identical Assets
(Level 1)
   
Significant Other
Observable
Inputs
(Level 2)
   
Significant
Unobservable
Inputs
(Level 3)
 
Equity:
   
     
     
     
 
Large-cap
value
(1)
  
$
21,279
   
$
—
   
$
21,279
   
$
—
 
Large-cap
growth
(2)
    
21,852
     
—
     
21,852
     
—
 
Large-cap
core
(3)
    
15,978
     
—
     
15,978
     
—
 
Mid-cap
value
(4)
    
4,560
     
—
     
4,560
     
—
 
Mid-cap
growth
(5)
    
4,871
     
—
     
4,871
     
—
 
Mid-cap
core
(6)
    
4,664
     
—
     
4,664
     
—
 
Small-cap
value
(7)
    
3,272
     
—
     
3,272
     
—
 
Small-cap
growth
(8)
    
6,927
     
—
     
6,927
     
—
 
Small-cap
core
(9)
    
3,139
     
—
     
3,139
     
—
 
International equity
(10)
    
25,760
     
—
     
25,760
     
—
 
Fixed Income Funds:
   
     
     
     
 
Fixed Income – U.S. Core
(11)
    
72,765
     
—
     
72,765
     
—
 
Intermediate duration
(12)
    
24,517
     
—
     
24,517
     
—
 
Equity Securities:
   
     
     
     
 
Company common stock
   
28,185
     
28,185
     
—
     
—
 
Cash Equivalents:
   
     
     
     
 
Money market
*
    
4,789
     
1,810
     
2,979
     
—
 
                                 
  
$
242,558
   
$
29,995
   
$
212,563
   
$
—
 
                                 
*
Includes cash equivalent investments in equity and fixed income strategies.
(1)
This category contains large-cap stocks with above-average yield. The portfolio typically holds between
60
and
70
stocks.
(2)
This category seeks long-term capital appreciation by investing primarily in large growth companies based in the U.S.
(3)
This fund tracks the performance of the S&P 500 Index by purchasing the securities represented in the Index in approximately the same weightings as the Index.
(4)
This category employs an indexing investment approach designed to track the performance of the CRSP US Mid-Cap Value Index.
(5)
This category employs an indexing investment approach designed to track the performance of the CRSP US Mid-Cap Growth Index.
(6)
This category seeks to track the performance of the S&P Midcap 400 Index.
(7)
This category consists of a selection of investments based on the Russell 2000 Value Index.
(8)
This category consists of a mutual fund invested in small cap growth companies along with a fund invested in a selection of investments based on the Russell 2000 Growth Index.
(9)
This category consists of a mutual fund investing in readily marketable securities of U.S. companies with market capitalizations within the smallest 10% of the market universe, or smaller than the 1000th largest US company.
(10)
This category invests primarily in medium to large non-US companies in developed and emerging markets. Under normal circumstances, at least 80% of total assets will be invested in equity securities, including common stocks, preferred stocks, and convertible securities.
(11)
This category currently includes equal investments in three mutual funds, two of which usually hold at least 80% of fund assets in investment grade fixed income securities, seeking to outperform the Barclays US Aggregate Bond Index while maintaining a similar duration to that index. The third fund targets investments of 50% or more in mortgage-backed securities guaranteed by the US government and its agencies.
(12)
This category consists of a mutual fund which invest in a diversified portfolio of high-quality bonds and other fixed income securities, including U.S. Government obligations, mortgage-related and asset backed securities, corporate and municipal bonds, CMOs, and other securities mostly rated A or better.
Weighted Average Asset Allocations for Retirement Plan
The asset allocations for the Retirement Plan as of December 31, 2019 and 2018 were as follows:
 
At December 31,
 
  
2019
   
2018
 
Equity securities
   
58
 %    
57
 %
Debt securities
   
40
     
41
 
Cash equivalents
   
2
     
2
 
                 
Total
   
100
 %    
100
 %
                 
Expected Future Annuity Payments by Retirement Plan
The following annuity payments, which reflect expected future service, as appropriate, are expected to be paid by the Retirement Plan during the years indicated:
(in thousands)
  
 
2020
 
$
8,016
 
2021
   
7,855
 
2022
   
7,932
 
2023
   
8,031
 
2024
   
8,271
 
2025 and thereafter
   
43,671
 
         
Total
 
$
83,776
 
         
Weighted Average Assumptions used in Determining Net Periodic Benefit Cost of Health and Welfare Plan
The following table presents the weighted average assumptions used in determining the net periodic benefit cost for the years indicated:
 
Years Ended December 31,
 
  
2019
   
2018
   
2017
 
Discount rate
   
3.9
 %    
3.3
 %    
3.7
 %
Current medical trend rate
   
6.5
     
6.5
     
6.5
 
Ultimate trend rate
   
5.0
     
5.0
     
5.0
 
Year when ultimate trend rate will be reached
   
2025
     
2024
     
2023
 
Expected Future Payments for Premiums and Claims under Health and Welfare Plan
The following amounts are currently expected to be paid for premiums and claims during the years indicated under the Health & Welfare Plan:
(in thousands)
 
 
2020
 
$
947
 
2021
   
920
 
2022
   
887
 
2023
   
858
 
2024
   
827
 
2025 and thereafter
   
3,659
 
         
Total
 
$
8,098
 
         
Pension Benefits  
Information Regarding Benefit Plan
The following table sets forth certain information regarding the Retirement Plan as of the dates indicated:
                 
 
December 31,
 
(in thousands)
  
2019
   
2018
 
Change in Benefit Obligation:
   
     
 
Benefit obligation at beginning of year
  $
143,235
    $
151,411
 
Interest cost
   
5,660
     
5,085
 
Actuarial
 
loss
(gain)
    
18,806
     
(4,676
 )
Annuity payments
   
(6,473
)    
(6,453
 )
Settlements
   
(1,332
)    
(2,132
 )
                 
Benefit obligation at end of year
  $
159,896
    $
143,235
 
Change in Plan Assets:
   
     
 
Fair value of assets at beginning of year
  $
210,246
    $
234,136
 
Actual
return
(loss) on plan assets
   
40,117
     
(15,305
 )
Contributions
   
—
     
—  
  
Annuity payments
   
(6,473
)    
(6,453
 )
Settlements
   
(1,332
)    
(2,132
 )
                 
Fair value of assets at end of year
  $
242,558
    $
210,246
 
                 
Funded status (included in “Other assets”)
  $
82,662
    $
67,011
 
                 
Changes recognized in other comprehensive income for the year ended December 31:
   
     
 
Amortization of prior service cost
  $
—
    $
—  
  
Amortization of actuarial loss
   
(10,035
)    
(7,179
 )
Net actuarial
(gain)
loss arising during the year
   
(7,378
)    
26,768
 
                 
Total recognized in other comprehensive income for the year
(pre-tax)
  $
(17,413
)   $
19,589
 
                 
Accumulated other comprehensive loss
(pre-tax)
not yet recognized in net periodic benefit cost at December 31:
    
     
 
Prior service cost
  $
—
    $
—  
  
Actuarial loss, net
   
75,767
     
93,180
 
                 
Total accumulated other comprehensive loss
(pre-tax)
  $
75,767
    $
93,180
 
                 
 
 
Components of Net Periodic Benefit Cost
The components of net periodic pension expense (credit) were as follows for the years indicated:
                         
 
Years Ended December 31,
 
(in thousands)
  
2019
   
2018
   
2017
 
Components of net periodic pension
expense (
credit
)
:
    
     
     
 
Interest cost
  $
5,660
    $
5,085
    $
5,616
 
Expected return on plan assets
   
(13,933
)    
(16,139
 )    
(16,290
 )
Amortization of net actuarial loss
   
10,035
     
7,179
     
8,209
 
                         
Net periodic pension
expense (
credit
)
   $
1,762
    $
(3,875
 )   $
(2,465
 )
                         
 
 
Post-Retirement Benefits  
Information Regarding Benefit Plan
The following table sets forth certain information regarding the Health & Welfare Plan as of the dates indicated:
 
December 31,
 
(in thousands)
 
2019
   
2018
 
Change in benefit obligation:
   
     
 
Benefit obligation at beginning of year
  $
13,583
    $
16,349
 
Interest cost
   
512
     
513
 
Actuarial gain
    
(1,233
)    
(2,248
 )
Premiums and claims paid
   
(964
)    
(1,031
 )
                 
Benefit obligation at end of year
  $
11,898
    $
13,583
 
                 
Change in plan assets:
   
     
 
Fair value of assets at beginning of year
  $
—
    $
—  
  
Employer contribution
   
964
     
1,031
 
Premiums and claims paid
   
(964
)    
(1,031
 )
                 
Fair value of assets at end of year
  $
—
    $
—  
  
                 
Funded status (included in “Other liabilities”)
  $
(11,898
)   $
(13,583
 )
                 
Changes recognized in other comprehensive income for the year ended December 31:
   
     
 
Amortization of prior service cost
  $
249
    $
249
 
Amortization of actuarial gain
   
(124
)    
(309
 )
Net actuarial (gain) loss arising during the year
   
(1,234
)    
(2,248
 )
                 
Total recognized in other comprehensive
income
for the year
(pre-tax)
  $
(1,109
)   $
(2,308
 )
                 
Accumulated other comprehensive loss
(pre-tax)
not yet recognized in net periodic benefit cost at December 31:
    
     
 
Prior service cost
  $
(536
)   $
(785
 )
Actuarial loss, net
   
1,466
     
2,823
 
                 
Total accumulated other comprehensive
income
(pre-tax)
  $
930
    $
2,038
 
                 
Components of Net Periodic Benefit Cost
The following table presents the components of net periodic benefit cost for the years indicated:
 
Years Ended December 31,
 
(in thousands)
 
2019
   
2018
   
2017
 
Components of Net Periodic Benefit Cost:
   
     
     
 
Service cost
  $
—
    $
—  
     $
—  
  
Interest cost
   
512
     
513
     
577
 
Amortization of past-service liability
   
(249
)    
(249
 )    
(249
 )
Amortization of net actuarial loss
   
124
     
309
     
274
 
                         
Net periodic benefit cost
  $
387
    $
573
    $
602