Employee Benefit Plans (Tables)

12 Months Ended

Dec. 31, 2020

Employee Benefit Plans

Schedule of Changes in Projected Benefit Obligations, Fair Value, and Funded Status

	December 31,
(Dollars in thousands)	2020			2019
Change in benefit obligation
Projected benefit obligation, beginning	$	20,794		$	17,205
Service cost		1,603			1,218
Interest cost		551			609
Actuarial loss		2,996			2,834
Benefits paid		(1,301)			(1,072)
Projected benefit obligation, ending		24,643			20,794
Change in plan assets
Fair value of plan assets, beginning		22,806			20,156
Actual return on plan assets		2,782			3,722
Employer contributions		2,000			—
Benefits paid		(1,301)			(1,072)
Fair value of plan assets, ending		26,287			22,806
Funded status	$	1,644		$	2,012
Amounts recognized as an other asset	$	1,644		$	2,012
Amounts recognized in accumulated other comprehensive loss
Net loss	$	6,748		$	5,239
Prior service credits		(438)			(504)
Deferred taxes		(1,325)			(995)
Total recognized in accumulated other comprehensive loss	$	4,985		$	3,740
Weighted-average assumptions for benefit obligation at valuation date
Discount rate		2.1	%		2.9	%
Rate of compensation increase		3.0			3.0
Interest crediting rate		5.0			5.0

Schedule of net periodic benefit costs

	Year Ended December 31,
(Dollars in thousands)	2020		2019		2018
Components of net periodic benefit cost:
Service cost, included in salaries and employee benefits	$	1,603	$	1,218	$	1,232
Other components of net periodic benefit cost:
Interest cost		551		609		521
Expected return on plan assets		(1,492)		(1,297)		(1,413)
Amortization of prior service credit		(66)		(68)		(62)
Amortization of net obligation at transition		—		—		—
Recognized net actuarial losses		197		187		125
Other components of net periodic benefit cost, included in other noninterest income		(810)		(569)		(829)
Net periodic benefit cost	$	793	$	649		403

Schedule of weighted-average assumptions used for net periodic benefit cost

	January 1,
	2020		2019		2018
Weighted-average assumptions for net periodic benefit cost
Discount rate	2.9	%	4.0	%	3.3	%
Expected return on plan assets	7.3		7.3		7.3
Rate of compensation increase	3.0		3.0		3.0
Interest crediting rate	5.0		5.0		5.0

Schedule of benefits expected to be paid by the plan in the next ten years

(Dollars in thousands)
2021	$	4,059
2022		810
2023		1,560
2024		1,376
2025		2,251
2026 – 2030		7,515

Schedule of defined benefit pension plan weighted average asset allocations by asset category

	December 31,
	2020		2019
Mutual funds-fixed income	37	%	38	%
Mutual funds-equity	63		62
Cash and equivalents	*		*
	100	%	100	%

* Less than one percent.

Summary of fair value of defined benefit plan assets

	December 31, 2020
	Fair Value Measurements Using						Assets at Fair
(Dollars in thousands)	Level 1		Level 2		Level 3		Value
Mutual funds-fixed income 1	$	9,726	$	—	$	—	$	9,726
Mutual funds-equity 2		16,561		—		—		16,561
Cash and equivalents 3		—		—		—		—
Total pension plan assets	$	26,287	$	—	$	—	$	26,287

	December 31, 2019
	Fair Value Measurements Using						Assets at Fair
(Dollars in thousands)	Level 1		Level 2		Level 3		Value
Mutual funds-fixed income 1	$	8,744	$	—	$	—	$	8,744
Mutual funds-equity 2		14,062		—		—		14,062
Cash and equivalents 3		—		—		—		—
Total pension plan assets	$	22,806	$	—	$	—	$	22,806

1 This category includes investments in mutual funds focused on fixed income securities with both short-term and long-term investments. The funds are valued using the net asset value method in which an average of the market prices for the underlying investments is used to value the funds.

2 This category includes investments in mutual funds focused on equity securities with a diversified portfolio and includes investments in large cap and small cap funds, growth funds, international focused funds and value funds. The funds are valued using the net asset value method in which an average of the market prices for the underlying investments is used to value the funds.

3 This category comprises cash and short-term cash equivalent funds. The funds are valued at cost which approximates fair value.