Cincinnati Bell 2015 Annual Report Download - page 207

Form 10-K Part II Cincinnati Bell Inc.
Other charges in 2015 represent project related expenses as we continue to identify opportunities to
integrate the business markets within our Entertainment and Communications and IT Services & Hardware
segments. For 2013, contract terminations consisted of amounts due to a distributor to terminate a contractual
agreement.
A summary of restructuring activity by business segment is presented below:
(dollars in millions)
Entertainment
and
Communications
IT Services
and Hardware Corporate Total
Balance as of December 31, 2012 ...................... $ 8.6 $0.5 $2.8 $11.9
Charges .......................................... 9.1 0.7 3.7 13.5
Utilizations ....................................... (7.2) (0.4) (3.5) (11.1)
Balance as of December 31, 2013 ...................... 10.5 0.8 3.0 14.3
Charges/(Reversals) ................................. (0.5) — 0.1 (0.4)
Utilizations ....................................... (6.1) (0.5) (2.4) (9.0)
Balance as of December 31, 2014 ...................... 3.9 0.3 0.7 4.9
Charges .......................................... 1.6 2.8 1.6 6.0
Utilizations ....................................... (4.7) (2.8) (2.3) (9.8)
Balance as of December 31, 2015 ...................... $ 0.8 $0.3 $ — $ 1.1
At December 31, 2015 and 2014, $0.9 million and $4.9 million, respectively, of the restructuring liabilities
were included in “Other current liabilities.” At December 31, 2015, $0.2 million was included in “Other
noncurrent liabilities.”
12. Pension and Postretirement Plans
Savings Plans
The Company sponsors several defined contribution plans covering substantially all employees. The
Company’s contributions to the plans are based on matching a portion of the employee contributions. Both
employer and employee contributions are invested in various investment funds at the direction of the employee.
Employer contributions to the defined contribution plans were $7.0 million, $6.4 million, and $6.2 million in
2015, 2014, and 2013, respectively.
Pension and Postretirement Plans
The Company sponsors three noncontributory defined benefit pension plans: one for eligible management
employees, one for non-management employees, and one supplemental, nonqualified, unfunded plan for certain
former senior executives. The management pension plan is a cash balance plan in which the pension benefit is
determined by a combination of compensation-based credits and annual guaranteed interest credits. Pension plan
amendments were approved in May 2013 and the Company remeasured the associated pension obligations. As a
result of the pension plan amendment, the Company recorded a curtailment gain of $0.6 million and a $10.3
million reduction to the associated pension obligations during the second quarter of 2013. The non-management
pension plan is also a cash balance plan in which the combination of service and job-classification-based credits
and annual interest credits determine the pension benefit. During the second quarter of 2015, the non-
management pension plan was amended to eliminate all future pension credits and transition benefits. As a result,
we recognized a curtailment loss of $0.3 million and a $1.7 million reduction to the associated pension
obligations. Benefits for the supplemental plan are based on eligible pay, adjusted for age and service upon
retirement. We fund both the management and non-management plans in an irrevocable trust through
contributions, which are determined using the traditional unit credit cost method. We also use the traditional unit
credit cost method for determining pension cost for financial reporting purposes.
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Form 10-K