Washington Post 2013 Annual Report Download - page 93

Download and view the complete annual report

Please find page 93 of the 2013 Washington Post annual report below. You can navigate through the pages in the report by either clicking on the pages listed below, or by using the keyword search tool below to find specific information within the annual report.

Page out of 112

  • 1
  • 2
  • 3
  • 4
  • 5
  • 6
  • 7
  • 8
  • 9
  • 10
  • 11
  • 12
  • 13
  • 14
  • 15
  • 16
  • 17
  • 18
  • 19
  • 20
  • 21
  • 22
  • 23
  • 24
  • 25
  • 26
  • 27
  • 28
  • 29
  • 30
  • 31
  • 32
  • 33
  • 34
  • 35
  • 36
  • 37
  • 38
  • 39
  • 40
  • 41
  • 42
  • 43
  • 44
  • 45
  • 46
  • 47
  • 48
  • 49
  • 50
  • 51
  • 52
  • 53
  • 54
  • 55
  • 56
  • 57
  • 58
  • 59
  • 60
  • 61
  • 62
  • 63
  • 64
  • 65
  • 66
  • 67
  • 68
  • 69
  • 70
  • 71
  • 72
  • 73
  • 74
  • 75
  • 76
  • 77
  • 78
  • 79
  • 80
  • 81
  • 82
  • 83
  • 84
  • 85
  • 86
  • 87
  • 88
  • 89
  • 90
  • 91
  • 92
  • 93
  • 94
  • 95
  • 96
  • 97
  • 98
  • 99
  • 100
  • 101
  • 102
  • 103
  • 104
  • 105
  • 106
  • 107
  • 108
  • 109
  • 110
  • 111
  • 112

SERP
As of December 31
(in thousands) 2013 2012
Change in Benefit Obligation
Benefit obligation at beginning of year .... $104,062 $ 92,863
Service cost ........................ 1,612 1,467
Interest cost ........................ 4,148 4,241
Actuarial (gain) loss .................. (9,180) 8,428
Benefits paid and other ............... (4,101) (2,937)
Curtailment ........................ (2,059) —
Settlement ......................... (3,313) —
Benefit Obligation at End of Year ....... $ 91,169 $ 104,062
Change in Plan Assets
Fair value of assets at beginning of year . . . $—$—
Employer contributions and other ......... 4,101 3,681
Benefits paid ....................... (4,101) (3,681)
Fair Value of Assets at End of Year ...... $—$—
Funded Status ...................... $ (91,169) $(104,062)
The accumulated benefit obligation for the Company’s pension plans
at December 31, 2013 and 2012, was $1,091.1 million and
$1,349.2 million, respectively. The accumulated benefit obligation for
the Company’s SERP at December 31, 2013 and 2012, was $89.3
million and $97.6 million, respectively. The amounts recognized in the
Company’s Consolidated Balance Sheets for its defined benefit
pension plans are as follows:
Pension Plans SERP
As of December 31 As of December 31
(in thousands) 2013 2012 2013 2012
Noncurrent asset . . $1,245,505 $604,823 $—$—
Current liability .... ——(4,251) (4,368)
Noncurrent
liability ........ ——(86,918) (99,694)
Recognized Asset
(Liability) ...... $1,245,505 $604,823 $(91,169) $(104,062)
Key assumptions utilized for determining the benefit obligation are
as follows:
Pension Plans SERP
As of December 31 As of December 31
2013 2012 2013 2012
Discount rate .......... 4.8% 4.0% 4.8% 4.0%
Rate of compensation
increase ............ 4.0% 4.0% 4.0% 4.0%
The Company made no contributions to its pension plans in 2013,
2012 and 2011, and the Company does not expect to make any
contributions in 2014. The Company made contributions to its SERP of
$4.1 million and $3.7 million for the years ended December 31,
2013 and 2012, respectively. As the plan is unfunded, the Company
makes contributions to the SERP based on actual benefit payments.
At December 31, 2013, future estimated benefit payments,
excluding charges for early retirement programs, are as follows:
(in thousands) Pension Plans SERP
2014 .......................... $ 79,012 $ 5,010
2015 .......................... $ 76,105 $ 5,098
2016 .......................... $ 74,913 $ 5,426
2017 .......................... $ 74,794 $ 5,592
2018 .......................... $ 75,357 $ 5,879
2019–2023 .................... $385,612 $31,610
The total cost (benefit) arising from the Company’s defined benefit
pension plans, including the portion included in discontinued
operations, consists of the following components:
Pension Plans
Year Ended December 31
(in thousands) 2013 2012 2011
Service cost .................. $ 46,115 40,344 $ 27,619
Interest cost .................. 55,821 59,124 60,033
Expected return on assets ........ (105,574) (96,132) (95,983)
Amortizationofpriorservicecost .....
2,809 3,695 3,605
Recognized actuarial loss ........ 2,756 9,013 —
Net Periodic Cost (Benefit)
for the Year ................ 1,927 16,044 (4,726)
Curtailment .................. (43,930) ——
Settlement ................... 39,995 ——
Early retirement programs and
special separation benefit
expense ................... 22,700 8,508 634
Total Cost (Benefit) for the Year ... $ 20,692 $ 24,552 $ (4,092)
Other Changes in Plan Assets and
Benefit Obligations Recognized
in Other Comprehensive Income
Current year actuarial (gain) loss . . . $(750,328) $(79,405) $ 7,046
Amortization of prior service cost . . . (2,809) (3,695) (1,463)
Recognized net actuarial loss ..... (2,756) (9,013) —
Curtailmentandsettlement........ 94,520 ——
Total Recognized in Other
Comprehensive Income
(Before Tax Effects) .......... $(661,373) $(92,113) $ 5,583
Total Recognized in Total Cost
(Benefit) and Other
Comprehensive Income
(Before Tax Effects) .......... $(640,681) $(67,561) $ 1,491
SERP
Year Ended December 31
(in thousands) 2013 2012 2011
Service cost .................. $ 1,612 $ 1,467 $ 1,655
Interest cost .................. 4,148 4,241 4,342
Plan amendment ............... ——369
Amortization of prior service cost . . . 55 54 260
Recognized actuarial loss ........ 2,481 1,833 1,411
Net Periodic Cost for the Year .... 8,296 7,595 8,037
Settlement ................... (2,575) ——
Total Cost for the Year .......... $ 5,721 $ 7,595 $ 8,037
Other Changes in Benefit
Obligations Recognized in Other
Comprehensive Income
Current year actuarial (gain) loss . . . $ (9,180) $ 8,428 $ 9,059
Amortization of prior service cost . . . (55) (54) (260)
Recognized net actuarial loss ..... (2,481) (1,833) (1,411)
Curtailmentandsettlement........ (2,798) ——
Other adjustments .............. —745 —
Total Recognized in Other
Comprehensive Income
(Before Tax Effects) .......... $ (14,514) $ 7,286 $ 7,388
Total Recognized in Total Cost and
Other Comprehensive Income
(Before Tax Effects) .......... $ (8,793) $ 14,881 $ 15,425
2013 FORM 10-K 75