HollyFrontier 2014 Annual Report Download - page 92

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Table of Contents HOLLYFRONTIER CORPORATION
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
Continued
84
NOTE 16: Retirement Plans
Post-retirement Healthcare Plans
We provide post-retirement medical benefits to certain eligible employees. These plans are unfunded and provide differing levels
of healthcare benefits dependent upon hire date and work location. Not all of our employees are covered by these plans at
December 31, 2014.
The following table sets forth the changes in the benefit obligation and plan assets of our post-retirement healthcare plans for the
years ended December 31, 2014 and 2013:
Years Ended December 31,
2014 2013
(In thousands)
Change in plans' benefit obligation
Post-retirement plans' benefit obligation - beginning of year $ 15,715 $ 26,797
Service cost 895 1,112
Interest cost 638 665
Participant contributions 573 564
Amendments 3,383 (820)
Settlements — (8,627)
Benefits paid (1,533)(1,585)
Actuarial loss (gain) 3,962 (2,391)
Post-retirement plans' benefit obligation - end of year $ 23,633 $ 15,715
Change in plan assets
Fair value of plan assets - beginning of year $ — $ —
Employer contributions 960 9,648
Participant contributions 573 564
Settlements — (8,627)
Benefits paid (1,533)(1,585)
Fair value of plan assets - end of year $ — $ —
Funded status
Under-funded balance $ (23,633) $ (15,715)
Amounts recognized in consolidated balance sheets
Accrued post-retirement liability $ (23,633) $ (15,715)
Amounts recognized in accumulated other comprehensive income
Cumulative actuarial loss $ (5,074) $ (1,022)
Prior service credit 39,419 47,098
Total $ 34,345 $ 46,076
Benefit payments, which reflect expected future service, are expected to be paid as follows: $1.8 million in 2015; $1.7 million in
2016; $1.7 million in 2017; $1.8 million in 2018; $1.8 million in 2019; and $9.9 million in 2020 through 2024.
The weighted average assumptions used to determine end of period benefit obligations:
December 31,
2014 2013
Discount rate 3.60% 4.25%
Current health care trend rate 8.00% 8.00%
Ultimate health care trend rate 5.00% 5.00%
Year rate reaches ultimate trend rate 2042 2045