HollyFrontier 2014 Annual Report Download - page 94

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Table of Contents HOLLYFRONTIER CORPORATION
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
Continued
86
Year Ended
December 31, 2013
(In thousands)
Change in plan's benefit obligation
Pension plan's benefit obligation - beginning of year $ 95,485
Interest cost 1,797
Benefits paid (3,957)
Actuarial loss 2,981
Settlements paid (96,306)
Pension plan's benefit obligation - end of year $ —
Change in pension plan assets
Fair value of plan assets - beginning of year $ 77,757
Actual return on plan assets (219)
Benefits paid (3,957)
Employer contributions 22,725
Settlements paid (96,306)
Fair value of plan assets - end of year $ —
Additionally, we had a program that provided transition benefit payments to certain employees that participated in a previously
terminated defined benefit plan. The program extended through 2014 and provided payments subsequent to year-end provided the
employee was employed by us on the last day of each year. The payments are based on each employee's years of service and
eligible salary. Transition benefit costs under this program were $10.8 million, $12.5 million and $15.6 million for the years ended
December 31, 2014, 2013 and 2012, respectively.
Retirement Restoration Plan
We have an unfunded retirement restoration plan that provides for additional payments from us so that total retirement plan benefits
for certain executives will be maintained at the levels provided in the retirement plan before the application of Internal Revenue
Code limitations. We expensed $1.2 million, $0.4 million and $0.3 million for the years ended December 31, 2014, 2013 and 2012,
respectively, in connection with this plan. The accrued liability reflected in the consolidated balance sheets was $3.0 million and
$6.8 million at December 31, 2014 and 2013, respectively. As of December 31, 2014, the projected benefit obligation under this
plan was $3.0 million. Annual benefit payments of $0.2 million are expected to be paid through 2024, which reflect expected future
service.
Defined Contribution Plans
We have a defined contribution “401(k)” plan that covers substantially all employees. Our contributions are based on an employee's
eligible compensation and years of service. We also partially match the employee's contributions. We expensed $16.1 million,
$15.5 million and $16.0 million for the years ended December 31, 2014, 2013 and 2012, respectively, in connection with these
plans.