Washington Post 2014 Annual Report Download - page 95

Download and view the complete annual report

Please find page 95 of the 2014 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 116

  • 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
  • 113
  • 114
  • 115
  • 116

SERP
As of December 31
(in thousands) 2014 2013
Change in Benefit Obligation
Benefit obligation at beginning of year ...... $ 91,169 $104,062
Service cost .......................... 1,493 1,612
Interest cost .......................... 4,397 4,148
Amendments ......................... 4,022 —
Actuarial loss (gain) .................... 19,168 (9,180)
Benefits paid ......................... (4,166) (4,101)
Curtailment .......................... —(2,059)
Settlement ........................... —(3,313)
Benefit Obligation at End of Year .......... $ 116,083 $ 91,169
Change in Plan Assets
Fair value of assets at beginning of year ..... $—$—
Employer contributions and other .......... 4,166 4,101
Benefits paid ......................... (4,166) (4,101)
Fair Value of Assets at End of Year ........$—$—
Funded Status .........................$(116,083) $ (91,169)
The accumulated benefit obligation for the Company’s pension plans at
December 31, 2014 and 2013, was $1,281.5 million and $1,091.1
million, respectively. The accumulated benefit obligation for the
Company’s SERP at December 31, 2014 and 2013, was $114.1
million and $89.3 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) 2014 2013 2014 2013
Noncurrent asset . . .
$1,152,488 $1,245,505 $—$—
Currentliability ....
——(6,275) (4,251)
Noncurrent
liability........
——(109,808) (86,918)
Recognized Asset
(Liability) ......
$1,152,488 $1,245,505 $(116,083)$(91,169)
Key assumptions utilized for determining the benefit obligation are
as follows:
Pension Plans SERP
As of December 31 As of December 31
2014 2013 2014 2013
Discount rate ....... 4.0% 4.8% 4.0% 4.8%
Rate of compensation
increase ......... 4.0% 4.0% 4.0% 4.0%
The Company made no contributions to its pension plans in 2014,
2013 and 2012, and the Company does not expect to make any
contributions in 2015. The Company made contributions to its SERP
of $4.2 million and $4.1 million for the years ended December 31,
2014 and 2013, respectively. As the plan is unfunded, the
Company makes contributions to the SERP based on actual benefit
payments.
At December 31, 2014, future estimated benefit payments,
excluding charges for early retirement programs, are as follows:
(in thousands) Pension Plans SERP
2015 ......................... $ 87,271 $ 6,399
2016 ......................... $ 80,239 $ 5,875
2017 ......................... $ 78,592 $ 5,964
2018 ......................... $ 77,576 $ 6,257
2019 ......................... $ 78,589 $ 6,719
2020–2024 .................... $398,372 $34,875
The total cost (benefit) arising from the Company’s defined benefit
pension plans, including the portion included in discontinued
operations, consists of the following components:
Pension Plans
Year Ended December 31
(in thousands) 2014 2013 2012
Service cost .................$ 27,792 $ 46,115 $ 40,344
Interest cost ................. 51,825 55,821 59,124
Expected return on assets ....... (120,472) (105,574) (96,132)
Amortization of prior service cost . . 329 2,809 3,695
Recognizedactuarial(gain)loss ....
(28,880) 2,756 9,013
Net Periodic (Benefit) Cost for the
Year ..................... (69,406) 1,927 16,044
Curtailment .................. —(43,930) —
Settlement .................. —39,995 —
Early retirement programs and
special separation benefit
expense .................. 8,374 22,700 8,508
Total (Benefit) Cost for the Year ....
$ (61,032) $ 20,692 $ 24,552
Other Changes in Plan Assets and
Benefit Obligations Recognized
in Other Comprehensive Income
Currentyearactuarialloss(gain)....
$ 125,866 $(750,328) $(79,405)
Amortization of prior service cost . . .
(329) (2,809) (3,695)
Recognized net actuarial gain
(loss) .....................
28,880 (2,756) (9,013)
Curtailment and settlement ....... (368) 94,520 —
Total Recognized in Other
Comprehensive Income (Before
Tax Effects) ................$ 154,049 $(661,373) $(92,113)
Total Recognized in Total (Benefit)
Cost and Other Comprehensive
Income (Before Tax Effects) ....$ 93,017 $(640,681) $(67,561)
SERP
Year Ended December 31
(in thousands) 2014 2013 2012
Service cost .................$ 1,493 $ 1,612 $ 1,467
Interest cost ................. 4,397 4,148 4,241
Amortization of prior service cost . . 47 55 54
Recognized actuarial loss ....... 1,544 2,481 1,833
Net Periodic Cost for the Year ... 7,481 8,296 7,595
Special separation benefit expense . .
2,422 ——
Settlement .................. —(2,575) —
Total Cost for the Year .........$ 9,903 $ 5,721 $ 7,595
Other Changes in Benefit
Obligations Recognized in
Other Comprehensive Income
Current year actuarial loss (gain) . . $ 19,168 $ (9,180) $ 8,428
Current year prior service cost .... 1,600 ——
Amortization of prior service cost . . (47) (55) (54)
Recognized net actuarial loss .... (1,544) (2,481) (1,833)
Curtailment and settlement ....... —(2,798) —
Other adjustments ............. —— 745
TotalRecognizedinOther
Comprehensive Income (Before
Tax Effects) ................$ 19,177 $ (14,514) $ 7,286
Total Recognized in Total Cost
and Other Comprehensive
Income (Before Tax Effects) ....$ 29,080 $ (8,793) $ 14,881
2014 FORM 10-K 79