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Investor Relations

SEC Filings

10-K
GRAHAM HOLDINGS CO filed this Form 10-K on 02/23/2018
Entire Document
 


The following table sets forth obligation, asset and funding information for the Company’s defined benefit pension plans:
 
Pension Plans
 
As of December 31
(in thousands)
2017
 
2016
Change in Benefit Obligation
 
 
 
Benefit obligation at beginning of year
$
1,160,897

 
$
1,254,298

Service cost
18,687

 
20,461

Interest cost
47,925

 
51,608

Amendments
75

 

Actuarial loss (gain)
73,191

 
(32,203
)
Acquisitions
58,600

 

Benefits paid
(74,506
)
 
(60,076
)
Special termination benefits
1,825

 

Settlement

 
(73,191
)
Benefit Obligation at End of Year
$
1,286,694

 
$
1,160,897

Change in Plan Assets
 
 
 
Fair value of assets at beginning of year
$
2,042,490

 
$
2,234,268

Actual return on plan assets
375,487

 
(58,511
)
Benefits paid
(74,506
)
 
(60,076
)
Settlement

 
(73,191
)
Fair Value of Assets at End of Year
$
2,343,471

 
$
2,042,490

Funded Status
$
1,056,777

 
$
881,593

 
SERP
 
As of December 31
(in thousands)
2017
 
2016
Change in Benefit Obligation
 
 
 
Benefit obligation at beginning of year
$
106,526

 
$
105,004

Service cost
858

 
985

Interest cost
4,233

 
4,384

Actuarial loss
4,041

 
1,120

Benefits paid
(5,576
)
 
(4,967
)
Benefit Obligation at End of Year
$
110,082

 
$
106,526

Change in Plan Assets
 
 
 
Fair value of assets at beginning of year
$

 
$

Employer contributions
5,576

 
4,967

Benefits paid
(5,576
)
 
(4,967
)
Fair Value of Assets at End of Year
$

 
$

Funded Status
$
(110,082
)
 
$
(106,526
)
The accumulated benefit obligation for the Company’s pension plans at December 31, 2017 and 2016, was $1,261.8 million and $1,137.9 million, respectively. The accumulated benefit obligation for the Company’s SERP at December 31, 2017 and 2016, was $108.0 million and $103.0 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)
2017
 
2016
 
2017
 
2016
Noncurrent asset
$
1,056,777

 
$
881,593

 
$

 
$

Current liability

 

 
(5,838
)
 
(5,580
)
Noncurrent liability

 

 
(104,244
)
 
(100,946
)
Recognized Asset (Liability)
$
1,056,777

 
$
881,593

 
$
(110,082
)
 
$
(106,526
)
Key assumptions utilized for determining the benefit obligation are as follows:
 
Pension Plans
 
SERP
 
As of December 31
 
As of December 31
 
2017
 
2016
 
2017
 
2016
Discount rate
3.6%
 
4.1%
 
3.6%
 
4.1%
Rate of compensation increase - age graded
5.0%–1.0%
 
5.0%–1.0%
 
5.0%–1.0%
 
5.0%–1.0%

104