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SEC Filings

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


The following table provides a reconciliation of changes in pension assets measured at fair value on a recurring basis, using Level 3 inputs:
 
U.S. Stock Index Fund
 
Year Ended December 31
(in thousands)
2017
 
2016
Balance at Beginning of Year
$
622,865

 
$

Purchases, sales, and settlements, net
(50,000
)
 
574,000

Actual return on plan assets:
 
 
 
Gains relating to assets sold
6,796

 

Gains relating to assets still held at year-end
126,541

 
48,865

Balance at End of Year
$
706,202

 
$
622,865

Other Postretirement Plans.  The following table sets forth obligation, asset and funding information for the Company’s other postretirement plans:
 
Postretirement Plans
 
As of December 31
(in thousands)
2017
 
2016
Change in Benefit Obligation
 
 
 
Benefit obligation at beginning of year
$
24,171

 
$
37,391

Service cost
1,028

 
1,386

Interest cost
779

 
1,230

Actuarial gain
(2,830
)
 
(14,984
)
Acquisitions
516

 

Benefits paid, net of Medicare subsidy
(879
)
 
(852
)
Benefit Obligation at End of Year
$
22,785

 
$
24,171

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

 
$

Employer contributions
879

 
852

Benefits paid, net of Medicare subsidy
(879
)
 
(852
)
Fair Value of Assets at End of Year
$

 
$

Funded Status
$
(22,785
)
 
$
(24,171
)
The amounts recognized in the Company’s Consolidated Balance Sheets for its other postretirement plans are as follows:
 
Postretirement Plans
 
As of December 31
(in thousands)
2017
 
2016
Current liability
$
(1,920
)
 
$
(2,312
)
Noncurrent liability
(20,865
)
 
(21,859
)
Recognized Liability
$
(22,785
)
 
$
(24,171
)
The discount rates utilized for determining the benefit obligation at December 31, 2017 and 2016, for the postretirement plans were 3.11% and 3.31%, respectively. The assumed healthcare cost trend rate used in measuring the postretirement benefit obligation at December 31, 2017, was 7.81% for pre-age 65, decreasing to 4.5% in the year 2026 and thereafter. The assumed healthcare cost trend rate used in measuring the postretirement benefit obligation at December 31, 2017, was 8.42% for post-age 65, decreasing to 4.5% in the year 2026 and thereafter.
Assumed healthcare cost trend rates have a significant effect on the amounts reported for the healthcare plans. A change of one percentage point in the assumed healthcare cost trend rates would have the following effects:
 
1%
 
1%
(in thousands)
Increase
 
Decrease
Benefit obligation at end of year
$
1,304

 
$
(1,194
)
Service cost plus interest cost
$
177

 
$
(158
)
The Company made contributions to its postretirement benefit plans of $0.9 million for each of the years ended December 31, 2017 and 2016. As the plans are unfunded, the Company makes contributions to its postretirement plans based on actual benefit payments.

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