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Pension Plan | 12 Months Ended
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Dec. 31, 2013
Pension Plan | 10) PENSION PLAN We maintain contributory and non-contributory retirement plans for eligible employees. Our contributions to the contributory plan amounted to $29.9 million, $27.3 million and $21.7 million in 2013, 2012 and 2011, respectively. The non-contributory plan is a defined benefit pension plan which covers employees of one of our subsidiaries. The benefits are based on years of service and the employee’s highest compensation for any five years of employment. Our funding policy is to contribute annually at least the minimum amount that should be funded in accordance with the provisions of ERISA. The following table shows the reconciliation of the defined benefit pension plan as of December 31, 2013 and 2012:
|  | 2013 |  |  | 2012 |
|  | (000s) |
Change in plan assets: |  |  |  |  |  |  |  |
Fair value of plan assets at beginning of year |  | $ | 104,074 |  |  | $ | 87,940 |
Actual return (loss) on plan assets |  |  | 8,037 |  |  |  | 13,824 |
Employer contributions |  |  | 0 |  |  |  | 7,786 |
Benefits paid |  |  | (5,042 | ) |  |  | (4,946 | )
Administrative expenses |  |  | (600 | ) |  |  | (530 | )
Fair value of plan assets at end of year |  | $ | 106,469 |  |  | $ | 104,074 |
Change in benefit obligation: |  |  |  |  |  |  |  |
Benefit obligation at beginning of year |  | $ | 114,529 |  |  | $ | 108,446 |
Service cost |  |  | 1,060 |  |  |  | 1,144 |
Interest cost |  |  | 4,528 |  |  |  | 4,659 |
Benefits paid |  |  | (5,042 | ) |  |  | (4,946 | )
Actuarial (gain) loss |  |  | (11,517 | ) |  |  | 5,226 |
Benefit obligation at end of year |  | $ | 103,558 |  |  | $ | 114,529 |
Amounts recognized in the Consolidated Balance Sheet: |  |  |  |  |  |  |  |
Other non-current assets |  | $ | 2,911 |  |  | $ | 0 |
Other non-current liabilities |  |  | 0 |  |  |  | 10,455 |
Total amounts recognized at end of year |  | $ | 2,911 |  |  | $ | 10,455 |
|  | 2013 |  |  | 2012 |  |  | 2011 |
|  | (000s) |
Components of net periodic cost (benefit) |  |  |  |  |  |  |  |  |  |  |  |
Service cost |  | $ | 1,060 |  |  | $ | 1,144 |  |  | $ | 1,162 |
Interest cost |  |  | 4,528 |  |  |  | 4,659 |  |  |  | 5,047 |
Expected return on plan assets |  |  | (7,601 | ) |  |  | (7,301 | ) |  |  | (6,566 | )
Recognized actuarial loss |  |  | 3,305 |  |  |  | 4,219 |  |  |  | 2,427 |
Net periodic cost |  | $ | 1,292 |  |  | $ | 2,721 |  |  | $ | 2,070 |
|  | 2013 |  |  | 2012 |
Measurement Dates |  |  |  |  |  |  |  |
Benefit obligations |  |  | 12/31/2013 |  |  |  | 12/31/2012 |
Fair value of plan assets |  |  | 12/31/2013 |  |  |  | 12/31/2012 |
|  | 2013 |  |  | 2012 |
Weighted average assumptions as of December 31 |  |  |  |  |  |  |  |
Discount rate |  |  | 4.95 | % |  |  | 4.05 | %
Rate of compensation increase |  |  | 4.00 | % |  |  | 4.00 | %
|  | 2013 |  |  | 2012 |  |  | 2011 |
Weighted-average assumptions for net periodic benefit cost calculations |  |  |  |  |  |  |  |  |  |  |  |
Discount rate |  |  | 4.05 | % |  |  | 4.40 | % |  |  | 5.54 | %
Expected long-term rate at return on plan assets |  |  | 7.50 | % |  |  | 8.00 | % |  |  | 8.00 | %
Rate of compensation increase |  |  | 4.00 | % |  |  | 4.00 | % |  |  | 4.00 | %
The accumulated benefit obligation was $102.3 million and $112.7 million as of December 31, 2013 and 2012, respectively. As of December 31, 2013, the fair value of plan assets exceeded the accumulated benefit obligation by $4.1 million. As of December 31, 2012, the accumulated benefit obligation exceeded the fair value of plan assets by $8.6 million. We estimate that there will be a $1.1 million net loss amortized from accumulated other comprehensive income during 2014. The market values of our pension plan assets at December 31, 2013 and December 31, 2012 by asset category are as follows:
December 31, 2013 |  | Total |  |  | Level 1 |  |  | Level 2 |  |  | Level 3 |
Equities: |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
U.S. Large Cap |  | $ | 8,600 |  |  | $ | — |  |  | $ | 8,600 |  |  | $ | — |
U.S. Mid Cap |  |  | 2,740 |  |  |  | — |  |  |  | 2,740 |  |  |  | — |
U.S. Small Cap |  |  | 2,725 |  |  |  | — |  |  |  | 2,725 |  |  |  | — |
International Developed |  |  | 6,508 |  |  |  | — |  |  |  | 6,508 |  |  |  | — |
Emerging Markets |  |  | 4,154 |  |  |  | — |  |  |  | 4,154 |  |  |  | — |
Fixed income: |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Core Fixed Income |  |  | 23,222 |  |  |  | — |  |  |  | 23,222 |  |  |  | — |
Long Duration Fixed Income |  |  | 55,933 |  |  |  | — |  |  |  | 55,933 |  |  |  | — |
Real Estate: |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
REIT Fund |  |  | 2,124 |  |  |  | — |  |  |  | 2,124 |  |  |  | — |
Cash/Currency: |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Cash Equivalents |  |  | 463 |  |  |  | — |  |  |  | 463 |  |  |  | — |
Total market value |  | $ | 106,469 |  |  | $ | — |  |  | $ | 106,469 |  |  | $ | — |
December 31, 2012 |  | Total |  |  | Level 1 |  |  | Level 2 |  |  | Level 3 |
Equities: |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
U.S. Large Cap |  | $ | 22,800 |  |  | $ | — |  |  | $ | 22,800 |  |  | $ | — |
U.S. Mid Cap |  |  | 1,566 |  |  |  | — |  |  |  | 1,566 |  |  |  | — |
U.S. Small-Mid Cap |  |  | 7,738 |  |  |  | — |  |  |  | 7,738 |  |  |  | — |
U.S. Small Cap |  |  | 1,583 |  |  |  | — |  |  |  | 1,583 |  |  |  | — |
International Developed |  |  | 10,779 |  |  |  | — |  |  |  | 10,779 |  |  |  | — |
Emerging Markets |  |  | 3,912 |  |  |  | — |  |  |  | 3,912 |  |  |  | — |
Fixed income: |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Long Duration Fixed Income |  |  | 51,355 |  |  |  | — |  |  |  | 51,355 |  |  |  | — |
Real Estate: |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
REIT Fund |  |  | 3,904 |  |  |  | — |  |  |  | 3,904 |  |  |  | — |
Cash/Currency: |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Cash Equivalents |  |  | 437 |  |  |  | — |  |  |  | 437 |  |  |  | — |
Total market value |  | $ | 104,074 |  |  | $ | — |  |  | $ | 104,074 |  |  | $ | — |
To develop the expected long-term rate of return on plan assets assumption, we considered the historical returns and the future expectations for returns for each asset class, as well as the target asset allocation of the pension portfolio. The following table shows expected benefit payments for the years ended December 31, 2013 through 2023 for our defined pension plan. There will be benefit payments under this plan beyond 2023.
Estimated Future Benefit Payments (000s) |  |  |  |
2014 |  | $ | 5,677 |
2015 |  |  | 5,966 |
2016 |  |  | 6,205 |
2017 |  |  | 6,407 |
2018 |  |  | 6,612 |
2019-2023 |  |  | 34,931 |
Total |  | $ | 65,798 |
|  | 2013 |  |  | 2012 |
Plan Assets |  |  |  |  |  |  |  |
Asset Category |  |  |  |  |  |  |  |
Equity securities |  |  | 23 | % |  |  | 47 | %
Fixed income securities |  |  | 74 | % |  |  | 49 | %
Other |  |  | 3 | % |  |  | 4 | %
Total |  |  | 100 | % |  |  | 100 | %
Investment Policy, Guidelines and Objectives have been established for the defined benefit pension plan. The investment policy is in keeping with the fiduciary requirements under existing federal laws and managed in accordance with the Prudent Investor Rule. Total portfolio risk is regularly evaluated and compared to that of the plan’s policy target allocation and judged on a relative basis over a market cycle. The following asset allocation policy and ranges have been established in accordance with the overall risk and return objectives of the portfolio:
|  | As of 12/31/13 |  |  | Permitted Range |
Total Equity |  |  | 23 | % |  |  | 10-30 | %
Total Fixed Income |  |  | 74 | % |  |  | 70-90 | %
Other |  |  | 3 | % |  |  | 0-10 | %
In accordance with the investment policy, the portfolio will invest in high quality, large and small capitalization companies traded on national exchanges, and investment grade securities. The investment managers will not write or buy options for speculative purposes; securities may not be margined or sold short. The manager may employ futures or options for the purpose of hedging exposure, and will not purchase unregistered sectors, private placements, partnerships or commodities.

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- Definition The entire disclosure for pension and other postretirement benefits. + References Reference 1: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 715 -URI http://asc.fasb.org/topic&trid=2235017 + Details
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