XML 37 R22.htm IDEA: XBRL DOCUMENT
v3.19.1

Employee benefit plans | 12 Months Ended
--- | ---
Dec. 31, 2018
Employee benefit plans |
Employee benefit plans | 15. Employee benefit plans: The Company sponsors a separate Employee Stock Ownership Plan (“ESOP”) and Retirement Profit Sharing 401(k) Plan. The Company also maintains Supplemental Executive Retirement Plans (“SERP”), and an Employees’ Pension Plan, which is currently frozen. Under the ESOP, amounts voted by the Company’s Board of Directors are paid into the ESOP and each participant is credited with an amount in proportion to their annual compensation. All contributions to the ESOP are invested in or will be invested primarily in Company stock. Distribution of a participant’s ESOP account occurs upon retirement, death or termination in accordance with the plan provisions. Under the Retirement Profit Sharing Plan, amounts approved by the Board of Directors have been paid into a fund and each participant was credited with an amount in proportion to their annual compensation. Upon retirement, death or termination, each participant is paid the total amount of their credits in the fund in one of a number of optional ways in accordance with the plan provisions. Eligible participants may elect deferrals of up to the maximum amounts permitted by law. The Company contributed $197, $185 and $156 to the ESOP in 2018, 2017 and 2016. In addition, the Company contribution of $1,047, $923 and $786 to the Retirement Profit Sharing Plan in 2018, 2017 and 2016, was comprised of a safe harbor contribution of $578, $509 and $446 and a discretionary match of $469, $414 and $340. The Company established a SERP Plan to replace certain 401(k) plan benefits lost due to compensation limits imposed on qualified plans by Federal tax law. The annual benefit is a maximum of 6% of the executive compensation in excess of Federal limits. The total liability associated with this plan was $116 and $96 at December 31, 2018 and 2017, respectively. The expense associated with the plan was $20, $20 and $13 for 2018, 2017 and 2016 respectively. The Company has SERPs for the benefit of certain officers. At December 31, 2018 and 2017, other liabilities include $1,845 and $1,594 accrued under the Plans. Compensation expense includes approximately $335, $314, and $254 relating to these SERPs for the years ended December 31, 2018, 2017 and 2016, respectively. Under the Employees’ Pension Plan, currently under curtailment, amounts computed on an actuarial basis were being paid by the Company into a trust fund. The plan provided for fixed benefits payable for life upon retirement at the age of 65, based on length of service and compensation levels as defined in the plan. As of June 22, 2008 no further benefits are being accrued in this plan. Plan assets of the trust fund are invested and administered by the Trust Department of the Company. Information related to the Employees’ Pension Plan is as follows:
|  | Pension Benefits |
December 31 |  | 2018 |  | 2017 |
Change in benefit obligation: |  |  |  |  |  |  |
Benefit obligation, beginning |  | $ | 16,935 |  | $ | 16,703 |
Interest cost |  |  | 623 |  |  | 650 |
Change in experience gain |  |  | 135 |  |  | (13) |
Change in actuarial assumptions loss (gain) |  |  | (546) |  |  | 395 |
Benefits paid |  |  | (809) |  |  | (800) |
Benefit obligation, ending |  |  | 16,338 |  |  | 16,935 |
Change in plan assets: |  |  |  |  |  |  |
Fair value of plan assets, beginning |  |  | 13,264 |  |  | 12,644 |
Actual return on plan assets |  |  | (236) |  |  | 1,420 |
Employer contributions |  |  | 2,700 |  |  |  |
Benefits paid |  |  | (809) |  |  | (800) |
Fair value of plan assets, ending |  |  | 14,919 |  |  | 13,264 |
Funded status at end of year |  | $ | (1,419) |  | $ | (3,671) |
The Society of Actuaries released new mortality tables in 2018 and 2017 which the Company utilized in its pension plan remeasurements at December 31, 2018 and 2017. The change in mortality assumption resulted in a decrease to the benefit obligation of $546 in 2018 and an increase of $395 in 2017. Amounts recognized in the consolidated balance sheets are as follows:
|  | Pension Benefits |  |
December 31 |  | 2018 |  | 2017 |  |
Liabilities |  | $ | 1,419 |  | $ | 3,671 |  |
Amounts recognized in the accumulated other comprehensive loss consist of: |  |  |  |  |  |  |  |
Net actuarial gain |  |  | (7,218) |  |  | (6,628) |  |
Deferred taxes |  |  | 1,516 |  |  | 1,392 |  |
Net amount recognized |  | $ | (5,702) |  | $ | (5,236) |  |
The accumulated benefit obligation for the defined benefit pension plan was $16,338 and $16,935 at December 31, 2018 and 2017, respectively. Components of net periodic pension income and other amounts recognized in other comprehensive loss are as follows:
|  | Pension Benefits |
Years Ended December 31, |  | 2018 |  | 2017 |  | 2016 |
Net periodic pension income: |  |  |  |  |  |  |  |  |  |
Interest cost |  | $ | 623 |  | $ | 650 |  | $ | 665 |
Expected return on plan assets |  |  | (960) |  |  | (915) |  |  | (893) |
Amortization of unrecognized net loss |  |  | 194 |  |  | 195 |  |  | 209 |
Net periodic pension income: |  |  | (143) |  |  | (70) |  |  | (19) |
Other changes in plan assets and benefit obligations recognized in other comprehensive income (loss): |  |  |  |  |  |  |  |  |  |
Net loss (gain) |  |  | (590) |  |  | 318 |  |  | 917 |
Deferred tax |  |  | 124 |  |  | (67) |  |  | (321) |
Total recognized in other comprehensive loss |  |  | (466) |  |  | 251 |  |  | 596 |
Total recognized in net period pension cost and other comprehensive loss |  | $ | (609) |  | $ | 181 |  | $ | 577 |
The estimated net loss for the defined benefit pension plan that will be amortized from accumulated other comprehensive loss into net periodic benefit cost over the next fiscal year is $223. Weighted-average assumptions used to determine benefit obligations and related expenses were as follows:
|  | Pension Benefits |  |
December 31, |  | 2018 |  | 2017 |  | 2016 |  |
Discount rate: |  |  |  |  |  |  |  |
Obligation |  | 3.75 | % | 4.00 | % | 4.00 | % |
Expense |  | 4.00 |  | 3.75 |  | 4.00 |  |
Expected long-term return on plan assets |  | 7.50 | % | 7.50 | % | 7.50 | % |
The expected long-term return on plan assets was determined using average historical returns of the Company’s plan assets. The Company’s pension plan weighted-average asset allocations at December 31, 2018 and 2017, by asset category are as follows:
December 31, |  | 2018 |  | 2017 |
Asset Category: |  |  |  |  |
Cash and cash equivalents |  | 5.0 | % | 4.1 | %
Equity securities |  | 56.2 |  | 57.4 |
Corporate bonds |  | 23.6 |  | 27.6 |
U.S. Government securities |  | 15.2 |  | 10.9 |
|  | 100.0 | % | 100.0 | %
Fair value measurement of pension plan assets at December 31, 2018 and 2017 is as follows:
|  |  |  |  | Quoted Prices in |  |  |  |  |  |  |
|  |  |  | Active Markets |  | Significant |  | Significant |
|  |  |  | for Identical |  | Observable |  | Observable |
|  |  |  | Assets |  | Inputs |  | Inputs |
December 31, 2018 |  | Total |  | (Level 1) |  | (Level 2) |  | (Level 3) |
Cash |  | $ | 743 |  | $ | 743 |  |  |  |  | $ |  |
Equity securities: |  |  |  |  |  |  |  |  |  |  |  |  |
U.S. large cap |  |  | 7,687 |  |  | 7,687 |  |  |  |  |  |  |
International |  |  | 694 |  |  | 694 |  |  |  |  |  |  |
Fixed income securities: |  |  |  |  |  |  |  |  |  |  |  |  |
U.S. Treasuries |  |  | 192 |  |  |  |  | $ | 192 |  |  |  |
U.S. Government agencies |  |  | 2,085 |  |  |  |  |  | 2,085 |  |  |  |
Corporate bonds |  |  | 3,518 |  |  |  |  |  | 3,518 |  |  |  |
Total |  | $ | 14,919 |  | $ | 9,124 |  | $ | 5,795 |  | $ |  |
|  |  |  |  | Quoted Prices in |  |  |  |  |  |  |
|  |  |  |  | Active Markets |  | Significant |  | Significant |
|  |  |  |  | for Identical |  | Observable |  | Observable |
|  |  |  |  | Assets |  | Inputs |  | Inputs |
December 31, 2017 |  | Total |  | (Level 1) |  | (Level 2) |  | (Level 3) |
Cash |  | $ | 539 |  | $ | 539 |  |  |  |  | $ |  |
Equity securities: |  |  |  |  |  |  |  |  |  |  |  |  |
U.S. large cap |  |  | 7,269 |  |  | 7,269 |  |  |  |  |  |  |
International |  |  | 350 |  |  | 350 |  |  |  |  |  |  |
Fixed income securities: |  |  |  |  |  |  |  |  |  |  |  |  |
U.S. Treasuries |  |  | 198 |  |  |  |  | $ | 198 |  |  |  |
U.S. Government agencies |  |  | 1,247 |  |  |  |  |  | 1,247 |  |  |  |
Corporate bonds |  |  | 3,661 |  |  |  |  |  | 3,661 |  |  |  |
Total |  | $ | 13,264 |  | $ | 8,158 |  | $ | 5,106 |  | $ |  |
The Company investment policies and strategies with respect to the pension plan include: (i) the Trust and Investment Division’s equity philosophy is Large-Cap Core with a value bias. We invest in individual high-grade common stocks that are selected from our approved list; (ii) diversification is maintained by having no more than 20% in any industry sector and no individual equity representing more than 10% of the portfolio; and (iii) the fixed income style is conservative but also responsive to the various needs of our individual clients. Fixed income securities consist of U.S. Government Agencies or corporate bonds rated “A” or better. The Company targets the following allocation percentages: (i) cash equivalents 10%; (ii) fixed income 40% ; and (iii) equities 50%. There is no Company stock included in equity securities at December 31, 2018 or 2017. The Company has not determined the amount of the expected contribution to the Employees’ Pension Plan for 2019. The following benefit payments are expected to be paid in the next five years and in the aggregate for the five years thereafter:
|  | Pension Benefits |
2019 |  | $ | 843 |
2020 |  |  | 857 |
2021 |  |  | 858 |
2022 |  |  | 896 |
2023 |  |  | 912 |
Thereafter |  |  | 5,028 |

X
- References No definition available. + Details
Name: | us-gaap_CompensationAndRetirementDisclosureAbstract
Namespace Prefix: | us-gaap_
Data Type: | xbrli:stringItemType
Balance Type: | na
Period Type: | duration

X
- Definition The entire disclosure for pension and other postretirement benefits. + References Reference 1: http://fasb.org/us-gaap/role/ref/legacyRef -Publisher FASB -Name Accounting Standards Codification -Topic 715 -URI http://asc.fasb.org/topic&trid=2235017 + Details
Name: | us-gaap_PensionAndOtherPostretirementBenefitsDisclosureTextBlock
Namespace Prefix: | us-gaap_
Data Type: | nonnum:textBlockItemType
Balance Type: | na
Period Type: | duration