XML 32 R21.htm IDEA: XBRL DOCUMENT
v3.24.1

Employee Benefit Plans | 12 Months Ended
--- | ---
Dec. 31, 2023
Retirement Benefits [Abstract] |
Employee Benefit Plans | Note 14 – Employee Benefit Plans The Company has a qualified, defined benefit pension plan (the “Plan”) that was established to provide benefits to certain employees. The Plan is frozen and participants are no longer accruing benefits. Generally, contributions to the Plan are not less than the minimum amounts required under the Employee Retirement Income Security Act of 1974, as amended (“ERISA”), and not more than the maximum amount that can be deducted for federal income tax purposes. The Plan assets are held by an independent trustee and consist primarily of equity and fixed income securities. The Company has elected to utilize a full yield curve approach in estimating the interest component for pension benefits by applying the specific spot rates along the yield curve used in determining the benefit obligation to the relevant projected cash flows. The changes in benefit obligation, change in plan assets and funded status as of December 31, 2023 and 2022, are as follows:
|  |  | Pension Benefits |
|  |  | 2023 |  |  |  | 2022 |
Change in benefit obligation |  |  |  |  |  |  |  |
Benefit obligation – Beginning of year |  |  | $ | 12,443 |  |  |  | $ | 50,938 |
Interest cost |  |  |  | 599 |  |  |  |  | 867 |
Actuarial gain |  |  |  | (119 | ) |  |  |  | (8,985 | )
Benefits paid |  |  |  | (1,530 | ) |  |  |  | (2,730 | )
Annuity purchase |  |  |  | - |  |  |  |  | (27,647 | )
Benefit obligation – End of year |  |  |  | 11,393 |  |  |  |  | 12,443 |
Change in plan assets |  |  |  |  |  |  |  |
Plan assets – Beginning of year |  |  |  | 11,403 |  |  |  |  | 50,903 |
Return on plan assets |  |  |  | 474 |  |  |  |  | (9,123 | )
Annuity purchase |  |  |  | - |  |  |  |  | (27,647 | )
Benefits paid |  |  |  | (1,530 | ) |  |  |  | (2,730 | )
Plan assets at fair value – End of year |  |  |  | 10,347 |  |  |  |  | 11,403 |
Funded status of plans – End of year |  |  | $ | (1,046 | ) |  |  | $ | (1,040 | )
|  |  | Pension Benefits |
|  |  | 2023 |  |  |  | 2022 |
Amounts recognized in the Consolidated Balance Sheets |  |  |  |  |  |  |  |
Noncurrent liabilities |  |  |  | (1,046 | ) |  |  |  | (1,040 | )
Net amount recognized at December 31 |  |  | $ | (1,046 | ) |  |  | $ | (1,040 | )
Amounts recognized in accumulated other comprehensive income but not yet recognized in earnings at December 31, 2023 and 2022, are as follows:
|  |  | Pension Benefits |
|  |  | 2023 |  |  |  | 2022 |
Net actuarial loss |  |  | $ | 4,524 |  |  |  | $ | 5,260 |
Components of net periodic benefit cost (income) for the years ended December 31, 2023 and 2022, are as follows:
|  |  | Pension Benefits |
|  |  | 2023 |  |  |  | 2022 |
Components of net periodic benefit cost |  |  |  |  |  |  |  |
Interest cost |  | $ |  | 599 |  |  | $ |  | 867 |
Expected return on plan assets |  |  |  | (319 | ) |  |  |  | (1,650 | )
Amortization of unrecognized net loss (gain) |  |  |  | 150 |  |  |  |  | 228 |
Total net periodic benefit cost (income) |  | $ |  | 430 |  |  | $ |  | (555 | )
The increase in accumulated other comprehensive income (pre-tax) for the years ended December 31, 2023 and 2022, are as follows:
|  |  | Pension Benefits |
|  |  | 2023 |  |  |  | 2022 |
Net actuarial (gain) loss |  |  | $ | (274 | ) |  |  | $ | 1,789 |
Amortization of: |  |  |  |  |  |  |  |
Actuarial loss from settlement |  |  |  | (313 | ) |  |  |  | (8,105 | )
Net actuarial loss |  |  |  | (150 | ) |  |  |  | (228 | )
Total recognized in accumulated other comprehensive loss |  |  | $ | (737 | ) |  |  | $ | (6,544 | )
The following benefit payments, which reflect expected future service, as appropriate, are expected to be paid as of December 31, 2023:
|  |  | Pension Benefits |
2024 |  |  | $ | 745 |
2025 |  |  |  | 768 |
2026 |  |  |  | 775 |
2027 |  |  |  | 765 |
2028 |  |  |  | 786 |
2029 through 2033 |  |  |  | 3,962 |
The Company is no t required to make any contributions to its pension pla n in 2024 to meet its minimum funding requirements. The assumptions used to determine end of year benefit obligations are shown in the following table:
|  |  | Pension Benefits
|  |  | 2023 |  |  | 2022
Discount rates |  |  | 5.01% |  |  | 5.22%
The discount rate is determined using a yield curve model that uses yields on high quality corporate bonds (AA rated or better) to produce a single equivalent rate. The yield curve model excludes callable bonds except those with make-whole provisions, private placements and bonds with variable rates. In October 2021, the Society of Actuaries issued base mortality table Pri-2012 which is split by retiree and contingent survivor tables and includes mortality improvement assumptions for U.S. plans, scale (MP-2021 with COVID adjustment), which reflects additional data that the Social Security Administration has released since prior assumptions (MP-2020) were developed. The Company used the base mortality table Pri-2012 projected generationally using a modified MP-2021 with Endemic COVID adjustment for purposes of measuring its pension obligations at December 31, 2023. The 2023 actuarial gain of $119 was driven by the mortality improvement scale MP-2021 with Endemic COVID adjustment to reflect anticipated slow recovery from COVID. The 2022 actuarial gain of $8,985 was largely the result of the change in the yield curve to Pri-2012 with MP-2021. The assumptions used in the measurement of net periodic cost are shown in the following table:
|  |  | Pension Benefits
|  |  | 2023 |  |  | 2022
Discount rate for benefit obligations |  |  | 5.01% |  |  | 5.22% |
Expected return on plan assets |  |  | 3.00% |  |  | 3.00% |
Rate for interest on benefit obligations |  |  | 4.91% |  |  | 5.10% |
Discount rate for service cost |  |  | N/A |  |  | N/A |
The Company’s pension plan’s weighted average asset allocations at December 31, 2023 and 2022, and target allocations for 2024, by asset category, are as follows:
|  |  | Plan Assets at December 31, |  |  | Target Allocation |
|  |  | 2023 |  |  | 2022 |  |  | 2024 |
Asset Category |  |  |  |  |  |  |  |  |  |
Cash and cash equivalents |  |  |  | 0 | % |  |  | 1 | % |  | 0% - 5% |
Equity securities |  |  |  | 0 | % |  |  | 0 | % |  | 0% |
Fixed income securities |  |  |  | 100 | % |  |  | 99 | % |  | 95%-100% |
Real estate |  |  |  | 0 | % |  |  | 0 | % |  | 0% |
|  |  |  | 100 | % |  |  | 100 | % |  | 100% |
The basic goal underlying the pension plan investment policy is to ensure that the assets of the plans, along with expected plan sponsor contributions, will be invested in a prudent manner to meet the obligations of the plans as those obligations come due under a broad range of potential economic and financial scenarios, maximize the long-term investment return with an acceptable level of risk based on such obligations, and broadly diversify investments across and within the capital markets to protect asset values against adverse movements in any one market. The Company’s investment strategy balances the requirement to maximize returns using potentially higher return generating assets, such as equity securities, with the need to manage the risk of such investments with less volatile assets, such as fixed-income securities. Investment practices must comply with the requirements of ERISA and any other applicable laws and regulations. The Company, in consultation with its investment advisors, has determined a targeted allocation of invested assets by category and it works with its advisors to reasonably maintain the actual allocation of assets near the target. The long term return on assets was estimated based upon historical market performance, expectations of future market performance for debt and equity securities and the related risks of various allocations between debt and equity securities. Numerous asset classes with differing expected rates of return, return volatility and correlations are utilized to reduce risk through diversification. The Company’s pension plan assets are invested in one mutual fund for each fund classification. The following table presents the fair value of pension plan assets classified under the appropriate level of the ASC 820, Fair Value Measurement, fair value hierarchy (see Note 2 - Summary of Significant Accounting Policies for a description of the fair value hierarchy) as of December 31, 2023 and 2022:
Pension Plan Assets |  |  | As of December 31, 2023 |
|  |  | Level 1 |  |  |  | Level 2 |  |  |  | Level 3 |  |  |  | Total |
Mutual funds: |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Fixed income funds |  |  | $ | 10,346 |  |  |  | $ | - |  |  |  | $ | - |  |  |  | $ | 10,346 |
Cash and equivalents |  |  |  | - |  |  |  |  | - |  |  |  |  | - |  |  |  |  | - |
Total |  |  | $ | 10,346 |  |  |  | $ | - |  |  |  | $ | - |  |  |  | $ | 10,346 |
Pension Plan Assets |  |  | As of December 31, 2022 |
|  |  | Level 1 |  |  |  | Level 2 |  |  |  | Level 3 |  |  |  | Total |
Mutual funds: |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Fixed income funds |  |  | $ | 11,268 |  |  |  | $ | - |  |  |  | $ | - |  |  |  | $ | 11,268 |
Cash and equivalents |  |  |  | 135 |  |  |  |  | - |  |  |  |  | - |  |  |  |  | 135 |
Total |  |  | $ | 11,403 |  |  |  | $ | - |  |  |  | $ | - |  |  |  | $ | 11,403 |
During the year ended December 31, 2023, the Company offered a one-time, lump sum pay-out option to its terminated vested participants under the Plan. The lump sum pay-out was funded by the assets of the Plan. As a result of the lump sum pay-out, the Company reduced its gross Plan liabilities by $536 and recognized a non-cash pre-tax pension settlement loss of $313 during the year ended December 31, 2023. During the year ended December 31, 2022, the Company purchased a non-participating group annuity contract (the “Annuity Contract”) from OneAmerica Financial Partners, Inc. (“OneAmerica”) and transferred to OneAmerica about 67.7% of its future benefit obligations under the Plan. Upon payment of the premium to OneAmerica and closing of transactions contemplated under the Company’s commitment agreement with OneAmerica, the applicable pension benefit obligations were irrevocably transferred from the Plan to OneAmerica and the Company reduced its gross Plan liabilities by $27,000. The purchase of the Annuity Contract was funded by the assets of the Plan. The Company recognized a non-cash pre-tax pension settlement loss of $8,105 during the year ended December 31, 2022. The Company also maintains qualified defined contribution plans, which provide benefits to their employees based on employee contributions and employee earnings, with discretionary contributions allowed. Expenses related to these plans were $354 for the year ended December 31, 2023 and $289 for the year ended December 31, 2022.

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 retirement benefits. + References Reference 1: http://www.xbrl.org/2003/role/disclosureRef -Topic 715 -SubTopic 70 -Name Accounting Standards Codification -Section 50 -Paragraph 1 -Publisher FASB -URI https://asc.fasb.org//1943274/2147480794/715-70-50-1 Reference 2: http://www.xbrl.org/2003/role/exampleRef -Topic 715 -SubTopic 20 -Name Accounting Standards Codification -Section 55 -Paragraph 17 -Publisher FASB -URI https://asc.fasb.org//1943274/2147480482/715-20-55-17 Reference 3: http://www.xbrl.org/2003/role/disclosureRef -Topic 715 -SubTopic 20 -Name Accounting Standards Codification -Section 50 -Paragraph 1 -Subparagraph (d)(iv)(03) -Publisher FASB -URI https://asc.fasb.org//1943274/2147480506/715-20-50-1 Reference 4: http://www.xbrl.org/2003/role/disclosureRef -Topic 715 -SubTopic 20 -Name Accounting Standards Codification -Section 50 -Paragraph 1 -Subparagraph (d)(i) -Publisher FASB -URI https://asc.fasb.org//1943274/2147480506/715-20-50-1 Reference 5: http://www.xbrl.org/2003/role/disclosureRef -Topic 715 -SubTopic 20 -Name Accounting Standards Codification -Section 50 -Paragraph 1 -Subparagraph (q) -Publisher FASB -URI https://asc.fasb.org//1943274/2147480506/715-20-50-1 Reference 6: http://www.xbrl.org/2003/role/disclosureRef -Topic 715 -SubTopic 20 -Name Accounting Standards Codification -Section 50 -Paragraph 1 -Subparagraph (l) -Publisher FASB -URI https://asc.fasb.org//1943274/2147480506/715-20-50-1 Reference 7: http://www.xbrl.org/2003/role/disclosureRef -Topic 715 -Name Accounting Standards Codification -Publisher FASB -URI https://asc.fasb.org//715/tableOfContent Reference 8: http://www.xbrl.org/2003/role/disclosureRef -Topic 715 -SubTopic 20 -Name Accounting Standards Codification -Section 50 -Paragraph 1 -Subparagraph (d)(iii) -Publisher FASB -URI https://asc.fasb.org//1943274/2147480506/715-20-50-1 Reference 9: http://www.xbrl.org/2003/role/disclosureRef -Topic 715 -SubTopic 20 -Name Accounting Standards Codification -Section 50 -Paragraph 1 -Subparagraph (o) -Publisher FASB -URI https://asc.fasb.org//1943274/2147480506/715-20-50-1 Reference 10: http://www.xbrl.org/2003/role/disclosureRef -Topic 715 -SubTopic 20 -Name Accounting Standards Codification -Section 50 -Paragraph 1 -Subparagraph (p) -Publisher FASB -URI https://asc.fasb.org//1943274/2147480506/715-20-50-1 Reference 11: http://www.xbrl.org/2003/role/disclosureRef -Topic 715 -SubTopic 20 -Name Accounting Standards Codification -Section 50 -Paragraph 1 -Subparagraph (r)(1) -Publisher FASB -URI https://asc.fasb.org//1943274/2147480506/715-20-50-1 Reference 12: http://www.xbrl.org/2003/role/disclosureRef -Topic 715 -SubTopic 20 -Name Accounting Standards Codification -Section 50 -Paragraph 1 -Subparagraph (r)(2) -Publisher FASB -URI https://asc.fasb.org//1943274/2147480506/715-20-50-1 Reference 13: http://www.xbrl.org/2003/role/disclosureRef -Topic 715 -SubTopic 20 -Name Accounting Standards Codification -Section S99 -Paragraph 2 -Publisher FASB -URI https://asc.fasb.org//1943274/2147480126/715-20-S99-2 Reference 14: http://www.xbrl.org/2003/role/disclosureRef -Topic 715 -SubTopic 60 -Name Accounting Standards Codification -Section 50 -Paragraph 3 -Subparagraph (c) -Publisher FASB -URI https://asc.fasb.org//1943274/2147480266/715-60-50-3 + Details
Name: | us-gaap_PensionAndOtherPostretirementBenefitsDisclosureTextBlock
Namespace Prefix: | us-gaap_
Data Type: | dtr-types:textBlockItemType
Balance Type: | na
Period Type: | duration