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Benefit Plans (Tables)
 12 Months Ended
Aug. 31, 2012
Compensation and Retirement Disclosure [Abstract]  
Schedule of defined benefit plans disclosures
Financial information on changes in benefit obligation and plan assets funded and balance sheets status as of August 31, 2012 and 2011 is as follows:
 
Qualified
Pension Benefits
 
Non-Qualified
Pension Benefits
 
Other Benefits
 
2012
 
2011
 
2012
 
2011
 
2012
 
2011
 
(Dollars in thousands)
Change in benefit obligation:
 

 
 

 
 

 
 

 
 

 
 

  Benefit obligation at beginning of period
$
501,053

 
$
493,601

 
$
29,728

 
$
47,233

 
$
56,864

 
$
46,262

  Service cost
26,010

 
25,232

 
279

 
1,246

 
2,556

 
1,771

  Interest cost
24,119

 
22,257

 
1,343

 
1,933

 
2,638

 
2,194

Transfers in from Agriliance Employee Retirement Plan
84,498

 


 
 
 
 
 
 
 
 
  Actuarial loss (gain)
982

 
759

 
2,498

 
(1,233
)
 
(1,997
)
 
1,199

  Assumption change
62,755

 
(11,014
)
 
1,956

 
(514
)
 
6,437

 
912

  Plan amendments


 
365

 


 
1,047

 
(899
)
 


  Medicare D


 


 


 


 
625

 
216

  Excise tax on high cost healthcare plans


 


 


 


 


 
6,279

  Benefits paid
(28,351
)
 
(30,147
)
 
(1,334
)
 
(19,984
)
 
(2,035
)
 
(1,969
)
Benefit obligation at end of period
$
671,066

 
$
501,053

 
$
34,470

 
$
29,728

 
$
64,189

 
$
56,864

Change in plan assets:
 

 
 

 
 

 
 

 
 

 
 

  Fair value of plan assets at beginning of period
$
540,822

 
$
478,361

 
$
—

 
$
—

 
$
—

 
$
—

  Actual gain on plan assets
50,515

 
57,608

 
 
 


 


 


  Company contributions
28,000

 
35,000

 
1,334

 
19,984

 
2,035

 
1,969

Transfers in from Agriliance Employee Retirement Plan
97,210

 


 
 
 
 
 
 
 
 
  Benefits paid
(28,351
)
 
(30,147
)
 
(1,334
)
 
(19,984
)
 
(2,035
)
 
(1,969
)
  Fair value of plan assets at end of period
$
688,196

 
$
540,822

 
$
—

 
$
—

 
$
—

 
$
—

Funded status at end of period
$
17,130

 
$
39,769

 
$
(34,470
)
 
$
(29,728
)
 
$
(64,189
)
 
$
(56,864
)
Amounts recognized on balance sheet:
 

 
 

 
 

 
 

 
 

 
 

     Non-current assets
$
17,695

 
$
40,047

 


 


 


 


     Accrued benefit cost:


 


 
 

 
 

 
 

 
 

          Current liabilities


 


 
$
(3,325
)
 
$
(3,205
)
 
$
(3,297
)
 
$
(3,111
)
          Non-current liabilities
(565
)
 
(278
)
 
(31,145
)
 
(26,523
)
 
(60,892
)
 
(53,753
)
Ending balance
$
17,130

 
$
39,769

 
$
(34,470
)
 
$
(29,728
)
 
$
(64,189
)
 
$
(56,864
)
Amounts recognized in accumulated other comprehensive loss (pretax):
 

 
 

 
 

 
 

 
 

 
 

    Net transition obligation


 


 


 


 
$
563

 
$
1,651

    Prior service cost (credit)
$
9,392

 
$
11,223

 
$
1,316

 
$
497

 
(17
)
 
(190
)
    Net loss
331,420

 
247,669

 
10,104

 
7,124

 
683

 
14,076

    Noncontrolling interests


 
(20,524
)
 


 
(82
)
 


 
(3,821
)
Ending balance
$
340,812

 
$
238,368

 
$
11,420

 
$
7,539

 
$
1,229

 
$
11,716
Schedule of net benefit costs of assumptions used
Components of net periodic benefit costs for the years ended August 31, 2012, 2011 and 2010 are as follows:
 
Qualified
Pension Benefits
 
Non-Qualified
Pension Benefits
 
Other Benefits
 
2012
 
2011
 
2010
 
2012
 
2011
 
2010
 
2012
 
2011
 
2010
 
(Dollars in thousands)
Components of net periodic benefit costs:
 

 
 

 
 

 
 

 
 

 
 

 
 

 
 

 
 

  Service cost
$
26,010

 
$
25,232

 
$
20,774

 
$
279

 
$
1,246

 
$
1,220

 
$
2,556

 
$
1,771

 
$
1,385

  Interest cost
24,119

 
22,257

 
23,034

 
1,343

 
1,933

 
2,235

 
2,638

 
2,194

 
2,153

  Expected return on assets
(40,904
)
 
(41,770
)
 
(36,875
)
 


 


 


 


 


 


  Settlement of retiree obligations


 


 


 


 
4,735

 


 


 


 


  Special agreements


 


 


 


 


 


 


 


 
1,722

  Prior service cost (credit) amortization
1,831

 
2,327

 
2,193

 
228

 
141

 
419

 
(104
)
 
(122
)
 
(186
)
  Actuarial loss amortization
15,131

 
16,090

 
10,578

 
428

 
967

 
617

 
891

 
513

 
12

  Transition amount amortization


 


 


 


 


 


 
936

 
935

 
936

Net periodic benefit cost
$
26,187

 
$
24,136

 
$
19,704

 
$
2,278

 
$
9,022

 
$
4,491

 
$
6,917

 
$
5,291

 
$
6,022

Weighted-average assumptions to determine the net periodic benefit cost:
 

 
 

 
 

 
 

 
 

 
 

 
 

 
 

 
 

  Discount rate
5.00
%
 
4.75
%
 
5.75
%
 
5.00
%
 
4.75
%
 
5.75
%
 
4.75
%
 
4.75
%
 
5.75
%
  Expected return on plan assets
7.25
%
 
7.75
%
 
8.25
%
 
N/A

 
N/A

 
N/A

 
N/A

 
N/A

 
N/A

  Rate of compensation increase
4.50
%
 
4.50
%
 
4.50
%
 
4.75
%
 
4.75
%
 
4.50
%
 
4.50
%
 
4.50
%
 
4.50
%
Weighted-average assumptions to determine the benefit obligations:
 

 
 

 
 

 
 

 
 

 
 

 
 

 
 

 
 

  Discount rate
3.80
%
 
5.00
%
 
4.75
%
 
4.00
%
 
5.00
%
 
4.75
%
 
3.75
%
 
4.75
%
 
4.75
%
  Rate of compensation increase
4.50
%
 
4.50
%
 
4.50
%
 
4.75
%
 
4.50
%
 
4.50
%
 
4.50
%
 
4.50
%
 
4.50
%
Schedule of amounts in accumulated other comprehensive income (loss) to be recognized over next fiscal year
The estimated amortization in fiscal 2013 from accumulated other comprehensive income into net periodic benefit cost is as follows:
 
Qualified
Pension Benefits
 
Non-Qualified
Pension Benefits
 
Other
Benefits
 
(Dollars in thousands)
Amortization of transition obligation


 


 
$
563

Amortization of prior service cost (benefit)
$
1,597

 
$
(33
)
 
$
(17
)
Amortization of net actuarial loss
$
22,516

 
$
32

 
$
1,152
Schedule of effect of one-percentage-point change in assumed health care cost trend rates
A one-percentage point change in the assumed health care cost trend rates would have the following effects:
 
1% Increase
 
1% Decrease
 
(Dollars in thousands)
Effect on total of service and interest cost components
$
630

 
$
(510
)
Effect on postretirement benefit obligation
6,200

 
(5,400
)
Schedule of expected benefit payments
The Company’s retiree benefit payments which reflect expected future service are anticipated to be paid as follows:
 
Qualified
Pension Benefits
 
Non-Qualified
Pension Benefits
 
Other Benefits
 
 
 
Gross
 
Medicare D
 
(Dollars in thousands)
2013
$
36,805

 
$
3,325

 
$
3,297

 
$
100

2014
39,083

 
1,276

 
3,455

 
100

2015
42,954

 
1,002

 
3,671

 
100

2016
44,523

 
1,869

 
4,018

 
100

2017
47,263

 
4,293

 
4,249

 
100

2018-2022
278,194

 
13,187

 
23,644

 
500
Schedule of defined benefit plans, fair value disclosure
The Company’s pension plans’ fair value measurements at August 31, 2012 and 2011 are as follows:

 
2012
 
Level 1
 
Level 2
 
Level 3
 
Total
 
(Dollars in thousands)
Cash and cash equivalents
$
2,588

 
$
21,380

 


 
$
23,968

Equities:
 

 
 

 
 

 
 

   Mutual funds
115,515

 
289,286

 


 
404,801

Fixed income securities:
 

 
 

 
 

 
 

   Mutual funds
76,795

 
164,380

 
$
1,868

 
243,043

Real estate funds


 


 
16,257

 
16,257

Hedge funds


 


 
127

 
127

Total
$
194,898

 
$
475,046

 
$
18,252

 
$
688,196


 
2011
 
Level 1
 
Level 2
 
Level 3
 
Total
 
(Dollars in thousands)
Cash and cash equivalents
$
3,073

 
$
22,325

 


 
$
25,398

Equities:
 

 
 

 
 

 
 

Mutual funds
100,508

 
198,828

 


 
299,336

Fixed income securities:
 

 
 

 
 

 
 

Mutual funds
66,124

 
135,251

 


 
201,375

Real estate funds


 


 
$
14,522

 
14,522

Hedge funds


 


 
191

 
191

Total
$
169,705

 
$
356,404

 
$
14,713

 
$
540,822
Schedule of changes in fair value of plan assets
The following tables set forth a summary of changes in the fair value of the plan’s Level 3 assets for the years ended August 31, 2012 and 2011:
 
2012
 
Mutual Funds
 
Real
Estate
Funds
 
Hedge
Funds
 
Total
 
(Dollars in thousands)
Balances at beginning of period
$
—

 
$
14,522

 
$
191

 
$
14,713

Unrealized gains (losses)
48

 
1,763

 
(68
)
 
1,743

Realized losses (gains)
90

 
(48
)
 


 
42

Sales
(8
)
 
(2
)
 


 
(10
)
Purchases
 
 
22

 
4

 
26

Transfers into level 3
1,738

 
 
 
 
 
1,738

Total
$
1,868

 
$
16,257

 
$
127

 
$
18,252


 
2011
 
Real
Estate
Funds
 
Hedge
Funds
 
Total
 
(Dollars in thousands)
Balances at beginning of period
$
9,407

 
$
2,705

 
$
12,112

Unrealized gains
2,104

 
132

 
2,236

Purchases, sales, issuances and settlements, net
3,011

 
(2,646
)
 
365

Total
$
14,522

 
$
191

 
$
14,713
Schedule of multiemployer plans
The Company's participation in the Co-op Plan for the years ended August 31, 2012, 2011, and 2010 is outlined in the table below:


 

 
Contributions of CHS
 
 
 
 
 
 
 
(Dollars in thousands)
 
 
 
Plan Name
 
EIN/Plan Number
 
2012
 
2011
 
2010
 
Surcharge Imposed
Expiration Date of Collective Bargaining Agreement
Co-op Retirement Plan
 
01-0689331 / 001
 
$
1,885

 
$
1,279

 
$
1,325

 
N/A
N/A