XML 34 R18.htm IDEA: XBRL DOCUMENT
v3.22.0.1

Associate Retirement Plans | 12 Months Ended
--- | ---
Jan. 01, 2022
Compensation And Retirement Disclosure [Abstract] |
Associate Retirement Plans | Note 10 – Associate Retirement Plans The Company provides salary deferral defined contribution plans to substantially all of the Company’s associates not covered by CBAs. Associates covered by CBAs at the Company’s Columbus, Georgia; Norfolk, Virginia; and Landover, Maryland facilities all participate in a defined contribution plan; the remaining associates covered under CBAs participate in a multi-employer pension plan. The Company’s former non-contributory pension plan has been terminated. Defined Contribution Plans Expense for employer matching contributions made to defined contribution plans totaled $11.8 million, $12.2 million and $11.5 million in 2021, 2020 and 2019, respectively. Executive Compensation Plans The Company has a deferred compensation plan for a select group of management personnel or highly compensated associates. The plan is unfunded and permits participants to defer receipt of a portion of their base salary, annual bonus, or long-term incentive compensation which would otherwise be paid to them. The deferred amounts, plus earnings, are distributed following the associate’s termination of employment. Earnings are based on the performance of hypothetical investments elected by the participant from a portfolio of investment options. The Company holds variable universal life insurance policies on certain key associates intended to fund distributions under the deferred compensation plan referenced above. The net cash surrender value of approximately $4.3 million at both January 1, 2022 and January 2, 2021 is recorded in “Other assets, net” in the consolidated balance sheets. These policies have an aggregate amount of life insurance coverage of approximately $15.0 million. Defined Benefit Plans On February 28, 2018, the Company’s Board of Directors granted approval to proceed with terminating the SpartanNash Company Pension Plan (the “Pension Plan”), a frozen defined benefit pension plan. The Plan was terminated on July 31, 2018 and the distribution of assets to plan participants occurred in 2019. In 2020, the Company realized gains of $1.2 million related to refunds from the annuity provider to the Plan associated with the final reconciliation of participant data. The remaining plan asset balance of $2.7 million was used to fund employer match liabilities associated with defined contribution plans in 2021. In 2019, lump sum distributions and annuity payouts of $72.6 million were made resulting in pre-tax settlement charges of $18.2 million, including $18.0 million related to the Plan termination. The Company also recognized other termination expenses of $1.5 million in 2019. Postretirement Medical Plans SpartanNash Company and certain subsidiaries provide healthcare benefits to retired associates under the SpartanNash Company Retiree Medical Plan (the “Retiree Medical Plan”). Former Spartan Stores, Inc. associates hired prior to January 1, 2002 who were not covered by CBAs during their employment, who have at least 10 years of service and have attained age 55 upon retirement qualify as “covered associates.” Covered associates who retired prior to March 31, 1992 receive Medicare supplemental benefits. Covered associates retiring after April 1, 1992 are eligible for monthly postretirement healthcare benefits of $5 multiplied by the associate’s years of service. This benefit is provided in the form of a credit against their monthly insurance premium or Medicare supplemental insurance. The retiree is responsible to pay the balance of the premium. The following tables set forth the actuarial present value of benefit obligations, funded status, changes in benefit obligations and plan assets, weighted average assumptions used in actuarial calculations and components of net periodic benefit costs for the Company’s significant pension and postretirement benefit plans, excluding multi-employer plans. The prepaid, current accrued, and noncurrent accrued benefit costs associated with pension and postretirement benefits are reported in “Prepaid expenses and other current assets,” “Other assets, net,” “Accrued payroll and benefits,” and “Other long-term liabilities,” respectively, in the consolidated balance sheets.
|  |  |  |  |  |  | Pension Plan |  |  | Retiree Medical Plan |
|  |  |  |  |  |  | January 1, |  |  | January 2, |  |  | January 1, |  |  | January 2, |
(In thousands, except percentages) |  |  |  |  |  |  | 2022 |  |  | 2021 |  |  | 2022 |  |  | 2021 |
Funded Status |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Projected/Accumulated benefit obligation: |  |  |  |  |  |  |  |  |  |  |
Balance at beginning of year |  |  |  |  |  |  | $ |  | — |  |  | $ |  | — |  |  | $ |  | 11,909 |  |  | $ |  | 10,783 |
Service cost |  |  |  |  |  |  |  |  | — |  |  |  |  | — |  |  |  |  | 187 |  |  |  |  | 182 |
Interest cost |  |  |  |  |  |  |  |  | — |  |  |  |  | — |  |  |  |  | 226 |  |  |  |  | 303 |
Actuarial (gain) loss |  |  |  |  |  |  |  |  | — |  |  |  |  | — |  |  |  |  | (849 | ) |  |  |  | 1,027 |
Benefits paid |  |  |  |  |  |  |  |  | — |  |  |  |  | — |  |  |  |  | (442 | ) |  |  |  | (386 | )
Balance at end of year |  |  |  |  |  |  | $ |  | — |  |  | $ |  | — |  |  | $ |  | 11,031 |  |  | $ |  | 11,909 |
Fair value of plan assets: |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Balance at beginning of year |  |  |  |  |  |  | $ |  | 2,689 |  |  | $ |  | 1,496 |  |  | $ |  | — |  |  | $ |  | — |
Refund from annuity provider |  |  |  |  |  |  |  |  | — |  |  |  |  | 1,193 |  |  |  |  | — |  |  |  |  | — |
Company contributions |  |  |  |  |  |  |  |  | — |  |  |  |  | — |  |  |  |  | 442 |  |  |  |  | 386 |
Excess asset transfer |  |  |  |  |  |  |  |  | (2,689 | ) |  |  |  | — |  |  |  |  | — |  |  |  |  | — |
Benefits paid |  |  |  |  |  |  |  |  | — |  |  |  |  | — |  |  |  |  | (442 | ) |  |  |  | (386 | )
Balance at end of year |  |  |  |  |  |  | $ |  | — |  |  | $ |  | 2,689 |  |  | $ |  | — |  |  | $ |  | — |
Funded (unfunded) status |  |  |  |  |  |  | $ |  | — |  |  | $ |  | 2,689 |  |  | $ |  | (11,031 | ) |  | $ |  | (11,909 | )
Components of net amount recognized in consolidated balance sheets: |  |  |  |  |  |  |  |  |  |  |
Current assets |  |  |  |  |  |  | $ |  | — |  |  | $ |  | 2,689 |  |  | $ |  | — |  |  | $ |  | — |
Current liabilities |  |  |  |  |  |  |  |  | — |  |  |  |  | — |  |  |  |  | (496 | ) |  |  |  | (471 | )
Noncurrent liabilities |  |  |  |  |  |  |  |  | — |  |  |  |  | — |  |  |  |  | (10,535 | ) |  |  |  | (11,438 | )
Net asset (liability) |  |  |  |  |  |  | $ |  | — |  |  | $ |  | 2,689 |  |  | $ |  | (11,031 | ) |  | $ |  | (11,909 | )
Amounts recognized in AOCI: |  |  |  |  |  |  |  |  |  |  |
Net actuarial loss |  |  |  |  |  |  | $ |  | — |  |  | $ |  | — |  |  | $ |  | 1,653 |  |  | $ |  | 2,732 |
Accumulated other comprehensive loss |  | $ |  | — |  |  | $ |  | — |  |  | $ |  | 1,653 |  |  | $ |  | 2,732 |
Weighted average assumptions at measurement date: |  |  |  |  |  |  |  |  |  |  |
Discount rate |  |  |  |  |  |  | N/A |  |  | N/A |  |  | 2.90% |  |  | 2.57% |
Ultimate health care cost trend rate |  |  |  |  |  |  | N/A |  |  | N/A |  |  | 4.50% |  |  | 4.50% |
| Pension Plan |  |  | Retiree Medical Plan |
(In thousands, except percentages) | 2021 |  |  | 2020 |  |  | 2019 |  |  | 2021 |  |  | 2020 |  |  | 2019 |
Components of net periodic benefit (income) cost: |
Service cost | $ |  | — |  |  | $ |  | — |  |  | $ |  | — |  |  | $ |  | 187 |  |  | $ |  | 182 |  |  | $ |  | 171 |
Interest cost |  |  | — |  |  |  |  | — |  |  |  |  | 1,134 |  |  |  |  | 226 |  |  |  |  | 303 |  |  |  |  | 375 |
Amortization of prior service cost |  |  | — |  |  |  |  | — |  |  |  |  | — |  |  |  |  | — |  |  |  |  | — |  |  |  |  | (92 | )
Expected return on plan assets |  |  | — |  |  |  |  | — |  |  |  |  | (714 | ) |  |  |  | — |  |  |  |  | — |  |  |  |  | — |
Gain on reconciliation with annuity provider |  |  | — |  |  |  |  | (1,193 | ) |  |  |  | — |  |  |  |  | — |  |  |  |  | — |  |  |  |  | — |
Recognized actuarial net loss |  |  | — |  |  |  |  | — |  |  |  |  | 691 |  |  |  |  | 230 |  |  |  |  | 104 |  |  |  |  | — |
Net periodic benefit (income) expense | $ |  | — |  |  | $ |  | (1,193 | ) |  | $ |  | 1,111 |  |  | $ |  | 643 |  |  | $ |  | 589 |  |  | $ |  | 454 |
Settlement expense |  |  | — |  |  |  |  | — |  |  |  |  | 18,244 |  |  |  |  | — |  |  |  |  | — |  |  |  |  | — |
Total net periodic benefit (income) cost | $ |  | — |  |  | $ |  | (1,193 | ) |  | $ |  | 19,355 |  |  | $ |  | 643 |  |  | $ |  | 589 |  |  | $ |  | 454 |
Weighted average assumptions used to determine net periodic benefit (income) cost: |
Discount rate | N/A |  |  | N/A |  |  | 3.48% |  |  | 2.57% |  |  | 3.26% |  |  | 4.41% |
Expected return on plan assets | N/A |  |  | N/A |  |  | 2.80% |  |  | N/A |  |  | N/A |  |  | N/A |
Prior service costs (credits) are amortized on a straight-line basis over the average remaining service period of active participants. Actuarial gains and losses for the Pension Plan were amortized over the average remaining life of all participants when the accumulation of such gains and losses exceeded 10% of the greater of the projected benefit obligation and the market-related value of plan assets. Assumed healthcare cost trend rates have a significant effect on the amounts reported for the Retiree Medical Plan. Assumed current healthcare cost trend rates used to determine net periodic benefit cost were as follows:
|  |  |  |  |  |  |  |  |  | 2021 |  | 2020 |  | 2019
Post-65 |  |  |  |  |  |  |  |  |  | 7.00% |  | 7.50% |  | 7.50%
Expected Return on Assets and Investment Strategy There were not any pension plan assets as of January 1, 2022. Pension plan assets consisted of money market funds of $2.7 million at January 2, 2021. Money market funds are valued on a daily basis at NAV using the amortized cost of the securities held in the fund. Since amortized cost does not meet the criteria for an active market, money market funds are classified within level 2 of the fair value hierarchy of ASC 820, Fair Value Measurement. The pension plan did not hold any level three assets as of January 1, 2022 or January 2, 2021. See Note 7 for a discussion of the levels of the fair value hierarchy. The fair value measurement level used is based on the lowest level of any input that is significant to the fair value measurement. The Company expects to make contributions in 2022 of $0.5 million to the Retiree Medical Plan. The following estimated benefit payments are expected to be paid in the following fiscal years:
(In thousands) | 2022 |  |  | 2023 |  |  | 2024 |  |  | 2025 |  |  | 2026 |  |  | 2027 to 2031 |
Post-retirement medical benefits | $ |  | 495 |  |  | $ |  | 530 |  |  | $ |  | 559 |  |  | $ |  | 584 |  |  | $ |  | 610 |  |  | $ |  | 3,283 |
Multi-Employer Health and Welfare Plans In addition to the plans described above, the Company participates in the Michigan Conference of Teamsters and Ohio Conference of Teamsters Health and Welfare plans. The Company contributes to these multi-employer health and welfare plans under the terms contained in existing CBAs, including the requisite contribution amounts set forth within such CBAs. The health and welfare plans provide medical, dental, pharmacy, vision, and other ancillary benefits to active associates and retirees, as determined under the terms of the plan. Although the plans may provide certain benefits to retired employees, the Company’s only contribution obligation is to make contributions in amounts tied to the hours worked by its active employees. As a result, the plan does not constitute a postretirement benefit plan of the Company. Because the plans aggregate contributions from multiple employers, the Company is unable to determine how much of its contributions are allocated to benefits paid to its active employees and those, if any, that are allocated to benefits paid to other employer’s active employees and/or postretirement benefits. These types of plans often have a significant surplus of funds held in reserve in excess of claims incurred, and there is no potential withdrawal liability related to the Company’s participation in the plans. With respect to the Company’s participation in these plans, expense is recognized as contributions are made. The Company contributed $13.2 million, $13.7 million and $13.8 million to these plans in 2021, 2020 and 2019, respectively. Multi-Employer Pension Plan The Company also contributes to the Central States Plan, a multi-employer plan defined previously, under the terms of CBAs that cover its union-represented associates, including the requisite contribution amounts set forth within such CBAs. The Company is party to four CBAs that require contributions to the Central States Plan with expiration dates ranging from April 2022 to February 2025. These CBAs cover warehouse personnel and drivers in Grand Rapids, Michigan and Bellefontaine and Lima, Ohio. With respect to the Company’s participation in the Central States Plan (EIN 36-60442343 / Pension Plan Number 001), expense is recognized as contributions are made to the Central States Plan. The Company contributed $13.5 million, $14.1 million and $14.0 million to the Central States Plan in 2021, 2020 and 2019, respectively. The contributions made by the Company represent less than five percent of the Plan’s total contributions in 2021. Refer to Note 8, for further information regarding the Company’s participation in the Central States Plan. As of the date the consolidated financial statements were issued, an annual report for the Central States Plan on IRS Form 5500 was not publicly available for the plan year ended December 31, 2021.

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/exampleRef -Publisher FASB -Name Accounting Standards Codification -Topic 715 -SubTopic 20 -Section 55 -Paragraph 17 -URI http://asc.fasb.org/extlink&oid=123450688&loc=d3e4179-114921 Reference 2: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 715 -SubTopic 20 -Section S99 -Paragraph 2 -URI http://asc.fasb.org/extlink&oid=21916913&loc=d3e273930-122802 Reference 3: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 715 -SubTopic 20 -Section 50 -Paragraph 1 -Subparagraph (d)(i) -URI http://asc.fasb.org/extlink&oid=123447040&loc=d3e1928-114920 Reference 4: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 715 -SubTopic 20 -Section 50 -Paragraph 1 -Subparagraph (o) -URI http://asc.fasb.org/extlink&oid=123447040&loc=d3e1928-114920 Reference 5: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 715 -SubTopic 20 -Section 50 -Paragraph 1 -Subparagraph (p) -URI http://asc.fasb.org/extlink&oid=123447040&loc=d3e1928-114920 Reference 6: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 715 -SubTopic 70 -Section 50 -Paragraph 1 -URI http://asc.fasb.org/extlink&oid=49170846&loc=d3e28014-114942 Reference 7: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 715 -URI http://asc.fasb.org/topic&trid=2235017 Reference 8: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 715 -SubTopic 60 -Section 50 -Paragraph 3 -Subparagraph (c) -URI http://asc.fasb.org/extlink&oid=6414203&loc=d3e39689-114964 Reference 9: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 715 -SubTopic 20 -Section 50 -Paragraph 1 -Subparagraph (d)(iv)(03) -URI http://asc.fasb.org/extlink&oid=123447040&loc=d3e1928-114920 Reference 10: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 715 -SubTopic 20 -Section 50 -Paragraph 1 -Subparagraph (q) -URI http://asc.fasb.org/extlink&oid=123447040&loc=d3e1928-114920 Reference 11: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 715 -SubTopic 20 -Section 50 -Paragraph 1 -Subparagraph (r)(1) -URI http://asc.fasb.org/extlink&oid=123447040&loc=d3e1928-114920 Reference 12: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 715 -SubTopic 20 -Section 50 -Paragraph 1 -Subparagraph (d)(iii) -URI http://asc.fasb.org/extlink&oid=123447040&loc=d3e1928-114920 Reference 13: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 715 -SubTopic 20 -Section 50 -Paragraph 1 -Subparagraph (l) -URI http://asc.fasb.org/extlink&oid=123447040&loc=d3e1928-114920 Reference 14: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 715 -SubTopic 20 -Section 50 -Paragraph 1 -Subparagraph (r)(2) -URI http://asc.fasb.org/extlink&oid=123447040&loc=d3e1928-114920 + Details
Name: | us-gaap_PensionAndOtherPostretirementBenefitsDisclosureTextBlock
Namespace Prefix: | us-gaap_
Data Type: | dtr-types:textBlockItemType
Balance Type: | na
Period Type: | duration