v3.25.4
Employee Benefit Plans
 12 Months Ended
Dec. 31, 2025
Retirement Benefits [Abstract]  
Employee Benefit Plans
Employee Benefit Plans
Defined Benefit Plan
The Company maintained a noncontributory defined-benefit pension plan (the “Plan”), covering eligible employees. The Plan was closed to new participants effective December 31, 2016, and Plan benefits were frozen as of February 28, 2021. The Company terminated the Plan during 2024.
A summary of the activity in the Plan’s projected benefit obligation, assets, funded status and amounts recognized in the Company’s consolidated balance sheets is as follows:
(In thousands)20252024
Projected benefit obligation:
Balance, January 1 $784 $87,127 
Interest cost — 4,280 
Actuarial (gain) loss— (6,047)
Benefits paid (784)(84,576)
Balance, December 31
$— $784 
Plan assets:
Fair value, January 1 $2,129 $86,754 
Actual investment return 60 996 
Expenses paid from plan assets(209)(1,045)
Transfer to defined contributions plan(1,196)— 
Benefits paid (784)(84,576)
Fair value, December 31
$— $2,129 
Funded status:
Accrued pension asset (liability)$— $1,345 
For 2024, the projected benefit obligation represents actual benefit payments made during the first quarter of 2025. During the fourth quarter of 2024, the plan liabilities were settled with lump sum payments and the purchase of annuity contracts. The remaining projected benefit obligation at December 31, 2024 represented benefit payments to be made to retirees prior to the administration of the Plan being taken over by the insurance company that assumed the annuity contracts in a sale from the Plan.
For 2024 and 2023, the Plan’s expected benefit cash flows were discounted using the FTSE Above Median Double-A Curve. For 2023, the Pri-2012 Mortality Table and MP-2022 Mortality Improvement Scale were used.
202520242023
Weighted average discount rate N/A5.60 %5.05 %
Rate of increase in compensation levels N/AN/AN/A
The accumulated benefit obligation was $0 and $784,000 as of December 31, 2025 and 2024, respectively. The Company made no contributions during 2025 or 2024 to the Plan.
The Plan’s net periodic pension cost included the following components:
For the Year Ended
December 31,
(In thousands)202520242023
Interest cost on projected benefit obligations — 4,280 4,314 
Expected return on plan assets — (3,566)(3,735)
Net amortization and deferral — 3,458 154 
Net periodic pension cost$— $4,172 $733 
The following represent the major assumptions used to determine the net periodic pension cost of the Plan:
202520242023
Weighted average discount rate N/A5.05 %5.25 %
Rate of increase in compensation levels N/AN/AN/A
Expected long-term rate of return on assets N/A6.00 %6.00 %
As of December 31, 2024, the Plan assets of $2.1 million were fully invested in cash.
Supplemental Executive Retirement Plan
The Company also has an unfunded supplemental executive retirement plan (“SERP”) which covers key executives of the Company whose benefits are limited by the Internal Revenue Service under the Company’s qualified retirement plan. The SERP is a noncontributory plan in which the Company’s subsidiaries make accruals designed to fund normal service costs on a current basis using the same method and criteria as the Plan.
A summary of the activity in the SERP’s projected benefit obligation and amounts recognized in the Company’s consolidated balance sheets is as follows:
December 31,
(In thousands)20252024
Benefit obligation:
Balance, January 1 $8,812 $9,501 
Interest cost 463 450 
Benefits paid (656)(382)
Actuarial loss (gain)176 (757)
Balance, December 31
$8,795 $8,812 
The following represent the major assumptions used to determine the projected benefit obligation of the SERP. For 2025, 2024 and 2023, the SERP’s expected benefit cash flows were discounted using the FTSE Above Median Double-A Curve.
202520242023
Weighted average discount rate 5.15 %5.50 %4.95 %
Rate of increase in compensation levels N/AN/AN/A
The accumulated benefit obligation was $8.8 million as of December 31, 2025 and 2024, respectively. Since this is an unfunded plan, there are no plan assets. Benefits paid were $656,000 in 2025, $382,000 in 2024, and $400,000 in 2023. Expected future benefits payable by the Company over the next ten years are as follows:
Amount
2026$792,000 
2027789,000 
2028785,000 
2029779,000 
2030771,000 
2029-2033$3,629,000 
Net periodic benefit cost related to the SERP included the following components:
For the Year Ended December 31,
(In thousands)202520242023
Service cost – benefits earned during the year $— $— $— 
Interest cost on projected benefit obligations 463 450 472 
Net amortization and deferral — — — 
Net periodic pension cost $463 $450 $472 
The pretax amounts in accumulated other comprehensive loss for the SERP as of December 31, 2025 and 2024 were a net actuarial gain of $855,000 and $1.0 million, respectively.
The estimated pretax prior service cost and net actuarial gain in accumulated other comprehensive loss at December 31, 2025 expected to be recognized as components of net periodic benefit cost in 2026 for the SERP is $0.
The Company also maintains a noncontributory profit sharing program, which covers most of its employees. Employer contributions are calculated based upon formulas which relate to current operating results and other factors. Profit sharing expense recognized in personnel expense in the consolidated statements of income in 2025, 2024, and 2023 was $6.3 million, $4.5 million, and $5.8 million, respectively.
The Company also sponsors a defined contribution 401(k) plan to provide additional retirement benefits to substantially all employees. Contributions under the 401(k) plan for 2025, 2024 and 2023 were $3.6 million, $3.6 million, and $4.6 million, respectively.