Guranteed Investment Contracts (GIC) |
12 Months Ended | |||||||||||||||||||||||||||||||||||||||||||||
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Dec. 31, 2025 | ||||||||||||||||||||||||||||||||||||||||||||||
| EBP 002 | ||||||||||||||||||||||||||||||||||||||||||||||
| EBP, Fully Benefit-Responsive Investment Contract [Line Items] | ||||||||||||||||||||||||||||||||||||||||||||||
| Guranteed Investment Contracts (GIC) | Guaranteed Investment Contracts (GIC) The Plan’s Fund is a custom investment vehicle that invests in fully benefit‑responsive investment contracts, which are synthetic GICs issued by insurance companies. The Plan’s GICs consist of the underlying investments, which are fixed-income securities owned directly by the Plan and “wrapper” contracts purchased from the insurance companies. The wrapper contracts guarantee full payment of principal and interest and provide an interest crediting rate of not less than zero. The wrapper contracts amortize the realized and unrealized gains and losses on the underlying fixed income investments over the duration of the investments, through adjustments to the future interest crediting rate. These investments are credited with earnings on the underlying investments and charged for participant withdrawals and administrative expenses. Participants may ordinarily direct the withdrawal or transfer of all or a portion of their investment at contract value. There are no reserves against contract value for credit risk of the contract issuers or otherwise. An investment contract is considered fully benefit‑responsive if all of the following criteria are met: • The investment contract is between the Fund and the issuer and the contract cannot be sold or assigned. • The contract issuer must be obligated to repay principal and interest to participants in the Fund or provide prospective crediting rate adjustments that cannot result in an interest crediting rate less than zero. • All permitted participant‑initiated transactions occur at contract value, without limitations. • An event that limits the ability of the participant to transact at contract value is not probable. • The Fund must allow participants reasonable access to their funds. The Plan’s management has concluded that the GICs are fully benefit‑responsive investment contracts and has reported such contracts at contract value as shown in the table below:
In addition, the Fund owns units of the Bank of New York Mellon Short‑Term Investment Fund, which serves as the Fund’s short‑term liquidity vehicle, included in the fair value hierarchy table in cash equivalents and short-term investments.
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