Annual report pursuant to Section 13 and 15(d)

EMPLOYEE BENEFIT PLANS (Tables)

v3.20.4
EMPLOYEE BENEFIT PLANS (Tables)
12 Months Ended
Dec. 31, 2020
Employee Benefit Plans  
The funded status of the plans and the net amount recognized in the statement of financial position

The Company uses December 31 as the measurement date for its defined benefit post-retirement plans. The funded status of the plans and the net amount recognized in the statement of financial position are summarized as follows as of:

EMPLOYEE BENEFIT PLANS
December 31,   2020     2019  
(in thousands)            
CHANGE IN ACCUMULATED BENEFIT OBLIGATION                
Accumulated benefit obligation at beginning of year   $ 2,818     $ 208,425  
Service cost            
Interest cost     102       4,804  
Actuarial gain/(loss)     313       (4,156 )
Benefits paid     (26 )     (8,000 )
Settlement     (171 )     (198,255 )
Accumulated Benefit obligation at end of year     3,036       2,818  
CHANGE IN PLAN ASSETS                
Fair value of assets at beginning of year     23,603       213,699  
Settlement           (198,255 )
Actual return on assets     (1,647 )     27,064  
Employer contributions           144  
Rollins 401(k) funding     (18,010 )     (11,049 )
Benefits paid     (689 )     (8,000 )
Fair value of plan assets at end of year     3,257       23,603  
Funded status   $ 221     $ 20,785  
Schedule of Amounts Recognized in Balance Sheet [Table Text Block]

Amounts Recognized in the Statement of Financial Position
Amounts Recognized in the Statement of Financial Position consist of:                
December 31,   2020     2019  
(in thousands)            
Assets:                
Benefit plan assets   $ 1,198     $ 21,565  
Liabilities:                
Long-term accrued liabilities   $ 977     $ 780  
Schedule of Net Periodic Benefit Cost Not yet Recognized [Table Text Block]

Amounts Recognized in the Accumulated Other Comprehensive Income
             
Amounts Recognized in the Accumulated Other Comprehensive Income consist of:
December 31,   2020     2019  
(in thousands)                
Net actuarial loss   $ 992     $ 912  
weighted average assumptions were used to determine the accumulated benefit obligation and net benefit cost

The following weighted average assumptions were used to determine the accumulated benefit obligation and net benefit cost:

EMPLOYEE BENEFIT PLANS (Details 4)
December 31,   2020     2019     2018  
ACCUMULATED BENEFIT OBLIGATION                        
Discount rate     2.80     3.65 %     4.00 %*
Rate of compensation increase      N/A        N/A        N/A  
NET BENEFIT COST                        
Discount rate     3.65 %     4.70 %     4.45 %
Expected return on plan assets     7.00 %     7.00 %     7.00 %
Rate of compensation increase      N/A        N/A        N/A  
combined components of net periodic benefit cost

The combined components of net periodic benefit cost are summarized as follows:

EMPLOYEE BENEFIT PLANS (Details 5)
Years ended December 31,   2020     2019     2018  
(in thousands)                  
Service cost   $     $     $ 37  
Interest cost     102       4,805       7,926  
Expected return on plan assets     (140 )     (6,149 )     (13,775 )
Amortization of net loss     100       2,396       3,292  
Preliminary net periodic benefit cost/(income)     62       1,052       (2,520 )
Settlement expense     56       46,419        
Net periodic benefit cost   $ 118     $ 47,471     $ (2,520 )
benefit obligations recognized in other comprehensive income

The benefit obligations recognized in other comprehensive income for the years ended December 31, 2020, 2019, and 2018 are summarized as follows:

EMPLOYEE BENEFIT PLANS (Details 6)
Years ended December 31,   2020     2019     2018  
(in thousands)                  
Pretax (income)/loss   $ 236     $ (26,634 )   $ 18,056  
Amortization of net loss     (100 )     (2,396 )     (3,292 )
Settlement expense     (56 )     (46,419 )      
Total recognized in other comprehensive income   $ 80     $ (75,449 )   $ 14,764  
plans’ weighted average asset allocation

The plans’ weighted average asset allocation at December 31, 2020 and 2019 by asset category, along with the target allocation for 2021, are as follows:

EMPLOYEE BENEFIT PLANS (Details 7)
    Target
Allocation for
    Percentage of plan assets as
of December 31,
 
Asset category    2021     2020     2019  
Cash and cash equivalents     0.0% - 100.0%       41.1%       72.3%  
Domestic equity     0.0% - 40.0%       29.0%       5.8%  
International equity     0.0% - 30.0%       15.0%       1.9%  
Debt securities - core fixed income     0.0% - 100.0%       14.9%       2.1%  
Real estate     0.0% - 20.0%       0.0%       9.5%  
Alternative Opportunistic Special     0.0% - 20.0%       0.0%       10.4%  
Total     0.0% - 100.0%       100.0%       100.0%  
assets using the fair value hierarchy

The following table presents our plan assets using the fair value hierarchy as of December 31, 2020. The fair value hierarchy has three levels based on the reliability of the inputs used to determine fair value. See Note 8 for a brief description of the three levels under the fair value hierarchy.

EMPLOYEE BENEFIT PLANS (Details 8)
(in thousands)   Level 1     Level 2     NAV     Total  
(1) Cash and cash equivalents   $ 1,322     $     $     $ 1,322  
(2) Fixed income securities           480             480  
(3) Domestic equity securities           932             932  
(3) International equity securities           523             523  
Total   $ 1,322     $ 1,935     $     $ 3,257  
                                 
estimated future benefit payments

The estimated future benefit payments over the next five years for the Waltham Plan are as follows:

EMPLOYEE BENEFIT PLANS (Details 9)
(in thousands)      
2021   $ 68  
2022     77  
2023     83  
2024     100  
2025     110  
Thereafter     693  
Total   $ 1,131  
non-qualified deferred compensation plan assets using the fair value hierarchy

The following table presents our non-qualified deferred compensation plan assets using the fair value hierarchy as of December 31, 2020 and 2019.

EMPLOYEE BENEFIT PLANS (Details 11)
(in thousands)   Level 1     Level 2     Level 3     Total  
December 31, 2020   $ 25     $     $ 24,460     $ 24,485  
December 31, 2019   $ 71     $     $ 22,158     $ 22,229