2021-207A - Laserfiche WebLink

Home Browse Search

FERREIRA CONSTRUCTION COMPANY INC., AND SUBSIDIARY NOTES TO CONSOLIDATED FINANCIAL STATEMENTS Labor Concentration - The majority of the Company's direct labor is supplied by unions, which have collective bargaining agreements expiring through May 2024. The Company's past experience has been favorable with these unions, however, it is possible that a protracted conflict may occur which could impact the renewal of the collective bargaining agreements. Note 17 - Backlog: Backlog represents the amount of revenue the Company expects to realize from work to be performed on uncompleted contracts -in -progress at period -end and from contractual agreements for work which has not commenced. Total backlog on contracts as of December 31, 2020 is $494,345,475. This backlog does not include work order contracts which the Company performs approximately $50 million annually. Note 18 - Benefit Plans: Non -Union - The Company participates in a 401(k) / profit sharing retirement plan, which covers eligible non-union employees. The Company matches 100% of the employees' contributions up to 3%, then 50% of the employees' contribution up to an additional 2%. For the year ended December 31, 2020 gross employer contributions were $660,848. No profit sharing contributions are being made to the plan for the year ended December 31, 2020. Multi -Employer Plans - Certain employees of the Company are covered by various union sponsored, collectively bargained, multi-employer pension plans. Contributions are determined in accordance with the provisions of negotiated labor contracts and generally are based on the number of hours worked. Such plans are administered through the unions involved. Under U.S. legislation regarding such pension plans, a company is required to continue funding its proportionate share of a plan's unfunded vested benefits in the event of withdrawal (as defined by the legislation) from a plan or plan termination. The Company may have a potential obligation as a participant. The information required to determine the total amount of the contingent obligation, as well as the total amount of accumulated benefits and net assets of such plans, is not readily available. However, the Company has no present intention of withdrawing from any of these plans, nor has the Company been informed that there is any intention to terminate such plans. Participation in these plans is outlined in the following tables. The EIN / Pension Plan Number column provides the Employer Identification Number (`BIN") and the three -digit pension plan number, if applicable. The most recent Pension Protection Act Zone Status available in 2020 is for the Plan's year-end at December 31, 2019, unless otherwise noted in the below table. Among other factors, generally, plans in the red zone are less than 65 percent funded, plans in the yellow zone are less than 80 percent funded, and plans in the green zone are at least 80 percent funded. The FIP/RP Status Pending / Implemented Column indicates plans for which a funding improvement plan ("FIP") or a rehabilitation plan ("RP") is either pending or has been implemented. The Company is actively assessing the contribution levels for the various plans to ensure sufficient funding of the plans. The multi-employer contributions listed in the table below are the Company's multi-employer contributions made for the year ended December 31, 2020. 19