CHFC 2018 Annual Report

Note 24: Accumulated Other Comprehensive Loss The following table summarizes the changes within each component of accumulated other comprehensive income (loss), net of related tax benefit/expense for the years ended December 31, 2018, 2017 and 2016: (Dollars in thousands) Unrealized gains (losses) on securities carried at fair value, net of tax Defined Benefit Pension Plans Unrealized gains (losses) on cash flow hedges, net of tax Total For the year ended December 31, 2018 Beginning balance $ (10,348) $ (19,808) $ 4,658 $ (25,498) Cumulative effect adjustment of change in accounting policy, net of tax impact (1) (344) — 3 (341) Beginning balance at January 1, 2018 (10,692) (19,808) 4,661 (25,839) Other comprehensive income (loss) before reclassifications (26,903) — 2,245 (24,658) Amounts reclassified from accumulated other comprehensive income (loss) (177) (8,958) (1,478) (10,613) Net current period other comprehensive income (loss) (27,080) (8,958) 767 (35,271) Ending balance $ (37,772) $ (28,766) $ 5,428 $ (61,110) For the year ended December 31, 2017 Beginning balance $ (14,142) $ (25,894) $ — $ (40,036) Other comprehensive income before reclassifications 826 8,457 2,771 12,054 Amounts reclassified from accumulated other comprehensive income 4,802 1,139 1,061 7,002 Net current period other comprehensive income 5,628 9,596 3,832 19,056 Reclassification of certain deferred tax effects (2) (1,834) (3,510) 826 (4,518) Ending balance $ (10,348) $ (19,808) $ 4,658 $ (25,498) For the year ended December 31, 2016 Beginning balance $ (1,888) $ (27,144) $ — $ (29,032) Other comprehensive (loss) before reclassifications (12,170) (229) — (12,399) Amounts reclassified from accumulated other comprehensive income (loss) (84) 1,479 — 1,395 Net current period other comprehensive income (loss) (12,254) 1,250 — (11,004) Ending balance $ (14,142) $ (25,894) $ — $ (40,036) (1) Refer to Note 1, Summary of Significant Accounting Policies and Note 4, Investment Securities, for further details on the changes in accounting policy. (2) The reclassification fromaccumulated other comprehensive income (loss) to retained earnings was due to the early adoption ofASU2018-02, see Note 1 for further information. Chemical Financial Corporation Notes to Consolidated Financial Statements December 31, 2018 165