Pensions and Other Postretirement Benefits
 9 Months Ended
Sep. 30, 2012
Pensions and Other Postretirement Benefits

11. Pensions and Other Postretirement Benefits

The following table provides the components of net periodic benefit cost for the third quarters and nine months ended September 30, 2012 and 2011:

 

     Pension Benefits     Other Benefits  
     Quarter Ended     Quarter Ended  
     September 30     September 30  
             2012                     2011                     2012                     2011          

Service cost

    $ -      $ -      $ 199      $ 161   

Interest cost

      1,475        1,871        452        387   

Expected return on plan assets

      (2,225 )      (2,342 )      (8 )      (9 ) 

Amortization of:

         

Unrecognized actuarial loss

      575        896        70        4   

Unrecognized prior service cost

      -        -        (63 )      (68 ) 
  

 

 

    

 

 

    

 

 

    

 

 

  

Net periodic benefit cost (income)

    $ (175 )    $ 425      $ 650      $ 475   
  

 

 

    

 

 

    

 

 

    

 

 

  

 

     Pension Benefits     Other Benefits  
     Nine Months Ended     Nine Months Ended  
     September 30     September 30  
             2012                     2011                     2012                     2011          

Service cost

    $ -      $ -      $ 598      $ 482   

Interest cost

      4,425        5,613        1,354        1,162   

Expected return on plan assets

      (6,675 )      (7,025 )      (24 )      (28 ) 

Amortization of:

         

Unrecognized actuarial (gain) loss

      (275 )      2,687        211        13   

Unrecognized prior service cost

      -        -        (189 )      (204 ) 
  

 

 

    

 

 

    

 

 

    

 

 

  

Net periodic benefit cost (income)

    $ (2,525 )    $ 1,275      $ 1,950      $ 1,425   
  

 

 

    

 

 

    

 

 

    

 

 

  

During the first quarter of 2012, the Company identified an error related to the amortization period for unrecognized actuarial gains and losses for its pension plan. The Company determined that upon curtailment of the plan on January 1, 2011, the status of the plan participants should have changed from active to inactive. The amortization period was corrected from the average remaining service period of plan participants, approximately ten years, to the average remaining life expectancy of plan participants, approximately 26 years. The Company has recognized a $2.0 million pre-tax benefit related to the reversal of amortization recorded during 2011.