Retirement Plans and Other Postretirement Benefits

6 Months Ended

Jun. 30, 2012

Retirement Plans and Other Postretirement Benefits [Abstract]

Retirement Plans and Other Postretirement Benefits

Note 7. Retirement Plans and Other Postretirement Benefits

Substantially all employees who were hired before December 8, 2009 are covered by a noncontributory retirement plan. Employees hired on or after December 8, 2009 are not eligible to participate in the noncontributory retirement plan. The Corporation also provides supplemental executive retirement benefits, a portion of which is in excess of limits imposed on qualified plans by federal tax law. These plans are non-qualified benefit plans. Information on these plans are aggregated and reported under “Retirement Plans” within this footnote.

The Corporation also provides certain postretirement healthcare and life insurance benefits for retired employees. Information on these benefits is reported under “Other Postretirement Benefits” within this footnote.

The Corporation sponsors a Supplemental Non-Qualified Pension Plan which was established in 1981 prior to the existence of a 401(k) Deferred Savings Plan, the Employee Stock Purchase Plan and the Long-Term Incentive Plans and therefore is not actively offered to new participants.

Information with respect to the Retirement and Supplemental Retirement Plans and Other Postretirement Benefits follows:

Components of net periodic benefit cost were as follows:

	Three Months Ended June 30,
	2012			2011			2012			2011
(Dollars in thousands)	Retirement Plans						Other Post Retirement Benefits
Service cost	$	155		$	184		$	20		$	17
Interest cost		432			433			29			30
Expected return on plan assets		(637	)		(476	)		—			—
Amortization of net loss		287			176			5			—
Accretion of prior service cost		(59	)		(58	)		(5	)		(5	)
Net periodic cost	$	178		$	259		$	49		$	42

	Six Months Ended June 30,
	2012			2011			2012			2011
(Dollars in thousands)	Retirement Plans						Other Post Retirement Benefits
Service cost	$	313		$	278		$	41		$	33
Interest cost		863			863			59			59
Expected return on plan assets		(1,128	)		(948	)		—			—
Amortization of net loss		578			364			11			17
Accretion of prior service cost		(118	)		(117	)		(10	)		(10	)
Net periodic cost	$	508		$	440		$	101		$	99

The Corporation expects to make a contribution of $8.0 million to its qualified retirement plan during the third quarter of 2012 and may make additional contributions during 2012 to maximize tax benefits. The Corporation expects to make contributions of $40 thousand to its non-qualified retirement plans and $87 thousand to its other postretirement benefit plans in 2012. During the six months ended June 30, 2012, the Corporation contributed $20 thousand to its non-qualified retirement plans and $39 thousand to its other postretirement plans. As of June 30, 2012, $809 thousand has been paid to participants from the qualified and non-qualified retirement plans and $39 thousand has been paid to participants from the other postretirement plans.