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Employee Benefit Plans
 6 Months Ended
Jun. 30, 2013
Employee Benefit Plans [Abstract]  
Pension and Other Postretirement Benefits Disclosure [Text Block]
7. EMPLOYEE BENEFIT PLANS

The components of net periodic benefit cost (credit) are as follows:

 
 
Pension Benefits
 
 
Three Months Ended
 
Six Months Ended
 
 
June 30,
 
June 30,
 
 
2013
 
2012
 
2013
 
2012
 
 
(in millions)
 
 
 
 
 
 
 
 
 
Service cost
 
$
0.9

 
$
0.8

 
$
1.8

 
$
1.6

Interest cost
 
8.5

 
8.8

 
17.0

 
17.6

Expected asset return
 
(11.5
)
 
(8.0
)
 
(23.0
)
 
(16.0
)
Amortized loss
 
2.4

 
1.8

 
4.8

 
3.6

Amortized prior service cost
 
0.3

 
—

 
0.6

 
—

Net periodic benefit cost
 
$
0.6

 
$
3.4

 
$
1.2

 
$
6.8

 
 
 
 
 
Other Postretirement Benefits
 
 
Three Months Ended
 
Six Months Ended
 
 
June 30,
 
June 30,
 
 
2013
 
2012
 
2013
 
2012
 
 
(in millions)
 
 
 

 
 

 
 

 
 

Service cost
 
$
0.1

 
$
0.1

 
$
0.2

 
$
0.2

Interest cost
 
3.3

 
3.9

 
6.6

 
7.8

Amortized loss
 
0.2

 
0.2

 
0.4

 
0.4

Amortized prior service credit
 
(0.5
)
 
(0.5
)
 
(0.9
)
 
(1.0
)
Curtailment gain
 
—

 
—

 
—

 
(21.8
)
Settlement
 
—

 
(5.2
)
 
—

 
(5.2
)
Net periodic benefit cost (credit)
 
$
3.1

 
$
(1.5
)
 
$
6.3

 
$
(19.6
)


In the first quarter of 2012, we recorded a gain of $21.8 million to cost of goods sold for the curtailment of certain other postretirement benefits (OPEB). This resulted primarily from the reduction in the expected future OPEB related to the DMC and CKMF hourly associates who terminated employment from AAM as a result of our plant closures. These curtailment gains resulted in an increase in our accumulated other comprehensive loss of $21.8 million.

In the second quarter of 2012, we notified hourly associates of the termination of a benefit plan, which provided legal services to certain eligible hourly associates represented by the International UAW. As a result of terminating this plan, we recorded a settlement gain of $5.2 million in cost of goods sold in the second quarter of 2012. Recognition of this settlement gain reduced our postretirement benefits and other long-term liabilities by $4.7 million and also reduced our accumulated other comprehensive loss by $0.5 million.

Due to our significant pension contributions made in 2012, we will not make any cash payments in 2013 to satisfy our regulatory funding requirements. We expect our cash outlay for other postretirement benefit obligations in 2013, net of GM cost sharing, to be approximately $15 million.