Employee Benefits (Tables)

12 Months Ended

Dec. 31, 2011

Compensation and Retirement Disclosure [Abstract]

Changes in Benefit Obligation and Fair Value of Plan Assets

The following table sets forth changes in the benefit obligations and fair value of plan assets for the Company's pension and other postretirement benefit plans for the years ended December 31, 2011 and 2010, as well as the funded status of the plans and amounts recognized in the financial statements at December 31, 2011 and 2010:

	Pension benefits						Other postretirement benefits
	2011			2010			2011			2010
	(in millions)
Change in benefit obligation
Benefit obligation at January 1,	$	78.0		$	-		$	4.5		$	-
Service cost		2.9			1.3			0.1			0.1
Interest cost		4.5			2.1			0.3			0.1
Change in plan assumptions		19.6			(1.1	)		-			(0.1	)
Transfer due to Spin-off		-			75.7			-			4.4
Benefit payments		(0.2	)		-			-			-
Actuarial loss (gain)		(0.7	)		-			1.0			-
Benefit obligation at December 31,	$	104.1		$	78.0		$	5.9		$	4.5
Change in plan assets
Fair value of plan assets at January 1,	$	30.9		$	-		$	-		$	-
Actual gain (loss) on plan assets		(1.3	)		4.1			-			-
Company contributions to the plan		14.8			1.6			-			-
Benefit payments		(0.2	)		-			-			-
Transfer due to Spin-off		-			25.2			-			-
Fair value of plan assets at December 31,		44.2			30.9			-			-
Underfunded status (current and long-term)	$	(59.9	)	$	(47.1	)	$	(5.9	)	$	(4.5	)
Amounts recognized in balance sheets
Accounts payable and accrued expenses	$	(1.3	)	$	-		$	-		$	-
Other long-term liabilities		(58.6	)		(47.1	)		(5.9	)		(4.5	)
Total amount recognized in balance sheet	$	(59.9	)	$	(47.1	)	$	(5.9	)	$	(4.5	)
Amounts recognized in accumulated other comprehensive income (AOCI)
Net actuarial loss (gain)	$	18.6		$	(4.2	)	$	1.0		$	(0.1	)
Prior service cost		42.6			47.8			3.8			4.2
Total amount recognized in AOCI	$	61.2		$	43.6		$	4.8		$	4.1

Pension and Other Postretirement Benefit Costs

The following table sets forth the Company's pension and other postretirement benefit cost and amounts recognized in other comprehensive income (before tax benefit) for the respective years ended December 31:

	Pension benefits								Other postretirement benefits
	2011			2010			2009		2011			2010			2009
	(in millions)
Components of net periodic benefit cost
Service cost	$	2.9		$	1.3		$	-	$	0.1		$	0.1		$	-
Interest cost		4.5			2.1			-		0.3			0.1			-
Expected return on plan assets		(2.6	)		(1.1	)		-		-			-			-
Amortization of prior service costs		5.3			2.6			-		0.3			0.2			-
Net periodic benefit cost	$	10.1		$	4.9		$	-	$	0.7		$	0.4		$	-
Components recognized in other comprehensive income
Net loss (gain)	$	22.9		$	(4.2	)	$	-	$	1.0		$	-		$	-
Prior service cost		-			50.4			-		-			4.3			-
Recognized prior service cost		(5.3	)		(2.6	)		-		(0.3	)		(0.1	)		-
Total amount recognized in other comprehensive income	$	17.6		$	43.6		$	-	$	0.7		$	4.2		$	-

Weighted-Average Assumptions Used to Calculate Benefit Obligations and Benefit Costs

Following are the weighted-average assumptions (weighted by the plan level benefit obligation for pension benefits) used by the Company to calculate pension and other postretirement benefit obligations at December 31, 2011 and 2010:

	Pension benefits						Other postretirement benefits
	2011			2010			2010			2009
Discount rate		4.54	%		5.80	%		4.70	%		5.80	%
Rate of increase in compensation		3.60	%		3.60	%		n/a			n/a

The discount rate assumptions used by the Company represents an estimate of the interest rate at which the pension and other postretirement obligations could effectively be settled on the measurement date.

Following are the assumptions used by the Company in determining the net periodic pension and other postretirement benefit cost for the years ended December 31:

	Pension benefits								Other postretirement benefits
	2011			2010			2009		2011			2010			2009
Discount rate		5.80	%		5.70	%		n/a		5.80	%		5.70	%		n/a
Expected long-term return on plan assets		7.50	%		7.50	%		n/a		n/a			n/a			n/a
Rate of increase in compensation		3.60	%		3.60	%		n/a		n/a			n/a			n/a

In selecting the assumption for expected long-term rate of return on assets, the Company considers the average rate of return expected on the funds to be invested to provide benefits. This includes considering the plan's asset allocation, historical returns on these types of assets, the current economic environment and the expected returns likely to be earned over the life of the plan. No plan assets are expected to be returned to the Company in 2012. In measuring the other postretirement benefit obligation the following assumed health care cost trend rates were used:

	December 31,
	2011			2010
Health care cost trend rate assumed for next year		8.00	%		8.00	%
Ultimate health care cost trend rate		5.00	%		5.00	%
Year rate reaches ultimate trend rate		2014			2013

Fair Value of Plan Assets

The following table sets forth by level, within the fair value hierarchy, the fair value of pension and postretirement benefit assets.

	As of December 31, 2011								Percentage of
	Level 1		Level 2		Level 3		Total		total
	(in millions except percentages)
Cash and short-term investments	$	-	$	-	$	-	$	-		-
Total domestic equity securities		-		-		17.6		17.6		40	%
Foreign equity securities
Developed market foreign equity securities		-		-		10.8		10.8		24	%
Emerging market foreign equity securities		-		-		2.2		2.2		5	%
Debt securities
Investment grade intermediate term debt		-		-		6.9		6.9		16	%
Investment grade long-term debt		-		-		6.7		6.7		15	%
Total debt securities	$	-	$	-	$	44.2	$	44.2		100	%

	As of December 31, 2010								Percentage of
	Level 1		Level 2		Level 3		Total		total
	(in millions except percentages)
Cash and short-term investments	$	-	$	-	$	-	$	-		-
Total domestic equity securities		-		-		12.4		12.4		40	%
Foreign equity securities
Developed market foreign equity securities		-		-		7.8		7.8		25	%
Emerging market foreign equity securities		-		-		1.6		1.6		5	%
Debt securities
Investment grade intermediate term debt		-		-		4.6		4.6		15	%
Investment grade long-term debt		-		-		4.5		4.5		15	%
Total debt securities	$	-	$	-	$	30.9	$	30.9		100	%

Significant Unobservable Inputs Reconciliation

The following table presents a summary of changes in the fair value of QEP's Level 3 investments:

	Year ended December 31,
	2011			2010
	(in millions)
Balance at January 1,	$	30.9		$	-
Transfer due to Spin-off		-			25.2
Employer contributions		14.8			1.6
Unrealized gains and losses		(1.3	)		4.1
Benefits paid		(0.2	)
Balance at December 31,	$	44.2		$	30.9

Expected Benefit Payments

As of December 31, 2011, the following future benefit payments are expected to be paid:

	Pension		Postretirement benefits
	(in millions)
2012	$	1.9	$	0.1
2013		2.0		0.1
2014		2.9		0.2
2015		3.2		0.2
2016		4.1		0.3
2017 through 2021		38.1		1.8