Retirement Benefits

The Company has an unfunded noncontributory defined benefit plan that covers its chief executive officer and chairman of the board. The discount rate used to derive the projected benefit obligation and related retirement expense was 0% in 2013 and 3.39% in 2012. The discount rate assumption used to determine the benefit obligation is based on a yield curve approach. Under this approach, a weighted average yield is determined from a hypothetical portfolio of AA rated bonds. A summary of the change in benefit obligation, which is required to be distributed on or before March 28, 2015, is as follows:



(In thousands)	2013			2012
Projected benefit obligation at beginning of year	$	64,632		$	56,787
Interest cost	2,191			2,476
Benefits paid	(285		)	(1,426		)
Actuarial loss	(2,221		)	6,795
Benefit obligation at end of year	$	64,317		$	64,632

Following is a summary of the amounts recognized in accumulated other comprehensive income as of December 31, 2013 and 2012:



(In thousands)	2013		2012
Net actuarial loss	$	4,242	$	14,605
Prior service cost	5,988		9,012
Net pension asset	$	10,230	$	23,617

The components of net periodic pension benefit cost are as follows:



(In thousands)	2013		2012		2011
Components of net periodic benefit cost:
Interest cost	$	2,191	$	2,476	$	2,716
Amortization of unrecognized:
Prior service costs	3,023		3,023		3,023
Net actuarial loss	8,143		2,197		1,330
Net periodic pension cost	$	13,357	$	7,696	$	7,069

The changes in plan assets and projected benefit obligation recognized in other comprehensive income are as follows:



(In thousands)	2013			2012
Changes in plan assets and projected benefit obligation:
Net actuarial (gain) loss	$	(2,221	)	$	6,795
Amortization of:
Net actuarial loss	(8,143		)	(2,197		)
Prior service costs	(3,023		)	(3,023		)
Total recognized in other comprehensive income	$	(13,387	)	$	1,575

The net after tax periodic pension cost of $7 million will be amortized from accumulated other comprehensive income into periodic benefit cost during 2014.