8. Benefit Plans

The Company has a retirement plan with a 401(k)-salary deferral feature for eligible employees. Under the terms of the plan, eligible employees could contribute up to the lesser of $17,000 ($22,500 if at least 50 years of age) or 75% of eligible pay. Eligible employees with one year of service, who elect to participate in the plan or are auto-enrolled, receive a Company matching contribution. Company matching contributions are calculated on the eligible employee's first 6% of elective deferrals with the first 1% being matched 100% and the next 5% being matched 50%. The Company matching contributions are used to purchase Class A Common Stock of the Company for the benefit of the employee. The terms of the plan provide a two-year vesting schedule for the Company matching contribution portion of the plan. The Company incurred benefit plan expense of approximately $16 million, $16 million and $15 million for fiscal 2012, 2011 and 2010, respectively.

The Company has an unfunded, nonqualified defined benefit plan ("Pension Plan") for its officers. The Pension Plan is noncontributory and provides benefits based on years of service and compensation during employment. Pension expense is determined using various actuarial cost methods to estimate the total benefits ultimately payable to officers and allocates this cost to service periods. The actuarial assumptions used to calculate pension costs are reviewed annually.

The accumulated benefit obligations, change in projected benefit obligation, change in Pension Plan assets, funded status, and reconciliation to amounts recognized in the consolidated balance sheets are as follows:

(in thousands of dollars)	February 2, 2013			January 28, 2012

Change in benefit obligation:
Benefit obligation at beginning of year	$	174,129		$	132,293
Service cost		3,267			3,326
Interest cost		7,294			7,200
Actuarial (gain) loss		(4,640	)		35,700
Benefits paid		(4,516	)		(4,390	)

Benefit obligation at end of year	$	175,534		$	174,129

Change in Pension Plan assets:
Fair value of Pension Plan assets at beginning of year	$	—		$	—
Employer contribution		4,516			4,390
Benefits paid		(4,516	)		(4,390	)

Fair value of Pension Plan assets at end of year	$	—		$	—

Funded status (benefit obligation less Pension Plan assets)	$	(175,534	)	$	(174,129	)
Unamortized prior service costs		—			—
Unrecognized net actuarial loss		—			—
Intangible asset		—			—
Unrecognized net loss		—			—

Accrued benefit cost	$	(175,534	)	$	(174,129	)

Benefit obligation in excess of Pension Plan assets	$	(175,534	)	$	(174,129	)

Amounts recognized in the balance sheets:
Accrued benefit liability	$	(175,534	)	$	(174,129	)

Net amount recognized	$	(175,534	)	$	(174,129	)

Accumulated benefit obligation at end of year	$	(170,562	)	$	(167,148	)

Pretax amounts recognized in accumulated other comprehensive loss for fiscal 2012 consisted of net actuarial losses and prior service cost of $50.5 million and $0.1 million, respectively. Pretax amounts recognized in accumulated other comprehensive loss for fiscal 2011 consisted of net actuarial losses and prior service cost of $60.3 million and $0.7 million, respectively. Pretax amounts recognized in accumulated other comprehensive loss for fiscal 2010 consisted of net actuarial losses and prior service cost of $26.6 million and $1.3 million, respectively.

The accrued benefit liability is included in other liabilities.

The estimated actuarial loss and prior service cost for the nonqualified defined benefit plans that will be amortized from accumulated other comprehensive loss into net periodic benefit cost over the next fiscal year approximate $4.5 million and $0.1 million, respectively.

The discount rate that the Company utilizes for determining future pension obligations is based on the Citigroup Above Median Pension Index Curve on its annual measurement date as of the end of each fiscal year and is matched to the future expected cash flows of the benefit plans by annual periods. The discount rate had decreased to 4.0% as of February 2, 2013 from 4.3% as of January 28, 2012. Weighted average assumptions are as follows:



Discount rate—net periodic pension cost	4.3	%	5.5	%	5.7	%
Discount rate—benefit obligations	4.0	%	4.3	%	5.5	%
Rate of compensation increases	3.0	%	3.0	%	3.0	%

The components of net periodic benefit costs are as follows:

(in thousands of dollars)	Fiscal 2012		Fiscal 2011		Fiscal 2010

Components of net periodic benefit costs:
Service cost	$	3,267	$	3,326	$	2,886
Interest cost		7,294		7,200		7,269
Net actuarial loss		5,132		1,967		2,376
Amortization of prior service cost		626		626		626

Net periodic benefit costs	$	16,319	$	13,119	$	13,157

The estimated future benefits payments for the nonqualified benefit plan are as follows:

(in thousands of dollars)

Fiscal Year
2013	$	4,820
2014		4,362
2015		7,163
2016		6,967
2017		8,012
2018 - 2022		45,566

Total payments for next ten fiscal years	$	76,890