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PENSION PLANS AND OTHER POSTRETIREMENT BENEFITS (Tables)
12 Months Ended
Sep. 30, 2016
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items]  
Fair value measurements of plan assets
The table below categorizes the fair value measurements of the Spire pension plan assets:
 
Quoted Prices in Active Markets
(Level 1)
 
Significant
Observable
Inputs
(Level 2)
 
Significant
Unobservable
Inputs
(Level 3)
 
Total
As of September 30, 2016
 
 
 
 
 
 
 
Cash and cash equivalents
$
51.2

 
$

 
$

 
$
51.2

Stock/bond mutual fund
99.3

 
26.7

 
0.1

 
126.1

Debt Securities
 
 
 
 
 
 
 
US bond mutual funds
23.0

 
126.0

 

 
149.0

US government
42.1

 
3.0

 

 
45.1

US corporate
137.4

 

 

 
137.4

US municipal
6.3

 

 

 
6.3

International
25.3

 

 

 
25.3

Derivatives and margin (payable)
(1.0
)
 
1.1

 

 
0.1

Total
$
383.6

 
$
156.8

 
$
0.1

 
$
540.5

 
 
 
 
 
 
 
 
As of September 30, 2015
 
 
 
 
 
 
 
Cash and cash equivalents
$
43.4

 
$
0.2

 
$

 
$
43.6

Stock/bond mutual fund
46.4

 
74.6

 
9.6

 
130.6

Debt Securities
 
 
 
 
 
 
 
US bond mutual funds

 
9.3

 

 
9.3

US government
58.7

 

 

 
58.7

US corporate
123.7

 
42.9

 

 
166.6

US municipal

 
5.9

 

 
5.9

International

 
31.3

 

 
31.3

Derivative instruments

 
2.9

 

 
2.9

Total
$
272.2

 
$
167.1

 
$
9.6

 
$
448.9


The table below categorizes the fair value measurements of Spire’s postretirement plan assets:
 
Quoted Prices in Active Markets
(Level 1)
 
Significant
Observable
Inputs
(Level 2)
 
Significant
Unobservable
Inputs
(Level 3)
 
Total
As of September 30, 2016
 
 
 
 
 
 
 
Cash and cash equivalents
$
4.8

 
$

 
$

 
$
4.8

US stock/bond mutual fund
157.9

 
68.5

 

 
226.4

International fund
0.9

 
14.3

 

 
15.2

Total
$
163.6

 
$
82.8

 
$

 
$
246.4

 
 
 
 
 
 
 
 
As of September 30, 2015
 
 
 
 
 
 
 
Cash and cash equivalents
$
1.6

 
$

 
$

 
$
1.6

US stock/bond mutual fund
115.5

 
92.8

 

 
208.3

International fund

 
13.4

 

 
13.4

Total
$
117.1

 
$
106.2

 
$

 
$
223.3

Pension Plans  
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items]  
Net periodic cost
The net periodic pension costs include the following components:
 
Spire
 
Laclede Gas
 
Alagasco
 
2016
 
2015
 
2014
 
2016
 
2015
 
2014
 
2016
 
2015
 
2014*
Service cost – benefits earned during the period
$
15.3

 
$
17.3

 
$
10.2

 
$
10.0

 
$
11.5

 
$
9.7

 
$
5.3

 
$
5.8

 
$
5.1

Interest cost on projected benefit obligation
28.0

 
29.5

 
24.5

 
21.7

 
23.3

 
24.0

 
6.3

 
6.2

 
4.1

Expected return on plan assets
(34.9
)
 
(37.4
)
 
(27.2
)
 
(26.7
)
 
(29.2
)
 
(26.5
)
 
(8.2
)
 
(8.2
)
 
(5.2
)
Amortization of other comprehensive income

 

 
0.4

 

 

 

 

 

 

Amortization of prior service cost
0.4

 
0.5

 
0.5

 
0.4

 
0.5

 
0.5

 

 

 
0.1

Amortization of actuarial loss
8.0

 
7.5

 
7.1

 
7.9

 
7.5

 
7.1

 
0.1

 

 
2.2

Loss on lump-sum settlements
3.3

 
19.6

 
1.5

 

 
18.0

 
1.5

 
3.3

 
1.6

 
10.1

Special termination benefits
1.6

 

 

 
1.6

 

 

 

 

 

Subtotal
21.7

 
37.0

 
17.0

 
14.9

 
31.6

 
16.3

 
6.8

 
5.4

 
16.4

Regulatory adjustment
17.8

 
(2.1
)
 
10.4

 
11.7

 
(5.2
)
 
10.4

 
6.1

 
3.1

 
0.4

Net pension cost
$
39.5

 
$
34.9

 
$
27.4

 
$
26.6

 
$
26.4

 
$
26.7

 
$
12.9

 
$
8.5

 
$
16.8

 
 
 
 
 
 
 
 
 
* Nine months ended September 30
 

Other changes in plan assets and benefit obligations recognized in other comprehensive income
Other changes in plan assets and pension benefit obligations recognized in other comprehensive income or loss (OCI) include the following:
 
Spire
 
Laclede Gas
 
Alagasco
 
2016
 
2015
 
2014
 
2016
 
2015
 
2014
 
2016
 
2015
 
2014*
Current year actuarial loss
$
46.8

 
$
48.3

 
$
15.7

 
$
21.6

 
$
26.0

 
$
14.2

 
$
25.2

 
$
22.3

 
$
1.5

Amortization of actuarial loss
(8.0
)
 
(7.5
)
 
(7.1
)
 
(7.9
)
 
(7.5
)
 
(7.1
)
 
(0.1
)
 

 

Acceleration of loss recognized due to settlement
(3.3
)
 
(19.6
)
 
(1.5
)
 

 
(18.0
)
 
(1.5
)
 
(3.3
)
 
(1.6
)
 

Amortization of current year service cost
5.0

 

 

 
5.0

 

 

 

 

 

Amortization of prior service cost
(0.4
)
 
(0.5
)
 
(0.5
)
 
(0.4
)
 
(0.5
)
 
(0.5
)
 

 

 

Subtotal
40.1

 
20.7

 
6.6

 
18.3

 

 
5.1

 
21.8

 
20.7

 
1.5

Regulatory adjustment
(39.8
)
 
(21.2
)
 
(6.1
)
 
(18.0
)
 
(0.5
)
 
(4.7
)
 
(21.8
)
 
(20.7
)
 
(1.5
)
Total recognized in OCI
$
0.3

 
$
(0.5
)
 
$
0.5

 
$
0.3

 
$
(0.5
)
 
$
0.4

 
$

 
$

 
$

 
 
 
 
 
 
 
 
 
* Nine months ended September 30
 
Reconciliation of the beginning and ending balances of benefit obligation
The following table shows the reconciliation of the beginning and ending balances of the pension benefit obligation at September 30:
 
Spire
 
Laclede Gas
 
Alagasco
 
2016
 
2015
 
2016
 
2015
 
2016
 
2015
Benefit obligation, beginning of year
$
652.3

 
$
692.4

 
$
497.6

 
$
543.6

 
$
154.7

 
$
148.8

Service cost
15.3

 
17.3

 
10.0

 
11.5

 
5.3

 
5.8

Interest cost
28.0

 
29.5

 
21.7

 
23.3

 
6.3

 
6.2

Actuarial loss (gain)
85.8

 
(12.8
)
 
59.2

 
(20.7
)
 
26.6

 
7.9

Plan amendments
5.1

 

 
5.1

 

 

 

EnergySouth acquisition
60.4

 

 

 

 

 

Settlement loss
1.1

 
16.5

 

 
14.5

 
1.1

 
2.0

Special termination benefits
1.6

 

 
1.6

 

 

 

Settlement benefits paid
(16.6
)
 
(71.1
)
 

 
(58.2
)
 
(16.6
)
 
(12.9
)
Regular benefits paid
(38.3
)
 
(19.5
)
 
(35.2
)
 
(16.4
)
 
(3.1
)
 
(3.1
)
Benefit obligation, end of year
$
794.7

 
$
652.3

 
$
560.0

 
$
497.6

 
$
174.3

 
$
154.7

Accumulated benefit obligation, end of year
724.5

 
$
591.4

 
517.7

 
$
456.9

 
149.8

 
$
134.5


Fair value of plan assets
The following table sets forth the reconciliation of the beginning and ending balances of the fair value of plan assets at September 30:
 
Spire
 
Laclede Gas
 
Alagasco
 
2016
 
2015
 
2016
 
2015
 
2016
 
2015
Fair value of plan assets, beginning of year
$
448.9

 
$
506.6

 
$
339.9

 
$
387.4

 
$
109.0

 
$
119.2

Actual return on plan assets
75.1

 
(7.2
)
 
64.4

 
(3.0
)
 
10.7

 
(4.2
)
Employer contributions
26.6

 
40.1

 
26.6

 
30.1

 

 
10.0

EnergySouth acquisition
44.8

 

 

 

 

 

Settlement benefits paid
(16.6
)
 
(71.1
)
 

 
(58.2
)
 
(16.6
)
 
(12.9
)
Regular benefits paid
(38.3
)
 
(19.5
)
 
(35.2
)
 
(16.4
)
 
(3.1
)
 
(3.1
)
Fair value of plan assets, end of year
$
540.5

 
$
448.9

 
$
395.7

 
$
339.9

 
$
100.0

 
$
109.0

Funded status of plans, end of year
$
(254.2
)
 
$
(203.4
)
 
$
(164.3
)
 
$
(157.7
)
 
$
(74.3
)
 
$
(45.7
)

Amounts recognized in consolidated balance sheets
The following table sets forth the amounts recognized in the balance sheets at September 30:
 
Spire
 
Laclede Gas
 
Alagasco
 
2016
 
2015
 
2016
 
2015
 
2016
 
2015
Current liabilities
$
(0.6
)
 
$
(0.5
)
 
$
(0.6
)
 
$
(0.5
)
 
$

 
$

Noncurrent liabilities
(253.6
)
 
(202.9
)
 
(163.7
)
 
(157.2
)
 
(74.3
)
 
(45.7
)
Total
$
(254.2
)
 
$
(203.4
)
 
$
(164.3
)
 
$
(157.7
)
 
$
(74.3
)
 
$
(45.7
)

Pre-tax amounts recognized in accumulated other comprehensive loss not yet recognized as components of net periodic pension cost consist of:
 
Spire
 
Laclede Gas
 
Alagasco
 
2016
 
2015
 
2016
 
2015
 
2016
 
2015
Net actuarial loss
$
179.4

 
$
143.9

 
$
135.5

 
$
121.9

 
$
43.9

 
$
22.0

Prior service costs
8.2

 
3.5

 
8.2

 
3.5

 

 

Subtotal
187.6

 
147.4

 
143.7

 
125.4

 
43.9

 
22.0

Adjustments for amounts included in regulatory assets
(184.8
)
 
(144.9
)
 
(140.9
)
 
(122.9
)
 
(43.9
)
 
(22.0
)
Total
$
2.8

 
$
2.5

 
$
2.8

 
$
2.5

 
$

 
$

Pre-tax amounts amortized from accumulated other comprehensive income into net periodic cost
At September 30, 2016, the following pre-tax amounts are expected to be amortized from accumulated other comprehensive loss into net periodic pension cost during fiscal year 2017:
 
Spire
 
Laclede Gas
 
Alagasco
Amortization of net actuarial loss
$
13.5

 
$
11.6

 
$
1.9

Amortization of prior service cost
1.0

 
1.0

 

Subtotal
14.5

 
12.6

 
1.9

Regulatory adjustment
(14.2
)
 
(12.3
)
 
(1.9
)
Total
$
0.3

 
$
0.3

 
$

Assumptions used to calculate net periodic cost and benefit obligations.
The assumptions used to calculate the benefit obligations are as follows:
 
2016
 
2015
Weighted average discount rate - Laclede Gas division
3.50%
 
4.40%
Weighted average discount rate - MGE division
3.50%
 
4.50%
Weighted average discount rate - Alagasco
3.45%/3.50%
 
4.25%/4.30%
Weighted average rate of future compensation increase - Laclede Gas, Alagasco and MGE
3.00%
 
3.00%

The assumptions used to calculate net periodic pension costs for Laclede Gas are as follows:
 
2016
 
2015
 
2014
Weighted average discount rate - Laclede Gas division plans
4.40%
 
4.30%
 
4.70%
Weighted average discount rate - MGE division plans
4.50%
 
4.45%
 
5.00%
Weighted average rate of future compensation increase *
3.00%
 
3.00%
 
3.00%
Expected long-term rate of return on plan assets *
7.75%
 
7.75%
 
7.75%

*
Assumptions for weighted average rate of future compensation increase and expected long-term rate of return on plan assets are the same for both Laclede Gas and MGE plans.
The assumptions used to calculate net periodic pension costs for Alagasco are as follows:
 
2016
 
2015
 
2014*
Weighted average discount rate
4.25% /4.30%
 
4.15% /4.25%
 
4.00% / 4.05%
Weighted average rate of future compensation increase
3.00%
 
2.92%
 
2.92%
Expected long-term rate of return on plan assets
7.50%
 
7.00% / 7.25%
 
7.00% / 7.25%
* Nine-month transition period ended September 30
Projected benefit obligation, accumulated benefit obligation, and fair value of plan assets for plans that have projected benefit obligation and accumulated benefit obligation in excess of plan assets
Following are the projected benefit obligation, accumulated benefit obligation, and fair value of plan assets for plans that have a projected benefit obligation and an accumulated benefit obligation in excess of plan assets:
 
Spire
 
Laclede Gas
 
Alagasco
 
2016
 
2015
 
2016
 
2015
 
2016
 
2015
Projected benefit obligation
$
794.8

 
$
652.3

 
$
560.0

 
$
497.6

 
$
174.3

 
$
154.7

Accumulated benefit obligation
724.5

 
591.4

 
517.7

 
456.9

 
149.8

 
134.5

Fair value of plan assets
540.5

 
448.9

 
395.7

 
339.9

 
100.0

 
109.0

Targeted and actual plan assets by category
Following are the targeted and actual plan assets by category as of September 30 of each year for Laclede Gas and Alagasco:
Laclede Gas
2016
Target
 
2016
Actual
 
2015
Target
 
2015
Actual
Equity markets
56.2
%
 
56.9
%
 
52.0
%
 
48.4
%
Debt securities
43.8
%
 
43.1
%
 
48.0
%
 
50.1
%
Other*
%
 
%
 
%
 
1.5
%
Total
100.0
%
 
100.0
%
 
100.0
%
 
100.0
%
*
Other investments in 2016 and 2015 consisted of cash equivalents.
Alagasco
2016
Target
 
2016
Actual
 
2015
Target
 
2015
Actual
Equity markets
60.0
%
 
59.2
%
 
60.0
%
 
52.9
%
Debt securities
29.0
%
 
28.8
%
 
29.0
%
 
27.9
%
Other*
11.0
%
 
12.0
%
 
11.0
%
 
19.2
%
Total
100.0
%
 
100.0
%
 
100.0
%
 
100.0
%
*
Other investments in 2016 included cash, real estate, commodities, natural resources and TIPS. In 2015, this included cash and cash equivalents, hedge funds, real estate, and all asset funds, which can invest in equities or fixed income.
Expected benefit payments for the succeeding five fiscal years
Following are expected pension benefit payments for the succeeding five fiscal years, and in aggregate for the five years thereafter, for Spire, Laclede Gas, and Alagasco:
 
2017
2018
2019
2020
2021
2022-
2026
Spire
$
61.3

$
56.2

$
57.1

$
56.6

$
56.8

$
286.3

Laclede Gas
48.2

43.3

43.5

42.2

40.4

196.6

Alagasco
10.9

10.6

11.2

11.9

13.7

74.5

Postretirement Plans  
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items]  
Net periodic cost
Net periodic postretirement benefit costs consist of the following components:
 
Spire
 
Laclede Gas
 
Alagasco
 
2016
 
2015
 
2014
 
2016
 
2015
 
2014
 
2016
 
2015
 
2014*
Service cost – benefits earned during the period
$
10.9

 
$
12.8

 
$
11.3

 
$
10.6

 
$
12.3

 
$
11.2

 
$
0.3

 
$
0.5

 
$
0.4

Interest cost on accumulated postretirement benefit obligation
10.2

 
11.2

 
8.9

 
8.1

 
8.6

 
8.7

 
2.1

 
2.6

 
1.9

Expected return on plan assets
(13.5
)
 
(13.2
)
 
(7.3
)
 
(8.5
)
 
(8.1
)
 
(6.8
)
 
(5.0
)
 
(5.1
)
 
(3.6
)
Amortization of prior other comprehensive loss

 

 
(0.2
)
 

 

 

 

 

 

Amortization of prior service cost
0.3

 
0.8

 

 
0.3

 
0.8

 

 

 

 

Amortization of actuarial loss (gain)
3.6

 
5.1

 
6.0

 
3.8

 
5.1

 
6.0

 
(0.2
)
 

 
(1.0
)
Special termination benefits
2.6

 

 

 
2.6

 

 

 

 

 

Subtotal
14.1

 
16.7

 
18.7

 
16.9

 
18.7

 
19.1

 
(2.8
)
 
(2.0
)
 
(2.3
)
Regulatory adjustment
(6.6
)
 
(11.0
)
 
(9.6
)
 
(4.8
)
 
(9.2
)
 
(9.6
)
 
(1.8
)
 
(1.8
)
 
(0.2
)
Net postretirement benefit cost
$
7.5

 
$
5.7

 
$
9.1

 
$
12.1

 
$
9.5

 
$
9.5

 
$
(4.6
)
 
$
(3.8
)
 
$
(2.5
)
 
 
 
 
 
 
 
 
 
* Nine months ended September 30
 
Other changes in plan assets and benefit obligations recognized in other comprehensive income
Other changes in plan assets and postretirement benefit obligations recognized in OCI include the following:
 
Spire
 
Laclede Gas
 
Alagasco
 
2016
 
2015
 
2014
 
2016
 
2015
 
2014
 
2016
 
2015
 
2014*
Current year actuarial loss (gain)
$
0.8

 
$
(8.5
)
 
$
(3.1
)
 
$
1.4

 
$
(2.4
)
 
$
(4.2
)
 
$
(0.6
)
 
$
(6.1
)
 
$
1.1

Amortization of actuarial (loss) gain
(3.6
)
 
(5.1
)
 
(6.0
)
 
(3.8
)
 
(5.1
)
 
(6.0
)
 
0.2

 

 

Amortization of prior service (cost) credit
(0.3
)
 
(0.8
)
 
2.5

 
(0.3
)
 
(0.8
)
 
2.5

 

 

 

Current year prior service credit
(1.8
)
 
(4.9
)
 

 

 
(4.9
)
 

 
(1.8
)
 

 

Subtotal
(4.9
)
 
(19.3
)
 
(6.6
)
 
(2.7
)
 
(13.2
)
 
(7.7
)
 
(2.2
)
 
(6.1
)
 
1.1

Regulatory adjustment
4.9

 
19.3

 
6.6

 
2.7

 
13.2

 
7.7

 
2.2

 
6.1

 
(1.1
)
Total recognized in OCI
$

 
$

 
$

 
$

 
$

 
$

 
$

 
$

 
$

 
 
 
 
 
 
 
 
 
* Nine months ended September 30
 
Reconciliation of the beginning and ending balances of benefit obligation
The following table sets forth the reconciliation of the beginning and ending balances of the postretirement benefit obligation at September 30:
 
Spire
 
Laclede Gas
 
Alagasco
 
2016
 
2015
 
2016
 
2015
 
2016
 
2015
Benefit obligation, beginning of year
$
239.2

 
$
258.5

 
$
191.9

 
$
197.9

 
$
47.3

 
$
60.6

Service cost
10.9

 
12.8

 
10.6

 
12.3

 
0.3

 
0.5

Interest cost
10.2

 
11.2

 
8.1

 
8.6

 
2.1

 
2.6

Actuarial loss (gain)
7.1

 
(23.7
)
 
6.7

 
(10.9
)
 
0.4

 
(12.8
)
Plan amendments
(1.8
)
 
(4.9
)
 

 
(4.9
)
 
(1.8
)
 

EnergySouth acquisition
5.9

 

 

 

 

 

Special termination benefits
2.6

 

 
2.6

 

 

 

Retiree drug subsidy program
0.2

 
0.4

 

 

 
0.2

 
0.4

Gross benefits paid
(15.1
)
 
(15.1
)
 
(12.0
)
 
(11.1
)
 
(3.1
)
 
(4.0
)
Benefit obligation, end of year
$
259.2

 
$
239.2

 
$
207.9

 
$
191.9

 
$
45.4

 
$
47.3

Fair value of plan assets
The following table sets forth the reconciliation of the beginning and ending balances of the fair value of plan assets at September 30:
 
Spire
 
Laclede Gas
 
Alagasco
 
2016
 
2015
 
2016
 
2015
 
2016
 
2015
Fair value of plan assets at beginning of year
$
223.3

 
$
222.5

 
$
143.6

 
$
137.2

 
$
79.7

 
$
85.3

Actual return on plan assets
19.9

 
(2.0
)
 
13.8

 
(0.4
)
 
6.2

 
(1.6
)
Employer contributions
14.3

 
17.9

 
14.3

 
17.9

 

 

EnergySouth acquisition
4.0

 

 

 

 

 

Gross benefits paid
(15.1
)
 
(15.1
)
 
(12.0
)
 
(11.1
)
 
(3.1
)
 
(4.0
)
Fair value of plan assets, end of year
$
246.4

 
$
223.3

 
$
159.7

 
$
143.6

 
$
82.8

 
$
79.7

Funded status of plans, end of year
$
(12.8
)
 
$
(15.9
)
 
$
(48.2
)
 
$
(48.3
)
 
$
37.4

 
$
32.4

Amounts recognized in consolidated balance sheets
The following table sets forth the amounts recognized in the balance sheets at September 30:
 
Spire
 
Laclede Gas
 
Alagasco
 
2016
 
2015
 
2016
 
2015
 
2016
 
2015
Current assets
$
0.3

 
$

 
$
0.3

 
$

 
$

 
$

Noncurrent assets
37.4

 
35.5

 

 
3.1

 
37.4

 
32.4

Current liabilities
(0.4
)
 
(0.3
)
 
(0.4
)
 
(0.3
)
 

 

Noncurrent liabilities
(50.1
)
 
(51.1
)
 
(48.1
)
 
(51.1
)
 

 

Total
$
(12.8
)
 
$
(15.9
)
 
$
(48.2
)
 
$
(48.3
)
 
$
37.4

 
$
32.4

Pre-tax amounts recognized in accumulated other comprehensive loss not yet recognized as components of net periodic postretirement benefit cost consist of:
 
Spire
 
Laclede Gas
 
Alagasco
 
2016
 
2015
 
2016
 
2015
 
2016
 
2015
Net actuarial loss
$
38.0

 
$
40.8

 
$
43.4

 
$
45.8

 
$
(5.4
)
 
$
(5.0
)
Prior service credit
(5.2
)
 
(3.1
)
 
(3.4
)
 
(3.1
)
 
(1.8
)
 

Subtotal
32.8

 
37.7

 
40.0

 
42.7

 
(7.2
)
 
(5.0
)
Adjustments for amounts included in regulatory assets
(32.8
)
 
(37.7
)
 
(40.0
)
 
(42.7
)
 
7.2

 
5.0

Total
$

 
$

 
$

 
$

 
$

 
$

Pre-tax amounts amortized from accumulated other comprehensive income into net periodic cost
At September 30, 2016, the following pre-tax amounts are expected to be amortized from accumulated other comprehensive loss into net periodic postretirement benefit cost during fiscal year 2017:
 
Spire
 
Laclede Gas
 
Alagasco
Amortization of net actuarial loss (gain)
$
2.4

 
$
2.5

 
$
(0.1
)
Amortization of prior service cost
0.1

 
0.3

 
(0.2
)
Subtotal
2.5

 
2.8

 
(0.3
)
Regulatory adjustment
(2.5
)
 
(2.8
)
 
0.3

Total
$

 
$

 
$

Assumptions used to calculate net periodic cost and benefit obligations.
The assumptions used to calculate the accumulated postretirement benefit obligations for Laclede Gas are as follows:
 
2016
 
2015
Weighted average discount rate - Laclede Gas division plans
3.15
%
 
4.00
%
Weighted average discount rate - MGE division plans
3.45
%
 
4.30
%
Weighted average rate of future compensation increase
3.00
%
 
3.00
%
The assumptions used to calculate the accumulated postretirement benefit obligations for Alagasco are as follows:
 
2016
 
2015
Weighted average discount rate
3.60
%
 
4.50
%
Weighted average rate of future compensation increase
n/a

 
n/a

The assumptions used to calculate net periodic postretirement benefit costs for Laclede Gas are as follows:
 
2016
 
2015
 
2014
Weighted average discount rate Laclede Gas division plans
4.00
%
 
4.15
%
 
4.60
%
Weighted average discount rate MGE division plans
4.30
%
 
4.40
%
 
4.95
%
Weighted average rate of future compensation increase - Laclede Gas plans
3.00
%
 
3.00
%
 
3.00
%
Expected long-term rate of return on plan assets - Laclede Gas division plans
6.00% / 7.75%

 
6.25% / 7.75%

 
6.25% / 7.75%

Expected long-term rate of return on plan assets - MGE division plans
4.75
%
 
5.00
%
 
3.75% / 5.75%


The assumptions used to calculate net periodic postretirement benefit costs for Alagasco are as follows:
 
2016
 
2015
 
2014
Weighted average discount rate
4.50
%
 
4.40
%
 
4.25
%
Weighted average rate of future compensation increase
n/a

 
n/a

 
2.92
%
Expected long-term rate of return on plan assets
4.50% / 7.25%

 
4.75% / 7.50%

 
4.75% / 7.25%

Targeted and actual plan assets by category
Following are the targeted and actual plan assets by category as of September 30 of each year for Laclede Gas and Alagasco:
Laclede Gas
Target
 
2016
Actual
 
2015
Actual
Equity securities
60.0
%
 
59.1
%
 
59.6
%
Debt securities
40.0
%
 
39.4
%
 
39.7
%
Other (cash and cash equivalents)
%
 
1.5
%
 
0.7
%
Total
100.0
%
 
100.0
%
 
100.0
%

Alagasco
Target
 
2016
Actual
 
2015
Actual
Equity securities
60.0
%
 
60.5
%
 
59.7
%
Debt securities
40.0
%
 
39.5
%
 
40.3
%
Total
100.0
%
 
100.0
%
 
100.0
%
Expected benefit payments for the succeeding five fiscal years
Following are expected postretirement benefit payments for the succeeding five fiscal years, and in aggregate for the five years thereafter for Spire, Laclede Gas, and Alagasco:
 
2017
2018
2019
2020
2021
2022-
2026
Spire
$
15.4

$
16.7

$
17.9

$
19.1

$
20.1

$
108.6

Laclede Gas
12.3

13.7

14.8

15.8

16.8

92.5

Alagasco
2.9

2.8

2.8

2.9

2.9

14.1

Assumed medical cost trend rates and effect of an assumed 1% changed in assumed medical cost trend.
The assumed medical cost trend rates at September 30 are as follows:
 
2016
 
2015
Medical cost trend assumed for next year - Laclede Gas
7.50
%
 
7.00
%
Medical cost trend assumed for next year - Alagasco
7.50
%
 
7.00
%
Rate to which the medical cost trend rate is assumed to decline (the ultimate medical cost trend rate)
5.00
%
 
5.00
%
Year the rate reaches the ultimate trend
2023

 
2020

The following table presents the effects of an assumed 1% change in the assumed medical cost trend rate:
 
Spire
 
Laclede Gas
 
Alagasco
 
1% Increase
 
1% Decrease
 
1% Increase
 
1% Decrease
 
1% Increase
 
1% Decrease
Net periodic postretirement benefit cost
$
1.5

 
$
(1.4
)
 
$
1.5

 
$
(1.4
)
 
$

 
$

Accumulated postretirement benefit obligation
11.0

 
(10.2
)
 
9.0

 
(8.4
)
 
1.3

 
(1.2
)
Laclede Gas  
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items]  
Fair value measurements of plan assets
The table below categorizes the fair value measurements of Laclede Gas’ pension plan assets:
 
Quoted Prices in Active Markets
(Level 1)
 
Significant
Observable
Inputs
(Level 2)
 
Significant
Unobservable
Inputs
(Level 3)
 
Total
As of September 30, 2016
 
 
 
 
 
 
 
Cash and cash equivalents
$
46.5

 
$

 
$

 
$
46.5

Stock/bond mutual fund

 
14.8

 
0.1

 
14.9

Debt Securities
 
 
 
 
 
 
 
US bond mutual funds

 
120.2

 

 
120.2

US government
42.1

 
3.0

 

 
45.1

US corporate
137.4

 

 

 
137.4

US municipal
6.3

 

 

 
6.3

International
25.2

 

 

 
25.2

Derivatives and margin (payable)
(1.0
)
 
1.1

 

 
0.1

Total
$
256.5

 
$
139.1

 
$
0.1

 
$
395.7

 
 
 
 
 
 
 
 
As of September 30, 2015
 
 
 
 
 
 
 
Cash and cash equivalents
$
31.8

 
$

 
$

 
$
31.8

Stock/bond mutual funds

 
67.6

 
0.1

 
67.7

Debt Securities
 
 
 
 
 
 
 
US government
37.7

 

 

 
37.7

US corporate
123.7

 
42.9

 

 
166.6

US municipal

 
5.9

 

 
5.9

International

 
27.3

 

 
27.3

Derivative instruments

 
2.9

 

 
2.9

Total
$
193.2

 
$
146.6

 
$
0.1

 
$
339.9


The table below categorizes the fair value measurements of Laclede Gas’ postretirement plan assets:
 
Quoted Prices in Active Markets
(Level 1)
 
Significant
Observable
Inputs
(Level 2)
 
Significant
Unobservable
Inputs
(Level 3)
 
Total
As of September 30, 2016
 
 
 
 
 
 
 
Cash and cash equivalents
$
4.6

 
$

 
$

 
$
4.6

US stock/bond mutual funds
155.1

 

 

 
155.1

Total
$
159.7

 
$

 
$

 
$
159.7

 
 
 
 
 
 
 
 
As of September 30, 2015
 
 
 
 
 
 
 
Cash and cash equivalents
$
1.6

 
$

 
$

 
$
1.6

US stock/bond mutual funds
115.5

 
26.5

 

 
142.0

Total
$
117.1

 
$
26.5

 
$

 
$
143.6

Alagasco
The table below categorizes the fair value measurements of Alagasco’s pension plan assets:
 
Quoted Prices in Active Markets
(Level 1)
 
Significant
Observable
Inputs
(Level 2)
 
Significant
Unobservable
Inputs
(Level 3)
 
Total
As of September 30, 2016
 
 
 
 
 
 
 
Cash and cash equivalents
$
0.4

 
$

 
$

 
$
0.4

Stock/bond mutual funds
59.0

 
11.9

 

 
70.9

Debt Securities
 
 
 
 
 
 
 
US bond mutual funds
23.0

 
5.7

 

 
28.7

Total
$
82.4

 
$
17.6

 
$

 
$
100.0

 
 
 
 
 
 
 
 
As of September 30, 2015
 
 
 
 
 
 
 
Cash and cash equivalents
$
11.6

 
$
0.2

 
$

 
$
11.8

Stock/bond mutual fund
46.4

 
7.0

 
9.5

 
62.9

Debt Securities
 
 
 
 
 
 
 
US bond mutual funds

 
9.3

 

 
9.3

US government

 
21.0

 

 
21.0

International

 
4.0

 

 
4.0

Derivative instruments (b)

 

 

 

Total
$
58.0

 
$
41.5

 
$
9.5

 
$
109.0

The table below categorizes the fair value measurements of Alagasco’s postretirement plan assets:
 
Quoted Prices in Active Markets
(Level 1)
 
Significant
Observable
Inputs
(Level 2)
 
Significant
Unobservable
Inputs
(Level 3)
 
Total
As of September 30, 2016
 
 
 
 
 
 
 
US stock/bond mutual fund
$

 
$
68.5

 
$

 
$
68.5

International fund

 
14.3

 

 
14.3

Total
$

 
$
82.8

 
$

 
$
82.8

 
 
 
 
 
 
 
 
As of September 30, 2015
 
 
 
 
 
 
 
US stock/bond mutual fund

 
66.3

 

 
66.3

International fund

 
13.4

 

 
13.4

Total
$

 
$
79.7

 
$

 
$
79.7