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Pensions and Postretirement Benefits Other Than Pensions
9 Months Ended
Sep. 30, 2011
Pensions and Postretirement Benefits Other Than Pensions [Abstract] 
Pensions and Postretirement Benefits Other Than Pensions
Note 12. Pensions and Postretirement Benefits Other Than Pensions
Pensions
The following table sets forth the components of net periodic benefit cost (income) and the weighted-average assumptions used to determine the net periodic benefit cost (income). The net periodic benefit cost for divested or discontinued operations retained by the Company is included in the amounts below:
                                                 
    U.S. Plans     U.K. Plans     Other Plans  
    Three Months Ended     Three Months Ended     Three Months Ended  
    September 30,     September 30,     September 30,  
    2011     2010     2011     2010     2011     2010  
                    (Dollars in millions)                  
Service cost
  $ 12.4     $ 11.6     $ 4.3     $ 3.9     $ 1.9     $ 1.2  
Interest cost
    42.8       42.1       10.5       9.7       2.1       1.8  
Expected return on plan assets
    (52.5 )     (46.9 )     (15.4 )     (13.2 )     (2.1 )     (1.7 )
Amortization of prior service cost
    1.5       1.8       (0.1 )     (0.1 )     0.1       —  
Amortization of actuarial loss
    15.3       29.2       —       0.7       0.7       0.3  
 
                                   
Gross periodic benefit cost (income)
    19.5       37.8       (0.7 )     1.0       2.7       1.6  
Settlement loss
    0.2       —       —       —       —       —  
Curtailment loss
    —       —       —       0.1       —       —  
 
                                   
Net periodic benefit cost (income)
  $ 19.7     $ 37.8     $ (0.7 )   $ 1.1     $ 2.7     $ 1.6  
 
                                   
                                                 
    U.S. Plans     U.K. Plans     Other Plans  
    Nine Months Ended     Nine Months Ended     Nine Months Ended  
    September 30,     September 30,     September 30,  
    2011     2010     2011     2010     2011     2010  
                    (Dollars in millions)                  
Service cost
  $ 36.8     $ 34.7     $ 12.9     $ 11.6     $ 5.6     $ 3.6  
Interest cost
    128.4       126.4       31.7       29.0       6.4       5.3  
Expected return on plan assets
    (157.2 )     (140.7 )     (46.3 )     (39.1 )     (6.4 )     (5.2 )
Amortization of prior service cost
    4.5       5.3       (0.4 )     (0.4 )     0.3       0.1  
Amortization of actuarial loss
    44.1       87.6       —       2.0       2.0       1.1  
 
                                   
Gross periodic benefit cost (income)
    56.6       113.3       (2.1 )     3.1       7.9       4.9  
Settlement loss
    0.4       —       —       —       —       —  
Curtailment loss(1)
    1.4       —       —       0.1       —       —  
 
                                   
Net periodic benefit cost (income)
  $ 58.4     $ 113.3     $ (2.1 )   $ 3.2     $ 7.9     $ 4.9  
 
                                   
 
                                               
Termination benefit charge(1)
  $ 4.0     $ —     $ 0.7     $ —     $ —     $ —  
 
                                   
 
(1)   Due to the approval of a plan to close a U.S. facility, pension assumptions were reevaluated on June 7, 2011 for the remeasurement of a U.S. Wage Plan covering certain union employees. See Note 4, “Business Segment Information”. The facility closure resulted in a curtailment loss of $1.4 million and a contractual termination benefit charge of $4 million.
The following table provides the weighted-average assumptions used to determine the net periodic benefit cost.
                                                 
    U.S. Plans     U.K. Plans     Other Plans  
    Three and Nine Months     Three and Nine Months     Three and Nine Months  
    Ended September 30,     Ended September 30,     Ended September 30,  
    2011     2010     2011     2010     2011     2010  
Discount rate 1/1 – 6/6
    5.67 %     5.90 %     5.81 %     5.88 %     5.20 %     5.75 %
Discount rate 6/7 – 9/30
    5.63 %     5.90 %     5.81 %     5.88 %     5.20 %     5.75 %
Expected long-term rate of return on assets
    8.25 %     8.75 %     8.25 %     8.50 %     8.08 %     8.32 %
Rate of compensation increase
    4.10 %     4.10 %     3.75 %     3.75 %     3.42 %     3.38 %
The Company generally amortizes the actuarial gains and losses for its pension plans over the average future service period of the active participants. However, beginning in 2011, the Company is amortizing the actuarial losses in its U.S. salaried plan over the remaining life of the inactive plan participants since almost all of the plan participants are now inactive resulting in a reduction in the amortization of actuarial losses in 2011.
Postretirement Benefits Other Than Pensions
The following table sets forth the components of net periodic postretirement benefit cost other than pensions. Other postretirement benefits related to the divested and discontinued operations retained by the Company are included in the amounts below.
                                 
    Three Months Ended     Nine Months Ended  
    September 30,     September 30,  
    2011     2010     2011     2010  
            (Dollars in millions)          
Service cost
  $ 0.3     $ 0.2     $ 0.8     $ 0.8  
Interest cost
    3.9       4.4       11.8       13.1  
Amortization of prior service cost
    (0.1 )     —       (0.4 )     (0.1 )
Amortization of actuarial (gain) loss
    —       —       —       —  
 
                       
Net periodic benefit cost
  $ 4.1     $ 4.6     $ 12.2     $ 13.8  
 
                       
The following table provides the assumptions used to determine the net periodic postretirement benefit cost.
                 
    Three and Nine Months Ended September 30,
    2011   2010
Discount rate
    5.29 %     5.55 %
Healthcare trend rate
  7.5% in 2011 to 5% in 2017   7.3% in 2010 to 5% in 2015