Employee Benefit Plans

6 Months Ended

Jun. 30, 2020

Retirement Benefits [Abstract]

Pension and Other Postretirement Benefits Disclosure

Defined Benefit Pension and Other Postretirement Benefit (OPEB) Plans

We sponsor several defined benefit pension and OPEB plans for our employees, including non-qualified pension plans. The U.S. qualified and non-qualified defined benefit pension plans comprise the majority of our total benefit obligation and benefit cost. We maintain a separate defined benefit plan for eligible employees in our U.K. operation. The U.S. defined benefit pension plans were closed to new entrants on December 31, 2013, the OPEB plan was closed to new entrants on December 31, 2012, and the U.K. plan was closed to new entrants on December 31, 2002.

U.S. Pension Plan Annuity Purchase

On January 2, 2020, we purchased a group annuity contract which transferred a portion of our U.S. qualified defined benefit pension plan obligation to a third party. Under the transaction, which was funded with plan assets, we transferred the responsibility for pension benefits and annuity administration for approximately 600 retirees, or their beneficiaries, receiving between $350 and $500 in monthly benefit payments from the plan. This transfer reduced our 2020 U.S. qualified benefit pension plan obligation by approximately $44.0 million.

The following table provides the components of the net periodic benefit cost (credit) for the defined benefit pension and OPEB plans.

	Three Months Ended June 30
	Pension Benefits
	U.S. Plans				U.K. Plan				OPEB
	2020		2019		2020		2019		2020		2019
	(in millions of dollars)
Service Cost	$	2.7	$	2.7	$	—	$	—	$	—	$	—
Interest Cost	18.3		20.9		1.2		1.6		1.1		1.3
Expected Return on Plan Assets	(26.6)		(24.9)		(2.3)		(2.3)		(0.2)		(0.2)
Amortization of:
Net Actuarial Loss (Gain)	4.6		5.0		0.3		0.2		—		(0.6)
Total Net Periodic Benefit Cost (Credit)	$	(1.0)	$	3.7	$	(0.8)	$	(0.5)	$	0.9	$	0.5

	Six Months Ended June 30
	Pension Benefits
	U.S. Plans				U.K. Plan				OPEB
	2020		2019		2020		2019		2020		2019
	(in millions of dollars)
Service Cost	$	5.5	$	5.4	$	—	$	—	$	—	$	—
Interest Cost	36.5		41.7		2.4		3.1		2.1		2.6
Expected Return on Plan Assets	(53.3)		(49.7)		(4.7)		(4.5)		(0.3)		(0.3)
Amortization of:
Net Actuarial Loss (Gain)	9.3		10.1		0.6		0.4		—		(1.2)
Prior Service Credit	—		—		—		—		(0.1)		(0.1)
Total Net Periodic Benefit Cost (Credit)	$	(2.0)	$	7.5	$	(1.7)	$	(1.0)	$	1.7	$	1.0

The service cost component of net periodic pension and postretirement benefit cost (credit) is included as a component of compensation expense in our consolidated statements of income. All other components of net periodic pension and postretirement benefit cost are included in other expenses.