Pension and Other Postretirement Benefits

6 Months Ended

Jun. 26, 2011

Defined Benefit Plans and Other Postretirement Benefit Plans Disclosures [Abstract]

Pension and Other Postretirement Benefits

PENSION AND OTHER POSTRETIREMENT BENEFITS

Pension

We sponsor several pension plans, the majority of which have been frozen; participate in The New York Times Newspaper Guild pension plan, a joint Company and Guild-sponsored plan; and make contributions to several multiemployer plans in connection with collective bargaining agreements. These plans cover the majority of our employees.

In the second quarter of 2011, certain employees of The Boston Globe (the “Globe”) represented by a union, ratified amendments to their collective bargaining agreement which resulted in a partial withdrawal from a multiemployer pension plan. We recorded an estimated $4.2 million charge for our withdrawal obligation under this multiemployer pension plan.

Our Company-sponsored defined benefit pension plans include qualified plans (funded) as well as non-qualified plans (unfunded). These plans provide participating employees with retirement benefits in accordance with benefit formulas detailed in each plan. Our non-qualified plans provide enhanced retirement benefits to select members of management.

The components of net periodic pension cost of all Company-sponsored plans and The New York Times Newspaper Guild pension plan were as follows:

	For the Quarters Ended
	June 26, 2011								June 27, 2010
(In thousands)	Qualified Plans			Non- Qualified Plans		All Plans			Qualified Plans			Non- Qualified Plans		All Plans
Service cost	$	3,019		$	377	$	3,396		$	3,055		$	28	$	3,083
Interest cost	24,998			3,286		28,284			25,943			3,426		29,369
Expected return on plan assets	(27,953		)	—		(27,953		)	(28,392		)	—		(28,392		)
Amortization of prior service cost	201			—		201			201			—		201
Recognized actuarial loss	6,445			804		7,249			4,147			2,459		6,606
Net periodic pension cost	$	6,710		$	4,467	$	11,177		$	4,954		$	5,913	$	10,867

	For the Six Months Ended
	June 26, 2011								June 27, 2010
(In thousands)	Qualified Plans			Non- Qualified Plans		All Plans			Qualified Plans			Non- Qualified Plans		All Plans
Service cost	$	6,038		$	754	$	6,792		$	6,169		$	30	$	6,199
Interest cost	49,996			6,572		56,568			51,899			6,725		58,624
Expected return on plan assets	(55,906		)	—		(55,906		)	(56,785		)	—		(56,785		)
Amortization of prior service cost	402			—		402			402			—		402
Recognized actuarial loss	12,890			1,608		14,498			8,328			2,972		11,300
Net periodic pension cost	$	13,420		$	8,934	$	22,354		$	10,013		$	9,727	$	19,740

In the first six months of 2011, we made contributions of approximately $62 million to certain qualified pension plans. The majority of these contributions were discretionary. Based on our contractual obligations, we expect to make 2011 contributions of approximately $32 million (of which approximately $18 million was made in the first six months of 2011) to The New York Times Newspaper Guild pension plan. Except for contractual contributions to The New York Times Newspaper Guild pension plan, we do not expect to have material mandatory contributions through 2012, although we may make additional discretionary contributions in 2011 or 2012 to our Company-sponsored qualified pension plans based on cash flows, pension asset performance, interest rates and other factors.

Postretirement Benefits

We provide health benefits to retired employees (and their eligible dependents) who meet the definition of an eligible participant and certain age and service requirements, as outlined in the plan document. While we offer pre-age 65 retiree medical coverage to employees who meet certain retiree medical eligibility requirements, we no longer provide post-age 65 retiree medical benefits for employees who retire on or after March 1, 2009. We also contribute to a postretirement plan under the provisions of a collective bargaining agreement. We accrue the costs of postretirement benefits during the employees’ active years of service and our policy is to pay our portion of insurance premiums and claims from our general corporate assets.

The components of net periodic postretirement benefit income were as follows:

	For the Quarters Ended						For the Six Months Ended
(In thousands)	June 26, 2011			June 27, 2010			June 26, 2011			June 27, 2010
Service cost	$	290		$	269		$	580		$	538
Interest cost	1,825			2,335			3,650			4,670
Amortization of prior service credit	(3,901		)	(3,900		)	(7,802		)	(7,800		)
Recognized actuarial loss	481			782			962			1,564
Net periodic postretirement benefit income	$	(1,305	)	$	(514	)	$	(2,610	)	$	(1,028	)