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Retirement and Other Postretirement Benefit Plans
6 Months Ended
Jun. 30, 2013
Retirement and Other Postretirement Benefit Plans  
Retirement and Other Postretirement Benefit Plans

Note 4 Retirement and Other Postretirement Benefit Plans

 

We maintain qualified and nonqualified defined benefit retirement plans covering certain current and former U.S. and European employees, retirement savings plans covering eligible U.S. employees and certain postretirement health care and life insurance benefit plans covering eligible U.S. retirees. We also participate in a union sponsored multi-employer pension plan covering certain U.S. employees with union affiliations.

 

Defined Benefit Retirement Plans

 

Net Periodic Benefit Costs

 

Net periodic benefit costs of our defined benefit retirement plans for the quarters and six months ended June 30, 2013 and 2012, were as follows:

 

 

 

Quarter Ended June 30,

 

Six Months Ended June 30,

 

(In millions)

 

2013

 

2012

 

2013

 

2012

 

U.S. Nonqualified Defined Benefit Retirement Plans

 

 

 

 

 

 

 

 

 

Service cost

 

$

0.7

 

$

0.4

 

$

1.4

 

$

0.7

 

Interest cost

 

0.2

 

0.2

 

0.4

 

0.5

 

Net amortization and deferral

 

0.6

 

0.5

 

1.3

 

1.1

 

Net periodic benefit cost

 

$

1.5

 

$

1.1

 

$

3.1

 

$

2.3

 

 

 

 

June 30,
2013

 

December 31,
2012

 

Amounts recognized on the balance sheet:

 

 

 

 

 

Accrued liabilities

 

$

0.3

 

$

0.3

 

Other non-current liabilities

 

40.0

 

38.3

 

Total accrued benefit

 

$

40.3

 

$

38.6

 

 

 

 

Quarter Ended June 30,

 

Six Months Ended June 30,

 

(In millions)

 

2013

 

2012

 

2013

 

2012

 

European Defined Benefit Retirement Plans

 

 

 

 

 

 

 

 

 

Service cost

 

$

0.1

 

$

0.2

 

$

0.3

 

$

0.3

 

Interest cost

 

1.8

 

1.6

 

3.5

 

3.3

 

Expected return on plan assets

 

(2.1

)

(1.8

)

(4.1

)

(3.6

)

Net amortization and deferral

 

0.3

 

0.2

 

0.6

 

0.4

 

Net periodic benefit cost

 

$

0.1

 

$

0.2

 

$

0.3

 

$

0.4

 

 

 

 

June 30,
2013

 

December 31,
2012

 

Amounts recognized on the balance sheet:

 

 

 

 

 

Accrued liabilities

 

$

0.4

 

$

0.4

 

Other non-current liabilities

 

34.8

 

36.1

 

Total accrued benefit

 

$

35.2

 

$

36.5

 

 

Contributions

 

We generally fund our U.S. non-qualified defined benefit retirement plans when benefit payments are incurred. Under the provisions of these non-qualified plans, we expect to contribute $0.3 million in 2013 to cover unfunded benefits. We contributed $0.3 million to our U.S. non-qualified defined benefit retirement plans during the 2012 fiscal year.

 

We contributed $1.3 million and $1.5 million to our European defined benefit retirement plans in the second quarters of 2013 and 2012, respectively.  Contributions to the defined benefit retirement plans were $2.7 million and $3.0 million for the six months ended June 30, 2013 and 2012.  We plan to contribute approximately $5.8 million during 2013 to these European plans.  We contributed $5.7 million to our European plans during the 2012 fiscal year.

 

Postretirement Health Care and Life Insurance Benefit Plans

 

Net periodic benefit costs of our postretirement health care and life insurance benefit plans for the quarters and six months ended June 30, 2013 and 2012 were immaterial.

 

 

 

June 30, 2013

 

December 31, 2012

 

Amounts recognized on the balance sheet:

 

 

 

 

 

Accrued liabilities

 

$

0.6

 

$

0.6

 

Other non-current liabilities

 

7.4

 

7.5

 

Total accrued benefit

 

$

8.0

 

$

8.1

 

 

In connection with our postretirement plans, we contributed $0.2 million and $0.1 million during the six-month periods ended June 30, 2013 and 2012, respectively.  Contributions during the second quarter of 2013 were $0.1 million and were less than $0.1 million in the second quarter of 2012.  We periodically fund our postretirement plans to pay covered expenses as they are incurred.  Based on six months of activity, we expect to contribute approximately $0.3 million in 2013 to cover unfunded benefits.  We contributed $0.3 million to our postretirement plans during the 2012 fiscal year.