Benefit Plans and Other Postretirement Benefits

9 Months Ended

Sep. 30, 2019

Benefit Plans and Other Postretirement Benefits

Components of Net Periodic Benefit Cost



	Three Months Ended Sept. 30
	2019			2018			2019			2018
(Millions of Dollars)	Pension Benefits						Postretirement Health Care Benefits
Service cost	$	1.1		$	1.2		$	—		$	—
Interest cost ^(a)	1.4			1.4			0.1			0.2
Expected return on plan assets ^(a)	(2.0		)	(2.3		)	—			—
Amortization of prior service credit ^(a)	—			—			(0.1		)	(0.1		)
Amortization of net loss ^(a)	1.1			1.4			0.1			0.1
Settlement charge ^(b)	—			5.2			—			—
Net periodic benefit cost	1.6			6.9			0.1			0.2
Costs not recognized due to the effects of regulation	—			(3.1		)	—			—
Net benefit cost recognized for financial reporting	$	1.6		$	3.8		$	0.1		$	0.2



	Nine Months Ended Sept. 30
	2019			2018			2019			2018
(Millions of Dollars)	Pension Benefits						Postretirement Health Care Benefits
Service cost	$	3.3		$	3.6		$	—		$	—
Interest cost ^(a)	4.3			4.1			0.4			0.4
Expected return on plan assets ^(a)	(6.2		)	(6.8		)	—			—
Amortization of prior service credit ^(a)	—			—			(0.2		)	(0.2		)
Amortization of net loss ^(a)	3.3			4.2			0.2			0.4
Settlement charge ^(b)	—			5.2			—			—
Net periodic benefit cost	4.7			10.3			0.4			0.6
Credits (costs) not recognized due to the effects of regulation	0.2			(2.8		)	—			—
Net benefit cost recognized for financial reporting	$	4.9		$	7.5		$	0.4		$	0.6


^(a)	The components of net periodic cost other than the service cost component are included in the line item “other expense, net” in the consolidated statement of income or capitalized on the consolidated balance sheet as a regulatory asset.

^(b) A settlement charge is required when the amount of all lump-sum distributions during the year is greater than the sum of the service and interest cost components of the annual net periodic pension cost. In the third quarter of 2018 as a result of lump-sum distributions during the 2018 plan year, NSP-Wisconsin recorded a total pension settlement charge of $5.2 million, the majority of which was not recognized due to the effects of regulation. A total of $1.2 million of that amount was recorded in other expense in the third quarter of 2018.

In January 2019, contributions of $150.0 million were made across four of Xcel Energy’s pension plans, of which $7.2 million was attributable to NSP-Wisconsin. Xcel Energy does not expect additional pension contributions during 2019.