Employee Benefit Plans

6 Months Ended

Jun. 30, 2011

Employee Benefit Plans

Employee Benefit Plans

8. Employee Benefit Plans

     A summary of the net periodic benefit expense follows:

	Three Months Ended						Six Months Ended
	June 30,						June 30,
	2011			2010			2011			2010
Service cost	$	999		$	486		$	3,013		$	811
Interest cost		307			436			651			811
Expected return on assets		(787	)		(1,518	)		(1,628	)		(2,943	)
Prior service costs		173			200			351			375
Settlement loss		—			1,592			—			1,592
Curtailment charges		1,713			1,347			1,713			1,347
Net periodic benefit expense	$	2,405		$	2,543		$	4,100		$	1,993

     The Company remeasures its plan assets and benefit obligation at each December 31. The Company remeasured the plan assets and benefit obligations as of June 30, 2011 due to curtailment accounting.

     During the second quarter of 2011, the Company implemented a Health Reimbursement Arrangement whereby the Company will make a discretionary contribution every year on behalf of each retiree, beneficiary and surviving spouse. As a result the retiree medical liability has been reduced by $7.0 million with a corresponding reduction in accumulated other comprehensive income (loss). This change in accumulated other comprehensive income will be amortized into income over the future life expectancy of the participants (approximately 9 years).