Pension and postretirement benefits

6 Months Ended

Jun. 30, 2011

Pension and postretirement benefits

Note 26 – Pension and postretirement benefits

The Corporation has a noncontributory defined benefit pension plan and supplementary pension benefit restoration plans for regular employees of certain of its subsidiaries. At June 30, 2011, the accrual of benefits under the plans was frozen to all participants.

The components of net periodic pension cost for the periods presented were as follows:

	Pension Plan Quarters ended June 30,						Benefit Restoration Plans Quarters ended June 30,
(In thousands)	2011			2010			2011			2010
Interest cost	$	7,784		$	7,953		$	395		$	385
Expected return on plan assets		(10,840	)		(7,777	)		(450	)		(404	)
Amortization of net loss		2,829			2,206			148			99
Settlement loss		—			3,380			—			—
Total net periodic pension cost	$	(227	)	$	5,762		$	93		$	80

	Pension Plans Six months ended June 30,						Benefit Restoration Plans Six months ended June 30,
(In thousands)	2011			2010			2011			2010
Interest cost	$	15,569		$	15,906		$	790		$	769
Expected return on plan assets		(21,680	)		(15,553	)		(901	)		(807	)
Amortization of net loss		5,657			4,412			296			198
Settlement loss		—			3,380			—			—
Total net periodic pension cost	$	(454	)	$	8,145		$	185		$	160

The Corporation made contributions to the pension and benefit restoration plans for the quarter and six months ended June 30, 2011 amounting to $39 thousand and $124.6 million, respectively. The total contributions expected to be paid during the year 2011 for the pension and benefit restoration plans amount to approximately $126.7 million.

The Corporation also provides certain health care benefits for retired employees of certain subsidiaries. The table that follows presents the components of net periodic postretirement benefit cost.

	Postretirement Benefit Plan
	Quarters ended June 30,						Six months ended June 30,
(In thousands)	2011			2010			2011			2010
Service cost	$	504		$	432		$	1,008		$	864
Interest cost		2,135			1,608			4,271			3,217
Amortization of prior service cost		(240	)		(261	)		(480	)		(523	)
Amortization of net loss (gain)		267			(294	)		534			(588	)
Total net periodic postretirement benefit cost	$	2,666		$	1,485		$	5,333		$	2,970

Contributions made to the postretirement benefit plan for the quarter and six months ended June 30, 2011, amounted to approximately $1.6 million and $3.6 million, respectively. The total contributions expected to be paid during the year 2011 for the postretirement benefit plan amount to approximately $6.6 million.