Pension and Other Postretirement Benefit Plans (Tables)

12 Months Ended

Dec. 31, 2013

Pension and Other Postretirement Benefit Plans [Abstract]

Obligations and Funded Status:

	Pension Benefits						Other Benefits
	Year Ended December 31,						Year Ended December 31,
(In thousands)	2013			2012			2013			2012
Change in benefit obligation:
Benefit obligation—beginning of period	$	259,706		$	234,247		$	87,125		$	80,876
Service cost		1,156			1,785			528			478
Interest cost		10,320			11,198			3,467			3,999
Actuarial losses (gains)		(12,102	)		25,532			(10,801	)		4,644
Benefits paid		(18,260	)		(15,653	)		(4,078	)		(4,106	)
Foreign currency exchange rate changes		(8,074	)		3,401			(1,325	)		558
Curtailment		—			(804	)		—			—
Plan amendment		—			—			(539	)		—
Incurred retiree drug subsidy reimbursements		—			—			172			170
Plan participant’s contributions		155			—			384			506
Benefit obligation—end of period	$	232,901		$	259,706		$	74,933		$	87,125

Accumulated benefit obligation	$	232,208		$	259,015		$	—		$	—

Change in plan assets:
Fair value of assets—beginning of period	$	203,268		$	183,447		$	—		$	—
Actual return on plan assets		33,625			21,166			—			—
Employer contributions		9,539			11,153			3,694			3,600
Plan participant’s contributions		155			—			384			506
Benefits paid		(18,260	)		(15,653	)		(4,078	)		(4,106	)
Foreign currency exchange rate changes		(7,620	)		3,155			—			—
Fair value of assets—end of period		220,707			203,268			—			—
Reconciliation of funded status:
Unfunded status	$	(12,194	)	$	(56,438	)	$	(74,933	)	$	(87,125	)
Amounts recorded in the consolidated balance sheets:
Prepaid benefit cost	$	8,493		$	—		$	—		$	—
Accrued benefit liability		(20,687	)		(56,438	)	$	(74,933	)	$	(87,125	)
Accumulated other comprehensive loss (income)		15,201			53,420			(5,292	)		6,370
Net amount recognized	$	3,007		$	(3,018	)	$	(80,225	)	$	(80,755	)
Amounts recorded in AOCI in the following fiscal year:
Amortization of prior service (credit) cost	$	44					$	(35	)
Amortization of net (gain)/loss		201						322
Total amortization	$	245					$	287

Components of net periodic benefit cost

Components of Net Periodic Benefit Cost:

Pension Benefits
	Year Ended December 31,
(In thousands)	2013			2012			2011
Service cost-benefits earned during the period	$	1,156		$	1,785		$	1,571
Interest cost on projected benefit obligation		10,320			11,198			12,266
Expected return on plan assets		(11,726	)		(11,800	)		(12,936	)
Prior service cost (net)		44			44			44
Other amortization (net)		2,607			1,035			59
Total benefits cost charged to income	$	2,401		$	2,262		$	1,004

Recognized in other comprehensive income (loss):
Amortization of net transition (asset) obligation	$	—		$	(1,035	)	$	(59	)
Prior service (credit) cost		—			—			—
Amortization of prior service (credit) cost		(44	)		(44	)		(44	)
Change in net actuarial (gain) loss		(35,568	)		16,052			28,073
Amortization of net actuarial valuation (gain) loss		(2,607	)		—			—
Amounts recognized in other comprehensive income		(38,219	)		14,973			27,970
Amounts recognized in total benefits charged to income and other comprehensive income	$	(35,818	)	$	17,235		$	28,974

Other Benefits
	Year Ended December 31,
(In thousands)	2013			2012			2011
Service cost-benefits earned during the period	$	528		$	478		$	452
Interest cost on projected benefit obligation		3,467			3,999			4,401
Prior service cost (net)		—			—			—
Other amortization (net)		114			(34	)		(103	)
Total benefits cost charged to income	$	4,109		$	4,443		$	4,750

Recognized in other comprehensive income (loss):
Amortization of net transition (asset) obligation	$	—		$	35		$	103
Change in net actuarial (gain) loss		(11,660	)		4,764			(151	)
Amounts recognized in other comprehensive income		(11,660	)		4,799			(48	)
Amounts recognized in total benefits charged to income and other comprehensive income	$	(7,551	)	$	9,242		$	4,702

Assumptions used to determine benefit obligations and net periodic benefit cost

Assumptions used to determine benefit obligations as of December 31 were as follows:

	Pension Benefits						Other Benefits
	2013			2012			2013			2012
Average discount rate		4.77	%		4.19	%		4.85	%		4.20	%
Rate of increase in future compensation levels		3.00	%		3.00	%		N/A			N/A

Assumptions used to determine net periodic benefit cost for the years ended December 31 were as follows:

	Pension Benefits						Other Benefits
	2013			2012			2013			2012
Average discount rate		4.19	%		4.89	%		4.20	%		4.91	%
Rate of increase in future compensation levels		3.00	%		3.00	%		N/A			N/A
Expected long-term rate of return on assets		6.08	%		6.35	%		N/A			N/A

Assumed health care cost trend rates

Assumed health care cost trend rates at December 31 were as follows:

	2013			2012
Health care cost trend rate assumed for next year		7.63	%		8.08	%
Rate to which the cost trend rate is assumed to decline		4.82	%		4.82	%
Year that the rate reaches the ultimate trend rate		2022			2022

Effect of one-percentage-point change in assumed health care cost trend rates

The health care cost trend rate assumption has a significant effect on the amounts reported. A one-percentage point change in assumed health care cost trend rates would have the following effects on 2013:

	1-Percentage- Point Increase		1-Percentage- Point Decrease
Effect on total of service and interest cost	$	646	$	(865	)
Effect on postretirement benefit obligation	$	8,995	$	(7,463	)

Allocation of plan assets

Our pension plan weighted-average asset allocations by level within the fair value hierarchy at December 31, 2013, are presented in the table below. Our pension plan assets were accounted for at fair value and are classified in their entirety based on the lowest level of input that is significant to the fair value measurement. Our level 1 plan assets are value using active trading prices as listed in the New York stock exchange and the Toronto stock exchange. Our level 2 plan assets are securities for which the market is not considered to be active and are valued via the use of observable inputs, which may include, among others, the use of adjusted market prices last available, bids or last available sales prices and/or other observable inputs. Our assessment of the significance of a particular input to the fair value measurement requires judgment, and may affect the valuation of fair value assets and their placement within the fair value hierarchy levels. For more information on a description of the fair value hierarchy, see Note 13.

(In thousands)	Level 1			Level 2			Level 3			Total			% of Total
Cash and cash equivalents	$	8,314		$	—		$	—		$	8,314			4	%
Equity securities:
U.S. large-cap		21,639			—			—			21,639			10	%
U.S. mid-cap		—			6,840			—			6,840			3	%
U.S. small-cap		—			3,399			—			3,399			2	%
U.S. indexed		—			18,954			—			18,954			9	%
Canadian large-cap		27,574			—			—			27,574			12	%
Canadian mid-cap		11,263			—			—			11,263			5	%
Canadian small-cap		—			—			—			—			—	%
Large growth		—			11,659			—			11,659			5	%
Pooled equities		10,775			3,271			—			14,046			6	%
International markets		—			26,545			—			26,545			12	%
Fixed income securities:
Government bonds		11,185			10,754			—			21,939			10	%
Corporate bonds		25,684			22,851			—			48,535			22	%
Total assets at fair value	$	116,434		$	104,273		$	—		$	220,707			100	%
% of fair value hierarchy		53	%		47	%		—	%		100	%

In the fair value presentation below, we changed certain securities from Level 1 to Level 2 as it was determined that these investments are priced with observable inputs rather than quoted market prices in an active market. Our pension plan weighted-average asset allocations by level within the fair value hierarchy at December 31, 2012, are presented in the following table:

(In thousands)	Level 1			Level 2			Level 3			Total			% of Total
Cash and cash equivalents	$	6,088		$	—		$	—		$	6,088			3	%
Equity securities:
U.S. large-cap		12,787			9,045			—			21,832			11	%
U.S. mid-cap		7,582			5,946			—			13,528			7	%
U.S. small-cap		123			2,978			—			3,101			1	%
U.S. indexed		—			15,705			—			15,705			8	%
Canadian large-cap		24,450			—			—			24,450			12	%
Canadian mid-cap		8,228			—			—			8,228			4	%
Canadian small-cap		3,173			—			—			3,173			1	%
Large growth		—			9,563			—			9,563			5	%
Pooled equities		—			2,833			—			2,833			1	%
International markets		—			26,235			—			26,235			13	%
Fixed income securities:
Government bonds		9,750			9,916			—			19,666			10	%
Corporate bonds		27,794			21,072			—			48,866			24	%
Total assets at fair value	$	99,975		$	103,293		$	—		$	203,268			100	%
% of fair value hierarchy		49	%		51	%		—	%		100	%

Assets allocation

Asset allocation for our Accuride Retirement Plan and Erie Hourly Pension Plan:

	Lower Limit			Strategic Allocation			Upper Limit
Domestic Large Capitalization Equities:
Value		10	%		11	%		20	%
Growth		10	%		13	%		20	%
Index-Passive		15	%		20	%		25	%
Domestic Small Cap Equities		2	%		10	%		10	%
International Equities		5	%		11	%		15	%
Fixed Income:
Intermediate		15	%		35	%		35	%

Asset allocation for remainder of our U.S. plans:

	Lower Limit			Strategic Allocation			Upper Limit
Domestic Large Capitalization Equities:
Value		10	%		10	%		20	%
Growth		10	%		10	%		20	%
Index-Passive		5	%		10	%		15	%
Domestic Mid Cap Equities		5	%		10	%		15	%
International Equities		5	%		13	%		15	%
Fixed Income:
Intermediate		15	%		35	%		35	%
Money Market		1	%		5	%		10	%

Target allocation of plan assets

While we use the same methodologies to manage the Canadian plans, the primary objective is to achieve a minimum rate of return of Consumer Price Index plus 3 over 4-year moving periods, and to obtain total fund rates of return that are in the top third over 4-year moving periods when compared to a representative sample of Canadian pension funds with similar asset mix characteristics. The asset mix for the Canadian pension fund is targeted as follows:

	Minimum			Maximum
Total Equities		40	%		65	%
Foreign Equities		0	%		50	%
Bonds and Mortgages		25	%		50	%
Short-Term		0	%		15	%

Pension and postretirement future benefits expected to be paid

Cash Flows—We expect to contribute approximately $14.3 million to our pension plans and $4.4 million to our other postretirement benefit plans in 2014. Pension and postretirement benefits (which include expected future service) are expected to be paid out of the respective plans as follows:

(In thousands)	Pension Benefits		Other Benefits
2014	$	14,061	$	4,524
2015	$	13,522	$	4,621
2016	$	14,093	$	4,769
2017	$	14,129	$	4,942
2018	$	14,390	$	4,941
2019 – 2023 (in total)	$	75,315	$	25,554