Pension and Other Postretirement Benefit Plans (Tables)

12 Months Ended

Dec. 31, 2012

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)	2012			2011			2012			2011
Change in benefit obligation:
Benefit obligation—beginning of period	$	234,247		$	221,851		$	80,876		$	80,202
Service cost		1,785			1,571			478			452
Interest cost		11,198			12,266			3,999			4,401
Actuarial losses (gains)		25,532			15,908			4,644			(48	)
Benefits paid		(15,653	)		(14,662	)		(4,106	)		(4,307	)
Foreign currency exchange rate changes		3,401			(2,687	)		558			(490	)
Curtailment		(804	)		—			—			—
Incurred retiree drug subsidy reimbursements		—			—			170			158
Plan participant's contributions		—			—			506			508
Benefit obligation—end of period		259,706			234,247			87,125			80,876

Accumulated benefit obligation	$	259,015		$	233,653		$	—		$	—

Change in plan assets:
Fair value of assets—beginning of period		183,447			185,217			—			—
Actual return on plan assets		21,166			4			—			—
Employer contributions		11,153			15,387			3,600			3,799
Plan participant's contributions		—			—			506			508
Benefits paid		(15,653	)		(14,662	)		(4,106	)		(4,307	)
Foreign currency exchange rate changes		3,155			(2,499	)		—			—
Fair value of assets—end of period		203,268			183,447			—			—
Reconciliation of funded status:
Unfunded status	$	(56,438	)	$	(50,800	)	$	(87,125	)	$	(80,876	)
Amounts recorded in the consolidated balance sheets:
Prepaid benefit cost	$	—		$	63			—			—
Accrued benefit liability		(56,438	)		(50,863	)	$	(87,125	)	$	(80,876	)
Accumulated other comprehensive loss (income)		53,420			38,447			6,370			1,571
Net amount recognized	$	(3,018	)	$	(12,353	)	$	(80,755	)	$	(79,305	)
Amounts recorded in AOCI in the following fiscal year:

Amortization of prior service (credit) cost		44						—
Amortization of net (gain)/loss		2,697						113
Total amortization	$	2,741					$	113

Components of net periodic benefit cost

Components of Net Periodic Benefit Cost:

Pension Benefits	Successor									Predecessor
	Year Ended December 31,						Period from February 26 to December 31,			Period from January 1 to February 26,
(In thousands)	2012			2011			2010			2010
Service cost-benefits earned during the period	$	1,785		$	1,571		$	1,125		$	264
Interest cost on projected benefit obligation		11,198			12,266			9,910			1,956
Expected return on plan assets		(11,800	)		(12,936	)		(10,301	)		(2,204	)
Prior service cost (net)		44			44			—			51
Other amortization (net)		1,035			59			—			591
Total benefits cost charged to income	$	2,262		$	1,004		$	734		$	658

Recognized in other comprehensive income (loss):
Amortization of net transition (asset) obligation	$	(1,035	)	$	(59	)	$	—		$	—
Prior service (credit) cost		—			—			498			—
Amortization of prior service (credit) cost		(44	)		(44	)		—			—
Change in net actuarial (gain) loss		16,052			28,073			9,978			—
Amount of net actuarial valuation (gain) loss		—			—			—			—
Total (gain) loss recognized in other comprehensive income		14,973			27,970			10,476			—
Total (gain) loss recognized in total benefits charged to income and other comprehensive income	$	17,235		$	28,974		$	11,210		$	658

Other Benefits	Successor								Predecessor
	Year Ended December 31,						Period from February 26 to December 31,		Period from January 1 to February 26,
(In thousands)	2012			2011			2010		2010
Service cost-benefits earned during the period	$	478		$	452		$	362	$	60
Interest cost on projected benefit obligation		3,999			4,401			3,771		636
Prior service cost (net)		—			—			—		(262	)
Other amortization (net)		(34	)		(103	)		—		(1	)
Total benefits cost charged to income	$	4,443		$	4,750		$	4,133	$	433

Recognized in other comprehensive income (loss):
Amortization of net transition (asset) obligation	$	35		$	103		$	—	$	—
Change in net actuarial (gain) loss		4,764			(151	)		1,619		—
Total (gain) loss recognized in other comprehensive income		4,799			(48	)		1,619		—
Total (gain) loss recognized in total benefits charged to income and other comprehensive income	$	9,242		$	4,702		$	5,752	$	433

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
	2012			2011			2012			2011
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

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

	Pension Benefits						Other Benefits
	2012			2011			2012			2011
Average discount rate		4.89	%		5.45	%		4.91	%		5.48	%
Rate of increase in future compensation levels		3.00	%		3.00	%		N/A			N/A
Expected long-term rate of return on assets		6.35	%		6.96	%		N/A			N/A

Assumed health care cost trend rates

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

	2012			2011
Health care cost trend rate assumed for next year		8.08	%		8.34	%
Rate to which the cost trend rate is assumed to decline		4.82	%		5.00	%
Year that the rate reaches the ultimate trend rate		2022			2019

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 2012:

	1-Percentage- Point Increase		1-Percentage- Point Decrease
Effect on total of service and interest cost	$	1,143	$	(699	)
Effect on postretirement benefit obligation	$	11,810	$	(9,643	)

Allocation of plan assets

(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	%

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, 2011, are presented in the following table:

(In thousands)	Level 1			Level 2			Level 3			Total			% of Total
Cash and cash equivalents	$	6,486		$	—		$	—		$	6,486			4	%
Equity securities:
U.S. large-cap		8,659			8,286			—			16,945			9	%
U.S. mid-cap		10,043			5,155			—			15,198			8	%
U.S. small-cap		—			2,744			—			2,744			2	%
U.S. indexed		—			14,391			—			14,391			8	%
Canadian large-cap		20,419			—			—			20,419			11	%
Canadian mid-cap		9,471			—			—			9,471			5	%
Canadian small-cap		2,215			—			—			2,215			1	%
Large growth		—			8,550			—			8,550			5	%
Pooled equities		—			2,414			—			2,414			1	%
International markets		—			22,106			—			22,106			12	%
Fixed income securities:
Government bonds		9,820			11,108			—			20,928			11	%
Corporate bonds		25,595			15,985			—			41,580			23	%
Total assets at fair value	$	92,708		$	90,739		$	—		$	183,447			100	%
% of fair value hierarchy		51	%		49	%		—	%		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		15	%		17	%		25	%
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 $13.1 million to our pension plans and $4.4 million to our other postretirement benefit plans in 2013. 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
2013	$	14,221	$	4,435
2014	$	13,713	$	4,511
2015	$	14,136	$	4,599
2016	$	14,159	$	4,687
2017	$	14,240	$	4,820
2018 – 2022 (in total)	$	76,318	$	24,666