RETIREMENT BENEFITS (Tables)

12 Months Ended

Dec. 31, 2011

Changes in Benefit Obligations and Plan Assets as Well as Funded Status of Retirement Plans

The changes in benefit obligations and plan assets as well as the funded status of our retirement plans at December 31 are as follows:

	Pension Benefits						Other Postretirement Benefits
	2011			2010			2011			2010
	(Dollars in thousands)
Change in benefit obligation
Obligation at beginning of year	$	541,443		$	491,642		$	54,452		$	51,170
Service cost		13,857			13,428			862			918
Interest cost		28,519			28,200			2,441			2,782
Actuarial losses (gains)		52,417			35,243			(703	)		3,566
Plan amendments		(144	)		125			(408	)		—
Benefits paid		(24,973	)		(23,515	)		(4,436	)		(4,887	)
Curtailment gain		(449	)		—			(1,909	)		—
Participants’ contributions		—			—			832			903
Foreign currency exchange rate changes		(932	)		(3,680	)		—			—
Obligation at end of year		609,738			541,443			51,131			54,452
Change in plan assets
Fair value of plan assets at beginning of year		494,181			362,793			—			—
Actual return on plan assets		39,782			61,844			—			—
Employer contributions		887			93,059			3,604			3,984
Participants’ contributions		—			—			832			903
Benefits paid		(24,973	)		(23,515	)		(4,436	)		(4,887	)
Fair value of plan assets at end of year		509,877			494,181			—			—
Funded status	$	(99,861	)	$	(47,262	)	$	(51,131	)	$	(54,452	)
Amounts recognized in the consolidated balance sheets
Non-current asset	$	—		$	2,487		$	—		$	—
Current liabilities		(916	)		(839	)		(4,311	)		(4,629	)
Non-current liabilities		(98,945	)		(48,910	)		(46,820	)		(49,823	)
Net amount recognized	$	(99,861	)	$	(47,262	)	$	(51,131	)	$	(54,452	)
Amounts recognized in accumulated other comprehensive (loss) income
Net actuarial loss	$	166,722		$	121,334		$	6,304		$	9,254
Prior service cost (credit)		6,203			9,170			(17,688	)		(19,864	)
Net amount recognized	$	172,925		$	130,504		$	(11,384	)	$	(10,610	)

Items to be Recognized in 2012 as a Component of Net Periodic Cost

	Pension Benefits		Other Postretirement Benefits
	(Dollars in thousands)
Items to be recognized in 2012 as a component of net periodic cost
Net actuarial loss	$	12,351	$	278
Prior service cost (credit)		1,906		(2,616	)
Net periodic cost (credit) to be recorded in 2012	$	14,257	$	(2,338	)

Benefits Expected to Be Paid from Pension and Other Postretirement Benefit Plans, Which Reflect Future Years of Services and Medicare Subsidy Expected to Be Received

The benefits expected to be paid from our pension and other postretirement benefit plans, which reflect future years of services and the Medicare subsidy expected to be received, are as follows (dollars in thousands):

	Pension Benefits		Other Postretirement Benefits
2012	$	27,363	$	4,311
2013		28,769		4,380
2014		30,096		4,157
2015		31,480		3,837
2016		32,616		3,772
2017 — 2021		180,587		17,529
	$	330,911	$	37,986

Components of Net Periodic Benefit Cost

The components of the net periodic benefit cost for each of the years ended December 31 are as follows:

	Pension Benefits									Other Postretirement Benefits
	2011			2010			2009			2011			2010			2009
	(Dollars in thousands)
Service cost	$	13,857		$	13,428		$	13,634		$	862		$	918		$	781
Interest cost		28,519			28,200			27,657			2,441			2,782			2,916
Expected return on plan assets		(40,817	)		(35,524	)		(25,254	)		—			—			—
Amortization of prior service cost (credit)		2,042			2,065			2,221			(2,582	)		(2,567	)		(2,564	)
Amortization of actuarial losses		8,171			8,400			9,410			134			287			182
Net curtailment gain		(449	)		—			—			—			—			—
Net periodic benefit cost	$	11,323		$	16,569		$	27,668		$	855		$	1,420		$	1,315

Effect of a One Percentage Point Change in Assumed Health Care Cost Trend Rates

A one percentage point change in the assumed health care cost trend rates would have the following effects:

	1-Percentage Point Increase		1-Percentage Point Decrease
	(Dollars in thousands)
Effect on service and interest cost	$	138	$	(118	)
Effect on postretirement benefit obligation		1,740		(1,524	)

Multiemployer pension plans

Further information on these multiemployer plans for the years ended December 31, 2011, 2010 and 2009 is as follows:

			Pension Protection Act Zone Status				FIP / RP Status Pending / Implemented		Contributions								Expiration Dates of Collective Bargaining Agreements
Pension Fund	EIN/Pension Plan Number		2011		2010				2011		2010		2009		Surcharge Imposed
									(Dollars in thousands)
Central States, Southeast & Southwest Areas Pension Fund		36-6044243/001		Red		Red		Implemented	$	1,724	$	1,848	$	1,775		No		4/30/2013, 12/31/2013, 8/31/2014
United Food & Commercial Workers – Local 1 Pension Fund		16-6144007/001		Red		Red		Pending		107		102		102		No		12/31/2011
All Other										4,196		4,175		4,152
Total Contributions									$	6,027	$	6,125	$	6,029

Weighted Average Asset Allocation for Pension Plans and Target Allocation

The weighted average asset allocation for our pension plans at December 31, 2011 and 2010 and target allocation for 2011 was as follows:

	Target		Actual Allocation
	Allocation		2011		2010
Equity securities—U.S.		49%		47%		52%
Equity securities—International		9%		10%		10%
Debt securities		42%		42%		37%
Cash and cash equivalents		0%		1%		1%
		100%		100%		100%

Fair Value of Plan Assets by Asset Category

The fair value of our plan assets by asset category consisted of the following at December 31:

	2011		2010
	(Dollars in thousands)
Equity securities—U.S.	$	239,076	$	256,524
Equity securities—International		50,599		51,715
Debt securities		216,156		182,519
Cash and cash equivalents		4,046		3,423
	$	509,877	$	494,181

Benefit Obligations

Weighted Average Actuarial Assumptions

Our principal domestic pension and other postretirement benefit plans used the following weighted average actuarial assumptions to determine the benefit obligations at December 31:

	2011			2010
Discount rate		4.6	%		5.4	%
Expected return on plan assets		8.5	%		8.5	%
Rate of compensation increase		3.1	%		3.2	%
Health care cost trend rate:
Assumed for next year		7.8	%		8.0	%
Ultimate rate		5.0	%		4.5	%
Year that the ultimate rate is reached		2045			2027

Benefit Costs

Weighted Average Actuarial Assumptions

Our principal domestic pension and other postretirement benefit plans used the following weighted average actuarial assumptions to determine net periodic benefit cost for the years ended December 31:

	2011			2010			2009
Discount rate		5.4	%		5.9	%		6.3	%
Expected return on plan assets		8.5	%		8.5	%		8.5	%
Rate of compensation increase		3.2	%		3.4	%		3.4	%
Health care cost trend rate		8.0	%		8.0	%		7.9	%