EMPLOYEE BENEFIT PLANS

6 Months Ended

Jun. 30, 2012

Pension and Other Postretirement Benefit Plans

EMPLOYEE BENEFIT PLANS

EMPLOYEE BENEFIT PLANS

Pension and Other Postretirement Benefit Plans

Components of net periodic benefit cost recorded by the Company were as follows: 

	Pension Benefits						Other Postretirement Benefits
Millions of dollars	2012			2011			2012		2011
Three months ended June 30,
Service cost	$	4.9		$	4.6		$	1.2	$	1.1
Interest cost	10.6			11.1			3.0		3.0
Expected return on assets	(14.8		)	(16.2		)	—		—
Prior service cost amortization	1.8			1.8			0.3		0.3
Transition obligation amortization	—			—			0.1		0.2
Amortization of actuarial loss	4.6			3.0			0.2		0.1
Net periodic benefit cost	$	7.1		$	4.3		$	4.8	$	4.7
Six months ended June 30,
Service cost	$	9.7		$	9.2		$	2.5	$	2.2
Interest cost	21.3			22.2			6.0		6.0
Expected return on assets	(29.6		)	(32.4		)	—		—
Prior service cost amortization	3.5			3.6			0.5		0.6
Transition obligation amortization	—			—			0.3		0.4
Amortization of actuarial loss	9.3			6.0			0.4		0.2
Net periodic benefit cost	$	14.2		$	8.6		$	9.7	$	9.4

No contribution to the pension trust will be necessary in or for 2012, nor will limitations on benefit payments apply.   As authorized by the SCPSC, SCE&G defers all pension expense related to retail electric and gas operations as a regulatory asset.  Costs totaling $3.7 million and $7.4 million were deferred for the three and six months ended June 30, 2012, respectively. Costs totaling $2.3 million and $4.6 million were deferred for the corresponding periods in 2011.

SCE&G

Pension and Other Postretirement Benefit Plans

EMPLOYEE BENEFIT PLANS

EMPLOYEE BENEFIT PLANS

Pension and Other Postretirement Benefit Plans

Consolidated SCE&G participates in SCANA’s noncontributory defined benefit pension plan, which covers substantially all regular, full-time employees, and also participates in SCANA’s unfunded postretirement health care and life insurance programs, which provide benefits to active and retired employees.  Components of net periodic benefit cost recorded by Consolidated SCE&G were as follows:

	Pension Benefits						Other Postretirement Benefits
Millions of dollars	2012			2011			2012		2011
Three months ended June 30,
Service cost	$	3.8		$	3.7		$	1.0	$	0.9
Interest cost	9.1			9.5			2.3		2.3
Expected return on assets	(12.6		)	(13.7		)	—		—
Prior service cost amortization	1.5			1.5			0.2		0.2
Amortization of actuarial loss	4.0			2.5			0.1		0.1
Net periodic benefit cost	$	5.8		$	3.5		$	3.6	$	3.5
Six months ended June 30,
Service cost	$	7.7		$	7.4		$	2.0	$	1.8
Interest cost	18.2			18.9			4.7		4.7
Expected return on assets	(25.2		)	(27.5		)	—		—
Prior service cost amortization	2.9			3.0			0.4		0.4
Amortization of actuarial loss	8.0			5.1			0.2		0.1
Net periodic benefit cost	$	11.6		$	6.9		$	7.3	$	7.0

No contribution to the pension trust will be necessary in or for 2012, nor will limitations on benefit payments apply.   As authorized by the SCPSC, SCE&G defers all pension expense related to retail electric and gas operations as a regulatory asset. Costs totaling $3.7 million and $7.4 million were deferred for the three and six months ended June 30, 2012, respectively. Costs totaling $2.3 million and $4.6 million were deferred for the corresponding periods in 2011.