Benefit Plans

6 Months Ended

Jun. 30, 2011

Benefit Plans

Benefit Plans

NOTE 12. Benefit Plans

BB&T provides various benefit plans to substantially all employees, including employees of acquired entities. Employees of acquired entities generally participate in existing BB&T plans after consummation of the business combinations. The plans of acquired institutions are typically merged into the BB&T plans after consummation of the mergers, and, under these circumstances, credit is usually given to these employees for years of service at the acquired institution for vesting and eligibility purposes. The Colonial transaction, as an asset purchase, was handled differently from typical mergers. The retirement plans of Colonial were not assumed by BB&T, and as such, were not merged into the BB&T plans. Credit for years of service with Colonial, where given, was determined on a plan-by-plan basis with regard to the participation of former Colonial employees in BB&T's plans.

The following table summarizes the components of net periodic benefit cost recognized for BB&T's pension plans for the three and six months ended June 30, 2011 and 2010, respectively:

	Pension Plans
	Qualified						Nonqualified
	Three Months Ended June 30,						Three Months Ended June 30,
	2011			2010			2011		2010
	(Dollars in millions)
Service cost	$	27		$	20		$	1	$	1
Interest cost		23			21			3		2
Estimated return on plan assets		(49	)		(45	)		—		—
Amortization and other		6			6			1		—
Net periodic benefit cost	$	7		$	2		$	5	$	3

	Pension Plans
	Qualified						Nonqualified
	Six Months Ended June 30,						Six Months Ended June 30,
	2011			2010			2011		2010
	(Dollars in millions)
Service cost	$	53		$	40		$	3	$	2
Interest cost		46			42			5		4
Estimated return on plan assets		(98	)		(89	)		—		—
Amortization and other		13			11			2		1
Net periodic benefit cost	$	14		$	4		$	10	$	7

BB&T makes contributions to the qualified pension plan in amounts between the minimum required for funding standard accounts and the maximum amount deductible for federal income tax purposes. A discretionary contribution of $61 million was made to the qualified pension plan during the first six months of 2010. Management is not required to, and currently has no plans to, make a contribution to the qualified pension plan in 2011; however, such a contribution may be made during 2011, if deemed appropriate.