Components Of Net Periodic Benefit Cost

9 Months Ended

Sep. 30, 2011

Components Of Net Periodic Benefit Cost

Components Of Net Periodic Benefit Cost

Note 2 – Components of Net Periodic Benefit Cost

Southwest has a noncontributory qualified retirement plan with defined benefits covering substantially all employees and a separate unfunded supplemental retirement plan ("SERP") which is limited to officers. Southwest also provides postretirement benefits other than pensions ("PBOP") to its qualified retirees for health care, dental, and life insurance.

	Qualified Retirement Plan
	Period Ended September 30,
	Three Months						Nine Months						Twelve Months
	2011			2010			2011			2010			2011			2010
(Thousands of dollars)
Service cost	$	4,431		$	4,233		$	13,293		$	12,699		$	17,526		$	16,546
Interest cost		9,319			8,904			27,957			26,711			36,860			35,343
Expected return on plan assets		(10,028	)		(9,135	)		(30,085	)		(27,404	)		(39,219	)		(36,209	)
Amortization of net loss		3,587			2,620			10,761			7,859			13,380			8,922
Net periodic benefit cost	$	7,309		$	6,622		$	21,926		$	19,865		$	28,547		$	24,602
	SERP
	Period Ended September 30,
	Three Months						Nine Months						Twelve Months
	2011			2010			2011			2010			2011			2010
(Thousands of dollars)
Service cost	$	54		$	93		$	163		$	279		$	256		$	327
Interest cost		441			511			1,324			1,533			1,836			2,050
Amortization of net loss		158			289			473			867			761			1,095
Net periodic benefit cost	$	653		$	893		$	1,960		$	2,679		$	2,853		$	3,472
	PBOP
	Period Ended September 30,
	Three Months						Nine Months						Twelve Months
	2011			2010			2011			2010			2011			2010
(Thousands of dollars)
Service cost	$	215		$	214		$	644		$	642		$	858		$	824
Interest cost		658			623			1,974			1,869			2,596			2,461
Expected return on plan assets		(595	)		(523	)		(1,785	)		(1,569	)		(2,309	)		(1,970	)
Amortization of transition obligation		217			216			650			650			867			867
Amortization of net loss		147			122			442			366			565			475
Net periodic benefit cost	$	642		$	652		$	1,925		$	1,958		$	2,577		$	2,657