Compensation and Benefit Plans

9 Months Ended

Sep. 30, 2011

Compensation and Benefit Plans

Compensation and Benefit Plans

Note 8. Compensation and Benefit Plans

Pension Plans and Postretirement Benefits Other Than Pensions

Pension Plans

During the nine months ended September 30, 2011, EME made contributions of $19 million, and during the remainder of 2011, expects to make $4 million of additional contributions.

The following were components of pension expense:

	Three Months Ended September 30,						Nine Months Ended September 30,
(in millions)	2011			2010			2011			2010
Service cost	$	4		$	4		$	13		$	12
Interest cost		4			3			11			10
Expected return on plan assets		(3	)		(2	)		(9	)		(7	)
Amortization of net loss		—			1			2			2
Total expense	$	5		$	6		$	17		$	17

Postretirement Benefits Other Than Pensions

During the nine months ended September 30, 2011, EME made contributions of $1 million, and during the remainder of 2011, expects to make $1 million of additional contributions.

The following were components of postretirement benefits expense:

	Three Months Ended September 30,				Nine Months Ended September 30,
(in millions)	2011		2010		2011		2010
Service cost	$	—	$	1	$	2	$	2
Interest cost		2		1		5		4
Amortization of prior service credit		—		—		—		(1	)
Amortization of net loss		1		—		1		—
Total expense	$	3	$	2	$	8	$	5