Defined Benefit Pension and Other Postretirement Plans

9 Months Ended

Jun. 30, 2013

Defined Benefit Pension Plans and Defined Benefit Postretirement Plans Disclosure [Abstract]

Defined Benefit Pension and Other Postretirement Plans

Defined Benefit Pension and Other Postretirement Plans

We currently sponsor one defined benefit pension plan (“Pension Plan”) for employees hired prior to January 1, 2009, of UGI Utilities, PNG, CPG, UGI and certain of UGI’s other wholly owned domestic subsidiaries. In addition, we provide postretirement health care benefits to certain retirees and postretirement life insurance benefits to nearly all active and retired employees.

Net periodic pension expense and other postretirement benefit costs relating to our employees include the following components:

	Pension Benefits						Other Postretirement Benefits
	Three Months Ended						Three Months Ended
	June 30,						June 30,
	2013			2012			2013			2012
Service cost	$	2,052		$	1,756		$	51		43
Interest cost	5,196			5,594			143			165
Expected return on assets	(6,197		)	(5,940		)	(133		)	(127		)
Amortization of:
Prior service cost (benefit)	62			62			(105		)	(105		)
Actuarial loss	3,366			1,963			91			99
Net benefit cost	4,479			3,435			47			75
Change in associated regulatory liabilities	—			—			815			784
Net expense	$	4,479		$	3,435		$	862		$	859
	Pension Benefits						Other Postretirement Benefits
	Nine Months Ended						Nine Months Ended
	June 30,						June 30,
	2013			2012			2013			2012
Service cost	$	6,158		$	5,269		$	154		$	129
Interest cost	15,587			16,782			428			497
Expected return on assets	(18,594		)	(17,822		)	(396		)	(380		)
Amortization of:
Prior service cost (benefit)	187			187			(317		)	(317		)
Actuarial loss	10,098			5,890			273			296
Net benefit cost	13,436			10,306			142			225
Change in associated regulatory liabilities	—			—			2,446			2,353
Net expense	$	13,436		$	10,306		$	2,588		$	2,578

Pension Plan assets are held in trust and consist principally of publicly traded, diversified equity and fixed income mutual funds and UGI Common Stock. It is our general policy to fund amounts for Pension Plan benefits equal to at least the minimum contribution required by ERISA. Based upon current assumptions, the Company estimates that it will be required to contribute approximately $2,500 to the Pension Plan during the remainder of Fiscal 2013. During the nine months endedJune 30, 2013 and 2012, the Company made contributions to the Pension Plan of $13,365 and $25,442, respectively. UGI Utilities has established a Voluntary Employees’ Beneficiary Association (“VEBA”) trust to pay UGI Gas’ and Electric Utility’s postretirement health care and life insurance benefits referred to above by depositing into the VEBA the annual amount of postretirement benefit costs determined under GAAP. The difference between such amounts calculated under GAAP and the amounts included in UGI Gas’ and Electric Utility’s rates is deferred for future recovery from, or refund to, ratepayers. Amounts contributed to the VEBA by UGI Utilities were not material during the nine months endedJune 30, 2013 and 2012, nor are they expected to be material for all of Fiscal 2013.

We also participate in an unfunded and non-qualified defined benefit supplemental executive retirement plan. Net benefit costs associated with this plan for all periods presented were not material.