Pension Plan and Other Postretirement Benefits

9 Months Ended

Sep. 30, 2020

Retirement Benefits [Abstract]

Pension Plan and Other Postretirement Benefits

Pension Plan and Other Postretirement Benefits

The Company provides a qualified, defined-benefit, non-contributory pension plan for substantially all employees. The Company makes annual contributions to fund the amounts accrued for in the qualified pension plan. The Company also maintains an unfunded, non-qualified, supplemental executive retirement plan. The costs of the plans are charged to expense or are capitalized in utility plant as appropriate.

The Company offers medical, dental, vision, and life insurance benefits for retirees and their spouses and dependents. Participants are required to pay a premium, which offsets a portion of the cost.

Cash contributions made by the Company to the pension plans were $25.8 million and $12.5 million for the nine months ended September 30, 2020 and 2019, respectively. Cash contributions made by the Company to the other postretirement benefit plans were $5.7 million and $5.6 million for the nine months ended September 30, 2020 and 2019, respectively. The total 2020 estimated cash contribution to the pension plans and other postretirement benefits plans are expected to be approximately $38.0 million and $7.5 million, respectively.

The following tables list components of net periodic benefit costs for the pension plans and other postretirement benefits. The data listed under “pension plan” includes the qualified pension plan and the non-qualified supplemental executive retirement plan. The data listed under “other benefits” is for all other postretirement benefits.

	Three Months Ended September 30
	Pension Plan				Other Benefits
	2020		2019		2020		2019
Service cost	$	9,378	$	6,910	$	1,746	$	2,082
Interest cost	6,440		6,941		808		1,407
Expected return on plan assets	(8,284)		(7,581)		(1,804)		(1,475)
Amortization of prior service cost	1,058		1,262		50		49
Recognized net actuarial loss	3,208		1,821		(27)		214
Net periodic benefit cost	$	11,800	$	9,353	$	773	$	2,277

	Nine Months Ended September 30
	Pension Plan				Other Benefits
	2020		2019		2020		2019
Service cost	$	27,002	$	20,039	$	5,959	$	5,606
Interest cost	19,306		20,225		3,229		4,081
Expected return on plan assets	(24,815)		(22,714)		(5,427)		(4,346)
Amortization of prior service cost	3,172		3,786		148		148
Recognized net actuarial loss	9,599		4,445		—		421
Net periodic benefit cost	$	34,264	$	25,781	$	3,909	$	5,910

Service cost portion of the pension plan and other postretirement benefits is recognized in "administrative and general" expenses within the Condensed Consolidated Statements of Income. Other components of net periodic benefit costs include interest costs, expected return on plan assets, amortization of prior service costs, and recognized net actuarial loss and are reported together as "other components of net periodic benefit cost" within the Condensed Consolidated Statements of Income.