PENSION AND OTHER BENEFITS (Tables)

12 Months Ended

Dec. 31, 2012

PENSION AND OTHER BENEFITS [Abstract]

The following table represents the change in benefit obligation, change in plan assets and the respective funded status of UIL Holdings' pension and other postretirement plans as of December 31, 2012 and 2011. Plan assets and obligations have been measured as of December 31, 2012 and 2011.

							Other Post-Retirement
	Pension Benefits						Benefits
	2012			2011			2012			2011
Change in Benefit Obligation:	(In Thousands)
Benefit obligation at beginning of year	$	792,101		$	776,131		$	122,382		$	130,633
Net transfer in due to acquistion of the Gas Companies		-			-			-			-
Service cost		12,032			12,574			1,604			2,164
Interest cost		41,470			40,484			6,246			6,634
Participant contributions		-			-			1,305			3,020
Actuarial (gain) loss		149,088			5,492			12,500			(9,072	)
Benefits paid (including expenses)		(44,083	)		(42,580	)		(7,350	)		(10,997	)
Benefit obligation at end of year	$	950,608		$	792,101		$	136,687		$	122,382

Change in Plan Assets:
Fair value of plan assets at beginning of year	$	548,122		$	502,327		$	37,573		$	40,762
Net transfer in due to acquistion of the Gas Companies		-			-			-			-
Actual return on plan assets		71,595			13,848			4,092			501
Employer contributions		49,427			74,542			-			-
Participant contributions		-			-			1,305			3,020
Benefits paid (including expenses)		(44,083	)		(42,596	)		(4,430	)		(6,711	)
Fair value of plan assets at end of year	$	625,061		$	548,121		$	38,540		$	37,572

Funded Status at December 31:
Projected benefits (less than) greater than plan assets	$	325,547		$	243,980		$	98,147		$	84,810

Amounts Recognized in the Statement of Financial Position consist of:
Non-current assets	$	-		$	-		$	-		$	-
Current liabilities	$	3,488		$	914		$	214		$	194
Non-current liabilities	$	322,059		$	243,065		$	97,933		$	84,615

Amounts Recognized as a Regulatory Asset consist of:
Transition obligation (asset)	$	-		$	-		$	-		$	392
Prior service cost		859			1,506			45			(23	)
Net (gain) loss		244,032			134,838			19,643			9,847
Total recognized as a regulatory asset	$	244,891		$	136,344		$	19,688		$	10,216


Information on Pension Plans with an Accumulated Benefit Obligation in excess of Plan Assets:
Projected benefit obligation	$	950,608	$	776,133	N/A	N/A
Accumulated benefit obligation	$	858,803	$	709,235	N/A	N/A
Fair value of plan assets	$	625,060	$	532,595	N/A	N/A


The following weighted average actuarial assumptions were used in calculating the benefit obligations at December 31:
Discount rate (Qualified Plans)	4.25	%	5.30	%	N/A		N/A
Discount rate (Non-Qualified Plans)	4.00	%	5.05	%	N/A		N/A
Discount rate (Other Post-Retirement Benefits)	N/A		N/A		4.00-4.25	%	5.05-5.30	%
Average wage increase	3.50-3.80	%	3.50-3.80	%	N/A		N/A
Health care trend rate (current year)	N/A		N/A		7.50	%	8.00	%
Health care trend rate (2019-2028 forward)	N/A		N/A		5.00	%	5.00	%

Change in Plan Assets

							Other Post-Retirement
	Pension Benefits						Benefits
	2012			2011			2012			2011
Change in Benefit Obligation:	(In Thousands)
Benefit obligation at beginning of year	$	792,101		$	776,131		$	122,382		$	130,633
Net transfer in due to acquistion of the Gas Companies		-			-			-			-
Service cost		12,032			12,574			1,604			2,164
Interest cost		41,470			40,484			6,246			6,634
Participant contributions		-			-			1,305			3,020
Actuarial (gain) loss		149,088			5,492			12,500			(9,072	)
Benefits paid (including expenses)		(44,083	)		(42,580	)		(7,350	)		(10,997	)
Benefit obligation at end of year	$	950,608		$	792,101		$	136,687		$	122,382

Change in Plan Assets:
Fair value of plan assets at beginning of year	$	548,122		$	502,327		$	37,573		$	40,762
Net transfer in due to acquistion of the Gas Companies		-			-			-			-
Actual return on plan assets		71,595			13,848			4,092			501
Employer contributions		49,427			74,542			-			-
Participant contributions		-			-			1,305			3,020
Benefits paid (including expenses)		(44,083	)		(42,596	)		(4,430	)		(6,711	)
Fair value of plan assets at end of year	$	625,061		$	548,121		$	38,540		$	37,572

Funded Status at December 31:
Projected benefits (less than) greater than plan assets	$	325,547		$	243,980		$	98,147		$	84,810

Amounts Recognized in the Statement of Financial Position consist of:
Non-current assets	$	-		$	-		$	-		$	-
Current liabilities	$	3,488		$	914		$	214		$	194
Non-current liabilities	$	322,059		$	243,065		$	97,933		$	84,615

Amounts Recognized as a Regulatory Asset consist of:
Transition obligation (asset)	$	-		$	-		$	-		$	392
Prior service cost		859			1,506			45			(23	)
Net (gain) loss		244,032			134,838			19,643			9,847
Total recognized as a regulatory asset	$	244,891		$	136,344		$	19,688		$	10,216


Information on Pension Plans with an Accumulated Benefit Obligation in excess of Plan Assets:
Projected benefit obligation	$	950,608	$	776,133	N/A	N/A
Accumulated benefit obligation	$	858,803	$	709,235	N/A	N/A
Fair value of plan assets	$	625,060	$	532,595	N/A	N/A


The following weighted average actuarial assumptions were used in calculating the benefit obligations at December 31:
Discount rate (Qualified Plans)	4.25	%	5.30	%	N/A		N/A
Discount rate (Non-Qualified Plans)	4.00	%	5.05	%	N/A		N/A
Discount rate (Other Post-Retirement Benefits)	N/A		N/A		4.00-4.25	%	5.05-5.30	%
Average wage increase	3.50-3.80	%	3.50-3.80	%	N/A		N/A
Health care trend rate (current year)	N/A		N/A		7.50	%	8.00	%
Health care trend rate (2019-2028 forward)	N/A		N/A		5.00	%	5.00	%

Information on Pension Plans with an Accumulated Benefit Obligations in excess of Plan Assets


Information on Pension Plans with an Accumulated Benefit Obligation in excess of Plan Assets:
Projected benefit obligation	$	950,608	$	776,133	N/A	N/A
Accumulated benefit obligation	$	858,803	$	709,235	N/A	N/A
Fair value of plan assets	$	625,060	$	532,595	N/A	N/A

Weighted average actuarial assumptions used in calculating benefit obligations.


The following weighted average actuarial assumptions were used in calculating the benefit obligations at December 31:
Discount rate (Qualified Plans)	4.25	%	5.30	%	N/A		N/A
Discount rate (Non-Qualified Plans)	4.00	%	5.05	%	N/A		N/A
Discount rate (Other Post-Retirement Benefits)	N/A		N/A		4.00-4.25	%	5.05-5.30	%
Average wage increase	3.50-3.80	%	3.50-3.80	%	N/A		N/A
Health care trend rate (current year)	N/A		N/A		7.50	%	8.00	%
Health care trend rate (2019-2028 forward)	N/A		N/A		5.00	%	5.00	%

Components of net Periodic Benefit Cost for Pension and Other Postretirement Benefits (OPEB)

	For the Year Ended December 31,
	Pension Benefits									Other Post-Retirement Benefits
	2012			2011			2010			2012			2011			2010
	(In Thousands)
Components of net periodic benefit cost:
Service cost	$	12,032		$	12,574		$	7,675		$	1,604		$	2,164		$	1,450
Interest cost		41,470			40,484			22,702			6,246			6,634			4,285
Expected return on plan assets		(44,874	)		(42,588	)		(20,739	)		(2,503	)		(2,965	)		(1,910	)
Amortization of:
Prior service costs		647			643			646			(69	)		(101	)		(103	)
Transition obligation (asset)		-			-			-			392			1,020			1,058
Actuarial (gain) loss		13,173			14,032			(23,978	)		965			2,008			690
Net periodic benefit cost	$	22,448		$	25,145		$	(13,694	)	$	6,635		$	8,760		$	5,470

Other Changes in Plan Assets and Benefit Obligations Recognized as a Regulatory Asset:
Net (gain) loss	$	122,368		$	34,524		$	21,425		$	10,760		$	(6,608	)	$	2,173
Amortization of:
Prior service costs		(647	)		(626	)		(646	)		69			101			103
Transition obligation (asset)		-			-			-			(392	)		(1,020	)		(1,058	)
Actuarial (gain) loss		(13,173	)		(14,032	)		23,978			(965	)		(2,008	)		(690	)
Total recognized as regulatory asset	$	108,548		$	19,866		$	44,757		$	9,472		$	(9,535	)	$	528

Total recognized in net periodic benefit costs and regulatory asset	$	130,996		$	45,011		$	31,063		$	16,107		$	(775	)	$	5,998

Estimated Amortizations from Regulatory Assets into Net Periodic Benefit Cost for the period January 1, 2012 - December 31, 2012:
Amortization of transition obligation	$	-		$	-		$	-		$	-		$	392		$	1,020
Amortization of prior service cost		605			647			643			(50	)		(69	)		(101	)
Amortization of net (gain) loss		20,808			13,173			14,032			1,939			965			2,008
Total estimated amortizations	$	21,413		$	13,820		$	14,675		$	1,889		$	1,288		$	2,927

Weighted average actuarial assumption used in calculating net periodic benefit cost


The following actuarial weighted average assumptions were used in calculating net periodic benefit cost:
Discount rate	5.05-5.30	%	5.10-5.35	%	5.00-5.35	%	5.05-5.30	%	5.15-5.30	%	5.00-5.30	%
Average wage increase	3.50-3.80	%	3.50-3.80	%	3.80-4.00	%	N/A		N/A		N/A
Return on plan assets	7.75-8.00	%	8.25-8.50	%	8.25-8.50	%	5.56-8.00	%	5.86-8.25	%	5.89-8.25	%
Health care trend rate (current year)	N/A		N/A		N/A		8.00	%	7.80-8.50	%	8.10-8.50	%
Health care trend rate (2019 forward)	N/A		N/A		N/A		5.00	%	4.50-5.00	%	4.50-5.00	%

Effect of one percentage change in assumed health care cost trend rate

A one percentage point change in the assumed health care cost trend rate would have the following effects:

	1% Increase		1% Decrease
	(In Thousands)
Aggregate service and interest cost components	$	836	$	(676	)
Accumulated post-retirement benefit obligation	$	12,162	$	(10,000	)

Expected future benefit payments

The following benefit payments, which reflect expected future service, as appropriate, are expected to be paid:

			Other
			Postretirement
Year	Pension Benefits		Benefits
	(In Thousands)
2013	$	49,350	$	7,446
2014	$	48,447	$	7,593
2015	$	49,385	$	7,713
2016	$	49,625	$	7,750
2017	$	50,484	$	7,903
2018-2022	$	265,991	$	40,146