XML 45 R13.htm IDEA: XBRL DOCUMENT v2.4.0.8
PENSION AND OTHER BENEFITS
 9 Months Ended
Sep. 30, 2013
PENSION AND OTHER BENEFITS [Abstract]  
PENSION AND OTHER BENEFITS
(G)  PENSION AND OTHER BENEFITS

During the nine-months ended September 30, 2013, UIL Holdings made pension contributions of approximately $55 million.  No further contributions are expected during the remainder of 2013.
 
The following tables represent the components of net periodic benefit cost for pension and other postretirement benefits as well as the actuarial weighted-average assumptionsused in calculating net periodic benefit cost for the three- and nine‑month periods ended September 30, 2013 and 2012:

 
 
Three Months Ended September 30,
 
 
 
Pension Benefits
  
Other Postretirement Benefits
 
 
 
2013
  
2012
  
2013
  
2012
 
 
 
(In Thousands)
 
Components of net periodic benefit cost:
            
Service cost
 
$
3,696
  
$
3,008
  
$
481
  
$
401
 
Interest cost
  
9,988
   
10,368
   
1,384
   
1,562
 
Expected return on plan assets
  
(12,863
)
  
(11,219
)
  
(648
)
  
(626
)
Amortization of:
                
Prior service costs
  
151
   
162
   
(13
)
  
(17
)
Transition obligation
  
-
   
-
   
-
   
98
 
Actuarial loss
  
5,208
   
3,294
   
444
   
241
 
Settlements (1)
  
632
   
-
   
-
   
-
 
Net periodic benefit cost
 
$
6,812
  
$
5,613
  
$
1,648
  
$
1,659
 

 
 
Nine Months Ended September 30,
 
 
 
Pension Benefits
  
Other Postretirement Benefits
 
 
 
2013
  
2012
  
2013
  
2012
 
 
 
(In Thousands)
 
Components of net periodic benefit cost:
            
Service cost
 
$
11,088
  
$
9,024
  
$
1,443
  
$
1,203
 
Interest cost
  
29,964
   
31,104
   
4,152
   
4,686
 
Expected return on plan assets
  
(38,589
)
  
(33,657
)
  
(1,944
)
  
(1,878
)
Amortization of:
                
Prior service costs
  
453
   
486
   
(39
)
  
(51
)
Transition obligation
  
-
   
-
   
-
   
294
 
Actuarial loss
  
15,624
   
9,882
   
1,332
   
723
 
Settlements (1)
  
632
   
-
   
-
   
-
 
Net periodic benefit cost
 
$
19,172
  
$
16,839
  
$
4,944
  
$
4,977
 

 
 
Three and Nine Months Ended September 30,
 
 
 
Pension Benefits
  
Other Postretirement Benefits
 
 
 
2013
  
2012
  
2013
  
2012
 
 
            
Discount rate
  
4.00% - 4.25
%
  
5.05% - 5.30
%
  
4.00% - 4.25
%
  
5.05% - 5.30
%
Average wage increase
  
3.50% - 3.80
%
  
3.50% - 3.80
%
  
N/
A
  
N/
A
Return on plan assets
  
7.75% - 8.00
%
  
7.75% - 8.00
%
  
5.56% - 8.00
%
  
5.56% - 8.00
%
Composite health care trend rate (current year)
  
N/
A
  
N/
A
  
7.50
%
  
8.00
%
Composite health care trend rate (2018 forward)
  
N/
A
  
N/
A
  
5.00
%
  
5.00
%
 
(1) Reflects settlement charges resulting from a distribution to a former employee upon retirement
N/A – not applicable