8. Employee Benefit Plans

The Company sponsors a defined benefit pension plan, with benefits frozen as of March 1, 2012, and postretirement health and life insurance benefits for union employees. The Company also sponsors a cash balance pension plan for nonunion employees, with benefits frozen as of April 1, 2007, and certain management employees receive postretirement health and life insurance under grandfathered provisions of a terminated plan.

The Company amended its union pension plan on January 24, 2012 for the freeze of benefits effective March 1, 2012. This resulted in a reduction of the projected benefit obligation by $30.2 million which is the difference between the accumulated benefit obligation and projected benefit obligation at that date. The liability as of January 24, 2012 was measured using a discount rate of 4.54%. The union pension trust assets were also measured as of this date. The reduction in the net recorded liability of $33.4 million was used to offset actuarial losses previously recognized in accumulated other comprehensive loss.

The Company accrues the costs of pension and postretirement benefits over the period from the date of hire until the date the employee becomes fully eligible for benefits. The following provides the components of benefit costs for the three and nine months ended September 30, 2013 and 2012 (dollars in thousands):

Pension

	Three Months Ended						Nine Months Ended
	September 30,						September 30,
	2013			2012			2013			2012

Service cost (benefit)	$	—		$	(50	)	$	—		$	1,488
Interest cost	2,055			2,557			6,166			7,493
Expected asset return	(2,934		)	(2,890		)	(8,804		)	(8,601		)
Amortization of loss	148			131			444			373

Net periodic benefit cost	$	(731	)	$	(252	)	$	(2,194	)	$	753

Other Postretirement Benefits

	Three Months Ended				Nine Months Ended
	September 30,				September 30,
	2013		2012		2013		2012

Service cost	$	277	$	221	$	832	$	724
Interest cost	516		576		1,548		1,772
Amortization of loss	74		7		223		88

Net periodic benefit cost	$	867	$	804	$	2,603	$	2,584

The Company previously disclosed in its consolidated financial statements for the year ended December 31, 2012 that it expected to contribute $12.1 million to its pension plan in 2013. As of September 30, 2013, the Company has contributed $9.4 million. The Company presently anticipates contributing the full amount during the remainder of 2013.