PENSION BENEFITS AND POSTRETIREMENT BENEFITS OTHER THAN PENSIONS

3 Months Ended

Mar. 31, 2012

Notes To Consolidated Financial Statements [Abstract]

Pension and Other Postretirement Benefits Disclosure [Text Block]

9.       Pension Benefits and Postretirement BenefitsOther Than Pensions

NUSCO sponsors a Pension Plan, which is subject to the provisions of ERISA, as amended by the PPA of 2006. The Pension Plan covers nonbargaining unit employees (and bargaining unit employees, as negotiated) of NU, including CL&P, PSNH, and WMECO, hired before 2006 (or as negotiated, for bargaining unit employees). In addition, NU maintains a SERP, which provides benefits to eligible participants who are officers of NU. This plan provides benefits that would have been provided to these employees under the Pension Plan if certain Internal Revenue Code limitations were not imposed. On behalf of NU's retirees, NUSCO also sponsors plans that provide certain retiree health care benefits, primarily medical and dental, and life insurance benefits through a PBOP Plan.

The components of net periodic benefit expense, the portion of pension amounts capitalized related to employees working on capital projects, and intercompany allocations not included in the net periodic benefit expense amounts for the Pension and PBOP Plans are as follows:

		For the Three Months Ended March 31, 2012
		Pension and SERP								PBOP
(Millions of Dollars)		NU		CL&P		PSNH		WMECO		NU		CL&P		PSNH		WMECO
Service Cost		$	15.3	$	5.4	$	2.9	$	1.1	$	2.3	$	0.8	$	0.5	$	0.2
Interest Cost			38.1		12.8		6.1		2.6		6.2		2.4		1.2		0.5
Expected Return on Plan Assets			(42.5)		(17.5)		(6.7)		(4.1)		(5.6)		(2.3)		(1.1)		(0.5)
Actuarial Loss			30.1		11.9		3.9		2.5		5.5		2.0		1.0		0.3
Prior Service Cost/(Credit)			2.1		0.9		0.4		0.2		(0.1)		-		-		-
Net Transition Obligation Cost			-		-		-		-		2.9		1.5		0.6		0.3
Total Net Periodic Benefit Expense		$	43.1	$	13.5	$	6.6	$	2.3	$	11.2	$	4.4	$	2.2	$	0.8
Related Intercompany
	Allocations		N/A	$	10.6	$	2.5	$	2.0		N/A	$	2.1	$	0.5	$	0.4
Capitalized Pension Expense		$	10.6	$	6.6	$	2.0	$	1.2
		For the Three Months Ended March 31, 2011
		Pension and SERP								PBOP
(Millions of Dollars)		NU		CL&P		PSNH		WMECO		NU		CL&P		PSNH		WMECO
Service Cost		$	13.7	$	4.8	$	2.6	$	1.0	$	2.4	$	0.7	$	0.5	$	0.1
Interest Cost			38.2		13.1		6.2		2.7		6.4		2.5		1.2		0.6
Expected Return on Plan Assets			(43.1)		(19.2)		(5.3)		(4.4)		(5.4)		(2.1)		(1.1)		(0.5)
Actuarial Loss			21.0		8.4		2.6		1.7		4.5		1.7		0.7		0.3
Prior Service Cost/(Credit)			2.4		1.0		0.5		0.2		(0.1)		-		-		-
Net Transition Obligation Cost			-		-		-		-		2.9		1.5		0.6		0.3
Total Net Periodic Benefit Expense		$	32.2	$	8.1	$	6.6	$	1.2	$	10.7	$	4.3	$	1.9	$	0.8
Related Intercompany
	Allocations		N/A	$	8.3	$	2.0	$	1.6		N/A	$	2.1	$	0.4	$	0.5
Capitalized Pension Expense		$	7.6	$	4.5	$	1.8	$	0.7

Contributions: NU's policy is to annually fund the Pension Plan in an amount at least equal to an amount that will satisfy the requirements of ERISA, as amended by the PPA of 2006, and the Internal Revenue Code. Based on the current status of the Pension Plan, NU is required to make a contribution to the Pension Plan of approximately $197.3 million in 2012 to meet minimum funding requirements under the PPA. Contributions are being made in installments and began in January 2012. NU made contributions totaling $92 million ($87.7 million of which was contributed by PSNH) in the first quarter of 2012.