3. Benefit Plans

The table below outlines the components of the Company's net periodic expense (benefit) recognized during the three month and nine month periods ended September 30, 2012 and 2011 for its pension and other postretirement benefit plans:

	For the three months ended September 30,
	Pension Benefits						Other Postretirement Benefits
(dollars in thousands)	2012			2011			2012			2011

Service cost	$	11			11		$	7			7
Interest cost		364			378			26			25
Expected return on plan assets		(473	)		(496	)		(113	)		(111	)
Amortization of net loss (gain)		103			39			(4	)		(17	)
Amortization of prior service credit		-			-			(66	)		(66	)
Net periodic expense (benefit)	$	5			(68	)		(150	)		(162	)

	For the nine months ended September 30,
	Pension Benefits						Other Postretirement Benefits
(dollars in thousands)		2012			2011			2012			2011

Service cost	$	35			34			23			20
Interest cost		1,094			1,136			77			74
Expected return on plan assets		(1,421	)		(1,489	)		(338	)		(335	)
Amortization of net loss (gain)		307			117			(14	)		(53	)
Amortization of prior service credit		-			-			(197	)		(197	)
Net periodic expense (benefit)	$	15			(202	)		(449	)		(491	)

The Company previously disclosed in its consolidated financial statements for the year ended December 31, 2011, that it did not expect to make contributions to its pension and postretirement benefit plans in 2012. As of September 30, 2012, no contributions have been made, however, this decision is reviewed each quarter and is subject to change based upon market conditions.

Since 2003, the Company has not subsidized retiree medical insurance premiums. However, it continues to provide postretirement medical benefits to a limited number of current and retired executives in accordance with the terms of their employment contracts.