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Pension and Other Post-Retirement Benefits (Tables)
 12 Months Ended
Dec. 31, 2012
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items]  
Pension obligations and plan assets and other post-retirement obligations
The following tables set forth pension obligations and plan assets and other post-retirement obligations as of December 31 (in millions):
 
2012
 
2011
 
2012
 
2011
 
 
 
Retiree
Health
and Life
 
Retiree
Health
and Life
 
 
 
 
Pension
Benefits
 
Pension
Benefits
 
 
Change in Benefit Obligation
 
 
 
 
 
 
 
Benefit obligation at beginning of year
$
425.0

 
$
413.2

 
$
44.8

 
$
46.6

Service cost
5.7

 
5.4

 
0.2

 
0.2

Interest cost
19.7

 
20.7

 
2.0

 
2.2

Actuarial loss
49.2

 
13.5

 
4.9

 
—

Benefits paid
(27.4
)
 
(27.5
)
 
(3.8
)
 
(4.2
)
Effect of foreign exchange rate changes
1.6

 
(0.3
)
 
—

 
—

Benefit obligation at end of year
$
473.8

 
$
425.0

 
$
48.1

 
$
44.8

Change in Fair Value of Plan Assets
 
 
 
 
 
 
 
Plan assets at beginning of year
377.5

 
392.7

 
—

 
—

Actual return on plan assets
55.3

 
10.2

 
—

 
—

Effect of exchange rate changes
1.6

 
(0.1
)
 
—

 
—

Company contributions
2.1

 
2.2

 
3.8

 
4.2

Benefits paid
(27.4
)
 
(27.5
)
 
(3.8
)
 
(4.2
)
Plan assets at end of year
$
409.1

 
$
377.5

 
$
—

 
$
—

Funded Status at end of year   
$
(64.7
)
 
$
(47.5
)
 
$
(48.1
)
 
$
(44.8
)
Amount Recognized
 
 
 
 
 
 
 
Other liabilities
$
(64.7
)
 
$
(47.5
)
 
$
(48.1
)
 
$
(44.8
)
Accumulative other comprehensive loss:
 
 
 
 
 
 
 
Net actuarial loss
207.4

 
193.5

 
6.8

 
1.8

Prior service credit (cost)
(4.1
)
 
(5.1
)
 
0.2

 
—

Accumulated other comprehensive loss
203.3

 
188.4

 
7.0

 
1.8

Total recognized
$
138.6

 
$
140.9

 
$
(41.1
)
 
$
(43.0
)
After-tax amount recognized in accumulated other comprehensive loss
$
126.8

 
$
117.6

 
$
4.3

 
$
1.1
Pension plans with a projected benefit obligation in excess of plan assets
Information for pension plans with a projected benefit obligation in excess of plan assets is as followes as of December 31 (in millions):
 
2012
 
2011
Projected benefit obligations
$
473.8

 
$
425.0

Fair value of plan assets
409.1

 
377.5
Pension plans with an accumulated benefit obligation in excess of plan assets
Information for pension plans with an accumulated benefit obligation in excess of plan assets is as follows as of December 31 (in millions):
 
2012
 
2011
Accumulated benefit obligations
$
453.7

 
$
408.9

Fair value of plan assets
409.1

 
377.5
Components of pension and other post retirement benefit costs
The components of net periodic (benefit) cost for the year ended December 31 were (in millions):
 
 
 
 
 
 
 
2012 Retiree
Health
and
Life
 
2011 Retiree
Health
and
Life
 
2010 Retiree
Health
and
Life

 
 
 
 
2012 Pension
Benefits
 
2011 Pension
Benefits
 
2010 Pension
Benefits
 
 
 
Service cost
$
5.7

 
$
5.4

 
$
5.3

 
$
0.2

 
$
0.2

 
$
0.2

Interest cost
19.7

 
20.7

 
22.1

 
2.0

 
2.2

 
2.4

Expected return on plan assets
(29.6
)
 
(33.2
)
 
(33.5
)
 
—

 
—

 
—

Amortization of:
 
 
 
 
 
 
 
 
 
 
 
Unrecognized prior service credit
(1.0
)
 
(1.0
)
 
(1.0
)
 
(0.1
)
 
(0.1
)
 
(0.1
)
Unrecognized net actuarial loss (gain)
9.9

 
7.2

 
6.0

 
(0.1
)
 
(0.3
)
 
(0.3
)
Net periodic (benefit) cost
$
4.7

 
$
(0.9
)
 
$
(1.1
)
 
$
2.0

 
$
2.0

 
$
2.2
Schedule of amounts in accumulated other comprehensive loss (gain) to be recognized over next fiscal year
As of December 31, 2012, GATX expects within the next twelve months to recognize the following amounts included in accumulated other comprehensive loss (gain) as components of net periodic cost (in millions):
 
2013
 
Pension Benefits
 
Retiree Health and Life
Unrecognized net actuarial loss (gain)
$
14.0

 
$
(0.2
)
Unrecognized prior service credit
(1.0
)
 
(0.1
)
Expected long term return on assets and to measure the periodic cost
GATX used the following assumptions to measure the benefit obligation, compute the expected long-term return on assets and measure the periodic cost for GATX’s defined benefit pension plans and other post-retirement benefit plans for the years ended December 31:
 
2012
 
2011
Domestic defined benefit pension plans
 
 
 
Benefit Obligation at December 31:
 
 
 
Discount rate — salaried funded and unfunded plans
3.95
%
 
4.80
%
Discount rate — hourly funded plan
4.05
%
 
4.85
%
Rate of compensation increases — salaried funded and unfunded plans
3.00
%
 
3.00
%
Rate of compensation increases — hourly funded plans
N/A

 
N/A

Net Periodic Cost (Benefit) for the years ended December 31:
 
 
 
Discount rate — salaried funded and unfunded plans
4.80
%
 
5.25
%
Discount rate — hourly funded plan
4.85
%
 
5.25
%
Expected return on plan assets — salaried funded plan
8.05
%
 
8.65
%
Expected return on plan assets — hourly funded plan
7.10
%
 
7.80
%
Rate of compensation increases — salaried funded and unfunded plans
3.00
%
 
4.50
%
Rate of compensation increases — hourly funded plan
N/A

 
N/A

Foreign defined benefit pension plan
 
 
 
Benefit Obligation at December 31:
 
 
 
Discount rate
4.25
%
 
4.65
%
Rate of pension-in-payment increases
3.00
%
 
2.90
%
Net Periodic Cost (Benefit) for the years ended December 31:
 
 
 
Discount rate
4.65
%
 
5.40
%
Expected return on plan assets
5.77
%
 
6.12
%
Rate of pension-in-payment increases
2.90
%
 
3.40
%
Other post-retirement benefit plans
 
 
 
Benefit Obligation at December 31:
 
 
 
Discount rate - salaried health
3.65
%
 
4.50
%
Discount rate - hourly health
3.60
%
 
4.60
%
Discount rate - salaried life insurance
3.90
%
 
4.75
%
Discount rate - hourly life insurance
3.45
%
 
4.45
%
Rate of compensation increases
N/A

 
N/A

Net Periodic Cost (Benefit) for the years ended December 31:
 
 
 
Discount rate - salaried health
4.50
%
 
4.95
%
Discount rate - hourly health
4.60
%
 
4.95
%
Discount rate - salaried life insurance
4.75
%
 
4.95
%
Discount rate - hourly life insurance
4.45
%
 
4.95
%
Rate of compensation increases
N/A

 
N/A
Review of historical returns
GATX routinely reviews its historical returns along with current market conditions to ensure its expected return assumption is reasonable and appropriate.
 
2012
 
2011
Assumed Health Care Cost Trend Rates at December 31
 
 
 
Health care cost trend assumed for next year
 
 
 
Medical claims
7.00
%
 
7.50
%
Prescription drugs claims
6.50
%
 
7.50
%
Rate to which the cost trend is expected to decline (the ultimate trend rate)
 
 
 
Medical claims
5.00
%
 
5.00
%
Prescription drugs claims
5.00
%
 
5.00
%
Year that rate reaches the ultimate trend rate
 
 
 
Medical claims
2019

 
2018

Prescription drugs claims
2017

 
2018
Effect on the other post-retirement benefit cost and obligation
A one-percentage-point change in the trend rate would have the following effects (in millions):
 
 
One-Percentage-Point
Increase
 
One-Percentage-Point
Decrease
Effect on total of service and interest cost
$
0.1

 
$
(0.1
)
Effect on post-retirement benefit obligation
2.5

 
(2.2
)
Pension plan assets fair value
The following tables set forth the fair value of GATX’s pension plan assets as of December 31 (in millions):

Quoted Prices in Active Markets for Identical Assets
(Level 1)
 
Significant Observable Inputs
(Level 2)
 
Significant Unobservable Inputs
 ( Level 3)
 
Total
December 31,
 
 
 
 
2012
Assets
 
 
 
 
 
 
 
Short-term investment funds
$
1.0

 
$
—

 
$
—

 
$
1.0

Common stock
10.3

 
—

 
—

 
10.3

Common stock collective funds
—

 
245.0

 
—

 
245.0

Fixed income collective trust funds
—

 
131.2

 
—

 
131.2

Real estate collective trust funds
—

 
21.6

 
—

 
21.6

Total
$
11.3

 
$
397.8

 
$
—

 
$
409.1



Quoted Prices in Active Markets for Identical Assets
(Level 1)
 
Significant Observable Inputs
(Level 2)
 
Significant Unobservable Inputs
 ( Level 3)
 
Total
December 31,
 
 
 
 
2011
Assets
 
 
 
 
 
 
 
Short-term investment funds
$
2.9

 
$
—

 
$
—

 
$
2.9

Common stock
8.9

 
—

 
—

 
8.9

Common stock collective funds
—

 
222.5

 
—

 
222.5

Fixed income collective trust funds
—

 
125.3

 
—

 
125.3

Real estate collective trust funds
—

 
17.9

 
—

 
17.9

Total
$
11.8

 
$
365.7

 
$
—

 
$
377.5
Schedule of Expected Benefit Payments
The following benefit payments, which reflect expected future service, as appropriate, are expected to be paid (in millions):

 
Funded Plans
 
Unfunded Plans
 
Retiree Health and Life
2013
$
29.2

 
$
2.0

 
$
4.4

2014
29.0

 
1.9

 
4.3

2015
29.0

 
1.8

 
4.0

2016
29.3

 
2.0

 
3.9

2017
31.1

 
2.0

 
3.6

Years 2018-2022
148.3

 
11.9

 
15.0

 
$
295.9

 
$
21.6

 
$
35.2
Expected Subsidies To Be Received
The following are estimated Medicare Part D Subsidies expected to be received as a result of the Medicare Prescription Drug, Improvement and Modernization Act of 2003 (in millions):
2013
$
0.5

2014
0.5

2015
0.5

2016
0.5

2017
0.4

Years 2018-2022
2.2

 
$
4.6
Contributions to Multiemployer Benefit Plans
GATX’s contributions to multiemployer benefit plans for the years indicated were as follows (in millions):
Multiemployer Plans
 

EIN and Pension Plan Number
 
Pension Protection Act Zone Status (b)
 
GATX Contributions
 
Collective Bargaining Agreement Expiration Date
 
2012
 
2011
 
2010
 
American Maritime Officers Pension Plan (a)
 
13-1969709-001
 
Endangered-Yellow
 
$
1.5

 
$
2.1

 
$
2.2

 
January 15, 2017
Other multiemployer post-retirement plans
 
 
 
 
 
6.6

 
6.4

 
6.2

 
 
Total
 
 
 
 
 
$
8.1

 
$
8.5

 
$
8.4

 
 
__________________
(a)GATX's contributions represented more than 5% of the total contributions to the plan during each year and no surcharge was imposed for any year.
Foreign Funded Pension Plans, Defined Benefit [Member]
  
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items]  
Weighted-average asset allocations of domestic funded pension plans
GATX’s weighted-average asset allocations of its foreign funded pension plan at December 31, 2012 and 2011, and current target asset allocation for 2013, by asset category, are as follows:
 
 
 
 
 
Plan Assets at
December 31
 
Target
 
2012
 
2011
Asset Category
 
 
 
 
 
Equity securities
36.8
%
 
36.2
%
 
36.1
%
Debt securities
63.2
%
 
63.8
%
 
63.9
%
 
100.0
%
 
100.0
%
 
100.0
%
Domestic defined benefit pension plans [Member]
  
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items]  
Weighted-average asset allocations of domestic funded pension plans
GATX’s weighted-average asset allocations of its domestic funded pension plans at December 31, 2012 and 2011, and current target asset allocation for 2012, by asset category, are as follows:
 
 
 
 
 
Plan Assets at
December 31
 
Target
 
2012
 
2011
Asset Category
 
 
 
 
 
Equity securities
66.0
%
 
65.3
%
 
64.1
%
Debt securities
29.0
%
 
28.9
%
 
30.1
%
Real estate
5.0
%
 
5.8
%
 
5.2
%
Cash
—

 
—

 
0.6
%
 
100.0
%
 
100.0
%
 
100.0
%