Pension And Other Postretirement Benefits

6 Months Ended

Jun. 30, 2011

Pension And Other Postretirement Benefits

Pension And Other Postretirement Benefits

O. Pension and Other Postretirement Benefits – The components of net periodic benefit cost were as follows:

	Second quarter ended June  30,						Six months ended June  30,
Pension benefits	2011			2010			2011			2010
Service cost	$	41		$	36		$	82		$	73
Interest cost		171			170			340			340
Expected return on plan assets		(202	)		(195	)		(403	)		(391	)
Amortization of prior service cost		4			4			9			8
Recognized net actuarial loss		62			45			124			89
Net periodic benefit cost	$	76		$	60		$	152		$	119
	Second quarter ended June  30,						Six months ended June  30,
Other postretirement benefits	2011			2010			2011			2010
Service cost	$	4		$	5		$	8		$	10
Interest cost		39			43			79			87
Expected return on plan assets		—			(1	)		(1	)		(3	)
Amortization of prior service benefit		(4	)		(3	)		(8	)		(7	)
Recognized net actuarial loss		6			8			13			16
Settlements		—			(3	)		—			(3	)
Net periodic benefit cost	$	45		$	49		$	91		$	100

On January 24, 2011, Alcoa contributed newly issued shares (see Note K) of its common stock (valued at $600) to a master trust that holds the assets of certain U.S. defined benefit pension plans in a private placement transaction. These shares were issued to satisfy the estimated minimum required funding and to provide additional funding towards maintaining an approximately 80% funded status of Alcoa's U.S. pension plans.