Note 8 – Retirement Plan and Other Post-Retirement Benefits

Components of Net Periodic Benefit Cost (in thousands):



Three Months Ended December 31,
					Other Post-Retirement
	Retirement Plan				Benefits
	2013		2012		2013		2012

Service Cost	$	2,997	$	3,961	$	735	$	1,176
Interest Cost		10,893		9,124		5,327		4,803
Expected Return on Plan Assets		(14,993)		(14,336)		(9,356)		(8,218)
Amortization of Prior Service Cost (Credit)		52		60		(534)		(534)
Amortization of Transition Amount		-		-		-		2
Amortization of Losses		9,002		13,194		661		5,223
Net Amortization and Deferral for
Regulatory Purposes (Including
Volumetric Adjustments) (1)		1,578		(3,682)		6,060		2,703

Net Periodic Benefit Cost	$	9,529	$	8,321	$	2,893	$	5,155

(1) The Company’s policy is to record retirement plan and other post-retirement benefit costs in the Utility segment on a volumetric basis to reflect the fact that the Utility segment experiences higher throughput of natural gas in the winter months and lower throughput of natural gas in the summer months.

Employer Contributions. During the three months ended December 31, 2013, the Company contributed $23.9 million to its tax-qualified, noncontributory defined-benefit retirement plan (Retirement Plan) and $1.8 million to its VEBA trusts and 401(h) accounts for its other post-retirement benefits. In the remainder of 2014, the Company expects to contribute between $5.0 million and $15.0 million to the Retirement Plan. Changes in the discount rate, other actuarial assumptions, and asset performance could ultimately cause the Company to fund larger amounts to the Retirement Plan in fiscal 2014 in order to be in compliance with the Pension Protection Act of 2006 (as impacted by the Moving Ahead for Progress in the 21st Century Act). In July 2012, the Surface Transportation Extension Act, which is also referred to as the Moving Ahead for Progress in the 21st Century Act (the Act), was passed by Congress and signed by the President. The Act included pension funding stabilization provisions. The Company is continually evaluating its future contributions in light of the provisions of the Act. In the remainder of 2014, the Company expects its contributions to its VEBA trusts and 401(h) accounts to be in the range of zero to $10.0 million.