XML 49 R14.htm IDEA: XBRL DOCUMENT v2.4.0.8
Pension and Postretirement Plans
6 Months Ended
Jun. 30, 2014
General Discussion of Pension and Other Postretirement Benefits [Abstract]  
Pension and Other Postretirement Benefits Disclosure [Text Block]
Pension and Postretirement Plans
The Company sponsors three noncontributory defined benefit plans and a postretirement health and life insurance plan. For the three and six months ended June 30, 2014 and 2013, approximately 10% of the costs were capitalized as a component of property, plant and equipment related to construction of our wireline network. Effective July 1, 2013, the management pension plan was amended to eliminate all future pension service credits. As a result, we recognized a curtailment gain of $0.6 million in the three months ended June 30, 2013 and remeasured the associated pension obligation. This remeasurement resulted in a reduction of our pension liability of $10.3 million.
For the three and six months ended June 30, 2014 and 2013, pension and postretirement benefit costs were as follows:
 
Three Months Ended June 30,
 
2014
 
2013
 
2014
 
2013
(dollars in millions)
Pension Benefits
 
Postretirement and
Other Benefits
Service cost
$
0.2

 
$
0.8

 
$

 
$
0.1

Interest cost on projected benefit obligation
6.0

 
4.2

 
1.1

 
0.7

Expected return on plan assets
(7.3
)
 
(6.8
)
 

 

Curtailment gain

 
(0.6
)
 

 

Amortization of:
 
 
 
 
 
 
 
Prior service cost (benefit)
0.1

 
0.1

 
(3.9
)
 
(3.3
)
Actuarial loss
3.4

 
5.0

 
1.4

 
1.3

       Total amortization
3.5

 
5.1

 
(2.5
)
 
(2.0
)
Benefit costs
$
2.4

 
$
2.7

 
$
(1.4
)
 
$
(1.2
)


 
Six Months Ended June 30,
 
2014
 
2013
 
2014
 
2013
(dollars in millions)
Pension Benefits
 
Postretirement and
Other Benefits
Service cost
$
0.5

 
$
1.4

 
$
0.1

 
$
0.2

Interest cost on projected benefit obligation
10.5

 
9.4

 
2.0

 
2.0

Expected return on plan assets
(14.1
)
 
(12.9
)
 

 

Curtailment gain

 
(0.6
)
 

 

Amortization of:
 
 
 
 
 
 
 
Prior service cost (benefit)
0.1

 
0.1

 
(7.7
)
 
(6.5
)
Actuarial loss
8.7

 
11.0

 
2.7

 
2.9

       Total amortization
8.8

 
11.1

 
(5.0
)
 
(3.6
)
Benefit costs
$
5.7

 
$
8.4

 
$
(2.9
)
 
$
(1.4
)


Amortizations of prior service cost (benefit) and actuarial loss, and curtailment gain represent reclassifications from accumulated other comprehensive income.

Contributions in 2014 to the Company’s pension and postretirement plans are expected to be approximately $32 million and $13 million, respectively. For the six months ended June 30, 2014, contributions to the pension plans were $10.7 million and contributions to the postretirement plan were $6.6 million.