Benefit Plans

3 Months Ended

Mar. 31, 2016

Note 7 – Benefit Plans

DP&L sponsors a defined benefit pension plan for the vast majority of its employees.

We generally fund pension plan benefits as accrued in accordance with the minimum funding requirements of ERISA and, in addition, make voluntary contributions from time to time. There were $5.0 million in employer contributions made during the three months ended March 31, 2016 and no contributions during the three months ended March 31, 2015.

The amounts presented in the following tables for pension include the collective bargaining plan formula, the traditional management plan formula, the cash balance plan formula and the SERP, in the aggregate. The amounts presented for postretirement include both health and life insurance. The pension and postretirement costs below have not been adjusted for amounts billed to the Service Company for former DP&L employees who are now employed by the Service Company but are still participants in the DP&L plan. See Note 9 – Related Party Transactions.

The net periodic benefit cost of the pension and postretirement benefit plans for the three months ended March 31, 2016 and 2015 was:



Net Periodic Benefit Cost	Pension
	Three months ended
	March 31,
$ in millions	2016			2015
Service cost	$	1.4		$	1.8
Interest cost	3.7			4.3
Expected return on plan assets	(5.7		)	(5.7		)
Amortization of unrecognized:
Prior service cost	0.5			0.5
Actuarial loss	1.0			1.5
Net periodic benefit cost	$	0.9		$	2.4



Net Periodic Benefit Cost	Postretirement
	Three months ended
	March 31,
$ in millions	2016			2015
Service cost	$	—		$	—
Interest cost	0.1			0.2
Expected return on plan assets	—			—
Amortization of unrecognized:
Prior service cost	—			—
Actuarial gain	(0.1		)	(0.1		)
Net periodic benefit cost	$	—		$	0.1

Benefit payments and Medicare Part D reimbursements, which reflect future service, are estimated to be paid as follows:



$ in millions	Pension		Postretirement
2016	$	18.5	$	1.3
2017	25.2		1.6
2018	25.8		1.5
2019	26.3		1.4
2020	26.7		1.4
2021 - 2025	134.8		5.7

THE DAYTON POWER AND LIGHT COMPANY [Member]

Entity Information [Line Items]

Pension and Postretirement Benefits

Note 7 – Benefit Plans

DP&L sponsors a defined benefit pension plan for the vast majority of its employees.

The net periodic benefit cost of the pension and postretirement benefit plans for the three months ended March 31, 2016 and 2015 was:



Net Periodic Benefit Cost	Pension
	Three months ended
	March 31,
$ in millions	2016			2015
Service cost	$	1.4		$	1.8
Interest cost	3.7			4.3
Expected return on plan assets	(5.7		)	(5.7		)
Amortization of unrecognized:
Prior service cost	0.8			0.8
Actuarial loss	1.8			2.4
Net periodic benefit cost	$	2.0		$	3.6



Net Periodic Benefit Cost	Postretirement
	Three months ended
	March 31,
$ in millions	2016			2015
Service cost	$	—		$	—
Interest cost	0.1			0.2
Expected return on plan assets	—			—
Amortization of unrecognized:
Prior service cost	—			—
Actuarial gain	(0.1		)	(0.2		)
Net periodic benefit cost	$	—		$	—

Benefit payments and Medicare Part D reimbursements, which reflect future service, are estimated to be paid as follows:



$ in millions	Pension		Postretirement
2016	$	18.5	$	1.3
2017	25.2		1.6
2018	25.8		1.5
2019	26.3		1.4
2020	26.7		1.4
2021 - 2025	134.8		5.7