Pension and Other Post-Retirement Benefit Plans

9 Months Ended

Oct. 27, 2012

Pension and Other Post Retirement Benefit Plans Disclosure [Abstract]

Pension and Other Post-Retirement Benefit Plans

Pension and Other Post-Retirement Benefit Plans

In connection with the acquisition of Corporate Express, Staples assumed the obligations under the defined benefit pension plans which Corporate Express sponsored.  The pension plans cover certain employees in Europe and the U.S.  The benefits due to U.S. plan participants are frozen.  A number of the defined benefit plans outside the U.S. are funded with plan assets that have been segregated in trusts.  Contributions are made to these trusts, as necessary, to meet legal and other requirements.

In August 2010, the Company began sponsoring an unfunded post-retirement life insurance benefit plan, which provides benefits to eligible U.S. executives based on earnings, years of service and age at termination of employment.

The total net cost recognized for the third quarter and year-to-date2012 and 2011 associated with the pension and other post-retirement benefit plans is based upon preliminary estimates pending the final actuarial determination of such costs. The following table presents a summary of the total net periodic cost recorded in the condensed consolidated statement of comprehensive income for the third quarter and year-to-date2012 and 2011 related to the plans (in thousands):

	13 Weeks Ended October 27, 2012
	Pension Plans									Other Post-Retirement Benefit Plan Total
	U.S. Plans			International Plans			Total
Service cost	$	—		$	2,557		$	2,557		$	460
Interest cost	443			9,339			9,782			385
Expected return on plan assets	(438		)	(12,520		)	(12,958		)	—
Amortization of unrecognized losses and prior service costs	83			1,301			1,384			429
Total cost	$	88		$	677		$	765		$	1,274

	13 Weeks Ended October 29, 2011
	Pension Plans									Other Post-Retirement Benefit Plan Total
	U.S. Plans			International Plans			Total
Service cost	$	—		$	2,404		$	2,404		$	473
Interest cost	466			10,178			10,644			396
Expected return on plan assets	(422		)	(13,922		)	(14,344		)	—
Amortization of unrecognized losses and prior service costs	—			352			352			459
Total cost (benefit)	$	44		$	(988	)	$	(944	)	$	1,328

	39 Weeks Ended October 27, 2012
	Pension Plans									Other Post-Retirement Benefit Plan Total
	U.S. Plans			International Plans			Total
Service cost	$	—		$	7,736		$	7,736		$	1,380
Interest cost	1,329			28,254			29,583			1,155
Expected return on plan assets	(1,313		)	(37,887		)	(39,200		)	—
Amortization of unrecognized losses and prior service costs	248			3,934			4,182			1,287
Total cost	$	264		$	2,037		$	2,301		$	3,822

	39 Weeks Ended October 29, 2011
	Pension Plans									Other Post-Retirement Benefit Plan Total
	U.S. Plans			International Plans			Total
Service cost	$	—		$	7,211		$	7,211		$	1,370
Interest cost	1,398			30,536			31,934			1,148
Expected return on plan assets	(1,266		)	(41,768		)	(43,034		)	—
Amortization of unrecognized losses and prior service costs	—			1,056			1,056			1,331
Total cost (benefit)	$	132		$	(2,965	)	$	(2,833	)	$	3,849

The total net cost disclosed above for the third quarter and year-to-date2012 and 2011 associated with the pension plans reflects the total for both continuing and discontinued operations. The following table presents the net periodic cost recorded in the condensed consolidated statement of comprehensive income for the third quarter and year-to-date2012 and 2011 related to discontinued operations pension plans only (in thousands):

	Discontinued Operations Pension Plans
	13 Weeks Ended						39 Weeks Ended
	October 27, 2012			October 29, 2011			October 27, 2012			October 29, 2011
Service cost	$	587		$	642		$	1,777		$	1,927
Interest cost	467			489			1,414			1,466
Expected return on plan assets	(436		)	(494		)	(1,322		)	(1,483		)
Amortization of unrecognized losses and prior service costs	51			10			156			31
Total cost	$	669		$	647		$	2,025		$	1,941

Cash contributions made to the pension plans during the third quarter and year-to-date2012 and 2011 are as follows (in thousands): 

	13 Weeks Ended				39 Weeks Ended
	October 27, 2012		October 29, 2011		October 27, 2012		October 29, 2011
U.S. Pension Plans	$	324	$	194	$	921	$	582
International Pension Plans	3,099		1,321		12,323		5,291
Total	$	3,423	$	1,515	$	13,244	$	5,873

The Company expects to make additional cash contributions of $0.4 million and $1.7 million to the U.S. Pension Plans and International Pension Plans, respectively, during the remainder of fiscal year 2012.  No cash contributions are expected to be made during 2012 to the Company’s other post-retirement benefit plans.