Pension and Other Postretirement Benefits

9 Months Ended

Sep. 30, 2012

Compensation and Retirement Disclosure [Abstract]

Pension and Other Postretirement Benefits

Pension and Other Postretirement Benefits

The following table provides the components of net periodic benefit cost (income) for the three and nine months ended September 30, as indicated:

	Three months ended September 30,
	Webster Pension						Webster SERP					Other Benefits
(In thousands)	2012			2011			2012		2011			2012		2011
Net Periodic Benefit Cost Recognized in Net Income:
Service cost	$	7		$	43		$	—	$	—		$	—	$	—
Interest cost	1,827			1,866			79		78			44		54
Expected return on plan assets	(2,517		)	(2,638		)	—		—			—		—
Amortization of prior service cost	—			—			—		—			18		18
Amortization of net loss	1,525			669			18		(16		)	26		18
Net periodic benefit cost (income) recognized in net income	$	842		$	(60	)	$	97	$	62		$	88	$	90

	Nine months ended September 30,
	Webster Pension						Webster SERP				Other Benefits
(In thousands)	2012			2011			2012		2011		2012		2011
Net Periodic Benefit Cost Recognized in Net Income:
Service cost	$	22		$	131		$	—	$	—	$	—	$	—
Interest cost	5,480			5,597			237		262		132		162
Expected return on plan assets	(7,551		)	(7,913		)	—		—		—		—
Amortization of prior service cost	—			—			—		—		54		54
Amortization of net loss	4,577			2,006			53		—		77		49
Net periodic benefit cost (income) recognized in net income	$	2,528		$	(179	)	$	290	$	262	$	263	$	265

The Webster Bank Pension Plan and the supplemental pension plans were frozen effective December 31, 2007. No additional benefits have been accrued since that time. Additional contributions to the Webster Bank Pension Plan will be made as deemed appropriate by management in conjunction with information provided by the Plan’s actuaries.

The Bank is also a sponsor of a multiple-employer plan, EIN/Pension Plan Number 13-5645888/333, (the "Fund”) administered by Pentegra for the benefit of former employees of a bank acquired by Webster. The Fund does not segregate the assets or liabilities of its participating employers in the ongoing administration of this plan. All benefit accruals were frozen as of September 1, 2004.

According to the Fund’s administrators, as of July 1, 2012, the date of the latest actuarial valuation, Webster’s portion of the plan was underfunded by $1.0 million. Webster made $0.4 million and $1.2 million in contributions into the Fund for the three and nine months ended September 30, 2012.

Webster's portion of the plan was underfunded by $5.9 million as of July 1, 2011. The decrease in the underfunded liability is due to the adoption of the Moving Ahead for Progress in the 21 Century Act ("MAP-21") which was enacted on July 6, 2012. MAP-21 provides for higher interest rates for 2012 and the following two or three years for calculating the Fund's liability.