Defined Benefit Pension Plan

6 Months Ended

Jun. 30, 2011

Defined Benefit Pension Plan

Defined Benefit Pension Plan

7. Defined Benefit Pension Plan

Sotheby's sponsors a defined benefit pension plan covering a portion of its U.K. employees (the "U.K. Pension Plan"). For the three and six months ended June 30, 2011 and 2010, the components of the net pension benefit related to the U.K. Pension Plan are (in thousands of dollars):

	Three Months Ended June 30,						Six Months Ended June 30,
	2011			2010			2011			2010
Service cost	$	1,011		$	929		$	2,013		$	1,902
Interest cost		3,441			3,351			6,850			6,859
Expected return on plan assets		(5,857	)		(5,175	)		(11,660	)		(10,593	)
Amortization of prior service cost		—			3			—			6
Net pension benefit	$	(1,405	)	$	(892	)	$	(2,797	)	$	(1,826	)

In 2011, Sotheby's expects to contribute approximately $3 million to the U.K. Pension Plan, of which $1.5 million has been contributed through June 30, 2011.