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Postretirement Benefits Other Than Pensions
 12 Months Ended
Dec. 31, 2012
Postretirement Benefits Other Than Pensions [Abstract]  
Postemployment Benefits Other Than Pensions
NOTE 18. POSTRETIREMENT BENEFITS OTHER THAN PENSIONS
The Company sponsors an other than pension postretirement employee benefit plan (“OPEB”) that provides medical, dental and/or life insurance benefits to approximately 600 retired and 400 active employees (the “OPEB Plan”). The Company generally is self-insured for the benefits under the OPEB Plan. The medical plan generally provides for a limited number of years of medical insurance benefits at retirement based on the participant’s attained age at retirement and number of years of service until specified dates and generally requires participant contributions, with most contributions adjusted annually.
Changes in Fair Value of Plan Assets and Changes in Accumulated Benefit Obligation for the years ended December 31, 2012 and 2011 were:
DOLLARS IN MILLIONS
 
 
2012
 
2011
Fair Value of Plan Assets at Beginning of Year
 
$
—

 
$
—

Employer Contributions
 
3.0

 
3.2

Plan Participants’ Contributions
 
1.0

 
1.1

Benefits Paid
 
(4.0
)
 
(4.3
)
Fair Value of Plan Assets at End of Year
 
—

 
—

Benefit Obligation at Beginning of Year
 
44.7

 
41.1

Service Cost
 
0.2

 
0.1

Interest Cost
 
1.6

 
1.9

Plan Participants’ Contributions
 
1.0

 
1.1

Benefits Paid
 
(4.0
)
 
(4.3
)
Modernization Act Subsidy Received
 
1.0

 
0.4

Actuarial (Gains) Losses
 
(5.5
)
 
4.4

Obligations Transferred Into Plan
 
3.8

 
—

Benefit Obligation at End of Year
 
42.8

 
44.7

Funded Status—Benefit Obligation in Excess of Plan Assets
 
$
(42.8
)
 
$
(44.7
)
 
 
 
 
 
Actuarial Gain Recognized in Accumulated Other Comprehensive Income
 
$
13.4

 
$
9.2


The measurement dates of the assets and liabilities at end of year in the preceding table under the headings “2012” and “2011” were December 31, 2012 and December 31, 2011, respectively.
The actuarial assumptions used to develop the components of the Accumulated Benefit Obligation at December 31, 2012 and 2011 were:
 
 
2012
 
2011
Discount Rate
 
3.15
%
 
4.25
%
Rate of Increase in Future Compensation Levels
 
2.10

 
2.10


NOTE 18. POSTRETIREMENT BENEFITS OTHER THAN PENSIONS (Continued)
The assumed health care cost trend rate used in measuring the Accumulated Benefit Obligation at December 31, 2012 was 7.0% for 2013, gradually declining to 5.0% in the year 2017 and remaining at that level thereafter for medical benefits and 8.5% for 2013, gradually declining to 5.0% in the year 2020 and remaining at that level thereafter for prescription drug benefits. The assumed health care cost trend rate used in measuring the Accumulated Benefit Obligation at December 31, 2011 was 7.5% for 2012, gradually declining to 5.0% in the year 2017 and remaining at that level thereafter for medical benefits and 9.0% for 2012, gradually declining to 5.0% in the year 2020 and remaining at that level thereafter for prescription drug benefits.
A one–percentage point increase in the assumed health care cost trend rate for each year would increase the Accumulated Benefit Obligation at December 31, 2012 by $2.8 million and 2012 OPEB expense by $0.1 million. A one-percentage point increase in the assumed health care cost trend rate for each year would increase the Accumulated Benefit Obligation at December 31, 2011 by $2.8 million and 2011 OPEB expense by $0.1 million.
The components of Comprehensive OPEB Expense for the years ended December 31, 2012, 2011 and 2010 were:
DOLLARS IN MILLIONS
 
2012
 
2011
 
2010
Service Cost Earned During the Year
 
$
0.2

 
$
0.1

 
$
0.1

Interest Cost on Accumulated Benefit Obligation
 
1.6

 
1.9

 
2.1

Net Amortization and Deferral
 
(1.2
)
 
(0.6
)
 
(1.1
)
OPEB Expense Recognized
 
0.6

 
1.4

 
1.1

Unrecognized OPEB (Gain) Loss Arising During the Year
 
(5.5
)
 
4.4

 
4.3

Amortization of Accumulated Unrecognized OPEB Gain
 
1.2

 
0.6

 
1.1

Comprehensive OPEB Expense (Benefit)
 
$
(3.7
)
 
$
6.4

 
$
6.5


The Company estimates that OPEB Expense for the year ended December 31, 2013 will include income of $1.0 million resulting from the amortization of the related accumulated actuarial gain included in Accumulated Other Comprehensive Income at December 31, 2012.
The actuarial assumptions used to develop the components of the OPEB Expense for the years ended December 31, 2012, 2011 and 2010 were:
 
 
2012
 
2011
 
2010
Discount Rate
 
4.25
%
 
4.40
%
 
5.25
%
Rate of Increase in Future Compensation Levels
 
2.10

 
1.50

 
1.50


The Company expects to contribute $4.3 million, net of expected Modernization Act Subsidy, to its OPEB Plan to fund benefit payments in 2013.
The following benefit payments (net of participant contributions), which consider expected future service, as appropriate, are expected to be paid:
DOLLARS IN MILLIONS
 
Years Ending December 31,
2013
 
2014
 
2015
 
2016
 
2017
 
2018-2022
Benefit Payments:
 
 
 
 
 
 
 
 
 
 
 
 
Excluding Modernization Act Subsidy
 
$
4.8

 
$
4.8

 
$
4.8

 
$
4.7

 
$
4.6

 
$
19.3

Expected Modernization Act Subsidy
 
(0.5
)
 
(0.5
)
 
(0.6
)
 
(0.6
)
 
(0.6
)
 
(2.4
)
Net Benefit Payments
 
$
4.3

 
$
4.3

 
$
4.2

 
$
4.1

 
$
4.0

 
$
16.9