Pension Benefits

6 Months Ended

Jun. 30, 2011

Pension Benefits

Pension Benefits

Note 9 - Pension Benefits

Pension Plans

The Company has a non-contributory pension plan covering substantially all employees who meet age and service requirements (the “Qualified Pension Plan”).  The Company also has a supplemental non-contributory pension plan covering certain management employees (the “Nonqualified Pension Plan”).

Components of Net Periodic Benefit Cost for Both Plans

The following table presents the components of the net periodic benefit cost for both the Qualified Pension Plan and the Nonqualified Pension Plan:

	For the Three Months Ended June 30,						For the Six Months Ended June 30,
	2011			2010			2011			2010
	(in thousands)
Service cost	$	1,052		$	848		$	1,900		$	1,696
Interest cost	312			280			592			560
Expected return on plan assets	(281		)	(159		)	(440		)	(318		)
Amortization of net actuarial loss	111			91			202			182
Net periodic benefit cost	$	1,194		$	1,060		$	2,254		$	2,120

Prior service costs are amortized on a straight-line basis over the average remaining service period of active participants.  Gains and losses in excess of ten percent of the greater of the benefit obligation or the market-related value of assets are amortized over the average remaining service period of active participants.

Contributions

The Company is currently required to contribute $6.3 million to its Qualified Pension Plan.  The Company has made $3.6 million in 2011 contributions as of June 30, 2011.