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EMPLOYEE BENEFIT PLANS (Tables)
 12 Months Ended
Dec. 31, 2013
Compensation and Retirement Disclosure [Abstract]  
Reconciliation of the changes in the plans' benefit obligations and fair value of assets
The following tables provide a reconciliation of the changes in our plans' benefit obligations and fair value of assets:
 
 
Pension Benefits
 
Other Benefits
(Millions)
 
2013
 
2012
 
2013
 
2012
Change in benefit obligation
 
 
 
 
 
 
 
 
Obligation at January 1
 
$
1,784.9

 
$
1,563.1

 
$
621.0

 
$
576.8

Service cost
 
30.2

 
46.0

 
24.9

 
20.8

Interest cost
 
71.2

 
78.0

 
24.8

 
28.5

Plan amendments
 
—

 
—

 
0.2

 
—

Actuarial (gain) loss, net
 
(153.1
)
 
196.6

 
(73.4
)
 
14.3

Participant contributions
 
—

 
—

 
10.6

 
10.6

Benefit payments
 
(91.5
)
 
(98.8
)
 
(34.0
)
 
(32.1
)
Federal subsidy on benefits paid
 
—

 
—

 
2.2

 
2.1

Obligation at December 31
 
$
1,641.7

 
$
1,784.9

 
$
576.3

 
$
621.0

 
 
 
 
 
 
 
 
 
Change in fair value of plan assets
 
 
 
 
 
 
 
 
Fair value of plan assets at January 1
 
$
1,348.1

 
$
1,099.5

 
$
424.4

 
$
285.5

Actual return on plan assets
 
205.4

 
173.6

 
57.8

 
46.3

Employer contributions
 
65.7

 
173.8

 
11.3

 
114.1

Participant contributions
 
—

 
—

 
10.6

 
10.6

Benefit payments
 
(91.5
)
 
(98.8
)
 
(34.0
)
 
(32.1
)
Fair value of plan assets at December 31
 
$
1,527.7

 
$
1,348.1

 
$
470.1

 
$
424.4

Funded Status at December 31
 
$
(114.0
)
 
$
(436.8
)
 
$
(106.2
)
 
$
(196.6
)
Amounts recognized on the balance sheets at December 31 related to the funded status of the benefit plans
The amounts recognized on our balance sheets at December 31 related to the funded status of the benefit plans were as follows:
 
 
Pension Benefits
 
Other Benefits
(Millions)
 
2013
 
2012
 
2013
 
2012
Current liabilities
 
$
9.0

 
$
7.9

 
$
0.2

 
$
0.3

Long-term liabilities
 
105.0

 
428.9

 
106.0

 
196.3

Total liabilities
 
$
114.0

 
$
436.8

 
$
106.2

 
$
196.6
Information for pension plans with an accumulated benefit obligation in excess of plan assets
Information for the qualified pension plans with an accumulated benefit obligation in excess of plan assets is presented in the following table as of December 31:
(Millions)
 
2013
 
2012
Projected benefit obligation
 
$
65.4

 
$
1,784.9

Accumulated benefit obligation
 
63.0

 
1,594.7

Fair value of plan assets
 
—

 
1,348.1
Amounts that had not yet been recognized in the entity's net periodic benefit cost
The following table shows the amounts that had not yet been recognized in our net periodic benefit cost as of December 31:
 
 
Pension Benefits
 
Other Benefits
(Millions)
 
2013
 
2012
 
2013
 
2012
Accumulated other comprehensive loss (pre-tax) (1)
 
 
 
 
 
 
 
 
Net actuarial loss
 
$
33.3

 
$
59.1

 
$
0.7

 
$
1.3

Prior service costs (credits)
 
—

 
0.2

 
(0.2
)
 
(0.6
)
Total
 
$
33.3

 
$
59.3

 
$
0.5

 
$
0.7

 
 
 
 
 
 
 
 
 
Net regulatory assets (2)
 
 
 
 
 
 
 
 
Net actuarial loss
 
$
399.3

 
$
683.1

 
$
8.9

 
$
117.3

Prior service costs (credits)
 
2.4

 
6.2

 
(12.0
)
 
(14.3
)
Total
 
$
401.7

 
$
689.3

 
$
(3.1
)
 
$
103.0


(1)
Amounts related to the nonregulated entities are included in accumulated other comprehensive loss.

(2)
Amounts related to the regulated utilities are recorded as regulatory assets or liabilities.
Estimated amounts that will be amortized into net periodic benefit cost
The following table shows the estimated amounts that will be amortized into net periodic benefit cost during 2014:
(Millions)
 
Pension Benefits
 
Other Benefits
Net actuarial losses
 
$
34.6

 
$
2.5

Prior service costs (credits)
 
0.6

 
(2.4
)
Total 2014 – estimated amortization
 
$
35.2

 
$
0.1
Schedule of the components of net periodic benefit cost
The following table shows the components of net periodic benefit cost (including amounts capitalized to our balance sheets) for our benefit plans:
 
 
Pension Benefits
 
Other Benefits
(Millions)
 
2013
 
2012
 
2011
 
2013
 
2012
 
2011
Service cost
 
$
30.2

 
$
46.0

 
$
41.4

 
$
24.9

 
$
20.8

 
$
19.0

Interest cost
 
71.2

 
78.0

 
80.1

 
24.8

 
28.5

 
29.5

Expected return on plan assets
 
(105.5
)
 
(107.9
)
 
(100.0
)
 
(30.6
)
 
(28.2
)
 
(21.4
)
Amortization of transition obligation
 
—

 
—

 
—

 
—

 
0.3

 
0.3

Amortization of prior service cost (credit)
 
4.0

 
5.0

 
5.3

 
(2.5
)
 
(3.4
)
 
(3.9
)
Amortization of net actuarial loss
 
56.7

 
34.0

 
18.1

 
8.4

 
6.6

 
4.0

Net periodic benefit cost
 
$
56.6

 
$
55.1

 
$
44.9

 
$
25.0

 
$
24.6

 
$
27.5
Weighted-average assumptions used to determine benefit obligations and net periodic benefit cost for the plans
The weighted-average assumptions used to determine the benefit obligations for the plans were as follows for the years ended December 31:
 
 
Pension Benefits
 
Other Benefits
 
 
2013
 
2012
 
2013
 
2012
Discount rate
 
4.92%
 
4.07%
 
4.83%
 
3.96%
Rate of compensation increase
 
4.24%
 
4.25%
 
N/A
 
N/A
Assumed medical cost trend rate
 
N/A
 
N/A
 
6.50%
 
7.00%
Ultimate trend rate
 
N/A
 
N/A
 
5.00%
 
5.00%
Year ultimate trend rate is reached
 
N/A
 
N/A
 
2019
 
2019
Assumed dental cost trend rate
 
N/A
 
N/A
 
5.00%
 
5.00%

The weighted-average assumptions used to determine the net periodic benefit cost for the plans were as follows for the years ended December 31:
 
 
Pension Benefits
 
 
2013
 
2012
 
2011
Discount rate
 
4.07%
 
5.10%
 
5.80%
Expected return on assets
 
8.00%
 
8.25%
 
8.25%
Rate of compensation increase
 
4.25%
 
4.25%
 
4.26%

 
 
Other Benefits
 
 
2013
 
2012
 
2011
Discount rate
 
3.96%
 
4.94%
 
5.66%
Expected return on assets
 
8.00%
 
8.25%
 
8.25%
Assumed medical cost trend rate (under age 65)
 
7.00%
 
7.00%
 
7.50%
Ultimate trend rate
 
5.00%
 
5.00%
 
5.00%
Year ultimate trend rate is reached
 
2019
 
2016
 
2016
Assumed medical cost trend rate (over age 65)
 
7.00%
 
7.50%
 
8.00%
Ultimate trend rate
 
5.00%
 
5.50%
 
5.50%
Year ultimate trend rate is reached
 
2019
 
2016
 
2016
Assumed dental cost trend rate
 
5.00%
 
5.00%
 
5.00%
Effects of a one-percentage-point change in assumed health care cost trend rates
For the year ended December 31, 2013, a one-percentage-point change in assumed health care cost trend rates would have had the following effects:
 
 
One-Percentage-Point
(Millions)
 
Increase
 
Decrease
Effect on total of service and interest cost components of net periodic postretirement health care benefit cost
 
$
8.2

 
$
(6.5
)
Effect on the health care component of the accumulated postretirement benefit obligation
 
80.6

 
(65.5
)
Investments recorded at fair value, by asset class
The following table provides the fair values of our investments by asset class:
 
 
December 31, 2013
 
 
Pension Plan Assets
 
Other Benefit Plan Assets
(Millions)
 
Level 1
 
Level 2
 
Level 3
 
Total
 
Level 1
 
Level 2
 
Level 3
 
Total
Asset Class
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Cash and cash equivalents
 
$
2.0

 
$
36.6

 
$
—

 
$
38.6

 
$
—

 
$
4.0

 
$
—

 
$
4.0

Equity securities:
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
United States equity
 
100.4

 
445.1

 
—

 
545.5

 
21.4

 
132.2

 
—

 
153.6

International equity
 
114.1

 
429.0

 
—

 
543.1

 
19.5

 
125.5

 
—

 
145.0

Fixed income securities:
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
United States government
 
—

 
93.6

 
—

 
93.6

 
121.2

 
0.7

 
—

 
121.9

Foreign government
 
—

 
16.9

 
2.4

 
19.3

 
—

 
—

 
—

 
—

Corporate debt
 
—

 
250.0

 
1.3

 
251.3

 
—

 
—

 
—

 
—

Asset-backed securities
 
—

 
61.8

 
—

 
61.8

 
—

 
—

 
—

 
—

Other
 
—

 
17.4

 
—

 
17.4

 
1.0

 
—

 
—

 
1.0

 
 
216.5

 
1,350.4

 
3.7

 
1,570.6

 
163.1

 
262.4

 
—

 
425.5

401(h) other benefit plan assets
     invested as pension assets (1)
 
(6.1
)
 
(37.9
)
 
(0.1
)
 
(44.1
)
 
6.1

 
37.9

 
0.1

 
44.1

Total (2)
 
$
210.4

 
$
1,312.5

 
$
3.6

 
$
1,526.5

 
$
169.2

 
$
300.3

 
$
0.1

 
$
469.6


(1)
Pension trust assets are used to pay other postretirement benefits as allowed under Internal Revenue Code Section 401(h).

(2)
Investments do not include accruals or pending transactions that are included in the table reconciling the change in fair value of plan assets.
 
 
December 31, 2012
 
 
Pension Plan Assets
 
Other Benefit Plan Assets
(Millions)
 
Level 1
 
Level 2
 
Level 3
 
Total
 
Level 1
 
Level 2
 
Level 3
 
Total
Asset Class
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Cash and cash equivalents
 
$
6.4

 
$
25.3

 
$
—

 
$
31.7

 
$
—

 
$
9.5

 
$
—

 
$
9.5

Equity securities:
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
United States equity
 
167.9

 
403.0

 
—

 
570.9

 
27.8

 
129.0

 
—

 
156.8

International equity
 
96.0

 
300.4

 
—

 
396.4

 
15.6

 
92.9

 
—

 
108.5

Fixed income securities:
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
United States government
 
—

 
100.3

 
—

 
100.3

 
112.7

 
—

 
—

 
112.7

Foreign government
 
—

 
20.4

 
4.1

 
24.5

 
—

 
—

 
—

 
—

Corporate debt
 
—

 
197.3

 
1.0

 
198.3

 
—

 
—

 
—

 
—

Asset-backed securities
 
—

 
56.5

 
0.1

 
56.6

 
—

 
—

 
—

 
—

Other
 
—

 
11.3

 
—

 
11.3

 
1.1

 
—

 
—

 
1.1

 
 
270.3

 
1,114.5

 
5.2

 
1,390.0

 
157.2

 
231.4

 
—

 
388.6

401(h) other benefit plan assets
     invested as pension assets (1)
 
(7.1
)
 
(29.3
)
 
(0.1
)
 
(36.5
)
 
7.1

 
29.3

 
0.1

 
36.5

Total (2)
 
$
263.2

 
$
1,085.2

 
$
5.1

 
$
1,353.5

 
$
164.3

 
$
260.7

 
$
0.1

 
$
425.1


(1)
Pension trust assets are used to pay other postretirement benefits as allowed under Internal Revenue Code Section 401(h).

(2)
Investments do not include accruals or pending transactions that are included in the table reconciling the change in fair value of plan assets.
Reconciliation of changes in the fair value of pension assets categorized as Level 3 measurements
The following table sets forth a reconciliation of changes in the fair value of pension plan assets categorized as Level 3 in the fair value hierarchy:
(Millions)
 
Foreign Government Debt
 
Corporate Debt
 
Asset-Backed Securities
 
Total
Beginning balance at January 1, 2013
 
$
4.1

 
$
1.0

 
$
0.1

 
$
5.2

Net realized and unrealized losses
 
(0.3
)
 
(0.4
)
 
—

 
(0.7
)
Purchases
 
0.6

 
—

 
—

 
0.6

Sales
 
(2.0
)
 
(0.4
)
 
—

 
(2.4
)
Transfers into Level 3
 
—

 
1.4

 
—

 
1.4

Transfers out of Level 3
 
—

 
(0.3
)
 
(0.1
)
 
(0.4
)
Ending balance at December 31, 2013
 
$
2.4

 
$
1.3

 
$
—

 
$
3.7

 
 
 
 
 
 
 
 
 
Net unrealized losses related to assets still held at the end of the period
 
$
(0.2
)
 
$
(0.3
)
 
$
—

 
$
(0.5
)
 
 
 
 
 
 
 
 
 



(Millions)
 
Foreign Government Debt
 
Corporate Debt
 
Asset-Backed Securities
 
Total
Beginning balance at January 1, 2012
 
$
5.7

 
$
2.1

 
$
—

 
$
7.8

Net realized and unrealized gains (losses)
 
0.5

 
0.2

 
—

 
0.7

Purchases
 
1.2

 
0.5

 
—

 
1.7

Sales
 
(2.0
)
 
(0.4
)
 
—

 
(2.4
)
Transfers into Level 3
 
—

 
—

 
0.1

 
0.1

Transfers out of Level 3
 
(1.3
)
 
(1.4
)
 
—

 
(2.7
)
Ending balance at December 31, 2012
 
$
4.1

 
$
1.0

 
$
0.1

 
$
5.2

 
 
 
 
 
 
 
 
 
Net unrealized losses related to assets still held at the end of the period
 
$
0.3

 
$
0.1

 
$
—

 
$
0.4
Schedule of expected payments for pension and other postretirement benefits and expected federal subsidies which will partially offset other postretirement benefits
The following table shows the payments, reflecting expected future service, that we expect to make for pension and other postretirement benefits. In addition, the table shows the expected federal subsidies, provided under the Medicare Prescription Drug, Improvement and Modernization Act of 2003, which will partially offset other postretirement benefits.
(Millions)
 
Pension Benefits
 
Other Benefits
 
Federal Subsidies
2014
 
$
125.1

 
$
30.0

 
$
2.2

2015
 
123.3

 
32.5

 
2.3

2016
 
126.1

 
35.0

 
2.5

2017
 
129.3

 
37.5

 
2.6

2018
 
125.9

 
39.9

 
2.7

2019 through 2023
 
657.6

 
234.1

 
15.8