Note 10: Pension Plans

Snap-on’s net periodic pension cost included the following components:


	Three Months Ended				Six Months Ended
(Amounts in millions)	June 29, 2013		June 30, 2012		June 29, 2013		June 30, 2012
Service cost	$	4.6	$	5.2	$	10.2	$	10.5
Interest cost		13.0		13.0		25.8		25.8
Expected return on plan assets		(17.8)		(16.9)		(35.3)		(33.0)
Amortization of unrecognized loss		11.0		11.0		20.7		20.8
Amortization of prior service cost (credit)		(0.2)		0.3		(0.4)		0.6
Settlement loss recognized		–		6.8		–		6.8

Net periodic pension cost	$	10.6	$	19.4	$	21.0	$	31.5

Snap-on intends to make contributions of $10.2 million to its foreign pension plans and $1.6 million to its domestic pension plans in 2013, as required by law. In the first six months of 2013, Snap-on made $15.7 million of cash contributions to its domestic pension plans that included (i) $15.0 million of discretionary contributions; and (ii) $0.7 million of required contributions. Depending on market and other conditions, Snap-on may elect to make additional discretionary cash contributions to its domestic pension plans in 2013.