19.

Pension Plans and Other Postretirement Benefits

NewMarket uses a December 31 measurement date for all of our plans.

U.S. Retirement Plans

NewMarket sponsors pension plans for all full-time U.S. employees that offer a benefit based primarily on years of service and compensation. Employees do not contribute to these pension plans.

In addition, we offer an unfunded, nonqualified supplemental pension plan. This plan restores the pension benefits from our regular pension plans that would have been payable to designated participants if it were not for limitations imposed by U.S. federal income tax regulations.

We also provide postretirement health care benefits and life insurance to eligible retired employees. NewMarket pays the premium for the insurance contract that holds plan assets for retiree life insurance benefits.

The components of net periodic pension and postretirement benefit costs, as well as other amounts recognized in other comprehensive loss, are shown below.


	Years Ended December 31
	Pension Benefits									Postretirement Benefits
	2011			2010			2009			2011			2010			2009
Net periodic benefit cost
Service cost	$	7,055		$	6,755		$	5,720		$	1,514		$	1,336		$	1,085
Interest cost		9,079			8,559			7,934			3,158			3,277			3,408
Expected return on plan assets		(11,445	)		(9,689	)		(8,592	)		(1,595	)		(1,627	)		(1,636	)
Amortization of prior service cost		306			292			289			8			9			9
Amortization of actuarial net loss (gain)		3,203			3,371			2,497			(602	)		(439	)		(453	)

Net periodic benefit cost	$	8,198		$	9,288		$	7,848		$	2,483		$	2,556		$	2,413

Other changes in plan assets and benefit obligations recognized in other comprehensive income (loss)
Actuarial net loss (gain)	$	37,484		$	(7,530	)	$	862		$	5,072		$	(1,754	)	$	704
Prior service cost		0			1,193			0			0			0			0
Amortization of actuarial net (loss) gain		(3,203	)		(3,371	)		(2,497	)		602			439			453
Amortization of prior service cost		(306	)		(292	)		(289	)		(8	)		(9	)		(9	)

Total recognized in other comprehensive income (loss)	$	33,975		$	(10,000	)	$	(1,924	)	$	5,666		$	(1,324	)	$	1,148

Total recognized in net periodic benefit cost and other comprehensive income (loss)	$	42,173		$	(712	)	$	5,924		$	8,149		$	1,232		$	3,561

The estimated actuarial net loss which will be amortized from accumulated other comprehensive loss into net periodic benefit cost during 2012 is expected to be $5 million for pension plans. There will be no estimated actuarial net gain to be amortized from accumulated other comprehensive loss into net periodic benefit cost during 2012 for postretirement benefit plans. The estimated prior service cost which will be amortized from accumulated other comprehensive loss into net periodic benefit cost during 2012 is expected to be $200 thousand for pension plans, while the estimated prior service credit which will be amortized from accumulated comprehensive loss into net periodic benefit cost during 2012 is expected to be $9 thousand for postretirement benefit plans.

Changes in the plans' benefit obligations and assets follow.


	Years Ended December 31
	Pension Benefits						Postretirement Benefits
	2011			2010			2011			2010
Change in benefit obligation
Benefit obligation at beginning of year	$	154,579		$	147,211		$	58,770		$	59,733
Service cost		7,055			6,755			1,514			1,336
Interest cost		9,079			8,559			3,158			3,277
Plan amendment		0			1,193			0			0
Actuarial net loss (gain)		26,505			(3,677	)		4,324			(2,280	)
Benefits paid		(6,157	)		(5,462	)		(3,283	)		(3,296	)

Benefit obligation at end of year	$	191,061		$	154,579		$	64,483		$	58,770

Change in plan assets
Fair value of plan assets at beginning of year	$	112,143		$	90,141		$	26,623		$	27,157
Actual return on plan assets		466			13,542			847			1,101
Employer contributions		22,634			13,922			1,716			1,661
Benefits paid		(6,157	)		(5,462	)		(3,283	)		(3,296	)

Fair value of plan assets at end of year	$	129,086		$	112,143		$	25,903		$	26,623

Funded status	$	(61,975	)	$	(42,436	)	$	(38,580	)	$	(32,147	)

Amounts recognized in the Consolidated Balance Sheets
Noncurrent assets	$	0		$	661		$	0		$	0
Current liabilities		(2,443	)		(2,434	)		(1,800	)		(1,809	)
Noncurrent liabilities		(59,532	)		(40,663	)		(36,780	)		(30,338	)

	$	(61,975	)	$	(42,436	)	$	(38,580	)	$	(32,147	)

Amounts recognized in accumulated other comprehensive loss
Actuarial net loss (gain)	$	95,031		$	60,750		$	(5,846	)	$	(11,520	)
Prior service (cost) credit		(892	)		(586	)		27			35

	$	94,139		$	60,164		$	(5,819	)	$	(11,485	)

The 2010 plan amendment in the table above represents contract negotiations with the Sauget and Houston plans.

The accumulated benefit obligation for all domestic defined benefit pension plans was $159 million at December 31, 2011 and $130 million at December 31, 2010.

The projected benefit obligation exceeded the fair market value of plan assets for all domestic plans at December 31, 2011. The accumulated benefit obligation exceeded the fair market value of plan assets for all the domestic plans, except for the Port Arthur plan, at December 31, 2011.

The projected benefit obligation exceeded the fair market value of plan assets for all domestic plans, except for the Port Arthur and Sauget plans, at December 31, 2010. The fair market value of plan assets for all domestic plans, except the nonqualified plan, exceeded the accumulated benefit obligation at December 31, 2010.

The net asset position for plans in which assets exceed the projected benefit obligation is included in prepaid pension cost on the Consolidated Balance Sheets. The net liability position of plans in which the projected benefit obligation exceeds assets is included in other noncurrent liabilities on the Consolidated Balance Sheets. A portion of the accrued benefit cost for the nonqualified plan is included in current liabilities at both December 31, 2011 and December 31, 2010. As the nonqualified plan is unfunded, the amount reflected in current liabilities represents the expected benefit payments related to the nonqualified plan during 2012.

The following table shows information on domestic pension plans with the accumulated benefit obligation in excess of plan assets. The second table presents information on domestic pension plans with the projected benefit obligation in excess of plan assets.


	2011		2010
Plans with the accumulated benefit obligation in excess of the fair market value of plan assets
Projected benefit obligation	$	189,260	$	25,825
Accumulated benefit obligation		157,444		24,429
Fair market value of plan assets		127,323		0

	2011		2010
Plans with the projected benefit obligation in excess of the fair market value of plan assets
Projected benefit obligation	$	191,061	$	130,501
Fair market value of plan assets		129,086		87,377

There are no assets held in the nonqualified plan by the trustee for the retired beneficiaries of the nonqualified plan. Payments to retired beneficiaries of the nonqualified plan are made with cash from operations.

Assumptions—We used the following assumptions to calculate the results of our retirement plans:


	Pension Benefits									Postretirement Benefits
	2011			2010			2009			2011			2010			2009
Weighted-average assumptions used to determine net periodic benefit cost for years ended December 31
Discount rate		5.875	%		5.875	%		6.250	%		5.875	%		5.875	%		6.250	%
Expected long-term rate of return on plan assets		9.00	%		9.00	%		9.00	%		6.25	%		6.25	%		6.25	%
Rate of projected compensation increase		3.50	%		4.00	%		3.75	%

Weighted-average assumptions used to determine benefit obligations at December 31
Discount rate		5.000	%		5.875	%		5.875	%		5.000	%		5.875	%		5.875	%
Rate of projected compensation increase		3.50	%		3.50	%		4.00	%

For pension plans, we base the assumed expected long-term rate of return for plan assets on an analysis of our actual investments, including our asset allocation, as well as a stochastic analysis of expected returns. This analysis reflects the expected long-term rates of return for each significant asset class and economic indicator. As of January 1, 2012, the expected rates were 8.8% for U.S. large cap stocks, 3.0% for fixed income, and 2.3% for inflation. The range of returns developed relies both on forecasts and on broad-market historical benchmarks for expected return, correlation, and volatility for each asset class. Our asset allocation is predominantly weighted toward equities. Through our ongoing monitoring of our investments, we have determined that we should maintain the expected long-term rate of return for our U.S. plans at 9.0% at December 31, 2011. For the post-retirement plan, we based the assumed expected long-term rate of return for plan assets on an evaluation of projected interest rates, as well as the guaranteed interest rate for our insurance contract.

Assumed health care cost trend rates at December 31 are shown in the table below. The expected health care cost trend rate for 2011 was 8.5%.


	2011			2010
Health care cost trend rate assumed for next year		8.0	%		8.5	%
Rate to which the cost trend rate is assumed to decline (the ultimate trend rate)		5.75	%		5.0	%
Year that the rate reaches the ultimate trend rate		2017			2018

A one-percentage point change in the assumed health care cost trend rate would have the following effects.


	1% Increase		1% Decrease
Effect on accumulated postretirement benefit obligation as of December 31, 2011	$	8,965	$	(7,015	)
Effect on net periodic postretirement benefit cost in 2011	$	820	$	(626	)

The Patient Protection and Affordable Care Act (PPACA), as amended by the Health Care and Education Reconciliation Act of 2010, was signed into law in March 2010. The PPACA mandates health care reforms with effective dates from 2010 to 2018, including an excise tax on high cost health care plans effective in 2018. The additional accumulated postretirement liability resulting from the PPACA is not material and has been included in the benefit obligation for our postretirement plan at December 31, 2011 and December 31, 2010. Given the complexity of the PPACA and the extended time period during which implementation is currently expected to occur, additional adjustments to the benefit obligation may be necessary.

Plan Assets—Pension plan assets are held and distributed by trusts and consist principally of common stock and investment-grade fixed income securities. We invest directly in common stocks, as well as in funds which primarily hold stock and debt securities. Our target allocation is 90% to 97% in equities and 3% to 10% in debt securities or cash.

The pension obligation is long-term in nature and the investment philosophy followed by the Pension Investment Committee is likewise long-term in its approach. The majority of the pension funds are invested in equity securities as historically, equity securities have outperformed debt securities and cash investments, resulting in a higher investment return over the long-term. While in the short-term, equity securities may underperform other investment classes, we are less concerned with short-term results and more concerned with long-term improvement. The pension funds are managed by six different investment companies who predominantly invest in U.S. and international equities. Each investment company's performance is reviewed quarterly. A small portion of the funds is in investments, such as cash or short-term bonds, which historically has been less vulnerable to short-term market swings. These funds are used to provide the cash needed to meet our monthly obligations.

There are no significant concentrations of risk within plan assets, nor do the equity securities include any NewMarket common stock for any year presented.

The assets of the postretirement benefit plan are invested completely in an insurance contract held by Metropolitan Life. No NewMarket common stock is included in these assets.

The following table provides information on the fair value of our pension and postretirement benefit plans assets, as well as the related level within the fair value hierarchy.


	December 31, 2011								December 31, 2010
			Fair Value Measurements Using								Fair Value Measurements Using
	Fair Value		Level 1		Level 2		Level 3		Fair Value		Level 1		Level 2		Level 3
Pension Plans
Equity securities:
U. S. companies	$	89,659	$	89,659	$	0	$	0	$	73,814	$	73,808	$	6	$	0
International companies		11,234		11,234		0		0		11,978		11,768		210		0
Real estate investment trusts		1,198		1,198		0		0		1,930		1,930		0		0
Exchange traded funds		0		0		0		0		838		838		0		0
Common collective trust		11,898		0		11,898		0		12,453		0		12,453		0
Money market instruments		3,367		3,367		0		0		2,687		2,687		0		0
Mutual funds—fixed income		8,090		8,090		0		0		6,987		6,987		0		0
Cash and cash equivalents		3,198		3,198		0		0		1,192		1,192		0		0
Insurance contract		442		0		442		0		264		0		264		0

	$	129,086	$	116,746	$	12,340	$	0	$	112,143	$	99,210	$	12,933	$	0

Postretirement Plans
Insurance contract	$	25,903	$	0	$	25,903	$	0	$	26,623	$	0	$	26,623	$	0

The 2010 common collective trust fair value has been reclassified from Level 1 to Level 2 to conform to current presentation.

The valuation methodologies used to develop the fair value measurements for the investments in the table above is outlined below. There have been no changes in the valuation techniques used to value the investments.

•

Equity securities, including common stock, real estate investment trusts, and exchange traded funds, are valued at the closing price reported on a national exchange.

•

The common collective trust is valued at the net asset value of units held by the Plan based on quoted market value of the underlying investments held by the fund.

•

Mutual funds are valued at the closing price reported on a national exchange.

•

Money market instruments are valued at cost, which approximates fair value.

•

Cash and cash equivalents are valued at cost.

•

The insurance contracts are unallocated funds deposited with an insurance company and are stated at an amount equal to the sum of all amounts deposited less the sum of all amounts withdrawn, adjusted for investment return.

Cash Flows—For U.S. plans, NewMarket expects to contribute $23 million to the pension plans and $2 million to our other postretirement benefit plans in 2012. The expected benefit payments for the next ten years are as follows.


	Expected Pension Benefit Payments		Expected Postretirement Benefit Payments
2012	$	6,713	$	3,917
2013		7,194		3,809
2014		7,804		3,679
2015		8,767		3,568
2016		9,453		3,449
2017 through 2021		58,493		15,831

Foreign Retirement Plans

For most employees of our foreign subsidiaries, NewMarket has defined benefit pension plans that offer benefits based primarily on years of service and compensation. These defined benefit plans provide benefits for employees of our foreign subsidiaries located in Belgium, the United Kingdom, Germany, and Canada. NewMarket generally contributes to investment trusts and insurance policies to provide for these plans.

In addition to the foreign defined benefit pension plans, NewMarket also provides retirement benefits in Japan and Brazil which are not defined benefit plans. The total pension expense for these plans was $300 thousand for 2011, $200 thousand for 2010, and $100 thousand for 2009.

Our foreign subsidiary in Canada also sponsors a defined benefit postretirement plan. This postretirement plan provides certain health care benefits and life insurance to eligible retired employees. We pay the entire premium for these benefits.

The components of net periodic pension and postretirement benefit costs, as well as other amounts recognized in other comprehensive loss, for these foreign defined benefit retirement plans are shown below.


	Years Ended December 31
	Pension Benefits									Postretirement Benefits
	2011			2010			2009			2011			2010			2009
Net periodic benefit cost
Service cost	$	4,510		$	3,015		$	2,543		$	30		$	25		$	13
Interest cost		5,881			5,447			5,010			153			146			142
Expected return on plan assets		(6,365	)		(5,344	)		(3,918	)		0			0			0
Amortization of prior service cost		84			86			77			0			0			0
Amortization of transition (asset) obligation		0			(37	)		(35	)		53			52			47
Amortization of actuarial net loss		1,083			1,240			1,618			61			53			34
Settlement loss		0			0			241			0			0			0

Net periodic benefit cost	$	5,193		$	4,407		$	5,536		$	297		$	276		$	236


Other changes in plan assets and benefit obligations recognized in other comprehensive income (loss)
Actuarial net loss (gain)	$	2,447		$	(723	)	$	(2,720	)	$	(374	)	$	115		$	521
Prior service cost		0			49			56			0			0			0
Settlement loss		0			0			(241	)		0			0			0
Amortization of transition asset (obligation)		0			37			35			(53	)		(52	)		(47	)
Amortization of actuarial net loss		(1,083	)		(1,240	)		(1,618	)		(61	)		(53	)		(34	)
Amortization of prior service cost		(84	)		(86	)		(77	)		0			0			0

Total recognized in other comprehensive income (loss)	$	1,280		$	(1,963	)	$	(4,565	)	$	(488	)	$	10		$	440

Total recognized in net periodic benefit cost and other comprehensive income (loss)	$	6,473		$	2,444		$	971		$	(191	)	$	286		$	676

The estimated actuarial net loss which will be amortized from accumulated other comprehensive loss into net periodic benefit cost during 2012 is expected to be $1 million for foreign pension plans and $30 thousand for foreign postretirement benefit plans. The estimated prior service cost which will be amortized from accumulated other comprehensive loss into net periodic benefit cost during 2012 is expected to be $300 thousand for foreign pension plans and zero for foreign postretirement benefit plans. There will be no estimated unrecognized transition asset amortized from accumulated other comprehensive loss into net periodic benefit cost during 2012 for foreign pension plans. The estimated unrecognized transition obligation which will be amortized from accumulated other comprehensive loss into net periodic benefit cost during 2012 is expected to be $50 thousand expense for foreign postretirement benefit plans.

Changes in the benefit obligations and assets of the foreign defined benefit plans follow.


	Years Ended December 31
	Pension Benefits						Postretirement Benefits
	2011			2010			2011			2010
Change in benefit obligation
Benefit obligation at beginning of year	$	108,304		$	102,092		$	3,068		$	2,810
Service cost		4,510			3,015			30			25
Interest cost		5,881			5,447			153			146
Plan amendments		0			48			0			0
Employee contributions		662			551			0			0
Actuarial net (gain) loss		(1,392	)		4,832			(391	)		113
Benefits paid		(4,095	)		(4,026	)		(213	)		(174	)
Foreign currency translation		(1,214	)		(3,655	)		(51	)		148

Benefit obligation at end of year	$	112,656		$	108,304		$	2,596		$	3,068

Change in plan assets
Fair value of plan assets at beginning of year	$	103,364		$	92,456		$	0		$	0
Actual return on plan assets		2,364			10,887			0			0
Employer contributions		6,699			6,369			213			174
Employee contributions		662			551			0			0
Benefits paid		(4,095	)		(4,026	)		(213	)		(174	)
Foreign currency translation		(817	)		(2,873	)		0			0

Fair value of plan assets at end of year	$	108,177		$	103,364		$	0		$	0

Funded status	$	(4,479	)	$	(4,940	)	$	(2,596	)	$	(3,068	)

Amounts recognized in the Consolidated Balance Sheets
Noncurrent assets	$	11,494		$	7,936		$	0		$	0
Current liabilities		(384	)		(373	)		(206	)		(163	)
Noncurrent liabilities		(15,589	)		(12,503	)		(2,390	)		(2,905	)

	$	(4,479	)	$	(4,940	)	$	(2,596	)	$	(3,068	)

Amounts recognized in accumulated other comprehensive loss
Actuarial net loss	$	32,923		$	31,559		$	515		$	950
Prior service cost		(2,246	)		(2,162	)		0			0
Transition obligation		10			10			285			338

	$	30,687		$	29,407		$	800		$	1,288

The accumulated benefit obligation for all foreign defined benefit pension plans was $98 million at December 31, 2011 and $95 million at December 31, 2010.

The fair market value of plan assets exceeded both the accumulated benefit obligation and projected benefit obligation for the United Kingdom plan at year-end 2011. The net asset position of the United Kingdom plan is included in prepaid pension cost on the Consolidated Balance Sheets at December 31, 2011. The accumulated benefit obligation and projected benefit obligation exceeded the fair market value of plan assets for the German, Afton Belgium, Canadian Hourly, and Canadian Salary plans at December 31, 2011. The accrued benefit cost of these plans is included in other noncurrent liabilities on the Consolidated Balance Sheets. As the German plan is unfunded, a portion of the accrued benefit cost for the German plan is included in current liabilities at year-end 2011 reflecting the expected benefit payments related to the plan for the following year.

The fair market value of plan assets exceeded both the accumulated benefit obligation and projected benefit obligation for the Canadian Salary plan and the United Kingdom plan at year-end 2010. The net asset positions of the Canadian Salary plan and the United Kingdom plan are included in prepaid pension cost on the Consolidated Balance Sheets in 2010. For the Canadian Hourly plan in 2010, the fair market value of plan assets exceeded the accumulated benefit obligation, but not the projected benefit obligation. The net liability position of the Canadian Hourly plan is included in noncurrent liabilities. The accumulated benefit obligation and projected benefit obligation exceed the fair market value of plan assets for the German and Afton Belgium plans at December 31, 2010. The accrued benefit cost of these plans is included in other noncurrent liabilities on the Consolidated Balance Sheets. A portion of the accrued benefit cost of the German plan is included in current liabilities.

The following table shows information on foreign plans with the accumulated benefit obligation in excess of plan assets. The second table shows information on plans with the projected benefit obligation in excess of plan assets.


	2011		2010
Plans with the accumulated benefit obligation in excess of the fair market value of plan assets
Projected benefit obligation	$	38,758	$	22,245
Accumulated benefit obligation		30,902		16,120
Fair market value of plan assets		22,785		9,492

	2011		2010
Plans with the projected benefit obligation in excess of the fair market value of plan assets
Projected benefit obligation	$	38,758	$	25,594
Fair market value of plan assets		22,785		12,717

Assumptions—The information in the table below provides the weighted-average assumptions used to calculate the results of our foreign defined benefit plans.


	Pension Benefits									Postretirement Benefits
	2011			2010			2009			2011			2010			2009
Weighted-average assumptions used to determine net periodic benefit cost for the years ended December 31
Discount rate		5.16	%		5.52	%		5.93	%		5.00	%		5.25	%		7.00	%
Expected long-term rate of return on plan assets		5.92	%		5.92	%		5.35	%
Rate of projected compensation increase		4.63	%		4.22	%		4.24	%

Weighted-average assumptions used to determine benefit obligations at December 31
Discount rate		4.65	%		5.16	%		5.52	%		4.25	%		5.00	%		5.25	%
Rate of projected compensation increase		4.24	%		4.63	%		4.22	%

The actuarial assumptions used by the various foreign locations are based upon the circumstances of each particular country and pension plan. The factors impacting the determination of the long-term rate of return for a particular foreign pension plan include the market conditions within a particular country, as well as the investment strategy and asset allocation of the specific plan.

Assumed health care cost trend rates at December 31 are shown in the table below.


	2011			2010
Health care cost trend rate assumed for next year		5.0	%		7.5	%
Rate to which the cost trend rate is assumed to decline (the ultimate trend rate)		5.0	%		5.0	%
Year that the rate reaches the ultimate trend rate		2012			2016

A one-percentage point change in the assumed health care cost trend rate would have the following effects.


	1% Increase		1% Decrease
Effect on accumulated postretirement benefit obligation as of December 31, 2011	$	292	$	(361	)
Effect on net periodic postretirement benefit cost in 2011	$	1	$	(3	)

Plan Assets—Pension plan assets vary by foreign location and plan. Assets are held and distributed by trusts and, depending upon the foreign location and plan, consist primarily of equity securities, corporate and government debt securities, cash, and insurance contracts. The combined average target allocation of our foreign pension plans is 53% in equities, 34% in debt securities, 9% in insurance contracts, and 4% in a pooled investment property fund.

While the pension obligation is long-term in nature for each of our foreign plans, the investment strategies followed by each plan vary to some degree based upon the laws of a particular country, as well as the provisions of the specific pension trust. The United Kingdom and Canadian plans are invested predominantly in equity securities and debt securities. The funds of these plans are managed by various trustees and investment companies whose performance is reviewed throughout the year. The Afton Belgium plan is invested in an insurance contract. The German plan has no assets.

There are no significant concentrations of risk within plan assets, nor do the equity securities include any NewMarket common stock for any year presented. The benefits of the Canadian postretirement benefit plan are paid through an insurance contract.

The following table provides information on the fair value of our foreign pension plans assets, as well as the related level within the fair value hierarchy.


	December 31, 2011								December 31, 2010
			Fair Value Measurements Using								Fair Value Measurements Using
	Fair Value		Level 1		Level 2		Level 3		Fair Value		Level 1		Level 2		Level 3
Pension Plans
Equity securities:
U.S. companies	$	5,833	$	5,833	$	0	$	0	$	6,081	$	6,081	$	0	$	0
International companies		38,159		38,159		0		0		39,826		39,826		0		0
Debt securities—corporate		16,715		16,715		0		0		13,233		13,233		0		0
Debt securities—government		20,222		20,222		0		0		16,418		16,418		0		0
Cash and cash equivalents		297		297		0		0		465		465		0		0
Pooled investment funds:
Equity securities—U.S. companies		825		0		825		0		786		0		786		0
Equity securities—international companies		8,735		0		8,735		0		9,752		0		9,752		0
Debt securities—corporate		690		0		690		0		470		0		470		0
Debt securities—government		779		0		779		0		940		0		940		0
Money market instruments		1,635		0		1,635		0		1,720		0		1,720		0
Cash and cash equivalents		333		0		333		0		278		0		278		0
Property		4,166		0		4,166		0		3,903		0		3,903		0
Insurance contract		9,788		0		9,788		0		9,492		0		9,492		0

	$	108,177	$	81,226	$	26,951	$	0	$	103,364	$	76,023	$	27,341	$	0

The valuation methodologies used to develop the fair value measurements for the investments in the table above are outlined below. There have been no changes in the valuation techniques used to value the investments.

•

Equity securities are valued at the closing price reported on a national exchange.

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Corporate and government debt securities are composed of bond funds that are priced daily.

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Cash and cash equivalents are valued at cost.

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The insurance contracts are funds deposited with an insurance company and are stated at an amount equal to the sum of all amounts deposited less the sum of all amounts withdrawn, adjusted for investment return.

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The pooled investment funds are priced daily. The underlying assets that are invested in equity securities, as well as corporate and government debt securities are listed on a recognized exchange. The underlying assets that are invested in property are valued monthly by an independent property management firm.

Cash Flows—For foreign pension plans, NewMarket expects to contribute $6 million to the plans in 2012. We expect to contribute approximately $200 thousand to the Canadian postretirement benefit plan. The expected benefit payments for the next ten years are as follows:


	Expected Pension Benefit Payments		Expected Postretirement Benefit Payments
2012	$	3,444	$	206
2013		4,179		139
2014		3,284		145
2015		4,142		150
2016		3,783		154
2017 through 2021		20,519		789