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Defined Benefit Plans
 9 Months Ended
Sep. 30, 2014
Defined Benefit Plans
11. Defined Benefit Plans

The components of net periodic benefit cost (income) for pension and postretirement benefits for the nine and three months ended September 30, 2014 and 2013 were as follows:

 

     Nine Months Ended September 30,  
     Pension Benefits     Postretirement Benefits  
(In millions)    2014     2013     2014     2013  

Service cost

    $ 7.8      $ 8.6      $ —        $  0.3   

Interest cost

      24.7        22.5        0.5        1.3   

Expected return on plan assets

      (31.7 )      (31.3 )      —          —     

Recognition of prior service costs (credits)

      0.1        0.1        (24.2 )      (21.5 ) 

Recognition of actuarial losses

      1.1        0.8        0.6        4.8   

Curtailment and settlement losses

      —          0.1        —          0.1   
  

 

 

    

 

 

    

 

 

    

 

 

  

Net periodic benefit cost (income)

    $ 2.0      $ 0.8      $ (23.1 )      $ (15.0)   

 

     Three Months Ended September 30,  
     Pension Benefits     Postretirement Benefits  
(In millions)    2014     2013     2014     2013  

Service cost

    $ 2.4      $  2.3      $ —        $ 0.1   

Interest cost

      8.5        7.5        0.1        0.3   

Expected return on plan assets

      (10.6 )      (10.5 )      —          —     

Recognition of prior service costs (credits)

      —          —          (6.5 )      (5.7 ) 

Recognition of actuarial losses (gains)

      1.1        0.7        —          (0.5 ) 

Curtailment and settlement losses

      —          0.1        —          0.1   
  

 

 

    

 

 

    

 

 

    

 

 

  

Net periodic benefit cost (income)

    $ 1.4      $ 0.1      $ (6.4 )    $ (5.7 ) 

In the third quarter of 2014, the Company made qualified pension plan contributions of approximately $2 million. In the remainder of 2014, we do not expect to make additional qualified pension plan contributions.

In the first quarter of 2014, we communicated our decision to amend certain postretirement benefits to reduce health benefits for certain current and retired employees. The impact of these changes was a reduction in accrued retiree benefit plan liabilities of $15.3 million and we recorded actuarial losses of $0.6 million and prior service credits of $3.5 million. In the first half of 2013, we communicated our decision to amend certain postretirement benefit plans to reduce health benefits for certain current and retired employees. The impact of these changes was a reduction in accrued retiree benefits of $34.8 million in the first nine months of 2013 and we recognized actuarial losses of $4.8 million in the first nine months of 2013 due to a decrease in the discount rate and a resulting lower threshold for loss recognition because of the reduced postretirement obligation. Liability reductions from these plan amendments are recorded as amortization of prior service cost in net income in accordance with accounting requirements. See Note 18, “Accumulated Other Comprehensive Income,” for information on the impact on accumulated other comprehensive income.