PENSION AND POSTRETIREMENT HEALTH AND LIFE BENEFITS

The components of net benefit costs for pension and postretirement health and life benefit plans were as follows (in millions):



	Defined Benefit Pension Plans						Postretirement Health and Life Benefit Plans
	Three Months Ended March 31,						Three Months Ended March 31,
	2014			2013			2014			2013
Service costs	$	0.6		$	3.7		$	0.5		$	0.9
Interest costs	10.5			11.0			2.5			2.2
Expected returns on plan assets (gains)	(12.8		)	(12.8		)	(0.5		)	(0.6		)
Amortization of actuarial (gains) losses, net	0.3			6.1			—			0.7
Amortization of prior service costs (credits)	—			0.2			(0.1		)	—
Net benefit costs (credit)	$	(1.4	)	$	8.2		$	2.4		$	3.2

USEC expects to contribute $28.7 million to the defined benefit pension plans in 2014, including $26.5 million of required contributions under ERISA and $2.2 million to non-qualified plans. USEC has contributed $5.8 million in the three months ended March 31, 2014.

There is no required contribution for the postretirement health and life benefit plans under ERISA and USEC does not expect to contribute in 2014. USEC receives federal subsidy payments for sponsoring prescription drug benefits that are at least actuarially equivalent to Medicare Part D.

Net periodic benefit costs related to continued operations are allocated to cost of sales, selling, general and administrative expense, and advanced technology costs.

The defined benefit pension plans were amended to allow a lump sum payment option to active employees who are not covered by a collective bargaining agreement at the Paducah GDP who are terminated as a result of participation in a reduction in force from August 5, 2013 through December 31, 2014. Any lump sum distributions in connection with this program would fully settle USEC's long-term pension obligations related to those benefits. Total lump sum benefits paid in the first quarter of 2014 were $5.0 million. Settlement accounting, which requires immediate recognition of a portion of amounts deferred in accumulated other comprehensive income, need not be followed if the sum of the settlements for the year is less than the service cost and interest cost components of the net periodic benefit cost for the plan year, determined on a plan by plan basis. Total lump sum payments in the first quarter of 2014 fell below the minimum settlement accounting thresholds for the plans and therefore settlement accounting was not required.