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Retirement Benefit Plans (Tables)
 12 Months Ended
Dec. 31, 2012
Defined Benefit Plan Disclosure [Line Items]  
Schedule of Defined Benefit Plans Disclosures
The following tables set forth the change in plan assets, change in projected benefit obligation, rate assumptions and components of net periodic benefit cost as of December 31 with respect to these plans. The measurement dates of the assets and liabilities of both plans were December 31 of the respective years presented.
 
 
 
Year Ended December 31, 2012
(in thousands)   
 
Hourly  
Employees’
Pension Plan
Employees’
Retirement
Plan
Total
Change in projected benefit obligation 
 
 

 

 

Benefit obligation at beginning of year
 
$
10,454

$
19,238

$
29,692

Service cost
 
10

4

14

Interest cost
 
411

788

1,199

Liability actuarial (gain)/loss
 
549

1,619

2,168

Benefits paid
 
(638
)
(726
)
(1,364
)
Benefit obligation at end of year
 
10,786

20,923

31,709

Change in fair value of plan assets  
 
 
 
 
Fair value of plan assets at beginning of year
 
6,663

12,237

18,900

Return on plan assets
 
937

1,722

2,659

Employer contributions
 
728

915

1,643

Benefits paid
 
(638
)
(726
)
(1,364
)
Fair value of plan assets at end of year
 
7,690

14,148

21,838

Underfunded status – December 31, 2012
 
$
(3,096
)
$
(6,775
)
$
(9,871
)
Accumulated benefit obligation – December 31, 2012
 
$
10,786

$
20,923

$
31,709

 
 
 
 
Year Ended December 31, 2011
(in thousands)
 
Hourly  
Employees’
Pension Plan
Employees’
Retirement
Plan
Total
Change in projected benefit obligation 
 
 

 

 

Benefit obligation at beginning of year
 
$
9,511

$
16,427

$
25,938

Service cost
 
8

4

12

Interest cost
 
469

858

1,327

Liability actuarial (gain)/loss
 
1,098

2,651

3,749

Benefits paid
 
(632
)
(702
)
(1,334
)
Benefit obligation at end of year
 
10,454

19,238

29,692

Change in fair value of plan assets  
 
 
 
 
Fair value of plan assets at beginning of year
 
6,303

12,485

18,788

Return on plan assets
 
(73
)
(65
)
(138
)
Employer contributions
 
1,065

519

1,584

Benefits paid
 
(632
)
(702
)
(1,334
)
Fair value of plan assets at end of year
 
6,663

12,237

18,900

Underfunded status – December 31, 2011
 
$
(3,791
)
$
(7,001
)
$
(10,792
)
Accumulated benefit obligation – December 31, 2011
 
$
10,454

$
19,238

$
29,692
Schedule of Assumptions Used
Assumptions used to determine benefit obligations at December 31:
 
 
 
Hourly Employees’
Pension Plan
 
Employees’
Retirement Plan
 
 
2012
2011
 
2012
2011
Discount rate
 
3.55%
4.06%
 
3.70%
4.18%
Composite rate of compensation increase
 
N/A
N/A
 
N/A
N/A
 
Assumptions used to determine net periodic benefit cost for the years ended December 31:
 
 
 
Hourly Employees’
Pension Plan
 
Employees’
Retirement Plan
 
 
2012
2011
 
2012
2011
Discount rate
 
4.06%
5.12%
 
4.18%
5.30%
Long-term rate of return on plan assets
 
7.75%
7.75%
 
7.75%
7.75%
Composite rate of compensation increase
 
N/A
N/A
 
N/A
N/A
Schedule of Net Benefit Costs
The following tables present the components of net periodic benefit cost (gains are denoted with parentheses and losses are not):
 
 
 
Year Ended December 31, 2012
 
(in thousands)
 
Hourly Employees’
Pension Plan
 
Employees’
Retirement Plan
 
Total
Service cost
 
$
10

 
$
4

 
$
14

Interest cost
 
411

 
788

 
1,199

Expected return on plan assets
 
(520
)
 
(951
)
 
(1,471
)
Amortization of prior service cost
 
—

 
—

 
—

Amortization of net (gain)/loss
 
280

 
379

 
659

Net periodic benefit cost
 
$
181

 
$
220

 
$
401

  
 
 
Year Ended December 31, 2011
 
(in thousands)
 
Hourly Employees’
Pension Plan
 
Employees’
Retirement Plan
 
Total
Service cost
 
$
8

 
$
4

 
$
12

Interest cost
 
469

 
858

 
1,327

Expected return on plan assets
 
(514
)
 
(963
)
 
(1,477
)
Amortization of prior service cost
 
—

 
—

 
—

Amortization of net (gain)/loss
 
117

 
77

 
194

Net periodic benefit cost
 
$
80

 
$
(24
)
 
$
56
Schedule of Allocation of Plan Assets
The pension plans' weighted-average asset allocations as a percentage of plan assets at December 31 are as follows:
 
 
 
Hourly Employees’
Pension Plan
 
Employees’ Retirement
Plan
 
 
2012
2011
 
2012
2011
Equity securities
 
55%
56%
 
55%
56%
Debt securities
 
38%
38%
 
38%
38%
Short-term investments
 
2%
1%
 
2%
1%
Other
 
5%
5%
 
5%
5%
Total
 
100%
100%
 
100%
100%
Fair Value, Assets Measured on Recurring Basis
The following table presents the hierarchy levels for our postretirement benefit plan investments as of December 31:
 
 
 
 
 
(in thousands)
December 31, 2012
Quoted
Prices in Active
Markets for
Identical Assets
(Level 1)
 
Significant
Other
Observable
Inputs
(Level 2)
 
 
Significant
Unobservable
Inputs
(Level 3)
Mutual Funds:
 
 
 
 
    Small Cap
$
—

$
—

$
—

$
—

    Mid Cap
1,376

1,376

 
 
    Large Cap
7,126

7,126

 
 
    International
2,201

2,201

 
 
 
 
 
 
 
Common/Collective:
 
 
 
 
    Liability Driven Solution
3,074



3,074



    Wells Fargo International Equity Index Fund
1,097

 
1,097

 
    Wells Fargo Thornburg International
1,103

 
1,103

 
    Wells Fargo Large Cap Growth Index Fund
1,216

 
1,216

 
    Wells Fargo Large Cap Value Index Fund
1,210

 
1,210

 
    Wells Fargo Multi-Manager Small Cap
1,481

 
1,481

 
    Wells Fargo Russell 2000 Index Fund
708

 
708

 
    Wells Fargo S&P Mid Cap Index Fund
825

 
825

 
 
 
 
 
 
Cash & Short-term Investments
421

421

 
 
Total
$
21,838

$
11,124

$
10,714

$
—

            
 
 
 
 
(in thousands)
December 31, 2011
Quoted
Prices in Active
Markets for
Identical Assets
(Level 1)
 
Significant
Other
Observable
Inputs
(Level 2)
 
 
Significant
Unobservable
Inputs
(Level 3)
Mutual Funds:
 
 
 
 
    Small Cap
$
1,321

$
1,321

$
—

$
—

    Mid Cap
1,238

1,238

 
 
    Large Cap
7,130

7,130

 
 
    International
1,835

1,835

 
 
 
 
 
 
 
Common/Collective:
 
 
 
 
    Liability Driven Solution
2,614

—

2,614

—

    Wells Fargo International Equity Index Fund
906

 
906

 
    Wells Fargo Large Cap Growth Index Fund
1,085

 
1,085

 
    Wells Fargo Large Cap Value Index Fund
1,108

 
1,108

 
    Wells Fargo Russell 2000 Index Fund
656

 
656

 
    Wells Fargo S&P Mid Cap Index Fund
734

 
734

 
 
 
 
 
 
Cash & Short-term Investments
265

265

 
 
Total
$
18,892

$
11,789

$
7,103

$
—
Schedule of Expected Benefit Payments
The following table illustrates the estimated pension benefit payments which reflect expected future service, as appropriate, that are projected to be paid:
 
 
(in thousands)
 
Hourly Employees’
Pension Plan
 
Employees’
Retirement Plan
 
 
Total
2013
 
$
654

 
$
798

 
$
1,452

2014
 
653

 
861

 
1,514

2015
 
643

 
891

 
1,534

2016
 
644

 
927

 
1,571

2017
 
645

 
1,017

 
1,662

Years 2018 through 2022
 
$
3,214

 
$
5,938

 
$
9,152
Supplemental Employee Retirement Plans, Defined Benefit
  
Defined Benefit Plan Disclosure [Line Items]  
Schedule of Assumptions Used
Assumptions used to determine benefit obligations at December 31:
 
 
 
2012
2011
Discount rate
 
3.37%
4.04%
Composite rate of compensation increase
 
3.00%
3.00%

 
Assumptions used to determine net periodic benefit cost for the years ended December 31:
 
 
 
2012
2011
Discount rate
 
4.04%
5.28%
Composite rate of compensation increase
 
3.00%
3.00%
Long-term rate of return on plan assets
 
N/A
N/A
Schedule of Net Benefit Costs
The components of net periodic pension expense were as follows in thousands:
 
 
 
Year Ended December 31,
(in thousands)
 
2012
 
2011
Service Cost
 
$
101

 
$
108

Interest Cost
 
104

 
103

Amortization of Prior Service Cost
 
287

 
264

Net Periodic Benefit Cost
 
$
492

 
$
475
Schedule of Expected Benefit Payments
Future estimated benefits expected to be paid from the plan over the next ten years as follows in thousands:
2013
$
41

2014
43

2015
50

2016
99

2017
137

Years 2018 through 2022
$
1,229
Schedule of Defined Benefit Plans Disclosures
The change in the Projected Benefit Obligation (PBO) as of December 31, 2012 and 2011 is shown below in thousands:
 
 
 
Year Ended December 31,
 
(in thousands)
 
2012
 
2011
Benefit obligation at January 1,
 
$
2,584

 
$
—

Service cost
 
101

 
108

Interest cost
 
104

 
103

Liability actuarial (gain)/loss
 
268

 
409

Plan Amendments
 
—

 
1,964

Benefit obligation at December 31,
 
$
3,057

 
$
2,584