Condensed Consolidating Information (Tables)

6 Months Ended

Jun. 30, 2011

Condensed Consolidating Information [Abstract]

Condensed Consolidating Balance Sheet

					AAG		All Other		Consol.
	AFG		GAFRI		Holding		Subs		Entries			Consolidated
JUNE 30, 2011
Assets:
Cash and investments	$	358	$	37	$	—	$	23,974	$	(1	)	$	24,368
Recoverables from reinsurers and prepaid reinsurance premiums		—		—		—		3,305		—			3,305
Agents’ balances and premiums receivable		—		—		—		705		—			705
Deferred policy acquisition costs		—		—		—		1,198		—			1,198
Assets of managed investment entities		—		—		—		2,591		—			2,591
Other assets		80		8		8		1,806		(16	)		1,886
Investment in subsidiaries and affiliates		4,838		2,021		2,116		656		(9,631	)		—
Total assets	$	5,276	$	2,066	$	2,124	$	34,235	$	(9,648	)	$	34,053
Liabilities and Equity:
Unpaid losses and loss adjustment expenses and unearned premiums	$	—	$	—	$	—	$	7,900	$	—		$	7,900
Annuity, life, accident and health benefits and reserves		—		—		—		15,809		(1	)		15,808
Liabilities of managed investment entities		—		—		—		2,430		—			2,430
Long-term debt		600		—		219		121		—			940
Other liabilities		204		20		112		2,159		(145	)		2,350
Total liabilities		804		20		331		28,419		(146	)		29,428
Total shareholders’ equity		4,472		2,046		1,793		5,663		(9,502	)		4,472
Noncontrolling interests		—		—		—		153		—			153
Total liabilities and equity	$	5,276	$	2,066	$	2,124	$	34,235	$	(9,648	)	$	34,053
DECEMBER 31, 2010
Assets:
Cash and investments	$	412	$	33	$	—	$	22,228	$	(3	)	$	22,670
Recoverables from reinsurers and prepaid reinsurance premiums		—		—		—		3,386		—			3,386
Agents’ balances and premiums receivable		—		—		—		535		—			535
Deferred policy acquisition costs		—		—		—		1,244		—			1,244
Assets of managed investment entities		—		—		—		2,537		—			2,537
Other assets		36		6		5		2,050		(15	)		2,082
Investment in subsidiaries and affiliates		4,816		1,899		1,996		671		(9,382	)		—
Total assets	$	5,264	$	1,938	$	2,001	$	32,651	$	(9,400	)	$	32,454
Liabilities and Equity:
Unpaid losses and loss adjustment expenses and unearned premiums	$	—	$	—	$	—	$	7,947	$	—		$	7,947
Annuity, life, accident and health benefits and reserves		—		—		—		14,556		(1	)		14,555
Liabilities of managed investment entities		—		—		—		2,323		—			2,323
Long-term debt		600		1		219		133		(1	)		952
Other liabilities		194		19		110		1,888		(154	)		2,057
Total liabilities		794		20		329		26,847		(156	)		27,834
Total shareholders’ equity		4,470		1,918		1,672		5,654		(9,244	)		4,470
Noncontrolling interests		—		—		—		150		—			150
Total liabilities and equity	$	5,264	$	1,938	$	2,001	$	32,651	$	(9,400	)	$	32,454

Condensed Consolidating Statement of Earnings

						AAG		All Other			Consol.
	AFG			GAFRI		Holding		Subs			Entries			Consolidated
FOR THE THREE MONTHS ENDED JUNE 30, 2011
Revenues:
Property and casualty insurance premiums	$	—		$	—	$	—	$	609		$	—		$	609
Life, accident and health premiums		—			—		—		107			—			107
Realized gains (losses)		—			—		—		20			(1	)		19
Income (loss) of managed investment entities		—			—		—		4			—			4
Investment and other income		—			2		—		359			(7	)		354
Equity in earnings of subsidiaries		118			40		48		—			(206	)		—
Total revenues		118			42		48		1,099			(214	)		1,093
Costs and Expenses:
Insurance benefits and expenses		—			—		—		886			—			886
Interest charges on borrowed money		16			—		7		4			(6	)		21
Expenses of managed investment entities		—			—		—		18			—			18
Other operating and general expenses		15			6		1		79			(2	)		99
Total costs and expenses		31			6		8		987			(8	)		1,024
Operating earnings before income taxes		87			36		40		112			(206	)		69
Provision (credit) for income taxes		32			12		14		46			(72	)		32
Net earnings, including noncontrolling interests		55			24		26		66			(134	)		37
Less: Net earnings (loss) attributable to noncontrolling interests		—			—		—		(18	)		—			(18	)
Net Earnings Attributable to Shareholders	$	55		$	24	$	26	$	84		$	(134	)	$	55
						AAG		All Other			Consol.
	AFG			GAFRI		Holding		Subs			Entries			Consolidated
FOR THE THREE MONTHS ENDED JUNE 30, 2010
Revenues:
Property and casualty insurance premiums	$	—		$	—	$	—	$	572		$	—		$	572
Life, accident and health premiums		—			—		—		113			—			113
Realized gains (losses)		—			—		—		11			—			11
Income (loss) of managed investment entities		—			—		—		8			—			8
Investment and other income		(1	)		3		—		352			(6	)		348
Equity in earnings of subsidiaries		187			41		47		—			(275	)		—
Total revenues		186			44		47		1,056			(281	)		1,052
Costs and Expenses:
Insurance benefits and expenses		—			—		—		774			—			774
Interest charges on borrowed money		13			—		7		4			(6	)		18
Expenses of managed investment entities		—			—		—		14			—			14
Other operating and general expenses		7			3		1		74			3			88
Total costs and expenses		20			3		8		866			(3	)		894
Operating earnings before income taxes		166			41		39		190			(278	)		158
Provision (credit) for income taxes		58			15		14		67			(96	)		58
Net earnings, including noncontrolling interests		108			26		25		123			(182	)		100
Less: Net earnings (loss) attributable to noncontrolling interests		—			—		—		(8	)		—			(8	)
Net Earnings Attributable to Shareholders	$	108		$	26	$	25	$	131		$	(182	)	$	108

CONDENSED CONSOLIDATING STATEMENT OF EARNINGS
(In millions)

					AAG		All Other			Consol.
	AFG		GAFRI		Holding		Subs			Entries			Consolidated
FOR THE SIX MONTHS ENDED JUNE 30, 2011
Revenues:
Property and casualty insurance premiums	$	—	$	—	$	—	$	1,208		$	—		$	1,208
Life, accident and health premiums		—		—		—		217			—			217
Realized gains (losses)		—		—		—		17			(1	)		16
Income (loss) of managed investment entities		—		—		—		(4	)		—			(4	)
Investment and other income		2		5		—		702			(14	)		695
Equity in earnings of subsidiaries		278		89		105		—			(472	)		—
Total revenues		280		94		105		2,140			(487	)		2,132
Costs and Expenses:
Insurance benefits and expenses		—		—		—		1,704			—			1,704
Interest charges on borrowed money		32		—		13		8			(11	)		42
Expenses of managed investment entities		—		—		—		36			—			36
Other operating and general expenses		32		9		2		146			(3	)		186
Total costs and expenses		64		9		15		1,894			(14	)		1,968
Operating earnings before income taxes		216		85		90		246			(473	)		164
Provision (credit) for income taxes		78		30		32		104			(166	)		78
Net earnings, including noncontrolling interests		138		55		58		142			(307	)		86
Less: Net earnings (loss) attributable to noncontrolling interests		—		—		—		(52	)		—			(52	)
Net Earnings Attributable to Shareholders	$	138	$	55	$	58	$	194		$	(307	)	$	138
					AAG		All Other			Consol.
	AFG		GAFRI		Holding		Subs			Entries			Consolidated
FOR THE SIX MONTHS ENDED JUNE 30, 2010
Revenues:
Property and casualty insurance premiums	$	—	$	—	$	—	$	1,151		$	—		$	1,151
Life, accident and health premiums		—		—		—		228			—			228
Realized gains (losses)		—		—		—		15			—			15
Income (loss) of managed investment entities		—		—		—		5			—			5
Investment and other income		—		5		—		693			(11	)		687
Equity in earnings of subsidiaries		379		81		96		—			(556	)		—
Total revenues		379		86		96		2,092			(567	)		2,086
Costs and Expenses:
Insurance benefits and expenses		—		—		—		1,535			—			1,535
Interest charges on borrowed money		27		—		13		7			(11	)		36
Expenses of managed investment entities		—		—		—		23			—			23
Other operating and general expenses		21		7		3		156			—			187
Total costs and expenses		48		7		16		1,721			(11	)		1,781
Operating earnings before income taxes		331		79		80		371			(556	)		305
Provision (credit) for income taxes		117		28		28		139			(195	)		117
Net earnings, including noncontrolling interests		214		51		52		232			(361	)		188
Less: Net earnings (loss) attributable to noncontrolling interests		—		—		—		(26	)		—			(26	)
Net Earnings Attributable to Shareholders	$	214	$	51	$	52	$	258		$	(361	)	$	214

Condensed Consolidating Statement of Cash Flows

							AAG			All Other			Consol.
	AFG			GAFRI			Holding			Subs			Entries			Consolidated
FOR THE SIX MONTHS ENDED JUNE 30, 2011
Operating Activities:
Net earnings, including noncontrolling interests	$	138		$	55		$	58		$	142		$	(307	)	$	86
Adjustments:
Equity in net earnings of subsidiaries		(181	)		(58	)		(68	)		—			307			—
Dividends from subsidiaries		190			—			—			—			(190	)		—
Other operating activities, net		(18	)		(1	)		1			466			—			448
Net cash provided by (used in) operating activities		129			(4	)		(9	)		608			(190	)		534
Investing Activities:
Purchases of investments, property and equipment		(25	)		—			—			(2,529	)		—			(2,554	)
Returns of capital from (capital contributions to) subsidiaries		29			(10	)		(1	)		—			(18	)		—
Proceeds from maturities and redemptions of investments		2			8			—			1,320			—			1,330
Proceeds from sales of investments, property and equipment		5			—			—			411			—			416
Managed investment entities:
Purchases of investments		—			—			—			(681	)		—			(681	)
Proceeds from sales and redemptions of investments		—			—			—			754			—			754
Other investing activities, net		—			—			—			(6	)		—			(6	)
Net cash provided by (used in) investing activities		11			(2	)		(1	)		(731	)		(18	)		(741	)
Financing Activities:
Annuity receipts		—			—			—			1,578			—			1,578
Annuity surrenders, benefits and withdrawals		—			—			—			(636	)		—			(636	)
Additional long-term borrowings		—			—			—			2			—			2
Reductions of long-term debt		—			—			—			(14	)		—			(14	)
Managed investment entities’ retirement of liabilities		—			—			—			(8	)		—			(8	)
Issuances of Common Stock		16			—			—			—			—			16
Capital contributions from (returns of capital to) parent		—			8			10			(36	)		18			—
Repurchases of Common Stock		(178	)		—			—			—			—			(178	)
Cash dividends paid		(34	)		—			—			(190	)		190			(34	)
Other financing activities, net		—			—			—			11			—			11
Net cash provided by (used in) financing activities		(196	)		8			10			707			208			737
Net change in cash and cash equivalents		(56	)		2			—			584			—			530
Cash and cash equivalents at beginning of period		370			20			—			709			—			1,099
Cash and cash equivalents at end of period	$	314		$	22		$	—		$	1,293		$	—		$	1,629

CONDENSED CONSOLIDATING STATEMENT OF CASH FLOWS
(In millions)

							AAG			All Other			Consol.
	AFG			GAFRI			Holding			Subs			Entries			Consolidated
FOR THE SIX MONTHS ENDED JUNE 30, 2010
Operating Activities:
Net earnings, including noncontrolling interests	$	214		$	51		$	52		$	232		$	(361	)	$	188
Adjustments:
Equity in net earnings of subsidiaries		(246	)		(53	)		(63	)		—			362			—
Dividends from subsidiaries		204			—			16			—			(220	)		—
Other operating activities, net		(61	)		(2	)		3			334			(1	)		273
Net cash provided by (used in) operating activities		111			(4	)		8			566			(220	)		461
Investing Activities:
Purchases of investments, property and equipment		(3	)		—			—			(2,565	)		—			(2,568	)
Returns of capital from (capital contributions to) subsidiaries		(8	)		8			—			—			—			—
Proceeds from maturities and redemptions of investments		—			4			—			993			—			997
Proceeds from sales of investments, property and equipment		—			—			—			941			—			941
Managed investment entities:
Purchases of investments		—			—			—			(394	)		—			(394	)
Proceeds from sales and redemptions of investments		—			—			—			441			—			441
Other investing activities, net		—			—			—			(124	)		—			(124	)
Net cash provided by (used in) investing activities		(11	)		12			—			(708	)		—			(707	)
Financing Activities:
Annuity receipts		—			—			—			945			—			945
Annuity surrenders, benefits and withdrawals		—			—			—			(617	)		—			(617	)
Additional long-term borrowings		—			—			—			30			—			30
Reductions of long-term debt		—			—			—			(6	)		—			(6	)
Managed investment entities’ retirement of liabilities		—			—			—			(39	)		—			(39	)
Issuances of Common Stock		11			—			—			—			—			11
Capital contributions from (returns of capital to) parent		—			8			(8	)		—			—			—
Repurchases of Common Stock		(151	)		—			—			—			—			(151	)
Cash dividends paid		(31	)		—			—			(220	)		220			(31	)
Other financing activities, net		(2	)		—			—			(3	)		—			(5	)
Net cash provided by (used in) financing activities		(173	)		8			(8	)		90			220			137
Net change in cash and cash equivalents		(73	)		16			—			(52	)		—			(109	)
Cash and cash equivalents at beginning of period		197			12			—			911			—			1,120
Cash and cash equivalents at end of period	$	124		$	28		$	—		$	859		$	—		$	1,011