Condensed Financial Information of Parent Company

12 Months Ended

Dec. 31, 2011

Condensed Financial Information of Parent Company [Abstract]

Condensed Financial Information of Parent Company

AMERICAN FINANCIAL GROUP, INC. — PARENT ONLY
SCHEDULE I — CONDENSED FINANCIAL INFORMATION OF REGISTRANT
(In Millions)

Condensed Balance Sheet

	December 31
	2011		2010
Assets:
Cash and investments	$	456	$	412
Investment in subsidiaries (a)		4,866		4,816
Other assets		105		36
Total assets	$	5,427	$	5,264
Liabilities and Equity:
Long-term debt	$	600	$	600
Other liabilities		282		194
Shareholders’ equity		4,545		4,470
Total liabilities and equity	$	5,427	$	5,264

Condensed Statement of Earnings

	Year ended December 31,
	2011		2010		2009
Revenues:
Dividends from subsidiaries	$	544	$	554	$	673
Equity in undistributed earnings of subsidiaries		166		296		223
Investment and other income (b)		2		4		2
Total revenues		712		854		898
Costs and Expenses:
Interest charges on intercompany borrowings		11		12		13
Interest charges on other borrowings		53		46		37
Other operating and general expenses		65		51		47
Total costs and expenses		129		109		97
Operating earnings before income taxes		583		745		801
Provision for income taxes		240		266		282
Net Earnings Attributable to Shareholders	$	343	$	479	$	519

(a)	Investment in subsidiaries includes intercompany receivables and payables.
(b)	Includes mark-to-market adjustments on trading securities.

AMERICAN FINANCIAL GROUP, INC. — PARENT ONLY
SCHEDULE I — CONDENSED FINANCIAL INFORMATION OF REGISTRANT — CONTINUED
(In Millions)

Condensed Statement of Cash Flows

	Year ended December 31,
	2011			2010			2009
Operating Activities:
Net earnings attributable to shareholders	$	343		$	479		$	519
Adjustments:
Equity in net earnings of subsidiaries		(440	)		(548	)		(583	)
Dividends from subsidiaries		542			550			636
Other operating activities, net		17			—			14
Net cash provided by operating activities		462			481			586
Investing Activities:
Purchases of investments, property and equipment		(54	)		(13	)		(14	)
Net capital contributions to subsidiaries		(27	)		(97	)		(170	)
Proceeds from maturities and redemptions of investments		4			—			1
Proceeds from sales of investments, property and equipment		5			—			15
Other investing activities, net		—			—			—
Net cash used in investing activities		(72	)		(110	)		(168	)
Financing Activities:
Additional long-term borrowings		—			128			522
Reductions of long-term debt		—			—			(776	)
Issuances of Common Stock		37			31			14
Repurchases of Common Stock		(315	)		(292	)		(81	)
Cash dividends paid on Common Stock		(67	)		(63	)		(60	)
Other financing activities, net		—			(2	)		—
Net cash provided by (used in) financing activities		(345	)		(198	)		(381	)
Net change in cash and cash equivalents		45			173			37
Cash and cash equivalents at beginning of year		370			197			160
Cash and cash equivalents at end of year	$	415		$	370		$	197