Condensed Financial Information of Parent Company

12 Months Ended

Dec. 31, 2015

AMERICAN FINANCIAL GROUP, INC. — PARENT ONLY

SCHEDULE II — CONDENSED FINANCIAL INFORMATION OF REGISTRANT

(In Millions)

Condensed Balance Sheet



	December 31,
	2015		2014
Assets:
Cash and cash equivalents	$	189	$	292
Investment in securities	63		58
Investment in subsidiaries (a)	5,439		5,638
Other investments	2		2
Other assets	106		103
Total assets	$	5,799	$	6,093

Liabilities and Equity:
Long-term debt	$	1,008	$	990
Other liabilities	199		224
Shareholders’ equity	4,592		4,879
Total liabilities and equity	$	5,799	$	6,093

Condensed Statement of Earnings



	Year ended December 31,
	2015		2014		2013
Revenues:
Dividends from subsidiaries	$	311	$	480	$	606
Equity in undistributed earnings of subsidiaries	386		332		260
Investment and other income	4		5		8
Total revenues	701		817		874

Costs and Expenses:
Interest charges on intercompany borrowings	9		10		10
Interest charges on other borrowings	72		69		67
Other expenses	73		66		90
Total costs and expenses	154		145		167

Earnings before income taxes	547		672		707
Provision for income taxes	195		220		236
Net Earnings Attributable to Shareholders	$	352	$	452	$	471

Condensed Statement of Comprehensive Income



Net earnings attributable to shareholders	$	352		$	452	$	471
Other comprehensive income (loss), net of tax	(423		)	167		(271		)
Total comprehensive income, net of tax	$	(71	)	$	619	$	200

________________________


(a)	Investment in subsidiaries includes intercompany receivables and payables.

Condensed Statement of Cash Flows



	Year ended December 31,
	2015			2014			2013
Operating Activities:
Net earnings attributable to shareholders	$	352		$	452		$	471
Adjustments:
Equity in net earnings of subsidiaries	(451		)	(545		)	(579		)
Dividends from subsidiaries	280			451			543
Other operating activities, net	(19		)	14			(7		)
Net cash provided by operating activities	162			372			428

Investing Activities:
Capital contributions to subsidiaries	(27		)	(431		)	(38		)
Returns of capital from subsidiaries	1			—			36
Purchases of investments, property and equipment	(10		)	(1		)	(2		)
Proceeds from sales of investments, property and equipment	3			—			—
Net cash used in investing activities	(33		)	(432		)	(4		)

Financing Activities:
Additional long-term borrowings	145			145			—
Reductions of long-term debt	(132		)	—			—
Issuances of Common Stock	57			42			50
Repurchases of Common Stock	(126		)	(191		)	(70		)
Cash dividends paid on Common Stock	(176		)	(167		)	(160		)
Net cash used in financing activities	(232		)	(171		)	(180		)

Net Change in Cash and Cash Equivalents	(103		)	(231		)	244
Cash and cash equivalents at beginning of year	292			523			279
Cash and cash equivalents at end of year	$	189		$	292		$	523