Condensed Consolidating Financial Information (Tables)

6 Months Ended

Jun. 30, 2016

Condensed Consolidating Financial Information

Condensed Consolidating Financial Information, Notes Guarantor (Table)

Condensed Consolidating Statements of Financial Position

June 30, 2016

	Principal		Principal Life		Principal Financial				Principal
	Financial		Insurance		Services, Inc. and				Financial
	Group, Inc.		Company		Other Subsidiaries				Group, Inc.
	Parent Only		Only		Combined		Eliminations		Consolidated
	(in millions)
Assets
Fixed maturities, available-for-sale	$	—	$	48,954.3	$	6,699.5	$	(372.5)	$	55,281.3
Fixed maturities, trading	—		378.3		278.6		—		656.9
Equity securities, available-for-sale	—		102.7		2.5		—		105.2
Equity securities, trading	—		0.3		1,330.8		—		1,331.1
Mortgage loans	—		12,040.0		1,205.8		(560.0)		12,685.8
Real estate	—		5.4		1,468.6		—		1,474.0
Policy loans	—		797.1		34.5		—		831.6
Investment in unconsolidated entities	13,275.3		1,709.8		7,405.7		(21,618.8)		772.0
Other investments	9.7		5,590.1		1,896.5		(3,946.8)		3,549.5
Cash and cash equivalents	692.3		482.0		1,561.8		(480.7)		2,255.4
Accrued investment income	—		494.4		76.1		(7.5)		563.0
Premiums due and other receivables	—		1,562.3		2,675.6		(2,733.1)		1,504.8
Deferred acquisition costs	—		2,959.5		214.2		—		3,173.7
Property and equipment	—		583.7		84.2		—		667.9
Goodwill	—		54.3		982.9		—		1,037.2
Other intangibles	—		24.2		1,334.3		—		1,358.5
Separate account assets	—		98,596.6		36,139.4		—		134,736.0
Other assets	444.3		904.5		3,249.6		(3,508.1)		1,090.3
Total assets	$	14,421.6	$	175,239.5	$	66,640.6	$	(33,227.5)	$	223,074.2
Liabilities
Contractholder funds	$	—	$	35,073.2	$	3,034.4	$	(326.6)	$	37,781.0
Future policy benefits and claims	—		23,534.5		5,051.0		(589.4)		27,996.1
Other policyholder funds	—		790.1		99.8		(1.5)		888.4
Short-term debt	—		—		25.9		—		25.9
Long-term debt	3,224.8		—		583.8		(538.4)		3,270.2
Income taxes currently payable	—		—		104.3		(94.1)		10.2
Deferred income taxes	—		964.9		862.7		(592.9)		1,234.7
Separate account liabilities	—		98,596.6		36,139.4		—		134,736.0
Other liabilities	697.1		7,322.7		7,142.3		(8,935.2)		6,226.9
Total liabilities	3,921.9		166,282.0		53,043.6		(11,078.1)		212,169.4
Redeemable noncontrolling interest	—		—		337.1		—		337.1
Stockholders’ equity
Common stock	4.7		2.5		—		(2.5)		4.7
Additional paid-in capital	9,615.7		5,349.7		9,044.3		(14,394.0)		9,615.7
Retained earnings	7,339.6		2,274.9		3,697.8		(5,972.7)		7,339.6
Accumulated other comprehensive income (loss)	(19.3)		1,330.4		445.2		(1,775.6)		(19.3)
Treasury stock, at cost	(6,441.0)		—		—		—		(6,441.0)
Total stockholders’ equity attributable to PFG	10,499.7		8,957.5		13,187.3		(22,144.8)		10,499.7
Noncontrolling interest	—		—		72.6		(4.6)		68.0
Total stockholders’ equity	10,499.7		8,957.5		13,259.9		(22,149.4)		10,567.7
Total liabilities and stockholders’ equity	$	14,421.6	$	175,239.5	$	66,640.6	$	(33,227.5)	$	223,074.2

Condensed Consolidating Statements of Financial Position

December 31, 2015

	Principal		Principal Life		Principal Financial				Principal
	Financial		Insurance		Services, Inc. and				Financial
	Group, Inc.		Company		Other Subsidiaries				Group, Inc.
	Parent Only		Only		Combined		Eliminations		Consolidated
	(in millions)
Assets
Fixed maturities, available-for-sale	$	—	$	43,862.7	$	6,482.5	$	(378.7)	$	49,966.5
Fixed maturities, trading	—		436.2		250.6		—		686.8
Equity securities, available-for-sale	—		101.7		2.8		—		104.5
Equity securities, trading	—		0.3		1,202.4		—		1,202.7
Mortgage loans	—		11,696.9		1,155.3		(512.8)		12,339.4
Real estate	—		6.3		1,445.5		—		1,451.8
Policy loans	—		786.3		30.8		—		817.1
Investment in unconsolidated entities	12,223.4		2,220.5		6,229.8		(20,041.0)		632.7
Other investments	9.7		3,944.3		1,636.5		(2,971.5)		2,619.0
Cash and cash equivalents	578.7		1,127.9		1,253.7		(395.5)		2,564.8
Accrued investment income	—		477.9		76.7		(9.0)		545.6
Premiums due and other receivables	—		1,512.7		2,465.9		(2,549.3)		1,429.3
Deferred acquisition costs	—		3,057.3		218.8		—		3,276.1
Property and equipment	—		552.0		81.8		—		633.8
Goodwill	—		54.3		954.7		—		1,009.0
Other intangibles	—		24.6		1,334.6		—		1,359.2
Separate account assets	—		94,762.8		42,216.1		—		136,978.9
Other assets	458.0		878.0		2,995.6		(3,288.5)		1,043.1
Total assets	$	13,269.8	$	165,502.7	$	70,034.1	$	(30,146.3)	$	218,660.3
Liabilities
Contractholder funds	$	—	$	33,151.7	$	2,885.1	$	(320.7)	$	35,716.1
Future policy benefits and claims	—		21,914.0		4,479.3		(536.8)		25,856.5
Other policyholder funds	—		718.1		88.2		(0.9)		805.4
Short-term debt	—		—		181.1		—		181.1
Long-term debt	3,223.8		—		535.2		(493.8)		3,265.2
Income taxes currently payable	—		—		101.9		(83.5)		18.4
Deferred income taxes	—		415.2		928.9		(646.9)		697.2
Separate account liabilities	—		94,762.8		42,216.1		—		136,978.9
Other liabilities	734.4		6,330.1		6,323.6		(7,709.7)		5,678.4
Total liabilities	3,958.2		157,291.9		57,739.4		(9,792.3)		209,197.2
Redeemable noncontrolling interest	—		—		85.7		—		85.7
Stockholders’ equity
Common stock	4.7		2.5		—		(2.5)		4.7
Additional paid-in capital	9,544.8		5,334.4		9,000.0		(14,334.4)		9,544.8
Retained earnings	6,875.9		2,232.6		3,522.3		(5,754.9)		6,875.9
Accumulated other comprehensive income (loss)	(882.5)		641.3		(383.6)		(257.7)		(882.5)
Treasury stock, at cost	(6,231.3)		—		—		—		(6,231.3)
Total stockholders’ equity attributable to PFG	9,311.6		8,210.8		12,138.7		(20,349.5)		9,311.6
Noncontrolling interest	—		—		70.3		(4.5)		65.8
Total stockholders’ equity	9,311.6		8,210.8		12,209.0		(20,354.0)		9,377.4
Total liabilities and stockholders’ equity	$	13,269.8	$	165,502.7	$	70,034.1	$	(30,146.3)	$	218,660.3

Condensed Consolidating Statements of Operations

For the six months ended June 30, 2016

	Principal		Principal Life		Principal Financial				Principal
	Financial		Insurance		Services, Inc. and				Financial
	Group, Inc.		Company		Other Subsidiaries				Group, Inc.
	Parent Only		Only		Combined		Eliminations		Consolidated
	(in millions)
Revenues
Premiums and other considerations	$	—	$	2,382.0	$	176.4	$	—	$	2,558.4
Fees and other revenues	—		962.8		1,000.4		(190.5)		1,772.7
Net investment income	1.4		1,139.9		969.2		(549.6)		1,560.9
Net realized capital gains (losses), excluding impairment losses on available-for-sale securities	—		701.7		(473.3)		—		228.4
Net other-than-temporary impairment losses on available-for-sale securities	—		(58.0)		(1.0)		—		(59.0)
Other-than-temporary impairment losses on fixed maturities, available-for-sale reclassified to (from) other comprehensive income	—		1.0		(0.1)		—		0.9
Net impairment losses on available-for-sale securities	—		(57.0)		(1.1)		—		(58.1)
Net realized capital gains (losses)	—		644.7		(474.4)		—		170.3
Total revenues	1.4		5,129.4		1,671.6		(740.1)		6,062.3
Expenses
Benefits, claims and settlement expenses	—		2,990.2		333.7		(5.5)		3,318.4
Dividends to policyholders	—		76.8		—		—		76.8
Operating expenses	113.7		1,089.8		785.5		(161.6)		1,827.4
Total expenses	113.7		4,156.8		1,119.2		(167.1)		5,222.6
Income (loss) before income taxes	(112.3)		972.6		552.4		(573.0)		839.7
Income taxes (benefits)	(45.7)		251.2		(61.2)		(0.8)		143.5
Equity in the net income (loss) of subsidiaries	756.9		(149.8)		145.9		(753.0)		—
Net income	690.3		571.6		759.5		(1,325.2)		696.2
Net income attributable to noncontrolling interest	—		—		5.9		—		5.9
Net income attributable to PFG	$	690.3	$	571.6	$	753.6	$	(1,325.2)	$	690.3
Net income	$	690.3	$	571.6	$	759.5	$	(1,325.2)	$	696.2
Other comprehensive income	866.9		699.3		862.4		(1,550.3)		878.3
Comprehensive income	$	1,557.2	$	1,270.9	$	1,621.9	$	(2,875.5)	$	1,574.5

Condensed Consolidating Statements of Operations

For the six months ended June 30, 2015

	Principal		Principal Life		Principal Financial				Principal
	Financial		Insurance		Services, Inc. and				Financial
	Group, Inc.		Company		Other Subsidiaries				Group, Inc.
	Parent Only		Only		Combined		Eliminations		Consolidated
	(in millions)
Revenues
Premiums and other considerations	$	—	$	2,431.1	$	167.7	$	—	$	2,598.8
Fees and other revenues	—		1,035.5		1,022.5		(205.7)		1,852.3
Net investment income	0.8		1,074.2		707.4		(268.6)		1,513.8
Net realized capital losses, excluding impairment losses on available-for-sale securities	—		(4.9)		(30.0)		—		(34.9)
Net other-than-temporary impairment (losses) recoveries on available-for-sale securities	—		13.5		(0.1)		—		13.4
Other-than-temporary impairment losses on fixed maturities, available-for-sale reclassified from other comprehensive income	—		(26.9)		—		—		(26.9)
Net impairment losses on available-for-sale securities	—		(13.4)		(0.1)		—		(13.5)
Net realized capital losses	—		(18.3)		(30.1)		—		(48.4)
Total revenues	0.8		4,522.5		1,867.5		(474.3)		5,916.5
Expenses
Benefits, claims and settlement expenses	—		2,983.9		312.8		(5.8)		3,290.9
Dividends to policyholders	—		82.8		—		—		82.8
Operating expenses	82.4		1,078.3		799.4		(169.9)		1,790.2
Total expenses	82.4		4,145.0		1,112.2		(175.7)		5,163.9
Income (loss) before income taxes	(81.6)		377.5		755.3		(298.6)		752.6
Income taxes (benefits)	(33.9)		83.8		9.5		(0.8)		58.6
Equity in the net income (loss) of subsidiaries	727.7		147.8		(7.6)		(867.9)		—
Net income	680.0		441.5		738.2		(1,165.7)		694.0
Net income attributable to noncontrolling interest	—		—		14.0		—		14.0
Net income attributable to PFG	680.0		441.5		724.2		(1,165.7)		680.0
Preferred stock dividends	16.5		—		—		—		16.5
Excess of redemption value over carrying value of preferred shares redeemed	8.2		—		—		—		8.2
Net income available to common stockholders	$	655.3	$	441.5	$	724.2	$	(1,165.7)	$	655.3
Net income	$	680.0	$	441.5	$	738.2	$	(1,165.7)	$	694.0
Other comprehensive loss	(436.8)		(203.0)		(369.5)		637.5		(371.8)
Comprehensive income	$	243.2	$	238.5	$	368.7	$	(528.2)	$	322.2

Condensed Consolidating Statements of Cash Flows

For the six months ended June 30, 2016

	Principal		Principal Life		Principal Financial				Principal
	Financial		Insurance		Services, Inc. and				Financial
	Group, Inc.		Company		Other Subsidiaries				Group, Inc.
	Parent Only		Only		Combined		Eliminations		Consolidated
	(in millions)
Operating activities
Net cash provided by (used in) operating activities	$	(54.6)	$	1,872.7	$	882.8	$	(575.3)	$	2,125.6
Investing activities
Available-for-sale securities:
Purchases	—		(7,072.5)		(409.7)		5.3		(7,476.9)
Sales	—		295.3		262.1		—		557.4
Maturities	—		3,383.2		284.7		—		3,667.9
Mortgage loans acquired or originated	—		(1,123.0)		(126.8)		51.8		(1,198.0)
Mortgage loans sold or repaid	—		776.1		137.6		(3.3)		910.4
Real estate acquired	—		—		(66.4)		—		(66.4)
Net purchases of property and equipment	—		(54.8)		(19.9)		—		(74.7)
Dividends and returns of capital received from unconsolidated entities	594.8		1.5		544.8		(1,141.1)		—
Net change in other investments	(5.1)		186.9		(656.3)		480.8		6.3
Net cash provided by (used in) investing activities	589.7		(3,607.3)		(49.9)		(606.5)		(3,674.0)
Financing activities
Issuance of common stock	11.2		—		—		—		11.2
Acquisition of treasury stock	(209.7)		—		—		—		(209.7)
Proceeds from financing element derivatives	—		0.2		—		—		0.2
Payments for financing element derivatives	—		(43.0)		—		—		(43.0)
Excess tax benefits from share-based payment arrangements	0.2		2.0		3.3		—		5.5
Purchase of subsidiary shares from noncontrolling interest	—		—		(2.3)		—		(2.3)
Dividends to common stockholders	(223.2)		—		—		—		(223.2)
Issuance of long-term debt	—		—		51.4		(47.7)		3.7
Principal repayments of long-term debt	—		—		(3.2)		3.2		—
Net repayments of short-term borrowings	—		—		(156.9)		—		(156.9)
Dividends and capital paid to parent	—		(544.8)		(596.3)		1,141.1		—
Investment contract deposits	—		6,735.4		142.3		—		6,877.7
Investment contract withdrawals	—		(5,060.6)		(10.4)		—		(5,071.0)
Net increase in banking operation deposits	—		—		47.1		—		47.1
Other	—		(0.5)		0.2		—		(0.3)
Net cash provided by (used in) financing activities	(421.5)		1,088.7		(524.8)		1,096.6		1,239.0
Net increase (decrease) in cash and cash equivalents	113.6		(645.9)		308.1		(85.2)		(309.4)
Cash and cash equivalents at beginning of period	578.7		1,127.9		1,253.7		(395.5)		2,564.8
Cash and cash equivalents at end of period	$	692.3	$	482.0	$	1,561.8	$	(480.7)	$	2,255.4

Condensed Consolidating Statements of Cash Flows

For the six months ended June 30, 2015

	Principal		Principal Life		Principal Financial				Principal
	Financial		Insurance		Services, Inc. and				Financial
	Group, Inc.		Company		Other Subsidiaries				Group, Inc.
	Parent Only		Only		Combined		Eliminations		Consolidated
	(in millions)
Operating activities
Net cash provided by (used in) operating activities	$	(37.5)	$	1,901.3	$	209.1	$	44.5	$	2,117.4
Investing activities
Available-for-sale securities:
Purchases	—		(4,332.1)		(496.4)		—		(4,828.5)
Sales	—		759.7		224.1		(0.7)		983.1
Maturities	—		3,226.9		409.2		—		3,636.1
Mortgage loans acquired or originated	—		(1,013.3)		(147.9)		104.1		(1,057.1)
Mortgage loans sold or repaid	—		663.8		139.6		(28.1)		775.3
Real estate acquired	—		(0.3)		(203.8)		—		(204.1)
Net purchases of property and equipment	—		(55.4)		(11.9)		—		(67.3)
Dividends and returns of capital received from (contributed to) unconsolidated entities	425.5		(2.8)		225.6		(648.3)		—
Net change in other investments	0.9		111.0		(188.9)		(97.6)		(174.6)
Net cash provided by (used in) investing activities	426.4		(642.5)		(50.4)		(670.6)		(937.1)
Financing activities
Issuance of common stock	29.6		—		0.1		(0.1)		29.6
Acquisition of treasury stock	(75.6)		—		—		—		(75.6)
Proceeds from financing element derivatives	—		0.2		—		—		0.2
Payments for financing element derivatives	—		(39.5)		—		—		(39.5)
Excess tax benefits from share-based payment arrangements	0.6		5.1		8.4		—		14.1
Purchase of subsidiary shares from noncontrolling interest	—		—		(11.6)		0.6		(11.0)
Sale of subsidiary shares to noncontrolling interest	—		—		0.6		(0.6)		—
Dividends to common stockholders	(218.3)		—		—		—		(218.3)
Dividends to preferred stockholders	(16.5)		—		—		—		(16.5)
Preferred stock redemption	(550.0)		—		—		—		(550.0)
Issuance of long-term debt	791.8		—		107.1		(101.5)		797.4
Principal repayments of long-term debt	—		—		(49.3)		29.5		(19.8)
Dividends and capital paid to parent	—		(225.6)		(422.7)		648.3		—
Investment contract deposits	—		2,586.1		136.8		—		2,722.9
Investment contract withdrawals	—		(3,410.3)		(4.4)		—		(3,414.7)
Net increase in banking operation deposits	—		—		8.2		—		8.2
Other	—		(6.8)		—		—		(6.8)
Net cash used in financing activities	(38.4)		(1,090.8)		(226.8)		576.2		(779.8)
Net increase (decrease) in cash and cash equivalents	350.5		168.0		(68.1)		(49.9)		400.5
Cash and cash equivalents at beginning of period	412.4		602.7		1,253.6		(404.8)		1,863.9
Cash and cash equivalents at end of period	$	762.9	$	770.7	$	1,185.5	$	(454.7)	$	2,264.4

Condensed Consolidating Financial Information, Shelf Registration Guarantor (Table)

Condensed Consolidating Statements of Financial Position

June 30, 2016

					Principal Life
	Principal		Principal		Insurance Company				Principal
	Financial		Financial		and Other				Financial
	Group, Inc.		Services, Inc.		Subsidiaries				Group, Inc.
	Parent Only		Only		Combined		Eliminations		Consolidated
	(in millions)
Assets
Fixed maturities, available-for-sale	$	—	$	—	$	55,281.3	$	—	$	55,281.3
Fixed maturities, trading	—		—		656.9		—		656.9
Equity securities, available-for-sale	—		—		105.2		—		105.2
Equity securities, trading	—		—		1,331.1		—		1,331.1
Mortgage loans	—		—		12,685.8		—		12,685.8
Real estate	—		—		1,474.0		—		1,474.0
Policy loans	—		—		831.6		—		831.6
Investment in unconsolidated entities	13,275.3		13,308.2		710.7		(26,522.2)		772.0
Other investments	9.7		103.6		3,436.2		—		3,549.5
Cash and cash equivalents	692.3		807.9		1,989.1		(1,233.9)		2,255.4
Accrued investment income	—		2.3		560.7		—		563.0
Premiums due and other receivables	—		90.6		1,630.9		(216.7)		1,504.8
Deferred acquisition costs	—		—		3,173.7		—		3,173.7
Property and equipment	—		—		667.9		—		667.9
Goodwill	—		—		1,037.2		—		1,037.2
Other intangibles	—		—		1,358.5		—		1,358.5
Separate account assets	—		—		134,736.0		—		134,736.0
Other assets	444.3		193.1		1,096.2		(643.3)		1,090.3
Total assets	$	14,421.6	$	14,505.7	$	222,763.0	$	(28,616.1)	$	223,074.2
Liabilities
Contractholder funds	$	—	$	—	$	37,781.0	$	—	$	37,781.0
Future policy benefits and claims	—		—		27,996.1		—		27,996.1
Other policyholder funds	—		—		888.4		—		888.4
Short-term debt	—		—		109.5		(83.6)		25.9
Long-term debt	3,224.8		150.0		112.4		(217.0)		3,270.2
Income taxes currently payable	—		2.4		74.3		(66.5)		10.2
Deferred income taxes	—		—		1,813.3		(578.6)		1,234.7
Separate account liabilities	—		—		134,736.0		—		134,736.0
Other liabilities	697.1		1,166.0		5,162.1		(798.3)		6,226.9
Total liabilities	3,921.9		1,318.4		208,673.1		(1,744.0)		212,169.4
Redeemable noncontrolling interest	—		—		337.1		—		337.1
Stockholders’ equity
Common stock	4.7		—		17.8		(17.8)		4.7
Additional paid-in capital	9,615.7		9,044.3		10,311.3		(19,355.6)		9,615.7
Retained earnings	7,339.6		3,697.8		3,024.5		(6,722.3)		7,339.6
Accumulated other comprehensive income (loss)	(19.3)		445.2		333.2		(778.4)		(19.3)
Treasury stock, at cost	(6,441.0)		—		(2.0)		2.0		(6,441.0)
Total stockholders’ equity attributable to PFG	10,499.7		13,187.3		13,684.8		(26,872.1)		10,499.7
Noncontrolling interest	—		—		68.0		—		68.0
Total stockholders’ equity	10,499.7		13,187.3		13,752.8		(26,872.1)		10,567.7
Total liabilities and stockholders’ equity	$	14,421.6	$	14,505.7	$	222,763.0	$	(28,616.1)	$	223,074.2

Condensed Consolidating Statements of Financial Position

December 31, 2015

					Principal Life
	Principal		Principal		Insurance Company				Principal
	Financial		Financial		and Other				Financial
	Group, Inc.		Services, Inc.		Subsidiaries				Group, Inc.
	Parent Only		Only		Combined		Eliminations		Consolidated
	(in millions)
Assets
Fixed maturities, available-for-sale	$	—	$	—	$	49,966.5	$	—	$	49,966.5
Fixed maturities, trading	—		—		686.8		—		686.8
Equity securities, available-for-sale	—		—		104.5		—		104.5
Equity securities, trading	—		—		1,202.7		—		1,202.7
Mortgage loans	—		—		12,339.4		—		12,339.4
Real estate	—		—		1,451.8		—		1,451.8
Policy loans	—		—		817.1		—		817.1
Investment in unconsolidated entities	12,223.4		12,209.1		583.2		(24,383.0)		632.7
Other investments	9.7		185.9		2,423.4		—		2,619.0
Cash and cash equivalents	578.7		730.5		2,413.3		(1,157.7)		2,564.8
Accrued investment income	—		—		545.6		—		545.6
Premiums due and other receivables	—		0.1		1,584.6		(155.4)		1,429.3
Deferred acquisition costs	—		—		3,276.1		—		3,276.1
Property and equipment	—		—		633.8		—		633.8
Goodwill	—		—		1,009.0		—		1,009.0
Other intangibles	—		—		1,359.2		—		1,359.2
Separate account assets	—		—		136,978.9		—		136,978.9
Other assets	458.0		205.2		1,065.4		(685.5)		1,043.1
Total assets	$	13,269.8	$	13,330.8	$	218,441.3	$	(26,381.6)	$	218,660.3
Liabilities
Contractholder funds	$	—	$	—	$	35,716.1	$	—	$	35,716.1
Future policy benefits and claims	—		—		25,856.5		—		25,856.5
Other policyholder funds	—		—		805.4		—		805.4
Short-term debt	—		—		290.0		(108.9)		181.1
Long-term debt	3,223.8		156.0		41.4		(156.0)		3,265.2
Income taxes currently payable	—		3.2		69.6		(54.4)		18.4
Deferred income taxes	—		—		1,325.2		(628.0)		697.2
Separate account liabilities	—		—		136,978.9		—		136,978.9
Other liabilities	734.4		1,032.9		4,912.9		(1,001.8)		5,678.4
Total liabilities	3,958.2		1,192.1		205,996.0		(1,949.1)		209,197.2
Redeemable noncontrolling interest	—		—		85.7		—		85.7
Stockholders’ equity
Common stock	4.7		—		17.8		(17.8)		4.7
Additional paid-in capital	9,544.8		9,000.0		9,888.7		(18,888.7)		9,544.8
Retained earnings	6,875.9		3,522.3		2,905.9		(6,428.2)		6,875.9
Accumulated other comprehensive loss	(882.5)		(383.6)		(516.6)		900.2		(882.5)
Treasury stock, at cost	(6,231.3)		—		(2.0)		2.0		(6,231.3)
Total stockholders’ equity attributable to PFG	9,311.6		12,138.7		12,293.8		(24,432.5)		9,311.6
Noncontrolling interest	—		—		65.8		—		65.8
Total stockholders’ equity	9,311.6		12,138.7		12,359.6		(24,432.5)		9,377.4
Total liabilities and stockholders’ equity	$	13,269.8	$	13,330.8	$	218,441.3	$	(26,381.6)	$	218,660.3

Condensed Consolidating Statements of Operations

For the six months ended June 30, 2016

					Principal Life
	Principal		Principal		Insurance				Principal
	Financial		Financial		Company and				Financial
	Group, Inc.		Services, Inc.		Other Subsidiaries				Group, Inc.
	Parent Only		Only		Combined		Eliminations		Consolidated
	(in millions)
Revenues
Premiums and other considerations	$	—	$	—	$	2,558.4	$	—	$	2,558.4
Fees and other revenues	—		0.2		1,776.9		(4.4)		1,772.7
Net investment income	1.4		10.8		1,545.0		3.7		1,560.9
Net realized capital gains (losses), excluding impairment losses on available-for-sale securities	—		(6.9)		235.4		(0.1)		228.4
Net other-than-temporary impairment losses on available-for-sale securities	—		—		(59.0)		—		(59.0)
Other-than-temporary impairment losses on fixed maturities, available-for-sale reclassified to other comprehensive income	—		—		0.9		—		0.9
Net impairment losses on available-for-sale securities	—		—		(58.1)		—		(58.1)
Net realized capital gains (losses)	—		(6.9)		177.3		(0.1)		170.3
Total revenues	1.4		4.1		6,057.6		(0.8)		6,062.3
Expenses
Benefits, claims and settlement expenses	—		—		3,318.4		—		3,318.4
Dividends to policyholders	—		—		76.8		—		76.8
Operating expenses	113.7		5.7		1,712.1		(4.1)		1,827.4
Total expenses	113.7		5.7		5,107.3		(4.1)		5,222.6
Income (loss) before income taxes	(112.3)		(1.6)		950.3		3.3		839.7
Income taxes (benefits)	(45.7)		(24.0)		213.2		—		143.5
Equity in the net income of subsidiaries	756.9		731.2		—		(1,488.1)		—
Net income	690.3		753.6		737.1		(1,484.8)		696.2
Net income attributable to noncontrolling interest	—		—		5.9		—		5.9
Net income attributable to PFG	$	690.3	$	753.6	$	731.2	$	(1,484.8)	$	690.3
Net income	$	690.3	$	753.6	$	737.1	$	(1,484.8)	$	696.2
Other comprehensive income	866.9		842.6		875.1		(1,706.3)		878.3
Comprehensive income	$	1,557.2	$	1,596.2	$	1,612.2	$	(3,191.1)	$	1,574.5

Condensed Consolidating Statements of Operations

For the six months ended June 30, 2015

					Principal Life
	Principal		Principal		Insurance				Principal
	Financial		Financial		Company and				Financial
	Group, Inc.		Services, Inc.		Other Subsidiaries				Group, Inc.
	Parent Only		Only		Combined		Eliminations		Consolidated
	(in millions)
Revenues
Premiums and other considerations	$	—	$	—	$	2,598.8	$	—	$	2,598.8
Fees and other revenues	—		0.1		1,852.5		(0.3)		1,852.3
Net investment income	0.8		—		1,507.6		5.4		1,513.8
Net realized capital gains (losses), excluding impairment losses on available-for-sale securities	—		4.5		(37.7)		(1.7)		(34.9)
Net other-than-temporary impairment recoveries on available-for-sale securities	—		—		13.4		—		13.4
Other-than-temporary impairment losses on fixed maturities, available-for-sale reclassified from other comprehensive income	—		—		(26.9)		—		(26.9)
Net impairment losses on available-for-sale securities	—		—		(13.5)		—		(13.5)
Net realized capital gains (losses)	—		4.5		(51.2)		(1.7)		(48.4)
Total revenues	0.8		4.6		5,907.7		3.4		5,916.5
Expenses
Benefits, claims and settlement expenses	—		—		3,290.9		—		3,290.9
Dividends to policyholders	—		—		82.8		—		82.8
Operating expenses	82.4		2.4		1,705.5		(0.1)		1,790.2
Total expenses	82.4		2.4		5,079.2		(0.1)		5,163.9
Income (loss) before income taxes	(81.6)		2.2		828.5		3.5		752.6
Income taxes (benefits)	(33.9)		2.0		90.5		—		58.6
Equity in the net income of subsidiaries	727.7		724.0		—		(1,451.7)		—
Net income	680.0		724.2		738.0		(1,448.2)		694.0
Net income attributable to noncontrolling interest	—		—		14.0		—		14.0
Net income attributable to PFG	680.0		724.2		724.0		(1,448.2)		680.0
Preferred stock dividends	16.5		—		—		—		16.5
Excess of redemption value over carrying value of preferred shares redeemed	8.2		—		—		—		8.2
Net income available to common stockholders	$	655.3	$	724.2	$	724.0	$	(1,448.2)	$	655.3
Net income	$	680.0	$	724.2	$	738.0	$	(1,448.2)	$	694.0
Other comprehensive loss	(436.8)		(408.4)		(433.0)		906.4		(371.8)
Comprehensive income	$	243.2	$	315.8	$	305.0	$	(541.8)	$	322.2

Condensed Consolidating Statements of Cash Flows

For the six months ended June 30, 2016

					Principal Life
	Principal		Principal		Insurance				Principal
	Financial		Financial		Company and				Financial
	Group, Inc.		Services, Inc.		Other Subsidiaries				Group, Inc.
	Parent Only		Only		Combined		Eliminations		Consolidated
	(in millions)
Operating activities
Net cash provided by (used in) operating activities	$	(54.6)	$	(40.0)	$	2,066.1	$	154.1	$	2,125.6
Investing activities
Available-for-sale securities:
Purchases	—		—		(7,476.9)		—		(7,476.9)
Sales	—		—		557.4		—		557.4
Maturities	—		—		3,667.9		—		3,667.9
Mortgage loans acquired or originated	—		—		(1,198.0)		—		(1,198.0)
Mortgage loans sold or repaid	—		—		910.4		—		910.4
Real estate acquired	—		—		(66.4)		—		(66.4)
Net purchases of property and equipment	—		—		(74.7)		—		(74.7)
Dividends and returns of capital received from unconsolidated entities	594.8		477.2		—		(1,072.0)		—
Net change in other investments	(5.1)		241.0		(35.1)		(194.5)		6.3
Net cash provided by (used in) investing activities	589.7		718.2		(3,715.4)		(1,266.5)		(3,674.0)
Financing activities
Issuance of common stock	11.2		—		—		—		11.2
Acquisition of treasury stock	(209.7)		—		—		—		(209.7)
Proceeds from financing element derivatives	—		—		0.2		—		0.2
Payments for financing element derivatives	—		—		(43.0)		—		(43.0)
Excess tax benefits from share-based payment arrangements	0.2		—		5.3		—		5.5
Purchase of subsidiary shares from noncontrolling interest	—		—		(2.3)		—		(2.3)
Dividends to common stockholders	(223.2)		—		—		—		(223.2)
Issuance of long-term debt	—		4.0		70.7		(71.0)		3.7
Principal repayments of long-term debt	—		(10.0)		—		10.0		—
Net repayments of short-term borrowings	—		—		(182.1)		25.2		(156.9)
Dividends and capital paid to parent	—		(594.8)		(477.2)		1,072.0		—
Investment contract deposits	—		—		6,877.7		—		6,877.7
Investment contract withdrawals	—		—		(5,071.0)		—		(5,071.0)
Net increase in banking operation deposits	—		—		47.1		—		47.1
Other	—		—		(0.3)		—		(0.3)
Net cash provided by (used in) financing activities	(421.5)		(600.8)		1,225.1		1,036.2		1,239.0
Net increase (decrease) in cash and cash equivalents	113.6		77.4		(424.2)		(76.2)		(309.4)
Cash and cash equivalents at beginning of period	578.7		730.5		2,413.3		(1,157.7)		2,564.8
Cash and cash equivalents at end of period	$	692.3	$	807.9	$	1,989.1	$	(1,233.9)	$	2,255.4

Condensed Consolidating Statements of Cash Flows

For the six months ended June 30, 2015

					Principal Life
	Principal		Principal		Insurance				Principal
	Financial		Financial		Company and				Financial
	Group, Inc.		Services, Inc.		Other Subsidiaries				Group, Inc.
	Parent Only		Only		Combined		Eliminations		Consolidated
	(in millions)
Operating activities
Net cash provided by (used in) operating activities	$	(37.5)	$	69.0	$	2,198.5	$	(112.6)	$	2,117.4
Investing activities
Available-for-sale securities:
Purchases	—		—		(4,828.5)		—		(4,828.5)
Sales	—		—		983.1		—		983.1
Maturities	—		—		3,636.1		—		3,636.1
Mortgage loans acquired or originated	—		—		(1,057.1)		—		(1,057.1)
Mortgage loans sold or repaid	—		—		775.3		—		775.3
Real estate acquired	—		—		(204.1)		—		(204.1)
Net purchases of property and equipment	—		—		(67.3)		—		(67.3)
Dividends and returns of capital received from unconsolidated entities	425.5		282.5		—		(708.0)		—
Net change in other investments	0.9		(28.9)		(163.5)		16.9		(174.6)
Net cash provided by (used in) investing activities	426.4		253.6		(926.0)		(691.1)		(937.1)
Financing activities
Issuance of common stock	29.6		—		—		—		29.6
Acquisition of treasury stock	(75.6)		—		—		—		(75.6)
Proceeds from financing element derivatives	—		—		0.2		—		0.2
Payments for financing element derivatives	—		—		(39.5)		—		(39.5)
Excess tax benefits from share-based payment arrangements	0.6		—		13.5		—		14.1
Purchase of subsidiary shares from noncontrolling interest	—		—		(11.0)		—		(11.0)
Dividends to common stockholders	(218.3)		—		—		—		(218.3)
Dividends to preferred stockholders	(16.5)		—		—		—		(16.5)
Preferred stock redemption	(550.0)		—		—		—		(550.0)
Issuance of long-term debt	791.8		—		5.6		—		797.4
Principal repayments of long-term debt	—		—		(19.8)		—		(19.8)
Net proceeds from short-term borrowings	—		—		0.4		(0.4)		—
Dividends and capital paid to parent	—		(425.5)		(282.5)		708.0		—
Investment contract deposits	—		—		2,722.9		—		2,722.9
Investment contract withdrawals	—		—		(3,414.7)		—		(3,414.7)
Net increase in banking operation deposits	—		—		8.2		—		8.2
Other	—		—		(6.8)		—		(6.8)
Net cash used in financing activities	(38.4)		(425.5)		(1,023.5)		707.6		(779.8)
Net increase (decrease) in cash and cash equivalents	350.5		(102.9)		249.0		(96.1)		400.5
Cash and cash equivalents at beginning of period	412.4		907.2		1,598.0		(1,053.7)		1,863.9
Cash and cash equivalents at end of period	$	762.9	$	804.3	$	1,847.0	$	(1,149.8)	$	2,264.4