Segment Information (Tables)

3 Months Ended

Mar. 31, 2018

Segment Information

Reconciliation of Assets from Segment to Consolidated (Table)

	March 31, 2018		December 31, 2017
	(in millions)
Assets:
Retirement and Income Solutions	$	168,851.9	$	169,757.8
Principal Global Investors	2,234.5		2,322.9
Principal International	52,923.4		51,684.0
U.S. Insurance Solutions	25,118.4		25,092.9
Corporate	4,508.3		5,083.6
Total consolidated assets	$	253,636.5	$	253,941.2

Reconciliation of Operating Revenues and Pre-tax Operating Earnings (Losses) by Segment (Table)

	For the three months ended March 31,
	2018		2017
	(in millions)
Operating revenues by segment:
Retirement and Income Solutions:
Retirement and Income Solutions – Fee	$	459.6	$	450.4
Retirement and Income Solutions – Spread	722.5		1,032.2
Total Retirement and Income Solutions (1)	1,182.1		1,482.6
Principal Global Investors (2)	368.5		345.9
Principal International	383.1		321.3
U.S. Insurance Solutions:
Specialty Benefits insurance	566.4		528.5
Individual Life insurance	447.1		427.9
Total U.S. Insurance Solutions	1,013.5		956.4
Corporate	—		(1.5)
Total segment operating revenues	2,947.2		3,104.7
Net realized capital losses, net of related revenue adjustments	(42.2)		(32.6)
Adjustments related to equity method investments	(21.4)		(22.7)
Total revenues per consolidated statements of operations	$	2,883.6	$	3,049.4
Pre-tax operating earnings (losses) by segment:
Retirement and Income Solutions	$	232.6	$	244.2
Principal Global Investors	110.3		100.0
Principal International	87.0		100.9
U.S. Insurance Solutions	108.6		86.2
Corporate	(42.0)		(58.5)
Total segment pre-tax operating earnings	496.5		472.8
Pre-tax net realized capital losses, as adjusted (3)	(23.6)		(38.8)
Adjustments related to equity method investments and noncontrolling interest	(15.9)		(20.0)
Income before income taxes per consolidated statements of operations	$	457.0	$	414.0

(1) Reflects inter-segment revenues of $101.7 million and $95.1 million for the three months ended March 31, 2018 and 2017, respectively.

(2) Reflects inter-segment revenues of $62.2 million and $59.9 million for the three months ended March 31, 2018 and 2017, respectively.

(3) Pre-tax net realized capital gains (losses), as adjusted, is derived as follows:

	For the three months ended March 31,
	2018		2017
	(in millions)
Net realized capital losses:
Net realized capital losses	$	(25.1)	$	(16.6)
Derivative and hedging-related adjustments	(17.8)		(17.6)
Adjustments related to equity method investments	0.2		0.6
Adjustments related to sponsored investment funds	2.1		1.2
Recognition of front-end fee revenue	(1.6)		(0.2)
Net realized capital losses, net of related revenue adjustments	(42.2)		(32.6)
Amortization of deferred acquisition costs and other actuarial balances	5.6		9.1
Capital (gains) losses distributed	10.6		(17.1)
Market value adjustments of embedded derivatives	2.4		1.8
Pre-tax net realized capital losses, as adjusted (a)	$	(23.6)	$	(38.8)

(a) As adjusted before noncontrolling interest capital gains (losses).