Stockholders' Equity (Tables)

12 Months Ended

Dec. 31, 2019

Stockholders' Equity

Common Stock Dividends (Table)

	For the year ended December 31,
	2019		2018		2017
Dividends declared per common share	$	2.18	$	2.10	$	1.87

Reconciliation of Outstanding Common Shares (Table)

	For the year ended December 31,
	2019	2018	2017
	(in millions)
Beginning balance	279.5	289.0	287.7
Shares issued	2.6	2.6	4.9
Treasury stock acquired	(5.5)	(12.1)	(3.6)
Ending balance	276.6	279.5	289.0

Other Comprehensive Income (Loss) (Table)

	For the year ended December 31, 2019
	Pre-Tax		Tax		After-Tax
	(in millions)
Net unrealized gains on available-for-sale securities during the period	$	4,414.1	$	(947.0)	$	3,467.1
Reclassification adjustment for losses included in net income (1)		47.4		(9.7)		37.7
Adjustments for assumed changes in amortization patterns		(293.0)		61.5		(231.5)
Adjustments for assumed changes in policyholder liabilities		(847.7)		190.5		(657.2)
Net unrealized gains on available-for-sale securities		3,320.8		(704.7)		2,616.1
Noncredit component of impairment losses on fixed maturities, available-for-sale during the period		5.2		(1.1)		4.1
Adjustments for assumed changes in amortization patterns		(1.4)		0.3		(1.1)
Noncredit component of impairment losses on fixed maturities, available-for-sale (2)		3.8		(0.8)		3.0
Net unrealized losses on derivative instruments during the period		(0.5)		—		(0.5)
Reclassification adjustment for gains included in net income (3)		(23.9)		4.9		(19.0)
Adjustments for assumed changes in amortization patterns		3.1		(0.6)		2.5
Adjustments for assumed changes in policyholder liabilities		7.9		(1.9)		6.0
Net unrealized losses on derivative instruments		(13.4)		2.4		(11.0)
Foreign currency translation adjustment during the period		(112.3)		7.5		(104.8)
Reclassification adjustment for losses included in net income (4)		26.1		—		26.1
Foreign currency translation adjustment		(86.2)		7.5		(78.7)
Unrecognized postretirement benefit obligation during the period		43.6		(8.6)		35.0
Amortization of amounts included in net periodic benefit cost (5)		57.7		(15.4)		42.3
Net unrecognized postretirement benefit obligation		101.3		(24.0)		77.3
Other comprehensive income	$	3,326.3	$	(719.6)	$	2,606.7

13. Stockholders' Equity – (continued)

	For the year ended December 31, 2018
	Pre-Tax		Tax		After-Tax
	(in millions)
Net unrealized losses on available-for-sale securities during the period	$	(2,517.5)	$	515.4	$	(2,002.1)
Reclassification adjustment for losses included in net income (1)		56.4		(5.3)		51.1
Adjustments for assumed changes in amortization patterns		185.9		(39.1)		146.8
Adjustments for assumed changes in policyholder liabilities		346.9		(72.3)		274.6
Net unrealized losses on available-for-sale securities		(1,928.3)		398.7		(1,529.6)
Noncredit component of impairment losses on fixed maturities, available-for-sale during the period		39.7		(8.4)		31.3
Adjustments for assumed changes in amortization patterns		(5.3)		1.1		(4.2)
Adjustments for assumed changes in policyholder liabilities		(0.8)		0.1		(0.7)
Noncredit component of impairment losses on fixed maturities, available-for-sale (2)		33.6		(7.2)		26.4
Net unrealized gains on derivative instruments during the period		50.4		(3.4)		47.0
Reclassification adjustment for gains included in net income (3)		(40.1)		4.2		(35.9)
Adjustments for assumed changes in amortization patterns		0.3		(0.1)		0.2
Adjustments for assumed changes in policyholder liabilities		5.7		(1.0)		4.7
Net unrealized gains on derivative instruments		16.3		(0.3)		16.0
Foreign currency translation adjustment		(303.9)		16.3		(287.6)
Unrecognized postretirement benefit obligation during the period		(125.3)		29.4		(95.9)
Amortization of amounts included in net periodic benefit cost (5)		49.0		(14.0)		35.0
Net unrecognized postretirement benefit obligation		(76.3)		15.4		(60.9)
Other comprehensive loss	$	(2,258.6)	$	422.9	$	(1,835.7)

13. Stockholders' Equity – (continued)

	For the year ended December 31, 2017
	Pre-Tax		Tax		After-Tax
	(in millions)
Net unrealized gains on available-for-sale securities during the period	$	1,074.2	$	(341.6)	$	732.6
Reclassification adjustment for losses included in net income (1)		67.8		(23.5)		44.3
Adjustments for assumed changes in amortization patterns		(26.2)		9.3		(16.9)
Adjustments for assumed changes in policyholder liabilities		(184.6)		64.1		(120.5)
Net unrealized gains on available-for-sale securities		931.2		(291.7)		639.5
Noncredit component of impairment losses on fixed maturities, available-for-sale during the period		53.1		(17.0)		36.1
Adjustments for assumed changes in amortization patterns		(6.4)		2.3		(4.1)
Adjustments for assumed changes in policyholder liabilities		(1.3)		0.5		(0.8)
Noncredit component of impairment losses on fixed maturities, available-for-sale (2)		45.4		(14.2)		31.2
Net unrealized losses on derivative instruments during the period		(46.7)		16.0		(30.7)
Reclassification adjustment for gains included in net income (3)		(31.6)		10.8		(20.8)
Adjustments for assumed changes in amortization patterns		3.9		(1.3)		2.6
Adjustments for assumed changes in policyholder liabilities		9.6		(3.3)		6.3
Net unrealized losses on derivative instruments		(64.8)		22.2		(42.6)
Foreign currency translation adjustment during the period		171.6		4.7		176.3
Reclassification adjustment for losses included in net income (4)		2.6		—		2.6
Foreign currency translation adjustment		174.2		4.7		178.9
Unrecognized postretirement benefit obligation during the period		24.0		(3.8)		20.2
Amortization of amounts included in net periodic benefit cost (5)		31.1		(14.0)		17.1
Net unrecognized postretirement benefit obligation		55.1		(17.8)		37.3
Other comprehensive income	$	1,141.1	$	(296.8)	$	844.3

(1) Pre-tax reclassification adjustments relating to available-for-sale securities are reported in net realized capital gains (losses) on the consolidated statements of operations.

(2) Represents the net impact of (1) unrealized gains resulting from reclassification of previously recognized noncredit impairment losses from OCI to net realized capital gains (losses) for fixed maturities with bifurcated OTTI that had additional credit losses or fixed maturities that previously had bifurcated OTTI that have now been sold or are intended to be sold and (2) unrealized losses resulting from reclassification of noncredit impairment losses for fixed maturities with bifurcated OTTI from net realized capital gains (losses) to OCI.

(3) See Note 5, Derivative Financial Instruments – Effect of Fair Value and Cash Flow Hedges on Consolidated Statements of Operations, for further details.

(4) Pre-tax reclassification adjustments primarily relate to deconsolidated sponsored investment funds and are reported in net realized capital gains (losses) on the consolidated statements of operations. For the years ended December 31, 2019 and 2017, $5.7 million and $2.0 million, respectively, of the reclassification relates to noncontrolling interest and is reported in net income attributable to noncontrolling interest on the consolidated statements of operations.

(5) Amount is comprised of amortization of prior service cost (benefit) and recognized net actuarial (gain) loss, which is reported in operating expenses on the consolidated statements of operations. See Note 11, Employee and Agent Benefits – Components of Net Periodic Benefit Cost, for further details.

Accumulated Other Comprehensive Income (Loss) (Table)

			Noncredit
	Net unrealized		component of		Net unrealized		Foreign		Unrecognized		Accumulated
	gains on		impairment losses		gains		currency		postretirement		other
	available-for-sale		on fixed maturities		on derivative		translation		benefit		comprehensive
	securities		available-for-sale		instruments		adjustment		obligation		income (loss)
	(in millions)
Balances as of January 1, 2017	$	831.2	$	(89.5)	$	85.3	$	(1,093.8)	$	(408.4)	$	(675.2)
Other comprehensive income during the period, net of adjustments		595.2		—		(21.8)		174.7		20.2		768.3
Amounts reclassified from AOCI		44.3		31.2		(20.8)		0.6		17.1		72.4
Other comprehensive income		639.5		31.2		(42.6)		175.3		37.3		840.7
Balances as of December 31, 2017		1,470.7		(58.3)		42.7		(918.5)		(371.1)		165.5
Other comprehensive loss during the period, net of adjustments		(1,580.6)		—		51.9		(283.2)		(95.9)		(1,907.8)
Amounts reclassified from AOCI		51.1		26.4		(35.9)		—		35.0		76.6
Other comprehensive loss		(1,529.5)		26.4		16.0		(283.2)		(60.9)		(1,831.2)
Purchase of subsidiary shares from noncontrolling interest		—		—		—		(1.6)		—		(1.6)
Effects of implementation of accounting change related to equity investments, net		(1.0)		—		—		—		—		(1.0)
Effects of implementation of accounting change accounting change related to revenue recognition, net		—		—		—		25.6		—		25.6
Effects of implementation of accounting change related to the reclassification of certain tax effects, net		249.8		(15.2)		5.7		(81.8)		(80.9)		77.6
Balances as of December 31, 2018		190.0		(47.1)		64.4		(1,259.5)		(512.9)		(1,565.1)
Other comprehensive income during the period, net of adjustments		2,578.3		—		8.0		(102.7)		35.0		2,518.6
Amounts reclassified from AOCI		37.7		3.0		(19.0)		20.4		42.3		84.4
Other comprehensive income		2,616.0		3.0		(11.0)		(82.3)		77.3		2,603.0
Balances as of December 31, 2019	$	2,806.0	$	(44.1)	$	53.4	$	(1,341.8)	$	(435.6)	$	1,037.9

Redeemable Noncontrolling Interest (Table)

	For the year ended December 31,
	2019		2018		2017
	(in millions)
Beginning balance	$	391.2	$	101.3	$	97.5
Net income (loss) attributable to redeemable noncontrolling interest		33.6		(2.1)		7.0
Redeemable noncontrolling interest of deconsolidated entities (1)		(505.4)		(10.6)		(61.1)
Contributions from redeemable noncontrolling interest		402.1		355.0		94.1
Distributions to redeemable noncontrolling interest		(66.3)		(36.8)		(39.0)
Purchase of subsidiary shares from redeemable noncontrolling interest		(1.1)		(7.1)		(4.4)
Change in redemption value of redeemable noncontrolling interest		5.4		(7.0)		5.9
Stock-based compensation attributable to redeemable noncontrolling interest		0.1		0.1		—
Other comprehensive income (loss) attributable to redeemable noncontrolling interest		5.3		(1.6)		1.3
Ending balance	$	264.9	$	391.2	$	101.3

(1) We deconsolidated certain sponsored investment funds as they no longer met the requirements for consolidation.