(11) Changes in Accumulated Other Comprehensive Income

The following tables show the changes in accumulated other comprehensive income (loss), net of taxes, by component as of and for the periods indicated:


(Amounts in millions)	Net unrealized investment gains (losses)⁽¹⁾			Derivatives qualifying as hedges⁽²⁾			Foreign currency translation and other adjustments			Total
Balances as of July 1, 2018	$	736		$	1,863		$	(272	)	$	2,327
OCI before reclassifications		(141	)		(122	)		20			(243	)
Amounts reclassified from (to) OCI		7			(24	)		—			(17	)

Current period OCI		(134	)		(146	)		20			(260	)

Balances as of September 30, 2018 before noncontrolling interests		602			1,717			(252	)		2,067

Less: change in OCI attributable to noncontrolling interests		(6	)		—			6			—

Balances as of September 30, 2018	$	608		$	1,717		$	(258	)	$	2,067

⁽¹⁾	Net of adjustments to DAC, present value of future profits, sales inducements and benefit reserves. See note 4 for additional information.

⁽²⁾	See note 5 for additional information.


(Amounts in millions)	Net unrealized investment gains (losses)⁽¹⁾			Derivatives qualifying as hedges⁽²⁾			Foreign currency translation and other adjustments			Total
Balances as of July 1, 2017	$	1,180		$	2,064		$	(149	)	$	3,095
OCI before reclassifications		(70	)		10			81			21
Amounts reclassified from (to) OCI		(19	)		(22	)		—			(41	)

Current period OCI		(89	)		(12	)		81			(20	)

Balances as of September 30, 2017 before noncontrolling interests		1,091			2,052			(68	)		3,075

Less: change in OCI attributable to noncontrolling interests		(17	)		—			57			40

Balances as of September 30, 2017	$	1,108		$	2,052		$	(125	)	$	3,035

⁽¹⁾	Net of adjustments to DAC, present value of future profits, sales inducements and benefit reserves. See note 4 for additional information.

⁽²⁾	See note 5 for additional information.


(Amounts in millions)	Net unrealized investment gains (losses)⁽¹⁾			Derivatives qualifying as hedges⁽²⁾			Foreign currency translation and other adjustments			Total
Balances as of January 1, 2018	$	1,085		$	2,065		$	(123	)	$	3,027
Cumulative effect of changes in accounting		164			14			(47	)		131
OCI before reclassifications		(682	)		(287	)		(165	)		(1,134	)
Amounts reclassified from (to) OCI		20			(75	)		—			(55	)

Current period OCI		(662	)		(362	)		(165	)		(1,189	)

Balances as of September 30, 2018 before noncontrolling interests		587			1,717			(335	)		1,969

Less: change in OCI attributable to noncontrolling interests		(21	)		—			(77	)		(98	)

Balances as of September 30, 2018	$	608		$	1,717		$	(258	)	$	2,067

⁽¹⁾	Net of adjustments to DAC, present value of future profits, sales inducements and benefit reserves. See note 4 for additional information.

⁽²⁾	See note 5 for additional information.


(Amounts in millions)	Net unrealized investment gains (losses)⁽¹⁾			Derivatives qualifying as hedges⁽²⁾			Foreign currency translation and other adjustments			Total
Balances as of January 1, 2017	$	1,262		$	2,085		$	(253	)	$	3,094
OCI before reclassifications		(95	)		29			261			195
Amounts reclassified from (to) OCI		(77	)		(62	)		—			(139	)

Current period OCI		(172	)		(33	)		261			56

Balances as of September 30, 2017 before noncontrolling interests		1,090			2,052			8			3,150

Less: change in OCI attributable to noncontrolling interests		(18	)		—			133			115

Balances as of September 30, 2017	$	1,108		$	2,052		$	(125	)	$	3,035

⁽¹⁾	Net of adjustments to DAC, present value of future profits, sales inducements and benefit reserves. See note 4 for additional information.

⁽²⁾	See note 5 for additional information.

The foreign currency translation and other adjustments balance included $(14) million and $(5) million, respectively, net of taxes of $5 million and $1 million, respectively, related to a net unrecognized postretirement benefit obligation as of September 30, 2018 and 2017. The amount also includes taxes of $(45) million and $28 million, respectively, related to foreign currency translation adjustments as of September 30, 2018 and 2017. These balances include the impact of adopting new accounting guidance related to stranded tax effects.

The following table shows reclassifications in (out) of accumulated other comprehensive income (loss), net of taxes, for the periods presented:


	Amount reclassified from accumulated other comprehensive income (loss)												Affected line item in the consolidated statements of income
	Three months ended September 30,						Nine months ended September 30,
(Amounts in millions)	2018			2017			2018			2017
Net unrealized investment (gains) losses:
Unrealized (gains) losses on investments⁽¹⁾	$	9		$	(29	)	$	25		$	(118	)	Net investment (gains) losses
(Provision) benefit for income taxes		(2	)		10			(5	)		41		Provision for income taxes

Total	$	7		$	(19	)	$	20		$	(77	)

Derivatives qualifying as hedges:
Interest rate swaps hedging assets	$	(38	)	$	(34	)	$	(112	)	$	(95	)	Net investment income
Interest rate swaps hedging assets		—			—			(5	)		(2	)	Net investment (gains) losses
Benefit for income taxes		14			12			42			35		Provision for income taxes

Total	$	(24	)	$	(22	)	$	(75	)	$	(62	)

⁽¹⁾	Amounts exclude adjustments to DAC, present value of future profits, sales inducements and benefit reserves.