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Financial Statement Revisions Revisions (Tables)
 12 Months Ended
Dec. 31, 2018
Error Corrections and Prior Period Adjustments Restatement [Line Items]  
Schedule of Error Corrections and Prior Period Adjustments [Table Text Block]
The following represents the effects of the revisions on the consolidated statements of comprehensive income:
 
Years ended December 31,
 
2017
 
2016
(In millions)
As Previously Reported
 
Revisions
 
As Adjusted
 
As Previously Reported
 
Revisions
 
As Adjusted
Net income
$
1,448

 
$
(90
)
 
$
1,358

 
$
768

 
$
5

 
$
773

Other comprehensive income, before tax
 
 
 
 
 
 
 
 
 
 
 
Unrealized investment gains (losses) on available-for-sale securities
1,269

 
43

 
1,312

 
878

 
4

 
882

Other comprehensive income, before tax
1,187

 
43

 
1,230

 
863

 
4

 
867

Income tax expense related to other comprehensive income
326

 
8

 
334

 
259

 
1

 
260

Other comprehensive income
861

 
35

 
896

 
604

 
3

 
607

Comprehensive income
$
2,309

 
$
(55
)
 
$
2,254

 
$
1,372

 
$
8

 
$
1,380

The following represents the effects of the revisions on the consolidated statements of cash flows:
 
Years ended December 31,
 
2017
 
2016
(In millions)
As Previously Reported
 
Revisions
 
As Adjusted
 
As Previously Reported
 
Revisions
 
As Adjusted
Cash flows from operating activities
 
 
 
 
 
 
 
 
 
 
 
Net income
$
1,448

 
$
(90
)
 
$
1,358

 
$
768

 
$
5

 
$
773

Adjustments to reconcile net income to net cash provided by operating activities:
 
 
 
 
 
 
 
 
 
 
 
Amortization of deferred acquisition costs and value of business acquired
350

 
(6
)
 
344

 
318

 
(14
)
 
304

Changes in operating assets and liabilities:
 
 
 
 
 
 
 
 
 
 
 
Interest sensitive contract liabilities
2,513

 
51

 
2,564

 
925

 
31

 
956

Future policy benefits, other policy claims and benefits, dividends payable to policyholders and reinsurance recoverable
1,993

 
26

 
2,019

 
344

 
(13
)
 
331

Other assets and liabilities
219

 
19

 
238

 
(33
)
 
(9
)
 
(42
)
Net cash provided by operating activities
3,170

 
—

 
3,170

 
1,199

 
—

 
1,199

The following represents the effects of the revisions on the consolidated balance sheet:
 
December 31, 2017
(In millions)
As Previously Reported
 
Revisions
 
As Adjusted
Assets
 
 
 
 
 
Investments
 
 
 
 
 
AFS securities
$
61,012

 
$
(4
)
 
$
61,008

Trading securities
2,196

 
(13
)
 
2,183

Equity securities
790

 
13

 
803

Policy loans
530

 
12

 
542

Total investments
82,054

 
8

 
82,062

Investment in related parties – AFS securities
406

 
4

 
410

Reinsurance recoverable
4,972

 
360

 
5,332

Deferred acquisition costs, deferred sales inducements and value of business acquired
2,930

 
42

 
2,972

Total assets
$
99,747

 
$
414

 
$
100,161

Liabilities and Equity
 
 
 
 
 
Liabilities
 
 
 
 
 
Interest sensitive contract liabilities
$
67,708

 
$
391

 
$
68,099

Future policy benefits
17,507

 
50

 
17,557

Other liabilities
1,222

 
5

 
1,227

Total liabilities
90,539

 
446

 
90,985

Equity
 
 
 
 
 
Retained earnings
4,321

 
(66
)
 
4,255

Accumulated other comprehensive income
1,415

 
34

 
1,449

Total shareholders’ equity
9,208

 
(32
)
 
9,176

Total liabilities and equity
$
99,747

 
$
414

 
$
100,161

The following represents the effects of the revisions on the consolidated statements of income:
 
Years ended December 31,
 
2017
 
2016
(In millions, except per share data)
As Previously Reported
 
Revisions
 
As Adjusted
 
As Previously Reported
 
Revisions
 
As Adjusted
Benefits and Expenses
 
 
 
 
 
 
 
 
 
 
 
Interest sensitive contract benefits
$
2,826

 
$
40

 
$
2,866

 
$
1,296

 
$
47

 
$
1,343

Future policy and other policy benefits
3,163

 
37

 
3,200

 
1,059

 
(29
)
 
1,030

Amortization of deferred acquisition costs and value of business acquired
350

 
(6
)
 
344

 
318

 
(14
)
 
304

Total benefits and expenses
7,192

 
71

 
7,263

 
3,389

 
4

 
3,393

Income before income taxes
1,535

 
(71
)
 
1,464

 
716

 
(4
)
 
712

Income tax expense (benefit)
87

 
19

 
106

 
(52
)
 
(9
)
 
(61
)
Net income
$
1,448

 
$
(90
)
 
$
1,358

 
$
768

 
$
5

 
$
773

 
 
 
 
 
 
 
 
 
 
 
 
Earnings per share
 
 
 
 
 
 
 
 
 
 
 
Basic – All classes
$
7.41

 
$
(0.46
)
 
$
6.95

 
$
4.11

 
$
0.03

 
$
4.14

Diluted – Class A
7.37

 
(0.46
)
 
6.91

 
4.02

 
0.02

 
4.04

Diluted – Class B
7.41

 
(0.46
)
 
6.95

 
4.11

 
0.03

 
4.14

Diluted – Class M-1
7.41

 
(0.46
)
 
6.95

 
0.20

 
—

 
0.20

Diluted – Class M-21
5.38

 
(0.33
)
 
5.05

 
N/A

 
N/A

 
N/A

Diluted – Class M-31
4.12

 
(0.26
)
 
3.86

 
N/A

 
N/A

 
N/A

Diluted – Class M-41
3.31

 
(0.21
)
 
3.10

 
N/A

 
N/A

 
N/A

 
 
 
 
 
 
 
 
 
 
 
 
N/A – Not applicable
1 Basic and diluted earnings per share for Class M-2, M-3 and M-4 were applicable only for the year ended December 31, 2017. See Note 13 – Earnings Per Share for further discussion.
The following represents the effects of the revisions on the condensed consolidated statements of cash flows:
 
Three months ended March 31, 2018
(In millions)
As Previously Reported
 
Revisions
 
As Adjusted
Cash flows from operating activities
 
 
 
 
 
Net income
$
268

 
$
9

 
$
277

Adjustments to reconcile net income to net cash provided by operating activities:
 
 
 
 
 
Amortization of deferred acquisition costs and value of business acquired
89

 
(7
)
 
82

Changes in operating assets and liabilities:
 
 
 
 
 
Interest sensitive contract liabilities
(201
)
 
12

 
(189
)
Other assets and liabilities
84

 
(14
)
 
70

Net cash provided by operating activities
573

 
—

 
573

Cash flows from investing activities
 
 
 
 
 
Sales, maturities and repayments of:
 
 
 
 
 
Trading securities
31

 
(7
)
 
24

Purchases of:
 
 
 
 
 
Available-for-sale securities
(5,914
)
 
7

 
(5,907
)
Net cash used in investing activities
(2,884
)
 
—

 
(2,884
)
 
Six months ended June 30, 2018
(In millions)
As Previously Reported
 
Revisions
 
As Adjusted
Cash flows from operating activities
 
 
 
 
 
Net income
$
532

 
$
2

 
$
534

Adjustments to reconcile net income to net cash provided by operating activities:
 
 
 
 
 
Amortization of deferred acquisition costs and value of business acquired
181

 
(10
)
 
171

Policy acquisition costs deferred
(311
)
 
7

 
(304
)
Changes in operating assets and liabilities:
 
 
 
 
 
Interest sensitive contract liabilities
7

 
27

 
34

Future policy benefits, other policy claims and benefits, dividends payable to policyholders and reinsurance recoverable
352

 
(90
)
 
262

Other assets and liabilities
139

 
(28
)
 
111

Net cash provided by operating activities
519

 
(92
)
 
427

Cash flows from investing activities
 
 
 
 
 
Sales, maturities and repayments of:
 
 
 
 
 
Trading securities
288

 
(7
)
 
281

Short-term investments
220

 
(59
)
 
161

Purchases of:
 
 
 
 
 
Available-for-sale securities
(8,953
)
 
99

 
(8,854
)
Trading securities
(81
)
 
64

 
(17
)
Investment funds
(654
)
 
(64
)
 
(718
)
Short-term investments
(429
)
 
59

 
(370
)
Net cash used in investing activities
(3,904
)
 
92

 
(3,812
)
 
 
 
 
 
 
Supplementary information
 
 
 
 
 
Non-cash transactions
 
 
 
 
 
Investments received from pension risk transfer premiums
$
—

 
$
92

 
$
92

 
Nine months ended September 30, 2018
(In millions)
As Previously Reported
 
Revisions
 
As Adjusted
Cash flows from operating activities
 
 
 
 
 
Net income
$
1,172

 
$
(15
)
 
$
1,157

Adjustments to reconcile net income to net cash provided by operating activities:
 
 
 
 
 
Amortization of deferred acquisition costs and value of business acquired
211

 
(4
)
 
207

Changes in operating assets and liabilities:
 
 
 
 
 
Interest sensitive contract liabilities
562

 
29

 
591

Future policy benefits, other policy claims and benefits, dividends payable to policyholders and reinsurance recoverable
1,080

 
(83
)
 
997

Funds withheld assets and liabilities
(239
)
 
7

 
(232
)
Other assets and liabilities
103

 
(26
)
 
77

Net cash provided by operating activities
1,235

 
(92
)
 
1,143

Cash flows from investing activities
 
 
 
 
 
Sales, maturities and repayments of:
 
 
 
 
 
Trading securities
327

 
(7
)
 
320

Purchases of:
 
 
 
 
 
Available-for-sale securities
(12,128
)
 
99

 
(12,029
)
Net cash used in investing activities
(6,146
)
 
92

 
(6,054
)
 
 
 
 
 
 
Supplementary information
 
 
 
 
 
Non-cash transactions
 
 
 
 
 
Investments received from pension risk transfer premiums
$
—

 
$
92

 
$
92

The following represents the effects of the revisions on the condensed consolidated statements of comprehensive income (loss):
 
Three months ended March 31, 2018
(In millions)
As Previously Reported
 
Revisions
 
As Adjusted
Net income
$
268

 
$
9

 
$
277

Other comprehensive income (loss), before tax
 
 
 
 
 
Unrealized investment gains (losses) on available-for-sale securities
(910
)
 
19

 
(891
)
Other comprehensive income (loss), before tax
(971
)
 
19

 
(952
)
Income tax expense (benefit) related to other comprehensive income
(183
)
 
4

 
(179
)
Other comprehensive income (loss)
(788
)
 
15

 
(773
)
Comprehensive income (loss)
$
(520
)
 
$
24

 
$
(496
)

 
June 30, 2018
 
Three months ended
 
Six months ended
(In millions)
As Previously Reported
 
Revisions
 
As Adjusted
 
As Previously Reported
 
Revisions
 
As Adjusted
Net income
$
264

 
$
(7
)
 
$
257

 
$
532

 
$
2

 
$
534

Other comprehensive loss, before tax
 
 
 
 
 
 
 
 
 
 
 
Unrealized investment gains (losses) on available-for-sale securities
(667
)
 
(35
)
 
(702
)
 
(1,577
)
 
(16
)
 
(1,593
)
Other comprehensive loss, before tax
(568
)
 
(35
)
 
(603
)
 
(1,539
)
 
(16
)
 
(1,555
)
Income tax benefit related to other comprehensive loss
(109
)
 
(7
)
 
(116
)
 
(292
)
 
(3
)
 
(295
)
Other comprehensive loss
(459
)
 
(28
)
 
(487
)
 
(1,247
)
 
(13
)
 
(1,260
)
Comprehensive loss
$
(195
)
 
$
(35
)
 
$
(230
)
 
$
(715
)
 
$
(11
)
 
$
(726
)

 
September 30, 2018
 
Three months ended
 
Nine months ended
(In millions)
As Previously Reported
 
Revisions
 
As Adjusted
 
As Previously Reported
 
Revisions
 
As Adjusted
Net income
$
640

 
$
(17
)
 
$
623

 
$
1,172

 
$
(15
)
 
$
1,157

Other comprehensive loss, before tax
 
 
 
 
 
 
 
 
 
 
 
Unrealized investment gains (losses) on available-for-sale securities
(103
)
 
(37
)
 
(140
)
 
(1,680
)
 
(53
)
 
(1,733
)
Other comprehensive loss, before tax
(100
)
 
(37
)
 
(137
)
 
(1,639
)
 
(53
)
 
(1,692
)
Income tax benefit related to other comprehensive loss
(17
)
 
(6
)
 
(23
)
 
(309
)
 
(9
)
 
(318
)
Other comprehensive loss
(83
)
 
(31
)
 
(114
)
 
(1,330
)
 
(44
)
 
(1,374
)
Comprehensive income (loss)
$
557

 
$
(48
)
 
$
509

 
$
(158
)
 
$
(59
)
 
$
(217
)
The following represents the effects of the revisions on the condensed consolidated statements of income:
 
Three months ended March 31, 2018
(In millions, except per share data)
Previously Reported
 
Revisions
 
Adjusted
Benefits and Expenses
 
 
 
 
 
Interest sensitive contract benefits
$
19

 
$
12

 
$
31

Amortization of deferred acquisition costs and value of business acquired
89

 
(7
)
 
82

Total benefits and expenses
684

 
5

 
689

Income before income taxes
327

 
(5
)
 
322

Income tax expense (benefit)
59

 
(14
)
 
45

Net income
$
268

 
$
9

 
$
277

 
 
 
 
 
 
Earnings per share
 
 
 
 
 
Basic – All classes
$
1.36

 
$
0.04

 
$
1.40

Diluted – Class A
1.36

 
0.04

 
1.40

Diluted – Class B
1.36

 
0.04

 
1.40

Diluted – Class M-1
1.36

 
0.04

 
1.40

Diluted – Class M-2
1.34

 
0.05

 
1.39

Diluted – Class M-3
1.33

 
0.05

 
1.38

Diluted – Class M-4
0.94

 
0.03

 
0.97


 
June 30, 2018
 
Three months ended
 
Six months ended
(In millions, except per share data)
As Previously Reported
 
Revisions
 
As Adjusted
 
As Previously Reported
 
Revisions
 
As Adjusted
Revenues
 
 
 
 
 
 
 
 
 
 
 
Premiums
$
726

 
$
5

 
$
731

 
$
1,004

 
$
5

 
$
1,009

Total revenues
1,797

 
5

 
1,802

 
2,808

 
5

 
2,813

Benefits and Expenses
 
 
 
 
 
 
 
 
 
 
 
Interest sensitive contract benefits
332

 
10

 
342

 
351

 
22

 
373

Future policy and other policy benefits
857

 
7

 
864

 
1,258

 
7

 
1,265

Amortization of deferred acquisition costs and value of business acquired
92

 
(3
)
 
89

 
181

 
(10
)
 
171

Total benefits and expenses
1,467

 
14

 
1,481

 
2,151

 
19

 
2,170

Income before income taxes
330

 
(9
)
 
321

 
657

 
(14
)
 
643

Income tax expense (benefit)
66

 
(2
)
 
64

 
125

 
(16
)
 
109

Net income
$
264

 
$
(7
)
 
$
257

 
$
532

 
$
2

 
$
534

 
 
 
 
 
 
 
 
 
 
 
 
Earnings per share
 
 
 
 
 
 
 
 
 
 
 
Basic – All classes
$
1.34

 
$
(0.04
)
 
$
1.30

 
$
2.70

 
$
0.01

 
$
2.71

Diluted – Class A
1.33

 
(0.03
)
 
1.30

 
2.69

 
0.01

 
2.70

Diluted – Class B
1.34

 
(0.04
)
 
1.30

 
2.70

 
0.01

 
2.71

Diluted – Class M-1
1.34

 
(0.04
)
 
1.30

 
2.70

 
0.01

 
2.71

Diluted – Class M-2
1.33

 
(0.04
)
 
1.29

 
2.67

 
0.01

 
2.68

Diluted – Class M-3
1.34

 
(0.04
)
 
1.30

 
2.67

 
0.01

 
2.68

Diluted – Class M-4
1.04

 
(0.02
)
 
1.02

 
1.98

 
—

 
1.98


 
September 30, 2018
 
Three months ended
 
Nine months ended
(In millions, except per share data)
As Previously Reported
 
Revisions
 
As Adjusted
 
As Previously Reported
 
Revisions
 
As Adjusted
Revenues
 
 
 
 
 
 
 
 
 
 
 
Premiums
$
531

 
$
(5
)
 
$
526

 
$
1,535

 
$
—

 
$
1,535

Investment related gains (losses)
823

 
(7
)
 
816

 
585

 
(7
)
 
578

Total revenues
2,588

 
(12
)
 
2,576

 
5,396

 
(7
)
 
5,389

Benefits and Expenses
 
 
 
 
 
 
 
 
 
 
 
Interest sensitive contract benefits
741

 
1

 
742

 
1,092

 
23

 
1,115

Future policy and other policy benefits
920

 
8

 
928

 
2,178

 
15

 
2,193

Amortization of deferred acquisition costs and value of business acquired
30

 
6

 
36

 
211

 
(4
)
 
207

Total benefits and expenses
1,882

 
15

 
1,897

 
4,033

 
34

 
4,067

Income before income taxes
706

 
(27
)
 
679

 
1,363

 
(41
)
 
1,322

Income tax expense (benefit)
66

 
(10
)
 
56

 
191

 
(26
)
 
165

Net income
$
640

 
$
(17
)
 
$
623

 
$
1,172

 
$
(15
)
 
$
1,157

 
 
 
 
 
 
 
 
 
 
 
 
Earnings per share
 
 
 
 
 
 
 
 
 
 
 
Basic – Classes A, B, M-1, M-2, M-3 and M-4
$
3.24

 
$
(0.08
)
 
$
3.16

 
$
5.94

 
$
(0.08
)
 
$
5.86

Diluted – Class A
3.23

 
(0.08
)
 
3.15

 
5.92

 
(0.07
)
 
5.85

Diluted – Class B
3.24

 
(0.08
)
 
3.16

 
5.94

 
(0.08
)
 
5.86

Diluted – Class M-1
3.24

 
(0.08
)
 
3.16

 
5.94

 
(0.08
)
 
5.86

Diluted – Class M-2
3.24

 
(0.08
)
 
3.16

 
5.90

 
(0.07
)
 
5.83

Diluted – Class M-3
3.24

 
(0.08
)
 
3.16

 
5.90

 
(0.07
)
 
5.83

Diluted – Class M-4
2.49

 
(0.07
)
 
2.42

 
4.42

 
(0.06
)
 
4.36