The following table presents a roll-forward of the pre-transition LFPB balance as of January 1, 2021:


(In millions)
Balance as of December 31, 2020, as previously reported	$	13,318
Reclassification of reserves for policyholders currently receiving benefits to Future policy benefits (1)	2,844
De-recognition of shadow reserves	(3,293)
Re-measurement using an upper-medium grade fixed income instrument yield discount rate	6,255
Other adjustments	8
Balance as of January 1, 2021, as adjusted	$	19,132

(1) In conjunction with the adoption of ASU 2018-12, at January 1, 2023, the Company reclassified the long-term care reserves for policyholders currently receiving benefits from Claim and claim adjustment expenses to Future policy benefits. This change was applied retrospectively as of January 1, 2021.

The following table presents after tax adjustments to the opening balance of Stockholders’ equity resulting from adoption of ASU 2018-12:


(In millions)	Accumulated other comprehensive income (loss)		Retained earnings
Balance as of December 31, 2020, as previously reported	$	803	$	9,081
De-recognition of shadow reserves	2,601		—
Re-measurement of LFPB using an upper-medium grade fixed income instrument yield discount rate	(4,941)		—
Other adjustments	—		(6)
Balance as of January 1, 2021, as adjusted	$	(1,537)	$	9,075

The effects of adoption of ASU 2018-12 on the Consolidated Statement of Operations for the year ended December 31, 2022 were as follows:


(In millions)	Prior to Adoption		Effect of Adoption		As reported
Insurance claims and policyholders’ benefits (1)	$	6,386	$	267	$	6,653
Income (loss) before income tax	1,081		(267)		814
Income tax (expense) benefit	(187)		55		(132)
Net income	894		(212)		682
Basic earnings (loss) per share	3.29		(0.78)		2.51
Diluted earnings (loss) per share	3.28		(0.77)		2.51

(1) The effect of adopting ASU 2018-12 on Insurance claims and policyholders’ benefits is inclusive of the re-measurement gain (loss) of $(214) million, which is presented parenthetically on the Consolidated Statement of Operations.

The effects of adoption of ASU 2018-12 on the Consolidated Statement of Operations for the year ended December 31, 2021 were as follows:


(In millions)	Prior to Adoption		Effect of Adoption		As reported
Insurance claims and policyholders’ benefits (1)	$	6,349	$	22	$	6,371
Income (loss) before income tax	1,484		(22)		1,462
Income tax (expense) benefit	(282)		4		(278)
Net income	1,202		(18)		1,184
Basic earnings (loss) per share	4.42		(0.06)		4.36
Diluted earnings (loss) per share	4.41		(0.07)		4.34

(1) The effect of adopting ASU 2018-12 on Insurance claims and policyholders’ benefits is inclusive of the re-measurement gain (loss) of $(8) million, which is presented parenthetically on the Consolidated Statement of Operations.

The effects of adoption of ASU 2018-12 on the Consolidated Balance Sheet as of December 31, 2022 were as follows:


(In millions)	Prior to Adoption		Effect of Adoption		As reported
Deferred income taxes	$	1,178	$	73	$	1,251
Total assets	60,927		73		61,000
Claim and claim adjustment expenses (1)	25,099		(2,979)		22,120
Future policy benefits (1)	10,151		3,329		13,480
Total liabilities	52,102		350		52,452
Retained earnings	9,572		(236)		9,336
Accumulated other comprehensive income (loss)	(3,557)		(41)		(3,598)
Total stockholders' equity	8,825		(277)		8,548

The effects of adoption of ASU 2018-12 on the Consolidated Statement of Comprehensive Income (Loss) for the year ended December 31, 2022 were as follows:


(In millions)	Prior to Adoption		Effect of Adoption		As reported
Changes in: Net unrealized gains and losses on other investments	$	(3,777)	$	(2,320)	$	(6,097)
Net unrealized gains and losses on investments	(3,782)		(2,320)		(6,102)
Impact of changes in discount rates used to measure long-duration contract liabilities	—		3,959		3,959
Other comprehensive income (loss), net of tax	(3,877)		1,639		(2,238)
Total comprehensive income (loss)	(2,983)		1,427		(1,556)

The effects of adoption of ASU 2018-12 on the Consolidated Statement of Comprehensive Income (Loss) for the year ended December 31, 2021 were as follows:


(In millions)	Prior to Adoption		Effect of Adoption		As reported
Changes in: Net unrealized gains and losses on other investments	$	(706)	$	(281)	$	(987)
Net unrealized gains and losses on investments	(708)		(281)		(989)
Impact of changes in discount rates used to measure long-duration contract liabilities	—		941		941
Other comprehensive income (loss), net of tax	(483)		660		177
Total comprehensive income (loss)	719		642		1,361

The effects of adoption of ASU 2018-12 on the Consolidated Statement of Cash Flows for the year ended December 31, 2022 were as follows:


(In millions)	Prior to Adoption		Effect of Adoption		As reported
Net income	$	894	$	(212)	$	682
Deferred income tax expense (benefit)	(34)		(55)		(89)
Changes in: Insurance reserves	1,791		267		2,058

The effects of adoption of ASU 2018-12 on the Consolidated Statement of Cash Flows for the year ended December 31, 2021 were as follows:


(In millions)	Prior to Adoption		Effect of Adoption		As reported
Net income	$	1,202	$	(18)	$	1,184
Deferred income tax expense (benefit)	47		(4)		43
Changes in: Insurance reserves	2,463		22		2,485

The effects of adoption of ASU 2018-12 on segment results of operations of the Life & Group segment for the year ended December 31, 2022 were as follows:


(In millions)	Prior to Adoption		Effect of Adoption		As reported
Net incurred claims and benefits (1)	$	1,202	$	267	$	1,469
Core income (loss) before income tax	(53)		(267)		(320)
Income tax (expense) benefit on core income (loss)	44		55		99
Core income (loss)	(9)		(212)		(221)

(1) The effect of adopting ASU 2018-12 on Net incurred claims and benefits is inclusive of the re-measurement gain (loss) of $(214) million, which is presented parenthetically on the Consolidated Statement of Operations.

The effects of adoption of ASU 2018-12 on segment results of operations of the Life & Group segment for the year end ended December 31, 2021 were as follows:


(In millions)	Prior to Adoption		Effect of Adoption		As reported
Net incurred claims and benefits (1)	$	1,239	$	22	$	1,261
Core income (loss) before income tax	105		(22)		83
Income tax (expense) benefit on core income (loss)	21		4		25
Core income (loss)	126		(18)		108

(1) The effect of adopting ASU 2018-12 on Net incurred claims and benefits is inclusive of the re-measurement gain (loss) of $(8) million, which is presented parenthetically on the Consolidated Statement of Operations.

The effects of adoption of ASU 2018-12 on segment results for selected balance sheet lines of the Life & Group segment as of December 31, 2022 were as follows:


(In millions)	Prior to Adoption		Effect of Adoption		As reported
Claim and claim adjustment expenses (1)	$	3,674	$	(2,979)	$	695
Future policy benefits (1)	10,151		3,329		13,480