OPERATING SEGMENTS (Tables)

9 Months Ended

Sep. 30, 2019

Summary of Financial Information for the Company's Segments

The following tables present a summary of results and reconciles pre-tax adjusted operating income (loss) to consolidated income before income tax and net income:


	For The Three Months Ended September 30,						For The Nine Months Ended September 30,
	2019		2018		2019		2018
	(Dollars In Thousands)
Revenues
Life Marketing	$	441,108	$	407,708	$	1,274,496	$	1,195,074
Acquisitions	859,524		581,054		2,136,497		1,469,787
Annuities	210,114		110,386		542,736		321,880
Stable Value Products	59,954		59,328		187,118		158,944
Asset Protection	88,696		90,926		266,345		266,747
Corporate and Other	22,597		20,561		90,083		90,686
Total revenues	$	1,681,993	$	1,269,963	$	4,497,275	$	3,503,118
Pre-tax Adjusted Operating Income (Loss)
Life Marketing	$	(24,669)	3,647		(22,481)		$	(18,326)
Acquisitions	103,210		93,648		247,932		208,206
Annuities	27,684		36,249		109,886		112,234
Stable Value Products	20,863		27,126		71,208		76,198
Asset Protection	9,637		7,051		26,945		16,991
Corporate and Other	(36,563)		(41,927)		(119,675)		(119,474)
Pre-tax adjusted operating income	100,162		125,794		313,815		275,829
Realized gains (losses) on investments and derivatives	139,679		(30,624)		288,476		(97,829)
Income before income tax	239,841		95,170		602,291		178,000
Income tax expense	(49,417)		(16,646)		(115,355)		(28,933)
Net income	$	190,424	$	78,524	$	486,936	$	149,067

Pre-tax adjusted operating income	$	100,162	$	125,794	$	313,815	$	275,829
Adjusted operating income tax expense	(20,085)		(23,077)		(54,775)		(49,477)
After-tax adjusted operating income	80,077		102,717		259,040		226,352
Realized gains (losses) on investments and derivatives	139,679		(30,624)		288,476		(97,829)
Income tax (expense) benefit on adjustments	(29,332)		6,431		(60,580)		20,544
Net income	$	190,424	$	78,524	$	486,936	$	149,067

Realized investment (losses) gains:
Derivative financial instruments	$	42,286	$	(26,710)	$	(86,288)	$	37,176
All other investments	88,217		(20,156)		317,254		(157,350)
Net impairment losses recognized in earnings	(10,818)		(14)		(14,658)		(3,664)
Less: related amortization⁽¹⁾	(6,205)		(5,859)		(37,406)		5,060
Less: VA GLWB economic cost	(13,789)		(10,397)		(34,762)		(31,069)
Realized gains (losses) on investments and derivatives	$	139,679	$	(30,624)	$	288,476	$	(97,829)

(1) Includes amortization of DAC/VOBA and benefits and settlement expenses that are impacted by realized gains (losses).


	Operating Segment Assets
	As of September 30, 2019
	(Dollars In Thousands)
	Life Marketing		Acquisitions		Annuities		Stable Value Products
Investments and other assets	$	15,788,380	$	52,877,466	$	21,092,340	$	5,324,149
DAC and VOBA	1,467,866		885,600		895,121		6,019
Other intangibles	247,958		37,287		161,509		6,889
Goodwill	215,254		23,862		343,247		113,924
Total assets	$	17,719,458	$	53,824,215	$	22,492,217	$	5,450,981


	Asset Protection		Corporate and Other		Total Consolidated
Investments and other assets	$	866,349	$	17,928,512	$	113,877,196
DAC and VOBA	172,984		—		3,427,590
Other intangibles	114,703		27,473		595,819
Goodwill	129,224		—		825,511
Total assets	$	1,283,260	$	17,955,985	$	118,726,116


	Operating Segment Assets
	As of December 31, 2018
	(Dollars In Thousands)
	Life Marketing		Acquisitions		Annuities		Stable Value Products
Investments and other assets	$	14,607,822	$	31,859,520	$	20,160,279	$	5,107,334
DAC and VOBA	1,499,386		458,977		889,697		6,121
Other intangibles	262,181		31,975		156,785		7,389
Goodwill	215,254		23,862		343,247		113,924
Total assets	$	16,584,643	$	32,374,334	$	21,550,008	$	5,234,768


	Asset Protection		Corporate and Other		Total Consolidated
Investments and other assets	$	827,416	$	12,356,003	$	84,918,374
DAC and VOBA	172,149		—		3,026,330
Other intangibles	122,590		31,934		612,854
Goodwill	129,224		—		825,511
Total assets	$	1,251,379	$	12,387,937	$	89,383,069