BUSINESS SEGMENT INFORMATION

9 Months Ended

Sep. 30, 2012

Segment Reporting [Abstract]

BUSINESS SEGMENT INFORMATION

BUSINESS SEGMENT INFORMATION

The Company consists of two reportable insurance business segments: Aflac Japan and Aflac U.S., both of which sell supplemental health and life insurance. Operating business segments that are not individually reportable and business activities not included in Aflac Japan or Aflac U.S. are included in the "Other business segments" category.

We do not allocate corporate overhead expenses to business segments. We evaluate and manage our business segments using a financial performance measure called pretax operating earnings. Our definition of operating earnings excludes the following items from net earnings on an after-tax basis: realized investment gains/losses (securities transactions, impairments, and the impact of derivative and hedging activities) and nonrecurring items. We then exclude income taxes related to operations to arrive at pretax operating earnings. Information regarding operations by segment follows:

	Three Months Ended September 30,						Nine Months Ended September 30,
(In millions)	2012			2011			2012			2011
Revenues:
Aflac Japan:
Earned premiums	$	4,405		$	4,018		$	12,769		$	11,490
Net investment income	713			695			2,134			1,980
Other income	22			7			38			33
Total Aflac Japan	5,140			4,720			14,941			13,503
Aflac U.S.:
Earned premiums	1,254			1,192			3,736			3,547
Net investment income	153			147			457			439
Other income	5			3			10			8
Total Aflac U.S.	1,412			1,342			4,203			3,994
Other business segments	10			13			40			40
Total business segment revenues	6,562			6,075			19,184			17,537
Realized investment gains (losses)	286			(83		)	(177		)	(1,330		)
Corporate	65			62			197			183
Intercompany eliminations	(66		)	(67		)	(215		)	(198		)
Total revenues	$	6,847		$	5,987		$	18,989		$	16,192

	Three Months Ended September 30,						Nine Months Ended September 30,
(In millions)	2012			2011			2012			2011
Pretax earnings:
Aflac Japan	$	994		$	1,019		$	2,998		$	2,918
Aflac U.S.	260			214			789			708
Other business segments	0			0			0			2
Total business segment pretax operating earnings	1,254			1,233			3,787			3,628
Interest expense, noninsurance operations	(45		)	(44		)	(134		)	(126		)
Corporate and eliminations	(15		)	(14		)	(53		)	(43		)
Pretax operating earnings	1,194			1,175			3,600			3,459
Realized investment gains (losses)	286			(83		)	(177		)	(1,330		)
Total earnings before income taxes	$	1,480		$	1,092		$	3,423		$	2,129
Income taxes applicable to pretax operating earnings	$	363		$	405		$	1,200		$	1,196
Effect of foreign currency translation on operating earnings	2			45			28			144

Prior-year amounts have been adjusted for the adoption of accounting guidance on January 1, 2012 related to deferred policy acquisition costs.

Assets were as follows:

(In millions)	September 30, 2012			December 31, 2011
Assets:
Aflac Japan	$	120,712		$	101,692
Aflac U.S.	15,785			13,942
Other business segments	144			160
Total business segment assets	136,641			115,794
Corporate	21,486			16,182
Intercompany eliminations	(20,287		)	(15,739		)
Total assets	$	137,840		$	116,237

Prior-year amounts have been adjusted for the adoption of accounting guidance on January 1, 2012 related to deferred policy acquisition costs.