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SCHEDULE II CONDENSED FINANCIAL INFORMATION OF REGISTRANT
 12 Months Ended
Dec. 31, 2022
Condensed Financial Information Disclosure [Abstract]  
SCHEDULE II CONDENSED FINANCIAL INFORMATION OF REGISTRANT
CONDENSED FINANCIAL INFORMATION OF REGISTRANT

Aflac Incorporated (Parent Only)
Condensed Statements of Earnings
 Years ended December 31,
(In millions)202220212020
Revenues:
   Management and service fees from subsidiaries(1)
$136 $130 $131 
   Net investment income3 (93)62 
   Interest from subsidiaries(1)
2 2 3 
   Net investment gains (losses)(228)206 399 
     Total revenues(87)245 595 
Operating expenses:
   Interest expense215 222 221 
   Other operating expenses(2)
275 300 277 
     Total operating expenses490 522 498 
   Earnings before income taxes and equity in earnings of
     subsidiaries		(577)(277)97 
Income tax expense (benefit)(208)(144)(15)
   Earnings before equity in earnings of subsidiaries(369)(133)112 
Equity in earnings of subsidiaries(1)
4,570 4,458 4,666 
     Net earnings$4,201 $4,325 $4,778 
(1)Eliminated in consolidation
(2)Includes expense of $48 in 2021 and $15 in 2020 for the early extinguishment of debt
See the accompanying Notes to Condensed Financial Statements.
See the accompanying Report of Independent Registered Public Accounting Firm.
CONDENSED FINANCIAL INFORMATION OF REGISTRANT
Aflac Incorporated (Parent Only)
Condensed Statements of Comprehensive Income (Loss)
  Years ended December 31,
(In millions)202220212020
Net earnings$4,201 $4,325 $4,778 
Other comprehensive income (loss) before income taxes:
Unrealized foreign currency translation gains (losses) during period(1,080)(889)510 
Unrealized gains (losses) on fixed maturity securities during period(13,056)(960)1,220 
Unrealized gains (losses) on derivatives during period4 5 (1)
Pension liability adjustment during period165 148 (7)
Total other comprehensive income (loss) before income taxes(13,967)(1,696)1,722 
Income tax expense (benefit) related to items of other comprehensive
   income (loss)		(2,169)(155)251 
Other comprehensive income (loss), net of income taxes(11,798)(1,541)1,471 
Total comprehensive income (loss)$(7,597)$2,784 $6,249 
See the accompanying Notes to Condensed Financial Statements.
See the accompanying Report of Independent Registered Public Accounting Firm.
CONDENSED FINANCIAL INFORMATION OF REGISTRANT
Aflac Incorporated (Parent Only)
Condensed Balance Sheets
  December 31,
(In millions, except for share and per-share amounts)20222021
Assets:
Investments and cash:
Fixed maturity securities available for sale, at fair value
  (amortized cost $1,649 in 2022 and $1,608 in 2021)
$1,744 $1,828 
Investments in subsidiaries(1)
25,197 35,905 
Other investments1,461 1,413 
Cash and cash equivalents1,143 2,097 
Total investments and cash29,545 41,243 
Due from subsidiaries(1)
267 248 
Other assets964 640 
Total assets$30,776 $42,131 
Liabilities and shareholders' equity:
Liabilities:
Employee benefit plans$291 $336 
Notes payable7,069 7,579 
Other liabilities1,051 963 
Total liabilities8,411 8,878 
Shareholders' equity:
Common stock of $.10 par value. In thousands: authorized 1,900,000
  shares in 2022 and 2021; issued 1,354,079 shares in 2022 and 1,352,739
  shares in 2021
135 135 
Additional paid-in capital2,641 2,529 
Retained earnings44,568 41,381 
Accumulated other comprehensive income (loss):
Unrealized foreign currency translation gains (losses)(3,640)(2,013)
Unrealized gains (losses) on fixed maturity securities(702)9,602 
Unrealized gains (losses) on derivatives(27)(30)
Pension liability adjustment(36)(166)
Treasury stock, at average cost(20,574)(18,185)
Total shareholders' equity22,365 33,253 
Total liabilities and shareholders' equity$30,776 $42,131 
(1)Eliminated in consolidation
See the accompanying Notes to Condensed Financial Statements.
See the accompanying Report of Independent Registered Public Accounting Firm.
CONDENSED FINANCIAL INFORMATION OF REGISTRANT
Aflac Incorporated (Parent Only)
Condensed Statements of Cash Flows
  Years ended December 31,
(In millions)202220212020
Cash flows from operating activities:
Net earnings$4,201 $4,325 $4,778 
Adjustments to reconcile net earnings to net cash provided from
  operating activities:
Equity in earnings of subsidiaries(1)
(4,570)(4,458)(4,666)
Cash dividends received from subsidiaries 2,705 2,791 2,060 
Other, net18 408 (331)
Net cash provided (used) by operating activities2,354 3,066 1,841 
Cash flows from investing activities:
Fixed maturity securities sold392 483 438 
Fixed maturity securities purchased(438)(489)(484)
Other investments sold (purchased)(206)(421)(711)
Settlement of derivatives718 135 4 
Additional capitalization of subsidiaries(1)
(294)(161)(291)
Other, net1 1 2 
Net cash provided (used) by investing activities173 (452)(1,042)
Cash flows from financing activities:
Purchases of treasury stock(2,401)(2,301)(1,537)
Proceeds from borrowings1,277 1,153 1,545 
Principal payments under debt obligations(1,416)(700)(350)
Dividends paid to shareholders(979)(855)(769)
Treasury stock reissued17 26 34 
Proceeds from exercise of stock options12 17 12 
Net change in amount due to/from subsidiaries(1)
16 43 (89)
Other, net(7)(26)(27)
Net cash provided (used) by financing activities(3,481)(2,643)(1,181)
Net change in cash and cash equivalents(954)(29)(382)
Cash and cash equivalents, beginning of period2,097 2,126 2,508 
Cash and cash equivalents, end of period$1,143 $2,097 $2,126 
(1)Eliminated in consolidation
See the accompanying Notes to Condensed Financial Statements.
See the accompanying Report of Independent Registered Public Accounting Firm.
CONDENSED FINANCIAL INFORMATION OF REGISTRANT
Aflac Incorporated (Parent Only)
Notes to Condensed Financial Statements
The accompanying condensed financial statements should be read in conjunction with the consolidated financial statements and notes thereto of Aflac Incorporated and Subsidiaries included in Part II, Item 8 of this report.
(A) Notes Payable
A summary of notes payable as of December 31 follows:
(In millions)20222021
3.625% senior notes paid September 2022
$0 $748 
3.25% senior notes paid October 2022
0 448 
1.125% senior sustainability notes due March 2026
397 397 
2.875% senior notes due October 2026
298 298 
3.60% senior notes due April 2030
992 991 
6.90% senior notes due December 2039
221 221 
6.45% senior notes due August 2040
254 255 
4.00% senior notes due October 2046
394 394 
4.750% senior notes due January 2049
541 541 
Yen-denominated senior notes and subordinated debentures:
.300% senior notes due September 2025 (principal amount ¥12.4 billion)
93 107 
.932% senior notes due January 2027 (principal amount ¥60.0 billion)
450 520 
1.075% senior notes due September 2029 (principal amount ¥33.4 billion)
250 0 
.500% senior notes due December 2029 (principal amount ¥12.6 billion)
95 109 
.550% senior notes due March 2030 (principal amount ¥13.3 billion)
99 115 
1.159% senior notes due October 2030 (principal amount ¥29.3 billion)
220 254 
.633% senior notes due April 2031 (principal amount ¥30.0 billion)
225 259 
.843% senior notes due December 2031 (principal amount ¥9.3 billion)
70 81 
.750% senior notes due March 2032 (principal amount ¥20.7 billion)
155 179 
1.320% senior notes due December 2032 (principal amount ¥21.1 billion)
158 0 
.844% senior notes due April 2033 (principal amount ¥12.0 billion)
90 104 
1.488% senior notes due October 2033 (principal amount ¥15.2 billion)
114 131 
.934% senior notes due December 2034 (principal amount ¥9.8 billion)
73 85 
.830% senior notes due March 2035 (principal amount ¥10.6 billion)
79 91 
1.039% senior notes due April 2036 (principal amount ¥10.0 billion)
75 86 
1.594% senior notes due September 2037 (principal amount ¥6.5 billion)
49 0 
1.750% senior notes due October 2038 (principal amount ¥8.9 billion)
66 77 
1.122% senior notes due December 2039 (principal amount ¥6.3 billion)
47 54 
1.264% senior notes due April 2041 (principal amount ¥10.0 billion)
75 86 
2.108% subordinated debentures due October 2047 (principal amount ¥60.0 billion)
448 517 
1.560% senior notes due April 2051 (principal amount ¥20.0 billion)
149 172 
2.144% senior notes due September 2052 (principal amount ¥12.0 billion)
90 0 
Yen-denominated loans:
Variable interest rate loan due August 2027 (.33% in 2022, principal amount
  ¥11.7 billion)
88 0 
Variable interest rate loan due August 2029 (.43% in 2022 and .41% in 2021,
  principal amount ¥25.3 billion in 2022 and ¥5.0 billion in 2021)
190 43 
Variable interest rate loan due August 2032 (.58% in 2022 and .56% in 2021,
  principal amount ¥70.0 billion in 2022 and ¥25.0 billion in 2021)
524 216 
Total notes payable$7,069 $7,579 
Amounts in the table above are reported net of debt issuance costs and issuance premiums or discounts, if applicable, that are being amortized over the life of the notes.
In September 2022, the Parent Company issued four series of senior notes totaling ¥73.0 billion through a public debt offering under its U.S. shelf registration statement. The first series, which totaled ¥33.4 billion, bears interest at a fixed rate of 1.075% per annum, payable semi-annually, and will mature in September 2029. The second series, which totaled ¥21.1 billion, bears interest at a fixed rate of 1.320% per annum, payable semi-annually, and will mature in December 2032. The third series, which totaled ¥6.5 billion, bears interest at a fixed rate of 1.594% per annum, payable semi-annually, and will mature in September 2037. The fourth series, which totaled ¥12.0 billion, bears interest at a fixed rate of 2.144% per annum, payable semi-annually, and will mature in September 2052. These notes are redeemable at the Parent Company’s option at any time, in whole but not in part, upon the occurrence of certain changes affecting U.S. taxation, as specified in the indenture governing the terms of the issuance. In addition, the notes maturing in September 2029, December 2032 and September 2037 are redeemable at the Parent Company's option, in whole or in part from time to time, on or after June 14, 2029, June 14, 2032 and March 14, 2037, respectively, at a redemption price equal to the aggregate principal amount of the applicable series to be redeemed plus accrued and unpaid interest on the principal amount to be redeemed to, but excluding, the date of redemption.

In August 2022, the Parent Company renewed a senior term loan facility with a commitment amount totaling ¥107.0 billion. The first tranche of the facility, which totaled ¥11.7 billion, bears interest at a rate per annum equal to the Tokyo interbank market rate (TIBOR), or alternate TIBOR, if applicable, plus the applicable TIBOR margin and will mature in August 2027. The applicable margin ranges between .225% and .625%, depending on the Parent Company's debt ratings as of the date of determination. The second tranche, which totaled ¥25.3 billion, bears interest at a rate per annum equal to TIBOR, or alternate TIBOR, if applicable, plus the applicable TIBOR margin and will mature in August 2029. The applicable margin ranges between .325% and .725%, depending on the Parent Company's debt ratings as of the date of determination. The third tranche, which totaled ¥70.0 billion, bears interest at a rate per annum equal to TIBOR, or alternate TIBOR, if applicable, plus the applicable TIBOR margin and will mature in August 2032. The applicable margin ranges between .475% and 1.025%, depending on the Parent Company's debt ratings as of the date of determination.

In October 2022, the Parent Company used a portion of the net proceeds from its September 2022 issuance of various series of senior notes to redeem $450 million of its 3.25% senior notes due March 2025.

In September 2022, the Parent Company used a portion of the net proceeds from its September 2022 issuance of various series of senior notes and the August 2022 senior term loan facility to redeem $750 million of its 3.625% senior notes due November 2024.

The aggregate contractual maturities of notes payable during each of the years after December 31, 2022, are as follows:
(In millions)
2023$0 
20240 
202593 
2026700 
2027540 
Thereafter5,795 
Total$7,128 

For further information regarding notes payable, see Note 9 of the Notes to the Consolidated Financial Statements.
(B) Derivatives
At December 31, 2022, the Parent Company's outstanding freestanding derivative contracts were swaps, foreign currency forwards and options. The swaps are associated with its notes payable, consisting of cross-currency interest rate swaps, also referred to as foreign currency swaps, associated with certain of the Parent Company's senior notes. The foreign currency forwards and options are designated as derivative hedges of the foreign currency exposure of the Company's net investment in Aflac Japan. The Parent Company does not use derivative financial instruments for trading purposes, nor does it engage in leveraged derivative transactions. For further information regarding these derivatives, see Notes 1, 4 and 9 of the Notes to the Consolidated Financial Statements.
(C) Income Taxes
The Parent Company and its eligible U.S. subsidiaries file a consolidated U.S. federal income tax return. Income tax liabilities or benefits are recorded by each principal subsidiary based upon separate return calculations, and any difference between the consolidated provision and the aggregate amounts recorded by the subsidiaries is reflected in the Parent Company financial statements. For further information on income taxes, see Note 10 of the Notes to the Consolidated Financial Statements.
(D) Dividend Restrictions

See Note 13 of the Notes to the Consolidated Financial Statements for information regarding dividend restrictions.
(E) Supplemental Disclosures of Cash Flow Information
(In millions)202220212020
Interest paid$211 $213 $209 
Noncash financing activities:
Treasury stock issued for shareholder dividend reinvestment37 32 29