Short-Term and Long-Term Debt (Tables)

12 Months Ended

Dec. 31, 2013

Notes to Financial Statements [Abstract]

Schedule of debt

	As of December 31,
	2013		2012
Short-Term Debt
Current maturities of long-term debt	$	500	$	200
Unamortized premiums (discounts)		1		-
Total short-term debt	$	501	$	200
Long-Term Debt, Excluding Current Portion
Senior notes:
4.75% notes, due 2014	$	-	$	300
4.75% notes, due 2014		-		200
4.30% notes, due 2015 (1)		250		250
LIBOR + 3 bps notes, due 2017 (2)		250		250
7.00% notes, due 2018		200		200
LIBOR + 110 bps loan, due 2018		250		-
8.75% notes, due 2019 (1)		487		487
6.25% notes, due 2020 (1)		300		300
4.85% notes, due 2021 (1)		300		300
4.20% notes, due 2022 (1)		300		300
4.00% notes, due 2023 (1)		350		-
6.15% notes, due 2036 (1)		498		498
6.30% notes, due 2037 (1)(2)		375		375
7.00% notes, due 2040 (1)(2)		500		500
Total senior notes		4,060		3,960
Capital securities:
7.00%, due 2066		722		722
6.05%, due 2067		491		491
Total capital securities		1,213		1,213
Unamortized premiums (discounts)		(12)		(3)
Fair value hedge – interest rate swap agreements		59		269
Total unamortized premiums (discounts) and fair value
hedge – interest rate swap agreements		47		266
Total long-term debt	$	5,320	$	5,439

⁽¹⁾ We have the option to repurchase the outstanding notes by paying the greater of 100% of the principal amount of the notes to be redeemed or the make-whole amount (as defined in each note agreement), plus in each case any accrued and unpaid interest as of the date of redemption.

⁽²⁾ Categorized as operating debt for leverage ratio calculations as the proceeds were used as a long-term structured solution to reduce the strain on increasing statutory reserves associated with secondary guarantee UL and term policies.

Details underlying the recognition of gain on extinguishment of debt

	For the Years Ended December 31,
	2013		2012		2011
Principal balance outstanding prior to payoff (1)	$	-	$	15	$	275
Unamortized debt issuance costs and discounts prior to payoff		-		-		(8)
Amount paid to retire		-		(20)		(275)
Gain (loss) on extinguishment of debt, pre-tax	$	-	$	(5)	$	(8)

⁽¹⁾ During the fourth quarter of 2012, we repurchased $13 million of our 8.75% senior notes due 2019 and $2 million of our 6.15% senior notes due 2036.  During the third quarter of 2011, we repurchased all of our 6.75% capital securities due 2066. 

Future principal payments due on long-term debt

2014	$	500
2015		250
2016		-
2017		250
2018		450
Thereafter		4,323
Total	$	5,773

Credit facilities and letters of credit

		As of December 31, 2013
	Expiration	Maximum		LOCs
	Date	Available		Issued
Credit Facilities
Five-year revolving credit facility	May-2018	$	2,500	$	866
LOC facility	Mar-2023		156		156
LOC facility	Mar-2023		883		848
LOC facility	Aug-2031		805		791
LOC facility	Oct-2031		996		996
Total		$	5,340	$	3,657