Note 12. Shareholders’ Equity

Accumulated other comprehensive income (loss)

The tables below present the changes in AOCI by component for the years ended December 31, 2016, 2017 and 2018:


	OTTI Gains (Losses)			Unrealized Gains (Losses) on Investments		Cash Flow Hedges			Pension Liability			Foreign Currency Translation			Total Accumulated Other Comprehensive Income (Loss)
(In millions)

Balance, January 1, 2016	$	24		$	347	$	(3	)	$	(649	)	$	(76	)	$	(357)
Other comprehensive income (loss) before reclassifications, after tax of $(4), $(133), $0, $9 and $0		9			283					(22	)		(114	)		156
Reclassification of (gains) losses from accumulated other comprehensive loss, after tax of $3, $16, $0, $(15) and $0		(6	)		(26)		2			27						(3)
Other comprehensive income (loss)		3			257		2			5			(114	)		153
Amounts attributable to noncontrolling interests					(28)		(1	)		(2	)		12			(19)
Balance, December 31, 2016		27			576		(2	)		(646	)		(178	)		(223)
Other comprehensive income (loss) before reclassifications, after tax of $1, $(106), $(2), $4 and $0		(3	)		190		1			(18	)		100			270
Reclassification of (gains) losses from accumulated other comprehensive loss, after tax of $1, $38, $0, $(16) and $0		(2	)		(82)		2			30						(52)
Other comprehensive income (loss)		(5	)		108		3			12			100			218
Amounts attributable to noncontrolling interests					(11)		(1	)		1			(10	)		(21)
Balance, December 31, 2017		22			673		-			(633	)		(88	)		(26)
Cumulative effect adjustment for adoption of ASU 2016-01 (a), after tax of $0, $8, $0, $0 and $0					(25)											(25)
Cumulative effect adjustment for adoption of ASU 2018-02 (a)		4			123					(130	)					(3)
Balance, January 1, 2018, as adjusted		26			771		-			(763	)		(88	)		(54)
Other comprehensive income (loss) before reclassifications, after tax of $2, $213, $(2), $9 and $0		(7	)		(801)		4			(34	)		(84	)		(922)
Reclassification of (gains) losses from accumulated other comprehensive loss, after tax of $2, $(2), $0, $(6) and $0		(7	)		3		2			32						30
Other comprehensive income (loss)		(14	)		(798)		6			(2	)		(84	)		(892)
Amounts attributable to noncontrolling interests		2			84								9			95
Purchase of Boardwalk Pipeline common units							(1	)		(28	)					(29)
Balance, December 31, 2018	$	14		$	57	$	5		$	(793	)	$	(163	)	$	(880)

(a)	See Note 1 for information regarding this accounting standard.

Amounts reclassified from AOCI shown above are reported in Net income as follows:


Major Category of AOCI		Affected Line Item

OTTI gains (losses)		Investment gains (losses)
Unrealized gains (losses) on investments		Investment gains (losses)
Cash flow hedges		Operating revenues and other, Interest expense and Operating expenses and other
Pension liability		Operating expenses and other

Common Stock Dividends

Dividends of $0.25 per share on the Company’s common stock were declared and paid in 2018, 2017 and 2016.

There are no restrictions on the Company’s retained earnings or net income with regard to payment of dividends. However, as a holding company, Loews Corporation relies upon invested cash balances and distributions from its subsidiaries to generate the funds necessary to declare and pay any dividends to holders of its common stock. The ability of the Company’s subsidiaries to pay dividends is subject to, among other things, the availability of sufficient earnings and funds in such subsidiaries, compliance with covenants in their respective credit agreements and applicable state laws, including in the case of the insurance subsidiaries of CNA, laws and rules governing the payment of dividends by regulated insurance companies. See Note 14 for a discussion of the regulatory restrictions on CNA’s availability to pay dividends.

Treasury Stock

The Company repurchased 20.3 million, 4.8 million and 3.4 million shares of its common stock at aggregate costs of $1.0 billion, $237 million and $134 million during the years ended December 31, 2018, 2017 and 2016. As of December 31, 2018, 20.6 million shares were retired. The remaining 0.1 million shares will be retired in 2019. Upon retirement, treasury stock was eliminated through a reduction to common stock, APIC and retained earnings.