SCHEDULE I - CONDENSED FINANCIAL INFORMATION OF REGISTRANT (Parent Company Only)

12 Months Ended

Dec. 31, 2011

SCHEDULE I - CONDENSED FINANCIAL INFORMATION OF REGISTRANT (Parent Company Only)

SCHEDULE I - CONDENSED FINANCIAL INFORMATION OF REGISTRANT (Parent Company Only)

Schedule I — Condensed Financial Information of Registrant
Condensed Statements of Operations

(Parent Company Only)

	Years Ended December 31,
	2011			2010			2009
	(in millions)
Revenues
Management and financial advice fees	$	—		$	129		$	53
Distribution fees		9			11			—
Net investment income		18			17			22
Other revenues		30			29			68
Total revenues		57			186			143
Banking and deposit interest expense		—			1			1
Total net revenues		57			185			142
Expenses
Distribution expenses	$	5		$	(9	)	$	—
Interest and debt expense		95			107			127
General and administrative expense		223			288			271
Total expenses		323			386			398
Pretax loss before equity in earnings of subsidiaries		(266	)		(201	)		(256	)
Income tax benefit		(102	)		(120	)		(114	)
Loss before equity in earnings of subsidiaries		(164	)		(81	)		(142	)
Equity in earnings of subsidiaries excluding discontinued operations		1,300			1,202			863
Net income from continuing operations		1,136			1,121			721
Income (loss) from discontinued operations, net of tax		(60	)		(24	)		1
Net income	$	1,076		$	1,097		$	722

See Notes to Condensed Financial Information of Registrant.

Schedule I — Condensed Financial Information of Registrant
Condensed Balance Sheets

(Parent Company Only)

	December 31,
	2011			2010
	(in millions, except share data)
Assets
Cash and cash equivalents	$	712		$	1,316
Investments		846			49
Loans to subsidiaries		624			564
Due from subsidiaries		122			109
Receivables		46			50
Land, buildings, equipment, and software, net of accumulated depreciation of $707 and $676, respectively		263			272
Investments in subsidiaries from continuing operations		9,332			9,819
Investments in subsidiaries held for sale		—			94
Other assets		1,357			1,159
Total assets	$	13,302		$	13,432
Liabilities and Shareholders' Equity
Liabilities:
Accounts payable and accrued expenses	$	167		$	178
Due to subsidiaries		261			354
Debt		2,393			2,311
Other liabilities		654			422
Total liabilities		3,475			3,265
Shareholders' Equity:
Common shares ($.01 par value; shares authorized, 1,250,000,000; shares issued, 303,757,574 and 301,366,044, respectively)		3			3
Additional paid-in capital		6,237			6,029
Retained earnings		6,983			6,190
Treasury shares, at cost (81,814,591 and 54,668,152 shares, respectively)		(4,034	)		(2,620	)
Accumulated other comprehensive income, net of tax, including amounts applicable to equity investments in subsidiaries		638			565
Total shareholders' equity		9,827			10,167
Total liabilities and shareholders' equity	$	13,302		$	13,432

See Notes to Condensed Financial Information of Registrant.

Schedule I — Condensed Financial Information of Registrant
Condensed Statements of Cash Flows

(Parent Company Only)

	Years Ended December 31,
	2011			2010			2009
	(in millions)
Cash Flows from Operating Activities
Net income	$	1,076		$	1,097		$	722
Equity in earnings of subsidiaries excluding discontinued operations		(1,300	)		(1,202	)		(863	)
Loss (income) from discontinued operations, net of tax		60			24			(1	)
Dividends received from subsidiaries		1,210			796			204
Other operating activities, primarily with subsidiaries		(231	)		921			(90	)
Net cash provided by (used in) operating activities		815			1,636			(28	)
Cash Flows from Investing Activities
Available-for-Sale securities:
Proceeds from sales		—			31			29
Maturities, sinking fund payments and calls		239			151			86
Purchases		(22	)		(151	)		(139	)
Purchase of other investments		—			(32	)		—
Purchase of land, buildings, equipment and software		(56	)		(32	)		(29	)
Contributions to subsidiaries		(128	)		(73	)		(233	)
Return of capital from subsidiaries		22			116			60
Acquisitions		—			(866	)		—
Proceeds from sale of business		150			—			—
Repayment of loans from subsidiaries		1,252			1,282			1,400
Issuance of loans to subsidiaries		(1,312	)		(1,463	)		(1,599	)
Other, net		2			34			8
Net cash provided by (used in) investing activities		147			(1,003	)		(417	)
Cash Flows from Financing Activities
Repayments of debt	$	(14	)	$	(354	)	$	(550	)
Dividends paid to shareholders		(212	)		(183	)		(164	)
Repurchase of common shares		(1,495	)		(582	)		(11	)
Proceeds from issuance of common stock		—			—			869
Issuances of debt, net of issuance costs		—			744			491
Exercise of stock options		66			113			6
Excess tax benefits from share-based compensation		90			9			12
Other, net		(1	)		(2	)		(4	)
Net cash provided by (used in) financing activities		(1,566	)		(255	)		649
Net increase (decrease) in cash and cash equivalents		(604	)		378			204
Cash and cash equivalents at beginning of year		1,316			938			734
Cash and cash equivalents at end of year	$	712		$	1,316		$	938
Supplemental Disclosures:
Interest paid on debt	$	139		$	140		$	122
Income taxes paid, net		334			2			4
Non-cash capital transactions to (from) subsidiaries		(850	)		14			331
Non-cash financing activity:
Dividends declared but not paid		62			—			—

See Notes to Condensed Financial Information of Registrant.

Schedule I — Condensed Financial Information of Registrant
Notes to Condensed Financial Information of Registrant

(Parent Company Only)

1. Basis of Presentation

The accompanying Condensed Financial Statements include the accounts of Ameriprise Financial, Inc. (the "Registrant," "Ameriprise Financial" or "Parent Company") and, on an equity basis, its subsidiaries and affiliates. The appropriated retained earnings of consolidated investment entities are not included on the Parent Company Only Condensed Financial Statements. The financial statements have been prepared in accordance with U.S. GAAP. Certain prior year amounts have been reclassified to conform to the current year's presentation. The financial information of the Parent Company should be read in conjunction with the Consolidated Financial Statements and Notes of Ameriprise Financial. Parent Company revenues and expenses, other than compensation and benefits and debt and interest expense, are primarily related to intercompany transactions with subsidiaries and affiliates.

The change in the fair value of certain derivative instruments is reflected on the Parent Company Only Condensed Statements of Operations. For certain of these derivatives, the change in the hedged item is reflected on the subsidiaries' Statements of Operations. The change in fair value of derivatives used to hedge certain asset-based distribution fees is included in distribution fees, while the underlying distribution fee revenue is reflected in equity in earnings of subsidiaries. The change in fair value of derivatives used to economically hedge exposure to equity price risk of Ameriprise Financial, Inc. common stock granted as part of the Ameriprise Financial Franchise Advisor Deferred Compensation Plan is included in distribution expenses, while the underlying distribution expenses are reflected in equity in earnings of subsidiaries.

2. Discontinued Operations

In the fourth quarter of 2011, Ameriprise Financial sold Securities America for $150 million. The results of Securities America have been presented as equity in income (loss) of discontinued operations for all periods presented and the related investment in subsidiary has been classified as held for sale as of December 31, 2010.

3. Debt

All of the debt of Ameriprise Financial is borrowings of the Parent Company, except as indicated below.

•

At December 31, 2010, the debt of Ameriprise Financial included $6 million of municipal bond inverse floater certificates that are non-recourse debt obligations supported by a $10 million portfolio of municipal bonds. The certificates were extinguished in 2011, funded through the call of the portfolio of municipal bonds.

•

At December 31, 2011 and 2010, the debt of Ameriprise Financial included $504 million and $397 million of repurchase agreements, respectively, which are accounted for as secured borrowings.

4. Guarantees, Commitments and Contingencies

The Parent Company is the guarantor for operating leases of IDS Property Casualty Insurance Company and certain other subsidiaries.

All consolidated legal, regulatory and arbitration proceedings, including class actions of Ameriprise Financial, Inc. and its consolidated subsidiaries are potential or current obligations of the Parent Company.

The Parent Company and Ameriprise Certificate Company ("ACC") entered into a Capital Support Agreement on March 2, 2009, pursuant to which the Parent Company agrees to commit such capital to ACC as is necessary to satisfy applicable minimum capital requirements, up to a maximum commitment of $115 million. For the years ended December 31, 2011, 2010 and 2009, ACC did not draw upon the Capital Support Agreement and had met all applicable capital requirements.