Shareholders' Equity

3 Months Ended

Mar. 31, 2013

Shareholders' Equity

Shareholders' Equity

13.  Shareholders’ Equity

The following table provides information related to amounts reclassified from AOCI for the three months ended March 31, 2013:

	Location of Gain (Loss)	Amount Reclassified
AOCI Reclassification	Recognized in Income	from AOCI
		(in millions)
Net unrealized gains on Available-for-Sale securities	Net investment income	$	(1	)
Tax expense	Income tax provision	—
Net of tax		$	(1	)
Gains (losses) on cash flow hedges:
Interest rate contracts	Interest and debt expense	$	1
Swaptions	Net investment income	(1		)
Total before tax		—
Tax benefit	Income tax provision	—
Net of tax		$	—

The Company made adjustments to AOCI for the impact to DAC, DSIC, benefit reserves and reinsurance recoverable on net unrealized securities gains of $64 million, net of tax. See Note 4 for additional information related to the impact of DAC, DSIC, benefit reserves and reinsurance recoverable on net unrealized securities gains included in AOCI. See Note 12 for additional information regarding the Company’s cash flow hedges.

During the three months ended March 31, 2013 and 2012, the Company repurchased a total of 5.2 million shares and 5.4 million shares, respectively, of its common stock for an aggregate cost of $360 million and $300 million, respectively. As of March 31, 2013, the Company had $1.8 billion remaining under its share repurchase authorization.

The Company may also reacquire shares of its common stock under its share-based compensation plans related to restricted stock awards and certain option exercises. The holders of restricted shares may elect to surrender a portion of their shares on the vesting date to cover their income tax obligation. These vested restricted shares are reacquired by the Company and the Company’s payment of the holders’ income tax obligations are recorded as a treasury share purchase. For the three months ended March 31, 2013 and 2012, the Company reacquired 0.4 million and 0.3 million shares, respectively, of its common stock through the surrender of shares upon vesting and paid in the aggregate $24 million and $16 million, respectively, related to the holders’ income tax obligations on the vesting date. Beginning in 2013, option holders may elect to net settle their vested awards resulting in the surrender of the number of shares required to cover the strike price and tax obligation of the options exercised. These shares are reacquired by the Company and recorded as treasury shares. For the three months ended March 31, 2013, the Company reacquired 1.3 million shares of its common stock through the net settlement of options for an aggregate value of $87 million, of which $56 million related to the strike price and $31 million related to the holders’ income tax obligation.

During the three months ended March 31, 2013 and 2012, the company reissued 1.9 million and 1.8 million treasury shares, respectively, for restricted stock award grants and issuance of shares vested under the Ameriprise Financial Franchise Advisor Deferred Compensation Plan.