Consolidating Financial Statements (Unaudited) (tables)

12 Months Ended

Dec. 31, 2011

Consolidating Financial Statements of The Travelers Companies, Inc. and Subsidiaries (Unaudited) disclosure

Consolidating Statement of Income disclosure [Table Text Block]

CONSOLIDATING STATEMENT OF INCOME (Unaudited)
For the year ended December 31, 2011

(in millions)	TPC		Other Subsidiaries		Travelers(1)			Eliminations			Consolidated
Revenues
Premiums	$	14,903	$	7,187	$	—		$	—		$	22,090
Net investment income		1,933		938		8			—			2,879
Fee income		294		2		—			—			296
Net realized investment gains (losses)		10		50		(5	)		—			55
Other revenues		103		23		—			—			126
Total revenues		17,243		8,200		3			—			25,446
Claims and expenses
Claims and claim adjustment expenses		10,906		5,370		—			—			16,276
Amortization of deferred acquisition costs		2,594		1,282		—			—			3,876
General and administrative expenses		2,377		1,152		27			—			3,556
Interest expense		73		—		313			—			386
Total claims and expenses		15,950		7,804		340			—			24,094
Income (loss) before income taxes		1,293		396		(337	)		—			1,352
Income tax expense (benefit)		111		14		(199	)		—			(74	)
Equity in net income of subsidiaries		—		—		1,564			(1,564	)		—
Net income	$	1,182	$	382	$	1,426		$	(1,564	)	$	1,426

(in millions)	TPC			Other Subsidiaries			Travelers(1)			Eliminations		Consolidated
Net Realized Investment Gains (Losses)
Other-than-temporary impairment losses:
Total gains	$	15		$	15		$	—		$	—	$	30
Non-credit component of impairments recognized in accumulated other changes in equity from nonowner sources		(30	)		(25	)		—			—		(55	)
Other-than-temporary impairment losses		(15	)		(10	)		—			—		(25	)
Other net realized investment gains (losses)		25			60			(5	)		—		80
Net realized investment gains (losses)	$	10		$	50		$	(5	)	$	—	$	55

(1)

The Travelers Companies, Inc., excluding its subsidiaries.

CONSOLIDATING STATEMENT OF INCOME (Unaudited)
For the year ended December 31, 2010

(in millions)	TPC		Other Subsidiaries		Travelers(1)			Eliminations			Consolidated
Revenues
Premiums	$	14,445	$	6,987	$	—		$	—		$	21,432
Net investment income		2,078		970		11			—			3,059
Fee income		285		2		—			—			287
Net realized investment gains		57		200		7			—			264
Other revenues		111		20		(60	)		(1	)		70
Total revenues		16,976		8,179		(42	)		(1	)		25,112
Claims and expenses
Claims and claim adjustment expenses		8,786		4,424		—			—			13,210
Amortization of deferred acquisition costs		2,548		1,254		—			—			3,802
General and administrative expenses		2,306		1,086		14			—			3,406
Interest expense		74		—		315			(1	)		388
Total claims and expenses		13,714		6,764		329			(1	)		20,806
Income (loss) before income taxes		3,262		1,415		(371	)		—			4,306
Income tax expense (benefit)		798		382		(90	)		—			1,090
Equity in net income of subsidiaries		—		—		3,497			(3,497	)		—
Net income	$	2,464	$	1,033	$	3,216		$	(3,497	)	$	3,216

(in millions)	TPC			Other Subsidiaries			Travelers(1)		Eliminations		Consolidated
Net Realized Investment Gains
Other-than-temporary impairment losses:
Total gains (losses)	$	10		$	(3	)	$	—	$	—	$	7
Non-credit component of impairments recognized in accumulated other changes in equity from nonowner sources		(22	)		(11	)		—		—		(33	)
Other-than-temporary impairment losses		(12	)		(14	)		—		—		(26	)
Other net realized investment gains		69			214			7		—		290
Net realized investment gains	$	57		$	200		$	7	$	—	$	264

(1)

The Travelers Companies, Inc., excluding its subsidiaries.

CONSOLIDATING STATEMENT OF INCOME (Unaudited)
For the year ended December 31, 2009

(in millions)	TPC			Other Subsidiaries			Travelers(1)			Eliminations			Consolidated
Revenues
Premiums	$	14,459		$	6,959		$	—		$	—		$	21,418
Net investment income		1,839			913			24			—			2,776
Fee income		310			(4	)		—			—			306
Net realized investment gains (losses)		(54	)		(57	)		128			—			17
Other revenues		118			48			—			(3	)		163
Total revenues		16,672			7,859			152			(3	)		24,680
Claims and expenses
Claims and claim adjustment expenses		8,293			4,115			—			—			12,408
Amortization of deferred acquisition costs		2,560			1,253			—			—			3,813
General and administrative expenses		2,272			1,097			(3	)		—			3,366
Interest expense		74			—			311			(3	)		382
Total claims and expenses		13,199			6,465			308			(3	)		19,969
Income (loss) before income taxes		3,473			1,394			(156	)		—			4,711
Income tax expense (benefit)		840			344			(95	)		—			1,089
Equity in net income of subsidiaries		—			—			3,683			(3,683	)		—
Net income	$	2,633		$	1,050		$	3,622		$	(3,683	)	$	3,622

(in millions)	TPC			Other Subsidiaries			Travelers(1)			Eliminations		Consolidated
Net Realized Investment Gains (Losses)
Other-than-temporary impairment losses:
Total losses	$	(192	)	$	(130	)	$	(1	)	$	—	$	(323	)
Non-credit component of impairments recognized in accumulated other changes in equity from nonowner sources		35			30			—			—		65
Other-than-temporary impairment losses		(157	)		(100	)		(1	)		—		(258	)
Other net realized investment gains		103			43			129			—		275
Net realized investment gains (losses)	$	(54	)	$	(57	)	$	128		$	—	$	17

(1)

The Travelers Companies, Inc., excluding its subsidiaries.

Consolidating Balance Sheet disclosure [Table Text Block]

CONSOLIDATING BALANCE SHEET (Unaudited)
At December 31, 2011

(in millions)	TPC			Other Subsidiaries			Travelers(1)			Eliminations			Consolidated
Assets
Fixed maturities, available for sale at fair value (amortized cost $59,994)	$	43,438		$	20,761		$	33		$	—		$	64,232
Equity securities, available for sale, at fair value (cost $414)		146			319			94			—			559
Real estate investments		33			832			—			—			865
Short-term securities		879			376			2,339			—			3,594
Other investments		2,446			1,004			1			—			3,451
Total investments		46,942			23,292			2,467			—			72,701
Cash		114			98			2			—			214
Investment income accrued		517			251			—			—			768
Premiums receivable		3,865			1,865			—			—			5,730
Reinsurance recoverables		7,399			3,783			—			—			11,182
Ceded unearned premiums		656			172			—			—			828
Deferred acquisition costs		1,536			250			—			—			1,786
Deferred taxes		(82	)		(47	)		136			—			7
Contractholder receivables		3,891			1,295			—			—			5,186
Goodwill		2,411			954			—			—			3,365
Other intangible assets		297			136			—			—			433
Investment in subsidiaries		—			—			27,565			(27,565	)		—
Other assets		1,983			52			367			—			2,402
Total assets	$	69,529		$	32,101		$	30,537		$	(27,565	)	$	104,602
Liabilities
Claims and claim adjustment expense reserves	$	33,754		$	17,665		$	—		$	—		$	51,419
Unearned premium reserves		7,644			3,458			—			—			11,102
Contractholder payables		3,891			1,295			—			—			5,186
Payables for reinsurance premiums		178			211			—			—			389
Debt		1,190			—			5,415			—			6,605
Other liabilities		3,910			859			655			—			5,424
Total liabilities		50,567			23,488			6,070			—			80,125
Shareholders' equity
Common stock (1,750.0 shares authorized; 392.8 shares issued and outstanding)		—			390			20,732			(390	)		20,732
Additional paid-in capital		11,135			6,501			—			(17,636	)		—
Retained earnings		5,900			882			19,569			(6,772	)		19,579
Accumulated other changes in equity from nonowner sources		1,927			840			2,005			(2,767	)		2,005
Treasury stock, at cost (349.0 shares)		—			—			(17,839	)		—			(17,839	)
Total shareholders' equity		18,962			8,613			24,467			(27,565	)		24,477
Total liabilities and shareholders' equity	$	69,529		$	32,101		$	30,537		$	(27,565	)	$	104,602

(1)

The Travelers Companies, Inc., excluding its subsidiaries.

CONSOLIDATING BALANCE SHEET (Unaudited)
At December 31, 2010

(in millions)	TPC		Other Subsidiaries		Travelers(1)			Eliminations			Consolidated
Assets
Fixed maturities, available for sale at fair value (amortized cost $60,170)	$	42,415	$	20,385	$	20		$	—		$	62,820
Equity securities, available for sale, at fair value (cost $372)		190		263		66			—			519
Real estate investments		1		837		—			—			838
Short-term securities		1,596		436		3,584			—			5,616
Other investments		1,982		946		1			—			2,929
Total investments		46,184		22,867		3,671			—			72,722
Cash		86		110		4			—			200
Investment income accrued		532		259		—			—			791
Premiums receivable		3,691		1,806		—			—			5,497
Reinsurance recoverables		7,868		4,126		—			—			11,994
Ceded unearned premiums		648		165		—			—			813
Deferred acquisition costs		1,511		271		—			—			1,782
Deferred taxes		294		125		74			—			493
Contractholder receivables		4,050		1,293		—			—			5,343
Goodwill		2,411		954		—			—			3,365
Other intangible assets		326		176		—			—			502
Investment in subsidiaries		—		—		27,422			(27,422	)		—
Other assets		1,904		237		60			(47	)		2,154
Total assets	$	69,505	$	32,389	$	31,231		$	(27,469	)	$	105,656
Liabilities
Claims and claim adjustment expense reserves	$	33,770	$	17,836	$	—		$	—		$	51,606
Unearned premium reserves		7,478		3,443		—			—			10,921
Contractholder payables		4,050		1,293		—			—			5,343
Payables for reinsurance premiums		214		193		—			—			407
Debt		1,189		9		5,460			(47	)		6,611
Other liabilities		3,906		1,089		298			—			5,293
Total liabilities		50,607		23,863		5,758			(47	)		80,181
Shareholders' equity
Preferred Stock Savings Plan—convertible preferred stock (0.2 shares issued and outstanding)		—		—		68			—			68
Common stock (1,748.6 shares authorized; 434.6 shares issued and outstanding)		—		390		20,162			(390	)		20,162
Additional paid-in capital		11,135		7,016		—			(18,151	)		—
Retained earnings		6,489		576		18,845			(7,063	)		18,847
Accumulated other changes in equity from nonowner sources		1,274		544		1,255			(1,818	)		1,255
Treasury stock, at cost (296.6 shares)		—		—		(14,857	)		—			(14,857	)
Total shareholders' equity		18,898		8,526		25,473			(27,422	)		25,475
Total liabilities and shareholders' equity	$	69,505	$	32,389	$	31,231		$	(27,469	)	$	105,656

(1)

The Travelers Companies, Inc., excluding its subsidiaries.

Consolidating Statement of Cash Flows disclosure [Table Text Block]

CONSOLIDATING STATEMENT OF CASH FLOWS (Unaudited)
For the twelve months ended December 31, 2011

(in millions)	TPC			Other Subsidiaries			Travelers(1)			Eliminations			Consolidated
Cash flows from operating activities
Net income	$	1,182		$	382		$	1,426		$	(1,564	)	$	1,426
Net adjustments to reconcile net income to net cash provided by operating activities		736			98			635			(726	)		743
Net cash provided by operating activities		1,918			480			2,061			(2,290	)		2,169
Cash flows from investing activities
Proceeds from maturities of fixed maturities		4,902			2,502			—			—			7,404
Proceeds from sales of investments:
Fixed maturities		720			440			1			—			1,161
Equity securities		82			53			—			—			135
Real estate		1			—			—			—			1
Other investments		343			251			—			—			594
Purchases of investments:
Fixed maturities		(5,714	)		(2,978	)		(12	)		—			(8,704	)
Equity securities		(30	)		(71	)		(30	)		—			(131	)
Real estate		(24	)		(42	)		—			—			(66	)
Other investments		(711	)		(178	)		—			—			(889	)
Net sales (purchases) of short-term securities		717			25			1,276			—			2,018
Securities transactions in course of settlement		(46	)		46			—			—			—
Other		(351	)		(20	)		—			—			(371	)
Net cash provided by (used in) investing activities		(111	)		28			1,235			—			1,152
Cash flows from financing activities
Payment of debt		—			(8	)		—			—			(8	)
Dividends paid to shareholders		—			—			(665	)		—			(665	)
Issuance of common stock—employee share options		—			—			314			—			314
Treasury shares acquired—share repurchase authorization		—			—			(2,919	)		—			(2,919	)
Treasury shares acquired—net employee share-based compensation		—			—			(46	)		—			(46	)
Excess tax benefits from share-based payment arrangements		—			—			18			—			18
Dividends paid to parent company		(1,779	)		(521	)		—			2,300			—
Capital contributions, loans and other transactions between subsidiaries		—			10			—			(10	)		—
Net cash used in financing activities		(1,779	)		(519	)		(3,298	)		2,290			(3,306	)
Effect of exchange rate changes on cash		—			(1	)		—			—			(1	)
Net increase (decrease) in cash		28			(12	)		(2	)		—			14
Cash at beginning of year		86			110			4			—			200
Cash at end of year	$	114		$	98		$	2		$	—		$	214
Supplemental disclosure of cash flow information
Income taxes paid (received)	$	206		$	109		$	(97	)	$	—		$	218
Interest paid	$	73		$	—		$	309		$	—		$	382

(1)

The Travelers Companies, Inc., excluding its subsidiaries.

CONSOLIDATING STATEMENT OF CASH FLOWS (Unaudited)
For the twelve months ended December 31, 2010

(in millions)	TPC			Other Subsidiaries			Travelers(1)			Eliminations			Consolidated
Cash flows from operating activities
Net income	$	2,464		$	1,033		$	3,216		$	(3,497	)	$	3,216
Net adjustments to reconcile net income to net cash provided by operating activities		(77	)		(514	)		3,626			(3,197	)		(162	)
Net cash provided by operating activities		2,387			519			6,842			(6,694	)		3,054
Cash flows from investing activities
Proceeds from maturities of fixed maturities		3,920			1,966			10			—			5,896
Proceeds from sales of investments:
Fixed maturities		2,289			1,424			—			—			3,713
Equity securities		29			148			24			—			201
Real estate		—			10			—			—			10
Other investments		338			280			99			—			717
Purchases of investments:
Fixed maturities		(4,201	)		(2,576	)		(8	)		—			(6,785	)
Equity securities		(2	)		(33	)		(26	)		—			(61	)
Real estate		—			(21	)		—			—			(21	)
Other investments		(305	)		(209	)		—			—			(514	)
Net sales (purchases) of short-term securities		632			392			(1,723	)		—			(699	)
Securities transactions in course of settlement		(4	)		(26	)		—			—			(30	)
Other		(313	)		(5	)		—			—			(318	)
Net cash provided by (used in) investing activities		2,383			1,350			(1,624	)		—			2,109
Cash flows from financing activities
Payment of debt		(4	)		—			(1,156	)		—			(1,160	)
Issuance of debt		—			—			1,234			—			1,234
Dividends paid to shareholders		—			—			(673	)		—			(673	)
Issuance of common stock—employee share options		—			—			408			—			408
Treasury shares acquired—share repurchase authorization		—			—			(4,998	)		—			(4,998	)
Treasury shares acquired—net employee share-based compensation		—			—			(40	)		—			(40	)
Excess tax benefits from share-based payment arrangements		—			—			8			—			8
Dividends paid to parent company		(4,827	)		(1,849	)		—			6,676			—
Capital contributions, loans and other transactions between subsidiaries		15			(35	)		2			18			—
Net cash used in financing activities		(4,816	)		(1,884	)		(5,215	)		6,694			(5,221	)
Effect of exchange rate changes on cash		—			3			—			—			3
Net increase (decrease) in cash		(46	)		(12	)		3			—			(55	)
Cash at beginning of year		132			122			1			—			255
Cash at end of year	$	86		$	110		$	4		$	—		$	200
Supplemental disclosure of cash flow information
Income taxes paid (received)	$	579		$	321		$	(116	)	$	—		$	784
Interest paid	$	73		$	—		$	324		$	—		$	397

(1)

The Travelers Companies, Inc., excluding its subsidiaries.

CONSOLIDATING STATEMENT OF CASH FLOWS (Unaudited)
For the twelve months ended December 31, 2009

(in millions)	TPC			Other Subsidiaries			Travelers(1)			Eliminations			Consolidated
Cash flows from operating activities
Net income	$	2,633		$	1,050		$	3,622		$	(3,683	)	$	3,622
Net adjustments to reconcile net income to net cash provided by operating activities		510			276			(345	)		168			609
Net cash provided by operating activities		3,143			1,326			3,277			(3,515	)		4,231
Cash flows from investing activities
Proceeds from maturities of fixed maturities		2,903			2,376			37			—			5,316
Proceeds from sales of investments:
Fixed maturities		1,342			1,457			6			—			2,805
Equity securities		20			45			—			—			65
Other investments		253			116			142			—			511
Purchases of investments:
Fixed maturities		(5,368	)		(4,277	)		(2	)		—			(9,647	)
Equity securities		—			(24	)		—			—			(24	)
Real estate		—			(15	)		—			—			(15	)
Other investments		(224	)		(125	)		—			—			(349	)
Net sales (purchases) of short-term securities		(28	)		419			(21	)		—			370
Securities transactions in course of settlement		372			23			—			—			395
Other		(305	)		(21	)		—			—			(326	)
Net cash provided by (used in) investing activities		(1,035	)		(26	)		162			—			(899	)
Cash flows from financing activities
Payment of debt		(2	)		—			(141	)		—			(143	)
Issuance of debt		—			—			494			—			494
Dividends paid to shareholders		—			—			(693	)		—			(693	)
Issuance of common stock—employee share options		—			—			180			—			180
Treasury shares acquired—share repurchase authorization		—			—			(3,259	)		—			(3,259	)
Treasury shares acquired—net employee share-based compensation		—			—			(29	)		—			(29	)
Excess tax benefits from share-based payment arrangements		—			—			8			—			8
Dividends paid to parent company		(2,157	)		(1,340	)		—			3,497			—
Capital contributions, loans and other transactions between subsidiaries		—			(20	)		2			18			—
Net cash used in financing activities		(2,159	)		(1,360	)		(3,438	)		3,515			(3,442	)
Effect of exchange rate changes on cash		—			15			—			—			15
Net increase (decrease) in cash		(51	)		(45	)		1			—			(95	)
Cash at beginning of year		183			167			—			—			350
Cash at end of year	$	132		$	122		$	1		$	—		$	255
Supplemental disclosure of cash flow information
Income taxes paid (received)	$	799		$	302		$	(225	)	$	—		$	876
Interest paid	$	73		$	—		$	312		$	—		$	385

(1)

The Travelers Companies, Inc., excluding its subsidiaries.