Other Comprehensive Income and Accumulated Other Comprehensive Income

6 Months Ended

Jun. 30, 2015

Other Comprehensive Income and Accumulated Other Comprehensive Income disclosure

Other Comprehensive Income and Accumulated Other Comprehensive Income disclosure [Text Block]

6. OTHER COMPREHENSIVE INCOME AND ACCUMULATED OTHER COMPREHENSIVE INCOME

The following table presents the changes in the Company’s accumulated other comprehensive income (AOCI) for the six months ended June 30, 2015.

(in millions)	Changes in Net Unrealized Gains on Investment Securities Having No Credit Losses Recognized in the Consolidated Statement of Income			Changes in Net Unrealized Gains on Investment Securities Having Credit Losses Recognized in the Consolidated Statement of Income			Net Benefit Plan Assets and Obligations Recognized in Shareholders’ Equity			Net Unrealized Foreign Currency Translation			Total Accumulated Other Comprehensive Income
Balance, December 31, 2014	$	1,768		$	198		$	(755	)	$	(331	)	$	880
Other comprehensive income (loss) (OCI) before reclassifications	(561		)	(8		)	1			(152		)	(720		)
Amounts reclassified from AOCI	(23		)	2			30			—			9
Net OCI, current period	(584		)	(6		)	31			(152		)	(711		)
Balance, June 30, 2015	$	1,184		$	192		$	(724	)	$	(483	)	$	169

The following tables present the pretax components of the Company’s other comprehensive income (loss) and the related income tax expense (benefit) for the three months and six months ended June 30, 2015 and 2014.

(for the three months ended June 30, in millions)	2015			2014
Changes in net unrealized gains on investment securities:
Having no credit losses recognized in the consolidated statement of income	$	(1,065	)	$	518
Income tax expense (benefit)	(368		)	180
Net of taxes	(697		)	338
Having credit losses recognized in the consolidated statement of income	(5		)	1
Income tax expense (benefit)	(2		)	—
Net of taxes	(3		)	1
Net changes in benefit plan assets and obligations	23			15
Income tax expense	8			5
Net of taxes	15			10
Net changes in unrealized foreign currency translation	94			97
Income tax expense	9			11
Net of taxes	85			86
Total other comprehensive income (loss)	(953		)	631
Total income tax expense (benefit)	(353		)	196
Total other comprehensive income (loss), net of taxes	$	(600	)	$	435

(for the six months ended June 30, in millions)	2015			2014
Changes in net unrealized gains on investment securities:
Having no credit losses recognized in the consolidated statement of income	$	(896	)	$	1,055
Income tax expense (benefit)	(312		)	366
Net of taxes	(584		)	689
Having credit losses recognized in the consolidated statement of income	(10		)	3
Income tax expense (benefit)	(4		)	1
Net of taxes	(6		)	2
Net changes in benefit plan assets and obligations	47			30
Income tax expense	16			12
Net of taxes	31			18
Net changes in unrealized foreign currency translation	(180		)	54
Income tax expense (benefit)	(28		)	11
Net of taxes	(152		)	43
Total other comprehensive income (loss)	(1,039		)	1,142
Total income tax expense (benefit)	(328		)	390
Total other comprehensive income (loss), net of taxes	$	(711	)	$	752

The following tables present the pretax and related income tax (expense) benefit components of the amounts reclassified from the Company’s AOCI to the Company’s consolidated statement of income for the three months and six months ended June 30, 2015 and 2014.

(for the three months ended June 30, in millions)	2015			2014
Reclassification adjustments related to unrealized gains on investment securities:
Having no credit losses recognized in the consolidated statement of income (1)	$	(17	)	$	(24	)
Income tax expense (2)	(6		)	(8		)
Net of taxes	(11		)	(16		)
Having credit losses recognized in the consolidated statement of income (1)	2			1
Income tax benefit (2)	—			1
Net of taxes	2			—
Reclassification adjustment related to benefit plan assets and obligations (3)	24			15
Income tax benefit (2)	9			5
Net of taxes	15			10
Reclassification adjustment related to foreign currency translation (1)	—			—
Income tax benefit (2)	—			—
Net of taxes	—			—
Total reclassifications	9			(8		)
Total income tax (expense) benefit	3			(2		)
Total reclassifications, net of taxes	$	6		$	(6	)

(1) (Increases) decreases net realized investment gains on the consolidated statement of income.

(2) (Increases) decreases income tax expense on the consolidated statement of income.

(3) Increases (decreases) general and administrative expenses on the consolidated statement of income.

(for the six months ended June 30, in millions)	2015			2014
Reclassification adjustments related to unrealized gains on investment securities:
Having no credit losses recognized in the consolidated statement of income (1)	$	(35	)	$	(29	)
Income tax expense (2)	(12		)	(10		)
Net of taxes	(23		)	(19		)
Having credit losses recognized in the consolidated statement of income (1)	2			4
Income tax benefit (2)	—			2
Net of taxes	2			2
Reclassification adjustment related to benefit plan assets and obligations (3)	47			30
Income tax benefit (2)	17			12
Net of taxes	30			18
Reclassification adjustment related to foreign currency translation (1)	—			—
Income tax benefit (2)	—			—
Net of taxes	—			—
Total reclassifications	14			5
Total income tax benefit	5			4
Total reclassifications, net of taxes	$	9		$	1

(1) (Increases) decreases net realized investment gains on the consolidated statement of income.

(2) (Increases) decreases income tax expense on the consolidated statement of income.

(3) Increases (decreases) general and administrative expenses on the consolidated statement of income.