EQUITY

Common stock

The changes in number of common stock shares, issued, held in treasury and outstanding are as follows for the periods indicated:



	Issued	Held In Treasury		Outstanding
Balance, December 31, 2015	79,137,758	13,933,232		65,204,526
Common Stock acquired	—	1,356,892		(1,356,892	)
Stock-based compensation ⁽¹⁾	—	(454,868	)	454,868
Balance, December 31, 2016	79,137,758	14,835,256		64,302,502
Common Stock acquired	—	208,680		(208,680	)
Stock-based compensation ⁽¹⁾	—	(358,273	)	358,273
Balance, December 31, 2017	79,137,758	14,685,663		64,452,095
Common Stock acquired	—	1,932,055		(1,932,055	)
Stock-based compensation ⁽¹⁾	—	(294,328	)	294,328
Balance, December 31, 2018	79,137,758	16,323,390		62,814,368


(1)	Represents net shares issued from treasury pursuant to the Company’s stock-based compensation programs.

Common stock held in treasury

Common stock held in treasury is accounted for at average cost. Gains resulting from the reissuance of “Common stock held in treasury” are credited to “Additional paid-in capital.” Losses resulting from the reissuance of “Common stock held in treasury” are charged first to “Additional paid-in capital” to the extent the Company has previously recorded gains on treasury share transactions, then to “Retained earnings.”

During 2017, RGA’s board of directors authorized and amended a share repurchase program, with no expiration date, to repurchase up to $400.0 million of RGA’s outstanding common stock. In connection with this authorization, the board of directors terminated all previously announced repurchase authorizations. The following table summarizes the Company’s current share repurchase program activity for the years ended 2018 and 2017 (dollar amounts in thousands, except per share amounts):



Year of Repurchase	Shares Repurchased	Amount Paid		Average Per Share
2018	1,932,055	$	283,524	$	146.75
2017	208,680	26,897		$	128.89
Total	2,140,735	$	310,421

During 2016, RGA’s board of directors authorized and amended a share repurchase program, with no expiration date, to repurchase up to $400.0 million of RGA’s outstanding common stock. During 2016, RGA repurchased 1,356,892 shares of common stock under this program for $116.5 million.

On January 24, 2019, RGA’s board of directors authorized a share repurchase program for up to $400.0 million of RGA’s outstanding common stock. The authorization was effective immediately and does not have an expiration date. In connection with this new authorization, the board of directors terminated the stock repurchase authority granted in 2017.

The timing and amount of share repurchases are determined by management based upon market conditions and other considerations. Factors could affecting the timing and amount of any future repurchases under the share repurchase authorization, include increased capital needs of the Company due to changes in regulatory capital requirements, opportunities for growth and acquisitions, and the effect of adverse market conditions on the segments.

Accumulated other comprehensive income (loss)

The following table presents the components of the Company’s other comprehensive income (loss) for the years ended December 31, 2018, 2017 and 2016 (dollars in thousands):

For the year ended December 31, 2018:



	Before-Tax Amount			Tax (Expense) Benefit			After-Tax Amount
Foreign currency translation adjustments:
Change arising during year	$	(148,018	)	$	(759	)	$	(148,777	)
Foreign currency swap	87,344			(18,342		)	69,002
Net foreign currency translation adjustments	(60,674		)	(19,101		)	(79,775		)
Unrealized gains on investments:⁽¹⁾
Unrealized net holding gains arising during the year	(1,834,656		)	393,653			(1,441,003		)
Less: Reclassification adjustment for net gains realized in net income	(122,221		)	25,720			(96,501		)
Net unrealized gains	(1,712,435		)	367,933			(1,344,502		)
Unrealized pension and postretirement benefits:
Net prior service cost arising during the year	(947		)	182			(765		)
Net gain arising during the period	1,063			(316		)	747
Unrealized pension and postretirement benefits, net	116			(134		)	(18		)
Other comprehensive income (loss)	$	(1,772,993	)	$	348,698		$	(1,424,295	)

For the year ended December 31, 2017:



	Before-Tax Amount			Tax (Expense) Benefit			After-Tax Amount
Foreign currency translation adjustments:
Change arising during year	$	74,926		$	25,369		$	100,295
Foreign currency swap	(47,953		)	16,784			(31,169		)
Net foreign currency translation adjustments	26,973			42,153			69,126
Unrealized gains on investments:⁽¹⁾
Unrealized net holding gains arising during the year	1,029,591			(313,729		)	715,862
Less: Reclassification adjustment for net gains realized in net income	25,039			(7,011		)	18,028
Net unrealized gains	1,004,552			(306,718		)	697,834
Change in unrealized OTTI on fixed maturity securities	375			(131		)	244
Unrealized pension and postretirement benefits:
Net prior service cost arising during the year	11,717			(4,095		)	7,622
Net gain arising during the period	(10,587		)	3,691			(6,896		)
Unrealized pension and postretirement benefits, net	1,130			(404		)	726
Other comprehensive income (loss)	$	1,033,030		$	(265,100	)	$	767,930

For the year ended December 31, 2016:



	Before-Tax Amount			Tax (Expense) Benefit			After-Tax Amount
Foreign currency translation adjustments:
Change arising during year	$	39,925		$	(24,663	)	$	15,262
Foreign currency swap	(10,234		)	3,582			(6,652		)
Net foreign currency translation adjustments	29,691			(21,081		)	8,610
Unrealized gains on investments:⁽¹⁾
Unrealized net holding gains arising during the year	641,606			(180,448		)	461,158
Less: Reclassification adjustment for net gains realized in net income	65,798			(23,029		)	42,769
Net unrealized gains	575,808			(157,419		)	418,389
Change in unrealized OTTI on fixed maturity securities	1,457			(510		)	947
Unrealized pension and postretirement benefits:
Net prior service cost arising during the year	444			(149		)	295
Net gain arising during the period	4,427			(1,623		)	2,804
Unrealized pension and postretirement benefits, net	4,871			(1,772		)	3,099
Other comprehensive income (loss)	$	611,827		$	(180,782	)	$	431,045


(1)	Includes cash flow hedges. See Note 5 for additional information on cash flow hedges.

A summary of the components of net unrealized appreciation (depreciation) of balances carried at fair value is as follows (dollars in thousands):



For the years ended December 31,	2018			2017			2016
Change in net unrealized appreciation (depreciation) on:
Fixed maturity securities available-for-sale	$	(1,759,230	)	$	987,570		$	561,906
Other investments⁽¹⁾	20,187			25,577			18,900
Effect on unrealized appreciation on:
Deferred policy acquisition costs	26,608			(8,220		)	(3,541		)
Net unrealized appreciation (depreciation)	$	(1,712,435	)	$	1,004,927		$	577,265


(1)	Includes cash flow hedges. See Note 5 for additional information on cash flow hedges.

The balance of and changes in each component of AOCI were as follows (dollars in thousands):



	Accumulated Currency Translation Adjustments			Unrealized Appreciation (Depreciation) of Investments ⁽¹⁾			Pension and Postretirement Benefits			Accumulated Other Comprehensive Income (Loss)
Balance, December 31, 2015	$	(181,151	)	$	935,697		$	(46,262	)	$	708,284
OCI before reclassifications	29,691			646,887			(951		)	675,627
Amounts reclassified from AOCI	—			(69,622		)	5,822			(63,800		)
Deferred income tax benefit (expense)	(21,081		)	(157,929		)	(1,772		)	(180,782		)
Balance, December 31, 2016	(172,541		)	1,355,033			(43,163		)	1,139,329
OCI before reclassifications	26,973			1,039,387			(4,273		)	1,062,087
Amounts reclassified from AOCI	—			(34,460		)	5,403			(29,057		)
Deferred income tax benefit (expense)	42,153			(306,849		)	(404		)	(265,100		)
Adoption of new accounting standard	17,065			147,550			(8,243		)	156,372
Balance, December 31, 2017	(86,350		)	2,200,661			(50,680		)	2,063,631
OCI before reclassifications	(60,674		)	(1,860,789		)	(5,218		)	(1,926,681		)
Amounts reclassified from AOCI	—			148,354			5,334			153,688
Deferred income tax benefit (expense)	(19,101		)	367,933			(134		)	348,698
Adoption of new accounting standard	(2,573		)	—			—			(2,573		)
Balance, December 31, 2018	$	(168,698	)	$	856,159		$	(50,698	)	$	636,763


(1)	Includes cash flow hedges of $8,788, $2,619 and $(2,496) as of December 31, 2018, 2017 and 2016, respectively. See Note 5 for additional information on cash flow hedges.

The following table presents the amounts of AOCI reclassifications for the years ended December 31, 2018 and 2017 (dollars in thousands):



	Amount Reclassified from AOCI
Details about AOCI Components	2018			2017			Affected Line Item in Statement of Income
Net unrealized investment gains (losses):
Net unrealized gains and losses on available-for-sale securities	$	(122,221	)	$	25,039		Investment related gains (losses), net
Cash flow hedges - Interest rate	183			(79		)	(1)
Cash flow hedges - Currency/Interest rate	292			380			(1)
Cash flow hedges - Forward bond purchase commitments	—			900			(1)
Deferred policy acquisition costs attributed to unrealized gains and losses	(26,608		)	8,220			(2)
Total	(148,354		)	34,460
Provision for income taxes	31,208			(10,308		)
Net unrealized gains (losses), net of tax	$	(117,146	)	$	24,152

Amortization of defined benefit plan items:
Prior service cost (credit)	$	971		$	971		(3)
Actuarial gains/(losses)	(6,305		)	(6,374		)	(3)
Total	(5,334		)	(5,403		)
Provision for income taxes	1,176			1,891
Amortization of defined benefit plans, net of tax	$	(4,158	)	$	(3,512	)

Total reclassifications for the period	$	(121,304	)	$	20,640


(1)	See Note 5 for information on cash flow hedges.


(2)	See Note 8 for information on deferred policy acquisition costs.


(3)	See Note 10 for information on employee benefit plans.