Summary of Significant Accounting Policies (Tables)

12 Months Ended

Dec. 31, 2011

Summary of Significant Accounting Policies

Computation of basic and diluted earnings per share

($ in millions, except per share data)	2011		2010		2009
Numerator:
Net income	$	787	$	911	$	888
Denominator:
Weighted average common shares outstanding		520.7		540.3		539.6
Effect of dilutive potential common shares:
Stock options		1.8		2.0		1.3
Restricted stock units (non-participating)		0.6		0.2		—
Weighted average common and dilutive potential common shares outstanding		523.1		542.5		540.9
Earnings per share – Basic	$	1.51	$	1.69	$	1.65
Earnings per share – Diluted	$	1.50	$	1.68	$	1.64

Impacts of the retrospective adjustments on previously issued financial statements

($ in millions, except per share data)	2011						2010				2009
	Previously reported			As Adjusted			Previously reported		As Adjusted		Previously reported		As Adjusted
For the years ended December 31,
Amortization of DAC	$	4,233		$	3,971		$	4,034	$	3,807	$	4,754	$	4,436
Operating costs and expenses		3,468			3,739			3,281		3,542		3,007		3,281
(Loss) gain on disposition of operations		(15	)		(7	)		11		19		7		15
Income tax expense		172			172			198		189		394		412
Net income		788			787			928		911		854		888
Net income per share – Basic		1.51			1.51			1.72		1.69		1.58		1.65
Net income per share – Diluted		1.51			1.50			1.71		1.68		1.58		1.64
As of December 31,
DAC	$	4,443		$	3,871		$	4,769	$	4,180
Deferred income taxes		520			722			784		999
Reserve for life-contingent contract benefits		14,449			14,406			13,482		13,450
Other liabilities and accrued expenses		5,929			5,978			5,564		5,621
Retained income		32,321			31,909			31,969		31,558
Unrealized adjustment to DAC, DSI and insurance reserves		(504	)		(467	)		36		49
Unrealized foreign currency translation adjustments		57			56			69		68