AIG 2013 Annual Report Download - page 139

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The following table presents AIG’s Other Operations results:
Mortgage Guaranty $ 9 $ (97) NM% NM%
Global Capital Markets 557 (11) 12 NM
Direct Investment book 1,215 604 19 101
Retained interests:
Change in fair value of AIA securities, including
realized gain in 2012 2,069 1,289 NM 61
Change in fair value of ML III 2,888 (646) NM NM
Change in the fair value of the MetLife securities
prior to their sale – (157) NM NM
Corporate & Other:
Interest expense (1,597) (1,685) 12 5
Corporate expenses, net (900) (1,095) (12) 18
Severance expense(a) – – NM NM
Other non-core businesses (94) 94 (14) NM
Total Corporate & Other operating loss (2,591) (2,686) (8) 4
Consolidation and eliminations – – NM NM
Total Other operations pre-tax operating income
(loss) 4,147 (1,704) NM NM
Legal reserves (754) (20) 41 NM
Legal settlements(b) 39 – 205 NM
Loss on extinguishment of debt (32) (3,204) NM 99
Aircraft Leasing 338 (934) NM NM
Net loss on sale of divested businesses (6,717) (74) 99 NM
Deferred gain on FRBNY credit facility – 296 NM NM
Changes in benefit reserves and DAC, VOBA and
SIA related to net realized gains (losses) – – NM NM
Net realized capital gains (losses) 289 (348) NM NM
Total Other Operations pre-tax loss $ (2,690) $ (5,988) 9% 55%
(a) Includes $263 million of severance expense attributable to AIG Property Casualty.
(b) Reflects income from settlements with financial institutions that participated in the creation, offering and sale of RMBS from which AIG and its
subsidiaries realized losses during the financial crisis.
TOTAL OTHER OPERATIONS PRE-TAX OPERATING INCOME (LOSS)
(in millions)
AIA/ML III
All other
2013 2012 2011
$4,957
$(810)
$(2,347)
$643
$(511)
OTHER OPERATIONS
Other Operations Results
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AIG 2013 Form 10-K 121
ITEM 7 / RESULTS OF OPERATIONS / OTHER OPERATIONS
Percentage Change
Years Ended December 31,
(in millions) 2013 2012 2011 2013 vs. 2012 2012 vs. 2011
$ 205
625
1,448
–
–
–
(1,412)
(1,009)
(265)
(107)
(2,793)
4
(511)
(446)
119
(651)
(129)
(48)
–
(98)
(685)
$ (2,449)
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