AIG 2013 Annual Report Download - page 269

The following table summarizes the fair value and gross unrealized losses on our available for sale
securities, aggregated by major investment category and length of time that individual securities have been
in a continuous unrealized loss position:
Bonds available for sale:
U.S. government and government sponsored
entities
Obligations of states, municipalities and political
subdivisions
Non-U.S. governments
Corporate debt
RMBS
CMBS
CDO/ABS
Total bonds available for sale
Equity securities available for sale:
Common stock
Preferred stock
Mutual funds
Total equity securities available for sale
Total
Bonds available for sale:
U.S. government and government sponsored
entities $ 153 $ 1 $ – $ – $ 153 $ 1
Obligations of states, municipalities and political
subdivisions 692 11 114 11 806 22
Non-U.S. governments 1,555 19 442 25 1,997 44
Corporate debt 8,483 201 3,229 263 11,712 464
RMBS 597 28 1,661 289 2,258 317
CMBS 404 8 1,481 296 1,885 304
CDO/ABS 393 3 1,624 241 2,017 244
Total bonds available for sale 12,277 271 8,551 1,125 20,828 1,396
Equity securities available for sale:
Common stock 247 36 18 1 265 37
Mutual funds 3 – – – 3 –
Total equity securities available for sale 250 36 18 1 268 37
Total $ 12,527 $ 307 $ 8,569 $ 1,126 $ 21,096 $ 1,433
At December 31, 2013, we held 7,652 and 126 individual fixed maturity and equity securities, respectively, that were
in an unrealized loss position, of which 848 individual fixed maturity securities were in a continuous unrealized loss
position for longer than 12 months. We did not recognize the unrealized losses in earnings on these fixed maturity
securities at December 31, 2013, because we neither intend to sell the securities nor do we believe that it is more
likely than not that we will be required to sell these securities before recovery of their amortized cost basis. For fixed
maturity securities with significant declines, we performed fundamental credit analysis on a security-by-security basis,
which included consideration of credit enhancements, expected defaults on underlying collateral, review of relevant
industry analyst reports and forecasts and other available market data.
Securities Available for Sale in a Loss Position
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AIG 2013 Form 10-K 251
ITEM 8 / NOTE 6. INVESTMENTS
Less than 12 Months 12 Months or More Total
Gross Gross Gross
Fair Unrealized Fair Unrealized Fair Unrealized
(in millions) Value Losses Value Losses Value Losses
December 31, 2013
$ 1,101 $ 34 $ 42 $ 5 $ 1,143 $ 39
6,134 379 376 67 6,510 446
4,102 217 710 141 4,812 358
38,495 2,251 4,926 647 43,421 2,898
8,543 349 1,217 124 9,760 473
3,191 176 1,215 116 4,406 292
2,845 62 915 80 3,760 142
64,411 3,468 9,401 1,180 73,812 4,648
96 14 – – 96 14
51––51
369 24 – – 369 24
470 39 – – 470 39
$ 64,881 $ 3,507 $ 9,401 $ 1,180 $ 74,282 $ 4,687
December 31, 2012
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