Aetna 2011 Annual Report Download - page 118

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Annual Report- Page 112
At December 31, 2011, the expected run-off of the SPA and GIC liabilities, including future interest, was as
follows:
(Millions)
2012
2013
2014
2015
2016
Thereafter
$ 423.4
410.6
387.0
369.6
352.4
4,475.5
The expected run-off of the SPA and GIC liabilities can vary from actual due to several factors, including, among
other things, contract holders redeeming their contracts prior to contract maturity or additional amounts received
from existing contracts. The liability expected at December 31, 1993 and actual liability balances at December 31,
2011, 2010 and 2009 for the GIC and SPA liabilities were as follows:
(Millions)
2009
2010
2011
Expected
GIC
$ 19.1
18.0
17.0
SPA
$ 3,103.9
2,943.5
2,780.5
Actual
GIC
$ 12.1
10.2
8.2
SPA
$ 3,301.0
3,162.2
3,005.8
The GIC balances were lower than expected in each period because several contract holders redeemed their
contracts prior to contract maturity. The SPA balances in each period were higher than expected because of
additional amounts received under existing contracts.
The distributions on our discontinued products consisted of scheduled contract maturities, settlements and benefit
payments of $412.0 million, $432.2 million and $447.1 million for the years ended December 31, 2011, 2010 and
2009, respectively. Participant-directed withdrawals from our discontinued products were not significant in the
years ended ended December 31, 2011, 2010 or 2009. Cash required to fund these distributions was provided by
earnings and scheduled payments on, and sales of, invested assets.
21. Subsequent Events
In January 2012, we entered into three-year reinsurance agreements with Vitality Re III Limited, an unrelated
insurer. The agreements allow us to reduce our required statutory capital and provide $150 million of collateralized
excess of loss reinsurance coverage on a portion of Aetna's group Commercial Insured Health Care business.
On February 24, 2012, our Board declared a cash dividend of $.175 per common share that will be paid on April 27,
2012, to shareholders of record at the close of business on April 12, 2012.
Also on February 24, 2012, our Board approved a new share repurchase program that authorizes us to repurchase up
to $750 million of our common stock.