Prudential 2012 Annual Report Download - page 126

PRUDENTIAL FINANCIAL, INC.
Notes to Consolidated Financial Statements
2. SIGNIFICANT ACCOUNTING POLICIES AND PRONOUNCEMENTS (continued)
Year Ended December 31, 2010
As
Previously
Reported
Effect of
DAC
Change
Effect of
Pension
Accounting
Change
As
Currently
Reported
(in millions)
REVENUES
Premiums .............................................................................. $18,260 $ (22) $ 0 $18,238
Policy charges and fee income .............................................................. 3,321 2 0 3,323
Asset management fees and other income ..................................................... 3,704 37 0 3,741
Total revenues ...................................................................... 38,200 17 0 38,217
BENEFITS AND EXPENSES
Amortization of deferred policy acquisition costs ............................................... 1,437 (352) 0 1,085
General and administrative expenses ......................................................... 7,688 630 (9) 8,309
Total benefits and expenses ............................................................ 33,808 278 (9) 34,077
INCOME (LOSS) FROM CONTINUING OPERATIONS BEFORE INCOME TAXES AND
EQUITY IN EARNINGS OF OPERATING JOINT VENTURES ............................ 4,392 (261) 9 4,140
Income tax expense .................................................................. 1,303 (63) 3 1,243
INCOME (LOSS) FROM CONTINUING OPERATIONS BEFORE EQUITY IN EARNINGS OF
OPERATING JOINT VENTURES ...................................................... 3,089 (198) 6 2,897
Equity in earnings of operating joint ventures, net of tax ......................................... 84 (2) 0 82
INCOME (LOSS) FROM CONTINUING OPERATIONS .................................... 3,173 (200) 6 2,979
NET INCOME (LOSS) .................................................................. 3,206 (200) 6 3,012
NET INCOME (LOSS) ATTRIBUTABLE TO PRUDENTIAL FINANCIAL, INC. ............... $ 3,195 $ (200) $ 6 $ 3,001
EARNINGS PER SHARE
Financial Services Businesses
Basic earnings per share—Common Stock:
Income from continuing operations attributable to Prudential Financial, Inc. ................. $ 5.75 $(0.45) $0.01 $ 5.31
Net income attributable to Prudential Financial, Inc. .................................... $ 5.82 $(0.46) $0.02 $ 5.38
Diluted earnings per share—Common Stock:
Income from continuing operations attributable to Prudential Financial, Inc. ................. $ 5.68 $(0.44) $0.01 $ 5.25
Net income attributable to Prudential Financial, Inc. .................................... $ 5.75 $(0.45) $0.02 $ 5.32
Closed Block Business
Basic and Diluted earnings per share—Class B Stock:
Income from continuing operations attributable to Prudential Financial, Inc. ................. $222.00 $ 7.00 $0.00 $229.00
Net income attributable to Prudential Financial, Inc. .................................... $222.50 $ 7.00 $0.00 $229.50
Consolidated Statement of Cash Flows:
Year Ended December 31, 2011
As
Previously
Reported
Effect of
DAC
Change
Effect of
Pension
Accounting
Change
As
Currently
Reported
(in millions)
CASH FLOWS FROM OPERATING ACTIVITIES
Net income ........................................................................ $ 3,738 $(124) $ 24 $ 3,638
Adjustments to reconcile net income to net cash provided by operating activities:
Change in:
Deferred policy acquisition costs ............................................... (605) 229 0 (376)
Future policy benefits and other insurance liabilities ............................... 6,761 38 0 6,799
Other, net ................................................................. 1,676 (143) (24) 1,509
Cash flows from operating activities ...................................... $12,377 $ 0 $ 0 $12,377
Year Ended December 31, 2010
As
Previously
Reported
Effect of
DAC
Change
Effect of
Pension
Accounting
Change
As
Currently
Reported
(in millions)
CASH FLOWS FROM OPERATING ACTIVITIES
Net income ........................................................................ $3,206 $(200) $ 6 $ 3,012
Adjustments to reconcile net income to net cash provided by operating activities:
Policy charges and fee income ..................................................... (976) (2) 0 (978)
Change in:
Deferred policy acquisition costs ............................................... (1,654) 278 0 (1,376)
Future policy benefits and other insurance liabilities ............................... 4,475 22 0 4,497
Other, net ................................................................. 714 (98) (6) 610
Cash flows from operating activities ...................................... $6,542 $ 0 $ 0 $ 6,542
124 Prudential Financial, Inc. 2012 Annual Report