Prudential 2015 Annual Report Download - page 11

TABLE OF CONTENTS
Page
Number
Selected Financial Data .................................................................................... 10
Management’s Discussion and Analysis of Financial Condition and Results of Operations ............................... 12
Quantitative and Qualitative Disclosures About Market Risk ....................................................... 100
Consolidated Financial Statements:
Management’s Annual Report on Internal Control Over Financial Reporting ...................................... 104
Report of Independent Registered Public Accounting Firm .................................................... 105
Consolidated Statements of Financial Position as of December 31, 2015 and 2014 .................................. 106
Consolidated Statements of Operations for the years ended December 31, 2015, 2014 and 2013 ....................... 107
Consolidated Statements of Comprehensive Income for the years ended December 31, 2015, 2014 and 2013 ............. 108
Consolidated Statements of Equity for the years ended December 31, 2015, 2014 and 2013 .......................... 109
Consolidated Statements of Cash Flows for the years ended December 31, 2015, 2014 and 2013 ...................... 110
Notes to Consolidated Financial Statements ................................................................ 111
Market Price of and Dividends on Common Equity, and Related Stockholder Matters ................................... 226
Performance Graph ....................................................................................... 227
Forward-Looking Statements ............................................................................... 228
Throughout this Annual Report, “Prudential Financial” refers to Prudential Financial, Inc., the ultimate holding company for all
of our companies. “Prudential Insurance” refers to The Prudential Insurance Company of America. “Prudential,” the “Company,”
“we” and “our” refer to our consolidated operations.
Overview
From December 18, 2001, the date of demutualization, through December 31, 2014, we organized our principal operations into the
Financial Services Businesses and the Closed Block Business, and had two classes of common stock outstanding. The Common Stock,
which is publicly-traded (NYSE:PRU), reflected the performance of the Financial Services Businesses, while the Class B Stock, which was
issued through a private placement and did not trade on any exchange, reflected the performance of the Closed Block Business.
On January 2, 2015, Prudential Financial repurchased and canceled all of the shares of the Class B Stock (the “Class B Repurchase”).
As a result, earnings per share of Common Stock for the year ended December 31, 2015 reflect the consolidated earnings of Prudential
Financial. In addition, we no longer organize our principal operations into the Financial Services Businesses and the Closed Block
Business. Our principal operations are comprised of four divisions, which together encompass seven segments, and our Corporate and
Other operations. The U.S. Retirement Solutions and Investment Management division consists of our Individual Annuities, Retirement
and Asset Management segments. The U.S. Individual Life and Group Insurance division consists of our Individual Life and Group
Insurance segments. The International Insurance division consists of our International Insurance segment. The Closed Block division
consists of our Closed Block segment, which includes certain in force participating insurance and annuity products and corresponding
assets that are used for the payment of benefits and policyholders’ dividends on these products (the “Closed Block”), as well as certain
related assets and liabilities. The Closed Block segment is accounted for as a divested business that is reported separately from the divested
businesses that are included in Corporate and Other operations. Our Corporate and Other operations include corporate items and initiatives
that are not allocated to business segments and businesses that have been or will be divested.
As a result of the Class B Repurchase and resulting elimination of the separation of the Financial Services Businesses and the Closed
Block Business, in this Annual Report we refer to the divisions and segments of the Company that formerly comprised the Financial
Services Businesses as “PFI excluding the Closed Block division” and we refer to the operations that were formerly included in the Closed
Block Business as the “Closed Block division,” except as otherwise noted. Closed Block Business results were associated with the
Company’s Class B Stock for periods prior to January 1, 2015.
Prudential Financial, Inc. 2015 Annual Report 9