Travelers 2003 Annual Report Download - page 13

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11
UNAUDITED PRO FORMA CONDENSED COMBINED BALANCE SHEET
At December 31, 2003
Historical
TPC
Historical
SPC
Pro Forma
Adjustments
Pro Forma
St. Paul Travelers
(in millions)
Assets
Fixed maturities, available for sale at fair value $ 33,045 $ 18,021 $ — $ 51,066
Equity securities, at fair value 733 190 — 923
Mortgage loans 211 63 — 274
Investment real estate — 775 283 (a) 1,058
Short-term securities 2,138 2,709 — 4,847
Trading securities, at fair value 57 — — 57
Other investments 2,469 1,422 — 3,891
Total investments 38,653 23,180 283 62,116
Cash 352 150 — 502
Investment income accrued 362 248 — 610
Premium balances receivable 4,089 2,486 — 6,575
Reinsurance recoverables 11,174 8,718 (417) (b) 19,475
Deferred policy acquisition costs 965 695 (78) (c) 1,582
Deferred federal income taxes 678 1,285 (296) (d) 1,667
Contractholder receivables 3,121 1,585 — 4,706
Goodwill 2,412 926 (926) (e) 5,257
2,845 (e)
Other intangibles 422 139 (139) (f) 1,622
1,200 (f)
Other assets 2,644 3,374 (384) (g) 5,634
Total assets $ 64,872 $ 42,786 $ 2,088 $109,746
Liabilities
Claims and claim adjustment expense reserves $ 34,573 $ 21,035 $ (761) (h) $ 54,847
Unearned premium reserves 7,111 4,248 — 11,359
Contractholder payables 3,121 1,585 — 4,706
Commercial paper — 322 — 322
Long-term debt 1,756 2,057 160 (i) 3,973
Convertible junior subordinated notes payable 869 — — 869
Convertible notes payable 49 — — 49
Equity unit related debt — 443 24 (i) 467
SPC-obligated mandatorily redeemable preferred
securities of trusts holding solely subordinated
debentures of SPC — 928 109 (i) 1,037
Other liabilities 5,406 5,943 101 (j) 11,450
Total liabilities 52,885 36,561 (367) 89,079
Shareholders' equity
Preferred stock:
Stock Ownership Plan - convertible preferred stock — 98 119 (k) 217
Guaranteed obligation - Stock Ownership Plan — (23) (2) (k) (25)
Common stock:
No par value — 2,655 14,474 (n,o,p) 17,129
Class A 5 — (5) (l) —
Class B 5 — (5) (l) —
Additional paid-in capital 8,705 — (8,705) (l) —
Retained earnings 2,290 2,874 (2,874) (m) 2,290
Accumulated other changes in equity from nonowner
sources 1,086 621 (621) (m) 1,086
Treasury stock, at cost (74) — 74 (l) —
Unearned compensation (30) — — (30)
Total shareholders' equity 11,987 6,225 2,455 20,667
Total liabilities and shareholders’ equity $ 64,872 $ 42,786 $ 2,088 $109,746
See accompanying Notes to the Unaudited Pro Forma Condensed Combined Financial Statements.