Travelers 2008 Annual Report Download - page 170

THE TRAVELERS COMPANIES, INC. AND SUBSIDIARIES
CONSOLIDATED STATEMENT OF CHANGES IN SHAREHOLDERS’ EQUITY
(in millions)
For the year ended December 31, 2008 2007 2006
Convertible preferred stock—savings plan
Balance, beginning of year .......................................... $ 112 $ 129 $ 153
Redemptions during year ........................................... (23) (17) (24)
Balance, end of year .............................................. 89 112 129
Common stock
Balance, beginning of year .......................................... 18,990 18,530 18,096
Employee share-based compensation ................................... 114 260 260
Compensation amortization under share-based plans and other changes ............. 138 164 174
Conversion of convertible notes ....................................... —36 —
Balance, end of year .............................................. 19,242 18,990 18,530
Retained earnings
Balance, beginning of year .......................................... 11,110 7,253 3,750
Net income .................................................... 2,924 4,601 4,208
Dividends ..................................................... (715) (742) (701)
Other ........................................................ (5) (2) (4)
Balance, end of year .............................................. 13,314 11,110 7,253
Accumulated other changes in equity from nonowner sources, net of tax
Balance, beginning of year .......................................... 670 452 351
Change in net unrealized gain on investment securities ........................ (764) 167 126
Net change in benefit plan assets and obligations recognized in equity .............. (405) (50) (80)
Net change in unrealized foreign currency translation and other changes ............ (401) 101 55
Balance, end of year .............................................. (900) 670 452
Treasury stock (at cost)
Balance, beginning of year .......................................... (4,266) (1,229) (47)
Treasury shares acquired—share repurchase authorization ...................... (2,122) (2,947) (1,121)
Net shares acquired related to employee share-based compensation plans ........... (38) (90) (61)
Balance, end of year .............................................. (6,426) (4,266) (1,229)
Total common shareholders’ equity ................................... 25,230 26,504 25,006
Total shareholders’ equity ......................................... $25,319 $26,616 $25,135
Common shares outstanding
Balance, beginning of year .......................................... 627.8 678.3 693.4
Shares acquired—share repurchase authorization ........................... (45.0) (56.0) (22.8)
Net shares issued under employee share-based compensation plans ................ 2.3 4.8 7.7
Shares issued pursuant to conversion of convertible notes ...................... —0.7 —
Balance, end of year .............................................. 585.1 627.8 678.3
Summary of changes in equity from nonowner sources
Net income .................................................... $ 2,924 $ 4,601 $ 4,208
Other changes in equity from nonowner sources, net of tax ..................... (1,570) 218 181
Total changes in equity from nonowner sources ............................. $ 1,354 $ 4,819 $ 4,389
See notes to consolidated financial statements.
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