Travelers 2011 Annual Report Download - page 173

THE TRAVELERS COMPANIES, INC. AND SUBSIDIARIES
CONSOLIDATED STATEMENT OF CHANGES IN SHAREHOLDERS’ EQUITY
(in millions)
For the year ended December 31, 2011 2010 2009
Convertible preferred stock—savings plan
Balance, beginning of year ......................................... $68$79$89
Redemptions .................................................. (5) (11) (10)
Conversion to common stock ....................................... (63) ——
Balance, end of year ............................................. —68 79
Common stock
Balance, beginning of year ......................................... 20,162 19,593 19,242
Employee share-based compensation .................................. 328 420 210
Common shares issued—conversion of preferred stock ....................... 93 ——
Compensation amortization under share-based plans and other changes ........... 149 149 141
Balance, end of year ............................................. 20,732 20,162 19,593
Retained earnings
Balance, beginning of year ......................................... 18,847 16,315 13,314
Cumulative effect of adoption of updated accounting guidance at April 1, 2009 ...... ——71
Net income ................................................... 1,426 3,216 3,622
Dividends .................................................... (669) (677) (696)
Premium on preferred stock converted to common stock ..................... (30) ——
Other ....................................................... 5(7) 4
Balance, end of year ............................................. 19,579 18,847 16,315
Accumulated other changes in equity from nonowner sources, net of tax
Balance, beginning of year ......................................... 1,255 1,219 (900)
Cumulative effect of adoption of updated accounting guidance at April 1, 2009 ...... —— (71)
Change in net unrealized gain (loss) on investment securities:
Having no credit losses recognized in the consolidated statement of income ....... 1,010 (77) 1,942
Having credit losses recognized in the consolidated statement of income ......... 280 131
Net change in benefit plan assets and obligations recognized in equity ............ (201) 27 (88)
Net change in unrealized foreign currency translation and other changes ........... (61) 6 205
Balance, end of year ............................................. 2,005 1,255 1,219
Treasury stock (at cost)
Balance, beginning of year ......................................... (14,857) (9,791) (6,426)
Treasury shares acquired—share repurchase authorization .................... (2,900) (5,000) (3,300)
Net shares acquired related to employee share-based compensation plans .......... (82) (66) (65)
Balance, end of year ............................................. (17,839) (14,857) (9,791)
Total common shareholders’ equity .................................. 24,477 25,407 27,336
Total shareholders’ equity ........................................ $ 24,477 $ 25,475 $27,415
Common shares outstanding
Balance, beginning of year ......................................... 434.6 520.3 585.1
Treasury shares acquired—share repurchase authorization .................... (51.0) (95.7) (69.4)
Net shares issued under employee share-based compensation plans .............. 7.7 10.0 4.6
Common shares issued—conversion of preferred stock ....................... 1.5 ——
Balance, end of year ............................................. 392.8 434.6 520.3
Summary of changes in equity from nonowner sources
Net income ................................................... $ 1,426 $ 3,216 $ 3,622
Other changes in equity from nonowner sources, net of tax .................... 750 36 2,190
Total changes in equity from nonowner sources ........................... $ 2,176 $ 3,252 $ 5,812
See notes to consolidated financial statements.
161