AIG 2008 Annual Report Download - page 243

Assets and Liabilities Measured at Fair Value on a Recurring Basis
The following table presents information about assets and liabilities measured at fair value on a
recurring basis and indicates the level of the fair value measurement based on the levels of the inputs used:
Level 1 Level 2 Level 3
Counterparty
Netting(a)
Cash
Collateral(b)
Total
December 31,
2008
(In millions)
Assets:
Bonds available for sale ......... $ 414 $344,237 $18,391 $ — $ — $363,042
Bond trading securities .......... 781 29,480 6,987 — — 37,248
Securities lending invested
collateral(c)................. — 2,966 435 — — 3,401
Common and preferred stocks
available for sale ............. 7,282 1,415 111 — — 8,808
Common and preferred stocks
trading .................... 11,199 1,133 3 — — 12,335
Mortgage and other loans
receivable .................. — 131 — — 131
Other invested assets(d).......... 1,853 6,175 11,168 — — 19,196
Unrealized gain on swaps, options
and forward transactions ....... 223 90,998 3,865 (74,217) (7,096) 13,773
Securities purchased under
agreements to resell........... — 3,960 — — — 3,960
Short-term investments .......... 3,247 16,069 — — — 19,316
Separate account assets .......... 47,902 2,410 830 — — 51,142
Other assets .................. — 44 325 — — 369
Total ......................... $72,901 $499,018 $42,115 $(74,217) $ (7,096) $532,721
Liabilities:
Policyholder contract deposits . . . . . $ — $ — $ 5,458 $ — $ — $ 5,458
Other policyholder funds ......... — — — — — —
Securities sold under agreements to
repurchase.................. — 4,423 85 — — 4,508
Securities and spot commodities
sold but not yet purchased ...... 1,124 1,569 — — — 2,693
Unrealized loss on swaps, options
and forward transactions(e) . . . . . 1 85,255 14,435 (74,217) (19,236) 6,238
Trust deposits and deposits due to
banks and other depositors...... — 30 — — — 30
Commercial paper.............. — 6,802 — — — 6,802
Other long-term debt............ — 15,448 1,147 — — 16,595
Other liabilities ................ — 1,355 — — — 1,355
Total ......................... $ 1,125 $114,882 $21,125 $(74,217) $(19,236) $ 43,679
(a) Represents netting of derivative exposures covered by a qualifying master netting agreement in accordance
with FIN 39.
(b) Represents cash collateral posted and received.
AIG 2008 Form 10-K 237
American International Group, Inc., and Subsidiaries
Notes to Consolidated Financial Statements — (Continued)