Ameriprise 2005 Annual Report Download - page 102

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During 2001, we also recognized pretax losses of approximately $1 billion (including $182 million and $826 million in the first and second quarters,
respectively) from the write down and sale of certain high-yield debt securities. The second quarter pretax losses of $826 million included $403 million
to recognize the impact of higher default rate assumptions on certain structured investments; $344 million to write down lower-rated securities (most of
which were sold in 2001) in connection with our decision to lower our risk profile by reducing the size of our high-yield portfolio, allocating our invest-
ment portfolio toward stronger credits, and reducing the concentration of exposure to individual companies and industry sectors; and $79 million to
write down certain other investments.
On January 1, 2001, we adopted the FASB’s consensus on EITF Issue No. 99-20, “Recognition of Interest Income and Impairment on Purchased and
Retained Beneficial Interests in Securitized Financial Assets,” which resulted in a cumulative effect of accounting change that reduced 2001 results by
approximately $22 million (approximately $34 million pretax).
Additionally, on January 1, 2001, we adopted SFAS No. 133, which resulted in a cumulative effect of accounting change that reduced 2001 results by
approximately $1 million (approximately $2 million pretax).
(e) Derived from audited consolidated financial statements.
(f) Derived from unaudited consolidated financial statements.
(g) Total assets as of December 31, 2004, 2003, 2002 and 2001 include assets of discontinued operations of $5,873 million, $4,807 million, $4,829
million, and $4,505 million, respectively.
(h) Total liabilities as of December 31, 2004, 2003, 2002 and 2001 include liabilities of discontinued operations of $5,631 million, $4,579 million,
$4,575 million and $4,319 million, respectively.
100 |Ameriprise Financial, Inc.