Assurant 2012 Annual Report Download - page 120

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ASSURANT, INC.2012 Form10-KF-44
19 Statutory Information
Non-Stock Based Incentive Plans
Deferred Compensation
e deferred compensation programs consist of the AIP, the ASIC
and the ADC Plans.  e AIP and ASIC Plans provided key employees
the ability to exchange a portion of their compensation for options to
purchase certain third-party mutual funds.  e AIP and ASIC Plans
were frozen in December2004 and no additional contributions can
be made to either Plan. E ective March1, 2005 and amended and
restated on January1, 2008, the ADC Plan was established in order
to comply with the American Jobs Creation Act of 2004 (“Jobs Act”)
and IRC Section409A.  e ADC Plan provides key employees the
ability to defer a portion of their eligible compensation to be notionally
invested in a variety of mutual funds. Deferrals and withdrawals under
the ADC Plan are intended to be fully compliant with the Jobs Act
de nition of eligible compensation and distribution requirements.
17. Stock Repurchase
e following table shows the shares repurchased during the periods indicated:
Period in 2012 Number of
SharesPurchased
Average Price
Paid Per Share Total Number of Shares Purchased as
Part of Publicly Announced Programs
January 978,000 $ 39.50 978,000
February 528,000 43.37 528,000
March 912,000 41.47 912,000
April 912,800 39.58 912,800
May 1,062,000 34.58 1,062,000
June 2,581,021 33.83 2,581,021
July 1,444,639 34.52 1,444,639
August 180,000 34.78 180,000
September 1,449,000 37.07 1,449,000
October 852,000 39.15 852,000
November 0 0 0
December 0 0 0
TOTAL 10,899,460 $ 36.95 10,899,460
On January18, 2011, the Company’s Board of Directors authorized
the Company to repurchase up to $600,000 of its outstanding common
stock. On May14, 2012, the Company’s Board of Directors authorized
the Company to repurchase up to an additional $600,000 of its
outstanding common stock, making the total remaining under the
authorization $733,275 as of that date.
During the year ended December31, 2012, the Company repurchased
10,899,460 shares of the Company’s outstanding common stock at a
cost of $402,492, exclusive of commissions, leaving $502,900 remaining
under the total repurchase authorization at December31, 2012.
18. Accumulated Other Comprehensive Income
Certain amounts included in the consolidated statements of comprehensive income are net of reclassi cation adjustments.  e following table
summarizes those reclassi cation adjustments as of the dates indicated:
(in thousands)
Year Ended December31,
2012 2011 2010
Reclassi cation of net realized gains on sales of securities included in net income, net of taxes $ 27,503 $ 15,907 $ 26,544
Reclassi cation of net realized losses on sales of securities previously written down included in net
income, net of taxes $ (77) $ (994) $ (1,034)
Reclassi cation of amortization of prior service cost included in net income, net of taxes $ 15,155 $ 10,334 $ 9,820
19. Statutory Information
e Company’s insurance subsidiaries prepare  nancial statements on the
basis of statutory accounting practices (“SAP”) prescribed or permitted
by the insurance departments of their states of domicile. Prescribed
SAP includes the Accounting Practices and Procedures Manual of the
National Association of Insurance Commissioners (“NAIC”) as well
as state laws, regulations and administrative rules.
e principal di erences between SAP and GAAP are: 1) policy
acquisition costs are expensed as incurred under SAP, but are deferred