Mercury Insurance 2008 Annual Report Download - page 74

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64
A summary of net realized investment gains and losses is as follows:
2008 2007 2006
Net realized (losses) gains from investments and other liabilities:
Fixed maturities (280,522)$ (12,830)$ (3,611)$
Equity securities (281,316) 32,141 9,283
Short-term investments (4,177) (8,342) (2,832)
Other liabilities * 15,495 9,839 12,596
Total (550,520)$ 20,808$ 15,436$
(Amounts in thousands)
Year ended December 31,
* Other liabilities include call option and short sale transactions
Net realized gains and losses from investments included losses of $527.7 million related to trading securities which were
still held at December 31, 2008.
Net realized investment gains and losses included investment impairment write-downs of $22.7 million and $2.0 million
in 2007 and 2006, respectively. In addition, in 2007, net realized investment gains and losses also included $2.0 million gain and
$1.4 million loss related to the change in the fair value of trading securities and hybrid financial instruments, respectively.
Gross gains and losses realized on the sales of investments (excluding calls) are shown below:
2008 2007 2006
Fixed maturities available for sale:
Gross realized gains -$ 1,626$ 541$
Gross realized losses - (4,196) (3,778)
Ne
t
-$ (2,570)$ (3,237)$
Fixed maturities trading:
Gross realized gains 5,436$ -$ -$
Gross realized losses (11,855) - -
Ne
t
(6,419)$ -$ -$
Equity securities available for sale:
Gross realized gains -$ 69,288$ 30,990$
Gross realized losses - (20,773) (10,955)
Ne
t
-$ 48,515$ 20,035$
Equity securities trading:
Gross realized gains 26,795$ 7,145$ -$
Gross realized losses (54,489) (5,431) -
Ne
t
(27,694)$ 1,714$ -$
Short-term investments (804)$ (8,342)$ (2,832)$
(Amounts in thousands)
Year ended December 31,