Prudential 2006 Annual Report Download - page 176

PRUDENTIAL FINANCIAL, INC.
Notes to Consolidated Financial Statements
20. SEGMENT INFORMATION (continued)
The Asset Management segment revenues include intersegment revenues of $342 million, $358 million and $348 million for
the years ended December 31, 2006, 2005 and 2004, respectively, primarily consisting of asset-based management and
administration fees. Management has determined the intersegment revenues with reference to market rates. Intersegment revenues
are eliminated in consolidation in Corporate and Other.
The summary below presents total assets for the Company’s reportable segments at December 31,
Assets
2006 2005 2004
(in millions)
Individual Life ...................................................................... $ 33,041 $ 29,523 $ 28,188
Individual Annuities ................................................................. 69,153 59,790 56,310
Group Insurance .................................................................... 29,342 23,949 24,250
Total Insurance Division .......................................................... 131,536 113,262 108,748
Asset Management .................................................................. 38,524 29,354 24,795
Financial Advisory .................................................................. 1,520 1,929 1,151
Retirement ......................................................................... 125,604 118,620 116,593
Total Investment Division ......................................................... 165,648 149,903 142,539
International Insurance ............................................................... 59,211 54,186 57,761
International Investments ............................................................. 6,191 4,915 4,443
Total International Insurance and Investments Division .................................. 65,402 59,101 62,204
Corporate Operations ................................................................. 16,301 17,570 14,815
Real Estate and Relocation Services ..................................................... 1,380 1,053 942
Total Corporate and Other ......................................................... 17,681 18,623 15,757
Total Financial Services Businesses ..................................................... 380,267 340,889 329,248
Closed Block Business ............................................................... 73,999 72,485 71,580
Total .......................................................................... $454,266 $413,374 $400,828
21. COMMITMENTS AND GUARANTEES, CONTINGENT LIABILITIES AND LITIGATION AND
REGULATORY MATTERS
Commitments and Guarantees
The Company occupies leased office space in many locations under various long-term leases and has entered into numerous
leases covering the long-term use of computers and other equipment. Rental expense, net of sub-lease income, incurred for the years
ended December 31, 2006, 2005 and 2004 was $175 million, $192 million and $199 million, respectively.
The following table presents, at December 31, 2006, the Company’s contractual maturities on long-term debt, as more fully
described in Note 12, and future minimum lease payments under non-cancelable operating leases along with associated sub-lease
income:
Long-term
Debt
Operating
Leases
Sub-lease
Income
(in millions)
2007 .......................................................................... $ — $182 $ (42)
2008 .......................................................................... 1,623 136 (34)
2009 .......................................................................... 178 110 (30)
2010 .......................................................................... 168 86 (18)
2011 .......................................................................... 510 71 (10)
2012 and thereafter ............................................................... 8,944 205 (15)
Total .......................................................................... $11,423 $790 $(149)
PRUDENTIAL FINANCIAL, INC. 2006 ANNUAL REPORT
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