The Hartford 2008 Annual Report Download - page 215

Table of Contents
Net realized capital losses increased by $143
Net realized capital losses increased from $17 in 2006 to $160 in 2007, primarily due to an increase in impairments and
decreases in the fair value of non-qualifying derivatives attributable to changes in value associated with credit derivatives
due to credit spread widening. Impairments in 2007 primarily consisted of impairments of asset-backed securities backed by
sub-prime residential mortgage loans and impairments of corporate securities in the financial services and homebuilders
sectors. (See the Other-Than-Temporary Impairments discussion within Investment Results for more information on the
impairments recorded in 2007).
Other expenses increased by $26
Other expenses increased by $26, primarily due to $49 of interest charged by Corporate on the amount of capital held by the
Property & Casualty operation in excess of the amount needed to support the capital requirements of the Property &
Casualty operation, partially offset by a reduction in the estimated cost of legal settlements in 2007.
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Source: HARTFORD FINANCIAL S, 10-K, February 12, 2009