The Hartford 2010 Annual Report Download - page 213

THE HARTFORD FINANCIAL SERVICES GROUP, INC.
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (continued)
F-85
17. Pension Plans and Postretirement Health Care and Life Insurance Benefit Plans (continued)
Investment Valuation
For further discussion on the valuation of investments, see Note 4.
Pension Plan Assets
The fair values of the Company's pension plan assets at December 31, 2010, by asset category are as follows:
Pension Plan Assets at Fair Value as of December 31, 2010
Asset Category Level 1 Level 2 Level 3 Total
Short-term investments [1] $ 75 $ 406 $ — $ 477
Fixed Income Securities:
Corporate — 882 3 906
RMBS — 450 9 459
U.S. Treasuries 7 330 — 336
Foreign government — 61 2 42
CMBS — 174 1 175
Other fixed income [2] — 56 7 63
Equity Securities:
Large-cap domestic — 496 — 501
Mid-cap domestic 62 — — 62
Small-cap domestic 47 — — 47
International 248 — — 248
Other investments:
Hedge funds — — 635 635
Total pension plan assets at fair value [3] $ 439 $ 2,855 $ 657 $ 3,951
[1] Includes $30 of initial margin requirements related to the Plan’s duration overlay program.
[2] Includes ABS and municipal bonds.
[3] Excludes approximately $61 of investment payables net of investment receivables that are not carried at fair value. Also excludes approximately
$32 of interest receivable carried at fair value.
The fair values of the Company's pension plan assets at December 31, 2009, by asset category are as follows:
Pension Plan Assets at Fair Value as of December 31, 2009
Asset Category Level 1 Level 2 Level 3 Total
Short-term investments [1] $ 197 $ 98 $ — $ 295
Fixed Income Securities:
Corporate — 903 12 915
RMBS — 368 24 392
U.S. Treasuries 9 279 — 288
Foreign government — 80 2 82
CMBS — 113 — 113
Other fixed income [2] — 19 8 27
Equity Securities:
Large-cap domestic — 435 — 435
Mid-cap domestic 130 — — 130
Small-cap domestic 82 — — 82
International 313 — — 313
Other equity securities [3] — 1 — 1
Other investments:
Hedge funds — — 501 501
Total pension plan assets at fair value [4] $ 731 $ 2,296 $ 547 $ 3,574
[1] Includes $47 of initial margin requirements related to the Plan’s duration overlay program.
[2] Includes ABS and municipal bonds.
[3] Includes private placement bonds with a coupon and preferred stock with a coupon.
[4] Excludes approximately $67 of investment payables net of investment receivables that are not carried at fair value. Also excludes approximately
$19 of interest receivable carried at fair value.