Voya 2013 Annual Report Download - page 356

ING U.S., Inc.
Notes to the Consolidated Financial Statements
(Dollar amounts in millions, unless otherwise stated)
IIM generated revenues and incurred expenses of $26.0 and $15.0, respectively, with ING V, ING Group and
other affiliates under the following operating agreements. As of December 31, 2012, IIM generated revenues and
incurred expenses of $20.0 and $8.8, respectively, with ING V, ING Group and other affiliates under the
following operating agreements. As of December 31, 2011, IIM generated revenues and incurred expenses of
$20.6 and $17.8, respectively, with ING V and Other Affiliates, under the following operating agreements:
• IIM manages, co-manages, and distributes certain investment products for various affiliates. For the
years ended December 31, 2013, 2012 and 2011, revenue earned under these agreements was
$25.7, $20.0 and $19.1, respectively.
• IIM receives distribution fees for the sale of certain offshore funds to U.S. clients and closed end funds
in the U.S. For the year ended December 31, 2013, revenue under these arrangements was $0.3. For the
year ended December 31, 2012 there was no revenue under these arrangements. For the year ended
December 31, 2011, revenue under these agreements was $1.5.
• IIM pays sub advisory and other fees to certain affiliates related to the management of mutual funds
and other investment products. For the years ended December 31, 2013, 2012 and 2011, fees incurred
under these agreements were $15.0, $12.3 and $23.1, respectively.
• IIM provided IT support, management oversight, risk management, procurement services, and trade
processing to certain affiliates and is reimbursed for a share of the related costs. For the year ended
December 31, 2013, there were no expenses reimbursed to IIM under these agreements. For the years
ended December 31, 2012 and 2011, expenses reimbursed to IIM under these agreements were $3.9
and $8.2, respectively.
• IIM received allocation of expenses from affiliates located outside of U.S. for staff and projects costs.
For the year ended December 31, 2013, there were no costs incurred under these agreements. For the
years ended December 31, 2012 and 2011, costs incurred under these agreements were $0.4 and $2.9,
respectively.
As of December 31, 2013, the Company had net receivables of $2.2 resulting from operating agreements with
other affiliates, ING Bank and ING V of $0.6, $1.3 and $0.3, respectively. As of December 31, 2012, the
Company had net receivables of $1.9 resulting from operating agreements with other affiliates, ING Group and
ING V of $1.1, $0.7 and $0.1, respectively.
Administrative Overhead Allocations
The Company is allocated expenses for various administrative and corporate services provided by ING Group.
Net allocations were $2.2, $6.6 and $25.6 for the years ended December 31, 2013, 2012 and 2011, respectively.
Latin America Service Arrangements
Prior to the divestiture of ING Group’s Latin American pensions, life insurance and investment management
businesses in December 2011, the Company provided a variety of services to its Latin American affiliates,
including personnel, legal, compliance, IT, finance and accounting and other services pursuant to an agreement
with one of ING’s Latin American subsidiaries. The Company incurred net expenses of $24.6 for the year ended
December 31, 2011. In 2012, this agreement was replaced by a transition services agreement between the
Company and ING Group pursuant to which the Company has continued providing certain of these services
through the end of 2013. The Company was reimbursed by ING Group for the entire $1.7 and $30.1 of expenses
incurred for the years ended December 31, 2013 and 2012. In June 2012, as part of an agreement with ING
Group, the Company was reimbursed by ING Group for $22.0 of expenses incurred during 2011.
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