Voya 2014 Annual Report Download - page 396

Voya Financial, Inc.
Notes to the Consolidated Financial Statements
(Dollar amounts in millions, unless otherwise stated)
Operating revenues is a measure of the Company’s segment revenues. Each segment’s Operating revenues are
calculated by adjusting Total revenues to exclude the following items:
• Net realized investment gains (losses) and related charges and adjustments include gains (losses) on the
sale of securities, impairments, changes in the fair value of investments using the FVO unrelated to the
implied loan-backed security income recognition for certain mortgage-backed obligations and changes
in the fair value of derivative instruments, excluding realized gains (losses) associated with swap
settlements and accrued interest. These are net of related amortization of unearned revenue;
• Gain (loss) on change in fair value of derivatives related to guaranteed benefits include changes in the
fair value of derivatives related to guaranteed benefits, less the estimated cost of these benefits. The
estimated cost, which is reflected in operating results, reflects the expected cost of these benefits if
markets perform in line with the Company’s long-term expectations and includes the cost of hedging.
Other derivative and reserve changes related to guaranteed benefits are excluded from Operating
revenues, including the impacts related to changes in the Company’s nonperformance spread;
• Revenues related to businesses exited through reinsurance or divestment (including net investment
gains (losses) on securities sold directly related to these transactions);
• Revenues attributable to noncontrolling interest; and
• Other adjustments to Operating revenues primarily reflect fee income earned by the Company’s broker-
dealers for sales of non-proprietary products, which are reflected net of commission expense in the
Company’s segments’ Operating revenues, as well as other items where the income is passed on to
third parties.
Operating revenues also do not reflect the revenues of the Company’s CBVA segment, since this segment is
managed to focus on protecting regulatory and rating agency capital rather than achieving operating metrics.
When the Company presents the adjustments to total revenues on a consolidated basis, each adjustment excludes
the relative portions attributable to the Company’s CBVA segment.
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