Derivative Financial Instruments (Tables)

3 Months Ended

Dec. 31, 2014

Fair Value of Outstanding Derivative Contracts in Condensed Consolidated Balance Sheets

The fair value of outstanding derivative contracts recorded in the accompanying unaudited Condensed Consolidated Balance Sheets were as follows:



Asset Derivatives	Classification	December 31, 2014		September 30, 2014
Derivatives designated as hedging instruments:
Interest rate contracts	Other assets	$	0.6	$	0.6
Commodity swap and option agreements	Receivables, net	0.4		1.3
Foreign exchange contracts	Other assets	0.1		0.3
Foreign exchange contracts	Receivables, net	16.9		12.0
Total asset derivatives designated as hedging instruments		18.0		14.2
Derivatives not designated as hedging instruments:
Commodity contracts	Receivables, net	19.5		1.9
Call options	Derivatives	306.2		296.3
Other embedded derivatives	Other invested assets	11.8		11.2
Foreign exchange contracts	Receivables, net	0.3		0.5
Total asset derivatives		$	355.8	$	324.1

Summary of Gain (Loss) Recognized in Income on Derivatives

During the three months ended December 31, 2014 and 2013, the Company recognized the following gains and losses on these derivatives:



		Three months ended December 31,
Classification	Derivatives Not Designated as Hedging Instruments	2014			2013
Revenues:
Net investment gains	Call options	$	41.3		$	114.3
	Futures contracts	4.2			13.1
	Change in fair value of other embedded derivatives	0.6			—

Operating costs and expenses:
Cost of consumer products and other goods sold	Commodity contracts	$	—		$	(0.1	)
Benefits and other changes in policy reserves	FIA embedded derivatives	232.1			100.3

Other income and expense:
Loss from the change in the fair value of the equity conversion feature of preferred stock	Equity conversion feature of preferred stock	$	—		$	(47.2	)
Other income (expense), net	Oil and natural gas commodity contracts	18.7			(3.4		)
	Foreign exchange contracts	(1.7		)	0.8

Volumes and Fair Value of Oil and Natural Gas Derivative Financial Instruments

The following table presents Compass’ volumes and fair value of the oil derivative financial instrument as of December 31, 2014 (presented on a calendar-year basis):



(in millions, except volumes and prices)	Volume Mmmbtus/Mbbls	Weighted average strike price per Mmbtu/Bbl		Fair Value at December 31, 2014
Natural gas swaps:
2015	10,950	$	3.95	$	10.0
Oil swaps:
2015	250	$	94.98	9.5
Total oil and natural gas derivatives				$	19.5

Call options [Member]

Derivative [Line Items]

FGL's Exposure to Credit Loss on Call Options Held

Information regarding FGL’s exposure to credit loss on the call options it holds is presented in the following table:



		December 31, 2014								September 30, 2014
Counterparty	Credit Rating (Fitch/Moody's/S&P) (a)	Notional Amount		Fair Value		Collateral		Net Credit Risk		Notional Amount		Fair Value		Collateral		Net Credit Risk
Merrill Lynch	A/*/A	$	2,004.8	$	74.6	$	38.4	$	36.2	$	2,239.9	$	92.7	$	52.5	$	40.2
Deutsche Bank	A+/A3/A	3,205.6		123.0		95.8		27.2		2,810.0		108.0		72.5		35.5
Morgan Stanley	*/A3/A	2,681.8		96.9		79.0		17.9		2,294.7		85.0		63.0		22.0
Barclay's Bank	A/A2/A	259.3		11.7		—		11.7		258.0		10.6		—		10.6
		$	8,151.5	$	306.2	$	213.2	$	93.0	$	7,602.6	$	296.3	$	188.0	$	108.3