Pending Disposition

3 Months Ended

Mar. 31, 2014

Discontinued Operations and Disposal Groups [Abstract]

3. Pending Disposition

On February 14, 2014, the Company entered into a definitive agreement to sell its wholly-owned subsidiary, MAL, for an expected gross consideration of $705 million (£424 million) in cash. The transaction is expected to close in the second quarter of 2014, subject to regulatory approvals and satisfaction of other closing conditions. As a result of this agreement, an expected loss of $495 million ($343 million, net of income tax), which includes a reduction to goodwill of $60 million, was recorded for the three months ended March 31, 2014, and is reflected within net investment gains (losses) on the consolidated statement of operations and comprehensive income (loss). MAL’s results of operations are included in continuing operations and were historically reported in the Corporate Benefit Funding segment. See Note 2.

The carrying amount of major classes of assets and liabilities related to the MAL disposition were as follows at:



	March 31, 2014
	(In millions)
Total investments	$	5,028
Total assets	$	5,347

Other liabilities (1)	$	741
Future policy benefits	$	3,645
Total liabilities	$	4,508

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(1)	Includes an estimate of $435 million ($292 million, net of income tax) related to the loss on sale.