Consolidated Variable Interest Entities (Tables)

3 Months Ended

Mar. 31, 2014

Consolidation of Variable Interest Entities [abstract]

Number of Consolidated FG VIE's

Number of FG VIE's Consolidated

	As of March 31, 2014		As of December 31, 2013
Beginning of the period	40		33
Consolidated (1)	—		11
Deconsolidated (1)	(7	)	(3	)
Matured	(2	)	(1	)
End of the period	31		40

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(1) Net gain on deconsolidation was $120 million in First Quarter 2014, and a net loss on consolidation and deconsolidation was $7 million in 2013, and recorded in “fair value gains (losses) on FG VIEs” in the consolidated statement of operations.

Consolidated FG VIEs By Type of Collateral

Consolidated FG VIEs

By Type of Collateral

	As of March 31, 2014				As of December 31, 2013
	Assets		Liabilities		Assets		Liabilities
	(in millions)
With recourse:
First lien	$	505	$	599	$	630	$	791
Second lien	256		387		460		640
Other	360		360		359		359
Total with recourse	1,121		1,346		1,449		1,790
Without recourse	136		101		1,116		1,081
Total	$	1,257	$	1,447	$	2,565	$	2,871

Effect of Consolidating FG VIEs on Net Income and Shareholder's Equity

Effect of Consolidating FG VIEs on Net Income,

Cash Flows From Operating Activities and Shareholders’ Equity

	First Quarter
	2014			2013
	(in millions)
Net earned premiums	$	(17	)	$	(18	)
Net investment income	(3		)	(3		)
Net realized investment gains (losses)	0			1
Fair value gains (losses) on FG VIEs	157			70
Other income	(2		)	—
Loss and LAE	(1		)	(7		)
Effect on net income before tax provision	134			43
Less: tax provision (benefit)	47			15
Effect on net income (loss)	$	87		$	28
Effect on cash flows from operating activities	$	(8	)	$	21

	As of March 31, 2014			As of December 31, 2013
	(in millions)
Effect on shareholders’ equity (decrease) increase	$	(87	)	$	(172	)