Discontinued Operations (Tables)

6 Months Ended

Jun. 30, 2022

Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items]

Summary of Operating Results Related to Discontinued Operations

A summary of operating results related to Genworth Australia reported as discontinued operations was as follows for the periods indicated:

 

(Amounts in millions)	Three months ended June 30, 2021		Six months ended June 30, 2021
Revenues:
Premiums	$	—	$	51
Net investment income		—		4
Net investment gains (losses)		—		(5	)
Total revenues		—		50
Benefits and expenses:
Benefits and other changes in policy reserves		—		11
Acquisition and operating expenses, net of deferrals		—		7
Amortization of deferred acquisition costs and intangibles		—		6
Interest expense		—		1
Total benefits and expenses		—		25
Income before income taxes and loss on sale (1)		—		25
Provision for income taxes		—		8
Income before loss on sale		—		17
Loss on sale, net of taxes		—		(3	)
Income from discontinued operations, net of taxes		—		14
Less: net income from discontinued operations attributable to noncontrolling interests		—		8
Income from discontinued operations available to Genworth Financial, Inc.’s common stockholders	$	—	$	6

(1) The six months ended June 30, 2021, includes pre-tax income from discontinued operations available to Genworth Financial, Inc.’s common stockholders of $13 million.

Assets and liabilities held for sale and operating results related to discontinued operations

The following table presents the amounts owed to AXA under the settlement agreement reflected as liabilities related to discontinued operations in our condensed consolidated balance sheets as of the periods presented:

(Amounts in millions)	British Pounds						U.S. Dollar
	June 30, 2022			December 31, 2021			June 30, 2022			December 31, 2021
Installment payments due to AXA:
June 2022:
Beginning balance	£	—		£	159		$	—		$	217
Prepayments (1)		—			(159	)		—			(217	)
Ending balance		—			—			—			—
September 2022:
Beginning balance		—			187			—			256
Amounts billed as future losses		—			45			—			61
Prepayments (1)		—			(232	)		—			(324	)
Foreign exchange and other		—			—			—			7
Ending balance		—			—			—			—
Total amounts due under the promissory note		—			—			—			—
Future claims:
Estimated beginning balance		22			79			30			108
Plus: Additional amounts invoiced		2			—			2			—
Change in estimated future claims		—			(10	)		—			(14	)
Less: Amounts billed and included as mandatory prepayments		—			(45	)		—			(61	)
Less: Amounts paid		(23	)		(2	)		(31	)		(3	)
Foreign exchange and other		—			—			—			—
Estimated future claims		1			22			1			30
Total amounts due to AXA under the settlement agreement	£	1		£	22		$	1		$	30

(1) On March 3, 2021, we completed the sale of Genworth Australia and received net proceeds of approximately AUD483 million ($370 million). The sale of Genworth Australia resulted in a mandatory principal payment of approximately £176 million ($245 million) related to our outstanding secured promissory note issued to AXA, dated as of July 20, 2020, as amended by the parties in connection with the Genworth Australia sale. On September 21, 2021, we used a portion of the net proceeds from the minority IPO of Enact Holdings to repay the remaining outstanding balance of the secured promissory note of approximately £215 million ($296 million).