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CONSOLIDATED CONDENSED STATEMENTS OF CASH FLOWS - USD ($)
$ in Thousands
6 Months Ended
Jun. 30, 2020
Jun. 30, 2019
Cash flows from operating activities    
Net income $ 239,070 $ 296,512
Adjustments to reconcile net income to net cash used in operating activities:    
Realized (gains) losses - investments/derivatives 18,009 (96,623)
Amortization of DAC and VOBA 35,455 64,210
Capitalization of DAC (227,613) (237,576)
Depreciation and amortization expense 39,042 36,880
Deferred income tax 58,244 (226,166)
Accrued income tax 1,764 43,854
Interest credited to universal life and investment products 768,536 593,993
Policy fees assessed on universal life and investment products (892,002) (829,697)
Change in reinsurance receivables 449 210,233
Change in accrued investment income and other receivables 38,277 21,636
Change in policy liabilities and other policyholders’ funds of traditional life and health products (481,911) (352,503)
Trading securities:    
Maturities and principal reductions of investments 42,685 54,501
Sale of investments 327,165 254,573
Cost of investments acquired (446,310) (204,187)
Other net change in trading securities 19,839 (43,145)
Amortization of premiums and accretion of discounts on investments and commercial mortgage loans 160,278 147,427
Change in other liabilities 522,796 267,006
Other, net 94,750 (87,065)
Net cash provided by (used in) operating activities 318,523 (86,137)
Cash flows from investing activities    
Maturities and principal reductions of investments, available-for-sale 1,626,618 898,461
Sale of investments, available-for-sale 1,731,970 2,019,496
Cost of investments acquired, available-for-sale (4,389,170) (3,235,873)
Commercial mortgage loans:    
New lendings (677,027) (476,310)
Repayments 334,088 518,663
Change in investment real estate, net 84 178
Change in policy loans, net 17,591 30,778
Change in other long-term investments, net 252,067 64,968
Change in short-term investments, net 191,681 (340,603)
Net unsettled security transactions (174,631) (263,560)
Purchase of property, equipment, and intangibles (19,777) (15,235)
Payment for business acquisition, net of cash acquired 0 (731,457)
Net cash used in investing activities (1,106,506) (1,530,494)
Cash flows from financing activities    
Secured financing liabilities (132,958) (368,445)
Capital contributions from parent 0 850,000
Deposits to universal life and investment contracts 2,921,231 3,309,880
Withdrawals from universal life and investment contracts (1,726,399) (2,149,967)
Other financing activities, net (196) (485)
Net cash provided by financing activities 1,061,678 1,640,983
Change in cash 273,695 24,352
Cash at beginning of period 171,752 151,400
Cash at end of period $ 445,447 $ 175,752