Supplemental Cash Flow Information

12 Months Ended

Dec. 31, 2013

Supplemental Cash Flow Information

Supplemental Cash Flow Information

4.  Supplemental Cash Flow Information

Non-cash modifications of certain mortgage loans, fixed income securities, limited partnership interests and other investments, as well as mergers completed with equity securities, totaled $306 million, $231 million and $486 million in 2013, 2012 and 2011, respectively.

Liabilities for collateral received in conjunction with the Company’s securities lending program were $322 million, $543 million and $220 million as of December 31, 2013, 2012 and 2011, respectively, and are reported in other liabilities and accrued expenses.  Obligations to return cash collateral for over-the-counter (“OTC”) and cleared derivatives were $6 million, $18 million and $43 million as of December 31, 2013, 2012 and 2011, respectively, and are reported in other liabilities and accrued expenses or other investments.  The accompanying cash flows are included in cash flows from operating activities in the Consolidated Statements of Cash Flows along with the activities resulting from management of the proceeds, which for the years ended December 31 are as follows:

($ in millions)		2013		2012		2011
Net change in proceeds managed
Net change in short-term investments	$	235	$	(298)	$	202
Operating cash flow provided (used)		235		(298)		202
Net change in cash		(2)		--		--
Net change in proceeds managed	$	233	$	(298)	$	202
Net change in liabilities
Liabilities for collateral, beginning of year	$	(561)	$	(263)	$	(465)
Liabilities for collateral, end of year		(328)		(561)		(263)
Operating cash flow (used) provided	$	(233)	$	298	$	(202)

In 2011, a payable associated with the pension benefit obligations due to AIC totaling $4 million was forgiven.  The forgiveness of the payable reflects a non-cash financing activity.