DERIVATIVE FINANCIAL INSTRUMENTS (Tables)

9 Months Ended

Sep. 30, 2016

Derivative Instruments and Hedging Activities Disclosure [Abstract]

Realized Investments Gains and Losses

The following table sets forth realized investments gains and losses for the periods shown:

Realized investment gains (losses) - derivative financial instruments

	Successor Company												Predecessor Company
	For The Three Months Ended September 30, 2016			For The Three Months Ended September 30, 2015			For The Nine Months Ended September 30, 2016			February 1, 2015 to September 30, 2015			January 1, 2015 to January 31, 2015
	(Dollars In Thousands)												(Dollars In Thousands)
Derivatives related to VA contracts:
Interest rate futures - VA	$	(7,002	)	$	12,140		$	62,065		$	(2,091	)	$	1,413
Equity futures - VA	(41,836		)	40,951			(66,392		)	3,215			9,221
Currency futures - VA	934			4,000			5,888			1,428			7,778
Equity options - VA	(36,482		)	33,519			(23,410		)	8,195			3,047
Interest rate swaptions - VA	(229		)	(3,618		)	(3,212		)	(12,399		)	9,268
Interest rate swaps - VA	14,737			101,808			221,884			(74,150		)	122,710
Embedded derivative - GMWB	90,954			(253,630		)	(246,299		)	(7,713		)	(207,018		)
Total derivatives related to VA contracts	21,076			(64,830		)	(49,476		)	(83,515		)	(53,581		)
Derivatives related to FIA contracts:
Embedded derivative - FIA	(14,486		)	11,328			(15,938		)	9,035			1,769
Equity futures - FIA	2,236			709			4,269			1,016			(184		)
Volatility futures - FIA	—			(24		)	—			6			—
Equity options - FIA	6,583			(12,099		)	1,756			(6,499		)	(2,617		)
Total derivatives related to FIA contracts	(5,667		)	(86		)	(9,913		)	3,558			(1,032		)
Derivatives related to IUL contracts:
Embedded derivative - IUL	7,136			1,287			6,302			3,082			(486		)
Equity futures - IUL	101			17			(71		)	39			3
Equity options - IUL	1,607			(1,110		)	1,821			(1,048		)	(115		)
Total derivatives related to IUL contracts	8,844			194			8,052			2,073			(598		)
Embedded derivative - Modco reinsurance treaties	(24,187		)	(9,817		)	(105,362		)	131,505			(68,026		)
Other derivatives	50			(51		)	(50		)	33			(37		)
Total realized gains (losses) - derivatives	$	116		$	(74,590	)	$	(156,749	)	$	53,654		$	(123,274	)

Realized Investments Gains and Losses for the Modco Trading Portfolio that is Included in Realized Investment Gains (Losses) - All Other Investments

The following table sets forth realized investments gains and losses for the Modco trading portfolio that is included in realized investment gains (losses) — all other investments.

Realized investment gains (losses) - all other investments

	Successor Company									Predecessor Company
	For The Three Months Ended September 30, 2016		For The Three Months Ended September 30, 2015		For The Nine Months Ended September 30, 2016		February 1, 2015 to September 30, 2015			January 1, 2015 to January 31, 2015
	(Dollars In Thousands)									(Dollars In Thousands)
Modco trading portfolio(1)	$	23,995	$	8,377	$	178,353	$	(133,524	)	$	73,062

(1)The Company elected to include the use of alternate disclosures for trading activities.

Components of the Gain or Loss on Derivatives that Qualify as a Cash Flow Hedging Relationship

The following table presents the components of the gain or loss on derivatives that qualify as a cash flow hedging relationship. The Company did not have any derivatives that qualified as a cash flow hedging relationships for the three and nine months ended September 30, 2016 (Successor Company) and for the three months ended September 30, 2015 (Successor Company).

Gain (Loss) on Derivatives in Cash Flow Hedging Relationship

Amount of Gains (Losses) Deferred in Accumulated Other Comprehensive Income (Loss) on Derivatives	Amount and Location of Gains (Losses) Reclassified from Accumulated Other Comprehensive Income (Loss) into Income (Loss)	Amount and Location of (Losses) Recognized in Income (Loss) on Derivatives
(Effective Portion)	(Effective Portion)	(Ineffective Portion)
	Benefits and settlement	Realized investment
	expenses	gains (losses)
	(Dollars In Thousands)

Successor Company
February 1, 2015 to September 30, 2015
Inflation	$	(131	)	$	(131	)	$	73
Total	$	(131	)	$	(131	)	$	73

Predecessor Company
January 1, 2015 to January 31, 2015
Inflation	$	13	$	(36	)	$	(7	)
Total	$	13	$	(36	)	$	(7	)

Information about the Nature and Accounting Treatment of the Company's Primary Derivative Financial Instruments and Location in and Effect on the Financial Statements

The table below present information about the nature and accounting treatment of the Company’s primary derivative financial instruments and the location in and effect on the consolidated condensed financial statements for the periods presented below:

	Successor Company
	As of September 30, 2016				As of December 31, 2015
	Notional Amount		Fair Value		Notional Amount		Fair Value
	(Dollars In Thousands)				(Dollars In Thousands)
Other long-term investments
Derivatives not designated as hedging instruments:
Interest rate swaps	$	1,640,000	$	267,389	$	1,435,000	$	66,408
Embedded derivative - Modco reinsurance treaties	64,411		2,787		64,593		1,215
Embedded derivative - GMWB	2,646,039		67,264		3,769,601		95,614
Interest rate futures	796,694		2,256		282,373		1,537
Equity futures	45,261		556		262,485		1,275
Currency futures	321,917		4,735		226,936		2,499
Equity options	3,542,544		311,158		2,198,340		179,458
Interest rate swaptions	225,000		451		225,000		3,663
Other	212		123		242		347
	$	9,282,078	$	656,719	$	8,464,570	$	352,016
Other liabilities
Derivatives not designated as hedging instruments:
Interest rate swaps	$	70,000	$	1,658	$	475,000	$	16,579
Embedded derivative - Modco reinsurance treaties	2,455,121		254,285		2,473,427		178,362
Embedded derivative - GMWB	7,898,699		496,987		6,539,658		277,236
Embedded derivative - FIA	1,408,469		141,651		1,110,790		100,329
Embedded derivative - IUL	90,848		46,348		57,760		29,629
Interest rate futures	480,897		7,419		793,763		1,539
Equity futures	862,034		9,504		233,412		2,599
Currency futures	81,768		447		46,692		1,115
Equity options	2,202,799		110,712		1,205,204		22,167
	$	15,550,635	$	1,069,011	$	12,935,706	$	629,555