FAIR VALUE OF FINANCIAL INSTRUMENTS (Tables)

6 Months Ended

Jun. 30, 2015

Assets and liabilities measured at fair value on a recurring basis

The following table presents the Company’s hierarchy for its assets and liabilities measured at fair value on a recurring basis as of June 30, 2015 (Successor Company):

	Level 1		Level 2		Level 3		Total
	(Dollars In Thousands)
Assets:
Fixed maturity securities - available-for-sale
Residential mortgage-backed securities	$	—	$	1,576,823	$	3	$	1,576,826
Commercial mortgage-backed securities	—		1,203,156		—		1,203,156
Other asset-backed securities	—		208,586		590,885		799,471
U.S. government-related securities	1,091,530		510,000		—		1,601,530
State, municipalities, and political subdivisions	—		1,585,068		—		1,585,068
Other government-related securities	—		18,782		—		18,782
Corporate securities	82		25,057,864		1,111,431		26,169,377
Preferred stock	61,667		—		—		61,667

Total fixed maturity securities - available-for-sale	1,153,279		30,160,279		1,702,319		33,015,877


Fixed maturity securities - trading
Residential mortgage-backed securities	—		298,138		—		298,138
Commercial mortgage-backed securities	—		146,314		—		146,314
Other asset-backed securities	—		108,837		160,594		269,431
U.S. government-related securities	236,424		4,840		—		241,264
State, municipalities, and political subdivisions	—		307,411		—		307,411
Other government-related securities	—		58,090		—		58,090
Corporate securities	—		1,399,192		19,316		1,418,508
Preferred stock	7,576		—		—		7,576

Total fixed maturity securities - trading	244,000		2,322,822		179,910		2,746,732

Total fixed maturity securities	1,397,279		32,483,101		1,882,229		35,762,609
Equity securities	641,429		11,308		69,720		722,457
Other long-term investments(1)	109,761		115,590		169,596		394,947
Short-term investments	191,745		12,922		—		204,667

Total investments	2,340,214		32,622,921		2,121,545		37,084,680
Cash	568,776		—		—		568,776
Other assets	17,835		—		—		17,835
Assets related to separate accounts
Variable annuity	13,313,000		—		—		13,313,000
Variable universal life	859,114		—		—		859,114

Total assets measured at fair value on a recurring basis	$	17,098,939	$	32,622,921	$	2,121,545	$	51,843,405


Liabilities:
Annuity account balances(2)	$	—	$	—	$	95,178	$	95,178
Other liabilities (1)	71,454		19,352		427,765		518,571

Total liabilities measured at fair value on a recurring basis	$	71,454	$	19,352	$	522,943	$	613,749

(1)Includes certain freestanding and embedded derivatives.

(2)Represents liabilities related to fixed indexed annuities.

The following table presents the Company’s hierarchy for its assets and liabilities measured at fair value on a recurring basis as of December 31, 2014 (Predecessor Company):

	Level 1		Level 2		Level 3		Total
	(Dollars In Thousands)
Assets:
Fixed maturity securities - available-for-sale
Residential mortgage-backed securities	$	—	$	1,418,255	$	3	$	1,418,258
Commercial mortgage-backed securities	—		1,177,252		—		1,177,252
Other asset-backed securities	—		275,415		563,961		839,376
U.S. government-related securities	1,165,188		263,707		—		1,428,895
State, municipalities, and political subdivisions	—		1,684,014		3,675		1,687,689
Other government-related securities	—		20,172		—		20,172
Corporate securities	132		26,059,712		1,325,683		27,385,527


Total fixed maturity securities - available-for-sale	1,165,320		30,898,527		1,893,322		33,957,169



Fixed maturity securities - trading
Residential mortgage-backed securities	—		288,114		—		288,114
Commercial mortgage-backed securities	—		151,111		—		151,111
Other asset-backed securities	—		105,118		169,461		274,579
U.S. government-related securities	245,563		4,898		—		250,461
State, municipalities, and political subdivisions	—		325,446		—		325,446
Other government-related securities	—		57,032		—		57,032
Corporate securities	—		1,447,333		24,744		1,472,077


Total fixed maturity securities - trading	245,563		2,379,052		194,205		2,818,820


Total fixed maturity securities	1,410,883		33,277,579		2,087,527		36,775,989
Equity securities	630,910		99,266		73,054		803,230
Other long-term investments (1)	119,997		106,079		67,894		293,970
Short-term investments	244,100		6,545		—		250,645


Total investments	2,405,890		33,489,469		2,228,475		38,123,834
Cash	379,411		—		—		379,411
Other assets	11,669		—		—		11,669
Assets related to separate accounts
Variable annuity	13,157,429		—		—		13,157,429
Variable universal life	834,940		—		—		834,940


Total assets measured at fair value on a recurring basis	$	16,789,339	$	33,489,469	$	2,228,475	$	52,507,283



Liabilities:
Annuity account balances (2)	$	—	$	—	$	97,825	$	97,825
Other liabilities (1)	62,146		3,741		754,852		820,739


Total liabilities measured at fair value on a recurring basis	$	62,146	$	3,741	$	852,677	$	918,564

(1)Includes certain freestanding and embedded derivatives.

(2)Represents liabilities related to fixed indexed annuities.

Schedule of the valuation method for material financial instruments included in Level 3, as well as the unobservable inputs used in the valuation of the financial instruments

	Successor
	Company
	Fair Value
	As of		Valuation	Unobservable	Range
	June 30, 2015		Technique	Input	(Weighted Average)
	(Dollars In Thousands)
Assets:
Other asset-backed securities	$	590,885	Discounted cash flow	Liquidity premium	0.55% - 1.50% (1.03%)
				Paydown rate	9.95% - 14.69% (12.57%)
Corporate securities	1,084,954		Discounted cash flow	Spread over	0.58% - 12.00% (2.25%)
				Treasury
Embedded derivatives - GMWB(1)	59,888		Actuarial cash flow model	Mortality	1994 MGDB table with
					company experience
				Lapse	0.29% - 17%, depending on
					product/duration/funded
					status of guarantee
				Utilization	99%. 10% of policies have a
					one-time over-utilization of
					400%
				Nonperformance risk	0.16% - 1.04%
Liabilities:
Annuity account balances(2)	$	95,178	Actuarial cash flow model	Asset earned rate	3.71% - 5.77%
				Expenses	$80 per policy
				Withdrawal rate	2.20%
				Mortality	1994 MGDB table with
					company experience
				Lapse	2.2% - 33.0%, depending
					on duration/surrender
					charge period
				Return on assets	1.50% - 1.85% depending on
					duration/surrender
					charge period
				Nonperformance risk	0.16% - 1.04%
Embedded derivative - FIA	85,129		Actuarial cash flow model	Expenses	$80 per policy
				Withdrawal rate	1.1% - 4.5% depending on
					duration and tax qualification
				Mortality	1994 MGDB table with
					company experience
				Lapse	2.5% - 40.0%, depending
					on duration/surrender
					charge period
				Nonperformance risk	0.16% - 1.04%
Embedded derivative - IUL	11,902		Actuarial cash flow model	Mortality	44% - 137% of 2014
					VBT Primary Tables
				Lapse	0.5% - 10.0%, depending on
					duration/distribution channel
					and smoking class
				Nonperformance risk	0.16% - 1.04%

(1)The fair value for the GMWB embedded derivative is presented as a net asset for the purposes of this chart. Excludes modified coinsurance arrangements.

(2)Represents liabilities related to fixed indexed annuities.

	Predecessor
	Company
	Fair Value
	As of		Valuation	Unobservable	Range
	December 31, 2014		Technique	Input	(Weighted Average)
	(Dollars In Thousands)
Assets:
Other asset-backed securities	$	563,752	Discounted cash flow	Liquidity premium	0.39% - 1.49% (0.69%)
				Paydown rate	9.70% - 15.80% (12.08%)
Corporate securities	1,282,864		Discounted cash flow	Spread over	0.33% - 7.50% (2.19%)
				treasury
Liabilities:
Embedded derivatives - GMWB(1)	$	245,090	Actuarial cash flow model	Mortality	44.5% to 100% of 1994
					MGDB table
				Lapse	0.25% - 17%, depending on
					product/duration/funded
					status of guarantee
				Utilization	97% - 101%
				Nonperformance risk	0.12% - 0.96%
Annuity account balances(2)	97,825		Actuarial cash flow model	Asset earned rate	3.86% - 5.92%
				Expenses	$88 - $102 per policy
				Withdrawal rate	2.20%
				Mortality	49% to 80% of 1994
					MGDB table
				Lapse	2.2% - 33.0%, depending
					on duration/surrender
					charge period
				Return on assets	1.50% - 1.85% depending on
					surrender charge period
				Nonperformance risk	0.12% - 0.96%
Embedded derivative - FIA	124,465		Actuarial cash flow model	Expenses	$83 - $97 per policy
				Withdrawal rate	1.1% - 4.5% depending on
					duration and tax qualification
				Mortality	49% to 80% of 1994
					MGDB table
				Lapse	2.5% - 40.0%, depending
					on duration/surrender
					charge period
				Nonperformance risk	0.12% - 0.96%
Embedded derivative - IUL	6,691		Actuarial cash flow model	Mortality	37% - 74% of 2008
					VBT Primary Tables
				Lapse	0.5% - 10.0%, depending
					on duration/distribution
					channel and smoking class
				Nonperformance risk	0.12% - 0.96%

(1)The fair value for the GMWB embedded derivative is presented as a net liability. Excludes modified coinsurance arrangements.

(2)Represents liabilities related to fixed indexed annuities.

Schedule of reconciliation of the beginning and ending balances for fair value measurements, for which the Company has used significant unobservable inputs (Level 3)

The following table presents a reconciliation of the beginning and ending balances for fair value measurements for the three months ended June 30, 2015 (Successor Company), for which the Company has used significant unobservable inputs (Level 3):

																														Total
																														Gains (losses)
																														included in
			Total				Total																							Earnings
			Realized and Unrealized				Realized and Unrealized																							related to
			Gains				Losses																							Instruments
					Included in					Included in																				still held at
					Other					Other												Transfers								the
	Beginning		Included in		Comprehensive		Included in			Comprehensive												in/out of						Ending		Reporting
	Balance		Earnings		Income		Earnings			Income			Purchases		Sales			Issuances		Settlements		Level 3			Other			Balance		Date
	(Dollars In Thousands)
Assets:
Fixed maturity securities available-for-sale
Residential mortgage-backed securities	$	3	$	—	$	—	$	—		$	—		$	—	$	—		$	—	$	—	$	—		$	—		$	3	$	—
Commercial mortgage-backed securities	—		—		—		—			—			—		—			—		—		—			—			—		—
Other asset-backed securities	600,132		—		165		(92		)	(9,323		)	—		(87		)	—		—		—			90			590,885		—
U.S. government-related securities	—		—		—		—			—			—		—			—		—		—			—			—		—
States, municipals, and political subdivisions	—		—		—		—			—			—		—			—		—		—			—			—		—
Other government-related securities	—		—		—		—			—			—		—			—		—		—			—			—		—
Corporate securities	1,283,142		3,656		4,001		(687		)	(24,247		)	89,929		(219,148		)	—		—		(21,803		)	(3,412		)	1,111,431		—

Total fixed maturity securities - available-for-sale	1,883,277		3,656		4,166		(779		)	(33,570		)	89,929		(219,235		)	—		—		(21,803		)	(3,322		)	1,702,319		—
Fixed maturity securities - trading
Residential mortgage-backed securities	—		—		—		—			—			—		—			—		—		—			—			—		—
Commercial mortgage-backed securities	—		—		—		—			—			—		—			—		—		—			—			—		—
Other asset-backed securities	170,500		589		—		(5,173		)	—			—		(5,468		)	—		—		—			146			160,594		(4,587		)
U.S. government-related securities	—		—		—		—			—			—		—			—		—		—			—			—		—
States, municipals and political subdivisions	—		—		—		—			—			—		—			—		—		—			—			—		—
Other government-related securities	—		—		—		—			—			—		—			—		—		—			—			—		—
Corporate securities	19,614		140		—		(233		)	—			—		(161		)	—		—		—			(44		)	19,316		(93		)

Total fixed maturity securities - trading	190,114		729		—		(5,406		)	—			—		(5,629		)	—		—		—			102			179,910		(4,680		)
Total fixed maturity securities	2,073,391		4,385		4,166		(6,185		)	(33,570		)	89,929		(224,864		)	—		—		(21,803		)	(3,220		)	1,882,229		(4,680		)
Equity securities	69,951		—		—		—			—			—		(231		)	—		—		—			—			69,720		—
Other long-term investments(1)	122,894		46,702		—		—			—			—		—			—		—		—			—			169,596		46,702
Short-term investments	—		—		—		—			—			—		—			—		—		—			—			—		—

Total investments	2,266,236		51,087		4,166		(6,185		)	(33,570		)	89,929		(225,095		)	—		—		(21,803		)	(3,220		)	2,121,545		42,022

Total assets measured at fair value on a recurring basis	$	2,266,236	$	51,087	$	4,166	$	(6,185	)	$	(33,570	)	$	89,929	$	(225,095	)	$	—	$	—	$	(21,803	)	$	(3,220	)	$	2,121,545	$	42,022


Liabilities:
Annuity account balances(2)	$	97,108	$	—	$	—	$	(911	)	$	—		$	—	$	—		$	72	$	2,913	$	—		$	—		$	95,178	$	—
Other liabilities(1)	627,515		224,194		—		(24,444		)	—			—		—			—		—		—			—			427,765		199,750

Total liabilities measured at fair value on a recurring basis	$	724,623	$	224,194	$	—	$	(25,355	)	$	—		$	—	$	—		$	72	$	2,913	$	—		$	—		$	522,943	$	199,750

(1)Represents certain freestanding and embedded derivatives.

(2)Represents liabilities related to fixed indexed annuities.

The following table presents a reconciliation of the beginning and ending balances for fair value measurements for the period of February 1, 2015 to June 30, 2015 (Successor Company), for which the Company has used significant unobservable inputs (Level 3):

																														Total
																														Gains (losses)
																														included in
			Total				Total																							Earnings
			Realized and Unrealized				Realized and Unrealized																							related to
			Gains				Losses																							Instruments
					Included in					Included in																				still held at
					Other					Other												Transfers								the
	Beginning		Included in		Comprehensive		Included in			Comprehensive												in/out of						Ending		Reporting
	Balance		Earnings		Income		Earnings			Income			Purchases		Sales			Issuances		Settlements		Level 3			Other			Balance		Date
	(Dollars In Thousands)
Assets:
Fixed maturity securities available-for-sale
Residential mortgage-backed securities	$	3	$	—	$	—	$	—		$	—		$	—	$	—		$	—	$	—	$	—		$	—		$	3	$	—
Commercial mortgage-backed securities	—		—		—		—			—			—		—			—		—		—			—			—		—
Other asset-backed securities	603,646		—		165		(92		)	(12,891		)	—		(127		)	—		—		—			184			590,885		—
U.S. government-related securities	—		—		—		—			—			—		—			—		—		—			—			—		—
States, municipals, and political subdivisions	3,675		—		—		—			—			—		(3,675		)	—		—		—			—			—		—
Other government-related securities	—		—		—		—			—			—		—			—		—		—			—			—		—
Corporate securities	1,307,259		4,291		15,619		(687		)	(24,247		)	111,929		(254,935		)	—		—		(41,853		)	(5,945		)	1,111,431		—


Total fixed maturity securities - available-for-sale	1,914,583		4,291		15,784		(779		)	(37,138		)	111,929		(258,737		)	—		—		(41,853		)	(5,761		)	1,702,319		—
Fixed maturity securities - trading
Residential mortgage-backed securities	—		—		—		—			—			—		—			—		—		—			—			—		—
Commercial mortgage-backed securities	—		—		—		—			—			—		—			—		—		—			—			—		—
Other asset-backed securities	169,473		3,949		—		(5,173		)	—			—		(7,876		)	—		—		—			221			160,594		(5,829		)
U.S. government-related securities	—		—		—		—			—			—		—			—		—		—			—			—		—
States, municipals and political subdivisions	—		—		—		—			—			—		—			—		—		—			—			—		—
Other government-related securities	—		—		—		—			—			—		—			—		—		—			—			—		—
Corporate securities	25,130		174		—		(299		)	—			—		(5,584		)	—		—		—			(105		)	19,316		(1,180		)


Total fixed maturity securities - trading	194,603		4,123		—		(5,472		)	—			—		(13,460		)	—		—		—			116			179,910		(7,009		)
Total fixed maturity securities	2,109,186		8,414		15,784		(6,251		)	(37,138		)	111,929		(272,197		)	—		—		(41,853		)	(5,645		)	1,882,229		(7,009		)
Equity securities	73,044		—		—		—			—			—		(231		)	—		—		—			(3,093		)	69,720		—
Other long-term investments(1)	93,274		76,342		—		(20		)	—			—		—			—		—		—			—			169,596		76,322
Short-term investments	—		—		—		—			—			—		—			—		—		—			—			—		—


Total investments	2,275,504		84,756		15,784		(6,271		)	(37,138		)	111,929		(272,428		)	—		—		(41,853		)	(8,738		)	2,121,545		69,313


Total assets measured at fair value on a recurring basis	$	2,275,504	$	84,756	$	15,784	$	(6,271	)	$	(37,138	)	$	111,929	$	(272,428	)	$	—	$	—	$	(41,853	)	$	(8,738	)	$	2,121,545	$	69,313



Liabilities:
Annuity account balances(2)	$	98,279	$	—	$	—	$	(1,544	)	$	—		$	—	$	—		$	86	$	4,731	$	—		$	—		$	95,178	$	—
Other liabilities(1)	742,130		358,811		—		(44,446		)	—			—		—			—		—		—			—			427,765		314,365


Total liabilities measured at fair value on a recurring basis	$	840,409	$	358,811	$	—	$	(45,990	)	$	—		$	—	$	—		$	86	$	4,731	$	—		$	—		$	522,943	$	314,365

(1)Represents certain freestanding and embedded derivatives.

(2)Represents liabilities related to fixed indexed annuities.

The following table presents a reconciliation of the beginning and ending balances for fair value measurements for period of January 1, 2015 to January 31, 2015 (Predecessor Company), for which the Company has used significant unobservable inputs (Level 3):

																													Total
																													Gains (losses)
																													included in
			Total				Total																						Earnings
			Realized and Unrealized				Realized and Unrealized																						related to
			Gains				Losses																						Instruments
					Included in					Included in																			still held at
					Other					Other												Transfers							the
	Beginning		Included in		Comprehensive		Included in			Comprehensive												in/out of					Ending		Reporting
	Balance		Earnings		Income		Earnings			Income			Purchases		Sales			Issuances		Settlements		Level 3		Other			Balance		Date
	(Dollars In Thousands)
Assets:
Fixed maturity securities available-for-sale
Residential mortgage-backed securities	$	3	$	—	$	—	$	—		$	—		$	—	$	—		$	—	$	—	$	—	$	—		$	3	$	—
Commercial mortgage-backed securities	—		—		—		—			—			—		—			—		—		—		—			—		—
Other asset-backed securities	563,961		—		—		—			(3,867		)	—		(32		)	—		—		43,205		379			603,646		—
U.S. government-related securities	—		—		—		—			—			—		—			—		—		—		—			—		—
States, municipals, and political subdivisions	3,675		—		—		—			—			—		—			—		—		—		—			3,675		—
Other government-related securities	—		—		—		—			—			—		—			—		—		—		—			—		—
Corporate securities	1,325,683		—		12,282		—			(23,029		)	—		(7,062		)	—		—		—		(615		)	1,307,259		—


Total fixed maturity securities - available-for-sale	1,893,322		—		12,282		—			(26,896		)	—		(7,094		)	—		—		43,205		(236		)	1,914,583		—
Fixed maturity securities - trading
Residential mortgage-backed securities	—		—		—		—			—			—		—			—		—		—		—			—		—
Commercial mortgage-backed securities	—		—		—		—			—			—		—			—		—		—		—			—		—
Other asset-backed securities	169,461		586		—		(139		)	—			—		(472		)	—		—		—		37			169,473		447
U.S. government-related securities	—		—		—		—			—			—		—			—		—		—		—			—		—
States, municipals and political subdivisions	—		—		—		—			—			—		—			—		—		—		—			—		—
Other government-related securities	—		—		—		—			—			—		—			—		—		—		—			—		—
Corporate securities	24,744		602		—		(196		)	—			—		(20		)	—		—		—		—			25,130		406


Total fixed maturity securities - trading	194,205		1,188		—		(335		)	—			—		(492		)	—		—		—		37			194,603		853
Total fixed maturity securities	2,087,527		1,188		12,282		(335		)	(26,896		)	—		(7,586		)	—		—		43,205		(199		)	2,109,186		853
Equity securities	73,054		—		—		—			(10		)	—		—			—		—		—		—			73,044		—
Other long-term investments(1)	67,894		753		—		(25,902		)	—			—		—			—		—		—		—			42,745		(25,149		)
Short-term investments	—		—		—		—			—			—		—			—		—		—		—			—		—


Total investments	2,228,475		1,941		12,282		(26,237		)	(26,906		)	—		(7,586		)	—		—		43,205		(199		)	2,224,975		(24,296		)


Total assets measured at fair value on a recurring basis	$	2,228,475	$	1,941	$	12,282	$	(26,237	)	$	(26,906	)	$	—	$	(7,586	)	$	—	$	—	$	43,205	$	(199	)	$	2,224,975	$	(24,296	)



Liabilities:
Annuity account balances(2)	$	97,825	$	—	$	—	$	(536	)	$	—		$	—	$	—		$	7	$	419	$	—	$	—		$	97,949	$	—
Other liabilities(1)	754,852		61		—		(253,773		)	—			—		—			—		—		—		—			1,008,564		(253,712		)


Total liabilities measured at fair value on a recurring basis	$	852,677	$	61	$	—	$	(254,309	)	$	—		$	—	$	—		$	7	$	419	$	—	$	—		$	1,106,513	$	(253,712	)

(1)Represents certain freestanding and embedded derivatives.

(2)Represents liabilities related to fixed indexed annuities.

The following table presents a reconciliation of the beginning and ending balances for fair value measurements for the three months ended June 30, 2014 (Predecessor Company), for which the Company has used significant unobservable inputs (Level 3):

																														Total
																														Gains (losses)
																														included in
			Total				Total																							Earnings
			Realized and Unrealized				Realized and Unrealized																							related to
			Gains				Losses																							Instruments
					Included in					Included in																				still held at
					Other					Other												Transfers								the
	Beginning		Included in		Comprehensive		Included in			Comprehensive												in/out of						Ending		Reporting
	Balance		Earnings		Income		Earnings			Income			Purchases		Sales			Issuances		Settlements		Level 3			Other			Balance		Date
	(Dollars In Thousands)
Assets:
Fixed maturity securities available-for-sale
Residential mortgage-backed securities	$	17	$	—	$	—	$	—		$	—		$	—	$	(7	)	$	—	$	—	$	—		$	—		$	10	$	—
Commercial mortgage-backed securities	—		—		—		—			—			—		—			—		—		—			—			—		—
Other asset-backed securities	548,805		—		29,929		—			(104		)	—		(9,534		)	—		—		—			(999		)	568,097		—
U.S. government-related securities	—		—		—		—			—			—		—			—		—		—			—			—		—
States, municipals, and political subdivisions	3,675		—		—		—			—			—		—			—		—		—			—			3,675		—
Other government-related securities	—		—		—		—			—			—		—			—		—		—			—			—		—
Corporate securities	1,573,710		74		27,271		—			(2,250		)	60,845		(65,172		)	—		—		(67,478		)	(2,703		)	1,524,297		—


Total fixed maturity securities - available-for-sale	2,126,207		74		57,200		—			(2,354		)	60,845		(74,713		)	—		—		(67,478		)	(3,702		)	2,096,079		—
Fixed maturity securities - trading
Residential mortgage-backed securities	—		—		—		—			—			842		—			—		—		—			—			842		—
Commercial mortgage-backed securities	—		—		—		—			—			—		—			—		—		—			—			—		—
Other asset-backed securities	194,664		6,124		—		(2,686		)	—			—		(21,883		)	—		—		—			167			176,386		522
U.S. government-related securities	—		—		—		—			—			—		—			—		—		—			—			—		—
States, municipals and political subdivisions	—		—		—		—			—			—		—			—		—		—			—			—		—
Other government-related securities	—		—		—		—			—			—		—			—		—		—			—			—		—
Corporate securities	30,946		340		—		(40		)	—			4,059		(5,047		)	—		—		1,250			12			31,520		280


Total fixed maturity securities - trading	225,610		6,464		—		(2,726		)	—			4,901		(26,930		)	—		—		1,250			179			208,748		802
Total fixed maturity securities	2,351,817		6,538		57,200		(2,726		)	(2,354		)	65,746		(101,643		)	—		—		(66,228		)	(3,523		)	2,304,827		802
Equity securities	81,493		—		965		—			—			—		(674		)	—		—		—			—			81,784		—
Other long-term investments(1)	143,808		240		—		(20,747		)	—			—		—			—		—		—			—			123,301		(20,507		)
Short-term investments	—		—		—		—			—			—		—			—		—		—			—			—		—


Total investments	2,577,118		6,778		58,165		(23,473		)	(2,354		)	65,746		(102,317		)	—		—		(66,228		)	(3,523		)	2,509,912		(19,705		)


Total assets measured at fair value on a recurring basis	$	2,577,118	$	6,778	$	58,165	$	(23,473	)	$	(2,354	)	$	65,746	$	(102,317	)	$	—	$	—	$	(66,228	)	$	(3,523	)	$	2,509,912	$	(19,705	)



Liabilities:
Annuity account balances(2)	$	105,593	$	—	$	—	$	(1,714	)	$	—		$	—	$	—		$	63	$	4,914	$	—		$	—		$	102,456	$	—
Other liabilities(1)	371,365		13		—		(113,395		)	—			—		—			—		—		—			—			484,747		(113,382		)


Total liabilities measured at fair value on a recurring basis	$	476,958	$	13	$	—	$	(115,109	)	$	—		$	—	$	—		$	63	$	4,914	$	—		$	—		$	587,203	$	(113,382	)

(1)Represents certain freestanding and embedded derivatives.

(2)Represents liabilities related to fixed indexed annuities.

The following table presents a reconciliation of the beginning and ending balances for fair value measurements for the six months ended June 30, 2014 (Predecessor Company), for which the Company has used significant unobservable inputs (Level 3):

																														Total
																														Gains (losses)
																														included in
			Total				Total																							Earnings
			Realized and Unrealized				Realized and Unrealized																							related to
			Gains				Losses																							Instruments
					Included in					Included in																				still held at
					Other					Other												Transfers								the
	Beginning		Included in		Comprehensive		Included in			Comprehensive												in/out of						Ending		Reporting
	Balance		Earnings		Income		Earnings			Income			Purchases		Sales			Issuances		Settlements		Level 3			Other			Balance		Date
	(Dollars In Thousands)
Assets:
Fixed maturity securities available-for-sale
Residential mortgage-backed securities	$	28	$	—	$	—	$	—		$	—		$	—	$	(18	)	$	—	$	—	$	—		$	—		$	10	$	—
Commercial mortgage-backed securities	—		—		—		—			—			—		—			—		—		—			—			—		—
Other asset-backed securities	545,808		—		34,066		—			(1,233		)	—		(9,794		)	—		—		—			(750		)	568,097		—
U.S. government-related securities	—		—		—		—			—			—		—			—		—		—			—			—		—
States, municipals, and political subdivisions	3,675		—		—		—			—			—		—			—		—		—			—			3,675		—
Other government-related securities	—		—		—		—			—			—		—			—		—		—			—			—		—
Corporate securities	1,549,940		969		54,288		—			(7,265		)	90,232		(103,039		)	—		—		(55,293		)	(5,535		)	1,524,297		—

Total fixed maturity securities - available-for-sale	2,099,451		969		88,354		—			(8,498		)	90,232		(112,851		)	—		—		(55,293		)	(6,285		)	2,096,079		—
Fixed maturity securities - trading
Residential mortgage-backed securities	—		—		—		—			—			842		—			—		—		—			—			842		—
Commercial mortgage-backed securities	—		—		—		—			—			—		—			—		—		—			—			—		—
Other asset-backed securities	194,977		6,851		—		(3,114		)	—			—		(22,695		)	—		—		—			367			176,386		654
U.S. government-related securities	—		—		—		—			—			—		—			—		—		—			—			—		—
States, municipals and political subdivisions	—		—		—		—			—			—		—			—		—		—			—			—		—
Other government-related securities	—		—		—		—			—			—		—			—		—		—			—			—		—
Corporate securities	29,199		878		—		(53		)	—			4,059		(5,110		)	—		—		2,522			25			31,520		—

Total fixed maturity securities - trading	224,176		7,729		—		(3,167		)	—			4,901		(27,805		)	—		—		2,522			392			208,748		654
Total fixed maturity securities	2,323,627		8,698		88,354		(3,167		)	(8,498		)	95,133		(140,656		)	—		—		(52,771		)	(5,893		)	2,304,827		654
Equity securities	71,881		—		1,192		—			(166		)	9,551		(674		)	—		—		—			—			81,784		—
Other long-term investments(1)	196,133		245		—		(73,077		)	—			—		—			—		—		—			—			123,301		(72,832		)
Short-term investments	—		—		—		—			—			—		—			—		—		—			—			—		—

Total investments	2,591,641		8,943		89,546		(76,244		)	(8,664		)	104,684		(141,330		)	—		—		(52,771		)	(5,893		)	2,509,912		(72,178		)

Total assets measured at fair value on a recurring basis	$	2,591,641	$	8,943	$	89,546	$	(76,244	)	$	(8,664	)	$	104,684	$	(141,330	)	$	—	$	—	$	(52,771	)	$	(5,893	)	$	2,509,912	$	(72,178	)


Liabilities:
Annuity account balances(2)	$	107,000	$	—	$	—	$	(3,123	)	$	—		$	—	$	—		$	175	$	7,842	$	—		$	—		$	102,456	$	—
Other liabilities(1)	270,630		25		—		(214,142		)	—			—		—			—		—		—			—			484,747		(214,117		)

Total liabilities measured at fair value on a recurring basis	$	377,630	$	25	$	—	$	(217,265	)	$	—		$	—	$	—		$	175	$	7,842	$	—		$	—		$	587,203	$	(214,117	)

(1)Represents certain freestanding and embedded derivatives.

(2)Represents liabilities related to fixed indexed annuities.

Schedule of the carrying amounts and estimated fair value of the Company's financial instruments

		Successor				Predecessor
		Company				Company
		As of				As of
		June 30, 2015				December 31, 2014
	Fair Value	Carrying				Carrying
	Level	Amounts		Fair Values		Amounts		Fair Values
		(Dollars In Thousands)				(Dollars In Thousands)
Assets:
Mortgage loans on real estate	3	$	5,677,667	$	5,542,878	$	5,133,780	$	5,524,059
Policy loans	3	1,719,864		1,719,864		1,758,237		1,758,237
Fixed maturities, held-to-maturity(1)	3	565,334		489,950		435,000		458,422

Liabilities:
Stable value product account balances	3	$	1,861,280	$	1,859,409	$	1,959,488	$	1,973,624
Annuity account balances	3	10,792,560		10,260,654		10,950,729		10,491,775

Debt:
Bank borrowings	3	$	545,000	$	545,000	$	450,000	$	450,000
Senior Notes	2	1,117,739		1,058,816		850,000		1,100,380
Subordinated debt securities	2	452,424		445,760		540,593		552,098
Non-recourse funding obligations(2)	3	656,299		590,305		582,404		578,212

Except as noted below, fair values were estimated using quoted market prices.

(1)

Security purchased from unconsolidated subsidiary, Red Mountain LLC.

(2)

Of this carrying amount, $470.0 million, fair value of $469.7 million, as of June 30, 2015 (Successor Company) and $435.0 million, fair value of $461.4 million, as of December 31, 2014 (Predecessor Company), relates to non-recourse funding obligations issued by Golden Gate V.