SHAREHOLDERS’ EQUITY

The following table is a reconciliation of the number of shares of the Company's common stock for the nine-month periods ended September 30.



(In thousands of shares)	2017		2016
Common stock - issued:
Balance, beginning of period	671,249		669,723
Exercise of stock options and issuance of restricted shares	1,420		1,261
Balance, end of period	672,669		670,984
Treasury stock:
Balance, beginning of period	265,439		245,343
Purchases of treasury stock:
Open market	13,898		18,774
Other	435		329
Dispositions of treasury stock:
Shares issued to AFL Stock Plan	(696	)	(822	)
Exercise of stock options	(263	)	(554	)
Other	(19	)	(107	)
Balance, end of period	278,794		262,963
Shares outstanding, end of period	393,875		408,021

Outstanding share-based awards are excluded from the calculation of weighted-average shares used in the computation of basic earnings per share (EPS). The following table presents the approximate number of share-based awards to purchase shares, on a weighted-average basis, that were considered to be anti-dilutive and were excluded from the calculation of diluted earnings per share for the following periods.



	Three Months Ended September 30,				Nine Months Ended September 30,
(In thousands)	2017		2016		2017		2016
Anti-dilutive share-based awards		266		109		335		1,162

Share Repurchase Program

During the first nine months of 2017, the Company repurchased 13.9 million shares of its common stock in the open market for $1.0 billion as part of its share repurchase program. During the first nine months of 2016, the Company repurchased 18.8 million shares of its common stock in the open market for $1.2 billion as part of its share repurchase program. In August 2017, the Company's board of directors authorized the purchase of an additional 40 million shares of its common stock. As of September 30, 2017, a remaining balance of 52.9 million shares of the Company's common stock was available for purchase under share repurchase authorizations by its board of directors.

Reclassifications from Accumulated Other Comprehensive Income

The tables below are reconciliations of accumulated other comprehensive income by component for the following periods.

Changes in Accumulated Other Comprehensive Income



Three Months Ended September 30, 2017
(In millions)	Unrealized Foreign Currency Translation Gains (Losses)				Unrealized Gains (Losses) on Investment Securities				Unrealized Gains (Losses) on Derivatives				Pension Liability Adjustment				Total
Balance, beginning of period		$	(1,580	)		$	5,173			$	(23	)		$	(169	)		$	3,401
Other comprehensive income (loss) before reclassification		(135		)		296				0				(2		)		159
Amounts reclassified from accumulated other comprehensive income (loss)		0				(32		)		0				3				(29		)
Net current-period other comprehensive income (loss)		(135		)		264				0				1				130
Balance, end of period		$	(1,715	)		$	5,437			$	(23	)		$	(168	)		$	3,531

All amounts in the table above are net of tax.



Three Months Ended September 30, 2016
(In millions)	Unrealized Foreign Currency Translation Gains (Losses)				Unrealized Gains (Losses) on Investment Securities				Unrealized Gains (Losses) on Derivatives				Pension Liability Adjustment				Total
Balance, beginning of period		$	(847	)		$	6,441			$	(19	)		$	(143	)		$	5,432
Other comprehensive income (loss) before reclassification		253				(342		)		0				(1		)		(90		)
Amounts reclassified from accumulated other comprehensive income (loss)		0				21				0				1				22
Net current-period other comprehensive income (loss)		253				(321		)		0				0				(68		)
Balance, end of period		$	(594	)		$	6,120			$	(19	)		$	(143	)		$	5,364

All amounts in the table above are net of tax.



Nine Months Ended September 30, 2017
(In millions)	Unrealized Foreign Currency Translation Gains (Losses)				Unrealized Gains (Losses) on Investment Securities				Unrealized Gains (Losses) on Derivatives				Pension Liability Adjustment				Total
Balance, beginning of period		$	(1,983	)		$	4,805			$	(24	)		$	(168	)		$	2,630
Other comprehensive income (loss) before reclassification		268				653				1				(8		)		914
Amounts reclassified from accumulated other comprehensive income (loss)		0				(21		)		0				8				(13		)
Net current-period other comprehensive income (loss)		268				632				1				0				901
Balance, end of period		$	(1,715	)		$	5,437			$	(23	)		$	(168	)		$	3,531

All amounts in the table above are net of tax.



Nine Months Ended September 30, 2016
(In millions)	Unrealized Foreign Currency Translation Gains (Losses)				Unrealized Gains (Losses) on Investment Securities				Unrealized Gains (Losses) on Derivatives				Pension Liability Adjustment				Total
Balance, beginning of period		$	(2,196	)		$	2,986			$	(26	)		$	(139	)		$	625
Other comprehensive income (loss) before reclassification		1,602				3,155				7				(7		)		4,757
Amounts reclassified from accumulated other comprehensive income (loss)		0				(21		)		0				3				(18		)
Net current-period other comprehensive income (loss)		1,602				3,134				7				(4		)		4,739
Balance, end of period		$	(594	)		$	6,120			$	(19	)		$	(143	)		$	5,364

All amounts in the table above are net of tax.

The tables below summarize the amounts reclassified from each component of accumulated other comprehensive income based on source for the following periods.

Reclassifications Out of Accumulated Other Comprehensive Income



(In millions)	Three Months Ended September 30, 2017
Details about Accumulated Other Comprehensive Income Components	Amount Reclassified from Accumulated Other Comprehensive Income				Affected Line Item in the Statements of Earnings
Unrealized gains (losses) on available-for-sale securities		$	56		Sales and redemptions
		(6		)	Other-than-temporary impairment losses realized
		50			Total before tax
		(18		)	Tax (expense) or benefit⁽¹⁾
		$	32		Net of tax
Amortization of defined benefit pension items:
Actuarial gains (losses)		$	(4	)	Acquisition and operating expenses⁽²⁾
Prior service (cost) credit		0			Acquisition and operating expenses⁽²⁾
		1			Tax (expense) or benefit⁽¹⁾
		$	(3	)	Net of tax
Total reclassifications for the period		$	29		Net of tax

⁽¹⁾Based on 35% tax rate

⁽²⁾These accumulated other comprehensive income components are included in the computation of net periodic pension cost (see Note 11 for additional details).



(In millions)	Three Months Ended September 30, 2016
Details about Accumulated Other Comprehensive Income Components	Amount Reclassified from Accumulated Other Comprehensive Income				Affected Line Item in the Statements of Earnings
Unrealized gains (losses) on available-for-sale securities		$	(11	)	Sales and redemptions
		(22		)	Other-than-temporary impairment losses realized
		(33		)	Total before tax
		12			Tax (expense) or benefit⁽¹⁾
		$	(21	)	Net of tax
Amortization of defined benefit pension items:
Actuarial gains (losses)		$	(4	)	Acquisition and operating expenses⁽²⁾
Prior service (cost) credit		2			Acquisition and operating expenses⁽²⁾
		1			Tax (expense) or benefit⁽¹⁾
		$	(1	)	Net of tax
Total reclassifications for the period		$	(22	)	Net of tax

⁽¹⁾Based on 35% tax rate

⁽²⁾These accumulated other comprehensive income components are included in the computation of net periodic pension cost (see Note 11 for additional details)



(In millions)	Nine Months Ended September 30, 2017
Details about Accumulated Other Comprehensive Income Components	Amount Reclassified from Accumulated Other Comprehensive Income				Affected Line Item in the Statements of Earnings
Unrealized gains (losses) on available-for-sale securities		$	56		Sales and redemptions
		(23		)	Other-than-temporary impairment losses realized
		33			Total before tax
		(12		)	Tax (expense) or benefit⁽¹⁾
		$	21		Net of tax
Amortization of defined benefit pension items:
Actuarial gains (losses)		$	(12	)	Acquisition and operating expenses⁽²⁾
Prior service (cost) credit		0			Acquisition and operating expenses⁽²⁾
		4			Tax (expense) or benefit⁽¹⁾
		$	(8	)	Net of tax
Total reclassifications for the period		$	13		Net of tax

⁽¹⁾Based on 35% tax rate

⁽²⁾These accumulated other comprehensive income components are included in the computation of net periodic pension cost (see Note 11 for additional details).



(In millions)	Nine Months Ended September 30, 2016
Details about Accumulated Other Comprehensive Income Components	Amount Reclassified from Accumulated Other Comprehensive Income				Affected Line Item in the Statements of Earnings
Unrealized gains (losses) on available-for-sale securities		$	102		Sales and redemptions
		(69		)	Other-than-temporary impairment losses realized
		33			Total before tax
		(12		)	Tax (expense) or benefit⁽¹⁾
		$	21		Net of tax
Amortization of defined benefit pension items:
Actuarial gains (losses)		$	(12	)	Acquisition and operating expenses⁽²⁾
Prior service (cost) credit		8			Acquisition and operating expenses⁽²⁾
		1			Tax (expense) or benefit⁽¹⁾
		$	(3	)	Net of tax
Total reclassifications for the period		$	18		Net of tax

⁽¹⁾Based on 35% tax rate

⁽²⁾These accumulated other comprehensive income components are included in the computation of net periodic pension cost (see Note 11 for additional details).