FAIR VALUE MEASUREMENTS

9 Months Ended

Sep. 30, 2014

5. FAIR VALUE MEASUREMENTS

Fair Value Measurements on a Recurring Basis

Assets and liabilities recorded at fair value in the Condensed Consolidated Balance Sheets are measured and classified in accordance with a fair value hierarchy consisting of three “levels” based on the observability of valuation inputs:

Level 1: Fair value measurements based on quoted prices in active markets that we have the ability to access for identical assets or liabilities. Market price data generally is obtained from exchange or dealer markets. We do not adjust the quoted price for such instruments.
Level 2: Fair value measurements based on inputs other than quoted prices included in Level 1 that are observable for the asset or liability, either directly or indirectly. Level 2 inputs include quoted prices for similar assets and liabilities in active markets, quoted prices for identical or similar assets or liabilities in markets that are not active, and inputs other than quoted prices that are observable for the asset or liability, such as interest rates and yield curves that are observable at commonly quoted intervals.
Level 3: Fair value measurements based on valuation techniques that use significant inputs that are unobservable. Both observable and unobservable inputs may be used to determine the fair values of positions classified in Level 3. The circumstances for using these measurements include those in which there is little, if any, market activity for the asset or liability. Therefore, we must make certain assumptions about the inputs a hypothetical market participant would use to value that asset or liability. In certain cases, the inputs used to measure fair value may fall into different levels of the fair value hierarchy. In such cases, the level in the fair value hierarchy within which the fair value measurement in its entirety falls is determined based on the lowest level input that is significant to the fair value measurement in its entirety.

Assets and Liabilities Measured at Fair Value on a Recurring Basis

The following table presents information about assets and liabilities measured at fair value on a recurring basis and indicates the level of the fair value measurement based on the observability of the inputs used:

December 31, 2013							Counterparty		Cash
(in millions)		Level 1		Level 2		Level 3		Netting^(a)	Collateral			Total
Assets:
Bonds available for sale:
U.S. government and government sponsored entities	$	133	$	3,062	$	-	$	-	$	-	$	3,195
Obligations of states, municipalities and political subdivisions		-		28,300		1,080		-		-		29,380
Non-U.S. governments		508		21,985		16		-		-		22,509
Corporate debt		-		143,297		1,255		-		-		144,552
RMBS		-		21,207		14,941		-		-		36,148
CMBS		-		5,747		5,735		-		-		11,482
CDO/ABS		-		4,034		6,974		-		-		11,008
Total bonds available for sale		641		227,632		30,001		-		-		258,274
Other bond securities:
U.S. government and government sponsored entities		78		5,645		-		-		-		5,723
Obligations of states, municipalities and political subdivisions		-		121		-		-		-		121
Non-U.S. governments		-		2		-		-		-		2
Corporate debt		-		1,169		-		-		-		1,169
RMBS		-		1,326		937		-		-		2,263
CMBS		-		509		844		-		-		1,353
CDO/ABS		-		3,158		8,834		-		-		11,992
Total other bond securities		78		11,930		10,615		-		-		22,623
Equity securities available for sale:
Common stock		3,218		-		1		-		-		3,219
Preferred stock		-		27		-		-		-		27
Mutual funds		408		2		-		-		-		410
Total equity securities available for sale		3,626		29		1		-		-		3,656
Other equity securities		750		84		-		-		-		834
Mortgage and other loans receivable		-		-		-		-		-		-
Other invested assets		1		2,667		5,930		-		-		8,598
Derivative assets:
Interest rate contracts		14		3,716		41		-		-		3,771
Foreign exchange contracts		-		52		-		-		-		52
Equity contracts		151		106		49		-		-		306
Commodity contracts		-		-		1		-		-		1
Credit contracts		-		-		55		-		-		55
Other contracts		-		1		33		-		-		34
Counterparty netting and cash collateral		-		-		-		(1,734)		(820)		(2,554)
Total derivative assets		165		3,875		179		(1,734)		(820)		1,665
Short-term investments		332		5,981		-		-		-		6,313
Separate account assets		67,708		3,351		-		-		-		71,059
Other assets		-		418		-		-		-		418
Total	$	73,301	$	255,967	$	46,726	$	(1,734)	$	(820)	$	373,440
Liabilities:
Policyholder contract deposits	$	-	$	72	$	312	$	-	$	-	$	384
Other policyholder funds		-		-		-		-		-		-
Derivative liabilities:
Interest rate contracts		-		3,661		141		-		-		3,802
Foreign exchange contracts		-		319		-		-		-		319
Equity contracts		-		101		-		-		-		101
Commodity contracts		-		5		-		-		-		5
Credit contracts		-		-		1,335		-		-		1,335
Other contracts		-		25		142		-		-		167
Counterparty netting and cash collateral		-		-		-		(1,734)		(1,484)		(3,218)
Total derivative liabilities		-		4,111		1,618		(1,734)		(1,484)		2,511
Long-term debt		-		6,377		370		-		-		6,747
Other liabilities		42		891		-		-		-		933
Total	$	42	$	11,451	$	2,300	$	(1,734)	$	(1,484)	$	10,575

(a) Represents netting of derivative exposures covered by a qualifying master netting agreement.

(b) Effective April 1, 2014, we reclassified cross-currency swaps from Interest rate contracts to Foreign exchange contracts. This change was applied prospectively.

Transfers of Level 1 and Level 2 Assets and Liabilities

Our policy is to record transfers of assets and liabilities between Level 1 and Level 2 at their fair values as of the end of each reporting period, consistent with the date of the determination of fair value. Assets are transferred out of Level 1 when they are no longer transacted with sufficient frequency and volume in an active market. Conversely, assets are transferred from Level 2 to Level 1 when transaction volume and frequency are indicative of an active market. During the three- and nine-month periods ended September 30, 2014, we transferred $32 million and $330 million, respectively, of securities issued by Non-U.S. government entities from Level 1 to Level 2, as they are no longer considered actively traded. For similar reasons, during the three- and nine-month periods ended September 30, 2014, we transferred $4 million and $107 million, respectively, of securities issued by the U.S. government and government sponsored entities from Level 1 to Level 2. We had no material transfers from Level 2 to Level 1 during the three- and nine-month periods ended September 30, 2014.

During the three- and nine-month periods ended September 30, 2013, we transferred $174 million and $731 million, respectively, of securities issued by Non-U.S. government entities from Level 1 to Level 2, as they are no longer considered actively traded. For similar reasons, during the three- and nine-month periods ended September 30, 2013, we transferred $263 million and $356 million of securities issued by the U.S. government and government sponsored entities from Level 1 to Level 2. We had no material transfers from Level 2 to Level 1 during the three- and nine-month periods ended September 30, 2013.

Changes in Level 3 Recurring Fair Value Measurements

The following tables present changes during the three- and nine-month periods ended September 30, 2014 and 2013 in Level 3 assets and liabilities measured at fair value on a recurring basis, and the realized and unrealized gains (losses) related to the Level 3 assets and liabilities in the Condensed Consolidated Balance Sheets at September 30, 2014 and 2013:

				Net												Changes in
				Realized and												Unrealized Gains
				Unrealized				Purchases,								(Losses) Included
		Fair Value		Gains (Losses)		Other		Sales,		Gross		Gross		Fair Value		in Income on
		Beginning		Included		Comprehensive		Issues and		Transfers		Transfers		End		Instruments Held
(in millions)		of Period^(a)		in Income		Income (Loss)		Settlements, Net		in		out		of Period		at End of Period
Three Months Ended September 30, 2014
Assets:
Bonds available for sale:
Obligations of states, municipalities
and political subdivisions	$	1,991	$	(1)	$	(11)	$	43	$	-	$	(8)	$	2,014	$	-
Non-U.S. governments		25		-		-		1		-		(3)		23		-
Corporate debt		2,196		2		(22)		(73)		3		(97)		2,009		-
RMBS		16,328		264		(49)		375		-		-		16,918		-
CMBS		5,917		27		(39)		14		-		(3)		5,916		-
CDO/ABS		7,431		18		(2)		692		53		(35)		8,157		-
Total bonds available for sale		33,888		310		(123)		1,052		56		(146)		35,037		-
Other bond securities:
RMBS		1,062		-		-		(39)		-		-		1,023		(9)
CMBS		757		(24)		-		(20)		-		-		713		(21)
CDO/ABS		8,397		257		-		(451)		-		(134)		8,069		76
Total other bond securities		10,216		233		-		(510)		-		(134)		9,805		46
Equity securities available for sale:
Common stock		-		-		1		-		-		(1)		-		-
Preferred stock		-		-		-		-		-		-		-		-
Mutual funds		-		-		-		-		1		-		1		-
Total equity securities available for sale		-		-		1		-		1		(1)		1		-
Mortgage and other loans receivable		6		-		-		-		-		-		6		-
Other invested assets		5,824		(7)		90		65		83		(246)		5,809		-
Total	$	49,934	$	536	$	(32)	$	607	$	140	$	(527)	$	50,658	$	46
Liabilities:
Policyholder contract deposits	$	(842)	$	(155)	$	8	$	(2)	$	-	$	-	$	(991)	$	(21)
Derivative liabilities, net:
Interest rate contracts		(67)		(3)		-		1		-		(2)		(71)		(3)
Foreign exchange contracts		(9)		-		-		2		-		-		(7)		-
Equity contracts		91		6		-		2		-		(53)		46		-
Commodity contracts		1		(1)		-		-		-		-		-		-
Credit contracts		(1,085)		75		-		(8)		-		-		(1,018)		65
Other contracts		(53)		14		4		(20)		-		-		(55)		17
Total derivative liabilities, net		(1,122)		91		4		(23)		-		(55)		(1,105)		79
Long-term debt^(c)		(394)		21		-		1		-		75		(297)		16
Total	$	(2,358)	$	(43)	$	12	$	(24)	$	-	$	20	$	(2,393)	$	74


				Net												Changes in
				Realized and												Unrealized Gains
				Unrealized				Purchases,								(Losses) Included
		Fair Value		Gains (Losses)		Other		Sales,		Gross		Gross		Fair Value		in Income on
		Beginning		Included		Comprehensive		Issues and		Transfers		Transfers		End		Instruments Held
(in millions)		of Period^(a)		in Income		Income (Loss)		Settlements, Net		in		out		of Period		at End of Period
Nine Months Ended September 30, 2014
Assets:
Bonds available for sale:
Obligations of states, municipalities
and political subdivisions^(b)	$	1,080	$	(1)	$	180	$	896	$	-	$	(141)	$	2,014	$	-
Non-U.S. governments		16		-		(1)		7		4		(3)		23		-
Corporate debt		1,255		8		31		(140)		1,358		(503)		2,009		-
RMBS		14,941		759		211		999		119		(111)		16,918		-
CMBS		5,735		50		201		(43)		69		(96)		5,916		-
CDO/ABS		6,974		70		1		1,426		222		(536)		8,157		-
Total bonds available for sale		30,001		886		623		3,145		1,772		(1,390)		35,037		-
Other bond securities:
RMBS		937		51		-		33		2		-		1,023		9
CMBS		844		14		-		(151)		6		-		713		11
CDO/ABS		8,834		926		-		(1,338)		1		(354)		8,069		341
Total other bond securities		10,615		991		-		(1,456)		9		(354)		9,805		361
Equity securities available for sale:
Common stock		1		-		1		-		-		(2)		-		-
Preferred stock		-		-		-		-		-		-		-		-
Mutual funds		-		-		-		-		1		-		1		-
Total equity securities available for sale		1		-		1		-		1		(2)		1		-
Mortgage and other loans receivable		-		-		-		6		-		-		6		-
Other invested assets		5,930		80		139		99		168		(607)		5,809		-
Total	$	46,547	$	1,957	$	763	$	1,794	$	1,950	$	(2,353)	$	50,658	$	361
Liabilities:
Policyholder contract deposits	$	(312)	$	(687)	$	(16)	$	24	$	-	$	-	$	(991)	$	(140)
Derivative liabilities, net:
Interest rate contracts		(100)		(2)		-		33		-		(2)		(71)		-
Foreign exchange contracts		-		3		-		(10)		-		-		(7)		4
Equity contracts		49		14		-		(12)		48		(53)		46		6
Commodity contracts		1		-		-		-		-		(1)		-		-
Credit contracts		(1,280)		229		-		33		-		-		(1,018)		229
Other contracts		(109)		49		51		(46)		-		-		(55)		37
Total derivative liabilities, net		(1,439)		293		51		(2)		48		(56)		(1,105)		276
Long-term debt^(c)		(370)		13		-		34		(70)		96		(297)		15
Total	$	(2,121)	$	(381)	$	35	$	56	$	(22)	$	40	$	(2,393)	$	151

				Net												Changes in
				Realized and												Unrealized Gains
				Unrealized				Purchases,								(Losses) Included
		Fair value		Gains (Losses)		Other		Sales,		Gross		Gross		Fair value		in Income on
		Beginning		Included		Comprehensive		Issues and		Transfers		Transfers		End		Instruments Held
(in millions)		of Period^(a)		in Income		Income (Loss)		Settlements, Net		In		Out		of Period		at End of Period
Three Months Ended September 30, 2013
Assets:
Bonds available for sale:
Obligations of states, municipalities
and political subdivisions	$	945	$	4	$	(28)	$	160	$	-	$	(27)	$	1,054	$	-
Non-U.S. governments		20		-		-		1		-		-		21		-
Corporate debt		1,634		(3)		5		-		39		(233)		1,442		-
RMBS		13,694		216		(60)		127		167		(58)		14,086		-
CMBS		5,455		4		55		102		-		-		5,616		-
CDO/ABS		6,142		37		(47)		363		289		(133)		6,651		-
Total bonds available for sale		27,890		258		(75)		753		495		(451)		28,870		-
Other bond securities:
RMBS		782		14		-		(8)		27		-		815		13
CMBS		820		33		-		(53)		31		-		831		29
CDO/ABS		8,972		243		-		(557)		223		-		8,881		217
Total other bond securities		10,574		290		-		(618)		281		-		10,527		259
Equity securities available for sale:
Common stock		76		-		(1)		(48)		-		-		27		-
Preferred stock		48		-		-		-		-		-		48		-
Total equity securities available for sale		124		-		(1)		(48)		-		-		75		-
Other invested assets		5,639		(25)		78		55		1		-		5,748		-
Total	$	44,227	$	523	$	2	$	142	$	777	$	(451)	$	45,220	$	259
Liabilities:
Policyholder contract deposits	$	(586)	$	250	$	-	$	(51)	$	-	$	-	$	(387)	$	218
Derivative liabilities, net:
Interest rate contracts		779		6		-		(912)		-		-		(127)		3
Equity contracts		70		12		-		(1)		1		-		82		10
Commodity contracts		1		-		-		-		-		-		1		-
Credit contracts		(1,594)		52		-		36		-		-		(1,506)		91
Other contracts		(105)		16		(25)		(16)		(1)		-		(131)		8
Total derivatives liabilities, net		(849)		86		(25)		(893)		-		-		(1,681)		112
Long-term debt^(c)		(419)		(25)		-		1		-		-		(443)		(19)
Total	$	(1,854)	$	311	$	(25)	$	(943)	$	-	$	-	$	(2,511)	$	311










				Net												Changes in
				Realized and												Unrealized Gains
				Unrealized				Purchases,								(Losses) Included
		Fair value		Gains (Losses)		Other		Sales,		Gross		Gross		Fair value		in Income on
		Beginning		Included		Comprehensive		Issues and		Transfers		Transfers		End		Instruments Held
(in millions)		of Period^(a)		in Income		Income (Loss)		Settlements, Net		In		Out		of Period		at End of Period
Nine Months Ended September 30, 2013
Assets:
Bonds available for sale:
Obligations of states, municipalities
and political subdivisions	$	1,024	$	29	$	(178)	$	365	$	-	$	(186)	$	1,054	$	-
Non-U.S. governments		14		-		-		7		1		(1)		21		-
Corporate debt		1,487		(7)		(9)		30		371		(430)		1,442		-
RMBS		11,662		624		279		1,393		186		(58)		14,086		-
CMBS		5,124		15		75		290		161		(49)		5,616		-
CDO/ABS		4,841		134		(47)		1,383		668		(328)		6,651		-
Total bonds available for sale		24,152		795		120		3,468		1,387		(1,052)		28,870		-
Other bond securities:
RMBS		396		24		-		130		265		-		815		(27)
CMBS		812		44		-		(193)		282		(114)		831		(13)
CDO/ABS		8,536		1,096		-		(1,566)		843		(28)		8,881		434
Total other bond securities		9,744		1,164		-		(1,629)		1,390		(142)		10,527		394
Equity securities available for sale:
Common stock		24		-		4		(1)		-		-		27		-
Preferred stock		44		-		4		-		-		-		48		-
Total equity securities available for sale		68		-		8		(1)		-		-		75		-
Other invested assets		5,389		144		88		95		345		(313)		5,748		-
Total	$	39,353	$	2,103	$	216	$	1,933	$	3,122	$	(1,507)	$	45,220	$	394
Liabilities:
Policyholder contract deposits	$	(1,257)	$	865	$	-	$	5	$	-	$	-	$	(387)	$	825
Derivative liabilities, net:
Interest rate contracts		732		20		-		(879)		-		-		(127)		33
Equity contracts		47		49		-		(14)		-		-		82		40
Commodity contracts		1		-		-		(1)		-		1		1		(1)
Credit contracts		(1,991)		365		-		120		-		-		(1,506)		486
Other contracts		(162)		35		(16)		13		(1)		-		(131)		8
Total derivatives liabilities, net		(1,373)		469		(16)		(761)		(1)		1		(1,681)		566
Long-term debt^(c)		(344)		(120)		-		23		(2)		-		(443)		(41)
Total	$	(2,974)	$	1,214	$	(16)	$	(733)	$	(3)	$	1	$	(2,511)	$	1,350

(a) Total Level 3 derivative exposures have been netted in these tables for presentation purposes only.

(b) Purchases, Sales, Issues and Settlements, Net primarily reflect the effect of consolidating previously unconsolidated securitization vehicles.

Net realized and unrealized gains and losses related to Level 3 items shown above are reported in the Condensed Consolidated Statements of Income as follows:

		Net		Net Realized
		Investment		Capital		Other
(in millions)		Income	Gains (Losses)			Income		Total
Three Months Ended September 30, 2014
Bonds available for sale	$	320	$	(22)	$	12	$	310
Other bond securities		(3)		-		236		233
Equity securities available for sale		-		-		-		-
Other invested assets		18		(20)		(5)		(7)
Policyholder contract deposits		-		(155)		-		(155)
Derivative liabilities, net		18		(1)		74		91
Long-term debt		-		-		21		21
Three Months Ended September 30, 2013
Bonds available for sale	$	264	$	(21)	$	15	$	258
Other bond securities		86		7		197		290
Equity securities available for sale		-		-		-		-
Other invested assets		(12)		(5)		(8)		(25)
Policyholder contract deposits		-		250		-		250
Derivative liabilities, net		11		8		67		86
Long-term debt		-		-		(25)		(25)
Nine Months Ended September 30, 2014
Bonds available for sale	$	922	$	(73)	$	37	$	886
Other bond securities		97		2		892		991
Equity securities available for sale		-		-		-		-
Other invested assets		107		(33)		6		80
Policyholder contract deposits		-		(687)		-		(687)
Derivative liabilities, net		49		4		240		293
Long-term debt		-		-		13		13
Nine Months Ended September 30, 2013
Bonds available for sale	$	713	$	(8)	$	90	$	795
Other bond securities		114		8		1,042		1,164
Equity securities available for sale		-		-		-		-
Other invested assets		142		(34)		36		144
Policyholder contract deposits		-		865		-		865
Derivative liabilities, net		26		25		418		469
Long-term debt		-		-		(120)		(120)

The following tables present the gross components of purchases, sales, issues and settlements, net, shown above, for the three- and nine-months ended September 30, 2014 and 2013 related to Level 3 assets and liabilities in the Condensed Consolidated Balance Sheets:

								Purchases,
								Sales, Issues and
(in millions)		Purchases		Sales		Settlements		Settlements, Net^(a)
Three Months Ended September 30, 2014
Assets:
Bonds available for sale:
Obligations of states, municipalities and political subdivisions	$	66	$	(3)	$	(20)	$	43
Non-U.S. governments		1		-		-		1
Corporate debt		22		-		(95)		(73)
RMBS		1,062		(62)		(625)		375
CMBS		276		(167)		(95)		14
CDO/ABS		1,085		(68)		(325)		692
Total bonds available for sale		2,512		(300)		(1,160)		1,052
Other bond securities:
RMBS		-		(3)		(36)		(39)
CMBS		-		(9)		(11)		(20)
CDO/ABS		6		(4)		(453)		(451)
Total other bond securities		6		(16)		(500)		(510)
Equity securities available for sale		-		-		-		-
Other invested assets		276		-		(211)		65
Total assets	$	2,794	$	(316)	$	(1,871)	$	607
Liabilities:
Policyholder contract deposits	$	-	$	(36)	$	34	$	(2)
Derivative liabilities, net		-		(2)		(21)		(23)
Long-term debt^(c)		-		-		1		1
Total liabilities	$	-	$	(38)	$	14	$	(24)
Three Months Ended September 30, 2013
Assets:
Bonds available for sale:
Obligations of states, municipalities and political subdivisions	$	194	$	(34)	$	-	$	160
Non-U.S. governments		1		-		-		1
Corporate debt		146		-		(146)		-
RMBS		750		-		(623)		127
CMBS		179		(3)		(74)		102
CDO/ABS		628		-		(265)		363
Total bonds available for sale		1,898		(37)		(1,108)		753
Other bond securities:
RMBS		31		(12)		(27)		(8)
CMBS		-		(9)		(44)		(53)
CDO/ABS		-		(66)		(491)		(557)
Total other bond securities		31		(87)		(562)		(618)
Equity securities available for sale		-		-		(48)		(48)
Other invested assets		249		(3)		(191)		55
Total assets	$	2,178	$	(127)	$	(1,909)	$	142
Liabilities:
Policyholder contract deposits	$	-	$	(4)	$	(47)	$	(51)
Derivative liabilities, net		4		-		(897)		(893)
Long-term debt^(c)		-		-		1		1
Total liabilities	$	4	$	(4)	$	(943)	$	(943)
								Purchases,
								Sales, Issues and
(in millions)		Purchases		Sales		Settlements		Settlements, Net^(a)
Nine Months Ended September 30, 2014
Assets:
Bonds available for sale:
Obligations of states, municipalities and political subdivisions^(b)	$	1,002	$	(35)	$	(71)	$	896
Non-U.S. governments		8		-		(1)		7
Corporate debt		141		(8)		(273)		(140)
RMBS		2,814		(88)		(1,727)		999
CMBS		368		(224)		(187)		(43)
CDO/ABS		2,307		(70)		(811)		1,426
Total bonds available for sale		6,640		(425)		(3,070)		3,145
Other bond securities:
RMBS		162		(22)		(107)		33
CMBS		-		(15)		(136)		(151)
CDO/ABS		50		(19)		(1,369)		(1,338)
Total other bond securities		212		(56)		(1,612)		(1,456)
Equity securities available for sale		-		-		-		-
Mortgage and other loans receivable		6		-		-		6
Other invested assets		709		(1)		(609)		99
Total assets	$	7,567	$	(482)	$	(5,291)	$	1,794
Liabilities:
Policyholder contract deposits	$	-	$	(94)	$	118	$	24
Derivative liabilities, net		1		(2)		(1)		(2)
Long-term debt^(c)		-		-		34		34
Total liabilities	$	1	$	(96)	$	151	$	56
Nine Months Ended September 30, 2013
Assets:
Bonds available for sale:
Obligations of states, municipalities and political subdivisions	$	502	$	(137)	$	-	$	365
Non-U.S. governments		9		-		(2)		7
Corporate debt		454		(114)		(310)		30
RMBS		3,462		(231)		(1,838)		1,393
CMBS		872		(167)		(415)		290
CDO/ABS		2,099		(159)		(557)		1,383
Total bonds available for sale		7,398		(808)		(3,122)		3,468
Other bond securities:
RMBS		244		(12)		(102)		130
CMBS		19		(67)		(145)		(193)
CDO/ABS		318		(66)		(1,818)		(1,566)
Total other bond securities		581		(145)		(2,065)		(1,629)
Equity securities available for sale		58		(11)		(48)		(1)
Other invested assets		697		(49)		(553)		95
Total assets	$	8,734	$	(1,013)	$	(5,788)	$	1,933
Liabilities:
Policyholder contract deposits	$	-	$	(16)	$	21	$	5
Derivative liabilities, net		9		(1)		(769)		(761)
Long-term debt^(c)		-		-		23		23
Total liabilities	$	9	$	(17)	$	(725)	$	(733)

(a) There were no issuances during the three- and nine-month periods ended September 30, 2014 and 2013.

(b) Purchases primarily reflect the effect of consolidating previously unconsolidated securitization vehicles.

Both observable and unobservable inputs may be used to determine the fair values of positions classified in Level 3 in the tables above. As a result, the unrealized gains (losses) on instruments held at September 30, 2014 and 2013 may include changes in fair value that were attributable to both observable (e.g., changes in market interest rates) and unobservable inputs (e.g., changes in unobservable long-dated volatilities).

Transfers of Level 3 Assets and Liabilities

We record transfers of assets and liabilities into or out of Level 3 at their fair values as of the end of each reporting period, consistent with the date of the determination of fair value. As a result, the Net realized and unrealized gains (losses) included in income or other comprehensive income as shown in the table above excludes $2 million of net losses and $35 million of net gains related to assets and liabilities transferred into Level 3 during the three- and nine-month periods ended September 30, 2014, respectively, and includes $52 million and $50 million of net gains related to assets and liabilities transferred out of Level 3 during the three- and nine-month periods ended September 30, 2014, respectively.

The Net realized and unrealized gains (losses) included in income or other comprehensive income as shown in the table above excludes $43 million of net gains and $12 million of net losses related to assets and liabilities transferred into Level 3 during the three- and nine-month periods ended September 30, 2013, respectively, and includes $18 million and $30 million of net gains related to assets and liabilities transferred out of Level 3 during the three- and nine-month periods ended September 30, 2013, respectively.

Transfers of Level 3 Assets

During the three- and nine-month periods ended September 30, 2014 and 2013, transfers into Level 3 assets primarily included certain investments in private placement corporate debt, RMBS, CMBS, CDO/ABS, and investments in hedge funds. Transfers of investments in private placement corporate debt and certain ABS into Level 3 assets were primarily the result of limited market pricing information that required us to determine fair value for these securities based on inputs that are adjusted to better reflect our own assumptions regarding the characteristics of a specific security or associated market liquidity. The transfers of investments in RMBS, CMBS and CDO and certain ABS into Level 3 assets were due to decreases in market transparency and liquidity for individual security types. Certain investments in hedge funds were transferred into Level 3 due to these investments now being carried at fair value and no longer being accounted for using the equity method of accounting due to a change in percentage ownership, or as a result of limited market activity due to fund-imposed redemption restrictions.

During the three- and nine-month periods ended September 30, 2014 and 2013, transfers out of Level 3 assets primarily related to certain investments in municipal securities, private placement and other corporate debt, RMBS, CMBS, CDO/ABS, and investments in hedge funds. Transfers of certain investments in municipal securities, corporate debt, RMBS, CMBS, and CDO/ABS out of Level 3 assets were based on consideration of market liquidity as well as related transparency of pricing and associated observable inputs for these investments. Transfers of certain investments in private placement corporate debt out of Level 3 assets were primarily the result of using observable pricing information that reflects the fair value of those securities without the need for adjustment based on our own assumptions regarding the characteristics of a specific security or the current liquidity in the market. The transfers of certain hedge fund investments out of Level 3 assets were primarily the result of easing of certain fund-imposed redemption restrictions.

Transfers of Level 3 Liabilities

There were no significant transfers of derivative or other liabilities into or out of Level 3 for the three- and nine-month periods ended September 30, 2014 and 2013.

Quantitative Information About Level 3 Fair Value Measurements

The table below presents information about the significant unobservable inputs used for recurring fair value measurements for certain Level 3 instruments, and includes only those instruments for which information about the inputs is reasonably available to us, such as data from third-party valuation service providers and from internal valuation models. Because input information from third-parties with respect to certain Level 3 instruments (primarily CDO/ABS) may not be reasonably available to us, balances shown below may not equal total amounts reported for such Level 3 assets and liabilities:

	Fair Value at
	September 30,		Valuation		Range
(in millions)	2014		Technique	Unobservable Input	(Weighted Average )
Assets:

Obligations of states,	$	1,141	Discounted cash flow	Yield^(b)	4.15% - 4.93% (4.54%)
municipalities and
political subdivisions

Corporate debt		1,217	Discounted cash flow	Yield^(b)	0.00% - 8.57% (6.19%)


RMBS		17,384	Discounted cash flow	Constant prepayment rate^(a)(c)	0.36% - 9.74% (5.05%)
				Loss severity^(a)(c)	45.61% - 79.52% (62.57%)
				Constant default rate^(a)(c)	3.84% - 10.46% (7.15%)
				Yield^(c)	2.51% - 6.61% (4.56%)

Certain CDO/ABS		5,321	Discounted cash flow	Constant prepayment rate^(a)(c)	6.40% - 13.40% (9.90%)
				Loss severity^(a)(c)	43.80% - 59.90% (52.00%)
				Constant default rate^(a)(c)	2.60% - 14.90% (8.00%)
				Yield^(c)	4.70% - 10.30% (7.70%)

CMBS		6,048	Discounted cash flow	Yield^(b)	0.00% - 13.01% (4.50%)

CDO/ABS - Direct			Binomial Expansion	Recovery rate^(b)	7.00% - 58.00% (26.00%)
Investment book		425	Technique (BET)	Diversity score^(b)	6 - 23 (14)
				Weighted average life^(b)	0.25 - 10.32 years (4.09 years)
Liabilities:

Policyholder contract
deposits		991	Discounted cash flow	Equity implied volatility^(b)	6.00% - 39.00%
				Base lapse rate^(b)	1.00% - 40.00%
				Dynamic lapse rate^(b)	0.20% - 60.00%
				Mortality rate^(b)	0.10% - 35.00%
				Utilization rate^(b)	0.50% - 30.00%

Total derivative
liabilities, net		813	BET	Recovery rate^(b)	5.00% - 32.00% (17.00%)
				Diversity score^(b)	9 - 27 (14)
				Weighted average life^(b)	2.69 - 10.32 years (4.67 years)


		Fair Value at
		December 31,	Valuation		Range
(in millions)		2013	Technique	Unobservable Input	(Weighted Average )
Assets:

Obligations of states,	$	920	Discounted cash flow	Yield^(b)	4.94% - 5.86% (5.40%)
municipalities and
political subdivisions

Corporate debt		788	Discounted cash flow	Yield^(b)	0.00% - 14.29% (6.64%)


RMBS		14,419	Discounted cash flow	Constant prepayment rate^(a)(c)	0.00% - 10.35% (4.97%)
				Loss severity^(a)(c)	42.60% - 79.07% (60.84%)
				Constant default rate^(a)(c)	3.98% - 12.22% (8.10%)
				Yield^(c)	2.54% - 7.40% (4.97%)

Certain CDO/ABS		5,414	Discounted cash flow	Constant prepayment rate^(a)(c)	5.20% - 10.80% (8.20%)
				Loss severity^(a)(c)	48.60% - 63.40% (56.40%)
				Constant default rate^(a)(c)	3.20% - 16.20% (9.00%)
				Yield^(c)	5.20% - 11.50% (9.40%)

CMBS		5,847	Discounted cash flow	Yield^(b)	0.00% - 14.69% (5.58%)

CDO/ABS - Direct			Binomial Expansion	Recovery rate^(b)	6.00% - 63.00% (25.00%)
Investment book		557	Technique (BET)	Diversity score^(b)	5 - 35 (12)
				Weighted average life^(b)	1.07 - 9.47 years (4.86 years)
Liabilities:

Policyholder contract
deposits		312	Discounted cash flow	Equity implied volatility^(b)	6.00% - 39.00%
				Base lapse rate^(b)	1.00% - 40.00%
				Dynamic lapse rate^(b)	0.20% - 60.00%
				Mortality rate^(b)	0.50% - 40.00%
				Utilization rate^(b)	0.50% - 25.00%

Total derivative
liabilities, net		996	BET	Recovery rate^(b)	5.00% - 34.00% (17.00%)
				Diversity score^(b)	9 - 32 (13)
				Weighted average life^(b)	4.50 - 9.47 years (5.63 years)

(a) The unobservable inputs and ranges for the constant prepayment rate, loss severity and constant default rate relate to each of the individual underlying mortgage loans that comprise the entire portfolio of securities in the RMBS and CDO securitization vehicles and not necessarily to the securitization vehicle bonds (tranches) purchased by us. The ranges of these inputs do not directly correlate to changes in the fair values of the tranches purchased by us because there are other factors relevant to the fair values of specific tranches owned by us including, but not limited to, purchase price, position in the waterfall, senior versus subordinated position and attachment points.

(b) Represents discount rates, estimates and assumptions that we believe would be used by market participants when valuing these assets and liabilities.

The ranges of reported inputs for Corporate debt, RMBS, CDO/ABS, and CMBS valued using a discounted cash flow technique consist of plus/minus one standard deviation in either direction from the value-weighted average. The preceding table does not give effect to our risk management practices that might offset risks inherent in these investments.

Sensitivity to Changes in Unobservable Inputs

We consider unobservable inputs to be those for which market data is not available and that are developed using the best information available to us about the assumptions that market participants would use when pricing the asset or liability. Relevant inputs vary depending on the nature of the instrument being measured at fair value. The following is a general description of sensitivities of significant unobservable inputs along with interrelationships between and among the significant unobservable inputs and their impact on the fair value measurements. The effect of a change in a particular assumption in the sensitivity analysis below is considered independently of changes in any other assumptions. In practice, simultaneous changes in assumptions may not always have a linear effect on the inputs discussed below. Interrelationships may also exist between observable and unobservable inputs. Such relationships have not been included in the discussion below. For each of the individual relationships described below, the inverse relationship would also generally apply.

Obligations of States, Municipalities and Political Subdivisions

The significant unobservable input used in fair value measurement of certain investments in obligations of states, municipalities and political subdivisions is yield. In general, increases in the yield would decrease the fair value of investments in obligations of states, municipalities and political subdivisions.

Corporate Debt

Corporate debt securities included in Level 3 are primarily private placement issuances that are not traded in active markets or that are subject to transfer restrictions. Fair value measurements consider illiquidity and non-transferability. When observable price quotations are not available, fair value is determined based on discounted cash flow models using discount rates based on credit spreads, yields or price levels of publicly-traded debt of the issuer or other comparable securities, considering illiquidity and structure. The significant unobservable input used in the fair value measurement of corporate debt is the yield. The yield is affected by the market movements in credit spreads and U.S. Treasury yields. In addition, the migration in credit quality of a given security generally has a corresponding effect on the fair value measurement of the security. For example, a downward migration of credit quality would increase spreads. Holding U.S. Treasury rates constant, an increase in corporate credit spreads would decrease the fair value of corporate debt.

RMBS and Certain CDO/ABS

The significant unobservable inputs used in fair value measurements of RMBS and certain CDO/ABS valued by third-party valuation service providers are constant prepayment rates (CPR), loss severity, constant default rates (CDR), and yield. A change in the assumptions used for the probability of default will generally be accompanied by a corresponding change in the assumption used for the loss severity and an inverse change in the assumption used for prepayment rates. In general, increases in CPR, loss severity, CDR, and yield, in isolation, would result in a decrease in the fair value measurement. Changes in fair value based on variations in assumptions generally cannot be extrapolated because the relationship between the directional change of each input is not usually linear.

CMBS

The significant unobservable input used in fair value measurements for CMBS is the yield. Prepayment assumptions for each mortgage pool are factored into the yield. CMBS generally feature a lower degree of prepayment risk than RMBS because commercial mortgages generally contain a penalty for prepayment. In general, increases in the yield would decrease the fair value of CMBS.

CDO/ABS – Direct Investment book

The significant unobservable inputs used for certain CDO/ABS securities valued using the BET are recovery rates, diversity score, and the weighted average life of the portfolio. An increase in recovery rates and diversity score will increase the fair value of the portfolio. An increase in the weighted average life will decrease the fair value.

Policyholder contract deposits

Embedded derivatives within Policyholder contract deposits relate to guaranteed minimum withdrawal benefits (GMWB) within variable annuity products and certain enhancements to interest crediting rates based on market indices within equity-indexed annuities and guaranteed investment contracts (GICs). GMWB represents our largest exposure of these embedded derivatives, although the carrying value of the liability fluctuates based on the performance of the equity markets and therefore, at a point in time, can be low relative to the exposure. The principal unobservable input used for GMWBs and embedded derivatives in equity-indexed annuities measured at fair value is equity implied volatility. For GMWBs, other significant unobservable inputs include base and dynamic lapse rates, mortality rates, and utilization rates. Lapse, mortality, and utilization rates may vary significantly depending upon age groups and duration. In general, increases in volatility and utilization rates will increase the fair value of the liability associated with GMWB, while increases in lapse rates and mortality rates will decrease the fair value of the liability. Significant unobservable inputs used in valuing embedded derivatives within GICs include long-term forward interest rates and foreign exchange rates. Generally, the embedded derivative liability for GICs will increase as interest rates decrease or if the U.S. dollar weakens compared to the euro.

Total derivative liabilities, net

The significant unobservable inputs used for derivative liabilities valued using the BET, which include certain credit contracts, are recovery rates, diversity scores, and the weighted average life of the portfolio. AIG non-performance risk is also considered in the measurement of the liability.

An increase in recovery rates and diversity score will decrease the fair value of the liability. An increase in the weighted average life will increase the fair value measurement of the liability.

Investments in Certain Entities Carried at Fair Value Using Net Asset Value Per Share

The following table includes information related to our investments in certain other invested assets, including private equity funds and hedge funds that calculate net asset value per share (or its equivalent). For these investments, which are measured at fair value on a recurring basis, we use the net asset value per share as a practical expedient to measure fair value.

		September 30, 2014				December 31, 2013
			Fair Value Using Net Asset Value Per Share (or its equivalent)				Fair Value Using Net Asset Value Per Share (or its equivalent)

					Unfunded				Unfunded
(in millions)	Investment Category Includes				Commitments				Commitments
Investment Category
Private equity funds:
Leveraged buyout	Debt and/or equity investments made as part of a transaction in which assets of mature companies are acquired from the current shareholders, typically with the use of financial leverage	$	2,496	$	474	$	2,544	$	578

Real Estate / Infrastructure	Investments in real estate properties and infrastructure positions, including power plants and other energy generating facilities		427		209		346		86

Venture capital	Early-stage, high-potential, growth companies expected to generate a return through an eventual realization event, such as an initial public offering or sale of the company		136		10		140		13

Distressed	Securities of companies that are in default, under bankruptcy protection, or troubled		174		44		183		34

Other	Includes multi-strategy and mezzanine strategies		194		213		134		238
Total private equity funds			3,427		950		3,347		949
Hedge funds:
Event-driven	Securities of companies undergoing material structural changes, including mergers, acquisitions and other reorganizations		1,188		2		976		2

Long-short	Securities that the manager believes are undervalued, with corresponding short positions to hedge market risk		2,096		4		1,759		11

Macro	Investments that take long and short positions in financial instruments based on a top-down view of certain economic and capital market conditions		486		-		612		-

Distressed	Securities of companies that are in default, under bankruptcy protection or troubled		659		5		594		15

Emerging markets	Investments in the financial markets of developing countries		302		-		287		-

Other	Includes multi-strategy and relative value strategies		238		-		157		-
Total hedge funds			4,969		11		4,385		28
Total		$	8,396	$	961	$	7,732	$	977

Private equity fund investments included above are not redeemable, as distributions from the funds will be received when underlying investments of the funds are liquidated. Private equity funds are generally expected to have 10-year lives at their inception, but these lives may be extended at the fund manager’s discretion, typically in one or two-year increments. At September 30, 2014, assuming average original expected lives of 10 years for the funds, 74 percent of the total fair value using net asset value per share (or its equivalent) presented above would have expected remaining lives of three years or less, 18 percent between four and six years and 8 percent between seven and 10 years.

The hedge fund investments included above are generally redeemable monthly (15 percent), quarterly (46 percent), semi-annually (16 percent) and annually (23 percent), with redemption notices ranging from one day to 180 days. At September 30, 2014, however, investments representing approximately 51 percent of the total fair value of the hedge fund investments cannot be redeemed, either in whole or in part, because the investments include various contractual restrictions. The majority of these contractual restrictions, which may have been put in place at the fund’s inception or thereafter, have pre-defined end dates and are generally expected to be lifted by the end of 2015. The fund investments for which redemption is restricted only in part generally relate to certain hedge funds that hold at least one investment that the fund manager deems to be illiquid.

Fair Value Option

The following table presents the gains and losses recorded related to the eligible instruments for which we elected the fair value option:

	Gain (Loss) Three Months Ended September 30,				Gain (Loss) Nine Months Ended September 30,
	Gain (Loss) Three Months Ended September 30,				Gain (Loss) Nine Months Ended September 30,
(in millions)		2014		2013		2014		2013
Assets:
Mortgage and other loans receivable	$	-	$	1	$	-	$	3
Bond and equity securities		252		331		1,529		963
Alternative Investments^(a)		73		23		245		229
Other, including Short-term investments		2		3		7		8
Liabilities:
Long-term debt^(b)		23		(51)		(186)		271
Other liabilities		(4)		(4)		(10)		(10)
Total gain	$	346	$	303	$	1,585	$	1,464

(a) Includes hedge funds, private equity funds and other investment partnerships.

(b) Includes GIAs, notes, bonds, loans and mortgages payable.

We recognized gains of $8 million and losses of $14 million during the three- and nine-month periods ended September 30, 2014, respectively, and losses of $22 million and $37 million during the three- and nine-month periods ended September 30, 2013, respectively, attributable to the observable effect of changes in credit spreads on our own liabilities for which the fair value option was elected. We calculate the effect of these credit spread changes using discounted cash flow techniques that incorporate current market interest rates, our observable credit spreads on these liabilities and other factors that mitigate the risk of nonperformance such as cash collateral posted.

The following table presents the difference between fair values and the aggregate contractual principal amounts of mortgage and other loans receivable and long-term debt for which the fair value option was elected:

	September 30, 2014						December 31, 2013
			Outstanding						Outstanding
(in millions)	Fair Value		Principal Amount		Difference		Fair Value		Principal Amount		Difference
Assets:
Mortgage and other loans receivable	$	6	$	4	$	2	$	-	$	-	$	-
Liabilities:
Long-term debt^*	$	5,667	$	4,344	$	1,323	$	6,747	$	5,231	$	1,516

* Includes GIAs, notes, bonds, loans and mortgages payable.

Fair Value Measurements on a Non-Recurring Basis

The following table presents assets measured at fair value on a non-recurring basis at the time of impairment and the related impairment charges recorded during the periods presented:

	Assets at Fair Value								Impairment Charges
	Non-Recurring Basis								Three Months Ended September 30,				Nine Months Ended September 30,
(in millions)	Level 1		Level 2		Level 3			Total		2014		2013		2014		2013
September 30, 2014
Other investments	$	-	$	-	$	766	$	766	$	62	$	9	$	117	$	82
Investments in life settlements		-		-		473		473		52		61		139		139
Other assets		-		-		1		1		1		2		2		26
Total	$	-	$	-	$	1,240	$	1,240	$	115	$	72	$	258	$	247
December 31, 2013
Other investments	$	-	$	-	$	1,615	$	1,615
Investments in life settlements		-		-		896		896
Other assets		-		11		48		59
Total	$	-	$	11	$	2,559	$	2,570

Fair Value Information About Financial Instruments Not Measured at Fair Value

The following table presents the carrying value and estimated fair value of our financial instruments not measured at fair value and indicates the level in the fair value hierarchy of the estimated fair value measurement based on the observability of the inputs used:

	Estimated Fair Value									Carrying
(in millions)		Level 1		Level 2		Level 3		Total		Value
September 30, 2014
Assets:
Mortgage and other loans receivable	$	-	$	217	$	24,468	$	24,685	$	23,391
Other invested assets		-		626		2,839		3,465		4,357
Short-term investments		-		13,661		-		13,661		13,661
Cash		1,933		-		-		1,933		1,933
Liabilities:
Policyholder contract deposits associated
with investment-type contracts		-		226		117,983		118,209		105,258
Other liabilities		-		3,993		-		3,993		3,993
Long-term debt		-		30,880		3,689		34,569		30,556
December 31, 2013
Assets:
Mortgage and other loans receivable	$	-	$	219	$	21,418	$	21,637	$	20,765
Other invested assets		-		529		2,705		3,234		4,194
Short-term investments		-		15,304		-		15,304		15,304
Cash		2,241		-		-		2,241		2,241
Liabilities:
Policyholder contract deposits associated
with investment-type contracts		-		199		114,361		114,560		105,093
Other liabilities		-		4,869		1		4,870		4,869
Long-term debt		-		36,239		2,394		38,633		34,946

September 30, 2014							Counterparty		Cash
(in millions)		Level 1		Level 2		Level 3		Netting^(a)	Collateral			Total
Assets:
Bonds available for sale:
U.S. government and government sponsored entities	$	15	$	2,783	$	-	$	-	$	-	$	2,798
Obligations of states, municipalities and political subdivisions		-		26,158		2,014		-		-		28,172
Non-U.S. governments		772		21,867		23		-		-		22,662
Corporate debt		-		146,319		2,009		-		-		148,328
RMBS		-		21,786		16,918		-		-		38,704
CMBS		-		6,626		5,916		-		-		12,542
CDO/ABS		-		4,423		8,157		-		-		12,580
Total bonds available for sale		787		229,962		35,037		-		-		265,786
Other bond securities:
U.S. government and government sponsored entities		128		5,130		-		-		-		5,258
Obligations of states, municipalities and political subdivisions		-		122		-		-		-		122
Non-U.S. governments		-		2		-		-		-		2
Corporate debt		-		948		-		-		-		948
RMBS		-		1,143		1,023		-		-		2,166
CMBS		-		507		713		-		-		1,220
CDO/ABS		-		2,596		8,069		-		-		10,665
Total other bond securities		128		10,448		9,805		-		-		20,381
Equity securities available for sale:
Common stock		3,570		2		-		-		-		3,572
Preferred stock		-		29		-		-		-		29
Mutual funds		740		2		1		-		-		743
Total equity securities available for sale		4,310		33		1		-		-		4,344
Other equity securities		701		65		-		-		-		766
Mortgage and other loans receivable		-		-		6		-		-		6
Other invested assets		25		3,211		5,809		-		-		9,045
Derivative assets:
Interest rate contracts^(b)		7		2,805		11		-		-		2,823
Foreign exchange contracts^(b)		-		1,061		3		-		-		1,064
Equity contracts		107		65		49		-		-		221
Commodity contracts		-		-		-		-		-		-
Credit contracts		-		-		20		-		-		20
Other contracts		-		-		34		-		-		34
Counterparty netting and cash collateral		-		-		-		(1,769)		(805)		(2,574)
Total derivative assets		114		3,931		117		(1,769)		(805)		1,588
Short-term investments		560		3,631		-		-		-		4,191
Separate account assets		72,592		5,218		-		-		-		77,810
Other assets		-		-		-		-		-		-
Total	$	79,217	$	256,499	$	50,775	$	(1,769)	$	(805)	$	383,917
Liabilities:
Policyholder contract deposits	$	-	$	53	$	991	$	-	$	-	$	1,044
Other policyholder funds		-		8		-		-		-		8
Derivative liabilities:
Interest rate contracts^(b)		-		2,649		82		-		-		2,731
Foreign exchange contracts^(b)		-		1,493		10		-		-		1,503
Equity contracts		-		88		3		-		-		91
Commodity contracts		-		5		-		-		-		5
Credit contracts		-		-		1,038		-		-		1,038
Other contracts		-		-		89		-		-		89
Counterparty netting and cash collateral		-		-		-		(1,769)		(1,186)		(2,955)
Total derivative liabilities		-		4,235		1,222		(1,769)		(1,186)		2,502
Long-term debt		-		5,370		297		-		-		5,667
Other liabilities		70		332		-		-		-		402
Total	$	70	$	9,998	$	2,510	$	(1,769)	$	(1,186)	$	9,623

- Definition

The entire disclosure for the fair value of financial instruments (as defined), including financial assets and financial liabilities (collectively, as defined), and the measurements of those instruments as well as disclosures related to the fair value of non-financial assets and liabilities. Such disclosures about the financial instruments, assets, and liabilities would include: (1) the fair value of the required items together with their carrying amounts (as appropriate); (2) for items for which it is not practicable to estimate fair value, disclosure would include: (a) information pertinent to estimating fair value (including, carrying amount, effective interest rate, and maturity, and (b) the reasons why it is not practicable to estimate fair value; (3) significant concentrations of credit risk including: (a) information about the activity, region, or economic characteristics identifying a concentration, (b) the maximum amount of loss the entity is exposed to based on the gross fair value of the related item, (c) policy for requiring collateral or other security and information as to accessing such collateral or security, and (d) the nature and brief description of such collateral or security; (4) quantitative information about market risks and how such risks are managed; (5) for items measured on both a recurring and nonrecurring basis information regarding the inputs used to develop the fair value measurement; and (6) for items presented in the financial statement for which fair value measurement is elected: (a) information necessary to understand the reasons for the election, (b) discussion of the effect of fair value changes on earnings, (c) a description of [similar groups] items for which the election is made and the relation thereof to the balance sheet, the aggregate carrying value of items included in the balance sheet that are not eligible for the election; (7) all other required (as defined) and desired information.

+ References+ Details