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Equity
 9 Months Ended
Sep. 30, 2022
Stockholders' Equity Note [Abstract]  
Equity
12. Equity
SHARES OUTSTANDING
Preferred Stock
On March 14, 2019, we issued 20,000 shares of Series A 5.85% Non-Cumulative Perpetual Preferred Stock (Series A Preferred Stock) (equivalent to 20,000,000 Depositary Shares, each representing a 1/1,000th interest in a share of Series A Preferred Stock), $5.00 par value and $25,000 liquidation preference per share (equivalent to $25 per Depositary Share). After underwriting discounts and expenses, we received net proceeds of approximately $485 million.
The following table presents declaration date, record date, payment date and dividends paid per preferred share and per depository share on the Series A Preferred Stock in the nine months ended September 30, 2022 and 2021:
Dividends Paid
Declaration DateRecord DatePayment DatePer Preferred SharePer Depositary Share
August 8, 2022August 31, 2022September 15, 2022$365.625 $0.365625 
May 3, 2022May 31, 2022June 15, 2022365.625 0.365625 
February 16, 2022February 28, 2022March 15, 2022365.625 0.365625 
August 5, 2021August 31, 2021September 15, 2021$365.625 $0.365625 
May 6, 2021May 31, 2021June 15, 2021365.625 0.365625 
February 16, 2021February 26, 2021March 15, 2021365.625 0.365625 
Common Stock
The following table presents a rollforward of outstanding shares:
Nine Months Ended September 30, 2022Common
Stock Issued		Treasury
Stock		Common Stock
Outstanding
Shares, beginning of year1,906,671,492 (1,087,984,129)818,687,363 
Shares issued— 5,209,573 5,209,573 
Shares repurchased— (76,681,026)(76,681,026)
Shares, end of period1,906,671,492 (1,159,455,582)747,215,910 
Dividends
Dividends are payable on AIG Common Stock only when, as and if declared by our Board of Directors in its discretion, from funds legally available for this purpose. In considering whether to pay a dividend on or purchase shares of AIG Common Stock, our Board of Directors considers a number of factors, including, but not limited to: the capital resources available to support our insurance operations and business strategies, AIG’s funding capacity and capital resources in comparison to internal benchmarks, expectations for capital generation, rating agency expectations for capital, regulatory standards for capital and capital distributions, and such other factors as our Board of Directors may deem relevant. The payment of dividends is also subject to the terms of AIG’s outstanding Series A Preferred Stock, pursuant to which no dividends may be declared or paid on any AIG Common Stock unless the full dividends for the latest completed dividend period on all outstanding shares of Series A Preferred Stock have been declared and paid or provided for.
The following table presents declaration date, record date, payment date and dividends paid per common share on AIG Common Stock in the nine months ended September 30, 2022 and 2021:
Declaration DateRecord DatePayment DateDividends Paid
Per Common Share
August 8, 2022September 16, 2022September 30, 2022$0.32 
May 3, 2022June 16, 2022June 30, 20220.32 
February 16, 2022March 17, 2022March 31, 20220.32 
August 5, 2021September 16, 2021September 30, 2021$0.32 
May 6, 2021June 15, 2021June 29, 20210.32 
February 16, 2021March 16, 2021March 30, 20210.32 
For a discussion of restrictions on payments of dividends to AIG Parent by its subsidiaries see Note 18 to the Consolidated Financial Statements in the 2021 Annual Report.
Repurchase of AIG Common Stock
Shares may be repurchased from time to time in the open market, private purchases, through forward, derivative, accelerated repurchase or automatic repurchase transactions or otherwise. Certain of our share repurchases have been and may from time to time be effected through Securities Exchange Act of 1934 (Exchange Act) Rule 10b5-1 repurchase plans. On May 3, 2022, the Board of Directors authorized the repurchase of $6.5 billion of AIG Common Stock (inclusive of the approximately $1.5 billion of expected remaining authorization upon expiration of the then-current 10b5-1 Plan as of May 20, 2022).
The timing of any future repurchases will depend on market conditions, our business and strategic plans, financial condition, results of operations, liquidity and other factors. The repurchase of AIG Common Stock is also subject to the terms of AIG’s outstanding Series A Preferred Stock, pursuant to which AIG may not (other than in limited circumstances) purchase, redeem or otherwise acquire AIG Common Stock unless the full dividends for the latest completed dividend period on all outstanding shares of Series A Preferred Stock have been declared and paid or provided for.
The following table presents repurchases of AIG Common Stock:
Nine Months Ended September 30,
(in millions)20222021
Aggregate repurchases of common stock*
$4,370 $1,651 
Total number of common shares repurchased77 32 
*For the nine months ended September 30, 2021, approximately $92 million of these share repurchases were funded with proceeds received from warrant exercises that occurred prior to the expiration of warrants to purchase shares of AIG Common Stock on January 19, 2021.
Pursuant to an Exchange Act Rule 10b5-1 repurchase plan from October 1, 2022 to October 27, 2022, we repurchased approximately 4 million shares of AIG Common Stock for an aggregate purchase price of approximately $221 million.
DIVIDENDS DECLARED
On November 1, 2022, our Board of Directors declared a cash dividend on AIG Common Stock of $0.32 per share, payable on December 29, 2022 to shareholders of record on December 15, 2022. On November 1, 2022, our Board of Directors declared a cash dividend on AIG’s Series A Preferred Stock of $365.625 per share, payable on December 15, 2022 to holders of record on November 30, 2022.
ACCUMULATED OTHER COMPREHENSIVE INCOME (LOSS)
The following table presents a rollforward of Accumulated other comprehensive income (loss):
(in millions)Unrealized Appreciation
(Depreciation) of Fixed
Maturity Securities on
Which Allowance for
Credit Losses Was Taken		Unrealized
Appreciation
(Depreciation)
of All Other
Investments		Foreign
Currency
Translation
Adjustments		Retirement
Plan
Liabilities
Adjustment		Fair Value of
Liabilities Under
Fair Value Option
Attributable to
Changes in
Own Credit Risk		Total
Balance, June 30, 2022, net of tax$(61)$(13,972)$(2,747)$(878)$2 $(17,656)
Change in unrealized appreciation (depreciation) of investments
(94)(12,040)— — — (12,134)
Change in deferred policy acquisition costs adjustment and other
2 1,391 — — — 1,393 
Change in future policy benefits
— 582 — — — 582 
Change in foreign currency translation adjustments
— — (589)— — (589)
Change in net actuarial loss
— — — 15 — 15 
Change in prior service cost
— — — 3 — 3 
Change in deferred tax asset (liability)
19 1,743 (2)(3)— 1,757 
Change in fair value of liabilities under fair value option attributable to changes in own credit risk
— — — — — — 
Total other comprehensive income (loss)(73)(8,324)(591)15 — (8,973)
Other changes in AOCI:
Corebridge 12.4% noncontrolling interests sale
— 2,044 (3)(1)— 2,040 
Noncontrolling interests(6)(785)(5)— — (796)
Balance, September 30, 2022, net of tax$(128)$(19,467)$(3,336)$(864)$2 $(23,793)
Balance, June 30, 2021, net of tax$(58)$13,605 $(2,128)$(1,217)$7 $10,209 
Change in unrealized appreciation (depreciation) of investments
21 (2,086)— — — (2,065)
Change in deferred policy acquisition costs adjustment and other
(6)138 — — — 132 
Change in future policy benefits
— 72 — — — 72 
Change in foreign currency translation adjustments
— — (132)— — (132)
Change in net actuarial loss
— — — 40 — 40 
Change in prior service cost
— — — 1 — 1 
Change in deferred tax asset (liability)
(3)366 (3)(10)— 350 
Change in fair value of liabilities under fair value option attributable to changes in own credit risk
— — — — — — 
Total other comprehensive income (loss)12 (1,510)(135)31 — (1,602)
Noncontrolling interests— 1 — — — 1 
Balance, September 30, 2021, net of tax$(46)$12,094 $(2,263)$(1,186)$7 $8,606 
(in millions)Unrealized Appreciation
(Depreciation) of Fixed
Maturity Securities on
Which Allowance for
Credit Losses Was Taken		Unrealized
Appreciation
(Depreciation)
of All Other
Investments		Foreign
Currency
Translation
Adjustments		Retirement
Plan
Liabilities
Adjustment		Fair Value of
Liabilities Under
Fair Value Option
Attributable to
Changes in
Own Credit Risk		Total
Balance, December 31, 2021, net of tax$(57)$10,094 $(2,453)$(903)$6 $6,687 
Change in unrealized appreciation (depreciation) of investments
(106)(50,099)— — — (50,205)
Change in deferred policy acquisition costs adjustment and other6 6,723 — — — 6,729 
Change in future policy benefits— 2,707 — — — 2,707 
Change in foreign currency translation adjustments— — (794)— — (794)
Change in net actuarial loss— — — 31 — 31 
Change in prior service cost— — — 8 — 8 
Change in deferred tax asset (liability)22 6,200 (83)1 — 6,140 
Change in fair value of liabilities under fair value option attributable to changes in own credit risk— — — — (4)(4)
Total other comprehensive income (loss)(78)(34,469)(877)40 (4)(35,388)
Other changes in AOCI:
Corebridge 12.4% noncontrolling interests sale
— 2,044 (3)(1)— 2,040 
Noncontrolling interests(7)(2,864)3 — — (2,868)
Balance, September 30, 2022, net of tax$(128)$(19,467)$(3,336)$(864)$2 $(23,793)
(in millions)Unrealized Appreciation
(Depreciation) of Fixed
Maturity Securities on
Which Allowance for
Credit Losses Was Taken		Unrealized
Appreciation
(Depreciation)
of All Other
Investments		Foreign
Currency
Translation
Adjustments		Retirement
Plan
Liabilities
Adjustment		Fair Value of
Liabilities Under
Fair Value Option
Attributable to
Changes in
Own Credit Risk		Total
Balance, December 31, 2020, net of tax$(95)$17,093 $(2,267)$(1,228)$8 $13,511 
Change in unrealized appreciation (depreciation) of investments72 (7,940)— — — (7,868)
Change in deferred policy acquisition costs adjustment and other(10)840 — — — 830 
Change in future policy benefits— 839 — — — 839 
Change in foreign currency translation adjustments— — 63 — — 63 
Change in net actuarial loss— — — 51 — 51 
Change in prior service cost— — — 5 — 5 
Change in deferred tax asset (liability)(13)1,262 (59)(14)— 1,176 
Change in fair value of liabilities under fair value option attributable to changes in own credit risk— — — — (1)(1)
Total other comprehensive income (loss)49 (4,999)4 42 (1)(4,905)
Noncontrolling interests— — — — — — 
Balance, September 30, 2021, net of tax$(46)$12,094 $(2,263)$(1,186)$7 $8,606 
The following table presents the other comprehensive income (loss) reclassification adjustments for the three- and nine-month periods ended September 30, 2022 and 2021, respectively:
(in millions)Unrealized Appreciation
(Depreciation) of Fixed
Maturity Securities on
Which Allowance for
Credit Losses Was Taken		Unrealized
Appreciation
(Depreciation)
of All Other
Investments		Foreign
Currency
Translation
Adjustments		Retirement
Plan
Liabilities
Adjustment		Fair Value of
Liabilities Under
Fair Value Option
Attributable to
Changes in
Own Credit Risk		Total
Three Months Ended September 30, 2022
Unrealized change arising during period$(75)$(10,215)$(589)$10 $— $(10,869)
Less: Reclassification adjustments included in net income17 (148)— (8)— (139)
Total other comprehensive income (loss), before income tax expense (benefit)(92)(10,067)(589)18 — (10,730)
Less: Income tax expense (benefit)(19)(1,743)2 3 — (1,757)
Total other comprehensive income (loss), net of income tax expense (benefit)$(73)$(8,324)$(591)$15 $— $(8,973)
Three Months Ended September 30, 2021
Unrealized change arising during period$21 $(1,657)$(132)$30 $— $(1,738)
Less: Reclassification adjustments included in net income6 219 — (11)— 214 
Total other comprehensive income (loss), before income tax expense (benefit)15 (1,876)(132)41 — (1,952)
Less: Income tax expense (benefit)3 (366)3 10 — (350)
Total other comprehensive income (loss), net of income tax expense (benefit)$12 $(1,510)$(135)$31 $— $(1,602)
Nine Months Ended September 30, 2022
Unrealized change arising during period$(91)$(41,552)$(794)$16 $(4)$(42,425)
Less: Reclassification adjustments included in net income9 (883)— (23)— (897)
Total other comprehensive income (loss), before of income tax expense (benefit)(100)(40,669)(794)39 (4)(41,528)
Less: Income tax expense (benefit)(22)(6,200)83 (1)— (6,140)
Total other comprehensive income (loss), net of income tax expense (benefit)$(78)$(34,469)$(877)$40 $(4)$(35,388)
Nine Months Ended September 30, 2021
Unrealized change arising during period$62 $(5,512)$63 $22 $(1)$(5,366)
Less: Reclassification adjustments included in net income— 749 — (34)— 715 
Total other comprehensive income (loss), before income tax expense (benefit)62 (6,261)63 56 (1)(6,081)
Less: Income tax expense (benefit)13 (1,262)59 14 — (1,176)
Total other comprehensive income (loss), net of income tax expense (benefit)$49 $(4,999)$4 $42 $(1)$(4,905)
The following table presents the effect of the reclassification of significant items out of AOCI on the respective line items in the Condensed Consolidated Statements of Income (Loss):
Amount Reclassified from AOCIAffected Line Item in the
Three Months Ended September 30,Condensed Consolidated
(in millions)20222021Statements of Income (Loss)
Unrealized appreciation (depreciation) of fixed maturity securities on which allowance for credit losses was taken
Investments$17 $6 Net realized gains (losses)
Total17 6 
Unrealized appreciation (depreciation) of all other investments
Investments(148)219 Net realized gains (losses)
Total(148)219 
Change in retirement plan liabilities adjustment
Prior-service credit(1)(1)*
Actuarial losses(7)(10)*
Total(8)(11)
Total reclassifications for the period$(139)$214 
Amount Reclassified from AOCIAffected Line Item in the
Nine Months Ended September 30,Condensed Consolidated
(in millions)20222021Statements of Income (Loss)
Unrealized appreciation (depreciation) of fixed maturity securities on which allowance for credit losses was taken
Investments$9 $— Net realized gains (losses)
Total9 — 
Unrealized appreciation (depreciation) of all other investments
Investments(883)749 Net realized gains (losses)
Total(883)749 
Change in retirement plan liabilities adjustment
Prior-service credit(2)(3)
Actuarial losses(21)(31)
Total(23)(34)
Total reclassifications for the period$(897)$715 
*These AOCI components are included in the computation of net periodic pension cost.
NON-CONTROLLING INTEREST
On September 19, 2022, AIG sold a 12.4 percent equity interest in Corebridge in the IPO, reducing its equity ownership to 77.7 percent.
For additional information on the Corebridge IPO see Note 1.
The following table presents the effect of changes in our ownership interest in Corebridge on our equity as of September 19, 2022:
Nine Months Ended September 30,
(in millions)
2022
Net income attributable to AIG common shareholders$9,983 
Changes in AIG equity for sale of 12.4% interest in Corebridge
608 
Change from Net income attributable to AIG common shareholders and changes in AIG's ownership interests$10,591