Schedule II Condensed Financial Information of Registrant (Tables)

12 Months Ended

Dec. 31, 2018

Debt consists of the following:



			December 31
			2018			2017
	Interest Rates	Maturities	(in millions of dollars)
Long-term Debt
Outstanding Principal
Senior Secured Notes issued 2007	Variable	2037	$	140.0		$	200.0
Senior Notes issued 1998	6.750 - 7.250%	2028	365.8			365.8
Senior Notes issued 2002	7.375%	2032	39.5			39.5
Senior Notes issued 2010	5.625%	2020	400.0			400.0
Senior Notes issued 2012 and 2016	5.750%	2042	500.0			500.0
Senior Notes issued 2014	4.000%	2024	350.0			350.0
Senior Notes issued 2015	3.875%	2025	275.0			275.0
Senior Notes issued 2016	3.000%	2021	350.0			350.0
Medium-term Notes issued 1990 - 1996	7.000 - 7.190%	2023 - 2028	50.8			50.8
Junior Subordinated Debt Securities issued 1998	7.405%	2038	226.5			226.5
Junior Subordinated Debt Securities issued 2018	6.250%	2058	300.0			—
Fair Value Hedge Adjustment			(5.1		)	(4.5		)
Less:
Unamortized Net Premium			9.6			9.7
Unamortized Debt Issuance Costs			(30.8		)	(24.4		)
Total Long-term Debt			2,971.3			2,738.4

Short-term Debt
Outstanding Principal
Senior Notes issued 1998	7.000%	2018	—			200.0
Less Unamortized Debt Issuance Costs			—			(0.1		)
Total Short-term Debt			—			199.9

Total Debt			$	2,971.3		$	2,938.3

BALANCE SHEETS



	December 31
	2018			2017
	(in millions of dollars)
Assets
Fixed Maturity Securities - at fair value (amortized cost: $139.0; $153.9)	$	135.9		$	154.1
Other Long-term Investments	38.8			16.8
Short-term Investments	285.2			477.8
Investment in Subsidiaries	11,383.6			12,157.1
Deferred Income Tax	116.7			121.5
Other Assets	446.9			455.4
Total Assets	$	12,407.1		$	13,382.7

Liabilities and Stockholders' Equity

Liabilities
Short-term Debt	$	—		$	199.9
Long-term Debt	2,831.3			2,538.4
Pension and Postretirement Benefits	594.2			683.3
Other Liabilities	359.8			386.2
Total Liabilities	3,785.3			3,807.8

Stockholders' Equity
Common Stock	30.5			30.5
Additional Paid-in Capital	2,321.7			2,303.3
Accumulated Other Comprehensive Income (Loss)	(814.2		)	127.5
Retained Earnings	9,863.1			9,542.2
Treasury Stock	(2,779.3		)	(2,428.6		)
Total Stockholders' Equity	8,621.8			9,574.9

Total Liabilities and Stockholders' Equity	$	12,407.1		$	13,382.7

See notes to condensed financial information.

STATEMENTS OF OPERATIONS



	Year Ended December 31
	2018			2017		2016
	(in millions of dollars)
Cash Dividends from Subsidiaries	$	1,135.4		$	830.2	$	676.5
Other Income	66.6			66.6		58.4
Total Revenue	1,202.0			896.8		734.9

Interest and Debt Expense	161.4			154.2		160.1
Other Expenses	53.4			37.1		32.3
Total Expenses	214.8			191.3		192.4

Income of Parent Company Before Income Tax	987.2			705.5		542.5
Income Tax Expense (Benefit)	(1.7		)	115.3		(20.2		)

Income of Parent Company	988.9			590.2		562.7
Equity in Undistributed Earnings (Loss) of Subsidiaries	(465.5		)	404.0		368.7

Net Income	523.4			994.2		931.4

Other Comprehensive Income (Loss), Net of Tax	(924.2		)	178.5		(67.1		)

Comprehensive Income (Loss)	$	(400.8	)	$	1,172.7	$	864.3

See notes to condensed financial information.

STATEMENTS OF CASH FLOWS



	Year Ended December 31
	2018			2017			2016
	(in millions of dollars)
Cash Provided by Operating Activities	$	1,052.1		$	740.6		$	685.4

Cash Flows from Investing Activities
Proceeds from Sales of Fixed Maturity Securities	—			—			2.6
Proceeds from Maturities of Fixed Maturity Securities	52.5			194.3			111.2
Proceeds from Sales and Maturities of Other Investments	—			35.2			0.4
Purchase of Fixed Maturity Securities	(47.9		)	(121.2		)	(56.5		)
Purchase of Other Investments	(22.3		)	—			(23.3		)
Net Sales (Purchases) of Short-term Investments	192.6			(99.9		)	(89.8		)
Cash Distributions to Subsidiaries	(530.8		)	(79.5		)	(143.6		)
Net Purchases of Property and Equipment	(73.2		)	(83.3		)	(55.5		)
Acquisition of Business	(146.1		)	—			(140.3		)
Other, Net	—			—			0.2
Cash Used by Investing Activities	(575.2		)	(154.4		)	(394.6		)

Cash Flows from Financing Activities
Short-term Debt Repayment	(200.0		)	—			—
Issuance of Long-term Debt	290.7			—			609.1
Long-term Debt Repayment	—			—			(350.0		)
Issuance of Common Stock	4.6			10.8			8.5
Repurchase of Common Stock	(356.2		)	(401.8		)	(405.2		)
Dividends Paid to Stockholders	(215.6		)	(196.0		)	(182.6		)
Other, Net	(9.3		)	0.2			(1.0		)
Cash Used by Financing Activities	(485.8		)	(586.8		)	(321.2		)

Decrease in Cash	$	(8.9	)	$	(0.6	)	$	(30.4	)

See notes to condensed financial information.

Debt consists of the following:



			December 31
			2018			2017
	Interest Rates	Maturities	(in millions of dollars)
Long-term Debt
Outstanding Principal
Senior Notes issued 1998	6.750 - 7.250%	2028	$	365.8		$	365.8
Senior Notes issued 2002	7.375%	2032	39.5			39.5
Senior Notes issued 2010	5.625%	2020	400.0			400.0
Senior Notes issued 2012 and 2016	5.750%	2042	500.0			500.0
Senior Notes issued 2014	4.000%	2024	350.0			350.0
Senior Notes issued 2015	3.875%	2025	275.0			275.0
Senior Notes issued 2016	3.000%	2021	350.0			350.0
Medium-term Notes issued 1990 - 1996	7.000 - 7.190%	2023 - 2028	50.8			50.8
Junior Subordinated Debt Securities issued 1998	7.405%	2038	226.5			226.5
Junior Subordinated Debt Securities issued 2018	6.250%	2058	300.0			—
Fair Value Hedge Adjustment			(5.1		)	(4.5		)
Less:
Unamortized Net Premium			9.6			9.7
Unamortized Debt Issuance Costs			(30.8		)	(24.4		)
Total Long-term Debt			2,831.3			2,538.4

Short-term Debt
Outstanding Principal
Senior Notes issued 1998	7.000%	2018	—			200.0
Less Unamortized Debt Issuance Costs			—			(0.1		)
Total Short-term Debt			—			199.9

Total Debt			$	2,831.3		$	2,738.3