

	For the Three						For the Nine
	Months Ended						Months Ended
	September 30,						September 30,
	2023			2022			2023			2022
Fixed maturity AFS securities:
Gross gains	$	1		$	11		$	35		$	15
Gross losses		(3	)		(15	)		(119	)		(24	)
Credit loss benefit (expense) ⁽¹⁾		(1	)		(5	)		(17	)		(11	)
Intent to sell impairments ⁽²⁾		(467	)		-			(1,091	)		-
Realized gain (loss) on equity securities⁽³⁾		8			16			(20	)		(3	)
Credit loss benefit (expense) on mortgage loans on real estate		(9	)		(9	)		(16	)		4
Credit loss benefit (expense) on reinsurance-related assets ⁽⁴⁾		(16	)		(118	)		(20	)		(115	)
Realized gain (loss) on the mark-to-market on certain instruments ⁽⁵⁾⁽⁶⁾		128			40			(147	)		31
Indexed product derivative results ⁽⁷⁾		4			(25	)		(199	)		113
Derivative results ⁽⁸⁾		(81	)		382			(1,454	)		1,554
Other realized gain (loss)		(17	)		(28	)		(18	)		(33	)
Total realized gain (loss)	$	(453	)	$	249		$	(3,066	)	$	1,531

⁽¹⁾Includes changes in the allowance for credit losses as well as direct write-downs to amortized cost as a result of negative credit events.

⁽²⁾Includes impairments of certain fixed maturity AFS securities in an unrealized loss position, resulting from the Company’s intent to sell these securities as part of the Fortitude Re reinsurance transaction. Within the investment portfolio anticipated to be sold in the transaction, there are additional fixed maturity AFS securities in an unrealized gain position of approximately $208 million pre-tax as of September 30, 2023. Pursuant to the applicable accounting guidance, the Company impaired the securities in a loss position down to fair market value upon entry into the agreement in the second quarter and recognized additional impairment on certain of these securities during the third quarter due to higher interest rates. The Company will recognize a gain for any securities in an unrealized gain position at the time when the transaction closes. See Notes 4 and 8 for additional information.

⁽³⁾Includes mark-to-market adjustments on equity securities still held of $9 million and $16 million for the three months ended September 30, 2023 and 2022, respectively, and $(22) million and $2 million for the nine months ended September 30, 2023 and 2022, respectively.

⁽⁴⁾Includes the release of reinsurance recoverables and the corresponding allowance for credit losses related to a third-party reinsurer, Scottish Re, where liquidation proceedings commenced during the third quarter of 2023. As of September 30, 2023, reinsurance coverage terminated and all business ceded to Scottish Re was therefore recaptured.

⁽⁵⁾Represents changes in the fair values of derivatives we hold as part of VUL hedging, reinsurance-related embedded derivatives and trading securities.

⁽⁶⁾Includes gains and losses from fair value changes on mortgage loans on real estate accounted for under the fair value option of $2 million and $(1) million for the three months ended September 30, 2023 and 2022, respectively, and $1 million and $(18) million for the nine months ended September 30, 2023 and 2022, respectively.

⁽⁷⁾Represents the change in fair value of the index options that we hold and the change in the fair value of the embedded derivative liabilities of our indexed annuity and IUL contracts, and the associated index options to hedge policyholder index allocations applicable to future reset periods for our indexed annuity products.

⁽⁸⁾Includes the change in the fair value of the derivative instruments we own to support capital needs associated with our GLB and GDB riders net of fee income allocated to support the cost of purchasing the hedging instruments.