CLOSED BLOCK

Summarized financial information for the Company’s Closed Block is as follows:



	March 31, 2018		December 31, 2017
	(in millions)
CLOSED BLOCK LIABILITIES:
Future policy benefits, policyholders’ account balances and other	$	6,904	$	6,958
Policyholder dividend obligation	—		19
Other liabilities	269		271
Total Closed Block liabilities	7,173		7,248
ASSETS DESIGNATED TO THE CLOSED BLOCK:
Fixed maturities, available for sale, at fair value (amortized cost of $3,864 and $3,923)	3,908		4,070
Mortgage loans on real estate	1,837		1,720
Policy loans	772		781
Cash and other invested assets	235		351
Other assets	192		182
Total assets designated to the Closed Block	6,944		7,104
Excess of Closed Block liabilities over assets designated to the Closed Block	229		144
Amounts included in accumulated other comprehensive income (loss):
Net unrealized investment gains (losses), net of policyholder dividend obligation of $0 and $19	55		138
Maximum Future Earnings To Be Recognized From Closed Block Assets and Liabilities	$	284	$	282

The Company’s Closed Block revenues and expenses follow:



		Three Months Ended March 31,
		2018			2017
	(in millions)
REVENUES:
Premiums and other income		$	51		$	54
Net investment income (loss)		73			83
Net investment gains (losses)		1			(15		)
Total revenues		125			122
BENEFITS AND OTHER DEDUCTIONS:
Policyholders’ benefits and dividends		126			151
Other operating costs and expenses		1			—
Total benefits and other deductions		127			151
Net revenues (loss) before income taxes		(2		)	(29		)
Income tax (expense) benefit		—			10
Net Revenues (Losses)		$	(2	)	$	(19	)

A reconciliation of the Company’s policyholder dividend obligation follows:



	Three Months Ended March 31,
	2018			2017
	(in millions)
Balances, beginning of year	$	19		$	52
Unrealized investment gains (losses), net of DAC	(19		)	(14		)
Balances, End of Period	$	—		$	38