Discontinued Operations (Tables)

9 Months Ended

Sep. 30, 2014

Discontinued Operations and Disposal Groups [Abstract]

Schedule of Disposal Groups, Including Discontinued Operations, Income Statement, Balance Sheet And Additional Disclosures

The following summarizes the assets and liabilities associated with the business classified as held for sale:

Millions	September 30, 2014		December 31, 2013
Assets held for sale
Fixed maturity investments, at fair value	$	203.9	$	236.3
Reinsurance recoverable on unpaid losses	1,458.4		1,604.7
Reinsurance recoverable on paid losses	7.4		10.7
Insurance premiums receivable	11.6		9.1
Deferred tax asset	2.5		3.3
Other assets	15.4		16.0
Total assets held for sale	$	1,699.2	$	1,880.1
Liabilities held for sale
Loss and loss adjustment expense reserves	$	1,600.9	$	1,793.1
Unearned insurance premiums	—		.2
Ceded reinsurance payable	12.1		12.3
Other liabilities	86.2		74.5
Total liabilities held for sale	1,699.2		1,880.1
Net assets held for sale	$	—	$	—

Net Income from Discontinued Operations

The following summarizes the results of operations, including related income taxes associated with the business classified as discontinued operations:

	Three Months Ended						Nine Months Ended
	September 30,						September 30,
Millions	2014			2013			2014			2013
Revenues
Earned insurance premiums	$	.3		$	1.1		$	.1		$	.7
Other revenue	—			.1			—			12.3
Total revenues	.3			1.2			.1			13.0
Expenses
Loss and loss adjustment expenses	—			.1			(.7		)	7.6
Insurance and reinsurance acquisition expenses	.1			.1			.1			.1
Other underwriting expenses	.8			.4			2.2			.3
Total expenses	.9			.6			1.6			8.0
Pre-tax (loss) income	(.6		)	.6			(1.5		)	5.0
Income tax benefit (expense)	.3			(.2		)	.6			(.2		)
Net (loss) income from discontinued operations	(.3		)	.4			$	(.9	)	$	4.8
Net gain from sales of discontinued operations	7.0			—			9.7			—
Net income from discontinued operations	$	6.7		$	.4		$	8.8		$	4.8

Earnings Per Share

Basic earnings per share amounts are based on the weighted average number of common shares outstanding including unvested restricted shares that are considered participating securities.  Diluted earnings per share amounts are based on the weighted average number of common shares including unvested restricted shares and the net effect of potentially dilutive common shares outstanding. The following table outlines the computation of earnings per share for discontinued operations for the three and nine months endedSeptember 30, 2014 and 2013:

	Three Months Ended						Nine Months Ended
	September 30,						September 30,
	2014			2013			2014			2013
Basic and diluted earnings per share numerators (in millions):
Net income attributable to White Mountains’s common shareholders	$	6.7		$	.4		$	8.8		$	4.8
Allocation of income for participating unvested restricted common shares(1)	(.1		)	—			(.1		)	—
Net income attributable to White Mountains’s common shareholders,    net of restricted common share amounts (2)	$	6.6		$	.4		$	8.7		$	4.8
Basic earnings per share denominators (in thousands):
Total average common shares outstanding during the period	6,091.5			6,176.6			6,140.9			6,208.4
Average unvested restricted common shares(3)	(81.3		)	(95.5		)	(77.7		)	(90.0		)
Basic earnings per share denominator	6,010.2			6,081.1			6,063.2			6,118.4
Diluted earnings per share denominator (in thousands):
Total average common shares outstanding during the period	6,091.5			6,176.6			6,140.9			6,208.4
Average unvested restricted common shares(3)	(81.3		)	(95.5		)	(77.7		)	(90.0		)
Average outstanding dilutive options to acquire common shares(4)	—			—			—			—
Diluted earnings per share denominator	6,010.2			6,081.1			6,063.2			6,118.4
Basic and diluted earnings per share (in dollars):	$	1.10		$	.06		$	1.43		$	.78

⁽¹⁾ Restricted shares issued by White Mountains contain dividend participation features, and therefore, are considered participating securities.

⁽²⁾ Net earnings attributable to White Mountains’s common shareholders, net of restricted share amounts, is equal to undistributed earnings for the three and nine months endedSeptember 30, 2014 and 2013.

⁽³⁾ Restricted common shares outstanding vest either in equal annual installments or upon a stated date (see Note 13).

⁽⁴⁾ The diluted earnings per share denominator for the three and nine months endedSeptember 30, 2014 and 2013 does not include the impact of 125,000 common shares issuable upon exercise of the non-qualified options outstanding as they are anti-dilutive to the calculation.