Other Comprehensive Income

3 Months Ended

Mar. 31, 2013

Other Comprehensive Income [Abstract]

Other Comprehensive Income

Note 9 – Other Comprehensive Income

Our other comprehensive income for the three months ended March 31, 2013 and 2012 was as follows:

	Three Months Ended
		March 31, 2013
								Valuation
		Before tax			Tax effect			allowance			Net of tax
	(In thousands)
Other comprehensive income (loss):
Change in unrealized gains and losses on investments		$	(10,539	)	$	3,592		$	(3,007	)	$	(9,954	)
Unrealized foreign currency translation adjustment			486			(170	)		-			316
Other comprehensive income (loss)		$	(10,053	)	$	3,422		$	(3,007	)	$	(9,638	)

	Three Months Ended
		March 31, 2012
								Valuation
		Before tax			Tax effect			allowance			Net of tax
	(In thousands)
Other comprehensive income (loss):
Change in unrealized gains and losses on investments		$	(46,926	)	$	16,256		$	(15,248	)	$	(45,918	)
Unrealized foreign currency translation adjustment			1,667			(584	)		-			1,083
Other comprehensive income (loss)		$	(45,259	)	$	15,672		$	(15,248	)	$	(44,835	)

See Note 11 – "Income Taxes" for a discussion of the valuation allowance.

Total accumulated other comprehensive income and changes in accumulated other comprehensive income, including amounts reclassified from other comprehensive income, are included in the table below.

	Three Months Ended
	March 31, 2013
	Unrealized gains and
	losses on available-				Defined benefit			Foreign currency
	for-sale securities				plans			translation			Total
	(In thousands)
Balance at December 31, 2012, before tax	$	41,541			$	(71,804	)	$	32,747		$	2,484
Other comprehensive income (loss) before reclassifications		(8,467	)			-			486			(7,981	)
Amounts reclassified from accumulated other comprehensive income (loss)		2,072		(1)		-			-			2,072
Net current period other comprehensive income (loss)		(10,539	)			-			486			(10,053	)
Balance at March 31, 2013, before tax		31,002				(71,804	)		33,233			(7,569	)
Tax effect (2)		(66,054	)			26,940			(11,118	)		(50,232	)
Balance at March 31, 2013, net of tax	$	(35,052	)		$	(44,864	)	$	22,115		$	(57,801	)

(1) During the three months ended March 31, 2013, unrealized gains and losses of $2.1 million were reclassified to the Consolidated Statement of Operations and included in Realized investment gains.

(2)Tax effect does not approximate 35% due to amounts of tax benefits not provided in various periods due to our tax valuation allowance.