XML 30 R28.htm IDEA: XBRL DOCUMENT v2.4.0.6
Information provided in connection with outstanding debt of subsidiaries (Tables)
 3 Months Ended
Mar. 31, 2013
Information Provided In Connection With Outstanding Debt Of Subsidiaries [Abstract]  
Condensed Consolidating Balance Sheet

Condensed Consolidating Balance Sheet at March 31, 2013
(in millions of U.S. dollars)
ACE
Limited
(Parent
Guarantor)

 
ACE INA
Holdings Inc.
(Subsidiary
Issuer)

 
Other ACE
Limited
Subsidiaries and Eliminations(1)

 
Consolidating
Adjustments(2)

 
ACE Limited
Consolidated

Assets
 
 
 
 
 
 
 
 
 
Investments
$
28

 
$
32,593

 
$
28,738

 
$
—

 
$
61,359

Cash
197

 
560

 
98

 
—

 
855

Insurance and reinsurance balances receivable
—

 
3,658

 
496

 
—

 
4,154

Reinsurance recoverable on losses and loss expenses
—

 
16,432

 
(4,902
)
 
—

 
11,530

Reinsurance recoverable on policy benefits
—

 
1,162

 
(931
)
 
—

 
231

Value of business acquired
—

 
579

 
4

 
—

 
583

Goodwill and other intangible assets
—

 
4,359

 
550

 
—

 
4,909

Investments in subsidiaries
27,836

 
—

 
—

 
(27,836
)
 
—

Due from subsidiaries and affiliates, net
114

 
—

 
—

 
(114
)
 
—

Other assets
9

 
7,830

 
2,001

 
—

 
9,840

Total assets
$
28,184

 
$
67,173

 
$
26,054

 
$
(27,950
)
 
$
93,461

Liabilities
 
 
 
 
 
 
 
 
 
Unpaid losses and loss expenses
$
—

 
$
30,593

 
$
6,489

 
$
—

 
$
37,082

Unearned premiums
—

 
6,000

 
1,019

 
—

 
7,019

Future policy benefits
—

 
3,877

 
588

 
—

 
4,465

Due to (from) subsidiaries and affiliates, net
—

 
358

 
(244
)
 
(114
)
 
—

Short-term debt
—

 
851

 
551

 
—

 
1,402

Long-term debt
—

 
4,307

 
—

 
—

 
4,307

Trust preferred securities
—

 
309

 
—

 
—

 
309

Other liabilities
242

 
8,985

 
1,708

 
—

 
10,935

Total liabilities
242

 
55,280

 
10,111

 
(114
)
 
65,519

Total shareholders’ equity
27,942

 
11,893

 
15,943

 
(27,836
)
 
27,942

Total liabilities and shareholders’ equity
$
28,184

 
$
67,173

 
$
26,054

 
$
(27,950
)
 
$
93,461

(1) 
Includes all other subsidiaries of ACE Limited and intercompany eliminations.
(2) 
Includes ACE Limited parent company eliminations.
 




Condensed Consolidating Balance Sheet at December 31, 2012

(in millions of U.S. dollars)
ACE
Limited
(Parent
Guarantor)

 
ACE INA
Holdings Inc.
(Subsidiary
Issuer)

 
Other ACE
Limited
Subsidiaries and
Eliminations(1)

 
Consolidating
Adjustments(2)

 
ACE Limited
Consolidated

Assets
 
 
 
 
 
 
 
 
 
Investments
$
31

 
$
31,074

 
$
29,159

 
$
—

 
$
60,264

Cash(3)
103

 
515

 
(3
)
 
—

 
615

Insurance and reinsurance balances receivable
—

 
3,654

 
493

 
—

 
4,147

Reinsurance recoverable on losses and loss expenses
—

 
17,232

 
(5,154
)
 
—

 
12,078

Reinsurance recoverable on policy benefits
—

 
1,187

 
(946
)
 
—

 
241

Value of business acquired
—

 
610

 
4

 
—

 
614

Goodwill and other intangible assets
—

 
4,419

 
556

 
—

 
4,975

Investments in subsidiaries
27,251

 
—

 
—

 
(27,251
)
 
—

Due from subsidiaries and affiliates, net
204

 
—

 
—

 
(204
)
 
—

Other assets
13

 
7,563

 
2,035

 
—

 
9,611

Total assets
$
27,602

 
$
66,254

 
$
26,144

 
$
(27,455
)
 
$
92,545

Liabilities
 
 
 
 
 
 
 
 
 
Unpaid losses and loss expenses
$
—

 
$
31,356

 
$
6,590

 
$
—

 
$
37,946

Unearned premiums
—

 
5,872

 
992

 
—

 
6,864

Future policy benefits
—

 
3,876

 
594

 
—

 
4,470

Due to (from) subsidiaries and affiliates, net
—

 
384

 
(180
)
 
(204
)
 
—

Short-term debt
—

 
851

 
550

 
—

 
1,401

Long-term debt
—

 
3,360

 
—

 
—

 
3,360

Trust preferred securities
—

 
309

 
—

 
—

 
309

Other liabilities
71

 
8,272

 
2,321

 
—

 
10,664

Total liabilities
71

 
54,280

 
10,867

 
(204
)
 
65,014

Total shareholders’ equity
27,531

 
11,974

 
15,277

 
(27,251
)
 
27,531

Total liabilities and shareholders’ equity
$
27,602

 
$
66,254

 
$
26,144

 
$
(27,455
)
 
$
92,545

(1) 
Includes all other subsidiaries of ACE Limited and intercompany eliminations.
(2) 
Includes ACE Limited parent company eliminations.
Condensed Consolidating Statement Of Operations and Comprehensive Income
Condensed Consolidating Statements of Operations and Comprehensive Income (Loss)
For the Three Months Ended March 31, 2013
ACE
Limited
(Parent
Guarantor)

 
ACE INA
Holdings Inc.
(Subsidiary
Issuer)

 
Other ACE
Limited
Subsidiaries and
Eliminations(1)

 
Consolidating
Adjustments (2)

 
ACE
Limited
Consolidated

(in millions of U.S. dollars)
 
 
 
 
Net premiums written
$
—

 
$
2,082

 
$
1,716

 
$
—

 
$
3,798

Net premiums earned
—

 
2,006

 
1,567

 
—

 
3,573

Net investment income
—

 
248

 
283

 
—

 
531

Equity in earnings of subsidiaries
914

 
—

 
—

 
(914
)
 
—

Net realized gains (losses) including OTTI
12

 
10

 
184

 
—

 
206

Losses and loss expenses
—

 
1,253

 
673

 
—

 
1,926

Policy benefits
—

 
81

 
50

 
—

 
131

Policy acquisition costs and administrative expenses
15

 
626

 
487

 
—

 
1,128

Interest (income) expense
(7
)
 
67

 
—

 
—

 
60

Other (income) expense
(38
)
 
34

 
(6
)
 
—

 
(10
)
Income tax expense
3

 
56

 
63

 
—

 
122

Net income
$
953

 
$
147

 
$
767

 
$
(914
)
 
$
953

Comprehensive income (loss)
$
716

 
$
(1
)
 
$
915

 
$
(914
)
 
$
716


Condensed Consolidating Statements of Operations and Comprehensive Income
For the Three Months Ended March 31, 2012
ACE
Limited
(Parent
Guarantor)

 
ACE INA
Holdings Inc.
(Subsidiary
Issuer)

 
Other ACE
Limited
Subsidiaries and
Eliminations(1)

 
Consolidating
Adjustments (2)

 
ACE
Limited
Consolidated

(in millions of U.S. dollars)
 
 
 
 
Net premiums written
$
—

 
$
2,098

 
$
1,474

 
$
—

 
$
3,572

Net premiums earned
—

 
1,952

 
1,429

 
—

 
3,381

Net investment income
—

 
265

 
279

 
—

 
544

Equity in earnings of subsidiaries
928

 
—

 
—

 
(928
)
 
—

Net realized gains (losses) including OTTI
20

 
26

 
214

 
—

 
260

Losses and loss expenses
—

 
1,182

 
622

 
—

 
1,804

Policy benefits
—

 
86

 
61

 
—

 
147

Policy acquisition costs and administrative expenses
12

 
640

 
440

 
—

 
1,092

Interest (income) expense
(9
)
 
66

 
5

 
—

 
62

Other (income) expense
(30
)
 
25

 
2

 
—

 
(3
)
Income tax expense
2

 
85

 
23

 
—

 
110

Net income
$
973

 
$
159

 
$
769

 
$
(928
)
 
$
973

Comprehensive income
$
1,271

 
$
287

 
$
641

 
$
(928
)
 
$
1,271

(1) 
Includes all other subsidiaries of ACE Limited and intercompany eliminations.
(2) 
Includes ACE Limited parent company eliminations.
Condensed Consolidating Statement of Cash Flows
Condensed Consolidating Statement of Cash Flows
For the Three Months Ended March 31, 2013
ACE
Limited
(Parent
Guarantor)

 
ACE INA
Holdings Inc.
(Subsidiary
Issuer)

 
Other ACE
Limited
Subsidiaries and
Eliminations(1)

 
Consolidating
Adjustments(2)

 
ACE
Limited
Consolidated

(in millions of U.S. dollars)
 
 
 
 
Net cash flows from operating activities
$
53

 
$
644

 
$
216

 
$
—

 
$
913

Cash flows from investing activities
 
 
 
 
 
 
 
 
 
Purchases of fixed maturities available for sale
—

 
(3,825
)
 
(2,327
)
 
—

 
(6,152
)
Purchases of fixed maturities held to maturity
—

 
(137
)
 
(5
)
 
—

 
(142
)
Purchases of equity securities
—

 
(89
)
 
(18
)
 
—

 
(107
)
Sales of fixed maturities available for
sale
—

 
1,473

 
1,291

 
—

 
2,764

Sales of equity securities
—

 
25

 
6

 
—

 
31

Maturities and redemptions of fixed maturities available for sale
—

 
879

 
1,137

 
—

 
2,016

Maturities and redemptions of fixed maturities held to maturity
—

 
351

 
140

 
—

 
491

Net derivative instruments settlements
—

 
4

 
(283
)
 
—

 
(279
)
Advances from (to) affiliates
43

 
—

 
—

 
(43
)
 
—

Acquisition of subsidiaries
—

 
(33
)
 
—

 
—

 
(33
)
Other
—

 
(86
)
 
31

 
—

 
(55
)
Net cash flows from (used for) investing activities
43

 
(1,438
)
 
(28
)
 
(43
)
 
(1,466
)
Cash flows from financing activities
 
 
 
 
 
 
 
 
 
Dividends paid on Common Shares
(2
)
 
—

 
—

 
—

 
(2
)
Common Shares repurchased
—

 
—

 
(154
)
 
—

 
(154
)
Net proceeds from issuance of long-term debt
—

 
947

 
—

 
—

 
947

Net proceeds from issuance of short-term debt
—

 
—

 
1

 
—

 
1

Proceeds from share-based compensation plans, including windfall tax benefits
—

 
(8
)
 
29

 
—

 
21

Advances (to) from affiliates
—

 
(71
)
 
28

 
43

 
—

Net cash flows from (used for) financing activities
(2
)
 
868

 
(96
)
 
43

 
813

Effect of foreign currency rate changes on cash and cash equivalents
—

 
(29
)
 
9

 
—

 
(20
)
Net increase in cash
94

 
45

 
101

 
—

 
240

Cash – beginning of period(3)
103

 
515

 
(3
)
 
—

 
615

Cash – end of period
$
197

 
$
560

 
$
98

 
$
—

 
$
855

(1) 
Includes all other subsidiaries of ACE Limited and intercompany eliminations.
(2) 
Includes ACE Limited parent company eliminations and certain consolidating adjustments.
(3) 
ACE maintains two notional multicurrency cash pools (Pools) with a third-party bank. Various ACE entities participate in one or the other of the Pools, pursuant to which credit and debit balances in individual ACE accounts are translated daily into a single currency and pooled on a notional basis. Individual ACE entities are permitted to overdraw on their individual accounts provided the overall Pool balances do not fall below zero. At December 31, 2012, the cash balance of one or more entities was negative; however, the overall Pool balances were positive.

Condensed Consolidating Statement of Cash Flows
For the Three Months Ended March 31, 2012
ACE
Limited
(Parent
Guarantor)

 
ACE INA
Holdings Inc.
(Subsidiary
Issuer)

 
Other ACE
Limited
Subsidiaries and
Eliminations(1)

 
Consolidating
Adjustments(2)

 
ACE
Limited
Consolidated

(in millions of U.S. dollars)
 
 
 
 
Net cash flows from operating activities
$
19

 
$
66

 
$
487

 
$
—

 
$
572

Cash flows from investing activities
 
 
 
 
 
 
 
 
 
Purchases of fixed maturities available for sale
—

 
(2,650
)
 
(2,833
)
 
—

 
(5,483
)
Purchases of fixed maturities held to maturity
—

 
(31
)
 
(1
)
 
—

 
(32
)
Purchases of equity securities
—

 
(10
)
 
(9
)
 
—

 
(19
)
Sales of fixed maturities available for sale
—

 
1,935

 
1,860

 
—

 
3,795

Sales of equity securities
—

 
24

 
2

 
—

 
26

Maturities and redemptions of fixed maturities available for sale
—

 
497

 
579

 
—

 
1,076

Maturities and redemptions of fixed maturities held to maturity
—

 
267

 
78

 
—

 
345

Net derivative instruments settlements
(1
)
 
(1
)
 
(193
)
 
—

 
(195
)
Advances from (to) affiliates
66

 
—

 
—

 
(66
)
 
—

Acquisition of subsidiaries
—

 
(25
)
 
—

 
—

 
(25
)
Other
—

 
90

 
(193
)
 
—

 
(103
)
Net cash flows from (used for) investing activities
65

 
96

 
(710
)
 
(66
)
 
(615
)
Cash flows from financing activities
 
 
 
 
 
 
 
 
 
Dividends paid on Common Shares
(159
)
 
—

 
—

 
—

 
(159
)
Common Shares repurchased
—

 
—

 
(11
)
 
—

 
(11
)
Net proceeds from issuance (repayments) of short-term debt
130

 
1

 
150

 
—

 
281

Proceeds from share-based compensation plans
1

 
—

 
27

 
—

 
28

Advances from (to) affiliates
—

 
(48
)
 
(18
)
 
66

 
—

Net cash flows (used for) from financing activities
(28
)
 
(47
)
 
148

 
66

 
139

Effect of foreign currency rate changes on cash and cash equivalents
—

 
(1
)
 
6

 
—

 
5

Net increase (decrease) in cash
56

 
114

 
(69
)
 
—

 
101

Cash – beginning of period
106

 
382

 
126

 
—

 
614

Cash – end of period
$
162

 
$
496

 
$
57

 
$
—

 
$
715

(1) 
Includes all other subsidiaries of ACE Limited and intercompany eliminations.
(2) 
Includes ACE Limited parent company eliminations and certain consolidating adjustments.