v3.8.0.1
Equity (Tables)
 12 Months Ended
Dec. 31, 2017
Stockholders' Equity Note [Abstract]  
Common Stock Disclosure
The changes in the number of shares of Common Stock issued, held in treasury and outstanding, are as follows for the periods indicated:
 
 
Common Stock
 
 
Issued
 
Held In
Treasury
 
Outstanding
 
 
 
 
 
 
 
 
 
 
 
(in millions)
Balance, December 31, 2014
 
660.1

 
205.3

 
454.8

Common Stock issued
 
0.0

 
0.0

 
0.0

Common Stock acquired
 
0.0

 
12.1

 
(12.1
)
Stock-based compensation programs(1)
 
0.0

 
(4.4
)
 
4.4

Balance, December 31, 2015
 
660.1

 
213.0

 
447.1

Common Stock issued
 
0.0

 
0.0

 
0.0

Common Stock acquired
 
0.0

 
25.1

 
(25.1
)
Stock-based compensation programs(1)
 
0.0

 
(7.6
)
 
7.6

Balance, December 31, 2016
 
660.1

 
230.5

 
429.6

Common Stock issued
 
0.0

 
0.0

 
0.0

Common Stock acquired
 
0.0

 
11.5

 
(11.5
)
Stock-based compensation programs(1)
 
0.0

 
(4.5
)
 
4.5

Balance, December 31, 2017
 
660.1

 
237.5

 
422.6

__________
(1)
Represents net shares issued from treasury pursuant to the Company’s stock-based compensation programs.
Components of Accumulated Other Comprehensive Income (Loss)
The balance of and changes in each component of “Accumulated other comprehensive income (loss) attributable to Prudential Financial, Inc.” for the years ended December 31, are as follows:
 
 
Accumulated Other Comprehensive Income (Loss)
Attributable to Prudential Financial, Inc.
 
Foreign 
Currency
Translation
Adjustment
 
Net Unrealized
Investment
Gains
(Losses)(1)
 
Pension and
Postretirement
Unrecognized Net
Periodic Benefit (Cost)
 
Total Accumulated Other Comprehensive Income (Loss)
 
(in millions)
Balance, December 31, 2014
$
(975
)
 
$
19,251

 
$
(2,226
)
 
$
16,050

Change in OCI before reclassifications
(245
)
 
(3,161
)
 
(457
)
 
(3,863
)
Amounts reclassified from AOCI
17

 
(2,325
)
 
193

 
(2,115
)
Income tax benefit (expense)
116

 
2,008

 
89

 
2,213

Balance, December 31, 2015
(1,087
)
 
15,773

 
(2,401
)
 
12,285

Change in OCI before reclassifications
199

 
5,176

 
(468
)
 
4,907

Amounts reclassified from AOCI
13

 
(1,493
)
 
214

 
(1,266
)
Income tax benefit (expense)
(98
)
 
(1,285
)
 
78

 
(1,305
)
Balance, December 31, 2016
(973
)
 
18,171

 
(2,577
)
 
14,621

Change in OCI before reclassifications
768

 
4,026

 
(153
)
 
4,641

Amounts reclassified from AOCI
1

 
(1,629
)
 
224

 
(1,404
)
Income tax benefit (expense)
(65
)
 
(600
)
 
(119
)
 
(784
)
Balance, December 31, 2017
$
(269
)
 
$
19,968

 
$
(2,625
)
 
$
17,074

__________
(1)
Includes cash flow hedges of $(39) million, $1,316 million and $1,165 million as of December 31, 2017, 2016, and 2015, respectively.
Reclassification Out Of Accumulated Other Comprehensive Income (Loss)
Reclassifications out of Accumulated Other Comprehensive Income (Loss)
 
 
Years Ended December  31,
 
Affected line item in Consolidated
Statements of Operations
 
2017
 
2016
 
2015
 
 
(in millions)
 
 
Amounts reclassified from AOCI(1)(2):
 
 
 
 
 
 
 
Foreign currency translation adjustment:
 
 
 
 
 
 
 
Foreign currency translation adjustment
$
(3
)
 
$
(13
)
 
$
(8
)
 
Realized investment gains (losses), net
Foreign currency translation adjustment
2

 
0

 
(9
)
 
Other income
Total foreign currency translation adjustment
(1
)
 
(13
)
 
(17
)
 
 
Net unrealized investment gains (losses):
 
 
 
 
 
 
 
Cash flow hedges—Interest Rate
(2
)
 
(5
)
 
(7
)
 
(3)
Cash flow hedges—Currency/Interest rate
(16
)
 
456

 
247

 
(3)
Net unrealized investment gains (losses) on available-for-sale securities
1,647

 
1,042

 
2,085

 
 
Total net unrealized investment gains (losses)
1,629

 
1,493

 
2,325

 
(4)
Amortization of defined benefit items:
 
 
 
 
 
 
 
Prior service cost
3

 
8

 
13

 
(5)
Actuarial gain (loss)
(227
)
 
(222
)
 
(206
)
 
(5)
Total amortization of defined benefit items
(224
)
 
(214
)
 
(193
)
 
 
Total reclassifications for the period
$
1,404

 
$
1,266

 
$
2,115

 
 
__________
(1)
All amounts are shown before tax.
(2)
Positive amounts indicate gains/benefits reclassified out of AOCI. Negative amounts indicate losses/costs reclassified out of AOCI.
(3)
See Note 21 for additional information on cash flow hedges.
(4)
See table below for additional information on unrealized investment gains (losses), including the impact on deferred policy acquisition and other costs, future policy benefits and policyholders’ dividends.
(5)
See Note 18 for information on employee benefit plans.
Net Unrealized Investment Gain (Loss) AOCI Rollforward
The amounts for the periods indicated below, split between amounts related to fixed maturity securities on which an OTTI loss has been recognized, and all other net unrealized investment gains (losses), are as follows:
 
Net Unrealized Investment Gains (Losses) on Fixed Maturity Securities on which an OTTI loss has been recognized
 
Net Unrealized
Gains (Losses)
on Investments
 
DAC, DSI, VOBA and Reinsurance Recoverables
 
Future Policy
Benefits, Policyholders’
Account
Balances and Reinsurance Payables
 
Policyholders’
Dividends
 
Deferred
Income
Tax
(Liability)
Benefit
 
Accumulated Other Comprehensive Income (Loss)
Related To Net
Unrealized
Investment
Gains (Losses)
 
(in millions)
Balance, December 31, 2014
$
349

 
$
(6
)
 
$
3

 
$
(32
)
 
$
(110
)
 
$
204

Net investment gains (losses) on investments arising during the period
(3
)
 
 
 
 
 
 
 
1

 
(2
)
Reclassification adjustment for (gains) losses included in net income
(97
)
 
 
 
 
 
 
 
35

 
(62
)
Reclassification adjustment for OTTI losses excluded from net income(1)
(15
)
 
 
 
 
 
 
 
5

 
(10
)
Impact of net unrealized investment (gains) losses on DAC, DSI and VOBA
 
 
12

 
 
 
 
 
(4
)
 
8

Impact of net unrealized investment (gains) losses on future policy benefits and policyholders’ account balances
 
 
 
 
11

 
 
 
(4
)
 
7

Impact of net unrealized investment (gains) losses on policyholders’ dividends
 
 
 
 
 
 
1

 
0

 
1

Balance, December 31, 2015
234

 
6

 
14

 
(31
)
 
(77
)
 
146

Net investment gains (losses) on investments arising during the period
93

 
 
 
 
 
 
 
(31
)
 
62

Reclassification adjustment for (gains) losses included in net income
1

 
 
 
 
 
 
 
0

 
1

Reclassification adjustment for OTTI losses excluded from net income(1)
(16
)
 
 
 
 
 
 
 
5

 
(11
)
Impact of net unrealized investment (gains) losses on DAC, DSI and VOBA
 
 
(11
)
 
 
 
 
 
3

 
(8
)
Impact of net unrealized investment (gains) losses on future policy benefits and policyholders’ account balances
 
 
 
 
(20
)
 
 
 
(3
)
 
(23
)
Impact of net unrealized investment (gains) losses on policyholders’ dividends
 
 
 
 
 
 
(16
)
 
6

 
(10
)
Balance, December 31, 2016
$
312

 
$
(5
)
 
$
(6
)
 
$
(47
)
 
$
(97
)
 
$
157

Net investment gains (losses) on investments arising during the period
79

 
 
 
 
 
 
 
(22
)
 
57

Reclassification adjustment for (gains) losses included in net income
(85
)
 
 
 
 
 
 
 
23

 
(62
)
Reclassification adjustment for OTTI losses excluded from net income(1)
(20
)
 
 
 
 
 
 
 
5

 
(15
)
Impact of net unrealized investment (gains) losses on DAC, DSI, VOBA and reinsurance recoverables
 
 
3

 
 
 
 
 
(1
)
 
2

Impact of net unrealized investment (gains) losses on future policy benefits, policyholders’ account balances and reinsurance payables
 
 
 
 
9

 
 
 
(2
)
 
7

Impact of net unrealized investment (gains) losses on policyholders’ dividends
 
 
 
 
 
 
1

 
0

 
1

Balance, December 31, 2017
$
286

 
$
(2
)
 
$
3

 
$
(46
)
 
$
(94
)
 
$
147

__________
(1)
Represents “transfers in” related to the portion of OTTI losses recognized during the period that were not recognized in earnings for securities with no prior OTTI loss.
All Other Net Unrealized Investment Gain (Loss) AOCI Rollforward
All Other Net Unrealized Investment Gains (Losses) in AOCI
 
Net Unrealized
Gains (Losses)
on Investments(1)
 
DAC, DSI, VOBA and Reinsurance Recoverables
 
Future Policy
Benefits, Policyholders’
Account
Balances and Reinsurance Payables
 
Policyholders’
Dividends
 
Deferred
Income
Tax
(Liability)
Benefit
 
Accumulated Other Comprehensive Income (Loss)
Related To Net
Unrealized
Investment
Gains (Losses)
 
(in millions)
Balance, December 31, 2014
$
36,764

 
$
(1,455
)
 
$
(1,282
)
 
$
(5,036
)
 
$
(9,944
)
 
$
19,047

Net investment gains (losses) on investments arising during the period
(6,311
)
 
 
 
 
 
 
 
2,268

 
(4,043
)
Reclassification adjustment for (gains) losses included in net income
(2,228
)
 
 
 
 
 
 
 
801

 
(1,427
)
Reclassification adjustment for OTTI losses excluded from net income(2)
15

 
 
 
 
 
 
 
(5
)
 
10

Impact of net unrealized investment (gains) losses on DAC, DSI and VOBA
 
 
695

 
 
 
 
 
(240
)
 
455

Impact of net unrealized investment (gains) losses on future policy benefits and policyholders’ account balances
 
 
 
 
200

 
 
 
(67
)
 
133

Impact of net unrealized investment (gains) losses on policyholders’ dividends
 
 
 
 
 
 
2,234

 
(782
)
 
1,452

Balance, December 31, 2015
28,240

 
(760
)
 
(1,082
)
 
(2,802
)
 
(7,969
)
 
15,627

Net investment gains (losses) on investments arising during the period
5,658

 
 
 
 
 
 
 
(1,910
)
 
3,748

Reclassification adjustment for (gains) losses included in net income
(1,494
)
 
 
 
 
 
 
 
504

 
(990
)
Reclassification adjustment for OTTI losses excluded from net income(2)
16

 
 
 
 
 
 
 
(5
)
 
11

Impact of net unrealized investment (gains) losses on DAC, DSI and VOBA
 
 
(296
)
 
 
 
 
 
93

 
(203
)
Impact of net unrealized investment (gains) losses on future policy benefits and policyholders’ account balances
 
 
 
 
(54
)
 
 
 
(9
)
 
(63
)
Impact of net unrealized investment (gains) losses on policyholders’ dividends
 
 
 
 
 
 
(178
)
 
62

 
(116
)
Balance, December 31, 2016
32,420

 
(1,056
)
 
(1,136
)
 
(2,980
)
 
(9,234
)
 
18,014

Net investment gains (losses) on investments arising during the period
5,216

 
 
 
 
 
 
 
(1,425
)
 
3,791

Reclassification adjustment for (gains) losses included in net income
(1,544
)
 
 
 
 
 
 
 
421

 
(1,123
)
Reclassification adjustment for OTTI losses excluded from net income(2)
20

 
 
 
 
 
 
 
(5
)
 
15

Impact of net unrealized investment (gains) losses on DAC, DSI, VOBA and reinsurance recoverables
 
 
(524
)
 
 
 
 
 
191

 
(333
)
Impact of net unrealized investment (gains) losses on future policy benefits, policyholders’ account balances and reinsurance payables
 
 
 
 
(107
)
 
 
 
25

 
(82
)
Impact of net unrealized investment (gains) losses on policyholders’ dividends
 
 
 
 
 
 
(651
)
 
190

 
(461
)
Balance, December 31, 2017
$
36,112

 
$
(1,580
)
 
$
(1,243
)
 
$
(3,631
)
 
$
(9,837
)
 
$
19,821

__________
(1)
Includes cash flow hedges. See Note 21 for information on cash flow hedges.
(2)
Represents “transfers out” related to the portion of OTTI losses recognized during the period that were not recognized in earnings for securities with no prior OTTI loss.