XML 40 R29.htm IDEA: XBRL DOCUMENT
v3.23.1

Quarterly Results of Operations | 12 Months Ended
--- | ---
Dec. 31, 2022
Quarterly Results of Operations [Abstract] |
Quarterly Results of Operations | 23. Quarterly Results of Operations (Unaudited) As further described in Note 1, the previously reported financial information for all quarters in 2022 and 2021 has been restated and is reflected in the tables that follow. See “Restatement of Previously Issued Consolidated Financial Statements – Description of Misstatements” in Note 1 for a description of the restatement adjustments. The unaudited interim financial statements reflect all adjustments that are, in the opinion of management, necessary for a fair statement of the results for the interim periods presented. Restated amounts are computed independently for each quarter presented; therefore, the sum of the quarterly amounts may not equal the total amount for the respective year due to rounding. LINCOLN NATIONAL CORPORATION CONSOLIDATED BALANCE SHEETS (Unaudited, in millions, except share data)
| As Restated |
| As of |  | As of |  | As of |
| March 31, |  | June 30, | September 30,
| 2021 |  | 2021 |  | 2021 |
ASSETS |  |  |  |  |  |  |  |  |
Investments: |  |  |  |  |  |  |  |  |
Fixed maturity available-for-sale securities, at fair value |  |  |  |  |  |  |  |  |
(amortized cost: $105,866, $106,668 and $107,459 at March 31, 2021, |  |  |  |  |  |  |  |  |
June 30, 2021 and September 30, 2021, respectively; allowance for credit |  |  |  |  |  |  |  |  |
losses: $14, $9 and $17 at March 31, 2021, June 30, 2021 and |  |  |  |  |  |  |  |  |
September 30, 2021, respectively) | $ | 117,313 |  | $ | 122,215 |  | $ | 122,085 |
Trading securities |  | 4,344 |  |  | 4,211 |  |  | 4,170 |
Equity securities |  | 144 |  |  | 195 |  |  | 264 |
Mortgage loans on real estate, net of allowance for credit losses |  |  |  |  |  |  |  |  |
(portion at fair value: $874, $818 and $792 at March 31, 2021, June 30, |  |  |  |  |  |  |  |  |
2021 and September 30, 2021) |  | 17,255 |  |  | 17,586 |  |  | 17,730 |
Policy loans |  | 2,502 |  |  | 2,410 |  |  | 2,379 |
Derivative investments |  | 3,482 |  |  | 4,730 |  |  | 5,075 |
Other investments |  | 3,547 |  |  | 3,948 |  |  | 4,066 |
Total investments |  | 148,587 |  |  | 155,295 |  |  | 155,769 |
Cash and invested cash |  | 1,350 |  |  | 2,389 |  |  | 2,614 |
Deferred acquisition costs and value of business acquired |  | 7,665 |  |  | 6,261 |  |  | 5,966 |
Accrued investment income |  | 1,301 |  |  | 1,254 |  |  | 1,297 |
Reinsurance recoverables, net of allowance for credit losses |  | 16,289 |  |  | 15,981 |  |  | 15,729 |
Goodwill |  | 1,778 |  |  | 1,778 |  |  | 1,778 |
Other assets |  | 18,264 |  |  | 18,125 |  |  | 18,076 |
Separate account assets |  | 171,339 |  |  | 178,795 |  |  | 175,667 |
Total assets | $ | 366,573 |  | $ | 379,878 |  | $ | 376,896 |
LIABILITIES AND STOCKHOLDERS’ EQUITY |  |  |  |  |  |  |  |  |
Liabilities |  |  |  |  |  |  |  |  |
Future contract benefits | $ | 39,592 |  | $ | 40,251 |  | $ | 40,641 |
Other contract holder funds |  | 107,002 |  |  | 108,778 |  |  | 109,300 |
Short-term debt |  | 300 |  |  | 300 |  |  | 300 |
Long-term debt |  | 6,294 |  |  | 6,334 |  |  | 6,323 |
Payables for collateral on investments |  | 7,597 |  |  | 8,199 |  |  | 8,379 |
Other liabilities |  | 14,862 |  |  | 15,479 |  |  | 15,121 |
Separate account liabilities |  | 171,339 |  |  | 178,795 |  |  | 175,667 |
Total liabilities |  | 346,986 |  |  | 358,136 |  |  | 355,731 |
Contingencies and Commitments (See Note 13) |  |  |  |  |  |  |  |  |
Stockholders’ Equity |  |  |  |  |  |  |  |  |
Preferred stock – 10,000,000 shares authorized |  | - |  |  | - |  |  | - |
Common stock – 800,000,000 shares authorized; |  |  |  |  |  |  |  |  |
191,149,192, 189,089,948 and 186,089,222 shares issued and outstanding |  |  |  |  |  |  |  |  |
as of March 31, 2021, June 30, 2021 and September 30, 2021, respectively |  | 5,057 |  |  | 5,021 |  |  | 4,956 |
Retained earnings |  | 8,769 |  |  | 9,242 |  |  | 9,360 |
Accumulated other comprehensive income (loss) |  | 5,761 |  |  | 7,479 |  |  | 6,849 |
Total stockholders’ equity |  | 19,587 |  |  | 21,742 |  |  | 21,165 |
Total liabilities and stockholders’ equity | $ | 366,573 |  | $ | 379,878 |  | $ | 376,896 |
LINCOLN NATIONAL CORPORATION CONSOLIDATED BALANCE SHEETS (Unaudited, in millions, except share data)
| As Restated |
| As of |  | As of |  | As of |
| March 31, |  | June 30, | September 30,
| 2022 |  | 2022 |  | 2022 |
ASSETS |  |  |  |  |  |  |  |  |
Investments: |  |  |  |  |  |  |  |  |
Fixed maturity available-for-sale securities, at fair value |  |  |  |  |  |  |  |  |
(amortized cost: $107,587, $109,592 and $111,058 at March 31, 2022, |  |  |  |  |  |  |  |  |
June 30, 2022 and September 30, 2022, respectively; allowance for credit |  |  |  |  |  |  |  |  |
losses: $20, $12 and $18 at March 31, 2022, June 30, 2022 and |  |  |  |  |  |  |  |  |
September 30, 2022, respectively) | $ | 110,663 |  | $ | 103,317 |  | $ | 97,572 |
Trading securities |  | 4,364 |  |  | 3,803 |  |  | 3,580 |
Equity securities |  | 399 |  |  | 411 |  |  | 427 |
Mortgage loans on real estate, net of allowance for credit losses |  |  |  |  |  |  |  |  |
(portion at fair value: $537, $528 and $495 at March 31, 2022, June 30, |  |  |  |  |  |  |  |  |
2022 and September 30, 2022) |  | 17,892 |  |  | 17,922 |  |  | 18,066 |
Policy loans |  | 2,339 |  |  | 2,368 |  |  | 2,347 |
Derivative investments |  | 4,573 |  |  | 3,167 |  |  | 3,455 |
Other investments |  | 4,122 |  |  | 4,078 |  |  | 3,813 |
Total investments |  | 144,352 |  |  | 135,066 |  |  | 129,260 |
Cash and invested cash |  | 1,960 |  |  | 1,567 |  |  | 1,472 |
Deferred acquisition costs and value of business acquired |  | 8,811 |  |  | 11,872 |  |  | 13,684 |
Accrued investment income |  | 1,247 |  |  | 1,226 |  |  | 1,283 |
Reinsurance recoverables, net of allowance for credit losses |  | 20,044 |  |  | 19,909 |  |  | 20,045 |
Goodwill |  | 1,778 |  |  | 1,778 |  |  | 1,144 |
Other assets |  | 18,467 |  |  | 18,137 |  |  | 19,991 |
Separate account assets |  | 168,879 |  |  | 145,791 |  |  | 137,295 |
Total assets | $ | 365,538 |  | $ | 335,346 |  | $ | 324,174 |
LIABILITIES AND STOCKHOLDERS’ EQUITY |  |  |  |  |  |  |  |  |
Liabilities |  |  |  |  |  |  |  |  |
Future contract benefits | $ | 39,776 |  | $ | 39,309 |  | $ | 41,716 |
Other contract holder funds |  | 112,913 |  |  | 115,145 |  |  | 118,201 |
Short-term debt |  | - |  |  | - |  |  | 500 |
Long-term debt |  | 6,561 |  |  | 6,498 |  |  | 5,959 |
Payables for collateral on investments |  | 8,927 |  |  | 7,524 |  |  | 6,865 |
Other liabilities |  | 13,298 |  |  | 11,425 |  |  | 10,970 |
Separate account liabilities |  | 168,879 |  |  | 145,791 |  |  | 137,295 |
Total liabilities |  | 350,354 |  |  | 325,692 |  |  | 321,506 |
Contingencies and Commitments (See Note 13) |  |  |  |  |  |  |  |  |
Stockholders’ Equity |  |  |  |  |  |  |  |  |
Preferred stock – 10,000,000 shares authorized |  | - |  |  | - |  |  | - |
Common stock – 800,000,000 shares authorized; |  |  |  |  |  |  |  |  |
171,890,974, 170,224,116 and 169,214,493 shares issued and outstanding |  |  |  |  |  |  |  |  |
as of March 31, 2022, June 30, 2022 and September 30, 2022, respectively |  | 4,586 |  |  | 4,546 |  |  | 4,534 |
Retained earnings |  | 9,346 |  |  | 9,445 |  |  | 6,762 |
Accumulated other comprehensive income (loss) |  | 1,252 |  |  | (4,337 | ) |  | (8,628 | )
Total stockholders’ equity |  | 15,184 |  |  | 9,654 |  |  | 2,668 |
Total liabilities and stockholders’ equity | $ | 365,538 |  | $ | 335,346 |  | $ | 324,174 |
‎ LINCOLN NATIONAL CORPORATION CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (LOSS) (Unaudited, in millions, except per share data)
| As Restated |
| For the Three Months Ended |
| March 31, |  | June 30, | September 30, | December 31, |
| 2021 |  | 2021 |  | 2021 |  | 2021 |
Revenues |  |  |  |  |  |  |  |  |  |  |  |
Insurance premiums | $ | 1,400 |  | $ | 1,404 |  | $ | 1,394 |  | $ | 1,419 |
Fee income |  | 1,597 |  |  | 1,673 |  |  | 2,000 |  |  | 1,635 |
Net investment income |  | 1,509 |  |  | 1,583 |  |  | 1,575 |  |  | 1,444 |
Realized gain (loss) |  | (180 | ) |  | 1 |  |  | 79 |  |  | 514 |
Amortization of deferred gain on business sold through |  |  |  |  |  |  |  |  |  |  |  |
reinsurance |  | 9 |  |  | 9 |  |  | 9 |  |  | 11 |
Other revenues |  | 198 |  |  | 192 |  |  | 181 |  |  | 206 |
Total revenues |  | 4,533 |  |  | 4,862 |  |  | 5,238 |  |  | 5,229 |
Expenses |  |  |  |  |  |  |  |  |  |  |  |
Interest credited |  | 743 |  |  | 745 |  |  | 748 |  |  | 696 |
Benefits |  | 2,227 |  |  | 1,930 |  |  | 2,121 |  |  | 2,251 |
Commissions and other expenses |  | 1,231 |  |  | 1,325 |  |  | 1,908 |  |  | 1,330 |
Interest and debt expense |  | 65 |  |  | 65 |  |  | 73 |  |  | 67 |
Spark program expense |  | 13 |  |  | 21 |  |  | 22 |  |  | 31 |
Total expenses |  | 4,279 |  |  | 4,086 |  |  | 4,872 |  |  | 4,375 |
Income (loss) before taxes |  | 254 |  |  | 776 |  |  | 366 |  |  | 854 |
Federal income tax expense (benefit) |  | 35 |  |  | 131 |  |  | 50 |  |  | 146 |
Net income (loss) |  | 219 |  |  | 645 |  |  | 316 |  |  | 708 |
Other comprehensive income (loss), net of tax |  | (3,170 | ) |  | 1,718 |  |  | (630 | ) |  | (408 | )
Comprehensive income (loss) | $ | (2,951 | ) | $ | 2,363 |  | $ | (314 | ) | $ | 300 |
Net Income (Loss) Per Common Share |  |  |  |  |  |  |  |  |  |  |  |
Basic | $ | 1.14 |  | $ | 3.40 |  | $ | 1.69 |  | $ | 3.92 |
Diluted | $ | 1.13 |  | $ | 3.36 |  | $ | 1.67 |  | $ | 3.86 |
Cash Dividends Declared Per Common Share | $ | 0.42 |  | $ | 0.42 |  | $ | 0.42 |  | $ | 0.45 |
LINCOLN NATIONAL CORPORATION CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (LOSS) (Unaudited, in millions, except per share data)
| As Restated |
| For the Three Months Ended |
| March 31, |  | June 30, | September 30, | December 31, |
| 2022 |  | 2022 |  | 2022 |  | 2022 |
Revenues |  |  |  |  |  |  |  |  |  |  |  |
Insurance premiums | $ | 1,477 |  | $ | 1,498 |  | $ | 1,548 |  | $ | 1,564 |
Fee income |  | 1,568 |  |  | 1,506 |  |  | 1,527 |  |  | 1,453 |
Net investment income |  | 1,411 |  |  | 1,398 |  |  | 1,295 |  |  | 1,411 |
Realized gain (loss) |  | 25 |  |  | 515 |  |  | 212 |  |  | (407 | )
Amortization of deferred gain on business sold through |  |  |  |  |  |  |  |  |  |  |  |
reinsurance |  | 11 |  |  | 11 |  |  | 10 |  |  | 10 |
Other revenues |  | 182 |  |  | 160 |  |  | 189 |  |  | 191 |
Total revenues |  | 4,674 |  |  | 5,088 |  |  | 4,781 |  |  | 4,222 |
Expenses |  |  |  |  |  |  |  |  |  |  |  |
Interest credited |  | 697 |  |  | 706 |  |  | 722 |  |  | 745 |
Benefits |  | 2,568 |  |  | 2,890 |  |  | 5,103 |  |  | 1,985 |
Commissions and other expenses |  | 1,235 |  |  | 1,123 |  |  | 1,355 |  |  | 1,382 |
Interest and debt expense |  | 66 |  |  | 68 |  |  | 71 |  |  | 78 |
Spark program expense |  | 31 |  |  | 44 |  |  | 44 |  |  | 48 |
Impairment of intangibles |  | - |  |  | - |  |  | 634 |  |  | - |
Total expenses |  | 4,597 |  |  | 4,831 |  |  | 7,929 |  |  | 4,238 |
Income (loss) before taxes |  | 77 |  |  | 257 |  |  | (3,148 | ) |  | (16 | )
Federal income tax expense (benefit) |  | (15 | ) |  | 29 |  |  | (565 | ) |  | (37 | )
Net income (loss) |  | 92 |  |  | 228 |  |  | (2,583 | ) |  | 21 |
Other comprehensive income (loss), net of tax |  | (5,189 | ) |  | (5,589 | ) |  | (4,291 | ) |  | 960 |
Comprehensive income (loss) | $ | (5,097 | ) | $ | (5,361 | ) | $ | (6,874 | ) | $ | 981 |
Net Income (Loss) Per Common Share |  |  |  |  |  |  |  |  |  |  |  |
Basic | $ | 0.53 |  | $ | 1.34 |  | $ | (15.22 | ) | $ | 0.12 |
Diluted | $ | 0.52 |  | $ | 1.28 |  | $ | (15.23 | ) | $ | 0.09 |
Cash Dividends Declared Per Common Share | $ | 0.45 |  | $ | 0.45 |  | $ | 0.45 |  | $ | 0.45 |
LINCOLN NATIONAL CORPORATION CONSOLIDATED STATEMENTS OF STOCKHOLDERS’ EQUITY (Unaudited, in millions)
| As Restated |
| For the Three Months Ended |
| March 31, |  | June 30, | September 30,
| 2021 |  | 2021 |  | 2021 |
Common Stock |  |  |  |  |  |  |  |  |
Balance as of beginning-of-period | $ | 5,082 |  | $ | 5,057 |  | $ | 5,021 |
Stock compensation/issued for benefit plans |  | 25 |  |  | 23 |  |  | 16 |
Retirement of common stock/cancellation of shares |  | (50 | ) |  | (59 | ) |  | (81 | )
Balance as of end-of-period |  | 5,057 |  |  | 5,021 |  |  | 4,956 |
Retained Earnings |  |  |  |  |  |  |  |  |
Balance as of beginning-of-period |  | 8,686 |  |  | 8,769 |  |  | 9,242 |
Net income (loss) |  | 219 |  |  | 645 |  |  | 316 |
Retirement of common stock |  | (55 | ) |  | (91 | ) |  | (119 | )
Common stock dividends declared |  | (81 | ) |  | (81 | ) |  | (79 | )
Balance as of end-of-period |  | 8,769 |  |  | 9,242 |  |  | 9,360 |
Accumulated Other Comprehensive Income (Loss) |  |  |  |  |  |  |  |  |
Balance as of beginning-of-period |  | 8,931 |  |  | 5,761 |  |  | 7,479 |
Other comprehensive income (loss), net of tax |  | (3,170 | ) |  | 1,718 |  |  | (630 | )
Balance as of end-of-period |  | 5,761 |  |  | 7,479 |  |  | 6,849 |
Total stockholders’ equity as of end-of-period | $ | 19,587 |  | $ | 21,742 |  | $ | 21,165 |
| As Restated |
| For the Three Months Ended |
| March 31, |  | June 30, | September 30,
| 2022 |  | 2022 |  | 2022 |
Common Stock |  |  |  |  |  |  |  |  |
Balance as of beginning-of-period | $ | 4,735 |  | $ | 4,586 |  | $ | 4,546 |
Stock compensation/issued for benefit plans |  | 6 |  |  | 9 |  |  | 15 |
Retirement of common stock/cancellation of shares |  | (155 | ) |  | (49 | ) |  | (27 | )
Balance as of end-of-period |  | 4,586 |  |  | 4,546 |  |  | 4,534 |
Retained Earnings |  |  |  |  |  |  |  |  |
Balance as of beginning-of-period |  | 9,578 |  |  | 9,346 |  |  | 9,445 |
Net income (loss) |  | 92 |  |  | 228 |  |  | (2,583 | )
Retirement of common stock |  | (245 | ) |  | (51 | ) |  | (23 | )
Common stock dividends declared |  | (79 | ) |  | (78 | ) |  | (77 | )
Balance as of end-of-period |  | 9,346 |  |  | 9,445 |  |  | 6,762 |
Accumulated Other Comprehensive Income (Loss) |  |  |  |  |  |  |  |  |
Balance as of beginning-of-period |  | 6,441 |  |  | 1,252 |  |  | (4,337 | )
Other comprehensive income (loss), net of tax |  | (5,189 | ) |  | (5,589 | ) |  | (4,291 | )
Balance as of end-of-period |  | 1,252 |  |  | (4,337 | ) |  | (8,628 | )
Total stockholders’ equity as of end-of-period | $ | 15,184 |  | $ | 9,654 |  | $ | 2,668 |
‎ LINCOLN NATIONAL CORPORATION CONSOLIDATED STATEMENTS OF CASH FLOWS (Unaudited, in millions)
| As Restated |
| For the |  | For the |  | For the |
| Three Months |  | Six Months |  | Nine Months |
| Ended |  | Ended |  | Ended |
| March 31, |  | June 30, |  | September 30, |
| 2021 |  | 2021 |  | 2021 |
Cash Flows from Operating Activities |  |  |  |  |  |  |  |  |
Net income (loss) | $ | 219 |  | $ | 864 |  | $ | 1,180 |
Adjustments to reconcile net income (loss) to net cash provided by |  |  |  |  |  |  |  |  |
(used in) operating activities: |  |  |  |  |  |  |  |  |
Realized (gain) loss |  | 180 |  |  | 179 |  |  | 100 |
Sales and maturities (purchases) of trading securities, net |  | 118 |  |  | 230 |  |  | 239 |
Amortization of deferred gain on business sold through reinsurance |  | (9 | ) |  | (17 | ) |  | (27 | )
Change in: |  |  |  |  |  |  |  |  |
Deferred acquisition costs, value of business acquired, deferred sales |  |  |  |  |  |  |  |  |
inducements and deferred front-end loads deferrals and interest, net |  |  |  |  |  |  |  |  |
of amortization |  | 54 |  |  | 112 |  |  | 346 |
Premiums and fees receivable |  | (161 | ) |  | (97 | ) |  | (98 | )
Accrued investment income |  | (41 | ) |  | (10 | ) |  | (34 | )
Insurance liabilities and reinsurance-related balances |  | (762 | ) |  | (1,431 | ) |  | (1,779 | )
Accrued expenses |  | (40 | ) |  | 42 |  |  | 246 |
Federal income tax accruals |  | 35 |  |  | 166 |  |  | 215 |
Other |  | (216 | ) |  | (251 | ) |  | (263 | )
Net cash provided by (used in) operating activities |  | (623 | ) |  | (213 | ) |  | 125 |
Cash Flows from Investing Activities |  |  |  |  |  |  |  |  |
Purchases of available-for-sale securities and equity securities |  | (3,854 | ) |  | (8,324 | ) |  | (11,917 | )
Sales of available-for-sale securities and equity securities |  | 571 |  |  | 1,269 |  |  | 1,452 |
Maturities of available-for-sale securities |  | 1,913 |  |  | 4,700 |  |  | 7,055 |
Purchases of alternative investments |  | (163 | ) |  | (361 | ) |  | (506 | )
Sales and repayments of alternative investments |  | 54 |  |  | 128 |  |  | 258 |
Issuance of mortgage loans on real estate |  | (887 | ) |  | (1,632 | ) |  | (2,210 | )
Repayment and maturities of mortgage loans on real estate |  | 403 |  |  | 851 |  |  | 1,274 |
Repayment (issuance) of policy loans, net |  | (76 | ) |  | 16 |  |  | 48 |
Net change in collateral on investments, derivatives and related settlements |  | 1,341 |  |  | 1,888 |  |  | 2,312 |
Other |  | (33 | ) |  | (71 | ) |  | (219 | )
Net cash provided by (used in) investing activities |  | (731 | ) |  | (1,536 | ) |  | (2,453 | )
Cash Flows from Financing Activities |  |  |  |  |  |  |  |  |
Payment related to modification or early extinguishment of debt |  | - |  |  | - |  |  | (8 | )
Proceeds from certain financing arrangements |  | - |  |  | 50 |  |  | 50 |
Deposits of fixed account values, including the fixed portion of variable |  | 3,140 |  |  | 6,378 |  |  | 9,152 |
Withdrawals of fixed account values, including the fixed portion of variable |  | (1,773 | ) |  | (3,276 | ) |  | (4,961 | )
Transfers from (to) separate accounts, net |  | (130 | ) |  | (255 | ) |  | (254 | )
Common stock issued for benefit plans |  | 7 |  |  | 12 |  |  | 14 |
Repurchase of common stock |  | (105 | ) |  | (255 | ) |  | (455 | )
Dividends paid to common stockholders |  | (80 | ) |  | (161 | ) |  | (241 | )
Other |  | (63 | ) |  | (63 | ) |  | (63 | )
Net cash provided by (used in) financing activities |  | 996 |  |  | 2,430 |  |  | 3,234 |
Net increase (decrease) in cash, invested cash and restricted cash |  | (358 | ) |  | 681 |  |  | 906 |
Cash, invested cash and restricted cash as of beginning-of-year |  | 1,708 |  |  | 1,708 |  |  | 1,708 |
Cash, invested cash and restricted cash as of end-of-period | $ | 1,350 |  | $ | 2,389 |  | $ | 2,614 |
‎ LINCOLN NATIONAL CORPORATION CONSOLIDATED STATEMENTS OF CASH FLOWS (Unaudited, in millions)
| As Restated |
| For the |  | For the |  | For the |
| Three Months |  | Six Months |  | Nine Months |
| Ended |  | Ended |  | Ended |
| March 31, |  | June 30, |  | September 30, |
| 2022 |  | 2022 |  | 2022 |
Cash Flows from Operating Activities |  |  |  |  |  |  |  |  |
Net income (loss) | $ | 92 |  |  | 319 |  | $ | (2,264 | )
Adjustments to reconcile net income (loss) to net cash provided by |  |  |  |  |  |  |  |  |
(used in) operating activities: |  |  |  |  |  |  |  |  |
Realized (gain) loss |  | (25 | ) |  | (540 | ) |  | (752 | )
Sales and maturities (purchases) of trading securities, net |  | (187 | ) |  | 117 |  |  | 163 |
Amortization of deferred gain on business sold through reinsurance |  | (11 | ) |  | (22 | ) |  | (31 | )
Impairment of intangibles |  | - |  |  | - |  |  | 634 |
Change in: |  |  |  |  |  |  |  |  |
Deferred acquisition costs, value of business acquired, deferred sales |  |  |  |  |  |  |  |  |
inducements and deferred front-end loads deferrals and interest, net |  |  |  |  |  |  |  |  |
of amortization |  | 31 |  |  | - |  |  | 74 |
Premiums and fees receivable |  | (91 | ) |  | (76 | ) |  | (3 | )
Accrued investment income |  | (35 | ) |  | (40 | ) |  | (80 | )
Insurance liabilities and reinsurance-related balances |  | 1,275 |  |  | 3,116 |  |  | 6,166 |
Accrued expenses |  | (262 | ) |  | (371 | ) |  | (402 | )
Federal income tax accruals |  | 39 |  |  | 69 |  |  | (498 | )
Other |  | (74 | ) |  | 135 |  |  | 383 |
Net cash provided by (used in) operating activities |  | 752 |  |  | 2,707 |  |  | 3,390 |
Cash Flows from Investing Activities |  |  |  |  |  |  |  |  |
Purchases of available-for-sale securities and equity securities |  | (3,934 | ) |  | (8,204 | ) |  | (12,008 | )
Sales of available-for-sale securities and equity securities |  | 105 |  |  | 308 |  |  | 1,196 |
Maturities of available-for-sale securities |  | 1,604 |  |  | 3,231 |  |  | 4,333 |
Purchases of alternative investments |  | (161 | ) |  | (329 | ) |  | (484 | )
Sales and repayments of alternative investments |  | 131 |  |  | 183 |  |  | 383 |
Issuance of mortgage loans on real estate |  | (539 | ) |  | (1,366 | ) |  | (1,924 | )
Repayment and maturities of mortgage loans on real estate |  | 717 |  |  | 1,428 |  |  | 1,872 |
Repayment (issuance) of policy loans, net |  | 25 |  |  | (5 | ) |  | 17 |
Net change in collateral on investments, derivatives and related settlements |  | 16 |  |  | (1,893 | ) |  | (3,155 | )
Other |  | (104 | ) |  | (101 | ) |  | (93 | )
Net cash provided by (used in) investing activities |  | (2,140 | ) |  | (6,748 | ) |  | (9,863 | )
Cash Flows from Financing Activities |  |  |  |  |  |  |  |  |
Payment of long-term debt, including current maturities |  | (300 | ) |  | (300 | ) |  | (300 | )
Issuance of long-term debt, net of issuance costs |  | 297 |  |  | 297 |  |  | 296 |
Payment related to sale-leaseback transactions |  | (4 | ) |  | (47 | ) |  | (52 | )
Proceeds from certain financing arrangements |  | - |  |  | 53 |  |  | 53 |
Deposits of fixed account values, including the fixed portion of variable |  | 3,046 |  |  | 6,900 |  |  | 11,062 |
Withdrawals of fixed account values, including the fixed portion of variable |  | (1,884 | ) |  | (3,352 | ) |  | (4,997 | )
Transfers from (to) separate accounts, net |  | 70 |  |  | 116 |  |  | 71 |
Common stock issued for benefit plans |  | (10 | ) |  | (14 | ) |  | (15 | )
Repurchase of common stock |  | (400 | ) |  | (500 | ) |  | (550 | )
Dividends paid to common stockholders |  | (79 | ) |  | (157 | ) |  | (234 | )
Other |  | - |  |  | - |  |  | (1 | )
Net cash provided by (used in) financing activities |  | 736 |  |  | 2,996 |  |  | 5,333 |
Net increase (decrease) in cash, invested cash and restricted cash |  | (652 | ) |  | (1,045 | ) |  | (1,140 | )
Cash, invested cash and restricted cash as of beginning-of-year |  | 2,612 |  |  | 2,612 |  |  | 2,612 |
Cash, invested cash and restricted cash as of end-of-period | $ | 1,960 |  | $ | 1,567 |  | $ | 1,472 |
LINCOLN NATIONAL CORPORATION CONSOLIDATED BALANCE SHEETS (Unaudited, in millions, except share data)
| As of March 31, 2021 |
| As |  |  |  |  |  |
| Previously |  | Restatement |  | As |
| Reported |  | Impacts |  | Restated |
ASSETS |  |  |  |  |  |  |  |  |
Investments: |  |  |  |  |  |  |  |  |
Fixed maturity available-for-sale securities, at fair value |  |  |  |  |  |  |  |  |
(amortized cost: 2021 - $105,866; allowance for credit losses: 2021 - $14) | $ | 117,313 |  | $ | - |  | $ | 117,313 |
Trading securities |  | 4,365 |  |  | (21 | ) |  | 4,344 |
Equity securities |  | 123 |  |  | 21 |  |  | 144 |
Mortgage loans on real estate, net of allowance for credit losses |  |  |  |  |  |  |  |  |
(portion at fair value: 2021 - $874) |  | 17,255 |  |  | - |  |  | 17,255 |
Policy loans |  | 2,502 |  |  | - |  |  | 2,502 |
Derivative investments |  | 3,453 |  |  | 29 |  |  | 3,482 |
Other investments |  | 3,548 |  |  | (1 | ) |  | 3,547 |
Total investments |  | 148,559 |  |  | 28 |  |  | 148,587 |
Cash and invested cash |  | 1,350 |  |  | - |  |  | 1,350 |
Deferred acquisition costs and value of business acquired |  | 7,665 |  |  | - |  |  | 7,665 |
Accrued investment income |  | 1,301 |  |  | - |  |  | 1,301 |
Reinsurance recoverables, net of allowance for credit losses |  | 16,289 |  |  | - |  |  | 16,289 |
Goodwill |  | 1,778 |  |  | - |  |  | 1,778 |
Other assets |  | 18,479 |  |  | (215 | ) |  | 18,264 |
Separate account assets |  | 171,339 |  |  | - |  |  | 171,339 |
Total assets | $ | 366,760 |  | $ | (187 | ) | $ | 366,573 |
LIABILITIES AND STOCKHOLDERS’ EQUITY |  |  |  |  |  |  |  |  |
Liabilities |  |  |  |  |  |  |  |  |
Future contract benefits | $ | 39,591 |  | $ | 1 |  | $ | 39,592 |
Other contract holder funds |  | 107,002 |  |  | - |  |  | 107,002 |
Short-term debt |  | 300 |  |  | - |  |  | 300 |
Long-term debt |  | 6,294 |  |  | - |  |  | 6,294 |
Payables for collateral on investments |  | 7,597 |  |  | - |  |  | 7,597 |
Other liabilities |  | 15,044 |  |  | (182 | ) |  | 14,862 |
Separate account liabilities |  | 171,339 |  |  | - |  |  | 171,339 |
Total liabilities |  | 347,167 |  |  | (181 | ) |  | 346,986 |
Contingencies and Commitments (See Note 13) |  |  |  |  |  |  |  |  |
Stockholders’ Equity |  |  |  |  |  |  |  |  |
Preferred stock – 10,000,000 shares authorized |  | - |  |  | - |  |  | - |
Common stock – 800,000,000 shares authorized; |  |  |  |  |  |  |  |  |
191,149,192 shares issued and outstanding as of March 31, 2021 |  | 5,057 |  |  | - |  |  | 5,057 |
Retained earnings |  | 8,775 |  |  | (6 | ) |  | 8,769 |
Accumulated other comprehensive income (loss) |  | 5,761 |  |  | - |  |  | 5,761 |
Total stockholders’ equity |  | 19,593 |  |  | (6 | ) |  | 19,587 |
Total liabilities and stockholders’ equity | $ | 366,760 |  | $ | (187 | ) | $ | 366,573 |
LINCOLN NATIONAL CORPORATION CONSOLIDATED BALANCE SHEETS (Unaudited, in millions, except share data)
| As of June 30, 2021 |
| As |  |  |  |  |  |
| Previously |  | Restatement |  | As |
| Reported |  | Impacts |  | Restated |
ASSETS |  |  |  |  |  |  |  |  |
Investments: |  |  |  |  |  |  |  |  |
Fixed maturity available-for-sale securities, at fair value |  |  |  |  |  |  |  |  |
(amortized cost: 2021 - $106,668; allowance for credit losses: 2021 - $9) | $ | 122,215 |  | $ | - |  | $ | 122,215 |
Trading securities |  | 4,232 |  |  | (21 | ) |  | 4,211 |
Equity securities |  | 174 |  |  | 21 |  |  | 195 |
Mortgage loans on real estate, net of allowance for credit losses |  |  |  |  |  |  |  |  |
(portion at fair value: 2021 - $818) |  | 17,586 |  |  | - |  |  | 17,586 |
Policy loans |  | 2,410 |  |  | - |  |  | 2,410 |
Derivative investments |  | 4,548 |  |  | 182 |  |  | 4,730 |
Other investments |  | 3,950 |  |  | (2 | ) |  | 3,948 |
Total investments |  | 155,115 |  |  | 180 |  |  | 155,295 |
Cash and invested cash |  | 2,389 |  |  | - |  |  | 2,389 |
Deferred acquisition costs and value of business acquired |  | 6,261 |  |  | - |  |  | 6,261 |
Accrued investment income |  | 1,254 |  |  | - |  |  | 1,254 |
Reinsurance recoverables, net of allowance for credit losses |  | 15,981 |  |  | - |  |  | 15,981 |
Goodwill |  | 1,778 |  |  | - |  |  | 1,778 |
Other assets |  | 18,575 |  |  | (450 | ) |  | 18,125 |
Separate account assets |  | 178,795 |  |  | - |  |  | 178,795 |
Total assets | $ | 380,148 |  | $ | (270 | ) | $ | 379,878 |
LIABILITIES AND STOCKHOLDERS’ EQUITY |  |  |  |  |  |  |  |  |
Liabilities |  |  |  |  |  |  |  |  |
Future contract benefits | $ | 40,250 |  | $ | 1 |  | $ | 40,251 |
Other contract holder funds |  | 108,778 |  |  | - |  |  | 108,778 |
Short-term debt |  | 300 |  |  | - |  |  | 300 |
Long-term debt |  | 6,334 |  |  | - |  |  | 6,334 |
Payables for collateral on investments |  | 8,199 |  |  | - |  |  | 8,199 |
Other liabilities |  | 15,747 |  |  | (268 | ) |  | 15,479 |
Separate account liabilities |  | 178,795 |  |  | - |  |  | 178,795 |
Total liabilities |  | 358,403 |  |  | (267 | ) |  | 358,136 |
Contingencies and Commitments (See Note 13) |  |  |  |  |  |  |  |  |
Stockholders’ Equity |  |  |  |  |  |  |  |  |
Preferred stock – 10,000,000 shares authorized |  | - |  |  | - |  |  | - |
Common stock – 800,000,000 shares authorized; |  |  |  |  |  |  |  |  |
189,089,948 shares issued and outstanding as of June 30, 2021 |  | 5,021 |  |  | - |  |  | 5,021 |
Retained earnings |  | 9,245 |  |  | (3 | ) |  | 9,242 |
Accumulated other comprehensive income (loss) |  | 7,479 |  |  | - |  |  | 7,479 |
Total stockholders’ equity |  | 21,745 |  |  | (3 | ) |  | 21,742 |
Total liabilities and stockholders’ equity | $ | 380,148 |  | $ | (270 | ) | $ | 379,878 |
‎ LINCOLN NATIONAL CORPORATION CONSOLIDATED BALANCE SHEETS (Unaudited, in millions, except share data)
| As of September 30, 2021 |
| As |  |  |  |  |  |
| Previously |  | Restatement |  | As |
| Reported |  | Impacts |  | Restated |
ASSETS |  |  |  |  |  |  |  |  |
Investments: |  |  |  |  |  |  |  |  |
Fixed maturity available-for-sale securities, at fair value |  |  |  |  |  |  |  |  |
(amortized cost: 2021 - $107,459; allowance for credit losses: 2021 - $17) | $ | 122,085 |  | $ | - |  | $ | 122,085 |
Trading securities |  | 4,191 |  |  | (21 | ) |  | 4,170 |
Equity securities |  | 243 |  |  | 21 |  |  | 264 |
Mortgage loans on real estate, net of allowance for credit losses |  |  |  |  |  |  |  |  |
(portion at fair value: 2021 - $792) |  | 17,730 |  |  | - |  |  | 17,730 |
Policy loans |  | 2,379 |  |  | - |  |  | 2,379 |
Derivative investments |  | 4,828 |  |  | 247 |  |  | 5,075 |
Other investments |  | 4,069 |  |  | (3 | ) |  | 4,066 |
Total investments |  | 155,525 |  |  | 244 |  |  | 155,769 |
Cash and invested cash |  | 2,614 |  |  | - |  |  | 2,614 |
Deferred acquisition costs and value of business acquired |  | 5,965 |  |  | 1 |  |  | 5,966 |
Accrued investment income |  | 1,297 |  |  | - |  |  | 1,297 |
Reinsurance recoverables, net of allowance for credit losses |  | 15,729 |  |  | - |  |  | 15,729 |
Goodwill |  | 1,778 |  |  | - |  |  | 1,778 |
Other assets |  | 18,477 |  |  | (401 | ) |  | 18,076 |
Separate account assets |  | 175,667 |  |  | - |  |  | 175,667 |
Total assets | $ | 377,052 |  | $ | (156 | ) | $ | 376,896 |
LIABILITIES AND STOCKHOLDERS’ EQUITY |  |  |  |  |  |  |  |  |
Liabilities |  |  |  |  |  |  |  |  |
Future contract benefits | $ | 40,641 |  | $ | - |  | $ | 40,641 |
Other contract holder funds |  | 109,297 |  |  | 3 |  |  | 109,300 |
Short-term debt |  | 300 |  |  | - |  |  | 300 |
Long-term debt |  | 6,323 |  |  | - |  |  | 6,323 |
Payables for collateral on investments |  | 8,379 |  |  | - |  |  | 8,379 |
Other liabilities |  | 15,275 |  |  | (154 | ) |  | 15,121 |
Separate account liabilities |  | 175,667 |  |  | - |  |  | 175,667 |
Total liabilities |  | 355,882 |  |  | (151 | ) |  | 355,731 |
Contingencies and Commitments (See Note 13) |  |  |  |  |  |  |  |  |
Stockholders’ Equity |  |  |  |  |  |  |  |  |
Preferred stock – 10,000,000 shares authorized |  | - |  |  | - |  |  | - |
Common stock – 800,000,000 shares authorized; |  |  |  |  |  |  |  |  |
186,089,222 shares issued and outstanding as of September 30, 2021 |  | 4,956 |  |  | - |  |  | 4,956 |
Retained earnings |  | 9,365 |  |  | (5 | ) |  | 9,360 |
Accumulated other comprehensive income (loss) |  | 6,849 |  |  | - |  |  | 6,849 |
Total stockholders’ equity |  | 21,170 |  |  | (5 | ) |  | 21,165 |
Total liabilities and stockholders’ equity | $ | 377,052 |  | $ | (156 | ) | $ | 376,896 |
‎ LINCOLN NATIONAL CORPORATION CONSOLIDATED BALANCE SHEETS (Unaudited, in millions, except share data)
| As of March 31, 2022 |
| As |  |  |  |  |  |
| Previously |  | Restatement |  | As |
| Reported |  | Impacts |  | Restated |
ASSETS |  |  |  |  |  |  |  |  |
Investments: |  |  |  |  |  |  |  |  |
Fixed maturity available-for-sale securities, at fair value |  |  |  |  |  |  |  |  |
(amortized cost: 2022 - $107,587; allowance for credit losses: 2022 - $20) | $ | 110,695 |  | $ | (32 | ) | $ | 110,663 |
Trading securities |  | 4,385 |  |  | (21 | ) |  | 4,364 |
Equity securities |  | 346 |  |  | 53 |  |  | 399 |
Mortgage loans on real estate, net of allowance for credit losses |  |  |  |  |  |  |  |  |
(portion at fair value: 2022 - $537) |  | 17,892 |  |  | - |  |  | 17,892 |
Policy loans |  | 2,339 |  |  | - |  |  | 2,339 |
Derivative investments |  | 4,840 |  |  | (267 | ) |  | 4,573 |
Other investments |  | 4,127 |  |  | (5 | ) |  | 4,122 |
Total investments |  | 144,624 |  |  | (272 | ) |  | 144,352 |
Cash and invested cash |  | 1,960 |  |  | - |  |  | 1,960 |
Deferred acquisition costs and value of business acquired |  | 8,810 |  |  | 1 |  |  | 8,811 |
Accrued investment income |  | 1,247 |  |  | - |  |  | 1,247 |
Reinsurance recoverables, net of allowance for credit losses |  | 20,044 |  |  | - |  |  | 20,044 |
Goodwill |  | 1,778 |  |  | - |  |  | 1,778 |
Other assets |  | 18,587 |  |  | (120 | ) |  | 18,467 |
Separate account assets |  | 168,879 |  |  | - |  |  | 168,879 |
Total assets | $ | 365,929 |  | $ | (391 | ) | $ | 365,538 |
LIABILITIES AND STOCKHOLDERS’ EQUITY |  |  |  |  |  |  |  |  |
Liabilities |  |  |  |  |  |  |  |  |
Future contract benefits | $ | 39,773 |  | $ | 3 |  | $ | 39,776 |
Other contract holder funds |  | 112,901 |  |  | 12 |  |  | 112,913 |
Long-term debt |  | 6,561 |  |  | - |  |  | 6,561 |
Payables for collateral on investments |  | 8,927 |  |  | - |  |  | 8,927 |
Other liabilities |  | 14,176 |  |  | (878 | ) |  | 13,298 |
Separate account liabilities |  | 168,879 |  |  | - |  |  | 168,879 |
Total liabilities |  | 351,217 |  |  | (863 | ) |  | 350,354 |
Contingencies and Commitments (See Note 13) |  |  |  |  |  |  |  |  |
Stockholders’ Equity |  |  |  |  |  |  |  |  |
Preferred stock – 10,000,000 shares authorized |  | - |  |  | - |  |  | - |
Common stock – 800,000,000 shares authorized; |  |  |  |  |  |  |  |  |
171,890,974 shares issued and outstanding as of March 31, 2022 |  | 4,586 |  |  | - |  |  | 4,586 |
Retained earnings |  | 8,876 |  |  | 470 |  |  | 9,346 |
Accumulated other comprehensive income (loss) |  | 1,250 |  |  | 2 |  |  | 1,252 |
Total stockholders’ equity |  | 14,712 |  |  | 472 |  |  | 15,184 |
Total liabilities and stockholders’ equity | $ | 365,929 |  | $ | (391 | ) | $ | 365,538 |
LINCOLN NATIONAL CORPORATION CONSOLIDATED BALANCE SHEETS (Unaudited, in millions, except share data)
| As of June 30, 2022 |
| As |  |  |  |  |  |
| Previously |  | Restatement |  | As |
| Reported |  | Impacts |  | Restated |
ASSETS |  |  |  |  |  |  |  |  |
Investments: |  |  |  |  |  |  |  |  |
Fixed maturity available-for-sale securities, at fair value |  |  |  |  |  |  |  |  |
(amortized cost: 2022 - $109,592; allowance for credit losses: 2022 - $12) | $ | 103,365 |  | $ | (48 | ) | $ | 103,317 |
Trading securities |  | 3,822 |  |  | (19 | ) |  | 3,803 |
Equity securities |  | 344 |  |  | 67 |  |  | 411 |
Mortgage loans on real estate, net of allowance for credit losses |  |  |  |  |  |  |  |  |
(portion at fair value: 2022 - $528) |  | 17,922 |  |  | - |  |  | 17,922 |
Policy loans |  | 2,368 |  |  | - |  |  | 2,368 |
Derivative investments |  | 3,370 |  |  | (203 | ) |  | 3,167 |
Other investments |  | 4,054 |  |  | 24 |  |  | 4,078 |
Total investments |  | 135,245 |  |  | (179 | ) |  | 135,066 |
Cash and invested cash |  | 1,567 |  |  | - |  |  | 1,567 |
Deferred acquisition costs and value of business acquired |  | 11,872 |  |  | - |  |  | 11,872 |
Accrued investment income |  | 1,226 |  |  | - |  |  | 1,226 |
Reinsurance recoverables, net of allowance for credit losses |  | 19,909 |  |  | - |  |  | 19,909 |
Goodwill |  | 1,778 |  |  | - |  |  | 1,778 |
Other assets |  | 18,381 |  |  | (244 | ) |  | 18,137 |
Separate account assets |  | 145,791 |  |  | - |  |  | 145,791 |
Total assets | $ | 335,769 |  | $ | (423 | ) | $ | 335,346 |
LIABILITIES AND STOCKHOLDERS’ EQUITY |  |  |  |  |  |  |  |  |
Liabilities |  |  |  |  |  |  |  |  |
Future contract benefits | $ | 39,306 |  | $ | 3 |  | $ | 39,309 |
Other contract holder funds |  | 115,127 |  |  | 18 |  |  | 115,145 |
Long-term debt |  | 6,498 |  |  | - |  |  | 6,498 |
Payables for collateral on investments |  | 7,524 |  |  | - |  |  | 7,524 |
Other liabilities |  | 12,335 |  |  | (910 | ) |  | 11,425 |
Separate account liabilities |  | 145,791 |  |  | - |  |  | 145,791 |
Total liabilities |  | 326,581 |  |  | (889 | ) |  | 325,692 |
Contingencies and Commitments (See Note 13) |  |  |  |  |  |  |  |  |
Stockholders’ Equity |  |  |  |  |  |  |  |  |
Preferred stock – 10,000,000 shares authorized |  | - |  |  | - |  |  | - |
Common stock – 800,000,000 shares authorized; |  |  |  |  |  |  |  |  |
170,224,116 shares issued and outstanding as of June 30, 2022 |  | 4,546 |  |  | - |  |  | 4,546 |
Retained earnings |  | 8,985 |  |  | 460 |  |  | 9,445 |
Accumulated other comprehensive income (loss) |  | (4,343 | ) |  | 6 |  |  | (4,337 | )
Total stockholders’ equity |  | 9,188 |  |  | 466 |  |  | 9,654 |
Total liabilities and stockholders’ equity | $ | 335,769 |  | $ | (423 | ) | $ | 335,346 |
LINCOLN NATIONAL CORPORATION CONSOLIDATED BALANCE SHEETS (Unaudited, in millions, except share data)
| As of September 30, 2022 |
| As |  |  |  |  |  |
| Previously |  | Restatement |  | As |
| Reported |  | Impacts |  | Restated |
ASSETS |  |  |  |  |  |  |  |  |
Investments: |  |  |  |  |  |  |  |  |
Fixed maturity available-for-sale securities, at fair value |  |  |  |  |  |  |  |  |
(amortized cost: 2022 - $111,058; allowance for credit losses: 2022 - $18) | $ | 97,572 |  | $ | - |  | $ | 97,572 |
Trading securities |  | 3,580 |  |  | - |  |  | 3,580 |
Equity securities |  | 427 |  |  | - |  |  | 427 |
Mortgage loans on real estate, net of allowance for credit losses |  |  |  |  |  |  |  |  |
(portion at fair value: 2022 - $495) |  | 18,066 |  |  | - |  |  | 18,066 |
Policy loans |  | 2,347 |  |  | - |  |  | 2,347 |
Derivative investments |  | 3,681 |  |  | (226 | ) |  | 3,455 |
Other investments |  | 3,820 |  |  | (7 | ) |  | 3,813 |
Total investments |  | 129,493 |  |  | (233 | ) |  | 129,260 |
Cash and invested cash |  | 1,472 |  |  | - |  |  | 1,472 |
Deferred acquisition costs and value of business acquired |  | 13,676 |  |  | 8 |  |  | 13,684 |
Accrued investment income |  | 1,283 |  |  | - |  |  | 1,283 |
Reinsurance recoverables, net of allowance for credit losses |  | 20,045 |  |  | - |  |  | 20,045 |
Goodwill |  | 1,144 |  |  | - |  |  | 1,144 |
Other assets |  | 20,275 |  |  | (284 | ) |  | 19,991 |
Separate account assets |  | 137,295 |  |  | - |  |  | 137,295 |
Total assets | $ | 324,683 |  | $ | (509 | ) | $ | 324,174 |
LIABILITIES AND STOCKHOLDERS’ EQUITY |  |  |  |  |  |  |  |  |
Liabilities |  |  |  |  |  |  |  |  |
Future contract benefits | $ | 41,716 |  | $ | - |  | $ | 41,716 |
Other contract holder funds |  | 118,174 |  |  | 27 |  |  | 118,201 |
Short-term debt |  | 500 |  |  | - |  |  | 500 |
Long-term debt |  | 5,959 |  |  | - |  |  | 5,959 |
Payables for collateral on investments |  | 6,865 |  |  | - |  |  | 6,865 |
Other liabilities |  | 11,957 |  |  | (987 | ) |  | 10,970 |
Separate account liabilities |  | 137,295 |  |  | - |  |  | 137,295 |
Total liabilities |  | 322,466 |  |  | (960 | ) |  | 321,506 |
Contingencies and Commitments (See Note 13) |  |  |  |  |  |  |  |  |
Stockholders’ Equity |  |  |  |  |  |  |  |  |
Preferred stock – 10,000,000 shares authorized |  | - |  |  | - |  |  | - |
Common stock – 800,000,000 shares authorized; |  |  |  |  |  |  |  |  |
169,214,493 shares issued and outstanding as of September 30, 2022 |  | 4,534 |  |  | - |  |  | 4,534 |
Retained earnings |  | 6,311 |  |  | 451 |  |  | 6,762 |
Accumulated other comprehensive income (loss) |  | (8,628 | ) |  | - |  |  | (8,628 | )
Total stockholders’ equity |  | 2,217 |  |  | 451 |  |  | 2,668 |
Total liabilities and stockholders’ equity | $ | 324,683 |  | $ | (509 | ) | $ | 324,174 |
LINCOLN NATIONAL CORPORATION CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (LOSS) (Unaudited, in millions, except per share data)
| For the Three Months Ended |
| March 31, 2021 |
| As |  |  |  |  |  |
| Previously |  | Restatement |  | As |
| Reported |  | Impacts |  | Restated |
Revenues |  |  |  |  |  |  |  |  |
Insurance premiums | $ | 1,406 |  | $ | (6 | ) | $ | 1,400 |
Fee income |  | 1,592 |  |  | 5 |  |  | 1,597 |
Net investment income |  | 1,510 |  |  | (1 | ) |  | 1,509 |
Realized gain (loss) |  | (181 | ) |  | 1 |  |  | (180 | )
Amortization of deferred gain on business sold through reinsurance |  | 9 |  |  | - |  |  | 9 |
Other revenues |  | 198 |  |  | - |  |  | 198 |
Total revenues |  | 4,534 |  |  | (1 | ) |  | 4,533 |
Expenses |  |  |  |  |  |  |  |  |
Interest credited |  | 737 |  |  | 6 |  |  | 743 |
Benefits |  | 2,226 |  |  | 1 |  |  | 2,227 |
Commissions and other expenses |  | 1,231 |  |  | - |  |  | 1,231 |
Interest and debt expense |  | 65 |  |  | - |  |  | 65 |
Spark program expense |  | 13 |  |  | - |  |  | 13 |
Total expenses |  | 4,272 |  |  | 7 |  |  | 4,279 |
Income (loss) before taxes |  | 262 |  |  | (8 | ) |  | 254 |
Federal income tax expense (benefit) |  | 37 |  |  | (2 | ) |  | 35 |
Net income (loss) |  | 225 |  |  | (6 | ) |  | 219 |
Other comprehensive income (loss), net of tax |  | (3,170 | ) |  | - |  |  | (3,170 | )
Comprehensive income (loss) | $ | (2,945 | ) | $ | (6 | ) | $ | (2,951 | )
Net Income (Loss) Per Common Share |  |  |  |  |  |  |  |  |
Basic | $ | 1.17 |  | $ | (0.03 | ) | $ | 1.14 |
Diluted | $ | 1.16 |  | $ | (0.03 | ) | $ | 1.13 |
Cash Dividends Declared Per Common Share | $ | 0.42 |  | $ | - |  | $ | 0.42 |
LINCOLN NATIONAL CORPORATION CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (LOSS) (Unaudited, in millions, except per share data)
| For the Three Months Ended |
| June 30, 2021 |
| As |  |  |  |  |  |
| Previously |  | Restatement |  | As |
| Reported |  | Impacts |  | Restated |
Revenues |  |  |  |  |  |  |  |  |
Insurance premiums | $ | 1,398 |  | $ | 6 |  | $ | 1,404 |
Fee income |  | 1,670 |  |  | 3 |  |  | 1,673 |
Net investment income |  | 1,584 |  |  | (1 | ) |  | 1,583 |
Realized gain (loss) |  | (2 | ) |  | 3 |  |  | 1 |
Amortization of deferred gain on business sold through reinsurance |  | 9 |  |  | - |  |  | 9 |
Other revenues |  | 192 |  |  | - |  |  | 192 |
Total revenues |  | 4,851 |  |  | 11 |  |  | 4,862 |
Expenses |  |  |  |  |  |  |  |  |
Interest credited |  | 737 |  |  | 8 |  |  | 745 |
Benefits |  | 1,930 |  |  | - |  |  | 1,930 |
Commissions and other expenses |  | 1,326 |  |  | (1 | ) |  | 1,325 |
Interest and debt expense |  | 65 |  |  | - |  |  | 65 |
Spark program expense |  | 21 |  |  | - |  |  | 21 |
Total expenses |  | 4,079 |  |  | 7 |  |  | 4,086 |
Income (loss) before taxes |  | 772 |  |  | 4 |  |  | 776 |
Federal income tax expense (benefit) |  | 130 |  |  | 1 |  |  | 131 |
Net income (loss) |  | 642 |  |  | 3 |  |  | 645 |
Other comprehensive income (loss), net of tax |  | 1,718 |  |  | - |  |  | 1,718 |
Comprehensive income (loss) | $ | 2,360 |  | $ | 3 |  | $ | 2,363 |
Net Income (Loss) Per Common Share |  |  |  |  |  |  |  |  |
Basic | $ | 3.38 |  | $ | 0.02 |  | $ | 3.40 |
Diluted | $ | 3.34 |  | $ | 0.02 |  | $ | 3.36 |
Cash Dividends Declared Per Common Share | $ | 0.42 |  | $ | - |  | $ | 0.42 |
LINCOLN NATIONAL CORPORATION CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (LOSS) (Unaudited, in millions, except per share data)
| For the Three Months Ended |
| September 30, 2021 |
| As |  |  |  |  |  |
| Previously |  | Restatement |  | As |
| Reported |  | Impacts |  | Restated |
Revenues |  |  |  |  |  |  |  |  |
Insurance premiums | $ | 1,394 |  | $ | - |  | $ | 1,394 |
Fee income |  | 1,996 |  |  | 4 |  |  | 2,000 |
Net investment income |  | 1,576 |  |  | (1 | ) |  | 1,575 |
Realized gain (loss) |  | 85 |  |  | (6 | ) |  | 79 |
Amortization of deferred gain on business sold through reinsurance |  | 9 |  |  | - |  |  | 9 |
Other revenues |  | 181 |  |  | - |  |  | 181 |
Total revenues |  | 5,241 |  |  | (3 | ) |  | 5,238 |
Expenses |  |  |  |  |  |  |  |  |
Interest credited |  | 750 |  |  | (2 | ) |  | 748 |
Benefits |  | 2,122 |  |  | (1 | ) |  | 2,121 |
Commissions and other expenses |  | 1,906 |  |  | 2 |  |  | 1,908 |
Interest and debt expense |  | 73 |  |  | - |  |  | 73 |
Spark program expense |  | 22 |  |  | - |  |  | 22 |
Total expenses |  | 4,873 |  |  | (1 | ) |  | 4,872 |
Income (loss) before taxes |  | 368 |  |  | (2 | ) |  | 366 |
Federal income tax expense (benefit) |  | 50 |  |  | - |  |  | 50 |
Net income (loss) |  | 318 |  |  | (2 | ) |  | 316 |
Other comprehensive income (loss), net of tax |  | (630 | ) |  | - |  |  | (630 | )
Comprehensive income (loss) | $ | (312 | ) | $ | (2 | ) | $ | (314 | )
Net Income (Loss) Per Common Share |  |  |  |  |  |  |  |  |
Basic | $ | 1.70 |  | $ | (0.01 | ) | $ | 1.69 |
Diluted | $ | 1.68 |  | $ | (0.01 | ) | $ | 1.67 |
Cash Dividends Declared Per Common Share | $ | 0.42 |  | $ | - |  | $ | 0.42 |
LINCOLN NATIONAL CORPORATION CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (LOSS) (Unaudited, in millions, except per share data)
| For the Three Months Ended |
| December 31, 2021 |
| As |  |  |  |  |  |
| Previously |  | Restatement |  | As |
| Reported |  | Impacts |  | Restated |
Revenues |  |  |  |  |  |  |  |  |
Insurance premiums | $ | 1,419 |  | $ | - |  | $ | 1,419 |
Fee income |  | 1,629 |  |  | 6 |  |  | 1,635 |
Net investment income |  | 1,445 |  |  | (1 | ) |  | 1,444 |
Realized gain (loss) |  | (114 | ) |  | 628 |  |  | 514 |
Amortization of deferred gain on business sold through reinsurance |  | 19 |  |  | (8 | ) |  | 11 |
Other revenues |  | 206 |  |  | - |  |  | 206 |
Total revenues |  | 4,604 |  |  | 625 |  |  | 5,229 |
Expenses |  |  |  |  |  |  |  |  |
Interest credited |  | 691 |  |  | 5 |  |  | 696 |
Benefits |  | 2,251 |  |  | - |  |  | 2,251 |
Commissions and other expenses |  | 1,328 |  |  | 2 |  |  | 1,330 |
Interest and debt expense |  | 67 |  |  | - |  |  | 67 |
Spark program expense |  | 31 |  |  | - |  |  | 31 |
Total expenses |  | 4,368 |  |  | 7 |  |  | 4,375 |
Income (loss) before taxes |  | 236 |  |  | 618 |  |  | 854 |
Federal income tax expense (benefit) |  | 16 |  |  | 130 |  |  | 146 |
Net income (loss) |  | 220 |  |  | 488 |  |  | 708 |
Other comprehensive income (loss), net of tax |  | (408 | ) |  | - |  |  | (408 | )
Comprehensive income (loss) | $ | (188 | ) | $ | 488 |  | $ | 300 |
Net Income (Loss) Per Common Share |  |  |  |  |  |  |  |  |
Basic | $ | 1.22 |  | $ | 2.70 |  | $ | 3.92 |
Diluted | $ | 1.20 |  | $ | 2.66 |  | $ | 3.86 |
Cash Dividends Declared Per Common Share | $ | 0.45 |  | $ | - |  | $ | 0.45 |
LINCOLN NATIONAL CORPORATION CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (LOSS) (Unaudited, in millions, except per share data)
| For the Three Months Ended |
| March 31, 2022 |
| As |  |  |  |  |  |
| Previously |  | Restatement |  | As |
| Reported |  | Impacts |  | Restated |
Revenues |  |  |  |  |  |  |  |  |
Insurance premiums | $ | 1,477 |  | $ | - |  | $ | 1,477 |
Fee income |  | 1,568 |  |  | - |  |  | 1,568 |
Net investment income |  | 1,412 |  |  | (1 | ) |  | 1,411 |
Realized gain (loss) |  | 29 |  |  | (4 | ) |  | 25 |
Amortization of deferred gain on business sold through reinsurance |  | 19 |  |  | (8 | ) |  | 11 |
Other revenues |  | 182 |  |  | - |  |  | 182 |
Total revenues |  | 4,687 |  |  | (13 | ) |  | 4,674 |
Expenses |  |  |  |  |  |  |  |  |
Interest credited |  | 697 |  |  | - |  |  | 697 |
Benefits |  | 2,565 |  |  | 3 |  |  | 2,568 |
Commissions and other expenses |  | 1,236 |  |  | (1 | ) |  | 1,235 |
Interest and debt expense |  | 66 |  |  | - |  |  | 66 |
Spark program expense |  | 31 |  |  | - |  |  | 31 |
Total expenses |  | 4,595 |  |  | 2 |  |  | 4,597 |
Income (loss) before taxes |  | 92 |  |  | (15 | ) |  | 77 |
Federal income tax expense (benefit) |  | (12 | ) |  | (3 | ) |  | (15 | )
Net income (loss) |  | 104 |  |  | (12 | ) |  | 92 |
Other comprehensive income (loss), net of tax |  | (5,191 | ) |  | 2 |  |  | (5,189 | )
Comprehensive income (loss) | $ | (5,087 | ) | $ | (10 | ) | $ | (5,097 | )
Net Income (Loss) Per Common Share |  |  |  |  |  |  |  |  |
Basic | $ | 0.60 |  | $ | (0.07 | ) | $ | 0.53 |
Diluted | $ | 0.58 |  | $ | (0.06 | ) | $ | 0.52 |
Cash Dividends Declared Per Common Share | $ | 0.45 |  | $ | - |  | $ | 0.45 |
LINCOLN NATIONAL CORPORATION CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (LOSS) (Unaudited, in millions, except per share data)
| For the Three Months Ended |
| June 30, 2022 |
| As |  |  |  |  |  |
| Previously |  | Restatement |  | As |
| Reported |  | Impacts |  | Restated |
Revenues |  |  |  |  |  |  |  |  |
Insurance premiums | $ | 1,498 |  | $ | - |  | $ | 1,498 |
Fee income |  | 1,506 |  |  | - |  |  | 1,506 |
Net investment income |  | 1,369 |  |  | 29 |  |  | 1,398 |
Realized gain (loss) |  | 522 |  |  | (7 | ) |  | 515 |
Amortization of deferred gain on business sold through reinsurance |  | 19 |  |  | (8 | ) |  | 11 |
Other revenues |  | 190 |  |  | (30 | ) |  | 160 |
Total revenues |  | 5,104 |  |  | (16 | ) |  | 5,088 |
Expenses |  |  |  |  |  |  |  |  |
Interest credited |  | 706 |  |  | - |  |  | 706 |
Benefits |  | 2,890 |  |  | - |  |  | 2,890 |
Commissions and other expenses |  | 1,127 |  |  | (4 | ) |  | 1,123 |
Interest and debt expense |  | 68 |  |  | - |  |  | 68 |
Spark program expense |  | 44 |  |  | - |  |  | 44 |
Total expenses |  | 4,835 |  |  | (4 | ) |  | 4,831 |
Income (loss) before taxes |  | 269 |  |  | (12 | ) |  | 257 |
Federal income tax expense (benefit) |  | 31 |  |  | (2 | ) |  | 29 |
Net income (loss) |  | 238 |  |  | (10 | ) |  | 228 |
Other comprehensive income (loss), net of tax |  | (5,593 | ) |  | 4 |  |  | (5,589 | )
Comprehensive income (loss) | $ | (5,355 | ) | $ | (6 | ) | $ | (5,361 | )
Net Income (Loss) Per Common Share |  |  |  |  |  |  |  |  |
Basic | $ | 1.39 |  | $ | (0.05 | ) | $ | 1.34 |
Diluted | $ | 1.34 |  | $ | (0.06 | ) | $ | 1.28 |
Cash Dividends Declared Per Common Share | $ | 0.45 |  | $ | - |  | $ | 0.45 |
LINCOLN NATIONAL CORPORATION CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (LOSS) (Unaudited, in millions, except per share data)
| For the Three Months Ended |
| September 30, 2022 |
| As |  |  |  |  |  |
| Previously |  | Restatement |  | As |
| Reported |  | Impacts |  | Restated |
Revenues |  |  |  |  |  |  |  |  |
Insurance premiums | $ | 1,548 |  | $ | - |  | $ | 1,548 |
Fee income |  | 1,527 |  |  | - |  |  | 1,527 |
Net investment income |  | 1,326 |  |  | (31 | ) |  | 1,295 |
Realized gain (loss) |  | 220 |  |  | (8 | ) |  | 212 |
Amortization of deferred gain on business sold through reinsurance |  | 18 |  |  | (8 | ) |  | 10 |
Other revenues |  | 159 |  |  | 30 |  |  | 189 |
Total revenues |  | 4,798 |  |  | (17 | ) |  | 4,781 |
Expenses |  |  |  |  |  |  |  |  |
Interest credited |  | 722 |  |  | - |  |  | 722 |
Benefits |  | 5,106 |  |  | (3 | ) |  | 5,103 |
Commissions and other expenses |  | 1,358 |  |  | (3 | ) |  | 1,355 |
Interest and debt expense |  | 71 |  |  | - |  |  | 71 |
Spark program expense |  | 44 |  |  | - |  |  | 44 |
Impairment of intangibles |  | 634 |  |  | - |  |  | 634 |
Total expenses |  | 7,935 |  |  | (6 | ) |  | 7,929 |
Income (loss) before taxes |  | (3,137 | ) |  | (11 | ) |  | (3,148 | )
Federal income tax expense (benefit) |  | (563 | ) |  | (2 | ) |  | (565 | )
Net income (loss) |  | (2,574 | ) |  | (9 | ) |  | (2,583 | )
Other comprehensive income (loss), net of tax |  | (4,285 | ) |  | (6 | ) |  | (4,291 | )
Comprehensive income (loss) | $ | (6,859 | ) | $ | (15 | ) | $ | (6,874 | )
Net Income (Loss) Per Common Share |  |  |  |  |  |  |  |  |
Basic | $ | (15.17 | ) | $ | (0.05 | ) | $ | (15.22 | )
Diluted | $ | (15.17 | ) | $ | (0.06 | ) | $ | (15.23 | )
Cash Dividends Declared Per Common Share | $ | 0.45 |  | $ | - |  | $ | 0.45 |
LINCOLN NATIONAL CORPORATION CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (LOSS) (Unaudited, in millions, except per share data)
| For the Three Months Ended |
| December 31, 2022 |
| As |  |  |  |  |  |
| Previously |  | Restatement |  | As |
| Reported |  | Impacts |  | Restated |
Revenues |  |  |  |  |  |  |  |  |
Insurance premiums | $ | 1,564 |  | $ | - |  | $ | 1,564 |
Fee income |  | 1,453 |  |  | - |  |  | 1,453 |
Net investment income |  | 1,404 |  |  | 7 |  |  | 1,411 |
Realized gain (loss) |  | (435 | ) |  | 28 |  |  | (407 | )
Amortization of deferred gain on business sold through reinsurance |  | 18 |  |  | (8 | ) |  | 10 |
Other revenues |  | 191 |  |  | - |  |  | 191 |
Total revenues |  | 4,195 |  |  | 27 |  |  | 4,222 |
Expenses |  |  |  |  |  |  |  |  |
Interest credited |  | 745 |  |  | - |  |  | 745 |
Benefits |  | 1,985 |  |  | - |  |  | 1,985 |
Commissions and other expenses |  | 1,374 |  |  | 8 |  |  | 1,382 |
Interest and debt expense |  | 78 |  |  | - |  |  | 78 |
Spark program expense |  | 48 |  |  | - |  |  | 48 |
Total expenses |  | 4,230 |  |  | 8 |  |  | 4,238 |
Income (loss) before taxes |  | (35 | ) |  | 19 |  |  | (16 | )
Federal income tax expense (benefit) |  | (40 | ) |  | 3 |  |  | (37 | )
Net income (loss) |  | 5 |  |  | 16 |  |  | 21 |
Other comprehensive income (loss), net of tax |  | 960 |  |  | - |  |  | 960 |
Comprehensive income (loss) | $ | 965 |  | $ | 16 |  | $ | 981 |
Net Income (Loss) Per Common Share |  |  |  |  |  |  |  |  |
Basic | $ | 0.04 |  | $ | 0.08 |  | $ | 0.12 |
Diluted | $ | 0.01 |  | $ | 0.08 |  | $ | 0.09 |
Cash Dividends Declared Per Common Share | $ | 0.45 |  | $ | - |  | $ | 0.45 |
LINCOLN NATIONAL CORPORATION CONSOLIDATED STATEMENTS OF STOCKHOLDERS’ EQUITY (Unaudited, in millions)
| For the Three Months Ended
| March 31, 2021
| As |  |  |  |  |  |
| Previously |  | Restatement |  | As |
| Reported |  | Impacts |  | Restated |
Common Stock |  |  |  |  |  |  |  |  |
Balance as of beginning-of-year | $ | 5,082 |  | $ | - |  | $ | 5,082 |
Stock compensation/issued for benefit plans |  | 25 |  |  | - |  |  | 25 |
Retirement of common stock/cancellation of shares |  | (50 | ) |  | - |  |  | (50 | )
Balance as of end-of-period |  | 5,057 |  |  | - |  |  | 5,057 |
Retained Earnings |  |  |  |  |  |  |  |  |
Balance as of beginning-of-year |  | 8,686 |  |  | - |  |  | 8,686 |
Net income (loss) |  | 225 |  |  | (6 | ) |  | 219 |
Retirement of common stock |  | (55 | ) |  | - |  |  | (55 | )
Common stock dividends declared |  | (81 | ) |  | - |  |  | (81 | )
Balance as of end-of-period |  | 8,775 |  |  | (6 | ) |  | 8,769 |
Accumulated Other Comprehensive Income (Loss) |  |  |  |  |  |  |  |  |
Balance as of beginning-of-year |  | 8,931 |  |  | - |  |  | 8,931 |
Other comprehensive income (loss), net of tax |  | (3,170 | ) |  | - |  |  | (3,170 | )
Balance as of end-of-period |  | 5,761 |  |  | - |  |  | 5,761 |
Total stockholders’ equity as of end-of-period | $ | 19,593 |  | $ | (6 | ) | $ | 19,587 |
| For the Three Months Ended |
| June 30, 2021 |
| As |  |  |  |  |  |
| Previously |  | Restatement |  | As |
| Reported |  | Impacts |  | Restated |
Common Stock |  |  |  |  |  |  |  |  |
Balance as of beginning-of-period | $ | 5,057 |  | $ | - |  | $ | 5,057 |
Stock compensation/issued for benefit plans |  | 23 |  |  | - |  |  | 23 |
Retirement of common stock/cancellation of shares |  | (59 | ) |  | - |  |  | (59 | )
Balance as of end-of-period |  | 5,021 |  |  | - |  |  | 5,021 |
Retained Earnings |  |  |  |  |  |  |  |  |
Balance as of beginning-of-period |  | 8,775 |  |  | (6 | ) |  | 8,769 |
Net income (loss) |  | 642 |  |  | 3 |  |  | 645 |
Retirement of common stock |  | (91 | ) |  | - |  |  | (91 | )
Common stock dividends declared |  | (81 | ) |  | - |  |  | (81 | )
Balance as of end-of-period |  | 9,245 |  |  | (3 | ) |  | 9,242 |
Accumulated Other Comprehensive Income (Loss) |  |  |  |  |  |  |  |  |
Balance as of beginning-of-period |  | 5,761 |  |  | - |  |  | 5,761 |
Other comprehensive income (loss), net of tax |  | 1,718 |  |  | - |  |  | 1,718 |
Balance as of end-of-period |  | 7,479 |  |  | - |  |  | 7,479 |
Total stockholders’ equity as of end-of-period | $ | 21,745 |  | $ | (3 | ) | $ | 21,742 |
LINCOLN NATIONAL CORPORATION CONSOLIDATED STATEMENTS OF STOCKHOLDERS’ EQUITY (Unaudited, in millions)
| For the Three Months Ended |
| September 30, 2021 |
| As |  |  |  |  |  |
| Previously |  | Restatement |  | As |
| Reported |  | Impacts |  | Restated |
Common Stock |  |  |  |  |  |  |  |  |
Balance as of beginning-of-period | $ | 5,021 |  | $ | - |  | $ | 5,021 |
Stock compensation/issued for benefit plans |  | 16 |  |  | - |  |  | 16 |
Retirement of common stock/cancellation of shares |  | (81 | ) |  | - |  |  | (81 | )
Balance as of end-of-period |  | 4,956 |  |  | - |  |  | 4,956 |
Retained Earnings |  |  |  |  |  |  |  |  |
Balance as of beginning-of-period |  | 9,245 |  |  | (3 | ) |  | 9,242 |
Net income (loss) |  | 318 |  |  | (2 | ) |  | 316 |
Retirement of common stock |  | (119 | ) |  | - |  |  | (119 | )
Common stock dividends declared |  | (79 | ) |  | - |  |  | (79 | )
Balance as of end-of-period |  | 9,365 |  |  | (5 | ) |  | 9,360 |
Accumulated Other Comprehensive Income (Loss) |  |  |  |  |  |  |  |  |
Balance as of beginning-of-period |  | 7,479 |  |  | - |  |  | 7,479 |
Other comprehensive income (loss), net of tax |  | (630 | ) |  | - |  |  | (630 | )
Balance as of end-of-period |  | 6,849 |  |  | - |  |  | 6,849 |
Total stockholders’ equity as of end-of-period | $ | 21,170 |  | $ | (5 | ) | $ | 21,165 |
| For the Three Months Ended |
| March 31, 2022 |
| As |  |  |  |  |  |
| Previously |  | Restatement |  | As |
| Reported |  | Impacts |  | Restated |
Common Stock |  |  |  |  |  |  |  |  |
Balance as of beginning-of-year | $ | 4,735 |  | $ | - |  | $ | 4,735 |
Stock compensation/issued for benefit plans |  | 6 |  |  | - |  |  | 6 |
Retirement of common stock/cancellation of shares |  | (155 | ) |  | - |  |  | (155 | )
Balance as of end-of-period |  | 4,586 |  |  | - |  |  | 4,586 |
Retained Earnings |  |  |  |  |  |  |  |  |
Balance as of beginning-of-year |  | 9,096 |  |  | 482 |  |  | 9,578 |
Net income (loss) |  | 104 |  |  | (12 | ) |  | 92 |
Retirement of common stock |  | (245 | ) |  | - |  |  | (245 | )
Common stock dividends declared |  | (79 | ) |  | - |  |  | (79 | )
Balance as of end-of-period |  | 8,876 |  |  | 470 |  |  | 9,346 |
Accumulated Other Comprehensive Income (Loss) |  |  |  |  |  |  |  |  |
Balance as of beginning-of-year |  | 6,441 |  |  | - |  |  | 6,441 |
Other comprehensive income (loss), net of tax |  | (5,191 | ) |  | 2 |  |  | (5,189 | )
Balance as of end-of-period |  | 1,250 |  |  | 2 |  |  | 1,252 |
Total stockholders’ equity as of end-of-period | $ | 14,712 |  | $ | 472 |  | $ | 15,184 |
LINCOLN NATIONAL CORPORATION CONSOLIDATED STATEMENTS OF STOCKHOLDERS’ EQUITY (Unaudited, in millions)
| For the Three Months Ended |
| June 30, 2022 |
| As |  |  |  |  |  |
| Previously |  | Restatement |  | As |
| Reported |  | Impacts |  | Restated |
Common Stock |  |  |  |  |  |  |  |  |
Balance as of beginning-of-period | $ | 4,586 |  | $ | - |  | $ | 4,586 |
Stock compensation/issued for benefit plans |  | 9 |  |  | - |  |  | 9 |
Retirement of common stock/cancellation of shares |  | (49 | ) |  | - |  |  | (49 | )
Balance as of end-of-period |  | 4,546 |  |  | - |  |  | 4,546 |
Retained Earnings |  |  |  |  |  |  |  |  |
Balance as of beginning-of-period |  | 8,876 |  |  | 470 |  |  | 9,346 |
Net income (loss) |  | 238 |  |  | (10 | ) |  | 228 |
Retirement of common stock |  | (51 | ) |  | - |  |  | (51 | )
Common stock dividends declared |  | (78 | ) |  | - |  |  | (78 | )
Balance as of end-of-period |  | 8,985 |  |  | 460 |  |  | 9,445 |
Accumulated Other Comprehensive Income (Loss) |  |  |  |  |  |  |  |  |
Balance as of beginning-of-period |  | 1,250 |  |  | 2 |  |  | 1,252 |
Other comprehensive income (loss), net of tax |  | (5,593 | ) |  | 4 |  |  | (5,589 | )
Balance as of end-of-period |  | (4,343 | ) |  | 6 |  |  | (4,337 | )
Total stockholders’ equity as of end-of-period | $ | 9,188 |  | $ | 466 |  | $ | 9,654 |
| For the Three Months Ended |
| September 30, 2022 |
| As |  |  |  |  |  |
| Previously |  | Restatement |  | As |
| Reported |  | Impacts |  | Restated |
Common Stock |  |  |  |  |  |  |  |  |
Balance as of beginning-of-period | $ | 4,546 |  | $ | - |  | $ | 4,546 |
Stock compensation/issued for benefit plans |  | 15 |  |  | - |  |  | 15 |
Retirement of common stock/cancellation of shares |  | (27 | ) |  | - |  |  | (27 | )
Balance as of end-of-period |  | 4,534 |  |  | - |  |  | 4,534 |
Retained Earnings |  |  |  |  |  |  |  |  |
Balance as of beginning-of-period |  | 8,985 |  |  | 460 |  |  | 9,445 |
Net income (loss) |  | (2,574 | ) |  | (9 | ) |  | (2,583 | )
Retirement of common stock |  | (23 | ) |  | - |  |  | (23 | )
Common stock dividends declared |  | (77 | ) |  | - |  |  | (77 | )
Balance as of end-of-period |  | 6,311 |  |  | 451 |  |  | 6,762 |
Accumulated Other Comprehensive Income (Loss) |  |  |  |  |  |  |  |  |
Balance as of beginning-of-period |  | (4,343 | ) |  | 6 |  |  | (4,337 | )
Other comprehensive income (loss), net of tax |  | (4,285 | ) |  | (6 | ) |  | (4,291 | )
Balance as of end-of-period |  | (8,628 | ) |  | - |  |  | (8,628 | )
Total stockholders’ equity as of end-of-period | $ | 2,217 |  | $ | 451 |  | $ | 2,668 |
‎ LINCOLN NATIONAL CORPORATION CONSOLIDATED STATEMENTS OF CASH FLOWS (Unaudited, in millions)
| For the Three Months Ended |
| March 31, 2021 |
| As |  |  |  |  |  |
| Previously |  | Restatement |  | As |
| Reported |  | Impacts |  | Restated |
Cash Flows from Operating Activities |  |  |  |  |  |  |  |  |
Net income (loss) | $ | 225 |  | $ | (6 | ) | $ | 219 |
Adjustments to reconcile net income (loss) to net cash provided by |  |  |  |  |  |  |  |  |
(used in) operating activities: |  |  |  |  |  |  |  |  |
Realized (gain) loss |  | 181 |  |  | (1 | ) |  | 180 |
Sales and maturities (purchases) of trading securities, net |  | 98 |  |  | 20 |  |  | 118 |
Amortization of deferred gain on business sold through reinsurance |  | (9 | ) |  | - |  |  | (9 | )
Change in: |  |  |  |  |  |  |  |  |
Deferred acquisition costs, value of business acquired, deferred sales |  |  |  |  |  |  |  |  |
inducements and deferred front-end loads deferrals and interest, net |  |  |  |  |  |  |  |  |
of amortization |  | 54 |  |  | - |  |  | 54 |
Premiums and fees receivable |  | (167 | ) |  | 6 |  |  | (161 | )
Accrued investment income |  | (41 | ) |  | - |  |  | (41 | )
Insurance liabilities and reinsurance-related balances |  | (764 | ) |  | 2 |  |  | (762 | )
Accrued expenses |  | (40 | ) |  | - |  |  | (40 | )
Federal income tax accruals |  | 37 |  |  | (2 | ) |  | 35 |
Other |  | (216 | ) |  | - |  |  | (216 | )
Net cash provided by (used in) operating activities |  | (642 | ) |  | 19 |  |  | (623 | )
Cash Flows from Investing Activities |  |  |  |  |  |  |  |  |
Purchases of available-for-sale securities and equity securities |  | (3,834 | ) |  | (20 | ) |  | (3,854 | )
Sales of available-for-sale securities and equity securities |  | 571 |  |  | - |  |  | 571 |
Maturities of available-for-sale securities |  | 1,913 |  |  | - |  |  | 1,913 |
Purchases of alternative investments |  | (163 | ) |  | - |  |  | (163 | )
Sales and repayments of alternative investments |  | 54 |  |  | - |  |  | 54 |
Issuance of mortgage loans on real estate |  | (888 | ) |  | 1 |  |  | (887 | )
Repayment and maturities of mortgage loans on real estate |  | 403 |  |  | - |  |  | 403 |
Repayment (issuance) of policy loans, net |  | (76 | ) |  | - |  |  | (76 | )
Net change in collateral on investments, derivatives and related settlements |  | 1,341 |  |  | - |  |  | 1,341 |
Other |  | (33 | ) |  | - |  |  | (33 | )
Net cash provided by (used in) investing activities |  | (712 | ) |  | (19 | ) |  | (731 | )
Cash Flows from Financing Activities |  |  |  |  |  |  |  |  |
Deposits of fixed account values, including the fixed portion of variable |  | 3,136 |  |  | 4 |  |  | 3,140 |
Withdrawals of fixed account values, including the fixed portion of variable |  | (1,777 | ) |  | 4 |  |  | (1,773 | )
Transfers from (to) separate accounts, net |  | (122 | ) |  | (8 | ) |  | (130 | )
Common stock issued for benefit plans |  | 7 |  |  | - |  |  | 7 |
Repurchase of common stock |  | (105 | ) |  | - |  |  | (105 | )
Dividends paid to common stockholders |  | (80 | ) |  | - |  |  | (80 | )
Other |  | (63 | ) |  | - |  |  | (63 | )
Net cash provided by (used in) financing activities |  | 996 |  |  | - |  |  | 996 |
Net increase (decrease) in cash, invested cash and restricted cash |  | (358 | ) |  | - |  |  | (358 | )
Cash, invested cash and restricted cash as of beginning-of-year |  | 1,708 |  |  | - |  |  | 1,708 |
Cash, invested cash and restricted cash as of end-of-period | $ | 1,350 |  | $ | - |  | $ | 1,350 |
LINCOLN NATIONAL CORPORATION CONSOLIDATED STATEMENTS OF CASH FLOWS (Unaudited, in millions)
| For the Six Months Ended |
| June 30, 2021 |
| As |  |  |  |  |  |
| Previously |  | Restatement |  | As |
| Reported |  | Impacts |  | Restated |
Cash Flows from Operating Activities |  |  |  |  |  |  |  |  |
Net income (loss) | $ | 867 |  | $ | (3 | ) | $ | 864 |
Adjustments to reconcile net income (loss) to net cash provided by |  |  |  |  |  |  |  |  |
(used in) operating activities: |  |  |  |  |  |  |  |  |
Realized (gain) loss |  | 182 |  |  | (3 | ) |  | 179 |
Sales and maturities (purchases) of trading securities, net |  | 210 |  |  | 20 |  |  | 230 |
Amortization of deferred gain on business sold through reinsurance |  | (17 | ) |  | - |  |  | (17 | )
Change in: |  |  |  |  |  |  |  |  |
Deferred acquisition costs, value of business acquired, deferred sales |  |  |  |  |  |  |  |  |
inducements and deferred front-end loads deferrals and interest, net |  |  |  |  |  |  |  |  |
of amortization |  | 115 |  |  | (3 | ) |  | 112 |
Premiums and fees receivable |  | (97 | ) |  | - |  |  | (97 | )
Accrued investment income |  | (10 | ) |  | - |  |  | (10 | )
Insurance liabilities and reinsurance-related balances |  | (1,438 | ) |  | 7 |  |  | (1,431 | )
Accrued expenses |  | 42 |  |  | - |  |  | 42 |
Federal income tax accruals |  | 167 |  |  | (1 | ) |  | 166 |
Other |  | (252 | ) |  | 1 |  |  | (251 | )
Net cash provided by (used in) operating activities |  | (231 | ) |  | 18 |  |  | (213 | )
Cash Flows from Investing Activities |  |  |  |  |  |  |  |  |
Purchases of available-for-sale securities and equity securities |  | (8,304 | ) |  | (20 | ) |  | (8,324 | )
Sales of available-for-sale securities and equity securities |  | 1,269 |  |  | - |  |  | 1,269 |
Maturities of available-for-sale securities |  | 4,700 |  |  | - |  |  | 4,700 |
Purchases of alternative investments |  | (361 | ) |  | - |  |  | (361 | )
Sales and repayments of alternative investments |  | 128 |  |  | - |  |  | 128 |
Issuance of mortgage loans on real estate |  | (1,634 | ) |  | 2 |  |  | (1,632 | )
Repayment and maturities of mortgage loans on real estate |  | 851 |  |  | - |  |  | 851 |
Repayment (issuance) of policy loans, net |  | 16 |  |  | - |  |  | 16 |
Net change in collateral on investments, derivatives and related settlements |  | 1,888 |  |  | - |  |  | 1,888 |
Other |  | (71 | ) |  | - |  |  | (71 | )
Net cash provided by (used in) investing activities |  | (1,518 | ) |  | (18 | ) |  | (1,536 | )
Cash Flows from Financing Activities |  |  |  |  |  |  |  |  |
Proceeds from certain financing arrangements |  | 50 |  |  | - |  |  | 50 |
Deposits of fixed account values, including the fixed portion of variable |  | 6,375 |  |  | 3 |  |  | 6,378 |
Withdrawals of fixed account values, including the fixed portion of variable |  | (3,299 | ) |  | 23 |  |  | (3,276 | )
Transfers from (to) separate accounts, net |  | (229 | ) |  | (26 | ) |  | (255 | )
Common stock issued for benefit plans |  | 12 |  |  | - |  |  | 12 |
Repurchase of common stock |  | (255 | ) |  | - |  |  | (255 | )
Dividends paid to common stockholders |  | (161 | ) |  | - |  |  | (161 | )
Other |  | (63 | ) |  | - |  |  | (63 | )
Net cash provided by (used in) financing activities |  | 2,430 |  |  | - |  |  | 2,430 |
Net increase (decrease) in cash, invested cash and restricted cash |  | 681 |  |  | - |  |  | 681 |
Cash, invested cash and restricted cash as of beginning-of-year |  | 1,708 |  |  | - |  |  | 1,708 |
Cash, invested cash and restricted cash as of end-of-period | $ | 2,389 |  | $ | - |  | $ | 2,389 |
LINCOLN NATIONAL CORPORATION CONSOLIDATED STATEMENTS OF CASH FLOWS (Unaudited, in millions)
| For the Nine Months Ended |
| September 30, 2021 |
| As |  |  |  |  |  |
| Previously |  | Restatement |  | As |
| Reported |  | Impacts |  | Restated |
Cash Flows from Operating Activities |  |  |  |  |  |  |  |  |
Net income (loss) | $ | 1,185 |  | $ | (5 | ) | $ | 1,180 |
Adjustments to reconcile net income (loss) to net cash provided by |  |  |  |  |  |  |  |  |
(used in) operating activities: |  |  |  |  |  |  |  |  |
Realized (gain) loss |  | 97 |  |  | 3 |  |  | 100 |
Sales and maturities (purchases) of trading securities, net |  | 219 |  |  | 20 |  |  | 239 |
Amortization of deferred gain on business sold through reinsurance |  | (27 | ) |  | - |  |  | (27 | )
Change in: |  |  |  |  |  |  |  |  |
Deferred acquisition costs, value of business acquired, deferred sales |  |  |  |  |  |  |  |  |
inducements and deferred front-end loads deferrals and interest, net |  |  |  |  |  |  |  |  |
of amortization |  | 348 |  |  | (2 | ) |  | 346 |
Premiums and fees receivable |  | (98 | ) |  | - |  |  | (98 | )
Accrued investment income |  | (34 | ) |  | - |  |  | (34 | )
Insurance liabilities and reinsurance-related balances |  | (1,779 | ) |  | - |  |  | (1,779 | )
Accrued expenses |  | 246 |  |  | - |  |  | 246 |
Federal income tax accruals |  | 216 |  |  | (1 | ) |  | 215 |
Other |  | (265 | ) |  | 2 |  |  | (263 | )
Net cash provided by (used in) operating activities |  | 108 |  |  | 17 |  |  | 125 |
Cash Flows from Investing Activities |  |  |  |  |  |  |  |  |
Purchases of available-for-sale securities and equity securities |  | (11,897 | ) |  | (20 | ) |  | (11,917 | )
Sales of available-for-sale securities and equity securities |  | 1,452 |  |  | - |  |  | 1,452 |
Maturities of available-for-sale securities |  | 7,055 |  |  | - |  |  | 7,055 |
Purchases of alternative investments |  | (506 | ) |  | - |  |  | (506 | )
Sales and repayments of alternative investments |  | 258 |  |  | - |  |  | 258 |
Issuance of mortgage loans on real estate |  | (2,213 | ) |  | 3 |  |  | (2,210 | )
Repayment and maturities of mortgage loans on real estate |  | 1,274 |  |  | - |  |  | 1,274 |
Repayment (issuance) of policy loans, net |  | 48 |  |  | - |  |  | 48 |
Net change in collateral on investments, derivatives and related settlements |  | 2,312 |  |  | - |  |  | 2,312 |
Other |  | (219 | ) |  | - |  |  | (219 | )
Net cash provided by (used in) investing activities |  | (2,436 | ) |  | (17 | ) |  | (2,453 | )
Cash Flows from Financing Activities |  |  |  |  |  |  |  |  |
Payment related to modification or early extinguishment of debt |  | (8 | ) |  | - |  |  | (8 | )
Proceeds from certain financing arrangements |  | 50 |  |  | - |  |  | 50 |
Deposits of fixed account values, including the fixed portion of variable |  | 9,150 |  |  | 2 |  |  | 9,152 |
Withdrawals of fixed account values, including the fixed portion of variable |  | (4,961 | ) |  | - |  |  | (4,961 | )
Transfers from (to) separate accounts, net |  | (252 | ) |  | (2 | ) |  | (254 | )
Common stock issued for benefit plans |  | 14 |  |  | - |  |  | 14 |
Repurchase of common stock |  | (455 | ) |  | - |  |  | (455 | )
Dividends paid to common stockholders |  | (241 | ) |  | - |  |  | (241 | )
Other |  | (63 | ) |  | - |  |  | (63 | )
Net cash provided by (used in) financing activities |  | 3,234 |  |  | - |  |  | 3,234 |
Net increase (decrease) in cash, invested cash and restricted cash |  | 906 |  |  | - |  |  | 906 |
Cash, invested cash and restricted cash as of beginning-of-year |  | 1,708 |  |  | - |  |  | 1,708 |
Cash, invested cash and restricted cash as of end-of-period | $ | 2,614 |  | $ | - |  | $ | 2,614 |
LINCOLN NATIONAL CORPORATION CONSOLIDATED STATEMENTS OF CASH FLOWS (Unaudited, in millions)
| For the Three Months Ended |
| March 31, 2022 |
| As |  |  |  |  |  |
| Previously |  | Restatement |  | As |
| Reported |  | Impacts |  | Restated |
Cash Flows from Operating Activities |  |  |  |  |  |  |  |  |
Net income (loss) | $ | 104 |  | $ | (12 | ) | $ | 92 |
Adjustments to reconcile net income (loss) to net cash provided by |  |  |  |  |  |  |  |  |
(used in) operating activities: |  |  |  |  |  |  |  |  |
Realized (gain) loss |  | (29 | ) |  | 4 |  |  | (25 | )
Sales and maturities (purchases) of trading securities, net |  | (187 | ) |  | - |  |  | (187 | )
Amortization of deferred gain on business sold through reinsurance |  | (19 | ) |  | 8 |  |  | (11 | )
Change in: |  |  |  |  |  |  |  |  |
Deferred acquisition costs, value of business acquired, deferred sales |  |  |  |  |  |  |  |  |
inducements and deferred front-end loads deferrals and interest, net |  |  |  |  |  |  |  |  |
of amortization |  | 31 |  |  | - |  |  | 31 |
Premiums and fees receivable |  | (91 | ) |  | - |  |  | (91 | )
Accrued investment income |  | (35 | ) |  | - |  |  | (35 | )
Insurance liabilities and reinsurance-related balances |  | 1,271 |  |  | 4 |  |  | 1,275 |
Accrued expenses |  | (262 | ) |  | - |  |  | (262 | )
Federal income tax accruals |  | 42 |  |  | (3 | ) |  | 39 |
Other |  | (72 | ) |  | (2 | ) |  | (74 | )
Net cash provided by (used in) operating activities |  | 753 |  |  | (1 | ) |  | 752 |
Cash Flows from Investing Activities |  |  |  |  |  |  |  |  |
Purchases of available-for-sale securities and equity securities |  | (3,934 | ) |  | - |  |  | (3,934 | )
Sales of available-for-sale securities and equity securities |  | 105 |  |  | - |  |  | 105 |
Maturities of available-for-sale securities |  | 1,604 |  |  | - |  |  | 1,604 |
Purchases of alternative investments |  | (161 | ) |  | - |  |  | (161 | )
Sales and repayments of alternative investments |  | 131 |  |  | - |  |  | 131 |
Issuance of mortgage loans on real estate |  | (540 | ) |  | 1 |  |  | (539 | )
Repayment and maturities of mortgage loans on real estate |  | 717 |  |  | - |  |  | 717 |
Repayment (issuance) of policy loans, net |  | 25 |  |  | - |  |  | 25 |
Net change in collateral on investments, derivatives and related settlements |  | 16 |  |  | - |  |  | 16 |
Other |  | (104 | ) |  | - |  |  | (104 | )
Net cash provided by (used in) investing activities |  | (2,141 | ) |  | 1 |  |  | (2,140 | )
Cash Flows from Financing Activities |  |  |  |  |  |  |  |  |
Payment of long-term debt, including current maturities |  | (300 | ) |  | - |  |  | (300 | )
Issuance of long-term debt, net of issuance costs |  | 297 |  |  | - |  |  | 297 |
Payment related to sale-leaseback transactions |  | (4 | ) |  | - |  |  | (4 | )
Deposits of fixed account values, including the fixed portion of variable |  | 3,048 |  |  | (2 | ) |  | 3,046 |
Withdrawals of fixed account values, including the fixed portion of variable |  | (1,830 | ) |  | (54 | ) |  | (1,884 | )
Transfers from (to) separate accounts, net |  | 14 |  |  | 56 |  |  | 70 |
Common stock issued for benefit plans |  | (10 | ) |  | - |  |  | (10 | )
Repurchase of common stock |  | (400 | ) |  | - |  |  | (400 | )
Dividends paid to common stockholders |  | (79 | ) |  | - |  |  | (79 | )
Net cash provided by (used in) financing activities |  | 736 |  |  | - |  |  | 736 |
Net increase (decrease) in cash, invested cash and restricted cash |  | (652 | ) |  | - |  |  | (652 | )
Cash, invested cash and restricted cash as of beginning-of-year |  | 2,612 |  |  | - |  |  | 2,612 |
Cash, invested cash and restricted cash as of end-of-period | $ | 1,960 |  | $ | - |  | $ | 1,960 |
LINCOLN NATIONAL CORPORATION CONSOLIDATED STATEMENTS OF CASH FLOWS (Unaudited, in millions)
| For the Six Months Ended |
| June 30, 2022 |
| As |  |  |  |  |  |
| Previously |  | Restatement |  | As |
| Reported |  | Impacts |  | Restated |
Cash Flows from Operating Activities |  |  |  |  |  |  |  |  |
Net income (loss) | $ | 341 |  | $ | (22 | ) | $ | 319 |
Adjustments to reconcile net income (loss) to net cash provided by |  |  |  |  |  |  |  |  |
(used in) operating activities: |  |  |  |  |  |  |  |  |
Realized (gain) loss |  | (551 | ) |  | 11 |  |  | (540 | )
Sales and maturities (purchases) of trading securities, net |  | 117 |  |  | - |  |  | 117 |
Amortization of deferred gain on business sold through reinsurance |  | (38 | ) |  | 16 |  |  | (22 | )
Change in: |  |  |  |  |  |  |  |  |
Deferred acquisition costs, value of business acquired, deferred sales |  |  |  |  |  |  |  |  |
inducements and deferred front-end loads deferrals and interest, net |  |  |  |  |  |  |  |  |
of amortization |  | 2 |  |  | (2 | ) |  | - |
Premiums and fees receivable |  | (76 | ) |  | - |  |  | (76 | )
Accrued investment income |  | (40 | ) |  | - |  |  | (40 | )
Insurance liabilities and reinsurance-related balances |  | 3,083 |  |  | 33 |  |  | 3,116 |
Accrued expenses |  | (371 | ) |  | - |  |  | (371 | )
Federal income tax accruals |  | 74 |  |  | (5 | ) |  | 69 |
Other |  | 167 |  |  | (32 | ) |  | 135 |
Net cash provided by (used in) operating activities |  | 2,708 |  |  | (1 | ) |  | 2,707 |
Cash Flows from Investing Activities |  |  |  |  |  |  |  |  |
Purchases of available-for-sale securities and equity securities |  | (8,204 | ) |  | - |  |  | (8,204 | )
Sales of available-for-sale securities and equity securities |  | 308 |  |  | - |  |  | 308 |
Maturities of available-for-sale securities |  | 3,231 |  |  | - |  |  | 3,231 |
Purchases of alternative investments |  | (329 | ) |  | - |  |  | (329 | )
Sales and repayments of alternative investments |  | 183 |  |  | - |  |  | 183 |
Issuance of mortgage loans on real estate |  | (1,368 | ) |  | 2 |  |  | (1,366 | )
Repayment and maturities of mortgage loans on real estate |  | 1,428 |  |  | - |  |  | 1,428 |
Repayment (issuance) of policy loans, net |  | (5 | ) |  | - |  |  | (5 | )
Net change in collateral on investments, derivatives and related settlements |  | (1,892 | ) |  | (1 | ) |  | (1,893 | )
Other |  | (101 | ) |  | - |  |  | (101 | )
Net cash provided by (used in) investing activities |  | (6,749 | ) |  | 1 |  |  | (6,748 | )
Cash Flows from Financing Activities |  |  |  |  |  |  |  |  |
Payment of long-term debt, including current maturities |  | (300 | ) |  | - |  |  | (300 | )
Issuance of long-term debt, net of issuance costs |  | 297 |  |  | - |  |  | 297 |
Payment related to sale-leaseback transactions |  | (47 | ) |  | - |  |  | (47 | )
Proceeds from certain financing arrangements |  | 53 |  |  | - |  |  | 53 |
Deposits of fixed account values, including the fixed portion of variable |  | 6,900 |  |  | - |  |  | 6,900 |
Withdrawals of fixed account values, including the fixed portion of variable |  | (3,298 | ) |  | (54 | ) |  | (3,352 | )
Transfers from (to) separate accounts, net |  | 62 |  |  | 54 |  |  | 116 |
Common stock issued for benefit plans |  | (14 | ) |  | - |  |  | (14 | )
Repurchase of common stock |  | (500 | ) |  | - |  |  | (500 | )
Dividends paid to common stockholders |  | (157 | ) |  | - |  |  | (157 | )
Net cash provided by (used in) financing activities |  | 2,996 |  |  | - |  |  | 2,996 |
Net increase (decrease) in cash, invested cash and restricted cash |  | (1,045 | ) |  | - |  |  | (1,045 | )
Cash, invested cash and restricted cash as of beginning-of-year |  | 2,612 |  |  | - |  |  | 2,612 |
Cash, invested cash and restricted cash as of end-of-period | $ | 1,567 |  | $ | - |  | $ | 1,567 |
LINCOLN NATIONAL CORPORATION CONSOLIDATED STATEMENTS OF CASH FLOWS (Unaudited, in millions)
| For the Nine Months Ended |
| September 30, 2022 |
| As |  |  |  |  |  |
| Previously |  | Restatement |  | As |
| Reported |  | Impacts |  | Restated |
Cash Flows from Operating Activities |  |  |  |  |  |  |  |  |
Net income (loss) | $ | (2,233 | ) | $ | (31 | ) | $ | (2,264 | )
Adjustments to reconcile net income (loss) to net cash provided by |  |  |  |  |  |  |  |  |
(used in) operating activities: |  |  |  |  |  |  |  |  |
Realized (gain) loss |  | (771 | ) |  | 19 |  |  | (752 | )
Sales and maturities (purchases) of trading securities, net |  | 163 |  |  | - |  |  | 163 |
Amortization of deferred gain on business sold through reinsurance |  | (56 | ) |  | 25 |  |  | (31 | )
Impairment of intangibles |  | 634 |  |  | - |  |  | 634 |
Change in: |  |  |  |  |  |  |  |  |
Deferred acquisition costs, value of business acquired, deferred sales |  |  |  |  |  |  |  |  |
inducements and deferred front-end loads deferrals and interest, net |  |  |  |  |  |  |  |  |
of amortization |  | 80 |  |  | (6 | ) |  | 74 |
Premiums and fees receivable |  | (3 | ) |  | - |  |  | (3 | )
Accrued investment income |  | (80 | ) |  | - |  |  | (80 | )
Insurance liabilities and reinsurance-related balances |  | 6,166 |  |  | - |  |  | 6,166 |
Accrued expenses |  | (402 | ) |  | - |  |  | (402 | )
Federal income tax accruals |  | (490 | ) |  | (8 | ) |  | (498 | )
Other |  | 386 |  |  | (3 | ) |  | 383 |
Net cash provided by (used in) operating activities |  | 3,394 |  |  | (4 | ) |  | 3,390 |
Cash Flows from Investing Activities |  |  |  |  |  |  |  |  |
Purchases of available-for-sale securities and equity securities |  | (12,008 | ) |  | - |  |  | (12,008 | )
Sales of available-for-sale securities and equity securities |  | 1,196 |  |  | - |  |  | 1,196 |
Maturities of available-for-sale securities |  | 4,333 |  |  | - |  |  | 4,333 |
Purchases of alternative investments |  | (484 | ) |  | - |  |  | (484 | )
Sales and repayments of alternative investments |  | 383 |  |  | - |  |  | 383 |
Issuance of mortgage loans on real estate |  | (1,928 | ) |  | 4 |  |  | (1,924 | )
Repayment and maturities of mortgage loans on real estate |  | 1,872 |  |  | - |  |  | 1,872 |
Repayment (issuance) of policy loans, net |  | 17 |  |  | - |  |  | 17 |
Net change in collateral on investments, derivatives and related settlements |  | (3,155 | ) |  | - |  |  | (3,155 | )
Other |  | (93 | ) |  | - |  |  | (93 | )
Net cash provided by (used in) investing activities |  | (9,867 | ) |  | 4 |  |  | (9,863 | )
Cash Flows from Financing Activities |  |  |  |  |  |  |  |  |
Payment of long-term debt, including current maturities |  | (300 | ) |  | - |  |  | (300 | )
Issuance of long-term debt, net of issuance costs |  | 296 |  |  | - |  |  | 296 |
Payment related to sale-leaseback transactions |  | (52 | ) |  | - |  |  | (52 | )
Proceeds from certain financing arrangements |  | 53 |  |  | - |  |  | 53 |
Deposits of fixed account values, including the fixed portion of variable |  | 11,067 |  |  | (5 | ) |  | 11,062 |
Withdrawals of fixed account values, including the fixed portion of variable |  | (4,943 | ) |  | (54 | ) |  | (4,997 | )
Transfers from (to) separate accounts, net |  | 12 |  |  | 59 |  |  | 71 |
Common stock issued for benefit plans |  | (15 | ) |  | - |  |  | (15 | )
Repurchase of common stock |  | (550 | ) |  | - |  |  | (550 | )
Dividends paid to common stockholders |  | (234 | ) |  | - |  |  | (234 | )
Other |  | (1 | ) |  | - |  |  | (1 | )
Net cash provided by (used in) financing activities |  | 5,333 |  |  | - |  |  | 5,333 |
Net increase (decrease) in cash, invested cash and restricted cash |  | (1,140 | ) |  | - |  |  | (1,140 | )
Cash, invested cash and restricted cash as of beginning-of-year |  | 2,612 |  |  | - |  |  | 2,612 |
Cash, invested cash and restricted cash as of end-of-period | $ | 1,472 |  | $ | - |  | $ | 1,472 |

X
- References No definition available. + Details
Name: | us-gaap_QuarterlyFinancialInformationDisclosureAbstract
Namespace Prefix: | us-gaap_
Data Type: | xbrli:stringItemType
Balance Type: | na
Period Type: | duration

X
- Definition The entire disclosure for quarterly financial data. Includes, but is not limited to, tabular presentation of financial information for fiscal quarters, effect of year-end adjustments, and an explanation of matters or transactions that affect comparability of the information. + References Reference 1: http://fasb.org/us-gaap/role/ref/legacyRef -Publisher FASB -Name Accounting Standards Codification -Topic 270 -URI https://asc.fasb.org/topic&trid=2126967 Reference 2: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 270 -SubTopic 10 -Section 50 -Paragraph 1B -URI https://asc.fasb.org/extlink&oid=126900988&loc=SL124452896-108306 + Details
Name: | us-gaap_QuarterlyFinancialInformationTextBlock
Namespace Prefix: | us-gaap_
Data Type: | dtr-types:textBlockItemType
Balance Type: | na
Period Type: | duration