XML 48 R32.htm IDEA: XBRL DOCUMENT
v3.8.0.1

SCHEDULE II CONDENSED FINANCIAL INFORMATION OF THE REGISTRANT | 12 Months Ended
--- | ---
Dec. 31, 2017
Condensed Financial Information of Parent Company Only Disclosure [Abstract] |
SCHEDULE II CONDENSED FINANCIAL INFORMATION OF THE REGISTRANT | CONDENSED FINANCIAL INFORMATION OF THE REGISTRANT CONDENSED BALANCE SHEETS(1)
|  | December 31,
Millions |  | 2017 |  | 2016
Assets: |  |  |  |  |  |
Cash |  | $ | 14.9 |  |  | $ | 3.1 |
Fixed maturity investments, at fair value |  | 869.6 |  |  | 80.0 |
Common equity securities, at fair value |  | 641.8 |  |  | — |
Other long-term investments (2) |  | (3.7 | ) |  | (1.2 | )
Short-term investments, at amortized cost |  | 57.2 |  |  | 12.5 |
Other assets |  | 30.9 |  |  | 21.8 |
Investments in consolidated subsidiaries (3) |  | 1,914.8 |  |  | 4,877.6 |
Total assets |  | $ | 3,525.5 |  |  | $ | 4,993.8 |
Liabilities: |  |  |  |  |  |
Payable to subsidiary (4) |  | $ | 11.8 |  |  | $ | 1,387.2 |
Other liabilities |  | 21.2 |  |  | 23.9 |
Total liabilities |  | 33.0 |  |  | 1,411.1 |
White Mountains’s common shareholders’ equity (3) |  | 3,492.5 |  |  | 3,582.7 |
Total liabilities and equity |  | $ | 3,525.5 |  |  | $ | 4,993.8 |
(1) These condensed unconsolidated financial statements reflect the results of operations, financial position and cash flows for the Company. Investments in wholly-owned and majority-owned subsidiaries are accounted for using the equity method. Under the equity method, investments in subsidiaries are recorded on the condensed balance sheets at the amount of the Company’s ownership percentage of the subsidiary’s GAAP book value. The income from subsidiaries is reported on a net basis as equity in earnings from consolidated and unconsolidated subsidiaries on the condensed statements of operations and comprehensive income. Capital contributions to and distributions from subsidiaries are presented within investing activities on the condensed statements of cash flows. (2) As of December 31, 2017 and 2016, other investments includes $(3.7) and $(1.2) related to foreign currency forward contracts. See Note 7 — “Derivatives”. (3) As of December 31, 2016, investments in consolidated affiliates and the Company’s common shareholders’ equity were revised to include the impact of the Wobi adjustments of $(20.6). See Note 20 — “Financial Statement Revisions”. (4) During 2016, the Company used cash proceeds received from the issuance of debt to its direct wholly-owned subsidiary, Lone Tree Holdings, Ltd.(“LTH”), primarily to fund repurchases of its common shares. CONDENSED STATEMENTS OF OPERATIONS AND COMPREHENSIVE INCOME(1)
|  | Year Ended December 31,
Millions |  | 2017 |  | 2016 |  | 2015
Revenues (loss) (including realized gains and losses) |  | $ | 27.3 |  |  | $ | (1.0 | ) |  | $ | 5.0 |
Expenses |  | 99.7 |  |  | 68.2 |  |  | 59.9 |
Pre-tax loss |  | (72.4 | ) |  | (69.2 | ) |  | (54.9 | )
Income tax expense |  | (1.4 | ) |  | (.5 | ) |  | — |
Net loss |  | (73.8 | ) |  | (69.7 | ) |  | (54.9 | )
Equity in earnings from consolidated and unconsolidated subsidiaries (2) |  | 701.0 |  |  | 471.5 |  |  | 350.1 |
Net income attributable to White Mountains’s common shareholders |  | 627.2 |  |  | 401.8 |  |  | 295.2 |
Other comprehensive income (loss) items, after-tax |  | 3.3 |  |  | 145.3 |  |  | (100.4 | )
Comprehensive income attributable to White Mountains’s common shareholders |  | $ | 630.5 |  |  | $ | 547.1 |  |  | $ | 194.8 |
Computation of net income available to common shareholders: |  |  |  |  |  |
Net income available to common shareholders |  | $ | 627.2 |  |  | $ | 401.8 |  |  | $ | 295.2 |
(1) These condensed unconsolidated financial statements reflect the results of operations, financial position and cash flows for the Company. Investments in wholly-owned and majority-owned subsidiaries are accounted for using the equity method. Under the equity method, investments in subsidiaries are recorded on the condensed balance sheets at the amount of the Company’s ownership percentage of the subsidiary’s GAAP book value. The income from subsidiaries is reported on a net basis as equity in earnings of subsidiaries on the condensed statements of operations and comprehensive income. Capital contributions to and distributions from subsidiaries are presented within investing activities on the condensed statements of cash flows. (2) During 2016 and 2015, equity in earnings from consolidated and unconsolidated affiliates was revised to include the impact of the Wobi adjustments of $(10.7) and $(2.4). See Note 20 — “Financial Statement Revisions”. Schedules of the Registrant should be read in conjunction with the Consolidated Financial Statements and Notes. SCHEDULE II (continued) CONDENSED STATEMENTS OF CASH FLOWS (1)(2)
|  | Year Ended December 31,
Millions |  | 2017 |  | 2016 |  | 2015
Net income attributable to White Mountains’s common shareholders (3) |  | $ | 627.2 |  |  | $ | 401.8 |  |  | $ | 295.2 |
Charges (credits) to reconcile net income to net cash from operations: |  |  |  |  |  |
Net realized and unrealized investment (gains) losses on sales of investments |  | (18.5 | ) |  | 1.1 |  |  | — |
Undistributed earnings from subsidiaries (3) |  | (701.0 | ) |  | (471.5 | ) |  | (350.1 | )
Other non-cash reconciling items, primarily amortization of restricted share and option awards (4) |  | 31.1 |  |  | 17.9 |  |  | (.4 | )
Accumulated earnings distributed from subsidiary in cash (5) |  | 1,256.7 |  |  | — |  |  | — |
Net change in other assets and liabilities (6) |  | (4.9 | ) |  | (5.6 | ) |  | 28.1 |
Net cash provided from (used for) operations |  | 1,190.6 |  |  | (56.3 | ) |  | (27.2 | )
Cash flows from investing activities: |  |  |  |  |  |
Net change in short-term investments |  | (24.7 | ) |  | 10.9 |  |  | 7.6 |
Purchases of investment securities |  | (474.7 | ) |  | — |  |  | — |
Sales and maturities of investment securities |  | 367.1 |  |  | — |  |  | — |
Issuance of debt from subsidiaries (7) |  | 382.0 |  |  | 992.0 |  |  | 271.0 |
Repayment of debt to subsidiaries |  | — |  |  | (5.0 | ) |  | (35.0 | )
Contributions to subsidiaries (8) |  | (700.0 | ) |  | — |  |  | — |
Distributions from subsidiaries (9) |  | — |  |  | — |  |  | 15.0 |
Net cash provided from investing activities |  | (450.3 | ) |  | 997.9 |  |  | 258.6 |
Cash flows from financing activities: |  |  |  |  |  |
Draw down of revolving line of credit (10) |  | 350.0 |  |  | 350.0 |  |  | 125.0 |
Repayment of revolving line of credit (10) |  | (350.0 | ) |  | (400.0 | ) |  | (75.0 | )
Proceeds from issuances of common shares |  | — |  |  | 3.7 |  |  | — |
Repurchases and retirement of common shares (7) |  | (714.6 | ) |  | (881.3 | ) |  | (268.6 | )
Dividends paid on common shares |  | (4.6 | ) |  | (5.4 | ) |  | (6.0 | )
Payments of restricted shares withholding taxes |  | (9.3 | ) |  | (5.8 | ) |  | (6.7 | )
Net cash used for financing activities |  | (728.5 | ) |  | (938.8 | ) |  | (231.3 | )
Net increase in cash during the year |  | 11.8 |  |  | 2.8 |  |  | .1 |
Cash balance at beginning of year |  | 3.1 |  |  | .3 |  |  | .2 |
Cash balance at end of year |  | $ | 14.9 |  |  | $ | 3.1 |  |  | $ | .3 |
Supplemental cash flow information: |  |  |  |  |  |
Interest paid |  | $ | (.6 | ) |  | $ | (1.2 | ) |  | $ | — |
(1) These condensed unconsolidated financial statements reflect the results of operations, financial position and cash flows for the Company. Investments in wholly-owned and majority-owned subsidiaries are accounted for using the equity method. Under the equity method, investments in subsidiaries are recorded on the condensed balance sheets at the amount of the Company’s ownership percentage of the subsidiary’s GAAP book value. The income from subsidiaries is reported on a net basis as equity in earnings of subsidiaries on the condensed statements of operations and comprehensive income. Capital contributions to and distributions from subsidiaries are presented within investing activities on the condensed statements of cash flows. (2) During 2017, LTH, a direct wholly-owned subsidiary of the Company, merged into the Company. The merger was treated as a liquidation for financial statement purposes. As part of the liquidation, significant non-cash balances that were transferred from LTH to the Company included ending net equity of $2,810.4, intercompany balances of $1,863.1, investments in its subsidiaries of $964.4, short-term investments of $13.0 and other liabilities of $14.1. (3) During 2016 and 2015, net income attributable to White Mountains’s common shareholders and undistributed earnings from subsidiaries was revised to include the impact of the Wobi adjustments of $(10.7) and $(2.4). See Note 20 — “Financial Statement Revisions”. (4) For the years ended December 31, 2017, 2016, and 2015, amortization of restricted share and option awards was $14.8, $18.5 and $14.9. (5) During 2017, as part of its liquidation into the Company, LTH transferred $1,256.7 of cash, which included $1,037.6 of the proceeds from the sale of OneBeacon, to the Company. (6) For 2017, 2016 and 2015, net change in other assets and liabilities also included a $11.6, $0.2, and $2.4 net change in payables to the Company’s subsidiaries.
(7) | During 2017, the Company had non-cash issuance of debt from LTH of $94.2. During 2017, 2016 and 2015, the Company used cash proceeds received from the issuance of debt from LTH, primarily to fund repurchases of its common shares.
(8) During 2017, the Company contributed $700.0 to its direct wholly-owned subsidiary, Guilford Holdings, Inc.
(9) | During 2017, the Company received non-cash distributions of $1,238.9 from LTH, prior to its liquidation. The distribution was completed through the transfer of fixed maturity investments and common equity securities. During 2016, the Company received a non-cash distribution of $80.0 from LTH. The distribution was completed through the transfer of fixed maturity investments. During 2015, the Company received cash distributions of $15.0 from LTH.
(10) | The WTM Bank Facility presented in Note 5 — “Debt” is a direct obligation of the Registrant.
Schedules of the Registrant should be read in conjunction with the Consolidated Financial Statements and Notes.

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

X
- Definition The entire disclosure for condensed financial information, including the financial position, cash flows, and the results of operations of the registrant (parent company) as of the same dates or for the same periods for which audited consolidated financial statements are being presented. Alternatively, the details of this disclosure can be reported by the specific parent company taxonomy elements, indicating the appropriate date and period contexts in an instance document. + References Reference 1: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 944 -SubTopic 10 -Section S99 -Paragraph 3 -Subparagraph (SX 210.7-05(c)(Schedule II)) -URI http://asc.fasb.org/extlink&oid=6879921&loc=d3e569147-122900 Reference 2: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 810 -SubTopic 10 -Section 45 -Paragraph 11 -URI http://asc.fasb.org/extlink&oid=96868048&loc=d3e5283-111683 Reference 3: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 942 -SubTopic 235 -Section S99 -Paragraph 2 -Subparagraph (SX 210.9-06) -URI http://asc.fasb.org/extlink&oid=6882215&loc=d3e537971-122884 Reference 4: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 205 -SubTopic 10 -Section S99 -Paragraph 6 -Subparagraph (SX 210.5-04(c)(Schedule I)) -URI http://asc.fasb.org/extlink&oid=27047687&loc=d3e5864-122674 Reference 5: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 235 -SubTopic 10 -Section S99 -Paragraph 3 -Subparagraph (SX 210.12-04) -URI http://asc.fasb.org/extlink&oid=26873400&loc=d3e24072-122690 + Details
Name: | us-gaap_CondensedFinancialInformationOfParentCompanyOnlyDisclosureTextBlock
Namespace Prefix: | us-gaap_
Data Type: | nonnum:textBlockItemType
Balance Type: | na
Period Type: | duration