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SCHEDULE II CONDENSED FINANCIAL INFORMATION OF THE REGISTRANT | 12 Months Ended
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Dec. 31, 2019
Condensed Financial Information Disclosure [Abstract] |
SCHEDULE II CONDENSED FINANCIAL INFORMATION OF THE REGISTRANT | CONDENSED FINANCIAL INFORMATION OF THE REGISTRANT CONDENSED BALANCE SHEETS (1)
|  | December 31,
Millions |  | 2019 |  | 2018
Assets: |  |  |  |  |  |
Cash |  | $ | .7 |  |  | $ | .7 |
Fixed maturity investments, at fair value |  | 10.0 |  |  | — |
Common equity securities, at fair value |  | 193.5 |  |  | 335.6 |
Short-term investments, at amortized cost |  | 66.2 |  |  | 28.0 |
Other assets |  | 1.9 |  |  | 1.8 |
Investments in consolidated subsidiaries |  | 2,969.0 |  |  | 2,533.2 |
Total assets |  | $ | 3,241.3 |  |  | $ | 2,899.3 |
Liabilities: |  |  |  |
Payable to subsidiary |  | $ | (69.3 | ) |  | $ | 15.8 |
Other liabilities |  | 34.7 |  |  | 25.9 |
Total liabilities (2) |  | (34.6 | ) |  | 41.7 |
White Mountains’s common shareholders’ equity |  | 3,261.5 |  |  | 2,843.1 |
Non-controlling interests |  | 14.4 |  |  | 14.5 |
Total liabilities and equity |  | $ | 3,241.3 |  |  | $ | 2,899.3 |
(1) These condensed unconsolidated financial statements reflect the results of operations, financial condition and cash flows for the Company. Investments in in which White Mountains holds a controlling financial interest 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 of tax 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, 2019 and 2018, White Mountains other liabilities includes $16.5 and $17.3 related to the Sirius tax contingency. See Note 19 — “Commitments and Contingencies”. Schedules of the Registrant should be read in conjunction with the Consolidated Financial Statements and Notes. SCHEDULE II (continued) CONDENSED STATEMENTS OF OPERATIONS AND COMPREHENSIVE INCOME (1)
|  | Year Ended December 31,
Millions |  | 2019 |  | 2018 |  | 2017 |
Revenues (loss) (including realized and unrealized gains and losses) |  | $ | 65.0 |  |  | $ | (47.7 | ) |  | $ | 27.3 |  |
Expenses |  | 47.1 |  |  | 45.9 |  |  | 99.7 |  |
Pre-tax income (loss) |  | 17.9 |  |  | (93.6 | ) |  | (72.4 | ) |
Income tax expense |  | (.9 | ) |  | (2.5 | ) |  | (1.4 | ) |
Net income (loss) |  | 17.0 |  |  | (96.1 | ) |  | (73.8 | ) |
Net gain (loss) from discontinued operations, net of tax (2) |  | .8 |  |  | (17.2 | ) |  | — |  |
Equity in earnings from consolidated and unconsolidated subsidiaries, net of tax |  | 398.5 |  |  | (27.4 | ) |  | 701.0 |  | (3)
Net income attributable to non-controlling interests |  | (1.8 | ) |  | (.5 | ) |  | — |  |
Net income (loss) attributable to White Mountains’s common shareholders |  | 414.5 |  |  | (141.2 | ) |  | 627.2 |  |
Other comprehensive (loss) income items, net of tax |  | (1.4 | ) |  | (4.5 | ) |  | 3.3 |  |
Comprehensive income (loss) attributable to White Mountains’s common shareholders |  | $ | 413.1 |  |  | $ | (145.7 | ) |  | $ | 630.5 |  |
(1) These condensed unconsolidated financial statements reflect the results of operations, financial condition and cash flows for the Company. Investments in which White Mountains holds a controlling financial interest 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 of tax 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 2019 and 2018, net gain (loss) from discontinued operations includes $0.8 and $(17.3) arising from the tax contingency on the sale of Sirius Group. See Note 19 — “Commitments and Contingencies”. (3) Equity in earnings from consolidated subsidiaries for the year ended December 31, 2017 includes $577.5 of income from discontinued operations associated primarily with the dispositions of OneBeacon, Sirius Group and Tranzact. See Note 20 — “Held for Sale and Discontinued Operations”. 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 |  | 2019 |  | 2018 |  | 2017
Net income (loss) attributable to White Mountains’s common shareholders |  | $ | 414.5 |  |  | $ | (141.2 | ) |  | $ | 627.2 |
Charges (credits) to reconcile net income to net cash from operations: |  |  |  |  |  |
Net realized and unrealized investment (gains) losses on sales of investments |  | (61.0 | ) |  | 57.8 |  |  | (18.5 | )
Undistributed earnings from subsidiaries |  | (398.5 | ) |  | 27.4 |  |  | (701.0 | )
Net (gain) loss from sale of discontinued operations, net of tax (3) |  | (.8 | ) |  | 17.2 |  |  | — |
Other non-cash reconciling items, primarily amortization of restricted share and option awards (4) |  | 20.0 |  |  | 34.6 |  |  | 31.1 |
Accumulated earnings distributed from subsidiary in cash (5) |  | — |  |  | — |  |  | 1,256.7 |
Net change in other assets and liabilities (6) |  | 3.0 |  |  | 16.7 |  |  | (4.9 | )
Net cash (used for) provided from operations |  | (22.8 | ) |  | 12.5 |  |  | 1,190.6 |
Cash flows from investing activities: |  |  |  |  |  |
Net change in short-term investments(7) |  | (37.6 | ) |  | 134.0 |  |  | (24.7 | )
Purchases of investment securities (8) |  | (14.8 | ) |  | (321.2 | ) |  | (474.7 | )
Sales and maturities of investment securities(9) |  | 207.9 |  |  | 967.6 |  |  | 367.1 |
Issuance of debt (to) from subsidiaries (10) |  | (83.5 | ) |  | (55.2 | ) |  | 382.0 |
Repayment of debt to (from) subsidiaries(11) |  | 5.0 |  |  | 31.0 |  |  | — |
Net (contributions to) distributions from subsidiaries (12)(13) |  | (46.1 | ) |  | (258.2 | ) |  | (700.0 | )
Net cash provided from (used for) investing activities |  | 30.9 |  |  | 498.0 |  |  | (450.3 | )
Cash flows from financing activities: |  |  |  |  |  |
Draw down of revolving line of credit (14) |  | — |  |  | — |  |  | 350.0 |
Repayment of revolving line of credit (14) |  | — |  |  | — |  |  | (350.0 | )
Repurchases and retirement of common shares (10) |  | — |  |  | (510.9 | ) |  | (714.6 | )
Dividends paid on common shares |  | (3.2 | ) |  | (3.8 | ) |  | (4.6 | )
Payments of restricted shares withholding taxes |  | (4.9 | ) |  | (10.0 | ) |  | (9.3 | )
Net cash used for financing activities |  | (8.1 | ) |  | (524.7 | ) |  | (728.5 | )
Net (decrease) increase in cash during the year |  | — |  |  | (14.2 | ) |  | 11.8 |
Cash balance at beginning of year |  | .7 |  |  | 14.9 |  |  | 3.1 |
Cash balance at end of year |  | $ | .7 |  |  | $ | .7 |  |  | $ | 14.9 |
Supplemental cash flow information: interest paid (14) |  | $ | — |  |  | $ | — |  |  | $ | (.6 | )
(1) | These condensed unconsolidated financial statements reflect the results of operations, financial condition and cash flows for the Company. Investments in which White Mountains holds a controlling financial interest 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 of tax 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, Lone Tree Holdings, Ltd. (“LTH”), a 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 2019 and 2018, net gain (loss) from sale of discontinued operations includes $0.8 and $(17.3) arising from the tax contingency on the sale of Sirius Group. See Note 19 — “Commitments and Contingencies”.
(4) | For the years ended December 31, 2019, 2018 and 2017, amortization of restricted share awards was $10.5, $13.0 and $14.8.
(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 2019, 2018 and 2017, net change in other assets and liabilities also included a $(6.6), $4.0, and $11.6 net change in (receivables) payables to the Company’s subsidiaries.
(7) | During 2018, the Company had non-cash (purchases) and sales of short-term investments of ($284.6) and $179.2.
(8) | During 2018, the Company had non-cash purchases of investment securities of $603.9, which included $170.5 of fixed maturity securities, $148.8 of common equity securities and $22.7 of other long term investments.
(9) | During 2018, the Company had non-cash sales of investment securities of $1,065.4, which included $373.4 of fixed maturity securities, $490.1 of common equity securities and $22.7 of other long-term investments.
(10) | During 2018, the Company had non-cash issuance of debt of $349.5 to its wholly-owned subsidiary, Guilford Holding, Inc. (“Guilford”). Proceeds of the debt, which included $170.4 of fixed maturity securities and $179.2 of short-term investments, were transferred to Guilford. During 2017, the Company had non-cash issuance of debt from LTH of $94.2. During 2017, the Company used cash proceeds received from the issuance of debt from LTH, primarily to fund repurchases of its common shares.
(11) | During 2018, the Company received non-cash repayments of $22.7 from its wholly-owned subsidiary, Bridge Holdings (“Bridge”) in the form of other long term investments.
(12) | During 2019, the Company made cash contributions of $70.5 and $2.0 to Bridge and its wholly-owned subsidiary, White Mountains Investment Bermuda, Ltd (“WMIB”). During 2018, the Company made non-cash contributions of $350.0 by transferring intercompany debt receivable from Guilford to Bridge. Also during 2018, the Company made a non-cash contribution of $1.0 by transferring intercompany debt receivable from White Mountains Investment, Ltd. (Luxembourg) (“White Mountains Investments”), a wholly-owned subsidiary of Bridge, to Bridge. During 2018, the Company made cash contributions of $255.3 and $2.9 to Bridge and White Mountains Investments. During 2017, the Company made cash contributions of $700.0 to Guilford.
(13) | During 2019, the Company received cash distributions of $24.4 and $1.9 from WMIB and the Company’s subsidiary, HG Global Ltd. 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.
(14) | The WTM Bank Facility was a direct obligation of the Registrant as of December 31, 2017 and was terminated on May 8, 2018. See Note 5 — “Debt”.
Schedules of the Registrant should be read in conjunction with the Consolidated Financial Statements and Notes.

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- 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/disclosureRef -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 Reference 2: http://www.xbrl.org/2003/role/recommendedDisclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 810 -SubTopic 10 -Section 45 -Paragraph 11 -URI http://asc.fasb.org/extlink&oid=108774443&loc=d3e5283-111683 + Details
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