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Business Segments (Tables) | 6 Months Ended
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Jun. 30, 2017
Text Block [Abstract] |
Summary of company's segment results |
|  |  |  | Three Months Ended June 30, 2017
|  |  |  | U.S. |  |  |  | International |  |  |  |  |  |
|  |  |  | Public |  |  |  | and Structured |  |  |  |  |  |
|  |  |  | Finance |  |  |  | Finance |  |  |  |  |  |
In millions |  | Insurance |  | Corporate |  | Insurance |  | Eliminations |  | Consolidated
Revenues(1) |  | $ | 62 |  | $ | 8 |  | $ | 17 |  | $ | - |  | $ | 87
Net change in fair value of insured derivatives |  |  | - |  |  | - |  |  | 3 |  |  | - |  |  | 3
Net gains (losses) on financial instruments at fair value and |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
| foreign exchange |  |  | 14 |  |  | (55) |  |  | (20) |  |  | - |  |  | (61)
Net investment losses related to other-than-temporary impairments |  |  | (11) |  |  | - |  |  | - |  |  | - |  |  | (11)
Other net realized gains (losses) |  |  | - |  |  | (1) |  |  | 35 |  |  | - |  |  | 34
Revenues of consolidated VIEs |  |  | - |  |  | - |  |  | 20 |  |  | - |  |  | 20
Inter-segment revenues(2) |  |  | 5 |  |  | 15 |  |  | 11 |  |  | (31) |  |  | -
|  | Total revenues |  |  | 70 |  |  | (33) |  |  | 66 |  |  | (31) |  |  | 72
Losses and loss adjustment |  |  | 158 |  |  | - |  |  | 12 |  |  | - |  |  | 170
Operating |  |  | 16 |  |  | 14 |  |  | 10 |  |  | - |  |  | 40
Interest |  |  | - |  |  | 22 |  |  | 28 |  |  | - |  |  | 50
Expenses of consolidated VIEs |  |  | - |  |  | - |  |  | 22 |  |  | - |  |  | 22
Inter-segment expenses(2) |  |  | 16 |  |  | 1 |  |  | 14 |  |  | (31) |  |  | -
|  | Total expenses |  |  | 190 |  |  | 37 |  |  | 86 |  |  | (31) |  |  | 282
Income (loss) before income taxes |  |  | (120) |  |  | (70) |  |  | (20) |  |  | - |  |  | (210)
Provision (benefit) for income taxes |  |  | (43) |  |  | 1,074 |  |  | 1,199 |  |  | (1,211) |  |  | 1,019
Net income (loss) |  | $ | (77) |  | $ | (1,144) |  | $ | (1,219) |  | $ | 1,211 |  | $ | (1,229)
Identifiable assets |  | $ | 5,074 |  | $ | 1,233 |  | $ | 5,313 |  | $ | (1,853) | (3) | $ | 9,767
________________ |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
(1) - Represents the sum of third-party financial guarantee net premiums earned, net investment income, insurance-related fees and reimbursements and other fees.
(2) - Represents intercompany premium income and expense and intercompany interest income and expense pertaining to intercompany receivables and payables.
(3) - Consists of intercompany reinsurance balances and repurchase agreements.
|  |  |  | Three Months Ended June 30, 2016
|  |  |  | U.S. |  |  |  | International |  |  |  |  |  |
|  |  |  | Public |  |  |  | and Structured |  |  |  |  |  |
|  |  |  | Finance |  |  |  | Finance |  |  |  |  |  |
In millions |  | Insurance |  | Corporate |  | Insurance |  | Eliminations |  | Consolidated
Revenues(1) |  | $ | 82 |  | $ | 6 |  | $ | 23 |  | $ | - |  | $ | 111
Net change in fair value of insured derivatives |  |  | - |  |  | - |  |  | (8) |  |  | - |  |  | (8)
Net gains (losses) on financial instruments at fair value and |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
| foreign exchange |  |  | 25 |  |  | (19) |  |  | 8 |  |  | - |  |  | 14
Net gains (losses) on extinguishment of debt |  |  | - |  |  | 3 |  |  | - |  |  | - |  |  | 3
Other net realized gains (losses) |  |  | - |  |  | (1) |  |  | 1 |  |  | - |  |  | -
Revenues of consolidated VIEs |  |  | - |  |  | - |  |  | (2) |  |  | - |  |  | (2)
Inter-segment revenues(2) |  |  | 4 |  |  | 12 |  |  | 11 |  |  | (27) |  |  | -
|  | Total revenues |  |  | 111 |  |  | 1 |  |  | 33 |  |  | (27) |  |  | 118
Losses and loss adjustment |  |  | 9 |  |  | - |  |  | 68 |  |  | - |  |  | 77
Operating |  |  | 11 |  |  | 14 |  |  | 15 |  |  | - |  |  | 40
Interest |  |  | - |  |  | 24 |  |  | 25 |  |  | - |  |  | 49
Expenses of consolidated VIEs |  |  | - |  |  | - |  |  | 7 |  |  | - |  |  | 7
Inter-segment expenses(2) |  |  | 16 |  |  | 1 |  |  | 11 |  |  | (28) |  |  | -
|  | Total expenses |  |  | 36 |  |  | 39 |  |  | 126 |  |  | (28) |  |  | 173
Income (loss) before income taxes |  |  | 75 |  |  | (38) |  |  | (93) |  |  | 1 |  |  | (55)
Provision (benefit) for income taxes |  |  | 25 |  |  | (18) |  |  | (32) |  |  | (3) |  |  | (28)
Net income (loss) |  | $ | 50 |  | $ | (20) |  | $ | (61) |  | $ | 4 |  | $ | (27)
Identifiable assets |  | $ | 5,477 |  | $ | 2,412 |  | $ | 7,017 |  | $ | (2,842) | (3) | $ | 12,064
________________ |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
(1) - Represents the sum of third-party financial guarantee net premiums earned, net investment income, insurance-related fees and reimbursements and other fees.
(2) - Represents intercompany premium income and expense and intercompany interest income and expense pertaining to intercompany receivables and payables.
(3) - Consists of intercompany deferred income taxes, reinsurance balances and repurchase agreements.
|  |  |  | Six Months Ended June 30, 2017
|  |  |  | U.S. |  |  |  | International |  |  |  |  |  |
|  |  |  | Public |  |  |  | and Structured |  |  |  |  |  |
|  |  |  | Finance |  |  |  | Finance |  |  |  |  |  |
In millions |  | Insurance |  | Corporate |  | Insurance |  | Eliminations |  | Consolidated
Revenues(1) |  | $ | 130 |  | $ | 16 |  | $ | 44 |  | $ | - |  | $ | 190
Net change in fair value of insured derivatives |  |  | - |  |  | - |  |  | (50) |  |  | - |  |  | (50)
Net gains (losses) on financial instruments at fair value and |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
| foreign exchange |  |  | 18 |  |  | (39) |  |  | (23) |  |  | - |  |  | (44)
Net investment losses related to other-than-temporary impairments |  |  | (13) |  |  | - |  |  | - |  |  | - |  |  | (13)
Net gains (losses) on extinguishment of debt |  |  | - |  |  | 8 |  |  | - |  |  | - |  |  | 8
Other net realized gains (losses) |  |  | - |  |  | (2) |  |  | 39 |  |  | - |  |  | 37
Revenues of consolidated VIEs |  |  | - |  |  | - |  |  | 21 |  |  | - |  |  | 21
Inter-segment revenues(2) |  |  | 10 |  |  | 31 |  |  | 20 |  |  | (61) |  |  | -
|  | Total revenues |  |  | 145 |  |  | 14 |  |  | 51 |  |  | (61) |  |  | 149
Losses and loss adjustment |  |  | 169 |  |  | - |  |  | 95 |  |  | - |  |  | 264
Operating |  |  | 26 |  |  | 32 |  |  | 18 |  |  | - |  |  | 76
Interest |  |  | - |  |  | 44 |  |  | 54 |  |  | - |  |  | 98
Expenses of consolidated VIEs |  |  | - |  |  | - |  |  | 41 |  |  | - |  |  | 41
Inter-segment expenses(2) |  |  | 31 |  |  | 2 |  |  | 28 |  |  | (61) |  |  | -
|  | Total expenses |  |  | 226 |  |  | 78 |  |  | 236 |  |  | (61) |  |  | 479
Income (loss) before income taxes |  |  | (81) |  |  | (64) |  |  | (185) |  |  | - |  |  | (330)
Provision (benefit) for income taxes |  |  | (31) |  |  | 1,070 |  |  | 1,142 |  |  | (1,210) |  |  | 971
Net income (loss) |  | $ | (50) |  | $ | (1,134) |  | $ | (1,327) |  | $ | 1,210 |  | $ | (1,301)
Identifiable assets |  | $ | 5,074 |  | $ | 1,233 |  | $ | 5,313 |  | $ | (1,853) | (3) | $ | 9,767
________________ |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
(1) - Represents the sum of third-party financial guarantee net premiums earned, net investment income, insurance-related fees and reimbursements and other fees.
(2) - Represents intercompany premium income and expense and intercompany interest income and expense pertaining to intercompany receivables and payables.
(3) - Consists of intercompany reinsurance balances and repurchase agreements.
|  |  |  | Six Months Ended June 30, 2016
|  |  |  | U.S. |  |  |  | International |  |  |  |  |  |
|  |  |  | Public |  |  |  | and Structured |  |  |  |  |  |
|  |  |  | Finance |  |  |  | Finance |  |  |  |  |  |
In millions |  | Insurance |  | Corporate |  | Insurance |  | Eliminations |  | Consolidated
Revenues(1) |  | $ | 166 |  | $ | 11 |  | $ | 49 |  | $ | - |  | $ | 226
Net change in fair value of insured derivatives |  |  | - |  |  | - |  |  | (36) |  |  | - |  |  | (36)
Net gains (losses) on financial instruments at fair value and |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
| foreign exchange |  |  | 34 |  |  | (103) |  |  | 14 |  |  | - |  |  | (55)
Net investment losses related to other-than-temporary impairments |  |  | - |  |  | (1) |  |  | - |  |  | - |  |  | (1)
Net gains (losses) on extinguishment of debt |  |  | - |  |  | 5 |  |  | - |  |  | - |  |  | 5
Other net realized gains (losses) |  |  | - |  |  | (2) |  |  | 1 |  |  | - |  |  | (1)
Revenues of consolidated VIEs |  |  | - |  |  | - |  |  | 12 |  |  | - |  |  | 12
Inter-segment revenues(2) |  |  | 10 |  |  | 28 |  |  | 23 |  |  | (61) |  |  | -
|  | Total revenues |  |  | 210 |  |  | (62) |  |  | 63 |  |  | (61) |  |  | 150
Losses and loss adjustment |  |  | 18 |  |  | - |  |  | 81 |  |  | - |  |  | 99
Operating |  |  | 20 |  |  | 36 |  |  | 29 |  |  | - |  |  | 85
Interest |  |  | - |  |  | 47 |  |  | 52 |  |  | - |  |  | 99
Expenses of consolidated VIEs |  |  | - |  |  | - |  |  | 23 |  |  | - |  |  | 23
Inter-segment expenses(2) |  |  | 34 |  |  | 1 |  |  | 25 |  |  | (60) |  |  | -
|  | Total expenses |  |  | 72 |  |  | 84 |  |  | 210 |  |  | (60) |  |  | 306
Income (loss) before income taxes |  |  | 138 |  |  | (146) |  |  | (147) |  |  | (1) |  |  | (156)
Provision (benefit) for income taxes |  |  | 47 |  |  | (42) |  |  | (55) |  |  | (1) |  |  | (51)
Net income (loss) |  | $ | 91 |  | $ | (104) |  | $ | (92) |  | $ | - |  | $ | (105)
Identifiable assets |  | $ | 5,477 |  | $ | 2,412 |  | $ | 7,017 |  | $ | (2,842) | (3) | $ | 12,064
________________ |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
(1) - Represents the sum of third-party financial guarantee net premiums earned, net investment income, insurance-related fees and reimbursements and other fees.
(2) - Represents intercompany premium income and expense and intercompany interest income and expense pertaining to intercompany receivables and payables.
(3) - Consists of intercompany deferred income taxes, reinsurance balances and repurchase agreements.
Summary Of premiums earned on financial guarantees and insured derivatives by geographic location of risk |
|  |  |  | Three Months Ended June 30, |  | Six Months Ended June 30, |
| In millions |  |  | 2017 |  |  | 2016 |  |  | 2017 |  |  | 2016 |
| Total premiums earned: |  |  |  |  |  |  |  |  |  |  |  |  |
|  | United States |  | $ | 35 |  | $ | 58 |  | $ | 76 |  | $ | 117 |
|  | United Kingdom |  |  | 1 |  |  | 7 |  |  | 1 |  |  | 14 |
|  | Europe (excluding United Kingdom) |  |  | - |  |  | 2 |  |  | 1 |  |  | 3 |
|  | Internationally diversified |  |  | 1 |  |  | - |  |  | 1 |  |  | - |
|  | Other Americas |  |  | 5 |  |  | 7 |  |  | 12 |  |  | 14 |
|  | Asia |  |  | - |  |  | - |  |  | - |  |  | 1 |
|  | Other |  |  | 1 |  |  | 1 |  |  | 2 |  |  | 2 |
| Total |  | $ | 43 |  | $ | 75 |  | $ | 93 |  | $ | 151 |

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