v3.26.1
BUSINESS SEGMENT INFORMATION (Tables)
 6 Months Ended
Jun. 30, 2026
Segment Reporting [Abstract]  
Segment Reporting
The table below presents operating earnings (loss) by segment and Corporate and Other (C&O):
Three Months Ended June 30, 2026
Retirement
Asset Management
Wealth Management
Corporate & Other
EliminationsTotal
(in millions)
Segment revenues$1,748 $1,134 $544 $548 $(247)$3,727 
Benefits and other deductions
Policyholders’ benefits79 — — 356 — 435 
Interest credited to policyholders’ account balances774 — — 54 — 828 
Commissions and distribution related payments176 194 353 74 (235)562 
Amortization of deferred policy acquisition costs164 — — 50 — 214 
Compensation and benefits20 463 85 47 — 615 
Interest expense and financing fees— 7 — 58 (4)61 
Significant segment expenses1,213 664 438 639 (239)2,715 
Other segment items (1)83 186 27 61 (8)349 
Income taxes(50)(36)(16)18 — (84)
Less: Operating (earnings) loss attributable to the noncontrolling interest— 90 — 1 — 91 
Operating earnings (loss)$402 $158 $63 $(135)$— $488 
_____________
(1)Other segment items include Remeasurement for liability for future policy benefits and Other operating expenses and costs. Additionally, other segment items reflected in the Asset Management segment is primarily driven by other operating expense and costs related to general and administrative costs and promotion and servicing expenses.
Three Months Ended June 30, 2025
Retirement
Asset ManagementWealth ManagementCorporate & OtherEliminationsTotal
(in millions)
Segment revenues$1,491 $1,094 $469 $977 $(230)$3,801 
Benefits and other deductions
Policyholders’ benefits76 — — 711 — 787 
Interest credited to policyholders’ account balances632 — — 173 — 805 
Commissions and distribution related payments145 197 296 72 (222)488 
Amortization of deferred policy acquisition costs143 — — 50 — 193 
Compensation and benefits15 429 82 43 — 569 
Interest expense and financing fees— 9 — 69 (6)72 
Significant segment expenses1,011 635 378 1,118 (228)2,914 
Other segment items (1)56 196 23 85 (2)358 
Income taxes(70)(48)(18)44 — (92)
Less: Operating (earnings) loss attributable to the noncontrolling interest— 84 — 1 — 85 
Operating earnings (loss)$354 $131 $50 $(183)$— $352 
_____________
(1)Other segment items include Remeasurement for liability for future policy benefits and Other operating expenses and costs. Additionally, other segment items reflected in the Asset Management segment is primarily driven by other operating expense and costs related to general and administrative costs and promotion and servicing expenses.
Six Months Ended June 30, 2026
Retirement
Asset Management
Wealth Management
Corporate & Other
Eliminations
Total
(in millions)
Segment revenues$3,427 $2,248 $1,085 $1,073 $(493)$7,340 
Benefits and other deductions
Policyholders’ benefits149 — — 671 — 820 
Interest credited to policyholders’ account balances1,511 — — 105 — 1,616 
Commissions and distribution related payments347 391 701 152 (473)1,118 
Amortization of deferred policy acquisition costs324 — — 99 — 423 
Compensation and benefits38 888 178 79 — 1,183 
Interest expense and financing fees— 14 — 124 (9)129 
Significant segment expenses2,369 1,293 879 1,230 (482)5,289 
Other segment items (1)156 393 55 127 (11)720 
Income taxes(104)(85)(33)33 — (189)
Less: Operating (earnings) loss attributable to the noncontrolling interest— 179 — 3 — 182 
Operating earnings (loss)$798 $298 $118 $(254)$— $960 
_____________
(1)Other segment items include Remeasurement for liability for future policy benefits and Other operating expenses and costs. Additionally, other segment items reflected in the Asset Management segment is primarily driven by other operating expense and costs related to general and administrative costs and promotion and servicing expenses.
Six Months Ended June 30, 2025
Retirement
Asset ManagementWealth ManagementCorporate & OtherEliminationsTotal
(in millions)
Segment revenues$2,946 $2,182 $931 $1,986 $(460)$7,585 
Benefits and other deductions
Policyholders’ benefits168 — — 1,378 — 1,546 
Interest credited to policyholders’ account balances1,162 — — 306 — 1,468 
Commissions and distribution related payments287 398 589 155 (440)989 
Amortization of deferred policy acquisition costs282 — — 99 — 381 
Compensation and benefits46 851 164 100 — 1,161 
Interest expense and financing fees— 16 — 124 (10)130 
Significant segment expenses1,945 1,265 753 2,162 (450)5,675 
Other segment items (1)128 381 50 200 (10)749 
Income taxes(139)(89)(33)67 — (194)
Less: Operating (earnings) loss attributable to the noncontrolling interest— 190 — 4 — 194 
Operating earnings (loss)$734 $257 $95 $(313)$— $773 
_____________
(1)Other segment items include Remeasurement for liability for future policy benefits and Other operating expenses and costs. Additionally, other segment items reflected in the Asset Management segment is primarily driven by other operating expense and costs related to general and administrative costs and promotion and servicing expenses.
The table below presents a reconciliation to net income (loss) attributable to Holdings:
Three Months Ended June 30,Six Months Ended June 30,
2026202520262025
(in millions)
Net income (loss) attributable to Holdings$(453)$(349)$168 $(286)
Adjustments related to:
Variable annuity product (1)
1,522 934 1,136 1,145 
Investment (gains) losses
65 71 94 85 
Net actuarial (gains) losses related to pension and other postretirement benefit obligations14 11 28 22 
Other adjustments (2)(430)(137)(282)68 
Income tax expense (benefit) related to above adjustments (246)(185)(205)(277)
Non-recurring tax items
16 7 21 16 
Operating earnings (loss)$488 $352 $960 $773 
_____________
(1)As a result of the novation of certain Legacy VA policies completed during the first quarter of 2025, the Company recorded a loss of $499 million in pre-tax net income and an increase of $263 million in pre-tax AOCI, for a total impact loss of $236 million for the six months ended June 30, 2025.
(2)Includes a loss of $176 million and $322 million on Non-VA derivatives for the three and six months ended June 30, 2026 and includes a gain of $198 million and $33 million for the three and six months ended June 30, 2025, respectively. Also includes $14 million of expense related to a disputed billing practice of an AB third-party service provider for the three and six months ended June 30, 2025, respectively.
The table below presents revenues by segment and C&O:
 
Three Months Ended June 30,Six Months Ended June 30,
 
2026202520262025
(in millions)
Segment revenues:
Retirement (1)
$1,748 $1,491 $3,427 $2,946 
Asset Management (2)1,134 1,094 2,248 2,182 
Wealth Management (3)544 469 1,085 931 
Corporate and Other (1)548 977 1,073 1,986 
Eliminations(247)(230)(493)(460)
Adjustments related to:
Variable annuity product features, excluding change in MRBs
(2,437)(1,549)(1,811)(574)
Investment gains (losses), net(65)(71)(94)(85)
Other adjustments to segment revenues
433 181 453 12 
Total revenues$1,658 $2,362 $5,888 $6,938 
______________
(1)Includes investment expenses charged by AB of $41 million and $84 million for the three and six months ended June 30, 2026, respectively,and $42 million and $76 million for the three and six months ended June 30, 2025, respectively, for services provided to the Company.
(2)Inter-segment investment management and other fees of $48 million and $95 million for the three and six months ended June 30, 2026, respectively,and $44 million and $86 million for the three and six months ended June 30, 2025, respectively, are included in segment revenues of the Asset Management segment.
(3)Inter-segment distribution fees of $235 million and $473 million for the three and six months ended June 30, 2026, respectively,and $222 million and $440 million for the three and six months ended June 30, 2025, respectively, are included in segment revenues of the Wealth Management segment.
Total assets by segment were as follows:
 
June 30, 2026December 31, 2025
(in millions)
Total assets by segment:
Retirement$209,695 $196,794 
Asset Management10,343 10,386 
Wealth Management273 183 
Corporate and Other114,346 110,627 
Total assets$334,657 $317,990