SEC Filing | Reinsurance Group of America, Inc

REINSURANCE GROUP OF AMERICA, INCORPORATED

Date: July 18, 2013

/s/ Jack B. Lay

Jack B. Lay

Senior Executive Vice President and Chief Financial Officer

View:

Download DOC

Download PDF

Download XLS

8-K

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

FORM 8-K

CURRENT REPORT

Pursuant to Section 13 or 15(d)

of the Securities Exchange Act of 1934

Date of Report (Date of Earliest Event Reported): July 18, 2013

REINSURANCE GROUP OF AMERICA, INCORPORATED

(Exact Name of Registrant as Specified in its Charter)

Missouri

1-11848

43-1627032

(State or Other Jurisdiction

of Incorporation)

(Commission

File Number)

(IRS Employer

Identification Number)

1370 Timberlake Manor Parkway, Chesterfield, Missouri 63017

(Address of Principal Executive Office)

Registrant’s telephone number, including area code: (636) 736-7000

Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions (see General Instruction A.2. below):

Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)

Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)

Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))

Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))

Item 2.02

Results of Operations and Financial Condition

On July 18, 2013, Reinsurance Group of America, Incorporated (the “Company”) issued (1) a press release announcing its earnings for the three-month period ended June 30, 2013, and providing certain additional information, a copy of which is furnished with this report as Exhibit 99.1, and (2) a Quarterly Financial Supplement for the quarter ended June 30, 2013, a copy of which is attached hereto as Exhibit 99.2. The press release also notes that a conference call will be held on July 19, 2013 to discuss the financial and operating results for the three-month period ended June 30, 2013.

Item 9.01 Financial Statements and Exhibits

(d)

Exhibits.


Exhibit No.		Exhibit

99.1		Press Release of Reinsurance Group of America, Incorporated dated July 18, 2013

99.2		Quarterly Financial Supplement for the quarter ended June 30, 2013

The information contained in this Current Report on Form 8-K (this “Current Report”), including the accompanying Exhibit 99.1 and Exhibit 99.2, is being furnished pursuant to Item 2.02 of Form 8-K and shall not be deemed to be “filed” for purposes of Section 18 of the Securities Exchange Act of 1934, as amended (the “Exchange Act”), or otherwise subject to the liabilities of that section. The information contained in this Current Report, including the accompanying Exhibit 99.1 and Exhibit 99.2, shall not be incorporated by reference into any filing under the Securities Act of 1933, as amended, or the Exchange Act, whether made before or after the date hereof, except as shall be expressly set forth by specific reference in such a filing.

SIGNATURE

Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.

EXHIBIT INDEX


Exhibit Number		Description

99.1		Press Release dated July 18, 2013

99.2		Quarterly Financial Supplement for the quarter ended June 30, 2013

EX-99.1

Exhibit 99.1

LOGO

PRESS RELEASE

REINSURANCE GROUP OF AMERICA REPORTS SECOND-QUARTER RESULTS

•

Company posts approximately $184 million after-tax charge to increase claims liabilities in Australia

•

Net losses per diluted share: GAAP basis $0.69, operating basis* $0.99

•

Net premiums up four percent, exceeding $2.0 billion

•

25 percent increase in dividend

•

Board of directors increases stock repurchase authority from $300 million to $400 million

•

3.7 million shares repurchased to date in 2013

ST. LOUIS, July 18, 2013 – Reinsurance Group of America, Incorporated (NYSE: RGA), a leading global provider of life reinsurance, reported second-quarter net losses of $49.6 million, or $0.69 per diluted share, compared with net income of $141.1 million, or $1.91 per diluted share in the prior-year quarter. Operating losses* totaled $71.8 million, or $0.99 per diluted share in the current quarter, versus operating income of $122.3 million, or $1.65 per diluted share, last year. Losses this quarter were primarily attributable to an after-tax charge of approximately $184 million, or $2.53 per diluted share, to increase claims liabilities in Australia.


	Quarterly Results					Year-to-Date Results
($ in thousands, except per share data)	2013			2012		2013		2012
Net premiums	$	2,035,156		$	1,950,661	$	4,014,849	$	3,814,143
Net income (loss)		(49,612	)		141,111		135,923		264,429
Net income (loss) per diluted share		(0.69	)		1.91		1.85		3.57

Operating income (loss) *		(71,797	)		122,273		51,050		234,650
Operating income (loss) per diluted share *		(0.99	)		1.65		0.69		3.17
Book value per share		82.97			84.75
Book value per share (excl. Accumulated Other Comprehensive Income “AOCI”) *		66.31			60.34
Total assets		38,790,621			38,344,323

*	See ‘Use of Non-GAAP Financial Measures’ below

Consolidated net premiums increased four percent to $2,035.2 million from $1,950.7 million in the prior-year quarter, including an adverse effect of $21.2 million from foreign currency fluctuations. Investment income increased 35 percent to $444.2 million from $328.3 million in the year-earlier quarter, primarily attributable to a significant increase in fair value of options contracts, which are included in funds withheld at interest and support the crediting rates for equity-indexed annuities.

- more -

Add One

Excluding spread-based investment income and changes in value of associated derivatives, the average portfolio yield decreased to 4.77 percent from 5.06 percent in the second quarter of 2012, reflecting the ongoing low interest rate environment. Although the U.S. dollar generally appreciated against most currencies compared to the second quarter of 2012, net foreign currency fluctuations benefited the current quarter’s operating income by approximately $8.8 million after taxes, or $0.12 per diluted share, primarily due to the losses in Australia.

As a result of the significant charge in Australia this quarter, the company recorded a net operating tax benefit of approximately $36.5 million, resulting in an effective tax rate of 33.7 percent.

A. Greig Woodring, president and chief executive officer, explained, “The significant charge in our Australia operations was primarily associated with the group business which, as we have indicated previously, has been quite challenging for some time. We increased claims liabilities in that operation several times in recent years. We have just completed a comprehensive claims analysis within the last week, and that analysis indicates a more dramatic deterioration than we previously anticipated, a development we believe to be consistent across the industry. We have reflected not only the observed underperformance, as we have in the past, but also potential additional deterioration in the projection of future claims development on that entire book of business, through the end of the premium guarantee periods.

“The largest increase in liabilities relates to the total and permanent disability coverage, and, to a lesser extent, disability income benefits. The Australia market is the only one in which we have significant exposure to this form of total and permanent disability benefit. Not only have claim incidences for those benefits been increasing, but the claim lags throughout the claim reporting process have also risen at a significant rate. There appears to be a number of environmental factors in the current Australian market leading to a significant rise in claim levels and reporting lags, and we are working with direct insurance companies to better manage this business. The ceding companies generally retain a significant amount of risk even as they utilize the reinsurance market.

“The after-tax charge of approximately $184 million reduces our excess capital position by the same amount. Even though these group contracts are typically only three years in duration, the increase in loss ratios to this extent, compared to pricing, has created the need for this significant increase in claims liabilities. This situation is manageable and we believe we have aggressively addressed the issue in terms of the ongoing adequacy of the higher reserve and claim liability levels.”

Woodring continued, “The current environment makes it very difficult to price new business with any degree of confidence. We have been quoting very selectively on new group business since mid-2011 and we have not won any material new group business in that period. At this time, we are suspending all quoting activity in the Australian group total and permanent disability market indefinitely and will continue to be extremely selective in other aspects of that group market until it stabilizes and the products become more sustainable.

“Outside of the Australia operation, after-tax operating income per share was approximately $1.70. Operating performance was strong in our asset-intensive business line and mixed claims experience elsewhere was generally in line with overall expectations. Consolidated reported premium growth of four percent was also generally in line with expectations, and included an adverse effect of approximately $21.2 million from fluctuations in foreign currency exchange rates. In original currencies, net premiums increased over five percent in the second quarter compared to the prior-year period. Our book value per share is $82.97 including AOCI, and $66.31 excluding AOCI.

- more -

Add Two

“We repurchased additional shares in the second quarter, bringing our year-to-date total to approximately 3.7 million shares at a cost of $230.5 million. We have $170 million remaining under our current authorization, which was increased from $300 million to $400 million this quarter. Additionally, we increased our quarterly shareholder dividend 25 percent to $0.30 per share. We continue to execute our capital management strategy, opportunistically repurchasing shares and evaluating opportunities to grow our business. Our excess capital position is approximately $200 million, reflecting the recent capital management activity and charges in our Australia operations.

“We recently announced that our primary operating subsidiary, RGA Reinsurance Company, received a preparatory license from the China Insurance Regulatory Commission. We are excited about this opportunity and expect to receive a branch license next year, which will allow us to fully operate in the Chinese life reinsurance market.”

SEGMENT RESULTS

U.S.

The U.S. Traditional sub-segment reported pre-tax net income of $89.4 million for the quarter, down from $96.3 million last year. Pre-tax operating income totaled $85.7 million, a decrease from $95.5 million in the prior-year period. While claims experience was in line with last year’s second quarter and current expectations, policy acquisition costs as a percentage of premiums, which can fluctuate from period to period, were slightly higher this quarter. That type of fluctuation is expected to even out over the course of the year. In addition, relatively lower investment yields adversely affected results in the current period. Net premiums rose four percent, to $1,124.3 million from $1,082.4 million a year ago.

The U.S. Asset-Intensive business reported pre-tax income of $69.2 million, up from $34.6 million a year ago, including changes in the fair values of various free-standing and embedded derivatives. Pre-tax operating income, which excludes the impact of those derivatives, increased to $40.2 million from $16.6 million last year. The current-period result was better than expected and reflects strong performance in the U.S. equity market, which bolstered results in the equity indexed annuity line of business. Fixed annuities also performed well.

The U.S. Financial Reinsurance business added pre-tax operating income of $11.9 million this quarter, up 24 percent from $9.6 million last year. This business continues to contribute strong fee income to this segment.

Canada

Canadian operations reported pre-tax net income of $35.7 million, up slightly from $35.0 million in the second quarter of 2012. Pre-tax operating income was $31.7 million this quarter, a four percent increase from $30.5 million in the prior-year period. This segment’s claims experience was slightly higher than expected in the current period. Additionally, a relatively weaker Canadian dollar adversely affected pre-tax operating income by approximately $0.4 million compared to the prior-year period. Reported net premiums were up eight percent to $239.6 million from $221.2 million last year, including an adverse foreign currency effect of $3.1 million. On a Canadian dollar basis, net premiums were up 10 percent.

- more -

Add Three

Asia Pacific

The Asia Pacific segment reported a pre-tax net loss of $290.4 million compared with pre-tax net income of $23.9 million in the second quarter of 2012. Pre-tax operating losses totaled $285.7 million versus pre-tax operating income of $22.7 million last year. As indicated above, current-period losses were driven by a $274.1 million pre-tax increase in Australian claims liabilities as well as poor claims experience in the Australian operation’s individual businesses. In total, the Australia operation reported a pre-tax operating loss of $299.7 million for the quarter.

Outside of Australia, all of the markets in this segment performed better than expected, particularly Hong Kong and Southeast Asia. Asia Pacific net premiums increased three percent to $340.5 million from $331.9 million in the prior year. Foreign currency fluctuations adversely affected premiums by approximately $8.1 million this period. Original currency premiums rose five percent over the second quarter of 2012. Aside from Australia operations, foreign currency fluctuations adversely affected pre-tax operating income by approximately $2.0 million.

Europe & South Africa

Europe & South Africa operations reported pre-tax net income of $15.8 million versus $19.6 million in the year-ago quarter. Pre-tax operating income decreased to $15.3 million this quarter from $18.4 million last year, primarily due to higher-than-expected mortality claims in the U.K. Results from the U.K.’s critical illness and longevity businesses were slightly better than expected. Foreign currency fluctuations adversely affected pre-tax operating income by approximately $1.0 million. Net premiums totaled $319.4 million, up from $310.1 million the year before, including an adverse currency effect of $10.0 million. On a local currency basis, net premiums increased 6 percent.

Corporate and Other

The Corporate and Other segment reported a pre-tax net loss of $6.2 million in the second quarter, compared with a pre-tax net loss of $3.2 million in the year-ago period. Pre-tax operating losses were $7.5 million in the current period and $5.8 million last year, reflecting lower other revenues in the current quarter.

Stock Repurchase Authorization

The board of directors authorized an additional increase of $100 million to the share repurchase program announced on January 31, 2013. Effective July 18, 2013, the total amount of the company’s outstanding common stock authorized for repurchase is $400 million. To date, approximately $230 million of shares under this authorization have been repurchased. The authorization does not have an expiration date.

Repurchases would be made in accordance with applicable securities laws and would be made through market transactions, block trades, privately negotiated transactions or other means or a combination of these methods, with the timing and number of shares repurchased dependent on a variety of factors, including share price, corporate and regulatory requirements and market and business conditions. Repurchases may be commenced or suspended from time to time without prior notice.

- more -

Add Four

Dividend Declaration

The board of directors increased the quarterly dividend 25 percent, to $0.30 from $0.24, payable August 30 to shareholders of record as of August 9.

Earnings Conference Call

A conference call to discuss second-quarter results will begin at 9 a.m. Eastern Time on Friday, July 19. Interested parties may access the call by dialing 877-397-0286 (domestic) or 719-325-4879 (international). The access code is 7824658. A live audio webcast of the conference call will be available on the company’s investor relations website at www.rgare.com. A replay of the conference call will be available at the same address for 90 days following the conference call. A telephonic replay will also be available through July 27 at 888-203-1112 (domestic) or 719-457-0820 (international), access code 7824658.

The company has posted to its website a Quarterly Financial Supplement that includes financial information for all segments as well as information on its investment portfolio. Additionally, the company posts periodic reports, press releases and other useful information on its investor relations website.

Use of Non-GAAP Financial Measures

RGA uses a non-GAAP financial measure called operating income as a basis for analyzing financial results. This measure also serves as a basis for establishing target levels and awards under RGA’s management incentive programs. Management believes that operating income, on a pre-tax and after-tax basis, better measures the ongoing profitability and underlying trends of the company’s continuing operations, primarily because that measure excludes substantially all of the effect of net investment related gains and losses, as well as changes in the fair value of certain embedded derivatives and related deferred acquisition costs. These items can be volatile, primarily due to the credit market and interest rate environment, and are not necessarily indicative of the performance of the company’s underlying businesses. Additionally, operating income excludes any net gain or loss from discontinued operations, the cumulative effect of any accounting changes, and other items that management believes are not indicative of the company’s ongoing operations. The definition of operating income can vary by company and is not considered a substitute for GAAP net income. Reconciliations to GAAP net income are provided in the following tables. Additional financial information can be found in the Quarterly Financial Supplement on RGA’s Investor Relations website at www.rgare.com in the “Quarterly Results” tab and in the “Featured Report” section.

Book value per share outstanding before impact of AOCI is a non-GAAP financial measure that management believes is important in evaluating the balance sheet in order to ignore the effects of unrealized amounts primarily associated with mark-to-market adjustments on investments and foreign currency translation.

Operating return on equity is a non-GAAP financial measure calculated as operating income divided by average shareholders’ equity excluding AOCI.

- more -

Add Five

About RGA

Reinsurance Group of America, Incorporated is among the largest global providers of life reinsurance, with operations in Australia, Barbados, Bermuda, Canada, China, France, Germany, Hong Kong, India, Ireland, Italy, Japan, Malaysia, Mexico, the Netherlands, New Zealand, Poland, Singapore, South Africa, South Korea, Spain, Taiwan, the United Arab Emirates, the United Kingdom and the United States. Worldwide, the company has approximately $2.8 trillion of life reinsurance in force, and assets of $38.8 billion.

Cautionary Statement Regarding Forward-looking Statements

This release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995, including, among others, statements relating to projections of the earnings, revenues, income or loss, future financial performance and growth potential of Reinsurance Group of America, Incorporated and its subsidiaries (which we refer to in the following paragraphs as “we,” “us” or “our”). The words “intend,” “expect,” “project,” “estimate,” “predict,” “anticipate,” “should,” “believe,” and other similar expressions also are intended to identify forward-looking statements. Forward-looking statements are inherently subject to risks and uncertainties, some of which cannot be predicted or quantified. Future events and actual results, performance and achievements could differ materially from those set forth in, contemplated by or underlying the forward-looking statements.

Numerous important factors could cause actual results and events to differ materially from those expressed or implied by forward-looking statements including, without limitation, (1) adverse capital and credit market conditions and their impact on our liquidity, access to capital, and cost of capital, (2) the impairment of other financial institutions and its effect on our business, (3) requirements to post collateral or make payments due to declines in market value of assets subject to our collateral arrangements, (4) the fact that the determination of allowances and impairments taken on our investments is highly subjective, (5) adverse changes in mortality, morbidity, lapsation, or claims experience, (6) changes in our financial strength and credit ratings and the effect of such changes on our future results of operations and financial condition, (7) inadequate risk analysis and underwriting, (8) general economic conditions or a prolonged economic downturn affecting the demand for insurance and reinsurance in our current and planned markets, (9) the availability and cost of collateral necessary for regulatory reserves and capital, (10) market or economic conditions that adversely affect the value of our investment securities or result in the impairment of all or a portion of the value of certain of our investment securities, (11) market or economic conditions that adversely affect our ability to make timely sales of investment securities, (12) risks inherent in our risk management and investment strategy, including changes in investment portfolio yields due to interest rate or credit quality changes, (13) fluctuations in U.S. or foreign currency exchange rates, interest rates, or securities and real estate markets, (14) adverse litigation or arbitration results, (15) the adequacy of reserves, resources, and accurate information relating to settlements, awards, and terminated and discontinued lines of business, (16) the stability of and actions by governments and economies in the markets in which we operate, including ongoing uncertainties regarding the amount of United States sovereign debt and the credit ratings thereof, (17) competitive factors and competitors’ responses to our initiatives, (18) the success of our clients, (19) successful execution of our entry into new markets, (20) successful development and introduction of new products and distribution opportunities, (21) our ability to successfully integrate and operate reinsurance business that we acquire, (22) action by

- more -

Add Six

regulators who have authority over our reinsurance operations in the jurisdictions in which we operate, (23) our dependence on third parties, including those insurance companies and reinsurers to which we cede some reinsurance, third-party investment managers, and others, (24) the threat of natural disasters, catastrophes, terrorist attacks, epidemics, or pandemics anywhere in the world where we or our clients do business, (25) changes in laws, regulations, and accounting standards applicable to us, our subsidiaries, or our business, (26) the effect of our status as an insurance holding company and regulatory restrictions on our ability to pay principal and interest on our debt obligations, and (27) other risks and uncertainties described in this document and in our other filings with the Securities and Exchange Commission.

Forward-looking statements should be evaluated together with the many risks and uncertainties that affect our business, including those mentioned in this document and described in the periodic reports we file with the Securities and Exchange Commission. These forward-looking statements speak only as of the date on which they are made. We do not undertake any obligations to update these forward-looking statements, even though our situation may change in the future. We qualify all of our forward-looking statements by these cautionary statements. For a discussion of the risks and uncertainties that could cause actual results to differ materially from those contained in the forward-looking statements, you are advised to review the risk factors in our Annual Report on Form 10-K for the year ended December 31, 2012.

Investor Contact

John W. Hayden

Senior Vice President – Controller and Investor Relations

(636) 736-7000

- tables below -

- more -

Add Seven

REINSURANCE GROUP OF AMERICA, INCORPORATED AND SUBSIDIARIES

Reconciliation of Consolidated Net Income to Operating Income

(Dollars in thousands)


	Three Months Ended						Six Months Ended
	June 30,						June 30,
(Unaudited)	2013			2012			2013			2012
GAAP net income (loss)	$	(49,612	)	$	141,111		$	135,923		$	264,429
Reconciliation to operating income (loss):
Capital (gains) losses, derivatives and other, included in investment related (gains) losses, net		23,726			(66,949	)		55,160			(6,645	)
Capital (gains) losses on funds withheld:
Included in investment income		(7,625	)		(3,460	)		(8,946	)		(2,784	)
Included in policy acquisition costs and other insurance expenses		—			99			—			235
Embedded derivatives:
Included in investment related (gains) losses, net		(54,291	)		51,599			(146,313	)		(37,417	)
Included in interest credited		(20,905	)		(1,095	)		(33,457	)		24,410
DAC offset, net		36,910			968			78,912			(7,578	)
Gain on repurchase of collateral finance facility securities		—			—			(30,229	)		—

Operating income (loss)	$	(71,797	)	$	122,273		$	51,050		$	234,650

Reconciliation of Consolidated Pre-tax Net Income to Pre-tax Operating Income

(Dollars in thousands)


	Three Months Ended						Six Months Ended
	June 30,						June 30,
(Unaudited)	2013			2012			2013			2012
Income (loss) before income taxes	$	(74,758	)	$	215,892		$	204,069		$	396,655
Reconciliation to pre-tax operating income (loss):
Capital (gains) losses, derivatives and other, included in investment related (gains) losses, net		37,057			(102,184	)		85,899			(8,086	)
Capital (gains) losses on funds withheld:
Included in investment income		(11,733	)		(5,323	)		(13,764	)		(4,283	)
Included in policy acquisition costs and other insurance expenses		—			152			—			361
Embedded derivatives:
Included in investment related (gains) losses, net		(83,525	)		79,382			(225,097	)		(57,565	)
Included in interest credited		(32,161	)		(1,685	)		(51,472	)		37,554
DAC offset, net		56,786			1,490			121,404			(11,658	)
Gain on repurchase of collateral finance facility securities		—			—			(46,506	)		—

Pre-tax operating income (loss)	$	(108,334	)	$	187,724		$	74,533		$	352,978

- more -

Add Eight

REINSURANCE GROUP OF AMERICA, INCORPORATED AND SUBSIDIARIES

Reconciliation of Pre-tax Net Income to Pre-tax Operating Income

(Dollars in thousands)


	Three Months Ended June 30, 2013
(Unaudited)	Pre-tax net income (loss)			Capital (gains) losses, derivatives and other, net			Change in value of embedded derivatives, net			Pre-tax operating income (loss)

U.S. Operations:
Traditional	$	89,447		$	(2,309	)	$	(1,391	)	$	85,747
Asset Intensive		69,209			48,499	(1)		(77,478	) (2)		40,230
Financial Reinsurance		11,787			100			—			11,887

Total U.S.		170,443			46,290			(78,869	)		137,864
Canada Operations		35,659			(3,970	)		—			31,689
Europe & South Africa		15,818			(470	)		—			15,348
Asia Pacific Operations		(290,448	)		4,726			—			(285,722	)
Corporate and Other		(6,230	)		(1,283	)		—			(7,513	)

Consolidated	$	(74,758	)	$	45,293		$	(78,869	)	$	(108,334	)

(1)	Asset Intensive is net of $19,969 DAC offset.

(2)	Asset Intensive is net of $36,817 DAC offset.


	Three Months Ended June 30, 2012
(Unaudited)	Pre-tax net income (loss)			Capital (gains) losses, derivatives and other, net			Change in value of embedded derivatives, net			Pre-tax operating income (loss)

U.S. Operations:
Traditional	$	96,336		$	(649	)	$	(140	)	$	95,547
Asset Intensive		34,602			(48,776	) (1)		30,817	(2)		16,643
Financial Reinsurance		9,648			(32	)		—			9,616

Total U.S.		140,586			(49,457	)		30,677			121,806
Canada Operations		35,030			(4,523	)		—			30,507
Europe & South Africa		19,591			(1,156	)		—			18,435
Asia Pacific Operations		23,859			(1,132	)		—			22,727
Corporate and Other		(3,174	)		(2,577	)		—			(5,751	)

Consolidated	$	215,892		$	(58,845	)	$	30,677		$	187,724

(1)	Asset Intensive is net of $48,510 DAC offset.

(2)	Asset Intensive is net of $(47,020) DAC offset.

- more -

Add Nine

REINSURANCE GROUP OF AMERICA, INCORPORATED AND SUBSIDIARIES

Reconciliation of Pre-tax Net Income to Pre-tax Operating Income

(Dollars in thousands)


	Six Months Ended June 30, 2013
(Unaudited)	Pre-tax net income (loss)			Capital (gains) losses, derivatives and other, net			Change in value of embedded derivatives, net			Gain on debt repurchase			Pre-tax operating income (loss)

U.S. Operations:
Traditional	$	166,292		$	(9,550	)	$	(1,447	)	$	—		$	155,295
Asset Intensive		158,732			63,387	(1)		(136,293	) (2)		—			85,826
Financial Reinsurance		19,828			66			—			—			19,894

Total U.S.		344,852			53,903			(137,740	)		—			261,015
Canada Operations		71,967			(7,401	)		—			—			64,566
Europe & South Africa		33,203			(2,280	)		—			—			30,923
Asia Pacific Operations		(275,930	)		9,573			—			—			(266,357	)
Corporate and Other		29,977			915			—			(46,506	)		(15,614	)

Consolidated	$	204,069		$	54,710		$	(137,740	)	$	(46,506	)	$	74,533

(1)	Asset Intensive is net of $(17,425) DAC offset.

(2)	Asset Intensive is net of $138,829 DAC offset.


	Six Months Ended June 30, 2012
(Unaudited)	Pre-tax net income (loss)			Capital (gains) losses, derivatives and other, net			Change in value of embedded derivatives, net			Pre-tax operating income (loss)

U.S. Operations:
Traditional	$	146,178		$	12,394		$	(99	)	$	158,473
Asset Intensive		71,192			(32,830	) (1)		2,762	(2)		41,124
Financial Reinsurance		15,961			107			—			16,068

Total U.S.		233,331			(20,329	)		2,663			215,665
Canada Operations		90,093			(12,927	)		—			77,166
Europe & South Africa		26,197			(3,138	)		—			23,059
Asia Pacific Operations		55,926			(6,290	)		—			49,636
Corporate and Other		(8,892	)		(3,656	)		—			(12,548	)

Consolidated	$	396,655		$	(46,340	)	$	2,663		$	352,978

(1)	Asset Intensive is net of $(34,332) DAC offset.

(2)	Asset Intensive is net of $22,674 DAC offset.

- more -

Add Ten

REINSURANCE GROUP OF AMERICA, INCORPORATED AND SUBSIDIARIES

Per Share and Shares Data

(In thousands, except per share data)


	Three Months Ended					Six Months Ended
	June 30,					June 30,
(Unaudited)	2013			2012		2013		2012
Diluted earnings per share from operating income (loss)	$	(0.99	)	$	1.65	$	0.69	$	3.17

Earnings per share from net income (loss):
Basic earnings per share	$	(0.69	)	$	1.91	$	1.86	$	3.59
Diluted earnings per share (1)	$	(0.69	)	$	1.91	$	1.85	$	3.57

Weighted average number of common and common equivalent shares outstanding		72,769			74,054		73,573		74,048


	At or For the Six Months
	Ended June 30,
(Unaudited)	2013		2012
Treasury shares		8,170		5,416
Common shares outstanding		70,968		73,722
Book value per share outstanding	$	82.97	$	84.75
Book value per share outstanding, before impact of AOCI	$	66.31	$	60.34

(1)	As a result of anti-dilutive impact, in periods of a loss, weighted average common shares outstanding (basic) are used in the calculation of diluted earnings per share.

- more -

Add Eleven

REINSURANCE GROUP OF AMERICA, INCORPORATED AND SUBSIDIARIES

Condensed Consolidated Statements of Income

(Dollars in thousands)


	Three Months Ended						Six Months Ended
	June 30,						June 30,
(Unaudited)	2013			2012			2013			2012
Revenues:
Net premiums	$	2,035,156		$	1,950,661		$	4,014,849		$	3,814,143
Investment income, net of related expenses		444,234			328,334			869,365			669,274
Investment related gains (losses), net:
Other-than-temporary impairments on fixed maturity securities		(9,803	)		(1,959	)		(10,005	)		(9,566	)
Other-than-temporary impairments on fixed maturity securities transferred to (from) accumulated other comprehensive income		(306	)		162			(306	)		(7,059	)
Other investment related gains (losses), net		58,352			25,598			152,925			83,946

Total investment related gains (losses), net		48,243			23,801			142,614			67,321
Other revenue		63,009			72,957			164,916			117,990

Total revenues		2,590,642			2,375,753			5,191,744			4,668,728


Benefits and expenses:
Claims and other policy benefits		2,030,574			1,625,446			3,719,484			3,205,595
Interest credited		118,345			66,697			243,828			154,739
Policy acquisition costs and other insurance expenses		370,505			335,939			727,862			643,573
Other operating expenses		113,408			105,541			232,909			215,639
Interest expense		29,918			23,360			58,404			46,682
Collateral finance facility expense		2,650			2,878			5,188			5,845

Total benefits and expenses		2,665,400			2,159,861			4,987,675			4,272,073


Income before income taxes		(74,758	)		215,892			204,069			396,655
Income tax expense		(25,146	)		74,781			68,146			132,226

Net income (loss)	$	(49,612	)	$	141,111		$	135,923		$	264,429

# # #

EX-99.2

Exhibit 99.2

LOGO

Financial Supplement

Second Quarter 2013

(Unaudited)

LOGO


World Headquarters	Internet address			Contacts:
1370 Timberlake Manor Parkway	www.rgare.com			Jack B. Lay
Chesterfield, Missouri 63017 U.S.A.				Senior Executive Vice President
				and Chief Financial Officer
				Phone: (636) 736-7000
Current Ratings				e-mail: jlay@rgare.com
	Standard & Poor’s	A.M. Best	Moody’s	John Hayden
Financial Strength Ratings				Sr. Vice President
RGA Reinsurance Company	AA-	A+	A1	Controller & Investor Relations
RGA Life Reinsurance Company of Canada	AA-	A+	NR	Phone: (636) 300-8828
RGA International Reinsurance Company Limited	AA-	NR	NR	e-mail: jhayden@rgare.com
RGA Global Reinsurance Company Limited	AA-	NR	NR
RGA Reinsurance Company of Australia Limited	AA-	NR	NR
Senior Debt Ratings
Reinsurance Group of America, Incorporated	A-	a-	Baa1

Our common stock is traded on the New York Stock Exchange under the symbol “RGA”.

Reinsurance Group of America, Incorporated

Financial Supplement

2nd Quarter 2013

Table of Contents


	Page
Non-GAAP Disclosure		1

Consolidated

Financial Highlights		2

Consolidated Income Statement (incl. Operating Income Reconciliation)		3

Consolidated Operating Income Statement		4

Consolidated Balance Sheets		5

Segment Pre-tax Operating Income Summaries and Reconciliations to U.S. GAAP

U.S. Operations		6

Canada Operations		10

Europe & South Africa Operations		11

Asia Pacific Operations		12

Corporate and Other		13

Summary of Pre-tax Segment Operating Income		14

Investments

Cash and Invested Assets, Yield Summary		15

Amortized cost, Gross Unrealized Gains and Losses, Estimated Fair Values of Fixed Maturity and Equity Securities		16

Corporate Securities by Sector (Fixed Maturities and Equities)		17

Quality of Fixed Maturity Securities and Structured Fixed Maturity Securities		18

CMBS Exposure (Including Funds Withheld Portfolios)		19

Gross Unrealized Losses Aging		20

Fixed Maturity and Equity Securities Below Amortized Cost		21

Consolidated Gross Gains and Losses		22

Reinsurance Group of America, Incorporated

Financial Supplement

This Financial Supplement is for information purposes only and includes unaudited figures. This report should be read in conjunction with documents filed by Reinsurance Group of America, Incorporated with the SEC.

Non-GAAP Disclosures

RGA uses a non-GAAP financial measure called operating income as a basis for analyzing financial results. This measure also serves as a basis for establishing target levels and awards under RGA’s management incentive programs. Management believes that operating income, on a pre-tax and after-tax basis, better measures the ongoing profitability and underlying trends of the company’s continuing operations, primarily because that measure excludes substantially all of the effect of net investment related gains and losses, as well as changes in the fair value of certain embedded derivatives and related deferred acquisition costs. These items can be volatile, primarily due to the credit market and interest rate environment and are not necessarily indicative of the performance of the company’s underlying businesses. Additionally, operating income excludes any net gain or loss from discontinued operations, the cumulative effect of any accounting changes, and other items that management believes are not indicative of the company’s ongoing operations. The definition of operating income can vary by company and is not considered a substitute for GAAP net income. A reconciliation of income before income taxes of the operating segments to pre-tax operating income (loss) is presented herein.

RGA evaluates its stockholder equity position excluding the impact of Accumulated Other Comprehensive Income (“AOCI”) since the net unrealized gains or losses included in AOCI primarily relate to changes in interest rates, credit spreads on its investment securities and foreign currency fluctuations that are not permanent and can fluctuate significantly from period to period.

Additionally, RGA uses a non-GAAP financial measure called operating return on equity, which is calculated as operating income divided by average shareholders’ equity excluding AOCI.


				Page 1

Reinsurance Group of America, Incorporated

Financial Highlights


	Three Months Ended or As of															Current Qtr			Year-to-Date
(USD thousands, except inforce & per share data)	June 30, 2013			March 31, 2013			Dec. 31, 2012			Sept. 30, 2012			June 30, 2012			vs. PY Quarter			June 30, 2013		June 30, 2012		Change

Net premiums	$	2,035,156		$	1,979,693		$	2,179,707		$	1,912,746		$	1,950,661		$	84,495		$	4,014,849	$	3,814,143	$	200,706
Net income (loss)		(49,612	)		185,535			222,989			144,475			141,111			(190,723	)		135,923		264,429		(128,506	)
Operating income (loss)		(71,797	)		122,847			181,830			99,902			122,273			(194,070	)		51,050		234,650		(183,600	)
Operating return on equity (ex AOCI) - annualized		-6.0	%		10.1	%		15.5	%		8.9	%		11.2	%		-17.2	%
Operating return on equity (ex AOCI) - trailing 12 months		7.1	%		11.4	%		11.6	%		10.5	%		11.8	%		-4.7	%
Total assets		38,790,621			40,197,101			40,360,438			39,924,013			38,344,323			446,298

Assumed Life Reinsurance in Force (in billions)
U.S.	$	1,392.3		$	1,395.6		$	1,395.6		$	1,403.3		$	1,405.8		$	(13.5	)
Canada		376.4			382.8			389.7			384.8			365.1			11.3
Europe & South Africa		584.9			581.8			602.5			559.4			525.2			59.7
Asia Pacific		470.2			512.6			539.8			533.5			486.2			(16.0	)

Total Life Reinsurance in Force	$	2,823.8		$	2,872.8		$	2,927.6		$	2,881.0		$	2,782.3		$	41.5


Assumed New Business Production (in billions)
U.S.	$	21.8		$	25.7		$	19.2		$	23.1		$	24.2		$	(2.4	)	$	47.5	$	109.1	$	(61.6	)
Canada		11.1			12.9			12.0			11.3			12.6			(1.5	)		24.0		25.7		(1.7	)
Europe & South Africa		28.4			45.7			58.4			37.3			25.5			2.9			74.1		40.3		33.8
Asia Pacific		42.7			11.6			12.8			47.2			24.5			18.2			54.3		30.2		24.1

Total New Business Production	$	104.0		$	95.9		$	102.4		$	118.9		$	86.8		$	17.2		$	199.9	$	205.3	$	(5.4	)


Per Share and Shares Data
Basic earnings per share
Net income (loss)	$	(0.69	)	$	2.51		$	3.02		$	1.96		$	1.91		$	(2.60	)	$	1.86	$	3.59	$	(1.73	)
Operating income (loss)	$	(0.99	)	$	1.66		$	2.46		$	1.35		$	1.66		$	(2.65	)	$	0.70	$	3.19	$	(2.49	)
Diluted earnings per share (1)
Net income (loss)	$	(0.69	)	$	2.49		$	3.00		$	1.95		$	1.91		$	(2.60	)	$	1.85	$	3.57	$	(1.72	)
Operating income (loss)	$	(0.99	)	$	1.65		$	2.44		$	1.35		$	1.65		$	(2.64	)	$	0.69	$	3.17	$	(2.48	)

Wgt. average common shares outstanding (basic)		72,350			73,838			73,880			73,776			73,718			(1,368	)		73,089		73,646		(557	)
Wgt. average common shares outstanding (diluted)		72,769			74,389			74,375			74,138			74,054			(1,285	)		73,573		74,048		(475	)

Common shares issued		79,138			79,138			79,138			79,138			79,138			—			79,138		79,138		—
Treasury shares		8,170			5,837			5,211			5,286			5,416			2,754			8,170		5,416		2,754
Common shares outstanding		70,968			73,301			73,927			73,852			73,722			(2,754	)		70,968		73,722		(2,754	)

Book value per share	$	82.97		$	94.34		$	93.47		$	91.18		$	84.75
Per share effect of accumulated other comprehensive income (AOCI)	$	16.66		$	26.97		$	28.52		$	29.13		$	24.41
Book value per share, excluding AOCI	$	66.31		$	67.37		$	64.95		$	62.05		$	60.34

Shareholder dividends paid	$	17,415.9		$	17,752.7		$	17,724.7		$	17,696.2		$	13,268.6		$	4,147.3		$	35,168.6	$	26,523.9	$	8,644.7

(1)

As a result of anti-dilutive impact, in periods of a loss, weighted average common shares outstanding (basic) are used in the calculation of diluted earnings per share


				Page 2

Reinsurance Group of America, Incorporated

Consolidated GAAP Income Statement (incl. Operating Income Reconciliations)


	Three Months Ended															Current Qtr			Year-to-Date
(USD thousands)	June 30, 2013			March 31, 2013			Dec. 31, 2012			Sept. 30, 2012			June 30, 2012			vs. PY Quarter			June 30, 2013			June 30, 2012			Change

Revenues:
Net premiums	$	2,035,156		$	1,979,693		$	2,179,707		$	1,912,746		$	1,950,661		$	84,495		$	4,014,849		$	3,814,143		$	200,706
Investment income, net of related expenses		444,234			425,131			370,151			396,781			328,334			115,900			869,365			669,274			200,091
Investment related gains (losses), net
OTTI on fixed maturity securities		(9,803	)		(202	)		(4,346	)		(1,996	)		(1,959	)		(7,844	)		(10,005	)		(9,566	)		(439	)
OTTI on fixed maturity securities transferred to/from AOCI		(306	)		—			—			(559	)		162			(468	)		(306	)		(7,059	)		6,753
Other investment related gains (losses), net		58,352			94,573			115,108			78,608			25,598			32,754			152,925			83,946			68,979

Total investment related gains (losses), net		48,243			94,371			110,762			76,053			23,801			24,442			142,614			67,321			75,293
Other revenue		63,009			101,907			62,482			63,501			72,957			(9,948	)		164,916			117,990			46,926

Total revenues		2,590,642			2,601,102			2,723,102			2,449,081			2,375,753			214,889			5,191,744			4,668,728			523,016

Benefits and expenses:
Claims and other policy benefits		2,030,574			1,688,910			1,797,779			1,662,625			1,625,446			405,128			3,719,484			3,205,595			513,889
Interest credited		118,345			125,483			94,835			130,341			66,697			51,648			243,828			154,739			89,089
Policy acquisition costs and other insurance expenses		370,505			357,357			344,791			318,106			335,939			34,566			727,862			643,573			84,289
Other operating expenses		113,408			119,501			132,334			103,786			105,541			7,867			232,909			215,639			17,270
Interest expense		29,918			28,486			28,917			29,749			23,360			6,558			58,404			46,682			11,722
Collateral finance facility expense		2,650			2,538			3,357			2,995			2,878			(228	)		5,188			5,845			(657	)

Total benefits and expenses		2,665,400			2,322,275			2,402,013			2,247,602			2,159,861			505,539			4,987,675			4,272,073			715,602

Income (loss) before income taxes		(74,758	)		278,827			321,089			201,479			215,892			(290,650	)		204,069			396,655			(192,586	)

Income tax expense (benefit)		(25,146	)		93,292			98,100			57,004			74,781			(99,927	)		68,146			132,226			(64,080	)

Net income (loss)	$	(49,612	)	$	185,535		$	222,989		$	144,475		$	141,111		$	(190,723	)	$	135,923		$	264,429		$	(128,506	)


Pre-tax Operating Income (Loss) Reconciliation:
Income (loss) before income taxes		(74,758	)		278,827			321,089			201,479			215,892			(290,650	)		204,069			396,655			(192,586	)
Investment and derivative losses (gains) - non-operating (1)		37,057			48,842			(3,404	)		(16,940	)		(102,184	)		139,241			85,899			(8,086	)		93,985
Change in value of modified coinsurance and funds withheld embedded derivatives (1)		(47,716	)		(90,258	)		(74,054	)		(54,836	)		4,453			(52,169	)		(137,974	)		13,881			(151,855	)
GMXB embedded derivatives (1)		(35,809	)		(51,314	)		(30,588	)		(2,579	)		74,929			(110,738	)		(87,123	)		(71,446	)		(15,677	)
Funds withheld losses (gains) - investment income		(11,733	)		(2,031	)		(6,447	)		(6,400	)		(5,323	)		(6,410	)		(13,764	)		(4,283	)		(9,481	)
Funds withheld losses (gains) - policy acq. costs		—			—			55			122			152			(152	)		—			361			(361	)
EIA embedded derivatives - interest credited		(32,161	)		(19,311	)		7,711			(167	)		(1,685	)		(30,476	)		(51,472	)		37,554			(89,026	)
DAC offset, net		56,786			64,618			44,308			13,705			1,490			55,296			121,404			(11,658	)		133,062
Gain on repurchase of collateral finance facility securities		—			(46,506	)		—			—			—			—			(46,506	)		—			(46,506	)

Operating Income (loss) Before Income Taxes	$	(108,334	)	$	182,867		$	258,670		$	134,384		$	187,724		$	(296,058	)	$	74,533		$	352,978		$	(278,445	)


After-tax Operating Income (Loss) Reconciliation:
Net Income (loss)		(49,612	)		185,535			222,989			144,475			141,111			(190,723	)		135,923			264,429			(128,506	)
Investment and derivative losses (gains) - non-operating (1)		23,726			31,434			(2,801	)		(11,972	)		(66,949	)		90,675			55,160			(6,645	)		61,805
Change in value of modified coinsurance and funds withheld embedded derivatives (1)		(31,015	)		(58,668	)		(48,135	)		(35,644	)		2,895			(33,910	)		(89,683	)		9,023			(98,706	)
GMXB embedded derivatives (1)		(23,276	)		(33,354	)		(19,882	)		(1,676	)		48,704			(71,980	)		(56,630	)		(46,440	)		(10,190	)
Funds withheld losses (gains) - investment income		(7,625	)		(1,321	)		(4,190	)		(4,160	)		(3,460	)		(4,165	)		(8,946	)		(2,784	)		(6,162	)
Funds withheld losses (gains) - policy acq. costs		—			—			36			79			99			(99	)		—			235			(235	)
EIA embedded derivatives - interest credited		(20,905	)		(12,552	)		5,012			(108	)		(1,095	)		(19,810	)		(33,457	)		24,410			(57,867	)
DAC offset, net		36,910			42,002			28,801			8,908			968			35,942			78,912			(7,578	)		86,490
Gain on repurchase of collateral finance facility securities		—			(30,229	)		—			—			—			—			(30,229	)		—			(30,229	)

Operating Income (loss)	$	(71,797	)	$	122,847		$	181,830		$	99,902		$	122,273		$	(194,070	)	$	51,050		$	234,650		$	(183,600	)

(1)

Included in “Investment related gains (losses), net” on Consolidated GAAP Income Statement


				Page 3

Reinsurance Group of America, Incorporated

Consolidated Operating Income Statement


	Three Months Ended														Current Qtr			Year-to-Date
(USD thousands, except per share data)	June 30, 2013			March 31, 2013			Dec. 31, 2012		Sept. 30, 2012			June 30, 2012			vs. PY Quarter			June 30, 2013			June 30, 2012			Change

Revenues:
Net premiums	$	2,035,156		$	1,979,693		$	2,179,707	$	1,912,746		$	1,950,661		$	84,495		$	4,014,849		$	3,814,143		$	200,706
Investment income, net of related expenses		432,501			423,100			363,704		390,381			323,011			109,490			855,601			664,991			190,610
Investment related gains (losses), net		1,775			1,641			2,716		1,698			999			776			3,416			1,670			1,746
Other revenue		63,009			55,401			62,482		63,501			72,957			(9,948	)		118,410			117,990			420

Total revenues		2,532,441			2,459,835			2,608,609		2,368,326			2,347,628			184,813			4,992,276			4,598,794			393,482

Benefits and expenses:
Claims and other policy benefits		2,030,574			1,688,910			1,797,779		1,662,625			1,625,446			405,128			3,719,484			3,205,595			513,889
Interest credited		150,506			144,794			87,124		130,508			68,382			82,124			295,300			117,185			178,115
Policy acquisition costs and other insurance expenses		313,719			292,739			300,428		304,279			334,297			(20,578	)		606,458			654,870			(48,412	)
Other operating expenses		113,408			119,501			132,334		103,786			105,541			7,867			232,909			215,639			17,270
Interest expense		29,918			28,486			28,917		29,749			23,360			6,558			58,404			46,682			11,722
Collateral finance facility expense		2,650			2,538			3,357		2,995			2,878			(228	)		5,188			5,845			(657	)

Total benefits and expenses		2,640,775			2,276,968			2,349,939		2,233,942			2,159,904			480,871			4,917,743			4,245,816			671,927

Operating income (loss) before income taxes		(108,334	)		182,867			258,670		134,384			187,724			(296,058	)		74,533			352,978			(278,445	)

Operating income tax expense (benefit)		(36,537	)		60,020			76,840		34,482			65,451			(101,988	)		23,483			118,328			(94,845	)

Operating income (loss)	$	(71,797	)	$	122,847		$	181,830	$	99,902		$	122,273		$	(194,070	)	$	51,050		$	234,650		$	(183,600	)


Wgt. Average Common Shares Outstanding (Diluted) (1)		72,769			74,389			74,375		74,138			74,054			(1,285	)		73,573			74,048			(475	)

Diluted Earnings Per Share - Operating Income *(1)*	$	(0.99	)	$	1.65		$	2.44	$	1.35		$	1.65		$	(2.64	)	$	0.69		$	3.17		$	(2.48	)

Foreign currency effect *(2)*:
Net premiums	$	(21,173	)	$	(19,599	)	$	14,105	$	(25,972	)	$	(45,800	)	$	24,627		$	(40,772	)	$	(50,724	)	$	9,952
Operating income before income taxes	$	13,624		$	(2,798	)	$	1,799	$	(4,165	)	$	(3,471	)	$	17,095		$	10,826		$	(3,858	)	$	14,684

(1)

As a result of anti-dilutive impact, in periods of a loss, weighted average common shares outstanding (basic) are used in the calculation of diluted earnings per share

(2)

Compared to comparable prior year period


				Page 4

Reinsurance Group of America, Incorporated

Consolidated Balance Sheets


(USD thousands)	June 30, 2013			March 31, 2013			Dec. 31, 2012			Sept. 30, 2012			June 30, 2012
Assets
Fixed maturity securities, available-for-sale	$	21,284,216		$	22,401,659		$	22,291,614		$	21,658,414		$	17,244,192
Mortgage loans on real estate		2,377,246			2,325,191			2,300,587			2,256,881			1,157,049
Policy loans		1,245,252			1,245,812			1,278,175			1,243,498			1,250,238
Funds withheld at interest		5,777,395			5,698,594			5,594,182			5,608,640			5,457,888
Short-term investments		38,601			180,707			288,082			90,789			49,981
Investment receivable		—			—			—			—			5,406,898
Other invested assets		1,035,809			1,129,651			1,159,543			1,236,616			940,605

Total investments		31,758,519			32,981,614			32,912,183			32,094,838			31,506,851
Cash and cash equivalents		973,619			1,001,841			1,259,892			1,603,730			957,341
Accrued investment income		233,153			230,269			201,344			250,048			182,586
Premiums receivable and other reinsurance balances		1,314,004			1,259,281			1,356,087			1,179,687			1,104,176
Reinsurance ceded receivables		585,555			602,373			620,901			623,954			626,734
Deferred policy acquisition costs		3,453,513			3,545,063			3,619,274			3,630,877			3,605,008
Other assets		472,258			576,660			390,757			540,879			361,627

Total assets	$	38,790,621		$	40,197,101		$	40,360,438		$	39,924,013		$	38,344,323


Liabilities and Stockholders’ Equity
Future policy benefits	$	11,491,692		$	11,355,882		$	11,372,856		$	11,093,483		$	10,725,096
Interest-sensitive contract liabilities		12,991,981			13,141,402			13,353,502			13,254,859			13,352,601
Other policy claims and benefits		3,316,727			3,243,948			3,160,250			3,132,526			3,026,467
Other reinsurance balances		254,815			250,606			233,630			218,057			249,336
Deferred income taxes		1,839,909			2,105,391			2,120,501			1,806,186			1,785,614
Other liabilities		584,488			877,405			742,249			1,217,788			890,687
Short-term debt		120,000			—			—			—			—
Long-term debt		1,815,533			1,815,392			1,815,253			1,815,111			1,414,969
Collateral finance facility		487,556			491,987			652,010			651,968			651,936

Total liabilities		32,902,701			33,282,013			33,450,251			33,189,978			32,096,706

Stockholders’ Equity:
Common stock, at par value		791			791			791			791			791
Additional paid-in-capital		1,772,811			1,765,255			1,755,421			1,743,822			1,740,415
Retained earnings		3,428,646			3,521,492			3,357,255			3,154,317			3,033,505
Treasury stock		(496,462	)		(349,190	)		(312,182	)		(316,542	)		(326,292	)

Accumulated other comprehensive income (AOCI):
Accumulated currency translation adjustment, net of income taxes		164,538			253,370			267,477			273,258			237,010
Unrealized appreciation of securities, net of income taxes		1,052,126			1,758,775			1,877,655			1,907,512			1,591,647
Pension and postretirement benefits, net of income taxes		(34,530	)		(35,405	)		(36,230	)		(29,123	)		(29,459	)

Total stockholders’ equity		5,887,920			6,915,088			6,910,187			6,734,035			6,247,617

Total liabilities and stockholders’ equity	$	38,790,621		$	40,197,101		$	40,360,438		$	39,924,013		$	38,344,323


Total stockholders’ equity, excluding AOCI	$	4,705,786		$	4,938,348		$	4,801,285		$	4,582,388		$	4,448,419


				Page 5

Reinsurance Group of America, Incorporated

U.S. Traditional Sub-segment Pre-tax Operating Income


	Three Months Ended															Current Qtr vs. PY Quarter			Year-to-Date
(USD thousands)	June 30, 2013			March 31, 2013			Dec. 31, 2012			Sept. 30, 2012			June 30, 2012			Current Qtr vs. PY Quarter			June 30, 2013			June 30, 2012			Change

Revenues:
Net premiums	$	1,124,292		$	1,046,049		$	1,159,106		$	1,045,767		$	1,082,400		$	41,892		$	2,170,341		$	2,103,907		$	66,434
Investment income, net of related expenses		133,259			132,289			133,988			135,532			133,652			(393	)		265,548			266,069			(521	)
Other revenue		1,144			529			2,448			764			401			743			1,673			1,404			269

Total revenues		1,258,695			1,178,867			1,295,542			1,182,063			1,216,453			42,242			2,437,562			2,371,380			66,182

Benefits and expenses:
Claims and other policy benefits		972,739			929,680			973,185			917,264			934,807			37,932			1,902,419			1,842,268			60,151
Interest credited		13,590			16,150			11,421			14,637			14,555			(965	)		29,740			29,609			131
Policy acquisition costs and other insurance expenses		164,393			139,968			145,437			156,995			150,958			13,435			304,361			296,443			7,918
Other operating expenses		22,226			23,521			25,890			20,684			20,586			1,640			45,747			44,587			1,160

Total benefits and expenses		1,172,948			1,109,319			1,155,933			1,109,580			1,120,906			52,042			2,282,267			2,212,907			69,360

Operating income before income taxes		85,747			69,548			139,609			72,483			95,547			(9,800	)		155,295			158,473			(3,178	)


Operating to U.S. GAAP Reconciliation:
Operating income before income taxes		85,747			69,548			139,609			72,483			95,547			(9,800	)		155,295			158,473			(3,178	)
Investment and derivative (losses) gains - non-operating		3,700			7,297			11,752			(1,927	)		789			2,911			10,997			(12,295	)		23,292

Income before income taxes	$	89,447		$	76,845		$	151,361		$	70,556		$	96,336		$	(6,889	)	$	166,292		$	146,178		$	20,114


Loss and Expense Ratios:
Claims and other policy benefits		86.5	%		88.9	%		84.0	%		87.7	%		86.4	%		0.1	%		87.7	%		87.6	%		0.1	%
Policy acquisition costs and other insurance expenses		14.6	%		13.4	%		12.5	%		15.0	%		13.9	%		0.7	%		14.0	%		14.1	%		-0.1	%
Other operating expenses		2.0	%		2.2	%		2.2	%		2.0	%		1.9	%		0.1	%		2.1	%		2.1	%		0.0	%


				Page 6

Reinsurance Group of America, Incorporated

U.S. Asset Intensive Sub-segment Pre-tax Operating Income


	Three Months Ended															Current Qtr			Year-to-Date
(USD thousands)	June 30, 2013			March 31, 2013			Dec. 31, 2012			Sept. 30, 2012			June 30, 2012			vs. PY Quarter			June 30, 2013			June 30, 2012			Change

Revenues:
Net premiums	$	11,129		$	3,838		$	3,521		$	3,623		$	3,355		$	7,774		$	14,967		$	6,951		$	8,016
Investment income, net of related expenses		190,296			178,719			127,812			154,789			90,527			99,769			369,015			202,028			166,987
Investment related gains (losses), net		—			—			—			—			(18	)		18			—			(48	)		48
Other revenue		29,937			28,881			30,893			31,976			29,254			683			58,818			49,147			9,671

Total revenues		231,362			211,438			162,226			190,388			123,118			108,244			442,800			258,078			184,722

Benefits and expenses:
Claims and other policy benefits		11,083			3,588			2,892			2,828			5,102			5,981			14,671			7,004			7,667
Interest credited		136,424			128,096			74,992			115,645			53,611			82,813			264,520			87,122			177,398
Policy acquisition costs and other insurance expenses		40,747			30,045			39,527			42,200			44,955			(4,208	)		70,792			116,959			(46,167	)
Other operating expenses		2,878			4,113			3,977			2,596			2,807			71			6,991			5,869			1,122

Total benefits and expenses		191,132			165,842			121,388			163,269			106,475			84,657			356,974			216,954			140,020

Operating income before income taxes		40,230			45,596			40,838			27,119			16,643			23,587			85,826			41,124			44,702


Operating to U.S. GAAP Reconciliation:
Operating income before income taxes		40,230			45,596			40,838			27,119			16,643			23,587			85,826			41,124			44,702
Investment and derivative gains (losses) - non-operating (1)		(39,071	)		(52,932	)		(13,667	)		2,039			92,008			(131,079	)		(92,003	)		(4,347	)		(87,656	)
Change in value of modified coinsurance and funds withheld embedded derivatives (1)		46,325			90,202			76,778			54,257			(4,593	)		50,918			136,527			(13,980	)		150,507
GMXB embedded derivatives (1)		35,809			51,314			30,588			2,579			(74,929	)		110,738			87,123			71,446			15,677
Funds withheld gains (losses) - investment income		10,541			650			3,944			5,652			5,430			5,111			11,191			3,206			7,985
Funds withheld gains (losses) - policy acq. costs		—			—			(55	)		(122	)		(152	)		152			—			(361	)		361
EIA embedded derivatives - interest credited		32,161			19,311			(7,711	)		167			1,685			30,476			51,472			(37,554	)		89,026
DAC offset, net		(56,786	)		(64,618	)		(44,308	)		(13,705	)		(1,490	)		(55,296	)		(121,404	)		11,658			(133,062	)

Income before income taxes	$	69,209		$	89,523		$	86,407		$	77,986		$	34,602		$	34,607		$	158,732		$	71,192		$	87,540

(1)

Included in “Investment related gains (losses), net” on Consolidated GAAP Income Statement


				Page 7

Reinsurance Group of America, Incorporated

U.S. Asset Intensive Sub-segment

(Cont’d)


	Three Months Ended
(USD millions)	June 30, 2013			March 31, 2013			Dec. 31, 2012			Sept. 30, 2012			June 30, 2012

Annuity account values:

Fixed annuities (deferred)	$	5,264		$	5,357		$	5,690		$	5,815		$	5,942

Net interest spread (fixed annuities):		2.3	%		2.2	%		2.2	%		1.1	%		1.0	%

Equity-indexed annuities	$	4,795		$	4,809		$	4,833		$	4,882		$	4,867

Variable annuities:
No riders	$	946		$	960		$	948		$	957		$	944
GMDB only		56			80			79			80			79
GMIB only		6			6			6			6			6
GMAB only		52			54			54			55			54
GMWB only		1,660			1,707			1,662			1,667			1,620
GMDB / WB		450			465			455			461			451
Other		30			32			31			31			30

Total VA account values	$	3,200		$	3,304		$	3,235		$	3,257		$	3,184

Fair value of liabilities associated with living benefit riders	$	85		$	121		$	172		$	203		$	205

Interest-sensitive contract liabilities associated with:

Guaranteed investment contracts	$	200		$	200		$	200		$	200		$	200

Bank-owned life insurance (BOLI)	$	529		$	525		$	522		$	519		$	515

Other asset-intensive business	$	73		$	75		$	75		$	76		$	77


				Page 8

Reinsurance Group of America, Incorporated

U.S. Financial Reinsurance Sub-segment Pre-tax Operating Income


	Three Months Ended												Current Qtr			Year-to-Date
(USD thousands)	June 30, 2013			March 31, 2013		Dec. 31, 2012		Sept. 30, 2012			June 30, 2012		vs. PY Quarter			June 30, 2013			June 30, 2012			Change

Revenues:
Investment income, net of related expenses	$	819		$	597	$	361	$	364		$	179	$	640		$	1,416		$	343		$	1,073
Other revenue		16,306			12,797		13,796		11,565			11,734		4,572			29,103			20,644			8,459

Total revenues		17,125			13,394		14,157		11,929			11,913		5,212			30,519			20,987			9,532

Benefits and expenses:
Policy acquisition costs and other insurance expenses		3,602			3,440		1,081		2,012			704		2,898			7,042			1,474			5,568
Other operating expenses		1,636			1,947		4,555		1,635			1,593		43			3,583			3,445			138

Total benefits and expenses		5,238			5,387		5,636		3,647			2,297		2,941			10,625			4,919			5,706

Operating income before income taxes		11,887			8,007		8,521		8,282			9,616		2,271			19,894			16,068			3,826


Operating to U.S. GAAP Reconciliation:
Operating income before income taxes		11,887			8,007		8,521		8,282			9,616		2,271			19,894			16,068			3,826
Investment and derivative gains (losses) - non-operating		(100	)		34		112		(146	)		32		(132	)		(66	)		(107	)		41

Income before income taxes	$	11,787		$	8,041	$	8,633	$	8,136		$	9,648	$	2,139		$	19,828		$	15,961		$	3,867


				Page 9

Reinsurance Group of America, Incorporated

Canadian Segment Pre-tax Operating Income


	Three Months Ended															Current Qtr			Year-to-Date
(USD thousands)	June 30, 2013			March 31, 2013			Dec. 31, 2012			Sept. 30, 2012			June 30, 2012			vs. PY Quarter			June 30, 2013			June 30, 2012			Change

Revenues:
Net premiums	$	239,633		$	243,271		$	248,443		$	227,944		$	221,167		$	18,466		$	482,904		$	439,377		$	43,527
Investment income, net of related expenses		50,450			49,174			45,928			46,016			46,349			4,101			99,624			94,065			5,559
Investment related gains (losses), net		970			1,005			1,041			1,003			995			(25	)		1,975			2,318			(343	)
Other revenue		302			208			41			3,288			3,205			(2,903	)		510			3,175			(2,665	)

Total revenues		291,355			293,658			295,453			278,251			271,716			19,639			585,013			538,935			46,078

Benefits and expenses:
Claims and other policy benefits		196,584			189,698			169,959			191,275			184,857			11,727			386,282			345,482			40,800
Interest credited		6			12			6			22			—			6			18			—			18
Policy acquisition costs and other insurance expenses		52,134			60,832			58,786			49,790			47,476			4,658			112,966			97,761			15,205
Other operating expenses		10,942			10,239			12,664			9,022			8,876			2,066			21,181			18,526			2,655

Total benefits and expenses		259,666			260,781			241,415			250,109			241,209			18,457			520,447			461,769			58,678

Operating income before income taxes		31,689			32,877			54,038			28,142			30,507			1,182			64,566			77,166			(12,600	)


Operating to U.S. GAAP Reconciliation:
Operating income before income taxes		31,689			32,877			54,038			28,142			30,507			1,182			64,566			77,166			(12,600	)
Investment and derivative gains (losses) - non-operating		2,778			2,050			2,817			8,630			4,630			(1,852	)		4,828			11,850			(7,022	)
Funds withheld gains (losses) - investment income		1,192			1,381			2,503			748			(107	)		1,299			2,573			1,077			1,496

Income before income taxes	$	35,659		$	36,308		$	59,358		$	37,520		$	35,030		$	629		$	71,967		$	90,093		$	(18,126	)


Loss and Expense Ratios:
Loss ratios (creditor business)		33.0	%		32.7	%		6.1	%		40.4	%		38.0	%		-5.0	%		32.8	%		36.1	%		-3.3	%
Loss ratios (excluding creditor business)		94.5	%		93.2	%		87.5	%		96.8	%		95.5	%		-1.0	%		93.9	%		89.7	%		4.2	%
Claims and other policy benefits / (net premiums + investment income)		67.8	%		64.9	%		57.7	%		69.8	%		69.1	%		-1.3	%		66.3	%		64.8	%		1.5	%
Policy acquisition costs and other insurance expenses (creditor business)		59.0	%		61.0	%		60.0	%		58.2	%		58.5	%		0.5	%		60.1	%		57.8	%		2.3	%
Policy acquisition costs and other insurance expenses (excluding creditor business)		12.3	%		12.9	%		12.5	%		11.1	%		11.8	%		0.5	%		12.6	%		13.0	%		-0.4	%
Other operating expenses		4.6	%		4.2	%		5.1	%		4.0	%		4.0	%		0.6	%		4.4	%		4.2	%		0.2	%

Foreign currency effect *(1)*:
Net premiums	$	(3,144	)	$	(1,562	)	$	7,617		$	(3,413	)	$	(9,838	)	$	6,694		$	(4,706	)	$	(13,166	)	$	8,460
Operating income before income taxes	$	(434	)	$	(521	)	$	1,785		$	919		$	(2,905	)	$	2,471		$	(955	)	$	(3,459	)	$	2,504

Creditor reinsurance net premiums	$	48,618		$	61,114		$	58,340		$	52,038		$	45,883		$	2,735		$	109,732		$	90,693		$	19,039

Note: The loss ratios on creditor reinsurance business are normally lower than traditional reinsurance, while allowances are normally higher as a percentage of premiums.

(1)

Compared to comparable prior year period


				Page 10

Reinsurance Group of America, Incorporated

Europe & South Africa Segment Pre-tax Operating Income


	Three Months Ended															Current Qtr			Year-to-Date
(USD thousands)	June 30, 2013			March 31, 2013			Dec. 31, 2012			Sept. 30, 2012			June 30, 2012			vs. PY Quarter			June 30, 2013			June 30, 2012			Change

Revenues:
Net premiums	$	319,375		$	323,908		$	402,515		$	303,101		$	310,075		$	9,300		$	643,283		$	602,846		$	40,437
Investment income, net of related expenses		14,457			12,224			11,560			11,437			11,248			3,209			26,681			22,579			4,102
Other revenue		4,608			1,287			1,386			1,576			1,464			3,144			5,895			3,717			2,178

Total revenues		338,440			337,419			415,461			316,114			322,787			15,653			675,859			629,142			46,717

Benefits and expenses:
Claims and other policy benefits		283,230			283,915			357,190			251,553			263,992			19,238			567,145			525,476			41,669
Policy acquisition costs and other insurance expenses		11,753			11,734			7,937			14,697			13,550			(1,797	)		23,487			28,602			(5,115	)
Other operating expenses		28,109			26,195			36,075			24,809			26,810			1,299			54,304			52,005			2,299

Total benefits and expenses		323,092			321,844			401,202			291,059			304,352			18,740			644,936			606,083			38,853

Operating income before income taxes		15,348			15,575			14,259			25,055			18,435			(3,087	)		30,923			23,059			7,864


Operating to U.S. GAAP Reconciliation:
Operating income before income taxes		15,348			15,575			14,259			25,055			18,435			(3,087	)		30,923			23,059			7,864
Investment and derivative gains (losses) - non-operating		470			1,810			1,325			7,111			1,156			(686	)		2,280			3,138			(858	)

Income before income taxes	$	15,818		$	17,385		$	15,584		$	32,166		$	19,591		$	(3,773	)	$	33,203		$	26,197		$	7,006


Loss and Expense Ratios:
Claims and other policy benefits		88.7	%		87.7	%		88.7	%		83.0	%		85.1	%		3.6	%		88.2	%		87.2	%		1.0	%
Policy acquisition costs and other insurance expenses		3.7	%		3.6	%		2.0	%		4.8	%		4.4	%		-0.7	%		3.7	%		4.7	%		-1.0	%
Other operating expenses		8.8	%		8.1	%		9.0	%		8.2	%		8.6	%		0.2	%		8.4	%		8.6	%		-0.2	%

Foreign currency effect *(1)*:
Net premiums	$	(9,962	)	$	(9,915	)	$	(129	)	$	(17,157	)	$	(22,973	)	$	13,011		$	(19,877	)	$	(34,335	)	$	14,458
Operating income before income taxes	$	(959	)	$	(642	)	$	(305	)	$	(2,989	)	$	(1,013	)	$	54		$	(1,601	)	$	(2,430	)	$	829

Critical illness net premiums	$	63,918		$	63,639		$	66,211		$	58,793		$	62,001		$	1,139		$	127,557		$	123,549		$	3,230

(1)

Compared to comparable prior year period


				Page 11

Reinsurance Group of America, Incorporated

Asia Pacific Segment Pre-tax Operating Income


	Three Months Ended															Current Qtr			Year-to-Date
(USD thousands)	June 30, 2013			March 31, 2013			Dec. 31, 2012			Sept. 30, 2012			June 30, 2012			vs. PY Quarter			June 30, 2013			June 30, 2012			Change

Revenues:
Net premiums	$	340,466		$	363,604		$	362,620		$	330,415		$	331,945		$	8,521		$	704,070		$	657,295		$	46,775
Investment income, net of related expenses		21,402			22,081			20,782			19,316			20,711			691			43,483			43,289			194
Investment related gains (losses), net		570			382			1,460			468			(164	)		734			952			(973	)		1,925
Other revenue		10,461			7,749			11,269			10,052			24,109			(13,648	)		18,210			31,517			(13,307	)

Total revenues		372,899			393,816			396,131			360,251			376,601			(3,702	)		766,715			731,128			35,587

Benefits and expenses:
Claims and other policy benefits		567,050			281,945			294,564			299,782			236,733			330,317			848,995			485,353			363,642
Interest Credited		274			311			653			204			216			58			585			454			131
Policy acquisition costs and other insurance expenses		60,163			62,063			58,419			52,779			89,996			(29,833	)		122,226			140,843			(18,617	)
Other operating expenses		31,134			30,132			34,040			28,234			26,929			4,205			61,266			54,842			6,424

Total benefits and expenses		658,621			374,451			387,676			380,999			353,874			304,747			1,033,072			681,492			351,580

Operating income (loss) before income taxes		(285,722	)		19,365			8,455			(20,748	)		22,727			(308,449	)		(266,357	)		49,636			(315,993	)


Operating to U.S. GAAP Reconciliation:
Operating income before income taxes		(285,722	)		19,365			8,455			(20,748	)		22,727			(308,449	)		(266,357	)		49,636			(315,993	)
Investment and derivative gains (losses) - non-operating		(4,726	)		(4,847	)		(2,520	)		4,265			1,132			(5,858	)		(9,573	)		6,290			(15,863	)

Income (loss) before income taxes	$	(290,448	)	$	14,518		$	5,935		$	(16,483	)	$	23,859		$	(314,307	)	$	(275,930	)	$	55,926		$	(331,856	)


Loss and Expense Ratios:
Claims and other policy benefits		166.6	%		77.5	%		81.2	%		90.7	%		71.3	%		95.3	%		120.6	%		73.8	%		46.8	%
Policy acquisition costs and other insurance expenses		17.7	%		17.1	%		16.1	%		16.0	%		27.1	%		-9.4	%		17.4	%		21.4	%		-4.0	%
Other operating expenses		9.1	%		8.3	%		9.4	%		8.5	%		8.1	%		1.0	%		8.7	%		8.3	%		0.4	%

Foreign currency effect *(1)*:
Net premiums	$	(8,067	)	$	(8,122	)	$	6,609		$	(5,401	)	$	(12,998	)	$	4,931		$	(16,189	)	$	(3,242	)	$	(12,947	)
Operating income before income taxes	$	15,112		$	(1,775	)	$	(508	)	$	(1,280	)	$	(614	)	$	15,726		$	13,337		$	915		$	12,422

Critical illness net premiums	$	51,249		$	54,508		$	68,963		$	68,356		$	46,700		$	4,549		$	105,757		$	87,033		$	18,724

(1)

Compared to comparable prior year period


				Page 12

Reinsurance Group of America, Incorporated

Corporate and Other Segment Pre-tax Operating Income


	Three Months Ended															Current Qtr			Year-to-Date
(USD thousands)	June 30, 2013			March 31, 2013			Dec. 31, 2012			Sept. 30, 2012			June 30, 2012			vs. PY Quarter			June 30, 2013			June 30, 2012			Change

Revenues:
Net premiums	$	261		$	(977	)	$	3,502		$	1,896		$	1,719		$	(1,458	)	$	(716	)	$	3,767		$	(4,483	)
Investment income, net of related expenses		21,818			28,016			23,273			22,927			20,345			1,473			49,834			36,618			13,216
Investment related gains (losses), net		235			254			215			227			186			49			489			373			116
Other revenue		251			3,950			2,649			4,280			2,790			(2,539	)		4,201			8,386			(4,185	)

Total revenues		22,565			31,243			29,639			29,330			25,040			(2,475	)		53,808			49,144			4,664

Benefits and expenses:
Claims and other policy benefits		(112	)		84			(11	)		(77	)		(45	)		(67	)		(28	)		12			(40	)
Interest credited		212			225			52			—			—			212			437			—			437
Policy acquisition costs and other insurance expenses		(19,073	)		(15,343	)		(10,759	)		(14,194	)		(13,342	)		(5,731	)		(34,416	)		(27,212	)		(7,204	)
Other operating expenses		16,483			23,354			15,133			16,806			17,940			(1,457	)		39,837			36,365			3,472
Interest expense		29,918			28,486			28,917			29,749			23,360			6,558			58,404			46,682			11,722
Collateral finance facility expense		2,650			2,538			3,357			2,995			2,878			(228	)		5,188			5,845			(657	)

Total benefits and expenses		30,078			39,344			36,689			35,279			30,791			(713	)		69,422			61,692			7,730

Operating income (loss) before income taxes		(7,513	)		(8,101	)		(7,050	)		(5,949	)		(5,751	)		(1,762	)		(15,614	)		(12,548	)		(3,066	)


Operating to U.S. GAAP Reconciliation:
Operating income (loss) before income taxes		(7,513	)		(8,101	)		(7,050	)		(5,949	)		(5,751	)		(1,762	)		(15,614	)		(12,548	)		(3,066	)
Investment and derivative gains (losses) - non-operating		1,283			(2,198	)		861			(2,453	)		2,577			(1,294	)		(915	)		3,656			(4,571	)
Gain on repurchase of collateral finance facility securities		—			46,506			—			—			—			—			46,506			—			46,506

Income (loss) before income taxes	$	(6,230	)	$	36,207		$	(6,189	)	$	(8,402	)	$	(3,174	)	$	(3,056	)	$	29,977		$	(8,892	)	$	38,869


Foreign currency effect *(1)*:
Net premiums	$	—		$	—		$	8		$	(1	)	$	9		$	(9	)	$	—		$	19		$	(19	)
Operating income before income taxes	$	(95	)	$	140		$	827		$	(815	)	$	1,061		$	(1,156	)	$	45		$	1,116		$	(1,071	)

(1)

Compared to comparable prior year period


				Page 13

Reinsurance Group of America, Incorporated

Summary of Pre-tax Segment Operating Income (Loss)


	Three Months Ended															Current Qtr			Year-to-Date
(USD thousands)	June 30, 2013			March 31, 2013			Dec. 31, 2012			Sept. 30, 2012			June 30, 2012			vs. PY Quarter			June 30, 2013			June 30, 2012			Change

U.S. Traditional	$	85,747		$	69,548		$	139,609		$	72,483		$	95,547		$	(9,800	)	$	155,295		$	158,473		$	(3,178	)
U.S. Asset Intensive		40,230			45,596			40,838			27,119			16,643			23,587			85,826			41,124			44,702
U.S. Financial Reinsurance		11,887			8,007			8,521			8,282			9,616			2,271			19,894			16,068			3,826

Total U.S. Segment		137,864			123,151			188,968			107,884			121,806			16,058			261,015			215,665			45,350
Canadian Segment		31,689			32,877			54,038			28,142			30,507			1,182			64,566			77,166			(12,600	)
Europe & South Africa Segment		15,348			15,575			14,259			25,055			18,435			(3,087	)		30,923			23,059			7,864
Asia Pacific Segment		(285,722	)		19,365			8,455			(20,748	)		22,727			(308,449	)		(266,357	)		49,636			(315,993	)
Corporate and Other		(7,513	)		(8,101	)		(7,050	)		(5,949	)		(5,751	)		(1,762	)		(15,614	)		(12,548	)		(3,066	)

Consolidated	$	(108,334	)	$	182,867		$	258,670		$	134,384		$	187,724		$	(296,058	)	$	74,533		$	352,978		$	(278,445	)


				Page 14

Reinsurance Group of America, Incorporated

Investments

(USD thousands)


Cash and Invested Assets
	June 30, 2013		March 31, 2013		Dec. 31, 2012		Sept. 30, 2012		June 30, 2012

Fixed maturity securities, available-for-sale	$	21,284,216	$	22,401,659	$	22,291,614	$	21,658,414	$	17,244,192
Mortgage loans on real estate		2,377,246		2,325,191		2,300,587		2,256,881		1,157,049
Policy loans		1,245,252		1,245,812		1,278,175		1,243,498		1,250,238
Funds withheld at interest		5,777,395		5,698,594		5,594,182		5,608,640		5,457,888
Short-term investments		38,601		180,707		288,082		90,789		49,981
Investment Receivable		—		—		—		—		5,406,898
Other invested assets		1,035,809		1,129,651		1,159,543		1,236,616		940,605
Cash and cash equivalents		973,619		1,001,841		1,259,892		1,603,730		957,341

Total cash and invested assets	$	32,732,138	$	33,983,455	$	34,172,075	$	33,698,568	$	32,464,192

Investment Income and Yield Summary


	Three Months Ended															Current Qtr			Year-to-Date
	June 30, 2013			March 31, 2013			Dec. 31, 2012			Sept. 30, 2012			June 30, 2012			vs. PY Quarter			June 30, 2013			June 30, 2012			Change

Average invested assets at amortized cost (1)	$	18,112,841		$	17,992,152		$	17,510,541		$	17,030,794		$	16,539,380		$	1,573,461		$	17,946,154		$	16,339,042		$	1,607,112
Net investment income (1)	$	212,047		$	213,322		$	207,567		$	208,346		$	205,471		$	6,576		$	425,369		$	408,074		$	17,295
Annualized investment yield (ratio of net investment income to average invested assets) (1)		4.77	%		4.83	%		4.83	%		4.98	%		5.06	%		-0.29	%		4.80	%		5.06	%		-0.26	%

(1)

Excludes funds withheld and other spread related business (e.g. coinsurance of annuities).


				Page 15

Reinsurance Group of America, Incorporated

Investments

(USD thousands)

Amortized cost, gross unrealized gains and losses, and estimated fair values of fixed maturity and equity securities

(Excludes Funds Withheld Portfolios)


June 30, 2013
	Amortized Cost		Unrealized Gains		Unrealized Losses		Estimated Fair Value		% of Total			Other-than- temporary Impairment in AOCI
Available-for-sale:
Corporate securities	$	11,346,144	$	648,955	$	191,618	$	11,803,481		55.4	%	$	—
Canadian and Canadian provincial governments		2,633,388		901,567		9,162		3,525,793		16.6	%		—
Residential mortgage-backed securities		1,015,155		53,581		13,768		1,054,968		5.0	%		(241	)
Asset-backed securities		789,849		18,998		18,537		790,310		3.7	%		(2,259	)
Commercial mortgage-backed securities		1,564,924		110,294		36,586		1,638,632		7.7	%		(5,125	)
U.S. government and agencies		394,026		21,417		2,453		412,990		1.9	%		—
State and political subdivisions		278,148		25,513		11,850		291,811		1.4	%		—
Other foreign government, supranational, and foreign government-sponsored enterprises		1,735,687		51,165		20,621		1,766,231		8.3	%		—

Total fixed maturity securities	$	19,757,321	$	1,831,490	$	304,595	$	21,284,216		100.0	%	$	(7,625	)


Non-redeemable preferred stock		85,483		6,722		1,747		90,458		56.4	%
Other equity securities		74,273		—		4,392		69,881		43.6	%

Total equity securities	$	159,756	$	6,722	$	6,139	$	160,339		100.0	%


December 31, 2012
	Amortized Cost		Unrealized Gains		Unrealized Losses		Estimated Fair Value		% of Total			Other-than- temporary Impairment in AOCI
Available-for-sale:
Corporate securities	$	11,333,431	$	1,085,973	$	39,333	$	12,380,071		55.5	%	$	—
Canadian and Canadian provincial governments		2,676,777		1,372,731		174		4,049,334		18.2	%		—
Residential mortgage-backed securities		969,267		76,520		3,723		1,042,064		4.7	%		(241	)
Asset-backed securities		700,455		19,898		28,798		691,555		3.1	%		(2,259	)
Commercial mortgage-backed securities		1,608,376		142,369		51,842		1,698,903		7.6	%		(6,125	)
U.S. government and agencies		231,256		33,958		24		265,190		1.2	%		—
State and political subdivisions		270,086		38,058		5,646		302,498		1.4	%		—
Other foreign government, supranational, and foreign government-sponsored enterprises		1,769,784		94,929		2,714		1,861,999		8.3	%		—

Total fixed maturity securities	$	19,559,432	$	2,864,436	$	132,254	$	22,291,614		100.0	%	$	(8,625	)


Non-redeemable preferred stock		68,469		6,542		170		74,841		33.6	%
Other equity securities		148,577		416		1,134		147,859		66.4	%

Total equity securities	$	217,046	$	6,958	$	1,304	$	222,700		100.0	%


				Page 16

Reinsurance Group of America, Incorporated

Investments

(USD thousands)

Corporate Securities by Sector (Fixed Maturities and Equities)

(Excludes Funds Withheld Portfolios)


	June 30, 2013								December 31, 2012
	Amortized Cost		Estimated Fair Value		% of Total			Average Credit Ratings (1)	Amortized Cost		Estimated Fair Value		% of Total			Average Credit Ratings (1)

Financial Institutions
Banking	$	2,078,115	$	2,144,345		17.9	%	A	$	2,114,425	$	2,260,382		17.9	%	A
Brokerage		134,869		141,094		1.2	%	A-		120,139		131,664		1.0	%	A-
Finance Comp.		171,929		177,688		1.5	%	A		181,430		193,892		1.5	%	A
Insurance		672,096		705,314		5.9	%	A-		592,109		654,647		5.2	%	A-
REITs		461,575		480,223		4.0	%	BBB+		485,469		523,370		4.2	%	BBB
Other Finance		263,929		269,989		2.3	%	BBB+		342,929		358,897		2.9	%	BBB+

Total Financial Institutions	$	3,782,513	$	3,918,653		32.8	%		$	3,836,501	$	4,122,852		32.7	%
Industrials
Basic		844,867		851,219		7.1	%	BBB		803,353		861,547		6.8	%	BBB
Capital Goods		609,707		635,162		5.3	%	BBB		637,479		692,218		5.5	%	BBB
Communications		1,084,075		1,137,312		9.5	%	BBB+		1,044,374		1,169,000		9.3	%	BBB+
Consumer Cyclical		736,417		759,491		6.4	%	BBB		727,324		786,726		6.2	%	BBB+
Consumer Noncyclical		1,022,994		1,074,949		9.0	%	BBB+		969,589		1,084,295		8.6	%	BBB+
Energy		663,832		698,761		5.8	%	BBB+		728,354		807,087		6.4	%	BBB+
Technology		450,054		453,989		3.8	%	BBB		475,697		502,123		4.0	%	BBB
Transportation		384,682		403,497		3.4	%	BBB+		378,808		415,283		3.3	%	BBB+
Other Industrial		117,423		123,854		1.0	%	BBB		116,989		125,567		1.0	%	BBB

Total Industrials	$	5,914,051	$	6,138,234		51.3	%		$	5,881,967	$	6,443,846		51.1	%
Utilities
Electric		1,072,973		1,129,102		9.4	%	BBB+		1,081,451		1,196,527		9.5	%	BBB+
Natural Gas		658,121		692,902		5.8	%	BBB		656,357		733,422		5.8	%	BBB
Other Utility		50,966		57,606		0.5	%	A		61,850		72,662		0.6	%	A-

Total Utilities	$	1,782,060	$	1,879,610		15.7	%		$	1,799,658	$	2,002,611		15.9	%
Other Sectors		27,276		27,323		0.2	%	AA		32,351		33,462		0.3	%	AA

Total	$	11,505,900	$	11,963,820		100.0	%	BBB+	$	11,550,477	$	12,602,771		100.0	%	BBB+


				Page 17

Reinsurance Group of America, Incorporated

Investments

(USD thousands)

Ratings of Fixed Maturity Securities

(Excludes Funds Withheld Portfolios)


		June 30, 2013							March 31, 2013							December 31, 2012							September 30, 2012							June 30, 2012
NAIC Designation	Rating Agency Designation (1)	Amortized Cost		Estimated Fair Value		% of Total			Amortized Cost		Estimated Fair Value		% of Total			Amortized Cost		Estimated Fair Value		% of Total			Amortized Cost		Estimated Fair Value		% of Total			Amortized Cost		Estimated Fair Value		% of Total

1	AAA	$	1,739,749	$	1,802,645		8.5	%	$	1,784,693	$	1,891,675		8.4	%	$	1,857,190	$	1,980,164		8.9	%	$	2,222,818	$	2,364,081		10.9	%	$	1,979,353	$	2,092,043		12.1	%
1	AA		5,457,184		6,223,632		29.2	%		5,408,086		6,565,513		29.3	%		5,286,082		6,541,670		29.4	%		5,265,613		6,572,815		30.4	%		4,578,944		5,708,472		33.1	%
1	A		5,110,947		5,617,495		26.4	%		5,140,174		5,962,302		26.6	%		4,915,882		5,778,737		25.9	%		4,666,113		5,525,476		25.5	%		3,919,020		4,705,816		27.3	%
2	BBB		5,997,232		6,189,030		29.1	%		6,058,221		6,524,007		29.1	%		6,186,536		6,692,929		30.0	%		5,716,281		6,185,558		28.6	%		3,667,640		3,974,486		23.1	%
3	BB		723,316		728,014		3.4	%		731,136		757,948		3.4	%		694,349		712,712		3.2	%		583,622		608,439		2.8	%		421,128		428,875		2.5	%
4	B		519,789		530,990		2.5	%		497,504		507,879		2.3	%		444,996		444,035		2.0	%		322,040		306,871		1.4	%		269,970		248,850		1.4	%
5	CCC and lower		90,970		84,157		0.4	%		98,290		79,039		0.4	%		118,738		95,906		0.4	%		92,149		68,193		0.3	%		89,665		64,812		0.4	%
6	In or near default		118,134		108,253		0.5	%		120,845		113,296		0.5	%		55,659		45,461		0.2	%		36,647		26,981		0.1	%		31,445		20,838		0.1	%

	Total	$	19,757,321	$	21,284,216		100.0	%	$	19,838,949	$	22,401,659		100.0	%	$	19,559,432	$	22,291,614		100.0	%	$	18,905,283	$	21,658,414		100.0	%	$	14,957,165	$	17,244,192		100.0	%

(1)

The Rating Agency Designation includes all “+” or “-” at that rating level (e. g. ‘BBB’ includes ‘BBB+’, ‘BBB’, and ‘BBB-’).

Structured Fixed Maturity Securities


	June 30, 2013				March 31, 2013				December 31, 2012				September 30, 2012				June 30, 2012
	Amortized Cost		Estimated Fair Value		Amortized Cost		Estimated Fair Value		Amortized Cost		Estimated Fair Value		Amortized Cost		Estimated Fair Value		Amortized Cost		Estimated Fair Value

Residential mortgage-backed securities:
Agency	$	546,603	$	579,317	$	520,081	$	575,274	$	497,918	$	555,535	$	511,887	$	571,894	$	511,985	$	571,821
Non-agency		468,552		475,651		485,151		501,496		471,349		486,529		468,768		483,914		495,808		506,741

Total residential mortgage-backed securities		1,015,155		1,054,968		1,005,232		1,076,770		969,267		1,042,064		980,655		1,055,808		1,007,793		1,078,562
Commercial mortgage-backed securities		1,564,924		1,638,632		1,596,659		1,698,144		1,608,376		1,698,903		1,663,493		1,740,391		1,308,668		1,348,047
Asset-backed securities		789,849		790,310		752,280		756,544		700,455		691,555		588,851		572,700		469,616		441,051

Total	$	3,369,928	$	3,483,910	$	3,354,171	$	3,531,458	$	3,278,098	$	3,432,522	$	3,232,999	$	3,368,899	$	2,786,077	$	2,867,660


				Page 18

Reinsurance Group of America, Incorporated

Investments

(USD thousands)

CMBS Exposure

(Includes Funds Withheld Portfolios)


	June 30, 2013
	AAA				AA				A
Underwriting Year	Amortized Cost		Estimated Fair Value		Amortized Cost		Estimated Fair Value		Amortized Cost		Estimated Fair Value

2006 & Prior	$	294,583	$	317,295	$	175,038	$	188,762	$	181,070	$	190,519
2007		161,197		173,999		32,862		36,525		67,277		73,370
2008		—		—		53,660		64,675		18,061		20,058
2009		1,653		1,784		7,139		7,832		3,490		5,455
2010		27,995		29,350		47,168		50,095		19,146		20,535
2011		15,745		15,902		18,182		19,996		40,444		40,898
2012		32,265		31,054		34,672		34,662		58,193		56,413
2013		36,744		35,712		10,427		9,906		2,486		2,438

Total	$	570,182	$	605,096	$	379,148	$	412,453	$	390,167	$	409,686


	BBB				Below Investment Grade				Total
Underwriting Year	Amortized Cost		Estimated Fair Value		Amortized Cost		Estimated Fair Value		Amortized Cost		Estimated Fair Value

2006 & Prior		202,213		207,205		99,391		100,075		952,295		1,003,856
2007		93,813		106,225		108,771		104,126		463,920		494,245
2008		—		—		21,729		22,561		93,450		107,294
2009		4,002		5,332		—		—		16,284		20,403
2010		—		—		—		—		94,309		99,980
2011		33,146		31,483		—		—		107,517		108,279
2012		43,379		40,852		—		—		168,509		162,981
2013		—		—		—		—		49,657		48,056

Total	$	376,553	$	391,097	$	229,891	$	226,762	$	1,945,941	$	2,045,094

NOTE: Totals include directly held investments with amortized cost of $1,564.9 million and fair value of $1,638.6 million as well as investments in funds withheld with amortized cost of $381.0 million and fair value of $406.5 million.


	December 31, 2012
	AAA				AA				A
Underwriting Year	Amortized Cost		Estimated Fair Value		Amortized Cost		Estimated Fair Value		Amortized Cost		Estimated Fair Value

2006 & Prior	$	313,032	$	346,462	$	189,203	$	208,051	$	185,038	$	196,800
2007		182,456		201,131		32,810		37,542		69,266		77,657
2008		7,674		7,672		53,510		67,624		14,387		17,098
2009		1,655		1,820		17,399		19,483		3,463		5,599
2010		27,984		29,956		47,085		53,027		13,273		14,405
2011		15,748		16,411		16,069		18,184		40,546		42,726
2012		28,324		29,080		36,340		36,925		58,376		59,595

Total	$	576,873	$	632,532	$	392,416	$	440,836	$	384,349	$	413,880


	BBB				Below Investment Grade				Total
Underwriting Year	Amortized Cost		Estimated Fair Value		Amortized Cost		Estimated Fair Value		Amortized Cost		Estimated Fair Value

2006 & Prior		194,452		198,490		109,969		103,365		991,694		1,053,168
2007		93,414		108,902		115,028		91,505		492,974		516,737
2008		—		—		22,416		17,386		97,987		109,780
2009		3,880		5,547		—		—		26,397		32,449
2010		—		—		—		—		88,342		97,388
2011		33,242		33,757		—		—		105,605		111,078
2012		43,346		43,811		—		—		166,386		169,411

Total	$	368,334	$	390,507	$	247,413	$	212,256	$	1,969,385	$	2,090,011

NOTE: Totals include directly held investments with amortized cost of $1,608.4 million and fair value of $1,698.9 million as well as investments in funds withheld with amortized cost of $361.0 million and fair value of $391.1 million.


				Page 19

Reinsurance Group of America, Incorporated

Investments

(USD thousands)

Gross Unrealized Losses Aging


Fixed Maturity Securities

	June 30, 2013					March 31, 2013					December 31, 2012					September 30, 2012					June 30, 2012
	Gross Unrealized Losses		% of Total			Gross Unrealized Losses		% of Total			Gross Unrealized Losses		% of Total			Gross Unrealized Losses		% of Total			Gross Unrealized Losses		% of Total

Less than 20%	$	261,628		84.2	%	$	64,399		52.6	%	$	53,648		40.2	%	$	55,097		35.9	%	$	75,539		38.5	%

20% or more for less than six months		5,629		1.8	%		—		0.0	%		734		0.5	%		509		0.3	%		5,924		3.0	%

20% or more for six months or greater		37,338		12.0	%		56,296		45.9	%		77,872		58.3	%		97,260		63.3	%		112,362		57.2	%

Total	$	304,595		98.0	%	$	120,695		98.5	%	$	132,254		99.0	%	$	152,866		99.5	%	$	193,825		98.7	%


Equity Securities

	June 30, 2013					March 31, 2013					December 31, 2012					September 30, 2012					June 30, 2012
	Gross Unrealized Losses		% of Total			Gross Unrealized Losses		% of Total			Gross Unrealized Losses		% of Total			Gross Unrealized Losses		% of Total			Gross Unrealized Losses		% of Total

Less than 20%	$	6,137		2.0	%	$	1,836		1.5	%	$	1,303		1.0	%	$	833		0.5	%	$	1,659		0.9	%

20% or more for less than six months		—		0.0	%		—		0.0	%		—		0.0	%		—		0.0	%		815		0.4	%

20% or more for six months or greater		2		0.0	%		1		0.0	%		1		0.0	%		1		0.0	%		—		0.0	%

Total	$	6,139		2.0	%	$	1,837		1.5	%	$	1,304		1.0	%	$	834		0.5	%	$	2,474		1.3	%


				Page 20

Reinsurance Group of America, Incorporated

Investments

(USD thousands)

Fixed Maturities and Equity Securities Below Amortized Cost

(Excludes Funds Withheld Portfolios)


	As of June 30, 2013
	Less than 12 months				Equal to or greater than 12 months				Total
	Estimated Fair Value		Gross Unrealized Losses		Estimated Fair Value		Gross Unrealized Losses		Estimated Fair Value		Gross Unrealized Losses

Investment grade securities:
Corporate securities	$	3,229,715	$	161,032	$	89,098	$	12,531	$	3,318,813	$	173,563
Canadian and Canadian provincial governments		138,843		9,162		—		—		138,843		9,162
Residential mortgage-backed securities		210,336		9,553		14,822		2,643		225,158		12,196
Asset-backed securities		220,912		4,719		51,673		5,567		272,585		10,286
Commercial mortgage-backed securities		227,712		9,172		18,893		6,455		246,605		15,627
U.S. government and agencies		191,973		2,344		4,037		109		196,010		2,453
State and political subdivisions		97,877		6,351		11,402		5,499		109,279		11,850
Other foreign government, supranational, and foreign government-sponsored enterprises		657,957		19,787		5,698		721		663,655		20,508

Investment grade securities		4,975,325		222,120		195,623		33,525		5,170,948		255,645


Non-investment grade securities:
Corporate securities		366,159		11,452		40,425		6,603		406,584		18,055
Residential mortgage-backed securities		53,715		1,007		2,359		565		56,074		1,572
Asset-backed securities		25,233		376		30,434		7,875		55,667		8,251
Commercial mortgage-backed securities		19,324		198		43,879		20,761		63,203		20,959
State and political subdivisions		—		—		—		—		—		—
Other foreign government, supranational, and foreign government-sponsored enterprises		952		113		—		—		952		113

Non-investment grade securities		465,383		13,146		117,097		35,804		582,480		48,950

Total fixed maturity securities	$	5,440,708	$	235,266	$	312,720	$	69,329	$	5,753,428	$	304,595


Non-redeemable preferred stock		30,787		1,745		1		2		30,788		1,747
Other equity securities		69,881		4,392		—		—		69,881		4,392

Total Equity securities	$	100,668	$	6,137	$	1	$	2	$	100,669	$	6,139


	As of December 31, 2012
	Less than 12 months				Equal to or greater than 12 months				Total
	Estimated Fair Value		Gross Unrealized Losses		Estimated Fair Value		Gross Unrealized Losses		Estimated Fair Value		Gross Unrealized Losses

Investment grade securities:
Corporate securities	$	786,203	$	13,276	$	108,187	$	17,386	$	894,390	$	30,662
Canadian and Canadian provincial governments		12,349		174		—		—		12,349		174
Residential mortgage-backed securities		22,288		97		19,394		3,199		41,682		3,296
Asset-backed securities		59,119		449		96,179		9,508		155,298		9,957
Commercial mortgage-backed securities		89,507		797		29,181		7,974		118,688		8,771
U.S. government and agencies		7,272		24		—		—		7,272		24
State and political subdivisions		20,602		1,514		11,736		4,132		32,338		5,646
Other foreign government, supranational, and foreign government-sponsored enterprises		244,817		1,953		7,435		761		252,252		2,714

Investment grade securities		1,242,157		18,284		272,112		42,960		1,514,269		61,244


Non-investment grade securities:
Corporate securities		181,168		3,170		39,123		5,501		220,291		8,671
Residential mortgage-backed securities		15,199		80		2,633		347		17,832		427
Asset-backed securities		3,421		26		31,938		18,815		35,359		18,841
Commercial mortgage-backed securities		3,317		764		68,405		42,307		71,722		43,071
State and political subdivisions		—		—		—		—		—		—

Non-investment grade securities		203,105		4,040		142,099		66,970		345,204		71,010

Total fixed maturity securities	$	1,445,262	$	22,324	$	414,211	$	109,930	$	1,859,473	$	132,254


Non-redeemable preferred stock		5,577		52		5,679		118		11,256		170
Other equity securities		85,374		1,134		—		—		85,374		1,134

Total Equity securities	$	90,951	$	1,186	$	5,679	$	118	$	96,630	$	1,304


				Page 21

Reinsurance Group of America, Incorporated

Investments

(USD thousands)

Consolidated Investment Related Gains and Losses


	Three Months Ended															Current Qtr vs. PY Quarter			Year-to-Date
	June 30,			March 31,			Dec. 31,			Sept. 30,			June 30,						June 30,			June 30,
	2013			2013			2012			2012			2012						2013			2012			Change

Fixed Maturity and Equity Securities:
Other-than-temporary impairment losses on fixed maturities	$	(9,803	)	$	(202	)	$	(4,346	)	$	(1,996	)	$	(1,959	)	$	(7,844	)	$	(10,005	)	$	(9,566	)	$	(439	)
Portion of loss recognized in accumulated other comprehensive income (before taxes)		(306	)		—			—			(559	)		162			(468	)		(306	)		(7,059	)		6,753

Net other-than-temporary impairment losses on fixed maturities recognized in earnings		(10,109	)		(202	)		(4,346	)		(2,555	)		(1,797	)		(8,312	)		(10,311	)		(16,625	)		6,314
Impairment losses on equity securities		—			—			—			—			(2,186	)		2,186			—			(3,025	)		3,025
Gain on investment activity		26,845			21,680			43,190			53,173			26,593			252			48,525			48,905			(380	)
Loss on investment activity		(6,760	)		(11,212	)		(4,384	)		(6,668	)		(8,918	)		2,158			(17,972	)		(16,422	)		(1,550	)

Net gain/(loss) on fixed maturity and equity securities		9,976			10,266			34,460			43,950			13,692			(3,716	)		20,242			12,833			7,409

Other impairment losses and change in mortgage loan provision		125			(1,626	)		(2,220	)		(10,301	)		1,762			(1,637	)		(1,501	)		(4,081	)		2,580
Other non-derivative gain/(loss), net		6,962			4,589			4,868			5,563			5,628			1,334			11,551			12,269			(718	)

Free-standing Derivatives:
Credit Default Swaps		2,428			3,904			3,523			7,819			(4,794	)		7,222			6,332			7,019			(687	)
Interest Rate Swaps - non-hedged		(38,414	)		(22,265	)		(9,866	)		(1,437	)		73,342			(111,756	)		(60,679	)		25,990			(86,669	)
Interest Rate Swaps - hedged		31			(17	)		(40	)		(4	)		29			2			14			3			11
Futures		714			(6,881	)		(9,932	)		(3,977	)		11,073			(10,359	)		(6,167	)		(6,335	)		168
CPI Swaps		(1,117	)		(871	)		1,543			422			(1,431	)		314			(1,988	)		(2,233	)		245
Equity options		(5,049	)		(30,623	)		(11,146	)		(23,916	)		3,367			(8,416	)		(35,672	)		(34,616	)		(1,056	)
Currency Forwards		(2,958	)		(5,659	)		(5,070	)		519			515			(3,473	)		(8,617	)		(1,093	)		(7,524	)
Interest Rate Options		(7,980	)		1,982			—			—			—			(7,980	)		(5,998	)		—			(5,998	)

Total free-standing derivatives		(52,345	)		(60,430	)		(30,988	)		(20,574	)		82,101			(134,446	)		(112,775	)		(11,265	)		(101,510	)

Embedded Derivatives:
Modified coinsurance and funds withheld treaties		47,716			90,258			74,054			54,836			(4,453	)		52,169			137,974			(13,881	)		151,855
GMXB		35,809			51,314			30,588			2,579			(74,929	)		110,738			87,123			71,446			15,677

Total embedded derivatives		83,525			141,572			104,642			57,415			(79,382	)		162,907			225,097			57,565			167,532

Net gain/(loss) on total derivatives		31,180			81,142			73,654			36,841			2,719			28,461			112,322			46,300			66,022

Total investment related gains / (losses), net	$	48,243		$	94,371		$	110,762		$	76,053		$	23,801		$	24,442		$	142,614		$	67,321		$	75,293


				Page 22