Athene : Second Quarter 2023 Statutory Financial Statement for Athene Annuity & Life Assurance Company

QUARTERLY STATEMENT

OF THE

Athene Annuity & Life Assurance Company

TO THE

Insurance Department

OF THE

STATE OF

FOR THE QUARTER ENDED

JUNE 30, 2023

[ ] LIFE, ACCIDENT AND HEALTH

[ ] FRATERNAL BENEFIT SOCIETIES

2023

STATEMENT AS OF JUNE 30, 2023 OF THE Athene Annuity & Life Assurance Company

ASSETS

		Current Statement Date		4
	1	2		3	December 31
				Net Admitted Assets	Prior Year Net
	Assets	Nonadmitted Assets		(Cols. 1 - 2)	Admitted Assets
1. Bonds	...........22,832,873,639	...................................	...........	22,832,873,639	...........23,978,263,314

2. Stocks:

	2.1 Preferred stocks		250,305,464	...................................	250,305,464	283,533,101
	2.2 Common stocks		1,973,153,216	38,522	1,973,114,694	2,090,861,385
3.	Mortgage loans on real estate:
	3.1 First liens	..................................................................................................		4,310,691,589	...................................	4,310,691,589	4,295,408,912
	3.2 Other than first liens		294,898,936	...................................	294,898,936	340,646,335
4.	Real estate:
	4.1 Properties occupied by the company (less $
	encumbrances)		...................................	...................................	...................................	...................................
	4.2 Properties held for the production of income (less
	$	encumbrances)	...................................	...................................	...................................	...................................
	4.3 Properties held for sale (less $
	.......................................................................................encumbrances)		...................................	...................................	...................................	...................................
5.	Cash ($	479,842,925 ), cash equivalents
	($	551,962,629	) and short-term
	investments ($	94,061,590 )	1,125,867,144	...................................	1,125,867,144	639,252,819
6.	Contract loans (including $	...................................	premium notes)	2,248,259	...................................	2,248,259	2,258,361
7.	Derivatives			235,897,180	...................................	235,897,180	223,005,162
8.	Other invested assets		825,354,076	341,188	825,012,888	1,001,094,554
9.	Receivables for securities		23,174,095	...................................	23,174,095	16,048,049
10.	Securities lending reinvested collateral assets	...................................	...................................	...................................	...................................
11.	Aggregate write-ins for invested assets	36,018,907	...................................	36,018,907	48,747,729
12.	Subtotals, cash and invested assets (Lines 1 to 11)	31,910,482,506	379,710	31,910,102,797	32,919,119,722
13.	Title plants less $	charged off (for Title insurers
	only)			...................................	...................................	...................................	...................................
14.	Investment income due and accrued	231,551,659	565,296	230,986,363	223,011,530
15.	Premiums and considerations:
	15.1 Uncollected premiums and agents' balances in the course of collection	...................................	...................................	...................................	...................................
	15.2 Deferred premiums, agents' balances and installments booked but
	deferred and not yet due (including $
	earned but unbilled premiums)	...................................	...................................	...................................	...................................
	15.3 Accrued retrospective premiums ($	) and
	contracts subject to redetermination ($	)	................................... ................................... ................................... ...................................

16. Reinsurance:

	16.1	Amounts recoverable from reinsurers	91,036,775	...................................	91,036,775	82,191,363
	16.2	Funds held by or deposited with reinsured companies	2,796,944,340	...................................	2,796,944,340	2,724,519,016
	16.3	Other amounts receivable under reinsurance contracts	1,788,377,709	...................................	1,788,377,709	2,302,899,640
17.	Amounts receivable relating to uninsured plans	...................................	...................................	...................................	...................................
18.1	Current federal and foreign income tax recoverable and interest thereon ....	17,377,326	...................................	17,377,326	...................................
18.2	Net deferred tax asset	303,546,497	94,691,207	208,855,290	73,645,328
19.	......................................................Guaranty funds receivable or on deposit	...................... 266,953	...................................	...................... 266,953	.......................337,863
20.	.....................................Electronic data processing equipment and software	...................................	...................................	...................................	...................................

21. Furniture and equipment, including health care delivery assets

	($	)	...................................	...................................	...................................	...................................
22.	Net adjustment in assets and liabilities due to foreign exchange rates	...................................	...................................	...................................	...................................
23.	.....................................Receivables from parent, subsidiaries and affiliates	201,531,653	...................................	................201,531,653	................101,111,232
24.	Health care ($	) and other amounts receivable	................... 4,433,324	...................................	................... 4,433,324	...................4,689,005
25.	Aggregate write-ins for other than invested assets	13,571,483	12,350,603	1,220,880	817,262

26. Total assets excluding Separate Accounts, Segregated Accounts and

	Protected Cell Accounts (Lines 12 to 25)	37,359,120,227	107,986,816	37,251,133,411	38,432,341,961
27.	From Separate Accounts, Segregated Accounts and Protected Cell
	Accounts	14,601,505	...................................	14,601,505	13,668,240
28.	Total (Lines 26 and 27)	37,373,721,732	107,986,816	37,265,734,916	38,446,010,201
	DETAILS OF WRITE-INS
1101.	Derivative collateral asset
................. 36,018,907	...................................	................. 36,018,907	................. 48,747,729
1102.	......................................................................................................................	....................................	....................................	....................................	....................................
1103.	......................................................................................................................	....................................	....................................	....................................	....................................
1198.	Summary of remaining write-ins for Line 11 from overflow page	...................................	...................................	...................................	...................................
1199.	Totals (Lines 1101 through 1103 plus 1198)(Line 11 above)	36,018,907		36,018,907	48,747,729
2501.	Interest maintenance reserve asset	................. 11,880,046	................. 11,880,046	...................................	...................................
2502.	Miscellaneous assets	................... 1,691,437	.......................470,557	...................1,220,880	...................... 817,262
2503.	.......................................................................................................................	....................................	....................................	....................................	....................................
2598.	Summary of remaining write-ins for Line 25 from overflow page	...................................	...................................	...................................	...................................
2599.	Totals (Lines 2501 through 2503 plus 2598)(Line 25 above)	13,571,483	12,350,603	1,220,880	817,262

2

STATEMENT AS OF JUNE 30, 2023 OF THE Athene Annuity & Life Assurance Company

LIABILITIES, SURPLUS AND OTHER FUNDS

					1	2
					Current	December 31
					Statement Date	Prior Year
1.	..........Aggregate reserve for life contracts $	26,391,205,992 less $	included in Line 6.3
	(including $	..........................................................................................................19,524,689,714 Modco Reserve)	26,391,205,992	26,149,069,195
2.	Aggregate reserve for accident and health contracts (including $	Modco Reserve)	...................................
3.	Liability for deposit-type contracts (including $	................. 78,222,432 Modco Reserve)	397,687,579	408,687,229

4. Contract claims:

4.1	Life	................120,326,163	121,255,307
4.2	Accident and health	................................... ...................................
5. Policyholders' dividends/refunds to members $	and coupons $	due
and unpaid	................................... ...................................

6. Provision for policyholders' dividends, refunds to members and coupons payable in following calendar year - estimated amounts:

6.1 Policyholders' dividends and refunds to members apportioned for payment (including $ ...................................

		Modco)		........................ 28,881	........................ 28,881
	6.2	.................................Policyholders' dividends and refunds to members not yet apportioned (including $	Modco) ....	...................................	...................................
	6.3	.................................Coupons and similar benefits (including $	Modco)	...................................	...................................
7.	Amount provisionally held for deferred dividend policies not included in Line 6	...................................	...................................
8.	Premiums and annuity considerations for life and accident and health contracts received in advance less
	$	................................... discount; including $	accident and health premiums	...................................	...................................

9. Contract liabilities not included elsewhere:

	9.1	Surrender values on canceled contracts				...................................	...................................
	9.2	Provision for experience rating refunds, including the liability of $	accident and health
		experience rating refunds of which $	is for medical loss ratio rebate per the Public Health
		Service Act					...................................	...................................
	9.3 Other amounts payable on reinsurance, including $	131,211,696	assumed and $	............ 1,417,126,953
		ceded					1,548,338,649	2,024,376,339
	9.4 Interest Maintenance Reserve				...................................	54,238,208
10.	Commissions to agents due or accrued-life and annuity contracts $	......................	108,214 , accident and health
	$	...................... 230,000	and deposit-type contract funds $		..................................................	.......................338,214	...................... 244,675
11.	..............................................................................Commissions and expense allowances payable on reinsurance assumed			................... 5,607,714	...................4,999,205
12.	............................................................................................................................................General expenses due or accrued				...................1,300,025	...................1,080,535
13.	Transfers to Separate Accounts due or accrued (net) (including $	............................	(19) accrued for expense
	allowances recognized in reserves, net of reinsured allowances)				............................. (19)	........................ 59,512
14.	Taxes, licenses and fees due or accrued, excluding federal income taxes			...................... 188,500	...................... 295,071
15.1 Current federal and foreign income taxes, including $		on realized capital gains (losses)	...................................	................... 2,124,777
15.2	Net deferred tax liability					...................................	...................................
16.	Unearned investment income				...................1,524,158	...................2,082,745
17.	Amounts withheld or retained by reporting entity as agent or trustee			...................... 248,678	.......................277,649
18.	Amounts held for agents' account, including $	agents' credit balances	...................................	...................................
19.	Remittances and items not allocated				................. 16,011,898	...................9,058,597
20.	Net adjustment in assets and liabilities due to foreign exchange rates			...................................	...................................
21.	.......................................................................................Liability for benefits for employees and agents if not included above			...................................	...................................
22.	Borrowed money $	and interest thereon $	...........................................	...................................	...................................
23.	.......................................................................................................................Dividends to stockholders declared and unpaid				...................................	...................................
24.	Miscellaneous liabilities:
	24.01 Asset valuation reserve				................236,367,704	................167,993,482
	24.02 Reinsurance in unauthorized and certified ($	) companies	...................................	...................................
	24.03 Funds held under reinsurance treaties with unauthorized and certified ($	...................................	) reinsurers	............4,902,520,949	............ 5,957,328,900
	24.04 Payable to parent, subsidiaries and affiliates				................323,774,770	................108,721,575
	24.05 Drafts outstanding					...................................	...................................
	24.06 Liability for amounts held under uninsured plans				...................................	...................................
	24.07 Funds held under coinsurance				...................................	...................................
	24.08 Derivatives					................114,540,553	................140,647,832
	24.09 Payable for securities					................. 20,993,501	...................1,605,017
	24.10 Payable for securities lending				...................................	...................................
	24.11 Capital notes $	and interest thereon $	...........................................	...................................	...................................
25.	Aggregate write-ins for liabilities				1,013,396,372	979,781,875
26.	Total liabilities excluding Separate Accounts business (Lines 1 to 25)			35,094,400,280	36,133,956,603
27.	From Separate Accounts Statement				14,601,505	13,668,240
28.	Total liabilities (Lines 26 and 27)				35,109,001,785	36,147,624,843
29.	Common capital stock					2,500,000	2,500,000
30.	..............................................................................................................................................................Preferred capital stock					...................................	...................................
31.	Aggregate write-ins for other than special surplus funds				...................................	...................................
32.	Surplus notes					...................................	...................................
33.	.......................................................................................................................................Gross paid in and contributed surplus				............ 3,745,312,898	............ 3,331,395,902
34.	...........................................................................................................................Aggregate write-ins for special surplus funds				...................................	...................................
35.	......................................................................................................................................................Unassigned funds (surplus)					...........(1,591,079,767)	.......... (1,035,510,544)
36.	Less treasury stock, at cost:
	36.1	...................................	shares common (value included in Line 29	$	)
		...................................	...................................
	36.2	...................................	shares preferred (value included in Line 30	$	)
		...................................	...................................
37.	Surplus (Total Lines 31+32+33+34+35-36) (including $		in Separate Accounts Statement)	2,154,233,130	2,295,885,358
38.	Totals of Lines 29, 30 and 37				2,156,733,130	2,298,385,358
39.	Totals of Lines 28 and 38 (Page 2, Line 28, Col. 3)					37,265,734,916	38,446,010,201
	DETAILS OF WRITE-INS
2501.	..............................................................................................................................................Repurchase agreement liability				................728,383,200	................728,383,200
2502.	............................................................................................................................................Derivative collateral liability				............... 209,890,000	................182,232,000
2503.	.............................................................................................................................................................Amount due reinsurers					................. 52,191,378	................. 42,321,917
2598.	..............................................................................................Summary of remaining write-ins for Line 25 from overflow page				................. 22,931,794	................. 26,844,758
2599.	Totals (Lines 2501 through 2503 plus 2598)(Line 25 above)					1,013,396,372	979,781,875
3101	....................................	....................................
3102	....................................	....................................
3103	....................................	....................................
3198.	..............................................................................................Summary of remaining write-ins for Line 31 from overflow page				...................................	...................................
3199.	Totals (Lines 3101 through 3103 plus 3198)(Line 31 above)
3401	....................................	....................................

3402. ................................................................................................................................................................................................... .................................... ....................................

3403. ................................................................................................................................................................................................... .................................... ....................................

3498. Summary of remaining write-ins for Line 34 from overflow page .............................................................................................. ................................... ...................................

3499. Totals (Lines 3401 through 3403 plus 3498)(Line 34 above)

3

STATEMENT AS OF JUNE 30, 2023 OF THE Athene Annuity & Life Assurance Company

SUMMARY OF OPERATIONS

		1	2	3
		Current Year	Prior Year	Prior Year Ended
		To Date	To Date	December 31
1.	Premiums and annuity considerations for life and accident and health contracts	................255,940,237	................. 55,402,345	................605,040,513
2.	Considerations for supplementary contracts with life contingencies	...................2,281,751	................. 22,450,465	................. 47,532,350
3.	Net investment income	............... 681,559,094	............... 581,202,194	............ 1,175,973,308
4.	Amortization of Interest Maintenance Reserve (IMR)	................. (2,913,985)	...................8,786,615	................. 14,983,553
5.	Separate Accounts net gain from operations excluding unrealized gains or losses	...................................	...................................	...................................
6.	Commissions and expense allowances on reinsurance ceded	................. 80,346,567	................. 45,788,951	................148,528,097
7.	Reserve adjustments on reinsurance ceded	................. 21,951,612	.......... (1,092,502,365)	................405,098,034
8.	Miscellaneous Income:
	8.1 Income from fees associated with investment management, administration and contract
	guarantees from Separate Accounts	...................... 232,450	...................... 231,956	...................... 445,408
	8.2 Charges and fees for deposit-type contracts	...................................	...................................	...................................
	8.3 Aggregate write-ins for miscellaneous income	56,272,104	52,840,704	102,854,450
9.	Totals (Lines 1 to 8.3)	1,095,669,829	(325,799,134)	2,500,455,713
10.	Death benefits	(329,801)	.....................(201,809)	.......................280,387
11.	Matured endowments (excluding guaranteed annual pure endowments)	...................................	........................ 32,917	..........................5,000
12.	Annuity benefits	................. 68,429,506	................. 76,591,609	................182,674,055
13.	Disability benefits and benefits under accident and health contracts	...................................	...................................	...................................
14.	Coupons, guaranteed annual pure endowments and similar benefits	...................................	...................................	...................................
15.	Surrender benefits and withdrawals for life contracts	............... 428,000,084	................232,552,498	................535,221,465
16.	Group conversions	...................................	...................................	...................................
17.	Interest and adjustments on contract or deposit-type contract funds	...................6,810,043	...................9,018,553	................. 15,871,831
18.	Payments on supplementary contracts with life contingencies	................. 11,750,729	...................8,457,060	................. 17,916,389
19.	Increase in aggregate reserves for life and accident and health contracts	242,136,797	(490,440,739)	1,715,449,323
20.	Totals (Lines 10 to 19)	................756,797,359	..............(163,989,911)	............ 2,467,418,450
21.	Commissions on premiums, annuity considerations, and deposit-type contract funds (direct
	business only)	................... 1,066,703	...................... 913,065	...................1,885,038
22.	Commissions and expense allowances on reinsurance assumed	................. 88,977,953	................. 51,803,220	................169,406,657
23.	General insurance expenses and fraternal expenses	................... 9,383,114	................. 12,925,378	................. 25,661,713
24.	Insurance taxes, licenses and fees, excluding federal income taxes	...................2,108,676	...................1,620,954	...................2,018,412
25.	Increase in loading on deferred and uncollected premiums	...................................	...................................	...................................
26.	Net transfers to or (from) Separate Accounts net of reinsurance	.....................(438,722)	.....................(248,571)	.....................(525,470)
27.	Aggregate write-ins for deductions	156,567,225	(13,333,740)	89,185,187
28.	Totals (Lines 20 to 27)	1,014,462,310	(110,309,605)	2,755,049,988
29.	Net gain from operations before dividends to policyholders and federal income taxes (Line 9 minus
	Line 28)	................. 81,207,519	..............(215,489,530)	..............(254,594,275)
30.	Dividends to policyholders and refunds to members	10,609	12,544	24,551
31.	Net gain from operations after dividends to policyholders, refunds to members and before federal
	income taxes (Line 29 minus Line 30)	................. 81,196,910	..............(215,502,074)	..............(254,618,826)
32.	Federal and foreign income taxes incurred (excluding tax on capital gains)	49,313,784	(320,977)	80,895,809
33.	Net gain from operations after dividends to policyholders, refunds to members and federal income
	taxes and before realized capital gains or (losses) (Line 31 minus Line 32)	................. 31,883,126	..............(215,181,097)	..............(335,514,634)

34. Net realized capital gains (losses) (excluding gains (losses) transferred to the IMR) less capital

	gains tax of $	12,590,471 (excluding taxes of $	(23,354,237)
	transferred to the IMR)		(90,331,498)	279,208,457	315,217,637
35.	Net income (Line 33 plus Line 34)	(58,448,371)	64,027,360	(20,296,997)
		CAPITAL AND SURPLUS ACCOUNT
36.	Capital and surplus, December 31, prior year	2,298,385,358	1,604,518,076	1,604,518,076
37.	Net income (Line 35)		(58,448,371)	................. 64,027,360	................(20,296,997)
38.	Change in net unrealized capital gains (losses) less capital gains tax of $	.............. 26,389,396	..............(568,419,693)	..............(221,084,732)	..............(882,003,928)
39.	Change in net unrealized foreign exchange capital gain (loss)	................. 18,380,436	................(64,887,893)	..............(105,198,596)
40.	Change in net deferred income tax	................. 96,913,215	................(95,825,869)	................(19,508,467)
41.	Change in nonadmitted assets	................. 54,412,463	................. (8,281,990)	................(42,657,487)
42.	Change in liability for reinsurance in unauthorized and certified companies	...................................	...................................	...................................
43.	Change in reserve on account of change in valuation basis, (increase) or decrease	...................................	...................................	...................................
44.	Change in asset valuation reserve	................(68,374,222)	................256,714,972	................291,752,567
45.	Change in treasury stock		...................................	...................................	...................................
46.	Surplus (contributed to) withdrawn from Separate Accounts during period	...................................	...................................	...................................
47.	Other changes in surplus in Separate Accounts Statement	...................................	...................................	...................................
48.	Change in surplus notes		...................................	...................................	...................................
49.	........................................................................Cumulative effect of changes in accounting principles	...................................	...................................	...................................
50.	Capital changes:
	50.1 Paid in		...................................	...................................	...................................
	50.2 Transferred from surplus (Stock Dividend)	...................................	...................................	...................................
	..................................................................................................................50.3 Transferred to surplus		...................................	...................................	...................................
51.	Surplus adjustment:
	51.1 Paid in		................413,916,996	............... 464,858,506	............1,404,888,944
	51.2 Transferred to capital (Stock Dividend)	...................................	...................................	...................................
	51.3 Transferred from capital	...................................	...................................	...................................
	...............................................................................51.4 Change in surplus as a result of reinsurance	................. (9,943,661)	................. 87,861,688	................. 66,891,248
52.	Dividends to stockholders		...................................	...................................	...................................
53.	Aggregate write-ins for gains and losses in surplus	(20,089,392)
54.	Net change in capital and surplus for the year (Lines 37 through 53)	(141,652,228)	483,382,043	693,867,283
55.	Capital and surplus, as of statement date (Lines 36 + 54)		2,156,733,130	2,087,900,118	2,298,385,358
	DETAILS OF WRITE-INS
08.301. Funds withheld adjustment - assumed
54,284,432	................. 52,816,743	................102,789,605
08.302. Miscellaneous income		................... 1,987,672	........................ 23,961	........................ 64,845
08.303.	..................................................................................................................................................................................................			....................................	....................................
........................................................08.398. Summary of remaining write-ins for Line 8.3 from overflow page	...................................	...................................	...................................
08.399. Totals (Lines 08.301 through 08.303 plus 08.398) (Line 8.3 above)		56,272,104	52,840,704	102,854,450
2701.	Funds withheld adjustment - ceded	................141,312,776	................. 17,948,665	................157,168,451
2702.	Transfer to IMR - ceded		................. 15,707,742	................(20,713,865)	................(51,247,936)
2703.	Reserve adjustments on reinsurance assumed	(3,735,345)	................(11,608,025)	................(20,598,660)
2798.	.........................................................Summary of remaining write-ins for Line 27 from overflow page	...................3,282,052	...................1,039,485	................... 3,863,333
2799.	Totals (Lines 2701 through 2703 plus 2798)(Line 27 above)		156,567,225	(13,333,740)	89,185,187
5301.	Correction of prior period error	(20,089,392)	...................................	...................................

5302
5303
5398.	Summary of remaining write-ins for Line 53 from overflow page	...................................	...................................	...................................
5399.	Totals (Lines 5301 through 5303 plus 5398)(Line 53 above)	(20,089,392)

4