PART II ITEM 8 Financial Statements and Supplementary Data Cigna Corporation Consolidated Balance Sheets As of December 31, (In millions, except per share amounts) 2012 2011 ASSETS Investments: Fixed maturities, at fair value (amortized cost, $15,481; $14,257) $ 17,705 $ 16,217 Equity securities, at fair value (cost, $121; $124) 111 100 Commercial mortgage loans 2,851 3,301 Policy loans 1,501 1,502 Real estate 83 87 Other long-term investments 1,255 1,058 Short-term investments 154 225 Total investments 23,660 22,490 Cash and cash equivalents 2,978 4,690 Accrued investment income 258 252 Premiums, accounts and notes receivable, net 1,777 1,358 Reinsurance recoverables 6,256 6,256 Deferred policy acquisition costs 1,198 817 Property and equipment 1,120 1,024 Deferred income taxes, net 374 803 Goodwill 6,001 3,164 Other assets, including other intangibles 2,355 1,750 Separate account assets 7,757 8,093 TOTAL ASSETS $ 53,734 $ 50,697 LIABILITIES Contractholder deposit funds $ 8,508 $ 8,553 Future policy benefits 9,265 8,593 Unpaid claims and claim expenses 4,062 3,936 Global Health Care medical claims payable 1,856 1,305 Unearned premiums and fees 549 502 Total insurance and contractholder liabilities 24,240 22,889 Accounts payable, accrued expenses and other liabilities 6,667 6,627 Short-term debt 201 104 Long-term debt 4,986 4,990 Separate account liabilities 7,757 8,093 TOTAL LIABILITIES 43,851 42,703 Contingencies — Note 24 Redeemable noncontrolling interest 114 - SHAREHOLDERS’ EQUITY Common stock (par value per share, $0.25; shares issued, 366; authorized, 600) 92 92 Additional paid-in capital 3,295 3,188 Net unrealized appreciation, fixed maturities $ 883 $ 739 Net unrealized appreciation, equity securities 4 1 Net unrealized depreciation, derivatives (28) (23) Net translation of foreign currencies 69 3 Postretirement benefits liability adjustment (1,599) (1,507) Accumulated other comprehensive loss (671) (787) Retained earnings 12,330 10,787 Less: treasury stock, at cost (5,277) (5,286) TOTAL SHAREHOLDERS’ EQUITY 9,769 7,994 Total liabilities and equity $ 53,734 $ 50,697 SHAREHOLDERS’ EQUITY PER SHARE $ 34.18 $ 28.00 The accompanying Notes to the Consolidated Financial Statements are an integral part of these statements. 66 CIGNA CORPORATION -  2012 Form  10-K