Company: AFGC
Filing Date: 2025-08-07
Form Type: 10-Q
Source: 0001042046-25-000024
Chunk: 93

Company: AMERICAN FINANCIAL GROUP INC
Filing Date: 2025-08-07
Form: 10-Q
Item: Part I, Item 8
Chunk 93
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39

Table of ContentsAMERICAN FINANCIAL GROUP, INC. 10-QManagement’s Discussion and Analysis of Financial Condition and Results of Operations — Continued

MANAGED INVESTMENT ENTITIES

Accounting standards require AFG to consolidate its investments in collateralized loan obligation (“CLO”) entities that it manages and owns an interest in (in the form of debt). See Note A — “Accounting Policies — Managed Investment Entities” and Note F — “Managed Investment Entities” to the financial statements. The effect of consolidating these entities is shown in the tables below (in millions). The “Before CLO Consolidation” columns include AFG’s investment and earnings in the CLOs on an unconsolidated basis.

CONDENSED CONSOLIDATING BALANCE SHEET

Before CLOConsolidationManagedInvestmentEntitiesConsol.EntriesConsolidatedAs ReportedJune 30, 2025Assets:Cash and investments$16,197 $— $(148)(*)$16,049 Assets of managed investment entities— 3,833 — 3,833 Other assets10,787 — — 10,787 Total assets$26,984 $3,833 $(148)$30,669 Liabilities:Unpaid losses and loss adjustment expenses and unearned premiums$17,860 $— $— $17,860 Liabilities of managed investment entities— 3,803 (118)(*)3,685 Long-term debt and other liabilities4,608 — — 4,608 Total liabilities22,468 3,803 (118)26,153 Shareholders’ equity:Common Stock and Capital surplus1,497 30 (30)1,497 Retained earnings3,151 — — 3,151 Accumulated other comprehensive income (loss), net of tax(132)— — (132)Total shareholders’ equity4,516 30 (30)4,516 Total liabilities and shareholders’ equity$26,984 $3,833 $(148)$30,669 December 31, 2024Assets:Cash and investments$16,026 $— $(174)(*)$15,852 Assets of managed investment entities— 4,140 — 4,140 Other assets10,845 — (1)(*)