Company: AFGC
Filing Date: 2025-02-25
Form Type: 10-K
Source: 0001042046-25-000011
Chunk: 42

Company: AMERICAN FINANCIAL GROUP INC
Filing Date: 2025-02-25
Form: 10-K
Item: Item 9C
Chunk 42
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66 Sales(63)— — Distributions(41)(34)(18)Change in fair value29 27 (11)Change in accrued interest1 — (1)Balance at end of period (*)$125 $137 $112 (*)Excludes $49 million, $38 million and $3 million invested in temporary warehousing entities at December 31, 2024, 2023 and 2022, respectively, that were established to provide AFG the ability to form new CLOs.

F-26

Table of ContentsAMERICAN FINANCIAL GROUP, INC. AND SUBSIDIARIES    NOTES TO CONSOLIDATED FINANCIAL STATEMENTS — CONTINUED

The revenues and expenses of the CLOs are separately identified in AFG’s Statement of Earnings, after the elimination of management fees and earnings attributable to AFG as measured by the change in the fair value of AFG’s investments in the CLOs. Selected financial information related to the CLOs is shown below (in millions):Year ended December 31,202420232022Gains (losses) on change in fair value of assets/liabilities (*):Assets$(2)$144 $(267)Liabilities6 (117)236 Management fees paid to AFG13 16 17 CLO earnings (losses) attributable to AFG33 27 (10)(*)Included in revenues in AFG’s Statement of Earnings.The aggregate unpaid principal balance of the CLOs’ fixed maturity investments exceeded the fair value of the investments by $66 million and $109 million at December 31, 2024 and 2023, respectively. The aggregate unpaid principal balance of the CLOs’ debt exceeded its carrying value by $172 million and $253 million at those dates, respectively. The CLO assets include loans with an aggregate fair value of $3 million at December 31, 2024 and $7 million at December 31, 2023, for which the CLOs are not accruing interest because the loans are in default (aggregate unpaid principal balance of $5 million at December 31, 2024 and $13 million at December 31, 2023).In addition to the CLOs that it manages, AFG had investments in CLOs that are managed by third parties (therefore not consolidated), which are included in available for sale fixed