Company: AFGC
Filing Date: 2025-08-07
Form Type: 10-Q
Source: 0001042046-25-000024
Chunk: 70

Company: AMERICAN FINANCIAL GROUP INC
Filing Date: 2025-08-07
Form: 10-Q
Item: Part I, Item 8
Chunk 70
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Realized gains (losses)Before ImpairmentsImpairment AllowanceTotalChange in UnrealizedBefore ImpairmentsImpairment AllowanceTotalChange in UnrealizedFixed maturities$(7)$(7)$(14)$127 $(5)$(2)$(7)$(4)Equity securities19 — 19 — 19 — 19 — Mortgage loans and other investments— — — — — — — — Total pretax12 (7)5 127 14 (2)12 (4)Tax effects(2)1 (1)(26)(3)— (3)1 Net of tax$10 $(6)$4 $101 $11 $(2)$9 $(3)

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Table of ContentsAMERICAN FINANCIAL GROUP, INC. 10-QNOTES TO CONSOLIDATED FINANCIAL STATEMENTS — CONTINUED

All equity securities are carried at fair value through net earnings. AFG recorded net holding gains (losses) on equity securities during the second quarter and first six months of 2025 and 2024 on securities that were still owned at June 30, 2025 and June 30, 2024 as follows (in millions):Three months ended June 30,Six months ended June 30,2025202420252024Included in realized gains (losses)$9 $(3)$16 $17 Included in net investment income2 9 3 25 $11 $6 $19 $42 Gross realized gains and losses (excluding changes in impairment allowance and mark-to-market of derivatives) on available for sale fixed maturity investment transactions consisted of the following (in millions):Six months ended June 30,20252024Gross gains$3 $— Gross losses(11)(4)

E.    Derivatives

As discussed under “Derivatives” in Note A — “Accounting Policies,” AFG uses derivatives to mitigate certain market risks related to its investment portfolio and deferred compensation obligations to employees.The following table presents the classification of derivative assets and liabilities included in AFG’s Balance Sheet at fair value (in millions):June 30, 2025December 31, 2024Balance Sheet LineAssetLiabilityAssetLiabilityDerivatives designated and qualifying as cash flow hedges:Interest rate swapsOther assets/Other