Assets

Investments:

Fixed maturity securities available-for-sale, at fair value (amortized cost of $55,676 and allowance for credit losses of $4)

Equity securities, at fair value

Commercial mortgage loans (net of unamortized balance of loan origination fees and costs of $4)

Less: Allowance for credit losses

Commercial mortgage loans, net

Policy loans

Other invested assets

Total investments

Cash, cash equivalents and restricted cash

Accrued investment income

Deferred acquisition costs

Intangible assets

Reinsurance recoverable

Less: Allowance for credit losses

Reinsurance recoverable, net

Other assets

Deferred tax asset

Separate account assets

Total assets

Liabilities and equity

Liabilities:

Future policy benefits

Policyholder account balances

Liability for policy and contract claims

Unearned premiums

Other liabilities

Long-term borrowings

Separate account liabilities

Liabilities related to discontinued operations

Total liabilities

Commitments and contingencies

Equity:

Class A common stock, $0.001 par value; 1.5 billion shares authorized; 594 million shares issued; 506 million shares outstanding

Additional paid-in capital

Accumulated other comprehensive income (loss)

Retained earnings

Treasury stock, at cost (88 million shares)

Total Genworth Financial, Inc.’s stockholders’ equity

Noncontrolling interests

Total equity

Total liabilities and equity

Adjustments reflect the disposition of the assets and liabilities of the Sale Company previously consolidated as assets and liabilities in the Company’s consolidated balance sheet, and the deconsolidation of the ownership interest attributable to noncontrolling interests of the Sale Company.

Adjustment reflects the de-recognition of the cumulative net unrealized investment gains and foreign currency translation adjustment gains included in accumulated other comprehensive income (loss) of the Sale Company.

Adjustment reflects net sale proceeds of approximately $370 million, of which, approximately $247 million was distributed as a payment related to the Company’s outstanding secured promissory note issued to AXA. The Company retained the remaining net proceeds of approximately $123 million. Proceeds are net of estimated expenses related to the Sale, including transaction related closing costs. The Company assumed these expenses were paid on December 31, 2020.

Adjustment reflects the estimated pre-tax loss from the Sale as of December 31, 2020. The after-tax gain (loss) remains unknown at the time of this current report filed on Form 8-K. The Company will reflect the after-tax gain (loss) from the disposition in the first quarter of 2021 as part of its financial statements included in its report filed on Form 10-Q. In addition, the pro forma condensed consolidated statements of income do not include any gain (loss) as it is considered to be nonrecurring in nature.

Revenues:

Premiums

Net investment income

Net investment gains (losses)

Policy fees and other income

Total revenues

Benefits and expenses:

Benefits and other changes in policy reserves

Interest credited

Acquisition and operating expenses, net of deferrals

Amortization of deferred acquisition costs and intangibles

Goodwill impairment

Interest expense

Total benefits and expenses

Income from continuing operations before income taxes

Provision for income taxes

Income from continuing operations

Loss from discontinued operations, net of taxes

Net income

Less: net income from continuing operations attributable to noncontrolling interests

Less: net income from discontinued operations attributable to noncontrolling interests

Net income available to Genworth Financial, Inc.’s common stockholders

Net income (loss) available to Genworth Financial, Inc.’s common stockholders:

Income from continuing operations available to Genworth Financial, Inc.’s common stockholders

Loss from discontinued operations available to Genworth Financial, Inc.’s common stockholders

Net income available to Genworth Financial, Inc.’s common stockholders

Income from continuing operations available to Genworth Financial, Inc.’s common stockholders per share:

Basic

Diluted

Net income available to Genworth Financial, Inc.’s common stockholders per share:

Basic

Diluted

Weighted-average common shares outstanding:

Basic

Diluted

Revenues:

Premiums

Net investment income

Net investment gains (losses)

Policy fees and other income

Total revenues

Benefits and expenses:

Benefits and other changes in policy reserves

Interest credited

Acquisition and operating expenses, net of deferrals

Amortization of deferred acquisition costs and intangibles

Interest expense

Total benefits and expenses

Income from continuing operations before income taxes

Provision for income taxes

Income from continuing operations

Income from discontinued operations, net of taxes

Net income

Less: net income from continuing operations attributable to noncontrolling interests

Less: net income from discontinued operations attributable to noncontrolling interests

Net income available to Genworth Financial, Inc.’s common stockholders

Net income (loss) available to Genworth Financial, Inc.’s common stockholders:

Income from continuing operations available to Genworth Financial, Inc.’s common stockholders

Loss from discontinued operations available to Genworth Financial, Inc.’s common stockholders

Net income available to Genworth Financial, Inc.’s common stockholders

Income from continuing operations available to Genworth Financial, Inc.’s common stockholders per share:

Basic

Diluted

Net income available to Genworth Financial, Inc.’s common stockholders per share:

Basic

Diluted

Weighted-average common shares outstanding:

Basic

Diluted

Revenues:

Premiums

Net investment income

Net investment gains (losses)

Policy fees and other income

Total revenues

Benefits and expenses:

Benefits and other changes in policy reserves

Interest credited

Acquisition and operating expenses, net of deferrals

Amortization of deferred acquisition costs and intangibles

Interest expense

Total benefits and expenses

Income (loss) from continuing operations before income taxes

Provision for income taxes

Income (loss) from continuing operations

Income from discontinued operations, net of taxes

Net income

Less: net income from continuing operations attributable to noncontrolling interests

Less: net income from discontinued operations attributable to noncontrolling interests

Net income available to Genworth Financial, Inc.’s common stockholders

Net income (loss) available to Genworth Financial, Inc.’s common stockholders:

Loss from continuing operations available to Genworth Financial, Inc.’s common stockholders

Income from discontinued operations available to Genworth Financial, Inc.’s common stockholders

Net income available to Genworth Financial, Inc.’s common stockholders

Loss from continuing operations available to Genworth Financial, Inc.’s common stockholders per share:

Basic

Diluted

Net income available to Genworth Financial, Inc.’s common stockholders per share:

Basic

Diluted

Weighted-average common shares outstanding:

Basic

Diluted

Adjustments reflect the elimination of revenues and expenses of the Sale Company, including operations attributable to noncontrolling interests, from the Company’s historical results as if the Sale occurred on January 1, 2018.

Adjustment represents the income tax effect of the elimination of the revenue and expenses of the Sale Company. The tax effect was calculated using the historical statutory rates in effect for the periods presented and adjusted to reflect the unique tax attributes of the Sale Company, such as permanent differences between U.S. GAAP and local tax law.