

Reclassifications:
Certain reclassifications have been made to prior-year amounts to conform to current-year
reporting classifications. These reclassifications had no impact on net earnings or total shareholders' equity.
New Accounting Pronouncements
Recently Adopted Accounting Pronouncements
Business Combinations - Simplifying the Accounting for Measurement-Period Adjustments:
In September
2015, the FASB issued guidance requiring that an acquirer recognize adjustments to estimated amounts that are identified
during the measurement period in the reporting period in which the adjustments are determined. In the same period’s
financial statements, the acquirer is required to record income effects of the adjustments as if the accounting had been
completed at the acquisition date. The acquirer is also required to present separately on the face of the income statement
or disclose in the notes the portion of the amount recorded in current-period earnings by line item that would have been
recorded in previous reporting periods if the adjustment to the estimated amounts had been recognized as of the
acquisition date. We adopted this guidance as of January 1, 2016. The adoption of this guidance did not have a significant
impact on our financial position, results of operations, or disclosures.
Financial Services - Insurance - Disclosures about Short-Duration Contracts:
In May 2015, the FASB issued
updated guidance requiring enhanced disclosures by all insurance entities that issue short-duration contracts. The
amendments require insurance entities to disclose for annual reporting periods information about the liability for unpaid
claims and claim adjustment expenses. The amendments also require insurance entities to disclose information about
significant changes in methodologies and assumptions used to calculate the liability for unpaid claims and claim
adjustment expenses. In addition, the amendments require insurance entities to disclose for annual and interim reporting
periods a roll-forward of the liability for unpaid claims and claim adjustment expenses. For health insurance claims, the
amendments require the disclosure of the total of incurred-but-not-reported liabilities and expected development on
reported claims included in the liability for unpaid claims and claim adjustment expenses. We adopted this guidance as of
December 31, 2016, and have no insurance contracts classified as short-duration. The adoption of this guidance did not
have a significant impact on our disclosures.
Fair Value Measurement - Disclosures for Investments in Certain Entities That Calculate Net Asset Value per
Share (or Its Equivalent):
In May 2015, the FASB issued updated guidance that removes the requirement to categorize
within the fair value hierarchy all investments for which fair value is measured using the net asset value per share
practical expedient. The amendments also remove the requirement to make certain disclosures for all investments that
are eligible to be measured at fair value using the net asset value per share practical expedient. Rather, those disclosures
are limited to investments for which the entity has elected to measure the fair value using that practical expedient. We
adopted this guidance as of January 1, 2016. The adoption of this guidance did not have a significant impact on our
disclosures.
Interest - Imputation of Interest - Simplifying the Presentation of Debt Issuance Costs:
In April 2015, the FASB
issued updated guidance to simplify presentation of debt issuance costs. The updated guidance requires that debt
issuance costs related to a recognized debt liability be presented in the balance sheet as a direct deduction from the
carrying amount of that debt liability, consistent with debt discounts. The recognition and measurement guidance for debt
issuance costs are not affected by this amendment. In August 2015, the FASB issued updated Securities and Exchange
Commission (SEC) Staff guidance pertaining to the presentation of debt issuance costs related to line-of-credit
arrangements. The guidance states that an entity may defer and present debt issuance costs as an asset, subsequently
amortizing the deferred debt issuance costs ratably over the term of the line-of-credit arrangement, regardless of whether
there are any outstanding borrowings on the line-of-credit arrangement. We retrospectively adopted this guidance as of
January 1, 2016. The retrospective adoption of this accounting standard resulted in a $40 million reduction to notes
payable and other assets as of December 31, 2015, the earliest balance sheet date presented in the period of adoption,
but did not have a significant impact on our financial position, results of operations, or disclosures.
Consolidation - Amendments to the Consolidation Analysis:
In February 2015, the FASB issued updated
guidance that affects evaluation of whether limited partnerships and similar legal entities (limited liability corporations and
securitization structures, etc.) are VIEs, evaluation of whether fees paid to a decision maker or a service provider are a
variable interest, and evaluation of the effect of fee arrangements and the effect of related parties on the determination of
the primary beneficiary under the VIE model for consolidation. The updated guidance eliminates the presumption that a
general partner should consolidate a limited partnership. Limited partnership and similar legal entities that provide
partners with either substantive kick-out rights or substantive participating rights over the general partner will now be
evaluated under the voting interest model rather than the VIE model for consolidation. In situations where no single party
has a controlling financial interest in a VIE, the related party relationships under common control should be considered in
93