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American National Group Inc. and Subsidiaries
Unaudited Pro Forma Condensed Consolidated Financial Statements


The following unaudited pro forma condensed consolidated financial statements of American National Group Inc. (the "Company") are presented to reflect the effect of the disposition of its existing property and casualty subsidiaries, American National Property And Casualty Company and its subsidiaries (“ANPAC”), United Farm Family Insurance Company (“UFFIC”) and Farm Family Casualty Insurance Company and its subsidiaries (“FFCIC” and, together with ANPAC and UFFIC, collectively, the “P&C Subsidiaries”) on October 1, 2025 (the "Disposition"). The unaudited pro forma financial statements should be read in conjunction with the Company’s consolidated financial statements and notes presented in the Company's Quarterly Report on Form 10-Q for the six months ended June 30, 2025 and the Company’s 2024 Annual Report on Form 10-K for the year ended December 31, 2024.

The unaudited pro forma Condensed Consolidated Statements of Financial Position as of June 30, 2025 and December 31, 2024 are based on the previously reported financial statements of the Company after including the impact of the Disposition as if it had occurred on those respective dates. The unaudited pro forma Condensed Consolidated Statements of Operations for the six months ended June 30, 2025, year ended December 31, 2024 and year ended December 31, 2023 are based on the previously reported financial statements of the Company after including the impact of the Disposition as if it had occurred on those respective dates.

The unaudited pro forma consolidated financial statements are provided for informational purposes only and do not represent the actual results of operations or the financial position of the Company, nor is it indicative of the Company’s future operating results or financial position. The pro forma adjustments reflected in the accompanying unaudited pro forma condensed consolidated financial information reflect estimates and assumptions that the Company’s management believes to be reasonable. As a result, the actual results reported by the Company in periods following the Disposition may differ materially from this unaudited pro forma condensed consolidated financial information.

The Company currently expects to receive a capital contribution subsequent to the Disposition, and the Company intends to use the proceeds thereof to repay outstanding term loans with the objective of keeping the Disposition leverage neutral to the Company. The pro forma adjustments reflected in the accompanying unaudited pro forma condensed consolidated financial information solely relate to the impact of the Disposition and do not reflect impacts from the expected capital contribution or the anticipated repayment of outstanding term loans.



AMERICAN NATIONAL GROUP INC. AND SUBSIDIARIES
PRO FORMA CONDENSED CONSOLIDATED STATEMENT OF FINANCIAL POSITION
AS OF JUNE 30, 2025
(Dollars in millions, except share and per share data)
(Unaudited)

   
As Reported
   
Disposition Adjustments
   

Notes
   
Pro Forma
  
Assets
                        
Investments:
                
     
Available-for-sale fixed maturity securities, at fair value, net of allowance for credit losses (amortized cost of $48,260 and $46,791, respectively)
  
$
48,931
    
$
(1,447
)
     A
 
$
47,484
  
Equity securities, at fair value
    
1,238
      
(643
)
     A
   
595
  
Mortgage loans on real estate, at amortized cost, net of allowance for credit losses
    
11,254
      
(122
)
     A
   
11,132
  
Private loans, at amortized cost, net of allowance for credit loss
    
8,120
      
(50
)
     A
   
8,070
  
Real estate and real estate partnerships, net of accumulated depreciation
    
5,944
      
(354
)
     A
   
5,590
  
Investment funds
    
3,038
      
(3
)
     A
   
3,035
  
Policy loans
    
257
      

       
   
257
  
Short-term investments, at estimated fair value
    
4,067
      

       
   
4,067
  
Other invested assets
    
1,999
      
(8
)
     A
   
1,991
  
Total investments
    
84,848
      
(2,627
)
      
   
82,221
  
                       
       
Cash and cash equivalents
    
12,104
      
(491
)
     A
   
11,613
  
Accrued investment income
    
735
      
(15
)
     A
   
720
  
Deferred policy acquisition costs, deferred sales inducements and value of business acquired
    
11,051
      
(113
)
     A
   
10,938
  
Premiums due and other receivables
    
463
      
(423
)
     A
   
40
  
Ceded unearned premiums
    
173
      
(151
)
     A
   
22
  
Deferred tax asset
    
471
      
(20
)
     A
   
451
  
Reinsurance recoverables and deposit assets
    
9,835
      
(267
)
     A
   
9,568
  
Property and equipment, net of accumulated depreciation
    
167
      
(20
)
     A
   
147
  
Intangible assets, net of accumulated amortization
    
1,557
      
(19
)
     A
   
1,538
  
Goodwill
    
783
      
(35
)
     A
   
748
  
Other assets
    
2,836
      
(81
)
     A
   
2,755
  
Separate account assets
    
1,322
                
   
1,322
  
Total assets
  
$
126,345
    
$
(4,262
)
      
 
$
122,083
  
                       
       
Liabilities
                      
       
Future policy benefits
  
$
10,029
                
 
$
10,029
  
Policyholders’ account balances
    
86,934
                
   
86,934
  
Policy and contract claims
    
1,910
      
(1,548
)
     A

   
362
  
Market risk benefits
    
4,227
                
   
4,227
  
Unearned premium reserve
    
869
      
(838
)
     A
   
31
  
Due to related parties
    
72
      
4
       A
   
76
  
Other policyholder funds
    
397
      
(6
)
     A
   
391
  
Notes payable
    
200
                
   
200
  
Long term borrowings
    
2,953
                
   
2,953
  
Funds withheld for reinsurance liabilities
    
3,171
                
   
3,171
  
Other liabilities
    
4,044
      
(174
)
     A
   
3,870
  
Separate account liabilities
    
1,322
                
   
1,322
  
Total liabilities
  
$
116,128
    
$
(2,562
)
          
$
113,566
  
                                 
Equity
                                
Preferred stock, Series B; par value $1 per share; $25,000 per share liquidation preference; 12,000 shares authorized; issued and outstanding: 12,000 shares
   $
296
                    
$
296
  
Preferred stock, Series D; par value $1 per share; $25,000 per share liquidation preference; 12,000 shares authorized; issued and outstanding: 12,000 shares
    
292
                      
292
  
Additional paid-in capital
    
7,547
      
(1,694
)
     A
   
5,853
  
Accumulated other comprehensive income, net of taxes
    
664
      
15
       A
   
679
  
Retained earnings
    
1,283
      
(21
)
     B
   
1,262
  
Non-controlling interests
    
135
                      
135
  
Total equity
    
10,217
      
(1,700
)
            
8,517
  
Total liabilities and equity
  
$
126,345
    
$
(4,262
)
          
$
122,083
  
                                 
See notes to unaudited pro forma condensed consolidated financial information.


AMERICAN NATIONAL GROUP INC. AND SUBSIDIARIES
PRO FORMA CONDENSED CONSOLIDATED STATEMENT OF FINANCIAL POSITION
AS OF DECEMBER 31, 2024
(Dollars in millions, except share and per share data)
(Unaudited)

   
As Reported
    
Disposition Adjustments
    

Notes

 
Pro Forma
  
Assets
                
     
Investments:
                
     
Available-for-sale fixed maturity securities, at fair value, net of allowance for credit losses (amortized cost of $47,127 and $45,373, respectively)
  
$
47,292
    
$
(1,701
)
     A
 
$
45,591
  
Equity securities, at fair value
    
1,142
      
(531
)
     A
   
611
  
Mortgage loans on real estate, at amortized cost, net of allowance for credit losses
    
12,117
      
(131
)
     A
   
11,986
  
Private loans, at amortized cost, net of allowance for credit loss
    
5,732
      
(85
)
     A
   
5,647
  
Real estate and real estate partnerships, net of accumulated depreciation
    
4,992
      
(358
)
     A
   
4,634
  
Investment funds
    
3,015
      
(3
)
     A
   
3,012
  
Policy loans
    
274
      

       
   
274
  
Short-term investments, at estimated fair value
    
4,177
      

       
   
4,177
  
Other invested assets
    
2,014
      
(7
)
     A
   
2,007
  
Total investments
    
80,755
      
(2,816
)
      
   
77,939
  
                       
       
Cash and cash equivalents
    
11,330
      
(463
)
     A
   
10,867
  
Accrued investment income
    
761
      
(25
)
     A
   
736
  
Deferred policy acquisition costs, deferred sales inducements and value of business acquired
    
10,631
      
(127
)
     A
   
10,504
  
Premiums due and other receivables
    
437
      
(424
)
     A
   
13
  
Ceded unearned premiums
    
132
      
(147
)
     A

   
(15
)
Deferred tax asset
    
529
      
(36
)
     A
   
493
  
Reinsurance recoverables and deposit assets
    
10,055
      
(193
)
     A
   
9,862
  
Property and equipment, net of accumulated depreciation
    
175
      
(21
)
     A
   
154
  
Intangible assets, net of accumulated amortization
    
1,545
      
(19
)
     A
   
1,526
  
Goodwill
    
783
      
(35
)
     A
   
748
  
Other assets
    
2,745
      
(128
)
     A
   
2,617
  
Separate account assets
    
1,343
      

       
   
1,343
  
Total assets
  
$
121,221
    
$
(4,434
)
      
 
$
116,787
  
                       
       
Liabilities
                      
       
Future policy benefits
  
$
9,170
    
$

       
 
$
9,170
  
Policyholders’ account balances
    
83,079
      

       
   
83,079
  
Policy and contract claims
    
1,867
      
(1,471
)
     A
   
396
  
Market risk benefits
    
3,655
      

       
   
3,655
  
Unearned premium reserve
    
1,044
      
(1,016
)
     A
   
28
  
Due to related parties
    
80
      
(3
)
     A
   
77
  
Other policyholder funds
    
347
      
(7
)
     A
   
340
  
Notes payable
    
189
      

       
   
189
  
Long term borrowings
    
2,957
      

       
   
2,957
  
Funds withheld for reinsurance liabilities
    
3,321
      

       
   
3,321
  
Other liabilities
    
4,141
      
(251
)
     A
   
3,890
  
Separate account liabilities
    
1,343
      

       
   
1,343
  
Total liabilities
  
$
111,193
    
$
(2,748
)
      
 
$
108,445
  
                       
       
Equity
                      
       
Preferred stock, Series A; par value $1 per share; $25,000 per share liquidation preference; 20,000 shares authorized; issued and outstanding: 16,000 shares
  
$
389
    
$

       
 
$
389
  
Preferred stock, Series B; par value $1 per share; $25,000 per share liquidation preference; 12,000 shares authorized; issued and outstanding: 12,000 shares
    
296
      

       
   
296
  
Additional paid-in capital
    
7,569
      
(1,693
)
     A
   
5,876
  
Accumulated other comprehensive income, net of taxes
    
340
      
43
       A
   
383
  
Retained earnings
    
1,356
      
(36
)
     C
   
1,320
  
Non-controlling interests
    
78
      

       
   
78
  
Total equity
    
10,028
      
(1,686
)
      
   
8,342
  
Total liabilities and equity
  
$
121,221
    
$
(4,434
)
      
 
$
116,787
  
                                 
See notes to unaudited pro forma condensed consolidated financial information.


AMERICAN NATIONAL GROUP INC. AND SUBSIDIARIES
PRO FORMA CONDENSED CONSOLIDATED STATEMENT OF OPERATIONS
FOR THE SIX MONTHS ENDED JUNE 30, 2025
(Dollars in millions)
(Unaudited)

   
As Reported
    
Disposition Adjustments
    

Notes
   
Pro Forma
  
Net premiums
  
$
1,641
    
$
(829
)
     D
 
$
812
  
Other policy revenue
    
321
                
   
321
  
Net investment income
    
2,435
      
(45
)
     D
   
2,390
  
Investment related gains (losses)
    
69
      
(68
)
     D
   
1
  
Other income (loss)
    
59
      
(5
)
     D
   
54
  
Total revenues
    
4,525
      
(947
)
      
   
3,578
  
                       
       
Policyholder benefits and claims incurred
    
1,716
      
(604
)
     D
   
1,112
  
Interest sensitive contract benefits
    
997
                
   
997
  
Amortization of deferred policy acquisition costs, deferred sales inducements and value of business acquired
    
650
      
(166
)
     D
   
484
  
Change in fair value of insurance-related derivatives and embedded derivatives
    
330
                
   
330
  
Change in fair value of market risk benefits
    
314
                
   
314
  
Operating expenses
    
491
      
(100
)
     D
   
391
  
Interest expense
    
93
                
   
93
  
Total benefits and expenses
    
4,591
      
(870
)
      
   
3,721
  
Net income (loss) before income taxes
    
(66
)
    
(77
)
      
   
(143
)
Income tax expense (benefit)
    
(17
)
    
(16
)
     D
   
(33
)
Net income (loss)
    
(49
)
    
(61
)
            
(110
)
Less: Net income (loss) attributable to noncontrolling interests
    
5
                      
5
  
Net income (loss) attributable to American National Group Inc. stockholders
    
(54
)
    
(61
)
            
(115
)
Less: Preferred stock dividends and redemption
    
41
                      
41
  
Net income (loss) attributable to American National Group Inc. common stockholder
  
$
(95
)
  
$
(61
)
          
$
(156
)
                                 
See notes to unaudited pro forma condensed consolidated financial information.


AMERICAN NATIONAL GROUP INC. AND SUBSIDIARIES
PRO FORMA CONDENSED CONSOLIDATED STATEMENT OF OPERATIONS
FOR THE YEAR ENDED DECEMBER 31, 2024
(Dollars in millions)
(Unaudited)

   
As Reported
    
Disposition Adjustments
    

 Notes    
Pro Forma
  
Net premiums
  
$
5,519
    
$
(1,840
)
     D


$
3,679
  
Other policy revenue
    
657
                

 
657
  
Net investment income
    
3,628
      
(147
)
     D


 
3,481
  
Investment related gains (losses)
    
(346
)
    
19
       D


 
(327
)
Other income (loss)
    
45
      
(10
)
     D


 
35
  
Total revenues
    
9,503
      
(1,978
)
      

 
7,525
  
                       

     
Policyholder benefits and claims incurred
    
5,361
      
(1,313
)
     D


 
4,048
  
Interest sensitive contract benefits
    
1,745
                

 
1,745
  
Amortization of deferred policy acquisition costs, deferred sales inducements and value of business acquired
    
939
      
(352
)
     D


 
587
  
Change in fair value of insurance-related derivatives and embedded derivatives
    
(94
)
              

 
(94
)
Change in fair value of market risk benefits
    
(3
)
              

 
(3
)
Operating expenses
    
880
      
(179
)
     D


 
701
  
Interest expense
    
165
                

 
165
  
Total benefits and expenses
    
8,993
      
(1,844
)
      

 
7,149
  
Net income (loss) before income taxes
    
510
      
(134
)
      

 
376
  
Income tax expense (benefit)
    
(170
)
    
(28
)
     D


 
(198
)
Net income (loss)
    
680
      
(106
)
            
574
  
Less: Net income (loss) attributable to noncontrolling interests
    
(49
)
                    
(49
)
Net income (loss) attributable to American National Group Inc. stockholders
    
729
      
(106
)
            
623
  
Less: Preferred stock dividends and redemption
    
33
                      
33
  
Net income (loss) attributable to American National Group Inc. common stockholder
  
$
696
    
$
(106
)
          
$
590
  
                                 
See notes to unaudited pro forma condensed consolidated financial information.


AMERICAN NATIONAL GROUP INC. AND SUBSIDIARIES
PRO FORMA CONDENSED CONSOLIDATED STATEMENT OF OPERATIONS
FOR THE YEAR ENDED DECEMBER 31, 2023
(Dollars in millions)
(Unaudited)

   
As Reported
    
Disposition Adjustments
    

Notes
   
Pro Forma
  
Net premiums
  
$
3,521
    
$
(1,852
)
     D

 
$
1,669
  
Other policy revenue
    
414
                
   
414
  
Net investment income
    
1,388
      
(148
)
     D

   
1,240
  
Investment related gains (losses)
    
(1
)
    
(29
)
     D

   
(30
)
Other income (loss)
    
83
      
(9
)
     D

   
74
  
Total revenues
    
5,405
      
(2,038
)
      
   
3,367
  
                       
       
Policyholder benefits and claims incurred
    
3,289
      
(1,434
)
     D

   
1,855
  
Interest sensitive contract benefits
    
480
                
   
480
  
Amortization of deferred policy acquisition costs, deferred sales inducements and value of business acquired
    
525
      
(413
)
     D

   
112
  
Change in fair value of insurance-related derivatives and embedded derivatives
    
36
                
   
36
  
Change in fair value of market risk benefits
    
(69
)
              
   
(69
)
Operating expenses
    
601
      
(170
)
     D

   
431
  
Interest expense
    
99
                
   
99
  
Total benefits and expenses
    
4,961
      
(2,017
)
      
   
2,944
  
Net income (loss) before income taxes
    
444
      
(21
)
      
   
423
  
Income tax expense (benefit)
    
47
      
(4
)
     D

   
43
  
Net income (loss)
    
397
      
(17
)
      
   
380
  
Less: Net income (loss) attributable to noncontrolling interests
    
5
                      
5
  
Net income (loss) attributable to American National Group Inc. stockholders
    
392
      
(17
)
            
375
  
Less: Preferred stock dividends and redemption
    
-
                      
-
  
Net income (loss) attributable to American National Group Inc. common stockholder
  
$
392
    
$
(17
)
          
$
375
  
                                 
See notes to unaudited pro forma condensed consolidated financial information.


AMERICAN NATIONAL GROUP INC. AND SUBSIDIARIES
PRO FORMA CONDENSED CONSOLIDATED STATEMENT OF COMPREHENSIVE INCOME
FOR THE SIX MONTHS ENDED JUNE 30, 2025
(Dollars in millions)
(Unaudited)

   
As Reported
    
Disposition Adjustments
    

Notes
   
Pro Forma
  
Net income (loss)
  
$
(49
)
  
$
(61
)
     D
 
$
(110
)
Other comprehensive income (loss), net of tax:
                      
       
Change in net unrealized investment gains (losses)
    
315
      
(21
)
     E

   
294
  
Foreign currency translation
    
119
      
(7
)
     E

   
112
  
Change in discount rate for future policy benefits
    
(76
)
                    
(76
)
Change in instrument-specific credit risk for market risk benefits
    
(29
)
                    
(29
)
Defined benefit pension plan adjustment
    
(5
)
                    
(5
)
Total other comprehensive income (loss)
    
324
      
(28
)
            
296
  
Comprehensive income
    
275
      
(89
)
            
186
  
Less: Comprehensive income (loss) attributable to noncontrolling interest
    
5
                      
5
  
Comprehensive income attributable to American National Group Inc.
  
$
270
    
$
(89
)
          
$
181
  
                                 
See notes to unaudited pro forma condensed consolidated financial information.


AMERICAN NATIONAL GROUP INC. AND SUBSIDIARIES
PRO FORMA CONDENSED CONSOLIDATED STATEMENT OF COMPREHENSIVE INCOME
FOR THE YEAR ENDED DECEMBER 31, 2024
(Dollars in millions)
(Unaudited)

   
As Reported
    
Disposition Adjustments
    

Notes
   
Pro Forma
  
Net income (loss)
  
$
680
    
$
(106
)
      D
 
$
574
  
Other comprehensive income (loss), net of tax:
                      
       
Change in net unrealized investment gains (losses)
    
476
      
(5
)
      E
   
471
  
Foreign currency translation
    
(28
)
    
5
        E
   
(23
)
Change in discount rate for future policy benefits
    
174
                
   
174
  
Change in instrument-specific credit risk for market risk benefits
    
(197
)
              
   
(197
)
Defined benefit pension plan adjustment
    
18
      
(2
)
      E
   
16
  
Total other comprehensive income (loss)
    
443
      
(2
)
      
   
441
  
Comprehensive income
    
1,123
      
(108
)
      
   
1,015
  
Less: Comprehensive income (loss) attributable to noncontrolling interest
    
(49
)
              
   
(49
)
Comprehensive income attributable to American National Group Inc.
  
$
1,172
    
$
(108
)
          
$
1,064
  
                                 
See notes to unaudited pro forma condensed consolidated financial information.


AMERICAN NATIONAL GROUP INC. AND SUBSIDIARIES
PRO FORMA CONDENSED CONSOLIDATED STATEMENT OF COMPREHENSIVE INCOME
FOR THE YEAR ENDED DECEMBER 31, 2023
(Dollars in millions)
(Unaudited)

   
As Reported
    
Disposition Adjustments
    

Notes
   
Pro Forma
  
Net income (loss)
  
$
397
    
$
(17
)
     D

$
380
  
Other comprehensive income (loss), net of tax:
                      

     
Change in net unrealized investment gains (losses)
    
423
      
(45
)
     E

 
378
  
Foreign currency translation
    
-
                

 
-
  
Change in discount rate for future policy benefits
    
(148
)
              

 
(148
)
Change in instrument-specific credit risk for market risk benefits
    
(20
)
              

 
(20
)
Defined benefit pension plan adjustment
    
84
      
(2
)
     E

 
82
  
Total other comprehensive income (loss)
    
339
      
(47
)
      

 
292
  
Comprehensive income
    
736
      
(64
)
      

 
672
  
Less: Comprehensive income (loss) attributable to noncontrolling interest
    
5
                

 
5
  
Comprehensive income attributable to American National Group Inc.
  
$
731
    
$
(64
)
      

$
667
  
                                 
See notes to unaudited pro forma condensed consolidated financial information.


Notes to Unaudited Pro Forma Condensed Consolidated Financial Information
(In millions)

1          Basis of Presentation

The unaudited pro forma condensed consolidated financial information is prepared based on the Company's historical consolidated financial statements and pursuant to Article 11 of Regulation S-X, adjusted for certain transaction accounting adjustments listed in Note 2 below. The unaudited pro forma condensed consolidated financial statements are prepared in accordance with accounting principles generally accepted in the United States of America. These principles require the use of estimates that affect the reported amounts of assets, liabilities, revenues and expenses. Actual results could differ from those estimates.

2          Pro Forma Adjustments

The following pro forma adjustments are included in the unaudited pro forma condensed consolidated statements of financial position and/or the unaudited pro forma condensed consolidated statements of operations:

  A)
Represents the elimination of the assets, liabilities, and corresponding equity impacts associated with the Disposition.
  B)
Represents the effect on retained earnings related to the elimination of a $77 million dividend paid from ANPAC to the Company in 2025 as well as the elimination of the historical revenues and expenses associated with the Disposition.
  C)
Represents the effect on retained earnings related to the elimination of the historical revenues and expenses attributable to the assets and liabilities associated with the Disposition.
  D)
Represents the elimination of the historical revenues and expenses attributable to the assets and liabilities associated with the Disposition.
  E)
Represents the effect on comprehensive income related to the elimination of the assets and liabilities associated with the Disposition.