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## Investments NOTE 12 

## A. Fixed Maturities and Equity Securities 

Securities in the following table are included in fixed maturities and equity securities on the Company’s Consolidated Balance Sheets. The Company’s hybrid investments include certain preferred stock or debt securities with call or conversion features. 

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Fixed maturities included federal government securities of $54 million at December 31, 2012 and $79 million at December 31, 2011, that were pledged as collateral to brokers as required under certain futures contracts. 

The following information about fixed maturities excludes trading and hybrid securities. The amortized cost and fair value by contractual maturity periods for fixed maturities were as follows at December 31, 2012: 

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Actual maturities could differ from contractual maturities because issuers may have the right to call or prepay obligations, with or without penalties. Also, in some cases the Company may extend maturity dates. 

Gross unrealized appreciation (depreciation) on fixed maturities by type of issuer is shown below (excluding trading securities and hybrid securities with a fair value of $16 million at December 31, 2012 and $30 million at December 31, 2011). 

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