Gain (Loss) on Disposition of Business

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THE HARTFORD FINANCIAL SERVICES GROUP, INC.Condensed Consolidated Statements of Cash Flows

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|   | Nine Months Ended September 30, |
| (in millions) | 2022 | 2021 |
| Operating Activities | (Unaudited) |
| Net income | $ | 1,226  |  | $ | 1,636  |  |
| Adjustments to reconcile net income to net cash provided by operating activities: |  |  |
| Net realized losses (gains) | 649  |  | (317) |  |
| Amortization of deferred policy acquisition costs | 1,360  |  | 1,252  |  |
| Additions to deferred policy acquisition costs | (1,477) |  | (1,330) |  |
| Depreciation and amortization | 485  |  | 515  |  |
| Loss on extinguishment of debt | 9  |  | —  |  |
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| Loss on sale of business | —  |  | 20  |  |
| Other operating activities, net | 43  |  | (178) |  |
| Change in assets and liabilities: |  |  |
| Increase in reinsurance recoverables | (132) |  | (257) |  |
| Net change in accrued and deferred income taxes | (184) |  | (114) |  |
| Increase in insurance liabilities | 1,659  |  | 2,104  |  |
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| Net change in other assets and other liabilities | (714) |  | (442) |  |
| Net cash provided by operating activities | 2,924  |  | 2,889  |  |
| Investing Activities |  |  |
| Proceeds from the sale/maturity/prepayment of: |  |  |
| Fixed maturities, available-for-sale | 12,418  |  | 16,141  |  |
| Fixed maturities, fair value option | 1  |  | —  |  |
| Equity securities, at fair value | 435  |  | 517  |  |
| Mortgage loans | 864  |  | 1,092  |  |
| Partnerships | 190  |  | 451  |  |
| Payments for the purchase of: |  |  |
| Fixed maturities, available-for-sale | (12,480) |  | (15,898) |  |
| Fixed maturities, fair value option | (216) |  | (49) |  |
| Equity securities, at fair value | (580) |  | (1,060) |  |
| Mortgage loans | (1,419) |  | (1,692) |  |
| Partnerships | (875) |  | (830) |  |
| Net proceeds from derivatives | 94  |  | 3  |  |
| Net additions of property and equipment | (122) |  | (92) |  |
| Net proceeds from (payments for) short-term investments | 970  |  | (329) |  |
| Other investing activities, net | 15  |  | (2) |  |
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| Net cash used for investing activities | (705) |  | (1,748) |  |
| Financing Activities |  |  |
| Deposits and other additions to investment and universal life-type contracts | 67  |  | 66  |  |
| Withdrawals and other deductions from investment and universal life-type contracts | (87) |  | (57) |  |
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| Repayment of debt | (600) |  | —  |  |
| Proceeds from the issuance of debt | —  |  | 588  |  |
| Net issuance (return) of shares under incentive and stock compensation plans | (34) |  | 23  |  |
| Treasury stock acquired | (1,200) |  | (1,202) |  |
| Dividends paid on preferred stock | (16) |  | (16) |  |
| Dividends paid on common stock | (383) |  | (365) |  |
| Net cash used for financing activities | (2,253) |  | (963) |  |
| Foreign exchange rate effect on cash | (18) |  | (5) |  |
| Net increase (decrease) in cash and restricted cash, including cash classified within assets held for sale | (52) |  | 173  |  |
| Less: Net increase in cash classified within assets held for sale | —  |  | 15  |  |
| Net increase (decrease) in cash and restricted cash | (52) |  | 158  |  |
| Cash and restricted cash – beginning of period | 337  |  | 239  |  |
| Cash and restricted cash– end of period | $ | 285  |  | $ | 397  |  |
| Supplemental Disclosure of Cash Flow Information |  |  |
| Income tax paid | $ | 454  |  | $ | 439  |  |
| Interest paid | $ | 172  |  | $ | 165  |  |
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See Notes to Condensed Consolidated Financial Statements.11
