UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549

FORM 8-K

CURRENT REPORT
PURSUANT TO SECTION 13 OR 15(d)
OF THE SECURITIES EXCHANGE ACT OF 1934
February 5, 2019
Date of Report
(Date of earliest event reported)

 

GENWORTH FINANCIAL, INC.
(Exact name of registrant as specified in its charter)

 
					
Delaware	 	001-32195	 	80-0873306	
(State or other jurisdiction
of incorporation)	 	(Commission
File Number)	 	(I.R.S. Employer
Identification No.)	

6620 West Broad Street, Richmond, VA	 	23230	
(Address of principal executive offices)	 	(Zip Code)	
(804) 281-6000
(Registrant’s telephone number, including area code)
N/A
(Former name or former address, if changed since last report)

Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions (see General Instruction A.2 below):
 
☐	Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)	
 
☐	Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)	
 
☐	Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))	
 
☐	Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))	
Indicate by check mark whether the registrant is an emerging growth company as defined in Rule 405 of the Securities Act of 1933 (§230.405 of this chapter) or Rule 12b-2 of the Securities Exchange Act of 1934 (§240.12b-2 of this chapter).
Emerging growth company  ☐
If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act.  ☐

 

Item 2.02	Results of Operations and Financial Condition.	
On February 5, 2019, Genworth Financial, Inc. (the “Company”) issued (1) a press release announcing its financial results for the quarter ended December 31, 2018, a copy of which is attached hereto as Exhibit 99.1 and is incorporated herein by reference, and (2) a financial supplement for the quarter ended December 31, 2018, a copy of which is attached hereto as Exhibit 99.2 and is incorporated herein by reference.
 
Item 7.01	Regulation FD Disclosure	
On February 5, 2019, the Company also issued its Fourth Quarter 2018 earnings summary presentation, a copy of which is attached hereto as Exhibit 99.3 and is incorporated herein by reference.
The press release, the financial supplement and the earnings summary presentation are also available on the Company’s website, www.genworth.com under the “Investors” section.
The information contained in this Current Report on Form 8-K (including the exhibits) is being furnished and shall not be deemed “filed” for purposes of Section 18 of the Securities Exchange Act of 1934 (the “Exchange Act”) or otherwise subject to the liabilities under that Section and shall not be deemed to be incorporated by reference into any filing of the company under the Securities Act of 1933, as amended or the Exchange Act, except as shall be expressly set forth by specific reference in such filing. The information contained in this Current Report on Form 8-K shall not be incorporated by reference into any registration statement or other document pursuant to the Securities Act of 1933, as amended, or the Exchange Act, except as shall be expressly set forth by specific reference in any such filing.
 
Item 9.01	Financial Statements and Exhibits.	
The following materials are furnished as exhibits to this Current Report on Form 8-K:

Exhibit	
Number	  		Description of Exhibit	
			
99.1	  	Press Release dated February 5, 2019.		
			
99.2	  	Financial Supplement for the quarter ended December 31, 2018.		
			
99.3	  	Fourth Quarter 2018 Earnings Summary Presentation issued February 5, 2019.		
 
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Exhibit Index

Exhibit	
Number	  		Description of Exhibit	
			
99.1	  	Press Release dated February 5, 2019.		
			
99.2	  	Financial Supplement for the quarter ended December 31, 2018.		
			
99.3	  	Fourth Quarter 2018 Earnings Summary Presentation issued February 5, 2019.		
 
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SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.

	 		 	GENWORTH FINANCIAL, INC.	
				
Date: February 5, 2019	 	                                    	 	By:	 	/s/ Matthew D. Farney	
	 		 		 	Matthew D. Farney	
	 		 		 	Vice President and Controller	
	 		 		 	(Principal Accounting Officer)	
 
4

Exhibit 99.1

Genworth Financial Announces Fourth Quarter 2018 Results
Fourth Quarter Net Loss Of $329 Million And Adjusted Operating Loss Of $291 Million
Full Year Net Income Of $119 Million And Adjusted Operating Income Of $179 Million
 
 	•	 	All Required U.S. Insurance Regulatory Approvals Have Been Received For The Proposed Transaction With China Oceanwide Holdings Group Co., Ltd (Oceanwide)	
 
 	•	 	Oceanwide Merger Agreement Deadline Extended To March 15, 2019; In Discussions With Canada Regarding National Security Matters Including Customer Data Protection	
 
 	•	 	U.S. Mortgage Insurance (MI) Full Year Adjusted Operating Income Of $490 Million, Increased 58 Percent Compared To 2017	
 
 	•	 	Strong Capital Levels Above Management Targets In U.S., Canada And Australia MI	
 
 	•	 	U.S. MI’s PMIERs 1 Sufficiency Ratio At 129 Percent, In Excess Of $750 Million Above Current Requirements And More Than $550 Million Above The Revised Standards (PMIERs 2.0) Effective March 31, 2019	
 
 	•	 	Annual U.S. GAAP Assumption Review Completed For U.S. Life Insurance	
 
 	•	 	Long Term Care Insurance (LTC) Active Life U.S. GAAP Margins Approximately $0.5 To $1.0 Billion, Consistent With Prior Year	
 
 	•	 	After-Tax Increase In LTC Reserves Of $258 Million Related To Changes To Benefit Utilization Rate, Claim Termination Rate And Other Assumptions	
 
 	•	 	Universal Life Insurance 2 After-Tax Charges Of $91 Million Primarily Related To Mortality And Interest Rate Assumption Updates	
 
 	•	 	Continued Progress Towards Multi-Year LTC Rate Action Plan (MYRAP) With Nearly $400 Million Incremental Annual Premium Increases Approved In 2018, With A Net Present Value (NPV) Of Over $2 Billion	
 
 	•	 	Cumulative Economic Benefit Of LTC Rate Increases Through Year-End 2018 Equal To Approximately $10.5 Billion, Approximately 65 Percent Of Total Amount Required Under The MYRAP	
 
 	•	 	Holding Company Cash And Liquid Assets Of $504 Million	

1  	Private Mortgage Insurer Eligibility Requirements	
2  	Includes both universal life and term universal life insurance	

Richmond, VA (February 5, 2019) – Genworth Financial, Inc. (NYSE: GNW) today reported results for the quarter ended December 31, 2018. The company reported a net loss 3 of $329 million, or $0.66 4 per diluted share, in the fourth quarter of 2018, compared with net income of $353 million, or $0.70 per diluted share, in the fourth quarter of 2017. The company reported an adjusted operating loss 5 of $291 million, or $0.58 4 per diluted share, in the fourth quarter of 2018, compared with adjusted operating income of $326 million, or $0.65 per diluted share, in the fourth quarter of 2017. Genworth’s effective tax rate for the quarter was approximately 21 percent.
The company reported full year net income of $119 million, or $0.24 per diluted share, in 2018, compared with net income of $817 million, or $1.63 per diluted share, in 2017. The company reported adjusted operating income of $179 million, or $0.36 per diluted share, in 2018, compared with adjusted operating income of $696 million, or $1.39 per diluted share, in 2017. The full year effective tax rate was 34 percent due to foreign operations being taxed at their jurisdictional rates, which are higher than the domestic rate of 21 percent, and also due to the tax impact of forward starting swap gains settled prior to the change in the corporate tax rate, which will continue to be tax effected at 35 percent as they are amortized into net investment income.
Genworth made strong progress towards its multi-year LTC rate action plan in 2018, receiving approvals for nearly $400 million of incremental annual premium increases during the year, a 100 percent increase over 2017, with a NPV of over $2 billion. Genworth has achieved approximately $10.5 billion in NPV from approved rate increases since 2012, representing approximately 65 percent progress towards the multi-year LTC rate action plan consistent with loss recognition testing. The company continues to work closely with state regulators to demonstrate the broad-based need for actuarially justified rate increases in order to pay future claims. As previously disclosed, Genworth intends to manage the U.S. life entities on a standalone basis, with no plans to infuse capital in the future beyond the $175 million pledged to Genworth Life Insurance Company (GLIC) in connection with the completion of the Oceanwide transaction.
“I am very pleased with the performance of our mortgage insurance businesses in 2018, led by excellent results in our U.S. mortgage insurance business,” said Tom McInerney, president and CEO of Genworth. “Despite the increases in our LTC and life insurance reserves to reflect the changes in our underlying

3  	Unless otherwise stated, all references in this press release to net income (loss), net income (loss) per share, adjusted operating income (loss), adjusted operating income (loss) per share and book value per share should be read as net income (loss) available to Genworth’s common stockholders, net income (loss) available to Genworth’s common stockholders per diluted share, adjusted operating income (loss) available to Genworth’s common stockholders, adjusted operating income (loss) available to Genworth’s common stockholders per diluted share and book value available to Genworth’s common stockholders per share, respectively.	
4  	Under applicable accounting guidance, companies in a loss position are required to use basic weighted-average common shares outstanding in the calculation of diluted loss per share. Therefore, as a result of the loss from continuing operations for the three months ended December 31, 2018, the company was required to use basic weighted-average common shares outstanding in the calculation of diluted loss per share for the three months ended December 31, 2018, as the inclusion of shares for stock options, restricted stock units and stock appreciation rights of 7.6 million would have been antidilutive to the calculation. If the company had not incurred a loss from continuing operations for the three months ended December 31, 2018, dilutive potential weighted-average common shares outstanding would have been 508.4 million.	
5  	This is a financial measure that is not calculated based on U.S. Generally Accepted Accounting Principles (Non-GAAP). See the Use of Non-GAAP Measures section of this press release for additional information.	
 
2

assumptions, we executed against our strategic priorities, including strengthening our balance sheet and delivering outstanding results on our multi-year LTC rate action plan. I am encouraged by our progress as well as our active engagement with state regulators who are focused on this important initiative. This is critical to stabilizing our U.S. life insurance business, which will continue to rely on its consolidated statutory capital, prudent management of in-force blocks and actuarially justified rate actions to pay future claims.”
Strategic Update
Genworth and Oceanwide continue to work towards closing the previously announced proposed transaction. Since the last earnings update, the parties obtained all required U.S. insurance regulatory approvals.
Following the public hearing held by the Delaware Department of Insurance, the Department approved the proposed acquisition of control by Oceanwide of GLIC, Genworth’s Delaware-domiciled insurance company.
The New York State Department of Financial Services (NY DFS) also approved the proposed acquisition of control by Oceanwide of Genworth Life Insurance Company of New York, Genworth’s New York-domiciled insurance company. As part of the NY DFS approval, Genworth and Oceanwide entered into a letter agreement with the NY DFS that acknowledges certain additional requirements relating to cyber-security matters and the protection of customer personally identifiable information. These requirements are consistent with the Enhanced Data Security Program that Genworth and Oceanwide have undertaken in connection with the clearance of the transaction by the Committee on Foreign Investment in the United States (CFIUS).
State insurance regulators in Virginia, North Carolina, South Carolina and Vermont reapproved the proposed acquisition of control by Oceanwide of Genworth’s subsidiaries domiciled in those states. Regulators in these four states had previously approved the transaction and reapproved it after the parties filed supplemental information to reflect changes to the transaction that had occurred since the regulators’ original approvals.
Additionally, Fannie Mae and Freddie Mac (GSEs) approved Oceanwide’s proposed acquisition of control of Genworth Mortgage Insurance Corporation, the flagship company of Genworth’s U.S. MI business. Approval from the GSEs included certain conditions that are subject to confidentiality obligations, which the parties anticipate being able to meet.
 
3

While both parties have made significant progress towards closing the transaction, due to pending regulatory approvals as well as the Chinese New Year/Spring Festival holiday, Genworth and Oceanwide agreed to extend the merger agreement deadline from January 31, 2019 to March 15, 2019. The closing of the transaction remains subject to the receipt of regulatory approvals in Canada and by the U.S. Financial Industry Regulatory Authority (FINRA). In addition, Oceanwide will need to receive clearance in China for currency conversion and the transfer of funds. Genworth and Oceanwide remain committed to satisfying the closing conditions under the merger agreement as soon as possible.
CEO Tom McInerney continued: “We remain actively engaged with regulators to secure the remaining regulatory approvals needed to close the transaction as soon as possible. The merger agreement extension allows us additional time to continue these productive, ongoing conversations. Our discussions with Canada have been centered around national security matters, including data protections and the safeguarding of our customers’ personally identifiable information, consistent with the Enhanced Data Security Program that Genworth and Oceanwide have undertaken in connection with the clearance of the transaction by CFIUS. We hope to be able to reach an agreement with Canada soon. Overall, I am very pleased with the progress towards completing the transaction with Oceanwide, which represents the greatest and most certain value for our stockholders.”
LU Zhiqiang, chairman of Oceanwide, added: “Oceanwide is pleased with the progress made towards closing the transaction since the acceptance of our filing with the National Development and Reform Commission (NDRC). We remain committed to the transaction, including the $1.5 billion contribution to Genworth over time following the consummation of the transaction. The first tranche of $500 million is expected to be contributed by March 31, 2019, with the remainder expected to be contributed by the end of 2019. We continue to believe the transaction will bring financial stability to Genworth’s businesses in the U.S. and enable us to bring insurance expertise and solutions to China, and we look forward to closing the transaction as soon as possible.”
Financial Performance

Consolidated Net Income (Loss) & 	
Adjusted Operating Income (Loss) 	  	 	 	 	 	 	 	 	 	  	 	 	  	 	 	 	 	 	  	 	 	  	 	 	  	 	 	  	 	 	
 	  	Three months ended December 31	 	  	 	 	 	Twelve months ended December 31	 	  	 	 		
 	  	2018	 	 	2017	 	  	 	 	 	2018	 	  	2017	 	  	 	 		
	(Amounts in millions, except per share) 	  	Total	 	 	Per
diluted
share	 	 	Total	 	  	Per
diluted
share	 	  	Total 
 % change	 	 	Total	 	  	Per
diluted
share	 	  	Total	 	  	Per
diluted
share	 	  	Total 
 % change	 	
Net income (loss) available to Genworth’s common stockholders	  	$	(329	) 	 	$	(0.66	) 	 	$	353		  	$	0.70		  	 	(193	)% 	 	$	119		  	$	0.24		  	$	817		  	$	1.63		  	 	(85	)% 		
Adjusted operating income (loss)	  	$	(291	) 	 	$	(0.58	) 	 	$	326		  	$	0.65		  	 	(189	)% 	 	$	179		  	$	0.36		  	$	696		  	$	1.39		  	 	(74	)% 		
Weighted-average diluted common shares 4  	  	 	500.8		 				 	 	502.1		  				  				 	 	504.2		  				  	 	501.4		  				  					

 	  	As of December 31	 	
 	  	2018	 	  	2017	 	
Book value per share	  	$	24.86		  	$	26.88		
Book value per share, excluding accumulated other comprehensive income (loss)	  	$	20.78		  	$	20.82		
 
4

Net income in the fourth quarter of 2018 was impacted by net investment losses, net of taxes and other adjustments, of $33 million in the quarter, relating primarily to losses on equity investments and derivatives held in Canada MI that were impacted by changes in interest rates and forward foreign exchange rates in the quarter, partially offset by realized gains on the sale of investment securities in LTC. Net income in the fourth quarter of 2017 benefitted from net investment gains, net of taxes and other adjustments, of $27 million.
Net investment income was $815 million in the quarter, flat to the prior quarter and up from $812 million in the prior year. Net investment income increased compared to the prior year due to higher investment yields, partially offset by lower variable investment income. The reported yield and the core yield 5 for the quarter were 4.64 percent and 4.58 percent, respectively.
Adjusted operating income (loss) results by business line are summarized in the table below:

	Adjusted Operating Income (Loss)
 (Amounts in millions)	  	Q4 18 	 	  	Q3 18	 	  	Q4 17	 	
U.S. Mortgage Insurance	  	$	124	 	  	$	118	 	  	$	74			
Canada Mortgage Insurance	  	 	48	 	  	 	44	 	  	 	43			
Australia Mortgage Insurance	  	 	18	 	  	 	17	 	  	 	(125	) 		
U.S. Life Insurance	  	 	(425	)  	  	 	(3	)  	  	 	(69	) 		
Runoff	  	 	(2	)  	  	 	14	 	  	 	13			
Corporate and Other	  	 	(54	)  	  	 	(45	)  	  	 	390			
	  	 	 	 	  	 	 	 	  	 	 	 		
Total Adjusted Operating Income (Loss)	  	$	(291	) 	  	$	145	 	  	$	326			
	  	 	 	 	  	 	 	 	  	 	 	 		
Adjusted operating income (loss) represents income (loss) from continuing operations excluding net investment gains (losses), gains (losses) on the sale of businesses, gains (losses) on the early extinguishment of debt, gains (losses) on insurance block transactions, restructuring costs and other adjustments, net of taxes. A reconciliation of net income (loss) to adjusted operating income (loss) is included at the end of this press release.
Unless specifically noted in the discussion of results for the MI businesses in Canada and Australia, references to percentage changes exclude the impact of translating foreign denominated activity into U.S. dollars (foreign exchange). Percentage changes, which include the impact of foreign exchange, are found in a table at the end of this press release.
U.S. Mortgage Insurance

Operating Metrics	  	 	 		
	(Dollar amounts in millions)	  	Q4 18	 	 	Q3 18	 	 	Q4 17	 	
Adjusted operating income	  	$	124	 	 	$	118	 	 	$	74	 		
New insurance written	  				 				 					
Primary Flow	  	$	9,300	 	 	$	10,300	 	 	$	10,200	 		
Loss ratio	  	 	7	% 	 	 	11	% 	 	 	22	% 		
 
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U.S. MI reported adjusted operating income of $124 million, compared with $118 million in the prior quarter and $74 million in the prior year. The loss ratio in the current quarter was seven percent, down four points sequentially and down 15 points from the prior year. There were no material incremental incurred losses from areas impacted by hurricanes in the quarter, and delinquencies in those areas are curing in line with the company’s original loss expectations. Results in the quarter also benefitted from a lower corporate tax rate compared to the prior year.
Flow New Insurance Written (NIW) of $9.3 billion decreased 10 percent from the prior quarter primarily from a seasonally smaller purchase originations market and decreased nine percent versus the prior year primarily from a decline in refinance originations. During the fourth quarter of 2018, the company’s concentration of single premium flow NIW was 15 percent, down three points from the prior quarter and down eight points from the prior year as it continues its selective participation in this market. U.S. MI’s flow insurance in force increased 10 percent versus the prior year driven primarily by strong NIW and persistency.
Canada Mortgage Insurance

Operating Metrics	  	 	 	 	 	 	 	 	 		
	(Dollar amounts in millions)	  	Q4 18	 	 	Q3 18	 	 	Q4 17	 	
Adjusted operating income	  	$	48	 	 	$	44	 	 	$	43	 		
New insurance written	  				 				 					
Flow	  	$	3,300	 	 	$	4,200	 	 	$	3,600	 		
Bulk	  	$	900	 	 	$	600	 	 	$	800	 		
Loss ratio	  	 	18	% 	 	 	14	% 	 	 	9	% 		
Canada MI reported adjusted operating income of $48 million versus $44 million in the prior quarter and $43 million in the prior year. The loss ratio in the quarter was 18 percent, up four points sequentially and nine points from the prior year primarily from higher average reserves on delinquencies in Alberta. Results in the current quarter also benefitted from favorable taxes compared to the prior quarter and the prior year.
Flow NIW was down 21 percent 6 sequentially primarily from a seasonally smaller originations market and down six percent 6 from the prior year. Bulk NIW for the quarter increased versus the fourth quarter of 2017 but declined for the full year versus the prior year as a result of regulatory changes introduced in 2016 and 2017.
Australia Mortgage Insurance

Operating Metrics	  	 	 	 	 	 	 	 	 		
	(Dollar amounts in millions)	  	Q4 18	 	 	Q3 18	 	 	Q4 17	 	
Adjusted operating income (loss)	  	$	18	 	 	$	17	 	 	$	(125	) 		
New insurance written	  				 				 					
Flow	  	$	4,000	 	 	$	3,800	 	 	$	4,200	 		
Bulk	  	$	800	 	 	$	—  	 	 	$	—  	 		
Loss ratio	  	 	29	% 	 	 	31	% 	 	 	(7	)% 		

6  	Percent change excludes the impact of foreign exchange.	
 
6

Australia MI reported adjusted operating income of $18 million versus $17 million in the prior quarter and an adjusted operating loss of $125 million in the prior year. Fourth quarter 2017 results included an unfavorable $141 million impact from an annual review of its premium earnings pattern.
The loss ratio in the quarter was 29 percent, down two points sequentially from seasonally lower new delinquencies, net of cures. The loss ratio in the fourth quarter of 2017 was reduced by 35 points by the change in the premium earnings pattern.
Flow NIW was up 11 percent 6  sequentially and up two percent 6  from the prior year primarily due to increased mortgage origination activity with certain key customers during the current quarter.
U.S. Life Insurance

	Adjusted Operating Income (Loss)
 (Amounts in millions)	  	Q4 18	 	  	Q3 18	 	  	Q4 17	 	
Long Term Care Insurance	  	$	(314	) 	  	$	(24	) 	  	$	17			
Life Insurance	  	 	(108	) 	  	 	(2	) 	  	 	(85	) 		
Fixed Annuities	  	 	(3	) 	  	 	23		  	 	(1	) 		
	  	 	 	 	  	 	 	 	  	 	 	 		
Total U.S. Life Insurance	  	$	(425	) 	  	$	(3	) 	  	$	(69	) 		
	  	 	 	 	  	 	 	 	  	 	 	 		
Long Term Care Insurance
LTC reported an adjusted operating loss of $314 million, compared with an adjusted operating loss of $24 million in the prior quarter and adjusted operating income of $17 million in the prior year. During the quarter, the company completed its annual review of assumptions and methodologies related to its LTC reserves, which included updated company experience and review by a third-party actuarial firm. Based on the annual review, the company updated several assumptions and methodologies, including benefit utilization rate, claim termination rate and other assumptions.
As a result of these updates, the company increased LTC reserves by approximately $327 million pre-tax, resulting in an after-tax charge to earnings of $258 million in the fourth quarter. The primary impact related to increasing later duration utilization assumptions for claims with lifetime benefits, given current experience. The updated assumptions also increased new claim severity in the quarter versus the prior quarter and prior year.
Compared to the prior year, results also reflected higher frequency of new claims and higher benefit utilization, partially offset by higher premiums and benefit reductions from in force rate actions. Fluctuation in performance of existing claims also drove higher losses in the quarter, with fewer terminations relative to the prior quarter and prior year. Current and prior quarter results also included incremental tax expenses of $5 million above the 21 percent corporate tax rate as a result of the amortization of forward starting swap gains settled prior to the change in the corporate tax rate. Results in the prior year also included an after-tax reduction to claim reserves of $20 million primarily driven by assumption changes related to claims administrative expenses.
 
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During the quarter, the company completed its annual review of GAAP active life margins, also referred to as loss recognition testing. All margin-testing assumptions were reviewed and updated where appropriate, including routine updates for lapse, mortality, and incidence assumptions and alignment of claim severity assumptions to the updated claim reserves methodology. Updated assumptions also reflected rate action approvals received in 2018 which had a positive impact on margins. As of December 31, 2017, the aggregate loss recognition testing margin for the business was approximately $0.5 to $1.0 billion, and the margin as of December 31, 2018 remains in this range. Claim severity assumptions used in margin testing were consistent with the updated assumptions used in the fourth quarter 2018 claim reserves. These updated claim severity assumptions had a limited impact on the active life reserve margin, which relates to active policies not on claim, as the increased later duration utilization assumptions for policies with lifetime benefits were mostly offset by favorable changes to assumptions for early claim durations.
The company continues to separately test its LTC acquired block (representing business written prior to late 1995) for recoverability as part of testing its loss recognition testing margins. The loss recognition testing margin for the LTC acquired block was positive and did not require an increase to reserves in the quarter.
Life Insurance
Life insurance reported an adjusted operating loss of $108 million, compared with $2 million in the prior quarter and $85 million in the prior year. During the quarter, the company completed its annual review of life insurance assumptions and recorded an after-tax charge of $91 million, primarily driven by assumption changes due to lower expected growth in interest rates and emerging mortality experience primarily in term universal life insurance products. Results in the prior year included an after-tax charge of $74 million related to the company’s annual review of life insurance assumptions. Results versus the prior quarter and prior year reflected unfavorable mortality in universal life insurance products and lower premiums in term life insurance products due to block runoff. Results versus the prior year also reflected higher investment income from higher asset levels.
Fixed Annuities
Fixed annuities reported an adjusted operating loss of $3 million, compared with adjusted operating income of $23 million in the prior quarter and an adjusted operating loss of $1 million in the prior year. During the quarter, the company recorded after-tax charges of $17 million driven primarily by assumption changes, including lower interest rates, resulting from loss recognition testing on the single premium annuity block. Results in the prior year included a net after-tax charge of $30 million driven by loss recognition testing and assumption updates. Results versus both the prior year and prior quarter reflected higher reserves associated with fixed index annuity products due to the decline in equity markets and interest rates in the current quarter. Results versus the prior year also reflected lower variable investment income.
 
8

Runoff
Runoff reported an adjusted operating loss of $2 million, compared with adjusted operating income of $14 million in the prior quarter and adjusted operating income of $13 million in the prior year, reflecting impacts from the decline in equity markets in the current quarter on the company’s variable annuity business.
Corporate And Other
Corporate and Other reported an adjusted operating loss of $54 million, compared with an adjusted operating loss of $45 million in the prior quarter and adjusted operating income of $390 million in the prior year. Results in the current quarter included unfavorable tax impacts related to tax reform adjustments and a correction, substantially offset by other tax adjustments. Results in the prior quarter included net favorable tax benefits of $10 million primarily related to tax reform adjustments. Results in the prior year included a net favorable impact of $456 million related to deferred taxes due to the combination of tax reform, business forecast improvements and other items. Results in the prior year also included an unfavorable $11 million tax charge related to the Australia MI premium earnings pattern update. Results in the current quarter also reflected a lower corporate tax rate compared to the prior year.
Capital & Liquidity
Genworth maintains the following capital positions in its operating subsidiaries:

	Key Capital & Liquidity Metrics 
 (Dollar amounts in millions)	  	Q4 18	 	 	Q3 18	 	 	Q4 17	 	
U.S. MI	  				 				 					
Consolidated Risk-To-Capital Ratio 7  	  	 	12.2:1	 	 	 	12.3:1	 	 	 	12.7:1	 		
Genworth Mortgage Insurance Corporation Risk-To-Capital Ratio 7  	  	 	12.5:1	 	 	 	12.6:1	 	 	 	12.9:1	 		
Private Mortgage Insurer Eligibility Requirements (PMIERs) Sufficiency Ratio 8  	  	 	129	% 	 	 	130	% 	 	 	121	% 		
Canada MI	  				 				 					
Minimum Capital Test (MCT) Ratio 7  	  	 	171	% 	 	 	171	% 	 	 	172	% 		
Australia MI	  				 				 					
Prescribed Capital Amount (PCA) Ratio 7  	  	 	194	% 	 	 	185	% 	 	 	193	% 		
U.S. Life Insurance Companies	  				 				 					
Consolidated Risk-Based Capital (RBC) Ratio 7, 9  	  	 	190-200	% 	 	 	268	% 	 	 	282	% 		
Holding Company Cash and Liquid Assets 10 , 11	  	$	504		 	$	609		 	$	870			

 

 

7  	Company estimate for the fourth quarter of 2018 due to timing of the preparation and filing of statutory statements.	
8  	The PMIERs sufficiency ratio is calculated as available assets divided by required assets as defined within the current PMIERs. The current period PMIERs sufficiency ratio is an estimate due to the timing of the PMIERs filing for the U.S. mortgage insurance business. As of December 31, 2018, September 30, 2018 and December 31, 2017, the PMIERs sufficiency ratios were in excess of $750 million, $750 million, and $550 million, respectively, of available assets above the current PMIERs requirements. The PMIERs sufficiency ratio as of September 30, 2018 and December 31, 2017 was negatively impacted by approximately one and four points, respectively, by the increase in new delinquencies reported in the fourth quarter of 2017 in areas impacted by hurricanes Harvey and Irma. There was no impact on the ratio at December 31, 2018.	
9  	Cash flow testing for U.S. life insurance companies is not yet complete. RBC ratio based on Company Action Level.	
10  	Holding company cash and liquid assets comprises assets held in Genworth Holdings, Inc. (the issuer of outstanding public debt) which is a wholly-owned subsidiary of Genworth Financial, Inc.	
11  	Genworth Holdings, Inc. had $429 million, $534 million and $795 million of cash, cash equivalents and restricted cash as of December 31, 2018, September 30, 2018 and December 31, 2017, respectively, which included approximately $16 million, $16 million and $4 million of restricted cash, respectively. Genworth Holdings, Inc. also held $75 million in U.S. government securities as of December 31, 2018, September 30, 2018 and December 31, 2017, which included approximately $42 million, $37 million and $41 million, respectively, of restricted assets.	
 
9

Key Points
 
 	•	 	U.S. MI’s PMIERs sufficiency ratio declined slightly to 129 percent versus the prior quarter and is estimated to be 122 percent under the revised PMIERs 2.0 standards that will be effective March 31, 2019;	
 
 	•	 	Canada MI’s MCT ratio is estimated to be 171 percent, above both the regulatory minimum requirement of 150 percent and the company’s operating range of 160 to 165 percent;	
 
 	•	 	Australia MI’s PCA ratio increased nine points sequentially to 194 percent driven primarily by an increase in available capital from earnings and a reduction in required capital from portfolio seasoning;	
 
 	•	 	Consolidated risk-based capital ratio for U.S. life companies is estimated to be between 190 percent and 200 percent 9 . This includes impacts from assumption updates, completion of the phase-in of previously agreed upon reserve increases for stand-alone testing of universal life insurance products with secondary guarantees (Actuarial Guideline 38), and RBC changes relating to tax reform impacts. This does not include potential impacts from cash flow testing which is not yet complete. Final statutory and cash flow testing results will be made available with year-end statutory filings;	
 
 	•	 	Genworth completed a bond consent solicitation in the fourth quarter, removing all U.S. Life insurance subsidiaries from certain events of default which eliminates a technical default risk at the holding company; and	
 
 	•	 	The holding company ended the quarter with $504 million of cash and liquid assets, which is slightly below the company’s target of two times expected annual debt interest payments excluding restricted cash. The company’s next scheduled debt maturity is in June 2020.	
About Genworth Financial
This press release, the fourth quarter 2018 financial supplement and the earnings presentation are now posted on the company’s website, http://investor.genworth.com . Investors are encouraged to review these materials. Due to the pending sale to China Oceanwide, the company does not plan to host an earnings call.
Use of Non-GAAP Measures
This press release includes the non-GAAP financial measures entitled “adjusted operating income (loss)” and “adjusted operating income (loss) per share.” Adjusted operating income (loss) per share is derived from adjusted operating income (loss). The chief operating decision maker evaluates segment performance and allocates resources on the basis of adjusted operating income (loss). The company defines adjusted operating income (loss) as income (loss) from continuing operations excluding the after-tax effects of income (loss) attributable to noncontrolling interests, net investment gains (losses), goodwill impairments, gains (losses) on the sale of businesses, gains (losses) on the early extinguishment of debt, gains (losses) on insurance block transactions, restructuring costs and infrequent or unusual non-operating items. Gains (losses) on insurance block transactions are defined as gains (losses) on the early extinguishment of non-recourse funding obligations, early termination fees for other financing restructuring and/or resulting gains (losses) on reinsurance restructuring for certain blocks of business. The company excludes net investment gains (losses) and infrequent or unusual non-operating items because the company does not consider them to be related to the operating performance of
 
10

the company’s segments and Corporate and Other activities. A component of the company’s net investment gains (losses) is the result of impairments, the size and timing of which can vary significantly depending on market credit cycles. In addition, the size and timing of other investment gains (losses) can be subject to the company’s discretion and are influenced by market opportunities, as well as asset-liability matching considerations. Goodwill impairments, gains (losses) on the sale of businesses, gains (losses) on the early extinguishment of debt, gains (losses) on insurance block transactions and restructuring costs are also excluded from adjusted operating income (loss) because, in the company’s opinion, they are not indicative of overall operating trends. Infrequent or unusual non-operating items are also excluded from adjusted operating income (loss) if, in the company’s opinion, they are not indicative of overall operating trends.
While some of these items may be significant components of net income (loss) available to Genworth Financial, Inc.’s common stockholders in accordance with U.S. GAAP, the company believes that adjusted operating income (loss) and measures that are derived from or incorporate adjusted operating income (loss), including adjusted operating income (loss) per share on a basic and diluted basis, are appropriate measures that are useful to investors because they identify the income (loss) attributable to the ongoing operations of the business. Management also uses adjusted operating income (loss) as a basis for determining awards and compensation for senior management and to evaluate performance on a basis comparable to that used by analysts. However, the items excluded from adjusted operating income (loss) have occurred in the past and could, and in some cases will, recur in the future. Adjusted operating income (loss) and adjusted operating income (loss) per share on a basic and diluted basis are not substitutes for net income (loss) available to Genworth Financial, Inc.’s common stockholders or net income (loss) available to Genworth Financial, Inc.’s common stockholders per share on a basic and diluted basis determined in accordance with U.S. GAAP. In addition, the company’s definition of adjusted operating income (loss) may differ from the definitions used by other companies.
On December 22, 2017, the Tax Cuts and Jobs Act (TCJA) was signed into law. The TCJA reduced the U.S. corporate federal income tax rate to 21 percent effective for taxable years beginning on January 1, 2018. Therefore, beginning in the first quarter of 2018, the company assumed a tax rate of 21 percent on certain adjustments to reconcile net income (loss) available to Genworth Financial, Inc.’s common stockholders and adjusted operating income (loss) and in the explanation of specific variances of operating performance (unless otherwise indicated). In the prior year, the company assumed a tax rate of 35 percent, the previous U.S. corporate federal income tax rate prior to the enactment of the TCJA, on certain adjustments to reconcile net income available to Genworth Financial, Inc.’s common stockholders and adjusted operating income and in the explanation of specific variances of operating performance. These adjustments are also net of the portion attributable to noncontrolling interests and net investment gains (losses) are adjusted for DAC and other intangible amortization and certain benefit reserves.
The company recorded a pre-tax expense of $2 million in the third quarter of 2018 and $1 million in the third and first quarters of 2017 related to restructuring costs as it continues to evaluate and appropriately size its organizational needs and expenses. There were no infrequent or unusual items excluded from adjusted operating income (loss) during the periods presented other than fees incurred during the fourth quarter of 2018 related to Genworth Holdings, Inc.’s bond consent solicitation of $6 million for broker, advisor and investment banking fees.
The tables at the end of this press release provide a reconciliation of net income (loss) available to Genworth Financial, Inc.’s common stockholders to adjusted operating income (loss) for the three and twelve months ended December 31, 2018 and 2017, as well as for the three months ended September 30, 2018, and reflect adjusted operating income (loss) as determined in accordance with accounting guidance related to segment reporting.
This press release includes the non-GAAP financial measure entitled “core yield” as a measure of investment yield. The company defines core yield as the investment yield adjusted for items that do not reflect the underlying performance of the investment portfolio. Management believes that analysis of core yield enhances understanding of the investment yield of the company. However, core yield is not a substitute for investment yield determined in accordance with U.S. GAAP. In addition, the company’s definition of core yield may differ from the definitions used by other companies. A reconciliation of reported U.S. GAAP yield to core yield is included in a table at the end of this press release.
 
11

Definition of Selected Operating Performance Measures
The TCJA reduced the U.S. corporate federal income tax rate to 21 percent effective for taxable years beginning on January 1, 2018 and migrated the worldwide tax system to a territorial international tax system. Therefore, beginning on January 1, 2018 the company taxed its international businesses at their local statutory tax rates and its domestic businesses at the new enacted tax rate of 21 percent. The company allocates its consolidated provision for income taxes to its operating segments. The company’s allocation methodology applies a specific tax rate to the pre-tax income (loss) of each segment, which is then adjusted in each segment to reflect the tax attributes of items unique to that segment such as foreign income. The difference between the consolidated provision for income taxes and the sum of the provision for income taxes in each segment is reflected in Corporate and Other activities.
The company reports selected operating performance measures including “sales” and “insurance in force” or “risk in force” which are commonly used in the insurance industry as measures of operating performance.
Management regularly monitors and reports sales metrics as a measure of volume of new business generated in a period. Sales refer to new insurance written for mortgage insurance. The company considers new insurance written to be a measure of the company’s operating performance because it represents a measure of new sales of insurance policies during a specified period, rather than a measure of the company’s revenues or profitability during that period.
Management regularly monitors and reports insurance in force and risk in force. Insurance in force for the company’s mortgage insurance businesses is a measure of the aggregate original loan balance for outstanding insurance policies as of the respective reporting date. Risk in force for the company’s U.S. mortgage insurance business is based on the coverage percentage applied to the estimated current outstanding loan balance. The company considers insurance in force and risk in force to be measures of its operating performance because they represent measures of the size of its business at a specific date which will generate revenues and profits in a future period, rather than measures of its revenues or profitability during that period.
Management also regularly monitors and reports a loss ratio for the company’s businesses. For the mortgage insurance businesses, the loss ratio is the ratio of benefits and other changes in policy reserves to net earned premiums. The company considers the loss ratio to be a measure of underwriting performance in these businesses and helps to enhance the understanding of the operating performance of the businesses.
These operating performance measures enable the company to compare its operating performance across periods without regard to revenues or profitability related to policies or contracts sold in prior periods or from investments or other sources.
 
12

Cautionary Note Regarding Forward-Looking Statements
This press release contains certain “forward-looking statements” within the meaning of the Private Securities Litigation Reform Act of 1995. Forward-looking statements may be identified by words such as “expects,” “intends,” “anticipates,” “plans,” “believes,” “seeks,” “estimates,” “will” or words of similar meaning and include, but are not limited to, statements regarding the outlook for the company’s future business and financial performance. Examples of forward-looking statements include statements the company makes relating to the transaction with China Oceanwide Holdings Group Co., Ltd. (Oceanwide) and the company’s discussions with regulators in connection therewith. Forward-looking statements are based on management’s current expectations and assumptions, which are subject to inherent uncertainties, risks and changes in circumstances that are difficult to predict. Actual outcomes and results may differ materially from those in the forward-looking statements due to global political, economic, business, competitive, market, regulatory and other factors and risks, including, but not limited to, the following:
 
 	•	 	risks related to the proposed transaction with Oceanwide including: the company’s inability to complete the transaction in a timely manner or at all; the parties’ inability to obtain regulatory approvals, or the possibility that regulatory approvals may further delay the transaction or will not be received prior to March 15, 2019 (and either or both of the parties may not be willing to further waive their end date termination rights beyond March 15, 2019) or that materially burdensome or adverse regulatory conditions may be imposed or undesirable measures may be required in connection with any such regulatory approvals (including those conditions or measures that either or both of the parties may be unwilling to accept or undertake, as applicable); the risk that the parties will not be able to obtain other regulatory approvals, including in connection with a potential alternative funding structure or the current geo-political environment; the parties’ inability to obtain any necessary regulatory approvals for the post-closing capital plan; the risk that a condition to the closing of the transaction may not be satisfied; potential legal proceedings that may be instituted against the company in connection with the transaction that may delay, make it more costly or ultimately preclude it; the risk that the proposed transaction disrupts the company’s current plans and operations as a result of the announcement and consummation of the transaction; certain restrictions during the pendency of the transaction that may impact the company’s ability to pursue certain business opportunities or strategic transactions; continued availability of capital and financing to the company before, or in the absence of, the consummation of the transaction; further rating agency actions and downgrades in the company’s debt or financial strength ratings; changes in applicable laws or regulations; the company’s ability to recognize the anticipated benefits of the transaction; the amount of the costs, fees, expenses and other charges related to the transaction; the risks related to diverting management’s attention from the company’s ongoing business operations; the merger agreement may be terminated in circumstances that would require the company to pay Oceanwide a fee; the company’s ability to attract, recruit, retain and motivate current and prospective employees may be adversely affected; and disruptions and uncertainty relating to the transaction, whether or not it is completed, may harm the company’s relationships with its employees, customers, distributors, vendors or other business partners, and may result in a negative impact on the company’s business;	
 
 	•	 	strategic risks in the event the proposed transaction with Oceanwide is not consummated including: the company’s inability to successfully execute alternative strategic plans to effectively address its current business challenges (including with respect to its U.S. life insurance businesses, debt obligations, cost savings, ratings and capital); the company’s ability to continue to sell long term care insurance policies; the company’s inability to attract buyers for any businesses or other assets it may seek to sell, or securities it	
 
13

 	may seek to issue, in each case, in a timely manner and on anticipated terms; failure to obtain any required regulatory, stockholder and/or noteholder approvals or consents for such alternative strategic plans, or the company’s challenges changing or being more costly or difficult to successfully address than currently anticipated or the benefits achieved being less than anticipated; inability to achieve anticipated cost-savings in a timely manner; and adverse tax or accounting charges; and the company’s ability to increase the capital needed in its businesses in a timely manner and on anticipated terms, including through improved business performance, reinsurance or similar transactions, asset sales, securities offerings or otherwise, in each case as and when required;	
 
 	•	 	risks relating to estimates, assumptions and valuations including: inadequate reserves and the need to increase reserves (including as a result of any changes the company may make in the future to its assumptions, methodologies or otherwise in connection with periodic or other reviews); risks related to the impact of the company’s annual review of assumptions and methodologies related to its long term care insurance claim reserves and margin reviews, including risks that additional information obtained in the future or other changes to assumptions or methodologies materially affect margins; inaccurate models; deviations from the company’s estimates and actuarial assumptions or other reasons in its long term care insurance, life insurance and/or annuity businesses; accelerated amortization of deferred acquisition costs (DAC) and present value of future profits (PVFP) (including as a result of any future changes it may make to its assumptions, methodologies or otherwise in connection with periodic or other reviews); adverse impact on the company’s financial results as a result of projected profits followed by projected losses (as is currently the case with its long term care insurance business); adverse impact on the company’s results of operations, including the outcome of its annual review of the premium earnings pattern for its mortgage insurance businesses; and changes in valuation of fixed maturity and equity securities;	
 
 	•	 	risks relating to economic, market and political conditions including: downturns and volatility in global economies and equity and credit markets; interest rates and changes in rates (particularly given the historically low interest rate environment) have adversely impacted, and may continue to materially adversely impact, the company’s business and profitability; deterioration in economic conditions or a decline in home prices that adversely affect the company’s loss experience in mortgage insurance; political and economic instability or changes in government policies; and fluctuations in foreign currency exchange rates and international securities markets;	
 
 	•	 	regulatory and legal risks including: extensive regulation of the company’s businesses and changes in applicable laws and regulations (including changes to tax laws and regulations); litigation and regulatory investigations or other actions; dependence on dividends and other distributions from the company’s subsidiaries (particularly its international subsidiaries) and the inability of any subsidiaries to pay dividends or make other distributions to the company, including as a result of the performance of its subsidiaries and insurance, regulatory or corporate law restrictions; adverse change in regulatory requirements, including risk-based capital; changes in regulations adversely affecting the company’s international operations; inability to continue to maintain the private mortgage insurer eligibility requirements (PMIERs); inability of the company’s U.S. mortgage insurance subsidiaries to meet minimum statutory capital requirements and hazardous financial condition standards; the influence of Federal National Mortgage Association (Fannie Mae), Federal Home Loan Mortgage Corporation (Freddie Mac) and a small number of large mortgage lenders on the U.S. mortgage insurance market and adverse changes to the role or structure of Fannie Mae and Freddie Mac; adverse changes in regulations affecting the company’s mortgage insurance businesses;	
 
14

 	inability to continue to implement actions to mitigate the impact of statutory reserve requirements; impact of additional regulations pursuant to the Dodd-Frank Wall Street Reform and Consumer Protection Act; changes in tax laws; and changes in accounting and reporting standards;	
 
 	•	 	liquidity, financial strength ratings, credit and counterparty risks including: insufficient internal sources to meet liquidity needs and limited or no access to capital (including the ability to obtain further financing under an additional secured term loan or credit facility); future adverse rating agency actions, including with respect to rating downgrades or potential downgrades or being put on review for potential downgrade, all of which could have adverse implications for the company, including with respect to key business relationships, product offerings, business results of operations, financial condition and capital needs, strategic plans, collateral obligations and availability and terms of hedging, reinsurance and borrowings; defaults by counterparties to reinsurance arrangements or derivative instruments; defaults or other events impacting the value of the company’s fixed maturity securities portfolio; and defaults on the company’s commercial mortgage loans or the mortgage loans underlying its investments in commercial mortgage-backed securities and volatility in performance;	
 
 	•	 	operational risks including: inability to retain, attract and motivate qualified employees or senior management; ineffective or inadequate risk management in identifying, controlling or mitigating risks; reliance on, and loss of, key customer or distribution relationships; competition, including in the company’s mortgage insurance businesses from government and government-owned and government-sponsored enterprises (GSEs) offering mortgage insurance; the design and effectiveness of its disclosure controls and procedures and internal control over financial reporting may not prevent all errors, misstatements or misrepresentations; and failure or any compromise of the security of the company’s computer systems, disaster recovery systems and business continuity plans and failures to safeguard, or breaches of, its confidential information;	
 
 	•	 	insurance and product-related risks including: the company’s inability to increase sufficiently, and in a timely manner, premiums on in force long term care insurance policies and/or reduce in force benefits, and charge higher premiums on new policies, in each case, as currently anticipated and as may be required from time to time in the future (including as a result of the company’s failure to obtain any necessary regulatory approvals or unwillingness or inability of policyholders to pay increased premiums), including to offset any negative impact on the company’s long term care insurance margins; failure to sufficiently increase new sales for the company’s long term care insurance products; availability, affordability and adequacy of reinsurance to protect the company against losses; inability to realize anticipated benefits of the company’s rescissions, curtailments, loan modifications or other similar programs in its mortgage insurance businesses; premiums for the significant portion of the company’s mortgage insurance risk in force with high loan-to-value ratios may not be sufficient to compensate the company for the greater risks associated with those policies; decreases in the volume of high loan-to-value mortgage originations or increases in mortgage insurance cancellations; increases in the use of alternatives to private mortgage insurance and reductions in the level of coverage selected; potential liabilities in connection with the company’s U.S. contract underwriting services; and medical advances, such as genetic research and diagnostic imaging, and related legislation that impact policyholder behavior in ways adverse to the company;	
 
 	•	 	other risks including: occurrence of natural or man-made disasters or a pandemic; impairments of or valuation allowances against the company’s deferred tax assets; the possibility that in certain circumstances the company will be obligated to make payments to General Electric Company (GE) under the tax matters	
 
15

 	agreement with GE even if its corresponding tax savings are never realized and payments could be accelerated in the event of certain changes in control; and provisions of the company’s certificate of incorporation and bylaws and the tax matters agreement with GE may discourage takeover attempts and business combinations that stockholders might consider in their best interests; and	
 
 	•	 	risks relating to the company’s common stock including: the continued suspension of payment of dividends; and stock price fluctuations.	
The company undertakes no obligation to publicly update any forward-looking statement, whether as a result of new information, future developments or otherwise.
# # #

Contact Information:	
		
Investors:	    	investorinfo@genworth.com	
		
Media:	    	Julie Westermann, 804 662.2423	
	    	julie.westermann@genworth.com	
 
16

Condensed Consolidated Statements of Income
(Amounts in millions, except per share amounts)

 	  	Three months ended	 	 	Twelve months ended	 	
 	  	December 31,	 	 	December 31,	 	
 	  	2018	 	 	2017	 	 	2018	 	 	2017	 	
 	  	(Unaudited)	 	 	(Unaudited)	 	 	(Unaudited)	 	 	 	 	
Revenues:	  				 				 				 				
Premiums	  	$	1,121		 	$	622		 	$	4,519		 	$	4,004		
Net investment income	  	 	815		 	 	812		 	 	3,262		 	 	3,200		
Net investment gains (losses)	  	 	(114	) 	 	 	45		 	 	(146	) 	 	 	265		
Policy fees and other income	  	 	191		 	 	207		 	 	795		 	 	826		
	  	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	
Total revenues	  	 	2,013		 	 	1,686		 	 	8,430		 	 	8,295		
	  	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	
Benefits and expenses:	  				 				 				 				
Benefits and other changes in policy reserves	  	 	1,847		 	 	1,383		 	 	5,684		 	 	5,179		
Interest credited	  	 	152		 	 	152		 	 	611		 	 	646		
Acquisition and operating expenses, net of deferrals	  	 	261		 	 	247		 	 	997		 	 	1,022		
Amortization of deferred acquisition costs and intangibles	  	 	92		 	 	119		 	 	391		 	 	435		
Interest expense	  	 	74		 	 	75		 	 	299		 	 	284		
	  	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	
Total benefits and expenses	  	 	2,426		 	 	1,976		 	 	7,982		 	 	7,566		
	  	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	
Income (loss) from continuing operations before income taxes	  	 	(413	) 	 	 	(290	) 	 	 	448		 	 	729		
Provision (benefit) for income taxes	  	 	(86	) 	 	 	(555	) 	 	 	151		 	 	(207	) 	
	  	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	
Income (loss) from continuing operations	  	 	(327	) 	 	 	265		 	 	297		 	 	936		
Loss from discontinued operations, net of taxes	  	 	—  	 	 	 	—  	 	 	 	—  	 	 	 	(9	) 	
	  	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	
Net income (loss)	  	 	(327	) 	 	 	265		 	 	297		 	 	927		
Less: net income (loss) attributable to noncontrolling interests	  	 	2		 	 	(88	) 	 	 	178		 	 	110		
	  	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	
Net income (loss) available to Genworth Financial, Inc.’s common stockholders	  	$	(329	) 	 	$	353		 	$	119		 	$	817		
	  	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	
Income (loss) from continuing operations available to Genworth Financial, Inc.’s common stockholders per share:	  				 				 				 				
Basic	  	$	(0.66	) 	 	$	0.71		 	$	0.24		 	$	1.66		
	  	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	
Diluted	  	$	(0.66	) 	 	$	0.70		 	$	0.24		 	$	1.65		
	  	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	
Net income (loss) available to Genworth Financial, Inc.’s common stockholders per share:	  				 				 				 				
Basic	  	$	(0.66	) 	 	$	0.71		 	$	0.24		 	$	1.64		
	  	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	
Diluted	  	$	(0.66	) 	 	$	0.70		 	$	0.24		 	$	1.63		
	  	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	
Weighted-average common shares outstanding:	  				 				 				 				
Basic	  	 	500.8		 	 	499.2		 	 	500.4		 	 	499.0		
	  	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	
Diluted 4  	  	 	500.8		 	 	502.1		 	 	504.2		 	 	501.4		

17

Reconciliation of Net Income (Loss) to Adjusted Operating Income (Loss)
(Amounts in millions, except per share amounts) 

 	  	Three months ended
December 31,	 	 	Twelve months ended
December 31,	 	 	Three   months ended
September 30,	 	
 	  	2018	 	 	2017	 	 	2018	 	 	2017	 	 	2018  	 	
 	  	(Unaudited)	 	 	(Unaudited)	 	 	(Unaudited)	 	 	 	 	 	(Unaudited) 	 	
Net income (loss) available to Genworth Financial, Inc.’s common stockholders	  	$	(329	) 	 	$	353		 	$	119		 	$	817		 	$	146	 	
Add: net income (loss) attributable to noncontrolling interests	  	 	2		 	 	(88	) 	 	 	178		 	 	110		 	 	64	 	
	  	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	
Net income (loss)	  	 	(327	) 	 	 	265		 	 	297		 	 	927		 	 	210	 	
Loss from discontinued operations, net of taxes	  	 	—  	 	 	 	—  	 	 	 	—  	 	 	 	(9	) 	 	 	—  	 	
	  	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	
Income (loss) from continuing operations	  	 	(327	) 	 	 	265		 	 	297		 	 	936		 	 	210	 	
Less: income (loss) from continuing operations attributable to noncontrolling interests	  	 	2		 	 	(88	) 	 	 	178		 	 	110		 	 	64	 	
	  	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	
Income (loss) from continuing operations available to Genworth Financial, Inc.’s common stockholders	  	 	(329	) 	 	 	353		 	 	119		 	 	826		 	 	146	 	
Adjustments to income (loss) from continuing operations available to Genworth Financial, Inc.’s common stockholders:	  				 				 				 				 				
Net investment (gains) losses, net 12  	  	 	42		 	 	(41	) 	 	 	68		 	 	(202	) 	 	 	(3	)  	
Expenses related to restructuring	  	 	—  	 	 	 	—  	 	 	 	2		 	 	2		 	 	2	 	
Fees associated with bond consent solicitation	  	 	6		 	 	—  	 	 	 	6		 	 	—  	 	 	 	—  	 	
Taxes on adjustments	  	 	(10	) 	 	 	14		 	 	(16	) 	 	 	70		 	 	—  	 	
	  	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	
Adjusted operating income (loss)	  	$	(291	) 	 	$	326		 	$	179		 	$	696		 	$	145	 	
	  	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	
Adjusted operating income (loss):	  				 				 				 				 				
U.S. Mortgage Insurance segment	  	$	124		 	$	74		 	$	490		 	$	311		 	$	118	 	
Canada Mortgage Insurance segment	  	 	48		 	 	43		 	 	187		 	 	157		 	 	44	 	
Australia Mortgage Insurance segment	  	 	18		 	 	(125	) 	 	 	76		 	 	(88	) 	 	 	17	 	
U.S. Life Insurance segment:	  				 				 				 				 				
Long Term Care Insurance	  	 	(314	) 	 	 	17		 	 	(348	) 	 	 	59		 	 	(24	)  	
Life Insurance	  	 	(108	) 	 	 	(85	) 	 	 	(107	) 	 	 	(79	) 	 	 	(2	)  	
Fixed Annuities	  	 	(3	) 	 	 	(1	) 	 	 	79		 	 	42		 	 	23	 	
	  	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	
Total U.S. Life Insurance segment	  	 	(425	) 	 	 	(69	) 	 	 	(376	) 	 	 	22		 	 	(3	)  	
	  	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	
Runoff segment	  	 	(2	) 	 	 	13		 	 	35		 	 	51		 	 	14	 	
Corporate and Other	  	 	(54	) 	 	 	390		 	 	(233	) 	 	 	243		 	 	(45	)  	
	  	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	
Adjusted operating income (loss)	  	$	(291	) 	 	$	326		 	$	179		 	$	696		 	$	145	 	
	  	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	
Net income (loss) available to Genworth Financial, Inc.’s common stockholders per share:	  				 				 				 				 				
Basic	  	$	(0.66	) 	 	$	0.71		 	$	0.24		 	$	1.64		 	$	0.29	 	
	  	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	
Diluted	  	$	(0.66	) 	 	$	0.70		 	$	0.24		 	$	1.63		 	$	0.29	 	
	  	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	
Adjusted operating income (loss) per share:	  				 				 				 				 				
Basic	  	$	(0.58	) 	 	$	0.65		 	$	0.36		 	$	1.40		 	$	0.29	 	
	  	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	
Diluted	  	$	(0.58	) 	 	$	0.65		 	$	0.36		 	$	1.39		 	$	0.29	 	
	  	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	
Weighted-average common shares outstanding:	  				 				 				 				 				
Basic	  	 	500.8		 	 	499.2		 	 	500.4		 	 	499.0		 	 	500.7	 	
	  	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	
Diluted 4  	  	 	500.8		 	 	502.1		 	 	504.2		 	 	501.4		 	 	503.3	 	

 

12  	For the three months ended December 31, 2018 and 2017, the years ended December 31, 2018 and 2017 and the three months ended September 30, 2018, net investment gains (losses) were adjusted for DAC and other intangible amortization and certain benefit reserves of $(5) million, $(3) million, $(12) million, $(3) million and $(3) million, respectively, and adjusted for net investment gains (losses) attributable to non-controlling interests of $(67) million, $7 million, $(66) million, $66 million and $13 million, respectively.	
 
18

Condensed Consolidated Balance Sheets
(Amounts in millions)

 	  	December 31,
2018	 	 	December 31,
2017	 	
	  	 	 	 	 	 	 	 	
 	  	(Unaudited)	 	 	 	 	
Assets	  				 				
Cash, cash equivalents, restricted cash and invested assets	  	$	72,966		 	$	76,911		
Deferred acquisition costs	  	 	3,263		 	 	2,329		
Intangible assets and goodwill	  	 	347		 	 	301		
Reinsurance recoverable	  	 	17,278		 	 	17,569		
Deferred tax and other assets	  	 	1,210		 	 	957		
Separate account assets	  	 	5,859		 	 	7,230		
	  	 	 	 	 	 	 	 	
Total assets	  	$	100,923		 	$	105,297		
	  	 	 	 	 	 	 	 	
Liabilities and equity	  				 				
Liabilities:	  				 				
Future policy benefits	  	$	37,940		 	$	38,472		
Policyholder account balances	  	 	22,968		 	 	24,195		
Liability for policy and contract claims	  	 	10,379		 	 	9,594		
Unearned premiums	  	 	3,546		 	 	3,967		
Deferred tax and other liabilities	  	 	1,706		 	 	1,937		
Borrowings related to securitization entities	  	 	—  	 	 	 	40		
Non-recourse funding obligations	  	 	311		 	 	310		
Long-term borrowings	  	 	4,025		 	 	4,224		
Separate account liabilities	  	 	5,859		 	 	7,230		
	  	 	 	 	 	 	 	 	
Total liabilities	  	 	86,734		 	 	89,969		
	  	 	 	 	 	 	 	 	
Equity:	  				 				
Common stock	  	 	1		 	 	1		
Additional paid-in capital	  	 	11,987		 	 	11,977		
	  	 	 	 	 	 	 	 	
Accumulated other comprehensive income (loss):	  				 				
Net unrealized investment gains (losses):	  				 				
Net unrealized gains (losses) on securities not other-than-temporarily impaired	  	 	585		 	 	1,075		
Net unrealized gains (losses) on other-than-temporarily impaired securities	  	 	10		 	 	10		
	  	 	 	 	 	 	 	 	
Net unrealized investment gains (losses)	  	 	595		 	 	1,085		
	  	 	 	 	 	 	 	 	
Derivatives qualifying as hedges	  	 	1,781		 	 	2,065		
Foreign currency translation and other adjustments	  	 	(332	) 	 	 	(123	) 	
	  	 	 	 	 	 	 	 	
Total accumulated other comprehensive income (loss)	  	 	2,044		 	 	3,027		
Retained earnings	  	 	1,118		 	 	1,113		
Treasury stock, at cost	  	 	(2,700	) 	 	 	(2,700	) 	
	  	 	 	 	 	 	 	 	
Total Genworth Financial, Inc.’s stockholders’ equity	  	 	12,450		 	 	13,418		
Noncontrolling interests	  	 	1,739		 	 	1,910		
	  	 	 	 	 	 	 	 	
Total equity	  	 	14,189		 	 	15,328		
	  	 	 	 	 	 	 	 	
Total liabilities and equity	  	$	100,923		 	$	105,297		

19

Impact of Foreign Exchange on Adjusted Operating Income (Loss) And Flow New Insurance Written 13
Three months ended December 31, 2018

 	  	Percentages
Including Foreign
Exchange	 	 	Percentages
Excluding Foreign
Exchange 14	 	
Canada Mortgage Insurance (MI):	  				 				
Adjusted operating income	  	 	12	% 	 	 	16	% 	
Flow new insurance written	  	 	(8	)% 	 	 	(6	)% 	
Flow new insurance written (4Q18 vs. 3Q18)	  	 	(21	)% 	 	 	(21	)% 	
			
Australia MI:	  				 				
Adjusted operating income (loss)	  	 	114	% 	 	 	115	% 	
Flow new insurance written	  	 	(5	)% 	 	 	2	% 	
Flow new insurance written (4Q18 vs. 3Q18)	  	 	5	% 	 	 	11	% 	

13  	All percentages are comparing the fourth quarter of 2018 to the fourth quarter of 2017 unless otherwise stated.	
14  	The impact of foreign exchange was calculated using the comparable prior period exchange rates.	
 
20

Reconciliation of Reported Yield to Core Yield

 	  	Three
months ended
December 31,
2018	 	
(Assets - amounts in billions)	  				
Reported Total Invested Assets and Cash	  	$	72.3	 	
Subtract:	  				
Securities lending	  	 	0.1	 	
Unrealized gains (losses)	  	 	1.9	 	
	  	 	 	 	
Adjusted end of period invested assets and cash	  	$	70.3	 	
	  	 	 	 	
Average Invested Assets And Cash Used in Reported Yield Calculation	  	$	70.2	 	
Subtract:	  				
Restricted commercial mortgage loans related to securitization entities 15	  	 	—  	 	
	  	 	 	 	
Average Invested Assets And Cash Used in Core Yield Calculation	  	$	70.2	 	
	  	 	 	 	
(Income - amounts in millions)	  				
Reported Net Investment Income	  	$	815	 	
Subtract:	  				
Bond calls and commercial mortgage loan prepayments	  	 	8	 	
Other non-core items 16	  	 	2	 	
Restricted commercial mortgage loans related to securitization entities 15	  	 	1	 	
	  	 	 	 	
Core Net Investment Income	  	$	804	 	
	  	 	 	 	
Reported Yield	  	 	4.64	% 	
	  	 	 	 	
Core Yield	  	 	4.58	% 	

15  	Represents the incremental assets and investment income related to restricted commercial mortgage loans.	
16  	Includes cost basis adjustments on structured securities and various other immaterial items.	
 
21

Table of Contents
Exhibit 99.2

Fourth Quarter Financial Supplement December 31, 2018

Table of Contents
 GENWORTH FINANCIAL, INC.
FINANCIAL SUPPLEMENT
FOURTH QUARTER 2018

	Table of Contents	  	Page	 	
Investor Letter	  	 	3	 		
Use of Non-GAAP Measures	  	 	4	 		
Results of Operations and Selected Operating Performance Measures	  	 	5	 		
Financial Highlights	  	 	6	 		
			
Consolidated Quarterly Results	  					
Consolidated Net Income (Loss) by Quarter	  	 	8	 		
Reconciliation of Net Income (Loss) to Adjusted Operating Income (Loss)	  	 	9	 		
Consolidated Balance Sheets	  	 	10-11	 		
Consolidated Balance Sheets by Segment	  	 	12-13	 		
Deferred Acquisition Costs (DAC) Rollforward	  	 	14	 		
			
Quarterly Results by Business	  					
Adjusted Operating Income and Sales—U.S. Mortgage Insurance Segment	  	 	16-22	 		
Adjusted Operating Income and Sales—Canada Mortgage Insurance Segment	  	 	24-27	 		
Adjusted Operating Income (Loss) and Sales—Australia Mortgage Insurance Segment	  	 	29-32	 		
Adjusted Operating Income (Loss)—U.S. Life Insurance Segment	  	 	34-37	 		
Adjusted Operating Income (Loss)—Runoff Segment	  	 	39	 		
Adjusted Operating Income (Loss)—Corporate and Other Activities	  	 	41	 		
			
Additional Financial Data	  					
Investments Summary	  	 	43	 		
Fixed Maturity Securities Summary	  	 	44	 		
General Account U.S. GAAP Net Investment Income Yields	  	 	45	 		
Net Investment Gains (Losses), Net—Detail	  	 	46	 		
			
Reconciliations of Non-GAAP Measures	  					
Reconciliation of Operating Return On Equity (ROE)	  	 	48	 		
Reconciliation of Core Yield	  	 	49	 		
			
Corporate Information	  					
Financial Strength Ratings	  	 	51	 		
Note:
Unless otherwise stated, all references in this financial supplement to income (loss) from continuing operations, income (loss) from continuing operations per share, net income (loss), net income (loss) per share, adjusted operating income (loss), adjusted operating income (loss) per share, book value and book value per share should be read as income (loss) from continuing operations available to Genworth Financial, Inc.’s common stockholders, income (loss) from continuing operations available to Genworth Financial, Inc.’s common stockholders per share, net income (loss) available to Genworth Financial, Inc.’s common stockholders, net income (loss) available to Genworth Financial, Inc.’s common stockholders per share, non-U.S. Generally Accepted Accounting Principles (U.S. GAAP) adjusted operating income (loss) available to Genworth Financial, Inc.’s common stockholders, non-GAAP adjusted operating income (loss) available to Genworth Financial, Inc.’s common stockholders per share, book value available to Genworth Financial, Inc.’s common stockholders and book value available to Genworth Financial, Inc.’s common stockholders per share, respectively.
 
2

Table of Contents
 GENWORTH FINANCIAL, INC.
FINANCIAL SUPPLEMENT
FOURTH QUARTER 2018
Dear Investor,
Thank you for your continued interest in Genworth Financial, Inc.
Regards,
Investor Relations
InvestorInfo@genworth.com
 
3

Table of Contents
 GENWORTH FINANCIAL, INC.
FINANCIAL SUPPLEMENT
FOURTH QUARTER 2018
Use of Non-GAAP Measures
This financial supplement includes the non-GAAP financial measures entitled “adjusted operating income (loss)” and “adjusted operating income (loss) per share.” Adjusted operating income (loss) per share is derived from adjusted operating income (loss). The chief operating decision maker evaluates segment performance and allocates resources on the basis of adjusted operating income (loss). The company defines adjusted operating income (loss) as income (loss) from continuing operations excluding the after-tax effects of income (loss) attributable to noncontrolling interests, net investment gains (losses), goodwill impairments, gains (losses) on the sale of businesses, gains (losses) on the early extinguishment of debt, gains (losses) on insurance block transactions, restructuring costs and infrequent or unusual non-operating items. Gains (losses) on insurance block transactions are defined as gains (losses) on the early extinguishment of non-recourse funding obligations, early termination fees for other financing restructuring and/or resulting gains (losses) on reinsurance restructuring for certain blocks of business. The company excludes net investment gains (losses) and infrequent or unusual non-operating items because the company does not consider them to be related to the operating performance of the company’s segments and Corporate and Other activities. A component of the company’s net investment gains (losses) is the result of impairments, the size and timing of which can vary significantly depending on market credit cycles. In addition, the size and timing of other investment gains (losses) can be subject to the company’s discretion and are influenced by market opportunities, as well as asset-liability matching considerations. Goodwill impairments, gains (losses) on the sale of businesses, gains (losses) on the early extinguishment of debt, gains (losses) on insurance block transactions and restructuring costs are also excluded from adjusted operating income (loss) because, in the company’s opinion, they are not indicative of overall operating trends. Infrequent or unusual non-operating items are also excluded from adjusted operating income (loss) if, in the company’s opinion, they are not indicative of overall operating trends.
While some of these items may be significant components of net income (loss) available to Genworth Financial, Inc.’s common stockholders in accordance with U.S. GAAP, the company believes that adjusted operating income (loss) and measures that are derived from or incorporate adjusted operating income (loss), including adjusted operating income (loss) per share on a basic and diluted basis, are appropriate measures that are useful to investors because they identify the income (loss) attributable to the ongoing operations of the business. Management also uses adjusted operating income (loss) as a basis for determining awards and compensation for senior management and to evaluate performance on a basis comparable to that used by analysts. However, the items excluded from adjusted operating income (loss) have occurred in the past and could, and in some cases will, recur in the future. Adjusted operating income (loss) and adjusted operating income (loss) per share on a basic and diluted basis are not substitutes for net income (loss) available to Genworth Financial, Inc.’s common stockholders or net income (loss) available to Genworth Financial, Inc.’s common stockholders per share on a basic and diluted basis determined in accordance with U.S. GAAP. In addition, the company’s definition of adjusted operating income (loss) may differ from the definitions used by other companies.
On December 22, 2017, the Tax Cuts and Jobs Act (TCJA) was signed into law. The TCJA reduced the U.S. corporate federal income tax rate to 21% effective for taxable years beginning on January 1, 2018. Therefore, beginning in the first quarter of 2018, the company assumed a tax rate of 21% on certain adjustments to reconcile net income (loss) available to Genworth Financial, Inc.’s common stockholders and adjusted operating income (loss) (unless otherwise indicated). In the prior year, the company assumed a tax rate of 35%, the previous U.S. corporate federal income tax rate prior to the enactment of the TCJA, on certain adjustments to reconcile net income available to Genworth Financial, Inc.’s common stockholders and adjusted operating income. These adjustments are also net of the portion attributable to noncontrolling interests and net investment gains (losses) are adjusted for DAC and other intangible amortization and certain benefit reserves (see page 46).
The company recorded a pre-tax expense of $2 million in the third quarter of 2018 and $1 million in the third and first quarters of 2017 related to restructuring costs as it continues to evaluate and appropriately size its organizational needs and expenses. There were no infrequent or unusual items excluded from adjusted operating income (loss) during the periods presented other than fees incurred during the fourth quarter of 2018 related to Genworth Holdings, Inc.’s bond consent solicitation of $6 million for broker, advisor and investment banking fees.
The table on page 9 of this financial supplement provides a reconciliation of net income (loss) available to Genworth Financial, Inc.’s common stockholders to adjusted operating income (loss) for the periods presented and reflects adjusted operating income (loss) as determined in accordance with accounting guidance related to segment reporting. The financial supplement includes other non-GAAP measures management believes enhances the understanding and comparability of performance by highlighting underlying business activity and profitability drivers. These additional non-GAAP measures are on pages 48 and 49 of this financial supplement.
 
4

Table of Contents
GENWORTH FINANCIAL, INC.
FINANCIAL SUPPLEMENT
FOURTH QUARTER 2018
 
 Results of Operations and Selected Operating Performance Measures
The company’s chief operating decision maker evaluates segment performance and allocates resources on the basis of adjusted operating income (loss). The table on page 9 of this financial supplement provides a reconciliation of net income (loss) available to Genworth Financial, Inc.’s common stockholders to adjusted operating income (loss) for the periods presented and reflects adjusted operating income (loss) as determined in accordance with accounting guidance related to segment reporting.
On December 22, 2017, the TCJA was signed into law. The TCJA reduced the U.S. corporate federal income tax rate to 21% effective for taxable years beginning on January 1, 2018 and migrated the worldwide tax system to a territorial international tax system. Therefore, beginning on January 1, 2018 the company taxed its international businesses at their local statutory tax rates and its domestic businesses at the new enacted tax rate of 21%. The company allocates its consolidated provision for income taxes to its operating segments. The company’s allocation methodology applies a specific tax rate to the pre-tax income (loss) of each segment, which is then adjusted in each segment to reflect the tax attributes of items unique to that segment such as foreign income. The difference between the consolidated provision for income taxes and the sum of the provision for income taxes in each segment is reflected in Corporate and Other activities.
This financial supplement contains selected operating performance measures including “sales” and “insurance in-force” or “risk in-force” which are commonly used in the insurance industry as measures of operating performance.
Management regularly monitors and reports sales metrics as a measure of volume of new business generated in a period. Sales refer to new insurance written for mortgage insurance. The company considers new insurance written to be a measure of the company’s operating performance because it represents a measure of new sales of insurance policies during a specified period, rather than a measure of the company’s revenues or profitability during that period.
Management regularly monitors and reports insurance in-force and risk in-force. Insurance in-force for the company’s mortgage insurance businesses is a measure of the aggregate original loan balance for outstanding insurance policies as of the respective reporting date. Risk in-force for the company’s U.S. mortgage insurance business is based on the coverage percentage applied to the estimated current outstanding loan balance. For risk in-force in the mortgage insurance businesses in Canada and Australia, the company has computed an “effective” risk in-force amount, which recognizes that the loss on any particular loan will be reduced by the net proceeds received upon sale of the property. Effective risk in-force has been calculated by applying to insurance in-force a factor of 35% that represents the highest expected average per-claim payment for any one underwriting year over the life of the company’s mortgage insurance businesses in Canada and Australia. In Australia, the company has certain risk share arrangements where it provides pro-rata coverage of certain loans rather than 100% coverage. As a result, for loans with these risk share arrangements, the applicable pro-rata coverage amount provided is used when applying the factor. The company considers insurance in-force and risk in-force to be measures of its operating performance because they represent measures of the size of its business at a specific date which will generate revenues and profits in a future period, rather than measures of its revenues or profitability during that period.
Management also regularly monitors and reports a loss ratio for the company’s businesses. For the mortgage insurance businesses, the loss ratio is the ratio of benefits and other changes in policy reserves to net earned premiums. For the long-term care insurance business, the loss ratio is the ratio of benefits and other changes in reserves less tabular interest on reserves less loss adjustment expenses to net earned premiums. The company considers the loss ratio to be a measure of underwriting performance in these businesses and helps to enhance the understanding of the operating performance of the businesses.
These operating performance measures enable the company to compare its operating performance across periods without regard to revenues or profitability related to policies or contracts sold in prior periods or from investments or other sources.
 
5

Table of Contents
GENWORTH FINANCIAL, INC.
FINANCIAL SUPPLEMENT
FOURTH QUARTER 2018
 
 Financial Highlights
(amounts in millions, except per share data)

	Balance Sheet Data	  	December 31,
2018	 	 	September 30,
2018	 	 	June 30,
2018	 	 	March 31,
2018	 	 	December 31,
2017	 	
Total Genworth Financial, Inc.’s stockholders’ equity, excluding accumulated other comprehensive income	  	$	10,406	 	 	$	10,731	 	 	$	10,583	 	 	$	10,391	 	 	$	10,391	 		
Total accumulated other comprehensive income	  	 	2,044	 	 	 	2,067	 	 	 	2,327	 	 	 	2,627	 	 	 	3,027	 		
	  	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 		
Total Genworth Financial, Inc.’s stockholders’ equity	  	$	12,450	 	 	$	12,798	 	 	$	12,910	 	 	$	13,018	 	 	$	13,418	 		
	  	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 		
Book value per share	  	$	24.86	 	 	$	25.56	 	 	$	25.78	 	 	$	26.00	 	 	$	26.88	 		
Book value per share, excluding accumulated other comprehensive income	  	$	20.78	 	 	$	21.43	 	 	$	21.14	 	 	$	20.76	 	 	$	20.82	 		
Common shares outstanding as of the balance sheet date	  	 	500.8	 	 	 	500.8	 	 	 	500.7	 	 	 	500.6	 	 	 	499.2	 		
			
 	  	Twelve months ended	 		
	Twelve Month Rolling Average ROE	  	December 31,
2018	 	 	September 30,
2018	 	 	June 30,
2018	 	 	March 31,
2018	 	 	December 31,
2017	 	
U.S. GAAP Basis ROE	  	 	1.1	% 	 	 	7.7	% 	 	 	7.4	% 	 	 	7.7	% 	 	 	8.2	% 		
Operating ROE (1)	  	 	1.7	% 	 	 	7.6	% 	 	 	7.1	% 	 	 	6.7	% 	 	 	7.0	% 		
			
 	  	Three months ended	 		
	Quarterly Average ROE	  	December 31,
2018	 	 	September 30,
2018	 	 	June 30,
2018	 	 	March 31,
2018	 	 	December 31,
2017	 	
U.S. GAAP Basis ROE	  	 	(12.5	)% 	 	 	5.5	% 	 	 	7.2	% 	 	 	4.3	% 	 	 	13.8	% 		
Operating ROE (1)	  	 	(11.0	)% 	 	 	5.4	% 	 	 	7.6	% 	 	 	4.8	% 	 	 	12.8	% 		

	Basic and Diluted Shares	  	Three months ended
December 31, 2018	 	  	Twelve months ended
December 31, 2018	 	
Weighted-average common shares used in basic earnings per share calculations	  	 	500.8	 	  	 	500.4	 		
Potentially dilutive securities:	  				  					
Stock options, restricted stock units and stock appreciation rights (2)	  	 	—  	 	  	 	3.8	 		
	  	 	 	 	  	 	 	 		
Weighted-average common shares used in diluted earnings per share calculations	  	 	500.8	 	  	 	504.2	 		

(1)	See page 48 herein for a reconciliation of U.S. GAAP Basis ROE to Operating ROE.	
(2)	Under applicable accounting guidance, companies in a loss position are required to use basic weighted-average common shares outstanding in the calculation of diluted loss per share. Therefore, as a result of the loss from continuing operations for the three months ended December 31, 2018, the company was required to use basic weighted-average common shares outstanding in the calculation of diluted loss per share for the three months ended December 31, 2018, as the inclusion of shares for stock options, restricted stock units and stock appreciation rights of 7.6 million would have been antidilutive to the calculation. If the company had not incurred a loss from continuing operations for the three months ended December 31, 2018, dilutive potential weighted-average common shares outstanding would have been 508.4 million.	
 
6

Table of Contents
 
Consolidated Quarterly Results

 
7

Table of Contents
 GENWORTH FINANCIAL, INC.
FINANCIAL SUPPLEMENT
FOURTH QUARTER 2018
Consolidated Net Income (Loss) by Quarter
(amounts in millions, except per share amounts)

 	  	2018	 	 	2017	 	
 	  	4Q	 	  	3Q	 	  	2Q	 	 	1Q	 	 	Total	 	 	4Q	 	 	3Q	 	 	2Q	 	  	1Q	 	  	Total	 	
REVENUES:	  			 	  				  				 				 				 				 				 				  				  				
Premiums	  	$	1,121	 	  	$	1,122	 	  	$	1,136	 	 	$	1,140	 	 	$	4,519	 	 	$	622	 	 	$	1,135	 	 	$	1,111	 	  	$	1,136	 	  	$	4,004	 	
Net investment income	  	 	815	 	  	 	815	 	  	 	828	 	 	 	804	 	 	 	3,262	 	 	 	812	 	 	 	797	 	 	 	801	 	  	 	790	 	  	 	3,200	 	
Net investment gains (losses)	  	 	(114	) 	  	 	13	 	  	 	(14	) 	 	 	(31	) 	 	 	(146	) 	 	 	45	 	 	 	85	 	 	 	101	 	  	 	34	 	  	 	265	 	
Policy fees and other income	  	 	191	 	  	 	193	 	  	 	209	 	 	 	202	 	 	 	795	 	 	 	207	 	 	 	198	 	 	 	210	 	  	 	211	 	  	 	826	 	
	  	 	 	 	  	 	 	 	  	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	  	 	 	 	  	 	 	 	
Total revenues	  	 	2,013	 	  	 	2,143	 	  	 	2,159	 	 	 	2,115	 	 	 	8,430	 	 	 	1,686	 	 	 	2,215	 	 	 	2,223	 	  	 	2,171	 	  	 	8,295	 	
	  	 	 	 	  	 	 	 	  	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	  	 	 	 	  	 	 	 	
BENEFITS AND EXPENSES:	  			 	  				  				 				 				 				 				 				  				  				
Benefits and other changes in policy reserves	  	 	1,847	 	  	 	1,321	 	  	 	1,205	 	 	 	1,311	 	 	 	5,684	 	 	 	1,383	 	 	 	1,344	 	 	 	1,206	 	  	 	1,246	 	  	 	5,179	 	
Interest credited	  	 	152	 	  	 	151	 	  	 	152	 	 	 	156	 	 	 	611	 	 	 	152	 	 	 	164	 	 	 	163	 	  	 	167	 	  	 	646	 	
Acquisition and operating expenses, net of deferrals	  	 	261	 	  	 	243	 	  	 	253	 	 	 	240	 	 	 	997	 	 	 	247	 	 	 	265	 	 	 	240	 	  	 	270	 	  	 	1,022	 	
Amortization of deferred acquisition costs and intangibles	  	 	92	 	  	 	83	 	  	 	112	 	 	 	104	 	 	 	391	 	 	 	119	 	 	 	83	 	 	 	139	 	  	 	94	 	  	 	435	 	
Interest expense	  	 	74	 	  	 	72	 	  	 	77	 	 	 	76	 	 	 	299	 	 	 	75	 	 	 	73	 	 	 	74	 	  	 	62	 	  	 	284	 	
	  	 	 	 	  	 	 	 	  	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	  	 	 	 	  	 	 	 	
Total benefits and expenses	  	 	2,426	 	  	 	1,870	 	  	 	1,799	 	 	 	1,887	 	 	 	7,982	 	 	 	1,976	 	 	 	1,929	 	 	 	1,822	 	  	 	1,839	 	  	 	7,566	 	
	  	 	 	 	  	 	 	 	  	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	  	 	 	 	  	 	 	 	
INCOME (LOSS) FROM CONTINUING OPERATIONS BEFORE INCOME TAXES	  	 	(413	) 	  	 	273	 	  	 	360	 	 	 	228	 	 	 	448	 	 	 	(290	) 	 	 	286	 	 	 	401	 	  	 	332	 	  	 	729	 	
Provision (benefit) for income taxes	  	 	(86	) 	  	 	63	 	  	 	111	 	 	 	63	 	 	 	151	 	 	 	(555	) 	 	 	102	 	 	 	130	 	  	 	116	 	  	 	(207	) 	
	  	 	 	 	  	 	 	 	  	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	  	 	 	 	  	 	 	 	
INCOME (LOSS) FROM CONTINUING OPERATIONS	  	 	(327	) 	  	 	210	 	  	 	249	 	 	 	165	 	 	 	297	 	 	 	265	 	 	 	184	 	 	 	271	 	  	 	216	 	  	 	936	 	
Loss from discontinued operations, net of taxes (1)	  	 	—  	 	  	 	—  	 	  	 	—  	 	 	 	—  	 	 	 	—  	 	 	 	—  	 	 	 	(9	) 	 	 	—  	 	  	 	—  	 	  	 	(9	) 	
	  	 	 	 	  	 	 	 	  	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	  	 	 	 	  	 	 	 	
NET INCOME (LOSS)	  	 	(327	) 	  	 	210	 	  	 	249	 	 	 	165	 	 	 	297	 	 	 	265	 	 	 	175	 	 	 	271	 	  	 	216	 	  	 	927	 	
Less: net income (loss) attributable to noncontrolling interests	  	 	2	 	  	 	64	 	  	 	59	 	 	 	53	 	 	 	178	 	 	 	(88	) 	 	 	68	 	 	 	69	 	  	 	61	 	  	 	110	 	
	  	 	 	 	  	 	 	 	  	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	  	 	 	 	  	 	 	 	
NET INCOME (LOSS) AVAILABLE TO GENWORTH FINANCIAL, INC.’S COMMON STOCKHOLDERS	  	$	(329	) 	  	$	146	 	  	$	190	 	 	$	112	 	 	$	119	 	 	$	353	 	 	$	107	 	 	$	202	 	  	$	155	 	  	$	817	 	

	  				  				  				 				 				 				 				 				  				  				
Earnings (Loss) Per Share Data:	  				  				  				 				 				 				 				 				  				  				
Income (loss) from continuing operations available to Genworth Financial, Inc.’s common stockholders per share	  				  				  				 				 				 				 				 				  				  				
Basic	  	$	(0.66	) 	  	$	0.29	 	  	$	0.38	 	 	$	0.22	 	 	$	0.24	 	 	$	0.71	 	 	$	0.23	 	 	$	0.40	 	  	$	0.31	 	  	$	1.66	 	
Diluted	  	$	(0.66	) 	  	$	0.29	 	  	$	0.38	 	 	$	0.22	 	 	$	0.24	 	 	$	0.70	 	 	$	0.23	 	 	$	0.40	 	  	$	0.31	 	  	$	1.65	 	
Net income (loss) available to Genworth Financial, Inc.’s common stockholders per share	  				  				  				 				 				 				 				 				  				  				
Basic	  	$	(0.66	) 	  	$	0.29	 	  	$	0.38	 	 	$	0.22	 	 	$	0.24	 	 	$	0.71	 	 	$	0.21	 	 	$	0.40	 	  	$	0.31	 	  	$	1.64	 	
Diluted	  	$	(0.66	) 	  	$	0.29	 	  	$	0.38	 	 	$	0.22	 	 	$	0.24	 	 	$	0.70	 	 	$	0.21	 	 	$	0.40	 	  	$	0.31	 	  	$	1.63	 	
Weighted-average common shares outstanding	  				  				  				 				 				 				 				 				  				  				
Basic	  	 	500.8	 	  	 	500.7	 	  	 	500.6	 	 	 	499.6	 	 	 	500.4	 	 	 	499.2	 	 	 	499.1	 	 	 	499.0	 	  	 	498.6	 	  	 	499.0	 	
Diluted (2)	  	 	500.8	 	  	 	503.3	 	  	 	502.6	 	 	 	502.7	 	 	 	504.2	 	 	 	502.1	 	 	 	501.6	 	 	 	501.2	 	  	 	501.0	 	  	 	501.4	 	

(1)  	Loss from discontinued operations related to the lifestyle protection insurance business that was sold on December 1, 2015. During the third quarter of 2017, the company recorded an additional after-tax loss of $9 million related to certain claims adjustments and tax items associated with the lifestyle protection insurance business.	
(2)  	Under applicable accounting guidance, companies in a loss position are required to use basic weighted-average common shares outstanding in the calculation of diluted loss per share. Therefore, as a result of the loss from continuing operations for the three months ended December 31, 2018, the company was required to use basic weighted-average common shares outstanding in the calculation of diluted loss per share for the three months ended December 31, 2018, as the inclusion of shares for stock options, restricted stock units and stock appreciation rights of 7.6 million would have been antidilutive to the calculation. If the company had not incurred a loss from continuing operations for the three months ended December 31, 2018, dilutive potential weighted-average common shares outstanding would have been 508.4 million.	
 
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Table of Contents
 GENWORTH FINANCIAL, INC.
FINANCIAL SUPPLEMENT
FOURTH QUARTER 2018
Reconciliation of Net Income (Loss) to Adjusted Operating Income (Loss)
(amounts in millions, except per share amounts)

 	  	2018	 	 	2017	 	
 	  	4Q	 	  	3Q	 	 	2Q	 	 	1Q	 	 	Total	 	 	4Q	 	 	3Q	 	 	2Q	 	 	1Q	 	 	Total	 	
NET INCOME (LOSS) AVAILABLE TO GENWORTH FINANCIAL, INC.’S COMMON STOCKHOLDERS	  	$	(329	) 	  	$	146	 	 	$	190	 	 	$	112	 	 	$	119	 	 	$	353	 	 	$	107	 	 	$	202	 	 	$	155	 	 	$	817	 	
Add: net income (loss) attributable to noncontrolling interests	  	 	2	 	  	 	64	 	 	 	59	 	 	 	53	 	 	 	178	 	 	 	(88	) 	 	 	68	 	 	 	69	 	 	 	61	 	 	 	110	 	
	  	 	 	 	  	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	
NET INCOME (LOSS)	  	 	(327	) 	  	 	210	 	 	 	249	 	 	 	165	 	 	 	297	 	 	 	265	 	 	 	175	 	 	 	271	 	 	 	216	 	 	 	927	 	
Loss from discontinued operations, net of taxes	  	 	—  	 	  	 	—  	 	 	 	—  	 	 	 	—  	 	 	 	—  	 	 	 	—  	 	 	 	(9	) 	 	 	—  	 	 	 	—  	 	 	 	(9	) 	
	  	 	 	 	  	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	
INCOME (LOSS) FROM CONTINUING OPERATIONS	  	 	(327	) 	  	 	210	 	 	 	249	 	 	 	165	 	 	 	297	 	 	 	265	 	 	 	184	 	 	 	271	 	 	 	216	 	 	 	936	 	
Less: income (loss) from continuing operations attributable to noncontrolling interests	  	 	2	 	  	 	64	 	 	 	59	 	 	 	53	 	 	 	178	 	 	 	(88	) 	 	 	68	 	 	 	69	 	 	 	61	 	 	 	110	 	
	  	 	 	 	  	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	
INCOME (LOSS) FROM CONTINUING OPERATIONS AVAILABLE TO GENWORTH FINANCIAL, INC.’S COMMON STOCKHOLDERS	  	 	(329	) 	  	 	146	 	 	 	190	 	 	 	112	 	 	 	119	 	 	 	353	 	 	 	116	 	 	 	202	 	 	 	155	 	 	 	826	 	
ADJUSTMENTS TO INCOME (LOSS) FROM CONTINUING OPERATIONS AVAILABLE TO GENWORTH FINANCIAL, INC.’S COMMON STOCKHOLDERS:	  			 	  				 				 				 				 				 				 				 				 				
Net investment (gains) losses, net (1)	  	 	42	 	  	 	(3	) 	 	 	12	 	 	 	17	 	 	 	68	 	 	 	(41	) 	 	 	(62	) 	 	 	(79	) 	 	 	(20	) 	 	 	(202	) 	
Expenses related to restructuring	  	 	—  	 	  	 	2	 	 	 	—  	 	 	 	—  	 	 	 	2	 	 	 	—  	 	 	 	1	 	 	 	—  	 	 	 	1	 	 	 	2	 	
Fees associated with bond consent solicitation	  	 	6	 	  	 	—  	 	 	 	—  	 	 	 	—  	 	 	 	6	 	 	 	—  	 	 	 	—  	 	 	 	—  	 	 	 	—  	 	 	 	—  	 	
Taxes on adjustments	  	 	(10	) 	  	 	—  	 	 	 	(2	) 	 	 	(4	) 	 	 	(16	) 	 	 	14	 	 	 	21	 	 	 	28	 	 	 	7	 	 	 	70	 	
	  	 	 	 	  	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	
ADJUSTED OPERATING INCOME (LOSS)	  	$	(291	) 	  	$	145	 	 	$	200	 	 	$	125	 	 	$	179	 	 	$	326	 	 	$	76	 	 	$	151	 	 	$	143	 	 	$	696	 	

ADJUSTED OPERATING INCOME (LOSS):	  			 	  				 				 				 				 				 				 				 				 				
U.S. Mortgage Insurance segment	  	$	124	 	  	$	118	 	 	$	137	 	 	$	111	 	 	$	490	 	 	$	74	 	 	$	73	 	 	$	91	 	 	$	73	 	 	$	311	 	
Canada Mortgage Insurance segment	  	 	48	 	  	 	44	 	 	 	46	 	 	 	49	 	 	 	187	 	 	 	43	 	 	 	37	 	 	 	41	 	 	 	36	 	 	 	157	 	
Australia Mortgage Insurance segment	  	 	18	 	  	 	17	 	 	 	22	 	 	 	19	 	 	 	76	 	 	 	(125	) 	 	 	12	 	 	 	12	 	 	 	13	 	 	 	(88	) 	
U.S. Life Insurance segment:	  			 	  				 				 				 				 				 				 				 				 				
Long-Term Care Insurance	  	 	(314	) 	  	 	(24	) 	 	 	22	 	 	 	(32	) 	 	 	(348	) 	 	 	17	 	 	 	(5	) 	 	 	33	 	 	 	14	 	 	 	59	 	
Life Insurance	  	 	(108	) 	  	 	(2	) 	 	 	4	 	 	 	(1	) 	 	 	(107	) 	 	 	(85	) 	 	 	(9	) 	 	 	(1	) 	 	 	16	 	 	 	(79	) 	
Fixed Annuities	  	 	(3	) 	  	 	23	 	 	 	31	 	 	 	28	 	 	 	79	 	 	 	(1	) 	 	 	13	 	 	 	7	 	 	 	23	 	 	 	42	 	
	  	 	 	 	  	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	
Total U.S. Life Insurance segment	  	 	(425	) 	  	 	(3	) 	 	 	57	 	 	 	(5	) 	 	 	(376	) 	 	 	(69	) 	 	 	(1	) 	 	 	39	 	 	 	53	 	 	 	22	 	
	  	 	 	 	  	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	
Runoff segment	  	 	(2	) 	  	 	14	 	 	 	13	 	 	 	10	 	 	 	35	 	 	 	13	 	 	 	13	 	 	 	11	 	 	 	14	 	 	 	51	 	
Corporate and Other	  	 	(54	) 	  	 	(45	) 	 	 	(75	) 	 	 	(59	) 	 	 	(233	) 	 	 	390	 	 	 	(58	) 	 	 	(43	) 	 	 	(46	) 	 	 	243	 	

ADJUSTED OPERATING INCOME (LOSS)	  	$	(291	) 	  	$	145	 	 	$	200	 	 	$	125	 	 	$	179	 	 	$	326	 	 	$	76	 	 	$	151	 	 	$	143	 	 	$	696	 	

											
Earnings (Loss) Per Share Data:	  				  				 				 				 				 				 				 				 				 				
Net income (loss) available to Genworth Financial, Inc.’s common stockholders per share	  				  				 				 				 				 				 				 				 				 				
Basic	  	$	(0.66	) 	  	$	0.29	 	 	$	0.38	 	 	$	0.22	 	 	$	0.24	 	 	$	0.71	 	 	$	0.21	 	 	$	0.40	 	 	$	0.31	 	 	$	1.64	 	
Diluted	  	$	(0.66	) 	  	$	0.29	 	 	$	0.38	 	 	$	0.22	 	 	$	0.24	 	 	$	0.70	 	 	$	0.21	 	 	$	0.40	 	 	$	0.31	 	 	$	1.63	 	
Adjusted operating income (loss) per share	  				  				 				 				 				 				 				 				 				 				
Basic	  	$	(0.58	) 	  	$	0.29	 	 	$	0.40	 	 	$	0.25	 	 	$	0.36	 	 	$	0.65	 	 	$	0.15	 	 	$	0.30	 	 	$	0.29	 	 	$	1.40	 	
Diluted	  	$	(0.58	) 	  	$	0.29	 	 	$	0.40	 	 	$	0.25	 	 	$	0.36	 	 	$	0.65	 	 	$	0.15	 	 	$	0.30	 	 	$	0.29	 	 	$	1.39	 	
Weighted-average common shares outstanding	  				  				 				 				 				 				 				 				 				 				
Basic	  	 	500.8	 	  	 	500.7	 	 	 	500.6	 	 	 	499.6	 	 	 	500.4	 	 	 	499.2	 	 	 	499.1	 	 	 	499.0	 	 	 	498.6	 	 	 	499.0	 	
Diluted (2)	  	 	500.8	 	  	 	503.3	 	 	 	502.6	 	 	 	502.7	 	 	 	504.2	 	 	 	502.1	 	 	 	501.6	 	 	 	501.2	 	 	 	501.0	 	 	 	501.4	 	

(1)  	Net investment (gains) losses were adjusted for the portion attributable to noncontrolling interests and DAC and other intangible amortization and certain benefit reserves (see page 46 for reconciliation).	
(2)  	Under applicable accounting guidance, companies in a loss position are required to use basic weighted-average common shares outstanding in the calculation of diluted loss per share. Therefore, as a result of the loss from continuing operations for the three months ended December 31, 2018, the company was required to use basic weighted-average common shares outstanding in the calculation of diluted loss per share for the three months ended December 31, 2018, as the inclusion of shares for stock options, restricted stock units and stock appreciation rights of 7.6 million would have been antidilutive to the calculation. If the company had not incurred a loss from continuing operations for the three months ended December 31, 2018, dilutive potential weighted-average common shares outstanding would have been 508.4 million.	
 
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Table of Contents
 GENWORTH FINANCIAL, INC.
FINANCIAL SUPPLEMENT
FOURTH QUARTER 2018
Consolidated Balance Sheets
(amounts in millions)

 	 	December 31,
2018	 	  	September 30,
2018	 	  	June 30,
2018	 	  	March 31,
2018	 	  	December 31,
2017	 	
ASSETS	 			 	  				  				  				  				
Investments:	 			 	  				  				  				  				
Fixed maturity securities available-for-sale, at fair value	 	$	59,661	 	  	$	59,404	 	  	$	60,032	 	  	$	61,080	 	  	$	62,525	 	
Equity securities, at fair value	 	 	655	 	  	 	783	 	  	 	758	 	  	 	799	 	  	 	820	 	
Commercial mortgage loans	 	 	6,687	 	  	 	6,568	 	  	 	6,480	 	  	 	6,336	 	  	 	6,341	 	
Restricted commercial mortgage loans related to securitization entities	 	 	62	 	  	 	87	 	  	 	90	 	  	 	99	 	  	 	107	 	
Policy loans	 	 	1,861	 	  	 	1,859	 	  	 	1,872	 	  	 	1,789	 	  	 	1,786	 	
Other invested assets	 	 	1,188	 	  	 	1,354	 	  	 	1,650	 	  	 	1,674	 	  	 	1,813	 	
	 	 	 	 	  	 	 	 	  	 	 	 	  	 	 	 	  	 	 	 	
Total investments	 	 	70,114	 	  	 	70,055	 	  	 	70,882	 	  	 	71,777	 	  	 	73,392	 	
Cash, cash equivalents and restricted cash	 	 	2,177	 	  	 	2,505	 	  	 	2,243	 	  	 	2,843	 	  	 	2,875	 	
Accrued investment income	 	 	675	 	  	 	657	 	  	 	602	 	  	 	698	 	  	 	644	 	
Deferred acquisition costs	 	 	3,263	 	  	 	3,336	 	  	 	3,086	 	  	 	2,699	 	  	 	2,329	 	
Intangible assets and goodwill	 	 	347	 	  	 	355	 	  	 	354	 	  	 	339	 	  	 	301	 	
Reinsurance recoverable	 	 	17,278	 	  	 	17,351	 	  	 	17,385	 	  	 	17,482	 	  	 	17,569	 	
Other assets	 	 	474	 	  	 	467	 	  	 	574	 	  	 	431	 	  	 	453	 	
Deferred tax asset	 	 	736	 	  	 	650	 	  	 	601	 	  	 	602	 	  	 	504	 	
Separate account assets	 	 	5,859	 	  	 	6,745	 	  	 	6,750	 	  	 	6,902	 	  	 	7,230	 	
	 	 	 	 	  	 	 	 	  	 	 	 	  	 	 	 	  	 	 	 	
Total assets	 	$	100,923	 	  	$	102,121	 	  	$	102,477	 	  	$	103,773	 	  	$	105,297	 	

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GENWORTH FINANCIAL, INC.
FINANCIAL SUPPLEMENT
FOURTH QUARTER 2018
 Consolidated Balance Sheets
(amounts in millions)

 	 	December 31,
2018	 	  	September 30,
2018	 	 	June 30,
2018	 	 	March 31,
2018	 	 	December 31,
2017	 	
LIABILITIES AND EQUITY	 			 	  				 				 				 				
Liabilities:	 			 	  				 				 				 				
Future policy benefits	 	$	37,940	 	  	$	38,018	 	 	$	37,913	 	 	$	37,946	 	 	$	38,472	 	
Policyholder account balances	 	 	22,968	 	  	 	22,993	 	 	 	23,366	 	 	 	23,751	 	 	 	24,195	 	
Liability for policy and contract claims	 	 	10,379	 	  	 	9,844	 	 	 	9,665	 	 	 	9,651	 	 	 	9,594	 	
Unearned premiums	 	 	3,546	 	  	 	3,668	 	 	 	3,669	 	 	 	3,797	 	 	 	3,967	 	
Other liabilities	 	 	1,682	 	  	 	1,830	 	 	 	1,965	 	 	 	1,841	 	 	 	1,910	 	
Borrowings related to securitization entities	 	 	—  	 	  	 	20	 	 	 	28	 	 	 	32	 	 	 	40	 	
Non-recourse funding obligations	 	 	311	 	  	 	310	 	 	 	310	 	 	 	310	 	 	 	310	 	
Long-term borrowings	 	 	4,025	 	  	 	4,051	 	 	 	4,047	 	 	 	4,654	 	 	 	4,224	 	
Deferred tax liability	 	 	24	 	  	 	21	 	 	 	23	 	 	 	27	 	 	 	27	 	
Separate account liabilities	 	 	5,859	 	  	 	6,745	 	 	 	6,750	 	 	 	6,902	 	 	 	7,230	 	
	 	 	 	 	  	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	
Total liabilities	 	 	86,734	 	  	 	87,500	 	 	 	87,736	 	 	 	88,911	 	 	 	89,969	 	
	 	 	 	 	  	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	
Equity:	 			 	  				 				 				 				
Common stock	 	 	1	 	  	 	1	 	 	 	1	 	 	 	1	 	 	 	1	 	
Additional paid-in capital	 	 	11,987	 	  	 	11,983	 	 	 	11,981	 	 	 	11,979	 	 	 	11,977	 	
	 	 	 	 	  	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	
Accumulated other comprehensive income (loss):	 			 	  				 				 				 				
Net unrealized investment gains (losses):	 			 	  				 				 				 				
Net unrealized gains (losses) on securities not other-than-temporarily impaired	 	 	585	 	  	 	598	 	 	 	726	 	 	 	905	 	 	 	1,075	 	
Net unrealized gains (losses) on other-than-temporarily impaired securities	 	 	10	 	  	 	10	 	 	 	10	 	 	 	12	 	 	 	10	 	
	 	 	 	 	  	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	
Net unrealized investment gains (losses)	 	 	595	 	  	 	608	 	 	 	736	 	 	 	917	 	 	 	1,085	 	
Derivatives qualifying as hedges	 	 	1,781	 	  	 	1,717	 	 	 	1,863	 	 	 	1,927	 	 	 	2,065	 	
Foreign currency translation and other adjustments	 	 	(332	) 	  	 	(258	) 	 	 	(272	) 	 	 	(217	) 	 	 	(123	) 	
	 	 	 	 	  	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	
Total accumulated other comprehensive income	 	 	2,044	 	  	 	2,067	 	 	 	2,327	 	 	 	2,627	 	 	 	3,027	 	
Retained earnings	 	 	1,118	 	  	 	1,447	 	 	 	1,301	 	 	 	1,111	 	 	 	1,113	 	
Treasury stock, at cost	 	 	(2,700	) 	  	 	(2,700	) 	 	 	(2,700	) 	 	 	(2,700	) 	 	 	(2,700	) 	
	 	 	 	 	  	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	
Total Genworth Financial, Inc.’s stockholders’ equity	 	 	12,450	 	  	 	12,798	 	 	 	12,910	 	 	 	13,018	 	 	 	13,418	 	
Noncontrolling interests	 	 	1,739	 	  	 	1,823	 	 	 	1,831	 	 	 	1,844	 	 	 	1,910	 	
	 	 	 	 	  	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	
Total equity	 	 	14,189	 	  	 	14,621	 	 	 	14,741	 	 	 	14,862	 	 	 	15,328	 	
	 	 	 	 	  	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	
Total liabilities and equity	 	$	100,923	 	  	$	102,121	 	 	$	102,477	 	 	$	103,773	 	 	$	105,297	 	

 
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 GENWORTH FINANCIAL, INC.
FINANCIAL SUPPLEMENT
FOURTH QUARTER 2018
Consolidated Balance Sheet by Segment
(amounts in millions)

 	 	December 31, 2018	 	
 	 	U.S.
Mortgage
Insurance	 	 	Canada
Mortgage
Insurance	 	 	Australia
Mortgage
Insurance	 	 	U.S. Life
Insurance	 	 	Runoff	 	 	Corporate and
Other (1) 	 	 	Total	 	
ASSETS	 				 				 				 				 				 				 				
Cash and investments	 	$	3,448	 	 	$	4,801	 	 	$	2,287	 	 	$	59,938	 	 	$	3,141	 	 	$	(649	) 	 	$	72,966	 	
Deferred acquisition costs and intangible assets	 	 	50	 	 	 	135	 	 	 	75	 	 	 	3,138	 	 	 	204	 	 	 	8	 	 	 	3,610	 	
Reinsurance recoverable	 	 	—  	 	 	 	—  	 	 	 	7	 	 	 	16,530	 	 	 	741	 	 	 	—  	 	 	 	17,278	 	
Deferred tax and other assets	 	 	85	 	 	 	102	 	 	 	165	 	 	 	193	 	 	 	18	 	 	 	647	 	 	 	1,210	 	
Separate account assets	 	 	—  	 	 	 	—  	 	 	 	—  	 	 	 	—  	 	 	 	5,859	 	 	 	—  	 	 	 	5,859	 	
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	
Total assets	 	$	3,583	 	 	$	5,038	 	 	$	2,534	 	 	$	79,799	 	 	$	9,963	 	 	$	6	 	 	$	100,923	 	
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	
LIABILITIES AND EQUITY	 				 				 				 				 				 				 				
Liabilities:	 				 				 				 				 				 				 				
Future policy benefits	 	$	—  	 	 	$	—  	 	 	$	—  	 	 	$	37,939	 	 	$	1	 	 	$	—  	 	 	$	37,940	 	
Policyholder account balances	 	 	—  	 	 	 	—  	 	 	 	—  	 	 	 	19,663	 	 	 	3,305	 	 	 	—  	 	 	 	22,968	 	
Liability for policy and contract claims	 	 	296	 	 	 	84	 	 	 	196	 	 	 	9,782	 	 	 	14	 	 	 	7	 	 	 	10,379	 	
Unearned premiums	 	 	422	 	 	 	1,533	 	 	 	1,057	 	 	 	530	 	 	 	4	 	 	 	—  	 	 	 	3,546	 	
Non-recourse funding obligations	 	 	—  	 	 	 	—  	 	 	 	—  	 	 	 	311	 	 	 	—  	 	 	 	—  	 	 	 	311	 	
Deferred tax and other liabilities	 	 	56	 	 	 	212	 	 	 	176	 	 	 	562	 	 	 	53	 	 	 	647	 	 	 	1,706	 	
Borrowings and capital securities	 	 	—  	 	 	 	318	 	 	 	140	 	 	 	—  	 	 	 	—  	 	 	 	3,567	 	 	 	4,025	 	
Separate account liabilities	 	 	—  	 	 	 	—  	 	 	 	—  	 	 	 	—  	 	 	 	5,859	 	 	 	—  	 	 	 	5,859	 	
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	
Total liabilities	 	 	774	 	 	 	2,147	 	 	 	1,569	 	 	 	68,787	 	 	 	9,236	 	 	 	4,221	 	 	 	86,734	 	
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	
Equity:	 				 				 				 				 				 				 				
Allocated equity, excluding accumulated other comprehensive income (loss)	 	 	2,834	 	 	 	1,929	 	 	 	448	 	 	 	8,636	 	 	 	731	 	 	 	(4,172	) 	 	 	10,406	 	
Allocated accumulated other comprehensive income (loss)	 	 	(25	) 	 	 	(288	) 	 	 	28	 	 	 	2,376	 	 	 	(4	) 	 	 	(43	) 	 	 	2,044	 	
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	
Total Genworth Financial, Inc.’s stockholders’ equity	 	 	2,809	 	 	 	1,641	 	 	 	476	 	 	 	11,012	 	 	 	727	 	 	 	(4,215	) 	 	 	12,450	 	
Noncontrolling interests	 	 	—  	 	 	 	1,250	 	 	 	489	 	 	 	—  	 	 	 	—  	 	 	 	—  	 	 	 	1,739	 	
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	
Total equity	 	 	2,809	 	 	 	2,891	 	 	 	965	 	 	 	11,012	 	 	 	727	 	 	 	(4,215	) 	 	 	14,189	 	
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	
Total liabilities and equity	 	$	3,583	 	 	$	5,038	 	 	$	2,534	 	 	$	79,799	 	 	$	9,963	 	 	$	6	 	 	$	100,923	 	

(1)  	Includes inter-segment eliminations and other businesses that are managed outside the operating segments.	
 
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GENWORTH FINANCIAL, INC.
FINANCIAL SUPPLEMENT
FOURTH QUARTER 2018
 Consolidated Balance Sheet by Segment
(amounts in millions)

 	 	September 30, 2018	 	
 	 	U.S.
Mortgage
Insurance	 	 	Canada
Mortgage
Insurance	 	 	Australia
Mortgage
Insurance	 	 	U.S. Life
Insurance	 	 	Runoff	 	 	Corporate and
Other (1) 	 	 	Total	 	
ASSETS	 				 				 				 				 				 				 				
Cash and investments	 	$	3,263	 	 	$	5,133	 	 	$	2,315	 	 	$	59,769	 	 	$	2,751	 	 	$	(14	) 	 	$	73,217	 	
Deferred acquisition costs and intangible assets	 	 	49	 	 	 	143	 	 	 	77	 	 	 	3,198	 	 	 	216	 	 	 	8	 	 	 	3,691	 	
Reinsurance recoverable	 	 	—  	 	 	 	—  	 	 	 	—  	 	 	 	16,595	 	 	 	756	 	 	 	—  	 	 	 	17,351	 	
Deferred tax and other assets	 	 	101	 	 	 	51	 	 	 	154	 	 	 	140	 	 	 	33	 	 	 	638	 	 	 	1,117	 	
Separate account assets	 	 	—  	 	 	 	—  	 	 	 	—  	 	 	 	—  	 	 	 	6,745	 	 	 	—  	 	 	 	6,745	 	
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	
Total assets	 	$	3,413	 	 	$	5,327	 	 	$	2,546	 	 	$	79,702	 	 	$	10,501	 	 	$	632	 	 	$	102,121	 	
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	
LIABILITIES AND EQUITY	 				 				 				 				 				 				 				
Liabilities:	 				 				 				 				 				 				 				
Future policy benefits	 	$	—  	 	 	$	—  	 	 	$	—  	 	 	$	38,016	 	 	$	2	 	 	$	—  	 	 	$	38,018	 	
Policyholder account balances	 	 	—  	 	 	 	—  	 	 	 	—  	 	 	 	19,992	 	 	 	3,001	 	 	 	—  	 	 	 	22,993	 	
Liability for policy and contract claims	 	 	317	 	 	 	82	 	 	 	201	 	 	 	9,225	 	 	 	11	 	 	 	8	 	 	 	9,844	 	
Unearned premiums	 	 	422	 	 	 	1,627	 	 	 	1,089	 	 	 	526	 	 	 	4	 	 	 	—  	 	 	 	3,668	 	
Non-recourse funding obligations	 	 	—  	 	 	 	—  	 	 	 	—  	 	 	 	310	 	 	 	—  	 	 	 	—  	 	 	 	310	 	
Deferred tax and other liabilities	 	 	58	 	 	 	198	 	 	 	148	 	 	 	645	 	 	 	41	 	 	 	761	 	 	 	1,851	 	
Borrowings and capital securities	 	 	—  	 	 	 	336	 	 	 	143	 	 	 	—  	 	 	 	—  	 	 	 	3,592	 	 	 	4,071	 	
Separate account liabilities	 	 	—  	 	 	 	—  	 	 	 	—  	 	 	 	—  	 	 	 	6,745	 	 	 	—  	 	 	 	6,745	 	
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	
Total liabilities	 	 	797	 	 	 	2,243	 	 	 	1,581	 	 	 	68,714	 	 	 	9,804	 	 	 	4,361	 	 	 	87,500	 	
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	
Equity:	 				 				 				 				 				 				 				
Allocated equity, excluding accumulated other comprehensive income (loss)	 	 	2,646	 	 	 	1,977	 	 	 	434	 	 	 	8,664	 	 	 	701	 	 	 	(3,691	) 	 	 	10,731	 	
Allocated accumulated other comprehensive income (loss)	 	 	(30	) 	 	 	(225	) 	 	 	40	 	 	 	2,324	 	 	 	(4	) 	 	 	(38	) 	 	 	2,067	 	
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	
Total Genworth Financial, Inc.’s stockholders’ equity	 	 	2,616	 	 	 	1,752	 	 	 	474	 	 	 	10,988	 	 	 	697	 	 	 	(3,729	) 	 	 	12,798	 	
Noncontrolling interests	 	 	—  	 	 	 	1,332	 	 	 	491	 	 	 	—  	 	 	 	—  	 	 	 	—  	 	 	 	1,823	 	
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	
Total equity	 	 	2,616	 	 	 	3,084	 	 	 	965	 	 	 	10,988	 	 	 	697	 	 	 	(3,729	) 	 	 	14,621	 	
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	
Total liabilities and equity	 	$	3,413	 	 	$	5,327	 	 	$	2,546	 	 	$	79,702	 	 	$	10,501	 	 	$	632	 	 	$	102,121	 	

(1)	Includes inter-segment eliminations and other businesses that are managed outside the operating segments.	
 
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 GENWORTH FINANCIAL, INC.
FINANCIAL SUPPLEMENT
FOURTH QUARTER 2018
Deferred Acquisition Costs Rollforward
(amounts in millions)

 	  	U.S.
Mortgage
Insurance	 	 	Canada
Mortgage
Insurance	 	 	Australia
Mortgage
Insurance	 	 	U.S. Life
Insurance	 	 	Runoff	 	 	Corporate
and Other	 	  	Total	 	
Unamortized balance as of September 30, 2018	  	$	28	 	 	$	128	 	 	$	41	 	 	$	3,406	 	 	$	202	 	 	$	—  	 	  	$	3,805	 	
Costs deferred	  	 	2	 	 	 	10	 	 	 	2	 	 	 	6	 	 	 	—  	 	 	 	—  	 	  	 	20	 	
Amortization, net of interest accretion	  	 	(2	) 	 	 	(10	) 	 	 	(4	) 	 	 	(38	) 	 	 	(13	) 	 	 	—  	 	  	 	(67	) 	
Impact of foreign currency translation	  	 	—  	 	 	 	(7	) 	 	 	—  	 	 	 	—  	 	 	 	—  	 	 	 	—  	 	  	 	(7	) 	
	  	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	  	 	 	 	
Unamortized balance as of December 31, 2018	  	 	28	 	 	 	121	 	 	 	39	 	 	 	3,374	 	 	 	189	 	 	 	—  	 	  	 	3,751	 	
Effect of accumulated net unrealized investment (gains) losses	  	 	—  	 	 	 	—  	 	 	 	—  	 	 	 	(495	) 	 	 	7	 	 	 	—  	 	  	 	(488	) 	
	  	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	  	 	 	 	
Balance as of December 31, 2018	  	$	28	 	 	$	121	 	 	$	39	 	 	$	2,879	 	 	$	196	 	 	$	—  	 	  	$	3,263	 	

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U.S. Mortgage Insurance Segment

 
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 GENWORTH FINANCIAL, INC.
FINANCIAL SUPPLEMENT
FOURTH QUARTER 2018
Adjusted Operating Income and Sales—U.S. Mortgage Insurance Segment
(amounts in millions)

 	  	2018	 	  	2017	 	
 	  	4Q	 	  	3Q	 	  	2Q	 	 	1Q	 	  	Total	 	  	4Q	 	  	3Q	 	  	2Q	 	  	1Q	 	  	Total	 	
REVENUES:	  			 	  				  				 				  				  				  				  				  				  				
Premiums	  	$	193	 	  	$	190	 	  	$	184	 	 	$	179	 	  	$	746	 	  	$	181	 	  	$	175	 	  	$	170	 	  	$	169	 	  	$	695	 	
Net investment income	  	 	26	 	  	 	23	 	  	 	23	 	 	 	21	 	  	 	93	 	  	 	20	 	  	 	18	 	  	 	18	 	  	 	17	 	  	 	73	 	
Net investment gains (losses)	  	 	—  	 	  	 	—  	 	  	 	—  	 	 	 	—  	 	  	 	—  	 	  	 	—  	 	  	 	—  	 	  	 	—  	 	  	 	—  	 	  	 	—  	 	
Policy fees and other income	  	 	—  	 	  	 	1	 	  	 	1	 	 	 	—  	 	  	 	2	 	  	 	1	 	  	 	1	 	  	 	1	 	  	 	1	 	  	 	4	 	
	  	 	 	 	  	 	 	 	  	 	 	 	 	 	 	 	  	 	 	 	  	 	 	 	  	 	 	 	  	 	 	 	  	 	 	 	  	 	 	 	
Total revenues	  	 	219	 	  	 	214	 	  	 	208	 	 	 	200	 	  	 	841	 	  	 	202	 	  	 	194	 	  	 	189	 	  	 	187	 	  	 	772	 	
	  	 	 	 	  	 	 	 	  	 	 	 	 	 	 	 	  	 	 	 	  	 	 	 	  	 	 	 	  	 	 	 	  	 	 	 	  	 	 	 	
BENEFITS AND EXPENSES:	  			 	  				  				 				  				  				  				  				  				  				
Benefits and other changes in policy reserves	  	 	14	 	  	 	20	 	  	 	(14	) 	 	 	16	 	  	 	36	 	  	 	40	 	  	 	35	 	  	 	3	 	  	 	29	 	  	 	107	 	
Acquisition and operating expenses, net of deferrals	  	 	44	 	  	 	41	 	  	 	45	 	 	 	39	 	  	 	169	 	  	 	41	 	  	 	43	 	  	 	41	 	  	 	40	 	  	 	165	 	
Amortization of deferred acquisition costs and intangibles	  	 	3	 	  	 	4	 	  	 	3	 	 	 	4	 	  	 	14	 	  	 	4	 	  	 	3	 	  	 	3	 	  	 	4	 	  	 	14	 	
	  	 	 	 	  	 	 	 	  	 	 	 	 	 	 	 	  	 	 	 	  	 	 	 	  	 	 	 	  	 	 	 	  	 	 	 	  	 	 	 	
Total benefits and expenses	  	 	61	 	  	 	65	 	  	 	34	 	 	 	59	 	  	 	219	 	  	 	85	 	  	 	81	 	  	 	47	 	  	 	73	 	  	 	286	 	
	  	 	 	 	  	 	 	 	  	 	 	 	 	 	 	 	  	 	 	 	  	 	 	 	  	 	 	 	  	 	 	 	  	 	 	 	  	 	 	 	
INCOME FROM CONTINUING OPERATIONS BEFORE INCOME TAXES	  	 	158	 	  	 	149	 	  	 	174	 	 	 	141	 	  	 	622	 	  	 	117	 	  	 	113	 	  	 	142	 	  	 	114	 	  	 	486	 	
Provision for income taxes	  	 	34	 	  	 	31	 	  	 	37	 	 	 	30	 	  	 	132	 	  	 	43	 	  	 	40	 	  	 	51	 	  	 	41	 	  	 	175	 	
	  	 	 	 	  	 	 	 	  	 	 	 	 	 	 	 	  	 	 	 	  	 	 	 	  	 	 	 	  	 	 	 	  	 	 	 	  	 	 	 	
INCOME FROM CONTINUING OPERATIONS	  	 	124	 	  	 	118	 	  	 	137	 	 	 	111	 	  	 	490	 	  	 	74	 	  	 	73	 	  	 	91	 	  	 	73	 	  	 	311	 	
	 										
ADJUSTMENTS TO INCOME FROM CONTINUING OPERATIONS:	  			 	  				  				 				  				  				  				  				  				  				
Net investment (gains) losses	  	 	—  	 	  	 	—  	 	  	 	—  	 	 	 	—  	 	  	 	—  	 	  	 	—  	 	  	 	—  	 	  	 	—  	 	  	 	—  	 	  	 	—  	 	
Taxes on adjustments	  	 	—  	 	  	 	—  	 	  	 	—  	 	 	 	—  	 	  	 	—  	 	  	 	—  	 	  	 	—  	 	  	 	—  	 	  	 	—  	 	  	 	—  	 	
	  	 	 	 	  	 	 	 	  	 	 	 	 	 	 	 	  	 	 	 	  	 	 	 	  	 	 	 	  	 	 	 	  	 	 	 	  	 	 	 	
ADJUSTED OPERATING INCOME	  	$	124	 	  	$	118	 	  	$	137	 	 	$	111	 	  	$	490	 	  	$	74	 	  	$	73	 	  	$	91	 	  	$	73	 	  	$	311	 	

SALES:	  				  				  				 				  				  				  				  				  				  				
Flow New Insurance Written (NIW)	  	$	9,300	 	  	$	10,300	 	  	$	11,400	 	 	$	9,000	 	  	$	40,000	 	  	$	10,200	 	  	$	11,300	 	  	$	9,800	 	  	$	7,600	 	  	$	38,900	 	
 
16

Table of Contents
GENWORTH FINANCIAL, INC.
FINANCIAL SUPPLEMENT
FOURTH QUARTER 2018
Flow New Insurance Written Metrics—U.S. Mortgage Insurance Segment
(amounts in millions)

 	 	2018	 	 	2017	 	
 	 	4Q	 	  	3Q	 	 	2Q	 	 	1Q	 	 	4Q	 	 	3Q	 	 	2Q	 	 	1Q	 	
 	 	Flow
NIW	 	 	% of
Flow
NIW	 	  	Flow
NIW	 	  	% of
Flow
NIW	 	 	Flow
NIW	 	  	% of
Flow
NIW	 	 	Flow
NIW	 	  	% of
Flow
NIW	 	 	Flow
NIW	 	  	% of
Flow
NIW	 	 	Flow
NIW	 	  	% of
Flow
NIW	 	 	Flow
NIW	 	  	% of
Flow
NIW	 	 	Flow
NIW	 	  	% of
Flow
NIW	 	
Product	 				 			 	  				  				 				  				 				  				 				  				 				  				 				  				 				  				
Monthly (1)	 	$	7,900	 	 	 	85	% 	  	$	8,400	 	  	 	82	% 	 	$	9,700	 	  	 	85	% 	 	$	7,300	 	  	 	81	% 	 	$	7,900	 	  	 	77	% 	 	$	8,600	 	  	 	76	% 	 	$	7,900	 	  	 	81	% 	 	$	6,100	 	  	 	80	% 	
Single	 	 	1,400	 	 	 	15	 	  	 	1,900	 	  	 	18	 	 	 	1,700	 	  	 	15	 	 	 	1,700	 	  	 	19	 	 	 	2,300	 	  	 	23	 	 	 	2,700	 	  	 	24	 	 	 	1,900	 	  	 	19	 	 	 	1,500	 	  	 	20	 	
	 	 	 	 	 	 	 	 	  	 	 	 	  	 	 	 	 	 	 	 	  	 	 	 	 	 	 	 	  	 	 	 	 	 	 	 	  	 	 	 	 	 	 	 	  	 	 	 	 	 	 	 	  	 	 	 	 	 	 	 	  	 	 	 	
Total Flow	 	$	9,300	 	 	 	100	% 	  	$	10,300	 	  	 	100	% 	 	$	11,400	 	  	 	100	% 	 	$	9,000	 	  	 	100	% 	 	$	10,200	 	  	 	100	% 	 	$	11,300	 	  	 	100	% 	 	$	9,800	 	  	 	100	% 	 	$	7,600	 	  	 	100	% 	
	 	 	 	 	 	 	 	 	  	 	 	 	  	 	 	 	 	 	 	 	  	 	 	 	 	 	 	 	  	 	 	 	 	 	 	 	  	 	 	 	 	 	 	 	  	 	 	 	 	 	 	 	  	 	 	 	 	 	 	 	  	 	 	 	
FICO Scores	 				 			 	  				  				 				  				 				  				 				  				 				  				 				  				 				  				
Over 735	 	$	5,200	 	 	 	56	% 	  	$	6,000	 	  	 	58	% 	 	$	6,900	 	  	 	60	% 	 	$	5,300	 	  	 	59	% 	 	$	5,900	 	  	 	58	% 	 	$	6,900	 	  	 	61	% 	 	$	6,000	 	  	 	61	% 	 	$	4,700	 	  	 	62	% 	
680-735	 	 	3,200	 	 	 	35	 	  	 	3,300	 	  	 	32	 	 	 	3,700	 	  	 	32	 	 	 	3,000	 	  	 	33	 	 	 	3,400	 	  	 	33	 	 	 	3,500	 	  	 	31	 	 	 	3,100	 	  	 	32	 	 	 	2,300	 	  	 	30	 	
660-679 (2)	 	 	500	 	 	 	5	 	  	 	500	 	  	 	5	 	 	 	400	 	  	 	4	 	 	 	400	 	  	 	5	 	 	 	500	 	  	 	5	 	 	 	500	 	  	 	4	 	 	 	400	 	  	 	4	 	 	 	300	 	  	 	4	 	
620-659	 	 	400	 	 	 	4	 	  	 	500	 	  	 	5	 	 	 	400	 	  	 	4	 	 	 	300	 	  	 	3	 	 	 	400	 	  	 	4	 	 	 	400	 	  	 	4	 	 	 	300	 	  	 	3	 	 	 	300	 	  	 	4	 	
< 620	 	 	—  	 	 	 	—  	 	  	 	—  	 	  	 	—  	 	 	 	—  	 	  	 	—  	 	 	 	—  	 	  	 	—  	 	 	 	—  	 	  	 	—  	 	 	 	—  	 	  	 	—  	 	 	 	—  	 	  	 	—  	 	 	 	—  	 	  	 	—  	 	
	 	 	 	 	 	 	 	 	  	 	 	 	  	 	 	 	 	 	 	 	  	 	 	 	 	 	 	 	  	 	 	 	 	 	 	 	  	 	 	 	 	 	 	 	  	 	 	 	 	 	 	 	  	 	 	 	 	 	 	 	  	 	 	 	
Total Flow	 	$	9,300	 	 	 	100	% 	  	$	10,300	 	  	 	100	% 	 	$	11,400	 	  	 	100	% 	 	$	9,000	 	  	 	100	% 	 	$	10,200	 	  	 	100	% 	 	$	11,300	 	  	 	100	% 	 	$	9,800	 	  	 	100	% 	 	$	7,600	 	  	 	100	% 	
	 	 	 	 	 	 	 	 	  	 	 	 	  	 	 	 	 	 	 	 	  	 	 	 	 	 	 	 	  	 	 	 	 	 	 	 	  	 	 	 	 	 	 	 	  	 	 	 	 	 	 	 	  	 	 	 	 	 	 	 	  	 	 	 	
Loan-To-Value Ratio	 				 			 	  				  				 				  				 				  				 				  				 				  				 				  				 				  				
95.01% and above	 	$	2,000	 	 	 	21	% 	  	$	2,000	 	  	 	19	% 	 	$	2,400	 	  	 	21	% 	 	$	1,600	 	  	 	18	% 	 	$	1,700	 	  	 	17	% 	 	$	1,600	 	  	 	14	% 	 	$	1,100	 	  	 	11	% 	 	$	800	 	  	 	11	% 	
90.01% to 95.00%	 	 	4,000	 	 	 	43	 	  	 	4,500	 	  	 	44	 	 	 	4,900	 	  	 	43	 	 	 	3,900	 	  	 	43	 	 	 	4,500	 	  	 	44	 	 	 	5,200	 	  	 	46	 	 	 	4,700	 	  	 	48	 	 	 	3,500	 	  	 	46	 	
85.01% to 90.00%	 	 	2,300	 	 	 	25	 	  	 	2,800	 	  	 	27	 	 	 	2,900	 	  	 	25	 	 	 	2,500	 	  	 	28	 	 	 	2,900	 	  	 	28	 	 	 	3,300	 	  	 	29	 	 	 	2,900	 	  	 	30	 	 	 	2,300	 	  	 	30	 	
85.00% and below	 	 	1,000	 	 	 	11	 	  	 	1,000	 	  	 	10	 	 	 	1,200	 	  	 	11	 	 	 	1,000	 	  	 	11	 	 	 	1,100	 	  	 	11	 	 	 	1,200	 	  	 	11	 	 	 	1,100	 	  	 	11	 	 	 	1,000	 	  	 	13	 	
	 	 	 	 	 	 	 	 	  	 	 	 	  	 	 	 	 	 	 	 	  	 	 	 	 	 	 	 	  	 	 	 	 	 	 	 	  	 	 	 	 	 	 	 	  	 	 	 	 	 	 	 	  	 	 	 	 	 	 	 	  	 	 	 	
Total Flow	 	$	9,300	 	 	 	100	% 	  	$	10,300	 	  	 	100	% 	 	$	11,400	 	  	 	100	% 	 	$	9,000	 	  	 	100	% 	 	$	10,200	 	  	 	100	% 	 	$	11,300	 	  	 	100	% 	 	$	9,800	 	  	 	100	% 	 	$	7,600	 	  	 	100	% 	
	 	 	 	 	 	 	 	 	  	 	 	 	  	 	 	 	 	 	 	 	  	 	 	 	 	 	 	 	  	 	 	 	 	 	 	 	  	 	 	 	 	 	 	 	  	 	 	 	 	 	 	 	  	 	 	 	 	 	 	 	  	 	 	 	
Origination	 				 			 	  				  				 				  				 				  				 				  				 				  				 				  				 				  				
Purchase	 	$	8,800	 	 	 	95	% 	  	$	9,800	 	  	 	95	% 	 	$	10,700	 	  	 	94	% 	 	$	8,000	 	  	 	89	% 	 	$	9,100	 	  	 	89	% 	 	$	10,300	 	  	 	91	% 	 	$	9,000	 	  	 	92	% 	 	$	6,300	 	  	 	83	% 	
Refinance	 	 	500	 	 	 	5	 	  	 	500	 	  	 	5	 	 	 	700	 	  	 	6	 	 	 	1,000	 	  	 	11	 	 	 	1,100	 	  	 	11	 	 	 	1,000	 	  	 	9	 	 	 	800	 	  	 	8	 	 	 	1,300	 	  	 	17	 	
	 	 	 	 	 	 	 	 	  	 	 	 	  	 	 	 	 	 	 	 	  	 	 	 	 	 	 	 	  	 	 	 	 	 	 	 	  	 	 	 	 	 	 	 	  	 	 	 	 	 	 	 	  	 	 	 	 	 	 	 	  	 	 	 	
Total Flow	 	$	9,300	 	 	 	100	% 	  	$	10,300	 	  	 	100	% 	 	$	11,400	 	  	 	100	% 	 	$	9,000	 	  	 	100	% 	 	$	10,200	 	  	 	100	% 	 	$	11,300	 	  	 	100	% 	 	$	9,800	 	  	 	100	% 	 	$	7,600	 	  	 	100	% 	

(1)  	Includes loans with annual and split payment types.	
(2)  	Loans with unknown FICO scores are included in the 660-679 category.	
 
17

Table of Contents
GENWORTH FINANCIAL, INC.
FINANCIAL SUPPLEMENT
FOURTH QUARTER 2018
Other Metrics—U.S. Mortgage Insurance Segment
(dollar amounts in millions)

 	  	2018	 	 	2017	 	
 	  	4Q	 	 	3Q	 	 	2Q	 	 	1Q	 	 	Total	 	 	4Q	 	 	3Q	 	 	2Q	 	 	1Q	 	 	Total	 	
Net Premiums Written	  	$	192	 	 	$	195	 	 	$	191	 	 	$	185	 	 	$	763	 	 	$	196	 	 	$	200	 	 	$	186	 	 	$	175	 	 	$	757	 	
	 										
Flow New Risk Written	  	$	2,300	 	 	$	2,559	 	 	$	2,866	 	 	$	2,247	 	 	$	9,972	 	 	$	2,539	 	 	$	2,846	 	 	$	2,478	 	 	$	1,864	 	 	$	9,727	 	
	 										
Primary Insurance In-Force (1) 	  	$	166,700	 	 	$	163,200	 	 	$	159,500	 	 	$	154,900	 	 				 	$	151,800	 	 	$	148,000	 	 	$	143,000	 	 	$	139,300	 	 				
Risk In-Force	  			 	 				 				 				 				 				 				 				 				 				
Flow (2)	  	$	40,115	 	 	$	39,304	 	 	$	38,433	 	 	$	37,252	 	 				 	$	36,498	 	 	$	35,567	 	 	$	34,286	 	 	$	33,347	 	 				
Bulk (3)	  	 	178	 	 	 	188	 	 	 	195	 	 	 	202	 	 				 	 	212	 	 	 	252	 	 	 	257	 	 	 	266	 	 				
	  	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 				 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 				
Total Primary	  	 	40,293	 	 	 	39,492	 	 	 	38,628	 	 	 	37,454	 	 				 	 	36,710	 	 	 	35,819	 	 	 	34,543	 	 	 	33,613	 	 				
Pool	  	 	69	 	 	 	72	 	 	 	75	 	 	 	80	 	 				 	 	83	 	 	 	86	 	 	 	92	 	 	 	96	 	 				
	  	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 				 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 				
Total Risk In-Force	  	$	40,362	 	 	$	39,564	 	 	$	38,703	 	 	$	37,534	 	 				 	$	36,793	 	 	$	35,905	 	 	$	34,635	 	 	$	33,709	 	 				

Primary Risk In-Force That Is GSE Conforming	  	 	94	% 	 	 	94	% 	 	 	94	% 	 	 	94	% 	 				 	 	94	% 	 	 	95	% 	 	 	95	% 	 	 	95	% 	 				
	 										
Expense Ratio (Net Earned Premiums) (4) 	  	 	24	% 	 	 	23	% 	 	 	26	% 	 	 	24	% 	 	 	25	% 	 	 	25	% 	 	 	26	% 	 	 	26	% 	 	 	26	% 	 	 	26	% 	
	 										
Expense Ratio (Net Premiums Written) (5) 	  	 	25	% 	 	 	23	% 	 	 	25	% 	 	 	23	% 	 	 	24	% 	 	 	23	% 	 	 	23	% 	 	 	24	% 	 	 	25	% 	 	 	24	% 	
	 										
Flow Persistency	  	 	86	% 	 	 	84	% 	 	 	83	% 	 	 	84	% 	 				 	 	83	% 	 	 	83	% 	 	 	82	% 	 	 	83	% 	 				
	 										
Risk To Capital Ratio (6) 	  	 	12.2:1	 	 	 	12.3:1	 	 	 	12.6:1	 	 	 	12.5:1	 	 				 	 	12.7:1	 	 	 	12.8:1	 	 	 	13.0:1	 	 	 	13.6:1	 	 				
	 										
PMIERs Sufficiency Ratio (7) 	  	 	129	% 	 	 	130	% 	 	 	129	% 	 	 	124	% 	 				 	 	121	% 	 	 	122	% 	 	 	122	% 	 	 	118	% 	 				
	 										
Average Primary Loan Size (in thousands)	  	$	213	 	 	$	211	 	 	$	209	 	 	$	207	 	 				 	$	205	 	 	$	203	 	 	$	200	 	 	$	198	 	 				
The expense ratios included above were calculated using whole dollars and may be different than the ratios calculated using the rounded numbers included herein.

(1)  	Primary insurance in-force represents aggregate loan balances for outstanding insurance policies and is used to determine premiums. Original loan balances are presented for policies with level renewal premiums. Amortized loan balances are presented for policies with annual, amortizing renewal premiums.	
(2)	Flow risk in-force represents current loan balances as provided by servicers, lenders and investors and conforms to the presentation under the Private Mortgage Insurer Eligibility Requirements (PMIERs).	
(3)  	As of December 31, 2018, 88% of the bulk risk in-force was related to loans financed by lenders who participated in the mortgage programs sponsored by the Federal Home Loan Banks.	
(4)  	The ratio of an insurer’s general expenses to net earned premiums. In the business, general expenses consist of acquisition and operating expenses, net of deferrals, and amortization of DAC and intangibles.	
(5)  	The ratio of an insurer’s general expenses to net premiums written. In the business, general expenses consist of acquisition and operating expenses, net of deferrals, and amortization of DAC and intangibles.	
(6)  	Certain states limit a private mortgage insurer’s risk in-force to 25 times the total of the insurer’s policyholders’ surplus plus the statutory contingency reserve, commonly known as the “risk to capital” requirement. The current period risk to capital ratio is an estimate due to the timing of the filing of statutory statements and is prepared consistent with the presentation of the statutory financial statements in the combined annual statement of the U.S. mortgage insurance business.	
(7)  	The PMIERs sufficiency ratio is calculated as available assets divided by required assets as defined within the current PMIERs. The current period PMIERs sufficiency ratio is an estimate due to the timing of the PMIERs filing for the U.S. mortgage insurance business. As of December 31, 2018, September 30, 2018, June 30, 2018, March 31, 2018, December 31, 2017, September 30, 2017, June 30, 2017 and March 31, 2017, the PMIERs sufficiency ratios were in excess of $750 million, $750 million, $700 million, $600 million, $550 million, $500 million, $500 million and $400 million, respectively, of available assets above the current PMIERs requirements. The PMIERs sufficiency ratio as of September 30, 2018, June 30, 2018, March 31, 2018 and December 31, 2017 was negatively impacted by approximately one, two, four and four points, respectively, by the increase in new delinquencies reported in the fourth quarter of 2017 in areas impacted by hurricanes Harvey and Irma.	

18

Table of Contents
GENWORTH FINANCIAL, INC.
FINANCIAL SUPPLEMENT
FOURTH QUARTER 2018
Loss Metrics—U.S. Mortgage Insurance Segment
(amounts in millions)

 	  	2018	 	 	2017	 	
 	  	4Q	 	  	3Q	 	 	2Q	 	 	1Q	 	 	Total	 	 	4Q	 	 	3Q	 	 	2Q	 	 	1Q	 	 	Total	 	
Paid Claims	  			 	  				 				 				 				 				 				 				 				 				
Flow	  			 	  				 				 				 				 				 				 				 				 				
Direct (1)	  	$	34	 	  	$	52	 	 	$	45	 	 	$	53	 	 	$	184	 	 	$	41	 	 	$	62	 	 	$	92	 	 	$	76	 	 	$	271	 	
Assumed (2)	  	 	—  	 	  	 	—  	 	 	 	—  	 	 	 	1	 	 	 	1	 	 	 	1	 	 	 	—  	 	 	 	—  	 	 	 	2	 	 	 	3	 	
Ceded	  	 	—  	 	  	 	—  	 	 	 	—  	 	 	 	(1	) 	 	 	(1	) 	 	 	—  	 	 	 	—  	 	 	 	—  	 	 	 	(1	) 	 	 	(1	) 	
Loss adjustment expenses	  	 	—  	 	  	 	3	 	 	 	2	 	 	 	2	 	 	 	7	 	 	 	2	 	 	 	2	 	 	 	2	 	 	 	2	 	 	 	8	 	
	  	 	 	 	  	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	
Total Flow	  	 	34	 	  	 	55	 	 	 	47	 	 	 	55	 	 	 	191	 	 	 	44	 	 	 	64	 	 	 	94	 	 	 	79	 	 	 	281	 	
Bulk	  	 	—  	 	  	 	1	 	 	 	—  	 	 	 	1	 	 	 	2	 	 	 	1	 	 	 	1	 	 	 	1	 	 	 	1	 	 	 	4	 	
	  	 	 	 	  	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	
Total Primary	  	 	34	 	  	 	56	 	 	 	47	 	 	 	56	 	 	 	193	 	 	 	45	 	 	 	65	 	 	 	95	 	 	 	80	 	 	 	285	 	
Pool	  	 	—  	 	  	 	—  	 	 	 	1	 	 	 	—  	 	 	 	1	 	 	 	—  	 	 	 	1	 	 	 	1	 	 	 	—  	 	 	 	2	 	
	  	 	 	 	  	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	
Total Paid Claims	  	$	34	 	  	$	56	 	 	$	48	 	 	$	56	 	 	$	194	 	 	$	45	 	 	$	66	 	 	$	96	 	 	$	80	 	 	$	287	 	

Average Paid Claim (in thousands) (1) 	  	$	41.4	 	  	$	45.9	 	 	$	43.1	 	 	$	47.5	 	 				 	$	51.0	 	 	$	50.6	 	 	$	46.6	 	 	$	51.2	 	 				
	 										
Average Reserve Per Delinquency (in thousands)	  			 	  				 				 				 				 				 				 				 				 				
Flow (3)	  	$	17.3	 	  	$	18.8	 	 	$	19.6	 	 	$	20.2	 	 				 	$	19.7	 	 	$	22.6	 	 	$	24.1	 	 	$	25.8	 	 				
Bulk loans with established reserve	  	$	14.6	 	  	$	17.6	 	 	$	18.4	 	 	$	17.6	 	 				 	$	18.1	 	 	$	18.7	 	 	$	19.5	 	 	$	19.1	 	 				
	 										
Reserves:	  			 	  				 				 				 				 				 				 				 				 				
Flow direct case	  	$	261	 	  	$	280	 	 	$	314	 	 	$	372	 	 				 	$	408	 	 	$	412	 	 	$	440	 	 	$	530	 	 				
Bulk direct case	  	 	5	 	  	 	7	 	 	 	8	 	 	 	8	 	 				 	 	10	 	 	 	11	 	 	 	12	 	 	 	12	 	 				
Assumed (2)	  	 	2	 	  	 	2	 	 	 	2	 	 	 	2	 	 				 	 	3	 	 	 	3	 	 	 	4	 	 	 	4	 	 				
All other (4)	  	 	28	 	  	 	28	 	 	 	28	 	 	 	33	 	 				 	 	34	 	 	 	34	 	 	 	34	 	 	 	37	 	 				
	  	 	 	 	  	 	 	 	 	 	 	 	 	 	 	 	 				 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 				
Total Reserves	  	$	296	 	  	$	317	 	 	$	352	 	 	$	415	 	 				 	$	455	 	 	$	460	 	 	$	490	 	 	$	583	 	 				

Beginning Reserves	  	$	317	 	  	$	352	 	 	$	415	 	 	$	455	 	 	$	455	 	 	$	460	 	 	$	490	 	 	$	583	 	 	$	635	 	 	$	635	 	
Paid claims	  	 	(34	) 	  	 	(56	) 	 	 	(48	) 	 	 	(57	) 	 	 	(195	) 	 	 	(45	) 	 	 	(66	) 	 	 	(96	) 	 	 	(81	) 	 	 	(288	) 	
Increase (decrease) in reserves	  	 	13	 	  	 	21	 	 	 	(15	) 	 	 	17	 	 	 	36	 	 	 	40	 	 	 	36	 	 	 	3	 	 	 	29	 	 	 	108	 	
	  	 	 	 	  	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	
Ending Reserves	  	$	296	 	  	$	317	 	 	$	352	 	 	$	415	 	 	$	296	 	 	$	455	 	 	$	460	 	 	$	490	 	 	$	583	 	 	$	455	 	

Beginning Reinsurance Recoverable (5) 	  	$	—  	 	  	$	—  	 	 	$	—  	 	 	$	1	 	 	$	1	 	 	$	1	 	 	$	1	 	 	$	1	 	 	$	2	 	 	$	2	 	
Ceded paid claims	  	 	—  	 	  	 	—  	 	 	 	—  	 	 	 	(1	) 	 	 	(1	) 	 	 	—  	 	 	 	—  	 	 	 	—  	 	 	 	(1	) 	 	 	(1	) 	
	  	 	 	 	  	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	
Ending Reinsurance Recoverable	  	$	—  	 	  	$	—  	 	 	$	—  	 	 	$	—  	 	 	$	—  	 	 	$	1	 	 	$	1	 	 	$	1	 	 	$	1	 	 	$	1	 	
	  	 	 	 	  	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	
Loss Ratio (6) 	  	 	7	% 	  	 	11	% 	 	 	(8	)% 	 	 	9	% 	 	 	5	% 	 	 	22	% 	 	 	20	% 	 	 	2	% 	 	 	17	% 	 	 	15	% 	

The loss ratio included above was calculated using whole dollars and may be different than the ratio calculated using the rounded numbers included herein.

(1)  	Direct paid claims and average paid claim in the second quarter of 2017 included payments in relation to an agreement on non-performing loans.	
(2)  	Assumed is comprised of reinsurance arrangements with state governmental housing finance agencies.	
(3)  	Average reserve per delinquency in the fourth quarter of 2017 reflected a decrease in the hurricanes Harvey and Irma impacted areas. There were approximately three thousand new delinquencies in impacted areas. However, the company’s experience indicated that these delinquencies had different ultimate claim rates and, therefore, the company lowered its expected claim frequency for the incremental delinquencies.	
(4)  	Other includes loss adjustment expenses, pool and incurred but not reported reserves.	
(5)  	Reinsurance recoverable excludes ceded unearned premium recoveries and amounts for which cash proceeds have not yet been received.	
(6)  	The ratio of benefits and other changes in policy reserves to net earned premiums. During the second quarter of 2018, the company recorded a favorable reserve adjustment of $28 million, which reduced the loss ratio by four percentage points for the twelve months ended December 31, 2018 and 15 percentage points for the three months ended June 30, 2018. The second quarter of 2017 also included a $15 million favorable reserve adjustment. The fourth quarter of 2017 reflected an increase in the hurricanes Harvey and Irma impacted areas, which negatively impacted benefits and other changes in policy reserves by approximately $5 million.	
 
19

Table of Contents
GENWORTH FINANCIAL, INC.
FINANCIAL SUPPLEMENT
FOURTH QUARTER 2018
Delinquency Metrics—U.S. Mortgage Insurance Segment
(dollar amounts in millions)

 	  	2018	 	 	2017	 		
 	  	4Q	 	  	3Q	 	 	2Q	 	 	1Q	 	 	Total	 	 	4Q	 	 	3Q	 	 	2Q	 	 	1Q	 	 	Total	 		
Number of Primary Delinquencies	  			 	  				 				 				 				 				 				 				 				 					
Flow (1)	  	 	16,670	 	  	 	16,367	 	 	 	17,505	 	 	 	20,007	 	 				 	 	22,483	 	 	 	19,765	 	 	 	19,733	 	 	 	22,036	 	 					
Bulk loans with an established reserve	  	 	403	 	  	 	415	 	 	 	445	 	 	 	494	 	 				 	 	614	 	 	 	631	 	 	 	653	 	 	 	695	 	 					
Bulk loans with no reserve (2)	  	 	86	 	  	 	92	 	 	 	101	 	 	 	101	 	 				 	 	91	 	 	 	112	 	 	 	291	 	 	 	288	 	 					
	  	 	 	 	  	 	 	 	 	 	 	 	 	 	 	 	 				 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 					
Total Number of Primary Delinquencies	  	 	17,159	 	  	 	16,874	 	 	 	18,051	 	 	 	20,602	 	 				 	 	23,188	 	 	 	20,508	 	 	 	20,677	 	 	 	23,019	 	 					

Beginning Number of Primary Delinquencies	  	 	16,874	 	  	 	18,051	 	 	 	20,602	 	 	 	23,188	 	 	 	23,188	 	 	 	20,508	 	 	 	20,677	 	 	 	23,019	 	 	 	25,709	 	 	 	25,709	 		
New delinquencies (1)	  	 	8,719	 	  	 	7,884	 	 	 	7,049	 	 	 	8,409	 	 	 	32,061	 	 	 	11,979	 	 	 	8,753	 	 	 	7,776	 	 	 	8,456	 	 	 	36,964	 		
Delinquency cures (1)	  	 	(7,601	) 	  	 	(7,857	) 	 	 	(8,488	) 	 	 	(9,840	) 	 	 	(33,786	) 	 	 	(8,419	) 	 	 	(7,654	) 	 	 	(8,085	) 	 	 	(9,583	) 	 	 	(33,741	) 		
Paid claims	  	 	(833	) 	  	 	(1,204	) 	 	 	(1,112	) 	 	 	(1,155	) 	 	 	(4,304	) 	 	 	(880	) 	 	 	(1,268	) 	 	 	(2,033	) 	 	 	(1,563	) 	 	 	(5,744	) 		
	  	 	 	 	  	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 		
Ending Number of Primary Delinquencies	  	 	17,159	 	  	 	16,874	 	 	 	18,051	 	 	 	20,602	 	 	 	17,159	 	 	 	23,188	 	 	 	20,508	 	 	 	20,677	 	 	 	23,019	 	 	 	23,188	 		

Composition of Cures	  			 	  				 				 				 				 				 				 				 				 					
Reported delinquent and cured-intraquarter	  	 	1,767	 	  	 	1,651	 	 	 	1,514	 	 	 	2,288	 	 				 	 	2,007	 	 	 	1,713	 	 	 	1,697	 	 	 	2,350	 	 					
Number of missed payments delinquent prior to cure:	  			 	  				 				 				 				 				 				 				 				 					
3 payments or less	  	 	4,131	 	  	 	3,951	 	 	 	4,568	 	 	 	5,413	 	 				 	 	4,547	 	 	 	4,104	 	 	 	4,285	 	 	 	5,375	 	 					
4 - 11 payments	  	 	1,382	 	  	 	1,943	 	 	 	2,070	 	 	 	1,719	 	 				 	 	1,346	 	 	 	1,305	 	 	 	1,678	 	 	 	1,432	 	 					
12 payments or more	  	 	321	 	  	 	312	 	 	 	336	 	 	 	420	 	 				 	 	519	 	 	 	532	 	 	 	425	 	 	 	426	 	 					
	  	 	 	 	  	 	 	 	 	 	 	 	 	 	 	 	 				 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 					
Total (1) 	  	 	7,601	 	  	 	7,857	 	 	 	8,488	 	 	 	9,840	 	 				 	 	8,419	 	 	 	7,654	 	 	 	8,085	 	 	 	9,583	 	 					

Primary Delinquencies by Missed Payment Status	  			 	  				 				 				 				 				 				 				 				 					
3 payments or less	  	 	8,578	 	  	 	7,853	 	 	 	7,539	 	 	 	8,335	 	 				 	 	10,852	 	 	 	8,542	 	 	 	7,877	 	 	 	8,114	 	 					
4 - 11 payments	  	 	4,689	 	  	 	4,745	 	 	 	5,657	 	 	 	6,875	 	 				 	 	6,319	 	 	 	5,420	 	 	 	5,520	 	 	 	6,341	 	 					
12 payments or more	  	 	3,892	 	  	 	4,276	 	 	 	4,855	 	 	 	5,392	 	 				 	 	6,017	 	 	 	6,546	 	 	 	7,280	 	 	 	8,564	 	 					
	  	 	 	 	  	 	 	 	 	 	 	 	 	 	 	 	 				 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 					
Primary Delinquencies (1) 	  	 	17,159	 	  	 	16,874	 	 	 	18,051	 	 	 	20,602	 	 				 	 	23,188	 	 	 	20,508	 	 	 	20,677	 	 	 	23,019	 	 					

									
 	  	December 31, 2018	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 		
Flow Delinquencies and Percentage	
Reserved by Payment Status	  	Delinquencies	 	  	Direct Case
Reserves (3) 	 	 	Risk In-Force	 	 	Reserves as % of
Risk In-Force	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	
3 payments or less in default	  	 	8,360	 	  	$	31	 	 	$	365	 	 	 	8	% 	 				 				 				 				 				 					
4 - 11 payments in default	  	 	4,591	 	  	 	88	 	 	 	208	 	 	 	42	% 	 				 				 				 				 				 					
12 payments or more in default	  	 	3,719	 	  	 	142	 	 	 	188	 	 	 	76	% 	 				 				 				 				 				 					
	  	 	 	 	  	 	 	 	 	 	 	 	 				 				 				 				 				 				 					
Total	  	 	16,670	 	  	$	261	 	 	$	761	 	 	 	34	% 	 				 				 				 				 				 					

 	  	December 31, 2017	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 		
Flow Delinquencies and Percentage	
Reserved by Payment Status	  	Delinquencies (1) 	 	  	Direct Case
Reserves (3) 	 	 	Risk In-Force	 	 	Reserves as % of
Risk In-Force	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	
3 payments or less in default	  	 	10,594	 	  	$	46	 	 	$	474	 	 	 	10	% 	 				 				 				 				 				 					
4 - 11 payments in default	  	 	6,178	 	  	 	125	 	 	 	279	 	 	 	45	% 	 				 				 				 				 				 					
12 payments or more in default	  	 	5,711	 	  	 	237	 	 	 	281	 	 	 	84	% 	 				 				 				 				 				 					
	  	 	 	 	  	 	 	 	 	 	 	 	 				 				 				 				 				 				 					
Total	  	 	22,483	 	  	$	408	 	 	$	1,034	 	 	 	39	% 	 				 				 				 				 				 					

(1)  	The number of delinquencies, new delinquencies and delinquency cures in the fourth quarter of 2017 reflected increases in the hurricanes Harvey and Irma impacted areas.	
(2)  	Reserves were not established on loans where the company was in a secondary loss position due to an existing deductible and the company believes they currently have no risk for claim.	
(3)  	Direct flow case reserves exclude loss adjustment expenses, incurred but not reported and reinsurance reserves.	
 
20

Table of Contents
GENWORTH FINANCIAL, INC.
FINANCIAL SUPPLEMENT
FOURTH QUARTER 2018
Portfolio Quality Metrics—U.S. Mortgage Insurance Segment

 	  	2018	 	 	2017	 		
 	  	4Q	 	  	3Q	 	 	2Q	 	 	1Q	 	 	4Q	 	 	3Q	 	 	2Q	 	 	1Q	 		
	Primary Loans	  			 	  				 				 				 				 				 				 				
Primary loans in-force	  	 	783,288	 	  	 	773,290	 	 	 	762,727	 	 	 	749,145	 	 	 	742,094	 	 	 	730,174	 	 	 	714,254	 	 	 	703,214	 		
Primary delinquent loans (1)	  	 	17,159	 	  	 	16,874	 	 	 	18,051	 	 	 	20,602	 	 	 	23,188	 	 	 	20,508	 	 	 	20,677	 	 	 	23,019	 		
Primary delinquency rate (1)	  	 	2.19	% 	  	 	2.18	% 	 	 	2.37	% 	 	 	2.75	% 	 	 	3.12	% 	 	 	2.81	% 	 	 	2.89	% 	 	 	3.27	% 		
	 									
Flow loans in-force	  	 	770,657	 	  	 	759,965	 	 	 	748,497	 	 	 	734,411	 	 	 	725,748	 	 	 	712,848	 	 	 	695,383	 	 	 	683,532	 		
Flow delinquent loans (1)	  	 	16,670	 	  	 	16,367	 	 	 	17,505	 	 	 	20,007	 	 	 	22,483	 	 	 	19,765	 	 	 	19,733	 	 	 	22,036	 		
Flow delinquency rate (1)	  	 	2.16	% 	  	 	2.15	% 	 	 	2.34	% 	 	 	2.72	% 	 	 	3.10	% 	 	 	2.77	% 	 	 	2.84	% 	 	 	3.22	% 		
	 									
Bulk loans in-force	  	 	12,631	 	  	 	13,325	 	 	 	14,230	 	 	 	14,734	 	 	 	16,346	 	 	 	17,326	 	 	 	18,871	 	 	 	19,682	 		
Bulk delinquent loans	  	 	489	 	  	 	507	 	 	 	546	 	 	 	595	 	 	 	705	 	 	 	743	 	 	 	944	 	 	 	983	 		
Bulk delinquency rate	  	 	3.87	% 	  	 	3.80	% 	 	 	3.84	% 	 	 	4.04	% 	 	 	4.31	% 	 	 	4.29	% 	 	 	5.00	% 	 	 	4.99	% 		
	 									
A minus and sub-prime loans in-force	  	 	15,348	 	  	 	16,087	 	 	 	16,928	 	 	 	17,964	 	 	 	18,912	 	 	 	19,828	 	 	 	20,797	 	 	 	22,056	 		
A minus and sub-prime delinquent loans	  	 	2,727	 	  	 	2,817	 	 	 	3,058	 	 	 	3,557	 	 	 	4,054	 	 	 	4,080	 	 	 	4,148	 	 	 	4,572	 		
A minus and sub-prime delinquency rate	  	 	17.77	% 	  	 	17.51	% 	 	 	18.06	% 	 	 	19.80	% 	 	 	21.44	% 	 	 	20.58	% 	 	 	19.95	% 	 	 	20.73	% 		
	 									
	Pool Loans	  			 	  				 				 				 				 				 				 				
Pool loans in-force	  	 	4,535	 	  	 	4,636	 	 	 	4,774	 	 	 	4,961	 	 	 	5,039	 	 	 	5,145	 	 	 	5,406	 	 	 	5,586	 		
Pool delinquent loans	  	 	220	 	  	 	215	 	 	 	204	 	 	 	220	 	 	 	249	 	 	 	252	 	 	 	276	 	 	 	276	 		
Pool delinquency rate	  	 	4.85	% 	  	 	4.64	% 	 	 	4.27	% 	 	 	4.43	% 	 	 	4.94	% 	 	 	4.90	% 	 	 	5.11	% 	 	 	4.94	% 		
	 									
	Primary Risk In-Force by Credit Quality	  			 	  				 				 				 				 				 				 				
Over 735	  	 	57	% 	  	 	57	% 	 	 	57	% 	 	 	57	% 	 	 	57	% 	 	 	57	% 	 	 	56	% 	 	 	55	% 		
680-735	  	 	32	% 	  	 	32	% 	 	 	32	% 	 	 	32	% 	 	 	31	% 	 	 	31	% 	 	 	31	% 	 	 	31	% 		
660-679 (2)	  	 	5	% 	  	 	5	% 	 	 	5	% 	 	 	5	% 	 	 	6	% 	 	 	6	% 	 	 	6	% 	 	 	6	% 		
620-659	  	 	5	% 	  	 	5	% 	 	 	5	% 	 	 	5	% 	 	 	5	% 	 	 	5	% 	 	 	5	% 	 	 	6	% 		
<620	  	 	1	% 	  	 	1	% 	 	 	1	% 	 	 	1	% 	 	 	1	% 	 	 	1	% 	 	 	2	% 	 	 	2	% 		

(1)  	Delinquent loans and delinquency rates in the fourth quarter of 2017 reflected increases in the hurricanes Harvey and Irma impacted areas.	
(2)  	Loans with unknown FICO scores are included in the 660-679 category.	
 
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GENWORTH FINANCIAL, INC.
FINANCIAL SUPPLEMENT
FOURTH QUARTER 2018
 Portfolio Quality Metrics—U.S. Mortgage Insurance Segment
(amounts in millions)

 	  	December 31, 2018	 		
	Policy Year	  	Average
Rate (1) 	 	  	% of Total
Reserves (2) 	 	 	Primary
Insurance In-Force	 	  	% of Total	 	 	Primary
Risk In-Force	 	  	% of Total	 	 	Delinquency
Rate	 	
2004 and prior	  	 	6.08%	 	  	 	8.9	% 	 	$	1,668	 	  	 	1.0	% 	 	$	314	 	  	 	0.8	% 	 	 	12.24	% 		
2005	  	 	5.55%	 	  	 	7.9	 	 	 	1,563	 	  	 	0.9	 	 	 	368	 	  	 	0.9	 	 	 	10.61	% 		
2006	  	 	5.70%	 	  	 	12.2	 	 	 	3,028	 	  	 	1.8	 	 	 	703	 	  	 	1.7	 	 	 	10.35	% 		
2007	  	 	5.63%	 	  	 	27.4	 	 	 	7,995	 	  	 	4.8	 	 	 	1,843	 	  	 	4.6	 	 	 	9.24	% 		
2008	  	 	5.15%	 	  	 	14.5	 	 	 	6,649	 	  	 	4.0	 	 	 	1,516	 	  	 	3.8	 	 	 	5.71	% 		
2009	  	 	4.90%	 	  	 	0.5	 	 	 	549	 	  	 	0.3	 	 	 	113	 	  	 	0.3	 	 	 	2.03	% 		
2010	  	 	4.63%	 	  	 	0.6	 	 	 	626	 	  	 	0.4	 	 	 	144	 	  	 	0.4	 	 	 	2.17	% 		
2011	  	 	4.55%	 	  	 	0.6	 	 	 	991	 	  	 	0.6	 	 	 	231	 	  	 	0.6	 	 	 	2.09	% 		
2012	  	 	3.86%	 	  	 	0.8	 	 	 	2,879	 	  	 	1.7	 	 	 	691	 	  	 	1.7	 	 	 	1.27	% 		
2013	  	 	4.08%	 	  	 	2.1	 	 	 	5,583	 	  	 	3.4	 	 	 	1,374	 	  	 	3.4	 	 	 	1.48	% 		
2014	  	 	4.45%	 	  	 	4.5	 	 	 	9,388	 	  	 	5.6	 	 	 	2,276	 	  	 	5.6	 	 	 	1.84	% 		
2015	  	 	4.14%	 	  	 	6.1	 	 	 	18,464	 	  	 	11.1	 	 	 	4,481	 	  	 	11.1	 	 	 	1.26	% 		
2016	  	 	3.88%	 	  	 	7.1	 	 	 	33,316	 	  	 	20.0	 	 	 	8,038	 	  	 	20.0	 	 	 	0.92	% 		
2017	  	 	4.24%	 	  	 	5.5	 	 	 	35,138	 	  	 	21.1	 	 	 	8,596	 	  	 	21.3	 	 	 	0.74	% 		
2018	  	 	4.77%	 	  	 	1.3	 	 	 	38,846	 	  	 	23.3	 	 	 	9,605	 	  	 	23.8	 	 	 	0.23	% 		
	  				  	 	 	 	 	 	 	 	  	 	 	 	 	 	 	 	  	 	 	 	 					
Total	  	 	4.49%	 	  	 	100.0	% 	 	$	166,683	 	  	 	100.0	% 	 	$	40,293	 	  	 	100.0	% 	 	 	2.19	% 		

 	  	December 31, 2018	 	 	September 30, 2018	 	 	December 31, 2017	 	 	 	 		
 	  	Primary
Risk In-Force	 	  	Primary
Delinquency Rate	 	 	Primary Risk
In-Force	 	  	Primary
Delinquency Rate	 	 	Primary
Risk In-Force	 	  	Primary
Delinquency Rate (3) 	 	 	 	 		
Lender concentration (by original applicant)	  	$	40,293	 	  	 	2.19	% 	 	$	39,492	 	  	 	2.18	% 	 	$	36,710	 	  	 	3.12	% 	 					
Top 10 lenders	  	$	11,233	 	  	 	2.57	% 	 	$	11,196	 	  	 	2.56	% 	 	$	10,686	 	  	 	3.73	% 	 					
Top 20 lenders	  	$	15,099	 	  	 	2.52	% 	 	$	15,005	 	  	 	2.51	% 	 	$	14,288	 	  	 	3.64	% 	 					
									
Loan-to-value ratio	  				  				 				  				 				  				 					
95.01% and above	  	$	7,124	 	  	 	3.83	% 	 	$	6,857	 	  	 	3.88	% 	 	$	6,057	 	  	 	5.77	% 	 					
90.01% to 95.00%	  	 	20,946	 	  	 	1.67	% 	 	 	20,527	 	  	 	1.62	% 	 	 	19,043	 	  	 	2.35	% 	 					
80.01% to 90.00%	  	 	12,054	 	  	 	1.83	% 	 	 	11,931	 	  	 	1.86	% 	 	 	11,410	 	  	 	2.62	% 	 					
80.00% and below	  	 	169	 	  	 	2.65	% 	 	 	177	 	  	 	2.73	% 	 	 	200	 	  	 	3.08	% 	 					
	  	 	 	 	  				 	 	 	 	  				 	 	 	 	  				 					
Total	  	$	40,293	 	  	 	2.19	% 	 	$	39,492	 	  	 	2.18	% 	 	$	36,710	 	  	 	3.12	% 	 					
	  	 	 	 	  				 	 	 	 	  				 	 	 	 	  				 					
Loan grade	  				  				 				  				 				  				 					
Prime	  	$	39,757	 	  	 	1.88	% 	 	$	38,930	 	  	 	1.86	% 	 	$	36,049	 	  	 	2.65	% 	 					
A minus and sub-prime	  	 	536	 	  	 	17.77	% 	 	 	562	 	  	 	17.51	% 	 	 	661	 	  	 	21.44	% 	 					
	  	 	 	 	  				 	 	 	 	  				 	 	 	 	  				 					
Total	  	$	40,293	 	  	 	2.19	% 	 	$	39,492	 	  	 	2.18	% 	 	$	36,710	 	  	 	3.12	% 	 					

(1)  	Average Annual Mortgage Interest Rate.	
(2)  	Total reserves were $296 million as of December 31, 2018.	
(3)  	Delinquency rates in the fourth quarter of 2017 reflect increases in the hurricanes Harvey and Irma impacted areas.	
 
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Canada Mortgage Insurance Segment

 
 
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Table of Contents
 GENWORTH FINANCIAL, INC.
FINANCIAL SUPPLEMENT
FOURTH QUARTER 2018
Adjusted Operating Income and Sales—Canada Mortgage Insurance Segment
(amounts in millions)

 	  	2018	 	 	2017	 	
 	  	4Q	 	  	3Q	 	 	2Q	 	 	1Q	 	 	Total	 	 	4Q	 	 	3Q	 	 	2Q	 	 	1Q	 	 	Total	 	
REVENUES:	  			 	  				 				 				 				 				 				 				 				 				
Premiums	  	$	128	 	  	$	127	 	 	$	131	 	 	$	139	 	 	$	525	 	 	$	136	 	 	$	131	 	 	$	126	 	 	$	126	 	 	$	519	 	
Net investment income	  	 	36	 	  	 	34	 	 	 	34	 	 	 	34	 	 	 	138	 	 	 	36	 	 	 	33	 	 	 	31	 	 	 	32	 	 	 	132	 	
Net investment gains (losses)	  	 	(136	) 	  	 	29	 	 	 	(15	) 	 	 	(15	) 	 	 	(137	) 	 	 	15	 	 	 	55	 	 	 	47	 	 	 	11	 	 	 	128	 	
Policy fees and other income	  	 	—  	 	  	 	—  	 	 	 	—  	 	 	 	—  	 	 	 	—  	 	 	 	—  	 	 	 	1	 	 	 	—  	 	 	 	—  	 	 	 	1	 	
	  	 	 	 	  	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	
Total revenues	  	 	28	 	  	 	190	 	 	 	150	 	 	 	158	 	 	 	526	 	 	 	187	 	 	 	220	 	 	 	204	 	 	 	169	 	 	 	780	 	
	  	 	 	 	  	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	
BENEFITS AND EXPENSES:	  			 	  				 				 				 				 				 				 				 				 				
Benefits and other changes in policy reserves	  	 	23	 	  	 	18	 	 	 	19	 	 	 	18	 	 	 	78	 	 	 	12	 	 	 	18	 	 	 	4	 	 	 	20	 	 	 	54	 	
Acquisition and operating expenses, net of deferrals	  	 	16	 	  	 	17	 	 	 	20	 	 	 	17	 	 	 	70	 	 	 	23	 	 	 	20	 	 	 	16	 	 	 	21	 	 	 	80	 	
Amortization of deferred acquisition costs and intangibles	  	 	11	 	  	 	11	 	 	 	11	 	 	 	10	 	 	 	43	 	 	 	11	 	 	 	11	 	 	 	11	 	 	 	10	 	 	 	43	 	
Interest expense	  	 	5	 	  	 	4	 	 	 	4	 	 	 	5	 	 	 	18	 	 	 	5	 	 	 	4	 	 	 	5	 	 	 	4	 	 	 	18	 	
	  	 	 	 	  	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	
Total benefits and expenses	  	 	55	 	  	 	50	 	 	 	54	 	 	 	50	 	 	 	209	 	 	 	51	 	 	 	53	 	 	 	36	 	 	 	55	 	 	 	195	 	
	  	 	 	 	  	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	
INCOME (LOSS) FROM CONTINUING OPERATIONS BEFORE INCOME TAXES	  	 	(27	) 	  	 	140	 	 	 	96	 	 	 	108	 	 	 	317	 	 	 	136	 	 	 	167	 	 	 	168	 	 	 	114	 	 	 	585	 	
Provision (benefit) for income taxes	  	 	(7	) 	  	 	37	 	 	 	24	 	 	 	30	 	 	 	84	 	 	 	44	 	 	 	55	 	 	 	56	 	 	 	36	 	 	 	191	 	
	  	 	 	 	  	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	
INCOME (LOSS) FROM CONTINUING OPERATIONS	  	 	(20	) 	  	 	103	 	 	 	72	 	 	 	78	 	 	 	233	 	 	 	92	 	 	 	112	 	 	 	112	 	 	 	78	 	 	 	394	 	
Less: income (loss) from continuing operations attributable to noncontrolling interests	  	 	(6	) 	  	 	46	 	 	 	32	 	 	 	36	 	 	 	108	 	 	 	44	 	 	 	54	 	 	 	54	 	 	 	38	 	 	 	190	 	
	  	 	 	 	  	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	
INCOME (LOSS) FROM CONTINUING OPERATIONS AVAILABLE TO GENWORTH FINANCIAL, INC.’S COMMON STOCKHOLDERS	  	 	(14	) 	  	 	57	 	 	 	40	 	 	 	42	 	 	 	125	 	 	 	48	 	 	 	58	 	 	 	58	 	 	 	40	 	 	 	204	 	
	 										
ADJUSTMENTS TO INCOME (LOSS) FROM CONTINUING OPERATIONS AVAILABLE TO GENWORTH FINANCIAL, INC.’S COMMON STOCKHOLDERS:	  			 	  				 				 				 				 				 				 				 				 				
Net investment (gains) losses, net (1)	  	 	78	 	  	 	(17	) 	 	 	8	 	 	 	9	 	 	 	78	 	 	 	(9	) 	 	 	(32	) 	 	 	(27	) 	 	 	(6	) 	 	 	(74	) 	
Expenses related to restructuring	  	 	—  	 	  	 	—  	 	 	 	—  	 	 	 	—  	 	 	 	—  	 	 	 	—  	 	 	 	1	 	 	 	—  	 	 	 	—  	 	 	 	1	 	
Taxes on adjustments	  	 	(16	) 	  	 	4	 	 	 	(2	) 	 	 	(2	) 	 	 	(16	) 	 	 	4	 	 	 	10	 	 	 	10	 	 	 	2	 	 	 	26	 	
	  	 	 	 	  	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	
ADJUSTED OPERATING INCOME (2) 	  	$	48	 	  	$	44	 	 	$	46	 	 	$	49	 	 	$	187	 	 	$	43	 	 	$	37	 	 	$	41	 	 	$	36	 	 	$	157	 	

											
SALES:	  				  				 				 				 				 				 				 				 				 				
New Insurance Written (NIW)	  				  				 				 				 				 				 				 				 				 				
Flow	  	$	3,300	 	  	$	4,200	 	 	$	3,700	 	 	$	2,500	 	 	$	13,700	 	 	$	3,600	 	 	$	4,400	 	 	$	3,700	 	 	$	2,300	 	 	$	14,000	 	
Bulk	  	 	900	 	  	 	600	 	 	 	900	 	 	 	900	 	 	 	3,300	 	 	 	800	 	 	 	600	 	 	 	800	 	 	 	8,000	 	 	 	10,200	 	
	  	 	 	 	  	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	
Total Canada NIW (3)	  	$	4,200	 	  	$	4,800	 	 	$	4,600	 	 	$	3,400	 	 	$	17,000	 	 	$	4,400	 	 	$	5,000	 	 	$	4,500	 	 	$	10,300	 	 	$	24,200	 	

 
(1)   Net investment (gains) losses were adjusted for the portion of net investment gains (losses) attributable to noncontrolling interests as reconciled below:	   	
											
Net investment (gains) losses, gross	  	$	136	 	  	$	(29	) 	 	$	15	 	 	$	15	 	 	$	137	 	 	$	(15	) 	 	$	(55	) 	 	$	(47	) 	 	$	(11	) 	 	$	(128	) 	
Adjustment for net investment gains (losses) attributable to noncontrolling interests	  	 	(58	) 	  	 	12	 	 	 	(7	) 	 	 	(6	) 	 	 	(59	) 	 	 	6	 	 	 	23	 	 	 	20	 	 	 	5	 	 	 	54	 	
	  	 	 	 	  	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	
Net investment (gains) losses, net	  	$	78	 	  	$	(17	) 	 	$	8	 	 	$	9	 	 	$	78	 	 	$	(9	) 	 	$	(32	) 	 	$	(27	) 	 	$	(6	) 	 	$	(74	) 	

(2)  	Adjusted operating income for the Canadian platform adjusted for foreign exchange as compared to the prior year period was $50 million and $185 million for the three and twelve months ended December 31, 2018, respectively.	
(3)  	New insurance written for the Canadian platform adjusted for foreign exchange as compared to the prior year period was $4,400 million and $16,900 million for the three and twelve months ended December 31, 2018, respectively.	
 
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Table of Contents
GENWORTH FINANCIAL, INC.
FINANCIAL SUPPLEMENT
FOURTH QUARTER 2018
Selected Key Performance Measures—Canada Mortgage Insurance Segment
(amounts in millions)

 	  	2018	 	 	2017	 		
 	  	4Q	 	  	3Q	 	 	2Q	 	 	1Q	 	 	Total	 	 	4Q	 	 	3Q	 	 	2Q	 	 	1Q	 	 	Total	 		
Net Premiums Written	  	$	119	 	  	$	150	 	 	$	133	 	 	$	92	 	 	$	494	 	 	$	131	 	 	$	156	 	 	$	126	 	 	$	96	 	 	$	509	 		
Loss Ratio (1) 	  	 	18	% 	  	 	14	% 	 	 	15	% 	 	 	13	% 	 	 	15	% 	 	 	9	% 	 	 	14	% 	 	 	4	% 	 	 	16	% 	 	 	10	% 		
Expense Ratio (Net Earned Premiums) (2)	  	 	21	% 	  	 	22	% 	 	 	23	% 	 	 	20	% 	 	 	22	% 	 	 	25	% 	 	 	23	% 	 	 	21	% 	 	 	25	% 	 	 	24	% 		
Expense Ratio (Net Premiums Written) (3) 	  	 	23	% 	  	 	19	% 	 	 	23	% 	 	 	30	% 	 	 	23	% 	 	 	26	% 	 	 	20	% 	 	 	21	% 	 	 	32	% 	 	 	24	% 		
	 											
Primary Insurance In-Force (4) 	  	$	372,000	 	  	$	389,400	 	 	$	380,200	 	 	$	384,600	 	 				 	$	392,500	 	 	$	390,700	 	 	$	371,500	 	 	$	358,900	 	 					
Primary Risk In-Force (5) 	  			 	  				 				 				 				 				 				 				 				 					
Flow	  	$	89,000	 	  	$	92,800	 	 	$	89,800	 	 	$	90,500	 	 				 	$	92,300	 	 	$	91,400	 	 	$	86,500	 	 	$	83,200	 	 					
Bulk	  	 	41,200	 	  	 	43,500	 	 	 	43,300	 	 	 	44,100	 	 				 	 	45,100	 	 	 	45,300	 	 	 	43,500	 	 	 	42,400	 	 					
	  	 	 	 	  	 	 	 	 	 	 	 	 	 	 	 	 				 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 					
Total	  	$	130,200	 	  	$	136,300	 	 	$	133,100	 	 	$	134,600	 	 				 	$	137,400	 	 	$	136,700	 	 	$	130,000	 	 	$	125,600	 	 					

								
 	  	December 31, 2018	 	 	 	 	 	September 30, 2018	 	 	 	 	 	 	 	 	 	 		
	Risk In-Force by Loan-To-Value Ratio (6) 	  	Primary	 	  	Flow	 	 	Bulk	 	 	 	 	 	Primary	 	 	Flow	 	 	Bulk	 	 	 	 	 	 	 	 	 	 	
95.01% and above	  	$	44,584	 	  	$	44,584	 	 	$	—  	 	 				 	$	46,344	 	 	$	46,344	 	 	$	—  	 	 				 				 					
90.01% to 95.00%	  	 	26,254	 	  	 	26,254	 	 	 	—  	 	 				 	 	27,430	 	 	 	27,430	 	 	 	—  	 	 				 				 					
80.01% to 90.00%	  	 	15,145	 	  	 	15,142	 	 	 	3	 	 				 	 	15,871	 	 	 	15,868	 	 	 	3	 	 				 				 					
80.00% and below	  	 	44,222	 	  	 	3,004	 	 	 	41,218	 	 				 	 	46,645	 	 	 	3,154	 	 	 	43,491	 	 				 				 					
	  	 	 	 	  	 	 	 	 	 	 	 	 				 	 	 	 	 	 	 	 	 	 	 	 	 				 				 					
Total	  	$	130,205	 	  	$	88,984	 	 	$	41,221	 	 				 	$	136,290	 	 	$	92,796	 	 	$	43,494	 	 				 				 					
	  	 	 	 	  	 	 	 	 	 	 	 	 				 	 	 	 	 	 	 	 	 	 	 	 	 				 				 					
The loss and expense ratios included above were calculated using whole dollars and may be different than the ratios calculated using the rounded numbers included herein.

(1)  	The ratio of benefits and other changes in policy reserves to net earned premiums.	
(2)  	The ratio of an insurer’s general expenses to net earned premiums. In the business, general expenses consist of acquisition and operating expenses, net of deferrals, and amortization of DAC and intangibles.	
(3)  	The ratio of an insurer’s general expenses to net premiums written. In the business, general expenses consist of acquisition and operating expenses, net of deferrals, and amortization of DAC and intangibles.	
(4)  	As part of an ongoing effort to improve the estimate of outstanding insurance exposure, the company is receiving updated outstanding balances in Canada from almost all of its customers. As a result, the company estimates that the outstanding balance of insured mortgages was approximately $152.0 billion, $163.0 billion, $162.0 billion, $168.0 billion, $174.0 billion, $178.0 billion, $174.0 billion and $170.0 billion as of December 31, 2018, September 30, 2018, June 30, 2018, March 31, 2018, December 31, 2017, September 30, 2017, June 30, 2017 and March 31, 2017, respectively. This is based on the extrapolation of the amounts reported by lenders to the entire insured population.	
(5)  	The business currently provides 100% coverage on the majority of the loans the company insures. For the purpose of representing the risk in-force, Canada has computed an “effective risk in-force” amount which recognizes that the loss on any particular loan will be reduced by the net proceeds received upon sale of the property. Effective risk in-force has been calculated by applying to insurance in-force a factor that represents the highest expected average per-claim payment for any one underwriting year over the life of the business. This factor was 35% for all periods presented.	
(6)  	Loan amount in loan-to-value ratio calculation includes capitalized premiums, where applicable.	
 
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GENWORTH FINANCIAL, INC.
FINANCIAL SUPPLEMENT
FOURTH QUARTER 2018
Selected Key Performance Measures—Canada Mortgage Insurance Segment
(dollar amounts in millions)

	Primary Insurance	  	December 31, 2018	 	 	September 30, 2018	 	 	June 30, 2018	 	 	March 31, 2018	 	 	December 31, 2017	 	 	 	 	
Insured loans in-force (1),(2)	  	 	2,143,191	 	 	 	2,133,618	 	 	 	2,137,221	 	 	 	2,123,727	 	 	 	2,110,324	 	 					
Insured delinquent loans	  	 	1,684	 	 	 	1,695	 	 	 	1,742	 	 	 	1,723	 	 	 	1,718	 	 					
Insured delinquency rate (2),(3)	  	 	0.08	% 	 	 	0.08	% 	 	 	0.08	% 	 	 	0.08	% 	 	 	0.08	% 	 					
								
Flow loans in-force (1)	  	 	1,499,304	 	 	 	1,486,859	 	 	 	1,470,826	 	 	 	1,456,573	 	 	 	1,447,794	 	 					
Flow delinquent loans	  	 	1,310	 	 	 	1,327	 	 	 	1,406	 	 	 	1,385	 	 	 	1,369	 	 					
Flow delinquency rate (3)	  	 	0.09	% 	 	 	0.09	% 	 	 	0.10	% 	 	 	0.10	% 	 	 	0.09	% 	 					
								
Bulk loans in-force (1)	  	 	643,887	 	 	 	646,759	 	 	 	666,395	 	 	 	667,154	 	 	 	662,530	 	 					
Bulk delinquent loans	  	 	374	 	 	 	368	 	 	 	336	 	 	 	338	 	 	 	349	 	 					
Bulk delinquency rate (3)	  	 	0.06	% 	 	 	0.06	% 	 	 	0.05	% 	 	 	0.05	% 	 	 	0.05	% 	 					
								
	Loss Metrics	  	December 31, 2018	 	 	September 30, 2018	 	 	June 30, 2018	 	 	March 31, 2018	 	 	December 31, 2017	 	 	 	 	
Beginning Reserves	  	$	82	 	 	$	83	 	 	$	84	 	 	$	87	 	 	$	97	 	 					
Paid claims (4)	  	 	(18	) 	 	 	(19	) 	 	 	(20	) 	 	 	(19	) 	 	 	(21	) 	 					
Increase in reserves	  	 	24	 	 	 	17	 	 	 	21	 	 	 	18	 	 	 	12	 	 					
Impact of changes in foreign exchange rates	  	 	(4	) 	 	 	1	 	 	 	(2	) 	 	 	(2	) 	 	 	(1	) 	 					
	  	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 					
Ending Reserves	  	$	84	 	 	$	82	 	 	$	83	 	 	$	84	 	 	$	87	 	 					

 	  	December 31, 2018	 	 	September 30, 2018	 	 	December 31, 2017	 		
	Province and Territory	  	% of Primary
Risk In-Force	 	 	Primary
Delinquency Rate	 	 	% of Primary
Risk In-Force	 	 	Primary
Delinquency Rate	 	 	% of Primary
Risk In-Force	 	 	Primary
Delinquency Rate	 	
Ontario	  	 	47	% 	 	 	0.03	% 	 	 	47	% 	 	 	0.03	% 	 	 	47	% 	 	 	0.03	% 		
Alberta	  	 	17	 	 	 	0.18	% 	 	 	16	 	 	 	0.17	% 	 	 	16	 	 	 	0.17	% 		
British Columbia	  	 	14	 	 	 	0.04	% 	 	 	14	 	 	 	0.04	% 	 	 	15	 	 	 	0.05	% 		
Quebec	  	 	13	 	 	 	0.10	% 	 	 	13	 	 	 	0.10	% 	 	 	13	 	 	 	0.11	% 		
Saskatchewan	  	 	3	 	 	 	0.28	% 	 	 	3	 	 	 	0.28	% 	 	 	3	 	 	 	0.28	% 		
Nova Scotia	  	 	2	 	 	 	0.13	% 	 	 	2	 	 	 	0.14	% 	 	 	2	 	 	 	0.16	% 		
Manitoba	  	 	2	 	 	 	0.10	% 	 	 	2	 	 	 	0.11	% 	 	 	2	 	 	 	0.08	% 		
New Brunswick	  	 	1	 	 	 	0.10	% 	 	 	1	 	 	 	0.12	% 	 	 	1	 	 	 	0.16	% 		
All Other	  	 	1	 	 	 	0.19	% 	 	 	2	 	 	 	0.19	% 	 	 	1	 	 	 	0.17	% 		
	  	 	 	 	 				 	 	 	 	 				 	 	 	 	 					
Total	  	 	100	% 	 	 	0.08	% 	 	 	100	% 	 	 	0.08	% 	 	 	100	% 	 	 	0.08	% 		

	By Policy Year	  	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	
2009 and prior	  	 	35	% 	 	 	0.04	% 	 	 	36	% 	 	 	0.04	% 	 	 	36	% 	 	 	0.04	% 		
2010	  	 	5	 	 	 	0.10	% 	 	 	5	 	 	 	0.11	% 	 	 	5	 	 	 	0.11	% 		
2011	  	 	5	 	 	 	0.14	% 	 	 	5	 	 	 	0.13	% 	 	 	5	 	 	 	0.16	% 		
2012	  	 	6	 	 	 	0.17	% 	 	 	6	 	 	 	0.16	% 	 	 	6	 	 	 	0.18	% 		
2013	  	 	6	 	 	 	0.16	% 	 	 	6	 	 	 	0.17	% 	 	 	7	 	 	 	0.17	% 		
2014	  	 	7	 	 	 	0.17	% 	 	 	7	 	 	 	0.16	% 	 	 	8	 	 	 	0.17	% 		
2015	  	 	11	 	 	 	0.12	% 	 	 	11	 	 	 	0.11	% 	 	 	12	 	 	 	0.10	% 		
2016	  	 	13	 	 	 	0.07	% 	 	 	13	 	 	 	0.07	% 	 	 	14	 	 	 	0.05	% 		
2017	  	 	7	 	 	 	0.06	% 	 	 	7	 	 	 	0.05	% 	 	 	7	 	 	 	0.02	% 		
2018	  	 	5	 	 	 	0.01	% 	 	 	4	 	 	 	0.01	% 	 	 	—  	 	 	 	—  	% 		
	  	 	 	 	 				 	 	 	 	 				 	 	 	 	 					
Total	  	 	100	% 	 	 	0.08	% 	 	 	100	% 	 	 	0.08	% 	 	 	100	% 	 	 	0.08	% 		

(1)  	Insured loans in-force represent the original number of loans insured for which the coverage term has not expired, and for which no policy level cancellation or termination has been received.	
(2)  	As part of an ongoing effort to improve the estimate of outstanding insurance exposure, the company is receiving updated outstanding loans in-force in Canada from almost all of its customers. As a result, the company estimates that the outstanding loans in-force were 910,000 as of December 31, 2018, 924,000 as of September 30, 2018, 935,000 as of June 30, 2018, 946,000 as of March 31, 2018 and 949,000 as of December 31, 2017. This is based on the extrapolation of the amounts reported by lenders to the entire insured population. The corresponding insured delinquency rate was 0.18% as of December 31, 2018 and September 30, 2018, 0.19% as of June 30, 2018 and 0.18% as of March 31, 2018 and December 31, 2017.	
(3)  	Delinquency rates are based on insured loans in-force.	
(4)  	Paid claims exclude adjustments for expected recoveries related to loss reserves and prior paid claims.	
 
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GENWORTH FINANCIAL, INC.
FINANCIAL SUPPLEMENT
FOURTH QUARTER 2018
 Selected Key Performance Measures—Canada Mortgage Insurance Segment
(Canadian dollar amounts in millions)

 	  	2018	 	 	2017	 	
 	  	4Q	 	  	3Q	 	 	2Q	 	 	1Q	 	 	Total	 	 	4Q	 	 	3Q	 	 	2Q	 	 	1Q	 	 	Total	 	
Paid Claims (1)	  			 	  				 				 				 				 				 				 				 				 				
Flow	  	$	18	 	  	$	23	 	 	$	26	 	 	$	23	 	 	$	90	 	 	$	25	 	 	$	25	 	 	$	30	 	 	$	28	 	 	$	108	 	
Bulk	  	 	2	 	  	 	2	 	 	 	1	 	 	 	2	 	 	 	7	 	 	 	2	 	 	 	1	 	 	 	2	 	 	 	3	 	 	 	8	 	
	  	 	 	 	  	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	
Total Paid Claims	  	$	20	 	  	$	25	 	 	$	27	 	 	$	25	 	 	$	97	 	 	$	27	 	 	$	26	 	 	$	32	 	 	$	31	 	 	$	116	 	

Average Paid Claim (in thousands)	  	$	58.1	 	  	$	67.4	 	 	$	79.4	 	 	$	68.5	 	 				 	$	68.8	 	 	$	66.6	 	 	$	73.6	 	 	$	65.3	 	 				
	 										
Average Reserve Per Delinquency (in thousands)	  	$	68.0	 	  	$	62.6	 	 	$	62.5	 	 	$	62.7	 	 				 	$	63.5	 	 	$	68.8	 	 	$	67.8	 	 	$	69.7	 	 				
	 										
Loss Metrics	  			 	  				 				 				 				 				 				 				 				 				
	 										
Beginning Reserves	  	$	106	 	  	$	109	 	 	$	108	 	 	$	109	 	 	$	109	 	 	$	121	 	 	$	123	 	 	$	145	 	 	$	151	 	 	$	151	 	
Paid claims (1)	  	 	(20	) 	  	 	(25	) 	 	 	(27	) 	 	 	(25	) 	 	 	(97	) 	 	 	(27	) 	 	 	(26	) 	 	 	(32	) 	 	 	(31	) 	 	 	(116	) 	
Increase in reserves	  	 	29	 	  	 	22	 	 	 	28	 	 	 	24	 	 	 	103	 	 	 	15	 	 	 	24	 	 	 	10	 	 	 	25	 	 	 	74	 	
	  	 	 	 	  	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	
Ending Reserves	  	$	115	 	  	$	106	 	 	$	109	 	 	$	108	 	 	$	115	 	 	$	109	 	 	$	121	 	 	$	123	 	 	$	145	 	 	$	109	 	
	  	 	 	 	  	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	
Loan Amount (2)	  			 	  				 				 				 				 				 				 				 				 				
	 										
Over $550K	  	 	9	% 	  	 	9	% 	 	 	9	% 	 	 	8	% 	 				 	 	8	% 	 	 	8	% 	 	 	8	% 	 	 	8	% 	 				
$400K to $550K	  	 	15	 	  	 	15	 	 	 	15	 	 	 	15	 	 				 	 	15	 	 	 	14	 	 	 	14	 	 	 	14	 	 				
$250K to $400K	  	 	35	 	  	 	34	 	 	 	34	 	 	 	34	 	 				 	 	34	 	 	 	34	 	 	 	34	 	 	 	34	 	 				
$100K to $250K	  	 	38	 	  	 	39	 	 	 	39	 	 	 	39	 	 				 	 	39	 	 	 	40	 	 	 	40	 	 	 	40	 	 				
$100K or Less	  	 	3	 	  	 	3	 	 	 	3	 	 	 	4	 	 				 	 	4	 	 	 	4	 	 	 	4	 	 	 	4	 	 				
	  	 	 	 	  	 	 	 	 	 	 	 	 	 	 	 	 				 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 				
Total	  	 	100	% 	  	 	100	% 	 	 	100	% 	 	 	100	% 	 				 	 	100	% 	 	 	100	% 	 	 	100	% 	 	 	100	% 	 				

Average Primary Loan Size (in thousands)	  	$	237	 	  	$	236	 	 	$	234	 	 	$	233	 	 				 	$	233	 	 	$	232	 	 	$	231	 	 	$	230	 	 				
All amounts presented in Canadian dollars.

(1)  	Paid claims exclude adjustments for expected recoveries related to loss reserves and prior paid claims.	
(2)  	The percentages in this table are based on the amount of primary insurance in-force in each loan band as a percentage of total insurance in-force.	
 
27

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Australia Mortgage Insurance Segment

 
 
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 GENWORTH FINANCIAL, INC.
FINANCIAL SUPPLEMENT
FOURTH QUARTER 2018
Adjusted Operating Income (Loss) and Sales—Australia Mortgage Insurance Segment
(amounts in millions)

 	  	2018	 	 	2017	 	
 	  	4Q	 	  	3Q	 	 	2Q	 	 	1Q	 	 	Total	 	 	4Q	 	 	3Q	 	 	2Q	 	 	1Q	 	 	Total	 	
REVENUES:	  			 	  				 				 				 				 				 				 				 				 				
Premiums (1)	  	$	82	 	  	$	87	 	 	$	106	 	 	$	98	 	 	$	373	 	 	$	(377	) 	 	$	78	 	 	$	78	 	 	$	81	 	 	$	(140	) 	
Net investment income	  	 	15	 	  	 	17	 	 	 	18	 	 	 	17	 	 	 	67	 	 	 	18	 	 	 	19	 	 	 	17	 	 	 	21	 	 	 	75	 	
Net investment gains (losses)	  	 	(19	) 	  	 	1	 	 	 	12	 	 	 	(9	) 	 	 	(15	) 	 	 	2	 	 	 	1	 	 	 	2	 	 	 	20	 	 	 	25	 	
Policy fees and other income	  	 	1	 	  	 	—  	 	 	 	—  	 	 	 	1	 	 	 	2	 	 	 	—  	 	 	 	—  	 	 	 	—  	 	 	 	—  	 	 	 	—  	 	
	  	 	 	 	  	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	
Total revenues	  	 	79	 	  	 	105	 	 	 	136	 	 	 	107	 	 	 	427	 	 	 	(357	) 	 	 	98	 	 	 	97	 	 	 	122	 	 	 	(40	) 	
	  	 	 	 	  	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	
BENEFITS AND EXPENSES:	  			 	  				 				 				 				 				 				 				 				 				
Benefits and other changes in policy reserves	  	 	24	 	  	 	27	 	 	 	29	 	 	 	30	 	 	 	110	 	 	 	25	 	 	 	29	 	 	 	27	 	 	 	28	 	 	 	109	 	
Acquisition and operating expenses, net of deferrals	  	 	16	 	  	 	15	 	 	 	17	 	 	 	17	 	 	 	65	 	 	 	17	 	 	 	18	 	 	 	9	 	 	 	23	 	 	 	67	 	
Amortization of deferred acquisition costs and intangibles (1)	  	 	10	 	  	 	10	 	 	 	12	 	 	 	11	 	 	 	43	 	 	 	(7	) 	 	 	10	 	 	 	17	 	 	 	4	 	 	 	24	 	
Interest expense	  	 	2	 	  	 	3	 	 	 	2	 	 	 	2	 	 	 	9	 	 	 	2	 	 	 	3	 	 	 	2	 	 	 	2	 	 	 	9	 	
	  	 	 	 	  	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	
Total benefits and expenses	  	 	52	 	  	 	55	 	 	 	60	 	 	 	60	 	 	 	227	 	 	 	37	 	 	 	60	 	 	 	55	 	 	 	57	 	 	 	209	 	
	  	 	 	 	  	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	
INCOME (LOSS) FROM CONTINUING OPERATIONS BEFORE INCOME TAXES	  	 	27	 	  	 	50	 	 	 	76	 	 	 	47	 	 	 	200	 	 	 	(394	) 	 	 	38	 	 	 	42	 	 	 	65	 	 	 	(249	) 	
Provision (benefit) for income taxes	  	 	8	 	  	 	15	 	 	 	23	 	 	 	14	 	 	 	60	 	 	 	(138	) 	 	 	12	 	 	 	14	 	 	 	22	 	 	 	(90	) 	
	  	 	 	 	  	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	
INCOME (LOSS) FROM CONTINUING OPERATIONS	  	 	19	 	  	 	35	 	 	 	53	 	 	 	33	 	 	 	140	 	 	 	(256	) 	 	 	26	 	 	 	28	 	 	 	43	 	 	 	(159	) 	
Less: income (loss) from continuing operations attributable to noncontrolling interests	  	 	8	 	  	 	18	 	 	 	27	 	 	 	17	 	 	 	70	 	 	 	(132	) 	 	 	14	 	 	 	15	 	 	 	23	 	 	 	(80	) 	
	  	 	 	 	  	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	
INCOME (LOSS) FROM CONTINUING OPERATIONS AVAILABLE TO GENWORTH FINANCIAL, INC.’S COMMON STOCKHOLDERS	  	 	11	 	  	 	17	 	 	 	26	 	 	 	16	 	 	 	70	 	 	 	(124	) 	 	 	12	 	 	 	13	 	 	 	20	 	 	 	(79	) 	
	 										
ADJUSTMENTS TO INCOME (LOSS) FROM CONTINUING OPERATIONS AVAILABLE TO GENWORTH FINANCIAL, INC.’S COMMON STOCKHOLDERS:	  			 	  				 				 				 				 				 				 				 				 				
Net investment (gains) losses, net (2)	  	 	10	 	  	 	—  	 	 	 	(6	) 	 	 	4	 	 	 	8	 	 	 	(1	) 	 	 	(1	) 	 	 	—  	 	 	 	(11	) 	 	 	(13	) 	
Taxes on adjustments	  	 	(3	) 	  	 	—  	 	 	 	2	 	 	 	(1	) 	 	 	(2	) 	 	 	—  	 	 	 	1	 	 	 	(1	) 	 	 	4	 	 	 	4	 	
	  	 	 	 	  	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	
ADJUSTED OPERATING INCOME (LOSS) (1),(3)	  	$	18	 	  	$	17	 	 	$	22	 	 	$	19	 	 	$	76	 	 	$	(125	) 	 	$	12	 	 	$	12	 	 	$	13	 	 	$	(88	) 	

SALES:	  				  				 				 				 				 				 				 				 				 				
New Insurance Written (NIW)	  				  				 				 				 				 				 				 				 				 				
Flow	  	$	4,000	 	  	$	3,800	 	 	$	3,700	 	 	$	3,400	 	 	$	14,900	 	 	$	4,200	 	 	$	3,700	 	 	$	4,100	 	 	$	4,100	 	 	$	16,100	 	
Bulk	  	 	800	 	  	 	—  	 	 	 	900	 	 	 	—  	 	 	 	1,700	 	 	 	—  	 	 	 	600	 	 	 	600	 	 	 	1,000	 	 	 	2,200	 	
	  	 	 	 	  	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	
Total Australia NIW (4),(5) 	  	$	4,800	 	  	$	3,800	 	 	$	4,600	 	 	$	3,400	 	 	$	16,600	 	 	$	4,200	 	 	$	4,300	 	 	$	4,700	 	 	$	5,100	 	 	$	18,300	 	

 
(1)   In the fourth quarter of 2017, the Australian platform completed a review of its premium earnings pattern, which resulted in refinements to premium recognition factors. These refinements decreased premiums by $468 million and decreased amortization of deferred acquisition costs and intangibles by $18 million in the fourth quarter of 2017. After noncontrolling interests and taxes, these adjustments unfavorably impacted adjusted operating income (loss) by $141 million in the fourth quarter of 2017.
(2)   Net investment (gains) losses were adjusted for the portion of net investment gains (losses) attributable to noncontrolling interests as reconciled below:
 	   
   
	
Net investment (gains) losses, gross	  	$	19	 	  	$	(1	) 	 	$	(12	) 	 	$	9	 	 	$	15	 	 	$	(2	) 	 	$	(1	) 	 	$	(2	) 	 	$	(20	) 	 	$	(25	) 	
Adjustment for net investment gains (losses) attributable to noncontrolling interests	  	 	(9	) 	  	 	1	 	 	 	6	 	 	 	(5	) 	 	 	(7	) 	 	 	1	 	 	 	—  	 	 	 	2	 	 	 	9	 	 	 	12	 	
	  	 	 	 	  	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	
Net investment (gains) losses, net	  	$	10	 	  	$	—  	 	 	$	(6	) 	 	$	4	 	 	$	8	 	 	$	(1	) 	 	$	(1	) 	 	$	—  	 	 	$	(11	) 	 	$	(13	) 	

(3)  	Adjusted operating income (loss) for the Australian platform adjusted for foreign exchange as compared to the prior year period was $19 million and $76 million for the three and twelve months ended December 31, 2018, respectively.	
(4)  	New insurance written for the Australian platform adjusted for foreign exchange as compared to the prior year period was $5,200 million and $17,000 million for the three and twelve months ended December 31, 2018, respectively.	
(5)  	The business currently has structured insurance transactions with two lenders where it is in a secondary loss position. The new insurance written associated with these arrangements is excluded from these metrics.	
 
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GENWORTH FINANCIAL, INC.
FINANCIAL SUPPLEMENT
FOURTH QUARTER 2018
Selected Key Performance Measures—Australia Mortgage Insurance Segment
(amounts in millions)

 	  	2018	 	 	2017	 		
 	  	4Q	 	  	3Q	 	 	2Q	 	 	1Q	 	 	Total	 	 	4Q	 	 	3Q	 	 	2Q	 	 	1Q	 	 	Total	 		
Net Premiums Written	  	$	70	 	  	$	56	 	 	$	56	 	 	$	60	 	 	$	242	 	 	$	63	 	 	$	56	 	 	$	58	 	 	$	54	 	 	$	231	 		
Loss Ratio (1) 	  	 	29	% 	  	 	31	% 	 	 	28	% 	 	 	30	% 	 	 	30	% 	 	 	(7	)% 	 	 	37	% 	 	 	34	% 	 	 	35	% 	 	 	(79	)% 		
Expense Ratio (Net Earned Premiums) (2) 	  	 	32	% 	  	 	29	% 	 	 	27	% 	 	 	29	% 	 	 	29	% 	 	 	(3	)% 	 	 	37	% 	 	 	34	% 	 	 	33	% 	 	 	(65	)% 		
Expense Ratio (Net Premiums Written) (3) 	  	 	38	% 	  	 	46	% 	 	 	50	% 	 	 	47	% 	 	 	45	% 	 	 	15	% 	 	 	51	% 	 	 	46	% 	 	 	49	% 	 	 	39	% 		
	 											
Primary Insurance In-Force (4) 	  	$	218,200	 	  	$	222,500	 	 	$	229,400	 	 	$	246,300	 	 				 	$	251,400	 	 	$	252,200	 	 	$	247,700	 	 	$	246,400	 	 					
Primary Risk In-Force (4),(5) 	  			 	  				 				 				 				 				 				 				 				 					
Flow	  	$	70,300	 	  	$	71,900	 	 	$	74,000	 	 	$	79,600	 	 				 	$	81,200	 	 	$	81,300	 	 	$	80,000	 	 	$	79,700	 	 					
Bulk	  	 	5,700	 	  	 	5,600	 	 	 	5,900	 	 	 	6,100	 	 				 	 	6,300	 	 	 	6,400	 	 	 	6,200	 	 	 	6,000	 	 					
	  	 	 	 	  	 	 	 	 	 	 	 	 	 	 	 	 				 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 					
Total	  	$	76,000	 	  	$	77,500	 	 	$	79,900	 	 	$	85,700	 	 				 	$	87,500	 	 	$	87,700	 	 	$	86,200	 	 	$	85,700	 	 					

								
 	  	December 31, 2018	 	 	 	 	 	September 30, 2018	 	 	 	 	 	 	 	 	 	 		
	Risk In-Force by Loan-To-Value Ratio (4),(6) 	  	Primary	 	  	Flow	 	 	Bulk	 	 	 	 	 	Primary	 	 	Flow	 	 	Bulk	 	 	 	 	 	 	 	 	 	 	
95.01% and above	  	$	11,261	 	  	$	11,260	 	 	$	1	 	 				 	$	11,742	 	 	$	11,742	 	 	$	—  	 	 				 				 					
90.01% to 95.00%	  	 	21,081	 	  	 	21,076	 	 	 	5	 	 				 	 	21,407	 	 	 	21,402	 	 	 	5	 	 				 				 					
80.01% to 90.00%	  	 	22,475	 	  	 	22,413	 	 	 	62	 	 				 	 	22,589	 	 	 	22,529	 	 	 	60	 	 				 				 					
80.00% and below	  	 	21,161	 	  	 	15,574	 	 	 	5,587	 	 				 	 	21,716	 	 	 	16,171	 	 	 	5,545	 	 				 				 					
	  	 	 	 	  	 	 	 	 	 	 	 	 				 	 	 	 	 	 	 	 	 	 	 	 	 				 				 					
Total	  	$	75,978	 	  	$	70,323	 	 	$	5,655	 	 				 	$	77,454	 	 	$	71,844	 	 	$	5,610	 	 				 				 					
	  	 	 	 	  	 	 	 	 	 	 	 	 				 	 	 	 	 	 	 	 	 	 	 	 	 				 				 					
The loss and expense ratios included above were calculated using whole dollars and may be different than the ratios calculated using the rounded numbers included herein.

(1)  	The ratio of benefits and other changes in policy reserves to net earned premiums. During the fourth quarter of 2017, the company decreased net earned premiums $468 million from refinements to premium recognition factors from the review of its premium earnings pattern. This adjustment reduced the loss ratio by 35 percentage points and 112 percentage points for the three and twelve months ended December 31, 2017, respectively.	
(2)  	The ratio of an insurer’s general expenses to net earned premiums. In the business, general expenses consist of acquisition and operating expenses, net of deferrals, and amortization of DAC and intangibles. During the fourth quarter of 2017, the company decreased net earned premiums $468 million and DAC amortization $18 million from refinements to premium recognition factors from the review of its premium earnings pattern. These adjustments reduced the expense ratio (net earned premiums) by 33 percentage points and 98 percentage points for the three and twelve months ended December 31, 2017, respectively.	
(3)  	The ratio of an insurer’s general expenses to net premiums written. In the business, general expenses consist of acquisition and operating expenses, net of deferrals, and amortization of DAC and intangibles. During the fourth quarter of 2017, the company decreased DAC amortization $18 million from refinements to premium recognition factors from the review of its premium earnings pattern. This adjustment reduced the expense ratio (net premiums written) by 29 percentage points and eight percentage points for the three and twelve months ended December 31, 2017, respectively.	
(4)	The business currently has structured insurance transactions with two lenders where it is in a secondary loss position. The insurance in-force and risk in-force associated with these arrangements are excluded from these metrics. The risk in-force on these transactions was approximately $154 million, $158 million, $159 million and $160 million as of December 31, 2018, September 30, 2018, June 30, 2018 and March 31, 2018, respectively.	
(5)  	The business currently provides 100% coverage on the majority of the loans the company insures. For the purpose of representing the risk in-force, Australia has computed an “effective risk in-force” amount which recognizes that the loss on any particular loan will be reduced by the net proceeds received upon sale of the property. Effective risk in-force has been calculated by applying to insurance in-force a factor that represents the highest expected average per-claim payment for any one underwriting year over the life of the business. This factor was 35% for all periods presented. Australia also has certain risk share arrangements where it provides pro-rata coverage of certain loans rather than 100% coverage. As a result, for loans with these risk share arrangements, the applicable pro-rata coverage amount provided is used when applying the factor.	
(6)  	Loan amount in loan-to-value ratio calculation includes capitalized premiums, where applicable.	
 
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GENWORTH FINANCIAL, INC.
FINANCIAL SUPPLEMENT
FOURTH QUARTER 2018
Selected Key Performance Measures—Australia Mortgage Insurance Segment
(dollar amounts in millions)

	Primary Insurance (1)	  	December 31, 2018	 	 	September 30, 2018	 	 	June 30, 2018	 	 	March 31, 2018	 	 	December 31, 2017	 	 	 	 	
Insured loans in-force	  	 	1,332,906	 	 	 	1,335,133	 	 	 	1,354,614	 	 	 	1,407,431	 	 	 	1,416,525	 	 					
Insured delinquent loans	  	 	7,145	 	 	 	7,350	 	 	 	7,306	 	 	 	6,958	 	 	 	6,696	 	 					
Insured delinquency rate	  	 	0.54	% 	 	 	0.55	% 	 	 	0.54	% 	 	 	0.49	% 	 	 	0.47	% 	 					
								
Flow loans in-force	  	 	1,226,219	 	 	 	1,229,558	 	 	 	1,247,229	 	 	 	1,296,055	 	 	 	1,303,928	 	 					
Flow delinquent loans	  	 	6,931	 	 	 	7,133	 	 	 	7,076	 	 	 	6,735	 	 	 	6,476	 	 					
Flow delinquency rate	  	 	0.57	% 	 	 	0.58	% 	 	 	0.57	% 	 	 	0.52	% 	 	 	0.50	% 	 					
								
Bulk loans in-force	  	 	106,687	 	 	 	105,575	 	 	 	107,385	 	 	 	111,376	 	 	 	112,597	 	 					
Bulk delinquent loans	  	 	214	 	 	 	217	 	 	 	230	 	 	 	223	 	 	 	220	 	 					
Bulk delinquency rate	  	 	0.20	% 	 	 	0.21	% 	 	 	0.21	% 	 	 	0.20	% 	 	 	0.20	% 	 					
								
	Loss Metrics	  	December 31, 2018	 	 	September 30, 2018	 	 	June 30, 2018	 	 	March 31, 2018	 	 	December 31, 2017	 	 	 	 	
Beginning Reserves	  	$	201	 	 	$	206	 	 	$	211	 	 	$	218	 	 	$	232	 	 					
Paid claims (2)	  	 	(25	) 	 	 	(27	) 	 	 	(25	) 	 	 	(35	) 	 	 	(41	) 	 					
Increase in reserves	  	 	25	 	 	 	26	 	 	 	29	 	 	 	31	 	 	 	27	 	 					
Impact of changes in foreign exchange rates	  	 	(5	) 	 	 	(4	) 	 	 	(9	) 	 	 	(3	) 	 	 	—  	 	 					
	  	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 					
Ending Reserves	  	$	196	 	 	$	201	 	 	$	206	 	 	$	211	 	 	$	218	 	 					

 	  	December 31, 2018	 	 	September 30, 2018	 	 	December 31, 2017	 		
	State and Territory (1)	  	% of Primary
Risk In-Force	 	 	Primary
Delinquency Rate	 	 	% of Primary
Risk In-Force	 	 	Primary
Delinquency Rate	 	 	% of Primary
Risk In-Force	 	 	Primary
Delinquency Rate	 	
New South Wales	  	 	27	% 	 	 	0.38	% 	 	 	28	% 	 	 	0.38	% 	 	 	28	% 	 	 	0.31	% 		
Queensland	  	 	23	 	 	 	0.70	% 	 	 	23	 	 	 	0.73	% 	 	 	23	 	 	 	0.67	% 		
Victoria	  	 	23	 	 	 	0.40	% 	 	 	23	 	 	 	0.42	% 	 	 	23	 	 	 	0.37	% 		
Western Australia	  	 	13	 	 	 	0.98	% 	 	 	12	 	 	 	1.01	% 	 	 	12	 	 	 	0.83	% 		
South Australia	  	 	6	 	 	 	0.68	% 	 	 	6	 	 	 	0.70	% 	 	 	6	 	 	 	0.60	% 		
Australian Capital Territory	  	 	3	 	 	 	0.17	% 	 	 	3	 	 	 	0.15	% 	 	 	3	 	 	 	0.14	% 		
Tasmania	  	 	2	 	 	 	0.31	% 	 	 	2	 	 	 	0.35	% 	 	 	2	 	 	 	0.32	% 		
New Zealand	  	 	2	 	 	 	0.05	% 	 	 	2	 	 	 	0.05	% 	 	 	2	 	 	 	0.04	% 		
Northern Territory	  	 	1	 	 	 	0.68	% 	 	 	1	 	 	 	0.70	% 	 	 	1	 	 	 	0.48	% 		
	  	 	 	 	 				 	 	 	 	 				 	 	 	 	 					
Total	  	 	100	% 	 	 	0.54	% 	 	 	100	% 	 	 	0.55	% 	 	 	100	% 	 	 	0.47	% 		

	By Policy Year (1)	  	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	
2009 and prior	  	 	42	% 	 	 	0.47	% 	 	 	42	% 	 	 	0.49	% 	 	 	44	% 	 	 	0.43	% 		
2010	  	 	4	 	 	 	0.62	% 	 	 	4	 	 	 	0.59	% 	 	 	5	 	 	 	0.53	% 		
2011	  	 	4	 	 	 	0.77	% 	 	 	5	 	 	 	0.75	% 	 	 	5	 	 	 	0.64	% 		
2012	  	 	6	 	 	 	0.96	% 	 	 	6	 	 	 	0.93	% 	 	 	7	 	 	 	0.84	% 		
2013	  	 	7	 	 	 	0.90	% 	 	 	7	 	 	 	0.92	% 	 	 	8	 	 	 	0.74	% 		
2014	  	 	8	 	 	 	0.83	% 	 	 	9	 	 	 	0.84	% 	 	 	9	 	 	 	0.64	% 		
2015	  	 	8	 	 	 	0.65	% 	 	 	8	 	 	 	0.64	% 	 	 	8	 	 	 	0.43	% 		
2016	  	 	7	 	 	 	0.44	% 	 	 	7	 	 	 	0.42	% 	 	 	7	 	 	 	0.22	% 		
2017	  	 	7	 	 	 	0.21	% 	 	 	7	 	 	 	0.19	% 	 	 	7	 	 	 	0.03	% 		
2018	  	 	7	 	 	 	0.03	% 	 	 	5	 	 	 	0.02	% 	 	 	—  	 	 	 	—  	% 		
	  	 	 	 	 				 	 	 	 	 				 	 	 	 	 					
Total	  	 	100	% 	 	 	0.54	% 	 	 	100	% 	 	 	0.55	% 	 	 	100	% 	 	 	0.47	% 		

(1)  	The business currently has structured insurance transactions with two lenders where it is in a secondary loss position. The loans in-force, including delinquent loans, and risk in-force associated with these arrangements are excluded from these metrics.	
(2)  	Paid claims exclude adjustments for expected recoveries related to loss reserves and prior paid claims.	
 
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Table of Contents
GENWORTH FINANCIAL, INC.
FINANCIAL SUPPLEMENT
FOURTH QUARTER 2018
 Selected Key Performance Measures—Australia Mortgage Insurance Segment
(Australian dollar amounts in millions)

 	  	2018	 	 	2017	 		
 	  	4Q	 	  	3Q	 	 	2Q	 	 	1Q	 	 	Total	 	 	4Q	 	 	3Q	 	 	2Q	 	 	1Q	 	 	Total	 		
Paid Claims (1)	  			 	  				 				 				 				 				 				 				 				 					
Flow	  	$	34	 	  	$	38	 	 	$	33	 	 	$	44	 	 	$	149	 	 	$	51	 	 	$	42	 	 	$	40	 	 	$	33	 	 	$	166	 		
Bulk	  	 	—  	 	  	 	—  	 	 	 	—  	 	 	 	—  	 	 	 	—  	 	 	 	1	 	 	 	—  	 	 	 	—  	 	 	 	—  	 	 	 	1	 		
	  	 	 	 	  	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 		
Total Paid Claims	  	$	34	 	  	$	38	 	 	$	33	 	 	$	44	 	 	$	149	 	 	$	52	 	 	$	42	 	 	$	40	 	 	$	33	 	 	$	167	 		

Average Paid Claim (in thousands)	  	$	104.2	 	  	$	117.2	 	 	$	110.1	 	 	$	119.5	 	 				 	$	134.4	 	 	$	110.6	 	 	$	112.7	 	 	$	92.5	 	 					
	 											
Average Reserve Per Delinquency (in thousands)	  	$	39.0	 	  	$	37.9	 	 	$	38.2	 	 	$	39.4	 	 				 	$	41.8	 	 	$	41.5	 	 	$	41.3	 	 	$	42.8	 	 					
	 											
	Loss Metrics	  			 	  				 				 				 				 				 				 				 				 				
	 											
Beginning Reserves	  	$	278	 	  	$	279	 	 	$	274	 	 	$	280	 	 	$	280	 	 	$	297	 	 	$	301	 	 	$	297	 	 	$	293	 	 	$	293	 		
Paid claims (1)	  	 	(34	) 	  	 	(38	) 	 	 	(33	) 	 	 	(44	) 	 	 	(149	) 	 	 	(52	) 	 	 	(42	) 	 	 	(40	) 	 	 	(33	) 	 	 	(167	) 		
Increase in reserves	  	 	35	 	  	 	37	 	 	 	38	 	 	 	38	 	 	 	148	 	 	 	35	 	 	 	38	 	 	 	44	 	 	 	37	 	 	 	154	 		
	  	 	 	 	  	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 		
Ending Reserves	  	$	279	 	  	$	278	 	 	$	279	 	 	$	274	 	 	$	279	 	 	$	280	 	 	$	297	 	 	$	301	 	 	$	297	 	 	$	280	 		
	  	 	 	 	  	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 		
	Loan Amount (2),(3) 	  			 	  				 				 				 				 				 				 				 				 				
	 											
Over $550K	  	 	18	% 	  	 	18	% 	 	 	17	% 	 	 	17	% 	 				 	 	17	% 	 	 	17	% 	 	 	16	% 	 	 	16	% 	 					
$400K to $550K	  	 	21	 	  	 	21	 	 	 	21	 	 	 	20	 	 				 	 	20	 	 	 	20	 	 	 	20	 	 	 	20	 	 					
$250K to $400K	  	 	34	 	  	 	34	 	 	 	34	 	 	 	35	 	 				 	 	35	 	 	 	35	 	 	 	35	 	 	 	35	 	 					
$100K to $250K	  	 	22	 	  	 	22	 	 	 	23	 	 	 	23	 	 				 	 	23	 	 	 	23	 	 	 	24	 	 	 	24	 	 					
$100K or Less	  	 	5	 	  	 	5	 	 	 	5	 	 	 	5	 	 				 	 	5	 	 	 	5	 	 	 	5	 	 	 	5	 	 					
	  	 	 	 	  	 	 	 	 	 	 	 	 	 	 	 	 				 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 					
Total	  	 	100	% 	  	 	100	% 	 	 	100	% 	 	 	100	% 	 				 	 	100	% 	 	 	100	% 	 	 	100	% 	 	 	100	% 	 					

Average Primary Loan Size (in thousands) (3) 	  	$	232	 	  	$	231	 	 	$	229	 	 	$	228	 	 				 	$	227	 	 	$	226	 	 	$	224	 	 	$	223	 	 					
All amounts presented in Australian dollars.

(1)	Paid claims exclude adjustments for expected recoveries related to loss reserves and prior paid claims.	
(2)	The percentages in this table are based on the amount of primary insurance in-force in each loan band as a percentage of total insurance in-force.	
(3)	The business currently has structured insurance transactions with two lenders where it is in a secondary loss position. The loans in-force associated with these arrangements are excluded from these metrics.	
 
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U.S. Life Insurance Segment

 
 
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Table of Contents
GENWORTH FINANCIAL, INC.
FINANCIAL SUPPLEMENT
FOURTH QUARTER 2018
 Adjusted Operating Income (Loss)—U.S. Life Insurance Segment
(amounts in millions)

 	  	2018	 	 	2017	 	
 	  	4Q	 	  	3Q	 	 	2Q	 	 	1Q	 	 	Total	 	 	4Q	 	 	3Q	 	 	2Q	 	 	1Q	 	 	Total	 	
REVENUES:	  			 	  				 				 				 				 				 				 				 				 				
Premiums	  	$	716	 	  	$	717	 	 	$	712	 	 	$	722	 	 	$	2,867	 	 	$	680	 	 	$	748	 	 	$	736	 	 	$	758	 	 	$	2,922	 	
Net investment income	  	 	690	 	  	 	696	 	 	 	707	 	 	 	688	 	 	 	2,781	 	 	 	697	 	 	 	683	 	 	 	694	 	 	 	681	 	 	 	2,755	 	
Net investment gains (losses)	  	 	38	 	  	 	(7	) 	 	 	(10	) 	 	 	8	 	 	 	29	 	 	 	43	 	 	 	27	 	 	 	57	 	 	 	7	 	 	 	134	 	
Policy fees and other income	  	 	154	 	  	 	155	 	 	 	169	 	 	 	163	 	 	 	641	 	 	 	166	 	 	 	154	 	 	 	170	 	 	 	170	 	 	 	660	 	
	  	 	 	 	  	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	
Total revenues	  	 	1,598	 	  	 	1,561	 	 	 	1,578	 	 	 	1,581	 	 	 	6,318	 	 	 	1,586	 	 	 	1,612	 	 	 	1,657	 	 	 	1,616	 	 	 	6,471	 	
	  	 	 	 	  	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	
BENEFITS AND EXPENSES:	  			 	  				 				 				 				 				 				 				 				 				
Benefits and other changes in policy reserves	  	 	1,767	 	  	 	1,248	 	 	 	1,163	 	 	 	1,238	 	 	 	5,416	 	 	 	1,298	 	 	 	1,255	 	 	 	1,163	 	 	 	1,164	 	 	 	4,880	 	
Interest credited	  	 	113	 	  	 	113	 	 	 	116	 	 	 	119	 	 	 	461	 	 	 	117	 	 	 	128	 	 	 	129	 	 	 	132	 	 	 	506	 	
Acquisition and operating expenses, net of deferrals	  	 	153	 	  	 	144	 	 	 	146	 	 	 	141	 	 	 	584	 	 	 	122	 	 	 	149	 	 	 	144	 	 	 	157	 	 	 	572	 	
Amortization of deferred acquisition costs and intangibles	  	 	55	 	  	 	53	 	 	 	78	 	 	 	71	 	 	 	257	 	 	 	107	 	 	 	50	 	 	 	101	 	 	 	70	 	 	 	328	 	
Interest expense	  	 	4	 	  	 	4	 	 	 	4	 	 	 	4	 	 	 	16	 	 	 	4	 	 	 	3	 	 	 	3	 	 	 	3	 	 	 	13	 	
	  	 	 	 	  	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	
Total benefits and expenses	  	 	2,092	 	  	 	1,562	 	 	 	1,507	 	 	 	1,573	 	 	 	6,734	 	 	 	1,648	 	 	 	1,585	 	 	 	1,540	 	 	 	1,526	 	 	 	6,299	 	
	  	 	 	 	  	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	
INCOME (LOSS) FROM CONTINUING OPERATIONS BEFORE INCOME TAXES	  	 	(494	) 	  	 	(1	) 	 	 	71	 	 	 	8	 	 	 	(416	) 	 	 	(62	) 	 	 	27	 	 	 	117	 	 	 	90	 	 	 	172	 	
Provision (benefit) for income taxes	  	 	(101	) 	  	 	6	 	 	 	21	 	 	 	6	 	 	 	(68	) 	 	 	(23	) 	 	 	10	 	 	 	41	 	 	 	32	 	 	 	60	 	
	  	 	 	 	  	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	
INCOME (LOSS) FROM CONTINUING OPERATIONS	  	 	(393	) 	  	 	(7	) 	 	 	50	 	 	 	2	 	 	 	(348	) 	 	 	(39	) 	 	 	17	 	 	 	76	 	 	 	58	 	 	 	112	 	
	 										
ADJUSTMENTS TO INCOME (LOSS) FROM CONTINUING OPERATIONS:	  			 	  				 				 				 				 				 				 				 				 				
Net investment (gains) losses, net (1)	  	 	(41	) 	  	 	6	 	 	 	9	 	 	 	(9	) 	 	 	(35	) 	 	 	(45	) 	 	 	(28	) 	 	 	(57	) 	 	 	(8	) 	 	 	(138	) 	
Taxes on adjustments	  	 	9	 	  	 	(2	) 	 	 	(2	) 	 	 	2	 	 	 	7	 	 	 	15	 	 	 	10	 	 	 	20	 	 	 	3	 	 	 	48	 	
	  	 	 	 	  	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	
ADJUSTED OPERATING INCOME (LOSS)	  	$	(425	) 	  	$	(3	) 	 	$	57	 	 	$	(5	) 	 	$	(376	) 	 	$	(69	) 	 	$	(1	) 	 	$	39	 	 	$	53	 	 	$	22	 	

 
(1)   Net investment (gains) losses were adjusted for DAC and other intangible amortization and certain benefit reserves as reconciled below:	    	 				 				 				
Net investment (gains) losses, gross	  	$	(38	) 	  	$	7	 	 	$	10	 	 	$	(8	) 	 	$	(29	) 	 	$	(43	) 	 	$	(27	) 	 	$	(57	) 	 	$	(7	) 	 	$	(134	) 	
Adjustment for DAC and other intangible amortization and certain benefit reserves	  	 	(3	) 	  	 	(1	) 	 	 	(1	) 	 	 	(1	) 	 	 	(6	) 	 	 	(2	) 	 	 	(1	) 	 	 	—  	 	 	 	(1	) 	 	 	(4	) 	
	  	 	 	 	  	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	
Net investment (gains) losses, net	  	$	(41	) 	  	$	6	 	 	$	9	 	 	$	(9	) 	 	$	(35	) 	 	$	(45	) 	 	$	(28	) 	 	$	(57	) 	 	$	(8	) 	 	$	(138	) 	

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GENWORTH FINANCIAL, INC.
FINANCIAL SUPPLEMENT
FOURTH QUARTER 2018
Adjusted Operating Income (Loss)—U.S. Life Insurance Segment—Long-Term Care Insurance
(amounts in millions)

 	  	2018	 	 	2017	 	
 	  	4Q	 	  	3Q	 	 	2Q	 	 	1Q	 	 	Total	 	 	4Q	 	 	3Q	 	 	2Q	 	 	1Q	 	 	Total	 	
REVENUES:	  			 	  				 				 				 				 				 				 				 				 				
Premiums	  	$	650	 	  	$	648	 	 	$	632	 	 	$	631	 	 	$	2,561	 	 	$	595	 	 	$	641	 	 	$	623	 	 	$	634	 	 	$	2,493	 	
Net investment income	  	 	398	 	  	 	397	 	 	 	399	 	 	 	382	 	 	 	1,576	 	 	 	386	 	 	 	369	 	 	 	369	 	 	 	356	 	 	 	1,480	 	
Net investment gains (losses)	  	 	46	 	  	 	4	 	 	 	3	 	 	 	6	 	 	 	59	 	 	 	17	 	 	 	23	 	 	 	44	 	 	 	3	 	 	 	87	 	
Policy fees and other income	  	 	—  	 	  	 	(1	) 	 	 	1	 	 	 	1	 	 	 	1	 	 	 	1	 	 	 	—  	 	 	 	—  	 	 	 	1	 	 	 	2	 	
	  	 	 	 	  	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	
Total revenues	  	 	1,094	 	  	 	1,048	 	 	 	1,035	 	 	 	1,020	 	 	 	4,197	 	 	 	999	 	 	 	1,033	 	 	 	1,036	 	 	 	994	 	 	 	4,062	 	
	  	 	 	 	  	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	
BENEFITS AND EXPENSES:	  			 	  				 				 				 				 				 				 				 				 				
Benefits and other changes in policy reserves	  	 	1,311	 	  	 	944	 	 	 	874	 	 	 	928	 	 	 	4,057	 	 	 	853	 	 	 	896	 	 	 	821	 	 	 	835	 	 	 	3,405	 	
Interest credited	  	 	—  	 	  	 	—  	 	 	 	—  	 	 	 	—  	 	 	 	—  	 	 	 	—  	 	 	 	—  	 	 	 	—  	 	 	 	—  	 	 	 	—  	 	
Acquisition and operating expenses, net of deferrals	  	 	105	 	  	 	99	 	 	 	101	 	 	 	93	 	 	 	398	 	 	 	80	 	 	 	98	 	 	 	97	 	 	 	112	 	 	 	387	 	
Amortization of deferred acquisition costs and intangibles	  	 	25	 	  	 	24	 	 	 	22	 	 	 	27	 	 	 	98	 	 	 	22	 	 	 	23	 	 	 	23	 	 	 	23	 	 	 	91	 	
Interest expense	  	 	—  	 	  	 	—  	 	 	 	—  	 	 	 	—  	 	 	 	—  	 	 	 	—  	 	 	 	—  	 	 	 	—  	 	 	 	—  	 	 	 	—  	 	
	  	 	 	 	  	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	
Total benefits and expenses	  	 	1,441	 	  	 	1,067	 	 	 	997	 	 	 	1,048	 	 	 	4,553	 	 	 	955	 	 	 	1,017	 	 	 	941	 	 	 	970	 	 	 	3,883	 	
	  	 	 	 	  	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	
INCOME (LOSS) FROM CONTINUING OPERATIONS BEFORE INCOME TAXES	  	 	(347	) 	  	 	(19	) 	 	 	38	 	 	 	(28	) 	 	 	(356	) 	 	 	44	 	 	 	16	 	 	 	95	 	 	 	24	 	 	 	179	 	
Provision (benefit) for income taxes	  	 	(69	) 	  	 	1	 	 	 	14	 	 	 	(1	) 	 	 	(55	) 	 	 	15	 	 	 	6	 	 	 	34	 	 	 	8	 	 	 	63	 	
	  	 	 	 	  	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	
INCOME (LOSS) FROM CONTINUING OPERATIONS	  	 	(278	) 	  	 	(20	) 	 	 	24	 	 	 	(27	) 	 	 	(301	) 	 	 	29	 	 	 	10	 	 	 	61	 	 	 	16	 	 	 	116	 	
	 	 									
ADJUSTMENTS TO INCOME (LOSS) FROM CONTINUING OPERATIONS:	  			 	  				 				 				 				 				 				 				 				 				
Net investment (gains) losses	  	 	(46	) 	  	 	(4	) 	 	 	(3	) 	 	 	(6	) 	 	 	(59	) 	 	 	(17	) 	 	 	(23	) 	 	 	(44	) 	 	 	(3	) 	 	 	(87	) 	
Taxes on adjustments	  	 	10	 	  	 	—  	 	 	 	1	 	 	 	1	 	 	 	12	 	 	 	5	 	 	 	8	 	 	 	16	 	 	 	1	 	 	 	30	 	
	  	 	 	 	  	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	
ADJUSTED OPERATING INCOME (LOSS)	  	$	(314	) 	  	$	(24	) 	 	$	22	 	 	$	(32	) 	 	$	(348	) 	 	$	17	 	 	$	(5	) 	 	$	33	 	 	$	14	 	 	$	59	 	

RATIOS:	  				  				 				 				 				 				 				 				 				 				
Loss Ratio (1)	  	 	137.6	% 	  	 	83.0	% 	 	 	74.6	% 	 	 	84.1	% 	 	 	95.1	% 	 	 	82.0	% 	 	 	78.8	% 	 	 	71.0	% 	 	 	72.0	% 	 	 	75.9	% 	
Gross Benefits Ratio (2)	  	 	201.5	% 	  	 	146.2	% 	 	 	137.7	% 	 	 	147.2	% 	 	 	158.4	% 	 	 	143.3	% 	 	 	139.8	% 	 	 	131.8	% 	 	 	131.6	% 	 	 	136.6	% 	

(1)  	The loss ratio was calculated by dividing benefits and other changes in policy reserves less tabular interest on reserves less loss adjustment expenses by net earned premiums.	
(2)	The gross benefits ratio was calculated by dividing benefits and other changes in policy reserves by net earned premiums.	
 
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Table of Contents
GENWORTH FINANCIAL, INC.
FINANCIAL SUPPLEMENT
FOURTH QUARTER 2018
Adjusted Operating Income (Loss)—U.S. Life Insurance Segment—Life Insurance
(amounts in millions)

 	  	2018	 	 	2017	 	
 	  	4Q	 	  	3Q	 	 	2Q	 	 	1Q	 	 	Total	 	 	4Q	 	 	3Q	 	 	2Q	 	 	1Q	 	 	Total	 	
REVENUES:	  			 	  				 				 				 				 				 				 				 				 				
Premiums	  	$	66	 	  	$	69	 	 	$	80	 	 	$	91	 	 	$	306	 	 	$	85	 	 	$	107	 	 	$	113	 	 	$	124	 	 	$	429	 	
Net investment income	  	 	127	 	  	 	128	 	 	 	125	 	 	 	124	 	 	 	504	 	 	 	117	 	 	 	124	 	 	 	126	 	 	 	125	 	 	 	492	 	
Net investment gains (losses)	  	 	(5	) 	  	 	(4	) 	 	 	(2	) 	 	 	5	 	 	 	(6	) 	 	 	11	 	 	 	7	 	 	 	5	 	 	 	3	 	 	 	26	 	
Policy fees and other income	  	 	151	 	  	 	152	 	 	 	164	 	 	 	159	 	 	 	626	 	 	 	161	 	 	 	151	 	 	 	167	 	 	 	165	 	 	 	644	 	
	  	 	 	 	  	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	
Total revenues	  	 	339	 	  	 	345	 	 	 	367	 	 	 	379	 	 	 	1,430	 	 	 	374	 	 	 	389	 	 	 	411	 	 	 	417	 	 	 	1,591	 	
	  	 	 	 	  	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	
BENEFITS AND EXPENSES:	  			 	  				 				 				 				 				 				 				 				 				
Benefits and other changes in policy reserves	  	 	367	 	  	 	239	 	 	 	225	 	 	 	247	 	 	 	1,078	 	 	 	324	 	 	 	280	 	 	 	248	 	 	 	261	 	 	 	1,113	 	
Interest credited	  	 	61	 	  	 	59	 	 	 	60	 	 	 	61	 	 	 	241	 	 	 	55	 	 	 	63	 	 	 	62	 	 	 	63	 	 	 	243	 	
Acquisition and operating expenses, net of deferrals	  	 	35	 	  	 	33	 	 	 	33	 	 	 	35	 	 	 	136	 	 	 	34	 	 	 	36	 	 	 	33	 	 	 	33	 	 	 	136	 	
Amortization of deferred acquisition costs and intangibles	  	 	14	 	  	 	16	 	 	 	42	 	 	 	29	 	 	 	101	 	 	 	78	 	 	 	13	 	 	 	62	 	 	 	29	 	 	 	182	 	
Interest expense	  	 	4	 	  	 	4	 	 	 	4	 	 	 	4	 	 	 	16	 	 	 	4	 	 	 	3	 	 	 	3	 	 	 	3	 	 	 	13	 	
	  	 	 	 	  	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	
Total benefits and expenses	  	 	481	 	  	 	351	 	 	 	364	 	 	 	376	 	 	 	1,572	 	 	 	495	 	 	 	395	 	 	 	408	 	 	 	389	 	 	 	1,687	 	
	  	 	 	 	  	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	
INCOME (LOSS) FROM CONTINUING OPERATIONS BEFORE INCOME TAXES  	  	 	(142	) 	  	 	(6	) 	 	 	3	 	 	 	3	 	 	 	(142	) 	 	 	(121	) 	 	 	(6	) 	 	 	3	 	 	 	28	 	 	 	(96	) 	
Provision (benefit) for income taxes	  	 	(30	) 	  	 	(1	) 	 	 	1	 	 	 	—  	 	 	 	(30	) 	 	 	(43	) 	 	 	(2	) 	 	 	1	 	 	 	10	 	 	 	(34	) 	
	  	 	 	 	  	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	
INCOME (LOSS) FROM CONTINUING OPERATIONS	  	 	(112	) 	  	 	(5	) 	 	 	2	 	 	 	3	 	 	 	(112	) 	 	 	(78	) 	 	 	(4	) 	 	 	2	 	 	 	18	 	 	 	(62	) 	
	 										
ADJUSTMENTS TO INCOME (LOSS) FROM CONTINUING OPERATIONS:	  			 	  				 				 				 				 				 				 				 				 				
Net investment (gains) losses	  	 	5	 	  	 	4	 	 	 	2	 	 	 	(5	) 	 	 	6	 	 	 	(11	) 	 	 	(7	) 	 	 	(5	) 	 	 	(3	) 	 	 	(26	) 	
Taxes on adjustments	  	 	(1	) 	  	 	(1	) 	 	 	—  	 	 	 	1	 	 	 	(1	) 	 	 	4	 	 	 	2	 	 	 	2	 	 	 	1	 	 	 	9	 	
	  	 	 	 	  	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	
ADJUSTED OPERATING INCOME (LOSS)	  	$	(108	) 	  	$	(2	) 	 	$	4	 	 	$	(1	) 	 	$	(107	) 	 	$	(85	) 	 	$	(9	) 	 	$	(1	) 	 	$	16	 	 	$	(79	) 	

 
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GENWORTH FINANCIAL, INC.
FINANCIAL SUPPLEMENT
FOURTH QUARTER 2018
 Adjusted Operating Income (Loss)—U.S. Life Insurance Segment—Fixed Annuities
(amounts in millions)

 	  	2018	 	 	2017	 	
 	  	4Q	 	  	3Q	 	 	2Q	 	 	1Q	 	 	Total	 	 	4Q	 	 	3Q	 	 	2Q	 	 	1Q	 	 	Total	 	
REVENUES:	  			 	  				 				 				 				 				 				 				 				 				
Premiums	  	$	—  	 	  	$	—  	 	 	$	—  	 	 	$	—  	 	 	$	—  	 	 	$	—  	 	 	$	—  	 	 	$	—  	 	 	$	—  	 	 	$	—  	 	
Net investment income	  	 	165	 	  	 	171	 	 	 	183	 	 	 	182	 	 	 	701	 	 	 	194	 	 	 	190	 	 	 	199	 	 	 	200	 	 	 	783	 	
Net investment gains (losses)	  	 	(3	) 	  	 	(7	) 	 	 	(11	) 	 	 	(3	) 	 	 	(24	) 	 	 	15	 	 	 	(3	) 	 	 	8	 	 	 	1	 	 	 	21	 	
Policy fees and other income	  	 	3	 	  	 	4	 	 	 	4	 	 	 	3	 	 	 	14	 	 	 	4	 	 	 	3	 	 	 	3	 	 	 	4	 	 	 	14	 	
	  	 	 	 	  	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	
Total revenues	  	 	165	 	  	 	168	 	 	 	176	 	 	 	182	 	 	 	691	 	 	 	213	 	 	 	190	 	 	 	210	 	 	 	205	 	 	 	818	 	
	  	 	 	 	  	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	
BENEFITS AND EXPENSES:	  			 	  				 				 				 				 				 				 				 				 				
Benefits and other changes in policy reserves	  	 	89	 	  	 	65	 	 	 	64	 	 	 	63	 	 	 	281	 	 	 	121	 	 	 	79	 	 	 	94	 	 	 	68	 	 	 	362	 	
Interest credited	  	 	52	 	  	 	54	 	 	 	56	 	 	 	58	 	 	 	220	 	 	 	62	 	 	 	65	 	 	 	67	 	 	 	69	 	 	 	263	 	
Acquisition and operating expenses, net of deferrals	  	 	13	 	  	 	12	 	 	 	12	 	 	 	13	 	 	 	50	 	 	 	8	 	 	 	15	 	 	 	14	 	 	 	12	 	 	 	49	 	
Amortization of deferred acquisition costs and intangibles	  	 	16	 	  	 	13	 	 	 	14	 	 	 	15	 	 	 	58	 	 	 	7	 	 	 	14	 	 	 	16	 	 	 	18	 	 	 	55	 	
Interest expense	  	 	—  	 	  	 	—  	 	 	 	—  	 	 	 	—  	 	 	 	—  	 	 	 	—  	 	 	 	—  	 	 	 	—  	 	 	 	—  	 	 	 	—  	 	
	  	 	 	 	  	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	
Total benefits and expenses	  	 	170	 	  	 	144	 	 	 	146	 	 	 	149	 	 	 	609	 	 	 	198	 	 	 	173	 	 	 	191	 	 	 	167	 	 	 	729	 	
	  	 	 	 	  	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	
INCOME (LOSS) FROM CONTINUING OPERATIONS BEFORE INCOME TAXES	  	 	(5	) 	  	 	24	 	 	 	30	 	 	 	33	 	 	 	82	 	 	 	15	 	 	 	17	 	 	 	19	 	 	 	38	 	 	 	89	 	
Provision (benefit) for income taxes	  	 	(2	) 	  	 	6	 	 	 	6	 	 	 	7	 	 	 	17	 	 	 	5	 	 	 	6	 	 	 	6	 	 	 	14	 	 	 	31	 	
	  	 	 	 	  	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	
INCOME (LOSS) FROM CONTINUING OPERATIONS	  	 	(3	) 	  	 	18	 	 	 	24	 	 	 	26	 	 	 	65	 	 	 	10	 	 	 	11	 	 	 	13	 	 	 	24	 	 	 	58	 	
	 	 									
ADJUSTMENTS TO INCOME (LOSS) FROM CONTINUING OPERATIONS:	  			 	  				 				 				 				 				 				 				 				 				
Net investment (gains) losses, net (1)	  	 	—  	 	  	 	6	 	 	 	10	 	 	 	2	 	 	 	18	 	 	 	(17	) 	 	 	2	 	 	 	(8	) 	 	 	(2	) 	 	 	(25	) 	
Taxes on adjustments	  	 	—  	 	  	 	(1	) 	 	 	(3	) 	 	 	—  	 	 	 	(4	) 	 	 	6	 	 	 	—  	 	 	 	2	 	 	 	1	 	 	 	9	 	
	  	 	 	 	  	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	
ADJUSTED OPERATING INCOME (LOSS)	  	$	(3	) 	  	$	23	 	 	$	31	 	 	$	28	 	 	$	79	 	 	$	(1	) 	 	$	13	 	 	$	7	 	 	$	23	 	 	$	42	 	

 
(1)   Net investment (gains) losses were adjusted for DAC and other intangible amortization and certain benefit reserves as reconciled below:	 	
Net investment (gains) losses, gross	  	$	3	 	  	$	7	 	 	$	11	 	 	$	3	 	 	$	24	 	 	$	(15	) 	 	$	3	 	 	$	(8	) 	 	$	(1	) 	 	$	(21	) 	
Adjustment for DAC and other intangible amortization and certain benefit reserves	  	 	(3	) 	  	 	(1	) 	 	 	(1	) 	 	 	(1	) 	 	 	(6	) 	 	 	(2	) 	 	 	(1	) 	 	 	—  	 	 	 	(1	) 	 	 	(4	) 	
	  	 	 	 	  	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	
Net investment (gains) losses, net	  	$	—	 	  	$	6	 	 	$	10	 	 	$	2	 	 	$	18	 	 	$	(17	) 	 	$	2	 	 	$	(8	) 	 	$	(2	) 	 	$	(25	) 	

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Runoff Segment

 
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 GENWORTH FINANCIAL, INC.
FINANCIAL SUPPLEMENT
FOURTH QUARTER 2018
Adjusted Operating Income (Loss)—Runoff Segment
(amounts in millions)

 	  	2018	 	 	2017	 	
 	  	4Q	 	  	3Q	 	 	2Q	 	 	1Q	 	 	Total	 	 	4Q	 	 	3Q	 	 	2Q	 	 	1Q	 	 	Total	 	
REVENUES:	  			 	  				 				 				 				 				 				 				 				 				
Net investment income	  	$	45	 	  	$	44	 	 	$	43	 	 	$	42	 	 	$	174	 	 	$	41	 	 	$	40	 	 	$	41	 	 	$	38	 	 	$	160	 	
Net investment gains (losses)	  	 	(15	) 	  	 	(3	) 	 	 	(1	) 	 	 	(14	) 	 	 	(33	) 	 	 	(8	) 	 	 	9	 	 	 	7	 	 	 	8	 	 	 	16	 	
Policy fees and other income	  	 	37	 	  	 	38	 	 	 	38	 	 	 	40	 	 	 	153	 	 	 	40	 	 	 	41	 	 	 	41	 	 	 	41	 	 	 	163	 	
	  	 	 	 	  	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	
Total revenues	  	 	67	 	  	 	79	 	 	 	80	 	 	 	68	 	 	 	294	 	 	 	73	 	 	 	90	 	 	 	89	 	 	 	87	 	 	 	339	 	
	  	 	 	 	  	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	
BENEFITS AND EXPENSES:	  			 	  				 				 				 				 				 				 				 				 				
Benefits and other changes in policy reserves	  	 	17	 	  	 	7	 	 	 	7	 	 	 	8	 	 	 	39	 	 	 	8	 	 	 	5	 	 	 	9	 	 	 	4	 	 	 	26	 	
Interest credited	  	 	39	 	  	 	38	 	 	 	36	 	 	 	37	 	 	 	150	 	 	 	35	 	 	 	36	 	 	 	34	 	 	 	35	 	 	 	140	 	
Acquisition and operating expenses, net of deferrals	  	 	14	 	  	 	14	 	 	 	14	 	 	 	15	 	 	 	57	 	 	 	14	 	 	 	16	 	 	 	16	 	 	 	15	 	 	 	61	 	
Amortization of deferred acquisition costs and intangibles	  	 	13	 	  	 	5	 	 	 	8	 	 	 	7	 	 	 	33	 	 	 	4	 	 	 	7	 	 	 	7	 	 	 	6	 	 	 	24	 	
Interest expense	  	 	—  	 	  	 	—  	 	 	 	—  	 	 	 	—  	 	 	 	—  	 	 	 	1	 	 	 	—  	 	 	 	1	 	 	 	—  	 	 	 	2	 	
	  	 	 	 	  	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	
Total benefits and expenses	  	 	83	 	  	 	64	 	 	 	65	 	 	 	67	 	 	 	279	 	 	 	62	 	 	 	64	 	 	 	67	 	 	 	60	 	 	 	253	 	
	  	 	 	 	  	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	
INCOME (LOSS) FROM CONTINUING OPERATIONS BEFORE INCOME TAXES	  	 	(16	) 	  	 	15	 	 	 	15	 	 	 	1	 	 	 	15	 	 	 	11	 	 	 	26	 	 	 	22	 	 	 	27	 	 	 	86	 	
Provision (benefit) for income taxes	  	 	(3	) 	  	 	2	 	 	 	3	 	 	 	—  	 	 	 	2	 	 	 	2	 	 	 	8	 	 	 	7	 	 	 	8	 	 	 	25	 	
	  	 	 	 	  	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	
INCOME (LOSS) FROM CONTINUING OPERATIONS	  	 	(13	) 	  	 	13	 	 	 	12	 	 	 	1	 	 	 	13	 	 	 	9	 	 	 	18	 	 	 	15	 	 	 	19	 	 	 	61	 	
	 										
ADJUSTMENTS TO INCOME (LOSS) FROM CONTINUING OPERATIONS:	  			 	  				 				 				 				 				 				 				 				 				
Net investment (gains) losses, net (1)	  	 	13	 	  	 	1	 	 	 	1	 	 	 	12	 	 	 	27	 	 	 	7	 	 	 	(8	) 	 	 	(7	) 	 	 	(7	) 	 	 	(15	) 	
Taxes on adjustments	  	 	(2	) 	  	 	—  	 	 	 	—  	 	 	 	(3	) 	 	 	(5	) 	 	 	(3	) 	 	 	3	 	 	 	3	 	 	 	2	 	 	 	5	 	
	  	 	 	 	  	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	
ADJUSTED OPERATING INCOME (LOSS)	  	$	(2	) 	  	$	14	 	 	$	13	 	 	$	10	 	 	$	35	 	 	$	13	 	 	$	13	 	 	$	11	 	 	$	14	 	 	$	51	 	

 
(1)   Net investment (gains) losses were adjusted for DAC and other intangible amortization and certain benefit reserves as reconciled below:
 	   
	
Net investment (gains) losses, gross	  	$	15	 	  	$	3	 	 	$	1	 	 	$	14	 	 	$	33	 	 	$	8	 	 	$	(9	) 	 	$	(7	) 	 	$	(8	) 	 	$	(16	) 	
Adjustment for DAC and other intangible amortization and certain benefit reserves	  	 	(2	) 	  	 	(2	) 	 	 	—  	 	 	 	(2	) 	 	 	(6	) 	 	 	(1	) 	 	 	1	 	 	 	—  	 	 	 	1	 	 	 	1	 	
	  	 	 	 	  	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	
Net investment (gains) losses, net	  	$	13	 	  	$	1	 	 	$	1	 	 	$	12	 	 	$	27	 	 	$	7	 	 	$	(8	) 	 	$	(7	) 	 	$	(7	) 	 	$	(15	) 	

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Corporate and Other

 
 
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 GENWORTH FINANCIAL, INC.
FINANCIAL SUPPLEMENT
FOURTH QUARTER 2018
Adjusted Operating Income (Loss)—Corporate and Other (1) 
(amounts in millions)

 	  	2018	 	 	2017	 	
 	  	4Q	 	  	3Q	 	 	2Q	 	 	1Q	 	 	Total	 	 	4Q	 	 	3Q	 	 	2Q	 	 	1Q	 	 	Total	 	
REVENUES:	  			 	  				 				 				 				 				 				 				 				 				
Premiums	  	$	2	 	  	$	1	 	 	$	3	 	 	$	2	 	 	$	8	 	 	$	2	 	 	$	3	 	 	$	1	 	 	$	2	 	 	$	8	 	
Net investment income	  	 	3	 	  	 	1	 	 	 	3	 	 	 	2	 	 	 	9	 	 	 	—  	 	 	 	4	 	 	 	—  	 	 	 	1	 	 	 	5	 	
Net investment gains (losses)	  	 	18	 	  	 	(7	) 	 	 	—  	 	 	 	(1	) 	 	 	10	 	 	 	(7	) 	 	 	(7	) 	 	 	(12	) 	 	 	(12	) 	 	 	(38	) 	
Policy fees and other income	  	 	(1	) 	  	 	(1	) 	 	 	1	 	 	 	(2	) 	 	 	(3	) 	 	 	—  	 	 	 	1	 	 	 	(2	) 	 	 	(1	) 	 	 	(2	) 	
	  	 	 	 	  	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	
Total revenues	  	 	22	 	  	 	(6	) 	 	 	7	 	 	 	1	 	 	 	24	 	 	 	(5	) 	 	 	1	 	 	 	(13	) 	 	 	(10	) 	 	 	(27	) 	
	  	 	 	 	  	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	
BENEFITS AND EXPENSES:	  			 	  				 				 				 				 				 				 				 				 				
Benefits and other changes in policy reserves	  	 	2	 	  	 	1	 	 	 	1	 	 	 	1	 	 	 	5	 	 	 	—  	 	 	 	2	 	 	 	—  	 	 	 	1	 	 	 	3	 	
Acquisition and operating expenses, net of deferrals	  	 	18	 	  	 	12	 	 	 	11	 	 	 	11	 	 	 	52	 	 	 	30	 	 	 	19	 	 	 	14	 	 	 	14	 	 	 	77	 	
Amortization of deferred acquisition costs and intangibles	  	 	—  	 	  	 	—  	 	 	 	—  	 	 	 	1	 	 	 	1	 	 	 	—  	 	 	 	2	 	 	 	—  	 	 	 	—  	 	 	 	2	 	
Interest expense	  	 	63	 	  	 	61	 	 	 	67	 	 	 	65	 	 	 	256	 	 	 	63	 	 	 	63	 	 	 	63	 	 	 	53	 	 	 	242	 	
	  	 	 	 	  	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	
Total benefits and expenses	  	 	83	 	  	 	74	 	 	 	79	 	 	 	78	 	 	 	314	 	 	 	93	 	 	 	86	 	 	 	77	 	 	 	68	 	 	 	324	 	
	  	 	 	 	  	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	
LOSS FROM CONTINUING OPERATIONS BEFORE INCOME TAXES	  	 	(61	) 	  	 	(80	) 	 	 	(72	) 	 	 	(77	) 	 	 	(290	) 	 	 	(98	) 	 	 	(85	) 	 	 	(90	) 	 	 	(78	) 	 	 	(351	) 	
Provision (benefit) for income taxes	  	 	(17	) 	  	 	(28	) 	 	 	3	 	 	 	(17	) 	 	 	(59	) 	 	 	(483	) 	 	 	(23	) 	 	 	(39	) 	 	 	(23	) 	 	 	(568	) 	
	  	 	 	 	  	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	
INCOME (LOSS) FROM CONTINUING OPERATIONS	  	 	(44	) 	  	 	(52	) 	 	 	(75	) 	 	 	(60	) 	 	 	(231	) 	 	 	385	 	 	 	(62	) 	 	 	(51	) 	 	 	(55	) 	 	 	217	 	
	 										
ADJUSTMENTS TO INCOME (LOSS) FROM CONTINUING OPERATIONS:	  			 	  				 				 				 				 				 				 				 				 				
Net investment (gains) losses	  	 	(18	) 	  	 	7	 	 	 	—  	 	 	 	1	 	 	 	(10	) 	 	 	7	 	 	 	7	 	 	 	12	 	 	 	12	 	 	 	38	 	
Expenses related to restructuring	  	 	—  	 	  	 	2	 	 	 	—  	 	 	 	—  	 	 	 	2	 	 	 	—  	 	 	 	—  	 	 	 	—  	 	 	 	1	 	 	 	1	 	
Fees associated with bond consent solicitation	  	 	6	 	  	 	—  	 	 	 	—  	 	 	 	—  	 	 	 	6	 	 	 	—  	 	 	 	—  	 	 	 	—  	 	 	 	—  	 	 	 	—  	 	
Taxes on adjustments	  	 	2	 	  	 	(2	) 	 	 	—  	 	 	 	—  	 	 	 	—  	 	 	 	(2	) 	 	 	(3	) 	 	 	(4	) 	 	 	(4	) 	 	 	(13	) 	
	  	 	 	 	  	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	
ADJUSTED OPERATING INCOME (LOSS)	  	$	(54	) 	  	$	(45	) 	 	$	(75	) 	 	$	(59	) 	 	$	(233	) 	 	$	390	 	 	$	(58	) 	 	$	(43	) 	 	$	(46	) 	 	$	243	 	

 

(1)  	Includes inter-segment eliminations and the results of other businesses that are managed outside the operating segments, including certain smaller international mortgage insurance businesses.	
 
41

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Additional Financial Data

 
 
42

Table of Contents
 GENWORTH FINANCIAL, INC.
FINANCIAL SUPPLEMENT
FOURTH QUARTER 2018
Investments Summary
(amounts in millions)

 	 	 	 	December 31, 2018	 	 	September 30, 2018	 	 	June 30, 2018	 	 	March 31, 2018	 	 	December 31, 2017	 		
 	 	 	 	Carrying
Amount	 	 	% of
Total	 	 	Carrying
Amount	 	 	% of
Total	 	 	Carrying
Amount	 	 	% of
Total	 	 	Carrying
Amount	 	 	% of
Total	 	 	Carrying
Amount	 	 	% of
Total	 		
	Composition of Investment Portfolio	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	
Fixed maturity securities:	 				 			 	 				 				 				 				 				 				 				 					
Investment grade:	 				 			 	 				 				 				 				 				 				 				 					
Public fixed maturity securities	 	$	32,630	 	 	 	45	% 	 	$	32,496	 	 	 	45	% 	 	$	32,813	 	 	 	45	% 	 	$	33,438	 	 	 	45	% 	 	$	34,281	 	 	 	45	% 		
Private fixed maturity securities	 	 	13,000	 	 	 	18	 	 	 	12,628	 	 	 	17	 	 	 	12,362	 	 	 	17	 	 	 	12,278	 	 	 	16	 	 	 	12,504	 	 	 	16	 		
Residential mortgage-backed securities (1)	 	 	2,998	 	 	 	4	 	 	 	3,178	 	 	 	5	 	 	 	3,522	 	 	 	5	 	 	 	3,780	 	 	 	5	 	 	 	4,000	 	 	 	6	 		
Commercial mortgage-backed securities	 	 	3,007	 	 	 	4	 	 	 	3,146	 	 	 	4	 	 	 	3,340	 	 	 	5	 	 	 	3,332	 	 	 	4	 	 	 	3,426	 	 	 	5	 		
Other asset-backed securities	 	 	3,414	 	 	 	5	 	 	 	3,044	 	 	 	4	 	 	 	2,950	 	 	 	4	 	 	 	3,067	 	 	 	4	 	 	 	3,060	 	 	 	4	 		
State and political subdivisions	 	 	2,552	 	 	 	4	 	 	 	2,795	 	 	 	4	 	 	 	2,855	 	 	 	4	 	 	 	2,876	 	 	 	4	 	 	 	2,926	 	 	 	4	 		
Non-investment grade fixed maturity securities	 	 	2,060	 	 	 	3	 	 	 	2,117	 	 	 	3	 	 	 	2,190	 	 	 	3	 	 	 	2,309	 	 	 	3	 	 	 	2,328	 	 	 	3	 		
Equity securities:	 				 			 	 				 				 				 				 				 				 				 					
Common stocks and mutual funds	 	 	141	 	 	 	—  	 	 	 	171	 	 	 	—  	 	 	 	164	 	 	 	—  	 	 	 	210	 	 	 	1	 	 	 	229	 	 	 	—  	 		
Preferred stocks	 	 	514	 	 	 	1	 	 	 	612	 	 	 	1	 	 	 	594	 	 	 	1	 	 	 	589	 	 	 	1	 	 	 	591	 	 	 	1	 		
Commercial mortgage loans	 	 	6,687	 	 	 	9	 	 	 	6,568	 	 	 	9	 	 	 	6,480	 	 	 	9	 	 	 	6,336	 	 	 	8	 	 	 	6,341	 	 	 	8	 		
Restricted commercial mortgage loans related to securitization entities	 	 	62	 	 	 	—  	 	 	 	87	 	 	 	—  	 	 	 	90	 	 	 	—  	 	 	 	99	 	 	 	—  	 	 	 	107	 	 	 	—  	 		
Policy loans	 	 	1,861	 	 	 	3	 	 	 	1,859	 	 	 	3	 	 	 	1,872	 	 	 	3	 	 	 	1,789	 	 	 	2	 	 	 	1,786	 	 	 	3	 		
Cash, cash equivalents, restricted cash and short-term investments	 	 	2,407	 	 	 	3	 	 	 	2,864	 	 	 	4	 	 	 	2,951	 	 	 	4	 	 	 	3,605	 	 	 	5	 	 	 	3,777	 	 	 	5	 		
Securities lending	 	 	103	 	 	 	—  	 	 	 	166	 	 	 	—  	 	 	 	211	 	 	 	—  	 	 	 	252	 	 	 	1	 	 	 	268	 	 	 	—  	 		
Other invested assets:	 	Limited partnerships	 	 	409	 	 	 	1	 	 	 	372	 	 	 	1	 	 	 	335	 	 	 	—  	 	 	 	301	 	 	 	1	 	 	 	258	 	 	 	—  	 		
	 	Derivatives: (2)	 				 			 	 				 				 				 				 				 				 				 					
	 	Long-term care (LTC) forward starting swap—cash flow	 	 	42	 	 	 	—  	 	 	 	36	 	 	 	—  	 	 	 	49	 	 	 	—  	 	 	 	54	 	 	 	—  	 	 	 	74	 	 	 	—  	 		
	 	Other cash flow	 	 	6	 	 	 	—  	 	 	 	2	 	 	 	—  	 	 	 	2	 	 	 	—  	 	 	 	1	 	 	 	—  	 	 	 	1	 	 	 	—  	 		
	 	Equity index options—non-qualified	 	 	39	 	 	 	—  	 	 	 	80	 	 	 	—  	 	 	 	70	 	 	 	—  	 	 	 	60	 	 	 	—  	 	 	 	80	 	 	 	—  	 		
	 	Other non-qualified	 	 	91	 	 	 	—  	 	 	 	127	 	 	 	—  	 	 	 	109	 	 	 	—  	 	 	 	114	 	 	 	—  	 	 	 	121	 	 	 	—  	 		
	 	Other	 	 	268	 	 	 	—  	 	 	 	212	 	 	 	—  	 	 	 	166	 	 	 	—  	 	 	 	130	 	 	 	—  	 	 	 	109	 	 	 	—  	 		
	 		 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 		
Total invested assets and cash	 	$	72,291	 	 	 	100	% 	 	$	72,560	 	 	 	100	% 	 	$	73,125	 	 	 	100	% 	 	$	74,620	 	 	 	100	% 	 	$	76,267	 	 	 	100	% 		
	 		 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 		
	Public Fixed Maturity Securities—Credit Quality:	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	
	NRSRO (3) Designation	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	
AAA	 		 	$	10,799	 	 	 	26	% 	 	$	11,642	 	 	 	28	% 	 	$	12,269	 	 	 	29	% 	 	$	12,673	 	 	 	29	% 	 	$	13,248	 	 	 	29	% 		
AA	 		 	 	4,117	 	 	 	10	 	 	 	4,358	 	 	 	10	 	 	 	4,428	 	 	 	10	 	 	 	4,409	 	 	 	10	 	 	 	4,380	 	 	 	10	 		
A	 		 	 	12,005	 	 	 	29	 	 	 	11,984	 	 	 	28	 	 	 	12,174	 	 	 	28	 	 	 	12,637	 	 	 	28	 	 	 	13,261	 	 	 	29	 		
BBB	 		 	 	13,669	 	 	 	32	 	 	 	12,994	 	 	 	31	 	 	 	12,929	 	 	 	30	 	 	 	13,164	 	 	 	30	 	 	 	13,271	 	 	 	29	 		
BB	 		 	 	1,149	 	 	 	3	 	 	 	1,156	 	 	 	3	 	 	 	1,221	 	 	 	3	 	 	 	1,328	 	 	 	3	 	 	 	1,356	 	 	 	3	 		
B	 		 	 	93	 	 	 	—  	 	 	 	130	 	 	 	—  	 	 	 	123	 	 	 	—  	 	 	 	126	 	 	 	—  	 	 	 	109	 	 	 	—  	 		
CCC and lower	 		 	 	25	 	 	 	—  	 	 	 	27	 	 	 	—  	 	 	 	31	 	 	 	—  	 	 	 	40	 	 	 	—  	 	 	 	40	 	 	 	—  	 		
	 		 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 		
Total public fixed maturity securities	 	$	41,857	 	 	 	100	% 	 	$	42,291	 	 	 	100	% 	 	$	43,175	 	 	 	100	% 	 	$	44,377	 	 	 	100	% 	 	$	45,665	 	 	 	100	% 		
	 		 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 		
	Private Fixed Maturity Securities—Credit Quality:	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	
	NRSRO (3) Designation	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	
AAA	 		 	$	2,540	 	 	 	14	% 	 	$	2,109	 	 	 	12	% 	 	$	2,045	 	 	 	12	% 	 	$	1,973	 	 	 	12	% 	 	$	1,848	 	 	 	11	% 		
AA	 		 	 	2,198	 	 	 	13	 	 	 	2,224	 	 	 	13	 	 	 	2,156	 	 	 	13	 	 	 	2,125	 	 	 	13	 	 	 	2,148	 	 	 	13	 		
A	 		 	 	4,866	 	 	 	27	 	 	 	4,695	 	 	 	27	 	 	 	4,750	 	 	 	28	 	 	 	4,731	 	 	 	28	 	 	 	4,856	 	 	 	29	 		
BBB	 		 	 	7,407	 	 	 	42	 	 	 	7,281	 	 	 	43	 	 	 	7,091	 	 	 	42	 	 	 	7,059	 	 	 	42	 	 	 	7,185	 	 	 	43	 		
BB	 		 	 	737	 	 	 	4	 	 	 	724	 	 	 	4	 	 	 	733	 	 	 	4	 	 	 	762	 	 	 	5	 	 	 	765	 	 	 	4	 		
B	 		 	 	54	 	 	 	—  	 	 	 	78	 	 	 	1	 	 	 	80	 	 	 	1	 	 	 	51	 	 	 	—  	 	 	 	48	 	 	 	—  	 		
CCC and lower	 		 	 	2	 	 	 	—  	 	 	 	2	 	 	 	—  	 	 	 	2	 	 	 	—  	 	 	 	2	 	 	 	—  	 	 	 	10	 	 	 	—  	 		
	 		 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 		
Total private fixed maturity securities	 	$	17,804	 	 	 	100	% 	 	$	17,113	 	 	 	100	% 	 	$	16,857	 	 	 	100	% 	 	$	16,703	 	 	 	100	% 	 	$	16,860	 	 	 	100	% 		

 

(1)  	The company does not have any material exposure to residential mortgage-backed securities collateralized debt obligations (CDOs).	
(2)  	Certain derivative balances have been reclassified as of June 30, 2018 and March 31, 2018 to conform to the current period presentation.	
(3)  	Nationally Recognized Statistical Rating Organizations.	
 
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Table of Contents
 GENWORTH FINANCIAL, INC.
FINANCIAL SUPPLEMENT
FOURTH QUARTER 2018
Fixed Maturity Securities Summary
(amounts in millions)

 	  	December 31, 2018	 	  	September 30, 2018	 	 	June 30, 2018	 	 	March 31, 2018	 	 	December 31, 2017	 	
 	  	Fair Value	 	  	% of
Total	 	  	Fair Value	 	  	% of
Total	 	 	Fair Value	 	  	% of
Total	 	 	Fair Value	 	  	% of
Total	 	 	Fair Value	 	  	% of
Total	 	
Fixed Maturity Securities—Security Sector:	  				  			 	  				  				 				  				 				  				 				  				
	 	 									
U.S. government, agencies and government-sponsored enterprises	  	$	4,631	 	  	 	8	% 	  	$	5,181	 	  	 	9	% 	 	$	5,353	 	  	 	9	% 	 	$	5,398	 	  	 	9	% 	 	$	5,548	 	  	 	9	% 	
State and political subdivisions	  	 	2,552	 	  	 	4	 	  	 	2,795	 	  	 	5	 	 	 	2,855	 	  	 	5	 	 	 	2,876	 	  	 	5	 	 	 	2,926	 	  	 	5	 	
Foreign government	  	 	2,393	 	  	 	4	 	  	 	2,289	 	  	 	4	 	 	 	2,380	 	  	 	4	 	 	 	2,299	 	  	 	4	 	 	 	2,233	 	  	 	4	 	
U.S. corporate	  	 	28,762	 	  	 	48	 	  	 	27,538	 	  	 	46	 	 	 	27,569	 	  	 	46	 	 	 	27,998	 	  	 	46	 	 	 	28,636	 	  	 	46	 	
Foreign corporate	  	 	11,837	 	  	 	20	 	  	 	12,173	 	  	 	20	 	 	 	12,002	 	  	 	20	 	 	 	12,257	 	  	 	20	 	 	 	12,611	 	  	 	20	 	
Residential mortgage-backed securities	  	 	3,044	 	  	 	5	 	  	 	3,222	 	  	 	6	 	 	 	3,567	 	  	 	6	 	 	 	3,836	 	  	 	6	 	 	 	4,057	 	  	 	6	 	
Commercial mortgage-backed securities	  	 	3,016	 	  	 	5	 	  	 	3,156	 	  	 	5	 	 	 	3,349	 	  	 	5	 	 	 	3,342	 	  	 	5	 	 	 	3,446	 	  	 	5	 	
Other asset-backed securities	  	 	3,426	 	  	 	6	 	  	 	3,050	 	  	 	5	 	 	 	2,957	 	  	 	5	 	 	 	3,074	 	  	 	5	 	 	 	3,068	 	  	 	5	 	
	  	 	 	 	  	 	 	 	  	 	 	 	  	 	 	 	 	 	 	 	  	 	 	 	 	 	 	 	  	 	 	 	 	 	 	 	  	 	 	 	
Total fixed maturity securities	  	$	59,661	 	  	 	100	% 	  	$	59,404	 	  	 	100	% 	 	$	60,032	 	  	 	100	% 	 	$	61,080	 	  	 	100	% 	 	$	62,525	 	  	 	100	% 	
	  	 	 	 	  	 	 	 	  	 	 	 	  	 	 	 	 	 	 	 	  	 	 	 	 	 	 	 	  	 	 	 	 	 	 	 	  	 	 	 	
Corporate Bond Holdings—Industry Sector:	  				  			 	  				  				 				  				 				  				 				  				
	 	 									
Investment Grade:	  				  			 	  				  				 				  				 				  				 				  				
Finance and insurance	  	$	9,062	 	  	 	22	% 	  	$	8,712	 	  	 	22	% 	 	$	8,616	 	  	 	22	% 	 	$	8,934	 	  	 	22	% 	 	$	9,064	 	  	 	22	% 	
Utilities	  	 	5,665	 	  	 	14	 	  	 	5,674	 	  	 	14	 	 	 	5,785	 	  	 	15	 	 	 	5,800	 	  	 	15	 	 	 	5,951	 	  	 	15	 	
Energy	  	 	3,449	 	  	 	8	 	  	 	3,358	 	  	 	8	 	 	 	3,310	 	  	 	8	 	 	 	3,381	 	  	 	8	 	 	 	3,442	 	  	 	8	 	
Consumer—non-cyclical	  	 	5,595	 	  	 	14	 	  	 	5,232	 	  	 	13	 	 	 	5,042	 	  	 	13	 	 	 	5,124	 	  	 	13	 	 	 	5,363	 	  	 	13	 	
Consumer—cyclical	  	 	1,900	 	  	 	5	 	  	 	1,887	 	  	 	5	 	 	 	1,875	 	  	 	5	 	 	 	1,866	 	  	 	5	 	 	 	1,973	 	  	 	5	 	
Capital goods	  	 	2,876	 	  	 	7	 	  	 	2,788	 	  	 	7	 	 	 	2,815	 	  	 	7	 	 	 	2,838	 	  	 	7	 	 	 	2,837	 	  	 	7	 	
Industrial	  	 	1,957	 	  	 	5	 	  	 	1,899	 	  	 	5	 	 	 	2,028	 	  	 	5	 	 	 	2,089	 	  	 	5	 	 	 	2,143	 	  	 	5	 	
Technology and communications	  	 	3,582	 	  	 	9	 	  	 	3,424	 	  	 	9	 	 	 	3,346	 	  	 	8	 	 	 	3,329	 	  	 	8	 	 	 	3,422	 	  	 	8	 	
Transportation	  	 	2,017	 	  	 	5	 	  	 	1,945	 	  	 	5	 	 	 	1,973	 	  	 	5	 	 	 	1,943	 	  	 	5	 	 	 	2,001	 	  	 	5	 	
Other	  	 	2,625	 	  	 	6	 	  	 	2,879	 	  	 	7	 	 	 	2,836	 	  	 	7	 	 	 	2,909	 	  	 	7	 	 	 	3,001	 	  	 	7	 	
	  	 	 	 	  	 	 	 	  	 	 	 	  	 	 	 	 	 	 	 	  	 	 	 	 	 	 	 	  	 	 	 	 	 	 	 	  	 	 	 	
Subtotal	  	 	38,728	 	  	 	95	 	  	 	37,798	 	  	 	95	 	 	 	37,626	 	  	 	95	 	 	 	38,213	 	  	 	95	 	 	 	39,197	 	  	 	95	 	

Non-Investment Grade:	  				  			 	  				  				 				  				 				  				 				  				
Finance and insurance	  	 	183	 	  	 	—  	 	  	 	177	 	  	 	—  	 	 	 	196	 	  	 	—  	 	 	 	201	 	  	 	1	 	 	 	199	 	  	 	1	 	
Utilities	  	 	51	 	  	 	—  	 	  	 	57	 	  	 	—  	 	 	 	56	 	  	 	—  	 	 	 	77	 	  	 	—  	 	 	 	64	 	  	 	—  	 	
Energy	  	 	339	 	  	 	1	 	  	 	357	 	  	 	1	 	 	 	359	 	  	 	1	 	 	 	456	 	  	 	1	 	 	 	506	 	  	 	1	 	
Consumer—non-cyclical	  	 	192	 	  	 	1	 	  	 	193	 	  	 	1	 	 	 	201	 	  	 	1	 	 	 	224	 	  	 	1	 	 	 	180	 	  	 	1	 	
Consumer—cyclical	  	 	217	 	  	 	1	 	  	 	220	 	  	 	1	 	 	 	220	 	  	 	1	 	 	 	176	 	  	 	—  	 	 	 	172	 	  	 	—  	 	
Capital goods	  	 	130	 	  	 	—  	 	  	 	154	 	  	 	—  	 	 	 	157	 	  	 	—  	 	 	 	173	 	  	 	—  	 	 	 	163	 	  	 	—  	 	
Industrial	  	 	226	 	  	 	1	 	  	 	219	 	  	 	1	 	 	 	232	 	  	 	1	 	 	 	219	 	  	 	1	 	 	 	247	 	  	 	1	 	
Technology and communications	  	 	438	 	  	 	1	 	  	 	448	 	  	 	1	 	 	 	442	 	  	 	1	 	 	 	418	 	  	 	1	 	 	 	405	 	  	 	1	 	
Transportation	  	 	23	 	  	 	—  	 	  	 	13	 	  	 	—  	 	 	 	6	 	  	 	—  	 	 	 	17	 	  	 	—  	 	 	 	11	 	  	 	—  	 	
Other	  	 	72	 	  	 	—  	 	  	 	75	 	  	 	—  	 	 	 	76	 	  	 	—  	 	 	 	81	 	  	 	—  	 	 	 	103	 	  	 	—  	 	
	  	 	 	 	  	 	 	 	  	 	 	 	  	 	 	 	 	 	 	 	  	 	 	 	 	 	 	 	  	 	 	 	 	 	 	 	  	 	 	 	
Subtotal	  	 	1,871	 	  	 	5	 	  	 	1,913	 	  	 	5	 	 	 	1,945	 	  	 	5	 	 	 	2,042	 	  	 	5	 	 	 	2,050	 	  	 	5	 	
	  	 	 	 	  	 	 	 	  	 	 	 	  	 	 	 	 	 	 	 	  	 	 	 	 	 	 	 	  	 	 	 	 	 	 	 	  	 	 	 	
Total	  	$	40,599	 	  	 	100	% 	  	$	39,711	 	  	 	100	% 	 	$	39,571	 	  	 	100	% 	 	$	40,255	 	  	 	100	% 	 	$	41,247	 	  	 	100	% 	
	  	 	 	 	  	 	 	 	  	 	 	 	  	 	 	 	 	 	 	 	  	 	 	 	 	 	 	 	  	 	 	 	 	 	 	 	  	 	 	 	
Fixed Maturity Securities—Contractual Maturity Dates:	  				  			 	  				  				 				  				 				  				 				  				
	 	 									
Due in one year or less	  	$	1,874	 	  	 	3	% 	  	$	1,719	 	  	 	3	% 	 	$	1,701	 	  	 	3	% 	 	$	1,677	 	  	 	3	% 	 	$	1,738	 	  	 	3	% 	
Due after one year through five years	  	 	10,952	 	  	 	18	 	  	 	10,987	 	  	 	18	 	 	 	11,149	 	  	 	19	 	 	 	11,146	 	  	 	18	 	 	 	11,197	 	  	 	18	 	
Due after five years through ten years	  	 	12,463	 	  	 	21	 	  	 	12,531	 	  	 	21	 	 	 	12,601	 	  	 	21	 	 	 	12,876	 	  	 	21	 	 	 	12,865	 	  	 	20	 	
Due after ten years	  	 	24,886	 	  	 	42	 	  	 	24,739	 	  	 	42	 	 	 	24,708	 	  	 	41	 	 	 	25,129	 	  	 	41	 	 	 	26,154	 	  	 	42	 	
	  	 	 	 	  	 	 	 	  	 	 	 	  	 	 	 	 	 	 	 	  	 	 	 	 	 	 	 	  	 	 	 	 	 	 	 	  	 	 	 	
Subtotal	  	 	50,175	 	  	 	84	 	  	 	49,976	 	  	 	84	 	 	 	50,159	 	  	 	84	 	 	 	50,828	 	  	 	83	 	 	 	51,954	 	  	 	83	 	
Mortgage and asset-backed securities	  	 	9,486	 	  	 	16	 	  	 	9,428	 	  	 	16	 	 	 	9,873	 	  	 	16	 	 	 	10,252	 	  	 	17	 	 	 	10,571	 	  	 	17	 	
	  	 	 	 	  	 	 	 	  	 	 	 	  	 	 	 	 	 	 	 	  	 	 	 	 	 	 	 	  	 	 	 	 	 	 	 	  	 	 	 	
Total fixed maturity securities	  	$	59,661	 	  	 	100	% 	  	$	59,404	 	  	 	100	% 	 	$	60,032	 	  	 	100	% 	 	$	61,080	 	  	 	100	% 	 	$	62,525	 	  	 	100	% 	

 
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Table of Contents
 GENWORTH FINANCIAL, INC.
FINANCIAL SUPPLEMENT
FOURTH QUARTER 2018
 
General Account U.S. GAAP Net Investment Income Yields
(amounts in millions)

 	  	2018	 	 	2017	 	
 	  	4Q	 	  	3Q	 	 	2Q	 	 	1Q	 	 	Total	 	 	4Q	 	 	3Q	 	 	2Q	 	 	1Q	 	 	Total	 	
U.S. GAAP Net Investment Income	  			 	  				 				 				 				 				 				 				 				 				
Fixed maturity securities—taxable	  	$	648	 	  	$	643	 	 	$	651	 	 	$	635	 	 	$	2,577	 	 	$	648	 	 	$	640	 	 	$	649	 	 	$	641	 	 	$	2,578	 	
Fixed maturity securities—non-taxable	  	 	2	 	  	 	3	 	 	 	3	 	 	 	3	 	 	 	11	 	 	 	3	 	 	 	3	 	 	 	3	 	 	 	3	 	 	 	12	 	
Commercial mortgage loans	  	 	80	 	  	 	81	 	 	 	77	 	 	 	82	 	 	 	320	 	 	 	75	 	 	 	78	 	 	 	76	 	 	 	77	 	 	 	306	 	
Restricted commercial mortgage loans related to securitization entities	  	 	2	 	  	 	1	 	 	 	2	 	 	 	2	 	 	 	7	 	 	 	2	 	 	 	3	 	 	 	2	 	 	 	2	 	 	 	9	 	
Equity securities	  	 	9	 	  	 	11	 	 	 	10	 	 	 	10	 	 	 	40	 	 	 	10	 	 	 	9	 	 	 	9	 	 	 	8	 	 	 	36	 	
Other invested assets	  	 	49	 	  	 	41	 	 	 	42	 	 	 	37	 	 	 	169	 	 	 	39	 	 	 	35	 	 	 	30	 	 	 	31	 	 	 	135	 	
Limited partnerships	  	 	(4	) 	  	 	3	 	 	 	11	 	 	 	2	 	 	 	12	 	 	 	12	 	 	 	4	 	 	 	5	 	 	 	1	 	 	 	22	 	
Restricted other invested assets related to securitization entities	  	 	—  	 	  	 	—  	 	 	 	—  	 	 	 	—  	 	 	 	—  	 	 	 	—  	 	 	 	—  	 	 	 	1	 	 	 	—  	 	 	 	1	 	
Policy loans	  	 	44	 	  	 	41	 	 	 	41	 	 	 	43	 	 	 	169	 	 	 	33	 	 	 	39	 	 	 	39	 	 	 	42	 	 	 	153	 	
Cash, cash equivalents, restricted cash and short-term investments	  	 	12	 	  	 	13	 	 	 	14	 	 	 	12	 	 	 	51	 	 	 	10	 	 	 	10	 	 	 	10	 	 	 	6	 	 	 	36	 	
	  	 	 	 	  	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	
Gross investment income before expenses and fees	  	 	842	 	  	 	837	 	 	 	851	 	 	 	826	 	 	 	3,356	 	 	 	832	 	 	 	821	 	 	 	824	 	 	 	811	 	 	 	3,288	 	
Expenses and fees	  	 	(27	) 	  	 	(22	) 	 	 	(23	) 	 	 	(22	) 	 	 	(94	) 	 	 	(20	) 	 	 	(24	) 	 	 	(23	) 	 	 	(21	) 	 	 	(88	) 	
	  	 	 	 	  	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	
Net investment income	  	$	815	 	  	$	815	 	 	$	828	 	 	$	804	 	 	$	3,262	 	 	$	812	 	 	$	797	 	 	$	801	 	 	$	790	 	 	$	3,200	 	
	  	 	 	 	  	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	
Annualized Yields	  			 	  				 				 				 				 				 				 				 				 				
Fixed maturity securities—taxable	  	 	4.5	% 	  	 	4.5	% 	 	 	4.5	% 	 	 	4.4	% 	 	 	4.5	% 	 	 	4.5	% 	 	 	4.5	% 	 	 	4.6	% 	 	 	4.5	% 	 	 	4.5	% 	
Fixed maturity securities—non-taxable	  	 	3.7	% 	  	 	3.9	% 	 	 	3.8	% 	 	 	3.7	% 	 	 	4.0	% 	 	 	3.7	% 	 	 	3.7	% 	 	 	3.7	% 	 	 	3.7	% 	 	 	3.7	% 	
Commercial mortgage loans	  	 	4.8	% 	  	 	5.0	% 	 	 	4.8	% 	 	 	5.2	% 	 	 	4.9	% 	 	 	4.8	% 	 	 	5.0	% 	 	 	4.9	% 	 	 	5.0	% 	 	 	4.9	% 	
Restricted commercial mortgage loans related to securitization entities	  	 	10.8	% 	  	 	4.5	% 	 	 	8.4	% 	 	 	7.8	% 	 	 	7.9	% 	 	 	7.3	% 	 	 	10.5	% 	 	 	6.7	% 	 	 	6.4	% 	 	 	7.7	% 	
Equity securities	  	 	5.0	% 	  	 	5.7	% 	 	 	5.1	% 	 	 	5.1	% 	 	 	5.3	% 	 	 	5.4	% 	 	 	5.1	% 	 	 	5.3	% 	 	 	4.9	% 	 	 	5.2	% 	
Other invested assets	  	 	99.0	% 	  	 	107.9	% 	 	 	150.0	% 	 	 	129.8	% 	 	 	111.9	% 	 	 	167.7	% 	 	 	1251.7	% 	 	 	601.0	% 	 	 	81.1	% 	 	 	132.4	% 	
Limited partnerships (1)	  	 	-4.1	% 	  	 	3.4	% 	 	 	13.8	% 	 	 	2.9	% 	 	 	3.6	% 	 	 	19.1	% 	 	 	6.6	% 	 	 	8.6	% 	 	 	1.9	% 	 	 	9.4	% 	
Restricted other invested assets related to securitization entities	  	 	—  	% 	  	 	—  	% 	 	 	—  	% 	 	 	—  	% 	 	 	—  	% 	 	 	—  	% 	 	 	—  	% 	 	 	4.8	% 	 	 	—  	% 	 	 	1.1	% 	
Policy loans	  	 	9.5	% 	  	 	8.8	% 	 	 	9.0	% 	 	 	9.6	% 	 	 	9.2	% 	 	 	7.3	% 	 	 	8.6	% 	 	 	8.7	% 	 	 	9.6	% 	 	 	8.6	% 	
Cash, cash equivalents, restricted cash and short-term investments	  	 	1.8	% 	  	 	1.8	% 	 	 	1.7	% 	 	 	1.3	% 	 	 	1.6	% 	 	 	1.1	% 	 	 	1.1	% 	 	 	1.0	% 	 	 	0.7	% 	 	 	1.0	% 	
	  	 	 	 	  	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	
Gross investment income before expenses and fees	  	 	4.8	% 	  	 	4.8	% 	 	 	4.8	% 	 	 	4.8	% 	 	 	4.8	% 	 	 	4.7	% 	 	 	4.7	% 	 	 	4.7	% 	 	 	4.7	% 	 	 	4.7	% 	
Expenses and fees	  	 	-0.2	% 	  	 	-0.2	% 	 	 	-0.1	% 	 	 	-0.2	% 	 	 	-0.2	% 	 	 	-0.1	% 	 	 	-0.2	% 	 	 	-0.1	% 	 	 	-0.2	% 	 	 	-0.1	% 	
	  	 	 	 	  	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	
Net investment income	  	 	4.6	% 	  	 	4.6	% 	 	 	4.7	% 	 	 	4.6	% 	 	 	4.6	% 	 	 	4.6	% 	 	 	4.5	% 	 	 	4.6	% 	 	 	4.5	% 	 	 	4.6	% 	

Yields are based on net investment income as reported under U.S. GAAP and are consistent with how the company measures its investment performance for management purposes. Yields are annualized, for interim periods, and are calculated as net investment income as a percentage of average quarterly asset carrying values except for fixed maturity securities, derivatives and derivative counterparty collateral, which exclude unrealized fair value adjustments and securities lending activity, which is included in other invested assets and is calculated net of the corresponding securities lending liability. See page 49 herein for average invested assets and cash used in the yield calculation.

(1)  	Limited partnership investments are equity-based and do not have fixed returns by period.	
 
45

Table of Contents
 GENWORTH FINANCIAL, INC.
FINANCIAL SUPPLEMENT
FOURTH QUARTER 2018
Net Investment Gains (Losses), Net—Detail
(amounts in millions)

 	  	2018	 	 	2017	 	
 	  	4Q	 	  	3Q	 	 	2Q	 	 	1Q	 	 	Total	 	 	4Q	 	 	3Q	 	 	2Q	 	 	1Q	 	 	Total	 	
Net realized gains (losses) on available-for-sale securities:	  			 	  				 				 				 				 				 				 				 				 				
Fixed maturity securities:	  			 	  				 				 				 				 				 				 				 				 				
U.S. corporate	  	$	10	 	  	$	(6	) 	 	$	(7	) 	 	$	(3	) 	 	$	(6	) 	 	$	38	 	 	$	27	 	 	$	56	 	 	$	15	 	 	$	136	 	
U.S. government, agencies and government-sponsored enterprises	  	 	54	 	  	 	1	 	 	 	—  	 	 	 	—  	 	 	 	55	 	 	 	1	 	 	 	—  	 	 	 	1	 	 	 	(10	) 	 	 	(8	) 	
Foreign corporate	  	 	(6	) 	  	 	—  	 	 	 	(2	) 	 	 	(3	) 	 	 	(11	) 	 	 	1	 	 	 	(2	) 	 	 	3	 	 	 	20	 	 	 	22	 	
Foreign government	  	 	(4	) 	  	 	(2	) 	 	 	—  	 	 	 	—  	 	 	 	(6	) 	 	 	—  	 	 	 	(1	) 	 	 	1	 	 	 	2	 	 	 	2	 	
State and political subdivisions	  	 	(1	) 	  	 	—  	 	 	 	—  	 	 	 	—  	 	 	 	(1	) 	 	 	—  	 	 	 	—  	 	 	 	—  	 	 	 	—  	 	 	 	—  	 	
Mortgage-backed securities	  	 	(5	) 	  	 	(2	) 	 	 	2	 	 	 	(2	) 	 	 	(7	) 	 	 	(1	) 	 	 	—  	 	 	 	—  	 	 	 	—  	 	 	 	(1	) 	
Asset-backed securities	  	 	—  	 	  	 	—  	 	 	 	(1	) 	 	 	—  	 	 	 	(1	) 	 	 	(1	) 	 	 	—  	 	 	 	(8	) 	 	 	(5	) 	 	 	(14	) 	
Equity securities (1)	  	 	—  	 	  	 	—  	 	 	 	—  	 	 	 	—  	 	 	 	—  	 	 	 	2	 	 	 	3	 	 	 	—  	 	 	 	2	 	 	 	7	 	
Foreign exchange	  	 	2	 	  	 	1	 	 	 	—  	 	 	 	(1	) 	 	 	2	 	 	 	1	 	 	 	3	 	 	 	10	 	 	 	5	 	 	 	19	 	
	  	 	 	 	  	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	
Total net realized gains (losses) on available-for-sale securities	  	 	50	 	  	 	(8	) 	 	 	(8	) 	 	 	(9	) 	 	 	25	 	 	 	41	 	 	 	30	 	 	 	63	 	 	 	29	 	 	 	163	 	
	  	 	 	 	  	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	
Impairments:	  			 	  				 				 				 				 				 				 				 				 				
Corporate fixed maturity securities	  	 	—  	 	  	 	—  	 	 	 	—  	 	 	 	—  	 	 	 	—  	 	 	 	—  	 	 	 	—  	 	 	 	—  	 	 	 	(1	) 	 	 	(1	) 	
Limited partnerships	  	 	—  	 	  	 	—  	 	 	 	—  	 	 	 	—  	 	 	 	—  	 	 	 	(1	) 	 	 	—  	 	 	 	(1	) 	 	 	—  	 	 	 	(2	) 	
Equity securities	  	 	—  	 	  	 	—  	 	 	 	—  	 	 	 	—  	 	 	 	—  	 	 	 	(1	) 	 	 	(1	) 	 	 	(1	) 	 	 	—  	 	 	 	(3	) 	
	  	 	 	 	  	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	
Total impairments	  	 	—  	 	  	 	—  	 	 	 	—  	 	 	 	—  	 	 	 	—  	 	 	 	(2	) 	 	 	(1	) 	 	 	(2	) 	 	 	(1	) 	 	 	(6	) 	
	  	 	 	 	  	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	
Net realized gains (losses) on equity securities sold (1)	  	 	1	 	  	 	—  	 	 	 	8	 	 	 	2	 	 	 	11	 	 	 	—  	 	 	 	—  	 	 	 	—  	 	 	 	—  	 	 	 	—  	 	
Net unrealized gains (losses) on equity securities still held (1)	  	 	(83	) 	  	 	—  	 	 	 	3	 	 	 	(18	) 	 	 	(98	) 	 	 	—  	 	 	 	—  	 	 	 	—  	 	 	 	—  	 	 	 	—  	 	
Trading securities	  	 	—  	 	  	 	—  	 	 	 	—  	 	 	 	—  	 	 	 	—  	 	 	 	—  	 	 	 	—  	 	 	 	1	 	 	 	—  	 	 	 	1	 	
Limited partnerships	  	 	3	 	  	 	3	 	 	 	(2	) 	 	 	7	 	 	 	11	 	 	 	—  	 	 	 	—  	 	 	 	—  	 	 	 	—  	 	 	 	—  	 	
Commercial mortgage loans held-for-sale market valuation allowance	  	 	—  	 	  	 	—  	 	 	 	—  	 	 	 	—  	 	 	 	—  	 	 	 	—  	 	 	 	1	 	 	 	1	 	 	 	1	 	 	 	3	 	
Net gains (losses) related to securitization entities	  	 	—  	 	  	 	—  	 	 	 	—  	 	 	 	—  	 	 	 	—  	 	 	 	2	 	 	 	1	 	 	 	2	 	 	 	2	 	 	 	7	 	
Derivative instruments	  	 	(85	) 	  	 	18	 	 	 	(15	) 	 	 	(13	) 	 	 	(95	) 	 	 	4	 	 	 	54	 	 	 	36	 	 	 	3	 	 	 	97	 	
	  	 	 	 	  	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	
Net investment gains (losses), gross	  	 	(114	) 	  	 	13	 	 	 	(14	) 	 	 	(31	) 	 	 	(146	) 	 	 	45	 	 	 	85	 	 	 	101	 	 	 	34	 	 	 	265	 	
Adjustment for DAC and other intangible amortization and certain benefit reserves	  	 	5	 	  	 	3	 	 	 	1	 	 	 	3	 	 	 	12	 	 	 	3	 	 	 	—  	 	 	 	—  	 	 	 	—  	 	 	 	3	 	
Adjustment for net investment (gains) losses attributable to noncontrolling interests	  	 	67	 	  	 	(13	) 	 	 	1	 	 	 	11	 	 	 	66	 	 	 	(7	) 	 	 	(23	) 	 	 	(22	) 	 	 	(14	) 	 	 	(66	) 	
	  	 	 	 	  	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	
Net investment gains (losses), net	  	$	(42	) 	  	$	3	 	 	$	(12	) 	 	$	(17	) 	 	$	(68	) 	 	$	41	 	 	$	62	 	 	$	79	 	 	$	20	 	 	$	202	 	

 

(1)  	The change in the classification of equity securities related to the impact of adopting new accounting guidance related to the recognition and measurement of financial assets and financial liabilities on January 1, 2018.	
 
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Reconciliations of Non-GAAP Measures

 
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 GENWORTH FINANCIAL, INC.
FINANCIAL SUPPLEMENT
FOURTH QUARTER 2018
Reconciliation of Operating ROE
(amounts in millions)

	Twelve Month Rolling Average ROE	  	Twelve months ended	 	
 	  	December 31,
2018	 	 	September 30,
2018	 	  	June 30,
2018	 	  	March 31,
2018	 	  	December 31,
2017	 		
U.S. GAAP Basis ROE	  				 				  				  				  					
Net income available to Genworth Financial, Inc.’s common stockholders for the twelve months ended (1)	  	$	119	 	 	$	801	 	  	$	762	 	  	$	774	 	  	$	817	 		
Quarterly average Genworth Financial, Inc.’s stockholders’ equity, excluding accumulated other comprehensive income (loss) (2)	  	$	10,500	 	 	$	10,426	 	  	$	10,264	 	  	$	10,091	 	  	$	9,923	 		
U.S. GAAP Basis ROE (1)/(2)	  	 	1.1	% 	 	 	7.7	% 	  	 	7.4	% 	  	 	7.7	% 	  	 	8.2	% 		
							
Operating ROE	  				 				  				  				  					
Adjusted operating income for the twelve months ended (1)	  	$	179	 	 	$	796	 	  	$	727	 	  	$	678	 	  	$	696	 		
Quarterly average Genworth Financial, Inc.’s stockholders’ equity, excluding accumulated other comprehensive income (loss) (2)	  	$	10,500	 	 	$	10,426	 	  	$	10,264	 	  	$	10,091	 	  	$	9,923	 		
Operating ROE (1)/(2)	  	 	1.7	% 	 	 	7.6	% 	  	 	7.1	% 	  	 	6.7	% 	  	 	7.0	% 		
			
	Quarterly Average ROE	  	Three months ended	 	
 	  	December 31,
2018	 	 	September 30,
2018	 	  	June 30,
2018	 	  	March 31,
2018	 	  	December 31,
2017	 		
U.S. GAAP Basis ROE	  				 				  				  				  					
Net income (loss) available to Genworth Financial, Inc.’s common stockholders for the period ended (3)	  	$	(329	) 	 	$	146	 	  	$	190	 	  	$	112	 	  	$	353	 		
Quarterly average Genworth Financial, Inc.’s stockholders’ equity for the period, excluding accumulated other comprehensive income (loss) (4)	  	$	10,569	 	 	$	10,657	 	  	$	10,487	 	  	$	10,391	 	  	$	10,213	 		
Annualized U.S. GAAP Quarterly Basis ROE (3)/(4)	  	 	(12.5	)% 	 	 	5.5	% 	  	 	7.2	% 	  	 	4.3	% 	  	 	13.8	% 		
							
Operating ROE	  				 				  				  				  					
Adjusted operating income (loss) for the period ended (3)	  	$	(291	) 	 	$	145	 	  	$	200	 	  	$	125	 	  	$	326	 		
Quarterly average Genworth Financial, Inc.’s stockholders’ equity for the period, excluding accumulated other comprehensive income (loss) (4)	  	$	10,569	 	 	$	10,657	 	  	$	10,487	 	  	$	10,391	 	  	$	10,213	 		
Annualized Operating Quarterly Basis ROE (3)/(4)	  	 	(11.0	)% 	 	 	5.4	% 	  	 	7.6	% 	  	 	4.8	% 	  	 	12.8	% 		
Non-GAAP Definition for Operating ROE
The company references the non-GAAP financial measure entitled “operating return on equity” or “operating ROE.” The company defines operating ROE as adjusted operating income (loss) divided by average ending Genworth Financial, Inc.’s stockholders’ equity, excluding accumulated other comprehensive income (loss) in average ending Genworth Financial, Inc.’s stockholders’ equity. Management believes that analysis of operating ROE enhances understanding of the efficiency with which the company deploys its capital. However, operating ROE is not a substitute for net income (loss) available to Genworth Financial, Inc.’s common stockholders divided by average ending Genworth Financial, Inc.’s stockholders’ equity determined in accordance with U.S. GAAP.

(1)  	The twelve months ended information is derived by adding the four quarters of net income (loss) available to Genworth Financial, Inc.’s common stockholders and adjusted operating income (loss) from page 9 herein.	
(2)  	Quarterly average Genworth Financial, Inc.’s stockholders’ equity, excluding accumulated other comprehensive income (loss), is derived by averaging ending Genworth Financial, Inc.’s stockholders’ equity, excluding accumulated other comprehensive income (loss), for the most recent five quarters.	
(3)  	Net income (loss) available to Genworth Financial, Inc.’s common stockholders and adjusted operating income (loss) from page 9 herein.	
(4)  	Quarterly average Genworth Financial, Inc.’s stockholders’ equity, excluding accumulated other comprehensive income (loss), is derived by averaging ending Genworth Financial, Inc.’s stockholders’ equity, excluding accumulated other comprehensive income (loss).	
 
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 GENWORTH FINANCIAL, INC.
FINANCIAL SUPPLEMENT
FOURTH QUARTER 2018
Reconciliation of Core Yield

 	  	 	  	2018	 	 	2017	 	
	  	(Assets—amounts in billions)	  	 	4Q	 	  	 	3Q	 	 	 	2Q	 	 	 	1Q	 	 	 	Total	 	 	 	4Q	 	 	 	3Q	 	 	 	2Q	 	 	 	1Q	 	 	 	Total	 	
	  	Reported—Total Invested Assets and Cash	  	$	72.3	 	  	$	72.6	 	 	$	73.1	 	 	$	74.6	 	 	$	72.3	 	 	$	76.3	 	 	$	75.9	 	 	$	76.1	 	 	$	74.7	 	 	$	76.3	 	
	  	Subtract:	  			 	  				 				 				 				 				 				 				 				 				
	  	Securities lending	  	 	0.1	 	  	 	0.2	 	 	 	0.2	 	 	 	0.2	 	 	 	0.1	 	 	 	0.3	 	 	 	0.2	 	 	 	0.2	 	 	 	0.3	 	 	 	0.3	 	
	  	Unrealized gains (losses)	  	 	1.9	 	  	 	2.2	 	 	 	2.7	 	 	 	3.7	 	 	 	1.9	 	 	 	5.4	 	 	 	5.1	 	 	 	5.6	 	 	 	4.6	 	 	 	5.4	 	
	  		  	 	 	 	  	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	
	  	Adjusted end of period invested assets and cash	  	$	70.3	 	  	$	70.2	 	 	$	70.2	 	 	$	70.7	 	 	$	70.3	 	 	$	70.6	 	 	$	70.6	 	 	$	70.3	 	 	$	69.8	 	 	$	70.6	 	
	  		  	 	 	 	  	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	
(A)	  	Average Invested Assets and Cash Used in Reported Yield Calculation	  	$	70.2	 	  	$	70.2	 	 	$	70.4	 	 	$	70.7	 	 	$	70.4	 	 	$	70.6	 	 	$	70.5	 	 	$	70.1	 	 	$	69.7	 	 	$	70.1	 	
	  	Subtract:	  			 	  				 				 				 				 				 				 				 				 				
	  	Restricted commercial mortgage loans and other invested assets related to securitization entities (1)	  	 	—  	 	  	 	—  	 	 	 	—  	 	 	 	0.1	 	 	 	—  	 	 	 	—  	 	 	 	0.1	 	 	 	0.1	 	 	 	0.1	 	 	 	0.1	 	
	  		  	 	 	 	  	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	
(B)	  	Average Invested Assets and Cash Used in Core Yield Calculation	  	$	70.2	 	  	$	70.2	 	 	$	70.4	 	 	$	70.6	 	 	$	70.4	 	 	$	70.6	 	 	$	70.4	 	 	$	70.0	 	 	$	69.6	 	 	$	70.0	 	
	  		  	 	 	 	  	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	
	  	(Income—amounts in millions)	  			 	  				 				 				 				 				 				 				 				 				
		 										
(C)	  	Reported—Net Investment Income	  	$	815	 	  	$	815	 	 	$	828	 	 	$	804	 	 	$	3,262	 	 	$	812	 	 	$	797	 	 	$	801	 	 	$	790	 	 	$	3,200	 	
	  	Subtract:	  			 	  				 				 				 				 				 				 				 				 				
	  	Bond calls and commercial mortgage loan prepayments	  	 	8	 	  	 	8	 	 	 	9	 	 	 	11	 	 	 	36	 	 	 	13	 	 	 	10	 	 	 	8	 	 	 	6	 	 	 	37	 	
	  	Other non-core items (2)	  	 	2	 	  	 	1	 	 	 	2	 	 	 	(2	) 	 	 	3	 	 	 	3	 	 	 	3	 	 	 	8	 	 	 	3	 	 	 	17	 	
	  	Restricted commercial mortgage loans and other invested assets related to securitization entities (1)	  	 	1	 	  	 	1	 	 	 	—  	 	 	 	1	 	 	 	3	 	 	 	2	 	 	 	1	 	 	 	2	 	 	 	1	 	 	 	6	 	
	  		  	 	 	 	  	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	
(D)	  	Core Net Investment Income	  	$	804	 	  	$	805	 	 	$	817	 	 	$	794	 	 	$	3,220	 	 	$	794	 	 	$	783	 	 	$	783	 	 	$	780	 	 	$	3,140	 	

(C) / (A)	  	Reported Yield	  	 	4.64	% 	  	 	4.64	% 	 	 	4.70	% 	 	 	4.55	% 	 	 	4.63	% 	 	 	4.60	% 	 	 	4.52	% 	 	 	4.57	% 	 	 	4.53	% 	 	 	4.56	% 	
(D) / (B)	  	Core Yield	  	 	4.58	% 	  	 	4.59	% 	 	 	4.64	% 	 	 	4.50	% 	 	 	4.58	% 	 	 	4.50	% 	 	 	4.45	% 	 	 	4.47	% 	 	 	4.48	% 	 	 	4.48	% 	
Note:    Yields have been annualized.
Non-GAAP Definition for Core Yield
The company references the non-GAAP financial measure entitled “core yield” as a measure of investment yield. The company defines core yield as the investment yield adjusted for items that do not reflect the underlying performance of the investment portfolio. Management believes that analysis of core yield enhances understanding of the investment yield of the company. However, core yield is not a substitute for investment yield determined in accordance with U.S. GAAP.

(1)  	Represents the incremental assets and investment income related to restricted commercial mortgage loans and other invested assets.	
(2)  	Includes cost basis adjustments on structured securities and various other immaterial items.	
 
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Corporate Information

 
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 GENWORTH FINANCIAL, INC.
FINANCIAL SUPPLEMENT
FOURTH QUARTER 2018
Financial Strength Ratings As Of February 4, 2019

	Company	  	Standard & Poor’s Financial
Services LLC (S&P)	  	Moody’s Investors Service,
Inc. (Moody’s)	  	A.M. Best Company, Inc.
(A.M. Best)	
Genworth Mortgage Insurance Corporation	  	BB+ (Marginal)	  	Ba1 (Questionable)	  	Not rated		
Genworth Financial Mortgage Insurance Company Canada (1)	  	A+ (Strong)	  	Not rated	  	Not rated		
Genworth Financial Mortgage Insurance Pty Limited (Australia) (2)	  	A+ (Strong)	  	Baa1 (Adequate)	  	Not rated		
Genworth Life Insurance Company	  	B- (Weak)	  	B3 (Poor)	  	B- (Fair)		
Genworth Life and Annuity Insurance Company	  	B- (Weak)	  	Ba3 (Questionable)	  	B+ (Good)		
Genworth Life Insurance Company of New York	  	B- (Weak)	  	B3 (Poor)	  	B- (Fair)		
The S&P, Moody’s, A.M. Best, Dominion Bond Rating Service (DBRS) and Fitch Rating Service (Fitch) ratings included are not designed to be, and do not serve as, measures of protection or valuation offered to investors. These financial strength ratings should not be relied on with respect to making an investment in the company’s securities.
S&P states that insurers rated “A” (Strong), “BB” (Marginal) or “B” (Weak) have strong, marginal or weak financial security characteristics, respectively. The “A,” “BB” and “B” ranges are the third-, fifth- and sixth-highest of nine financial strength rating ranges assigned by S&P, which range from “AAA” to “R.” A plus (+) or minus (-) shows relative standing within a major rating category. These suffixes are not added to ratings in the “AAA” category or to ratings below the “CCC” category. Accordingly, the “A+,” “BB+” and “B-” ratings are the fifth-, eleventh- and sixteenth-highest of S&P’s 21 ratings categories.
Moody’s states that insurance companies rated “Baa” (Adequate) offer adequate financial security and that insurance companies rated “Ba” (Questionable) or “B” (Poor) offer questionable financial security. The “Baa” (Adequate), “Ba” (Questionable) and “B” (Poor) ranges are the fourth-, fifth- and sixth-highest, respectively, of nine financial strength rating ranges assigned by Moody’s, which range from “Aaa” to “C.” Numeric modifiers are used to refer to the ranking within the group, with 1 being the highest and 3 being the lowest. These modifiers are not added to ratings in the “Aaa” category or to ratings below the “Caa” category. Accordingly, the “Baa1,” “Ba1,” “Ba3” and “B3” ratings are the eighth-, eleventh-, thirteenth- and sixteenth-highest, respectively, of Moody’s 21 ratings categories.
A.M. Best states that its “B+” (Good) rating is assigned to those companies that have, in its opinion, a good ability to meet their ongoing insurance obligations while “B-” (Fair) is assigned to those companies that have, in its opinion, a fair ability to meet their ongoing insurance obligations. The “B+” (Good) and “B-” (Fair) ratings are the sixth- and eighth-highest of 15 ratings assigned by A.M. Best, which range from “A++” to “F.”
DBRS states that long-term obligations rated “AA” are of superior credit quality. The capacity for the payment of financial obligations is considered high and unlikely to be significantly vulnerable to future events. Credit quality differs from “AAA” only to a small degree.
The Australian mortgage insurance subsidiary also solicits a rating from Fitch. Fitch states that “A” (Strong) rated insurance companies are viewed as possessing strong capacity to meet policyholder and contract obligations. The “A” rating category is the third-highest of nine financial strength rating categories, which range from “AAA” to “C.” The symbol (+) or (-) may be appended to a rating to indicate the relative position of a credit within a rating category. These suffixes are not added to ratings in the “AAA” category or to ratings below the “B” category. Accordingly, the “A+” rating is the fifth-highest of Fitch’s 21 ratings categories.
The company also solicits a rating from HR Ratings on a local scale for Genworth Seguros de Credito a la Vivienda S.A. de C.V., its Mexican mortgage insurance subsidiary, with a short-term rating of “HR1” and long-term rating of “HR AA.” For short-term ratings, HR Ratings states that “HR1” rated companies are viewed as exhibiting high capacity for timely payment of debt obligations in the short-term and maintain low credit risk. The “HR1” short-term rating category is the highest of six short-term rating categories, which range from “HR1” to “HR D.” For long-term ratings, HR Ratings states that “HR AA” rated companies are viewed as having high credit quality and offer high safety for timely payment of debt obligations and maintain low credit risk under adverse economic scenarios. The “HR AA” long-term rating is the second-highest of HR Rating’s eight long-term rating categories, which range from “HR AAA” to “HR D.”
S&P, Moody’s, A.M. Best, DBRS, Fitch and HR Ratings review their ratings periodically and the company cannot assure you that it will maintain the current ratings in the future. Other agencies may also rate the company or its insurance subsidiaries on a solicited or an unsolicited basis.

(1)  	Genworth Financial Mortgage Insurance Company Canada is also rated “AA” by DBRS.	
(2)  	Genworth Financial Mortgage Insurance Pty Limited (Australia) is also rated “A+” by Fitch.	
 
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Earnings Summary February 5, 2019 Fourth Quarter 2018 Exhibit 99.3

Genworth 4Q18 Earnings Presentation – February 5, 2019 This presentation contains certain “forward-looking statements” within the meaning of the United States Private Securities Litigation Reform Act of 1995. Forward-looking statements may be identified by words such as “expects,” “anticipates,” “intends,” “plans,” “believes,” “seeks,” “estimates,” “will” or words of similar meaning & include, but are not limited to, statements regarding the outlook for future business and financial performance of Genworth Financial, Inc. (Genworth) and its consolidated subsidiaries. Forward-looking statements are based on management’s current expectations and assumptions, which are subject to inherent uncertainties, risks and changes in circumstances that are difficult to predict. Actual outcomes and results may differ materially due to global political, economic, business, competitive, market, regulatory and other factors and risks, including those discussed at the end of this presentation, as well as in the risk factors section of Genworth’s Annual Report on Form 10-K, filed with the United States Securities and Exchange Commission (SEC) on February 28, 2018. Genworth undertakes no obligation to publicly update any forward-looking statement, whether as a result of new information, future developments or otherwise. Non-GAAP1 And Other Items All financial results are as of December 31, 2018 unless otherwise noted. For additional information, please see Genworth’s fourth quarter of 2018 earnings release and financial supplement posted at genworth.com. For important information regarding the use of non-GAAP1 and selected operating performance measures, see the Appendix. Unless otherwise noted, all references in this presentation to net income (loss), net income (loss) per share, adjusted operating income (loss) and adjusted operating income (loss) per share should be read as net income (loss) available to Genworth’s common stockholders, net income (loss) available to Genworth’s common stockholders per diluted share, adjusted operating income (loss) available to Genworth’s common stockholders and adjusted operating income (loss) available to Genworth’s common stockholders per diluted share, respectively. Cautionary Note Regarding Forward-Looking Statements 1U.S. Generally Accepted Accounting Principles

Key Financial Themes For The 4th Quarter Financial Performance Genworth 2018 Full Year Net Income of $119MM, Or $0.24 Per Diluted Share, And Adjusted Operating Income1 Of $179MM, Or $0.36 Per Diluted Share U.S. Mortgage Insurance (MI) 2018 Full Year Adjusted Operating Income Of $490MM, Increased 58% Compared To 2017 Strong Capital Levels Above Management Targets In U.S., Canada And Australia MI Annual U.S. GAAP Reserve Review Completed For U.S. Life Insurance: Long Term Care Insurance (LTC) Maintaining Active Life GAAP Margins Of ~$0.5 To $1.0B, Consistent With Prior Year After-Tax Increase In LTC Reserves Of $258MM Related To Changes To Benefit Utilization Rate, Claim Termination Rate And Other Assumptions Universal Life Insurance2 After-Tax Charge Of $91MM Primarily Related To Mortality And Interest Rate Assumption Updates Continued Progress Toward Multi-Year LTC Rate Action Plan (MYRAP) With Nearly $400MM Incremental Annual Premium Increases Approved In 2018, With A Net Present Value (NPV) Of Over $2B Cumulative Incremental Annual LTC Premium Increases Since 2012 Of ~$10.5B On An NPV Basis, Representing Approximately 65% Of Total Amount Required Under The MYRAP Holding Company Cash & Liquid Assets Of $504MM Genworth 4Q18 Earnings Presentation – February 5, 2019 1Non-GAAP Measure. See Appendix For Additional Information 2Includes Both Universal Life And Term Universal Life Insurance Products

4Q18 Results Summary – Genworth Consolidated U.S. MI: $124MM Insurance In Force Growth, Favorable Loss Performance And Lower 2018 Tax Rate Continue To Drive Strong Results Canada MI: $48MM Higher Losses Compared To Both Prior Quarter And Prior Year Attributable Primarily To Activity In Alberta Tax Rate Favorability Driving Improved Performance Australia MI: $18MM Prior Year Results Included Unfavorable $141MM Impact Due To Earnings Pattern Adjustment U.S. Life Insurance: $(425)MM Current Quarter Results Reflect After-Tax Charges Of $258MM For LTC & $91MM For Life Following Annual Assumption Updates Fixed Annuities Recorded $17MM After-Tax Charges Primarily Related To Loss Recognition Testing (LRT) Unfavorable Existing Claims Performance In LTC Runoff: $(2)MM Unfavorable Market Performance Relative To Prior Quarter & Prior Year Corporate & Other: $(54)MM Prior Year Results Included $456MM Favorable Tax Impacts From Tax Reform & Improved Business Forecasts Adjusted Operating Income (Loss) ($MM) Genworth 4Q18 Earnings Presentation – February 5, 2019 Net Loss (329) 145 326 Net Income 353 Net Income 146 4Q18 3Q18 4Q17 (291) U.S. MI U.S. Life Corp/Other Runoff Canada MI

U.S. Mortgage Insurance ($MM) ($MM) Benefits/Changes In Policy Reserves Premiums Flow NIW9,30010,30010,200 Loss Ratio7%11%22% Primary Delqs (#)17,15916,87423,188 Primary New Delqs (#)8,7197,88411,979 Primary Paid Claims (#)8331,204880 Primary Cures (#)7,6017,8578,419 % Of RIF1 2009+88%87%84% 1Risk In Force Genworth 4Q18 Earnings Presentation – February 5, 2019 Premium Increase Versus Prior Quarter & Prior Year Primarily Due To Continued Growth In Insurance In Force New Insurance Written (NIW) Decreased 10% Sequentially Due Primarily To A Seasonally Smaller Purchase Originations Market Single Premium NIW Concentration Down Three Points From 18% To 15% Versus Prior Quarter And Down Eight Points From Prior Year From Selective Participation Lower Losses & Loss Ratio Resulted From Continued Favorable Performance Losses Improved Versus Prior Year Due To Lower New Delinquencies And Reserve Factors And Impact of 2017 Hurricanes On Prior Year Results Full Year Loss Ratio 5%, Reduced Four Points By 2018 Factor Updates RIF From 2009+ Continues To Grow As A Percent Of Total

Flow NIW3,3004,2003,600 Bulk NIW900600800 Canada Mortgage Insurance ($MM) ($MM) Loss Ratio18%14%9% Total Delqs (#)1,6841,6951,718 New Delqs (#)901913984 Paid Claims (#)337375387 Cures (#)575585638 Benefits/Changes In Policy Reserves Premiums Unfavorable $5MM Impact On Earned Premium From Foreign Exchange (FX) Versus Prior Year Flow NIW Down 21% Versus The Prior Quarter From A Seasonally Smaller Originations Market Loss Ratio Increased Sequentially And Versus Prior Year Primarily From Higher Average Reserves On Delinquencies In Alberta 2018 Full Year Loss Ratio 15% Genworth 4Q18 Earnings Presentation – February 5, 2019

Australia Mortgage Insurance ($MM) ($MM) Benefits/Changes In Policy Reserves Premiums Flow NIW4,0003,8004,200 Bulk NIW800-- Loss Ratio129%31%(7)% Total Delqs (#)7,1457,3506,696 New Delqs (#)2,3902,7422,463 Paid Claims (#)325320385 Cures (#)2,2702,3782,528 Unfavorable $7MM Earned Premium Impact From FX Versus Prior Year Prior Year Results Included $(468)MM Impact Due To Change To Premium Earnings Pattern Earned Premiums Down Sequentially Due To Portfolio Seasoning Losses Down Sequentially Due To Seasonally Lower New Delinquencies, Net Of Cures 4Q17 Loss Ratio Reduced By 35 Points By Change In Premium Earnings Pattern 2018 Full Year Loss Ratio 30% Genworth 4Q18 Earnings Presentation – February 5, 2019 1 Different Accounting Treatment Under U.S. GAAP And Australia Accounting Standards For The Premium Earnings Pattern Change In 4Q17 May Cause Reported Loss And Expense Ratios To Differ Materially Between The Two Standards

MI Businesses – Capital Adequacy1 1Company Estimate For 4Q18, Due To Timing Of The Filing Of Statutory Statements; 2Risk-To-Capital; 3Calculated As Available Assets Divided By Required Assets As Defined Within PMIERs. As Of September 30, 2018 And December 31, 2017, The PMIERs Sufficiency Ratios Were In Excess Of $750MM & $550MM, Respectively, Of Available Assets Above The PMIERs Requirements; 4Minimum Capital Test; 5Prescribed Capital Amount MCT Above Regulatory Minimum Requirement Of 150% & Operating Range Of 160 - 165% Compliant With Regulatory Capital Changes That Became Effective January 1, 2019 Target PCA Range: 132 to 144% Operating MCT Range: 160-165% Lower Required Capital Due To Portfolio Seasoning Increased Available Capital From Earnings And No Dividends Or Share Repurchases During The Quarter Strong PMIERs Sufficiency Ratio In Excess Of $750MM Above Requirements More Than $550MM Above PMIERs 2.0 Requirements Effective March 31, 2019 Australia – PCA5 (%) Canada – MCT4 (%) U.S. MI – Consolidated RTC2 Target RTC Ratio: <18.0:1 PMIERs Sufficiency3129% 130%121% Genworth 4Q18 Earnings Presentation – February 5, 2019 171 171 172

($MM) Adjusted Operating Income (Loss) (425) (3) (69) Life Fixed Annuities LTC 4Q18 Summary – U.S. Life Insurance Highlights LTC: $(314)MM Current Quarter Results Include $258MM After-Tax Charges From Assumption Updates Following Claims Review Higher New Claim Severity Following Assumption Updates Unfavorable Existing Claims Performance Including Higher Utilization & Seasonally Lower Terminations Higher Premiums And Benefit Reductions From In Force Rate Actions Life Insurance: $(108)MM Annual Assumption Reviews Resulted In After-Tax Charges of $91MM In 4Q18 & $74MM In 4Q17 Results Versus Prior Quarter And Prior Year Reflect Lower Premiums Due To Runoff Of Block Universal Life Mortality Remains Elevated Fixed Annuities: $(3)MM Results Included After-Tax Charges of $17MM In 4Q18 & $30MM In 4Q17 Primarily Related to LRT Reserve Increases Lower Core Spreads Due To Lower Variable Investment Income And Runoff Of Block Negative Reserve Impact Due To Market Decline During The Quarter Genworth 4Q18 Earnings Presentation – February 5, 2019 4Q18 3Q18 4Q17

Benefits & Other Changes In Policy Reserves Long Term Care Insurance Higher Investment Income Compared To Prior Year Due To Continued Growth In Invested Assets Lower Yield Primarily From Limited Partnerships $88MM Estimated Pre-Tax Benefit In 4Q18 From Implemented In Force Premium Rate Actions From 2012 Through 20181 Reserve Strengthening Of $327MM Pre-Tax In 4Q18 $140MM Estimated Pre-Tax Benefit In 4Q18 From Implemented In Force Premium Rate Actions From 2012 Through 20181 Net Investment Income & Yield Premiums 138% 83% 82% 1$216MM Total Pre-Tax (Or $171MM After-Tax) Impact In 4Q18 From Rate Actions, Includes $(12)MM Pre-Tax Impact From Commissions, Premium Tax & Other Adjustments ($MM) ($MM) ($MM) Genworth 4Q18 Earnings Presentation – February 5, 2019 Loss Ratio 398 397 386

LTC: Annual Assumption Review GAAP & Statutory Margin Testing Margin Testing Results PGAAP Positive Margin Higher Than Prior Year; No Unlocking Of Reserves HGAAP Positive Margin Although Decline From Prior Year Statutory In Process Key Assumption & Model Updates Included Routine Updates For Lapse, Mortality & Incidence Assumptions Claim Severity Assumptions Updated To Be Consistent With Claim Reserve Approach…Modest Negative Impact To Margin Future Rate Action Plan Updated To Reflect Latest Assumption Updates & Policyholder Behavior Experience Projections Include Unchanged Morbidity & Mortality Improvement Assumptions (Individual Reimbursement Block Only) Supported By Company Experience ~$0.5 To $1.0B Ending Margin, Consistent With Prior Year Genworth 4Q18 Earnings Presentation – February 5, 2019

Genworth 4Q18 Earnings Presentation – February 5, 2019 Significant Progress On Multi-Year Rate Action Plan With Nearly $400MM Of Incremental Annual Premium Increases Approved In 2018 - Represents Over $2B In NPV Achieved ~$10.5B NPV From Approved Rate Increases Since 2012, Representing Approximately 65% Progress Towards The Multi-Year LTC Rate Action Plan Consistent With Loss Recognition Testing Genworth Continues To Work Closely With State Regulators To Demonstrate Need For Actuarially Justified Rate Increases In Order To Pay Future Claims Multi-Year LTC Premium Rate Action Plan Update

Approved Filings 2013 2014 2015 2016 2017 2018 State Filings Approved 155 74 69 96 114 120 Impacted In Force Premium ($MM) 753 492 739 719 714 875 Weighted Average % Rate Increase Approved on Impacted In Force 40% 18% 29% 28% 28% 45% Filings Submitted 2013 2014 2015 2016 2017 2018 State Filings Submitted 46 96 79 79 226 97 In Force Premium Submitted ($MM) 719 860 546 834 1,280 848 Estimated Adjusted Operating Income From Rate Actions2 ($MM) 1Includes All Implemented Rate Actions Since 2012. Earned Premium & Reserve Change Estimates Reflect Certain Simplifying Assumptions That May Vary Materially From Actual Historical Results, Including But Not Limited To, A Uniform Rate Of Co-Insurance & Premium Taxes In Addition To Consistent Policyholder Behavior Over Time. Actual Behavior May Differ Significantly From These Assumptions; Excludes Reserve Updates Resulting From Profits Followed By Losses; 2Estimated Adjusted Operating Income From Rate Actions Includes Estimates For Commissions & Premium Taxes, Net Of Tax Of $(3)MM, $(8)MM, $(14)MM, $(19)MM, $(25)MM & $(34)MM Respectively; 32016 Included $(4)MM After-Tax Unfavorable Correction Related To The Calculation For Reduced Benefit Options Premiums, Net Reserve Changes, Net Rate Action Progress Estimated Impact To Adjusted Operating Income (Loss) From Rate Actions & Key Drivers1 Genworth 4Q18 Earnings Presentation – February 5, 2019 3 74 186 255 385 422 583 LTC In Force Premium Rate Increases

Individual LTC In Force1 Policy Information 13 1In Force Data As of 4Q18 Excludes Group Business And Assumed Business From RiverSource, Travelers (Through Brighthouse Financial), & Continental Life; 2Includes Policies Sold In California Between 2010 & 2013; 3My Future My Plan (AARP Branded Product); 4Includes Rate Actions Implemented As Of 12/31/2018; 5Reflects Both Active And Pending Claims Note: Other Product Abbreviations Above: PCS = Privileged Care Select, PC = Privileged Choice Lifetime Benefit Period~150% ~210% ~180% ~110% ~60% - - - - Limited Benefit Period ~80% ~160% ~150% ~90% ~60% - - - - Total~105% ~190% ~170% ~100% ~60% - - - - Average Cumulative Rate Increase Approvals Through 12/31/2018 Genworth 4Q18 Earnings Presentation – February 5, 2019 Cumulative Rate Increase Approvals For Individual States Range From A Low Of 0-10% For Each Product To A High Of Greater Than 300%

Benefits & Other Changes In Policy Reserves Life Insurance Premium Reduction From 4Q17 Reinsurance Of A Block Of Term Life Business And Run Off Of Existing Blocks Net Investment Income & Yield Premiums & Policy Fees & Other Income ($MM) ($MM) ($MM) Genworth 4Q18 Earnings Presentation – February 5, 2019 Investment Results Relatively Stable Versus Prior Quarter 4Q17 Results Reflect $7MM Lower Policy Loan Income With Offsetting Reductions In Benefits & Expenses - Interest Credited Increases of $113MM Pre-Tax In 4Q18 & $73MM Pre-Tax In 4Q17 Driven Primarily By Annual Assumption Updates Unfavorable Mortality Relative To Prior Quarter And Prior Year Driven By Claim Frequency & Severity In UL

Life Insurance: Annual Assumption Review Margin Impacts Unlocking & Reserves Assumption Changes Impact Term Universal Life (TUL) & Universal Life Products $91MM After-Tax Reserve Increase And Accelerated DAC Amortization Loss Recognition Testing (LRT) Term LRT Margin Improved From Prior Year Statutory In Process Key Assumption & Model Updates Included GAAP & Statutory Margin Testing Increased Base Mortality For All TUL Policies And Additional Amounts For Large Face Policies Reduced Growth In Earned Interest Rate And Crediting Rate Over Projection Period Minor Lapse And Persistency Updates To Align With Emerging Experience Genworth 4Q18 Earnings Presentation – February 5, 2019

SPDA2 Spread1.67%1.66%1.73% SPIA3 Spread0.69%0.72%1.26% Fixed Annuities 1Net Investment Income Less Interest Credited; 2Single Premium Deferred Annuities; Excludes Fixed Indexed Annuities; 3Single Premium Immediate Annuities; Includes Both Paid & Unpaid Interest Credited; 4Excludes Incurred But Not Reported; Mortality Gain (Loss) Represents The Pre-Tax Income Impact Of The Product's Actual Mortality Experience Compared To The Mortality Assumptions Embedded In The Reserves Of The Product ($MM) ($MM) Benefits/Changes In Policy Reserves & SPIA Mortality Net Investment Spread1 SPIA Mortality G/(L)4(3) (4) (1) Genworth 4Q18 Earnings Presentation – February 5, 2019 Net Investment Spread Decreased Due To Lower Average Invested Assets SPIA Spread Reflected Lower Variable Investment Income Versus Prior Year SPDA Spread Declined Versus Prior Year Due To Favorable Impacts In 4Q17 Related To Assumption Updates For Bonus Interest Credited Current Quarter Results Negatively Impacted By $22MM Pre-Tax Reserve Increases Primarily Driven By LRT And Assumption Changes 4Q17 Negatively Impacted By $58MM Pre-Tax Reserve Increase From LRT And Annual Assumption Review

1Non-GAAP Measure, See Appendix Genworth 4Q18 Earnings Presentation – February 5, 2019 Net Investment Income ($MM) Highlights Net Investment Income GNW Reported Yield4.64%4.64%4.60% GNW Core Yield14.58%4.59%4.50% U.S. Life Ins. Segment Reported Yield4.82%4.88%4.85% Impairments- - (2) Net Investment Income And Yields Stable Reflecting Lower Limited Partnership Income And Improving Asset Purchase Rates $4.7B Of Asset Purchases In 4Q18 With An Average Yield Of 4.27%

Genworth 4Q18 Earnings Presentation – February 5, 2019 Variance (105) 1 Holding Company Cash & Liquid Assets Comprises Assets Held In Genworth Holdings, Inc. (The Issuer Of Outstanding Public Debt) Which Is A Wholly-Owned Subsidiary Of Genworth Financial, Inc. 2 Genworth Holdings, Inc. Had $429MM And $534MM of Cash, Cash Equivalents And Restricted Cash As Of 12/31/18 And 9/30/18, Respectively, Which Included Approximately $16MM Of Restricted Cash. Genworth Holdings, Inc. Also Held $75MM In U.S. Government Securities As Of 12/31/18 And 9/30/18, Which Included $42MM And $37MM, Respectively, Of Restricted Assets. $13MM Ordinary Dividend Received From Canada MI During 4Q18; Additional $14MM Proceeds From Canada Share Buyback In 4Q18 Are Held At An Intermediate Holding Company And Will Be Received By Genworth Holdings In 1Q19 $(44)MM Paid In Taxes: $(35)MM Intercompany Tax Settlements & $(9)MM Tax Payment To General Electric (Former Parent) Under The Tax Matters Agreement $(11)MM In Fees Related To Completion Of The Bond Consent Solicitation In October 2018 ~$58MM Restricted Cash/ Liquid Assets ($MM) Cash & Liquid Assets Roll Forward Holding Company Cash & Liquid Assets1 ~$53MM Restricted Cash/ Liquid Assets

Appendix Genworth 4Q18 Earnings Presentation – February 5, 2019

Total Genworth Financial, Inc.’s Stockholders’ Equity (GAAP) ($MM) 4Q18 3Q18 2Q18 1Q18 4Q17 U.S. MI 2,809 2,616 2,498 2,438 2,343 Canada MI 1,641 1,752 1,717 1,728 1,773 Australia MI 476 474 515 516 550 U.S. Life Insurance 11,012 10,988 11,164 10,905 11,519 LTC1 7,154 6,921 6,960 6,965 7,343 Life Insurance1 3,358 3,531 3,607 3,267 3,297 Fixed Annuities1 500 536 597 673 879 Runoff1 727 697 650 729 553 Corporate & Other1,2 (4,215) (3,729) (3,634) (3,298) (3,320) Total 12,450 12,798 12,910 13,018 13,418 1Includes Estimate Of Allocated Deferred Tax Balances By Product Line; 2Includes Value Of Long-Term Borrowings Of Genworth Holdings, Inc. Genworth 4Q18 Earnings Presentation – February 5, 2019

Use Of Non-GAAP Measures This presentation includes the non-GAAP financial measures entitled "adjusted operating income (loss)" and "adjusted operating income (loss) per share." Adjusted operating income (loss) per share is derived from adjusted operating income (loss). The chief operating decision maker evaluates segment performance and allocates resources on the basis of adjusted operating income (loss). The company defines adjusted operating income (loss) as income (loss) from continuing operations excluding the after-tax effects of income (loss) attributable to noncontrolling interests, net investment gains (losses), goodwill impairments, gains (losses) on the sale of businesses, gains (losses) on the early extinguishment of debt, gains (losses) on insurance block transactions, restructuring costs and infrequent or unusual non-operating items. Gains (losses) on insurance block transactions are defined as gains (losses) on the early extinguishment of non-recourse funding obligations, early termination fees for other financing restructuring and/or resulting gains (losses) on reinsurance restructuring for certain blocks of business. The company excludes net investment gains (losses) and infrequent or unusual non-operating items because the company does not consider them to be related to the operating performance of the company's segments and Corporate and Other activities. A component of the company's net investment gains (losses) is the result of impairments, the size and timing of which can vary significantly depending on market credit cycles. In addition, the size and timing of other investment gains (losses) can be subject to the company's discretion and are influenced by market opportunities, as well as asset-liability matching considerations. Goodwill impairments, gains (losses) on the sale of businesses, gains (losses) on the early extinguishment of debt, gains (losses) on insurance block transactions and restructuring costs are also excluded from adjusted operating income (loss) because, in the company's opinion, they are not indicative of overall operating trends. Infrequent or unusual non-operating items are also excluded from adjusted operating income (loss) if, in the company's opinion, they are not indicative of overall operating trends. While some of these items may be significant components of net income (loss) available to Genworth Financial, Inc.’s common stockholders in accordance with U.S. GAAP, the company believes that adjusted operating income (loss) and measures that are derived from or incorporate adjusted operating income (loss), including adjusted operating income (loss) per share on a basic and diluted basis, are appropriate measures that are useful to investors because they identify the income (loss) attributable to the ongoing operations of the business. Management also uses adjusted operating income (loss) as a basis for determining awards and compensation for senior management and to evaluate performance on a basis comparable to that used by analysts. However, the items excluded from adjusted operating income (loss) have occurred in the past and could, and in some cases will, recur in the future. Adjusted operating income (loss) and adjusted operating income (loss) per share on a basic and diluted basis are not substitutes for net income (loss) available to Genworth Financial, Inc.’s common stockholders or net income (loss) available to Genworth Financial, Inc.’s common stockholders per share on a basic and diluted basis determined in accordance with U.S. GAAP. In addition, the company's definition of adjusted operating income (loss) may differ from the definitions used by other companies. On December 22, 2017, the Tax Cuts and Jobs Act (TCJA) was signed into law. The TCJA reduced the U.S. corporate federal income tax rate to 21% effective for taxable years beginning on January 1, 2018. Therefore, beginning in the first quarter of 2018, the company assumed a tax rate of 21% on certain adjustments to reconcile net income (loss) available to Genworth Financial, Inc.’s common stockholders and adjusted operating income (loss) and in the explanation of specific variances of operating performance (unless otherwise indicated). In the prior year, the company assumed a tax rate of 35%, the previous U.S. corporate federal income tax rate prior to the enactment of the TCJA, on certain adjustments to reconcile net income available to Genworth Financial, Inc.’s common stockholders and adjusted operating income and in the explanation of specific variances of operating performance. These adjustments are also net of the portion attributable to noncontrolling interests and net investment gains (losses) are adjusted for DAC and other intangible amortization and certain benefit reserves. The company recorded a pre-tax expense of $2 million in the third quarter of 2018 and $1 million in the first and third quarters of 2017 related to restructuring costs as it continues to evaluate and appropriately size its organizational needs and expenses. There were no infrequent or unusual items excluded from adjusted operating income (loss) during the periods presented other than fees incurred during the fourth quarter of 2018 related to Genworth Holdings, Inc.’s bond consent solicitation of $6 million for broker, advisor and investment banking fees. This presentation includes the non-GAAP financial measure entitled "core yield" as a measure of investment yield. The company defines core yield as the investment yield adjusted for items that do not reflect the underlying performance of the investment portfolio. Management believes that analysis of core yield enhances understanding of the investment yield of the company. However, core yield is not a substitute for investment yield determined in accordance with U.S. GAAP. In addition, the company's definition of core yield may differ from the definitions used by other companies. A reconciliation of reported U.S. GAAP yield to core yield is included in this appendix. Genworth 4Q18 Earnings Presentation – February 5, 2019

Definition Of Selected Operating Performance Measures The company reports selected operating performance measures including "sales" and "insurance in force" or "risk in force" which are commonly used in the insurance industry as measures of operating performance. Management regularly monitors and reports sales metrics as a measure of volume of new business generated in a period. Sales refer to new insurance written for mortgage insurance. The company considers new insurance written to be a measure of the company's operating performance because it represents a measure of new sales of insurance policies during a specified period, rather than a measure of the company's revenues or profitability during that period. Management regularly monitors and reports insurance in force and risk in force. Insurance in force for the company’s mortgage insurance businesses is a measure of the aggregate original loan balance for outstanding insurance policies as of the respective reporting date. Risk in force for the company’s U.S. mortgage insurance business is based on the coverage percentage applied to the estimated current outstanding loan balance. The company considers insurance in force and risk in force to be measures of its operating performance because they represent measures of the size of its business at a specific date which will generate revenues and profits in a future period, rather than measures of its revenues or profitability during that period. Management also regularly monitors and reports a loss ratio for the company's businesses. For the mortgage insurance businesses, the loss ratio is the ratio of benefits and other changes in policy reserves to net earned premiums. For the long term care insurance business, the loss ratio is the ratio of benefits and other changes in reserves less tabular interest on reserves less loss adjustment expenses to net earned premiums. The company considers the loss ratio to be a measure of underwriting performance in these businesses and helps to enhance the understanding of the operating performance of the businesses. These operating performance measures enable the company to compare its operating performance across periods without regard to revenues or profitability related to policies or contracts sold in prior periods or from investments or other sources. The TCJA reduced the U.S. corporate federal income tax rate to 21% effective for taxable years beginning on January 1, 2018 and migrated the worldwide tax system to a territorial international tax system. Therefore, beginning on January 1, 2018, the company taxed its international businesses at their local statutory tax rates and its domestic businesses at the new enacted tax rate of 21%. The company allocates its consolidated provision for income taxes to its operating segments. The company’s allocation methodology applies a specific tax rate to the pre-tax income (loss) of each segment, which is then adjusted in each segment to reflect the tax attributes of items unique to that segment such as foreign income. The difference between the consolidated provision for income taxes and the sum of the provision for income taxes in each segment is reflected in Corporate and Other activities. Results Of Operations By Segment Genworth 4Q18 Earnings Presentation – February 5, 2019

Reconciliation Of Net Income (Loss) To Adjusted Operating Income (Loss) 23 Genworth 4Q18 Earnings Presentation – February 5, 2019

Reconciliation Of Reported Yield To Core Yield Genworth 4Q18 Earnings Presentation – February 5, 2019

5 Cautionary Note Regarding Forward-Looking Statements This presentation contains certain "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995. Forward-looking statements may be identified by words such as "expects," "intends," "anticipates," "plans," "believes," "seeks," "estimates," "will" or words of similar meaning and include, but are not limited to, statements regarding the outlook for the company's future business and financial performance. Examples of forward-looking statements include statements the company makes relating to the transaction with China Oceanwide Holdings Group Co., Ltd. (Oceanwide) and the company’s discussions with regulators in connection therewith. Forward-looking statements are based on management's current expectations and assumptions, which are subject to inherent uncertainties, risks and changes in circumstances that are difficult to predict. Actual outcomes and results may differ materially from those in the forward-looking statements due to global political, economic, business, competitive, market, regulatory and other factors and risks, including, but not limited to, the following: risks related to the proposed transaction with Oceanwide including: the company's inability to complete the transaction in a timely manner or at all; the parties’ inability to obtain regulatory approvals, or the possibility that regulatory approvals may further delay the transaction or will not be received prior to March 15, 2019 (and either or both of the parties may not be willing to further waive their end date termination rights beyond March 15, 2019) or that materially burdensome or adverse regulatory conditions may be imposed or undesirable measures may be required in connection with any such regulatory approvals (including those conditions or measures that either or both of the parties may be unwilling to accept or undertake, as applicable); the risk that the parties will not be able to obtain other regulatory approvals, including in connection with a potential alternative funding structure or the current geo-political environment; the parties’ inability to obtain any necessary regulatory approvals for the post-closing capital plan; the risk that a condition to the closing of the transaction may not be satisfied; potential legal proceedings that may be instituted against the company in connection with the transaction that may delay, make it more costly or ultimately preclude it; the risk that the proposed transaction disrupts the company's current plans and operations as a result of the announcement and consummation of the transaction; certain restrictions during the pendency of the transaction that may impact the company's ability to pursue certain business opportunities or strategic transactions; continued availability of capital and financing to the company before, or in the absence of, the consummation of the transaction; further rating agency actions and downgrades in the company's debt or financial strength ratings; changes in applicable laws or regulations; the company's ability to recognize the anticipated benefits of the transaction; the amount of the costs, fees, expenses and other charges related to the transaction; the risks related to diverting management’s attention from the company’s ongoing business operations; the merger agreement may be terminated in circumstances that would require the company to pay Oceanwide a fee; the company’s ability to attract, recruit, retain and motivate current and prospective employees may be adversely affected; and disruptions and uncertainty relating to the transaction, whether or not it is completed, may harm the company's relationships with its employees, customers, distributors, vendors or other business partners, and may result in a negative impact on the company's business; strategic risks in the event the proposed transaction with Oceanwide is not consummated including: the company's inability to successfully execute alternative strategic plans to effectively address its current business challenges (including with respect to its U.S. life insurance businesses, debt obligations, cost savings, ratings and capital); the company's ability to continue to sell long term care insurance policies; the company's inability to attract buyers for any businesses or other assets it may seek to sell, or securities it may seek to issue, in each case, in a timely manner and on anticipated terms; failure to obtain any required regulatory, stockholder and/or noteholder approvals or consents for such alternative strategic plans, or the company's challenges changing or being more costly or difficult to successfully address than currently anticipated or the benefits achieved being less than anticipated; inability to achieve anticipated cost-savings in a timely manner; and adverse tax or accounting charges; and the company’s ability to increase the capital needed in its businesses in a timely manner and on anticipated terms, including through improved business performance, reinsurance or similar transactions, asset sales, securities offerings or otherwise, in each case as and when required; risks relating to estimates, assumptions and valuations including: inadequate reserves and the need to increase reserves (including as a result of any changes the company may make in the future to its assumptions, methodologies or otherwise in connection with periodic or other reviews); risks related to the impact of the company’s annual review of assumptions and methodologies related to its long term care insurance claim reserves and margin reviews, including risks that additional information obtained in the future or other changes to assumptions or methodologies materially affect margins; inaccurate models; deviations from the company's estimates and actuarial assumptions or other reasons in its long term care insurance, life insurance and/or annuity businesses; accelerated amortization of deferred acquisition costs (DAC) and present value of future profits (PVFP) (including as a result of any future changes it may make to its assumptions, methodologies or otherwise in connection with periodic or other reviews); adverse impact on the company's financial results as a result of projected profits followed by projected losses (as is currently the case with its long term care insurance business); adverse impact on the company's results of operations, including the outcome of its annual review of the premium earnings pattern for its mortgage insurance businesses; and changes in valuation of fixed maturity and equity securities; Genworth 4Q18 Earnings Presentation – February 5, 2019

Cautionary Note Regarding Forward-Looking Statements risks relating to economic, market and political conditions including: downturns and volatility in global economies and equity and credit markets; interest rates and changes in rates (particularly given the historically low interest rate environment) have adversely impacted, and may continue to materially adversely impact, the company's business and profitability; deterioration in economic conditions or a decline in home prices that adversely affect the company's loss experience in mortgage insurance; political and economic instability or changes in government policies; and fluctuations in foreign currency exchange rates and international securities markets; regulatory and legal risks including: extensive regulation of the company's businesses and changes in applicable laws and regulations (including changes to tax laws and regulations); litigation and regulatory investigations or other actions; dependence on dividends and other distributions from the company's subsidiaries (particularly its international subsidiaries) and the inability of any subsidiaries to pay dividends or make other distributions to the company, including as a result of the performance of its subsidiaries and insurance, regulatory or corporate law restrictions; adverse change in regulatory requirements, including risk-based capital; changes in regulations adversely affecting the company's international operations; inability to continue to maintain the private mortgage insurer eligibility requirements (PMIERs); inability of the company's U.S. mortgage insurance subsidiaries to meet minimum statutory capital requirements and hazardous financial condition standards; the influence of Federal National Mortgage Association (Fannie Mae), Federal Home Loan Mortgage Corporation (Freddie Mac) and a small number of large mortgage lenders on the U.S. mortgage insurance market and adverse changes to the role or structure of Fannie Mae and Freddie Mac; adverse changes in regulations affecting the company's mortgage insurance businesses; inability to continue to implement actions to mitigate the impact of statutory reserve requirements; impact of additional regulations pursuant to the Dodd-Frank Wall Street Reform and Consumer Protection Act; changes in tax laws; and changes in accounting and reporting standards; liquidity, financial strength ratings, credit and counterparty risks including: insufficient internal sources to meet liquidity needs and limited or no access to capital (including the ability to obtain further financing under an additional secured term loan or credit facility); future adverse rating agency actions, including with respect to rating downgrades or potential downgrades or being put on review for potential downgrade, all of which could have adverse implications for the company, including with respect to key business relationships, product offerings, business results of operations, financial condition and capital needs, strategic plans, collateral obligations and availability and terms of hedging, reinsurance and borrowings; defaults by counterparties to reinsurance arrangements or derivative instruments; defaults or other events impacting the value of the company's fixed maturity securities portfolio; and defaults on the company's commercial mortgage loans or the mortgage loans underlying its investments in commercial mortgage-backed securities and volatility in performance; operational risks including: inability to retain, attract and motivate qualified employees or senior management; ineffective or inadequate risk management in identifying, controlling or mitigating risks; reliance on, and loss of, key customer or distribution relationships; competition, including in the company's mortgage insurance businesses from government and government-owned and government-sponsored enterprises (GSEs) offering mortgage insurance; the design and effectiveness of its disclosure controls and procedures and internal control over financial reporting may not prevent all errors, misstatements or misrepresentations; and failure or any compromise of the security of the company's computer systems, disaster recovery systems and business continuity plans and failures to safeguard, or breaches of, its confidential information; insurance and product-related risks including: the company's inability to increase sufficiently, and in a timely manner, premiums on in force long term care insurance policies and/or reduce in force benefits, and charge higher premiums on new policies, in each case, as currently anticipated and as may be required from time to time in the future (including as a result of the company's failure to obtain any necessary regulatory approvals or unwillingness or inability of policyholders to pay increased premiums), including to offset any negative impact on the company's long term care insurance margins; failure to sufficiently increase new sales for the company's long term care insurance products; availability, affordability and adequacy of reinsurance to protect the company against losses; inability to realize anticipated benefits of the company’s rescissions, curtailments, loan modifications or other similar programs in its mortgage insurance businesses; premiums for the significant portion of the company's mortgage insurance risk in force with high loan-to-value ratios may not be sufficient to compensate the company for the greater risks associated with those policies; decreases in the volume of high loan-to-value mortgage originations or increases in mortgage insurance cancellations; increases in the use of alternatives to private mortgage insurance and reductions in the level of coverage selected; potential liabilities in connection with the company's U.S. contract underwriting services; and medical advances, such as genetic research and diagnostic imaging, and related legislation that impact policyholder behavior in ways adverse to the company; other risks including: occurrence of natural or man-made disasters or a pandemic; impairments of or valuation allowances against the company's deferred tax assets; the possibility that in certain circumstances the company will be obligated to make payments to General Electric Company (GE) under the tax matters agreement with GE even if its corresponding tax savings are never realized and payments could be accelerated in the event of certain changes in control; and provisions of the company's certificate of incorporation and bylaws and the tax matters agreement with GE may discourage takeover attempts and business combinations that stockholders might consider in their best interests; and risks relating to the company's common stock including: the continued suspension of payment of dividends; and stock price fluctuations.   The company undertakes no obligation to publicly update any forward-looking statement, whether as a result of new information, future developments or otherwise. Genworth 4Q18 Earnings Presentation – February 5, 2019