Item 16. FORM 10-K SUMMARY.

None.

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Schedule II—Condensed Financial Information of Registrant

Anthem, Inc. (Parent Company Only)

Balance Sheets

(In millions, except share data)			December 31, 2021						December 31, 2020
Assets
Current assets:
Cash and cash equivalents			$	630					$	700
Fixed maturity securities (amortized cost of $512 and $594; allowance for credit losses of $1 and $0)			515						608
Equity securities			49						439
Other receivables			40						41
Net due from subsidiaries			446						—
Other current assets			655						800
Total current assets			2,335						2,588
Other invested assets			808						664
Property and equipment, net			207						209
Deferred tax assets, net			77						391
Investments in subsidiaries			56,375						51,739
Other noncurrent assets			265						211
Total assets			$	60,067					$	55,802
Liabilities and shareholders’ equity
Liabilities
Current liabilities:
Accounts payable and accrued expenses			$	559					$	429
Net due to subsidiaries			—						1,239
Current portion of long-term debt			1,599						700
Other current liabilities			344						494
Total current liabilities			2,502						2,862
Long-term debt, less current portion			21,132						19,310
Other noncurrent liabilities			373						431
Total liabilities			24,007						22,603
Commitments and contingencies—Note 5
Shareholders’ equity
Preferred stock, without par value, shares authorized - 100,000,000; shares issued and outstanding - none			—						—
Common stock, par value $0.01, shares authorized - 900,000,000; shares issued and outstanding - 241,770,746 and 245,401,430			2						3
Additional paid-in capital			9,148						9,244
Retained earnings			27,088						23,802
Accumulated other comprehensive (loss) income			(178)						150
Total shareholders’ equity			36,060						33,199
Total liabilities and shareholders’ equity			$	60,067					$	55,802

See accompanying notes.

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Anthem, Inc. (Parent Company Only)

Statements of Income

			Years ended December 31
(In millions)			2021						2020						2019
Revenues
Net investment income			$	6					$	65					$	81
Net gains (losses) on financial instruments			6						28						(85)
Administrative fees and other revenue			24						22						22
Total revenues			36						115						18
Expenses
General and administrative expense			119						169						88
Interest expense			794						779						723
Loss on extinguishment of debt			21						36						2
Total expenses			934						984						813
Loss before income tax credits and equity in net income of subsidiaries			(898)						(869)						(795)
Income tax credits			(244)						(386)						(251)
Equity in net income of subsidiaries			6,758						5,055						5,351
Shareholders’ net income			$	6,104					$	4,572					$	4,807

See accompanying notes.

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Anthem, Inc. (Parent Company Only)

Statements of Comprehensive Income

			Years ended December 31
(in millions)			2021						2020						2019
Shareholders' net income			$	6,104					$	4,572					$	4,807
Other comprehensive (loss) income, net of tax:
Change in net unrealized gains/losses on investments			(455)						428						680
Change in non-credit component of impairment losses on investments			2						—						—
Change in net unrealized gains/losses on cash flow hedges			11						12						(16)
Change in net periodic pension and postretirement costs			123						(1)						26
Foreign currency translation adjustments			(9)						7						—
Other comprehensive (loss) income			(328)						446						690
Total shareholders’ comprehensive income			$	5,776					$	5,018					$	5,497

See accompanying notes.

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Anthem, Inc. (Parent Company Only)

Statements of Cash Flows

			Years ended December 31
(In millions)			2021						2020						2019
Net cash provided by operating activities			$	2,038					$	4,810					$	2,411
Investing activities
Purchases of investments			(2,059)						(2,729)						(9,682)
Proceeds from sales, maturities, calls and redemptions of investments			2,449						2,593						9,457
Issuance of note to subsidiary			(1,500)						—						—
Capitalization of subsidiaries			(807)						(2,460)						(232)
Changes in securities lending collateral			173						(234)						18
Purchases of property and equipment, net of sales			(77)						(107)						(54)
Other, net			—						11						—
Net cash used in investing activities			(1,821)						(2,926)						(493)
Financing activities
Net proceeds from (repayments of) commercial paper borrowings			50						(150)						(297)
Proceeds from long-term borrowings			3,462						2,484						2,473
Repayments of long-term borrowings			(1,068)						(1,932)						(1,123)
Changes in securities lending payable			(173)						234						(18)
Repurchase and retirement of common stock			(1,900)						(2,700)						(1,701)
Cash dividends			(1,158)						(1,000)						(856)
Proceeds from issuance of common stock under employee stock plans			203						176						187
Taxes paid through withholding of common stock under employee stock plans			(102)						(128)						(84)
Other, net			399						14						29
Net cash used in financing activities			(287)						(3,002)						(1,390)
Change in cash and cash equivalents			(70)						(1,118)						528
Cash and cash equivalents at beginning of year			700						1,818						1,290
Cash and cash equivalents at end of year			$	630					$	700					$	1,818

See accompanying notes.

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Anthem, Inc.

(Parent Company Only)

Notes to Condensed Financial Statements

December 31, 2021

(In Millions, Except Per Share Data)

1. Basis of Presentation and Significant Accounting Policies

In the parent company only financial statements of Anthem, Inc. (“Anthem”), Anthem’s investment in subsidiaries is stated at cost plus equity in undistributed earnings of the subsidiaries. Anthem’s share of net income of its unconsolidated subsidiaries is included in income using the equity method of accounting.

Certain amounts presented in the parent company only financial statements are eliminated in the consolidated financial statements of Anthem.

Anthem’s parent company only financial statements should be read in conjunction with Anthem’s audited consolidated financial statements and the accompanying notes included in Part II, Item 8 of this Annual Report on Form 10-K.

2. Subsidiary Transactions

Dividends from Subsidiaries

Anthem received cash dividends from subsidiaries of $3,134, $3,618 and $3,790 during 2021, 2020 and 2019, respectively.

Dividends to Subsidiaries

Certain subsidiaries of Anthem own shares of Anthem common stock. Anthem paid cash dividends to subsidiaries related to these shares of common stock in the amount of $54, $46 and $38 during 2021, 2020 and 2019, respectively.

Investments in Subsidiaries

Capital contributions to subsidiaries were $3,271, $2,460 and $232 during 2021, 2020 and 2019, respectively.

Amounts Due From and To Subsidiaries

At December 31, 2021 and 2020, Anthem reported amounts due from and to subsidiaries of $446 and $1,239, respectively. The amounts due from subsidiaries primarily include amounts for allocated administrative expenses or daily cash management activities. These items are routinely settled, and as such, are classified as current assets or liabilities.

On June 29, 2021 Anthem entered into a short-term loan agreement with a subsidiary for the amount of $1,500, which is also included in amounts due from subsidiaries.

Guarantees on Behalf of Subsidiaries

Anthem guarantees contractual or financial obligations or solvency requirements for certain of its subsidiaries. These guarantees approximated $530 at December 31, 2021. There were no payments made on these guarantees in 2021.

3. Derivative Financial Instruments

The information regarding derivative financial instruments contained in Note 6, “Derivative Financial Instruments,” of the Notes to Consolidated Financial Statements of Anthem and its subsidiaries, included in Part II, Item 8 of this Annual Report on Form 10-K, is incorporated herein by reference.

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4. Long-Term Debt

The information regarding long-term debt contained in Note 13, “Debt,” of the Notes to Consolidated Financial Statements of Anthem and its subsidiaries, included in Part II, Item 8 of this Annual Report on Form 10-K, is incorporated herein by reference.

5. Commitments and Contingencies

The information regarding commitments and contingencies contained in Note 14, “Commitments and Contingencies,” of the Notes to Consolidated Financial Statements of Anthem and its subsidiaries, included in Part II, Item 8 of this Annual Report on Form 10-K, is incorporated herein by reference.

6. Capital Stock

The information regarding capital stock contained in Note 15, “Capital Stock,” of the Notes to Consolidated Financial Statements of Anthem and its subsidiaries, included in Part II, Item 8 of this Annual Report on Form 10-K, is incorporated herein by reference.

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SIGNATURES

Pursuant to the requirements of Section 13 or 15(d) of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned, thereunto duly authorized.

ANTHEM, INC.
By:			/s/ GAIL K. BOUDREAUX
			Gail K. Boudreaux President and Chief Executive Officer

Dated: February 16, 2022

Pursuant to the requirements of the Securities Exchange Act of 1934, this report has been signed below by the following persons on behalf of the registrant and in the capacities and on the dates indicated.

Signature						Title			Date
/s/ GAIL K. BOUDREAUX						President and Chief Executive Officer, Director (Principal Executive Officer)			February 16, 2022
Gail K. Boudreaux
/s/ JOHN E. GALLINA						Executive Vice President and Chief Financial Officer (Principal Financial Officer)			February 16, 2022
John E. Gallina
/s/ RONALD W. PENCZEK						Chief Accounting Officer and Controller (Principal Accounting Officer)			February 16, 2022
Ronald W. Penczek
/s/ ELIZABETH E. TALLETT						Chair of the Board			February 16, 2022
Elizabeth E. Tallett
/s/ R. KERRY CLARK						Director			February 16, 2022
R. Kerry Clark
/s/ SUSAN D. DEVORE						Director			February 16, 2022
Susan D. DeVore
/s/ ROBERT L. DIXON, JR.						Director			February 16, 2022
Robert L. Dixon, Jr.
/s/ LEWIS HAY III						Director			February 16, 2022
Lewis Hay III
/s/ BAHIJA JALLAL						Director			February 16, 2022
Bahija Jallal
/s/ ANTONIO F. NERI						Director			February 16, 2022
Antonio F. Neri
/s/ RAMIRO G. PERU						Director			February 16, 2022
Ramiro G. Peru
/s/ RYAN M. SCHNEIDER						Director			February 16, 2022
Ryan M. Schneider

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