Reconciliationofcoreearningstonetincomeattributedtoshareholders 2021 2020 ($ millions, post-tax and based on actual foreign exchange rates Corporate in effect in the applicable reporting period, unless otherwise stated) Asia Canada U.S. Global WAM and Other Total Total Income (loss) before income taxes $ 3,188 $ 1,791 $ 2,484 $ 1,641 $ (979) $ 8,125 $ 6,771 Income tax (expense) recovery Core earnings (322) (413) (418) (234) 27 (1,360) (1,168) Items excluded from core earnings (122) 77 32 1 159 147 (27) Income tax (expense) recovery (444) (336) (386) (233) 186 (1,213) (1,195) Netincome(post-tax) 2,744 1,455 2,098 1,408 (793) 6,912 5,576 Less: Net income (post-tax) attributed to Non-controlling interests 254 – – 2 (1) 255 250 Participating policyholders (567) 101 18 – – (448) (545) Netincome(loss)attributedtoshareholders(post-tax) 3,057 1,354 2,080 1,406 (792) 7,105 5,871 (1) Less: Items excluded from core earnings Investment-related experience outside of core earnings 313 329 1,341 – (341) 1,642 (792) Direct impact of equity markets and interest rates and variable annuity guarantee liabilities 169 (89) (727) – (170) (817) 932 Change in actuarial methods and assumptions 343 (65) (314) – (5) (41) (198) Restructuring charge – – – – (115) (115) – Reinsurance transactions, tax related items and other 56 – (156) – – (100) 413 Coreearnings(post-tax) $ 2,176 $ 1,179 $ 1,936 $ 1,406 $ (161) $ 6,536 $ 5,516 Income tax on core earnings (see above) 322 413 418 234 (27) 1,360 Coreearnings(pre-tax) $ 2,498 $ 1,592 $ 2,354 $ 1,640 $ (188) $ 7,896 (1) These items are disclosed under OSFI’s Source of Earnings Disclosure (Life Insurance Companies) guideline. Coreearnings,CERbasisandU.S.dollars 2021 (Canadian $ millions, post-tax and based on actual foreign exchange Corporate rates in effect in the applicable reporting period, unless otherwise stated) Asia Canada U.S. Global WAM and Other Total Coreearnings(post-tax) $ 2,176 $ 1,179 $ 1,936 $ 1,406 $ (161) $ 6,536 (1) CER adjustment 34 – 160 76 (2) 268 Coreearnings,CERbasis(post-tax) $ 2,210 $ 1,179 $ 2,096 $ 1,482 $ (163) $ 6,804 (2) Income tax on core earnings, CER basis 325 413 453 238 (26) 1,403 Coreearnings,CERbasis(pre-tax) $ 2,535 $ 1,592 $ 2,549 $ 1,720 $ (189) $ 8,207 Coreearnings(U.S.dollars)–AsiaandU.S.segments (3) Coreearnings(post-tax) $ 1,736 $ ,544 ,US$ 1 (1) CER adjustment US $ (110) – Coreearnings,CERbasis(post-tax),US$ $ 1,626 $ 1,544 (1) The impact of updating foreign exchange rates to that which was used in 4Q22. (2) Income tax on core earnings adjusted to reflect the foreign exchange rates for the Statement of Income in effect for 4Q22. (3) Core earnings (post-tax) in Canadian $ is translated to US $ using the US $ StatementofIncomeexchangeratefor thefourrespectivequartersthatmakeup 2021 core earnings. 106 | 2022AnnualReport | Management’sDiscussionandAnalysis