HAWAIIAN HOLDINGS INC [HA] Filings

10-Q 1 ha-20230331.htm 10-Q ha-20230331

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

FORM 10-Q

☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934

For the quarterly period ended March 31, 2023

☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934

For the transition period from to

Commission file number 1-31443

HAWAIIAN HOLDINGS INC

(Exact Name of Registrant as Specified in Its Charter)


Delaware						71-0879698
(State or Other Jurisdiction of						(I.R.S. Employer
Incorporation or Organization)						Identification No.)


3375 Koapaka Street,	Suite G-350
Honolulu,	HI	96819
(Address of Principal Executive Offices)		(Zip Code)

(808) 835-3700

(Registrant’s Telephone Number, Including Area Code)

Securities registered pursuant to Section 12(b) of the Act:

Title of each class

Trading symbol(s)

Name of each exchange on which registered

Common Stock ($0.01 par value)

Nasdaq Stock Market, LLC

(Nasdaq Global Select Market)

Securities registered pursuant to Section 12(g) of the Act: None

Indicate by check mark whether the registrant (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the preceding 12 months (or for such shorter period that the registrant was required to file such reports), and (2) has been subject to such filing requirements for the past 90 days. ☒ Yes ☐ No

Indicate by check mark whether the registrant has submitted electronically every Interactive Data File required to be submitted pursuant to Rule 405 of Regulation S-T (§232.405 of this chapter) during the preceding 12 months (or for such shorter period that the registrant was required to submit such files). ☒ Yes ☐ No

Indicate by check mark whether the registrant is a large accelerated filer, an accelerated filer, a non-accelerated filer, a smaller reporting company, or an emerging growth company. See the definitions of “large accelerated filer,” “accelerated filer,” “non-accelerated filer,” “smaller reporting company,” and “emerging growth company” in Rule 12b-2 of the Exchange Act.

Large accelerated filer

☒

Accelerated filer

☐

Non-accelerated filer

☐

Smaller reporting company

☐

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. ☐

Indicate by check mark whether the registrant is a shell company (as defined in Rule 12b-2 of the Exchange Act). ☐ Yes ☒ No

As of April 21, 2023, 51,547,554 shares of the registrant’s common stock were outstanding.

Hawaiian Holdings, Inc.

Form 10-Q

Quarterly Period ended March 31, 2023

Table of Contents


Part I.	Financial Information	3

Item 1.	Consolidated Financial Statements of Hawaiian Holdings, Inc. (Unaudited)	3

	Consolidated Statements of Operations for the three months ended March 3 1 , 202 3 and 202 2	3

	Consolidated Statements of Comprehensive Income for the three months ended March 3 1 , 202 3 and 202 2	4

	Consolidated Balance Sheets as of March 3 1 , 202 3 and December 31, 202 2 (audited)	5

	Consolidated Statements of Shareholders' Equity for the three months ended March 3 1 , 202 3 and 202 2	6

	Condensed Consolidated Statements of Cash Flows for the three months ended March 3 1 , 202 3 and 202 2	7

	Notes to Consolidated Financial Statements	8

Item 2.	Management’s Discussion and Analysis of Financial Condition and Results of Operations	30

Item 3.	Quantitative and Qualitative Disclosures About Market Risk	42

Item 4.	Controls and Procedures	42

Part II.	Other Information	44

Item 1.	Legal Proceedings	44

Item 1A.	Risk Factors	44

Item 2.	Unregistered Sales of Equity Securities and Use of Proceeds	66

Item 3.	Defaults Upon Senior Securities	66

Item 4.	Mine Safety Disclosures	66

Item 5.	Other Information	66

Item 6.	Exhibits	66

	Signatures	67

PART I. FINANCIAL INFORMATION

ITEM 1. FINANCIAL STATEMENTS.

Hawaiian Holdings, Inc.

Consolidated Statements of Operations

(in thousands, except per share data)


	Three Months Ended March 31,
	2023		2022
	(unaudited)
Operating Revenue:
Passenger	$	548,526	$	404,029
Other	64,077		73,185
Total	612,603		477,214
Operating Expenses:
Wages and benefits	241,933		203,099
Aircraft fuel, including taxes and delivery	197,625		150,982
Maintenance, materials and repairs	50,287		55,650
Aircraft and passenger servicing	42,532		33,815
Depreciation and amortization	32,667		33,755
Aircraft rent	28,171		26,276
Commissions and other selling	28,238		20,647
Other rentals and landing fees	38,720		34,611
Purchased services	35,072		30,687




Other	34,785		35,497
Total	730,030		625,019
Operating Loss	(117,427)		(147,805)
Nonoperating Income (Expense):

Interest expense and amortization of debt discounts and issuance costs	(22,880)		(25,037)
Losses on fuel derivatives	(5,065)		—
Other components of net periodic benefit cost	(1,494)		1,286
Interest income	16,465		4,434
Capitalized interest	1,458		1,052

Gains (losses) on investments, net	697		(12,364)
Gains on foreign debt	2,260		11,762
Other, net	155		374
Total	(8,404)		(18,493)
Loss Before Income Taxes	(125,831)		(166,298)
Income tax benefit	(27,574)		(33,020)
Net Loss	$	(98,257)	$	(133,278)
Net Loss Per Share
Basic	$	(1.91)	$	(2.60)
Diluted	$	(1.91)	$	(2.60)
Weighted Average Number of Common Stock Shares Outstanding:
Basic	51,507		51,288
Diluted	51,507		51,288

See accompanying Notes to Consolidated Financial Statements.

Hawaiian Holdings, Inc.

Consolidated Statements of Comprehensive Income

(in thousands)


	Three Months Ended March 31,
	2023		2022
	(unaudited)
Net Loss	$	(98,257)	$	(133,278)
Other comprehensive loss, net:
Net change related to employee benefit plans, net of tax benefit of $2,316 and net of tax expense of $208 for 2023 and 2022, respectively	(7,078)		630

Net change in available-for-sale investments, net of tax expense of $1,645 and net of tax benefit of $5,486 for 2023 and 2022, respectively	5,026		(16,640)
Total other comprehensive loss	(2,052)		(16,010)
Total Comprehensive Loss	$	(100,309)	$	(149,288)

See accompanying Notes to Consolidated Financial Statements.

Hawaiian Holdings, Inc.

Consolidated Balance Sheets

(in thousands, except shares)


	March 31, 2023 (unaudited)		December 31, 2022

ASSETS
Current Assets:
Cash and cash equivalents	$	271,855	$	229,122
Restricted cash	17,648		17,498
Short-term investments	1,111,082		1,147,193
Accounts receivable, net	99,880		113,862
Income taxes receivable	3,382		70,204
Spare parts and supplies, net	38,905		36,875
Prepaid expenses and other	83,021		63,553
Total	1,625,773		1,678,307
Property and equipment, less accumulated depreciation and amortization of $1,167,795 and $1,135,262 as of March 31, 2023 and December 31, 2022, respectively	1,937,797		1,874,352
Other Assets:
Assets held-for-sale	5,024		14,019
Operating lease right-of-use assets	439,228		459,128
Long-term prepayments and other	106,136		100,317

Intangible assets, net	13,500		13,500

Total Assets	$	4,127,458	$	4,139,623
LIABILITIES AND SHAREHOLDERS’ EQUITY
Current Liabilities:
Accounts payable	$	202,864	$	196,009
Air traffic liability and current frequent flyer deferred revenue	746,467		590,796
Other accrued liabilities	186,911		182,036
Current maturities of long-term debt, less discount	46,176		47,836
Current maturities of finance lease obligations	24,819		25,789
Current maturities of operating leases	78,620		77,858
Total	1,285,857		1,120,324
Long-Term Debt	1,566,382		1,583,889
Other Liabilities and Deferred Credits:
Noncurrent finance lease obligations	69,895		75,221
Noncurrent operating leases	328,370		347,726
Accumulated pension and other post-retirement benefit obligations	141,508		135,775
Other liabilities and deferred credits	74,588		94,654
Noncurrent frequent flyer deferred revenue	325,407		318,369
Deferred tax liability, net	102,131		130,400
Total	1,041,899		1,102,145
Commitments and Contingencies
Shareholders’ Equity:
Special preferred stock, $0.01 par value per share, three shares issued and outstanding as of March 31, 2023 and December 31, 2022	—		—
Common stock, $0.01 par value per share, 51,546,972 and 51,450,904 shares outstanding as of March 31, 2023 and December 31, 2022, respectively	515		514
Capital in excess of par value	287,524		287,161

Accumulated income	42,499		140,756
Accumulated other comprehensive loss, net	(97,218)		(95,166)
Total	233,320		333,265
Total Liabilities and Shareholders’ Equity	$	4,127,458	$	4,139,623

See accompanying Notes to Consolidated Financial Statements.

Hawaiian Holdings, Inc.

Consolidated Statements of Shareholders' Equity

(in thousands)


	Common Stock(*)		Special Preferred Stock(**)		Capital In Excess of Par Value		Accumulated Income		Accumulated Other Comprehensive Income (Loss)		Total
	(unaudited)
Balance at December 31, 2022	$	514	$	—	$	287,161	$	140,756	$	(95,166)	$	333,265
Net Loss	—		—		—		(98,257)		—		(98,257)

Other comprehensive loss, net	—		—		—		—		(2,052)		(2,052)
Issuance of 131,858 shares of common stock, net of shares withheld for taxes	1		—		(1,067)		—		—		(1,066)
Share-based compensation expense	—		—		1,430		—		—		1,430
Balance at March 31, 2023	$	515	$	—	$	287,524	$	42,499	$	(97,218)	$	233,320

(*) Common Stock—$0.01 par value; 118,000,000 authorized as of March 31, 2023 and December 31, 2022.

(**) Special Preferred Stock—$0.01 par value; 2,000,000 shares authorized as of March 31, 2023 and December 31, 2022.


	Common Stock(*)		Special Preferred Stock(**)		Capital In Excess of Par Value		Accumulated Income		Accumulated Other Comprehensive Income (Loss)		Total
	(unaudited)
Balance at December 31, 2021	$	512	$	—	$	269,575	$	380,837	$	(81,838)	$	569,086
Net Loss	—		—		—		(133,278)		—		(133,278)

Other comprehensive loss, net	—		—		—		—		(16,010)		(16,010)
Issuance of 93,701 shares of common stock, net of shares withheld for taxes	1		—		(1,490)		—		—		(1,489)


Share-based compensation expense	—		—		1,943		—		—		1,943
Balance at March 31, 2022	$	513	$	—	$	270,028	$	247,559	$	(97,848)	$	420,252

(*) Common Stock—$0.01 par value; 118,000,000 authorized as of March 31, 2022 and December 31, 2021.

(**) Special Preferred Stock—$0.01 par value; 2,000,000 shares authorized as of March 31, 2022 and December 31, 2021.

See accompanying Notes to Consolidated Financial Statements.

Hawaiian Holdings, Inc.

Condensed Consolidated Statements of Cash Flows

(in thousands)


	Three months ended March 31,
	2023		2022
	(unaudited)
Net cash provided by Operating Activities	$	118,291	$	22,154
Cash flows from Investing Activities:
Additions to property and equipment, including pre-delivery payments	(106,215)		(9,066)


Proceeds from the disposition of aircraft and aircraft related equipment	9,563		1,124
Purchases of investments	(96,806)		(263,161)
Proceeds from sales and maturities of investments	144,069		307,780

Net cash provided by (used in) investing activities	(49,389)		36,677
Cash flows from Financing Activities:


Repayments of long-term debt and finance lease obligations	(24,953)		(66,704)







Payment for taxes withheld for stock compensation	(1,066)		(1,490)

Net cash used in financing activities	(26,019)		(68,194)
Net increase (decrease) in cash and cash equivalents	42,883		(9,363)
Cash, cash equivalents, and restricted cash - Beginning of Period	246,620		507,828
Cash, cash equivalents, and restricted cash - End of Period	$	289,503	$	498,465

See accompanying Notes to Consolidated Financial Statements.

Hawaiian Holdings, Inc.

Notes to Consolidated Financial Statements (Unaudited)

1. General

Business and Basis of Presentation

Hawaiian Holdings, Inc. (the Company) and its direct wholly owned subsidiary, Hawaiian Airlines, Inc. (Hawaiian), are incorporated in the State of Delaware. Unless the context otherwise requires, the terms the Company, we, us, and our in this Quarterly Report on Form 10-Q refer to Hawaiian Holdings, Inc. and its consolidated subsidiaries. The Company’s primary asset is its sole ownership of all issued and outstanding shares of common stock of Hawaiian. The accompanying unaudited financial statements of the Company have been prepared in accordance with U.S. generally accepted accounting principles (GAAP) for interim financial information and the instructions to Form 10-Q and Article 10 of Regulation S-X of the U.S. Securities and Exchange Commission (SEC). Accordingly, these interim financial statements do not include all of the information and footnotes required by GAAP for complete financial statements. In the opinion of management, the accompanying financial statements contain all adjustments, including normal recurring adjustments, necessary for the fair presentation of the Company’s results of operations and financial position for the periods presented. Due to seasonal variations in the demand for air travel, among other factors common to the airline industry, the results of operations for the periods presented are not necessarily indicative of the results of operations for the entire year. Furthermore, the severe impacts of the global coronavirus (COVID-19) pandemic make any comparison to prior or future periods unreliable. The accompanying unaudited Consolidated Financial Statements should be read in conjunction with the financial statements and the notes of the Company included in the Company’s Annual Report on Form 10-K for the fiscal year ended December 31, 2022.

Unless otherwise noted, all amounts disclosed are stated before consideration of income taxes.

2. Accumulated Other Comprehensive Income (Loss)

Reclassifications out of accumulated other comprehensive income (loss) by component are as follows:


Details about accumulated other comprehensive income (loss) components	Three months ended March 31,				Affected line items in the statement where net income is presented
	2023		2022
	(in thousands)






Amortization of defined benefit plan items
Actuarial loss	$	450	$	532		Nonoperating Income (Expense), Other, net
Prior service cost	145		92			Nonoperating Income (Expense), Other, net


Total before tax	595		624
Tax benefit	(147)		(155)
Total, net of tax	$	448	$	469
Short-term investments
Realized gain on sales of investments	$	(393)	$	(3,044)		Gains (losses) on investments, net
Realized loss on sales of investments	911		4,931			Gains (losses) on investments, net
Total before tax	518		1,887
Income tax expense (benefit)	128		(414)
Total, net of tax	$	646	$	1,473
Total reclassifications for the period	$	1,094	$	1,942

A roll-forward of the amounts included in accumulated other comprehensive income (loss), net of taxes, for the three months ended March 31, 2023 and 2022 is as follows:


Three months ended March 31, 2023	Defined Benefit Plan Items		Short-Term Investments		Total
	(in thousands)
Beginning balance	$	(59,439)	$	(35,727)	$	(95,166)
Other comprehensive income (loss) before reclassifications, net of tax	(7,526)		4,380		(3,146)
Amounts reclassified from accumulated other comprehensive income (loss), net of tax	448		646		1,094
Net current-period other comprehensive income (loss)	(7,078)		5,026		(2,052)
Ending balance	$	(66,517)	$	(30,701)	$	(97,218)


Three months ended March 31, 2022		Defined Benefit Plan Items		Short-Term Investments		Total
	(in thousands)
Beginning balance		$	(75,025)	$	(6,813)	$	(81,838)
Other comprehensive income (loss) before reclassifications, net of tax		161		(18,113)		(17,952)
Amounts reclassified from accumulated other comprehensive income (loss), net of tax		469		1,473		1,942
Net current-period other comprehensive income (loss)		630		(16,640)		(16,010)
Ending balance		$	(74,395)	$	(23,453)	$	(97,848)

3. Loss Per Share

Basic loss per share, which excludes dilution, is computed by dividing net loss available to common shareholders by the weighted average number of common shares outstanding for the period.

The potentially dilutive shares that were excluded from the computation of diluted weighted average common stock shares outstanding because their effect would have been antidilutive was 95,819 and 488,478 for the three months ended March 31, 2023 and 2022, respectively. Unvested warrant shares held by Amazon have not been included in the computation as their performance condition has not yet been satisfied. As of March 31, 2023 and 2022, the unvested Amazon warrant shares excluded from antidilutive shares were 8,183,451 and 0, respectively. Refer to Note 12 to the Notes to Consolidated Financial Statements for additional discussion.

The following table shows the computation of basic and diluted loss per share:


	Three Months Ended March 31,
	2023		2022
	(in thousands, except for per share data)
Numerator:
Net Loss	$	(98,257)	$	(133,278)
Denominator:
Weighted average common stock shares outstanding - Basic	51,507		51,288



Weighted average common stock shares outstanding - Diluted	51,507		51,288
Net Loss Per Share
Basic	$	(1.91)	$	(2.60)
Diluted	$	(1.91)	$	(2.60)

4. Revenue Recognition

The majority of the Company's passenger revenue is derived from passenger ticket sales. Other revenue is primarily derived from the Company's cargo operations and loyalty program. The Company's primary operations are that of its wholly owned subsidiary, Hawaiian. Principally all operations of Hawaiian either originate and/or end in the state of Hawai'i. The management of such operations is based on a system-wide approach due to the interdependence of Hawaiian's route structure in

its various markets. As Hawaiian is engaged in only one significant line of business (i.e., air transportation), the Company has concluded that it has only one segment. The Company's operating revenues by geographic region (as defined by the U.S. Department of Transportation (DOT)) are summarized below:


	Three Months Ended March 31,
	2023		2022
Geographic Information	(in thousands)
Domestic	$	486,129	$	438,416
Pacific	126,474		38,798
Total operating revenue	$	612,603	$	477,214

Hawaiian attributes operating revenue by geographic region based on the destination of each flight segment. Hawaiian's tangible assets consist primarily of flight equipment, which is mobile across geographic markets, and therefore has not been allocated to specific geographic regions.

Other operating revenue consists of cargo revenue, ground handling fees, commissions, and fees earned under certain joint marketing agreements with other companies. These amounts are recognized when the service is provided.


	Three Months Ended March 31,
	2023		2022
Passenger Revenue by Type	(in thousands)
Passenger revenue, excluding frequent flyer	$	505,962	$	372,181
Frequent flyer revenue, transportation component	42,564		31,848
Passenger Revenue	$	548,526	$	404,029

Other revenue (e.g., cargo and other miscellaneous)	$	35,139	$	45,816
Frequent flyer revenue, marketing and brand component	28,938		27,369
Other Revenue	$	64,077	$	73,185

As of March 31, 2023 and December 31, 2022, the Company's air traffic liability balance, as it relates to passenger tickets (excluding frequent flyer liability), was $569.4 million and $414.5 million, respectively, which generally represents revenue that is expected to be realized in future periods.

During the three months ended March 31, 2023 and 2022, the amount of passenger ticket revenue recognized that was included in air traffic liability as of the beginning of the respective period was $294.5 million and $198.8 million, respectively.

Non-refundable tickets sold and credits issued generally expire 13 months from the date of issuance or scheduled flight, as applicable. In April 2020, the Company announced the waiver of certain change fees and extended ticket validity for up to 24 months for (a) tickets issued between March 1, 2020 and December 31, 2020 and (b) tickets issued prior to March 1, 2020 for original travel between March 1, 2020 and February 28, 2021. In December 2021, the Company announced the further extension of ticket validity to December 31, 2022, which also included all Main Cabin and First Class passenger tickets purchased in 2021. The Company records an estimate of breakage revenue on the scheduled flight date for tickets that will expire unused. These estimates are based on the evaluation of actual historical results, available market information, forecasted trends and the extension of the expiration date for certain tickets impacted by the COVID-19 pandemic. At December 31, 2022, $151.9 million of passenger tickets expired unused after receiving extended validity dates throughout the prior two years.

During the three months ended March 31, 2023 and 2022, the Company recognized advanced breakage of $12.6 million and $17.8 million, respectively. Despite improvements in the industry and overall travel demand, unflown rates continue to have higher than normal volatility in comparison to historical trends. The Company will continue to monitor customers' travel behavior and may adjust its estimates in the future.

Frequent Flyer Accounting

The Company's frequent flyer liability is recorded in air traffic liability and Noncurrent frequent flyer deferred revenue on its unaudited Consolidated Balance Sheets. The table below presents the Company's frequent flyer liability balance:


	March 31, 2023		December 31, 2022
	(in thousands)
Air traffic liability (current portion of frequent flyer revenue)	$	169,885	$	166,211
Noncurrent frequent flyer deferred revenue	325,407		318,369
Total frequent flyer liability	$	495,292	$	484,580

The table below presents the Company's activity of the current and noncurrent frequent flyer deferred revenue:


	2023		2022
	(in thousands)
Total frequent flyer liability - beginning balance	$	484,580	$	466,171
Miles awarded	54,502		47,503
Travel miles redeemed (Passenger Revenue)	(42,564)		(31,848)
Non-travel miles redeemed (Other Revenue)	(1,226)		(1,363)
Total frequent flyer liability - ending balance	$	495,292	$	480,463

5. Short-Term Investments

The Company's short-term investments that are not classified as cash equivalents are classified as available-for-sale investments and are stated at fair value. Realized gains and losses on sales of investments as well as unrealized gains and losses related to changes in the fair value of equity securities are reflected in Gains (losses) on investments, net within nonoperating income (expense) on the unaudited Consolidated Statements of Operations.

The following is a summary of the amortized cost, gross unrealized gains and losses, and fair value of the Company's short-term investments as of March 31, 2023 and December 31, 2022:



March 31, 2023	Amortized Cost		Gross Unrealized Gains		Gross Unrealized Losses		Fair Value

Debt securities
Corporate debt securities	$	319,061	$	199	$	(19,109)	$	300,151
U.S. government and agency securities	453,158		516		(8,656)		445,018
Other fixed income securities	102,244		20		(7,308)		94,956
Asset-backed securities	29,360		10		(1,822)		27,548
Collateralized loan obligations	43,808		—		(4,436)		39,372
Bank notes	10,127		20		(184)		9,963
Total debt securities	957,758		765		(41,515)		917,008
Derivatives	284		1,126		(223)		1,187
Equity securities	216,098		—		(24,851)		191,247
Other investments measured at net asset value	1,699		—		(59)		1,640
Total short-term investments	$	1,175,839	$	1,891	$	(66,648)	$	1,111,082



December 31, 2022	Amortized Cost		Gross Unrealized Gains		Gross Unrealized Losses		Fair Value
	(in thousands)
Debt securities
Corporate debt securities	$	340,493	$	139	$	(23,009)	$	317,623
U.S. government and agency securities	467,049		181		(12,341)		454,889
Other fixed income securities	110,881		23		(6,499)		104,405
Asset-backed securities	30,205		—		(2,039)		28,166
Collateralized loan obligations	43,736		130		(3,684)		40,182
Bank notes	11,493		3		(192)		11,304
Total debt securities	1,003,857		476		(47,764)		956,569
Derivatives	43		1,433		(178)		1,298
Equity securities	213,569		—		(26,109)		187,460
Other investments measured at net asset value	2,087		—		(221)		1,866
Total short-term investments	$	1,219,556	$	1,909	$	(74,272)	$	1,147,193

The following tables present fair values and gross unrealized losses by security type and length of time that individual securities have been in a continuous unrealized loss position:


	Less than 12 Months				12 Months or Greater				Total
	Fair Value		Unrealized Losses		Fair Value		Unrealized Losses		Fair Value		Unrealized Losses
March 31, 2023	(in thousands)
Debt securities
Corporate debt securities	$	68,596	$	(3,873)	$	216,436	$	(15,236)	$	285,032	$	(19,109)
U.S. government and agency securities	195,540		(2,955)		150,939		(5,701)		346,479		(8,656)
Other fixed income securities	6,382		(169)		34,036		(7,139)		40,418		(7,308)
Asset-backed securities	6,916		(62)		18,136		(1,760)		25,052		(1,822)
Collateralized loan obligations	3,165		(420)		33,779		(4,016)		36,944		(4,436)
Bank notes	2,750		(174)		111		(10)		2,861		(184)


Total debt securities	$	283,349	$	(7,653)	$	453,437	$	(33,862)	$	736,786	$	(41,515)
Other investments measured at net asset value	—		—		639		(59)		639		(59)
	$	283,349	$	(7,653)	$	454,076	$	(33,921)	$	737,425	$	(41,574)


	Less than 12 Months				12 Months or Greater				Total
	Fair Value		Unrealized Losses		Fair Value		Unrealized Losses		Fair Value		Unrealized Losses
December 31, 2022	(in thousands)
Debt securities
Corporate debt securities	$	145,299	$	(10,104)	$	159,216	$	(12,905)	$	304,515	$	(23,009)
U.S. government and agency securities	314,790		(8,097)		98,653		(4,244)		413,443		(12,341)
Other fixed income securities	17,836		(1,191)		23,316		(5,308)		41,152		(6,499)
Asset-backed securities	11,155		(755)		14,435		(1,284)		25,590		(2,039)
Collateralized loan obligations	28,133		(2,372)		9,491		(1,312)		37,624		(