Parent Company (Tables)

PARENT COMPANY – CONDENSED STATEMENTS OF INCOME

Years Ended December 31 (Millions)			2015		2014		2013
Revenues
	Non-interest revenues
		Gain on sale of securities	$	―	$	99	$	135
		Other		400		270		5
Total non-interest revenues				400		369		140
Interest income				172		141		134
Interest expense				(526)		(543)		(583)
Total revenues net of interest expense				46		(33)		(309)
Expenses
	Salaries and employee benefits			341		275		206
	Other			443		357		261
Total				784		632		467
Pretax loss				(738)		(665)		(776)
Income tax benefit				(268)		(249)		(297)
Net loss before equity in net income of subsidiaries and affiliates				(470)		(416)		(479)
Equity in net income of subsidiaries and affiliates				5,633		6,301		5,838
Net income			$	5,163	$	5,885	$	5,359

PARENT COMPANY – CONDENSED BALANCE SHEETS

As of December 31 (Millions)		2015		2014
Assets
Cash and cash equivalents		$	6,400	$	8,824
Investment securities			1		1
Equity in net assets of subsidiaries and affiliates			19,856		20,123
Accounts receivable, less reserves			311		134
Premises and equipment, less accumulated depreciation: 2015, $140; 2014, $106			133		139
Loans to subsidiaries and affiliates			11,762		7,809
Due from subsidiaries and affiliates			896		1,477
Other assets			275		365
Total assets			39,634		38,872
Liabilities and Shareholders’ Equity
Liabilities
Accounts payable and other liabilities			1,603		1,590
Due to subsidiaries and affiliates			716		964
Short-term debt of subsidiaries and affiliates			6,923		5,937
Long-term debt			9,719		9,708
	Total liabilities		18,961		18,199
Shareholders’ Equity
Preferred Shares			―		―
Common shares			194		205
Additional paid-in capital			13,348		12,874
Retained earnings			9,665		9,513
Accumulated other comprehensive loss			(2,534)		(1,919)
	Total shareholders’ equity		20,673		20,673
Total liabilities and shareholders’ equity		$	39,634	$	38,872

PARENT COMPANY – CONDENSED STATEMENTS OF CASH FLOWS

Years Ended December 31 (Millions)			2015		2014		2013
Cash Flows from Operating Activities
Net income		$	5,163	$	5,885	$	5,359
Adjustments to reconcile net income to cash provided by operating activities:
	Equity in net income of subsidiaries and affiliates		(5,633)		(6,301)		(5,838)
	Dividends received from subsidiaries and affiliates		5,331		5,455		4,768
	Gain on sale of securities		―		(99)		(135)
	Other operating activities, primarily with subsidiaries and affiliates		332		173		324
Net cash provided by operating activities			5,193		5,113		4,478
Cash Flows from Investing Activities
Sales of available-for-sale investment securities			―		111		157
Purchase of investments			(3)		―		―
Purchase of premises and equipment			(29)		(39)		(39)
Loans to subsidiaries and affiliates			(3,952)		(2,574)		1,498
Investments in subsidiaries and affiliates			―		―		―
Net cash (used in) provided by investing activities			(3,984)		(2,502)		1,616
Cash Flows from Financing Activities
(Principal payments on)/issuance of long-term debt			―		(655)		843
Short-term debt of subsidiaries and affiliates			986		5,118		(1,497)
Issuance of American Express preferred shares			841		742		―
Issuance of American Express common shares and other			192		362		721
Repurchase of American Express common shares			(4,480)		(4,389)		(3,943)
Dividends paid			(1,172)		(1,041)		(939)
Net cash provided by (used in) financing activities			(3,633)		137		(4,815)
Net increase (decrease) in cash and cash equivalents			(2,424)		2,748		1,279
Cash and cash equivalents at beginning of year			8,824		6,076		4,797
Cash and cash equivalents at end of year		$	6,400	$	8,824	$	6,076

Supplemental cash flow information
Non-cash financing activities
	Gain on business travel joint venture transaction	$	―	$	630	$	―