v2.4.1.9
Financing Receivables and Allowance for Losses on Financing Receivables (Tables)
 12 Months Ended
Dec. 31, 2014
Financing Receivables And Allowance For Losses On Financing Receivables [Abstract]  
Financing Receivables
FINANCING RECEIVABLES, NET
December 31 (In millions)20142013
Loans, net of deferred income$ 217,614 $ 231,268
Investment in financing leases, net of deferred income 24,479 26,939
242,093 258,207
Allowance for losses (5,075) (5,178)
Financing receivables – net(a)$ 237,018 $ 253,029

(a) Financing receivables at December 31, 2014 and 2013 included $264 million and $544 million, respectively, relating to loans that had been acquired in a transfer but have been subject to credit deterioration since origination.
Net Investment In Financing Leases
NET INVESTMENT IN FINANCING LEASES
Total financing leasesDirect financing leases(a)Leveraged leases(b)
December 31 (In millions)201420132014201320142013
Total minimum lease payments receivable$ 26,701 $ 29,970 $ 22,133 $ 24,571 $ 4,568 $ 5,399
 Less principal and interest on third-party
    non-recourse debt (2,812) (3,480) - - (2,812) (3,480)
Net rentals receivables 23,889 26,490 22,133 24,571 1,756 1,919
Estimated unguaranteed residual value
     of leased assets 4,268 5,073 2,529 3,067 1,739 2,006
Less deferred income (3,678) (4,624) (2,759) (3,560) (919) (1,064)
Investment in financing leases, net of
    deferred income 24,479 26,939 21,903 24,078 2,576 2,861
Less amounts to arrive at net investment
    Allowance for losses (181) (202) (166) (192) (15) (10)
    Deferred taxes (4,046) (4,075) (2,250) (1,783) (1,796) (2,292)
Net investment in financing leases$ 20,252 $ 22,662 $ 19,487 $ 22,103 $ 765 $ 559

  • Included $284 million and $317 million of initial direct costs on direct financing leases at December 31, 2014 and 2013, respectively.
  • Included pre-tax income of $112 million and $31 million and income tax of $43 million and $11 million during 2014 and 2013, respectively. Net investment credits recognized on leveraged leases during 2014 and 2013 were insignificant.
Contractual Maturities
CONTRACTUAL MATURITIES
TotalNet rentals
(In millions)loansreceivable
Due in
    2015$ 52,175 $ 8,012
    2016 18,663 5,440
    2017 19,712 3,752
    2018 14,034 2,564
    2019 13,097 1,513
    2020 and later 35,069 2,608
152,750 23,889
    Consumer revolving loans 64,864 -
Total$ 217,614 $ 23,889
Schedule Of Financing Receivables By Portfolio
FINANCING RECEIVABLES
(In millions)20142013
Commercial
CLL
Americas$ 67,096 $ 69,036
International 43,407 47,431
Total CLL 110,503 116,467
Energy Financial Services 2,580 3,107
GE Capital Aviation Services (GECAS) 8,263 9,377
Other 130 318
Total Commercial 121,476 129,269
Real Estate 19,797 19,899
Consumer
Non-U.S. residential mortgages 24,893 30,501
Non-U.S. installment and revolving credit 10,400 15,731
U.S. installment and revolving credit 59,863 55,854
Other 5,664 6,953
Total Consumer 100,820 109,039
Total financing receivables 242,093 258,207
Allowance for losses (5,075) (5,178)
Total financing receivables – net$ 237,018 $ 253,029
Schedule of allowance for losses
ALLOWANCE FOR LOSSES ON FINANCING RECEIVABLES
Provision
Balance atcharged to GrossBalance at
(In millions)January 1operationsOther(a)write-offs(b)Recoveries(b)December 31
2014
Commercial
CLL
Americas$ 473 $ 307 $ (3)$ (422)$ 100 $ 455
International 505 159 (37) (351) 100 376
Total CLL 978 466 (40) (773) 200 831
Energy Financial Services 8 30 (1) (17) 6 26
GECAS 17 39 - (10) - 46
Other 2 - (2) - - -
Total Commercial 1,005 535 (43) (800) 206 903
Real Estate 192 (86) (1) (59) 115 161
Consumer
Non-U.S. residential mortgages 358 256 (151) (207) 69 325
Non-U.S. installment and revolving credit 650 338 (260) (787) 458 399
U.S. installment and revolving credit 2,823 2,875 19 (3,138) 607 3,186
Other 150 75 (33) (151) 60 101
Total Consumer 3,981 3,544 (425) (4,283) 1,194 4,011
Total$ 5,178 $ 3,993 $ (469)$ (5,142)$ 1,515 $ 5,075

2013
Commercial
CLL
Americas$496 $289 $(1)$(425)$114 $473
International525 445 1 (556)90 505
Total CLL1,021 734 - (981)204 978
Energy Financial Services9 (1) - - - 8
GECAS8 9 - - - 17
Other3 (1) - (2) 2 2
Total Commercial1,041 741 - (983)206 1,005
Real Estate320 28 (4)(163)11 192
Consumer
Non-U.S. residential mortgages480 269 10 (458)57 358
Non-U.S. installment and revolving credit649 647 (106)(1,093)553 650
U.S. installment and revolving credit2,282 3,006 (51)(2,954)540 2,823
Other172 127 11 (236)76 150
Total Consumer3,583 4,049 (136)(4,741)1,226 3,981
Total$4,944 $4,818 $(140)$(5,887)$1,443 $5,178

  • Other primarily included the 2014 reclassifications of Budapest Bank and GEMB-Nordic to held for sale, dispositions and the effects of currency exchange. GEMB-Nordic was subsequently sold in the fourth quarter of 2014.
  • Net write-offs (gross write-offs less recoveries) in certain portfolios may exceed the beginning allowance for losses as a result of losses that are incurred subsequent to the beginning of the fiscal year due to information becoming available during the current year, which may identify further deterioration on existing financing receivables.

ALLOWANCE FOR LOSSES ON FINANCING RECEIVABLES
Provision
Balance atcharged to GrossBalance at
(In millions)January 1operationsOther(a)write-offs(b)Recoveries(b)December 31
2012
Commercial
CLL
Americas$ 893 $ 122 $ (52)$ (578)$ 111 $ 496
International 557 411 (6) (524) 87 525
Total CLL 1,450 533 (58) (1,102) 198 1,021
Energy Financial Services 26 4 - (24) 3 9
GECAS 17 4 - (13) - 8
Other 37 1 (20) (17) 2 3
Total Commercial 1,530 542 (78) (1,156) 203 1,041
Real Estate 1,089 72 (44) (810) 13 320
Consumer
Non-U.S. residential mortgages 545 112 8 (261) 76 480
Non-U.S. installment and revolving credit 791 308 20 (1,120) 650 649
U.S. installment and revolving credit 2,008 2,666 (24) (2,906) 538 2,282
Other 199 132 18 (257) 80 172
Total Consumer 3,543 3,218 22 (4,544) 1,344 3,583
Total$ 6,162 $ 3,832 $ (100)$ (6,510)$ 1,560 $ 4,944

  • Other primarily included transfers to held for sale and the effects of currency exchange.
  • Net write-offs (gross write-offs less recoveries) in certain portfolios may exceed the beginning allowance for losses as a result of losses that are incurred subsequent to the beginning of the fiscal year due to information becoming available during the current year, which may identify further deterioration on existing financing receivables.