|
In millions of dollars |
|
2013 |
|
2012 |
|
2011 |
| |||
|
Allowance for loan losses at beginning of year |
|
$ |
25,455 |
|
$ |
30,115 |
|
$ |
40,655 |
|
|
Gross credit losses (1)(2) |
|
(12,769 |
) |
(17,005 |
) |
(22,699 |
) | |||
|
Gross recoveries |
|
2,306 |
|
2,774 |
|
3,012 |
| |||
|
Net credit losses (NCLs) |
|
$ |
(10,463 |
) |
$ |
(14,231 |
) |
$ |
(19,687 |
) |
|
NCLs |
|
$ |
10,463 |
|
$ |
14,231 |
|
$ |
19,687 |
|
|
Net reserve builds (releases) (1) |
|
(1,961 |
) |
(1,908 |
) |
(8,525 |
) | |||
|
Net specific reserve builds (releases) (2) |
|
(898 |
) |
(1,865 |
) |
174 |
| |||
|
Total provision for credit losses |
|
$ |
7,604 |
|
$ |
10,458 |
|
$ |
11,336 |
|
|
Other, net (3) |
|
(2,948 |
) |
(887 |
) |
(2,189 |
) | |||
|
Allowance for loan losses at end of year |
|
$ |
19,648 |
|
$ |
25,455 |
|
$ |
30,115 |
|
|
Allowance for credit losses on unfunded lending commitments at beginning of year (4) |
|
$ |
1,119 |
|
$ |
1,136 |
|
$ |
1,066 |
|
|
Provision for unfunded lending commitments |
|
80 |
|
(16 |
) |
51 |
| |||
|
Other, net |
|
30 |
|
(1 |
) |
19 |
| |||
|
Allowance for credit losses on unfunded lending commitments at end of year (4) |
|
$ |
1,229 |
|
$ |
1,119 |
|
$ |
1,136 |
|
|
Total allowance for loans, leases, and unfunded lending commitments |
|
$ |
20,877 |
|
$ |
26,574 |
|
$ |
31,251 |
|
(1) 2012 includes approximately $635 million of incremental charge-offs related to OCC guidance issued in the third quarter of 2012, which required mortgage loans to borrowers that have gone through Chapter 7 of the U.S. Bankruptcy Code to be written down to collateral value. There was a corresponding approximate $600 million release in the third quarter of 2012 allowance for loan losses related to these charge-offs. 2012 also includes a benefit to charge-offs of approximately $40 million related to finalizing the impact of this OCC guidance in the fourth quarter of 2012.
(2) 2012 includes approximately $370 million of incremental charge-offs related to previously deferred principal balances on modified loans in the first quarter of 2012. These charge-offs were related to anticipated forgiveness of principal in connection with the national mortgage settlement. There was a corresponding approximate $350 million reserve release in the first quarter of 2012 related to these charge-offs.
(3) 2013 includes reductions of approximately $2.4 billion related to the sale or transfer to held-for-sale of various loan portfolios, which includes approximately $360 million related to the sale of Credicard and approximately $255 million related to a transfer to held-for-sale of a loan portfolio in Greece, approximately $230 million related to a non-provision transfer of reserves associated with deferred interest to other assets which includes deferred interest and approximately $220 million related to foreign currency translation. 2012 includes reductions of approximately $875 million related to the sale or transfer to held-for-sale of various U.S. loan portfolios. 2011 includes reductions of approximately $1.6 billion related to the sale or transfer to held-for-sale of various U.S. loan portfolios, approximately $240 million related to the sale of the Egg Banking PLC credit card business, approximately $72 million related to the transfer of the Citi Belgium business to held-for-sale and approximately $290 million related to foreign exchange translation.
(4) Represents additional credit loss reserves for unfunded lending commitments and letters of credit recorded in Other liabilities on the Consolidated Balance Sheet.