XML 154 R45.htm IDEA: XBRL DOCUMENT  v2.3.0.11
Allowance For Credit Losses (Tables)
 6 Months Ended
Jun. 30, 2011
Allowance For Credit Losses (Tables) [Abstract]  
Allowance for Loan Losses
 
2011
 
2010
Six months ended June 30,
(in millions)
Wholesale
Consumer,
excluding
credit card
 
Credit card
Total
 
Wholesale
Consumer,
excluding
credit card
 
Credit card
Total
Allowance for loan losses
 
 
 
 
 
 
 
 
 
 
 
Beginning balance at January 1,
$
4,761


$
16,471


 
$
11,034


$
32,266


 
$
7,145


$
14,785


 
$
9,672


$
31,602


Cumulative effect of change in accounting principles(a)
—


—


 
—


—


 
14


127


 
7,353


7,494


Gross charge-offs
387


2,817


 
4,762


7,966


 
1,278


4,429


 
8,945


14,652


Gross recoveries
(142
)
(275
)
 
(726
)
(1,143
)
 
(88
)
(228
)
 
(712
)
(1,028
)
Net charge-offs
245


2,542


 
4,036


6,823


 
1,190


4,201


 
8,233


13,624


Provision for loan losses
(414
)
2,446


 
1,036


3,068


 
(812
)
5,450


 
5,733


10,371


Other
(11
)
12


 
8


9


 
(9
)
3


 
(1
)
(7
)
Ending balance at June 30,
$
4,091


$
16,387


 
$
8,042


$
28,520


 
$
5,148


$
16,164


 
$
14,524


$
35,836


Allowance for loan losses by impairment methodology
 
 
 
 
 
 
 
 
 
 
 
Asset-specific(b)(c)(d)
$
749


$
1,049


 
$
3,451


$
5,249


 
$
1,324


$
1,091


 
$
4,846


$
7,261


Formula-based(d)
3,342


10,397


 
4,591


18,330


 
3,824


12,262


 
9,678


25,764


PCI
—


4,941


 
—


4,941


 
—


2,811


 
—


2,811


Total allowance for loan losses
$
4,091


$
16,387


 
$
8,042


$
28,520


 
$
5,148


$
16,164


 
$
14,524


$
35,836


Loans by impairment methodology
 
 
 
 
 
 
 
 
 
 
 
Asset-specific
$
3,380


$
7,858


 
$
8,484


$
19,722


 
$
5,661


$
5,428


 
$
10,887


$
21,976


Formula-based
240,790


238,317


 
117,039


596,146


 
207,232


256,900


 
132,107


596,239


PCI
54


68,994


 
—


69,048


 
94


76,901


 
—


76,995


Total retained loans
$
244,224


$
315,169


 
$
125,523


$
684,916


 
$
212,987


$
339,229


 
$
142,994


$
695,210


 
 
 
 
 
 
 
 
 
 
 
 
Impaired collateral-dependent loans
 
 
 
 
 
 
 
 
 
 
 
Net charge-offs(e)
$
59


$
53


 
$
—


$
112


 
$
297


$
227


 
$
—


$
524


Loans measured at fair value of collateral less cost to sell(e)
1,144


863


(f) 
—


2,007


 
2,064


801


(f) 
—


2,865


(a)
Effective January 1, 2010, the Firm adopted accounting guidance related to VIEs. Upon adoption of the guidance, the Firm consolidated its Firm-sponsored credit card securitization trusts, its Firm-administered multi-seller conduits and certain other consumer loan securitization entities, primarily mortgage-related. As a result, $7.4 billion, $14 million and $127 million, respectively, of allowance for loan losses were recorded on-balance sheet with the consolidation of these entities. For further discussion, see Note 16 on pages 244–259 of JPMorgan Chase’s 2010 Annual Report.
(b)
Relates to risk-rated loans that have been placed on nonaccrual status and loans that have been modified in a troubled debt restructuring.
(c)
At June 30, 2011 and 2010, the asset-specific consumer excluding credit card allowance for loan losses included troubled debt restructuring reserves of $962 million and $946 million, respectively. The asset-specific credit card allowance for loan losses is related to loans modified in TDRs.
(d)
At June 30, 2011 and 2010, the Firm’s allowance for loan losses on all impaired credit card loans was reclassified to the asset-specific allowance. This reclassification has no incremental impact on the Firm’s allowance for loan losses. Prior periods have been revised to reflect the current presentation.
(e)
Prior periods have been revised to conform with the current presentation.
(f)
Includes collateral-dependent residential mortgage loans that are charged off to the fair value of the underlying collateral less cost to sell. These loans are considered collateral-dependent under regulatory guidance because they involve modifications where an interest-only period is provided or a significant portion of principal is deferred.
Allowance for lending related commitments
 
2011
 
2010
Six months ended June 30, (in millions)
Wholesale
Consumer,
excluding
credit card
Credit Card
Total
 
Wholesale
Consumer,
excluding
credit card
Credit Card
Total
Allowance for lending-related commitments
 
 
 
 
 
 
 
 
 
 
 
Beginning balance at January 1,
$
711


$
6


 
$
—


$
717


 
$
927


$
12


 
$
—


$
939


Cumulative effect of change in accounting principles(a)
—


—


 
—


—


 
(18
)
—


 
—


(18
)
Provision for lending-related commitments
(89
)
—


 
—


(89
)
 
4


(2
)
 
—


2


Other
(2
)
—


 
—


(2
)
 
(11
)
—


 
—


(11
)
Ending balance at June 30,
$
620


$
6


 
$
—


$
626


 
$
902


$
10


 
$
—


$
912


Allowance for lending-related commitments by impairment methodology
 
 
 
 
 
 
 
 
 
 
 
Asset-specific
$
144


$
—


 
$
—


$
144


 
$
248


$
—


 
$
—


$
248


Formula-based
476


6


 
—


482


 
654


10


 
—


664


Total allowance for lending-related commitments
$
620


$
6


 
$
—


$
626


 
$
902


$
10


 
$
—


$
912


Lending-related commitments by impairment methodology
 
 
 
 
 
 
 
 
 
 
 
Asset-specific
$
793


$
—


 
$
—


$
793


 
$
1,195


$
—


 
$
—


$
1,195


Formula-based
364,896


64,649


 
535,625


965,170


 
323,357


69,499


 
550,442


943,298


Total lending-related commitments
$
365,689


$
64,649


 
$
535,625


$
965,963


 
$
324,552


$
69,499


 
$
550,442


$
944,493


(a)
Effective January 1, 2010, the Firm adopted accounting guidance related to VIEs. Upon adoption of the guidance, the Firm consolidated its administered multi-seller conduits. As a result, related assets are now primarily recorded in loans and other assets on the Consolidated Balance Sheets.