Segment Information

6 Months Ended

Jun. 30, 2016

Segment Reporting [Abstract]

SEGMENT INFORMATION

SEGMENT INFORMATION

We divide our business segments based on geographic regions: North America (“North America Segment”) and International (“International Segment”). The North America Segment includes our operations in the United States and Canada. The International Segment includes our operations in all other countries in which we do business directly and indirectly.

Key operating data for our business segments for the periods ended or at June 30 were as follows (in millions):

					Unallocated/Eliminations
	North America Segment		International Segment		Unallocated Risk Management			Adjustment to Receivables (a)			Total Unallocated/Eliminations			Total
Second Quarter 2016
Total revenue (b)	$	2,288	$	428	$	(28	)	$	—		$	(28	)	$	2,688
Income before income taxes	297		131		(28		)	—			(28		)	400
Other disclosures:
Depreciation on vehicles subject to operating leases	1,069		6		—			—			—			1,075
Interest expense	538		149		—			—			—			687
Provision for credit losses	125		12		—			—			—			137
Second Quarter 2015
Total revenue (b)	$	1,951	$	400	$	(13	)	$	—		$	(13	)	$	2,338
Income before income taxes	406		113		(13		)	—			(13		)	506
Other disclosures:
Depreciation on vehicles subject to operating leases	849		9		—			—			—			858
Interest expense	448		151		—			—			—			599
Provision for credit losses	60		12		—			—			—			72
First Half 2016
Total revenue (b)	$	4,490	$	841	$	(35	)	$	—		$	(35	)	$	5,296
Income before income taxes	691		258		(35		)	—			(35		)	914
Other disclosures:
Depreciation on vehicles subject to operating leases	2,077		12		—			—			—			2,089
Interest expense	1,041		292		—			—			—			1,333
Provision for credit losses	234		31		—			—			—			265
Net finance receivables and net investment in operating leases	108,431		25,773		—			(6,107		)	(6,107		)	128,097
Total assets	116,050		29,517		—			—			—			145,567
First Half 2015
Total revenue (b)	$	3,848	$	810	$	(38	)	$	—		$	(38	)	$	4,620
Income before income taxes	785		242		(38		)	—			(38		)	989
Other disclosures:
Depreciation on vehicles subject to operating leases	1,660		14		—			—			—			1,674
Interest expense	930		307		—			—			—			1,237
Provision for credit losses	115		24		—			—			—			139
Net finance receivables and net investment in operating leases	94,831		22,726		—			(4,631		)	(4,631		)	112,926
Total assets	100,475		27,124		—			—			—			127,599

__________

(a) Includes unearned interest supplements and residual support, allowances for credit losses, and other (primarily accumulated supplemental depreciation).

(b) Represents Total financing revenue, Insurance premiums earned, and Other income, net.