Borrowings

9 Months Ended

Sep. 30, 2016

Debt Disclosure [Abstract]

Borrowings

NOTE 9. BORROWINGS

(In millions)	September 30, 2016		December 31, 2015
Short-term borrowings
GE
Commercial paper	$	1,500	$	500
Current portion of long-term borrowings		15,212		17,770
Other		2,229		1,522
Total GE short-term borrowings(a)		18,940		19,792
GE Capital
Commercial paper
U.S.		5,002		650
Non-U.S.		-		4,351
Current portion of long-term borrowings(c)		9,356		24,969
Intercompany payable to GE(b)		10,074		17,642
Other		12		1,005
Total GE Capital short-term borrowings		24,444		48,617
Eliminations(b)		(11,813)		(18,549)
Total short-term borrowings	$	31,571	$	49,860
Long-term borrowings
GE
Senior notes	$	61,160	$	72,471
Subordinated notes		2,864		2,940
Subordinated debentures(d)		744		6,600
Other		915		1,298
Total GE long-term borrowings(a)		65,683		83,309
GE Capital
Senior notes		47,993		59,107
Subordinated notes		313		251
Intercompany payable to GE(b)		49,723		67,062
Other(c)		1,798		2,058
Total GE Capital long-term borrowings		99,828		128,478
Eliminations(b)		(49,825)		(67,128)
Total long-term borrowings	$	115,686	$	144,659
Non-recourse borrowings of consolidated securitization entities(e)	$	2,175	$	3,083
Total borrowings	$	149,432	$	197,602

• Excluding assumed debt of GE Capital, GE total borrowings is $19,823 million.
• The amount of the intercompany payable to GE was $59,798 million as of September 30, 2016, which includes a reduction in the short-term intercompany payable to GE for a $(5,002) million loan in the second quarter of 2016 from GE Capital to GE, which bears the right of offset against amounts owed under the assumed debt agreement.
• Included $2,468million and $2,679million of funding secured by aircraft and other collateral at September 30, 2016 and December 31, 2015, respectively, of which $1,425million and $1,534million is non-recourse to GE Capital at September 30, 2016 and December 31, 2015, respectively.
• Included $744 million and $2,587million of subordinated debenturesat September 30, 2016 and December 31, 2015, respectively, which constitute the sole assets of trusts that have issued trust preferred securities and where GE owns 100% of the common securities of the trusts. Obligations associated with these trusts are unconditionally guaranteed by GE.
• Included $1,843 million and $918million of current portion of long-term borrowings at September 30, 2016 and December 31, 2015, respectively. See Note 16.

As discussed in Note 1, the adoption of ASU 2015-03 resulted in the reclassification of $674 million of unamortized debt issuance costs related to the Company’s borrowings, of which $641 million was reclassified in long-term borrowings and $33 million was reclassified in short-term borrowings, within our consolidated balance sheet as of December 31, 2015.

On April 10, 2015, GE provided a full and unconditional guarantee on the payment of the principal and interest on all tradable senior and subordinated outstanding long-term debt securities and all commercial paper issued or guaranteed by GE Capital. $92,537 million of such debt was assumed by GE on December 2, 2015 upon its merger with GE Capital resulting in an intercompany payable to GE.At September 30, 2016, the amount of the intercompany payable to GE was $59,798 million, including $64,800 million of borrowings assumed by GE and a reduction for a $5,002 million short-term loan in the second quarter of 2016 from GE Capital to GE, which bears the right of offset against amounts owed under the assumed debt agreement. The Guarantee applies to approximately $53,527 million of GE Capital debt. Prior to the merger $35,999 million (representing $31,154 million of outstanding principal and $4,846 million of premium) of GE Capital debt was exchanged into a new GE Capital international entity, including $16,372 million, which matured on April 15, 2016.

Additional information about borrowings and associated swaps can be found in Notes 15 and 19.