Segment And Geographic Information

12 Months Ended

Dec. 31, 2011

Segment Reporting [Abstract]

Segment and Geographic Information

28.    Segment and Geographic Information

Operating segments are defined as components of an enterprise that engage in business activity from which revenues are earned and expenses incurred for which discrete financial information is available that is evaluated regularly by our chief operating decision maker in deciding how to allocate resources and in assessing performance.

We report our results of operations on a line-of-business basis through five operating segments - North American Automotive Finance operations, International Automotive Finance operations, Insurance operations, Mortgage - Origination and Servicing operations, and Mortgage - Legacy Portfolio and Other operations, with the remaining activity reported in Corporate and Other. The operating segments are determined based on the products and services offered and geographic considerations, and reflect the manner in which financial information is currently evaluated by management. The following is a description of each of our reportable operating segments.

North American Automotive Finance operations— Provides automotive financing services to consumers and automotive dealers in the United States and Canada and includes the automotive activities of Ally Bank and ResMor Trust. For consumers, we offer retail automotive financing and leasing for new and used vehicles, and through our commercial automotive financing operations, we fund dealer purchases of new and used vehicles through wholesale or floorplan financing.

International Automotive Finance operations— Provides automotive financing and full-service leasing to consumers and dealers outside of the United States and Canada. Our International Automotive Finance operations will focus the majority of new originations in five core international markets: Germany, the United Kingdom, Brazil, Mexico, and China through our joint venture.

Insurance operations — Offers consumer and commercial insurance products sold primarily through the dealer channel including vehicle service contracts, commercial insurance coverage in the United States (primarily covering dealers' wholesale vehicle inventory), and personal automobile insurance in certain countries outside the United States.

Mortgage — Origination and Servicing operations —The principal activities include originating, purchasing, selling, and securitizing conforming and government-insured residential mortgage loans in the United States; servicing residential mortgage loans for ourselves and others; and providing collateralized lines of credit to other mortgage originators, which we refer to as warehouse lending. We also originate high-quality prime jumbo mortgage loans in the United States. We finance our mortgage loan originations primarily in Ally Bank in the United States.

Mortgage — Legacy Portfolio and Other operations — Primarily consists of loans originated prior to January 1, 2009, and includes noncore business activities including discontinued operations, portfolios in runoff, our mortgage reinsurance business, and cash held in the ResCap legal entity. These activities, all of which we have discontinued, included, among other things: lending to real estate developers and homebuilders in the United States and United Kingdom; and purchasing, selling, and securitizing nonconforming residential mortgage loans (with the exception of U.S. prime jumbo mortgage loans originated subsequent to January 1, 2009, which are included in our Origination and Servicing operations) in both the United States and internationally.

Corporate and Other primarily consists of our centralized corporate treasury and deposit gathering activities, such as management of the cash and corporate investment securities portfolios, short- and long-term debt, retail and brokered deposit liabilities, derivative instruments, the amortization of the discount associated with new debt issuances and bond exchanges, most notably from the December 2008 bond exchange, and the residual impacts of our corporate funds-transfer pricing (FTP) and treasury asset liability management (ALM) activities. Corporate and Other also includes our Commercial Finance Group, certain equity investments, and reclassifications and eliminations between the reportable operating segments.

We utilize an FTP methodology for the majority of our business operations. The FTP methodology assigns charge rates and credit rates to classes of assets and liabilities based on expected duration and the LIBOR swap curve plus an assumed credit spread. Matching duration allocates interest income and interest expense to these reportable segments so their respective results are insulated from interest rate risk. This methodology is consistent with our ALM practices, which includes managing interest rate risk centrally at a corporate level. The net residual impact of the FTP methodology is included within the results of Corporate and Other.

The information presented in our reportable operating segments and geographic areas tables that follow are based in part on internal allocations, which involve management judgment.

Change in Reportable Segment Information

Beginning in the fourth quarter of 2011, we began presenting our Canadian mortgage operations of ResMor Trust with Legacy Portfolio and Other operations. Previously these operations were included with Originations and Servicing operations. The change was made because the mortgage operations of ResMor Trust were classified as discontinued and held-for-sale.

Financial information for our reportable operating segments is summarized as follows.

	Global Automotive Services							Mortgage (a)
Year ended December 31, ($ in millions)	North American Automotive Finance operations		International Automotive Finance operations (b)			Insurance operations		Origination and Servicing operations			Legacy Portfolio and Other operations			Corporate and Other (c)			Consolidated (d)
2011
Net financing revenue (loss)	$	3,155	$	662		$	93	$	(25	)	$	284		$	(1,694	)	$	2,475
Other revenue	433		239			1,774		958			2			190			3,596
Total net revenue (loss)	3,588		901			1,867		933			286			(1,504		)	6,071
Provision for loan losses	93		65			—		1			149			(89		)	219
Other noninterest expense	1,389		626			1,460		1,279			539			492			5,785
Income (loss) from continuing operations before income tax expense	$	2,106	$	210		$	407	$	(347	)	$	(402	)	$	(1,907	)	$	67
Total assets	$	96,971	$	15,505		$	8,036	$	23,016		$	10,890		$	29,641		$	184,059
2010
Net financing revenue (loss)	$	3,321	$	654		$	98	$	35		$	605		$	(2,099	)	$	2,614
Other revenue (loss)	690		240			2,142		1,738			260			(42		)	5,028
Total net revenue (loss)	4,011		894			2,240		1,773			865			(2,141		)	7,642
Provision for loan losses	286		54			—		(29		)	173			(42		)	442
Other noninterest expense	1,381		635			1,678		882			959			526			6,061
Income (loss) from continuing operations before income tax expense	$	2,344	$	205		$	562	$	920		$	(267	)	$	(2,625	)	$	1,139
Total assets	$	81,893	$	15,979		$	8,789	$	23,681		$	13,105		$	28,561		$	172,008
2009
Net financing revenue (loss)	$	3,074	$	707		$	191	$	18		$	632		$	(2,460	)	$	2,162
Other revenue (loss)	757		116			1,953		958			(684		)	940			4,040
Total net revenue (loss)	3,831		823			2,144		976			(52		)	(1,520		)	6,202
Provision for loan losses	611		230			—		41			4,230			491			5,603
Other noninterest expense	1,596		695			1,823		892			2,023			479			7,508
Income (loss) from continuing operations before income tax expense	$	1,624	$	(102	)	$	321	$	43		$	(6,305	)	$	(2,490	)	$	(6,909	)
Total assets	$	68,282	$	21,802		$	10,614	$	17,914		$	20,980		$	32,714		$	172,306

(a) Represents the ResCap legal entity and the mortgage activities of Ally Bank.

(b) Amounts include intra-segment eliminations between our North American Automotive Finance operations, International Automotive Finance operations, and Insurance operations.

(c) At December 31, 2011, 2010 and 2009, total assets were $1.2 billion, $1.6 billion, and $3.3 billion for the Commercial Finance Group, respectively.

(d) Net financing revenue after the provision for loan losses totaled $2.3 billion, $2.2 billion, and $(3.4) billion in 2011, 2010 and 2009, respectively.

Information concerning principal geographic areas was as follows.

Year ended December 31, ($ in millions)	Revenue (a)(b)			Income (loss) from  continuing operations before income tax expense (a)(c)			Net income (loss) (a)(c)			Identifiable assets (a)(d)		Long-lived assets (e)
2011
Canada	$	842		$	483		$	436		$	15,156	$	282
Europe (f)	416			201			175			9,976		92
Latin America	921			184			104			7,647		30
Asia	83			80			69			292		—
Total foreign	2,262			948			784			33,071		404
Total domestic (g)	3,809			(881		)	(941		)	150,470		9,236
Total	$	6,071		$	67		$	(157	)	$	183,541	$	9,640
2010
Canada	$	869		$	439		$	402		$	17,321	$	1,522
Europe (f)	583			316			278			11,321		406
Latin America	869			170			164			6,917		35
Asia	54			57			7			202		—
Total foreign	2,375			982			851			35,761		1,963
Total domestic (g)	5,267			157			224			135,722		7,541
Total	$	7,642		$	1,139		$	1,075		$	171,483	$	9,504
2009
Canada	$	631		$	198		$	148		$	17,885	$	3,985
Europe (f)	650			79			(86		)	15,555		906
Latin America	709			116			163			6,574		33
Asia	(33		)	(2		)	9			1,506		8
Total foreign	1,957			391			234			41,520		4,932
Total domestic (g)	4,245			(7,300		)	(10,532		)	130,260		11,399
Total	$	6,202		$	(6,909	)	$	(10,298	)	$	171,780	$	16,331

(a) The 2010 and 2009 balances for Asia and domestic were reclassified to conform with the 2011 presentation. These reclassifications have no impact to our consolidated financial position or results of operations.

(b) Revenue consists of net financing revenue and total other revenue as presented in our Consolidated Statement of Income.

(c) The domestic amounts include original issue discount amortization of $925 million, $1.2 billion, and $1.1 billion for the years ended December 31, 2011, 2010, and 2009, respectively.

(d) Identifiable assets consist of total assets excluding goodwill.

(e) Long-lived assets consist of investment in operating leases, net, and net property and equipment.

(f) Amounts include eliminations between our foreign operations.

(g) Amounts include eliminations between our domestic and foreign operations.