Discontinued And Held-for-sale Operations

3 Months Ended

Mar. 31, 2012

Discontinued Operations and Disposal Groups [Abstract]

Discontinued and Held-for-sale Operations

Discontinued and Held-for-sale Operations

We classify operations as discontinued when operations and cash flows will be eliminated from our ongoing operations and we do not expect to retain any significant continuing involvement in their operations after the respective sale transactions. For all periods presented, all of the operating results for these discontinued operations were removed from continuing operations and were presented separately as discontinued operations, net of tax, in the Condensed Consolidated Statement of Comprehensive Income. The Notes to the Condensed Consolidated Financial Statements were adjusted to exclude discontinued operations unless otherwise noted.

Select Mortgage — Legacy Portfolio and Other Operations

During the fourth quarter of 2011, we committed to sell the Canadian mortgage operations of ResMor Trust. We expect to complete the sale during 2012.

Select Global Automotive Services — Insurance Operations

During the fourth quarter of 2011, we committed to sell our U.K.-based operations that provide vehicle service contracts and insurance products in Europe and Latin America. We expect to complete the sale during 2012. During the second quarter of 2011, we completed the sale of our U.K. consumer property and casualty insurance business.

Select Global Automotive Services — International Automotive Finance Operations

During the fourth quarter of 2011, we committed to sell our full-service leasing operations in Austria, Germany, Greece, Portugal, and Spain. We continue to negotiate with a potential buyer and expect to complete the sale during 2012. During the first quarter of 2012, we completed the sale of our Venezuela operations.

Select Financial Information

Select financial information of discontinued operations is summarized below. The pretax income or loss, including direct costs to transact, includes any impairment recognized to present the operations at the lower-of-cost or fair value. Fair value was based on the estimated sales price, which could differ from the ultimate sales price due to the fluidity of ongoing negotiations, price volatility, changing interest rates, changing foreign-currency rates, and future economic conditions.

	Three months  ended March 31,
($ in millions)	2012		2011
Select Mortgage — Legacy and Other operations
Total net revenue (loss)	$	5	$	(2	)
Pretax loss including direct costs to transact a sale	—		(8		)
Tax benefit	—		(2		)
Select Global Automotive Services — Insurance operations
Total net revenue	$	38	$	91
Pretax income including direct costs to transact a sale	8		9
Tax expense	2		2
Select Global Automotive Services — International operations
Total net revenue	$	6	$	28
Pretax income (loss) including direct costs to transact a sale (a)	2		(21		)
Tax expense	—		3

(a) Includes certain income tax activity recognized by Corporate and Other.

Held-for-sale Operations

The assets and liabilities of operations held-for-sale are summarized below.

March 31, 2012 ($ in millions)	Select Mortgage – Legacy and  Other operations (a)		Select Global Automotive Services –Insurance operations (b)		Select Global Automotive Services – International operations (c)			Total held-for-sale operations
Assets
Cash and cash equivalents
Noninterest-bearing	$	—	$	3	$	27		$	30
Interest-bearing	—		70		5			75
Total cash and cash equivalents	—		73		32			105
Investment securities	—		193		—			193
Loans held-for-sale, net	202		—		—			202
Finance receivables and loans, net
Finance receivables and loans, net	237		—		4			241
Allowance for loan losses	—		—		—			—
Total finance receivables and loans, net	237		—		4			241
Investment in operating leases, net	—		—		64			64
Premiums receivable and other insurance assets	—		74		—			74
Other assets	124		19		20			163
Impairment on assets of held-for-sale operations	—		—		(34		)	(34		)
Total assets	$	563	$	359	$	86		$	1,008
Liabilities
Unearned insurance premiums and service revenue	$	—	$	136	$	—		$	136
Reserves for insurance losses and loss adjustment expenses	—		17		—			17
Accrued expenses and other liabilities	69		93		8			170
Total liabilities	$	69	$	246	$	8		$	323

(a) Includes the Canadian mortgage operations of ResMor Trust.

(b) Includes our U.K.-based operations that provide vehicle service contracts and insurance products.

(c) Includes our full-service leasing operations in Austria, Germany, Greece, Portugal, and Spain.

December 31, 2011 ($ in millions)	Select Mortgage – Legacy and  Other operations (a)		Select Global Automotive Services –Insurance operations (b)		Select Global Automotive Services – International operations (c)			Total held-for-sale operations
Assets
Cash and cash equivalents
Noninterest-bearing	$	—	$	4	$	55		$	59
Interest-bearing	—		54		38			92
Total cash and cash equivalents	—		58		93			151
Investment securities	—		186		—			186
Loans held-for-sale, net	260		—		—			260
Finance receivables and loans, net
Finance receivables and loans, net	285		—		11			296
Allowance for loan losses	—		—		(1		)	(1		)
Total finance receivables and loans, net	285		—		10			295
Investment in operating leases, net	—		—		91			91
Premiums receivable and other insurance assets	—		77		—			77
Other assets	140		14		30			184
Impairment on assets of held-for-sale operations	—		—		(174		)	(174		)
Total assets	$	685	$	335	$	50		$	1,070
Liabilities
Unearned insurance premiums and service revenue	$	—	$	130	$	—		$	130
Reserves for insurance losses and loss adjustment expenses	—		17		—			17
Accrued expenses and other liabilities	80		82		28			190
Total liabilities	$	80	$	229	$	28		$	337

(a) Includes the Canadian mortgage operations of ResMor Trust.

(b) Includes our U.K.-based operations that provide vehicle service contracts and insurance products.

(c) Includes the operations of Venezuela and our full-service leasing operations in Austria, Germany, Greece, Portugal, and Spain.

Recurring Fair Value

The following tables display the assets and liabilities of our held-for-sale operations measured at fair value on a recurring basis. Refer to Note 21 for descriptions of valuation methodologies used to measure material assets at fair value and details of the valuation models, key inputs to these models, and significant assumptions used.

	Recurring fair value measurements
($ in millions)	Level 1		Level 2		Level 3		Total
March 31, 2012
Assets
Investment securities
Available-for-sale securities
Debt securities
Foreign government	$	192	$	—	$	—	$	192
Corporate debt	1		—		—		1
Other assets
Interest retained in financial asset sales	—		—		58		58
Total assets	$	193	$	—	$	58	$	251
December 31, 2011
Assets
Investment securities
Available-for-sale securities
Debt securities
Foreign government	$	171	$	15	$	—	$	186
Other assets
Interest retained in financial asset sales	—		—		66		66
Total assets	$	171	$	15	$	66	$	252