Segment And Geographic Information

6 Months Ended

Jun. 30, 2015

Segment Reporting [Abstract]

Segment Reporting Disclosure [Text Block]

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 three operating segments: Automotive Finance operations, Insurance operations, and Mortgage operations, with the remaining activity reported in Corporate and Other. The operating segments are determined based on the products and services offered, 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.

Automotive Finance operations— Provides automotive financing services to consumers and automotive dealers. Our automotive financing services include providing retail installment sales financing, loans, and leases; offering term loans to dealers, financing dealer floorplans and other lines of credit to dealers; fleet financing, and vehicle remarketing services.

Insurance operations — Offers both consumer financial and insurance products sold primarily through the automotive dealer channel, and commercial insurance products sold to dealers. As part of our focus on offering dealers a broad range of consumer financial and insurance products, we provide vehicle service contracts, maintenance coverage, and guaranteed automobile protection (GAP) products. We also underwrite selected commercial insurance coverages, which primarily insure dealers' vehicle inventories.

Mortgage operations — Our ongoing Mortgage operations include the management of our held-for-investment and held-for-sale mortgage portfolios.

Corporate and Other primarily consists of Corporate Finance, centralized corporate treasury 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 debt issuances and bond exchanges, and the residual impacts of our corporate funds-transfer pricing (FTP) and treasury asset liability management (ALM) activities. Corporate and Other also includes certain equity investments, overhead that was previously allocated to operations that have since been sold or classified as discontinued operations, 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.

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

Three months ended June 30, ($ in millions)	Automotive Finance operations		Insurance operations			Mortgage operations			Corporate and Other (a)			Consolidated (b)
2015
Net financing revenue	$	850	$	14		$	15		$	37		$	916
Other revenue (loss)	55		268			6			(118		)	211
Total net revenue (loss)	905		282			21			(81		)	1,127
Provision for loan losses	132		—			3			5			140
Total noninterest expense	372		267			10			75			724
Income (loss) from continuing operations before income tax expense	$	401	$	15		$	8		$	(161	)	$	263
Total assets	$	113,607	$	7,260		$	9,249		$	26,356		$	156,472
2014
Net financing revenue (loss)	$	884	$	16		$	12		$	(46	)	$	866
Other revenue	62		290			9			4			365
Total net revenue (loss)	946		306			21			(42		)	1,231
Provision for loan losses	99		—			(25		)	(11		)	63
Total noninterest expense	386		329			19			87			821
Income (loss) from continuing operations before income tax expense	$	461	$	(23	)	$	27		$	(118	)	$	347
Total assets	$	111,334	$	7,232		$	7,640		$	23,731		$	149,937

(a) Total assets for Corporate Finance were $2.1 billion and $1.7 billion at June 30, 2015 and 2014, respectively.

(b) Net financing revenue after the provision for loan losses totaled $776 million and $803 million for the three months endedJune 30, 2015 and 2014, respectively.

Six months ended June 30, ($ in millions)	Automotive Finance operations		Insurance operations		Mortgage operations			Corporate and Other (a)			Consolidated (b)
2015
Net financing revenue	$	1,659	$	26	$	30		$	51		$	1,766
Other revenue (loss)	107		536		74			(263		)	454
Total net revenue (loss)	1,766		562		104			(212		)	2,220
Provision for loan losses	259		—		(2		)	(1		)	256
Total noninterest expense	775		469		29			146			1,419
Income (loss) from continuing operations before income tax expense	$	732	$	93	$	77		$	(357	)	$	545
Total assets	$	113,607	$	7,260	$	9,249		$	26,356		$	156,472
2014
Net financing revenue (loss)	$	1,704	$	31	$	26		$	(74	)	$	1,687
Other revenue (loss)	126		562		13			(15		)	686
Total net revenue (loss)	1,830		593		39			(89		)	2,373
Provision for loan losses	258		—		(48		)	(10		)	200
Total noninterest expense	772		542		43			177			1,534
Income (loss) from continuing operations before income tax expense	$	800	$	51	$	44		$	(256	)	$	639
Total assets	$	111,334	$	7,232	$	7,640		$	23,731		$	149,937

(a) Total assets for Corporate Finance were $2.1 billion and $1.7 billion at June 30, 2015 and 2014, respectively.

(b) Net financing revenue after the provision for loan losses totaled $1.5 billion for each of the six months endedJune 30, 2015 and 2014, respectively.

Information concerning principal geographic areas was as follows.

Three months ended June 30, ($ in millions)	Revenue (a)		Income (loss) from continuing operations before income tax expense (b)			Net income (loss) (b)(c)
2015
Canada	$	28	$	13		$	13
Europe	—		—			17
Latin America	—		—			—
Asia-Pacific	—		—			—
Total foreign (d)	28		13			30
Total domestic (e)	1,099		250			152
Total	$	1,127	$	263		$	182
2014
Canada	$	33	$	16		$	36
Europe	—		(1		)	1
Latin America	—		—			(7		)
Asia-Pacific	—		—			33
Total foreign	33		15			63
Total domestic (e)	1,198		332			260
Total	$	1,231	$	347		$	323

(a) Revenue consists of net financing revenue and total other revenue as presented in our Condensed Consolidated Financial Statements.

(b) Domestic amounts include original discount amortization of $15 million and $50 million for the three months endedJune 30, 2015 and 2014, respectively.

(c) Gain (loss) realized on sale of discontinued operations are allocated to the geographic area in which the business operated.

(d) Our foreign operations as of June 30, 2015 consist of our ongoing Insurance operations in Canada and our remaining international entities in wind-down.

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

Six months ended June 30, ($ in millions)	Revenue (a)		Income from continuing operations before income tax expense (b)		Net income (loss) (b)(c)
2015
Canada	$	52	$	24	$	21
Europe	1		4		28
Latin America	—		—		—
Asia-Pacific	—		—		452
Total foreign (d)	53		28		501
Total domestic (e)	2,167		517		257
Total	$	2,220	$	545	$	758
2014
Canada	$	64	$	29	$	46
Europe	2		1		4
Latin America	—		—		(8		)
Asia-Pacific	—		—		66
Total foreign	66		30		108
Total domestic (e)	2,307		609		442
Total	$	2,373	$	639	$	550

(a) Revenue consists of net financing revenue and total other revenue as presented in our Condensed Consolidated Financial Statements.

(b) Domestic amounts include original discount amortization of $29 million and $98 million for the six months endedJune 30, 2015 and 2014, respectively.

(c) Gain (loss) realized on sale of discontinued operations are allocated to the geographic area in which the business operated.

(d) Our foreign operations as of June 30, 2015 consist of our ongoing Insurance operations in Canada and our remaining international entities in wind-down.

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