Investment in Receivables

12 Months Ended

Dec. 31, 2012

Note 3 – Investment in Receivables

The investment in receivables consisted of the following at December 31:


	2012			2011
Investment in finance leases:
Direct finance leases:
Minimum lease payments	$	1,436		$	1,661
Estimated residual value		512			509
Unearned income and deferred net incremental direct costs		(502	)		(570	)
Leveraged leases⁽¹⁾:
Minimum lease payments		542			600
Less principal and interest payable on non-recourse debt		(288	)		(376	)
Estimated residual value		32			32
Unearned income and deferred net incremental direct costs		(159	)		(129	)
Total investment in finance leases		1,573			1,727
Investment in notes and other:
Principal		777			620
Accrued interest		1			3
Unamortized deferred fees and net incremental direct costs		(5	)		(2	)
Total notes and other		773			621
Total investment in finance leases and notes and other		2,346			2,348
Less allowance for losses on receivables		(46	)		(53	)
	$	2,300		$	2,295

Receivables balance individually evaluated for impairment	$	253		$	350
Receivables balance collectively evaluated for impairment	$	2,093		$	1,998

⁽¹⁾

For the years ended December 31, 2012 and 2011, net investment in leveraged leases, less deferred income taxes of $143 and $202, was $(16) and $(75).

Scheduled minimum lease payments on Finance leases and scheduled principal payments on Notes and other receivables are as follows for the years ended December 31:


	2013		2014		2015		2016		2017		Thereafter
Finance leases⁽¹⁾	$	234	$	175	$	175	$	175	$	163	$	768
Notes and other	$	382	$	98	$	57	$	41	$	42	$	157

⁽¹⁾

Includes both direct finance leases and leveraged leases (less principal and interest payable on non-recourse debt).