Segment Reporting (Tables)

12 Months Ended

Dec. 31, 2016

Our segment information for 2016, 2015 and 2014 is as follows:



(Dollars in thousands)	Global Commercial Bank (1)			SVB Private Bank			SVB Capital (1)			Other Items (2)			Total
Year ended December 31, 2016
Net interest income (expense)	$	1,040,712		$	53,582		$	(49	)	$	56,278		$	1,150,523
Provision for loan losses	(93,885		)	(1,812		)	—			—			(95,697		)
Noninterest income	320,421			2,713			49,365			84,053			456,552
Noninterest expense (3)	(630,760		)	(12,379		)	(15,546		)	(212,094		)	(870,779		)
Income before income tax expense (4)	$	636,488		$	42,104		$	33,770		$	(71,763	)	$	640,599
Total average loans, net of unearned income	$	16,047,545		$	2,025,381		$	—		$	210,665		$	18,283,591
Total average assets (5)	41,494,959			2,035,311			338,848			118,333			43,987,451
Total average deposits	37,301,483			1,133,425			—			324,151			38,759,059
Year ended December 31, 2015
Net interest income	$	853,882		$	44,412		$	3		$	108,128		$	1,006,425
Provision for loan losses	(94,913		)	(2,716		)	—			—			(97,629		)
Noninterest income	272,862			2,011			70,857			127,064			472,794
Noninterest expense (3)	(577,477		)	(12,185		)	(14,699		)	(173,655		)	(778,016		)
Income before income tax expense (4)	$	454,354		$	31,522		$	56,161		$	61,537		$	603,574
Total average loans, net of unearned income	$	12,984,646		$	1,592,065		$	—		$	186,230		$	14,762,941
Total average assets (5)	38,439,161			1,588,778			337,884			480,554			40,846,377
Total average deposits	34,996,194			1,108,411			—			188,757			36,293,362
Year ended December 31, 2014
Net interest income	$	742,245		$	31,427		$	58		$	82,865		$	856,595
Provision for loan losses	(58,635		)	(851		)	—			—			(59,486		)
Noninterest income	203,474			1,494			58,058			309,213			572,239
Noninterest expense (3)	(512,245		)	(11,314		)	(12,668		)	(170,953		)	(707,180		)
Income before income tax expense (4)	$	374,839		$	20,756		$	45,448		$	221,125		$	662,168
Total average loans, net of unearned income	$	10,144,291		$	1,155,992		$	—		$	202,658		$	11,502,941
Total average assets (5)	30,183,254			1,176,326			320,129			1,282,227			32,961,936
Total average deposits	27,360,721			890,062			—			70,042			28,320,825


(1)	Global Commercial Bank’s and SVB Capital’s components of net interest income, noninterest income, noninterest expense and total average assets are shown net of noncontrolling interests for all periods presented. Noncontrolling interest is included within "Other Items".

(2)

The "Other Items" column reflects the adjustments necessary to reconcile the results of the operating segments to the consolidated financial statements prepared in conformity with GAAP. Net interest income consists primarily of interest earned from our fixed income investment portfolio, net of FTP. Noninterest income consists primarily of gains on equity warrant assets and gains on the sale of fixed income securities. Noninterest expense consists primarily of expenses associated with corporate support functions such as finance, human resources, marketing, legal and other expenses. Amounts for the year ended December 31, 2014 have not been revised for the adoption of accounting guidance related to our consolidated variable interest entities.


(3)	The Global Commercial Bank segment includes direct depreciation and amortization of $24.8 million, $20.3 million and $21.5 million for 2016, 2015 and 2014, respectively.


(4)	The internal reporting model used by management to assess segment performance does not calculate income tax expense by segment. Our effective tax rate is a reasonable approximation of the segment rates.


(5)	Total average assets equal the greater of total average assets or the sum of total average liabilities and total average stockholders’ equity for each segment to reconcile the results to the consolidated financial statements prepared in conformity with GAAP.