ALLOWANCE FOR CREDIT LOSSES (Tables)

6 Months Ended

Jun. 30, 2012

ALLOWANCE FOR CREDIT LOSSES

Allowance for credit losses

	Three Months Ended June 30,						Six Months Ended June 30,
In millions of dollars	2012			2011			2012			2011
Allowance for loan losses at beginning of period	$	29,020		$	36,568		$	30,115		$	40,655
Gross credit losses		(4,317	)		(5,906	)		(9,088	)		(13,037	)
Gross recoveries		741			759			1,557			1,621
Net credit losses (NCLs)	$	(3,576	)	$	(5,147	)	$	(7,531	)	$	(11,416	)
NCLs replenishments	$	3,576		$	5,147		$	7,531		$	11,416
Net reserve builds (releases)		(616	)		(1,950	)		(810	)		(5,432	)
Net specific reserve builds (releases)		(375	)		(16	)		(1,308	)		96
Total provision for credit losses	$	2,585		$	3,181		$	5,413		$	6,080
Other, net(1)		(418	)		(240	)		(386	)		(957	)
Allowance for loan losses at end of period	$	27,611		$	34,362		$	27,611		$	34,362
Allowance for credit losses on unfunded lending commitments at beginning of period(2)	$	1,097		$	1,105		$	1,136		$	1,066
Provision for unfunded lending commitments		7			(13	)		(31	)		12
Allowance for credit losses on unfunded lending commitments at end of period(2)	$	1,104		$	1,097		$	1,104		$	1,097
Total allowance for loans, leases, and unfunded lending commitments	$	28,715		$	35,459		$	28,715		$	35,459

(1)

The six months ended June 30, 2012 primarily included reductions of approximately $320 million related to the sale or transfer to held-for-sale of various U.S. loan portfolios. The six months ended June 30, 2011 included a reduction of approximately $930 million related to the sale or transfer to held-for-sale of various U.S. loan portfolios and a reduction of $240 million related to the sale of the Egg Banking PLC credit card business.

(2)

Represents additional credit loss reserves for unfunded lending commitments and letters of credit recorded in Other Liabilities on the Consolidated Balance Sheet.

Schedule of allowance for credit losses and investment in loans by portfolio segment

	Three Months Ended June 30, 2012									Six Months Ended June 30, 2012
In millions of dollars	Corporate			Consumer			Total			Corporate			Consumer			Total
Allowance for loan losses at beginning of period	$	3,057		$	25,963		$	29,020		$	2,879		$	27,236		$	30,115
Charge-offs		(227	)		(4,090	)		(4,317	)		(312	)		(8,776	)		(9,088	)
Recoveries		73			668			741			241			1,316			1,557
Replenishment of net charge-offs		154			3,422			3,576			71			7,460			7,531
Net reserve releases		(77	)		(539	)		(616	)		77			(887	)		(810	)
Net specific reserve builds (releases)		9			(384	)		(375	)		5			(1,313	)		(1,308	)
Other		(17	)		(401	)		(418	)		11			(397	)		(386	)
Ending balance	$	2,972		$	24,639		$	27,611		$	2,972		$	24,639		$	27,611

	June 30, 2012						December 31, 2011
In millions of dollars	Corporate		Consumer		Total		Corporate		Consumer		Total
Allowance for loan losses
Determined in accordance with ASC 450-20	$	2,494	$	17,102	$	19,596	$	2,408	$	18,334	$	20,742
Determined in accordance with ASC 310-10-35		417		7,507		7,924		420		8,885		9,305
Determined in accordance with ASC 310-30		61		30		91		51		17		68
Total allowance for loan losses	$	2,972	$	24,639	$	27,611	$	2,879	$	27,236	$	30,115
Loans, net of unearned income
Loans collectively evaluated for impairment in accordance with ASC 450-20	$	238,925	$	379,079	$	618,004	$	215,778	$	390,831	$	606,609
Loans evaluated for impairment in accordance with ASC 310-10-35		2,956		28,387		31,343		3,994		30,863		34,857
Loans acquired with deteriorated credit quality in accordance with ASC 310-30		131		401		532		191		320		511
Loans held at fair value		3,829		1,260		5,089		3,939		1,326		5,265
Total loans, net of unearned income	$	245,841	$	409,127	$	654,968	$	223,902	$	423,340	$	647,242