INTEREST REVENUE AND EXPENSE

9 Months Ended

Sep. 30, 2012

INTEREST REVENUE AND EXPENSE

INTEREST REVENUE AND EXPENSE

4.     INTEREST REVENUE AND EXPENSE

        For the three- and nine-month periods ended September 30, 2012 and 2011, respectively, interest revenue and expense consisted of the following:

	Three Months Ended September 30,				Nine Months Ended September 30,
In millions of dollars	2012		2011		2012		2011
Interest revenue
Loan interest, including fees	$	12,171	$	12,671	$	36,628	$	37,728
Deposits with banks		296		423		994		1,342
Federal funds sold and securities borrowed or purchased under agreements to resell		825		948		2,670		2,689
Investments, including dividends		1,882		1,924		5,646		6,461
Trading account assets(1)		1,616		2,073		5,008		6,293
Other interest		144		106		414		373
Total interest revenue	$	16,934	$	18,145	$	51,360	$	54,886
Interest expense
Deposits(2)	$	1,912	$	2,228	$	5,820	$	6,472
Federal funds purchased and securities loaned or sold under agreements to repurchase		713		796		2,161		2,466
Trading account liabilities(1)		46		91		151		343
Short-term borrowings		173		155		564		493
Long-term debt		2,177		2,761		7,211		8,748
Total interest expense	$	5,021	$	6,031	$	15,907	$	18,522
Net interest revenue	$	11,913	$	12,114	$	35,453	$	36,364
Provision for loan losses		2,511		3,049		7,924		9,129
Net interest revenue after provision for loan losses	$	9,402	$	9,065	$	27,529	$	27,235

(1)

Interest expense on Trading account liabilities of ICG is reported as a reduction of interest revenue from Trading account assets.

(2)

Includes deposit insurance fees and charges of $290 million and $387 million for the three months ended September 30, 2012 and 2011, respectively, and $959 million and $974 million for the nine months ended September 30, 2012 and 2011, respectively.