JPMORGAN CHASE & CO | 2013 | FY | 3


The table below summarizes information about the allowance for loan losses, loans by impairment methodology, the allowance for lending-related commitments and lending-related commitments by impairment methodology.
 
2013
Year ended December 31,
(in millions)
Consumer,
excluding
credit card
 
Credit card
 
Wholesale
Total
Allowance for loan losses
 
 
 
 
 
 
Beginning balance at January 1,
$
12,292

 
$
5,501

 
$
4,143

$
21,936

Gross charge-offs
2,754


4,472

 
241

7,467

Gross recoveries
(847
)
 
(593
)
 
(225
)
(1,665
)
Net charge-offs/(recoveries)
1,907


3,879

 
16

5,802

Write-offs of PCI loans(a)
53

 

 

53

Provision for loan losses
(1,872
)
 
2,179

 
(119
)
188

Other
(4
)
 
(6
)
 
5

(5
)
Ending balance at December 31,
$
8,456

 
$
3,795

 
$
4,013

$
16,264

 
 
 
 
 
 
 
Allowance for loan losses by impairment methodology
 
 
 
 
 
 
Asset-specific(b)
$
601

 
$
971

(c) 
$
181

$
1,753

Formula-based
3,697

 
2,824

 
3,832

10,353

PCI
4,158

 

 

4,158

Total allowance for loan losses
$
8,456

 
$
3,795

 
$
4,013

$
16,264

 
 
 
 
 
 
 
Loans by impairment methodology
 
 
 
 
 
 
Asset-specific
$
13,785

 
$
3,115

 
$
845

$
17,745

Formula-based
221,609

 
124,350

 
307,412

653,371

PCI
53,055

 

 
6

53,061

Total retained loans
$
288,449

 
$
127,465

 
$
308,263

$
724,177

 
 
 
 
 
 
 
Impaired collateral-dependent loans
 
 
 
 
 
 
Net charge-offs
$
235


$

 
$
37

$
272

Loans measured at fair value of collateral less cost to sell
3,105

 

 
362

3,467

 
 
 
 
 
 
 
Allowance for lending-related commitments
 
 
 
 
 
 
Beginning balance at January 1,
$
7

 
$

 
$
661

$
668

Provision for lending-related commitments
1

 

 
36

37

Other

 

 


Ending balance at December 31,
$
8

 
$

 
$
697

$
705

 
 
 
 
 
 
 
Allowance for lending-related commitments by impairment methodology
 
 
 
 
 
 
Asset-specific
$

 
$

 
$
60

$
60

Formula-based
8

 

 
637

645

Total allowance for lending-related commitments
$
8

 
$

 
$
697

$
705

 
 
 
 
 
 
 
Lending-related commitments by impairment methodology
 
 
 
 
 
 
Asset-specific
$

 
$

 
$
206

$
206

Formula-based
56,057

 
529,383

 
446,026

1,031,466

Total lending-related commitments
$
56,057

 
$
529,383

 
$
446,232

$
1,031,672

(a)
Write-offs of PCI loans are recorded against the allowance for loan losses when actual losses for a pool exceed estimated losses that were recorded as purchase accounting adjustments at the time of acquisition. Any write-offs of PCI loans are recognized when the underlying loan is removed from a pool (e.g., upon liquidation).
(b)
Includes risk-rated loans that have been placed on nonaccrual status and loans that have been modified in a TDR.
(c)
The asset-specific credit card allowance for loan losses is related to loans that have been modified in a TDR; such allowance is calculated based on the loans’ original contractual interest rates and does not consider any incremental penalty rates.
(d)
Consumer, excluding credit card, charge-offs for the year ended December 31, 2012, included $747 million of charge-offs for Chapter 7 residential real estate loans and $53 million of charge-offs for Chapter 7 auto loans.


(table continued from previous page)
 
 
 
 
 
 
 
 
2012
 
2011
Consumer,
excluding
credit card
 
Credit card
 
Wholesale
Total
 
Consumer,
excluding
credit card
 
Credit card
 
Wholesale
Total
 
 
 
 
 
 
 
 
 
 
 
 
 
$
16,294

 
$
6,999

 
$
4,316

$
27,609

 
$
16,471

 
$
11,034

 
$
4,761

$
32,266

4,805

(d) 
5,755

 
346

10,906

 
5,419

 
8,168

 
916

14,503

(508
)
 
(811
)
 
(524
)
(1,843
)
 
(547
)
 
(1,243
)
 
(476
)
(2,266
)
4,297

(d) 
4,944

 
(178
)
9,063

 
4,872

 
6,925

 
440

12,237


 

 


 

 

 


302

 
3,444

 
(359
)
3,387

 
4,670

 
2,925

 
17

7,612

(7
)
 
2

 
8

3

 
25

 
(35
)
 
(22
)
(32
)
$
12,292

 
$
5,501

 
$
4,143

$
21,936

 
$
16,294

 
$
6,999

 
$
4,316

$
27,609

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
$
729

 
$
1,681

(c) 
$
319

$
2,729

 
$
828

 
$
2,727

(c) 
$
516

$
4,071

5,852

 
3,820

 
3,824

13,496

 
9,755

 
4,272

 
3,800

17,827

5,711

 

 

5,711

 
5,711

 

 

5,711

$
12,292

 
$
5,501

 
$
4,143

$
21,936

 
$
16,294

 
$
6,999

 
$
4,316

$
27,609

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
$
13,938

 
$
4,762

 
$
1,475

$
20,175

 
$
9,892

 
$
7,214

 
$
2,549

$
19,655

218,945

 
123,231

 
304,728

646,904

 
232,989

 
124,961

 
275,825

633,775

59,737

 

 
19

59,756

 
65,546

 

 
21

65,567

$
292,620

 
$
127,993

 
$
306,222

$
726,835

 
$
308,427

 
$
132,175

 
$
278,395

$
718,997

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
$
973

(c) 
$

 
$
77

$
1,050

 
$
110

 
$

 
$
128

$
238

3,272

 

 
445

3,717

 
830

 

 
833

1,663

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
$
7

 
$

 
$
666

$
673

 
$
6

 
$

 
$
711

$
717


 

 
(2
)
(2
)
 
2

 

 
(40
)
(38
)

 

 
(3
)
(3
)
 
(1
)
 

 
(5
)
(6
)
$
7

 
$

 
$
661

$
668

 
$
7

 
$

 
$
666

$
673

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
$

 
$

 
$
97

$
97

 
$

 
$

 
$
150

$
150

7

 

 
564

571

 
7

 

 
516

523

$
7

 
$

 
$
661

$
668

 
$
7

 
$

 
$
666

$
673

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
$

 
$

 
$
355

$
355

 
$

 
$

 
$
865

$
865

60,156

 
533,018

 
434,459

1,027,633

 
62,307

 
530,616

 
381,874

974,797

$
60,156

 
$
533,018

 
$
434,814

$
1,027,988

 
$
62,307

 
$
530,616

 
$
382,739

$
975,662


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