| Changes in Level 3 Instruments for the Year Ended December 31, 2013 | |||||||||||||||||||||||||||||||
| Net | |||||||||||||||||||||||||||||||
| (In millions) | change in | ||||||||||||||||||||||||||||||
| Net realized/ | unrealized | ||||||||||||||||||||||||||||||
| Net | unrealized | gains | |||||||||||||||||||||||||||||
| realized/ | gains (losses) | (losses) | |||||||||||||||||||||||||||||
| unrealized | included in | relating to | |||||||||||||||||||||||||||||
| Balance | gains | accumulated | Balance | instruments | |||||||||||||||||||||||||||
| at | (losses) | other | Transfers | Transfers | at | still held at | |||||||||||||||||||||||||
| January 1, | included | comprehensive | into | out of | December 31, | December 31, | |||||||||||||||||||||||||
| 2013 | in earnings | (a) | income | Purchases | Sales | Settlements | Level 3 | (b) | Level 3 | (b) | 2013 | 2013 | (c) | ||||||||||||||||||
| Investment securities | |||||||||||||||||||||||||||||||
| Debt | |||||||||||||||||||||||||||||||
| U.S. corporate | $ | 3,591 | $ | (497) | $ | 135 | $ | 380 | $ | (424) | $ | (231) | $ | 108 | $ | (109) | $ | 2,953 | $ | - | |||||||||||
| State and municipal | 77 | - | (7) | 21 | - | (5) | 10 | - | 96 | - | |||||||||||||||||||||
| Residential | |||||||||||||||||||||||||||||||
| mortgage-backed | 100 | - | (5) | - | (2) | (7) | - | - | 86 | - | |||||||||||||||||||||
| Commercial | |||||||||||||||||||||||||||||||
| mortgage-backed | 6 | - | - | - | - | (6) | 10 | - | 10 | - | |||||||||||||||||||||
| Asset-backed | 5,023 | 5 | 32 | 2,632 | (4) | (795) | 12 | (7) | 6,898 | - | |||||||||||||||||||||
| Corporate – non-U.S. | 1,218 | (103) | 49 | 5,814 | (3) | (5,874) | 21 | (58) | 1,064 | - | |||||||||||||||||||||
| Government | |||||||||||||||||||||||||||||||
| – non-U.S. | 42 | 1 | (12) | - | - | - | - | - | 31 | - | |||||||||||||||||||||
| U.S. government and | |||||||||||||||||||||||||||||||
| federal agency | 277 | - | (52) | - | - | - | - | - | 225 | - | |||||||||||||||||||||
| Retained interests | 83 | 3 | 1 | 6 | - | (21) | - | - | 72 | - | |||||||||||||||||||||
| Equity | |||||||||||||||||||||||||||||||
| Available-for-sale | 13 | - | - | - | - | - | - | (2) | 11 | - | |||||||||||||||||||||
| Trading | - | - | - | - | - | - | - | - | - | - | |||||||||||||||||||||
| Derivatives(d)(e) | 416 | (66) | 2 | (2) | - | (226) | 37 | 3 | 164 | (30) | |||||||||||||||||||||
| Other | 799 | (68) | 12 | 538 | (779) | - | 4 | (12) | 494 | (102) | |||||||||||||||||||||
| Total | $ | 11,645 | $ | (725) | $ | 155 | $ | 9,389 | $ | (1,212) | $ | (7,165) | $ | 202 | $ | (185) | $ | 12,104 | $ | (132) | |||||||||||
(a) Earnings effects are primarily included in the “GECC revenues from services” and “Interest and other financial charges” captions in the Statement of Earnings.
(b) Transfers in and out of Level 3 are considered to occur at the beginning of the period. Transfers out of Level 3 were a result of increased use of quotes from independent pricing vendors based on recent trading activity.
(c) Represented the amount of unrealized gains or losses for the period included in earnings.
(d) Represented derivative assets net of derivative liabilities and included cash accruals of $9 million not reflected in the fair value hierarchy table.
(e) Gains (losses) included in net realized/unrealized gains (losses) included in earnings were offset by the earnings effects from the underlying items that were economically hedged. See Note 22.
| Changes in Level 3 Instruments for the Year Ended December 31, 2012 | |||||||||||||||||||||||||||||||
| Net | |||||||||||||||||||||||||||||||
| (In millions) | change in | ||||||||||||||||||||||||||||||
| Net realized/ | unrealized | ||||||||||||||||||||||||||||||
| Net | unrealized | gains | |||||||||||||||||||||||||||||
| realized/ | gains (losses) | (losses) | |||||||||||||||||||||||||||||
| unrealized | included in | relating to | |||||||||||||||||||||||||||||
| Balance | gains | accumulated | Balance | instruments | |||||||||||||||||||||||||||
| at | (losses) | other | Transfers | Transfers | at | still held at | |||||||||||||||||||||||||
| January 1, | included | comprehensive | into | out of | December 31, | December 31, | |||||||||||||||||||||||||
| 2012 | in earnings | (a) | income | Purchases | Sales | Settlements | Level 3 | (b) | Level 3 | (b) | 2012 | 2012 | (c) | ||||||||||||||||||
| Investment securities | |||||||||||||||||||||||||||||||
| Debt | |||||||||||||||||||||||||||||||
| U.S. corporate | $ | 3,235 | $ | 66 | $ | 32 | $ | 483 | $ | (214) | $ | (110) | $ | 299 | $ | (200) | $ | 3,591 | $ | - | |||||||||||
| State and municipal | 77 | - | 10 | 16 | - | (1) | 78 | (103) | 77 | - | |||||||||||||||||||||
| Residential | |||||||||||||||||||||||||||||||
| mortgage-backed | 41 | (3) | 1 | 6 | - | (3) | 135 | (77) | 100 | - | |||||||||||||||||||||
| Commercial | |||||||||||||||||||||||||||||||
| mortgage-backed | 4 | - | (1) | - | - | - | 6 | (3) | 6 | - | |||||||||||||||||||||
| Asset-backed | 4,040 | 1 | (25) | 1,490 | (502) | - | 25 | (6) | 5,023 | - | |||||||||||||||||||||
| Corporate – non-U.S. | 1,204 | (11) | 19 | 341 | (51) | (172) | 24 | (136) | 1,218 | - | |||||||||||||||||||||
| Government | |||||||||||||||||||||||||||||||
| – non-U.S. | 84 | (33) | 38 | 65 | (72) | (40) | - | - | 42 | - | |||||||||||||||||||||
| U.S. government and | |||||||||||||||||||||||||||||||
| federal agency | 253 | - | 24 | - | - | - | - | - | 277 | - | |||||||||||||||||||||
| Retained interests | 35 | (1) | (3) | 16 | (6) | (12) | 54 | - | 83 | - | |||||||||||||||||||||
| Equity | |||||||||||||||||||||||||||||||
| Available-for-sale | 17 | - | (1) | 3 | (3) | (1) | 2 | (4) | 13 | - | |||||||||||||||||||||
| Trading | - | - | - | - | - | - | - | - | - | - | |||||||||||||||||||||
| Derivatives(d)(e) | 369 | 29 | (1) | (1) | - | (112) | 190 | (58) | 416 | 160 | |||||||||||||||||||||
| Other | 817 | 50 | 2 | 159 | (137) | - | - | (92) | 799 | 43 | |||||||||||||||||||||
| Total | $ | 10,176 | $ | 98 | $ | 95 | $ | 2,578 | $ | (985) | $ | (451) | $ | 813 | $ | (679) | $ | 11,645 | $ | 203 | |||||||||||
(a) Earnings effects are primarily included in the “GECC revenues from services” and “Interest and other financial charges” captions in the Statement of Earnings.
(b) Transfers in and out of Level 3 are considered to occur at the beginning of the period. Transfers out of Level 3 were a result of increased use of quotes from independent pricing vendors based on recent trading activity.
(c) Represented the amount of unrealized gains or losses for the period included in earnings.
(d) Represented derivative assets net of derivative liabilities and included cash accruals of $2 million not reflected in the fair value hierarchy table.
(e) Gains (losses) included in net realized/unrealized gains (losses) included in earnings were offset by the earnings effects from the underlying items that were economically hedged. See Note 22.