Bank of America 2012 Annual Report Download - page 109

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Table 60 presents a rollforward of the allowance for credit losses for 2012 and 2011.
Table 60 Allowance for Credit Losses
(Dollars in millions) 2012 2011
Allowance for loan and lease losses, January 1 $ 33,783 $ 41,885
Loans and leases charged off
Residential mortgage (3,211)(4,195)
Home equity (4,566)(4,990)
Discontinued real estate (72) (106)
U.S. credit card (5,360)(8,114)
Non-U.S. credit card (835)(1,691)
Direct/Indirect consumer (1,258)(2,190)
Other consumer (274)(252)
Total consumer charge-offs (15,576) (21,538)
U.S. commercial (1) (1,309)(1,690)
Commercial real estate (719)(1,298)
Commercial lease financing (32) (61)
Non-U.S. commercial (36) (155)
Total commercial charge-offs (2,096)(3,204)
Total loans and leases charged off (17,672) (24,742)
Recoveries of loans and leases previously charged off
Residential mortgage 158 363
Home equity 329 517
Discontinued real estate 914
U.S. credit card 728 838
Non-U.S. credit card 254 522
Direct/Indirect consumer 495 714
Other consumer 42 50
Total consumer recoveries 2,015 3,018
U.S. commercial (2) 368 500
Commercial real estate 335 351
Commercial lease financing 38 37
Non-U.S. commercial 83
Total commercial recoveries 749 891
Total recoveries of loans and leases previously charged off 2,764 3,909
Net charge-offs (14,908) (20,833)
Provision for loan and lease losses 8,310 13,629
Write-offs of home equity PCI loans (2,820)—
Other (3) (186)(898)
Allowance for loan and lease losses, December 31 24,179 33,783
Reserve for unfunded lending commitments, January 1 714 1,188
Provision for unfunded lending commitments (141)(219)
Other (4) (60) (255)
Reserve for unfunded lending commitments, December 31 513 714
Allowance for credit losses, December 31 $ 24,692 $ 34,497
(1) Includes U.S. small business commercial charge-offs of $799 million and $1.1 billion in 2012 and 2011.
(2) Includes U.S. small business commercial recoveries of $100 million and $106 million in 2012 and 2011.
(3) Primarily represents the net impact of portfolio sales, consolidations and deconsolidations, and foreign currency translation adjustments. In addition, the 2011 amount includes a $449 million
reduction in the allowance for loan and lease losses related to Canadian consumer card loans that were transferred to LHFS.
(4) Primarily represents accretion of the Merrill Lynch purchase accounting adjustment and the impact of funding previously unfunded positions.