GE 2013 Annual Report Download - page 133

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GE 2013 ANNUAL REPORT 131
    
The table below summarizes the assets and liabilities of consolidated VIEs.
Consolidated Securitization Entities
December 31 (In millions) Trinity (a) Credit cards (b) Equipment (b) Trade receivables Other Total
2013
ASSETS (c)
Financing receivables, net $ — $ 24,766 $ 12,928 $ 2,509 $ 2,044 $ 42,247
Investment securities 2,786 — — — 1,044 3,830
Other assets 213 20 557 — 2,430 3,220
Total $ 2,999 $ 24,786 $ 13,485 $ 2,509 $ 5,518 $ 49,297
LIABILITIES (c)
Borrowings $ — $ — $ — $ — $ 598 $ 598
Non-recourse borrowings — 15,363 10,982 2,180 49 28,574
Other liabilities 1,482 228 248 25 1,351 3,334
Total $ 1,482 $ 15,591 $ 11,230 $ 2,205 $ 1,998 $ 32,506
2012
ASSETS (c)
Financing receivables, net $ — $ 24,169 $ 12,456 $ 2,339 $ 1,952 $ 40,916
Investment securities 3,435 — — — 1,051 4,486
Other assets 217 29 360 — 2,428 3,034
Total $ 3,652 $ 24,198 $ 12,816 $ 2,339 $ 5,431 $ 48,436
LIABILITIES (c)
Borrowings $ — $ — $ — $ — $ 711 $ 711
Non-recourse borrowings — 17,208 9,811 2,050 54 29,123
Other liabilities 1,656 146 11 8 1,215 3,036
Total $ 1,656 $ 17,354 $ 9,822 $ 2,058 $ 1,980 $ 32,870
(a) Excludes intercompany advances from GECC to Trinity, which are eliminated in consolidation of $1,837 million and $2,441 million at December 31, 2013 and 2012,
respectively.
(b) We provide servicing to the CSEs and are contractually permitted to commingle cash collected from customers on financing receivables sold to CSE investors with our own
cash prior to payment to a CSE, provided our short-term credit rating does not fall below A-1/P-1. These CSEs also owe us amounts for purchased financial assets and
scheduled interest and principal payments. At December 31, 2013 and 2012, the amounts of commingled cash owed to the CSEs were $6,314 million and $6,225 million,
respectively, and the amounts owed to GECC by CSEs were $5,540 million and $6,143 million, respectively.
(c) Asset amounts exclude intercompany receivables for cash collected on behalf of these entities by GE as servicer, which are eliminated in consolidation. Such receivables
provide the cash to repay the entities’ liabilities. If these intercompany receivables were included in the table above, assets would be higher. In addition, other assets,
borrowings and other liabilities exclude intercompany balances that are eliminated in consolidation.
Total revenues from our consolidated VIEs were $7,540 mil-
lion, $7,127 million and $6,326 million in 2013, 2012 and 2011,
respectively. Related expenses consisted primarily of provisions
for losses of $1,247 million, $1,171 million and $1,146 million in
2013, 2012 and 2011, respectively, and interest and other fi nancial
charges of $355 million, $541 million and $594 million in 2013,
2012 and 2011, respectively. These amounts do not include
intercompany revenues and costs, principally fees and interest
between GE and the VIEs, which are eliminated in consolidation.
Investments in Unconsolidated Variable Interest Entities
Our involvement with unconsolidated VIEs consists of the fol-
lowing activities: assisting in the formation and fi nancing of the
entity, providing recourse and/or liquidity support, servicing
the assets and receiving variable fees for services provided.
We are not required to consolidate these entities because the
nature of our involvement with the activities of the VIEs does
not give us power over decisions that signifi cantly affect their
economic performance.