HSBC 2009 Annual Report Download - page 136

HSBC HOLDINGS PLC
Report of the Directors: Operating and Financial Review (continued)
Geographical regions > North America > Profit/(loss) before tax by customer group
134
Profit/(loss) before tax (continued)
2008
North America
Personal
Financial
Services
US$m
Commercial
Banking
US$m
Global
Banking &
Markets
US$m
Private
Banking
US$m
Other
US$m
Inter-
segment
elimination50
US$m
Total
US$m
Net interest income ..................... 12,632 1,480 1,064 224 22 (204) 15,218
Net fee income/(expense) ........... 3,896 391 818 181 (59) – 5,227
Trading income/(expense)
excluding net interest income (250) 5 (3,516) 10 (128) – (3,879)
Net interest income/(expense)
on trading activities ................ 66 – 584 – (110) 204 744
Net trading income/(expense)42 .. (184) 5 (2,932) 10 (238) 204 (3,135)
Changes in fair value of long-
term debt issued and related
derivatives .............................. – – – – 3,736 – 3,736
Net income/(expense) from
other financial instruments
designated at fair value ........... (2) – (1) – 4 – 1
Net income/(expense) from
financial instruments
designated at fair value ........... (2) – (1) – 3,740 – 3,737
Gains less losses from financial
investments ............................. 65 5 (209) – 19 – (120)
Dividend income ......................... 36 11 27 3 – – 77
Net earned insurance premiums . 390 – – – – – 390
Other operating income/
(expense) ................................ (426) 140 240 20 1,419 (1,370) 23
Total operating income/
(expense) ................................ 16,407 2,032 (993) 438 4,903 (1,370) 21,417
Net insurance claims43 ................ (238) – – – – – (238)
Net operating income/
(expense)16 .............................. 16,169 2,032 (993) 438 4,903 (1,370) 21,179
Loan impairment charges and
other credit risk provisions ..... (16,132) (449) (198) (16) – – (16,795)
Net operating income/
(expense) ................................ 37 1,583 (1,191) 422 4,903 (1,370) 4,384
Operating expenses (excluding
goodwill impairment) ............. (6,701) (937) (1,384) (339) (1,368) 1,370 (9,359)
Goodwill impairment .................. (10,564) – – – – – (10,564)
Operating profit/(loss) ................ (17,228) 646 (2,575) 83 3,535 – (15,539)
Share of profit/(loss) in
associates and joint ventures .. – 12 – – (1) – 11
Profit/(loss) before tax ................ (17,228) 658 (2,575) 83 3,534 – (15,528)
% % % % % %
Share of HSBC’s profit
before tax ................................ (185.1) 7.1 (27.7) 0.9 38.0 (166.8)
Cost efficiency ratio ................... 106.8 46.1 (139.4) 77.4 27.9 94.1
Balance sheet data41
US$m US$m US$m US$m US$m US$m
Loans and advances to
customers (net) ....................... 179,663 35,725 35,583 5,243 – 256,214
Total assets ................................. 205,722 42,211 348,347 7,054 3,323 (10,355) 596,302
Customer accounts ...................... 65,830 39,105 23,844 14,657 96 143,532