Wells Fargo 2013 Annual Report Download - page 175

IMPAIRED LOANS The table below summarizes key
information for impaired loans. Our impaired loans
predominantly include loans on nonaccrual status in the
commercial portfolio segment and loans modified in a TDR,
whether on accrual or nonaccrual status. These impaired loans
generally have estimated losses which are included in the
allowance for credit losses. We have impaired loans with no
allowance for credit losses when loss content has been previously
recognized through charge-offs and we do not anticipate
additional charge-offs or losses, or certain loans are currently
performing in accordance with their terms and for which no loss
has been estimated. Impaired loans exclude PCI loans. The table
below includes trial modifications that totaled $650 million at
December 31, 2013, and $705 million at December 31, 2012.
For additional information on our impaired loans and
allowance for credit losses, see Note 1.
Recorded investment
(in millions)
Unpaid
principal
balance
Impaired
loans
Impaired loans
with related
allowance for
credit losses
Related
allowance for
credit losses
December 31, 2013
Commercial:
Commercial and industrial $ 2,016 1,274 1,024 223
Real estate mortgage 4,269 3,375 3,264 819
Real estate construction 946 615 589 101
Lease financing 71 33 33 8
Foreign 44 37 37 5
Total commercial (1) 7,346 5,334 4,947 1,156
Consumer:
Real estate 1-4 family first mortgage 22,450 19,500 13,896 3,026
Real estate 1-4 family junior lien mortgage 3,130 2,582 2,092 681
Credit card 431 431 431 132
Automobile 245 189 95 11
Other revolving credit and installment 44 34 27 3
Total consumer (2) 26,300 22,736 16,541 3,853
Total impaired loans (excluding PCI) $ 33,646 28,070 21,488 5,009
December 31, 2012
Commercial:
Commercial and industrial $ 3,331 2,086 2,086 353
Real estate mortgage 5,766 4,673 4,537 1,025
Real estate construction 1,975 1,345 1,345 276
Lease financing 54 39 39 11
Foreign 109 43 43 9
Total commercial (1) 11,235 8,186 8,050 1,674
Consumer:
Real estate 1-4 family first mortgage 21,293 18,472 15,224 3,074
Real estate 1-4 family junior lien mortgage 2,855 2,483 2,070 859
Credit card 531 531 531 244
Automobile 314 314 314 27
Other revolving credit and installment 27 26 26 6
Total consumer (2) 25,020 21,826 18,165 4,210
Total impaired loans (excluding PCI) $ 36,255 30,012 26,215 5,884
(1) Excludes the unpaid principal balance for loans that have been fully charged off or otherwise have zero recorded investment.
(2) At December 31, 2013 and December 31, 2012, includes the recorded investment of $2.5 billion and $1.9 billion, respectively, of government insured/guaranteed loans that
are predominantly insured by the FHA or guaranteed by the VA and generally do not have an allowance.
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