XML 41 R27.htm IDEA: XBRL DOCUMENT v2.4.0.8
Accumulated Other Comprehensive Income/(Loss)
 9 Months Ended
Sep. 30, 2013
Accumulated Other Comprehensive Income (Loss), Net of Tax [Abstract]  
Accumulated Other Comprehensive Income (Loss)
Accumulated other comprehensive income/(loss)
AOCI includes the after-tax change in unrealized gains and losses on AFS securities, foreign currency translation adjustments (including the impact of related derivatives), cash flow hedging activities, and net loss and prior service costs/(credit) related to the Firm’s defined benefit pension and OPEB plans.
As of or for the three months ended
September 30, 2013
Unrealized gains/(losses) on AFS securities(a)
 
Translation adjustments, net of hedges
 
Cash flow hedges
 
Defined benefit pension and OPEB plans
 
Accumulated other comprehensive income/(loss)
 
(in millions)
Balance at July 1, 2013
 
$
3,137

(b) 
 
 
$
(146
)
 
 
 
$
(232
)
 
 
 
$
(2,623
)
 
 
 
$
136

 
 
Net change
 
161

(c) 
 
 
4

 
 
 
69

 
 
 
20

 
 
 
254

 
 
Balance at September 30, 2013
 
$
3,298

(b) 
 
 
$
(142
)
 
 
 
$
(163
)
 
 
 
$
(2,603
)
 
 
 
$
390

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
As of or for the three months ended
September 30, 2012
Unrealized gains/(losses) on AFS securities(a)
 
Translation adjustments, net of hedges
 
Cash flow hedges
 
Defined benefit pension and OPEB plans
 
Accumulated other comprehensive income/(loss)
 
(in millions)
Balance at July 1, 2012
 
$
4,814

(b) 
 
 
$
(88
)
 
 
 
$
89

 
 
 
$
(2,543
)
 
 
 
$
2,272

 
 
Net change
 
2,083

(d) 
 
 
13

 
 
 
23

 
 
 
35

 
 
 
2,154

 
 
Balance at September 30, 2012
 
$
6,897

(b) 
 
 
$
(75
)
 
 
 
$
112

 
 
 
$
(2,508
)
 
 
 
$
4,426

 
 
As of or for the nine months ended
September 30, 2013
Unrealized gains/(losses) on AFS securities(a)
 
Translation adjustments, net of hedges
 
Cash flow hedges
 
Defined benefit pension and OPEB plans
 
Accumulated other comprehensive income/(loss)
 
(in millions)
Balance at January 1, 2013
 
$
6,868

(b) 
 
 
$
(95
)
 
 
 
$
120

 
 
 
$
(2,791
)
 
 
 
$
4,102

 
 
Net change
 
(3,570
)
(e) 
 
 
(47
)
 
 
 
(283
)
 
 
 
188

 
 
 
(3,712
)
 
 
Balance at September 30, 2013
 
$
3,298

(b) 
 
 
$
(142
)
 
 
 
$
(163
)
 
 
 
$
(2,603
)
 
 
 
$
390

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
As of or for the nine months ended
September 30, 2012
Unrealized gains/(losses) on AFS securities(a)
 
Translation adjustments, net of hedges
 
Cash flow hedges
 
Defined benefit pension and OPEB plans
 
Accumulated other comprehensive income/(loss)
 
(in millions)
Balance at January 1, 2012
 
$
3,565

(b) 
 
 
$
(26
)
 
 
 
$
51

 
 
 
$
(2,646
)
 
 
 
$
944

 
 
Net change
 
3,332

(d) 
 
 
(49
)
 
 
 
61

 
 
 
138

 
 
 
3,482

 
 
Balance at September 30, 2012
 
$
6,897

(b) 
 
 
$
(75
)
 
 
 
$
112

 
 
 
$
(2,508
)
 
 
 
$
4,426

 
 
(a)
Represents the after-tax difference between the fair value and amortized cost of securities accounted for as AFS.
(b)
Included after-tax unrealized losses not related to credit on debt securities for which credit losses have been recognized in income of $(56) million at January 1, 2012, $(101) million at July 1, 2012, and $(94) million at September 30, 2012. There were no such losses at January 1, 2013, July 1, 2013, and September 30, 2013.
(c)
The net change for the three months ended September 30, 2013, was primarily related to the increase in fair value of U.S. government agency issued MBS due to market changes partially offset by decreases in fair value of obligations of U.S. states and municipalities due to market changes.
(d)
The net change for the three and nine months ended September 30, 2012, was predominantly driven by declining interest rates and the tightening of spreads across the portfolio, partially offset by sales.
(e)
The net change for the nine months ended September 30, 2013, was primarily related to the decline in fair value of U.S. government agency issued MBS and obligations of U.S. states and municipalities due to market changes, as well as net realized gains.
The following table presents the pretax and after-tax changes in the components of other comprehensive income/(loss).
 
2013
 
2012
Three months ended September 30, (in millions)
Pretax
 
Tax effect
 
After-tax
 
Pretax
 
Tax effect
 
After-tax
Unrealized gains/(losses) on AFS securities:
 
 
 
 
 
 
 
 
 
 
 
Net unrealized gains/(losses) arising during the period
$
290

 
$
(113
)
 
$
177

 
$
3,872

 
$
(1,509
)
 
$
2,363

Reclassification adjustment for realized (gains)/losses included in net income(a)
(26
)
 
10

 
(16
)
 
(458
)
 
178

 
(280
)
Net change
264

 
(103
)
 
161

 
3,414

 
(1,331
)
 
2,083

Translation adjustments:
 
 
 
 
 
 
 
 
 
 
 
Translation(b)
349

 
(128
)
 
221

 
413

 
(153
)
 
260

Hedges(b)
(343
)
 
126

 
(217
)
 
(404
)
 
157

 
(247
)
Net change
6

 
(2
)
 
4

 
9

 
4

 
13

Cash flow hedges:
 
 
 
 
 
 
 
 
 
 
 
Net unrealized gains/(losses) arising during the period
106

 
(42
)
 
64

 
56

 
(22
)
 
34

Reclassification adjustment for realized (gains)/losses included in net income(c)
7

 
(2
)
 
5

 
(19
)
 
8

 
(11
)
Net change
113

 
(44
)
 
69

 
37

 
(14
)
 
23

Defined benefit pension and OPEB plans:
 
 
 
 
 
 
 
 
 
 
 
Net gains/(losses) arising during the period
—

 
—

 
—

 
—

 
—

 
—

Reclassification adjustments included in net income(d):
 
 
 
 
 
 
 
 
 
 
 
Amortization of net loss
80

 
(31
)
 
49

 
81

 
(30
)
 
51

Prior service costs/(credits)
(11
)
 
4

 
(7
)
 
(11
)
 
4

 
(7
)
Foreign exchange and other
(35
)
 
13

 
(22
)
 
(14
)
 
5

 
(9
)
Net change
34

 
(14
)
 
20

 
56

 
(21
)
 
35

Total other comprehensive income/(loss)
$
417

 
$
(163
)
 
$
254

 
$
3,516

 
$
(1,362
)
 
$
2,154


 
2013
 
2012
Nine months ended September 30, (in millions)
Pretax
 
Tax effect
 
After-tax
 
Pretax
 
Tax effect
 
After-tax
Unrealized gains/(losses) on AFS securities:
 
 
 
 
 
 
 
 
 
 
 
Net unrealized gains/(losses) arising during the period
$
(5,172
)
 
$
2,003

 
$
(3,169
)
 
$
7,469

 
$
(2,912
)
 
$
4,557

Reclassification adjustment for realized (gains)/losses included in net income(a)
(659
)
 
258

 
(401
)
 
(2,008
)
 
783

 
(1,225
)
Net change
(5,831
)
 
2,261

 
(3,570
)
 
5,461

 
(2,129
)
 
3,332

Translation adjustments:
 
 
 
 
 
 
 
 
 
 
 
Translation(b)
(685
)
 
253

 
(432
)
 
108

 
(40
)
 
68

Hedges(b)
648

 
(263
)
 
385

 
(191
)
 
74

 
(117
)
Net change
(37
)
 
(10
)
 
(47
)
 
(83
)
 
34

 
(49
)
Cash flow hedges:
 
 
 
 
 
 
 
 
 
 
 
Net unrealized gains/(losses) arising during the period
(536
)
 
210

 
(326
)
 
143

 
(56
)
 
87

Reclassification adjustment for realized (gains)/losses included in net income(c)
70

 
(27
)
 
43

 
(44
)
 
18

 
(26
)
Net change
(466
)
 
183

 
(283
)
 
99

 
(38
)
 
61

Defined benefit pension and OPEB plans:
 
 
 
 
 
 
 
 
 
 
 
Net gains/(losses) arising during the period
85

 
(25
)
 
60

 
34

 
(13
)
 
21

Reclassification adjustments included in net income(d):


 


 


 
 
 
 
 
 
Amortization of net loss
240

 
(93
)
 
147

 
243

 
(94
)
 
149

Prior service costs/(credits)
(33
)
 
13

 
(20
)
 
(32
)
 
12

 
(20
)
Foreign exchange and other
1

 
—

 
1

 
(20
)
 
8

 
(12
)
Net change
293

 
(105
)
 
188

 
225

 
(87
)
 
138

Total other comprehensive income/(loss)
$
(6,041
)
 
$
2,329

 
$
(3,712
)
 
$
5,702

 
$
(2,220
)
 
$
3,482

(a)
The pretax amount is reported in securities gains in the Consolidated Statements of Income.
(b)
Reclassifications of pretax realized gains/(losses) on translation adjustments and related hedges are reported in other income in the Consolidated Statements of Income. The amounts were not material for the three and nine months ended September 30, 2013.
(c)
The pretax amount is reported in the same line as the hedged items, which are predominantly recorded in net interest income in the Consolidated Statements of Income.
(d)
The pretax amount is reported in compensation expense in the Consolidated Statements of Income.