XML 86 R49.htm IDEA: XBRL DOCUMENT

Variable Interest Entities (Tables)

12 Months Ended

Dec. 31, 2018

Consolidation of Variable Interest Entities Disclosure


Consolidated VIEs
The following tables provide a summary of the classifications of consolidated VIE assets, liabilities and noncontrolling interests included in the Consolidated Balance Sheets as of:

		Automobile Loan	CDC
December 31, 2018 ($ in millions)		Securitizations	Investments	Total
Assets:
Other short-term investments	$	40	-	40
Commercial mortgage loans		-	-	-
Automobile loans		668	-	668
ALLL		(4)	-	(4)
Other assets		5	-	5
Total assets	$	709	-	709
Liabilities:
Other liabilities	$	1	-	1
Long-term debt		606	-	606
Total liabilities	$	607	-	607
Noncontrolling interests	$	-	-	-


		Automobile Loan	CDC
December 31, 2017 ($ in millions)		Securitizations	Investments	Total
Assets:
Other short-term investments	$	62	-	62
Commercial mortgage loans		-	20	20
Automobile loans		1,277	-	1,277
ALLL		(6)	-	(6)
Other assets		7	-	7
Total assets	$	1,340	20	1,360
Liabilities:
Other liabilities	$	2	-	2
Long-term debt		1,190	-	1,190
Total liabilities	$	1,192	-	1,192
Noncontrolling interests	$	-	20	20

Assets and Liabilities Related to Non-consolidated VIEs and Maximum Exposure to Losses


Non-consolidated VIEs
The following tables provide a summary of assets and liabilities carried on the Consolidated Balance Sheets related to non-consolidated VIEs for which the Bancorp holds an interest, but is not the primary beneficiary of the VIE, as well as the Bancorp’s maximum exposure to losses associated with its interests in the entities as of:

		Total	Total	Maximum
December 31, 2018 ($ in millions)		Assets	Liabilities	Exposure
CDC investments	$	1,198	376	1,198
Private equity investments		41	-	73
Loans provided to VIEs		2,331	-	3,617

		Total	Total	Maximum
December 31, 2017 ($ in millions)		Assets	Liabilities	Exposure
CDC investments	$	1,264	355	1,264
Private equity investments		102	-	150
Loans provided to VIEs		1,845	-	2,910

Investments in Qualified Affordable Housing Tax Credits


The Bancorp has accounted for all of its qualifying LIHTC investments using the proportional amortization method of accounting. The following table summarizes the impact to the Consolidated Statements of Income relating to investments in qualified affordable housing investments:

	Consolidated Statements of
For the years ended December 31 ($ in millions)	Income Caption^(a)		2018	2017	2016
Proportional amortization	Applicable income tax expense	$	154	223	153
Tax credits and other benefits	Applicable income tax expense		(192)	(220)	(210)

(a) The Bancorp did not recognize impairment losses resulting from the forfeiture or ineligibility of tax credits or other circumstances during the years ended December 31, 2018, 2017 and 2016. The Bancorp recognized $57, as adjusted, of impairment losses primarily due to the change in the federal statutory corporate tax rate during the year ended December 31, 2017.

- Definition

Tabular disclosure of the significant judgments and assumptions made in determining whether a variable interest (as defined) held by the entity requires the variable interest entity (VIE) (as defined) to be consolidated and (or) disclose information about its involvement with the VIE, individually or in aggregate (as applicable); the nature of restrictions, if any, on the consolidated VIE's assets and on the settlement of its liabilities reported by an entity in its statement of financial position, including the carrying amounts of such assets and liabilities; the nature of, and changes in, the risks associated with involvement in the VIE; how involvement with the VIE affects the entity's financial position, financial performance, and cash flows; the lack of recourse if creditors (or beneficial interest holders) of the consolidated VIE have no recourse to the general credit of the primary beneficiary (if applicable); the terms of arrangements, giving consideration to both explicit arrangements and implicit variable interests, if any, that could require the entity to provide financial support to the VIE, including events or circumstances that could expose the entity to a loss; the methodology used by the entity for determining whether or not it is the primary beneficiary of the variable interest entity; the significant factors considered and judgments made in determining that the power to direct the activities of a VIE that most significantly impact the VIE's economic performance are shared (as defined); the carrying amounts and classification of assets and liabilities of the VIE included in the statement of financial position; the entity's maximum exposure to loss, if any, as a result of its involvement with the VIE, including how the maximum exposure is determined and significant sources of the entity's exposure to the VIE; a comparison of the carrying amounts of the assets and liabilities and the entity's maximum exposure to loss; information about any liquidity arrangements, guarantees, and (or) other commitments by third parties that may affect the fair value or risk of the entity's variable interest in the VIE; whether or not the entity has provided financial support or other support (explicitly or implicitly) to the VIE that it was not previously contractually required to provide or whether the entity intends to provide that support, including the type and amount of the support and the primary reasons for providing the support; and supplemental information the entity determines necessary to provide.

+ References + Details