FINANCIAL SERVICES SECTOR ALLOWANCE FOR CREDIT LOSSES
An analysis of the allowance for credit losses related to finance receivables for the periods ended June 30 was as follows (in millions): | | | | | | | | | | | | | | | | | | | | | | | | | | Second Quarter 2015 | | First Half 2015 | | Consumer | | Non-Consumer | | Total | | Consumer | | Non-Consumer | | Total | Allowance for credit losses | | | | | | | | | | | | Beginning balance | $ | 301 |
| | $ | 13 |
| | $ | 314 |
| | $ | 305 |
| | $ | 16 |
| | $ | 321 |
| Charge-offs | (70 | ) | | (2 | ) | | (72 | ) | | (150 | ) | | (1 | ) | | (151 | ) | Recoveries | 31 |
| | 1 |
| | 32 |
| | 61 |
| | 3 |
| | 64 |
| Provision for credit losses | 57 |
| | — |
| | 57 |
| | 110 |
| | (4 | ) | | 106 |
| Other (a) | 3 |
| | 1 |
| | 4 |
| | (4 | ) | | (1 | ) | | (5 | ) | Ending balance (b) | $ | 322 |
| | $ | 13 |
| | $ | 335 |
| | $ | 322 |
| | $ | 13 |
| | $ | 335 |
| | | | | | | | | | | | | Analysis of ending balance of allowance for credit losses | Collective impairment allowance | | | | | | | $ | 303 |
| | $ | 13 |
| | $ | 316 |
| Specific impairment allowance | | | | | | | 19 |
| | — |
| | 19 |
| Ending balance (b) | | | | | | | 322 |
| | 13 |
| | 335 |
| | | | | | | | | | | | | Analysis of ending balance of finance receivables | | | | | | | Collectively evaluated for impairment | | | | | | | 55,527 |
| | 33,098 |
| | 88,625 |
| Specifically evaluated for impairment | | | | | | | 380 |
| | 126 |
| | 506 |
| Recorded investment | | | | | | | 55,907 |
| | 33,224 |
| | 89,131 |
| | | | | | | | | | | | | Ending balance, net of allowance for credit losses | | | | $ | 55,585 |
| | $ | 33,211 |
| | $ | 88,796 |
|
__________ | | (a) | Primarily represents amounts related to translation adjustments. |
| | (b) | Total allowance, including reserves for operating leases, was $380 million. |
| | | | | | | | | | | | | | | | | | | | | | | | | | Second Quarter 2014 | | First Half 2014 | | Consumer | | Non-Consumer | | Total | | Consumer | | Non-Consumer | | Total | Allowance for credit losses | | | | | | | | | | | | Beginning balance | $ | 307 |
| | $ | 27 |
| | $ | 334 |
| | $ | 327 |
| | $ | 30 |
| | $ | 357 |
| Charge-offs | (58 | ) | | (3 | ) | | (61 | ) | | (133 | ) | | (5 | ) | | (138 | ) | Recoveries | 34 |
| | 1 |
| | 35 |
| | 68 |
| | 6 |
| | 74 |
| Provision for credit losses | 17 |
| | — |
| | 17 |
| | 40 |
| | (7 | ) | | 33 |
| Other (a) | 3 |
| | (1 | ) | | 2 |
| | 1 |
| | — |
| | 1 |
| Ending balance (b) | $ | 303 |
| | $ | 24 |
| | $ | 327 |
| | $ | 303 |
| | $ | 24 |
| | $ | 327 |
| | | | | | | | | | | | | Analysis of ending balance of allowance for credit losses | Collective impairment allowance | | | | | | | $ | 281 |
| | $ | 23 |
| | $ | 304 |
| Specific impairment allowance | | | | | | | 22 |
| | 1 |
| | 23 |
| Ending balance (b) | | | | | | | 303 |
| | 24 |
| | 327 |
| | | | | | | | | | | | | Analysis of ending balance of finance receivables | | | | | | | Collectively evaluated for impairment | | | | | | | 51,505 |
| | 34,293 |
| | 85,798 |
| Specifically evaluated for impairment | | | | | | | 419 |
| | 125 |
| | 544 |
| Recorded investment | | | | | | | 51,924 |
| | 34,418 |
| | 86,342 |
| | | | | | | | | | | | | Ending balance, net of allowance for credit losses | | $ | 51,621 |
| | $ | 34,394 |
| | $ | 86,015 |
|
__________ | | (a) | Primarily represents amounts related to translation adjustments. |
| | (b) | Total allowance, including reserves for operating leases, was $353 million. |
|