Investments in Operating Leases, Net

12 Months Ended

Mar. 31, 2015

Leases Operating [Abstract]

Investments in Operating Leases, Net

Note 5 – Investments in Operating Leases, Net

Investments in operating leases, net consist of vehicle and equipment leases, net of deferred fees and costs, deferred income, accumulated depreciation and the allowance for credit losses.  Securitized investments in operating leases represent beneficial interests in a pool of certain vehicle leases that have been sold for legal purposes to securitization trusts but continue to be included in our consolidated financial statements as discussed further in Note 10 – Variable Interest Entities.  Cash flows from these securitized investments in operating leases are available only for the repayment of debt issued by these trusts and other obligations arising from the securitization transactions.  They are not available for payment of our other obligations or to satisfy claims of our other creditors.

Investments in operating leases, net consisted of the following:

(Dollars in millions)	March 31, 2015			March 31, 2014
Investments in operating leases	$	37,555		$	31,023
Securitized investments in operating leases		1,571			248
		39,126			31,271
Deferred origination (fees) and costs, net		(169	)		(146	)
Deferred income		(968	)		(826	)
Accumulated depreciation		(6,785	)		(5,462	)
Allowance for credit losses		(76	)		(68	)
Investments in operating leases, net	$	31,128		$	24,769

Future minimum rentals on operating leases are as follows (dollars in millions):

Years ending March 31,	Future minimum rentals on operating leases
2016	$	5,065
2017		3,214
2018		1,274
2019		229
2020		29
Thereafter		1
Total	$	9,812

A portion of our operating lease contracts has historically terminated prior to maturity.  Future minimum rentals shown above should not be considered indicative of future cash collections.