| Schedule of Segment Results and Reconciliation |
The following table presents our business segment results for the years ended December 31, 2023, 2022 and 2021, selected balance sheet data as of December 31, 2023 and 2022, and a reconciliation of our total business segment results to our reported consolidated income from continuing operations, loans held for investment and deposits.Table 17.1: Segment Results and Reconciliation | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | Year Ended December 31, 2023 | | (Dollars in millions) | | Credit Card | | Consumer Banking | | Commercial Banking(1) | | Other(1) | | Consolidated Total | | Net interest income (loss) | | $ | 19,729 | | | $ | 8,713 | | | $ | 2,518 | | | $ | (1,719) | | | $ | 29,241 | | | Non-interest income | | 5,940 | | | 589 | | | 1,002 | | | 15 | | | 7,546 | | Total net revenue (loss)(2) | | 25,669 | | | 9,302 | | | 3,520 | | | (1,704) | | | 36,787 | | | Provision for credit losses | | 8,651 | | | 1,169 | | | 605 | | | 1 | | | 10,426 | | | Non-interest expense | | 12,490 | | | 5,178 | | | 2,011 | | | 637 | | | 20,316 | | | Income (loss) from continuing operations before income taxes | | 4,528 | | | 2,955 | | | 904 | | | (2,342) | | | 6,045 | | | Income tax provision (benefit) | | 1,071 | | | 697 | | | 213 | | | (823) | | | 1,158 | | | Income (loss) from continuing operations, net of tax | | $ | 3,457 | | | $ | 2,258 | | | $ | 691 | | | $ | (1,519) | | | $ | 4,887 | | | Loans held for investment | | $ | 154,547 | | | $ | 75,437 | | | $ | 90,488 | | | $ | 0 | | | $ | 320,472 | | | Deposits | | 0 | | | 296,171 | | | 32,712 | | | 19,530 | | | 348,413 | |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | Year Ended December 31, 2022 | | (Dollars in millions) | | Credit Card | | Consumer Banking | | Commercial Banking(1) | | Other(1) | | Consolidated Total | | Net interest income (loss) | | $ | 16,584 | | | $ | 8,965 | | | $ | 2,461 | | | $ | (896) | | | $ | 27,114 | | | Non-interest income (loss) | | 5,771 | | | 469 | | | 1,129 | | | (233) | | | 7,136 | | Total net revenue (loss)(2) | | 22,355 | | | 9,434 | | | 3,590 | | | (1,129) | | | 34,250 | | | Provision (benefit) for credit losses | | 4,265 | | | 1,173 | | | 415 | | | (6) | | | 5,847 | | | Non-interest expense | | 11,627 | | | 5,312 | | | 2,070 | | | 154 | | | 19,163 | | | Income (loss) from continuing operations before income taxes | | 6,463 | | | 2,949 | | | 1,105 | | | (1,277) | | | 9,240 | | | Income tax provision (benefit) | | 1,536 | | | 699 | | | 262 | | | (617) | | | 1,880 | | | Income (loss) from continuing operations, net of tax | | $ | 4,927 | | | $ | 2,250 | | | $ | 843 | | | $ | (660) | | | $ | 7,360 | | | Loans held for investment | | $ | 137,730 | | | $ | 79,925 | | | $ | 94,676 | | | $ | 0 | | | $ | 312,331 | | | Deposits | | 0 | | | 270,592 | | | 40,808 | | | 21,592 | | | 332,992 | |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | Year Ended December 31, 2021 | | (Dollars in millions) | | Credit Card | | Consumer Banking | | Commercial Banking(1) | | Other(1) | | Consolidated Total | | Net interest income (loss) | | $ | 14,074 | | | $ | 8,448 | | | $ | 2,153 | | | $ | (504) | | | $ | 24,171 | | | Non-interest income (loss) | | 4,806 | | | 554 | | | 1,148 | | | (244) | | | 6,264 | | Total net revenue (loss)(2) | | 18,880 | | | 9,002 | | | 3,301 | | | (748) | | | 30,435 | | | Benefit for credit losses | | (902) | | | (521) | | | (519) | | | (2) | | | (1,944) | | | Non-interest expense | | 9,621 | | | 4,711 | | | 1,815 | | | 423 | | | 16,570 | | | Income (loss) from continuing operations before income taxes | | 10,161 | | | 4,812 | | | 2,005 | | | (1,169) | | | 15,809 | | | Income tax provision (benefit) | | 2,403 | | | 1,136 | | | 473 | | | (597) | | | 3,415 | | | Income (loss) from continuing operations, net of tax | | $ | 7,758 | | | $ | 3,676 | | | $ | 1,532 | | | $ | (572) | | | $ | 12,394 | | | Loans held for investment | | $ | 114,772 | | | $ | 77,646 | | | $ | 84,922 | | | $ | 0 | | | $ | 277,340 | | | Deposits | | 0 | | | 256,407 | | | 44,809 | | | 9,764 | | | 310,980 | |
_________(1)Some of our commercial investments generate tax-exempt income, tax credits or other tax benefits. Accordingly, we present our Commercial Banking revenue and yields on a taxable-equivalent basis, calculated using the federal statutory tax rate of 21% and state taxes where applicable, with offsetting reductions to the Other category. (2)Total net revenue was reduced by $1.9 billion, $946 million and $629 million for the years ended December 31, 2023, 2022 and 2021, respectively, for credit card finance charges and fees charged off as uncollectible.
|
| Disaggregation of Revenue |
The following table presents revenue from contracts with customers and a reconciliation to non-interest income by business segment for the years ended December 31, 2023, 2022 and 2021. Table 17.2: Revenue from Contracts with Customers and Reconciliation to Segment Results | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | Year Ended December 31, 2023 | | (Dollars in millions) | | Credit Card | | Consumer Banking | | Commercial Banking(1) | | Other(1) | | Consolidated Total | | Contract revenue: | | | | | | | | | | | Interchange fees, net(2) | | $ | 4,333 | | | $ | 367 | | | $ | 91 | | | $ | 2 | | | $ | 4,793 | | | Service charges and other customer-related fees | | 0 | | | 86 | | | 222 | | | (2) | | | 306 | | | Other | | 413 | | | 102 | | | 31 | | | 0 | | | 546 | | | Total contract revenue (loss) | | 4,746 | | | 555 | | | 344 | | | 0 | | | 5,645 | | | Revenue from other sources | | 1,194 | | | 34 | | | 658 | | | 15 | | | 1,901 | | | Total non-interest income | | $ | 5,940 | | | $ | 589 | | | $ | 1,002 | | | $ | 15 | | | $ | 7,546 | |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | Year Ended December 31, 2022 | | (Dollars in millions) | | Credit Card | | Consumer Banking | | Commercial Banking(1) | | Other(1) | | Consolidated Total | | Contract revenue: | | | | | | | | | | | Interchange fees, net(2) | | $ | 4,178 | | | $ | 320 | | | $ | 109 | | | $ | (1) | | | $ | 4,606 | | | Service charges and other customer-related fees | | 0 | | | 91 | | | 236 | | | 0 | | | 327 | | | Other | | 395 | | | 74 | | | 16 | | | (1) | | | 484 | | | Total contract revenue (loss) | | 4,573 | | | 485 | | | 361 | | | (2) | | | 5,417 | | | Revenue (reduction) from other sources | | 1,198 | | | (16) | | | 768 | | | (231) | | | 1,719 | | | Total non-interest income (loss) | | $ | 5,771 | | | $ | 469 | | | $ | 1,129 | | | $ | (233) | | | $ | 7,136 | |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | Year Ended December 31, 2021 | | (Dollars in millions) | | Credit Card | | Consumer Banking | | Commercial Banking(1) | | Other(1) | | Consolidated Total | | Contract revenue: | | | | | | | | | | | Interchange fees, net(2) | | $ | 3,497 | | | $ | 267 | | | $ | 96 | | | $ | 0 | | | $ | 3,860 | | | Service charges and other customer-related fees | | 0 | | | 171 | | | 287 | | | (1) | | | 457 | | | Other | | 383 | | | 75 | | | 5 | | | 0 | | | 463 | | | Total contract revenue (loss) | | 3,880 | | | 513 | | | 388 | | | (1) | | | 4,780 | | | Revenue (reduction) from other sources | | 926 | | | 41 | | | 760 | | | (243) | | | 1,484 | | | Total non-interest income (loss) | | $ | 4,806 | | | $ | 554 | | | $ | 1,148 | | | $ | (244) | | | $ | 6,264 | |
__________(1)Some of our commercial investments generate tax-exempt income, tax credits or other tax benefits. Accordingly, we present our Commercial Banking revenue and yields on a taxable-equivalent basis, calculated using the federal statutory tax rate of 21% and state taxes where applicable, with offsetting reductions to the Other category. (2)Interchange fees are presented net of customer reward expenses of $8.2 billion, $7.6 billion and $6.4 billion for the years ended December 31, 2023, 2022 and 2021, respectively.
|