Ally Bank 2011 Annual Report Download - page 38

Table of Contents
Management's Discussion and Analysis
Ally Financial Inc. • Form 10−K
Following the transactions described above, Treasury currently holds 73.8% of Ally common stock and approximately $5.9 billion in New MCP. As a
result of its current common stock investment, Treasury is entitled to appoint six of the eleven total members of the Ally Board of Directors.
The following table summarizes the investments in Ally made by Treasury in 2008 and 2009.
($ in millions) Investment type Date Cash investment Warrants Total
TARP Preferred equity December 29, 2008 $ 5,000 $ 250 $ 5,250
GM Loan Conversion (a) Common equity May 21, 2009 884 — 884
SCAP 1 Preferred equity (MCP) May 21, 2009 7,500 375 7,875
SCAP 2 Preferred equity (MCP) December 30, 2009 1,250 63 1,313
SCAP 2 Trust preferred securities December 30, 2009 2,540 127 2,667
Total cash investments $ 17,174 $ 815 $ 17,989
(a) In January 2009, Treasury loaned $884 million to General Motors. In connection with that loan, Treasury acquired rights to exchange that loan for 190,921 shares. In May 2009,
Treasury exercised that right.
The following table summarizes Treasury's investment in Ally at December 31, 2011.
December 31, 2011 ($ in millions) Book Value Face Value
MCP (a) $ 5,685 $ 5,938
Common equity (b) 73.8%
(a) Reflects the exchange of face value of $5.25 billion of Perpetual Preferred Stock to MCP in December 2009 and the conversion of face value of $3.0 billion and $5.5 billion of MCP
to common equity in December 2009 and December 2010, respectively.
(b) Represents the current common equity ownership position by Treasury.
Discontinued Operations
During 2009, 2010, and 2011, we committed to sell certain operations of our International Automotive Finance operations, Insurance operations,
Mortgage Legacy Portfolio and Other operations, and Commercial Finance Group, and have classified certain of these operations as discontinued. For all
periods presented, all of the operating results for these operations have been removed from continuing operations. Refer to Note 2 to the Consolidated
Financial Statements for more details.
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