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60
TABLE HSUMMARY OF ALLOWANCE FOR LOAN AND LEASE LOSSES
Table H sets forth activity in the allowance for loan and lease losses for the periods indicated.
Year Ended December 31
(Dollars In Thousands) 2007 2006 2005 2004 2003
Balance at beginning of year $ 2,180,000 $ 1,790,000 $ 1,505,000 $ 1,595,000 $ 1,720,000
Provision for loan and lease losses from
continuing operations:
Domestic 2,487,694 1,235,984 1,327,968 1,085,467 1,388,463
International 148,808 240,454 163,104 135,385 129,034
Total provision for loan and lease
losses from continuing
operations 2,636,502 1,476,438 1,491,072 1,220,852 1,517,497
Provision for loan and lease losses from
discontinued operations 80,151
Acquisitions 225,890 224,144
Other 26,888 72,821 (12,731) (15,284) 3,863
Charge-offs:
Consumer loans:
Domestic (2,076,794) (1,547,746) (1,532,499) (1,473,103) (1,722,348)
International (252,444) (249,332) (193,360) (135,198) (146,152)
Total consumer loans (2,329,238) (1,797,078) (1,725,859) (1,608,301) (1,868,500)
Commercial loans (250,981) (135,375) (139,977) (140,972) (135,828)
Total charge-offs (2,580,219) (1,932,453) (1,865,836) (1,749,273) (2,004,328)
Principal recoveries:
Consumer loans
Domestic 503,618 451,781 384,266 388,573 304,003
International 71,868 68,280 43,560 43,212 37,619
Total consumer loans 575,486 520,061 427,826 431,785 341,622
Commercial loans 44,192 27,243 20,525 21,920 16,346
Total principal recoveries 619,678 547,304 448,351 453,705 357,968
Net charge-offs(1) (1,960,541) (1,385,149) (1,417,485) (1,295,568) (1,646,360)
Balance at end of year $ 2,963,000 $ 2,180,000 $ 1,790,000 $ 1,505,000 $ 1,595,000
Allowance for loan and lease losses to
loans held for investment at end of yea
r
2.91% 2.26% 2.99% 3.94% 4.86%
Allowance for loan and lease losses by
geographic distribution:
Domestic $ 2,754,065 $ 1,949,864 $ 1,639,277 $ 1,354,849 $ 1,477,314
International 208,935 230,136 150,723 150,151 117,686
Allowance for loan and lease losses by
loan category:
Consumer loans:
Domestic $ 2,199,788 $ 1,584,025 $ 1,405,909 $ 1,222,083 $ 1,341,850
International 208,935 230,136 150,723 150,151 117,686
Total consumer loans 2,408,723 1,814,161 1,556,632 1,372,234 1,459,536
Commercial loans 554,277 365,839 221,975 132,766 135,464
Unallocated 11,393
Total loans held for investment $ 2,963,000 $ 2,180,000 $ 1,790,000 $ 1,505,000 $ 1,595,000
(1) Does not include charge-offs of $22.3 million and $29.2 million in 2006 and 2005, respectively, relating to certain loans which have been segregated into pools apart from
the remaining portfolio and accounted for under Statement of Position 03-3, Accounting for Certain Loans or Debt Securities Acquired in a Transfer (SOP 03-3).