Capital One 2011 Annual Report Download - page 132

December 31,
(Dollars in millions) 2011 2010 2009
Commercial Banking business:
Commercial and multifamily real estate .............................. 12 20 2
Middle market .................................................. 14 24 3
Specialty lending ................................................ 683
Total commercial lending ..................................... 32 52 8
Small-ticket commercial real estate .................................. 522
Total commercial banking ..................................... 37 54 10
Other loans ..................................................... 582
Total recoveries ................................................. 1,544 1,587 774
Net charge-offs .................................................. (3,771) (6,651) (4,568)
Impact from acquisitions, sales and other changes ...................... (8)(4) (60)(5) (59)
Balance at end of period(3) ......................................... $ 4,250 $ 5,628 $ 4,127
Allowance for loan and lease losses as a percentage of loans held for
investment ................................................... 3.13% 4.47% 4.55%
December 31,
2011 2010 2009
Allowance for loan and lease losses by geographic distribution:
Domestic ....................................................... $ 3,778 $ 5,168 $ 3,928
International .................................................... 472 460 199
Total allowance for loan and lease losses ............................. $ 4,250 $ 5,628 $ 4,127
Allowance for loan and lease losses by loan category:
Domestic card ................................................... $ 2,375 $ 3,581 $ 1,927
International card ................................................ 472 460 199
Consumer banking ............................................... 652 675 1,076
Commercial banking ............................................. 711 826 785
Other .......................................................... 40 86 140
Allowance for loan and lease losses .................................. $ 4,250 $ 5,628 $ 4,127
(1) Includes an adjustment of $53 million made in the second quarter of 2010 for the impact as of January 1, 2010 of
impairment on consolidated loans accounted for as TDRs.
(2) Excludes a negative provision for unfunded lending commitments of $41 million and a provision for unfunded lending
commitments of $12 million for 2011 and 2010, respectively.
(3) The reduction in the provision for loan and lease losses attributable to Kohl’s was $257 million for 2011. Loss sharing
amounts attributable to Kohl’s reduced charge-offs by $118 million in 2011. The expected reimbursement from Kohl’s
netted in our allowance for loan and lease losses was approximately $139 million as of December 31, 2011.
(4) Includes foreign translation adjustment of $8 million for 2011.
(5) Includes a reduction in our allowance for loan and lease losses of $73 million during the first quarter of 2010 attributable
to the sale of certain interest-only option-ARM bonds and the deconsolidation of the related securitization trusts related
to Chevy Chase Bank in the first quarter of 2010.
112