GE 2015 Annual Report Download - page 180

FINANCIAL STATEMENTS HELD FOR SALE & DISCONTINUED OPERATIONS
152 GE 2015 FORM 10-K
WMC has also received indemnification demands, nearly all of which are unspecified, from depositors/underwriters/sponsors of RMBS
in connection with lawsuits brought by RMBS investors concerning alleged misrepresentations in the securitization offering documents
to which WMC is not a party or, in two cases, involving mortgage loan repurchase claims made against RMBS sponsors. WMC believes
that it has defenses to these demands.
To the extent WMC is required to repurchase loans, :0&¶V loss also would be affected by several factors, including pay downs,
accrued interest and fees, and the value of the underlying collateral. The reserve and estimate of possible loss reflect judgment, based
on currently available information, and a number of assumptions, including economic conditions, claim and settlement activity, pending
and threatened litigation, court decisions regarding :0&¶V legal defenses, indemnification demands, government activity, and other
variables in the mortgage industry. Actual losses arising from claims against WMC could exceed these amounts and additional claims
and lawsuits could result if actual claim rates, governmental actions, litigation and indemnification activity, adverse court decisions,
actual settlement rates or losses WMC incurs on repurchased loans differ from its assumptions.
FINANCIAL INFORMATION FOR WMC
(In millions) 2015 2014 2013
Total revenues and other income (loss) $ (184) $ (291) $ (346)
Earnings (loss) from discontinued operations, net of taxes $ (146) $ (199) $ (232)
OTHER FINANCIAL SERVICES
During the fourth quarter of 2013, we announced the planned disposition of Consumer Russia and classified the business as
discontinued operations. We completed the sale in the first quarter of 2014 for proceeds of $232 million.
During the first quarter of 2013, we announced the planned disposition of CLL Trailer Services and classified the business as
discontinued operations. We completed the sale in the fourth quarter of 2013 for proceeds of $528 million.
FINANCIAL INFORMATION FOR OTHER FINANCIAL SERVICES
(In millions) 2015 201
4
2013
Total revenues and other income (loss) $ 8 $ 23 $ 532
Gain (loss) on disposal, net of taxes $ - $ 15 $ (1,781)(a)
Earnings (loss) from discontinued operations, net of taxes $ 32 $ 92 $ (1,823)
(a) Primarily reflects agreement with the buyer of GE Money Japan to extinguish an obligation under terms specified in the 2008 sale agreement.
GE INDUSTRIAL
The sum of GE industrial earnings (loss) from discontinued operations, net of taxes, was $(10) million, $(5) million, and $(66) million for
the years ended December 31, 2015, 2014, 2013, respectively. During the fourth quarter of 2013, we recorded an increase to our tax
reserve related to Spanish taxes for the years prior to 2007 disposition of our Plastics business. GE Capital earnings (loss) from
discontinued operations, net of taxes, after adjusting for earnings (loss) attributable to noncontrolling interests related to discontinued
operations, is reported within GE industrial earnings (loss) from discontinued operations, net of taxes, on the Statement of Earnings.
152 GE 2015 FORM 10-K