Morgan Stanley 1999 Annual Report Download - page 82

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99 AR |page 80
COLLATERALIZED OTHER
NON- NON-
INVESTMENT INVESTMENT
(dollars in millions) AAA AA A BBB GRADE GRADE TOTAL
AT NOVEMBER 30, 1999
Interest rate and currency swaps and options
(including caps, floors and swap options) and
other fixed income securities contracts $1,569 $3,842 $2,896 $ 884 $ 117 $ 174 $ 9,482
Foreign exchange forward contracts and options 556 1,551 1,285 170 — 140 3,702
Equity securities contracts (including equity
swaps, warrants and options) 1,742 2,310 1,109 260 1,308 320 7,049
Commodity forwards, options and swaps 164 571 660 469 52 508 2,424
Mortgage-backed securities forward contracts,
swaps and options 41 33 35 1 1 1 112
Total $4,072 $8,307 $5,985 $1,784 $1,478 $1,143 $22,769
Percent of total 18)%37)%26)%8)%6)%5)% 100)%
AT NOVEMBER 30, 1998
Interest rate and currency swaps and options
(including caps, floors and swap options) and
other fixed income securities contracts $ 894 $3,727 $3,694 $1,181 $ 98 $ 510 $10,104
Foreign exchange forward contracts and options 306 1,413 1,435 337 — 263 3,754
Equity securities contracts (including equity
swaps, warrants and options) 1,995 1,105 478 61 1,364 165 5,168
Commodity forwards, options and swaps 71 448 401 708 46 534 2,208
Mortgage-backed securities forward contracts,
swaps and options 130 51 21 3 — 3 208
Total $3,396 $6,744 $6,029 $2,290 $1,508 $1,475 $21,442
Percent of total 16)%31)%28)%11)%7)%7)% 100)%
10 PREFERRED STOCK, CAPITAL UNITS AND
PREFERRED SECURITIES ISSUED BY SUBSIDIARIES
Preferred stock of the Company is composed of the following issues:
SHARES OUTSTANDING AT BALANCE AT
NOVEMBER 30 NOVEMBER 30
(dollars in millions) 1999 1998 1999 1998
ESOP Convertible Preferred Stock, liquidation preference $35.88 3,493,477 3,581,964 $125 $129
Series A Fixed/Adjustable Rate Cumulative Preferred Stock, stated value $200 1,725,000 1,725,000 345 345
7-3/4% Cumulative Preferred Stock, stated value $200 1,000,000 1,000,000 200 200
Total $670 $674
The credit quality of the Company’s trading-related derivatives at
November 30, 1999 and 1998 is summarized in the table below,
showing the fair value of the related assets by counterparty credit
rating. The actual credit ratings are determined by external rating
agencies or by equivalent ratings used by the Company’s Credit
Department:
The Company also has obtained assets posted as collateral by
investment grade counterparties amounting to $2.7 billion and
$2.5 billion at November 30, 1999 and November 30, 1998,
respectively.