Morgan Stanley 2014 Annual Report Download - page 273

MORGAN STANLEY
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS—(Continued)
The following securities were considered antidilutive and, therefore, were excluded from the computation of
diluted EPS:
Number of Antidilutive Securities Outstanding at End of Period: 2014 2013 2012
(shares in millions)
RSUs and performance-based stock units ......................................... 2 3 8
Stock options ............................................................... 13 33 42
Total .................................................................. 15 36 50
17. Interest Income and Interest Expense.
Details of Interest income and Interest expense were as follows:
2014 2013 2012
(dollars in millions)
Interest income(1):
Trading assets(2) .................................................. $2,109 $2,292 $2,736
Investment securities ............................................... 613 447 343
Loans ........................................................... 1,690 1,121 643
Interest bearing deposits with banks ................................... 109 129 124
Securities purchased under agreements to resell and Securities borrowed(3) . . . (298) (20) 364
Customer receivables and Other(4) ................................... 1,190 1,240 1,482
Total interest income .................................................. $5,413 $5,209 $5,692
Interest expense(1):
Deposits ......................................................... $ 106 $ 159 $ 181
Commercial paper and other short-term borrowings ...................... 4 20 38
Long-term borrowings ............................................. 3,609 3,758 4,622
Securities sold under agreements to repurchase and Securities loaned(5) ...... 1,216 1,469 1,805
Customer payables and Other(6) ..................................... (1,257) (975) (749)
Total interest expense .................................................. $3,678 $4,431 $5,897
Net interest .......................................................... $1,735 $ 778 $ (205)
(1) Interest income and expense are recorded within the Company’s consolidated statements of income depending on the nature of the
instrument and related market conventions. When interest is included as a component of the instrument’s fair value, interest is included
within Trading revenues or Investments revenues. Otherwise, it is included within Interest income or Interest expense.
(2) Interest expense on Trading liabilities is reported as a reduction to Interest income on Trading assets.
(3) Includes fees paid on securities borrowed.
(4) Includes interest from customer receivables and other interest earning assets.
(5) Includes fees received on securities loaned.
(6) Includes fees received from prime brokerage customers for stock loan transactions incurred to cover customers’ short positions.
18. Deferred Compensation Plans.
The Company maintains various deferred compensation plans for the benefit of its employees. The two principal
forms of deferred compensation are granted under several stock-based compensation and cash-based
compensation plans.
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