Goldman Sachs 2009 Annual Report Download - page 110

Goldman Sachs 2009 Annual Report
108
Notes to Consolidated Financial Statements
The tables below set forth a summary of changes in the fair value of the  rm’s level3  nancial assets and  nancial liabilities at fair
value for the years ended December2009 and November2008 and one month ended December2008. The tables re ect gains and
losses, including gains and losses for the entire period on  nancial assets and  nancial liabilities at fair value that were transferred
to level3 during the period, for all  nancial assets and  nancial liabilities at fair value categorized as level3 as of December2009,
November2008 and December2008, respectively. The tables do not include gains or losses that were reported in level3 in prior
periods for instruments that were sold or transferred out of level3 prior to the end of the period presented.
Level3 Financial Assets and Financial Liabilities at Fair Value
Net unrealized
gains/(losses)
relating to
instruments still Net purchases, Net transfers
Balance, Net realized held at the issuances and in and/or out Balance,
(inmillions) beginning of year gains/(losses) reporting date settlements of level3 end of year
Year Ended December2009
Mortgage and other asset-backed
loans and securities:
Loans and securities backed by
commercial real estate $ 9,170 $ 166 $(1,148) $(3,097) $ (471) $ 4,620
Loans and securities backed by
residential real estate 1,927 101 58 (158) (48) 1,880
Loan portfolios 4,266 167 (327) (1,195) (1,547) (4) 1,364
Bank loans and bridge loans 11,169 747 (145) (2,128) (83) 9,560
Corporate debt securities 2,734 366 (68) (624) (173) 2,235
State and municipal obligations 1,356 (5) 13 (662) 412 1,114
Other debt obligations 3,903 173 (203) (1,425) (213) 2,235
Equities and convertible debentures 15,127 21 (2,961) 662 (978) (5) 11,871
Total cash instruments – assets 49,652 1,736 (1) (4,781) (1) (8,627) (3,101) 34,879
Cash instruments – liabilities (1,727) 38 (2) 474 (2) 463 180 (572)
Derivative contracts – net 3,315 759 (2) (1,018) (2) (3) 2,333 (193) 5,196
Securities sold under agreements to
repurchase, at fair value – – – (394) – (394)
Other secured  nancings (4,039) 19 (2) (812) (2) 804 (2,728) (6) (6,756)
Unsecured short-term borrowings (4,712) (126) (2) (81) (2) (1,419) 4,028 (6) (2,310)
Unsecured long-term borrowings (1,689) (92) (2) (291) (2) 726 (1,731) (6) (3,077)
Other liabilities and accrued expenses – (22) (2) 53 (2) (991) (953) (7) (1,913)
(1) The aggregate amounts include approximately $(4.69)billion and $1.64billion reported in “Trading and principal investments” and “Interest income,”
respectively, in the consolidated statements of earnings for the year ended December2009.
(2) Substantially all is reported in “Trading and principal investments” in the consolidated statements of earnings.
(3) Principally resulted from changes in level2 inputs.
(4) Principally re ects the deconsolidation of certain loan portfolios for which the  rm did not bear economic exposure.
(5) Principally re ects transfers to level2 within the fair value hierarchy of certain private equity investments, re ecting improved transparency of prices for these
 nancial instruments, primarily as a result of market transactions.
(6) Principally re ects transfers from level3 unsecured short-term borrowings to level3 other secured  nancings and level3 unsecured long-term borrowings
related to changes in the terms of certain notes.
(7) Principally re ects transfers from level2 within the fair value hierarchy of certain insurance contracts, re ecting reduced transparency of mortality curve inputs
used to value these instruments as a result of less observable trading activity.