JP Morgan Chase 2012 Annual Report Download - page 286

Notes to consolidated financial statements
296 JPMorgan Chase & Co./2012 Annual Report
Note 18 – Premises and equipment
Premises and equipment, including leasehold
improvements, are carried at cost less accumulated
depreciation and amortization. JPMorgan Chase computes
depreciation using the straight-line method over the
estimated useful life of an asset. For leasehold
improvements, the Firm uses the straight-line method
computed over the lesser of the remaining term of the
leased facility or the estimated useful life of the leased
asset. JPMorgan Chase has recorded immaterial asset
retirement obligations related to asbestos remediation in
those cases where it has sufficient information to estimate
the obligations’ fair value.
JPMorgan Chase capitalizes certain costs associated with
the acquisition or development of internal-use software.
Once the software is ready for its intended use, these costs
are amortized on a straight-line basis over the software’s
expected useful life and reviewed for impairment on an
ongoing basis.
Note 19 – Deposits
At December 31, 2012 and 2011, noninterest-bearing and
interest-bearing deposits were as follows.
December 31, (in millions) 2012 2011
U.S. offices
Noninterest-bearing $ 380,320 $ 346,670
Interest-bearing
Demand(a) 53,980 47,075
Savings(b) 407,710 375,051
Time (included $5,140 and $3,861 at
fair value)(c) 90,416 82,738
Total interest-bearing deposits 552,106 504,864
Total deposits in U.S. offices 932,426 851,534
Non-U.S. offices
Noninterest-bearing 17,845 18,790
Interest-bearing
Demand 195,395 188,202
Savings 1,004 687
Time (included $593 and $1,072 at
fair value)(c) 46,923 68,593
Total interest-bearing deposits 243,322 257,482
Total deposits in non-U.S. offices 261,167 276,272
Total deposits $ 1,193,593 $ 1,127,806
(a) Includes Negotiable Order of Withdrawal (“NOW”) accounts, and
certain trust accounts.
(b) Includes Money Market Deposit Accounts (“MMDAs”).
(c) Includes structured notes classified as deposits for which the fair value
option has been elected. For further discussion, see Note 4 on pages
214–216 of this Annual Report.
At December 31, 2012 and 2011, time deposits in
denominations of $100,000 or more were as follows.
December 31, (in millions) 2012 2011
U.S. offices $ 70,008 $ 57,802
Non-U.S. offices 46,890 60,066 (a)
Total $116,898 $117,868
(a)The prior period balance has been revised.
At December 31, 2012, the maturities of interest-bearing
time deposits were as follows.
December 31, 2012
(in millions) U.S. Non-U.S. Total
2013 $ 74,469 $ 45,731 $ 120,200
2014 3,792 795 4,587
2015 3,374 34 3,408
2016 4,566 188 4,754
2017 1,195 110 1,305
After 5 years 3,020 65 3,085
Total $ 90,416 $ 46,923 $ 137,339
Note 20 – Accounts payable and other liabilities
The following table details the components of accounts
payable and other liabilities.
December 31, (in millions) 2012 2011
Brokerage payables(a) $ 108,398 $ 121,353
Accounts payable and other liabilities
(b) 86,842 81,542
Total $ 195,240 $ 202,895
(a) Includes payables to customers, brokers, dealers and clearing
organizations, and securities fails.
(b) Includes $36 million and $51 million accounted for at fair value at
December 31, 2012 and 2011, respectively.