TD Bank 2014 Annual Report Download - page 53

TD BANK GROUP ANNUAL REPORT 2014 MANAGEMENT’S DISCUSSION AND ANALYSIS 51
(millions of Canadian dollars, except as noted) For the years ended Percentage of total
October 31 October 31 October 31 October 31 October 31 October 31
2014 2013 2012 2014 2013 2012
Provision for credit losses – counterparty-specific
and individually insignificant
Canada
Residential mortgages2 $ 15 $ 16 $ 10 1.0% 1.1% 0.6%
Consumer instalment and other personal
HELOC 8 15 21 0.6 1.0 1.3
Indirect Auto 137 128 131 9.2 8.6 8.3
Other 167 221 261 11.3 14.9 16.6
Credit card 462 485 308 31.1 32.8 19.6
Total personal 789 865 731 53.2 58.4 46.4
Real estate
Residential (1) (4) 12 (0.1) (0.3) 0.8
Non-residential 3 1 2 0.2 0.1 0.1
Total real estate 2 (3) 14 0.1 (0.2) 0.9
Agriculture 1 3 2 0.1 0.2 0.1
Automotive 2 2 4 0.1 0.1 0.2
Financial 1 – 6 0.1 – 0.4
Food, beverage, and tobacco – 4 1 – 0.3 0.1
Forestry – – 1 – – 0.1
Government, public sector entities, and education – 1 – – 0.1 –
Health and social services 2 (1) 1 0.1 (0.1) 0.1
Industrial construction and trade contractors 9 14 13 0.6 1.0 0.8
Metals and mining 2 – 6 0.1 – 0.4
Pipelines, oil, and gas (2) 10 – (0.1) 0.7 –
Professional and other services 31 3 9 2.1 0.2 0.6
Retail sector 19 33 16 1.2 2.2 1.0
Sundry manufacturing and wholesale 9 5 8 0.6 0.3 0.5
Telecommunications, cable, and media 1 (4) 19 0.1 (0.3) 1.2
Transportation 6 4 3 0.4 0.3 0.2
Other 1 3 2 0.1 0.2 0.1
Total business and government 84 74 105 5.6 5.0 6.7
Total Canada 873 939 836 58.8 63.4 53.1
United States
Residential mortgages 8 11 22 0.6 0.7 1.4
Consumer instalment and other personal
HELOC 38 54 93 2.5 3.7 5.9
Indirect Auto 148 166 111 10.0 11.2 7.1
Other 59 54 48 4.0 3.7 3.0
Credit card 309 51 45 20.8 3.4 2.9
Total personal 562 336 319 37.9 22.7 20.3
Real estate
Residential (7) – 72 (0.5) – 4.6
Non-residential (4) 35 66 (0.3) 2.4 4.2
Total real estate (11) 35 138 (0.8) 2.4 8.8
Agriculture – (1) 1 – (0.1) 0.1
Automotive 2 2 3 0.1 0.1 0.2
Financial (13) 1 22 (0.9) 0.1 1.4
Food, beverage, and tobacco (1) 1 5 (0.1) 0.1 0.3
Forestry – 1 – – 0.1 –
Government, public sector entities, and education (1) 12 7 (0.1) 0.7 0.4
Health and social services 8 10 7 0.6 0.7 0.4
Industrial construction and trade contractors 6 6 19 0.4 0.4 1.2
Metals and mining – 6 3 – 0.4 0.2
Pipelines, oil, and gas – (2) 1 – (0.1) 0.1
Power and utilities – (1) 2 – (0.1) 0.1
Professional and other services 7 24 7 0.5 1.6 0.4
Retail sector 3 24 26 0.2 1.6 1.7
Sundry manufacturing and wholesale 9 13 21 0.6 0.9 1.3
Telecommunications, cable, and media – 3 8 – 0.2 0.5
Transportation (2) (5) 18 (0.1) (0.3) 1.1
Other 13 15 12 0.9 1.0 0.8
Total business and government2 20 144 300 1.3 9.7 19.0
Total United States 582 480 619 39.2 32.4 39.3
Total excluding other loans 1,455 1,419 1,455 98.0 95.8 92.4
Other loans
Debt securities classified as loans 31 13 6 2.1 0.9 0.4
Acquired credit-impaired loans3 (2) 49 114 (0.1) 3.3 7.2
Total other loans 29 62 120 2.0 4.2 7.6
Total provision for credit losses – counterparty-specific
and individually insignificant $ 1,484 $ 1,481 $ 1,575 100.0% 100.0% 100.0%
Provision for credit losses – incurred but not identified
Personal, business and government 120 195 214
Debt securities classified as loans (47) (45) 6
Total provision for credit losses – incurred but not identified 73 150 220
Total provision for credit losses $ 1,557 $ 1,631 $ 1,795
PROVISION FOR CREDIT LOSSES BY INDUSTRY SECTOR1
TABLE 35
1 Primarily based on the geographic location of the customer’s address.
2 Excludes trading loans with a fair value of $10 billion as at October 31, 2014
(October 31, 2013 – $10 billion), and amortized cost of $10 billion as at October 31,
2014 (October 31, 2013 – $10 billion), and loans designated at fair value through
profit or loss of $5 million as at October 31, 2014 (October 31, 2013 – $9 million).
No allowance is recorded for trading loans or loans designated at fair value
through profit or loss.
3 Includes all FDIC covered loans and other ACI loans.