Annual report pursuant to Section 13 and 15(d)

Accumulated Other Comprehensive Income (Loss)

v2.4.1.9
Accumulated Other Comprehensive Income (Loss)
12 Months Ended
Dec. 31, 2014
Equity [Abstract]  
Accumulated Other Comprehensive Income (Loss)
Accumulated Other Comprehensive Income (Loss)
The table below presents the changes in accumulated OCI after-tax for 2012, 2013 and 2014.
 
 
 
 
 
 
 
 
 
 
 
 
(Dollars in millions)
Available-for-
Sale Debt
Securities
 
Available-for-
Sale Marketable
Equity Securities
 
Derivatives
 
Employee
Benefit Plans
 
Foreign
Currency (1)
 
Total
Balance, December 31, 2011
$
3,100

 
$
3

 
$
(3,785
)
 
$
(4,391
)
 
$
(364
)
 
$
(5,437
)
Net change
1,343

 
459

 
916

 
(65
)
 
(13
)
 
2,640

Balance, December 31, 2012
$
4,443

 
$
462

 
$
(2,869
)
 
$
(4,456
)
 
$
(377
)
 
$
(2,797
)
Net change
(7,700
)
 
(466
)
 
592

 
2,049

 
(135
)
 
(5,660
)
Balance, December 31, 2013
$
(3,257
)
 
$
(4
)
 
$
(2,277
)
 
$
(2,407
)
 
$
(512
)
 
$
(8,457
)
Net change
4,600

 
21

 
616

 
(943
)
 
(157
)
 
4,137

Balance, December 31, 2014
$
1,343

 
$
17

 
$
(1,661
)
 
$
(3,350
)
 
$
(669
)
 
$
(4,320
)

(1) 
The net change in fair value represents the impact of changes in spot foreign exchange rates on the Corporation’s net investment in non-U.S. operations, and related hedges.
The table below presents the net change in fair value recorded in accumulated OCI, net realized gains and losses reclassified into earnings and other changes for each component of OCI before- and after-tax for 2014, 2013 and 2012.
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Changes in OCI Components Before- and After-tax
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
2014
 
2013
 
2012
(Dollars in millions)
Before-tax
 
Tax effect
 
After-tax
 
Before-tax
 
Tax effect
 
After-tax
 
Before-tax
 
Tax effect
 
After-tax
Available-for-sale debt securities:
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Net increase (decrease) in fair value
$
8,698

 
$
(3,268
)
 
$
5,430

 
$
(10,989
)
 
$
4,077

 
$
(6,912
)
 
$
3,676

 
$
(1,319
)
 
$
2,357

Net realized gains reclassified into earnings
(1,338
)
 
508

 
(830
)
 
(1,251
)
 
463

 
(788
)
 
(1,609
)
 
595

 
(1,014
)
Net change
7,360

 
(2,760
)
 
4,600

 
(12,240
)
 
4,540

 
(7,700
)
 
2,067

 
(724
)
 
1,343

Available-for-sale marketable equity securities:
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Net increase in fair value
34

 
(13
)
 
21

 
32

 
(12
)
 
20

 
748

 
(277
)
 
471

Net realized gains reclassified into earnings

 

 

 
(771
)
 
285

 
(486
)
 
(19
)
 
7

 
(12
)
Net change
34

 
(13
)
 
21

 
(739
)
 
273

 
(466
)
 
729

 
(270
)
 
459

Derivatives:
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Net increase in fair value
195

 
(54
)
 
141

 
156

 
(51
)
 
105

 
430

 
(166
)
 
264

Net realized losses reclassified into earnings
760

 
(285
)
 
475

 
773

 
(286
)
 
487

 
1,035

 
(383
)
 
652

Net change
955

 
(339
)
 
616

 
929

 
(337
)
 
592

 
1,465

 
(549
)
 
916

Employee benefit plans:
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Net increase (decrease) in fair value
(1,629
)
 
614

 
(1,015
)
 
2,985

 
(1,128
)
 
1,857

 
(1,891
)
 
660

 
(1,231
)
Net realized losses reclassified into earnings
55

 
(23
)
 
32

 
237

 
(79
)
 
158

 
490

 
(192
)
 
298

Settlements, curtailments and other
(1
)
 
41

 
40

 
46

 
(12
)
 
34

 
1,378

 
(510
)
 
868

Net change
(1,575
)
 
632

 
(943
)
 
3,268

 
(1,219
)
 
2,049

 
(23
)
 
(42
)
 
(65
)
Foreign currency:
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Net increase (decrease) in fair value
714

 
(879
)
 
(165
)
 
244

 
(384
)
 
(140
)
 
(226
)
 
233

 
7

Net realized (gains) losses reclassified into earnings
20

 
(12
)
 
8

 
138

 
(133
)
 
5

 
(30
)
 
10

 
(20
)
Net change
734

 
(891
)
 
(157
)
 
382

 
(517
)
 
(135
)
 
(256
)
 
243

 
(13
)
Total other comprehensive income (loss)
$
7,508

 
$
(3,371
)
 
$
4,137

 
$
(8,400
)
 
$
2,740

 
$
(5,660
)
 
$
3,982

 
$
(1,342
)
 
$
2,640


The table below presents impacts on net income of significant amounts reclassified out of each component of accumulated OCI before- and after-tax for 2014, 2013 and 2012.
 
 
 
 
 
 
 
Reclassifications Out of Accumulated OCI
 
 
 
 
 
 
 
 
 
 
(Dollars in millions)
 
 
 
 
 
 
Accumulated OCI Components
Income Statement Line Item Impacted
2014
 
2013
 
2012
Available-for-sale debt securities:
 
 
 
 
 
 
 
Gains on sales of debt securities
$
1,354

 
$
1,271

 
$
1,662

 
Other income (loss)
(16
)
 
(20
)
 
(53
)
 
Income before income taxes
1,338

 
1,251

 
1,609

 
Income tax expense
508

 
463

 
595

 
Reclassification to net income
830

 
788

 
1,014

Available-for-sale marketable equity securities:
 
 
 
 
 
 
 
Equity investment income

 
771

 
19

 
Income before income taxes

 
771

 
19

 
Income tax expense

 
285

 
7

 
Reclassification to net income

 
486

 
12

Derivatives:
 
 
 
 
 
 
Interest rate contracts
Net interest income
(1,119
)
 
(1,119
)
 
(956
)
Commodity contracts
Trading account profits

 
(1
)
 
(1
)
Interest rate contracts
Other income

 
18

 

Equity compensation contracts
Personnel
359

 
329

 
(78
)
 
Loss before income taxes
(760
)
 
(773
)
 
(1,035
)
 
Income tax benefit
(285
)
 
(286
)
 
(383
)
 
Reclassification to net income
(475
)
 
(487
)
 
(652
)
Employee benefit plans:
 
 
 
 
 
 
Prior service cost
Personnel
(5
)
 
(4
)
 
(6
)
Transition obligation
Personnel

 

 
(32
)
Net actuarial losses
Personnel
(50
)
 
(225
)
 
(443
)
Settlements and curtailments
Personnel

 
(8
)
 
(58
)
 
Loss before income taxes
(55
)
 
(237
)
 
(539
)
 
Income tax benefit
(23
)
 
(79
)
 
(212
)
 
Reclassification to net income
(32
)
 
(158
)
 
(327
)
Foreign currency:
 
 
 
 
 
 
Insignificant items
Other income (loss)
(20
)
 
(138
)
 
30

 
Income (loss) before income taxes
(20
)
 
(138
)
 
30

 
Income tax expense (benefit)
(12
)
 
(133
)
 
10

 
Reclassification to net income
(8
)
 
(5
)
 
20

Total reclassification adjustments
 
$
315

 
$
624

 
$
67