Annual report pursuant to Section 13 and 15(d)

Fair Value Measurements (Tables)

v2.4.0.6
Fair Value Measurements (Tables)
 12 Months Ended
Dec. 31, 2012
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]  
Fair value Assets and liabilities measured on Recurring basis
Assets and liabilities carried at fair value on a recurring basis at December 31, 2012 and 2011, including financial instruments which the Corporation accounts for under the fair value option, are summarized in the following tables.
 
 
 
 
 
 
 
 
 
 
 
December 31, 2012
 
Fair Value Measurements
 
 
 
 
(Dollars in millions)
Level 1 (1)
 
Level 2 (1)
 
Level 3
 
Netting Adjustments (2)
 
Assets/Liabilities at Fair Value
Assets
 

 
 

 
 

 
 

 
 

Federal funds sold and securities borrowed or purchased under agreements to resell
$
—

 
$
98,670

 
$
—

 
$
—

 
$
98,670

Trading account assets:
 

 
 

 
 

 
 

 
 

U.S. government and agency securities
57,655

 
29,319

 
—

 
—

 
86,974

Corporate securities, trading loans and other
1,292

 
32,882

 
3,726

 
—

 
37,900

Equity securities
28,144

 
14,626

 
545

 
—

 
43,315

Non-U.S. sovereign debt
38,405

 
13,439

 
353

 
—

 
52,197

Mortgage trading loans and ABS
—

 
11,905

 
4,935

 
—

 
16,840

Total trading account assets
125,496

 
102,171

 
9,559

 
—

 
237,226

Derivative assets (3)
2,997

 
1,372,398

 
8,073

 
(1,329,971
)
 
53,497

AFS debt securities:
 

 
 

 
 

 
 

 
 

U.S. Treasury securities and agency securities
21,514

 
2,958

 
—

 
—

 
24,472

Mortgage-backed securities:
 

 
 

 
 

 
 

 
 

Agency
—

 
188,149

 
—

 
—

 
188,149

Agency-collateralized mortgage obligations
—

 
37,538

 
—

 
—

 
37,538

Non-agency residential
—

 
9,494

 
—

 
—

 
9,494

Non-agency commercial
—

 
3,914

 
10

 
—

 
3,924

Non-U.S. securities
2,637

 
2,981

 
—

 
—

 
5,618

Corporate/Agency bonds
—

 
1,358

 
92

 
—

 
1,450

Other taxable securities
20

 
8,180

 
3,928

 
—

 
12,128

Tax-exempt securities
—

 
3,072

 
1,061

 
—

 
4,133

Total AFS debt securities
24,171

 
257,644

 
5,091

 
—

 
286,906

Loans and leases
—

 
6,715

 
2,287

 
—

 
9,002

Mortgage servicing rights
—

 
—

 
5,716

 
—

 
5,716

Loans held-for-sale
—

 
8,926

 
2,733

 
—

 
11,659

Other assets
19,026

 
18,828

 
3,129

 
—

 
40,983

Total assets
$
171,690

 
$
1,865,352

 
$
36,588

 
$
(1,329,971
)
 
$
743,659

Liabilities
 

 
 

 
 

 
 

 
 

Interest-bearing deposits in U.S. offices
$
—

 
$
2,262

 
$
—

 
$
—

 
$
2,262

Federal funds purchased and securities loaned or sold under agreements to repurchase
—

 
42,639

 
—

 
—

 
42,639

Trading account liabilities:
 

 
 

 
 

 
 

 
 
U.S. government and agency securities
22,351

 
1,079

 
—

 
—

 
23,430

Equity securities
19,852

 
2,640

 
—

 
—

 
22,492

Non-U.S. sovereign debt
18,875

 
1,369

 
—

 
—

 
20,244

Corporate securities and other
487

 
6,870

 
64

 
—

 
7,421

Total trading account liabilities
61,565

 
11,958

 
64

 
—

 
73,587

Derivative liabilities (3)
2,859

 
1,355,309

 
6,605

 
(1,318,757
)
 
46,016

Other short-term borrowings
—

 
4,074

 
—

 
—

 
4,074

Accrued expenses and other liabilities
15,457

 
1,122

 
15

 
—

 
16,594

Long-term debt
—

 
46,860

 
2,301

 
—

 
49,161

Total liabilities
$
79,881

 
$
1,464,224

 
$
8,985

 
$
(1,318,757
)
 
$
234,333

(1) 
During 2012, $2.0 billion and $350 million of assets and liabilities were transferred from Level 1 to Level 2, and $785 million and $40 million of assets and liabilities were transferred from Level 2 to Level 1. Of the asset transfers from Level 1 to Level 2, $940 million was due to a restriction that became effective for a private equity investment during 2012, while $535 million of the transfers from Level 2 to Level 1 was due to the lapse of this restriction during 2012. The remaining transfers were the result of additional information associated with certain equities, derivative contracts and private equity investments.
(2) 
Amounts represent the impact of legally enforceable master netting agreements and also cash collateral held or placed with the same counterparties.
(3) 
For further disaggregation of derivative assets and liabilities, see Note 3 – Derivatives.

 
 
 
 
 
 
 
 
 
 
 
December 31, 2011
 
Fair Value Measurements
 
 
 
 
(Dollars in millions)
Level 1 (1)
 
Level 2 (1)
 
Level 3
 
Netting Adjustments (2)
 
Assets/Liabilities at Fair Value
Assets
 

 
 

 
 

 
 

 
 

Federal funds sold and securities borrowed or purchased under agreements to resell
$
—

 
$
87,453

 
$
—

 
$
—

 
$
87,453

Trading account assets:
 

 
 

 
 

 
 

 
 

U.S. government and agency securities
30,540

 
22,073

 
—

 
—

 
52,613

Corporate securities, trading loans and other
1,067

 
28,624

 
6,880

 
—

 
36,571

Equity securities
17,181

 
5,949

 
544

 
—

 
23,674

Non-U.S. sovereign debt
33,667

 
8,937

 
342

 
—

 
42,946

Mortgage trading loans and ABS
—

 
9,826

 
3,689

 
—

 
13,515

Total trading account assets
82,455

 
75,409

 
11,455

 
—

 
169,319

Derivative assets (3)
2,186

 
1,865,310

 
14,366

 
(1,808,839
)
 
73,023

AFS debt securities:
 

 
 

 
 

 
 

 
 

U.S. Treasury securities and agency securities
39,389

 
3,475

 
—

 
—

 
42,864

Mortgage-backed securities:
 

 
 

 
 

 
 

 
 

Agency
—

 
142,526

 
37

 
—

 
142,563

Agency-collateralized mortgage obligations
—

 
44,999

 
—

 
—

 
44,999

Non-agency residential
—

 
13,907

 
860

 
—

 
14,767

Non-agency commercial
—

 
5,482

 
40

 
—

 
5,522

Non-U.S. securities
1,664

 
3,256

 
—

 
—

 
4,920

Corporate/Agency bonds
—

 
2,873

 
162

 
—

 
3,035

Other taxable securities
20

 
8,593

 
4,265

 
—

 
12,878

Tax-exempt securities
—

 
1,955

 
2,648

 
—

 
4,603

Total AFS debt securities
41,073

 
227,066

 
8,012

 
—

 
276,151

Loans and leases
—

 
6,060

 
2,744

 
—

 
8,804

Mortgage servicing rights
—

 
—

 
7,378

 
—

 
7,378

Loans held-for-sale
—

 
4,243

 
3,387

 
—

 
7,630

Other assets
18,963

 
13,886

 
4,235

 
—

 
37,084

Total assets
$
144,677

 
$
2,279,427

 
$
51,577

 
$
(1,808,839
)
 
$
666,842

Liabilities
 

 
 

 
 

 
 

 
 

Interest-bearing deposits in U.S. offices
$
—

 
$
3,297

 
$
—

 
$
—

 
$
3,297

Federal funds purchased and securities loaned or sold under agreements to repurchase
—

 
34,235

 
—

 
—

 
34,235

Trading account liabilities:
 

 
 

 
 

 
 

 
 
U.S. government and agency securities
19,120

 
1,590

 
—

 
—

 
20,710

Equity securities
13,259

 
1,335

 
—

 
—

 
14,594

Non-U.S. sovereign debt
16,760

 
680

 
—

 
—

 
17,440

Corporate securities and other
829

 
6,821

 
114

 
—

 
7,764

Total trading account liabilities
49,968

 
10,426

 
114

 
—

 
60,508

Derivative liabilities (3)
2,055

 
1,850,804

 
8,500

 
(1,801,839
)
 
59,520

Other short-term borrowings
—

 
6,558

 
—

 
—

 
6,558

Accrued expenses and other liabilities
13,832

 
1,897

 
14

 
—

 
15,743

Long-term debt
—

 
43,296

 
2,943

 
—

 
46,239

Total liabilities
$
65,855

 
$
1,950,513

 
$
11,571

 
$
(1,801,839
)
 
$
226,100

(1) 
Gross transfers between Level 1 and Level 2 during 2011 were not significant.
(2) 
Amounts represent the impact of legally enforceable master netting agreements and also cash collateral held or placed with the same counterparties.
(3) 
For further disaggregation of derivative assets and liabilities, see Note 3 – Derivatives.
Level 3 Total Realized and Unrealized Gains (Losses) Included in Earnings
 
 
 
 
 
 
 
 
 
 
 
 
Level 3 – Fair Value Measurements (1)
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
2011
 
 
 
 
 
Gross
 
 
 
(Dollars in millions)
Balance
January 1
2011
Consolidation
of VIEs
Gains
(Losses)
in Earnings
Gains
(Losses)
in OCI
Purchases
Sales
Issuances
Settlements
Gross
Transfers
into
Level 3 
Gross
Transfers
out of
Level 3 
Balance
December 31
2011
Trading account assets:
 

 

 

 

 
 
 
 

 
 

 

Corporate securities, trading loans and other
$
7,751

$
—

$
490

$
—

$
5,683

$
(6,664
)
$
—

$
(1,362
)
$
1,695

$
(713
)
$
6,880

Equity securities
557

—

49

—

335

(362
)
—

(140
)
132

(27
)
544

Non-U.S. sovereign debt
243

—

87

—

188

(137
)
—

(3
)
8

(44
)
342

Mortgage trading loans and ABS
6,908

—

442

—

2,222

(4,713
)
—

(440
)
75

(805
)
3,689

Total trading account assets
15,459

—

1,068

—

8,428

(11,876
)
—

(1,945
)
1,910

(1,589
)
11,455

Net derivative assets (2)
7,745

—

5,199

—

1,235

(1,553
)
—

(7,779
)
1,199

(180
)
5,866

AFS debt securities:
 

 

 

 

 
 
 
 

 

 

 

Mortgage-backed securities:
 
 
 
 
 
 
 
 
 
 
 
Agency
4

—

—

—

14

(11
)
—

—

34

(4
)
37

Agency collateralized mortgage obligations
—

—

—

—

56

(56
)
—

—

—

—

—

Non-agency residential
1,468

—

(158
)
41

11

(307
)
—

(568
)
373

—

860

Non-agency commercial
19

—

—

—

15

—

—

—

6

—

40

Non-U.S. securities
3

—

—

—

—

—

—

—

88

(91
)
—

Corporate/Agency bonds
137

—

(12
)
(8
)
304

(17
)
—

—

7

(249
)
162

Other taxable securities
13,018

—

26

21

3,876

(2,245
)
—

(5,112
)
2

(5,321
)
4,265

Tax-exempt securities
1,224

—

21

(35
)
2,862

(92
)
—

(697
)
38

(673
)
2,648

Total AFS debt securities
15,873

—

(123
)
19

7,138

(2,728
)
—

(6,377
)
548

(6,338
)
8,012

Loans and leases (3, 4)
3,321

5,194

(55
)
—

21

(2,644
)
3,118

(1,830
)
5

(4,386
)
2,744

Mortgage servicing rights (4)
14,900

—

(5,661
)
—

—

(896
)
1,656

(2,621
)
—

—

7,378

Loans held-for-sale (3)
4,140

—

36

—

157

(483
)
—

(961
)
565

(67
)
3,387

Other assets (5)
6,922

—

140

—

1,932

(2,391
)
—

(768
)
375

(1,975
)
4,235

Trading account liabilities – Corporate securities and other
(7
)
—

4

—

133

(189
)
—

—

(65
)
10

(114
)
Other short-term borrowings (3)
(706
)
—

(30
)
—

—

—

—

86

—

650

—

Accrued expenses and other liabilities (3)
(828
)
—

61

—

—

(2
)
(9
)
3

—

761

(14
)
Long-term debt (3)
(2,986
)
—

(188
)
—

520

(72
)
(520
)
838

(2,111
)
1,576

(2,943
)
(1) 
Assets (liabilities). For assets, increase / (decrease) to Level 3 and for liabilities, (increase) / decrease to Level 3.
(2) 
Net derivatives include derivative assets of $14.4 billion and derivative liabilities of $8.5 billion.
(3) 
Amounts represent instruments that are accounted for under the fair value option.
(4) 
Issuances represent loan originations and mortgage servicing rights retained following securitizations or whole loan sales.
(5) 
Other assets is primarily comprised of net monoline exposure to a single counterparty and private equity investments.
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Level 3 – Fair Value Measurements (1)
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
2010
(Dollars in millions)
Balance
January 1
2010
 
Consolidation of VIEs
 
Gains
(Losses)
in Earnings
 
Gains
(Losses)
in OCI
 
Purchases,
Issuances
and
Settlements
 
Gross Transfers
into
Level 3
 
Gross Transfers
out of
Level 3 
 
Balance
December 31
2010
Trading account assets:
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Corporate securities, trading loans and other
$
11,080

 
$
117

 
$
848

 
$
—

 
$
(4,852
)
 
$
2,599

 
$
(2,041
)
 
$
7,751

Equity securities
1,084

 
—

 
(81
)
 
—

 
(342
)
 
131

 
(169
)
 
623

Non-U.S. sovereign debt
1,143

 
—

 
(138
)
 
—

 
(157
)
 
115

 
(720
)
 
243

Mortgage trading loans and ABS
7,770

 
175

 
653

 
—

 
(1,659
)
 
396

 
(427
)
 
6,908

Total trading account assets
21,077

 
292

 
1,282

 
—

 
(7,010
)
 
3,241

 
(3,357
)
 
15,525

Net derivative assets (2)
7,863

 
—

 
8,118

 
—

 
(8,778
)
 
1,067

 
(525
)
 
7,745

AFS debt securities:
 

 
 

 
 

 
 

 
 

 
 
 
 
 
 

Mortgage-backed securities:
 

 
 

 
 

 
 

 
 

 
 
 
 

 
 

Agency
—

 
—

 
—

 
—

 
4

 
—

 
—

 
4

Non-agency residential
7,216

 
113

 
(646
)
 
(169
)
 
(6,767
)
 
1,909

 
(188
)
 
1,468

Non-agency commercial
258

 
—

 
(13
)
 
(31
)
 
(178
)
 
71

 
(88
)
 
19

Non-U.S. securities
468

 
—

 
(125
)
 
(75
)
 
(321
)
 
56

 
—

 
3

Corporate/Agency bonds
927

 
—

 
(3
)
 
47

 
(847
)
 
32

 
(19
)
 
137

Other taxable securities
9,854

 
5,603

 
(296
)
 
44

 
(3,263
)
 
1,119

 
(43
)
 
13,018

Tax-exempt securities
1,623

 
—

 
(25
)
 
(9
)
 
(574
)
 
316

 
(107
)
 
1,224

Total AFS debt securities
20,346

 
5,716

 
(1,108
)
 
(193
)
 
(11,946
)
 
3,503

 
(445
)
 
15,873

Loans and leases (3)
4,936

 
—

 
(89
)
 
—

 
(1,526
)
 
—

 
—

 
3,321

Mortgage servicing rights
19,465

 
—

 
(4,321
)
 
—

 
(244
)
 
—

 
—

 
14,900

Loans held-for-sale (3)
6,942

 
—

 
482

 
—

 
(3,714
)
 
624

 
(194
)
 
4,140

Other assets (4)
7,821

 
—

 
1,946

 
—

 
(2,612
)
 
—

 
(299
)
 
6,856

Trading account liabilities:
 

 
 

 
 
 
 

 
 

 
 
 
 

 
 

Non-U.S. sovereign debt
(386
)
 
—

 
23

 
—

 
(17
)
 
—

 
380

 
—

Corporate securities and other
(10
)
 
—

 
(5
)
 
—

 
11

 
(52
)
 
49

 
(7
)
Total trading account liabilities
(396
)
 
—

 
18

 
—

 
(6
)
 
(52
)
 
429

 
(7
)
Other short-term borrowings (3)
(707
)
 
—

 
(95
)
 
—

 
96

 
—

 
—

 
(706
)
Accrued expenses and other liabilities (3)
(891
)
 
—

 
146

 
—

 
(83
)
 
—

 
—

 
(828
)
Long-term debt (3)
(4,660
)
 
—

 
697

 
—

 
1,074

 
(1,881
)
 
1,784

 
(2,986
)
(1) 
Assets (liabilities). For assets, increase / (decrease) to Level 3 and for liabilities, (increase) / decrease to Level 3.
(2) 
Net derivatives include derivative assets of $18.8 billion and derivative liabilities of $11.0 billion.
(3) 
Amounts represent instruments that are accounted for under the fair value option.
(4) 
Other assets is primarily comprised of AFS marketable equity securities.
The following tables present a reconciliation of all assets and liabilities measured at fair value on a recurring basis using significant unobservable inputs (Level 3) during 2012, 2011 and 2010, including net realized and unrealized gains (losses) included in earnings and accumulated OCI.
 
 
 
 
 
 
 
 
 
 
 
Level 3 – Fair Value Measurements (1)
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
2012
 
 
 
 
Gross
 
 
 
(Dollars in millions)
Balance
January 1
2012
Gains
(Losses)
in Earnings
Gains
(Losses)
in OCI
Purchases
Sales
Issuances
Settlements
Gross
Transfers
into
Level 3 
Gross
Transfers
out of
Level 3 
Balance December 31 2012
Trading account assets:
 

 

 

 

 
 
 
 

 

 

Corporate securities, trading loans and other (2)
$
6,880

$
195

$
—

$
2,798

$
(4,556
)
$
—

$
(1,077
)
$
436

$
(950
)
$
3,726

Equity securities
544

31

—

201

(271
)
—

27

90

(77
)
545

Non-U.S. sovereign debt
342

8

—

388

(359
)
—

(5
)
—

(21
)
353

Mortgage trading loans and ABS (2)
3,689

215

—

2,574

(1,536
)
—

(678
)
844

(173
)
4,935

Total trading account assets
11,455

449

—

5,961

(6,722
)
—

(1,733
)
1,370

(1,221
)
9,559

Net derivative assets (3)
5,866

(221
)
—

893

(1,012
)
—

(3,328
)
(269
)
(461
)
1,468

AFS debt securities:
 

 

 

 

 

 

 

 

 

 

Mortgage-backed securities:
 

 

 

 

 

 

 

 

 

 

Agency
37

—

—

—

—

—

(4
)
—

(33
)
—

Non-agency residential
860

(69
)
19

—

(306
)
—

(2
)
—

(502
)
—

Non-agency commercial
40

—

—

—

(24
)
—

(6
)
—

—

10

Corporate/Agency bonds
162

(2
)
—

(2
)
—

—

(39
)
—

(27
)
92

Other taxable securities
4,265

23

26

3,196

(28
)
—

(3,345
)
—

(209
)
3,928

Tax-exempt securities
2,648

61

20

—

(133
)
—

(1,535
)
—

—

1,061

Total AFS debt securities
8,012

13

65

3,194

(491
)
—

(4,931
)
—

(771
)
5,091

Loans and leases (4, 5)
2,744

334

—

564

(1,520
)
—

(274
)
450

(11
)
2,287

Mortgage servicing rights (5)
7,378

(430
)
—

—

(122
)
374

(1,484
)
—

—

5,716

Loans held-for-sale (4)
3,387

352

—

794

(834
)
—

(414
)
80

(632
)
2,733

Other assets (6)
4,235

(54
)
—

109

(1,039
)
270

(381
)
—

(11
)
3,129

Trading account liabilities – Corporate securities and other
(114
)
4

—

116

(136
)
—

80

(68
)
54

(64
)
Other short-term borrowings (4)
—

—

—

—

—

(232
)
232

—

—

—

Accrued expenses and other liabilities (4)
(14
)
(4
)
—

8

—

(9
)
—

—

4

(15
)
Long-term debt (4)
(2,943
)
(307
)
—

290

(33
)
(259
)
1,239

(2,040
)
1,752

(2,301
)
(1) 
Assets (liabilities). For assets, increase / (decrease) to Level 3 and for liabilities, (increase) / decrease to Level 3.
(2) 
During 2012, approximately $900 million was reclassified from Trading account assets - Corporate securities, trading loans and other to Trading account assets - Mortgage trading loans and ABS. In the table above, this reclassification is presented as a sale of Trading account assets - Corporate securities, trading loans and other and as a purchase of Trading account assets - Mortgage trading loans and ABS.
(3) 
Net derivatives include derivative assets of $8.1 billion and derivative liabilities of $6.6 billion.
(4) 
Amounts represent instruments that are accounted for under the fair value option.
(5) 
Issuances represent loan originations and mortgage servicing rights retained following securitizations or whole loan sales.
(6) 
Other assets is primarily comprised of net monoline exposure to a single counterparty and private equity investments.
Level 3 Changes in Unrealized Gains (Losses) Relating to Assets and Liabilities Still Held at Reporting Date
The following tables summarize changes in unrealized gains (losses) recorded in earnings during 2012, 2011 and 2010 for Level 3 assets and liabilities that were still held at December 31, 2012, 2011 and 2010. These amounts include changes in fair value on loans, LHFS, loan commitments and structured liabilities that are accounted for under the fair value option.
 
 
 
 
 
 
 
 
 
 
Level 3 – Changes in Unrealized Gains (Losses) Relating to Assets and Liabilities Still Held at Reporting Date
 
 
 
 
 
 
 
 
 
 
 
2012
(Dollars in millions)
Equity
Investment
Income
(Loss)
 
Trading
Account
Profits
(Losses)
 
Mortgage
Banking
Income
(Loss) (1)
 
Other
Income
(Loss)
 
Total
Trading account assets:
 

 
 

 
 

 
 

 
 

Corporate securities, trading loans and other
$
—

 
$
(19
)
 
$
—

 
$
—

 
$
(19
)
Equity securities
—

 
17

 
—

 
—

 
17

Non-U.S. sovereign debt
—

 
20

 
—

 
—

 
20

Mortgage trading loans and ABS
—

 
36

 
—

 
—

 
36

Total trading account assets
—

 
54

 
—

 
—

 
54

Net derivative assets
—

 
(2,782
)
 
2,020

 
—

 
(762
)
AFS debt securities – Other taxable securities
—

 
2

 
—

 
—

 
2

Loans and leases (2)
—

 
—

 
—

 
291

 
291

Mortgage servicing rights
—

 
—

 
(1,100
)
 
—

 
(1,100
)
Loans held-for-sale (2)
—

 
—

 
121

 
168

 
289

Other assets
141

 
—

 
(71
)
 
(74
)
 
(4
)
Trading account liabilities – Corporate securities and other
—

 
4

 
—

 
—

 
4

Accrued expenses and other liabilities (2)
—

 
—

 
—

 
(2
)
 
(2
)
Long-term debt (2)
—

 
(136
)
 
—

 
(173
)
 
(309
)
Total
$
141

 
$
(2,858
)
 
$
970

 
$
210

 
$
(1,537
)
 
 
 
 
 
 
 
 
 
 
 
2011
Trading account assets:
 

 
 

 
 

 
 

 
 

Corporate securities, trading loans and other
$
—

 
$
(86
)
 
$
—

 
$
—

 
$
(86
)
Equity securities
—

 
(60
)
 
—

 
—

 
(60
)
Non-U.S. sovereign debt
—

 
101

 
—

 
—

 
101

Mortgage trading loans and ABS
—

 
30

 
—

 
—

 
30

Total trading account assets
—

 
(15
)
 
—

 
—

 
(15
)
Net derivative assets
—

 
1,430

 
1,351

 
—

 
2,781

AFS debt securities:
 
 
 
 
 
 
 
 
 
Non-agency residential MBS
—

 
—

 
—

 
(195
)
 
(195
)
Corporate/Agency bonds
—

 
—

 
—

 
(14
)
 
(14
)
Other taxable securities
—

 
—

 
—

 
13

 
13

Total AFS debt securities
—

 
—

 
—

 
(196
)
 
(196
)
Loans and leases (2)
—

 
—

 
—

 
(260
)
 
(260
)
Mortgage servicing rights
—

 
—

 
(6,958
)
 
—

 
(6,958
)
Loans held-for-sale (2)
—

 
—

 
(153
)
 
5

 
(148
)
Other assets
(309
)
 
—

 
(53
)
 
(51
)
 
(413
)
Trading account liabilities – Corporate securities and other
—

 
3

 
—

 
—

 
3

Long-term debt (2)
—

 
(107
)
 
—

 
(94
)
 
(201
)
Total
$
(309
)
 
$
1,311

 
$
(5,813
)
 
$
(596
)
 
$
(5,407
)
(1) 
Mortgage banking income (loss) does not reflect the impact of Level 1 and Level 2 hedges on MSRs.
(2) 
Amounts represent instruments that are accounted for under the fair value option.
 
 
 
 
 
 
 
 
 
 
Level 3 – Changes in Unrealized Gains (Losses) Relating to Assets and Liabilities Still Held at Reporting Date
 
 
 
 
 
 
 
 
 
 
 
2010
(Dollars in millions)
Equity
Investment
Income
(Loss)
 
Trading
Account
Profits
(Losses)
 
Mortgage
Banking
Income
(Loss) (1)
 
Other
Income
(Loss)
 
Total
Trading account assets: