Document and Entity Information
Document and Entity Information - shares | 3 Months Ended | |
Mar. 31, 2017 | Apr. 27, 2017 | |
Document and Entity Information [Abstract] | ||
Document Type | 10-Q | |
Amendment Flag | false | |
Document Period End Date | Mar. 31, 2017 | |
Document Fiscal Year Focus | 2,017 | |
Document Fiscal Period Focus | Q1 | |
Trading Symbol | acf | |
Entity Registrant Name | General Motors Financial Company, Inc. | |
Entity Central Index Key | 804,269 | |
Current Fiscal Year End Date | --12-31 | |
Entity Filer Category | Non-accelerated Filer | |
Entity Common Stock, Shares Outstanding | 505 |
Condensed Consolidated Balance
Condensed Consolidated Balance Sheets - USD ($) $ in Millions | Mar. 31, 2017 | Dec. 31, 2016 |
Assets | ||
Cash and cash equivalents | $ 2,694 | $ 3,201 |
Finance receivables, net (Note 4; Note 8 VIEs) | 46,910 | 43,190 |
Leased vehicles, net (Note 5; Note 8 VIEs) | 37,302 | 34,526 |
Goodwill | 1,200 | 1,196 |
Equity in net assets of non-consolidated affiliates (Note 6) | 998 | 944 |
Property and equipment, net of accumulated depreciation of $147 and $127 | 291 | 279 |
Deferred income taxes | 284 | 274 |
Related party receivables (Note 3) | 617 | 510 |
Other assets (Note 8 VIEs) | 4,244 | 3,645 |
Total assets | 94,540 | 87,765 |
Liabilities | ||
Secured debt (Note 7; Note 8 VIEs) | 42,579 | 39,270 |
Unsecured debt (Note 7) | 37,370 | 34,606 |
Accounts payable and accrued expenses | 1,501 | 1,474 |
Deferred income | 2,588 | 2,365 |
Deferred income taxes | 259 | 220 |
Related party payables (Note 3) | 448 | 400 |
Other liabilities | 803 | 737 |
Total liabilities | 85,548 | 79,072 |
Commitments and contingencies (Note 10) | ||
Shareholder's equity | ||
Common stock, $1.00 par value per share, 1,000 shares authorized and 505 shares issued | 0 | 0 |
Additional paid-in capital | 6,512 | 6,505 |
Accumulated other comprehensive loss (Note 13) | (1,148) | (1,238) |
Retained earnings | 3,628 | 3,426 |
Total shareholder's equity | 8,992 | 8,693 |
Total liabilities and shareholder's equity | $ 94,540 | $ 87,765 |
Condensed Consolidated Balance3
Condensed Consolidated Balance Sheets (Parentheticals) - USD ($) $ in Millions | Mar. 31, 2017 | Dec. 31, 2016 |
Common Stock, Number of Shares, Par Value and Other Disclosures [Abstract] | ||
Accumulated depreciation | $ 147 | $ 127 |
Common stock par value per share (in dollars per share) | $ 1 | $ 1 |
Entity common stock, shares authorized | 1,000 | 1,000 |
Entity common stock, shares issued | 505 | 505 |
Condensed Consolidated Statemen
Condensed Consolidated Statements Of Income And Comprehensive Income - USD ($) $ in Millions | 3 Months Ended | |
Mar. 31, 2017 | Mar. 31, 2016 | |
Revenue | ||
Finance charge income | $ 862 | $ 818 |
Leased vehicle income | 1,942 | 1,184 |
Other income | 75 | 73 |
Total revenue | 2,879 | 2,075 |
Costs and expenses | ||
Salaries and benefits | 229 | 193 |
Other operating expenses | 163 | 141 |
Total operating expenses | 392 | 334 |
Leased vehicle expenses | 1,438 | 893 |
Provision for loan losses | 217 | 196 |
Interest expense | 619 | 463 |
Total costs and expenses | 2,666 | 1,886 |
Equity income (Note 6) | 47 | 36 |
Income before income taxes | 260 | 225 |
Income tax provision (Note 11) | 58 | 61 |
Net income | 202 | 164 |
Other comprehensive income, net of tax | ||
Unrealized (loss) income on cash flow hedges, net of income tax benefit of $3 | (4) | 0 |
Defined benefit plans, net of income tax | 0 | (1) |
Foreign currency translation adjustment, net of income tax expense of $4 and $0 | 94 | 153 |
Other comprehensive income, net of tax | 90 | 152 |
Comprehensive income | $ 292 | $ 316 |
Condensed Consolidated Stateme5
Condensed Consolidated Statements Of Income And Comprehensive Income (Parentheticals) - USD ($) $ in Millions | 3 Months Ended | |
Mar. 31, 2017 | Mar. 31, 2016 | |
Income Statement [Abstract] | ||
Change in value of cash flow hedges, tax | $ (3) | $ 0 |
Translation income (loss), tax | $ 4 | $ 0 |
Condensed Consolidated Stateme6
Condensed Consolidated Statements Of Cash Flows - USD ($) $ in Millions | 3 Months Ended | |
Mar. 31, 2017 | Mar. 31, 2016 | |
Statement of Cash Flows [Abstract] | ||
Net cash provided by operating activities | $ 1,416 | $ 1,158 |
Cash flows from investing activities | ||
Purchases of retail finance receivables, net | (6,401) | (4,165) |
Principal collections and recoveries on retail finance receivables | 3,595 | 3,271 |
Net funding of commercial finance receivables | (541) | (1,024) |
Purchases of leased vehicles, net | (4,794) | (5,158) |
Proceeds from termination of leased vehicles | 1,082 | 481 |
Purchases of property and equipment | (24) | (20) |
Other investing activities | 0 | 1 |
Net cash used in investing activities | (7,083) | (6,614) |
Cash flows from financing activities | ||
Net change in debt (original maturities less than three months) | (268) | 757 |
Borrowings and issuance of secured debt | 8,361 | 7,054 |
Payments on secured debt | (4,805) | (5,251) |
Borrowings and issuance of unsecured debt | 2,968 | 3,131 |
Payments on unsecured debt | (574) | (241) |
Debt issuance costs | (27) | (26) |
Net cash provided by financing activities | 5,655 | 5,424 |
Net decrease in cash, cash equivalents and restricted cash | (12) | (32) |
Effect of foreign exchange rate changes on cash, cash equivalents and restricted cash | 37 | 58 |
Cash, cash equivalents and restricted cash at beginning of period | 5,302 | 5,002 |
Cash, cash equivalents and restricted cash at end of period | 5,327 | 5,028 |
Supplemental Cash Flow Elements [Abstract] | ||
Total | $ 5,302 | $ 5,002 |
Summary of Significant Accounti
Summary of Significant Accounting Policies | 3 Months Ended |
Mar. 31, 2017 | |
Accounting Policies [Abstract] | |
Summary of Significant Accounting Policies | Summary of Significant Accounting Policies Basis of Presentation The condensed consolidated financial statements include our accounts and the accounts of our consolidated subsidiaries, including certain special-purpose financing entities utilized in secured financing transactions, which are considered variable interest entities (VIEs). All intercompany transactions and balances have been eliminated in consolidation. The interim period condensed consolidated financial statements, including the notes thereto, are condensed and do not include all disclosures required by generally accepted accounting principles (GAAP) in the United States of America. These interim period condensed consolidated financial statements should be read in conjunction with the audited consolidated financial statements that are included in our Annual Report on Form 10-K filed on February 7, 2017 (Form 10-K). Except as otherwise specified, dollar amounts presented within tables are stated in millions. The condensed consolidated financial statements at March 31, 2017 , and for the three months ended March 31, 2017 and 2016 , are unaudited and, in management’s opinion, include all adjustments, consisting of normal recurring adjustments, necessary for a fair presentation of the results for such interim periods. The results for interim periods are not necessarily indicative of results for a full year. Segment Information We are the wholly-owned captive finance subsidiary of General Motors Company (GM). We offer substantially similar products and services throughout many different regions, subject to local regulations and market conditions. We evaluate our business in two operating segments. The North America Segment includes our operations in the U.S. and Canada. The International Segment includes our operations in all other countries. |
Disposition of Business
Disposition of Business | 3 Months Ended |
Mar. 31, 2017 | |
Discontinued Operations and Disposal Groups [Abstract] | |
Disposition of Business | Disposition of Business On March 5, 2017, General Motors Holdings LLC, a wholly-owned subsidiary of GM and our parent, entered into a Master Agreement (the Agreement) with Peugeot, S.A. (PSA Group) pursuant to which PSA Group will acquire GM's Opel and Vauxhall businesses and certain other assets in Europe (the Opel/Vauxhall Business) and certain of our European subsidiaries and branches (European Operations, together with the Opel/Vauxhall Business, the Transferred Business). The net consideration to be paid for our European Operations will be 0.8 times their book value at closing, which we estimate will be approximately $1 billion , denominated in Euros. The purchase price is subject to certain adjustments as provided in the Agreement. We expect to recognize a disposal loss of approximately $700 million to $800 million at closing. The transfer of the Opel/Vauxhall Business is expected to close by the end of 2017 and the transfer of our European Operations is expected to close as soon as practicable after the receipt of the necessary antitrust, financial and other regulatory approvals, which may be after the transfer of the Opel/Vauxhall Business, but not before. The transfer of our European Operations will not occur unless the transfer of the Opel/Vauxhall Business occurs. |
Related Party Transactions
Related Party Transactions | 3 Months Ended |
Mar. 31, 2017 | |
Related Party Transactions [Abstract] | |
Related Party Transactions | Related Party Transactions We offer loan and lease finance products through GM-franchised dealers to customers purchasing new and certain used vehicles manufactured by GM and make commercial loans directly to GM-franchised dealers and their affiliates. We also offer commercial loans to dealers that are consolidated by GM and those balances are included in our finance receivables, net. Under subvention programs, GM makes cash payments to us for offering incentivized rates and structures on retail loan and lease finance products. In addition, GM makes payments to us to cover certain interest payments on commercial loans. We also provide funding under lines of credit to GM. In March 2017, we executed an agreement to purchase certain program vehicles from Maven Drive LLC (Maven), a wholly-owned subsidiary of GM. We simultaneously leased these vehicles to Maven for use in their ride-sharing arrangements. We account for these leases as direct-finance leases, which are included in our finance receivables, net. We have related party payables due to GM, primarily for commercial finance receivables originated but not yet funded. These payables typically settle within 30 days . The following tables present related party transactions: Balance Sheet Data March 31, 2017 December 31, 2016 Commercial finance receivables, net due from dealers consolidated by GM (a) $ 339 $ 401 Direct-finance lease receivables from Maven (a) $ 128 $ — Advances drawn on lines of credit due from GM (b) $ 145 $ 137 Subvention receivable (c) $ 471 $ 373 Commercial loan funding payable (d) $ 438 $ 389 Three Months Ended March 31, Income Statement Data 2017 2016 Interest subvention earned on retail finance receivables and leases (e) $ 111 $ 103 Interest subvention earned on commercial finance receivables (e) $ 40 $ 40 Leased vehicle subvention earned (f) $ 709 $ 459 _________________ (a) Included in finance receivables, net. (b) Included in related party receivables. (c) Included in related party receivables. We received subvention payments from GM of $1.0 billion and $1.2 billion for the three months ended March 31, 2017 and 2016 . (d) Included in related party payables. (e) Included in finance charge income. (f) Included as a reduction to leased vehicle expenses. Under our support agreement with GM (the Support Agreement), if our earning assets leverage ratio at the end of any calendar quarter exceeds the applicable threshold set in the Support Agreement, we may require GM to provide funding sufficient to bring our earning assets leverage ratio to within the applicable threshold. In determining our earning assets leverage ratio (net earning assets divided by adjusted equity) under the Support Agreement, net earning assets means our finance receivables, net, plus leased vehicles, net, and adjusted equity means our equity, net of goodwill and inclusive of outstanding junior subordinated debt, as each may be adjusted for derivative accounting from time to time. Additionally, the Support Agreement provides that GM will own all of our outstanding voting shares as long as we have any unsecured debt securities outstanding and that GM will use its commercially reasonable efforts to ensure that we will continue to be designated as a subsidiary borrower of up to $4.0 billion under GM’s corporate revolving credit facilities. We have the ability to borrow up to $1.0 billion under GM's three -year, $4.0 billion unsecured revolving credit facility and $3.0 billion under GM's five -year, $10.5 billion unsecured revolving credit facility, subject to available capacity. GM also agreed to certain provisions in the Support Agreement intended to ensure that we maintain adequate access to liquidity. Pursuant to these provisions, GM provided us with a $1.0 billion junior subordinated unsecured intercompany revolving credit facility (the Junior Subordinated Revolving Credit Facility). We are included in GM's consolidated U.S. federal income tax returns. For taxable income we recognize in any period beginning on or after October 1, 2010, we are obligated to pay GM for our share of the consolidated U.S. federal and certain state tax liabilities. Amounts owed to GM for income taxes are accrued and recorded as a related party payable. At March 31, 2017 and December 31, 2016 , there are no related party taxes payable to GM due to our taxable loss position. |
Finance Receivables
Finance Receivables | 3 Months Ended |
Mar. 31, 2017 | |
Accounts, Notes, Loans and Financing Receivable, Gross, Allowance, and Net [Abstract] | |
Finance Receivables | Finance Receivables March 31, 2017 December 31, 2016 Retail finance receivables Retail finance receivables, collectively evaluated for impairment, net of fees (a) $ 34,047 $ 30,989 Retail finance receivables, individually evaluated for impairment, net of fees 1,957 1,921 Total retail finance receivables, net of fees (b) 36,004 32,910 Less: allowance for loan losses - collective (568 ) (517 ) Less: allowance for loan losses - specific (284 ) (276 ) Total retail finance receivables, net 35,152 32,117 Commercial finance receivables Commercial finance receivables, collectively evaluated for impairment, net of fees 11,725 11,053 Commercial finance receivables, individually evaluated for impairment, net of fees 87 70 Total commercial finance receivables, net of fees 11,812 11,123 Less: allowance for loan losses - collective (46 ) (43 ) Less: allowance for loan losses - specific (8 ) (7 ) Total commercial finance receivables, net 11,758 11,073 Total finance receivables, net $ 46,910 $ 43,190 Fair value of finance receivables $ 46,722 $ 43,140 ________________ (a) Includes $1.6 billion and $1.3 billion of direct-finance leases at March 31, 2017 and December 31, 2016 . (b) Net of unearned income, unamortized premiums and discounts, and deferred fees and costs o f $199 million and $191 million at March 31, 2017 and December 31, 2016 . We estimate the fair value of retail finance receivables using observable and unobservable Level 3 inputs within a cash flow model. The inputs reflect assumptions regarding expected prepayments, deferrals, delinquencies, recoveries and charge-offs of the loans within the portfolio. The cash flow model produces an estimated amortization schedule of the finance receivables. The projected cash flows are then discounted to derive the fair value of the portfolio. Macroeconomic factors could affect the credit performance of the portfolio and, therefore, could potentially affect the assumptions used in our cash flow model. A substantial majority of our commercial finance receivables have variable interest rates. The carrying amount, a Level 2 input, is considered to be a reasonable estimate of fair value. Retail Finance Receivables Three Months Ended March 31, 2017 2016 Allowance for retail loan losses beginning balance $ 793 $ 735 Provision for loan losses 213 197 Charge-offs (307 ) (293 ) Recoveries 147 150 Foreign currency translation 6 7 Allowance for retail loan losses ending balance $ 852 $ 796 Retail Credit Quality We use proprietary scoring systems in the underwriting process that measure the credit quality of the receivables using several factors, such as credit bureau information, consumer credit risk scores (e.g. FICO score or its equivalent), and contract characteristics. We also consider other factors, such as employment history, financial stability and capacity to pay. At the time of loan origination, substantially all of our International Segment customers have the equivalent of prime credit scores. In the North America Segment, while we historically focused on consumers with lower than prime credit scores, we have expanded our prime lending programs. A summary of the credit risk profile by FICO score band or equivalent scores, determined at origination, of the retail finance receivables in the North America Segment is as follows: March 31, 2017 December 31, 2016 Amount Percent Amount Percent Prime - FICO Score 680 and greater $ 10,062 41.3 % $ 7,923 36.4 % Near-prime - FICO Score 620 to 679 3,742 15.4 3,468 15.9 Sub-prime - FICO Score less than 620 10,550 43.3 10,395 47.7 Balance at end of period $ 24,354 100.0 % $ 21,786 100.0 % In addition, we review the credit quality of our retail finance receivables based on customer payment activity. A retail account is considered delinquent if a substantial portion of a scheduled payment has not been received by the date such payment was contractually due. Retail finance receivables are collateralized by vehicle titles and, subject to local laws, we generally have the right to repossess the vehicle in the event the customer defaults on the payment terms of the contract. The following is a consolidated summary of the contractual amounts of delinquent retail finance receivables, which is not significantly different than the recorded investment for such receivables. March 31, 2017 March 31, 2016 Total Percent of Contractual Amount Due Total Percent of Contractual Amount Due 31 - 60 days $ 1,006 2.8 % $ 963 3.1 % Greater than 60 days 441 1.2 421 1.4 Total finance receivables more than 30 days delinquent 1,447 4.0 1,384 4.5 In repossession 51 0.1 48 0.2 Total finance receivables more than 30 days delinquent or in repossession $ 1,498 4.1 % $ 1,432 4.7 % At March 31, 2017 and December 31, 2016 , the accrual of finance charge income had been suspended on retail finance receivables with contractual amounts due of $711 million and $807 million . Impaired Retail Finance Receivables - TDRs Retail finance receivables that become classified as troubled debt restructurings (TDRs) are separately assessed for impairment. A specific allowance is estimated based on the present value of the expected future cash flows of the receivable discounted at the loan's original effective interest rate. Accounts that become classified as TDRs because of a payment deferral accrue interest at the contractual rate and an additional fee is collected (where permitted) at each time of deferral and recorded as a reduction of accrued interest. No interest or fees are forgiven on a payment deferral to a customer; therefore, there are no additional financial effects of deferred loans becoming classified as TDRs. Accounts in the U.S. in Chapter 13 bankruptcy would have already been placed on non-accrual; therefore, there are no additional financial effects from these loans becoming classified as TDRs. Finance charge income from loans classified as TDRs is accounted for in the same manner as other accruing loans. Cash collections on these loans are allocated according to the same payment hierarchy methodology applied to loans that are not classified as TDRs. At March 31, 2017 and December 31, 2016 , the outstanding balance of retail finance receivables in the International Segment determined to be TDRs was insignificant ; therefore, the following information is presented with regard to the TDRs in the North America Segment only. The outstanding recorded investment for retail finance receivables that are considered to be TDRs and the related allowance is presented below: March 31, 2017 December 31, 2016 Outstanding recorded investment $ 1,957 $ 1,920 Less: allowance for loan losses (284 ) (276 ) Outstanding recorded investment, net of allowance $ 1,673 $ 1,644 Unpaid principal balance $ 1,998 $ 1,967 Additional information about loans classified as TDRs is presented below: Three Months Ended March 31, 2017 2016 Average outstanding recorded investment $ 1,939 $ 1,636 Finance charge income recognized $ 60 $ 51 Number of loans classified as TDRs during the period 16,474 14,646 Recorded investment of loans classified as TDRs during the period $ 287 $ 254 The unpaid principal balance, net of recoveries, of loans that were charged off during the reporting period and were within 12 months of being modified as a TDR were insignificant for the three months ended March 31, 2017 and 2016 . Commercial Finance Receivables Commercial Credit Quality We extend wholesale credit to dealers primarily in the form of approved lines of credit to purchase new vehicles as well as used vehicles. Each commercial lending request is evaluated, taking into consideration the borrower's financial condition and the underlying collateral for the loan. We use proprietary models to assign each dealer a risk rating. These models use historical performance data to identify key factors about a dealer that we consider significant in predicting a dealer's ability to meet its financial obligations. We also consider numerous other financial and qualitative factors including, but not limited to, capitalization and leverage, liquidity and cash flow, profitability and credit history. We regularly review our models to confirm the continued business significance and statistical predictability of the factors and update the models to incorporate new factors or other information that improves statistical predictability. In addition, we verify the existence of the assets collateralizing the receivables by physical audits of vehicle inventories, which are performed with increased frequency for higher risk dealers (i.e., Groups III, IV, V and VI). We perform periodic credit reviews of each dealership and adjust the dealership's risk rating, if necessary. Dealers in Group VI are subject to additional funding restrictions including suspension of lines of credit and liquidation of assets. Performance of our commercial finance receivables is evaluated based on our internal dealer risk rating analysis, as payment for wholesale receivables is generally not required until the dealer has sold or leased the vehicle inventory. All receivables from the same dealer customer share the same risk rating. The following table summarizes the credit risk profile by dealer risk rating of commercial finance receivables: March 31, 2017 December 31, 2016 Amount Percent Amount Percent Group I - Dealers with superior financial metrics $ 1,664 14.1 % $ 1,596 14.3 % Group II - Dealers with strong financial metrics 3,804 32.2 3,445 31.0 Group III - Dealers with fair financial metrics 4,171 35.3 4,039 36.3 Group IV - Dealers with weak financial metrics 1,441 12.2 1,231 11.1 Group V - Dealers warranting special mention due to potential weaknesses 548 4.6 642 5.8 Group VI - Dealers with loans classified as substandard, doubtful or impaired 184 1.6 170 1.5 Balance at end of period $ 11,812 100.0 % $ 11,123 100.0 % At March 31, 2017 and December 31, 2016 , substantially all of our commercial finance receivables were current with respect to payment status and none were classified as TDRs. Activity in the allowance for commercial loan losses was insignificant for the three months ended March 31, 2017 and 2016 . |
Leased Vehicles
Leased Vehicles | 3 Months Ended |
Mar. 31, 2017 | |
Property Subject to or Available for Operating Lease, Net [Abstract] | |
Leased Vehicles | Leased Vehicles March 31, 2017 December 31, 2016 Leased vehicles $ 53,000 $ 48,581 Manufacturer subvention (8,372 ) (7,706 ) 44,628 40,875 Less: accumulated depreciation (7,326 ) (6,349 ) Leased vehicles, net $ 37,302 $ 34,526 The following table summarizes minimum rental payments due to us as lessor under operating leases: Years Ending December 31, 2017 2018 2019 2020 2021 Minimum rental payments under operating leases $ 4,654 $ 4,878 $ 2,494 $ 365 $ 13 |
Equity in Net Assets of Non-con
Equity in Net Assets of Non-consolidated Affiliates | 3 Months Ended |
Mar. 31, 2017 | |
Noncontrolling Interest [Abstract] | |
Equity in Net Assets of Non-consolidated Affiliates | Equity in Net Assets of Non-consolidated Affiliates We use the equity method to account for our equity interest in SAIC-GMAC Automotive Finance Company Limited (SAIC-GMAC), a joint venture that conducts auto finance operations in China. The income of SAIC-GMAC is not consolidated into our financial statements; rather, our proportionate share of the earnings is reflected as equity income. There were no cash dividends received from SAIC-GMAC during the three months ended March 31, 2017. We received cash dividends from SAIC-GMAC of $27 million during the three months ended March 31, 2016 . At March 31, 2017 we had undistributed earnings of $189 million related to SAIC-GMAC. |
Debt
Debt | 3 Months Ended |
Mar. 31, 2017 | |
Debt Disclosure [Abstract] | |
Debt | Debt March 31, 2017 December 31, 2016 Carrying Amount Fair Value Carrying Amount Fair Value Secured debt Revolving credit facilities $ 11,865 $ 11,866 $ 9,817 $ 9,812 Securitization notes payable 30,714 30,814 29,453 29,545 Total secured debt $ 42,579 $ 42,680 $ 39,270 $ 39,357 Unsecured debt Senior notes $ 31,088 $ 32,103 $ 28,577 $ 29,182 Credit facilities 3,453 3,452 3,354 3,354 Retail customer deposits 1,913 1,917 1,895 1,902 Other unsecured debt 916 918 780 782 Total unsecured debt $ 37,370 $ 38,390 $ 34,606 $ 35,220 Total Secured and Unsecured debt $ 79,949 $ 81,070 $ 73,876 $ 74,577 Fair value utilizing Level 2 inputs $ 77,267 $ 69,990 Fair value utilizing Level 3 inputs $ 3,803 $ 4,587 The fair value of our debt measured utilizing Level 2 inputs was based on quoted market prices for identical instruments and if unavailable, quoted market prices of similar instruments. For debt that has terms of one year or less or has been priced within the last six months, the carrying amount or par value is considered to be a reasonable estimate of fair value. The fair value of our debt measured utilizing Level 3 inputs was based on the discounted future net cash flows expected to be settled using current risk-adjusted rates. Secured Debt Most of the secured debt was issued by VIEs and is repayable only from proceeds related to the underlying pledged assets. Refer to Note 8 - "Variable Interest Entities" for further discussion. During the three months ended March 31, 2017 , we entered into new credit facilities or renewed credit facilities with a total net additional borrowing capacity of $182 million , and we issued securitization notes payable of $4.0 billion . Unsecured Debt During the three months ended March 31, 2017, our top-tier holding company issued $2.5 billion in senior notes comprising: Amount Issued 3.45% Senior notes due January 2022 $ 1,250 4.35% Senior notes due January 2027 $ 750 Floating rate senior notes due January 2022 $ 500 All of these notes are guaranteed solely by AmeriCredit Financial Services, Inc. (AFSI), our primary U.S. operating subsidiary. Subsequent to March 31, 2017, our top-tier holding company issued $3.0 billion in senior notes comprised of $1.0 billion of 2.65% notes due in April 2020 , $1.25 billion of 3.95% notes due in April 2024 and $750 million of floating rate notes due in April 2020 . All of these notes are guaranteed solely by AFSI. We accept deposits from retail banking customers in Germany. Following is summarized information for our deposits at March 31, 2017 and December 31, 2016 : March 31, 2017 December 31, 2016 Outstanding Balance Weighted Average Interest Rate Outstanding Balance Weighted Average Interest Rate Overnight deposits $ 788 0.40 % $ 799 0.50 % Term deposits - 12 months 417 0.84 % 423 0.93 % Term deposits - 24 months 298 1.24 % 281 1.26 % Term deposits - 36 months 410 1.47 % 392 1.48 % Total deposits $ 1,913 0.86 % $ 1,895 0.91 % Compliance with Debt Covenants Several of our revolving credit facilities require compliance with certain financial and operational covenants as well as regular reporting to lenders, including providing certain subsidiary financial statements. Certain of our secured debt agreements also contain various covenants, including maintaining portfolio performance ratios as well as limits on deferment levels. Our unsecured senior notes contain covenants including limitations on our ability to incur certain liens. At March 31, 2017 , we were in compliance with these debt covenants. |
Variable Interest Entities
Variable Interest Entities | 3 Months Ended |
Mar. 31, 2017 | |
Variable Interest Entities [Abstract] | |
Variable Interest Entities | Variable Interest Entities Securitizations and Credit Facilities The following table summarizes the assets and liabilities related to our consolidated VIEs: March 31, 2017 December 31, 2016 Restricted cash (a) $ 2,598 $ 2,067 Finance receivables, net of fees $ 30,370 $ 29,661 Lease related assets $ 23,154 $ 19,341 Secured debt $ 41,671 $ 38,244 _______________ (a) Included in other assets in the condensed consolidated balance sheets. These amounts are related to securitization and credit facilities held by consolidated VIEs. Our continuing involvement with these VIEs consists of servicing assets held by the entities and holding residual interests in the entities. We have determined that we are the primary beneficiary of each VIE because we hold both (i) the power to direct the activities of the VIEs that most significantly impact the VIEs' economic performance and (ii) the obligation to absorb losses from and the right to receive benefits of the VIEs that could potentially be significant to the VIEs. We are not required, and do not currently intend, to provide any additional financial support to these VIEs. Liabilities recognized as a result of consolidating these entities generally do not represent claims against us or our other subsidiaries and assets recognized generally are for the benefit of these entities operations and cannot be used to satisfy our or our subsidiaries obligations. Other VIEs We consolidate certain operating entities that provide auto finance and financial services, which we do not control through a majority voting interest. We manage these entities and maintain a controlling financial interest in them and are exposed to the risks of ownership through contractual arrangements. The majority voting interests in these entities are indirectly wholly-owned by our parent, GM. The amounts presented below are stated prior to intercompany eliminations and include amounts related to securitizations and credit facilities held by consolidated VIEs. The following table summarizes the assets and liabilities of these VIEs: March 31, 2017 December 31, 2016 Assets (a) $ 4,312 $ 4,251 Liabilities (b) $ 3,604 $ 3,559 _________________ (a) Comprised primarily of finance receivables, net of $3.6 billion and $3.5 billion at March 31, 2017 and December 31, 2016 . (b) Comprised primarily of debt of $3.0 billion and $3.0 billion at March 31, 2017 and December 31, 2016 . The following table summarizes the revenue and net income of these VIEs: Three Months Ended March 31, 2017 2016 Total revenue $ 51 $ 47 Net income $ 6 $ 7 |
Derivative Financial Instrument
Derivative Financial Instruments And Hedging Activities | 3 Months Ended |
Mar. 31, 2017 | |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |
Derivative Financial Instruments And Hedging Activities | Derivative Financial Instruments and Hedging Activities March 31, 2017 December 31, 2016 Level Notional Fair Value Notional Fair Value Derivatives designated as hedges Assets Fair value hedges Interest rate swaps 2 $ — $ — $ — $ — Cash flow hedges Interest rate swaps 2,3 3,597 16 3,542 12 Foreign currency swaps 2 — — — — Total assets (a) $ 3,597 $ 16 $ 3,542 $ 12 Liabilities Fair value hedges Interest rate swaps 2 $ 8,950 $ 317 $ 7,700 $ 276 Cash flow hedges Interest rate swaps 2,3 717 1 1,280 3 Foreign currency swaps 2 802 24 791 33 Total liabilities (b) $ 10,469 $ 342 $ 9,771 $ 312 Derivatives not designated as hedges Assets Interest rate swaps 2,3 $ 15,455 $ 74 $ 8,667 $ 55 Interest rate caps and floors 2 13,369 33 10,469 26 Foreign currency swaps 2 617 65 1,576 78 Total assets (a) $ 29,441 $ 172 $ 20,712 $ 159 Liabilities Interest rate swaps 2,3 $ 14,225 $ 55 $ 8,337 $ 36 Interest rate caps and floors 2 15,101 33 12,146 26 Foreign currency swaps 2 1,412 15 119 2 Total liabilities (b) $ 30,738 $ 103 $ 20,602 $ 64 _________________ (a) Derivative assets are included in other assets in the condensed consolidated balance sheets. (b) Derivative liabilities are included in other liabilities in the condensed consolidated balance sheets. Amounts accrued for interest payments in a net receivable position are included in other assets in the condensed consolidated balance sheets. The fair value for Level 2 instruments was derived using the market approach based on observable market inputs including quoted prices of similar instruments and foreign exchange and interest rate forward curves. The fair value for Level 3 instruments was derived using the income approach based on a discounted cash flow model, in which expected cash flows are discounted using current risk-adjusted rates. The activity for interest rate swap agreements measured at fair value on a recurring basis using significant unobservable inputs (Level 3) was insignificant for the three months ended March 31, 2017 and 2016 . Income (Losses) Recognized In Income Three Months Ended March 31, 2017 2016 Fair value hedges Interest rate contracts (a)(b) $ 11 $ (6 ) Cash flow hedges Interest rate contracts (a) (2 ) — Foreign currency contracts (c) 6 — Derivatives not designated as hedges Interest rate contracts (a) (5 ) — Foreign currency derivatives (c)(d) (22 ) 69 Total $ (12 ) $ 63 Gains (Losses) Recognized In Three Months Ended March 31, 2017 2016 Cash flow hedges Interest rate contracts $ 2 $ — Foreign currency contracts (3 ) — Total $ (1 ) $ — Gains (Losses) Reclassified From Three Months Ended March 31, 2017 2016 Cash flow hedges Interest rate contracts $ 1 $ — Foreign currency contracts (4 ) — Total $ (3 ) $ — _________________ (a) Recognized in earnings as interest expense. (b) Includes hedge ineffectiveness which reflects the net change in the fair value of interest rate contracts of $26 million and $2 million offset by the change in fair value of hedged debt attributable to the hedged risk of $27 million and $4 million for the three months ended March 31, 2017 and 2016 . (c) Recognized in earnings as other operating expenses and interest expense. (d) Activity is partially offset by translation activity (included in other operating expenses) related to foreign currency-denominated loans. |
Commitments and Contingencies
Commitments and Contingencies | 3 Months Ended |
Mar. 31, 2017 | |
Commitments and Contingencies Disclosure [Abstract] | |
Commitments and Contingencies | Commitments and Contingencies Guarantees of Indebtedness The payments of principal and interest on senior notes issued by our top-tier holding company, our primary Canadian operating subsidiary and a European subsidiary are guaranteed by our primary U.S. operating subsidiary, AFSI. At March 31, 2017 and December 31, 2016 , the par value of these senior notes was $31.5 billion and $29.0 billion . Refer to Note 15 - "Guarantor Condensed Consolidating Financial Statements" for further discussion. Legal Proceedings As a retail finance company, we are subject to various customer claims and litigation seeking damages and statutory penalties, based upon, among other things, usury, disclosure inaccuracies, wrongful repossession, violations of bankruptcy stay provisions, certificate of title disputes, fraud, breach of contract and discriminatory treatment of credit applicants. Some litigation against us could take the form of class action complaints by customers and certain legal actions include claims for substantial compensatory and/or punitive damages or claims for indeterminate amounts of damages. We establish reserves for legal claims when payments associated with the claims become probable and the payments can be reasonably estimated. Given the inherent difficulty of predicting the outcome of litigation and regulatory matters, it is generally very difficult to predict what the eventual outcome will be, and when the matter will be resolved. The actual costs of resolving legal claims may be higher or lower than any amounts reserved for the claims. At March 31, 2017 , we estimated our reasonably possible legal exposure for unfavorable outcomes of up to $112 million , and have accrued $37 million . In July 2014, we were served with a subpoena by the U.S. Department of Justice directing us to produce certain documents relating to our and our subsidiaries’ and affiliates’ origination and securitization of sub-prime automobile loans since 2007 in connection with an investigation by the U.S. Department of Justice in contemplation of a civil proceeding for potential violations of the Financial Institutions Reform, Recovery, and Enforcement Act of 1989. Among other matters, the subpoena requests information relating to the underwriting criteria used to originate these automobile loans and the representations and warranties relating to those underwriting criteria that were made in connection with the securitization of the automobile loans. We have subsequently been served with additional investigative subpoenas to produce documents from state attorneys general and other governmental offices relating to our automobile loan and lease business and securitization of automobile loans and leases. These investigations are ongoing and could in the future result in the imposition of damages, fines or civil or criminal claims and/or penalties. No assurance can be given that the ultimate outcome of the investigations or any resulting proceedings would not materially and adversely affect us or any of our subsidiaries and affiliates. Other Administrative Tax Matters We accrue non-income tax liabilities for contingencies when management believes that a loss is probable and the amounts can be reasonably estimated, while contingent gains are recognized only when realized. In the event any losses are sustained in excess of accruals, they will be charged against income at that time. In evaluating indirect tax matters, we take into consideration factors such as our historical experience with matters of similar nature, specific facts and circumstances, and the likelihood of prevailing. We reevaluate and update our accruals as matters progress over time. Where there is a reasonable possibility that losses exceeding amounts already recognized may be incurred, our estimate of the additional range of loss is up to $37 million . |
Income Taxes
Income Taxes | 3 Months Ended |
Mar. 31, 2017 | |
Income Tax Disclosure [Abstract] | |
Income Taxes | Income Taxes For interim income tax reporting we estimate our annual effective tax rate and apply it to our year-to-date ordinary income. Tax jurisdictions with a projected or year-to-date loss for which a tax benefit cannot be realized are excluded from the annualized effective tax rate. The tax effects of unusual or infrequently occurring items, including changes in judgment about valuation allowances and effects of changes in tax laws or rates, are reported in the interim period in which they occur. During the three months ended March 31, 2017 and 2016 , income tax expense of $58 million and $61 million primarily resulted from tax expense attributable to entities included in our effective tax rate calculation. The decrease in tax expense is due primarily to an increase in U.S. tax credits. We are included in GM’s consolidated U.S. federal income tax return and for certain states’ income tax returns. Net operating losses and certain tax credits generated by us have been utilized by GM; however, income tax expense and deferred tax balances are presented in these financial statements as if we filed our own tax returns in each jurisdiction. |
Segment Reporting
Segment Reporting | 3 Months Ended |
Mar. 31, 2017 | |
Segment Reporting [Abstract] | |
Segment Reporting | Segment Reporting We offer substantially similar products and services throughout many different regions, subject to local regulations and market conditions. We evaluate our business in two operating segments: the North America Segment and the International Segment. The North America Segment includes our operations in the U.S. and Canada. The International Segment includes our operations in all other countries. Our chief operating decision maker evaluates the operating results and performance of our business based on these operating segments. The management of each segment is responsible for executing our strategies. For segment reporting purposes only, interest expense related to the senior notes has been allocated based on targeted leverage for each segment. Interest expense in excess of the targeted overall leverage is reflected in the "Corporate" column below. In addition, the interest income on intercompany loans provided to the international operations is presented in the "Corporate" column as revenue. Key operating data for our operating segments were as follows: Three Months Ended March 31, 2017 North International Corporate Eliminations Total Total revenue $ 2,474 $ 405 $ — $ — $ 2,879 Operating expenses 248 144 — — 392 Leased vehicle expenses 1,426 12 — — 1,438 Provision for loan losses 187 30 — — 217 Interest expense 455 164 — — 619 Equity income — 47 — — 47 Income before income taxes $ 158 $ 102 $ — $ — $ 260 Three Months Ended March 31, 2016 North International Corporate Eliminations Total Total revenue $ 1,688 $ 387 $ (1 ) $ 1 $ 2,075 Operating expenses 201 133 — — 334 Leased vehicle expenses 888 5 — — 893 Provision for loan losses 177 19 — — 196 Interest expense 305 157 — 1 463 Equity income — 36 — — 36 Income (loss) before income taxes $ 117 $ 109 $ (1 ) $ — $ 225 March 31, 2017 December 31, 2016 North International Total North International Total Finance receivables, net $ 30,618 $ 16,292 $ 46,910 $ 27,617 $ 15,573 $ 43,190 Leased vehicles, net $ 37,018 $ 284 $ 37,302 $ 34,284 $ 242 $ 34,526 Total assets $ 74,793 $ 19,747 $ 94,540 $ 68,656 $ 19,109 $ 87,765 |
Accumulated Other Comprehensive
Accumulated Other Comprehensive Loss | 3 Months Ended |
Mar. 31, 2017 | |
Accumulated Other Comprehensive Income (Loss), Net of Tax [Abstract] | |
Accumulated Other Comprehensive Loss | Accumulated Other Comprehensive Loss Three Months Ended March 31, 2017 2016 Unrealized gain on cash flow hedge Beginning balance $ 17 $ — Change in value of cash flow hedge, net of tax (4 ) — Ending balance 13 — Defined benefit plans Beginning balance (20 ) (13 ) Unrealized gain (loss) on subsidiary pension, net of tax — (1 ) Ending balance (20 ) (14 ) Foreign currency translation adjustment Beginning balance (1,235 ) (1,091 ) Translation gain, net of tax 94 153 Ending balance (1,141 ) (938 ) Total accumulated other comprehensive loss $ (1,148 ) $ (952 ) |
Regulatory Capital
Regulatory Capital | 3 Months Ended |
Mar. 31, 2017 | |
Regulatory Capital and Other Regulatory Matters [Abstract] | |
Regulatory Capital | Regulatory Capital We are required to comply with a wide variety of laws and regulations. Our International Segment includes the operations of certain stand-alone entities that operate in local markets as either banks or regulated finance companies that are subject to regulatory restrictions. These regulatory restrictions, among other things, require that these entities meet certain minimum capital requirements and may restrict dividend distributions and ownership of certain assets. We were in compliance with all regulatory capital requirements as most recently reported. Total assets of our regulated international banks and finance companies were approximately $13.1 billion and $12.6 billion at March 31, 2017 and December 31, 2016 . |
Guarantor Condensed Consolidati
Guarantor Condensed Consolidating Financial Statements | 3 Months Ended |
Mar. 31, 2017 | |
Condensed Financial Information of Parent Company Only Disclosure [Abstract] | |
Guarantor Condensed Consolidating Financial Statements | Guarantor Condensed Consolidating Financial Statements The payment of principal and interest on senior notes issued by our top-tier holding company is currently guaranteed solely by AFSI (the Guarantor) and none of our other subsidiaries (the Non-Guarantor Subsidiaries). The Guarantor is a 100% owned consolidated subsidiary and is unconditionally liable for the obligations represented by the senior notes. The Guarantor’s guarantee may be released only upon customary circumstances, the terms of which vary by issuance. Customary circumstances include the sale or disposition of all of the Guarantor’s assets or capital stock, the achievement of investment grade rating of the senior notes and legal or covenant defeasance. The condensed consolidating financial statements present consolidating financial data for (i) General Motors Financial Company, Inc. (on a parent-only basis), (ii) the Guarantor, (iii) the combined Non-Guarantor Subsidiaries and (iv) the parent company and our subsidiaries on a consolidated basis at March 31, 2017 and December 31, 2016 , and for the three months ended March 31, 2017 and 2016 (after the elimination of intercompany balances and transactions). Investments in subsidiaries are accounted for by the parent company using the equity method for purposes of this presentation. Results of operations of subsidiaries are therefore reflected in the parent company's investment accounts and earnings. The principal elimination entries set forth below eliminate investments in subsidiaries and intercompany balances and transactions. CONDENSED CONSOLIDATING BALANCE SHEET March 31, 2017 (Unaudited) General Motors Financial Company, Inc. Guarantor Non- Guarantors Eliminations Consolidated ASSETS Cash and cash equivalents $ — $ 2,040 $ 654 $ — $ 2,694 Finance receivables, net — 7,516 39,394 — 46,910 Leased vehicles, net — — 37,302 — 37,302 Goodwill 1,095 — 105 — 1,200 Equity in net assets of non-consolidated affiliates — — 998 — 998 Property and equipment, net — 163 128 — 291 Deferred income taxes 613 75 284 (688 ) 284 Related party receivables — 73 544 — 617 Other assets 3 746 3,743 (248 ) 4,244 Due from affiliates 26,778 15,992 — (42,770 ) — Investment in affiliates 9,401 5,971 — (15,372 ) — Total assets $ 37,890 $ 32,576 $ 83,152 $ (59,078 ) $ 94,540 LIABILITIES AND SHAREHOLDER'S EQUITY Liabilities Secured debt $ — $ — $ 42,827 $ (248 ) $ 42,579 Unsecured debt 28,573 — 8,797 — 37,370 Accounts payable and accrued expenses 261 330 910 — 1,501 Deferred income — — 2,588 — 2,588 Deferred income taxes — — 947 (688 ) 259 Related party payables 1 — 447 — 448 Other liabilities 63 476 264 — 803 Due to affiliates — 25,977 16,793 (42,770 ) — Total liabilities 28,898 26,783 73,573 (43,706 ) 85,548 Shareholder's equity Common stock — — 698 (698 ) — Additional paid-in capital 6,512 79 4,652 (4,731 ) 6,512 Accumulated other comprehensive loss (1,148 ) (157 ) (1,123 ) 1,280 (1,148 ) Retained earnings 3,628 5,871 5,352 (11,223 ) 3,628 Total shareholder's equity 8,992 5,793 9,579 (15,372 ) 8,992 Total liabilities and shareholder's equity $ 37,890 $ 32,576 $ 83,152 $ (59,078 ) $ 94,540 CONDENSED CONSOLIDATING BALANCE SHEET December 31, 2016 (Unaudited) General Motors Financial Company, Inc. Guarantor Non- Guarantors Eliminations Consolidated ASSETS Cash and cash equivalents $ — $ 2,284 $ 917 $ — $ 3,201 Finance receivables, net — 4,969 38,221 — 43,190 Leased vehicles, net — — 34,526 — 34,526 Goodwill 1,095 — 101 — 1,196 Equity in net assets of non-consolidated affiliates — — 944 — 944 Property and equipment, net — 152 127 — 279 Deferred income taxes 502 89 274 (591 ) 274 Related party receivables — 25 485 — 510 Other assets 4 643 3,167 (169 ) 3,645 Due from affiliates 24,548 16,065 — (40,613 ) — Investment in affiliates 8,986 6,445 — (15,431 ) — Total assets $ 35,135 $ 30,672 $ 78,762 $ (56,804 ) $ 87,765 LIABILITIES AND SHAREHOLDER'S EQUITY Liabilities Secured debt $ — $ — $ 39,439 $ (169 ) $ 39,270 Unsecured debt 26,076 — 8,530 — 34,606 Accounts payable and accrued expenses 302 273 899 — 1,474 Deferred income — — 2,365 — 2,365 Deferred income taxes — — 811 (591 ) 220 Related party payables 1 — 399 — 400 Other liabilities 63 417 257 — 737 Due to affiliates — 24,437 16,176 (40,613 ) — Total liabilities 26,442 25,127 68,876 (41,373 ) 79,072 Shareholder's equity Common stock — — 698 (698 ) — Additional paid-in capital 6,505 79 5,345 (5,424 ) 6,505 Accumulated other comprehensive loss (1,238 ) (161 ) (1,223 ) 1,384 (1,238 ) Retained earnings 3,426 5,627 5,066 (10,693 ) 3,426 Total shareholder's equity 8,693 5,545 9,886 (15,431 ) 8,693 Total liabilities and shareholder's equity $ 35,135 $ 30,672 $ 78,762 $ (56,804 ) $ 87,765 CONDENSED CONSOLIDATING STATEMENT OF INCOME Three Months Ended March 31, 2017 (Unaudited) General Guarantor Non- Eliminations Consolidated Revenue Finance charge income $ — $ 95 $ 767 $ — $ 862 Leased vehicle income — — 1,942 — 1,942 Other income — 273 1 (199 ) 75 Total revenue — 368 2,710 (199 ) 2,879 Costs and expenses Salaries and benefits — 163 66 — 229 Other operating expenses 7 44 222 (110 ) 163 Total operating expenses 7 207 288 (110 ) 392 Leased vehicle expenses — — 1,438 — 1,438 Provision for loan losses — 73 144 — 217 Interest expense 235 33 440 (89 ) 619 Total costs and expenses 242 313 2,310 (199 ) 2,666 Equity income 315 215 47 (530 ) 47 Income before income taxes 73 270 447 (530 ) 260 Income tax (benefit) provision (129 ) 26 161 — 58 Net income $ 202 $ 244 $ 286 $ (530 ) $ 202 Comprehensive income $ 292 $ 248 $ 386 $ (634 ) $ 292 CONDENSED CONSOLIDATING STATEMENT OF INCOME Three Months Ended March 31, 2016 (Unaudited) General Guarantor Non- Eliminations Consolidated Revenue Finance charge income $ — $ 99 $ 719 $ — $ 818 Leased vehicle income — — 1,184 — 1,184 Other income (1 ) 205 15 (146 ) 73 Total revenue (1 ) 304 1,918 (146 ) 2,075 Costs and expenses Salaries and benefits — 135 58 — 193 Other operating expenses (4 ) 68 170 (93 ) 141 Total operating expenses (4 ) 203 228 (93 ) 334 Leased vehicle expenses — — 893 — 893 Provision for loan losses — 103 93 — 196 Interest expense 176 (30 ) 370 (53 ) 463 Total costs and expenses 172 276 1,584 (146 ) 1,886 Equity income 255 168 36 (423 ) 36 Income before income taxes 82 196 370 (423 ) 225 Income tax (benefit) provision (82 ) 12 131 — 61 Net income $ 164 $ 184 $ 239 $ (423 ) $ 164 Comprehensive income $ 316 $ 223 $ 398 $ (621 ) $ 316 CONDENSED CONSOLIDATING STATEMENT OF CASH FLOWS Three Months Ended March 31, 2017 (Unaudited) General Motors Financial Company, Inc. Guarantor Non- Guarantors Eliminations Consolidated Net cash (used in) provided by operating activities $ (273 ) $ 103 $ 1,586 $ — $ 1,416 Cash flows from investing activities Purchases of retail finance receivables, net — (4,920 ) (3,850 ) 2,369 (6,401 ) Principal collections and recoveries on retail finance receivables — 450 3,145 — 3,595 Proceeds from transfer of retail finance receivables, net — 2,095 274 (2,369 ) — Net funding of commercial finance receivables — (194 ) (347 ) — (541 ) Purchases of leased vehicles, net — — (4,794 ) — (4,794 ) Proceeds from termination of leased vehicles — — 1,082 — 1,082 Purchases of property and equipment — (19 ) (5 ) — (24 ) Other investing activities — (79 ) 79 — Net change in due from affiliates (2,230 ) 80 — 2,150 — Net change in investment in affiliates — 694 — (694 ) — Net cash used in investing activities (2,230 ) (1,893 ) (4,495 ) 1,535 (7,083 ) Cash flows from financing activities Net change in debt (original maturities less than three months) 17 — (285 ) — (268 ) Borrowings and issuance of secured debt — — 8,440 (79 ) 8,361 Payments on secured debt — — (4,805 ) — (4,805 ) Borrowings and issuance of unsecured debt 2,497 — 471 — 2,968 Payments on unsecured debt — — (574 ) — (574 ) Debt issuance costs (11 ) — (16 ) — (27 ) Net capital contributions — — (694 ) 694 — Net change in due to affiliates — 1,546 604 (2,150 ) — Net cash provided by financing activities 2,503 1,546 3,141 (1,535 ) 5,655 Net increase (decrease) in cash, cash equivalents and restricted cash — (244 ) 232 — (12 ) Effect of foreign exchange rate changes on cash, cash equivalents and restricted cash — — 37 — 37 Cash, cash equivalents and restricted cash at beginning of period — 2,284 3,018 — 5,302 Cash, cash equivalents and restricted cash at end of period $ — $ 2,040 $ 3,287 $ — $ 5,327 The following table provides a reconciliation of cash, cash equivalents and restricted cash reported within the condensed consolidating balance sheet: General Motors Financial Company, Inc. Guarantor Non- Guarantors Eliminations Consolidated Cash and cash equivalents $ — $ 2,040 $ 654 $ — $ 2,694 Restricted cash included in other assets — — 2,633 — 2,633 Total $ — $ 2,040 $ 3,287 $ — $ 5,327 CONDENSED CONSOLIDATING STATEMENT OF CASH FLOWS Three Months Ended March 31, 2016 (Unaudited) General Motors Financial Company, Inc. Guarantor Non- Guarantors Eliminations Consolidated Net cash (used in) provided by operating activities $ (144 ) $ (537 ) $ 1,839 $ — $ 1,158 Cash flows from investing activities Purchases of retail finance receivables, net — (4,466 ) (4,388 ) 4,689 (4,165 ) Principal collections and recoveries on retail finance receivables — 359 2,912 — 3,271 Proceeds from transfer of retail finance receivables, net — 2,866 1,823 (4,689 ) — Net funding of commercial finance receivables — (227 ) (797 ) — (1,024 ) Purchases of leased vehicles, net — — (5,158 ) — (5,158 ) Proceeds from termination of leased vehicles — — 481 — 481 Purchases of property and equipment — (15 ) (5 ) — (20 ) Other investing activities — (60 ) 1 60 1 Net change in due from affiliates (2,587 ) (1,208 ) — 3,795 — Net change in investment in affiliates — 336 — (336 ) — Net cash used in investing activities (2,587 ) (2,415 ) (5,131 ) 3,519 (6,614 ) Cash flows from financing activities Net change in debt (original maturities less than three months) — — 757 — 757 Borrowings and issuance of secured debt — — 7,114 (60 ) 7,054 Payments on secured debt — — (5,251 ) — (5,251 ) Borrowings and issuance of unsecured debt 2,744 — 387 — 3,131 Payments on unsecured debt — — (241 ) — (241 ) Debt issuance costs (13 ) — (13 ) — (26 ) Net capital contributions — — (336 ) 336 — Net change in due to affiliates — 2,732 1,063 (3,795 ) — Net cash provided by financing activities 2,731 2,732 3,480 (3,519 ) 5,424 Net increase (decrease) in cash, cash equivalents, and restricted cash — (220 ) 188 — (32 ) Effect of foreign exchange rate changes on cash, cash equivalents and restricted cash — — 58 — 58 Cash, cash equivalents and restricted cash at beginning of period — 2,319 2,683 — 5,002 Cash, cash equivalents and restricted cash at end of period $ — $ 2,099 $ 2,929 $ — $ 5,028 |
Summary of Significant Accoun22
Summary of Significant Accounting Policies (Policies) | 3 Months Ended |
Mar. 31, 2017 | |
Accounting Policies [Abstract] | |
Basis of Presentation | Basis of Presentation The condensed consolidated financial statements include our accounts and the accounts of our consolidated subsidiaries, including certain special-purpose financing entities utilized in secured financing transactions, which are considered variable interest entities (VIEs). All intercompany transactions and balances have been eliminated in consolidation. The interim period condensed consolidated financial statements, including the notes thereto, are condensed and do not include all disclosures required by generally accepted accounting principles (GAAP) in the United States of America. These interim period condensed consolidated financial statements should be read in conjunction with the audited consolidated financial statements that are included in our Annual Report on Form 10-K filed on February 7, 2017 (Form 10-K). Except as otherwise specified, dollar amounts presented within tables are stated in millions. The condensed consolidated financial statements at March 31, 2017 , and for the three months ended March 31, 2017 and 2016 , are unaudited and, in management’s opinion, include all adjustments, consisting of normal recurring adjustments, necessary for a fair presentation of the results for such interim periods. The results for interim periods are not necessarily indicative of results for a full year. |
Segment Information | Segment Information We are the wholly-owned captive finance subsidiary of General Motors Company (GM). We offer substantially similar products and services throughout many different regions, subject to local regulations and market conditions. We evaluate our business in two operating segments. The North America Segment includes our operations in the U.S. and Canada. The International Segment includes our operations in all other countries. |
Related Party Transactions (Tab
Related Party Transactions (Tables) | 3 Months Ended |
Mar. 31, 2017 | |
Related Party Transactions [Abstract] | |
Schedule of Related Party Transactions | The following tables present related party transactions: Balance Sheet Data March 31, 2017 December 31, 2016 Commercial finance receivables, net due from dealers consolidated by GM (a) $ 339 $ 401 Direct-finance lease receivables from Maven (a) $ 128 $ — Advances drawn on lines of credit due from GM (b) $ 145 $ 137 Subvention receivable (c) $ 471 $ 373 Commercial loan funding payable (d) $ 438 $ 389 Three Months Ended March 31, Income Statement Data 2017 2016 Interest subvention earned on retail finance receivables and leases (e) $ 111 $ 103 Interest subvention earned on commercial finance receivables (e) $ 40 $ 40 Leased vehicle subvention earned (f) $ 709 $ 459 _________________ (a) Included in finance receivables, net. (b) Included in related party receivables. (c) Included in related party receivables. We received subvention payments from GM of $1.0 billion and $1.2 billion for the three months ended March 31, 2017 and 2016 . (d) Included in related party payables. (e) Included in finance charge income. (f) Included as a reduction to leased vehicle expenses. |
Finance Receivables (Tables)
Finance Receivables (Tables) | 3 Months Ended |
Mar. 31, 2017 | |
Accounts, Notes, Loans and Financing Receivable, Gross, Allowance, and Net [Abstract] | |
Finance Receivables, Net | March 31, 2017 December 31, 2016 Retail finance receivables Retail finance receivables, collectively evaluated for impairment, net of fees (a) $ 34,047 $ 30,989 Retail finance receivables, individually evaluated for impairment, net of fees 1,957 1,921 Total retail finance receivables, net of fees (b) 36,004 32,910 Less: allowance for loan losses - collective (568 ) (517 ) Less: allowance for loan losses - specific (284 ) (276 ) Total retail finance receivables, net 35,152 32,117 Commercial finance receivables Commercial finance receivables, collectively evaluated for impairment, net of fees 11,725 11,053 Commercial finance receivables, individually evaluated for impairment, net of fees 87 70 Total commercial finance receivables, net of fees 11,812 11,123 Less: allowance for loan losses - collective (46 ) (43 ) Less: allowance for loan losses - specific (8 ) (7 ) Total commercial finance receivables, net 11,758 11,073 Total finance receivables, net $ 46,910 $ 43,190 Fair value of finance receivables $ 46,722 $ 43,140 ________________ (a) Includes $1.6 billion and $1.3 billion of direct-finance leases at March 31, 2017 and December 31, 2016 . (b) Net of unearned income, unamortized premiums and discounts, and deferred fees and costs o f $199 million and $191 million at March 31, 2017 and December 31, 2016 . |
Allowance for Credit Losses on Financing Receivables | Retail Finance Receivables Three Months Ended March 31, 2017 2016 Allowance for retail loan losses beginning balance $ 793 $ 735 Provision for loan losses 213 197 Charge-offs (307 ) (293 ) Recoveries 147 150 Foreign currency translation 6 7 Allowance for retail loan losses ending balance $ 852 $ 796 |
Financing Receivable Credit Quality Indicators | A summary of the credit risk profile by FICO score band or equivalent scores, determined at origination, of the retail finance receivables in the North America Segment is as follows: March 31, 2017 December 31, 2016 Amount Percent Amount Percent Prime - FICO Score 680 and greater $ 10,062 41.3 % $ 7,923 36.4 % Near-prime - FICO Score 620 to 679 3,742 15.4 3,468 15.9 Sub-prime - FICO Score less than 620 10,550 43.3 10,395 47.7 Balance at end of period $ 24,354 100.0 % $ 21,786 100.0 % |
Past Due Financing Receivables | The following is a consolidated summary of the contractual amounts of delinquent retail finance receivables, which is not significantly different than the recorded investment for such receivables. March 31, 2017 March 31, 2016 Total Percent of Contractual Amount Due Total Percent of Contractual Amount Due 31 - 60 days $ 1,006 2.8 % $ 963 3.1 % Greater than 60 days 441 1.2 421 1.4 Total finance receivables more than 30 days delinquent 1,447 4.0 1,384 4.5 In repossession 51 0.1 48 0.2 Total finance receivables more than 30 days delinquent or in repossession $ 1,498 4.1 % $ 1,432 4.7 % |
Troubled Debt Restructurings on Financing Receivables | At March 31, 2017 and December 31, 2016 , the outstanding balance of retail finance receivables in the International Segment determined to be TDRs was insignificant ; therefore, the following information is presented with regard to the TDRs in the North America Segment only. The outstanding recorded investment for retail finance receivables that are considered to be TDRs and the related allowance is presented below: March 31, 2017 December 31, 2016 Outstanding recorded investment $ 1,957 $ 1,920 Less: allowance for loan losses (284 ) (276 ) Outstanding recorded investment, net of allowance $ 1,673 $ 1,644 Unpaid principal balance $ 1,998 $ 1,967 Additional information about loans classified as TDRs is presented below: Three Months Ended March 31, 2017 2016 Average outstanding recorded investment $ 1,939 $ 1,636 Finance charge income recognized $ 60 $ 51 Number of loans classified as TDRs during the period 16,474 14,646 Recorded investment of loans classified as TDRs during the period $ 287 $ 254 |
Financing Receivable Credit Quality Indicators for Commercial Lending | The following table summarizes the credit risk profile by dealer risk rating of commercial finance receivables: March 31, 2017 December 31, 2016 Amount Percent Amount Percent Group I - Dealers with superior financial metrics $ 1,664 14.1 % $ 1,596 14.3 % Group II - Dealers with strong financial metrics 3,804 32.2 3,445 31.0 Group III - Dealers with fair financial metrics 4,171 35.3 4,039 36.3 Group IV - Dealers with weak financial metrics 1,441 12.2 1,231 11.1 Group V - Dealers warranting special mention due to potential weaknesses 548 4.6 642 5.8 Group VI - Dealers with loans classified as substandard, doubtful or impaired 184 1.6 170 1.5 Balance at end of period $ 11,812 100.0 % $ 11,123 100.0 % |
Leased Vehicles (Tables)
Leased Vehicles (Tables) | 3 Months Ended |
Mar. 31, 2017 | |
Property Subject to or Available for Operating Lease, Net [Abstract] | |
Summary of Leased Vehicles | March 31, 2017 December 31, 2016 Leased vehicles $ 53,000 $ 48,581 Manufacturer subvention (8,372 ) (7,706 ) 44,628 40,875 Less: accumulated depreciation (7,326 ) (6,349 ) Leased vehicles, net $ 37,302 $ 34,526 |
Schedule of Future Minimum Rental Payments Receivable For Operating Leases | The following table summarizes minimum rental payments due to us as lessor under operating leases: Years Ending December 31, 2017 2018 2019 2020 2021 Minimum rental payments under operating leases $ 4,654 $ 4,878 $ 2,494 $ 365 $ 13 |
Debt (Tables)
Debt (Tables) | 3 Months Ended |
Mar. 31, 2017 | |
Debt Disclosure [Abstract] | |
Schedule of Debt | March 31, 2017 December 31, 2016 Carrying Amount Fair Value Carrying Amount Fair Value Secured debt Revolving credit facilities $ 11,865 $ 11,866 $ 9,817 $ 9,812 Securitization notes payable 30,714 30,814 29,453 29,545 Total secured debt $ 42,579 $ 42,680 $ 39,270 $ 39,357 Unsecured debt Senior notes $ 31,088 $ 32,103 $ 28,577 $ 29,182 Credit facilities 3,453 3,452 3,354 3,354 Retail customer deposits 1,913 1,917 1,895 1,902 Other unsecured debt 916 918 780 782 Total unsecured debt $ 37,370 $ 38,390 $ 34,606 $ 35,220 Total Secured and Unsecured debt $ 79,949 $ 81,070 $ 73,876 $ 74,577 Fair value utilizing Level 2 inputs $ 77,267 $ 69,990 Fair value utilizing Level 3 inputs $ 3,803 $ 4,587 |
Schedule of Long-term Debt Instruments [Table Text Block] | During the three months ended March 31, 2017, our top-tier holding company issued $2.5 billion in senior notes comprising: Amount Issued 3.45% Senior notes due January 2022 $ 1,250 4.35% Senior notes due January 2027 $ 750 Floating rate senior notes due January 2022 $ 500 |
Schedule of Deposit Liabilities | Following is summarized information for our deposits at March 31, 2017 and December 31, 2016 : March 31, 2017 December 31, 2016 Outstanding Balance Weighted Average Interest Rate Outstanding Balance Weighted Average Interest Rate Overnight deposits $ 788 0.40 % $ 799 0.50 % Term deposits - 12 months 417 0.84 % 423 0.93 % Term deposits - 24 months 298 1.24 % 281 1.26 % Term deposits - 36 months 410 1.47 % 392 1.48 % Total deposits $ 1,913 0.86 % $ 1,895 0.91 % |
Variable Interest Entities (Tab
Variable Interest Entities (Tables) | 3 Months Ended |
Mar. 31, 2017 | |
Securitization and Credit Facility VIEs [Member] | |
Variable Interest Entity [Line Items] | |
Schedule of Variable Interest Entities | The following table summarizes the assets and liabilities related to our consolidated VIEs: March 31, 2017 December 31, 2016 Restricted cash (a) $ 2,598 $ 2,067 Finance receivables, net of fees $ 30,370 $ 29,661 Lease related assets $ 23,154 $ 19,341 Secured debt $ 41,671 $ 38,244 _______________ (a) Included in other assets in the condensed consolidated balance sheets. |
Other VIE [Member] | |
Variable Interest Entity [Line Items] | |
Schedule of Variable Interest Entities | The following table summarizes the assets and liabilities of these VIEs: March 31, 2017 December 31, 2016 Assets (a) $ 4,312 $ 4,251 Liabilities (b) $ 3,604 $ 3,559 _________________ (a) Comprised primarily of finance receivables, net of $3.6 billion and $3.5 billion at March 31, 2017 and December 31, 2016 . (b) Comprised primarily of debt of $3.0 billion and $3.0 billion at March 31, 2017 and December 31, 2016 . The following table summarizes the revenue and net income of these VIEs: Three Months Ended March 31, 2017 2016 Total revenue $ 51 $ 47 Net income $ 6 $ 7 |
Derivative Financial Instrume28
Derivative Financial Instruments And Hedging Activities (Tables) | 3 Months Ended |
Mar. 31, 2017 | |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |
Schedule of Derivative Instruments | March 31, 2017 December 31, 2016 Level Notional Fair Value Notional Fair Value Derivatives designated as hedges Assets Fair value hedges Interest rate swaps 2 $ — $ — $ — $ — Cash flow hedges Interest rate swaps 2,3 3,597 16 3,542 12 Foreign currency swaps 2 — — — — Total assets (a) $ 3,597 $ 16 $ 3,542 $ 12 Liabilities Fair value hedges Interest rate swaps 2 $ 8,950 $ 317 $ 7,700 $ 276 Cash flow hedges Interest rate swaps 2,3 717 1 1,280 3 Foreign currency swaps 2 802 24 791 33 Total liabilities (b) $ 10,469 $ 342 $ 9,771 $ 312 Derivatives not designated as hedges Assets Interest rate swaps 2,3 $ 15,455 $ 74 $ 8,667 $ 55 Interest rate caps and floors 2 13,369 33 10,469 26 Foreign currency swaps 2 617 65 1,576 78 Total assets (a) $ 29,441 $ 172 $ 20,712 $ 159 Liabilities Interest rate swaps 2,3 $ 14,225 $ 55 $ 8,337 $ 36 Interest rate caps and floors 2 15,101 33 12,146 26 Foreign currency swaps 2 1,412 15 119 2 Total liabilities (b) $ 30,738 $ 103 $ 20,602 $ 64 _________________ (a) Derivative assets are included in other assets in the condensed consolidated balance sheets. (b) Derivative liabilities are included in other liabilities in the condensed consolidated balance sheets. Amounts accrued for interest payments in a net receivable position are included in other assets in the condensed consolidated balance sheets. |
Effect of Derivative Instruments on the Condensed Consolidated Statements of Income | The fair value for Level 2 instruments was derived using the market approach based on observable market inputs including quoted prices of similar instruments and foreign exchange and interest rate forward curves. The fair value for Level 3 instruments was derived using the income approach based on a discounted cash flow model, in which expected cash flows are discounted using current risk-adjusted rates. The activity for interest rate swap agreements measured at fair value on a recurring basis using significant unobservable inputs (Level 3) was insignificant for the three months ended March 31, 2017 and 2016 . Income (Losses) Recognized In Income Three Months Ended March 31, 2017 2016 Fair value hedges Interest rate contracts (a)(b) $ 11 $ (6 ) Cash flow hedges Interest rate contracts (a) (2 ) — Foreign currency contracts (c) 6 — Derivatives not designated as hedges Interest rate contracts (a) (5 ) — Foreign currency derivatives (c)(d) (22 ) 69 Total $ (12 ) $ 63 Gains (Losses) Recognized In Three Months Ended March 31, 2017 2016 Cash flow hedges Interest rate contracts $ 2 $ — Foreign currency contracts (3 ) — Total $ (1 ) $ — Gains (Losses) Reclassified From Three Months Ended March 31, 2017 2016 Cash flow hedges Interest rate contracts $ 1 $ — Foreign currency contracts (4 ) — Total $ (3 ) $ — _________________ (a) Recognized in earnings as interest expense. (b) Includes hedge ineffectiveness which reflects the net change in the fair value of interest rate contracts of $26 million and $2 million offset by the change in fair value of hedged debt attributable to the hedged risk of $27 million and $4 million for the three months ended March 31, 2017 and 2016 . (c) Recognized in earnings as other operating expenses and interest expense. (d) Activity is partially offset by translation activity (included in other operating expenses) related to foreign currency-denominated loans. |
Segment Reporting (Tables)
Segment Reporting (Tables) | 3 Months Ended |
Mar. 31, 2017 | |
Segment Reporting [Abstract] | |
Schedule of Segment Reporting Information, by Segment | Key operating data for our operating segments were as follows: Three Months Ended March 31, 2017 North International Corporate Eliminations Total Total revenue $ 2,474 $ 405 $ — $ — $ 2,879 Operating expenses 248 144 — — 392 Leased vehicle expenses 1,426 12 — — 1,438 Provision for loan losses 187 30 — — 217 Interest expense 455 164 — — 619 Equity income — 47 — — 47 Income before income taxes $ 158 $ 102 $ — $ — $ 260 Three Months Ended March 31, 2016 North International Corporate Eliminations Total Total revenue $ 1,688 $ 387 $ (1 ) $ 1 $ 2,075 Operating expenses 201 133 — — 334 Leased vehicle expenses 888 5 — — 893 Provision for loan losses 177 19 — — 196 Interest expense 305 157 — 1 463 Equity income — 36 — — 36 Income (loss) before income taxes $ 117 $ 109 $ (1 ) $ — $ 225 March 31, 2017 December 31, 2016 North International Total North International Total Finance receivables, net $ 30,618 $ 16,292 $ 46,910 $ 27,617 $ 15,573 $ 43,190 Leased vehicles, net $ 37,018 $ 284 $ 37,302 $ 34,284 $ 242 $ 34,526 Total assets $ 74,793 $ 19,747 $ 94,540 $ 68,656 $ 19,109 $ 87,765 |
Accumulated Other Comprehensi30
Accumulated Other Comprehensive Loss (Tables) | 3 Months Ended |
Mar. 31, 2017 | |
Accumulated Other Comprehensive Income (Loss), Net of Tax [Abstract] | |
Schedule of Accumulated Other Comprehensive Loss | Three Months Ended March 31, 2017 2016 Unrealized gain on cash flow hedge Beginning balance $ 17 $ — Change in value of cash flow hedge, net of tax (4 ) — Ending balance 13 — Defined benefit plans Beginning balance (20 ) (13 ) Unrealized gain (loss) on subsidiary pension, net of tax — (1 ) Ending balance (20 ) (14 ) Foreign currency translation adjustment Beginning balance (1,235 ) (1,091 ) Translation gain, net of tax 94 153 Ending balance (1,141 ) (938 ) Total accumulated other comprehensive loss $ (1,148 ) $ (952 ) |
Guarantor Condensed Consolida31
Guarantor Condensed Consolidating Financial Statements (Tables) | 3 Months Ended |
Mar. 31, 2017 | |
Condensed Financial Information of Parent Company Only Disclosure [Abstract] | |
Condensed Consolidating Balance Sheet | CONDENSED CONSOLIDATING BALANCE SHEET March 31, 2017 (Unaudited) General Motors Financial Company, Inc. Guarantor Non- Guarantors Eliminations Consolidated ASSETS Cash and cash equivalents $ — $ 2,040 $ 654 $ — $ 2,694 Finance receivables, net — 7,516 39,394 — 46,910 Leased vehicles, net — — 37,302 — 37,302 Goodwill 1,095 — 105 — 1,200 Equity in net assets of non-consolidated affiliates — — 998 — 998 Property and equipment, net — 163 128 — 291 Deferred income taxes 613 75 284 (688 ) 284 Related party receivables — 73 544 — 617 Other assets 3 746 3,743 (248 ) 4,244 Due from affiliates 26,778 15,992 — (42,770 ) — Investment in affiliates 9,401 5,971 — (15,372 ) — Total assets $ 37,890 $ 32,576 $ 83,152 $ (59,078 ) $ 94,540 LIABILITIES AND SHAREHOLDER'S EQUITY Liabilities Secured debt $ — $ — $ 42,827 $ (248 ) $ 42,579 Unsecured debt 28,573 — 8,797 — 37,370 Accounts payable and accrued expenses 261 330 910 — 1,501 Deferred income — — 2,588 — 2,588 Deferred income taxes — — 947 (688 ) 259 Related party payables 1 — 447 — 448 Other liabilities 63 476 264 — 803 Due to affiliates — 25,977 16,793 (42,770 ) — Total liabilities 28,898 26,783 73,573 (43,706 ) 85,548 Shareholder's equity Common stock — — 698 (698 ) — Additional paid-in capital 6,512 79 4,652 (4,731 ) 6,512 Accumulated other comprehensive loss (1,148 ) (157 ) (1,123 ) 1,280 (1,148 ) Retained earnings 3,628 5,871 5,352 (11,223 ) 3,628 Total shareholder's equity 8,992 5,793 9,579 (15,372 ) 8,992 Total liabilities and shareholder's equity $ 37,890 $ 32,576 $ 83,152 $ (59,078 ) $ 94,540 CONDENSED CONSOLIDATING BALANCE SHEET December 31, 2016 (Unaudited) General Motors Financial Company, Inc. Guarantor Non- Guarantors Eliminations Consolidated ASSETS Cash and cash equivalents $ — $ 2,284 $ 917 $ — $ 3,201 Finance receivables, net — 4,969 38,221 — 43,190 Leased vehicles, net — — 34,526 — 34,526 Goodwill 1,095 — 101 — 1,196 Equity in net assets of non-consolidated affiliates — — 944 — 944 Property and equipment, net — 152 127 — 279 Deferred income taxes 502 89 274 (591 ) 274 Related party receivables — 25 485 — 510 Other assets 4 643 3,167 (169 ) 3,645 Due from affiliates 24,548 16,065 — (40,613 ) — Investment in affiliates 8,986 6,445 — (15,431 ) — Total assets $ 35,135 $ 30,672 $ 78,762 $ (56,804 ) $ 87,765 LIABILITIES AND SHAREHOLDER'S EQUITY Liabilities Secured debt $ — $ — $ 39,439 $ (169 ) $ 39,270 Unsecured debt 26,076 — 8,530 — 34,606 Accounts payable and accrued expenses 302 273 899 — 1,474 Deferred income — — 2,365 — 2,365 Deferred income taxes — — 811 (591 ) 220 Related party payables 1 — 399 — 400 Other liabilities 63 417 257 — 737 Due to affiliates — 24,437 16,176 (40,613 ) — Total liabilities 26,442 25,127 68,876 (41,373 ) 79,072 Shareholder's equity Common stock — — 698 (698 ) — Additional paid-in capital 6,505 79 5,345 (5,424 ) 6,505 Accumulated other comprehensive loss (1,238 ) (161 ) (1,223 ) 1,384 (1,238 ) Retained earnings 3,426 5,627 5,066 (10,693 ) 3,426 Total shareholder's equity 8,693 5,545 9,886 (15,431 ) 8,693 Total liabilities and shareholder's equity $ 35,135 $ 30,672 $ 78,762 $ (56,804 ) $ 87,765 |
Condensed Consolidating Statement of Income | CONDENSED CONSOLIDATING STATEMENT OF INCOME Three Months Ended March 31, 2017 (Unaudited) General Guarantor Non- Eliminations Consolidated Revenue Finance charge income $ — $ 95 $ 767 $ — $ 862 Leased vehicle income — — 1,942 — 1,942 Other income — 273 1 (199 ) 75 Total revenue — 368 2,710 (199 ) 2,879 Costs and expenses Salaries and benefits — 163 66 — 229 Other operating expenses 7 44 222 (110 ) 163 Total operating expenses 7 207 288 (110 ) 392 Leased vehicle expenses — — 1,438 — 1,438 Provision for loan losses — 73 144 — 217 Interest expense 235 33 440 (89 ) 619 Total costs and expenses 242 313 2,310 (199 ) 2,666 Equity income 315 215 47 (530 ) 47 Income before income taxes 73 270 447 (530 ) 260 Income tax (benefit) provision (129 ) 26 161 — 58 Net income $ 202 $ 244 $ 286 $ (530 ) $ 202 Comprehensive income $ 292 $ 248 $ 386 $ (634 ) $ 292 CONDENSED CONSOLIDATING STATEMENT OF INCOME Three Months Ended March 31, 2016 (Unaudited) General Guarantor Non- Eliminations Consolidated Revenue Finance charge income $ — $ 99 $ 719 $ — $ 818 Leased vehicle income — — 1,184 — 1,184 Other income (1 ) 205 15 (146 ) 73 Total revenue (1 ) 304 1,918 (146 ) 2,075 Costs and expenses Salaries and benefits — 135 58 — 193 Other operating expenses (4 ) 68 170 (93 ) 141 Total operating expenses (4 ) 203 228 (93 ) 334 Leased vehicle expenses — — 893 — 893 Provision for loan losses — 103 93 — 196 Interest expense 176 (30 ) 370 (53 ) 463 Total costs and expenses 172 276 1,584 (146 ) 1,886 Equity income 255 168 36 (423 ) 36 Income before income taxes 82 196 370 (423 ) 225 Income tax (benefit) provision (82 ) 12 131 — 61 Net income $ 164 $ 184 $ 239 $ (423 ) $ 164 Comprehensive income $ 316 $ 223 $ 398 $ (621 ) $ 316 |
Condensed Consolidating Statement of Cash Flows | CONDENSED CONSOLIDATING STATEMENT OF CASH FLOWS Three Months Ended March 31, 2017 (Unaudited) General Motors Financial Company, Inc. Guarantor Non- Guarantors Eliminations Consolidated Net cash (used in) provided by operating activities $ (273 ) $ 103 $ 1,586 $ — $ 1,416 Cash flows from investing activities Purchases of retail finance receivables, net — (4,920 ) (3,850 ) 2,369 (6,401 ) Principal collections and recoveries on retail finance receivables — 450 3,145 — 3,595 Proceeds from transfer of retail finance receivables, net — 2,095 274 (2,369 ) — Net funding of commercial finance receivables — (194 ) (347 ) — (541 ) Purchases of leased vehicles, net — — (4,794 ) — (4,794 ) Proceeds from termination of leased vehicles — — 1,082 — 1,082 Purchases of property and equipment — (19 ) (5 ) — (24 ) Other investing activities — (79 ) 79 — Net change in due from affiliates (2,230 ) 80 — 2,150 — Net change in investment in affiliates — 694 — (694 ) — Net cash used in investing activities (2,230 ) (1,893 ) (4,495 ) 1,535 (7,083 ) Cash flows from financing activities Net change in debt (original maturities less than three months) 17 — (285 ) — (268 ) Borrowings and issuance of secured debt — — 8,440 (79 ) 8,361 Payments on secured debt — — (4,805 ) — (4,805 ) Borrowings and issuance of unsecured debt 2,497 — 471 — 2,968 Payments on unsecured debt — — (574 ) — (574 ) Debt issuance costs (11 ) — (16 ) — (27 ) Net capital contributions — — (694 ) 694 — Net change in due to affiliates — 1,546 604 (2,150 ) — Net cash provided by financing activities 2,503 1,546 3,141 (1,535 ) 5,655 Net increase (decrease) in cash, cash equivalents and restricted cash — (244 ) 232 — (12 ) Effect of foreign exchange rate changes on cash, cash equivalents and restricted cash — — 37 — 37 Cash, cash equivalents and restricted cash at beginning of period — 2,284 3,018 — 5,302 Cash, cash equivalents and restricted cash at end of period $ — $ 2,040 $ 3,287 $ — $ 5,327 The following table provides a reconciliation of cash, cash equivalents and restricted cash reported within the condensed consolidating balance sheet: General Motors Financial Company, Inc. Guarantor Non- Guarantors Eliminations Consolidated Cash and cash equivalents $ — $ 2,040 $ 654 $ — $ 2,694 Restricted cash included in other assets — — 2,633 — 2,633 Total $ — $ 2,040 $ 3,287 $ — $ 5,327 CONDENSED CONSOLIDATING STATEMENT OF CASH FLOWS Three Months Ended March 31, 2016 (Unaudited) General Motors Financial Company, Inc. Guarantor Non- Guarantors Eliminations Consolidated Net cash (used in) provided by operating activities $ (144 ) $ (537 ) $ 1,839 $ — $ 1,158 Cash flows from investing activities Purchases of retail finance receivables, net — (4,466 ) (4,388 ) 4,689 (4,165 ) Principal collections and recoveries on retail finance receivables — 359 2,912 — 3,271 Proceeds from transfer of retail finance receivables, net — 2,866 1,823 (4,689 ) — Net funding of commercial finance receivables — (227 ) (797 ) — (1,024 ) Purchases of leased vehicles, net — — (5,158 ) — (5,158 ) Proceeds from termination of leased vehicles — — 481 — 481 Purchases of property and equipment — (15 ) (5 ) — (20 ) Other investing activities — (60 ) 1 60 1 Net change in due from affiliates (2,587 ) (1,208 ) — 3,795 — Net change in investment in affiliates — 336 — (336 ) — Net cash used in investing activities (2,587 ) (2,415 ) (5,131 ) 3,519 (6,614 ) Cash flows from financing activities Net change in debt (original maturities less than three months) — — 757 — 757 Borrowings and issuance of secured debt — — 7,114 (60 ) 7,054 Payments on secured debt — — (5,251 ) — (5,251 ) Borrowings and issuance of unsecured debt 2,744 — 387 — 3,131 Payments on unsecured debt — — (241 ) — (241 ) Debt issuance costs (13 ) — (13 ) — (26 ) Net capital contributions — — (336 ) 336 — Net change in due to affiliates — 2,732 1,063 (3,795 ) — Net cash provided by financing activities 2,731 2,732 3,480 (3,519 ) 5,424 Net increase (decrease) in cash, cash equivalents, and restricted cash — (220 ) 188 — (32 ) Effect of foreign exchange rate changes on cash, cash equivalents and restricted cash — — 58 — 58 Cash, cash equivalents and restricted cash at beginning of period — 2,319 2,683 — 5,002 Cash, cash equivalents and restricted cash at end of period $ — $ 2,099 $ 2,929 $ — $ 5,028 |
Summary of Significant Accoun32
Summary of Significant Accounting Policies - Narrative (Details) | 3 Months Ended |
Mar. 31, 2017segment | |
Accounting Policies [Abstract] | |
Number of operating segments | 2 |
Disposition of Business (Detail
Disposition of Business (Details) - Fincos [Member] - Disposal Group, Disposed of by Sale, Not Discontinued Operations [Member] $ in Millions | Mar. 05, 2017USD ($) |
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | |
Percent of book value received | 80.00% |
Consideration received | $ 1,000 |
Minimum [Member] | |
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | |
Loss on disposal | 700 |
Maximum [Member] | |
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | |
Loss on disposal | $ 800 |
Related Party Transactions (Det
Related Party Transactions (Details) - USD ($) $ in Millions | 3 Months Ended | ||
Mar. 31, 2017 | Mar. 31, 2016 | Dec. 31, 2016 | |
Related Party Transaction [Line Items] | |||
Advances drawn on lines of credit due from GM | $ 617 | $ 510 | |
Affiliated Entity [Member] | |||
Related Party Transaction [Line Items] | |||
Finance receivables, net due | 128 | 0 | |
Advances drawn on lines of credit due from GM | 145 | 137 | |
Subvention receivable | 471 | 373 | |
Leased vehicle subvention earned | 709 | $ 459 | |
Affiliated Entity [Member] | Retail Finance Receivables [Member] | |||
Related Party Transaction [Line Items] | |||
Interest subvention earned | 111 | 103 | |
Affiliated Entity [Member] | Commercial Finance Receivables [Member] | |||
Related Party Transaction [Line Items] | |||
Finance receivables, net due | 339 | 401 | |
Commercial loan funding payable | 438 | $ 389 | |
Interest subvention earned | 40 | 40 | |
Parent Company [Member] | |||
Related Party Transaction [Line Items] | |||
Revenue from related parties | $ 1,000 | $ 1,200 |
Related Party Transactions (D35
Related Party Transactions (Details 2) - USD ($) | May 31, 2016 | Mar. 31, 2017 | Dec. 31, 2016 | Apr. 30, 2016 |
Related Party Transaction [Line Items] | ||||
Finance receivable repayment period | 30 days | |||
Affiliated Entity [Member] | ||||
Related Party Transaction [Line Items] | ||||
Tax expense due to related party | $ 0 | $ 0 | ||
Junior Subordinated Revolving Credit Facility [Member] | ||||
Related Party Transaction [Line Items] | ||||
Line of credit facilities - GM Related party facility | $ 1,000,000,000 | |||
Line of Credit [Member] | Revolving Credit Facility [Member] | General Motors [Member] | ||||
Related Party Transaction [Line Items] | ||||
Maximum borrowing capacity | $ 4,000,000,000 | |||
Line of Credit [Member] | Three Year Revolving Credit Facility [Member] | ||||
Related Party Transaction [Line Items] | ||||
Maximum borrowing capacity | $ 1,000,000,000 | |||
Line of Credit [Member] | Three Year Revolving Credit Facility [Member] | General Motors [Member] | ||||
Related Party Transaction [Line Items] | ||||
Maximum borrowing capacity | $ 4,000,000,000 | |||
Debt instrument term | 3 years | |||
Line of Credit [Member] | Five Year Revolving Credit Facility [Member] | ||||
Related Party Transaction [Line Items] | ||||
Maximum borrowing capacity | $ 3,000,000,000 | |||
Line of Credit [Member] | Five Year Revolving Credit Facility [Member] | General Motors [Member] | ||||
Related Party Transaction [Line Items] | ||||
Maximum borrowing capacity | $ 10,500,000,000 | |||
Debt instrument term | 5 years |
Finance Receivables - Narrative
Finance Receivables - Narrative (Details) - USD ($) $ in Millions | Mar. 31, 2017 | Dec. 31, 2016 |
Accounts, Notes, Loans and Financing Receivable, Gross, Allowance, and Net [Abstract] | ||
Accrual of finance charge income | $ 711 | $ 807 |
Finance Receivables - Finance R
Finance Receivables - Finance Receivables, net (Details) - USD ($) $ in Millions | Mar. 31, 2017 | Dec. 31, 2016 |
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Finance receivables, net | $ 46,910 | $ 43,190 |
Fair value of finance receivables | 46,722 | 43,140 |
Commercial Finance Receivables [Member] | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total finance receivables | 11,812 | 11,123 |
Automobile Loan [Member] | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Direct-financing leases | 1,600 | 1,300 |
Deferred income | 199 | 191 |
Automobile Loan [Member] | Retail Finance Receivables [Member] | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Collectively evaluated for impairment, net of fees | 34,047 | 30,989 |
Individually evaluated for impairment, net of fees | 1,957 | 1,921 |
Total finance receivables | 36,004 | 32,910 |
Less: allowance for loan losses - collective | (568) | (517) |
Less: allowance for loan losses - specific | (284) | (276) |
Total finance receivables, net | 35,152 | 32,117 |
Automobile Loan [Member] | Commercial Finance Receivables [Member] | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Collectively evaluated for impairment, net of fees | 11,725 | 11,053 |
Individually evaluated for impairment, net of fees | 87 | 70 |
Total finance receivables | 11,812 | 11,123 |
Less: allowance for loan losses - collective | (46) | (43) |
Less: allowance for loan losses - specific | (8) | (7) |
Total finance receivables, net | $ 11,758 | $ 11,073 |
Finance Receivables - Allowance
Finance Receivables - Allowance for Loan Losses (Details) - Retail Finance Receivables [Member] - Automobile Loan [Member] - USD ($) $ in Millions | 3 Months Ended | |
Mar. 31, 2017 | Mar. 31, 2016 | |
Financing Receivable, Allowance for Credit Losses [Roll Forward] | ||
Allowance for retail loan losses beginning balance | $ 793 | $ 735 |
Provision for loan losses | 213 | 197 |
Charge-offs | (307) | (293) |
Recoveries | 147 | 150 |
Foreign currency translation | 6 | 7 |
Allowance for retail loan losses ending balance | $ 852 | $ 796 |
Finance Receivables - Credit Qu
Finance Receivables - Credit Quality (Details) - North America Segment [Member] - Automobile Loan [Member] - Retail Finance Receivables [Member] - USD ($) $ in Millions | Mar. 31, 2017 | Dec. 31, 2016 |
Financing Receivable, Recorded Investment [Line Items] | ||
Finance receivables, net of fees | $ 24,354 | $ 21,786 |
Finance receivables credit indicator, Percent | 100.00% | 100.00% |
FICO Score 680 and greater [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Finance receivables, net of fees | $ 10,062 | $ 7,923 |
Finance receivables credit indicator, Percent | 41.30% | 36.40% |
FICO Score 620 to 679 [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Finance receivables, net of fees | $ 3,742 | $ 3,468 |
Finance receivables credit indicator, Percent | 15.40% | 15.90% |
FICO Score less than 620 [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Finance receivables, net of fees | $ 10,550 | $ 10,395 |
Finance receivables credit indicator, Percent | 43.30% | 47.70% |
Finance Receivables - Delinquen
Finance Receivables - Delinquency (Details) - Retail Finance Receivables [Member] - Automobile Loan [Member] - USD ($) $ in Millions | 3 Months Ended | |
Mar. 31, 2017 | Mar. 31, 2016 | |
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
In repossession | $ 51 | $ 48 |
In repossession (percent) | 0.10% | 0.20% |
Financing receivable and in repossession past due | $ 1,498 | $ 1,432 |
Financing receivable and in repossession past due (percent) | 4.10% | 4.70% |
31 to 60 Days [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Financing receivable past due | $ 1,006 | $ 963 |
Financing receivable past due (percent) | 2.80% | 3.10% |
Greater Than 60 Days [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Financing receivable past due | $ 441 | $ 421 |
Financing receivable past due (percent) | 1.20% | 1.40% |
Thirty or More Days Past Due [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Financing receivable past due | $ 1,447 | $ 1,384 |
Financing receivable past due (percent) | 4.00% | 4.50% |
Finance Receivables - Troubled
Finance Receivables - Troubled Debt Restructurings (Details) - North America Segment [Member] - Automobile Loan [Member] $ in Millions | 3 Months Ended | ||
Mar. 31, 2017USD ($)loan | Mar. 31, 2016USD ($)loan | Dec. 31, 2016USD ($) | |
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Outstanding recorded investment | $ 1,957 | $ 1,920 | |
Less: allowance for loan losses | (284) | (276) | |
Outstanding recorded investment, net of allowance | 1,673 | 1,644 | |
Unpaid principal balance | 1,998 | $ 1,967 | |
Average outstanding recorded investment | 1,939 | $ 1,636 | |
Finance charge income recognized | $ 60 | $ 51 | |
Number of loans classified as TDRs during the period | loan | 16,474 | 14,646 | |
Recorded investment of loans classified as TDRs during the period | $ 287 | $ 254 |
Finance Receivables - Credit Ri
Finance Receivables - Credit Risk Profile by Dealer grouping of Commercial Finance Receivables (Details) - Commercial Finance Receivables [Member] - USD ($) $ in Millions | 3 Months Ended | 12 Months Ended |
Mar. 31, 2017 | Dec. 31, 2016 | |
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Balance at end of period | $ 11,812 | $ 11,123 |
Percent of portfolio (percent) | 100.00% | 100.00% |
Group I [Member] | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Balance at end of period | $ 1,664 | $ 1,596 |
Percent of portfolio (percent) | 14.10% | 14.30% |
Group II [Member] | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Balance at end of period | $ 3,804 | $ 3,445 |
Percent of portfolio (percent) | 32.20% | 31.00% |
Group III [Member] | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Balance at end of period | $ 4,171 | $ 4,039 |
Percent of portfolio (percent) | 35.30% | 36.30% |
Group IV [Member] | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Balance at end of period | $ 1,441 | $ 1,231 |
Percent of portfolio (percent) | 12.20% | 11.10% |
Group V [Member] | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Balance at end of period | $ 548 | $ 642 |
Percent of portfolio (percent) | 4.60% | 5.80% |
Group VI [Member] | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Balance at end of period | $ 184 | $ 170 |
Percent of portfolio (percent) | 1.60% | 1.50% |
Leased Vehicles - Summary of Le
Leased Vehicles - Summary of Leased Vehicles (Details) - USD ($) $ in Millions | Mar. 31, 2017 | Dec. 31, 2016 |
Property Subject to or Available for Operating Lease, Net [Abstract] | ||
Leased vehicles | $ 53,000 | $ 48,581 |
Manufacturer subvention | (8,372) | (7,706) |
Leased vehicles accounted for operating leases net of manufacturing incentives | 44,628 | 40,875 |
Less: accumulated depreciation | (7,326) | (6,349) |
Leased vehicles, net | $ 37,302 | $ 34,526 |
Leased Vehicles - Minimum Renta
Leased Vehicles - Minimum Rental Payments (Details) $ in Millions | Mar. 31, 2017USD ($) |
Operating Leases, Future Minimum Payments Receivable [Abstract] | |
2,017 | $ 4,654 |
2,018 | 4,878 |
2,019 | 2,494 |
2,020 | 365 |
2,021 | $ 13 |
Restricted Cash (Details)
Restricted Cash (Details) $ in Millions | Mar. 31, 2017USD ($) |
Restricted Cash and Cash Equivalents Items [Line Items] | |
Restricted cash included in other assets | $ 2,633 |
Equity in Net Assets of Non-c46
Equity in Net Assets of Non-consolidated Affiliates (Details) - SAIC-GMAC [Member] - USD ($) $ in Millions | 3 Months Ended | |
Mar. 31, 2017 | Mar. 31, 2016 | |
Noncontrolling Interest [Line Items] | ||
Cash dividends received | $ 0 | $ 27 |
Undistributed earnings | $ 189 |
Debt - Narrative (Details)
Debt - Narrative (Details) - USD ($) | 3 Months Ended | |||
Mar. 31, 2017 | Apr. 28, 2017 | Jan. 31, 2017 | Dec. 31, 2016 | |
Line of Credit [Member] | Revolving Credit Facility [Member] | ||||
Debt Instrument [Line Items] | ||||
Increase in credit facilities during period | $ 182,000,000 | |||
Secured Debt [Member] | Securitization Notes Payable [Member] | ||||
Debt Instrument [Line Items] | ||||
Debt instrument, face amount | 4,003,000,000 | |||
Senior Notes [Member] | ||||
Debt Instrument [Line Items] | ||||
Debt instrument, face amount | $ 31,549,000,000 | $ 29,008,000,000 | ||
Parent Company [Member] | Senior Notes [Member] | ||||
Debt Instrument [Line Items] | ||||
Debt instrument, face amount | $ 2,500,000,000 | |||
Parent Company [Member] | Senior Notes [Member] | 3.45% Senior Notes Due January 2022 [Member] | ||||
Debt Instrument [Line Items] | ||||
Debt instrument, face amount | 1,250,000,000 | |||
Interest rate (percent) | 3.45% | |||
Parent Company [Member] | Senior Notes [Member] | 3.45% Senior Notes Due January 2027 [Member] | ||||
Debt Instrument [Line Items] | ||||
Debt instrument, face amount | 750,000,000 | |||
Interest rate (percent) | 4.35% | |||
Parent Company [Member] | Senior Notes [Member] | Floating Rate Senior Notes Due 2022 [Member] | ||||
Debt Instrument [Line Items] | ||||
Debt instrument, face amount | $ 500,000,000 | |||
Subsequent Event [Member] | Parent Company [Member] | Senior Notes [Member] | ||||
Debt Instrument [Line Items] | ||||
Debt instrument, face amount | $ 3,000,000,000 | |||
Subsequent Event [Member] | Parent Company [Member] | Senior Notes [Member] | 2.65% Senior Notes Due April 2020 [Member] | ||||
Debt Instrument [Line Items] | ||||
Debt instrument, face amount | $ 1,000,000,000 | |||
Interest rate (percent) | 2.65% | |||
Subsequent Event [Member] | Parent Company [Member] | Senior Notes [Member] | 3.95% Senior Notes Due April 2024 [Member] | ||||
Debt Instrument [Line Items] | ||||
Debt instrument, face amount | $ 1,250,000,000 | |||
Interest rate (percent) | 3.95% | |||
Subsequent Event [Member] | Parent Company [Member] | Senior Notes [Member] | Floating Rate Senior Notes Due 2020 [Member] | ||||
Debt Instrument [Line Items] | ||||
Debt instrument, face amount | $ 750,000,000 |
Debt - Schedule of Debt (Detail
Debt - Schedule of Debt (Details) - USD ($) $ in Millions | Mar. 31, 2017 | Dec. 31, 2016 |
Short Term and Long Term Debt [Line Items] | ||
Secured debt | $ 42,579 | $ 39,270 |
Unsecured debt | 37,370 | 34,606 |
Long-term Debt | 79,949 | 73,876 |
Secured debt fair value | 42,680 | 39,357 |
Unsecured debt fair value | 38,390 | 35,220 |
Fair value of Secured and Unsecured debt | 81,070 | 74,577 |
Level 2 [Member] | ||
Short Term and Long Term Debt [Line Items] | ||
Fair value of Secured and Unsecured debt | 77,267 | 69,990 |
Level 3 [Member] | ||
Short Term and Long Term Debt [Line Items] | ||
Fair value of Secured and Unsecured debt | 3,803 | 4,587 |
Revolving Credit Facility [Member] | ||
Short Term and Long Term Debt [Line Items] | ||
Secured debt | 11,865 | 9,817 |
Unsecured debt | 3,453 | 3,354 |
Secured debt fair value | 11,866 | 9,812 |
Unsecured debt fair value | 3,452 | 3,354 |
Securitization Notes Payable [Member] | Retail Finance Receivables [Member] | ||
Short Term and Long Term Debt [Line Items] | ||
Secured debt | 30,714 | 29,453 |
Secured debt fair value | 30,814 | 29,545 |
Senior Notes [Member] | ||
Short Term and Long Term Debt [Line Items] | ||
Unsecured debt | 31,088 | 28,577 |
Unsecured debt fair value | 32,103 | 29,182 |
Retail Customer Deposits [Member] | ||
Short Term and Long Term Debt [Line Items] | ||
Unsecured debt | 1,913 | 1,895 |
Unsecured debt fair value | 1,917 | 1,902 |
Other Unsecured Debt [Member] | ||
Short Term and Long Term Debt [Line Items] | ||
Unsecured debt | 916 | 780 |
Unsecured debt fair value | $ 918 | $ 782 |
Debt - Schedule of Unsecured De
Debt - Schedule of Unsecured Debt (Details) - Senior Notes [Member] - USD ($) | Mar. 31, 2017 | Jan. 31, 2017 | Dec. 31, 2016 |
Debt Instrument [Line Items] | |||
Debt instrument, face amount | $ 31,549,000,000 | $ 29,008,000,000 | |
Parent Company [Member] | |||
Debt Instrument [Line Items] | |||
Debt instrument, face amount | $ 2,500,000,000 | ||
Parent Company [Member] | 3.45% Senior Notes Due January 2022 [Member] | |||
Debt Instrument [Line Items] | |||
Debt instrument, face amount | 1,250,000,000 | ||
Interest rate (percent) | 3.45% | ||
Parent Company [Member] | 3.45% Senior Notes Due January 2027 [Member] | |||
Debt Instrument [Line Items] | |||
Debt instrument, face amount | 750,000,000 | ||
Interest rate (percent) | 4.35% | ||
Parent Company [Member] | Floating Rate Senior Notes Due 2022 [Member] | |||
Debt Instrument [Line Items] | |||
Debt instrument, face amount | $ 500,000,000 |
Debt - Summary of Retail Deposi
Debt - Summary of Retail Deposits (Details) - Germany [Member] - USD ($) $ in Millions | Mar. 31, 2017 | Dec. 31, 2016 |
Outstanding Balance | ||
Overnight deposits | $ 788 | $ 799 |
Term deposits - 12 months | 417 | 423 |
Term deposits - 24 months | 298 | 281 |
Term deposits - 36 months | 410 | 392 |
Total deposits | $ 1,913 | $ 1,895 |
Weighted Average Interest Rate | ||
Overnight deposits (percent) | 0.40% | 0.50% |
Term deposits -12 months (percent) | 0.84% | 0.93% |
Term deposits - 24 months (percent) | 1.24% | 1.26% |
Term deposits - 36 months (percent) | 1.47% | 1.48% |
Total deposits (percent) | 0.86% | 0.91% |
Variable Interest Entities - As
Variable Interest Entities - Assets and Liabilities of Consolidated VIE's (Details) - USD ($) $ in Millions | Mar. 31, 2017 | Dec. 31, 2016 |
Variable Interest Entity [Line Items] | ||
Restricted cash(a) | $ 2,633 | |
Finance receivables, net | 46,910 | $ 43,190 |
Lease related assets | 37,302 | 34,526 |
Securitization and Credit Facility VIEs [Member] | ||
Variable Interest Entity [Line Items] | ||
Restricted cash(a) | 2,598 | 2,067 |
Finance receivables, net | 30,370 | 29,661 |
Lease related assets | 23,154 | 19,341 |
Secured debt | $ 41,671 | $ 38,244 |
Variable Interest Entities - 52
Variable Interest Entities - Assets and Liabilities (Details) - USD ($) $ in Millions | Mar. 31, 2017 | Dec. 31, 2016 |
Variable Interest Entity [Line Items] | ||
Assets | $ 94,540 | $ 87,765 |
Liabilities | 85,548 | 79,072 |
Finance receivables, net | 46,910 | 43,190 |
Secured debt (Note 7; Note 8 VIEs) | 42,579 | 39,270 |
Other VIE [Member] | ||
Variable Interest Entity [Line Items] | ||
Assets | 4,312 | 4,251 |
Liabilities | 3,604 | 3,559 |
Finance receivables, net | 3,600 | 3,500 |
Secured debt (Note 7; Note 8 VIEs) | $ 3,000 | $ 3,000 |
Variable Interest Entities - Re
Variable Interest Entities - Revenue and Net Income from Entities (Details) - USD ($) $ in Millions | 3 Months Ended | |
Mar. 31, 2017 | Mar. 31, 2016 | |
Variable Interest Entity [Line Items] | ||
Total revenue | $ 2,879 | $ 2,075 |
Net income | 202 | 164 |
Other VIE [Member] | ||
Variable Interest Entity [Line Items] | ||
Total revenue | 51 | 47 |
Net income | $ 6 | $ 7 |
Derivative Financial Instrume54
Derivative Financial Instruments And Hedging Activities (Details) - USD ($) $ in Millions | Mar. 31, 2017 | Dec. 31, 2016 |
Designated as Hedging Instrument [Member] | Other Assets [Member] | ||
Derivatives, Fair Value [Line Items] | ||
Derivative asset, Notional amount | $ 3,597 | $ 3,542 |
Derivative asset, Fair value | 16 | 12 |
Designated as Hedging Instrument [Member] | Other Liabilities [Member] | ||
Derivatives, Fair Value [Line Items] | ||
Derivative liability, Notional amount | 10,469 | 9,771 |
Derivative liability, Fair value | 342 | 312 |
Designated as Hedging Instrument [Member] | Fair Value Hedging [Member] | Other Assets [Member] | Interest Rate Swaps [Member] | Level 2 [Member] | ||
Derivatives, Fair Value [Line Items] | ||
Derivative asset, Notional amount | 0 | 0 |
Derivative asset, Fair value | 0 | 0 |
Designated as Hedging Instrument [Member] | Fair Value Hedging [Member] | Other Liabilities [Member] | Interest Rate Swaps [Member] | Level 2 [Member] | ||
Derivatives, Fair Value [Line Items] | ||
Derivative liability, Notional amount | 8,950 | 7,700 |
Derivative liability, Fair value | 317 | 276 |
Designated as Hedging Instrument [Member] | Cash Flow Hedging [Member] | Other Assets [Member] | Interest Rate Swaps [Member] | Level 3 [Member] | ||
Derivatives, Fair Value [Line Items] | ||
Derivative asset, Notional amount | 3,597 | 3,542 |
Derivative asset, Fair value | 16 | 12 |
Designated as Hedging Instrument [Member] | Cash Flow Hedging [Member] | Other Assets [Member] | Foreign Currency Swaps [Member] | Level 2 [Member] | ||
Derivatives, Fair Value [Line Items] | ||
Derivative asset, Notional amount | 0 | 0 |
Derivative asset, Fair value | 0 | 0 |
Designated as Hedging Instrument [Member] | Cash Flow Hedging [Member] | Other Liabilities [Member] | Interest Rate Swaps [Member] | Level 3 [Member] | ||
Derivatives, Fair Value [Line Items] | ||
Derivative liability, Notional amount | 717 | 1,280 |
Derivative liability, Fair value | 1 | 3 |
Designated as Hedging Instrument [Member] | Cash Flow Hedging [Member] | Other Liabilities [Member] | Foreign Currency Swaps [Member] | Level 2 [Member] | ||
Derivatives, Fair Value [Line Items] | ||
Derivative liability, Notional amount | 802 | 791 |
Derivative liability, Fair value | 24 | 33 |
Not Designated as Hedging Instrument [Member] | Other Assets [Member] | ||
Derivatives, Fair Value [Line Items] | ||
Derivative asset, Notional amount | 29,441 | 20,712 |
Derivative asset, Fair value | 172 | 159 |
Not Designated as Hedging Instrument [Member] | Other Assets [Member] | Interest Rate Swaps [Member] | Level 3 [Member] | ||
Derivatives, Fair Value [Line Items] | ||
Derivative asset, Notional amount | 15,455 | 8,667 |
Derivative asset, Fair value | 74 | 55 |
Not Designated as Hedging Instrument [Member] | Other Assets [Member] | Interest Rate Options [Member] | Level 2 [Member] | ||
Derivatives, Fair Value [Line Items] | ||
Derivative asset, Notional amount | 13,369 | 10,469 |
Derivative asset, Fair value | 33 | 26 |
Not Designated as Hedging Instrument [Member] | Other Assets [Member] | Foreign Currency Swaps [Member] | Level 2 [Member] | ||
Derivatives, Fair Value [Line Items] | ||
Derivative asset, Notional amount | 617 | 1,576 |
Derivative asset, Fair value | 65 | 78 |
Not Designated as Hedging Instrument [Member] | Other Liabilities [Member] | ||
Derivatives, Fair Value [Line Items] | ||
Derivative liability, Notional amount | 30,738 | 20,602 |
Derivative liability, Fair value | 103 | 64 |
Not Designated as Hedging Instrument [Member] | Other Liabilities [Member] | Interest Rate Swaps [Member] | Level 3 [Member] | ||
Derivatives, Fair Value [Line Items] | ||
Derivative liability, Notional amount | 14,225 | 8,337 |
Derivative liability, Fair value | 55 | 36 |
Not Designated as Hedging Instrument [Member] | Other Liabilities [Member] | Interest Rate Options [Member] | Level 2 [Member] | ||
Derivatives, Fair Value [Line Items] | ||
Derivative liability, Notional amount | 15,101 | 12,146 |
Derivative liability, Fair value | 33 | 26 |
Not Designated as Hedging Instrument [Member] | Other Liabilities [Member] | Foreign Currency Swaps [Member] | Level 2 [Member] | ||
Derivatives, Fair Value [Line Items] | ||
Derivative liability, Notional amount | 1,412 | 119 |
Derivative liability, Fair value | $ 15 | $ 2 |
Derivative Financial Instrume55
Derivative Financial Instruments And Hedging Activities - Derivatives Income (Losses) Recognized in Income (Details) - USD ($) $ in Millions | 3 Months Ended | |
Mar. 31, 2017 | Mar. 31, 2016 | |
Derivatives, Fair Value [Line Items] | ||
Total | $ (12) | $ 63 |
Increase (decrease) in fair value of interest rate contracts | 26 | 2 |
Increase (decrease) in fair value of hedged debt | 27 | 4 |
Cash Flow Hedging [Member] | ||
Derivatives, Fair Value [Line Items] | ||
Gains (Losses) Recognized In Accumulated Other Comprehensive Loss | (1) | 0 |
Gains (Losses) Reclassified From Accumulated Other Comprehensive Loss Into Income | (3) | 0 |
Cash Flow Hedging [Member] | Interest Rate Contract [Member] | ||
Derivatives, Fair Value [Line Items] | ||
Gains (Losses) Recognized In Accumulated Other Comprehensive Loss | 2 | 0 |
Gains (Losses) Reclassified From Accumulated Other Comprehensive Loss Into Income | 1 | 0 |
Cash Flow Hedging [Member] | Foreign Currency Contracts [Member] | ||
Derivatives, Fair Value [Line Items] | ||
Gains (Losses) Recognized In Accumulated Other Comprehensive Loss | (3) | 0 |
Gains (Losses) Reclassified From Accumulated Other Comprehensive Loss Into Income | (4) | 0 |
Designated as Hedging Instrument [Member] | Fair Value Hedging [Member] | Interest Rate Contract [Member] | ||
Derivatives, Fair Value [Line Items] | ||
Interest rate contracts | 11 | (6) |
Designated as Hedging Instrument [Member] | Cash Flow Hedging [Member] | Interest Rate Contract [Member] | ||
Derivatives, Fair Value [Line Items] | ||
Interest rate contracts | (2) | 0 |
Designated as Hedging Instrument [Member] | Cash Flow Hedging [Member] | Foreign Currency Contracts [Member] | ||
Derivatives, Fair Value [Line Items] | ||
Interest rate contracts | 6 | 0 |
Not Designated as Hedging Instrument [Member] | ||
Derivatives, Fair Value [Line Items] | ||
Interest rate contracts | (5) | 0 |
Foreign currency derivatives | $ (22) | $ 69 |
Commitments and Contingencies -
Commitments and Contingencies - Narrative (Details) - USD ($) | Mar. 31, 2017 | Dec. 31, 2016 |
Commitment and Contingencies [Line Items] | ||
Estimate of possible loss | $ 112,000,000 | |
Loss accrual | 37,000,000 | |
Indirect tax contingency | 37,000,000 | |
Senior Notes [Member] | ||
Commitment and Contingencies [Line Items] | ||
Debt instrument, face amount | $ 31,549,000,000 | $ 29,008,000,000 |
Income Taxes (Details)
Income Taxes (Details) - USD ($) $ in Millions | 3 Months Ended | |
Mar. 31, 2017 | Mar. 31, 2016 | |
Income Tax Disclosure [Abstract] | ||
Income tax (benefit) provision | $ 58 | $ 61 |
Segment Reporting - Narrative (
Segment Reporting - Narrative (Details) | 3 Months Ended |
Mar. 31, 2017segment | |
Segment Reporting [Abstract] | |
Number of operating segments | 2 |
Segment Reporting - Operations
Segment Reporting - Operations Reporting by Revenue (Details) - USD ($) $ in Millions | 3 Months Ended | |
Mar. 31, 2017 | Mar. 31, 2016 | |
Segment Reporting Information [Line Items] | ||
Total revenue | $ 2,879 | $ 2,075 |
Operating expenses | 392 | 334 |
Leased vehicle expenses | 1,438 | 893 |
Provision for loan losses | 217 | 196 |
Interest expense | 619 | 463 |
Equity income | 47 | 36 |
Income before income taxes | 260 | 225 |
Operating Segments [Member] | North America Segment [Member] | ||
Segment Reporting Information [Line Items] | ||
Total revenue | 2,474 | 1,688 |
Operating expenses | 248 | 201 |
Leased vehicle expenses | 1,426 | 888 |
Provision for loan losses | 187 | 177 |
Interest expense | 455 | 305 |
Equity income | 0 | 0 |
Income before income taxes | 158 | 117 |
Operating Segments [Member] | International Segment [Member] | ||
Segment Reporting Information [Line Items] | ||
Total revenue | 405 | 387 |
Operating expenses | 144 | 133 |
Leased vehicle expenses | 12 | 5 |
Provision for loan losses | 30 | 19 |
Interest expense | 164 | 157 |
Equity income | 47 | 36 |
Income before income taxes | 102 | 109 |
Corporate [Member] | ||
Segment Reporting Information [Line Items] | ||
Total revenue | 0 | (1) |
Operating expenses | 0 | 0 |
Leased vehicle expenses | 0 | 0 |
Provision for loan losses | 0 | 0 |
Interest expense | 0 | 0 |
Equity income | 0 | 0 |
Income before income taxes | 0 | (1) |
Eliminations [Member] | ||
Segment Reporting Information [Line Items] | ||
Total revenue | 0 | 1 |
Operating expenses | 0 | 0 |
Leased vehicle expenses | 0 | 0 |
Provision for loan losses | 0 | 0 |
Interest expense | 0 | 1 |
Equity income | 0 | 0 |
Income before income taxes | $ 0 | $ 0 |
Segment Reporting - Operation60
Segment Reporting - Operations Reporting by Assets (Details) - USD ($) $ in Millions | Mar. 31, 2017 | Dec. 31, 2016 |
Segment Reporting Information [Line Items] | ||
Finance receivables, net | $ 46,910 | $ 43,190 |
Leased vehicles, net | 37,302 | 34,526 |
Total assets | 94,540 | 87,765 |
North America Segment [Member] | ||
Segment Reporting Information [Line Items] | ||
Finance receivables, net | 30,618 | 27,617 |
Leased vehicles, net | 37,018 | 34,284 |
Total assets | 74,793 | 68,656 |
International Segment [Member] | ||
Segment Reporting Information [Line Items] | ||
Finance receivables, net | 16,292 | 15,573 |
Leased vehicles, net | 284 | 242 |
Total assets | $ 19,747 | $ 19,109 |
Accumulated Other Comprehensi61
Accumulated Other Comprehensive Loss (Details) - USD ($) $ in Millions | 3 Months Ended | |
Mar. 31, 2017 | Mar. 31, 2016 | |
Changes in Accumulated Other Comprehensive Income [Roll Forward] | ||
Beginning balance | $ 8,693 | |
Other comprehensive (loss) income, net of tax | 90 | $ 152 |
Ending balance | 8,992 | |
AOCI Attributable to Parent [Member] | ||
Changes in Accumulated Other Comprehensive Income [Roll Forward] | ||
Ending balance | (1,148) | (952) |
Unrealized Loss on Cash Flow Hedges [Member] | ||
Changes in Accumulated Other Comprehensive Income [Roll Forward] | ||
Beginning balance | 17 | 0 |
Other comprehensive (loss) income, net of tax | (4) | 0 |
Ending balance | 13 | 0 |
Defined Benefit Plans [Member] | ||
Changes in Accumulated Other Comprehensive Income [Roll Forward] | ||
Beginning balance | (20) | (13) |
Other comprehensive (loss) income, net of tax | 0 | (1) |
Ending balance | (20) | (14) |
Foreign Currency Translation Adjustment [Member] | ||
Changes in Accumulated Other Comprehensive Income [Roll Forward] | ||
Beginning balance | (1,235) | (1,091) |
Other comprehensive (loss) income, net of tax | 94 | 153 |
Ending balance | $ (1,141) | $ (938) |
Regulatory Capital (Details)
Regulatory Capital (Details) - USD ($) $ in Millions | Mar. 31, 2017 | Dec. 31, 2016 |
Capital Requirements on Foreign Financial Institutions [Line Items] | ||
Assets | $ 94,540 | $ 87,765 |
International Regulated Bank And Finance Companies [Member] | ||
Capital Requirements on Foreign Financial Institutions [Line Items] | ||
Assets | $ 13,100 | $ 12,600 |
Guarantor Condensed Consolida63
Guarantor Condensed Consolidating Financial Statements - Current Period Guarantor Balance Sheet (Details) - USD ($) $ in Millions | Mar. 31, 2017 | Dec. 31, 2016 |
Condensed Balance Sheet Statements, Captions [Line Items] | ||
Cash and cash equivalents | $ 2,694 | $ 3,201 |
Finance receivables, net | 46,910 | 43,190 |
Leased vehicles, net | 37,302 | 34,526 |
Goodwill | 1,200 | 1,196 |
Equity in net assets of non-consolidated affiliates (Note 6) | 998 | 944 |
Property and equipment, net | 291 | 279 |
Deferred income taxes | 284 | 274 |
Related party receivables (Note 3) | 617 | 510 |
Other assets (Note 8 VIEs) | 4,244 | 3,645 |
Due from affiliates | 0 | 0 |
Investment in affiliates | 0 | 0 |
Total assets | 94,540 | 87,765 |
Secured debt (Note 7; Note 8 VIEs) | 42,579 | 39,270 |
Unsecured debt (Note 7) | 37,370 | 34,606 |
Accounts payable and accrued expenses | 1,501 | 1,474 |
Deferred income | 2,588 | 2,365 |
Deferred income taxes | 259 | 220 |
Related party payables (Note 3) | 448 | 400 |
Other liabilities | 803 | 737 |
Due to affiliates | 0 | 0 |
Total liabilities | 85,548 | 79,072 |
Common stock | 0 | 0 |
Additional paid-in capital | 6,512 | 6,505 |
Accumulated other comprehensive loss (Note 13) | (1,148) | (1,238) |
Retained earnings | 3,628 | 3,426 |
Total shareholder's equity | 8,992 | 8,693 |
Total liabilities and shareholder's equity | 94,540 | 87,765 |
Parent Company [Member] | ||
Condensed Balance Sheet Statements, Captions [Line Items] | ||
Cash and cash equivalents | 0 | 0 |
Finance receivables, net | 0 | 0 |
Leased vehicles, net | 0 | 0 |
Goodwill | 1,095 | 1,095 |
Equity in net assets of non-consolidated affiliates (Note 6) | 0 | 0 |
Property and equipment, net | 0 | 0 |
Deferred income taxes | 613 | 502 |
Related party receivables (Note 3) | 0 | 0 |
Other assets (Note 8 VIEs) | 3 | 4 |
Due from affiliates | 26,778 | 24,548 |
Investment in affiliates | 9,401 | 8,986 |
Total assets | 37,890 | 35,135 |
Secured debt (Note 7; Note 8 VIEs) | 0 | 0 |
Unsecured debt (Note 7) | 28,573 | 26,076 |
Accounts payable and accrued expenses | 261 | 302 |
Deferred income | 0 | 0 |
Deferred income taxes | 0 | 0 |
Related party payables (Note 3) | 1 | 1 |
Other liabilities | 63 | 63 |
Due to affiliates | 0 | 0 |
Total liabilities | 28,898 | 26,442 |
Common stock | 0 | 0 |
Additional paid-in capital | 6,512 | 6,505 |
Accumulated other comprehensive loss (Note 13) | (1,148) | (1,238) |
Retained earnings | 3,628 | 3,426 |
Total shareholder's equity | 8,992 | 8,693 |
Total liabilities and shareholder's equity | 37,890 | 35,135 |
Guarantor [Member] | ||
Condensed Balance Sheet Statements, Captions [Line Items] | ||
Cash and cash equivalents | 2,040 | 2,284 |
Finance receivables, net | 7,516 | 4,969 |
Leased vehicles, net | 0 | 0 |
Goodwill | 0 | 0 |
Equity in net assets of non-consolidated affiliates (Note 6) | 0 | 0 |
Property and equipment, net | 163 | 152 |
Deferred income taxes | 75 | 89 |
Related party receivables (Note 3) | 73 | 25 |
Other assets (Note 8 VIEs) | 746 | 643 |
Due from affiliates | 15,992 | 16,065 |
Investment in affiliates | 5,971 | 6,445 |
Total assets | 32,576 | 30,672 |
Secured debt (Note 7; Note 8 VIEs) | 0 | 0 |
Unsecured debt (Note 7) | 0 | 0 |
Accounts payable and accrued expenses | 330 | 273 |
Deferred income | 0 | 0 |
Deferred income taxes | 0 | 0 |
Related party payables (Note 3) | 0 | 0 |
Other liabilities | 476 | 417 |
Due to affiliates | 25,977 | 24,437 |
Total liabilities | 26,783 | 25,127 |
Common stock | 0 | 0 |
Additional paid-in capital | 79 | 79 |
Accumulated other comprehensive loss (Note 13) | (157) | (161) |
Retained earnings | 5,871 | 5,627 |
Total shareholder's equity | 5,793 | 5,545 |
Total liabilities and shareholder's equity | 32,576 | 30,672 |
Non-Guarantors [Member] | ||
Condensed Balance Sheet Statements, Captions [Line Items] | ||
Cash and cash equivalents | 654 | 917 |
Finance receivables, net | 39,394 | 38,221 |
Leased vehicles, net | 37,302 | 34,526 |
Goodwill | 105 | 101 |
Equity in net assets of non-consolidated affiliates (Note 6) | 998 | 944 |
Property and equipment, net | 128 | 127 |
Deferred income taxes | 284 | 274 |
Related party receivables (Note 3) | 544 | 485 |
Other assets (Note 8 VIEs) | 3,743 | 3,167 |
Due from affiliates | 0 | 0 |
Investment in affiliates | 0 | 0 |
Total assets | 83,152 | 78,762 |
Secured debt (Note 7; Note 8 VIEs) | 42,827 | 39,439 |
Unsecured debt (Note 7) | 8,797 | 8,530 |
Accounts payable and accrued expenses | 910 | 899 |
Deferred income | 2,588 | 2,365 |
Deferred income taxes | 947 | 811 |
Related party payables (Note 3) | 447 | 399 |
Other liabilities | 264 | 257 |
Due to affiliates | 16,793 | 16,176 |
Total liabilities | 73,573 | 68,876 |
Common stock | 698 | 698 |
Additional paid-in capital | 4,652 | 5,345 |
Accumulated other comprehensive loss (Note 13) | (1,123) | (1,223) |
Retained earnings | 5,352 | 5,066 |
Total shareholder's equity | 9,579 | 9,886 |
Total liabilities and shareholder's equity | 83,152 | 78,762 |
Eliminations [Member] | ||
Condensed Balance Sheet Statements, Captions [Line Items] | ||
Cash and cash equivalents | 0 | 0 |
Finance receivables, net | 0 | 0 |
Leased vehicles, net | 0 | 0 |
Goodwill | 0 | 0 |
Equity in net assets of non-consolidated affiliates (Note 6) | 0 | 0 |
Property and equipment, net | 0 | 0 |
Deferred income taxes | (688) | (591) |
Related party receivables (Note 3) | 0 | 0 |
Other assets (Note 8 VIEs) | (248) | (169) |
Due from affiliates | (42,770) | (40,613) |
Investment in affiliates | (15,372) | (15,431) |
Total assets | (59,078) | (56,804) |
Secured debt (Note 7; Note 8 VIEs) | (248) | (169) |
Unsecured debt (Note 7) | 0 | 0 |
Accounts payable and accrued expenses | 0 | 0 |
Deferred income | 0 | 0 |
Deferred income taxes | (688) | (591) |
Related party payables (Note 3) | 0 | 0 |
Other liabilities | 0 | 0 |
Due to affiliates | (42,770) | (40,613) |
Total liabilities | (43,706) | (41,373) |
Common stock | (698) | (698) |
Additional paid-in capital | (4,731) | (5,424) |
Accumulated other comprehensive loss (Note 13) | 1,280 | 1,384 |
Retained earnings | (11,223) | (10,693) |
Total shareholder's equity | (15,372) | (15,431) |
Total liabilities and shareholder's equity | $ (59,078) | $ (56,804) |
Guarantor Condensed Consolida64
Guarantor Condensed Consolidating Financial Statements - Guarantor Income Statements (Details) - USD ($) $ in Millions | 3 Months Ended | |
Mar. 31, 2017 | Mar. 31, 2016 | |
Condensed Income Statements, Captions [Line Items] | ||
Finance charge income | $ 862 | $ 818 |
Leased vehicle income | 1,942 | 1,184 |
Other income | 75 | 73 |
Total revenue | 2,879 | 2,075 |
Salaries and benefits | 229 | 193 |
Other operating expenses | 163 | 141 |
Total operating expenses | 392 | 334 |
Leased vehicle expenses | 1,438 | 893 |
Provision for loan losses | 217 | 196 |
Interest expense | 619 | 463 |
Total costs and expenses | 2,666 | 1,886 |
Equity income | 47 | 36 |
Income before income taxes | 260 | 225 |
Income tax (benefit) provision | 58 | 61 |
Net income | 202 | 164 |
Comprehensive income | 292 | 316 |
Parent Company [Member] | ||
Condensed Income Statements, Captions [Line Items] | ||
Finance charge income | 0 | 0 |
Leased vehicle income | 0 | 0 |
Other income | 0 | (1) |
Total revenue | 0 | (1) |
Salaries and benefits | 0 | 0 |
Other operating expenses | 7 | (4) |
Total operating expenses | 7 | (4) |
Leased vehicle expenses | 0 | 0 |
Provision for loan losses | 0 | 0 |
Interest expense | 235 | 176 |
Total costs and expenses | 242 | 172 |
Equity income | 315 | 255 |
Income before income taxes | 73 | 82 |
Income tax (benefit) provision | (129) | (82) |
Net income | 202 | 164 |
Comprehensive income | 292 | 316 |
Guarantor [Member] | ||
Condensed Income Statements, Captions [Line Items] | ||
Finance charge income | 95 | 99 |
Leased vehicle income | 0 | 0 |
Other income | 273 | 205 |
Total revenue | 368 | 304 |
Salaries and benefits | 163 | 135 |
Other operating expenses | 44 | 68 |
Total operating expenses | 207 | 203 |
Leased vehicle expenses | 0 | 0 |
Provision for loan losses | 73 | 103 |
Interest expense | 33 | (30) |
Total costs and expenses | 313 | 276 |
Equity income | 215 | 168 |
Income before income taxes | 270 | 196 |
Income tax (benefit) provision | 26 | 12 |
Net income | 244 | 184 |
Comprehensive income | 248 | 223 |
Non-Guarantors [Member] | ||
Condensed Income Statements, Captions [Line Items] | ||
Finance charge income | 767 | 719 |
Leased vehicle income | 1,942 | 1,184 |
Other income | 1 | 15 |
Total revenue | 2,710 | 1,918 |
Salaries and benefits | 66 | 58 |
Other operating expenses | 222 | 170 |
Total operating expenses | 288 | 228 |
Leased vehicle expenses | 1,438 | 893 |
Provision for loan losses | 144 | 93 |
Interest expense | 440 | 370 |
Total costs and expenses | 2,310 | 1,584 |
Equity income | 47 | 36 |
Income before income taxes | 447 | 370 |
Income tax (benefit) provision | 161 | 131 |
Net income | 286 | 239 |
Comprehensive income | 386 | 398 |
Eliminations [Member] | ||
Condensed Income Statements, Captions [Line Items] | ||
Finance charge income | 0 | 0 |
Leased vehicle income | 0 | 0 |
Other income | (199) | (146) |
Total revenue | (199) | (146) |
Salaries and benefits | 0 | 0 |
Other operating expenses | (110) | (93) |
Total operating expenses | (110) | (93) |
Leased vehicle expenses | 0 | 0 |
Provision for loan losses | 0 | 0 |
Interest expense | (89) | (53) |
Total costs and expenses | (199) | (146) |
Equity income | (530) | (423) |
Income before income taxes | (530) | (423) |
Income tax (benefit) provision | 0 | 0 |
Net income | (530) | (423) |
Comprehensive income | $ (634) | $ (621) |
Guarantor Condensed Consolida65
Guarantor Condensed Consolidating Financial Statements - Guarantor Cash Flows (Details) - USD ($) $ in Millions | 3 Months Ended | |||
Mar. 31, 2017 | Mar. 31, 2016 | Mar. 31, 2017 | Dec. 31, 2016 | |
Condensed Cash Flow Statements, Captions [Line Items] | ||||
Net cash provided by operating activities | $ 1,416 | $ 1,158 | ||
Cash flows from investing activities | ||||
Purchases of retail finance receivables, net | (6,401) | (4,165) | ||
Principal collections and recoveries on retail finance receivables | 3,595 | 3,271 | ||
Proceeds from transfer of retail finance receivables, net | 0 | 0 | ||
Net funding of commercial finance receivables | (541) | (1,024) | ||
Purchases of leased vehicles, net | (4,794) | (5,158) | ||
Proceeds from termination of leased vehicles | 1,082 | 481 | ||
Purchases of property and equipment | (24) | (20) | ||
Other investing activities | 0 | 1 | ||
Net change in due from affiliates | 0 | 0 | ||
Net change in investment in affiliates | 0 | 0 | ||
Net cash used in investing activities | (7,083) | (6,614) | ||
Cash flows from financing activities | ||||
Net change in debt (original maturities less than three months) | (268) | 757 | ||
Borrowings and issuance of secured debt | 8,361 | 7,054 | ||
Payments on secured debt | (4,805) | (5,251) | ||
Borrowings and issuance of unsecured debt | 2,968 | 3,131 | ||
Payments on unsecured debt | (574) | (241) | ||
Debt issuance costs | (27) | (26) | ||
Net capital contributions | 0 | 0 | ||
Net change in due to affiliates | 0 | 0 | ||
Net cash provided by financing activities | 5,655 | 5,424 | ||
Net decrease in cash, cash equivalents and restricted cash | (12) | (32) | ||
Effect of foreign exchange rate changes on cash, cash equivalents and restricted cash | 37 | 58 | ||
Cash, cash equivalents and restricted cash at beginning of period | 5,302 | 5,002 | ||
Cash, cash equivalents and restricted cash at end of period | 5,327 | 5,028 | ||
Supplemental Cash Flow Elements [Abstract] | ||||
Cash and cash equivalents | $ 2,694 | $ 3,201 | ||
Restricted cash included in other assets | 2,633 | |||
Total | 5,302 | 5,002 | 5,327 | 5,302 |
Parent Company [Member] | ||||
Condensed Cash Flow Statements, Captions [Line Items] | ||||
Net cash provided by operating activities | (273) | (144) | ||
Cash flows from investing activities | ||||
Purchases of retail finance receivables, net | 0 | 0 | ||
Principal collections and recoveries on retail finance receivables | 0 | 0 | ||
Proceeds from transfer of retail finance receivables, net | 0 | 0 | ||
Net funding of commercial finance receivables | 0 | 0 | ||
Purchases of leased vehicles, net | 0 | 0 | ||
Proceeds from termination of leased vehicles | 0 | 0 | ||
Purchases of property and equipment | 0 | 0 | ||
Other investing activities | 0 | 0 | ||
Net change in due from affiliates | (2,230) | (2,587) | ||
Net change in investment in affiliates | 0 | 0 | ||
Net cash used in investing activities | (2,230) | (2,587) | ||
Cash flows from financing activities | ||||
Net change in debt (original maturities less than three months) | 17 | 0 | ||
Borrowings and issuance of secured debt | 0 | 0 | ||
Payments on secured debt | 0 | 0 | ||
Borrowings and issuance of unsecured debt | 2,497 | 2,744 | ||
Payments on unsecured debt | 0 | 0 | ||
Debt issuance costs | (11) | (13) | ||
Net capital contributions | 0 | 0 | ||
Net change in due to affiliates | 0 | 0 | ||
Net cash provided by financing activities | 2,503 | 2,731 | ||
Net decrease in cash, cash equivalents and restricted cash | 0 | 0 | ||
Effect of foreign exchange rate changes on cash, cash equivalents and restricted cash | 0 | 0 | ||
Cash, cash equivalents and restricted cash at beginning of period | 0 | 0 | ||
Cash, cash equivalents and restricted cash at end of period | 0 | 0 | ||
Supplemental Cash Flow Elements [Abstract] | ||||
Cash and cash equivalents | 0 | 0 | ||
Restricted cash included in other assets | 0 | |||
Total | 0 | 0 | 0 | 0 |
Guarantor [Member] | ||||
Condensed Cash Flow Statements, Captions [Line Items] | ||||
Net cash provided by operating activities | 103 | (537) | ||
Cash flows from investing activities | ||||
Purchases of retail finance receivables, net | (4,920) | (4,466) | ||
Principal collections and recoveries on retail finance receivables | 450 | 359 | ||
Proceeds from transfer of retail finance receivables, net | 2,095 | 2,866 | ||
Net funding of commercial finance receivables | (194) | (227) | ||
Purchases of leased vehicles, net | 0 | 0 | ||
Proceeds from termination of leased vehicles | 0 | 0 | ||
Purchases of property and equipment | (19) | (15) | ||
Other investing activities | (79) | (60) | ||
Net change in due from affiliates | 80 | (1,208) | ||
Net change in investment in affiliates | 694 | 336 | ||
Net cash used in investing activities | (1,893) | (2,415) | ||
Cash flows from financing activities | ||||
Net change in debt (original maturities less than three months) | 0 | 0 | ||
Borrowings and issuance of secured debt | 0 | 0 | ||
Payments on secured debt | 0 | 0 | ||
Borrowings and issuance of unsecured debt | 0 | 0 | ||
Payments on unsecured debt | 0 | 0 | ||
Debt issuance costs | 0 | 0 | ||
Net capital contributions | 0 | 0 | ||
Net change in due to affiliates | 1,546 | 2,732 | ||
Net cash provided by financing activities | 1,546 | 2,732 | ||
Net decrease in cash, cash equivalents and restricted cash | (244) | (220) | ||
Effect of foreign exchange rate changes on cash, cash equivalents and restricted cash | 0 | 0 | ||
Cash, cash equivalents and restricted cash at beginning of period | 2,284 | 2,319 | ||
Cash, cash equivalents and restricted cash at end of period | 2,040 | 2,099 | ||
Supplemental Cash Flow Elements [Abstract] | ||||
Cash and cash equivalents | 2,040 | 2,284 | ||
Restricted cash included in other assets | 0 | |||
Total | 2,284 | 2,319 | 2,040 | 2,284 |
Non-Guarantors [Member] | ||||
Condensed Cash Flow Statements, Captions [Line Items] | ||||
Net cash provided by operating activities | 1,586 | 1,839 | ||
Cash flows from investing activities | ||||
Purchases of retail finance receivables, net | (3,850) | (4,388) | ||
Principal collections and recoveries on retail finance receivables | 3,145 | 2,912 | ||
Proceeds from transfer of retail finance receivables, net | 274 | 1,823 | ||
Net funding of commercial finance receivables | (347) | (797) | ||
Purchases of leased vehicles, net | (4,794) | (5,158) | ||
Proceeds from termination of leased vehicles | 1,082 | 481 | ||
Purchases of property and equipment | (5) | (5) | ||
Other investing activities | 1 | |||
Net change in due from affiliates | 0 | 0 | ||
Net change in investment in affiliates | 0 | 0 | ||
Net cash used in investing activities | (4,495) | (5,131) | ||
Cash flows from financing activities | ||||
Net change in debt (original maturities less than three months) | (285) | 757 | ||
Borrowings and issuance of secured debt | 8,440 | 7,114 | ||
Payments on secured debt | (4,805) | (5,251) | ||
Borrowings and issuance of unsecured debt | 471 | 387 | ||
Payments on unsecured debt | (574) | (241) | ||
Debt issuance costs | (16) | (13) | ||
Net capital contributions | (694) | (336) | ||
Net change in due to affiliates | 604 | 1,063 | ||
Net cash provided by financing activities | 3,141 | 3,480 | ||
Net decrease in cash, cash equivalents and restricted cash | 232 | 188 | ||
Effect of foreign exchange rate changes on cash, cash equivalents and restricted cash | 37 | 58 | ||
Cash, cash equivalents and restricted cash at beginning of period | 3,018 | 2,683 | ||
Cash, cash equivalents and restricted cash at end of period | 3,287 | 2,929 | ||
Supplemental Cash Flow Elements [Abstract] | ||||
Cash and cash equivalents | 654 | 917 | ||
Total | 3,018 | 2,683 | 3,287 | 3,018 |
Eliminations [Member] | ||||
Condensed Cash Flow Statements, Captions [Line Items] | ||||
Net cash provided by operating activities | 0 | 0 | ||
Cash flows from investing activities | ||||
Purchases of retail finance receivables, net | 2,369 | 4,689 | ||
Principal collections and recoveries on retail finance receivables | 0 | 0 | ||
Proceeds from transfer of retail finance receivables, net | (2,369) | (4,689) | ||
Net funding of commercial finance receivables | 0 | 0 | ||
Purchases of leased vehicles, net | 0 | 0 | ||
Proceeds from termination of leased vehicles | 0 | 0 | ||
Purchases of property and equipment | 0 | 0 | ||
Other investing activities | 79 | 60 | ||
Net change in due from affiliates | 2,150 | 3,795 | ||
Net change in investment in affiliates | (694) | (336) | ||
Net cash used in investing activities | 1,535 | 3,519 | ||
Cash flows from financing activities | ||||
Net change in debt (original maturities less than three months) | 0 | 0 | ||
Borrowings and issuance of secured debt | (79) | (60) | ||
Payments on secured debt | 0 | 0 | ||
Borrowings and issuance of unsecured debt | 0 | 0 | ||
Payments on unsecured debt | 0 | 0 | ||
Debt issuance costs | 0 | 0 | ||
Net capital contributions | 694 | 336 | ||
Net change in due to affiliates | (2,150) | (3,795) | ||
Net cash provided by financing activities | (1,535) | (3,519) | ||
Net decrease in cash, cash equivalents and restricted cash | 0 | 0 | ||
Effect of foreign exchange rate changes on cash, cash equivalents and restricted cash | 0 | 0 | ||
Cash, cash equivalents and restricted cash at beginning of period | 0 | 0 | ||
Cash, cash equivalents and restricted cash at end of period | 0 | 0 | ||
Supplemental Cash Flow Elements [Abstract] | ||||
Cash and cash equivalents | 0 | 0 | ||
Restricted cash included in other assets | 0 | |||
Total | $ 0 | $ 0 | $ 0 | $ 0 |