Document and Entity Information
Document and Entity Information - shares | 9 Months Ended | |
Sep. 30, 2017 | Oct. 23, 2017 | |
Document and Entity Information [Abstract] | ||
Document Type | 10-Q | |
Amendment Flag | false | |
Document Period End Date | Sep. 30, 2017 | |
Document Fiscal Year Focus | 2,017 | |
Document Fiscal Period Focus | Q3 | |
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 | 5,050,000 |
Condensed Consolidated Balance
Condensed Consolidated Balance Sheets - USD ($) $ in Millions | Sep. 30, 2017 | Dec. 31, 2016 |
Assets | ||
Cash and cash equivalents | $ 3,976 | $ 2,815 |
Finance receivables, net (Note 4; Note 8 VIEs) | 40,864 | 33,475 |
Leased vehicles, net (Note 5; Note 8 VIEs) | 41,775 | 34,342 |
Goodwill | 1,201 | 1,196 |
Equity in net assets of non-consolidated affiliate (Note 6) | 1,119 | 944 |
Related party receivables (Note 3) | 339 | 347 |
Other assets (Note 8 VIEs) | 4,767 | 3,695 |
Assets held for sale (Note 2) | 12,094 | 10,951 |
Total assets | 106,135 | 87,765 |
Liabilities | ||
Secured debt (Note 7; Note 8 VIEs) | 40,775 | 35,087 |
Unsecured debt (Note 7) | 38,263 | 29,476 |
Deferred income | 3,066 | 2,355 |
Related party payables (Note 3) | 253 | 320 |
Other liabilities | 2,449 | 2,141 |
Liabilities held for sale (Note 2) | 10,858 | 9,693 |
Total liabilities | 95,664 | 79,072 |
Commitments and contingencies (Note 10) | ||
Shareholders' equity | ||
Common stock, $0.0001 par value per share, 10,000,000 shares authorized and 5,050,000 shares issued (Note 11) | 0 | 0 |
Preferred stock, $0.01 par value per share, 250,000,000 shares authorized and 1,000,000 shares issued (Note 11) | 0 | 0 |
Additional paid-in capital | 7,514 | 6,505 |
Accumulated other comprehensive loss (Note 14) | (935) | (1,238) |
Retained earnings | 3,892 | 3,426 |
Total shareholders' equity | 10,471 | 8,693 |
Total liabilities and shareholders' equity | $ 106,135 | $ 87,765 |
Condensed Consolidated Balance3
Condensed Consolidated Balance Sheets (Parentheticals) - $ / shares | Sep. 30, 2017 | Dec. 31, 2016 |
Common Stock, Number of Shares, Par Value and Other Disclosures [Abstract] | ||
Common stock par value per share (in dollars per share) | $ 0.0001 | $ 0.0001 |
Common stock, shares authorized | 10,000,000 | 10,000,000 |
Common stock, shares issued | 5,050,000 | 5,050,000 |
Preferred stock par value (in dollars per share) | $ 0.01 | $ 0.01 |
Preferred stock, shares authorized | 250,000,000,000,000 | 250,000,000,000,000 |
Preferred stock, shares issued | 1,000,000,000,000 | 1,000,000,000,000 |
Condensed Consolidated Statemen
Condensed Consolidated Statements Of Comprehensive Income Statement - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2017 | Sep. 30, 2016 | Sep. 30, 2017 | Sep. 30, 2016 | |
Statement of Comprehensive Income [Abstract] | ||||
Net income | $ 202 | $ 147 | $ 466 | $ 500 |
Other comprehensive income (loss), net of tax | ||||
Unrealized loss on cash flow hedges, net of income tax benefit of $2, $1, $10 and $3 | (3) | (1) | (14) | (5) |
Defined benefit plans, net of income tax | 0 | 0 | (1) | 0 |
Foreign currency translation adjustment, net of income tax expense of $21, $0, $30 and $0 | 120 | (10) | 318 | 60 |
Other comprehensive income (loss), net of tax | 117 | (11) | 303 | 55 |
Comprehensive income | $ 319 | $ 136 | $ 769 | $ 555 |
Condensed Consolidated Stateme5
Condensed Consolidated Statements Of Income - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2017 | Sep. 30, 2016 | Sep. 30, 2017 | Sep. 30, 2016 | |
Revenue | ||||
Finance charge income | $ 837 | $ 721 | $ 2,401 | $ 2,110 |
Leased vehicle income | 2,244 | 1,582 | 6,282 | 4,144 |
Other income | 80 | 57 | 216 | 175 |
Total revenue | 3,161 | 2,360 | 8,899 | 6,429 |
Costs and expenses | ||||
Salaries and benefits | 224 | 195 | 621 | 536 |
Other operating expenses | 122 | 132 | 388 | 360 |
Total operating expenses | 346 | 327 | 1,009 | 896 |
Leased vehicle expenses | 1,670 | 1,197 | 4,648 | 3,148 |
Provision for loan losses | 204 | 167 | 573 | 501 |
Interest expense | 672 | 511 | 1,903 | 1,393 |
Total costs and expenses | 2,892 | 2,202 | 8,133 | 5,938 |
Equity income (Note 6) | 41 | 36 | 129 | 109 |
Income from continuing operations before income taxes | 310 | 194 | 895 | 600 |
Income tax provision (Note 12) | 124 | 60 | 260 | 185 |
Income from continuing operations | 186 | 134 | 635 | 415 |
Income (loss) from discontinued operations, net of tax (Note 2) | 16 | 13 | (169) | 85 |
Net income | 202 | 147 | 466 | 500 |
Net income attributable to common shareholder | $ 200 | $ 147 | $ 464 | $ 500 |
Condensed Consolidated Stateme6
Condensed Consolidated Statements Of Comprehensive Income (Parentheticals) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2017 | Sep. 30, 2016 | Sep. 30, 2017 | Sep. 30, 2016 | |
Income Statement [Abstract] | ||||
Change in value of cash flow hedges, tax expense (benefit) | $ (2) | $ (1) | $ (10) | $ (3) |
Translation income (loss), tax | $ 21 | $ 0 | $ 30 | $ 0 |
Condensed Consolidated Stateme7
Condensed Consolidated Statements Of Cash Flows - USD ($) $ in Millions | 9 Months Ended | |
Sep. 30, 2017 | Sep. 30, 2016 | |
Net cash provided by operating activities - continuing operations | $ 4,795 | $ 3,566 |
Net cash provided by operating activities - discontinued operations | 243 | 290 |
Net cash provided by operating activities | 5,038 | 3,856 |
Cash flows from investing activities | ||
Purchases of retail finance receivables, net | (15,267) | (10,408) |
Principal collections and recoveries on retail finance receivables | 9,410 | 7,368 |
Net funding of commercial finance receivables | (1,557) | (1,145) |
Purchases of leased vehicles, net | (14,809) | (14,939) |
Proceeds from termination of leased vehicles | 4,649 | 1,799 |
Other investing activities | (65) | (59) |
Net cash used in investing activities - continuing operations | (17,639) | (17,384) |
Net cash used in investing activities - discontinued operations | (468) | (949) |
Net cash used in investing activities | (18,107) | (18,333) |
Cash flows from financing activities | ||
Net change in debt (original maturities less than three months) | (305) | (301) |
Borrowings and issuance of secured debt | 26,731 | 18,420 |
Payments on secured debt | (20,905) | (12,525) |
Borrowings and issuance of unsecured debt | 12,626 | 10,358 |
Payments on unsecured debt | (4,375) | (2,345) |
Debt issuance costs | (131) | (112) |
Proceeds from issuance of preferred stock | 985 | 0 |
Net cash provided by financing activities - continuing operations | 14,626 | 13,495 |
Net cash provided by financing activities - discontinued operations | 63 | 601 |
Net cash provided by financing activities | 14,689 | 14,096 |
Net increase (decrease) in cash, cash equivalents and restricted cash | 1,620 | (381) |
Effect of foreign exchange rate changes on cash, cash equivalents and restricted cash | 112 | 22 |
Cash, cash equivalents and restricted cash at beginning of period | 5,302 | 5,002 |
Cash, cash equivalents and restricted cash at end of period | 7,034 | 4,643 |
Supplemental Cash Flow Elements [Abstract] | ||
Total | 5,302 | 5,002 |
Continuing Operations [Member] | ||
Cash flows from financing activities | ||
Cash, cash equivalents and restricted cash at end of period | 6,469 | 3,918 |
Supplemental Cash Flow Elements [Abstract] | ||
Total | 6,469 | 3,918 |
Discontinued Operations [Member] | ||
Cash flows from financing activities | ||
Cash, cash equivalents and restricted cash at end of period | 565 | 725 |
Supplemental Cash Flow Elements [Abstract] | ||
Total | $ 565 | $ 725 |
Summary of Significant Accounti
Summary of Significant Accounting Policies | 9 Months Ended |
Sep. 30, 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). 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, General Motors Company (GM). All intercompany transactions and balances have been eliminated in consolidation. Our operations in Europe are presented as discontinued operations, and the related assets and liabilities are presented as held for sale in our condensed consolidated financial statements for all periods presented. Unless otherwise indicated, information in these notes to the condensed consolidated financial statements relates to continuing operations. Refer to Note 2 - "Discontinued Operations" for additional details regarding our planned disposal of these operations. The 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 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 September 30, 2017 , and for the three and nine months ended September 30, 2017 and 2016 , are unaudited and, in management’s opinion, include all adjustments, which consist of normal recurring adjustments and transactions or events discretely impacting the interim periods, considered necessary by management to fairly state our results of operations. The results for interim periods are not necessarily indicative of results for a full year. In August 2017, the Financial Accounting Standards Board (FASB) issued Accounting Standard Update 2017-12, "Derivatives and Hedging (Topic 815): Targeted Improvements to Accounting for Hedging Activities" (ASU 2017-12), which simplifies the application of hedge accounting and more closely aligns hedge accounting with companies' risk management strategies thereby making more hedging strategies eligible for hedge accounting. ASU 2017-12 is effective for fiscal years beginning after December 15, 2018, and interim periods within those fiscal years, with early adoption permitted. ASU 2017-12 requires a cumulative-effect adjustment for certain items upon adoption. We are currently evaluating the impact the adoption of ASU 2017-12 will have on our consolidated financial statements. Segment Information We are the wholly-owned captive finance subsidiary of 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 Brazil, Chile, Colombia, Mexico and Peru as well as our equity investment in SAIC-GMAC Automotive Finance Company Limited (SAIC-GMAC), a joint venture that conducts auto finance operations in China. |
Discontinued Operations
Discontinued Operations | 9 Months Ended |
Sep. 30, 2017 | |
Discontinued Operations and Disposal Groups [Abstract] | |
Discontinued Operations | Discontinued Operations 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. Pursuant to the Agreement, Peugeot S.A. acquired on July 31, 2017 GM’s Opel and Vauxhall businesses and certain other assets in Europe (the Opel/Vauxhall Business) and will acquire, together with a financial partner, certain of our European financial subsidiaries and branches (collectively, our European Operations and, together with Opel/Vauxhall Business, GM's European Business). The transfer of our European Operations is expected to close by the end of the year subject to the receipt of the necessary regulatory approvals and satisfaction of other closing conditions. The net consideration to be paid for our European Operations will be 0.8 times their book value at closing. Based on exchange rates at September 30, 2017, we estimate the net consideration will be approximately $1.1 billion , and we currently expect to recognize a disposal loss of approximately $500 million , subject to foreign currency fluctuations, which have had a favorable impact on the estimated loss. The purchase price is subject to certain adjustments as provided in the Agreement. During the nine months ended September 30, 2017, we recognized a portion of the disposal loss in accordance with ASC 360 - "Property, Plant and Equipment." We expect to recognize the remainder of the disposal loss at the closing of the transaction. The following table summarizes the assets and liabilities held for sale: September 30, 2017 December 31, 2016 ASSETS Cash and cash equivalents $ 242 $ 386 Finance receivables, net 11,303 9,715 Related party receivables — 163 Other assets 549 687 Total assets held for sale $ 12,094 $ 10,951 LIABILITIES Secured debt $ 4,872 $ 4,183 Unsecured debt 5,469 5,130 Related party payables — 80 Other liabilities 517 300 Total liabilities held for sale $ 10,858 $ 9,693 The following table summarizes the results of operations for the discontinued operations: Three Months Ended September 30, Nine Months Ended September 30, 2017 2016 2017 2016 Total revenue $ 148 $ 138 $ 422 $ 436 Interest expense 24 30 70 112 Other expenses 75 74 231 205 Total costs and expenses 99 104 301 317 Income from discontinued operations before income taxes 49 34 121 119 Loss on sale of discontinued operations before income taxes 38 — 374 — Income (loss) from discontinued operations before income taxes 11 34 (253 ) 119 Income tax (benefit) provision (5 ) 21 (84 ) 34 Income (loss) from discontinued operations, net of tax $ 16 $ 13 $ (169 ) $ 85 |
Related Party Transactions
Related Party Transactions | 9 Months Ended |
Sep. 30, 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 vehicles manufactured by GM and certain used vehicles 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. 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-financing 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 September 30, 2017 December 31, 2016 Commercial finance receivables, net due from dealers consolidated by GM (a) $ 349 $ 347 Direct-financing lease receivables from Maven (a) $ 96 $ — Subvention receivable (b) $ 338 $ 347 Commercial loan funding payable (c) $ 251 $ 320 Three Months Ended September 30, Nine Months Ended September 30, Income Statement Data 2017 2016 2017 2016 Interest subvention earned on retail finance receivables (d) $ 115 $ 90 $ 319 $ 245 Interest subvention earned on commercial finance receivables (d) $ 14 $ 13 $ 42 $ 35 Leased vehicle subvention earned (e) $ 786 $ 591 $ 2,246 $ 1,588 _________________ (a) Included in finance receivables, net. (b) Included in related party receivables. We received subvention payments from GM of $1.1 billion and $1.0 billion for the three months ended September 30, 2017 and 2016 , and $3.3 billion and $3.2 billion for the nine months ended September 30, 2017 and 2016 . (c) Included in related party payables. (d) Included in finance charge income. (e) 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 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 September 30, 2017 and December 31, 2016 , there are no related party taxes payable to GM due to our taxable loss position. |
Finance Receivables
Finance Receivables | 9 Months Ended |
Sep. 30, 2017 | |
Accounts, Notes, Loans and Financing Receivable, Gross, Allowance, and Net [Abstract] | |
Finance Receivables | Finance Receivables September 30, 2017 December 31, 2016 Retail finance receivables Retail finance receivables, collectively evaluated for impairment, net of fees $ 30,147 $ 24,480 Retail finance receivables, individually evaluated for impairment, net of fees 2,170 1,920 Total retail finance receivables, net of fees (a) 32,317 26,400 Less: allowance for loan losses - collective (571 ) (489 ) Less: allowance for loan losses - specific (328 ) (276 ) Total retail finance receivables, net 31,418 25,635 Commercial finance receivables Commercial finance receivables, collectively evaluated for impairment, net of fees 9,468 7,853 Commercial finance receivables, individually evaluated for impairment, net of fees 27 27 Total commercial finance receivables, net of fees 9,495 7,880 Less: allowance for loan losses - collective (46 ) (36 ) Less: allowance for loan losses - specific (3 ) (4 ) Total commercial finance receivables, net 9,446 7,840 Total finance receivables, net $ 40,864 $ 33,475 Fair value of finance receivables $ 40,957 $ 33,528 ________________ (a) Net of unearned income, unamortized premiums and discounts, and deferred fees and costs o f $282 million and $178 million at September 30, 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 September 30, Nine Months Ended September 30, 2017 2016 2017 2016 Allowance for retail loan losses beginning balance $ 844 $ 790 $ 765 $ 713 Provision for loan losses 204 164 563 497 Charge-offs (286 ) (284 ) (856 ) (826 ) Recoveries 135 128 420 403 Foreign currency translation 2 (2 ) 7 9 Allowance for retail loan losses ending balance $ 899 $ 796 $ 899 $ 796 Retail Credit Quality Our retail finance receivables portfolio includes loans made to consumers and businesses to finance the purchase of vehicles for personal and commercial use. 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. In North America, 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 North America is as follows: September 30, 2017 December 31, 2016 Amount Percent Amount Percent Prime - FICO Score 680 and greater $ 12,332 45.7 % $ 7,923 36.4 % Near-prime - FICO Score 620 to 679 4,194 15.6 3,468 15.9 Sub-prime - FICO Score less than 620 10,443 38.7 10,395 47.7 Balance at end of period $ 26,969 100.0 % $ 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. September 30, 2017 September 30, 2016 Amount Percent of Contractual Amount Due Amount Percent of Contractual Amount Due 31 - 60 days $ 1,176 3.6 % $ 1,112 4.4 % Greater than 60 days 521 1.6 491 1.9 Total finance receivables more than 30 days delinquent 1,697 5.2 1,603 6.3 In repossession 55 0.2 57 0.2 Total finance receivables more than 30 days delinquent or in repossession $ 1,752 5.4 % $ 1,660 6.5 % At September 30, 2017 and December 31, 2016 , the accrual of finance charge income had been suspended on retail finance receivables with contractual amounts due of $797 million and $798 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. The outstanding recorded investment for retail finance receivables that are considered to be TDRs and the related allowance is presented below: September 30, 2017 December 31, 2016 Outstanding recorded investment $ 2,170 $ 1,920 Less: allowance for loan losses (328 ) (276 ) Outstanding recorded investment, net of allowance $ 1,842 $ 1,644 Unpaid principal balance $ 2,210 $ 1,967 Additional information about loans classified as TDRs is presented below: Three Months Ended September 30, Nine Months Ended September 30, 2017 2016 2017 2016 Average outstanding recorded investment $ 2,091 $ 1,785 $ 2,045 $ 1,725 Finance charge income recognized $ 56 $ 55 $ 173 $ 156 Number of loans classified as TDRs during the period 23,015 18,548 56,853 49,327 Recorded investment of loans classified as TDRs during the period $ 407 $ 315 $ 997 $ 846 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 and nine months ended September 30, 2017 and 2016 . Commercial Finance Receivables Commercial Credit Quality Our commercial finance receivables consist of dealer financings, primarily for inventory purchases. A proprietary model is used to assign a risk rating to each dealer. 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 restrictions on funding, including suspension of lines of credit and liquidation of assets. The following table summarizes the credit risk profile by dealer risk rating of commercial finance receivables: September 30, 2017 December 31, 2016 Amount Percent Amount Percent Group I - Dealers with superior financial metrics $ 1,547 16.3 % $ 1,389 17.6 % Group II - Dealers with strong financial metrics 3,565 37.5 2,661 33.8 Group III - Dealers with fair financial metrics 3,112 32.8 2,775 35.2 Group IV - Dealers with weak financial metrics 931 9.8 631 8.0 Group V - Dealers warranting special mention due to elevated risks 238 2.5 334 4.2 Group VI - Dealers with loans classified as substandard, doubtful or impaired 102 1.1 90 1.2 Balance at end of period $ 9,495 100.0 % $ 7,880 100.0 % At September 30, 2017 and December 31, 2016 , substantially all of our commercial finance receivables were current with respect to payment status. Commercial finance receivables on non-accrual status were insignificant, and none were classified as TDRs. Activity in the allowance for commercial loan losses was insignificant for the three and nine months ended September 30, 2017 and 2016 . |
Leased Vehicles
Leased Vehicles | 9 Months Ended |
Sep. 30, 2017 | |
Property Subject to or Available for Operating Lease, Net [Abstract] | |
Leased Vehicles | Leased Vehicles September 30, 2017 December 31, 2016 Leased vehicles $ 60,112 $ 48,340 Manufacturer subvention (9,265 ) (7,686 ) 50,847 40,654 Less: accumulated depreciation (9,072 ) (6,312 ) Leased vehicles, net $ 41,775 $ 34,342 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 $ 1,800 $ 6,256 $ 3,861 $ 1,182 $ 110 |
Equity in Net Assets of Non-con
Equity in Net Assets of Non-consolidated Affiliate | 9 Months Ended |
Sep. 30, 2017 | |
Noncontrolling Interest [Abstract] | |
Equity in Net Assets of Non-consolidated Affiliate | Equity in Net Assets of Non-consolidated Affiliate We use the equity method to account for our equity interest in 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. Three Months Ended September 30, Nine Months Ended September 30, Summarized Operating Data (a) 2017 2016 2017 2016 Finance charge income $ 261 $ 229 $ 775 $ 700 Provision for loan losses $ 2 $ 7 $ (9 ) $ 21 Interest expense $ 83 $ 65 $ 241 $ 192 Income before income taxes $ 157 $ 137 $ 490 $ 411 Net income $ 118 $ 103 $ 368 $ 308 _________________ (a) This data represents that of the entire entity and not our 35% proportionate share. There were no dividends received from SAIC-GMAC during the nine months ended September 30, 2017 . We received dividends from SAIC-GMAC of $129 million during the nine months ended September 30, 2016 . At September 30, 2017 and December 31, 2016 we had undistributed earnings of $271 million and $142 million related to SAIC-GMAC. |
Debt
Debt | 9 Months Ended |
Sep. 30, 2017 | |
Debt Disclosure [Abstract] | |
Debt | Debt September 30, 2017 December 31, 2016 Carrying Amount Fair Value Carrying Amount Fair Value Secured debt Revolving credit facilities $ 4,751 $ 4,769 $ 8,503 $ 8,498 Securitization notes payable 36,024 36,120 26,584 26,664 Total secured debt 40,775 40,889 35,087 35,162 Unsecured debt Senior notes 34,794 35,927 26,737 27,304 Credit facilities 2,162 2,174 1,961 1,961 Other unsecured debt 1,307 1,310 778 780 Total unsecured debt 38,263 39,411 29,476 30,045 Total secured and unsecured debt $ 79,038 $ 80,300 $ 64,563 $ 65,207 Fair value utilizing Level 2 inputs $ 78,293 $ 62,951 Fair value utilizing Level 3 inputs $ 2,007 $ 2,256 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 with original maturity or revolving period of eighteen months or less 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 nine months ended September 30, 2017 , we entered into new credit facilities or renewed credit facilities with a total net additional borrowing capacity of $1.7 billion , and we issued $18.8 billion in aggregate principal amount of securitization notes payable with an initial weighted average interest rate of 2.09% and legal final maturity dates ranging from 2019 to 2025. Unsecured Debt During the nine months ended September 30, 2017, we issued $10.6 billion in aggregate principal amount of senior notes with an initial weighted average interest rate of 2.87% and maturity dates ranging from 2019 to 2027. All of these notes are guaranteed by AmeriCredit Financial Services, Inc. (AFSI), our primary U.S. operating subsidiary, and $407 million in senior notes issued by subsidiaries in Canada and Mexico are also guaranteed by General Motors Financial Company, Inc. 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 September 30, 2017 , we were in compliance with our debt covenants. |
Variable Interest Entities
Variable Interest Entities | 9 Months Ended |
Sep. 30, 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: September 30, 2017 December 31, 2016 Restricted cash (a) $ 2,291 $ 1,780 Finance receivables, net of fees $ 26,451 $ 24,644 Lease related assets $ 23,751 $ 19,341 Secured debt $ 40,188 $ 34,185 _______________ (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 other subsidiaries' obligations. |
Derivative Financial Instrument
Derivative Financial Instruments and Hedging Activities | 9 Months Ended |
Sep. 30, 2017 | |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |
Derivative Financial Instruments and Hedging Activities | Derivative Financial Instruments and Hedging Activities September 30, 2017 December 31, 2016 Level Notional Fair Value Notional Fair Value Derivatives designated as hedges Assets Fair value hedges Interest rate swaps 2 $ 3,500 $ 20 $ — $ — Cash flow hedges Interest rate swaps 2,3 2,561 12 3,070 12 Foreign currency swaps 2 1,356 60 — — Total assets (a) $ 7,417 $ 92 $ 3,070 $ 12 Liabilities Fair value hedges Interest rate swaps 2 $ 7,860 $ 260 $ 7,700 $ 276 Cash flow hedges Interest rate swaps 2,3 — — 500 1 Foreign currency swaps 2 — — 791 33 Total liabilities (b) $ 7,860 $ 260 $ 8,991 $ 310 Derivatives not designated as hedges Assets Interest rate swaps 2,3 $ 33,218 $ 123 $ 7,959 $ 54 Interest rate caps and floors 2 16,810 43 9,698 26 Foreign currency swaps 2 1,182 85 — — Total assets (a) $ 51,210 $ 251 $ 17,657 $ 80 Liabilities Interest rate swaps 2,3 $ 12,823 $ 59 $ 6,170 $ 28 Interest rate caps and floors 2 18,467 43 12,146 26 Foreign currency swaps 2 — — — — Total liabilities (b) $ 31,290 $ 102 $ 18,316 $ 54 _________________ (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 and nine months ended September 30, 2017 and 2016 . Income (Losses) Recognized In Income Three Months Ended September 30, Nine Months Ended September 30, 2017 2016 2017 2016 Fair value hedges Interest rate contracts (a)(b) $ 9 $ 6 $ 38 $ 26 Cash flow hedges Interest rate contracts (a) 2 (1 ) 1 (2 ) Foreign currency contracts (c) 44 (1 ) 99 (1 ) Derivatives not designated as hedges Interest rate contracts (a) 16 4 7 7 Foreign currency contracts (c)(d) 37 — 72 — Total $ 108 $ 8 $ 217 $ 30 _________________ (a) Recognized in earnings as interest expense. (b) Includes hedge ineffectiveness which reflects the net change in the fair value of interest rate contracts offset by the change in fair value of hedged debt attributable to the hedged risk. (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. Gains (Losses) Recognized In Accumulated Other Comprehensive Loss Three Months Ended September 30, Nine Months Ended September 30, 2017 2016 2017 2016 Cash flow hedges Interest rate contracts $ — $ 2 $ 1 $ (2 ) Foreign currency contracts 24 — 45 — Total $ 24 $ 2 $ 46 $ (2 ) Gains (Losses) Reclassified From Accumulated Other Comprehensive Loss Into Income Three Months Ended September 30, Nine Months Ended September 30, 2017 2016 2017 2016 Cash flow hedges Interest rate contracts $ (1 ) $ 1 $ — $ 1 Foreign currency contracts (26 ) (4 ) (60 ) (4 ) Total $ (27 ) $ (3 ) $ (60 ) $ (3 ) |
Commitments and Contingencies
Commitments and Contingencies | 9 Months Ended |
Sep. 30, 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 September 30, 2017 and December 31, 2016 , the par value of these senior notes was $37.3 billion and $29.0 billion . Refer to Note 16 - "Guarantor Condensed Consolidating Financial Statements" for further discussion. Legal Proceedings As a 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 September 30, 2017 , we estimate our reasonably possible legal exposure for unfavorable outcomes is up to $73 million excluding $38 million related to the discontinued operations. We have accrued $24 million excluding $10 million related to the discontinued operations. In 2014 and 2015, we were served with investigative subpoenas to produce documents from various state attorneys general and other local 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 other civil or criminal 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 $18 million excluding $18 million related to the discontinued operations. |
Shareholders' Equity
Shareholders' Equity | 9 Months Ended |
Sep. 30, 2017 | |
Equity [Abstract] | |
Stockholders' Equity | Shareholders' Equity On September 1, 2017, we executed a 10,000 to 1 stock split of each share of our previously authorized common stock, par value $1.00 per share. Each outstanding share was deemed automatically converted into 10,000 shares of common stock, par value $0.0001 per share. In September 2017, we issued 1,000,000 shares, par value $0.01 per share, of Fixed-to-Floating Rate Cumulative Perpetual Preferred Stock, Series A, at a liquidation preference $1,000 per share, for net proceeds of $985 million . For the first 10 years after issuance, holders of the preferred stock will be entitled to receive cash dividend payments at an annual rate of 5.750% , payable semi-annually in arrears on March 30 and September 30 of each year beginning on March 30, 2018. After 10 years, holders of the preferred stock will be entitled to receive cash dividend payments at a floating rate equal to the then applicable three-month U.S. dollar LIBOR plus a spread of 3.598% per annum, payable quarterly in arrears, on March 30, June 30, September 30 and December 30 of each year. Dividends on the preferred stock are cumulative whether or not we have earnings, whether or not there are funds legally available for the payment of the dividends and whether or not the dividends are authorized or declared. The preferred stock does not have a maturity date. We may, at our option, redeem the shares of preferred stock, in whole or in part, at any time on or after September 30, 2027, at a price of $1,000 per share of preferred stock plus all accumulated and unpaid dividends. |
Income Taxes
Income Taxes | 9 Months Ended |
Sep. 30, 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 and nine months ended September 30, 2017 , income tax expense of $124 million and $260 million primarily resulted from tax expense attributable to entities included in our effective tax rate calculation. During the three and nine months ended September 30, 2016 , income tax expense of $60 million and $185 million primarily resulted from tax expense attributable to entities included in our effective tax rate calculation. 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 | 9 Months Ended |
Sep. 30, 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 Brazil, Chile, Colombia, Mexico and Peru as well as our equity investment in SAIC-GMAC, a joint venture that conducts auto finance operations in China. 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. As discussed in Note 2 - "Discontinued Operations," our European Operations are presented as discontinued operations and are excluded from our segment results for all periods presented. These operations were previously included in our International Segment. Key operating data for our operating segments were as follows: Three Months Ended September 30, 2017 North International Total Total revenue $ 2,868 $ 293 $ 3,161 Operating expenses 265 81 346 Leased vehicle expenses 1,662 8 1,670 Provision for loan losses 177 27 204 Interest expense 536 136 672 Equity income — 41 41 Income from continuing operations before income taxes $ 228 $ 82 $ 310 Three Months Ended September 30, 2016 North International Total Total revenue $ 2,092 $ 268 $ 2,360 Operating expenses 240 87 327 Leased vehicle expenses 1,194 3 1,197 Provision for loan losses 147 20 167 Interest expense 383 128 511 Equity income — 36 36 Income from continuing operations before income taxes $ 128 $ 66 $ 194 Nine Months Ended September 30, 2017 North International Total Total revenue $ 8,042 $ 857 $ 8,899 Operating expenses 766 243 1,009 Leased vehicle expenses 4,631 17 4,648 Provision for loan losses 497 76 573 Interest expense 1,488 415 1,903 Equity income — 129 129 Income from continuing operations before income taxes $ 660 $ 235 $ 895 Nine Months Ended September 30, 2016 North International Total Total revenue $ 5,666 $ 763 $ 6,429 Operating expenses 656 240 896 Leased vehicle expenses 3,143 5 3,148 Provision for loan losses 449 52 501 Interest expense 1,025 368 1,393 Equity income — 109 109 Income from continuing operations before income taxes $ 393 $ 207 $ 600 September 30, 2017 December 31, 2016 North International Total North International Total Finance receivables, net $ 34,225 $ 6,639 $ 40,864 $ 27,617 $ 5,858 $ 33,475 Leased vehicles, net $ 41,657 $ 118 $ 41,775 $ 34,284 $ 58 $ 34,342 Total assets (a) $ 84,971 $ 21,164 $ 106,135 $ 68,656 $ 19,109 $ 87,765 ________________ (a) International Segment includes assets held for sale of $12.1 billion and $11.0 billion at September 30, 2017 and December 31, 2016 . |
Accumulated Other Comprehensive
Accumulated Other Comprehensive Loss | 9 Months Ended |
Sep. 30, 2017 | |
Accumulated Other Comprehensive Income (Loss), Net of Tax [Abstract] | |
Accumulated Other Comprehensive Loss | Accumulated Other Comprehensive Loss Three Months Ended September 30, Nine Months Ended September 30, 2017 2016 2017 2016 Unrealized gain (loss) on cash flow hedges Beginning balance $ 6 $ (4 ) $ 17 $ — Change in value of cash flow hedges, net of tax (3 ) (1 ) (14 ) (5 ) Ending balance 3 (5 ) 3 (5 ) Defined benefit plans Beginning balance (21 ) (13 ) (20 ) (13 ) Unrealized gain (loss) on subsidiary pension, net of tax — — (1 ) — Ending balance (21 ) (13 ) (21 ) (13 ) Foreign currency translation adjustment Beginning balance (1,037 ) (1,021 ) (1,235 ) (1,091 ) Translation gain (loss), net of tax 120 (10 ) 318 60 Ending balance (917 ) (1,031 ) (917 ) (1,031 ) Total accumulated other comprehensive loss $ (935 ) $ (1,049 ) $ (935 ) $ (1,049 ) |
Regulatory Capital and other Re
Regulatory Capital and other Regulatory Matters | 9 Months Ended |
Sep. 30, 2017 | |
Regulatory Capital and Other Regulatory Matters [Abstract] | |
Regulatory Capital and other Regulatory Matters | Regulatory Capital and other Regulatory Matters We are required to comply with a wide variety of laws and regulations. Certain of our entities operate in international markets as either banks or regulated finance companies that are subject to regulatory restrictions. These regulatory restrictions, among other things, require that certain of these entities meet 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 $7.6 billion and $6.9 billion at September 30, 2017 and December 31, 2016 . |
Guarantor Condensed Consolidati
Guarantor Condensed Consolidating Financial Statements | 9 Months Ended |
Sep. 30, 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 September 30, 2017 and December 31, 2016 , and for the three and nine months ended September 30, 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 September 30, 2017 (Unaudited) General Motors Financial Company, Inc. Guarantor Non- Guarantors Eliminations Consolidated ASSETS Cash and cash equivalents $ — $ 3,546 $ 430 $ — $ 3,976 Finance receivables, net — 10,097 30,767 — 40,864 Leased vehicles, net — — 41,775 — 41,775 Goodwill 1,095 — 106 — 1,201 Equity in net assets of non-consolidated affiliate — — 1,119 — 1,119 Related party receivables — 38 301 — 339 Other assets 855 1,230 3,933 (1,251 ) 4,767 Assets held for sale — — 12,095 (1 ) 12,094 Due from affiliates 32,762 19,467 — (52,229 ) — Investment in affiliates 10,177 5,610 — (15,787 ) — Total assets $ 44,889 $ 39,988 $ 90,526 $ (69,268 ) $ 106,135 LIABILITIES AND SHAREHOLDERS' EQUITY Liabilities Secured debt $ — $ — $ 41,177 $ (402 ) $ 40,775 Unsecured debt 34,047 — 4,216 — 38,263 Deferred income — — 3,066 — 3,066 Related party payables 2 — 251 — 253 Other liabilities 369 772 2,157 (849 ) 2,449 Liabilities held for sale — — 10,864 (6 ) 10,858 Due to affiliates — 32,576 19,648 (52,224 ) — Total liabilities 34,418 33,348 81,379 (53,481 ) 95,664 Shareholders' equity Common stock — — 698 (698 ) — Preferred stock — — — — — Additional paid-in capital 7,514 79 3,450 (3,529 ) 7,514 Accumulated other comprehensive loss (935 ) (107 ) (874 ) 981 (935 ) Retained earnings 3,892 6,668 5,873 (12,541 ) 3,892 Total shareholders' equity 10,471 6,640 9,147 (15,787 ) 10,471 Total liabilities and shareholders' equity $ 44,889 $ 39,988 $ 90,526 $ (69,268 ) $ 106,135 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 $ 531 $ — $ 2,815 Finance receivables, net — 4,969 28,506 — 33,475 Leased vehicles, net — — 34,342 — 34,342 Goodwill 1,095 — 101 — 1,196 Equity in net assets of non-consolidated affiliate — — 944 — 944 Related party receivables — 25 322 — 347 Other assets 506 884 3,065 (760 ) 3,695 Assets held for sale — — 10,959 (8 ) 10,951 Due from affiliates 24,548 16,065 — (40,613 ) — Investment in affiliates 8,986 6,445 — (15,431 ) — Total assets $ 35,135 $ 30,672 $ 78,770 $ (56,812 ) $ 87,765 LIABILITIES AND SHAREHOLDER'S EQUITY Liabilities Secured debt $ — $ — $ 35,256 $ (169 ) $ 35,087 Unsecured debt 26,076 — 3,400 — 29,476 Deferred income — — 2,355 — 2,355 Related party payables 1 — 319 — 320 Other liabilities 365 690 1,677 (591 ) 2,141 Liabilities held for sale — — 9,694 (1 ) 9,693 Due to affiliates — 24,437 16,183 (40,620 ) — Total liabilities 26,442 25,127 68,884 (41,381 ) 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 $ 78,770 $ (56,812 ) $ 87,765 CONDENSED CONSOLIDATING STATEMENT OF INCOME Three Months Ended September 30, 2017 (Unaudited) General Guarantor Non- Eliminations Consolidated Revenue Finance charge income $ — $ 146 $ 691 $ — $ 837 Leased vehicle income — — 2,244 — 2,244 Other income — 306 — (226 ) 80 Total revenue — 452 2,935 (226 ) 3,161 Costs and expenses Salaries and benefits — 182 42 — 224 Other operating expenses 94 (48 ) 203 (127 ) 122 Total operating expenses 94 134 245 (127 ) 346 Leased vehicle expenses — — 1,670 — 1,670 Provision for loan losses — 196 8 — 204 Interest expense 301 1 469 (99 ) 672 Total costs and expenses 395 331 2,392 (226 ) 2,892 Equity income 461 306 41 (767 ) 41 Income from continuing operations before income taxes 66 427 584 (767 ) 310 Income tax (benefit) provision (136 ) 40 220 — 124 Income from continuing operations 202 387 364 (767 ) 186 Income (loss) from discontinued operations, net of tax — (6 ) 22 — 16 Net income 202 381 386 (767 ) 202 Net income attributable to common shareholder $ 200 $ 381 $ 386 $ (767 ) $ 200 Comprehensive income $ 319 $ 411 $ 525 $ (936 ) $ 319 CONDENSED CONSOLIDATING STATEMENT OF INCOME Three Months Ended September 30, 2016 (Unaudited) General Guarantor Non- Eliminations Consolidated Revenue Finance charge income $ — $ 127 $ 594 $ — $ 721 Leased vehicle income — — 1,582 — 1,582 Other income — 213 15 (171 ) 57 Total revenue — 340 2,191 (171 ) 2,360 Costs and expenses Salaries and benefits — 157 38 — 195 Other operating expenses 6 54 173 (101 ) 132 Total operating expenses 6 211 211 (101 ) 327 Leased vehicle expenses — — 1,197 — 1,197 Provision for loan losses — 102 65 — 167 Interest expense 171 54 356 (70 ) 511 Total costs and expenses 177 367 1,829 (171 ) 2,202 Equity income 267 202 36 (469 ) 36 Income from continuing operations before income taxes 90 175 398 (469 ) 194 Income tax (benefit) provision (72 ) (17 ) 149 — 60 Income from continuing operations 162 192 249 (469 ) 134 (Loss) income from discontinued operations, net of tax (15 ) — 28 — 13 Net income $ 147 $ 192 $ 277 $ (469 ) $ 147 Comprehensive income $ 136 $ 183 $ 270 $ (453 ) $ 136 CONDENSED CONSOLIDATING STATEMENT OF INCOME Nine Months Ended September 30, 2017 (Unaudited) General Guarantor Non- Eliminations Consolidated Revenue Finance charge income $ — $ 375 $ 2,026 $ — $ 2,401 Leased vehicle income — — 6,282 — 6,282 Other income — 870 (15 ) (639 ) 216 Total revenue — 1,245 8,293 (639 ) 8,899 Costs and expenses Salaries and benefits — 504 117 — 621 Other operating expenses 200 (43 ) 587 (356 ) 388 Total operating expenses 200 461 704 (356 ) 1,009 Leased vehicle expenses — — 4,648 — 4,648 Provision for loan losses — 356 217 — 573 Interest expense 883 (28 ) 1,331 (283 ) 1,903 Total costs and expenses 1,083 789 6,900 (639 ) 8,133 Equity income 1,051 797 129 (1,848 ) 129 (Loss) income from continuing operations before income taxes (32 ) 1,253 1,522 (1,848 ) 895 Income tax (benefit) provision (498 ) 199 559 — 260 Income from continuing operations 466 1,054 963 (1,848 ) 635 Income (loss) from discontinued operations, net of tax — (13 ) (156 ) — (169 ) Net income 466 1,041 807 (1,848 ) 466 Net income attributable to common shareholder $ 464 $ 1,041 $ 807 $ (1,848 ) $ 464 Comprehensive income $ 769 $ 1,095 $ 1,156 $ (2,251 ) $ 769 CONDENSED CONSOLIDATING STATEMENT OF INCOME Nine Months Ended September 30, 2016 (Unaudited) General Guarantor Non- Eliminations Consolidated Revenue Finance charge income $ — $ 344 $ 1,766 $ — $ 2,110 Leased vehicle income — — 4,144 — 4,144 Other income (1 ) 628 28 (480 ) 175 Total revenue (1 ) 972 5,938 (480 ) 6,429 Costs and expenses Salaries and benefits — 432 104 — 536 Other operating expenses 2 175 475 (292 ) 360 Total operating expenses 2 607 579 (292 ) 896 Leased vehicle expenses — — 3,148 — 3,148 Provision for loan losses — 282 219 — 501 Interest expense 612 (67 ) 1,036 (188 ) 1,393 Total costs and expenses 614 822 4,982 (480 ) 5,938 Equity income 858 538 109 (1,396 ) 109 Income from continuing operations before income taxes 243 688 1,065 (1,396 ) 600 Income tax (benefit) provision (272 ) 63 394 — 185 Income from continuing operations 515 625 671 (1,396 ) 415 (Loss) income from discontinued operations, net of tax (15 ) — 100 — 85 Net income $ 500 $ 625 $ 771 $ (1,396 ) $ 500 Comprehensive income $ 555 $ 653 $ 837 $ (1,490 ) $ 555 CONDENSED CONSOLIDATING STATEMENT OF CASH FLOWS Nine Months Ended September 30, 2017 (Unaudited) General Motors Financial Company, Inc. Guarantor Non- Guarantors Eliminations Consolidated Net cash (used in) provided by operating activities - continuing operations $ (690 ) $ 616 $ 4,869 $ — $ 4,795 Net cash provided by (used in) operating activities - discontinued operations 26 (24 ) 241 — 243 Net cash (used in) provided by operating activities (664 ) 592 5,110 — 5,038 Cash flows from investing activities Purchases of retail finance receivables, net — (15,709 ) (11,312 ) 11,754 (15,267 ) Principal collections and recoveries on retail finance receivables — 1,875 7,535 — 9,410 Proceeds from transfer of retail finance receivables, net — 8,787 2,967 (11,754 ) — Net funding of commercial finance receivables — (429 ) (1,128 ) — (1,557 ) Purchases of leased vehicles, net — — (14,809 ) — (14,809 ) Proceeds from termination of leased vehicles — — 4,649 — 4,649 Other investing activities — (288 ) (10 ) 233 (65 ) Net change in due from affiliates (8,213 ) (3,397 ) — 11,610 — Net change in investment in affiliates 54 1,686 — (1,740 ) — Net cash used in investing activities - continuing operations (8,159 ) (7,475 ) (12,108 ) 10,103 (17,639 ) Net cash provided by (used in) investing activities - discontinued operations 131 — (599 ) — (468 ) Net cash used in investing activities (8,028 ) (7,475 ) (12,707 ) 10,103 (18,107 ) Cash flows from financing activities Net change in debt (original maturities less than three months) 66 — (371 ) — (305 ) Borrowings and issuance of secured debt — — 26,964 (233 ) 26,731 Payments on secured debt — — (20,905 ) — (20,905 ) Borrowings and issuance of unsecured debt 10,133 — 2,493 — 12,626 Payments on unsecured debt (2,450 ) — (1,925 ) — (4,375 ) Debt issuance costs (42 ) — (89 ) — (131 ) Proceeds from issuance of preferred stock 985 — — — 985 Net capital contributions — — (1,740 ) 1,740 — Net change in due to affiliates — 8,145 3,465 (11,610 ) — Net cash provided by financing activities - continuing operations 8,692 8,145 7,892 (10,103 ) 14,626 Net cash provided by financing activities - discontinued operations — — 63 — 63 Net cash provided by financing activities 8,692 8,145 7,955 (10,103 ) 14,689 Net increase in cash, cash equivalents and restricted cash — 1,262 358 — 1,620 Effect of foreign exchange rate changes on cash, cash equivalents and restricted cash — — 112 — 112 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 $ — $ 3,546 $ 3,488 $ — $ 7,034 Cash, cash equivalents and restricted cash from continuing operations at end of period $ — $ 3,546 $ 2,923 $ — $ 6,469 Cash, cash equivalents and restricted cash from discontinued operations at end of period $ — $ — $ 565 $ — $ 565 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 $ — $ 3,546 $ 430 $ — $ 3,976 Restricted cash included in other assets — — 2,493 — 2,493 Total $ — $ 3,546 $ 2,923 $ — $ 6,469 CONDENSED CONSOLIDATING STATEMENT OF CASH FLOWS Nine Months Ended September 30, 2016 (Unaudited) General Motors Financial Company, Inc. Guarantor Non- Guarantors Eliminations Consolidated Net cash (used in) provided by operating activities - continuing operations $ (454 ) $ (389 ) $ 4,409 $ — $ 3,566 Net cash provided by operating activities - discontinued operations (15 ) 10 295 — 290 Net cash (used in) provided by operating activities (469 ) (379 ) 4,704 — 3,856 Cash flows from investing activities Purchases of retail finance receivables, net — (12,676 ) (10,047 ) 12,315 (10,408 ) Principal collections and recoveries on retail finance receivables — 1,274 6,094 — 7,368 Proceeds from transfer of retail finance receivables, net — 8,232 4,083 (12,315 ) — Net funding of commercial finance receivables — (335 ) (810 ) — (1,145 ) Purchases of leased vehicles, net — — (14,939 ) — (14,939 ) Proceeds from termination of leased vehicles — — 1,799 — 1,799 Other investing activities — (219 ) (9 ) 169 (59 ) Net change in due from affiliates (7,506 ) (6,621 ) — 14,127 — Net change in investment in affiliates 24 2,473 — (2,497 ) — Net cash used in investing activities - continuing operations (7,482 ) (7,872 ) (13,829 ) 11,799 (17,384 ) Net cash used in investing activities - discontinued operations — — (949 ) — (949 ) Net cash used in investing activities (7,482 ) (7,872 ) (14,778 ) 11,799 (18,333 ) Cash flows from financing activities Net change in debt (original maturities less than three months) 1 — (302 ) — (301 ) Borrowings and issuance of secured debt — — 18,589 (169 ) 18,420 Payments on secured debt — — (12,525 ) — (12,525 ) Borrowings and issuance of unsecured debt 8,987 — 1,371 — 10,358 Payments on unsecured debt (1,000 ) — (1,345 ) — (2,345 ) Debt issuance costs (37 ) — (75 ) — (112 ) Net capital contributions — — (2,497 ) 2,497 — Net change in due to affiliates — 7,643 6,484 (14,127 ) — Net cash provided by financing activities - continuing operations 7,951 7,643 9,700 (11,799 ) 13,495 Net cash provided by financing activities - discontinued operations — — 601 — 601 Net cash provided by financing activities 7,951 7,643 10,301 (11,799 ) 14,096 Net increase (decrease) in cash, cash equivalents and restricted cash — (608 ) 227 — (381 ) Effect of foreign exchange rate changes on cash, cash equivalents and restricted cash — — 22 — 22 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 $ — $ 1,711 $ 2,932 $ — $ 4,643 Cash, cash equivalents and restricted cash from continuing operations at end of period $ — $ 1,711 $ 2,207 $ — $ 3,918 Cash, cash equivalents and restricted cash from discontinued operations at end of period $ — $ — $ 725 $ — $ 725 |
Summary of Significant Accoun24
Summary of Significant Accounting Policies (Policies) | 9 Months Ended |
Sep. 30, 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). 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, General Motors Company (GM). All intercompany transactions and balances have been eliminated in consolidation. Our operations in Europe are presented as discontinued operations, and the related assets and liabilities are presented as held for sale in our condensed consolidated financial statements for all periods presented. Unless otherwise indicated, information in these notes to the condensed consolidated financial statements relates to continuing operations. Refer to Note 2 - "Discontinued Operations" for additional details regarding our planned disposal of these operations. The 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 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 September 30, 2017 , and for the three and nine months ended September 30, 2017 and 2016 , are unaudited and, in management’s opinion, include all adjustments, which consist of normal recurring adjustments and transactions or events discretely impacting the interim periods, considered necessary by management to fairly state our results of operations. 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 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 Brazil, Chile, Colombia, Mexico and Peru as well as our equity investment in SAIC-GMAC Automotive Finance Company Limited (SAIC-GMAC), a joint venture that conducts auto finance operations in China. |
Discontinued Operations (Tables
Discontinued Operations (Tables) | 9 Months Ended |
Sep. 30, 2017 | |
Discontinued Operations and Disposal Groups [Abstract] | |
Disposal Groups, Including Discontinued Operations | The following table summarizes the assets and liabilities held for sale: September 30, 2017 December 31, 2016 ASSETS Cash and cash equivalents $ 242 $ 386 Finance receivables, net 11,303 9,715 Related party receivables — 163 Other assets 549 687 Total assets held for sale $ 12,094 $ 10,951 LIABILITIES Secured debt $ 4,872 $ 4,183 Unsecured debt 5,469 5,130 Related party payables — 80 Other liabilities 517 300 Total liabilities held for sale $ 10,858 $ 9,693 The following table summarizes the results of operations for the discontinued operations: Three Months Ended September 30, Nine Months Ended September 30, 2017 2016 2017 2016 Total revenue $ 148 $ 138 $ 422 $ 436 Interest expense 24 30 70 112 Other expenses 75 74 231 205 Total costs and expenses 99 104 301 317 Income from discontinued operations before income taxes 49 34 121 119 Loss on sale of discontinued operations before income taxes 38 — 374 — Income (loss) from discontinued operations before income taxes 11 34 (253 ) 119 Income tax (benefit) provision (5 ) 21 (84 ) 34 Income (loss) from discontinued operations, net of tax $ 16 $ 13 $ (169 ) $ 85 |
Related Party Transactions (Tab
Related Party Transactions (Tables) | 9 Months Ended |
Sep. 30, 2017 | |
Related Party Transactions [Abstract] | |
Schedule of Related Party Transactions | The following tables present related party transactions: Balance Sheet Data September 30, 2017 December 31, 2016 Commercial finance receivables, net due from dealers consolidated by GM (a) $ 349 $ 347 Direct-financing lease receivables from Maven (a) $ 96 $ — Subvention receivable (b) $ 338 $ 347 Commercial loan funding payable (c) $ 251 $ 320 Three Months Ended September 30, Nine Months Ended September 30, Income Statement Data 2017 2016 2017 2016 Interest subvention earned on retail finance receivables (d) $ 115 $ 90 $ 319 $ 245 Interest subvention earned on commercial finance receivables (d) $ 14 $ 13 $ 42 $ 35 Leased vehicle subvention earned (e) $ 786 $ 591 $ 2,246 $ 1,588 _________________ (a) Included in finance receivables, net. (b) Included in related party receivables. We received subvention payments from GM of $1.1 billion and $1.0 billion for the three months ended September 30, 2017 and 2016 , and $3.3 billion and $3.2 billion for the nine months ended September 30, 2017 and 2016 . (c) Included in related party payables. (d) Included in finance charge income. (e) Included as a reduction to leased vehicle expenses. |
Finance Receivables (Tables)
Finance Receivables (Tables) | 9 Months Ended |
Sep. 30, 2017 | |
Accounts, Notes, Loans and Financing Receivable, Gross, Allowance, and Net [Abstract] | |
Finance Receivables, Net | September 30, 2017 December 31, 2016 Retail finance receivables Retail finance receivables, collectively evaluated for impairment, net of fees $ 30,147 $ 24,480 Retail finance receivables, individually evaluated for impairment, net of fees 2,170 1,920 Total retail finance receivables, net of fees (a) 32,317 26,400 Less: allowance for loan losses - collective (571 ) (489 ) Less: allowance for loan losses - specific (328 ) (276 ) Total retail finance receivables, net 31,418 25,635 Commercial finance receivables Commercial finance receivables, collectively evaluated for impairment, net of fees 9,468 7,853 Commercial finance receivables, individually evaluated for impairment, net of fees 27 27 Total commercial finance receivables, net of fees 9,495 7,880 Less: allowance for loan losses - collective (46 ) (36 ) Less: allowance for loan losses - specific (3 ) (4 ) Total commercial finance receivables, net 9,446 7,840 Total finance receivables, net $ 40,864 $ 33,475 Fair value of finance receivables $ 40,957 $ 33,528 ________________ (a) Net of unearned income, unamortized premiums and discounts, and deferred fees and costs o f $282 million and $178 million at September 30, 2017 and December 31, 2016 . |
Allowance for Credit Losses on Financing Receivables | Retail Finance Receivables Three Months Ended September 30, Nine Months Ended September 30, 2017 2016 2017 2016 Allowance for retail loan losses beginning balance $ 844 $ 790 $ 765 $ 713 Provision for loan losses 204 164 563 497 Charge-offs (286 ) (284 ) (856 ) (826 ) Recoveries 135 128 420 403 Foreign currency translation 2 (2 ) 7 9 Allowance for retail loan losses ending balance $ 899 $ 796 $ 899 $ 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 North America is as follows: September 30, 2017 December 31, 2016 Amount Percent Amount Percent Prime - FICO Score 680 and greater $ 12,332 45.7 % $ 7,923 36.4 % Near-prime - FICO Score 620 to 679 4,194 15.6 3,468 15.9 Sub-prime - FICO Score less than 620 10,443 38.7 10,395 47.7 Balance at end of period $ 26,969 100.0 % $ 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. September 30, 2017 September 30, 2016 Amount Percent of Contractual Amount Due Amount Percent of Contractual Amount Due 31 - 60 days $ 1,176 3.6 % $ 1,112 4.4 % Greater than 60 days 521 1.6 491 1.9 Total finance receivables more than 30 days delinquent 1,697 5.2 1,603 6.3 In repossession 55 0.2 57 0.2 Total finance receivables more than 30 days delinquent or in repossession $ 1,752 5.4 % $ 1,660 6.5 % |
Troubled Debt Restructurings on Financing Receivables | The outstanding recorded investment for retail finance receivables that are considered to be TDRs and the related allowance is presented below: September 30, 2017 December 31, 2016 Outstanding recorded investment $ 2,170 $ 1,920 Less: allowance for loan losses (328 ) (276 ) Outstanding recorded investment, net of allowance $ 1,842 $ 1,644 Unpaid principal balance $ 2,210 $ 1,967 Additional information about loans classified as TDRs is presented below: Three Months Ended September 30, Nine Months Ended September 30, 2017 2016 2017 2016 Average outstanding recorded investment $ 2,091 $ 1,785 $ 2,045 $ 1,725 Finance charge income recognized $ 56 $ 55 $ 173 $ 156 Number of loans classified as TDRs during the period 23,015 18,548 56,853 49,327 Recorded investment of loans classified as TDRs during the period $ 407 $ 315 $ 997 $ 846 |
Financing Receivable Credit Quality Indicators for Commercial Lending | The following table summarizes the credit risk profile by dealer risk rating of commercial finance receivables: September 30, 2017 December 31, 2016 Amount Percent Amount Percent Group I - Dealers with superior financial metrics $ 1,547 16.3 % $ 1,389 17.6 % Group II - Dealers with strong financial metrics 3,565 37.5 2,661 33.8 Group III - Dealers with fair financial metrics 3,112 32.8 2,775 35.2 Group IV - Dealers with weak financial metrics 931 9.8 631 8.0 Group V - Dealers warranting special mention due to elevated risks 238 2.5 334 4.2 Group VI - Dealers with loans classified as substandard, doubtful or impaired 102 1.1 90 1.2 Balance at end of period $ 9,495 100.0 % $ 7,880 100.0 % |
Leased Vehicles (Tables)
Leased Vehicles (Tables) | 9 Months Ended |
Sep. 30, 2017 | |
Property Subject to or Available for Operating Lease, Net [Abstract] | |
Summary of Leased Vehicles | September 30, 2017 December 31, 2016 Leased vehicles $ 60,112 $ 48,340 Manufacturer subvention (9,265 ) (7,686 ) 50,847 40,654 Less: accumulated depreciation (9,072 ) (6,312 ) Leased vehicles, net $ 41,775 $ 34,342 |
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 $ 1,800 $ 6,256 $ 3,861 $ 1,182 $ 110 |
Equity in Net Assets of Non-c29
Equity in Net Assets of Non-consolidated Affiliate (Tables) | 9 Months Ended |
Sep. 30, 2017 | |
Noncontrolling Interest [Abstract] | |
Summarized Financial Data of Nonconsolidated Affiliates | The income of SAIC-GMAC is not consolidated into our financial statements; rather, our proportionate share of the earnings is reflected as equity income. Three Months Ended September 30, Nine Months Ended September 30, Summarized Operating Data (a) 2017 2016 2017 2016 Finance charge income $ 261 $ 229 $ 775 $ 700 Provision for loan losses $ 2 $ 7 $ (9 ) $ 21 Interest expense $ 83 $ 65 $ 241 $ 192 Income before income taxes $ 157 $ 137 $ 490 $ 411 Net income $ 118 $ 103 $ 368 $ 308 _________________ (a) This data represents that of the entire entity and not our 35% proportionate share. |
Debt (Tables)
Debt (Tables) | 9 Months Ended |
Sep. 30, 2017 | |
Debt Disclosure [Abstract] | |
Schedule of Debt | September 30, 2017 December 31, 2016 Carrying Amount Fair Value Carrying Amount Fair Value Secured debt Revolving credit facilities $ 4,751 $ 4,769 $ 8,503 $ 8,498 Securitization notes payable 36,024 36,120 26,584 26,664 Total secured debt 40,775 40,889 35,087 35,162 Unsecured debt Senior notes 34,794 35,927 26,737 27,304 Credit facilities 2,162 2,174 1,961 1,961 Other unsecured debt 1,307 1,310 778 780 Total unsecured debt 38,263 39,411 29,476 30,045 Total secured and unsecured debt $ 79,038 $ 80,300 $ 64,563 $ 65,207 Fair value utilizing Level 2 inputs $ 78,293 $ 62,951 Fair value utilizing Level 3 inputs $ 2,007 $ 2,256 |
Variable Interest Entities (Tab
Variable Interest Entities (Tables) | 9 Months Ended |
Sep. 30, 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: September 30, 2017 December 31, 2016 Restricted cash (a) $ 2,291 $ 1,780 Finance receivables, net of fees $ 26,451 $ 24,644 Lease related assets $ 23,751 $ 19,341 Secured debt $ 40,188 $ 34,185 _______________ (a) Included in other assets in the condensed consolidated balance sheets. |
Derivative Financial Instrume32
Derivative Financial Instruments and Hedging Activities (Tables) | 9 Months Ended |
Sep. 30, 2017 | |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |
Schedule of Derivative Instruments | September 30, 2017 December 31, 2016 Level Notional Fair Value Notional Fair Value Derivatives designated as hedges Assets Fair value hedges Interest rate swaps 2 $ 3,500 $ 20 $ — $ — Cash flow hedges Interest rate swaps 2,3 2,561 12 3,070 12 Foreign currency swaps 2 1,356 60 — — Total assets (a) $ 7,417 $ 92 $ 3,070 $ 12 Liabilities Fair value hedges Interest rate swaps 2 $ 7,860 $ 260 $ 7,700 $ 276 Cash flow hedges Interest rate swaps 2,3 — — 500 1 Foreign currency swaps 2 — — 791 33 Total liabilities (b) $ 7,860 $ 260 $ 8,991 $ 310 Derivatives not designated as hedges Assets Interest rate swaps 2,3 $ 33,218 $ 123 $ 7,959 $ 54 Interest rate caps and floors 2 16,810 43 9,698 26 Foreign currency swaps 2 1,182 85 — — Total assets (a) $ 51,210 $ 251 $ 17,657 $ 80 Liabilities Interest rate swaps 2,3 $ 12,823 $ 59 $ 6,170 $ 28 Interest rate caps and floors 2 18,467 43 12,146 26 Foreign currency swaps 2 — — — — Total liabilities (b) $ 31,290 $ 102 $ 18,316 $ 54 _________________ (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 | Income (Losses) Recognized In Income Three Months Ended September 30, Nine Months Ended September 30, 2017 2016 2017 2016 Fair value hedges Interest rate contracts (a)(b) $ 9 $ 6 $ 38 $ 26 Cash flow hedges Interest rate contracts (a) 2 (1 ) 1 (2 ) Foreign currency contracts (c) 44 (1 ) 99 (1 ) Derivatives not designated as hedges Interest rate contracts (a) 16 4 7 7 Foreign currency contracts (c)(d) 37 — 72 — Total $ 108 $ 8 $ 217 $ 30 _________________ (a) Recognized in earnings as interest expense. (b) Includes hedge ineffectiveness which reflects the net change in the fair value of interest rate contracts offset by the change in fair value of hedged debt attributable to the hedged risk. (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. Gains (Losses) Recognized In Accumulated Other Comprehensive Loss Three Months Ended September 30, Nine Months Ended September 30, 2017 2016 2017 2016 Cash flow hedges Interest rate contracts $ — $ 2 $ 1 $ (2 ) Foreign currency contracts 24 — 45 — Total $ 24 $ 2 $ 46 $ (2 ) Gains (Losses) Reclassified From Accumulated Other Comprehensive Loss Into Income Three Months Ended September 30, Nine Months Ended September 30, 2017 2016 2017 2016 Cash flow hedges Interest rate contracts $ (1 ) $ 1 $ — $ 1 Foreign currency contracts (26 ) (4 ) (60 ) (4 ) Total $ (27 ) $ (3 ) $ (60 ) $ (3 ) |
Segment Reporting (Tables)
Segment Reporting (Tables) | 9 Months Ended |
Sep. 30, 2017 | |
Segment Reporting [Abstract] | |
Schedule of Segment Reporting Information, by Segment | Key operating data for our operating segments were as follows: Three Months Ended September 30, 2017 North International Total Total revenue $ 2,868 $ 293 $ 3,161 Operating expenses 265 81 346 Leased vehicle expenses 1,662 8 1,670 Provision for loan losses 177 27 204 Interest expense 536 136 672 Equity income — 41 41 Income from continuing operations before income taxes $ 228 $ 82 $ 310 Three Months Ended September 30, 2016 North International Total Total revenue $ 2,092 $ 268 $ 2,360 Operating expenses 240 87 327 Leased vehicle expenses 1,194 3 1,197 Provision for loan losses 147 20 167 Interest expense 383 128 511 Equity income — 36 36 Income from continuing operations before income taxes $ 128 $ 66 $ 194 Nine Months Ended September 30, 2017 North International Total Total revenue $ 8,042 $ 857 $ 8,899 Operating expenses 766 243 1,009 Leased vehicle expenses 4,631 17 4,648 Provision for loan losses 497 76 573 Interest expense 1,488 415 1,903 Equity income — 129 129 Income from continuing operations before income taxes $ 660 $ 235 $ 895 Nine Months Ended September 30, 2016 North International Total Total revenue $ 5,666 $ 763 $ 6,429 Operating expenses 656 240 896 Leased vehicle expenses 3,143 5 3,148 Provision for loan losses 449 52 501 Interest expense 1,025 368 1,393 Equity income — 109 109 Income from continuing operations before income taxes $ 393 $ 207 $ 600 September 30, 2017 December 31, 2016 North International Total North International Total Finance receivables, net $ 34,225 $ 6,639 $ 40,864 $ 27,617 $ 5,858 $ 33,475 Leased vehicles, net $ 41,657 $ 118 $ 41,775 $ 34,284 $ 58 $ 34,342 Total assets (a) $ 84,971 $ 21,164 $ 106,135 $ 68,656 $ 19,109 $ 87,765 ________________ (a) International Segment includes assets held for sale of $12.1 billion and $11.0 billion at September 30, 2017 and December 31, 2016 |
Accumulated Other Comprehensi34
Accumulated Other Comprehensive Loss (Tables) | 9 Months Ended |
Sep. 30, 2017 | |
Accumulated Other Comprehensive Income (Loss), Net of Tax [Abstract] | |
Schedule of Accumulated Other Comprehensive Loss | Three Months Ended September 30, Nine Months Ended September 30, 2017 2016 2017 2016 Unrealized gain (loss) on cash flow hedges Beginning balance $ 6 $ (4 ) $ 17 $ — Change in value of cash flow hedges, net of tax (3 ) (1 ) (14 ) (5 ) Ending balance 3 (5 ) 3 (5 ) Defined benefit plans Beginning balance (21 ) (13 ) (20 ) (13 ) Unrealized gain (loss) on subsidiary pension, net of tax — — (1 ) — Ending balance (21 ) (13 ) (21 ) (13 ) Foreign currency translation adjustment Beginning balance (1,037 ) (1,021 ) (1,235 ) (1,091 ) Translation gain (loss), net of tax 120 (10 ) 318 60 Ending balance (917 ) (1,031 ) (917 ) (1,031 ) Total accumulated other comprehensive loss $ (935 ) $ (1,049 ) $ (935 ) $ (1,049 ) |
Guarantor Condensed Consolida35
Guarantor Condensed Consolidating Financial Statements (Tables) | 9 Months Ended |
Sep. 30, 2017 | |
Condensed Financial Information of Parent Company Only Disclosure [Abstract] | |
Condensed Consolidating Balance Sheet | CONDENSED CONSOLIDATING BALANCE SHEET September 30, 2017 (Unaudited) General Motors Financial Company, Inc. Guarantor Non- Guarantors Eliminations Consolidated ASSETS Cash and cash equivalents $ — $ 3,546 $ 430 $ — $ 3,976 Finance receivables, net — 10,097 30,767 — 40,864 Leased vehicles, net — — 41,775 — 41,775 Goodwill 1,095 — 106 — 1,201 Equity in net assets of non-consolidated affiliate — — 1,119 — 1,119 Related party receivables — 38 301 — 339 Other assets 855 1,230 3,933 (1,251 ) 4,767 Assets held for sale — — 12,095 (1 ) 12,094 Due from affiliates 32,762 19,467 — (52,229 ) — Investment in affiliates 10,177 5,610 — (15,787 ) — Total assets $ 44,889 $ 39,988 $ 90,526 $ (69,268 ) $ 106,135 LIABILITIES AND SHAREHOLDERS' EQUITY Liabilities Secured debt $ — $ — $ 41,177 $ (402 ) $ 40,775 Unsecured debt 34,047 — 4,216 — 38,263 Deferred income — — 3,066 — 3,066 Related party payables 2 — 251 — 253 Other liabilities 369 772 2,157 (849 ) 2,449 Liabilities held for sale — — 10,864 (6 ) 10,858 Due to affiliates — 32,576 19,648 (52,224 ) — Total liabilities 34,418 33,348 81,379 (53,481 ) 95,664 Shareholders' equity Common stock — — 698 (698 ) — Preferred stock — — — — — Additional paid-in capital 7,514 79 3,450 (3,529 ) 7,514 Accumulated other comprehensive loss (935 ) (107 ) (874 ) 981 (935 ) Retained earnings 3,892 6,668 5,873 (12,541 ) 3,892 Total shareholders' equity 10,471 6,640 9,147 (15,787 ) 10,471 Total liabilities and shareholders' equity $ 44,889 $ 39,988 $ 90,526 $ (69,268 ) $ 106,135 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 $ 531 $ — $ 2,815 Finance receivables, net — 4,969 28,506 — 33,475 Leased vehicles, net — — 34,342 — 34,342 Goodwill 1,095 — 101 — 1,196 Equity in net assets of non-consolidated affiliate — — 944 — 944 Related party receivables — 25 322 — 347 Other assets 506 884 3,065 (760 ) 3,695 Assets held for sale — — 10,959 (8 ) 10,951 Due from affiliates 24,548 16,065 — (40,613 ) — Investment in affiliates 8,986 6,445 — (15,431 ) — Total assets $ 35,135 $ 30,672 $ 78,770 $ (56,812 ) $ 87,765 LIABILITIES AND SHAREHOLDER'S EQUITY Liabilities Secured debt $ — $ — $ 35,256 $ (169 ) $ 35,087 Unsecured debt 26,076 — 3,400 — 29,476 Deferred income — — 2,355 — 2,355 Related party payables 1 — 319 — 320 Other liabilities 365 690 1,677 (591 ) 2,141 Liabilities held for sale — — 9,694 (1 ) 9,693 Due to affiliates — 24,437 16,183 (40,620 ) — Total liabilities 26,442 25,127 68,884 (41,381 ) 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 $ 78,770 $ (56,812 ) $ 87,765 |
Condensed Consolidating Statement of Income | CONDENSED CONSOLIDATING STATEMENT OF INCOME Three Months Ended September 30, 2017 (Unaudited) General Guarantor Non- Eliminations Consolidated Revenue Finance charge income $ — $ 146 $ 691 $ — $ 837 Leased vehicle income — — 2,244 — 2,244 Other income — 306 — (226 ) 80 Total revenue — 452 2,935 (226 ) 3,161 Costs and expenses Salaries and benefits — 182 42 — 224 Other operating expenses 94 (48 ) 203 (127 ) 122 Total operating expenses 94 134 245 (127 ) 346 Leased vehicle expenses — — 1,670 — 1,670 Provision for loan losses — 196 8 — 204 Interest expense 301 1 469 (99 ) 672 Total costs and expenses 395 331 2,392 (226 ) 2,892 Equity income 461 306 41 (767 ) 41 Income from continuing operations before income taxes 66 427 584 (767 ) 310 Income tax (benefit) provision (136 ) 40 220 — 124 Income from continuing operations 202 387 364 (767 ) 186 Income (loss) from discontinued operations, net of tax — (6 ) 22 — 16 Net income 202 381 386 (767 ) 202 Net income attributable to common shareholder $ 200 $ 381 $ 386 $ (767 ) $ 200 Comprehensive income $ 319 $ 411 $ 525 $ (936 ) $ 319 CONDENSED CONSOLIDATING STATEMENT OF INCOME Three Months Ended September 30, 2016 (Unaudited) General Guarantor Non- Eliminations Consolidated Revenue Finance charge income $ — $ 127 $ 594 $ — $ 721 Leased vehicle income — — 1,582 — 1,582 Other income — 213 15 (171 ) 57 Total revenue — 340 2,191 (171 ) 2,360 Costs and expenses Salaries and benefits — 157 38 — 195 Other operating expenses 6 54 173 (101 ) 132 Total operating expenses 6 211 211 (101 ) 327 Leased vehicle expenses — — 1,197 — 1,197 Provision for loan losses — 102 65 — 167 Interest expense 171 54 356 (70 ) 511 Total costs and expenses 177 367 1,829 (171 ) 2,202 Equity income 267 202 36 (469 ) 36 Income from continuing operations before income taxes 90 175 398 (469 ) 194 Income tax (benefit) provision (72 ) (17 ) 149 — 60 Income from continuing operations 162 192 249 (469 ) 134 (Loss) income from discontinued operations, net of tax (15 ) — 28 — 13 Net income $ 147 $ 192 $ 277 $ (469 ) $ 147 Comprehensive income $ 136 $ 183 $ 270 $ (453 ) $ 136 CONDENSED CONSOLIDATING STATEMENT OF INCOME Nine Months Ended September 30, 2017 (Unaudited) General Guarantor Non- Eliminations Consolidated Revenue Finance charge income $ — $ 375 $ 2,026 $ — $ 2,401 Leased vehicle income — — 6,282 — 6,282 Other income — 870 (15 ) (639 ) 216 Total revenue — 1,245 8,293 (639 ) 8,899 Costs and expenses Salaries and benefits — 504 117 — 621 Other operating expenses 200 (43 ) 587 (356 ) 388 Total operating expenses 200 461 704 (356 ) 1,009 Leased vehicle expenses — — 4,648 — 4,648 Provision for loan losses — 356 217 — 573 Interest expense 883 (28 ) 1,331 (283 ) 1,903 Total costs and expenses 1,083 789 6,900 (639 ) 8,133 Equity income 1,051 797 129 (1,848 ) 129 (Loss) income from continuing operations before income taxes (32 ) 1,253 1,522 (1,848 ) 895 Income tax (benefit) provision (498 ) 199 559 — 260 Income from continuing operations 466 1,054 963 (1,848 ) 635 Income (loss) from discontinued operations, net of tax — (13 ) (156 ) — (169 ) Net income 466 1,041 807 (1,848 ) 466 Net income attributable to common shareholder $ 464 $ 1,041 $ 807 $ (1,848 ) $ 464 Comprehensive income $ 769 $ 1,095 $ 1,156 $ (2,251 ) $ 769 CONDENSED CONSOLIDATING STATEMENT OF INCOME Nine Months Ended September 30, 2016 (Unaudited) General Guarantor Non- Eliminations Consolidated Revenue Finance charge income $ — $ 344 $ 1,766 $ — $ 2,110 Leased vehicle income — — 4,144 — 4,144 Other income (1 ) 628 28 (480 ) 175 Total revenue (1 ) 972 5,938 (480 ) 6,429 Costs and expenses Salaries and benefits — 432 104 — 536 Other operating expenses 2 175 475 (292 ) 360 Total operating expenses 2 607 579 (292 ) 896 Leased vehicle expenses — — 3,148 — 3,148 Provision for loan losses — 282 219 — 501 Interest expense 612 (67 ) 1,036 (188 ) 1,393 Total costs and expenses 614 822 4,982 (480 ) 5,938 Equity income 858 538 109 (1,396 ) 109 Income from continuing operations before income taxes 243 688 1,065 (1,396 ) 600 Income tax (benefit) provision (272 ) 63 394 — 185 Income from continuing operations 515 625 671 (1,396 ) 415 (Loss) income from discontinued operations, net of tax (15 ) — 100 — 85 Net income $ 500 $ 625 $ 771 $ (1,396 ) $ 500 Comprehensive income $ 555 $ 653 $ 837 $ (1,490 ) $ 555 |
Condensed Consolidating Statement of Cash Flows | CONDENSED CONSOLIDATING STATEMENT OF CASH FLOWS Nine Months Ended September 30, 2017 (Unaudited) General Motors Financial Company, Inc. Guarantor Non- Guarantors Eliminations Consolidated Net cash (used in) provided by operating activities - continuing operations $ (690 ) $ 616 $ 4,869 $ — $ 4,795 Net cash provided by (used in) operating activities - discontinued operations 26 (24 ) 241 — 243 Net cash (used in) provided by operating activities (664 ) 592 5,110 — 5,038 Cash flows from investing activities Purchases of retail finance receivables, net — (15,709 ) (11,312 ) 11,754 (15,267 ) Principal collections and recoveries on retail finance receivables — 1,875 7,535 — 9,410 Proceeds from transfer of retail finance receivables, net — 8,787 2,967 (11,754 ) — Net funding of commercial finance receivables — (429 ) (1,128 ) — (1,557 ) Purchases of leased vehicles, net — — (14,809 ) — (14,809 ) Proceeds from termination of leased vehicles — — 4,649 — 4,649 Other investing activities — (288 ) (10 ) 233 (65 ) Net change in due from affiliates (8,213 ) (3,397 ) — 11,610 — Net change in investment in affiliates 54 1,686 — (1,740 ) — Net cash used in investing activities - continuing operations (8,159 ) (7,475 ) (12,108 ) 10,103 (17,639 ) Net cash provided by (used in) investing activities - discontinued operations 131 — (599 ) — (468 ) Net cash used in investing activities (8,028 ) (7,475 ) (12,707 ) 10,103 (18,107 ) Cash flows from financing activities Net change in debt (original maturities less than three months) 66 — (371 ) — (305 ) Borrowings and issuance of secured debt — — 26,964 (233 ) 26,731 Payments on secured debt — — (20,905 ) — (20,905 ) Borrowings and issuance of unsecured debt 10,133 — 2,493 — 12,626 Payments on unsecured debt (2,450 ) — (1,925 ) — (4,375 ) Debt issuance costs (42 ) — (89 ) — (131 ) Proceeds from issuance of preferred stock 985 — — — 985 Net capital contributions — — (1,740 ) 1,740 — Net change in due to affiliates — 8,145 3,465 (11,610 ) — Net cash provided by financing activities - continuing operations 8,692 8,145 7,892 (10,103 ) 14,626 Net cash provided by financing activities - discontinued operations — — 63 — 63 Net cash provided by financing activities 8,692 8,145 7,955 (10,103 ) 14,689 Net increase in cash, cash equivalents and restricted cash — 1,262 358 — 1,620 Effect of foreign exchange rate changes on cash, cash equivalents and restricted cash — — 112 — 112 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 $ — $ 3,546 $ 3,488 $ — $ 7,034 Cash, cash equivalents and restricted cash from continuing operations at end of period $ — $ 3,546 $ 2,923 $ — $ 6,469 Cash, cash equivalents and restricted cash from discontinued operations at end of period $ — $ — $ 565 $ — $ 565 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 $ — $ 3,546 $ 430 $ — $ 3,976 Restricted cash included in other assets — — 2,493 — 2,493 Total $ — $ 3,546 $ 2,923 $ — $ 6,469 CONDENSED CONSOLIDATING STATEMENT OF CASH FLOWS Nine Months Ended September 30, 2016 (Unaudited) General Motors Financial Company, Inc. Guarantor Non- Guarantors Eliminations Consolidated Net cash (used in) provided by operating activities - continuing operations $ (454 ) $ (389 ) $ 4,409 $ — $ 3,566 Net cash provided by operating activities - discontinued operations (15 ) 10 295 — 290 Net cash (used in) provided by operating activities (469 ) (379 ) 4,704 — 3,856 Cash flows from investing activities Purchases of retail finance receivables, net — (12,676 ) (10,047 ) 12,315 (10,408 ) Principal collections and recoveries on retail finance receivables — 1,274 6,094 — 7,368 Proceeds from transfer of retail finance receivables, net — 8,232 4,083 (12,315 ) — Net funding of commercial finance receivables — (335 ) (810 ) — (1,145 ) Purchases of leased vehicles, net — — (14,939 ) — (14,939 ) Proceeds from termination of leased vehicles — — 1,799 — 1,799 Other investing activities — (219 ) (9 ) 169 (59 ) Net change in due from affiliates (7,506 ) (6,621 ) — 14,127 — Net change in investment in affiliates 24 2,473 — (2,497 ) — Net cash used in investing activities - continuing operations (7,482 ) (7,872 ) (13,829 ) 11,799 (17,384 ) Net cash used in investing activities - discontinued operations — — (949 ) — (949 ) Net cash used in investing activities (7,482 ) (7,872 ) (14,778 ) 11,799 (18,333 ) Cash flows from financing activities Net change in debt (original maturities less than three months) 1 — (302 ) — (301 ) Borrowings and issuance of secured debt — — 18,589 (169 ) 18,420 Payments on secured debt — — (12,525 ) — (12,525 ) Borrowings and issuance of unsecured debt 8,987 — 1,371 — 10,358 Payments on unsecured debt (1,000 ) — (1,345 ) — (2,345 ) Debt issuance costs (37 ) — (75 ) — (112 ) Net capital contributions — — (2,497 ) 2,497 — Net change in due to affiliates — 7,643 6,484 (14,127 ) — Net cash provided by financing activities - continuing operations 7,951 7,643 9,700 (11,799 ) 13,495 Net cash provided by financing activities - discontinued operations — — 601 — 601 Net cash provided by financing activities 7,951 7,643 10,301 (11,799 ) 14,096 Net increase (decrease) in cash, cash equivalents and restricted cash — (608 ) 227 — (381 ) Effect of foreign exchange rate changes on cash, cash equivalents and restricted cash — — 22 — 22 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 $ — $ 1,711 $ 2,932 $ — $ 4,643 Cash, cash equivalents and restricted cash from continuing operations at end of period $ — $ 1,711 $ 2,207 $ — $ 3,918 Cash, cash equivalents and restricted cash from discontinued operations at end of period $ — $ — $ 725 $ — $ 725 |
Summary of Significant Accoun36
Summary of Significant Accounting Policies - Narrative (Details) | 9 Months Ended |
Sep. 30, 2017segment | |
Accounting Policies [Abstract] | |
Number of operating segments | 2 |
Discontinued Operations - Narra
Discontinued Operations - Narrative (Details) - USD ($) $ in Millions | Mar. 05, 2017 | Sep. 30, 2017 | Sep. 30, 2016 | Sep. 30, 2017 | Sep. 30, 2016 | Dec. 31, 2017 |
Disposal Group, Disposed of by Sale, Not Discontinued Operations [Member] | Fincos [Member] | ||||||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | ||||||
Percent of book value received | 80.00% | |||||
Consideration received | $ 1,100 | |||||
Discontinued Operations, Held-for-sale [Member] | General Motors Holdings LLC [Member] | ||||||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | ||||||
Loss on sale of discontinued operations before income taxes | $ (38) | $ 0 | $ (374) | $ 0 | ||
Discontinued Operations, Held-for-sale [Member] | General Motors Holdings LLC [Member] | Forecast [Member] | ||||||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | ||||||
Loss on sale of discontinued operations before income taxes | $ (500) |
Discontinued Operations - Finan
Discontinued Operations - Financial Information for Assets and Liabilities of Businesses Held for Sale (Details) - USD ($) $ in Millions | Sep. 30, 2017 | Dec. 31, 2016 |
ASSETS | ||
Total assets held for sale | $ 12,094 | $ 10,951 |
LIABILITIES | ||
Total liabilities held for sale | 10,858 | 9,693 |
General Motors Holdings LLC [Member] | Discontinued Operations, Held-for-sale [Member] | ||
ASSETS | ||
Cash and cash equivalents | 242 | 386 |
Finance receivables, net | 11,303 | 9,715 |
Related party receivables | 0 | 163 |
Other assets | 549 | 687 |
Total assets held for sale | 12,094 | 10,951 |
LIABILITIES | ||
Secured debt | 4,872 | 4,183 |
Unsecured debt | 5,469 | 5,130 |
Related party payables | 0 | 80 |
Other liabilities | 517 | 300 |
Total liabilities held for sale | $ 10,858 | $ 9,693 |
Discontinued Operations - Fin39
Discontinued Operations - Financial Information for Discontinued Operations (Details) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2017 | Sep. 30, 2016 | Sep. 30, 2017 | Sep. 30, 2016 | |
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | ||||
Income (loss) from discontinued operations, net of tax | $ 16 | $ 13 | $ (169) | $ 85 |
Discontinued Operations, Held-for-sale [Member] | General Motors Holdings LLC [Member] | ||||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | ||||
Total revenue | 148 | 138 | 422 | 436 |
Interest expense | 24 | 30 | 70 | 112 |
Other expenses | 75 | 74 | 231 | 205 |
Total costs and expenses | 99 | 104 | 301 | 317 |
Income from discontinued operations before income taxes | 49 | 34 | 121 | 119 |
Loss on sale of discontinued operations before income taxes | 38 | 0 | 374 | 0 |
Income (loss) from discontinued operations before income taxes | 11 | 34 | (253) | 119 |
Income tax (benefit) provision | (5) | 21 | (84) | 34 |
Income (loss) from discontinued operations, net of tax | $ 16 | $ 13 | $ (169) | $ 85 |
Related Party Transactions (Det
Related Party Transactions (Details) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | |||
Sep. 30, 2017 | Sep. 30, 2016 | Sep. 30, 2017 | Sep. 30, 2016 | Dec. 31, 2016 | |
Affiliated Entity [Member] | |||||
Related Party Transaction [Line Items] | |||||
Finance receivables, net due | $ 96 | $ 96 | $ 0 | ||
Subvention receivable | 338 | 338 | 347 | ||
Leased vehicle subvention earned | 786 | $ 591 | 2,246 | $ 1,588 | |
Affiliated Entity [Member] | Retail Finance Receivables [Member] | |||||
Related Party Transaction [Line Items] | |||||
Interest subvention earned | 115 | 90 | 319 | 245 | |
Affiliated Entity [Member] | Commercial Finance Receivables [Member] | |||||
Related Party Transaction [Line Items] | |||||
Finance receivables, net due | 349 | 349 | 347 | ||
Commercial loan funding payable | 251 | 251 | $ 320 | ||
Interest subvention earned | 14 | 13 | 42 | 35 | |
Parent Company [Member] | |||||
Related Party Transaction [Line Items] | |||||
Revenue from related parties | $ 1,100 | $ 1,000 | $ 3,300 | $ 3,200 |
Related Party Transactions - Na
Related Party Transactions - Narrative (Details) - USD ($) | 9 Months Ended | 12 Months Ended |
Sep. 30, 2017 | Dec. 31, 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 | Sep. 30, 2017 | Dec. 31, 2016 |
Accounts, Notes, Loans and Financing Receivable, Gross, Allowance, and Net [Abstract] | ||
Accrual of finance charge income | $ 797 | $ 798 |
Finance Receivables - Finance R
Finance Receivables - Finance Receivables, net (Details) - USD ($) $ in Millions | Sep. 30, 2017 | Dec. 31, 2016 |
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Finance receivables, net | $ 40,864 | $ 33,475 |
Fair value of finance receivables | 40,957 | 33,528 |
Commercial Finance Receivables [Member] | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total finance receivables | 9,495 | 7,880 |
Automobile Loan [Member] | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Deferred income | 282 | 178 |
Automobile Loan [Member] | Retail Finance Receivables [Member] | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Collectively evaluated for impairment, net of fees | 30,147 | 24,480 |
Individually evaluated for impairment, net of fees | 2,170 | 1,920 |
Total finance receivables | 32,317 | 26,400 |
Less: allowance for loan losses - collective | (571) | (489) |
Less: allowance for loan losses - specific | (328) | (276) |
Total finance receivables, net | 31,418 | 25,635 |
Automobile Loan [Member] | Commercial Finance Receivables [Member] | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Collectively evaluated for impairment, net of fees | 9,468 | 7,853 |
Individually evaluated for impairment, net of fees | 27 | 27 |
Total finance receivables | 9,495 | 7,880 |
Less: allowance for loan losses - collective | (46) | (36) |
Less: allowance for loan losses - specific | (3) | (4) |
Total finance receivables, net | $ 9,446 | $ 7,840 |
Finance Receivables - Allowance
Finance Receivables - Allowance for Loan Losses (Details) - Retail Finance Receivables [Member] - Automobile Loan [Member] - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2017 | Sep. 30, 2016 | Sep. 30, 2017 | Sep. 30, 2016 | |
Financing Receivable, Allowance for Credit Losses [Roll Forward] | ||||
Allowance for retail loan losses beginning balance | $ 844 | $ 790 | $ 765 | $ 713 |
Provision for loan losses | 204 | 164 | 563 | 497 |
Charge-offs | (286) | (284) | (856) | (826) |
Recoveries | 135 | 128 | 420 | 403 |
Foreign currency translation | 2 | (2) | 7 | 9 |
Allowance for retail loan losses ending balance | $ 899 | $ 796 | $ 899 | $ 796 |
Finance Receivables - Credit Qu
Finance Receivables - Credit Quality (Details) - North America Segment [Member] - Automobile Loan [Member] - Retail Finance Receivables [Member] - USD ($) $ in Millions | Sep. 30, 2017 | Dec. 31, 2016 |
Financing Receivable, Recorded Investment [Line Items] | ||
Finance receivables, net of fees | $ 26,969 | $ 21,786 |
Finance receivables credit indicator, Percent | 100.00% | 100.00% |
Prime - FICO Score 680 and greater [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Finance receivables, net of fees | $ 12,332 | $ 7,923 |
Finance receivables credit indicator, Percent | 45.70% | 36.40% |
Near-prime - FICO Score 620 to 679 [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Finance receivables, net of fees | $ 4,194 | $ 3,468 |
Finance receivables credit indicator, Percent | 15.60% | 15.90% |
Sub-prime - FICO Score less than 620 [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Finance receivables, net of fees | $ 10,443 | $ 10,395 |
Finance receivables credit indicator, Percent | 38.70% | 47.70% |
Finance Receivables - Delinquen
Finance Receivables - Delinquency (Details) - Retail Finance Receivables [Member] - Automobile Loan [Member] - USD ($) $ in Millions | Sep. 30, 2017 | Sep. 30, 2016 |
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
In repossession | $ 55 | $ 57 |
In repossession (percent) | 0.20% | 0.20% |
Total finance receivables more than 30 days delinquent or in repossession | $ 1,752 | $ 1,660 |
Total finance receivables more than 30 days delinquent or in repossession (percent) | 5.40% | 6.50% |
31 to 60 Days [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Financing receivable past due | $ 1,176 | $ 1,112 |
Financing receivable past due (percent) | 3.60% | 4.40% |
Greater Than 60 Days [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Financing receivable past due | $ 521 | $ 491 |
Financing receivable past due (percent) | 1.60% | 1.90% |
Thirty or More Days Past Due [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Financing receivable past due | $ 1,697 | $ 1,603 |
Financing receivable past due (percent) | 5.20% | 6.30% |
Finance Receivables - Troubled
Finance Receivables - Troubled Debt Restructurings (Details) - North America Segment [Member] - Automobile Loan [Member] $ in Millions | 3 Months Ended | 9 Months Ended | |||
Sep. 30, 2017USD ($)loan | Sep. 30, 2016USD ($)loan | Sep. 30, 2017USD ($)loan | Sep. 30, 2016USD ($)loan | Dec. 31, 2016USD ($) | |
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||||
Outstanding recorded investment | $ 2,170 | $ 2,170 | $ 1,920 | ||
Less: allowance for loan losses | (328) | (328) | (276) | ||
Outstanding recorded investment, net of allowance | 1,842 | 1,842 | 1,644 | ||
Unpaid principal balance | 2,210 | 2,210 | $ 1,967 | ||
Average outstanding recorded investment | 2,091 | $ 1,785 | 2,045 | $ 1,725 | |
Finance charge income recognized | $ 56 | $ 55 | $ 173 | $ 156 | |
Number of loans classified as TDRs during the period | loan | 23,015 | 18,548 | 56,853 | 49,327 | |
Recorded investment of loans classified as TDRs during the period | $ 407 | $ 315 | $ 997 | $ 846 |
Finance Receivables - Credit Ri
Finance Receivables - Credit Risk Profile by Dealer grouping of Commercial Finance Receivables (Details) - Commercial Finance Receivables [Member] - USD ($) $ in Millions | 9 Months Ended | 12 Months Ended |
Sep. 30, 2017 | Dec. 31, 2016 | |
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Balance at end of period | $ 9,495 | $ 7,880 |
Percent of portfolio | 100.00% | 100.00% |
Group I [Member] | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Balance at end of period | $ 1,547 | $ 1,389 |
Percent of portfolio | 16.30% | 17.60% |
Group II [Member] | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Balance at end of period | $ 3,565 | $ 2,661 |
Percent of portfolio | 37.50% | 33.80% |
Group III [Member] | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Balance at end of period | $ 3,112 | $ 2,775 |
Percent of portfolio | 32.80% | 35.20% |
Group IV [Member] | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Balance at end of period | $ 931 | $ 631 |
Percent of portfolio | 9.80% | 8.00% |
Group V [Member] | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Balance at end of period | $ 238 | $ 334 |
Percent of portfolio | 2.50% | 4.20% |
Group VI [Member] | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Balance at end of period | $ 102 | $ 90 |
Percent of portfolio | 1.10% | 1.20% |
Leased Vehicles - Summary of Le
Leased Vehicles - Summary of Leased Vehicles (Details) - USD ($) $ in Millions | Sep. 30, 2017 | Dec. 31, 2016 |
Property Subject to or Available for Operating Lease, Net [Abstract] | ||
Leased vehicles | $ 60,112 | $ 48,340 |
Manufacturer subvention | (9,265) | (7,686) |
Leased vehicles accounted for operating leases net of manufacturing incentives | 50,847 | 40,654 |
Less: accumulated depreciation | (9,072) | (6,312) |
Leased vehicles, net | $ 41,775 | $ 34,342 |
Leased Vehicles - Minimum Renta
Leased Vehicles - Minimum Rental Payments (Details) $ in Millions | Sep. 30, 2017USD ($) |
Operating Leases, Future Minimum Payments Receivable [Abstract] | |
2,017 | $ 1,800 |
2,018 | 6,256 |
2,019 | 3,861 |
2,020 | 1,182 |
2,021 | $ 110 |
Equity in Net Assets of Non-c51
Equity in Net Assets of Non-consolidated Affiliate (Details) - USD ($) | 3 Months Ended | 9 Months Ended | |||
Sep. 30, 2017 | Sep. 30, 2016 | Sep. 30, 2017 | Sep. 30, 2016 | Dec. 31, 2016 | |
Noncontrolling Interest [Line Items] | |||||
Net income | $ 41,000,000 | $ 36,000,000 | $ 129,000,000 | $ 109,000,000 | |
SAIC-GMAC [Member] | |||||
Noncontrolling Interest [Line Items] | |||||
Finance charge income | 261,000,000 | 229,000,000 | 775,000,000 | 700,000,000 | |
Provision for loan losses | 2,000,000 | 7,000,000 | (9,000,000) | 21,000,000 | |
Interest expense | 83,000,000 | 65,000,000 | 241,000,000 | 192,000,000 | |
Income before income taxes | 157,000,000 | 137,000,000 | 490,000,000 | 411,000,000 | |
Net income | $ 118,000,000 | $ 103,000,000 | $ 368,000,000 | 308,000,000 | |
Ownership interest (percent) | 35.00% | 35.00% | |||
Cash dividends received | $ 0 | $ 129,000,000 | |||
Undistributed earnings | $ 271,000,000 | $ 271,000,000 | $ 142,000,000 |
Debt - Schedule of Debt (Detail
Debt - Schedule of Debt (Details) - USD ($) $ in Millions | Sep. 30, 2017 | Dec. 31, 2016 |
Short Term and Long Term Debt [Line Items] | ||
Secured debt | $ 40,775 | $ 35,087 |
Unsecured debt | 38,263 | 29,476 |
Total secured and unsecured debt | 79,038 | 64,563 |
Secured debt fair value | 40,889 | 35,162 |
Unsecured debt fair value | 39,411 | 30,045 |
Fair value of Secured and Unsecured debt | 80,300 | 65,207 |
Level 2 [Member] | ||
Short Term and Long Term Debt [Line Items] | ||
Fair value of Secured and Unsecured debt | 78,293 | 62,951 |
Level 3 [Member] | ||
Short Term and Long Term Debt [Line Items] | ||
Fair value of Secured and Unsecured debt | 2,007 | 2,256 |
Revolving Credit Facility [Member] | ||
Short Term and Long Term Debt [Line Items] | ||
Secured debt | 4,751 | 8,503 |
Unsecured debt | 2,162 | 1,961 |
Secured debt fair value | 4,769 | 8,498 |
Unsecured debt fair value | 2,174 | 1,961 |
Securitization Notes Payable [Member] | Retail Finance Receivables [Member] | ||
Short Term and Long Term Debt [Line Items] | ||
Secured debt | 36,024 | 26,584 |
Secured debt fair value | 36,120 | 26,664 |
Senior Notes [Member] | ||
Short Term and Long Term Debt [Line Items] | ||
Unsecured debt | 34,794 | 26,737 |
Unsecured debt fair value | 35,927 | 27,304 |
Other Unsecured Debt [Member] | ||
Short Term and Long Term Debt [Line Items] | ||
Unsecured debt | 1,307 | 778 |
Unsecured debt fair value | $ 1,310 | $ 780 |
Debt - Narrative (Details)
Debt - Narrative (Details) - USD ($) | 9 Months Ended | |
Sep. 30, 2017 | Dec. 31, 2016 | |
Line of Credit [Member] | Revolving Credit Facility [Member] | ||
Debt Instrument [Line Items] | ||
Increase in credit facilities during period | $ 1,700,000,000 | |
Secured Debt [Member] | Securitization Notes Payable [Member] | ||
Debt Instrument [Line Items] | ||
Debt instrument, face amount | $ 18,800,000,000 | |
Weighted average interest rate | 2.09% | |
Senior Notes [Member] | ||
Debt Instrument [Line Items] | ||
Debt instrument, face amount | $ 37,275,000,000 | $ 29,008,000,000 |
Weighted average interest rate | 2.87% | |
Increase in Senior Notes during the period | $ 10,600,000,000 | |
Parent Company [Member] | Senior Notes [Member] | ||
Debt Instrument [Line Items] | ||
Debt instrument, face amount | $ 407,000,000 |
Variable Interest Entities - As
Variable Interest Entities - Assets and Liabilities of Consolidated VIE's (Details) - USD ($) $ in Millions | Sep. 30, 2017 | Dec. 31, 2016 |
Variable Interest Entity [Line Items] | ||
Finance receivables, net of fees | $ 40,864 | $ 33,475 |
Lease related assets | 41,775 | 34,342 |
Securitization and Credit Facility VIEs [Member] | ||
Variable Interest Entity [Line Items] | ||
Restricted cash | 2,291 | 1,780 |
Finance receivables, net of fees | 26,451 | 24,644 |
Lease related assets | 23,751 | 19,341 |
Secured debt | $ 40,188 | $ 34,185 |
Derivative Financial Instrume55
Derivative Financial Instruments and Hedging Activities (Details) - USD ($) $ in Millions | Sep. 30, 2017 | Dec. 31, 2016 |
Designated as Hedging Instrument [Member] | Other Assets [Member] | ||
Derivatives, Fair Value [Line Items] | ||
Derivative asset, Notional amount | $ 7,417 | $ 3,070 |
Derivative asset, Fair value | 92 | 12 |
Designated as Hedging Instrument [Member] | Other Liabilities [Member] | ||
Derivatives, Fair Value [Line Items] | ||
Derivative liability, Notional amount | 7,860 | 8,991 |
Derivative liability, Fair value | 260 | 310 |
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 | 3,500 | 0 |
Derivative asset, Fair value | 20 | 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 | 7,860 | 7,700 |
Derivative liability, Fair value | 260 | 276 |
Designated as Hedging Instrument [Member] | Cash Flow Hedging [Member] | Other Assets [Member] | Interest Rate Swaps [Member] | Level 2,3 [Member] | ||
Derivatives, Fair Value [Line Items] | ||
Derivative asset, Notional amount | 2,561 | 3,070 |
Derivative asset, Fair value | 12 | 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 | 1,356 | 0 |
Derivative asset, Fair value | 60 | 0 |
Designated as Hedging Instrument [Member] | Cash Flow Hedging [Member] | Other Liabilities [Member] | Interest Rate Swaps [Member] | Level 2,3 [Member] | ||
Derivatives, Fair Value [Line Items] | ||
Derivative liability, Notional amount | 0 | 500 |
Derivative liability, Fair value | 0 | 1 |
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 | 0 | 791 |
Derivative liability, Fair value | 0 | 33 |
Not Designated as Hedging Instrument [Member] | Other Assets [Member] | ||
Derivatives, Fair Value [Line Items] | ||
Derivative asset, Notional amount | 51,210 | 17,657 |
Derivative asset, Fair value | 251 | 80 |
Not Designated as Hedging Instrument [Member] | Other Assets [Member] | Interest Rate Swaps [Member] | Level 2,3 [Member] | ||
Derivatives, Fair Value [Line Items] | ||
Derivative asset, Notional amount | 33,218 | 7,959 |
Derivative asset, Fair value | 123 | 54 |
Not Designated as Hedging Instrument [Member] | Other Assets [Member] | Interest Rate Caps and Floors [Member] | Level 2 [Member] | ||
Derivatives, Fair Value [Line Items] | ||
Derivative asset, Notional amount | 16,810 | 9,698 |
Derivative asset, Fair value | 43 | 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 | 1,182 | 0 |
Derivative asset, Fair value | 85 | 0 |
Not Designated as Hedging Instrument [Member] | Other Liabilities [Member] | ||
Derivatives, Fair Value [Line Items] | ||
Derivative liability, Notional amount | 31,290 | 18,316 |
Derivative liability, Fair value | 102 | 54 |
Not Designated as Hedging Instrument [Member] | Other Liabilities [Member] | Interest Rate Swaps [Member] | Level 2,3 [Member] | ||
Derivatives, Fair Value [Line Items] | ||
Derivative liability, Notional amount | 12,823 | 6,170 |
Derivative liability, Fair value | 59 | 28 |
Not Designated as Hedging Instrument [Member] | Other Liabilities [Member] | Interest Rate Caps and Floors [Member] | Level 2 [Member] | ||
Derivatives, Fair Value [Line Items] | ||
Derivative liability, Notional amount | 18,467 | 12,146 |
Derivative liability, Fair value | 43 | 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 | 0 | 0 |
Derivative liability, Fair value | $ 0 | $ 0 |
Derivative Financial Instrume56
Derivative Financial Instruments and Hedging Activities - Derivatives Income (Losses) Recognized in Income (Details) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2017 | Sep. 30, 2016 | Sep. 30, 2017 | Sep. 30, 2016 | |
Derivatives, Fair Value [Line Items] | ||||
Total | $ 108 | $ 8 | $ 217 | $ 30 |
Cash Flow Hedging [Member] | ||||
Derivatives, Fair Value [Line Items] | ||||
Gains (Losses) Recognized In Accumulated Other Comprehensive Loss | 24 | 2 | 46 | (2) |
Gains (Losses) Reclassified From Accumulated Other Comprehensive Loss Into Income | (27) | (3) | (60) | (3) |
Cash Flow Hedging [Member] | Interest Rate Contracts [Member] | ||||
Derivatives, Fair Value [Line Items] | ||||
Gains (Losses) Recognized In Accumulated Other Comprehensive Loss | 0 | 2 | 1 | (2) |
Gains (Losses) Reclassified From Accumulated Other Comprehensive Loss Into Income | (1) | 1 | 0 | 1 |
Cash Flow Hedging [Member] | Foreign Currency Contracts [Member] | ||||
Derivatives, Fair Value [Line Items] | ||||
Gains (Losses) Recognized In Accumulated Other Comprehensive Loss | 24 | 0 | 45 | 0 |
Gains (Losses) Reclassified From Accumulated Other Comprehensive Loss Into Income | (26) | (4) | (60) | (4) |
Designated as Hedging Instrument [Member] | Fair Value Hedging [Member] | Interest Rate Contracts [Member] | ||||
Derivatives, Fair Value [Line Items] | ||||
Interest rate contracts and Foreign currency contracts | 9 | 6 | 38 | 26 |
Designated as Hedging Instrument [Member] | Cash Flow Hedging [Member] | Interest Rate Contracts [Member] | ||||
Derivatives, Fair Value [Line Items] | ||||
Interest rate contracts and Foreign currency contracts | 2 | (1) | 1 | (2) |
Designated as Hedging Instrument [Member] | Cash Flow Hedging [Member] | Foreign Currency Contracts [Member] | ||||
Derivatives, Fair Value [Line Items] | ||||
Interest rate contracts and Foreign currency contracts | 44 | (1) | 99 | (1) |
Not Designated as Hedging Instrument [Member] | ||||
Derivatives, Fair Value [Line Items] | ||||
Interest rate contracts | 16 | 4 | 7 | 7 |
Foreign currency derivatives | $ 37 | $ 0 | $ 72 | $ 0 |
Commitments and Contingencies -
Commitments and Contingencies - Narrative (Details) - USD ($) | Sep. 30, 2017 | Dec. 31, 2016 |
Commitment and Contingencies [Line Items] | ||
Estimate of possible loss | $ 73,000,000 | |
Loss accrual | 24,000,000 | |
Indirect tax contingency | 18,000,000 | |
Discontinued Operations [Member] | ||
Commitment and Contingencies [Line Items] | ||
Estimate of possible loss | 38,000,000 | |
Loss accrual | 10,000,000 | |
Indirect tax contingency | 18,000,000 | |
Senior Notes [Member] | ||
Commitment and Contingencies [Line Items] | ||
Debt instrument, face amount | $ 37,275,000,000 | $ 29,008,000,000 |
Shareholders' Equity (Details)
Shareholders' Equity (Details) $ / shares in Units, $ in Millions | Sep. 01, 2017$ / shares | Sep. 30, 2017USD ($)$ / sharesshares | Aug. 31, 2017$ / shares | Dec. 31, 2016$ / shares |
Class of Stock [Line Items] | ||||
Common stock par value per share (in dollars per share) | $ 0.0001 | $ 0.0001 | $ 1 | $ 0.0001 |
Preferred stock par value (in dollars per share) | $ 0.01 | $ 0.01 | ||
Common Stock [Member] | ||||
Class of Stock [Line Items] | ||||
Stock split conversion ratio | 10,000 | |||
Series A Preferred Stock [Member] | ||||
Class of Stock [Line Items] | ||||
Stock issued during period (shares) | shares | 1,000,000 | |||
Preferred stock issued during period | $ | $ 985 | |||
Term of fixed rate dividend payments | 10 years | |||
Preferred stock par value (in dollars per share) | $ 0.01 | |||
Liquidation preference (in dollars per share) | $ 1,000 | |||
Preferred stock dividend rate | 5.75% | |||
Series A Preferred Stock [Member] | London Interbank Offered Rate (LIBOR) [Member] | ||||
Class of Stock [Line Items] | ||||
Preferred stock variable dividend rate | 3.598% |
Income Taxes (Details)
Income Taxes (Details) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2017 | Sep. 30, 2016 | Sep. 30, 2017 | Sep. 30, 2016 | |
Income Tax Disclosure [Abstract] | ||||
Income tax (benefit) provision | $ 124 | $ 60 | $ 260 | $ 185 |
Segment Reporting - Narrative (
Segment Reporting - Narrative (Details) | 9 Months Ended |
Sep. 30, 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 | 9 Months Ended | ||
Sep. 30, 2017 | Sep. 30, 2016 | Sep. 30, 2017 | Sep. 30, 2016 | |
Segment Reporting Information [Line Items] | ||||
Total revenue | $ 3,161 | $ 2,360 | $ 8,899 | $ 6,429 |
Operating expenses | 346 | 327 | 1,009 | 896 |
Leased vehicle expenses | 1,670 | 1,197 | 4,648 | 3,148 |
Provision for loan losses | 204 | 167 | 573 | 501 |
Interest expense | 672 | 511 | 1,903 | 1,393 |
Equity income | 41 | 36 | 129 | 109 |
Income from continuing operations before income taxes | 310 | 194 | 895 | 600 |
Operating Segments [Member] | North America Segment [Member] | ||||
Segment Reporting Information [Line Items] | ||||
Total revenue | 2,868 | 2,092 | 8,042 | 5,666 |
Operating expenses | 265 | 240 | 766 | 656 |
Leased vehicle expenses | 1,662 | 1,194 | 4,631 | 3,143 |
Provision for loan losses | 177 | 147 | 497 | 449 |
Interest expense | 536 | 383 | 1,488 | 1,025 |
Equity income | 0 | 0 | 0 | 0 |
Income from continuing operations before income taxes | 228 | 128 | 660 | 393 |
Operating Segments [Member] | International Segment [Member] | ||||
Segment Reporting Information [Line Items] | ||||
Total revenue | 293 | 268 | 857 | 763 |
Operating expenses | 81 | 87 | 243 | 240 |
Leased vehicle expenses | 8 | 3 | 17 | 5 |
Provision for loan losses | 27 | 20 | 76 | 52 |
Interest expense | 136 | 128 | 415 | 368 |
Equity income | 41 | 36 | 129 | 109 |
Income from continuing operations before income taxes | $ 82 | $ 66 | $ 235 | $ 207 |
Segment Reporting - Operation62
Segment Reporting - Operations Reporting by Assets (Details) - USD ($) $ in Millions | Sep. 30, 2017 | Dec. 31, 2016 |
Segment Reporting Information [Line Items] | ||
Finance receivables, net | $ 40,864 | $ 33,475 |
Leased vehicles, net | 41,775 | 34,342 |
Total assets(a) | 106,135 | 87,765 |
Assets held for sale | 12,094 | 10,951 |
North America Segment [Member] | ||
Segment Reporting Information [Line Items] | ||
Finance receivables, net | 34,225 | 27,617 |
Leased vehicles, net | 41,657 | 34,284 |
Total assets(a) | 84,971 | 68,656 |
International Segment [Member] | ||
Segment Reporting Information [Line Items] | ||
Finance receivables, net | 6,639 | 5,858 |
Leased vehicles, net | 118 | 58 |
Total assets(a) | $ 21,164 | $ 19,109 |
Accumulated Other Comprehensi63
Accumulated Other Comprehensive Loss (Details) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2017 | Sep. 30, 2016 | Sep. 30, 2017 | Sep. 30, 2016 | |
Changes in Accumulated Other Comprehensive Income [Roll Forward] | ||||
Beginning balance | $ 8,693 | |||
Other comprehensive (loss) income, net of tax | $ 117 | $ (11) | 303 | $ 55 |
Ending balance | 10,471 | 10,471 | ||
AOCI Attributable to Parent [Member] | ||||
Changes in Accumulated Other Comprehensive Income [Roll Forward] | ||||
Ending balance | (935) | (1,049) | (935) | (1,049) |
Unrealized Gain (Loss) on Cash Flow Hedges [Member] | ||||
Changes in Accumulated Other Comprehensive Income [Roll Forward] | ||||
Beginning balance | 6 | (4) | 17 | 0 |
Other comprehensive (loss) income, net of tax | (3) | (1) | (14) | (5) |
Ending balance | 3 | (5) | 3 | (5) |
Defined Benefit Plans [Member] | ||||
Changes in Accumulated Other Comprehensive Income [Roll Forward] | ||||
Beginning balance | (21) | (13) | (20) | (13) |
Other comprehensive (loss) income, net of tax | 0 | 0 | (1) | 0 |
Ending balance | (21) | (13) | (21) | (13) |
Foreign Currency Translation Adjustment [Member] | ||||
Changes in Accumulated Other Comprehensive Income [Roll Forward] | ||||
Beginning balance | (1,037) | (1,021) | (1,235) | (1,091) |
Other comprehensive (loss) income, net of tax | 120 | (10) | 318 | 60 |
Ending balance | $ (917) | $ (1,031) | $ (917) | $ (1,031) |
Regulatory Capital and other 64
Regulatory Capital and other Regulatory Matters (Details) - USD ($) $ in Millions | Sep. 30, 2017 | Dec. 31, 2016 |
Capital Requirements on Foreign Financial Institutions [Line Items] | ||
Assets | $ 106,135 | $ 87,765 |
International Regulated Bank And Finance Companies [Member] | ||
Capital Requirements on Foreign Financial Institutions [Line Items] | ||
Assets | $ 7,600 | $ 6,900 |
Guarantor Condensed Consolida65
Guarantor Condensed Consolidating Financial Statements - Current Period Guarantor Balance Sheet (Details) - USD ($) $ in Millions | Sep. 30, 2017 | Dec. 31, 2016 |
Assets | ||
Cash and cash equivalents | $ 3,976 | $ 2,815 |
Finance receivables, net | 40,864 | 33,475 |
Leased vehicles, net | 41,775 | 34,342 |
Goodwill | 1,201 | 1,196 |
Equity in net assets of non-consolidated affiliate (Note 6) | 1,119 | 944 |
Related party receivables (Note 3) | 339 | 347 |
Other assets (Note 8 VIEs) | 4,767 | 3,695 |
Assets held for sale (Note 2) | 12,094 | 10,951 |
Due from affiliates | 0 | 0 |
Investment in affiliates | 0 | 0 |
Total assets | 106,135 | 87,765 |
Liabilities | ||
Secured debt (Note 7; Note 8 VIEs) | 40,775 | 35,087 |
Unsecured debt (Note 7) | 38,263 | 29,476 |
Deferred income | 3,066 | 2,355 |
Related party payables (Note 3) | 253 | 320 |
Other liabilities | 2,449 | 2,141 |
Liabilities held for sale (Note 2) | 10,858 | 9,693 |
Due to affiliates | 0 | 0 |
Total liabilities | 95,664 | 79,072 |
Shareholders' equity | ||
Common stock | 0 | 0 |
Preferred stock | 0 | 0 |
Additional paid-in capital | 7,514 | 6,505 |
Accumulated other comprehensive loss (Note 14) | (935) | (1,238) |
Retained earnings | 3,892 | 3,426 |
Total shareholders' equity | 10,471 | 8,693 |
Total liabilities and shareholders' equity | 106,135 | 87,765 |
Parent Company [Member] | ||
Assets | ||
Cash and cash equivalents | 0 | |
Finance receivables, net | 0 | 0 |
Leased vehicles, net | 0 | 0 |
Goodwill | 1,095 | 1,095 |
Equity in net assets of non-consolidated affiliate (Note 6) | 0 | 0 |
Related party receivables (Note 3) | 0 | 0 |
Other assets (Note 8 VIEs) | 855 | 506 |
Assets held for sale (Note 2) | 0 | 0 |
Due from affiliates | 32,762 | 24,548 |
Investment in affiliates | 10,177 | 8,986 |
Total assets | 44,889 | 35,135 |
Liabilities | ||
Secured debt (Note 7; Note 8 VIEs) | 0 | 0 |
Unsecured debt (Note 7) | 34,047 | 26,076 |
Deferred income | 0 | 0 |
Related party payables (Note 3) | 2 | 1 |
Other liabilities | 369 | 365 |
Liabilities held for sale (Note 2) | 0 | 0 |
Due to affiliates | 0 | 0 |
Total liabilities | 34,418 | 26,442 |
Shareholders' equity | ||
Common stock | 0 | 0 |
Preferred stock | 0 | |
Additional paid-in capital | 7,514 | 6,505 |
Accumulated other comprehensive loss (Note 14) | (935) | (1,238) |
Retained earnings | 3,892 | 3,426 |
Total shareholders' equity | 10,471 | 8,693 |
Total liabilities and shareholders' equity | 44,889 | 35,135 |
Guarantor [Member] | ||
Assets | ||
Cash and cash equivalents | 3,546 | 2,284 |
Finance receivables, net | 10,097 | 4,969 |
Leased vehicles, net | 0 | 0 |
Goodwill | 0 | 0 |
Equity in net assets of non-consolidated affiliate (Note 6) | 0 | 0 |
Related party receivables (Note 3) | 38 | 25 |
Other assets (Note 8 VIEs) | 1,230 | 884 |
Assets held for sale (Note 2) | 0 | 0 |
Due from affiliates | 19,467 | 16,065 |
Investment in affiliates | 5,610 | 6,445 |
Total assets | 39,988 | 30,672 |
Liabilities | ||
Secured debt (Note 7; Note 8 VIEs) | 0 | 0 |
Unsecured debt (Note 7) | 0 | 0 |
Deferred income | 0 | 0 |
Related party payables (Note 3) | 0 | 0 |
Other liabilities | 772 | 690 |
Liabilities held for sale (Note 2) | 0 | 0 |
Due to affiliates | 32,576 | 24,437 |
Total liabilities | 33,348 | 25,127 |
Shareholders' equity | ||
Common stock | 0 | 0 |
Preferred stock | 0 | |
Additional paid-in capital | 79 | 79 |
Accumulated other comprehensive loss (Note 14) | (107) | (161) |
Retained earnings | 6,668 | 5,627 |
Total shareholders' equity | 6,640 | 5,545 |
Total liabilities and shareholders' equity | 39,988 | 30,672 |
Non-Guarantors [Member] | ||
Assets | ||
Cash and cash equivalents | 430 | 531 |
Finance receivables, net | 30,767 | 28,506 |
Leased vehicles, net | 41,775 | 34,342 |
Goodwill | 106 | 101 |
Equity in net assets of non-consolidated affiliate (Note 6) | 1,119 | 944 |
Related party receivables (Note 3) | 301 | 322 |
Other assets (Note 8 VIEs) | 3,933 | 3,065 |
Assets held for sale (Note 2) | 12,095 | 10,959 |
Due from affiliates | 0 | 0 |
Investment in affiliates | 0 | 0 |
Total assets | 90,526 | 78,770 |
Liabilities | ||
Secured debt (Note 7; Note 8 VIEs) | 41,177 | 35,256 |
Unsecured debt (Note 7) | 4,216 | 3,400 |
Deferred income | 3,066 | 2,355 |
Related party payables (Note 3) | 251 | 319 |
Other liabilities | 2,157 | 1,677 |
Liabilities held for sale (Note 2) | 10,864 | 9,694 |
Due to affiliates | 19,648 | 16,183 |
Total liabilities | 81,379 | 68,884 |
Shareholders' equity | ||
Common stock | 698 | 698 |
Preferred stock | 0 | |
Additional paid-in capital | 3,450 | 5,345 |
Accumulated other comprehensive loss (Note 14) | (874) | (1,223) |
Retained earnings | 5,873 | 5,066 |
Total shareholders' equity | 9,147 | 9,886 |
Total liabilities and shareholders' equity | 90,526 | 78,770 |
Eliminations [Member] | ||
Assets | ||
Cash and cash equivalents | 0 | |
Finance receivables, net | 0 | 0 |
Leased vehicles, net | 0 | 0 |
Goodwill | 0 | 0 |
Equity in net assets of non-consolidated affiliate (Note 6) | 0 | 0 |
Related party receivables (Note 3) | 0 | 0 |
Other assets (Note 8 VIEs) | (1,251) | (760) |
Assets held for sale (Note 2) | (1) | (8) |
Due from affiliates | (52,229) | (40,613) |
Investment in affiliates | (15,787) | (15,431) |
Total assets | (69,268) | (56,812) |
Liabilities | ||
Secured debt (Note 7; Note 8 VIEs) | (402) | (169) |
Unsecured debt (Note 7) | 0 | 0 |
Deferred income | 0 | 0 |
Related party payables (Note 3) | 0 | 0 |
Other liabilities | (849) | (591) |
Liabilities held for sale (Note 2) | (6) | (1) |
Due to affiliates | (52,224) | (40,620) |
Total liabilities | (53,481) | (41,381) |
Shareholders' equity | ||
Common stock | (698) | (698) |
Preferred stock | 0 | |
Additional paid-in capital | (3,529) | (5,424) |
Accumulated other comprehensive loss (Note 14) | 981 | 1,384 |
Retained earnings | (12,541) | (10,693) |
Total shareholders' equity | (15,787) | (15,431) |
Total liabilities and shareholders' equity | $ (69,268) | $ (56,812) |
Guarantor Condensed Consolida66
Guarantor Condensed Consolidating Financial Statements - Guarantor Income Statements (Details) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2017 | Sep. 30, 2016 | Sep. 30, 2017 | Sep. 30, 2016 | |
Revenue | ||||
Finance charge income | $ 837 | $ 721 | $ 2,401 | $ 2,110 |
Leased vehicle income | 2,244 | 1,582 | 6,282 | 4,144 |
Other income | 80 | 57 | 216 | 175 |
Total revenue | 3,161 | 2,360 | 8,899 | 6,429 |
Costs and expenses | ||||
Salaries and benefits | 224 | 195 | 621 | 536 |
Other operating expenses | 122 | 132 | 388 | 360 |
Total operating expenses | 346 | 327 | 1,009 | 896 |
Leased vehicle expenses | 1,670 | 1,197 | 4,648 | 3,148 |
Provision for loan losses | 204 | 167 | 573 | 501 |
Interest expense | 672 | 511 | 1,903 | 1,393 |
Total costs and expenses | 2,892 | 2,202 | 8,133 | 5,938 |
Equity income | 41 | 36 | 129 | 109 |
Income from continuing operations before income taxes | 310 | 194 | 895 | 600 |
Income tax (benefit) provision | 124 | 60 | 260 | 185 |
Income from continuing operations | 186 | 134 | 635 | 415 |
Income (loss) from discontinued operations, net of tax | 16 | 13 | (169) | 85 |
Net income | 202 | 147 | 466 | 500 |
Net income attributable to common shareholder | 200 | 147 | 464 | 500 |
Comprehensive income | 319 | 136 | 769 | 555 |
Eliminations [Member] | ||||
Revenue | ||||
Finance charge income | 0 | 0 | 0 | 0 |
Leased vehicle income | 0 | 0 | 0 | 0 |
Other income | (226) | (171) | (639) | (480) |
Total revenue | (226) | (171) | (639) | (480) |
Costs and expenses | ||||
Salaries and benefits | 0 | 0 | 0 | 0 |
Other operating expenses | (127) | (101) | (356) | (292) |
Total operating expenses | (127) | (101) | (356) | (292) |
Leased vehicle expenses | 0 | 0 | 0 | 0 |
Provision for loan losses | 0 | 0 | 0 | 0 |
Interest expense | (99) | (70) | (283) | (188) |
Total costs and expenses | (226) | (171) | (639) | (480) |
Equity income | (767) | (469) | (1,848) | (1,396) |
Income from continuing operations before income taxes | (767) | (469) | (1,848) | (1,396) |
Income tax (benefit) provision | 0 | 0 | 0 | 0 |
Income from continuing operations | (767) | (469) | (1,848) | (1,396) |
Income (loss) from discontinued operations, net of tax | 0 | 0 | 0 | 0 |
Net income | (767) | (469) | (1,848) | (1,396) |
Net income attributable to common shareholder | (767) | (1,848) | ||
Comprehensive income | (936) | (453) | (2,251) | (1,490) |
Parent Company [Member] | ||||
Revenue | ||||
Finance charge income | 0 | 0 | 0 | 0 |
Leased vehicle income | 0 | 0 | 0 | 0 |
Other income | 0 | 0 | 0 | (1) |
Total revenue | 0 | 0 | 0 | (1) |
Costs and expenses | ||||
Salaries and benefits | 0 | 0 | 0 | 0 |
Other operating expenses | 94 | 6 | 200 | 2 |
Total operating expenses | 94 | 6 | 200 | 2 |
Leased vehicle expenses | 0 | 0 | 0 | 0 |
Provision for loan losses | 0 | 0 | 0 | 0 |
Interest expense | 301 | 171 | 883 | 612 |
Total costs and expenses | 395 | 177 | 1,083 | 614 |
Equity income | 461 | 267 | 1,051 | 858 |
Income from continuing operations before income taxes | 66 | 90 | (32) | 243 |
Income tax (benefit) provision | (136) | (72) | (498) | (272) |
Income from continuing operations | 202 | 162 | 466 | 515 |
Income (loss) from discontinued operations, net of tax | 0 | (15) | 0 | (15) |
Net income | 202 | 147 | 466 | 500 |
Net income attributable to common shareholder | 200 | 464 | ||
Comprehensive income | 319 | 136 | 769 | 555 |
Guarantor [Member] | ||||
Revenue | ||||
Finance charge income | 146 | 127 | 375 | 344 |
Leased vehicle income | 0 | 0 | 0 | 0 |
Other income | 306 | 213 | 870 | 628 |
Total revenue | 452 | 340 | 1,245 | 972 |
Costs and expenses | ||||
Salaries and benefits | 182 | 157 | 504 | 432 |
Other operating expenses | (48) | 54 | (43) | 175 |
Total operating expenses | 134 | 211 | 461 | 607 |
Leased vehicle expenses | 0 | 0 | 0 | 0 |
Provision for loan losses | 196 | 102 | 356 | 282 |
Interest expense | 1 | 54 | (28) | (67) |
Total costs and expenses | 331 | 367 | 789 | 822 |
Equity income | 306 | 202 | 797 | 538 |
Income from continuing operations before income taxes | 427 | 175 | 1,253 | 688 |
Income tax (benefit) provision | 40 | (17) | 199 | 63 |
Income from continuing operations | 387 | 192 | 1,054 | 625 |
Income (loss) from discontinued operations, net of tax | (6) | 0 | (13) | 0 |
Net income | 381 | 192 | 1,041 | 625 |
Net income attributable to common shareholder | 381 | 1,041 | ||
Comprehensive income | 411 | 183 | 1,095 | 653 |
Non-Guarantors [Member] | ||||
Revenue | ||||
Finance charge income | 691 | 594 | 2,026 | 1,766 |
Leased vehicle income | 2,244 | 1,582 | 6,282 | 4,144 |
Other income | 0 | 15 | (15) | 28 |
Total revenue | 2,935 | 2,191 | 8,293 | 5,938 |
Costs and expenses | ||||
Salaries and benefits | 42 | 38 | 117 | 104 |
Other operating expenses | 203 | 173 | 587 | 475 |
Total operating expenses | 245 | 211 | 704 | 579 |
Leased vehicle expenses | 1,670 | 1,197 | 4,648 | 3,148 |
Provision for loan losses | 8 | 65 | 217 | 219 |
Interest expense | 469 | 356 | 1,331 | 1,036 |
Total costs and expenses | 2,392 | 1,829 | 6,900 | 4,982 |
Equity income | 41 | 36 | 129 | 109 |
Income from continuing operations before income taxes | 584 | 398 | 1,522 | 1,065 |
Income tax (benefit) provision | 220 | 149 | 559 | 394 |
Income from continuing operations | 364 | 249 | 963 | 671 |
Income (loss) from discontinued operations, net of tax | 22 | 28 | (156) | 100 |
Net income | 386 | 277 | 807 | 771 |
Net income attributable to common shareholder | 386 | 807 | ||
Comprehensive income | $ 525 | $ 270 | $ 1,156 | $ 837 |
Guarantor Condensed Consolida67
Guarantor Condensed Consolidating Financial Statements - Guarantor Cash Flows (Details) - USD ($) $ in Millions | 9 Months Ended | |||
Sep. 30, 2017 | Sep. 30, 2016 | Sep. 30, 2017 | Dec. 31, 2016 | |
Condensed Cash Flow Statements, Captions [Line Items] | ||||
Net cash provided by operating activities - continuing operations | $ 4,795 | $ 3,566 | ||
Net cash provided by operating activities - discontinued operations | 243 | 290 | ||
Net cash provided by operating activities | 5,038 | 3,856 | ||
Cash flows from investing activities | ||||
Purchases of retail finance receivables, net | (15,267) | (10,408) | ||
Principal collections and recoveries on retail finance receivables | 9,410 | 7,368 | ||
Proceeds from transfer of retail finance receivables, net | 0 | 0 | ||
Net funding of commercial finance receivables | (1,557) | (1,145) | ||
Purchases of leased vehicles, net | (14,809) | (14,939) | ||
Proceeds from termination of leased vehicles | 4,649 | 1,799 | ||
Other investing activities | (65) | (59) | ||
Net change in due from affiliates | 0 | 0 | ||
Net change in investment in affiliates | 0 | 0 | ||
Net cash used in investing activities - continuing operations | (17,639) | (17,384) | ||
Net cash used in investing activities - discontinued operations | (468) | (949) | ||
Net cash used in investing activities | (18,107) | (18,333) | ||
Cash flows from financing activities | ||||
Net change in debt (original maturities less than three months) | (305) | (301) | ||
Borrowings and issuance of secured debt | 26,731 | 18,420 | ||
Payments on secured debt | (20,905) | (12,525) | ||
Borrowings and issuance of unsecured debt | 12,626 | 10,358 | ||
Payments on unsecured debt | (4,375) | (2,345) | ||
Debt issuance costs | (131) | (112) | ||
Proceeds from issuance of preferred stock | 985 | 0 | ||
Net capital contributions | 0 | 0 | ||
Net change in due to affiliates | 0 | 0 | ||
Net cash provided by financing activities - continuing operations | 14,626 | 13,495 | ||
Net cash provided by financing activities - discontinued operations | 63 | 601 | ||
Net cash provided by financing activities | 14,689 | 14,096 | ||
Net increase (decrease) in cash, cash equivalents and restricted cash | 1,620 | (381) | ||
Effect of foreign exchange rate changes on cash, cash equivalents and restricted cash | 112 | 22 | ||
Cash, cash equivalents and restricted cash at beginning of period | 5,302 | 5,002 | ||
Cash, cash equivalents and restricted cash at end of period | 7,034 | 4,643 | ||
Cash, cash equivalents and restricted cash at end of period | 5,302 | 5,002 | $ 7,034 | $ 5,302 |
Supplemental Cash Flow Elements [Abstract] | ||||
Cash and cash equivalents | 3,976 | 2,815 | ||
Total | 5,302 | 5,002 | 7,034 | 5,302 |
Continuing Operations [Member] | ||||
Cash flows from financing activities | ||||
Cash, cash equivalents and restricted cash at end of period | 6,469 | 3,918 | ||
Cash, cash equivalents and restricted cash at end of period | 6,469 | 3,918 | 6,469 | |
Supplemental Cash Flow Elements [Abstract] | ||||
Cash and cash equivalents | 3,976 | |||
Restricted cash included in other assets | 2,493 | |||
Total | 6,469 | 3,918 | 6,469 | |
Discontinued Operations [Member] | ||||
Cash flows from financing activities | ||||
Cash, cash equivalents and restricted cash at end of period | 565 | 725 | ||
Cash, cash equivalents and restricted cash at end of period | 565 | 725 | 565 | |
Supplemental Cash Flow Elements [Abstract] | ||||
Total | 565 | 725 | 565 | |
Eliminations [Member] | ||||
Condensed Cash Flow Statements, Captions [Line Items] | ||||
Net cash provided by operating activities - continuing operations | 0 | 0 | ||
Net cash provided by operating activities - discontinued operations | 0 | 0 | ||
Net cash provided by operating activities | 0 | 0 | ||
Cash flows from investing activities | ||||
Purchases of retail finance receivables, net | 11,754 | 12,315 | ||
Principal collections and recoveries on retail finance receivables | 0 | 0 | ||
Proceeds from transfer of retail finance receivables, net | (11,754) | (12,315) | ||
Net funding of commercial finance receivables | 0 | 0 | ||
Purchases of leased vehicles, net | 0 | 0 | ||
Proceeds from termination of leased vehicles | 0 | 0 | ||
Other investing activities | 233 | 169 | ||
Net change in due from affiliates | 11,610 | 14,127 | ||
Net change in investment in affiliates | (1,740) | (2,497) | ||
Net cash used in investing activities - continuing operations | 10,103 | 11,799 | ||
Net cash used in investing activities - discontinued operations | 0 | 0 | ||
Net cash used in investing activities | 10,103 | 11,799 | ||
Cash flows from financing activities | ||||
Net change in debt (original maturities less than three months) | 0 | 0 | ||
Borrowings and issuance of secured debt | (233) | (169) | ||
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 | ||
Proceeds from issuance of preferred stock | 0 | |||
Net capital contributions | 1,740 | 2,497 | ||
Net change in due to affiliates | (11,610) | (14,127) | ||
Net cash provided by financing activities - continuing operations | (10,103) | (11,799) | ||
Net cash provided by financing activities - discontinued operations | 0 | 0 | ||
Net cash provided by financing activities | (10,103) | (11,799) | ||
Net increase (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 | ||
Cash, cash equivalents and restricted cash at end of period | 0 | 0 | 0 | 0 |
Supplemental Cash Flow Elements [Abstract] | ||||
Cash and cash equivalents | 0 | |||
Total | 0 | 0 | 0 | 0 |
Eliminations [Member] | Continuing Operations [Member] | ||||
Cash flows from financing activities | ||||
Cash, cash equivalents and restricted cash at end of period | 0 | 0 | ||
Cash, cash equivalents and restricted cash at end of period | 0 | 0 | 0 | |
Supplemental Cash Flow Elements [Abstract] | ||||
Cash and cash equivalents | 0 | |||
Restricted cash included in other assets | 0 | |||
Total | 0 | 0 | 0 | |
Eliminations [Member] | Discontinued Operations [Member] | ||||
Cash flows from financing activities | ||||
Cash, cash equivalents and restricted cash at end of period | 0 | 0 | ||
Cash, cash equivalents and restricted cash at end of period | 0 | 0 | 0 | |
Supplemental Cash Flow Elements [Abstract] | ||||
Total | 0 | 0 | 0 | |
Parent Company [Member] | ||||
Condensed Cash Flow Statements, Captions [Line Items] | ||||
Net cash provided by operating activities - continuing operations | (690) | (454) | ||
Net cash provided by operating activities - discontinued operations | 26 | (15) | ||
Net cash provided by operating activities | (664) | (469) | ||
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 | ||
Other investing activities | 0 | 0 | ||
Net change in due from affiliates | (8,213) | (7,506) | ||
Net change in investment in affiliates | 54 | 24 | ||
Net cash used in investing activities - continuing operations | (8,159) | (7,482) | ||
Net cash used in investing activities - discontinued operations | 131 | 0 | ||
Net cash used in investing activities | (8,028) | (7,482) | ||
Cash flows from financing activities | ||||
Net change in debt (original maturities less than three months) | 66 | 1 | ||
Borrowings and issuance of secured debt | 0 | 0 | ||
Payments on secured debt | 0 | 0 | ||
Borrowings and issuance of unsecured debt | 10,133 | 8,987 | ||
Payments on unsecured debt | (2,450) | (1,000) | ||
Debt issuance costs | (42) | (37) | ||
Proceeds from issuance of preferred stock | 985 | |||
Net capital contributions | 0 | 0 | ||
Net change in due to affiliates | 0 | 0 | ||
Net cash provided by financing activities - continuing operations | 8,692 | 7,951 | ||
Net cash provided by financing activities - discontinued operations | 0 | 0 | ||
Net cash provided by financing activities | 8,692 | 7,951 | ||
Net increase (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 | ||
Cash, cash equivalents and restricted cash at end of period | 0 | 0 | 0 | 0 |
Supplemental Cash Flow Elements [Abstract] | ||||
Cash and cash equivalents | 0 | |||
Total | 0 | 0 | 0 | 0 |
Parent Company [Member] | Continuing Operations [Member] | ||||
Cash flows from financing activities | ||||
Cash, cash equivalents and restricted cash at end of period | 0 | 0 | ||
Cash, cash equivalents and restricted cash at end of period | 0 | 0 | 0 | |
Supplemental Cash Flow Elements [Abstract] | ||||
Cash and cash equivalents | 0 | |||
Restricted cash included in other assets | 0 | |||
Total | 0 | 0 | 0 | |
Parent Company [Member] | Discontinued Operations [Member] | ||||
Cash flows from financing activities | ||||
Cash, cash equivalents and restricted cash at end of period | 0 | 0 | ||
Cash, cash equivalents and restricted cash at end of period | 0 | 0 | 0 | |
Supplemental Cash Flow Elements [Abstract] | ||||
Total | 0 | 0 | 0 | |
Guarantor [Member] | ||||
Condensed Cash Flow Statements, Captions [Line Items] | ||||
Net cash provided by operating activities - continuing operations | 616 | (389) | ||
Net cash provided by operating activities - discontinued operations | (24) | 10 | ||
Net cash provided by operating activities | 592 | (379) | ||
Cash flows from investing activities | ||||
Purchases of retail finance receivables, net | (15,709) | (12,676) | ||
Principal collections and recoveries on retail finance receivables | 1,875 | 1,274 | ||
Proceeds from transfer of retail finance receivables, net | 8,787 | 8,232 | ||
Net funding of commercial finance receivables | (429) | (335) | ||
Purchases of leased vehicles, net | 0 | 0 | ||
Proceeds from termination of leased vehicles | 0 | 0 | ||
Other investing activities | (288) | (219) | ||
Net change in due from affiliates | (3,397) | (6,621) | ||
Net change in investment in affiliates | 1,686 | 2,473 | ||
Net cash used in investing activities - continuing operations | (7,475) | (7,872) | ||
Net cash used in investing activities - discontinued operations | 0 | 0 | ||
Net cash used in investing activities | (7,475) | (7,872) | ||
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 | ||
Proceeds from issuance of preferred stock | 0 | |||
Net capital contributions | 0 | 0 | ||
Net change in due to affiliates | 8,145 | 7,643 | ||
Net cash provided by financing activities - continuing operations | 8,145 | 7,643 | ||
Net cash provided by financing activities - discontinued operations | 0 | 0 | ||
Net cash provided by financing activities | 8,145 | 7,643 | ||
Net increase (decrease) in cash, cash equivalents and restricted cash | 1,262 | (608) | ||
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 | 3,546 | 1,711 | ||
Cash, cash equivalents and restricted cash at end of period | 2,284 | 2,319 | 3,546 | 2,284 |
Supplemental Cash Flow Elements [Abstract] | ||||
Cash and cash equivalents | 3,546 | 2,284 | ||
Total | 2,284 | 2,319 | 3,546 | 2,284 |
Guarantor [Member] | Continuing Operations [Member] | ||||
Cash flows from financing activities | ||||
Cash, cash equivalents and restricted cash at end of period | 3,546 | 1,711 | ||
Cash, cash equivalents and restricted cash at end of period | 3,546 | 1,711 | 3,546 | |
Supplemental Cash Flow Elements [Abstract] | ||||
Cash and cash equivalents | 3,546 | |||
Restricted cash included in other assets | 0 | |||
Total | 3,546 | 1,711 | 3,546 | |
Guarantor [Member] | Discontinued Operations [Member] | ||||
Cash flows from financing activities | ||||
Cash, cash equivalents and restricted cash at end of period | 0 | 0 | ||
Cash, cash equivalents and restricted cash at end of period | 0 | 0 | 0 | |
Supplemental Cash Flow Elements [Abstract] | ||||
Total | 0 | 0 | 0 | |
Non-Guarantors [Member] | ||||
Condensed Cash Flow Statements, Captions [Line Items] | ||||
Net cash provided by operating activities - continuing operations | 4,869 | 4,409 | ||
Net cash provided by operating activities - discontinued operations | 241 | 295 | ||
Net cash provided by operating activities | 5,110 | 4,704 | ||
Cash flows from investing activities | ||||
Purchases of retail finance receivables, net | (11,312) | (10,047) | ||
Principal collections and recoveries on retail finance receivables | 7,535 | 6,094 | ||
Proceeds from transfer of retail finance receivables, net | 2,967 | 4,083 | ||
Net funding of commercial finance receivables | (1,128) | (810) | ||
Purchases of leased vehicles, net | (14,809) | (14,939) | ||
Proceeds from termination of leased vehicles | 4,649 | 1,799 | ||
Other investing activities | (10) | (9) | ||
Net change in due from affiliates | 0 | 0 | ||
Net change in investment in affiliates | 0 | 0 | ||
Net cash used in investing activities - continuing operations | (12,108) | (13,829) | ||
Net cash used in investing activities - discontinued operations | (599) | (949) | ||
Net cash used in investing activities | (12,707) | (14,778) | ||
Cash flows from financing activities | ||||
Net change in debt (original maturities less than three months) | (371) | (302) | ||
Borrowings and issuance of secured debt | 26,964 | 18,589 | ||
Payments on secured debt | (20,905) | (12,525) | ||
Borrowings and issuance of unsecured debt | 2,493 | 1,371 | ||
Payments on unsecured debt | (1,925) | (1,345) | ||
Debt issuance costs | (89) | (75) | ||
Proceeds from issuance of preferred stock | 0 | |||
Net capital contributions | (1,740) | (2,497) | ||
Net change in due to affiliates | 3,465 | 6,484 | ||
Net cash provided by financing activities - continuing operations | 7,892 | 9,700 | ||
Net cash provided by financing activities - discontinued operations | 63 | 601 | ||
Net cash provided by financing activities | 7,955 | 10,301 | ||
Net increase (decrease) in cash, cash equivalents and restricted cash | 358 | 227 | ||
Effect of foreign exchange rate changes on cash, cash equivalents and restricted cash | 112 | 22 | ||
Cash, cash equivalents and restricted cash at beginning of period | 3,018 | 2,683 | ||
Cash, cash equivalents and restricted cash at end of period | 3,488 | 2,932 | ||
Cash, cash equivalents and restricted cash at end of period | 3,018 | 2,683 | 3,488 | 3,018 |
Supplemental Cash Flow Elements [Abstract] | ||||
Cash and cash equivalents | 430 | 531 | ||
Total | 3,018 | 2,683 | 3,488 | $ 3,018 |
Non-Guarantors [Member] | Continuing Operations [Member] | ||||
Cash flows from financing activities | ||||
Cash, cash equivalents and restricted cash at end of period | 2,923 | 2,207 | ||
Cash, cash equivalents and restricted cash at end of period | 2,923 | 2,207 | 2,923 | |
Supplemental Cash Flow Elements [Abstract] | ||||
Cash and cash equivalents | 430 | |||
Restricted cash included in other assets | 2,493 | |||
Total | 2,923 | 2,207 | 2,923 | |
Non-Guarantors [Member] | Discontinued Operations [Member] | ||||
Cash flows from financing activities | ||||
Cash, cash equivalents and restricted cash at end of period | 565 | 725 | ||
Cash, cash equivalents and restricted cash at end of period | 565 | 725 | 565 | |
Supplemental Cash Flow Elements [Abstract] | ||||
Total | $ 565 | $ 725 | $ 565 |