MORGAN STANLEY NOTES TO CONSOLIDATED FINANCIAL STATEMENTS—(Continued) $81 million due to the retroactive effective date of the American Taxpayer Relief Act of 2012 (the “Relief Act”).
The Relief Act that was enacted on January 2, 2013, among other things, extended with retroactive effect to January 1, 2012 a provision of U. S.  tax law that defers the imposition of tax on certain active financial services income of certain foreign subsidiaries earned outside the U. S.  until such income is repatriated to the U. S.  as a dividend.
Excluding the aggregate discrete net tax benefit noted above, the effective tax rate from continuing operations in 2013 would have been 28.7%.
The Company’s effective tax rate from continuing operations for 2012 included an aggregate net tax benefit of $142 million.
This included a discrete tax benefit of $299 million related to the remeasurement of reserves and related interest associated with either the expiration of the applicable statute of limitations or new information regarding the status of certain IRS examinations and an aggregate out-of-period net tax provision of $157 million, to adjust the overstatement of deferred tax assets associated with partnership investments, principally in the Company’s Investment Management business segment and repatriated earnings of foreign subsidiaries recorded in prior years.
The Company has evaluated the effects of the understatement of the income tax provision both qualitatively and quantitatively and concluded that it did not have a material impact on any prior annual or quarterly consolidated financial statements.
Excluding the aggregate net tax benefit noted above, the effective tax rate from continuing operations in 2012 would have been a benefit of 3.2%.
The Company had $7,364 million and $6,675 million of cumulative earnings at December 31, 2014 and December 31, 2013, respectively, attributable to foreign subsidiaries for which no U. S.  provision has been recorded for income tax that could occur upon repatriation.
Accordingly, $841 million and $736 million of deferred tax liabilities were not recorded with respect to these earnings at December 31, 2014 and December 31, 2013, respectively.
Deferred income taxes reflect the net tax effects of temporary differences between the financial reporting and tax bases of assets and liabilities and are measured using the enacted tax rates and laws that will be in effect when such differences are expected to reverse.
Significant components of the Company’s deferred tax assets and liabilities at December 31, 2014 and December 31, 2013 were as follows:
## Table 0 ##
(1) The valuation allowance reduces the benefit of certain separate Company federal net operating loss and state capital loss carryforwards to the amount that will more likely than not be realized.
During 2014, the valuation allowance was decreased by $4 million related to the ability to utilize certain state capital losses.
Credit Exposure—Derivatives.
The Company incurs credit risk as a dealer in over-the-counter (“OTC”) derivatives.
Credit risk with respect to derivative instruments arises from the failure of a counterparty to perform according to the terms of the contract.
In connection with its OTC derivative activities, the Company generally enters into master netting agreements and collateral arrangements with counterparties.
These agreements provide the Company with the ability to demand collateral, as well as to liquidate collateral and offset receivables and payables covered under the same master netting agreement in the event of counterparty default.
The Company manages its trading positions by employing a variety of risk mitigation strategies.
These strategies include diversification of risk exposures and hedging.
Hedging activities consist of the purchase or sale of positions in related securities and financial instruments, including a variety of derivative products (e. g. , futures, forwards, swaps and options).
For credit exposure information on the Company’s OTC derivative products, see Note 4 to the consolidated financial statements in Item 8.  Credit Derivatives.
A credit derivative is a contract between a seller and buyer of protection against the risk of a credit event occurring on one or more debt obligations issued by a specified reference entity.
The buyer typically pays a periodic premium over the life of the contract and is protected for the period.
If a credit event occurs, the seller is required to make payment to the beneficiary based on the terms of the credit derivative contract.
Credit events, as defined in the contract, may be one or more of the following defined events: bankruptcy, dissolution or insolvency of the referenced entity, failure to pay, obligation acceleration, repudiation, payment moratorium and restructurings.
The Company trades in a variety of credit derivatives and may either purchase or write protection on a single name or portfolio of referenced entities.
In transactions referencing a portfolio of entities or securities, protection may be limited to a tranche of exposure or a single name within the portfolio.
The Company is an active market maker in the credit derivatives markets.
As a market maker, the Company works to earn a bid-offer spread on client flow business and manages any residual credit or correlation risk on a portfolio basis.
Further, the Company uses credit derivatives to manage its exposure to residential and commercial mortgage loans and corporate lending exposures during the periods presented.
The effectiveness of the Company’s credit default swap (“CDS”) protection as a hedge of its exposures may vary depending upon a number of factors, including the contractual terms of the CDS.
The Company actively monitors its counterparty credit risk related to credit derivatives.
A majority of the Company’s counterparties are composed of banks, broker-dealers, insurance and other financial institutions.
Contracts with these counterparties may include provisions related to counterparty rating downgrades, which may result in the counterparty posting additional collateral to the Company.
As with all derivative contracts, the Company considers counterparty credit risk in the valuation of its positions and recognizes credit valuation adjustments as appropriate within Trading revenues in the consolidated statements of income.
Credit Derivative Portfolio by Counterparty
## Table 1 ##
MORGAN STANLEY NOTES TO CONSOLIDATED FINANCIAL STATEMENTS—(Continued) The Company’s policy is generally to take possession of securities purchased under agreements to resell and securities borrowed, and to receive securities and cash posted as collateral (with rights of rehypothecation).
In certain cases, the Company may agree for such collateral to be posted to a third-party custodian under a tri-party arrangement that enables the Company to take control of such collateral in the event of a counterparty default.
The Company also monitors the fair value of the underlying securities as compared with the related receivable or payable, including accrued interest, and, as necessary, requests additional collateral as provided under the applicable agreement to ensure such transactions are adequately collateralized.
The risk related to a decline in the market value of collateral (pledged or received) is managed by setting appropriate market-based haircuts.
Increases in collateral margin calls on secured financing due to market value declines may be mitigated by increases in collateral margin calls on reverse repurchase agreements and securities borrowed transactions with similar quality collateral.
Additionally, the Company may request lower quality collateral pledged be replaced with higher quality collateral through collateral substitution rights in the underlying agreements.
The Company actively manages its secured financing in a manner that reduces the potential refinancing risk of secured financing for less liquid assets.
The Company considers the quality of collateral when negotiating collateral eligibility with counterparties, as defined by its fundability criteria.
The Company utilizes shorter-term secured financing for highly liquid assets and has established longer tenor limits for less liquid assets, for which funding may be at risk in the event of a market disruption.
Offsetting of Certain Collateralized Transactions.
## Table 2 ##
At December 31, 2014
## Table 3 ##
(1) Amounts include $2.6 billion of Securities purchased under agreements to resell, $3.0 billion of Securities borrowed and $4.9 billion of Securities sold under agreements to repurchase at December 31, 2015 and $3.9 billion of Securities purchased under agreements to resell, $4.2 billion of Securities borrowed, $15.6 billion of Securities sold under agreements to repurchase and $0.7 billion of Securities loaned at December 31, 2014, which are either not subject to master netting agreements or are subject to such agreements but the Company has not determined the agreements to be legally enforceable.
ÿþNotes to Consolidated Financial Statements  CRM also evaluates strategy, market position, industry  dynamics, obligor s management and other factors that could  affect an obligor s risk profile.
 For wholesale real estate  loans, the credit evaluation is focused on property and transaction metrics, including property type, loan-to-value ratio,  occupancy levels, debt service ratio, prevailing capitalization  rates and market dynamics.
 For residential real estate and  consumer loans, the initial credit evaluation typically  includes, but is not limited to, review of the obligor s income,  net worth, liquidity, collateral, loan-to-value ratio and credit  bureau information.
 Subsequent credit monitoring for residential real estate loans is performed at the portfolio level.
  Consumer loan collateral values are monitored on an ongoing  basis.
  The Firm utilizes the following credit quality indicators,  which are consistent with U.
S.
 banking agencies  definitions  of criticized exposures, in its credit monitoring process for  loans held for investment:  "  Pass.
 A credit exposure rated pass has a continued expectation of timely repayment, all obligations of the borrower  are current, and the obligor complies with material terms  and conditions of the lending agreement.
  "  Special Mention.
 Extensions of credit that have potential  weakness that deserve management s close attention and, if  left uncorrected, may, at some future date, result in the  deterioration of the repayment prospects or collateral position.
  "  Substandard.
 Obligor has a well-defined weakness that  jeopardizes the repayment of the debt and has a high probability of payment default with the distinct possibility that  the Firm will sustain some loss if noted deficiencies are not  corrected.
  "  Doubtful.
 Inherent weakness in the exposure makes the  collection or repayment in full, based on existing facts,  conditions and circumstances, highly improbable, and the  amount of loss is uncertain.
  "  Loss.
 Extensions of credit classified as loss are considered uncollectible and are charged off.
  Loans considered as Doubtful or Loss are considered  impaired.
 Substandard loans are regularly reviewed for  impairment.
 When a loan is impaired, the impairment is  measured based on the present value of expected future cash  flows discounted at the loan s effective interest rate or, as a  practical expedient, the observable market price of the loan or  the fair value of the collateral if the loan is collateral dependent.
 For further information, see Note 2.
  Morgan Stanley  Loans Held for Investment before Allowance by Credit  Quality  @T@  At December 31, 2016  @T@  The following loans and lending commitments have been  evaluated for a specific allowance.
 All remaining loans and  lending commitments are assessed under the inherent allowance methodology.
  Impaired Loans and Lending Commitments before Allowance  @T@  1.
 At December 31, 2017 and December 31, 2016, no allowance was recorded for these  loans and lending commitments as the present value of the expected future cash flows  (or, alternatively, the observable market price of the instrument or the fair value of the  collateral held) equaled or exceeded the carrying value.
  2.
 The impaired loans UPB differs from the aggregate amount of impaired loan balances with  and without allowance due to various factors, including charge-offs and net deferred loan  fees or costs.

## Table 4 ##
## Table 5 ##
## Table 6 ##
instruments at fair value and to recognize the effective and ineffective portions of the cash flow hedges.
(2)For the year ended December 31, 2000, earnings available to common stockholders includes reductions of $2,371 of preferred stock dividends and $16,266 for the redemption of PCA’s 123?8% preferred stock.
(3)On October 13, 2003, PCA announced its intention to begin paying a quarterly cash dividend of $0.15 per share, or $0.60 per share annually, on its common stock.
The first quarterly dividend of $0.15 per share was paid on January 15, 2004 to shareholders of record as of December 15, 2003.
PCA didnot declare any dividends on its common stock in2000 - 2002.
(4)Total long-term obligations include long-term debt, short-term debt and the current maturities of long-term debt.
Item 7.
MANAGEMENT’S DISCUSSIONAND ANALYSIS OF FINANCIAL CONDITION AND RESULTS OFOPERATIONS The following discussionof historical results of operations and financial condition shouldbe read inconjunction with the audited financial statements and the notes thereto which appear elsewhere in this report.
Overview On April 12, 1999, PCA acquired the containerboard and corrugated products business of Pactiv Corporation (the “Group”), formerly known as Tenneco PackagingInc.
, a wholly owned subsidiary of Tenneco, Inc.
The Group operated prior to April 12, 1999 as a division of Pactiv, and not as a separate, stand-alone entity.
From its formationin January 1999and through the closing of the acquisition on April 12, 1999, PCA did not have any significant operations.
The April 12, 1999 acquisitionwas accounted for using historical values for the contributed assets.
Purchase accounting was not applied because, under the applicable accounting guidance, a change of control was deemed not to have occurred as a result of the participating veto rightsheld by Pactiv after the closing of the transactions under the terms of the stockholders agreement entered into in connectionwith the transactions.
Results of Operations YearEnded December31, 2004 Compared to Year Ended December31, 2003The historical results of operations of PCA for the years ended December, 31 2004 and 2003 are set forth the below:

<table><tr><td></td><td> December 31, 2014</td><td> December 31, 2013</td></tr><tr><td></td><td colspan="2"> (dollars in millions)</td></tr><tr><td>Gross deferred tax assets:</td><td></td><td></td></tr><tr><td>Tax credits and loss carryforwards</td><td>$3,833</td><td>$5,130</td></tr><tr><td>Employee compensation and benefit plans</td><td>3,715</td><td>2,417</td></tr><tr><td>Valuation and liability allowances</td><td>661</td><td>1,122</td></tr><tr><td>Valuation of inventory, investments and receivables</td><td>586</td><td>418</td></tr><tr><td>Total deferred tax assets</td><td>8,795</td><td>9,087</td></tr><tr><td>Deferred tax assets valuation allowance-1</td><td>34</td><td>38</td></tr><tr><td>Deferred tax assets after valuation allowance</td><td>$8,761</td><td>$9,049</td></tr><tr><td>Gross deferred tax liabilities:</td><td></td><td></td></tr><tr><td>Non-U.S. operations</td><td>$925</td><td>$1,293</td></tr><tr><td>Fixed assets</td><td>565</td><td>275</td></tr><tr><td>Other</td><td>65</td><td>253</td></tr><tr><td>Total deferred tax liabilities</td><td>$1,555</td><td>$1,821</td></tr><tr><td>Net deferred tax assets</td><td>$7,206</td><td>$7,228</td></tr></table>
<table><tr><td></td><td colspan="5"> At December 31, 2015</td></tr><tr><td></td><td colspan="3"> Fair Values-1</td><td colspan="2"> Notionals</td></tr><tr><td></td><td> Receivable</td><td> Payable</td><td> Net</td><td> Protection Purchased</td><td> Protection Sold</td></tr><tr><td></td><td colspan="5"> (dollars in millions)</td></tr><tr><td>Banks and securities firms</td><td>$16,962</td><td>$17,295</td><td>$-333</td><td>$533,557</td><td>$491,267</td></tr><tr><td>Insurance and other financial institutions</td><td>5,842</td><td>6,247</td><td>-405</td><td>189,439</td><td>194,723</td></tr><tr><td>Non-financial entities</td><td>115</td><td>123</td><td>-8</td><td>5,932</td><td>3,529</td></tr><tr><td>Total</td><td>$22,919</td><td>$23,665</td><td>$-746</td><td>$728,928</td><td>$689,519</td></tr></table>
<table><tr><td></td><td colspan="5"> At December 31, 2015</td></tr><tr><td></td><td> Gross Amounts-1</td><td>Amounts Offset in the Consolidated Statementsof Financial Condition</td><td> Net Amounts Presented  inthe Consolidated Statements of Financial Condition</td><td>Financial Instruments Not Offset in the Consolidated Statementsof Financial Condition-2</td><td> Net Exposure</td></tr><tr><td></td><td colspan="5"> (dollars in millions)</td></tr><tr><td> Assets</td><td></td><td></td><td></td><td></td><td></td></tr><tr><td>Securities purchased under agreements to resell</td><td>$135,714</td><td>$-48,057</td><td>$87,657</td><td>$-84,752</td><td>$2,905</td></tr><tr><td>Securities borrowed</td><td>147,445</td><td>-5,029</td><td>142,416</td><td>-134,250</td><td>8,166</td></tr><tr><td> Liabilities</td><td></td><td></td><td></td><td></td><td></td></tr><tr><td>Securities sold under agreements to repurchase</td><td>$84,749</td><td>$-48,057</td><td>$36,692</td><td>$-31,604</td><td>$5,088</td></tr><tr><td>Securities loaned</td><td>24,387</td><td>-5,029</td><td>19,358</td><td>-18,881</td><td>477</td></tr></table>
<table><tr><td></td><td colspan="5"> At December 31, 2014</td></tr><tr><td></td><td> Gross Amounts-1</td><td>Amounts Offset in the Consolidated Statementsof Financial Condition</td><td> Net Amounts Presented  inthe Consolidated Statements of Financial Condition</td><td>Financial Instruments Not Offset in the Consolidated Statementsof Financial Condition-2</td><td> Net Exposure</td></tr><tr><td></td><td colspan="5"> (dollars in millions)</td></tr><tr><td> Assets</td><td></td><td></td><td></td><td></td><td></td></tr><tr><td>Securities purchased under agreements to resell</td><td>$148,234</td><td>$-64,946</td><td>$83,288</td><td>$-79,343</td><td>$3,945</td></tr><tr><td>Securities borrowed</td><td>145,556</td><td>-8,848</td><td>136,708</td><td>-128,282</td><td>8,426</td></tr><tr><td> Liabilities</td><td></td><td></td><td></td><td></td><td></td></tr><tr><td>Securities sold under agreements to repurchase</td><td>$134,895</td><td>$-64,946</td><td>$69,949</td><td>$-56,454</td><td>$13,495</td></tr><tr><td>Securities loaned</td><td>34,067</td><td>-8,848</td><td>25,219</td><td>-24,252</td><td>967</td></tr></table>
<table><tr><td></td><td colspan="5"> At December 31, 2017</td></tr><tr><td><i>$ in millions</i></td><td>Corporate</td><td>Consumer</td><td>ResidentialReal Estate</td><td>WholesaleReal Estate</td><td>Total</td></tr><tr><td>Pass</td><td>$29,166</td><td>$26,802</td><td>$26,562</td><td>$9,480</td><td>$92,010</td></tr><tr><td>Special mention</td><td>188</td><td>6</td><td>—</td><td>200</td><td>394</td></tr><tr><td>Substandard</td><td>393</td><td>—</td><td>73</td><td>300</td><td>766</td></tr><tr><td>Doubtful</td><td>7</td><td>—</td><td>—</td><td>—</td><td>7</td></tr><tr><td>Loss</td><td>—</td><td>—</td><td>—</td><td>—</td><td>—</td></tr><tr><td> Total</td><td>$29,754</td><td>$26,808</td><td>$26,635</td><td>$9,980</td><td>$93,177</td></tr></table>
<table><tr><td></td><td colspan="5">At December 31, 2016</td></tr><tr><td><i>$ in millions</i></td><td>Corporate</td><td>Consumer</td><td>ResidentialReal Estate</td><td>WholesaleReal Estate</td><td>Total</td></tr><tr><td>Pass</td><td>$23,409</td><td>$24,853</td><td>$24,345</td><td>$7,294</td><td>$79,901</td></tr><tr><td>Special mention</td><td>288</td><td>13</td><td>—</td><td>218</td><td>519</td></tr><tr><td>Substandard</td><td>1,259</td><td>—</td><td>40</td><td>190</td><td>1,489</td></tr><tr><td>Doubtful</td><td>69</td><td>—</td><td>—</td><td>—</td><td>69</td></tr><tr><td>Loss</td><td>—</td><td>—</td><td>—</td><td>—</td><td>—</td></tr><tr><td> Total</td><td>$25,025</td><td>$24,866</td><td>$24,385</td><td>$7,702</td><td>$81,978</td></tr></table>
<table><tr><td></td><td colspan="4"> At December 31, 2017</td></tr><tr><td><i>$ in millions</i></td><td>Corporate</td><td colspan="2">ResidentialReal Estate</td><td>Total</td></tr><tr><td> Loans</td><td></td><td></td><td></td><td></td></tr><tr><td>With allowance</td><td>$16</td><td> $</td><td> —</td><td>$16</td></tr><tr><td>Withoutallowance<sup>1</sup></td><td>118</td><td> </td><td> 45</td><td>163</td></tr><tr><td>UPB<sup>2</sup></td><td>146</td><td> </td><td> 46</td><td>192</td></tr><tr><td> Lending Commitments</td><td></td><td></td><td></td><td></td></tr><tr><td>With allowance</td><td>$—</td><td></td><td>$—</td><td>$—</td></tr><tr><td>Withoutallowance<sup>1</sup></td><td>199</td><td> </td><td> —</td><td>199</td></tr><tr><td></td><td colspan="4">At December 31, 2016</td></tr><tr><td><i>$ in millions</i></td><td>Corporate</td><td colspan="2">ResidentialReal Estate</td><td>Total</td></tr><tr><td> Loans</td><td></td><td></td><td></td><td></td></tr><tr><td>With allowance</td><td>$104</td><td></td><td>$—</td><td>$104</td></tr><tr><td>Withoutallowance<sup>1</sup></td><td>206</td><td></td><td>35</td><td>241</td></tr><tr><td>UPB<sup>2</sup></td><td>316</td><td></td><td>38</td><td>354</td></tr><tr><td> Lending Commitments</td><td></td><td></td><td></td><td></td></tr><tr><td>With allowance</td><td>$—</td><td></td><td>$—</td><td>$—</td></tr><tr><td>Withoutallowance<sup>1</sup></td><td>89</td><td></td><td>—</td><td>89</td></tr></table>

Question: What's the total value of all Substandard that are smaller than 200 in 2016 (in million)
Answer: 230