Interest and Other, Net
Interest and Other, Net
The components of interest and other, net were as follows:
| (In Millions) | 2008 | 2007 | 2006 | ||||||
|---|---|---|---|---|---|---|---|---|---|
| Interest income | $ | 592 | $ | 804 | $ | 636 | |||
| Interest expense | (8) | (15) | (24) | ||||||
| Other, net | (96) | 4 | 590 | ||||||
| Total interest and other, net | $ | 488 | $ | 793 | $ | 1,202 | |||
Interest and other, net decreased to $488 million in 2008 compared to $793 million in 2007. The decrease was due to lower interest income and fair value losses that we experienced in 2008 on our trading assets. Interest income was lower in 2008 compared to 2007 as a result of lower interest rates, partially offset by higher average investment balances.
Interest and other, net decreased to $793 million in 2007 compared to $1.2 billion in 2006, primarily due to lower divestiture gains, partially offset by higher interest income resulting primarily from higher average investment balances, and to a lesser extent higher interest rates. Results for 2006 included net gains of $612 million for three divestitures. See "Note 12: Divestitures" in Part II, Item 8 of this Form 10-K.