☒ | Annual Report Pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934 |
☐ | Transition Report Pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934 |
Delaware | 38-1998421 | |||||||
(State or Other Jurisdiction of Incorporation) | (IRS Employer Identification Number) |
Title of each class | Trading symbol | Name of each exchange on which registered | ||||||
Common Stock, $5 par value | CMA | New York Stock Exchange |
Large accelerated filer | ☒ | Accelerated filer | ☐ | ||||||||
Non-accelerated filer | ☐ | Smaller reporting company | ☐ | ||||||||
Emerging growth company | ☐ |
(dollar amounts in millions) | Comerica Incorporated (Consolidated) | Comerica Bank | |||||
December 31, 2019 | |||||||
CET1 capital (minimum $3.1 billion (Consolidated)) | $ | 6,919 | $ | 7,199 | |||
Tier 1 capital (minimum $4.1 billion (Consolidated)) | 6,919 | 7,199 | |||||
Total capital (minimum $5.5 billion (Consolidated)) | 8,282 | 8,371 | |||||
Risk-weighted assets | 68,273 | 68,071 | |||||
Adjusted average assets (fourth quarter) | 72,773 | 72,564 | |||||
CET1 capital to risk-weighted assets (minimum 4.5%) | 10.13 | % | 10.58 | % | |||
Tier 1 capital to risk-weighted assets (minimum 6.0%) | 10.13 | 10.58 | |||||
Total capital to risk-weighted assets (minimum 8.0%) | 12.13 | 12.30 | |||||
Tier 1 capital to average assets (minimum 4.0%) | 9.51 | 9.92 | |||||
Capital conservation buffer (minimum 2.5%) | 4.13 | 4.30 | |||||
December 31, 2018 | |||||||
CET1 capital (minimum $3.0 billion (Consolidated)) | $ | 7,470 | $ | 7,229 | |||
Tier 1 capital (minimum $4.0 billion (Consolidated)) | 7,470 | 7,229 | |||||
Total capital (minimum $5.4 billion (Consolidated)) | 8,855 | 8,433 | |||||
Risk-weighted assets | 67,047 | 66,857 | |||||
Adjusted average assets (fourth quarter) | 71,070 | 70,905 | |||||
CET1 capital to risk-weighted assets (minimum 4.5%) | 11.14 | % | 10.81 | % | |||
Tier 1 capital to risk-weighted assets (minimum 6.0%) | 11.14 | 10.81 | |||||
Total capital to risk-weighted assets (minimum 8.0%) | 13.21 | 12.61 | |||||
Tier 1 capital to average assets (minimum 4.0%) | 10.51 | 10.20 | |||||
Capital conservation buffer (minimum 2.5%) | 5.14 | 4.61 |
(dollar amounts in millions) | Comerica Incorporated (Consolidated) | Comerica Bank | |||||||||
December 31, 2021 | |||||||||||
CET1 capital (minimum $3.1 billion (Consolidated)) | $ | 7,064 | $ | 7,634 | |||||||
Tier 1 capital (minimum $4.2 billion (Consolidated)) | 7,458 | 7,634 | |||||||||
Total capital (minimum $5.6 billion (Consolidated)) | 8,608 | 8,584 | |||||||||
Risk-weighted assets | 69,708 | 69,542 | |||||||||
Average assets (fourth quarter) | 96,417 | 96,216 | |||||||||
CET1 capital to risk-weighted assets (minimum-4.5%) | 10.13 | % | 10.98 | % | |||||||
Tier 1 capital to risk-weighted assets (minimum-6.0%) | 10.70 | 10.98 | |||||||||
Total capital to risk-weighted assets (minimum-8.0%) | 12.35 | 12.34 | |||||||||
Tier 1 capital to average assets (minimum-4.0%) | 7.74 | 7.93 | |||||||||
Capital conservation buffer (minimum-2.5%) | 4.35 | 4.34 | |||||||||
December 31, 2020 | |||||||||||
CET1 capital (minimum $3.0 billion (Consolidated)) | $ | 6,919 | $ | 7,278 | |||||||
Tier 1 capital (minimum $4.0 billion (Consolidated)) | 7,313 | 7,278 | |||||||||
Total capital (minimum $5.4 billion (Consolidated)) | 8,833 | 8,547 | |||||||||
Risk-weighted assets | 66,931 | 66,759 | |||||||||
Average assets (fourth quarter) | 84,705 | 84,536 | |||||||||
CET1 capital to risk-weighted assets (minimum-4.5%) | 10.34 | % | 10.90 | % | |||||||
Tier 1 capital to risk-weighted assets (minimum-6.0%) | 10.93 | 10.90 | |||||||||
Total capital to risk-weighted assets (minimum-8.0%) | 13.20 | 12.80 | |||||||||
Tier 1 capital to average assets (minimum-4.0%) | 8.63 | 8.61 | |||||||||
Capital conservation buffer (minimum-2.5%) | 4.93 | 4.80 |
Female (%) | Minority (%) | |||||||
Employees | 65 | 41 | ||||||
Officials and Managers(1) | 52 | 29 | ||||||
Executive Officers(2) | 43 | 21 |
(shares in thousands) | Total Number of Shares Purchased as Part of Publicly Announced Repurchase Plans or Programs | Remaining Repurchase Authorization (a) | Total Number of Shares Purchased (b) | Average Price Paid Per Share | |||||||||||||||||||
Total first quarter 2021 | — | 4,870 | 55 | $ | 61.39 | ||||||||||||||||||
Total second quarter 2021 | 5,882 | 8,988 | 5,884 | 76.51 | |||||||||||||||||||
Total third quarter 2021 | 3,050 | 5,938 | 3,052 | 72.12 | |||||||||||||||||||
October 2021 | — | 5,938 | 1 | 80.79 | |||||||||||||||||||
November 2021 | 564 | 5,374 | 564 | 88.63 | |||||||||||||||||||
December 2021 | — | 5,374 | — | — | |||||||||||||||||||
Total fourth quarter 2021 | 564 | 5,374 | 565 | 88.61 | |||||||||||||||||||
Total 2021 | 9,496 | 5,374 | 9,556 | $ | 75.73 |
(shares in thousands) | Total Number of Shares Purchased as Part of Publicly Announced Repurchase Plans or Programs | Remaining Repurchase Authorization (a) | Total Number of Shares Purchased (b) | Average Price Paid Per Share | ||||||||
Total first quarter 2019 | 5,094 | 14,613 | (c) | 5,216 | $ | 83.48 | ||||||
Total second quarter 2019 | 5,656 | 8,957 | 5,658 | 75.13 | ||||||||
Total third quarter 2019 | 5,734 | 3,223 | 5,739 | 64.53 | ||||||||
October 2019 | — | 3,223 | 3 | 65.47 | ||||||||
November 2019 | 901 | 9,322 | (d) | 903 | 69.90 | |||||||
December 2019 | 1,225 | 8,097 | 1,231 | 70.84 | ||||||||
Total fourth quarter 2019 | 2,126 | 8,097 | 2,137 | 70.44 | ||||||||
Total 2019 | 18,610 | 8,097 | 18,750 | $ | 73.67 |
1. | Financial Statements: The financial statements that are filed as part of this report are included in the Financial Section on pages | |||||||
2. | All of the schedules for which provision is made in the applicable accounting regulations of the SEC are either not required under the related instruction, the required information is contained elsewhere in the Form 10-K, or the schedules are inapplicable and therefore have been omitted. | |||||||
Exhibits: |
2 | (not applicable) | |||||||
3.1 | ||||||||
3.2 | ||||||||
3.3 | ||||||||
4 | [Reference is made to Exhibits 3.1, 3.2, 3.3 and | |||||||
4.2 | ||||||||
9 | (not applicable) | |||||||
10.1† | ||||||||
A† | ||||||||
B† | ||||||||
C† | ||||||||
D† | ||||||||
10.4† | ||||||||
A† | ||||||||
B† | ||||||||
C† | ||||||||
D† | ||||||||
E† | ||||||||
A† | ||||||||
10.15† | ||||||||
A† | ||||||||
A† | ||||||||
A† | ||||||||
(not applicable) | ||||||||
14 | (not applicable) | |||||||
16 | (not applicable) | |||||||
18 | (not applicable) | |||||||
21 | ||||||||
22 | (not applicable) | |||||||
23.1 | ||||||||
24 | (not applicable) | |||||||
31.1 | ||||||||
31.2 | ||||||||
32 | ||||||||
33 | (not applicable) | |||||||
34 | (not applicable) | |||||||
35 | (not applicable) | |||||||
95 | (not applicable) | |||||||
(not applicable) | ||||||||
(not applicable) | ||||||||
101 | Financial statements from the Registrant's Annual Report on Form 10-K for the year ended December 31, | |||||||
104 | The cover page from the Registrant's Annual Report on Form 10-K for the year ended December 31, | |||||||
† | Management contract or compensatory plan or arrangement. | |||||||
File No. for all filings under Exchange Act, unless otherwise noted: 1-10706. |
2016 | 2017 | 2018 | 2019 | 2020 | 2021 | |||||||||||||||
Comerica Incorporated | 100 | 129 | 105 | 113 | 94 | 152 | ||||||||||||||
KBW Bank Index | 100 | 119 | 98 | 133 | 119 | 165 | ||||||||||||||
S&P 500 Index | 100 | 122 | 116 | 153 | 181 | 233 |
(dollar amounts in millions, except per share data) | ||||||||||||||||||||
Years Ended December 31 | 2019 | 2018 | 2017 | 2016 | 2015 | |||||||||||||||
EARNINGS SUMMARY | ||||||||||||||||||||
Net interest income | $ | 2,339 | $ | 2,352 | $ | 2,061 | $ | 1,797 | $ | 1,689 | ||||||||||
Provision for credit losses | 74 | (1 | ) | 74 | 248 | 147 | ||||||||||||||
Noninterest income | 1,010 | 976 | (a) | 1,107 | 1,051 | 1,035 | ||||||||||||||
Noninterest expenses | 1,743 | 1,794 | (a), (b) | 1,860 | (b) | 1,930 | (b) | 1,827 | ||||||||||||
Provision for income taxes | 334 | 300 | 491 | (c) | 193 | 229 | ||||||||||||||
Net income | 1,198 | 1,235 | 743 | 477 | 521 | |||||||||||||||
Net income attributable to common shares | 1,191 | 1,227 | 738 | 473 | 515 | |||||||||||||||
PER SHARE OF COMMON STOCK | ||||||||||||||||||||
Diluted earnings per common share | $ | 7.87 | $ | 7.20 | $ | 4.14 | $ | 2.68 | $ | 2.84 | ||||||||||
Cash dividends declared | 2.68 | 1.84 | 1.09 | 0.89 | 0.83 | |||||||||||||||
Common shareholders’ equity | 51.57 | 46.89 | 46.07 | 44.47 | 43.03 | |||||||||||||||
Tangible common equity (d) | 47.07 | 42.89 | 42.34 | 40.79 | 39.33 | |||||||||||||||
Market value | 71.75 | 68.69 | 86.81 | 68.11 | 41.83 | |||||||||||||||
Average diluted shares (in millions) | 151 | 171 | 178 | 177 | 181 | |||||||||||||||
YEAR-END BALANCES | ||||||||||||||||||||
Total assets | $ | 73,402 | $ | 70,818 | $ | 71,567 | $ | 72,978 | $ | 71,877 | ||||||||||
Total earning assets | 67,767 | 65,513 | 65,880 | 67,518 | 66,687 | |||||||||||||||
Total loans | 50,369 | 50,163 | 49,173 | 49,088 | 49,084 | |||||||||||||||
Total deposits | 57,295 | 55,561 | 57,903 | 58,985 | 59,853 | |||||||||||||||
Total medium- and long-term debt | 7,269 | 6,463 | 4,622 | 5,160 | 3,058 | |||||||||||||||
Total common shareholders’ equity | 7,327 | 7,507 | 7,963 | 7,796 | 7,560 | |||||||||||||||
AVERAGE BALANCES | ||||||||||||||||||||
Total assets | $ | 71,488 | $ | 70,724 | $ | 71,452 | $ | 71,743 | $ | 70,247 | ||||||||||
Total earning assets | 66,134 | 65,410 | 66,300 | 66,545 | 65,129 | |||||||||||||||
Total loans | 50,511 | 48,766 | 48,558 | 48,996 | 48,628 | |||||||||||||||
Total deposits | 55,481 | 55,935 | 57,258 | 57,741 | 58,326 | |||||||||||||||
Total medium- and long-term debt | 6,955 | 5,842 | 4,969 | 4,917 | 2,905 | |||||||||||||||
Total common shareholders’ equity | 7,308 | 7,809 | 7,952 | 7,674 | 7,534 | |||||||||||||||
CREDIT QUALITY | ||||||||||||||||||||
Total allowance for credit losses | $ | 668 | $ | 701 | $ | 754 | $ | 771 | $ | 679 | ||||||||||
Total nonperforming loans | 204 | 229 | 410 | 590 | 379 | |||||||||||||||
Foreclosed property | 11 | 1 | 5 | 17 | 12 | |||||||||||||||
Total nonperforming assets | 215 | 230 | 415 | 607 | 391 | |||||||||||||||
Net credit-related charge-offs | 107 | 51 | 92 | 157 | 101 | |||||||||||||||
Net credit-related charge-offs as a percentage of average total loans | 0.21 | % | 0.11 | % | 0.19 | % | 0.32 | % | 0.21 | % | ||||||||||
Allowance for loan losses as a percentage of total period-end loans | 1.27 | 1.34 | 1.45 | 1.49 | 1.29 | |||||||||||||||
Allowance for loan losses as a multiple of total nonperforming loans | 3.1x | 2.9x | 1.7x | 1.2x | 1.7x | |||||||||||||||
RATIOS | ||||||||||||||||||||
Net interest margin | 3.54 | % | 3.58 | % | 3.11 | % | 2.71 | % | 2.60 | % | ||||||||||
Return on average assets | 1.68 | 1.75 | 1.04 | 0.67 | 0.74 | |||||||||||||||
Return on average common shareholders’ equity | 16.39 | 15.82 | 9.34 | 6.22 | 6.91 | |||||||||||||||
Dividend payout ratio | 33.71 | 25.17 | 25.77 | 32.48 | 28.33 | |||||||||||||||
Average common shareholders’ equity as a percentage of average assets | 10.22 | 11.04 | 11.13 | 10.70 | 10.73 | |||||||||||||||
Common equity tier 1 capital as a percentage of risk-weighted assets | 10.13 | 11.14 | 11.68 | 11.09 | 10.54 | |||||||||||||||
Tier 1 capital as a percentage of risk-weighted assets | 10.13 | 11.14 | 11.68 | 11.09 | 10.54 | |||||||||||||||
Common equity ratio | 9.98 | 10.60 | 11.13 | 10.68 | 10.52 | |||||||||||||||
Tangible common equity as a percentage of tangible assets (d) | 9.19 | 9.78 | 10.32 | 9.89 | 9.70 |
(dollar amounts in millions) | |||||||||||||||||||||||||||||||||||
Years Ended December 31 | 2021 | 2020 | 2019 | ||||||||||||||||||||||||||||||||
Average Balance | Interest | Average Rate | Average Balance | Interest | Average Rate | Average Balance | Interest | Average Rate | |||||||||||||||||||||||||||
Commercial loans (a) | $ | 29,283 | $ | 1,009 | 3.45 | % | $ | 32,144 | $ | 1,099 | 3.42 | % | $ | 32,053 | $ | 1,544 | 4.81 | % | |||||||||||||||||
Real estate construction loans | 3,609 | 123 | 3.40 | 3,912 | 147 | 3.76 | 3,325 | 184 | 5.54 | ||||||||||||||||||||||||||
Commercial mortgage loans | 10,610 | 305 | 2.88 | 9,839 | 320 | 3.25 | 9,170 | 447 | 4.88 | ||||||||||||||||||||||||||
Lease financing (b) | 596 | (2) | (0.37) | 594 | 20 | 3.37 | 557 | 19 | 3.44 | ||||||||||||||||||||||||||
International loans | 1,063 | 33 | 3.14 | 1,028 | 37 | 3.61 | 1,019 | 52 | 5.13 | ||||||||||||||||||||||||||
Residential mortgage loans | 1,813 | 55 | 3.04 | 1,905 | 66 | 3.45 | 1,929 | 74 | 3.85 | ||||||||||||||||||||||||||
Consumer loans | 2,109 | 71 | 3.34 | 2,209 | 84 | 3.80 | 2,458 | 119 | 4.85 | ||||||||||||||||||||||||||
Total loans (c) | 49,083 | 1,594 | 3.25 | 51,631 | 1,773 | 3.44 | 50,511 | 2,439 | 4.83 | ||||||||||||||||||||||||||
Mortgage-backed securities (d) | 11,747 | 224 | 1.92 | 9,820 | 221 | 2.30 | 9,348 | 230 | 2.44 | ||||||||||||||||||||||||||
U.S. Treasury securities (e) | 3,977 | 56 | 1.42 | 3,612 | 70 | 1.98 | 2,772 | 67 | 2.43 | ||||||||||||||||||||||||||
Total investment securities | 15,724 | 280 | 1.79 | 13,432 | 291 | 2.21 | 12,120 | 297 | 2.44 | ||||||||||||||||||||||||||
Interest-bearing deposits with banks | 18,729 | 27 | 0.14 | 10,203 | 28 | 0.27 | 3,360 | 69 | 2.05 | ||||||||||||||||||||||||||
Other short-term investments | 183 | — | 0.22 | 153 | 1 | 0.72 | 143 | 2 | 1.26 | ||||||||||||||||||||||||||
Total earning assets | 83,719 | 1,901 | 2.27 | 75,419 | 2,093 | 2.79 | 66,134 | 2,807 | 4.24 | ||||||||||||||||||||||||||
Cash and due from banks | 1,006 | 878 | 887 | ||||||||||||||||||||||||||||||||
Allowance for loan losses | (729) | (900) | (667) | ||||||||||||||||||||||||||||||||
Accrued income and other assets | 6,156 | 5,749 | 5,134 | ||||||||||||||||||||||||||||||||
Total assets | $ | 90,152 | $ | 81,146 | $ | 71,488 | |||||||||||||||||||||||||||||
Money market and interest-bearing checking deposits | $ | 31,063 | 18 | 0.06 | $ | 26,798 | 72 | 0.27 | $ | 23,417 | 214 | 0.91 | |||||||||||||||||||||||
Savings deposits | 3,018 | — | 0.01 | 2,454 | 1 | 0.03 | 2,166 | 1 | 0.05 | ||||||||||||||||||||||||||
Customer certificates of deposit | 2,110 | 4 | 0.21 | 2,626 | 27 | 1.02 | 2,522 | 30 | 1.18 | ||||||||||||||||||||||||||
Other time deposits | — | — | — | 17 | — | 2.00 | 705 | 17 | 2.44 | ||||||||||||||||||||||||||
Foreign office time deposits | 49 | — | 0.08 | 90 | 1 | 0.42 | 27 | — | 1.39 | ||||||||||||||||||||||||||
Total interest-bearing deposits | 36,240 | 22 | 0.06 | 31,985 | 101 | 0.31 | 28,837 | 262 | 0.91 | ||||||||||||||||||||||||||
Short-term borrowings | 2 | — | — | 314 | 1 | 0.32 | 369 | 9 | 2.39 | ||||||||||||||||||||||||||
Medium- and long-term debt | 3,035 | 35 | 1.11 | 6,549 | 80 | 1.23 | 6,955 | 197 | 2.82 | ||||||||||||||||||||||||||
Total interest-bearing sources | 39,277 | 57 | 0.14 | 38,848 | 182 | 0.47 | 36,161 | 468 | 1.29 | ||||||||||||||||||||||||||
Noninterest-bearing deposits | 41,441 | 33,053 | 26,644 | ||||||||||||||||||||||||||||||||
Accrued expenses and other liabilities | 1,481 | 1,554 | 1,375 | ||||||||||||||||||||||||||||||||
Shareholders’ equity | 7,953 | 7,691 | 7,308 | ||||||||||||||||||||||||||||||||
Total liabilities and shareholders’ equity | $ | 90,152 | $ | 81,146 | $ | 71,488 | |||||||||||||||||||||||||||||
Net interest income/rate spread | $ | 1,844 | 2.13 | $ | 1,911 | 2.32 | $ | 2,339 | 2.95 | ||||||||||||||||||||||||||
Impact of net noninterest-bearing sources of funds | 0.08 | 0.22 | 0.59 | ||||||||||||||||||||||||||||||||
Net interest margin (as a percentage of average earning assets) | 2.21 | % | 2.54 | % | 3.54 | % |
(dollar amounts in millions) | ||||||||||||||||||||||||||
Years Ended December 31 | 2019 | 2018 | 2017 | |||||||||||||||||||||||
Average Balance | Interest | Average Rate | Average Balance | Interest | Average Rate | Average Balance | Interest | Average Rate | ||||||||||||||||||
Commercial loans | $ | 32,053 | $ | 1,544 | 4.82 | % | $ | 30,534 | $ | 1,416 | 4.64 | % | $ | 30,415 | $ | 1,162 | 3.82 | % | ||||||||
Real estate construction loans | 3,325 | 184 | 5.54 | 3,155 | 164 | 5.21 | 2,958 | 124 | 4.18 | |||||||||||||||||
Commercial mortgage loans | 9,170 | 447 | 4.88 | 9,131 | 429 | 4.69 | 9,005 | 358 | 3.97 | |||||||||||||||||
Lease financing | 557 | 19 | 3.44 | 470 | 18 | 3.82 | 509 | 13 | 2.63 | |||||||||||||||||
International loans | 1,019 | 52 | 5.13 | 1,021 | 51 | 4.97 | 1,157 | 47 | 4.07 | |||||||||||||||||
Residential mortgage loans | 1,929 | 74 | 3.85 | 1,983 | 75 | 3.77 | 1,989 | 74 | 3.70 | |||||||||||||||||
Consumer loans | 2,458 | 119 | 4.85 | 2,472 | 109 | 4.41 | 2,525 | 94 | 3.70 | |||||||||||||||||
Total loans (a) | 50,511 | 2,439 | 4.83 | 48,766 | 2,262 | 4.64 | 48,558 | 1,872 | 3.85 | |||||||||||||||||
Mortgage-backed securities | 9,348 | 230 | 2.44 | 9,099 | 214 | 2.28 | 9,330 | 202 | 2.17 | |||||||||||||||||
Other investment securities | 2,772 | 67 | 2.43 | 2,711 | 51 | 1.86 | 2,877 | 48 | 1.66 | |||||||||||||||||
Total investment securities | 12,120 | 297 | 2.44 | 11,810 | 265 | 2.19 | 12,207 | 250 | 2.05 | |||||||||||||||||
Interest-bearing deposits with banks | 3,360 | 69 | 2.05 | 4,700 | 91 | 1.94 | 5,443 | 60 | 1.09 | |||||||||||||||||
Other short-term investments | 143 | 2 | 1.26 | 134 | 1 | 0.96 | 92 | — | 0.64 | |||||||||||||||||
Total earning assets | 66,134 | 2,807 | 4.24 | 65,410 | 2,619 | 3.99 | 66,300 | 2,182 | 3.29 | |||||||||||||||||
Cash and due from banks | 887 | 1,135 | 1,209 | |||||||||||||||||||||||
Allowance for loan losses | (667 | ) | (695 | ) | (728 | ) | ||||||||||||||||||||
Accrued income and other assets | 5,134 | 4,874 | 4,671 | |||||||||||||||||||||||
Total assets | $ | 71,488 | $ | 70,724 | $ | 71,452 | ||||||||||||||||||||
Money market and interest-bearing checking deposits | $ | 23,417 | 214 | 0.91 | $ | 22,378 | 111 | 0.50 | $ | 21,585 | 33 | 0.15 | ||||||||||||||
Savings deposits | 2,166 | 1 | 0.05 | 2,199 | 1 | 0.04 | 2,133 | — | 0.02 | |||||||||||||||||
Customer certificates of deposit | 2,522 | 30 | 1.18 | 2,090 | 10 | 0.46 | 2,470 | 9 | 0.36 | |||||||||||||||||
Other time deposits | 705 | 17 | 2.44 | 2 | — | 1.86 | 1 | — | 1.10 | |||||||||||||||||
Foreign office time deposits (b) | 27 | — | 1.39 | 25 | — | 1.19 | 56 | — | 0.64 | |||||||||||||||||
Total interest-bearing deposits | 28,837 | 262 | 0.91 | 26,694 | 122 | 0.46 | 26,245 | 42 | 0.16 | |||||||||||||||||
Short-term borrowings | 369 | 9 | 2.39 | 62 | 1 | 1.93 | 277 | 3 | 1.14 | |||||||||||||||||
Medium- and long-term debt | 6,955 | 197 | 2.82 | 5,842 | 144 | 2.47 | 4,969 | 76 | 1.51 | |||||||||||||||||
Total interest-bearing sources | 36,161 | 468 | 1.29 | 32,598 | 267 | 0.82 | 31,491 | 121 | 0.38 | |||||||||||||||||
Noninterest-bearing deposits | 26,644 | 29,241 | 31,013 | |||||||||||||||||||||||
Accrued expenses and other liabilities | 1,375 | 1,076 | 996 | |||||||||||||||||||||||
Total shareholders’ equity | 7,308 | 7,809 | 7,952 | |||||||||||||||||||||||
Total liabilities and shareholders’ equity | $ | 71,488 | $ | 70,724 | $ | 71,452 | ||||||||||||||||||||
Net interest income/rate spread | $ | 2,339 | 2.95 | $ | 2,352 | 3.17 | $ | 2,061 | 2.91 | |||||||||||||||||
Impact of net noninterest-bearing sources of funds | 0.59 | 0.41 | 0.20 | |||||||||||||||||||||||
Net interest margin (as a percentage of average earning assets) | 3.54 | % | 3.58 | % | 3.11 | % |
(in millions) | |||||||||||||||||||||||||||||||||||||||||
Years Ended December 31 | 2021/2020 | 2020/2019 | |||||||||||||||||||||||||||||||||||||||
Decrease Due to Rate | Increase (Decrease) Due to Volume (a) | Net (Decrease) Increase | Decrease Due to Rate | Increase (Decrease) Due to Volume (a) | Net Increase (Decrease) | ||||||||||||||||||||||||||||||||||||
Interest Income: | |||||||||||||||||||||||||||||||||||||||||
Commercial loans | $ | (1) | $ | (89) | $ | (90) | $ | (447) | $ | 2 | $ | (445) | |||||||||||||||||||||||||||||
Real estate construction loans | (14) | (10) | (24) | (59) | 22 | (37) | |||||||||||||||||||||||||||||||||||
Commercial mortgage loans | (37) | 22 | (15) | (149) | 22 | (127) | |||||||||||||||||||||||||||||||||||
Lease financing | (22) | — | (22) | — | 1 | 1 | |||||||||||||||||||||||||||||||||||
International loans | (5) | 1 | (4) | (15) | — | (15) | |||||||||||||||||||||||||||||||||||
Residential mortgage loans | (8) | (3) | (11) | (7) | (1) | (8) | |||||||||||||||||||||||||||||||||||
Consumer loans | (10) | (3) | (13) | (26) | (9) | (35) | |||||||||||||||||||||||||||||||||||
Total loans | (97) | (82) | (179) | (703) | 37 | (666) | |||||||||||||||||||||||||||||||||||
Mortgage-backed securities | (37) | 40 | 3 | (14) | 5 | (9) | |||||||||||||||||||||||||||||||||||
U.S. Treasury securities | (20) | 6 | (14) | (12) | 15 | 3 | |||||||||||||||||||||||||||||||||||
Total investment securities | (57) | 46 | (11) | (26) | 20 | (6) | |||||||||||||||||||||||||||||||||||
Interest-bearing deposits with banks | (13) | 12 | (1) | (59) | 18 | (41) | |||||||||||||||||||||||||||||||||||
Other short-term investments | (1) | — | (1) | (1) | — | (1) | |||||||||||||||||||||||||||||||||||
Total interest income | (168) | (24) | (192) | (789) | 75 | (714) | |||||||||||||||||||||||||||||||||||
Interest Expense: | |||||||||||||||||||||||||||||||||||||||||
Money market and interest-bearing checking deposits | (56) | 2 | (54) | (151) | 9 | (142) | |||||||||||||||||||||||||||||||||||
Savings deposits | (1) | — | (1) | — | — | — | |||||||||||||||||||||||||||||||||||
Customer certificates of deposit | (22) | (1) | (23) | (4) | 1 | (3) | |||||||||||||||||||||||||||||||||||
Other time deposits | — | — | — | (16) | (1) | (17) | |||||||||||||||||||||||||||||||||||
Foreign office time deposits | (1) | — | (1) | — | 1 | 1 | |||||||||||||||||||||||||||||||||||
Total interest-bearing deposits | (80) | 1 | (79) | (171) | 10 | (161) | |||||||||||||||||||||||||||||||||||
Short-term borrowings | — | (1) | (1) | (8) | — | (8) | |||||||||||||||||||||||||||||||||||
Medium- and long-term debt | (7) | (38) | (45) | (110) | (7) | (117) | |||||||||||||||||||||||||||||||||||
Total interest expense | (87) | (38) | (125) | (289) | 3 | (286) | |||||||||||||||||||||||||||||||||||
Net interest income | $ | (81) | $ | 14 | $ | (67) | $ | (500) | $ | 72 | $ | (428) |
(in millions) | |||||||||||||||||||||||||
Years Ended December 31 | 2019/2018 | 2018/2017 | |||||||||||||||||||||||
Increase (Decrease) Due to Rate | Increase (Decrease) Due to Volume (a) | Net Increase (Decrease) | Increase Due to Rate | Increase (Decrease) Due to Volume (a) | Net Increase (Decrease) | ||||||||||||||||||||
Interest Income: | |||||||||||||||||||||||||
Commercial loans | $ | 54 | $ | 74 | $ | 128 | $ | 248 | $ | 6 | $ | 254 | |||||||||||||
Real estate construction loans | 11 | 9 | 20 | 30 | 10 | 40 | |||||||||||||||||||
Commercial mortgage loans | 16 | 2 | 18 | 65 | 6 | 71 | |||||||||||||||||||
Lease financing | (2 | ) | 3 | 1 | 6 | (1 | ) | 5 | |||||||||||||||||
International loans | 1 | — | 1 | 11 | (7 | ) | 4 | ||||||||||||||||||
Residential mortgage loans | 1 | (2 | ) | (1 | ) | 1 | — | 1 | |||||||||||||||||
Consumer loans | 11 | (1 | ) | 10 | 17 | (2 | ) | 15 | |||||||||||||||||
Total loans | 92 | 85 | 177 | 378 | 12 | 390 | |||||||||||||||||||
Mortgage-backed securities | 15 | 1 | 16 | 12 | — | 12 | |||||||||||||||||||
Other investment securities | 17 | (1 | ) | 16 | 5 | (2 | ) | 3 | |||||||||||||||||
Total investment securities | 32 | — | 32 | 17 | (2 | ) | 15 | ||||||||||||||||||
Interest-bearing deposits with banks | 5 | (27 | ) | (22 | ) | 46 | (15 | ) | 31 | ||||||||||||||||
Other short-term investments | — | 1 | 1 | 1 | — | 1 | |||||||||||||||||||
Total interest income | 129 | 59 | 188 | 442 | (5 | ) | 437 | ||||||||||||||||||
Interest Expense: | |||||||||||||||||||||||||
Money market and interest-bearing checking deposits | 96 | 7 | 103 | 74 | 4 | 78 | |||||||||||||||||||
Savings deposits | — | — | — | 1 | — | 1 | |||||||||||||||||||
Customer certificates of deposit | 10 | 10 | 20 | 3 | (2 | ) | 1 | ||||||||||||||||||
Other time deposits | — | 17 | 17 | — | — | — | |||||||||||||||||||
Total interest-bearing deposits | 106 | 34 | 140 | 78 | 2 | 80 | |||||||||||||||||||
Short-term borrowings | — | 8 | 8 | 2 | (4 | ) | (2 | ) | |||||||||||||||||
Medium- and long-term debt | 16 | 37 | 53 | 50 | 18 | 68 | |||||||||||||||||||
Total interest expense | 122 | 79 | 201 | 130 | 16 | 146 | |||||||||||||||||||
Net interest income | $ | 7 | $ | (20 | ) | $ | (13 | ) | $ | 312 | $ | (21 | ) | $ | 291 |
(in millions) | ||||||||||||||||||||
Years Ended December 31 | 2021 | 2020 | 2019 | |||||||||||||||||
Card fees | $ | 298 | $ | 270 | $ | 257 | ||||||||||||||
Fiduciary income | 231 | 209 | 206 | |||||||||||||||||
Service charges on deposit accounts | 195 | 185 | 203 | |||||||||||||||||
Commercial lending fees | 104 | 77 | 91 | |||||||||||||||||
Derivative income (a) | 99 | 67 | 76 | |||||||||||||||||
Bank-owned life insurance | 43 | 44 | 41 | |||||||||||||||||
Letter of credit fees | 40 | 37 | 38 | |||||||||||||||||
Brokerage fees | 14 | 21 | 28 | |||||||||||||||||
Net securities losses | — | — | (7) | |||||||||||||||||
Other noninterest income (a), (b) | 99 | 91 | 77 | |||||||||||||||||
Total noninterest income | $ | 1,123 | $ | 1,001 | $ | 1,010 |
(in millions) | ||||||||||||
Years Ended December 31 | 2019 | 2018 | 2017 (a) | |||||||||
Card fees | $ | 257 | $ | 244 | $ | 333 | ||||||
Fiduciary income | 206 | 206 | 198 | |||||||||
Service charges on deposit accounts | 203 | 211 | 227 | |||||||||
Commercial lending fees | 91 | 85 | 85 | |||||||||
Foreign exchange income | 44 | 47 | 45 | |||||||||
Bank-owned life insurance | 41 | 39 | 43 | |||||||||
Letter of credit fees | 38 | 40 | 45 | |||||||||
Brokerage fees | 28 | 27 | 23 | |||||||||
Net securities losses | (7 | ) | (19 | ) | — | |||||||
Other noninterest income (b) | 109 | 96 | 108 | |||||||||
Total noninterest income | $ | 1,010 | $ | 976 | $ | 1,107 |
(in millions) | |||||||||||||||||||||||
Years Ended December 31 | 2021 | 2020 | 2019 | ||||||||||||||||||||
Income from principal investing and warrants | $ | 34 | $ | 3 | $ | 7 | |||||||||||||||||
Deferred compensation asset returns (a) | 14 | 16 | 9 | ||||||||||||||||||||
Investment banking fees | 11 | 11 | 6 | ||||||||||||||||||||
Net gain on sale of business (b) | — | — | 6 | ||||||||||||||||||||
Securities trading income (c) | (1) | 23 | 9 | ||||||||||||||||||||
All other noninterest income | 41 | 38 | 40 | ||||||||||||||||||||
Other noninterest income | $ | 99 | $ | 91 | $ | 77 |
(in millions) | |||||||||||||||||
Years Ended December 31 | 2021 | 2020 | 2019 | ||||||||||||||
Salaries and benefits expense | $ | 1,133 | $ | 1,019 | $ | 1,020 | |||||||||||
Outside processing fee expense | 266 | 242 | 264 | ||||||||||||||
Occupancy expense | 161 | 156 | 154 | ||||||||||||||
Software expense | 155 | 154 | 117 | ||||||||||||||
Equipment expense | 50 | 49 | 50 | ||||||||||||||
Advertising expense | 35 | 35 | 34 | ||||||||||||||
FDIC insurance expense | 22 | 33 | 23 | ||||||||||||||
Other noninterest expenses (a) | 39 | 66 | 75 | ||||||||||||||
Total noninterest expenses (a) | $ | 1,861 | $ | 1,754 | $ | 1,737 |
(in millions) | |||||||||||||
Years Ended December 31 | 2019 | 2018 | 2017 | ||||||||||
Customer derivative income | $ | 32 | $ | 26 | $ | 26 | |||||||
Investment banking fees | 6 | 9 | 9 | ||||||||||
Securities trading income | 9 | 8 | 8 | ||||||||||
Income from principal investing and warrants | 7 | 4 | 6 | ||||||||||
Deferred compensation asset returns (a) | 9 | (2 | ) | 8 | |||||||||
Net gain on sale of business (b) | 6 | — | — | ||||||||||
All other noninterest income | 40 | 51 | 51 | ||||||||||
Other noninterest income | $ | 109 | $ | 96 | $ | 108 |
(in millions) | ||||||||||||
Years Ended December 31 | 2019 | 2018 | 2017 (a) | |||||||||
Salaries and benefits expense | $ | 1,020 | $ | 1,009 | $ | 961 | ||||||
Outside processing fee expense | 264 | 255 | 366 | |||||||||
Occupancy expense | 154 | 152 | 154 | |||||||||
Software expense | 117 | 125 | 126 | |||||||||
Equipment expense | 50 | 48 | 45 | |||||||||
Advertising expense | 34 | 30 | 28 | |||||||||
FDIC insurance expense | 23 | 42 | 51 | |||||||||
Restructuring charges | — | 53 | 45 | |||||||||
Other noninterest expenses | 81 | 80 | 84 | |||||||||
Total noninterest expenses | $ | 1,743 | $ | 1,794 | $ | 1,860 |
(dollar amounts in millions) | |||||||||||||||||||||||||||||||||||
Years Ended December 31 | 2021 | 2020 | 2019 | ||||||||||||||||||||||||||||||||
Commercial Bank | $ | 1,329 | 89 | % | $ | 668 | 90 | % | $ | 1,022 | 82 | % | |||||||||||||||||||||||
Retail Bank | 43 | 3 | 2 | — | 85 | 7 | |||||||||||||||||||||||||||||
Wealth Management | 124 | 8 | 78 | 10 | 141 | 11 | |||||||||||||||||||||||||||||
1,496 | 100 | % | 748 | 100 | % | 1,248 | 100 | % | |||||||||||||||||||||||||||
Finance | (331) | (253) | (57) | ||||||||||||||||||||||||||||||||
Other | 3 | 2 | 11 | ||||||||||||||||||||||||||||||||
Total | $ | 1,168 | $ | 497 | $ | 1,202 |
Years Ended December 31, | Percent Change | ||||||||||||||||||||||
(dollar amounts in millions) | 2021 | 2020 | Change | ||||||||||||||||||||
Earnings summary: | |||||||||||||||||||||||
Net interest income | $ | 1,577 | $ | 1,607 | $ | (30) | (2)% | ||||||||||||||||
Provision for credit losses | (346) | 495 | (841) | n/m | |||||||||||||||||||
Noninterest income | 663 | 555 | 108 | 19 | |||||||||||||||||||
Noninterest expenses | 873 | 815 | 58 | 7 | |||||||||||||||||||
Provision for income taxes | 384 | 184 | 200 | n/m | |||||||||||||||||||
Net income | $ | 1,329 | $ | 668 | $ | 661 | 99 | ||||||||||||||||
Net credit-related (recoveries) charge-offs | $ | (12) | $ | 192 | $ | (204) | n/m | ||||||||||||||||
Selected average balances: | |||||||||||||||||||||||
Loans (a) | $ | 41,804 | $ | 44,123 | $ | (2,319) | (5)% | ||||||||||||||||
Deposits | 45,587 | 36,603 | 8,984 | 25 |
(dollar amounts in millions) | ||||||||||||||||||||
Years Ended December 31 | 2019 | 2018 | 2017 | |||||||||||||||||
Business Bank | $ | 1,021 | 82 | % | $ | 1,024 | 85 | % | $ | 755 | 90 | % | ||||||||
Retail Bank | 83 | 7 | 65 | 5 | (6 | ) | (1 | ) | ||||||||||||
Wealth Management | 140 | 11 | 121 | 10 | 87 | 11 | ||||||||||||||
1,244 | 100 | % | 1,210 | 100 | % | 836 | 100 | % | ||||||||||||
Finance (a) | (56 | ) | (1 | ) | (23 | ) | ||||||||||||||
Other (b) | 10 | 26 | (70 | ) | ||||||||||||||||
Total | $ | 1,198 | $ | 1,235 | $ | 743 |
Years Ended December 31, | Percent Change | ||||||||||||||||||||||
(dollar amounts in millions) | 2021 | 2020 | Change | ||||||||||||||||||||
Earnings summary: | |||||||||||||||||||||||
Net interest income | $ | 565 | $ | 503 | $ | 62 | 13% | ||||||||||||||||
Provision for credit losses | (5) | 7 | (12) | n/m | |||||||||||||||||||
Noninterest income | 123 | 110 | 13 | 12 | |||||||||||||||||||
Noninterest expenses | 645 | 607 | 38 | 6 | |||||||||||||||||||
Provision (benefit) for income taxes | 5 | (3) | 8 | n/m | |||||||||||||||||||
Net income | $ | 43 | $ | 2 | $ | 41 | n/m | ||||||||||||||||
Net credit-related charge-offs | $ | 2 | $ | 1 | $ | 1 | 66% | ||||||||||||||||
Selected average balances: | |||||||||||||||||||||||
Loans (a) | $ | 2,382 | $ | 2,468 | $ | (86) | (3%) | ||||||||||||||||
Deposits | 25,682 | 22,832 | 2,850 | 12 |
Years Ended December 31, | Percent Change | ||||||||||||||||||||||
(dollar amounts in millions) | 2021 | 2020 | Change | ||||||||||||||||||||
Earnings summary: | |||||||||||||||||||||||
Net interest income | $ | 166 | $ | 167 | $ | (1) | —% | ||||||||||||||||
Provision for credit losses | (32) | 35 | (67) | n/m | |||||||||||||||||||
Noninterest income | 279 | 263 | 16 | 6 | |||||||||||||||||||
Noninterest expenses | 317 | 295 | 22 | 8 | |||||||||||||||||||
Provision for income taxes | 36 | 22 | 14 | 64 | |||||||||||||||||||
Net income | $ | 124 | $ | 78 | $ | 46 | 60% | ||||||||||||||||
Net credit-related charge-offs | $ | — | $ | 3 | $ | (3) | (93)% | ||||||||||||||||
Selected average balances: | |||||||||||||||||||||||
Loans (a) | $ | 4,903 | $ | 5,045 | $ | (142) | (3%) | ||||||||||||||||
Deposits | 5,218 | 4,402 | 816 | 19 |
(dollar amounts in millions) | ||||||||||||||||||||
Years Ended December 31 | 2019 | 2018 | 2017 | |||||||||||||||||
Michigan | $ | 369 | 30 | % | $ | 326 | 27 | % | $ | 247 | 30 | % | ||||||||
California | 456 | 36 | 379 | 31 | 232 | 27 | ||||||||||||||
Texas | 119 | 10 | 228 | 19 | 175 | 21 | ||||||||||||||
Other Markets | 300 | 24 | 277 | 23 | 182 | 22 | ||||||||||||||
1,244 | 100 | % | 1,210 | 100 | % | 836 | 100 | % | ||||||||||||
Finance & Other (a) | (46 | ) | 25 | (93 | ) | |||||||||||||||
Total | $ | 1,198 | $ | 1,235 | $ | 743 |
Years Ended December 31, | Percent Change | ||||||||||||||||||||||
(dollar amounts in millions) | 2021 | 2020 | Change | ||||||||||||||||||||
Earnings summary: | |||||||||||||||||||||||
Net interest expense | $ | (464) | $ | (366) | $ | (98) | 27% | ||||||||||||||||
Provision for credit losses | (1) | — | (1) | n/m | |||||||||||||||||||
Noninterest income | 58 | 73 | (15) | (21) | |||||||||||||||||||
Noninterest expenses | 26 | 37 | (11) | (30) | |||||||||||||||||||
Benefit for income taxes | (103) | (79) | (24) | 30 | |||||||||||||||||||
Net loss | $ | (328) | $ | (251) | $ | (77) | 31% | ||||||||||||||||
Selected average balances: | |||||||||||||||||||||||
Deposits | 1,194 | 1,201 | (7) | (1) |
December 31 | 2021 | 2020 | 2019 | ||||||||||||||
Michigan | 188 | 189 | 192 | ||||||||||||||
Texas | 124 | 123 | 123 | ||||||||||||||
California | 95 | 96 | 96 | ||||||||||||||
Other Markets: | |||||||||||||||||
Arizona | 17 | 17 | 17 | ||||||||||||||
Florida | 8 | 7 | 7 | ||||||||||||||
Canada | 1 | 1 | 1 | ||||||||||||||
Total Other Markets | 26 | 25 | 25 | ||||||||||||||
Total | 433 | 433 | 436 |
December 31 | 2019 | 2018 | 2017 | |||||
Michigan | 192 | 193 | 194 | |||||
Texas | 123 | 122 | 122 | |||||
California | 96 | 96 | 97 | |||||
Other Markets: | ||||||||
Arizona | 17 | 17 | 17 | |||||
Florida | 7 | 7 | 7 | |||||
Canada | 1 | 1 | 1 | |||||
Total Other Markets | 25 | 25 | 25 | |||||
Total | 436 | 436 | 438 |
(in millions) | |||||||||||||||||||
December 31 | 2019 | 2018 | 2017 | 2016 | 2015 | ||||||||||||||
Investment securities available-for-sale: | |||||||||||||||||||
U.S. Treasury and other U.S. government agency securities | $ | 2,792 | $ | 2,727 | $ | 2,727 | $ | 2,779 | $ | 2,763 | |||||||||
Residential mortgage-backed securities (a) | 9,606 | 9,318 | (b) | 8,124 | 7,872 | 7,545 | |||||||||||||
State and municipal securities | — | — | 5 | 7 | 9 | ||||||||||||||
Corporate debt securities | — | — | — | — | 1 | ||||||||||||||
Equity and other non-debt securities | — | — | 82 | 129 | 201 | ||||||||||||||
Total investment securities available-for-sale | 12,398 | 12,045 | 10,938 | 10,787 | 10,519 | ||||||||||||||
Investment securities held to maturity: | |||||||||||||||||||
Residential mortgage-backed securities (a) | — | — | (b) | 1,266 | 1,582 | 1,981 | |||||||||||||
Total investment securities | $ | 12,398 | $ | 12,045 | $ | 12,204 | $ | 12,369 | $ | 12,500 | |||||||||
Commercial loans | $ | 31,473 | $ | 31,976 | $ | 31,060 | $ | 30,994 | $ | 31,659 | |||||||||
Real estate construction loans | 3,455 | 3,077 | 2,961 | 2,869 | 2,001 | ||||||||||||||
Commercial mortgage loans | 9,559 | 9,106 | 9,159 | 8,931 | 8,977 | ||||||||||||||
Lease financing | 588 | 507 | 468 | 572 | 724 | ||||||||||||||
International loans: | |||||||||||||||||||
Banks and other financial institutions | — | — | 4 | 2 | — | ||||||||||||||
Commercial and industrial | 1,009 | 1,013 | 979 | 1,256 | 1,368 | ||||||||||||||
Total international loans | 1,009 | 1,013 | 983 | 1,258 | 1,368 | ||||||||||||||
Residential mortgage loans | 1,845 | 1,970 | 1,988 | 1,942 | 1,870 | ||||||||||||||
Consumer loans: | |||||||||||||||||||
Home equity | 1,711 | 1,765 | 1,816 | 1,800 | 1,720 | ||||||||||||||
Other consumer | 729 | 749 | 738 | 722 | 765 | ||||||||||||||
Total consumer loans | 2,440 | 2,514 | 2,554 | 2,522 | 2,485 | ||||||||||||||
Total loans | $ | 50,369 | $ | 50,163 | $ | 49,173 | $ | 49,088 | $ | 49,084 |
(in millions) | Percent Change | |||||||||||||||||||||||||||||||||||||||||||
December 31 | 2021 | 2020 | Change | |||||||||||||||||||||||||||||||||||||||||
Commercial loans | $ | 29,366 | $ | 32,753 | $ | (3,387) | (10) | % | ||||||||||||||||||||||||||||||||||||
Real estate construction loans | 2,948 | 4,082 | (1,134) | (28) | ||||||||||||||||||||||||||||||||||||||||
Commercial mortgage loans | 11,255 | 9,912 | 1,343 | 14 | ||||||||||||||||||||||||||||||||||||||||
Lease financing | 640 | 594 | 46 | 8 | ||||||||||||||||||||||||||||||||||||||||
International loans | 1,208 | 926 | 282 | 30 | ||||||||||||||||||||||||||||||||||||||||
Residential mortgage loans | 1,771 | 1,830 | (59) | (3) | ||||||||||||||||||||||||||||||||||||||||
Consumer loans: | ||||||||||||||||||||||||||||||||||||||||||||
Home equity | 1,533 | 1,588 | (55) | (3) | ||||||||||||||||||||||||||||||||||||||||
Other consumer | 564 | 606 | (42) | (7) | ||||||||||||||||||||||||||||||||||||||||
Total consumer loans | 2,097 | 2,194 | (97) | (4) | ||||||||||||||||||||||||||||||||||||||||
Total loans | $ | 49,285 | $ | 52,291 | $ | (3,006) | (6) | % |
(in millions) | Percent Change | ||||||||||||||||||||||
Years Ended December 31 | 2021 | 2020 | Change | ||||||||||||||||||||
Average Loans By Business Line: | |||||||||||||||||||||||
General Middle Market | $ | 11,937 | $ | 12,227 | $ | (290) | (2) | % | |||||||||||||||
National Dealer Services | 4,349 | 5,967 | (1,618) | (27) | |||||||||||||||||||
Equity Fund Services | 2,781 | 2,367 | 414 | 18 | |||||||||||||||||||
Environmental Services | 1,711 | 1,406 | 305 | 22 | |||||||||||||||||||
Energy | 1,376 | 2,021 | (645) | (32) | |||||||||||||||||||
Entertainment | 983 | 657 | 326 | 50 | |||||||||||||||||||
Technology and Life Sciences | 920 | 1,298 | (378) | (29) | |||||||||||||||||||
Total Middle Market | 24,057 | 25,943 | (1,886) | (7) | |||||||||||||||||||
Commercial Real Estate | 6,737 | 6,564 | 173 | 3 | |||||||||||||||||||
Corporate Banking | 4,445 | 4,492 | (47) | (1) | |||||||||||||||||||
Small Business | 3,732 | 3,948 | (216) | (5) | |||||||||||||||||||
Mortgage Banker Finance | 2,833 | 3,176 | (343) | (11) | |||||||||||||||||||
Total Commercial Bank | 41,804 | 44,123 | (2,319) | (5) | |||||||||||||||||||
Total Retail Bank | 2,382 | 2,468 | (86) | (3) | |||||||||||||||||||
Total Wealth Management | 4,903 | 5,045 | (142) | (3) | |||||||||||||||||||
Total Finance and Other | (6) | (5) | (1) | 23 | |||||||||||||||||||
Total loans | $ | 49,083 | $ | 51,631 | $ | (2,548) | (5) | % | |||||||||||||||
(dollar amounts in millions) | Percent Change | |||||||||||||
Years Ended December 31 | 2019 | 2018 | Change | |||||||||||
By Business Line: | ||||||||||||||
General Middle Market | $ | 12,134 | $ | 11,800 | $ | 334 | 3 | % | ||||||
National Dealer Services | 7,652 | 7,294 | 358 | 5 | ||||||||||
Energy | 2,449 | 1,868 | 581 | 31 | ||||||||||
Equity Fund Services | 2,570 | 2,408 | 162 | 7 | ||||||||||
Technology and Life Sciences | 1,265 | 1,400 | (135 | ) | (10 | ) | ||||||||
Environmental Services | 1,200 | 1,099 | 101 | 9 | ||||||||||
Entertainment | 739 | 731 | 8 | 1 | ||||||||||
Total Middle Market | 28,009 | 26,600 | 1,409 | 5 | ||||||||||
Corporate Banking | 4,231 | 4,337 | (106 | ) | (2 | ) | ||||||||
Mortgage Banker Finance | 2,150 | 1,716 | 434 | 25 | ||||||||||
Commercial Real Estate | 5,595 | 5,287 | 308 | 6 | ||||||||||
Small Business | 3,487 | 3,678 | (191 | ) | (5 | ) | ||||||||
Total Business Bank | 43,472 | 41,618 | 1,854 | 4 | ||||||||||
Total Retail Bank | 2,104 | 2,067 | 37 | 2 | ||||||||||
Total Wealth Management | 4,935 | 5,081 | (146 | ) | (3 | ) | ||||||||
Total loans | $ | 50,511 | $ | 48,766 | $ | 1,745 | 4 | % | ||||||
By Loan Type: | ||||||||||||||
Commercial | $ | 32,053 | $ | 30,534 | $ | 1,519 | 5 | % | ||||||
Real estate construction loans | 3,325 | 3,155 | 170 | 5 | ||||||||||
Commercial mortgage loans | 9,170 | 9,131 | 39 | — | ||||||||||
Lease financing | 557 | 470 | 87 | 19 | ||||||||||
International loans | 1,019 | 1,021 | (2 | ) | — | |||||||||
Residential mortgage loans | 1,929 | 1,983 | (54 | ) | (3 | ) | ||||||||
Consumer loans: | ||||||||||||||
Home equity | 1,769 | 1,749 | 20 | 1 | ||||||||||
Other consumer | 689 | 723 | (34 | ) | (5 | ) | ||||||||
Total consumer loans | 2,458 | 2,472 | (14 | ) | (1 | ) | ||||||||
Total loans | $ | 50,511 | $ | 48,766 | $ | 1,745 | 4 | % | ||||||
By Geographic Market: | ||||||||||||||
Michigan | $ | 12,553 | $ | 12,531 | $ | 22 | — | % | ||||||
California | 18,540 | 18,283 | 257 | 1 | ||||||||||
Texas | 10,616 | 9,812 | 804 | 8 | ||||||||||
Other Markets | 8,802 | 8,140 | 662 | 8 | ||||||||||
Total loans | $ | 50,511 | $ | 48,766 | $ | 1,745 | 4 | % |
(in millions) | Percent Change | ||||||||||||||||||||||
Years Ended December 31 | 2021 | 2020 | Change | ||||||||||||||||||||
Average Loans By Loan Type: | |||||||||||||||||||||||
Commercial loans (a) | $ | 29,283 | $ | 32,144 | $ | (2,861) | (9) | % | |||||||||||||||
Real estate construction loans | 3,609 | 3,912 | (303) | (8) | |||||||||||||||||||
Commercial mortgage loans | 10,610 | 9,839 | 771 | 8 | |||||||||||||||||||
Lease financing | 596 | 594 | 2 | — | |||||||||||||||||||
International loans | 1,063 | 1,028 | 35 | 3 | |||||||||||||||||||
Residential mortgage loans | 1,813 | 1,905 | (92) | (5) | |||||||||||||||||||
Consumer loans: | |||||||||||||||||||||||
Home equity | 1,554 | 1,667 | (113) | (7) | |||||||||||||||||||
Other consumer | 555 | 542 | 13 | 2 | |||||||||||||||||||
Total consumer loans | 2,109 | 2,209 | (100) | (5) | |||||||||||||||||||
Total loans | $ | 49,083 | $ | 51,631 | $ | (2,548) | (5) | % | |||||||||||||||
Maturity (a) | Weighted Average Maturity | ||||||||||||||||||||||||||
(dollar amounts in millions) | Within 1 Year | 1 - 5 Years | 5 - 10 Years | After 10 Years | Total | ||||||||||||||||||||||
December 31, 2019 | Amount | Yield | Amount | Yield | Amount | Yield | Amount | Yield | Amount | Yield | Years | ||||||||||||||||
U.S. Treasury and other U.S. government agency securities | $ | 30 | 1.68 | % | $ | 2,762 | 2.48 | % | $ | — | — | % | $ | — | — | % | $ | 2,792 | 2.47 | % | 2.2 | ||||||
Residential mortgage-backed securities (b) | — | — | 132 | 3.62 | 1,013 | 2.26 | 8,461 | 2.42 | 9,606 | 2.42 | 22.3 | ||||||||||||||||
Total investment securities | $ | 30 | 1.68 | % | $ | 2,894 | 2.53 | % | $ | 1,013 | 2.26 | % | $ | 8,461 | 2.42 | % | $ | 12,398 | 2.43 | % | 17.9 |
(in millions) | Percent Change | ||||||||||||||||||||||||||||||||||||||||
December 31 | 2021 | 2020 | Change | ||||||||||||||||||||||||||||||||||||||
U.S. Treasury securities | $ | 2,993 | $ | 4,658 | $ | (1,665) | (36) | % | |||||||||||||||||||||||||||||||||
Residential mortgage-backed securities (a) | 13,288 | 10,370 | 2,918 | 28 | |||||||||||||||||||||||||||||||||||||
Commercial mortgage-backed securities (a) | 705 | — | 705 | n/m | |||||||||||||||||||||||||||||||||||||
Total investment securities | $ | 16,986 | $ | 15,028 | $ | 1,958 | 13 | % | |||||||||||||||||||||||||||||||||
(weighted average yield) (a) | U.S. Treasury securities | Residential mortgage-backed securities (b) | Commercial mortgage-backed securities (b) | Total investment securities | ||||||||||
December 31, 2021 | ||||||||||||||
Maturity (c) | ||||||||||||||
Within 1 year | 2.48 | % | 2.27 | % | — | % | 2.41 | % | ||||||
1-5 Years | 0.93 | 2.42 | — | 1.58 | ||||||||||
5-10 Years | — | 2.03 | 1.74 | 1.89 | ||||||||||
After 10 Years | — | 1.68 | 1.68 | 1.68 | ||||||||||
Total | 1.02 | % | 1.82 | % | 1.74 | % | 1.68 | % | ||||||
Weighted Average Maturity (years) | 2.3 | 26.4 | 9.6 | 21.5 |
(dollar amounts in millions) | Percent Change | |||||||||||||
Years Ended December 31 | 2019 | 2018 | Change | |||||||||||
Noninterest-bearing deposits | $ | 26,644 | $ | 29,241 | $ | (2,597 | ) | (9 | )% | |||||
Money market and interest-bearing checking deposits | 23,417 | 22,378 | 1,039 | 5 | ||||||||||
Savings deposits | 2,166 | 2,199 | (33 | ) | (2 | ) | ||||||||
Customer certificates of deposit | 2,522 | 2,090 | 432 | 21 | ||||||||||
Other time deposits | 705 | 2 | 703 | n/m | ||||||||||
Foreign office time deposits | 27 | 25 | 2 | 10 | ||||||||||
Total deposits | $ | 55,481 | $ | 55,935 | $ | (454 | ) | (1 | )% | |||||
Short-term borrowings | $ | 369 | $ | 62 | $ | 307 | n/m | |||||||
Medium- and long-term debt | 6,955 | 5,842 | 1,113 | 19 | ||||||||||
Total borrowed funds | $ | 7,324 | $ | 5,904 | $ | 1,420 | 24 | % |
(dollar amounts in millions) | Percent Change | ||||||||||||||||||||||
Years Ended December 31 | 2021 | 2020 | Change | ||||||||||||||||||||
Noninterest-bearing deposits | $ | 41,441 | $ | 33,053 | $ | 8,388 | 25 | % | |||||||||||||||
Money market and interest-bearing checking deposits | 31,063 | 26,798 | 4,265 | 16 | |||||||||||||||||||
Savings deposits | 3,018 | 2,454 | 564 | 23 | |||||||||||||||||||
Customer certificates of deposit | 2,110 | 2,626 | (516) | (20) | |||||||||||||||||||
Other time deposits | — | 17 | (17) | (100) | |||||||||||||||||||
Foreign office time deposits | 49 | 90 | (41) | (46) | |||||||||||||||||||
Total deposits | $ | 77,681 | $ | 65,038 | $ | 12,643 | 19 | % | |||||||||||||||
Short-term borrowings | $ | 2 | $ | 314 | $ | (312) | (99) | % | |||||||||||||||
Medium- and long-term debt | 3,035 | 6,549 | (3,514) | (54) | |||||||||||||||||||
Total borrowed funds | $ | 3,037 | $ | 6,863 | $ | (3,826) | (56) | % |
(in millions) | |||||||
Balance at January 1, 2019 | $ | 7,507 | |||||
Cumulative effect of change in accounting principles | (14 | ) | |||||
Net income | 1,198 | ||||||
Cash dividends declared on common stock | (398 | ) | |||||
Purchase of common stock | (1,380 | ) | |||||
Other comprehensive income: | |||||||
Investment securities | $ | 203 | |||||
Cash flow hedges | 34 | ||||||
Defined benefit and other postretirement plans | 137 | ||||||
Total other comprehensive income | 374 | ||||||
Issuance of common stock under employee stock plans | 1 | ||||||
Share-based compensation | 39 | ||||||
Balance at December 31, 2019 | $ | 7,327 |
(in millions) | |||||||||||
Balance at January 1, 2021 | $ | 8,050 | |||||||||
Net income | 1,168 | ||||||||||
Cash dividends declared on common stock | (365) | ||||||||||
Cash dividends declared on preferred stock | (23) | ||||||||||
Purchase of common stock | (723) | ||||||||||
Other comprehensive (loss) income, net of tax: | |||||||||||
Investment securities | $ | (310) | |||||||||
Cash flow hedges | (100) | ||||||||||
Defined benefit and other postretirement plans | 134 | ||||||||||
Total other comprehensive loss, net of tax | (276) | ||||||||||
Net issuance of common stock under employee stock plans | 25 | ||||||||||
Share-based compensation | 41 | ||||||||||
Balance at December 31, 2021 | $ | 7,897 |
(shares in thousands) | Total Number of Shares Purchased as Part of Publicly Announced Repurchase Plans or Programs | Remaining Repurchase Authorization (a) | Total Number of Shares Purchased (b) | Average Price Paid Per Share | ||||||||
First quarter 2019 | 5,094 | 14,613 | (c) | 5,216 | $ | 83.48 | ||||||
Second quarter 2019 | 5,656 | 8,957 | 5,658 | 75.13 | ||||||||
Third quarter 2019 | 5,734 | 3,223 | 5,739 | 64.53 | ||||||||
Fourth quarter 2019 | 2,126 | 8,097 | (d) | 2,137 | 70.44 | |||||||
Total 2019 | 18,610 | 8,097 | 18,750 | $ | 73.67 |
(shares in thousands) | Total Number of Shares Purchased as Part of Publicly Announced Repurchase Plans or Programs | Remaining Repurchase Authorization (a) | Total Number of Shares Purchased (b) | Average Price Paid Per Share | |||||||||||||||||||
First Quarter 2021 | — | 4,870 | 55 | $ | 61.39 | ||||||||||||||||||
Second Quarter 2021 | 5,882 | 8,988 | 5,884 | 76.51 | |||||||||||||||||||
Third Quarter 2021 | 3,050 | 5,938 | 3,052 | 72.12 | |||||||||||||||||||
Fourth Quarter 2021 | 564 | 5,374 | 565 | 88.61 | |||||||||||||||||||
Total 2021 | 9,496 | 5,374 | 9,556 | 75.73 |
Common equity tier 1 capital to risk-weighted assets | 4.5 | % | |||
Tier 1 capital to risk-weighted assets | 6.0 | ||||
Total capital to risk-weighted assets | 8.0 | ||||
Capital conservation buffer (a) | 2.5 | ||||
Tier 1 capital to adjusted average assets (leverage ratio) | 4.0 |
December 31, 2021 | December 31, 2020 | ||||||||||||||||||||||
(dollar amounts in millions) | Capital/Assets | Ratio | Capital/Assets | Ratio | |||||||||||||||||||
Common equity tier 1 (a), (b) | $ | 7,064 | 10.13 | % | $ | 6,919 | 10.34 | % | |||||||||||||||
Tier 1 risk-based (a), (b) | 7,458 | 10.70 | 7,313 | 10.93 | |||||||||||||||||||
Total risk-based (a) | 8,608 | 12.35 | 8,833 | 13.20 | |||||||||||||||||||
Leverage (a) | 7,458 | 7.74 | 7,313 | 8.63 | |||||||||||||||||||
Common shareholders' equity | 7,503 | 7.93 | 7,656 | 8.69 | |||||||||||||||||||
Tangible common equity (b) | 6,857 | 7.30 | 7,020 | 8.02 | |||||||||||||||||||
Risk-weighted assets | 69,708 | 66,931 |
December 31, 2019 | December 31, 2018 | ||||||||||||
(dollar amounts in millions) | Capital/Assets | Ratio | Capital/Assets | Ratio | |||||||||
Common equity tier 1 and tier 1 risk-based | $ | 6,919 | 10.13 | % | $ | 7,470 | 11.14 | % | |||||
Total risk-based | 8,282 | 12.13 | 8,855 | 13.21 | |||||||||
Leverage | 6,919 | 9.51 | 7,470 | 10.51 | |||||||||
Common equity | 7,327 | 9.98 | 7,507 | 10.60 | |||||||||
Tangible common equity (a) | 6,688 | 9.19 | 6,866 | 9.78 | |||||||||
Risk-weighted assets | 68,273 | 67,047 |
(dollar amounts in millions) | |||||||||||||||||||
Years Ended December 31 | 2019 | 2018 | 2017 | 2016 | 2015 | ||||||||||||||
Balance at beginning of year | $ | 671 | $ | 712 | $ | 730 | $ | 634 | $ | 594 | |||||||||
Loan charge-offs: | |||||||||||||||||||
Commercial | 143 | 95 | 133 | 181 | 139 | ||||||||||||||
Commercial mortgage | 3 | 3 | 3 | 3 | 3 | ||||||||||||||
Lease financing | — | — | 1 | — | 1 | ||||||||||||||
International | 1 | 1 | 6 | 23 | 14 | ||||||||||||||
Residential mortgage | 1 | — | — | — | 1 | ||||||||||||||
Consumer | 4 | 4 | 6 | 7 | 10 | ||||||||||||||
Total loan charge-offs | 152 | 103 | 149 | 214 | 168 | ||||||||||||||
Recoveries: | |||||||||||||||||||
Commercial | 35 | 44 | 37 | 43 | 33 | ||||||||||||||
Real estate construction | — | — | 1 | — | 1 | ||||||||||||||
Commercial mortgage | 4 | 2 | 9 | 20 | 21 | ||||||||||||||
International | 1 | 1 | 3 | — | — | ||||||||||||||
Residential mortgage | 1 | 1 | 1 | 1 | 2 | ||||||||||||||
Consumer | 4 | 4 | 6 | 4 | 11 | ||||||||||||||
Total recoveries | 45 | 52 | 57 | 68 | 68 | ||||||||||||||
Net loan charge-offs | 107 | 51 | 92 | 146 | 100 | ||||||||||||||
Provision for loan losses | 73 | 11 | 73 | 241 | 142 | ||||||||||||||
Foreign currency translation adjustment | — | (1 | ) | 1 | 1 | (2 | ) | ||||||||||||
Balance at end of year | $ | 637 | $ | 671 | $ | 712 | $ | 730 | $ | 634 | |||||||||
Net loan charge-offs during the year as a percentage of average loans outstanding during the year | 0.21 | % | 0.11 | % | 0.19 | % | 0.30 | % | 0.21 | % |
Economic Variable | Base Forecast | ||||
Real GDP growth | Gradually normalizes to a long-term growth rate of 2 to 3 percent by third quarter 2022. | ||||
Unemployment rate | Current levels decrease to 4 percent by second quarter 2022, remaining between 3.5 percent and 4 percent through the remainder of the forecast period. | ||||
Corporate BBB bond to 10-year Treasury bond spreads | Spreads remain below 2 percent throughout the forecast period. | ||||
Oil Prices | Prices gradually decline from current levels to $62 by second quarter 2023. |
Years Ended December 31 | 2019 | 2018 | 2017 | |||||
Allowance for loan losses as a percentage of total loans at end of year | 1.27 | % | 1.34 | % | 1.45 | % | ||
Allowance for loan losses as a multiple of total nonperforming loans at end of year | 3.1x | 2.9x | 1.7x | |||||
Allowance for loan losses as a multiple of total net loan charge-offs for the year | 6.0x | 13.1x | 7.7x |
2019 | 2018 | 2017 | 2016 | 2015 | |||||||||||||||||||||||||||
(dollar amounts in millions) | Allocated Allowance | Allowance Ratio (a) | % (b) | Allocated Allowance | % (b) | Allocated Allowance | % (b) | Allocated Allowance | % (b) | Allocated Allowance | % (b) | ||||||||||||||||||||
December 31 | |||||||||||||||||||||||||||||||
Business loans | |||||||||||||||||||||||||||||||
Commercial | $ | 490 | 1.56 | % | 62 | % | $ | 492 | 64 | % | $ | 521 | 63 | % | $ | 547 | 63 | % | $ | 448 | 65 | % | |||||||||
Real estate construction | 17 | 0.49 | 7 | 19 | 6 | 19 | 6 | 21 | 6 | 12 | 4 | ||||||||||||||||||||
Commercial mortgage | 81 | 0.84 | 19 | 99 | 18 | 91 | 19 | 93 | 18 | 93 | 18 | ||||||||||||||||||||
Lease financing | 3 | 0.47 | 1 | 4 | 1 | 12 | 1 | 5 | 1 | 3 | 1 | ||||||||||||||||||||
International | 10 | 1.04 | 2 | 13 | 2 | 18 | 2 | 16 | 3 | 23 | 3 | ||||||||||||||||||||
Total business loans | 601 | 1.30 | 91 | 627 | 91 | 661 | 91 | 682 | 91 | 579 | 91 | ||||||||||||||||||||
Retail loans | |||||||||||||||||||||||||||||||
Residential mortgage | 7 | 0.35 | 4 | 9 | 4 | 13 | 4 | 11 | 4 | 14 | 4 | ||||||||||||||||||||
Consumer | 29 | 1.21 | 5 | 35 | 5 | 38 | 5 | 37 | 5 | 41 | 5 | ||||||||||||||||||||
Total retail loans | 36 | 0.84 | 9 | 44 | 9 | 51 | 9 | 48 | 9 | 55 | 9 | ||||||||||||||||||||
Total loans | $ | 637 | 1.27 | % | 100 | % | $ | 671 | 100 | % | $ | 712 | 100 | % | $ | 730 | 100 | % | $ | 634 | 100 | % |
(dollar amounts in millions) | |||||||||||||||||||
Years Ended December 31 | 2019 | 2018 | 2017 | 2016 | 2015 | ||||||||||||||
Balance at beginning of year | $ | 30 | $ | 42 | $ | 41 | $ | 45 | $ | 41 | |||||||||
Charge-offs on lending-related commitments (a) | — | — | — | (11 | ) | (1 | ) | ||||||||||||
Provision for credit losses on lending-related commitments | 1 | (12 | ) | 1 | 7 | 5 | |||||||||||||
Balance at end of year | $ | 31 | $ | 30 | $ | 42 | $ | 41 | $ | 45 |
December 31, | 2021 | 2020 | |||||||||
Allowance for credit losses as a percentage of total loans | 1.26 | % | 1.90 | % | |||||||
Allowance for credit losses as a percentage of total loans excluding PPP loans | 1.27 | 2.03 | |||||||||
Allowance for credit losses as a multiple of total nonaccrual loans | 2.3x | 2.9x | |||||||||
Allowance for credit losses as a multiple of total nonperforming loans | 2.3x | 2.8x | |||||||||
2021 | 2020 | 2019 | ||||||||||||||||||||||||
(dollar amounts in millions) | Net Loan Charge-Offs (Recoveries) | Net Charge-Offs (Recoveries) Ratio (a) | Net Loan Charge-Offs (Recoveries) | Net Charge-Offs (Recoveries) Ratio (a) | Net Loan Charge-Offs (Recoveries) | Net Charge-Offs (Recoveries) Ratio (a) | ||||||||||||||||||||
Commercial | $ | (15) | (0.05) | % | $ | 198 | 0.62 | % | $ | 108 | 0.34 | % | ||||||||||||||
Commercial mortgage | 2 | 0.02 | (3) | (0.03) | (1) | (0.01) | ||||||||||||||||||||
International | 4 | 0.38 | — | — | — | — | ||||||||||||||||||||
Residential mortgage | (2) | (0.11) | — | — | — | — | ||||||||||||||||||||
Consumer | 1 | 0.05 | 1 | 0.05 | — | — | ||||||||||||||||||||
Total loans | $ | (10) | (0.02) | % | $ | 196 | 0.38 | % | $ | 107 | 0.21 | % |
2021 | 2020 | |||||||||||||||||||
(dollar amounts in millions) | Allocated Allowance | Allowance Ratio (a) | % (b) | Allocated Allowance | % (b) | |||||||||||||||
December 31, | ||||||||||||||||||||
Allowance for loan losses | ||||||||||||||||||||
Business loans | ||||||||||||||||||||
Commercial (c) | $ | 293 | 1.00 | % | 60 | % | $ | 508 | 62 | % | ||||||||||
Real estate construction | 28 | 0.94 | 6 | 62 | 8 | |||||||||||||||
Commercial mortgage | 192 | 1.71 | 23 | 299 | 19 | |||||||||||||||
Lease financing | 6 | 0.97 | 1 | 10 | 1 | |||||||||||||||
International | 12 | 0.96 | 2 | 16 | 2 | |||||||||||||||
Total business loans | 531 | 1.17 | 92 | 895 | 92 | |||||||||||||||
Retail loans | ||||||||||||||||||||
Residential mortgage | 24 | 1.36 | 4 | 16 | 4 | |||||||||||||||
Consumer | 33 | 1.56 | 4 | 37 | 4 | |||||||||||||||
Total retail loans | 57 | 1.47 | 8 | 53 | 8 | |||||||||||||||
Total loans | 588 | 1.19 | % | 100 | % | $ | 948 | 100 | % | |||||||||||
Allowance for credit losses on lending-related commitments | ||||||||||||||||||||
Business commitments | 24 | 35 | ||||||||||||||||||
Retail commitments | 6 | 9 | ||||||||||||||||||
Total commitments | 30 | 44 | ||||||||||||||||||
Allowance for credit losses | $ | 618 | 1.26 | % | $ | 992 |
(dollar amounts in millions) | |||||||||||||||||||
December 31 | 2019 | 2018 | 2017 | 2016 | 2015 | ||||||||||||||
Nonaccrual loans: | |||||||||||||||||||
Business loans: | |||||||||||||||||||
Commercial | $ | 148 | $ | 141 | $ | 309 | $ | 445 | $ | 238 | |||||||||
Real estate construction | — | — | — | — | 1 | ||||||||||||||
Commercial mortgage | 14 | 20 | 31 | 46 | 60 | ||||||||||||||
Lease financing | — | 2 | 4 | 6 | 6 | ||||||||||||||
International | — | 3 | 6 | 14 | 8 | ||||||||||||||
Total nonaccrual business loans | 162 | 166 | 350 | 511 | 313 | ||||||||||||||
Retail loans: | |||||||||||||||||||
Residential mortgage | 20 | 36 | 31 | 39 | 27 | ||||||||||||||
Consumer: | |||||||||||||||||||
Home equity | 17 | 19 | 21 | 28 | 27 | ||||||||||||||
Other consumer | — | — | — | 4 | — | ||||||||||||||
Total consumer | 17 | 19 | 21 | 32 | 27 | ||||||||||||||
Total nonaccrual retail loans | 37 | 55 | 52 | 71 | 54 | ||||||||||||||
Total nonaccrual loans | 199 | 221 | 402 | 582 | 367 | ||||||||||||||
Reduced-rate loans | 5 | 8 | 8 | 8 | 12 | ||||||||||||||
Total nonperforming loans | 204 | 229 | 410 | 590 | 379 | ||||||||||||||
Foreclosed property | 11 | 1 | 5 | 17 | 12 | ||||||||||||||
Total nonperforming assets | $ | 215 | $ | 230 | $ | 415 | $ | 607 | $ | 391 | |||||||||
Gross interest income that would have been recorded had the nonaccrual and reduced-rate loans performed in accordance with original terms | $ | 20 | $ | 19 | $ | 31 | $ | 38 | $ | 27 | |||||||||
Interest income recognized | 5 | 4 | 7 | 6 | 5 | ||||||||||||||
Nonperforming loans as a percentage of total loans | 0.40 | % | 0.46 | % | 0.83 | % | 1.20 | % | 0.77 | % | |||||||||
Loans past due 90 days or more and still accruing | $ | 26 | $ | 16 | $ | 35 | $ | 19 | $ | 17 |
(dollar amounts in millions) | |||||||||||
December 31 | 2021 | 2020 | |||||||||
Nonaccrual loans | $ | 264 | $ | 347 | |||||||
Reduced-rate loans | 4 | 3 | |||||||||
Total nonperforming loans | 268 | 350 | |||||||||
Foreclosed property | 1 | 8 | |||||||||
Other repossessed assets | — | 1 | |||||||||
Total nonperforming assets | $ | 269 | $ | 359 | |||||||
Nonaccrual loans as a percentage of total loans | 0.54 | % | 0.66 | % | |||||||
Nonperforming loans as a percentage of total loans | 0.54 | 0.67 | |||||||||
Nonperforming assets as a percentage of total loans and foreclosed property | 0.55 | 0.69 | |||||||||
Loans past due 90 days or more and still accruing | $ | 27 | $ | 45 | |||||||
(in millions) | |||||||
December 31 | 2019 | 2018 | |||||
Nonperforming TDRs: | |||||||
Nonaccrual TDRs | $ | 36 | $ | 73 | |||
Reduced-rate TDRs | 5 | 8 | |||||
Total nonperforming TDRs | 41 | 81 | |||||
Performing TDRs (a) | 69 | 101 | |||||
Total TDRs | $ | 110 | $ | 182 |
(in millions) | |||||||||||
Years Ended December 31 | 2021 | 2020 | |||||||||
Balance at beginning of period | $ | 347 | $ | 199 | |||||||
Loans transferred to nonaccrual (a) | 193 | 482 | |||||||||
Nonaccrual loan gross charge-offs | (70) | (238) | |||||||||
Loans transferred to accrual status (a) | (25) | (3) | |||||||||
Nonaccrual loans sold | (34) | (14) | |||||||||
Payments/other (b) | (147) | (79) | |||||||||
Balance at end of period | $ | 264 | $ | 347 | |||||||
(in millions) | |||||||
Years Ended December 31 | 2019 | 2018 | |||||
Balance at beginning of period | $ | 221 | $ | 402 | |||
Loans transferred to nonaccrual (a) | 230 | 197 | |||||
Nonaccrual loan gross charge-offs | (152 | ) | (103 | ) | |||
Loans transferred to accrual status (a) | (7 | ) | (6 | ) | |||
Nonaccrual loans sold | (15 | ) | (39 | ) | |||
Payments/other (b) | (78 | ) | (230 | ) | |||
Balance at end of period | $ | 199 | $ | 221 |
2019 | 2018 | 2021 | 2020 | |||||||||||||||||||||||||||||||||
(dollar amounts in millions) | Number of Borrowers | Balance | Number of Borrowers | Balance | (dollar amounts in millions) | Number of Borrowers | Balance | Number of Borrowers | Balance | |||||||||||||||||||||||||||
Under $2 million | 708 | $ | 74 | 799 | $ | 78 | Under $2 million | 580 | $ | 63 | 682 | $ | 83 | |||||||||||||||||||||||
$2 million - $5 million | 8 | 22 | 14 | 41 | $2 million - $5 million | 14 | 46 | 20 | 61 | |||||||||||||||||||||||||||
$5 million - $10 million | 6 | 49 | 10 | 69 | $5 million - $10 million | 7 | 54 | 9 | 73 | |||||||||||||||||||||||||||
$10 million - $25 million | 4 | 54 | 2 | 33 | $10 million - $25 million | 5 | 69 | 7 | 94 | |||||||||||||||||||||||||||
Greater than $25 million | Greater than $25 million | 1 | 32 | 1 | 36 | |||||||||||||||||||||||||||||||
Total | 726 | $ | 199 | 825 | $ | 221 | Total | 607 | $ | 264 | 719 | $ | 347 |
December 31, 2021 | Year Ended December 31, 2021 | ||||||||||||||||||||||||||||||||||
(dollar amounts in millions) | Nonaccrual Loans | Loans Transferred to Nonaccrual (a) | Net Loan Charge-Offs (Recoveries) | ||||||||||||||||||||||||||||||||
Industry Category | |||||||||||||||||||||||||||||||||||
Transportation & Warehousing | $ | 44 | 17 | % | $ | 24 | 12 | % | $ | 10 | (99) | % | |||||||||||||||||||||||
Manufacturing | 37 | 14 | 40 | 21 | 17 | (172) | |||||||||||||||||||||||||||||
Residential Mortgage | 36 | 14 | 18 | 9 | (2) | (2) | |||||||||||||||||||||||||||||
Real Estate & Home Builders | 30 | 12 | 24 | 12 | 3 | (31) | |||||||||||||||||||||||||||||
Wholesale Trade | 26 | 10 | — | — | 1 | (5) | |||||||||||||||||||||||||||||
Services | 14 | 5 | 2 | 1 | (2) | 18 | |||||||||||||||||||||||||||||
Mining, Quarrying and Oil & Gas Extraction | 14 | 5 | 28 | 15 | (48) | 482 | |||||||||||||||||||||||||||||
Health Care & Social Assistance | 12 | 4 | 20 | 10 | 8 | (74) | |||||||||||||||||||||||||||||
Information & Communication | 12 | 4 | — | — | — | — | |||||||||||||||||||||||||||||
Arts, Entertainment & Recreation | 9 | 3 | — | — | 1 | (5) | |||||||||||||||||||||||||||||
Retail Trade | 3 | 1 | — | — | 1 | (11) | |||||||||||||||||||||||||||||
Contractors | 2 | 1 | — | — | (1) | 10 | |||||||||||||||||||||||||||||
Utilities | — | — | 30 | 16 | 5 | (49) | |||||||||||||||||||||||||||||
Other (b) | 25 | 10 | 7 | 4 | (3) | 38 | |||||||||||||||||||||||||||||
Total | $ | 264 | 100 | % | $ | 193 | 100 | % | $ | (10) | 100 | % |
December 31, 2019 | Year Ended December 31, 2019 | |||||||||||||||||||
(dollar amounts in millions) | Nonaccrual Loans | Loans Transferred to Nonaccrual (a) | Net Loan Charge-Offs (Recoveries) | |||||||||||||||||
Industry Category | ||||||||||||||||||||
Mining, Quarrying and Oil & Gas Extraction | $ | 43 | 22 | % | $ | 128 | 56 | % | $ | 86 | 81 | % | ||||||||
Wholesale Trade | 38 | 19 | 42 | 18 | 3 | 3 | ||||||||||||||
Manufacturing | 28 | 14 | 16 | 7 | 1 | 1 | ||||||||||||||
Residential Mortgage | 20 | 10 | 3 | 1 | — | — | ||||||||||||||
Information & Communication | 13 | 6 | 23 | 10 | 5 | 5 | ||||||||||||||
Services | 11 | 5 | 5 | 2 | 7 | 6 | ||||||||||||||
Health Care & Social Assistance | 6 | 3 | — | — | 9 | 8 | ||||||||||||||
Real Estate & Home Builders | 5 | 3 | — | — | (2 | ) | (2 | ) | ||||||||||||
Contractors | 4 | 2 | 3 | 1 | (3 | ) | (3 | ) | ||||||||||||
Other (b) | 31 | 16 | 10 | 5 | 1 | 1 | ||||||||||||||
Total | $ | 199 | 100 | % | $ | 230 | 100 | % | $ | 107 | 100 | % |
(dollar amounts in millions) | |||||||||||
December 31 | 2021 | 2020 | |||||||||
Total criticized loans | $ | 1,573 | $ | 2,947 | |||||||
As a percentage of total loans | 3.2 | % | 5.6 | % |
(dollar amounts in millions) | ||||||||
December 31 | 2019 | 2018 | ||||||
Total criticized loans | $ | 2,120 | $ | 1,548 | ||||
As a percentage of total loans | 4.2 | % | 3.1 | % |
2019 | 2018 | ||||||||||||
(in millions) | Loans Outstanding | Percent of Total Loans | Loans Outstanding | Percent of Total Loans | |||||||||
December 31 | |||||||||||||
Production: | |||||||||||||
Domestic | $ | 963 | $ | 946 | |||||||||
Foreign | 286 | 385 | |||||||||||
Total production | 1,249 | 2.5 | % | 1,331 | 2.7 | % | |||||||
Dealer: | |||||||||||||
Floor plan | 3,967 | 4,678 | |||||||||||
Other | 3,447 | 3,419 | |||||||||||
Total dealer | 7,414 | 14.7 | % | 8,097 | 16.1 | % | |||||||
Total automotive | $ | 8,663 | 17.2 | % | $ | 9,428 | 18.8 | % |
December 31, 2021 | December 31, 2020 | ||||||||||||||||||||||||||||||||||
(in millions) | Commercial Real Estate business line (a) | Other (b) | Total | Commercial Real Estate business line (a) | Other (b) | Total | |||||||||||||||||||||||||||||
Real estate construction loans | $ | 2,391 | $ | 557 | $ | 2,948 | $ | 3,657 | $ | 425 | $ | 4,082 | |||||||||||||||||||||||
Commercial mortgage loans | 3,338 | 7,917 | 11,255 | 2,273 | 7,639 | 9,912 | |||||||||||||||||||||||||||||
Total commercial real estate | $ | 5,729 | $ | 8,474 | $ | 14,203 | $ | 5,930 | $ | 8,064 | $ | 13,994 |
December 31, 2019 | December 31, 2018 | ||||||||||||||||||||||
(in millions) | Commercial Real Estate business line (a) | Other (b) | Total | Commercial Real Estate business line (a) | Other (b) | Total | |||||||||||||||||
Real estate construction loans | $ | 3,044 | $ | 411 | $ | 3,455 | $ | 2,687 | $ | 390 | $ | 3,077 | |||||||||||
Commercial mortgage loans | 2,176 | 7,383 | 9,559 | 1,743 | 7,363 | 9,106 | |||||||||||||||||
Total commercial real estate | $ | 5,220 | $ | 7,794 | $ | 13,014 | $ | 4,430 | $ | 7,753 | $ | 12,183 |
December 31, 2021 | December 31, 2020 | ||||||||||||||||||||||
(dollar amounts in millions) | Loans Outstanding | Percent of Total Loans | Loans Outstanding | Percent of Total Loans | |||||||||||||||||||
Dealer: | |||||||||||||||||||||||
Floor plan | $ | 681 | $ | 2,344 | |||||||||||||||||||
Other | 3,481 | 3,348 | |||||||||||||||||||||
Total dealer | $ | 4,162 | 8.4 | % | $ | 5,692 | 10.9 | % |
December 31, 2021 | December 31, 2020 | ||||||||||||||||||||||
Loans Outstanding (a) | Percent of Total Loans | Loans Outstanding (a) | Percent of Total Loans | ||||||||||||||||||||
(dollar amounts in millions) | |||||||||||||||||||||||
Production: | |||||||||||||||||||||||
Domestic | $ | 789 | $ | 791 | |||||||||||||||||||
Foreign | 323 | 302 | |||||||||||||||||||||
Total production | $ | 1,112 | 2.3 | % | $ | 1,093 | 2.1 | % |
December 31, 2021 | December 31, 2020 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
2019 | 2018 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
(dollar amounts in millions) December 31 | Residential Mortgage Loans | % of Total | Home Equity Loans | % of Total | Residential Mortgage Loans | % of Total | Home Equity Loans | % of Total | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
(dollar amounts in millions) | (dollar amounts in millions) | Residential Mortgage Loans | Percent of Total | Home Equity Loans | % of Total | Residential Mortgage Loans | Percent of Total | Home Equity Loans | Percent of Total | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Geographic market: | Geographic market: | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Michigan | $ | 412 | 22 | % | $ | 603 | 35 | % | $ | 406 | 21 | % | $ | 650 | 37 | % | Michigan | $ | 434 | 24 | % | $ | 484 | 32 | % | $ | 428 | 23 | % | $ | 540 | 34 | % | |||||||||||||||||||||||||||||||||||||||||
California | 932 | 51 | 699 | 41 | 993 | 50 | 710 | 40 | California | 870 | 49 | 660 | 43 | 927 | 51 | 655 | 41 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Texas | 275 | 15 | 346 | 20 | 310 | 16 | 346 | 20 | Texas | 245 | 14 | 329 | 21 | 254 | 14 | 328 | 21 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Other Markets | 226 | 12 | 63 | 4 | 261 | 13 | 59 | 3 | Other Markets | 222 | 13 | 60 | 4 | 221 | 12 | 65 | 4 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Total | $ | 1,845 | 100 | % | $ | 1,711 | 100 | % | $ | 1,970 | 100 | % | $ | 1,765 | 100 | % | Total | $ | 1,771 | 100 | % | $ | 1,533 | 100 | % | $ | 1,830 | 100 | % | $ | 1,588 | 100 | % |
(dollar amounts in millions) | 2021 | 2020 | |||||||||||||||||||||||||||
December 31 | Outstandings | Nonaccrual | Criticized (a) | Outstandings | Nonaccrual | Criticized (a) | |||||||||||||||||||||||
Exploration and production (E&P) | $ | 971 | 80 | % | $ | 14 | $ | 46 | $ | 1,295 | 81 | % | $ | 114 | $ | 527 | |||||||||||||
Midstream | 212 | 18 | — | — | 261 | 16 | — | 56 | |||||||||||||||||||||
Services | 21 | 2 | — | 12 | 44 | 3 | — | 13 | |||||||||||||||||||||
Total Energy business line | $ | 1,204 | 100 | % | $ | 14 | $ | 58 | $ | 1,600 | 100 | % | $ | 114 | $ | 596 | |||||||||||||
As a percentage of total Energy loans | 1 | % | 5 | % | 7 | % | 37 | % |
(dollar amounts in millions) | 2019 | 2018 | |||||||||||||||||||||
December 31 | Outstandings | Nonaccrual | Criticized (a) | Outstandings | Nonaccrual | Criticized (a) | |||||||||||||||||
Exploration and production (E&P) | $ | 1,741 | 78 | % | $ | 43 | $ | 289 | $ | 1,771 | 82 | % | $ | 46 | $ | 143 | |||||||
Midstream | 432 | 20 | — | 63 | 298 | 14 | — | 43 | |||||||||||||||
Services | 48 | 2 | — | 14 | 94 | 4 | 2 | 19 | |||||||||||||||
Total Energy business line | $ | 2,221 | 100 | % | $ | 43 | $ | 366 | $ | 2,163 | 100 | % | $ | 48 | $ | 205 | |||||||
As a percentage of total Energy loans | 2 | % | 16 | % | 2 | % | 9 | % |
(in millions) December 31 | 2021 | 2020 | |||||||||
Outstandings | $ | 2,927 | $ | 2,441 | |||||||
Criticized | 299 | 418 | |||||||||
Net loan charge-offs recorded during the years ended December 31, | 18 | 25 |
December 31, 2021 | |||||||||||||||||||||||
Sector based on NAICS category (dollar amounts in millions) | Loans (a) | Percent of Total Loans | Percent Criticized (b) | Percent Nonaccrual (c) | |||||||||||||||||||
Retail Commercial Real Estate (d) | $ | 790 | 1.6 | % | 1.3 | % | — | % | |||||||||||||||
Hotels | 651 | 1.4 | 3.7 | 1.5 | |||||||||||||||||||
Retail Goods and Services | 290 | 0.6 | 6.6 | — | |||||||||||||||||||
Arts/Recreation | 206 | 0.4 | 21.5 | 5.0 | |||||||||||||||||||
All other impacted sectors (e) | 1,106 | 2.2 | 7.4 | 1.7 | |||||||||||||||||||
Total | $ | 3,043 | 6.2 | % | 5.9 | % | 1.3 | % |
Estimated Annual Change | |||||||||||||||||||||||||||||||||||||||
Estimated Annual Change | |||||||||||||||||||||||||||||||||||||||
(in millions) | 2019 | 2018 | |||||||||||||||||||||||||||||||||||||
(dollar amounts in millions) | (dollar amounts in millions) | 2021 | 2020 | ||||||||||||||||||||||||||||||||||||
December 31 | Amount | % | Amount | % | December 31 | Amount | % | Amount | % | ||||||||||||||||||||||||||||||
Change in Interest Rates: | Change in Interest Rates: | Change in Interest Rates: | |||||||||||||||||||||||||||||||||||||
Rising 100 basis points | $ | 90 | 4 | % | $ | 82 | 3 | % | Rising 100 basis points | $ | 205 | 12 | % | Rising 100 basis points | $ | 161 | 9 | % | |||||||||||||||||||||
Declining 100 basis points | (135 | ) | (6 | ) | (155 | ) | (6 | ) | |||||||||||||||||||||||||||||||
Declining to zero percent | Declining to zero percent | (46) | (3) | Declining to zero percent | (34) | (2) |
(in millions) | 2019 | 2018 | |||||||||||||||||||||||||||||||||||||
(dollar amounts in millions) | (dollar amounts in millions) | 2021 | 2020 | ||||||||||||||||||||||||||||||||||||
December 31 | Amount | % | Amount | % | December 31 | Amount | % | Amount | % | ||||||||||||||||||||||||||||||
Change in Interest Rates: | Change in Interest Rates: | Change in Interest Rates: | |||||||||||||||||||||||||||||||||||||
Rising 100 basis points | $ | 716 | 7 | % | $ | 434 | 3 | % | Rising 100 basis points | $ | 1,353 | 9 | % | Rising 100 basis points | $ | 1,793 | 18 | % | |||||||||||||||||||||
Declining 100 basis points | (1,178 | ) | (12 | ) | (1,023 | ) | (8 | ) | |||||||||||||||||||||||||||||||
Declining to zero percent | Declining to zero percent | (446) | (3) | Declining to zero percent | (551) | (6) |
Loans Maturing | |||||||||||||||
(in millions) December 31, 2019 | Within One Year (a) | After One But Within Five Years | After Five Years | Total | |||||||||||
Commercial loans | $ | 15,068 | $ | 15,423 | $ | 982 | $ | 31,473 | |||||||
Real estate construction loans | 1,321 | 1,978 | 156 | 3,455 | |||||||||||
Commercial mortgage loans | 1,856 | 4,922 | 2,781 | 9,559 | |||||||||||
International loans | 343 | 583 | 83 | 1,009 | |||||||||||
Total | $ | 18,588 | $ | 22,906 | $ | 4,002 | $ | 45,496 | |||||||
Sensitivity of loans to changes in interest rates: | |||||||||||||||
Predetermined (fixed) interest rates | $ | 595 | $ | 2,147 | $ | 588 | $ | 3,330 | |||||||
Floating interest rates | 17,993 | 20,759 | 3,414 | 42,166 | |||||||||||
Total | $ | 18,588 | $ | 22,906 | $ | 4,002 | $ | 45,496 |
Loans Maturing | |||||||||||||||||||||||||||||
(in millions) December 31, 2021 | Within One Year (a) | After One But Within Five Years | After Five But Within Fifteen Years | After Fifteen Years | Total | ||||||||||||||||||||||||
Commercial loans | $ | 13,008 | $ | 15,084 | $1,124 | $ | 150 | $ | 29,366 | ||||||||||||||||||||
Real estate construction loans | 913 | 1,820 | 202 | 13 | 2,948 | ||||||||||||||||||||||||
Commercial mortgage loans | 2,493 | 5,395 | 3,325 | 42 | 11,255 | ||||||||||||||||||||||||
Lease financing | 50 | 540 | 50 | — | 640 | ||||||||||||||||||||||||
International loans | 593 | 550 | 65 | — | 1,208 | ||||||||||||||||||||||||
Residential mortgage loans | 4 | 2 | 232 | 1,533 | 1,771 | ||||||||||||||||||||||||
Consumer loans | 529 | 152 | 168 | 1,248 | 2,097 | ||||||||||||||||||||||||
Total | $ | 17,590 | $ | 23,543 | $ | 5,166 | $ | 2,986 | $ | 49,285 |
Loans Maturing After One Year | |||||||||||||||||
(in millions) December 31, 2021 | Predetermined (Fixed) Interest Rate | Floating Interest Rate | Total | ||||||||||||||
Commercial loans | $ | 697 | $ | 15,661 | $ | 16,358 | |||||||||||
Real estate construction loans | 22 | 2,013 | 2,035 | ||||||||||||||
Commercial mortgage loans | 1,182 | 7,580 | 8,762 | ||||||||||||||
Lease financing | 459 | 131 | 590 | ||||||||||||||
International loans | 41 | 574 | 615 | ||||||||||||||
Residential mortgage loans | 398 | 1,369 | 1,767 | ||||||||||||||
Consumer loans | 47 | 1,521 | 1,568 | ||||||||||||||
Total | $ | 2,846 | $ | 28,849 | $ | 31,695 |
(in millions) Risk Management Notional Activity | Interest Rate Contracts | Foreign Exchange Contracts | Totals | (in millions) Risk Management Notional Activity | Interest Rate Contracts | Foreign Exchange Contracts | Totals | |||||||||||||||||||||
Balance at January 1, 2018 | $ | 1,775 | $ | 650 | $ | 2,425 | ||||||||||||||||||||||
Balance at January 1, 2020 | Balance at January 1, 2020 | $ | 7,875 | $ | 330 | $ | 8,205 | |||||||||||||||||||||
Additions | 850 | 10,095 | 10,945 | Additions | 1,000 | 7,141 | 8,141 | |||||||||||||||||||||
Maturities/amortizations | — | (10,443 | ) | (10,443 | ) | Maturities/amortizations | (675) | (7,029) | (7,704) | |||||||||||||||||||
Balance at December 31, 2018 | $ | 2,625 | $ | 302 | $ | 2,927 | ||||||||||||||||||||||
Balance at December 31, 2020 | Balance at December 31, 2020 | $ | 8,200 | $ | 442 | $ | 8,642 | |||||||||||||||||||||
Additions | 5,600 | 7,922 | 13,522 | 3,000 | 8,057 | 11,057 | ||||||||||||||||||||||
Maturities/amortizations | (350 | ) | (7,894 | ) | (8,244 | ) | Maturities/amortizations | (500) | (8,047) | (8,547) | ||||||||||||||||||
Balance at December 31, 2019 | $ | 7,875 | $ | 330 | $ | 8,205 | ||||||||||||||||||||||
Balance at December 31, 2021 | Balance at December 31, 2021 | $ | 10,700 | $ | 452 | $ | 11,152 |
(in millions) Customer-Initiated and Other Notional Activity | Interest Rate Contracts | Energy Derivative Contracts | Foreign Exchange Contracts | Totals | (in millions) Customer-Initiated and Other Notional Activity | Interest Rate Contracts | Energy Derivative Contracts | Foreign Exchange Contracts | Totals | |||||||||||||||||||||||||||||
Balance at January 1, 2018 | $ | 14,389 | $ | 1,847 | $ | 1,884 | $ | 18,120 | ||||||||||||||||||||||||||||||
Balance at January 1, 2020 | Balance at January 1, 2020 | $ | 17,827 | $ | 3,089 | $ | 1,013 | $ | 21,929 | |||||||||||||||||||||||||||||
Additions | 4,245 | 2,287 | 50,220 | 56,752 | Additions | 7,660 | 2,607 | 37,743 | 48,010 | |||||||||||||||||||||||||||||
Maturities/amortizations | (2,195 | ) | (1,481 | ) | (50,639 | ) | (54,315 | ) | Maturities/amortizations | (2,465) | (2,484) | (36,855) | (41,804) | |||||||||||||||||||||||||
Terminations | (1,554 | ) | (3 | ) | (370 | ) | (1,927 | ) | Terminations | (1,501) | (91) | — | (1,592) | |||||||||||||||||||||||||
Balance at December 31, 2018 | $ | 14,885 | $ | 2,650 | $ | 1,095 | $ | 18,630 | ||||||||||||||||||||||||||||||
Balance at December 31, 2020 | Balance at December 31, 2020 | $ | 21,521 | $ | 3,121 | $ | 1,901 | $ | 26,543 | |||||||||||||||||||||||||||||
Additions | 6,411 | 2,719 | 38,805 | 47,935 | Additions | 5,370 | 7,992 | 42,173 | 55,535 | |||||||||||||||||||||||||||||
Maturities/amortizations | (2,289 | ) | (2,198 | ) | (38,887 | ) | (43,374 | ) | Maturities/amortizations | (2,713) | (2,790) | (42,358) | (47,861) | |||||||||||||||||||||||||
Terminations | (1,180 | ) | (82 | ) | — | (1,262 | ) | Terminations | (3,178) | (553) | — | (3,731) | ||||||||||||||||||||||||||
Balance at December 31, 2019 | $ | 17,827 | $ | 3,089 | $ | 1,013 | $ | 21,929 | ||||||||||||||||||||||||||||||
Balance at December 31, 2021 | Balance at December 31, 2021 | $ | 21,000 | $ | 7,770 | $ | 1,716 | $ | 30,486 |
Comerica Incorporated | Comerica Bank | ||||||||||||||||||||||
December 31, 2021 | Rating | Outlook | Rating | Outlook | |||||||||||||||||||
Standard and Poor’s | BBB+ | Stable | A- | Stable | |||||||||||||||||||
Moody’s Investors Service | A3 | Stable | A3 | Stable | |||||||||||||||||||
Fitch Ratings | A- | Stable | A- | Stable | |||||||||||||||||||
Minimum Payments Due by Period | |||||||||||||||||||||||||||||
(in millions) December 31, 2021 | Total | Less than 1 Year | 1-3 Years | 4-5 Years | More than 5 Years | ||||||||||||||||||||||||
Deposits without a stated maturity (a) | $ | 80,316 | $ | 80,316 | |||||||||||||||||||||||||
Certificates of deposit and other deposits with a stated maturity (a) | 2,023 | 1,837 | $ | 135 | $ | 38 | $ | 13 | |||||||||||||||||||||
Medium- and long-term debt (a) | 2,650 | — | 1,350 | 750 | 550 | ||||||||||||||||||||||||
Operating leases | 412 | 60 | 118 | 90 | 144 | ||||||||||||||||||||||||
Total contractual obligations | $ | 85,401 | $ | 82,213 | $ | 1,603 | $ | 878 | $ | 707 | |||||||||||||||||||
Medium- and long-term debt (parent company only) (a) (b) | $ | 1,650 | $ | — | $ | 850 | $ | 250 | $ | 550 |
Minimum Payments Due by Period | |||||||||||||||||||
(in millions) December 31, 2019 | Total | Less than 1 Year | 1-3 Years | 4-5 Years | More than 5 Years | ||||||||||||||
Deposits without a stated maturity (a) | $ | 54,093 | $ | 54,093 | |||||||||||||||
Certificates of deposit and other deposits with a stated maturity (a) | 3,202 | 2,970 | 180 | 26 | 26 | ||||||||||||||
Short-term borrowings (a) | 71 | 71 | — | — | — | ||||||||||||||
Medium- and long-term debt (a) | 7,125 | 675 | — | 1,350 | 5,100 | ||||||||||||||
Operating leases | 438 | 60 | 115 | 88 | 175 | ||||||||||||||
Commitments to fund low income housing partnerships | 160 | 98 | 52 | 5 | 5 | ||||||||||||||
Other long-term obligations (b) | 356 | 101 | 92 | 34 | 129 | ||||||||||||||
Total contractual obligations | $ | 65,445 | $ | 58,068 | $ | 439 | $ | 1,503 | $ | 5,435 | |||||||||
Medium- and long-term debt (parent company only) (a) (c) | $ | 1,650 | $ | — | $ | — | $ | 850 | $ | 800 |
Expected Expiration Dates by Period | ||||||||||||||||||||||||||||||||||||||||||||||||
(in millions) December 31, 2021 | (in millions) December 31, 2021 | Total | Less than 1 Year | 1-3 Years | 4-5 Years | More than 5 Years | ||||||||||||||||||||||||||||||||||||||||||
Expected Expiration Dates by Period | ||||||||||||||||||||||||||||||||||||||||||||||||
(in millions) December 31, 2019 | Total | Less than 1 Year | 1-3 Years | 4-5 Years | More than 5 Years | |||||||||||||||||||||||||||||||||||||||||||
Unused commitments to extend credit | $ | 26,861 | $ | 10,863 | $ | 8,648 | $ | 4,507 | $ | 2,843 | Unused commitments to extend credit | $ | 29,464 | $ | 7,887 | $ | 11,633 | $ | 6,594 | $ | 3,350 | |||||||||||||||||||||||||||
Standby letters of credit and financial guarantees | 3,320 | 2,837 | 319 | 103 | 61 | Standby letters of credit and financial guarantees | 3,378 | 3,008 | 168 | 128 | 74 | |||||||||||||||||||||||||||||||||||||
Commercial letters of credit | 18 | 17 | — | 1 | — | Commercial letters of credit | 44 | 38 | 6 | — | — | |||||||||||||||||||||||||||||||||||||
Total commercial commitments | $ | 30,199 | $ | 13,717 | $ | 8,967 | $ | 4,611 | $ | 2,904 | Total commercial commitments | $ | 32,886 | $ | 10,933 | $ | 11,807 | $ | 6,722 | $ | 3,424 |
Economic Variable | More Severe Forecast | ||||
Real GDP growth | Contracts through third quarter 2022, followed by a gradual improvement to a growth rate above 4 percent by the end of the forecast period. | ||||
Unemployment rate | Current levels increase to nearly 9 percent by first quarter 2023, gradually decreasing to 7 percent by the end of the forecast period. | ||||
Corporate BBB bond to 10-year Treasury bond spreads | Spreads widen to above 3 percent in the near term, gradually normalizing to below 2 percent by second quarter 2023. | ||||
Oil Prices | Decline below $33 per barrel part-way through the forecast period before improving to $48 per barrel by fourth quarter 2023. |
2022 | 2021 | |||||||
Discount rate | 2.96 | % | 2.71 | % | ||||
Long-term rate of return on plan assets | 6.50 | % | 6.50 | % | ||||
Mortality table: | ||||||||
Base table (a) | Pri-2012 | Pri-2012 | ||||||
Mortality improvement scale (a) | MP-2020 | MP-2020 |
(dollar amounts in millions) | |||||||||||||||||||
December 31 | 2019 | 2018 | 2017 | 2016 | 2015 | ||||||||||||||
Tangible Common Equity Ratio: | |||||||||||||||||||
Common shareholders' equity | $ | 7,327 | $ | 7,507 | $ | 7,963 | $ | 7,796 | $ | 7,560 | |||||||||
Less: | |||||||||||||||||||
Goodwill | 635 | 635 | 635 | 635 | 635 | ||||||||||||||
Other intangible assets | 4 | 6 | 8 | 10 | 14 | ||||||||||||||
Tangible common equity | $ | 6,688 | $ | 6,866 | $ | 7,320 | $ | 7,151 | $ | 6,911 | |||||||||
Total assets | $ | 73,402 | $ | 70,818 | $ | 71,567 | $ | 72,978 | $ | 71,877 | |||||||||
Less: | |||||||||||||||||||
Goodwill | 635 | 635 | 635 | 635 | 635 | ||||||||||||||
Other intangible assets | 4 | 6 | 8 | 10 | 14 | ||||||||||||||
Tangible assets | $ | 72,763 | $ | 70,177 | $ | 70,924 | $ | 72,333 | $ | 71,228 | |||||||||
Common equity ratio | 9.98 | % | 10.60 | % | 11.13 | % | 10.68 | % | 10.52 | % | |||||||||
Tangible common equity ratio | 9.19 | 9.78 | 10.32 | 9.89 | 9.70 | ||||||||||||||
Tangible Common Equity per Share of Common Stock: | |||||||||||||||||||
Common shareholders' equity | $ | 7,327 | $ | 7,507 | $ | 7,963 | $ | 7,796 | $ | 7,560 | |||||||||
Tangible common equity | 6,688 | 6,866 | 7,320 | 7,151 | 6,911 | ||||||||||||||
Shares of common stock outstanding (in millions) | 142 | 160 | 173 | 175 | 176 | ||||||||||||||
Common shareholders' equity per share of common stock | $ | 51.57 | $ | 46.89 | $ | 46.07 | $ | 44.47 | $ | 43.03 | |||||||||
Tangible common equity per share of common stock | 47.07 | 42.89 | 42.34 | 40.79 | 39.33 |
(dollar amounts in millions) | |||||||||||
December 31 | 2021 | 2020 | |||||||||
Common Equity Tier 1 Capital (a): | |||||||||||
Tier 1 capital | $ | 7,458 | $ | 7,313 | |||||||
Less: | |||||||||||
Fixed-rate reset non-cumulative perpetual preferred stock | 394 | 394 | |||||||||
Common equity tier 1 capital | $ | 7,064 | $ | 6,919 | |||||||
Risk-weighted assets | $ | 69,708 | $ | 66,931 | |||||||
Tier 1 capital ratio | 10.70 | % | 10.93 | % | |||||||
Common equity tier 1 capital ratio | 10.13 | 10.34 | |||||||||
Tangible Common Equity Ratio: | |||||||||||
Total shareholders' equity | $ | 7,897 | $ | 8,050 | |||||||
Less: | |||||||||||
Fixed-rate reset non-cumulative perpetual preferred stock | 394 | 394 | |||||||||
Common shareholders' equity | $ | 7,503 | $ | 7,656 | |||||||
Less: | |||||||||||
Goodwill | 635 | 635 | |||||||||
Other intangible assets (b) | 11 | 1 | |||||||||
Tangible common equity | $ | 6,857 | $ | 7,020 | |||||||
Total assets | $ | 94,616 | $ | 88,129 | |||||||
Less: | |||||||||||
Goodwill | 635 | 635 | |||||||||
Other intangible assets (b) | 11 | 1 | |||||||||
Tangible assets | $ | 93,970 | $ | 87,493 | |||||||
Common equity ratio | 7.93 | % | 8.69 | % | |||||||
Tangible common equity ratio | 7.30 | 8.02 | % | ||||||||
Tangible Common Equity per Share of Common Stock: | |||||||||||
Common shareholders' equity | $ | 7,503 | $ | 7,656 | |||||||
Tangible common equity | 6,857 | 7,020 | |||||||||
Shares of common stock outstanding (in millions) | 131 | 139 | |||||||||
Common shareholders' equity per share of common stock | $ | 57.41 | $ | 55.01 | |||||||
Tangible common equity per share of common stock | 52.46 | 50.43 |
•the Corporation’s operational or security systems or infrastructure, or those of third parties, could fail or be breached; • |
(in millions, except share data) | (in millions, except share data) | |||||||||||||||||
December 31 | 2019 | 2018 | December 31 | 2021 | 2020 | |||||||||||||
(recast) | ||||||||||||||||||
ASSETS | ASSETS | |||||||||||||||||
Cash and due from banks | $ | 973 | $ | 1,390 | Cash and due from banks | $ | 1,236 | $ | 1,031 | |||||||||
Interest-bearing deposits with banks | 4,845 | 3,171 | Interest-bearing deposits with banks | 21,443 | 14,736 | |||||||||||||
Other short-term investments | 155 | 134 | Other short-term investments | 197 | 172 | |||||||||||||
Investment securities available-for-sale | 12,398 | 12,045 | Investment securities available-for-sale | 16,986 | 15,028 | |||||||||||||
Commercial loans | 31,473 | 31,976 | Commercial loans | 29,366 | 32,753 | |||||||||||||
Real estate construction loans | 3,455 | 3,077 | Real estate construction loans | 2,948 | 4,082 | |||||||||||||
Commercial mortgage loans | 9,559 | 9,106 | Commercial mortgage loans | 11,255 | 9,912 | |||||||||||||
Lease financing | 588 | 507 | Lease financing | 640 | 594 | |||||||||||||
International loans | 1,009 | 1,013 | International loans | 1,208 | 926 | |||||||||||||
Residential mortgage loans | 1,845 | 1,970 | Residential mortgage loans | 1,771 | 1,830 | |||||||||||||
Consumer loans | 2,440 | 2,514 | Consumer loans | 2,097 | 2,194 | |||||||||||||
Total loans | 50,369 | 50,163 | Total loans | 49,285 | 52,291 | |||||||||||||
Less allowance for loan losses | (637 | ) | (671 | ) | ||||||||||||||
Allowance for loan losses | Allowance for loan losses | (588) | (948) | |||||||||||||||
Net loans | 49,732 | 49,492 | Net loans | 48,697 | 51,343 | |||||||||||||
Premises and equipment | 457 | 475 | Premises and equipment | 454 | 459 | |||||||||||||
Accrued income and other assets | 4,842 | 4,111 | Accrued income and other assets | 5,603 | 5,360 | |||||||||||||
Total assets | $ | 73,402 | $ | 70,818 | Total assets | $ | 94,616 | $ | 88,129 | |||||||||
LIABILITIES AND SHAREHOLDERS’ EQUITY | LIABILITIES AND SHAREHOLDERS’ EQUITY | |||||||||||||||||
Noninterest-bearing deposits | $ | 27,382 | $ | 28,690 | Noninterest-bearing deposits | $ | 45,800 | $ | 39,420 | |||||||||
Money market and interest-bearing checking deposits | 24,527 | 22,560 | Money market and interest-bearing checking deposits | 31,349 | 28,540 | |||||||||||||
Savings deposits | 2,184 | 2,172 | Savings deposits | 3,167 | 2,710 | |||||||||||||
Customer certificates of deposit | 2,978 | 2,131 | Customer certificates of deposit | 1,973 | 2,133 | |||||||||||||
Other time deposits | 133 | — | ||||||||||||||||
Foreign office time deposits | 91 | 8 | Foreign office time deposits | 50 | 66 | |||||||||||||
Total interest-bearing deposits | 29,913 | 26,871 | Total interest-bearing deposits | 36,539 | 33,449 | |||||||||||||
Total deposits | 57,295 | 55,561 | Total deposits | 82,339 | 72,869 | |||||||||||||
Short-term borrowings | 71 | 44 | ||||||||||||||||
Accrued expenses and other liabilities | 1,440 | 1,243 | Accrued expenses and other liabilities | 1,584 | 1,482 | |||||||||||||
Medium- and long-term debt | 7,269 | 6,463 | Medium- and long-term debt | 2,796 | 5,728 | |||||||||||||
Total liabilities | 66,075 | 63,311 | Total liabilities | 86,719 | 80,079 | |||||||||||||
Fixed-rate reset non-cumulative perpetual preferred stock, series A, no par value, $100,000 liquidation preference per share: | Fixed-rate reset non-cumulative perpetual preferred stock, series A, no par value, $100,000 liquidation preference per share: | |||||||||||||||||
Authorized - 4,000 shares | Authorized - 4,000 shares | |||||||||||||||||
Issued - 4,000 shares | Issued - 4,000 shares | 394 | 394 | |||||||||||||||
Common stock - $5 par value: | Common stock - $5 par value: | |||||||||||||||||
Authorized - 325,000,000 shares | Authorized - 325,000,000 shares | |||||||||||||||||
Issued - 228,164,824 shares | 1,141 | 1,141 | Issued - 228,164,824 shares | 1,141 | 1,141 | |||||||||||||
Capital surplus | 2,174 | 2,148 | Capital surplus | 2,175 | 2,185 | |||||||||||||
Accumulated other comprehensive loss | (235 | ) | (609 | ) | ||||||||||||||
Accumulated other comprehensive (loss) income | Accumulated other comprehensive (loss) income | (212) | 64 | |||||||||||||||
Retained earnings | 9,538 | 8,781 | Retained earnings | 10,494 | 9,727 | |||||||||||||
Less cost of common stock in treasury - 86,069,234 shares at 12/31/19 and 68,081,176 shares at 12/31/18 | (5,291 | ) | (3,954 | ) | ||||||||||||||
Less cost of common stock in treasury - 97,476,872 shares at 12/31/2021 and 88,997,430 shares at 12/31/2020 | Less cost of common stock in treasury - 97,476,872 shares at 12/31/2021 and 88,997,430 shares at 12/31/2020 | (6,095) | (5,461) | |||||||||||||||
Total shareholders’ equity | 7,327 | 7,507 | Total shareholders’ equity | 7,897 | 8,050 | |||||||||||||
Total liabilities and shareholders’ equity | $ | 73,402 | $ | 70,818 | Total liabilities and shareholders’ equity | $ | 94,616 | $ | 88,129 |
(in millions) | ||||||||||||||||||||||||||||
(in millions, except per share data) | (in millions, except per share data) | |||||||||||||||||||||||||||
Years Ended December 31 | 2019 | 2018 | 2017 | Years Ended December 31 | 2021 | 2020 | 2019 | |||||||||||||||||||||
(recast) | (recast) | |||||||||||||||||||||||||||
INTEREST INCOME | INTEREST INCOME | |||||||||||||||||||||||||||
Interest and fees on loans | $ | 2,439 | $ | 2,262 | $ | 1,872 | Interest and fees on loans | $ | 1,594 | $ | 1,773 | $ | 2,439 | |||||||||||||||
Interest on investment securities | 297 | 265 | 250 | Interest on investment securities | 280 | 291 | 297 | |||||||||||||||||||||
Interest on short-term investments | 71 | 92 | 60 | Interest on short-term investments | 27 | 29 | 71 | |||||||||||||||||||||
Total interest income | 2,807 | 2,619 | 2,182 | Total interest income | 1,901 | 2,093 | 2,807 | |||||||||||||||||||||
INTEREST EXPENSE | INTEREST EXPENSE | |||||||||||||||||||||||||||
Interest on deposits | 262 | 122 | 42 | Interest on deposits | 22 | 101 | 262 | |||||||||||||||||||||
Interest on short-term borrowings | 9 | 1 | 3 | Interest on short-term borrowings | — | 1 | 9 | |||||||||||||||||||||
Interest on medium- and long-term debt | 197 | 144 | 76 | Interest on medium- and long-term debt | 35 | 80 | 197 | |||||||||||||||||||||
Total interest expense | 468 | 267 | 121 | Total interest expense | 57 | 182 | 468 | |||||||||||||||||||||
Net interest income | 2,339 | 2,352 | 2,061 | Net interest income | 1,844 | 1,911 | 2,339 | |||||||||||||||||||||
Provision for credit losses | 74 | (1 | ) | 74 | Provision for credit losses | (384) | 537 | 74 | ||||||||||||||||||||
Net interest income after provision for credit losses | 2,265 | 2,353 | 1,987 | Net interest income after provision for credit losses | 2,228 | 1,374 | 2,265 | |||||||||||||||||||||
NONINTEREST INCOME | NONINTEREST INCOME | |||||||||||||||||||||||||||
Card fees | 257 | 244 | 333 | Card fees | 298 | 270 | 257 | |||||||||||||||||||||
Fiduciary income | 206 | 206 | 198 | Fiduciary income | 231 | 209 | 206 | |||||||||||||||||||||
Service charges on deposit accounts | 203 | 211 | 227 | Service charges on deposit accounts | 195 | 185 | 203 | |||||||||||||||||||||
Commercial lending fees | 91 | 85 | 85 | Commercial lending fees | 104 | 77 | 91 | |||||||||||||||||||||
Foreign exchange income | 44 | 47 | 45 | |||||||||||||||||||||||||
Derivative income | Derivative income | 99 | 67 | 76 | ||||||||||||||||||||||||
Bank-owned life insurance | 41 | 39 | 43 | Bank-owned life insurance | 43 | 44 | 41 | |||||||||||||||||||||
Letter of credit fees | 38 | 40 | 45 | Letter of credit fees | 40 | 37 | 38 | |||||||||||||||||||||
Brokerage fees | 28 | 27 | 23 | Brokerage fees | 14 | 21 | 28 | |||||||||||||||||||||
Net securities losses | (7 | ) | (19 | ) | — | Net securities losses | — | — | (7) | |||||||||||||||||||
Other noninterest income | 109 | 96 | 108 | Other noninterest income | 99 | 91 | 77 | |||||||||||||||||||||
Total noninterest income | 1,010 | 976 | 1,107 | Total noninterest income | 1,123 | 1,001 | 1,010 | |||||||||||||||||||||
NONINTEREST EXPENSES | NONINTEREST EXPENSES | |||||||||||||||||||||||||||
Salaries and benefits expense | 1,020 | 1,009 | 961 | Salaries and benefits expense | 1,133 | 1,019 | 1,020 | |||||||||||||||||||||
Outside processing fee expense | 264 | 255 | 366 | Outside processing fee expense | 266 | 242 | 264 | |||||||||||||||||||||
Occupancy expense | 154 | 152 | 154 | Occupancy expense | 161 | 156 | 154 | |||||||||||||||||||||
Software expense | 117 | 125 | 126 | Software expense | 155 | 154 | 117 | |||||||||||||||||||||
Equipment expense | 50 | 48 | 45 | Equipment expense | 50 | 49 | 50 | |||||||||||||||||||||
Advertising expense | 34 | 30 | 28 | Advertising expense | 35 | 35 | 34 | |||||||||||||||||||||
FDIC insurance expense | 23 | 42 | 51 | FDIC insurance expense | 22 | 33 | 23 | |||||||||||||||||||||
Restructuring charges | — | 53 | 45 | |||||||||||||||||||||||||
Other noninterest expenses | 81 | 80 | 84 | Other noninterest expenses | 39 | 66 | 75 | |||||||||||||||||||||
Total noninterest expenses | 1,743 | 1,794 | 1,860 | Total noninterest expenses | 1,861 | 1,754 | 1,737 | |||||||||||||||||||||
Income before income taxes | 1,532 | 1,535 | 1,234 | Income before income taxes | 1,490 | 621 | 1,538 | |||||||||||||||||||||
Provision for income taxes | 334 | 300 | 491 | Provision for income taxes | 322 | 124 | 336 | |||||||||||||||||||||
NET INCOME | 1,198 | 1,235 | 743 | NET INCOME | 1,168 | 497 | 1,202 | |||||||||||||||||||||
Less income allocated to participating securities | 7 | 8 | 5 | |||||||||||||||||||||||||
Less: | Less: | |||||||||||||||||||||||||||
Income allocated to participating securities | Income allocated to participating securities | 5 | 2 | 7 | ||||||||||||||||||||||||
Preferred stock dividends | Preferred stock dividends | 23 | 13 | — | ||||||||||||||||||||||||
Net income attributable to common shares | $ | 1,191 | $ | 1,227 | $ | 738 | Net income attributable to common shares | $ | 1,140 | $ | 482 | $ | 1,195 | |||||||||||||||
Earnings per common share: | Earnings per common share: | |||||||||||||||||||||||||||
Basic | $ | 7.95 | $ | 7.31 | $ | 4.23 | Basic | $ | 8.45 | $ | 3.45 | $ | 7.98 | |||||||||||||||
Diluted | 7.87 | 7.20 | 4.14 | Diluted | 8.35 | 3.43 | 7.90 | |||||||||||||||||||||
Cash dividends declared on common stock | 398 | 309 | 193 | Cash dividends declared on common stock | 365 | 378 | 398 | |||||||||||||||||||||
Cash dividends declared per common share | 2.68 | 1.84 | 1.09 | Cash dividends declared per common share | 2.72 | 2.72 | 2.68 |
(in millions) | |||||||||||
Years Ended December 31 | 2019 | 2018 | 2017 | ||||||||
NET INCOME | $ | 1,198 | $ | 1,235 | $ | 743 | |||||
OTHER COMPREHENSIVE INCOME (LOSS) | |||||||||||
Unrealized gains (losses) on investment securities: | |||||||||||
Net unrealized holding gains (losses) arising during the period | 257 | (69 | ) | (81 | ) | ||||||
Less: | |||||||||||
Reclassification adjustment for net securities losses included in net income | (8 | ) | (20 | ) | — | ||||||
Net losses realized as a yield adjustment in interest on investment securities | — | — | (3 | ) | |||||||
Change in net unrealized gains (losses) before income taxes | 265 | (49 | ) | (78 | ) | ||||||
Net gains on cash flow hedges: | |||||||||||
Change in net cash flow hedge gains before income taxes | 44 | — | — | ||||||||
Defined benefit pension and other postretirement plans adjustment: | |||||||||||
Actuarial gain (loss) arising during the period | 163 | (191 | ) | 72 | |||||||
Adjustments for amounts recognized as components of net periodic benefit cost: | |||||||||||
Amortization of actuarial net loss | 42 | 61 | 51 | ||||||||
Amortization of prior service credit | (27 | ) | (27 | ) | (27 | ) | |||||
Change in defined benefit pension and other postretirement plans adjustment before income taxes | 178 | (157 | ) | 96 | |||||||
Total other comprehensive income (loss) before income taxes | 487 | (206 | ) | 18 | |||||||
Provision (benefit) for income taxes | 113 | (47 | ) | (1 | ) | ||||||
Total other comprehensive income (loss), net of tax | 374 | (159 | ) | 19 | |||||||
COMPREHENSIVE INCOME | $ | 1,572 | $ | 1,076 | $ | 762 |
(in millions) | |||||||||||||||||
Years Ended December 31 | 2021 | 2020 | 2019 | ||||||||||||||
(recast) | (recast) | ||||||||||||||||
NET INCOME | $ | 1,168 | $ | 497 | $ | 1,202 | |||||||||||
OTHER COMPREHENSIVE (LOSS) INCOME | |||||||||||||||||
Unrealized (losses) gains on investment securities: | |||||||||||||||||
Net unrealized holding (losses) gains arising during the period | (406) | 191 | 257 | ||||||||||||||
Less: Reclassification adjustment for net securities losses included in net income | — | — | (8) | ||||||||||||||
Change in net unrealized (losses) gains before income taxes | (406) | 191 | 265 | ||||||||||||||
Net (losses) gains on cash flow hedges: | |||||||||||||||||
Net cash flow hedge (losses) gains arising during the period before income taxes | (35) | 229 | 44 | ||||||||||||||
Less: Net cash flow hedge gains recognized in interest and fees on loans before taxes | 95 | 70 | — | ||||||||||||||
Change in net cash flow hedge (losses) gains before income taxes | (130) | 159 | 44 | ||||||||||||||
Defined benefit pension and other postretirement plans adjustment: | |||||||||||||||||
Actuarial gain arising during the period | 159 | 128 | 157 | ||||||||||||||
Prior service credit arising during the period | 1 | — | — | ||||||||||||||
Adjustments for amounts recognized as components of net periodic benefit cost: | |||||||||||||||||
Amortization of actuarial net loss | 40 | 47 | 42 | ||||||||||||||
Amortization of prior service credit | (25) | (27) | (27) | ||||||||||||||
Change in defined benefit pension and other postretirement plans adjustment before income taxes | 175 | 148 | 172 | ||||||||||||||
Total other comprehensive (loss) income before income taxes | (361) | 498 | 481 | ||||||||||||||
(Benefit) provision for income taxes | (85) | 118 | 111 | ||||||||||||||
Total other comprehensive (loss) income, net of tax | (276) | 380 | 370 | ||||||||||||||
COMPREHENSIVE INCOME | $ | 892 | $ | 877 | $ | 1,572 |
Accumulated | ||||||||||||||||||||||||||
Nonredeemable | Common Stock | Other | Total | |||||||||||||||||||||||
Preferred | Shares | Capital | Comprehensive | Retained | Treasury | Shareholders' | ||||||||||||||||||||
(in millions, except per share data) | Stock | Outstanding | Amount | Surplus | (Loss) Income | Earnings | Stock | Equity | ||||||||||||||||||
BALANCE AT DECEMBER 31, 2018 (recast) | $ | — | 160.1 | $ | 1,141 | $ | 2,148 | $ | (686) | $ | 8,858 | $ | (3,954) | $ | 7,507 | |||||||||||
Cumulative effect of change in accounting principles | — | — | — | — | — | (14) | — | (14) | ||||||||||||||||||
Net income (recast) | — | — | — | — | — | 1,202 | — | 1,202 | ||||||||||||||||||
Other comprehensive income, net of tax (recast) | — | — | — | — | 370 | — | — | 370 | ||||||||||||||||||
Cash dividends declared on common stock ($2.68 per share) | — | — | — | — | — | (398) | — | (398) | ||||||||||||||||||
Purchase of common stock | — | (18.7) | — | — | — | — | (1,380) | (1,380) | ||||||||||||||||||
Net issuance of common stock under employee stock plans | — | 0.7 | — | (13) | — | (29) | 43 | 1 | ||||||||||||||||||
Share-based compensation | — | — | — | 39 | — | — | — | 39 | ||||||||||||||||||
BALANCE AT DECEMBER 31, 2019 (recast) | — | 142.1 | 1,141 | 2,174 | (316) | 9,619 | (5,291) | 7,327 | ||||||||||||||||||
Cumulative effect of change in accounting principle | — | — | — | — | — | 13 | — | 13 | ||||||||||||||||||
Net income (recast) | — | — | — | — | — | 497 | — | 497 | ||||||||||||||||||
Other comprehensive income, net of tax (recast) | — | — | — | — | 380 | — | — | 380 | ||||||||||||||||||
Cash dividends declared on common stock ($2.72 per share) | — | — | — | — | — | (378) | — | (378) | ||||||||||||||||||
Cash dividends declared on preferred stock | — | — | — | — | — | (13) | — | (13) | ||||||||||||||||||
Purchase of common stock | — | (3.4) | — | — | — | — | (194) | (194) | ||||||||||||||||||
Issuance of preferred stock | 394 | — | — | — | — | — | — | 394 | ||||||||||||||||||
Net issuance of common stock under employee stock plans | — | 0.5 | — | (13) | — | (11) | 24 | — | ||||||||||||||||||
Share-based compensation | — | — | — | 24 | — | — | — | 24 | ||||||||||||||||||
BALANCE AT DECEMBER 31, 2020 (recast) | 394 | 139.2 | $ | 1,141 | $ | 2,185 | $ | 64 | $ | 9,727 | $ | (5,461) | $ | 8,050 | ||||||||||||
Net income | — | — | — | — | — | 1,168 | — | 1,168 | ||||||||||||||||||
Other comprehensive loss, net of tax | — | — | — | — | (276) | — | — | (276) | ||||||||||||||||||
Cash dividends declared on common stock ($2.72 per share) | — | — | — | — | — | (365) | — | (365) | ||||||||||||||||||
Cash dividends declared on preferred stock | — | — | — | — | — | (23) | — | (23) | ||||||||||||||||||
Purchase of common stock | — | (9.5) | — | (24) | — | — | (699) | (723) | ||||||||||||||||||
Net issuance of common stock under employee stock plans | — | 1.0 | — | (27) | — | (13) | 65 | 25 | ||||||||||||||||||
Share-based compensation | — | — | — | 41 | — | — | — | 41 | ||||||||||||||||||
BALANCE AT DECEMBER 31, 2021 | $ | 394 | 130.7 | $ | 1,141 | $ | 2,175 | $ | (212) | $ | 10,494 | $ | (6,095) | $ | 7,897 |
Common Stock | Accumulated Other Comprehensive Loss | Total Shareholders’ Equity | ||||||||||||||||||||||||
(in millions, except per share data) | Shares Outstanding | Amount | Capital Surplus | Retained Earnings | Treasury Stock | |||||||||||||||||||||
BALANCE AT DECEMBER 31, 2016 | 175.3 | $ | 1,141 | $ | 2,135 | $ | (383 | ) | $ | 7,331 | $ | (2,428 | ) | $ | 7,796 | |||||||||||
Cumulative effect of change in accounting principle | — | — | 3 | — | (2 | ) | — | 1 | ||||||||||||||||||
Net income | — | — | — | — | 743 | — | 743 | |||||||||||||||||||
Other comprehensive income, net of tax | — | — | — | 19 | — | — | 19 | |||||||||||||||||||
Cash dividends declared on common stock ($1.09 per share) | — | — | — | — | (193 | ) | — | (193 | ) | |||||||||||||||||
Purchase of common stock | (7.5 | ) | — | — | — | — | (544 | ) | (544 | ) | ||||||||||||||||
Net issuance of common stock under employee stock plans | 3.3 | — | (24 | ) | — | (26 | ) | 152 | 102 | |||||||||||||||||
Net issuance of common stock for warrants | 1.8 | — | (30 | ) | — | (53 | ) | 83 | — | |||||||||||||||||
Share-based compensation | — | — | 39 | — | — | — | 39 | |||||||||||||||||||
Reclassification of certain deferred tax effects | — | — | — | (87 | ) | 87 | — | — | ||||||||||||||||||
Other | — | — | (1 | ) | — | — | 1 | — | ||||||||||||||||||
BALANCE AT DECEMBER 31, 2017 | 172.9 | 1,141 | 2,122 | (451 | ) | 7,887 | (2,736 | ) | 7,963 | |||||||||||||||||
Cumulative effect of change in accounting principles | — | — | — | 1 | 14 | — | 15 | |||||||||||||||||||
Net income | — | — | — | — | 1,235 | — | 1,235 | |||||||||||||||||||
Other comprehensive loss, net of tax | — | — | — | (159 | ) | — | — | (159 | ) | |||||||||||||||||
Cash dividends declared on common stock ($1.84 per share) | — | — | — | — | (309 | ) | — | (309 | ) | |||||||||||||||||
Purchase of common stock | (14.9 | ) | — | (3 | ) | — | — | (1,326 | ) | (1,329 | ) | |||||||||||||||
Net issuance of common stock under employee stock plans | 1.5 | — | (9 | ) | — | (23 | ) | 75 | 43 | |||||||||||||||||
Net issuance of common stock for warrants | 0.6 | — | (10 | ) | — | (23 | ) | 33 | — | |||||||||||||||||
Share-based compensation | — | — | 48 | — | — | — | 48 | |||||||||||||||||||
BALANCE AT DECEMBER 31, 2018 | 160.1 | 1,141 | 2,148 | (609 | ) | 8,781 | (3,954 | ) | 7,507 | |||||||||||||||||
Cumulative effect of change in accounting principle | — | — | — | — | (14 | ) | — | (14 | ) | |||||||||||||||||
Net income | — | — | — | — | 1,198 | — | 1,198 | |||||||||||||||||||
Other comprehensive income, net of tax | — | — | — | 374 | — | — | 374 | |||||||||||||||||||
Cash dividends declared on common stock ($2.68 per share) | — | — | — | — | (398 | ) | — | (398 | ) | |||||||||||||||||
Purchase of common stock | (18.7 | ) | — | — | — | — | (1,380 | ) | (1,380 | ) | ||||||||||||||||
Net issuance of common stock under employee stock plans | 0.7 | — | (13 | ) | — | (29 | ) | 43 | 1 | |||||||||||||||||
Share-based compensation | — | — | 39 | — | — | — | 39 | |||||||||||||||||||
BALANCE AT DECEMBER 31, 2019 | 142.1 | $ | 1,141 | $ | 2,174 | $ | (235 | ) | $ | 9,538 | $ | (5,291 | ) | $ | 7,327 |
(in millions) | (in millions) | |||||||||||||||||||||||||||
Years Ended December 31 | 2019 | 2018 | 2017 | Years Ended December 31 | 2021 | 2020 | 2019 | |||||||||||||||||||||
(recast) | (recast) | |||||||||||||||||||||||||||
OPERATING ACTIVITIES | OPERATING ACTIVITIES | |||||||||||||||||||||||||||
Net income | $ | 1,198 | $ | 1,235 | $ | 743 | Net income | $ | 1,168 | $ | 497 | $ | 1,202 | |||||||||||||||
Adjustments to reconcile net income to net cash provided by operating activities: | Adjustments to reconcile net income to net cash provided by operating activities: | |||||||||||||||||||||||||||
Provision for credit losses | 74 | (1 | ) | 74 | Provision for credit losses | (384) | 537 | 74 | ||||||||||||||||||||
Provision for deferred income taxes | 12 | 24 | 79 | |||||||||||||||||||||||||
Provision (benefit) for deferred income taxes | Provision (benefit) for deferred income taxes | 79 | (82) | 14 | ||||||||||||||||||||||||
Depreciation and amortization | 114 | 120 | 121 | Depreciation and amortization | 99 | 108 | 114 | |||||||||||||||||||||
Net periodic defined benefit credit | (29 | ) | (18 | ) | (18 | ) | Net periodic defined benefit credit | (81) | (55) | (35) | ||||||||||||||||||
Share-based compensation expense | 39 | 48 | 39 | Share-based compensation expense | 41 | 24 | 39 | |||||||||||||||||||||
Net amortization of securities | 2 | 3 | 6 | Net amortization of securities | 36 | 15 | 2 | |||||||||||||||||||||
Accretion of loan purchase discount | — | (1 | ) | (3 | ) | |||||||||||||||||||||||
Net securities losses | 7 | 19 | — | Net securities losses | — | — | 7 | |||||||||||||||||||||
Net gains on sales of foreclosed property | 1 | (1 | ) | (3 | ) | |||||||||||||||||||||||
Net (gains) losses on sales of foreclosed property | Net (gains) losses on sales of foreclosed property | — | (1) | 1 | ||||||||||||||||||||||||
Net change in: | Net change in: | |||||||||||||||||||||||||||
Accrued income receivable | 17 | (45 | ) | (33 | ) | Accrued income receivable | 13 | 25 | 17 | |||||||||||||||||||
Accrued expenses payable | (27 | ) | 49 | 41 | Accrued expenses payable | 132 | (29) | (27) | ||||||||||||||||||||
Other, net | (318 | ) | 184 | 39 | Other, net | (469) | (111) | (318) | ||||||||||||||||||||
Net cash provided by operating activities | 1,090 | 1,616 | 1,085 | Net cash provided by operating activities | 634 | 928 | 1,090 | |||||||||||||||||||||
INVESTING ACTIVITIES | INVESTING ACTIVITIES | |||||||||||||||||||||||||||
Investment securities available-for-sale: | Investment securities available-for-sale: | |||||||||||||||||||||||||||
Maturities and redemptions | 2,262 | 1,781 | 1,615 | Maturities and redemptions | 5,536 | 3,350 | 2,262 | |||||||||||||||||||||
Sales | 987 | 1,256 | 1,259 | Sales | — | — | 987 | |||||||||||||||||||||
Purchases | (3,346 | ) | (3,032 | ) | (3,112 | ) | Purchases | (7,936) | (5,804) | (3,346) | ||||||||||||||||||
Investment securities held-to-maturity: | ||||||||||||||||||||||||||||
Maturities and redemptions | — | — | 319 | |||||||||||||||||||||||||
Net change in loans | (324 | ) | (1,045 | ) | (175 | ) | Net change in loans | 4,067 | (2,136) | (324) | ||||||||||||||||||
Proceeds from sales of foreclosed property | 1 | 8 | 22 | Proceeds from sales of foreclosed property | 8 | 5 | 1 | |||||||||||||||||||||
Net increase in premises and equipment | (86 | ) | (90 | ) | (69 | ) | Net increase in premises and equipment | (70) | (79) | (86) | ||||||||||||||||||
Federal Home Loan Bank stock: | Federal Home Loan Bank stock: | |||||||||||||||||||||||||||
Purchases | (201 | ) | (41 | ) | (42 | ) | Purchases | — | (51) | (201) | ||||||||||||||||||
Redemptions | 201 | — | 42 | Redemptions | 115 | 92 | 201 | |||||||||||||||||||||
Proceeds from bank-owned life insurance settlements | 10 | 9 | 18 | Proceeds from bank-owned life insurance settlements | 16 | 20 | 10 | |||||||||||||||||||||
Other, net | 2 | (2 | ) | 3 | Other, net | (13) | 1 | 2 | ||||||||||||||||||||
Net cash used in investing activities | (494 | ) | (1,156 | ) | (120 | ) | ||||||||||||||||||||||
Net cash provided by (used in) investing activities | Net cash provided by (used in) investing activities | 1,723 | (4,602) | (494) | ||||||||||||||||||||||||
FINANCING ACTIVITIES | FINANCING ACTIVITIES | |||||||||||||||||||||||||||
Net change in: | Net change in: | |||||||||||||||||||||||||||
Deposits | 1,711 | (2,082 | ) | (1,180 | ) | Deposits | 8,438 | 15,554 | 1,711 | |||||||||||||||||||
Short-term borrowings | 27 | 34 | (15 | ) | Short-term borrowings | — | (71) | 27 | ||||||||||||||||||||
Medium- and long-term debt: | Medium- and long-term debt: | |||||||||||||||||||||||||||
Maturities | (350 | ) | — | (500 | ) | |||||||||||||||||||||||
Maturities and redemptions | Maturities and redemptions | (2,800) | (1,675) | (350) | ||||||||||||||||||||||||
Issuances and advances | 1,050 | 1,850 | — | Issuances and advances | — | — | 1,050 | |||||||||||||||||||||
Terminations | — | — | (16 | ) | ||||||||||||||||||||||||
Preferred stock: | Preferred stock: | |||||||||||||||||||||||||||
Issuance | Issuance | — | 394 | — | ||||||||||||||||||||||||
Cash dividends paid | Cash dividends paid | (23) | (8) | — | ||||||||||||||||||||||||
Common stock: | Common stock: | |||||||||||||||||||||||||||
Repurchases | (1,394 | ) | (1,338 | ) | (560 | ) | Repurchases | (729) | (199) | (1,394) | ||||||||||||||||||
Cash dividends paid | (402 | ) | (263 | ) | (180 | ) | Cash dividends paid | (369) | (375) | (402) | ||||||||||||||||||
Issuances under employee stock plans | 18 | 52 | 118 | Issuances under employee stock plans | 34 | 4 | 18 | |||||||||||||||||||||
Other, net | 1 | 3 | (5 | ) | Other, net | 4 | (1) | 1 | ||||||||||||||||||||
Net cash provided by (used in) financing activities | 661 | (1,744 | ) | (2,338 | ) | |||||||||||||||||||||||
Net increase (decrease) in cash and cash equivalents | 1,257 | (1,284 | ) | (1,373 | ) | |||||||||||||||||||||||
Net cash provided by financing activities | Net cash provided by financing activities | 4,555 | 13,623 | 661 | ||||||||||||||||||||||||
Net increase in cash and cash equivalents | Net increase in cash and cash equivalents | 6,912 | 9,949 | 1,257 | ||||||||||||||||||||||||
Cash and cash equivalents at beginning of period | 4,561 | 5,845 | 7,218 | Cash and cash equivalents at beginning of period | 15,767 | 5,818 | 4,561 | |||||||||||||||||||||
Cash and cash equivalents at end of period | $ | 5,818 | $ | 4,561 | $ | 5,845 | Cash and cash equivalents at end of period | $ | 22,679 | $ | 15,767 | $ | 5,818 | |||||||||||||||
Interest paid | $ | 462 | $ | 261 | $ | 122 | Interest paid | $ | 57 | $ | 203 | $ | 462 | |||||||||||||||
Income taxes paid | 266 | 200 | 336 | Income taxes paid | 157 | 141 | 266 | |||||||||||||||||||||
Noncash investing and financing activities: | Noncash investing and financing activities: | |||||||||||||||||||||||||||
Loans transferred to other real estate | 12 | 3 | 8 | Loans transferred to other real estate | 1 | 1 | 12 | |||||||||||||||||||||
Securities transferred from held-to-maturity to available-for-sale | — | 1,266 | — | |||||||||||||||||||||||||
Securities transferred from available-for-sale to equity securities | — | 81 | — |
Level 1 | Valuation is based upon quoted prices for identical instruments traded in active markets. | ||||||||||
Level 2 | Valuation is based upon quoted prices for similar instruments in active markets, quoted prices for identical or similar instruments in markets that are less active, and model-based valuation techniques for which all significant assumptions are observable in the market. | ||||||||||
Level 3 | Valuation is generated from model-based techniques that use at least one significant assumption not observable in the market. These unobservable assumptions reflect estimates of assumptions that market participants would use in pricing the asset or liability. Valuation techniques include use of option pricing models, discounted cash flow models and similar techniques. |
December 31, 2021 | December 31, 2020 | ||||||||||||||||
(in millions) | Change Impact | Previously Reported | Change Impact | Recast Amounts | |||||||||||||
Accumulated other comprehensive (loss) income | $ | (14) | $ | 168 | $ | (104) | $ | 64 | |||||||||
Retained earnings | 14 | 9,623 | 104 | 9,727 |
Years Ended December 31, | |||||||||||||||||||||||||||||
2021 | 2020 | 2019 | |||||||||||||||||||||||||||
(in millions) | Change Impact | Previously Reported | Change Impact | Recast Amounts | Previously Reported | Change Impact | Recast Amounts | ||||||||||||||||||||||
Other noninterest expenses | $ | (18) | $ | 96 | $ | (30) | $ | 66 | $ | 81 | $ | (6) | $ | 75 | |||||||||||||||
Provision for income taxes | $ | 4 | $ | 117 | $ | 7 | $ | 124 | $ | 334 | $ | 2 | $ | 336 | |||||||||||||||
Net income | $ | 14 | $ | 474 | $ | 23 | $ | 497 | $ | 1,198 | $ | 4 | $ | 1,202 | |||||||||||||||
Earnings per common share: | |||||||||||||||||||||||||||||
Basic | $ | 0.10 | $ | 3.29 | $ | 0.16 | $ | 3.45 | $ | 7.95 | $ | 0.03 | $ | 7.98 | |||||||||||||||
Diluted | 0.11 | 3.27 | 0.16 | 3.43 | 7.87 | 0.03 | 7.90 |
Years Ended December 31, | |||||||||||||||||||||||||||||
2021 | 2020 | 2019 | |||||||||||||||||||||||||||
(in millions) | Change Impact | Previously Reported | Change Impact | Recast Amounts | Previously Reported | Change Impact | Recast Amounts | ||||||||||||||||||||||
Net income | $ | 14 | $ | 474 | $ | 23 | $ | 497 | $ | 1,198 | $ | 4 | $ | 1,202 | |||||||||||||||
Provision (benefit) for deferred income taxes | 4 | (89) | 7 | (82) | 12 | 2 | 14 | ||||||||||||||||||||||
Net periodic defined benefit credit | (18) | (25) | (30) | (55) | (29) | (6) | (35) |
(in millions) | Total | Level 1 | Level 2 | Level 3 | ||||||||||||||||||||||
December 31, 2021 | ||||||||||||||||||||||||||
Deferred compensation plan assets | $ | 113 | $ | 113 | $ | — | $ | — | ||||||||||||||||||
Equity securities | 62 | 62 | — | — | ||||||||||||||||||||||
Investment securities available-for-sale: | ||||||||||||||||||||||||||
U.S. Treasury securities | 2,993 | 2,993 | — | — | ||||||||||||||||||||||
Residential mortgage-backed securities (a) | 13,288 | — | 13,288 | — | ||||||||||||||||||||||
Commercial mortgage-backed securities (a) | 705 | — | 705 | — | ||||||||||||||||||||||
Total investment securities available-for-sale | 16,986 | 2,993 | 13,993 | — | ||||||||||||||||||||||
Derivative assets: | ||||||||||||||||||||||||||
Interest rate contracts | 239 | — | 213 | 26 | ||||||||||||||||||||||
Energy contracts | 670 | — | 670 | — | ||||||||||||||||||||||
Foreign exchange contracts | 19 | — | 19 | — | ||||||||||||||||||||||
Total derivative assets | 928 | — | 902 | 26 | ||||||||||||||||||||||
Total assets at fair value | $ | 18,089 | $ | 3,168 | $ | 14,895 | $ | 26 | ||||||||||||||||||
Derivative liabilities: | ||||||||||||||||||||||||||
Interest rate contracts | $ | 69 | $ | — | $ | 69 | $ | — | ||||||||||||||||||
Energy contracts | 662 | — | 662 | — | ||||||||||||||||||||||
Foreign exchange contracts | 16 | — | 16 | — | ||||||||||||||||||||||
Other financial derivative | 13 | — | — | 13 | ||||||||||||||||||||||
Total derivative liabilities | 760 | — | 747 | 13 | ||||||||||||||||||||||
Deferred compensation plan liabilities | 113 | 113 | — | — | ||||||||||||||||||||||
Total liabilities at fair value | $ | 873 | $ | 113 | $ | 747 | $ | 13 | ||||||||||||||||||
December 31, 2020 | ||||||||||||||||||||||||||
Deferred compensation plan assets | $ | 107 | $ | 107 | $ | — | $ | — | ||||||||||||||||||
Equity securities | 50 | 50 | — | — | ||||||||||||||||||||||
Investment securities available-for-sale: | ||||||||||||||||||||||||||
U.S. Treasury securities | 4,658 | 4,658 | — | — | ||||||||||||||||||||||
Residential mortgage-backed securities (a) | 10,370 | — | 10,370 | — | ||||||||||||||||||||||
Total investment securities available-for-sale | 15,028 | 4,658 | 10,370 | — | ||||||||||||||||||||||
Derivative assets: | ||||||||||||||||||||||||||
Interest rate contracts | 531 | — | 492 | 39 | ||||||||||||||||||||||
Energy contracts | 151 | — | 151 | — | ||||||||||||||||||||||
Foreign exchange contracts | 18 | — | 18 | — | ||||||||||||||||||||||
Total derivative assets | 700 | — | 661 | 39 | ||||||||||||||||||||||
Total assets at fair value | $ | 15,885 | $ | 4,815 | $ | 11,031 | $ | 39 | ||||||||||||||||||
Derivative liabilities: | ||||||||||||||||||||||||||
Interest rate contracts | $ | 61 | $ | — | $ | 61 | $ | — | ||||||||||||||||||
Energy contracts | 149 | — | 149 | — | ||||||||||||||||||||||
Foreign exchange contracts | 19 | — | 19 | — | ||||||||||||||||||||||
Other financial derivative | 11 | — | — | 11 | ||||||||||||||||||||||
Total derivative liabilities | 240 | — | 229 | 11 | ||||||||||||||||||||||
Deferred compensation plan liabilities | 107 | 107 | — | — | ||||||||||||||||||||||
Total liabilities at fair value | $ | 347 | $ | 107 | $ | 229 | $ | 11 |
(in millions) | Total | Level 1 | Level 2 | Level 3 | ||||||||||||
December 31, 2019 | ||||||||||||||||
Deferred compensation plan assets | $ | 95 | $ | 95 | $ | — | $ | — | ||||||||
Equity securities | 54 | 54 | — | — | ||||||||||||
Investment securities available-for-sale: | ||||||||||||||||
U.S. Treasury and other U.S. government agency securities | 2,792 | 2,792 | — | — | ||||||||||||
Residential mortgage-backed securities (a) | 9,606 | — | 9,606 | — | ||||||||||||
Total investment securities available-for-sale | 12,398 | 2,792 | 9,606 | — | ||||||||||||
Derivative assets: | ||||||||||||||||
Interest rate contracts | 211 | — | 189 | 22 | ||||||||||||
Energy derivative contracts | 96 | — | 96 | — | ||||||||||||
Foreign exchange contracts | 10 | — | 10 | — | ||||||||||||
Total derivative assets | 317 | — | 295 | 22 | ||||||||||||
Total assets at fair value | $ | 12,864 | $ | 2,941 | $ | 9,901 | $ | 22 | ||||||||
Derivative liabilities: | ||||||||||||||||
Interest rate contracts | $ | 39 | $ | — | $ | 39 | $ | — | ||||||||
Energy derivative contracts | 92 | — | 92 | — | ||||||||||||
Foreign exchange contracts | 10 | — | 10 | — | ||||||||||||
Total derivative liabilities | 141 | — | 141 | — | ||||||||||||
Deferred compensation plan liabilities | 95 | 95 | — | — | ||||||||||||
Total liabilities at fair value | $ | 236 | $ | 95 | $ | 141 | $ | — |
(in millions) | Total | Level 1 | Level 2 | Level 3 | ||||||||||||
December 31, 2018 | ||||||||||||||||
Deferred compensation plan assets | $ | 88 | $ | 88 | $ | — | $ | — | ||||||||
Equity securities | 43 | 43 | — | — | ||||||||||||
Investment securities available-for-sale: | ||||||||||||||||
U.S. Treasury and other U.S. government agency securities | 2,727 | 2,727 | — | — | ||||||||||||
Residential mortgage-backed securities (a) | 9,318 | — | 9,318 | — | ||||||||||||
Total investment securities available-for-sale | 12,045 | 2,727 | 9,318 | — | ||||||||||||
Derivative assets: | ||||||||||||||||
Interest rate contracts | 67 | — | 58 | 9 | ||||||||||||
Energy derivative contracts | 189 | — | 189 | — | ||||||||||||
Foreign exchange contracts | 19 | — | 19 | — | ||||||||||||
Total derivative assets | 275 | — | 266 | 9 | ||||||||||||
Total assets at fair value | $ | 12,451 | $ | 2,858 | $ | 9,584 | $ | 9 | ||||||||
Derivative liabilities: | ||||||||||||||||
Interest rate contracts | $ | 70 | $ | — | $ | 70 | $ | — | ||||||||
Energy derivative contracts | 186 | — | 186 | — | ||||||||||||
Foreign exchange contracts | 13 | — | 13 | — | ||||||||||||
Total derivative liabilities | 269 | — | 269 | — | ||||||||||||
Deferred compensation plan liabilities | 88 | 88 | — | — | ||||||||||||
Total liabilities at fair value | $ | 357 | $ | 88 | $ | 269 | $ | — |
Net Realized/Unrealized Gains (Pretax) Recorded in Earnings (a) | ||||||||||||||||||||||||||||||||||||||||||||
Balance at Beginning of Period | Sales | Balance at End of Period | ||||||||||||||||||||||||||||||||||||||||||
(in millions) | Realized | Unrealized | ||||||||||||||||||||||||||||||||||||||||||
Year Ended December 31, 2021 | ||||||||||||||||||||||||||||||||||||||||||||
Derivative assets: | ||||||||||||||||||||||||||||||||||||||||||||
Interest rate contracts | $ | 39 | $ | — | $ | (13) | $ | — | $ | 26 | ||||||||||||||||||||||||||||||||||
Derivative liabilities: | ||||||||||||||||||||||||||||||||||||||||||||
Other financial derivative | (11) | — | (2) | — | (13) | |||||||||||||||||||||||||||||||||||||||
Year Ended December 31, 2020 | ||||||||||||||||||||||||||||||||||||||||||||
Derivative assets: | ||||||||||||||||||||||||||||||||||||||||||||
Interest rate contracts | $ | 22 | — | $ | 17 | — | $ | 39 | ||||||||||||||||||||||||||||||||||||
Derivative liabilities: | ||||||||||||||||||||||||||||||||||||||||||||
Other financial derivative | (9) | — | (2) | — | (11) | |||||||||||||||||||||||||||||||||||||||
Net Realized/Unrealized Gains (Losses) (Pretax) Recorded in Earnings (b) | |||||||||||||||||||||||
Balance at Beginning of Period | Change in Classification (a) | Sales and Redemptions | Balance at End of Period | ||||||||||||||||||||
(in millions) | Realized | Unrealized | |||||||||||||||||||||
Year Ended December 31, 2019 | |||||||||||||||||||||||
Derivative assets: | |||||||||||||||||||||||
Interest rate contracts | $ | 9 | $ | — | $ | 1 | $ | 13 | $ | (1 | ) | $ | 22 | ||||||||||
Year Ended December 31, 2018 | |||||||||||||||||||||||
Equity securities | $ | — | $ | 44 | $ | — | $ | — | $ | (44 | ) | $ | — | ||||||||||
Investment securities available-for-sale: | |||||||||||||||||||||||
State and municipal securities (c) | 5 | — | — | — | (5 | ) | — | ||||||||||||||||
Equity and other non-debt securities (c) | 44 | (44 | ) | — | — | — | — | ||||||||||||||||
Total investment securities available-for-sale | 49 | (44 | ) | — | — | (5 | ) | — | |||||||||||||||
Derivative assets: | |||||||||||||||||||||||
Interest rate contracts | 14 | — | — | (5 | ) | — | 9 |
(in millions) | Level 3 | ||
December 31, 2019 | |||
Loans: | |||
Commercial | $ | 70 | |
Total assets at fair value | $ | 70 | |
December 31, 2018 | |||
Business loans: | |||
Commercial | $ | 96 | |
Commercial mortgage | 4 | ||
Total business loans | 100 | ||
Retail loans: | |||
Residential mortgage | 8 | ||
Total assets at fair value | $ | 108 |
(in millions) | Level 3 | ||||||||||||||||
December 31, 2021 | |||||||||||||||||
Loans: | |||||||||||||||||
Commercial | $ | 125 | |||||||||||||||
Real estate construction | 4 | ||||||||||||||||
Commercial mortgage | 17 | ||||||||||||||||
International | 4 | ||||||||||||||||
Total assets at fair value | $ | 150 | |||||||||||||||
December 31, 2020 | |||||||||||||||||
Loans: | |||||||||||||||||
Commercial | $ | 134 | |||||||||||||||
Commercial mortgage | 16 | ||||||||||||||||
Total assets at fair value | $ | 150 |
Carrying Amount | Estimated Fair Value | ||||||||||||||||||||||||||||
(in millions) | Total | Level 1 | Level 2 | Level 3 | |||||||||||||||||||||||||
December 31, 2021 | |||||||||||||||||||||||||||||
Assets | |||||||||||||||||||||||||||||
Cash and due from banks | $ | 1,236 | $ | 1,236 | $ | 1,236 | $ | — | $ | — | |||||||||||||||||||
Interest-bearing deposits with banks | 21,443 | 21,443 | 21,443 | — | — | ||||||||||||||||||||||||
Other short-term investments | 16 | 16 | 16 | — | — | ||||||||||||||||||||||||
Loans held-for-sale | 6 | 6 | — | 6 | — | ||||||||||||||||||||||||
Total loans, net of allowance for loan losses (a) | 48,697 | 49,127 | — | — | 49,127 | ||||||||||||||||||||||||
Customers’ liability on acceptances outstanding | 5 | 5 | 5 | — | — | ||||||||||||||||||||||||
Restricted equity investments | 92 | 92 | 92 | — | — | ||||||||||||||||||||||||
Nonmarketable equity securities (b) | 5 | 10 | |||||||||||||||||||||||||||
Liabilities | |||||||||||||||||||||||||||||
Demand deposits (noninterest-bearing) | 45,800 | 45,800 | — | 45,800 | — | ||||||||||||||||||||||||
Interest-bearing deposits | 34,566 | 34,566 | — | 34,566 | — | ||||||||||||||||||||||||
Customer certificates of deposit | 1,973 | 1,968 | — | 1,968 | — | ||||||||||||||||||||||||
Total deposits | 82,339 | 82,334 | — | 82,334 | — | ||||||||||||||||||||||||
Acceptances outstanding | 5 | 5 | 5 | — | — | ||||||||||||||||||||||||
Medium- and long-term debt | 2,796 | 2,854 | — | 2,854 | — | ||||||||||||||||||||||||
Credit-related financial instruments | (59) | (59) | — | — | (59) | ||||||||||||||||||||||||
December 31, 2020 | |||||||||||||||||||||||||||||
Assets | |||||||||||||||||||||||||||||
Cash and due from banks | $ | 1,031 | $ | 1,031 | $ | 1,031 | $ | — | $ | — | |||||||||||||||||||
Interest-bearing deposits with banks | 14,736 | 14,736 | 14,736 | — | — | ||||||||||||||||||||||||
Other short-term investments | 10 | 10 | 10 | — | — | ||||||||||||||||||||||||
Loans held-for-sale | 5 | 5 | — | 5 | — | ||||||||||||||||||||||||
Total loans, net of allowance for loan losses (a) | 51,343 | 50,601 | — | — | 50,601 | ||||||||||||||||||||||||
Customers’ liability on acceptances outstanding | 1 | 1 | 1 | — | — | ||||||||||||||||||||||||
Restricted equity investments | 207 | 207 | 207 | — | — | ||||||||||||||||||||||||
Nonmarketable equity securities (b) | 5 | 9 | |||||||||||||||||||||||||||
Liabilities | |||||||||||||||||||||||||||||
Demand deposits (noninterest-bearing) | 39,420 | 39,420 | — | 39,420 | — | ||||||||||||||||||||||||
Interest-bearing deposits | 31,316 | 31,316 | — | 31,316 | — | ||||||||||||||||||||||||
Customer certificates of deposit | 2,133 | 2,133 | — | 2,133 | — | ||||||||||||||||||||||||
Total deposits | 72,869 | 72,869 | — | 72,869 | — | ||||||||||||||||||||||||
Acceptances outstanding | 1 | 1 | 1 | — | — | ||||||||||||||||||||||||
Medium- and long-term debt | 5,728 | 5,790 | — | 5,790 | — | ||||||||||||||||||||||||
Credit-related financial instruments | (74) | (74) | — | — | (74) |
Carrying Amount | Estimated Fair Value | ||||||||||||||||||
(in millions) | Total | Level 1 | Level 2 | Level 3 | |||||||||||||||
December 31, 2019 | |||||||||||||||||||
Assets | |||||||||||||||||||
Cash and due from banks | $ | 973 | $ | 973 | $ | 973 | $ | — | $ | — | |||||||||
Interest-bearing deposits with banks | 4,845 | 4,845 | 4,845 | — | — | ||||||||||||||
Loans held-for-sale | 6 | 6 | — | 6 | — | ||||||||||||||
Total loans, net of allowance for loan losses (a) | 49,732 | 49,975 | — | — | 49,975 | ||||||||||||||
Customers’ liability on acceptances outstanding | 2 | 2 | 2 | — | — | ||||||||||||||
Restricted equity investments | 248 | 248 | 248 | — | — | ||||||||||||||
Nonmarketable equity securities (b) | 5 | 10 | |||||||||||||||||
Liabilities | |||||||||||||||||||
Demand deposits (noninterest-bearing) | 27,382 | 27,382 | — | 27,382 | — | ||||||||||||||
Interest-bearing deposits | 26,802 | 26,802 | — | 26,802 | — | ||||||||||||||
Customer certificates of deposit | 2,978 | 2,968 | — | 2,968 | — | ||||||||||||||
Other time deposits | 133 | 133 | — | 133 | — | ||||||||||||||
Total deposits | 57,295 | 57,285 | — | 57,285 | — | ||||||||||||||
Short-term borrowings | 71 | 71 | 71 | — | — | ||||||||||||||
Acceptances outstanding | 2 | 2 | 2 | — | — | ||||||||||||||
Medium- and long-term debt | 7,269 | 7,316 | — | 7,316 | — | ||||||||||||||
Credit-related financial instruments | (57 | ) | (57 | ) | — | — | (57 | ) | |||||||||||
December 31, 2018 | |||||||||||||||||||
Assets | |||||||||||||||||||
Cash and due from banks | $ | 1,390 | $ | 1,390 | $ | 1,390 | $ | — | $ | — | |||||||||
Interest-bearing deposits with banks | 3,171 | 3,171 | 3,171 | — | — | ||||||||||||||
Loans held-for-sale | 3 | 3 | — | 3 | — | ||||||||||||||
Total loans, net of allowance for loan losses (a) | 49,492 | 48,889 | — | — | 48,889 | ||||||||||||||
Customers’ liability on acceptances outstanding | 4 | 4 | 4 | — | — | ||||||||||||||
Restricted equity investments | 248 | 248 | 248 | — | — | ||||||||||||||
Nonmarketable equity securities (b) | 6 | 11 | |||||||||||||||||
Liabilities | |||||||||||||||||||
Demand deposits (noninterest-bearing) | 28,690 | 28,690 | — | 28,690 | — | ||||||||||||||
Interest-bearing deposits | 24,740 | 24,740 | — | 24,740 | — | ||||||||||||||
Customer certificates of deposit | 2,131 | 2,100 | — | 2,100 | — | ||||||||||||||
Total deposits | 55,561 | 55,530 | — | 55,530 | — | ||||||||||||||
Short-term borrowings | 44 | 44 | 44 | — | — | ||||||||||||||
Acceptances outstanding | 4 | 4 | 4 | — | — | ||||||||||||||
Medium- and long-term debt | 6,463 | 6,436 | — | 6,436 | — | ||||||||||||||
Credit-related financial instruments | (57 | ) | (57 | ) | — | — | (57 | ) |
(in millions) | Amortized Cost | Gross Unrealized Gains | Gross Unrealized Losses | Fair Value | |||||||||||||||||||
December 31, 2021 | |||||||||||||||||||||||
Investment securities available-for-sale: | |||||||||||||||||||||||
U.S. Treasury securities | $ | 3,010 | $ | 22 | $ | 39 | $ | 2,993 | |||||||||||||||
Residential mortgage-backed securities (a) | 13,397 | 67 | 176 | 13,288 | |||||||||||||||||||
Commercial mortgage-backed securities (a) | 709 | 2 | 6 | 705 | |||||||||||||||||||
Total investment securities available-for-sale | $ | 17,116 | $ | 91 | $ | 221 | $ | 16,986 | |||||||||||||||
December 31, 2020 | |||||||||||||||||||||||
Investment securities available-for-sale: | |||||||||||||||||||||||
U.S. Treasury securities | $ | 4,583 | $ | 76 | $ | 1 | $ | 4,658 | |||||||||||||||
Residential mortgage-backed securities (a) | 10,169 | 203 | 2 | 10,370 | |||||||||||||||||||
Total investment securities available-for-sale | $ | 14,752 | $ | 279 | $ | 3 | $ | 15,028 |
(in millions) | Amortized Cost | Gross Unrealized Gains | Gross Unrealized Losses | Fair Value | |||||||||||
December 31, 2019 | |||||||||||||||
Investment securities available-for-sale: | |||||||||||||||
U.S. Treasury and other U.S. government agency securities | $ | 2,745 | $ | 47 | $ | — | $ | 2,792 | |||||||
Residential mortgage-backed securities (a) | 9,568 | 66 | 28 | 9,606 | |||||||||||
Total investment securities available-for-sale | $ | 12,313 | $ | 113 | $ | 28 | $ | 12,398 | |||||||
December 31, 2018 | |||||||||||||||
Investment securities available-for-sale: | |||||||||||||||
U.S. Treasury and other U.S. government agency securities | $ | 2,732 | $ | 14 | $ | 19 | $ | 2,727 | |||||||
Residential mortgage-backed securities (a) | 9,493 | 22 | 197 | 9,318 | |||||||||||
Total investment securities available-for-sale | $ | 12,225 | $ | 36 | $ | 216 | $ | 12,045 |
Less than 12 Months | 12 Months or more | Total | |||||||||||||||||||||||||||||||||
(in millions) | Fair Value | Unrealized Losses | Fair Value | Unrealized Losses | Fair Value | Unrealized Losses | |||||||||||||||||||||||||||||
December 31, 2021 | |||||||||||||||||||||||||||||||||||
U.S. Treasury securities | $ | 465 | $ | 6 | $ | 1,334 | $ | 33 | $ | 1,799 | $ | 39 | |||||||||||||||||||||||
Residential mortgage-backed securities (a) | 7,197 | 128 | 1,128 | 48 | 8,325 | 176 | |||||||||||||||||||||||||||||
Commercial mortgage-backed securities (a) | 346 | 6 | — | — | 346 | 6 | |||||||||||||||||||||||||||||
Total temporarily impaired securities | $ | 8,008 | $ | 140 | $ | 2,462 | $ | 81 | $ | 10,470 | $ | 221 | |||||||||||||||||||||||
December 31, 2020 | |||||||||||||||||||||||||||||||||||
U.S. Treasury securities | $ | 1,119 | $ | 1 | $ | — | $ | — | $ | 1,119 | $ | 1 | |||||||||||||||||||||||
Residential mortgage-backed securities (a) | 952 | 2 | — | — | 952 | 2 | |||||||||||||||||||||||||||||
Total temporarily impaired securities | $ | 2,071 | $ | 3 | $ | — | $ | — | $ | 2,071 | $ | 3 |
Temporarily Impaired | |||||||||||||||||||||||||
Less than 12 Months | 12 Months or more | Total | |||||||||||||||||||||||
(in millions) | Fair Value | Unrealized Losses | Fair Value | Unrealized Losses | Fair Value | Unrealized Losses | |||||||||||||||||||
December 31, 2019 | |||||||||||||||||||||||||
Residential mortgage-backed securities (a) | $ | 1,494 | $ | 7 | $ | 1,906 | $ | 21 | $ | 3,400 | $ | 28 | |||||||||||||
Total temporarily impaired securities | $ | 1,494 | $ | 7 | $ | 1,906 | $ | 21 | $ | 3,400 | $ | 28 | |||||||||||||
December 31, 2018 | |||||||||||||||||||||||||
U.S. Treasury and other U.S. government agency securities | $ | — | $ | — | $ | 1,457 | $ | 19 | $ | 1,457 | $ | 19 | |||||||||||||
Residential mortgage-backed securities (a) | 1,008 | 9 | 6,412 | 188 | 7,420 | 197 | |||||||||||||||||||
Total temporarily impaired securities | $ | 1,008 | $ | 9 | $ | 7,869 | $ | 207 | $ | 8,877 | $ | 216 |
(in millions) | |||||||
Year Ended December 31 | 2019 | 2018 | |||||
Securities gains | $ | 1 | $ | 2 | |||
Securities losses | (8 | ) | (21 | ) | |||
Net securities losses | $ | (7 | ) | $ | (19 | ) |
(in millions) | |||||||||||||||||||||||||||||
Year Ended December 31 | 2021 | 2020 | 2019 | ||||||||||||||||||||||||||
Securities gains | $ | — | $ | 1 | $ | 1 | |||||||||||||||||||||||
Securities losses | — | (1) | (8) | ||||||||||||||||||||||||||
Net securities losses | $ | — | $ | — | $ | (7) |
(in millions) | |||||||
December 31, 2019 | Amortized Cost | Fair Value | |||||
Contractual maturity | |||||||
Within one year | $ | 30 | $ | 30 | |||
After one year through five years | 2,842 | 2,894 | |||||
After five years through ten years | 1,006 | 1,013 | |||||
After ten years | 8,435 | 8,461 | |||||
Total investment securities | $ | 12,313 | $ | 12,398 |
(in millions) | ||||||||||||||||||||
December 31, 2021 | Amortized Cost | Fair Value | ||||||||||||||||||
Contractual maturity | ||||||||||||||||||||
Within one year | $ | 170 | $ | 172 | ||||||||||||||||
After one year through five years | 3,098 | 3,088 | ||||||||||||||||||
After five years through ten years | 1,290 | 1,297 | ||||||||||||||||||
After ten years | 12,558 | 12,429 | ||||||||||||||||||
Total investment securities | $ | 17,116 | $ | 16,986 |
Loans Past Due and Still Accruing | ||||||||||||||||||||||||||||||||||||||||||||
(in millions) | 30-59 Days | 60-89 Days | 90 Days or More | Total | Nonaccrual Loans | Current Loans (a) | Total Loans | |||||||||||||||||||||||||||||||||||||
December 31, 2021 | ||||||||||||||||||||||||||||||||||||||||||||
Business loans: | ||||||||||||||||||||||||||||||||||||||||||||
Commercial | $ | 35 | $ | 18 | $ | 6 | $ | 59 | $ | 173 | $ | 29,134 | $ | 29,366 | ||||||||||||||||||||||||||||||
Real estate construction: | ||||||||||||||||||||||||||||||||||||||||||||
Commercial Real Estate business line (b) | — | — | — | — | — | 2,391 | 2,391 | |||||||||||||||||||||||||||||||||||||
Other business lines (c) | 15 | 1 | — | 16 | 6 | 535 | 557 | |||||||||||||||||||||||||||||||||||||
Total real estate construction | 15 | 1 | — | 16 | 6 | 2,926 | 2,948 | |||||||||||||||||||||||||||||||||||||
Commercial mortgage: | ||||||||||||||||||||||||||||||||||||||||||||
Commercial Real Estate business line (b) | — | — | — | — | 1 | 3,337 | 3,338 | |||||||||||||||||||||||||||||||||||||
Other business lines (c) | 18 | 4 | 16 | 38 | 31 | 7,848 | 7,917 | |||||||||||||||||||||||||||||||||||||
Total commercial mortgage | 18 | 4 | 16 | 38 | 32 | 11,185 | 11,255 | |||||||||||||||||||||||||||||||||||||
Lease financing | 5 | — | — | 5 | — | 635 | 640 | |||||||||||||||||||||||||||||||||||||
International | 5 | 8 | 1 | 14 | 5 | 1,189 | 1,208 | |||||||||||||||||||||||||||||||||||||
Total business loans | 78 | 31 | 23 | 132 | 216 | 45,069 | 45,417 | |||||||||||||||||||||||||||||||||||||
Retail loans: | ||||||||||||||||||||||||||||||||||||||||||||
Residential mortgage | 4 | — | — | 4 | 36 | 1,731 | 1,771 | |||||||||||||||||||||||||||||||||||||
Consumer: | ||||||||||||||||||||||||||||||||||||||||||||
Home equity | 4 | 3 | — | 7 | 12 | 1,514 | 1,533 | |||||||||||||||||||||||||||||||||||||
Other consumer | 32 | 1 | 4 | 37 | — | 527 | 564 | |||||||||||||||||||||||||||||||||||||
Total consumer | 36 | 4 | 4 | 44 | 12 | 2,041 | 2,097 | |||||||||||||||||||||||||||||||||||||
Total retail loans | 40 | 4 | 4 | 48 | 48 | 3,772 | 3,868 | |||||||||||||||||||||||||||||||||||||
Total loans | $ | 118 | $ | 35 | $ | 27 | $ | 180 | $ | 264 | $ | 48,841 | $ | 49,285 | ||||||||||||||||||||||||||||||
December 31, 2020 | ||||||||||||||||||||||||||||||||||||||||||||
Business loans: | ||||||||||||||||||||||||||||||||||||||||||||
Commercial | $ | 62 | $ | 115 | $ | 33 | $ | 210 | $ | 252 | $ | 32,291 | $ | 32,753 | ||||||||||||||||||||||||||||||
Real estate construction: | ||||||||||||||||||||||||||||||||||||||||||||
Commercial Real Estate business line (b) | 31 | — | — | 31 | — | 3,626 | 3,657 | |||||||||||||||||||||||||||||||||||||
Other business lines (c) | 9 | — | — | 9 | 1 | 415 | 425 | |||||||||||||||||||||||||||||||||||||
Total real estate construction | 40 | — | — | 40 | 1 | 4,041 | 4,082 | |||||||||||||||||||||||||||||||||||||
Commercial mortgage: | ||||||||||||||||||||||||||||||||||||||||||||
Commercial Real Estate business line (b) | 51 | 1 | — | 52 | 3 | 2,218 | 2,273 | |||||||||||||||||||||||||||||||||||||
Other business lines (c) | 48 | 40 | 5 | 93 | 26 | 7,520 | 7,639 | |||||||||||||||||||||||||||||||||||||
Total commercial mortgage | 99 | 41 | 5 | 145 | 29 | 9,738 | 9,912 | |||||||||||||||||||||||||||||||||||||
Lease financing | 14 | — | 1 | 15 | 1 | 578 | 594 | |||||||||||||||||||||||||||||||||||||
International | — | — | — | — | — | 926 | 926 | |||||||||||||||||||||||||||||||||||||
Total business loans | 215 | 156 | 39 | 410 | 283 | 47,574 | 48,267 | |||||||||||||||||||||||||||||||||||||
Retail loans: | ||||||||||||||||||||||||||||||||||||||||||||
Residential mortgage | 11 | 4 | — | 15 | 47 | 1,768 | 1,830 | |||||||||||||||||||||||||||||||||||||
Consumer: | ||||||||||||||||||||||||||||||||||||||||||||
Home equity | 7 | 1 | — | 8 | 17 | 1,563 | 1,588 | |||||||||||||||||||||||||||||||||||||
Other consumer | 10 | — | 6 | 16 | — | 590 | 606 | |||||||||||||||||||||||||||||||||||||
Total consumer | 17 | 1 | 6 | 24 | 17 | 2,153 | 2,194 | |||||||||||||||||||||||||||||||||||||
Total retail loans | 28 | 5 | 6 | 39 | 64 | 3,921 | 4,024 | |||||||||||||||||||||||||||||||||||||
Total loans | $ | 243 | $ | 161 | $ | 45 | $ | 449 | $ | 347 | $ | 51,495 | $ | 52,291 |
Loans Past Due and Still Accruing | |||||||||||||||||||||||||||
(in millions) | 30-59 Days | 60-89 Days | 90 Days or More | Total | Nonaccrual Loans | Current Loans | Total Loans | ||||||||||||||||||||
December 31, 2019 | |||||||||||||||||||||||||||
Business loans: | |||||||||||||||||||||||||||
Commercial | $ | 27 | $ | 7 | $ | 17 | $ | 51 | $ | 148 | $ | 31,274 | $ | 31,473 | |||||||||||||
Real estate construction: | |||||||||||||||||||||||||||
Commercial Real Estate business line (a) | 6 | — | — | 6 | — | 3,038 | 3,044 | ||||||||||||||||||||
Other business lines (b) | — | 7 | — | 7 | — | 404 | 411 | ||||||||||||||||||||
Total real estate construction | 6 | 7 | — | 13 | — | 3,442 | 3,455 | ||||||||||||||||||||
Commercial mortgage: | |||||||||||||||||||||||||||
Commercial Real Estate business line (a) | 9 | — | — | 9 | 2 | 2,165 | 2,176 | ||||||||||||||||||||
Other business lines (b) | 16 | 18 | 9 | 43 | 12 | 7,328 | 7,383 | ||||||||||||||||||||
Total commercial mortgage | 25 | 18 | 9 | 52 | 14 | 9,493 | 9,559 | ||||||||||||||||||||
Lease financing | 1 | — | — | 1 | — | 587 | 588 | ||||||||||||||||||||
International | — | 5 | — | 5 | — | 1,004 | 1,009 | ||||||||||||||||||||
Total business loans | 59 | 37 | 26 | 122 | 162 | 45,800 | 46,084 | ||||||||||||||||||||
Retail loans: | |||||||||||||||||||||||||||
Residential mortgage | 15 | 2 | — | 17 | 20 | 1,808 | 1,845 | ||||||||||||||||||||
Consumer: | |||||||||||||||||||||||||||
Home equity | 4 | 5 | — | 9 | 17 | 1,685 | 1,711 | ||||||||||||||||||||
Other consumer | 2 | 3 | — | 5 | — | 724 | 729 | ||||||||||||||||||||
Total consumer | 6 | 8 | — | 14 | 17 | 2,409 | 2,440 | ||||||||||||||||||||
Total retail loans | 21 | 10 | — | 31 | 37 | 4,217 | 4,285 | ||||||||||||||||||||
Total loans | $ | 80 | $ | 47 | $ | 26 | $ | 153 | $ | 199 | $ | 50,017 | $ | 50,369 | |||||||||||||
December 31, 2018 | |||||||||||||||||||||||||||
Business loans: | |||||||||||||||||||||||||||
Commercial | $ | 34 | $ | 26 | $ | 8 | $ | 68 | $ | 141 | $ | 31,767 | $ | 31,976 | |||||||||||||
Real estate construction: | |||||||||||||||||||||||||||
Commercial Real Estate business line (a) | 6 | — | — | 6 | — | 2,681 | 2,687 | ||||||||||||||||||||
Other business lines (b) | 6 | — | — | 6 | — | 384 | 390 | ||||||||||||||||||||
Total real estate construction | 12 | — | — | 12 | — | 3,065 | 3,077 | ||||||||||||||||||||
Commercial mortgage: | |||||||||||||||||||||||||||
Commercial Real Estate business line (a) | 4 | — | — | 4 | 2 | 1,737 | 1,743 | ||||||||||||||||||||
Other business lines (b) | 32 | 5 | 8 | 45 | 18 | 7,300 | 7,363 | ||||||||||||||||||||
Total commercial mortgage | 36 | 5 | 8 | 49 | 20 | 9,037 | 9,106 | ||||||||||||||||||||
Lease financing | — | — | — | — | 2 | 505 | 507 | ||||||||||||||||||||
International | — | — | — | — | 3 | 1,010 | 1,013 | ||||||||||||||||||||
Total business loans | 82 | 31 | 16 | 129 | 166 | 45,384 | 45,679 | ||||||||||||||||||||
Retail loans: | |||||||||||||||||||||||||||
Residential mortgage | 11 | 3 | — | 14 | 36 | 1,920 | 1,970 | ||||||||||||||||||||
Consumer: | |||||||||||||||||||||||||||
Home equity | 4 | 1 | — | 5 | 19 | 1,741 | 1,765 | ||||||||||||||||||||
Other consumer | 1 | — | — | 1 | — | 748 | 749 | ||||||||||||||||||||
Total consumer | 5 | 1 | — | 6 | 19 | 2,489 | 2,514 | ||||||||||||||||||||
Total retail loans | 16 | 4 | — | 20 | 55 | 4,409 | 4,484 | ||||||||||||||||||||
Total loans | $ | 98 | $ | 35 | $ | 16 | $ | 149 | $ | 221 | $ | 49,793 | $ | 50,163 |
December 31, 2021 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Vintage Year | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
(in millions) | 2021 | 2020 | 2019 | 2018 | 2017 | Prior | Revolvers | Revolvers Converted to Term | Total | ||||||||||||||||||||||||||||||||||||||||||||||||||
Business loans: | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Commercial: | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Pass (a) | $ | 5,270 | (b) | $ | 1,740 | (b) | $ | 1,528 | $ | 947 | $ | 713 | $ | 763 | $ | 17,241 | $ | 10 | $ | 28,212 | |||||||||||||||||||||||||||||||||||||||
Criticized (c) | 101 | 120 | 105 | 86 | 26 | 94 | 620 | 2 | 1,154 | ||||||||||||||||||||||||||||||||||||||||||||||||||
Total commercial | 5,371 | 1,860 | 1,633 | 1,033 | 739 | 857 | 17,861 | 12 | 29,366 | ||||||||||||||||||||||||||||||||||||||||||||||||||
Real estate construction | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Pass (a) | 458 | 858 | 849 | 424 | 158 | 34 | 132 | — | 2,913 | ||||||||||||||||||||||||||||||||||||||||||||||||||
Criticized (c) | — | 3 | — | 13 | 8 | 8 | 3 | — | 35 | ||||||||||||||||||||||||||||||||||||||||||||||||||
Total real estate construction | 458 | 861 | 849 | 437 | 166 | 42 | 135 | — | 2,948 | ||||||||||||||||||||||||||||||||||||||||||||||||||
Commercial mortgage | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Pass (a) | 2,491 | 1,932 | 1,444 | 1,343 | 1,018 | 2,298 | 481 | — | 11,007 | ||||||||||||||||||||||||||||||||||||||||||||||||||
Criticized (c) | 17 | 44 | 50 | 22 | 23 | 87 | 5 | — | 248 | ||||||||||||||||||||||||||||||||||||||||||||||||||
Total commercial mortgage | 2,508 | 1,976 | 1,494 | 1,365 | 1,041 | 2,385 | 486 | — | 11,255 | ||||||||||||||||||||||||||||||||||||||||||||||||||
Lease financing | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Pass (a) | 166 | 88 | 97 | 50 | 38 | 179 | — | — | 618 | ||||||||||||||||||||||||||||||||||||||||||||||||||
Criticized (c) | — | 2 | 10 | 8 | 1 | 1 | — | — | 22 | ||||||||||||||||||||||||||||||||||||||||||||||||||
Total lease financing | 166 | 90 | 107 | 58 | 39 | 180 | — | — | 640 | ||||||||||||||||||||||||||||||||||||||||||||||||||
International | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Pass (a) | 381 | 141 | 103 | 29 | 1 | 16 | 480 | — | 1,151 | ||||||||||||||||||||||||||||||||||||||||||||||||||
Criticized (c) | 20 | 10 | 3 | 5 | 4 | 8 | 7 | — | 57 | ||||||||||||||||||||||||||||||||||||||||||||||||||
Total international | 401 | 151 | 106 | 34 | 5 | 24 | 487 | — | 1,208 | ||||||||||||||||||||||||||||||||||||||||||||||||||
Total business loans | 8,904 | 4,938 | 4,189 | 2,927 | 1,990 | 3,488 | 18,969 | 12 | 45,417 | ||||||||||||||||||||||||||||||||||||||||||||||||||
Retail loans: | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Residential mortgage | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Pass (a) | 443 | 527 | 164 | 83 | 111 | 407 | — | — | 1,735 | ||||||||||||||||||||||||||||||||||||||||||||||||||
Criticized (c) | 5 | — | 1 | 2 | 7 | 21 | — | — | 36 | ||||||||||||||||||||||||||||||||||||||||||||||||||
Total residential mortgage | 448 | 527 | 165 | 85 | 118 | 428 | — | — | 1,771 | ||||||||||||||||||||||||||||||||||||||||||||||||||
Consumer: | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Home equity | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Pass (a) | — | — | — | — | — | 11 | 1,460 | 45 | 1,516 | ||||||||||||||||||||||||||||||||||||||||||||||||||
Criticized (c) | — | — | — | — | — | 1 | 12 | 4 | 17 | ||||||||||||||||||||||||||||||||||||||||||||||||||
Total home equity | — | — | — | — | — | 12 | 1,472 | 49 | 1,533 | ||||||||||||||||||||||||||||||||||||||||||||||||||
Other consumer | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Pass (a) | 101 | 68 | 13 | 9 | 1 | 31 | 337 | — | 560 | ||||||||||||||||||||||||||||||||||||||||||||||||||
Criticized (c) | — | — | — | — | — | — | 4 | — | 4 | ||||||||||||||||||||||||||||||||||||||||||||||||||
Total other consumer | 101 | 68 | 13 | 9 | 1 | 31 | 341 | — | 564 | ||||||||||||||||||||||||||||||||||||||||||||||||||
Total consumer | 101 | 68 | 13 | 9 | 1 | 43 | 1,813 | 49 | 2,097 | ||||||||||||||||||||||||||||||||||||||||||||||||||
Total retail loans | 549 | 595 | 178 | 94 | 119 | 471 | 1,813 | 49 | 3,868 | ||||||||||||||||||||||||||||||||||||||||||||||||||
Total loans | $ | 9,453 | $ | 5,533 | $ | 4,367 | $ | 3,021 | $ | 2,109 | $ | 3,959 | $ | 20,782 | $ | 61 | $ | 49,285 | |||||||||||||||||||||||||||||||||||||||||
Table continues on the following page. |
Internally Assigned Rating | |||||||||||||||||||
(in millions) | Pass (a) | Special Mention (b) | Substandard (c) | Nonaccrual (d) | Total | ||||||||||||||
December 31, 2019 | |||||||||||||||||||
Business loans: | |||||||||||||||||||
Commercial | $ | 29,785 | $ | 841 | $ | 699 | $ | 148 | $ | 31,473 | |||||||||
Real estate construction: | |||||||||||||||||||
Commercial Real Estate business line (e) | 3,013 | 19 | 12 | — | 3,044 | ||||||||||||||
Other business lines (f) | 411 | — | — | — | 411 | ||||||||||||||
Total real estate construction | 3,424 | 19 | 12 | — | 3,455 | ||||||||||||||
Commercial mortgage: | |||||||||||||||||||
Commercial Real Estate business line (e) | 2,121 | 12 | 41 | 2 | 2,176 | ||||||||||||||
Other business lines (f) | 7,141 | 147 | 83 | 12 | 7,383 | ||||||||||||||
Total commercial mortgage | 9,262 | 159 | 124 | 14 | 9,559 | ||||||||||||||
Lease financing | 579 | 7 | 2 | — | 588 | ||||||||||||||
International | 972 | 29 | 8 | — | 1,009 | ||||||||||||||
Total business loans | 44,022 | 1,055 | 845 | 162 | 46,084 | ||||||||||||||
Retail loans: | |||||||||||||||||||
Residential mortgage | 1,823 | 2 | — | 20 | 1,845 | ||||||||||||||
Consumer: | |||||||||||||||||||
Home equity | 1,682 | 1 | 11 | 17 | 1,711 | ||||||||||||||
Other consumer | 722 | 6 | 1 | — | 729 | ||||||||||||||
Total consumer | 2,404 | 7 | 12 | 17 | 2,440 | ||||||||||||||
Total retail loans | 4,227 | 9 | 12 | 37 | 4,285 | ||||||||||||||
Total loans | $ | 48,249 | $ | 1,064 | $ | 857 | $ | 199 | $ | 50,369 | |||||||||
December 31, 2018 | |||||||||||||||||||
Business loans: | |||||||||||||||||||
Commercial | $ | 30,817 | $ | 464 | $ | 554 | $ | 141 | $ | 31,976 | |||||||||
Real estate construction: | |||||||||||||||||||
Commercial Real Estate business line (e) | 2,664 | 23 | — | — | 2,687 | ||||||||||||||
Other business lines (f) | 382 | 8 | — | — | 390 | ||||||||||||||
Total real estate construction | 3,046 | 31 | — | — | 3,077 | ||||||||||||||
Commercial mortgage: | |||||||||||||||||||
Commercial Real Estate business line (e) | 1,682 | 14 | 45 | 2 | 1,743 | ||||||||||||||
Other business lines (f) | 7,157 | 118 | 70 | 18 | 7,363 | ||||||||||||||
Total commercial mortgage | 8,839 | 132 | 115 | 20 | 9,106 | ||||||||||||||
Lease financing | 500 | 3 | 2 | 2 | 507 | ||||||||||||||
International | 996 | 4 | 10 | 3 | 1,013 | ||||||||||||||
Total business loans | 44,198 | 634 | 681 | 166 | 45,679 | ||||||||||||||
Retail loans: | |||||||||||||||||||
Residential mortgage | 1,931 | 3 | — | 36 | 1,970 | ||||||||||||||
Consumer: | |||||||||||||||||||
Home equity | 1,738 | — | 8 | 19 | 1,765 | ||||||||||||||
Other consumer | 748 | 1 | — | — | 749 | ||||||||||||||
Total consumer | 2,486 | 1 | 8 | 19 | 2,514 | ||||||||||||||
Total retail loans | 4,417 | 4 | 8 | 55 | 4,484 | ||||||||||||||
Total loans | $ | 48,615 | $ | 638 | $ | 689 | $ | 221 | $ | 50,163 |
December 31, 2020 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Vintage Year | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
2020 | 2019 | 2018 | 2017 | 2016 | Prior | Revolvers | Revolvers Converted to Term | Total | |||||||||||||||||||||||||||||||||||||||||||||||||||
Business loans: | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Commercial: | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Pass (a) | $ | 5,991 | (b) | $ | 2,316 | $ | 1,563 | $ | 1,051 | $ | 429 | $ | 755 | $ | 18,416 | $ | 17 | $ | 30,538 | ||||||||||||||||||||||||||||||||||||||||
Criticized (c) | 30 | 281 | 191 | 116 | 64 | 166 | 1,365 | 2 | 2,215 | ||||||||||||||||||||||||||||||||||||||||||||||||||
Total commercial | 6,021 | 2,597 | 1,754 | 1,167 | 493 | 921 | 19,781 | 19 | 32,753 | ||||||||||||||||||||||||||||||||||||||||||||||||||
Real estate construction: | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Pass (a) | 433 | 1,080 | 1,244 | 631 | 335 | 141 | 171 | — | 4,035 | ||||||||||||||||||||||||||||||||||||||||||||||||||
Criticized (c) | 3 | 28 | 5 | 8 | — | 1 | 2 | — | 47 | ||||||||||||||||||||||||||||||||||||||||||||||||||
Total real estate construction | 436 | 1,108 | 1,249 | 639 | 335 | 142 | 173 | — | 4,082 | ||||||||||||||||||||||||||||||||||||||||||||||||||
Commercial mortgage: | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Pass (a) | 2,053 | 1,559 | 1,146 | 1,120 | 818 | 2,272 | 431 | — | 9,399 | ||||||||||||||||||||||||||||||||||||||||||||||||||
Criticized (c) | 47 | 130 | 42 | 45 | 41 | 193 | 15 | — | 513 | ||||||||||||||||||||||||||||||||||||||||||||||||||
Total commercial mortgage | 2,100 | 1,689 | 1,188 | 1,165 | 859 | 2,465 | 446 | — | 9,912 | ||||||||||||||||||||||||||||||||||||||||||||||||||
Lease financing | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Pass (a) | 109 | 122 | 71 | 50 | 14 | 201 | — | — | 567 | ||||||||||||||||||||||||||||||||||||||||||||||||||
Criticized (c) | 2 | 17 | 5 | 2 | 1 | — | — | — | 27 | ||||||||||||||||||||||||||||||||||||||||||||||||||
Total lease financing | 111 | 139 | 76 | 52 | 15 | 201 | — | — | 594 | ||||||||||||||||||||||||||||||||||||||||||||||||||
International | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Pass (a) | 274 | 161 | 103 | 11 | 3 | 64 | 245 | — | 861 | ||||||||||||||||||||||||||||||||||||||||||||||||||
Criticized (c) | 13 | 8 | 18 | 4 | 7 | 2 | 13 | — | 65 | ||||||||||||||||||||||||||||||||||||||||||||||||||
Total international | 287 | 169 | 121 | 15 | 10 | 66 | 258 | — | 926 | ||||||||||||||||||||||||||||||||||||||||||||||||||
Total business loans | 8,955 | 5,702 | 4,388 | 3,038 | 1,712 | 3,795 | 20,658 | 19 | 48,267 | ||||||||||||||||||||||||||||||||||||||||||||||||||
Retail loans: | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Residential mortgage | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Pass (a) | 639 | 230 | 119 | 197 | 196 | 398 | — | — | 1,779 | ||||||||||||||||||||||||||||||||||||||||||||||||||
Criticized (c) | 7 | 2 | 2 | 6 | 2 | 32 | — | — | 51 | ||||||||||||||||||||||||||||||||||||||||||||||||||
Total residential mortgage | 646 | 232 | 121 | 203 | 198 | 430 | — | — | 1,830 | ||||||||||||||||||||||||||||||||||||||||||||||||||
Consumer: | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Home equity | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Pass (a) | — | — | — | — | — | 15 | 1,489 | 63 | 1,567 | ||||||||||||||||||||||||||||||||||||||||||||||||||
Criticized (c) | — | — | — | — | — | 1 | 13 | 7 | 21 | ||||||||||||||||||||||||||||||||||||||||||||||||||
Total home equity | — | — | — | — | — | 16 | 1,502 | 70 | 1,588 | ||||||||||||||||||||||||||||||||||||||||||||||||||
Other consumer | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Pass (a) | 113 | 23 | 12 | 2 | 3 | 41 | 404 | — | 598 | ||||||||||||||||||||||||||||||||||||||||||||||||||
Criticized (c) | — | — | 2 | — | — | — | 6 | — | 8 | ||||||||||||||||||||||||||||||||||||||||||||||||||
Total other consumer | 113 | 23 | 14 | 2 | 3 | 41 | 410 | — | 606 | ||||||||||||||||||||||||||||||||||||||||||||||||||
Total consumer | 113 | 23 | 14 | 2 | 3 | 57 | 1,912 | 70 | 2,194 | ||||||||||||||||||||||||||||||||||||||||||||||||||
Total retail loans | 759 | 255 | 135 | 205 | 201 | 487 | 1,912 | 70 | 4,024 | ||||||||||||||||||||||||||||||||||||||||||||||||||
Total loans | $ | 9,714 | $ | 5,957 | $ | 4,523 | $ | 3,243 | $ | 1,913 | $ | 4,282 | $ | 22,570 | $ | 89 | $ | 52,291 |
2021 | 2020 | 2019 | |||||||||||||||||||||||||||||||||||||||||||||||||||
(in millions) | Business Loans | Retail Loans | Total | Business Loans | Retail Loans | Total | Business Loans | Retail Loans | Total | ||||||||||||||||||||||||||||||||||||||||||||
Years Ended December 31, | |||||||||||||||||||||||||||||||||||||||||||||||||||||
Balance at beginning of period: | |||||||||||||||||||||||||||||||||||||||||||||||||||||
Allowance for loan losses | $ | 895 | $ | 53 | $ | 948 | $ | 601 | $ | 36 | $ | 637 | $ | 627 | $ | 44 | $ | 671 | |||||||||||||||||||||||||||||||||||
Allowance for credit losses on lending-related commitments | 35 | 9 | 44 | 28 | 3 | 31 | 26 | 4 | 30 | ||||||||||||||||||||||||||||||||||||||||||||
Allowance for credit losses | 930 | 62 | 992 | 629 | 39 | 668 | 653 | 48 | 701 | ||||||||||||||||||||||||||||||||||||||||||||
Cumulative effect of change in accounting principle | — | — | — | (42) | 25 | (17) | — | — | — | ||||||||||||||||||||||||||||||||||||||||||||
Loan charge-offs | (67) | (3) | (70) | (233) | (5) | (238) | (147) | (5) | (152) | ||||||||||||||||||||||||||||||||||||||||||||
Recoveries on loans previously charged-off | 76 | 4 | 80 | 38 | 4 | 42 | 40 | 5 | 45 | ||||||||||||||||||||||||||||||||||||||||||||
Net loan recoveries (charge-offs) | 9 | 1 | 10 | (195) | (1) | (196) | (107) | — | (107) | ||||||||||||||||||||||||||||||||||||||||||||
Provision for credit losses: | |||||||||||||||||||||||||||||||||||||||||||||||||||||
Provision for loan losses | (373) | 3 | (370) | 531 | (7) | 524 | 81 | (8) | 73 | ||||||||||||||||||||||||||||||||||||||||||||
Provision for credit losses on lending-related commitments | (11) | (3) | (14) | 7 | 6 | 13 | 2 | (1) | 1 | ||||||||||||||||||||||||||||||||||||||||||||
Provision for credit losses | (384) | — | (384) | 538 | (1) | 537 | 83 | (9) | 74 | ||||||||||||||||||||||||||||||||||||||||||||
Balance at end of period: | |||||||||||||||||||||||||||||||||||||||||||||||||||||
Allowance for loan losses | 531 | 57 | 588 | 895 | 53 | 948 | 601 | 36 | 637 | ||||||||||||||||||||||||||||||||||||||||||||
Allowance for credit losses on lending-related commitments | 24 | 6 | 30 | 35 | 9 | 44 | 28 | 3 | 31 | ||||||||||||||||||||||||||||||||||||||||||||
Allowance for credit losses | $ | 555 | $ | 63 | $ | 618 | $ | 930 | $ | 62 | $ | 992 | $ | 629 | $ | 39 | $ | 668 | |||||||||||||||||||||||||||||||||||
Allowance for loan losses as a percentage of total loans | 1.17 | % | 1.47 | % | 1.19 | % | 1.85 | % | 1.32 | % | 1.81 | % | 1.30 | % | 0.84 | % | 1.27 | % | |||||||||||||||||||||||||||||||||||
Allowance for loan losses as a percentage of total loans excluding PPP loans | 1.18 | n/a | 1.20 | 2.00 | n/a | 1.94 | n/a | n/a | n/a | ||||||||||||||||||||||||||||||||||||||||||||
Allowance for credit losses as a percentage of total loans | 1.22 | 1.63 | 1.26 | 1.93 | 1.55 | 1.90 | 1.37 | 0.91 | 1.33 | ||||||||||||||||||||||||||||||||||||||||||||
Allowance for credit losses as a percentage of total loans excluding PPP loans | 1.24 | n/a | 1.27 | 2.08 | n/a | 2.03 | n/a | n/a | n/a |
(in millions) | December 31, 2019 | December 31, 2018 | |||||
Nonaccrual loans | $ | 199 | $ | 221 | |||
Reduced-rate loans (a) | 5 | 8 | |||||
Total nonperforming loans | 204 | 229 | |||||
Foreclosed property | 11 | 1 | |||||
Total nonperforming assets | $ | 215 | $ | 230 |
(in millions) | Nonaccrual Loans with No Related Allowance | Nonaccrual Loans with Related Allowance | Total Nonaccrual Loans | ||||||||||||||
December 31, 2021 | |||||||||||||||||
Business loans: | |||||||||||||||||
Commercial | $ | 8 | $ | 165 | $ | 173 | |||||||||||
Real estate construction: | |||||||||||||||||
Other business lines (a) | — | 6 | 6 | ||||||||||||||
Commercial mortgage: | |||||||||||||||||
Commercial Real Estate business line (b) | — | 1 | 1 | ||||||||||||||
Other business lines (a) | 4 | 27 | 31 | ||||||||||||||
Total commercial mortgage | 4 | 28 | 32 | ||||||||||||||
International | — | 5 | 5 | ||||||||||||||
Total business loans | 12 | 204 | 216 | ||||||||||||||
Retail loans: | |||||||||||||||||
Residential mortgage | 36 | — | 36 | ||||||||||||||
Consumer: | |||||||||||||||||
Home equity | 12 | — | 12 | ||||||||||||||
Total retail loans | 48 | — | 48 | ||||||||||||||
Total nonaccrual loans | $ | 60 | $ | 204 | $ | 264 | |||||||||||
December 31, 2020 | |||||||||||||||||
Business loans: | |||||||||||||||||
Commercial | $ | 57 | $ | 195 | $ | 252 | |||||||||||
Real estate construction: | |||||||||||||||||
Other business lines (a) | — | 1 | 1 | ||||||||||||||
Commercial mortgage: | |||||||||||||||||
Commercial Real Estate business line (b) | 1 | 2 | 3 | ||||||||||||||
Other business lines (a) | 5 | 21 | 26 | ||||||||||||||
Total commercial mortgage | 6 | 23 | 29 | ||||||||||||||
Lease financing | — | 1 | 1 | ||||||||||||||
Total business loans | 63 | 220 | 283 | ||||||||||||||
Retail loans: | |||||||||||||||||
Residential mortgage | 47 | — | 47 | ||||||||||||||
Consumer: | |||||||||||||||||
Home equity | 17 | — | 17 | ||||||||||||||
Total retail loans | 64 | — | 64 | ||||||||||||||
Total nonaccrual loans | $ | 127 | $ | 220 | $ | 347 |
2019 | 2018 | 2017 | ||||||||||||||||||||||||||||||
(dollar amounts in millions) | Business Loans | Retail Loans | Total | Business Loans | Retail Loans | Total | Business Loans | Retail Loans | Total | |||||||||||||||||||||||
Years Ended December 31 | ||||||||||||||||||||||||||||||||
Allowance for loan losses: | ||||||||||||||||||||||||||||||||
Balance at beginning of period | $ | 627 | $ | 44 | $ | 671 | $ | 661 | $ | 51 | $ | 712 | $ | 682 | $ | 48 | $ | 730 | ||||||||||||||
Loan charge-offs | (147 | ) | (5 | ) | (152 | ) | (99 | ) | (4 | ) | (103 | ) | (143 | ) | (6 | ) | (149 | ) | ||||||||||||||
Recoveries on loans previously charged-off | 40 | 5 | 45 | 47 | 5 | 52 | 50 | 7 | 57 | |||||||||||||||||||||||
Net loan (charge-offs) recoveries | (107 | ) | — | (107 | ) | (52 | ) | 1 | (51 | ) | (93 | ) | 1 | (92 | ) | |||||||||||||||||
Provision for loan losses | 81 | (8 | ) | 73 | 19 | (8 | ) | 11 | 71 | 2 | 73 | |||||||||||||||||||||
Foreign currency translation adjustment | — | — | — | (1 | ) | — | (1 | ) | 1 | — | 1 | |||||||||||||||||||||
Balance at end of period | $ | 601 | $ | 36 | $ | 637 | $ | 627 | $ | 44 | $ | 671 | $ | 661 | $ | 51 | $ | 712 | ||||||||||||||
As a percentage of total loans | 1.30 | % | 0.84 | % | 1.27 | % | 1.37 | % | 0.97 | % | 1.34 | % | 1.48 | % | 1.12 | % | 1.45 | % | ||||||||||||||
December 31 | ||||||||||||||||||||||||||||||||
Allowance for loan losses: | ||||||||||||||||||||||||||||||||
Individually evaluated for impairment | $ | 31 | $ | — | $ | 31 | $ | 27 | $ | — | $ | 27 | $ | 67 | $ | — | $ | 67 | ||||||||||||||
Collectively evaluated for impairment | 570 | 36 | 606 | 600 | 44 | 644 | 594 | 51 | 645 | |||||||||||||||||||||||
Total allowance for loan losses | $ | 601 | $ | 36 | $ | 637 | $ | 627 | $ | 44 | $ | 671 | $ | 661 | $ | 51 | $ | 712 | ||||||||||||||
Loans: | ||||||||||||||||||||||||||||||||
Individually evaluated for impairment | $ | 199 | $ | 16 | $ | 215 | $ | 240 | $ | 36 | $ | 276 | $ | 443 | $ | 34 | $ | 477 | ||||||||||||||
Collectively evaluated for impairment | 45,885 | 4,269 | 50,154 | 45,439 | 4,448 | 49,887 | 44,188 | 4,508 | 48,696 | |||||||||||||||||||||||
Total loans evaluated for impairment | $ | 46,084 | $ | 4,285 | $ | 50,369 | $ | 45,679 | $ | 4,484 | $ | 50,163 | $ | 44,631 | $ | 4,542 | $ | 49,173 |
(in millions) | |||||||||||
Years Ended December 31 | 2019 | 2018 | 2017 | ||||||||
Balance at beginning of period | $ | 30 | $ | 42 | $ | 41 | |||||
Provision for credit losses on lending-related commitments | 1 | (12 | ) | 1 | |||||||
Balance at end of period | $ | 31 | $ | 30 | $ | 42 |
Recorded Investment In: | |||||||||||||||||||
(in millions) | Impaired Loans with No Related Allowance | Impaired Loans with Related Allowance | Total Impaired Loans | Unpaid Principal Balance | Related Allowance for Loan Losses | ||||||||||||||
December 31, 2019 | |||||||||||||||||||
Business loans: | |||||||||||||||||||
Commercial | $ | 30 | $ | 120 | $ | 150 | $ | 251 | $ | 30 | |||||||||
Commercial mortgage: | |||||||||||||||||||
Commercial Real Estate business line (a) | 39 | — | 39 | 49 | — | ||||||||||||||
Other business lines (b) | 1 | 9 | 10 | 15 | 1 | ||||||||||||||
Total commercial mortgage | 40 | 9 | 49 | 64 | 1 | ||||||||||||||
Total business loans | 70 | 129 | 199 | 315 | 31 | ||||||||||||||
Retail loans: | |||||||||||||||||||
Residential mortgage | 8 | — | 8 | 8 | — | ||||||||||||||
Consumer: | |||||||||||||||||||
Home equity | 8 | — | 8 | 10 | — | ||||||||||||||
Total retail loans (c) | 16 | — | 16 | 18 | — | ||||||||||||||
Total individually evaluated impaired loans | $ | 86 | $ | 129 | $ | 215 | $ | 333 | $ | 31 | |||||||||
December 31, 2018 | |||||||||||||||||||
Business loans: | |||||||||||||||||||
Commercial | $ | 50 | $ | 130 | $ | 180 | $ | 227 | $ | 24 | |||||||||
Commercial mortgage: | |||||||||||||||||||
Commercial Real Estate business line (a) | 39 | — | 39 | 49 | — | ||||||||||||||
Other business lines (b) | 2 | 16 | 18 | 23 | 3 | ||||||||||||||
Total commercial mortgage | 41 | 16 | 57 | 72 | 3 | ||||||||||||||
International | 2 | 1 | 3 | 8 | — | ||||||||||||||
Total business loans | 93 | 147 | 240 | 307 | 27 | ||||||||||||||
Retail loans: | |||||||||||||||||||
Residential mortgage | 16 | 8 | 24 | 25 | — | ||||||||||||||
Consumer: | |||||||||||||||||||
Home equity | 11 | — | 11 | 13 | — | ||||||||||||||
Other consumer | 1 | — | 1 | 1 | — | ||||||||||||||
Total consumer | 12 | — | 12 | 14 | — | ||||||||||||||
Total retail loans (c) | 28 | 8 | 36 | 39 | — | ||||||||||||||
Total individually evaluated impaired loans | $ | 121 | $ | 155 | $ | 276 | $ | 346 | $ | 27 |
Individually Evaluated Impaired Loans | |||||||||||||||||||||||
2019 | 2018 | 2017 | |||||||||||||||||||||
(in millions) | Average Balance for the Period | Interest Income Recognized for the Period | Average Balance for the Period | Interest Income Recognized for the Period | Average Balance for the Period | Interest Income Recognized for the Period | |||||||||||||||||
Years Ended December 31 | |||||||||||||||||||||||
Business loans: | |||||||||||||||||||||||
Commercial | $ | 156 | $ | 2 | $ | 262 | $ | 5 | $ | 451 | $ | 8 | |||||||||||
Commercial mortgage: | |||||||||||||||||||||||
Commercial Real Estate business line (a) | 39 | 3 | 40 | 4 | 21 | 2 | |||||||||||||||||
Other business lines (b) | 14 | 1 | 23 | — | 31 | — | |||||||||||||||||
Total commercial mortgage | 53 | 4 | 63 | 4 | 52 | 2 | |||||||||||||||||
Lease financing | 1 | — | — | — | — | — | |||||||||||||||||
International | 2 | — | 4 | — | 8 | — | |||||||||||||||||
Total business loans | 212 | 6 | 329 | 9 | 511 | 10 | |||||||||||||||||
Retail loans: | |||||||||||||||||||||||
Residential mortgage | 21 | 1 | 21 | — | 24 | — | |||||||||||||||||
Consumer: | |||||||||||||||||||||||
Home equity | 9 | — | 11 | — | 13 | — | |||||||||||||||||
Other consumer | — | — | 1 | — | 3 | — | |||||||||||||||||
Total consumer | 9 | — | 12 | — | 16 | — | |||||||||||||||||
Total retail loans | 30 | 1 | 33 | — | 40 | — | |||||||||||||||||
Total individually evaluated impaired loans | $ | 242 | $ | 7 | $ | 362 | $ | 9 | $ | 551 | $ | 10 |
2021 | 2020 | ||||||||||||||||||||||||||||
Type of Modification | Type of Modification | ||||||||||||||||||||||||||||
(in millions) | Principal Deferrals (a) | Interest Rate Reductions | Total Modifications | Principal Deferrals (a) | Interest Rate Reductions | Total Modifications | |||||||||||||||||||||||
Years Ended December 31, | |||||||||||||||||||||||||||||
Business loans: | |||||||||||||||||||||||||||||
Commercial | $ | 8 | $ | — | $ | 8 | $ | 18 | $ | — | $ | 18 | |||||||||||||||||
Commercial mortgage: | |||||||||||||||||||||||||||||
Other business lines (b) | — | — | — | 2 | — | 2 | |||||||||||||||||||||||
Total business loans | 8 | — | 8 | 20 | — | 20 | |||||||||||||||||||||||
Retail loans: | |||||||||||||||||||||||||||||
Consumer: | |||||||||||||||||||||||||||||
Home equity (c) | — | 2 | 2 | — | 2 | 2 | |||||||||||||||||||||||
Total retail loans | — | 2 | 2 | — | 2 | 2 | |||||||||||||||||||||||
Total loans | $ | 8 | $ | 2 | $ | 10 | $ | 20 | $ | 2 | $ | 22 |
2019 | 2018 | ||||||||||||||||||||
Type of Modification | Type of Modification | ||||||||||||||||||||
(in millions) | Principal Deferrals (a) | Interest Rate Reductions | Total Modifications | Principal Deferrals (a) | Interest Rate Reductions | Total Modifications | |||||||||||||||
Years Ended December 31 | |||||||||||||||||||||
Business loans: | |||||||||||||||||||||
Commercial | $ | 28 | $ | — | $ | 28 | $ | 27 | $ | — | $ | 27 | |||||||||
Commercial mortgage: | |||||||||||||||||||||
Other business lines (b) | — | — | — | 2 | — | 2 | |||||||||||||||
International | — | — | — | 1 | — | 1 | |||||||||||||||
Total business loans | 28 | — | 28 | 30 | — | 30 | |||||||||||||||
Retail loans: | |||||||||||||||||||||
Consumer: | |||||||||||||||||||||
Home equity (c) | — | 1 | 1 | — | 3 | 3 | |||||||||||||||
Total loans | $ | 28 | $ | 1 | $ | 29 | $ | 30 | $ | 3 | $ | 33 |
(in millions) | |||||||||||
December 31 | 2021 | 2020 | |||||||||
Real estate construction loans: | |||||||||||
Commercial Real Estate business line (a) | $ | 2,391 | $ | 3,657 | |||||||
Other business lines (b) | 557 | 425 | |||||||||
Total real estate construction loans | 2,948 | 4,082 | |||||||||
Commercial mortgage loans: | |||||||||||
Commercial Real Estate business line (a) | 3,338 | 2,273 | |||||||||
Other business lines (b) | 7,917 | 7,639 | |||||||||
Total commercial mortgage loans | 11,255 | 9,912 | |||||||||
Total commercial real estate loans | $ | 14,203 | $ | 13,994 | |||||||
Total unused commitments on commercial real estate loans | $ | 4,030 | $ | 3,272 |
(in millions) | |||||||||||
December 31 | 2021 | 2020 | |||||||||
Automotive loans: | |||||||||||
Production (a) | $ | 1,112 | $ | 1,093 | |||||||
Dealer | 4,162 | 5,692 | |||||||||
Total automotive loans | $ | 5,274 | $ | 6,785 | |||||||
Total automotive exposure: | |||||||||||
Production (a) | $ | 2,041 | $ | 2,267 | |||||||
Dealer | 10,665 | 9,653 | |||||||||
Total automotive exposure | $ | 12,706 | $ | 11,920 |
(in millions) | |||||||
December 31 | 2019 | 2018 | |||||
Automotive loans: | |||||||
Production | $ | 1,249 | $ | 1,331 | |||
Dealer | 7,414 | 8,097 | |||||
Total automotive loans | $ | 8,663 | $ | 9,428 | |||
Total automotive exposure: | |||||||
Production | $ | 2,358 | $ | 2,396 | |||
Dealer | 9,677 | 10,044 | |||||
Total automotive exposure | $ | 12,035 | $ | 12,440 |
(in millions) | |||||||
December 31 | 2019 | 2018 | |||||
Real estate construction loans: | |||||||
Commercial Real Estate business line (a) | $ | 3,044 | $ | 2,687 | |||
Other business lines (b) | 411 | 390 | |||||
Total real estate construction loans | 3,455 | 3,077 | |||||
Commercial mortgage loans: | |||||||
Commercial Real Estate business line (a) | 2,176 | 1,743 | |||||
Other business lines (b) | 7,383 | 7,363 | |||||
Total commercial mortgage loans | 9,559 | 9,106 | |||||
Total commercial real estate loans | $ | 13,014 | $ | 12,183 | |||
Total unused commitments on commercial real estate loans | $ | 3,557 | $ | 3,146 |
(in millions) | |||||||
December 31 | 2019 | 2018 | |||||
Land | $ | 86 | $ | 85 | |||
Buildings and improvements | 818 | 842 | |||||
Furniture and equipment | 513 | 492 | |||||
Total cost | 1,417 | 1,419 | |||||
Less: Accumulated depreciation and amortization | (960 | ) | (944 | ) | |||
Net book value | $ | 457 | $ | 475 |
(in millions) | |||||||||||
December 31 | 2021 | 2020 | |||||||||
Land | $ | 85 | $ | 86 | |||||||
Buildings and improvements | 852 | 847 | |||||||||
Furniture and equipment | 516 | 485 | |||||||||
Total cost | 1,453 | 1,418 | |||||||||
Less: Accumulated depreciation and amortization | (999) | (959) | |||||||||
Net book value | $ | 454 | $ | 459 |
(in millions) | (in millions) | ||||||||||||||||||||
December 31 | 2019 | 2018 | December 31 | 2021 | 2020 | ||||||||||||||||
Business Bank | $ | 473 | $ | 473 | |||||||||||||||||
Commercial Bank | Commercial Bank | $ | 473 | $ | 473 | ||||||||||||||||
Retail Bank | 101 | 101 | Retail Bank | 101 | 101 | ||||||||||||||||
Wealth Management | 61 | 61 | Wealth Management | 61 | 61 | ||||||||||||||||
Total | $ | 635 | $ | 635 | Total | $ | 635 | $ | 635 |
(in millions) | |||||||||||
December 31 | 2021 | 2020 | |||||||||
Gross carrying amount | $ | 34 | $ | 34 | |||||||
Accumulated amortization | $ | (34) | $ | (33) | |||||||
Net carrying amount | $ | — | $ | 1 |
(in millions) | |||||||
December 31 | 2019 | 2018 | |||||
Gross carrying amount | $ | 34 | $ | 34 | |||
Accumulated amortization | (32 | ) | (30 | ) | |||
Net carrying amount | $ | 2 | $ | 4 |
(in millions) | |||
Years Ending December 31 | |||
2020 | $ | 1 | |
2021 | 1 | ||
Total | $ | 2 |
December 31, 2021 | December 31, 2020 | ||||||||||||||||||||||||||||||||||
Fair Value | Fair Value | ||||||||||||||||||||||||||||||||||
(in millions) | Notional/ Contract Amount (a) | Gross Derivative Assets | Gross Derivative Liabilities | Notional/ Contract Amount (a) | Gross Derivative Assets | Gross Derivative Liabilities | |||||||||||||||||||||||||||||
Risk management purposes | |||||||||||||||||||||||||||||||||||
Derivatives designated as hedging instruments | |||||||||||||||||||||||||||||||||||
Interest rate contracts: | |||||||||||||||||||||||||||||||||||
Fair value swaps - receive fixed/pay floating | $ | 2,650 | $ | — | $ | — | $ | 2,650 | $ | — | $ | — | |||||||||||||||||||||||
Cash flow swaps - receive fixed/ pay floating (b) | 8,050 | — | — | 5,550 | — | — | |||||||||||||||||||||||||||||
Derivatives used as economic hedges | |||||||||||||||||||||||||||||||||||
Foreign exchange contracts: | |||||||||||||||||||||||||||||||||||
Spot, forwards and swaps | 452 | — | 2 | 442 | 1 | 4 | |||||||||||||||||||||||||||||
Total risk management purposes | 11,152 | — | 2 | 8,642 | 1 | 4 | |||||||||||||||||||||||||||||
Customer-initiated and other activities | |||||||||||||||||||||||||||||||||||
Interest rate contracts: | |||||||||||||||||||||||||||||||||||
Caps and floors written | 809 | — | 3 | 869 | — | — | |||||||||||||||||||||||||||||
Caps and floors purchased | 809 | 3 | — | 869 | — | — | |||||||||||||||||||||||||||||
Swaps | 19,382 | 236 | 66 | 19,783 | 531 | 61 | |||||||||||||||||||||||||||||
Total interest rate contracts | 21,000 | 239 | 69 | 21,521 | 531 | 61 | |||||||||||||||||||||||||||||
Energy contracts: | |||||||||||||||||||||||||||||||||||
Caps and floors written | 1,779 | — | 203 | 503 | 1 | 33 | |||||||||||||||||||||||||||||
Caps and floors purchased | 1,779 | 204 | — | 503 | 33 | 1 | |||||||||||||||||||||||||||||
Swaps | 4,212 | 466 | 459 | 2,115 | 117 | 115 | |||||||||||||||||||||||||||||
Total energy contracts | 7,770 | 670 | 662 | 3,121 | 151 | 149 | |||||||||||||||||||||||||||||
Foreign exchange contracts: | |||||||||||||||||||||||||||||||||||
Spot, forwards, options and swaps | 1,716 | 19 | 14 | 1,901 | 17 | 15 | |||||||||||||||||||||||||||||
Total customer-initiated and other activities | 30,486 | 928 | 745 | 26,543 | 699 | 225 | |||||||||||||||||||||||||||||
Total gross derivatives | $ | 41,638 | 928 | 747 | $ | 35,185 | 700 | 229 | |||||||||||||||||||||||||||
Amounts offset in the Consolidated Balance Sheets: | |||||||||||||||||||||||||||||||||||
Netting adjustment - Offsetting derivative assets/liabilities | (187) | (187) | (83) | (83) | |||||||||||||||||||||||||||||||
Netting adjustment - Cash collateral received/posted | (15) | (452) | (17) | (48) | |||||||||||||||||||||||||||||||
Net derivatives included in the Consolidated Balance Sheets (c) | 726 | 108 | 600 | 98 | |||||||||||||||||||||||||||||||
Amounts not offset in the Consolidated Balance Sheets: | |||||||||||||||||||||||||||||||||||
Marketable securities pledged under bilateral collateral agreements | — | (52) | — | (42) | |||||||||||||||||||||||||||||||
Net derivatives after deducting amounts not offset in the Consolidated Balance Sheets | $ | 726 | $ | 56 | $ | 600 | $ | 56 |
December 31, 2019 | December 31, 2018 | ||||||||||||||||||||||
Fair Value | Fair Value | ||||||||||||||||||||||
(in millions) | Notional/ Contract Amount (a) | Gross Derivative Assets | Gross Derivative Liabilities | Notional/ Contract Amount (a) | Gross Derivative Assets | Gross Derivative Liabilities | |||||||||||||||||
Risk management purposes | |||||||||||||||||||||||
Derivatives designated as hedging instruments | |||||||||||||||||||||||
Interest rate contracts: | |||||||||||||||||||||||
Swaps - fair value - receive fixed/pay floating | $ | 3,325 | $ | — | $ | — | $ | 2,625 | $ | — | $ | 2 | |||||||||||
Swaps - cash flow - receive fixed/ pay floating | 4,550 | — | — | — | — | — | |||||||||||||||||
Derivatives used as economic hedges | |||||||||||||||||||||||
Foreign exchange contracts: | |||||||||||||||||||||||
Spot, forwards and swaps | 330 | — | 2 | 302 | 1 | 1 | |||||||||||||||||
Total risk management purposes | 8,205 | — | 2 | 2,927 | 1 | 3 | |||||||||||||||||
Customer-initiated and other activities | |||||||||||||||||||||||
Interest rate contracts: | |||||||||||||||||||||||
Caps and floors written | 671 | — | — | 885 | — | 1 | |||||||||||||||||
Caps and floors purchased | 671 | — | — | 885 | 1 | — | |||||||||||||||||
Swaps | 16,485 | 211 | 39 | 13,115 | 66 | 67 | |||||||||||||||||
Total interest rate contracts | 17,827 | 211 | 39 | 14,885 | 67 | 68 | |||||||||||||||||
Energy contracts: | |||||||||||||||||||||||
Caps and floors written | 477 | — | 23 | 278 | — | 26 | |||||||||||||||||
Caps and floors purchased | 477 | 23 | — | 278 | 26 | — | |||||||||||||||||
Swaps | 2,135 | 73 | 69 | 2,094 | 163 | 160 | |||||||||||||||||
Total energy contracts | 3,089 | 96 | 92 | 2,650 | 189 | 186 | |||||||||||||||||
Foreign exchange contracts: | |||||||||||||||||||||||
Spot, forwards, options and swaps | 1,013 | 10 | 8 | 1,095 | 18 | 12 | |||||||||||||||||
Total customer-initiated and other activities | 21,929 | 317 | 139 | 18,630 | 274 | 266 | |||||||||||||||||
Total gross derivatives | $ | 30,134 | 317 | 141 | $ | 21,557 | 275 | 269 | |||||||||||||||
Amounts offset in the Consolidated Balance Sheets: | |||||||||||||||||||||||
Netting adjustment - Offsetting derivative assets/liabilities | (63 | ) | (63 | ) | (45 | ) | (45 | ) | |||||||||||||||
Netting adjustment - Cash collateral received/posted | (11 | ) | (12 | ) | (174 | ) | (1 | ) | |||||||||||||||
Net derivatives included in the Consolidated Balance Sheets (b) | 243 | 66 | 56 | 223 | |||||||||||||||||||
Amounts not offset in the Consolidated Balance Sheets: | |||||||||||||||||||||||
Marketable securities pledged under bilateral collateral agreements | — | (21 | ) | (1 | ) | — | |||||||||||||||||
Net derivatives after deducting amounts not offset in the Consolidated Balance Sheets | $ | 243 | $ | 45 | $ | 55 | $ | 223 |
(in millions) | Interest on Medium- and Long-Term Debt | ||||||||||||||||
Years Ended December 31 | 2021 | 2020 | 2019 | ||||||||||||||
Total interest on medium-and long-term debt (a) | $ | 35 | $ | 80 | $ | 197 | |||||||||||
Fair value hedging relationships: | |||||||||||||||||
Interest rate contracts: | |||||||||||||||||
Hedged items | 102 | 109 | 110 | ||||||||||||||
Derivatives designated as hedging instruments | (68) | (51) | (4) | ||||||||||||||
(in millions) | Interest on Medium- and Long-Term Debt | ||||||
Years Ended December 31 | 2019 | 2018 | |||||
Total interest on medium-and long-term debt (a) | $ | 197 | $ | 144 | |||
Fair value hedging relationships: | |||||||
Interest rate contracts: | |||||||
Hedged items | 110 | 74 | |||||
Derivatives designated as hedging instruments | (4 | ) | (7 | ) |
(dollar amounts in millions) | December 31, 2021 | December 31, 2020 | |||||||||
Weighted average: | |||||||||||
Time to maturity (in years) | 2.1 | 2.3 | |||||||||
Receive rate (a) | 1.84 | % | 1.87 | % | |||||||
Pay rate (a), (b) | 0.10 | 0.15 |
Weighted Average | |||||||||||||||
(dollar amounts in millions) | Derivative Notional Amount | Carrying Value of Hedged Items (a) | Remaining Maturity (in years) | Receive Rate | Pay Rate (b) | ||||||||||
December 31, 2019 | |||||||||||||||
Swaps - cash flow - receive fixed/pay floating rate | |||||||||||||||
Variable rate loans | $ | 4,550 | 3.0 | 1.94 | % | 1.71 | % | ||||||||
Swaps - fair value - receive fixed/pay floating rate | |||||||||||||||
Medium- and long-term debt | 3,325 | $ | 3,469 | 4.6 | 3.44 | 2.80 | |||||||||
December 31, 2018 | |||||||||||||||
Swaps - fair value - receive fixed/pay floating rate | |||||||||||||||
Medium- and long-term debt | 2,625 | 2,663 | 3.9 | 3.40 | 3.45 |
(dollar amounts in millions) | December 31, 2021 | December 31, 2020 | |||||||||
Carrying value of hedged items (a) | 2,796 | 2,928 | |||||||||
Weighted average: | |||||||||||
Time to maturity (in years) | 3.6 | 4.6 | |||||||||
Receive rate | 3.68 | % | 3.68 | % | |||||||
Pay rate (b) | 1.08 | 1.16 |
(b)Floating rates paid on receive fixed swaps designated as fair value hedges are based on one-month LIBOR rates |
(in millions) | |||||||||
Years Ended December 31 | Location of Gain | 2019 | 2018 | ||||||
Interest rate contracts | Other noninterest income | $ | 29 | $ | 26 | ||||
Energy contracts | Other noninterest income | 5 | 4 | ||||||
Foreign exchange contracts | Foreign exchange income | 43 | 47 | ||||||
Total | $ | 77 | $ | 77 |
Years Ended December 31, | |||||||||||||||||
(in millions) | 2021 | 2020 | 2019 | ||||||||||||||
Interest rate contracts | $ | 36 | $ | 26 | $ | 27 | |||||||||||
Energy contracts | 18 | 1 | 5 | ||||||||||||||
Foreign exchange contracts | 45 | 40 | 44 | ||||||||||||||
Total | $ | 99 | $ | 67 | $ | 76 |
(in millions) | |||||||
December 31 | 2019 | 2018 | |||||
Unused commitments to extend credit: | |||||||
Commercial and other | $ | 23,681 | $ | 24,266 | |||
Bankcard, revolving check credit and home equity loan commitments | 3,180 | 3,001 | |||||
Total unused commitments to extend credit | $ | 26,861 | $ | 27,267 | |||
Standby letters of credit | $ | 3,320 | $ | 3,244 | |||
Commercial letters of credit | 18 | 39 |
(in millions) | |||||||||||
December 31 | 2021 | 2020 | |||||||||
Unused commitments to extend credit: | |||||||||||
Commercial and other | $ | 25,910 | $ | 23,443 | |||||||
Bankcard, revolving check credit and home equity loan commitments | 3,554 | 3,297 | |||||||||
Total unused commitments to extend credit | $ | 29,464 | $ | 26,740 | |||||||
Standby letters of credit | $ | 3,378 | $ | 3,273 | |||||||
Commercial letters of credit | 44 | 30 |
(dollar amounts in millions) | December 31, 2019 | December 31, 2018 | (dollar amounts in millions) | December 31, 2021 | December 31, 2020 | |||||||||||||
Total criticized standby and commercial letters of credit | $ | 44 | $ | 49 | Total criticized standby and commercial letters of credit | $ | 37 | $ | 73 | |||||||||
As a percentage of total outstanding standby and commercial letters of credit | 1.3 | % | 1.5 | % | As a percentage of total outstanding standby and commercial letters of credit | 1.1 | % | 2.2 | % |
(in millions) | |||||||||||
Years Ended December 31 | 2019 | 2018 | 2017 | ||||||||
Other noninterest income: | |||||||||||
Sales of other tax credit investments | $ | 2 | $ | 5 | $ | 2 | |||||
Provision for income taxes: | |||||||||||
Amortization of LIHTC Investments | 65 | 65 | 67 | ||||||||
Low income housing tax credits | (62 | ) | (62 | ) | (63 | ) | |||||
Other tax benefits related to tax credit entities | (13 | ) | (14 | ) | (24 | ) | |||||
Total provision for income taxes | $ | (10 | ) | $ | (11 | ) | $ | (20 | ) |
(in millions) | |||||||||||||||||
Years Ended December 31 | 2021 | 2020 | 2019 | ||||||||||||||
Other noninterest income: | |||||||||||||||||
Amortization of other tax credit investments | $ | 1 | $ | 1 | $ | 2 | |||||||||||
Provision for income taxes: | |||||||||||||||||
Amortization of LIHTC Investments | 71 | $ | 67 | 65 | |||||||||||||
Low income housing tax credits | (68) | (63) | (62) | ||||||||||||||
Other tax benefits related to tax credit entities | (17) | (16) | (13) | ||||||||||||||
Total provision for income taxes | $ | (14) | $ | (12) | $ | (10) |
(in millions) | |||
Years Ending December 31 | |||
2020 | $ | 2,970 | |
2021 | 156 | ||
2022 | 24 | ||
2023 | 15 | ||
2024 | 11 | ||
Thereafter | 26 | ||
Total | $ | 3,202 |
(in millions) | |||||
Years Ending December 31 | |||||
2022 | $ | 1,837 | |||
2023 | 115 | ||||
2024 | 20 | ||||
2025 | 20 | ||||
2026 | 18 | ||||
Thereafter | 13 | ||||
Total | $ | 2,023 |
(in millions) | |||||||
December 31 | 2019 | 2018 | |||||
Three months or less | $ | 398 | $ | 363 | |||
Over three months to six months | 503 | 146 | |||||
Over six months to twelve months | 819 | 278 | |||||
Over twelve months | 97 | 297 | |||||
Total | $ | 1,817 | $ | 1,084 |
(in millions) | |||||||||||
December 31 | 2021 | 2020 | |||||||||
Three months or less | $ | 436 | $ | 366 | |||||||
Over three months to six months | 314 | 246 | |||||||||
Over six months to twelve months | 319 | 387 | |||||||||
Over twelve months | 74 | 205 | |||||||||
Total | $ | 1,143 | $ | 1,204 |
(dollar amounts in millions) | Federal Funds Purchased and Securities Sold Under Agreements to Repurchase | Other Short-term Borrowings | |||||
December 31, 2019 | |||||||
Amount outstanding at year-end | $ | 71 | $ | — | |||
Weighted average interest rate at year-end | 1.50 | % | — | % | |||
Maximum month-end balance during the year | $ | 835 | $ | 1,200 | |||
Average balance outstanding during the year | 113 | 256 | |||||
Weighted average interest rate during the year | 2.28 | % | 2.44 | % | |||
December 31, 2018 | |||||||
Amount outstanding at year-end | $ | 44 | $ | — | |||
Weighted average interest rate at year-end | 2.39 | % | — | % | |||
Maximum month-end balance during the year | $ | 182 | $ | 250 | |||
Average balance outstanding during the year | 59 | 3 | |||||
Weighted average interest rate during the year | 1.91 | % | 1.75 | % | |||
December 31, 2017 | |||||||
Amount outstanding at year-end | $ | 10 | $ | — | |||
Weighted average interest rate at year-end | 1.43 | % | — | % | |||
Maximum month-end balance during the year | $ | 41 | $ | 1,024 | |||
Average balance outstanding during the year | 20 | 257 | |||||
Weighted average interest rate during the year | 1.02 | % | 1.15 | % |
(dollar amounts in millions) | Federal Funds Purchased and Securities Sold Under Agreements to Repurchase | Other Short-term Borrowings | |||||||||
December 31, 2021 | |||||||||||
Amount outstanding at year-end | $ | — | $ | — | |||||||
Weighted average interest rate at year-end | — | % | — | % | |||||||
Maximum month-end balance during the year | $ | 2 | $ | — | |||||||
Average balance outstanding during the year | 2 | — | |||||||||
Weighted average interest rate during the year | 0.06 | % | — | % | |||||||
December 31, 2020 | |||||||||||
Amount outstanding at year-end | $ | — | $ | — | |||||||
Weighted average interest rate at year-end | — | % | — | % | |||||||
Maximum month-end balance during the year | $ | 1,513 | $ | 1,250 | |||||||
Average balance outstanding during the year | 30 | 284 | |||||||||
Weighted average interest rate during the year | 0.97 | % | 0.25 | % | |||||||
December 31, 2019 | |||||||||||
Amount outstanding at year-end | $ | 71 | $ | — | |||||||
Weighted average interest rate at year-end | 1.50 | % | — | % | |||||||
Maximum month-end balance during the year | $ | 835 | $ | 1,200 | |||||||
Average balance outstanding during the year | 113 | 256 | |||||||||
Weighted average interest rate during the year | 2.28 | % | 2.44 | % |
(in millions) | |||||||||||
December 31 | 2021 | 2020 | |||||||||
Parent company | |||||||||||
Subordinated notes: | |||||||||||
3.80% subordinated notes due 2026 (a) | $ | 265 | $ | 280 | |||||||
Medium- and long-term notes: | |||||||||||
3.70% notes due 2023 (a) | 877 | 905 | |||||||||
4.00% notes due 2029 (a) | 594 | 633 | |||||||||
Total medium- and long-term notes | 1,471 | 1,538 | |||||||||
Total parent company | 1,736 | 1,818 | |||||||||
Subsidiaries | |||||||||||
Subordinated notes: | |||||||||||
4.00% subordinated notes due 2025 (a) | 363 | 380 | |||||||||
7.875% subordinated notes due 2026 (a) | 190 | 207 | |||||||||
Total subordinated notes | 553 | 587 | |||||||||
Medium- and long-term notes: | |||||||||||
2.50% notes due 2024 (a) | 507 | 523 | |||||||||
Total medium- and long-term notes | 507 | 523 | |||||||||
Federal Home Loan Bank (FHLB) advances: | |||||||||||
Floating-rate based on FHLB auction rate due 2026 | — | 2,800 | |||||||||
Total FHLB advances | — | 2,800 | |||||||||
Total subsidiaries | 1,060 | 3,910 | |||||||||
Total medium- and long-term debt | $ | 2,796 | $ | 5,728 |
(in millions) | |||||||
December 31 | 2019 | 2018 | |||||
Parent company | |||||||
Subordinated notes: | |||||||
3.80% subordinated notes due 2026 (a) | $ | 264 | $ | 250 | |||
Medium- and long-term notes: | |||||||
2.125% notes due 2019 (a) | — | 348 | |||||
3.70% notes due 2023 (a) | 884 | 861 | |||||
4.00% notes due 2029 (a) | 587 | — | |||||
Total medium- and long-term notes | 1,471 | 1,209 | |||||
Total parent company | 1,735 | 1,459 | |||||
Subsidiaries | |||||||
Subordinated notes: | |||||||
4.00% subordinated notes due 2025 (a) | 360 | 343 | |||||
7.875% subordinated notes due 2026 (a) | 202 | 198 | |||||
Total subordinated notes | 562 | 541 | |||||
Medium- and long-term notes: | |||||||
2.50% notes due 2020 (a) | 674 | 663 | |||||
2.50% notes due 2024 (a) | 498 | — | |||||
Total medium- and long-term notes | 1,172 | 663 | |||||
Federal Home Loan Bank (FHLB) advances: | |||||||
Floating-rate based on FHLB auction rate due 2026 | 2,800 | 2,800 | |||||
Floating-rate based on FHLB auction rate due 2028 | 1,000 | 1,000 | |||||
Total FHLB advances | 3,800 | 3,800 | |||||
Total subsidiaries | 5,534 | 5,004 | |||||
Total medium- and long-term debt | $ | 7,269 | $ | 6,463 |
(a)The fixed interest rates on these notes have been swapped to a variable rate and designated in a hedging relationship. Accordingly, carrying value has been adjusted to reflect the change in the fair value of the debt as a result of changes in the benchmark rate. |
(in millions) | |||
Years Ending December 31 | |||
2020 | $ | 675 | |
2021 | — | ||
2022 | — | ||
2023 | 850 | ||
2024 | 500 | ||
Thereafter | 5,100 | ||
Total | $ | 7,125 |
(in millions) | |||||
Years Ending December 31 | |||||
2022 | $ | — | |||
2023 | 850 | ||||
2024 | 500 | ||||
2025 | 350 | ||||
2026 | 400 | ||||
Thereafter | 550 | ||||
Total | $ | 2,650 |
(in millions) | |||||||||||||||||
Years Ended December 31 | 2021 | 2020 | 2019 | ||||||||||||||
Accumulated net unrealized (losses) gains on investment securities: | |||||||||||||||||
Balance at beginning of period, net of tax | $ | 211 | $ | 65 | $ | (138) | |||||||||||
Net unrealized holding (losses) gains arising during the period | (406) | 191 | 257 | ||||||||||||||
Less: (Benefit) provision for income taxes | (96) | 45 | 60 | ||||||||||||||
Net unrealized holding (losses) gains arising during the period, net of tax | (310) | 146 | 197 | ||||||||||||||
Less: | |||||||||||||||||
Net realized losses included in net securities losses | — | — | (8) | ||||||||||||||
Less: Benefit for income taxes | — | — | (2) | ||||||||||||||
Reclassification adjustment for net securities losses included in net income, net of tax | — | — | (6) | ||||||||||||||
Change in net unrealized (losses) gains on investment securities, net of tax | (310) | 146 | 203 | ||||||||||||||
Balance at end of period, net of tax | $ | (99) | $ | 211 | $ | 65 | |||||||||||
Accumulated net gains on cash flow hedges: | |||||||||||||||||
Balance at beginning of period, net of tax | $ | 155 | $ | 34 | $ | — | |||||||||||
Net cash flow hedge (losses) gains arising during the period | (35) | 229 | 44 | ||||||||||||||
Less: (Benefit) provision for income taxes | (8) | 56 | 10 | ||||||||||||||
Change in net cash flow hedge gains arising during the period, net of tax | (27) | 173 | 34 | ||||||||||||||
Less: | |||||||||||||||||
Net cash flow hedge gains included in interest and fees on loans | 95 | 70 | — | ||||||||||||||
Less: Provision for income taxes | 22 | 18 | — | ||||||||||||||
Reclassification adjustment for net cash flow hedge gains included in net income, net of tax | 73 | 52 | — | ||||||||||||||
Change in net cash flow hedge gains, net of tax | (100) | 121 | 34 | ||||||||||||||
Balance at end of period, net of tax (a) | $ | 55 | $ | 155 | $ | 34 | |||||||||||
Accumulated defined benefit pension and other postretirement plans adjustment: | |||||||||||||||||
Balance at beginning of period, net of tax (b) | $ | (302) | $ | (415) | $ | (548) | |||||||||||
Actuarial gain arising during the period (b) | 159 | 128 | 157 | ||||||||||||||
Prior service credit arising during the period | 1 | — | — | ||||||||||||||
Net defined benefit pension and other postretirement plans adjustment arising during the period | 160 | 128 | 157 | ||||||||||||||
Less: Provision for income taxes (b) | 38 | 31 | 36 | ||||||||||||||
Net defined benefit pension and other postretirement plans adjustment arising during the period, net of tax (b) | 122 | 97 | 121 | ||||||||||||||
Amounts recognized in other noninterest expenses: | |||||||||||||||||
Amortization of actuarial net loss (b) | 40 | 47 | 42 | ||||||||||||||
Amortization of prior service credit | (25) | (27) | (27) | ||||||||||||||
Total amounts recognized in other noninterest expenses (b) | 15 | 20 | 15 | ||||||||||||||
Less: Provision for income taxes (b) | 3 | 4 | 3 | ||||||||||||||
Adjustment for amounts recognized as components of net periodic benefit cost during the period, net of tax (b) | 12 | 16 | 12 | ||||||||||||||
Change in defined benefit pension and other postretirement plans adjustment, net of tax (b) | 134 | 113 | 133 | ||||||||||||||
Balance at end of period, net of tax (b) | $ | (168) | $ | (302) | $ | (415) | |||||||||||
Total accumulated other comprehensive (loss) income at end of period, net of tax | $ | (212) | $ | 64 | $ | (316) |
(in millions) | |||||||||||
Years Ended December 31 | 2019 | 2018 | 2017 | ||||||||
Accumulated net unrealized gains (losses) on investment securities: | |||||||||||
Balance at beginning of period, net of tax | $ | (138 | ) | $ | (101 | ) | $ | (33 | ) | ||
Cumulative effect of change in accounting principle | — | 1 | — | ||||||||
Net unrealized holding gains (losses) arising during the period | 257 | (69 | ) | (81 | ) | ||||||
Less: Provision (benefit) for income taxes | 60 | (16 | ) | (27 | ) | ||||||
Net unrealized holding gains (losses) arising during the period, net of tax | 197 | (53 | ) | (54 | ) | ||||||
Less: | |||||||||||
Net realized losses included in net securities losses | (8 | ) | (20 | ) | — | ||||||
Less: Benefit for income taxes | (2 | ) | (5 | ) | — | ||||||
Reclassification adjustment for net securities losses included in net income, net of tax | (6 | ) | (15 | ) | — | ||||||
Less: | |||||||||||
Net losses realized as a yield adjustment in interest on investment securities | — | — | (3 | ) | |||||||
Less: Benefit for income taxes | — | — | (1 | ) | |||||||
Reclassification adjustment for net losses realized as a yield adjustment included in net income, net of tax | — | — | (2 | ) | |||||||
Change in net unrealized gains (losses) on investment securities, net of tax | 203 | (38 | ) | (52 | ) | ||||||
Reclassification of certain deferred tax effects (a) | — | — | (16 | ) | |||||||
Balance at end of period, net of tax | $ | 65 | $ | (138 | ) | $ | (101 | ) | |||
Accumulated net gains on cash flow hedges: | |||||||||||
Balance at beginning of period, net of tax | $ | — | $ | — | $ | — | |||||
Net cash flow hedge gains arising during the period | 44 | — | — | ||||||||
Less: Provision for income taxes | 10 | — | — | ||||||||
Change in net cash flow hedge gains, net of tax | 34 | — | — | ||||||||
Balance at end of period, net of tax (b) | $ | 34 | $ | — | $ | — | |||||
Accumulated defined benefit pension and other postretirement plans adjustment: | |||||||||||
Balance at beginning of period, net of tax | $ | (471 | ) | $ | (350 | ) | $ | (350 | ) | ||
Actuarial gain (loss) arising during the period | 163 | (191 | ) | 72 | |||||||
Less: Provision (benefit) for income taxes | 38 | (44 | ) | 17 | |||||||
Net defined benefit pension and other postretirement adjustment arising during the period, net of tax | 125 | (147 | ) | 55 | |||||||
Amounts recognized in other noninterest expense: | |||||||||||
Amortization of actuarial net loss | 42 | 61 | 51 | ||||||||
Amortization of prior service credit | (27 | ) | (27 | ) | (27 | ) | |||||
Total amounts recognized in other noninterest expense | 15 | 34 | 24 | ||||||||
Less: Provision for income taxes | 3 | 8 | 8 | ||||||||
Adjustment for amounts recognized as other components of net benefit cost during the period, net of tax | 12 | 26 | 16 | ||||||||
Change in defined benefit pension and other postretirement plans adjustment, net of tax | 137 | (121 | ) | 71 | |||||||
Reclassification of certain deferred tax effects (a) | — | — | (71 | ) | |||||||
Balance at end of period, net of tax | $ | (334 | ) | $ | (471 | ) | $ | (350 | ) | ||
Total accumulated other comprehensive loss at end of period, net of tax | $ | (235 | ) | $ | (609 | ) | $ | (451 | ) |
(in millions, except per share data) | |||||||||||||||||
Years Ended December 31 | 2021 | 2020 | 2019 | ||||||||||||||
Basic and diluted | |||||||||||||||||
Net income | $ | 1,168 | $ | 497 | $ | 1,202 | |||||||||||
Less: | |||||||||||||||||
Income allocated to participating securities | 5 | 2 | 7 | ||||||||||||||
Preferred stock dividends | 23 | 13 | — | ||||||||||||||
Net income attributable to common shares | $ | 1,140 | $ | 482 | $ | 1,195 | |||||||||||
Basic average common shares | 135 | 139 | 150 | ||||||||||||||
Basic net income per common share | $ | 8.45 | $ | 3.45 | $ | 7.98 | |||||||||||
Basic average common shares | 135 | 139 | 150 | ||||||||||||||
Dilutive common stock equivalents: | |||||||||||||||||
Net effect of the assumed exercise of stock awards | 2 | 1 | 1 | ||||||||||||||
Diluted average common shares | 137 | 140 | 151 | ||||||||||||||
Diluted net income per common share | $ | 8.35 | $ | 3.43 | $ | 7.90 |
(in millions, except per share data) | |||||||||||
Years Ended December 31 | 2019 | 2018 | 2017 | ||||||||
Basic and diluted | |||||||||||
Net income | $ | 1,198 | $ | 1,235 | $ | 743 | |||||
Less: Income allocated to participating securities | 7 | 8 | 5 | ||||||||
Net income attributable to common shares | $ | 1,191 | $ | 1,227 | $ | 738 | |||||
Basic average common shares | 150 | 168 | 174 | ||||||||
Basic net income per common share | $ | 7.95 | $ | 7.31 | $ | 4.23 | |||||
Basic average common shares | 150 | 168 | 174 | ||||||||
Dilutive common stock equivalents: | |||||||||||
Net effect of the assumed exercise of stock options | 1 | 2 | 3 | ||||||||
Net effect of the assumed exercise of warrants | — | 1 | 1 | ||||||||
Diluted average common shares | 151 | 171 | 178 | ||||||||
Diluted net income per common share | $ | 7.87 | $ | 7.20 | $ | 4.14 |
(average outstanding options in thousands) | |||||||||||||||||||||||
Years Ended December 31 | 2021 | 2020 | 2019 | ||||||||||||||||||||
Average outstanding options | 438 | 1,498 | 543 | ||||||||||||||||||||
Range of exercise prices | $79.01 - $95.25 | $49.20 - $95.25 | $67.53 - $95.25 |
Years Ended December 31 | 2019 | 2018 | |
Average outstanding options | 542,786 | 193,248 | |
Range of exercise prices | $67.53 - $95.25 | $95.25 |
(in millions) | |||||||||||
Years Ended December 31 | 2019 | 2018 | 2017 | ||||||||
Total share-based compensation expense | $ | 39 | $ | 48 | $ | 39 | |||||
Related tax benefits recognized in net income | $ | 9 | $ | 11 | $ | 14 |
(in millions) | |||||||||||||||||
Years Ended December 31 | 2021 | 2020 | 2019 | ||||||||||||||
Total share-based compensation expense | $ | 41 | $ | 24 | $ | 39 | |||||||||||
Related tax benefits recognized in net income | $ | 10 | $ | 6 | $ | 9 |
(dollar amounts in millions) | December 31, 2019 | ||
Total unrecognized share-based compensation expense | $ | 33 | |
Weighted-average expected recognition period (in years) | 2.3 |
(dollar amounts in millions) | December 31, 2021 | ||||
Total unrecognized share-based compensation expense | $ | 37 | |||
Weighted-average expected recognition period (in years) | 2.2 |
Years Ended December 31 | 2019 | 2018 | 2017 | ||||||||
Weighted-average grant-date fair value per option | $ | 22.27 | $ | 30.32 | $ | 19.61 | |||||
Weighted-average assumptions: | |||||||||||
Risk-free interest rates | 2.74 | % | 2.63 | % | 2.47 | % | |||||
Expected dividend yield | 3.00 | 3.00 | 3.00 | ||||||||
Expected volatility factors of the market price of Comerica common stock | 30 | 36 | 34 | ||||||||
Expected option life (in years) | 7.6 | 7.4 | 7.0 |
Years Ended December 31 | 2021 | 2020 | 2019 | ||||||||||||||
Weighted-average grant-date fair value per option | $ | 18.36 | $ | 13.03 | $ | 22.27 | |||||||||||
Weighted-average assumptions: | |||||||||||||||||
Risk-free interest rates | 1.05 | % | 1.65 | % | 2.74 | % | |||||||||||
Expected dividend yield | 4.00 | 4.14 | 3.00 | ||||||||||||||
Volatility | 39 | 27 | 30 | ||||||||||||||
Expected option life (in years) | 7.8 | 8.4 | 7.6 |
Weighted-Average | |||||||||||||
Number of Options (in thousands) | Exercise Price per Share | Remaining Contractual Term (in years) | Aggregate Intrinsic Value (in millions) | ||||||||||
Outstanding-January 1, 2019 | 2,943 | $ | 44.70 | ||||||||||
Granted | 283 | 80.14 | |||||||||||
Forfeited or expired | (35 | ) | 65.91 | ||||||||||
Exercised | (511 | ) | 37.32 | ||||||||||
Outstanding-December 31, 2019 | 2,680 | 49.58 | 5.3 | $ | 66 | ||||||||
Exercisable-December 31, 2019 | 1,816 | $ | 41.79 | 4.2 | $ | 56 |
Weighted-Average | |||||||||||||||||||||||
Number of Options (in thousands) | Exercise Price per Share | Remaining Contractual Term (in years) | Aggregate Intrinsic Value (in millions) | ||||||||||||||||||||
Outstanding-January 1, 2021 | 2,879 | $ | 52.81 | ||||||||||||||||||||
Granted | 233 | 60.20 | |||||||||||||||||||||
Forfeited or expired | (33) | 69.42 | |||||||||||||||||||||
Exercised | (835) | 41.60 | |||||||||||||||||||||
Outstanding-December 31, 2021 | 2,244 | 57.50 | 5.5 | $ | 68 | ||||||||||||||||||
Exercisable-December 31, 2021 | 1,487 | $ | 53.02 | 4.2 | $ | 52 |
Number of Shares (in thousands) | Weighted-Average Grant-Date Fair Value per Share | |||||
Outstanding-January 1, 2019 | 869 | $ | 44.34 | |||
Forfeited | (27 | ) | 49.81 | |||
Vested | (384 | ) | 38.81 | |||
Outstanding-December 31, 2019 | 458 | $ | 48.64 |
Number of Shares (in thousands) | Weighted-Average Grant-Date Fair Value per Share | ||||||||||
Outstanding-January 1, 2021 | 176 | 48.85 | |||||||||
Forfeited | (4) | 67.87 | |||||||||
Vested | (131) | 44.38 | |||||||||
Outstanding-December 31, 2021 | 41 | $ | 61.64 |
Service-Based Units | Performance-Based Units | ||||||||||||
Number of Units (in thousands) | Weighted-Average Grant-Date Fair Value per Share | Number of Units (in thousands) | Weighted-Average Grant-Date Fair Value per Share | ||||||||||
Outstanding-January 1, 2019 | 367 | $ | 68.14 | 662 | $ | 56.64 | |||||||
Granted | 237 | 78.81 | 329 | 66.80 | |||||||||
Forfeited | (14 | ) | 87.38 | (28 | ) | 81.06 | |||||||
Vested | (12 | ) | 55.81 | (420 | ) | 32.53 | |||||||
Outstanding-December 31, 2019 | 578 | 72.34 | 543 | 80.22 |
Service-Based Units | Performance-Based Units | ||||||||||||||||||||||
Number of Units (in thousands) | Weighted-Average Grant-Date Fair Value per Share | Number of Units (in thousands) | Weighted-Average Grant-Date Fair Value per Share | ||||||||||||||||||||
Outstanding-January 1, 2021 | 1,048 | $ | 61.52 | 690 | $ | 73.48 | |||||||||||||||||
Granted | 456 | 60.92 | 332 | 58.64 | |||||||||||||||||||
Forfeited | (41) | 62.09 | (17) | 64.38 | |||||||||||||||||||
Vested | (117) | 86.13 | (189) | 93.02 | |||||||||||||||||||
Outstanding-December 31, 2021 | 1,346 | 59.18 | 816 | 63.12 |
Defined Benefit Pension Plans | |||||||||||||||||||||||||||||||||||
Qualified | Non-Qualified | Postretirement Benefit Plan | |||||||||||||||||||||||||||||||||
(dollar amounts in millions) | 2021 | 2020 | 2021 | 2020 | 2021 | 2020 | |||||||||||||||||||||||||||||
Change in fair value of plan assets: | |||||||||||||||||||||||||||||||||||
Fair value of plan assets at January 1 | $ | 3,350 | $ | 2,933 | $ | — | $ | — | $ | 57 | $ | 57 | |||||||||||||||||||||||
Actual return on plan assets | 291 | 537 | — | — | (1) | 3 | |||||||||||||||||||||||||||||
Plan participants' contributions | — | — | — | — | 1 | 1 | |||||||||||||||||||||||||||||
Benefits paid | (179) | (120) | — | — | (4) | (4) | |||||||||||||||||||||||||||||
Fair value of plan assets at December 31 | $ | 3,462 | $ | 3,350 | $ | — | $ | — | $ | 53 | $ | 57 | |||||||||||||||||||||||
Change in projected benefit obligation: | |||||||||||||||||||||||||||||||||||
Projected benefit obligation at January 1 | $ | 2,327 | $ | 2,131 | $ | 252 | $ | 235 | $ | 35 | $ | 48 | |||||||||||||||||||||||
Service cost | 38 | 32 | 2 | 1 | — | — | |||||||||||||||||||||||||||||
Interest cost | 61 | 70 | 7 | 8 | 1 | 1 | |||||||||||||||||||||||||||||
Actuarial (gain) loss | (69) | 214 | (3) | 22 | (1) | (11) | |||||||||||||||||||||||||||||
Plan participants' contributions | — | — | — | — | 1 | 1 | |||||||||||||||||||||||||||||
Benefits paid | (179) | (120) | (15) | (14) | (4) | (4) | |||||||||||||||||||||||||||||
Plan amendments (a) | 36 | — | (36) | — | (1) | — | |||||||||||||||||||||||||||||
Projected benefit obligation at December 31 | $ | 2,214 | $ | 2,327 | $ | 207 | $ | 252 | $ | 31 | $ | 35 | |||||||||||||||||||||||
Accumulated benefit obligation | $ | 2,199 | $ | 2,312 | $ | 204 | $ | 251 | $ | 31 | $ | 35 | |||||||||||||||||||||||
Funded status at December 31 (b) (c) | $ | 1,248 | $ | 1,023 | $ | (207) | $ | (252) | $ | 22 | $ | 22 | |||||||||||||||||||||||
Weighted-average assumptions used: | |||||||||||||||||||||||||||||||||||
Discount rate | 2.96 | % | 2.71 | % | 2.96 | % | 2.71 | % | 2.79 | % | 2.43 | % | |||||||||||||||||||||||
Rate of compensation increase | 4.00 | 4.00 | 4.00 | 4.00 | n/a | n/a | |||||||||||||||||||||||||||||
Interest crediting rate | 3.79 - 5.00 | 3.79 - 5.00 | 3.79 - 5.00 | 3.79 - 5.00 | n/a | n/a | |||||||||||||||||||||||||||||
Healthcare cost trend rate: | |||||||||||||||||||||||||||||||||||
Cost trend rate assumed for next year | n/a | n/a | n/a | n/a | n/a | 6.00 | |||||||||||||||||||||||||||||
Rate to which the cost trend rate is assumed to decline (the ultimate trend rate) | n/a | n/a | n/a | n/a | n/a | 4.50 | |||||||||||||||||||||||||||||
Year when rate reaches the ultimate trend rate | n/a | n/a | n/a | n/a | n/a | 2027 | |||||||||||||||||||||||||||||
Amounts recognized in accumulated other comprehensive (loss) income before income taxes: | |||||||||||||||||||||||||||||||||||
Net actuarial loss (d) | $ | (205) | $ | (392) | $ | (92) | $ | (106) | $ | (11) | $ | (9) | |||||||||||||||||||||||
Prior service credit (d) | 48 | 103 | 47 | 17 | 2 | 1 | |||||||||||||||||||||||||||||
Balance at December 31 (d) | $ | (157) | $ | (289) | $ | (45) | $ | (89) | $ | (9) | $ | (8) |
Defined Benefit Pension Plans | |||||||||||||||||||||||
Qualified | Non-Qualified | Postretirement Benefit Plan | |||||||||||||||||||||
(dollar amounts in millions) | 2019 | 2018 | 2019 | 2018 | 2019 | 2018 | |||||||||||||||||
Change in fair value of plan assets: | |||||||||||||||||||||||
Fair value of plan assets at January 1 | $ | 2,458 | $ | 2,747 | $ | — | $ | — | $ | 56 | $ | 60 | |||||||||||
Actual return on plan assets | 579 | (167 | ) | — | — | 5 | (1 | ) | |||||||||||||||
Employer contributions | — | — | — | — | 1 | 1 | |||||||||||||||||
Benefits paid | (104 | ) | (122 | ) | — | — | (5 | ) | (4 | ) | |||||||||||||
Fair value of plan assets at December 31 | $ | 2,933 | $ | 2,458 | $ | — | $ | — | $ | 57 | $ | 56 | |||||||||||
Change in projected benefit obligation: | |||||||||||||||||||||||
Projected benefit obligation at January 1 | $ | 1,901 | $ | 2,061 | $ | 211 | $ | 212 | $ | 46 | $ | 51 | |||||||||||
Service cost | 31 | 29 | 3 | 2 | — | — | |||||||||||||||||
Interest cost | 80 | 75 | 9 | 8 | 2 | 2 | |||||||||||||||||
Actuarial loss (gain) | 223 | (142 | ) | 25 | — | 5 | (3 | ) | |||||||||||||||
Benefits paid | (104 | ) | (122 | ) | (13 | ) | (11 | ) | (5 | ) | (4 | ) | |||||||||||
Projected benefit obligation at December 31 | $ | 2,131 | $ | 1,901 | $ | 235 | $ | 211 | $ | 48 | $ | 46 | |||||||||||
Accumulated benefit obligation | $ | 2,121 | $ | 1,893 | $ | 234 | $ | 209 | $ | 48 | $ | 46 | |||||||||||
Funded status at December 31 (a) (b) | $ | 802 | $ | 557 | $ | (235 | ) | $ | (211 | ) | $ | 9 | $ | 10 | |||||||||
Weighted-average assumptions used: | |||||||||||||||||||||||
Discount rate | 3.43 | % | 4.37 | % | 3.43 | % | 4.37 | % | 3.26 | % | 4.26 | % | |||||||||||
Rate of compensation increase | 4.00 | 4.00 | 4.00 | 4.00 | n/a | n/a | |||||||||||||||||
Healthcare cost trend rate: | |||||||||||||||||||||||
Cost trend rate assumed for next year | n/a | n/a | n/a | n/a | 6.25 | 6.50 | |||||||||||||||||
Rate to which the cost trend rate is assumed to decline (the ultimate trend rate) | n/a | n/a | n/a | n/a | 4.50 | 4.50 | |||||||||||||||||
Year when rate reaches the ultimate trend rate | n/a | n/a | n/a | n/a | 2027 | 2027 | |||||||||||||||||
Amounts recognized in accumulated other comprehensive income (loss) before income taxes: | |||||||||||||||||||||||
Net actuarial loss | $ | (463 | ) | $ | (687 | ) | $ | (94 | ) | $ | (76 | ) | $ | (20 | ) | $ | (19 | ) | |||||
Prior service credit | 121 | 140 | 26 | 34 | 1 | 1 | |||||||||||||||||
Balance at December 31 | $ | (342 | ) | $ | (547 | ) | $ | (68 | ) | $ | (42 | ) | $ | (19 | ) | $ | (18 | ) |
(c)The Corporation recognizes the overfunded and underfunded status of the plans in accrued income and other assets and accrued expenses and other liabilities, respectively, on the Consolidated Balance Sheets. (d)The qualified defined benefit pension plan for the year ending December 31, 2020 has been recast to reflect the retrospective application of the Corporation's election to change the accounting method for certain components of defined pension benefit credit, effective January 1, 2021. For further information, refer to Note 1. |
Defined Benefit Pension Plans | |||||||||||||||
(in millions) | Qualified | Non-Qualified | Postretirement Benefit Plan | Total | |||||||||||
Actuarial gain (loss) arising during the period | $ | 190 | $ | (25 | ) | $ | (2 | ) | $ | 163 | |||||
Amortization of net actuarial loss | 34 | 7 | 1 | 42 | |||||||||||
Amortization of prior service credit | (19 | ) | (8 | ) | — | (27 | ) | ||||||||
Total recognized in other comprehensive income (loss) | $ | 205 | $ | (26 | ) | $ | (1 | ) | $ | 178 |
Defined Benefit Pension Plans | |||||||||||||||||||||||
(in millions) | Qualified | Non-Qualified | Postretirement Benefit Plan | Total | |||||||||||||||||||
Actuarial gain (loss) arising during the period | $ | 158 | $ | 3 | $ | (2) | $ | 159 | |||||||||||||||
Prior service (cost) credit arising during the period | (36) | 36 | 1 | 1 | |||||||||||||||||||
Amortization of net actuarial loss | 29 | 11 | — | 40 | |||||||||||||||||||
Amortization of prior service credit | (19) | (6) | — | (25) | |||||||||||||||||||
Total recognized in other comprehensive loss | $ | 132 | $ | 44 | $ | (1) | $ | 175 |
Defined Benefit Pension Plans | |||||||||||||||||||||||||||||||||||
(dollar amounts in millions) | Qualified | Non-Qualified | |||||||||||||||||||||||||||||||||
Years Ended December 31 | 2021 | 2020 (a) | 2019 (a) | 2021 | 2020 | 2019 | |||||||||||||||||||||||||||||
Service cost (b) | $ | 38 | $ | 32 | $ | 31 | $ | 2 | $ | 1 | $ | 3 | |||||||||||||||||||||||
Other components of net benefit (credit) cost: | |||||||||||||||||||||||||||||||||||
Interest cost | 61 | 70 | 80 | 7 | 8 | 9 | |||||||||||||||||||||||||||||
Expected return on plan assets | (202) | (185) | (172) | — | — | — | |||||||||||||||||||||||||||||
Amortization of prior service credit | (19) | (19) | (19) | (6) | (8) | (8) | |||||||||||||||||||||||||||||
Amortization of net actuarial loss | 29 | 38 | 34 | 11 | 9 | 7 | |||||||||||||||||||||||||||||
Total other components of net benefit (credit) cost (c) | (131) | (96) | (77) | 12 | 9 | 8 | |||||||||||||||||||||||||||||
Net periodic defined benefit (credit) cost | $ | (93) | $ | (64) | $ | (46) | $ | 14 | $ | 10 | $ | 11 | |||||||||||||||||||||||
Actual return on plan assets | $ | 291 | $ | 537 | $ | 579 | n/a | n/a | n/a | ||||||||||||||||||||||||||
Actual rate of return on plan assets | 8.92 | % | 18.72 | % | 24.07 | % | n/a | n/a | n/a | ||||||||||||||||||||||||||
Weighted-average assumptions used: | |||||||||||||||||||||||||||||||||||
Discount rate | 2.71 | % | 3.43 | % | 4.37 | % | 2.71 | % | 3.43 | % | 4.37 | % | |||||||||||||||||||||||
Expected long-term return on plan assets | 6.50 | 6.50 | 6.50 | n/a | n/a | n/a | |||||||||||||||||||||||||||||
Rate of compensation increase | 4.00 | 4.00 | 4.00 | 4.00 | 4.00 | 4.00 |
Defined Benefit Pension Plans | |||||||||||||||||||||||
(dollar amounts in millions) | Qualified | Non-Qualified | |||||||||||||||||||||
Years Ended December 31 | 2019 | 2018 | 2017 | 2019 | 2018 | 2017 | |||||||||||||||||
Service cost (a) | $ | 31 | $ | 29 | $ | 29 | $ | 3 | $ | 2 | $ | 2 | |||||||||||
Other components of net benefit (credit) cost: | |||||||||||||||||||||||
Interest cost | 80 | 75 | 78 | 9 | 8 | 8 | |||||||||||||||||
Expected return on plan assets | (166 | ) | (165 | ) | (159 | ) | — | — | — | ||||||||||||||
Amortization of prior service credit | (19 | ) | (19 | ) | (19 | ) | (8 | ) | (8 | ) | (8 | ) | |||||||||||
Amortization of net loss | 34 | 51 | 43 | 7 | 9 | 8 | |||||||||||||||||
Total other components of net benefit (credit) cost (b) | (71 | ) | (58 | ) | (57 | ) | 8 | 9 | 8 | ||||||||||||||
Net periodic defined benefit (credit) cost | $ | (40 | ) | $ | (29 | ) | $ | (28 | ) | $ | 11 | $ | 11 | $ | 10 | ||||||||
Actual return on plan assets | $ | 579 | $ | (167 | ) | $ | 396 | n/a | n/a | n/a | |||||||||||||
Actual rate of return on plan assets | 24.07 | % | (6.21 | )% | 16.48 | % | n/a | n/a | n/a | ||||||||||||||
Weighted-average assumptions used: | |||||||||||||||||||||||
Discount rate | 4.37 | % | 3.74 | % | 4.23 | % | 4.37 | % | 3.74 | % | 4.23 | % | |||||||||||
Expected long-term return on plan assets | 6.50 | 6.50 | 6.50 | n/a | n/a | n/a | |||||||||||||||||
Rate of compensation increase | 4.00 | 3.75 | 3.50 | 4.00 | 3.75 | 3.50 |
(dollar amounts in millions) | Postretirement Benefit Plan | ||||||||||||||||
Years Ended December 31 | 2021 | 2020 | 2019 | ||||||||||||||
Other components of net benefit credit: | |||||||||||||||||
Interest cost | $ | 1 | $ | 1 | $ | 2 | |||||||||||
Expected return on plan assets | (3) | (2) | (3) | ||||||||||||||
Amortization of actuarial net loss | — | — | 1 | ||||||||||||||
Net periodic postretirement benefit credit | $ | (2) | $ | (1) | $ | — | |||||||||||
Actual return on plan assets | $ | (1) | $ | 3 | $ | 5 | |||||||||||
Actual rate of return on plan assets | (2.25 | %) | 6.00 | % | 9.14 | % | |||||||||||
Weighted-average assumptions used: | |||||||||||||||||
Discount rate | 2.43% | 3.26 | % | 4.26 | % | ||||||||||||
Expected long-term return on plan assets | 5.00 | 5.00 | 5.00 | ||||||||||||||
Healthcare cost trend rate: | |||||||||||||||||
Cost trend rate assumed | 6.00 | 6.25 | 6.50 | ||||||||||||||
Rate to which the cost trend rate is assumed to decline (the ultimate trend rate) | 4.50 | 4.50 | 4.50 | ||||||||||||||
Year that the rate reaches the ultimate trend rate | 2027 | 2027 | 2027 |
(dollar amounts in millions) | Postretirement Benefit Plan | ||||||||||
Years Ended December 31 | 2019 | 2018 | 2017 | ||||||||
Other components of net benefit cost: | |||||||||||
Interest cost | $ | 2 | $ | 2 | $ | 2 | |||||
Expected return on plan assets | (3 | ) | (3 | ) | (3 | ) | |||||
Amortization of net loss | 1 | 1 | 1 | ||||||||
Net periodic postretirement benefit cost | $ | — | $ | — | $ | — | |||||
Actual return on plan assets | $ | 5 | $ | (1 | ) | $ | 2 | ||||
Actual rate of return on plan assets | 9.14 | % | (2.05 | )% | 3.52 | % | |||||
Weighted-average assumptions used: | |||||||||||
Discount rate | 4.26 | % | 3.55 | % | 3.92 | % | |||||
Expected long-term return on plan assets | 5.00 | 5.00 | 5.00 | ||||||||
Healthcare cost trend rate: | |||||||||||
Cost trend rate assumed | 6.50 | 6.50 | 6.50 | ||||||||
Rate to which the cost trend rate is assumed to decline (the ultimate trend rate) | 4.50 | 4.50 | 4.50 | ||||||||
Year that the rate reaches the ultimate trend rate | 2027 | 2027 | 2027 |
Defined Benefit Pension Plans | |||||||||||||||
(in millions) | Qualified | Non-Qualified | Postretirement Benefit Plan | Total | |||||||||||
Net loss | $ | 54 | $ | 9 | $ | 1 | $ | 64 | |||||||
Prior service credit | (19 | ) | (8 | ) | — | (27 | ) |
(in millions) | Total | Level 1 | Level 2 | Level 3 | |||||||||||
December 31, 2019 | |||||||||||||||
Equity securities: | |||||||||||||||
Mutual funds | $ | 2 | $ | 2 | $ | — | $ | — | |||||||
Common stock | 1,086 | 1,086 | — | — | |||||||||||
Fixed income securities: | |||||||||||||||
U.S. Treasury and other U.S. government agency securities | 574 | 551 | 23 | — | |||||||||||
Corporate and municipal bonds and notes | 734 | — | 734 | — | |||||||||||
Mortgage-backed securities | 27 | — | 27 | — | |||||||||||
Private placements | 57 | — | — | 57 | |||||||||||
Total investments in the fair value hierarchy | 2,480 | $ | 1,639 | $ | 784 | $ | 57 | ||||||||
Investments measured at net asset value: | |||||||||||||||
Collective investment funds | 469 | ||||||||||||||
Total investments at fair value | $ | 2,949 | |||||||||||||
December 31, 2018 | |||||||||||||||
Equity securities: | |||||||||||||||
Mutual funds | $ | 3 | $ | 3 | $ | — | $ | — | |||||||
Common stock | 803 | 803 | — | — | |||||||||||
Fixed income securities: | |||||||||||||||
U.S. Treasury and other U.S. government agency securities | 496 | 482 | 14 | — | |||||||||||
Corporate and municipal bonds and notes | 679 | — | 679 | — | |||||||||||
Mortgage-backed securities | 29 | — | 29 | — | |||||||||||
Private placements | 60 | — | — | 60 | |||||||||||
Total investments in the fair value hierarchy | 2,070 | $ | 1,288 | $ | 722 | $ | 60 | ||||||||
Investments measured at net asset value: | |||||||||||||||
Collective investment funds | 392 | ||||||||||||||
Total investments at fair value | $ | 2,462 |
(in millions) | Total | Level 1 | Level 2 | Level 3 | |||||||||||||||||||
December 31, 2021 | |||||||||||||||||||||||
Fixed income securities: | |||||||||||||||||||||||
U.S. Treasury and other U.S. government agency securities | $ | 599 | $ | 595 | $ | 4 | $ | — | |||||||||||||||
Corporate and municipal bonds and notes | 893 | — | 893 | — | |||||||||||||||||||
Mortgage-backed securities | 27 | — | 27 | — | |||||||||||||||||||
Private placements | 50 | — | — | 50 | |||||||||||||||||||
Total investments in the fair value hierarchy | $ | 1,569 | $ | 595 | $ | 924 | $ | 50 | |||||||||||||||
Investments measured at net asset value: | |||||||||||||||||||||||
Collective investment funds | 1,885 | ||||||||||||||||||||||
Total investments at fair value | $ | 3,454 | |||||||||||||||||||||
December 31, 2020 | |||||||||||||||||||||||
Equity securities: | |||||||||||||||||||||||
Mutual funds | $ | 4 | $ | 4 | $ | — | $ | — | |||||||||||||||
Common stock | 1,266 | 1,266 | — | — | |||||||||||||||||||
Fixed income securities: | |||||||||||||||||||||||
U.S. Treasury and other U.S. government agency securities | 494 | 492 | 2 | — | |||||||||||||||||||
Corporate and municipal bonds and notes | 861 | — | 861 | — | |||||||||||||||||||
Mortgage-backed securities | 29 | — | 29 | — | |||||||||||||||||||
Private placements | 58 | — | — | 58 | |||||||||||||||||||
Total investments in the fair value hierarchy | $ | 2,712 | $ | 1,762 | $ | 892 | $ | 58 | |||||||||||||||
Investments measured at net asset value: | |||||||||||||||||||||||
Collective investment funds | 637 | ||||||||||||||||||||||
Total investments at fair value | $ | 3,349 |
Balance at Beginning of Period | Balance at End of Period | ||||||||||||||||||||||
Net Gains (Losses) | |||||||||||||||||||||||
(in millions) | Realized | Unrealized | Purchases | Sales | |||||||||||||||||||
Year Ended December 31, 2019 | |||||||||||||||||||||||
Private placements | $ | 60 | $ | 3 | $ | 8 | $ | 49 | $ | (63 | ) | $ | 57 | ||||||||||
Year Ended December 31, 2018 | |||||||||||||||||||||||
Private placements | $ | 80 | $ | (1 | ) | $ | (7 | ) | $ | 70 | $ | (82 | ) | $ | 60 |
Balance at Beginning of Period | Balance at End of Period | ||||||||||||||||||||||||||||||||||
Net Gains (Losses) | |||||||||||||||||||||||||||||||||||
(in millions) | Realized | Unrealized | Purchases | Sales | |||||||||||||||||||||||||||||||
Year Ended December 31, 2021 | |||||||||||||||||||||||||||||||||||
Private placements | $ | 58 | $ | 2 | $ | (4) | $ | 44 | $ | (50) | $ | 50 | |||||||||||||||||||||||
Year Ended December 31, 2020 | |||||||||||||||||||||||||||||||||||
Private placements | $ | 57 | $ | 1 | $ | 3 | $ | 57 | $ | (60) | $ | 58 |
Estimated Future Benefit Payments | |||||||||||||||||
(in millions) Years Ended December 31 | Qualified Defined Benefit Pension Plan | Non-Qualified Defined Benefit Pension Plan | Postretirement Benefit Plan (a) | ||||||||||||||
2022 | $ | 215 | $ | 14 | $ | 4 | |||||||||||
2023 | 147 | 14 | 4 | ||||||||||||||
2024 | 148 | 14 | 3 | ||||||||||||||
2025 | 144 | 14 | 3 | ||||||||||||||
2026 | 144 | 14 | 3 | ||||||||||||||
2027 - 2031 | 687 | 68 | 9 |
Estimated Future Benefit Payments | |||||||||||
(in millions) Years Ended December 31 | Qualified Defined Benefit Pension Plan | Non-Qualified Defined Benefit Pension Plan | Postretirement Benefit Plan (a) | ||||||||
2020 | $ | 134 | $ | 14 | $ | 5 | |||||
2021 | 133 | 14 | 5 | ||||||||
2022 | 136 | 14 | 5 | ||||||||
2023 | 137 | 15 | 5 | ||||||||
2024 | 139 | 15 | 4 | ||||||||
2025 - 2029 | 683 | 74 | 16 |
(in millions) | |||||||||||
December 31 | 2019 | 2018 | 2017 | ||||||||
Current: | |||||||||||
Federal | $ | 267 | $ | 227 | $ | 371 | |||||
Foreign | 7 | 10 | 5 | ||||||||
State and local | 48 | 39 | 36 | ||||||||
Total current | 322 | 276 | 412 | ||||||||
Deferred: | |||||||||||
Federal | 16 | 29 | (26 | ) | |||||||
State and local | (4 | ) | 3 | (2 | ) | ||||||
Remeasurement of deferred taxes | — | (8 | ) | 107 | |||||||
Total deferred | 12 | 24 | 79 | ||||||||
Total | $ | 334 | $ | 300 | $ | 491 |
(in millions) | |||||||||||||||||
December 31 | 2021 | 2020 | 2019 | ||||||||||||||
Current: | |||||||||||||||||
Federal | $ | 212 | $ | 171 | $ | 267 | |||||||||||
Foreign | 5 | 5 | 7 | ||||||||||||||
State and local | 26 | 30 | 48 | ||||||||||||||
Total current | 243 | 206 | 322 | ||||||||||||||
Deferred: | |||||||||||||||||
Federal | 62 | (73) | 17 | ||||||||||||||
State and local | 17 | (9) | (3) | ||||||||||||||
Total deferred | 79 | (82) | 14 | ||||||||||||||
Total | $ | 322 | $ | 124 | $ | 336 |
(dollar amounts in millions) | 2021 | 2020 | 2019 | ||||||||||||||||||||||||||||||||
Years Ended December 31 | Amount | Rate | Amount | Rate | Amount | Rate | |||||||||||||||||||||||||||||
Tax based on federal statutory rate | $ | 313 | 21.0 | % | $ | 130 | 21.0 | % | $ | 323 | 21.0 | % | |||||||||||||||||||||||
State income taxes | 35 | 2.4 | 18 | 2.9 | 34 | 2.2 | |||||||||||||||||||||||||||||
Affordable housing and historic credits | (13) | (0.9) | (12) | (1.9) | (11) | (0.7) | |||||||||||||||||||||||||||||
Bank-owned life insurance | (10) | (0.6) | (10) | (1.6) | (9) | (0.6) | |||||||||||||||||||||||||||||
FDIC insurance expense | 5 | 0.3 | 7 | 1.1 | 5 | 0.3 | |||||||||||||||||||||||||||||
Employee stock transactions | (3) | (0.2) | (1) | (0.2) | (12) | (0.8) | |||||||||||||||||||||||||||||
Tax-related interest and penalties | — | — | (2) | (0.3) | 2 | 0.1 | |||||||||||||||||||||||||||||
Other | (5) | (0.4) | (6) | (1.0) | 4 | 0.3 | |||||||||||||||||||||||||||||
Provision for income taxes | $ | 322 | 21.6 | % | $ | 124 | 20.0 | % | $ | 336 | 21.8 | % |
(dollar amounts in millions) | 2019 | 2018 | 2017 | |||||||||||||||||
Years Ended December 31 | Amount | Rate | Amount | Rate | Amount | Rate | ||||||||||||||
Tax based on federal statutory rate | $ | 322 | 21.0 | % | $ | 323 | 21.0 | % | $ | 432 | 35.0 | % | ||||||||
State income taxes | 33 | 2.2 | 35 | 2.3 | 22 | 1.8 | ||||||||||||||
Employee stock transactions | (12 | ) | (0.8 | ) | (23 | ) | (1.5 | ) | (35 | ) | (2.8 | ) | ||||||||
Capitalization and recovery positions (a) | — | — | (17 | ) | (1.1 | ) | — | — | ||||||||||||
Affordable housing and historic credits | (11 | ) | (0.7 | ) | (12 | ) | (0.8 | ) | (21 | ) | (1.7 | ) | ||||||||
Bank-owned life insurance | (9 | ) | (0.6 | ) | (9 | ) | (0.6 | ) | (16 | ) | (1.3 | ) | ||||||||
Remeasurement of deferred taxes | — | — | (8 | ) | (0.5 | ) | 107 | 8.7 | ||||||||||||
FDIC insurance expense (b) | 5 | 0.3 | 8 | 0.5 | — | — | ||||||||||||||
Other changes in unrecognized tax benefits | — | — | 4 | 0.3 | — | — | ||||||||||||||
Tax-related interest and penalties | 2 | 0.1 | (3 | ) | (0.2 | ) | 4 | 0.3 | ||||||||||||
Lease termination transactions | — | — | — | — | (2 | ) | (0.2 | ) | ||||||||||||
Other | 4 | 0.2 | 2 | 0.1 | — | — | ||||||||||||||
Provision for income taxes | $ | 334 | 21.7 | % | $ | 300 | 19.5 | % | $ | 491 | 39.8 | % |
(in millions) | 2019 | 2018 | 2017 | ||||||||
Balance at January 1 | $ | 14 | $ | 10 | $ | 15 | |||||
Increase as a result of tax positions taken during a prior period | 4 | 9 | 4 | ||||||||
Decrease related to settlements with tax authorities | (1 | ) | (4 | ) | (8 | ) | |||||
Other | — | (1 | ) | (1 | ) | ||||||
Balance at December 31 | $ | 17 | $ | 14 | $ | 10 |
(in millions) | 2021 | 2020 | 2019 | ||||||||||||||
Balance at January 1 | $ | 19 | $ | 17 | $ | 14 | |||||||||||
Increase as a result of tax positions taken during a prior period | 1 | 1 | 4 | ||||||||||||||
Increase as a result of tax positions taken during the current period | 3 | 2 | — | ||||||||||||||
Decreases related to settlements with tax authorities | (3) | (1) | (1) | ||||||||||||||
Reduction as a result of expiration of statute of limitations | (2) | — | — | ||||||||||||||
Balance at December 31 | $ | 18 | $ | 19 | $ | 17 | |||||||||||
Jurisdiction | Tax Years | ||||
Federal | |||||
California |
(in millions) | |||||||
December 31 | 2019 | 2018 | |||||
Deferred tax assets: | |||||||
Allowance for loan losses | $ | 134 | $ | 141 | |||
Deferred compensation | 61 | 68 | |||||
Deferred loan origination fees and costs | 8 | 9 | |||||
Net unrealized losses on investment securities available-for-sale | — | 42 | |||||
Operating lease liability | 77 | — | |||||
Other temporary differences, net | 49 | 42 | |||||
Total deferred tax asset before valuation allowance | 329 | 302 | |||||
Valuation allowance | (3 | ) | (3 | ) | |||
Total deferred tax assets | 326 | 299 | |||||
Deferred tax liabilities: | |||||||
Lease financing transactions | (73 | ) | (74 | ) | |||
Defined benefit plans | (91 | ) | (41 | ) | |||
Allowance for depreciation | (21 | ) | (18 | ) | |||
Hedging gains and losses | (10 | ) | — | ||||
Leasing right of use asset | (69 | ) | — | ||||
Net unrealized gains on investment securities available-for-sale | (20 | ) | — | ||||
Total deferred tax liabilities | (284 | ) | (133 | ) | |||
Net deferred tax asset | $ | 42 | $ | 166 |
(in millions) | |||||||||||
December 31 | 2021 | 2020 | |||||||||
Deferred tax assets: | |||||||||||
Allowance for depreciation | $ | 7 | $ | — | |||||||
Allowance for loan losses | 124 | 199 | |||||||||
Deferred compensation | 71 | 59 | |||||||||
Deferred loan origination fees and costs | 17 | 19 | |||||||||
Net unrealized losses on investment securities available-for-sale | 30 | — | |||||||||
Operating lease liabilities | 74 | 72 | |||||||||
Other temporary differences, net | 21 | 51 | |||||||||
Total deferred tax assets before valuation allowance | 344 | 400 | |||||||||
Valuation allowance | (5) | (3) | |||||||||
Total deferred tax assets | 339 | 397 | |||||||||
Deferred tax liabilities: | |||||||||||
Lease financing transactions | (49) | (70) | |||||||||
Defined benefit plans | (198) | (137) | |||||||||
Allowance for depreciation | — | (11) | |||||||||
Net hedging gains | (17) | (47) | |||||||||
Leasing Right of Use assets | (66) | (64) | |||||||||
Net unrealized gains on investment securities available-for-sale | — | (65) | |||||||||
Total deferred tax liabilities | (330) | (394) | |||||||||
Net deferred tax assets | $ | 9 | $ | 3 |
(dollar amounts in millions) | Comerica Incorporated (Consolidated) | Comerica Bank | |||||
December 31, 2019 | |||||||
CET1 capital (minimum $3.1 billion (Consolidated)) | $ | 6,919 | $ | 7,199 | |||
Tier 1 capital (minimum $4.1 billion (Consolidated)) | 6,919 | 7,199 | |||||
Total capital (minimum $5.5 billion (Consolidated)) | 8,282 | 8,371 | |||||
Risk-weighted assets | 68,273 | 68,071 | |||||
Average assets (fourth quarter) | 72,773 | 72,564 | |||||
CET1 capital to risk-weighted assets (minimum-4.5%) | 10.13 | % | 10.58 | % | |||
Tier 1 capital to risk-weighted assets (minimum-6.0%) | 10.13 | 10.58 | |||||
Total capital to risk-weighted assets (minimum-8.0%) | 12.13 | 12.30 | |||||
Tier 1 capital to average assets (minimum-4.0%) | 9.51 | 9.92 | |||||
Capital conservation buffer (minimum-2.5%) | 4.13 | 4.30 | |||||
December 31, 2018 | |||||||
CET1 capital (minimum $3.0 billion (Consolidated)) | $ | 7,470 | $ | 7,229 | |||
Tier 1 capital (minimum $4.0 billion (Consolidated)) | 7,470 | 7,229 | |||||
Total capital (minimum $5.4 billion (Consolidated)) | 8,855 | 8,433 | |||||
Risk-weighted assets | 67,047 | 66,857 | |||||
Average assets (fourth quarter) | 71,070 | 70,905 | |||||
CET1 capital to risk-weighted assets (minimum-4.5%) | 11.14 | % | 10.81 | % | |||
Tier 1 capital to risk-weighted assets (minimum-6.0%) | 11.14 | 10.81 | |||||
Total capital to risk-weighted assets (minimum-8.0%) | 13.21 | 12.61 | |||||
Tier 1 capital to average assets (minimum-4.0%) | 10.51 | 10.20 | |||||
Capital conservation buffer (minimum-2.5%) | 5.14 | 4.61 |
(dollar amounts in millions) | Comerica Incorporated (Consolidated) | Comerica Bank | |||||||||
December 31, 2021 | |||||||||||
CET1 capital (minimum $3.1 billion (Consolidated)) | $ | 7,064 | $ | 7,634 | |||||||
Tier 1 capital (minimum $4.2 billion (Consolidated)) | 7,458 | 7,634 | |||||||||
Total capital (minimum $5.6 billion (Consolidated)) | 8,608 | 8,584 | |||||||||
Risk-weighted assets | 69,708 | 69,542 | |||||||||
Average assets (fourth quarter) | 96,417 | 96,216 | |||||||||
CET1 capital to risk-weighted assets (minimum-4.5%) | 10.13 | % | 10.98 | % | |||||||
Tier 1 capital to risk-weighted assets (minimum-6.0%) | 10.70 | 10.98 | |||||||||
Total capital to risk-weighted assets (minimum-8.0%) | 12.35 | 12.34 | |||||||||
Tier 1 capital to average assets (minimum-4.0%) | 7.74 | 7.93 | |||||||||
Capital conservation buffer (minimum-2.5%) | 4.35 | 4.34 | |||||||||
December 31, 2020 | |||||||||||
CET1 capital (minimum $3.0 billion (Consolidated)) | $ | 6,919 | $ | 7,278 | |||||||
Tier 1 capital (minimum $4.0 billion (Consolidated)) | 7,313 | 7,278 | |||||||||
Total capital (minimum $5.4 billion (Consolidated)) | 8,833 | 8,547 | |||||||||
Risk-weighted assets | 66,931 | 66,759 | |||||||||
Average assets (fourth quarter) | 84,705 | 84,536 | |||||||||
CET1 capital to risk-weighted assets (minimum-4.5%) | 10.34 | % | 10.90 | % | |||||||
Tier 1 capital to risk-weighted assets (minimum-6.0%) | 10.93 | 10.90 | |||||||||
Total capital to risk-weighted assets (minimum-8.0%) | 13.20 | 12.80 | |||||||||
Tier 1 capital to average assets (minimum-4.0%) | 8.63 | 8.61 | |||||||||
Capital conservation buffer (minimum-2.5%) | 4.93 | 4.80 |
(dollar amounts in millions) | Commercial Bank | Retail Bank | Wealth Management | Finance | Other | Total | |||||||||||||||||||||||||||||
Year Ended December 31, 2021 | |||||||||||||||||||||||||||||||||||
Earnings summary: | |||||||||||||||||||||||||||||||||||
Net interest income (expense) | $ | 1,577 | $ | 565 | $ | 166 | $ | (471) | $ | 7 | $ | 1,844 | |||||||||||||||||||||||
Provision for credit losses | (346) | (5) | (32) | — | (1) | (384) | |||||||||||||||||||||||||||||
Noninterest income | 663 | 123 | 279 | 41 | 17 | 1,123 | |||||||||||||||||||||||||||||
Noninterest expenses | 873 | 645 | 317 | 1 | 25 | 1,861 | |||||||||||||||||||||||||||||
Provision (benefit) for income taxes | 384 | 5 | 36 | (100) | (3) | 322 | |||||||||||||||||||||||||||||
Net income (loss) | $ | 1,329 | $ | 43 | $ | 124 | $ | (331) | $ | 3 | $ | 1,168 | |||||||||||||||||||||||
Net credit-related (recoveries) charge-offs | $ | (12) | $ | 2 | $ | — | $ | — | $ | — | $ | (10) | |||||||||||||||||||||||
Selected average balances: | |||||||||||||||||||||||||||||||||||
Assets | $ | 43,874 | $ | 3,213 | $ | 5,028 | $ | 17,705 | $ | 20,332 | $ | 90,152 | |||||||||||||||||||||||
Loans | 41,804 | 2,382 | 4,903 | — | (6) | 49,083 | |||||||||||||||||||||||||||||
Deposits | 45,587 | 25,682 | 5,218 | 965 | 229 | 77,681 | |||||||||||||||||||||||||||||
Statistical data: | |||||||||||||||||||||||||||||||||||
Return on average assets (a) | 2.71 | % | 0.16 | % | 2.24 | % | n/m | n/m | 1.30 | % | |||||||||||||||||||||||||
Efficiency ratio (b) | 38.98 | 92.98 | 71.02 | n/m | n/m | 62.60 | |||||||||||||||||||||||||||||
Year Ended December 31, 2020 | |||||||||||||||||||||||||||||||||||
Earnings summary: | |||||||||||||||||||||||||||||||||||
Net interest income (expense) | $ | 1,607 | $ | 503 | $ | 167 | $ | (384) | $ | 18 | $ | 1,911 | |||||||||||||||||||||||
Provision for credit losses | 495 | 7 | 35 | — | — | 537 | |||||||||||||||||||||||||||||
Noninterest income | 555 | 110 | 263 | 55 | 18 | 1,001 | |||||||||||||||||||||||||||||
Noninterest expenses (c) | 815 | 607 | 295 | 2 | 35 | 1,754 | |||||||||||||||||||||||||||||
Provision (benefit) for income taxes (c) | 184 | (3) | 22 | (78) | (1) | 124 | |||||||||||||||||||||||||||||
Net income (loss) (c) | $ | 668 | $ | 2 | $ | 78 | $ | (253) | $ | 2 | $ | 497 | |||||||||||||||||||||||
Net credit-related charge-offs | $ | 192 | $ | 1 | $ | 3 | $ | — | $ | — | $ | 196 | |||||||||||||||||||||||
Selected average balances: | |||||||||||||||||||||||||||||||||||
Assets | $ | 45,603 | $ | 3,281 | $ | 5,162 | $ | 15,418 | $ | 11,682 | $ | 81,146 | |||||||||||||||||||||||
Loans | 44,123 | 2,468 | 5,045 | — | (5) | 51,631 | |||||||||||||||||||||||||||||
Deposits | 36,603 | 22,832 | 4,402 | 1,026 | 175 | 65,038 | |||||||||||||||||||||||||||||
Statistical data: | |||||||||||||||||||||||||||||||||||
Return on average assets (a), (c) | 1.47 | % | — | % | 1.51 | % | n/m | n/m | 0.61 | % | |||||||||||||||||||||||||
Efficiency ratio (b), (c) | 37.70 | 98.52 | 68.47 | n/m | n/m | 60.13 |
(dollar amounts in millions) | Business Bank | Retail Bank | Wealth Management | Finance | Other | Total | |||||||||||||||||
Year Ended December 31, 2019 | |||||||||||||||||||||||
Earnings summary: | |||||||||||||||||||||||
Net interest income (expense) | $ | 1,655 | $ | 568 | $ | 183 | $ | (126 | ) | $ | 59 | $ | 2,339 | ||||||||||
Provision for credit losses | 88 | (4 | ) | (14 | ) | — | 4 | 74 | |||||||||||||||
Noninterest income | 555 | 132 | 270 | 43 | 10 | 1,010 | |||||||||||||||||
Noninterest expenses | 795 | 597 | 283 | (1 | ) | 69 | 1,743 | ||||||||||||||||
Provision (benefit) for income taxes | 306 | 24 | 44 | (26 | ) | (14 | ) | (a) | 334 | ||||||||||||||
Net income (loss) | $ | 1,021 | $ | 83 | $ | 140 | $ | (56 | ) | $ | 10 | $ | 1,198 | ||||||||||
Net credit-related charge-offs (recoveries) | $ | 111 | $ | 1 | $ | (5 | ) | $ | — | $ | — | $ | 107 | ||||||||||
Selected average balances: | |||||||||||||||||||||||
Assets | $ | 44,946 | $ | 2,852 | $ | 5,083 | $ | 14,235 | $ | 4,372 | $ | 71,488 | |||||||||||
Loans | 43,472 | 2,104 | 4,935 | — | — | 50,511 | |||||||||||||||||
Deposits | 29,047 | 20,743 | 3,833 | 1,673 | 185 | 55,481 | |||||||||||||||||
Statistical data: | |||||||||||||||||||||||
Return on average assets (b) | 2.27 | % | 0.39 | % | 2.76 | % | n/m | n/m | 1.68 | % | |||||||||||||
Efficiency ratio (c) | 35.96 | 84.49 | 62.45 | n/m | n/m | 51.82 | |||||||||||||||||
Year Ended December 31, 2018 | |||||||||||||||||||||||
Earnings summary: | |||||||||||||||||||||||
Net interest income (expense) | $ | 1,613 | $ | 548 | $ | 181 | $ | (46 | ) | $ | 56 | $ | 2,352 | ||||||||||
Provision for credit losses | 6 | (1 | ) | (3 | ) | — | (3 | ) | (1 | ) | |||||||||||||
Noninterest income | 547 | 136 | 266 | 27 | — | 976 | |||||||||||||||||
Noninterest expenses | 847 | 602 | 293 | (4 | ) | 56 | 1,794 | ||||||||||||||||
Provision (benefit) for income taxes | 283 | 18 | 36 | (14 | ) | (23 | ) | (a) | 300 | ||||||||||||||
Net income (loss) | $ | 1,024 | $ | 65 | $ | 121 | $ | (1 | ) | $ | 26 | $ | 1,235 | ||||||||||
Net credit-related charge-offs (recoveries) | $ | 52 | $ | — | $ | (1 | ) | $ | — | $ | — | $ | 51 | ||||||||||
Selected average balances: | |||||||||||||||||||||||
Assets | $ | 43,207 | $ | 2,633 | $ | 5,214 | $ | 13,705 | $ | 5,965 | $ | 70,724 | |||||||||||
Loans | 41,618 | 2,067 | 5,081 | — | — | 48,766 | |||||||||||||||||
Deposits | 30,116 | 20,812 | 3,941 | 941 | 125 | 55,935 | |||||||||||||||||
Statistical data: | |||||||||||||||||||||||
Return on average assets (b) | 2.37 | % | 0.31 | % | 2.32 | % | n/m | n/m | 1.75 | % | |||||||||||||
Efficiency ratio (c) | 39.22 | 87.59 | 65.60 | n/m | n/m | 53.56 |
(dollar amounts in millions) | Business Bank | Retail Bank | Wealth Management | Finance | Other | Total | |||||||||||||||||
Year Ended December 31, 2017 | |||||||||||||||||||||||
Earnings summary: | |||||||||||||||||||||||
Net interest income (expense) | $ | 1,513 | $ | 453 | $ | 169 | $ | (111 | ) | $ | 37 | $ | 2,061 | ||||||||||
Provision for credit losses | 69 | 2 | 1 | — | 2 | 74 | |||||||||||||||||
Noninterest income | 639 | 154 | 255 | 49 | 10 | 1,107 | |||||||||||||||||
Noninterest expenses | 918 | 615 | 285 | (4 | ) | 46 | 1,860 | ||||||||||||||||
Provision (benefit) for income taxes | 410 | (4 | ) | 51 | (35 | ) | 69 | (a) | 491 | ||||||||||||||
Net income (loss) | $ | 755 | $ | (6 | ) | $ | 87 | $ | (23 | ) | $ | (70 | ) | $ | 743 | ||||||||
Net credit-related charge-offs (recoveries) | $ | 96 | $ | 1 | $ | (5 | ) | $ | — | $ | — | $ | 92 | ||||||||||
Selected average balances: | |||||||||||||||||||||||
Assets | $ | 42,653 | $ | 2,626 | $ | 5,401 | $ | 13,954 | $ | 6,818 | $ | 71,452 | |||||||||||
Loans | 41,241 | 2,061 | 5,256 | — | — | 48,558 | |||||||||||||||||
Deposits | 31,999 | 20,775 | 4,081 | 241 | 162 | 57,258 | |||||||||||||||||
Statistical data: | |||||||||||||||||||||||
Return on average assets (b) | 1.77 | % | (0.03 | )% | 1.61 | % | n/m | n/m | 1.04 | % | |||||||||||||
Efficiency ratio (c) | 42.67 | 101.29 | 67.06 | n/m | n/m | 58.70 |
(dollar amounts in millions) | Michigan | California | Texas | Other Markets | Finance & Other | Total | |||||||||||||||||
Year Ended December 31, 2019 | |||||||||||||||||||||||
Earnings summary: | |||||||||||||||||||||||
Net interest income (expense) | $ | 729 | $ | 811 | $ | 493 | $ | 373 | $ | (67 | ) | $ | 2,339 | ||||||||||
Provision for credit losses | (11 | ) | (33 | ) | 119 | (5 | ) | 4 | 74 | ||||||||||||||
Noninterest income | 291 | 173 | 128 | 365 | 53 | 1,010 | |||||||||||||||||
Noninterest expenses | 554 | 406 | 345 | 369 | 69 | 1,743 | |||||||||||||||||
Provision (benefit) for income taxes | 108 | 155 | 38 | 74 | (41 | ) | (a) | 334 | |||||||||||||||
Net income (loss) | $ | 369 | $ | 456 | $ | 119 | $ | 300 | $ | (46 | ) | $ | 1,198 | ||||||||||
Net credit-related charge-offs (recoveries) | $ | 11 | $ | 8 | $ | 93 | $ | (5 | ) | $ | — | $ | 107 | ||||||||||
Selected average balances: | |||||||||||||||||||||||
Assets | $ | 13,157 | $ | 18,856 | $ | 11,269 | $ | 9,599 | $ | 18,607 | $ | 71,488 | |||||||||||
Loans | 12,553 | 18,540 | 10,616 | 8,802 | — | 50,511 | |||||||||||||||||
Deposits | 20,081 | 16,857 | 8,780 | 7,905 | 1,858 | 55,481 | |||||||||||||||||
Statistical data: | |||||||||||||||||||||||
Return on average assets (b) | 1.77 | % | 2.42 | % | 1.06 | % | 3.13 | % | n/m | 1.68 | % | ||||||||||||
Efficiency ratio (c) | 54.02 | 41.21 | 55.59 | 50.03 | n/m | 51.82 |
(dollar amounts in millions) | Michigan | California | Texas | Other Markets | Finance & Other | Total | |||||||||||||||||
Year Ended December 31, 2018 | |||||||||||||||||||||||
Earnings summary: | |||||||||||||||||||||||
Net interest income | $ | 727 | $ | 788 | $ | 474 | $ | 353 | $ | 10 | $ | 2,352 | |||||||||||
Provision for credit losses | 30 | 26 | (53 | ) | (1 | ) | (3 | ) | (1 | ) | |||||||||||||
Noninterest income | 296 | 164 | 130 | 359 | 27 | 976 | |||||||||||||||||
Noninterest expenses | 577 | 424 | 365 | 376 | 52 | 1,794 | |||||||||||||||||
Provision (benefit) for income taxes | 90 | 123 | 64 | 60 | (37 | ) | (a) | 300 | |||||||||||||||
Net income | $ | 326 | $ | 379 | $ | 228 | $ | 277 | $ | 25 | $ | 1,235 | |||||||||||
Net credit-related charge-offs | $ | 7 | $ | 27 | $ | 12 | $ | 5 | $ | — | $ | 51 | |||||||||||
Selected average balances: | |||||||||||||||||||||||
Assets | $ | 13,207 | $ | 18,544 | $ | 10,380 | $ | 8,922 | $ | 19,671 | $ | 70,724 | |||||||||||
Loans | 12,531 | 18,283 | 9,812 | 8,140 | — | 48,766 | |||||||||||||||||
Deposits | 20,770 | 16,964 | 8,992 | 8,144 | 1,065 | 55,935 | |||||||||||||||||
Statistical data: | |||||||||||||||||||||||
Return on average assets (b) | 1.51 | % | 2.04 | % | 2.20 | % | 3.11 | % | n/m | 1.75 | % | ||||||||||||
Efficiency ratio (c) | 56.22 | 44.58 | 60.30 | 52.93 | n/m | 53.56 | |||||||||||||||||
Year Ended December 31, 2017 | |||||||||||||||||||||||
Earnings summary: | |||||||||||||||||||||||
Net interest income (expense) | $ | 657 | $ | 711 | $ | 451 | $ | 316 | $ | (74 | ) | $ | 2,061 | ||||||||||
Provision for credit losses | 8 | 101 | (72 | ) | 36 | 1 | 74 | ||||||||||||||||
Noninterest income | 324 | 171 | 131 | 423 | 58 | 1,107 | |||||||||||||||||
Noninterest expenses | 589 | 404 | 375 | 450 | 42 | 1,860 | |||||||||||||||||
Provision for income taxes | 137 | 145 | 104 | 71 | 34 | (a) | 491 | ||||||||||||||||
Net income (loss) | $ | 247 | $ | 232 | $ | 175 | $ | 182 | $ | (93 | ) | $ | 743 | ||||||||||
Net credit-related (recoveries) charge-offs | $ | (1 | ) | $ | 33 | $ | 46 | $ | 14 | $ | — | $ | 92 | ||||||||||
Selected average balances: | |||||||||||||||||||||||
Assets | $ | 13,393 | $ | 18,269 | $ | 10,434 | $ | 8,584 | $ | 20,772 | $ | 71,452 | |||||||||||
Loans | 12,676 | 18,008 | 9,960 | 7,914 | — | 48,558 | |||||||||||||||||
Deposits | 21,818 | 17,533 | 9,623 | 7,881 | 403 | 57,258 | |||||||||||||||||
Statistical data: | |||||||||||||||||||||||
Return on average assets (b) | 1.09 | % | 1.25 | % | 1.61 | % | 2.12 | % | n/m | 1.04 | % | ||||||||||||
Efficiency ratio (c) | 60.01 | 45.83 | 64.35 | 60.98 | n/m | 58.70 |
(dollar amounts in millions) | Commercial Bank | Retail Bank | Wealth Management | Finance | Other | Total | |||||||||||||||||||||||||||||
Year Ended December 31, 2019 | |||||||||||||||||||||||||||||||||||
Earnings summary: | |||||||||||||||||||||||||||||||||||
Net interest income (expense) | $ | 1,655 | $ | 568 | $ | 183 | $ | (123) | $ | 56 | $ | 2,339 | |||||||||||||||||||||||
Provision for credit losses | 88 | (4) | (14) | — | 4 | 74 | |||||||||||||||||||||||||||||
Noninterest income | 555 | 132 | 270 | 41 | 12 | 1,010 | |||||||||||||||||||||||||||||
Noninterest expenses (c) | 793 | 594 | 282 | 1 | 67 | 1,737 | |||||||||||||||||||||||||||||
Provision (benefit) for income taxes (c) | 307 | 25 | 44 | (26) | (14) | 336 | |||||||||||||||||||||||||||||
Net income (loss) (c) | $ | 1,022 | $ | 85 | $ | 141 | $ | (57) | $ | 11 | $ | 1,202 | |||||||||||||||||||||||
Net credit-related charge-offs (recoveries) | $ | 111 | $ | 1 | $ | (5) | $ | — | $ | — | $ | 107 | |||||||||||||||||||||||
Selected average balances: | |||||||||||||||||||||||||||||||||||
Assets | $ | 44,946 | $ | 2,852 | $ | 5,083 | $ | 13,903 | $ | 4,704 | $ | 71,488 | |||||||||||||||||||||||
Loans | 43,477 | 2,104 | 4,935 | — | (5) | 50,511 | |||||||||||||||||||||||||||||
Deposits | 29,047 | 20,743 | 3,833 | 1,673 | 185 | 55,481 | |||||||||||||||||||||||||||||
Statistical data: | |||||||||||||||||||||||||||||||||||
Return on average assets (a), (c) | 2.28 | % | 0.40 | % | 2.78 | % | n/m | n/m | 1.68 | % | |||||||||||||||||||||||||
Efficiency ratio (b), (c) | 35.87 | 84.16 | 62.15 | n/m | n/m | 51.65 | |||||||||||||||||||||||||||||
(in millions, except share data) | |||||||||||
December 31 | 2021 | 2020 | |||||||||
(recast) | |||||||||||
Assets | |||||||||||
Cash and due from subsidiary banks | $ | 1,105 | $ | 1,489 | |||||||
Other short-term investments | 113 | 107 | |||||||||
Receivable due from subsidiary bank (a) | 150 | — | |||||||||
Investment in subsidiaries, principally banks | 8,278 | 8,215 | |||||||||
Premises and equipment | 1 | 1 | |||||||||
Accrued income and other assets | 265 | 329 | |||||||||
Total assets | $ | 9,912 | $ | 10,141 | |||||||
Liabilities and Shareholders’ Equity | |||||||||||
Medium- and long-term debt | $ | 1,736 | $ | 1,818 | |||||||
Accrued expenses and other liabilities | 279 | 273 | |||||||||
Total liabilities | 2,015 | 2,091 | |||||||||
Fixed-rate reset non-cumulative perpetual preferred stock, series A, no par value, $100,000 liquidation preference per share: | |||||||||||
Authorized - 4,000 shares | |||||||||||
Issued - 4,000 shares | 394 | 394 | |||||||||
Common stock - $5 par value: | |||||||||||
Authorized - 325,000,000 shares | |||||||||||
Issued - 228,164,824 shares | 1,141 | 1,141 | |||||||||
Capital surplus | 2,175 | 2,185 | |||||||||
Accumulated other comprehensive (loss) income (b) | (212) | 64 | |||||||||
Retained earnings (b) | 10,494 | 9,727 | |||||||||
Less cost of common stock in treasury - 97,476,872 shares at 12/31/2021 and 88,997,430 shares at 12/31/2020 | (6,095) | (5,461) | |||||||||
Total shareholders’ equity | 7,897 | 8,050 | |||||||||
Total liabilities and shareholders’ equity | $ | 9,912 | $ | 10,141 |
(in millions, except share data) | |||||||
December 31 | 2019 | 2018 | |||||
Assets | |||||||
Cash and due from subsidiary bank | $ | 1,196 | $ | 1,524 | |||
Other short-term investments | 95 | 88 | |||||
Investment in subsidiaries, principally banks | 7,784 | 7,429 | |||||
Premises and equipment | 1 | 1 | |||||
Other assets | 242 | 169 | |||||
Total assets | $ | 9,318 | $ | 9,211 | |||
Liabilities and Shareholders’ Equity | |||||||
Medium- and long-term debt | $ | 1,735 | $ | 1,459 | |||
Other liabilities | 256 | 245 | |||||
Total liabilities | 1,991 | 1,704 | |||||
Common stock - $5 par value: | |||||||
Authorized - 325,000,000 shares | |||||||
Issued - 228,164,824 shares | 1,141 | 1,141 | |||||
Capital surplus | 2,174 | 2,148 | |||||
Accumulated other comprehensive loss | (235 | ) | (609 | ) | |||
Retained earnings | 9,538 | 8,781 | |||||
Less cost of common stock in treasury - 86,069,234 shares at 12/31/19 and 68,081,176 shares at 12/31/18 | (5,291 | ) | (3,954 | ) | |||
Total shareholders’ equity | 7,327 | 7,507 | |||||
Total liabilities and shareholders’ equity | $ | 9,318 | $ | 9,211 |
(in millions) | |||||||||||
Years Ended December 31 | 2019 | 2018 | 2017 | ||||||||
Income | |||||||||||
Income from subsidiaries: | |||||||||||
Dividends from subsidiaries | $ | 1,229 | $ | 1,135 | $ | 915 | |||||
Other interest income | 20 | 13 | 3 | ||||||||
Intercompany management fees | 224 | 228 | 136 | ||||||||
Other noninterest income | — | — | 8 | ||||||||
Total income | 1,473 | 1,376 | 1,062 | ||||||||
Expenses | |||||||||||
Interest on medium- and long-term debt | 56 | 29 | 13 | ||||||||
Salaries and benefits expense | 143 | 140 | 127 | ||||||||
Occupancy expense | 6 | 5 | 5 | ||||||||
Equipment expense | 1 | 1 | 1 | ||||||||
Restructuring charges | — | 2 | 6 | ||||||||
Other noninterest expenses | 72 | 75 | 80 | ||||||||
Total expenses | 278 | 252 | 232 | ||||||||
Income before benefit for income taxes and equity in undistributed earnings of subsidiaries | 1,195 | 1,124 | 830 | ||||||||
Benefit for income taxes | (9 | ) | (5 | ) | (26 | ) | |||||
Income before equity in undistributed earnings of subsidiaries | 1,204 | 1,129 | 856 | ||||||||
Equity in undistributed earnings of subsidiaries, principally banks | (6 | ) | 106 | (113 | ) | ||||||
Net income | 1,198 | 1,235 | 743 | ||||||||
Less income allocated to participating securities | 7 | 8 | 5 | ||||||||
Net income attributable to common shares | $ | 1,191 | $ | 1,227 | $ | 738 |
(in millions) | |||||||||||||||||
Years Ended December 31 | 2021 | 2020 | 2019 | ||||||||||||||
(recast) | (recast) | ||||||||||||||||
Income | |||||||||||||||||
Income from subsidiaries: | |||||||||||||||||
Dividends from subsidiaries | $ | 849 | $ | 498 | $ | 1,229 | |||||||||||
Other interest income | 1 | 4 | 20 | ||||||||||||||
Intercompany management fees | 235 | 209 | 224 | ||||||||||||||
Total income | 1,085 | 711 | 1,473 | ||||||||||||||
Expenses | |||||||||||||||||
Interest on medium- and long-term debt | 20 | 30 | 56 | ||||||||||||||
Salaries and benefits expense | 170 | 141 | 143 | ||||||||||||||
Other noninterest expenses | 72 | 66 | 79 | ||||||||||||||
Total expenses | 262 | 237 | 278 | ||||||||||||||
Income before benefit for income taxes and equity in undistributed earnings (losses) of subsidiaries | 823 | 474 | 1,195 | ||||||||||||||
Benefit for income taxes | (6) | (6) | (9) | ||||||||||||||
Income before equity in undistributed earnings (losses) of subsidiaries | 829 | 480 | 1,204 | ||||||||||||||
Equity in undistributed earnings (losses) of subsidiaries, principally banks (a) | 339 | 17 | (2) | ||||||||||||||
Net income | 1,168 | 497 | 1,202 | ||||||||||||||
Less income allocated to participating securities | 5 | 2 | 7 | ||||||||||||||
Preferred stock dividends | 23 | 13 | — | ||||||||||||||
Net income attributable to common shares | $ | 1,140 | $ | 482 | $ | 1,195 |
(in millions) | |||||||||||||||||
Years Ended December 31 | 2021 | 2020 | 2019 | ||||||||||||||
(recast) | (recast) | ||||||||||||||||
Operating Activities | |||||||||||||||||
Net income | $ | 1,168 | $ | 497 | $ | 1,202 | |||||||||||
Adjustments to reconcile net income to net cash provided by operating activities: | |||||||||||||||||
Undistributed (losses) earnings of subsidiaries, principally banks | (339) | (17) | 2 | ||||||||||||||
Depreciation and amortization | — | — | 1 | ||||||||||||||
Net periodic defined benefit cost | 5 | 4 | 4 | ||||||||||||||
Share-based compensation expense | 19 | 11 | 15 | ||||||||||||||
Benefit for deferred income taxes | (2) | (1) | (2) | ||||||||||||||
Other, net | 3 | 2 | 28 | ||||||||||||||
Net cash provided by operating activities | 854 | 496 | 1,250 | ||||||||||||||
Investing Activities | |||||||||||||||||
Advance to subsidiary bank | (150) | — | — | ||||||||||||||
Capital transactions with subsidiaries | — | (21) | — | ||||||||||||||
Other, net | (1) | 2 | — | ||||||||||||||
Net cash used in investing activities | (151) | (19) | — | ||||||||||||||
Financing Activities | |||||||||||||||||
Medium- and long-term debt: | |||||||||||||||||
Maturities | — | — | (350) | ||||||||||||||
Issuances | — | — | 550 | ||||||||||||||
Preferred Stock: | |||||||||||||||||
Issuances | — | 394 | — | ||||||||||||||
Cash dividends paid | (23) | (8) | — | ||||||||||||||
Common Stock: | |||||||||||||||||
Repurchases | (729) | (199) | (1,394) | ||||||||||||||
Cash dividends paid | (369) | (375) | (402) | ||||||||||||||
Issuances under employee stock plans | 34 | 4 | 18 | ||||||||||||||
Net cash provided by (used in) financing activities | (1,087) | (184) | (1,578) | ||||||||||||||
Net increase (decrease) in cash and cash equivalents | (384) | 293 | (328) | ||||||||||||||
Cash and cash equivalents at beginning of period | 1,489 | 1,196 | 1,524 | ||||||||||||||
Cash and cash equivalents at end of period | $ | 1,105 | $ | 1,489 | $ | 1,196 | |||||||||||
Interest paid | $ | 21 | $ | 33 | $ | 55 |
(in millions) | |||||||||||
Years Ended December 31 | 2019 | 2018 | 2017 | ||||||||
Operating Activities | |||||||||||
Net income | $ | 1,198 | $ | 1,235 | $ | 743 | |||||
Adjustments to reconcile net income to net cash provided by operating activities: | |||||||||||
Undistributed earnings of subsidiaries, principally banks | 6 | (106 | ) | 113 | |||||||
Depreciation and amortization | 1 | 1 | 1 | ||||||||
Net periodic defined benefit cost (credit) | 4 | 4 | (2 | ) | |||||||
Share-based compensation expense | 15 | 21 | 16 | ||||||||
Benefit for deferred income taxes | (2 | ) | (1 | ) | (10 | ) | |||||
Other, net | 28 | 10 | 59 | ||||||||
Net cash provided by operating activities | 1,250 | 1,164 | 920 | ||||||||
Financing Activities | |||||||||||
Medium- and long-term debt: | |||||||||||
Maturities | (350 | ) | — | — | |||||||
Issuances | 550 | 850 | — | ||||||||
Common Stock: | |||||||||||
Repurchases | (1,394 | ) | (1,338 | ) | (560 | ) | |||||
Cash dividends paid | (402 | ) | (263 | ) | (180 | ) | |||||
Issuances of common stock under employee stock plans | 18 | 52 | 118 | ||||||||
Net cash used in financing activities | (1,578 | ) | (699 | ) | (622 | ) | |||||
Net (decrease) increase in cash and cash equivalents | (328 | ) | 465 | 298 | |||||||
Cash and cash equivalents at beginning of period | 1,524 | 1,059 | 761 | ||||||||
Cash and cash equivalents at end of period | $ | 1,196 | $ | 1,524 | $ | 1,059 | |||||
Interest paid | $ | 55 | $ | 11 | $ | 12 | |||||
Income taxes recovered | $ | (226 | ) | $ | (155 | ) | $ | (331 | ) |
2021 | |||||||||||||||||||||||
(in millions, except per share data) | Fourth Quarter | Third Quarter | Second Quarter | First Quarter | |||||||||||||||||||
Interest income | $ | 474 | $ | 489 | $ | 479 | $ | 459 | |||||||||||||||
Interest expense | 13 | 14 | 14 | 16 | |||||||||||||||||||
Net interest income | 461 | 475 | 465 | 443 | |||||||||||||||||||
Provision for credit losses | (25) | (42) | (135) | (182) | |||||||||||||||||||
Noninterest income | 289 | 280 | 284 | 270 | |||||||||||||||||||
Noninterest expenses | 486 | 465 | 463 | 447 | |||||||||||||||||||
Provision for income taxes | 61 | 70 | 93 | 98 | |||||||||||||||||||
Net income | 228 | 262 | 328 | 350 | |||||||||||||||||||
Less: | |||||||||||||||||||||||
Income allocated to participating securities | 1 | 1 | 2 | 1 | |||||||||||||||||||
Preferred stock dividends | 6 | 6 | 5 | 6 | |||||||||||||||||||
Net income attributable to common shares | $ | 221 | $ | 255 | $ | 321 | $ | 343 | |||||||||||||||
Earnings per common share: | |||||||||||||||||||||||
Basic | $ | 1.69 | $ | 1.92 | $ | 2.35 | $ | 2.46 | |||||||||||||||
Diluted | 1.66 | 1.90 | 2.32 | 2.43 | |||||||||||||||||||
Comprehensive income | 223 | 175 | 313 | 181 |
2020 | |||||||||||||||||||||||
(in millions, except per share data) | Fourth Quarter (Recast) | Third Quarter (Recast) | Second Quarter (Recast) | First Quarter (Recast) | |||||||||||||||||||
Interest income | $ | 489 | $ | 484 | $ | 511 | $ | 609 | |||||||||||||||
Interest expense | 20 | 26 | 40 | 96 | |||||||||||||||||||
Net interest income | 469 | 458 | 471 | 513 | |||||||||||||||||||
Provision for credit losses | (17) | 5 | 138 | 411 | |||||||||||||||||||
Net securities gains (losses) | — | — | 1 | (1) | |||||||||||||||||||
Noninterest income excluding net securities gains (losses) | 265 | 252 | 246 | 238 | |||||||||||||||||||
Noninterest expenses (a) | 465 | 438 | 434 | 417 | |||||||||||||||||||
Provision (benefit) for income taxes (a) | 65 | 50 | 28 | (19) | |||||||||||||||||||
Net income (loss) (a) | 221 | 217 | 118 | (59) | |||||||||||||||||||
Less: | |||||||||||||||||||||||
Income allocated to participating securities | 1 | — | 1 | — | |||||||||||||||||||
Preferred stock dividends | 5 | 8 | — | — | |||||||||||||||||||
Net income (loss) attributable to common shares (a) | $ | 215 | $ | 209 | $ | 117 | $ | (59) | |||||||||||||||
Earnings (loss) per common share: | |||||||||||||||||||||||
Basic (a) | $ | 1.54 | $ | 1.49 | $ | 0.85 | $ | (0.42) | |||||||||||||||
Diluted (a) | 1.53 | 1.48 | 0.84 | (0.42) | |||||||||||||||||||
Comprehensive income | 267 | 169 | 97 | 344 |
2019 | |||||||||||||||
(in millions, except per share data) | Fourth Quarter | Third Quarter | Second Quarter | First Quarter | |||||||||||
Interest income | $ | 659 | $ | 711 | $ | 727 | $ | 710 | |||||||
Interest expense | 115 | 125 | 124 | 104 | |||||||||||
Net interest income | 544 | 586 | 603 | 606 | |||||||||||
Provision for credit losses | 8 | 35 | 44 | (13 | ) | ||||||||||
Net securities gains (losses) | 1 | — | — | (8 | ) | ||||||||||
Noninterest income excluding net securities gains (losses) | 265 | 256 | 250 | 246 | |||||||||||
Noninterest expenses | 451 | 435 | 424 | 433 | |||||||||||
Provision for income taxes | 82 | 80 | 87 | 85 | |||||||||||
Net income | 269 | 292 | 298 | 339 | |||||||||||
Less income allocated to participating securities | 2 | 2 | 1 | 2 | |||||||||||
Net income attributable to common shares | $ | 267 | $ | 290 | $ | 297 | $ | 337 | |||||||
Earnings per common share: | |||||||||||||||
Basic | $ | 1.87 | $ | 1.98 | $ | 1.95 | $ | 2.14 | |||||||
Diluted | 1.85 | 1.96 | 1.94 | 2.11 | |||||||||||
Comprehensive income | 370 | 338 | 429 | 435 |
2018 | |||||||||||||||
(in millions, except per share data) | Fourth Quarter | Third Quarter | Second Quarter | First Quarter | |||||||||||
Interest income | $ | 704 | $ | 675 | $ | 650 | $ | 590 | |||||||
Interest expense | 90 | 76 | 60 | 41 | |||||||||||
Net interest income | 614 | 599 | 590 | 549 | |||||||||||
Provision for credit losses | 16 | — | (29 | ) | 12 | ||||||||||
Net securities (losses) gains | — | (20 | ) | — | 1 | ||||||||||
Noninterest income excluding net securities (losses) gains | 250 | 254 | 248 | 243 | |||||||||||
Noninterest expenses | 448 | 452 | 448 | 446 | |||||||||||
Provision for income taxes | 90 | 63 | 93 | 54 | |||||||||||
Net income | 310 | 318 | 326 | 281 | |||||||||||
Less income allocated to participating securities | 2 | 2 | 2 | 2 | |||||||||||
Net income attributable to common shares | $ | 308 | $ | 316 | $ | 324 | $ | 279 | |||||||
Earnings per common share: | |||||||||||||||
Basic | $ | 1.91 | $ | 1.89 | $ | 1.90 | $ | 1.62 | |||||||
Diluted | 1.88 | 1.86 | 1.87 | 1.59 | |||||||||||
Comprehensive income | 312 | 296 | 290 | 178 |
Commercial Bank | Retail Bank | Wealth Management | Finance & Other | Total | |||||||||||||||||||||||||
(in millions) | |||||||||||||||||||||||||||||
Year Ended December 31, 2021 | |||||||||||||||||||||||||||||
Revenue from contracts with customers: | |||||||||||||||||||||||||||||
Card fees | $ | 250 | $ | 44 | $ | 4 | $ | — | $ | 298 | |||||||||||||||||||
Fiduciary income | — | — | 231 | — | 231 | ||||||||||||||||||||||||
Service charges on deposit accounts | 136 | 54 | 5 | — | 195 | ||||||||||||||||||||||||
Commercial loan servicing fees (a) | 19 | — | — | — | 19 | ||||||||||||||||||||||||
Brokerage fees | — | — | 14 | — | 14 | ||||||||||||||||||||||||
Other noninterest income (b) | 5 | 17 | 17 | — | 39 | ||||||||||||||||||||||||
Total revenue from contracts with customers | 410 | 115 | 271 | — | 796 | ||||||||||||||||||||||||
Other sources of noninterest income | 253 | 8 | 8 | 58 | 327 | ||||||||||||||||||||||||
Total noninterest income | $ | 663 | $ | 123 | $ | 279 | $ | 58 | $ | 1,123 | |||||||||||||||||||
Year Ended December 31, 2020 | |||||||||||||||||||||||||||||
Revenue from contracts with customers: | |||||||||||||||||||||||||||||
Card fees | $ | 229 | $ | 38 | $ | 3 | $ | — | $ | 270 | |||||||||||||||||||
Fiduciary income | — | — | 209 | — | 209 | ||||||||||||||||||||||||
Service charges on deposit accounts | 128 | 52 | 5 | — | 185 | ||||||||||||||||||||||||
Commercial loan servicing fees (a) | 18 | — | — | — | 18 | ||||||||||||||||||||||||
Brokerage fees | — | — | 21 | — | 21 | ||||||||||||||||||||||||
Other noninterest income (b) | 28 | 10 | 17 | — | 55 | ||||||||||||||||||||||||
Total revenue from contracts with customers | 403 | 100 | 255 | — | 758 | ||||||||||||||||||||||||
Other sources of noninterest income | 152 | 10 | 8 | 73 | 243 | ||||||||||||||||||||||||
Total noninterest income | 555 | 110 | 263 | 73 | 1,001 | ||||||||||||||||||||||||
Year Ended December 31, 2019 | |||||||||||||||||||||||||||||
Revenue from contracts with customers: | |||||||||||||||||||||||||||||
Card fees | $ | 213 | $ | 40 | $ | 4 | $ | — | $ | 257 | |||||||||||||||||||
Fiduciary income | — | — | 206 | — | 206 | ||||||||||||||||||||||||
Service charges on deposit accounts | 130 | 68 | 5 | — | 203 | ||||||||||||||||||||||||
Commercial loan servicing fees (a) | 18 | — | — | — | 18 | ||||||||||||||||||||||||
Brokerage fees | — | — | 28 | — | 28 | ||||||||||||||||||||||||
Other noninterest income (b) | 8 | 11 | 18 | — | 37 | ||||||||||||||||||||||||
Total revenue from contracts with customers | 369 | 119 | 261 | — | 749 | ||||||||||||||||||||||||
Other sources of noninterest income | 186 | 13 | 9 | 53 | 261 | ||||||||||||||||||||||||
Total noninterest income | $ | 555 | $ | 132 | $ | 270 | $ | 53 | $ | 1,010 |
Business Bank | Retail Bank | Wealth Management | Finance & Other | Total | |||||||||||||||
(in millions) | |||||||||||||||||||
Year Ended December 31, 2019 | |||||||||||||||||||
Revenue from contracts with customers: | |||||||||||||||||||
Card fees | $ | 213 | $ | 40 | $ | 4 | $ | — | $ | 257 | |||||||||
Fiduciary income | — | — | 206 | — | 206 | ||||||||||||||
Service charges on deposit accounts | 130 | 68 | 5 | — | 203 | ||||||||||||||
Commercial loan servicing fees (a) | 18 | — | — | — | 18 | ||||||||||||||
Brokerage fees | — | — | 28 | — | 28 | ||||||||||||||
Other noninterest income (b) | 8 | 11 | 18 | — | 37 | ||||||||||||||
Total revenue from contracts with customers | 369 | 119 | 261 | — | 749 | ||||||||||||||
Other sources of noninterest income | 186 | 13 | 9 | 53 | 261 | ||||||||||||||
Total noninterest income | $ | 555 | $ | 132 | $ | 270 | $ | 53 | $ | 1,010 | |||||||||
Year Ended December 31, 2018 | |||||||||||||||||||
Revenue from contracts with customers: | |||||||||||||||||||
Card fees (c) | $ | 201 | $ | 39 | $ | 4 | $ | — | $ | 244 | |||||||||
Fiduciary income | — | — | 206 | — | 206 | ||||||||||||||
Service charges on deposit accounts (c) | 134 | 72 | 5 | — | 211 | ||||||||||||||
Commercial loan servicing fees (a) | 18 | — | — | — | 18 | ||||||||||||||
Brokerage fees | — | — | 27 | — | 27 | ||||||||||||||
Other noninterest income (b) | 12 | 19 | 17 | 1 | 49 | ||||||||||||||
Total revenue from contracts with customers | 365 | 130 | 259 | 1 | 755 | ||||||||||||||
Other sources of noninterest income | 182 | 6 | 7 | 26 | 221 | ||||||||||||||
Total noninterest income | $ | 547 | $ | 136 | $ | 266 | $ | 27 | $ | 976 | |||||||||
Year Ended December 31, 2017 | |||||||||||||||||||
Card fees | $ | 285 | $ | 43 | $ | 5 | $ | — | $ | 333 | |||||||||
Fiduciary income | — | — | 198 | — | 198 | ||||||||||||||
Services charges on deposit accounts | 143 | 79 | 5 | — | 227 | ||||||||||||||
Commercial lending fees | 84 | — | 1 | — | 85 | ||||||||||||||
Letter of credit fees | 44 | — | 1 | — | 45 | ||||||||||||||
Bank-owned life insurance | — | — | — | 43 | 43 | ||||||||||||||
Foreign exchange income | 43 | — | 2 | — | 45 | ||||||||||||||
Brokerage fees | — | — | 23 | — | 23 | ||||||||||||||
Other noninterest income | 40 | 32 | 20 | 16 | 108 | ||||||||||||||
Total noninterest income | $ | 639 | $ | 154 | $ | 255 | $ | 59 | $ | 1,107 |
(in millions) | |||||||||||||||||
Years Ended December 31 | 2021 | 2020 | 2019 | ||||||||||||||
Operating lease expense | $ | 65 | $ | 64 | $ | 64 | |||||||||||
Variable lease expense | 15 | 16 | 19 | ||||||||||||||
Less sublease income | (1) | (1) | (2) | ||||||||||||||
Total lease expense | $ | 79 | $ | 79 | $ | 81 |
(dollar amounts in millions) | |||||||||||||||||
Years Ended December 31 | 2021 | 2020 | 2019 | ||||||||||||||
Included in accrued income and other assets | |||||||||||||||||
Right-of-use (ROU) assets | $ | 317 | $ | 306 | $ | 329 | |||||||||||
Included in accrued expenses and other liabilities | |||||||||||||||||
Operating lease liabilities | 356 | 344 | 367 | ||||||||||||||
Weighted average discount rate | 3.33 | % | 3.61 | % | 3.78 | % | |||||||||||
Weighted average lease term in years | 8 | 8 | 9 |
(dollar amounts in millions) | |||||||||||||||||
Years Ended December 31 | 2021 | 2020 | 2019 | ||||||||||||||
Cash paid for amounts included in the measurement of lease liabilities | |||||||||||||||||
Operating cash flows from operating leases | $ | 66 | $ | 65 | $ | 67 | |||||||||||
ROU assets obtained in exchange for new lease liabilities | 64 | 28 | 49 |
(in millions) | |||
Years Ending December 31 | |||
2020 | $ | 60 | |
2021 | 62 | ||
2022 | 53 | ||
2023 | 46 | ||
2024 | 42 | ||
Thereafter | 175 | ||
Total contractual maturities | 438 | ||
Less imputed interest | (71 | ) | |
Total operating lease liabilities | $ | 367 |
(in millions) | |||||
Years Ending December 31 | |||||
2022 | $ | 60 | |||
2023 | 62 | ||||
2024 | 56 | ||||
2025 | 49 | ||||
2026 | 41 | ||||
Thereafter | 144 | ||||
Total contractual maturities | 412 | ||||
Less imputed interest | (56) | ||||
Total operating lease liabilities | $ | 356 |
(in millions) | |||||
Years Ending December 31 | |||||
2022 | $ | 123 | |||
2023 | 76 | ||||
2024 | 77 | ||||
2025 | 86 | ||||
2026 | 44 | ||||
Thereafter | 15 | ||||
Total lease payments receivable | 421 | ||||
Unguaranteed residual values | 64 | ||||
Less deferred interest income | (21) | ||||
Total lease receivables (a) | $ | 464 |
(in millions) | |||
Years Ending December 31 | |||
2020 | $ | 66 | |
2021 | 54 | ||
2022 | 90 | ||
2023 | 45 | ||
2024 | 40 | ||
Thereafter | 31 | ||
Total lease payments receivable | 326 | ||
Unguaranteed residual values | 64 | ||
Less deferred interest income | (21 | ) | |
Total lease receivables (a) | $ | 369 |
Curtis C. Farmer | James J. Herzog | Mauricio A. Ortiz | ||||||||||||
Chairman, President and | Executive Vice President | |||||||||||||
Chief Executive Officer | Chief Accounting Officer |
Allowance for credit losses | ||||||||
Description of the Matter | The Company’s loan portfolio Auditing management’s estimate of the allowance for |
How We Addressed the Matter in Our Audit | We obtained an understanding of the Company’s process for establishing the To test the appropriateness of the models used by management to estimate quantitative components of the ACL, with the support of specialists, we evaluated the model methodology and model performance, and tested key modeling assumptions including the economic forecast used within the models. To test the qualitative adjustments, we evaluated the identification and measurement of the qualitative adjustments, including the basis for concluding an adjustment was warranted when considering |
(in millions) | |||||||||||||||||||
Years Ended December 31 | 2019 | 2018 | 2017 | 2016 | 2015 | ||||||||||||||
ASSETS | |||||||||||||||||||
Cash and due from banks | $ | 887 | $ | 1,135 | $ | 1,209 | $ | 1,146 | $ | 1,059 | |||||||||
Interest-bearing deposits with banks | 3,360 | 4,700 | 5,443 | 5,099 | 6,158 | ||||||||||||||
Other short-term investments | 143 | 134 | 92 | 102 | 106 | ||||||||||||||
Investment securities | 12,120 | 11,810 | 12,207 | 12,348 | 10,237 | ||||||||||||||
Commercial loans | 32,053 | 30,534 | 30,415 | 31,062 | 31,501 | ||||||||||||||
Real estate construction loans | 3,325 | 3,155 | 2,958 | 2,508 | 1,884 | ||||||||||||||
Commercial mortgage loans | 9,170 | 9,131 | 9,005 | 8,981 | 8,697 | ||||||||||||||
Lease financing | 557 | 470 | 509 | 684 | 783 | ||||||||||||||
International loans | 1,019 | 1,021 | 1,157 | 1,367 | 1,441 | ||||||||||||||
Residential mortgage loans | 1,929 | 1,983 | 1,989 | 1,894 | 1,878 | ||||||||||||||
Consumer loans | 2,458 | 2,472 | 2,525 | 2,500 | 2,444 | ||||||||||||||
Total loans | 50,511 | 48,766 | 48,558 | 48,996 | 48,628 | ||||||||||||||
Less allowance for loan losses | (667 | ) | (695 | ) | (728 | ) | (730 | ) | (621 | ) | |||||||||
Net loans | 49,844 | 48,071 | 47,830 | 48,266 | 48,007 | ||||||||||||||
Accrued income and other assets | 5,134 | 4,874 | 4,671 | 4,782 | 4,680 | ||||||||||||||
Total assets | $ | 71,488 | $ | 70,724 | $ | 71,452 | $ | 71,743 | $ | 70,247 | |||||||||
LIABILITIES AND SHAREHOLDERS’ EQUITY | |||||||||||||||||||
Noninterest-bearing deposits | $ | 26,644 | $ | 29,241 | $ | 31,013 | $ | 29,751 | $ | 28,087 | |||||||||
Money market and interest-bearing checking deposits | 23,417 | 22,378 | 21,585 | 22,744 | 24,073 | ||||||||||||||
Savings deposits | 2,166 | 2,199 | 2,133 | 2,013 | 1,841 | ||||||||||||||
Customer certificates of deposit | 2,522 | 2,090 | 2,470 | 3,198 | 4,208 | ||||||||||||||
Other time deposits | 705 | 2 | 1 | 2 | 1 | ||||||||||||||
Foreign office time deposits | 27 | 25 | 56 | 33 | 116 | ||||||||||||||
Total interest-bearing deposits | 28,837 | 26,694 | 26,245 | 27,990 | 30,239 | ||||||||||||||
Total deposits | 55,481 | 55,935 | 57,258 | 57,741 | 58,326 | ||||||||||||||
Short-term borrowings | 369 | 62 | 277 | 138 | 93 | ||||||||||||||
Accrued expenses and other liabilities | 1,375 | 1,076 | 996 | 1,273 | 1,389 | ||||||||||||||
Medium- and long-term debt | 6,955 | 5,842 | 4,969 | 4,917 | 2,905 | ||||||||||||||
Total liabilities | 64,180 | 62,915 | 63,500 | 64,069 | 62,713 | ||||||||||||||
Total shareholders’ equity | 7,308 | 7,809 | 7,952 | 7,674 | 7,534 | ||||||||||||||
Total liabilities and shareholders’ equity | $ | 71,488 | $ | 70,724 | $ | 71,452 | $ | 71,743 | $ | 70,247 |
(in millions, except per share data) | |||||||||||||||||||
Years Ended December 31 | 2019 | 2018 | 2017 | 2016 | 2015 | ||||||||||||||
INTEREST INCOME | |||||||||||||||||||
Interest and fees on loans | $ | 2,439 | $ | 2,262 | $ | 1,872 | $ | 1,635 | $ | 1,551 | |||||||||
Interest on investment securities | 297 | 265 | 250 | 247 | 216 | ||||||||||||||
Interest on short-term investments | 71 | 92 | 60 | 27 | 17 | ||||||||||||||
Total interest income | 2,807 | 2,619 | 2,182 | 1,909 | 1,784 | ||||||||||||||
INTEREST EXPENSE | |||||||||||||||||||
Interest on deposits | 262 | 122 | 42 | 40 | 43 | ||||||||||||||
Interest on short-term borrowings | 9 | 1 | 3 | — | — | ||||||||||||||
Interest on medium- and long-term debt | 197 | 144 | 76 | 72 | 52 | ||||||||||||||
Total interest expense | 468 | 267 | 121 | 112 | 95 | ||||||||||||||
Net interest income | 2,339 | 2,352 | 2,061 | 1,797 | 1,689 | ||||||||||||||
Provision for credit losses | 74 | (1 | ) | 74 | 248 | 147 | |||||||||||||
Net interest income after provision for loan losses | 2,265 | 2,353 | 1,987 | 1,549 | 1,542 | ||||||||||||||
NONINTEREST INCOME | |||||||||||||||||||
Card fees | 257 | 244 | 333 | 303 | 276 | ||||||||||||||
Fiduciary income | 206 | 206 | 198 | 190 | 187 | ||||||||||||||
Service charges on deposit accounts | 203 | 211 | 227 | 219 | 223 | ||||||||||||||
Commercial lending fees | 91 | 85 | 85 | 89 | 99 | ||||||||||||||
Foreign exchange income | 44 | 47 | 45 | 42 | 40 | ||||||||||||||
Bank-owned life insurance | 41 | 39 | 43 | 42 | 40 | ||||||||||||||
Letter of credit fees | 38 | 40 | 45 | 50 | 53 | ||||||||||||||
Brokerage fees | 28 | 27 | 23 | 19 | 17 | ||||||||||||||
Net securities losses | (7 | ) | (19 | ) | — | — | (2 | ) | |||||||||||
Other noninterest income | 109 | 96 | 108 | 97 | 102 | ||||||||||||||
Total noninterest income | 1,010 | 976 | 1,107 | 1,051 | 1,035 | ||||||||||||||
NONINTEREST EXPENSES | |||||||||||||||||||
Salaries and benefits expense | 1,020 | 1,009 | 961 | 989 | 1,000 | ||||||||||||||
Outside processing fee expense | 264 | 255 | 366 | 336 | 318 | ||||||||||||||
Occupancy expense | 154 | 152 | 154 | 157 | 159 | ||||||||||||||
Software expense | 117 | 125 | 126 | 119 | 99 | ||||||||||||||
Equipment expense | 50 | 48 | 45 | 53 | 53 | ||||||||||||||
Advertising expense | 34 | 30 | 28 | 21 | 24 | ||||||||||||||
FDIC insurance expense | 23 | 42 | 51 | 54 | 37 | ||||||||||||||
Restructuring charges | — | 53 | 45 | 93 | — | ||||||||||||||
Other noninterest expenses | 81 | 80 | 84 | 108 | 137 | ||||||||||||||
Total noninterest expenses | 1,743 | 1,794 | 1,860 | 1,930 | 1,827 | ||||||||||||||
Income before income taxes | 1,532 | 1,535 | 1,234 | 670 | 750 | ||||||||||||||
Provision for income taxes | 334 | 300 | 491 | 193 | 229 | ||||||||||||||
NET INCOME | $ | 1,198 | $ | 1,235 | $ | 743 | $ | 477 | $ | 521 | |||||||||
Less income allocated to participating securities | 7 | 8 | 5 | 4 | 6 | ||||||||||||||
Net income attributable to common shares | $ | 1,191 | $ | 1,227 | $ | 738 | $ | 473 | $ | 515 | |||||||||
Earnings per common share: | |||||||||||||||||||
Basic | $ | 7.95 | $ | 7.31 | $ | 4.23 | $ | 2.74 | $ | 2.93 | |||||||||
Diluted | 7.87 | 7.20 | 4.14 | 2.68 | 2.84 | ||||||||||||||
Comprehensive income | 1,572 | 1,076 | 762 | 523 | 504 | ||||||||||||||
Cash dividends declared on common stock | 398 | 309 | 193 | 154 | 148 | ||||||||||||||
Cash dividends declared per common share | 2.68 | 1.84 | 1.09 | 0.89 | 0.83 |
Years Ended December 31 | 2019 | 2018 | 2017 | 2016 | 2015 | ||||||||||||||
Average Rates | |||||||||||||||||||
Interest-bearing deposits with banks | 2.05 | % | 1.94 | % | 1.09 | % | 0.51 | % | 0.26 | % | |||||||||
Other short-term investments | 1.26 | 0.96 | 0.64 | 0.61 | 0.81 | ||||||||||||||
Investment securities | 2.44 | 2.19 | 2.05 | 2.02 | 2.13 | ||||||||||||||
Commercial loans | 4.82 | 4.64 | 3.82 | 3.25 | 3.06 | ||||||||||||||
Real estate construction loans | 5.54 | 5.21 | 4.18 | 3.63 | 3.48 | ||||||||||||||
Commercial mortgage loans | 4.88 | 4.69 | 3.97 | 3.49 | 3.41 | ||||||||||||||
Lease financing | 3.44 | 3.82 | 2.63 | 2.64 | 3.15 | ||||||||||||||
International loans | 5.13 | 4.97 | 4.07 | 3.63 | 3.58 | ||||||||||||||
Residential mortgage loans | 3.85 | 3.77 | 3.70 | 3.76 | 3.77 | ||||||||||||||
Consumer loans | 4.85 | 4.41 | 3.70 | 3.32 | 3.26 | ||||||||||||||
Total loans | 4.83 | 4.64 | 3.85 | 3.34 | 3.19 | ||||||||||||||
Interest income as a percentage of earning assets | 4.24 | 3.99 | 3.29 | 2.88 | 2.75 | ||||||||||||||
Domestic deposits | 0.91 | 0.45 | 0.16 | 0.14 | 0.14 | ||||||||||||||
Deposits in foreign offices | 1.39 | 1.19 | 0.64 | 0.35 | 1.02 | ||||||||||||||
Total interest-bearing deposits | 0.91 | 0.46 | 0.16 | 0.14 | 0.14 | ||||||||||||||
Short-term borrowings | 2.39 | 1.93 | 1.14 | 0.45 | 0.05 | ||||||||||||||
Medium- and long-term debt | 2.82 | 2.47 | 1.51 | 1.45 | 1.80 | ||||||||||||||
Interest expense as a percentage of interest-bearing sources | 1.29 | 0.82 | 0.38 | 0.34 | 0.29 | ||||||||||||||
Interest rate spread | 2.95 | 3.17 | 2.91 | 2.54 | 2.46 | ||||||||||||||
Impact of net noninterest-bearing sources of funds | 0.59 | 0.41 | 0.20 | 0.17 | 0.14 | ||||||||||||||
Net interest margin as a percentage of earning assets | 3.54 | % | 3.58 | % | 3.11 | % | 2.71 | % | 2.60 | % | |||||||||
Ratios | |||||||||||||||||||
Return on average common shareholders’ equity | 16.39 | % | 15.82 | % | 9.34 | % | 6.22 | % | 6.91 | % | |||||||||
Return on average assets | 1.68 | 1.75 | 1.04 | 0.67 | 0.74 | ||||||||||||||
Efficiency ratio (a) | 51.82 | 53.56 | 58.64 | 67.62 | 67.03 | ||||||||||||||
Common equity tier 1 capital as a percentage of risk weighted assets | 10.13 | 11.14 | 11.68 | 11.09 | 10.54 | ||||||||||||||
Tier 1 capital as a percentage of risk-weighted assets | 10.13 | 11.14 | 11.68 | 11.09 | 10.54 | ||||||||||||||
Total capital as a percentage of risk-weighted assets | 12.13 | 13.21 | 13.84 | 13.27 | 12.69 | ||||||||||||||
Common equity ratio | 9.98 | 10.60 | 11.13 | 10.68 | 10.52 | ||||||||||||||
Tangible common equity as a percentage of tangible assets (b) | 9.19 | 9.78 | 10.32 | 9.89 | 9.70 | ||||||||||||||
Per Common Share Data | |||||||||||||||||||
Book value at year-end | $ | 51.57 | $ | 46.89 | $ | 46.07 | $ | 44.47 | $ | 43.03 | |||||||||
Market value at year-end | 71.75 | 68.69 | 86.81 | 68.11 | 41.83 | ||||||||||||||
Market value for the year | |||||||||||||||||||
High | 88.96 | 102.66 | 88.22 | 70.44 | 53.45 | ||||||||||||||
Low | 58.54 | 63.69 | 64.04 | 30.48 | 39.52 | ||||||||||||||
Other Data (share data in millions) | |||||||||||||||||||
Average common shares outstanding - basic | 150 | 168 | 174 | 172 | 176 | ||||||||||||||
Average common shares outstanding - diluted | 151 | 171 | 178 | 177 | 181 | ||||||||||||||
Number of banking centers | 436 | 436 | 438 | 458 | 477 | ||||||||||||||
Number of employees (full-time equivalent) | 7,747 | 7,865 | 7,999 | 7,960 | 8,880 |
COMERICA INCORPORATED | |||||||||||
By: | |||||||||||
/s/ Curtis C. Farmer | |||||||||||
Curtis C. Farmer Chairman, President and Chief Executive Officer |
/s/ Curtis C. Farmer | Chairman, President and Chief Executive Officer and | |||||||
Curtis C. Farmer | Director (Principal Executive Officer) | |||||||
/s/ James J. Herzog | Executive Vice President | |||||||
James J. Herzog | ||||||||
/s/ Mauricio A. Ortiz | ||||||||
Mauricio A. Ortiz | (Principal Accounting Officer) | |||||||
/ | ||||||||
Michael E. Collins | Director | |||||||
/s/ Roger A. Cregg | ||||||||
Roger A. Cregg | Director | |||||||
/s/ T. Kevin DeNicola | ||||||||
T. Kevin DeNicola | Director | |||||||
/s/ Nancy Flores | ||||||||
Nancy Flores | Director | |||||||
/s/ Jacqueline P. Kane | ||||||||
Jacqueline P. Kane | Director | |||||||
/s/ Richard G. Lindner | ||||||||
Richard G. Lindner | Director | |||||||
/s/ Barbara R. Smith | ||||||||
Barbara R. Smith | Director | |||||||
/s/ Robert S. Taubman | ||||||||
Robert S. Taubman | Director | |||||||
/s/ Reginald M. Turner, Jr. | ||||||||
Reginald M. Turner, Jr. | Director | |||||||
/s/ Nina G. Vaca | ||||||||
Nina G. Vaca | Director | |||||||
/s/ Michael G. Van de Ven | ||||||||
Michael G. Van de Ven | Director |