Document and Entity Information
Document and Entity Information - USD ($) $ in Billions | 12 Months Ended | ||
Dec. 31, 2016 | Jan. 31, 2017 | Jun. 30, 2016 | |
Document And Entity Information [Abstract] | |||
Document Type | 10-K | ||
Amendment Flag | false | ||
Document Period End Date | Dec. 31, 2016 | ||
Entity Registrant Name | BB&T CORP | ||
Trading Symbol | BBT | ||
Entity Central Index Key | 92,230 | ||
Current Fiscal Year End Date | --12-31 | ||
Document Fiscal Year Focus | 2,016 | ||
Document Fiscal Period Focus | FY | ||
Entity Filer Category | Large Accelerated Filer | ||
Entity Common Stock, Shares Outstanding | 808,394,189 | ||
Entity Public Float | $ 28.9 | ||
Entity Current Reporting Status | Yes | ||
Entity Voluntary Filers | No | ||
Entity Well-known Seasoned Issuer | Yes |
Consolidated Balance Sheets
Consolidated Balance Sheets - USD ($) shares in Thousands, $ in Millions | Dec. 31, 2016 | Dec. 31, 2015 |
Assets | ||
Cash and due from banks | $ 1,897 | $ 2,123 |
Interest-bearing deposits with banks | 1,895 | 1,435 |
Federal funds sold and securities purchased under resale agreements or similar arrangements | 144 | 153 |
Restricted cash | 488 | 456 |
AFS securities at fair value | 26,926 | 25,297 |
HTM securities (fair value of $16,546 and $18,519 at December 31, 2016 and 2015 respectively) | 16,680 | 18,530 |
LHFS at fair value | 1,716 | 1,035 |
Loans and leases | 143,322 | 135,951 |
ALLL | (1,489) | (1,460) |
Loans and leases, net of ALLL | 141,833 | 134,491 |
Premises and equipment | 2,107 | 2,007 |
Goodwill | 9,638 | 8,548 |
CDI and other intangible assets | 854 | 686 |
MSRs at fair value | 1,052 | 880 |
Other assets | 14,046 | 14,306 |
Total assets | 219,276 | 209,947 |
Deposits: | ||
Noninterest-bearing deposits | 50,697 | 45,695 |
Interest-bearing deposits | 109,537 | 103,429 |
Total deposits | 160,234 | 149,124 |
Short-term borrowings | 1,406 | 3,593 |
Long-term debt | 21,965 | 23,769 |
Accounts payable and other liabilities | 5,745 | 6,121 |
Total liabilities | 189,350 | 182,607 |
Commitments and contingencies (Note 14) | ||
Shareholders’ equity: | ||
Preferred stock, $5 par, liquidation preference of $25,000 per share | 3,053 | 2,603 |
Common stock, $5 par | 4,047 | 3,902 |
Additional paid-in capital | 9,104 | 8,365 |
Retained earnings | 14,809 | 13,464 |
AOCI, net of deferred income taxes | (1,132) | (1,028) |
Noncontrolling interests | 45 | 34 |
Total shareholders’ equity | 29,926 | 27,340 |
Total liabilities and shareholders’ equity | $ 219,276 | $ 209,947 |
Common shares outstanding | 809,475 | 780,337 |
Common shares authorized | 2,000,000 | 2,000,000 |
Preferred shares outstanding | 126 | 107 |
Preferred shares authorized | 5,000 | 5,000 |
Consolidated Balance Sheets (Pa
Consolidated Balance Sheets (Parenthetical) - USD ($) $ in Millions | Dec. 31, 2016 | Dec. 31, 2015 |
Statement of Financial Position [Abstract] | ||
HTM securities, fair value | $ 16,546 | $ 18,519 |
Preferred stock, par value per share (in usd per share) | $ 5 | $ 5 |
Preferred stock, liquidation preference per share (in usd per share) | 25,000 | 25,000 |
Common stock, par value per share (in usd per share) | $ 5 | $ 5 |
Consolidated Statements of Inco
Consolidated Statements of Income - USD ($) shares in Thousands, $ in Millions | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Interest Income | |||
Interest and fees on loans and leases | $ 5,985 | $ 5,347 | $ 5,163 |
Interest and dividends on securities | 1,029 | 941 | 939 |
Interest on other earning assets | 52 | 39 | 40 |
Total interest income | 7,066 | 6,327 | 6,142 |
Interest Expense | |||
Interest on deposits | 251 | 233 | 239 |
Interest on short-term borrowings | 9 | 4 | 4 |
Interest on long-term debt | 485 | 498 | 525 |
Total interest expense | 745 | 735 | 768 |
Net Interest Income | 6,321 | 5,592 | 5,374 |
Provision for credit losses | 572 | 428 | 251 |
Net Interest Income After Provision for Credit Losses | 5,749 | 5,164 | 5,123 |
Noninterest Income | |||
Insurance income | 1,713 | 1,596 | 1,643 |
Service charges on deposits | 664 | 631 | 632 |
Mortgage banking income | 463 | 455 | 395 |
Investment banking and brokerage fees and commissions | 408 | 398 | 387 |
Trust and investment advisory revenues | 266 | 240 | 221 |
Bankcard fees and merchant discounts | 237 | 218 | 207 |
Checkcard fees | 195 | 174 | 163 |
Operating lease income | 137 | 124 | 95 |
Income from bank-owned life insurance | 123 | 113 | 110 |
FDIC loss share income, net | (142) | (253) | (343) |
Other income | 362 | 326 | 349 |
Securities gains (losses), net | |||
Gross realized gains | 46 | 41 | 7 |
Gross realized losses | 0 | (40) | (4) |
OTTI charges | 0 | (2) | (23) |
Non-credit portion recognized in OCI | 0 | (2) | 17 |
Total securities gains (losses), net | 46 | (3) | (3) |
Total noninterest income | 4,472 | 4,019 | 3,856 |
Noninterest Expense | |||
Personnel expense | 3,964 | 3,469 | 3,180 |
Occupancy and equipment expense | 786 | 708 | 682 |
Software expense | 224 | 192 | 174 |
Outside IT services | 186 | 135 | 115 |
Amortization of intangibles | 150 | 105 | 91 |
Regulatory charges | 145 | 101 | 106 |
Professional services | 102 | 130 | 139 |
Loan-related expense | 95 | 150 | 267 |
Merger-related and restructuring charges, net | 171 | 165 | 46 |
Loss (gain) on early extinguishment of debt | (1) | 172 | 122 |
Other expense | 899 | 939 | 930 |
Total noninterest expense | 6,721 | 6,266 | 5,852 |
Earnings | |||
Income (loss) before income taxes | 3,500 | 2,917 | 3,127 |
Provision for income taxes | 1,058 | 794 | 921 |
Net income | 2,442 | 2,123 | 2,206 |
Noncontrolling interests | 16 | 39 | 75 |
Dividends on preferred stock | 167 | 148 | 148 |
Net income available to common shareholders | $ 2,259 | $ 1,936 | $ 1,983 |
Basic EPS (in usd per share) | $ 2.81 | $ 2.59 | $ 2.76 |
Diluted EPS (in usd per share) | 2.77 | 2.56 | 2.72 |
Cash dividends declared per share (in usd per share) | $ 1.15 | $ 1.05 | $ 0.95 |
Basic weighted average shares outstanding | 804,680 | 748,010 | 718,140 |
Diluted weighted average shares outstanding | 814,916 | 757,765 | 728,372 |
Consolidated Statements of Comp
Consolidated Statements of Comprehensive Income - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Statement of Comprehensive Income [Abstract] | |||
Net Income | $ 2,442 | $ 2,123 | $ 2,206 |
OCI, Net of Tax: | |||
Change in unrecognized net pension and postretirement costs | (41) | (97) | (323) |
Change in unrealized net gains (losses) on cash flow hedges | (9) | (29) | (56) |
Change in unrealized net gains (losses) on AFS securities | (225) | (186) | 194 |
Change in FDIC's share of unrealized gains/losses on AFS securities | 169 | 38 | 28 |
Other, net | 2 | (3) | (1) |
Total OCI | (104) | (277) | (158) |
Total comprehensive income | 2,338 | 1,846 | 2,048 |
Income Tax Effect of Items Included in OCI: | |||
Change in unrecognized net pension and postretirement costs | (20) | (59) | (192) |
Change in unrealized net gains (losses) on cash flow hedges | (4) | (18) | (34) |
Change in unrealized net gains (losses) on AFS securities | (130) | (120) | 117 |
Change in FDIC 's share of unrealized gains/losses on AFS securities | 98 | 25 | 17 |
Other, net | $ 1 | $ 3 | $ 2 |
Consolidated Statements of Chan
Consolidated Statements of Changes in Shareholders' Equity - USD ($) shares in Thousands, $ in Millions | Total | Preferred Stock | Common Stock | Additional Paid-In Capital | Retained Earnings | AOCI | Noncontrolling Interests |
Beginning balance, Shares at Dec. 31, 2013 | 706,620 | ||||||
Beginning balance at Dec. 31, 2013 | $ 22,780 | $ 2,603 | $ 3,533 | $ 6,172 | $ 11,015 | $ (593) | $ 50 |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||||
Net Income | 2,206 | 2,131 | 75 | ||||
Net change in AOCI | (158) | (158) | |||||
Stock transactions: | |||||||
Issued in connection with equity awards, Shares | 15,321 | ||||||
Issued in connection with equity awards | 309 | $ 76 | 233 | ||||
Shares repurchased in connection with equity awards, Shares | (2,287) | ||||||
Shares repurchased in connection with equity awards | (85) | $ (11) | (74) | ||||
Excess tax benefits in connection with equity awards | 49 | 49 | |||||
Issued in connection with dividend reinvestment plan, Shares | 391 | ||||||
Issued in connection with dividend reinvestment plan | 15 | $ 2 | 13 | ||||
Issued in connection with 401(k) plan, Shares | 653 | ||||||
Issued in connection with 401(k) plan | 25 | $ 3 | 22 | ||||
Cash dividends declared on common stock | (681) | (681) | |||||
Cash dividends declared on preferred stock | (148) | (148) | |||||
Equity-based compensation expense | 102 | 102 | |||||
Other, net | (37) | (37) | |||||
Ending balance, Shares at Dec. 31, 2014 | 720,698 | ||||||
Ending balance at Dec. 31, 2014 | 24,377 | 2,603 | $ 3,603 | 6,517 | 12,317 | (751) | 88 |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||||
Net Income | 2,123 | 2,084 | 39 | ||||
Net change in AOCI | (277) | (277) | |||||
Stock transactions: | |||||||
Issued in business combinations, Shares | 54,000 | ||||||
Issued in business combinations | 2,188 | $ 270 | 1,918 | ||||
Issued in connection with equity awards, Shares | 6,995 | ||||||
Issued in connection with equity awards | 114 | $ 35 | 79 | ||||
Shares repurchased in connection with equity awards, Shares | (1,356) | ||||||
Shares repurchased in connection with equity awards | (52) | $ (6) | (46) | ||||
Excess tax benefits in connection with equity awards | 11 | 11 | |||||
Purchase of additional ownership interest in AmRisc, LP | (222) | (219) | (3) | ||||
Cash dividends declared on common stock | (789) | (789) | |||||
Cash dividends declared on preferred stock | (148) | (148) | |||||
Equity-based compensation expense | 106 | 106 | |||||
Other, net | $ (91) | (1) | (90) | ||||
Ending balance, Shares at Dec. 31, 2015 | 780,337 | 780,337 | |||||
Ending balance at Dec. 31, 2015 | $ 27,340 | 2,603 | $ 3,902 | 8,365 | 13,464 | (1,028) | 34 |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||||
Net Income | 2,442 | 2,426 | 16 | ||||
Net change in AOCI | (104) | (104) | |||||
Stock transactions: | |||||||
Issued in business combinations, Shares | 31,665 | ||||||
Issued in business combinations | 1,063 | $ 158 | 905 | ||||
Issued in connection with equity awards, Shares | 10,311 | ||||||
Issued in connection with equity awards | 255 | $ 51 | 204 | ||||
Shares repurchased in connection with equity awards, Shares | (1,070) | ||||||
Shares repurchased in connection with equity awards | (35) | $ (5) | (30) | ||||
Excess tax benefits in connection with equity awards | 7 | 7 | |||||
Issued in connection with preferred stock offering | 450 | 450 | |||||
Repurchase of common stock pursuant to Board approved plans, Shares | (11,768) | ||||||
Repurchase of common stock pursuant to Board approved plans | (520) | $ (59) | (461) | ||||
Cash dividends declared on common stock | (925) | (925) | |||||
Cash dividends declared on preferred stock | (167) | (167) | |||||
Equity-based compensation expense | 115 | 115 | |||||
Other, net | $ 5 | (1) | 11 | (5) | |||
Ending balance, Shares at Dec. 31, 2016 | 809,475 | 809,475 | |||||
Ending balance at Dec. 31, 2016 | $ 29,926 | $ 3,053 | $ 4,047 | $ 9,104 | $ 14,809 | $ (1,132) | $ 45 |
Consolidated Statements of Cash
Consolidated Statements of Cash Flows - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Cash Flows From Operating Activities: | |||
Net Income | $ 2,442 | $ 2,123 | $ 2,206 |
Adjustments to reconcile net income to net cash from operating activities: | |||
Provision for credit losses | 572 | 428 | 251 |
Adjustment to income tax provision | (6) | (107) | (39) |
Depreciation | 405 | 356 | 333 |
Loss (gain) on early extinguishment of debt | (1) | 172 | 122 |
Amortization of intangibles | 150 | 105 | 91 |
Equity-based compensation expense | 115 | 106 | 102 |
(Gain) loss on securities, net | (46) | 3 | 3 |
Net change in operating assets and liabilities: | |||
LHFS | (644) | 422 | (201) |
Trading securities | 432 | (698) | (101) |
Other assets | (568) | (493) | 346 |
Accounts payable and other liabilities | 186 | 263 | (4) |
Cash paid to terminate FDIC loss share agreements | (230) | 0 | 0 |
Other, net | (135) | 235 | 101 |
Net cash from operating activities | 2,672 | 2,915 | 3,210 |
Cash Flows From Investing Activities: | |||
Proceeds from sales of AFS securities | 4,612 | 6,302 | 1,309 |
Proceeds from maturities, calls and paydowns of AFS securities | 5,888 | 5,064 | 3,915 |
Purchases of AFS securities | (10,033) | (12,698) | (3,685) |
Proceeds from maturities, calls and paydowns of HTM securities | 7,022 | 3,791 | 1,866 |
Purchases of HTM securities | (5,124) | (2,557) | (4,030) |
Originations and purchases of loans and leases, net of principal collected | (2,757) | (2,984) | (5,041) |
Net cash received (paid) for acquisitions and divestitures | (785) | 1,055 | 1,025 |
Other, net | 495 | 389 | 626 |
Net cash from investing activities | (682) | (1,638) | (4,015) |
Cash Flows From Financing Activities: | |||
Net change in deposits | 4,507 | 2,506 | 337 |
Net change in short-term borrowings | (3,581) | (982) | (421) |
Proceeds from issuance of long-term debt | 3,878 | 2,272 | 5,510 |
Repayment of long-term debt | (5,849) | (2,433) | (3,912) |
Net cash from common stock transactions | (293) | 73 | 298 |
Net proceeds from preferred stock issued | 450 | 0 | 0 |
Cash dividends paid on common stock | (925) | (789) | (666) |
Cash dividends paid on preferred stock | (167) | (148) | (148) |
Other, net | 215 | (390) | (33) |
Net cash from financing activities | (1,765) | 109 | 965 |
Net Change in Cash and Cash Equivalents | 225 | 1,386 | 160 |
Cash and Cash Equivalents at Beginning of Period | 3,711 | 2,325 | 2,165 |
Cash and Cash Equivalents at End of Period | 3,936 | 3,711 | 2,325 |
Cash paid during the period for: | |||
Interest | 775 | 734 | 765 |
Income taxes | 844 | 655 | 322 |
Noncash investing and financing activities: | |||
Transfers of loans to foreclosed assets | 487 | 532 | 547 |
Transfers of loans HFI to LHFS | 263 | 153 | 684 |
Stock issued in acquisitions | 1,063 | 2,188 | 0 |
Purchase of additional interest in AmRisc, LP | 0 | 216 | 0 |
Transfer of HTM securities to AFS | $ 0 | $ 517 | $ 0 |
Summary of Significant Accounti
Summary of Significant Accounting Policies | 12 Months Ended |
Dec. 31, 2016 | |
Accounting Policies [Abstract] | |
Summary of Significant Accounting Policies | Summary of Significant Accounting Policies General See the Glossary of Defined Terms at the beginning of this Report for terms used throughout the consolidated financial statements and related notes of this Form 10-K. The accounting and reporting policies are in accordance with GAAP. Additionally, where applicable, the policies conform to the accounting and reporting guidelines prescribed by bank regulatory authorities. The following is a summary of the more significant accounting policies. Nature of Operations BB&T is a FHC organized under the laws of North Carolina. BB&T conducts operations through a bank subsidiary, Branch Bank, and nonbank subsidiaries. Branch Bank’s offices are concentrated primarily in the southeastern and mid-Atlantic United States. BB&T provides a wide range of banking services to individuals, businesses and municipalities. BB&T offers a variety of loans and lease financing to individuals and entities primarily within BB&T’s geographic footprint, including insurance premium financing; permanent CRE financing arrangements; loan servicing for third-party investors; direct consumer finance loans to individuals; credit card lending; automobile financing; factoring and equipment financing. BB&T also markets a wide range of other services, including deposits; discount and full service brokerage, annuities and mutual funds; life insurance, property and casualty insurance, health insurance and commercial general liability insurance on an agency basis and through a wholesale insurance brokerage operation; merchant services; trust and retirement services; comprehensive wealth advisory services; asset management and capital markets services. Principles of Consolidation The consolidated financial statements include the accounts of BB&T Corporation and those subsidiaries that are majority owned by BB&T or over which BB&T exercises control. Intercompany accounts and transactions are eliminated in consolidation. The results of operations of companies or assets acquired are included from the dates of acquisition. All material wholly-owned and majority-owned subsidiaries are consolidated unless GAAP requires otherwise. BB&T holds investments in certain legal entities that are considered VIEs. VIEs are legal entities in which equity investors do not have sufficient equity at risk for the entity to independently finance its activities, or as a group, the holders of the equity investment at risk lack the power through voting or similar rights to direct the activities of the entity that most significantly impact its economic performance, or do not have the obligation to absorb the expected losses of the entity or the right to receive expected residual returns of the entity. Consolidation of a VIE is required if a reporting entity is the primary beneficiary of the VIE. Investments in VIEs are evaluated to determine if BB&T is the primary beneficiary. This evaluation gives appropriate consideration to the design of the entity and the variability that the entity was designed to pass along, the relative power of each party, and to BB&T’s relative obligation to absorb losses or receive residual returns of the entity, in relation to such obligations and rights held by each party. During 2015, BB&T disposed of its variable interests in its Tender Option Bond program trusts, which allowed for tax-advantaged financing of certain debt instruments issued by tax-exempt entities. BB&T was considered the primary beneficiary of the Tender Option Bond program trusts, resulting in the consolidation of their assets and liabilities in prior years. BB&T also has variable interests in certain entities that were not required to be consolidated, including affordable housing and other partnership interests. Refer to the "Commitments and Contingencies" note for additional disclosures regarding BB&T’s significant VIEs. BB&T accounts for unconsolidated partnerships and certain other investments using the equity method of accounting. BB&T records its portion of income or loss in other noninterest income in the Consolidated Statements of Income. These investments are periodically evaluated for impairment. BB&T also has investments in, and future funding commitments to, private equity investments, which are accounted for based on BB&T’s ownership and control rights specific to each investment. Reclassifications Certain amounts reported in prior periods’ consolidated financial statements have been reclassified to conform to the current presentation. Such reclassifications had no effect on previously reported cash flows, shareholders’ equity or net income. Use of Estimates in the Preparation of Financial Statements The preparation of financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities as of the date of the financial statements and the reported amounts of revenues and expenses during the reporting periods. Actual results could differ from those estimates. Material estimates that are particularly susceptible to significant change include the determination of the ACL, determination of fair value for financial instruments, valuation of goodwill, intangible assets and other purchase accounting related adjustments, benefit plan obligations and expenses, and tax assets, liabilities and expense. Business Combinations BB&T accounts for business combinations using the acquisition method of accounting. The accounts of an acquired entity are included as of the date of acquisition, and any excess of purchase price over the fair value of the net assets acquired is capitalized as goodwill. BB&T typically issues common stock and/or pays cash for an acquisition, depending on the terms of the acquisition agreement. The value of common shares issued is determined based on the market price of the stock as of the closing of the acquisition. Cash and Cash Equivalents Cash and cash equivalents include cash and due from banks, interest-bearing deposits with banks and Federal funds sold and securities purchased under resale agreements or similar arrangements. Cash and cash equivalents have maturities of three months or less. Accordingly, the carrying amount of such instruments is considered a reasonable estimate of fair value. Restricted Cash Restricted cash primarily represents amounts posted as collateral for derivatives in a loss position. Securities Marketable investment securities are classified as HTM, AFS or trading. Interest income and dividends on securities are recognized in income on an accrual basis. Premiums and discounts on debt securities are amortized as an adjustment to interest income using the effective interest method. For MBS, prepayment speeds are evaluated quarterly in order to determine the estimated lives of the securities. When the estimated lives of MBS are changed, the amortization of premiums or discounts is adjusted with a corresponding charge or credit to interest income as if the current estimated lives had been applied since the acquisition of the securities. Debt securities are classified as HTM when BB&T has both the intent and ability to hold the securities to maturity. These securities are reported at amortized cost. Debt securities that may be sold to meet liquidity needs arising from unanticipated deposit and loan fluctuations, changes in regulatory capital requirements or unforeseen changes in market conditions are classified as AFS. AFS securities are reported at estimated fair value, with unrealized gains and losses reported in AOCI, net of deferred income taxes, in the shareholders’ equity section of the Consolidated Balance Sheets. Gains or losses realized from the sale of AFS securities are determined by specific identification and are included in noninterest income. Each HTM and AFS security in a loss position is evaluated for OTTI. BB&T considers such factors as the length of time and the extent to which the fair value has been below amortized cost, long term expectations and recent experience regarding principal and interest payments, BB&T’s intent to sell and whether it is more likely than not that the Company would be required to sell those securities before the anticipated recovery of the amortized cost basis. The credit component of an OTTI loss is recognized in earnings and the non-credit component is recognized in AOCI in situations where BB&T does not intend to sell the security and it is more-likely-than-not that BB&T will not be required to sell the security prior to recovery. Subsequent to recognition of OTTI, an increase in expected cash flows is recognized as a yield adjustment over the remaining expected life of the security based on an evaluation of the nature of the increase. Trading account securities, which include both debt and equity securities, are reported at fair value and included in other assets in the Consolidated Balance Sheets. Unrealized fair value adjustments, fees, and realized gains or losses from trading account activities (determined by specific identification) are included in noninterest income. Interest income on trading account securities is included in interest on other earning assets. LHFS BB&T accounts for new originations of residential and commercial mortgage LHFS at fair value. BB&T accounts for the derivatives used to economically hedge the LHFS at fair value. The fair value of LHFS is primarily based on quoted market prices for securities collateralized by similar types of loans. Direct loan origination fees and costs related to LHFS are not capitalized and are recorded as mortgage banking income in the case of the direct loan origination fees and primarily personnel expense in the case of the direct loan origination costs. Gains and losses on sales of residential mortgage loans are included in mortgage banking income. Gains and losses on sales of commercial LHFS are included in other noninterest income. BB&T sells a significant portion of its fixed-rate commercial and conforming residential mortgage loan originations, which are typically converted into MBS by FHLMC, FNMA and GNMA and subsequently sold to other third party investors. BB&T records these transactions as a sale when the transferred loans are legally isolated from BB&T’s creditors and the other accounting criteria for a sale are met. Gains or losses recorded on these transactions are based on the net carrying amount of the loans sold and the fair value of related mortgage servicing, which BB&T generally retains on loans sold. Since quoted market prices are not typically available, BB&T estimates the fair value of these retained interests using modeling techniques to determine the net present value of expected future cash flows. Such models incorporate management’s best estimates of key variables, such as prepayment speeds, servicing costs and discount rates, that would be used by market participants based on the risks involved. Loans and Leases The Company’s accounting methods for loans differ depending on whether the loans are originated or purchased, and if purchased, whether or not the loans reflect credit deterioration since the date of origination such that it is probable at the date of acquisition that BB&T will be unable to collect all contractually required payments. Originated Loans and Leases Loans and leases that management has the intent and ability to hold for the foreseeable future are reported at their outstanding principal balances net of any unearned income, charge-offs, and unamortized fees and costs. The net amount of nonrefundable loan origination fees and certain direct costs associated with the lending process are deferred and amortized to interest income over the contractual lives of the loans using the effective interest method. BB&T classifies loans and leases as past due when the payment of principal and interest based upon contractual terms is greater than 30 days delinquent or if one payment is past due. When commercial loans are placed on nonaccrual status as described below, a charge-off is recorded, as applicable, to decrease the carrying value of such loans to the estimated recoverable amount. Retail loans are subject to mandatory charge-off at a specified delinquency date consistent with regulatory guidelines. As such, retail loans are subject to collateral valuation and charge-off, as applicable, when they are moved to nonaccrual status as described below. Purchased Loans Purchased loans are recorded at their fair value at the acquisition date. Credit discounts are included in the determination of fair value; therefore, an ALLL is not recorded at the acquisition date. Purchased loans are evaluated upon acquisition and classified as either purchased impaired or purchased non-impaired. PCI loans reflect credit deterioration since origination such that it is probable at acquisition that BB&T will be unable to collect all contractually required payments. For PCI loans, expected cash flows at the acquisition date in excess of the fair value of loans are recorded as interest income over the life of the loans using a level yield method if the timing and amount of the future cash flows is reasonably estimable. Subsequent to the acquisition date, increases in cash flows over those expected at the acquisition date are recognized prospectively as interest income. Decreases in expected cash flows due to credit deterioration are recognized by recording an ALLL. For purchased non-impaired loans, the difference between the fair value and UPB of the loan at the acquisition date is amortized or accreted to interest income over the contractual life of the loans using the effective interest method. In the event of prepayment, the remaining unamortized amount is recognized in interest income. TDRs Modifications to a borrower’s debt agreement are considered TDRs if a concession is granted for economic or legal reasons related to a borrower’s financial difficulties that otherwise would not be considered. TDRs are undertaken in order to improve the likelihood of recovery on the loan and may take the form of modifications made with the stated interest rate lower than the current market rate for new debt with similar risk, other modifications to the structure of the loan that fall outside of normal underwriting policies and procedures, or in certain limited circumstances forgiveness of principal or interest. Modifications of PCI loans that are part of a pool accounted for as a single asset are not considered TDRs. TDRs can involve loans remaining on nonaccrual, moving to nonaccrual, or continuing on accruing status, depending on the individual facts and circumstances of the borrower. In circumstances where the TDR involves charging off a portion of the loan balance, BB&T typically classifies these TDRs as nonaccrual. In connection with commercial TDRs, the decision to maintain a loan that has been restructured on accrual status is based on a current, well documented credit evaluation of the borrower’s financial condition and prospects for repayment under the modified terms. This evaluation includes consideration of the borrower’s current capacity to pay, which among other things may include a review of the borrower’s current financial statements, an analysis of cash flow available to pay debt obligations, and an evaluation of secondary sources of payment from the client and any guarantors. This evaluation also includes an evaluation of the borrower’s current willingness to pay, which may include a review of past payment history, an evaluation of the borrower’s willingness to provide information on a timely basis, and consideration of offers from the borrower to provide additional collateral or guarantor support. The credit evaluation may also include review of cash flow projections, consideration of the adequacy of collateral to cover all principal and interest and trends indicating improving profitability and collectability of receivables. The evaluation of mortgage and retail loans includes an evaluation of the client’s debt to income ratio, credit report, property value, loan vintage, and certain other client-specific factors that impact their ability to make timely principal and interest payments on the loan. Nonaccrual commercial TDRs may be returned to accrual status based on a current, well-documented credit evaluation of the borrower’s financial condition and prospects for repayment under the modified terms. This evaluation must include consideration of the borrower’s sustained historical repayment performance for a reasonable period (generally a minimum of six months ) prior to the date on which the loan is returned to accrual status. Sustained historical repayment performance for a reasonable time prior to the TDR may be taken into account. In connection with retail TDRs, a NPL will be returned to accruing status when current as to principal and interest and upon a sustained historical repayment performance (generally a minimum of six months ). TDR classification may be removed for a loan upon the occurrence of a non-concessionary subsequent modification that is at market terms and within current underwriting guidelines. NPAs NPAs include NPLs and foreclosed property. Foreclosed property consists of real estate and other assets acquired as a result of customers’ loan defaults. BB&T’s policies for placing loans on nonaccrual status conform to guidelines prescribed by bank regulatory authorities. The majority of commercial loans and leases are placed on nonaccrual status when it is probable that principal or interest is not fully collectible, or generally when principal or interest becomes 90 days past due, whichever occurs first. Other lending subsidiaries’ loans, which includes both retail and commercial loans, are placed on nonaccrual status generally when principal and interest becomes 90 days past due. Direct retail, mortgage and sales finance loans are placed on nonaccrual status at varying intervals, based on the type of product, generally when principal and interest becomes between 90 days and 120 days past due. PCI loans are considered to be performing due to the application of the expected cash flows method. Residential mortgage NPLs secured by 1-4 family properties are generally charged down to the fair value of the collateral securing the loan less costs to sell upon becoming 120 days past due, unless the shortfall is covered by private mortgage insurance. Nonperforming residential mortgage TDRs generally incur charge-offs at 120 days . If a known loss is identified prior to these time periods, the applicable charge-off occurs immediately. BB&T recognizes charge-offs on government guaranteed NPLs to the extent that the carrying value of the NPL exceeds the guaranteed amount. During the fourth quarter of 2015, BB&T implemented a residential mortgage and direct retail lending policy change to move loans to nonaccrual status at 120 days past due instead of 180 days . Charge-offs are recorded on revolving credit loans after they become 180 days past due and commercial bank card balances after they become 90 days past due. Unpaid fees and finance charges are reversed against interest income in the period in which the charge-off occurs. Other retail loans not secured by 1-4 family properties are charged down to the fair value of the collateral securing the loan less costs to sell upon becoming between 90 and 120 days past due, depending on the type of loan. Secured retail loans discharged through bankruptcy are charged down to the fair value of the related collateral, and the remaining balance is placed on nonaccrual status. Certain past due loans may remain on accrual status if management determines that it does not have concern over the collectability of principal and interest. Generally, when loans are placed on nonaccrual status, accrued interest receivable is reversed against interest income in the current period and amortization of deferred loan fees and expenses is suspended. Interest payments received thereafter are applied as a reduction to the remaining principal balance as long as concern exists as to the ultimate collection of the principal. Nonaccrual mortgage loans are accounted for using the cash basis. Loans and leases are generally removed from nonaccrual status when they become current as to both principal and interest and concern no longer exists as to the collectability of principal and interest. Assets acquired as a result of foreclosure are subsequently carried at the lower of cost or net realizable value. Net realizable value equals fair value less estimated selling costs. Any excess of cost over net realizable value at the time of foreclosure is charged to the ALLL. NPAs are subject to periodic revaluations of the collateral underlying impaired loans and foreclosed real estate. The periodic revaluations are generally based on the appraised value of the property and may include additional liquidity adjustments based upon the expected retention period. BB&T’s policies require that valuations be updated at least annually and that upon foreclosure, the valuation must not be more than six months old, otherwise an updated appraisal is required. Routine maintenance costs, other costs of ownership, subsequent declines in fair value and net losses on disposal are included in foreclosed property expense. ACL The ACL includes the ALLL and the RUFC. The ACL represents management’s best estimate of probable credit losses inherent in the loan and lease portfolios and off-balance sheet lending commitments at the balance sheet date. Estimates for loan and lease losses are determined by analyzing historical loan and lease losses, historical loan and lease migration to charge-off experience, current trends in delinquencies and charge-offs, expected cash flows on PCI loans, current assessment of impaired loans and leases, the results of regulatory examinations and changes in the size, composition and risk assessment of the loan and lease portfolio. As part of this process, BB&T develops a series of loss estimate factors, which are modeled projections of the frequency, timing and severity of losses. Changes to the ACL are made by charges to the provision for credit losses, which is reflected in the Consolidated Statements of Income. Loan or lease balances deemed to be uncollectible are charged off against the ALLL. Recoveries of amounts previously charged off are credited to the ALLL. The methodology used to determine the RUFC is inherently similar to that used to determine the collectively evaluated component of the ALLL, adjusted for factors specific to binding commitments, including the probability of funding and exposure at default. While management uses the best information available to establish the ACL, future adjustments may be necessary if economic conditions differ substantially from the assumptions used in computing the ACL or, if required by regulators based upon information available to them at the time of their examinations. Accounting standards require the presentation of certain disclosure information at the portfolio segment level, which represents the level at which an entity develops and documents a systematic methodology to determine its ACL. BB&T concluded that its loan and lease portfolio consists of three portfolio segments; commercial, retail and PCI. The commercial portfolio segment was identified based on the risk-based approach used to estimate the ALLL for the vast majority of these loans. The retail portfolio segment was identified based on the delinquency-based approach used to estimate the ALLL. The PCI portfolio segment was identified based on the expected cash flows approach used to estimate the ALLL. See the "Loans and ACL" note for additional information about the classes of financing receivables included within each of these loan portfolio segments. The entire amount of the ACL is available to absorb losses on any loan category or lending-related commitment. The following provides a description of accounting policies and methodologies related to each of the portfolio segments: Commercial The vast majority of loans in the commercial lending portfolio are assigned risk ratings based on an assessment of conditions that affect the borrower’s ability to meet contractual obligations under the loan agreement. This process includes reviewing borrowers’ financial information, historical payment experience, credit documentation, public information, and other information specific to each borrower. Risk ratings are reviewed on an annual basis for all credit relationships with total credit exposure of $1 million or more, or at any point management becomes aware of information affecting the borrowers’ ability to fulfill their obligations. Risk Rating Description Pass Loans not considered to be problem credits Special Mention Loans that have a potential weakness deserving management’s close attention Substandard Loans for which a well-defined weakness has been identified that may put full collection of contractual cash flows at risk For commercial clients with total credit exposure less than $1 million , BB&T has developed an automated loan review system to identify and proactively manage accounts with a higher risk of loss. The "score" produced by this automated system is updated monthly. To establish a reserve, BB&T's policy is to review all commercial lending relationships with an outstanding nonaccrual balance of $3 million or more. While this review is largely focused on the borrower’s ability to repay the loan, BB&T also considers the capacity and willingness of a loan’s guarantors to support the debt service on the loan as a secondary source of repayment. When a guarantor exhibits the documented capacity and willingness to support the loan, BB&T may consider extending the loan maturity and/or temporarily deferring principal payments if the ultimate collection of both principal and interest is not in question. In these cases, BB&T may deem the loan to not be impaired due to the documented capacity and willingness of the guarantor to repay the loan. Loans are considered impaired when the borrower (or guarantor in certain circumstances) does not have the cash flow capacity or willingness to service the debt according to contractual terms, or it does not appear reasonable to assume that the borrower will continue to pay according to the contractual agreement. BB&T establishes a specific reserve for each loan that has been deemed impaired based on the criteria outlined above. The amount of the reserve is based on the present value of expected cash flows discounted at the loan’s effective interest rate and/or the value of collateral, net of costs to sell. In addition, BB&T reviews any collateral-dependent commercial loan balances between $1 million and $3 million to establish a specific reserve based on the underlying collateral value, net of costs to sell. BB&T also has a review process related to TDRs and other commercial impaired loans. In connection with this process, BB&T establishes reserves related to these loans that are calculated using an expected cash flow approach. These discounted cash flow analyses incorporate adjustments to future cash flows that reflect management’s best estimate of the default risk related to TDRs based on a combination of historical experience and management judgment. BB&T also maintains reserves for collective impairment that reflect an estimate of losses related to non-impaired commercial loans as of the balance sheet date. Embedded loss estimates for BB&T’s commercial loan portfolio are based on estimated migration rates, which are based on historical experience, and current risk mix as indicated by the risk grading or scoring process described above. Embedded loss estimates may be adjusted to reflect current economic conditions and current portfolio trends including credit quality, concentrations, aging of the portfolio, and significant policy and underwriting changes. Retail The majority of the ALLL related to the retail lending portfolio is calculated on a collective basis using delinquency status, which is the primary factor considered in determining whether a retail loan should be classified as nonaccrual. Embedded loss estimates for BB&T’s retail lending portfolio are based on estimated migration rates that are developed based on historical experience, and current risk mix as indicated by prevailing delinquency rates. These estimates may be adjusted to reflect current economic conditions and current portfolio trends. The remaining portion of the ALLL related to the retail lending portfolio relates to loans that have been deemed impaired based on their classification as a TDR at the balance sheet date. BB&T establishes specific reserves related to these TDRs using an expected cash flow approach. The ALLL for retail TDRs is based on discounted cash flow analyses that incorporate adjustments to future cash flows that reflect management’s best estimate of the default risk related to TDRs based on a combination of historical experience and management judgment. PCI PCI loans (including all loans acquired in an FDIC-assisted transaction) are aggregated into loan pools based upon common risk characteristics. The ALLL for each loan pool is based on an analysis that is performed each period to estimate the expected cash flows. To the extent that the expected cash flows of a loan pool have decreased due to credit deterioration, BB&T establishes an ALLL. Assets Acquired from the FDIC and Related FDIC Loss Share Receivable/Payable Certain loans, securities and other assets were acquired from the FDIC in connection with the Colonial transaction and were previously divided between two loss sharing agreements, the single family loss share agreement and the commercial loss share agreement. During 2014, the loss sharing provisions related to the commercial loss share agreement expired, but certain gain/recovery sharing was to occur through September 2017. During the third quarter of 2016, the loss share agreements were terminated. Refer to the "Securities" note and the "Loans and ACL" note for additional information. The FDIC loss share receivable included amounts related to net reimbursements that were expected to be received from the FDIC and was included in other assets on the Consolidated Balance Sheets for periods prior to the termination. The recognized amounts related to expected future payments to the FDIC, including any amounts that resulted from the aggregate loss calculation, were included in accounts payable and other liabilities for periods prior to the termination. The income statement effect of the changes in the FDIC loss share receivable/payable included the accretion due to discounting and changes in expected net reimbursements. Decreases in expected net reimbursements, including the amounts expected to be paid to the FDIC as a result of the aggregate loss calculation, were recognized in income prospectively over the term of the loss share agreements consistent with the approach taken to recognize increases in cash flows on acquired loans. Increases in expected reimbursements were recognized in income in the same period that the provision for credit losses for the related loans was recognized. Subsequent to the recognition of ALLL related to specific assets, any decrease in expected net reimbursement was recognized in income in the same period that the provision for loan losses for the related loans was released. Premises and Equipment Premises, equipment, capital leases and leasehold improvements are stated at cost less accumulated depreciation and amortization. Land is stated at cost. In addition, purchased software and costs of computer software developed for internal use are capitalized provided certain criteria are met. Depreciation and amortization are computed principally using the straight-line method over the estimated useful lives of the related assets. Leasehold improvements are amortized on a straight-line basis over the lesser of the lease terms, including certain renewals that were deemed probable at lease inception, or the estimated useful lives of the improvements. Capitalized leases are amortized using the same methods as premises and equipment over the estimated useful lives or lease terms, whichever is less. Obligations under capital leases are amortized using the effective interest method to allocate payments between principal reduction and interest expense. Rent expense and rental income on operating leases is recorded using the straight-line method over the appropriate lease terms. Bank-Owned Life Insurance Life insurance policies on certain directors, officers |
Acquisitions and Divestitures
Acquisitions and Divestitures | 12 Months Ended |
Dec. 31, 2016 | |
Business Combinations [Abstract] | |
Acquisitions and Divestitures | Acquisitions and Divestitures On April 1, 2016, BB&T acquired all of the outstanding stock of National Penn, which conducted its business operations primarily through its bank subsidiary, National Penn Bank, which was merged into Branch Bank. National Penn operated other subsidiaries in Pennsylvania, New Jersey and Maryland to provide a wide range of retail and commercial banking and financial products and services. National Penn also operated a trust and investment company, an asset management company and a property and casualty insurance brokerage company. National Penn had 126 banking offices as of the acquisition date. BB&T acquired National Penn in order to increase BB&T’s market share in these areas. The acquisition of National Penn constituted a business combination. Accordingly, the assets acquired and liabilities assumed are presented at their fair values in the table below. The determination of fair value requires management to make estimates about discount rates, future expected cash flows, market conditions and other future events that are highly subjective in nature and subject to change. These fair value estimates are considered preliminary and are subject to change for up to one year after the closing date of the acquisition as additional information becomes available. Immaterial amounts of the intangible assets recognized are deductible for income tax purposes. National Penn UPB Fair Value (Dollars in millions) Assets acquired: Cash, due from banks and federal funds sold $ 216 Securities 2,499 Loans and leases: Commercial and industrial $ 2,817 2,596 CRE-income producing properties 1,450 1,202 CRE-construction and development 165 127 Direct retail lending 801 767 Revolving credit 7 7 Residential mortgage 1,217 1,004 Sales finance 166 162 PCI 181 124 Total loans and leases $ 6,804 5,989 Goodwill 795 CDI 67 Other assets 503 Total assets acquired 10,069 Liabilities assumed: Deposits: Noninterest-bearing deposits 1,209 Interest-bearing deposits 5,420 Total deposits 6,629 Debt 1,756 Other liabilities 66 Total liabilities assumed 8,451 Consideration paid $ 1,618 Cash paid $ 555 Fair value of common stock issued, including replacement equity awards 1,063 The purchase price allocation for this acquisition has not been finalized. The following is a description of the methods used to determine the fair values of significant assets and liabilities. Cash, due from banks and federal funds sold: The carrying amount of these assets is a reasonable estimate of fair value based on the short-term nature of these assets. Securities: Fair values for securities are based on quoted market prices, where available. If quoted market prices are not available, fair value estimates are based on observable inputs including quoted market prices for similar instruments, quoted market prices that are not in an active market or other inputs that are observable in the market. In the absence of observable inputs, fair value is estimated based on pricing models and/or discounted cash flow methodologies. Loans and leases: Fair values for loans were based on a discounted cash flow methodology that considered factors including the type of loan and related collateral, classification status, fixed or variable interest rate, term of loan, amortization status and current discount rates. Loans were grouped together according to similar characteristics and were treated in the aggregate when applying various valuation techniques. The discount rates used for loans are based on current market rates for new originations of comparable loans and include adjustments for liquidity concerns. The discount rate does not include a factor for credit losses as that has been included as a reduction to the estimated cash flows. CDI: This intangible asset represents the value of the relationships with deposit customers. The fair value was estimated based on a discounted cash flow methodology that gave appropriate consideration to expected customer attrition rates, cost of the deposit base, reserve requirements and the net maintenance cost attributable to customer deposits. The CDI is being amortized over 10 years based upon the estimated economic benefits received. Deposits: The fair values used for the demand and savings deposits by definition equal the amount payable on demand at the acquisition date. The fair values for time deposits are estimated using a discounted cash flow calculation that applies interest rates currently being offered to the contractual interest rates on such time deposits. Debt: The fair values of long-term debt instruments are estimated based on quoted market prices for the instrument if available, or for similar instruments if not available, or by using discounted cash flow analyses, based on current incremental borrowing rates for similar types of instruments. Other Acquisitions and Divestitures On April 1, 2016, BB&T purchased insurance broker Swett & Crawford from Cooper Gay Swett & Crawford for $461 million in cash. The purchase price allocation for this acquisition has not been finalized. Refer to the “Goodwill and Other Intangible Assets” note in the "Notes to Consolidated Financial Statements" for additional information. See BB&T's Annual Report on Form 10-K for the year ended December 31, 2015 for additional information related to the following transactions. During the third quarter of 2015, BB&T acquired Susquehanna Bancshares, Inc., resulting in the addition of $18.3 billion in assets and $14.1 billion in deposits. Susquehanna had 245 financial centers in Pennsylvania, Maryland, New Jersey and West Virginia. During the second quarter of 2015, BB&T acquired The Bank of Kentucky, which provided $2.0 billion in assets, $1.6 billion in deposits and 32 financial centers. During the second quarter of 2015, BB&T purchased additional ownership interest in AmRisc, LP from the noncontrolling owners in exchange for cash and full ownership of American Coastal, which resulted in a net charge to equity. During the first quarter of 2015, BB&T acquired 41 financial centers in Texas, which provided $238 million in assets and $1.9 billion in deposits. |
Securities
Securities | 12 Months Ended |
Dec. 31, 2016 | |
Investments, Debt and Equity Securities [Abstract] | |
Securities | Securities Amortized Cost Gross Unrealized Fair Value December 31, 2016 Gains Losses (Dollars in millions) AFS securities: U.S. Treasury $ 2,669 $ 2 $ 84 $ 2,587 GSE 190 — 10 180 Agency MBS 21,819 13 568 21,264 States and political subdivisions 2,198 56 49 2,205 Non-agency MBS 446 233 — 679 Other 11 — — 11 Total AFS securities $ 27,333 $ 304 $ 711 $ 26,926 HTM securities: U.S. Treasury $ 1,098 $ 20 $ — $ 1,118 GSE 2,197 14 30 2,181 Agency MBS 13,225 40 180 13,085 States and political subdivisions 110 — — 110 Other 50 2 — 52 Total HTM securities $ 16,680 $ 76 $ 210 $ 16,546 Amortized Cost Gross Unrealized Fair Value December 31, 2015 Gains Losses (Dollars in millions) AFS securities: U.S. Treasury $ 1,836 $ 2 $ 6 $ 1,832 GSE 51 — — 51 Agency MBS 20,463 22 439 20,046 States and political subdivisions 2,312 103 40 2,375 Non-agency MBS 683 306 — 989 Other 4 — — 4 Total AFS securities $ 25,349 $ 433 $ 485 $ 25,297 HTM securities: U.S. Treasury $ 1,097 $ 22 $ — $ 1,119 GSE 5,045 16 98 4,963 Agency MBS 12,267 70 22 12,315 States and political subdivisions 63 — — 63 Other 58 2 1 59 Total HTM securities $ 18,530 $ 110 $ 121 $ 18,519 During the third quarter of 2016, Branch Bank entered into an early termination agreement with the FDIC that terminated the loss share agreements. As a result of the settlement, no future loss sharing or gain sharing will occur related to the Colonial acquisition. The accounting for the affected securities has not changed; however, these securities have been classified into their respective categories and prior periods have been revised to conform to the current presentation. During 2015, BB&T transferred $517 million of HTM securities to AFS. These securities, which were sold in 2015, represented securities collateralized by student loans for which there was a significant increase in risk weighting as a result of the implementation of Basel III. Certain investments in marketable debt securities and MBS issued by FNMA and FHLMC exceeded 10% of shareholders’ equity at December 31, 2016 . The FNMA investments had total amortized cost and fair value of $13.9 billion and $13.6 billion , respectively. The FHLMC investments had total amortized cost and fair value of $7.8 billion and $7.6 billion , respectively. The following table reflects changes in credit losses on securities with OTTI where a portion of the unrealized loss was recognized in OCI. Assets acquired from the FDIC were excluded from this table prior to the termination of the loss share agreements. Year Ended December 31, 2016 2015 2014 (Dollars in millions) Balance at beginning of period $ 42 $ 64 $ 78 Credit losses on securities without previous OTTI — — 6 Credit losses on securities for which OTTI was previously recognized — 4 — Reductions for securities sold/settled during the period (21 ) (22 ) (17 ) Credit recoveries through yield (1 ) (4 ) (3 ) Included as a result of loss share termination 1 — — Balance at end of period $ 21 $ 42 $ 64 The amortized cost and estimated fair value of the securities portfolio by contractual maturity are shown in the following table. The expected life of MBS may differ from contractual maturities because borrowers have the right to prepay the underlying mortgage loans with or without prepayment penalties. AFS HTM December 31, 2016 Amortized Cost Fair Value Amortized Cost Fair Value (Dollars in millions) Due in one year or less $ 275 $ 275 $ — $ — Due after one year through five years 1,013 1,018 1,683 1,703 Due after five years through ten years 2,670 2,580 1,688 1,672 Due after ten years 23,375 23,053 13,309 13,171 Total debt securities $ 27,333 $ 26,926 $ 16,680 $ 16,546 The following tables present the fair values and gross unrealized losses of investments based on the length of time that individual securities have been in a continuous unrealized loss position: Less than 12 months 12 months or more Total December 31, 2016 Fair Value Unrealized Losses Fair Value Unrealized Losses Fair Value Unrealized Losses (Dollars in millions) AFS securities: U.S. Treasury $ 2,014 $ 84 $ — $ — $ 2,014 $ 84 GSE 180 10 — — 180 10 Agency MBS 14,842 342 5,138 226 19,980 568 States and political subdivisions 365 7 314 42 679 49 Total $ 17,401 $ 443 $ 5,452 $ 268 $ 22,853 $ 711 HTM securities: GSE $ 1,762 $ 30 $ — $ — $ 1,762 $ 30 Agency MBS 7,717 178 305 2 8,022 180 Total $ 9,479 $ 208 $ 305 $ 2 $ 9,784 $ 210 Less than 12 months 12 months or more Total December 31, 2015 Fair Value Unrealized Losses Fair Value Unrealized Losses Fair Value Unrealized Losses (Dollars in millions) AFS securities: U.S. Treasury $ 1,211 $ 6 $ — $ — $ 1,211 $ 6 Agency MBS 12,052 199 5,576 240 17,628 439 States and political subdivisions 64 1 329 39 393 40 Total $ 13,327 $ 206 $ 5,905 $ 279 $ 19,232 $ 485 HTM securities: GSE $ 2,307 $ 41 $ 1,743 $ 57 $ 4,050 $ 98 Agency MBS 3,992 21 124 1 4,116 22 Other 56 1 — — 56 1 Total $ 6,355 $ 63 $ 1,867 $ 58 $ 8,222 $ 121 Periodic reviews are conducted to identify and evaluate each investment with an unrealized loss for OTTI. An unrealized loss exists when the current fair value of an individual security is less than its amortized cost basis. Unrealized losses that are determined to be temporary in nature are recorded, net of tax, in AOCI for AFS securities. The unrealized losses on GSE securities and agency MBS were the result of increases in market interest rates compared to the date the securities were acquired rather than the credit quality of the issuers. Cash flow modeling is used to evaluate non-agency MBS in an unrealized loss position for potential credit impairment. These models give consideration to long-term macroeconomic factors applied to current security default rates, prepayment rates and recovery rates and security-level performance. At December 31, 2016 , there were no non-agency MBS with other than temporary credit impairment. At December 31, 2016 , the majority of the unrealized loss on municipal securities was the result of fair value hedge basis adjustments that are a component of amortized cost. Municipal securities in an unrealized loss position are evaluated for credit impairment through a qualitative analysis of issuer performance and the primary source of repayment. At December 31, 2016 , the evaluation of municipal securities did not indicate any municipal securities with other than temporary credit impairment. |
Loans and ACL
Loans and ACL | 12 Months Ended |
Dec. 31, 2016 | |
Receivables [Abstract] | |
Loans and ACL | Loans and ACL During the third quarter of 2016, Branch Bank entered into an early termination agreement with the FDIC that terminated the loss share agreements. As a result, the assets acquired from the FDIC are no longer covered by loss sharing. The accounting for the related loans is unaffected by the termination, and these loans will continue to be carried in PCI. During the third quarter of 2016, a sales finance portfolio totaling $1.0 billion was acquired. During the fourth quarter of 2016, a sales finance portfolio totaling $1.9 billion was acquired. During the first quarter of 2014, approximately $8.3 billion of nonguaranteed, closed-end, first and second lien position residential mortgage loans, along with the related allowance, were transferred from direct retail lending to residential mortgage to facilitate compliance with a series of new rules related to mortgage servicing associated with first and second lien position mortgages collateralized by real estate. During the third quarter of 2014, approximately $550 million of loans, which were primarily performing residential mortgage TDRs, with a related ALLL of $57 million were sold for a gain of $42 million . During the fourth quarter of 2014, approximately $140 million of loans, which were primarily residential mortgage NPLs, with a related ALLL of $19 million were sold for a gain of $24 million . Both gains were recognized as reductions to the provision for credit losses. Accruing December 31, 2016 Current 30-89 Days Past Due 90 Days Or More Past Due Nonaccrual Total (Dollars in millions) Commercial: Commercial and industrial $ 51,329 $ 27 $ — $ 363 $ 51,719 CRE-income producing properties 14,492 6 — 40 14,538 CRE-construction and development 3,800 2 — 17 3,819 Dealer floor plan 1,413 — — — 1,413 Other lending subsidiaries 7,660 21 — 10 7,691 Retail: Direct retail lending 11,963 60 6 63 12,092 Revolving credit 2,620 23 12 — 2,655 Residential mortgage-nonguaranteed 28,378 393 79 172 29,022 Residential mortgage-government guaranteed 324 132 443 — 899 Sales finance 11,179 76 6 6 11,267 Other lending subsidiaries 6,931 301 — 65 7,297 PCI 784 36 90 — 910 Total $ 140,873 $ 1,077 $ 636 $ 736 $ 143,322 Accruing December 31, 2015 Current 30-89 Days Past Due 90 Days Or More Past Due Nonaccrual Total (Dollars in millions) Commercial: Commercial and industrial $ 48,157 $ 36 $ — $ 237 $ 48,430 CRE-income producing properties 13,370 13 — 38 13,421 CRE-construction and development 3,710 9 — 13 3,732 Dealer floor plan 1,215 — — — 1,215 Other lending subsidiaries 6,771 18 — 6 6,795 Retail: Direct retail lending 11,032 58 7 43 11,140 Revolving credit 2,478 22 10 — 2,510 Residential mortgage-nonguaranteed 29,038 397 55 173 29,663 Residential mortgage-government guaranteed 306 78 486 — 870 Sales finance 10,243 72 5 7 10,327 Other lending subsidiaries 6,381 286 — 59 6,726 PCI 966 42 114 — 1,122 Total $ 133,667 $ 1,031 $ 677 $ 576 $ 135,951 The following tables present the carrying amount of loans by risk rating. PCI loans are excluded because their related ALLL is determined by loan pool performance. December 31, 2016 Commercial & Industrial CRE-Income Producing Properties CRE-Construction and Development Dealer Floor Plan Other Lending Subsidiaries (Dollars in millions) Commercial: Pass $ 49,921 $ 14,061 $ 3,718 $ 1,404 $ 7,604 Special mention 314 124 38 — 33 Substandard-performing 1,121 313 46 9 44 Nonperforming 363 40 17 — 10 Total $ 51,719 $ 14,538 $ 3,819 $ 1,413 $ 7,691 December 31, 2016 Direct Retail Lending Revolving Credit Residential Mortgage Sales Finance Other Lending Subsidiaries (Dollars in millions) Retail: Performing $ 12,029 $ 2,655 $ 29,749 $ 11,261 $ 7,232 Nonperforming 63 — 172 6 65 Total $ 12,092 $ 2,655 $ 29,921 $ 11,267 $ 7,297 December 31, 2015 Commercial & Industrial CRE-Income Producing Properties CRE-Construction and Development Dealer Floor Plan Other Lending Subsidiaries (Dollars in millions) Commercial: Pass $ 46,760 $ 12,940 $ 3,619 $ 1,195 $ 6,757 Special mention 305 166 29 6 3 Substandard-performing 1,128 277 71 14 29 Nonperforming 237 38 13 — 6 Total $ 48,430 $ 13,421 $ 3,732 $ 1,215 $ 6,795 December 31, 2015 Direct Retail Lending Revolving Credit Residential Mortgage Sales Finance Other Lending Subsidiaries (Dollars in millions) Retail: Performing $ 11,097 $ 2,510 $ 30,360 $ 10,320 $ 6,667 Nonperforming 43 — 173 7 59 Total $ 11,140 $ 2,510 $ 30,533 $ 10,327 $ 6,726 The following tables present a summary of activity in the ACL: Year Ended December 31, 2016 Beginning Balance Charge-Offs Recoveries Provision (Benefit) Other Ending Balance (Dollars in millions) Commercial: Commercial and industrial $ 466 $ (128 ) $ 40 $ 122 — $ 500 CRE-income producing properties 135 (8 ) 8 (18 ) — 117 CRE-construction and development 37 (1 ) 11 (22 ) — 25 Dealer floor plan 8 — — 3 — 11 Other lending subsidiaries 22 (22 ) 6 23 — 29 Retail: Direct retail lending 105 (53 ) 26 25 — 103 Revolving credit 104 (69 ) 20 51 — 106 Residential mortgage-nonguaranteed 194 (35 ) 3 24 — 186 Residential mortgage-government guaranteed 23 (5 ) — 23 — 41 Sales finance 40 (29 ) 12 15 — 38 Other lending subsidiaries 265 (336 ) 43 317 — 289 PCI 61 (15 ) — (2 ) — 44 ALLL 1,460 (701 ) 169 561 — 1,489 RUFC 90 — — 11 9 110 ACL $ 1,550 $ (701 ) $ 169 $ 572 $ 9 $ 1,599 Year Ended December 31, 2015 Beginning Balance Charge-Offs Recoveries Provision (Benefit) Other Ending Balance (Dollars in millions) Commercial: Commercial and industrial $ 421 $ (81 ) $ 37 $ 89 $ — $ 466 CRE-income producing properties 162 (20 ) 7 (14 ) — 135 CRE-construction and development 48 (4 ) 11 (18 ) — 37 Dealer floor plan 10 — — (2 ) — 8 Other lending subsidiaries 21 (9 ) 3 7 — 22 Retail: Direct retail lending 110 (54 ) 29 20 — 105 Revolving credit 110 (70 ) 20 44 — 104 Residential mortgage-nonguaranteed 217 (40 ) 3 14 — 194 Residential mortgage-government guaranteed 36 (6 ) — (7 ) — 23 Sales finance 40 (26 ) 9 17 — 40 Other lending subsidiaries 235 (277 ) 33 274 — 265 PCI 64 (1 ) — (2 ) — 61 ALLL 1,474 (588 ) 152 422 — 1,460 RUFC 60 — — 6 24 90 ACL $ 1,534 $ (588 ) $ 152 $ 428 $ 24 $ 1,550 Year Ended December 31, 2014 Beginning Balance Charge-Offs Recoveries Provision (Benefit) Other Ending Balance (Dollars in millions) Commercial: Commercial and industrial $ 454 $ (131 ) $ 42 $ 56 $ — $ 421 CRE-income producing properties 149 (31 ) 14 30 — 162 CRE-construction and development 76 (11 ) 19 (36 ) — 48 Dealer floor plan 8 — — 2 — 10 Other lending subsidiaries 15 (8 ) 3 11 — 21 Retail: Direct retail lending 209 (69 ) 29 26 (85 ) 110 Revolving credit 115 (71 ) 19 47 — 110 Residential mortgage-nonguaranteed 269 (82 ) 7 (62 ) 85 217 Residential mortgage-government guaranteed 62 (2 ) — (24 ) — 36 Sales finance 37 (23 ) 9 17 — 40 Other lending subsidiaries 224 (261 ) 30 242 — 235 PCI 114 (21 ) — (29 ) — 64 ALLL 1,732 (710 ) 172 280 — 1,474 RUFC 89 — — (29 ) — 60 ACL $ 1,821 $ (710 ) $ 172 $ 251 $ — $ 1,534 The following table provides a summary of loans that are collectively evaluated for impairment. December 31, 2016 December 31, 2015 Recorded Investment Related ALLL Recorded Investment Related ALLL (Dollars in millions) Commercial: Commercial and industrial $ 51,253 $ 463 $ 48,110 $ 439 CRE-income producing properties 14,455 112 13,339 127 CRE-construction and development 3,787 21 3,697 32 Dealer floor plan 1,413 11 1,215 8 Other lending subsidiaries 7,678 28 6,789 21 Retail: Direct retail lending 12,011 93 11,055 93 Revolving credit 2,626 95 2,477 91 Residential mortgage-nonguaranteed 28,488 136 29,199 153 Residential mortgage-government guaranteed 466 8 553 1 Sales finance 11,251 37 10,308 39 Other lending subsidiaries 7,057 249 6,534 235 PCI 910 44 1,122 61 Total $ 141,395 $ 1,297 $ 134,398 $ 1,300 The following tables set forth certain information regarding impaired loans, excluding PCI and LHFS, that were individually evaluated for reserves. As Of / For The Year Ended December 31, 2016 Recorded Investment UPB Related ALLL Average Recorded Investment Interest Income Recognized (Dollars in millions) With no related ALLL recorded: Commercial: Commercial and industrial $ 201 $ 225 $ — $ 217 $ 1 CRE-income producing properties 25 27 — 16 — CRE-construction and development 10 11 — 8 — Dealer floor plan — — — — — Other lending subsidiaries 4 6 — 6 — Retail: Direct retail lending 13 38 — 12 1 Residential mortgage-nonguaranteed 94 141 — 97 4 Residential mortgage-government guaranteed 3 3 — 3 — Sales finance 1 2 — 1 — Other lending subsidiaries 4 9 — 4 — With an ALLL recorded: Commercial: Commercial and industrial 265 269 37 259 5 CRE-income producing properties 58 61 5 68 2 CRE-construction and development 22 22 4 22 1 Dealer floor plan — — — — — Other lending subsidiaries 9 9 1 5 — Retail: Direct retail lending 68 69 10 71 4 Revolving credit 29 29 11 31 1 Residential mortgage-nonguaranteed 440 451 50 383 16 Residential mortgage-government guaranteed 430 431 33 360 14 Sales finance 15 15 1 16 1 Other lending subsidiaries 236 239 40 206 32 Total $ 1,927 $ 2,057 $ 192 $ 1,785 $ 82 December 31, 2015 Recorded Investment UPB Related ALLL Average Recorded Investment Interest Income Recognized (Dollars in millions) With no related ALLL recorded: Commercial: Commercial and industrial $ 129 $ 164 $ — $ 95 $ 1 CRE-income producing properties 8 13 — 17 — CRE-construction and development 8 11 — 10 — Dealer floor plan — — — 2 — Other lending subsidiaries 2 3 — — — Retail: Direct retail lending 11 40 — 12 1 Residential mortgage-nonguaranteed 103 153 — 99 4 Residential mortgage-government guaranteed 5 5 — 3 — Sales finance 1 2 — 1 — Other lending subsidiaries 4 8 — 3 — With an ALLL recorded: Commercial: Commercial and industrial 191 194 27 223 5 CRE-income producing properties 74 77 8 96 3 CRE-construction and development 27 27 5 36 1 Dealer floor plan — — — 1 — Other lending subsidiaries 4 5 1 6 — Retail: Direct retail lending 74 75 12 79 4 Revolving credit 33 33 13 36 1 Residential mortgage-nonguaranteed 361 368 41 354 15 Residential mortgage-government guaranteed 312 312 22 323 13 Sales finance 18 18 1 19 1 Other lending subsidiaries 188 190 30 179 28 Total $ 1,553 $ 1,698 $ 160 $ 1,594 $ 77 Trial modifications are excluded from the following disclosures because the specific types and amounts of concessions offered to borrowers frequently change between the trial modification and the permanent modification. The following table provides a summary of TDRs, all of which are considered impaired. December 31, 2016 2015 (Dollars in millions) Performing TDRs: Commercial: Commercial and industrial $ 55 $ 49 CRE-income producing properties 16 13 CRE-construction and development 9 16 Direct retail lending 67 72 Revolving credit 29 33 Residential mortgage-nonguaranteed 332 288 Residential mortgage-government guaranteed 420 316 Sales finance 16 17 Other lending subsidiaries 226 178 Total performing TDRs 1,170 982 Nonperforming TDRs (also included in NPL disclosures) 183 146 Total TDRs $ 1,353 $ 1,128 ALLL attributable to TDRs $ 146 $ 126 The following table summarizes the primary reason loan modifications were classified as TDRs and includes newly designated TDRs as well as modifications made to existing TDRs. Balances represent the recorded investment at the end of the quarter in which the modification was made. Rate modifications in this table include TDRs made with below market interest rates that also include modifications of loan structures. Year Ended December 31, 2016 2015 2014 Type of Modification Type of Modification Type of Modification Rate Structure ALLL Impact Rate Structure ALLL Impact Rate Structure ALLL Impact (Dollars in millions) Commercial: Commercial and industrial $ 112 $ 128 $ 3 $ 99 $ 45 $ 2 $ 112 $ 48 $ 4 CRE-income producing properties 21 17 — 9 15 — 18 18 — CRE-construction and development 7 11 — 8 25 1 25 22 — Retail: Direct retail lending 19 1 — 16 4 4 32 4 6 Revolving credit 17 — 4 16 — 4 24 — 4 Residential mortgage-nonguaranteed 129 54 10 88 37 9 127 36 16 Residential mortgage-government guaranteed 335 — 18 189 — 7 282 — 12 Sales finance — 7 — — 10 1 1 14 3 Other lending subsidiaries 169 — 21 129 — 17 130 — 17 The pre-default balance for modifications that experienced a payment default that had been classified as TDRs during the previous 12 months was $73 million , $81 million and $78 million for the twelve months ended December 31, 2016 , 2015 and 2014 , respectively. Payment default is defined as movement of the TDR to nonaccrual status, foreclosure or charge-off, whichever occurs first. Changes in the carrying value and accretable yield of PCI loans are presented in the following table: December 31, 2016 December 31, 2015 Purchased Impaired Purchased Nonimpaired Purchased Impaired Purchased Nonimpaired Accretable Yield Carrying Value Accretable Yield Carrying Value Accretable Yield Carrying Value Accretable Yield Carrying Value (Dollars in millions) Balance at beginning of period $ 189 $ 700 $ 176 $ 422 $ 134 $ 579 $ 244 $ 636 Additions 36 124 — — 98 402 — — Accretion (134 ) 134 (73 ) 73 (89 ) 89 (89 ) 89 Payments received, net — (344 ) — (199 ) — (370 ) — (303 ) Other, net 162 — 52 — 46 — 21 — Balance at end of period $ 253 $ 614 $ 155 $ 296 $ 189 $ 700 $ 176 $ 422 Outstanding UPB at end of period $ 910 $ 423 $ 1,063 $ 587 The following table presents additional information about BB&T’s loans and leases: December 31, 2016 2015 (Dollars in millions) Unearned income, discounts and net deferred loan fees and costs, excluding PCI $ 396 $ 598 Residential mortgage loans in process of foreclosure 366 229 |
Premises and Equipment
Premises and Equipment | 12 Months Ended |
Dec. 31, 2016 | |
Property, Plant and Equipment [Abstract] | |
Premises and Equipment | Premises and Equipment A summary of premises and equipment is presented in the accompanying table: Estimated Useful Life December 31, 2016 2015 (Years) (Dollars in millions) Land and land improvements $ 611 $ 596 Buildings and building improvements 40 1,628 1,503 Furniture and equipment 3 - 15 1,121 1,030 Leasehold improvements 791 721 Construction in progress 62 122 Capitalized leases on premises and equipment 66 67 Total 4,279 4,039 Accumulated depreciation and amortization (2,172 ) (2,032 ) Net premises and equipment $ 2,107 $ 2,007 The following table excludes assets related to the lease financing business. Year Ended December 31, 2016 2015 2014 (Dollars in millions) Rent expense applicable to operating leases $ 278 $ 245 $ 227 Rental income from owned properties and subleases 8 7 7 Year Ended December 31, 2017 2018 2019 2020 2021 Thereafter (Dollars in millions) Future minimum lease payments for operating leases $ 263 $ 239 $ 210 $ 179 $ 154 $ 574 |
Goodwill and Other Intangible A
Goodwill and Other Intangible Assets | 12 Months Ended |
Dec. 31, 2016 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Goodwill and Other Intangible Assets | Goodwill and Other Intangible Assets The changes in the carrying amounts of goodwill attributable to BB&T’s operating segments are reflected in the table below. There have been no goodwill impairments recorded to date. Community Banking Residential Mortgage Banking Dealer Financial Services Specialized Lending Insurance Holdings Financial Services Total (Dollars in millions) Goodwill, January 1, 2014 $ 4,924 $ 7 $ 111 $ 88 $ 1,492 $ 192 $ 6,814 Acquired goodwill, net 29 — — — 12 — 41 Contingent consideration — — — — 14 — 14 Other adjustments (319 ) 319 — — — — — Goodwill, December 31, 2014 4,634 326 111 88 1,518 192 6,869 Acquired goodwill, net 1,501 43 — 155 16 11 1,726 American Coastal sale — — — — (49 ) — (49 ) Other adjustments 5 — — — (3 ) — 2 Goodwill, December 31, 2015 6,140 369 111 243 1,482 203 8,548 Acquired goodwill, net 753 39 — 2 270 9 1,073 Other adjustments 139 8 — (132 ) — 2 17 Goodwill, December 31, 2016 $ 7,032 $ 416 $ 111 $ 113 $ 1,752 $ 214 $ 9,638 During 2014, the transfer of closed-end, first and second lien position residential mortgage loans from Community Banking to Residential Mortgage Banking resulted in a reallocation of the related goodwill, which is included in other adjustments in the above table. During 2015, BB&T sold American Coastal, which resulted in the allocation and write-off of goodwill from the Insurance Holdings segment. During 2016, the valuations and purchase price allocation for Susquehanna were finalized and are included in other adjustments in the above table. The acquisition of Swett & Crawford provided goodwill of $269 million and identifiable intangible assets of $224 million . The identifiable intangible assets are being amortized over a weighted average term of 13 years based upon the estimated economic benefits received. Approximately $135 million of the goodwill and identifiable intangible assets is deductible for tax purposes. The following table presents information for identifiable intangible assets subject to amortization: December 31, 2016 December 31, 2015 Wtd. Avg. Remaining Life Gross Carrying Amount Accumulated Amortization Net Carrying Amount Gross Carrying Amount Accumulated Amortization Net Carrying Amount (Years) (Dollars in millions) CDI 7.9 $ 970 $ (710 ) $ 260 $ 903 $ (634 ) $ 269 Other, primarily customer relationship intangibles 13.0 1,415 (821 ) 594 1,164 (747 ) 417 Total $ 2,385 $ (1,531 ) $ 854 $ 2,067 $ (1,381 ) $ 686 Year Ended December 31, 2017 2018 2019 2020 2021 (Dollars in millions) Estimated amortization expense of identifiable intangibles $ 141 $ 123 $ 104 $ 87 $ 74 |
Loan Servicing
Loan Servicing | 12 Months Ended |
Dec. 31, 2016 | |
Transfers and Servicing [Abstract] | |
Loan Servicing | Loan Servicing Residential Mortgage Banking Activities The following tables summarize residential mortgage banking activities. BB&T manages its own residential mortgage loans, including PCI loans. December 31, 2016 2015 (Dollars in millions) UPB of residential mortgage and home equity loan servicing portfolio $ 121,639 $ 122,169 UPB of residential mortgage loans serviced for others (primarily agency conforming fixed rate) 90,325 91,132 Mortgage loans sold with recourse 578 702 Maximum recourse exposure from mortgage loans sold with recourse liability 282 326 Indemnification, recourse and repurchase reserves 40 79 FHA-insured mortgage loan reserve — 85 During 2014, HUD-OIG notified BB&T that it had been selected for an audit/survey to assess compliance with FHA loan origination and quality control requirements. BB&T subsequently received subpoenas from the HUD-OIG and the Department of Justice seeking additional information regarding its lending practices in connection with loans insured by the FHA. During 2014, BB&T recognized an $85 million charge that was included in other expense on the Consolidated Statements of Income. During the third quarter of 2016, BB&T paid $83 million to settle these matters pursuant to an agreement with the Department of Justice. In addition, the Company separately received recoveries of $71 million , resulting in a net benefit of $73 million , which was included in other expense on the Consolidated Statements of Income. During 2014, BB&T recognized a $33 million adjustment related to the indemnification reserves for mortgage loans sold, which represents an increase in estimated losses that may be incurred on FHA-insured mortgage loans that have not yet defaulted. During 2016, BB&T released $31 million of mortgage repurchase reserves, which was primarily driven by lower anticipated loan repurchase requests. These adjustments were included in loan-related expense on the Consolidated Statements of Income. Payments made to date for recourse exposure on residential mortgage loans sold with recourse liability have been immaterial. As Of / For The Year Ended December 31, 2016 2015 2014 (Dollars in millions) UPB of residential mortgage loans sold from the LHFS portfolio $ 15,675 $ 14,764 $ 13,400 Pre-tax gains recognized on mortgage loans sold and held for sale 139 148 110 Servicing fees recognized from mortgage loans serviced for others 268 273 275 Approximate weighted average servicing fee on the outstanding balance of residential mortgage loans serviced for others 0.28 % 0.29 % 0.29 % Weighted average interest rate on mortgage loans serviced for others 4.03 4.12 4.20 The following table presents a roll forward of the carrying value of residential MSRs recorded at fair value: Year Ended December 31, 2016 2015 2014 (Dollars in millions) Carrying value, beginning of year $ 880 $ 844 $ 1,047 Additions 146 156 141 Change in fair value due to changes in valuation inputs or assumptions: Prepayment speeds 13 91 (219 ) Weighted average OAS 10 (52 ) — Servicing costs 2 (25 ) (2 ) Realization of expected net servicing cash flows, passage of time and other (136 ) (134 ) (123 ) Carrying value, end of year $ 915 $ 880 $ 844 Gains (losses) on derivative financial instruments used to mitigate the income statement effect of changes in fair value $ 32 $ 32 $ 251 The sensitivity of the fair value of the residential MSRs to changes in key assumptions is included in the accompanying table: December 31, 2016 December 31, 2015 Range Weighted Average Range Weighted Average Min Max Min Max (Dollars in millions) Prepayment speed 7.5 % 8.4 % 8.1 % 8.1 % 9.0 % 8.7 % Effect on fair value of a 10% increase $ (28 ) $ (29 ) Effect on fair value of a 20% increase (54 ) (56 ) OAS 9.8 % 10.2 % 10.0 % 10.3 % 10.6 % 10.4 % Effect on fair value of a 10% increase $ (33 ) $ (33 ) Effect on fair value of a 20% increase (64 ) (63 ) Composition of loans serviced for others: Fixed-rate residential mortgage loans 99.1 % 99.2 % Adjustable-rate residential mortgage loans 0.9 0.8 Total 100.0 % 100.0 % Weighted average life (in years) 7.0 6.8 The sensitivity calculations above are hypothetical and should not be considered to be predictive of future performance. As indicated, changes in fair value based on adverse changes in assumptions generally cannot be extrapolated because the relationship of the change in assumption to the change in fair value may not be linear. Also, in the above table, the effect of an adverse variation in a particular assumption on the fair value of the MSRs is calculated without changing any other assumption; while in reality, changes in one factor may result in changes in another, which may magnify or counteract the effect of the change. Commercial Mortgage Banking Activities CRE mortgage loans serviced for others are not included in loans and leases on the accompanying Consolidated Balance Sheets. The following table summarizes commercial mortgage banking activities for the periods presented: December 31, 2016 2015 (Dollars in millions) UPB of CRE mortgages serviced for others $ 29,333 $ 28,163 CRE mortgages serviced for others covered by recourse provisions 4,240 4,198 Maximum recourse exposure from CRE mortgages sold with recourse liability 1,272 1,259 Recorded reserves related to recourse exposure 7 7 Originated CRE mortgages during the year 7,145 7,012 Commercial MSRs at fair value 137 — Effective January 1, 2016, the Company adopted the fair value option for commercial MSRs, which are included in MSRs at fair value on the Consolidated Balance Sheets, to facilitate hedging against changes in the fair value of the MSR asset. Prior to adoption, commercials MSRs were included in other assets. The impact of the adoption was immaterial. |
Deposits
Deposits | 12 Months Ended |
Dec. 31, 2016 | |
Deposits [Abstract] | |
Deposits | Deposits December 31, 2016 2015 (Dollars in millions) Noninterest-bearing deposits $ 50,697 $ 45,695 Interest checking 30,263 25,410 Money market and savings 64,883 60,461 Time deposits 14,391 17,558 Total deposits $ 160,234 $ 149,124 Time deposits $100,000 and greater $ 5,394 $ 7,562 Time deposits $250,000 and greater 2,179 3,497 |
Long-Term Debt
Long-Term Debt | 12 Months Ended |
Dec. 31, 2016 | |
Debt Disclosure [Abstract] | |
Long-Term Debt | Long-Term Debt The following table reflects the carrying amounts at December 31, 2016 and 2015 , and the related maturity dates, contractual rate and effective interest rates at December 31, 2016 : Stated Rate Effective Rate December 31, Maturity Min Max 2016 2015 (Dollars in millions) BB&T Corporation Fixed rate senior notes 2017 to 2024 1.45 % 6.85 % 2.33 % $ 7,600 $ 7,831 Floating rate senior notes 2018 2020 1.55 1.82 1.67 1,898 1,050 Fixed rate subordinated notes 2017 2022 3.95 5.25 1.53 1,338 1,382 Branch Bank Fixed rate senior notes 2017 2021 1.00 2.85 1.80 4,209 4,071 Floating rate senior notes 2019 1.42 1.42 1.48 250 375 Fixed rate subordinated notes 2025 2026 3.63 3.80 3.48 2,138 2,562 Floating rate subordinated notes 2017 1.22 1.22 3.73 262 612 FHLB advances (5.5 years weighted average maturity at December 31, 2016) 2017 2034 — 6.38 4.20 4,118 5,732 Other long-term debt 152 154 Total long-term debt $ 21,965 $ 23,769 The effective rates above reflect the impact of hedges and issuance costs. Subordinated notes with a remaining maturity of one year or greater qualify under the risk-based capital guidelines as Tier 2 supplementary capital, subject to certain limitations. Subsequent to year end, BB&T terminated FHLB advances totaling $2.9 billion of par value, which resulted in a pre-tax loss on early extinguishment of debt totaling $392 million . During 2015, BB&T terminated FHLB advances totaling $931 million , which resulted in a pre-tax loss on early extinguishment of debt totaling $172 million . During 2014, BB&T terminated FHLB advances totaling $1.1 billion , resulting in a pre-tax loss on early extinguishment of debt totaling $122 million . Year Ended December 31, Thereafter 2017 2018 2019 2020 2021 (Dollars in millions) Future debt maturities $ 3,696 $ 2,223 $ 3,985 $ 3,357 $ 3,881 $ 4,586 |
Shareholders' Equity
Shareholders' Equity | 12 Months Ended |
Dec. 31, 2016 | |
Equity [Abstract] | |
Shareholders' Equity | Shareholders’ Equity Preferred Stock The following table presents a summary of the non-cumulative perpetual preferred stock as of December 31, 2016 : Preferred Stock Issue Issuance Date Earliest Redemption Date Liquidation Amount Carrying Amount Dividend Rate (Dollars in millions) Series D 5/1/2012 5/1/2017 $ 575 $ 559 5.850 % Series E 7/31/2012 8/1/2017 1,150 1,120 5.625 Series F 10/31/2012 11/1/2017 450 437 5.200 Series G 5/1/2013 6/1/2018 500 487 5.200 Series H 3/9/2016 6/1/2021 465 450 5.625 $ 3,140 $ 3,053 Dividends on the preferred stock, if declared, accrue and are payable quarterly, in arrears. For each issuance, BB&T issued depositary shares, each of which represents a fractional ownership interest in a share of the Company’s preferred stock. The preferred stock has no stated maturity and redemption is solely at the option of the Company in whole, but not in part, upon the occurrence of a regulatory capital treatment event, as defined. In addition, the preferred stock may be redeemed in whole or in part, on any dividend payment date after five years from the date of issuance. Under current rules, any redemption of the preferred stock is subject to prior approval of the FRB. The preferred stock is not subject to any sinking fund or other obligations of the Company. Equity-Based Compensation Plans At December 31, 2016 , options, restricted shares and RSUs were outstanding from equity-based compensation plans that have been approved by shareholders and plans assumed from acquired entities. Those plans are intended to assist the Company in recruiting and retaining employees, directors and independent contractors and to associate the interests of eligible participants with those of BB&T and its shareholders. The majority of outstanding awards and awards available to be issued relate to plans that allow for accelerated vesting of awards for holders who retire and have met all retirement eligibility requirements or in connection with certain other events. Until vested, certain of these awards are subject to forfeiture under specified circumstances. The following table provides a summary of the equity-based compensation plans: December 31, 2016 Shares available for future grants (in thousands) 16,627 Vesting period, awards granted prior to 2010 5.0 yrs Vesting period, awards granted after 2009 (minimum years) 1.0 Vesting period, awards granted after 2009 (maximum years) 5.0 Option term 10.0 The fair value of RSUs is based on the common stock price on the grant date less the present value of expected dividends that will be foregone during the vesting period. The fair value of options is measured on the grant date using the Black-Scholes option-pricing model. Substantially all awards are granted in February of each year. Grants to non-executive employees primarily consist of RSUs. A summary of selected data related to equity-based compensation costs follows: Year Ended December 31, 2016 2015 2014 (Dollars in millions) Equity-based compensation expense $ 115 $ 106 $ 102 Income tax benefit from equity-based compensation expense 43 40 39 Intrinsic value of options exercised and RSUs that vested during the year 159 170 280 Grant date fair value of equity-based awards that vested during the year 98 115 113 December 31, 2016 2015 (Dollars in millions) Unrecognized compensation cost related to equity-based awards $ 109 $ 103 Weighted-average life over which compensation cost is expected to be recognized (years) 2.3 2.2 The following tables present the activity during 2016 related to equity-based compensation awards: Options Wtd. Avg. Exercise Price Per Share Aggregate Intrinsic Value Wtd. Avg. Remaining Contractual Life (Dollars in millions, except per share data, shares in thousands) Outstanding at January 1, 2016 20,577 $ 34.89 Replacement awards granted in connection with acquisitions 566 36.12 Granted 610 32.10 Exercised (7,101 ) 34.87 Forfeited or expired (2,856 ) 40.64 Outstanding at December 31, 2016 11,796 33.42 $ 166 3.47 yrs Exercisable at December 31, 2016 11,023 33.36 156 3.11 Exercisable and expected to vest at December 31, 2016 11,755 33.42 166 3.46 Restricted Shares/Units Wtd. Avg. Grant Date Fair Value (Shares in thousands) Nonvested at January 1, 2016 11,824 $ 29.81 Granted 5,235 27.49 Vested (3,150 ) 27.76 Forfeited (393 ) 29.74 Nonvested at December 31, 2016 13,516 29.39 Expected to vest at December 31, 2016 12,384 29.39 Share Repurchase Activity During 2016, the Company repurchased $320 million shares of common stock, which represented 8.4 million shares, through open market purchases. In addition, the Company commenced a $200 million accelerated share repurchase program, which resulted in the retirement of 3.4 million shares during the fourth quarter of 2016 and concluded in January 2017 with approximately 910,000 additional shares being retired. The conclusion of the program in January does not impact shareholders' equity as the full cost was recognized in the fourth quarter. These repurchases were made pursuant to the 2015 Repurchase Plan, and the repurchased shares revert to the status of authorized and unissued shares upon repurchase. At December 31, 2016 , BB&T had remaining authorization to repurchase up to 38.2 million shares of common stock under the 2015 Repurchase Plan. No shares of common stock were repurchased pursuant to repurchase plans during 2015 or 2014 . |
AOCI
AOCI | 12 Months Ended |
Dec. 31, 2016 | |
Accumulated Other Comprehensive Income (Loss), Net of Tax [Abstract] | |
AOCI | AOCI Year Ended December 31, 2016 Unrecognized Net Pension and Postretirement Costs Unrealized Net Gains (Losses) on Cash Flow Hedges Unrealized Net Gains (Losses) on AFS Securities FDIC's Share of Unrealized (Gains) Losses on AFS Securities Other, net Total (Dollars in millions) AOCI balance, January 1, 2016 $ (723 ) $ (83 ) $ (34 ) $ (169 ) $ (19 ) $ (1,028 ) OCI before reclassifications, net of tax (91 ) (16 ) (201 ) 148 1 (159 ) Amounts reclassified from AOCI: Personnel expense 80 — — — — 80 Interest income — — 7 — 1 8 Interest expense — 11 — — — 11 FDIC loss share income, net — — — 33 — 33 Securities (gains) losses, net — — (46 ) — — (46 ) Total before income taxes 80 11 (39 ) 33 1 86 Less: Income taxes 30 4 (15 ) 12 — 31 Net of income taxes 50 7 (24 ) 21 1 55 Net change in AOCI (41 ) (9 ) (225 ) 169 2 (104 ) AOCI balance, December 31, 2016 $ (764 ) $ (92 ) $ (259 ) $ — $ (17 ) $ (1,132 ) Year Ended December 31, 2015 Unrecognized Net Pension and Postretirement Costs Unrealized Net Gains (Losses) on Cash Flow Hedges Unrealized Net Gains (Losses) on AFS Securities FDIC's Share of Unrealized (Gains) Losses on AFS Securities Other, net Total (Dollars in millions) AOCI balance, January 1, 2015 $ (626 ) $ (54 ) $ 152 $ (207 ) $ (16 ) $ (751 ) OCI before reclassifications, net of tax (139 ) (81 ) (206 ) 19 (9 ) (416 ) Amounts reclassified from AOCI: Personnel expense 67 — — — — 67 Interest income — — 29 — 9 38 Interest expense — 83 — — — 83 FDIC loss share income, net — — — 31 — 31 Securities (gains) losses, net — — 3 — — 3 Total before income taxes 67 83 32 31 9 222 Less: Income taxes 25 31 12 12 3 83 Net of income taxes 42 52 20 19 6 139 Net change in AOCI (97 ) (29 ) (186 ) 38 (3 ) (277 ) AOCI balance, December 31, 2015 $ (723 ) $ (83 ) $ (34 ) $ (169 ) $ (19 ) $ (1,028 ) Year Ended December 31, 2014 Unrecognized Net Pension and Postretirement Costs Unrealized Net Gains (Losses) on Cash Flow Hedges Unrealized Net Gains (Losses) on AFS Securities FDIC's Share of Unrealized (Gains) Losses on AFS Securities Other, net Total (Dollars in millions) AOCI balance, January 1, 2014 $ (303 ) $ 2 $ (42 ) $ (235 ) $ (15 ) $ (593 ) OCI before reclassifications, net of tax (334 ) (107 ) 207 — (5 ) (239 ) Amounts reclassified from AOCI: Personnel expense 17 — — — — 17 Interest income — — (24 ) — 6 (18 ) Interest expense — 82 — — — 82 FDIC loss share income, net — — — 45 — 45 Securities (gains) losses, net — — 3 — — 3 Total before income taxes 17 82 (21 ) 45 6 129 Less: Income taxes 6 31 (8 ) 17 2 48 Net of income taxes 11 51 (13 ) 28 4 81 Net change in AOCI (323 ) (56 ) 194 28 (1 ) (158 ) AOCI balance, December 31, 2014 $ (626 ) $ (54 ) $ 152 $ (207 ) $ (16 ) $ (751 ) |
Income Taxes
Income Taxes | 12 Months Ended |
Dec. 31, 2016 | |
Income Tax Disclosure [Abstract] | |
Income Taxes | Income Taxes The components of the income tax provision are as follows: Year Ended December 31, 2016 2015 2014 (Dollars in millions) Current expense: Federal $ 959 $ 585 $ 706 State 97 99 81 Total current expense 1,056 684 787 Deferred expense: Federal (14 ) 99 122 State 16 11 12 Total deferred expense 2 110 134 Provision for income taxes $ 1,058 $ 794 $ 921 The reasons for the difference between the provision for income taxes and the amount computed by applying the statutory Federal income tax rate to income before income taxes were as follows: Year Ended December 31, 2016 2015 2014 (Dollars in millions) Federal income taxes at statutory rate of 35% $ 1,225 $ 1,021 $ 1,094 Increase (decrease) in provision for income taxes as a result of: State income taxes, net of federal tax benefit 73 72 61 Affordable housing projects proportional amortization 205 181 159 Affordable housing projects tax credits and other tax benefits (279 ) (249 ) (221 ) Tax exempt income (151 ) (129 ) (125 ) Adjustments for uncertain tax positions (6 ) (107 ) (39 ) Other, net (9 ) 5 (8 ) Provision for income taxes $ 1,058 $ 794 $ 921 Effective income tax rate 30.2 % 27.2 % 29.5 % The tax effects of temporary differences that gave rise to deferred tax assets and liabilities are reflected in the table below: December 31, 2016 2015 (Dollars in millions) Deferred tax assets: ALLL $ 564 $ 553 Postretirement plans 451 431 Net unrealized loss on AFS securities 155 124 Equity-based compensation 124 129 Reserves and expense accruals 238 255 Investments in qualified affordable housing projects 116 110 Other 317 292 Total deferred tax assets 1,965 1,894 Deferred tax liabilities: Prepaid pension plan expense 558 509 MSRs 358 331 Lease financing 587 663 Loan fees and expenses 103 70 Identifiable intangible assets 224 207 Other 45 169 Total deferred tax liabilities 1,875 1,949 Net deferred tax asset (liability) $ 90 $ (55 ) On a periodic basis, BB&T evaluates its income tax positions based on tax laws and regulations and financial reporting considerations, and records adjustments as appropriate. This evaluation takes into consideration the status of current taxing authorities’ examinations of BB&T’s tax returns, recent positions taken by the taxing authorities on similar transactions and the overall tax environment in relation to tax-advantaged transactions. The following table presents changes in unrecognized tax benefits: As of/ For the Year Ended December 31, 2016 2015 2014 (Dollars in millions) Beginning balance of unrecognized tax benefits $ 426 $ 503 $ 644 Additions based on tax positions related to current year — — 1 Additions (reductions) for tax positions of prior years (5 ) (76 ) (34 ) Settlements (420 ) (1 ) (17 ) Lapse of statute of limitations — (1 ) — Unrecognized deferred tax benefits from acquisitions — 1 (91 ) Ending balance of unrecognized tax benefits $ 1 $ 426 $ 503 Unrecognized tax benefits that would have impacted effective rate if recognized Federal $ — $ 422 $ 497 State 1 3 4 During 2010, BB&T received an IRS statutory notice of deficiency for tax years 2002-2007 related to the disallowance of foreign tax credits and other deductions claimed by a subsidiary in connection with a financing transaction. BB&T paid the disputed tax, penalties and interest during 2010 and filed a lawsuit seeking a refund in the U.S. Court of Federal Claims, which denied the claim. BB&T appealed the decision to the U.S. Court of Appeals for the Federal Circuit. During 2015, the appeals court overturned a portion of the earlier ruling, resulting in the recognition of a $107 million income tax benefit during 2015. The remainder of the decision was affirmed. BB&T filed a petition requesting the case be heard by the U.S. Supreme Court. During 2016, the U.S. Supreme Court declined to hear the case, which preserves the earlier ruling and effectively concluded this matter. The Company had immaterial amounts accrued for tax-related interest and penalties at December 31, 2016 and $181 million at December 31, 2015 . The amount of net interest and penalties related to unrecognized tax benefits recognized in the Consolidated Statements of Income was a benefit of $29 million for 2015 . The IRS has completed its Federal income tax examinations of BB&T through 2013 . Various years remain subject to examination by state taxing authorities. |
Benefit Plans
Benefit Plans | 12 Months Ended |
Dec. 31, 2016 | |
Compensation and Retirement Disclosure [Abstract] | |
Benefit Plans | Benefit Plans Defined Benefit Retirement Plans BB&T provides defined benefit retirement plans qualified under the IRC that covers most employees. Benefits are based on years of service, age at retirement and the employee's compensation during the five highest consecutive years of earnings within the last ten years of employment. In addition, supplemental retirement benefits are provided to certain key officers under supplemental defined benefit executive retirement plans, which are not qualified under the IRC. Although technically unfunded plans, Rabbi Trusts and insurance policies on the lives of certain of the covered employees are available to finance future benefits. The following actuarial assumptions were used to determine net periodic pension costs for the qualified pension plans: December 31, 2016 2015 2014 Weighted average assumed discount rate 4.68 % 4.27 % 5.10 % Weighted average expected long-term rate of return on plan assets 7.00 7.50 7.75 Assumed long-term rate of annual compensation increases 4.50 4.50 5.00 The weighted average expected long-term rate of return on plan assets represents the average rate of return expected to be earned on plan assets over the period the benefits included in the benefit obligation are to be paid. In developing the expected rate of return, BB&T considers long-term compound annualized returns of historical market data for each asset category, as well as historical actual returns on the plan assets. Using this reference information, the Company develops forward-looking return expectations for each asset category and a weighted average expected long-term rate of return for the plan based on target asset allocations contained in BB&T's Investment Policy Statement. For 2017 , the expected rate of return on plan assets is 7.0% . Financial data relative to qualified and nonqualified defined benefit pension plans is summarized in the following tables for the years indicated. On the Consolidated Balance Sheets, the qualified pension plan prepaid asset is recorded as a component of other assets and the nonqualified pension plans accrued liability is recorded as a component of other liabilities. The data is calculated using an actuarial measurement date of December 31. Year Ended December 31, 2016 2015 2014 (Dollars in millions) Net Periodic Pension Cost: Service cost $ 186 $ 176 $ 138 Interest cost 181 157 140 Estimated return on plan assets (326 ) (327 ) (296 ) Net amortization and other 80 67 17 Net periodic benefit cost 121 73 (1 ) Pre-Tax Amounts Recognized in OCI: Net actuarial loss (gain) 138 230 532 Net amortization (80 ) (67 ) (17 ) Net amount recognized in OCI 58 163 515 Total net periodic pension costs (income) recognized in total comprehensive income, pre-tax $ 179 $ 236 $ 514 The following actuarial assumptions were used to determine benefit obligations: December 31, 2016 2015 Weighted average assumed discount rate 4.43 % 4.68 % Assumed rate of annual compensation increases 4.50 4.50 Qualified Plans Nonqualified Plans Year Ended December 31, Year Ended December 31, 2016 2015 2016 2015 (Dollars in millions) Projected benefit obligation, beginning of year $ 3,473 $ 3,227 $ 392 $ 367 Service cost 174 164 12 12 Interest cost 163 141 18 16 Actuarial (gain) loss 152 (164 ) 15 (3 ) Benefits paid (94 ) (80 ) (11 ) (15 ) Acquisitions 71 185 — 15 Projected benefit obligation, end of year $ 3,939 $ 3,473 $ 426 $ 392 Accumulated benefit obligation, end of year $ 3,403 $ 2,997 $ 363 $ 309 Qualified Plans Nonqualified Plans Year Ended December 31, Year Ended December 31, 2016 2015 2016 2015 (Dollars in millions) Fair value of plan assets, beginning of year $ 4,369 $ 4,223 $ — $ — Actual return on plan assets 356 (70 ) — — Employer contributions 360 126 11 15 Benefits paid (94 ) (80 ) (11 ) (15 ) Acquisitions 53 170 — — Fair value of plan assets, end of year $ 5,044 $ 4,369 $ — $ — Funded status at end of year $ 1,105 $ 896 $ (426 ) $ (392 ) The following are the pre-tax amounts recognized in AOCI: Qualified Plans Nonqualified Plans Year Ended December 31, Year Ended December 31, 2016 2015 2016 2015 (Dollars in millions) Prior service credit (cost) $ — $ — $ (1 ) $ (2 ) Net actuarial loss (1,095 ) (1,040 ) (135 ) (131 ) Net amount recognized $ (1,095 ) $ (1,040 ) $ (136 ) $ (133 ) The following table presents the amount expected to be amortized from AOCI into net periodic pension cost during 2017 : Qualified Plans Nonqualified Plans (Dollars in millions) Net actuarial loss $ (66 ) $ (12 ) Net amount expected to be amortized in 2017 $ (66 ) $ (12 ) BB&T makes contributions to the qualified pension plan in amounts between the minimum required for funding and the maximum amount deductible for federal income tax purposes. BB&T made discretionary contributions of $260 million during the first quarter of 2017 . Management may make additional contributions in 2017 . For the nonqualified plans, the employer contributions are based on benefit payments. The following table reflects the estimated benefit payments for the periods presented: Qualified Plans Nonqualified Plans (Dollars in millions) 2017 $ 104 $ 15 2018 115 16 2019 125 17 2020 137 18 2021 149 20 2022-2026 949 119 BB&T's primary total return objective is to achieve returns that, over the long term, will fund retirement liabilities and provide for the desired plan benefits in a manner that satisfies the fiduciary requirements of the Employee Retirement Income Security Act of 1974. The plan assets have a long-term time horizon that runs concurrent with the average life expectancy of the participants. As such, the Plan can assume a time horizon that extends well beyond a full market cycle, and can assume an above-average level of risk, as measured by the standard deviation of annual return. It is expected, however, that both professional investment management and sufficient portfolio diversification will smooth volatility and help to generate a reasonable consistency of return. The investments are broadly diversified among economic sector, industry, quality and size in order to reduce risk and to produce incremental return. Within approved guidelines and restrictions, investment managers have wide discretion over the timing and selection of individual investments. BB&T periodically reviews its asset allocation and investment policy and makes changes to its target asset allocation. BB&T has established guidelines within each asset category to ensure the appropriate balance of risk and reward. For the year ended December 31, 2016 , the target asset allocations for the plan assets included a range of 30% to 50% for U.S. equity securities, 11% to 18% for international equity securities, 35% to 53% for fixed income securities, and 0% to 14% for alternative investments, which include real estate, hedge funds and private equities. The plan may hold up to 10% of its assets in BB&T common stock. The fair values of certain pension plan assets by asset category are reflected in the following table. December 31, 2016 December 31, 2015 Total Level 1 Level 2 Total Level 1 Level 2 (Dollars in millions) Cash and cash-equivalents $ 179 $ 179 $ — $ 266 $ 266 $ — U.S. equity securities 1,892 1,018 874 1,627 1,627 — International equity securities 839 165 674 712 614 98 Fixed income securities 1,914 10 1,904 1,631 10 1,621 Total $ 4,824 $ 1,372 $ 3,452 $ 4,236 $ 2,517 $ 1,719 Investments measured at fair value using the net asset value per share or equivalent as a practical expedient are not required to be classified in the fair value hierarchy. The pension plan held alternative investments valued using net asset values totaling $199 million and $115 million at December 31, 2016 and 2015 , respectively. U.S. equity securities included 3.0 million shares of BB&T common stock valued at $113 million at December 31, 2015 . International equity securities include a common/commingled fund that consists of assets from several accounts, pooled together, to reduce management and administration costs. Total plan assets exclude accrued income of $21 million and $18 million at December 31, 2016 and 2015 , respectively. Defined Contribution Plans BB&T offers a 401(k) Savings Plan and other defined contribution plans that permit employees to contribute from 1% to 50% of their cash compensation. For full-time employees who are 21 years of age or older with one year or more of service, BB&T makes matching contributions of up to 6% of the employee's compensation. BB&T's contribution expense for the 401(k) Savings Plan and nonqualified defined contribution plans totaled $129 million , $114 million and $103 million for the years ended December 31, 2016 , 2015 and 2014 , respectively. Certain employees of subsidiaries participate in the 401(k) Savings Plan with different matching formulas. Other Benefits There are various other employment contracts, deferred compensation arrangements and covenants not to compete with selected members of management and certain retirees. These plans and their obligations are not material to the financial statements. |
Commitments and Contingencies
Commitments and Contingencies | 12 Months Ended |
Dec. 31, 2016 | |
Commitments and Contingencies Disclosure [Abstract] | |
Commitments and Contingencies | Commitments and Contingencies BB&T utilizes a variety of financial instruments to meet the financing needs of clients and to reduce exposure to fluctuations in interest rates. These financial instruments include commitments to extend credit, letters of credit and financial guarantees and derivatives. BB&T also has commitments to fund certain affordable housing investments and contingent liabilities related to certain sold loans. Commitments to extend, originate or purchase credit are primarily lines of credit to businesses and consumers and have specified rates and maturity dates. Many of these commitments also have adverse change clauses, which allow BB&T to cancel the commitment due to deterioration in the borrowers’ creditworthiness. December 31, 2016 2015 (Dollars in millions) Letters of credit $ 2,786 $ 3,033 Carrying amount of the liability for letters of credit 27 27 Investments in affordable housing and historic building rehabilitation projects: Carrying amount 1,719 1,629 Amount of future funding commitments included in carrying amount 738 654 Lending exposure 495 292 Tax credits subject to recapture 413 355 Private equity investments 362 289 Future funding commitments to private equity investments 197 231 Letters of credit and financial guarantees written are unconditional commitments issued by BB&T to guarantee the performance of a customer to a third party. These guarantees are primarily issued to support borrowing arrangements, including commercial paper issuance, bond financing and similar transactions, the majority of which are to tax exempt entities. The credit risk involved in the issuance of these guarantees is essentially the same as that involved in extending loans to clients and as such, the instruments are collateralized when necessary. BB&T invests in certain affordable housing and historic building rehabilitation projects throughout its market area as a means of supporting local communities. BB&T receives tax credits related to these investments. BB&T typically acts as a limited partner in these investments and does not exert control over the operating or financial policies of the partnerships. BB&T typically provides financing during the construction and development of the properties; however, permanent financing is generally obtained from independent third parties upon completion of a project. Tax credits are subject to recapture by taxing authorities based on compliance features required to be met at the project level. BB&T’s maximum potential exposure to losses relative to investments in VIEs is generally limited to the sum of the outstanding balance, future funding commitments and any related loans to the entity. Loans to these entities are underwritten in substantially the same manner as are other loans and are generally secured. BB&T has investments in and future funding commitments to certain private equity investments. The majority of these investments are private equity funds that are consolidated into BB&T's financial statements. The risk exposure relating to such commitments is generally limited to the amount of investments and future funding commitments made. BB&T has sold certain mortgage-related loans that contain recourse provisions. These provisions generally require BB&T to reimburse the investor for a share of any loss that is incurred after the disposal of the property. BB&T also issues standard representations and warranties related to mortgage loan sales to GSEs. Refer to the "Loan Servicing" note in the "Notes to Consolidated Financial Statements" for additional disclosures related to these exposures. In the ordinary course of business, BB&T indemnifies its officers and directors to the fullest extent permitted by law against liabilities arising from pending litigation. BB&T also issues standard representations and warranties in underwriting agreements, merger and acquisition agreements, loan sales, brokerage activities and other similar arrangements. Counterparties in many of these indemnification arrangements provide similar indemnifications to BB&T. Although these agreements often do not specify limitations, BB&T does not believe that any payments related to these guarantees would materially change the financial position or results of operations of BB&T. Legal Proceedings The nature of BB&T’s business ordinarily results in a certain amount of claims, litigation, investigations and legal and administrative cases and proceedings, all of which are considered incidental to the normal conduct of business. BB&T believes it has meritorious defenses to the claims asserted against it in its currently outstanding legal proceedings and, with respect to such legal proceedings, intends to continue to defend itself vigorously, litigating or settling cases according to management’s judgment as to what is in the best interests of BB&T and its shareholders. On a regular basis, liabilities and contingencies in connection with outstanding legal proceedings are assessed utilizing the latest information available. For those matters where it is probable that BB&T will incur a loss and the amount of the loss can be reasonably estimated, a liability is recorded in the consolidated financial statements. These legal reserves may be increased or decreased to reflect any relevant developments on at least a quarterly basis. For other matters, where a loss is not probable or the amount of the loss is not estimable, legal reserves are not accrued. While the outcome of legal proceedings is inherently uncertain, based on information currently available, advice of counsel and available insurance coverage, management believes that the established legal reserves are adequate and the liabilities arising from legal proceedings will not have a material adverse effect on the consolidated financial position, consolidated results of operations or consolidated cash flows. However, in the event of unexpected future developments, it is possible that the ultimate resolution of these matters, if unfavorable, may be material to the consolidated financial position, consolidated results of operations or consolidated cash flows of BB&T. Pledged Assets Certain assets were pledged to secure municipal deposits, securities sold under agreements to repurchase, borrowings and borrowing capacity, subject to any applicable asset discount, at the FHLB and FRB as well as for other purposes as required or permitted by law. The following table provides the total carrying amount of pledged assets by asset type, of which the majority are pursuant to agreements that do not permit the other party to sell or repledge the collateral. Assets related to employee benefit plans have been excluded from the following table. December 31, 2016 2015 (Dollars in millions) Pledged securities $ 15,549 $ 14,063 Pledged loans 75,015 69,070 |
Regulatory Requirements and Oth
Regulatory Requirements and Other Restrictions | 12 Months Ended |
Dec. 31, 2016 | |
Regulatory Capital Requirements [Abstract] | |
Regulatory Requirements and Other Restrictions | Regulatory Requirements and Other Restrictions Branch Bank is required by the FRB to maintain reserve balances in the form of vault cash or deposits with the FRB based on specified percentages of certain deposit types, subject to various adjustments. At December 31, 2016 , the net reserve requirement amounted to $124 million . Branch Bank is subject to laws and regulations that limit the amount of dividends it can pay. In addition, both BB&T and Branch Bank are subject to various regulatory restrictions relating to the payment of dividends, including requirements to maintain capital at or above regulatory minimums, and to remain "well-capitalized" under the prompt corrective action regulations. BB&T does not expect that any of these laws, regulations or policies will materially affect the ability of Branch Bank to pay dividends. BB&T is subject to various regulatory capital requirements administered by the Federal banking agencies. Failure to meet minimum capital requirements can initiate certain mandatory—and possibly additional discretionary—actions by regulators that, if undertaken, could have a direct material effect on the financial statements. Under capital adequacy guidelines and the regulatory framework for prompt corrective action, the Company must meet specific capital guidelines that involve quantitative measures of assets, liabilities and certain off-balance-sheet items calculated pursuant to regulatory directives. BB&T’s capital amounts and classification also are subject to qualitative judgments by the regulators about components, risk weightings and other factors. BB&T is in full compliance with these requirements. Banking regulations also identify five capital categories for IDIs: well-capitalized, adequately capitalized, undercapitalized, significantly undercapitalized and critically undercapitalized. At December 31, 2016 and 2015 , BB&T and Branch Bank were classified as "well-capitalized," and management believes that no events or changes have occurred subsequent to year end that would change this designation. Quantitative measures established by regulation to ensure capital adequacy require BB&T to maintain minimum amounts and ratios of total and Tier 1 capital (as defined in the regulations) to risk-weighted assets (as defined), and of Tier 1 capital to average tangible assets (leverage ratio). Risk-based capital ratios, which include CET1, Tier 1 Capital and Total Capital, are calculated based on regulatory guidance related to the measurement of capital and risk-weighted assets. December 31, 2016 December 31, 2015 Actual Capital Capital Requirements Actual Capital Capital Requirements Ratio Amount Minimum Well-Capitalized Ratio Amount Minimum Well-Capitalized (Dollars in millions) CET1 Capital: BB&T 10.2 % $ 18,050 $ 7,926 $ 11,449 10.3 % $ 17,081 $ 7,497 $ 10,830 Branch Bank 11.5 19,839 7,730 11,166 11.3 18,382 7,319 10,572 Tier 1 Capital: BB&T 12.0 21,102 10,568 14,091 11.8 19,682 9,997 13,329 Branch Bank 11.5 19,839 10,307 13,743 11.3 18,382 9,759 13,012 Total Capital: BB&T 14.1 24,872 14,091 17,614 14.3 23,753 13,329 16,661 Branch Bank 13.6 23,289 13,743 17,179 13.4 21,859 13,012 16,265 Leverage Capital: BB&T 10.0 21,102 8,460 10,576 9.8 19,682 8,062 10,077 Branch Bank 9.6 19,839 8,249 10,311 9.3 18,382 7,866 9,833 As an approved seller/servicer, Branch Bank is required to maintain minimum levels of capital, as specified by various agencies, including the U.S. Department of Housing and Urban Development, GNMA, FHLMC and FNMA. At December 31, 2016 and 2015 , Branch Bank’s capital was above all required levels. |
Parent Company Financial Statem
Parent Company Financial Statements | 12 Months Ended |
Dec. 31, 2016 | |
Condensed Financial Information of Parent Company Only Disclosure [Abstract] | |
Parent Company Financial Statements | Parent Company Financial Statements December 31, Parent Company - Condensed Balance Sheets 2016 2015 (Dollars in millions) Assets: Cash and due from banks $ 21 $ 109 Interest-bearing deposits with banks 7,094 7,383 AFS securities at fair value 134 124 HTM securities at amortized cost 1 3 Investment in banking subsidiaries 28,444 25,823 Investment in other subsidiaries 1,279 1,101 Advances to / receivables from banking subsidiaries 850 — Advances to / receivables from other subsidiaries 2,981 3,086 Other assets 131 211 Total assets $ 40,935 $ 37,840 Liabilities and Shareholders' Equity: Short-term borrowed funds $ 46 $ 105 Long-term debt 10,836 10,274 Accounts payable and other liabilities 127 121 Total liabilities 11,009 10,500 Total shareholders' equity 29,926 27,340 Total liabilities and shareholders' equity $ 40,935 $ 37,840 Year Ended December 31, Parent Company - Condensed Income and Comprehensive Income Statements 2016 2015 2014 (Dollars in millions) Income: Dividends from banking subsidiaries $ 1,350 $ 1,600 $ 1,636 Dividends from other subsidiaries 6 411 71 Interest and other income from subsidiaries 73 64 67 Other income 3 3 7 Total income 1,432 2,078 1,781 Expenses: Interest expense 160 165 148 Other expenses 56 103 55 Total expenses 216 268 203 Income before income taxes and equity in undistributed earnings of subsidiaries 1,216 1,810 1,578 Income tax benefit 38 40 43 Income before equity in undistributed earnings of subsidiaries 1,254 1,850 1,621 Equity in undistributed earnings of subsidiaries in excess of dividends from subsidiaries 1,188 273 585 Net income 2,442 2,123 2,206 Total OCI (104 ) (277 ) (158 ) Total comprehensive income $ 2,338 $ 1,846 $ 2,048 Year Ended December 31, Parent Company - Statements of Cash Flows 2016 2015 2014 (Dollars in millions) Cash Flows From Operating Activities: Net income $ 2,442 $ 2,123 $ 2,206 Adjustments to reconcile net income to net cash from operating activities: Equity in earnings of subsidiaries in excess of dividends from subsidiaries (1,188 ) (273 ) (585 ) Net change in operating assets and liabilities: Other assets 41 88 27 Accounts payable and other liabilities (42 ) (14 ) 40 Other, net (88 ) 32 (86 ) Net cash from operating activities 1,165 1,956 1,602 Cash Flows From Investing Activities: Proceeds from sales, calls and maturities of AFS securities 27 49 25 Purchases of AFS securities (31 ) (21 ) (124 ) Proceeds from maturities, calls and paydowns of HTM securities 2 27 16 Investment in subsidiaries (85 ) — (1 ) Advances to subsidiaries (7,719 ) (7,461 ) (7,145 ) Proceeds from repayment of advances to subsidiaries 6,975 6,848 7,060 Net cash from acquisitions and divestitures (254 ) (595 ) — Net cash from investing activities (1,085 ) (1,153 ) (169 ) Cash Flows From Financing Activities: Net change in short-term borrowings — (40 ) (34 ) Net change in long-term debt 476 (92 ) 1,085 Net cash from common stock transactions (293 ) 73 298 Net proceeds from preferred stock issued 450 — — Cash dividends paid on common and preferred stock (1,092 ) (937 ) (814 ) Other, net 2 (6 ) (4 ) Net cash from financing activities (457 ) (1,002 ) 531 Net Change in Cash and Cash Equivalents (377 ) (199 ) 1,964 Cash and Cash Equivalents at Beginning of Period 7,492 7,691 5,727 Cash and Cash Equivalents at End of Period $ 7,115 $ 7,492 $ 7,691 The transfer of funds in the form of dividends, loans or advances from bank subsidiaries to the Parent Company is restricted. Federal law requires loans to the Parent Company or its affiliates to be secured and at market terms and generally limits loans to the Parent Company or an individual affiliate to 10% of Branch Bank’s unimpaired capital and surplus. In the aggregate, loans to the Parent Company and all affiliates cannot exceed 20% of the bank’s unimpaired capital and surplus. Dividend payments to the Parent Company by Branch Bank are subject to regulatory review and statutory limitations and, in some instances, regulatory approval. In general, dividends from Branch Bank to the Parent Company are limited by rules which compare dividends to net income for regulatory-defined periods. Furthermore, dividends are restricted by regulatory minimum capital constraints. |
Fair Value Disclosures
Fair Value Disclosures | 12 Months Ended |
Dec. 31, 2016 | |
Fair Value Disclosures [Abstract] | |
Fair Value Disclosures | Fair Value Disclosures Accounting standards define fair value as the exchange price that would be received on the measurement date to sell an asset or the price paid to transfer a liability in the principal or most advantageous market available to the entity in an orderly transaction between market participants, with a three level valuation input hierarchy. The following tables present fair value information for assets and liabilities measured at fair value on a recurring basis. December 31, 2016 Total Level 1 Level 2 Level 3 (Dollars in millions) Assets: Trading securities $ 748 $ 324 $ 424 $ — AFS securities: U.S. Treasury 2,587 — 2,587 — GSE 180 — 180 — Agency MBS 21,264 — 21,264 — States and political subdivisions 2,205 — 2,205 — Non-agency MBS 679 — 172 507 Other 11 8 3 — LHFS 1,716 — 1,716 — MSRs 1,052 — — 1,052 Derivative assets: Interest rate contracts 814 — 807 7 Foreign exchange contracts 8 — 8 — Private equity investments 362 — — 362 Total assets $ 31,626 $ 332 $ 29,366 $ 1,928 Liabilities: Derivative liabilities: Interest rate contracts $ 998 $ — $ 978 $ 20 Foreign exchange contracts 5 — 5 — Securities sold short 137 — 137 — Total liabilities $ 1,140 $ — $ 1,120 $ 20 December 31, 2015 Total Level 1 Level 2 Level 3 (Dollars in millions) Assets: Trading securities $ 1,180 $ 311 $ 869 $ — AFS securities: U.S. Treasury 1,832 — 1,832 — GSE 51 — 51 — Agency MBS 20,046 — 20,046 — States and political subdivisions 2,375 — 2,375 — Non-agency MBS 989 — 363 626 Other 4 4 — — LHFS 1,035 — 1,035 — MSRs 880 — — 880 Derivative assets: Interest rate contracts 964 — 956 8 Foreign exchange contracts 6 — 6 — Private equity investments 289 — — 289 Total assets $ 29,651 $ 315 $ 27,533 $ 1,803 Liabilities: Derivative liabilities: Interest rate contracts $ 788 $ — $ 784 $ 4 Foreign exchange contracts 4 — 4 — Securities sold short 147 — 147 — Total liabilities $ 939 $ — $ 935 $ 4 The following discussion focuses on the valuation techniques and significant inputs for Level 2 and Level 3 assets and liabilities. A third-party pricing service is generally utilized in determining the fair value of the securities portfolio. Management independently evaluates the fair values provided by the pricing service through comparisons to other external pricing sources, review of additional information provided by the pricing service and other third party sources for selected securities and back-testing to compare the price realized on any security sales to the daily pricing information received from the pricing service. Fair value measurements are derived from market-based pricing matrices that were developed using observable inputs that include benchmark yields, benchmark securities, reported trades, offers, bids, issuer spreads and broker quotes. As described by security type below, additional inputs may be used, or some inputs may not be applicable. In the event that market observable data was not available, which would generally occur due to the lack of an active market for a given security, the valuation of the security would be subjective and may involve substantial judgment by management. Trading securities: Trading securities include various types of debt and equity securities, primarily consisting of debt securities issued by the U.S. Treasury, GSEs, or states and political subdivisions. The valuation techniques used for these investments are more fully discussed below. U.S. Treasury securities: Treasury securities are valued using quoted prices in active over the counter markets. GSE securities and agency MBS: GSE pass-through securities are valued using market-based pricing matrices that reference observable inputs including benchmark TBA security pricing and yield curves that were estimated based on U.S. Treasury yields and certain floating rate indices. The pricing matrices for these securities may also give consideration to pool-specific data supplied directly by the GSE. GSE CMOs are valued using market-based pricing matrices that are based on observable inputs including offers, bids, reported trades, dealer quotes and market research reports, the characteristics of a specific tranche, market convention prepayment speeds and benchmark yield curves as described above. States and political subdivisions: These securities are valued using market-based pricing matrices that reference observable inputs including MSRB reported trades, issuer spreads, material event notices and benchmark yield curves. Non-agency MBS: Pricing matrices for these securities are based on observable inputs including offers, bids, reported trades, dealer quotes and market research reports, the characteristics of a specific tranche, market convention prepayment speeds and benchmark yield curves as described above. Non-agency MBS also include investments in Re-REMIC trusts that primarily hold non-agency MBS, which are valued based on broker pricing models that use baseline securities yields and tranche-level yield adjustments to discount cash flows modeled using market convention prepayment speed and default assumptions. Other securities: These securities consist primarily of mutual funds and corporate bonds. These securities are valued based on a review of quoted market prices for assets as well as through the various other inputs discussed previously. LHFS: Certain mortgage loans are originated to be sold to investors, which are carried at fair value. The fair value is primarily based on quoted market prices for securities backed by similar types of loans. The changes in fair value of these assets are largely driven by changes in interest rates subsequent to loan funding and changes in the fair value of servicing associated with the mortgage LHFS. MSRs: Residential MSRs are valued using an OAS valuation model to project cash flows over multiple interest rate scenarios, which are then discounted at risk-adjusted rates. The model considers portfolio characteristics, contractually specified servicing fees, prepayment assumptions, delinquency rates, late charges, other ancillary revenue, costs to service and other economic factors. Fair value estimates and assumptions are compared to industry surveys, recent market activity, actual portfolio experience and, when available, other observable market data. Commercial MSRs are valued using a cash flow valuation model that calculates the present value of estimated future net servicing cash flows. BB&T considers actual and expected loan prepayment rates, discount rates, servicing costs and other economic factors that are determined based on current market conditions. Derivative assets and liabilities: The fair values of derivatives are determined based on quoted market prices and internal pricing models that use market observable data. The fair values of interest rate lock commitments, which are related to mortgage loan commitments and are categorized as Level 3, are based on quoted market prices adjusted for commitments that are not expected to fund and include the value attributable to the net servicing fees. Private equity investments: Private equity investments are measured at fair value based on the investment’s net asset value. In many cases there are no observable market values for these investments and therefore management must estimate the fair value based on a comparison of the operating performance of the company to multiples in the marketplace for similar entities. This analysis requires significant judgment, and actual values in a sale could differ materially from those estimated. Securities sold short: Securities sold short represent debt securities sold short that are entered into as a hedging strategy for the purposes of supporting institutional and retail client trading activities. The following tables summarize activity for Level 3 assets and liabilities: Year Ended December 31, 2016 Non-agency MBS MSRs Net Derivatives Private Equity Investments (Dollars in millions) Balance at January 1, 2016 $ 626 $ 880 $ 4 $ 289 Total realized and unrealized gains (losses): Included in earnings: Interest income 25 — — — Mortgage banking income — 63 97 — Other noninterest income — — — 20 Included in unrealized net holding gains (losses) in OCI (45 ) — — — Purchases — — — 106 Issuances — 146 82 — Sales — — — (38 ) Settlements (99 ) (160 ) (196 ) (15 ) Adoption of fair value option for commercial MSRs — 123 — — Balance at December 31, 2016 $ 507 $ 1,052 $ (13 ) $ 362 Change in unrealized gains (losses) included in earnings for the period, attributable to assets and liabilities still held at December 31, 2016 $ 25 $ 63 $ (13 ) $ 7 Year Ended December 31, 2015 Non-agency MBS MSRs Net Derivatives Private Equity Investments (Dollars in millions) Balance at January 1, 2015 $ 745 $ 844 $ 17 $ 329 Total realized and unrealized gains (losses): Included in earnings: Interest income 23 — — — Mortgage banking income — 10 87 — Other noninterest income — — (6 ) 49 Included in unrealized net holding gains (losses) in OCI (45 ) — — — Purchases — — 1 81 Issuances — 156 74 — Sales — — — (154 ) Settlements (97 ) (130 ) (169 ) (16 ) Balance at December 31, 2015 $ 626 $ 880 $ 4 $ 289 Change in unrealized gains (losses) included in earnings for the period, attributable to assets and liabilities still held at December 31, 2015 $ 23 $ 10 $ 4 $ (2 ) Year Ended December 31, 2014 Non-agency MBS MSRs Net Derivatives Private Equity Investments (Dollars in millions) Balance at January 1, 2014 $ 861 $ 1,047 $ (11 ) $ 291 Total realized and unrealized gains (losses): Included in earnings: Interest income 33 — — — Mortgage banking income — (221 ) 94 — Other noninterest income — — (2 ) 27 Included in unrealized holding gains (losses) in OCI (38 ) — — — Purchases — — — 67 Issuances — 141 75 — Sales — — — (50 ) Settlements (111 ) (123 ) (139 ) (7 ) Transfers into Level 3 — — — 1 Balance at December 31, 2014 $ 745 $ 844 $ 17 $ 329 Change in unrealized gains (losses) included in earnings for the period, attributable to assets and liabilities still held at December 31, 2014 $ 33 $ (221 ) $ 17 $ 15 BB&T’s policy is to recognize transfers between levels as of the end of a reporting period. Transfers in and out of Level 3 are shown in the preceding tables. There were no transfers between Level 1 and Level 2 during 2016 , 2015 or 2014 . The non-agency MBS categorized as Level 3 represent ownership interest in various tranches of Re-REMIC trusts. These securities are valued at a discount, which is unobservable in the market, to the fair value of the underlying securities owned by the trusts. The Re-REMIC tranches do not have an active market and therefore are categorized as Level 3. At December 31, 2016, the fair value of the Re-REMIC non-agency MBS represented a discount of 14.1% to the fair value of the underlying securities owned by the Re-REMIC trusts. The majority of private equity investments are in SBIC qualified funds, which primarily focus on equity and subordinated debt investments in privately-held middle market companies. The majority of these VIE investments are not redeemable and distributions are received as the underlying assets of the funds liquidate. The timing of distributions, which are expected to occur on various dates through 2026 , is uncertain and dependent on various events such as recapitalizations, refinance transactions and ownership changes, among others. Excluding the investment of future funds, BB&T estimates these investments have a weighted average remaining life of approximately two years; however, the timing and amount of distributions may vary significantly. As of December 31, 2016 , restrictions on the ability to sell the investments include, but are not limited to, consent of a majority member or general partner approval for transfer of ownership. BB&T’s investments are spread over numerous privately-held middle market companies, and thus the sensitivity to a change in fair value for any single investment is limited. The significant unobservable inputs for these investments are EBITDA multiples that ranged from 5 x to 13 x, with a weighted average of 8 x, at December 31, 2016 . The following table details the fair value and UPB of LHFS that were elected to be carried at fair value: December 31, 2016 December 31, 2015 Fair Value Aggregate UPB Difference Fair Value Aggregate UPB Difference (Dollars in millions) LHFS reported at fair value $ 1,716 $ 1,736 $ (20 ) $ 1,035 $ 1,023 $ 12 Excluding government guaranteed, LHFS that were in nonaccrual status or 90 days or more past due and still accruing interest were not material at December 31, 2016 . The following table provides information about certain financial assets measured at fair value on a nonrecurring basis, which are primarily collateral dependent and may be subject to liquidity adjustments. The carrying values represent end of period values, which approximate the fair value measurements that occurred on the various measurement dates throughout the period. The valuation adjustments represent the amounts recorded during the period regardless of whether the asset is still held at period end. These assets are considered to be Level 3 assets (excludes PCI). As Of / For the Year Ended December 31, 2016 December 31, 2015 Carrying Value Valuation Adjustments Carrying Value Valuation Adjustments (Dollars in millions) Impaired loans $ 278 $ (89 ) $ 149 $ (30 ) Foreclosed real estate 50 (221 ) 82 (190 ) Refer to the "Acquisitions and Divestitures" note for fair value measurements related to acquisitions. For financial instruments not recorded at fair value, estimates of fair value are based on relevant market data and information about the instrument. Values obtained relate to one trading unit without regard to any premium or discount that may result from concentrations of ownership, possible tax ramifications, estimated transaction costs that may result from bulk sales or the relationship between various instruments. An active market does not exist for certain financial instruments. Fair value estimates for these instruments are based on current economic conditions, currency and interest rate risk characteristics, loss experience and other factors. Many of these estimates involve uncertainties and matters of significant judgment and cannot be determined with precision. Therefore, the fair value estimates in many instances cannot be substantiated by comparison to independent markets and, in many cases, may not be realizable in a current sale of the instrument. In addition, changes in assumptions could significantly affect these fair value estimates. The following assumptions were used to estimate the fair value of these financial instruments. Cash and cash equivalents and restricted cash : For these short-term instruments, the carrying amounts are a reasonable estimate of fair values. HTM securities: The fair values of HTM securities are based on a market approach using observable inputs such as benchmark yields and securities, TBA prices, reported trades, issuer spreads, current bids and offers, monthly payment information and collateral performance. Loans receivable : The fair values for loans are estimated using discounted cash flow analyses, applying interest rates currently being offered for loans with similar terms and credit quality, which are deemed to be indicative of orderly transactions in the current market. For commercial loans and leases, discount rates may be adjusted to address additional credit risk on lower risk grade instruments. For residential mortgage and other consumer loans, internal prepayment risk models are used to adjust contractual cash flows. Loans are aggregated into pools of similar terms and credit quality and discounted using a LIBOR based rate. The carrying amounts of accrued interest approximate fair values. FDIC loss share receivable and payable : The fair values of the receivable and payable were estimated using discounted cash flow analyses, applying a risk free interest rate that was adjusted for the uncertainty in the timing and amount of the cash flows. The expected cash flows to/from the FDIC related to loans were estimated using the same assumptions that were used in determining the accounting values for the related loans. The expected cash flows to/from the FDIC related to securities were based upon the fair value of the related securities and the payment that would be required if the securities were sold for that amount. The loss share agreements were not transferable and, accordingly, there was no market for the receivable or payable. Deposit liabilities : The fair values for demand deposits are equal to the amount payable on demand. Fair values for CDs are estimated using a discounted cash flow calculation that applies current interest rates to aggregate expected maturities. BB&T has developed long-term relationships with its deposit customers, commonly referred to as CDIs, that have not been considered in the determination of the deposit liabilities’ fair value. Short-term borrowings : The carrying amounts of short-term borrowings, excluding securities sold short, approximate their fair values. Long-term debt : The fair values of long-term debt instruments are estimated based on quoted market prices for the instrument if available, or for similar instruments if not available, or by using discounted cash flow analyses, based on current incremental borrowing rates for similar types of instruments. Contractual commitments : The fair values of commitments are estimated using the fees charged to enter into similar agreements, taking into account the remaining terms of the agreements and the present creditworthiness of the counterparties. The fair values of guarantees and letters of credit are estimated based on the counterparties’ creditworthiness and average default rates for loan products with similar risks. These respective fair value measurements are categorized within Level 3 of the fair value hierarchy. Retail lending commitments are assigned no fair value as BB&T typically has the ability to cancel such commitments by providing notice to the borrower. Financial assets and liabilities not recorded at fair value are summarized below: December 31, 2016 Carrying Amount Total Fair Value Level 2 Level 3 (Dollars in millions) Financial assets: HTM securities $ 16,680 $ 16,546 $ 16,546 $ — Loans and leases HFI, net of ALLL 141,833 142,044 — 142,044 Financial liabilities: Deposits 160,234 160,403 160,403 — Long-term debt 21,965 22,423 22,423 — December 31, 2015 Carrying Amount Total Fair Value Level 2 Level 3 (Dollars in millions) Financial assets: HTM securities $ 18,530 $ 18,519 $ 18,519 $ — Loans and leases HFI, net of ALLL 134,491 134,728 — 134,728 FDIC loss share receivable 285 11 — 11 Financial liabilities: Deposits 149,124 149,300 149,300 — FDIC loss share payable 685 676 — 676 Long-term debt 23,769 24,206 24,206 — The following is a summary of selected information pertaining to off-balance sheet financial instruments: December 31, 2016 December 31, 2015 Notional/Contract Amount Fair Value Notional/Contract Amount Fair Value (Dollars in millions) Commitments to extend, originate or purchase credit $ 64,395 $ 250 $ 59,019 $ 253 Residential mortgage loans sold with recourse 578 7 702 8 Other loans sold with recourse 4,240 7 4,198 7 Letters of credit 2,786 27 3,033 27 |
Derivative Financial Instrument
Derivative Financial Instruments | 12 Months Ended |
Dec. 31, 2016 | |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |
Derivative Financial Instruments | Derivative Financial Instruments The following table presents the notional amount and estimated fair value of derivative instruments: December 31, 2016 December 31, 2015 Notional Amount Fair Value Notional Amount Fair Value Hedged Item or Transaction Gain Loss Gain Loss (Dollars in millions) Cash flow hedges: Interest rate contracts: Pay fixed swaps 3 mo. LIBOR funding $ 7,050 $ — $ (187 ) $ 9,300 $ — $ (214 ) Fair value hedges: Interest rate contracts: Receive fixed swaps Long-term debt 12,099 202 (100 ) 13,092 329 (1 ) Options Long-term debt 2,790 — (1 ) — — — Pay fixed swaps Commercial loans 346 4 (2 ) 207 — (2 ) Pay fixed swaps Municipal securities 231 — (83 ) 244 — (94 ) Total 15,466 206 (186 ) 13,543 329 (97 ) Not designated as hedges: Client-related and other risk management: Interest rate contracts: Receive fixed swaps 9,989 235 (44 ) 8,827 337 (1 ) Pay fixed swaps 10,263 43 (252 ) 8,984 1 (363 ) Other swaps 1,086 2 (5 ) 1,005 3 (6 ) Other 709 2 (2 ) 601 1 (2 ) Forward commitments 5,972 29 (28 ) 4,403 5 (4 ) Foreign exchange contracts 669 8 (5 ) 513 6 (4 ) Total 28,688 319 (336 ) 24,333 353 (380 ) Mortgage banking: Interest rate contracts: Interest rate lock commitments 2,219 7 (20 ) 1,828 8 (4 ) When issued securities, forward rate agreements and forward commitments 3,657 51 (14 ) 2,725 9 (5 ) Other 449 2 (1 ) 677 4 — Total 6,325 60 (35 ) 5,230 21 (9 ) MSRs: Interest rate contracts: Receive fixed swaps 5,034 18 (236 ) 2,343 79 (7 ) Pay fixed swaps 3,768 56 (7 ) 2,329 4 (56 ) Options 5,710 160 (8 ) 7,765 184 (24 ) When issued securities, forward rate agreements and forward commitments 3,210 3 (8 ) 2,682 — (5 ) Total 17,722 237 (259 ) 15,119 267 (92 ) Total derivatives not designated as hedges 52,735 616 (630 ) 44,682 641 (481 ) Total derivatives $ 75,251 822 (1,003 ) $ 67,525 970 (792 ) Gross amounts not offset in the Consolidated Balance Sheets: Amounts subject to master netting arrangements not offset due to policy election (443 ) 443 (391 ) 391 Cash collateral (received) posted (119 ) 450 (283 ) 368 Net amount $ 260 $ (110 ) $ 296 $ (33 ) The fair values of derivatives in a gain or loss position are presented on a gross basis in other assets or other liabilities, respectively, in the Consolidated Balance Sheets. Cash collateral posted for derivatives in a loss position is reported as restricted cash. Derivatives with dealer counterparties at both the bank and the parent company are governed by the terms of ISDA Master netting agreements and Credit Support Annexes. The ISDA Master agreements allow counterparties to offset trades in a gain against trades in a loss to determine net exposure and allows for the right of setoff in the event of either a default or an additional termination event. Credit Support Annexes govern the terms of daily collateral posting practices. Collateral practices mitigate the potential loss impact to affected parties by requiring liquid collateral to be posted on a scheduled basis to secure the aggregate net unsecured exposure. In addition to collateral, the right of setoff allows counterparties to offset net derivative values with a defaulting party against certain other contractual receivables from or obligations due to the defaulting party in determining the net termination amount. No portion of the change in fair value of derivatives designated as hedges has been excluded from effectiveness testing. The ineffective portion was immaterial for all periods presented. The following table presents the effect of hedging derivative instruments on the consolidated statements of income: Effective Portion Pre-tax Gain (Loss) Recognized in OCI Location of Amounts Reclassified from AOCI into Income Pre-tax Gain (Loss) Reclassified from AOCI into Income Year Ended December 31 2016 2015 2014 2016 2015 2014 (Dollars in millions) Cash Flow Hedges: Interest rate contracts $ (24 ) $ (130 ) $ (172 ) Total interest expense $ (11 ) $ (83 ) $ (82 ) Location of Amounts Recognized in Income Pre-tax Gain (Loss) Recognized in Income 2016 2015 2014 (Dollars in millions) Fair Value Hedges: Interest rate contracts Total interest income $ (18 ) $ (20 ) $ (22 ) Interest rate contracts Total interest expense 226 279 233 Total $ 208 $ 259 $ 211 Not Designated as Hedges: Client-related and other risk management: Interest rate contracts Other income $ 52 $ 27 $ 18 Foreign exchange contracts Other income 11 21 16 Mortgage Banking: Interest rate contracts Mortgage banking income 8 7 (16 ) MSRs: Interest rate contracts Mortgage banking income 31 32 251 Total $ 102 $ 87 $ 269 The following table provides a summary of derivative strategies and the related accounting treatment: Cash Flow Hedges Fair Value Hedges Derivatives Not Designated as Hedges Risk exposure Variability in cash flows of interest payments on floating rate business loans, overnight funding and various LIBOR funding instruments. Losses in value on fixed rate long-term debt, CDs, FHLB advances, loans and state and political subdivision securities due to changes in interest rates. Risk associated with an asset or liability, including mortgage banking operations and MSRs, or for client needs. Includes exposure to changes in market rates and conditions subsequent to the interest rate lock and funding date for mortgage loans originated for sale. Risk management objective Hedge the variability in the interest payments and receipts on future cash flows for forecasted transactions related to the first unhedged payments and receipts of variable interest. Convert the fixed rate paid or received to a floating rate, primarily through the use of swaps. For interest rate lock commitment derivatives and LHFS, use mortgage-based derivatives such as forward commitments and options to mitigate market risk. For MSRs, mitigate the income statement effect of changes in the fair value of the MSRs. Treatment for portion that is highly effective Recognized in AOCI until the related cash flows from the hedged item are recognized in earnings. Recognized in current period income along with the corresponding changes in the fair value of the designated hedged item attributable to the risk being hedged. Entire change in fair value recognized in current period income. Treatment for portion that is ineffective Recognized in current period income. Recognized in current period income. Not applicable Treatment if hedge ceases to be highly effective or is terminated Hedge is dedesignated. Effective changes in value that are recorded in AOCI before dedesignation are amortized to yield over the period the forecasted hedged transactions impact earnings. If hedged item remains outstanding, termination proceeds are included in cash flows from financing activities and effective changes in value are reflected as part of the carrying value of the financial instrument and amortized to earnings over its estimated remaining life. Not applicable Treatment if transaction is no longer probable of occurring during forecast period or within a short period thereafter Hedge accounting is ceased and any gain or loss in AOCI is reported in earnings immediately. Not applicable Not applicable The following table presents information about BB&T's cash flow and fair value hedges: December 31, 2016 2015 (Dollars in millions) Cash flow hedges: Net unrecognized after-tax loss on active hedges recorded in AOCI $ (118 ) $ (134 ) Net unrecognized after-tax gain on terminated hedges recorded in AOCI (to be recognized in earnings through 2022) 26 50 Estimated portion of net after-tax loss on active and terminated hedges to be reclassified from AOCI into earnings during the next 12 months (4 ) (7 ) Maximum time period over which BB&T has hedged a portion of the variability in future cash flows for forecasted transactions excluding those transactions relating to the payment of variable interest on existing instruments 6 yrs 7 yrs Fair value hedges: Unrecognized pre-tax net gain on terminated hedges (to be recognized as interest primarily through 2019) $ 169 $ 138 Portion of pre-tax net gain on terminated hedges to be recognized as a change in interest during the next 12 months 56 57 Derivatives Credit Risk – Dealer Counterparties Credit risk related to derivatives arises when amounts receivable from a counterparty exceed those payable to the same counterparty. The risk of loss is addressed by subjecting dealer counterparties to credit reviews and approvals similar to those used in making loans or other extensions of credit and by requiring collateral. Dealer counterparties operate under agreements to provide cash and/or liquid collateral when unsecured loss positions exceed negotiated limits. Derivative contracts with dealer counterparties settle on a monthly, quarterly or semiannual basis, with daily movement of collateral between counterparties required within established netting agreements. BB&T only transacts with dealer counterparties with strong credit standings. Derivatives Credit Risk – Central Clearing Parties Certain derivatives are cleared through central clearing parties that require initial margin collateral, as well as collateral for trades in a net loss position. Initial margin collateral requirements are established by central clearing parties on varying bases, with such amounts generally designed to offset the risk of non-payment. Initial margin is generally calculated by applying the maximum loss experienced in value over a specified time horizon to the portfolio of existing trades. The central clearing party used for TBA transactions does not post variation margin to the bank. December 31, 2016 2015 (Dollars in millions) Dealer Counterparties: Cash collateral received from dealer counterparties $ 123 $ 283 Derivatives in a net gain position secured by that collateral 123 301 Unsecured positions in a net gain with dealer counterparties after collateral postings 4 18 Cash collateral posted to dealer counterparties 138 156 Derivatives in a net loss position secured by that collateral 144 161 Additional collateral that would have been posted had BB&T's credit ratings dropped below investment grade 8 6 Central Clearing Parties: Cash collateral, including initial margin, posted to central clearing parties 313 223 Derivatives in a net loss position secured by that collateral 318 227 Securities pledged to central clearing parties 119 207 |
Computation of EPS
Computation of EPS | 12 Months Ended |
Dec. 31, 2016 | |
Earnings Per Share [Abstract] | |
Computation of EPS | Computation of EPS Basic and diluted EPS calculations are presented in the following table: Year Ended December 31, 2016 2015 2014 (Dollars in millions, except per share data, shares in thousands) Net income available to common shareholders $ 2,259 $ 1,936 $ 1,983 Weighted average number of common shares 804,680 748,010 718,140 Effect of dilutive outstanding equity-based awards 10,236 9,755 10,232 Weighted average number of diluted common shares 814,916 757,765 728,372 Basic EPS $ 2.81 $ 2.59 $ 2.76 Diluted EPS $ 2.77 $ 2.56 $ 2.72 Anti-dilutive awards 5,609 8,620 14,333 |
Operating Segments
Operating Segments | 12 Months Ended |
Dec. 31, 2016 | |
Segment Reporting [Abstract] | |
Operating Segments | Operating Segments BB&T's operations are divided into six reportable business segments that have been identified based on BB&T’s organizational structure. The segments require unique technology and marketing strategies and offer different products and services through a number of distinctly branded BUs. In addition, there is an Other, Treasury and Corporate segment. While BB&T is managed as an integrated organization, individual executive managers are held accountable for the operations of these business segments. BB&T emphasizes revenue growth by focusing on client service, sales effectiveness and relationship management along with an organizational focus on referring clients between BUs. The business objective is to provide BB&T’s entire suite of products to our clients with the end goal of providing our clients the best financial experience in the marketplace. The segment results are presented based on internal management accounting policies that were designed to support these strategic objectives. Unlike financial accounting, there is no comprehensive authoritative body of guidance for management accounting equivalent to GAAP. The performance of the segments is not comparable with BB&T’s consolidated results or with similar information presented by any other financial institution. Additionally, because of the interrelationships of the various segments, the information presented is not indicative of how the segments would perform if they operated as independent entities. The management accounting process uses various estimates and allocation methodologies to measure the performance of the operating segments. To determine financial performance for each segment, BB&T allocates capital, funding charges and credits, provisions for credit losses, certain noninterest expenses and income tax provisions to each segment, as applicable. To promote revenue growth, certain revenues are reflected in noninterest income in the individual segment results and also allocated to Community Banking and Financial Services. These allocated revenues are reflected in intersegment net referral fees and eliminated in Other, Treasury and Corporate. Additionally certain client groups of Community Banking have also been identified as clients of other BUs within the business segments. Periodically, existing clients within the Community Banking segment may be identified and assigned as wealth and private banking clients. At the time of identification, these clients’ loan and deposit balances are reported in the Financial Services segment from the time of assignment forward. The net interest income and associated net FTP associated with these customers’ loans and deposits is accounted for in Community Banking in the respective line categories of net interest income (expense) and net intersegment interest income (expense). For Commercial Finance and the Wealth Division, NIM and net intersegment interest income have been combined in the net intersegment interest income (expense) line with an appropriate offsetting amount to the Other, Treasury and Corporate line item to ensure consolidated totals reflect the Company’s total NIM for loans and deposits. Allocation methodologies are subject to periodic adjustment as the internal management accounting system is revised and business or product lines within the segments change. Also, because the development and application of these methodologies is a dynamic process, the financial results presented may be periodically revised. BB&T utilizes an FTP system to eliminate the effect of interest rate risk from the segments’ net interest income because such risk is centrally managed within the Treasury function. The FTP system credits or charges the segments with the economic value or cost of the funds the segments create or use. The net FTP credit or charge, which includes intercompany interest income and expense, is reflected as net intersegment income (expense) in the accompanying tables. The allocated provision for credit losses is also allocated to the relevant segments based on management’s assessment of the segments’ credit risks. The allocated provision is designed to achieve a high degree of correlation between the loan loss experience and the GAAP basis provision at the segment level, while at the same time providing management with a measure of operating performance that gives appropriate consideration to the risks inherent in each of the Company’s operating segments. Any over or under allocated provision for credit losses is reflected in Other, Treasury and Corporate to arrive at consolidated results. BB&T allocates expenses to the reportable segments based on various methodologies, including volume and amount of loans and deposits and the number of full-time equivalent employees. Allocation systems are refined from time to time along with further identification of certain cost pools. These cost pools and refinements are implemented to provide for improved managerial reporting of cost to the appropriate business segments. A portion of corporate overhead expense is not allocated, but is retained in corporate accounts and reflected as Other, Treasury and Corporate in the accompanying tables. The majority of depreciation expense is recorded in support units and allocated to the segments as part of allocated corporate expense. Income taxes are allocated to the various segments based on taxable income and statutory rates applicable to the segment. Community Banking Community Banking serves individual and business clients by offering a variety of loan and deposit products and other financial services. Community Banking is primarily responsible for serving client relationships and, therefore, is credited with certain revenue from the Residential Mortgage Banking, Financial Services, Insurance Holdings, Specialized Lending, and other segments, which is reflected in net referral fees. Residential Mortgage Banking Residential Mortgage Banking retains and services mortgage loans originated by BB&T as well as those purchased from various correspondent originators. Mortgage loan products include fixed and adjustable rate government and conventional loans for the purpose of constructing, purchasing or refinancing residential properties. Substantially all of the properties are owner occupied. BB&T generally retains the servicing rights to loans sold. Residential Mortgage Banking earns interest on loans held in the warehouse and portfolio, earns fee income from the origination and servicing of mortgage loans and recognizes gains or losses from the sale of mortgage loans. Dealer Financial Services Dealer Financial Services originates loans to consumers on a prime and nonprime basis for the purchase of automobiles. Such loans are originated on an indirect basis through approved franchised and independent automobile dealers throughout the BB&T market area and nationally through Regional Acceptance Corporation. This segment also originates loans for the purchase of boats and recreational vehicles originated through dealers in BB&T’s market area. In addition, financing and servicing to dealers for their inventories is provided through a joint relationship between Dealer Financial Services and Community Banking. Specialized Lending Specialized Lending consists of BUs and subsidiaries that provide specialty finance products to consumers and businesses. The BUs include the Mortgage Warehouse Lending business and Governmental Finance. Mortgage Warehouse Lending provides short-term lending solutions to finance first-lien residential mortgage LHFS by independent mortgage companies. Governmental Finance provides tax-exempt financing to meet the capital project needs of local governments. Operating subsidiaries include BB&T Equipment Finance and BB&T Commercial Equipment Capital, which provide equipment leasing for large and small-to-middle market clients primarily within BB&T’s banking footprint; Sheffield Financial, a dealer-based financer of small ticket equipment for both businesses and consumers; Prime Rate Premium Finance Corporation, which includes AFCO and CAFO, insurance premium finance BUs that provide funding to businesses in the United States and Canada and to consumers in certain markets within BB&T’s banking footprint; and Grandbridge, a full-service commercial mortgage banking lender providing loans on a national basis. Branch Bank clients as well as nonbank clients within and outside BB&T’s primary geographic market area are served by these BUs. The Community Banking segment receives credit for referrals to these BUs with the corresponding charge retained as part of Other, Treasury and Corporate in the accompanying tables. Insurance Holdings BB&T's insurance agency / brokerage network is the sixth largest in the world. Insurance Holdings provides property and casualty, employee benefits and life insurance to businesses and individuals. It also provides small business and corporate services, such as workers compensation and professional liability, as well as surety coverage and title insurance. Community Banking and Financial Services receive credit for insurance commissions on referred accounts, with the corresponding charge retained in the corporate office, which is reflected as part of Other, Treasury and Corporate in the accompanying tables. Financial Services Financial Services provides personal trust administration, estate planning, investment counseling, wealth management, asset management, corporate retirement services, corporate banking and corporate trust services. Financial Services also offers clients investment alternatives, including discount brokerage services, equities, fixed-rate and variable-rate annuities, mutual funds and governmental and municipal bonds through BB&T Investment Services, Inc. Financial Services includes BB&T Securities, a full-service brokerage and investment banking firm that provides services in retail brokerage, equity and debt underwriting and investment advice and facilitates the origination, trading and distribution of fixed-income securities and equity products in both the public and private capital markets. BB&T Securities also has a public finance department that provides investment banking services, financial advisory services and municipal bond financing to a variety of regional taxable and tax-exempt issuers. Financial Services includes a group of consolidated SBIC private equity and mezzanine investment funds that invest in privately owned middle-market operating companies to facilitate growth or ownership transition. Financial Services also includes the Corporate Banking Division that originates and services large corporate relationships, syndicated lending relationships and client derivatives. Community Banking receives an interoffice credit for referral fees, with the corresponding charge reflected as part of Other, Treasury and Corporate in the accompanying tables. Also captured within the net intersegment interest income for Financial Services is the NIM for the loans and deposits associated with client relationships assigned to the Wealth Division that are housed in the Community Bank. Other, Treasury and Corporate Other, Treasury and Corporate is the combination of the Other segment that represents operating entities that do not meet the quantitative or qualitative thresholds for disclosure; BB&T’s Treasury function, which is responsible for the management of the securities portfolios, overall balance sheet funding and liquidity, and overall management of interest rate risk; the corporate support functions that have not been allocated to the business segments; certain merger-related charges or credits that are incurred as part of the acquisition and conversion of acquired entities; certain nonrecurring charges that are considered to be unusual in nature or infrequent and not reflective of the normal operations of the segments; and intercompany eliminations including intersegment net referral fees and net intersegment interest income (expense). The investment balances and results related to affordable housing investments are included in the Other, Treasury and Corporate segment. PCI loans from the Colonial acquisition and related net interest income are also included in this segment. Performance results of bank acquisitions prior to system conversion are typically reported in this segment and on a post-conversion date are reported in the Community Banking segment. Segment Realignment Effective January 2017, several business activities were realigned within the segments. First, certain client relationships with $218 million of loans and $2.0 billion of deposits were no longer included in Financial Services and are only reported in Community Banking. Second, the Mortgage Warehouse Lending and Domestic Factoring businesses within Specialized Lending were moved to Residential Mortgage Banking and Other, Treasury and Corporate, respectively. Third, the International division was restructured with components integrated into Community Banking and Financial Services from Other, Treasury and Corporate. The following table presents segment results prior to the realignment. Community Banking Residential Mortgage Banking Dealer Financial Services Specialized Lending Year Ended December 31, 2016 2015 2014 2016 2015 2014 2016 2015 2014 2016 2015 2014 (Dollars in millions) Net interest income (expense) $ 2,208 $ 1,798 $ 1,726 $ 1,341 $ 1,357 $ 1,482 $ 930 $ 881 $ 835 $ 752 $ 648 $ 575 Net intersegment interest income (expense) 1,589 1,271 1,188 (898 ) (905 ) (984 ) (161 ) (153 ) (160 ) (283 ) (235 ) (206 ) Segment net interest income 3,797 3,069 2,914 443 452 498 769 728 675 469 413 369 Allocated provision for credit losses 36 67 123 45 9 (107 ) 296 253 237 70 43 36 Noninterest income 1,227 1,166 1,184 344 355 310 2 — 2 297 260 222 Intersegment net referral fees (expense) 153 135 120 1 2 2 — — — — — — Noninterest expense 1,742 1,516 1,428 211 321 498 149 151 114 300 254 210 Amortization of intangibles 74 39 29 — — — — — — 5 4 5 Allocated corporate expenses 1,337 1,225 1,204 107 93 91 45 38 31 81 63 62 Income (loss) before income taxes 1,988 1,523 1,434 425 386 328 281 286 295 310 309 278 Provision (benefit) for income taxes 724 563 524 161 146 124 107 109 112 74 74 63 Segment net income (loss) $ 1,264 $ 960 $ 910 $ 264 $ 240 $ 204 $ 174 $ 177 $ 183 $ 236 $ 235 $ 215 Identifiable assets (period end) $ 73,640 $ 68,250 $ 55,495 $ 33,473 $ 33,407 $ 34,463 $ 16,556 $ 15,130 $ 12,821 $ 19,976 $ 18,243 $ 15,671 Insurance Holdings Financial Services Other, Treasury and Corporate (1) Total BB&T Corporation 2016 2015 2014 2016 2015 2014 2016 2015 2014 2016 2015 2014 (Dollars in millions) Net interest income (expense) $ 3 $ 2 $ 2 $ 260 $ 219 $ 187 $ 827 $ 687 $ 567 $ 6,321 $ 5,592 $ 5,374 Net intersegment interest income (expense) 4 6 6 372 314 263 (623 ) (298 ) (107 ) — — — Segment net interest income 7 8 8 632 533 450 204 389 460 6,321 5,592 5,374 Allocated provision for credit losses — — — 126 66 26 (1 ) (10 ) (64 ) 572 428 251 Noninterest income 1,726 1,608 1,663 888 850 780 (12 ) (220 ) (305 ) 4,472 4,019 3,856 Intersegment net referral fees (expense) — — — 23 22 15 (177 ) (159 ) (137 ) — — — Noninterest expense 1,312 1,190 1,189 753 683 637 2,104 2,046 1,685 6,571 6,161 5,761 Amortization of intangibles 60 47 53 5 3 2 6 12 2 150 105 91 Allocated corporate expenses 111 99 86 151 136 128 (1,832 ) (1,654 ) (1,602 ) — — — Income (loss) before income taxes 250 280 343 508 517 452 (262 ) (384 ) (3 ) 3,500 2,917 3,127 Provision (benefit) for income taxes 96 98 110 190 195 170 (294 ) (391 ) (182 ) 1,058 794 921 Segment net income (loss) $ 154 $ 182 $ 233 $ 318 $ 322 $ 282 $ 32 $ 7 $ 179 $ 2,442 $ 2,123 $ 2,206 Identifiable assets (period end) $ 3,463 $ 2,804 $ 2,965 $ 17,451 $ 16,650 $ 12,887 $ 54,717 $ 55,463 $ 52,532 $ 219,276 $ 209,947 $ 186,834 __________________ (1) Includes financial data from subsidiaries below the quantitative and qualitative thresholds requiring disclosure. |
Summary of Significant Accoun28
Summary of Significant Accounting Policies (Policy) | 12 Months Ended |
Dec. 31, 2016 | |
Accounting Policies [Abstract] | |
Principles of Consolidation | Principles of Consolidation The consolidated financial statements include the accounts of BB&T Corporation and those subsidiaries that are majority owned by BB&T or over which BB&T exercises control. Intercompany accounts and transactions are eliminated in consolidation. The results of operations of companies or assets acquired are included from the dates of acquisition. All material wholly-owned and majority-owned subsidiaries are consolidated unless GAAP requires otherwise. BB&T holds investments in certain legal entities that are considered VIEs. VIEs are legal entities in which equity investors do not have sufficient equity at risk for the entity to independently finance its activities, or as a group, the holders of the equity investment at risk lack the power through voting or similar rights to direct the activities of the entity that most significantly impact its economic performance, or do not have the obligation to absorb the expected losses of the entity or the right to receive expected residual returns of the entity. Consolidation of a VIE is required if a reporting entity is the primary beneficiary of the VIE. Investments in VIEs are evaluated to determine if BB&T is the primary beneficiary. This evaluation gives appropriate consideration to the design of the entity and the variability that the entity was designed to pass along, the relative power of each party, and to BB&T’s relative obligation to absorb losses or receive residual returns of the entity, in relation to such obligations and rights held by each party. During 2015, BB&T disposed of its variable interests in its Tender Option Bond program trusts, which allowed for tax-advantaged financing of certain debt instruments issued by tax-exempt entities. BB&T was considered the primary beneficiary of the Tender Option Bond program trusts, resulting in the consolidation of their assets and liabilities in prior years. BB&T also has variable interests in certain entities that were not required to be consolidated, including affordable housing and other partnership interests. Refer to the "Commitments and Contingencies" note for additional disclosures regarding BB&T’s significant VIEs. BB&T accounts for unconsolidated partnerships and certain other investments using the equity method of accounting. BB&T records its portion of income or loss in other noninterest income in the Consolidated Statements of Income. These investments are periodically evaluated for impairment. BB&T also has investments in, and future funding commitments to, private equity investments, which are accounted for based on BB&T’s ownership and control rights specific to each investment. |
Reclassifications | Reclassifications Certain amounts reported in prior periods’ consolidated financial statements have been reclassified to conform to the current presentation. Such reclassifications had no effect on previously reported cash flows, shareholders’ equity or net income. |
Use of Estimates in the Preparation of Financial Statements | Use of Estimates in the Preparation of Financial Statements The preparation of financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities as of the date of the financial statements and the reported amounts of revenues and expenses during the reporting periods. Actual results could differ from those estimates. Material estimates that are particularly susceptible to significant change include the determination of the ACL, determination of fair value for financial instruments, valuation of goodwill, intangible assets and other purchase accounting related adjustments, benefit plan obligations and expenses, and tax assets, liabilities and expense. |
Business Combinations | Business Combinations BB&T accounts for business combinations using the acquisition method of accounting. The accounts of an acquired entity are included as of the date of acquisition, and any excess of purchase price over the fair value of the net assets acquired is capitalized as goodwill. BB&T typically issues common stock and/or pays cash for an acquisition, depending on the terms of the acquisition agreement. The value of common shares issued is determined based on the market price of the stock as of the closing of the acquisition. |
Cash and Cash Equivalents; Restricted Cash | Cash and Cash Equivalents Cash and cash equivalents include cash and due from banks, interest-bearing deposits with banks and Federal funds sold and securities purchased under resale agreements or similar arrangements. Cash and cash equivalents have maturities of three months or less. Accordingly, the carrying amount of such instruments is considered a reasonable estimate of fair value. Restricted Cash Restricted cash primarily represents amounts posted as collateral for derivatives in a loss position. |
Securities | Securities Marketable investment securities are classified as HTM, AFS or trading. Interest income and dividends on securities are recognized in income on an accrual basis. Premiums and discounts on debt securities are amortized as an adjustment to interest income using the effective interest method. For MBS, prepayment speeds are evaluated quarterly in order to determine the estimated lives of the securities. When the estimated lives of MBS are changed, the amortization of premiums or discounts is adjusted with a corresponding charge or credit to interest income as if the current estimated lives had been applied since the acquisition of the securities. Debt securities are classified as HTM when BB&T has both the intent and ability to hold the securities to maturity. These securities are reported at amortized cost. Debt securities that may be sold to meet liquidity needs arising from unanticipated deposit and loan fluctuations, changes in regulatory capital requirements or unforeseen changes in market conditions are classified as AFS. AFS securities are reported at estimated fair value, with unrealized gains and losses reported in AOCI, net of deferred income taxes, in the shareholders’ equity section of the Consolidated Balance Sheets. Gains or losses realized from the sale of AFS securities are determined by specific identification and are included in noninterest income. Each HTM and AFS security in a loss position is evaluated for OTTI. BB&T considers such factors as the length of time and the extent to which the fair value has been below amortized cost, long term expectations and recent experience regarding principal and interest payments, BB&T’s intent to sell and whether it is more likely than not that the Company would be required to sell those securities before the anticipated recovery of the amortized cost basis. The credit component of an OTTI loss is recognized in earnings and the non-credit component is recognized in AOCI in situations where BB&T does not intend to sell the security and it is more-likely-than-not that BB&T will not be required to sell the security prior to recovery. Subsequent to recognition of OTTI, an increase in expected cash flows is recognized as a yield adjustment over the remaining expected life of the security based on an evaluation of the nature of the increase. Trading account securities, which include both debt and equity securities, are reported at fair value and included in other assets in the Consolidated Balance Sheets. Unrealized fair value adjustments, fees, and realized gains or losses from trading account activities (determined by specific identification) are included in noninterest income. Interest income on trading account securities is included in interest on other earning assets. |
LHFS | LHFS BB&T accounts for new originations of residential and commercial mortgage LHFS at fair value. BB&T accounts for the derivatives used to economically hedge the LHFS at fair value. The fair value of LHFS is primarily based on quoted market prices for securities collateralized by similar types of loans. Direct loan origination fees and costs related to LHFS are not capitalized and are recorded as mortgage banking income in the case of the direct loan origination fees and primarily personnel expense in the case of the direct loan origination costs. Gains and losses on sales of residential mortgage loans are included in mortgage banking income. Gains and losses on sales of commercial LHFS are included in other noninterest income. BB&T sells a significant portion of its fixed-rate commercial and conforming residential mortgage loan originations, which are typically converted into MBS by FHLMC, FNMA and GNMA and subsequently sold to other third party investors. BB&T records these transactions as a sale when the transferred loans are legally isolated from BB&T’s creditors and the other accounting criteria for a sale are met. Gains or losses recorded on these transactions are based on the net carrying amount of the loans sold and the fair value of related mortgage servicing, which BB&T generally retains on loans sold. Since quoted market prices are not typically available, BB&T estimates the fair value of these retained interests using modeling techniques to determine the net present value of expected future cash flows. Such models incorporate management’s best estimates of key variables, such as prepayment speeds, servicing costs and discount rates, that would be used by market participants based on the risks involved. |
Loans and Leases | Loans and Leases The Company’s accounting methods for loans differ depending on whether the loans are originated or purchased, and if purchased, whether or not the loans reflect credit deterioration since the date of origination such that it is probable at the date of acquisition that BB&T will be unable to collect all contractually required payments. Originated Loans and Leases Loans and leases that management has the intent and ability to hold for the foreseeable future are reported at their outstanding principal balances net of any unearned income, charge-offs, and unamortized fees and costs. The net amount of nonrefundable loan origination fees and certain direct costs associated with the lending process are deferred and amortized to interest income over the contractual lives of the loans using the effective interest method. BB&T classifies loans and leases as past due when the payment of principal and interest based upon contractual terms is greater than 30 days delinquent or if one payment is past due. When commercial loans are placed on nonaccrual status as described below, a charge-off is recorded, as applicable, to decrease the carrying value of such loans to the estimated recoverable amount. Retail loans are subject to mandatory charge-off at a specified delinquency date consistent with regulatory guidelines. As such, retail loans are subject to collateral valuation and charge-off, as applicable, when they are moved to nonaccrual status as described below. Purchased Loans Purchased loans are recorded at their fair value at the acquisition date. Credit discounts are included in the determination of fair value; therefore, an ALLL is not recorded at the acquisition date. Purchased loans are evaluated upon acquisition and classified as either purchased impaired or purchased non-impaired. PCI loans reflect credit deterioration since origination such that it is probable at acquisition that BB&T will be unable to collect all contractually required payments. For PCI loans, expected cash flows at the acquisition date in excess of the fair value of loans are recorded as interest income over the life of the loans using a level yield method if the timing and amount of the future cash flows is reasonably estimable. Subsequent to the acquisition date, increases in cash flows over those expected at the acquisition date are recognized prospectively as interest income. Decreases in expected cash flows due to credit deterioration are recognized by recording an ALLL. For purchased non-impaired loans, the difference between the fair value and UPB of the loan at the acquisition date is amortized or accreted to interest income over the contractual life of the loans using the effective interest method. In the event of prepayment, the remaining unamortized amount is recognized in interest income. TDRs Modifications to a borrower’s debt agreement are considered TDRs if a concession is granted for economic or legal reasons related to a borrower’s financial difficulties that otherwise would not be considered. TDRs are undertaken in order to improve the likelihood of recovery on the loan and may take the form of modifications made with the stated interest rate lower than the current market rate for new debt with similar risk, other modifications to the structure of the loan that fall outside of normal underwriting policies and procedures, or in certain limited circumstances forgiveness of principal or interest. Modifications of PCI loans that are part of a pool accounted for as a single asset are not considered TDRs. TDRs can involve loans remaining on nonaccrual, moving to nonaccrual, or continuing on accruing status, depending on the individual facts and circumstances of the borrower. In circumstances where the TDR involves charging off a portion of the loan balance, BB&T typically classifies these TDRs as nonaccrual. In connection with commercial TDRs, the decision to maintain a loan that has been restructured on accrual status is based on a current, well documented credit evaluation of the borrower’s financial condition and prospects for repayment under the modified terms. This evaluation includes consideration of the borrower’s current capacity to pay, which among other things may include a review of the borrower’s current financial statements, an analysis of cash flow available to pay debt obligations, and an evaluation of secondary sources of payment from the client and any guarantors. This evaluation also includes an evaluation of the borrower’s current willingness to pay, which may include a review of past payment history, an evaluation of the borrower’s willingness to provide information on a timely basis, and consideration of offers from the borrower to provide additional collateral or guarantor support. The credit evaluation may also include review of cash flow projections, consideration of the adequacy of collateral to cover all principal and interest and trends indicating improving profitability and collectability of receivables. The evaluation of mortgage and retail loans includes an evaluation of the client’s debt to income ratio, credit report, property value, loan vintage, and certain other client-specific factors that impact their ability to make timely principal and interest payments on the loan. Nonaccrual commercial TDRs may be returned to accrual status based on a current, well-documented credit evaluation of the borrower’s financial condition and prospects for repayment under the modified terms. This evaluation must include consideration of the borrower’s sustained historical repayment performance for a reasonable period (generally a minimum of six months ) prior to the date on which the loan is returned to accrual status. Sustained historical repayment performance for a reasonable time prior to the TDR may be taken into account. In connection with retail TDRs, a NPL will be returned to accruing status when current as to principal and interest and upon a sustained historical repayment performance (generally a minimum of six months ). TDR classification may be removed for a loan upon the occurrence of a non-concessionary subsequent modification that is at market terms and within current underwriting guidelines. |
NPAs | NPAs NPAs include NPLs and foreclosed property. Foreclosed property consists of real estate and other assets acquired as a result of customers’ loan defaults. BB&T’s policies for placing loans on nonaccrual status conform to guidelines prescribed by bank regulatory authorities. The majority of commercial loans and leases are placed on nonaccrual status when it is probable that principal or interest is not fully collectible, or generally when principal or interest becomes 90 days past due, whichever occurs first. Other lending subsidiaries’ loans, which includes both retail and commercial loans, are placed on nonaccrual status generally when principal and interest becomes 90 days past due. Direct retail, mortgage and sales finance loans are placed on nonaccrual status at varying intervals, based on the type of product, generally when principal and interest becomes between 90 days and 120 days past due. PCI loans are considered to be performing due to the application of the expected cash flows method. Residential mortgage NPLs secured by 1-4 family properties are generally charged down to the fair value of the collateral securing the loan less costs to sell upon becoming 120 days past due, unless the shortfall is covered by private mortgage insurance. Nonperforming residential mortgage TDRs generally incur charge-offs at 120 days . If a known loss is identified prior to these time periods, the applicable charge-off occurs immediately. BB&T recognizes charge-offs on government guaranteed NPLs to the extent that the carrying value of the NPL exceeds the guaranteed amount. During the fourth quarter of 2015, BB&T implemented a residential mortgage and direct retail lending policy change to move loans to nonaccrual status at 120 days past due instead of 180 days . Charge-offs are recorded on revolving credit loans after they become 180 days past due and commercial bank card balances after they become 90 days past due. Unpaid fees and finance charges are reversed against interest income in the period in which the charge-off occurs. Other retail loans not secured by 1-4 family properties are charged down to the fair value of the collateral securing the loan less costs to sell upon becoming between 90 and 120 days past due, depending on the type of loan. Secured retail loans discharged through bankruptcy are charged down to the fair value of the related collateral, and the remaining balance is placed on nonaccrual status. Certain past due loans may remain on accrual status if management determines that it does not have concern over the collectability of principal and interest. Generally, when loans are placed on nonaccrual status, accrued interest receivable is reversed against interest income in the current period and amortization of deferred loan fees and expenses is suspended. Interest payments received thereafter are applied as a reduction to the remaining principal balance as long as concern exists as to the ultimate collection of the principal. Nonaccrual mortgage loans are accounted for using the cash basis. Loans and leases are generally removed from nonaccrual status when they become current as to both principal and interest and concern no longer exists as to the collectability of principal and interest. Assets acquired as a result of foreclosure are subsequently carried at the lower of cost or net realizable value. Net realizable value equals fair value less estimated selling costs. Any excess of cost over net realizable value at the time of foreclosure is charged to the ALLL. NPAs are subject to periodic revaluations of the collateral underlying impaired loans and foreclosed real estate. The periodic revaluations are generally based on the appraised value of the property and may include additional liquidity adjustments based upon the expected retention period. BB&T’s policies require that valuations be updated at least annually and that upon foreclosure, the valuation must not be more than six months old, otherwise an updated appraisal is required. Routine maintenance costs, other costs of ownership, subsequent declines in fair value and net losses on disposal are included in foreclosed property expense. |
ACL | ACL The ACL includes the ALLL and the RUFC. The ACL represents management’s best estimate of probable credit losses inherent in the loan and lease portfolios and off-balance sheet lending commitments at the balance sheet date. Estimates for loan and lease losses are determined by analyzing historical loan and lease losses, historical loan and lease migration to charge-off experience, current trends in delinquencies and charge-offs, expected cash flows on PCI loans, current assessment of impaired loans and leases, the results of regulatory examinations and changes in the size, composition and risk assessment of the loan and lease portfolio. As part of this process, BB&T develops a series of loss estimate factors, which are modeled projections of the frequency, timing and severity of losses. Changes to the ACL are made by charges to the provision for credit losses, which is reflected in the Consolidated Statements of Income. Loan or lease balances deemed to be uncollectible are charged off against the ALLL. Recoveries of amounts previously charged off are credited to the ALLL. The methodology used to determine the RUFC is inherently similar to that used to determine the collectively evaluated component of the ALLL, adjusted for factors specific to binding commitments, including the probability of funding and exposure at default. While management uses the best information available to establish the ACL, future adjustments may be necessary if economic conditions differ substantially from the assumptions used in computing the ACL or, if required by regulators based upon information available to them at the time of their examinations. Accounting standards require the presentation of certain disclosure information at the portfolio segment level, which represents the level at which an entity develops and documents a systematic methodology to determine its ACL. BB&T concluded that its loan and lease portfolio consists of three portfolio segments; commercial, retail and PCI. The commercial portfolio segment was identified based on the risk-based approach used to estimate the ALLL for the vast majority of these loans. The retail portfolio segment was identified based on the delinquency-based approach used to estimate the ALLL. The PCI portfolio segment was identified based on the expected cash flows approach used to estimate the ALLL. See the "Loans and ACL" note for additional information about the classes of financing receivables included within each of these loan portfolio segments. The entire amount of the ACL is available to absorb losses on any loan category or lending-related commitment. The following provides a description of accounting policies and methodologies related to each of the portfolio segments: Commercial The vast majority of loans in the commercial lending portfolio are assigned risk ratings based on an assessment of conditions that affect the borrower’s ability to meet contractual obligations under the loan agreement. This process includes reviewing borrowers’ financial information, historical payment experience, credit documentation, public information, and other information specific to each borrower. Risk ratings are reviewed on an annual basis for all credit relationships with total credit exposure of $1 million or more, or at any point management becomes aware of information affecting the borrowers’ ability to fulfill their obligations. Risk Rating Description Pass Loans not considered to be problem credits Special Mention Loans that have a potential weakness deserving management’s close attention Substandard Loans for which a well-defined weakness has been identified that may put full collection of contractual cash flows at risk For commercial clients with total credit exposure less than $1 million , BB&T has developed an automated loan review system to identify and proactively manage accounts with a higher risk of loss. The "score" produced by this automated system is updated monthly. To establish a reserve, BB&T's policy is to review all commercial lending relationships with an outstanding nonaccrual balance of $3 million or more. While this review is largely focused on the borrower’s ability to repay the loan, BB&T also considers the capacity and willingness of a loan’s guarantors to support the debt service on the loan as a secondary source of repayment. When a guarantor exhibits the documented capacity and willingness to support the loan, BB&T may consider extending the loan maturity and/or temporarily deferring principal payments if the ultimate collection of both principal and interest is not in question. In these cases, BB&T may deem the loan to not be impaired due to the documented capacity and willingness of the guarantor to repay the loan. Loans are considered impaired when the borrower (or guarantor in certain circumstances) does not have the cash flow capacity or willingness to service the debt according to contractual terms, or it does not appear reasonable to assume that the borrower will continue to pay according to the contractual agreement. BB&T establishes a specific reserve for each loan that has been deemed impaired based on the criteria outlined above. The amount of the reserve is based on the present value of expected cash flows discounted at the loan’s effective interest rate and/or the value of collateral, net of costs to sell. In addition, BB&T reviews any collateral-dependent commercial loan balances between $1 million and $3 million to establish a specific reserve based on the underlying collateral value, net of costs to sell. BB&T also has a review process related to TDRs and other commercial impaired loans. In connection with this process, BB&T establishes reserves related to these loans that are calculated using an expected cash flow approach. These discounted cash flow analyses incorporate adjustments to future cash flows that reflect management’s best estimate of the default risk related to TDRs based on a combination of historical experience and management judgment. BB&T also maintains reserves for collective impairment that reflect an estimate of losses related to non-impaired commercial loans as of the balance sheet date. Embedded loss estimates for BB&T’s commercial loan portfolio are based on estimated migration rates, which are based on historical experience, and current risk mix as indicated by the risk grading or scoring process described above. Embedded loss estimates may be adjusted to reflect current economic conditions and current portfolio trends including credit quality, concentrations, aging of the portfolio, and significant policy and underwriting changes. Retail The majority of the ALLL related to the retail lending portfolio is calculated on a collective basis using delinquency status, which is the primary factor considered in determining whether a retail loan should be classified as nonaccrual. Embedded loss estimates for BB&T’s retail lending portfolio are based on estimated migration rates that are developed based on historical experience, and current risk mix as indicated by prevailing delinquency rates. These estimates may be adjusted to reflect current economic conditions and current portfolio trends. The remaining portion of the ALLL related to the retail lending portfolio relates to loans that have been deemed impaired based on their classification as a TDR at the balance sheet date. BB&T establishes specific reserves related to these TDRs using an expected cash flow approach. The ALLL for retail TDRs is based on discounted cash flow analyses that incorporate adjustments to future cash flows that reflect management’s best estimate of the default risk related to TDRs based on a combination of historical experience and management judgment. PCI PCI loans (including all loans acquired in an FDIC-assisted transaction) are aggregated into loan pools based upon common risk characteristics. The ALLL for each loan pool is based on an analysis that is performed each period to estimate the expected cash flows. To the extent that the expected cash flows of a loan pool have decreased due to credit deterioration, BB&T establishes an ALLL. |
Assets Acquired from the FDIC and Related FDIC Loss Share Receivable/Payable | Assets Acquired from the FDIC and Related FDIC Loss Share Receivable/Payable Certain loans, securities and other assets were acquired from the FDIC in connection with the Colonial transaction and were previously divided between two loss sharing agreements, the single family loss share agreement and the commercial loss share agreement. During 2014, the loss sharing provisions related to the commercial loss share agreement expired, but certain gain/recovery sharing was to occur through September 2017. During the third quarter of 2016, the loss share agreements were terminated. Refer to the "Securities" note and the "Loans and ACL" note for additional information. The FDIC loss share receivable included amounts related to net reimbursements that were expected to be received from the FDIC and was included in other assets on the Consolidated Balance Sheets for periods prior to the termination. The recognized amounts related to expected future payments to the FDIC, including any amounts that resulted from the aggregate loss calculation, were included in accounts payable and other liabilities for periods prior to the termination. The income statement effect of the changes in the FDIC loss share receivable/payable included the accretion due to discounting and changes in expected net reimbursements. Decreases in expected net reimbursements, including the amounts expected to be paid to the FDIC as a result of the aggregate loss calculation, were recognized in income prospectively over the term of the loss share agreements consistent with the approach taken to recognize increases in cash flows on acquired loans. Increases in expected reimbursements were recognized in income in the same period that the provision for credit losses for the related loans was recognized. Subsequent to the recognition of ALLL related to specific assets, any decrease in expected net reimbursement was recognized in income in the same period that the provision for loan losses for the related loans was released. |
Premises and Equipment | Premises and Equipment Premises, equipment, capital leases and leasehold improvements are stated at cost less accumulated depreciation and amortization. Land is stated at cost. In addition, purchased software and costs of computer software developed for internal use are capitalized provided certain criteria are met. Depreciation and amortization are computed principally using the straight-line method over the estimated useful lives of the related assets. Leasehold improvements are amortized on a straight-line basis over the lesser of the lease terms, including certain renewals that were deemed probable at lease inception, or the estimated useful lives of the improvements. Capitalized leases are amortized using the same methods as premises and equipment over the estimated useful lives or lease terms, whichever is less. Obligations under capital leases are amortized using the effective interest method to allocate payments between principal reduction and interest expense. Rent expense and rental income on operating leases is recorded using the straight-line method over the appropriate lease terms. |
Bank-Owned Life Insurance | Bank-Owned Life Insurance Life insurance policies on certain directors, officers, and employees, for which BB&T is the owner and beneficiary are stated at the cash surrender value within other assets in the Consolidated Balance Sheet. Changes in cash surrender value and proceeds from insurance benefits are recorded in income from bank-owned life insurance in the Consolidated Statements of Income. |
Income Taxes | Income Taxes Deferred income taxes have been provided when different accounting methods have been used in determining income for income tax purposes and for financial reporting purposes. Deferred tax assets and liabilities are recognized based on future tax consequences attributable to differences between the financial statement carrying values of assets and liabilities and their tax bases. In the event of changes in the tax laws, deferred tax assets and liabilities are adjusted in the period of the enactment of those changes, with the cumulative effects included in the current year’s income tax provision. Net deferred tax assets are included in other assets, and net deferred tax liabilities are included in accounts payable and other liabilities, in the Consolidated Balance Sheets. Interest and penalties related to income taxes are recognized as a component of the provision for income taxes in the Consolidated Statements of Income. |
Derivative Financial Instruments | Derivative Financial Instruments A derivative is a financial instrument that derives its cash flows, and therefore its value, by reference to an underlying instrument, index or referenced interest rate. These instruments include interest rate swaps, caps, floors, collars, financial forwards and futures contracts, swaptions, when-issued securities, foreign exchange contracts and options written and purchased. BB&T uses derivatives primarily to manage economic risk related to securities, commercial loans, MSRs and mortgage banking operations, long-term debt and other funding sources. BB&T also uses derivatives to facilitate transactions on behalf of its clients. The fair value of derivatives in a gain or loss position is included in other assets or liabilities, respectively, on the Consolidated Balance Sheets. Cash collateral posted for derivative instruments in a loss position is included in restricted cash on the Consolidated Balance Sheets. BB&T classifies its derivative financial instruments as either (1) a fair value hedge - hedge of an exposure to changes in the fair value of a recorded asset or liability, (2) a cash flow hedge - hedge of an exposure to changes in the cash flows of a recognized asset, liability or forecasted transaction, (3) a hedge of a net investment in a subsidiary, or (4) derivatives not designated as hedges. Changes in the fair value of derivatives not designated as hedges are recognized in current period earnings. BB&T has master netting agreements with the derivatives dealers with which it does business, but BB&T presents gross assets and liabilities on the Consolidated Balance Sheets. BB&T uses the long-haul method to assess hedge effectiveness. At inception and at least quarterly over the life of the hedge, BB&T documents its analysis of actual and expected hedge effectiveness. This analysis includes techniques such as regression analysis and hypothetical derivatives to demonstrate that the hedge has been, and is expected to be, highly effective in off-setting corresponding changes in the fair value or cash flows of the hedged item. For a qualifying fair value hedge, changes in the value of the derivatives that have been highly effective as hedges are recognized in current period earnings along with the corresponding changes in the fair value of the designated hedged item attributable to the risk being hedged. For a qualifying cash flow hedge, changes in the fair value of the derivatives that have been highly effective are recognized in OCI until the related cash flows from the hedged item are recognized in earnings. For either fair value hedges or cash flow hedges, ineffectiveness may be recognized to the extent that changes in the value of the derivative instruments do not perfectly offset changes in the value of the hedged items. If the hedge ceases to be highly effective, BB&T discontinues hedge accounting and recognizes the interim changes in fair value in current period earnings. If a derivative that qualifies as a fair value or cash flow hedge is terminated or de-designated, the cumulative changes in value are recognized in income over the life of the hedged item (fair value hedge) or in the period in which the hedged item affects earnings (cash flow hedge). Immediate recognition in earnings is required upon sale or extinguishment of the hedged item (fair value hedge) or if it is probable that the hedged cash flows will not occur (cash flow hedge). Derivatives used to manage economic risk not designated as hedges are primarily economic risk management instruments used to manage economic risk from MSRs and mortgage banking operations, with gains or losses included in mortgage banking income. In connection with its mortgage banking activities, BB&T enters into loan commitments to fund residential mortgage loans at specified rates and for specified periods of time. To the extent that BB&T’s interest rate lock commitments relate to loans that will be held for sale upon funding, they are also accounted for as derivatives, with gains or losses included in mortgage banking income. Gains and losses on other derivatives used to manage economic risk are primarily associated with client derivative activity and are included in other income. Credit risk resulting from derivatives arises when amounts receivable from a counterparty exceed those payable to the same counterparty, taking into account posted collateral. The risk of loss with respect to over-the-counter derivatives, eligible margin loans and repurchase-style transactions is addressed by subjecting counterparties to a credit review and approval process similar to the process in making loans or other extensions of credit and/or by requiring collateral. Derivative dealer counterparties operate under agreements to provide cash and/or highly liquid securities on a daily basis for unsecured credit exposure beyond negotiated limits, while client derivatives that are associated with loans are cross-collateralized with the loan. BB&T only transacts with dealer counterparties that are national market makers with strong credit standings and requires liquid collateral (cash or government securities) to secure credit exposure. Due to these factors, the fair value of derivatives with dealer counterparties is primarily based on the interest rate mark of each trade. The fair value of interest rate derivatives with clients includes a credit valuation adjustment. Collateral obtained to secure margin loans includes equities, corporate and municipal securities, and repurchase-style transactions are generally secured by government and agency securities. The value of collateral for margin loans and repurchase-style transactions is monitored daily with settlement required when changes in value exceed established limits by counterparty. Due to the liquid nature of collateral, the frequency of transactions and collateral monitoring, a reserve for credit loss is established only when a risk of loss is identified. |
Goodwill and Other Intangible Assets | Goodwill and Other Intangible Assets Goodwill represents the cost in excess of the fair value of net assets acquired (including identifiable intangibles) in transactions accounted for as business combinations. BB&T allocates goodwill to the reporting unit(s) that receives significant benefits from the acquisition. Goodwill is tested at least annually for impairment as of October 1st each year and more frequently if circumstances exist that indicate a possible reduction in the fair value of the business below its carrying value. BB&T measures impairment using the present value of estimated future cash flows. Discount rates are based upon the cost of capital specific to the industry in which the reporting unit operates. If the carrying value of the reporting unit exceeds its fair value, a second analysis is performed to measure the fair value of all assets and liabilities. If, based on the second analysis, it is determined that the fair value of the assets and liabilities of the reporting unit is less than the carrying value, BB&T would recognize impairment for the excess of carrying value over fair value. CDI and other intangible assets include premiums paid for acquisitions of core deposits and other identifiable intangible assets. Intangible assets other than goodwill, which are determined to have finite lives, are amortized based upon the estimated economic benefits received. |
MSRs | MSRs BB&T has two primary classes of MSRs for which it separately manages the economic risks: residential and commercial. Both classes of MSRs are recorded on the Consolidated Balance Sheets primarily at fair value with changes in fair value recorded as a component of mortgage banking income. Various derivative instruments are used to mitigate the income statement effect of changes in fair value due to changes in valuation inputs and assumptions of the MSRs. |
Equity-Based Compensation | Equity-Based Compensation BB&T maintains various equity-based compensation plans that provide for the granting of stock options (incentive and nonqualified), stock appreciation rights, restricted stock, RSUs, performance units and performance shares to selected employees and directors. BB&T values share-based awards at the grant date fair value and recognizes the expense over the requisite service period taking into account retirement eligibility. |
Pension and Postretirement Benefit Obligations | Pension and Postretirement Benefit Obligations BB&T offers various pension plans and postretirement benefit plans to employees. Calculation of the obligations and related expenses under these plans requires the use of actuarial valuation methods and assumptions. The discount rate assumption used to measure the postretirement benefit obligations is set by reference to a high quality corporate bond yield curve and the individual characteristics of the plan such as projected cash flow patterns and payment durations. The expected long-term rate of return on assets is based on the expected returns for each major asset class in which the plan invests, adjusted for the weight of each asset class in the target mix. |
Insurance Income | Insurance Income Insurance commission revenue is generally recognized at the later of the billing date or the effective date of the related insurance policies. Insurance premiums from underwriting activities are recognized as income over the policy term. The portion of premiums that will be earned in the future is deferred and included in accounts payable and other liabilities in the Consolidated Balance Sheets. |
Segments | Segments Segment results are presented based on internal management accounting policies that were designed to support BB&T’s strategic objectives. The Other, Treasury and Corporate segment includes financial data from subsidiaries below the quantitative and qualitative thresholds requiring disclosure. Refer to the "Operating Segments" note for additional disclosures. |
Changes in Accounting Principles and Effects of New Accounting Pronouncements | Changes in Accounting Principles and Effects of New Accounting Pronouncements Standards Adopted During Year Ended December 31, 2016 - BB&T adopted the following guidance effective January 1, 2016 (unless otherwise specified), none of which were material to the consolidated financial statements: Derivatives and Hedging (adopted March 2016) - clarified that derivative instrument novations do not require dedesignation of the related hedging relationship provided that all other hedge accounting criteria continue to be met. Fair Value Measurement - eliminated the requirement to classify in the fair value hierarchy any investments for which fair value is measured at net asset value per share using the practical expedient. Internal-Use Software - requires the software license element of a cloud computing arrangement be accounted for consistent with the acquisition of other software licenses; otherwise, the arrangement should be accounted for as a service contract. Debt Issuance Costs - requires that debt issuance costs related to a recognized debt liability be presented in the balance sheet as a direct deduction from the carrying amount of that debt liability. Consolidation - provides an additional requirement for a limited partnership or similar entity to qualify as a voting interest entity, amending the criteria for consolidating such an entity and eliminating the deferral provided under previous guidance for investment companies. In addition, the new guidance amends the criteria for evaluating fees paid to a decision maker or service provider as a variable interest and amends the criteria for evaluating the effect of fee arrangements and related parties on a VIE primary beneficiary determination. Standards Adopted Subsequent to December 31, 2016 or Not Yet Adopted - the adoption of the guidance was not material, or for standards not yet adopted is not expected to be material, to the consolidated financial statements unless otherwise specified: Stock Compensation (adopted January 1, 2017) - eliminates the concept of additional paid-in capital pools for equity-based awards and requires that the related excess tax benefits and tax deficiencies be classified as an operating activity in the statement of cash flows. The guidance also allows entities to make a one-time policy election to account for forfeitures when they occur, instead of accruing compensation cost based on the number of awards expected to vest. Additionally, the guidance changes the requirement for an award to qualify for equity classification by permitting tax withholding up to the maximum statutory tax rate instead of the minimum statutory tax rate. Cash paid by an employer when directly withholding shares for tax withholding purposes should be classified as a financing activity in the Statement of Cash Flows. The Company has elected to account for forfeitures of equity-based awards when they occur. Investments (adopted January 1, 2017) - eliminates the requirement to retroactively adjust the financial statements when a change in ownership or influence causes an existing investment to qualify for the equity method of accounting. Also requires the investor to add the cost of acquiring the additional interest in the investee to the current basis of the investor's previously held interest and adopt the equity method of accounting as of the date the investment becomes qualified for equity method accounting. Derivatives and Hedging (adopted January 1, 2017) - clarifies that an exercise contingency does not need to be evaluated to determine whether it relates to interest rates and credit risk in an embedded derivative analysis. An entity performing the assessment will be required to assess the embedded call or put options solely in accordance with the pre-existing decision sequence. Business Combinations (adopted January 1, 2017) - provides clarification on the definition of a business and provides criteria to aid in the assessment of whether an integrated set of assets and activities constitutes a business. Statement of Cash Flows - requires restricted cash and restricted cash equivalents to be included with cash and cash equivalents when reconciling the beginning-of-period and end-of-period total amounts shown on the statement of cash flows. This guidance is effective for fiscal years beginning after December 15, 2017 and interim periods within those fiscal years. The adoption of this guidance will only affect the Consolidated Statements of Cash Flows. Statement of Cash Flows - clarifies the classification within the statement of cash flows for certain transactions, including debt extinguishment costs, zero-coupon debt, contingent consideration related to business combinations, insurance proceeds, equity method distributions and beneficial interests in securitizations. The guidance also clarifies that cash flows with aspects of multiple classes of cash flows or that cannot be separated by source or use should be classified based on the activity that is likely to be the predominant source or use of cash flows for the item. This guidance is effective for fiscal years beginning after December 15, 2017 and interim periods within those fiscal years. Liabilities - requires companies to recognize breakage on prepaid stored-value products in accordance with the recently issued guidance on Revenue from Contracts with Customers . This guidance is effective for fiscal years beginning after December 15, 2017 and interim periods within those fiscal years. Revenue from Contracts with Customers - requires an entity to recognize revenue to depict the transfer of promised goods or services to customers in an amount that reflects the consideration to which the company expects to be entitled in exchange for those goods or services. The guidance is effective for interim and annual reporting periods beginning after December 15, 2017. Because the guidance does not apply to revenue associated with financial instruments, including loans and securities, the new guidance is not expected to have a material impact on the components of the Consolidated Statement of Income most closely associated with financial instruments, including securities gains/losses and interest income. The Company is currently evaluating this guidance to determine the impact on other components of noninterest income. Financial Instruments - requires the majority of equity investments to be measured at fair value with changes in fair value recognized in net income, excluding equity investments that are consolidated or accounted for under the equity method of accounting. The new guidance allows equity investments without readily determinable fair values to be measured at cost minus impairment, with a qualitative assessment required to identify impairment. For financial instruments recorded at amortized cost, the new guidance requires public companies to use exit prices to measure the fair value for disclosure purposes, eliminates the disclosure requirements related to measurement assumptions and requires separate presentation of financial assets and liabilities based on form and measurement category. In addition, for liabilities measured at fair value under the fair value option, the changes in fair value due to changes in instrument-specific credit risk should be recognized in OCI. This guidance is effective for fiscal years beginning after December 15, 2017 and interim periods within those fiscal years. Leases - requires lessees to recognize assets and liabilities related to certain operating leases on the balance sheet. The new guidance also requires additional disclosures by lessees and contains targeted changes to accounting by lessors. This guidance is effective for fiscal years beginning after December 15, 2018 and interim periods within those fiscal years. Upon adoption, the Company expects to report higher assets and liabilities as a result of including additional leases on the Consolidated Balance Sheet. Credit Losses - replaces the incurred loss impairment methodology in current GAAP with an expected credit loss methodology and requires consideration of a broader range of information to determine credit loss estimates. Financial assets measured at amortized cost will be presented at the net amount expected to be collected by using an allowance for credit losses. Purchased credit deteriorated loans will receive an allowance account for expected credit losses at the acquisition date that represents a component of the purchase price allocation. Credit losses relating to AFS debt securities will be recorded through an allowance for expected credit losses, with such allowance limited to the amount by which fair value is below amortized cost. An allowance will be established for estimated credit losses on HTM securities. This guidance is effective for fiscal years beginning after December 15, 2019 and interim periods within those fiscal years. Upon adoption, the Company expects that the ACL will likely be materially higher; however, the Company is still in the process of determining the magnitude of the increase and its impact on the Consolidated Financial Statements. Intangibles—Goodwill and Other - simplifies the measurement of goodwill impairment. An entity will no longer perform a hypothetical purchase price allocation to measure goodwill impairment. Instead, impairment will be measured using the difference between the carrying amount and the fair value of the reporting unit. This guidance is effective for impairment tests in fiscal years beginning after December 15, 2019 and interim periods within those fiscal years. |
Acquisitions and Divestitures (
Acquisitions and Divestitures (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
Business Combinations [Abstract] | |
Summarized Purchase Price Allocations | The acquisition of National Penn constituted a business combination. Accordingly, the assets acquired and liabilities assumed are presented at their fair values in the table below. The determination of fair value requires management to make estimates about discount rates, future expected cash flows, market conditions and other future events that are highly subjective in nature and subject to change. These fair value estimates are considered preliminary and are subject to change for up to one year after the closing date of the acquisition as additional information becomes available. Immaterial amounts of the intangible assets recognized are deductible for income tax purposes. National Penn UPB Fair Value (Dollars in millions) Assets acquired: Cash, due from banks and federal funds sold $ 216 Securities 2,499 Loans and leases: Commercial and industrial $ 2,817 2,596 CRE-income producing properties 1,450 1,202 CRE-construction and development 165 127 Direct retail lending 801 767 Revolving credit 7 7 Residential mortgage 1,217 1,004 Sales finance 166 162 PCI 181 124 Total loans and leases $ 6,804 5,989 Goodwill 795 CDI 67 Other assets 503 Total assets acquired 10,069 Liabilities assumed: Deposits: Noninterest-bearing deposits 1,209 Interest-bearing deposits 5,420 Total deposits 6,629 Debt 1,756 Other liabilities 66 Total liabilities assumed 8,451 Consideration paid $ 1,618 Cash paid $ 555 Fair value of common stock issued, including replacement equity awards 1,063 |
Securities (Tables)
Securities (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
Investments, Debt and Equity Securities [Abstract] | |
Summary of AFS Securities | Amortized Cost Gross Unrealized Fair Value December 31, 2016 Gains Losses (Dollars in millions) AFS securities: U.S. Treasury $ 2,669 $ 2 $ 84 $ 2,587 GSE 190 — 10 180 Agency MBS 21,819 13 568 21,264 States and political subdivisions 2,198 56 49 2,205 Non-agency MBS 446 233 — 679 Other 11 — — 11 Total AFS securities $ 27,333 $ 304 $ 711 $ 26,926 HTM securities: U.S. Treasury $ 1,098 $ 20 $ — $ 1,118 GSE 2,197 14 30 2,181 Agency MBS 13,225 40 180 13,085 States and political subdivisions 110 — — 110 Other 50 2 — 52 Total HTM securities $ 16,680 $ 76 $ 210 $ 16,546 Amortized Cost Gross Unrealized Fair Value December 31, 2015 Gains Losses (Dollars in millions) AFS securities: U.S. Treasury $ 1,836 $ 2 $ 6 $ 1,832 GSE 51 — — 51 Agency MBS 20,463 22 439 20,046 States and political subdivisions 2,312 103 40 2,375 Non-agency MBS 683 306 — 989 Other 4 — — 4 Total AFS securities $ 25,349 $ 433 $ 485 $ 25,297 HTM securities: U.S. Treasury $ 1,097 $ 22 $ — $ 1,119 GSE 5,045 16 98 4,963 Agency MBS 12,267 70 22 12,315 States and political subdivisions 63 — — 63 Other 58 2 1 59 Total HTM securities $ 18,530 $ 110 $ 121 $ 18,519 |
Summary of HTM Securities | Amortized Cost Gross Unrealized Fair Value December 31, 2016 Gains Losses (Dollars in millions) AFS securities: U.S. Treasury $ 2,669 $ 2 $ 84 $ 2,587 GSE 190 — 10 180 Agency MBS 21,819 13 568 21,264 States and political subdivisions 2,198 56 49 2,205 Non-agency MBS 446 233 — 679 Other 11 — — 11 Total AFS securities $ 27,333 $ 304 $ 711 $ 26,926 HTM securities: U.S. Treasury $ 1,098 $ 20 $ — $ 1,118 GSE 2,197 14 30 2,181 Agency MBS 13,225 40 180 13,085 States and political subdivisions 110 — — 110 Other 50 2 — 52 Total HTM securities $ 16,680 $ 76 $ 210 $ 16,546 Amortized Cost Gross Unrealized Fair Value December 31, 2015 Gains Losses (Dollars in millions) AFS securities: U.S. Treasury $ 1,836 $ 2 $ 6 $ 1,832 GSE 51 — — 51 Agency MBS 20,463 22 439 20,046 States and political subdivisions 2,312 103 40 2,375 Non-agency MBS 683 306 — 989 Other 4 — — 4 Total AFS securities $ 25,349 $ 433 $ 485 $ 25,297 HTM securities: U.S. Treasury $ 1,097 $ 22 $ — $ 1,119 GSE 5,045 16 98 4,963 Agency MBS 12,267 70 22 12,315 States and political subdivisions 63 — — 63 Other 58 2 1 59 Total HTM securities $ 18,530 $ 110 $ 121 $ 18,519 |
Schedule of Credit Losses on Securities with OTTI | The following table reflects changes in credit losses on securities with OTTI where a portion of the unrealized loss was recognized in OCI. Assets acquired from the FDIC were excluded from this table prior to the termination of the loss share agreements. Year Ended December 31, 2016 2015 2014 (Dollars in millions) Balance at beginning of period $ 42 $ 64 $ 78 Credit losses on securities without previous OTTI — — 6 Credit losses on securities for which OTTI was previously recognized — 4 — Reductions for securities sold/settled during the period (21 ) (22 ) (17 ) Credit recoveries through yield (1 ) (4 ) (3 ) Included as a result of loss share termination 1 — — Balance at end of period $ 21 $ 42 $ 64 |
Schedule of Amortized Cost and Estimated Fair Value by Contractual Maturity | The amortized cost and estimated fair value of the securities portfolio by contractual maturity are shown in the following table. The expected life of MBS may differ from contractual maturities because borrowers have the right to prepay the underlying mortgage loans with or without prepayment penalties. AFS HTM December 31, 2016 Amortized Cost Fair Value Amortized Cost Fair Value (Dollars in millions) Due in one year or less $ 275 $ 275 $ — $ — Due after one year through five years 1,013 1,018 1,683 1,703 Due after five years through ten years 2,670 2,580 1,688 1,672 Due after ten years 23,375 23,053 13,309 13,171 Total debt securities $ 27,333 $ 26,926 $ 16,680 $ 16,546 |
Schedule of Fair Values and Gross Unrealized Losses | The following tables present the fair values and gross unrealized losses of investments based on the length of time that individual securities have been in a continuous unrealized loss position: Less than 12 months 12 months or more Total December 31, 2016 Fair Value Unrealized Losses Fair Value Unrealized Losses Fair Value Unrealized Losses (Dollars in millions) AFS securities: U.S. Treasury $ 2,014 $ 84 $ — $ — $ 2,014 $ 84 GSE 180 10 — — 180 10 Agency MBS 14,842 342 5,138 226 19,980 568 States and political subdivisions 365 7 314 42 679 49 Total $ 17,401 $ 443 $ 5,452 $ 268 $ 22,853 $ 711 HTM securities: GSE $ 1,762 $ 30 $ — $ — $ 1,762 $ 30 Agency MBS 7,717 178 305 2 8,022 180 Total $ 9,479 $ 208 $ 305 $ 2 $ 9,784 $ 210 Less than 12 months 12 months or more Total December 31, 2015 Fair Value Unrealized Losses Fair Value Unrealized Losses Fair Value Unrealized Losses (Dollars in millions) AFS securities: U.S. Treasury $ 1,211 $ 6 $ — $ — $ 1,211 $ 6 Agency MBS 12,052 199 5,576 240 17,628 439 States and political subdivisions 64 1 329 39 393 40 Total $ 13,327 $ 206 $ 5,905 $ 279 $ 19,232 $ 485 HTM securities: GSE $ 2,307 $ 41 $ 1,743 $ 57 $ 4,050 $ 98 Agency MBS 3,992 21 124 1 4,116 22 Other 56 1 — — 56 1 Total $ 6,355 $ 63 $ 1,867 $ 58 $ 8,222 $ 121 |
Loans and ACL (Tables)
Loans and ACL (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
Receivables [Abstract] | |
Aging Analysis of Past Due Loans and Leases | Accruing December 31, 2016 Current 30-89 Days Past Due 90 Days Or More Past Due Nonaccrual Total (Dollars in millions) Commercial: Commercial and industrial $ 51,329 $ 27 $ — $ 363 $ 51,719 CRE-income producing properties 14,492 6 — 40 14,538 CRE-construction and development 3,800 2 — 17 3,819 Dealer floor plan 1,413 — — — 1,413 Other lending subsidiaries 7,660 21 — 10 7,691 Retail: Direct retail lending 11,963 60 6 63 12,092 Revolving credit 2,620 23 12 — 2,655 Residential mortgage-nonguaranteed 28,378 393 79 172 29,022 Residential mortgage-government guaranteed 324 132 443 — 899 Sales finance 11,179 76 6 6 11,267 Other lending subsidiaries 6,931 301 — 65 7,297 PCI 784 36 90 — 910 Total $ 140,873 $ 1,077 $ 636 $ 736 $ 143,322 Accruing December 31, 2015 Current 30-89 Days Past Due 90 Days Or More Past Due Nonaccrual Total (Dollars in millions) Commercial: Commercial and industrial $ 48,157 $ 36 $ — $ 237 $ 48,430 CRE-income producing properties 13,370 13 — 38 13,421 CRE-construction and development 3,710 9 — 13 3,732 Dealer floor plan 1,215 — — — 1,215 Other lending subsidiaries 6,771 18 — 6 6,795 Retail: Direct retail lending 11,032 58 7 43 11,140 Revolving credit 2,478 22 10 — 2,510 Residential mortgage-nonguaranteed 29,038 397 55 173 29,663 Residential mortgage-government guaranteed 306 78 486 — 870 Sales finance 10,243 72 5 7 10,327 Other lending subsidiaries 6,381 286 — 59 6,726 PCI 966 42 114 — 1,122 Total $ 133,667 $ 1,031 $ 677 $ 576 $ 135,951 |
Schedule of Credit Exposure Credit Risk Profile by Internal Loan Risk Rating, Excluding PCI Loans | The following tables present the carrying amount of loans by risk rating. PCI loans are excluded because their related ALLL is determined by loan pool performance. December 31, 2016 Commercial & Industrial CRE-Income Producing Properties CRE-Construction and Development Dealer Floor Plan Other Lending Subsidiaries (Dollars in millions) Commercial: Pass $ 49,921 $ 14,061 $ 3,718 $ 1,404 $ 7,604 Special mention 314 124 38 — 33 Substandard-performing 1,121 313 46 9 44 Nonperforming 363 40 17 — 10 Total $ 51,719 $ 14,538 $ 3,819 $ 1,413 $ 7,691 December 31, 2016 Direct Retail Lending Revolving Credit Residential Mortgage Sales Finance Other Lending Subsidiaries (Dollars in millions) Retail: Performing $ 12,029 $ 2,655 $ 29,749 $ 11,261 $ 7,232 Nonperforming 63 — 172 6 65 Total $ 12,092 $ 2,655 $ 29,921 $ 11,267 $ 7,297 December 31, 2015 Commercial & Industrial CRE-Income Producing Properties CRE-Construction and Development Dealer Floor Plan Other Lending Subsidiaries (Dollars in millions) Commercial: Pass $ 46,760 $ 12,940 $ 3,619 $ 1,195 $ 6,757 Special mention 305 166 29 6 3 Substandard-performing 1,128 277 71 14 29 Nonperforming 237 38 13 — 6 Total $ 48,430 $ 13,421 $ 3,732 $ 1,215 $ 6,795 December 31, 2015 Direct Retail Lending Revolving Credit Residential Mortgage Sales Finance Other Lending Subsidiaries (Dollars in millions) Retail: Performing $ 11,097 $ 2,510 $ 30,360 $ 10,320 $ 6,667 Nonperforming 43 — 173 7 59 Total $ 11,140 $ 2,510 $ 30,533 $ 10,327 $ 6,726 |
Analysis of the Allowance for Credit Losses | The following tables present a summary of activity in the ACL: Year Ended December 31, 2016 Beginning Balance Charge-Offs Recoveries Provision (Benefit) Other Ending Balance (Dollars in millions) Commercial: Commercial and industrial $ 466 $ (128 ) $ 40 $ 122 — $ 500 CRE-income producing properties 135 (8 ) 8 (18 ) — 117 CRE-construction and development 37 (1 ) 11 (22 ) — 25 Dealer floor plan 8 — — 3 — 11 Other lending subsidiaries 22 (22 ) 6 23 — 29 Retail: Direct retail lending 105 (53 ) 26 25 — 103 Revolving credit 104 (69 ) 20 51 — 106 Residential mortgage-nonguaranteed 194 (35 ) 3 24 — 186 Residential mortgage-government guaranteed 23 (5 ) — 23 — 41 Sales finance 40 (29 ) 12 15 — 38 Other lending subsidiaries 265 (336 ) 43 317 — 289 PCI 61 (15 ) — (2 ) — 44 ALLL 1,460 (701 ) 169 561 — 1,489 RUFC 90 — — 11 9 110 ACL $ 1,550 $ (701 ) $ 169 $ 572 $ 9 $ 1,599 Year Ended December 31, 2015 Beginning Balance Charge-Offs Recoveries Provision (Benefit) Other Ending Balance (Dollars in millions) Commercial: Commercial and industrial $ 421 $ (81 ) $ 37 $ 89 $ — $ 466 CRE-income producing properties 162 (20 ) 7 (14 ) — 135 CRE-construction and development 48 (4 ) 11 (18 ) — 37 Dealer floor plan 10 — — (2 ) — 8 Other lending subsidiaries 21 (9 ) 3 7 — 22 Retail: Direct retail lending 110 (54 ) 29 20 — 105 Revolving credit 110 (70 ) 20 44 — 104 Residential mortgage-nonguaranteed 217 (40 ) 3 14 — 194 Residential mortgage-government guaranteed 36 (6 ) — (7 ) — 23 Sales finance 40 (26 ) 9 17 — 40 Other lending subsidiaries 235 (277 ) 33 274 — 265 PCI 64 (1 ) — (2 ) — 61 ALLL 1,474 (588 ) 152 422 — 1,460 RUFC 60 — — 6 24 90 ACL $ 1,534 $ (588 ) $ 152 $ 428 $ 24 $ 1,550 Year Ended December 31, 2014 Beginning Balance Charge-Offs Recoveries Provision (Benefit) Other Ending Balance (Dollars in millions) Commercial: Commercial and industrial $ 454 $ (131 ) $ 42 $ 56 $ — $ 421 CRE-income producing properties 149 (31 ) 14 30 — 162 CRE-construction and development 76 (11 ) 19 (36 ) — 48 Dealer floor plan 8 — — 2 — 10 Other lending subsidiaries 15 (8 ) 3 11 — 21 Retail: Direct retail lending 209 (69 ) 29 26 (85 ) 110 Revolving credit 115 (71 ) 19 47 — 110 Residential mortgage-nonguaranteed 269 (82 ) 7 (62 ) 85 217 Residential mortgage-government guaranteed 62 (2 ) — (24 ) — 36 Sales finance 37 (23 ) 9 17 — 40 Other lending subsidiaries 224 (261 ) 30 242 — 235 PCI 114 (21 ) — (29 ) — 64 ALLL 1,732 (710 ) 172 280 — 1,474 RUFC 89 — — (29 ) — 60 ACL $ 1,821 $ (710 ) $ 172 $ 251 $ — $ 1,534 |
Summary of Loans Collectively Evaluated for Impairment | The following table provides a summary of loans that are collectively evaluated for impairment. December 31, 2016 December 31, 2015 Recorded Investment Related ALLL Recorded Investment Related ALLL (Dollars in millions) Commercial: Commercial and industrial $ 51,253 $ 463 $ 48,110 $ 439 CRE-income producing properties 14,455 112 13,339 127 CRE-construction and development 3,787 21 3,697 32 Dealer floor plan 1,413 11 1,215 8 Other lending subsidiaries 7,678 28 6,789 21 Retail: Direct retail lending 12,011 93 11,055 93 Revolving credit 2,626 95 2,477 91 Residential mortgage-nonguaranteed 28,488 136 29,199 153 Residential mortgage-government guaranteed 466 8 553 1 Sales finance 11,251 37 10,308 39 Other lending subsidiaries 7,057 249 6,534 235 PCI 910 44 1,122 61 Total $ 141,395 $ 1,297 $ 134,398 $ 1,300 |
Schedule of Information Regarding Impaired Loans | The following tables set forth certain information regarding impaired loans, excluding PCI and LHFS, that were individually evaluated for reserves. As Of / For The Year Ended December 31, 2016 Recorded Investment UPB Related ALLL Average Recorded Investment Interest Income Recognized (Dollars in millions) With no related ALLL recorded: Commercial: Commercial and industrial $ 201 $ 225 $ — $ 217 $ 1 CRE-income producing properties 25 27 — 16 — CRE-construction and development 10 11 — 8 — Dealer floor plan — — — — — Other lending subsidiaries 4 6 — 6 — Retail: Direct retail lending 13 38 — 12 1 Residential mortgage-nonguaranteed 94 141 — 97 4 Residential mortgage-government guaranteed 3 3 — 3 — Sales finance 1 2 — 1 — Other lending subsidiaries 4 9 — 4 — With an ALLL recorded: Commercial: Commercial and industrial 265 269 37 259 5 CRE-income producing properties 58 61 5 68 2 CRE-construction and development 22 22 4 22 1 Dealer floor plan — — — — — Other lending subsidiaries 9 9 1 5 — Retail: Direct retail lending 68 69 10 71 4 Revolving credit 29 29 11 31 1 Residential mortgage-nonguaranteed 440 451 50 383 16 Residential mortgage-government guaranteed 430 431 33 360 14 Sales finance 15 15 1 16 1 Other lending subsidiaries 236 239 40 206 32 Total $ 1,927 $ 2,057 $ 192 $ 1,785 $ 82 December 31, 2015 Recorded Investment UPB Related ALLL Average Recorded Investment Interest Income Recognized (Dollars in millions) With no related ALLL recorded: Commercial: Commercial and industrial $ 129 $ 164 $ — $ 95 $ 1 CRE-income producing properties 8 13 — 17 — CRE-construction and development 8 11 — 10 — Dealer floor plan — — — 2 — Other lending subsidiaries 2 3 — — — Retail: Direct retail lending 11 40 — 12 1 Residential mortgage-nonguaranteed 103 153 — 99 4 Residential mortgage-government guaranteed 5 5 — 3 — Sales finance 1 2 — 1 — Other lending subsidiaries 4 8 — 3 — With an ALLL recorded: Commercial: Commercial and industrial 191 194 27 223 5 CRE-income producing properties 74 77 8 96 3 CRE-construction and development 27 27 5 36 1 Dealer floor plan — — — 1 — Other lending subsidiaries 4 5 1 6 — Retail: Direct retail lending 74 75 12 79 4 Revolving credit 33 33 13 36 1 Residential mortgage-nonguaranteed 361 368 41 354 15 Residential mortgage-government guaranteed 312 312 22 323 13 Sales finance 18 18 1 19 1 Other lending subsidiaries 188 190 30 179 28 Total $ 1,553 $ 1,698 $ 160 $ 1,594 $ 77 |
Schedule of Performing and Nonperforming TDRs | The following table provides a summary of TDRs, all of which are considered impaired. December 31, 2016 2015 (Dollars in millions) Performing TDRs: Commercial: Commercial and industrial $ 55 $ 49 CRE-income producing properties 16 13 CRE-construction and development 9 16 Direct retail lending 67 72 Revolving credit 29 33 Residential mortgage-nonguaranteed 332 288 Residential mortgage-government guaranteed 420 316 Sales finance 16 17 Other lending subsidiaries 226 178 Total performing TDRs 1,170 982 Nonperforming TDRs (also included in NPL disclosures) 183 146 Total TDRs $ 1,353 $ 1,128 ALLL attributable to TDRs $ 146 $ 126 |
Summary of Reason for Classification as TDRs | The following table summarizes the primary reason loan modifications were classified as TDRs and includes newly designated TDRs as well as modifications made to existing TDRs. Balances represent the recorded investment at the end of the quarter in which the modification was made. Rate modifications in this table include TDRs made with below market interest rates that also include modifications of loan structures. Year Ended December 31, 2016 2015 2014 Type of Modification Type of Modification Type of Modification Rate Structure ALLL Impact Rate Structure ALLL Impact Rate Structure ALLL Impact (Dollars in millions) Commercial: Commercial and industrial $ 112 $ 128 $ 3 $ 99 $ 45 $ 2 $ 112 $ 48 $ 4 CRE-income producing properties 21 17 — 9 15 — 18 18 — CRE-construction and development 7 11 — 8 25 1 25 22 — Retail: Direct retail lending 19 1 — 16 4 4 32 4 6 Revolving credit 17 — 4 16 — 4 24 — 4 Residential mortgage-nonguaranteed 129 54 10 88 37 9 127 36 16 Residential mortgage-government guaranteed 335 — 18 189 — 7 282 — 12 Sales finance — 7 — — 10 1 1 14 3 Other lending subsidiaries 169 — 21 129 — 17 130 — 17 |
Carrying Value and Accretable Yield of PCI Loans | Changes in the carrying value and accretable yield of PCI loans are presented in the following table: December 31, 2016 December 31, 2015 Purchased Impaired Purchased Nonimpaired Purchased Impaired Purchased Nonimpaired Accretable Yield Carrying Value Accretable Yield Carrying Value Accretable Yield Carrying Value Accretable Yield Carrying Value (Dollars in millions) Balance at beginning of period $ 189 $ 700 $ 176 $ 422 $ 134 $ 579 $ 244 $ 636 Additions 36 124 — — 98 402 — — Accretion (134 ) 134 (73 ) 73 (89 ) 89 (89 ) 89 Payments received, net — (344 ) — (199 ) — (370 ) — (303 ) Other, net 162 — 52 — 46 — 21 — Balance at end of period $ 253 $ 614 $ 155 $ 296 $ 189 $ 700 $ 176 $ 422 Outstanding UPB at end of period $ 910 $ 423 $ 1,063 $ 587 |
Selected Information About Loans and Leases | The following table presents additional information about BB&T’s loans and leases: December 31, 2016 2015 (Dollars in millions) Unearned income, discounts and net deferred loan fees and costs, excluding PCI $ 396 $ 598 Residential mortgage loans in process of foreclosure 366 229 |
Premises and Equipment (Tables)
Premises and Equipment (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
Property, Plant and Equipment [Abstract] | |
Summary of Premises and Equipment | A summary of premises and equipment is presented in the accompanying table: Estimated Useful Life December 31, 2016 2015 (Years) (Dollars in millions) Land and land improvements $ 611 $ 596 Buildings and building improvements 40 1,628 1,503 Furniture and equipment 3 - 15 1,121 1,030 Leasehold improvements 791 721 Construction in progress 62 122 Capitalized leases on premises and equipment 66 67 Total 4,279 4,039 Accumulated depreciation and amortization (2,172 ) (2,032 ) Net premises and equipment $ 2,107 $ 2,007 |
Schedule of Rent Expense | The following table excludes assets related to the lease financing business. Year Ended December 31, 2016 2015 2014 (Dollars in millions) Rent expense applicable to operating leases $ 278 $ 245 $ 227 Rental income from owned properties and subleases 8 7 7 |
Schedule of Future Minimum Lease Payments for Operating Leases | Year Ended December 31, 2017 2018 2019 2020 2021 Thereafter (Dollars in millions) Future minimum lease payments for operating leases $ 263 $ 239 $ 210 $ 179 $ 154 $ 574 |
Goodwill and Other Intangible33
Goodwill and Other Intangible Assets (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Goodwill Activity by Operating Segment | The changes in the carrying amounts of goodwill attributable to BB&T’s operating segments are reflected in the table below. There have been no goodwill impairments recorded to date. Community Banking Residential Mortgage Banking Dealer Financial Services Specialized Lending Insurance Holdings Financial Services Total (Dollars in millions) Goodwill, January 1, 2014 $ 4,924 $ 7 $ 111 $ 88 $ 1,492 $ 192 $ 6,814 Acquired goodwill, net 29 — — — 12 — 41 Contingent consideration — — — — 14 — 14 Other adjustments (319 ) 319 — — — — — Goodwill, December 31, 2014 4,634 326 111 88 1,518 192 6,869 Acquired goodwill, net 1,501 43 — 155 16 11 1,726 American Coastal sale — — — — (49 ) — (49 ) Other adjustments 5 — — — (3 ) — 2 Goodwill, December 31, 2015 6,140 369 111 243 1,482 203 8,548 Acquired goodwill, net 753 39 — 2 270 9 1,073 Other adjustments 139 8 — (132 ) — 2 17 Goodwill, December 31, 2016 $ 7,032 $ 416 $ 111 $ 113 $ 1,752 $ 214 $ 9,638 |
Identifiable Intangible Assets Subject to Amortization | The following table presents information for identifiable intangible assets subject to amortization: December 31, 2016 December 31, 2015 Wtd. Avg. Remaining Life Gross Carrying Amount Accumulated Amortization Net Carrying Amount Gross Carrying Amount Accumulated Amortization Net Carrying Amount (Years) (Dollars in millions) CDI 7.9 $ 970 $ (710 ) $ 260 $ 903 $ (634 ) $ 269 Other, primarily customer relationship intangibles 13.0 1,415 (821 ) 594 1,164 (747 ) 417 Total $ 2,385 $ (1,531 ) $ 854 $ 2,067 $ (1,381 ) $ 686 |
Future Amortization Expense of Identifiable Intangible Assets | Year Ended December 31, 2017 2018 2019 2020 2021 (Dollars in millions) Estimated amortization expense of identifiable intangibles $ 141 $ 123 $ 104 $ 87 $ 74 |
Loan Servicing (Tables)
Loan Servicing (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
Transfers and Servicing [Abstract] | |
Summary of Residential Mortgage Banking Activities | The following tables summarize residential mortgage banking activities. BB&T manages its own residential mortgage loans, including PCI loans. December 31, 2016 2015 (Dollars in millions) UPB of residential mortgage and home equity loan servicing portfolio $ 121,639 $ 122,169 UPB of residential mortgage loans serviced for others (primarily agency conforming fixed rate) 90,325 91,132 Mortgage loans sold with recourse 578 702 Maximum recourse exposure from mortgage loans sold with recourse liability 282 326 Indemnification, recourse and repurchase reserves 40 79 FHA-insured mortgage loan reserve — 85 |
Loan Servicing Activity and Data | As Of / For The Year Ended December 31, 2016 2015 2014 (Dollars in millions) UPB of residential mortgage loans sold from the LHFS portfolio $ 15,675 $ 14,764 $ 13,400 Pre-tax gains recognized on mortgage loans sold and held for sale 139 148 110 Servicing fees recognized from mortgage loans serviced for others 268 273 275 Approximate weighted average servicing fee on the outstanding balance of residential mortgage loans serviced for others 0.28 % 0.29 % 0.29 % Weighted average interest rate on mortgage loans serviced for others 4.03 4.12 4.20 |
Analysis of Activity in Residential MSRs | The following table presents a roll forward of the carrying value of residential MSRs recorded at fair value: Year Ended December 31, 2016 2015 2014 (Dollars in millions) Carrying value, beginning of year $ 880 $ 844 $ 1,047 Additions 146 156 141 Change in fair value due to changes in valuation inputs or assumptions: Prepayment speeds 13 91 (219 ) Weighted average OAS 10 (52 ) — Servicing costs 2 (25 ) (2 ) Realization of expected net servicing cash flows, passage of time and other (136 ) (134 ) (123 ) Carrying value, end of year $ 915 $ 880 $ 844 Gains (losses) on derivative financial instruments used to mitigate the income statement effect of changes in fair value $ 32 $ 32 $ 251 |
Residential MSRs Sensitivity | The sensitivity of the fair value of the residential MSRs to changes in key assumptions is included in the accompanying table: December 31, 2016 December 31, 2015 Range Weighted Average Range Weighted Average Min Max Min Max (Dollars in millions) Prepayment speed 7.5 % 8.4 % 8.1 % 8.1 % 9.0 % 8.7 % Effect on fair value of a 10% increase $ (28 ) $ (29 ) Effect on fair value of a 20% increase (54 ) (56 ) OAS 9.8 % 10.2 % 10.0 % 10.3 % 10.6 % 10.4 % Effect on fair value of a 10% increase $ (33 ) $ (33 ) Effect on fair value of a 20% increase (64 ) (63 ) Composition of loans serviced for others: Fixed-rate residential mortgage loans 99.1 % 99.2 % Adjustable-rate residential mortgage loans 0.9 0.8 Total 100.0 % 100.0 % Weighted average life (in years) 7.0 6.8 |
Summary of Commercial Mortgage Banking Activities | The following table summarizes commercial mortgage banking activities for the periods presented: December 31, 2016 2015 (Dollars in millions) UPB of CRE mortgages serviced for others $ 29,333 $ 28,163 CRE mortgages serviced for others covered by recourse provisions 4,240 4,198 Maximum recourse exposure from CRE mortgages sold with recourse liability 1,272 1,259 Recorded reserves related to recourse exposure 7 7 Originated CRE mortgages during the year 7,145 7,012 Commercial MSRs at fair value 137 — |
Deposits (Tables)
Deposits (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
Deposits [Abstract] | |
Summary of Deposits | December 31, 2016 2015 (Dollars in millions) Noninterest-bearing deposits $ 50,697 $ 45,695 Interest checking 30,263 25,410 Money market and savings 64,883 60,461 Time deposits 14,391 17,558 Total deposits $ 160,234 $ 149,124 Time deposits $100,000 and greater $ 5,394 $ 7,562 Time deposits $250,000 and greater 2,179 3,497 |
Long-Term Debt (Tables)
Long-Term Debt (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
Debt Disclosure [Abstract] | |
Schedule of Long-Term Debt | The following table reflects the carrying amounts at December 31, 2016 and 2015 , and the related maturity dates, contractual rate and effective interest rates at December 31, 2016 : Stated Rate Effective Rate December 31, Maturity Min Max 2016 2015 (Dollars in millions) BB&T Corporation Fixed rate senior notes 2017 to 2024 1.45 % 6.85 % 2.33 % $ 7,600 $ 7,831 Floating rate senior notes 2018 2020 1.55 1.82 1.67 1,898 1,050 Fixed rate subordinated notes 2017 2022 3.95 5.25 1.53 1,338 1,382 Branch Bank Fixed rate senior notes 2017 2021 1.00 2.85 1.80 4,209 4,071 Floating rate senior notes 2019 1.42 1.42 1.48 250 375 Fixed rate subordinated notes 2025 2026 3.63 3.80 3.48 2,138 2,562 Floating rate subordinated notes 2017 1.22 1.22 3.73 262 612 FHLB advances (5.5 years weighted average maturity at December 31, 2016) 2017 2034 — 6.38 4.20 4,118 5,732 Other long-term debt 152 154 Total long-term debt $ 21,965 $ 23,769 |
Schedule of Maturities of Long-Term Debt | Year Ended December 31, Thereafter 2017 2018 2019 2020 2021 (Dollars in millions) Future debt maturities $ 3,696 $ 2,223 $ 3,985 $ 3,357 $ 3,881 $ 4,586 |
Shareholders' Equity (Tables)
Shareholders' Equity (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
Equity [Abstract] | |
Summary of Non-Cumulative Perpetual Preferred Stock | The following table presents a summary of the non-cumulative perpetual preferred stock as of December 31, 2016 : Preferred Stock Issue Issuance Date Earliest Redemption Date Liquidation Amount Carrying Amount Dividend Rate (Dollars in millions) Series D 5/1/2012 5/1/2017 $ 575 $ 559 5.850 % Series E 7/31/2012 8/1/2017 1,150 1,120 5.625 Series F 10/31/2012 11/1/2017 450 437 5.200 Series G 5/1/2013 6/1/2018 500 487 5.200 Series H 3/9/2016 6/1/2021 465 450 5.625 $ 3,140 $ 3,053 |
Summary of Selected Information Pertaining to Equity-based Compensation Plans | The following table provides a summary of the equity-based compensation plans: December 31, 2016 Shares available for future grants (in thousands) 16,627 Vesting period, awards granted prior to 2010 5.0 yrs Vesting period, awards granted after 2009 (minimum years) 1.0 Vesting period, awards granted after 2009 (maximum years) 5.0 Option term 10.0 |
Summary of Selected Data Related to Equity-based Compensation Costs | A summary of selected data related to equity-based compensation costs follows: Year Ended December 31, 2016 2015 2014 (Dollars in millions) Equity-based compensation expense $ 115 $ 106 $ 102 Income tax benefit from equity-based compensation expense 43 40 39 Intrinsic value of options exercised and RSUs that vested during the year 159 170 280 Grant date fair value of equity-based awards that vested during the year 98 115 113 December 31, 2016 2015 (Dollars in millions) Unrecognized compensation cost related to equity-based awards $ 109 $ 103 Weighted-average life over which compensation cost is expected to be recognized (years) 2.3 2.2 |
Stock Options Activity Roll Forward | The following tables present the activity during 2016 related to equity-based compensation awards: Options Wtd. Avg. Exercise Price Per Share Aggregate Intrinsic Value Wtd. Avg. Remaining Contractual Life (Dollars in millions, except per share data, shares in thousands) Outstanding at January 1, 2016 20,577 $ 34.89 Replacement awards granted in connection with acquisitions 566 36.12 Granted 610 32.10 Exercised (7,101 ) 34.87 Forfeited or expired (2,856 ) 40.64 Outstanding at December 31, 2016 11,796 33.42 $ 166 3.47 yrs Exercisable at December 31, 2016 11,023 33.36 156 3.11 Exercisable and expected to vest at December 31, 2016 11,755 33.42 166 3.46 |
Restricted Shares and RSUs Activity Roll Forward | Restricted Shares/Units Wtd. Avg. Grant Date Fair Value (Shares in thousands) Nonvested at January 1, 2016 11,824 $ 29.81 Granted 5,235 27.49 Vested (3,150 ) 27.76 Forfeited (393 ) 29.74 Nonvested at December 31, 2016 13,516 29.39 Expected to vest at December 31, 2016 12,384 29.39 |
AOCI (Tables)
AOCI (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
Accumulated Other Comprehensive Income (Loss), Net of Tax [Abstract] | |
Schedule of Changes in AOCI | Year Ended December 31, 2016 Unrecognized Net Pension and Postretirement Costs Unrealized Net Gains (Losses) on Cash Flow Hedges Unrealized Net Gains (Losses) on AFS Securities FDIC's Share of Unrealized (Gains) Losses on AFS Securities Other, net Total (Dollars in millions) AOCI balance, January 1, 2016 $ (723 ) $ (83 ) $ (34 ) $ (169 ) $ (19 ) $ (1,028 ) OCI before reclassifications, net of tax (91 ) (16 ) (201 ) 148 1 (159 ) Amounts reclassified from AOCI: Personnel expense 80 — — — — 80 Interest income — — 7 — 1 8 Interest expense — 11 — — — 11 FDIC loss share income, net — — — 33 — 33 Securities (gains) losses, net — — (46 ) — — (46 ) Total before income taxes 80 11 (39 ) 33 1 86 Less: Income taxes 30 4 (15 ) 12 — 31 Net of income taxes 50 7 (24 ) 21 1 55 Net change in AOCI (41 ) (9 ) (225 ) 169 2 (104 ) AOCI balance, December 31, 2016 $ (764 ) $ (92 ) $ (259 ) $ — $ (17 ) $ (1,132 ) Year Ended December 31, 2015 Unrecognized Net Pension and Postretirement Costs Unrealized Net Gains (Losses) on Cash Flow Hedges Unrealized Net Gains (Losses) on AFS Securities FDIC's Share of Unrealized (Gains) Losses on AFS Securities Other, net Total (Dollars in millions) AOCI balance, January 1, 2015 $ (626 ) $ (54 ) $ 152 $ (207 ) $ (16 ) $ (751 ) OCI before reclassifications, net of tax (139 ) (81 ) (206 ) 19 (9 ) (416 ) Amounts reclassified from AOCI: Personnel expense 67 — — — — 67 Interest income — — 29 — 9 38 Interest expense — 83 — — — 83 FDIC loss share income, net — — — 31 — 31 Securities (gains) losses, net — — 3 — — 3 Total before income taxes 67 83 32 31 9 222 Less: Income taxes 25 31 12 12 3 83 Net of income taxes 42 52 20 19 6 139 Net change in AOCI (97 ) (29 ) (186 ) 38 (3 ) (277 ) AOCI balance, December 31, 2015 $ (723 ) $ (83 ) $ (34 ) $ (169 ) $ (19 ) $ (1,028 ) Year Ended December 31, 2014 Unrecognized Net Pension and Postretirement Costs Unrealized Net Gains (Losses) on Cash Flow Hedges Unrealized Net Gains (Losses) on AFS Securities FDIC's Share of Unrealized (Gains) Losses on AFS Securities Other, net Total (Dollars in millions) AOCI balance, January 1, 2014 $ (303 ) $ 2 $ (42 ) $ (235 ) $ (15 ) $ (593 ) OCI before reclassifications, net of tax (334 ) (107 ) 207 — (5 ) (239 ) Amounts reclassified from AOCI: Personnel expense 17 — — — — 17 Interest income — — (24 ) — 6 (18 ) Interest expense — 82 — — — 82 FDIC loss share income, net — — — 45 — 45 Securities (gains) losses, net — — 3 — — 3 Total before income taxes 17 82 (21 ) 45 6 129 Less: Income taxes 6 31 (8 ) 17 2 48 Net of income taxes 11 51 (13 ) 28 4 81 Net change in AOCI (323 ) (56 ) 194 28 (1 ) (158 ) AOCI balance, December 31, 2014 $ (626 ) $ (54 ) $ 152 $ (207 ) $ (16 ) $ (751 ) |
Income Taxes (Tables)
Income Taxes (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
Income Tax Disclosure [Abstract] | |
Schedule of Components of Income Tax Provision | The components of the income tax provision are as follows: Year Ended December 31, 2016 2015 2014 (Dollars in millions) Current expense: Federal $ 959 $ 585 $ 706 State 97 99 81 Total current expense 1,056 684 787 Deferred expense: Federal (14 ) 99 122 State 16 11 12 Total deferred expense 2 110 134 Provision for income taxes $ 1,058 $ 794 $ 921 |
Schedule of Effective Income Tax Rate Reconciliation | The reasons for the difference between the provision for income taxes and the amount computed by applying the statutory Federal income tax rate to income before income taxes were as follows: Year Ended December 31, 2016 2015 2014 (Dollars in millions) Federal income taxes at statutory rate of 35% $ 1,225 $ 1,021 $ 1,094 Increase (decrease) in provision for income taxes as a result of: State income taxes, net of federal tax benefit 73 72 61 Affordable housing projects proportional amortization 205 181 159 Affordable housing projects tax credits and other tax benefits (279 ) (249 ) (221 ) Tax exempt income (151 ) (129 ) (125 ) Adjustments for uncertain tax positions (6 ) (107 ) (39 ) Other, net (9 ) 5 (8 ) Provision for income taxes $ 1,058 $ 794 $ 921 Effective income tax rate 30.2 % 27.2 % 29.5 % |
Schedule of Deferred Tax Assets and Liabilities | The tax effects of temporary differences that gave rise to deferred tax assets and liabilities are reflected in the table below: December 31, 2016 2015 (Dollars in millions) Deferred tax assets: ALLL $ 564 $ 553 Postretirement plans 451 431 Net unrealized loss on AFS securities 155 124 Equity-based compensation 124 129 Reserves and expense accruals 238 255 Investments in qualified affordable housing projects 116 110 Other 317 292 Total deferred tax assets 1,965 1,894 Deferred tax liabilities: Prepaid pension plan expense 558 509 MSRs 358 331 Lease financing 587 663 Loan fees and expenses 103 70 Identifiable intangible assets 224 207 Other 45 169 Total deferred tax liabilities 1,875 1,949 Net deferred tax asset (liability) $ 90 $ (55 ) |
Changes in Unrecognized Tax Benefits | The following table presents changes in unrecognized tax benefits: As of/ For the Year Ended December 31, 2016 2015 2014 (Dollars in millions) Beginning balance of unrecognized tax benefits $ 426 $ 503 $ 644 Additions based on tax positions related to current year — — 1 Additions (reductions) for tax positions of prior years (5 ) (76 ) (34 ) Settlements (420 ) (1 ) (17 ) Lapse of statute of limitations — (1 ) — Unrecognized deferred tax benefits from acquisitions — 1 (91 ) Ending balance of unrecognized tax benefits $ 1 $ 426 $ 503 Unrecognized tax benefits that would have impacted effective rate if recognized Federal $ — $ 422 $ 497 State 1 3 4 |
Benefit Plans (Tables)
Benefit Plans (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
Compensation and Retirement Disclosure [Abstract] | |
Significant Actuarial Assumptions Used to Determine Net Periodic Pension Costs | The following actuarial assumptions were used to determine net periodic pension costs for the qualified pension plans: December 31, 2016 2015 2014 Weighted average assumed discount rate 4.68 % 4.27 % 5.10 % Weighted average expected long-term rate of return on plan assets 7.00 7.50 7.75 Assumed long-term rate of annual compensation increases 4.50 4.50 5.00 |
Summary of the Components of Net Periodic Benefit Cost Recognized for Pension Plans | Financial data relative to qualified and nonqualified defined benefit pension plans is summarized in the following tables for the years indicated. On the Consolidated Balance Sheets, the qualified pension plan prepaid asset is recorded as a component of other assets and the nonqualified pension plans accrued liability is recorded as a component of other liabilities. The data is calculated using an actuarial measurement date of December 31. Year Ended December 31, 2016 2015 2014 (Dollars in millions) Net Periodic Pension Cost: Service cost $ 186 $ 176 $ 138 Interest cost 181 157 140 Estimated return on plan assets (326 ) (327 ) (296 ) Net amortization and other 80 67 17 Net periodic benefit cost 121 73 (1 ) Pre-Tax Amounts Recognized in OCI: Net actuarial loss (gain) 138 230 532 Net amortization (80 ) (67 ) (17 ) Net amount recognized in OCI 58 163 515 Total net periodic pension costs (income) recognized in total comprehensive income, pre-tax $ 179 $ 236 $ 514 |
Significant Actuarial Assumptions Used to Determine Benefit Obligations | The following actuarial assumptions were used to determine benefit obligations: December 31, 2016 2015 Weighted average assumed discount rate 4.43 % 4.68 % Assumed rate of annual compensation increases 4.50 4.50 |
Changes in Projected Benefit Obligation | Qualified Plans Nonqualified Plans Year Ended December 31, Year Ended December 31, 2016 2015 2016 2015 (Dollars in millions) Projected benefit obligation, beginning of year $ 3,473 $ 3,227 $ 392 $ 367 Service cost 174 164 12 12 Interest cost 163 141 18 16 Actuarial (gain) loss 152 (164 ) 15 (3 ) Benefits paid (94 ) (80 ) (11 ) (15 ) Acquisitions 71 185 — 15 Projected benefit obligation, end of year $ 3,939 $ 3,473 $ 426 $ 392 Accumulated benefit obligation, end of year $ 3,403 $ 2,997 $ 363 $ 309 |
Changes in Fair Value of Plan Assets | Qualified Plans Nonqualified Plans Year Ended December 31, Year Ended December 31, 2016 2015 2016 2015 (Dollars in millions) Fair value of plan assets, beginning of year $ 4,369 $ 4,223 $ — $ — Actual return on plan assets 356 (70 ) — — Employer contributions 360 126 11 15 Benefits paid (94 ) (80 ) (11 ) (15 ) Acquisitions 53 170 — — Fair value of plan assets, end of year $ 5,044 $ 4,369 $ — $ — Funded status at end of year $ 1,105 $ 896 $ (426 ) $ (392 ) |
Pre-tax Amounts Recognized in AOCI | The following are the pre-tax amounts recognized in AOCI: Qualified Plans Nonqualified Plans Year Ended December 31, Year Ended December 31, 2016 2015 2016 2015 (Dollars in millions) Prior service credit (cost) $ — $ — $ (1 ) $ (2 ) Net actuarial loss (1,095 ) (1,040 ) (135 ) (131 ) Net amount recognized $ (1,095 ) $ (1,040 ) $ (136 ) $ (133 ) |
Schedule of Amounts Expected to be Amortized from AOCI Into Net Periodic Pension Cost During Next Fiscal Year | The following table presents the amount expected to be amortized from AOCI into net periodic pension cost during 2017 : Qualified Plans Nonqualified Plans (Dollars in millions) Net actuarial loss $ (66 ) $ (12 ) Net amount expected to be amortized in 2017 $ (66 ) $ (12 ) |
Schedule of Estimated Future Benefit Payments | The following table reflects the estimated benefit payments for the periods presented: Qualified Plans Nonqualified Plans (Dollars in millions) 2017 $ 104 $ 15 2018 115 16 2019 125 17 2020 137 18 2021 149 20 2022-2026 949 119 |
Schedule of Fair Value of Pension Plan Assets by Three Level Fair Value Hierarchy | The fair values of certain pension plan assets by asset category are reflected in the following table. December 31, 2016 December 31, 2015 Total Level 1 Level 2 Total Level 1 Level 2 (Dollars in millions) Cash and cash-equivalents $ 179 $ 179 $ — $ 266 $ 266 $ — U.S. equity securities 1,892 1,018 874 1,627 1,627 — International equity securities 839 165 674 712 614 98 Fixed income securities 1,914 10 1,904 1,631 10 1,621 Total $ 4,824 $ 1,372 $ 3,452 $ 4,236 $ 2,517 $ 1,719 |
Commitments and Contingencies (
Commitments and Contingencies (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
Commitments and Contingencies Disclosure [Abstract] | |
Schedule of Commitments and Contingencies | December 31, 2016 2015 (Dollars in millions) Letters of credit $ 2,786 $ 3,033 Carrying amount of the liability for letters of credit 27 27 Investments in affordable housing and historic building rehabilitation projects: Carrying amount 1,719 1,629 Amount of future funding commitments included in carrying amount 738 654 Lending exposure 495 292 Tax credits subject to recapture 413 355 Private equity investments 362 289 Future funding commitments to private equity investments 197 231 |
Schedule of Pledged Assets | The following table provides the total carrying amount of pledged assets by asset type, of which the majority are pursuant to agreements that do not permit the other party to sell or repledge the collateral. Assets related to employee benefit plans have been excluded from the following table. December 31, 2016 2015 (Dollars in millions) Pledged securities $ 15,549 $ 14,063 Pledged loans 75,015 69,070 |
Regulatory Requirements and O42
Regulatory Requirements and Other Restrictions (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
Regulatory Capital Requirements [Abstract] | |
Summary Information Regarding Regulatory Capital | December 31, 2016 December 31, 2015 Actual Capital Capital Requirements Actual Capital Capital Requirements Ratio Amount Minimum Well-Capitalized Ratio Amount Minimum Well-Capitalized (Dollars in millions) CET1 Capital: BB&T 10.2 % $ 18,050 $ 7,926 $ 11,449 10.3 % $ 17,081 $ 7,497 $ 10,830 Branch Bank 11.5 19,839 7,730 11,166 11.3 18,382 7,319 10,572 Tier 1 Capital: BB&T 12.0 21,102 10,568 14,091 11.8 19,682 9,997 13,329 Branch Bank 11.5 19,839 10,307 13,743 11.3 18,382 9,759 13,012 Total Capital: BB&T 14.1 24,872 14,091 17,614 14.3 23,753 13,329 16,661 Branch Bank 13.6 23,289 13,743 17,179 13.4 21,859 13,012 16,265 Leverage Capital: BB&T 10.0 21,102 8,460 10,576 9.8 19,682 8,062 10,077 Branch Bank 9.6 19,839 8,249 10,311 9.3 18,382 7,866 9,833 |
Parent Company Financial Stat43
Parent Company Financial Statements (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
Condensed Financial Information of Parent Company Only Disclosure [Abstract] | |
Parent Company Condensed Balance Sheets | December 31, Parent Company - Condensed Balance Sheets 2016 2015 (Dollars in millions) Assets: Cash and due from banks $ 21 $ 109 Interest-bearing deposits with banks 7,094 7,383 AFS securities at fair value 134 124 HTM securities at amortized cost 1 3 Investment in banking subsidiaries 28,444 25,823 Investment in other subsidiaries 1,279 1,101 Advances to / receivables from banking subsidiaries 850 — Advances to / receivables from other subsidiaries 2,981 3,086 Other assets 131 211 Total assets $ 40,935 $ 37,840 Liabilities and Shareholders' Equity: Short-term borrowed funds $ 46 $ 105 Long-term debt 10,836 10,274 Accounts payable and other liabilities 127 121 Total liabilities 11,009 10,500 Total shareholders' equity 29,926 27,340 Total liabilities and shareholders' equity $ 40,935 $ 37,840 |
Parent Company Condensed Income and Comprehensive Income Statements | Year Ended December 31, Parent Company - Condensed Income and Comprehensive Income Statements 2016 2015 2014 (Dollars in millions) Income: Dividends from banking subsidiaries $ 1,350 $ 1,600 $ 1,636 Dividends from other subsidiaries 6 411 71 Interest and other income from subsidiaries 73 64 67 Other income 3 3 7 Total income 1,432 2,078 1,781 Expenses: Interest expense 160 165 148 Other expenses 56 103 55 Total expenses 216 268 203 Income before income taxes and equity in undistributed earnings of subsidiaries 1,216 1,810 1,578 Income tax benefit 38 40 43 Income before equity in undistributed earnings of subsidiaries 1,254 1,850 1,621 Equity in undistributed earnings of subsidiaries in excess of dividends from subsidiaries 1,188 273 585 Net income 2,442 2,123 2,206 Total OCI (104 ) (277 ) (158 ) Total comprehensive income $ 2,338 $ 1,846 $ 2,048 |
Parent Company Condensed Statements of Cash Flows | Year Ended December 31, Parent Company - Statements of Cash Flows 2016 2015 2014 (Dollars in millions) Cash Flows From Operating Activities: Net income $ 2,442 $ 2,123 $ 2,206 Adjustments to reconcile net income to net cash from operating activities: Equity in earnings of subsidiaries in excess of dividends from subsidiaries (1,188 ) (273 ) (585 ) Net change in operating assets and liabilities: Other assets 41 88 27 Accounts payable and other liabilities (42 ) (14 ) 40 Other, net (88 ) 32 (86 ) Net cash from operating activities 1,165 1,956 1,602 Cash Flows From Investing Activities: Proceeds from sales, calls and maturities of AFS securities 27 49 25 Purchases of AFS securities (31 ) (21 ) (124 ) Proceeds from maturities, calls and paydowns of HTM securities 2 27 16 Investment in subsidiaries (85 ) — (1 ) Advances to subsidiaries (7,719 ) (7,461 ) (7,145 ) Proceeds from repayment of advances to subsidiaries 6,975 6,848 7,060 Net cash from acquisitions and divestitures (254 ) (595 ) — Net cash from investing activities (1,085 ) (1,153 ) (169 ) Cash Flows From Financing Activities: Net change in short-term borrowings — (40 ) (34 ) Net change in long-term debt 476 (92 ) 1,085 Net cash from common stock transactions (293 ) 73 298 Net proceeds from preferred stock issued 450 — — Cash dividends paid on common and preferred stock (1,092 ) (937 ) (814 ) Other, net 2 (6 ) (4 ) Net cash from financing activities (457 ) (1,002 ) 531 Net Change in Cash and Cash Equivalents (377 ) (199 ) 1,964 Cash and Cash Equivalents at Beginning of Period 7,492 7,691 5,727 Cash and Cash Equivalents at End of Period $ 7,115 $ 7,492 $ 7,691 |
Fair Value Disclosures (Tables)
Fair Value Disclosures (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
Fair Value Disclosures [Abstract] | |
Schedule of Assets and Liabilities Measured at Fair Value | The following tables present fair value information for assets and liabilities measured at fair value on a recurring basis. December 31, 2016 Total Level 1 Level 2 Level 3 (Dollars in millions) Assets: Trading securities $ 748 $ 324 $ 424 $ — AFS securities: U.S. Treasury 2,587 — 2,587 — GSE 180 — 180 — Agency MBS 21,264 — 21,264 — States and political subdivisions 2,205 — 2,205 — Non-agency MBS 679 — 172 507 Other 11 8 3 — LHFS 1,716 — 1,716 — MSRs 1,052 — — 1,052 Derivative assets: Interest rate contracts 814 — 807 7 Foreign exchange contracts 8 — 8 — Private equity investments 362 — — 362 Total assets $ 31,626 $ 332 $ 29,366 $ 1,928 Liabilities: Derivative liabilities: Interest rate contracts $ 998 $ — $ 978 $ 20 Foreign exchange contracts 5 — 5 — Securities sold short 137 — 137 — Total liabilities $ 1,140 $ — $ 1,120 $ 20 December 31, 2015 Total Level 1 Level 2 Level 3 (Dollars in millions) Assets: Trading securities $ 1,180 $ 311 $ 869 $ — AFS securities: U.S. Treasury 1,832 — 1,832 — GSE 51 — 51 — Agency MBS 20,046 — 20,046 — States and political subdivisions 2,375 — 2,375 — Non-agency MBS 989 — 363 626 Other 4 4 — — LHFS 1,035 — 1,035 — MSRs 880 — — 880 Derivative assets: Interest rate contracts 964 — 956 8 Foreign exchange contracts 6 — 6 — Private equity investments 289 — — 289 Total assets $ 29,651 $ 315 $ 27,533 $ 1,803 Liabilities: Derivative liabilities: Interest rate contracts $ 788 $ — $ 784 $ 4 Foreign exchange contracts 4 — 4 — Securities sold short 147 — 147 — Total liabilities $ 939 $ — $ 935 $ 4 |
Roll Forward of Level 3 Assets and Liabilities | The following tables summarize activity for Level 3 assets and liabilities: Year Ended December 31, 2016 Non-agency MBS MSRs Net Derivatives Private Equity Investments (Dollars in millions) Balance at January 1, 2016 $ 626 $ 880 $ 4 $ 289 Total realized and unrealized gains (losses): Included in earnings: Interest income 25 — — — Mortgage banking income — 63 97 — Other noninterest income — — — 20 Included in unrealized net holding gains (losses) in OCI (45 ) — — — Purchases — — — 106 Issuances — 146 82 — Sales — — — (38 ) Settlements (99 ) (160 ) (196 ) (15 ) Adoption of fair value option for commercial MSRs — 123 — — Balance at December 31, 2016 $ 507 $ 1,052 $ (13 ) $ 362 Change in unrealized gains (losses) included in earnings for the period, attributable to assets and liabilities still held at December 31, 2016 $ 25 $ 63 $ (13 ) $ 7 Year Ended December 31, 2015 Non-agency MBS MSRs Net Derivatives Private Equity Investments (Dollars in millions) Balance at January 1, 2015 $ 745 $ 844 $ 17 $ 329 Total realized and unrealized gains (losses): Included in earnings: Interest income 23 — — — Mortgage banking income — 10 87 — Other noninterest income — — (6 ) 49 Included in unrealized net holding gains (losses) in OCI (45 ) — — — Purchases — — 1 81 Issuances — 156 74 — Sales — — — (154 ) Settlements (97 ) (130 ) (169 ) (16 ) Balance at December 31, 2015 $ 626 $ 880 $ 4 $ 289 Change in unrealized gains (losses) included in earnings for the period, attributable to assets and liabilities still held at December 31, 2015 $ 23 $ 10 $ 4 $ (2 ) Year Ended December 31, 2014 Non-agency MBS MSRs Net Derivatives Private Equity Investments (Dollars in millions) Balance at January 1, 2014 $ 861 $ 1,047 $ (11 ) $ 291 Total realized and unrealized gains (losses): Included in earnings: Interest income 33 — — — Mortgage banking income — (221 ) 94 — Other noninterest income — — (2 ) 27 Included in unrealized holding gains (losses) in OCI (38 ) — — — Purchases — — — 67 Issuances — 141 75 — Sales — — — (50 ) Settlements (111 ) (123 ) (139 ) (7 ) Transfers into Level 3 — — — 1 Balance at December 31, 2014 $ 745 $ 844 $ 17 $ 329 Change in unrealized gains (losses) included in earnings for the period, attributable to assets and liabilities still held at December 31, 2014 $ 33 $ (221 ) $ 17 $ 15 |
Fair Value and UPB of LHFS | The following table details the fair value and UPB of LHFS that were elected to be carried at fair value: December 31, 2016 December 31, 2015 Fair Value Aggregate UPB Difference Fair Value Aggregate UPB Difference (Dollars in millions) LHFS reported at fair value $ 1,716 $ 1,736 $ (20 ) $ 1,035 $ 1,023 $ 12 |
Financial Assets Measured at Fair Value on Nonrecurring Basis | The following table provides information about certain financial assets measured at fair value on a nonrecurring basis, which are primarily collateral dependent and may be subject to liquidity adjustments. The carrying values represent end of period values, which approximate the fair value measurements that occurred on the various measurement dates throughout the period. The valuation adjustments represent the amounts recorded during the period regardless of whether the asset is still held at period end. These assets are considered to be Level 3 assets (excludes PCI). As Of / For the Year Ended December 31, 2016 December 31, 2015 Carrying Value Valuation Adjustments Carrying Value Valuation Adjustments (Dollars in millions) Impaired loans $ 278 $ (89 ) $ 149 $ (30 ) Foreclosed real estate 50 (221 ) 82 (190 ) |
Carrying Amounts and Fair Values of Financial Assets and Liabilities Not Recorded at Fair Value | Financial assets and liabilities not recorded at fair value are summarized below: December 31, 2016 Carrying Amount Total Fair Value Level 2 Level 3 (Dollars in millions) Financial assets: HTM securities $ 16,680 $ 16,546 $ 16,546 $ — Loans and leases HFI, net of ALLL 141,833 142,044 — 142,044 Financial liabilities: Deposits 160,234 160,403 160,403 — Long-term debt 21,965 22,423 22,423 — December 31, 2015 Carrying Amount Total Fair Value Level 2 Level 3 (Dollars in millions) Financial assets: HTM securities $ 18,530 $ 18,519 $ 18,519 $ — Loans and leases HFI, net of ALLL 134,491 134,728 — 134,728 FDIC loss share receivable 285 11 — 11 Financial liabilities: Deposits 149,124 149,300 149,300 — FDIC loss share payable 685 676 — 676 Long-term debt 23,769 24,206 24,206 — |
Selected Information Pertaining to Off Balance-Sheet Financial Instruments | The following is a summary of selected information pertaining to off-balance sheet financial instruments: December 31, 2016 December 31, 2015 Notional/Contract Amount Fair Value Notional/Contract Amount Fair Value (Dollars in millions) Commitments to extend, originate or purchase credit $ 64,395 $ 250 $ 59,019 $ 253 Residential mortgage loans sold with recourse 578 7 702 8 Other loans sold with recourse 4,240 7 4,198 7 Letters of credit 2,786 27 3,033 27 |
Derivative Financial Instrume45
Derivative Financial Instruments (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |
Schedule of Derivative Financial Instruments and Related Hedged Items | The following table presents the notional amount and estimated fair value of derivative instruments: December 31, 2016 December 31, 2015 Notional Amount Fair Value Notional Amount Fair Value Hedged Item or Transaction Gain Loss Gain Loss (Dollars in millions) Cash flow hedges: Interest rate contracts: Pay fixed swaps 3 mo. LIBOR funding $ 7,050 $ — $ (187 ) $ 9,300 $ — $ (214 ) Fair value hedges: Interest rate contracts: Receive fixed swaps Long-term debt 12,099 202 (100 ) 13,092 329 (1 ) Options Long-term debt 2,790 — (1 ) — — — Pay fixed swaps Commercial loans 346 4 (2 ) 207 — (2 ) Pay fixed swaps Municipal securities 231 — (83 ) 244 — (94 ) Total 15,466 206 (186 ) 13,543 329 (97 ) Not designated as hedges: Client-related and other risk management: Interest rate contracts: Receive fixed swaps 9,989 235 (44 ) 8,827 337 (1 ) Pay fixed swaps 10,263 43 (252 ) 8,984 1 (363 ) Other swaps 1,086 2 (5 ) 1,005 3 (6 ) Other 709 2 (2 ) 601 1 (2 ) Forward commitments 5,972 29 (28 ) 4,403 5 (4 ) Foreign exchange contracts 669 8 (5 ) 513 6 (4 ) Total 28,688 319 (336 ) 24,333 353 (380 ) Mortgage banking: Interest rate contracts: Interest rate lock commitments 2,219 7 (20 ) 1,828 8 (4 ) When issued securities, forward rate agreements and forward commitments 3,657 51 (14 ) 2,725 9 (5 ) Other 449 2 (1 ) 677 4 — Total 6,325 60 (35 ) 5,230 21 (9 ) MSRs: Interest rate contracts: Receive fixed swaps 5,034 18 (236 ) 2,343 79 (7 ) Pay fixed swaps 3,768 56 (7 ) 2,329 4 (56 ) Options 5,710 160 (8 ) 7,765 184 (24 ) When issued securities, forward rate agreements and forward commitments 3,210 3 (8 ) 2,682 — (5 ) Total 17,722 237 (259 ) 15,119 267 (92 ) Total derivatives not designated as hedges 52,735 616 (630 ) 44,682 641 (481 ) Total derivatives $ 75,251 822 (1,003 ) $ 67,525 970 (792 ) Gross amounts not offset in the Consolidated Balance Sheets: Amounts subject to master netting arrangements not offset due to policy election (443 ) 443 (391 ) 391 Cash collateral (received) posted (119 ) 450 (283 ) 368 Net amount $ 260 $ (110 ) $ 296 $ (33 ) |
The Effect of Derivative Instruments on the Consolidated Statements of Income | The following table presents the effect of hedging derivative instruments on the consolidated statements of income: Effective Portion Pre-tax Gain (Loss) Recognized in OCI Location of Amounts Reclassified from AOCI into Income Pre-tax Gain (Loss) Reclassified from AOCI into Income Year Ended December 31 2016 2015 2014 2016 2015 2014 (Dollars in millions) Cash Flow Hedges: Interest rate contracts $ (24 ) $ (130 ) $ (172 ) Total interest expense $ (11 ) $ (83 ) $ (82 ) Location of Amounts Recognized in Income Pre-tax Gain (Loss) Recognized in Income 2016 2015 2014 (Dollars in millions) Fair Value Hedges: Interest rate contracts Total interest income $ (18 ) $ (20 ) $ (22 ) Interest rate contracts Total interest expense 226 279 233 Total $ 208 $ 259 $ 211 Not Designated as Hedges: Client-related and other risk management: Interest rate contracts Other income $ 52 $ 27 $ 18 Foreign exchange contracts Other income 11 21 16 Mortgage Banking: Interest rate contracts Mortgage banking income 8 7 (16 ) MSRs: Interest rate contracts Mortgage banking income 31 32 251 Total $ 102 $ 87 $ 269 |
Deferred Gains and Losses From Hedges | The following table presents information about BB&T's cash flow and fair value hedges: December 31, 2016 2015 (Dollars in millions) Cash flow hedges: Net unrecognized after-tax loss on active hedges recorded in AOCI $ (118 ) $ (134 ) Net unrecognized after-tax gain on terminated hedges recorded in AOCI (to be recognized in earnings through 2022) 26 50 Estimated portion of net after-tax loss on active and terminated hedges to be reclassified from AOCI into earnings during the next 12 months (4 ) (7 ) Maximum time period over which BB&T has hedged a portion of the variability in future cash flows for forecasted transactions excluding those transactions relating to the payment of variable interest on existing instruments 6 yrs 7 yrs Fair value hedges: Unrecognized pre-tax net gain on terminated hedges (to be recognized as interest primarily through 2019) $ 169 $ 138 Portion of pre-tax net gain on terminated hedges to be recognized as a change in interest during the next 12 months 56 57 |
Schedule of Derivative Instruments Summary of Collateral Positions with Counterparties | December 31, 2016 2015 (Dollars in millions) Dealer Counterparties: Cash collateral received from dealer counterparties $ 123 $ 283 Derivatives in a net gain position secured by that collateral 123 301 Unsecured positions in a net gain with dealer counterparties after collateral postings 4 18 Cash collateral posted to dealer counterparties 138 156 Derivatives in a net loss position secured by that collateral 144 161 Additional collateral that would have been posted had BB&T's credit ratings dropped below investment grade 8 6 Central Clearing Parties: Cash collateral, including initial margin, posted to central clearing parties 313 223 Derivatives in a net loss position secured by that collateral 318 227 Securities pledged to central clearing parties 119 207 |
Computation of EPS (Tables)
Computation of EPS (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
Earnings Per Share [Abstract] | |
Schedule of Basic and Diluted EPS | Basic and diluted EPS calculations are presented in the following table: Year Ended December 31, 2016 2015 2014 (Dollars in millions, except per share data, shares in thousands) Net income available to common shareholders $ 2,259 $ 1,936 $ 1,983 Weighted average number of common shares 804,680 748,010 718,140 Effect of dilutive outstanding equity-based awards 10,236 9,755 10,232 Weighted average number of diluted common shares 814,916 757,765 728,372 Basic EPS $ 2.81 $ 2.59 $ 2.76 Diluted EPS $ 2.77 $ 2.56 $ 2.72 Anti-dilutive awards 5,609 8,620 14,333 |
Operating Segments (Tables)
Operating Segments (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
Segment Reporting [Abstract] | |
Schedule of Selected Financial Information Regarding Reportable Business Segments | The following table presents segment results prior to the realignment. Community Banking Residential Mortgage Banking Dealer Financial Services Specialized Lending Year Ended December 31, 2016 2015 2014 2016 2015 2014 2016 2015 2014 2016 2015 2014 (Dollars in millions) Net interest income (expense) $ 2,208 $ 1,798 $ 1,726 $ 1,341 $ 1,357 $ 1,482 $ 930 $ 881 $ 835 $ 752 $ 648 $ 575 Net intersegment interest income (expense) 1,589 1,271 1,188 (898 ) (905 ) (984 ) (161 ) (153 ) (160 ) (283 ) (235 ) (206 ) Segment net interest income 3,797 3,069 2,914 443 452 498 769 728 675 469 413 369 Allocated provision for credit losses 36 67 123 45 9 (107 ) 296 253 237 70 43 36 Noninterest income 1,227 1,166 1,184 344 355 310 2 — 2 297 260 222 Intersegment net referral fees (expense) 153 135 120 1 2 2 — — — — — — Noninterest expense 1,742 1,516 1,428 211 321 498 149 151 114 300 254 210 Amortization of intangibles 74 39 29 — — — — — — 5 4 5 Allocated corporate expenses 1,337 1,225 1,204 107 93 91 45 38 31 81 63 62 Income (loss) before income taxes 1,988 1,523 1,434 425 386 328 281 286 295 310 309 278 Provision (benefit) for income taxes 724 563 524 161 146 124 107 109 112 74 74 63 Segment net income (loss) $ 1,264 $ 960 $ 910 $ 264 $ 240 $ 204 $ 174 $ 177 $ 183 $ 236 $ 235 $ 215 Identifiable assets (period end) $ 73,640 $ 68,250 $ 55,495 $ 33,473 $ 33,407 $ 34,463 $ 16,556 $ 15,130 $ 12,821 $ 19,976 $ 18,243 $ 15,671 Insurance Holdings Financial Services Other, Treasury and Corporate (1) Total BB&T Corporation 2016 2015 2014 2016 2015 2014 2016 2015 2014 2016 2015 2014 (Dollars in millions) Net interest income (expense) $ 3 $ 2 $ 2 $ 260 $ 219 $ 187 $ 827 $ 687 $ 567 $ 6,321 $ 5,592 $ 5,374 Net intersegment interest income (expense) 4 6 6 372 314 263 (623 ) (298 ) (107 ) — — — Segment net interest income 7 8 8 632 533 450 204 389 460 6,321 5,592 5,374 Allocated provision for credit losses — — — 126 66 26 (1 ) (10 ) (64 ) 572 428 251 Noninterest income 1,726 1,608 1,663 888 850 780 (12 ) (220 ) (305 ) 4,472 4,019 3,856 Intersegment net referral fees (expense) — — — 23 22 15 (177 ) (159 ) (137 ) — — — Noninterest expense 1,312 1,190 1,189 753 683 637 2,104 2,046 1,685 6,571 6,161 5,761 Amortization of intangibles 60 47 53 5 3 2 6 12 2 150 105 91 Allocated corporate expenses 111 99 86 151 136 128 (1,832 ) (1,654 ) (1,602 ) — — — Income (loss) before income taxes 250 280 343 508 517 452 (262 ) (384 ) (3 ) 3,500 2,917 3,127 Provision (benefit) for income taxes 96 98 110 190 195 170 (294 ) (391 ) (182 ) 1,058 794 921 Segment net income (loss) $ 154 $ 182 $ 233 $ 318 $ 322 $ 282 $ 32 $ 7 $ 179 $ 2,442 $ 2,123 $ 2,206 Identifiable assets (period end) $ 3,463 $ 2,804 $ 2,965 $ 17,451 $ 16,650 $ 12,887 $ 54,717 $ 55,463 $ 52,532 $ 219,276 $ 209,947 $ 186,834 __________________ (1) Includes financial data from subsidiaries below the quantitative and qualitative thresholds requiring disclosure. |
Summary of Significant Accoun48
Summary of Significant Accounting Policies (Details) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | 12 Months Ended |
Dec. 31, 2015 | Sep. 30, 2015 | Dec. 31, 2016 | |
Loans and Leases Receivable Disclosure [Line Items] | |||
Threshold period for past due classification of loans and leases receivable | 30 days | ||
Other Lending Subsidiaries | |||
Loans and Leases Receivable Disclosure [Line Items] | |||
Threshold period for nonaccrual status classification of loans | 90 days | ||
Residential Mortgage | Nonperforming | |||
Loans and Leases Receivable Disclosure [Line Items] | |||
Threshold period for charge-offs of TDRs | 120 days | ||
Residential Mortgage | Nonperforming | Secured by 1-4 Family Properties | |||
Loans and Leases Receivable Disclosure [Line Items] | |||
Threshold period past due for charge down of loans | 120 days | ||
Direct Retail and Residential Mortgage | |||
Loans and Leases Receivable Disclosure [Line Items] | |||
Threshold period for nonaccrual status classification of loans | 120 days | 180 days | |
Revolving Credit | |||
Loans and Leases Receivable Disclosure [Line Items] | |||
Threshold period past due for charge down of loans | 180 days | ||
Commercial Bank Cards | |||
Loans and Leases Receivable Disclosure [Line Items] | |||
Threshold period past due for charge down of loans | 90 days | ||
Commercial | |||
Loans and Leases Receivable Disclosure [Line Items] | |||
Threshold period for nonaccrual status classification of loans | 90 days | ||
Threshold amount for annual risk ratings review (or more) | $ 1 | ||
Threshold amount to be subjected to automated loan review system that produces a score for evaluating reserves (less than) | 1 | ||
Threshold amount to establish a reserve on nonaccrual loans (or more) | $ 3 | ||
Minimum | Direct Retail, Mortgage and Sales Finance Loans | |||
Loans and Leases Receivable Disclosure [Line Items] | |||
Threshold period for nonaccrual status classification of loans | 90 days | ||
Minimum | Other Retail Loans | Not Secured by 1-4 Family Properties | |||
Loans and Leases Receivable Disclosure [Line Items] | |||
Threshold period past due for charge down of loans | 90 days | ||
Minimum | Commercial | |||
Loans and Leases Receivable Disclosure [Line Items] | |||
Threshold amount to establish a reserve on collateral dependent loans based upon the underlying collateral value, net of costs to sell | $ 1 | ||
Minimum | Commercial | Nonperforming | |||
Loans and Leases Receivable Disclosure [Line Items] | |||
Historical payment performance period for loans to be classified to accrual status from TDR | 6 months | ||
Minimum | Retail | Nonperforming | |||
Loans and Leases Receivable Disclosure [Line Items] | |||
Historical payment performance period for loans to be classified to accrual status from TDR | 6 months | ||
Maximum | |||
Loans and Leases Receivable Disclosure [Line Items] | |||
Collateral on impaired loans and foreclosed properties, valuation period | 6 months | ||
Maximum | Direct Retail, Mortgage and Sales Finance Loans | |||
Loans and Leases Receivable Disclosure [Line Items] | |||
Threshold period for nonaccrual status classification of loans | 120 days | ||
Maximum | Other Retail Loans | Not Secured by 1-4 Family Properties | |||
Loans and Leases Receivable Disclosure [Line Items] | |||
Threshold period past due for charge down of loans | 120 days | ||
Maximum | Commercial | |||
Loans and Leases Receivable Disclosure [Line Items] | |||
Threshold amount to establish a reserve on collateral dependent loans based upon the underlying collateral value, net of costs to sell | $ 3 |
Acquisitions and Divestitures49
Acquisitions and Divestitures (Narrative) (Details) $ in Millions | Apr. 01, 2016USD ($)branch | Sep. 30, 2015USD ($)branch | Jun. 30, 2015USD ($)branch | Mar. 31, 2015USD ($)branch |
National Penn | ||||
Business Acquisition [Line Items] | ||||
Cash paid for acquisition of business | $ 555 | |||
Assets | 10,069 | |||
Deposits | $ 6,629 | |||
National Penn | CDI | ||||
Business Acquisition [Line Items] | ||||
Amortization period | 10 years | |||
National Penn | Pennsylvania, Maryland and New Jersey | ||||
Business Acquisition [Line Items] | ||||
Number of financial centers | branch | 126 | |||
Swett & Crawford | ||||
Business Acquisition [Line Items] | ||||
Cash paid for acquisition of business | $ 461 | |||
Susquehanna | ||||
Business Acquisition [Line Items] | ||||
Assets | $ 18,300 | |||
Deposits | $ 14,100 | |||
Susquehanna | Pennsylvania, Maryland, New Jersey and West Virginia | ||||
Business Acquisition [Line Items] | ||||
Number of financial centers | branch | 245 | |||
The Bank of Kentucky | ||||
Business Acquisition [Line Items] | ||||
Assets | $ 2,000 | |||
Deposits | $ 1,600 | |||
Number of financial centers | branch | 32 | |||
Citi 41 Branches | ||||
Business Acquisition [Line Items] | ||||
Assets | $ 238 | |||
Deposits | $ 1,900 | |||
Citi 41 Branches | Texas | ||||
Business Acquisition [Line Items] | ||||
Number of financial centers | branch | 41 |
Acquisitions and Divestitures50
Acquisitions and Divestitures (Purchase Price Allocations) (Details) - National Penn $ in Millions | Apr. 01, 2016USD ($) |
Business Acquisition [Line Items] | |
UPB | $ 6,804 |
Assets acquired: | |
Cash, due from banks and federal funds sold | 216 |
Securities | 2,499 |
Loans and leases | 5,989 |
Goodwill | 795 |
CDI | 67 |
Other assets | 503 |
Total assets acquired | 10,069 |
Liabilities assumed: | |
Noninterest-bearing deposits | 1,209 |
Interest-bearing deposits | 5,420 |
Total deposits | 6,629 |
Debt | 1,756 |
Other liabilities | 66 |
Total liabilities assumed | 8,451 |
Consideration paid | 1,618 |
Cash paid | 555 |
Fair value of common stock issued, including replacement equity awards | 1,063 |
Commercial and industrial | |
Business Acquisition [Line Items] | |
UPB | 2,817 |
Assets acquired: | |
Loans and leases | 2,596 |
CRE-income producing properties | |
Business Acquisition [Line Items] | |
UPB | 1,450 |
Assets acquired: | |
Loans and leases | 1,202 |
CRE-construction and development | |
Business Acquisition [Line Items] | |
UPB | 165 |
Assets acquired: | |
Loans and leases | 127 |
Direct retail lending | |
Business Acquisition [Line Items] | |
UPB | 801 |
Assets acquired: | |
Loans and leases | 767 |
Revolving credit | |
Business Acquisition [Line Items] | |
UPB | 7 |
Assets acquired: | |
Loans and leases | 7 |
Residential mortgage | |
Business Acquisition [Line Items] | |
UPB | 1,217 |
Assets acquired: | |
Loans and leases | 1,004 |
Sales finance | |
Business Acquisition [Line Items] | |
UPB | 166 |
Assets acquired: | |
Loans and leases | 162 |
PCI | |
Business Acquisition [Line Items] | |
UPB | 181 |
Assets acquired: | |
Loans and leases | $ 124 |
Securities (Narrative) (Details
Securities (Narrative) (Details) $ in Millions | 12 Months Ended | ||
Dec. 31, 2016USD ($)security | Dec. 31, 2015USD ($) | Dec. 31, 2014USD ($) | |
Schedule of Available-for-sale Securities [Line Items] | |||
Transfer of HTM securities to AFS | $ 0 | $ 517 | $ 0 |
FNMA investments | |||
Schedule of Available-for-sale Securities [Line Items] | |||
Securities, amortized cost | 13,900 | ||
Securities, fair value | 13,600 | ||
FHLMC investments | |||
Schedule of Available-for-sale Securities [Line Items] | |||
Securities, amortized cost | 7,800 | ||
Securities, fair value | $ 7,600 | ||
Non-agency MBS | |||
Schedule of Available-for-sale Securities [Line Items] | |||
Number of securities with other than temporary credit impairment | security | 0 |
Securities (Amortized Cost, Gro
Securities (Amortized Cost, Gross Unrealized Gains, Gross Unrealized Losses and Approximate Fair Values of Securities) (Details) - USD ($) $ in Millions | Dec. 31, 2016 | Dec. 31, 2015 |
AFS securities: | ||
Amortized Cost | $ 27,333 | $ 25,349 |
Gross Unrealized Gains | 304 | 433 |
Gross Unrealized Losses | 711 | 485 |
Fair Value | 26,926 | 25,297 |
HTM securities: | ||
Amortized Cost | 16,680 | 18,530 |
Gross Unrealized Gains | 76 | 110 |
Gross Unrealized Losses | 210 | 121 |
Fair Value | 16,546 | 18,519 |
U.S. Treasury | ||
AFS securities: | ||
Amortized Cost | 2,669 | 1,836 |
Gross Unrealized Gains | 2 | 2 |
Gross Unrealized Losses | 84 | 6 |
Fair Value | 2,587 | 1,832 |
HTM securities: | ||
Amortized Cost | 1,098 | 1,097 |
Gross Unrealized Gains | 20 | 22 |
Gross Unrealized Losses | 0 | 0 |
Fair Value | 1,118 | 1,119 |
GSE | ||
AFS securities: | ||
Amortized Cost | 190 | 51 |
Gross Unrealized Gains | 0 | 0 |
Gross Unrealized Losses | 10 | 0 |
Fair Value | 180 | 51 |
HTM securities: | ||
Amortized Cost | 2,197 | 5,045 |
Gross Unrealized Gains | 14 | 16 |
Gross Unrealized Losses | 30 | 98 |
Fair Value | 2,181 | 4,963 |
Agency MBS | ||
AFS securities: | ||
Amortized Cost | 21,819 | 20,463 |
Gross Unrealized Gains | 13 | 22 |
Gross Unrealized Losses | 568 | 439 |
Fair Value | 21,264 | 20,046 |
HTM securities: | ||
Amortized Cost | 13,225 | 12,267 |
Gross Unrealized Gains | 40 | 70 |
Gross Unrealized Losses | 180 | 22 |
Fair Value | 13,085 | 12,315 |
States and political subdivisions | ||
AFS securities: | ||
Amortized Cost | 2,198 | 2,312 |
Gross Unrealized Gains | 56 | 103 |
Gross Unrealized Losses | 49 | 40 |
Fair Value | 2,205 | 2,375 |
HTM securities: | ||
Amortized Cost | 110 | 63 |
Gross Unrealized Gains | 0 | 0 |
Gross Unrealized Losses | 0 | 0 |
Fair Value | 110 | 63 |
Non-agency MBS | ||
AFS securities: | ||
Amortized Cost | 446 | 683 |
Gross Unrealized Gains | 233 | 306 |
Gross Unrealized Losses | 0 | 0 |
Fair Value | 679 | 989 |
Other | ||
AFS securities: | ||
Amortized Cost | 11 | 4 |
Gross Unrealized Gains | 0 | 0 |
Gross Unrealized Losses | 0 | 0 |
Fair Value | 11 | 4 |
HTM securities: | ||
Amortized Cost | 50 | 58 |
Gross Unrealized Gains | 2 | 2 |
Gross Unrealized Losses | 0 | 1 |
Fair Value | $ 52 | $ 59 |
Securities (Schedule of Credit
Securities (Schedule of Credit Losses on Securities with OTTI, Excluding Securities Acquired from the FDIC, Where a Portion of the Unrealized Loss was Recognized in OCI (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Other than Temporary Impairment, Credit Losses Recognized in Earnings [Roll Forward] | |||
Balance at beginning of period | $ 42 | $ 64 | $ 78 |
Credit losses on securities without previous OTTI | 0 | 0 | 6 |
Credit losses on securities for which OTTI was previously recognized | 0 | 4 | 0 |
Reductions for securities sold/settled during the period | (21) | (22) | (17) |
Credit recoveries through yield | (1) | (4) | (3) |
Included as a result of loss share termination | 1 | 0 | 0 |
Balance at end of period | $ 21 | $ 42 | $ 64 |
Securities (Amortized Cost and
Securities (Amortized Cost and Estimated Fair Value of Debt Securities by Contractual Maturity) (Details) - USD ($) $ in Millions | Dec. 31, 2016 | Dec. 31, 2015 |
AFS, Amortized Cost | ||
Due in one year or less | $ 275 | |
Due after one year through five years | 1,013 | |
Due after five years through ten years | 2,670 | |
Due after ten years | 23,375 | |
Total debt securities | 27,333 | |
AFS, Fair Value | ||
Due in one year or less | 275 | |
Due after one year through five years | 1,018 | |
Due after five years through ten years | 2,580 | |
Due after ten years | 23,053 | |
Total debt securities | 26,926 | |
HTM, Amortized Cost | ||
Due in one year or less | 0 | |
Due after one year through five years | 1,683 | |
Due after five years through ten years | 1,688 | |
Due after ten years | 13,309 | |
Amortized Cost | 16,680 | $ 18,530 |
HTM, Fair Value | ||
Due in one year or less | 0 | |
Due after one year through five years | 1,703 | |
Due after five years through ten years | 1,672 | |
Due after ten years | 13,171 | |
Total debt securities | $ 16,546 | $ 18,519 |
Securities (Gross Unrealized Lo
Securities (Gross Unrealized Losses and Fair Values of Investments by Investment Category and Length of Time) (Details) - USD ($) $ in Millions | Dec. 31, 2016 | Dec. 31, 2015 |
AFS securities, Fair Value | ||
Less than 12 months | $ 17,401 | $ 13,327 |
12 months or more | 5,452 | 5,905 |
Total | 22,853 | 19,232 |
AFS securities, Unrealized Losses | ||
Less than 12 months | 443 | 206 |
12 months or more | 268 | 279 |
Total | 711 | 485 |
HTM securities, Fair Value | ||
Less than 12 months | 9,479 | 6,355 |
12 months or more | 305 | 1,867 |
Total | 9,784 | 8,222 |
HTM securities, Unrealized Losses | ||
Less than 12 months | 208 | 63 |
12 months or more | 2 | 58 |
Total | 210 | 121 |
U.S. Treasury | ||
AFS securities, Fair Value | ||
Less than 12 months | 2,014 | 1,211 |
12 months or more | 0 | 0 |
Total | 2,014 | 1,211 |
AFS securities, Unrealized Losses | ||
Less than 12 months | 84 | 6 |
12 months or more | 0 | 0 |
Total | 84 | 6 |
GSE | ||
AFS securities, Fair Value | ||
Less than 12 months | 180 | |
12 months or more | 0 | |
Total | 180 | |
AFS securities, Unrealized Losses | ||
Less than 12 months | 10 | |
12 months or more | 0 | |
Total | 10 | |
HTM securities, Fair Value | ||
Less than 12 months | 1,762 | 2,307 |
12 months or more | 0 | 1,743 |
Total | 1,762 | 4,050 |
HTM securities, Unrealized Losses | ||
Less than 12 months | 30 | 41 |
12 months or more | 0 | 57 |
Total | 30 | 98 |
Agency MBS | ||
AFS securities, Fair Value | ||
Less than 12 months | 14,842 | 12,052 |
12 months or more | 5,138 | 5,576 |
Total | 19,980 | 17,628 |
AFS securities, Unrealized Losses | ||
Less than 12 months | 342 | 199 |
12 months or more | 226 | 240 |
Total | 568 | 439 |
HTM securities, Fair Value | ||
Less than 12 months | 7,717 | 3,992 |
12 months or more | 305 | 124 |
Total | 8,022 | 4,116 |
HTM securities, Unrealized Losses | ||
Less than 12 months | 178 | 21 |
12 months or more | 2 | 1 |
Total | 180 | 22 |
States and political subdivisions | ||
AFS securities, Fair Value | ||
Less than 12 months | 365 | 64 |
12 months or more | 314 | 329 |
Total | 679 | 393 |
AFS securities, Unrealized Losses | ||
Less than 12 months | 7 | 1 |
12 months or more | 42 | 39 |
Total | $ 49 | 40 |
Other | ||
HTM securities, Fair Value | ||
Less than 12 months | 56 | |
12 months or more | 0 | |
Total | 56 | |
HTM securities, Unrealized Losses | ||
Less than 12 months | 1 | |
12 months or more | 0 | |
Total | $ 1 |
Loans and ACL (Narrative) (Deta
Loans and ACL (Narrative) (Details) - USD ($) $ in Millions | 3 Months Ended | 12 Months Ended | ||||||
Dec. 31, 2016 | Sep. 30, 2016 | Dec. 31, 2014 | Sep. 30, 2014 | Mar. 31, 2014 | Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Financing Receivable [Line Items] | ||||||||
Modifications that defaulted during the period that had been classified as a TDR during the previous 12 months | $ 73 | $ 81 | $ 78 | |||||
Retail | Sales finance | ||||||||
Financing Receivable [Line Items] | ||||||||
Purchased loan portfolio | $ 1,900 | $ 1,000 | ||||||
Retail | Residential mortgage-nonguaranteed | ||||||||
Financing Receivable [Line Items] | ||||||||
Loans transferred | $ 8,300 | |||||||
Loans sold | $ 140 | $ 550 | ||||||
Allowance for loan and lease losses, loans sold | 19 | 57 | ||||||
Gain on sale of residential mortgage loans | $ 24 | $ 42 | ||||||
Retail | Direct retail lending | ||||||||
Financing Receivable [Line Items] | ||||||||
Loans transferred | $ (8,300) |
Loans and ACL (Aging Analysis o
Loans and ACL (Aging Analysis of Past Due Loans and Leases) (Details) - USD ($) $ in Millions | Dec. 31, 2016 | Dec. 31, 2015 |
Financing Receivable [Line Items] | ||
Current | $ 140,873 | $ 133,667 |
30-89 Days Past Due | 1,077 | 1,031 |
90 Days Or More Past Due | 636 | 677 |
Nonaccrual | 736 | 576 |
Total | 143,322 | 135,951 |
Commercial | Commercial and industrial | ||
Financing Receivable [Line Items] | ||
Current | 51,329 | 48,157 |
30-89 Days Past Due | 27 | 36 |
90 Days Or More Past Due | 0 | 0 |
Nonaccrual | 363 | 237 |
Total | 51,719 | 48,430 |
Commercial | CRE-income producing properties | ||
Financing Receivable [Line Items] | ||
Current | 14,492 | 13,370 |
30-89 Days Past Due | 6 | 13 |
90 Days Or More Past Due | 0 | 0 |
Nonaccrual | 40 | 38 |
Total | 14,538 | 13,421 |
Commercial | CRE-construction and development | ||
Financing Receivable [Line Items] | ||
Current | 3,800 | 3,710 |
30-89 Days Past Due | 2 | 9 |
90 Days Or More Past Due | 0 | 0 |
Nonaccrual | 17 | 13 |
Total | 3,819 | 3,732 |
Commercial | Dealer floor plan | ||
Financing Receivable [Line Items] | ||
Current | 1,413 | 1,215 |
30-89 Days Past Due | 0 | 0 |
90 Days Or More Past Due | 0 | 0 |
Nonaccrual | 0 | 0 |
Total | 1,413 | 1,215 |
Commercial | Other lending subsidiaries | ||
Financing Receivable [Line Items] | ||
Current | 7,660 | 6,771 |
30-89 Days Past Due | 21 | 18 |
90 Days Or More Past Due | 0 | 0 |
Nonaccrual | 10 | 6 |
Total | 7,691 | 6,795 |
Retail | Direct retail lending | ||
Financing Receivable [Line Items] | ||
Current | 11,963 | 11,032 |
30-89 Days Past Due | 60 | 58 |
90 Days Or More Past Due | 6 | 7 |
Nonaccrual | 63 | 43 |
Total | 12,092 | 11,140 |
Retail | Revolving credit | ||
Financing Receivable [Line Items] | ||
Current | 2,620 | 2,478 |
30-89 Days Past Due | 23 | 22 |
90 Days Or More Past Due | 12 | 10 |
Nonaccrual | 0 | 0 |
Total | 2,655 | 2,510 |
Retail | Residential mortgage-nonguaranteed | ||
Financing Receivable [Line Items] | ||
Current | 28,378 | 29,038 |
30-89 Days Past Due | 393 | 397 |
90 Days Or More Past Due | 79 | 55 |
Nonaccrual | 172 | 173 |
Total | 29,022 | 29,663 |
Retail | Residential mortgage-government guaranteed | ||
Financing Receivable [Line Items] | ||
Current | 324 | 306 |
30-89 Days Past Due | 132 | 78 |
90 Days Or More Past Due | 443 | 486 |
Nonaccrual | 0 | 0 |
Total | 899 | 870 |
Retail | Sales finance | ||
Financing Receivable [Line Items] | ||
Current | 11,179 | 10,243 |
30-89 Days Past Due | 76 | 72 |
90 Days Or More Past Due | 6 | 5 |
Nonaccrual | 6 | 7 |
Total | 11,267 | 10,327 |
Retail | Other lending subsidiaries | ||
Financing Receivable [Line Items] | ||
Current | 6,931 | 6,381 |
30-89 Days Past Due | 301 | 286 |
90 Days Or More Past Due | 0 | 0 |
Nonaccrual | 65 | 59 |
Total | 7,297 | 6,726 |
PCI | ||
Financing Receivable [Line Items] | ||
Current | 784 | 966 |
30-89 Days Past Due | 36 | 42 |
90 Days Or More Past Due | 90 | 114 |
Nonaccrual | 0 | 0 |
Total | $ 910 | $ 1,122 |
Loans and ACL (Commercial Credi
Loans and ACL (Commercial Credit Exposure Credit Risk Profile by Internal Loan Risk Rating) (Details) - USD ($) $ in Millions | Dec. 31, 2016 | Dec. 31, 2015 |
Financing Receivable [Line Items] | ||
Loans and leases | $ 143,322 | $ 135,951 |
Commercial | Commercial & Industrial | ||
Financing Receivable [Line Items] | ||
Loans and leases | 51,719 | 48,430 |
Commercial | Commercial & Industrial | Pass | ||
Financing Receivable [Line Items] | ||
Loans and leases | 49,921 | 46,760 |
Commercial | Commercial & Industrial | Special mention | ||
Financing Receivable [Line Items] | ||
Loans and leases | 314 | 305 |
Commercial | Commercial & Industrial | Substandard-performing | ||
Financing Receivable [Line Items] | ||
Loans and leases | 1,121 | 1,128 |
Commercial | Commercial & Industrial | Nonperforming | ||
Financing Receivable [Line Items] | ||
Loans and leases | 363 | 237 |
Commercial | CRE-Income Producing Properties | ||
Financing Receivable [Line Items] | ||
Loans and leases | 14,538 | 13,421 |
Commercial | CRE-Income Producing Properties | Pass | ||
Financing Receivable [Line Items] | ||
Loans and leases | 14,061 | 12,940 |
Commercial | CRE-Income Producing Properties | Special mention | ||
Financing Receivable [Line Items] | ||
Loans and leases | 124 | 166 |
Commercial | CRE-Income Producing Properties | Substandard-performing | ||
Financing Receivable [Line Items] | ||
Loans and leases | 313 | 277 |
Commercial | CRE-Income Producing Properties | Nonperforming | ||
Financing Receivable [Line Items] | ||
Loans and leases | 40 | 38 |
Commercial | CRE-Construction and Development | ||
Financing Receivable [Line Items] | ||
Loans and leases | 3,819 | 3,732 |
Commercial | CRE-Construction and Development | Pass | ||
Financing Receivable [Line Items] | ||
Loans and leases | 3,718 | 3,619 |
Commercial | CRE-Construction and Development | Special mention | ||
Financing Receivable [Line Items] | ||
Loans and leases | 38 | 29 |
Commercial | CRE-Construction and Development | Substandard-performing | ||
Financing Receivable [Line Items] | ||
Loans and leases | 46 | 71 |
Commercial | CRE-Construction and Development | Nonperforming | ||
Financing Receivable [Line Items] | ||
Loans and leases | 17 | 13 |
Commercial | Dealer Floor Plan | ||
Financing Receivable [Line Items] | ||
Loans and leases | 1,413 | 1,215 |
Commercial | Dealer Floor Plan | Pass | ||
Financing Receivable [Line Items] | ||
Loans and leases | 1,404 | 1,195 |
Commercial | Dealer Floor Plan | Special mention | ||
Financing Receivable [Line Items] | ||
Loans and leases | 0 | 6 |
Commercial | Dealer Floor Plan | Substandard-performing | ||
Financing Receivable [Line Items] | ||
Loans and leases | 9 | 14 |
Commercial | Dealer Floor Plan | Nonperforming | ||
Financing Receivable [Line Items] | ||
Loans and leases | 0 | 0 |
Commercial | Other Lending Subsidiaries | ||
Financing Receivable [Line Items] | ||
Loans and leases | 7,691 | 6,795 |
Commercial | Other Lending Subsidiaries | Pass | ||
Financing Receivable [Line Items] | ||
Loans and leases | 7,604 | 6,757 |
Commercial | Other Lending Subsidiaries | Special mention | ||
Financing Receivable [Line Items] | ||
Loans and leases | 33 | 3 |
Commercial | Other Lending Subsidiaries | Substandard-performing | ||
Financing Receivable [Line Items] | ||
Loans and leases | 44 | 29 |
Commercial | Other Lending Subsidiaries | Nonperforming | ||
Financing Receivable [Line Items] | ||
Loans and leases | $ 10 | $ 6 |
Loans and ACL (Schedule of Reta
Loans and ACL (Schedule of Retail Credit Exposure, Credit Risk Profile Based on Payment Activity) (Details) - USD ($) $ in Millions | Dec. 31, 2016 | Dec. 31, 2015 |
Financing Receivable [Line Items] | ||
Loans and leases | $ 143,322 | $ 135,951 |
Retail | Direct Retail Lending | ||
Financing Receivable [Line Items] | ||
Loans and leases | 12,092 | 11,140 |
Retail | Direct Retail Lending | Performing | ||
Financing Receivable [Line Items] | ||
Loans and leases | 12,029 | 11,097 |
Retail | Direct Retail Lending | Nonperforming | ||
Financing Receivable [Line Items] | ||
Loans and leases | 63 | 43 |
Retail | Revolving Credit | ||
Financing Receivable [Line Items] | ||
Loans and leases | 2,655 | 2,510 |
Retail | Revolving Credit | Performing | ||
Financing Receivable [Line Items] | ||
Loans and leases | 2,655 | 2,510 |
Retail | Revolving Credit | Nonperforming | ||
Financing Receivable [Line Items] | ||
Loans and leases | 0 | 0 |
Retail | Residential Mortgage | ||
Financing Receivable [Line Items] | ||
Loans and leases | 29,921 | 30,533 |
Retail | Residential Mortgage | Performing | ||
Financing Receivable [Line Items] | ||
Loans and leases | 29,749 | 30,360 |
Retail | Residential Mortgage | Nonperforming | ||
Financing Receivable [Line Items] | ||
Loans and leases | 172 | 173 |
Retail | Sales Finance | ||
Financing Receivable [Line Items] | ||
Loans and leases | 11,267 | 10,327 |
Retail | Sales Finance | Performing | ||
Financing Receivable [Line Items] | ||
Loans and leases | 11,261 | 10,320 |
Retail | Sales Finance | Nonperforming | ||
Financing Receivable [Line Items] | ||
Loans and leases | 6 | 7 |
Retail | Other Lending Subsidiaries | ||
Financing Receivable [Line Items] | ||
Loans and leases | 7,297 | 6,726 |
Retail | Other Lending Subsidiaries | Performing | ||
Financing Receivable [Line Items] | ||
Loans and leases | 7,232 | 6,667 |
Retail | Other Lending Subsidiaries | Nonperforming | ||
Financing Receivable [Line Items] | ||
Loans and leases | $ 65 | $ 59 |
Loans and ACL (Analysis of the
Loans and ACL (Analysis of the Allowance for Credit Losses) (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Financing Receivable, Allowance for Credit Losses [Roll Forward] | |||
Provision (Benefit) | $ 572 | $ 428 | $ 251 |
Commercial | Commercial and industrial | |||
Financing Receivable, Allowance for Credit Losses [Roll Forward] | |||
Beginning Balance | 466 | 421 | 454 |
Charge-Offs | (128) | (81) | (131) |
Recoveries | 40 | 37 | 42 |
Provision (Benefit) | 122 | 89 | 56 |
Other | 0 | 0 | 0 |
Ending Balance | 500 | 466 | 421 |
Commercial | CRE-income producing properties | |||
Financing Receivable, Allowance for Credit Losses [Roll Forward] | |||
Beginning Balance | 135 | 162 | 149 |
Charge-Offs | (8) | (20) | (31) |
Recoveries | 8 | 7 | 14 |
Provision (Benefit) | (18) | (14) | 30 |
Other | 0 | 0 | 0 |
Ending Balance | 117 | 135 | 162 |
Commercial | CRE-construction and development | |||
Financing Receivable, Allowance for Credit Losses [Roll Forward] | |||
Beginning Balance | 37 | 48 | 76 |
Charge-Offs | (1) | (4) | (11) |
Recoveries | 11 | 11 | 19 |
Provision (Benefit) | (22) | (18) | (36) |
Other | 0 | 0 | 0 |
Ending Balance | 25 | 37 | 48 |
Commercial | Dealer floor plan | |||
Financing Receivable, Allowance for Credit Losses [Roll Forward] | |||
Beginning Balance | 8 | 10 | 8 |
Charge-Offs | 0 | 0 | 0 |
Recoveries | 0 | 0 | 0 |
Provision (Benefit) | 3 | (2) | 2 |
Other | 0 | 0 | 0 |
Ending Balance | 11 | 8 | 10 |
Commercial | Other lending subsidiaries | |||
Financing Receivable, Allowance for Credit Losses [Roll Forward] | |||
Beginning Balance | 22 | 21 | 15 |
Charge-Offs | (22) | (9) | (8) |
Recoveries | 6 | 3 | 3 |
Provision (Benefit) | 23 | 7 | 11 |
Other | 0 | 0 | 0 |
Ending Balance | 29 | 22 | 21 |
Retail | Direct retail lending | |||
Financing Receivable, Allowance for Credit Losses [Roll Forward] | |||
Beginning Balance | 105 | 110 | 209 |
Charge-Offs | (53) | (54) | (69) |
Recoveries | 26 | 29 | 29 |
Provision (Benefit) | 25 | 20 | 26 |
Other | 0 | 0 | (85) |
Ending Balance | 103 | 105 | 110 |
Retail | Revolving credit | |||
Financing Receivable, Allowance for Credit Losses [Roll Forward] | |||
Beginning Balance | 104 | 110 | 115 |
Charge-Offs | (69) | (70) | (71) |
Recoveries | 20 | 20 | 19 |
Provision (Benefit) | 51 | 44 | 47 |
Other | 0 | 0 | 0 |
Ending Balance | 106 | 104 | 110 |
Retail | Residential mortgage-nonguaranteed | |||
Financing Receivable, Allowance for Credit Losses [Roll Forward] | |||
Beginning Balance | 194 | 217 | 269 |
Charge-Offs | (35) | (40) | (82) |
Recoveries | 3 | 3 | 7 |
Provision (Benefit) | 24 | 14 | (62) |
Other | 0 | 0 | 85 |
Ending Balance | 186 | 194 | 217 |
Retail | Residential mortgage-government guaranteed | |||
Financing Receivable, Allowance for Credit Losses [Roll Forward] | |||
Beginning Balance | 23 | 36 | 62 |
Charge-Offs | (5) | (6) | (2) |
Recoveries | 0 | 0 | 0 |
Provision (Benefit) | 23 | (7) | (24) |
Other | 0 | 0 | 0 |
Ending Balance | 41 | 23 | 36 |
Retail | Sales finance | |||
Financing Receivable, Allowance for Credit Losses [Roll Forward] | |||
Beginning Balance | 40 | 40 | 37 |
Charge-Offs | (29) | (26) | (23) |
Recoveries | 12 | 9 | 9 |
Provision (Benefit) | 15 | 17 | 17 |
Other | 0 | 0 | 0 |
Ending Balance | 38 | 40 | 40 |
Retail | Other lending subsidiaries | |||
Financing Receivable, Allowance for Credit Losses [Roll Forward] | |||
Beginning Balance | 265 | 235 | 224 |
Charge-Offs | (336) | (277) | (261) |
Recoveries | 43 | 33 | 30 |
Provision (Benefit) | 317 | 274 | 242 |
Other | 0 | 0 | 0 |
Ending Balance | 289 | 265 | 235 |
PCI | |||
Financing Receivable, Allowance for Credit Losses [Roll Forward] | |||
Beginning Balance | 61 | 64 | 114 |
Charge-Offs | (15) | (1) | (21) |
Recoveries | 0 | 0 | 0 |
Provision (Benefit) | (2) | (2) | (29) |
Other | 0 | 0 | 0 |
Ending Balance | 44 | 61 | 64 |
ALLL | |||
Financing Receivable, Allowance for Credit Losses [Roll Forward] | |||
Beginning Balance | 1,460 | 1,474 | 1,732 |
Charge-Offs | (701) | (588) | (710) |
Recoveries | 169 | 152 | 172 |
Provision (Benefit) | 561 | 422 | 280 |
Other | 0 | 0 | 0 |
Ending Balance | 1,489 | 1,460 | 1,474 |
RUFC | |||
Financing Receivable, Allowance for Credit Losses [Roll Forward] | |||
Beginning Balance | 90 | 60 | 89 |
Charge-Offs | 0 | 0 | 0 |
Recoveries | 0 | 0 | 0 |
Provision (Benefit) | 11 | 6 | (29) |
Other | 9 | 24 | 0 |
Ending Balance | 110 | 90 | 60 |
ACL | |||
Financing Receivable, Allowance for Credit Losses [Roll Forward] | |||
Beginning Balance | 1,550 | 1,534 | 1,821 |
Charge-Offs | (701) | (588) | (710) |
Recoveries | 169 | 152 | 172 |
Provision (Benefit) | 572 | 428 | 251 |
Other | 9 | 24 | 0 |
Ending Balance | $ 1,599 | $ 1,550 | $ 1,534 |
Loans and ACL (Summary of Loans
Loans and ACL (Summary of Loans Collectively Evaluated for Impairment) (Details) - USD ($) $ in Millions | Dec. 31, 2016 | Dec. 31, 2015 |
Financing Receivable [Line Items] | ||
Recorded Investment | $ 141,395 | $ 134,398 |
Related ALLL | 1,297 | 1,300 |
Commercial | Commercial and industrial | ||
Financing Receivable [Line Items] | ||
Recorded Investment | 51,253 | 48,110 |
Related ALLL | 463 | 439 |
Commercial | CRE-income producing properties | ||
Financing Receivable [Line Items] | ||
Recorded Investment | 14,455 | 13,339 |
Related ALLL | 112 | 127 |
Commercial | CRE-construction and development | ||
Financing Receivable [Line Items] | ||
Recorded Investment | 3,787 | 3,697 |
Related ALLL | 21 | 32 |
Commercial | Dealer floor plan | ||
Financing Receivable [Line Items] | ||
Recorded Investment | 1,413 | 1,215 |
Related ALLL | 11 | 8 |
Commercial | Other lending subsidiaries | ||
Financing Receivable [Line Items] | ||
Recorded Investment | 7,678 | 6,789 |
Related ALLL | 28 | 21 |
Retail | Direct retail lending | ||
Financing Receivable [Line Items] | ||
Recorded Investment | 12,011 | 11,055 |
Related ALLL | 93 | 93 |
Retail | Revolving credit | ||
Financing Receivable [Line Items] | ||
Recorded Investment | 2,626 | 2,477 |
Related ALLL | 95 | 91 |
Retail | Residential mortgage-nonguaranteed | ||
Financing Receivable [Line Items] | ||
Recorded Investment | 28,488 | 29,199 |
Related ALLL | 136 | 153 |
Retail | Residential mortgage-government guaranteed | ||
Financing Receivable [Line Items] | ||
Recorded Investment | 466 | 553 |
Related ALLL | 8 | 1 |
Retail | Sales finance | ||
Financing Receivable [Line Items] | ||
Recorded Investment | 11,251 | 10,308 |
Related ALLL | 37 | 39 |
Retail | Other lending subsidiaries | ||
Financing Receivable [Line Items] | ||
Recorded Investment | 7,057 | 6,534 |
Related ALLL | 249 | 235 |
PCI | ||
Financing Receivable [Line Items] | ||
Recorded Investment | 910 | 1,122 |
Related ALLL | $ 44 | $ 61 |
Loans and ACL (Schedule of Info
Loans and ACL (Schedule of Information Regarding Impaired Loans) (Details) - USD ($) $ in Millions | 12 Months Ended | |
Dec. 31, 2016 | Dec. 31, 2015 | |
With an ALLL recorded: | ||
Related ALLL | $ 192 | $ 160 |
Recorded Investment | 1,927 | 1,553 |
UPB | 2,057 | 1,698 |
Average Recorded Investment | 1,785 | 1,594 |
Interest Income Recognized | 82 | 77 |
Commercial | Commercial and industrial | ||
With no related ALLL recorded: | ||
Recorded Investment | 201 | 129 |
UPB | 225 | 164 |
Average Recorded Investment | 217 | 95 |
Interest Income Recognized | 1 | 1 |
With an ALLL recorded: | ||
Recorded Investment | 265 | 191 |
UPB | 269 | 194 |
Related ALLL | 37 | 27 |
Average Recorded Investment | 259 | 223 |
Interest Income Recognized | 5 | 5 |
Commercial | CRE-income producing properties | ||
With no related ALLL recorded: | ||
Recorded Investment | 25 | 8 |
UPB | 27 | 13 |
Average Recorded Investment | 16 | 17 |
Interest Income Recognized | 0 | 0 |
With an ALLL recorded: | ||
Recorded Investment | 58 | 74 |
UPB | 61 | 77 |
Related ALLL | 5 | 8 |
Average Recorded Investment | 68 | 96 |
Interest Income Recognized | 2 | 3 |
Commercial | CRE-construction and development | ||
With no related ALLL recorded: | ||
Recorded Investment | 10 | 8 |
UPB | 11 | 11 |
Average Recorded Investment | 8 | 10 |
Interest Income Recognized | 0 | 0 |
With an ALLL recorded: | ||
Recorded Investment | 22 | 27 |
UPB | 22 | 27 |
Related ALLL | 4 | 5 |
Average Recorded Investment | 22 | 36 |
Interest Income Recognized | 1 | 1 |
Commercial | Dealer floor plan | ||
With no related ALLL recorded: | ||
Recorded Investment | 0 | 0 |
UPB | 0 | 0 |
Average Recorded Investment | 0 | 2 |
Interest Income Recognized | 0 | 0 |
With an ALLL recorded: | ||
Recorded Investment | 0 | 0 |
UPB | 0 | 0 |
Related ALLL | 0 | 0 |
Average Recorded Investment | 0 | 1 |
Interest Income Recognized | 0 | 0 |
Commercial | Other lending subsidiaries | ||
With no related ALLL recorded: | ||
Recorded Investment | 4 | 2 |
UPB | 6 | 3 |
Average Recorded Investment | 6 | 0 |
Interest Income Recognized | 0 | 0 |
With an ALLL recorded: | ||
Recorded Investment | 9 | 4 |
UPB | 9 | 5 |
Related ALLL | 1 | 1 |
Average Recorded Investment | 5 | 6 |
Interest Income Recognized | 0 | 0 |
Retail | Direct retail lending | ||
With no related ALLL recorded: | ||
Recorded Investment | 13 | 11 |
UPB | 38 | 40 |
Average Recorded Investment | 12 | 12 |
Interest Income Recognized | 1 | 1 |
With an ALLL recorded: | ||
Recorded Investment | 68 | 74 |
UPB | 69 | 75 |
Related ALLL | 10 | 12 |
Average Recorded Investment | 71 | 79 |
Interest Income Recognized | 4 | 4 |
Retail | Revolving credit | ||
With an ALLL recorded: | ||
Recorded Investment | 29 | 33 |
UPB | 29 | 33 |
Related ALLL | 11 | 13 |
Average Recorded Investment | 31 | 36 |
Interest Income Recognized | 1 | 1 |
Retail | Residential mortgage-nonguaranteed | ||
With no related ALLL recorded: | ||
Recorded Investment | 94 | 103 |
UPB | 141 | 153 |
Average Recorded Investment | 97 | 99 |
Interest Income Recognized | 4 | 4 |
With an ALLL recorded: | ||
Recorded Investment | 440 | 361 |
UPB | 451 | 368 |
Related ALLL | 50 | 41 |
Average Recorded Investment | 383 | 354 |
Interest Income Recognized | 16 | 15 |
Retail | Residential mortgage-government guaranteed | ||
With no related ALLL recorded: | ||
Recorded Investment | 3 | 5 |
UPB | 3 | 5 |
Average Recorded Investment | 3 | 3 |
Interest Income Recognized | 0 | 0 |
With an ALLL recorded: | ||
Recorded Investment | 430 | 312 |
UPB | 431 | 312 |
Related ALLL | 33 | 22 |
Average Recorded Investment | 360 | 323 |
Interest Income Recognized | 14 | 13 |
Retail | Sales finance | ||
With no related ALLL recorded: | ||
Recorded Investment | 1 | 1 |
UPB | 2 | 2 |
Average Recorded Investment | 1 | 1 |
Interest Income Recognized | 0 | 0 |
With an ALLL recorded: | ||
Recorded Investment | 15 | 18 |
UPB | 15 | 18 |
Related ALLL | 1 | 1 |
Average Recorded Investment | 16 | 19 |
Interest Income Recognized | 1 | 1 |
Retail | Other lending subsidiaries | ||
With no related ALLL recorded: | ||
Recorded Investment | 4 | 4 |
UPB | 9 | 8 |
Average Recorded Investment | 4 | 3 |
Interest Income Recognized | 0 | 0 |
With an ALLL recorded: | ||
Recorded Investment | 236 | 188 |
UPB | 239 | 190 |
Related ALLL | 40 | 30 |
Average Recorded Investment | 206 | 179 |
Interest Income Recognized | $ 32 | $ 28 |
Loans and ACL (Summary of TDRs)
Loans and ACL (Summary of TDRs) (Details) - USD ($) $ in Millions | Dec. 31, 2016 | Dec. 31, 2015 |
Financing Receivable [Line Items] | ||
Total TDRs | $ 1,353 | $ 1,128 |
ALLL attributable to TDRs | 146 | 126 |
Performing TDRs | ||
Financing Receivable [Line Items] | ||
Total TDRs | 1,170 | 982 |
Nonperforming TDRs (also included in NPL disclosures) | ||
Financing Receivable [Line Items] | ||
Total TDRs | 183 | 146 |
Commercial | Performing TDRs | Commercial and industrial | ||
Financing Receivable [Line Items] | ||
Total TDRs | 55 | 49 |
Commercial | Performing TDRs | CRE-income producing properties | ||
Financing Receivable [Line Items] | ||
Total TDRs | 16 | 13 |
Commercial | Performing TDRs | CRE-construction and development | ||
Financing Receivable [Line Items] | ||
Total TDRs | 9 | 16 |
Retail | Performing TDRs | Direct retail lending | ||
Financing Receivable [Line Items] | ||
Total TDRs | 67 | 72 |
Retail | Performing TDRs | Revolving credit | ||
Financing Receivable [Line Items] | ||
Total TDRs | 29 | 33 |
Retail | Performing TDRs | Residential mortgage-nonguaranteed | ||
Financing Receivable [Line Items] | ||
Total TDRs | 332 | 288 |
Retail | Performing TDRs | Residential mortgage-government guaranteed | ||
Financing Receivable [Line Items] | ||
Total TDRs | 420 | 316 |
Retail | Performing TDRs | Sales finance | ||
Financing Receivable [Line Items] | ||
Total TDRs | 16 | 17 |
Retail | Performing TDRs | Other lending subsidiaries | ||
Financing Receivable [Line Items] | ||
Total TDRs | $ 226 | $ 178 |
Loans and ACL (Summary of the P
Loans and ACL (Summary of the Primary Reason Loan Modifications Were Classified as TDRs) (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Commercial | Commercial and industrial | |||
Financing Receivable, Modifications [Line Items] | |||
ALLL Impact | $ 3 | $ 2 | $ 4 |
Commercial | CRE-income producing properties | |||
Financing Receivable, Modifications [Line Items] | |||
ALLL Impact | 0 | 0 | 0 |
Commercial | CRE-construction and development | |||
Financing Receivable, Modifications [Line Items] | |||
ALLL Impact | 0 | 1 | 0 |
Commercial | Rate | Commercial and industrial | |||
Financing Receivable, Modifications [Line Items] | |||
TDRs | 112 | 99 | 112 |
Commercial | Rate | CRE-income producing properties | |||
Financing Receivable, Modifications [Line Items] | |||
TDRs | 21 | 9 | 18 |
Commercial | Rate | CRE-construction and development | |||
Financing Receivable, Modifications [Line Items] | |||
TDRs | 7 | 8 | 25 |
Commercial | Structure | Commercial and industrial | |||
Financing Receivable, Modifications [Line Items] | |||
TDRs | 128 | 45 | 48 |
Commercial | Structure | CRE-income producing properties | |||
Financing Receivable, Modifications [Line Items] | |||
TDRs | 17 | 15 | 18 |
Commercial | Structure | CRE-construction and development | |||
Financing Receivable, Modifications [Line Items] | |||
TDRs | 11 | 25 | 22 |
Retail | Direct retail lending | |||
Financing Receivable, Modifications [Line Items] | |||
ALLL Impact | 0 | 4 | 6 |
Retail | Revolving credit | |||
Financing Receivable, Modifications [Line Items] | |||
ALLL Impact | 4 | 4 | 4 |
Retail | Residential mortgage-nonguaranteed | |||
Financing Receivable, Modifications [Line Items] | |||
ALLL Impact | 10 | 9 | 16 |
Retail | Residential mortgage-government guaranteed | |||
Financing Receivable, Modifications [Line Items] | |||
ALLL Impact | 18 | 7 | 12 |
Retail | Sales finance | |||
Financing Receivable, Modifications [Line Items] | |||
ALLL Impact | 0 | 1 | 3 |
Retail | Other lending subsidiaries | |||
Financing Receivable, Modifications [Line Items] | |||
ALLL Impact | 21 | 17 | 17 |
Retail | Rate | Direct retail lending | |||
Financing Receivable, Modifications [Line Items] | |||
TDRs | 19 | 16 | 32 |
Retail | Rate | Revolving credit | |||
Financing Receivable, Modifications [Line Items] | |||
TDRs | 17 | 16 | 24 |
Retail | Rate | Residential mortgage-nonguaranteed | |||
Financing Receivable, Modifications [Line Items] | |||
TDRs | 129 | 88 | 127 |
Retail | Rate | Residential mortgage-government guaranteed | |||
Financing Receivable, Modifications [Line Items] | |||
TDRs | 335 | 189 | 282 |
Retail | Rate | Sales finance | |||
Financing Receivable, Modifications [Line Items] | |||
TDRs | 0 | 0 | 1 |
Retail | Rate | Other lending subsidiaries | |||
Financing Receivable, Modifications [Line Items] | |||
TDRs | 169 | 129 | 130 |
Retail | Structure | Direct retail lending | |||
Financing Receivable, Modifications [Line Items] | |||
TDRs | 1 | 4 | 4 |
Retail | Structure | Revolving credit | |||
Financing Receivable, Modifications [Line Items] | |||
TDRs | 0 | 0 | 0 |
Retail | Structure | Residential mortgage-nonguaranteed | |||
Financing Receivable, Modifications [Line Items] | |||
TDRs | 54 | 37 | 36 |
Retail | Structure | Residential mortgage-government guaranteed | |||
Financing Receivable, Modifications [Line Items] | |||
TDRs | 0 | 0 | 0 |
Retail | Structure | Sales finance | |||
Financing Receivable, Modifications [Line Items] | |||
TDRs | 7 | 10 | 14 |
Retail | Structure | Other lending subsidiaries | |||
Financing Receivable, Modifications [Line Items] | |||
TDRs | $ 0 | $ 0 | $ 0 |
Loans and ACL (Changes in Carry
Loans and ACL (Changes in Carrying Amount and Accretable Yield for PCI Loans) (Details) - USD ($) $ in Millions | 12 Months Ended | |
Dec. 31, 2016 | Dec. 31, 2015 | |
Purchased Impaired | ||
Accretable Yield | ||
Balance at beginning of period | $ 189 | $ 134 |
Additions | 36 | 98 |
Accretion | (134) | (89) |
Other, net | 162 | 46 |
Balance at end of period | 253 | 189 |
Carrying Value | ||
Balance at beginning of period | 700 | 579 |
Additions | 124 | 402 |
Accretion | 134 | 89 |
Payments received, net | (344) | (370) |
Balance at end of period | 614 | 700 |
Outstanding UPB at end of period | 910 | 1,063 |
Purchased Nonimpaired | ||
Accretable Yield | ||
Balance at beginning of period | 176 | 244 |
Additions | 0 | 0 |
Accretion | (73) | (89) |
Other, net | 52 | 21 |
Balance at end of period | 155 | 176 |
Carrying Value | ||
Balance at beginning of period | 422 | 636 |
Additions | 0 | 0 |
Accretion | 73 | 89 |
Payments received, net | (199) | (303) |
Balance at end of period | 296 | 422 |
Outstanding UPB at end of period | $ 423 | $ 587 |
Loans and ACL (Selected Informa
Loans and ACL (Selected Information About Loans and Leases) (Details) - USD ($) $ in Millions | Dec. 31, 2016 | Dec. 31, 2015 |
Receivables [Abstract] | ||
Unearned income, discounts and net deferred loan fees and costs, excluding PCI | $ 396 | $ 598 |
Residential mortgage loans in process of foreclosure | $ 366 | $ 229 |
Premises and Equipment (Summary
Premises and Equipment (Summary of Premises and Equipment) (Details) - USD ($) $ in Millions | 12 Months Ended | |
Dec. 31, 2016 | Dec. 31, 2015 | |
Property, Plant and Equipment [Line Items] | ||
Total | $ 4,279 | $ 4,039 |
Accumulated depreciation and amortization | (2,172) | (2,032) |
Net premises and equipment | 2,107 | 2,007 |
Land and land improvements | ||
Property, Plant and Equipment [Line Items] | ||
Total | $ 611 | 596 |
Buildings and building improvements | ||
Property, Plant and Equipment [Line Items] | ||
Estimated Useful Life (Years) | 40 years | |
Total | $ 1,628 | 1,503 |
Furniture and equipment | ||
Property, Plant and Equipment [Line Items] | ||
Total | $ 1,121 | 1,030 |
Furniture and equipment | Min | ||
Property, Plant and Equipment [Line Items] | ||
Estimated Useful Life (Years) | 3 years | |
Furniture and equipment | Max | ||
Property, Plant and Equipment [Line Items] | ||
Estimated Useful Life (Years) | 15 years | |
Leasehold improvements | ||
Property, Plant and Equipment [Line Items] | ||
Total | $ 791 | 721 |
Construction in progress | ||
Property, Plant and Equipment [Line Items] | ||
Total | 62 | 122 |
Capitalized leases on premises and equipment | ||
Property, Plant and Equipment [Line Items] | ||
Total | $ 66 | $ 67 |
Premises and Equipment (Summa68
Premises and Equipment (Summary of Leases) (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Property, Plant and Equipment [Abstract] | |||
Rent expense applicable to operating leases | $ 278 | $ 245 | $ 227 |
Rental income from owned properties and subleases | 8 | $ 7 | $ 7 |
Future minimum lease payments for operating leases | |||
2,017 | 263 | ||
2,018 | 239 | ||
2,019 | 210 | ||
2,020 | 179 | ||
2,021 | 154 | ||
Thereafter | $ 574 |
Goodwill and Other Intangible69
Goodwill and Other Intangible Assets Goodwill and Other Intangible Assets (Narrative) (Details) - USD ($) | Apr. 01, 2016 | Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 |
Goodwill and Intangible Assets Disclosure [Abstract] | ||||
Goodwill impairments | $ 0 | |||
Business Acquisition [Line Items] | ||||
Goodwill | $ 1,073,000,000 | $ 1,726,000,000 | $ 41,000,000 | |
Swett & Crawford | ||||
Business Acquisition [Line Items] | ||||
Goodwill | $ 269,000,000 | |||
Identifiable intangible assets | 224,000,000 | |||
Goodwill and identifiable intangible assets deductible for tax purposes | $ 135,000,000 | |||
Swett & Crawford | Weighted Average | ||||
Business Acquisition [Line Items] | ||||
Amortization period | 13 years |
Goodwill and Other Intangible70
Goodwill and Other Intangible Assets (Changes in Carrying Amounts of Goodwill Attributable to Each Operating Segment) (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Goodwill [Roll Forward] | |||
Goodwill, beginning balance | $ 8,548 | $ 6,869 | $ 6,814 |
Acquired goodwill, net | 1,073 | 1,726 | 41 |
Contingent consideration | 14 | ||
American Coastal sale | (49) | ||
Other adjustments | 17 | 2 | 0 |
Goodwill, ending balance | 9,638 | 8,548 | 6,869 |
Community Banking | |||
Goodwill [Roll Forward] | |||
Goodwill, beginning balance | 6,140 | 4,634 | 4,924 |
Acquired goodwill, net | 753 | 1,501 | 29 |
Contingent consideration | 0 | ||
American Coastal sale | 0 | ||
Other adjustments | 139 | 5 | (319) |
Goodwill, ending balance | 7,032 | 6,140 | 4,634 |
Residential Mortgage Banking | |||
Goodwill [Roll Forward] | |||
Goodwill, beginning balance | 369 | 326 | 7 |
Acquired goodwill, net | 39 | 43 | 0 |
Contingent consideration | 0 | ||
American Coastal sale | 0 | ||
Other adjustments | 8 | 0 | 319 |
Goodwill, ending balance | 416 | 369 | 326 |
Dealer Financial Services | |||
Goodwill [Roll Forward] | |||
Goodwill, beginning balance | 111 | 111 | 111 |
Acquired goodwill, net | 0 | 0 | 0 |
Contingent consideration | 0 | ||
American Coastal sale | 0 | ||
Other adjustments | 0 | 0 | 0 |
Goodwill, ending balance | 111 | 111 | 111 |
Specialized Lending | |||
Goodwill [Roll Forward] | |||
Goodwill, beginning balance | 243 | 88 | 88 |
Acquired goodwill, net | 2 | 155 | 0 |
Contingent consideration | 0 | ||
American Coastal sale | 0 | ||
Other adjustments | (132) | 0 | 0 |
Goodwill, ending balance | 113 | 243 | 88 |
Insurance Holdings | |||
Goodwill [Roll Forward] | |||
Goodwill, beginning balance | 1,482 | 1,518 | 1,492 |
Acquired goodwill, net | 270 | 16 | 12 |
Contingent consideration | 14 | ||
American Coastal sale | (49) | ||
Other adjustments | 0 | (3) | 0 |
Goodwill, ending balance | 1,752 | 1,482 | 1,518 |
Financial Services | |||
Goodwill [Roll Forward] | |||
Goodwill, beginning balance | 203 | 192 | 192 |
Acquired goodwill, net | 9 | 11 | 0 |
Contingent consideration | 0 | ||
American Coastal sale | 0 | ||
Other adjustments | 2 | 0 | 0 |
Goodwill, ending balance | $ 214 | $ 203 | $ 192 |
Goodwill and Other Intangible71
Goodwill and Other Intangible Assets (Identifiable Intangible Assets) (Details) - USD ($) $ in Millions | 12 Months Ended | |
Dec. 31, 2016 | Dec. 31, 2015 | |
Acquired Finite-Lived Intangible Assets [Line Items] | ||
Gross Carrying Amount | $ 2,385 | $ 2,067 |
Accumulated Amortization | (1,531) | (1,381) |
Net Carrying Amount | $ 854 | 686 |
CDI | ||
Acquired Finite-Lived Intangible Assets [Line Items] | ||
Wtd. Avg. Remaining Life | 7 years 11 months | |
Gross Carrying Amount | $ 970 | 903 |
Accumulated Amortization | (710) | (634) |
Net Carrying Amount | $ 260 | 269 |
Other, primarily customer relationship intangibles | ||
Acquired Finite-Lived Intangible Assets [Line Items] | ||
Wtd. Avg. Remaining Life | 13 years | |
Gross Carrying Amount | $ 1,415 | 1,164 |
Accumulated Amortization | (821) | (747) |
Net Carrying Amount | $ 594 | $ 417 |
Goodwill and Other Intangible72
Goodwill and Other Intangible Assets (Estimated Future Amortization Expense) (Details) $ in Millions | Dec. 31, 2016USD ($) |
Estimated amortization expense of identifiable intangibles | |
2,017 | $ 141 |
2,018 | 123 |
2,019 | 104 |
2,020 | 87 |
2,021 | $ 74 |
Loan Servicing (Narrative) (Det
Loan Servicing (Narrative) (Details) - USD ($) $ in Millions | 3 Months Ended | 12 Months Ended | |
Sep. 30, 2016 | Dec. 31, 2016 | Dec. 31, 2014 | |
Transfers and Servicing [Abstract] | |||
FHA-insured mortgage loan charge | $ 85 | ||
Payment for settlement of FHA matter | $ 83 | ||
Separate recoveries on FHA matter | 71 | ||
Net benefit related to FHA matter | $ 73 | ||
Adjustment to indemnification reserves for mortgage loans sold | $ 33 | ||
Release of mortgage repurchase reserves | $ 31 |
Loan Servicing (Residential Mor
Loan Servicing (Residential Mortgage Loans Managed or Securitized) (Details) - USD ($) $ in Millions | 12 Months Ended | |
Dec. 31, 2016 | Dec. 31, 2015 | |
Transfers and Servicing [Abstract] | ||
UPB of residential mortgage and home equity loan servicing portfolio | $ 121,639 | $ 122,169 |
UPB of residential mortgage loans serviced for others (primarily agency conforming fixed rate) | 90,325 | 91,132 |
Mortgage loans sold with recourse | 578 | 702 |
Maximum recourse exposure from mortgage loans sold with recourse liability | 282 | 326 |
Indemnification, recourse and repurchase reserves | 40 | 79 |
FHA-insured mortgage loan reserve | $ 0 | $ 85 |
Loan Servicing (Loan Servicing
Loan Servicing (Loan Servicing Activity and Data) (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Transfers and Servicing [Abstract] | |||
UPB of residential mortgage loans sold from the LHFS portfolio | $ 15,675 | $ 14,764 | $ 13,400 |
Pre-tax gains recognized on mortgage loans sold and held for sale | 139 | 148 | 110 |
Servicing fees recognized from mortgage loans serviced for others | $ 268 | $ 273 | $ 275 |
Approximate weighted average servicing fee on the outstanding balance of residential mortgage loans serviced for others | 0.28% | 0.29% | 0.29% |
Weighted average interest rate on mortgage loans serviced for others | 4.03% | 4.12% | 4.20% |
Loan Servicing (Rollforward of
Loan Servicing (Rollforward of Residential MSRs) (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Servicing Asset at Fair Value, Amount [Roll Forward] | |||
Carrying value, beginning of year | $ 880 | ||
Change in fair value due to changes in valuation inputs or assumptions: | |||
Carrying value, end of year | 1,052 | $ 880 | |
Residential MSRs | |||
Servicing Asset at Fair Value, Amount [Roll Forward] | |||
Carrying value, beginning of year | 880 | 844 | $ 1,047 |
Additions | 146 | 156 | 141 |
Change in fair value due to changes in valuation inputs or assumptions: | |||
Prepayment speeds | 13 | 91 | (219) |
Weighted average OAS | 10 | (52) | 0 |
Servicing costs | 2 | (25) | (2) |
Realization of expected net servicing cash flows, passage of time and other | (136) | (134) | (123) |
Carrying value, end of year | 915 | 880 | 844 |
Gains (losses) on derivative financial instruments used to mitigate the income statement effect of changes in fair value | $ 32 | $ 32 | $ 251 |
Loan Servicing (Residential MSR
Loan Servicing (Residential MSRs Sensitivity) (Details) - USD ($) $ in Millions | 12 Months Ended | |
Dec. 31, 2016 | Dec. 31, 2015 | |
Residential MSRs | ||
Servicing Assets at Fair Value [Line Items] | ||
Composition of loans serviced for others | 100.00% | 100.00% |
Weighted average life (in years) | 7 years | 6 years 9 months 18 days |
Residential MSRs | Min | ||
Servicing Assets at Fair Value [Line Items] | ||
Prepayment speed | 7.50% | 8.10% |
OAS | 9.80% | 10.30% |
Residential MSRs | Max | ||
Servicing Assets at Fair Value [Line Items] | ||
Prepayment speed | 8.40% | 9.00% |
OAS | 10.20% | 10.60% |
Residential MSRs | Weighted Average | ||
Servicing Assets at Fair Value [Line Items] | ||
Prepayment speed | 8.10% | 8.70% |
Effect on fair value of a 10% increase | $ (28) | $ (29) |
Effect on fair value of a 20% increase | $ (54) | $ (56) |
OAS | 10.00% | 10.40% |
Effect on fair value of a 10% increase | $ (33) | $ (33) |
Effect on fair value of a 20% increase | $ (64) | $ (63) |
Fixed Rate Residential Mortgage | ||
Servicing Assets at Fair Value [Line Items] | ||
Composition of loans serviced for others | 99.10% | 99.20% |
Adjustable Rate Residential Mortgage | ||
Servicing Assets at Fair Value [Line Items] | ||
Composition of loans serviced for others | 0.90% | 0.80% |
Loan Servicing (Commercial Mort
Loan Servicing (Commercial Mortgage Banking Activities) (Details) - USD ($) $ in Millions | 12 Months Ended | |
Dec. 31, 2016 | Dec. 31, 2015 | |
Transfers and Servicing [Abstract] | ||
UPB of CRE mortgages serviced for others | $ 29,333 | $ 28,163 |
CRE mortgages serviced for others covered by recourse provisions | 4,240 | 4,198 |
Maximum recourse exposure from CRE mortgages sold with recourse liability | 1,272 | 1,259 |
Recorded reserves related to recourse exposure | 7 | 7 |
Originated CRE mortgages during the year | 7,145 | 7,012 |
Servicing Assets at Fair Value [Line Items] | ||
MSRs at fair value | 1,052 | 880 |
Commercial MSRs | ||
Servicing Assets at Fair Value [Line Items] | ||
MSRs at fair value | $ 137 | $ 0 |
Deposits (Details)
Deposits (Details) - USD ($) $ in Millions | Dec. 31, 2016 | Dec. 31, 2015 |
Deposits [Abstract] | ||
Noninterest-bearing deposits | $ 50,697 | $ 45,695 |
Interest checking | 30,263 | 25,410 |
Money market and savings | 64,883 | 60,461 |
Time deposits | 14,391 | 17,558 |
Total deposits | 160,234 | 149,124 |
Time deposits $100,000 and greater | 5,394 | 7,562 |
Time deposits $250,000 and greater | $ 2,179 | $ 3,497 |
Long-Term Debt (Narrative) (Det
Long-Term Debt (Narrative) (Details) - USD ($) $ in Millions | 2 Months Ended | 12 Months Ended | ||
Feb. 21, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Extinguishment of Debt [Line Items] | ||||
Loss (gain) on early extinguishment of debt | $ (1) | $ 172 | $ 122 | |
FHLB Advances | ||||
Extinguishment of Debt [Line Items] | ||||
Extinguishment of long term debt | 931 | 1,100 | ||
Loss (gain) on early extinguishment of debt | $ 172 | $ 122 | ||
FHLB Advances | Subsequent Event | ||||
Extinguishment of Debt [Line Items] | ||||
Extinguishment of long term debt | $ 2,900 | |||
Loss (gain) on early extinguishment of debt | $ 392 |
Long-Term Debt (Schedule of Lon
Long-Term Debt (Schedule of Long Term Debt, Interest Rates and Maturity Dates) (Details) - USD ($) $ in Millions | 12 Months Ended | |
Dec. 31, 2016 | Dec. 31, 2015 | |
Debt Instrument [Line Items] | ||
Long-term debt | $ 21,965 | $ 23,769 |
Other long-term debt | $ 152 | 154 |
FHLB Advances | ||
Debt Instrument [Line Items] | ||
Weighted average maturity of FHLB advances | 5 years 6 months | |
BB&T Corporation | ||
Debt Instrument [Line Items] | ||
Long-term debt | $ 10,836 | 10,274 |
BB&T Corporation | Senior Notes | Fixed rate | ||
Debt Instrument [Line Items] | ||
Effective Rate | 2.33% | |
Long-term debt | $ 7,600 | 7,831 |
BB&T Corporation | Senior Notes | Fixed rate | Min | ||
Debt Instrument [Line Items] | ||
Stated Rate | 1.45% | |
BB&T Corporation | Senior Notes | Fixed rate | Max | ||
Debt Instrument [Line Items] | ||
Stated Rate | 6.85% | |
BB&T Corporation | Senior Notes | Floating rate | ||
Debt Instrument [Line Items] | ||
Effective Rate | 1.67% | |
Long-term debt | $ 1,898 | 1,050 |
BB&T Corporation | Senior Notes | Floating rate | Min | ||
Debt Instrument [Line Items] | ||
Stated Rate | 1.55% | |
BB&T Corporation | Senior Notes | Floating rate | Max | ||
Debt Instrument [Line Items] | ||
Stated Rate | 1.82% | |
BB&T Corporation | Subordinated Notes | Fixed rate | ||
Debt Instrument [Line Items] | ||
Effective Rate | 1.53% | |
Long-term debt | $ 1,338 | 1,382 |
BB&T Corporation | Subordinated Notes | Fixed rate | Min | ||
Debt Instrument [Line Items] | ||
Stated Rate | 3.95% | |
BB&T Corporation | Subordinated Notes | Fixed rate | Max | ||
Debt Instrument [Line Items] | ||
Stated Rate | 5.25% | |
Branch Bank | Senior Notes | Fixed rate | ||
Debt Instrument [Line Items] | ||
Effective Rate | 1.80% | |
Long-term debt | $ 4,209 | 4,071 |
Branch Bank | Senior Notes | Fixed rate | Min | ||
Debt Instrument [Line Items] | ||
Stated Rate | 1.00% | |
Branch Bank | Senior Notes | Fixed rate | Max | ||
Debt Instrument [Line Items] | ||
Stated Rate | 2.85% | |
Branch Bank | Senior Notes | Floating rate | ||
Debt Instrument [Line Items] | ||
Effective Rate | 1.48% | |
Long-term debt | $ 250 | 375 |
Branch Bank | Senior Notes | Floating rate | Min | ||
Debt Instrument [Line Items] | ||
Stated Rate | 1.42% | |
Branch Bank | Senior Notes | Floating rate | Max | ||
Debt Instrument [Line Items] | ||
Stated Rate | 1.42% | |
Branch Bank | Subordinated Notes | Fixed rate | ||
Debt Instrument [Line Items] | ||
Effective Rate | 3.48% | |
Long-term debt | $ 2,138 | 2,562 |
Branch Bank | Subordinated Notes | Fixed rate | Min | ||
Debt Instrument [Line Items] | ||
Stated Rate | 3.63% | |
Branch Bank | Subordinated Notes | Fixed rate | Max | ||
Debt Instrument [Line Items] | ||
Stated Rate | 3.80% | |
Branch Bank | Subordinated Notes | Floating rate | ||
Debt Instrument [Line Items] | ||
Effective Rate | 3.73% | |
Long-term debt | $ 262 | 612 |
Branch Bank | Subordinated Notes | Floating rate | Min | ||
Debt Instrument [Line Items] | ||
Stated Rate | 1.22% | |
Branch Bank | Subordinated Notes | Floating rate | Max | ||
Debt Instrument [Line Items] | ||
Stated Rate | 1.22% | |
Branch Bank | FHLB Advances | ||
Debt Instrument [Line Items] | ||
Effective Rate | 4.20% | |
Long-term debt | $ 4,118 | $ 5,732 |
Branch Bank | FHLB Advances | Min | ||
Debt Instrument [Line Items] | ||
Stated Rate | 0.00% | |
Branch Bank | FHLB Advances | Max | ||
Debt Instrument [Line Items] | ||
Stated Rate | 6.38% |
Long-Term Debt (Future Maturiti
Long-Term Debt (Future Maturities of Long-Term Debt) (Details) $ in Millions | Dec. 31, 2016USD ($) |
Future debt maturities | |
2,017 | $ 3,696 |
2,018 | 2,223 |
2,019 | 3,985 |
2,020 | 3,357 |
2,021 | 3,881 |
Thereafter | $ 4,586 |
Shareholders' Equity (Narrative
Shareholders' Equity (Narrative) (Details) - USD ($) $ in Millions | 1 Months Ended | 3 Months Ended | 12 Months Ended | ||
Jan. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Class of Stock [Line Items] | |||||
Preferred stock, redemption period | 5 years | ||||
Repurchase of common stock | $ 35 | $ 52 | $ 85 | ||
Repurchase Plan 2015 | |||||
Class of Stock [Line Items] | |||||
Repurchase of common stock | $ 320 | ||||
Number of shares repurchased | 8,400,000 | 0 | 0 | ||
Accelerated share repurchase program, adjustment | $ 200 | ||||
Number of shares retired | 3,400,000 | ||||
Common stock, remaining shares authorized for repurchase | 38,200,000 | 38,200,000 | |||
Repurchase Plan 2015 | Subsequent Event | |||||
Class of Stock [Line Items] | |||||
Number of shares retired | 910,000 |
Shareholders' Equity (Preferred
Shareholders' Equity (Preferred Stock) (Details) - USD ($) $ in Millions | 12 Months Ended | |
Dec. 31, 2016 | Dec. 31, 2015 | |
Class of Stock [Line Items] | ||
Liquidation Amount | $ 3,140 | |
Carrying Amount | 3,053 | $ 2,603 |
Series D | ||
Class of Stock [Line Items] | ||
Liquidation Amount | 575 | |
Carrying Amount | $ 559 | |
Dividend Rate | 5.85% | |
Series E | ||
Class of Stock [Line Items] | ||
Liquidation Amount | $ 1,150 | |
Carrying Amount | $ 1,120 | |
Dividend Rate | 5.625% | |
Series F | ||
Class of Stock [Line Items] | ||
Liquidation Amount | $ 450 | |
Carrying Amount | $ 437 | |
Dividend Rate | 5.20% | |
Series G | ||
Class of Stock [Line Items] | ||
Liquidation Amount | $ 500 | |
Carrying Amount | $ 487 | |
Dividend Rate | 5.20% | |
Series H | ||
Class of Stock [Line Items] | ||
Liquidation Amount | $ 465 | |
Carrying Amount | $ 450 | |
Dividend Rate | 5.625% |
Shareholders' Equity (Equity Ba
Shareholders' Equity (Equity Based Compensation Plans) (Details) shares in Thousands | 12 Months Ended |
Dec. 31, 2016shares | |
Equity [Abstract] | |
Shares available for future grants (in thousands) | 16,627 |
Vesting period, awards granted prior to 2010, years | 5 years |
Vesting period, awards granted after 2009 (minimum years) | 1 year |
Vesting period, awards granted after 2009 (maximum years) | 5 years |
Option term (in years) | 10 years |
Shareholders' Equity (Compensat
Shareholders' Equity (Compensation Expense Table (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Equity [Abstract] | |||
Equity-based compensation expense | $ 115 | $ 106 | $ 102 |
Income tax benefit from equity-based compensation expense | 43 | 40 | 39 |
Intrinsic value of options exercised and RSUs that vested during the year | 159 | 170 | 280 |
Grant date fair value of equity-based awards that vested during the year | 98 | 115 | $ 113 |
Unrecognized compensation cost related to equity-based awards | $ 109 | $ 103 | |
Weighted-average life over which compensation cost is expected to be recognized, years | 2 years 3 months 18 days | 2 years 2 months 12 days |
Shareholders' Equity (Stock Opt
Shareholders' Equity (Stock Options Activity Roll Forward) (Details) $ / shares in Units, shares in Thousands, $ in Millions | 12 Months Ended |
Dec. 31, 2016USD ($)$ / sharesshares | |
Options | |
Outstanding at beginning of period (in shares) | shares | 20,577 |
Replacement awards granted in connection with acquisitions (in shares) | shares | 566 |
Granted (in shares) | shares | 610 |
Exercised (in shares) | shares | (7,101) |
Forfeited or expired (in shares) | shares | (2,856) |
Outstanding at end of period (in shares) | shares | 11,796 |
Exercisable at end of period (in shares) | shares | 11,023 |
Exercisable and expected to vest at end of period (in shares) | shares | 11,755 |
Wtd. Avg. Exercise Price Per Share | |
Outstanding at beginning of period (in usd per share) | $ / shares | $ 34.89 |
Replacement awards granted in connection with acquisitions (in usd per share) | $ / shares | 36.12 |
Granted (in usd per share) | $ / shares | 32.10 |
Exercised (in usd per share) | $ / shares | 34.87 |
Forfeited or expired (in usd per share) | $ / shares | 40.64 |
Outstanding at end of period (in usd per share) | $ / shares | 33.42 |
Exercisable at end of period (in usd per share) | $ / shares | 33.36 |
Exercisable and expected to vest at end of period (in usd per share) | $ / shares | $ 33.42 |
Aggregate Intrinsic Value, Outstanding at end of period | $ | $ 166 |
Aggregate Intrinsic Value, Exercisable at end of period | $ | 156 |
Aggregate Intrinsic Value, Exercisable and expected to vest at end of period | $ | $ 166 |
Wtd. Avg. Remaining Contractual Life, Outstanding at end of period (in yrs) | 3 years 5 months 19 days |
Wtd. Avg. Remaining Contractual Life, Exercisable at end of period (in yrs) | 3 years 1 month 9 days |
Wtd. Avg. Remaining Contractual Life, Exercisable and expected to vest at end of period (in yrs) | 3 years 5 months 15 days |
Shareholders' Equity (Restricte
Shareholders' Equity (Restricted Shares and RSUs Activity Roll Forward) (Details) - Restricted Shares/Units shares in Thousands | 12 Months Ended |
Dec. 31, 2016$ / sharesshares | |
Restricted Shares/Units | |
Nonvested at beginning of period (in shares) | shares | 11,824 |
Granted (in shares) | shares | 5,235 |
Vested (in shares) | shares | (3,150) |
Forfeited (in shares) | shares | (393) |
Nonvested at end of period (in shares) | shares | 13,516 |
Expected to vest at end of period (in shares) | shares | 12,384 |
Wtd. Avg. Grant Date Fair Value | |
Nonvested at beginning of period (in usd per share) | $ / shares | $ 29.81 |
Granted (in usd per share) | $ / shares | 27.49 |
Vested (in usd per share) | $ / shares | 27.76 |
Forfeited (in usd per share) | $ / shares | 29.74 |
Nonvested at end of period (in usd per share) | $ / shares | 29.39 |
Expected to vest at end of period (in usd per share) | $ / shares | $ 29.39 |
AOCI (Details)
AOCI (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Increase (Decrease) in AOCI [Roll Forward] | |||
Beginning balance | $ 27,340 | $ 24,377 | $ 22,780 |
Amounts reclassified from AOCI: | |||
Personnel expense | 3,964 | 3,469 | 3,180 |
Interest income | (7,066) | (6,327) | (6,142) |
Interest expense | 745 | 735 | 768 |
FDIC loss share income, net | 142 | 253 | 343 |
Securities (gains) losses, net | (46) | 3 | 3 |
Total before income taxes | (3,500) | (2,917) | (3,127) |
Less: Income taxes | (1,058) | (794) | (921) |
Net income | (2,442) | (2,123) | (2,206) |
Net change in AOCI | (104) | (277) | (158) |
Ending balance | 29,926 | 27,340 | 24,377 |
Unrecognized Net Pension and Postretirement Costs | |||
Increase (Decrease) in AOCI [Roll Forward] | |||
Beginning balance | (723) | (626) | (303) |
OCI before reclassifications, net of tax | (91) | (139) | (334) |
Amounts reclassified from AOCI: | |||
Net change in AOCI | (41) | (97) | (323) |
Ending balance | (764) | (723) | (626) |
Unrecognized Net Pension and Postretirement Costs | Amounts reclassified from AOCI | |||
Amounts reclassified from AOCI: | |||
Personnel expense | 80 | 67 | 17 |
Interest income | 0 | 0 | 0 |
Interest expense | 0 | 0 | 0 |
FDIC loss share income, net | 0 | 0 | 0 |
Securities (gains) losses, net | 0 | 0 | 0 |
Total before income taxes | 80 | 67 | 17 |
Less: Income taxes | 30 | 25 | 6 |
Net income | 50 | 42 | 11 |
Unrealized Net Gains (Losses) on Cash Flow Hedges | |||
Increase (Decrease) in AOCI [Roll Forward] | |||
Beginning balance | (83) | (54) | 2 |
OCI before reclassifications, net of tax | (16) | (81) | (107) |
Amounts reclassified from AOCI: | |||
Net change in AOCI | (9) | (29) | (56) |
Ending balance | (92) | (83) | (54) |
Unrealized Net Gains (Losses) on Cash Flow Hedges | Amounts reclassified from AOCI | |||
Amounts reclassified from AOCI: | |||
Personnel expense | 0 | 0 | 0 |
Interest income | 0 | 0 | 0 |
Interest expense | 11 | 83 | 82 |
FDIC loss share income, net | 0 | 0 | 0 |
Securities (gains) losses, net | 0 | 0 | 0 |
Total before income taxes | 11 | 83 | 82 |
Less: Income taxes | 4 | 31 | 31 |
Net income | 7 | 52 | 51 |
Unrealized Net Gains (Losses) on AFS Securities | |||
Increase (Decrease) in AOCI [Roll Forward] | |||
Beginning balance | (34) | 152 | (42) |
OCI before reclassifications, net of tax | (201) | (206) | 207 |
Amounts reclassified from AOCI: | |||
Net change in AOCI | (225) | (186) | 194 |
Ending balance | (259) | (34) | 152 |
Unrealized Net Gains (Losses) on AFS Securities | Amounts reclassified from AOCI | |||
Amounts reclassified from AOCI: | |||
Personnel expense | 0 | 0 | 0 |
Interest income | 7 | 29 | (24) |
Interest expense | 0 | 0 | 0 |
FDIC loss share income, net | 0 | 0 | 0 |
Securities (gains) losses, net | (46) | 3 | 3 |
Total before income taxes | (39) | 32 | (21) |
Less: Income taxes | (15) | 12 | (8) |
Net income | (24) | 20 | (13) |
FDIC's Share of Unrealized (Gains) Losses on AFS Securities | |||
Increase (Decrease) in AOCI [Roll Forward] | |||
Beginning balance | (169) | (207) | (235) |
OCI before reclassifications, net of tax | 148 | 19 | 0 |
Amounts reclassified from AOCI: | |||
Net change in AOCI | 169 | 38 | 28 |
Ending balance | 0 | (169) | (207) |
FDIC's Share of Unrealized (Gains) Losses on AFS Securities | Amounts reclassified from AOCI | |||
Amounts reclassified from AOCI: | |||
Personnel expense | 0 | 0 | 0 |
Interest income | 0 | 0 | 0 |
Interest expense | 0 | 0 | 0 |
FDIC loss share income, net | 33 | 31 | 45 |
Securities (gains) losses, net | 0 | 0 | 0 |
Total before income taxes | 33 | 31 | 45 |
Less: Income taxes | 12 | 12 | 17 |
Net income | 21 | 19 | 28 |
Other, net | |||
Increase (Decrease) in AOCI [Roll Forward] | |||
Beginning balance | (19) | (16) | (15) |
OCI before reclassifications, net of tax | 1 | (9) | (5) |
Amounts reclassified from AOCI: | |||
Net change in AOCI | 2 | (3) | (1) |
Ending balance | (17) | (19) | (16) |
Other, net | Amounts reclassified from AOCI | |||
Amounts reclassified from AOCI: | |||
Personnel expense | 0 | 0 | 0 |
Interest income | 1 | 9 | 6 |
Interest expense | 0 | 0 | 0 |
FDIC loss share income, net | 0 | 0 | 0 |
Securities (gains) losses, net | 0 | 0 | 0 |
Total before income taxes | 1 | 9 | 6 |
Less: Income taxes | 0 | 3 | 2 |
Net income | 1 | 6 | 4 |
Total | |||
Increase (Decrease) in AOCI [Roll Forward] | |||
Beginning balance | (1,028) | (751) | (593) |
OCI before reclassifications, net of tax | (159) | (416) | (239) |
Amounts reclassified from AOCI: | |||
Net change in AOCI | (104) | (277) | (158) |
Ending balance | (1,132) | (1,028) | (751) |
Total | Amounts reclassified from AOCI | |||
Amounts reclassified from AOCI: | |||
Personnel expense | 80 | 67 | 17 |
Interest income | 8 | 38 | (18) |
Interest expense | 11 | 83 | 82 |
FDIC loss share income, net | 33 | 31 | 45 |
Securities (gains) losses, net | (46) | 3 | 3 |
Total before income taxes | 86 | 222 | 129 |
Less: Income taxes | 31 | 83 | 48 |
Net income | $ 55 | $ 139 | $ 81 |
Income Taxes (Narrative) (Detai
Income Taxes (Narrative) (Details) $ in Millions | 12 Months Ended |
Dec. 31, 2015USD ($) | |
Income Tax Disclosure [Abstract] | |
Adjustment to income tax provision | $ (107) |
Accrued tax-related interest and penalties | 181 |
Net interest and penalties related to unrecognized tax benefits recognized in consolidated income statement | $ 29 |
Income Taxes (Breakdown of Prov
Income Taxes (Breakdown of Provision for Income Taxes) (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Current expense: | |||
Federal | $ 959 | $ 585 | $ 706 |
State | 97 | 99 | 81 |
Total current expense | 1,056 | 684 | 787 |
Deferred expense: | |||
Federal | (14) | 99 | 122 |
State | 16 | 11 | 12 |
Total deferred expense | 2 | 110 | 134 |
Provision for income taxes | $ 1,058 | $ 794 | $ 921 |
Income Taxes (Reconciliation Be
Income Taxes (Reconciliation Between Provision for Income Taxes and Amount Computed by Applying Federal Statutory Income Tax Rate) (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Income Tax Disclosure [Abstract] | |||
Federal statutory tax rate | 35.00% | 35.00% | 35.00% |
Federal income taxes at statutory rate of 35% | $ 1,225 | $ 1,021 | $ 1,094 |
Increase (decrease) in provision for income taxes as a result of: | |||
State income taxes, net of federal tax benefit | 73 | 72 | 61 |
Affordable housing projects proportional amortization | 205 | 181 | 159 |
Affordable housing projects tax credits and other tax benefits | (279) | (249) | (221) |
Tax exempt income | (151) | (129) | (125) |
Adjustments for uncertain tax positions | (6) | (107) | (39) |
Other, net | (9) | 5 | (8) |
Provision for income taxes | $ 1,058 | $ 794 | $ 921 |
Effective income tax rate | 30.20% | 27.20% | 29.50% |
Income Taxes (Schedule of Tempo
Income Taxes (Schedule of Temporary Tax Differences That Gave Rise to Deferred Tax Assets and Liabilities) (Details) - USD ($) $ in Millions | Dec. 31, 2016 | Dec. 31, 2015 |
Deferred tax assets: | ||
ALLL | $ 564 | $ 553 |
Postretirement plans | 451 | 431 |
Net unrealized loss on AFS securities | 155 | 124 |
Equity-based compensation | 124 | 129 |
Reserves and expense accruals | 238 | 255 |
Investments in qualified affordable housing projects | 116 | 110 |
Other | 317 | 292 |
Total deferred tax assets | 1,965 | 1,894 |
Deferred tax liabilities: | ||
Prepaid pension plan expense | 558 | 509 |
MSRs | 358 | 331 |
Lease financing | 587 | 663 |
Loan fees and expenses | 103 | 70 |
Identifiable intangible assets | 224 | 207 |
Other | 45 | 169 |
Total deferred tax liabilities | 1,875 | 1,949 |
Net deferred tax asset | $ 90 | |
Net deferred tax (liability) | $ (55) |
Income Taxes (Change in Unrecog
Income Taxes (Change in Unrecognized Tax Benefits) (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Changes In Unrecognized Tax Benefits | |||
Beginning balance of unrecognized tax benefits | $ 426 | $ 503 | $ 644 |
Additions based on tax positions related to current year | 0 | 0 | 1 |
Additions (reductions) for tax positions of prior years | (5) | (76) | (34) |
Settlements | (420) | (1) | (17) |
Lapse of statute of limitations | 0 | (1) | 0 |
Unrecognized deferred tax benefits from acquisitions | 0 | 1 | (91) |
Ending balance of unrecognized tax benefits | 1 | 426 | 503 |
Federal | |||
Income Tax Contingency [Line Items] | |||
Unrecognized tax benefits that would have impacted effective rate if recognized | 0 | 422 | 497 |
State | |||
Income Tax Contingency [Line Items] | |||
Unrecognized tax benefits that would have impacted effective rate if recognized | $ 1 | $ 3 | $ 4 |
Benefit Plans (Narrative) (Deta
Benefit Plans (Narrative) (Details) shares in Millions, $ in Millions | 2 Months Ended | 12 Months Ended | |||
Feb. 20, 2017USD ($) | Dec. 31, 2017 | Dec. 31, 2016USD ($)year | Dec. 31, 2015USD ($)shares | Dec. 31, 2014USD ($) | |
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | |||||
Defined benefit plan, number of highest consecutive years of earnings | year | 5 | ||||
Defined benefit plan, final years of employment subject to earnings test | 10 years | ||||
Weighted average expected long-term rate of return on plan assets | 7.00% | 7.50% | 7.75% | ||
Net asset values | $ 4,824 | $ 4,236 | |||
Accrued income excluded from plan assets | $ 21 | 18 | |||
Defined contribution plan, employee contribution percentage, minimum | 1.00% | ||||
Defined contribution plan, employee contribution percentage, maximum | 50.00% | ||||
Defined contribution plan, minimum age of employees covered | 21 years | ||||
Defined contribution plan, minimum years of service of employees covered | 1 year | ||||
Defined contribution plan, employer matching contribution, percentage of employee compensation, maximum | 6.00% | ||||
Defined contribution plan, employer contribution expense | $ 129 | 114 | $ 103 | ||
BB&T Corporation | |||||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | |||||
Defined benefit plan, target allocation percentage of assets, maximum | 10.00% | ||||
U.S. Equity Securities | |||||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | |||||
Defined benefit plan, target allocation percentage of assets, minimum | 30.00% | ||||
Defined benefit plan, target allocation percentage of assets, maximum | 50.00% | ||||
Net asset values | $ 1,892 | $ 1,627 | |||
U.S. Equity Securities | BB&T Corporation | |||||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | |||||
Number of shares of stock held in pension plan | shares | 3 | ||||
Value of stock held in pension plan | $ 113 | ||||
International Equity Securities | |||||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | |||||
Defined benefit plan, target allocation percentage of assets, minimum | 11.00% | ||||
Defined benefit plan, target allocation percentage of assets, maximum | 18.00% | ||||
Net asset values | $ 839 | 712 | |||
Fixed Income Securities | |||||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | |||||
Defined benefit plan, target allocation percentage of assets, minimum | 35.00% | ||||
Defined benefit plan, target allocation percentage of assets, maximum | 53.00% | ||||
Net asset values | $ 1,914 | 1,631 | |||
Alternative Investments | |||||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | |||||
Defined benefit plan, target allocation percentage of assets, minimum | 0.00% | ||||
Defined benefit plan, target allocation percentage of assets, maximum | 14.00% | ||||
Net asset values | $ 199 | 115 | |||
Forecast | |||||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | |||||
Weighted average expected long-term rate of return on plan assets | 7.00% | ||||
Qualified Plans | |||||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | |||||
Net asset values | $ 5,044 | $ 4,369 | $ 4,223 | ||
Qualified Plans | Subsequent Event | |||||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | |||||
Discretionary contributions made to the qualified pension plan | $ 260 |
Benefit Plans (Significant Actu
Benefit Plans (Significant Actuarial Assumptions Used to Determine Net Periodic Pension Costs) (Details) | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Compensation and Retirement Disclosure [Abstract] | |||
Weighted average assumed discount rate | 4.68% | 4.27% | 5.10% |
Weighted average expected long-term rate of return on plan assets | 7.00% | 7.50% | 7.75% |
Assumed long-term rate of annual compensation increases | 4.50% | 4.50% | 5.00% |
Benefit Plans (Summary of the C
Benefit Plans (Summary of the Components of Net Periodic Benefit Cost Recognized for Pension Plans) (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Net Periodic Pension Cost: | |||
Service cost | $ 186 | $ 176 | $ 138 |
Interest cost | 181 | 157 | 140 |
Estimated return on plan assets | (326) | (327) | (296) |
Net amortization and other | 80 | 67 | 17 |
Net periodic benefit cost | 121 | 73 | (1) |
Pre-Tax Amounts Recognized in OCI: | |||
Net actuarial loss (gain) | 138 | 230 | 532 |
Net amortization | (80) | (67) | (17) |
Net amount recognized in OCI | 58 | 163 | 515 |
Total net periodic pension costs (income) recognized in total comprehensive income, pre-tax | $ 179 | $ 236 | $ 514 |
Benefit Plans (Significant Ac98
Benefit Plans (Significant Actuarial Assumptions Used to Determine Benefit Obligations) (Details) | Dec. 31, 2016 | Dec. 31, 2015 |
Compensation and Retirement Disclosure [Abstract] | ||
Weighted average assumed discount rate | 4.43% | 4.68% |
Assumed rate of annual compensation increases | 4.50% | 4.50% |
Benefit Plans (Changes in Proje
Benefit Plans (Changes in Projected Benefit Obligation) (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Defined Benefit Plan, Change in Benefit Obligation [Roll Forward] | |||
Service cost | $ 186 | $ 176 | $ 138 |
Interest cost | 181 | 157 | 140 |
Qualified Plans | |||
Defined Benefit Plan, Change in Benefit Obligation [Roll Forward] | |||
Projected benefit obligation, beginning of year | 3,473 | 3,227 | |
Service cost | 174 | 164 | |
Interest cost | 163 | 141 | |
Actuarial (gain) loss | 152 | (164) | |
Benefits paid | (94) | (80) | |
Acquisitions | 71 | 185 | |
Projected benefit obligation, end of year | 3,939 | 3,473 | 3,227 |
Accumulated benefit obligation, end of year | 3,403 | 2,997 | |
Nonqualified Plans | |||
Defined Benefit Plan, Change in Benefit Obligation [Roll Forward] | |||
Projected benefit obligation, beginning of year | 392 | 367 | |
Service cost | 12 | 12 | |
Interest cost | 18 | 16 | |
Actuarial (gain) loss | 15 | (3) | |
Benefits paid | (11) | (15) | |
Acquisitions | 0 | 15 | |
Projected benefit obligation, end of year | 426 | 392 | $ 367 |
Accumulated benefit obligation, end of year | $ 363 | $ 309 |
Benefit Plans (Changes in Fair
Benefit Plans (Changes in Fair Value of Plan Assets) (Details) - USD ($) $ in Millions | 12 Months Ended | |
Dec. 31, 2016 | Dec. 31, 2015 | |
Defined Benefit Plan, Change in Fair Value of Plan Assets [Roll Forward] | ||
Fair value of plan assets, beginning of year | $ 4,236 | |
Fair value of plan assets, end of year | 4,824 | $ 4,236 |
Qualified Plans | ||
Defined Benefit Plan, Change in Fair Value of Plan Assets [Roll Forward] | ||
Fair value of plan assets, beginning of year | 4,369 | 4,223 |
Actual return on plan assets | 356 | (70) |
Employer contributions | 360 | 126 |
Benefits paid | (94) | (80) |
Acquisitions | 53 | 170 |
Fair value of plan assets, end of year | 5,044 | 4,369 |
Funded status at end of year | 1,105 | 896 |
Nonqualified Plans | ||
Defined Benefit Plan, Change in Fair Value of Plan Assets [Roll Forward] | ||
Fair value of plan assets, beginning of year | 0 | 0 |
Actual return on plan assets | 0 | 0 |
Employer contributions | 11 | 15 |
Benefits paid | (11) | (15) |
Acquisitions | 0 | 0 |
Fair value of plan assets, end of year | 0 | 0 |
Funded status at end of year | $ (426) | $ (392) |
Benefit Plans (Schedule of Pre-
Benefit Plans (Schedule of Pre-tax Amounts Recognized in AOCI) (Details) - USD ($) $ in Millions | Dec. 31, 2016 | Dec. 31, 2015 |
Qualified Plans | ||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | ||
Prior service credit (cost) | $ 0 | $ 0 |
Net actuarial loss | (1,095) | (1,040) |
Net amount recognized | (1,095) | (1,040) |
Nonqualified Plans | ||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | ||
Prior service credit (cost) | (1) | (2) |
Net actuarial loss | (135) | (131) |
Net amount recognized | $ (136) | $ (133) |
Benefit Plans (Schedule of Amou
Benefit Plans (Schedule of Amounts Expected to be Amortized from AOCI into Net Periodic Pension Cost During Next Fiscal Year) (Details) $ in Millions | 12 Months Ended |
Dec. 31, 2016USD ($) | |
Qualified Plans | |
Defined Benefit Plan Disclosure [Line Items] | |
Net actuarial loss | $ (66) |
Net amount expected to be amortized in 2017 | (66) |
Nonqualified Plans | |
Defined Benefit Plan Disclosure [Line Items] | |
Net actuarial loss | (12) |
Net amount expected to be amortized in 2017 | $ (12) |
Benefit Plans (Schedule of Esti
Benefit Plans (Schedule of Estimated Future Benefit Payments) (Details) $ in Millions | Dec. 31, 2016USD ($) |
Qualified Plans | |
Defined Benefit Plan Disclosure [Line Items] | |
2,017 | $ 104 |
2,018 | 115 |
2,019 | 125 |
2,020 | 137 |
2,021 | 149 |
2022-2026 | 949 |
Nonqualified Plans | |
Defined Benefit Plan Disclosure [Line Items] | |
2,017 | 15 |
2,018 | 16 |
2,019 | 17 |
2,020 | 18 |
2,021 | 20 |
2022-2026 | $ 119 |
Benefit Plans (Schedule of Fair
Benefit Plans (Schedule of Fair Value of Pension Plan Assets by Three Level Fair Value Hierarchy) (Details) - USD ($) $ in Millions | Dec. 31, 2016 | Dec. 31, 2015 |
Defined Benefit Plan Disclosure [Line Items] | ||
Total | $ 4,824 | $ 4,236 |
Level 1 | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Total | 1,372 | 2,517 |
Level 2 | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Total | 3,452 | 1,719 |
Cash and cash-equivalents | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Total | 179 | 266 |
Cash and cash-equivalents | Level 1 | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Total | 179 | 266 |
Cash and cash-equivalents | Level 2 | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Total | 0 | 0 |
U.S. equity securities | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Total | 1,892 | 1,627 |
U.S. equity securities | Level 1 | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Total | 1,018 | 1,627 |
U.S. equity securities | Level 2 | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Total | 874 | 0 |
International equity securities | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Total | 839 | 712 |
International equity securities | Level 1 | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Total | 165 | 614 |
International equity securities | Level 2 | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Total | 674 | 98 |
Fixed income securities | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Total | 1,914 | 1,631 |
Fixed income securities | Level 1 | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Total | 10 | 10 |
Fixed income securities | Level 2 | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Total | $ 1,904 | $ 1,621 |
Commitments and Contingencie105
Commitments and Contingencies (Schedule of Commitments and Contingencies) (Details) - USD ($) $ in Millions | Dec. 31, 2016 | Dec. 31, 2015 |
Commitments and Contingencies Disclosure [Abstract] | ||
Letters of credit | $ 2,786 | $ 3,033 |
Carrying amount of the liability for letters of credit | 27 | 27 |
Investments in affordable housing and historic building rehabilitation projects: | ||
Carrying amount | 1,719 | 1,629 |
Amount of future funding commitments included in carrying amount | 738 | 654 |
Lending exposure | 495 | 292 |
Tax credits subject to recapture | 413 | 355 |
Private equity investments | 362 | 289 |
Future funding commitments to private equity investments | $ 197 | $ 231 |
Commitments and Contingencie106
Commitments and Contingencies (Pledged Assets) (Details) - USD ($) $ in Millions | Dec. 31, 2016 | Dec. 31, 2015 |
Commitments and Contingencies Disclosure [Abstract] | ||
Pledged securities | $ 15,549 | $ 14,063 |
Pledged loans | $ 75,015 | $ 69,070 |
Regulatory Requirements and 107
Regulatory Requirements and Other Restrictions (Narrative) (Details) $ in Millions | Dec. 31, 2016USD ($) |
Branch Bank | |
Compliance with Regulatory Capital Requirements under Banking Regulations [Line Items] | |
FRB, net reserve requirement | $ 124 |
Regulatory Requirements and 108
Regulatory Requirements and Other Restrictions (Regulatory Requirements) (Details) - USD ($) $ in Millions | Dec. 31, 2016 | Dec. 31, 2015 |
BB&T | ||
CET1 Capital: | ||
Actual Capital, Ratio | 10.20% | 10.30% |
Actual Capital, Amount | $ 18,050 | $ 17,081 |
Capital Requirements, Minimum | 7,926 | 7,497 |
Capital Requirements, Well-Capitalized | $ 11,449 | $ 10,830 |
Tier 1 Capital: | ||
Actual Capital, Ratio | 12.00% | 11.80% |
Actual Capital, Amount | $ 21,102 | $ 19,682 |
Capital Requirements, Minimum | 10,568 | 9,997 |
Capital Requirements, Well-Capitalized | $ 14,091 | $ 13,329 |
Total Capital: | ||
Actual Capital, Ratio | 14.10% | 14.30% |
Actual Capital, Amount | $ 24,872 | $ 23,753 |
Capital Requirements, Minimum | 14,091 | 13,329 |
Capital Requirements, Well-Capitalized | $ 17,614 | $ 16,661 |
Leverage Capital: | ||
Actual Capital, Ratio | 10.00% | 9.80% |
Actual Capital, Amount | $ 21,102 | $ 19,682 |
Capital Requirements, Minimum | 8,460 | 8,062 |
Capital Requirements, Well-Capitalized | $ 10,576 | $ 10,077 |
Branch Bank | ||
CET1 Capital: | ||
Actual Capital, Ratio | 11.50% | 11.30% |
Actual Capital, Amount | $ 19,839 | $ 18,382 |
Capital Requirements, Minimum | 7,730 | 7,319 |
Capital Requirements, Well-Capitalized | $ 11,166 | $ 10,572 |
Tier 1 Capital: | ||
Actual Capital, Ratio | 11.50% | 11.30% |
Actual Capital, Amount | $ 19,839 | $ 18,382 |
Capital Requirements, Minimum | 10,307 | 9,759 |
Capital Requirements, Well-Capitalized | $ 13,743 | $ 13,012 |
Total Capital: | ||
Actual Capital, Ratio | 13.60% | 13.40% |
Actual Capital, Amount | $ 23,289 | $ 21,859 |
Capital Requirements, Minimum | 13,743 | 13,012 |
Capital Requirements, Well-Capitalized | $ 17,179 | $ 16,265 |
Leverage Capital: | ||
Actual Capital, Ratio | 9.60% | 9.30% |
Actual Capital, Amount | $ 19,839 | $ 18,382 |
Capital Requirements, Minimum | 8,249 | 7,866 |
Capital Requirements, Well-Capitalized | $ 10,311 | $ 9,833 |
Parent Company Financial Sta109
Parent Company Financial Statements (Parent Company Condensed Balance Sheets) (Details) - USD ($) $ in Millions | Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 |
Assets | ||||
Cash and due from banks | $ 1,897 | $ 2,123 | ||
Interest-bearing deposits with banks | 1,895 | 1,435 | ||
AFS securities at fair value | 26,926 | 25,297 | ||
HTM securities at amortized cost | 16,680 | 18,530 | ||
Other assets | 14,046 | 14,306 | ||
Total assets | 219,276 | 209,947 | $ 186,834 | |
Liabilities and Shareholders' Equity: | ||||
Short-term borrowed funds | 1,406 | 3,593 | ||
Long-term debt | 21,965 | 23,769 | ||
Accounts payable and other liabilities | 5,745 | 6,121 | ||
Total liabilities | 189,350 | 182,607 | ||
Total shareholders' equity | 29,926 | 27,340 | $ 24,377 | $ 22,780 |
Total liabilities and shareholders’ equity | 219,276 | 209,947 | ||
Parent Company | ||||
Assets | ||||
Cash and due from banks | 21 | 109 | ||
Interest-bearing deposits with banks | 7,094 | 7,383 | ||
AFS securities at fair value | 134 | 124 | ||
HTM securities at amortized cost | 1 | 3 | ||
Investment in banking subsidiaries | 28,444 | 25,823 | ||
Investment in other subsidiaries | 1,279 | 1,101 | ||
Advances to / receivables from banking subsidiaries | 850 | 0 | ||
Advances to / receivables from other subsidiaries | 2,981 | 3,086 | ||
Other assets | 131 | 211 | ||
Total assets | 40,935 | 37,840 | ||
Liabilities and Shareholders' Equity: | ||||
Short-term borrowed funds | 46 | 105 | ||
Long-term debt | 10,836 | 10,274 | ||
Accounts payable and other liabilities | 127 | 121 | ||
Total liabilities | 11,009 | 10,500 | ||
Total shareholders' equity | 29,926 | 27,340 | ||
Total liabilities and shareholders’ equity | $ 40,935 | $ 37,840 |
Parent Company Financial Sta110
Parent Company Financial Statements (Parent Company Condensed Income and Comprehensive Income Statements) (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Income: | |||
Other income | $ 362 | $ 326 | $ 349 |
Expenses: | |||
Interest expense | 745 | 735 | 768 |
Other expenses | 6,721 | 6,266 | 5,852 |
Income tax benefit | (1,058) | (794) | (921) |
Net income | 2,442 | 2,123 | 2,206 |
Total OCI | (104) | (277) | (158) |
Total comprehensive income | 2,338 | 1,846 | 2,048 |
Parent Company | |||
Income: | |||
Dividends from banking subsidiaries | 1,350 | 1,600 | 1,636 |
Dividends from other subsidiaries | 6 | 411 | 71 |
Interest and other income from subsidiaries | 73 | 64 | 67 |
Other income | 3 | 3 | 7 |
Total income | 1,432 | 2,078 | 1,781 |
Expenses: | |||
Interest expense | 160 | 165 | 148 |
Other expenses | 56 | 103 | 55 |
Total expenses | 216 | 268 | 203 |
Income before income taxes and equity in undistributed earnings of subsidiaries | 1,216 | 1,810 | 1,578 |
Income tax benefit | 38 | 40 | 43 |
Income before equity in undistributed earnings of subsidiaries | 1,254 | 1,850 | 1,621 |
Equity in undistributed earnings of subsidiaries in excess of dividends from subsidiaries | 1,188 | 273 | 585 |
Net income | 2,442 | 2,123 | 2,206 |
Total OCI | (104) | (277) | (158) |
Total comprehensive income | $ 2,338 | $ 1,846 | $ 2,048 |
Parent Company Financial Sta111
Parent Company Financial Statements (Parent Company Condensed Statements of Cash Flows) (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Cash Flows From Operating Activities: | |||
Net Income | $ 2,442 | $ 2,123 | $ 2,206 |
Net change in operating assets and liabilities: | |||
Other assets | (568) | (493) | 346 |
Accounts payable and other liabilities | 186 | 263 | (4) |
Other, net | (135) | 235 | 101 |
Net cash from operating activities | 2,672 | 2,915 | 3,210 |
Cash Flows From Investing Activities: | |||
Purchases of AFS securities | (10,033) | (12,698) | (3,685) |
Proceeds from maturities, calls and paydowns of HTM securities | 7,022 | 3,791 | 1,866 |
Net cash from acquisitions and divestitures | (785) | 1,055 | 1,025 |
Net cash from investing activities | (682) | (1,638) | (4,015) |
Cash Flows From Financing Activities: | |||
Net change in short-term borrowings | (3,581) | (982) | (421) |
Net proceeds from preferred stock issued | 450 | 0 | 0 |
Other, net | 215 | (390) | (33) |
Net cash from financing activities | (1,765) | 109 | 965 |
Net Change in Cash and Cash Equivalents | 225 | 1,386 | 160 |
Cash and Cash Equivalents at Beginning of Period | 3,711 | 2,325 | 2,165 |
Cash and Cash Equivalents at End of Period | 3,936 | 3,711 | 2,325 |
Parent Company | |||
Cash Flows From Operating Activities: | |||
Net Income | 2,442 | 2,123 | 2,206 |
Adjustments to reconcile net income to net cash from operating activities: | |||
Equity in earnings of subsidiaries in excess of dividends from subsidiaries | (1,188) | (273) | (585) |
Net change in operating assets and liabilities: | |||
Other assets | 41 | 88 | 27 |
Accounts payable and other liabilities | (42) | (14) | 40 |
Other, net | (88) | 32 | (86) |
Net cash from operating activities | 1,165 | 1,956 | 1,602 |
Cash Flows From Investing Activities: | |||
Proceeds from sales, calls and maturities of AFS securities | 27 | 49 | 25 |
Purchases of AFS securities | (31) | (21) | (124) |
Proceeds from maturities, calls and paydowns of HTM securities | 2 | 27 | 16 |
Investment in subsidiaries | (85) | 0 | (1) |
Advances to subsidiaries | (7,719) | (7,461) | (7,145) |
Proceeds from repayment of advances to subsidiaries | 6,975 | 6,848 | 7,060 |
Net cash from acquisitions and divestitures | (254) | (595) | 0 |
Net cash from investing activities | (1,085) | (1,153) | (169) |
Cash Flows From Financing Activities: | |||
Net change in short-term borrowings | 0 | (40) | (34) |
Net change in long-term debt | 476 | (92) | 1,085 |
Net cash from common stock transactions | (293) | 73 | 298 |
Net proceeds from preferred stock issued | 450 | 0 | 0 |
Cash dividends paid on common and preferred stock | (1,092) | (937) | (814) |
Other, net | 2 | (6) | (4) |
Net cash from financing activities | (457) | (1,002) | 531 |
Net Change in Cash and Cash Equivalents | (377) | (199) | 1,964 |
Cash and Cash Equivalents at Beginning of Period | 7,492 | 7,691 | 5,727 |
Cash and Cash Equivalents at End of Period | $ 7,115 | $ 7,492 | $ 7,691 |
Fair Value Disclosures (Narrati
Fair Value Disclosures (Narrative) (Details) | 12 Months Ended |
Dec. 31, 2016 | |
Non-agency MBS | Re-REMIC Trusts | Level 3 | |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |
Difference between fair value of securities held and securities owned, percentage | 14.10% |
Private Equity Investments | |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |
Weighted average remaining life of private equity and similar investments | 2 years |
Private Equity Investments | Minimum | |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |
Unobservable inputs, EBITDA multiples | 5 |
Private Equity Investments | Maximum | |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |
Unobservable inputs, EBITDA multiples | 13 |
Private Equity Investments | Weighted Average | |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |
Unobservable inputs, EBITDA multiples | 8 |
Fair Value Disclosures (Schedul
Fair Value Disclosures (Schedule of Assets and Liabilities Measured at Fair Value) (Details) - USD ($) $ in Millions | Dec. 31, 2016 | Dec. 31, 2015 |
Assets: | ||
Trading securities | $ 748 | $ 1,180 |
AFS securities | 26,926 | 25,297 |
LHFS | 1,716 | 1,035 |
MSRs | 1,052 | 880 |
Derivative assets | 822 | 970 |
Private equity investments | 362 | 289 |
Total assets | 31,626 | 29,651 |
Liabilities: | ||
Derivative liabilities | 1,003 | 792 |
Securities sold short | 137 | 147 |
Total liabilities | 1,140 | 939 |
Level 1 | ||
Assets: | ||
Trading securities | 324 | 311 |
LHFS | 0 | 0 |
MSRs | 0 | 0 |
Private equity investments | 0 | 0 |
Total assets | 332 | 315 |
Liabilities: | ||
Securities sold short | 0 | 0 |
Total liabilities | 0 | 0 |
Level 2 | ||
Assets: | ||
Trading securities | 424 | 869 |
LHFS | 1,716 | 1,035 |
MSRs | 0 | 0 |
Private equity investments | 0 | 0 |
Total assets | 29,366 | 27,533 |
Liabilities: | ||
Securities sold short | 137 | 147 |
Total liabilities | 1,120 | 935 |
Level 3 | ||
Assets: | ||
Trading securities | 0 | 0 |
LHFS | 0 | 0 |
MSRs | 1,052 | 880 |
Private equity investments | 362 | 289 |
Total assets | 1,928 | 1,803 |
Liabilities: | ||
Securities sold short | 0 | 0 |
Total liabilities | 20 | 4 |
U.S. Treasury | ||
Assets: | ||
AFS securities | 2,587 | 1,832 |
U.S. Treasury | Level 1 | ||
Assets: | ||
AFS securities | 0 | 0 |
U.S. Treasury | Level 2 | ||
Assets: | ||
AFS securities | 2,587 | 1,832 |
U.S. Treasury | Level 3 | ||
Assets: | ||
AFS securities | 0 | 0 |
GSE | ||
Assets: | ||
AFS securities | 180 | 51 |
GSE | Level 1 | ||
Assets: | ||
AFS securities | 0 | 0 |
GSE | Level 2 | ||
Assets: | ||
AFS securities | 180 | 51 |
GSE | Level 3 | ||
Assets: | ||
AFS securities | 0 | 0 |
Agency MBS | ||
Assets: | ||
AFS securities | 21,264 | 20,046 |
Agency MBS | Level 1 | ||
Assets: | ||
AFS securities | 0 | 0 |
Agency MBS | Level 2 | ||
Assets: | ||
AFS securities | 21,264 | 20,046 |
Agency MBS | Level 3 | ||
Assets: | ||
AFS securities | 0 | 0 |
States and political subdivisions | ||
Assets: | ||
AFS securities | 2,205 | 2,375 |
States and political subdivisions | Level 1 | ||
Assets: | ||
AFS securities | 0 | 0 |
States and political subdivisions | Level 2 | ||
Assets: | ||
AFS securities | 2,205 | 2,375 |
States and political subdivisions | Level 3 | ||
Assets: | ||
AFS securities | 0 | 0 |
Non-agency MBS | ||
Assets: | ||
AFS securities | 679 | 989 |
Non-agency MBS | Level 1 | ||
Assets: | ||
AFS securities | 0 | 0 |
Non-agency MBS | Level 2 | ||
Assets: | ||
AFS securities | 172 | 363 |
Non-agency MBS | Level 3 | ||
Assets: | ||
AFS securities | 507 | 626 |
Other | ||
Assets: | ||
AFS securities | 11 | 4 |
Other | Level 1 | ||
Assets: | ||
AFS securities | 8 | 4 |
Other | Level 2 | ||
Assets: | ||
AFS securities | 3 | 0 |
Other | Level 3 | ||
Assets: | ||
AFS securities | 0 | 0 |
Interest rate contracts | ||
Assets: | ||
Derivative assets | 814 | 964 |
Liabilities: | ||
Derivative liabilities | 998 | 788 |
Interest rate contracts | Level 1 | ||
Assets: | ||
Derivative assets | 0 | 0 |
Liabilities: | ||
Derivative liabilities | 0 | 0 |
Interest rate contracts | Level 2 | ||
Assets: | ||
Derivative assets | 807 | 956 |
Liabilities: | ||
Derivative liabilities | 978 | 784 |
Interest rate contracts | Level 3 | ||
Assets: | ||
Derivative assets | 7 | 8 |
Liabilities: | ||
Derivative liabilities | 20 | 4 |
Foreign exchange contracts | ||
Assets: | ||
Derivative assets | 8 | 6 |
Liabilities: | ||
Derivative liabilities | 5 | 4 |
Foreign exchange contracts | Level 1 | ||
Assets: | ||
Derivative assets | 0 | 0 |
Liabilities: | ||
Derivative liabilities | 0 | 0 |
Foreign exchange contracts | Level 2 | ||
Assets: | ||
Derivative assets | 8 | 6 |
Liabilities: | ||
Derivative liabilities | 5 | 4 |
Foreign exchange contracts | Level 3 | ||
Assets: | ||
Derivative assets | 0 | 0 |
Liabilities: | ||
Derivative liabilities | $ 0 | $ 0 |
Fair Value Disclosures (Roll Fo
Fair Value Disclosures (Roll Forward of Level 3 Assets and Liabilities) (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Included in earnings: | |||
Interest income | $ 7,066 | $ 6,327 | $ 6,142 |
Mortgage banking income | 463 | 455 | 395 |
Other noninterest income | 362 | 326 | 349 |
Non-agency MBS | |||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation, Calculation [Roll Forward] | |||
Balance at beginning of period | 626 | 745 | 861 |
Included in earnings: | |||
Interest income | 25 | 23 | 33 |
Mortgage banking income | 0 | 0 | 0 |
Other noninterest income | 0 | 0 | 0 |
Included in unrealized net holding gains (losses) in OCI | (45) | (45) | (38) |
Purchases | 0 | 0 | 0 |
Issuances | 0 | 0 | 0 |
Sales | 0 | 0 | 0 |
Settlements | (99) | (97) | (111) |
Adoption of fair value option for commercial MSRs | 0 | ||
Transfers into Level 3 | 0 | ||
Balance at end of period | 507 | 626 | 745 |
Change in unrealized gains (losses) included in earnings for the period, attributable to assets and liabilities still held at end of period | 25 | 23 | 33 |
MSRs | |||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation, Calculation [Roll Forward] | |||
Balance at beginning of period | 880 | 844 | 1,047 |
Included in earnings: | |||
Interest income | 0 | 0 | 0 |
Mortgage banking income | 63 | 10 | (221) |
Other noninterest income | 0 | 0 | 0 |
Included in unrealized net holding gains (losses) in OCI | 0 | 0 | 0 |
Purchases | 0 | 0 | 0 |
Issuances | 146 | 156 | 141 |
Sales | 0 | 0 | 0 |
Settlements | (160) | (130) | (123) |
Adoption of fair value option for commercial MSRs | 123 | ||
Transfers into Level 3 | 0 | ||
Balance at end of period | 1,052 | 880 | 844 |
Change in unrealized gains (losses) included in earnings for the period, attributable to assets and liabilities still held at end of period | 63 | 10 | (221) |
Net Derivatives | |||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation, Calculation [Roll Forward] | |||
Balance at beginning of period | 4 | 17 | (11) |
Included in earnings: | |||
Interest income | 0 | 0 | 0 |
Mortgage banking income | 97 | 87 | 94 |
Other noninterest income | 0 | (6) | (2) |
Included in unrealized net holding gains (losses) in OCI | 0 | 0 | 0 |
Purchases | 0 | 1 | 0 |
Issuances | 82 | 74 | 75 |
Sales | 0 | 0 | 0 |
Settlements | (196) | (169) | (139) |
Adoption of fair value option for commercial MSRs | 0 | ||
Transfers into Level 3 | 0 | ||
Balance at end of period | (13) | 4 | 17 |
Change in unrealized gains (losses) included in earnings for the period, attributable to assets and liabilities still held at end of period | (13) | 4 | 17 |
Private Equity Investments | |||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation, Calculation [Roll Forward] | |||
Balance at beginning of period | 289 | 329 | 291 |
Included in earnings: | |||
Interest income | 0 | 0 | 0 |
Mortgage banking income | 0 | 0 | 0 |
Other noninterest income | 20 | 49 | 27 |
Included in unrealized net holding gains (losses) in OCI | 0 | 0 | 0 |
Purchases | 106 | 81 | 67 |
Issuances | 0 | 0 | 0 |
Sales | (38) | (154) | (50) |
Settlements | (15) | (16) | (7) |
Adoption of fair value option for commercial MSRs | 0 | ||
Transfers into Level 3 | 1 | ||
Balance at end of period | 362 | 289 | 329 |
Change in unrealized gains (losses) included in earnings for the period, attributable to assets and liabilities still held at end of period | $ 7 | $ (2) | $ 15 |
Fair Value Disclosures (Fair Va
Fair Value Disclosures (Fair Value and Unpaid Principal Balance of LHFS) (Details) - USD ($) $ in Millions | Dec. 31, 2016 | Dec. 31, 2015 |
Fair Value Disclosures [Abstract] | ||
Fair Value | $ 1,716 | $ 1,035 |
Aggregate UPB | 1,736 | 1,023 |
Difference | $ (20) | $ 12 |
Fair Value Disclosures (Fair116
Fair Value Disclosures (Fair Value Measured on Nonrecurring Basis) (Details) - Fair Value, Measurements, Nonrecurring - Level 3 - USD ($) $ in Millions | 12 Months Ended | |
Dec. 31, 2016 | Dec. 31, 2015 | |
Carrying Value | ||
Impaired loans | $ 278 | $ 149 |
Foreclosed real estate | 50 | 82 |
Valuation Adjustments | ||
Impaired loans | (89) | (30) |
Foreclosed real estate | $ (221) | $ (190) |
Fair Value Disclosures (Carryin
Fair Value Disclosures (Carrying Amounts and Fair Values of Financial Assets and Liabilities Not Recorded at Fair Value) (Details) - USD ($) $ in Millions | Dec. 31, 2016 | Dec. 31, 2015 |
Financial assets: | ||
HTM securities | $ 16,680 | $ 18,530 |
Loans and leases HFI, net of ALLL | 141,833 | 134,491 |
Financial liabilities: | ||
Deposits | 160,234 | 149,124 |
Long-term debt | 21,965 | 23,769 |
Carrying Amount | ||
Financial assets: | ||
HTM securities | 16,680 | 18,530 |
Loans and leases HFI, net of ALLL | 141,833 | 134,491 |
FDIC loss share receivable | 285 | |
Financial liabilities: | ||
Deposits | 160,234 | 149,124 |
FDIC loss share payable | 685 | |
Long-term debt | 21,965 | 23,769 |
Total Fair Value | ||
Financial assets: | ||
HTM securities | 16,546 | 18,519 |
Loans and leases HFI, net of ALLL | 142,044 | 134,728 |
FDIC loss share receivable | 11 | |
Financial liabilities: | ||
Deposits | 160,403 | 149,300 |
FDIC loss share payable | 676 | |
Long-term debt | 22,423 | 24,206 |
Total Fair Value | Level 2 | ||
Financial assets: | ||
HTM securities | 16,546 | 18,519 |
Loans and leases HFI, net of ALLL | 0 | 0 |
FDIC loss share receivable | 0 | |
Financial liabilities: | ||
Deposits | 160,403 | 149,300 |
FDIC loss share payable | 0 | |
Long-term debt | 22,423 | 24,206 |
Total Fair Value | Level 3 | ||
Financial assets: | ||
HTM securities | 0 | 0 |
Loans and leases HFI, net of ALLL | 142,044 | 134,728 |
FDIC loss share receivable | 11 | |
Financial liabilities: | ||
Deposits | 0 | 0 |
FDIC loss share payable | 676 | |
Long-term debt | $ 0 | $ 0 |
Fair Value Disclosures (Notiona
Fair Value Disclosures (Notional or Contractual Amounts and Fair Values of Off-Balance Sheet Financial Instruments) (Details) - USD ($) $ in Millions | Dec. 31, 2016 | Dec. 31, 2015 |
Commitments to extend, originate or purchase credit | ||
Fair Value, Off-balance Sheet Risks, Disclosure Information [Line Items] | ||
Notional/Contract Amount | $ 64,395 | $ 59,019 |
Fair Value | 250 | 253 |
Residential mortgage loans sold with recourse | ||
Fair Value, Off-balance Sheet Risks, Disclosure Information [Line Items] | ||
Notional/Contract Amount | 578 | 702 |
Fair Value | 7 | 8 |
Other loans sold with recourse | ||
Fair Value, Off-balance Sheet Risks, Disclosure Information [Line Items] | ||
Notional/Contract Amount | 4,240 | 4,198 |
Fair Value | 7 | 7 |
Letters of credit | ||
Fair Value, Off-balance Sheet Risks, Disclosure Information [Line Items] | ||
Notional/Contract Amount | 2,786 | 3,033 |
Fair Value | $ 27 | $ 27 |
Derivative Financial Instrum119
Derivative Financial Instruments (Classifications and Hedging Relationships) (Details) - USD ($) $ in Millions | Dec. 31, 2016 | Dec. 31, 2015 |
Derivative Instruments, Gain (Loss) [Line Items] | ||
Notional Amount | $ 75,251 | $ 67,525 |
Fair Value, Gain | 822 | 970 |
Fair Value, Loss | (1,003) | (792) |
Gross amounts not offset in the Consolidated Balance Sheets: Fair Value, Gain | ||
Amounts subject to master netting arrangements not offset due to policy election | (443) | (391) |
Cash collateral (received) posted | (119) | (283) |
Net amount | 260 | 296 |
Gross amounts not offset in the Consolidated Balance Sheets: Fair Value, Loss | ||
Amounts subject to master netting arrangements not offset due to policy election | 443 | 391 |
Cash collateral (received) posted | 450 | 368 |
Net amount | (110) | (33) |
Not designated as hedges | ||
Derivative Instruments, Gain (Loss) [Line Items] | ||
Notional Amount | 52,735 | 44,682 |
Fair Value, Gain | 616 | 641 |
Fair Value, Loss | (630) | (481) |
Cash flow hedges | Interest rate contracts | Pay fixed swaps | 3 mo. LIBOR funding | ||
Derivative Instruments, Gain (Loss) [Line Items] | ||
Notional Amount | 7,050 | 9,300 |
Fair Value, Gain | 0 | 0 |
Fair Value, Loss | (187) | (214) |
Fair value hedges | Interest rate contracts | ||
Derivative Instruments, Gain (Loss) [Line Items] | ||
Notional Amount | 15,466 | 13,543 |
Fair Value, Gain | 206 | 329 |
Fair Value, Loss | (186) | (97) |
Fair value hedges | Interest rate contracts | Pay fixed swaps | Commercial loans | ||
Derivative Instruments, Gain (Loss) [Line Items] | ||
Notional Amount | 346 | 207 |
Fair Value, Gain | 4 | 0 |
Fair Value, Loss | (2) | (2) |
Fair value hedges | Interest rate contracts | Pay fixed swaps | Municipal securities | ||
Derivative Instruments, Gain (Loss) [Line Items] | ||
Notional Amount | 231 | 244 |
Fair Value, Gain | 0 | 0 |
Fair Value, Loss | (83) | (94) |
Fair value hedges | Interest rate contracts | Receive fixed swaps | Long-term debt | ||
Derivative Instruments, Gain (Loss) [Line Items] | ||
Notional Amount | 12,099 | 13,092 |
Fair Value, Gain | 202 | 329 |
Fair Value, Loss | (100) | (1) |
Fair value hedges | Interest rate contracts | Options | Long-term debt | ||
Derivative Instruments, Gain (Loss) [Line Items] | ||
Notional Amount | 2,790 | 0 |
Fair Value, Gain | 0 | 0 |
Fair Value, Loss | (1) | 0 |
Client-related and other risk management | Not designated as hedges | ||
Derivative Instruments, Gain (Loss) [Line Items] | ||
Notional Amount | 28,688 | 24,333 |
Fair Value, Gain | 319 | 353 |
Fair Value, Loss | (336) | (380) |
Client-related and other risk management | Not designated as hedges | Interest rate contracts | Pay fixed swaps | ||
Derivative Instruments, Gain (Loss) [Line Items] | ||
Notional Amount | 10,263 | 8,984 |
Fair Value, Gain | 43 | 1 |
Fair Value, Loss | (252) | (363) |
Client-related and other risk management | Not designated as hedges | Interest rate contracts | Receive fixed swaps | ||
Derivative Instruments, Gain (Loss) [Line Items] | ||
Notional Amount | 9,989 | 8,827 |
Fair Value, Gain | 235 | 337 |
Fair Value, Loss | (44) | (1) |
Client-related and other risk management | Not designated as hedges | Interest rate contracts | Other swaps | ||
Derivative Instruments, Gain (Loss) [Line Items] | ||
Notional Amount | 1,086 | 1,005 |
Fair Value, Gain | 2 | 3 |
Fair Value, Loss | (5) | (6) |
Client-related and other risk management | Not designated as hedges | Interest rate contracts | Other | ||
Derivative Instruments, Gain (Loss) [Line Items] | ||
Notional Amount | 709 | 601 |
Fair Value, Gain | 2 | 1 |
Fair Value, Loss | (2) | (2) |
Client-related and other risk management | Not designated as hedges | Interest rate contracts | Forward commitments | ||
Derivative Instruments, Gain (Loss) [Line Items] | ||
Notional Amount | 5,972 | 4,403 |
Fair Value, Gain | 29 | 5 |
Fair Value, Loss | (28) | (4) |
Client-related and other risk management | Not designated as hedges | Foreign exchange contracts | ||
Derivative Instruments, Gain (Loss) [Line Items] | ||
Notional Amount | 669 | 513 |
Fair Value, Gain | 8 | 6 |
Fair Value, Loss | (5) | (4) |
Mortgage banking | Not designated as hedges | Interest rate contracts | ||
Derivative Instruments, Gain (Loss) [Line Items] | ||
Notional Amount | 6,325 | 5,230 |
Fair Value, Gain | 60 | 21 |
Fair Value, Loss | (35) | (9) |
Mortgage banking | Not designated as hedges | Interest rate contracts | Interest rate lock commitments | ||
Derivative Instruments, Gain (Loss) [Line Items] | ||
Notional Amount | 2,219 | 1,828 |
Fair Value, Gain | 7 | 8 |
Fair Value, Loss | (20) | (4) |
Mortgage banking | Not designated as hedges | Interest rate contracts | When issued securities, forward rate agreements and forward commitments | ||
Derivative Instruments, Gain (Loss) [Line Items] | ||
Notional Amount | 3,657 | 2,725 |
Fair Value, Gain | 51 | 9 |
Fair Value, Loss | (14) | (5) |
Mortgage banking | Not designated as hedges | Interest rate contracts | Other | ||
Derivative Instruments, Gain (Loss) [Line Items] | ||
Notional Amount | 449 | 677 |
Fair Value, Gain | 2 | 4 |
Fair Value, Loss | (1) | 0 |
MSRs | Not designated as hedges | Interest rate contracts | ||
Derivative Instruments, Gain (Loss) [Line Items] | ||
Notional Amount | 17,722 | 15,119 |
Fair Value, Gain | 237 | 267 |
Fair Value, Loss | (259) | (92) |
MSRs | Not designated as hedges | Interest rate contracts | Pay fixed swaps | ||
Derivative Instruments, Gain (Loss) [Line Items] | ||
Notional Amount | 3,768 | 2,329 |
Fair Value, Gain | 56 | 4 |
Fair Value, Loss | (7) | (56) |
MSRs | Not designated as hedges | Interest rate contracts | Receive fixed swaps | ||
Derivative Instruments, Gain (Loss) [Line Items] | ||
Notional Amount | 5,034 | 2,343 |
Fair Value, Gain | 18 | 79 |
Fair Value, Loss | (236) | (7) |
MSRs | Not designated as hedges | Interest rate contracts | Options | ||
Derivative Instruments, Gain (Loss) [Line Items] | ||
Notional Amount | 5,710 | 7,765 |
Fair Value, Gain | 160 | 184 |
Fair Value, Loss | (8) | (24) |
MSRs | Not designated as hedges | Interest rate contracts | When issued securities, forward rate agreements and forward commitments | ||
Derivative Instruments, Gain (Loss) [Line Items] | ||
Notional Amount | 3,210 | 2,682 |
Fair Value, Gain | 3 | 0 |
Fair Value, Loss | $ (8) | $ (5) |
Derivative Financial Instrum120
Derivative Financial Instruments (Effect on the Consolidated Statements of Income) (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Not designated as hedges | |||
Not Designated as Hedges: | |||
Pre-tax Gain (Loss) Recognized in Income | $ 102 | $ 87 | $ 269 |
Cash flow hedges | Interest rate contracts | |||
Cash Flow Hedges: | |||
Pre-tax Gain (Loss) Recognized in OCI | (24) | (130) | (172) |
Cash flow hedges | Interest rate contracts | Interest expense | |||
Cash Flow Hedges: | |||
Pre-tax Gain (Loss) Reclassified from AOCI into Income | (11) | (83) | (82) |
Fair value hedges | Interest rate contracts | |||
Fair Value Hedges: | |||
Pre-tax Gain (Loss) Recognized in Income | 208 | 259 | 211 |
Fair value hedges | Interest rate contracts | Interest income | |||
Fair Value Hedges: | |||
Pre-tax Gain (Loss) Recognized in Income | (18) | (20) | (22) |
Fair value hedges | Interest rate contracts | Interest expense | |||
Fair Value Hedges: | |||
Pre-tax Gain (Loss) Recognized in Income | 226 | 279 | 233 |
Client-related and other risk management | Interest rate contracts | Other income | Not designated as hedges | |||
Not Designated as Hedges: | |||
Pre-tax Gain (Loss) Recognized in Income | 52 | 27 | 18 |
Client-related and other risk management | Foreign exchange contracts | Other income | Not designated as hedges | |||
Not Designated as Hedges: | |||
Pre-tax Gain (Loss) Recognized in Income | 11 | 21 | 16 |
Mortgage banking | Interest rate contracts | Mortgage banking income | Not designated as hedges | |||
Not Designated as Hedges: | |||
Pre-tax Gain (Loss) Recognized in Income | 8 | 7 | (16) |
MSRs | Interest rate contracts | Mortgage banking income | Not designated as hedges | |||
Not Designated as Hedges: | |||
Pre-tax Gain (Loss) Recognized in Income | $ 31 | $ 32 | $ 251 |
Derivative Financial Instrum121
Derivative Financial Instruments (Cash Flow and Fair Value Hedges) (Details) - USD ($) $ in Millions | 12 Months Ended | |
Dec. 31, 2016 | Dec. 31, 2015 | |
Cash flow hedges | ||
Cash flow hedges: | ||
Net unrecognized after-tax loss on active hedges recorded in AOCI | $ (118) | $ (134) |
Net unrecognized after-tax gain on terminated hedges recorded in AOCI (to be recognized in earnings through 2022) | 26 | 50 |
Estimated portion of net after-tax loss on active and terminated hedges to be reclassified from AOCI into earnings during the next 12 months | $ (4) | $ (7) |
Maximum time period over which BB&T has hedged a portion of the variability in future cash flows for forecasted transactions excluding those transactions relating to the payment of variable interest on existing instruments | 6 years | 7 years |
Fair value hedges | ||
Fair value hedges: | ||
Unrecognized pre-tax net gain on terminated hedges (to be recognized as interest primarily through 2019) | $ 169 | $ 138 |
Portion of pre-tax net gain on terminated hedges to be recognized as a change in interest during the next 12 months | $ 56 | $ 57 |
Derivative Financial Instrum122
Derivative Financial Instruments (Dealer Counterparties and Central Clearing Parties) (Details) - USD ($) $ in Millions | Dec. 31, 2016 | Dec. 31, 2015 |
Dealer Counterparties | ||
Credit Derivatives [Line Items] | ||
Cash collateral received from dealer counterparties | $ 123 | $ 283 |
Derivatives in a net gain position secured by that collateral | 123 | 301 |
Unsecured positions in a net gain with dealer counterparties after collateral postings | 4 | 18 |
Cash collateral posted | 138 | 156 |
Derivatives in a net loss position secured by that collateral | 144 | 161 |
Additional collateral that would have been posted had BB&T's credit ratings dropped below investment grade | 8 | 6 |
Central Clearing Parties | ||
Credit Derivatives [Line Items] | ||
Cash collateral posted | 313 | 223 |
Derivatives in a net loss position secured by that collateral | 318 | 227 |
Securities pledged to central clearing parties | $ 119 | $ 207 |
Computation of EPS (Details)
Computation of EPS (Details) - USD ($) $ / shares in Units, shares in Thousands, $ in Millions | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Earnings Per Share [Abstract] | |||
Net income available to common shareholders | $ 2,259 | $ 1,936 | $ 1,983 |
Weighted average number of common shares (in shares) | 804,680 | 748,010 | 718,140 |
Effect of dilutive outstanding equity-based awards (in shares) | 10,236 | 9,755 | 10,232 |
Weighted average number of diluted common shares (in shares) | 814,916 | 757,765 | 728,372 |
Basic EPS (in usd per share) | $ 2.81 | $ 2.59 | $ 2.76 |
Diluted EPS (in usd per share) | $ 2.77 | $ 2.56 | $ 2.72 |
Anti-dilutive awards (in shares) | 5,609 | 8,620 | 14,333 |
Operating Segments (Narrative)
Operating Segments (Narrative) (Details) $ in Millions | 2 Months Ended | 12 Months Ended |
Feb. 21, 2017USD ($) | Dec. 31, 2016segment | |
Segment Reporting [Abstract] | ||
Number of reportable segments | segment | 6 | |
Subsequent Event | Financial Services | ||
Segment Reporting Information [Line Items] | ||
Loans transferred | $ 218 | |
Deposits transferred | $ 2,000 |
Operating Segments (Reportable
Operating Segments (Reportable Segments) (Details) - USD ($) $ in Millions | 12 Months Ended | |||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | ||
Segment Reporting, Revenue Reconciling Items [Line Items] | ||||
Net interest income (expense) | $ 6,321 | $ 5,592 | $ 5,374 | |
Allocated provision for credit losses | 572 | 428 | 251 | |
Noninterest income | 4,472 | 4,019 | 3,856 | |
Noninterest expense | 6,571 | 6,161 | 5,761 | |
Amortization of intangibles | 150 | 105 | 91 | |
Income (loss) before income taxes | 3,500 | 2,917 | 3,127 | |
Provision (benefit) for income taxes | 1,058 | 794 | 921 | |
Net income | 2,442 | 2,123 | 2,206 | |
Identifiable assets (period end) | 219,276 | 209,947 | 186,834 | |
Community Banking | ||||
Segment Reporting, Revenue Reconciling Items [Line Items] | ||||
Net interest income (expense) | 2,208 | 1,798 | 1,726 | |
Residential Mortgage Banking | ||||
Segment Reporting, Revenue Reconciling Items [Line Items] | ||||
Net interest income (expense) | 1,341 | 1,357 | 1,482 | |
Dealer Financial Services | ||||
Segment Reporting, Revenue Reconciling Items [Line Items] | ||||
Net interest income (expense) | 930 | 881 | 835 | |
Specialized Lending | ||||
Segment Reporting, Revenue Reconciling Items [Line Items] | ||||
Net interest income (expense) | 752 | 648 | 575 | |
Insurance Holdings | ||||
Segment Reporting, Revenue Reconciling Items [Line Items] | ||||
Net interest income (expense) | 3 | 2 | 2 | |
Financial Services | ||||
Segment Reporting, Revenue Reconciling Items [Line Items] | ||||
Net interest income (expense) | 260 | 219 | 187 | |
Other, Treasury and Corporate | ||||
Segment Reporting, Revenue Reconciling Items [Line Items] | ||||
Net interest income (expense) | [1] | 827 | 687 | 567 |
Operating Segments | Community Banking | ||||
Segment Reporting, Revenue Reconciling Items [Line Items] | ||||
Net interest income (expense) | 3,797 | 3,069 | 2,914 | |
Allocated provision for credit losses | 36 | 67 | 123 | |
Noninterest income | 1,227 | 1,166 | 1,184 | |
Noninterest expense | 1,742 | 1,516 | 1,428 | |
Amortization of intangibles | 74 | 39 | 29 | |
Allocated corporate expenses | 1,337 | 1,225 | 1,204 | |
Income (loss) before income taxes | 1,988 | 1,523 | 1,434 | |
Provision (benefit) for income taxes | 724 | 563 | 524 | |
Net income | 1,264 | 960 | 910 | |
Identifiable assets (period end) | 73,640 | 68,250 | 55,495 | |
Operating Segments | Residential Mortgage Banking | ||||
Segment Reporting, Revenue Reconciling Items [Line Items] | ||||
Net interest income (expense) | 443 | 452 | 498 | |
Allocated provision for credit losses | 45 | 9 | (107) | |
Noninterest income | 344 | 355 | 310 | |
Noninterest expense | 211 | 321 | 498 | |
Amortization of intangibles | 0 | 0 | 0 | |
Allocated corporate expenses | 107 | 93 | 91 | |
Income (loss) before income taxes | 425 | 386 | 328 | |
Provision (benefit) for income taxes | 161 | 146 | 124 | |
Net income | 264 | 240 | 204 | |
Identifiable assets (period end) | 33,473 | 33,407 | 34,463 | |
Operating Segments | Dealer Financial Services | ||||
Segment Reporting, Revenue Reconciling Items [Line Items] | ||||
Net interest income (expense) | 769 | 728 | 675 | |
Allocated provision for credit losses | 296 | 253 | 237 | |
Noninterest income | 2 | 0 | 2 | |
Noninterest expense | 149 | 151 | 114 | |
Amortization of intangibles | 0 | 0 | 0 | |
Allocated corporate expenses | 45 | 38 | 31 | |
Income (loss) before income taxes | 281 | 286 | 295 | |
Provision (benefit) for income taxes | 107 | 109 | 112 | |
Net income | 174 | 177 | 183 | |
Identifiable assets (period end) | 16,556 | 15,130 | 12,821 | |
Operating Segments | Specialized Lending | ||||
Segment Reporting, Revenue Reconciling Items [Line Items] | ||||
Net interest income (expense) | 469 | 413 | 369 | |
Allocated provision for credit losses | 70 | 43 | 36 | |
Noninterest income | 297 | 260 | 222 | |
Noninterest expense | 300 | 254 | 210 | |
Amortization of intangibles | 5 | 4 | 5 | |
Allocated corporate expenses | 81 | 63 | 62 | |
Income (loss) before income taxes | 310 | 309 | 278 | |
Provision (benefit) for income taxes | 74 | 74 | 63 | |
Net income | 236 | 235 | 215 | |
Identifiable assets (period end) | 19,976 | 18,243 | 15,671 | |
Operating Segments | Insurance Holdings | ||||
Segment Reporting, Revenue Reconciling Items [Line Items] | ||||
Net interest income (expense) | 7 | 8 | 8 | |
Allocated provision for credit losses | 0 | 0 | 0 | |
Noninterest income | 1,726 | 1,608 | 1,663 | |
Noninterest expense | 1,312 | 1,190 | 1,189 | |
Amortization of intangibles | 60 | 47 | 53 | |
Allocated corporate expenses | 111 | 99 | 86 | |
Income (loss) before income taxes | 250 | 280 | 343 | |
Provision (benefit) for income taxes | 96 | 98 | 110 | |
Net income | 154 | 182 | 233 | |
Identifiable assets (period end) | 3,463 | 2,804 | 2,965 | |
Operating Segments | Financial Services | ||||
Segment Reporting, Revenue Reconciling Items [Line Items] | ||||
Net interest income (expense) | 632 | 533 | 450 | |
Allocated provision for credit losses | 126 | 66 | 26 | |
Noninterest income | 888 | 850 | 780 | |
Noninterest expense | 753 | 683 | 637 | |
Amortization of intangibles | 5 | 3 | 2 | |
Allocated corporate expenses | 151 | 136 | 128 | |
Income (loss) before income taxes | 508 | 517 | 452 | |
Provision (benefit) for income taxes | 190 | 195 | 170 | |
Net income | 318 | 322 | 282 | |
Identifiable assets (period end) | 17,451 | 16,650 | 12,887 | |
Operating Segments | Other, Treasury and Corporate | ||||
Segment Reporting, Revenue Reconciling Items [Line Items] | ||||
Net interest income (expense) | [1] | 204 | 389 | 460 |
Allocated provision for credit losses | [1] | (1) | (10) | (64) |
Noninterest income | [1] | (12) | (220) | (305) |
Noninterest expense | [1] | 2,104 | 2,046 | 1,685 |
Amortization of intangibles | [1] | 6 | 12 | 2 |
Allocated corporate expenses | [1] | (1,832) | (1,654) | (1,602) |
Income (loss) before income taxes | [1] | (262) | (384) | (3) |
Provision (benefit) for income taxes | [1] | (294) | (391) | (182) |
Net income | [1] | 32 | 7 | 179 |
Identifiable assets (period end) | [1] | 54,717 | 55,463 | 52,532 |
Intersegment Eliminations | Community Banking | ||||
Segment Reporting, Revenue Reconciling Items [Line Items] | ||||
Net interest income (expense) | 1,589 | 1,271 | 1,188 | |
Intersegment net referral fees (expense) | 153 | 135 | 120 | |
Intersegment Eliminations | Residential Mortgage Banking | ||||
Segment Reporting, Revenue Reconciling Items [Line Items] | ||||
Net interest income (expense) | (898) | (905) | (984) | |
Intersegment net referral fees (expense) | 1 | 2 | 2 | |
Intersegment Eliminations | Dealer Financial Services | ||||
Segment Reporting, Revenue Reconciling Items [Line Items] | ||||
Net interest income (expense) | (161) | (153) | (160) | |
Intersegment net referral fees (expense) | 0 | 0 | 0 | |
Intersegment Eliminations | Specialized Lending | ||||
Segment Reporting, Revenue Reconciling Items [Line Items] | ||||
Net interest income (expense) | (283) | (235) | (206) | |
Intersegment net referral fees (expense) | 0 | 0 | 0 | |
Intersegment Eliminations | Insurance Holdings | ||||
Segment Reporting, Revenue Reconciling Items [Line Items] | ||||
Net interest income (expense) | 4 | 6 | 6 | |
Intersegment net referral fees (expense) | 0 | 0 | 0 | |
Intersegment Eliminations | Financial Services | ||||
Segment Reporting, Revenue Reconciling Items [Line Items] | ||||
Net interest income (expense) | 372 | 314 | 263 | |
Intersegment net referral fees (expense) | 23 | 22 | 15 | |
Intersegment Eliminations | Other, Treasury and Corporate | ||||
Segment Reporting, Revenue Reconciling Items [Line Items] | ||||
Net interest income (expense) | [1] | (623) | (298) | (107) |
Intersegment net referral fees (expense) | [1] | $ (177) | $ (159) | $ (137) |
[1] | (1) Includes financial data from subsidiaries below the quantitative and qualitative thresholds requiring disclosure. |